Title of Item:
FLORIDAN AQUIFER TEST PRODUCTION WELL FA-1 (RC):
RESOLUTION No. 23-2020; A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF STUART, FLORIDA, RELATING TO THE DRINKING WATER STATE REVOLVING FUND LOAN PROGRAM; MAKING FINDINGS; APPROVING THE FORM AND AUTHORIZING EXECUTION OF THE LOAN AGREEMENT FOR CONSTRUCTION OF THE FLORIDAN AQUIFER TEST PRODUCTION WELL FA-1 PROJECT; PROVIDING FOR CONFLICTS; SEVERABILITY, AND EFFECTIVE DATE.
Summary Explanation/Background Information on Agenda Request:
On November 25, 2019, the City of Stuart adopted Resolution No. 105-2019, which was amended by Resolution No. 27-2020 and adopted on February 10, 2020 authorizing the Drinking Water Facilities State Revolving Fund (SRF) loan application in the amount of $2,340,000.00 (excluding capitalized interest) for construction of the Floridan Aquifer Test Production Well FA-1. The SRF loan application was submitted to the Florida Department of Environmental Protection (FDEP) on December 3, 2019.
FDEP subsequently sent the City a proposed loan agreement on January 10, 2020. The estimated amount of principal forgiveness is $460,000.00; therefore, the estimated principal amount of the loan to be repaid is $1,880,400.00 ($2,340,000.00 - $460,000.00), which consists of $1,880,000.00 to be disbursed to the City and $400.00 of capitalized interest. The financing rate on the unpaid principal of the loan amount is 0.08% per annum.
Funding Source:
Budgeted FY20 - 1610 / 563 (Water Treatment Team)
Recommended Action:
Approve Resolution No. 23-2020. | | |