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HomeMy WebLinkAbout82-1-2191230 ORDINANCE NO. 82-1-2191 AN ORDINANCE AUTHORIZING THE CITY MANAGER AND CITY TREASURER TO ESTABLISH A LINE OF CREDIT WITH LOCAL BANKS FOR SUMS NOT EXCEEDING AN AGGREGATE AMOUNT OF ONE MILLION FIVE HUNDRED THOUSAND DOLLARS ($1,500,000.00) FOR THE USE AND. BENEFIT OF THE CITY OF PADUCAH, KENTUCKY, AND TO EXECUTE A NOTE OR. NOTES FROM TIME TO TIME FOR SAID LINE OF CREDIT, AND TO PLEDGE THE REVENUES OF THE CITY AS: SECURITY THEREFOR WHEREAS, the maintenance of an adequate cash flow will from time to time necessitate the borrowing of varying sums of money, and WHEREAS, borrowed funds are needed for short terms of up to ninety (90) days, provided all outstanding debts are repaid prior to the end of each fiscal year. NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF PADUCAH,_ KENTUCKY: SECTION 1. That the City Manager and City Treasurer are hereby authorized to establish a line of credit with one or more local banks --up to a total aggregate amount not. exceeding One MillionFive Hundred Thousand Dollars ($1,500,000.00) for the use and benefit of the City of Paducah, Kentucky, in maintain- ing its necessary cash flow, with interest being negotiable. The line of credit shall have a zero balance on June 30 of each and every year this authorization shall remain in effect, and no individual loans taken pursuant to the line of credit shall exceed a term of ninety (90) days. SECTION 2. The City Manager and -City Treasurer are hereby authorized to execute a note or notes for all loans executed pursuant to the line of credit, which shall bear the signature of the City of Paducah by the City Manager and the City Treasurer of the City. The City Manager and City Treasurer are hereby authorized to pledge as security for such note or notes all revenues to be collected by the City of Paducah from taxes for the fiscal year in which the loan is obtained. SECTION 3. This ordinance repeals Ordinance No. 78-12-1661, adopted by the Board of Commissioners on December 19, 1978 and Ordinance No. 78-12-1662, adopted by the Board of Commissioners on December 28, 1978. SECTION 4. In order to maintain an adequate cash flow for the City of Paducah, an emergency is hereby decalred to exist and this ordinance shall be in full force and effect upon its passage at one reading. LILL )�_ Mayor Introduced and passed by the Board of Commissioners January 6, 1982 Recorded by Louise McKinney, City Clerk, January 6, 1982 Published by The Paducah Sun s;�