HomeMy WebLinkAboutcocc_ordinance_no_06-2019_20190319 1 ORDINANCE NO. 06-2019
2
3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPE
4 CANAVERAL, BREVARD COUNTY, FLORIDA; RELATING TO THE
5 STATE REVOLVING FUND PROGRAM; PURSUANT TO SECTION
6 2.12(5) OF THE CITY CHARTER AUTHORIZING ONE OR MORE LOAN
7 APPLICATIONS TO BE FILED WITH THE STATE OF FLORIDA
8 DEPARTMENT OF ENVIRONMENTAL PROTECTION IN A TOTAL
9 AMOUNT NOT TO EXCEED SIX MILLION FIVE HUNDRED
10 THOUSAND DOLLARS FOR PURPOSES OF FUNDING CERTAIN
11 WASTEWATER AND STORMWATER IMPROVEMENT PROJECTS;
12 AUTHORIZING THE LOAN AGREEMENT(S); ESTABLISHING
13 PLEDGED REVENUES; DESIGNATING AUTHORIZED
14 REPRESENTATIVES; PROVIDING ASSURANCES; PROVIDING FOR
15 THE REPEAL OF PRIOR INCONSISTENT ORDINANCES AND
16 RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE.
17
18 WHEREAS,the City is granted the authority, under Section 2(b), Article VIII, of the State
19 Constitution, to exercise any power for municipal purposes, except when expressly prohibited by
20 law; and
21
22 WHEREAS, Florida Statutes provide for loans to local government agencies to finance
23 the planning, design and construction of water pollution control facilities; and
24
25 WHEREAS,Florida Administrative Code rules require authorization to apply for loans; to
26 establish pledged revenues; to designate an authorized representative; to provide assurances of
27 compliance with loan program requirements; and to enter into loan agreements; and
28
29 WHEREAS,the State Revolving Fund (SRF) Program loan priority list designates Project
30 Number WW05053 as eligible for available funding; and
31
32 WHEREAS, the City of Cape Canaveral, Florida, intends to enter into one or more loan
33 agreements with the Department of Environmental Protection (hereinafter referred to as the
34 "Department")under the SRF Program for project financing; and
35
36 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this
37 Ordinance to be in the best interests of the public health, safety and welfare of the citizens of Cape
38 Canaveral.
39
40 NOW, THEREFORE, BE IT ENACTED BY THE CITY COUNCIL OF THE CITY
41 OF CAPE CANAVERAL,BREVARD COUNTY,FLORIDA,AS FOLLOWS:
42
43 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by this
44 reference as legislative findings and the intent and purpose of the City Council of the City of Cape
45 Canaveral.
City of Cape Canaveral
Ordinance No. 06-2019
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1 Section 2. Legal Authority. The legal authority for borrowing moneys to construct the
2 projects is established in Chapter 166, Florida Statutes and Section 2.12(5) of the Cape Canaveral
3 Charter.
4
5 Section 3. Authorization. The City Council of the City of Cape Canaveral hereby
6 authorizes City staff, on behalf of the City, to apply for one or more State of Florida revolving
7 loans for water pollution control in the amount of approximately Six Million Five Hundred
8 Thousand and No/100 Dollars ($6,500,000.00) to finance the preconstruction activities and
9 construction of certain wastewater and stonnwater improvements (hereinafter"Loan").
10
11 Section 4. Establishing Pledged Revenues. The revenues pledged for the repayment of
12 the Loan(s) are net sewer and stormwater utility system revenues after payment of operating and
13 maintenance expenses of the systems and of debt service on any previous SRF loans of the City.
14
15 Section 5. Description of Loan(s) and any Associated Notes. The Loan(s) and any
16 associated Note(s) shall be dated the date of its execution and delivery,which shall be a date agreed
17 upon by the City and the Department, subject to the following terms:
18
19 (A) Construction Loan Interest Rate. The interest rate shall have a fixed interest rate not to
20 exceed 1.9% for construction loans and a fixed interest rate not to exceed 2.9% for planning and
21 design loans, subject to adjustment upon the occurrence of certain non or late payment events as
22 expressly provided in the Loan(s) and any associated Note(s).
23
24 (B) Principal and Interest Payment Dates. Principal and interest payments shall be made in
25 accordance with the terms and conditions approved by the City Manager in the Loan
26 Application(s).
27
28 (C) Form of any Notes. Any Note(s) required by the lender shall be in form approved by
29 the City Manager and City Attorney consistent with the terms and conditions of this Ordinance.
30
31 Section 6. Designation of City's Lead Authorized Representative. The City Council of
32 the City of Cape Canaveral hereby designates the City Manager as the City's lead authorized
33 representative to provide the assurances and commitments required by the loan application(s) and
34 delegate responsibility to appropriate City staff to execute disbursement requests, carry out
35 technical, financial and administrative activities associated with the Loan Agreement(s).
36
37 Section 7. Limitation of Rights. With the exception of any rights herein expressly
38 conferred, nothing expressed or mentioned in or to be implied from this Ordinance or any notes
39 executed in furtherance of this Ordinance are intended or shall be construed to give to any person
40 other than the City and the Department any legal or equitable right, remedy or claim under or with
41 respect to this Ordinance or any covenants, conditions and provisions herein contained; this
42 Ordinance and all of the covenants, conditions and provisions hereof being intended to be and
43 being for the sole and exclusive benefit of the City and the Department.
44
45 Section 8. General Authority. The Mayor, City Manager, Assistant City Manager, City
46 Attorney, and Finance Director of the City, or any of them, are hereby authorized, in connection with
47 the Loan(s) and to do all things and to take any and all actions on behalf of the City; to execute
City of Cape Canaveral
Ordinance No. 06-2019
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1 and deliver any notes and documents; to provide disclosures concerning the City; and to finalize
2 and close the transactions specified in all such agreements or arrangements (including any
3 amendments or modifications thereof), including, without limitation, the execution and delivery
4 of any and all documents and instruments deemed appropriate by any of such officers, and the
5 making of any appropriate statements, representations, certifications and confirmations on behalf
6 of the City, and in their respective capacities as officers thereof, necessary, appropriate or
7 convenient to effectuate and expedite the consummation of the transactions specified herein, and
8 any and all of the covenants, agreements and conditions of the City; the approval of the City and
9 all corporate power and authority for such actions to be conclusively evidenced by the execution
10 and delivery thereof by any of such officers.
11
12 Section 9. Execution and Authentication of Loan(s). The Loan(s), and any
13 associated Note(s), shall be executed in the name of the City by its Mayor and the corporate seal
14 of the Issuer or a facsimile thereof shall be affixed thereto or reproduced thereon and attested by
15 its City Clerk. The authorized signatures for the Mayor and City Clerk shall be either manual or
16 in facsimile. Any Loan(s) and associated Note(s) may be signed and sealed on behalf of the City
17 by such person as at the actual time of the execution of such Loan(s) and associated Note(s)
18 shall hold the proper office, although at the date of such Loan(s) and associated Note(s) such
19 person may not have held such office or may not have been so authorized.
20
21 Section 10. Application of Proceeds. Proceeds received by the City from the Loan(s)
22 shall be used to pay the costs incurred by the City for the preconstruction activities and
23 construction of certain wastewater and stormwater improvements authorized by Section 3 of this
24 Ordinance.
25
26 The City Manager shall establish and create funds and accounts to maintain the
27 loan proceeds and such funds and accounts shall be considered trust funds for the purpose
28 provided herein for such funds. Moneys on deposit to the credit of all funds and accounts created
29 hereunder may be invested pursuant to applicable law and the City's written investment
30 policy and shall mature not later than the dates on which such moneys shall be needed to make
31 payments in the manner herein provided. The securities so purchased as an investment of funds
32 shall be deemed at all times to be a part of the account from which the said investment was
33 withdrawn, and the interest accruing thereon and any profit realized therefrom shall be credited
34 to such fund or account, except as expressly provided in this Ordinance, and any loss resulting
35 from such investment shall likewise be charged to said fund or account.
36
37 Section 11. Payment of Principal and Interest; Limited Obligation. The City
38 promises that it will promptly pay the principal of and interest on the Loan(s) at the place, on the
39 dates and in the manner provided therein according to the true intent and meaning hereof and
40 thereof. The Loan(s) shall be secured by a pledge of and lien upon the Pledged Revenues in the
41 manner and to the extent described herein. The Loan(s) shall not be or constitute general
42 obligations or indebtedness of the City as a "bond" within the meaning of Article VII,
43 Section 12 of the Constitution of Florida, but shall be payable solely from the Pledged
44 Revenues in accordance with the terms hereof. No holder of the Loan(s) issued hereunder shall
45 ever have the right to compel the exercise of any ad valorem taxing power or the use of ad
46 valorem tax revenues to pay such Loan(s), or be entitled to payment of such Loan(s) from any
47 funds of the City except from the Pledged Revenues as described herein.
City of Cape Canaveral
Ordinance No.06-2019
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1 Section 12. Tax Covenant. The City covenants to the Department of the proceeds provided
2 for in this Ordinance that the City will not make any use of the proceeds received hereunder any
3 time during the term of the Loan(s) which, if such use had been reasonably expected on the date
4 the Loan(s) was issued, would have caused such Loan(s) to be an "arbitrage bond" within the
5 meaning of the Internal Revenue Code. The City will comply with the requirements of the Internal
6 Revenue Code and any valid and applicable rules and regulations promulgated thereunder
7 necessary to ensure,to the extent applicable,the exclusion of interest on the Loan(s) from the gross
8 income of the holders of the Loan(s)thereof for purposes of federal income taxation.
9
10 Section 13. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior
11 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances
12 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict.
13
14 Section 14. Not Incorporated into Code. This Ordinance shall not be incorporated into
15 the Cape Canaveral City Code.
16
17 Section 15. Severability. If any section, subsection, sentence, clause, phrase, word or
18 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of
19 competent jurisdiction, whether for substantive, procedural or any other reason, such portion shall
20 be deemed a separate, distinct and independent provision, and such holding shall not affect the
21 validity of the remaining portions of this Ordinance.
22
23 Section 16. Effective Date. This Ordinance shall become effective immediately upon
24 adoption by the City Council of the City of Cape Canaveral, Florida.
25
26 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this 19th day of
27 March,2019.,
29 .r r t� - I' _
30 `� t Bob Hoog, Mayor
-
31 ^ _
32 ATTEST: �> � _ Name FOR AGAINST
33
34 / — Mike Brown Second
35 ` '/7 .-
36 Daniel LeFeiVer,u 9`` - " Bob Hoog x
37 Deputy City Clerk``'0.�`~
38 Wes Morrison x
39 First Reading: February 19, 2019
40 Advertisement: March 7, 2019 Rocky Randels Motion
41 Second Reading: March 19, 2019
42 Angela Raymond x
43 Approv-. as to legal form and sufficiency
44 for the Ci of Cape Canaveral only by:
45 /
46 / .{
47 Anti ony A. Garganese, City Attorney
City of Cape Canaveral
Ordinance No. 06-2019
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