#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.
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