ORDINANCE 04-30(A)

AN ORDINANCE OF THE CITY COUNCIL OF HOMER ALASKA APPROVING AND SUBMITTING A LOAN AND LONG TERM DEBT AUTHORIZATION FOR THE PURPOSE OF FINANCING AND CONSTRUCTING THE NEW HOMER PUBLIC LIBRARY TO THE VOTERS FOR VOTER APPROVAL AT THE OCTOBER 5, 2004 MUNICIPAL ELECTION.

WHEREAS, The City Council has recently adopted a Long Range Fiscal Plan, and

WHEREAS, During the planning process, the Council identified the need to borrow an amount up to $2,200,000 in order to complete the financing package and begin construction of the new Homer Public Library, and

WHEREAS, The construction of a new public library has been a top city priority for many years and is considered to be vital to the educational, economic, social, and cultural development and vitality of the city, and

WHEREAS, The Friends of the Library and its staff, the Library Advisory Board and its associated committees, City staff, and many other dedicated individuals, organizations, and businesses have done an outstanding job raising funds for this project, and

WHEREAS, The City anticipates at this time that approximately $4.7 Million will be raised for the project through grants, donations, and other fund raising activities and that an additional $1.8 to $2.2 million will be needed, and

WHEREAS, The amount of money raised to date demonstrates that there is overwhelming support for this project from the community, organizations, businesses, and the federal, state, and local governments, and

WHEREAS, The City Council wishes to obtain a loan in the amount not to exceed $2.2 Million and incur long term debt in order to make sure that this very high priority project is constructed as soon as possible.

NOW THEREFORE, the City of Homer Ordains:

Section 1. That the Homer City Council finds that at the present time it is in the best interest of the City to incur long-term debt in order to complete the financing package for the new library.

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Ordinance 04-30(A)

City of Homer

Section 2. The City Clerk shall submit the following question to the voters at the next regular election to be held on October 5, 2004. The ballot proposition shall read as follows:

PROPOSITION 1

Shall the City of Homer borrow funds, which shall be a general obligation of the City, in an amount not to exceed $2,200,000.00 ($2.2 Million) for the purpose of constructing and equipping the new Homer Public Library? ~~once a funding mechanism for the repayment has been defined by the City Council??~~

YES NO

Section 3. The City Manager and City Clerk are authorized to provide an explanation to the voters regarding issues such as the terms of the loan and how the loan would be repaid.

Section 4. This ordinance is not of a permanent nature and as such, shall not be codified.

PASSED AND ENACTED by the Homer City Council this day of , 2004.

CITY OF HOMER

JACK CUSHING, MAYOR

ATTEST

MARY L. CALHOUN, CMC, CITY CLERK

Introduction: 06/14/04

Public Hearing: 06/28/04 and 07/26/04

Second Reading: 07/26/04 Reconsideration issued 07/27/04 Reconsidered on 08/09/04

Effective Date: 08/10/04

Ayes: 5

Nayes: 1

Abstain: 0

Absent: 0

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Ordinance 04-30(A)

City of Homer

Reviewed and approved to form and content:

Walt Wrede, City Manager Gordon Tans, City Attorney

Date: Date:

Fiscal Note: Amortization Schedule Attached