85-3762 Project Loan Note(1\Cy0 10//2)
RESOLUTION NUMBER 85-3762
OF PROJECT .LO:y NOTE AND/OR I
PERIIt1tiENT NOTE
FRErLS.the City of Salina, Kansas
(Her in calked the "Local. Authority") has entered into an Annual Contri-
buts s'Contract No., FW 1114 dated .12/29/197?
"(herein. called the "Contract") with the United States of
Amer a (herein _called the "Government"); and proposes to authorize the
issucace of .its notes as evidence of advances to be made to the Local
Authc rity pursuant to the Contract; all with respect to any "Project" as
defired in the Contract and which at any time now or hereafter is incorpor-
ated nder the terms of such Contract..
I1, THEREFORE, BE IT RESOLVED by the Local Authority'as follows:
AuLt�iorit or the Executive Directoris hereby author-
ection 1. The airmen
ized. to file. -Faith. the':Government.from. time to time as monies are required,,
requisitions together with the. necessary' supporting.documents requesting.
advances tobe made on account of the loan- -provided .in' the Contract., and
the roper officers of the Local -Authority shall prepare,. execute and
deliver to the Government Notes hereinafter authorized and shall.accept
pays nt therefor from the Government in cash and/or exchange for other
Notes of the Local authority, and such persons -are authorized to do and
perform all other things and acts required to be done or performed in order
too tain such advances. Cash proceeds from the sale of..all Notes shall
be d posited and,'disbursed only in accordance With the provisions of'the
Cont act.
lection 2. (A) In order to provide monies to finance the Development
Cost of each Project and to refund, renew, extend or substitute for any
t Proj ct Loan Notes (in the Contract, called "Project *totes") or Permanent
Notel by this Resolution authorized to be issued (or.any such Notes by
any ther.,resoluticn au.tnorized to be issued and which are outstanding, or
on d posit for de.livery.pending payment therefor-, as._of .the date this
Resolution becomes effective), or for any ProjectNotesCin the .Contract
call d- "Temporaiy:,Notes") issued by. the Local :authority in anticipation of
the elive ry ;of F toject. Loanor rermanent.Notes, there are hereby authorized
to b issued., from time to time, Project Loan :and.,Permanent Notes of the
Local .Authority in an. -aggregate. principal amount outstanding at any one
time (whether authorized by this Resolution or any other resolution
auth rizing the issuance of Project Loan or L'erm.nent Notes) equal to the'
Maxi um Development Cost (or the .actual Development Cost if such amount has
then been determined) of each Project, less the sum of (1) the principal
amount of Bonds issued to finance such Development Cost and (2) the principal
amou t of Project Loan, Permanent, or Project Notes issued to finance such
Deve oT)ment Cost and -which has then been retired from funds other than the
proc eds of any loan- obtained by the Local authority.
(B)` Each such Note shall bear .interest and be payable in
the orm and manner prescribed by the Contract and this Resolution; shall
be s fined an the name of the Local Authority by the Mayor shall
have the official seal of the Local Authority impressed thereon and attested
by the. City Clerk Each Project Loan Note shall be in substantially
the orm of. Form No-. HUD -9204 and each Permanent Note shall be in substan-
tia y in the.fora of Form No. h D-5:2250, each of which forms I is incorporated
her.eLn by;.reference and made a part hereof. Project Loan Notes and Permanent
Note3 shall be issued to finance the Development Cost of.Non-Permanently,
Fina -iced Projects and Permanently Financed Projects, respectively.
(C) Each Note issued with respect to any Project shall be.
a direct andgeneral obligation of the Local authority, the full faith
and redit'of which is hereby. pledged for the punctual payment, of the princi-
pal f and` interest' on such l:otes, and, together with all other Notes issued
pur4kannt to this Resolution, shall be additionally se'cured.by (1) a first
age 2 of 2
pl
ge of: the annual contributions payable to the -Local Authority and
au
orized to be pledged to such payment pursuant to the--Contract-and
(2)
by a pledge of.andlien on the Residual Receipts of such -Project
aftar
providing for the payment of Bonds issued in respect to such
Prc
'ect.
(D) As additional security for the equal and ratable
.pa
ent of the principal of and interest on each Note issued.with respect
to
iny Project, together with each other note issued with respect to
suci
Project, the Local Authority, to the fullest extent permitted by
-the
Laws of the State, hereby pledges, mortgages, conveys and grants to
the
Government all property described in the Contract constituting such
Project,
including.that.certain real property relating to each such
Project,
and more.particularly described in the trust instrument or any
amendment
thereto: as:,executed- and recorded by•the Local authority pursuant.
to"
he Contract: Provided, That.in`respect.to.Permanently Financed
Pro
ects the lien of:,such,pledge_and mortgage and rights.granted and,
conveyed
pursuant. to. this paragraph shall (1)'be junior•to the Bonds and-
ndjun
junior
or to the pledge of Residual Receipts securing the. Bonds, and (2)
not
be foreclosable until.all Bonds shall have been paid and discharged
in
he manner provided in the'Bond Resolutions . if the preceding sentence
sha
1 be adjudged by a,:court of competent jurisdiction to be invalid or
ine
fective it is -the .intention of the Local Authority, to be fully deli-ated
and
r the other- provisions of this solution and that such
sha
"jud^:Lent
1"not impair or invalidate the obligation of the Local .authority as herein
pro
ided .
Section. 3. Whenever the following terms, or any of them; are .used in
thi
Resolution, the carie, unless the contest shall indicate another or
dif
Brent meaning -or intent,•sliall be construed -and are intended to have
me
ings as foilows:
(1).: The term "Resolution", shall mean this Resolution.
. (2)":. All .`other .terms used in :this Resolutior. and .7hich
are ,defined in the Contract shall have -the rcf;-jective
meanings.ascribed thereto in..the Contrac;t.,
Section 4. All resolutions or parts of resolutions heretofore adopted by
the
Local authority which authorize the issuance and/or delivery of Project,
Proart
Loan or le.L Hent Plotes pursuant to the Contract are hereby repealed:
Pro
ided, however, .That such repeal shall in no way affect the validity of
Pro
ect, Project Loan or Permanent Notes issued pursuant to said resolutions
whi
h are outstanding or on deposit for -delivery pending payment therefor on
the
date this Resolution becomes effective: .Provided I ether, That the P ro-
jec
Loan Notes authorized by.this Resolution shall be exchanged for any
Pro
ect Notes heretofore issued pursuant to any previous resolution.
ection 5e.- This Resolution shall take effect immediately.
Adopted by the Board of Commissioners and signed by the Mayor this
21s
day of January, 1985. - -
-
> Me11: k&dgel. Mayor
(SE
L)
ATTEST:
.
D. L. Harrison, City Clerk