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File #: 2017-4876   
Type: Resolution Status: Approved
File created: 10/9/2017 In control: City Council
On agenda: 10/26/2017 Final action: 10/26/2017
Title: Consider a resolution approving a resolution by the Board of Directors of the Brushy Creek Regional Utility Authority, Inc. authorizing the issuance of “Brushy Creek Regional Utility Authority, Inc, City of Round Rock, Texas contract revenue bonds, (Brushy Creek Regional Water Treatment and Distribution Project)”; establishing the procedures for selling and delivering the bonds, and resolving other matters incident and relating to the issuance, payment, security, sale and delivery of such bonds.
Indexes: Utility Fund
Attachments: 1. Resolution

Title

Consider a resolution approving a resolution by the Board of Directors of the Brushy Creek Regional Utility Authority, Inc. authorizing the issuance of “Brushy Creek Regional Utility Authority, Inc, City of Round Rock, Texas contract revenue bonds, (Brushy Creek Regional Water Treatment and Distribution Project)”; establishing the procedures for selling and delivering the bonds, and resolving other matters incident and relating to the issuance, payment, security, sale and delivery of such bonds.

 

Body

The City of Round Rock is a participating and founding member of the Brushy Creek Regional Utility Authority, Inc, (BCRUA) along with the Cities of Cedar Park and Leander. The City has previously requested the BCRUA to issue a separate series of contract revenue bonds for the City in an amount not to exceed $4,435,000 to finance the City’s contribution to the construction and equipment of the Phase 1C of the BCRUA Project.

 

Pursuant to the Master Contract, each City must approve a substantially final bond resolution prior to the BCRUA issuing bonds. The bonds issued will fund Phase 1C of the project which will expand the current water treatment plant from 17 million gallons per day (MGD) to 30 MGD. The bonds will be issued through the Texas Water Development Board’s (TWDB) SWIFT loan program which was approved by the TWDB on July 20th. Each of the three Cities authorized the BCRUA to execute a financing agreement with the TWDB. The total loan amount for the cost of construction is $16,995,000 with the City’s portion being $4,435,000 (26.67%). Cedar Park and Leander have also requested the BCRUA issue separate series of contract revenue bonds pursuant to the Contract to finance their respective share of the BCRUA Project Costs.  The three separate series of contract revenue bonds for the Cities are expected to be issued and delivered simultaneously.

 

The breakout for each member city is as follows:


Cedar Park                                           $4,430,000

Leander                                           $8,130,000

Round Rock                                           $4,435,000 

BCRUA Total                               $16,995,000

 

Cost: $4,435,000

Source of Funds: Utility Fund