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R-10-01-28-10F2 - 1/28/2010RESOLUTION NO. R -10-01-28-10F2 WHEREAS, the City of Round Rock (the "City") and Brushy Creek Municipal Utility District (the "District") have entered into that certain "Wastewater Services Agreement" effective as of December 8, 2009 (the "Wastewater Services Agreement") setting forth the terms and conditions pursuant to which the City has agreed to provide wastewater treatment and disposal services to the District; WHEREAS, under the Wastewater Services Agreement, the District agreed to pay the "District Capital Charge", which represents the portion of the City's debt necessary to serve the District for which the District is responsible under the terms of the Wastewater Services Agreement; WHEREAS, Exhibit "A" to the Wastewater Services Agreement sets forth an estimate of the debt service payments to be made by the District to the City for purposes of the District Capital Charge, and Section 1.01 of the Wastewater Services Agreement specifically provides that Exhibit "A" would be amended based upon the final amount of the debt and true interest cost of the bonds issued by the City to purchase the Brushy Creek Regional Wastewater System (the "Regional Wastewater System") from LCRA; WHEREAS, the City, along with the Cities of Austin and Cedar Park, have now closed on the purchase of the Regional Wastewater System from LCRA and in connection therewith, the City has issued its bonds for payment of a pro rata share of the purchase price of the Regional Wastewater System; WHEREAS, a revised debt service payment scheduled has been prepared by the City to reflect the District's share of the City's O:\wdox\SCClnts\0112\1005\MUNICIPAL\00180786.DOC/rmc debt for which the District is responsible under the Wastewater Services Agreement; and WHEREAS, the City Council desires to adopt this Resolution to evidence its approval of the revised debt service schedule, and to authorize the schedule to be attached as the final Exhibit "A" to the Wastewater Services Agreement; Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, THAT: Section 1. The facts and recitations in the preamble of this Resolution are hereby found and declared to be true and correct, and are incorporated by reference herein and expressly made a part hereof, as if copied verbatim. Section 2. The City Council hereby approves the debt service schedule attached hereto, and further authorizes such debt service schedule to be attached to, and serve as the final Exhibit "A" of, the Wastewater Services Agreement. The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended. RESOLVED this 28th day of Januar 2010. Th ATTEST: c51.1/W,- SARA L. WHITE, City Secretary 2 ALAI MCGRAW, Mayor City of Round Rock, Texas EXHIBIT City of Round Rock, Texas Utility System Revenue Bonds, Series 2009 Brushy Creek MUD Portion Project Fund Deposit = $7,403,111.14 Debt Service Schedule Part1 of 3 Date Principal Coupon Interest Total P+I Fiscal Total 12/08/2009 - - - 08/01/2010 215,000.00 4.073% 214,475.13 429,475.13 - 09/30/2010 - - 429,475.13 02/01/2011 - - 146,424.35 146,424.35 - 08/01/2011 135,000.00 4.073% 146,424.35 281,424.35 09/30/2011 02/01/2012 - 08/01/2012 140,000.00 09/30/2012 - 02/01/2013 08/01/2013 145, 000.00 09/30/2013 02/01/2014 08/01/2014 150,000.00 09/30/2014 02/01/2015 - 08/01/2015 15 5,000.00 09/30/2015 - 02/01/2016 - 08/01/2016 165,000.00 09/30/2016 02/01/2017 - 08/01/2017 170, 000.00 09/30/2017 - 02/01/2018 - 08/01/2018 175,000.00 09/30/2018 - 02/01/2019 08/01/2019 185,000.00 09/30/2019 02/01/2020 - 08/01/2020 190,000.00 09/30/2020 - 02/01/2021 - 08/01/2021 200,000.00 09/30/2021 - 02/01/2022 - 08/01/2022 210,000.00 09/30/2022 - 02/01/2023 427,848.70 - 143,675.08 143,675.08 - 4.073% 143,675.08 283,675.08 - - 427,350.16 - 140,823.98 140,823.98 4.073% 140,823.98 285,823.98 - 426,647.96 - 137,871.05 137,871.05 - 4.073% 137,871.05 287,871.05 - - 425,742.10 - 134,816.30 134,816.30 4.073% 134,816.30 289,816.30 - - 424,632.60 - 131,659.73 131,659.73 - 4.073% 131,659.73 296,659.73 - 428,319.46 - 128,299.50 128,299.50 - 4.073% 128,299.50 298,299.50 - - 426,599.00 - 124,837.45 124,837.45 - 4.073% 124,837.45 299,837.45 - - 424,674.90 121,273.58 121,273.58 - 4.073% 121,273.58 306,273.58 - - 427,547.16 - 117,506.05 117,506.05 - 4.073% 117,506.05 307,506.05 - - 425,012.10 - 113,636.70 113,636.70 - 4.073% 113,636.70 313,636.70 - - 427,273.40 - 109,563.70 109,563.70 - 4.073% 109,563.70 319,563.70 - - 429,127.40 105,287.05 105,287.05 - 09 RR util revs level MUD 1 BC MUD 1 1/ 6/2010 1 9:26 AM Specialized Public Finance Inc. Austin. Texas Page 1 City of Round Rock, Texas Utility System Revenue Bonds, Series 2009 Brushy Creek MUD Portion Project Fund Deposit = $7,403,111.14 Debt Service Schedule Part 2of3 Date Principal Coupon Interest Total P+I Fiscal Total 08/01/2023 215,000.00 4.073% 105,287.05 320,287.05 - 09/30/2023 - - - 425,574.10 02/01/2024 - - 100,908.58 100,908.58 - 08/01/2024 225,000.00 4.073% 100,908.58 325,908.58 - 09/30/2024 - - - 426,817.16 02/01/2025 - - 96,326.45 96,326.45 - 08/01/2025 235,000.00 4.073% 96,326.45 331,326.45 - 09/30/2025 - - - 427,652.90 02/01/2026 - - 91,540.68 91,540.68 - 08/01/2026 245,000.00 4.073% 91,540.68 336,540.68 09/30/2026 428,081.36 02/01/2027 - - 86,551.25 86,551.25 - 08/01/2027 255,000.00 4.073% 86,551.25 341,551.25 - 09/30/2027 - - - 428,102.50 02/01/2028 - - 81,358.18 81,358.18 - 08/01/2028 265,000.00 4.073% 81,358.18 346,358.18 - 09/30/2028 - - - 427,716.36 02/01/2029 - - 75,961.45 75,961.45 - 08/01/2029 275,000.00 4.073% 75,961.45 350,961.45 - 09/30/2029 - - 426,922.90 02/01/2030 - - 70,361.08 70,361.08 - 08/01/2030 285,000.00 4.073% 70,361.08 355,361.08 - 09/30/2030 - - - 425,722.16 02/01/2031 - - 64,557.05 64,557.05 - 08/01/2031 300,000.00 4.073% 64,557.05 364,557.05 - 09/30/2031 429,114.10 02/01/2032 - - 58,447.55 58,447.55 - 08/01/2032 310,000.00 4.073% 58,447.55 368,447.55 - 09/30/2032 - - 426,895.10 02/01/2033 - - 52,134.40 52,134.40 08/01/2033 325,000.00 4.073% 52,134.40 377,134.40 - 09/30/2033 - - - 429,268.80 02/01/2034 - - 45,515.78 45,515.78 - 08/01/2034 335,000.00 4.073% 45,515.78 380,515.78 - 09/30/2034 - 426,031.56 02/01/2035 - - 38,693.50 38,693.50 08/01/2035 350,000.00 4.073% 38,693.50 388,693.50 - 09/30/2035 - - 427,387.00 02/01/2036 - - 31,565.75 31,565.75 - 08/01/2036 365,000.00 4.073% 31,565.75 396,565.75 09 RR util revs level MUD I BC MUD 1 1/ 6/2010 1 9:26 AM Specialized Public Finance Inc. Austin. Texas Page 2 City of Round Rock, Texas Utility System Revenue Bonds, Series 2009 Brushy Creek MUD Portion Project Fund Deposit = $7,403,111.14 Debt Service Schedule Part3of3 Date Principal Coupon Interest Total P+I Fiscal Total 09/30/2036 - 428,131.50 02/01/2037 - - 24,132.53 24,132.53 - 08/01/2037 380,000.00 4.073% 24,132.53 404,132.53 - 09/30/2037 - - 428,265.06 02/01/2038 - - 16,393.83 16,393.83 - 08/01/2038 395,000.00 4.073% 16,393.83 411,393.83 - 09/30/2038 - - 427,787.66 02/01/2039 - - 8,349.65 8,349.65 - 08/01/2039 410,000.00 4.073% 8,349.65 418,349.65 - 09/30/2039 - - - 426,699.30 Total $7,405,000.00 $5,411,419.59 $12,816,419.59 Yield Statistics Accrued Interest from 11/15/2009 to 12/08/2009 Bond Year Dollars Average Life Average Coupon Net Interest Cost (NIC) True Interest Cost (TIC) Bond Yield for Arbitrage Purposes All Inclusive Cost (AIC) IRS Form 8038 Net Interest Cost Weighted Average Maturity 19,269.25 $132,387.68 __............. 17.878 Years 4.0875553% .... ............................ 4.0875553% 4.0719869% 4.5346029% 4.0717892% ....... ...... 4.0730001% 17.878 Years 09 RR util revs level MUD 1 BC MUD 1 1/ 6/2010 1 9:26 AM Specialized Public Finance Inc. Austin, Texas Page 3 City of Round Rock, Texas Utility System Revenue Bonds, Series 2009 Brushy Creek MUD Portion Project Fund Deposit = $7,403,111.14 Debt Service Schedule Date Principal 09/30/2010 215,000.00 09/30/2011 135,000.00 09/30/2012 140,000.00 09/30/2013 145,000.00 09/30/2014 150,000.00 09/30/2015 155,000.00 09/30/2016 165,000.00 09/30/2017 170,000.00 09/30/2018 175,000.00 09/30/2019 185,000.00 09/30/2020 190,000.00 09/30/2021 200,000.00 09/30/2022 210,000.00 09/30/2023 215,000.00 09/30/2024 225,000.00 09/30/2025 235,000.00 09/30/2026 245,000.00 09/30/2027 255,000.00 09/30/2028 265,000.00 09/30/2029 275,000.00 09/30/2030 285,000.00 09/30/2031 300,000.00 09/30/2032 310,000.00 09/30/2033 325,000.00 09/30/2034 335,000.00 09/30/2035 350,000.00 09/30/2036 365,000.00 09/30/2037 380,000.00 09/30/2038 395,000.00 09/30/2039 410,000.00 Coupon Interest Total P+I 4.073% 214,475.13 429,475.13 4.073% 292,848.70 427,848.70 4.073% 287,350.16 427,350.16 4.073% 281,647.96 426,647.96 4.073% 275,742.10 425,742.10 4.073% 269,632.60 424,632.60 4.073% 263,319.46 428,319.46 4.073% 256,599.00 426,599.00 4.073% 249,674.90 424,674.90 4.073% 242,547.16 427,547.16 4.073% 235,012.10 425,012.10 4.073% 227,273.40 427,273.40 4.073% 219,127.40 429,127.40 4.073% 210,574.10 425,574.10 4.073% 201,817.16 426,817.16 4.073% 192,652.90 427,652.90 4.073% 183,081.36 428,081.36 4.073% 173,102.50 428,102.50 4.073% 162,716.36 427,716.36 4.073% 151,922.90 426,922.90 4.073% 140,722.16 425,722.16 4.073% 129,114.10 429,114.10 4.073% 116,895.10 426,895.10 4.073% 104,268.80 429,268.80 4.073% 91,031.56 426,031.56 4.073% 77,387.00 427,387.00 4.073% 63,131.50 428,131.50 4.073% 48,265.06 428,265.06 4.073% 32,787.66 427,787.66 4.073% 16,699.30 426,699.30 Total $7,405,000.00 $5,411,419.59 $12,816,419.59 Yield Statistics Accrued Interest from 11/15/2009 to 12/08/2009 Bond Year Dollars Average Life Average Coupon Net Interest Cost (NIC) True Interest Cost (TIC) Bond Yield for Arbitrage Purposes All Inclusive Cost (AIC) IRS Form 8038 Net Interest Cost Weighted Average Maturity 09 RR util revs level MUD I BC MUD 1 1/ 6/2010 1 9:26 AM 19,269.25 $132,387.68 17.878 Years 4.0875553% 4.0875553% 4.0719869% 4.5346029% 4.0717892% 4.0730001% 17.878 Years Specialized Public Finance Inc. Austin. Texas Page 4 DATE: January 21, 2010 SUBJECT: City Council Meeting—January 28, 2010 ITEM: 10F2. Consider a resolution authorizing the amendment of Exhibit "A" of the Wastewater Service Agreement with Brushy Creek Municipal Utility District. Department: Staff Person: Justification: Finance Cheryl Delaney, Finance Director In September of 2009, Brushy Creek Municipal Utility District entered into an agreement with the City of Round Rock to provide wholesale wastewater treatment and disposal services. Contained in the agreement is a payment obligation for capital charges -Exhibit 'A'. Brushy Creek MUD requested that the Exhibit 'A' be amended to provide a level capital charge schedule. This amended Exhibit 'A' reflects this request. This amendment is subject to approval by the Brushy Creek MUD board. This will not affect the City's debt obligation. Strategic Plan Relevance: 8.0 — Maintain and enhance public confidence, satisfaction and trust in City Government. Funding: Cost: N/A Source of funds: N/A Outside Resources: Garry Kimball, Specialized Public Finance Inc. Public Comment: N/A