HomeMy WebLinkAbout2008-9-7464105085
ORDINANCE NO. 2008-9-7464
AN ORDINANCE OF THE CITY OF PADUCAH, KENTUCKY,
ACCEPTING DRAW UNDER IRREVOCABLE STAND-BY LETTER OF
CREDIT ISSUED BY BRANCH BANKING AND TRUST COMPANY WITH
RESPECT TO WESTWOOD HILLS SUBDIVISION; AND AUTHORIZING
THE EXPENDITURE OF SAID FUNDS.
WHEREAS, the City of Paducah, Kentucky (the "City") had by Ordinance
No. 2007-7-7297 previously approved the issuance of a Irrevocable Stand -By Letter of
Credit by Branch Banking and Trust Company (`BB&T") as security to ensure the proper
completion of public roadways, storm drainage systems, and other designated public
improvements within the subdivision development known as "Westwood Hills
Subdivision" by developers; and
WHEREAS, developers have failed to properly complete the required
public improvements and the City has presented the Letter of Credit to BB&T for
payment in the amount of $200,000.00; and
WHEREAS, BB&T has honored the Letter of Credit and on September 3,
2008, a check was issued to the City in the amount of $200,000.00; and
WHEREAS, it is desirable and beneficial to the City to accept and receive
these funds and authorize the expenditure of same to enable the completion of the
required crucial public improvements within Westwood Hills Subdivision.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION
OF THE CITY OF PADUCAH, KENTUCKY, AS FOLLOWS:
Section 1. Recitals and Authorization. The City Commission does hereby
authorize and direct the Finance Director of the City of Paducah, Kentucky, i) to accept the
check issued to the City in the amount of $200,000.00, constituting the draw under
Irrevocable Letter of Credit # 9580333211-00005 Branch Banking and Trust Company
(BB&T), dated June 20, 2007, and amended April 18, 2008; ii) to establish a Project
Account from which expenditures may be made; and iii) to authorize expenditures from
this Project Account deemed necessary by the City Engineering Department to enable
completion of crucial public roadways, storm drainage systems, and other designated
public improvements within the Westwood Hills Subdivision.
Section 2. Severability. If any section, paragraph or provision of this
Ordinance shall be held to be invalid or unenforceable for any reason, the invalidity or
unenforceability of such section, paragraph or provision shall not affect any of the
remaining provisions of this Ordinance.
Section 3. Compliance With Open Meetings Laws. The City Commission
hereby finds and determines that all formal actions relative to the adoption of this
Ordinance were taken in an open meeting of this City Commission, and that all
deliberations of this City Commission and of its committees, if any, which resulted in
formal action, were in meetings open to the public, in full compliance with applicable
legal requirements.
Section 4. Conflicts. All ordinances, resolutions, orders or parts thereof
in conflict with the provisions of this Ordinance are, to the extent of such conflict, hereby
repealed and the provisions of this Ordinance shall prevail and be given effect.
Section 5. Effective Date. This Ordinance shall be read on two separate
days and will become effective upon summary publication pursuant to KRS Chapter 424.
ATTEST: C
Tammara S. Brock, City Clerk
Introduced by the Board of Commissioners, September 9, 2008
Adopted by the Board of Commissioners, September 23, 2008
Recorded by Tammara S. Brock, City Clerk, September 23, 2008
Published by The Paducah Sun, September 29, 2008
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