HomeMy WebLinkAboutSRF Loan WW050510 Amendment 3 (waiting on FDEP signatures) STATE REVOLVING FUND
AMENDMENT 3 TO LOAN AGREEMENT WW050510
CITY OF CAPE CANAVERAL
This amendment is executed by the STATE OF FLORIDA DEPARTMENT OF
ENVIRONMENTAL PROTECTION (Department) and the CITY OF CAPE CANAVERAL,
FLORIDA, (the"Local Government") existing as a local governmental entity under the laws of
the State of Florida. Collectively, the Department and the Local Government shall be referred to
as "Parties" or individually as a"Party".
The Department and the Local Government entered into a Clean Water State Revolving Fund
Loan Agreement,Number WW050510, as amended, authorizing a Loan amount of$2,769,700,
excluding Capitalized Interest, and
The Local Government is entitled to additional financing of$241,870, excluding Capitalized
Interest; and
Certain provisions of the Agreement need revision and several provisions need to be added to the
Agreement.
The Parties hereto agree as follows:
1. Subsections 2.03(1) and(5) of the Agreement are deleted and replaced as follows:
(1) The financial assistance authorized pursuant to this Loan Agreement consists of the
following:
State Resources Awarded to the Local Government Pursuant to this Agreement Consist of the
Following Resources Subject to Section 215.97, F.S.:
CSFA Title or State
State Program CSFA Fund Source Funding Appropriation
Number Funding Source Number Description Amount Category
Wastewater Wastewater
Original Treatment and Treatment
Agreement Stormwater 37.077 Facility $3,011,570 140131
Management TF Construction
(5) Monitoring.
In addition to reviews of audits conducted in accordance with Section 215.97, F.S., as
revised monitoring procedures may include,but not be limited to, on-site visits by Department
staff and/or other procedures. By entering into this Agreement,the Local Government agrees to
comply and cooperate with any monitoring procedures/processes deemed appropriate by the
Department. In the event the Department determines that a limited scope audit of the Local
Government is appropriate,the Local Government agrees to comply with any additional
1
instructions provided by the Department to the Local Government regarding such audit. The
Local Government understands its duty,pursuant to Section 20.055(5), F.S., to cooperate with
the Inspector General in any investigation, audit, inspection, review, or hearing.
2. Article VI of the Agreement is deleted and replaced as follows:
ARTICLE VI- DEFAULTS AND REMEDIES
6.01. EVENTS OF DEFAULT.
Upon the occurrence of any of the following events (the Events of Default) all obligations
on the part of Department to make any further disbursements hereunder shall, if Department
elects, terminate. The Department may, at its option, exercise any of its remedies set forth in this
Agreement, but Department may make any disbursements or parts of disbursements after-the
happening of any Event of Default without thereby waiving the right to exercise such remedies
and without becoming liable to make any further disbursement:
(1) Failure to make any Monthly Loan Deposit or to make any installment of the
Semiannual Loan Payment when it is due and such failure shall continue for a period of 15 days.
(2) Except as provided in Subsection 6.01(1), failure to comply with the provisions of
this Agreement, failure in the performance or observance of any of the covenants or actions
required by this Agreement or the Suspension of this Agreement by the Department pursuant to
Section 8.14 below, and such failure shall continue for a period of 30 days after written notice
thereof to the Local Government by the Department.
(3) Any warranty, representation or other statement by, or on behalf of, the Local
Government contained in this Agreement or in any information furnished in compliance with, or
in reference to,this Agreement, which is false or misleading, or if Local Government shall fail to
keep, observe or perform any of the terms, covenants, representations or warranties contained in
this Agreement,the Note, or any other document given in connection with the Loan(provided,
that with respect to non-monetary defaults,Department shall give written notice to Local
Government,which shall have 30 days to cure any such default), or is unable or unwilling to
meet its obligations thereunder.
(4) An order or decree entered,with the acquiescence of the Local Government,
appointing a receiver of any part of the Stormwater and Sewer Systems or Gross Revenues
thereof; or if such order or decree, having been entered without the consent or acquiescence of
the Local Government, shall not be vacated or discharged or stayed on appeal within 60 days
after the entry thereof.
(5) Any proceeding instituted,with the acquiescence of the Local Government, for the
purpose of effecting a composition between the Local Government and its creditors or for the
purpose of adjusting the claims of such creditors, pursuant to any federal or state statute now or
hereafter enacted, if the claims of such creditors are payable from Gross Revenues of the
Stormwater and Sewer Systems.
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(6) Any bankruptcy, insolvency or other similar proceeding instituted by, or against,the
Local Government under federal or state bankruptcy or insolvency law now or hereafter in effect
and, if instituted against the Local Government, is not dismissed within 60 days after filing.
(7) Any charge is brought alleging violations of any criminal law in the implementation
of the Project or the administration of the proceeds from this Loan against one or more officials
of the Local Government by a State or Federal law enforcement authority, which charges are not
withdrawn or dismissed within 60 days following the filing thereof.
(8) Failure of the Local Government to give immediate written notice of its knowledge
of a potential default or an event of default to the Department and such failure shall continue for
a period of 30 days.
6.02. REMEDIES.
All rights, remedies, and powers conferred in this Agreement and the transaction
documents are cumulative and are not exclusive of any other rights or remedies, and they shall
be in addition to every other right,power, and remedy that Department may have, whether
specifically granted in this Agreement or any other transaction document, or existing at law, in
equity, or by statute. Any and all such rights and remedies may be exercised from time to time
and as often and in such order as Depaitment may deem expedient. Upon any of the Events of
Default and subject to the rights of others having prior liens on the Pledged Revenues, the
Department may enforce its rights by, inter alia, any of the following remedies:
(1) By mandamus or other proceeding at law or in equity, cause to establish rates and
collect fees and charges for use of the Stormwater and Sewer Systems, and to require the Local
Government to fulfill this Agreement.
(2) By action or suit in equity, require the Local Government to account for all moneys
received from the Department or from the ownership of the Stormwater and Sewer Systems and
to account for the receipt,use, application, or disposition of the Pledged Revenues.
(3) By action or suit in equity, enjoin any acts or things which may be unlawful or in
violation of the rights of the Department.
(4) By applying to a court of competent jurisdiction, cause to appoint a receiver to
manage the Stormwater and Sewer Systems, establish and collect fees and charges, and apply the
revenues to the reduction of the obligations under this Agreement.
(5) By certifying to the Auditor General and the Chief Financial Officer delinquency on
loan repayments, the Department may intercept the delinquent amount plus a penalty from any
unobligated funds due to the Local Government under any revenue or tax sharing fund
established by the State, except as otherwise provided by the State Constitution. The Department
may impose a penalty in an amount not to exceed an interest rate of 18 percent per annum on the
amount due in addition to charging the cost to handle and process the debt. Penalty interest shall
accrue on any amount due and payable beginning on the 30th day following the date upon which
payment is due.
(6) By notifying financial market credit rating agencies and potential creditors.
3
(7) By suing for payment of amounts due, or becoming due, with interest on overdue
payments together with all costs of collection, including attorneys' fees.
(8) By accelerating the repayment schedule or increasing the Financing Rate on the
unpaid principal of the Loan to as much as 1.667 times the Financing Rate.
6.03. DELAY AND WAIVER.
No course of dealing between Department and Local Government, or any failure or delay
on the part of Department in exercising any rights or remedies hereunder, shall operate as a
waiver of any rights or remedies of Department, and no single or partial exercise of any rights or
remedies hereunder shall operate as a waiver or preclude the exercise of any other rights or
remedies hereunder. No delay or omission by the Department to exercise any right or power
accruing upon Events of Default shall impair any such right or power or shall be construed to be
a waiver of any such default or acquiescence therein, and every such right and power may be
exercised as often as may be deemed expedient. No waiver or any default under this Agreement
shall extend to or affect any subsequent Events of Default, whether of the same or different
provision of this Agreement, or shall impair consequent rights or remedies.
3. Section 8.12 of the Agreement is deleted and replaced as follows:
8.12. SCRUTINIZED COMPANIES.
(1) The Local Government certifies that it and its subcontractors are not on the
Scrutinized Companies that Boycott Israel List. Pursuant to Section 287.135, F.S., the
Department may immediately terminate this Agreement at its sole option if the Local
Government or its subcontractors are found to have submitted a false certification; or if the Local
Government, or its subcontractors are placed on the Scrutinized Companies that Boycott Israel
List or is engaged in the boycott of Israel during the term of the Agreement.
(2) If this Agreement is for more than one million dollars, the Local Government
certifies that it and its subcontractors are also not on the Scrutinized Companies with Activities
in Sudan, Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or
engaged with business operations in Cuba or Syria as identified in Section 287.135, F.S.
Pursuant to Section 287.135, F.S., the Department may immediately terminate this Agreement at
its sole option if the Local Government, its affiliates, or its subcontractors are found to have
submitted a false certification; or if the Local Government, its affiliates, or its subcontractors are
placed on the Scrutinized Companies that Boycott the Scrutinized Companies with Activities in
Sudan List, or Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List,
or engaged with business operations in Cuba or Syria during the term of the Agreement.
(3) The Local Government agrees to observe the above requirements for applicable
subcontracts entered into for the performance of work under this Agreement.
(4) As provided in Subsection 287.135(8), F.S., if federal law ceases to authorize these
contracting prohibitions then they shall become inoperative.
4
4. Section 8.13 is added to the Agreement as follows:
8.13. SUSPENSION.
The Department may suspend any or all of its obligations to Loan or provide financial
accommodation to the Local Government under this Agreement in the following events, as
determined by the Department:
(1) The Local Government abandons or discontinues the Project before its completion,
(2) The commencement,prosecution, or timely completion of the Project by the Local
Government is rendered improbable or the Department has reasonable grounds to be insecure in
Local Government's ability to perform, or
(3) The implementation of the Project is determined to be illegal, or one or more
officials of the Local Government in responsible charge of, or influence over, the Project is
charged with violating any criminal law in the implementation of the Project or the
administration of the proceeds from this Loan.
The Department shall notify the Local Government of any suspension by the Department
of its obligations under this Agreement, which suspension shall continue until such time as the
event or condition causing such suspension has ceased or been corrected, or the Department has
re-instated the Agreement.
Local Government shall have no more than 30 days following notice of suspension
hereunder to remove or correct the condition causing suspension. Failure to do so shall constitute
a default under this Agreement.
Following suspension of disbursements under this Agreement, the Department may
require reasonable assurance of future performance from Local Government prior to re-instating
the Loan. Such reasonable assurance may include,but not be limited to, a payment mechanism
using two party checks, escrow or obtaining a Performance Bond for the work remaining.
Following suspension,upon failure to cure, correct or provide reasonable assurance of
future performance by Local Government, the Department may exercise any remedy available to
it by this Agreement or otherwise and shall have no obligation to fund any remaining Loan
balance under this Agreement.
5. Additional financing in the amount of$241,870, excluding Capitalized Interest, is
hereby awarded to the Local Government.
6. A Financing Rate of 0.56 percent per annum is established for the additional
financing amount awarded in this amendment. Individually,the interest rate is 0.28 percent per
annum and the Grant Allocation Assessment rate is 0.28 percent per annum. However, if this
amendment is not executed by the Local Government and returned to the Department before
January 1, 2019, the Financing Rate may be adjusted.
5
7. The estimated principal amount of the Loan is hereby revised to $3,058,770, which
consists of$3,011,570 authorized for disbursement to the Local Government and$47,200 of
Capitalized Interest. This total consists of the following:
(a) Original Agreement of$2,335.600, including$2,288,900 authorized for
disbursement to the Local Government and$46,700 of Capitalized Interest, at a Financing Rate
of 1.26 percent per annum(the interest rate is 0.63 percent per annum and the Grant Allocation
Assessment rate is 0.63 percent per annum); and
(b) Amendment 2 of$481,300, including $480,800 authorized for disbursement to the
Local Government and$500 of Capitalized Interest, at a Financing Rate of 0.21 percent per
annum(the interest rate is 0.105 percent per annum and the Grant Allocation Assessment rate is
0.105 percent per annum); and
(c) Amendment 3 of$241,870, including $241,870 authorized for disbursement to the
Local Government and$0 of Capitalized Interest, at a Financing Rate of 0.56 percent per annum
(the interest rate is 0.28 percent per annum and the Grant Allocation Assessment rate is 0.28
percent per annum).
The estimated principal does not reflect payments received to date.
8. An additional Loan Service Fee in the amount of$4,837, for a total of$60,231, is
hereby estimated. The fee represents two percent of the Loan amount excluding Capitalized
Interest, that is,two percent of$3,011,570.
9. The Semiannual Loan Payment amount is hereby revised and shall be in the amount
of$86,604. Such payments shall be paid to, and must be received by, the Department beginning
on February 15, 2019 and semiannually thereafter on August 15 and February 15 of each year
until all amounts due hereunder have been fully paid. Until this Agreement is further amended,
each Semiannual Loan Payment will be proportionally applied toward repayment of the amounts
owed on each incremental Loan amount at the date such payment is due.
10. The Local Government and the Department acknowledge that the actual Project
costs have not been determined as of the effective date of this agreement. Project cost
adjustments may be made as a result of Project changes agreed upon by the Department.
Capitalized Interest will be recalculated based on actual dates and amounts of Loan
disbursements. If the Local Government receives other governmental financial assistance for
this Project,the costs funded by such other governmental assistance will not be financed by this
Loan. The Department shall establish the final Project costs after its final inspection of the
Project records. Changes in Project costs may also occur as a result of an audit.
Funds disbursed in accordance with Section 4.08 of this Agreement shall be disbursed in
the order in which they have been obligated without respect to budgetary line item estimates. All
disbursements shall be made from the original Loan amount until that amount has been
disbursed; the Financing Rate established for the original Loan amount shall apply to such
disbursements for the purpose of determining the associated Capitalized Interest and repayment
amount. The Financing Rate established for any additional increment of Loan financing shall be
6
used to determine the Capitalized Interest and repayment amount associated with the funds
disbursed from that increment.
The estimated Project costs are revised as follows:
CATEGORY PROJECT COSTS ($)
Construction and Demolition 2,942,300
Technical Services After Bid Opening 69,270
SUBTOTAL(Loan Amount) 3,011,570
Capitalized Interest 47,200
TOTAL(Loan Principal Amount) 3,058,770
11. Subsection 10.07(5)of the Agreement is revised as follows:
(5) The first Semiannual Loan Payment in the amount of$86,604 shall be due
February 15,2019.
12. Section 10.08 of the Agreement is deleted and replaced as follows.
Prior to any funds being released, the Local Government shall submit the following:
(1) A certified copy of the Resolution which authorizes the application, establishes the
Pledged Revenues, and designates an Authorized Representative for signing the application and
executing the Loan Agreement; and
(2) An Asset Management Plan must be fully implemented by the City and verified by
the Department at least three months prior to the date the first loan repayment is scheduled, in
order to receive the 0.10 percent per annum Financing Rate reduction that has been included in
the Financing Rate. If the Asset Management Plan is not implemented and verified by that date,
the Agreement will be amended to increase the Financing Rate of the loan by 0.10 percent per
annum.
13. All other terms and provisions of the Loan Agreement shall remain in effect.
REMAINDER OF PAGE INTENTIONALLY LEFT BLANK
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This Amendment 3 to Loan Agreement WW050510 may be executed in two or more
counterparts, any of which shall be regarded as an original and all of which constitute but one
and the same instrument.
IN WITNESS WHEREOF, the Department has caused this Agreement to be executed on
its behalf by the Secretary or Designee and the Local Government has caused this Agreement to
be executed on its behalf by its Authorized Representative and by its affixed seal. The effective
date of this Agreement shall be as set forth below by the Department.
for
CI Y OF CAP CANAVERAL
ayor
• •
, st: o ° Approved to form and legal sufficiency:
Ci• f lerk-` City Attorney
?' i-•^ -�-•moo-. +' '' _
SEAL `,.;
for
STATE OF FLORIDA
DEPARTMENT OF ENVIRONMENTAL PROTECTION
Secretary or Designee Date
8
STATE REVOLVING FUND
AMENDMENT 3 TO LOAN AGREEMENT WW050510
CITY OF CAPE CANAVERAL
This amendment is executed by the STATE OF FLORIDA DEPARTMENT OF
ENVIRONMENTAL PROTECTION (Department) and the CITY OF CAPE CANAVERAL,
FLORIDA, (the "Local Government") existing as a local governmental entity under the laws of
the State of Florida. Collectively,the Department and the Local Government shall be referred to
as "Parties" or individually as a"Party".
The Department and the Local Government entered into a Clean Water State Revolving Fund
Loan Agreement,Number WW050510, as amended, authorizing a Loan amount of$2,769,700,
excluding Capitalized Interest, and
The Local Government is entitled to additional financing of$241,870, excluding Capitalized
Interest; and
Certain provisions of the Agreement need revision and several provisions need to be added to the
Agreement.
The Parties hereto agree as follows:
1. Subsections 2.03(1) and(5) of the Agreement are deleted and replaced as follows:
(1) The financial assistance authorized pursuant to this Loan Agreement consists of the
following:
State Resources Awarded to the Local Government Pursuant to this Agreement Consist of the
Following Resources Subject to Section 215.97, F.S.:
CSFA Title or State
State Program CSFA Fund Source Funding Appropriation
Number Funding Source Number Description Amount Category
Wastewater Wastewater
Original Treatment and 37 077 Treatment $3,011,570 140131
Agreement Stormwater Facility
Management TF Construction
(5) Monitoring.
In addition to reviews of audits conducted in accordance with Section 215.97, F.S., as
revised monitoring procedures may include,but not be limited to, on-site visits by Department
staff and/or other procedures. By entering into this Agreement, the Local Government agrees to
comply and cooperate with any monitoring procedures/processes deemed appropriate by the
Department. In the event the Department determines that a limited scope audit of the Local
Government is appropriate, the Local Government agrees to comply with any additional
1
instructions provided by the Department to the Local Government regarding such audit. The
Local Government understands its duty,pursuant to Section 20.055(5), F.S., to cooperate with
the Inspector General in any investigation, audit, inspection,review, or hearing.
2. Article VI of the Agreement is deleted and replaced as follows:
ARTICLE VI-DEFAULTS AND REMEDIES
6.01.'EVENTS OF DEFAULT.
Upon the occurrence of any of the following events (the Events of Default) all obligations
on the part of Department to make any further disbursements hereunder shall, if Department
elects,terminate. The Department may, at its option, exercise any of its remedies set forth in this
Agreement,but Department may make any disbursements or parts of disbursements after the
happening of any Event of Default without thereby waiving the right to exercise such remedies
and without becoming liable to make any further disbursement:
(1) Failure to make any Monthly Loan Deposit or to make any installment of the
Semiannual Loan Payment when it is due and such failure shall continue for a period of 15 days.
(2) Except as provided in Subsection 6.01(1), failure to comply with the provisions of
this Agreement, failure in the performance or observance of any of the covenants or actions
required by this Agreement or the Suspension of this Agreement by the Department pursuant to
Section 8.14 below, and such failure shall continue for a period of 30 days after written notice
thereof to the Local Government by the Department.
(3) Any warranty, representation or other statement by, or on behalf of, the Local
Government contained in this Agreement or in any information furnished in compliance with, or
in reference to, this Agreement,which is false or misleading, or if Local Government shall fail to
keep, observe or perform any of the terms, covenants, representations or warranties contained in
this Agreement, the Note, or any other document given in connection with the Loan(provided,
that with respect to non-monetary defaults,Department shall give written notice to Local
Government,which shall have 30 days to cure any such default), or is unable or unwilling to
meet its obligations thereunder.
(4) An order or decree entered, with the acquiescence of the Local Government,
appointing a receiver of any part of the Stormwater and Sewer Systems or Gross Revenues
thereof; or if such order or decree, having been entered without the consent or acquiescence of
the Local Government, shall not be vacated or discharged or stayed on appeal within 60 days
after the entry thereof.
(5) Any proceeding instituted, with the acquiescence of the Local Government, for the
purpose of effecting a composition between the Local Government and its creditors or for the
purpose of adjusting the claims of such creditors,pursuant to any federal or state statute now or
hereafter enacted, if the claims of such creditors are payable from Gross Revenues of the
Stormwater and Sewer Systems.
2
(6) Any bankruptcy, insolvency or other similar proceeding instituted by, or against,the
Local Government under federal or state bankruptcy or insolvency law now or hereafter in effect
and,if instituted against the Local Government, is not,dismissed within 60 days after filing.
(7) Any charge is brought alleging violations of any criminal law in the implementation
of the Project or the administration of the proceeds from this Loan against one or more officials
of the Local Government by a State or Federal law enforcement authority, which charges are not
withdrawn or dismissed within 60 days following the filing thereof
(8) Failure of the Local Government to give immediate written notice of its knowledge
of a potential default or an event of default to the Department and such failure shall continue for
a period of 30 days.
6.02. REMEDIES.
All rights, remedies, and powers conferred in this Agreement and the transaction
documents are cumulative and are not exclusive of any other rights or remedies, and they shall
be in addition to every other right,power, and remedy that Department may have,whether
specifically granted in this Agreement or any other transaction document, or existing at law, in
equity, or by statute. Any and all such rights and remedies may be exercised from time to time
and as often and in such order as Department may deem expedient. Upon any of the Events of
Default and subject to the rights of others having prior liens on the Pledged Revenues,the
Department may enforce its rights by, inter alia, any of the following remedies:
(1) By mandamus or other proceeding at law or in equity, cause to establish rates and
collect fees and charges for use of the Stormwater and Sewer Systems, and to require the Local
Government to fulfill this Agreement.
(2) By action or suit in equity, require the Local Government to account for all moneys
received from the Department or from the ownership of the Stormwater and Sewer Systems and
to account for the receipt,use, application, or disposition of the Pledged Revenues.
(3) By action or suit in equity, enjoin any acts or things which may be unlawful or in
violation of the rights of the Department.
(4) By applying to a court of competent jurisdiction, cause to appoint a receiver to
manage the Stormwater and Sewer Systems, establish and collect fees and charges, and apply the
revenues to the reduction of the obligations under this Agreement.
(5) By certifying to the Auditor General and the Chief Financial Officer delinquency on
loan repayments, the Department may intercept the delinquent amount plus a penalty from any
unobligated funds due to the Local Government under any revenue or tax sharing fund
established by the State, except as otherwise provided by the State Constitution. The Department
may impose a penalty in an amount not to exceed an interest rate of 18 percent per annum on the
amount due in addition to charging the cost to handle and process the debt. Penalty interest shall
accrue on any amount due and payable beginning on the 30th day following the date upon which
payment is due.
(6) By notifying financial market credit rating agencies and potential creditors.
3
(7) By suing for payment of amounts due, or becoming due,with interest on overdue
payments together with all costs of collection, including attorneys'fees.
(8) By accelerating the repayment schedule or increasing the Financing Rate on the
unpaid principal of the Loan to as much as 1.667 times the Financing Rate.
6.03. DELAY AND WAIVER.
No course of dealing between Department and Local Government, or any failure or delay
on the part of Department in exercising any rights or remedies hereunder, shall operate as a
waiver of any rights or remedies of Department, and no single or partial exercise of any rights or
remedies hereunder shall operate as a waiver or preclude the exercise of any other rights or
remedies hereunder. No delay or omission by the Department to exercise any right or power
accruing upon Events of Default shall impair any such right or power or shall be construed to be
a waiver of any such default or acquiescence therein, and every such right and power may be
exercised as often as may be deemed expedient. No waiver or any default under this Agreement
shall extend to or affect any subsequent Events of Default,whether of the same or different
provision of this Agreement, or shall impair consequent rights or remedies.
3. Section 8.12 of the Agreement is deleted and replaced as follows:
8.12. SCRUTINIZED COMPANIES.
(1) The Local Government certifies that it and its subcontractors are not on the
Scrutinized Companies that Boycott Israel List. Pursuant to Section 287.135, F.S., the
Department may immediately terminate this Agreement at its sole option if the Local
Government or its subcontractors are found to have submitted a false certification; or if the Local
Government, or its subcontractors are placed on the Scrutinized Companies that Boycott Israel
List or is engaged in the boycott of Israel during the term of the Agreement.
(2) If this Agreement is for more than one million dollars,the Local Government
certifies that it and its subcontractors are also not on the Scrutinized Companies with Activities
in Sudan, Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or
engaged with business operations in Cuba or Syria as identified in Section 287.135, F.S.
Pursuant to Section 287.135, F.S.,the Department may immediately terminate this Agreement at
its sole option if the Local Government, its affiliates, or its subcontractors are found to have
submitted a false certification; or if the Local Government, its affiliates, or its subcontractors are
placed on the Scrutinized Companies that Boycott the Scrutinized Companies with Activities in
Sudan List, or Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List,
or engaged with business operations in Cuba or Syria during the term of the Agreement.
(3) The Local Government agrees to observe the above requirements for applicable
subcontracts entered into for the performance of work under this Agreement.
(4) As provided in Subsection 287.135(8), F.S., if federal law ceases to authorize these
contracting prohibitions then they shall become inoperative.
4
4. Section 8.13 is added to the Agreement as follows:
8.13. SUSPENSION.
The Department may suspend any or all of its obligations to Loan or provide financial
accommodation to the Local Government under this Agreement in the following events, as
determined by the Department:
(1) The Local Government abandons or discontinues the Project before its completion,
(2) The commencement,prosecution, or timely completion of the Project by the Local
Government is rendered improbable or the Department has reasonable grounds to be insecure in
Local Government's ability to perform, or
(3) The implementation of the Project is determined to be illegal, or one or more
officials of the Local Government in responsible charge of, or influence over, the Project is
charged with violating any criminal law in the implementation of the Project or the
administration of the proceeds from this Loan.
The Department shall notify the Local Government of any suspension by the Department
of its obligations under this Agreement, which suspension shall continue until such time as the
event or condition causing such suspension has ceased or been corrected, or the Department has
re-instated the Agreement.
Local Government shall have no more than 30 days following notice of suspension
hereunder to remove or correct the condition causing suspension. Failure to do so shall constitute
a default under this Agreement.
Following suspension of disbursements under this Agreement,the Department may
require reasonable assurance of future performance from Local Government prior to re-instating
the Loan. Such reasonable assurance may include, but not be limited to, a payment mechanism
using two party checks, escrow or obtaining a Performance Bond for the work remaining.
Following suspension,upon failure to cure, correct or provide reasonable assurance of
future performance by Local Government, the Department may exercise any remedy available to
it by this Agreement or otherwise and shall have no obligation to fund any remaining Loan
balance under this Agreement.
5. Additional financing in the amount of$241,870, excluding Capitalized Interest, is
hereby awarded to the Local Government.
6. A Financing Rate of 0.56 percent per annum is established for the additional
financing amount awarded in this amendment. Individually,the interest rate is 0.28 percent per
annum and the Grant Allocation Assessment rate is 0.28 percent per annum. However, if this
amendment is not executed by the Local Government and returned to the Department before
January 1, 2019, the Financing Rate may be adjusted.
5
7. The estimated principal amount of the Loan is hereby revised to $3,058,770, which
consists of$3,011,570 authorized for disbursement to the Local Government and $47,200 of
Capitalized Interest. This total consists of the following:
(a) Original Agreement of$2,335.600, including$2,288,900 authorized for
disbursement to the Local Government and $46,700 of Capitalized Interest, at a Financing Rate
of 1.26 percent per annum (the interest rate is 0.63 percent per annum and the Grant Allocation
Assessment rate is 0.63 percent per annum); and
(b) Amendment 2 of$481,300, including$480,800 authorized for disbursement to the
Local Government and$500 of Capitalized Interest, at a Financing Rate of 0.21 percent per
annum (the interest rate is 0.105 percent per annum and the Grant Allocation Assessment rate is
0.105 percent per annum); and
(c) Amendment 3 of$241,870, including$241,870 authorized for disbursement to the
Local Government and$0 of Capitalized Interest, at a Financing Rate of 0.56 percent per annum
(the interest rate is 0.28 percent per annum and the Grant Allocation Assessment rate is 0.28
percent per annum).
The estimated principal does not reflect payments received to date.
8. An additional Loan Service Fee in the amount of$4,837, for a total of$60,231, is
hereby estimated. The fee represents two percent of the Loan amount excluding Capitalized
Interest,that is, two percent of$3,011,570.
9. The Semiannual Loan Payment amount is hereby revised and shall be in the amount
of$86,604. Such payments shall be paid to, and must be received by, the Department beginning
on February 15, 2019 and semiannually thereafter on August 15 and February 15 of each year
until all amounts due hereunder have been fully paid. Until this Agreement is further amended,
each Semiannual Loan Payment will be proportionally applied toward repayment of the amounts
owed on each incremental Loan amount at the date such payment is due.
10. The Local Government and the Department acknowledge that the actual Project
costs have not been determined as of the effective date of this agreement. Project cost
adjustments may be made as a result of Project changes agreed upon by the Department.
Capitalized Interest will be recalculated based on actual dates and amounts of Loan
disbursements. If the Local Government receives other governmental financial assistance for
this Project,the costs funded by such other governmental assistance will not be financed by this
Loan. The Department shall establish the final Project costs after its final inspection of the
Project records. Changes in Project costs may also occur as a result of an audit.
Funds disbursed in accordance with Section 4.08 of this Agreement shall be disbursed in
the order in which they have been obligated without respect to budgetary line item estimates. All
disbursements shall be made from the original Loan amount until that amount has been
disbursed; the Financing Rate established for the original Loan amount shall apply to such
disbursements for the purpose of determining the associated Capitalized Interest and repayment
amount. The Financing Rate established for any additional increment of Loan financing shall be
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used to determine the Capitalized Interest and repayment amount associated with the funds
disbursed from that increment.
The estimated Project costs are revised as follows:
CATEGORY _ PROJECT COSTS ($)
Construction and Demolition 2,942,300
Technical Services After Bid Opening 69,270
SUBTOTAL (Loan Amount) 3,011,570
Capitalized Interest 47,200
TOTAL(Loan Principal Amount) 3,058,770
11. Subsection 10.07(5) of the Agreement is revised as follows:
(5) The first Semiannual Loan Payment in the amount of$86,604 shall be due
February 15, 2019.
12. Section 10.08 of the Agreement is deleted and replaced as follows.
Prior to any funds being released, the Local Government shall submit the following:
(1) A certified copy of the Resolution which authorizes the application, establishes the
Pledged Revenues, and designates an Authorized Representative for signing the application and
executing the Loan Agreement; and
(2) An Asset Management Plan must be fully implemented by the City and verified by
the Department at least three months prior to the date the first loan repayment is scheduled, in
order to receive the 0.10 percent per annum Financing Rate reduction that has been included in
the Financing Rate. If the Asset Management Plan is not implemented and verified by that date,
the Agreement will be amended to increase the Financing Rate of the loan by 0.10 percent per
annum.
13. All other terms and provisions of the Loan Agreement shall remain in effect.
REMAINDER OF PAGE INTENTIONALLY LEFT BLANK
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This Amendment 3 to Loan Agreement WW050510 may be executed in two or more
counterparts, any of which shall be regarded as an original and all of which constitute but one
and the same instrument. •
IN WITNESS WHEREOF, the Department has caused this Agreement to be executed on
its behalf by the Secretary or Designee and the Local Government has caused this Agreement to
be executed on its behalf by its Authorized Representative and by its affixed seal. The effective
date of this Agreement shall be as set forth below by the Department.
for
C Y OF CAP. CANAVERAL
•
GAlrtl,;t• t•v•
, ayorA , Approv-: - to form and legal sufficiency:
C`•. Clerk._ City Attorney
SEAL _'
for
STATE OF FLORIDA
DEPARTMENT OF ENVIRONMENTAL PROTECTION
Secretary or Designee Date
•
8