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Item C17 BOARD OF COUNTY COMMISSIONERS AGENDA, ITEM SUMMARY Meeting Date: March 0 2013 .Division: Engineerina&Public Works Item:Bulk Yes x ent:M/aste Staff Contact Person/Phone#: Wilson 4 - 7 7 AGENDA ITEM WORDING: Approval of resolution pledging revenues to repay the State Revolving Fund(S F) loan for the Cudjoe Regional Wastewater Treatment project described in the Facilities Plan, designating County Administrator as Authorized Representative for the purposes of executing agreementthe loan and carrying out responsibilities related to the loan agreement(including requesting loan disbursements,providing assurances, and submitting loan application) as required by Part TV of the State Revolving Program for Point Source Water Pollution Control Loan Application. ITEM BACKGROUND: On January 31, 2013, the FloridaDepartment of Environmental Protection (FDEP), issued an "authorization to incurcosts' which allows the County ty performed on the project as of that date. On February 1 , 2013, FDEP allocated S40M in SRF loans (the FYI maximum)to the County for the Cudjoe Regional central wastewater a t system. The .: Momt , ^ . 'Me County ty prepared and submitted application in early March 2013. The FDEP is preparing the loan agreement for execution by the County. Since all of the terms are established, Staff requests BOCC authorization for the Administrator to execute the agreement rather than delay execution until the next BOCC meeting. This will allow the County to start drawing SRF funds earlier. PREVIOUS RELEVANT BOCC ACTION: On Febnmq 20, 2013, the Monroe County BOCC granted approval for the County Administrator r designee to execute the SRF loan application for Cudjoe Regional Treatment System. In 2012 and 2011 the BOCC adopted resolutions requesting award of the 'Ma teW'grants as required Critical Concern work plan. CONTRACT/AGREEMENT CHANGES: / STAFF RECOMMENDATIONS: Recommend approval"" TOTAL COST: 2"4M annually for 20 years INDIRECT COST: —BUDGETED: Yes DIFFERENTIAL OF LOCAL PREFERENCE:L4 COST TO COU : & ........ SOURCE OF NDS: As ssrnents/Sales Tax VENUE PRODUCING: Yes - X AMOUNT PER MONTH ­ Year APPROVED BY: County Atty MB h in . Risk Management DOCUMENTATION: Included X Not lequired ,, DISPOSITION: AGENDA ITEM Revised 7/09 ., . RESOLUTION RESOLUTION NO. - 2013 RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, RELATING TO THE STATE REVOLVING FUND LOAN PROGRAM; MAEINGFINDINGS; AUTHORIZING THE LOAN APPLICATION- AUTHORIZING THE LOAN AGREEMENT; ESTABLISIHNG PLEDGED REVENUES; DESIGNATING AUTHORIZED REPRESENTATIVES; PROVIDING ING ; PROVIDING FOR CONFLICTS, SEVERABILITY,AND EFFECTIVE DATE. WHEREAS, Florida Statutes provide for loans to local government agencies to finance the construction of water pollution control facilities; WHEREAS, Florida Administrative Code rules requireauthorization to apply for loans, to establish pledged revenues; to designate an authorized representative; to provide assurances compliance loan program requirements;and to enter into a loan agreement; and WHEREAS, the State Revolving Fund loan priority list designates Project No. WW 1 as eligible for available ding; and WHEREAS, Monroe County, Florida„ intends to enter into a loan agreement with the Department of Environmental Protection undere State Revolving Fund for financing of the Cudjoe Regional Wastewater System project; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY,FLO A SECTION I. The foregoing findings are incorporated hereina de part hereof. SECTION . Monroe County, Florida is authorized to apply for a loan to finance the Cudjoe Regional Wastewater System project. SECTION 3. As security for the loan, Monroe County, Florida shall pledge and grant lien on the wastewater system development special assessment revenue and e One Cent Infrastructure Sales Surtax revenues, , `,; 4� W Ver. pl � f 1 be J; Ant for n ►t ti' d SECTION 4. The County Administrator is hereby designated authorized representative to provide the assurances and commitments required loan application. Page 1 of 2 Res s SRF g m 4 13(KP,NGN r1 t ) SECTIONS. The County Administrator is hereby designated as the authorized representative to execute the loan agreement which will become a binding obligation in accordance with its terms when signed by both parties. The County Administrator is authorized to represent the County in carrying out the County's responsibilities under the loan agreement. The County Administrator is authorized to delegate responsibility to appropriate County staff to carryout technical, financial, and administrative activities associated with the loan agreement. SECTION 6. The legal authority for borrowing moneys to construct the Cudjoe Regional Wastewater System project is Section 153.03, Florida Statutes and Chapter 125,Florida Statutes. SECTION 7. Conflicts. All Resolutions, or parts of Resolutions, in conflict with any of the provisions of this Resolution are hereby repealed., SECTION 8. Sevcrability. If any Section or portion of a Section of this Resolution proves to be invalid, unlawful, or unconstitutional, itshall not be held to invalidate or impair the validity, force or effect of any other Section or part of this Resolution. SECTION 9. Effetlive Late. This Resolution shall become effective immediately upon its passage and adoption. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County,Florida at a regular meeting of said Board held on the arch,2013. Mayor George Neugent Mayor Pro Tem Heather Carruthers Commissioner Danny Kolhage Commissioner David Rice Commissioner Sylvia Murphy (SEAL) ATTEST: AMY HEAVILIN,CLERK BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY,FLORIDA By: Deputy Clerk By: Mayor I WON ROE Page 2 of 2 AMRq*-*o Res Cudjoe Re&W SRF F171 BOCC 312013(KF'NGN /19/13) $00WIT It SHR104M.JR COUNTY TEMPLATE USED BY FDEP FOR SRF LOAN AGREEMENT w STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION 010 AND l' *1. , FLORIDA vvial %, 1 CLEAN TER STATE REVO CONSTRUCTION LOAN, ENT 00 tl� Ge Florida Department of Environmental Protection Bureau of Water Facilities Funding Bob Martinez Center 0 Blair Stone Road, MS 3505 Tallahassee, Florida 32399-2 00 CLEAN WATER STATE REVOLVING FUND CONSTRUCTION LOAN AGREEMENT CON'l"ENTS 11AGE ............. ...........I...................................................... ARTK LE I DEFINITIONS 1.01.. WORDS ANDTERMS. 1.02. CORRI!,LATIVE WORDS. 3 ARTICI.E 11 - WARRANTIES, REPRESENTATIONS AND COVENANTS 4 2.01. WARRANTIES, REPRESENTATIONS AND COVENANIL'S. 4 2.02. LEGAL AtITHORIZATION., 6 o 2.03. AUDIT AND MONITORING REQUIREMEN'l-S. ol 6 ART].( LE III - LOAN REPAYMENT ACCOUNT 9 3.01. LOAN DEBTSERVICE ACCOUNT. 9 3.02. INVESTMENT OF LOAN DEBT SERVICE ACCOUNT M ,. 10 3.03. 1.,OAN DEBT SERVICE ACCOUNT WITHDRAWALS. 10 3.04,, ASSETS HELD INTRUST. 10 AR..,rlCl..,E IV- PROJECT INFORMATION 10 4.01. PROJECT CHANGES. 10 4.02. TITLE TO PROJECT SITE. to 4.03. PERMITS AND APPROVALS. to 4.04. ENGINEERING SERVICES 4.05. PROHIBITION AGAINT SENCUNIBR "ES. 1 ft 4.06. COMPLETION MONEYS, 11 4.07. CLOSE-OUT. 4.08. LOAN DISBURSEMEN A til, 'rur, ARTICLE V - RATES AND',,%, E rHE ATER ANI) SEWER SYSTEMS 12 ,lffi&40,11 5.01. RATE COVERAGE. 12 Alk, 5.02. NO FREE SER` 12 5.03. MANDATORY ;TION& 12 5.04.NO COMP/%, -TIN V,'ERVICE. 12 5.05. MAIN,i'vj�-N CE THE WATI"";R.ANI) SEWER SYSTEMS. 13 Ff /5.06. ADDIT MODIFICATIONS. 13 5 07 OF REVENUES. 13 "W5 ARTICL T f,)EFAULTS AND REMEDIES 13 6.01. EV�*, ' S OF DEFAULT. 13 6.02. REMEDIES. 14 6.03. DELAY AND WAIVER. 15 ARTICLE VII- THE PLEDGED RED NIJES 15 7.01., SUPERIORITY OF THE PLEDGE TO THE DEPARTMENT. 15 7.02. ADDITIONAL DEBT OBLIGATIONS. 15 1 ARTICLE VIII (JENERAL PROVISIONS 16 CLEAN WATER STATE RFIVOLVING FUND CONSTRUCTION l..,0AN AGREEMENT CONTEN"T'S PAGE ............—......................................................................—,.................................................. ...................... ................... ...........01. DISCHARGE OF OBLIGATION S. 16 8.02. PROJECT RECORI)S AND STATEMENTS. 16 8.03. ACCESS TO PROJECT SITE. 16 8.04. ASSIGNMENT OF RIGHTS UNDER AGREEMENT. 16 8.05. AMENDMENT OF AGREEMFNT. 16 8.06. ANNULMENT AGREEMENT. 17 8.07. SEVERABit,rry CLAUSE, 17 8.08, AS MA311-11ING FUNDS. 17 [lFAPPLlCA13LE]8.09,, COMPLIANCIH VER111CA'11,710N, 17 ARTICLE IX- CONSTRUCTION COINTRA C ANDINSURANCE 18 rV 18 m 9.01. AUI HORIZATION TO AWARD UT N.02. SUBMITTAL OF CONSTRUC"TIONICONTRACT DOMi*S. 18 9.03. INSURANCE REQUIRED. 18 DETAILS OF FINANCING 19 ARTICLE X 10.01. PRINCIPAL AMOUNT OF I..,OAN. 19 ............ 10.02. LOAN SERVICE FEE. 19 10.03. FINANCING RATE. 19 1.0.04. LOAN TERM. 20 2m'k 10.05. REPAYMENT SCHEDULI-E. 20 " 10.06— 00 PROJECT COSTS. 20 6a/ 10.07. SCHEDULE. 00, 21 10.08. SPECIAL CONDITION,,o,`�/' 21, 'a ARTICI.E XI - EXECLJTIO 0F 'REV NT 22 , drlm fg QN, loll, -61), V, A Malmo) CLEAN WATER STATE REVOLVING FUND CONSTRUCTION LOAN AGREEMENT WW(*2) THIS AG REEMENT is executed by the STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION (Department) and the (*]), FLORIDA, (Local Government) existing as a local governinental agency under the laws oft e State of Florida. WITNESSETH: WHEREAS, pursuant to Section 403.1835, Florida Statutes,theDepariment is aut . di. to make loans to local governinent agencies,to finance or refinance the constructi as water f pollution conti-ol acilities, the planning and design of which have been review Department; and W'IIEREAS, fandbig is provided firoin the State Revolving Fund pray 1 a nents and iich are subject to 'sta, inte rest, whi ch are]',ederally protec ted butl la a w �wretnents; and [7e HEREAS, the Local Government has made application,'Ib-Ir I e n of the Project, and the r loan. partment has determined that such Project meets all re t, NOW, THEREFORE, in consideration of the Dq -ti, i4it l9a' ng money to the Local Government, in the piincipal amount and puq*' enants hereinafter set forth, it is e q agreed as follomrs: A. I - DE 'ITIONS IT OVUM/ 1.01. WORDS AND TERMS. ,02`4, OMNI ,�o Words and terms used w i 'shall have the meanings set forth below: (1) "Agreement m reeent7 shall mean this consti-tiction loan agreenient. 9 (2) "At#Wd fed rese tative" shall mean the official. of the Local Government F auttiorized by, 14, es lution to sign documents associated with the Loan. ME, ita. d Interest" shall mean a finance charge that accrues at the Financing Rate on Loa l ocee from the time of disbursement until six months before the first Semiannual Loam R — due. Capitalized Interest is financed as part of the Loan principal. Pay t RN RIF, RIF, Rv 7", RIF, (4) "Depository" shall can a bank or trust company, having a combined capital and unimpaired surplus of not less than $50 million, authorized to transact commercial banking or savings and loan business in the State of Florida and insured by the Federal.Deposit Insurance Corj)oratiun. (5) "Financing Rate" shall mean the charges, expressed as a percent per annum, imposed on the unpaid principal.of the Loan. The Financing Rate shall consist of an interest rate component and a Grant Allocation Assessment rate component. (6) "Grant Allocation.Assessment" shall can an assessment, expressed as a percent per annum, accruing on the unpaid balance of the Loan. It is computed similarly to the way interest charged on the Loan is computed and is included in the Semiannual Loan Payment. The Departrnent will use Grant Allocation Assessment money's for making grants to financially disadvantaged small communities pursuant to Section 403.1835 of the I`Iorida Statutes. (7) "Gross Revenues" shall can all income or earnings received by the Local Govenurient from the ownership or operation of its Water and Sewer Systems, including investment income, all as calculated in accordance with generally accepted accounting pri[ticiples. Gross Revenues shall not include proceeds from the sale or other disposjt* of any part of the Water,or Sewer Systern, condemnation awards or proceeds, of insur, ce 't use and occupancy or business hiterruption insurance, received with respect to the C111, eiver System. 10 (8) "Loan" shall can the amount of nIoney to be loaned pursulailk,'I'to greernent 10-1 "b, A and subsequent amendments. (9) "Loan Application" shall mean the completed f6, 'ch" i-ovides all information required to support,obtaining construction loan financial as " (10)"I... an Debt Service Account" shall .,0' t or a separately c(; compon ent o o f a pooled cash or liquid account "JI h tory,established by the Local.identified Government for the purpose of accumulating ly Loan Deposits and making Semiannual. Loan Payments. (11)"Loan Service Fee" sh. f ` n. an origination fee which shall be paid to the Department by the Local GoveTment. (12)"Monthly,Loa��� I`shall mean the monthly deposit to be made by the Local Governn'ient to the Loan, bt Se Account. 'F (13)"(3peration.a enance Expense" shall mean the costs of operating and r r d wer p Systems determined ursuant to generally accepted accountri g maintaining the^11, principles, exall ',AV, , rest on any debt payable from Gross Revenues, depreciation, and any wo, other iten-,w_,p,,Te*ring the expenditure of cash. M "Ple gedRevenues" shall mean the specific revenues pledged as security for repaym ir 't Loan and shall be the [* nanke apr,0 icable revenues I Gross Revenues derived yearly o e operatrion of the Water,and Sew°er Systerm; after payment of the Operation and Maintenance Expense and the satisfaction of all yearly payment obligations on account,of[* If' apph(,.11aNe] the Senior Revenue Obligations and any senior obligations issued pursuant to Section 7.02 of this Agreement. (15)"Project" shall can the works financed by this Loan and shall consist of furnisli ing all labor, materials, and equipment to construct the [* bri(:1f'desct-ip6,m or name ofpro.ject] in accordance with the plants and specifications accepted by the Department for the following contracts,'. 2 (a) title). (b) title). I* lfapplurwabler This contract includes installation of[ecluiptnent],which. will be fuinished by the contract listed under (c),below (c) (* title). [* If applicable] This contract is for purchasing I equipn-ient], which will be installed by the contract listed murder(b), above (d) (* title). If aplflicable] The Projec t also inClUdes the purchase oflari[d. 'rhe Project is in agreement with the planning documentation accept, y )epartment effective [month date, year]. A Florida, Finding of No Significant [M]PASO, s, is'fied on [mondi dau'll,year no adverse comments were received. MIC 0 e n t e Local (16) "Semiarmual.Loan Payment" shall mean the payn-lent Government to the Department at six.-month intervals. (17)[* Include if aj.Wphcable� "Senior Revenue Obil�, t shall can the fbilowing debt obligations: V oj (a) (* INiatne Florida, Water and S- stei enue Reffinding Bonds, Series 19 issued in the amount of pu su Izesolution No._; and (b) (* Name), Florida,Wateis, ewer Systern Revenue Bonds, Series 19 issued in the amount of$ pursu�p I, �to 0 -e Resolution No. and (c) Additional ond4" ",,on a parity with the bonds identified above pursuant to Section of Ordinance R,es tion No. and (d) Any retundin issued to refund the obligations identified,above provided such bonds shall not i se a tial debt service during the repayment period of this Loan, -9a (18)11S6 fi" shall mean all facilities owned by the Local Government for iir coil ectiow"t" i " d reuse of wastewa er and its residualsm n, treatment an 't 'W1 er System"shall mean all facilities owned by the Local Government for supplyit distributing water for residential, commercial, industrial, and governmental use. n 1.02. CORRE.LATIVE WORDS. Words of the masculine gender shall be understood to include correlative words of the ferninine and neuter genders. Unless the context shall othenvise indicate, the singular shall include the plural and the word"person" shall include corporations and associations, including public bodies, as well as natural persons. 3 ARTICLE 11 - WARRANT IES, REPRESENTATIONS AND COVENANTS 2.01. WARRANTIIHIS, REPRESENTATIONS AND C.'OVENANTS. The Local Government warrants, represents and covenants that: (1) The Local Government has full power and authority to enter into this Agreement and to comply with the provisions hereof (2) The Local Government currently is not the sub ect ofbankruptcy, insolv,%Wy, or reorganization proceedings and is not in default of, or otherwise subject to, any agro'emeirf or any law, administrative regulation,judgment, decree, note, resolution, charter or or4l�,ari` ich would currently restrain or enjoin it from entering into, or complying with, 4.1 �ment. Gi �Ia (3) There is no material action, suit, proceeding, inquiry or rove' t law or in equity,before any court or public body,pending or, to the best of lovernment's knowledge, threatened, which seeks to restrain or enjoin the Loca irient from entering into or complying with this Agreetnent. (4) All permits,real property interests, and appro,"F ired as of the date of this Agreement have been obtained for construction d u oject. The Local Government are not obtainablem ni s vals knows of no reason why any ffiture required p "nit Zli Wt' C111,/1"IN M n(5) The Local .Government shall undbrta Project on its ow responsibility,to the extent permitted by law° b release hold(6) To te extent pittNA, theLocal. harmless the State, its officers enn A-telpbe s, I employees froGovernment shall m any claim arising in and connection with the Local Coven ment's'I or omissions in its planning, engineering, administrative, and construction activities ffin nc b this Loan or its operation of the Project. (7) All Local Go"' e✓" "'0 representations to the Department,pursuant to the Loan Appfi(..�afion andAl,,f eme were true and accurate as of the date such representations were Lion delivered by the Local Government to the Department was t made. The 11 for Current an Ia e date such information was delivered. The Local Government shall so Fre, s o 'ilgl corn p I y fit tit,10, 62-503, Florida Administrative Code, and all applicable State and Federal laws, d gulations which are identified in the Loan Application or Agreement,, To the extent they1assurance, representation, or covenant requires a fixture action, the Local Govern all take such action as is necessary for compliance. (8) The Local Government shall maintain records using generally accepted accounting principles established.by the Governmental Accounting Standards Board. Asp of its bookkeeping system, the Local Clovernment shall keep accounts of the Water and. Sewer Systems separate from all other accounts and it shall keep accurate records of all revenues, expenses, and expenditures relating to the Water and Sewer Systems, and of the Pledged Revenues, Loan disbursement receipts,and.Loan Debt Service Account. 4 (9) In the event the anticipated.Pledged Revenues are shown by the I..,ocal Government's annual budget to be insufficient to make the Semiannual Loan Payments for such Fiscal Year when due, the Local Government shall include in such budget,other legally available non-ad valorem funds which will be sufficient, together with the Pledged Revenues, to make the Semiannual Loan Payi.nents., Such other legally available non-ad valorem funds shall be budgeted in the regular annual. governmental budget and designated for the purpose provided by this Subsection, and the Local Government shall collect such funds for application as provided herein. The Local Government shall notify the Department immediately in writing of any such budgeting of other legally available non-ad valorem funds. Nothing in this covenant shall be construed as creating a pledge, lien, or charge upon any such other legally available tfdk-ad valorem funds; requiring the Local Government to levy or appropriate ad valor"A t, ',,,re �ye nues; or preventing the Local Government from pledging to the payment of any bon r obligations all or any part of such other legally available non-ad val.orq fu. is....... 71W/ (10)ending with Each year, egi urnning three months before the first Sernia 11", 0 a ent and 'al Govenu.nent's the year ,dig which the final Loan repayment is ma. "t I )J o' 41 Authorized.Representative or its chief financial officer shall su its P rsiant to the schedule established in Section 10.07, a certitication that: (a) Pledge Pcoons satisl�, on a pro rata basis,the rate coverage requirement; (b) the Loanj 'e ice ccount contains the funds required; and (c) insurance, in�se luding that issued,, t National Flood.Insurance 7 Program authorized under 42 U.S.Ccs. 400 en r plicable, in effect for the facilities . 11" s t tomary risks to the extent that such generating the Pledged Revenues, adequatelyy��sv'­' insurance is available [Not applicable at this"6 nd,(d) any given year in. vAich Loan.finids Eire rece:-ived, the Local Government sh#111subrnit menI ication that the revenue generahon sy'stern is in conformance with 2.0](14) an( "japter 62-505.700(l)(i), 171orida Adinirlistrative Code. (11)Pursuant to Sectioty,116'.' e Florida Statutes,the Local Governnient shall not use the Loan proceeds for th of I hying the Florida Legislature, the Judicial Branch, or a State agency. (12)The Local C, ve t agrees to construct the Project in accordance with the Project schedule. Delay�$odwld o strikes, riots, acts of God, and other events beyond the reasonable control of the, TTIIve- ent are excepted, If for any reason construction is not completed as schedul& annual Loan Payment or , I a 0 resulting diminution or delay in the Semi, the Mot olV' 1, osit. "I he focal Government covenants that this Agreement is entered into for the purl)ose of const reftDriding, or refinancing the Project which will in all events serve a public purpose. The Local Government covenants that it will, under all conditions, complete and operate the Project to RAU the public need. (14) [Not applicalfle at this time-IThe Local Government shall update the ire'venue generation system annually to assure that sufficient reventies are generate(] for debt service; operation and maintenance; replacement of equipment, accessories, and appurtenances neces,,sary to maintain the system design (Apacity, and peil,'onnance during its design lifO,; and to make the system financially self sul"ficient. 5 (15)[* Inctude for re fin loaris. I1171ie 1�nrocecNls of any indebtedness, which will be refunded or refinanced by this loan, were used. for the constniction of this Pr()ject. Refinancing shall be in the proportion of the ratio of completed allowable constniction work to the total constrL101011 work originally linanced and shall be Naked to w-Irefired debt principal, excluding ,: y re M sei-ves SUch as for debt service. 2.02. EGA I.. AUTHORIZATION, Upon signing this Agreement,the Local Government's legal counsel hereby expresses the opinion, subject to laws affecting the rights of creditors generally, that: (1) This Agreement has been duly authorized by the Local Governme. constitute a valid and legal obligation of the Local Government enforceableift,�*, c", nce with A-k its tenns,upon execution by both parties; and It%. %A'0, (2) This Agreement specifies the revenues pledged for repa be Loan, and the pledge is valid and enforceable. 1 2.03. A U DIT AND MONITORING "EQUIREMENTS. 011 VI, aeay The L G ocal over nment agrees tothe f.'ollowin filonitoring regaairer"umrerats® bee ratified as second-tier monies under Ftinids pr(�)vided under this Apreerne.,#, the Federal Clean 'Water Act which are idenll lield` tc te flinds whose use is f6derally proteoed. (1) The financial assistance Pokorized pursuant to this Loan Agreement consists of the N following: State Resources Awarded tar al Goer nment Pursuant to this AigreeiawNat Cotisist of the FOJDwin�. Resources Sub tot 1 lio5.97, FS.: State CSFA Title or State C-SFA F'und Source Appropriatian Program Funding Number n. S, jrce Number Dcscription Amount Statewide Sinface Original ter 37.077 Water Restoration 140131, Agreell1of ']I etit and %, and Wastewater t rinwater %4' anagement TF ProJects (2) Audits. (a) In the event that the Local Goveriinhent expends a total ainount of state financial assistance equal to or in excess of'$500,000 in any fiscal year of'such Local (Jovernment, flee Local Government inust have a, State single or prqjectspecific audit for such fiscal year in accoi"dance with Section 215.97, F'Jorida Statutes; applicable rules of thew Depailinerit of Financial Services; and Chapters 10.550 (local govermnental entities) or 10.650 (rilonprofit and 1:61-profill organizations), Rules of the Atiditor(Jenenfl. In Bete inining the state financial assistance 6 expended in its fiscal year,the Local Government shall consider all sources of state financial assistance, including state financial assistance received from the Departi-nent of Environmental Protection, other state agencies, and other,nonsfate entities, State financial assistance does not include Federal dit"ect or pass-dirough avvards and resources mceived by a nonstate eritity fbr Federal program matching requirernents. (b) In connection with the audit requirements addressed in the pi,°eceding paragraph (a); the Local Govemnient shall ensure 11hat the audit ei)mpfies with t1be requirements of Section 215.97(7), Florid,,,t Statutes. This includes submission of a financial rq)ofting pa&age as defilled In y Sectit�ln 215.9'7(2), Florida Statutes, Chapters 10.550 (local govenu or 10.650 (nonprofit and For-profit organizations), Rides of the Auditor Ciene (c) If the Local Government expends less than $500,000 in.sta, e fi ance in its fiscal year, an,-tiiditc(,�)viduictedin.accor'datice with the provisions ofSC rida, "' fln(ings and Statiftes, is not required. the Local Govemmeni shall inforn') the, De )# t I recoins'nendations pertaining to the State Revol,virig Fund in audits 1.)y the Local Governinent inwhich flie $500,000 threshold has not be let at GOVrernment to exr ends le h ,000 instate financ iisa s d elects haven auditpconductedinaccordancewith the prov Statutes, the cost of the audit must be pand r ftom the non-stale en-. Ich fill S ined fi-om other than. State audit must be paid roan the Local Governi-nent 41 ,410 entities). (d) IF or informaliorm regarding th Flori(fik (A bg of State Financial Assistance(CSFA), a Local Govemment should access d 'Jorida Single Audil Act websitelocated at !Lttr,�: qj i�4411 In addition to the above websites,the following jjj�,,jLff,�.com/fsaa for,ass websites may be accessed for i IT gishature's Websile at us/ I'll n State of Florida's website at ............ 131e, ment ofl�'inancial Sendces' Wel")site at bjWW-%,VW.f1(1fS.001n/ ........... wid the Auditor Genera ebsit fi, Hwww.statej us d n. /au -1,111:................................ (3) Repo is on (a) (10 P cial repoding packages shall be ;Ubmitted by or on behalf of the Local GpA�,' ,n to each of the fbll(:�%ving: Ad I Nepartmr The ent at the following address: 100erie Pe Di acock,Audit rector Office of the Inspector General Florida Departnient of Environmental Protection 3900 Comma on ealth o l varrd, MS 41 Tallahassee, Florida 32399-3123 (ii) The Auditor General's Office at the following address: State 4)f Florida Auditor General Room 4,01, Clatide Pepper Building 7 111 West Madison Street 'rallahassee, I'lorida, 32399-1450 (iii) Copies of'repoils or management letters shall be submitted by or on behalf ofthe 'I Local Goverritnent din qy,to the Department of Environmental Protection, at the ,following address. Valerie Peacock, Audit Director 01"Ilice of the fnspecUn,°General Florida Department o�oual � nvii�onmental Protection3900 Coninonwealthard, MS 41, Tallahassee, II.orida 312399-3123 (b) Any reports, niatiagement letters, or other inBormation req,21 PiArnittedtothe Department pursuant to this Agreement shall be submitted timely in acco an nth Florida Statutes, or Chapters 10.550 (local governmental entities) o r it and four-profit organizations), Rules of the Auditor,General, as applicable. al,o4l" (c) Local Goverruinents, when subinitting financial , e ucu ages to the Department Cal"t. for audits done in accordance with Chapters 10.550 (los,01111, e ­ental entities) or 10.650 `49 (nonprofit and for-profit organizations)5 Rules oV',4 e 1 Or eneral, should indicate the date M oca y#that the reporting package was delivered to tIA I Nw, hment in correspondence Q/ accompanying the reporting package. ff 4,012,11 4. Project-Specific Audit. t Within 12 months afterthbd en m establishing final Project costs, the Local Govemment shall submit to 0#1 ,,,,',D Ya Project-specific audit report for the Loan related revenues and expenditt.ires. TA dit shall addressLoan disbursements received, project expenditures, and comp ,, t an Agreement covenants. The Local Goven-iment shall cause the auditor to noti.6 : rtment immediately if anything comes to the auditor's A attention diving tl� exam atiod of records that would constitute a default tinder the Loan It MUR', I 11der A T gteenient ", a s shall set aside or quest u ion any costs that are nallowab e u I.......Chapter 6 5 .... Arninistrative Code. A final determin n atio of whether such costs are 2 allowed 001 m by the Department:, ecco'd Retention. The cal Government shall retain sufficient records demonstrating its compliance with j' the terms of this Agreement for a period of five years from the date the audit report is issued, and shall allow the Department, or its designee, (71iief Financial Officer, or Auditor General access to such records upon request. The Local Government shall ensure that audit working papers are made available to the Department, or its designee, Chief Financial.Officer, or Auditor General upon request for a period of five years from the date the audit report is issued, unless extended in writing by the Department. 8 The Locall Gover-imient is hereby advised that the Florida Single Audit Act Requirements may Nrther appily to lower tier transactions that may be a result of this Agreement. The Local Government should confer with its chief financial officer, audit director or contact the Department for assistance with questions pertaining to the applicability of these requirements. In addition, the Local Governmeilt agrees to complete and subrnit the C.ertification of Applicability to Single: Audit Act Reporting, Attachment A, attached hereto and made a part hereof, within four(4)months fi)]lowing the end of the Local Glovernlinent's fiscal Y Attachment A should be submitted to the Department's Grants Developinent apd Manager at 3900 Conunon'Wealth Boulevard, Mail Station 93, Tallahass 3000, A Nil - 1, The Grants Development and Review Manager is available ae to answergy "6,V%v tiw p No, (850) 245-2361. 6. Monitoring. In addition to reviews of audits conducted ini accordanc i ion 215.97, ][�',S., as revised nionitoring procedures may include, but not I)e limi d dt 'isits by Departinent shiff and/or�otl[ier procedtjw�;,, By entering into this Agree It, Local Govei runent agrees to corn and cooperate with any monitoring pro deemed appropriate by Clie Departrnent of IE,nv�roninental Protection. In epartnacrit of Environniental Protection determines that a limited scope a4li I Government is appropriate, the Local Goviemment agrees to complY wil� any tri.lictions provided by the Department to the local Goverriment regarditig sW Inment ftirther agrees to comply The Local Gove ionj�v ,,ws, investigations, or audits deemed necessary by the and cooperate with.any inspecfl Chiel"F'inancial Officer or Aud� leTICA LOAN REPAYMENTACCOUNT ARTI 11 3.01, LOAN DEBTSE )UNT. ru tit shall establish a Loan Debt Service Account with a Depository and begin T rn .,oan Deposits no later than the date set forth for such action in Section I Qi -114 ff. greernent. innu* six months prior to each Seffliannual Loan Payment, the Local Govenri-naent shall rnak9*,, y L x.)Aonthloan Deposits. The first five deposits each shall be equal at least al to one- M, sixth of the § 'rniannual Loan Payment. The sixth Monthly Loan Deposit shall be at least equal to the amount requi17ed to make the total on deposit in the Loan Debt Service Account equal to the Semiannual. Loan Payment amount, taldrig into COTIrSideration investunent earnings credited to the account pursuant to Section 3.02. Any month in which the Local Government fails to make a required Monthly Loan Deposit, the Local Government's chief financial officer shall notify the Department of such failure. In addition, the Local Goveniment agrees to budget,by arnendrnent if necessary, payinerit to the Department from other legally,available non-ad valorem funds all sums becoming due betbre the same become delinquent. This requirement shall not be construed to 9 give superiority to the Department's claim on any revenues over prior claims of general creditors of the Local Government, nor shall it be construed to give the Department the power to require the Local Government to levy and collect,any revenues other than Pledged Revenues, 3.02. INVESTMENT OF LOAN DEBT SERVICE ACCOLTN'l I MONEYS, Moneys on deposit in the Loan Debt Service Account shall be invested pursuant to the laws of the State of Florida, Such moneys may be pooled for investment purposes. The maturity or redemption date of investments shall be not later than the date upon which such moneys may be needed to make Semiannual Loan Payments. The investment earilings Deposit re shall be cr, ed to the Loan Debt Service Account and applied toward the Monthly,Loan q a-1-'s W "N 103. LOAN DEBT SERVICE ACC'01 J N'I'WITHDRAWALS. The withdrawal of moneys from the Loan Debt Service Account 11 for the sole purpose of rnalcing the Semiannual Loan Pa)quent or for dischargin I Government's obligations pursuant to Section 8.01. 3.014. ASSETS FIEL,D IN TRUST. 0 k Go The assets in all accounts created under tis 1, 61, ViA ent shall be held in trust for the purposes provided herein and used only for th,4- in the manner prescribed in this a, Agreernerit; and, pending such use, said ass s lbe ',', sect to a lien and charge in favor of the Deparftnent. A A RTIC RTICL PROJECT INFORMATION 4.01. PROJECT CHANGES a db K A"All, Him Prqject changes prior to opening shall be made by addendum to plans and M), specificatiorts. Chan es hid0 in shall be made by change order., The Local Goverinnent shall submi da and all change orders to the Department for an eligibility determination. Aflow exec tion of all construction, equipment and materials contracts, the Project contra a*.q,.,C, w. �kreduced. AN' 4.02. P EC T SITE. 3'/h 11 'r*. 10CA ('J"overnment shall have an interest in real property sufficient for the constru.ctio location of the Project free and clear of liens and encumbrances which would inipair the usiefulness of such sites for the interided use. [": If appH4 able fII The Authorized ltelnesentati%,e shall submit a clear°site title certification by the date set. fish in Section 1.0.07 of" this Agreen tent. 4.03. PERMITS AND APPROVALS. The Local Gove rents all have obtained, prior to the Department's authorization to award construction contracts, all permits and approvals required for construction of the Project or portion of the Project funded under this Agreement, 10 4.04. ENGINI!"ERING SERVU."'ES. .A professional engineer, registered in the State of Florida, shall be ernployed by, or under contract with, the Local (iovernment to oversee construction. 4.05. PROHIBITION AGA INS TENCUMBRANCES. The Local Government is prohibited from selling, leasing, or disposing of any part of the Water or,Sewer System which would materially reduce operational integrity or Gross Revenues so long as this Agreement, including any amendment thereto, is in effect unless the,�Y*' ,tear consent of the Departnient is first secured. )k 4.06. COMPLE'rION MONEYS. In addition to the proceeds of this Loani, the Local Governnient en that it has obtained, or will obtain, sufficient moneys from other sources to co 'e � , rust on and place the Project in operation on, or prior to, the date specified in Articl F 'lu.e of the Departni.ent to approve additional financing shall not constitute a waiver o' A. Clovernment's covenants to complete and place the Project in operation., 4.07. CLOSE-OUT. The Departi-nent shall conduct a finao No,Xtion' e Pi­qject and Pro Ject records. q Following the inspection, deadlines for submittin , di I tionarl.disbursement requests, if , shall be established, along with deadlines 'eh obircomplet oan requirerneDtS, if any. l3eadlines shall be incorporated into the Loan Agre "t by amendment. The Loan principal1cipal shall be reduced. by any excess over the amount r9J`ir111'%­ )_'ay all approved, costs. As a result of such adjustment, the Seiniannual L "'nR, mengliall be reduced accordingly, as addressed in Section 1.0.05., All 4.08. LOAN DISBUR.S Disburscj' S S. , e a e only by the State Chief Financial Officer and only when the " requests for st do rser nts are accompanied by a Department certification that such withdrawalh,are- en m ditures. Disbursements shall be made directly to the Local Govern,�Kent ll ' ance costs and reimbursement of the incurred construction costs and r related' vice isbursement of the allowance costs shall be made upon the Department's receipt o i I s" rsement request form. Up to seventy percent of the esturnated allowance shall b disburs Ater the Loan Agreernent is signed. The remainder of the allowance shall be e disburs disbursed after all procurelTient contracts are executed and shall be adjusted to reflect as-bid costs. The entn7e estimated allowance may be disbursed after the Loan. Agreenrent is signed if the local govenu-nent agrees to an allowance adjustment after all contracts have been bid. Disbursements for rriatenals, labor, or services shall be made upon receipt of the fifflowing: (1) A completed disbursement request form signed by the .Authorized Representative. Such requests must be accornpan I ied by sufficiently iternizedr surnmaries of the materials, labor, or services to identil" the nature of the work.perfornied; the cost or cliarges for such work; and the person providing the service or perfonning the work. I I (2) A certification signed by the Authorized Representative as to the current estimate(] costs of the Project; that the materials, labor, or services represented by the invoice have been satisfactorily purchased, performed, or received.and applied tothe proJect; that all funds received to date have been applied toward completing the Project; and that under the terms and provisions of the contracts, the Local Govermnent is required to make such payments. (3) A certification by the engineer responsible for overseeing construction stating that equipment, materials, labor and services rej)resen.ted by the construction invoices have been satisfactorily purchased, or received, and applied to the Project in accordance with construction contract documents; stating that payment is in accordance with construction contrackl"visions; stating that construction, up to the poitit of the requisition, is in compliance wit '.01 "'nt', ct documents; and identifying all additions or deletions to the Project which have ec project's performance standards, scope, or purpose since the issue of t4e D ie' construction permit. A% (4) Such other certificates or documents by engineers, atto c untants, contractors, or suppliers as may reasonably be required by the ARTICLE V - RATES AND USE OF THE WAI,��J EWR SYS].EMS 5.01. RATE COVERAGE'. P10111 The Local Goverrinient shall ma, intai#'ra ri c rarges for the services furnistied by the Water and. Sewi,.n- Systems which [" Include as apl, le -- togetlier with impact, Cees, fices, and Spccial Assess RI will be s relent to provide, in each Fiscal Year, Pledged Revenues equal to or exce I L 1,5 times the sum of the Semiannual Loan Payments due in such Fiscal Ye,�-06�,`Ina o , the Local Government shall satisfy the coverage ? nents of all Senior Re 'I'M ons and pa,rity debt obligations. requiret b1i IMP, C 5.02. NO FREE SERVI�J'I.. ..................The Local Govern 11 not permit connections to, or furnish any services afforded. by,the at " without making a charge therefore based on the Local W C S 9 tn Governnient'g d, ule of rates, fees, and charges. " 5.03. D CONNECTIONS. T 0 .1 Government shall adopt, as necessary, and enforce requirements, consistent with applica, e laws, for the owner, tenant or occupant of each building located on a lot or parcel of land which is served, or may reasonably be served, by the Sewer System to connect such building to the Sewer Systein. 5.04. NO COMPETING SERVICE. The Local Government shall not allow any person to provide any services which would compete with the Water or Sewer System so as to adversely affect Gross Revenues. 12 5.05. MAINTENANCE OF THE IVA'J'ER. AND SEWER SYSTEMS. The Local Government shall operate and maintain the Water arO Sewer Systerns in a proper, sound.and econornical manner and shall make all necessary repairs,renewals and replacements. 5.06. ADDITIONS AND MODIFICATIONS. The.Local Government may make any additions, modifications or improvements to the Water and Sewer Systems which it deems desirable and which do not materially red, ,the operational integrity of any part of the Water or Sewer Systern. All such rene 115 ments, Va Mena tms. additions, modifications and improvements shall become part of the Wat�er and w J%01 A, 5.07. COLLECTION OF REVENUES, NIN., The Local Government h eollect all. and o er chargesdue to it., The Local. Govemen shall establish liens on premises',,'.... V y the Water or Sewer Systern, for the amount of all delinquent rates, fees and other Z overnment ewer E e such action is e discontinue the services of the WaterandS ,Systto full Uems p",s best efforts to shut off water 13 , service furrushed to persons who are delinquent 4;y() '$bs ary grace periods in the payment of Water and Sewer System rates, fees and otl*' char; w ME/V Q/ V AR:FICLE VI - DEFAUL, I' ND REMEDIES T 6.01. EVENTS OF DEFAULT. Each of the following eras s is her declared an event of defindt: (1) Failure to make any nthly Loan Deposit or to make any installment of the ,I'll," W Semiannual Loan.Pa i W due and such finlure shall continue for a pefiod of 30 days. (2) .Exc. ir ' e in Subsections 6.01(1) and 6.01(7), failure to comply with the provisions of t*1W4s A. .-eeme �'or failure in the perfion-nance or observance of any of the covenants or actions reguifti y Agreenjentr and such failure shall continue for a period of 60 days after wr�tfbfi-fi cc eof to the Local Government 1by the Department. M IroAny'/'�W aarranty, representation or other statement by, or on behalf of, the Local Cover er Ag ntained in this reement or in any information furnished in compliance with, or in reference to, this Agreement, which is false or misleading, (4) An.order or decree entered, with the acquiescence of the Local Government, appointing a receiver of any part of the Wateir or Sewer System or Gross Revenues thereof; or if such order or decree, having been entered without the consent or acquiescence of the I-ocal Government, shall not be vacated or discharged or stayed on appeal within 60 days after the entry thereof. 13 (5) Any proceeding instituted, with the acquiescence of the 1-,ocal Goveninient, for the purpose of effecting a composition between the Local Government and its creditors or for the purl')ose of adjusting the claims of such creditors,pursuant to any federal or state statute now or hereafter enacted, if the claims of such creditors are payable from Gross Revenues oft e Water, or,Sewer Systein. (6) Any bankruptcy, fi-isolvency or other similar proceeding instituted by, or against, the Local Governinent under federal or state bankniptcy or insolvency law now or hereafter in effect and, if instituted against the Local Government, is not dismissed within 60 days after filing. (7) Failure of the Local Govemment to gave ii-in written notice 9 )d It fi)the N Department and such failure shall continue for a period of 30 days, p 1111 6.02. REMEDIES. %N N�i "a" Upon any event of default and subJect to the rights of others *,or liens on the Pledged Revenues, the'Department may enforce its rights by any(0414e "llowing remedies: (1) By mandamus or other proceeding at law or in establish rates and 4A, collect fees and charges for use of the Water and Sewer SA111 to require the 1,ocal IOAOI? (Jovernment to fulfi % ll this Agi-eeirient. f /0' 'A V, (2) By action.or suit inequity, reqU416 ,"Loca -Overnment to account for all moneys received from the Department or from the owners tiof the Water and Sewer Systems and to account for the receipt,use, appficatiop�`/'Or dispositil . of the Pledged Revenues. (3) By action or suit in 'i equifty, d in any acts or things which may be unlawful or in violation of the rights of the '.)art rent. (4) By applyin%to a cou"kipf Qompetentjurisdiction, cause to appoint.a receiver to manage the Water and S ete s, establish and collect fees and charges, and apply the OSI gations under this Agreement. revenues to the reductio n e, i rt4ri he Auditor General and the Chief Financial Officer delinquency on (5) to't e artinent may intercept loan repay', ts the delinquent amount plus a penalty from any unoblii (e s "to the Local Government under any revenue or tax sharing fund estabIR d by if State, except as otherwise provided by the State Constiturtion. The Department A may imp p 'nalty in an amount not to exceed an interest rate of 18 percent per annum on the amount addition to charging the cost to handle and process the debt. Penalty interest shall accrue on any amount due and payable beginning on the 30th day fiAlowing the date upon which payment is due. (6) By notifying financial market credit rating agencies and potential creditors, (7) By suing for payment of amounts due, or becoming due, with interest on overdue payments together with all costs of collection, including attorneys' fees. 14 (8) By accelerating the repayment schedule or increasing the Financing Rate on the unpaid principal of the Loan to as much as 1.667 times the Financing Rate for a default under Subsection 6.01(1). 6.03. DELAY AND WAIVER. No delay or omission by the Department to exercise any right or power accruing upon event of default shall impair any such right or power or shall be construed to be a waiver of any such default or acquiescence therein, and every such right and power may be exercised as often as may be deemed expedient. No waiver or any default under this Agreement shall �.Opnd to or affect any subsequent event of default, whether oft e same or different provi, o is Agreement, or shall impair consequent rights or remedies. AID ICLE V11 - THE PLEDG'ED REVENUI* 7.0 L Si UPERIORITY OF THE PLEDGE TO THE DEPARTMEN' F, From and after the effective date of this Agreenient, th nt shall have a lien on the Pledged Revenues, which along with any other DepaiIn t, r e. Wing Fund liens on the Pledged Revenues, on equal priority, will be prior,and"" er' to any other lien, pledge or MIN assignment with the following exception. All ob ati. "'o Local Govermuent under this Agreement shall be junior, inferior, and subor late i I pests in right of payment and securi.tyto ���* lfapl�ili�,,,a�ble' tl.ieSeniiorilli,��e"vl�-�llmli.i(eI �rI g ail" s defined in Section 1.01 of this Agreernent and. to any additional senior obligation, I lue with the Departmenit"'s consent pursuant to Section 7,02. Any oft e W- bdged Re es may be released from the lien on such Pledged Revenues in favor of the p ent if the Department makes a determination, biased upon facts deemed suffi.ci.enit by,, De dent, that the remaining Pledged Revenues will, in each Fiscal Year, equal or eN, 1 5 ''mes the debt service coming due in each Fiscal Year under,the terms of this Agree �i 7.02. ADDITIONAL D OATIONS. The Lo%af' vein.r i tions on a parity with, or senior nt may issue additional debt obliga to, the lien of, ht on the Pledged Revenues provided.the Department's written consent is n uch consent shall be granted if the Local Government demonstrates at the IF time of h is �n "that the Pledged Revenues,which may take into account reasonable ,,,gs ,sA of It of the Water and. Sewer Systems and revenue increases,plus revenues to proje6 t ill b a 11 ge a ditional proposed debt obligations will, during the period of time Semiannual Loan Payma is are to be made under this Agreement, equal or exceed(11111) 1 5 times the annual. combined debt service requirements of this Agreement and the obligations proposed to be issued by the Laical. Government and will satisfy the coverage reqtdrements of all other debt obligations secured by the Pledged Revenues. ['� lf',tp�p�ic�al,)It�] liowev,er, iiosij.chcoiiseiit� isrequir-edwitiI i espo:t to issuance of Senior Revwl=e Obligations as d, limed in Section III.w01I 15 ARTICLE VIII - GENERAL. PROVISIONS 8.01. DISCHARGE OF 0131.1GATIONS. All payments required to be made under this Agreement shall be cumulative and any deficiencies in any Fiscal Year shall be added to the payments due in the succeeding year and all years thereafter until fully paid. Payments shall continue to be secured by this Agreement until all of the payments required shall be fully paid to the Department. If at any time the Local Government shall have paid, or shall have made provision for the timely payment of,the entire principal amount oft e Loan, and as applicable, Loan Service Fee, interest, and GrpffAA llocation Assessment charges, the pledge of, and lien on, the l,led ged Revenotherl� 'hall be no longer in effect. Deposit of sufficient cash securities or vestinents, authoi*, d"fi!�Qf w, from time to time, may be made to effect defeasance of this Loan. HoweveT," , sit shall be made in irrevocable trust with a banking institution or trust company 144, 4s I'- refit of the Department. There shall be no penalty imposed by the Department;for el" ement of this Loan. popes, 00' 8.02. PROJECT RECORDS AND STATEMENTS. B Abhk' ooks,records, reports, engineering documents c 6J ral, cuments, and papers shall be f inspection at any reasonable available to the authorized representatives of the,pep 11 time after the Local Goverriment has received, I 'A ,J� '15 ,t and until five years after the date lgg/c, that the Project-specific audit report, requir4u S, u"/se,ction.2.03(4), is issued. 8.03. ACCESS TO PROJECT SITE. The Local Government ro access to Project sites and administrative offices to sinif, authorized representatives of)"Ple Imo, )a at any reasonable time. The Local Government shall cause its engineers and cep i "6c ors to cooperate during Pro ect inspections, including J making available world g copies laps and specifications and supplementary materials., 8.04.ASSIGNMENT' S UNDER AGREEMENT. Ally NMI 'The I ti assign any part of its rights under this Agreement after notification to the the l ocf V anent. The Local Government shall not assign rights created by this Agree* W1 ut written consent, of the Department. '17 I Z -/g AN"DMENT OF AGREEMENT'.cc, This Agreement may be amended in writing, except that no as shall be permitted which is inconsistent with statutes, rules, regulations,executive orders, or written agreements between the Department and the U.S. Environmental Protection Agency., This Agreement may be amended after all construction contracts are executed to re-establish the Project cost, Loan amount, Project schedule, and Semiannual Loan Payment amount, A final amendment establishing the final Project costs and the Loan Service Fee based on actual ProJect costs shall be completed after the Department's final inspection of the Project records. 16 8.06. ANNULMENTOF AGREEMENT. The Department may unilaterally annul.this Agreement if the Local Government has not drawn any of the Loan proceeds [*Whichever date is earlier Option I] within eighteen moriths after the efrective date of this Agreenteint [* Optiort 2] by the date set in Section 10.07 for establistfing the Loan 13ebt Soar vice Account. If the Department unflaterally annuls this Agreement,, the Department will provide written notification to the Local Govenument. 8.07. SEVERABR11"'Y CLAIJSE. If any provision of this Agreement shall be held ijjVr 2 alid ® c ���r� b e, t ::,Ae ininpro�visions shall be construed and enforced as if such invalid or nn �1, i ad not been contained herein. 8.08. USE" AS MAI U IFNG FUNDS, 2r I IS, h 1Svontnerdal Po ys v - viatiora ftoin theT n r A o provisions, of 40 CIFR 35.3 1 25(b)(1)to allow these second tiet sed as local matching requirements for most EIIIA grant fund(A treamient Miorks tp ig special Appropriations Act projects. [IFAPPLICABLE18.09. U MPLIANCE VE (1) The 1,ocal Government ��')'d" iraerview 10% of the work force emitled to Davis-Bacon pi"evailing wages (coverq01`bmp11o,1 ,$)1111, .6 verify that contractors of, subcontras'lorilk are paying the appropdate wage ral, 4161 p,s provided in 29 C'FR 5.6(a)(5), all hiterviews inust be coniducted in c on fide nce. 'IN: UpOICT(,;% Meiii� must iise Standard Form 1445 oi-equivalent doci inentatiun to rnemoriafi�y Copies of the SIF 1445 art: available from E1.1A oin A, request, (2) The L,ocal hall periodically conduct spot check s of a represei['ftative sainple of vveekb payr, a c i that conh,actors or subc(�Mtractoi's are paying the appropriat Th �Pcal Govennnent shall establish and fbilow a spot check sche&Je based on i w risks of rOnconaphance with Davis-Bacon posed by contractors or slibconlra divation of the contract of*subcontract. Local Govemments must condu(,A moiire f�r4". c.ks if the initial spot check oi�other inforviration, indicates that there is a ri s k tf,"a con actor oi,subcontractor is not complying with avis-Ba con. In additk n, duying the exe I s the Localm aoverrinient shall verify evidence of ffinge benefill plans and p,,:tyjjle ts h "eunder byoractors and subcontraclors who clafin credit for fringe benefit (,wontribufions. (3) The Local Government shall periodically review contractors and stibcontraclors use of apprentices and trainees to verff registration and certification, with i es,pect to apprenticeship and training prograins apjmWed by either the U.S Department of 1,abor(DOL) or as state, as appropriate, and that cuntractors and sabcontractors, are, not usfiiig dispi-oportionate numbers of laborers, trainees, wind apprentices, niese reviews shall be coinducted in accordance with the schethiles for spot checlias and intervie%Nis des(,1-,Y'R)ed in items (1) and(2) above,, 17 (4) Local Governments must firnivediately report potelltial violations of the 1)avis Bacon prevailing wage requirements tro the EPA Davis-Bacon contact Sheryl Parsons at Pwsons.Sh ryj��gppMjl e �, J ....................................e........... a ind to the appropriate DOL Wage and I 1.ow- Distriet Office listed at hitti).://www.dol,,ZoyJwhd/aine�i-ica2.litti,i. ............................................ ARTICLE IX - CONSTRUcTiON COMI-RACTS AND INSURANCE 9.01. AUTHORIZATION TO AWARD CONSTRUCTI.ON CONTRACTS. The following,documentation is requi ired to receive the Department's al,hp ��7ic to award construction contracts: (1) Proof of advertising. (2) Award recoininenlotion,bid proposal, and bid tabulatio J by the responsible engineer). (3) Certification of contpliance with the conditions e a ent's approval of competilely or non-competitively negotiated p J, a icable. (4) Certification Regarding DisbanneqAtis t�yand Voluntaty Exclusion. (5) IIIif applicable[Asstirance t*the L c ly overflirnent and contractors are in C(mipfiance withr Secfion 1.606 witfil, r standards, including prevailing, wage rates established for its locality by the 11S. Depar, nt abot, under the Davis-Bacon Act for Project const�ifl uction. y. 9.02. SUBMIT"FAL OF CONS CTlON CONTRAC]" DOCUMENTs. After the Depart . ....... 'orization to award construction contracts has been received, the Locall Gover, sha sub-flit: (1) Con rance certificat'10113S. ,Qo/d, E e xLed Contract(s). f�j>r RAY Ces to proceed with constniction. 9.03. INSURANCE REQUIRF',D. The Local Govemrunt shall cause the Project, as each part thereof,is certified by the engineer responsible for overseeing construction as completed, and the Water mid Sewer Systems (hereafter referred to as "Revenue Producing Facilities")to be insured by an insurance company or companies licensed to do business in the State of Florida against such darnage and destruction risks as are customary for the operation of Revenue Producing Facilities of like size, 18 type and location to the extent such insurance is obtainable from time to time against any one or more of such risks. The proceeds of insurance policies received as a result of damage to, or destruction of, Facilities, shall be used to restore or replace damaged the Project or the other Revenue Producing portions of the facilities. If such proceeds are insufficient, the Local Govemnient shall provide additional fimds to restore or replace the damaged portions, oft e facilities. Repair, constructiotii or replacement shall be promptly completed, ARTICLE X - DETAILS OF FINANCING ffgo' �t li 10.01. PRINCPAL I AMOUN,r OF I..,OAN. The estimated principal amount of the Loan is $ whichA si4l's to be 't disbursed.to the Local Government and o f C a p i tia"I'"iz' ed Interes Capitalized Interest is not disbursed to the Local Governm buds amortized via periodic Loan repayments to the Department as if it were actu 4111111 I'll i'. -d. Capitalized Interest is computed at the Financing Rate, or rates, set for the Loan ec es d is conipounded annually from the rant uradeUt' ths bfore the first Semiannual Loan Paye is due. C apitalized res"11111 fed prior,to establishing the schedule of actual dis burs enients, '41 'R *1161" ditional State Revolving Fund finuicirig f app I i1c,ab Ie'��� I"his proJ ect is a Segrrieni ted ro.1 , I" , for�thy, flroj(:�cl is dejwndenl upon.the a0ffflability 7 ditional funds. The current 1"unding Runitations and future funding j)riol,' tit mile Jbr j,pPiented Projects are set fi ilh.in.the Chapter 62-503 ofthe Floridan A, i S Code ANN 10.02. LOAN SERVICE FEIN' '1111, The Loan Servick&lfta ",s es ated as $ for the Loan arnount authorized to date. the fee represents two t e Loan aniount excluding Capitalized Interest aniount; that is,two percent, e Loan Service Fee is estimated at the time of execution of the loan agreement with any increase or decrease amendinent. The Loan Service Fee p z pj r j, eel costs and assessed in the final loan amendment. The Local is based o Goven-0ent, I p$i`fhe Loan Service Fee from the first available repayment(s) following the final a' darnr Ca pi", iced Interest is computed on the assessed Loan Service Fee at the Financing Rate, or rates and included in the final amendment. It accrues and is compounded annually from the final amendment date until six montlis, bef6re the first Semiannual Loan Payment is due. 10.03. FINAN(.,']N(.i RATE. The Financing Rate on the unpaid principal of the Loan amount specified in Section 10.01 is- .. percent per annum. The Financing to equals the sum of the interest rate and the Grant Allocatioi.i.Assessment Rate. The interest rate is percent per annum and the C arant Allocation Assessment rate is percent per an um. I I owever if this 19 Agreement is not executed.by the Local Government and returned to the Department before 1, 2012 the Financing ate may be adjusted. A new Financing Rate shall.be established. for any fends provided by amendment to this Agreement. 10.04. LOAN TERM. RM. The Loan shall be repaid in 40 Semiannual.Loan Payments. 10.05. REPAYMENT SCHEDULE. . The Semiannual. Loan Payment shall be computed based upon the principal t of the Loan plus the estimated Loan Service pee and the principle of level debt servnck"1° w 01' Ra" Se �aiarunual Loan Payment amount may be adjusted,�by amendment of this A: ��ec° z°�t, based. upon revised information. After the final disbursement of roan pro- , t „ annual loan Pay n-ient:shall be based upon the actual Project costs, the actual.Loan Se. e and Loan Service Fee capitalized interest, of any, and actual dates and amount %11 fsements, taking into consideration previous payments. Victual Prgject costs sh 'f ,,ire tabinshed after the any deduct th Department's inspection of the completed project associat d o ' The Department ill. m // %i �%/ e LoanService pee and any associated interest Ironf� fiat avlable repayments vll following the final amendment. A/Ah'%, Each Semiannual Loan Payment shall. in thF7 nt of until the payment amounts adjusted by amendment. The int �s° C�ra� �' llcl-atnon Assess .ent portions of each Semiannanual.Loan Payments all be computed',' .,in their respective rates, on the unpaid. alf the principal h amount of th Cann, wI h i'xcludes C,apitali7 d Interest. Interest(at e Financing } all be comet' n the estimated Loan Service pee. The interest and k r Grant Allocation Assessn�ent:ort„ id unp ;balance shall he computed as of the due date of each Semiannual Loan Paymennt 01 M Semiannual a , e all Loabe received by the Department beginning on� and semiannually thereafter l and f each year until all amounts due hereunder have been full l °y paid. Fur ?tra�sfer shall be made by electronic means, �r a r n Payment amount is based on the total amount owed of The S ri An which cort ,� f o Loan nnci al and the estimated.Loan Service.pee. 10.06 JJFC COSTS. The ti-al Government and the iJepailment acknowledge that the actual project costs have not been.determined as of the effective date of this Agreement. Project:cost adjustments may be made as a result of construction bidding or mutually agreed upon Project changes. Capitalized Interest will be recalculated based on actual dates and amounts of Loan disbursements, If the Local. Government receives other goverjunental financial assistance for this:Project, the costs funded.by such other governmental assistance will not be financed by this Loan. The Department shall establish the final Project costs after its final inspection of the Project records. Changes in Project costs may also occur as a result oft e Local Government's Project audit or a Department audits The 1,ocal Government agrees to the followings estimates of Protect costs, 20 ri PROJECT COSTS AUTHORIZED LOAN CATEGORY AMOUNT($)TO Cos DA'FE Allowance costs Line items Construction and Demolition may vary Contingencies based on Actual Technical. Services After Bid Opening ................. 0 Disbursements SUBTOTAL (Disbursable Amount) 0 01104)4), 0 f . , Capitalized Interest 0 / ,0 TOTAL(Loan Principal Amount) 0 0 10.07. SCHEDULE. The Local.Government, agrees by execution hereof-, S (1) Completion of projectons ctruction is schedule it (2) The Loan Debt Service Account shall be esta e �'d Monthly Loan Deposits x�tffl%go shall begin no later than 'cati not been provided] A clear site title (3) Include statcrnent ffcl�erlillr Sitfe", certification shall be submitted no later than M Constniction close-out date] (4) The initial annual. certific tiollb.required finder Subsection 2.01(10) of this Agreement Thereafter they shall be due cation shall be submitted no later than September 30 of each year until the final Sernian,pou 1 Loakilk.,1141., ment is made. (5) The first Senna n Payment in the amount of$- shall be due 10.08. SPECIAL CON "' DNS. ' Plg A,,, itio, nay concern a pending pernut or reuse agreenient, a Loaiil Ikepayment R,eser,ve, a ,441k," 41? ' AG E ]IN TE N'F ION LL Y LE FTBLANK A IN DER OF P 21 ARTICLE XI - EXECUTION OF AGREEMENT This Loan Agreement WW(*2) shall be executed in three or more counterparts, any of which shall be regarded as an original and all of which constitute but one and the same instrument. IN WITNESS WHEREOF, the Department has caused this Agreement to be executed on its behalf by the Program Administrator and the Local Government has caused this Agreeinent to be executed on its behalf by its Authorized Representative and by its affixed.seal. The effective date of this Agreement shall be as set forth below by the Program Administrator. 1�011Aop If I for i�� III,, 4w� Mayor al, I a,Ift fe., iun expressed in Section 2 `0 titled Legal Authorization. Attest 1100 041, 4'1 0, , 7 ,111 ...........--------- "AR my 11", City Attorniey City Clerk Nth '51 SEA.I., We oil for A/41, STATE OF FLORIDA /k DEPARTMENT OF ENVIRONMENTAL PROTECTION .......................................................--.-......... .........-.-...................................................................................................... ..................................................................................................... Pro grain,Administrator Date StatelIevolving and Attachment included as part of this Agreement: Attachment A - Certification of AppLficabilit�to Sincyle Audit Act Re ortin ----g 22 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: March 20 2013 Division: Engineerinia & Public works Bulk Item: Yes x No Department: Wastewater Staff Contact Person/Phone #: Wilson 453-8787 AGENDA ITEM WORDING: Approval of resolution pledging revenues to repay the State Revolving Fund (SRF) loan for the Cudjoe Regional Wastewater Treatment project as described in the Facilities Plan, designating the County Administrator as Authorized Representative for the purposes of executing the loan agreement and carrying out responsibilities related to the loan agreement (including requesting loan disbursements, providing assurances, and submitting the loan application) as required by Part IV of the State Revolving Loan Program for Point Source Water Pollution Control Loan Application. ITEM BACKGROUND: On January 31, 2013, the Florida Department of Environmental Protection (FDEP), issued an "authorization to incur costs" which allows the County to seek SRF funds for work performed on the project as of that date. On February 13, 2013, FDEP allocated $40M in SRF loans (the FYI maximum) to the County for the Cudjoe Regional central wastewater treatment system. The estimated annual debt service for this amount is $2.4M. The County prepared and submitted the loan application in early March 2013. The FDEP is preparing the loan agreement for execution by the County. Since all of the terms are established, Staff requests BOCC authorization for the Administrator to execute the agreement rather than delay execution until the next BOCC meeting. This will allow the County to start drawing SRF funds earlier. PREVIOUS RELEVANT BOCC ACTION: On February 20, 2013, the Monroe County BOCC granted approval for the County Administrator or designee to execute the SRF loan application for the Cudjoe Regional Treatment System. In 2012 and 2011 the BOCC adopted resolutions requesting award of the `Mayfield" grants as required by the Area of Critical State Concern work plan. CONTRACT/AGREEMENT CHANGES: NIA STAFF RECOMMENDATIONS: Recommend approval.. TOTAL COST: $2.4M annually for 20 years INDIRECT COST: BUDGETED: Yes X No DIFFERENTIAL OF LOCAL PREFERENCE: NIA COST TO COUNTY: NIA SOURCE OF FUNDS: Assessments/Sales Tax REVENUE PRODUCING: Yes _ No X AMOUNT PER MONTH Year APPROVED BY: County Atty eL"� OMB/Purchasing Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: Revised 7/09 AGENDA ITEM # RESOLUTION NO. W 2013 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, RELATING TO THE STATE REVOLVING FUND LOAN PROGRAM; MAKING FINDINGS; AUTHORIZING THE LOAN APPLICATION; AUTHORIZING THE LOAN AGREEMENT; ESTABLISHING PLEDGED REVENUES; DESIGNATING AUTHORIZED REPRESENTATIVES; PROVIDING ASSURANCE; PROVIDING FOR CONFLICTS, SEVERABILITY, AND EFFECTIVE DATE. WHEREAS, Florida Statutes provide for leans to local government agencies to finance the construction of water pollution control facilities; and WHEREAS, Florida Administrative Code rules require authorization to apply for loans, to establish pledged revenues; to designate an authorized representative; to provide assurances of compliance with loan program requirements; and to enter into a loan agreement; and WHEREAS, the State Revolving Fund loan priority list designates Project No. WW 44071 as eligible for available funding; and WHEREAS, Monroe County, Florida, intends to enter into a loan agreement with the Department of Environmental Protection under the State Revolving Fund for financing of the Cudi oe Regional Wastewater System project; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA: SECTION I. The foregoing findings are incorporated herein by reference and made a part hereof. SECTION 2. Monroe County, Florida is authorized to apply for a loan to finance the Cudjoe Regional Wastewater System project. SECTION 3. The revenues pledged for the repayment of the loan are the One Cent Infrastructure Sales Surtax revenues after payment of the debt service on the Infrastructure Sales Surtax Revenue Bonds, Series 2003 and the Infrastructure Sales Surtax Revenue Bonds, Series 2007. Also pledged is the wastewater system development special assessment revenue. SECTION 4. The County Administrator is hereby designated as the authorized representative to provide the assurances and commitments required by the loan application. Page 1 of 2 Res Cudj oe Regional 5RF BOCC 3/20/13 (KP 3/12/13) SECTION 5. The County Administrator is hereby designated as the authorized representative to execute the loan agreement which will become a binding obligation in accordance with its terms when signed by both parties. The County Administrator is authorized to represent the County in carrying out the County's responsibilities under the loan agreement. The County Administrator is authorized to delegate responsibility to appropriate County staff to carryout technical, financial, and administrative activities associated with the loan agreement. SECTION 6. The legal authority for borrowing moneys to construct the Cudj oe Regional Wastewater System project is 153.03, Florida Statutes. SECTION 7. Conflicts. All Resolutions, or parts of Resolutions, in conflict with any of the provisions of this Resolution are hereby repealed. SECTION 8. Severability. If any Section or portion of a Section of this Resolution proves to be invalid, unlawful, or unconstitutional, it shall not be held to invalidate or impair the validity, force or effect of any other Section or part of this Resolution. SECTION 9. Effective Date. This Resolution shall become effective immediately upon its passage and adoption. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida at a regular meeting of said Board held on the 20t' day of March, 2013. Mayor George Neugent Mayor Pro Tem Heather Carruthers Commissioner Danny IKolhage Commissioner David Rice _ Commissioner Sylvia Murphy (SEAL) ATTEST: AMY HEAVILIN, CLERK By: --- Deputy Clerk Res Cudjoe Regional SRF BOCC 3/20/13 (KP 3/12/13) BOARD OF COUNTY COMNIISSIONERS OF MONROE COUNTY, FLORIDA By: Mayor A4WRT JR r