Correction to Stormwater Utility Revenue Captial Loan Notes $14.7MMasterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
Dubuque
band
AI- America City
1
2007 • 2012 • 2013
SUBJECT: Correction of Staff Memo for June 17th Public Hearing held on the
Issuance of Not to Exceed $14,767,000 Stormwater Utility Revenue
Capital Loan Notes (State Revolving Loan Program)
DATE: July 9, 2013
Budget Director Jennifer Larson has received correspondence from the Economic
Development Administration requesting revisions to the staff memo that accompanied
the resolution that was approved on June 17, 2013 for issuance of not to exceed
$14,767,000 Stormwater Utility Revenue Capital Loan Notes (State Revolving Loan
Program). Budget Director Jennifer Larson recommends making this revision to the staff
memo so that the City is further considered for the Economic Development
Administration Disaster grant for a portion of day - lighting Bee Branch Creek and its
associated flood plain portion of green infrastructure.
The City submitted a $1,237,400 grant application to EDA; however the City is being
considered for funding of $1,227,138, a $10,262 difference. The City is committed to
funding the remaining $8,999,012 using Stormwater Utility Revenue Capital Loan Notes
(State Revolving Loan Fund Program). This was previously reported in the staff memo
as a City commitment of $8,988,750.
I recommend Mayor and City Council approval of the revision.
Michael C. Van Milligen
MCVM /jml
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Jennifer Larson, Budget Director
Kenneth TeKippe, Finance Director
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
Dubuque
kital
All- America City
II 111!
2012
SUBJECT: Proceedings for Public Hearing on the Issuance of Not to Exceed
$14,767,000 Stormwater Utility Revenue Capital Loan Notes (State
Revolving Loan Program)
DATE: June 6, 2013
Budget Director Jennifer Larson is recommending City Council approval of the
suggested proceedings for the public hearing on the issuance of Stormwater Utility
Revenue Capital Loan Notes (State Revolving Loan Program) prepared by Bond
Counsel and to present a resolution for City Council to adopt entitled "Resolution
Instituting Proceedings to Take Additional Action for the Authorization of a Loan and
Disbursement Agreement."
The master plan for the Bee Branch Restoration Project was completed in 2004. This
plan, which was designed after much input from the citizens of Dubuque, is the
community's strategic plan to remove over 1,150 residential and non - residential
properties from future flooding while creating a beautiful linear park amenity.
In May 2012, the City submitted a $1,237,400 application for an Economic Development
Administration Disaster grant for a portion of day - lighting Bee Branch Creek and its
associated flood plain portion of green infrastructure. The City requested EDA funding
for the creek restoration portion of the project, which is the highest priority and is the
essential piece to move the entire project forward by demonstrating resiliency and
protecting 1,150 homes and businesses from future disastrous flooding.
The estimated cost to construct the creek, construct the associated flood plain, relocate
utilities (sanitary sewer and water main) and relocate streets that intersect the new
creek is $10,226,150. The $1,237,400 requested for the construction of the restored
creek through EDA's Disaster Relief program represents 12% of the project cost. The
City is committed to funding the remaining $8,988,750 using Stormwater Utility Revenue
Capital Loan Notes (State Revolving Loan Fund Program).
In September 2012, the City was informed by the U.S. Economic Development
Administration that the application for the Bee Branch Disaster Resiliency Project was
selected through EDA's competitive application review process for further consideration
for funding in the amount of $1,227,138. In order to have the EDA further consider the
application for funding, the City had to provide additional information. The additional
information required includes information about the local match, including what type of
debt will be issued, the process and timeline for issuing the debt and a timeline showing
when the City Council will be able to meet to pass a resolution for issuing the debt and
when the public hearings will be held.
Staff is recommending holding the public hearing on the issuance of the SRF debt on
June 17, 2013 and adopting the resolution to satisfy the EDA requirement of the local
match being fully committed and readily available and the resolution for the issuance of
the debt approved. Although the City Council set the public hearing for June 17, 2013
on the proposition of selling not to exceed $14,767,000 in Stormwater Utility Revenue
Capital Loan Notes (State Revolving Loan Fund Program), the City will not actually
issue the debt until February 2014 when the construction of the project will be bid.
The proceedings have been prepared on the basis that no objections or petitions calling
for an election on the bond proposal 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 bonds closed. Immediately following, and assuming no petitions
have been filed, 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."
In the event the Council decides to abandon the proposal to issue said bonds, then the
form of resolution included in said proceeding should not be adopted. In this event, a
motion needs to be adopted to the effect that such bond proposal is abandoned.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM /jml
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Jennifer Larson, Budget Director
Kenneth TeKippe, Finance Director
Masterpiece on the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: Jennifer Larson, Budget Director
Dubuque
kital
All- America City
II 111!
2012
SUBJECT: Proceedings for Public Hearing on the Issuance of Not to Exceed
$14,767,000 Stormwater Utility Revenue Capital Loan Notes (State
Revolving Loan Program)
DATE: June 6, 2013
INTRODUCTION
The purpose of this memorandum is to provide the suggested proceedings for the public
hearing on the issuance of Stormwater Utility Revenue Capital Loan Notes (State
Revolving Loan Fund Program) prepared by Bond Counsel and to present a resolution
for City Council to adopt entitled "Resolution Instituting Proceedings to Take Additional
Action for the Authorization of a Loan and Disbursement Agreement." The proceeds of
which will be used for essential corporate purposes of the City. A letter from attorney Bill
Noth detailing information on the bond hearing is enclosed.
DISCUSSION
In May 2012, the City submitted a $1,237,400 application for an Economic Development
Administration Disaster grant for a portion of day - lighting Bee Branch Creek and its
associated flood plain portion of green infrastructure. The City requested EDA funding
for the creek restoration portion of the project, which is the highest priority and is the
essential piece to move the entire project forward by demonstrating resiliency and
protecting the area from future disastrous flooding.
The estimated cost to construct the creek, construct the associated flood plain, relocate
utilities (sanitary sewer and water main) and relocate streets that intersect the new
creek is $10,226,150. The $1,237,400 requested for the construction of the restored
creek through EDA's Disaster Relief program represents 12% of the project cost. The
City is committed to funding the remaining $8,988,750 using Stormwater Utility Revenue
Capital Loan Notes (State Revolving Loan Fund Program).
In September 2012, the City was informed by the U.S. Economic Development
Administration that the application for the Bee Branch Disaster Resiliency Project was
selected through EDA's competitive application review process for further consideration
for funding in the amount of $1,227,138. In order to have the EDA further consider the
application for funding, the City had to provide additional information. The additional
information required includes information about the local match, including what type of
debt will be issued, the process and timeline for issuing the debt and a timeline showing
when the City Council will be able to meet to pass a resolution for issuing the debt and
when the public hearings will be held.
Staff is recommending holding the public hearing on the issuance of the SRF debt on
June 17, 2013 and adopting the resolution to satisfy the EDA requirement of the local
match being fully committed and readily available and the resolution for the issuance of
the debt approved. Although the City is holding the public hearing on June 17, 2013 on
the proposition of selling not to exceed $14,767,000 in Stormwater Utility Revenue
Capital Loan Notes (State Revolving Loan Fund Program), the City will not actually
issue the debt until February 2014 when the construction of the project will be bid.
The proceedings have been prepared on the basis that no objections or petitions calling
for an election on the bond proposal 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 bonds closed. Immediately following, and assuming no petitions
have been filed, 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."
In the event the Council decides to abandon the proposal to issue said bonds, then the
form of resolution included in said proceeding should not be adopted. In this event, a
motion needs to be adopted to the effect that such bond proposal is abandoned.
RECOMMENDATION
I respectfully recommend the adoption of the enclosed resolution instituting the
proceedings to take additional action.
JML
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Kenneth TeKippe, Finance Director
AHLERS &COONEY, P.C.
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 @ahterslaw.com
June 3, 2013
Ms. Jenny Larson
Budget Director
City of Dubuque
50 West 13th Street
Dubuque, Iowa 52001
Direct Dial:
(515)246 -0332
RE: Not to exceed $14,767,000 Stormwater Utility Revenue Capital Loan
Notes
(Iowa Water Pollution Control Works Financing Program)
Dear Ms. Larson:
With this letter I am enclosing suggested Council proceedings for the date of the
public hearing on the proposal to issue the above Notes. The proceedings have been
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
Loan and Disbursement Agreement and issue the Notes to the Iowa Finance 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 Notes, a form of resolution follows that should be
introduced and adopted, entitled "Resolution Instituting Proceedings to Take Additional
Action."
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.
An extra copy of the proceedings is enclosed to be completed as the original and
certified back to our office.
WISHARO & 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. - 1990
June 3, 2013
Page 2
Should you have any questions concerning the enclosed proceedings or the SRF
Program, please don't hesitate to contact me.
Very truly yours,
William J. Noth
FOR THE FIRM
WJN:dc
Enclosures
cc: Barry Lindahl (w /encl.)
00945912-1\10422-146
(This Notice to be posted)
NOTICE AND CALL OF PUBLIC MEETING
Governmental Body: The City Council of the City of Dubuque, Iowa.
Date of Meeting: , 2013.
Time of Meeting: o'clock .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 the
meeting is as follows:
Not to exceed $14,767,000 Stormwater Utility Revenue Capital Loan Notes
• Public hearing on the authorization of a 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 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 the governmental body.
City Clerk, City of Dubuque, Iowa
, 2013
The City Council of the City of Dubuque, Iowa, met in session,
in the Historic Federal Building, 350 West 6th Street, Dubuque, Iowa, at
o'clock .M., on the above date. There were present Mayor , in
the chair, and the following named Council Members:
Absent:
-1-
The Mayor announced that this was the time and place for the public hearing and
meeting on the matter of 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 $14,767,000 Stormwater Utility Revenue Capital
Loan Notes to evidence the obligations of the City under said 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 Stormwater Management Utility, including those costs associated with the
construction of the Bee Branch Disaster Resiliency Project, and that notice of the
proposed action by the City 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 384.82, as amended.
The Mayor then asked the 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 City Council that written objections had been filed. The Mayor then
called for oral objections to the proposal and 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)
-2-
The City Council then considered the proposed action and the extent of objections
thereto.
Whereupon, Council Member introduced and delivered to the
Clerk the Resolution hereinafter set out entitled "RESOLUTION INSTITUTING
PROCEEDINGS TO TAKE ADDITIONAL ACTION FOR THE AUTHORIZATION
OF A LOAN AND DISBURSEMENT AGREEMENT AND THE ISSUANCE OF NOT
TO EXCEED $14,767,000 STORMWATER UTILITY REVENUE CAPITAL LOAN
NOTES ", and moved:
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 , 2013, at this
place.
Council Member seconded the motion. The roll was called and
the vote was,
AYES:
NAYS:
Whereupon, the Mayor declared the measure duly adopted.
RESOLUTION INSTITUTING PROCEEDINGS TO TAKE
ADDITIONAL ACTION FOR THE AUTHORIZATION OF
A LOAN AND DISBURSEMENT AGREEMENT AND
THE ISSUANCE OF NOT TO EXCEED $14,767,000
STORMWATER UTILITY 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 Loan and Disbursement Agreement by and between the City and the
-3-
Iowa Finance Authority, and the issuance to the Iowa Finance Authority of not to exceed
$14,767,000 Stormwater Utility Revenue Capital Loan Notes to evidence the obligations
of the City under said 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 Stormwater Management Utility, including
those costs associated with the construction of the Bee Branch Disaster Resiliency
Project, 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 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 $14,767,000 Stormwater Utility
Revenue Capital Loan Notes for the foregoing purpose.
Section 2. That the Finance Director, with the assistance of the City Attorney
and bond counsel, is hereby authorized and directed to proceed with the preparation of
such documents and proceedings as shall be necessary to authorize the City's
participation in the SRF Loan Program, to select a suitable date for final Council
authorization of the required Loan and Disbursement Agreement and issuance of the Note
to evidence the City's obligations thereunder, and to take such other actions as the Clerk
shall deem necessary to permit the completion of a loan on a basis favorable to the City
and acceptable to this Council.
Section 3. This Resolution shall serve as a declaration of official intent under
Treasury Regulation 1.150 -2 and shall be maintained on file as a public record of such
intent. It is reasonably expected that the stormwater utility fund moneys may be
advanced from time to time for capital expenditures which are to be paid from the
proceeds of the above loan agreement. The amounts so advanced shall be reimbursed
from the proceeds of the Loan Agreement not later than eighteen months after the initial
payment of the capital expenditures or eighteen months after the property is placed in
service. Such advancements shall not exceed the loan amount authorized in this
Resolution unless the same are for preliminary expenditures or unless another declaration
of intention is adopted.
-4-
PASSED AND APPROVED this day of , 2013.
ATTEST:
City Clerk
Mayor
- 5 -
CERTIFICATE
STATE OF IOWA
) SS
COUNTY OF DUBUQUE
I, the undersigned City Clerk of the City of Dubuque, State of Iowa, do hereby
certify that attached is a true and complete copy of the portion of the corporate records of
the City showing proceedings of the City Council, and the same is a true and complete
copy of the action taken by the Council with respect to the 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 the 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 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 the 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 the City hereto affixed this day of
, 2013.
City Clerk, City of Dubuque, State of Iowa
(SEAL)
00946061 -1 \10422 -146
CITY OF DUBUQUE,
IOWA
OFFICIAL NOTICE
NOTICE Or MEETING
OF THE CITY COUN-
CIL OF THE CITY OF g
DUBUQUE, IOWA ON ly unit (''SFU'') rate, are
THE MATTER OF THE mposed on single -
PROPOSED AUTHORI family residential prop -
ZATION OF A LOAN erty, non - single family
AND DISBURSEMENT residential property,
AGREEMENT AND and nonresidential
THE ISSUANCE OF property. The SFU rate
NOT TO EXCEED s the dollar value peri-
$14,767,000
STORM—odically determined
WATER UTIL TY REV- and assigned to each
ENUE CAPITAL LOAN
single family unit (be-
NOTES, AND THE ng the average iimper-
PUBLIC HEARING ON vious area of a single -
THE AUTHORIZATION! family' residential prop -
AND ISSUANCE erty located within the
THEREOF City, !;currently i 2,917
PUBLIC NOTICE is square feet), as a
hereby given that the charge for stormwater
City Council of the City management services,
of Dubuque, owa, will and is expressed as
$
hold a public hearing X.XX per SFU. The SFU
on the 17th day of rates are described in
June, 2013, at 6:30'+ said Chapter 44 and
o'clock P.M., in the His- may be adjusted from
toric Federal Building, time to time as set
350 West 6th Street, l forth therein.
Dubuque, Iowa, at At the above meeting
which meeting the City the City Council shall
Council proposes to receive oral or written
take additional action objections from any
for the authorization of resident or property
a Loan and Disburse- owner of the City to
ment Agreement by the above action. After
and all objections have
between the City
and' the Iowa Finance` been received and con
Authority, and the issu -'' sidered, the City
to the !Iowa Fi cil will at this meeting
Hance Authority of not or at any adjournment
to exceed $14,767,000 thereof, take additional
Stormwater Utility Rev- action for the authori-
enue Capital Loan zation of said Loan and
Notes to evidence the Disbursement Agree -
obligations of the City ment and the issuance
under said Loan and of Notes or will aban-
Disbursement Agree- don the proposal to is-
ment, in order to pro- sue the Notes.
vide funds to pay the This Notice is given by
costs of acquisition, order of the City Coun-
construction, recon c I of the City of Dubu-
struction, extending, que, Iowa, as provided
remodeling, improving' by Sections 384.24A
repairing and equip- , and 384.83 of the Code
ping all or part of the of Iowa, as amended.
Stormwater Manage- ` Copies of supporting
ment Utility, including documents for the pub -
those costs associated lic hearings are on file
with the construction in the City Clerk's Of-
of the Bee Branch Dis- fice and may be
aster Resiliency Proj-
ect. > working hours.
The Notes will nnt' Written comments re-
constitute general obli-
garding the above pub
gations or be payable lic hearing may be sub -
in any manner by taxa-
tion, but will be paya- Clerk's Office on or be-
ble from and secured fore said time of public
by the net revenues of hearing ** At said time
the 'Stormwater man_ and place of public
agement Utility. Pur- hearings all interested the City cierWs urrlce
surface or subsurface
waters to the City's
Stormwater Manage-
ment Utility System.
Separate chale frges,
on a sin
suant to Chapter 44,' + + ? + +?
Article V of the Dubu-
que City Code,
stormwater manage-
ment charges are im-
posed upon and col-
lected from the owners
or occupants of all lots,=
parcels of real estate
and buildings that dis-
charge stormwater or
citizens and parties
w II be given an oppor-
tunity to be heard for
or against said
rezoning.
Any visual or hearing
impaired persons
needing special assis-
tance or persons with
special accessibility
needs should contact
at (563) 589 -4120 or
TTY (563) 690 -6678 at
least 48 hours prior to
the meeting.
Dated this 7th day of
June, 2013.
Kevin S. Firnstahl
City Clerk,
City of Dubuque, Iowa
it 6/9
STATE OF IOWA {SS:
DUBUQUE COUNTY
CERTIFICATION OF PUBLICATION
I, Suzanne Pike, a Billing Clerk for Woodward Communications, Inc., an Iowa
corporation, publisher of the Telegraph Herald,a newspaper of general circulation
published in the City of Dubuque, County of Dubuque and State of Iowa; hereby
certify that the attached notice was published in said newspaper on the following
dates: June 09, 2013, and for which the charge is $51.79.
Subscribed to before me a Notary Public in and for Dubuque County, Iowa,
this day of , 20 f .
otary Public in and for Dubuque County, Iowa.
i'< ARY K. WESTER1M YER lg
Commission Number 1546