HomeMy WebLinkAbout7372_CCv0001.pdf RESOLUTION NO. 7372
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDLANDS
AUTHORIZING THE SUBMISSION OF THE APPLICATION TO THE CALIFORNIA
INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BAND FOR FINANCING
OF THE PAVEMENT ACCELERATED REHABILITATION IMPLEMENTATION
STRATEGY ("PARIS"), DECLARATION OF OFFICIAL INTENT TO REIMBURSE
CERTAIN EXPENDITURES FROM PROCEEDS OF OBLIGATION, AND MAKING
CERTAIN FINDINGS AND CERTIFICATIONS IN CONNECTION THEREWITH,
AND RESCINDING RESOLUTION NO. 7263
WHEREAS,the California Infrastructure and Economic Development Bank("I-Bank")
administers a financing program to assist local governments with the financing of public
development facilities as defined in Section 63000 et seq. of the California Government Code
(the"Act"); and
WHEREAS,the I-Bank has instituted an application process for financing under its
Infrastructure State Revolving Fund Program("ISRF Program"); and.,
WHEREAS, the I-Bank's Amended and Restated Criteria, Priorities and Guidelines for
the Selection of Projects for Financing under the ISRF Program, adopted on October 29, 2013
("Criteria"),establishes requirements for the financing of projects under the ISRF Program; and
WHEREAS,the City of Redlands ("Applicant") desires to submit an application
("Financing Application")to the I- Bank for the ISRF Program for the financing of Applicant's
city-wide pavement repair program, denoted as the PARIS paving program("Project"),in an
amount not to exceed$5,050,000; and
WHEREAS, in support of the Project, on September 18, 2012, the Applicant's City
Council approved by Resolution No. 7219, among other items:
I. An engineering report by TKE Engineering Inc. that determined an appropriate
allocation of damage caused by vehicles using the Applicant's streets, and in that
report TKE Engineering Inc. determined the Applicant's Solid Waste vehicles are a
major contributor to the damage of the Applicant's streets;
2. A rate analysis performed by R3 Consulting Group Inc. that delineated an appropriate
Solid Waste rate adjustment sufficient to recover the revenues necessary to make
annual repairs to the Applicant's streets, equivalent to the damage caused by the
Applicant's Solid Waste vehicles;
3. Directing the Applicant's staff to make annual fund transfers, as delineated in the
TIKE Engineering Inc. report, from the Water and Wastewater Funds sufficient to
recover the revenues necessary to make annual repairs to the Applicant's streets
equivalent to the damage caused by the Applicant's Water and Wastewater utilities,
respectively; and
4. To commence the design of, and to implement the Project, utilizing available funds as
described above; and
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WHEREAS,the Act requires the Applicant to certify by resolution certain findings prior
to the Project being selected for financing by the I-Bank; and
WHEREAS,the Applicant expects to pay certain expenditures ("Reimbursement
Expenditures')in connection with the Project prior to incurring indebtedness for the purpose of
financing costs associated with the Project on a long-term basis; and
WHEREAS, the Applicant reasonably expects that a financing arrangement
("Obligation")in an amount not expected to exceed$5,050,000 will be entered into under a
financing agreement("Financing Agreement"), and that certain proceeds of such Obligation will
be used to reimburse the Reimbursement Expenditures; and
WHEREAS,the Applicant acknowledges that the I-Bank funds the ISRF Program, in
part, with the proceeds of tax exempt bonds and, as such, has certain compliance obligations that
may require it to have the Applicant enter into a new financing agreement to replace the
Financing Agreement("Replacement Agreement") on terms and conditions substantially
identical to the original Financing Agreement;
NOW,THEREFORE,be it resolved by the City Council of the City of Redlands as
follows:
Section 1. The City Council hereby approves the filing of an ISRF Program Financing
Application with the I-Bank for the Project; and in connection therewith finds and certifies:
a. That the Project is consistent with the General Plan of the City of Redlands, and that
the General Plan of the County of San Bernardino is inapplicable to the Project;
b. The proposed financing is appropriate for the Project;
c. The Project facilitates effective and efficient use of existing and future public
resources so as to promote both economic development and conservation of natural
resources;
d. The Project develops and enhances public infrastructure in a manner that will attract,
create,and sustain long-term employment opportunities;
e. The Project is consistent with the I-Bank's Criteria for the ISRF Program; and
f. It has considered(i)the impact of the Project on California's land resources and the
need to preserve such resources; (ii) whether the Project is economically or socially
desirable; and(iii)whether the Project is consistent with, and in furtherance of the
State Environmental Goals and Policy Report(as defined in the Criteria).
Section 2. The Applicant hereby declares its official intent to use proceeds of the
Obligation to reimburse itself for Reimbursement Expenditures. This declaration is made solely
for purposes of establishing compliance with the requirements of Section 1.150-2 of the Treasury
Regulations. This declaration does not bind the Applicant to make any expenditure, incur any
indebtedness,or proceed with the Project.
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Section 3. All of the Reimbursement Expenditures were made no earlier than sixty(60)
days prior to the date of this Resolution. The Applicant will allocate proceeds of the Obligation
to pay Reimbursement Expenditures within eighteen(18)months of the later of the date the
original expenditure is paid or the date the Project is placed in service or abandoned,but in no
event more than three(3)years after the original expenditure is paid.
Section 4. The City Manager, and his or her designees, are hereby authorized and
directed to act on behalf of the Applicant in all matters pertaining to the Financing Application,
including but not limited to, the authority to pledge certain Solid Waste Enterprise Fund
revenues to the repayment of the Obligation and provide covenants relating to rates and charges
pledged and as to any other security or collateral securing the Obligation.
Section 5. This resolution shall become effective immediately upon adoption.
Section 6. Resolution No. 7263 is hereby rescinded.
ADOPTED, SIGNED AND APPROVED this 15th day of April, 2014.
Peter Aguilar, Mayor
ATTEST:
Sam Irwin, C*Clerk
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STATE OF CALIFORNIA
COUNTY OF SAN BERNARDINO
CITY OF REDLANDS
1, Sam Irwin, City Clerk of the City of Redlands, do hereby certify that the foregoing Resolution
No. 7372, was duly and regularly adopted at a regular meeting of the City Council of the City of
Redlands by the following vote. The meeting was duly noticed in accordance with Government
Code section 54954.2 and held on the 15th day of April, 2014.
AYES: Councilmembers Harrison, Foster, Gardner, Gilbreath; Mayor Aguilar
NOES: None
ABSTAIN: None
ABSENT: None
By:
Sam Irwilf, Cify Clerk
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