PUBLIC HEARING ON PETITION FOR INCREASE OF MAXIMUM AMOUNT PROPOSED TO BE EXPENDED FOR SEWER DISTRICT NO. 2
AUGUST 26, 2008
6:00 PM
Meeting to follow
Sewer District #2
Awarding Construction Bids
Members present: Supervisor Belden R. Gladu
E. Frasier R. Meola
M. Martucci
Also present: Dominick Viscardi, Attorney for the Town of Hague
Robert H. Hafner, Attorney Sewer District #2 Bond Council
Supervisor Belden opened the public hearing at 6:00 pm.
The notice of publication was published on August 15, 2008 in the Towns Official Newspaper the Post Star and was read.
Robert Hafner, Bond Council explained to the audience the following:
General Financing Long Term: 4.27%
The District for a subsidized low interest loan at 2.15% will have to meet the low income qualifications.
The EPA will have to review and approve.
There were approximately 80 residents of the district present. The majority were in favor of the increase to the Bond.
Motion by R, Meola, seconded by M. Martucci to close the pubic hearing at 6:10 pm. All voting yes. Motion carried.
Supervisor Belden opened the special meeting at 6:11 pm.
RESOLUTION #67 OF 2008
RESOLUTION AND ORDER OF TOWN BOARD
APPROVING PETITION FOR INCREASE OF MAXIMUM
AMOUNT PROPOSED TO BE EXPENDED FOR SEWER
DISTRICT NO. 2 PURSUANT TO TOWN LAW §202-d(1)
At a meeting of the Town Board of the Town of Hague held at Community Center, 9793 Graphite Mountain Road, Hague, New York 12836 on the 26 day of August, 2008.
Present: Daniel Belden, Supervisor
Edna Frasier, Town Councilwoman
Richard R. Gladu, Town Councilman
Mark Martucci, Town Councilman
Rudolph Meola, Town Councilman
WHEREAS, a written petition dated August 12, 2008 has been presented to and filed with the Town Board of the Town of Hague requesting an increase of the maximum amount proposed to be expended for Sewer District No. 2 pursuant to Town Law §202-d(1) as more particularly described in said petition, and
WHEREAS, a certified copy of the order of the Board calling a hearing thereon, which order is dated August 12, 2008, was duly and regularly published in the Post Star on August 15, 2008 in the Town’s official newspaper, and a certified copy thereof was also posted on the sign board of the Town of Hague on August 13, 2008, and
WHEREAS, a public hearing having taken place on August 26, 2008 at 6:00 p.m., and the petitioners having appeared in support of said application and proof having been presented concerning the same, and no objection or protest having been made to the proposed increase of maximum amount to be expended for Sewer District No. 2 pursuant to Town Law §202-d(1), and
WHEREAS, the exhibits of the petition were examined and found to be true and accurate in all respects, and
WHEREAS, the Town Board has given due deliberation to the hearing and the testimony and allegations presented and has determined to grant the prayer of said petition,
Now, on motion of Councilperson Gladu, seconded by Councilperson Martucci, all members present voting therefore, it is
FOUND, ORDERED AND DETERMINED that the said petition, dated August 12, 2008 for the increase of maximum amount proposed to be expended for Sewer District No. 2 pursuant to Town Law §202-d(1) in the amount of $6,550,000.00 including any applicable state or federal aid, is signed, approved and acknowledged, as required by law, and is otherwise sufficient and complies with the provision of Section 191 of the Town Law, constituting Chapter 62 of the Consolidated Law of the State of New York, and such other sections of said chapter as are applicable thereto; and that there is annexed to said petition a map and plans showing the boundaries of proposed Sewer District No. 2 and a general plan of the proposed district; the boundary description of Sewer District No. 2, Town of Hague, Warren County, New York is attached hereto and made a part hereof as “Exhibit A”, and it is
FOUND, ORDERED AND DETERMINED by the Town Board of the Town of Hague that it is in the public interest to grant the whole relief sought by said petition, and that all of the property, property owners and interested persons within said proposed district are benefited thereby, and that all property, or property owners benefited are included therein, and that no property or property owners or interested persons benefited thereby have been excluded therefrom.
This resolution was duly adopted by the Town Board of the Town of Hague, New York, at its special meeting held on August 26, 2008 at the meeting of such board, its adoption having duly been put to a vote in public session duly adopted by the following vote:
AYES: Supervisor Belden, E. Frasier, R. Gladu, M. Martucci, R. Meola
Motion carried.
RESOLUTION NO. 68 of 2008
INTRODUCED BY: Councilman Meola
SECONDED BY: Councilwoman Frasier
DATED: August 26, 2008
RESOLUTION AMENDING AND RESTATING BOND RESOLUTION
AND AUTHORIZING THE ISSUANCE OF UP TO $3,390,000
IN SERIAL BONDS OF THE TOWN OF HAGUE TO PAY A PORTION OF THE COST OF ACQUISITION, CONSTRUCTION, AND INSTALLATION OF THE SEWER DISTRICT NO. 2 IMPROVEMENTS; AND AUTHORIZING THE ISSUANCE OF UP TO $3,390,000 IN BOND ANTICIPATION NOTES OF THE TOWN OF HAGUE FOR THE SAME PURPOSE
WHEREAS, in accordance with New York Town Law, the Town of Hague (the "Town") Town Board duly ordered that Sewer District No. 2 (the "District") be established and the improvements described in the Map, Plan and Report prepared by Clough, Harbour & Associates LLP and dated July, 2006 (the “Map, Plan and Report”) be constructed and the service within the District be provided (the “Project”); and
WHEREAS, on October 17, 2006 the Town Board adopted Resolution #79 of 2006 (the “Original Bond Resolution”) authorizing the issuance of up to $655,000 in serial bonds and/or bond anticipation notes (“Bonds/BANs”) for the purpose of paying a portion of the cost of the acquisition, construction and installation of the Project and authorizing such specific object or purpose at a maximum estimated cost of $655,000; and
WHEREAS, establishment of Sewer District No. 2 at a cost not to exceed $3,740,000 was approved by order of the State Comptroller dated September 28, 2007; and
WHEREAS, following the Board’s adoption of the Original Bond Resolution, the Town was advised of increases in the projected costs of certain materials and services required for construction of the District improvements, and the estimated cost of the Project was increased to $6,550,000; and
WHEREAS, the Town Board has received a Petition requesting an increase in the maximum amount proposed to be expended for the improvements in Sewer District No. 2 to $6,550,000 pursuant to Town Law Section 202-d(1); and
WHEREAS, the Town Board has conducted a public hearing on the proposed increase in the amount to be expended, has authorized the application to the State Comptroller for approval of the increase of such maximum amount and has adopted an Order determining that it is in the public interest to authorize such increase and authorizing such increase, all in accordance with New York Town Law Section 202-d(1); and
WHEREAS, the Town Board wishes to amend and restate the Original Bond Resolution to increase the authorized maximum estimated cost of the Project and the amount of Bonds/BANs authorized to be issued therefore;
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN BOARD OF THE TOWN OF HAGUE, WARREN COUNTY, NEW YORK, AS FOLLOWS:
Section 1. The specific object or purpose for which the obligations authorized by this Resolution are to be issued is the acquisition, construction and installation of a sanitary sewage disposal system for Sewer District No. 2 as described in the Map, Plan and Report, and further including related preliminary and incidental costs (the "Project"), and such specific object or purpose is hereby authorized at a maximum estimated cost of Six Million Five Hundred Fifty Thousand Dollars ($6,550,000.00).
Section 2. The plan for the financing of such maximum estimated cost is as follows:
(a) expenditure of Three Million One Hundred Sixty Thousand Dollars ($3,160,000) received by Warren County from the Environmental Protection Agency and dedicated to the Project; and
(b) issuance of up to Three Million Three Hundred Ninety Thousand Dollars ($3,390,000.00) in serial bonds or bond anticipation notes of the Town on behalf of the District, hereby authorized to be issued pursuant to the Local Finance Law.
The proceeds of the bonds or bond anticipation notes may be used to reimburse expenditures paid by the Town from other funds or otherwise on or after the date of adoption of this Bond Resolution. The Town may submit applications for additional grants and/or low interest loans from the New York State Environmental Facilities Corporation (EFC) and/or the United States Department of Commerce Economic Development Administration (EDA) and/or other funding source(s) and, to the extent that any such moneys are received, may apply such funds to the payment of principal and interest on the bonds or bond anticipation notes. Pursuant to Local Finance Law Section 107(d)(9), no down payment from current funds is required.
Section 3. Consistent with the Final Order establishing the District and the Order authorizing the increase in the amount proposed to be expended for the improvements, the Town Board hereby determines that it is in the public interest to acquire and construct the Project and further determines that it is in the public interest to authorize the increased cost of the Project and the increased amount of Bonds/BANs to be issued.
Section 4. It is hereby determined that the period of probable usefulness of the specific object or purpose is forty (40) years, pursuant to Subdivision 4 of paragraph (a) of Section 11 of the Local Finance Law. It is hereby further determined that the maximum maturity of the serial bonds herein authorized will exceed five (5) years. This Bond Resolution is not subject to permissive referendum pursuant to Local Finance Law Section 35.00(b)(2).
Section 5. The faith and credit of the Town of Hague, Warren County, New York, are hereby irrevocably pledged for the payment of the principal of and interest on such obligations as they become due and payable. An annual appropriation shall be made in each year sufficient to pay the principal of and interest on such obligations becoming due and payable in such years. There shall annually be levied on all the taxable real property of the District a fee sufficient to pay the principal of and interest on such obligations as they become due and payable.
Section 6. For the purpose of paying the cost of the Project, including related preliminary and incidental costs, there are hereby authorized to be issued serial bonds of the Town up to a maximum amount of $3,390,000, the maximum maturity of which shall not exceed the forty (40) year period of probable usefulness set forth above, and which shall mature on or before the date of the expiration of the period of probable usefulness as measured from the date of the bonds or from the date of the first bond anticipation note issued in anticipation of the sale of such bonds, whichever date is earlier. The bonds may be issued in the form of a statutory installment bond.
Section 7. There are hereby authorized to be issued bond anticipation notes for the specific object or purpose in an amount up to but not exceeding the $3,390,000 maximum amount of serial bonds authorized to be issued, in anticipation of the issuance and sale of the serial bonds authorized, including renewals of such bond anticipation notes.
Section 8. Any bond anticipation notes shall be payable from the proceeds derived from the sale of the bonds or otherwise redeemed in the manner provided by Section 23.00 of the Local Finance Law. The faith and credit of the Town are hereby irrevocably pledged for the payment of the bond anticipation notes and the interest on them.
Section 9. There are no bond anticipation notes outstanding which have been previously issued in anticipation of the sale of these bonds. Neither are the bond anticipation notes hereby authorized renewal notes. These bond anticipation notes will be issued in anticipation of bonds for an assessable improvement. These notes shall mature at such time as the Town may determine and may be renewed from time to time, provided that in no event shall such notes or renewals extend more than one (1) year beyond the original date of issue except as permitted in the Local Finance Law.
Section 10. Subject to the terms and conditions of this Resolution and of the Local Finance Law, and pursuant to the provisions of Sections 30.00, 50.00 and 56.00 to 60.00, inclusive, of the Local Finance Law, the power to authorize bond anticipation notes in anticipation of the issuance of the serial bonds authorized by this Resolution and the renewal of these notes, and the power to prescribe the terms, form and contents of the serial bonds and bond anticipation notes and the power to sell and deliver the serial bonds and bond anticipation notes issued in anticipation of the issuance of the bonds is hereby delegated to the Town Supervisor, the Chief Fiscal Officer of the Town. The Town Supervisor is hereby authorized to sign any serial bonds and bond anticipation notes issued in anticipation of the issuance of the serial bonds and bond anticipation notes issued pursuant to this Resolution by manual signature, and the Town Clerk is hereby authorized to affix or impress or imprint a facsimile of the seal of the Town to any of the serial bonds or bond anticipation notes and to attest such seal by manual signature. The Town Supervisor, as Chief Fiscal Officer of the Town, is authorized to execute and deliver any documents and to take such other action as may be necessary and proper to carry out the intent of the provisions of this Resolution.
Section 11. The exact date of issuance of the bonds and/or notes and the exact date upon which they shall become due and payable shall be fixed and determined by the Chief Fiscal Officer, provided, however, that the maturity of the notes or renewals shall not exceed one (1) year from the date of issue except as permitted by the Local Finance Law.
Section 12. The Chief Fiscal Officer shall prepare the bonds and/or notes and sell them in accordance with the provisions of the Local Finance Law including, but not limited to, the provisions of Section 169.00, if applicable, and at such sale shall determine the interest rate to be borne by such bonds and/or notes. The Town Board authorizes the Chief Fiscal Officer to establish substantially level or declining annual debt service for the repayment of such Bonds if he believes it is in the best interests of the Town.
Section 13. If issued, the notes shall be in registered form, and shall bear interest at the determined rate.
Section 14. The Chief Fiscal Officer shall deliver the bonds and/or notes to the purchaser only against a certified check or other immediately available funds. The proceeds of the sale of the bonds and/or notes shall be deposited and/or invested as required by Section 165.00 of the Local Finance Law, and the power to invest the proceeds of sale is hereby delegated to the Chief Fiscal Officer and the power to invest in any instruments described in Section 165.00 is expressly granted.
Section 15. To the extent that it is permitted to do so under the Internal Revenue Code of 1986, as amended (the "Code"), the Town hereby designates the bonds and/or notes as "qualified tax-exempt obligations" under Section 265(b)(3) of the Code. The Town hereby covenants that it will (i) take all actions on its part necessary to cause interest on the bonds and/or notes to be excluded from gross income for purposes of Federal income taxes and (ii) refrain from taking any action which would cause interest on the bonds and/or notes to be included in gross income for purposes of Federal income taxes.
Section 16. The Town of Hague is a town wholly or partially within the Adirondack Park. However, State lands subject to taxation within the Town's boundaries are assessed at less than thirty percent (30%) of the total taxable assessed valuation of the Town, so permission of the State Comptroller to issue the bonds and/or notes is not required under Local Finance Law Section 104.10(3).
Section 17. Miller, Mannix, Schachner & Hafner, LLC, Glens Falls, New York, is hereby designated bond counsel.
Section 18. The validity of these serial bonds and bond anticipation notes may be contested only if:
(1) These obligations are authorized for an object or purpose for which the Town is not authorized to expend money; or
(2) The provisions of law which should be complied with at the date of publication of this Resolution are not substantially complied with, and an action, suit or proceeding contesting such validity is commenced within twenty (20) days after the date of such publication; or
(3) Such obligations are authorized in violation of the provisions of the State Constitution.
Section 19. The full text of this Resolution or a summary thereof shall be published in the Glens Falls Post Star, which has been designated as the official newspaper of the Town, together with a notice of the Town Clerk in substantially the form provided in Section 81.00 of the Local Finance Law.
Section 20. Increase of the amount proposed to be expended for the District is subject to approval by the State Comptroller pursuant to Town Law Section 202-d(1). The serial bonds and bond anticipation notes hereby authorized shall not be issued unless and until such approval by the State Comptroller is received.
Section 21. The question of the adoption of this Resolution was duly put to a vote on roll call which resulted as follows:
AYES: Supervisor Belden, R. Meola, R. Gladu, E. Frasier, and M. Martucci.
Motion carried.
This resolution will be published in full, upon approval of the State Comptrollers office.
Supervisor Belden reported that a letter to State Officials will be mailed soon requesting financial assistance.
We have received $100,000 from the Lake George Watershed.
The County will send in the necessary paper work required to the EPA for their approval. This process will take approximately three weeks, after which the County can issue the Notice of Award for the project.
Attorney Viscardi explained that based upon a bond rate of 4.5% and a 30 year term the annual debt service would be approximately $178,697. Based on 156 equivalent dwelling units (EDU) the annual debt service per EDU is estimated at $1,145.50.
It was addressed that the Capital Cost should be the same for residence homes and vacant property.
A.P. Reale & Sons, Inc. submitted a Total Bid of $4,978,490.00. They are qualified as defined in the Contract Documents.
Proposed Financing based upon bid received:
Construction Contract: $4,978,490.00
Contingency: $ 500,000.00
Engineering: $ 589,526.00
TOTAL $6,068,016.00
EPA Grant Money - $3,160,000.00
Local Share (Town of Hague) $2,906,016.00
Myles Peterson requested that the Town Board check on why the Engineering cost has increased.
Supervisor Belden will check on why the cost has increased by approximately $100,000.00.
Motion by M. Martucci, seconded by R. Gladu to adjourn meeting at 6:50 pm. All voting yes. Motion carried.
Respectfully submitted,
Deborah F. Manning
Town Clerk