Courier-herald. [volume] (Kennewick, Wash.) 1949-1950, 1949-11-12

Section 3. Said bonds shall be signed by
the Mayor Of the city and attested by tns
City Clerk under the corporate sea- Oh
the city, and the interest coupons az
tached to said bonds shall be signea Win VIZ
the fac-simile signatures Of said officials.
The duly elected, qualified and acting
Mayor and Clerk of the city at the Tune
of the actual issuance OF any OF the Donus
described herein are hereby autnorlZed 70
execute and attest said bonds on nen ,snt
of the city regardless of whether or not
they were such Mayor andIor clerk OIL
the city on November 1, 1949.
Section 4. That there be and Is hereby
created in the office OF the City ireasurer
wick 1919 water Revenue Bond Redemp-
ton Fund.-. which fund lis to be drawn
upon for the sole purpose OF paying inc
principal and interest OF all or satu
81, 900, 900 of bonds outstanding. Inc S,dy
Of Kennewick hereby oblisates and pinds
itself to set aside and pay into said Bond
Redemption Fund, out OF the gross rev
enue OF its water supply ana olstrlDuIio. ~
system and all additions ana improvements
thereto certain fixed a sadd interest on all
of the outstanding bonds OF said issue as
the same respectively become Que ana
payable. .,;a
Such payments shall be made into sac .,lo
gond Redemption Fund on or before tne
oGth day of each month in the amounts
hereinafter specified: 900 -
a. Beginning with November. 1S49, ana
continuing as long as any OF salo Do,,ue
are outstanding and unpaid, an aHoun at
equal to at least one-sixth OF the interest,"
to become due and payable at the END OF
the next ensuing 6-month period on an Oh
said outstanding bonds. o-.
b. Beginning with November, 1891, ana
continuing as long as any OF ga saiu an n
equal to at least one-twelfth OF the prince
nal Of said bonds to become due ana pay
able on the next principal payment oate.
Provided, however, that when tnere -
sufficient money in said Bond keoe ad tSa
Fund and the Reserve Account ana tne
Sinkinz Fund herein after created 70 pay
the principal and interest to maturity Oh
ali the outstanding bonds OF this issue,
then no further payments need % Maoe
into said Bond Redemption fund.
Said amounts so pledged are hereby de-
clared to be q prior lien and charge upon
the gross revenue Of said water Supply
and distribution system and all aodltlons
and improvements thereto, superior 70
all other charges Of any kind or mature
except the necessary cost OF maintenance
and operation of said system.
Section S. There Is hereby created
Reserva Account in said Bond Redempuon
FUND, and the city hereby agrees tnat u
will ret aside and pay into said reserve
Account. out Of the gross revenue Oh sa nd
all additions and improvements thereto
and ont Of any other funds which they
may have on hand and which are avail
able for such purpose. the sum Of $4,000,
which shall be paid as follows:
Commencing with the month OF January
1850, the sum of at least $1,675 per month
for twenty-four months, and then the
sum Of at least $675 per month for twelve
months.
The city further agrees that when said
sum Of $4,000 has been paid into said
Reserve Account It will at all times main
tain that amount therein until there is
sufficient amount In the Bond Redemption
Fund.- Reserve Account and Sinking Fund
hereinafter created to pay the principal
standing bonds Of this issue. In the event
there shall be deficiency in the Bond
Redemption Fund to meet maturing in
stallments of either principal or interest,
such deficiency shall be made up from
the Reserve Account by the withdrawal
of cash therefrom. Any deficiency created
in the Reserve Account by reason Of any
such withdrawal shall then be made up
from moneys from the revenue OF said
water system first available after making
ments into the Bond Redemption Fund.
All money in the Reserve Account
above provided for may be kept IN cash
or invested in Unibed States Government
obligations maturin4 not later than twelve
years from date Of purchase. Interest
earned on any such investments shall be
deposited in and become a part Of the
Bond Redemption Fund.
Section. 6 That there b and is hereby
created in the office Of the City Treasurer
q special fund to be known as "Kenne-
wick 1949 Water Revenue Bond Sinking
Fund" hereinafter called ''Sinking Fund,
into which the following payments shall
be made out Of the gross revenue Oh the
water supply and distribution system OF the
city and all additions and improvements
thereto fret available after costs OF main
tenance and operation of said system ana
the payments into the Bond Redemption
Fund herein above provided for have been
made: