491 Interloan Fund Killion LID CITY OF YELM
RESOLUTION NO. 491
A RESOLUTION OF THE CITY OF YELM PROVIDING FOR AN INTERFUND LOAN
TO THE KILLION ROAD FUND 310 AND PROVIDING FOR THE LENGTH OF THE
TERM OF THE LOAN AND INTEREST RATE TO BE PAID.
WHEREAS, the City of Yelm has contracted services for completion of the Killion Road
Local Improvement District #2 (LID 2);
WHEREAS, the original Bond Anticipation Note (BAN) financing is not sufficient to
cover cost and time overruns when coupled with lower than anticipated investment interest;
WHEREAS, additional interim funding is needed to cover the costs of completion until
bond financing is received in 2009;
WHEREAS, the Sewer Capital Improvement Fund 413 has sufficient unused funds in
excess of any current needs available to provide this interim loan internally;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Yelm,
Washington, as follows:
1. An interfund loan not to exceed $950,000 from the Sewer Capital Improvement Fund
(413) is authorized.
2. The intent of the loan is for Killion Road LID 2 completion of Improvements.
3. Interest shall be charged at 1.9%, the same rate Sewer Capital Improvement Fund (413) is
currently receiving while invested in the WA State Local Government Investment Pool
(LGIP). Interest shall be calculated monthly on the last day of the month.
4. Funds advanced to Killion Road Improvement Fund (310) shall be repaid along with
interest due to Fund (413) by October 31, 2009.
APPROVED by the City
Council of Yelm this 23rd day of December 2008
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Ron Ha~ct~g~Mayor
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ATTEST:
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anine Schnepf, City Cle