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HomeMy WebLinkAboutAgenda Report - December 16, 1998 (68)AGENDA TITLE: Defeasance of Northern California Power Agency Multiple Capital Facilities Bonds — Lodi Project (Interconnect) MEETING DATE: December 16, 1998 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: That the City Council authorize the City Manager to direct the Northern Northern California Power Agency (NCPA) to use funds held in the NCPA Multiple Capital Facilities Lodi accounts to defease the Multiple Capital Facilities Bonds — Lodi Project (interconnect) and to return any unused funds to the City of Lodi. BACKGROUND INFORMATION: The NCPA Multiple Capital Facilities financing covered three separate projects: NCPA and Turlock Irrigation District Steam Injected Gas Turbines (STIG's) and a Lodi Project. Combining the projects into a single financing saved an estimated $400,000 on financing costs. The Lodi Project was originally planned to be a minor distribution system upgrade and a 115kV-transmission line running east from Lodi to the PG&E Lockeford Substation. Subsequently, the distribution upgrade was cancelled and the transmission project line, path and interconnect system were changed. Since the above Lodi Project changes materially affect the original financing document, it is necessary to defease the City of Lodi's portion of the Multiple Capital Facilities financing. The original funds plus accumulated interest are available to defease this obligation. FUNDING: Not applicable. A.Z) / )z- ZL Alan N. Vallow Electric Utility Director PREPARED BY: Jack Stone, Manager, Business Planning and Marketing ANVJJSAst C: City Attorney APPROVED: H. ixon ynn -- City Manager RESOLUTION NO. 98-189 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO DIRECT THE NORTHERN CALIFORNIA POWER AGENCY (NCPA) TO USE FUNDS HELD IN THE NCPA MULTIPLE CAPITAL FACILITIES LODI ACCOUNTS TO DEFEASE THE MULTIPLE CAPITAL FACILITIES BONDS — LODI PROJECT (INTERCONNECT) AND TO RETURN ANY UNUSED FUNDS TO THE CITY OF LODI BE IT RESOLVED, that the Lodi City Council hereby authorizes the City Manager to direct the Northern California Power Agency (NCPA) to use funds held in the NCPA Multiple Capital Facilities Lodi accounts to defease the Multiple Capital Facilities Bonds — Lodi Project (Interconnect) and to return any unused funds to the City of Lodi. Dated: December 16, 1998 1 hereby certify that Resolution No. 98-189 was passed and adopted by the Lodi City Council in a regular meeting held December 16, 1998 by the following vote: AYES: COUNCIL MEMBERS — Hitchcock, Mann, Nakanishi, Pennino and Land (Mayor) NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None ALM R IMCHE City Clerk 98-189