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<br />~ <br /> <br />~ <br /> <br />to go to the General Fund to cover the deficit. The second situation is <br />that the lots would not sell; the assessments would not be paid; the <br />developer would go bankrupt; the City would foreclose on the lots and be ~ <br />unable to sell them as well. If the situation were really bad, the City <br />could need to cover not only the interest deficit but the amount of the <br />bonds as well. It is the amount of the bonds that the City would be <br />called upon to pay from other sources. That is the worst-case situation, <br />not a prediction. <br /> <br />Ms. Smith moved, seconded by Mr. Lieuallen, that the council <br />approve the 1980 Project Schedule as outlined. <br /> <br />Mr. Delay said he was not comfortable with this schedule. It is a lot <br />of money and he did not favor taking ambiguous risks for the community. <br />Manager replied that it would monitored and evaluated as it progresses, <br />and if anything happens they will alert the City Council. On June 10 <br />the overall status would be reviewed. <br /> <br />Mr. Delay asked if the City could protect itself against default in any <br />other way than a lien on the property. Mr. Teitzel said they had dis- <br />cussed requiring the developer to make a security deposit for the amount <br />of the contract, but it would limit the people who could proceed with <br />projects. <br /> <br />Ms. Miller said she was uncomfortable with the situation and would want <br />people to realize that it is still up in the air and Bancroft projects may <br />not proceed this summer. Mr. Delay felt the projects should go ahead, <br />although there is some risk. He said there was risk if they stood in the ~ <br />way of this development. He would like to have the City Council study the .., <br />situation in the fall before the next session of the legislature. Mayor <br />suggested having an interim report after June 10. Mr. Delay suggested <br />looking at the long-range questions in the fall before the 1981 building <br />season. <br /> <br />Motion carried unanimously. <br /> <br />V. INITIAL CONSIDERATION OF TRESPASS ORDINANCE/CALL FOR SPECIAL MEETING <br /> <br />A. Initial Consideration of Trespass Ordinance--Requested by Councilor <br />Miller <br /> <br />B. Call For SpeCial Meeting for May 5, 1980 <br /> <br />Ms. Smith opposed the reading of the ordinance since the April <br />minutes of the City Council indicate that the issue was to come <br />before the council on May 12. People have been notified of that <br />date and they should have a chance to speak on the issue. <br /> <br />. <br /> <br />4/30/79--6 <br />