HomeMy WebLinkAboutR-2502 - Authorizing a $455,000 Interfund Loan from the General Fund 001 to the Affordable and Supportive Housing Sales Tax Fund 115CITY OF MARYSILLE
Marysville, Washington
RESOLUTION NO. 2 5' O ;2.
A RESOLUTION OF THE CITY OF MARYSVILLE AUTHORIZING A
$455,000 INTERFUND LOAN FROM THE GENERAL FUND 001
TO THE AFFORDABLE AND SUPPORTIVE HOUSING SALES TAX FUND 115,
AND PROVIDING A FORMULA FOR PAYMENT OF INTEREST.
WHEREAS, it was the Affordable Housing Tax Fund (Fund) was established on January
14,2020,and
WHEREAS, the purpose of the Fund is to assist with providing affordable and supportive
housing to enhance public health and welfare, and
WHEREAS, acquiring affordable housing is an authorized purpose, and
WHEREAS, the need for financing is necessary and accordingly, establish an inter-fund
loan from the General Fund 001 to the Affordable Housing Tax Fund 115 and is necessary and in
the public interest.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
MARYSVILLE, WASHINGTON AS FOLLOWS:
Section 1. Loan.
There is established an inter-fund loan in the amount of $455,000.00 from the General Fund 001
to the Affordable Housing Tax Fund 115.
Section 2. Interest.
A. The initial interest on said loan shall be set at the rate of 0. 70% to reflect current
investment rates by the Local Government Investment Pool (LGIP).
B. The interest rate shall be reviewed and possibly adjusted annually on the last day
of the year as set by the Local Government Investment Pool (LGIP) Anticipated Gross Earnings
Rate. Found on the following web site.
Section 3. Repayment.
The Loan shall be repaid with interest from the Affordable Housing Tax Fund 115 to the General
Fund 001 on or before 12/31 /2026. The table below identifies the annual payment schedule:
2021
2022
2023
2024
2025
2026
Year of
Payment
1
2
3
4
5
6
Principal
$ 455,000
$ 84,681.50 $
$ 84,740.78
$ 84,800.10
$ 84,859.46
$ 84,918.86
$ 30,999.31
Total $ 455,000 $
Section 4. Severability.
Interest Total Payment Outstanding
0.07% Balance
318.50 $ 85,000.00 $ 370,318.50
259.22 $ 85,000.00 285,577.72
199.90 $ 85,000.00 200,777.63
140.54 $ 85,000.00 115,918.17
81.14 $ 85,000.00 30,999.31
21.70 $ 31,021.01 -
1,021 $ 456,021
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.
ADOPTED by the City Council at an open public meeting this / >--1::::.. day of
;\, .. <M>---, 20 ~·
CITY OF MARYSVILLE
By ~~ JonN~,MA~J
Attest:
By :Ji ~ f6t_t,ch,
Tina Brock, DEPUTY CITY CLERK
By ~ Jon ~ , Y ATTORNEY