Resolution 2023-135 INSTR 6428725 OR 6268 PG 1865
RECORDED 7/14/2023 1:41 PM PAGES 8
CLERK OF THE CIRCUIT COURT AND COMPTROLLER
COLLIER COUNTY FLORIDA
REC$69.50
RESOLUTION NO. 2023-1 3 5
A RESOLUTION OF THE BOARD OF COUNTY
COMMISSIONERS OF COLLIER COUNTY, FLORIDA,
ACTING AS THE EX-OFFICIO GOVERNING BOARD OF
THE COLLIER COUNTY WATER-SEWER DISTRICT
AUTHORIZING THE BORROWING OF NOT
EXCEEDING $50,000,000 FROM THE POOLED
COMMERCIAL PAPER LOAN PROGRAM OF THE
FLORIDA LOCAL GOVERNMENT FINANCE
COMMISSION PURSUANT TO THE TERMS OF THE
LOAN AGREEMENT (UTILITY) AMONG THE
DISTRICT, JPMORGAN CHASE BANK, N.A., AND THE
COMMISSION IN ORDER TO FINANCE COSTS OF
VARIOUS CAPITAL IMPROVEMENTS TO THE
UTILITY SYSTEM, INCLUDING THE
REIMBURSEMENT OF ANY EXPENSES PREVIOUSLY
INCURRED BY THE DISTRICT IN CONNECTION
THEREWITH; AUTHORIZING THE EXECUTION OF A
LOAN NOTE OR LOAN NOTES TO EVIDENCE SUCH
BORROWING AND AGREEING TO SECURE SUCH
BORROWING WITH A SUBORDINATE PLEDGE OF
NET REVENUES OF THE UTILITY SYSTEM, ALL AS
PROVIDED IN THE LOAN AGREEMENT (UTILITY);
AUTHORIZING THE EXECUTION AND DELIVERY OF
SUCH OTHER DOCUMENTS AS MAY BE NECESSARY
TO EFFECT SUCH BORROWING; AND PROVIDING AN
EFFECTIVE DATE.
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
COLLIER COUNTY, FLORIDA, ACTING AS THE EX-OFFICIO GOVERNING
BOARD OF THE COLLIER COUNTY WATER-SEWER DISTRICT:
SECTION 1. DEFINITIONS. Unless the context of use indicates another
meaning or intent, the following words and terms as used in this Resolution shall have the
following meanings. Capitalized terms not otherwise defined herein shall have the
meanings ascribed thereto in the hereinafter defined Loan Agreement.
"Act" means, collectively, Part I, Chapter 125, Florida Statutes, Part II, Chapter
153, Florida Statutes, Part I, Chapter 163, Florida Statutes, Chapter 78-489, Laws of
Florida, Special Acts of 1978, as amended, and all other applicable provisions of law.
"Additional Payments" means the payments required to be made by the Public
Agency pursuant to Sections 5.02(b), 5.02(c), 5.02(d), 5.05, 6.06(e) and 8.04 of the Loan
Agreement.
"Bank" means JPMorgan Chase Bank, N.A., and any successors thereto.
"Board" means the Board of County Commissioners of Collier County, Florida,
acting as the ex-officio governing board of the Public Agency.
"Chairman" means the Chairman or Vice Chairman of the Board, and such other
person as may be duly authorized to act on his or her behalf.
"Clerk" means the Clerk of the Board and ex-officio Clerk of the Public Agency,
and such other person as may be duly authorized to act on his or her behalf.
"Commission" means the Florida Local Government Finance Commission, and
any assigns or successors thereto.
"County" means Collier County, Florida, a political subdivision the State of
Florida.
"Designated Revenues" means (1) Net Revenues as set forth in the Loan
Agreement, (2) the proceeds of the Loan pending the application thereof, and (3) the
proceeds of any obligations issued to refinance Loans made under the Loan Agreement.
"Draw Date" has the meaning set forth in the Loan Agreement.
"Loan" means the loan to be made by the Commission to the Public Agency from
proceeds of the Series A Notes in accordance with the terms of this Resolution and of the
Loan Agreement.
"Loan No. A-1 (Utility)" means the loan designated as "Loan No. A-1 (Utility),"
the proceeds of which shall be used to finance Utility Project A-1.
"Loan Agreement" means the Loan Agreement (Utility), to be executed in
connection with Loan No. A-1 (Utility) among the Public Agency, the Commission and
the Bank, as the same may be amended and supplemented, which Loan Agreement was
approved by the Board on October 25, 2022.
"Loan Note" means a note of the Public Agency evidencing the obligations
incurred under the Loan Agreement by the Public Agency on account of a borrowing of
money made in regard to a Loan, which shall be in substantially the form provided in the
Loan Agreement.
"Loan Rate" has the meaning set forth in the Loan Agreement.
"Loan Repayments" or "Repayments" means the payments of principal and
interest on the Loan Amounts payable by the Public Agency pursuant to the provisions of
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the Loan Agreement and all other payments, including Additional Payments, payable by
the Public Agency pursuant to the provisions of the Loan Agreement.
"Net Revenues" shall have the meaning ascribed thereto in the Utility Resolution.
"Parity Obligations" means the Public Agency's outstanding Water and Sewer
Refunding Revenue Note (Subordinate), Series 2016 and any other debt issued on parity
with Loan No. A-1 under the Loan Agreement.
"Program" means the Pooled Commercial Paper Loan Program established by
the Commission for which the Bank currently provides the Credit Facility.
"Public Agency" means the Collier County Water-Sewer District, a body
corporate and politic and a duly constituted political subdivision of the State of Florida
(the "State").
"Resolution" means this Resolution, as the same may from time to time be
amended, modified or supplemented.
"Senior Obligations" means (1) the Public Agency's Water and Sewer Revenue
Bond, Series 2018, Water and Sewer Revenue Bonds, Series 2019, Water and Sewer
Revenue Bonds, Series 2021 and Taxable Water and Sewer Refunding Revenue Bond,
Series 2023; (2) any obligations issued on parity with any of the obligations described in
clause (1) above; (3) any obligations issued to refund any of the obligations described in
clause (1) or (2) above; and (4) any obligations issued on parity with the obligations
described in clause (3) above.
"Series A Notes" means the Commission's Pooled Commercial Paper Notes,
Series A (Governmental Issue), to be issued from time to time by the Commission.
"System" shall have the meaning provided therefor in the Utility Resolution.
"Utility Project A-1" means the acquisition, construction and equipping of
various utility capital improvements as described on Exhibit A hereto and as more
particularly described in the plans and specifications on file with the Public Agency, and
as the same may be amended or modified from time to time.
"Utility Resolution" means the Public Agency's Resolution No. CWS-85-5,
adopted on July 30, 1985, as restated, amended and supplemented, and any successor
instrument thereto.
The terms "herein," "hereunder," "hereby," "hereto," "hereof," and any similar
terms, shall refer to this Resolution; the term "heretofore" shall mean before the date of
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adoption of this Resolution: and the term "hereafter" shall mean after the date of adoption
of this Resolution.
Words importing the masculine gender include every other gender.
Words importing the singular number include the plural number, and vice versa.
SECTION 2. AUTHORITY FOR RESOLUTION. This Resolution is
adopted pursuant to the provisions of the Act.
SECTION 3. FINDINGS. It is hereby ascertained, determined and
declared that:
(A) The Commission has been established for the principal purpose of issuing
commercial paper notes in order to provide funds to loan to public agencies, such as the
Public Agency, desiring to finance the cost of acquiring, constructing and equipping
capital improvements and to finance other governmental needs.
(B) In furtherance of the foregoing, the Commission shall issue, from time to
time, commercial paper notes to be known as "Florida Local Government Finance
Commission Pooled Commercial Paper Notes, Series A (Governmental Issue)" pursuant
to the Program and shall loan the proceeds of such Series A Notes to public agencies,
including the Public Agency.
(C) Pursuant to the authority of the Act, the Commission has agreed to loan,
from time to time, to the Public Agency such amounts as shall be authorized herein and
in the Loan Agreement in order to enable the Public Agency to finance, refinance and/or
reimburse the costs of the acquisition, construction and equipping of various capital
improvements to the System, including the Utility Project A-1, and the Public Agency
desires to borrow such amounts from the Commission subject to the terms and conditions
of the Loan Agreement.
(D) There is presently a need by the Public Agency to finance the acquisition,
construction and equipping of the Utility Project A-1 and the most cost-effective means
by which to finance the Utility Project A-1 is by use of moneys obtained pursuant to the
Program by means of Loan No. A-1 (Utility).
(E) The Public Agency hereby determines that the provision of funds by the
Commission to the Public Agency in the form of Loan No. A-1 (Utility) pursuant to the
terms of the Loan Agreement and the financing of a portion of Utility Project A-1 will
assist in the development and maintenance of the public welfare of the residents of the
Public Agency, and shall serve a public purpose by improving the health and living
conditions, and providing governmental services, facilities and programs and will
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promote the most efficient and economical development of such services, facilities and
programs.
(F) Loan No. A-1 (Utility) shall be repaid solely from the Designated Revenues
as described herein and in the Loan Agreement. Such Designated Revenues shall include
a pledge of and lien on the Net Revenues which shall be subordinate and junior in all
respects to the pledge of and lien on such Net Revenues granted to the holders of the
Senior Obligations and shall be on parity with the Parity Obligations. The ad valorem
taxing power of the County will never be necessary or authorized to make the Loan
Repayments.
(G) Due to the potential volatility of the market for tax-exempt obligations such
as the Note or Notes to be issued evidencing Loan No. A-1 (Utility), the complexity of
the transactions relating to such Note or Notes and the uniqueness of the Program, it is in
the best interest of the Public Agency to deliver the Note or Notes to the Commission
pursuant to the Program by a negotiated sale pursuant to Section 218.385(1), Florida
Statutes, allowing the Public Agency to utilize the Program in which it participates from
time to time and to enter the market at the most advantageous time, rather than at a
specified advertised date, thereby permitting the Public Agency to obtain the best
possible price, issuance costs and interest rate for such Note or Notes.
SECTION 4. TERMS OF LOAN NO. A-1 (UTILITY). The Public
Agency hereby approves Loan No. A-1 (Utility) in an aggregate principal amount of not
exceeding $50,000,000 for the purposes of providing the Public Agency with sufficient
funds to finance a portion of the costs of Utility Project A-1. The Chairman and the
Clerk are hereby authorized to execute, seal and deliver on behalf of the Public Agency a
Loan Note or Notes and other documents, instruments, agreements and certificates
necessary or desirable to effectuate Loan No. A-1 (Utility) as provided in the Loan
Agreement. The Loan Notes shall reflect the terms of the Loan or draws made on
account of Loan No. A-1 (Utility) and shall be substantially in the form attached to the
Loan Agreement as Exhibit D. The County Manager shall determine the dates and
amounts of the funding of Loan No. A-1 (Utility) in accordance with the terms of the
Loan Agreement as shall be determined necessary to finance the Utility Project A-1. The
repayment of the Loan or the draws made on account of Loan No. A-1 (Utility) shall be
made at such time or times as shall be determined by the County Manager and shall be
permitted by the Loan Agreement and set forth in the Loan Notes; provided, however, the
final maturity may not be later than five (5) years from the date of issuance. Loan No. A-
1 (Utility) is subject to mandatory prepayment in accordance with Section 5.06 of the
Loan Agreement. Draws made in regard to Loan No. A-1 (Utility) shall bear interest at
the Loan Rate in accordance with the terms of the Loan Agreement. The Public Agency
further agrees to make all Loan Repayments required of it pursuant to the terms of the
Loan Agreement. The letter of credit fee with respect to Loan No. A-1 (Utility) shall
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equal such amount as may be agreed upon between the Public Agency and the Bank so
long as such fee does not exceed 110 basis points.
SECTION 5. AUTHORIZATION OF UTILITY PROJECT A-1. The
Public Agency does hereby authorize Utility Project A-1 as described herein and the
reimbursement of any costs incurred by the Public Agency with respect to Utility Project
A-1 within the prior 60 days that are approved by bond counsel to the Program.
SECTION 6. SECURITY FOR THE LOAN. The Public Agency's
obligation to repay Loan No. A-1 (Utility) will be secured by a pledge of and lien upon
the Designated Revenues in accordance with the terms of the Loan Agreement. The
pledge of and lien on the Net Revenues, which constitute a portion of the Designated
Revenues, shall be subordinate and junior in all respects to the pledge of and lien on such
Net Revenues granted to the holders of the Senior Obligations and shall be on parity with
the Parity Obligations. The obligation of the Public Agency to repay Loan No. A-1
(Utility) shall not be deemed a pledge of the faith and credit or taxing power of the
County and such obligation shall not create a lien on any property whatsoever of or in the
County other than the Designated Revenues.
SECTION 7. RESOLUTION TO CONSTITUTE CONTRACT. In
consideration of the making of Loan No. A-1 (Utility) by the Commission, this
Resolution shall be deemed to be and shall constitute a contract between (i) the Public
Agency and (ii) the Commission and the Bank. •
SECTION 8. GENERAL AUTHORITY. The members of the Board and
the officers, attorneys and other agents or employees of the Public Agency are hereby
authorized to do all acts and things required of them by this Resolution and the Loan
Agreement, or desirable or consistent with the requirements of this Resolution and the
Loan Agreement, for the full punctual and complete performance of all the terms,
covenants and agreements contained in this Resolution and the Loan Agreement, and
each member, employee, attorney and officer of the Public Agency or its Board is hereby
authorized and directed to execute and deliver any and all papers and instruments and to
do and cause to be done any and all acts and things necessary or proper for carrying out
the transactions contemplated by this Resolution and the Loan Agreement.
SECTION 9. SEVERABILITY. If any one or more of the covenants,
agreements or provisions herein contained shall be held contrary to any express provision
of law or contrary to the policy of express law, though not expressly prohibited, or
against public policy, or shall for any reason whatsoever be held invalid, then such
covenants, agreements or provisions shall be null and void and shall be deemed separable
from the remaining covenants, agreements or provisions and shall in no way affect the
validity of any of the other provisions hereof
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SECTION 10. REPEAL OF INCONSISTENT RESOLUTIONS. All
resolutions or parts thereof in conflict herewith which seek short-term financing of the
Utility Project A-1 of the Program are hereby superseded and repealed to the extent of
such conflict.
SECTION 11. EFFECTIVE DATE. This Resolution shall take effect
immediately upon its adoption.
DULY ADOPTED, in Regular Session this l lth day of July, 2023.
COLLIER COUNTY WATER-SEWER
DISTRICT
(SEAL)
Chairman, Board of County Comissioners of
Collier County, Florida, as tom',- Ex-Officio
Chairman of the Governing Boar of the Collier
County Water-Sewer District
ATTEST: ,-
/ Rick LoCastro, Chairman
s4.44"1"t) D, 1V
C stal K. inzel;.C•lerk;, .w ,
By: ',Deputy le k:, Attest as to Chaimt! _ ;,
{ • sigutureonly.i.
Appro -• �'orm and Legality:
.0401tr
Jeffrey 1. K 1 •.w, District Attorney
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-
EXHIBIT A
UTILITY PROJECT A-1 DESCRIPTION
Utility Project A-1 generally includes the following, as more particularly
described in the plans and specifications on file with the Public Agency, as the same may
be modified from time to time:
NCWRF Preliminary Treatment Facility (Headworks) - Replace existing
headworks that are over 30 years old and have reached the end of their useful lives. The
project will include the installation of structures, screens, grit removal equipment, flow
splitting chambers, IQ Water pumps, electrical controls, and a new electrical service to
sustain compliance and meet demand with reliability through the upgrading of critical
wastewater treatment components.
Naples Park Public Utility Renewal - A multi-year program that provides full
replacement of water, wastewater, stormwater and transportation infrastructure in Naples
Park that has reached the end of its useful life. The program installs fire hydrants, water
mains, force mains, gravity sewer, stormwater, and roadway infrastructure. To date, six
streets are fully renewed, four have completed the water infrastructure renewal, and two
are currently under construction for full renewal. This section includes design and
construction of two more streets covering approximately two miles of complete
infrastructure renewal. Beyond those two streets, there are five remaining for full renewal
and four remaining for wastewater and stormwater renewal. This project continues the
Naples Park Public Utilities Renewal program sustaining compliance, meeting demand,
and providing reliability through continued proactive maintenance and replacement of the
system assets.
Palm River Public Utility Renewal - A multi-year ten area phased program that
provides full replacement of water, wastewater, stormwater and transportation
infrastructure in Palm River that has reached the end of its useful life. The program
installs fire hydrants, water mains, force mains, gravity sewer, stormwater, and roadway
infrastructure. To date, there are two areas currently under construction. This project
involves the next two areas that equates to approximately two miles of complete
infrastructure renewal. This project is part of the Palm River Public Utilities Renewal
program sustaining compliance, meeting demand, and providing reliability through
continued proactive maintenance and replacement of the system assets.