HomeMy WebLinkAbout10-15 RESOLUTION NO. 10 -15
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF PORT ANGELES, WASHINGTON,
DECLARING THE ADVANCED METERING
1NFRASTRUCUTRE (AMI) PROJECT NO LONGER
VIABLE, TERMINATING THE ADVANCED
METERING INFRATRUCTURE PROJECT, AND
DESIGNATING ELIGIBLE ELECTRIC, WATER, AND
WASTEWATER CAPITAL PROJECTS FOR RECEIPT
OF BOND PROCEEDS AS A RESULT OF THE
TERMINATION OF THE AMI PROJECT
WHEREAS, the City of Port Angeles, Washington (the "City") issued 2010
Electric Revenue Bonds (the "2010 Electric Bonds") authorized by Ordinance No. 3406 to
fund an Advanced Metering Infrastructure ("AMI") project; and
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WHEREAS, the City issued 2010 Water and Wastewater Revenue Bonds (the
"2010 Water and Wastewater Bonds") authorized by Ordinance No. 3407 to fund the AMI
project; and
WHEREAS, the City entered into a contract with Mueller Systems, LLC to
develop and implement the AMI in accordance with designs and specifications developed
by the City; and
WHEREAS, it became apparent to the City that the AMI project could not
successfully be implemented as envisioned; and
WHEREAS, the City and Mueller Systems, LLC entered into negotiations that
allowed for a termination of the contract with Mueller Systems, LLC as authorized by the
City Council with its approval of the Settlement Agreement dated October 22, 2014; and
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WHEREAS, pursuant to the Settlement Agreement, the City has returned certain
assets associated with the AMI project to Mueller Systems, LLC, and the City expects to
receive a credit or a refund for such assets; and
WHEREAS, the ordinances authorizing the issuance of the 2010 Electric Bonds
and the 2010 Water and Wastewater Bonds allow the City to dispose of property of the
relevant utility system if such property has become unserviceable, inadequate, obsolete or
unfit;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Port
Angeles, Washington, that the Council hereby declares that the Advanced Metering
Infrastructure project is no longer viable, and the associated assets purchased with
proceeds of the 2010 Electric Bonds and the 2010 Water and Wastewater Bonds are
inadequate, obsolete and unfit for City use; and
BE IT FURTHER RESOLVED by the City Council of the City of Port Angeles,
Washington, that they hereby declare the AMI electric and water meters purchased from
Mueller Systems, LLC to be surplus as the property has become unserviceable,
inadequate, obsolete or unfit; and
BE IT FURTHER RESOLVED by the City Council of the City of Port Angeles,
Washington, that the Council hereby directs that the remaining proceeds from the 2010
Electric Bonds and the 2010 Water and Wastewater Bonds, and any refund received from
Mueller Systems, LLC that may constitute "proceeds" of such bonds for purposes of
federal tax law, are permitted to be used as a partial or full funding source for the projects
listed below as eligible to receive funding from the above referenced bond issues:
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1. 2010 Electric Bonds:
a. Electric Remaining Bond Proceeds: $1,688,999.95
b. Electric Eligible Projects: (as authorized in the Capital Facilities Plan-
CFP)
L CLO106 Eclipse Industrial Park Increase Capacity $239,400
ii. CLO807 Olympic Medical Center Redundant Power Source 163,603
iii. CL0206 Upgrade"A" Street Substation Transformer 836,973 (
iv. CL0210 Transmission Line Upgrade 210,000 i
v. CL0612 Upgrade Downtown Lighting Poles Phase 2 100,939
vi. CLO115 Underground Cable Repair 100,000
vii. CL0514 Street Light Upgrades Phase 2 500,000
viii. CL0212 Yard/Area Light Replacement 50,000
ix. CLO114 Overhead Reconductoring 200,000
x. Total Electric Eligible Projects $2,400,915
2. 2010 Water and Wastewater Bonds:
a. Water Remaining Bond Proceeds: $997,028.73
b. Water Eligible Projects: (as authorized in the Capital Facilities Plan-
CFP)
i. WT0109 "E"E Street Reservoir—PRV Station $165,000
ii. WT0114 Marine Drive Water Main Replacement 1,440,000
iii. WT0215 Marine Drive Channel Water Main Crossing Replace. 30,000
iv. Total Water Eligible Projects $1,635,000
c. Wastewater Remaining Bond Proceeds $959,155.85
d. Wastewater Eligible Projects: (as authorized in the Capital Facilities
Plan-CFP)
i. W W0210 SCADA System Upgrade/Replacement $184,000
ii. WW0214 Tumwater Truck Route Sewer Extension 19,700
iii. WWOI l l Sanitary Sewer I&I Reduction(Front St. separation) 364,800
iv. W WO 113 EUGA Pump Replacement 25,000
v. WW0211 Fiber Optic Connections to CSO Sites 25,000
vi. WW0215 Secondary Building Roof WWTP 60,000
vii. W W0315 Marine Channel Bridge Sewer Crossing 30,000
viii. WW1415 Georgiana/Caroline Alley Stormwater Sewer 273,000
ix. WW0415 Pump Station#5 Rehabilitation 125,000
x. W W0515 5`h Street Sewer Line Replacement 45,000
xi. WWOI 14 Biennial Sewer Repair—Ediz Hook Sewer Repair 180,000
xii. WW0308 Pump Station#3 Replacement 50,000
xiii. Total Wastewater Eligible Projects $1,381,500
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3. When any eligible project noted above is brought to the City Council for award
of the contract authorizing construction, the Director of Public Works and
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Utilities and the Chief Financial Officer shall clearly identify in the agenda
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staff report the use and amount of the 2010 Electric Bonds and/or 2010 Water
and Wastewater Bonds proceeds proposed to be used together with an updated
summary of the use of the bond proceeds and the remaining balance in each
bond.
PASSED by the City Council of the City of Port Angeles, Washington, at a regular
meeting thereof held this Z day of July, 2015.
CITY OF PORT ANGELES,
WA INGTON
MAYOR, Dan DiGuilio
ATTEST:
amdv
J nnifer eneklasen, City Clerk
APPROVED AS TO FO
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