Loading...
HomeMy WebLinkAbout04-04-85~Q~Q April 4, 1985 Minutes of the Special Meeting of the Pulaski Town Council held April 4, 1985, at 5:00 p.m. in the Council Chambers of the Municipal Building. There were present: Mayor Raymond F. Ratcliffe, presiding Councilmembers: John A. Johnston, Robert N. Glenn, James M. Neblett, C. E. Boyd, Jr., James R. Neighbors, Ira S. Crawford, Mary Lou Copenhaver, Glen K. Aust Also present: Frank Terwilliger, Town Attorney D. E. McKeever, Town Manager Anne Burgess, Assistant to the Town Manager Ruth A. Harrell, Clerk Visitors: Dee Ann Lindsey of the news media The invocation was given by Councilman Neblett. WAIVER OF NOTICE OF SPECIAL MEETING We, the undersigned, duly elected members of the Council of the ~ h Town of Pulaski, Virginia, hereby waive notice of a Special Meeting of said Council at 5:00 p.m., on the 4th day of April, 1985, for the purpose of consideration of Peppers Ferry Resolution, and any other business that may legally come before the Council. WITNESS our signatures this 4th day of April, 1985. Mayor Ratcliffe advised the purpose of this special meeting was consideration of a Peppers Ferry Resolution and any other business that may legally come before the Council. Mr. McKeever advised the resolution states if one of the participants to the Peppers Ferry Authority defaults or is unable to pay, this resolution authorizes the Authority to restructure the operating costs. Normally this will be set every March for the next fiscal year, but if something were to happen during the year, this would authorize the Authority to adjust it in order to cover that debt. The ones most susceptible to this are the Authorities in Peppers Ferry, and an escrow account has already been set aside and this money would be drawn on first before this would ever be required. Mr. Terwilliger advised the Trust Agreement still has a few more changes to be made in it and final form has not been distributed. Section 702 operative section for this resolution, will not be changed any further and bond attorney would like to have this in hand prior to anything else going out. 1 ~J April 4, 1985 ~8~~ Councilman Crawford made a motion to adopt resolution, seconded by Councilman Johnston, and carried on the following recorded vote: John A. Johnston - Aye James R. Neighbors - Aye Robert N. Glenn - Aye Ira S. Crawford - Aye James M. Neblett - Aye Mary Lou Copenhaver -Aye C. E. Boyd, Jr. - Aye Glen K. Aust - Aye PEPPERS FERRY RESOLUTION RESOLUTION WHEREAS, the Council of the City of Radford, the Council of the Towns of Pulaski and Dublin, the Boards of Supervisors of Pulaski and Montgomery Counties, the Pulaski County Public Service Authority, the Pulaski County Sewerage Authority and the Montgomery County Public Service Authority (the Participants) have pre- viously agreed that the health and safety of the residents within their boundaries require that a safe and reliable wastewater treatment system be provided; and WHEREAS, Pepper's Ferry Regional Wastewater Treatment Authority has been found to meet these needs, and has undertaken to provide a regional wastewater .treatment project (the Regional Facility); and WHEREAS, all of the foregoing parties entered into an agreement dated March 4, 1981 (the User Agreement), to provide for the construction of local collection facilities, construction of the Regional Facility and the participation in and use of the Regional Facility by the Participants, and further provided for obtained grants and for issuing notes and bonds by the Authority to finance the Regional Facility; and WHEREAS, the Authority contemplates the issuance of Regional Treatment Facility Insured Revenue Bonds, Series of 1985, in the approximate amount of $9,350,000 (the Bonds); and WHEREAS, the User Agreement provides that the user charge to the Participants be established by each March 1 for a 12 month period beginning on the following July 1 and that the user charge so determined shall not be changed during such 12 month period except (a) to correct an error in calculation, (b) to prevent a default in payment of the Bonds, or (c) to prevent a default under the Agreement of Trust under which the Bonds are issued (the Trust Agreement). WHEREAS, the Trust Agreement provides in Section 702 that (i.) the Authority shall revise its charges as often as shall appear necessary so as to produce revenues sufficient at all times to pay the budgeted cost of operation and main- tenance of the Regional Facility and debt service on the Bonds and (ii) in the event that a transfer has been made from the Debt Service Revenue Fund or the Operating Reserve Fund pursuant to Sections 708 or 709 of the Trust Agreement as a result of non-payment of user fees by any party to the User Agreement or for any other reason and the amount of such transfer has not been restored in full within 60 days, the Authority shall immediately revise its charges to provide revenues sufficient to pay all costs described above within 12 months of such transfer, including restoration of the required balances in the Operating Reserve Fund and the Debt Service Reserve Fund. NOW, THEREFORE, BE IT RESOLVED by the Town Council of the Town of Pulaski, Virginia, as follows: 1. The Town Council acknowledges that the User Agreement is a valid and legally binding obligation of the Town enforceable against the Town in accordance with its terms. 2. The Town acknowledges that failure by the Authority to revise its charges in accordance with Section 702 of the Trust Agreement could result in an Event of Default under the Trust Agreement, and that revision of the rates for such purposes at any time is consistent with the intent of the User Agreement. 3. Certified copies of this Resolution shall be delivered to the Authority and to all other Participants. Mr. McKeever requested an Executive Session to discuss a legal matter under Section 2.1-344, subsection 6. Councilman Neblett made a motion that Council go into Executive Session, seconded by Councilman Neighbors and carried. At 5:07 p.m. Council went into Executive Session. I VNO April 4, 1985 At 5:15 p.m. Council returned to Special Session. Councilman Boyd made a motion to adjourn, seconded by Councilman Neighbors and carried. ATTEST: Clerk of Council APPROVED: i J ©, , ~ ~'... Mayor 1