resolution

City of El Mirage — Regular Meeting (2020-07-07)

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06/17/20
 
 
 
 
RESOLUTION NO. R20-07-14 
 
 
A RESOLUTION OF THE MAYOR AND COUNCIL OF THE CITY OF EL 
MIRAGE, ARIZONA, APPROVING THE FORM AND AUTHORIZING THE 
EXECUTION AND DELIVERY OF A LOAN AGREEMENT WITH THE 
WATER INFRASTRUCTURE FINANCE AUTHORITY OF ARIZONA FROM 
ITS 
DRINKING 
WATER 
REVOLVING 
FUND 
PROGRAM 
WHICH 
INCLUDES AMENDMENTS TO LOANS NO.S 920100-06, 920127-08, 91A121-
10 AND 910154-13; DELEGATING THE DETERMINATION OF CERTAIN 
MATTERS RELATING THERETO TO THE MANAGER AND THE FINANCE 
DIRECTOR OF THE CITY; PROVIDING FOR THE TRANSFER OF CERTAIN 
MONEYS AND MAKING CERTAIN COVENANTS AND AGREEMENTS 
WITH RESPECT THERETO; AUTHORIZING THE TAKING OF ALL OTHER 
ACTIONS 
NECESSARY 
TO 
THE 
CONSUMMATION 
OF 
THE 
TRANSACTIONS CONTEMPLATED BY SUCH LOAN AGREEMENT AND 
THIS RESOLUTION AND DECLARING AN EMERGENCY 
 
 
WHEREAS, the Mayor and  Council of the City of El Mirage, Arizona (the “City”), has 
heretofore applied to the Water Infrastructure Finance of Arizona (the “Authority”), for a loan (the 
“Loan”) from the Authority’s Drinking Water Revolving Fund Program (the “Program”) to 
provide funds  to purchase long term storage credits to be applied to the groundwater replenishment 
obligations of the City in future years as well as payment of the  proportionate share of the City of 
expenses of administering the Program and any bonds issued by the Authority with respect thereto 
(collectively, the “Project”); and 
WHEREAS, the terms and conditions under which the Loan will be made and the 
obligations of the City with respect to the Loan will be set forth in a loan agreement to be executed 
and delivered by the City and the Authority (the “Loan Agreement”)  
WHEREAS, the Loan Agreement effects amendments to agreements heretofore entered 
into by the City and the Authority related to Loans No.s 920100-06, dated as of February 24,2006; 
920127-08, dated as of January 25, 2008; 91A121-10, dated as of September 11,2010, and 910154, 
dated as of August 31, 2012 (collectively, the “Prior Loans”), to conform terms relating to the 
incurrence of obligations on parity with the Prior Loans and the Loan ; and 
WHEREAS, the Loan and the loan repayments payable by the City pursuant to the Loan 
Agreement (the “Loan Repayments”) will be secured by a pledge of net revenues of the complete 
sewer and waterworks plant and system of the City (collectively, the “Source of Repayment”); and 
WHEREAS, the Mayor and Council of the City have determined that it will be beneficial 
to the citizens of the City to enter into and to perform the Loan Agreement, whereby the City will 
borrow not to exceed $9,000,000 from the Authority; and

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WHEREAS, the Loan shall be repaid on or before twenty-five (25) years from the date of 
the execution and delivery of the Loan Agreement, and the Loan shall bear interest at a rate not to 
exceed three percent (3%) per annum; and 
WHEREAS, there has been placed on file with the Clerk of the City and presented at the 
meeting at which this Resolution was adopted the proposed form of the Loan Agreement; 
NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND  COUNCIL OF 
THE CITY OF EL MIRAGE, ARIZONA, THAT: 
Section 1.  The form, terms and provisions of the Loan Agreement, in the form of 
such document (including the exhibits thereto) presented at the meeting at which this Resolution 
was adopted are hereby approved, with such insertions, omissions and changes, not inconsistent 
with the application of the City to the Authority or the requirements of the federal government or 
the Authority, as shall be approved by the Manager of the City, the execution of such document 
being conclusive evidence of such approval, and the Manager of the City is hereby authorized and 
directed, for and on behalf of the City, to execute and the Clerk of the City to attest and deliver, 
respectively, the Loan Agreement. 
Section 2.  For the payment of the principal of and interest on the Loan, the City 
shall pay the Loan Repayments provided for in the Loan Agreement.  The City shall also pay all 
other amounts required to be paid by the City pursuant to the provisions of the Loan Agreement. 
Section 3.  The obligation of the City to pay the Loan Repayments provided for in 
the Loan Agreement to make the other payments provided for in the Loan Agreement is limited to 
payment from the Source of Repayment, and the obligations of the City under the Loan Agreement 
shall not constitute nor give rise to a general obligation of the City or any claim against its ad 
valorem taxing powers, or constitute an indebtedness within the meaning of any statutory or 
constitutional debt limitation applicable to the City. 
Section 4.  The appropriate officials and officers of the City are hereby authorized 
and directed to take all action necessary or reasonably required to carry out, give effect to and to 
consummate the transactions contemplated by the Loan Agreement and to amend the agreements 
related to the Prior Loans to give effect to the provisions of the Loan Agreement, and by this 
Resolution, including, without limitation, the execution and delivery of any closing and other 
documents reasonably required to be delivered in connection therewith. 
Section 5.  If any section, paragraph, subdivision, sentence, clause or phrase of this 
Resolution is for any reason held to be illegal or unenforceable, such decision will not affect the 
validity of the remaining portions of this Resolution.  The Mayor and Council of the City hereby 
declare that it would have adopted this Resolution and each and every other section, paragraph, 
subdivision, sentence, clause or phrase hereof and authorized the execution and delivery of the 
Loan Agreement pursuant hereto irrespective of the fact that any one or more sections, paragraphs, 
subdivisions, sentences, clauses or phrases of this Resolution may be held illegal, invalid or 
unenforceable.  All resolutions or parts thereof, inconsistent herewith, are hereby waived to the

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extent only of such inconsistency.  This waiver shall not be construed as reviving any resolution 
or any part thereof. 
Section 6.  All actions of the officers and agents of the City including the Mayor 
and Council of the City which conform to the purposes and intent of this Resolution and which 
further the execution and delivery of the Loan Agreement as contemplated by this Resolution, 
whether heretofore or hereafter taken, are hereby ratified, confirmed and approved.  The proper 
officers and agents of the City are hereby authorized and directed to do all such acts and things 
and to execute and deliver all such documents on behalf of the City as may be necessary to carry 
out the terms and intent of this Resolution. 
Section 7.  All acts and conditions necessary to be performed by the City or to have 
been met precedent to and in the execution and delivery of the Loan Agreement in order to make 
it a legal, valid and binding obligation of the City will at the time of delivery of the Loan 
Agreement have been performed and have been met, in regular and due form as required by law, 
and no statutory, charter or constitutional limitation of indebtedness or taxation will have been 
exceeded in the execution and delivery of the Loan Agreement. 
Section 8.  All formal actions of the Mayor and Council of the City concerning and 
relating to the passage of this Resolution were taken in an open meeting of the Mayor and Council 
of the City, and all deliberations of the Mayor and Council of the City and of any committees that 
resulted in those formal actions were in meetings open to the public, in compliance with all legal 
requirements. 
Section 9.  The immediate operation of the provisions of this Resolution is 
necessary for the preservation of the public health and welfare and for the further reason that the 
execution and delivery at the earliest possible date of the Loan Agreement is urgently needed to 
attempt to secure the lowest possible interest cost to the City; therefore, an emergency is hereby 
declared to exist and this Resolution is enacted as an emergency measure and shall be in full force 
and effect from and after the passage and adoption by the Mayor and  Council of the City, as 
required by law, and this Resolution is hereby exempt from the referendum provisions of the 
Constitution and laws of the State of Arizona. 
Section 10.  After the execution and delivery of the Loan Agreement and upon 
receipt of the Loan from the Authority, this Resolution shall be and remain irrepealably until the 
Loan and the Loan Agreement and the interest thereon shall have been fully paid, cancelled and 
discharged. 
 
 
 
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PASSED AND ADOPTED by the  Council and approved by the Mayor of the City of El 
Mirage, Arizona, this 7th day of July, 2020. 
 
 
 
.................................................................................... 
Mayor 
 
ATTEST: 
 
 
 
 
........................................................................ 
City Clerk 
 
 
APPROVED AS TO FORM: 
 
 
 
 
........................................................................ 
City Attorney

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CERTIFICATION 
I hereby certify that the foregoing Resolution No. R20-07-14 was duly passed and adopted 
by the Mayor and Council of the City of El Mirage, Arizona, at a regular meeting held on the 7th 
day of July, 2020, and the vote was ........ ayes and ........ nays. 
 
 
 
.................................................................................... 
City Clerk