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HomeMy WebLinkAboutReso 05-2007 RESOLUTION NO. 05-2007 CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA A RESOLUTION FOR REIMBURSEMENT OF THE $9.6 MILLION STATE REVOLVING FUND (SRF) LOAN FOR PHASE II OF THE WET WEATHER PROGRAM AS REQUIRED BY THE STATE WATER RESOURCES CONTROL BOARD WHEREAS, the City of South San Francisco (the "City") desires to finance the costs of constructing and/or reconstructing certain public facilities and ilnprovements relating to its water and wastewater systeln, including certain pipelines and other infrastructure (the "Project"); and WHEREAS, the City intends to finance the construction and/or reconstruction of the Project or portions of the Project with moneys ("Project Funds") provided by the State of California, acting by and through the State Water Resources Control Board (SWRCB); and WHEREAS, the SWRCB may fund the Project Funds with proceeds froIn the sale of obligations, the interest upon which is excluded from gross income for federal income tax purposes (the "Obligations"), and WHEREAS, prior to either the issuance of the Obligations or the approval by the SWRCB of the Project Funds, the City desires to incur certain capital expenditures (the "Expenditures") with respect to the Project frOln available lnoneys of the City; and WHEREAS, the City has determined that those lnoneys to be advanced on and after the date hereof to pay the Expenditures are available only for a telnporary period and it is necessary to reimburse the City for the Expenditures from the proceeds of the Obligations. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco that the City Council hereby orders and detelmines as follows: SECTION 1. The City hereby states its intention and reasonably expects to reimburse Expenditures paid prior to the issuance of the Obligations or the approval by the Board of the Project Funds. SECTION 2. The reasonably expected lnaximum principal mnount of the Project Funds is $9,600,000. SECTION 3. This resolution is being adopted no later than 60 days after the date on which the City will expend moneys for the portion of the Project costs to be reimbursed with Project Funds. SECTION 4. Each Expenditure by the City will be of a type properly chargeable to a capital account under general federal incolne tax principles. SECTION 5. To the best of our knowledge, this City is not aware of the previous adoption of official intents by the City that have been lnade as a lnatter of course for the purpose of reilnbursing expenditures and for which tax-exelnpt obligations have not been issued. SECTION 6. This resolution is adopted as official intent of the City in order to comply with Treasury Regulation 91.150-2 and any other regulations of the Internal Revenue Service relating to the qualification for reimburselnent of Project costs. SECTION 7. All the recitals in this Resolution are true and correct and this City so finds, detennines and represents. * * * * * I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of South San Francisco at a regular lneeting held on the 14th day of February 2007 by the following vote: AYES: Councihnelnbers Mark N. Addiego, Joseph A. Fernekes and I(arvl MatsUlTIoto, Vice Mayor Pedro Gonzalez and Mayor Richard A. Garbarino NOES: ABSTAIN: ABSENT: ATTEST: