14-059 - 07-15 - Interfund Loan Resolution 14-59 July 15, 2014
Member Schmidgall introduced the following resolution and moved its adoption:
RESOLUTION AUTHORIZING INTERFUND LOAN FROM STORM SEWER UTILITY
FUND TO WATER AND SEWER FUND FOR EMERGENCY WATER SUPPLY
WHEREAS, the City of Golden Valley is a member of a joint powers entity called the
Golden Valley-Crystal-New Hope Joint Water Commission (JWC), initiated in 1963; and
WHEREAS, the City Council attended tri-City meetings on May 7, 2012, May 23, 2013
and January 9, 2014 work sessions to review the feasibility study for an Emergency Water
Supply; and,
WHEREAS, the City Council passed Resolution 14-7 Ordering Construction of
Emergency Water Supply on January 21, 2014; and,
WHEREAS, financing of the Emergency Water Supply will be made by the Water and
Sewer Fund with an interfund loan from the Storm Water Fund; and
WHEREAS, a rate of 20 cents per thousand gallons of water used will charged to fund
the Emergency Water Supply and noted as a separate charge called Emergency Water
Supply; and
WHEREAS, the Emergency Water Supply will be funded by the cities of Golden Valley,
Crystal and New Hope serving as the Joint Water Commission; and,
WHEREAS, the City Council of Golden Valley has approved the loan for improvements
in section 1;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Golden
Valley as follows:
1. The Storm Water Fund shall receive payments with 2.6% interest from the Water
and Sewer Utility Fund. The payments are due by October 31 in each year below:
Date Principal Interest Total
10/31/2015 $172,000 44,720 216,720
10/31/2016 172,000 40,248 212,248
10/31/2017 172,000 35,776 207,776
10/31/2018 172,000 31,304 203,304
10/31/2019 172,000 26,832 198,832
10/31/2020 172,000 22,360 194,360
10/31/2021 172,000 17,888 189,888
10/31/2022 172,000 13,416 185,416
10/31/2023 172,000 8,944 180,944
10/31/2024 172,000 4,472 176,472
TOTAL $1,720,000 $245,960 $1,965,600
Resolution No. 14-59 July 15, 2014
2. The Water and Sewer Fund will be responsible to make payment for their share of
Emergency Water Supply to the Golden Valley-Crystal-New Hope Joint Water
Commission from the loan from the Storm Sewer Fund.
Shep d M. Harris, Ma or
ATTEST:
Kristine A. Luedke, City Clerk
The motion for the adoption of the foregoing resolution was seconded by Member Clausen
and upon a vote being taken thereon, the following voted in favor thereof: Clausen,
Fonnest, Harris, Schmidgall and Snope and the following voted against the same: none,
whereupon said resolution was declared duly passed and adopted, signed by the Mayor
and her signature attested by the City Clerk.