HomeMy WebLinkAboutResolution 2019-114 Approving the application of WIFA Loan for Picture Rocks & Airline/Lambert Water Treatment CampusMARANA RESOLUTION NO. 2019-114
RELATING TO UTILITIES; AUTHORIZING TOWN STAFF TO APPLY FOR A
DRINKING WATER REVOLVING FUND LOAN FROM THE WATER
INFRASTRUCTURE FINANCE AUTHORITY OF ARIZONA (WIFA) TO FUND
ADDITIONAL CONSTRUCTION COSTS FOR THE PICTURE ROCKS AND
AIRLINE/LAMBERT WATER TREATMENT CAMPUS PROJECTS (WT050/WT051);
AND APPROVING THE TRANSFER OF UP TO $1,500,000 IN BUDGETED
EXPENDITURE AUTHORITY FROM THE GENERAL FUND CONTINGENCY LINE
ITEM IN THE FISCAL YEAR 2019-2020 BUDGET TO THE PICTURE ROCKS AND
AIRLINE/LAMBERT WATER TREATMENT CAMPUS PROJECTS (WT050/WT051)
TO COVER A BUDGETARY SHORTFALL FOR ADDITIONAL COSTS FOR THE
CONSTRUCTION OF THE PROJECTS
WHEREAS on January 15, 2019, the Town Council adopted Resolution No.
2019-002 approving a Water Infrastructure Finance Authority of Arizona (WIFA) loan
agreement in the amount of $15,000,000 for the Picture Rocks and Airline/ Lambert Wa-
ter Treatment Campus projects (WT050/WT051); and
WHEREAS the Town has entered into contracts with a design consultant for de-
sign and construction management services and with a construction manager for
pre -construction services design and procurement of long lead items, and based on the
90% design and cost model, a budget shortfall of approximately $1,400,000 exists for the
projects; and
WHEREAS pursuant to Arizona Revised Statues section (A.R.S. §) 9-571, the
Town may obligate the revenues generated by its Water Department and other reve-
nues, including excise taxes, otherwise authorized by law to be used to repay long-term
obligations to repay a loan from WIFA; and
WHEREAS the Town of Marana, located in Pima and Pinal Counties, certifies
that the population of the community is under 50,000 in population as of the most re-
cent U.S. Census data; and
WHEREAS according to the most recently available population statistics from
the State of Arizona Office of Economic Opportunity, the Town of Marana's population
at the time of this request for WIFA financial assistance is approximately 45,378, which
meets the requirement under A.R.S. § 9-571; and
WHEREAS the Mayor and Council of the Town of Marana find that it is in the
Town's best interest to pursue and apply for financial assistance from WIFA in an
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amount not to exceed $1,500,000 to fund additional construction costs for the Picture
Rocks and Airline/ Lambert Water Treatment Campus projects (WT050/WT051); and
WHEREAS on June 18, 2019, the Town Council adopted the fiscal year 2019-2020
budgetary document and overall financial plan which set the legal level of budgetary
control at the department level for the General Fund and at the fund level for all other
funds; and
WHEREAS the Town Council desires to transfer budgeted expenditure authority
in the fiscal year 2019-2020 budget of up to $1,500,000 from the General Fund contin-
gency line item to the Picture Rocks and Airline/Lambert Water Treatment Campus
projects (WT050/WT051) to fund the budgetary shortfall for construction of the projects
while staff applies for a WIFA loan for this amount; and
WHEREAS transferring budgeted expenditure authority from the contingency
fund of up to $1,500,000 within fiscal year 2019-2020 will not significantly impact the
General Fund; and
WHEREAS reallocations of budgeted expenditure authority between the contin-
gency line item in the General Fund to other line items are necessary from time to time.-
and
ime;and
WHEREAS the Council finds that the reallocations addressed by this resolution
are in the best interest of the Town of Marana and its citizens; and
WHEREAS the Council finds that it is in the Town's best interest to pursue and
apply for financial assistance from WIFA in an amount not to exceed $1,500,000 for ad-
ditional construction costs for the Picture Rocks and Airline/Lambert Water Treatment
Campus projects (WT050/WT051).
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF
THE TOWN OF MARANA, ARIZONA, AS FOLLOWS:
SECTION 1. The Town Manager is hereby authorized to sign for and on behalf of
the Town of Marana all applications, agreements, and other documentation necessary
or beneficial for Drinking Water Revolving Fund financial assistance from WIFA in an
amount not to exceed $1,500,000, payable from revenues of the Water Department and
other revenues, including excise taxes, otherwise authorized by law to be used to repay
long-term obligations, to cover additional construction costs for the Picture Rocks and
Airline/ Lambert Water Treatment Campus projects (WT050/WT051).
SECTION 2. The transfer of up to $1,500,000 in budgeted expenditure authority
from the General Fund's budgeted contingency line item in the fiscal year 2019-2020
budget to the Picture Rocks and Airline/Lambert Water Treatment Campus projects
(WT050/WT051) to cover a budgetary shortfall for additional costs for the projects' con-
struction is hereby approved.
SECTION 3. All actions of the officers and agents of the Town of Marana which
conform to the purposes and intent of this resolution and which further the completion
of the actions as contemplated by this resolution, whether heretofore or hereafter taken,
Marana Resolution No. 2019-114 - 2 -
are hereby ratified, confirmed and approved. The proper officers and agents of the
Town are hereby authorized and directed to do all such acts and things and to execute
and deliver all such WIFA application documents on behalf of the Town as may be nec-
essary to carry out the terms and intent of this resolution.
PASSED AND ADOPTED BY THE MAYOR AND COUNCIL OF THE TOWN
OF MARANA, ARIZONA, this 12th day of November, 2019.
I I
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Mayor E o ea
ATTE T APPROV AS TO FORM:
Cherry L. son, ToVvn Clerk r1aAlk Ca dy, Town Att ri
MARANA AZ
ESTABLISHED 1977
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