HomeMy WebLinkAbout90-041A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PORT
TOWNSEND AUTHORIZING EXECUTION OF DOCUMENTS AND DIS-
BURSEMENT OF FUNDS FOR A LOAN OF COM}~NITY DEVELOP-
MENT BLOCK GRANT FUNDS PURSUANT TO RESOLUTION NO. 88-
58 OF THE CITY OF PORT TOWNSEND
WHEREAS, the City Council for the City of Port Townsend previ-
ously authorized by Resolution No. 88-58 the terms and limits for
certain loans of Community Development Block Grant funds for side-
walk improvements and other improvements in the City business dis-
trict, and
~EREAS, Water Street Corporation, Inc., a Washington corporation,
has applied for a loan from the City's HUD loan panel of such funds
in the amount of $ 10,216 for restoration of fire escape on the
N. D. Hill building
in Port Townsend, Washington, which work consists of restoration of
the fire escape on the historic structure ,
and
~EREAS, the City Council has reviewed the loan proposal pre-
viously approved by the HUD loan panel, and the terms of the loan
and the documents therefor should be approved, now, therefore,
BE IT RESOLVED by the City Council for the City of Port Town-
send that a loan of Community Development Block Grant funds in the
amount of $10,216 , pursuant to the terms of Resolution No. 88-58
of the City Council, to Water Street Corporation, Inc.
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be and the same is here and hereby approved, subject to the follow-
ing conditions:
1. Funds shall be disbursed by the City Clerk upon completion
of construction, after verification by the City to the City's sat-
isfaction of the amounts expended and satisfactory completion of
the work. The borrower shall present receipts and other evidence
of expenditures'to the City Clerk to support disbursement of the
funds.
2. Interest at the rate of 6% per annum shall accrue upon all
funds disbursed from the date of disbursal.
3. The loan transaction shall be in accordance with the at-
tached documents to this Resolution, including Truth in Lending
Disclosure Statement, Promissory Note, and Deed of Trust, which are
incorporated herein as if set forth in full, and such other docu-
ments necessary to close the transaction.
4. The borrower shall/shall not be required to provide title
insurance in the amount of the loan in favor of the City, in a form
and with companies acceptable to the City, and the title report
shall show the borrower as the sole owner of the property, subject
only to those exceptions, encumbrances, rights, reservations or
other matters which are acceptable to the City Clerk, the City At-
torney and the Mayor of the City.
5. The Promissory Note shall provide for annual
payments, beginning one year after disbursement of the
loan proceeds, in self-amortizing payments together with interest
at the rate of 6% per annum, payable in 10 years.
BE IT FURTHER RESOLVED by the City Council for the City of
Port Townsend that the Mayor for the City is authorized to sign
any and all documents necessary to close said loan in accordance
with this Resolution and the attachments herein, and such other
documents necessary to close the loan, and the Clerk for the City
is hereby authorized to issue the City's warrant or warrants for
said loan in accordance with this Resolution in the total amount
of $ 10,216.
PASSED by the City Council for the City of Port Townsend and
signed by the Mayor this
Attest:
David A. Grove, City Clerk
i~~r C~~~ty Attorney
day of April , 199 0.
Ma~or .Brent ir ey ~
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