7342 - Interagency Loan Policy

Policy 7342

FINANCIAL MANAGEMENT 

Interagency Loan
When an emergency exists, the district may enter into a loan agreement containing the terms and conditions of a loan from an agency of the State of Washington or the United States of America and evidencing the obligation of the district to repay that loan under the terms and conditions set forth in the loan agreement.  A loan agreement  may provide that the district will repay the loan solely from revenues set aside into a special fund for repayment of that loan.

The state or federal agency making the loan shall have such rights of recovery in the event of default in payment or other breach of the loan agreement as may be provided in the loan agreement or otherwise by law.  The district shall not incur indebtedness beyond constitutional limitations.

 

 

Legal References:       RCW   39.69.010                    Municipal corporation defined
                                    RCW   39.69.020                    Loan agreements
                                    RCW   39.69.030                    Application of constitutional debt limits
                                    RCW   39.69.040                    Chapter supplemental
                                    RCW   43.155.090                  Loan agreements

 

 

Adoption Date:           July 23, 1996