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HomeMy WebLinkAboutReg 2009-07-20 Item 6G - Resolution - Cascade Water Alliance Official Statement for Cascade 2009 Bonds1 1 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 Si i \II\I. \R1' 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. 1 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. 2 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. 3 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. 1 CITY OF TUKWILA By: Title: Mayor