The City has been the recipient of several Florida Department of Environmental Protection (FDEP) State Revolving Fund (SRF) loans to help finance the construction of wastewater capital improvement projects.  On April 26, 2010, City Council approved the Wastewater Facilities Plan and Capital Financing Plan for the State Revolving Loan Fund (SRF) program, which laid out planned funding for Wastewater System Capital Improvement Plan (CIP) projects over a multi-year period.  Loan Agreement WW480420 is the third loan under that plan and was approved by City Council on February 4, 2013.  Amendment 1 was approved by City Council on November 17, 2014. The proposed Amendment 2 finalizes Loan Agreement WW480420, reduces the overall loan amount based on final actual project costs, and adjusts the amortization schedule for debt service payments made to-date resulting in debt service savings going forward.

Under Amendment 2 to SRF Agreement WW480420, the loan amount for project costs will be reduced by $293,348.  The revised total amount to repay under the loan, including the loan service fee and capitalized interest, is $2,701,962.74.  The loan service fee will be reduced by $5,867 to $52,454, and accrued capitalized interest is $26,798.74. The interest rate on Loan Agreement WW480420 is 1.59 percent. The term of the loan payback is 20 years beginning in July of 2017, which will be paid in 40 semi-annual loan payments.  Amendment 2 revises the semi-annual loan payment down from $89,277 to $78,210, for an annual debt service savings of $22,134.

Approval of  Amendment 2 to Loan Agreement WW480420 and authorization for the Mayor and City Clerk to execute same, subject to review and approval by the City Attorney's Office.