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Home My WebLink About2005.10.18_OPWA AgendaTYKE OF MEETING: Regular DATE: October 18, 2005 TIME: 6:30 p.m. PLACE: Council Chambers, Old Central Building 109 N. Birch Notice and agenda filed in the office of the City Clerk and posted at City Hall at 5:00 p.m. on Friday, October 14, 2005. � J r Juliann M. Stevens, Admims4ative Assistant 1. Call to Order Chairman Thoendel 2. Flag Salute 3. Roll Call 4. Consideration and appropriate action relating to a request for approval of the Consent Agenda. All matters listed under "Consent" are considered by the Trustees to be routine and will be enacted by one motion. Any Trustee may, however, remove an item from the Consent Agenda by request. A motion to adopt the Consent Agenda is non - debatable. A. Approval of the Minutes of the October 4, 2005 Regular Meeting. Attachment # 4 -A B. Approval of Claims. Attachment # 4 -13 C. Acknowledgement of receiving the monthly FY 2005 -2006 budget status report. Attachment # 4 -C S: Agendas \OP WA \2005 \1018. doc Owasso Public Works Authority October 18, 2005 Page 2 5. Consideration and appropriate action relating to a request for Trustee approval of Resolution No. 2005 -03, a resolution authorizing the Owasso Public Works Authority (The "Authority ") to issue its sales tax revenue note, Series 2005 (The "Note ") in the aggregate principal amount of $10,000,000; waiving competitive bidding and authorizing the note be sold on a negotiated basis; approving and authorizing execution of a sales tax agreement by and between the City and the Authority pertaining to a year -to -year pledge of certain sales tax revenue; approving and authorizing execution of a note indenture authorizing the issuance and securing the payment of the note; providing that the organizational document creating the Authority is subject to the provisions of the note indenture; authorizing and directing the execution of the note and other documents relating to the transaction; establishing the authority's reasonable expectation with respect to the issuance of tax - exempt obligations by the authority in calendar year 2005, and designating the note as a qualified tax - exempt obligation; and containing other provisions relating thereto. Ms. Bishop Staff will recommend Trustee approval of Resolution No. 2005 -03. b. Report from OPWA Manager. 7. Report from OPWA Attorney. 8. New Business. (New Business is any item of business which could not have been foreseen at the time of posting of the agenda.) 9. Adjournment. S:\Agendas \OP WA \2005 \l018.doc OWASSO PUBLIC WORKS AUTHORITY MINUTES OF REGULAR MEETING Tuesday, October 4, 2005 The Owasso Public Works Authority met in regular session on Tuesday, October 4, 2005 in the Council Chambers at Old Central per the Notice of Public Meeting and Agenda posted on the City Hall bulletin board at 5:00 p.m. on Friday, September 30 2005. ITEM 1. CALL TO ORDER Chairman Thoendel called the meeting to order at 6:57 p.m. ITEM 2. FLAG SALUTE The flag salute was held during the City Council meeting preceding this meeting. ITEM 3. ROLL CALL PRESENT ABSENT Craig Thoendel, Chairman Steve Cataudella, Vice Chair Brent Colgan, Trustee Wayne Guevara, Trustee Susan Kimball, Trustee A quorum was declared present. STAFF Rodney J. Ray, Authority Manager Julie Lombardi, Authority Attorney ITEM 4. CONSIDERATION AND APPROPRIATE ACTION RELATING TO A REQUEST FOR TRUSTEE APPROVAL OF THE CONSENT AGENDA A. Approval of Minutes of the September 20, 2005 Regular Meeting B. Approval of Claims Mr. Cataudella moved, seconded by Ms. Kimball, to approve the OPWA Consent Agenda with claims totaling $1,724,124.52 (including a $1,486,806.77 transfer to Capital Improvements) and payroll claims totaling $65,691.01. YEA: Cataudella, Colgan, Guevara, Kimball, Thoendel NAY: None Motion carried 5 -0. Owasso Public kForks Authority October 4, 2005 ITEM 5. CONSIDERATION AND APPROPRIATE ACTION RELATING TO A REQUEST FOR TRUSTEE AUTHORIZATION FOR THE SOLICITATION OF COMPETITIVE INTEREST RATE QUOTES FROM FINANCIAL INSTITUTIONS FOR THE PURPOSE OF FUNDING CAPITAL IMPROVEMENTS PROJECTS Mr. Ray presented the item. Mr. Cataudella moved, seconded by Mr. Colgan, for Trustee authorization for the solicitation of interest quotes for the issuance of ten million dollars in debt for a period of seven years. YEA: Cataudella, Colgan, Guevara, Kimball, Thoendel NAY: None Motion carried 5 -0. ITEM 6, REPORT FROM OPWA MANAGER None ITEM 7. REPORT FROM OPWA ATTORNEY None ITEM g. NEW BUSINESS None ITEM 9. ADJOURNMENT Mr. Colgan moved, seconded by Mr. Guevara, to adjourn. YEA: Cataudella, Colgan, Guevara, Kimball, Thoendel NAY: None Motion carried 5-0 and the meeting was adjourned at 7:07 p.m. Stephanie Breitbarth, Minute Clerk N Craig Thoendel, Chairman OPWA CLAIMS TD0E PAID 10/1&05 VENDOR DESCRIPTION AMOUNT OFFICE DEPOT OFFICE SUPPLIES 148.75 OFFICE DEPOT OFFICE SUPPLIES 08.18 OFFICE DEPOT T RASH BAGS 8.09 OKLAHOMA NATURAL GAS 09/05 USAGE 27.62 8EFYPSO 09/05 USAGE 914.60 TERM|N|X PEST CONTROL 44.00 IKON OFFICE SOLUTIONS C0P|ERMA|NT 89.56 SOUTHWESTERN BELL PHONE USE 17.83 SOUTHWESTERN BELL PHONE USE 230.06 OK MUNICIPAL LEAGUE OK0LC0NFERENCE-STAGG 250.00 ASCE MEMBERSHIP-STAGG 220.00 ADMINISTRATION DEPT T0TAL 1,98S�G9 OFFICE DEPOT BATTERIES 12.52 WATER PRODUCTS MARKING FLAGS 249.03 GEORGE & GEORGE SAFETY MA|NT8UPPL|ES 1470 UN|F|RSTC0RP0RAT0N UN|F0RMS/PROTCLOTH|NG 86.93 WATER PRODUCTS LEAK REPAIRS 1.00843 BROWN FARMS SOD SOD 55.00 TWIN CITIES READY MIX CONCRETE-STREET REPAIR 410.00 LOVVESC0MR4N|ES PR|K8EFUPVCCEK8ENT 15.94 H&E ENGINEERED EQUIPMENT REPAIR MOTOR 2.46121 CITY GARAGE CITY 0FOWASSO VEH|CLEMA|NT 405.35 FUELMAN FUEL 2.124.31 WATER PRODUCTS VALVE WRENCH 13428 CITY OFTULSA PURCHASED WATER 154.957.04 AEP/PSO 09/05 USAGE 382.04 K8ETROCALL PAGER USAGE 57.00 SOUTHWESTERN BELL NON'PLEXAR-9181403849 75.20 WATER PRODUCTS TRASH PUMP 125500 WATER DEPT TOTAL 104'377.18 OFFICE DEPOT OFFICE SUPPLIES 23.00 THE UPS STORE SHIPPING CHARGE 17.80 NORTH CENTRAL LABORATORIES LAB SUPPLIES 629.80 GEORGE & GEORGE SAFETY K8A|NTSUPPL|ES 14.70 UN|F|RSTCORPORAT|0N UN|FDRMS/PROTCLOTH|NS 131.58 ATVVOODS NUTS/BOLTS 5.31 CITY GARAGE CITY OFOWA8SO VEH|CLEMA|NT 229.67 FUELMAN FUEL 338.47 AEP/PGO 09/05 USAGE 10.128.53 K8ETROCALL PAGER USAGE 14.40 SOUTHWESTERN BELL PHONE USE 0.78 SOUTHWESTERN BELL PHONE USE 81.01 S0NFORDSAMPLERS SAMPLER REPAIR PARTS 921.14 VVVV TREATMENT PLANT DEPT TOTAL 12.542.62 WATER PRODUCTS BLADE 10.55 ATVVOODS RATCHET/CHA|NB|NDER 187.80 GEORGE & GEORGE SAFETY MA|NTSUPPL|ES 14.70 VENDOR DESCRIPTION AMOUNT UN|F|R8TCORPURAT0N UN|F0RMS8zROTCLOTH|NG 173.40 ATVVO0DS NUTS/BOLTS 28.82 CITY GARAGE CITY OFOVVASS0 VEH|CLEMA|NT 427.31 FUELMAN FUEL 1.00042 VERDIGRIS VALLEY ELECTRIC LIFT STATION USAGE 37770 AEFYPS0 09/05 USAGE 3.80378 LOT MAINTENANCE TV/CLEAN SEWER LINES 502.50 SOUTHWESTERN BELL NON-PLEXAR'8183718853 51.38 SOUTHWESTERN BELL NON-PLEXAR'9183715244 51.40 SOUTHWESTERN BELL N0N'PLEXAR-8183710498 50.82 K4ETROCALL PAGER USAGE 28.04 SOUTHWESTERN BELL. NON'PLEXAR,9181493111 151.80 WASTEWATER DEPT TOTAL -------- -,_.-. AUTO ZONE 0L 19.90 GEORGE & GEORGE SAFETY MA|NTSUPPL|ES 1475 UN|F|R3TCORPORAT0N UN|FORMS/PR0TCLOTH|N8 96J8 CITY GARAGE CITY OFOWAGSD VEH|CLEK4A|NT 12.002.43 FUELK4AN FUEL 4'135.82 US CELLULAR CELL PHONE USAGE 34.44 METROCALL PAGER USAGE 0024 SOUTHWESTERN BELL PHONE USE 1020 GRA|NGER STORAGE AREA RACKS 1432.34 REFUSE DEPT TOTAL 18'472.96 UN|F|RSTCORPORAT|ON UN|F0RMS/PROTCL0TH|NG 20.40 AEP/P3O 09/05 USAGE 80.90 SOUTHWESTERN BELL PHONE USE 18.20 WASTE MANAGEMENT OFTULSA TIPPING FEES 188818 RECYCLE DEPT TOTAL 2'015.88 OPVVA OPERATING FUND TOTAL 208,339.35 HOME DEPOT USA, INC DEBT SERVICE MONTHLY PAYMENTS 7522.93 OPVVA SALES TAX FUND TOTAL 7,522.� 83- � OPVVA GRAND TOTAL 213�852�� 213,852.28 ' OWASSO PUBLIC WORKS AUTHORITY PAYROLL PAYMENT REPORT, PAY PERIOD ENDING DATE DEPARTMENT UNEWIT17, OVERTIME TOTAL EXPENSES EXPENSES OPWA Administration 0.00 $15,840.36 Utility Billing 25.94 4,497.80 Wastewater 263.76 11,635.51 Wastewater Collection 352.93 8,382.36 Refuse 408.21 9,168.39 Recycle Center 0.00 1,445.57 FUND TOTAL $3,995.14 $64,099.17 CITY OFOWASSU DVVASSO PUBLIC WORKS AUTHORITY OPERATING FUND FISCAL YEAR 2U05'2006 Statement of Revenues &Expenses Aaof September 3O.2OO5 OPERATING REVENUES: Water Wastewater Refuse &recycle Otherfeea Interest & other TOTAL OPERATING REVENUES OPERATING EXPENSES: Personal services Materials &supplies Other services Capital outlay Debt service TOTAL OPERATING EXPENSES REVENUES OVER EXPENSES TRANSFERS OUT MONTH YEAR 188.561 TO-DATE TV-DATE � BUDGET � 329.308 1.234.365 2.660.000 97.085 287.256 1.080.000 82.945 250.355 983.000 76.820 150.554 478.000 105 _�85,553 4,481 19,500 1,936,211 5,222,500 141.935 374.542 188.561 719.882 27.318 138.813 201.378 209.026 _____ 557.1Q1 - 1.434.243 _____ 28.361 _____ 501.068 (25.00) NET INCOME (LOSS) 3,381 WORKING CAPITAL - Beginning Balance WORKING CAPITAL - Ending Balance (75.O00) 1,050,305 1.725.520 2.355.743 723.005 538.147 - _____ 5.342.475 (300.U0O) 1,000,000 1,477,273 580825 �� PERCENT 0FBUDGET 46.41% 2O�35% 25.47% 33.95% 22.98% 37.07% 2171% 30.58% 18.09% TO. HONORABLE t A ' R AND TRUSTEES 'w OWASSO PUBLIC WORKS AUTHORITY FROM: SHERRY BISHOP FINANCE DIRECTOR SUBJECT. AUTHORIZE ISSUANCE OF DEBT RESOLUTION NO® 2005 -03 DATE: October 14, 2005 After the third -penny sales tax was approved by the voters in August of 2003, the City Council, the Capital Improvements Committee and city staff began an effort to develop a strategy that would reduce the cost of financing major capital improvement projects. Those efforts resulted in an innovative method of financing capital projects utilizing a short -term Revenue Anticipation Note (RAN) and a long -term bank note. The short -term Revenue Anticipation Note (RAN) between the OPWA and the City is used similar to a line-of-credit financing so that funds could be drawn only as needed thereby reducing interest costs. After the City's cash flow capabilities are maximized, the long -term bank note provides permanent financing. RAN financing was utilized beginning in February 2004 until December 2004 when a Sales Tax Revenue Note was issued for $10 million. Those project funds have been expended and the next phase of long -term financing has been initiated. On October 4, 2005, the OPWA Trustees authorized the solicitation of interest quotes for the issuance of a $10 million loan for seven years. The solicitation was sent to eleven banks including all local banks. (See attached bank list.) The bids are due no later than 2:00 on Friday, October 14, 2005. The agenda packet will be compiled before these bids are received so, the bids and financing recommendation will be enclosed separately. As a public trust of the City of Owasso, the OPWA cannot incur debt without the approval of the City Council. City Resolution No. 2005 -16 authorizes the OPWA to incur debt in the amount of $10,000,000 and authorizes the execution of any documentation necessary. The attached Resolution No. 2005-16 is incomplete. The bank name will be added to Section 3 and the final complete resolution will be provided at the meeting on Tuesday. OPWA Resolution No. 200503 authorizes the issuance of a $10,000,000 Sales Tax Revenue Note, provides various requirements of the financing and authorizes the execution of all documents related to the transaction. The blanks in Sections 1, 2 and 8 will be completed after the rate bids are received and analyzed. The final document will be provided at the Owasso Public Works Authority meeting on Tuesday, October 18, 2005. Staff recommends OPWA Trustee approval of Resolution No. 2005 -03 authorizing the issuance of a $10,000,000 Sales Tax Revenue Note and containing other related provisions. ATTACHMENTS. Bank List Resolution No. 2005-03 Dominic (Dee) Sokolosky, President Tina Clark, Branch Manager First Bank of Owasso IBC Bank P.O. Box 1800 201 E. 2nd Avenue 102 W. 2nd Avenue Owasso, OK 74055 Owasso, OIL. 74055 918 - 272 -2286 918- 272 -5301 iclark c ibc.com dLes @firstbank.net Frank Enzbrenner, President Cheri Vandiver, Branch Manager RCB Bank Spirit Bank 11633 East 86th Street North 8291 N. Owasso Expressway Owasso, OK 74 -055 Owasso, OK 74055 918 - 274 -1450 918 -272 -4361 fenzbrennea c�bankrcb.net ...�..___..._.._ cvandiver° a stbank�com Dale Prevett, President, Owasso Division Don Walker, President Oklahoma National Bank Arvest Bank P.O. Box 1768 502 South Main Mall 12502 E. 96th Street North Tulsa, OK 74103 Owasso, OK 74055 918 -631 -1000 918 - 376 -4300 dewalker° arevest.com dprevett c onbbank.com Steve Balser Mike Gibson Exchange Bank Bank of The Lakes P.O. Box 1857 12401 E 86th Street North 9701 E. 86th Street North Owasso, OK 74055 Owasso, OK 74055 918 - 274 -3535 bakers eb�ok.cozl7 Mike. ibson cr banlcofthelakes com Chase Attn: Marcia Matthews 100 North Broadway Oklahoma City, OK 73102 marcia d matthevvs(a�bankone com Sarah N. Reavis, Commercial Banking Officer Bank of Oklahoma, National Association P.O. Box 2300 Tulsa, OK 74192 Phone: (918) 588 -6867 Fax: (918) 382 -1382 E -mail: sreavisgbokf com Karl Bovee Bank of America, N.A. 211 N. Robinson Oklahoma City, OK 73102 (405) 230 -4935 (Telephone) (405) 230 -4089 (Fax) karl.boy�je c bankofamerica.coi7a OWASSO PUBLIC WORDS AUTHORITY City of Owasso, Oklahoma RESOLUTION NO. 2005 -03 NOW, THEREFORE, BE 11' RESOLVED BY THE TRUSTEES Of THE OWASSO PUBLIC WORKS AUTHORITY: SECTION 1. INDEBTEDNESS AUTHORIZED. The Authority is authorized to incur an indebtedness by the issuance of its Sales `fax Revenue Note, Series 2005, for and on behalf of the City of Owasso, Oklahoma (the "City "), in an aggregate principal amount of $10,000,000 (the "Note ") for the purpose of (i) financing street and road construction, sports park improvements, land acquisition and construction of a fire station, and drainage improvements (collectively, the "Project "), and (ii) paying certain costs associated with the issuance of the Note. The Note shall bear interest at the rate of % per annum and shall mature in semiannual principal installments as follows: Maturity Date Principal Amount 06/01/06 12/01/06 06/01/07 12/01/07 06/01/08 12/01/08 06/01/09 12/01/09 06/01/10 12/01/10 06/01/11 12/01/11 06/01/12 12/01/12 SECTION 2. COMPETITIVE BIDDING WAIVED. Competitive bidding on the sale of said Note is waived and the Note is authorized to be sold to , at a price of par. SECTION 3. SALES TAX AGREEMENT. The Sales Tax Agreement dated as of December 1, 2004, between the City and the Authority (the "Sales Tax Agreement "), which Sales Tax Agreement pertains to a year-to-year pledge of certain sales tax revenue as security for the Note, is hereby ratified and confirmed. SECTION 4, SUPPLEMENTAL, NOTE INDENTURE. The Supplemental Note Indenture by and between the Authority and RCB Bank, as Trustee, as said Supplemental Note Indenture supplements and amends a Note Indenture dated as of December 1, 2004, also by and between the Authority and the Trustee (collectively, the "Note Indenture "), authorizing the issuance of and securing the payment of the Note approved in Section 1 hereof, is hereby approved and the Chairman or Vice Chairman and Secretary or Assistant Secretary of the Authority are authorized and directed to execute and deliver same for and on behalf of the Authority. SECTION 5. ORGANIZATIONAL DOCUMENT SUBJECT TO THE NOTE INDENTURE. The organizational document creating the Authority is subject to the provisions of the Note Indenture referenced in Section 4 hereof. SECTION 6. CERTIFICATE OF DESIGNATION. The Authority anticipates that the total amount of tax - exempt obligations (other than private activity bonds) issued by the Authority or other issuers on behalf of the City, will not exceed $10,000,000 for calendar year 2005, and hereby designates the Note to be a qualified tax - exempt obligation with respect to the financial institution interest deduction provisions contained in the Internal Revenue Code of 1986, as amended, and authorizes the Chairman or Vice Chairman of the Authority to execute and deliver on behalf of the Authority a Certificate of Designation to that effect. SECTION 7. PROFESSIONAL SERVICES AGREEMENT. The Chairman or Vice Chairman is authorized to execute and deliver a Legal Services Agreement with Fagin, Brown, Bush, Tinney & Kiser, as Bond Counsel, in connection with the transaction referenced herein. SECTION 8 EXECUTION OF NECESSARY DOCUMENTS. The Chairman or Vice - Chairman and Secretary or Assistant Secretary of the Authority are hereby authorized and directed on behalf of the Authority to execute and deliver the Note to , upon receipt of the purchase price and are further authorized and directed to execute all necessary documentation and closing and delivery papers required by Bond Counsel; approve the disbursement of the proceeds of the Note, including any costs of issuance; to approve and make any changes to the documents approved by this Resolution, for and on behalf of the Authority, the execution and delivery of such documents being conclusive as to the approval of any changes contained therein by the Authority; and to execute, record and file any and all the necessary financing statements and security instruments, including but not limited to the documents approved hereby, and to consummate the transaction contemplated hereby. PASSED AND APPROVED THIS 18TH DAY OF OCTOBER, 2005. (SEAL) ATTEST: Sherry Bishop, Secretary THE OWASSO PUBLIC WORKS AUTHORITY C Craig Thoendel, Chairman