HomeMy WebLinkAbout2662 Supplemental Budget AppropriationOrdinance No. 2662
AN ORDINANCE APPROPRIATING THE SUM OF $36,915 TO THE PUBLIC,
EDUCATIONAL AND GOVERNMENTAL (PEG) ACCESS FUND; AND AMENDING
THE 1998 BUDGET; AND AUTHORIZING AN INTERFUND LOAN IN THE
AMOUNT $36;500 FROM THE EQUIPMENT RENTAL FUND TO THE PEG ACCESS
FUND AND PROVIDING FOR REPAYMENT OF PRINCIPAL AND INTEREST;
MAKING FINDINGS AND DECLARING AN EMERGENCY
THE CITY COUNCIL OF THE CITY OF PORT TOWNSEND, UPON REVIEW OF THE
1998 BUDGET, MAKES THE FOLLOWING FINDINGS:
1. The City has entered into a 15-year nonexclusive franchise agreement with Cable TV Limited
Partnership and interlocal agreement with the Port Townsend School District, dated 11/4/97, which
agreements enable the City to operate a public, educational and governmental access channel at the
Port Townsend High School Gael Stuart building ("the studio"); and
2. Pursuant to the franchise agreement, capital equipment for the studio is to be purchased
through a $0.45 per month per customer contribution (currently about $12,500 per year); therefore,
although a stable revenue source exists, the funds will be accumulated slowly over the 15-year term
of the franchise agreement; and
3. Pursuant to the intedocal agreement, the School District has upgraded the Gael Stuart
Building, with the intent to provide video production space and a PEG access studio for use by
students, the government and the public; and
4. The City (through the PEG Access Fund) needs to procure the capital equipment necessary
for pre-production, production, editing and transmission of programming of local value, before the
studio can open for public, governmental and full educational use; and
5. The PEG Access Fund does not currently have sufficient resources to pay for needed capital
equipment; and
and
The Equipment Rental Fund has sufficient resources to loan moneys to the PEG Access Fund;
7. The City intends to repay the interfund loan through loan proceeds to be obtained from the
State Treasurers's Local Option Capital Asset Lending Program to be applied for November 10,
1998, and are disbursed by December 15, 1998; and
8. The PEG Access Coordinating Committee has reviewed the funding for the studio, and has
recommended that the City take the course of action outlined in this ordinance; and
9. The above findings are due to events which could not have reasonably been known at the time
of adoption of the 1998 Budget; and
10. Pursuant to 35A.33 RCW, the City Council desires to supplement the 1998 budget.
SECTION 1. The sum of THIRTY-SIX THOUSAND FIVE HUNDRED and NO/100
DOLLARS ($36,500.00) is hereby appropriated as a Capital Outlay supplement to the 1998 PEG
Access Fund Budget from an interfund loan; and the sum of FOUR HUNDRED FIFTEEN and
NO/100 DOLLARS ($415.00) is hereby appropriated as an interest expenditure supplement to the
1998 PEG Access Fund Budget from unappropriated fund balance.
SECTION 2. An interfund loan in the amount of $36,500 is hereby authorized from the
Equipment Rental Fund to the PEG Access Fund. The City Finance Director is hereby directed to
make such transfer, and the Mayor and the Finance Director are hereby authorized to draw warrants
in accord with the same.
SECTION 3. Repayment of the above authorized loan shall be made according to the
repayment schedule as specified in Attachment A, together with interest at an annual rate of 4.65
percent. The City Council shall repay this interfund loan with loan proceeds to be obtained from the
State Treasurer's Local Option Capital Asset Lending Program to be applied for November 10, 1998.
SECTION 4. There is hereby found and declared to be an emergency requiring the
foregoing appropriations to the 1998 budget.
This ordinance shall take effect and be in force five days after the date of its publication
in the manner provided by law.
Read for the first, second, and third times and adopted by the City Council of the City of
Port Townsend, Washington, at a regular meeting thereof, held this 21st day of September, 1998.
Attest:
~~q ~' Clerk
Pam Kolacy, Citi~
Attachment A - Loan Amortization Schedule
09/24/98 Ord\{PEGFund.doc} Ord-2662
Julie~gCulloch, Mayor
Timothy ~c~lahan[ City Attorney
2 Ord. 2662
Attachment A
City of Port Townsend
Loan Amortization Schedule - P.E.G. Access Fund
Purpose of loan: Capital equipment for the studio
Source of loan funds: Equipment Rental Fund
Date of loan: October 5, 1998
Loan amount $36,500
Interest rate 0.0465
Term 88 days
Payment Loan Interest
Number Payment date Balance Portion
1 December31, 1998 $ 36,500 $ 415
Principal
Portion
$ 36,500
Payment
Amount
$ 36,915