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.
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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: