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HomeMy Public PortalAboutClean Water SRF - amendment 1 WW460730 1 CLEAN WATER STATE REVOLVING FUND AMENDMENT 1 TO LOAN AGREEMENT WW460730 CITY OF CRESTVIEW This amendment is executed by the STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION (Department) and the CITY OF CRESTVIEW, FLORIDA, (Local Government) existing as a local governmental entity under the laws of the State of Florida. Collectively, the Department and the Local Government shall be referred to as “Parties” or individually as “Party”. The Department and the Local Government entered into a Clean Water State Revolving Fund Loan Agreement, Number WW460730, authorizing a Loan amount of $150,000, excluding Capitalized Interest; and The Local Government is entitled to additional financing for Design Activities of $650,000, excluding Capitalized Interest; and Loan repayment activities need rescheduling to give the Local Government additional time to complete Planning and Design Activities; and Certain provisions of the Agreement need revision and several provisions need to be added to the Agreement. The Parties hereto agree as follows: 1. Section 1.01 is amended to include the following definition: “Design Activities” shall mean the design of work defined in the approved planning document that will result in plans and specifications, ready for permitting and bidding, for an eligible construction project. 2. Subsection 1.01(20) of the Agreement are revised as follows: (20) “Project” shall mean the Planning and Design Activities for effluent disposal expansion. 3. Subsections 2.01(5), (10) and (11) of the Agreement are deleted and replaced as follows: (5) To the extent permitted by law, the Local Government shall release and hold harmless the State, its officers, members, and employees from any claim arising in connection with the Local Government's actions or omissions in its Planning and Design Activities financed by this Loan. (10) The Local Government agrees to complete the Planning and Design Activities in accordance with the schedule set forth in Section 10.07. Delays incident to strikes, riots, acts of 2 God, and other events beyond the reasonable control of the Local Government are excepted. However, there shall be no resulting diminution or delay in the Semiannual Loan Payment or the Monthly Loan Deposit. (11) The Local Government covenants that this Agreement is entered into for the purpose of completing Planning and Design Activities in order to construct facilities which will, in all events, serve a public purpose. 4. Subsection 2.03(1) of the Agreement is deleted and replaced as follows: (1) The financial assistance authorized pursuant to this Loan Agreement consists of the following: State Resources Awarded to the Local Government Pursuant to this Agreement Consist of the Following Resources Subject to Section 215.97, F.S.: State Program Number Funding Source CSFA Number CSFA Title or Fund Source Description Funding Amount State Appropriation Category Original Agreement Wastewater Treatment and Stormwater Management TF 37.077 Wastewater Treatment Facility Construction $800,000 140131 5. Article IV of the Agreement is deleted and replaced as follows: ARTICLE IV - PROJECT INFORMATION 4.01. PROJECT CHANGES. After the Department's environmental review has been completed, the Local Government shall promptly notify the Department, in writing, of any Project change that would require a modification to the environmental information document. 4.02. CLOSE-OUT. The Department shall conduct a final inspection of the Planning and Design Activities records. Following the inspection, deadlines for submitting additional disbursement requests, if any, shall be established, along with deadlines for uncompleted Loan or Principal Forgiveness requirements, if any. Deadlines shall be incorporated into the Loan Agreement by amendment. After the Department establishes the final costs to be financed by the Loan, the itemized costs will be adjusted by amendment. The Loan principal shall be reduced by any excess over the amount required to pay all approved costs. As a result of such adjustment, the Semiannual Loan Payment shall be reduced accordingly, as addressed in Section 10.05. 3 4.03. DISBURSEMENTS. Disbursements shall be made only by the State Chief Financial Officer and only when the requests for such disbursements are accompanied by a Department certification that such withdrawals are proper expenditures. Disbursements shall be made directly to the Local Government for reimbursement of the incurred planning and design costs and related services. Disbursements for materials, labor, or services shall be made upon receipt of the following: (1) A completed disbursement request form signed by the Authorized Representative. Such requests must be accompanied by sufficiently itemized summaries of the materials, labor, or services to identify the nature of the work performed; the cost or charges for such work; and the person providing the service or performing the work; and proof of payment. (2) A certification signed by the Authorized Representative as to the current estimated costs of the Project; that the materials, labor, or services represented by the invoice have been satisfactorily purchased, performed, or received. (3) Such other certificates or documents by engineers, attorneys, accountants, contractors, or suppliers as may reasonably be required by the Department. Requests by the Local Government for disbursements of the planning and design funds shall be made using the Department’s disbursement request form. The Department reserves the right to retain 25% of the funds until the information necessary for the Department to prepare the Environmental Information Document as described in Rule 62-503.751, Florida Administrative Code, has been provided. 6. Section 8.03 of the Agreement is deleted and replaced as follows: 8.03. ACCESS TO PROJECT SITE. The Local Government shall provide access to offices and other sites where Planning and Design Activities or Project work (if financed by this Loan) is ongoing, or has been performed, to authorized representatives of the Department at any reasonable time. The Local Government shall cause its engineers and contractors to provide copies of relevant records and statements for inspection. 7. Additional financing in the amount of $650,000, excluding Capitalized Interest, is hereby awarded to the Local Government. 8. A Financing Rate of 1.60 percent per annum is established for the additional financing amount awarded in this amendment. Individually, the interest rate is 0.8 percent per annum and the Grant Allocation Assessment rate is 0.8 percent per annum. However, if this amendment is not executed by the Local Government and returned to the Department before January 1, 2023, the Financing Rate may be adjusted. 9. The estimated principal amount of the Loan is hereby revised to $804,300, which consists of $800,000 authorized for disbursement to the Local Government and $4,300 of Capitalized Interest. 4 10. An additional estimated Loan Service Fee in the amount of $13,000, for a total of $16,000, is hereby assessed. The fee represents two percent of the Loan amount excluding Capitalized Interest; that is, two percent of $800,000. 11. Section 10.05 of the Agreement is revised as follows: The Semiannual Loan Payment amount shall be $23,467. Such payments shall be received by the Department beginning on February 15, 2024, and semiannually thereafter on August 15 and February 15 of each year until all amounts due hereunder have been fully paid. Until this Agreement is further amended, each Semiannual Loan Payment will be proportionally applied, after deduction of the Loan Service Fee is complete, toward repayment of the amounts owed on each incremental Loan amount at the date such payment is due. The Semiannual Loan Payment amount is based on the total amount owed of $820,300, which consists of the Loan principal plus the estimated Loan Service Fee with its Capitalized Interest, if any. 12. Section 10.06 of the Agreement is deleted and replaced as follows: 10.06. PROJECT COSTS. The Local Government and the Department acknowledge that actual Project costs have not been determined as of the effective date of this Agreement. An adjustment may be made due to a reduction in the scope of work proposed for Loan funding as a result of the facilities planning process. Capitalized Interest will be recalculated based on actual dates and amounts of Loan disbursements. The final costs shall be established in the final amendment. Changes in costs may also occur as a result of the Local Government's audit or the Department's audit. Funds disbursed in accordance with Section 4.03 of this Agreement shall be disbursed in the order in which they have been obligated without respect to budgetary line item estimates. All disbursements shall be made first from the original Loan amount until that amount has been disbursed. The Financing Rate established for the original Loan amount shall apply to such disbursements for the purpose of determining the associated Capitalized Interest and repayment amounts. The Financing Rate established for any additional increment of Loan funds shall be used to determine the Capitalized Interest and repayment amounts associated with the funds disbursed from that increment. The estimated Project costs are revised as follows: CATEGORY PROJECT COSTS ($) Planning and Design Activities (Disbursable Amount) 800,000 Capitalized Interest 4,300 TOTAL (Loan Principal Amount) 804,300 13. The items scheduled under Section 10.07 of the Agreement are rescheduled as follows: 5 (2) Completion of all Planning and Design Activities for all Project facilities proposed for loan funding by August 15, 2023. (3) The Loan Debt Service Account shall be established and Monthly Loan Deposits shall begin no later than August 15, 2023. (4) The first Semiannual Loan Payment in the amount of $23,467 shall be due February 15, 2024. 14. All other terms and provisions of the Loan Agreement shall remain in effect. REMAINDER OF PAGE INTENTIONALLY LEFT BLANK Angela Knecht Digitally signed by Angela Knecht Date: 2022.12.06 09:24:26 -05'00'