Loading...
HomeMy WebLinkAboutR-2005-070 Public Works Trust Fund ApplicationRESOLUTION NO. R-2005- 70 A RESOLUTION authorizing and directing the City Manager to cause to be developed and executed, loan application documents and agreements with the Washington State Public Works Trust Fund for $2,000,000 for the construction of the "B" Street and Lincoln Avenue Grade Separations Proj ect. WHEREAS, the City has determined that the development of these grade separations are vital to the economic development of the City of Yakima; and WHEREAS, the City has received Federal Highway, Freight Mobility and State Transportation grants for nearly $26,000,000 to construct the grade separations on "B" Street and Lincoln Avenue and; and WHEREAS, the proposed project will keep emergency, commercial, local and through traffic uninterrupted from train traffic on "B" Street and Lincoln Avenue; and WHEREAS, the "B" Street and Lincoln Avenue Grade Separations Project also calls for the construction to coincide with Front Street and Historic District reconstruction; and WHEREAS, the Washington State Public Works Trust Fund has made low interest loan funds available for the design of construction and repair of water and sewer utilities; and WHEREAS, the amount of local match funds provided will afford to the City a low interest rate of 0.5% on the $2,000,000 loan; and WHEREAS, the City Council has determined that it is in the best interest of the City to apply for funding from the Washington Public Works Trust Fund for said Project, now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Manager is hereby authorized and directed to cause to be developed and executed, loan application documents and agreements with the Washington State Public Works Trust Fund for $2,000,000 for the construction of the "B" Street and Lincoln Avenue Grade Separations Project; and to execute and submit all related certifications, agreements and other documents necessary to file the loan application and complete said Project. ADOPTED BY THE CITY COUNCIL this 3rd day of May, 2005 Paul P. George, Mayor ATTEST: Keth City Clerk BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. " 1 ©L— For Meeting Of: May 3, 2005 PURPOSE: Consideration of a resolution authorizing the City Manager to cause to be developed and executed, loan application documents and agreements with the Washington State Public Works Trust Fund for $2,000,000 for the construction of the "B" Street and Lincoln Avenue Grade Separations Project. SUBMITTED BY: William R. Cook, CED Department Director, 575-6227 CONTACT: K. Wendell Adams, P.E., City Engineer, 575-6111, Engineering Division SUMMARY EXPLANATION: The Engineering Division of the City requests permission to apply for a $2,000,000 one- half percent (0.5%) interest loan from the state Public Works Trust Fund to be used as cash flow assistance with the construction of the "B" Street and Lincoln Avenue Grade Separations Project. As most of the $30,000,000 for this project is available on a reimbursement basis, this loan will provide necessary cash flow for the duration of the project to cover the 30 to 60 day period between monthly contractor payments and reimbursements to the city from funding partners. To get the low interest rate requires a 15% match and we can utilize partner funds already in place to meet that requirement. Loan repayments are not required to begin until the completed construction of the Grade Separations Project. We then have the opportunity to retire the loan with project funds, or utilize the low-interest 20 -year loan by transferring the debt load to other funding sources that will become available in the next couple of years. Those service bonds that will be retired include a Tieton Drive bond that retires in 2006; a Nob Hill Boulevard construction bond that retires in 2007; and a Street Maintenance bond that retires in 2008. Resolution X Ordinance Contract Other: Funding Source: FHWA; TIB; FMSIB( Approval for Submittal: City M Hager STAFF RECOMMENDATION: Staff recommends approval of the resolution. COUNCIL ACTION: Resolution adopted. RESOLUTION NO. R-2005-70