HomeMy WebLinkAboutAS01-Water Department
CITY OF SAN BERNARDINO -
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Mayor and Common Council
REQUEST ':QR COUNCIL ACTION
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, From:
Subject:
Issuance of certificates
of Participation-Public
Safety Authority-Water
Reclamation Plant
Dept:
Bernard C. Kersey, General Manager
Water Department
November 26, 1991
Date:
Synopsis of Previous Council action:
None
Recommended motion:
Receive and File
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Contact person: Bernard C. Kersey
Phone:
384-5091
Supporting data attached:
Yes
Ward:
All
FUNDING REQUIREMENTS:
Amount:
Source: IAcct. No.1
IAcct. Description)
Finance:
Council Notes:
75.0262
Agenda Item No
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CITY OF SAN BERORDINO - REQUEST OlR COUNCIL ACTION
STAFF REPORT
The Water Department is preparing to issue
Participation though the Public Safety Authority
at the Water Reclamation Plant.
Certificates of
for improvements
The Public Safety Authority is a joint powers authority of the City
and County of San Bernardino and was the funding source for the
1969 expansion of the Water Reclamation Plant.
The issue will be used for the following projects:
2.375.000
$36,800,000
2.200.000
$39,000,000
3,773,000
834,000
r 1. 857 . 0001
$41,750,000
The term of the issue is proposed for twenty-five years. Included
in this issuance are proceeds to defease the remaining balance of
the 1986 Sewer Refunding Revenue Bonds. The purpose of defeasing
the issue is to eliminate multiple layers of debt service and bond
covenants and to allow the pledge of all revenues of the Sewer Fund
for debt service.
Primary Hydraulic Reliability Project
Construction Costs
Construction Management
Contingency (10%)
Sub Total PHR
Phase 3A Secondary Expansion-Design
Water Reclamation Lab, Operations, Control
Center, Administration
(PHR)
$28,000,000
2,650,000
1. 375.000
$32,025,000
2,400,000
Defeasance of 1986 Refunding Sewer Bonds
Total Project costs
Reserve Fund
Discount and Issuance costs
Interest on Construction Funds
The process to be used to defease the bonds is called an "asset
transfer". The city will sell to the Public Safety Authority a
piece of property on which new facilities will be constructed. The
sale value will be equivalent to the amount needed to defease the
bonds. The proceeds of this sale will be used to defease the
revenue bonds. Under the Certificate of Participation Installment
Purchase Agreement, the city will purchase both the site and
improvements from the Public Safety Authority.
In preparing the schedule for this issue, the bids for the
certificates will be received on February 4, 1992. The Mayor and
Common Council will be asked to consider the following actions at
its meeting of January 6, 1992:
Recommendation from Board of Water Commissioners for sale
of certificates.
Approval of documents calling for bids on issuanc~ of
certificates.
Approval of official statement.
75-0264