HomeMy WebLinkAboutReso 68-1979 RESOLUTION NO. 68-79
-CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA
A RESOLUTION AUTHORIZING AN INTERFUND LOAN
WHEREAS, the City Council has considered the Staff Report dated June
20, 1979, Subject' Interfund Cash Loan Authorization, a copy of which is
attached hereto as Exhibit "A", and
WHEREAS, the Council desires to authorize an interfund loan on the
terms and conditions hereinafter set forth;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
South San Francisco that-
1. Loan Authorization.
An interfund loan of Three Hundred Fifty Five Thousand Dollars
($355,000) is hereby authorized from the Benefits Accrued Fund to the
Treatment Grant C061235 Fund and the Solids Management Grant C061267 Fund.
2. Loan Repayment.
The loan to the Grants Funds shall be repaid promptly from
grant revenues received following final audit and acceptance by the
Environmental Protection Agencies. In the event such grant revenues are
insufficient to fully repay this loan, any remaining balance shall be
repaid by the Sewer Rental Fund.
I hereby certify that the foregoing Resolution was regularly intro-
duced and adopted by the City Council of the City of South San Francisco
at a regular meeting held on the 20th day of June ,
1979, by the following vote:
AYES , COUNCILMEN
II II
NOES, "
ABSENT, "
William A. Borba, Terry J. Mirri and Councilwoman Roberta
Cerri Teglia
None
Councilmen Ronald G, Acosta and Emanuele N. Damonte
ATTEST:
City Clerk
-2-
June 20, 1979
EXHIBIT "A"
RESOLUTION NO. 68-79
To:
The Honorable City Council
Subject:
Inter-Fund Cash Loan Authorization
Action' Resolution
RE COMME N DAT I ON:
It is recommended that the City Council authorizelan Inter-Fund Cash Loan
of $355,000 from the Benefits Accrued Fund to the Sewer Treatment Plant
Project Funds.
DISCUSSION:
The Sewer Treatment Plant Projects provide for dechlorination facilities,
solid waste management and in-plant improvements and is funded to the
extent of 87½% from Federal and State Grants and 12½% from local agencies.
In the normal course of events, the Cities will pay the contractors but
there will be a time lag in the receipt of final grant payments from the
State and Federal Governments until an audit of project costs has been
performed by them. It is necessary therefor that the involved Cities
advance monies for payments to the contractor until receipt of grant monies
following their audit. The City of San Bruno has advanced their monies
and it is necessary that South San Francisco also advance monies for those
future contractor payments. ~
Cash funds are available for this loan in the Benefits Accrued Funds since
a reserve was established for payment of accrued sick leave benefits in
future years. It is anticipated that these funds may not be repaid for
perhaps two years since the audits are not performed expeditiously.
The attached Resolution provides for this loan and for prompt rePayment
upon receipt of the grant monies.
C. Walter Birkelo
City Manager
Wi 11 i am R. Anderson
Director of Finance
CWB/WRA/bab