CITY OF HOMER

HOMER, ALASKA

                                    City Manager/Public Works

RESOLUTION 09-111

 

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, AUTHORIZING THE CITY MANAGER TO APPLY FOR AND ACCEPT AMERICAN RECOVERY AND REINVESTMENT ACT FUNDING (ARRA-STIMULUS BILL) IN THE FORM OF A LOAN (90% FORGIVEN UPON PURCHASE) IN THE AMOUNT OF $500,000 FOR THE PURPOSE OF REPLACING FOUR PRESSURE REDUCING VAULT (PRV) STATIONS.

 

WHEREAS, At the October 26, 2009 City Council Meeting it is expected that Council will authorize the City Manager to apply for, execute, and accept loan monies to replace four existing pressure reduction vaults on the water distribution system in the amount of $500,000; and

 

WHEREAS, These funds are part of the Water and Sewer Project Economic Stimulus Program funded through the ADCE and ADWF; and

 

WHEREAS, Public Works will need assistance to meet the funding deadlines established under the program; and

 

WHEREAS, A signed contract is needed prior to January 16, 2010; and

 

WHEREAS, The project consists of the replacement of four underground pressure reducing vaults (PRV’s), Effler, Switchback, Barnett, and Mattox that are 35 years old and in need of replacement due to corrosion and groundwater infiltration; and

 

WHEREAS, Replacement of the PRV stations will allow for the installation of power generating turbines to proceed in a cost effective manner; and

 

WHEREAS, By combining the Homer Water System Hydro System Project with this PRV Replacement project, a more competitive cost/benefit ratio can be presented to the Alaska Energy Authority and the City will have a better chance of securing funding for the turbine/hydro project in November when the third round of funding becomes available.

     

            NOW, THEREFORE, BE IT RESOLVED that the City Council of Homer, Alaska, hereby authorizes the City Manager to apply for, accept, and execute an ACWF loan agreement in the amount of $500,000 the purpose of replacing four Pressure Reducing Vault Stations.  

 

PASSED AND ADOPTED by the Homer City Council this 26th day of October, 2009.

 

CITY OF HOMER

 

_____________________________

JAMES C. HORNADAY, MAYOR

ATTEST:

 

______________________________

JO JOHNSON, CMC, CITY CLERK

 

Fiscal Note: Acct. No. 215-833 ACWF Loan   in the amount of 500,000.