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HomeMy WebLinkAbout2022-658-10.17.2022 Amending Loan and Disbursement Agrment 2022BITEMS TO INCLUDE ON AGENDA CITY OF WATERLOO, IOWA $4,861,743.40 Taxable Sewer Revenue Capital Loan Notes, Series 2022E (Sponsored Project) • Resolution Amending the Original Resolution, approved on September 4, 2020, said Resolution Approving and Authorizing a Loan and Disbursement Agreement with the Iowa Finance Authority and Authorizing and Providing for the Issuance of Taxable Sewer Revenue Capital Loan Note, Series 2020B, in Order to Provide for the Funding of a Sponsored Project Under the Terms of a new Note to be Issued in the Principal Amount of $4,861,743.40. NOTICE MUST BE GIVEN PURSUANT TO IOWA CODE CHAPTER 21 AND THE LOCAL RULES OF THE CITY. October 17, 2022 The City Council of the City of Waterloo, State of Iowa, met in the Council Chambers, City Hall, 715 Mulberry Street, Waterloo, Iowa, at 5:30 o'clock P.M., on the above date. There were present Mayor Quentin Hart, in the chair, and the following named Council Members: Boesen, Nichols, Amos, Wilder and Feuss Absent: Chiles and Grieder Vacant: None Council Member Nichols introduced the following Resolution entitled "RESOLUTION AMENDING THE ORIGINAL RESOLUTION, APPROVED ON SEPTEMBER 4, 2020, SAID RESOLUTION APPROVING AND AUTHORIZING A LOAN AND DISBURSEMENT AGREEMENT WITH THE IOWA FINANCE AUTHORITY AND AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF TAXABLE SEWER REVENUE CAPITAL LOAN NOTE, SERIES 2020B, IN ORDER TO PROVIDE FOR THE FUNDING OF A SPONSORED PROJECT UNDER THE TERMS OF A NEW NOTE TO BE ISSUED IN THE PRINCIPAL AMOUNT OF $4,861,743.40", and moved that the same be adopted. Council Member Amos seconded the motion to adopt. The roll was called and the vote was, AYES: Boesen, Nichols, Amos, Wilder and Feuss NAYS: None Whereupon, the Mayor declared the following Resolution duly adopted: RESOLUTION NO. 2022-658 RESOLUTION AMENDING THE ORIGINAL RESOLUTION, APPROVED ON SEPTEMBER 4, 2020, SAID RESOLUTION APPROVING AND AUTHORIZING A LOAN AND DISBURSEMENT AGREEMENT WITH THE IOWA FINANCE AUTHORITY AND AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF TAXABLE SEWER REVENUE CAPITAL LOAN NOTE, SERIES 2020B, IN ORDER TO PROVIDE FOR THE FUNDING OF A SPONSORED PROJECT UNDER THE TERMS OF A NEW NOTE TO BE ISSUED IN THE PRINCIPAL AMOUNT OF $4,861,743.40 WHEREAS, the Issuer previously issued its Taxable Sewer Revenue Capital Loan Note, Series 2020B, dated September 4, 2020, in the amount of $5,138,000 ("Original Note"), pursuant to a Loan and Disbursement Agreement between Issuer and the Iowa Finance Authority, dated of like date (the "Agreement"), for the purpose of defraying the costs of the Project (as defined in the resolution authorizing issuance of the same (hereinafter the "Resolution")); and WHEREAS, upon completion of the Project contemplated by the Original Note, the final loan was $4,446,743.40; and WHEREAS, the Issuer has been approved by the Iowa Finance Authority and the Department of Natural Resources for a "sponsored project" amendment to the Original Note for a water restoration project described below ("Sponsored Project") to be funded under the terms of a new Series 2022E Note in the principal amount of $4,861,743.40, bearing interest at the rate of 0.750% ("New Note"); and WHEREAS, the Iowa Finance Authority has requested that the Original Note be exchanged for the New Note, reflecting the additional amount allocated for the Project; and WHEREAS, pursuant to notice published as required by law, this Council has previously 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 Issuer and the Iowa Finance Authority, and the issuance to the Iowa Finance Authority of not to exceed $500,000 Taxable Sewer Revenue Capital Loan Notes to evidence the obligations of the Issuer under said amended Loan and Disbursement Agreement for the Sponsored Project, for the purpose of providing funds to pay costs of acquisition, construction, reconstruction, extending, remodeling, improving, repairing and equipping all or part of the Municipal Sewer System, including those costs associated with a Clean Water SRF Water Restoration Sponsored Project, which includes improvements to an existing bioswale in the Westdale subdivision and associated work, and considered the extent of objections received from residents or property owners as to said proposal; and WHEREAS, a Sponsored Project Loan and Disbursement Agreement Amendment (hereinafter the "Amendment") has been prepared to reflect said interest rate reduction and additional loan amount, a copy of which is attached hereto as Exhibit A; and NOW, THEREFORE, BE IT RESOLVED BY CITY COUNCIL OF THE CITY OF WATERLOO, STATE OF IOWA: Section 1. That the Resolution is hereby amended to reflect the interest rate reduction to 0.75% per annum on the new principal amount of $4,861,743.40 from and after June 1, 2022 for the remainder of the life of the New Note. Debt service on the New Note is the same as debt service on the Original Note, accordingly, parity coverage is not affected. Section 2. That the Amendment in substantially the form attached to this Resolution and the New Note are hereby authorized to be executed and issued on behalf of the Issuer by the Mayor and attested by the City Clerk. The New Note shall be exchanged for the Original Note. Section 3. Except as amended herein, all of the other terms and conditions of the Resolution and Agreement are in all respects ratified, confirmed and approved and shall remain in full effect. PASSED AND APPROVED this 17th day of October, 2022. ATTEST: Kelley Felchle, City Clerk Quentin Hart, Mayor STATE OF IOWA COUNTY OF BLACK HAWK CERTIFICATE ) SS ) I, the undersigned City Clerk of the City of Waterloo, State of Iowa, do hereby certify that attached is a true and complete copy of the portion of the records of the City showing proceedings of the 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 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 Council hereto affixed this 17th day of October, 2022. Kelley Felchle, City Clerk, City of Waterloo, State of Iowa SEAL 02106780-1\11310-151 EXHIBIT "A" SPONSORED PROJECT LOAN & DISBURSEMENT AGREEMENT AMENDMENT