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#071 09-07-76 Authorize Themporary Loan of Funds334 Resolution No. 71 September 7, 1976 Member Thorsen introduced the following resolution and MOVED its adoption: RESOLUTION AUTHORIZING TEMPORARY LOAN OF FUNDS WHEREAS, the City of Golden Valley maintains two enterprise funds, namely the Brookview Operating Fund and the Utility Operating Fund and, WHEREAS, the City Council is desirous of proceeding with work preliminary to the construction of a Par — 3 golf course beginning with the forthcoming winter construction season at its golf facilities operated through the Brookview Operating Fund and, WHEREAS, sufficient cash funds for said work are not available at present in the Brookview Operating Fund, but sufficient retained earnings and cash are available at this time in the Utility Operating Fund, NOW THEREFORE BE IT RESOLVED that the City Council of the City of Golden Valley authorizes the temporary loan of funds not to exceed $110,000 by the Utility Operating Fund to a fund to be known as the Brookview Construction Fund subject to the following terms and conditions: 1. The term of the loan shall be one year, subject to the option of the City Council to extend the term for additional one year periods. 2. Payment in whole, or in part, may be made at any time. 3. Said temporary loan shall be subject to an interest charge of six (6) percent per annum payable, December 1, 1977 and, if extended, December 1 of each year thereafter. 4. Principal and interest shall be paid by the Brookview Operating Fund or, in the event that long term financing is provided, may be paid from the proceeds of any bond issue so designated. BE IT FURTHER RESOLVED that the funds provided by this loan shall be used exclusively for the purpose of impr em nts to he golf course preparatory to construction of a Par — 3 our on th same property. ATTEST: Mary H. Marske, City Clerk Robert R. Hoover, Mayor Resolution No. 71 (cont.) September 7, 1976 The motion for the adoption of the foregoing resolution was seconded by Member Anderson and upon vote being taken thereon, the following voted in favor thereof: Anderson, Hoover, Johnson, Swartz and Thorsen and the following voted against the same: none, whereupon said resolution was declared duly passed and adopted, signed by the Mayor and his signature attested by the City Clerk. 1 1