Storm Water Utility Revenue Capital Loan Notes_$1mTHE CITY OF Dubuque
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Masterpiece on the Mississippi
2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Proceedings to Set Public Hearing on the Issuance of not to exceed
$1,000,000 Storm Water Utility Revenue Capital Loan Notes (State of
Iowa Revolving Fund Loan)
DATE: July 15, 2009
Finance Director Ken TeKippe is recommending that a public hearing be set for
September 8, 2009, on the issuance of not to exceed $1,000,000 Storm Water Utility
Revenue Capital Loan Notes through the Iowa Water Pollution Control Works Financing
Program.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Mic ael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
THE CITY OF
DUB ~
Masterpiece an the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: Kenneth J TeKippe, Finance Director ~ti~~~ '
Dubuque
A~-pmericaCity
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2007
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SUBJECT: Proceedings to Set Public Hearing on the Issuance of not to exceed
$1,000,000 Storm Water Utility Revenue Capital Loan Notes (State of
Iowa Revolving Fund Loan)
DATE: July 13, 2009
The purpose of this memorandum is to recommend the setting of a public hearing on
the authorization of a loan and disbursement agreement and the issuance of not to
exceed $1,000,000 Storm Water Revenue Capital Loan Notes through the Iowa Water
Pollution Control Works Financing Program. The hearing called by the enclosed
proceedings will permit the City to take advantage of the 3% fixed interest rate for 20
years with a .25% annual administrative fee associated with the borrowing. There is a
one-time 1 % loan origination fee for the borrowing.
The loan funds will be used to pay the costs of acquisition, construction, reconstruction,
extending, remodeling, improving, repairing and equipping all or part of the Storm Water
Management Utility System, including those costs associated with the North Fork
Catfish Creek Storm Sewer Improvements.
The requested action step for City Council is to adopt the attached resolution fixing the
date of September 8, 2009 for a public hearing on the proposition of issuing not to
exceed $1,000,000 in Storm Water Revenue Capital Loan Notes of Dubuque, Iowa and
providing for publication of notice. A special notice is applicable to the issuance of
storm water bonds or notes, with the date of publication of the notice being not less than
thirty days before the public hearing. A letter from attorney William Noth detailing
information on the bond hearing is enclosed.
KJT/jmg
Enclosures
cc: Barry Lindahl, City Attorney
Jenny Larson, Budget Director
Jeanne Schneider, City Clerk
AHL.~RS COON~Y, P.G.
ATTORNEYS AT LAW
100 COURT AVENUE • SUITE 600
DES MOINES, IOWA 50309-2231
PHONE 515-243-7611
FAX: 515-243-2149
WWW.AHLERSLAW.COM
WILLIAM J. NOTH
WNOTH(c~AHLERSLAW.COM
July 7, 2009
Mr. Ken TeKippe
Finance Officer
City of Dubuque
50 West 13th Street
Dubuque, Iowa 52001-4864
Direct Dial:
(515)246-0332
RE: Not to exceed $1,000,000 Storm Water Utility Revenue Capital Loan Notes
(State of Iowa Revolving Fund Loan)
Dear Mr. TeKippe:
We have now prepared and are enclosing herewith suggested proceedings to be
acted upon by the Council in fixing the date of a meeting on the proposition to issue the
above mentioned Notes and ordering publication of a notice of hearing consistent with
the provisions of Code Sections 3 84.24A and 3 84.84A.
As you know, the borrowing of loan funds by the City through the Iowa Water
Pollution Control Works Financing Program involves the same procedures applicable to
the issuance and sale of municipal bonds generally. Although the Iowa Finance
Authority (the "Authority") has agreed to make the City aloes-interest loan under the
terms of a Loan and Disbursement Agreement, that loan will be secured and evidenced
by a Storm Water Utility Revenue Capital Loan Notes that will be issued to the Authority
at the time the loan is closed.
A special notice is applicable to the issuance of storm water bonds or notes. In
this case, notice of this meeting must be published at least once in a legal newspaper,
printed wholly in the English language, published at least once weekly, and having
general circulation in the City. The date of publication is to be not less than thiri~0)
clean days before the date of said public meeting. In computing tune, the date of
publication should be excluded. If the last day falls on Sunday, the whole of the
following Monday should be excluded.
Also enclosed is an extra copy of the proceedings to be filled in as the original and
certified back to this office, together with publisher's affidavit of publication of notice of
hearing. We are also enclosing an extra copy of the notice of hearing to be delivered to
the newspaper for publication purposes. A certificate to attest the proceedings is also
enclosed.
Should you have any questions concerning the enclosed proceedings or the SRF
Program, please don't hesitate to contact me.
Yours very truly,
William J. Noth
WJN:dc
encl.
DCORNELU623754.1 /MSWord\10422.093
Council Member Lynch introduced the following Resolution entitled
"RESOLUTION FIXING DATE FOR A MEETING ON THE AUTHORIZATION OF A
LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT TO
EXCEED $1,000,000 STORM WATER UTILITY REVENUE CAPITAL LOAN NOTES
OF DUBUQUE, IOWA, AND DIRECTING PUBLICATION OF NOTICE THEREOF", and
moved that the same be adopted. Council Member Braig seconded the motion to
adopt. The roll was called and the vote was,
AYES: Braig, Buol, Connors, Jones, Lynch, Resnick, Voetberg
NAYS: None
Whereupon, the Mayor declared the Resolution duly adopted as follows:
RESOLUTION NO. 253-09
RESOLUTION FIXING DATE FOR A MEETING ON THE
AUTHORIZATION OF A LOAN AND DISBURSEMENT AGREEMENT
AND THE ISSUANCE OF NOT TO EXCEED $1,000,000 STORM
WATER UTILITY REVENUE CAPITAL LOAN NOTES OF DUBUQUE,
IOWA, AND DIRECTING PUBLICATION OF NOTICE THEREOF
WHEREAS, it is deemed necessary and advisable that the City of Dubuque,
Iowa should provide for the authorization of a Loan and Disbursement Agreement and
the issuance of Storm Water Utility Revenue Capital Loan Notes, in the amount of not
to exceed $1,000,000, as authorized by Sections 384.24A and 384.84A, Code of Iowa,
as amended, for the purpose of providing funds to pay costs as hereinafter described;
and
WHEREAS, the City has applied for a loan through the Iowa Water Pollution
Control Works Financing Program pursuant to which the Iowa Finance Authority has
agreed to purchase the City's Notes and has requested that such Notes be issued as a
single Note in a denomination equal to the total amount of the issue as authorized by
Chapter 384 of the City Code of Iowa; and
WHEREAS, the Loan and Disbursement Agreement and Note shall be payable
solely and only out of the net earnings of the Storm Water Management Utility System
and shall be a first lien on the future net earnings of the Utility; and shall not be general
obligations of the City or payable in any manner by taxation and the City shall be in no
manner liable by reason of the failure of the net revenues to be sufficient for the
payment of the Loan and Disbursement Agreement and Note; and
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WHEREAS, before a Loan and Disbursement Agreement may be authorized and
Storm Water Utility Revenue Capital Loan Notes issued to evidence the obligation of
the City thereunder, it is necessary to comply with the provisions of the City Code of
Iowa, as amended, and to publish a notice of the proposal and of the time and place of
the meeting at which the Council proposes to take action for the authorization of the
Loan and Disbursement Agreement and Note and to receive oral and/or written
objections from any resident or property owner of the City to such action.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That this Council meet in the Historic Federal Building, 350 West 6th
Street, Dubuque, Iowa, at 6:30 o'clock P.M., on the 8t" day of September, 2009, for the
purpose of taking action on the matter of the authorization of a Loan and Disbursement
Agreement and the issuance of not to exceed $1,000,000 Storm Water Utility Revenue
Capital Loan Notes to evidence the obligations of the City thereunder, the proceeds of
which will be used to provide funds to pay the costs of acquisition, construction,
reconstruction, extending, remodeling, improving, repairing and equipping all or part of
the Storm Water Management Utility System, including those costs associated with the
North Fork Catfish Creek Storm Sewer Improvements.
Section 2. That the Clerk cause publication to be made of a notice of said
meeting, in a legal newspaper, printed wholly in the English language, published at
least once weekly, and having general circulation in said City, said publication not less
than thirty (30) clear days before the date of said public meeting on the issuance of the
Note.
Section 3. The notice of the proposed action shall be in substantially the
following form:
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NOTICE OF MEETING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA
ON THE MATTER OF THE PROPOSED AUTHORIZATION OF A LOAN AND
DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT TO EXCEED
$1,000,000 STORM WATER UTILITY REVENUE CAPITAL LOAN NOTES, AND THE
PUBLIC HEARING ON THE AUTHORIZATION AND ISSUANCE THEREOF
PUBLIC NOTICE is hereby given that the Council of the City of Dubuque, Iowa,
will hold a public hearing on the 8t"day of September, 2009, at 6:30 o'clock P.M., in the
Historic Federal Building, 350 West 6th Street, Dubuque, Iowa, at which meeting the
Council proposes to take additional action for the authorization of a Loan and
Disbursement Agreement by and between the City and the Iowa Finance Authority and
the issuance to the Iowa Finance Authority of not to exceed $1,000,000 Storm Water
Utility Revenue Capital Loan Notes, at a rate not exceeding 6%, to evidence the
obligations of the City under said Loan and Disbursement Agreement, in order to
provide funds to pay the costs of acquisition, construction, reconstruction, extending,
remodeling, improving, repairing and equipping all or part of the Storm Water
Management Utility System, including those costs associated with the North Fork
Catfish Creek Storm Sewer Improvements.
The Notes will not constitute general obligations or be payable in any manner by
taxation, but will be payable from and secured by the net revenues of the Storm Water
Management Utility System. Pursuant to Chapter 44, Article V of the Dubuque City
Code, storm water management charges are imposed upon and collected from the
owners or occupants of all lots, parcels of real estate and buildings that discharge storm
water or surface or subsurface waters to the City's Storm Water Management Utility
System. Separate charges, based on a single family unit" ("SFU") rate, are imposed on
single-family residential property, nonsingle-family residential property, and
nonresidential property. The SFU rate is the dollar value periodically determined and
assigned to each single family unit (being the average impervious area of a single-
family residential property located within the City, currently 2,917 square feet), as a
charge for storm water management services, and is expressed as $X.XX per SFU.
The SFU rates are described in said Chapter 44 and may be adjusted from time to time
as set forth therein.
At the above meeting the Council shall receive oral or written objections from any
resident or property owner of the City, to the above action. After all objections have
been received and considered, the Council will at this meeting or at any adjournment
thereof, take additional action for the authorization of said Loan and Disbursement
Agreement and the issuance of Notes or will abandon the proposal to issue the Notes.
This Notice is given by order of the Council of Dubuque, Iowa, as provided by
Sections 384.24A and 384.84A of the City Code of Iowa, as amended.
Dated this 24t" day of July, 2009.
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(End of Notice)
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PASSED AND APPROVED this 20t" day of July, 2009.
~\,
Jg
Mayor
ATTEST:
City Clerk
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€~iYZYl~fIVA~
(This Notice to be posted)
Governmental Body
Date of Meeting:
Time of Meeting:
Place of Meeting:
NOTICE AND CALL OF PUBLIC MEETING
The City Council of Dubuque, Iowa.
2009.
o'clock .M.
Historic Federal Building, 350 West 6th Street, Dubuque,
Iowa.
PUBLIC NOTICE IS HEREBY GIVEN that the above mentioned governmental
body will meet at the date, time and place above set out. The tentative agenda for said
meeting is as follows:
Not to exceed $1,000,000 Storm Water Utility Revenue Capital Loan Notes
- Resolution fixing date for a meeting on the proposition to authorize a Loan
and Disbursement Agreement and the issuance of Capital Loan Notes to
evidence the obligations of the City thereunder.
Such additional matters as are set forth on the additional page(s) attached
hereto. (number)
This notice is given at the direction of the Mayor. pursuant to Chapter 21, Code of
Iowa, and the local rules of said governmental body.
City Clerk, Dubuque, Iowa
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2009
The City Council of Dubuque, Iowa, met in
Federal Building, 350 West 6th Street, Dubuque, Iowa, at
above date. There were present Mayor
the following named Council Members:
session, in the Historic
_ o'clock .M., on the
in the chair, and
Absent:
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CERTIFICATE
STATE OF IOWA )
SS
COUNTY OF DUBUQUE )
I, the undersigned City Clerk of Dubuque, Iowa, do hereby certify that attached is
a true and complete copy of the portion of the corporate records of said Municipality
showing proceedings of the Council, and the same is a true and complete copy of the
action taken by said Council with respect to said matter at the meeting held on the date
indicated in the attachment, which proceedings remain in full force and effect, and have
not been amended or rescinded in any way; that meeting and all action thereat was duly
and publicly held in accordance with a notice of meeting and tentative agenda, a copy of
which was ti>nely served on each member of the Council and posted on a bulletin board
or other prominent place easily accessible to the public and clearly designated for that
purpose at the principal office of the Council (a copy of the face sheet of said agenda
being attached hereto) pursuant to the local rules of the Council and the provisions of
Chapter 21, Code of Iowa, upon reasonable advance notice to the public and media at
least twenty-four hours prior to the commencement of the meeting as required by said law
and with members of the public present in attendance; I further certify that the individuals
named therein were on the date thereof duly and lawfully possessed of their respective
city offices as indicated therein, that no Council vacancy existed except as may be stated
in said proceedings, and that no controversy or litigation is pending, prayed or threatened
involving the incorporation, organization, existence or boundaries of the City or the right
of the individuals named therein as officers to their respective positions.
WITNESS my hand and the seal of said Municipality hereto affixed this
day of , 2009.
City Clerk, Dubuque, Iowa
SEAL
DC.'ORNELL623745.1 /MSWordU0422.093
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