1994 MIN NOV 15 - Laserfiche WebLink

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Councilmember Bennett stated that they had just received the information at 6:00 P. M. and inquired if action was postponed, will the City lose any funding. Director Hutton answered that none would be lost for Public Works projects. Director Hutton introduced Tim Wilson from GTS who stated there were 13 separate projects, in progress, for the last two years and funding has been applied for several years. A few weeks delay will not cause a problem now but at the end of the year, the city needs to keep moving on the project. After discussion, Motion by Councilmember Bennett, seconded by Councilmember Sandoval, to continue this item to December 6, 1994 and to come up with a 5 -year plan carried by unanimous vote. ELECTRIC UTILITY DIRECTOR'S REPORTS AND RECOMMENDATIONS: Electric Utility Director Clarke announced these were a series of ordinances and resolutions to set financing in motion for electric system improvements. He described Ordinance No. 0-20-94 as the bond vehicle, which is to issue through the Colton Public Financing Authority. Director Clarke stated that Resolution No. R-127-94 was an amendment to recognize seven Council members, in place of the original five seats, to allow for seven voting members of the Colton Public Financing Authority. He indicated that Ordinance No. 0-21-94 provided for the flow of funds, setting up the Revenue Account and prioritization of payments which will assure that the -- debt service has high priority. Director Clarke related that Resolution No. R-128-94 would authorize the invitation of proposals for the purchase of bonds of the Colton Public Financing Authority, inviting bids relating to the bonds and a notice of an intent to sell the bonds, and the delivery of an official statement. .0-11 In clearing up confusion with Agenda Items Nos. 3, 4, 5 and 6, Director Clarke said they are all related. He informed that payments are being made from the general fund and that once the bonds are in place, these monies will be repaid to the general fund. Councilmember Sandoval added that this is the rate structure to support the debt service. Director Clarke reminded that Council was so informed in June of this year. Councilmember Sandoval said this is laying the groundwork for the infrastructure to serve the West End and to purchase capacity in the brine line. Councilmember Beltran reminded of the controversy surrounding the medical center. Director Clarke explained that this is a 2 megawatt load, intended to serve the Rix facility and the medical center (only a portion) plus added capacity to serve twice that area for commercial and industrial load. He cautioned that the present capacity cannot carry the anticipated development. He said as the City sells more power, it will reduce the cost to others. Additionally, there will be a benefit to the General Fund --for every dollar sold, 12 cents go to the General Fund. 8 M 15 19%