Chapter 3.54
SPECIAL BOND FUNDS

Sections

3.54.010    Created.

3.54.020    Current expenses.

3.54.030    Marina construction account – Deposits.

3.54.040    Bond and interest sinking fund account – Deposits – Transfer.

3.54.050    Bond interest payments.

3.54.060    Repealed.

3.54.070    Use of excess funds.

3.54.010 Created.

There are hereby created and established in the office of the city treasurer three special funds and accounts of the city, to wit:

(1) “Marina System Revenue Fund Account” (hereinafter called the “revenue fund account”).

(2) “Marina Revenue Bond and Interest Sinking Fund Account” (hereinafter called the “bond and interest sinking fund account”).

(3) “Marina System Repair and Replacement Reserve Account” (hereinafter called the “repair and replacement reserve account”).

All of such funds shall be held in the custody of the city treasurer separate and apart from all other funds and shall be deposited in the official bank depository of the city. Moneys in such funds shall be expended and used by the city treasurer only in the manner and order specified in this chapter. [Ord. 1297 § 2(part), 2001; Ord. 265 § 9, 1970.]

3.54.020 Current expenses.

Current expenses of the marina system shall be payable, as a first charge, from the revenue fund account as the same become due and payable. Current expenses shall include all necessary operating expenses, current maintenance charges, expenses of reasonable upkeep and repairs, properly allocated share of charges for insurance and all other expenses incident to the operation of the marina system, but shall exclude depreciation, all general administrative expenses of the city and the payment into the repair and replacement reserve account hereinafter provided for. [Ord. 1297 § 2(part), 2001; Ord. 265 § 10, 1970.]

3.54.030 Marina construction account – Deposits.

There has heretofore been created pursuant to Ordinance No. 199, passed by the city council and approved by the mayor on April 13, 1966, in the office of the city treasurer a special fund of the city designated the “Marina Construction Account” (hereinafter called the “construction account”), into which account shall be deposited the principal proceeds received from the issuance and sale of the bonds. [Ord. 1297 § 2(part), 2001; Ord. 265 § 11, 1970.]

3.54.040 Bond and interest sinking fund account – Deposits – Transfer.

The accrued interest received from the issuance and sale of the bonds shall be deposited in the bond and interest sinking fund account, which sum shall be credited against the amount to be deposited into said account on the next interest payment date. In addition, there shall be transferred from the construction account into the bond and interest sinking fund account an additional sum for capitalized interest during the development period of the project equal to $60,000 or such lesser sum, if any, which is available after the payment of interest during the construction of the project. [Ord. 1297 § 2(part), 2001; Ord. 265 § 12, 1970.]

3.54.050 Bond interest payments.

As soon as any portion of the project becomes revenue-producing, and after providing for the payment of current expenses, the city shall transfer from the revenue fund account and deposit to the credit of the bond and interest sinking fund account, on or before each March 15th and September 15th, a sum which, together with the sums therein representing accrued and capitalized interest, shall be sufficient to pay the interest on the outstanding bonds as the same become due, plus the balance thereafter remaining in the revenue fund account in excess of said sum to pay the interest which, when added thereto, will not exceed $123,925 (.625 of the maximum annual debt service on the bonds); provided, however, that beginning on or before March 15, 1971, the city shall, after providing for the payment of current expenses, transfer from the revenue fund account and deposit to the credit of the bond and interest sinking fund account, on or before each succeeding March 15th and September 15th (1) such sums as are necessary to meet the interest on the outstanding bonds due on the next interest payment date and one-half of the principal due within the succeeding 12 months, and (2) the balance thereafter remaining in the revenue fund account in excess of such sums to meet the principal and interest, which, when added thereto, will not exceed $123,925, until the funds and/or investments in the bond and interest sinking fund account are sufficient to meet the interest on the bonds due on the next interest payment date and one-half of the principal due within the succeeding 12 months plus a debt service reserve in the sum of $396,560 (not less than twice the maximum annual debt service on the bonds) and, thereafter, on or before each March 15th and September 15th, such sums from said source as may be necessary to meet the interest on the bonds due on the next interest payment date and one-half of the principal due within the succeeding 12 months and maintain the debt service reserve in the sum of $396,560. [Ord. 1297 § 2(part), 2001; Ord. 265 § 13, 1970.]

3.54.060 Repair and replacement reserve account – Deposits and use.

Repealed by Ord. 1445. [Ord. 1297 § 2(part), 2001; Ord. 265 § 14, 1970.]

3.54.070 Use of excess funds.

Subject to making the foregoing maximum deposits, the city may use the balance of excess funds in the revenue fund account at the close of each fiscal year to redeem outstanding bonds on the next interest payment date, in inverse numerical order and in amounts of not less than $5,000 par value at one time, or for any expenditures, including the payment of debt service, in improving or restoring any existing marina system facilities or providing any additional marina system facilities. [Ord. 1297 § 2(part), 2001; Ord. 265 § 15, 1970.]