HomeMy WebLinkAboutRES 223 Draft 01 1994-1996COUNTY OF HAWAII =STATE OF HAWAII
RESOLUTION N0. 223 95
A RESOLUTION AUTHORIZING AND PROVIDING FOR THE INCURRENCE OF
INDEBTEDNESS FOR THE PURPOSE OF PROVIDING A PORTION OF THE COST OF
ACQUIRING, CONSTRUCTING, ENLARGING, IMPROVING, AND/OR EXTENDING ITS
PAPAIKOU SEWERAGE SYSTEM FACILITY
WHEREAS, it is necessary for the County of Hawaii to raise a portion of the cost of
acquiring, constructing, enlarging, improving, and/or extending its Papaikou Sewerage System
facility by issuance of its bonds in the principal amount of $787,500.00 pursuant to the
provisions of Ordinance No. 95-84; and
WHEREAS, the County intends to obtain assistance from the Farmers Home
Administration-United States Department of Agriculture in the planning, financing and
supervision of such undertaking and the purchasing of bonds issued in the event that no
acceptable purchaser for such bonds is found by the County.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCII, OF THE COUNTY OF
HAWAII that it authorizes the acceptance of a grant in an amount not to exceed $1,575,000.00
under the terms set forth in the attached Loan Resolution (Exhibit A).
BE IT FURTHER RESOLVED that the Mayor and the Chief Engineer are hereby
authorized and empowered to take all action necessary or appropriate in the execution of all
written instruments as may be required in regard to such grant and to operate the facility under
the terms offered in said grant agreement(s).
BE IT FINALLY RESOLVED that a true copy of this resolution and its executed
Exhibit be transmitted in duplicate to the USDA-FmHA and to Mayor Stephen K. Yamashiro
and Chief Engineer Donna Kiyosaki.
Dated at Hilo, Hawaii, this 15th day of Novanber , 1995.
INTRODUCED BY:
cxx
COU
Coi
I hereby certify that the fc
vote indicated to the right
the County of Hawaii on
ATTEST:
~~~
R OLL CAL L VOTE
NTY COUNCIL
f Hawaii AYES NOES ABS EX
mty o
Hawaii
silo
, Arakaki X
Bonk-Abramson X
the
RESOLUTION was b
in Childs X
y
rego
g
f
COUNCIL
b
h De Lima X
o
e
y t
hereof adopted Domingo X
November 15, 1995
Osorio X
Rath X
/
/- Ray X
Smith X
~/ 6 0 3 0
COUNTY CLERK CHAIRMAN & PRESIDING OFFICER
Reference L-395.02
RESOLUTION NO.
USDA-FmHA
Form FmHA 1942-47
(Rev. 1-90)
Position ~
PORh1 APPROVED
OMB NO. Oi 75~00li
LOAM RESOLUTIO\
(Public Bodies)
A RESOLUTION OF THE COUNCIL
OF THE
AUTHORIZING AND PROVIDING
FOR THE INCURRENCE OF INDEBTEDNESS FOR THE PURPOSE OF PROVIDING ~.
PORTION OF THE COST OF ACQUIRING, CONSTRUCTING, ENLARGING, IMPROVING, AND/OR EXTENDING [TS
PAPAIKOU SEWERAGE SYSTEM
FACILITY TO SERVE AN AREA LAWFULLY WITHIN ITS JURISDICTION TO SERVE.
WHEREAS, it is necessary for the COUNTY OF HAWAII
/Public BodYl
(herein after called Association) to raise a portion of Ilse cos[ of such undertaking by issuance of its bonds in [he principal amount of
SEVEN HUNDRED EIGHTY SEVEN THOUSAND FIVE HUNDRED DOLLARS ($787,500.00)
pursuant to the provisions of ORDINANCE N0. 95-84 ;and
WHEREAS, the Association intends to obtain assistance front the Farmers Home Administration, United States Department of Agri-
culture, (herein called the Government) acting under the provisions of the Consolidated Farm and Rural Development Act (7 U.S.C.
1921 et seq.) in the planning, financing, and supervision of such [mdertaking and the purchasing of bonds lawfully issued, in the event
that no other acceptable purchaser for such bonds is found by the Association:
NOW THEREFORE. in consideration of the premises the Association hereby resolves:
I. To have prepared on its behalf and to adopt an ordinance or resolution For the issuance of its bonds containina such
items and in such forms as are required by S[a[e statutes and as are agreeable and acceptable [o Ilse Government.
2. To refinance the unpaid balance, in whole or in part, of its bonds upon the request of the Government if at any time
i[ shall appear to the Government [hat the Association is able [o refinance its bonds by obtaining a loan for such purposes
Crom responsible cooperative or private sources a[ reasonable rates and [erns for loans for similar purposes and periods
of time as required by section 333(c) of said Consolidated Farm and Rural Development Ac[ (7 U.S.C. 1983(c)).
3. To provide for, execute, and comply with Form FmHA 400-4, "Assurance Agreement;' and Forr» FntHA 400-I, "Equal
Opportunity Agreement;' including an "Equal Opportunity Clause," which clause is to be incorporated in, or attached
as a rider to, each construction contract and subcontract involving in excess of 510,000.
4. To indemnify the Government for any payments made or losses suffered by [he Government on behalf of the Association.
Such indemnification shall be payable from [he same source of funds pledged to pay the bonds or any other legal per-
missible source.
5. That upon default in the payments of any principal and accrued interest on the bonds or in the performance of any cov-
enant or agreement contained herein or in the instruments incident to making or insuring the loan, the Governnment at
its option may (a) declare the entire principal amount then outstanding and accrued interest immediately due and pay-
able, (b) for the account of [he Association (payable from [he source of funds pledged to pay the bonds or any other
legally permissible source), incur and pay reasonable expenses for repair, maintenance, and operation of the facility and
such other reasonable expenses as may be necessary to cure [he cause of default, and/or (c) take possessimt of the facility,
repair, maintain, and operate or rent i[. Default under the provisions of [his resolution or any instrument incident to the
making or insuring of the loan may be construed by the Government to constitute default under any other instrument
held by the Government and executed or assumed by the Association, and default under any such instrument may be
construed by the Government [o constitute default hereunder.
6. Clot to sell, transfer, lease, or otherwise encumber the facility or any portion thereof, or interest therein, or permit others
to do so. withan the nrinr written consent of the Government.
7. Not to defeasethe bonds, or to borrow money, enter into any contract or agreement, or otherwise incur any liabilities
for any purpose in connection with the facility (exclusive of normal maintenance) without the prior written consent u( the
Government if such undertaking would involve the source of funds pledged to pay the bonds.
8. To place the proceeds of the bonds on deposit in an account and in a manner approved by the Government Funds may be
deposited in institutions insured by the State or Federal Government or invested in readily marketable securities backed
by the full faith and credit of the United States. Any income from these accounts will be considered as revenues o(the
system.
9. To comply with all applicable State and Federal Taws and regulations and [o continually operate and maintain the facility
in good condition.
10. To provide for the receipt of adequate revenues to meet the requirements of debt service, operation and maintenance, and
[he establishment of adequate reserves. Revenue accumulated over and above that needed to pay operating and mainte-
nance, debt service and reserves may only be retained or used [o make prepayments on the loan. Revenue cannot be used
to pay any expenses which arc not directly incurred for the facility financed by FmHA. No free service or use of the
facility will be permitted.
Public reporrin¢ burden /nr this collection of in form afion is esfimoted fo avera¢e / hour per response, inefu dinX the time //or revieminA inslvuctians.
srurchinX Cris tinA data sources. ¢a lherinA and main taimn¢ the data needed, and corn ple tinF and rcuir wine the cn(lecfion n/ in (n mmhor:, Srnd coin men fs
rs'AardinX this burden es timafe or any othrr aspect o/ this collection n/ in(orrnafion, including su RXes(ions /or rrdu cinA this burdr n, fn DePUrtrnrnf n/
A¢ricuftu re, Clearance O//icer, OIR.I/, Room JOJ-W, Wash in Alon. D. C. '0_'50: and fo the U/lice o/ alarm ACment and Oudcr (, Puprrw nrl: Itrduction
Yrojec/ /O:Vfl :vo. OS ~5~00f51. Nash in Arnn, D. C. X0509.
FxhiF,it !~
COUNTY OF HAWAII
11. To acquire and maintain ~. ,urance and fidelity bond coverase as may .fired by the Government.
l2. To establish and maintain sun books and records relating to the operation ut the facility and its financial affairs and to
provide for required audit thereof as required by the Government, to provide the Government a copy of each such wdi[
without its request, and to forward to the Government such additional information and rzporu as it may from timz to
time require.
13. To provide the Government at all reasonable times access to all books and records relative to the facilin~ and access to
the property of the system so that the Government may ascertain that the Association is complying with the provisions
hereof and of the instruments incident [o the making or insuring of the Loan.
l4. That if the Government requires that a reserve account be established and maintained, disbursements from that account
may be used when necessary for payments due on the bond if sufficient funds are not otherwise available. With the prior
written approval of the Government, funds may be withdrawn for:
(a) Paying the cost of repairing or replacing any damage to the facility caused by catastrophe.
(b) Repairing or replacing short-lived assets.
(c) Making extensions or improvements to the facility.
Any time funds are disbursed from the reserve, account, additional deposits will be required until [he reserve account has
reached [he required funded level.
15. To provide adequate service to all persons within the service area who can feasibly and legally be served and to obtain
FmHA's concurrence prior to refusing new or adequate services to such persons. Upon failure to provide services which
are feasible and legal, such person shall have a direct right of action against the Association or public body.
16. To comply with the measures identified in the Government's environmental impact analysis for this facility for the pur-
pose of avoiding or reducing the adverse environmental impacts of the facility's construction or operation.
17. To accept a grant in an amount not to exceed S 1 , 575 , 000.00
under [he terms offered by the Government; that the MAYOR
and CHIEF ENGINEER of the Association are hereby authorized and empowered to take all action necessary
or appropriate in [he execution of all written instruments as may be required in regard to or as evidence of such grant, and
to operate the facility under the terms offered in said grant agreement(s).
The provisions hereof and the provisions of all instruments incident to the making or the insuring of the loan, unless otherwise
specifically provided by the terms of such instrument, shall be binding upon the Association as long as the bonds arc held or
insured by the Government or assignee. The provisions of sections 6 through 17 hereof may be provided for in more specific
detail in [he bond resolution or ordinance; to the extent that the provisions contained in such bond resolution or ordinance
should be found to be inconsistent with the provisions hereof, these provisions shall be construed as controlling between the
Association and the Government or assignee
The vote was: Yeas 6 Nays 0 Absent
IN WITNESS WHEREOF, the
of the
COUNTY OF HAWAII has duly adopted this resolution and caused it
to be executed by the officers below in duplicate on this 15th ~ ~ day pj ~f~ovembe~,~_ 19 95 .
(SEAL)~C;~~~~~~~~ ~y Keiko Bonk-Abramson
Attest: Title Council Chairwoman, County of Hawaii
Barbara Bell
Title County Clerk, County of Hawaii
CERTIFICATION TO BE EXECUTED AT LOAN CLOSING
I, the undersigned, as County Clerk of the County of Hawaii
hereby certify that the Hawaii County CoLneil of such Association is composed of
members, of whom 8 , constituting a quorum, were present at a meeting thereof duly callzd and
held on the 15th day of Novc~tttber lg 95 ~ and that the foregoing resolution was adopted at such mzetine
by the vote shown above. I further certify that as of
the date of closing of the loan from the Farmers Home Administration, said resolution remains in effect and has not been rescinded or
amended in any way.
Dated, this day of
19 -.
Tide Cotmty Clerk, County of Hawaii
•U.S.GPOa 990A~r~hOia 228a2