09/09/1981 Meeting - Laserfiche WebLink

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~ E. Finance Resolution/Ordinance Re: Sale of General Obligation Bancroft Improvement Bonds, Series "H" (memo distributed) . Ms. Wooten asked what interest was being offered in the sale of the Bancroft bonds. David Coombs, General Accounting Manager for the City, responded that the rate would probably be 11.5 to 12 percent. Ms. Wooten then asked what rate citizens using the Bancroft funds would pay. Mr. Coombs responded that citizens would pay ten percent and explained that the difference in rates can be accommo- dated because existing funds were sold at lower rates and are rapidly being paid off by property owners with the repaid funds being invested at the current market rate. Ms. Wooten then asked if the City is responsible for defaults of citizens in repayment of Bancroft funds. Mr. Gleason explained that in the event of a default, the City can put a lien on the value of the structure on the property for which the assessment is made. Responding to questions from Ms. Wooten and Ms. Miller, Mr. Coombs said that there is an interest ceiling of 13. percent of the sale of Bancroft bonds and that this is a matter of local ordinance. Res. No. 3576--A resolution prescribing the form of notice of sale of $4,910,000 General Obligation Bancroft Improvement Bonds, Series "H", of the City of Eugene, Oregon. Ms. Miller moved, seconded by Mr. Obie, to adopt the resolution. Roll call vote; motion carried unanimously. CB 2354--An ordinance authorizing the issuance and sale of $4,910,000 . General Obligation Bancroft Improvement Bonds, Series "H", of the City of Eugene, Oregon, and directing that they be advertised for sale, all in accordance with the provisions of Chapter 223, Oregon Revised Statutes, commonly known as the Bancroft Bonding Act, and declaring an emergency. Ms. Miller moved, seconded by Mr. Obie, that the bill be read the second time by council bill number only, with unanimous consent of the council, and that enactment be considered at this time. Roll call vote, motion passed unanimously. Ms. Miller moved, seconded by Mr. Obie, that the bill be approved and given final passage. Roll call vote. All councilors present voting aye, the bill was declared passed and numbered 18855. III. PUBLIC HEARINGS A. Easement/Alley Vacation Requests l. Easement Vacation for Samuel Kirk (EV 81-5) (map distributed) (back round information under separate cover) Recommended approval by Panning Commission, . 5:0 . MINUTES--Eugene City Council September 9, 1981 Page 5