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Consider a resolution authorizing the Mayor to execute the Fourth Amendment to the Master Contract for the financing, construction and operation of the BCRUA Regional Water Treatment and Distribution Project.
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During the preliminary legal review of our upcoming current SWIFT Loan application, BCRUA’s bond counsel has determined that the existing Master Contract language only authorizes Phase 1 related debt issuance. Since our current SWIFT Loan application mostly relates to Phase 2 debt, it will be necessary for the Board and all three city councils to amend the Master Agreement to add the necessary authorizations. The amendment includes a new exhibit, Exhibit D-1, which outlines a total of $23,797,657 (not including debt issuance costs and $5,000 incremental bond unit costing) in direct Phase 2 expenditures. Please note that the Round Rock portion of $6,708,560 is being paid out of the balance of Round Rock’s remaining Phase 1A savings, so they will not be participating in this current SWIFT Loan Cycle. The remaining $17,089,097 constitutes Leander’s and Cedar Park’s Phase 2 shares, most of which will be funded by the current SWIFT Loan application. It should also be noted that Leander’s SWIFT Loan application will not include their $1,970,096 share of the $4,597,657 total cost for “Phase 2 Electrical Improvement Construction & Construction Phase Services.” That will require separate action and approval by Leander’s city council, at a later date. Leander’s upcoming SWIFT Loan application will only cover their share of costs for Phase 2 “Planning and Design Services” and “Land Rights” (Deferred Loan Option). Planning and design service costs will also include Leander’s portion of the Phase 1D water treatment capacity expansion. As a final note, we will need to update the existing Exhibit D to the Master Agreement to reflect final expense allocations related to all Phase 1A savings, as well as incorporating the Phase 1D capacity expansion (30 MGD to...
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