HomeMy Public PortalAboutResolution #2015-09, A Resolution Authorizing A Short Term Interfund Loan To Pay The MRT Phase II Expenses Until Grant Funds Are Obtained RESOLUTION NO. 2015-09
A RESOLUTION AUTHORIZING A SHORT TERM INTERFUND LOAN TO PAY THE MRT
PHASE II EXPENSES UNTIL GRANT FUNDS ARE OBTAINED.
WHEREAS, the City of Riverdale, Iowa(City) has entered into an agreement with the State of Iowa and the
Federal Government to construct Phase II of Mississippi River Multi-use Trail (MRTII) with State and Federal
Grant Funds. The project is identified as no. SB-IA-6492(602)-7T-82 (MRT II).
WHEREAS, the City will be reimbursed 80% from The National Scenic Byways Grant up to $494,956,
80% from Transportation Alternatives Grant up to $318,644, and
75% from State Recreation Trails Grant up to $318,644.
WHEREAS it is anticipated that the reimbursement of grant funds will take up to 2 to 4 weeks.
WHEREAS, the City has budgeted a total of$204,000 to pay the matching grant requirement.
WHEREAS, the grant funding will not be received until after the City has paid the invoices. This is estimated
to take two to four weeks to receive from the State who is also administering the Federal Funds.
WHEREAS, the City will need funds to pay the invoices which will be reimbursed at the above rates.
WHEREAS the City Council authorizes the City Clerk/Treasurer to pay the MRTII invoices with funds
borrowed without interest from a short term inter-fund loan that will be repaid during the fiscal year in which it
was barrowed. Amounts loaned will be repaid as soon as the grant funds are received less the Cities matching
requirement. The Matching Funds will be taken from the Capital Projects Fund.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Riverdale, Iowa that:
The Mayor and City Clerk/Treasurer are hereby directed and authorized to borrow up to $300,000.00 from the
General Fund and/or other funds for the purpose of paying MRT II invoices until reimbursement can be
obtained.
PASSED, APPROVED AND ADOPTED THIS 7 day of April 2015, by the following vote:
Ayes: Channon, Hupp, Seaberg
Littrel, Halsey Nays:
Absent:
ATTEST:
UGC 1
Sonya Pa ock, Mayor Paula McIntosh, City Clerk