HomeMy WebLinkAbout15-170 - Resolutions RESOLUTION NO. 15-170
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA, AUTHORIZING AN
INTERFUND LOAN FROM CAPITAL RESERVE FUND 025 TO
GENERAL FUND 001 IN THE AMOUNT OF $2,379,156 AND TO
SPORTS COMPLEX FUND 700 IN THE AMOUNT OF $3,215,612
FOR THE PURCHASE AND INSTALLATION OF SOLAR
PHOTOVOLTAIC SYSTEMS AT CENTRAL PARK AND EPICENTER
WHEREAS, On March 9, 2015, the City issued RFP 14/15-115 for the design, purchase,and
installation of solar photovoltaic systems at a number of City and Fire District facilities including
Central Park and Epicenter; and
WHEREAS, the proposal submitted by SolarCity was the highest ranked proposal and
includes an estimated net benefit of$3,823,152 and $2,813,963 for the Central Park and Epicenter
sites, respectively, over its 25-year life; and
WHEREAS,the City Council finds it to be in the best interest of the City to move forward with
the installation of solar photovoltaic systems at Central Park and Epicenter and to cover all
associated costs including design, construction, installation, construction management, and energy
engineering assistance through an Interfund Loan from Capital Reserve Fund 025 (City Infrastructure
Reserve) to General Fund 001 for Central Park and to Sports Complex Fund 700 for the Epicenter;
and
WHEREAS, the City Council declares its intention to reimburse these expenditures with all
solar rebates and incentives received by the City from Southern California Edison and/or Rancho
Cucamonga Municipal Utility related to Central Park and Epicenter along with a portion of the energy
saving proceeds that otherwise would have been used for purchase of electrical energy in the
absence of the solar photovoltaic system.
NOW, THEREFORE, the City Council of the City of Rancho Cucamonga; hereby resolves
as follows:
1. The City is hereby authorized to utilize $5,594,768 from Capital Reserve Fund 025 (City
Infrastructure Reserve) for an Interfund Loan to General Fund 001 ($2,379,156) and to
Sports Complex Fund 700 ($3,215,612) for costs associated with the purchase and
installation of solar photovoltaic systems at Central Park and Epicenter, respectively.
2. Commencing on the date of the interfund loans, principal shall accrue simple interest at the
rate of one (1) percent per annum.
3. Commencing on October 15,2015, monthly interest only payments shall be made on the 151h
day of each calendar month through June 15, 2016.
4. Commencing on July 15, 2016, or the 151h day of the month subsequent to the month of
project completion, payments of$13,545.00 for General Fund 001 and$17,100.00 for Sports
Complex Fund 700 shall be made monthly on the 15th day of each calendar month.
Commencing on July 15, 2023, payments for Sports Complex Fund 700 will be reduced to
$15,000.00 per month to accommodate the cessation of the RCMU utility rebates.
Resolution No. 15-170— Page 1 of 3
5. The loan for General Fund 001 shall be fully due and payable on May 15, 2032 and the loan
for Sports Complex Fund 700 shall be fully due and payable on January 15, 2035, or within
20 years from when the project is fully operational and yielding energy savings, whichever
comes first.
6. The loan shall be repaid utilizing all solar rebates and incentives received by the City from
Southern California Edison and/or Rancho Cucamonga Municipal Utility related to Central
Park and Epicenter along with a portion of the energy savings produced by the solar
photovoltaic systems.
7. Outstanding principal may be prepaid in whole or in part at any time at the City Manager's
discretion.
8. The City Manager may, at his discretion, forgive,defer,and/or modify interest and/or principal
payable on the loans for a period of one year or more to ease the burden on the City's
General Fund in the event of an economic downturn or other adverse financial conditions.
Confirmation of any amounts forgiven or deferred or loan modifications made will be obtained
from the City Council on an annual basis.
9. Amortization schedules for the interfund loans reflecting the aforementioned terms are on file
with the City's Finance Department.
Resolution No. 15-170 — Page 2 of 3
PASSED, APPROVED, AND ADOPTED this 2nd day of September 2015.
AYES: Alexander, Kennedy, Michael, Spagnolo, Williams
NOES: None
ABSENT: None
ABSTAINED: None
L. Dennis Michael, Mayor
ATTEST:
ice C. Reynolds, Cify Clerk
I, JANICE C. REYNOLDS, CITY CLERK of the City of Rancho Cucamonga,
California, do hereby certify that the foregoing Resolution was duly passed,approved and adopted by
the City Council of the City of Rancho Cucamonga, California, at a Regular Meeting of said City
Council held on the 2nd day of September 2015.
Executed this 3'd day of September 2015, at Rancho Cucamonga, California.
ice C. Reynolds, City Jerk
Resolution No. 15-170 — Page 3 of 3