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Res 1479 - Grant Cont Comm Dev COUNCIL BILL NO. 1884 RESOLUTION NO. 1479 A RESOLUTION ENTERING INTO A GRANT CONTRACT WITH THE STATE OF OREGON FOR A COMMUNITY DEVELOPMENT BLOCK GRANT FOR THE MILL CREEK FORCE MAIN AND INFLOW CORRECTION PROJECT AND AUTHORIZING THE MAYOR TO SIGN THE CONTRACT. WHEREAS, The City made application to the State of Oregon Economic Development Department for a $750,000 Community Development Block Grant for the Mill Creek force main and inflow correction project, and WHEREAS, The Economic Development Department has awarded the city the requested Community Development Block Grant; NOW THEREFORE THE CITY OF WOODBURN RESOLVES AS FOLLOWS: Section 1. That the City of Woodburn enter into a contract with the State of Oregon, acting through its Economic Development Department, which is attached as attachment "A" and by this reference incorporated herein, for a $750,000 Community Development Block Grant for the Mill Creek force main and inflow correction project. Section 2. That the Mayor is authorized to execute said contract and related documents as required by the contract on behalf of the city. Approved as to form: City Attorney Date Passed by the Council Submitted to the Mayor Approved by the Mayor Filed in the Office of the Recorder May 12. 1998 May 12. 1998 May 12. 1998 ATTEST: nnant, Recorder oOdbum, Oregon Page 1 - COUNCIL BILL NO. 1884 RESOLUTION NO. 1479 T'" __._'" ___,... ._...",,,,,_.._. ., _.4 ...._....~_,__....____ ~ RECIPIENT COP, STATE OF OREGON COMMUNITY DEVELOPMENf BLOCK GRANT PROORAM GRANT CONfRACT This Grant Contract is made and entered into by and between the State of Oregon, acting by and through its Economic Development Department ("State") and the City of Woodburn ("Recipient"). The reference number of this grant is P98003. The grant is subject to the regulations of the U.S. Department of Housing and Urban Development, 24 CPR Part 570, Subpart I, Title I of the Housing and Community Development Act of 1974, and Oregon Administrative Rules (OAR) Chapter 123, Division 80, as may be amended from time to time by the U.S. Congress, the Department of Housing and Urban Development or at the discretion of State, as the case may be. The State has reviewed the Recipient's application, submitted on January 9, 1998, and detennined the project, as hereinafter defined, is feasible and merits funding. 1. Incorponlted herein as part of this Grant Contract are: A. Notice of Grant Award, attached as Exhibit "A." B. Special Conditions of Award, attached as Exhibit "B." C. Recipient Certifications of Compliance with state and federal laws and regulations, attached as Exhibit "C." D. Approved project budget showing breakdown of sources offunds, attached as Exhibit "D." This exhibit supersedes the project budget submitted in the grant application. E. A description of the project approved by the State, attached as Exhibit "E." 2. In reliance upon the application and Certifications of the Recipient, the State agrees, upon execution of the Grant Contract, to provide the Recipient funds in the amount of$750,OOO, the use of which shall be expressly limited to the activities described in Exhibit "E." The use of these funds shall also be subject to the approved project budget in Exhibit "D" and the Special Conditions in Exhibit "B", ifany. 3. The obligation or expenditure of funds by the Recipient for the approved activities described in this contract is prohibited without the further express written authorization of the State, except that such funds may be obligated or expended by the Recipient for activities that are exempt as specified in 24 CFR Part 58.34, provided that each exempt activity or project meets the conditions specified for such exemption under the cited section. 4. The Recipient further agrees to comply and cause its agents and contractors to comply with all applicable state and federal laws and regulations in administering and distributing the funds provided under this Grant Contract, particularly those cited in Exhibit "C." F:\USERlCDSUPlTEMPlTEMP9100. WPO T' ~.T ".,.~,...._..__.....,.........;"---,~-....---~-'" , 5. The Recipient shall comply with state law when procuring property or services to be paid for in whole or in part with grant funds. State law includes Chapter 279 of the Oregon Revised Statutes and Chapters 137 (Divisions 30,35, and 40) and 125 (Divisions 300,310,340, and 360) of the Oregon Administrative Rules. The state's model rules for public bidding and public contract exemptions shall govern procurements under this contract even if the Recipient or its public contract review board does not adopt those, or similar, rules. If the Recipient or its public contract review board has adopted similar rules, those rules shall apply. 6. The State reserves the right to terminate this contract for just cause and without liability, upon notice, practical in the circumstances, to the Recipient. The State reserves the right to terminate this contract should the Recipient fail to perform as described in this contract. The State may impose sanctions on the Recipient for failure to comply with provisions of this contract or OAR Chapter 123, Division 80. When sanctions are deemed necessary, the State may withhold unallocated funds, require return of unexpended funds, require repayment of expended funds, or cancel the grant contract and recover all funds released prior to the date of notice of cancellation. 7. The Recipient shall be responsible for taking all action necessary to enforce the terms of this contract against any private or public participant who fails to comply with applicable provisions of this contract, and to recover on behalf of the State any liabilities that may arise as the result of the breach of this contract by any participant. Nothing in this paragraph shall restrict the State's rights to enforce independently the terms of this contract or to recover any sums that may become due as the result of a breach of this contract. 8. In the event the Recipient is unable to proceed with the grant project within four (4) months from the date of this contract, the State reserves the right to terminate this contract and recapture and reallocate the funds for other community development block grant purposes. 9. The approved grant activities must be completed within 2 years from the date of this contract (project Completion Date). 10. By the Project Completion Date, all project activities must be completed, including submission of the Project Completion Report and all Cash Requests (except audit costs, if applicable). The municipal audit for the final fiscal year of the project shall be submitted to the Oregon Economic Development Department as soon as possible after it is received by the Recipient, but no later than December 31 of the Project Completion Date year. 11. This contract shall be null and void if this contract is not executed by the Recipient by May 29, 1998. 12. Any modifications or changes to this contract must be in writing and signed by the parties. F:\U5ERICDSUP\TEMP\TEMP9100.WPD 'T' .,.,'''.....' ,_~~..d"__"_"""b'_ ~ --. ""!' . .- .lhis Grant Contract is hereby executed by the Parties, on the dates set forth below: STATE OF OREGON, acting by and through its Economic Development Department City of Woodburn (ReCipient) By:ll2 ~~./ (Signature) /;1/ 1;/' Yvonne Addington, Manager Regional Development Division By: ~A' k"~ -1 (Sigtlature) Title: Mayor Date: Date: May 12, 1998 Project Completion Date F:\USERlCDSUPlTEMPlTEMP9100.WPD ~' T- -...._~,...~_.._-"-"<"',..,-,.,..............-,...-...--,.---.........._~ OreO'Oll ~ E C 0 \ 0 .\\ 1 C J)[- \T1 0')'-1 1:\-1" - L~ l_\l~. EXHIBIT Page -1- of I If A J) ['I) "\ I) "1" '. ~ r" "1" , \ .1, L ,\ March 27, 1998 Honorable Nancy Kirksey MayorofV/oodburn 270 Montgomery Street Woodbu~ QR 97071 RE: WaterlWastewater Financing Program. Award, Project No. 098002, ($1,000,000), and Community Development Block Grant Award, Project No. P98003, ($750,000), City of Woodburn, Mill Creek Force Main & Inflow Correction Project (phase IT) Dear Mayor Kirksey: We are pleased to make the official announcement that your jurisdiction has been awarded $1,000,000 from the WaterlWastewater Fund and $750,000 grant from the Community Development Block Grant fund. These awards are to assist the city in completing the Mill Creek Force Main and Inflow Correction Project. The enclosed staffreport presents our analysis of your application and describes in detail the Special Condi~ions of Award. The WaterlWastewater Fund award is in the amount of a $515,000 bond loan and a $485,000 grant. The loan will be due starting December I, 1999. The loan will be amortized over 20 years and will be at an estimated 5.5 percent interest. A promissory note will accompany your award contract. The loan will be financed through the Oregon Bond Bank, a pooled revenue bond to be sold by the state in the summer of 1998. F:YJSER\COSUP\TEMPlTEMPll988.WPO 775 Summer St., NE . Salem, OR 97310 503-98(H)123 . ITY 503-986..{)I2J . Fax 503-581-5115 - Governor John A. Kitzhaber TMdcpanmenl is an MJUD....'*""" In alIIIpIIanoe with Seaioa S04 0/ the Rthab, Act 0/ 1973 ,. yo _~_w,.o..-,..."_..__._"<_,,......~____~_ ,..' _ '. r morable Nancy Kirksey March 27, 1998 Page 2 of 2 EXHIBIT A Page --!:.- of I If Actual funding from both programs is subject to negotiation of a contracts between your jurisdiction and the Oregon Economic Development Department.. A contract document for each - program will be sent to you in a short time for your signature. . This offer will be extended 60 days from the date of this letter. If you have any questions. please can Laird Bryan, WaterlWastewater Fund Project Coordinator, at (503) 986-0138 or Mal)' McGowan, Community Development Block Grant Program Project Coordinator, at (503) 986-0132. Sincerely, JtUt, M/ Yvonne L. Addiniton, Manager Regional Development Division !} Enclosure c: Samuel Sirkin Betty Pongracz Art James Randy Rohman Jane Jensen-Davis Mal)' McGowan Laird Bryan F:\USER\COSUPlTEMPlTEMP6988,WPO T' . d........-~ . ., March 20, 1998 EXHIBIT Page -L of I If A Gregor. DATE: To: Yvonne L. Addington, Manager Regional Development.Division INTEROFFICE MEMO Betty Pongracz" Manager Infrastructure Development Jane Jensen-Davis, Manager Community Development FROM: Laird Bryan, Project Coordinator ~ Infrastructure Development Tom Meek, Fmancial Analyst IA Infrastructure Development Mary McGowan, Project Coordinato~ Community Development SUBJECf: Water /Wastewater Financing Program, Application No. APP328, ($1,000,000), and Community Development Block Grant, Application No. APP427, ($750,000), City of Woodburn, Mill Creek Force Main & Inflow Correction Project (phase IT) RECOMMENDATION: Amount Requested Community Development Block Grant Grant WaterlWastewater Financing Program Bond Loan Amount RequeSted 1,750,000 (100%) Amount Recommended Total Economic Development Funds Department of Environmental Quality/state Revolving Funds and City Funds Total Project Cost Non-Cash Grant ~aterlWastewater) 1,750,000 . (100%) 1,329,000 750,000 . 485.000 515.000 1,750.000 1,329,000 $ 3,079,000 $ 3,079,000 $ 15,000 ~s.:=:::.~ NEED: The City of Wood bum is faced with about $40 million worth of improvements to its sewer system in order to comply with a "Stipulated and Final Order" issued by the Department of Environmental Quality for numerous violations. The wastewater treatment plant's efiluent exceeds the mass discharge limits ofits permit, contributing to the Pudding River being classified as a water-quality-limited stream. The city is also burdened by raw sewage overflows from manholes and lift stations during floods. F:\USER\COSUPlTEMPlTEMP8985,WPO .' .._~. y of Woodburn .~.tafch 20, 1998 Page 2 of 9 SOLUfION: The.Mill Creek force main and inflow correction project (phase IT) will identiJY and eliminate , direct 'storm water connections and stop the overflows; . this is an important part of the overall solution. Phase II is estimated at $3,079,000 and is eligIole for WaterlWastewater Fmancing Program and Community Development Block Grant funding. The Department of Environmental Quality and the city will also contribute to this phase and the remainder of the estimated S38,ooO,000 project. EXHIBIT A Page ~ of 1'1 CONDITIONS OF AWARD: Based upon the following analysis, we recommend that the City of Woodburn be awarded Sl,ooo,ooo from the WaterlWastewater Fmancing Program. consisting ofa S515,ooo bond loan and a $485,000 grant, and a $750.000 grant from the Community Development Block Grant program for Phase II of the Mill Creek project, subject to the following conditions: 1. The loar. interest rate is quoted for analysis purposes at 5.5%. The final rate will be set at the neXt bond sale of revenue bonds through the Oregon Bond Bank. The final interest rate will be a pass through of the actual interest rate of the specific series of the bond sale. 2. The loan shall amortize for a period of20 years. No prepayments will be allowed for a period of eight years following the closing of the loan, subject to the following conditions: 3. The principal and interest on the loan shall be payable from the revenues of the city's wastewater fund, which remain after payment of operation and maintenance costs (the "net revenues"). 4. The city shall not incur any obligations payable from or secured by a lien on and pledge of the net revenues that is superior to or on a parity with the loan unless the net revenues will not be less than 110 percent of the aggregate annual debt service on such senior lien or parity obligations. Prior to the issuance of any senior lien or parity obligations. the city shall deliver to Oregon Economic Development Department a certificate demonstrating that the requirements of the paragraph are satisfied. 5. The city shall charge rates and fees in connection with the operation of the system. which when combined with any other gross revenues, are adequate to generate net revenues each fiscal year at least equal to 1.10 times the annual debt service due in the fiscal year on the loan, any outstanding senior lien obligations and any additional obligations issued on a parity with the loan pursuant to paragraph 4 above. 6. The city may establish a debt service reserve fund to secure obligations that are issued on a parity with the loan pursuant to paragraph 4 above. .... The city may provide that such .debt service reserve fund is not pledged to the payment of the debt service on the loan if the net revenues ~f the system are deposit~ into such debt service reserve fund only after provision is made for tfie payment of debt service on the loan during the current fiscal year. F:\USER\COSUPlTEMPlTEMP8985,WPQ T' ...'T ~. ,_'~__'''_'''''n'._^,m.~..._...__~, ,._,_",_~.........._-..-..,-.~_"'_ ... 'ity of Wood bum _..{arch 20, 1998 Page 3 of 9 7. The loan shaD be payable from the general fund of the city and shall be" a full faith and credit obligation of the city, which is payable from any taxes which the city may levy within the limitations of Article XI of the Oregon Constitution: EXHIBIT fi Page ~ of lei 8. Any known or newly d~vered storm water cross connection must be disconnected from the wastewater coUection sYstem during this construction project. 9.. The construction project cannot be advertised for bid until the Department ofEnvironmentaI Quality approval of the construction plans and specifications is received and a copy is provided to the Department. ~ Award is approved as recommended. Award is not approved. Award must be amended as follows. ~~~~ Betty Po~ Manager Infrastructure Development '!2-'(CJ l' Date d::rIr- ~ur 1 e e -Davis, Manager Co nity Development 3/2.3/9r Dat~ I. d~ ?uz:c. Yvonne L. Addington, Manager ~ ~onaJ Development Division f? 3/?t Date I F:\USER\COSUP\TEMP\TEMP8985.WPO T' .. 'Y-O ~"..,,,..........,;,,,,--......._.-,----~.~......-...-,"^....-~------,,~".-+,,,",",",,-~,~, .>..",^~...._.~ .y of Woodburn March 20, 1998 Page 4 of 9 The project analysis and engineering feasibility sections of this report were "prepared by Laird Bryan and Mary McGowan. The financial feasibility section of this report was prepared by Tom Meek. Please refer to the attached final application from the City of Woodburn. EXHIBIT If Page -L.. of IIf I PROJECI'DESCRIPTION: In July 1988, Woodburn placed a new pre-aeration basin on-line at the wastewater treatment plant expecting to resolve biological oxygen demand violations. Unfortunately, the plant experienced an even greater number of biological oxygen demand violations, and significant suspended solids and fecal coliform violations. By September 1988, Woodburn was issued a "Notice ofNoncompliancc" by the Department of Environmental Quality. Numerous violations continue and a "Stipulated and Fmal Orde~ was issued in 1992. The Environmental Protection Agency notified the city in 1993 that the Pudding "~ River had been classified as a water-quality-limited stream. The city is also faced with raw sewage overflows from manholes and lift stations caused by excessive storm water inflow into the sewer collection system during storm events. The overflows are not a compliance issue yet. but the city will be required to fix the problem eventually. n ENGINEERING F'EAsmILITY: General Background: The city has completed its comprehensive wastewater facilities plan and began engineering on an estimated $38,000,000 improvement project. The project is separated into the three primary phases described below: Phase I (estimated at $900,000) Interstate S Force Main Project is primarily a capacity project, but will help elirninate raw sewage overflows during times of floods. The city is hunying to get this phase completed by this spring in order to keep the overall project on schedule. Phase n (estimated at $3,079,000) Mill Creek Force Main and Inflow Correction Project will prevent raw sewer overflows and eliminate storm water connections. Although the overflows are not a compliance issue, eliminating the inflow of storm water into the collection system corrects a compliance issue. (This is the phase to be funded by the WaterlWastewater FiDancing Program & Community Development Block Grant and is further described in the "Proposed Improvement" section of this report.) Phase ill (estimated at $34,021,000) Wastewater Treatment Plant Project is the largest and final phase needed to eliminate discharge permit violations. The work includes new head-works, primary and secondary clarifiers, activated sludge basins, deep filters, ultraviolet disinfection, new outfall, operation buildings, and an 88-acre poplar tree plantation system. This phase, scheduled for completion near the end of2ooo, will be funded by the Department of Environmental Quality. F:\lJSER\COSUP\TEMPlTEMP89B5,WPQ 1" ."-y+ . ^^'''''''''''"'''-~-''''~';""''-'~-'--''~'-'''-.'''.~'-'''-'''-'"",._._~"., .....,. ...- f ~ .- y of Wood bum March 20, 1998 Page 5 of 9 Proposed Improvements (phase 11): These improvements will be funded by the WaterlWastewater Financing Program, Community Development Block Grant Program, city funds. and the Department of Environmental Quality's State Revolving Fund program. EXHIBIT If Page -.:1- of It! The Mill Creek Force Main and Inflow Correction Project updates the city's main lift station, installs a 24" force main, artd carries out collection system rehabilitation work more specifically described as: Lift Station Update Force Main Installation Inflow Correction Minor modifications will be made to increase the reliability of the Mill Creek lift station, including the replacement of the fuel tank for the emergency generator, so the lift station and force main can handle 16 million gallons of sewage per day. Installing approximately 12,500 feet of24"-diameter ductile ironforce main connecting the.MiQ Creek lift station to the city's treatment facility. Work to control inflow and infiltration into the collection system, including the insertion of approximately 5,000 feet of cured-in-place pipe 'liner into existing sewer lines, reconnecting and grouting of laterals, and rehabilitation of manholes. The work will also include the cleaning and inspection of approximately 1,500 feet of sewer lines to identifY and correct ground water infiltration. Readiness to Proceed: The city has a commitment from the Department of Environmental Quality for a $24,000,000 loan from the State Revolving Fund program. Phase I is scheduled for'completion this spring. Recommendation by Source (Phase ID: The following table shows only the Phase IT project and its funding sources: Mill Creek Force Main & Inflow Correction Project (Phase II) Sources Uses Grant $ 485,000 Water /Wastewater Financing Program Bond Loan 515,000 Mill Creek Force $ 2,929,000 Main Project Community Development Block Grant 750,000 State Revolving Fund 500,000 Stann Inflow (Department of Environmental Quality) Correction Work 150,000 City Funds 829,000 Total $ 3,079,000 Total $ 3,079,000 F:\USERICOSUPlTEMPlTEMP8985.WPO T'- . ... . ........ . . .....",~ ...... _........, . _,,,__',~.___''"4<-_.~.,,,"_'4...<''''''''''''''_._".. y of Wood bum .rch 20, 1998 Page 6 of 9 EXHIBI1s A- Page --E- of 11/ Anticipated Total Project by Source (All Phases): The following table shows the anticipated total $38,000,000 project, including all phases, and the funding sources: Woodburn Wastewater Improvement Project (All Phases) Sources Uses Department of state Revolving Fund $ 24,000,000 (phase I) Interstate 5 Force Environmental Main Project $ 900,000 Quality Bond Funds 11,081,000 City Funds 1,169,000 (phase II) Mill Creek Force 3,079,000 WaterlWastewater Financing Program 1,000,000 Main Project Community Development Block Grant 750,000 (phase III) Wastewater 34,021,OOQ (Anticipated) Treatment Plant Project Total $ 38,000,000 Total $ 38,000,000 ill FINANCIAL FEASIBILITY Financial Structure Loan ................................... $ 515,000 Grant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $ 485.000 Total Award ............................. $ 1,000,000 Non-Cash Grant ....................... ,. .. $ 15,000 Community Development Block Grant ......... $ 750,000 The loan will be repaid with the net revenues of the city's wastewater fund. The loan will also be secured by the city's full faith and credit pledge of its General Fund subject to the limitations of Article XI of the Oregon Constitution. This project is part ofa larger project totaling $38,000,000. From a financial standpoint, the $750,000 requested from the Community Development Block Grant program is recommended. Financial Summary A financial summary for the city is attached. The city has managed its resources with fiugality and has limited its debt load. Creditworthiness Criteria A list of the indicators of creditworthiness for the city is attached. Out of 19 applicable indicators, the city meets 18. It is an excellent ,credit. The city fails to meet our guidelines in only one category-the top ten taxpayers make up over 35% of total collections. This ratio is perhaps more a function of the fact that 62.90.10 of the residents are of low and moderate income rather than the city being dominated by a few large industries. F:IUSER\COSUP\TEMPlTEMP8985,WPQ T' ,,- ,y~ , .. ."........'W".,.~"'_,_,._."._.,.j.~."~...,.,~_...--.,..~,..~,.'_ ...... .......--- .ty of Woodburn arch 20, 1998 Page 7 of 9 The top ten taxpayers are made up of a varied group of retailers, distnoutors, light manufacturers, and utilities. Because this is a varied group, the risks associated with a few large taxpayers does not appear to be present here. EXHIBIT A- Page -L of If ~ In November 1995, the city adopted the foUowing wastewater rates: Residential Industrial CommerciaUOther $20.20 for up to 500 aJblc feet plus Individually charged $25.54 for up to 600 cubic $3.59 for each additional 100 cubic amount of flow and feet plus $5.49 for each feet based on winter average use pollutants in flow additional 1 00 cubic feet For purposes of comparison with the statewide average, we estimate average mid-winter usage at 7,000 gallons or 936 cubic feet (7,OOOn.48): $20.20 + (4.36 x $3.59) = $35.85 For similarly situated municipalities facing similar construction projects, $35.85 is above the statewide average. The November 1995 rate increase was set so that the city could borrow the $33 million needed for the construction. However, the city now believes that it will have to raise rates again in order to pay the total amount necessary for debt service and operations and maintenance for the completed project. It is our policy to award grants only when the rates for the municipality equal or exceed the statewide average. Woodburn meets this test. Pro-Forma Statement of Cash Available for Debt Service First Year Second Year Third Year Total Revenues $ 3,5n,500 $ 5,579,900 $ 5,469,800 Operating Expenses (1,634,800) (1,694,600) (1,584,500) Estimated SRF1 Debt Service (288,206) (288,206) (288,206) ($4 MM @ 3.87% fQr 20 years) Estimated SRF2 Debt Service (1,468,000) (1,468,000) (1,468,000) ($20 MM @ 3.97% for 20 years) Estimated SRF3 Debt Service (954.023) (954.023) ($13 MM @ 3.97% for 20 years) Cash Available for Debt Service 186,494 1,175,071 1,175,071 Water /Wastewater Financing $ 43,095 $ 43.095 $ 43,095 Program Debt Service Debt Service Coverage Ratio 4.3:1 27:1 27:1 The WaterlW~t~water debt service is based on $515,000 @5.5% interest for 20 years. F:IUSERICOSUP\1EMP\1EMP8985,WPO T' ""-'T" ..^,'_"u'_L.. .~...""_._"_._~._--"....,"~"""""",,,,,,-___'~"" ".." ....ity of Woodburn ...arch 20, 1998 Page 8 of 9 Although it appears that there is more than enough cash to fund debt service for the entire $1,000,000 requested, it must be remembered that the estimated interest rate for the second and third State Revolving Fun9 loans may not be the final interest rate. Increases in the interest rate may well use up the excess'cash and"decrease the debt service coverage ratio. EXHIBIT IJ Page -1..!L of I st Moreover, the final operating expenses for the system are estimates. Under these circumstan~ it would not be prudent to lend more than $515,000. Our underwriting guidelines require at least a 1200.10 coverage ratio on debt service. The city's Wastewater Fund can support a loan of$515,OOO @ 5.5% for 20 years. GrantlLoan Split A non-cash grant of$15,ooo for bond insurance costs must be included in the financing package. This amount, when added to actual project funds, cannot exceed $500,000. Hence, the grant must be no greater than $485,000, leaving the loan at $515,000 to total the $1,000,000 needed by the city for the project. These circumstances will still be present if the city receives the requested Community Development Block Grant. A city with a population of 62.9'>>.10 low and moderate income and with rates in excess of the statewide average. from a financial standpoint, has a need for the maximum grant. Hen~ unless the situation changes, the city will also receive a grant of $750,000. Security As security, the city will plec:tge its Wastewater Fund. The city will also promise to repay the loan with a full faith and credit pledge of the city's general fund subject to the limitations of Article XI of the Oregon Constitution. In the 1995/96 fiscal year, the city paid off its Series 1977 Wastewater Bonds. As of June 30, 1996, the city had no bonded debt supported by this fund. Revenue Bond Financing As stated above, Woodbum meets 18 out of 19 Bond Bank underwriting criteria. It is appropriate to fund this project with the sale of Oregon Bond Bank Revenue Bonds. The breakdown of such financing will be as follows: Bond Proceeds .... $ Collateral Loan .... $ Total Loan . . . . . . . . $ Grant . . . . . -. -~~ ~ . . . $ Total Award ...... $ 430,000 85.000 515,000 485.000 1,000,000 F:\USERICOSUPlTEMPlTEMP8985,WPQ r T- .+y of Wood bum .ifch 20, 1998 Page 9 of 9 A EXHIBIT Page -1L of 1'1 Cost Comparison: In the following table, we compare funding through the Oregon Bond Bank to the costs the city would incur with financing from another source: Comparison Project Amount Grant Amount Debt Service Reserve Issuance Costs Total Loan Amount Interest Rate Tenn On years) Payment Annual Interest Earnings Total Payments Total Anticipated Savings Water! Wastewater $ 1.000.000 485,000- o o $ 515.000 5.5% 20 $ , 43.095 o . 847.735 $ 9~,485 Non-Water! Wastewater $ 1,000,000 0 100,000 20,000 $ 1.120,000 5.85% 20 $ 96,461 5,850 $ 1.812,220 r~N~.':'~~~ :,VN~'.~W.~~" : ,~~~~:::'~;1 ~~ IV FINDINGs: The Infrastructure Development Section has investigated the WaterlWastewater project discussed in this report, and on behalf of the Oregon Economic Development Department, finds that the infrastructure project complies with ORS 285.755 through 285.763 and 285.950 through 285.968. . ELIGmILITY /NATIONAL OBJECI'lVE: 1. Eli2Jole Activities. The activities proposed in the application are eligible under Section l05(a)2 of the Housing and Conununity Development Act of1974, as amended, and state program rules. 2. National Obiective. The public works project, once constrUcted, will meet the Oregon Conununity Development Block Grant National Objective or principal benefit to low-and moderate- income persons. The basis for the detennination is a local survey approved by the Deparbnent. Of the beneficiaries, 62.90.10 will be low-and moderate-income persons. 3. The Conununity Development Section has investigated the wastewater project discussed in this report and, on behalf of the Oregon Economic Development Department, has detennined that the project meets all of the applicable Project Selection Criteria in Part 2 of the 1998 Oregon Community Development Block Grant Applicant's Handbook. Attachments: Financiat Summary Underwriting Indicators Final Application F:\USER\COSUP\TEMPlTEMP8985,WPO T'. .-"T -- EXHIBIT !+ We Page...13:- of ''f n Fir'. .Al SUMMARY Municipal Financial Position 1994 1995 1996 Property Tax CoUections Property Tax Rate $5.21 $5.61 $5.58 Consofldated Rate $20.88 $18.36 $17.08 Non-6chool Rate $10.30 $7.99 $10.~ Municipal Levy $2,393,874 $2, n8,886 $3,173,449 Cunent Collection Rate 9322% 95.90% 96.01% Total. Collection Rate 99.06% 93.62% 99AO% 1994 1995 1996 General Fund Unreserved Ending Fund Balance $1,024,975 $1,007,233 $1,153,797 &pendltures $1,832,891 $2, 190,330 $2,629,122 Fund BalancelExpenclltures 55.92% 45.99% 43.89% Total Revenues $2,310,847 $2,548,280 $2,895,143 Intergovernmental Revenues. $174,864 $170,194 $251,006 IntergovemmentaUTotal 7.57% 6.68% 8.67% Municipal Debt Position Gross Bonded Debt $1,784,000 Net Direct Debt $1,580,000 Net Direct DebtJFull Valuation (mry) 0.27% Net Direct OebtlPopulation $100 Net Direct Debt Service (mry) $176,060 Percent of Debt Retired in 10 Yrs 75.00% Net Direct Debt SeM ndltures 6.70% 1000rtapping Debt UtiJityIEnterprise Fund Financial Positio WastfNoIater Fund 1994 1995 1996 Connections (mry) nla nla 5,200 SeIt-&Jpporting Debt Outstanding $585,000 $450,000 $0 Debt Per Capita 0 Total Revenues $1,129,429 $1,629,843 $2,802, 121 OperatIng Expenses $1,144,573 $1,332,618 $1.284,654 Annual Debt Service $145,142 $213,760 $529,962 Operating Ratio 0.66 0.82 0.46 Debt Service Coverage 4.03 1.39 2.86 Net Take Down 0.34 0.18 0.54 ~ Working Capital $1,272,883 $1,330,076 $2.485,571 Accounts Receiveable 5.01% 2.46% 2.48% ~ 10 Customers as a % of Revenue 6.28% Generaf Economic and Demographic Data Population Full Market Valuation Fun Value Per Capita Top 10 Tax Payers as % oftotal colrs To 10 Tax Pa ers as a % of Full Value County Per Capita Income (yr:'1994) state Per Capita Income Cou fState County Unemployment rate (yr:1996) State Unemployment .rate CoUntylState . 1990 m : most recent ear ,.... '-_........'. 1996 15,780 $583,348,000 $36,968 35.74% . /0.00% $18,481 $20,471 90.28% 4.30% 4.70% 91.49% "" T. Meek 18-Nov-97 3 Year Ave e 95.04% 97.36% 48.60% 7.64% EXHIBIT If 20 ~ATORS Page..l.1!.- of It{.. -= ITEM SUBJECT STANDARD SCORE MUNICIPAL FINANCIAL POSmON Total Tax Collection (3 yr. Avg.) 97.36% >95% + Current Tax Collection (3 yr. Avg.) 95.04% >87% + Urnserved Gen1 Fund/Expenses (1) (mry) 43.89% >3% + External Revenues to Total Revenues (3 yr. Avg.) 7.64% <20% + MUNICIPAL DEBT POSITION Gross Direct Debt to Population (mry) $100 <1,000 + Gross Debt Service to budgeted Expenses (mry) 6.70% <20% + % of Debt Retired in 10 Yrs. 75.00% >60% + Gross Direct Debt to Full Value (mry) 0.27% <2.5% + UTILITY FINANCIAL POSITION Connections - Sewer (mry) 5200 >1,500 + Water I Sewer Debt Per Capita (mry) $0.00 <$650 + Net Debt Coverage (mry) 286.34% >1200k + Accounts Receivable (3 yr. avg.) 2.48% <15% + Top 10 Ratepayers as-% of Revenues (3 yr. avg.) 6.28% <15% + MUNICIPAL ECONOMIClDEMOGRAPHIC POSrnON FuU Assessed Value Per Capita (mry) $36,967.55 >$20,000 + FuI Assessed Value Growth (last 10 yrs.) 105.92% >5% + Population Growth (last 10 yrs.) 17.73% >0% + Top 10 Taxpayers as % oftotaf Call's 35.74% <15% Unemployment Rate (mry) 91.49% <110% + State Avg. Per Capita Income (mry) 90.28% >85% + State Avg. .. I I I I I I I I I I I I I I I I I I I I I I I I I I ... 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('1/ ('1/ ('I/N N NN N ('1/ ('1/ ~ ~I~ ~ (\')(\') (\') Itl ~ v ('1/ N('I/ a..:c tit * tit 4I't tit tit tit tit tit 4I't 4I't tit 4I't 4I't * 4I't tit tit tit tit tit . , .... 0) 'c ft) - co CD c'"" ~E 18- U uj ... 0 U ~ - C C CD =u 0 C CCD Gl ~ ...J "0 0_ 1:: "C III C "> -g= ij "Cc C) ft) C 0::: -;:, CD C -0) a.. :~ C "Ceo 0 C 0- C -E c> I~ Co co gGl I~ =-, CD CD 1fi CD Gl ~~ 0 Gl - ... "C i .!!"c c .c"C =t:~ .cGl U'" L~ C) ft) :"2 Gl -- 0 :s I~ ft) c CD I~ "C- CD 1::c: C U C c E> ft)"C -~ Gl C CD I.Q :fl~ c~ - 00 CD CD CDO CD .,., CD CD CD "CJ) W CD 0..0 ~ >-a:I 00::: CD >-0 O~ me;; m ~ 0:::".2 -. Exhibit B Page 1 of 2 SPECIAL CONDITIONS OF AWARD PuBLIC WORKS CONsTRucrloN GRANTS Other special conditions pertinent to this grant: 1. All matching funds must be secured in writing by September 27, 1998, or the Grant Contract may be terminated. No Community Development Block Grant (CDBG) funds may be drawn down unless all project matching funds are secured. 2. The Recipient shall insert a clause in all documents prepared with the assistance of grant funds (e.g., engineer's reports, bid documents, advertisements for bids, service manuals, etc.) acknowledging the participation offederal and state CDBG funding. 3. All project-related contracts must be received by the State ten days before they are signed. This includes all project-related contracts between the Recipient and any person or entity who will be administering the grant or performing services under a personal services contract on the project. All project-related bid documents must be reviewed by the State at least ten days before they are advertised. 4. Prior to the approval of the first drawdown of grant funds for this project, the Recipient shall provide the following to the State: a. Copy of an adopted Fair Housing Resolution and evidence that this resolution has been published within six months prior to the grant drawdown. b. Copy of a completed Section 504 or ADA (handicapped accessibility) Self-evaluation checklist. 5. Prior to approval of the first drawdown of grant funds for a construction line item of this project, the Recipient shall provide the following to the State: a. Evidence that all contractors have been informed of the applicable labor standards requirements for this project. For projects with a general contractor, signed minutes of the preconstruction meeting will be required. If the Recipient is acting as general contractor and no preconstruction conference is held, the Recipient shall submit a preconstruction checklist signed by each specialty contractor. b. Notice of the Start of Construction which includes the project name and location, date of bid opening, date of award, name of general contractor, and the number of the applicable federal Davis-Bacon Wage Decision included in the construction contract. If there is no general contractor, a notice shall be completed for each specialty contract. c. Copies of the required certified payroll reports from the general contractor and subcontractors whose work is covered by the drawdown request. F:\USERICDSUPlTEMPlTEMP9100.WPD Exhibit b Page 2 of 2 6. Where the approved project budget includes local funds and CDBG funds for a specific line item activity, those local funds must be expended before the Recipient can request CDBG funds for the activity, unless otherwise authorized by the State. 7. Any local funds remaining in an approved non-construction budget line item when that line item activity is completed shall be transferred to the construction line item and shall be expended in accordance with paragraph 6 hereof 8. The Recipient must obtain appropriate regulatory review of design plans (e.g., DEQ, EP A, State Health Division). The regulatory agency's review comments must be sent to the State prior to the approval of final plans by the Recipient. 9. The Recipient shall provide that individual service meters are installed on those portions of water proiects assisted with CDBG funds. 10. Recipients which have had prior CDBG grants, or which are the recipient of more than one 1998 CDBG award, must undertake at least one activity, in addition to adoptiQg and publishing a Fair Housing Resolution, to promote fair housing opportunities in their communities. 11. The Recipient shall place a sign that notifies the public of the involvement of federal and state CDBG funds in the project in a clearly visible location on or near the construction site. 12. The Recipient shall obtain as-built drawings for projects assisted with CDBG funds. 13. Prior to the Project Completion Date, the Recipient shall adopt a program for ongoing operation, maintenance and replacement (0, M & R) of all facilities constructed with CDBG funds. 14. For sewer line projects, the Recipient shall adopt a mandatory sewer hook-up ordinance or resolution prior to any drawdown of CDBG funds. 15. Where the project is for construction of water or sewer facilities in a community with an unmetered water system, the Recipient and the owner of the water system shall meet with the State Water Resources Department and develop a mutually agreeable plan for metering the entire community water system. 16. Any known or newly discovered storm water cross connection must be disconnected from the wastewater collection system during this construction project. 17. The construction project cannot be advertised for bid until the Department of Environmental Quality approval of the construction plans and specifications is received and a copy is provided to the department. Exhibit "B" of Grant Contract (Public Works Construction Grants) F:\USER\COSUP\TEMP\TEMP9100. WPD T' '-~-r ... Exhibit C Page 1 of 6 RECIPIENT'S CERTIFICATIONS OF COMPLIANCE WITH STATE AND FEDERAL LAws AND REGULATIONS Funds for the Oregon Community Development Block Grant Program are provided through a grant to the State from the U.S. Department of Housing and Urban Development, under Title I of the Housing and Community Development Act of 1974, as amended. These funds are subject to various federal statutes and regulations as well as state laws and administrative rules. A. The Recipient hereby assures and certifies that it has complied with all relevant federal and state regulations, policies, guidelines and requirements with respect to the application for and acceptance and use of Oregon Community Development Block Grant funds. Also, the Recipient certifies compliance with the following preaward conditions: 1. The Recipient possesses legal authority to apply for the grant, and to carry out the proposed project. 2. The Recipient's governing body has duly authorized the filing of the application, including all understandings and assurances contained therein, and directed and authorized the person identified as the official representative of the applicant to act in connection with the application and to provide such additional information as may be required. The official representative has sufficient authority to make all certifications on behalf of the unit of government. 3. The Recipient: (a) is following a detailed citizen participation plan which: (1) provides for and encourages citizen participation, with particular emphasis on participation by persons of low and moderate income who are residents of slum and blighted areas and of areas in which funds are proposed to be used; (2) provides citizens with reasonable and timely access to local meetings, information, and records relating to the state's proposed method of distribution, as required by regulations of the Secretary, and relating to the actual use offunds under Title I of the Housing and Community Development Act of 1974, as amended; (3) provides for technical assistance to groups, representative of persons oflow and moderate income, that request such assistance in developing proposals, with the level and type of assistance to be detennined by the Recipient; (4) provides for a minimum of two public hearings to obtain citizen views and to respond to proposals and questions at all stages of the community development program, including, at least, the development of needs, the review of proposed activities, and review of program performance, which hearings shall be held after adequate notice, at times and locations convenient to potential or actual beneficiaries, and with -accommodation for the handicapped; F:\USER\CDSUPlTEMPlTEMP9100. WPO T". "~-"'''''-'-''''-~''-''-<I-~'_.- ,'~'-"- -r--- Exhibit l Page 2 of 6 (5) provides for a timely written answer to written complaints and grievances, within 15 working days where practicable; and (6) identifies how the needs of non-English speaking residents will be met in the case of public hearings where a significant number of non-English speaking residents can be reasonably expected to participate. (b) has in a timely manner: (1) furnished citizens information concerning the amount offunds available for proposed community development and housing activities and the range of activities that may be undertaken, including the estimated amount proposed to be used for activities that will benefit persons oflow- and moderate-income and the plans of the Recipient for minimizing displacement of persons as a result of activities assisted with such funds and to assist persons actually displaced as a result of such activities; (2) published a proposed statement in such a manner to afford citizens an opportunity to examine its content and to submit comments on the proposed statement and on the community development performance of the Recipient; (3) held one or more public hearings to obtain views of citizens on community development and housing needs. 4. The Recipient has developed its application so as to give maximum feasible priority to activities which will benefit low- and moderate-income families or aid in the prevention or elimination of slums or blight. The application may also include activities which the Recipient certifies are designed to meet other community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community where other financial resources are not available to meet such needs. 5. The Recipient has developed a community development plan that identifies community development and housing needs, including the needs oflow- and moderate-income persons, and specifies both short and long term community development objectives and activities to be undertaken to meet such needs. B. The activities undertaken in this grant must meet one of three national objectives established by the u.s. Congress. The Recipient covenants the activities it will undertake with the grant will meet the following National Objective (check one): (X) 1. Activities primarily benefitting low- and moderate-income persons; (24 CPR 570.483(b)) ( ) 2. Activities which aid in the prevention or elimination of slums and blight; (24 CPR 570.483 (c)) ( ) 3. Activities designed to meet community development needs having a particular urgency; (24 CPR 570.483(d)) F:\USERICDSUP\TEMP\TEMP9100.WPD T ,- ""w"",. V\IIlI' Exhibit C Page 3 of 6 C. The Recipient hereby covenants it will comply with all relevant state and federal laws, regulations, policies, guidelines and requirements with respect to the use of Oregon Community Development Block Grant funds. The Recipient specifically covenants to adhere to the following grant requirements: 1. The Recipient will comply with all provisions of Title I of the Housing and Community Development Act of 1974, as amended, and with all related applicable laws, rules and regulations. 2. The Recipient will not attempt to recover any capital costs of public improvements assisted in whole or part with the Title I funds by assessing any amount against properties owned and occupied by persons of low and moderate income, including any fee charged or assessment made as a condition of obtaining access to such public improvements unless; ( a) Title I funds are used to pay the proportion of such fee or assessment that relates to the capital costs of such public improvements that are financed from revenue sources other than Title I funds; or (b) for purposes of assessing any amount against properties owned and occupied by persons of low and moderate income who are not persons of very low income, the Recipient certifies that it lacks sufficient Title I funds to comply with the requirements of clause (a). 3. The Recipient's chief executive officer (or other designated officer of the Recipient): (a) Consents to assume the status ofa responsible federal official under the National Environmental Policy Act of 1969 (NEPA) and other provisions of federal law which further the purposes ofNEP A, as specified at 24 CFR Part 58. (b) Is authorized and consents on behalf of the Recipient and himselt7herself to accept the jurisdiction of the federal courts for the purpose of enforcement of hislher responsibility as such an official. 4. The recipient will comply with the following requirements for property acquisition and relocation assistance: (a) Uniform Relocation Assistance and Real Properties Acquisition Policies Act of 1070, as amended, and federal implementing regulations at 49 CFR Part 24; (b) Section 1 04( d) of the Housing and Community Development Act of 1970, as amended, and federal implementing regulations at 24 CFR Part 42, subpart Band 24 CFR Part 570.606. 5. The Recipient certifies that will follow the State of Oregon Antidisplacement and Relocation Assistance Plan unless it has its own plan that has been adopted and made public as required by 24 CFR Part 42 subpart B. The recipient also certifies that it will minimize the displacement of persons as a result of activities assisted with Oregon Community Development Block Grant funds. F:\USER\CDSUPlTEMPlTEMP9100.WPD To' "'r'" 4 Exhibit <- Page 4 of 6 6. The Recipient has adopted and will enforce a policy prohibiting the use of excessive force by law enforcement agencies within its jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and enforce applicable State and local laws against physically barring entrance to or exit from a facility or location which is the subject of such non-violent civil rights demonstrations within its jurisdiction in accordance with Section 104(1) of Title I of the Housing and Community Development Act, as amended. 7. The Recipient will conduct and administer the grant program in compliance with the following requirements: (a) Title VI of the Civil Rights Act of 1964 (p.L. 88-352), and the regulations issued pursuant thereto (24 CFR Part 1) which provides that no person in the United States shall on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity for which the applicant receives federal financial assistance and will immediately take any measures necessary to effectuate this assurance. If any real property or structure thereon is provided or improved with the aid of federal financial assistance extended to the applicant, this assurance shall obligate the applicant, or in the case of any transfer of such property, any transferee, for the period during which the real property or structure is used for a purpose for which the federal financial assistance is extended, or for another purpose involving the provision of similar services or benefits. (b) Title VIII of the Civil Rights Act of 1968 (42 USC 3601-20), as amended, popularly known as the Fair Housing Act, which provides that all programs and activities relating to housing and community development be administered in a manner to affirmatively further fair housing. ( c) Section 109 of the Housing and Community Development Act of 1974, as amended, which provides that no person in the United States shall, on the grounds of race, color, national origin, religion, or sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with funds provided by the Federal Government. (d) Section 3 of the Housing and Urban Development Act of 1968, as amended, and the implementing regulations in 24 CFR Part 135, requiring that employment and other economic opportunities arising in connection with housing rehabilitation, housing construction, or other public construction projects shall, to the greatest extent feasible, and consistent with existing Federal, state and local laws and regulations, be given to low- and very low-income persons. The Recipient shall cause or require the Section 3 clause in 24 CFR Part 135.38 to be inserted in full in all contracts and subcontracts for Section 3 covered construction projects receiving more than $200,000 under this Grant Contract. (e) Executive Order 11063 as amended by Executive Order 12259 and implementing regulations at 24 CFR Part 107 regarding equal opportunity in housing and nondiscrimination in the sale or rental of housing built with federal assistance. . F:\USERICOSUPlTEMPlTEMP9100.WPD T'" . ...._..__--y-... ... ._............. ..__.... ..........__0._..0._._._... . Exhibit c... Page 5 of 6 (f) Executive Order 11246, as amended by Executive Orders 11375 and 12086 and implementing regulations issued at 41 CFR Chapter 60 which provides that no person shall be discriminated against on the basis of race, color, religion, sex or national origin in all phases of employment during the performance of federal or federally assisted construction contracts. Contractors and subcontractors on federal and federally assisted construction contracts shall take affirmative action to insure fair treatment in employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination, rates of payor other forms of compensation and selection for training and apprenticeship. (g) The Age Discrimination Act of 1975 (42 USC 6101 et seq) which prohibits discrimination on the basis of age. (h) Section 504 of the Rehabilitation Act of 1973 (p.L. 93-112) which prohibits discrimination with respect to an otherwise qualified handicapped individual. (i) All laborers and mechanics employed by contractors or subcontractors on construction work assisted under this part shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance with the Davis-Bacon Act, as amended (40 USC 276a-276a-5), and shall receive overtime compensation in accordance with and subject to the provisions of the Contract Work Hours and Safety Standards Act (40 USC 327-333), and the contractors and subcontractors shall comply with all regulations issued pursuant to these Acts and with other applicable Federal laws and regulations pertaining to labor standards. This section shall apply to the rehabilitation of residential property only if such property contains not less than eight (8) units. G) The requirements imposed by the State concerning special requirements oflaw, program requirements, and other grant administration requirements, approved in accordance with procedures set forth in the Grant Management Handbook, provided by the State, as they relate to the acceptance and use of funds provided under this Grant Contract and as modified by the State. 8. No member, officer, or employee ofthe Recipient, or its designee or agents, no member of the governing body of the locality in which the program is situated, and no other public official of such locality or localities who exercises any functions or responsibilities with respect to the program during his/her tenure or for one year thereafter, shall have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for themselves or those with whom they have family or business ties, for work to be performed in connection with the program assisted under the grant. Recipient shall incorporate, or cause to be incorporated, in all contracts or subcontracts a provision prohibiting such interest pursuant to the purposes of this covenant. The Recipient shall also establish safeguards to prohibit employees from using their position for a purpose that is or gives the appearance of being motivated by a desire for private gain for themselves or others, particularly those with whom they have family, business, or other ties. F:\USERICOSUPlTEMPlTEMP9100.WPD T'" .--y- - Exhibit C Page 6 of 6 9. The Recipient will comply with the provisions of the Hatch Act which limits the political activity of employees. 10. The Recipient will give the State and the U.S. Department of Housing and Urban Development (HUD) or any authorized representative of the State or HOD access to and the right to examine all records, books, papers, or documents related to the grant. 11. The Recipient will comply with the lead-based paint requirements of 24 CFR Part 35 issued pursuant to the Lead-Based Paint Poisoning Prevention Act (42 USC 4801 et seq). 12. The Recipient will assume the responsibilities for environmental review, decision making and other action that would otherwise apply to HUD under NEP A and other provisions of law that further the purposes ofNEPA, in accordance with section 104(f) of Title I. Recipients will perform revieW's in accordance with 24 CFR Part 58 and the other Federal authorities listed at 24 CFR 58.5 D. In addition to the above certifications, for grants of$lOO,OOO or more, the undersigned also makes the following certification regarding Lobbying (Exhibit C-l). Title Mayor ~. ~ / Signed ~~/l City/OOOftty Woodburn F:\USERlCDSUPlTEMPlIEMP9100.WPD "'."'"""'-~......,-"~'^....,'" ,~...-_...~...~~-.-~.,......,'-...._..,---.~"'-, Exhibit C-1 page 1 of 1 CERTIFICATION REGARDING LOBBYING The undersigned certifies, to the best ofbis or her knowledge and belie( that: A No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, contin1lation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. B. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influenc~ or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, he undersigned shall complete and submit Standard Form-LLL, :"Disclosure Form to Report Lobbying, " in accordance with its instructions. C. The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (mcluding subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements,) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. code. Any person who fails to file the required certification sbaIl be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such Wlure. ~A Signed . '~/ / Mayor Title City of Woodburn Firm May 12, 1998 Date T' " '''_'-y-o ,.._...... ..,... I~ ..... t) :E 0) ~ 0 .... a. ~ C 0 1:5 0) .... .... 0 u ~ ii= C ~ C <<I ~ 0) 0 .... 0 1.1.. ~ ~ 0) 0) .... u ~ ~ u Qj 0 ~ :;:; = ~ ~ t) ~ 0) '0' .... ~ E-oa. ~ riIil ~t-' riIil~ ~= I 0 u z 0 t-' ~ 0 T'" C .... ::J .c 'U o o ~ 0 0 0 0 0 0 <co> U) C:1C1) 0) OWOa::: EIt 4It ~ ::J 0 0 0 .... 0 0 en 0)0) 0 0 .... \:::mcE ci 0 0) 0) ~'o ~ .I:: 0 0 - -O)Ca 0 ct 0 <<1-<<10 ~u)c.... ~ - <- 0) ~ CD '0 C ~ 0 <- <- Q) :!:: Q) <- 0 Q) c: c: Q) 'i: c: :.;:: ~ - 0 c: 'Ci) 'C CD 0 en 'Ci) Q) ,~ :.;:: 0 ::J ..... CD Q) - < en U c ii :::: m c: 13 1:5 - :c Q) ::J 0 .... Q) <<I ..... <( U) ~ ::J - .... 0 .I:: <- 1.1.. Q) U) '0.. c U) U) ~ C'" :!::: 0 <( c <( en Q) 0 '0 'U .~ '~ ::J U) <- 1.1.. ..... ..... ::J 0 I E < - ...I - .... <<I <<I C Q) Q) <<I 0 - .... 0 Q) <<I .... 0 - .... .... ~ a. - ~ Q) Q) .c 0 c - a E c :!:: - :.;:: Q) 0 c en 1.1.. Q) .I:: CD ~ c e < m 0 ~ '" (I) ...r LO u:j ~ ~ ~ ~ ~ ~ ~ o a. ~ 8 ~ ::;; ~ ::;; ~ ::> en o ~ w en ;l Ii: - o :!::: U 0) Q) - C <<I .... <9 ''''''"W''" , Exhibit L Page 1 of 1 PROJECI'DESCRIPTION City of Woodburn The City of Woodburn is faced with about $40 million worth of improvements to its sewer system in order to comply with a "Stipulated and Final Order" issued by the Department of Environmental Quality for numerous violations. The wastewater treatment plant's effluent exceeds the mass discharge limits of its permit, contributing to the Pudding River being classified as a water-quality-limited stream. The city is also burdened by raw sewage overflows from manholes and lift stations during floods. The Mill Creek force main and inflow correction project (phase IT) will identify and eliminate direct storm water connections and stop the overflows; this is an important part of the overall solution. Phase IT is estimated at $3,079,000 and is eligible for WaterlWastewater Financing Program and Community Development Block Grant funding. The Department of Environmental Quality and the city will also contribute to this phase and the remainder of the estimated $38,000,000 project. F:\USER\CDSUPlTEMPlTEMP9100.WPD T~' ~.".._-~...,~-..._...-.... - CITY OF WOODBURN Excessive Force -Mlt is the policy of the City of Woodburn that (1 ) its law enforcement personnel shall not use excessive force against any individuals engaged in nonviolent civil rights demonstrations, and (2) applicable state and local laws that prohibit physically barring entrance to or exit from a facility or location which is subject of such nonviolent civil rights demonstrations within its jurisdictions shall be enforced. " ~1ay 12 ~ 1998 Effective Date ~~/l Signature / ~~ Nancy A. Kirksey Mayor T-'~ .........------------ -......-..-. ..~.._--~---