Minutes 01/22/1974 - Laserfiche WebLink

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~') c. t..., TUESDAY JANUARY 22, 1974 4. The provlslons of Section IV, Paragraph F, G, and H, supra, concerning billing, taxes and arbitration, shall equally apply to this section. C. In lieu of participation in debt service costs as provided in Paragraph IX. B., supra, both parties to this contract shall have the privilege of paying their proportionate share of the cost of any improvement either on a cash basis or on a basis the same as if the funds were borrowed on an annual debt retirement schedule to be mutually agreed upon but not more than thirty (30) years at the election of the paying party. Both parties shall have the privilege to pay at any time in a single cash payment any unpaid balance of an obligation. Where a party chooses to pay an obligation on a debt retirement schedule, above described, the rate of interest to be used shall be that actually obtained wherein bonds are sold or that calculated as would be obtained if the party were to sell bonds in the then prevailing market. Payments to be made by the parties for said improvements shall be made in accordance with a schedule agreed to by both parties, following a determination of the method of financing and the finalization of other related details; however, in no case shall the single payment or the first of any incremental payments be made later than the date of initial use of the improvement for which the funds were expended. D. All grants in aid from the federal or state government or from other sources shall be used to reduce the total cost and debt of the improvement with the remaining cost and debt being prorated to each of the participating parties, as hereinbefore described. E. Ownership of a future capital improvement shall be considered as being with the party, to this contract, which arranges the financing of the project or improvement; however, as to future capital improvements which may be required to the treatment plant or to interceptor systems or other facilities in the city limits, the City shall have the right to finance and own said improvements. In the event the City elects not to finance and own said improvements, the Authority shall have the right to do so. Failure of reasonable progress on part of the City to act on the Authority's request for capital improvements within ninety (90) days shall constitute refusal on the part of the City to finance and own said improvements, thereby permitting the Authority to proceed to finance and own said improvements. In event of a question as to reasonable progress or lack thereof on part of the City to act on the Authority's request for said capital improvements, then such question shall be determined in accordance with the methods provided by Paragraph IV. H., supra. The above provisions of this paragraph apply regarding ownership of improvements except where the improvements are totally financed on a cash basis in which case ownership shall reside with the party in whose boundaries the improvements lie at the time of construction except for the sewage treatment plant, the ownership of which shall remain with the City. Ownership of a jointly used facility shall be subject to the right of perpetual use by the other party to the extent that the facility was financed by that party. F. Plans for improvements under this section, prepared by one party, shall be submitted to the other for review prior to construction; however, this shall in no manner prevent any party from financing and constructing the desired facility. Each party to the contract shall have the right of participation and/or refusal of participation in the construction of all future capital improvements, as contemplated in Paragraph IX, A., supra. G. In case either party to the contract discontinues to use an improvement, such party shall continue to pay its prorated share of the indebtedness, as to principal and interest payments only, until such time as the remaining party has need of the vacated