Water Revenue Captial Loan Notes $1mMasterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Proceedings for Public Hearing on the Issuance of Not to Exceed
$1,000,000 Water Revenue Capital Loan Notes for the Water Meter
Change Out Project (American Recovery and Reinvestment Act (ARRA)
Forgivable Loan)
DATE: January 25, 2010
Dubuque
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Finance Director Ken TeKippe recommend the City Council approve the suggested
proceedings for the public hearing on the authorization of a loan and disbursement
agreement and the issuance of not to exceed $1,000,000 Water Revenue Capital Loan
Notes for the Water Meter Change Out Project (American Recovery and Reinvestment
Act (ARRA) forgivable loan). This project includes replacing approximately 22,000
water meters and installation of hardware and software for fixed based remote read
capabilities.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
Michael C. Van Milligen
Masterpiece on the Mississippi
DATE: January 20, 2010
Dubuque
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2007
TO: Michael C. Van Milligen, City Manager
FROM: Kenneth J. TeKippe, Finance Director
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SUBJECT: Proceedings for Public Hearing on the Issuance of Not to Exceed
$1,000,000 Water Revenue Capital Loan Notes for the Water Meter
Change Out Project (American Recovery and Reinvestment Act (ARRA)
Forgivable Loan)
The purpose of this memorandum is to provide the suggested proceedings for the public
hearing on the authorization of a loan and disbursement agreement and the issuance of
not to exceed $1,000,000 Water Revenue Capital Loan Notes for the Water Meter
Change Out Project (American Recovery and Reinvestment Act (ARRA) forgivable
loan).
The project includes replacing approximately 22,000 water meters and installation of
hardware and software for fixed based remote read capabilities.
A public hearing was held on July 20, 2009 for the issuance of not to exceed
$8,000,000 Water Revenue Capital Loan Notes (Drinking Water State Revolving Fund
Loan) which is the primary financing for the project.
At the December 7, 2009 City Council meeting, Council approved a firm for the project
and the $8,875,000 project budget, which included a $7,875,000 State Revolving Fund
(SRF) loan and a $1,000,000 American Recovery and Reinvestment Act (ARRA)
forgivable loan. At the time the firm was identified, the total estimated project cost was
$8,675,709. The forgivable loan funds will be the first funds utilized for costs of the
Water Meter Change Out Project.
The proceedings have been prepared on the basis that no objections will be filed with
the City Clerk. If there are objections, we will need to summarize them. The Mayor will
then declare the hearing on the issuance of said Notes to be closed. Immediately
following, a resolution is to be introduced and adopted entitled "Resolution Instituting
Proceedings to Take Additional Action for the Authorization of a Loan and Disbursement
Agreement and the Issuance of not to exceed $1,000,000 Water Revenue Capital Loan
Notes."
Section 384.83 of the Code of Iowa provides that any resident or property owner of the
City may appeal the decision to take additional action to issue the loan, to the District
Court of a county in which any part of the City is located, within 15 days after such
additional action is taken, but that the additional action is final and conclusive unless the
court finds that the Council exceeded its authority.
The action steps for City Council are to hold the public hearing and approve the
resolution taking additional action for the issuance of not to exceed $1,000,000 Water
Revenue Capital Loan Notes for the Water Meter Change Out Project (American
Recovery and Reinvestment Act (ARRA) forgivable loan). A letter from attorney William
Noth detailing information on the hearing is enclosed.
Final Council action to complete action on the issuance of Notes for the Project will
follow the public hearing and approval of the resolution taking additional action on the
forgivable loan portion.
KT /jg
Attachments
cc: Barry Lindahl, City Attorney
Jenny Larson, Budget Director
Jeanne Schneider, City Clerk
William J. Noth
wnoth @ahlerslaw.com
Mr. Ken TeKippe
Finance Officer
City of Dubuque
50 West 13th Street
Dubuque, Iowa 52001 -4864
Dear Mr. TeKippe:
AHLERS
COONEY, P.C.
100 COURT AVENUE, SUITE 600
DES MOINES, IOWA 50309 -2231
PHONE: 515-243-7611
FAX: 515-243-2149
W W W.AHLERSLAW.COM
January 18, 2010
RE: Not to exceed $1,000,000 Water Revenue Capital Loan Notes
(Forgivable Loan)
Direct Dial:
(515)246 -0332
We have now prepared and are enclosing herewith suggested proceedings to be
acted upon by the Council on the date fixed for the public hearing on the proposal to
issue the above Notes.
The proceedings are prepared to show as a first step the receipt of any oral or
written objections from any resident or property owner to the proposed action of the
Council to authorize the form of Forgivable Loan and Disbursement Agreement and issue
the Notes to the Authority. A summary of objections received or made, if any, should be
attached to the proceedings. After all objections have been received and considered if the
Council decides to enter into the Agreement and issue the Note, a form of resolution
follows that should be introduced and adopted, entitled "Resolution Instituting
Proceedings to Take Additional Action."
Section 384.83 of the Code of Iowa provides that any resident or property owner
of the City may appeal the decision to take additional action to the District Court of a
county in which any part of the City is located, within 15 days after such additional
action is taken, but that the additional action is final and conclusive unless the court finds
that the Council exceeded its authority.
WISHARD & BAILY - 1888; GUERNSEY & BAILY - 1893; BAILY & STIPP - 1901; STIPP, PERRY, BANNISTER & STARZINGER - 1914; BANNISTER, CARPENTER,
AHLERS & COONEY - 1950: AHLERS. COONEY, DORWEILER. ALLBEE. HAYNIE & SMITH - 1974: AHLERS. COONEY. DORWEILER. HAYNIE. SMITH & ALLBEE. P.C.
January 18, 2010
Page 2
In the event an appeal is filed by any resident or property owner, please see that
we are notified immediately; and, as soon as available, a copy of the notice of appeal
should be furnished our office for review.
In the event the Council decides to abandon the proposal then the form of
resolution included in said proceedings should not be adopted. We would suggest that, in
this event, a motion merely be adopted to the effect that such proposal is abandoned.
Also enclosed is an extra copy of the proceedings to be filled in as the original and
certified back to this office.
WJN:dc
encl.
Should you have any questions, please don't hesitate to contact me.
DCORNELL/ 642640.1 /MSWord\10422.091
Yours very truly,
William J. Noth
NOTICE AND CALL OF PUBLIC MEETING
Not to exceed $1,000,000 Water Revenue Capital Loan Notes
(This Notice to be posted)
Governmental Body: The City Council of Dubuque, Iowa.
Date of Meeting: February 1, 2010.
Time of Meeting: 6:30 o'clock P.M.
Place of Meeting: 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:
Public hearing on the authorization of a Forgivable Loan and Disbursement
Agreement and the issuance of Notes to evidence the obligation of the City
thereunder.
Resolution instituting proceedings to take additional action.
Such additional matters as are set forth on the additional 11 page(s) attached hereto.
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
The City Council of Dubuque, Iowa, met in regular session, in the Historic Federal
Building, 350 West 6th Street, Dubuque, Iowa, at 6:30 o'clock P.M., on the above date.
There were present Mayor Roy Buol in the chair, and the following named Council
Members:
Karla Braig, Joyce Connors, Ric Jones, Kevin Lynch, David Resnick,
Dirk Voetberg
Absent: None
* * * * * * * * **
February 2, 2010
The Mayor announced that this was the time and place for the public hearing and
meeting on the matter of the authorization of a Forgivable 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 Water Revenue Capital Loan
Notes to evidence the obligations of the City under said Forgivable Loan and
Disbursement Agreement, in order to provide funds to pay costs of acquisition,
construction, reconstruction, extending, remodeling, improving, repairing and equipping
all or part of the Municipal Water Utility, including those costs associated with the
acquisition and installation of a fixed radio network water meter system, and that notice
of the proposed action by the Council to institute proceedings for the authorization of the
Loan and Disbursement Agreement and the issuance of the Notes had been published
pursuant to.the provisions of Sections 384.24A and 384.83 of the Code of Iowa, as
amended.
The Mayor then asked the City Clerk whether any written objections had been
filed by any City resident or property owner to the proposal. The City Clerk advised the
Mayor and the Council that no written objections had been filed. The Mayor then called_
for oral objections to the proposal and none were made. Whereupon, the Mayor declared
the time for receiving oral and written objections to be closed.
(Attach here a summary of objections
received or made, if any)
The Council then considered the proposed action and the extent of objections
thereto.
Whereupon, Council Member Connors introduced and delivered to the Clerk the
Resolution hereinafter set out entitled "RESOLUTION INSTITUTING PROCEEDINGS
TO TAKE ADDITIONAL ACTION FOR THE AUTHORIZATION OF A
FORGIVABLE LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE
OF NOT TO EXCEED $1,000,000 WATER REVENUE CAPITAL LOAN NOTES ",
and moved:
XX that the Resolution be adopted.
❑ to ADJOURN and defer action on the Resolution and the proposal to institute
proceedings to the meeting to be held at o'clock .M. on the
day of , 2010, at this place.
was,
Council Member Voetberg seconded the motion. The roll was called and the vote
AYES: Braig, Buol, Connors, Jones, Lynch, Resnick, Voetberg
NAYS:. None
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION NO. 34-10
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE AUTHORIZATION OF A
FORGIVABLE LOAN AND DISBURSEMENT AGREEMENT AND
THE ISSUANCE OF NOT TO EXCEED $1,000,000 WATER REVENUE
CAPITAL LOAN NOTES
WHEREAS, pursuant to notice published as required by law, this Council has held
a public meeting and hearing upon the proposal to institute proceedings for the
authorization of a Forgivable 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 Water Revenue Capital Loan Notes to evidence the obligations
of the City under said Forgivable Loan and Disbursement Agreement, for the purpose of
paying costs of acquisition, construction, reconstruction, extending, remodeling,
improving, repairing and equipping all or part of the Municipal Water Utility, including
those costs associated with the acquisition and installation of a fixed radio network water
meter system, and has considered the extent of objections received from residents or
property owners as to said proposal and, accordingly the following action is now
considered to be in the best interests of the City and residents thereof:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF DUBUQUE, IOWA:
Section 1. That this Council does hereby institute proceedings and takes
additional action for the authorization of a Forgivable Loan and Disbursement Agreement
by and between the City and the Iowa Finance Authority, and the issuance to the Iowa
Finance Authority in the manner required by law of not to exceed $1,000,000 Water
Revenue Capital Loan Notes for the foregoing purpose.
ATTEST:
PASSED AND APPROVED this 1 day of February, 2010.
STATE OF IOWA
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 timely 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 2 day of
February, 2010.
SEAL
DCORNELL/ 642641.1 /MSWord\10422.091
CERTIFICATE
) SS
CIG -3
ity Clerk, Dubuque, Iowa