Salt Lake Telegram | 1932-01-28 | Page 11 | City Accepts Offer of Loan in Tax Notes

CITY ACCEPTS OFfER Of LOAN ON TAX NOTES Will Pay Net Interest of 7 2 1 Per Cent to National City Company A loan of on 6 per cent tax anticipation notes offered Salt Laky Lake Lak City y by the National City company o of California was accepted Thursday by bythe bythe the he city commission on a divided vote The net interest rate to the city will wil willbe willbe be ic 7 12 2 per cent due to a charge o of 1 1 12 2 per cent added by the company as s a handling charge Mayor Maor Louis Marcus 1 moved accept acceptS ance nee of the offer He was supported i b by y Commissioners Harry I L. L Finch and John ohn M. M Knight Commissioner George D. D Keyser voted no flO on the proposition TO SERVE AS STATION A provision of the offer is that the National City bank New York City be e designated by the city as its paying pacing station tation on all coupons bonds and md interest m merest in in- terest erest due on bonds outstanding and which will be issued by the cil city durin during dur dur- in ing ng terms of the present commission commission- ers rs Walter Waller L L. Roche local enta tive ive of the National City company a subsidiary of the National City bank of f New York represented the he com corn pan any pany To assure the city against impairment impair impair- ment of or its credit which it was explained ex ex- ex lamed might arise out of changing the ic designated paying ag agent nt on tn n outstanding out out- standing landing bonds the company made the ic following stipulation CITY'S ms STIPULATION It is understood the National City bank ank of New York 55 Wall street will vill notify the banks now designated as s paying agents on bonds and coupons cou cou- pons ons of bonds now outstanding of Salt Lake Cit City due to the chall change e to the National City bank that aU coupons and nd bonds presented for payment willbe will willbe wille be e paid promptly upon their pres presentation presentation presen presen- en tation at head office of the National Nationality City ity bank provided said bank has funds on hand for such payments and emd nd the National City bank will wili make necessary arrangements with banks anks designated on coupons and bonds that will insure the prompt payment payment pay pay- ment of bonds and coupons regardless regard regard- less ess of place of payment designated in n New York Cit City