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HomeMy WebLinkAbout09-235.docJUNE 23, 2009 09 -235 RESOLUTION (CARRIED 7 -0 LOST LAID OVER WITHDRAWN ) PURPOSE: APPROVE DECLARATION OF INTENT TO REIMBURSE EXPENDITURES FOR WASTEWATER FACILITIES IMPROVEMENTS IN ANTICIPATION OF FUNDING THROUGH THE WISCONSIN ENVIRONMENTAL IMPROVEMENT FUND / CLEAN WATER FUND LOAN PROGRAM INITIATED BY: DEPARTMENT OF PUBLIC WORKS WHEREAS, the City of Oshkosh owns and operates a wastewater system (the "System ") as a public utility; and WHEREAS, the City plans to construct improvements to the wastewater facilities in the system (the "Project "); and WHEREAS, as more specifically described below, it is anticipated that expenditures related to this project will be paid on or after the passage of this resolution and the City reasonably expects to reimburse itself for these expenditures by incurring debt; and WHEREAS, the city expects to receive a loan and /or grant (the "Loan ") from the State of Wisconsin Clean Water Fund Loan Program (the "Program ") to finance the project and expects to issue tax exempt bonds (the "Bonds ") to the Program in evidence of the Loan; and WHEREAS, because the Loan will not become available prior to December of 2009, the Municipality must provide interim financing to cover costs of the Project incurred prior to receipt of the Loan; and WHEREAS, it is necessary, desirable, and in the best interests of the Municipality to advance moneys from its funds on hand on an interim basis until the Loan becomes available and the Bonds can be issued. NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of Oshkosh, Wisconsin, that the appropriate city officials are hereby authorized and directed to make expenditures as needed from funds on hand to pay the costs of the Project until bond proceeds become available. BE IT FURTHER RESOLVED that the City of Oshkosh hereby officially declares its intent under Treas. Reg. Section 1.150 -2, or any amendment thereto to reimburse said expenditures with proceeds of the Bonds, the principal amount of which is not expected to exceed $ 2, 000, 000.00. JUNE 23, 2009 09 -235 RESOLUTION CONT'D No funds for payment of the Project from sources other than the Bonds are, or are reasonably expected to be, reserved, allocated on a long -term basis, or otherwise set aside by the Municipality pursuant to its budget or financial policies. This resolution shall be made available for public inspection at the City Clerk's office within thirty (30) days after its approval in compliance with applicable State law governing the availability of records of official acts including subchapter II of Chapter 19, and shall remain available for public inspection until the Bonds are issued. This resolution shall be effective from and after its passage and publication. ( 0 Of HKOf H ON THE WATER MEMORANDUM TO: Honorable Mayor and Members of the Common Council FROM: Stephan M. Brand, Utilities Superintendent DATE: June 17, 2009 RE: Application for Clean Water Fund Loan/ Grant for Wastewater Treatment Plant Remote Telemetry and Supervisory Controls Upgrade BACKGROUND In December 2008, an `Intent to Apply' form was filed with the Department of Natural Resources Clean Water Fund to determine if this project would be eligible to be included in the next funding cycle for the Clean Water Fund Loan Program. The project has been determined to be eligible and the next step in the process is to file an application for financial assistance. ANALYSIS The Clean Water Fund Program provides financial assistance for eligible projects in the form of subsidized interest rates. In this funding cycle additional stimulus money is available and some projects will receive partial grants. The final determination on grant funding will be made sometime after the application deadline which is June 30 As part of the application process the Department of Natural Resources requires that the governing body authorize a representative be designated for signing the Financial Assistance Application and declare its intent to reimburse funds on hand used on an interim basis until the long term financing is received from the program. FISCAL IMPACT Funding this project through the Clean Water Fund will provide a reduced the interest rate on borrowed funds and the potential for partial grants. RECOMMENDATIONS I recommend that the resolutions for Authorized Representative and Intent to Reimburse be approved so the Clean Water Fund Financial Assistance Application can be completed and submitted by the June 30, 2009. Respectfully Submitted, A&, VJ Stephan M. Brand Utilities Superintendent Approved: City Manager