191908

The City of Portland ordains:

Section 1. The Council finds:

1. The City is authorized pursuant to the Constitution and laws of the State of Oregon, including Oregon Revised Statutes Chapter 287A and Sections 223.205 to 223.295 and the City Charter, to construct publicly owned and operated local improvements, including removal of existing dirt, gravel and/or hard surfaces; grade the streets to their proper subgrade; construct streets with aggregate base and a combination of asphaltic concrete and plain concrete pavement; remove contaminated media; construct sanitary sewers, stormwater sewers and stormwater management facilities, excluding offsite facilities; construct water mains; construct temporary asphalt sidewalks on both sides of the street; install street lighting; plant street trees; construct two-way cycle tracks; install right turn lanes; and install underground utilities (the improvements) which specially benefit properties within the NW Johnson-Kearney Local Improvement District.
2. The City is ready to begin construction of various Improvements, and requires funds to pay for the costs of the improvements.
3. Oregon Revised Statutes Section 287A.180 authorizes the City to obtain interim financing for capital assets such as the improvements.

NOW, THEREFORE, the Council directs:

1. The City is hereby authorized to obtain interim financing for the improvements pursuant to ORS 287A.180, including costs related to obtaining the interim financing.The principal amount of the interim financing shall not at any time exceed $14,450,000, shall not exceed five years in term, and may provide for renewal, extension, or conversion to permanent financing on terms approved by the City Administrator, the Deputy City Administrator of Budget and Finance, Treasurer, Debt Manager or the person designated by the City Administrator to act as an Authorized Officer under this ordinance (any of whom is referred to in this ordinance as an “Authorized Officer”).
2. The interim financing shall be a full faith and credit obligation of the City and payable primarily from the assessments to be levied for the Improvements, funds received from Prosper Portland under intergovernmental agreements applicable to the NW Johnson-Kearney Local Improvement District, and the proceeds of any subsequent short or long term financing for the improvements. The City covenants to use its best efforts to refinance the interim financing or secure permanent financing which will be available to permit timely payment of the interim financing, but the City shall not be obligated to pledge its general fund to any permanent financing.
3. No Additional Taxes Authorized.No interim financing shall be a general obligation of the City and neither the authorization nor the issuance of any interim financing shall authorize the City to levy any additional taxes.
4. No interim financing may be sold and agreement for any interim financing may be executed until the period of referral of this nonemergency ordinance has expired and this ordinance takes effect.If this Ordinance is referred, the City may not sell the interim financing unless the voters approve this Ordinance.
5. The interim financing shall be in a form approved by an Authorized Officer and shall be executed on behalf of the City by an Authorized Officer.
6. An Authorized Officer may, on behalf of the City and without further action by the Council:
   1. Obtain one or more lines of credit, credit facilities, or other forms of interim financings, and obtain interim financings to refinance interim financings authorized by this Ordinance;
   2. Select a commercial bank or other lender to provide each interim financing;
   3. Establish the final principal amount, maturity schedule, interest rate or rates, fees, redemption terms, payment terms and other terms of each interim financing;
   4. Provide that each interim financing will bear interest that is excludable from, or includable in, gross income of the lenders under the federal Internal Revenue Code;
   5. Covenant to comply with the requirements of federal law that are necessary for interest on tax-exempt borrowings to be excludable from gross income under the federal Internal Revenue Code and for taxable borrowings to qualify for federal interest subsidies;
   6. Pledge all or any portion of the amounts the City receives from the assessments for the financed Improvements, funds received from Prosper Portland under intergovernmental agreements applicable to the NW Johnson-Kearney Local Improvement District, and the proceeds of any subsequent short or long term financing for the improvements to secure the interim financings that are authorized by this ordinance;
   7. Enter into additional covenants to secure the interim financings that are authorized by this ordinance, including covenants to refinance each interim financing;
   8. Negotiate the terms of and execute and deliver the documents for the interim financings authorized by this Ordinance; and
   9. Take any other action in connection with the Improvements or the interim financings authorized by this ordinance which the Authorized Officer finds is desirable to carry out this ordinance.