City Manager/PWD
CITY OF HOMER
HOMER, ALASKA
RESOLUTION 03-107
A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA AUTHORIZING THE APPLICATION TO THE DEPARTMENT OF
ENVIRONMENTAL CONSERVATION FOR A LOAN FROM THE ALASKA CLEAN WATER FUND FOR $150,000.00 FOR THE
WASTEWATER PORTION OF THE WATER AND WASTEWATER MASTER PLAN AND AUTHORIZING THE CITY MANAGER TO
EXECUTE THE APPROPRIATE DOCUMENTS.
WHEREAS, The City of Homer seeks to obtain the necessary financial assistance to conduct a water and wastewater mater plan; and
WHEREAS, The State of Alaska, Department of Environmental Conservation (ADEC) is able to offer funding through the Alaska Clean
Water Fund; and
WHEREAS, The City of Homer wishes to apply for a loan from the Alaska Clean Water Fund; and
WHEREAS, All agree that the City needs to complete a water/sewer/wastewater master plan, to that end, the City has applied for grants and
loans to fund the preparation of the plan, and issued an RFP to identify the most qualified firm to complete the work; and
WHEREAS, The current water plan is over twenty years old and no formal sewer/wastewater plan has ever been prepared; .
WHEREAS, The State appropriation for a water and wastewater master plan was vetoed; and
WHEREAS, The City made an application for Alaska Clean Water/Drinking Water fund loan in the amount of $240,000, the City did not score
well enough to be awarded any of the available 2004 loan funding; and
WHEREAS, ADEC suggested that the City use left over 2003 Homer project loan funding from the 2.5% loan the City qualified for last year,
for the water portion of the master plan; and
WHEREAS, ADEC encouraged the City to make application for the use of loan funds left over from other state projects, to fund the sewer/wastewater portion of the master plan; and
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Resolution 03-107
City of Homer
WHEREAS, This new application was submitted on July 31 and is attached for your information; and
WHEREAS, Public Works expects that at least $150, 000 will be left over from the previously awarded Alaska Drinking Water fund 2.5% loan
amount (water LID's are under budget), and these funds can be used to pay for the water portion of the plan; and
WHEREAS, Application to the ADEC requests an additional $150,000 in Alaska Clean Water fund loans to cover the sewer/wastewater
portion of the plan; and
WHEREAS, Combining these two loan funds will provide a $300,000 budget to complete the water and sewer/wastewater master plan; and
WHEREAS, The loan would be for 10 years at 2.5% and be repaid from the HASWP Fund.
NOW, THEREFORE, BE IT RESOLVED by the Homer City Council authorizing the application to the Department of Environmental
Conservation for a loan from the Alaska Clean Water Fund for $150,000.00 for the wastewater portion of the water and wastewater master
plan and that the City Manager is authorized to execute the appropriate documents required by the Department of Environmental Conservation
to reflect the indebtedness, the terms and of its repayment, and any security therefore, including but not limited to an agreement for the loan and
a promissory note.
PASSED AND ADOPTED by the Homer City Council this 11th day of August, 2003.
CITY OF HOMER
_________________________________
JACK CUSHING, MAYOR
ATTEST:
_____________________________________
MARY L. CALHOUN, CMC, CITY CLERK
Fiscal Note: up to $150,000 from the 2003 Alaska Drinking Water Fund loan to fund the water portion of the master plan; and up to $150,000
from the 2003 Alaska Clean Water Fund loan to fund the sewer/wastewater portion of the master plan; with the 2.5% loan paid off over 10
years from HAWSP funds.