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HomeMy WebLinkAbout2007-08-23 - Resolution No. 07-15RESOLUTION NO. 07-15 RESOLUTION OF THE BOARD OF DIRECTORS OF THE YORBA LINDA WATER DISTRICT REGARDING ITS INTENTION TO ISSUE TAX-EXEMPT OBLIGATIONS WHEREAS, the Board of Directors of the Yorba Linda Water District (the "Issuer") desires to finance the costs of acquiring certain public facilities and improvements, as provided in Exhibit A attached hereto and incorporated herein (the "Projects"); and WHEREAS, the Issuer intends to finance the acquisition of the Projects or portions of the Projects with the proceeds of the sale of obligations the interest upon which is excluded from gross income for federal income tax purposes (the "Obligations"); and WHEREAS, prior to the issuance of the Obligations, which may be issued in one or more series, the Issuer desires to incur certain expenditures with respect to the Projects from available monies of the Issuer which expenditures are desired to be reimbursed by the Issuer from a portion of the proceeds of the sale of the Obligations; NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Yorba Linda Water District does hereby Resolve, Order and Determined as follows: Section 1: The Issuer hereby states its intention and reasonably expects to reimburse Projects costs incurred prior to the issuance of the Obligations with proceeds of the Obligations. Exhibit A describes either the general character, type, purpose, and function of the Projects, or the fund or account from which Projects costs are to be paid and the general functional purpose of the fund or account. Section 2: The reasonably expected maximum principal amount of the Obligations is $40,000,000.00 (forty million dollars). Section 3: This resolution is being adopted on or prior to the date (the "Expenditures Date or Dates") that the Issuer will expend monies for a portion of the Projects costs to be reimbursed from proceeds of the Obligations. Section 4: Except as described below, the expected date of issue of a series of the Obligations will be within eighteen months of the later of the Expenditure Date or Dates for a Project or the date the Project is placed in service; provided, the reimbursement may not be made more than three years after the original expenditure is paid. For Obligations subject to the small issuer exception of Section 1 48(f)(4)(D) of the Internal Revenue Code, the "eighteen-month limit" of the previous sentence is changed to "three years" and the limitation of the previous sentence beginning with provided, is not applicable. Section 5: Proceeds of a series of the Obligations to be used to reimburse for Project costs are not expected to be used, within one year of reimbursement, directly or indirectly to pay debt service with respect to any obligation (other than to pay current debt service coming due within the next succeeding one year period on any tax-exempt obligation of the Issuer (other than the Obligations)) or to be held as a reasonably required reserve or replacement fund with respect to an obligation of the Issuer or any entity related in any manner to the Issuer, or to reimburse any expenditure that was originally paid with the proceeds of any obligation, or to replace funds that are or will be used in such manner. Section 6: This resolution is consistent with the budgetary and financial circumstances of the Issuer, as of the date hereof. No monies from sources other than the Obligation issue are, or are reasonably expected to be reserved, allocated on a long-term basis, or otherwise set aside by the Issuer (or any related party) pursuant to their budget or financial policies with respect to the Projects costs. To the best of our knowledge, this Board of Directors is not aware of the previous adoption of official intents by the Issuer that have been made as a matter of course for the purpose of reimbursing expenditures and for which tax-exempt obligations have not been issued. Section 7. The limitations described in Section 3 and Section 4 do not apply to (a) costs of issuance of the Obligations, (b) an amount not in excess of the lesser of $100,000 or five percent (5%) of the proceeds of the Obligations, or (c) any preliminary expenditures, such as architectural, engineering, surveying, soil testing, and similar costs other than land acquisition, site preparation, and similar costs incident to commencement of construction, not in excess of twenty percent (20%) of the aggregate issue price of the Obligations that finances the Projects for which the preliminary expenditures were incurred. Section 8: This resolution is adopted as official action of the Issuer in order to comply with Treasury Regulation §1.150-2 and any other regulations of the Internal Revenue Service relating to the qualification for reimbursement of Issuer expenditures incurred prior to the date of issue of the Obligations, is part of the Issuer's official proceedings, and will be available for inspection by the general public at the main administrative office of the Issuer. Section 9: All the recitals in this Resolution are true and correct and this Board of Directors so finds, determines and represents. 2 ~ F t 0 HL W YORBA LINDA WATER DISTRICT DIRECTORS Paul R. Armstrong Michael J. Beverage Ric P. Collett William R. Mills John W. Summerfield GENERAL MANAGER Michael A. Payne 4622 Plumosa Drive P.O. Box 309 Yorba Linda, CA 92885 el: (714) 777-9593 ax: (714) 701-0413 Email: ylwd@ylwd.com Web: www.ylwd.com SECRETARY'S CERTIFICATE STATE OF CALIFORNIA ) ) SS COUNTY OF ORANGE ) I, Kenneth R. Vecchiarelli, Assistant Secretary of the Yorba Linda Water District, hereby do certify that the foregoing Resolution No. 07-15 was adopted at a regular meeting of the Board of Directors of the Yorba Linda Water District held on the 23`d day of August, 2007, by the following roll call vote: AYES: 3 NOES: O ABSENT: 2- ABSTAIN: Secretary, Yorba Linda Water District STATE OF CALIFORNIA ) ) SS COUNTY OF ORANGE ) I, Kenneth R. Vecchiarelli, Assistant Secretary of the Yorba Linda Water District, hereby do certify that the above and foregoing is a full, true and correct copy of Resolution No. 07-15 of said District and that the same has not been amended or repealed. DATED: August 23, 2007 Assistant Secretary, Yorba Linda Water District 4 EXHIBIT A DESCRIPTION OF THE PROJECTS (See attached) F--VE YEAR CAPITAL PANA SPREADSHEE" ~ Fisca-' Years 2007-20'-2 A-1 YORBA LINDA WATER DISTRICT WATER SYSTEM CAPITAL IMPROVEMENTS RESERVOIRS 1. Highland Reservoir Replacement Total estimated capital cost: $10,200,000 Project consists of constructing a new 6 million gallon (MG) reservoir to replace the existing 4.6 MG reservoir constructed in 1911. A preliminary design report was used to determine sizing recommendations, site constraints and project phasing. Staff proposes to use long-term debt to finance this project. 2. Hidden Hills Reservoir and Santiago Booster Upgrades Total estimated cost: $6,400,000 Project consists of building a new 2.0 million-gallon buried concrete reservoir to serve Pressure Zone 1390 in I.D.-2. Pump station improvements include replacement of pumps 1 & 2, and upgrades to the PLC and other electronic controls. Project costs include engineering, inlet and outlet piping, grading, environmental mitigation, construction management and contingency. 3. Lakeview Reservoir Total estimated capital cost: $12,500,000 Project consists of constructing an 8 million-gallon buried concrete reservoir expandable to 12 MG and demolition of two existing 2 MG steel tanks on the District's new Lakeview Reservoir and Booster Pump Station site. 4. Elk Mountain Reservoir Improvements Total estimated capital cost: $300,000 Project consists of improvements to the existing reservoir site for potential joint use as practice fields or a passive park. This project is contingent on the City of Yorba Linda's desire to approve and support a joint use agreement. BOOSTER STATIONS 5. Lakeview Booster Pump Station Total estimated capital cost: $4,500,000 Project consists of completing the new 5,000 gpm booster pump station, sodium hypochlorite generator and multiple zone pressure reducing station. This capital project benefits all service areas as it provides for the transmission of additional groundwater throughout the District as well as providing for efficient transmission of imported water to the various pressure zones normally fed by groundwater in case of surplus (in-lieu) or emergencies. 6. Palm Avenue Booster Pump Station and Yorba Linda Boulevard Pipeline Total estimated capital cost: $5,400,000 Project consists of replacing the existing Palm Avenue Booster Pump Station with a two-pump 3,500 gpm capacity station including a block building enclosure and other improvements. The project will assist the District in pushing more groundwater to the east half of our service area. The project will require constructing a parallel 16-inch pipeline in Yorba Linda Boulevard from Ohio Street to Fairmont Boulevard. FY 2007-2012 CUP Project Descriptions A-2 YORBA LINDA WATER DISTRICT WATER SYSTEM CAPITAL IMPROVEMENTS 7. Zone 1000 Booster Pump Station Total estimated capital cost: $1,080,000 Project consists of a low head, high volume booster pump station located downstream of the Quarterhorse Reservoir. This station will lift water from Pressure Zone 920 in the Pulte Development to Pressure Zone 1000 and the Little Canyon Reservoir. Once completed this station will allow the District to reconfigure the existing Fairmont Booster Pump Station to pump groundwater to Zone 780 and therefore make it accessible to the entire District. 8. Fairmont Booster Pump Station Reconfiguration Total estimated capital cost: $400,000 Project consists of reconfiguring the existing station from a Pressure Zone 780-1000 lift to a Pressure Zone 675-780 lift. This project converts the station from boosting imported water from the Springview Reservoir to boosting groundwater into the Springview Reservoir. PRODUCTION 9. Well No. 19 Long Term Storage Program Total estimated capital cost: $1,200,000 District Share: $100,000 Project consists of completing the MWD-OCWD Long Term Storage Program Well No. 19 and placing it into production and operations. Production and maintenance costs for this well must be documented and will be closely monitored in accordance with the program agreements with OCWD and MWD. Essentially, the additional capacity this well provides the District should be held in reserve to meet demands when MWD experiences a shortfall in supplies. 10. Well No. 20. Total estimated capital cost: $2,000,000 Project consists of a new groundwater production well to replace Well No. 9, which was recently abandoned by the District and to increase the reliability of the District's local water resource production capabilities. 11. Groundwater Capacity Restoration Total estimated capital cost: $1,200,000 Project consists of blanking out shallow perforations in the existing well casings of four existing groundwater production wells, lowering the bowl assemblies and increasing horsepower as required to restore production capacity at the Richfield production facilities. 12. OC-51 Upgrade Total estimated cost: $242,000 Project consists of increasing the capacity of MWD's OC-51 connection from 10cfs to 25cfs. The proposed upgrade will allow the District to back up the OC-66 connection off the Allen McCulloch Pipeline with water carried from OC-51 through the Zone 4 Transmission Pipeline (North Yorba Linda Cross Feeder) to the Bryant Cross Feeder in Fairmont Boulevard. FY 2007-2012 CIP Project Descriptions A-3 YORBA LINDA WATER DISTRICT WATER SYSTEM CAPITAL IMPROVEMENTS PIPELINES 13. 2005 C.I. Replacements (Ohio Street, Buena Vista and Grandview Avenues) Total estimated capital cost: $2,600,000 Project consists of completing the replacement of approximately 3,100 feet of old 10- inch cast iron pipeline in Buena Vista Avenue from Lakeview Avenue to Grandview Avenue, 2,300 feet of old 8-inch cast iron pipeline in Ohio Street from Grandview Avenue to its southern terminus and 2,800 feet of old 6- & 8-inch cast iron pipeline in Grandview Avenue from Mountain View south to Grandview Extension. 14. Zone 3 Transmission Pipeline, S&S Reach 5 Total estimated capital cost: $1,000,000 District share of cost (38%): $380,000 Project consists of the District's share of cost for construction of approximately 3,400 linear feet of 18-inch transmission pipeline in the proposed Bastanchury Road alignment through the S&S Development west of Fairmont Boulevard. The proposed pipeline will allow the District to transfer more groundwater east. 15. Zone 4 Transmission Pipeline, S&S Reach 5 Total estimated capital cost: $1,700,000 District share of cost (70%): $1,190,000 Project consists of the District's share of cost for construction of approximately 3,600 linear feet of 36-inch transmission pipeline in the proposed Bastanchury Road alignment through the S&S Development west of Fairmont Boulevard. The proposed pipeline is upsized to back up the Western Service Area with import water from OC-51 and as part of the master-planned transmission pipeline that will back up the single import connection serving the entire eastern half of the District. 16. Anaheim Intertie Connection Improvements Total estimated capital cost: $500,000 District share of cost: $250,000 Project consists of the District's share of upgrades to the existing emergency intertie connections with the City of Anaheim at Willow Woods Drive, Crystal Drive and Jennifer Lane. 17. Fire Flow Improvement ( Via Sereno and Ohio) Total estimated capital cost: $125,000 The project consists of the replacement of approximately 700 linear feet of 6-inch pipeline in Via Sereno with an 8-inch pipe to increase fire flow capacity in the area. 18. Zone 4C Reconfiguration Total estimated capital cost: $1,070,000 Project consists of the installation of approximately 3,600 l.f. of 12-inch transmission pipe, 1,600 11. of 8-inch distribution pipeline and numerous gate valves cut-ins. This project would increase the pressures in this area which are typically low in high demand periods and eliminate inefficient use of pressure reducing stations located in Village Center Drive and San Antonio Road. FY 2007-2012 CIP Project Descriptions A-4 YORBA LINDA WATER DISTRICT WATER SYSTEM CAPITAL IMPROVEMENTS 19. Foxtail Drive Pipeline Total estimated capital cost: $250,000 Project consists of constructing 900 linear feet of 10-inch pipeline in Foxtail Drive from Lomas de Yorba West. This pipeline project will allow the abandonment of the existing 10-inch pipeline in Lomas de Yorba West from Box Canyon Drive to Azela Circle. The existing pipeline has been taken out of service for several years since it was damaged from a slope failure that occurred along the property adjacent to the street. The new pipeline will restore an important looped connection in this zone. 20. Meter Replacement Program, Phase I Total estimated capital cost: $2,804,000 Project consists of completing the replacement of approximately 7,600 aging meters in the Western Service Area with new radio read meters. This portion of the work was performed with outside services and contracted labor. The balance of approximately 1,750 meters will be replaced by the contractor in fiscal year 2007-08. 21. Meter Replacement Program, Phase II Total estimated capital cost: $1,000,000 Project consists of replacing approximately 450 2-inch and 1 112-inch meters in the Western Service Area with new radio read meters to complete the meter replacement project in the Western Service Area. This project will also begin the replacement of aging meters in I.D. No. 2 with approximately 2,500 new radio read meters. The labor for this replacement project will be YLWD staff. 22. Radio Read Water Meter Conversion Project, Phase I Total estimated capital cost: $160,000 Project consists of equipping approximately 2,600 existing meters with radio read transmitters to support full radio read capabilities in the Western Service Area. BUILDING AND SUPPORT PROJECTS 23. Fairmont Booster Pump Station Site Improvements Total estimated cost: $300,000 Project consists of improvements to the existing booster pump station building and addition of a parts and equipment storage building used for maintenance and operations. 24. Richfield & Miraloma Administration Building Total estimated capital cost: $7,700,000 Project consists of constructing a 20,000 square foot office building at the Richfield Plant to house the administration, business and engineering departments. The project includes sufficient space for the projected staffing requirements over the next twenty years, central records storage, boardroom, conference room, parking and landscaping. Long-term debt financing was established to fund a portion of this project. FY 2007-2012 CIP Project Descriptions A-5 YORBA LINDA WATER DISTRICT BUILDING AND SUPPORT SYSTEM CAPITAL IMPROVEMENTS 25. Edison Power Pole Relocations Total estimated cost: $250,000 Project consists of relocating three Southern California Edison Company power poles and high voltage power lines along the Richfield Road frontage of the District's Maintenance and Operations facility. This power line relocation will allow for the Richfield Road street widening and improvements required by the City of Placentia for the District's site improvements. 26. Richfield Road Widening Total estimated cost: $350,000 Project consists of widening Richfield Road approximately 15 feet along with curb, gutter and sidewalk improvements. This project will be constructed in cooperation with the City of Placentia. 27. Miraloma Through Street Improvements Total estimated cost: $250,000 Project consists of the Miraloma through street improvements connecting the existing street terminus east of Van Buren Street with the section through to Richfield Road. This project will be constructed in cooperation with the City of Placentia. 28. Mira Loma Storm Drain Project Total estimated cost: $525,000 Project consists of approximately 1,750 feet of 30-inch storm drain in Van Buren Street and Miraloma Avenue collecting drainage from the District's site and the local streets. This project will be constructed in cooperation with the City of Placentia. 29. District Geographical Information System Project Total estimated capital cost: $700,000 Project consists of developing a digital information database and analytical geographical information system containing the water and sewer infrastructure, parcel and street information linked to the customer service and operational database systems. This system will provide for more efficient access to information and the ability to perform complex analysis in support of services for each department. This project will convert the District's existing hard copy maps and as-built plans from paper to digital information. The project includes data conversion, computer servers, software, support consulting and programming services as well as start up and maintenance training. FY 2007-2012 CIP Project Descriptions A-6 YORBA LINDA WATER DISTRICT SEWER SYSTEM CAPITAL IMPROVEMENTS 1. S&S TTM 16209 Downstream Improvements (Rio del Oro) Total estimated capital cost: $93,000 Project consists of retention payments for improvements north of Yorba Linda Boulevard completed in fiscal year 2006-07. 2. Kellogg Sewer Improvements Total estimated capital cost: $1,500,000 District share of cost (50%): $750,000 Project consists of completing trunk system improvements in Kellogg Drive from Short Street north to Club View Drive. These improvements support the proposed Yorba Linda High School and Shapell development projects north of Yorba Linda Boulevard and east of Fairmont Boulevard. The project also provides capacity for the District's existing drainage areas at build out when all properties are connected to the public sewer system. 3. Grandview Sewer Total estimated cost: $260,000 Project consists of completing the sewer pipeline construction in Grandview Avenue from Buena Vista Avenue to Mountain View Avenue. The District will be refunded for this project as additional property owners connect in the future. 4. Lakeview Sewer Lift Station Rehabilitation Total estimated cost: $200,000 Project consists of replacing the two existing pumps with new grinder pumps and upgrades to the electrical service to the station to support these improvements. FY 2007-2012 CIP Project Descriptions A-7 F--VE YEAR CAP--r--'-'A-- PRO.-ECTS SPREADSHEE~ Fisca-- Years 2007-20'-2 it FY 2007-2012 CIP Project Descriptions A-8 FY 2007-12 FIVE YEAR CAPITAL PROJECTS a t (WATER SYSTEM CAPITAL IMPROVEMENTS ( Cost Estimate lCumulative {District Cost (District Cost District Cost (District Cost District Cost No. Project Name I $ (Cost, $M 1FY 2007-08 1FY 2008-09 (FY 200940 1FY 2010-11 {FY 2011-12 24. (New Administration Building I $7,700,000 I S770 ( $7,700,000 I _ { { S. Lakeview Booster Pump Station (5000 GPM) ( $4,500,000 ; S12.20 S1,800,000 1 J '_0. (Meter Replacement Program, Phase I J $21804,000 I S15.00 1 $841,200 { 1 I 13. 12005 C.I. Replace (Ohio/Buena Vista/Grandview) J 52,600,000 I 517 60 l 5260,000 l 15. {Zone 4 Transmission S&S, R 5 (36 inch) $1,700,000 I S1930 I 51,190,000 1 1 9. ( Well No. 19 Long Term Storage Program I $1,200,000 i S20.50 $ l 00,000 1 ( 1 14. Zone 3 Transmission S&S, R 5 (18 inch) J Sl,000,000 S21.5o M 5380,000 1 28. IMiraloma Storm Drain Pipeline 5525,000 ; 52203 1 5525,000 I I 1 25. (Edison Power Pole Relocations I 5250,000 I 522.28 I 530,000 I ( 1 3. Lakeview Reservoir (8MG) I $12,500,000 1 S34 78 { 57,500,000 { 55,000,000 { 1. Highland Reservoir Replacement (6MG) J $10.200,000 $4498 ( $6,120,000 1 54,080,000 { 1 18. JZone 4C Reconfiguration I S1,070,000 S46.05 { $267,500 { $802,500 1 1 21. 1 Water Meter Replacement Project, Phase 2 J S 1,000,000 $47 05 S500,000 5500,000 1 29. IGIS Implementation Project J 5700,000 $47.75 ( $380,000 1 S320,000 { I 26. (Richfield Road Widening J $310,000 ( 548.10 $315,000 1 535,000 1 27. 1Miraloma Through Street Improvements I 5250,000 S48 35 1 S225,000 525,000 ( I { 23. Fairmont Booster Pump Station Site Improvements J 5300,000 ; $48.65 ( $200,000 I $100,000 { ( 1 12. IOC-51 Upgrade ( 5242,000 I S48 89 1 560,500 ( $181,500 I 1 1 22. Radio Read Water Meter Conversion Project, Phase I I S160,000 ( $49.05 I $80,000 { $80,000 ( { 2. (Hidden Hills Reservoir (2MG) and Santiago Booster Upgrades 56,400,000 1 555.45 ( $2,240,000 52,880,000 { 51 280 000 1 6. {Palm Ave BS Upgrade & YL Blvd Pipelines l $5,400,000 $60.85 1 $540,000 { 52,160,000 , , 52,700,000 { 10. lWcll No. 20 J 52,000,000 I $62.85 I $500,000 I 51,300,000 ( 5200,000 { I I I Groundwater Capacity Restoration I S1.000,000 1 563.85 I $150,000 I 5550,000 1 $300,000 1 { 16. Anaheim lnteme Connection Improvements J $500,000 1 S64 35 1 $62,5001 $187,5001 7. Zone 5 (1000) Booster Station I 51,080,000 ( $65 43 5270,000 ( $270,000 1 $540,000 { 8. Fairmont Booster Pump station Reconfiguration { 5400,000 V 565.83 - ( 5200,000 I 5200 000 { 19. {Foxtail Drive Pipeline J $245,000 I S66.08 I , S49,000 1 $196,000 4 Elk Mountain Res. Site Improvements l $300,000 1 566.38 1 I J 1 S300,0001 17 Wire Flow improvement (Via Sereno & Ohio) J $125,000 I S66 50 ( { { 1 525,000 I $100,000 Total Water Projects ( $66,501,000 $31,904,200 ( $18,346,500 { $5,186,500 ( $1,261,000 ( $100,000 Water CIP's $56,798,200 SEWER SYSTEM CAPITAL IMPROVFMENTS 1 ! l ( J I J I . IS&S TIM 16209 Downstream Improvements (Rio del Oro) ( 593.000 1 $009 $9,300 ( { 1 2 IYLWD/S&S Kellogg Sewer Improvements ( S1,5001000 1 S 159 1 $15[),000 I I I 3. Grandview Sewer I $260,000 1 $1.85 1 526,000 1 1 J 4. Lakeview Sewer Lift station Upgrades ( 5200,000 1 S2 05 $20,000 1 1 ( l I Total Sewer Projects( 52,053,000 l 1 $385,300 1, ( Sewer CIP's $385,300 Projects in Construction Phase Note. Protect Number corresponds to location in Protect Description [-1st Projects in Design Phase Revised June 22, 2007 Page 1 of