Tab_125CITY OF KETCHIKAN, ALASKA
ORDINANCE NO. 164828
AN ORDINANCE OF THE CITY OF KETCHIKAN,
ALASKA, AMENDING ORDINANCE NO. 06-1549
RELATING TO THE CITY'S PORT REVENUE BONDS, BY
MODIFYING CERTAIN COVENANTS IN THE
ORDINANCE; AND ESTABLISHING AN EFFECTIVE
DATE.
WHEREAS, the City of Ketchikan, Alaska (the "City"), issued and sold its Port Revenue
Bond, 2006, in the original principal amount of $38,500,000 (the "2006 Bond"), to the Alaska
Municipal Bond Bank (the "Bond Bank"), as authorized by Ordinance No. 06-1549 of the City
(the "Bond Ordinance"); and
WHEREAS, the Bond Bank issued and sold its General Obligation Bonds, 2006 Series
Two (the "2006 Bond Bank Bonds"), to provide funds to purchase the 2006 Bond; and
WHEREAS, the Bond Bank now wishes to refinance the 2006 Bond Bank Bonds to
achieve debt service savings for borrowers including the City by issuing a series of its general
obligation bonds (the "2016 Bond Bank Bonds") to currently refund the outstanding 2006 Bond
Bank Bonds; and
WHEREAS, by Resolution No. 16-2636, adopted by the City Council on September 15,
2016, the City is authorized to participate in the Bond Bank's refinancing of the 2006 Bond Bank
Bonds and to issue a refunding bond of the City (the "2016 Refunding Bond") to the Bond Bank
in exchange for the 2006 Bond; and
WHEREAS, if the Bond Bank successfully refinances the 2006 Bond Bank Bonds, the
Bond Bank has agreed that certain covenants of the Bond Ordinance that are applicable to the
2016 Refunding Bond may be modified as of the date no 2006 Bond Bank Bonds remain
outstanding, which is expected to be December 1, 2016;
NOW, THEREFORE, be it ordained by the Council of the City of Ketchikan, Alaska, as
follows:
Section 1. Definitions. In addition to capitalized terms defined in the recitals of this
ordinance, other capitalized terms used in this ordinance have the meanings given those terms in
the Bond Ordinance.
Section 2. Amending Annual Audit Provision. From and after the date that no 2006
Bond Bank Bonds remain outstanding, Section 7.3(d) of the Bond Ordinance is hereby amended
as follows (deletions are stricken, additions are underscored):
Ordinance No, 16-1828
(d) Annual Audit, That it will within a period of 180 days
following the close of each Fiscal Year cause an audit of the books and
accounts of the Port Facilities to be made by an independent certified
public accountant or firm of certified public accountants, which audit shall
show the income and expenditures of the Port Facilities, the balance sheet
as of the end of such Fiscal Year, comments in regard to the manner in
which the City has carried out the requirements of this ordinance, a list
and amount of insurance policies in force on any part of the Port Facilities,
and the number and classification of Port Facilities customers.
Section 3. Amending Repair and Replacement Fund Provision. From and after the
date that no 2006 Bond Bank Bonds remain outstanding, Section 7.7 of the Bond Ordinance is
hereby amended as follows (deletions are stricken, additions are underscored):
Repair and Replacement Fund. There is hereby authorized to be
established a special fund of the City designated as the "Port of Ketchikan
Repair and Replacement Fund" (the "Repair and Replacement Fund").
Beginning on November 1, 2008, and on each November 1 thereafter, the
City shall pay into the Repair and Replacement Fund, out of money in the
Port Revenue Fund available after making the payments described in
paragraphs First through Fifth in Section 7.1; an amount equal to 5% of
total Port Revenue received during the preceding Fiscal Year. Such
payments shall continue until, and resume as necessary after any
discontinuance so that, the total amount on deposit in the Repair and
Replacement Fund equals at least the greater of (i) $750,000 or (ii) the
amount specified by a Consultant based on a life cycle analysis prepared
for the City not less than once every five years. The City shall use money
on deposit in the Repair and Replacement Fund only for paying the cost of
extensions, improvements to or additions to or the replacement of capital
assets of the Port Facilities, including extraordinary repairs; provided,
however, that if at any time money on deposit in the Bond Fund is
insufficient to make any payment required therefrom, the City may
withdraw money from the Repair and Replacement Fund to the extent of
such deficiency.
Section 4. Ratification. Except as expressly amended by this ordinance, all other
provisions of the Bond Ordinance are ratified and confirmed.
Section 5. Effective Date. This ordinance shall be in full force and effect one month
after its final passage by the Council and publication.
READ FOR THE FIRST TIME at a regular meeting of the Council held on September
15, 2016.
PASSED AND APPROVED by the City Council of the City of Ketchikan, Alaska, at a
regular meeting of the Council held on October 6, 2016,
Ordinance No. 16-1828
CITY OF KETCFIIKAN, ALASKA
/
By
Mayor
EFFECTIVE DATE: November 10, 2016
ROLL CALL YEA NAY ABS
COOSE X
GAGE X
ZENGE X
ISOM X
KIFI'ER X
SIVERTSEN X
VACANT
MAYOR
ATTEST:
City Cler c
Ordinance No. 16-1828
CERTIFICATE OF MINUTES
I, Katherine M. Suiter, City Clerk of the City of Ketchikan, Alaska (the "City"), DO
HEREBY CERTIFY that the attached is a true and correct copy of an excerpt of the minutes of the
City Council's meeting of October 6, 2016, showing Council approval of Ordinance No, 16-1828
amending certain provisions of Ordinance No. 06-1549.
Dated as of November 3, 2016.
CITY OF KETCHIKAN, ALASKA
H
Katherine M. Suiter, City Clerk
City of Ketchikan, Alaska
October 6, 2016
Moved by Kiffer, seconded by Coose the City Council authorize the city manager to enter into
Amendment No. 6 (Final) to Contract No. 13-37, Thomas Basin Seawall Design, between the
City and PND Engineers, Inc. of Juneau, Alaska in an amount not to exceed $10,000, bringing
the total contract amount to $851,544; and approve funding in the amounts of $5,000 and $5,000
respectively from the Tourism & Economic Development Department's 2016 Thomas Basin
Seawall Improvements Capital Account and the Harbors Department's 2016 Thomas Basin
Ramp Replacements Capital Account.
Motion passed with Coose, Isom, Gage, Sivertsen, Kiffer and Zenge voting yea; one seat vacant.
Resolution No. 16-2638 - Recognizing the Efforts and
Accomplishments of Kellyjohn (1(j) Harris - Mayor Williams
Moved by Kiffer, seconded by Coose the City Council approve Resolution No. 16-2638
recognizing the efforts and accomplishment of Kellyjohn (Kj) Harris; and establishing an
effective date.
Motion passed with Coose, Isom, Gage, Sivertsen, Kiffer and Zenge voting yea; one seat vacant.
Budget Transfer - Contract No. 16-02, Bailey Diesel Generator
No. 3 Asbestos Abatement, Far North Services, LLC
Moved by Kiffer, seconded by Coose the City Council award Contract No. 16-02, Bailey Diesel
Generator No. 3 Asbestos Abatement, to Far North Services, LLC in the amount of $37,300;
authorize a budget transfer of $52,300 from the Electric Division's 2016 Additional Projects
Capital Account to the Bailey Diesel Generator No. 3 Thermal Blanket Asbestos Abatement and
Replacement Capital Account; and direct the general manager to execute the contract documents
on behalf of the City Council.
Motion passed with Coose, Isom, Gage, Sivertsen, Kiffer and Zenge voting yea; one seat vacant.
UNFINISHED BUSINESS
Ordinance No. 16-1828 - Amending Ordinance No. 06-1549
Relating to the City's Port Revenue Bonds by Modifying
Certain Covenants in the Ordinance - Second Reading
Copies of Ordinance No. 16-1828 were available for all persons present.
Moved by Kiffer, seconded by Zenge the City Council approve in second reading Ordinance No.
16-1828 amending Ordinance No. 06-1549 relating to the City's Port revenue bonds by
modifying certain covenants in the ordinance; and establishing an effective date.
Motion passed with Coose, Isom, Gage, Sivertsen, Kiffer and Zenge voting yea; one seat vacant.
Ordinance No. 16-1829 - Amending Subsection (d) of
Ketchikan Municipal Code Section 13.10.030 Entitled
"Imposition of Passenger Wharfage Fees" - Second Reading
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