BIL 091 Draft 01 2012-2014 - Laserfiche WebLink

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4OJ101 OF p,�'. COUNTY OF HAWAII < • � ''' / •i STATE OF HAWAII BILL NO. 91 ORDINANCE NO. AN ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS OF THE COUNTY OF HAWAII IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $1,169,000 FOR THE PURPOSE OF FINANCING A PORTION OF THE COSTS OF CONSTRUCTING A PUBLIC WATER SYSTEM SERVING THE KONA OCEAN VIEW PROPERTIES SUBDIVISION; FIXING THE FORM, DENOMINATION, AND CERTAIN DETAILS OF SUCH BONDS; AND PROVIDING FOR THE SALE OF SUCH BONDS. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Findings and Determinations. It is hereby found and determined that: A. Pursuant to Chapter 12, Hawai`i County Code 1983 (2005 Edition, as amended) (the "Hawai`i County Code), and Resolution Nos. 47-07, 74-11, 99-11, 301-12 and 98-13, the Council of the County of Hawai`i (the"County")has authorized the creation,definition and establishment of a Water System hmprovement District(the"Improvement District")for the purpose of undertaking and financing the costs of a project consisting of the construction, acquisition and installation of a public water system to serve the Kona Ocean View Properties Subdivision (the "Project"). B. In order to assist in the financing of the Project,the United States of America acting by and through Department of Agriculture Rural Development("USDA/RD")has offered to make a loan to the County(the"USDA/RD Loan")in a principal amount not to exceed One Million One Hundred Sixty-Nine Thousand and No/100 Dollars($1,169,000)and bearing interest at a rate not to exceed Three and One Quarter Percent(3'/ %)per annum. USDA/RD has also offered to make a grant to the County(the"USDA/RD Grant")to provide further assistance for the Project in an amount not to exceed Three Hundred Fifty-Three Thousand Three Hundred Sixty-Nine and No/100 Dollars ($353,369). C. It is advisable and desirable for the County to obtain the USDA/RD Loan. In order to secure the payment of the USDA/RD Loan, it is necessary, advisable and desirable that the County authorize, issue and sell to USDA/RD general obligation bonds of the County in a principal amount equal to the principal amount of the USDA/RD Loan. D. The costs of the Project, net of a the USDA/RD Grant, will be assessed against the "assessment units"within the Improvement District in accordance with Chapter 12,Hawai`i County Code. Collections of such assessments will be used to reimburse the County for payments of the principal of and interest on the bonds authorized hereunder, for costs of the Project not funded by such bonds and for administrative expenses of the County with respect to the Improvement District.