HomeMy WebLinkAboutReg 2009-07-20 Item 6G - Resolution - Cascade Water Alliance Official Statement for Cascade 2009 Bonds1
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f ITEM INFORMATION
CAS NUMBber 09-101 ORIGINAL AGINDA DATE: JULY 13, 2009
\G :r' D,\ I'rI :M Trrl.l? A resolution authorizing the Mayor to execute certificates for the Cascade Water
Alliance Official Statement for the Cascade 2009 Bonds.
C.\ l i.GORY
Si )NS(R'S
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Fund Source:
Comments:
Dircussion n Motion
Altg Date 07/13/09 Altg Date
COUNCIL AGENDA SYNOPSIS
Initials
illeetinr Date Prepared by 1 Mayor's review
07/13/09 SH I 14,44
07/20/09 SH
Resolution Ordinance
Nitg Date 07/20/09 ALtg Date
Mtg Date
Council review
SPONSOR H Council Mayor U Adm Svcs DCD Finance 1 1 Fire 1 Legal P&R Police PW
The resolution authorizes the Mayor to sign two Certificates related to the 2009 bond issue
by Cascade Water Alliance. The bond issue, among other items, funds the purchase by
CWA of Lake Tapps and provides for the settlement of water rights issues with local native
groups. Repayment of the debt issuance has already been included in the water rate model
by CWA. The Council is being asked to approve the resolution authorizing the Mayor to
sign the Certificates.
Ri:\'II \\'I?D BY COW Mtg. 1 1 CA &P Cmte F &S Cmte Li Transportation Cmte
n Utilities Cmte Arts Comm. Parks Comm. E Planning Comm.
DATE: 7/7/09
RECOMMENDATIONS:
SP()NS()R /ADMIN. Finance Department
COMM I TE,E Unanimous Approval; Forward to Committee of the Whole
COST IMPACT FUND SOURCE
ExPI NDI'1'URI RI AMOUNT BUDGETED APPROPRIATION REQUIRED
MTG. DATE 1 RECORD OF COUNCIL ACTION
7/13/09 Forward to next Regular Meeting
MTG. DATE ATTACHMENTS
7/13/09 Informational Memorandum dated 6/30/09
Resolution in Draft Form
Certificate of the City of Tukwila
Closing Certificate of the City of Tukwila
Appendix A (for informational purposes only)
Cascade Water Alliance bond planning (for informational purposes only)
Minutes from Finance and Safety Committee meeting of 7/7/09
7/20/09 Resolution in final form, with attachments
ITEM No.
Bid Award 1 1 Public Hearing n Other
Altg Date Altg Date
ATTEST/ AUTHENTICATED:
APPROVED AS TO FORM BY:
Office of the City Attorney
City of Tukwila
Christy O'Flaherty, CMC, City Clerk
Washington
Resolution No.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, EXECUTING CERTIFICATES AND APPROVING
FINANCIAL AND OPERATING INFORMATION OF THE CITY OF
TUKWILA FOR THE CASCADE WATER ALLIANCE OFFICIAL
STATEMENT FOR THE CASCADE 2009 BONDS.
WHEREAS, Cascade Water Alliance "Cascade anticipates the issuance in
August 2009 of its Water System Revenue Bonds, 2009 (the "Cascade 2009 Bonds and
WHEREAS, under the Interlocal Contract effective April 1, 1999, as amended and
restated on December 15, 2004, that established Cascade, the City of Tukwila (the
"Member has agreed to provide such certificates or verifications as are reasonably
requested" in connection with the issuance of bonds by Cascade, including a written
undertaking (an "Undertaking to provide continuing disclosure pursuant to
paragraph (b)(5) of Securities and Exchange Commission Rule 15c2 -12; and
WHEREAS, Member representatives have assisted Cascade in providing financial
and operating information about the Member for inclusion in the official statement for
the Cascade 2009 Bonds (the "Cascade Official Statement
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. The Mayor of Tukwila, as the Member's representative to and board
member of Cascade, in connection with the issuance of the Cascade 2009 Bonds, is
authorized to execute a certificate or certificates constituting the Undertaking,
approving financial and operating information about the Member in the Cascade
Official Statement, and including such other certifications or verifications as Cascade
may reasonably request.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
at a Regular Council Meeting thereof this day of 2009.
W: \Word Processing\Resolutions \Cascade 2009 Bonds Motion.DOC
SH:ksn 07/14/2009
Joan Hernandez, Council President
Filed with the City Clerk:
Passed by the City Council:
Resolution Number:
Attachments: Exhibit A Certificate of City of Tukwila
Exhibit B Closing Certificate of City of Tukwila
Page 1 of I
CERTIFICATE OF CITY OF TUKWILA
The City of Tukwila (the "City a code city and a member of the Cascade Water
Alliance "Cascade hereby certifies to Cascade and to Lehman Brothers Inc. (the
"Underwriter as set forth below. Capitalized terms used below but not defined have the
meanings assigned thereto in the Bond Purchase Agreement (the "Purchase Agreement
between the Underwriter and Cascade.
1. The City is a code city duly organized under the laws of the State of Washington
(the "State and duly authorized to own and to operate its water system (which is identified in
the Preliminary Official Statement) and to provide this Certificate (the "Certificate to Cascade
and to the Underwriter.
2. The City has full legal right, power and authority:
a. to execute and deliver this Certificate and to perform its obligations
contained herein;
b. to execute and deliver the Closing Certificate of the City (the "Member
Closing Certificate
c. to enter into the Amended and Restated Interlocal Contract, dated as of
December 15, 2004 (the "Interlocal Contract" and together with this Certificate, the "Member
Documents among Cascade and the members named therein (collectively, the "Members
and
d. to confiuin the accuracy of the Member Information defined below.
3. Attached to this Certificate are true and correct copies of the following
documents:
EXHIBIT A
Resolution No. 1685, dated July 20, 2009, evidencing a motion authorizing
the Mayor to sign the Member Documents;
Resolution No. 1417, dated May 3, 1999, authorizing the Mayor to sign the
original version of the Interlocal Contract; and
Regular Meeting Minutes dated December 16, 2002, evidencing a motion
authorizing the Mayor to sign the Amended and Restated Interlocal Contract.
Such resolutions and motion were adopted at meetings duly convened and held in all respects
according to law. To the extent required by law, due and proper notice of such meetings was
given; a quorum was present throughout such meetings; a legally sufficient number of votes were
cast in the proper manner for the adoption of such resolutions and motions. The resolutions and
motion are in full force and effect as of the date hereof and have not been amended, superseded
or repealed.
4. The City has duly authorized the execution and delivery by the City of each of the
Member Documents, and each of the Member Documents has been fully authorized, executed
and delivered by the City.
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5. As of the date of the Preliminary Official Statement and as of the date of this
Certificate, the information concerning the City contained in Appendix A (except the amount of
the budgeted 2009 payments to Cascade, which are obtained from Cascade) and under the
heading "THE MEMBERS City of Tukwila" in Cascade's Preliminary Official Statement
(collectively, the "Member Information is true and correct.
6. Each of the representations and warranties of the City contained in the Member
Documents is true and correct as of the date of this Certificate as if made on the date of this
Certificate.
7. If, between the date of the Purchase Agreement and the date 25 days following
the date of the Closing
a. Any event shall occur or any pre- existing fact or condition shall become
known to the City that might or that would cause the Member Information, as then supplemented
or amended, to contain any untrue statement of a material fact, the City shall promptly notify
Cascade thereof; and
b. if, in the reasonable opinion of the Underwriter, such event, fact, or condition
requires the preparation and publication of a supplement or amendment to the Official Statement,
the City will provide to Cascade a supplement or amendment to the Official Statement in a form
and in a manner approved by the Underwriter.
8. The execution and delivery by the City of this Certificate and of the Interlocal
Contract do not conflict with, result in a breach of or constitute a default under any of the terms
or conditions of any resolution, ordinance, mortgage, deed of trust, lease or other agreement or
instrument to which the City is a party or by which it or any of its property is bound, or any laws,
judgments, decrees, rules or regulations applicable to the City of any court or other governmental
body or any other applicable requirement of law; and no consent, approval, authorization, order,
permit, registration or qualification of or with any such court or governmental agency or body
was or is required for the execution and delivery of wither of the Member Documents.
9. The City agrees to furnish such information, to execute such instruments and to
take such other action in cooperation with the Underwriter and not inconsistent with law, as may
be requested by the Underwriter to
a. qualify the Bonds for offer and sale under the blue sky or other securities laws
and regulations of such states and other jurisdictions of the United States of America as may be
designated by the Underwriter and
b. determine the eligibility of the Bonds for investment under the laws of such
states and other jurisdictions and shall cooperate with the Underwriter to continue such
qualifications in effect so longer as required for the distribution of the Bonds;
provided, however, that in each case the City shall not be required to execute a general consent
to service of process or to qualify to do business in connection with any such qualification or
detennination in any jurisdiction.
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10. The City is not in material breach of or in default under the Interlocal Contract or
in material breach of or in material default under any material agreement of the City's water
utility, and no event has occurred and is continuing that constitutes or that with the passage of
time or the giving of notice, or both, would constitute a material breach of or material default or
event of default under any such material agreement.
11. In each year in which Member Charges the City is required to pay is 10 percent or
more of the sum of the Member Charges paid by all of the Members in such year, the City will
provide to Cascade, not later than the last day of the eighth month of each fiscal year of the City
(but if either the City's or Cascade's fiscal year changes so that it ends on other than December
31, then no later than 30 days before Cascade's continuing disclosure is due),
a. audited financial statements for the City for the prior fiscal year, prepared in
accordance with generally accepted accounting principles applicable to Washington cities, and if
audited financial statements are not available at that time, the City may provide unaudited
financial statements with audited financial statements to be provided to Cascade when they
become available; and
b. updated Member Infoimation consisting of historical financial infoli iiation
and operating data for the City of the type included under the heading "THE MEMBERS
Member and Regional Water Rates," and in Appendix A of Cascade's Official Statement.
12. The City confines that it has not been in default on any of its debt obligations and
further confirms that during the previous five years it has not failed to comply, in all material
respects, with any previous undertakings in a written contract or agreement specified in
paragraph (b)(5)(i) of the Rule.
13. The City agrees that any certificate signed by any officer of the City and delivered
to the Underwriter shall be deemed to be a representation and warranty by the City to the
Underwriter as to the statement made therein.
14. The officer of the City signing this Certificate is duly authorized to sign this
Certificate on behalf of the City.
15. At the Closing, the City shall cause to be delivered to the Underwriter and to
Cascade the opinion of counsel to the City and the Member Closing Certificate and the other
documents and certificates required of the Member pursuant to Paragraph 7(e) of the Purchase
Agreement.
Dated this day of July, 2009.
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CITY OF TUKWILA
By:
Title:
City of Tukwila
Washington
Resolution No. 7
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF TUKWILA, WASHINGTON, AUTHORIZING
THE MAYOR TO SIGN CASCADE WATER ALLIANCE
INTERLOCA.L CONTRACT, AND ASSIGNMENT AND
ASSUMPTION OF WATER PURVEYOR CONTRACT
WITH SEATTLE.
WHEREAS, since 1993, elected officials from the City of Seattle, the Suburban
Cities Association, and the King County Water Alliance have engaged in a facilitated
negotiation to identify a new governance arrangement that would promote the
cooperative use of water and enable the development of new regional water supplies;
and
WHEREAS, an arrangement encouraging discussion among three major partners
in the region's water supply —the King County Water Alliance, Seattle Caucus, and the
Suburban Cities Caucus "Tri- Caucus —was established; and
WHEREAS, on August 30, 1995, the participants in that process executed a "Tri-
Caucus Agreement of principles regarding the relationship between Seattle and the new
Entity (Cascade Water Alliance)," which provided for cooperative planning,
development, and management of regional water supplies; and
WHEREAS, agencies are now proceeding to create, by interlocal contract, the
Cascade Water Alliance, an intergovernmental body that will further the interests of its
members while working cooperatively with other water supply entities in the region;
and
WHEREAS, the Cascade Water Alliance is an organization of municipalities
formed for the purpose of obtaining and developing supplies of water for its members;
and
WHEREAS, the City of Tukwila is a municipality that supplies water to residents
and customers within (and without) its municipal boundaries; and
WHEREAS, an offer has been extended to the City of Tukwila to join the Cascade
Water Alliance; and
WHEREAS, a water audit has been completed for the City of Tukwila; and
WHEREAS, the City Council of the City of Tukwila has voted to join the Cascade
Water Alliance in order to assure its residents and customers continued water supply,
and allow the City of Tukwila to actively participate in the operational planning and
decisions of regional water system issues;
CASCADE WATER ALLMNCC CONTRACT 4/29/99
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. Application to Cascade Water Alliance.
A. The Mayor of the City of Tukwila is authorized on behalf of the City to
execute the Cascade Water Alliance Interlocal Contract, a copy of which contract has
been assigned Number X73 in accordance with the terms and conditions of the
application process adopted by the Cascade Water Alliance
B. The Mayor of the City of Tukwila is authorized on behalf of the City to
execute that certain Assignment and Assumption of the Water Purveyor Contract with
the City of Seattle, a copy of which Contract has been assigned NumberC I
PASSED BY THE CITY COUNCIL F THE CI OF TUKWILA, WASHINGTON,
at a Regular Meeting thereof this 3 day of 1999.
C?ve Fenton, Council resident
ATTEST /AUTHENTICATED:
E. Cantu, CMC, City Clerk
APPROVED AS T.gFORI\4:
By:
Office of the City Att2y
Filed with the City Clerk: 4 Z 9-
Passed by the City Council: •5'- 3 9 7
Resolution Number S/ 7
CASCADE WATER ALLIANCE CONTRACT 4/29/99
City of Tukwila
City Council Regular Meeting Minutes
c. Byron Saunders
Page 2 of 6
December 16, 2002
Introduced by Ms. Lauterbach, Mr. Saunders is a long -time volunteer within the City and is glad to be a
part of the Commission.
HERNANDEZ MOVED; DUFFIE SECONDED; THE APPOINTMENT OF BYRON SAUNDERS TO THE
EQUITY AND DIVERSITY COMMISSION, POSITION #9; WITH A TERM TO EXPIRE 07- 31 -05.
The motion carried 6 0.
3. LIBRARY ADVISORY BOARD Arthur McCammon
Although not present, Mr. Doerschel noted that Mr. McCammon is one of the original Library Advisory
Board members and wishes to continue.
LINDER MOVED; DUFFIE SECONDED; THE REAPPOINTMENT OF ARTHUR MCCAMMON TO THE
LIBRARY ADVISORY BOARD, POSITION #1, WITH A TERM TO EXPIRE 12- 31 -04.
The motion carried 6 -0.
CITIZEN COMMENT !CORRESPONDENCE:
Jessie Richardson, 4632 South 148 Street, Tukwila, informed Council of an October 30 incident
wherein King County Animal Control took her family dog into custody, after being found outside the
fenced yard. The breed of the dog was in question (wolf hybrid or not) and the dog was ordered to
remain in the care of King County until such a determination was made. Wolf hybrid dogs are not
allowed within King County. After days of missed work, traveling from vets to others knowledgeable in
the field of dog breeds, Internet review, hiring an attorney and appealing the matter, it was ordered the
dog be returned to the Richardson home. It was found not to have been a wolf hybrid.
Ms. Richardson spoke of concern for others who might not be able to afford an attorney when such an
incident arose. She spoke with a desire to "see change" in this area by the Council.
CONSENT AGENDA:
a. Approval of Minutes November 18 and December 2 Regular Meetings
b. Approval of Vouchers 240416- 240773, in the amount of $1,982,219.48
c. Authorize the Mayor to sign a renewal contract with 3H Cable Consultants, in the amount
of $11,551.00, for Consultant Services in 2003
d. Authorize the Mayor to sign an Interlocal Agreement with Cascade Water Alliance
LINDER MOVED; DUFFIE SECONDED; APPROVAL OF THE CONSENT AGENDA AS PRESENTED.
The motion carried 6 0.
BID AWARD:
Award a contract to R. W. Scott Construction Company in the amount of
$6,844,847.17, for construction of the Tukwila International Boulevard Street
Improvement Phase I Project (South 152 to South 138 Street)
Jim Morrow, Public Works Director, asked Council to award the construction contract for the Phase I work
of the Tukwila International Boulevard project. The current value (total project costs) is $9,167,332.00;
while the total budget dollars available (from all sources) are $8,680,800.00; leaving a deficit of
$486,532.00.
Mr. Morrow assured Council he would continue his
budget deficit mentioned above. Such negotiations
Sound Energy (Natural Gas) and Qwest. After
recent efforts to negotiate options for reducing the
may take place with Seattle City Light and /or Puget
questioning items relative to tree planting and
EXHIBIT B
CLOSING CERTIFICATE OF THE CITY OF TUKWILA
The City of Tukwila (the "City a code city and a member of the Cascade Water
Alliance "Cascade hereby certifies to Cascade and to Lehman Brothers Inc. (the
"Underwriter as follows (capitalized terms used below but not defined have the
meanings assigned thereto in the Bond Purchase Agreement (the "Purchase
Agreement between the underwriter and Cascade):
1. Each of the representations and warranties of the City contained in its
Member Certificate is true and correct as of the date of this Closing Certificate as if
made on the date of this Closing Certificate, and as of the date of this Closing
Certificate, each of the representations and warranties contained in its Member
Certificate is true and correct assuming that (i) where the phrase "the Preliminary
Official Statement and the Official Statement" and (ii) the term "Member's Documents"
includes this Closing Certificate as well as the member Certificate and the Interlocal
Contract.
2. The City confirms its agreements contained in its Member Certificate,
including in particular, the City's agreements contained in Paragraphs 7, 9 and 11 of the
Member Certificate.
3. The officer of the City signing this Closing Certificate is duly authorized
to sign this Closing Certificate on behalf of the City.
Dated this day of July, 2009.
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CITY OF TUKWILA
By:
Title: Mayor