3.12.010 Creation

In order to secure the prompt payment of any special improvement district bonds and warrants issued in payment of improvements made in any special improvement district, or districts and the interest thereon, as it becomes due (the “Bonds” and “Warrants”), unless such Bonds or Warrants by their terms are not secured by such fund, there is hereby created and established a fund to be known and designated as “Special Improvement District Revolving Fund” (hereafter the Revolving Fund). (Ord. 2607, 1991)

3.12.020 Providing funds

1. For the purpose of providing funds for the Revolving Fund, the City Commission:
   1. May, in its discretion, from time to time, transfer to the Revolving Fund from the General Fund of the City (the General Fund), such amount or amounts as may be deemed necessary, which amount or amounts so transferred, shall be deemed and considered and shall be loans from such General Fund to the Revolving; and
   2. May include in the costs of the improvement to be defrayed from proceeds of the Bonds or Warrants an amount up to 5% of the principal amount of the Bonds or Warrants and deposit it in the Revolving Fund upon receipt of such proceeds;
2. Shall, in addition to such transfer, or transfers, from the General Fund, or in lieu thereof, levy and collect for said Revolving Fund a tax, hereby declared to be for a public purpose, on all the taxable property in the City as shall be necessary to meet the financial requirements of said fund. However, a tax may not be levied if the balance in the Revolving Fund exceeds 5% of the principal amount of the then-outstanding Bonds and Warrants secured thereby. If a tax is levied, the tax may not be an amount that would increase the balance in the fund above 5% of the then-outstanding Bonds and Warrants secured thereby. (Ord. 2607, 1991)

3.12.030 Loans from special improvement district revolving fund

Whenever any Bond or Warrant which is secured by the Revolving Fund, or interest thereon, shall be, or shall become due and payable, and there shall then be either no money, or not sufficient money, in the appropriate special improvement district fund with which to pay the same, an amount sufficient to make up the deficiency shall, by order of the City Commission, be loaned by the Revolving Fund to such district fun. Thereupon, such Bond or Warrant or such interest thereon shall be paid from the money so loaned, or from the money so loaned when added to the insufficient amount, as the case my required. (Ord. 2607, 1991)

3.12.040 Lien of loan

1. Whenever any loan is made to any special improvement district from the Revolving Fund, the Revolving Fund shall have a lien therefore on all unpaid assessments and installments of assessments pledged to such funds (whether delinquent or not) and on all moneys thereafter coming into such funds, to the amount of such loan, together with interest thereon from the time it was made at the rate or percentage borne by the Bond or Warrant for payment of which, or if interest thereon, such loan was made.
2. Whenever there shall be moneys in such special improvement district fund which are not required for the payment of any Bond or Warrant, or of interest thereon, so much of such moneys as may be necessary to pay such loan shall, by order of the City Commission, be transferred to, and become a part of, the Revolving Fund. (Ord. 2607, 1991)

3.12.050 Use of excess special improvement district revolving fund

1. Whenever there is an amount in the Revolving Fund, in excess of the amount deposited in the Revolving Fund pursuant to 3.12.020.A hereof and in excess of 5% of the outstanding Bonds and Warrants and the City Commission considers any part of the excess to be greater than the amount necessary for the payment or redemption of maturing Bonds or Warrants secured thereby, or interest thereon, the City Commission may:
   1. By a vote of all its members, at a meeting called for that purpose, order such excess, or any part thereof, transferred to the General Fund of the City; or
   2. Use such excess, or any part thereof, for the purpose of purchase of property at sales for delinquent taxes or assessments, or both, or which may have been struck off or sold to the County of Cascade for delinquent taxes or assessments, or both, and against which property there then be any unpaid assessments for special improvements on account whereof there are outstanding Bonds or Warrants of the City. (Ord. 2607, 1991)

3.12.060 Continuing obligation

That so long as any Bonds or Warrants secured by the Revolving Fund are outstanding, or any interest thereon remains unpaid, the City may not abrogate its responsibilities or obligations hereunder or under any resolution authorizing the issuance of Bonds and Warrants secured by the Revolving Fund. (Ord. 2607, 1991)