HomeMy WebLinkAboutR-2262 - Authorizing a $1,776,565.00 interfund loan from the water sewer operating fund 401 to the parks capital improvement fund 310, and providing for paymenCITY OF MARYSILLE
Marysville, Washington
RESOLUTION NO. 2262
A RESOLUTION OF THE CITY OF MARYSVILLE AUTHORIZING A
$1,776,565.00 INTERFUND LOAN FROM THE WATER SEWER
OPERATING FUND 401 TO THE PARKS CAPITAL IMPROVEMENT
FUND 310, AND PROVIDING FOR PAYMENT AND A FORMULA FOR
PAYMENT OF INTEREST.
WHEREAS, it was detennined to seek long-tenn financing to fund park and recreational
property; and
WHEREAS, the need for short-tenn financing is necessary and accordingly, establish an
interfund loan from the Water Sewer Operating Fund 401 to the Park Capital Improvement Fund
310; and
WHEREAS, the Water Sewer Operating Fund 401 is able to loan the funds and will not
require the loaned funds during the loan period; and
WHEREAS, interest on said loan is subject to interest imposed at a rate as set forth by the
Local Government Investment Pool; and
WHEREAS, the Park Capital Improvement Fund 310 is obtaining funding by pennanent
financing andlor internal allocation of funds and will have the ability to repay said loan and
interest when pennanent funding is complete;
NOW THEREFORE, BE IT RESOLVEO BY THE CITY COUNCIL OF THE CITY OF
MARYSVILLE, WASHINGTON AS FOLLOWS:
Section 1. Loan.
There is established an interfund loan in the amount of$I,776,565.00 from the Water Sewer
Operating Fund 401 to the Park Capital Improvement Fund 310.
Section 2. Interest.
A. The initial interest on said loan shall be set at the rate of 0.65% as set by the Local
Government Investment Pool (LGIP) Anticipated Gross Earnings Rate on May 31,2009. Found
on the following web site.
http://www.tIe.wa.gov/LGIP/lgipsumm.htm#rate
RESOLUTION 2009 INTERFUND LOAN FROM FUND 401 TO FUND 310 10f2
B. The interest rate shall be adjusted monthly on the last day of each month as set by
the Local Government Investment Pool (LGIP) Anticipated Gross Earnings Rate. Found on the
following web site.
http://www.tre.wa.gov/LGlP/lgipsumm.htm#rate
Section 3. Repayment.
The Loan shall be repaid with interest from the Parks Capital Improvement Fund 310 to the
Water Sewer Operating Fund 401 on or before December 31, 2012.
Section 4. Severability.
If any section, sentence, clause or phrase of this resolution should be held invalid or
unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall
not affect the validity or constitutionality of any other section, sentence, clause or phrase of this
resolution.
Section 5. Effective Date.
This resolution shall take effect immediately upon passage by the Marysville City Council.
../ PASSED by the City Council and APPROVED by the Mayor this day of
() Lt-rv-' 2009.
CITY OF MARYSVILLE
BY~~
Dennis Kendall, MAYOR
By ,
Approved as to from:
B~K~~
Grant K. WeedCITYATRNEY
RESOLUTION 2009 INTERFUND LOAN FROM FUND 401 TO FUND 310 20f2