09/25/12 Board of Public Works Minutes

Home Browse Search

REGULAR MEETING SEPTEMBER 25, 2012 309 THE ISSUANCE AND SALE OF REVENUE BONDS FOR THE PAYMENT OF COSTS THEREOF, AND THE COLLECTION, SEGREGATION AND DISTRIBUTION OF THE REVENUES OF THE SEWAGE WORKS AND OTHER MATTERS RELATED THERETO WHEREAS, the City of South Bend, Indiana (the "City ") has established, constructed and financed a sewage works (the "Sewage Works ") and now owns and operates the Sewage Works, by and through its Board of Public Works (the `Board "), pursuant to IC 36 -9 -23, as amended, and other applicable laws. WHEREAS, the Board has determined and desires to recommend to the Common Council of the City (the "Common Council ") that certain additions, extensions and improvements to the Sewage Works, as described herein, are necessary. WHEREAS, the Board hereby directs Greeley and Hansen, LLC, the Troyer Group, Inc., Cardno /JFNew, Christopher Burke Engineering, McCormick Engineering, LLC, Lawson - Fisher Associates, P.C., DLZ, Inc., Abonmarche Consultants, R.W. Armstrong, Donahue and Associates, Malcolm Pirnie, Inc., Ken Hereeg & Associates, Wightman Petrie, American Structurepoint, Inc., Symbiont Science, Engineering and Construction, Inc., Gary A. Gilot, P.E., Patrick Henthorn, P.E., John C. Engstrom, P.E., and Michael C. Mecham, as professional engineers (collectively. the "Engineers "), to prepare and file plans, specifications, and detailed descriptions and estimates of the costs of the necessary additions, extensions and improvements of the Sewage Works, and directs that such plans, specifications, descriptions and estimates, to the extent required by law, should be submitted to and approved by all governmental authorities having jurisdiction thereover, including, without limitation, the Indiana Department of Environmental Management ( "IDEM "), if and to the extent IDEM approval is required under Indiana law (the additions, extensions and improvements as described in the Engineers' plans and specifications and below, are referred to herein as the "Project "). WHEREAS, the Board has determined, based on the estimates prepared and delivered by the Engineers, that the costs (as defined in Indiana Code Section 36- 9- 23 -11) of the acquisition, construction and installation of such additions, extensions and improvements to the Sewage Works, including all authorized costs relating thereto, and including the costs of the issuance of bonds on account of the financing of all or a portion thereof, will be in the estimated amount of Twenty Five Million Dollars ($25,000,000). WHEREAS, the City will advertise for and receive bids for the Project, and such bids will be subject to the Common Council's determination to acquire, construct and install the Project and the City obtaining funds for the Project. WHEREAS, the Board has determined that to provide funds necessary to pay for the costs of the Project, it will be necessary for the City to issue sewage works revenue bonds in a principal amount not to exceed Twenty Five Million Dollars ($25,000,000). WHEREAS, the City has previously issued bonds (the "Prior Bonds ") payable from the net revenues of the Sewage Works, all as described in the form of the 2012 Bond Ordinance (as defined below), pursuant to the Prior Ordinances (as defined in the 2012 Bond Ordinance). WHEREAS, the Board deems it advisable and recommends to the Common Council that the City issue revenue bonds payable from the revenues of the Sewage Works in an original amount not to exceed Twenty Five Million Dollars ($25,000,000) (the "2012 Bonds "), for the purpose of providing for the payment of (i) the Project, and (ii) the costs of issuing such 2012 Bonds. WHEREAS, the Prior Ordinances permit the issuance of additional bonds payable from the revenues of the Sewage Works and ranking on a parity with the Prior Bonds for the purpose of financing additions, extensions and improvements to the Sewage Works provided certain conditions are met, and the Board has determined, based upon information provided to the Board by Crowe Horwath LLP, the City's financial advisors, that the finances of the Sewage Works will enable the City to meet the conditions for the issuance of additional parity bonds and that, accordingly, the 2012 Bonds shall rank on a parity with the Prior Bonds.