Item 6AAGENDA ITEM # 6A
NOVEMBER 9, 2009
CITY OF ATLANTIC BEACH
CITY COMMISSION MEETING
STAFF REPORT
AGENDA ITEM: We112R Funding with Stimulus State Revolving Fund Loan
Resolution 09-16
SUBMITTED BY: Donna Kaluzniak, Utility Directd~%
Nelson Van Liere, Finance Director
DATE: October 30, 2009
BACKGROUND: Bids will be advertised to construct a new public supply well, We112R, on
November 11, 2009. Construction of the new well was recommended in the City's Water Master Plan
to replace an older well that is in poor condition.
Staff had prepazed a Request for Inclusion and Facilities Plan for the Department of Environmental
Protection (DEP) in order to obtain stimulus funds through the State Revolving Fund loan program.
This program offers financing at considerably lower interest rates than available through bank loans
or bonds.
DEP informed staffthat it appeazs likely that funding will be available for the project, and requested
a loan application. A Resolution is required to accompany the application to assure DEP that the City
intends to enter an agreement for financing, to designate the City Manager as the authorized
representative, and to meet responsibilities associated with the agreement.
BUDGET: The loan and the well are included in the FY2010 Public Utilities Budget. Over the 20-
yeaz life of the loan, funding through the DEP State Revolving Fund Loan is estimated to save
approximately $150,000 in interest costs.
RECOMMENDATION: Approve Resolution 09-16.
ATTACHMENTS: 1. Resolution 09-16
REVIEWED BY CITY
AGENDA ITEM # 6A
NOVEMBER 9, 2009
RESOLUTION 09-16
A RESOLUTION OF THE CITY OF ATLANTIC BEACH, FLORIDA,
RELATING TO THE STATE REVOLVING FUND PROGRAM;
AUTHORIZING THE APPLICATION; AUTHORIZING THE
AGREEMENT; ESTABLISHING PLEDGED REVENUES;
DESIGNATING AUTHORIZED REPRESENTATIVES; PROVIDING
ASSURANCES.
WHEREAS, Florida Statutes provide for financial assistance to local government agencies to
finance the construction of drinking water facilities; and
WHEREAS, Florida Administrative Code rules require authorization to apply for financial
assistance, to establish pledged revenues, to designate an authorized representative; to provide
assurances of compliance with program requirements; and to enter into an agreement; and
WHEREAS, the State Revolving Fund priority list designates Project Number DW16071 as
eligible for available funding; and
WHEREAS, the City of Atlantic Beach, Florida, intends to enter into an agreement with the
Department of Environmental Protection under the State Revolving fund for project financing.
NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Atlantic Beach, Florida, that
SECTION I. The City of Atlantic Beach, Florida is authorized to apply for financial assistance
to finance the project.
SECTION II. The revenues pledged for the repayment of the loan are net water and sewer
utility system revenues after payment of debt service on the following outstanding bond debt:
• Utilities System Revenue Bonds series 1996
~ Utilities System Revenue Bonds series 2004
SECTION III. The City Manager is hereby designated as the authorized representative to
provide the assurances and commitments required by the application.
SECTION IV. The City Manager is hereby designated as the authorized representative to
execute the agreement which will become a binding obligation in accordance with its terms when
signed by both parties.
SECTION V. The City Manager is authorized to represent the City of Atlantic Beach in
carrying out responsibilities under the agreement. The City Manager is authorized to delegate
responsibility to appropriate staff to carry out technical, financial, and administrative activities
associated with the agreement.
AGENDA ITEM # 6A
NOVEMBER 9, 2009
ADOPTED at a public hearing by the City Commission of the City of Atlantic Beach, Florida
on the day of November 2009
Mayor /Presiding Officer
Approved as to form and correctness:
Alan C. Jensen, Esquire
City Attorney
ATTEST:
Donna L. Bartle
City Clerk