BOOK 21_1946-09-23 to 1948-08-09

Browse Search

incidentals on a percentage basis, the ratio being applied only on the area out- side of the subdivision. The assessments for within the subdivision will not be worked out until completion of the work. Any contingencies that might arise will be borne by the subdivider. , In the bid form, 3rd paragraph "Article III should be "Article IIa". Mr. Cohn affixed his initials as affirming to the change. Mr. Blom brought out that while the city is going to award a contract for approxi- mately $146,000 the contract does not provide for acceptance by the Contractor of bonds or proceeds of bonds. It was his opinion that the City might be assuming liability in case of refusal of the Land Development Company to purchase the bonds. He asked'.if it -would be feasible to award the contract on the basis of acceptance of the proceeds of the bonds. Mr. Wilson stated the contract was accepted under the 1911 Bond Act. Councilman Armstrong asked if it was not unusal for bonds to be bought on an installment basis. Mr. 'Wilson advised that the bid was made under the 1913 proceedings, a method used extensively for many years. The .Land Develop- ment Company is obligated by a contract to purchase the bonds. If they make an assignment of the sale of the bonds it can only be done with Council approval. L. C. Smith, lora bidder on the project, was in the audience and was asked if he understood the basis on which the contract was to be let. He advised that he was familiar with the provisions of the contract; that the city has no obligation in the matter and that he would look solely to the proceeds of the sale of the bonds for payment. Councilman Armstrong offered resolution authorizing sale of bonds in Redwood Terrace No. I and adjacent territory and moved its.adoption, seconded by Councilman McNulty. Under question, Councilman Granger asked if it was necessary to have the corporate seal on the bid. Both City Attorney McCarthy and Mr. Wilson advised it was not. On roll call, resolution was unanimously adopted with Councilman Swift absent. RESO LUT ION No. 419 AUTHORIZING SALE OF BONDS - REDWOOD TERRACE No. 1 AND ADJACENT TERRITORY RESOLVED, by the City Council of the City of Redwood City, California, that WHEREAS, said City Council has received a written proposal by the Land Development Company to purchase the improvement bonds to be issued by this City to represent the unpaid assessments levied pursuant to Resolution.of Intention No. 392 adopted by this City Council on September 3, 1946, for the payment of the costs and incidental expenses of the public improvements in Redwood Terrace No. 1 and Adjacent Territory in said City; and WHEREAS, in the opinion of this City Council the public -interest and general welfare will be served by accepting said offer and selling said bonds; NOW, THEREFORE, IT IS ORDERED, that said proposal be, and the same is hereby accepted, and that said -bonds, in an amount not to exceed $190,077.91 be, and they are hereby, ordered sold to said bidder at the amount and subject to the terms and conditions stated in its said bid. IT IS FURTHER ORDERED that the interest rate of said bonds be, and the same Is hereby fixed at five per cent (5%) per annum. I hereby certify that the foregoing is a true copy of resolution adopted by the City Council of the City of Redwood City, California, at a regular meeting thereof held on the 13th day of January, 1947, by the following vote of the members thereof: AYES, and in favor thereof, Councilmen: ARMSTRONG, BRITSCHGI, GRANGER, MC NULTY, WERDER and Mayor HILTON NOES, Councilmen: NONE ABSENT, Councilmen: SWIFT APPROVED: RALPH S. DODGE __ City Clerk of the City of Redwood City W. W. HILTON - Mayor of Redwood City 261 2