Sponsor
Alderman Shakoor
Title
City of Racine, Wisconsin
Declaration of Official Intent to Reimburse Lead Service Lateral Replacement Project
Resolution No. 15-0049
WHEREAS, the City of Racine, Wisconsin, owns and operates a water treatment plant and distribution facilities through the Racine Water Utility; and
WHEREAS, the State of Wisconsin is considering requiring replacement of a number of existing lead service laterals in accordance with the requirements of NR 809 (Project); and
WHEREAS, the Utility expects to obtain a loan to provide long-term financing for the Project from the SDWLP; and
WHEREAS, construction of the Project is expected to proceed prior to the SDWLP loan being available; and
WHEREAS, the Racine Water Utility wishes to declare its intent to use its internal funds to temporarily fund the construction of the Project until the SDWLP loan, or other long-term financing, can be obtained; and
WHEREAS, this resolution documents the City’s intent to reimburse its internal funds, as required by Treasury Regulations 26 CFR 1.150-2, with tax-exempt bond proceeds.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Racine, Wisconsin, that:
1. Expenditures of Funds. The City or the Racine Water Utility shall make expenditures as needed from funds on hand, including funds in the Water Fund, to pay the cost of planning, engineering and construction of the Project until the SDWLP loan proceeds become available.
2. Declaration of Official Intent. The City hereby officially declares its intent under Treasury Regulations, 26 CFR 1.150-2 to reimburse said expenditures with proceeds of the SDWLP loan, the aggregate principal amount of debt expected not to exceed $6,000,000.
PASSED AND ADOPTED this day of , 20 .
BY: City of Racine, Wisconsin
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Mayor
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Clerk
Fiscal Note: The Racine Water Utility applied for a Safe Drinking Water Loan through the...
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