HomeMy WebLinkAboutReso 48-2002RESOLUTION NO. 48-2002
CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA
A RESOLUTION DECLARING INTENTION TO REIMBURSE
SEWER CAPITAL EXPENDITURES FROM THE PROCEEDS OF
OBLIGATIONS TO BE ISSUED BY THE CITY
WHEREAS, the City of South San Francisco ("the City") proposes to undertake the
construction and acquisition of the sewer facilities described below (collectively "the Project"),
to issue debt for such project, and to use a portion of the proceeds of such debt to reimburse
expenditures made for the project prior to the issuance of debt; and
WHEREAS, United States Income Tax Regulations section 1.150-2 provides generally
that proceeds of tax-exempt debt are not deemed to be expended when such proceeds are used
for reimbursement of expenditures made prior to the date of issuance of such debt unless certain
procedures are followed, one of which is a requirement that (with certain exceptions) prior to the
payment of any such expenditure, the issuer declares an intention to reimburse such expenditure;
and
WHEREAS, it is in the public interest and for the public benefit that the City declares its
official intent to reimburse the expenditures referenced herein.
NOW, THEREFORE BE IT RESOLVED, the City of South San Francisco hereby resolves
as follows:
1. The City intends to issue debt obligations (the "Obligations") for the purpose of paying
the costs of the Wet Weather Program (the "Project"), described in more detail in Attachment A,
which is hereby incorporated by reference herein.
2. The City hereby declares that it reasonably expects to pay certain costs of the Project
prior to the date of issuance of the Obligations and to use a portion of the proceeds of the
Obligations for reimbursement of expenditures for the Projects that are paid before the date of
issuance of the Obligations.
3. The maximum principal amount of Obligations to be issued for the Project is
$55,000,000.
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 meeting held on the 12th day of
June 2002 by the following vote:
AYES: Councilmembers Joseph A. Femekes, Raymond L. Green and Karyl Matsumoto,
Mayor Pro Tem Pedro Gonzalez and Mayor Eugene R. Mullin
NOES: None.
ABSTAIN: None.
ABSENT: None.
ATTEST:
City Clerk
Exhibit A: Description of the Project
Wet Weather Program
Phases I-IV of the project are described in "City of South San Francisco, Wet Weather Program"
Final Report by Carollo Engineers, dated May 2002. Phase IV is further described in "City of
South San Francisco, East of Highway 101 Sewer Master Plan", by Carollo Engineers, Draft
dated April 2002.
This project is required to comply with the Cease and Desist Order (CDO) issued by the
Regional Water Quality Control Board on July 16, 1997. The CDO requires controlling
overflows from the sewer system for up to a 5-year storm event. It consists of four phases:
Phase I
Pump Station improvements, parallel force main improvements, and an effluent
storage pond
Phase II
Sewer Rehabilitation and relief sewers
Phase III Colma Creek Bank Restoration
Phase IV East of 101 Sewer System Improvements.