HomeMy Public PortalAbout1997_10_03SPECIAL MEETING MINUTES OF OCTOBER 3, 1997
A special meeting of the Leesburg Town Council was held on Friday, October 3, 1997 at 9:00
a.m., in the first floor executive conference room, 25 West Market Street, Leesburg. Notice having been
delivered to all members of Council prior thereto. The purposes of the meeting were to consider
legislation regarding bond financing by the Town of Leesburg, Virginia to finance improvements at the
town's airport. To award a contract for the airport T-hangar site development contract. To consider the
performance guarantee for a waterline to the Evergreen Mill Elementa~ School and to consider the
waterline reimbursement agreement for the school. The meeting was called to order by Vice-Mayor
William F. Webb, Jr.
COUNCILMEMBERS PRESENT
J. Frank Buttery, Jr.
Jewell M. Emswiller
Joseph R. Trocino
Kristen C. Umstattd
B. J. Webb
William F. Webb, Jr.
Mayor James E. Clem (absent)
STAFF MEMBERS PRESENT
Town Manager Stcven C. Brown
Deputy Town Manager Gary A. Huff
Director of Finance Paul E. York
Director of Utilities Randolph W. Shoemaker
Deputy Town Attorney Deborah Welsh
Assistant Director of Utilities Aref Etemadi
Airport Manager Juan Rivera
Airport Commission Chairman Stanley Caulkins
Discussion was held regarding the proposed bond financing for the airport project.
Mr. Hubbard Turner, a resident of 1107 Bradfield Drive, S.W., addressed the Council regarding the
proposed bond financing by the town to finance improvements at the airport. Mr. Turner submitted a
written statement which is made a part of the official record.
Ms. Linda Lee Pretty, a resident of 36 Phillips Drive, N.W., addressed the Council regarding the
expansion of the Leesburg Airport. Ms. Pretty submitted a written statement which is made a part of the
official record.
MOTION: On motion of Ms. Webb, seconded Ms. Emswiller, the following resolution was proposed and
adopted by a roll call vote.
9%232 - RESOLUTION - OF THE TOWN COUNCIL OF THE TOWN OF LEESBURG,
VIRGINIA AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS
OR NOTES IN THE MAXIMUM AMOUNT OF $1,000,000
WHEREAS, the Town Council of the Town of Leesburg, Virginia (the "Town
Council") has determined that it is advisable to authorize the issuance of general obligation
bonds of the Town of Leesburg, Virginia (the "Town") in the estimated maximum amount of
$1,000,000 to pay the costs of acquiring, constructing and equipping certain airport
improvements for the Town (the "Project") and to issue and sell a general obligation note in
anticipation of the issuance of such bonds (the "Note") of the Town in the maximum amount
of $1,000,000. The Town has held a public hearing on the issuance of the Note on
September 23, 1997.
THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as
follows:
SECTION I. Authorization of Note and Use of Proceeds. The Town Council hereby
determines that it is advisable to contract a debt and to issue and sell general obligation
bonds in the maximum principal amount of $1,000,000 and the Note in anticipation thereof.
The issuance and sale of such bonds and the Note are hereby authorized. The proceeds from
the issuance and sale of the Note shall be used to pay the costs of the acquisition,
construction and equipping of the Project.
SECTION II. Pledge of Full Faith and Credit. The full faith and credit of the Town
are hereby irrevocably pledged for the payment of the principal of and interest on the Note
as the same become due and payable. The Town Council shall levy an annual ad velorem
tax upon all property in the Town, subject to local taxation, sufficient to pay the principal of
and interest on the Note as the same shall become due for payment unless other funds are
lawfully available and appropriated for the timely payment thereof.
SECTION III. Details and Sale of Note. The Note shall be issued upon the terms
established pursuant to this Resolution and upon such other terms as may be determined in
the manner set forth in this Resolution. The Note shah be issued in fully registered form
and shah be dated such date as the Town Manager may approve. The Note shah be issued
in such principal amount as may be determined by the Town Manager provided such
amount does not exceed $1,000,000. The Note shall be issued upon the terms and conditions
set forth in the commitment letter from Crestar Bank and such commitment letter is hereby
accepted. The Note shah bear interest at a variable rate equal to 70% of 30 day LIBOR plus
1.06% and the Note shall mature not more than three years from its date. The Note shah be
issued upon such other terms as may be approved by the Town Manager.
SECTION IV. Form of Note, The Note shah be issued as a single registered note in
substantially the form attached to this Resolution as Exhibit A, with such appropriate
variations, omissions and insertions as permitted or required by this Resolution or approved
by the Town Manager.
SECTION V. Execution of Note. The Mayor and the Clerk of the Town are
authorized and directed to execute the Note and to affix the seal of the Town thereto and to
deliver the Note to the purchaser thereof.
SECTION VI. Registration, Transfer and Exchange, Upon surrender for transfer or
exchange of the Note at the principal office of the Town Manager, as Registrar, the Town
shall execute and deliver in the name of the transferee a new Note in an aggregate principal
amount equal to the Note surrendered and of the same form as the Note surrendered,
subject in each case to such reasonable regulations as the Town and Registrar may
prescribe. Any Note presented for transfer or exchange shall be accompanied by a written
instrument or instruments of transfer or authorization for exchange, in form and substance
reasonably satisfactory to the Town and the Registrar , duly executed by the registered
owner or by his or her duly authorized attorney-in-fact or legal representative. The Note
may not be registered to bearer.
A new Note delivered upon any transfer or exchange shah be the valid obligation of
the Town, evidencing the same debt as the Note surrendered, shah be secured by this
Resolution and entitled to aH of the security and benefits hereof to the same extent as the
Note surrendered.
SECTION VII. Non-Arbitrage Certificate and Tax Convenants. The Town Manager
and such officers and agents of the Town as he may designate are authorized and directed to
execute a Non-Arbitrage Certificate and Tax Covenants setting forth the expected use and
investment of the proceeds of the Note and containing such covenants as may be necessary
in order to comply with the provisions of the Internal Revenue Code of 1986, as amended
(the "Code"), including the provisions of Section 148 of the Code and applicable regulations
relating to "arbitrage bonds." The Town Council covenants on behalf of the Town that the
proceeds from the issuance and sale of the Note will be invested and expended as set forth in
the Town's Non-Abitrage Certificate and Tax Covenants, to be delivered simultaneously
with the issuance and delivery of the Note and that the Town Council shah comply with the
other covenants and representations contained therein.
SECTION VIII. Further Actions. The Town Manager and such officers and agents
of the Town as he may designate are authorized and directed to take such further action as
they deem necessary regarding the issuance and sale of the Note and aH actions taken by
such officers and agents in connection with the issuance and sale of the Note are ratified
and confirmed.
SECTION IX. Effective Date. Aoolicable Law. In accordance with Section 15.1-
277.2 of the Code of Virginia of 1950, as amended, the Town Council elects to issue the Note
pursuant to the provisions of the Public Finance Act of 1991. This Resolution shall take
effect immediately.
SECTION X. The Airport Commission is asked to maintain rental rates current
with the T-hangar market.
VOTE:
Aye: Council members Buttery, Emswiller, Trocino, Umstattd, B. J. Webb, William F. Webb
Nay: None
Absent: Mayor Clem
MOTION: On motion of Ms. Webb, seconded by Ms. Emswiller, the following resolution was proposed
and adopted.
97-233 RESOLUTION AWARD OF AIRPORT T-HANGAR SITE DEVELOPMENT
CONTRACT
WHEREAS, the north T-hangar development is an approved Capital Improvement Plan project
and on the FAA approved Airport Layout Plan (ALP); and
WHEREAS, the Town advertised for sealed bids for the site development only of the 24 new
aircraft T-hangars and proposals received on August 11, 1997, pursuant to state and local procurement
laws; and
WHEREAS, based on ten (10) complete and responsive proposals received, Prince William
Construction Company (PWCC) wa,v the low bidder with a bid of $290,861.94; and
WHEREAS, PWCC met all the requirements of the bid proposals; and
WHEREAS, PWCC was found to be a responsive and responsible bidder; and
WHEREAS, the airport staff recommends awarding the contract to PWCC.
THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as follows:
The Town Manager is hereby authorized and directed to enter into a contract in a form approved
by the Town Attorney with Prince William Construction Company in the amount of $290,861.94 for the
site development only, of twenty-four (24) new T-hangars at the Leesburg Municipal Airport.
VOTE:
Aye: Council members Buttery, Emswiller, Trocino, Umstattd, B. J. Webb, William F. Webb
Nay: None
Absent: Mayor Clem
MOTION: On motion of, and duly seconded, the following resolution was proposed and adopted.
9%234 - RESOLUTION - AUTHORIZING REIMBURSEMENT FOR WATER LINE
CONSTRUCTION
WHEREAS, construction of the Evergreen Mill Elementary School will require extension of a
10- inch water line from South King Street to the school; and
WHEREAS, the contractor for the school, Periui Construction, was required to provide the 10 -
inch water line extension under their contract with the County of Loudoun; and
WHEREAS, the town has requested Periui Construction to increase the line size to 16 inches in
order to provide an adequate source of water to serve future development along Evergreen Mill Road, both
within and outside existing corporate limits; and
WHEREAS, Perini Construction agreed to accept $53,424.00 as the town's share for the water
line upsize, based on unit costs for the approved water line design along Route 621; and
WHEREAS, the landowner, on whose property the school site is located, has proposed a new
alignment for this waterline through the property of Washington-Virginia Traditional Development, Sites,
Inc. (Leesburg South); and
WHEREAS, the reimbursement will only be paid to one of the two parties, either along Route
621 or through the property known as Leesburg South.
THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as follows:
The town manager is hereby authorized and directed to reimburse Washington-Virginia
Traditional Development Sites, Inc. upon completion of the 16-inch water line, an amount not to exceed $
$53,424.00.
VOTE:
Aye: Council members Buttery, Emswiller, Trocino, Umstattd, B. J. Webb, William F. Webb
Nay: None
Absent: Mayor Clem
MOTION: On motion of, and duly seconded, the following resolution was proposed and adopted.
97-235 - RESOLUTION - AUTHORIZING AN AGREEMENT AND APPROVING A WATER
EXTENSION PERMIT FOR LEESBURG SOUTH WATERLINE EXTENSION
WHEREAS, the construction drawings and final easement plat for Leesburg South Waterline
Extension serving the Evergreen Mill Elementary School are approved; and
WHEREAS, the developer, Washington-Virginia Traditional Development Sites, Inc., wishes to
proceed with installation of the public improvements without providing a performance guarantee; and
WHEREAS, the $466,674.00 performance guarantee for public improvements for the Evergreen
Mill Elementary School cannot be released until all the improvements for the Leesburg South Waterline
Extension are completed and accepted by the Town Council.
THEREFORE, RESOLVED by the Council of the Town of Lee~urg in Virginia as follows:
SECTION I. The Manager shall execute the contract in a form approved by the Town Attorney
for public improvements with Washington-Virginia Traditional Development Sites, Inc. for the waterline
improvements including a 16" waterline from South King Street to the Evergreen Mill Elementary School
site as shown on the plans approved by the Director of Engineering and Public Works for Leesburg South
Waterline Extension.
SECTION II. Thc $466,670 corporate surety bond issued by United States Fidelity and Guaranty
Company shall not be released until all waterline improvements referenced in Section I approved by the
Director of Engineering and Public Works for the Leesburg South Waterline Extension are installed,
inspected, approved and accepted by the Town Council.
VOTE:
Aye: Council members Buttery, Emswiller, Trocino, Umstattd, B. J. Webb, William F. Webb
Nay: None
Absent: Mayor Clem
MOTION: On motion of, and duly seconded, the meeting was adjourned.
Clerk of Council
owneS E. Clem, Mayor
of Leesburg