HomeMy WebLinkAboutR-1485 - Authorizing refinancing of an interfund loan designating the interest rate and repayment terms and repealing Resolution No. 1281----------------------------------
CIT Y 0 F MAR Y S V ILL E
Marysville,Washington
RESOLUTION NO.1</8S
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A RESOLUTION AUTHORIZING REFINANCING OF AN
INTERFUND LOAN,DESIGNATING THE INTEREST RATE AND
REPAYMENT TERMS,AND REPEALING RESOLUTION NO.
1281.
WHEREAS,on November 9,1987 the City Council
adopted Resolution No.1281 which authorized an interfund
loan of $150,000.00 from the Water/Sewer Operating Fund to
the Golf Course Operating Fund;and
WHEREAS,it was anticipated that the interfund
loan would be repaid within one year,together with interest
at the rate of 7.0%,from the proceeds of a revenue bond
issue to finance construction of a driving range and shop
facilities;and
WHEREAS,the City'Council determined at a later
date to not issue the bonds or construct a driving range;
and
WHEREAS,the $150,000.00 loaned to the Golf
Operating Fund represents the unfunded portion of the cost
of the maintenance facilities and has not yet been repaid;
and
WHEREAS,accrued interest on the loan has been
paid in full to June 30,1991 and it is appropriate to
,re-establish the interfund loan with a designated re-payment
schedule;
NOW,THEREFORE,THE CITY COUNCIL OF THE CITY OF
MARYSVILLE,WASHINGTON,DO HEREBY AUTHORIZE AND DIRECT:
Section 1.
provide for a loan of
Operating Fund to the
That the City Finance Director
$150,000.00 from the Water/Sewer
Golf Course Operating Fund.
Section 2.Said loan shall bear interest at the
rate of 6.8%per annum,commencing on July 1,1991.
Section 3.Said loan shall be repaid by monthly
payments of not less than $5,000.00 toward the principal,
plus interest on the outstanding balance,on the last day of
each month.
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Section 4.City Staff shall evaluate the Golf
Course financial operations not less than every six months
and shall make additional payments toward the loan principal
whenever it is determined such payments will not jeopardize
course operation and maintenance.
Section 5.Resolution number 1281 is hereby
repealed.
ADOP;¥.ED by theISdayof
City Council and APPROVED by the Mayor this
.;f~'+1 1991.
THE CITY OF MARYSVILLE
By ~R~
APPROVED AS TO FORM:
By A A-ud=(uJ
•City Attorney
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