HomeMy WebLinkAboutReso 2008-080
RESOLUTION NO. 2008-080
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROPRIATING TWO HUNDRED FIFTY
THOUSAND DOLLARS FROM THE CASH RELEASED
FROM THE RESERVE FUND AND AUTHORIZING THOSE
FUNDS TO BE UTILIZED TO REIMBURSE THE GENERAL
FUND FOR ALL OUTSTANDING AND FUTURE STAFF
TIME CHARGES FOR THE CIVIC CENTER PROJECT
WHEREAS, on January 8, 2008, the City Council approved the second amendment to the
design build agreement with Highland Partnership, Inc., increasing the Guaranteed Maximum
Price (GMP) for Phase 3 of the Civic Center Renovations (GG300) by $1,699,514 to a total of
$40,045,514; and
WHEREAS, the City Council directed the staff to utilize all funds remaining in the
project to cover the increased costs associated with the GMP amendment, eliminating the funds
that were previously appropriated to the project and programmed for furnishing the former police
department building; and
WHEREAS, City staff time will not be able to be reimbursed on the project due to
insufficient project balances, causing a revenue drop to the general fund; and
WHEREAS, the Chula Vista Public Financing Authority (the Authority) has assisted the
City in financing the construction and equipping of the City's police facility through the
execution and delivery of the $60,145,000 City ofChula Vista 2002 Certificates of Participation
(the 2002 Certificates) pursuant to that certain Trust Agreement, dated as of June I, 2002 (the
Trust Agreement) between the City, the Authority, and U.S. Bank, N.A., as trustee; and
WHEREAS, in connection with the execution and delivery of the 2002 Certificates, the
Reserve Fund established under the Trust Agreement was funded in cash in the amount of
$4,063,500; and
WHEREAS, Section 6.02 of the Trust Agreement permits the Reserve Fund to be funded
with a letter of credit, a bond insurance policy or other credit facility (a Reserve Policy) instead
of cash; and
WHEREAS, on January 22, 2008, the City Council approved the replacement of the cash
in the Reserve Fund with a Reserve Policy; and
WHEREAS, the City Council also approved using the cash to be released to the City for
the payment of all or a portion of the lease payments due with respect to the 2002 Certificates,
with the balance being applied to pay any costs related to the acquisition, construction,
reconstruction, modernization and equipping of the Civic Center project or to reimburse the
Resolution No. 2008-080
Page 2
Public Facilities Development Impact Fee Fund for disbursements made to finance the Civic
Center project; and
WHEREAS, this action netted the City approximately $2 million with $ I. I
million available for use in completing the Civic Center project; and
WHEREAS, staff proposes that $250,000 of the $ I. I million be utilized to reimburse the
general fund for all outstanding and future staff time charges for the Civic Center project.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City ofChula Vista
that it appropriates $250,000 from the cash released from the Reserve Fund and authorizes those
funds to be utilized to reimburse the general fund for all outstanding and future staff time charges
for the Civic Center project.
Presented by
Approved as to form by
/
g and General Services Director
~A~~
Ann Moore
City Attorney
Resolution No. 2008-080
Page 3
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula
Vist~ California, this 18th day of March 2008 by the following vote:
AYES: Councilmembers:
Castaneda, McCann, Ramirez, and Cox
NAYS: Councilmembers:
None
ABSENT: Councilmembers:
None
ABSTAIN: Councilmembers:
Rindone
ATTEST:
cJ~
d~ K~JfoIJw0
Donna R. Norri's, CMC, Interim City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Donna R. Norris, Interim City Clerk of Chula Vista, California, do hereby certify that the
foregoing Resolution No. 2008-080 was duly passed, approved, and adopted by the City Council
at a regular meeting of the ChuJa Vista City Council held on the 18th day of March 2008.
Executed this 18th day of March 2008.
J~ I! rVo~
Donna R. Norris, CMC;Interim City Clerk