80-014 RES CITY OF ELK RIVER
RESOLUTION NO. 80- 14
A RESOLUTION ISSUING LETTERS OF CREDIT
FOR MERCHANDISE PURCHASES BY THE ELK RIVER
MUNICIPAL LIQUOR STORE
WHEREAS, The City Council is advised by its Liquor Store Manager that
it is desirable to purchase liquor at wholesale from Bell Boy
Corp. ; and,
WHEREAS, Said Company requires a bank letter of credit to guarantee payment
of invoices for merchandise shipped to the City; and,
WHEREAS, It is the intent of the City to promptly pay any invoices for
merchandise delivered by Bell Boy Corp. and to not invoke
payment of the bank under any letter of credit.
NOW, THEREFORE, BE IT RESOLVED by the Elk River City Council that, in
order to do business with Bell Boy Corp. , the City Clerk-Treasurer
is authorized to request the Bank of Elk River to issue an irrevocable
letter of credit to Bell Boy Corp. in the sum of $10,000.00 to extend for
one year from date of issuance to guarantee payment of any invoices for
merchandise shipped by said company.
410 ADOPTED this 16th day of June, 1980.
(9:(
Mayor
ATTEST:
ity Admin'f trator