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HomeMy WebLinkAboutRES NO 182-95RESOLUTION 1 8 2 ' 9 5 ARESOLUTION ACCEPTING CONTRACT NO. E84004 FOR A THREE MILLION DO?~%R ($3,000,000) LOAN WITH THE STATE. OF CALIFORNIA DEPARTMENT OF WATER RESOURCES, AND DESIGNATING CERTAIN OFFICERS TO ACCOMPLISH CERTAIN DESIGNATED ACTS, AND ESTABLISHING A DEDICATED SOURCE OF REVENUE. WHEREAS, the City of Bakersfield has applied for a loan under the Water Conservation Bond Law of 1988 (Proposition 82); and WHEREAS, the State of California Department of Water Resources has reviewed the City's loan application and determined the City of Bakersfield is eligible for a three million dollar ($3,000,000) new local water supply construction loan; and WHEREAS, the total project cost is estimated to be four million fifty thousand dollars ($4,050,000); and WHEREAS, the difference between the construction loan of three million dollars ($3,000,000) and the project cost estimated to be four million fifty thousand dollars ($4,050,000) will be funded by the City of Bakersfield; and WHEREAS, the State requires the City of Bakersfield to accomplish certain acts before it will fund the loan; and WHEREAS, the State requires the City of Bakersfield to adopt a resolution accepting the loan, designating an officer to sign the loan contract, designating a person to approve partial payment estimates, and the City is required to formally establish a dedicated source of revenue to repay said loan; and WHEREAS, all these tasks contract number. the City of Bakersfield is willing to accomplish in order to accept the loan under the aforesaid NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Bakersfield as follows: 1. The City accepts construction loan Contract No. E84004 (Contract herein) between the City of Bakersfield and the State of California Department of Water Resources concerning a loan not to exceed three million dollars ($3,000,000) for local water supply construction under the Water Conservation Bond Law of 1988 and the City agrees to comply by all the terms of said Contract and hereby authorizes the Mayor to execute and deliver the same to the State of California Department of Water Resources. 2. The City of Bakersfield hereby designates the City Manager as the officer to sign the loan contract. 3. The City of Bakersfield hereby designates the Water Resources Manager as the officer to approve partial payment estimates under the contract. 4. The City of Bakersfield hereby establishes a designated source of revenue, to wit: water user fees collected by the City of Bakersfield, savings as a result of reduced groundwater pumping assessments, savings from water availability fees collected, savings as a result of off-peak power used for pumping, and annual allocations from the capital budget diverted from construction of anticipated additional water wells. The Finance Director for the City of Bakersfield is directed to establish a designated account or fund which will hold amounts sufficient to meet the semi-annual principal and interest payments as they become due under Contract No. E84004. The City's Finance Director is further directed and authorized to follow the requirements of Contract No. E84004 and otherwise comply with the lawful requirements of the State of California Department of Water Resources for the funding and repayment of said loan. 5. It is understood and accepted a 5% administrative fee will be added to the principal. It is further understood and accepted the City of Bakersfield will fund the difference between the total project cost and the loan, estimated to be one million fifty thousand dollars ($1,050,000). 6. Contract No. E84004 is attached to this resolution as Exhibit "A" and is incorporated by reference as though fully set forth. .......... o0o .......... - 2 - I HEI~BY CERTIFY that the foregoing Resolution was passed and adopted by the Council of the City of Bakersfield at a regular meeting thereof held on N0¥ 29 ~0~ , by the following vote: AYES: COUNCILMEMBeR DeMOND, CARSON, SMITH, McOERMOTr, ROWLES, SULUVAR, SALVAGGtO NOES: COUNCILUEU,BER__ ABSTAIN: COUNCIL~'~MBE,:; A~ENI: COUNCILMEMBER CITY CLERK and EX OFFICIO of the Council of the City of Bakersfield APPROVED MAYOR APPROVED AS TO FORM: JUDY K. SKOUSEN City Attorney ~ALAN '"]3~ J3~ ~_~ssista~n~ City Attorney - 3 -