HomeMy WebLinkAbout08/07/1990, C-6 - WASTEWATER MANAGEMENT PLAN IMPLEMENTATION, AUTHORIZATION OF CAO OR HIS DESIGNEE TO FILE AN APPLICAT A gs71990
DATE:
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g NagCOUNCIL AGENDA REPORT ""NUMBITE -1
FROM: William T. Hetland Prepared By: John E. Moss
Utilities Director Wastewater Division Manage
SUBJECT: v
Wastewater Management Plan Implementation, Authorization of CAO
or his designee to file an application for a State Revolving Fund
(SRF) Loan and execute resultant loan agreement.
CAO RECOMMENDATION:
Adopt resolution authorizing CAO or his designee to sign and
file, for and on the behalf of the City, an application for a
State Revolving Fund Loan. Authorize the above representatives
to certify the City's compliance with all applicable state and
federal statutory and regulatory requirements related to any
federal and state loan funds received. Authorize the above
representatives to execute the resultant loan agreement and any
amendments, for the purpose of securing loan funds.
DISCUSSION:
The City is seeking SRF low interest loan monies to fund the
needed improvements to its wastewater facilities. These
improvements consist of three projects: Unit 3 treatment plant
improvements; Unit 4 treatment plant improvements; and Phase 1
collection system improvements. The total cost for all three
projects is estimated to be $35 million.
On May 17, 1990, the State Water Resources Control Board (SWRCB)
granted concept approval of the projects and approved loan
funding not to exceed $35 million. The State is currently
reviewing plans and specifications for the Unit 3 and Phase 1
collection system projects. At this time the City is now
required to submit loan applications for these two projects. The
State requires the City governing board, City Council, direct and
authorize specific representatives, through resolution, to act on
the City's behalf in submitting the loan application and other
related documents.
There are three basic components to the resolution required by
the State. First, authorizing and directing designated
representatives to sign and file, for and on behalf of the City,
an application for a State Revolving Fund Loan. Second,
authorizing the designated representatives to certify that the
City has and will comply with all applicable state and federal
statutory and regulatory requirements related. to any federal and
state loan funds received. Third, authorizing the designated
representatives to execute the resultant loan agreement and any
0111111MIJ$ city of san-Luis osispo
WhZe COUNCIL AGENDA REPORT
SRF Loan Resolution
Page 2
amendments thereto for the purpose of securing the loan funds.
FISCAL IMPACT:
The City is seeking an estimated $35 million in low interest loan
funding from the State. The wastewater (sewer fund) financial
plan and revenue program, adopted by Council on June 12, 1990
(Resolution No. 6824) , was developed on the assumption that the
City would receive the low interest loan funding from the State.
With the low interest loan funding, the current rates for single
family residence will essentially double by July 1994, from $8.50
per month to $16.50 per month. Conventional financing would
result in essentially tripling the current rates by July 1994.
ALTERNATIVES:
There are no legitimate alternatives to adopting the resolution.
Council may wish to designate a representative other than the CAO
at their discretion.
RECOMMENDATION:
Adopt resolution authorizing CAO or his designee to sign and
file, for and on behalf of the City, an application for a State
Revolving Fund Loan. Authorize the above representatives to
certify the City's compliance with all applicable state and
federal statutory and regulatory requirements related to any
federal and state loan funds -received. Authorize the above
representatives to execute the resultant loan agreement and any
amendments, for the purpose of securing loan funds.
ATTACHMENT:
Resolution
ORESOLUTION N0. (1990 Series)
AUTHORIZING FILING APPLICATION FOR A STATE
REVOLVING FUND LOAN TO CONSTRUCT FACILITIES FOR
THE CONTROL AND PREVENTION OF WATER POLLUTION
WHEREAS; the City is required to comply with wastewater
discharge limitations established by the State and Federal
governments; and
WHEREAS, the City plans to construct facilities necessary to
reach compliance with the aforementioned limitations; and
WHEREAS, the City is seeking funding assistance for the
construction of the required facilities through State Revolving
Fund low interest loans; and
WHEREAS, the State requires designation and authorization of
representatives of the City to file the loan application and
related materials.
ONOW, THEREFORE, BE IT RESOLVED, by the City Council of the
City of San Luis Obispo that the City Administrative Officer or
his/her designee is hereby authorized and directed to sign and
file, for and on behalf of the City of San Luis Obispo, an
application for a State Revolving Fund Loan under the Water
Quality Act of 1987 (PL 100-4) and any agreements or other
documents necessary to secure and receive a State- Revolving fund
Loan under said Act and the Clean Water Bond Laws of 1984 and
1988.
BE IT RESOLVED that the City of San Luis Obispo hereby
agrees and further does authorize the aforementioned
representative or his/her designee to certify that the
municipality has and will comply with all applicable state and
federal statutory and regulatory requirements related to any
federal and state loan funds received.
BE IT FURTHER RESOLVED that the, City Administrative Officer
or his/her designee of the City of San_Luis Obispo is hereby
authorized to execute the resultant loan agreement and any
amendments thereto for the purpose of securing the loan funds. A
copy of the agreement will be filed in the office of the
Authorized Record Keeper of the. Governing Board.
O
�-� -3
Resolution No. (1990 Series)
- Upon motion of seconded by
and on the following role call vote:
AYES:
NOES:
ABSENT:
the foregoing resolution was adopted this day of ,
1990.
MAYOR RON DUNIN
ATTEST:
Pam Voges, City Clerk
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APPROVED:
i
y A inistrative Officer
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