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HomeMy WebLinkAbout02-25-19-2e - Resolution - 02/25/2019RESOLUTION NO. Q2-25-19-2e RESOLUTION DECLARING INTENTION TO REIMBURSE CERTAIN EXPENDITURES WITH PROCEEDS FROM DEBT WHEREAS, the City of College Station, Texas (the "City") is a home-rule municipality and political subdivision of the State of Texas; WHEREAS, the City expects to pay expenditures in connection with the design, planning, acquisition and construction of the projects described on Exhibit "A" hereto (collectively, the "Project") prior to the issuance of obligations by the City in connection with the financing of the Project from available funds; WHEREAS, the City finds, considers, and declares that the reimbursement of the City for the payment of such expenditures will be appropriate and consistent with the lawful objectives of the City and, as such, chooses to declare its intention, in accordance with the provisions of Section 1.150-2 of the Treasury Regulations, to reimburse itself for such payments at such time as it issues obligations to finance the Project; THEREFORE, BE IT RESOL YEO BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION, TEXAS THAT: Section 1. The City reasonably expects it will incur debt, as one or more series of obligations, with an aggregate maximum principal amount not to exceed $34,740,000, for the purpose of paying the aggregate costs of the Project. Section 2. All costs to be reimbursed pursuant hereto wi II be capital expenditures. No tax-exempt obligations will be issued by the City in furtherance of this Statement after a date which is later than 18 months after the later of (1) the date the expenditures are paid or (2) the date on which the property, with respect to which such expenditures were made, is placed in service. Section 3. The foregoing notwithstanding, no tax-exempt obligation will be issued pursuant to this Statement more than three years after the date any expenditure which is to be reimbursed is paid. PASSED AND APPROVED THIS 25th DAY OF February, 2019. � ATTEST: (Seal) Exhibit "A" The projects to be financed that are the subject of this Statement are: Lick Creek Wastewater Treatment Plant Capacity Expansion This debt associated with this debt reimbursement resolution is for the construction of the Lick Creek Wastewater Treatment Plant (LCWWTP) Capacity Expansion project. Some of the major plant components included in the design include a new coarse screening structure for lift station protection with an associated screenings building; an expansion of the influent lift station and odor control systems; expansion of the existing head works to include additional fine screens, grit removal, grease handling improvements, odor control, and evaluation of overall headworks effectiveness; expanded aeration basins and blowers, master planned for future nutrient removal with the design assumption that the basins will be conventional activated sludge sized and arranged for future biological nutrient removal and potential uprating; and the addition of new secondary clarifiers and improvements to the existing clarifiers to reduce short circuiting. The overall result of this project will result in a 3 million gallons per day (MGD) expansion of LCWWTP. This expansion is required to meet the TCEQ permit requirements as development continues within the Lick Creek sewer shed, based on the City of College Station's 2016 Wastewater Master Plan. This project will increase the capacity of LCWWTP from 2 MGD to 5 MGD. The total project estimate has been revised to $40,740,000 and it is anticipated that debt will be used to fund the project in its entirety. The project was previously issued a debt reimbursement resolution of $6,000,000 on 23 February 2017. This additional debt reimbursement resolution is intended to cover the remaining expenditures of the entire project. APPROVED: Horton L.L.P.