Loading...
HomeMy WebLinkAboutMINUTES - 08211990 - 1.1 N + TO: BOARD OF SUPERVISORS FROM: J. MICHAEL WALFORD, PUBLIC WORKS DIRECTOR DATE: August 21, 1990 SUBJECT: State Route 4 Interim Project, Westbound Lane Over Willow Pass SPECIFIC REOUEST(q OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION I. Recommended Action: Authorize Public Works Director to arrange for payment of $368,986.59 from the East/Central County Travel Corridor Area of Benefit to Security Pacific National Bank for the County's share of the annual base payment for the State Route 4 Interim Project. II. Financial Impact: The County's share of this project is $368,986.59 for 1990. This work is funded through fees collected within the East/Central County Travel Corridor Area of Benefit, (Fund 8189). III. Reasons for Recommendations and Background: On May 24, 1988, the Board of Supervisors executed a Joint Exercise of Powers Agreement with the Cities of Pittsburg and Antioch creating the Contra Costa Delta Highway Joint Powers Financing Authority. The Authority was created to issue bonds to finance the State Route 4 Interim Project, which consists of adding a westbound lane on State Route 4 over the Willow Pass. On June 7, 1988,the County entered into a Payment Agreement with the Cities of Antioch and Pittsburg to share the cost of repaying the bonds issued by the Authority. The bonds were issued on August 22, 1988, to be repaid during the next five years. A debt service payment of $992,700.00 is due on September 1, 1990. Continued on Attachment: X SIGNATURE• ,/ _ RECOMMENDATION OF COUNTY ADMINISTRATOR _ RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S): ACTION OF BOARD ON AVG APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS ✓ UNANIMOUS (ABSENT 1 AYES: NOES: ABSENT: ABSTAIN: I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. JMw: ATTESTED: AUG `I. 1 1990 asp ac0Ct�B021.t8 PHIL BATCHELOR,Clerk of the Board Orig. Div: Public Works (Acct.) of Supervisors and County Administrator cc: County Administrator County Counsel ) ' By aw /�3 A� Deputy Community Development Dept. City of Antioch City of Pittsburg Board of Supervisors State Route 4 Interim Project - Page Two The Payment Agreement requires that each participant's share of the debt service payment be adjusted annually based on each participant's prorata share of housing construction during the year. Based on the building permit activity for residential construction between June 1, 1989, and May 31, 1990, each jurisdiction's proportionate share of the annual debt service payment is as follows: Jurisdiction >Housag Urnts' Percentage ;!Payment Antioch 820 48.69% $483,345.63 County 626 37.17% $368,986.59 Pittsburg 238 14.14% $140,367.78 Total 1684 100.00% 1 $992,700.00 The County's proportionate share of debt service, $368,986.59, will be paid through fees collected within the East/Central County Travel Corridor Area of Benefit, which was established in 1987 specifically to pay for this project. The Transportation Committee has approved staff's recommendation. IV. Consequences of Negative Action: The Payment Agreement discloses that revenues paid by the County or the Cities on behalf of the Authority are subject to annual appropriations, and that there is no guarantee that the County or the Cities will appropriate such revenues. However, the County and the Cities acknowledged in the Payment Agreement that they fully intend to make the necessary annual appropriations. Withholding approval of this recommendation could cause a delay in the debt service\payment and could cause the Authority to default on the bonds. Rejecting this recommendatioG could also cause the Authority to default on the bonds. A default by the Authority would have a short term adverse impact on the credit rating of the County.