HomeMy WebLinkAbout1986-349
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RESOLUTION NO. 86-349
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
2 SAN BERNARDINO DECLARING THEIR INTENTION TO JOIN WITH EAST VALLEY
3 WATER DISTRICT IN THE ACQUISITION OF THE SOUTHERN CALIFORNIA
WATER COMPANY, HIGHLAND AND DELMANN WATER SYSTEMS, AND TO
4 EQUITABLY SHARE IN THE FINANCING AND RETIREMENT OF THE DEBT
OBLIGATIONS THEREOF.
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BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY
6 OF SAN BERNARDINO AS FOLLOWS:
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SECTION 1. Recitals.
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A. The City of San Bernardino and East Valley Water
9 District have created under a joint powers authority agreement,
10 the Highland-Delmann Heights Quality Water Supply Authority.
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B. One of the purposes for the creation of the Authority
12 was to acquire the Southern California Water Company, Highland
13 and Delmann Water Systems.
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C. The revenue from the operation of the Delmann Heights
15 portion of the said Southern California Water Company Systems, is
16 not sufficient to service the debt and the retirement of the
17 principal of the financing for the acquisition and reconstruction
18 of that part of the system.
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D. The revenue from the operation of the East Highland
20 system is more than adequate to provide the necessary revenue for
21 the debt service and retirement of the principal of the financing
22 required to acquire that system.
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E. The City and East Valley Water District have agreed to
24 blend the revenues for the acquisition of each system under the
25 administration of the Highland-Delmann Heights Quality Water
26 Supply Authority, in order that the financing for the acquisition
27 of the Highland-Delmann Water System shall be adequately financed
28 independent of any assistance from the City.
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SECTION 2. Implementation.
The City hereby declares its intention to join with East
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Valley Water District in the acquisition and improvement of
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Southern California Water Company, Highland-Delmann Heights Water
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Systems by the Highland-Delmann Heights Quality Water Authority
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and to implement that resolve within 20 days of the date of this
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resolution by an agreement to be negotiated between the City and
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East Valley Water District. The agreement will provide for the
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blending of revenue from the Delmann Heights and Highland systems
10 of the Southern California Water Company in a manner that the
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financing of the acquisition and improvement of Delmann Heights
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will be adequately financed independent of assistance from
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general revenues of the City.
Such agreement shall include the
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following:
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A. All revenue from service connections shall be paid to
16 the City and District which shall such to service
use revenue
17 operation and maintenance and to retire debt incurred by the
any
18 Authority for financing the acquisition and improvement of the
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Southern California Water Company Highland-Delmann Heights Water
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Systems. In the event net revenue is inadequate to pay operation
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and maintenance and debt retirement of either system of the
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District or City, the other public entity shall provide the
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shortfall revenues.
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B. The Authority shall set water rates for said water
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systems and that said rates shall be the same for both systems.
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I HEREBY CERTIFY that the foregoing resolution was duly
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adopted by the Mayor and Common Council of the City of San
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1 Bernardino at a
reqular
meeting thereof, held on
2 the 19th
3 wit:
4 AYES:
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day of
Auqust
, 1986, by the following vote, to
Council Members Reilly, Marks, Quiel, Strickler
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NAYS:
None
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ABSENT:
Council Members Estrada, Hernandez, Frazier
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~d/?/,1{~~
1:i ty Clerk
The foregoing resolution is hereby approved this o?/4r day
of
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IIllgllRt , 1986.
Mayor / of the City
Pro Tempore
16 Approved as to form:
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City Atforney
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