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R-2018-5852 - 9/13/2018 RESOLUTION NO. R-2018-5852 WHEREAS, the City of Round Rock ("City") has previously entered into a Wastewater Service Agreement ("Agreement") with Brushy Creek Municipal Utility District ("District"); and WHEREAS, the City Council now wishes to enter into a Second Amendment to the Agreement to amend Exhibit "A" to provide for reduced debt service payments, Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, That the Mayor is hereby authorized and directed to execute on behalf of the City, Second Amendment to the Wastewater Service Agreement Between the City of Round Rock and Brushy Creek Municipal Utility District, a copy being attached hereto as Exhibit "A" and incorporated herein for all purposes. 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 13th day of September, 2018. 4111, CRAIGORrock, Mayor City of ound Texas ATTEST: SARA L. WHITE, City Clerk 01 12 1804;00408731 EXHIBIT "A„ SECOND AMENDMENT TO THE WASTEWATER SERVICE AGREEMENT BETWEEN THE CITY OF ROUND ROCK AND BRUSHY CREEK MUNICIPAL UTILITY DISTRICT THIS SECOND AMENDMENT TO THE WASTEWATER SERVICE AGREEMENT BETWEEN THE CITY OF ROUND ROCK AND BRUSHY CREEK MUNICIPAL UTILITY DISTRICT (the "Second Amendment") is dated and entered into as of the day of 2018, by and among the City of Round Rock, Texas ("Round Rock") a home-rule municipality and political subdivisions of the State (the "City") and Brushy Creek Municipal Utility District, (the"District"). RECITALS WHEREAS, Round Rock and the District have entered into that certain Wastewater Service Agreement Between the City of Round Rock and Brushy Creek Municipal Utility District, (the"Agreement")effective as of October 22, 2009; and WHEREAS, Exhibit "A" to the Agreement sets forth the debt service payments to be made by the District for the purposes of the District Capital Charge; and WHEREAS, in June 2016, the City refunded approximately $35,000,000 in Utility System Revenue Bonds to take advantage of favorable market conditions which will allow the City and District to save significant money for interest payments; and WHEREAS, in 2017, the City refunded approximately $32,000,000 in Utility System Revenue Bonds to take advantage of favorable market conditions which will allow the City and District to save significant money for interest payments; and WHEREAS, the parties hereto desire to amend Exhibit "A" to provide for reduced debt service payments; NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained, the sufficiency of which are hereby conclusively acknowledged, and subject to the terms and conditions hereinafter set forth, Round Rock and the District mutually agree to approve this Second Amendment, which shall read as follows: ARTICLE I DEFINITIONS Section 1.l All terms used herein shall have the meanings assigned to them in the Agreement, unless the context clearly requires otherwise. 00407239.noc ARTICLE II AMENDED EXHIBIT A Section 2.1 The document marked "Exhibit A", and entitled "City of Round Rock Texas, Outstanding 2009, 2016 Refunding and 2017 Refunding as of 9/30/18, Brushy Creek ILD Portion Only" attached to and incorporated herein replaces the previous "Exhibit A" attached to the Agreement. Everywhere the Agreement refers to "Exhibit A," it is agreed that henceforth it will be understood to refer to the attached"Exhibit A". ARTICLE III MISCELLANEOUS Section 3.1 To the extent necessary to effect the terms and provisions of this Second Amendment, the Agreement is hereby amended and modified. In all other respects, the aforesaid Agreement is hereby ratified and confirmed. Section 3.2 This Second Amendment may be executed in counterparts, each of which shall be an original and all of which together shall constitute but one and the same instrument. IN WITNESS WHEREOF, the parties hereto acting under authority of their respective governing bodies have caused this Second Amendment to be duly executed as of the day and year first above written. (SIGNATURES ON.FOLLOWING PAGES) 2 BRUSHY CREEK MUNICIPAL UTILITY DISTRICT By: President Attest: By: Secretary 3 CITY OF ROUND ROCK,TEXAS By: Craig Morgan,Mayor Attest: By: Sara White, City Clerk 4 EXHIBIT „A„ City of Round Rock, Texas Outstanding 2009, 2016 Refunding and 2017 Refunding as of 9/30/18 Brushy Creek MUD Portion Only Aggregate Debt Service Part 1 of 2 Date Principal Interest Total P+I Fiscal Total 09/30/2018 - - - _ 02/01/2019 - 109,467.53 109,467.53 - 08/01/2019 185,000.00 109,467.53 294,467.53 - 09/30/2019 - - - 403,935.06 02/01/2020 - 105,700.00 105,700.00 - 08/01/2020 160,000.00 105,700.00 265,700.00 - 09/30/2020 - - - 371,400.00 02/01/2021 - 101,700.00 101,700.00 - 08/01/2021 170,000.00 101,700.00 271,700.00 - 09/30/2021 - - 373,400.00 02/01/2022 - 97,450.00 97,450.00 - 08/01/2022 180,000.00 97,450.00 277,450.00 - 09/30/2022 - - - 374,900.00 02/01/2023 - 92,950.00 92,950.00 - 08/01/2023 185,000.00 92,950.00 277,950.00 - 09/30/2023 - - - 370,900.00 02/01/2024 - 88,325.00 88,325.00 - 08/01/2024 195,000.00 88,325.00 283,325.00 - 09/30/2024 - - - 371,650.00 02/01/2025 - 83,450.00 83,450.00 - 08/01/2025 230,000.00 83,450.00 313,450.00 - 09/30/2025 - - - 396,900.00 02/01/2026 - 77,700.00 77,700.00 - 08/01/2026 245,000.00 77,700.00 322,700.00 - 09/30/2026 - - - 400,400.00 02/01/2027 - 71,575.00 71,575.00 - 08/01/2027 255,000.00 71,575.00 326,575.00 - 09/30/2027 - - - 398,150.00 02/01/2028 - 68,387.50 68,387.50 - 08/01/2028 260,000.00 68,387.50 328,387.50 - 09/30/2028 - - - 396,775.00 02/01/2029 - 65,137.50 65,137.50 - 08/01/2029 265,000.00 65,137.50 330,137.50 - 09/30/2029 - - - 395,275.00 02/01/2030 - 61,493.75 61,493.75 - 08/01/2030 275,000.00 61,493.75 336,493.75 - 09/30/2030 - - - 397,987.50 02/01/2031 - 57,712.50 57,712.50 - 08/01/2031 285,000.00 57,712.50 342,712.50 - 09/30/2031 - - - 400,425.00 Aggregate 1 6/20/2018 1 2:28 PM Specialized Public Finance Inc. Austin, Pagel City of Round Rock,Texas Outstanding 2009, 2016 Refunding and 2017 Refunding as of 9/30/18 Brushy Creek MUD Portion Only Aggregate Debt Service Part 2 of 2 Date Principal Interest Total P+I Fiscal Total 02/01/2032 - 53,437.50 53,437.50 - 08/01/2032 290,000.00 53,437.50 343,437.50 - 09/30/2032 - - - 396,875.00 02/01/2033 - 49,087.50 49,087.50 - 08/01/2033 300,000.00 49,087.50 349,087.50 - 09/30/2033 - - - 398,175.00 02/01/2034 - 43,087.50 43,087.50 - 08/01/2034 310,000.00 43,087.50 353,087.50 - 09/30/2034 - - - 396,175.00 02/01/2035 - 36,887.50 36,887.50 - 08/01/2035 325,000.00 36,887.50 361,887.50 - 09/30/2035 - - - 398,775.00 02/01/2036 - 30,387.50 30,387.50 - 08/01/2036 335,000.00 30,387.50 365,387.50 - 09/30/2036 - - - 395,775.00 02/01/2037 - 23,268.75 23,268.75 - 08/01/2037 350,000.00 23,268.75 373,268.75 - 09/30/2037 - - - 396,537.50 02/01/2038 - 15,831.25 15,831.25 - 08/01/2038 365,000.00 15,831.25 380,831.25 - 09/30/2038 - - - 396,662.50 02/01/2039 - 8,075.00 8,075.00 - 08/01/2039 380,000.00 8,075.00 388,075.00 - 09/30/2039 - - - 396,150.00 Total $5,545,000.00 $2,682,222.56 $8,227,222.56 - Par Amounts Of Selected Issues 2017 Utility Rev Ref allocation as of 9/30/18-Brushy Creek MUD 2,320,000.00 2016 Utility Rev Ref allocation as of 9/30/18 Brushy Creek MUD 3,040,000.00 2009 Utility Rev allocation as of 9/30/18-Brushy Creek MUD 185,000.00 TOTAL 5,545,000.00 Aggregate 1 6/20/2018 1 2:28 PM Specialized wFinance Austin,Texas .g- City of Round Rock,Texas $78,7851000 Utility System Revenue Bonds, Series 2009 Brushy Creek MUD Portion Debt Service Schedule Date Principal Coupon Interest Total P+I Fiscal Total 08/01/2018 - - - - _ 02/01/2019 - - 3,767.53 3,767.53 - 08/01/2019 185,000.00 4.073% 3,767.53 188,767.53 - 09/30/2019 - - - - 192,535.06 Total $185,000.00 - $7,535.06 $192,535.06 - Yield Statistics Bond Year Dollars $185.00 .Average Life_.......__...__...._ ........__ _........___.. 1.000 Years _..__._......._.._..._..._......_._._.__.....__..._..._ ................_....._..._ __ ._...._.... _ __ ._._.._._....__._._................_...._......_............................. .........._..* *. Average Coupon 4.0730054/o Net Interest Cost(NIC) 4.0730054% True Interest Cost(TIC) 4.0730054% ......................................................................................................................_ _.._...._.._. ..._.._.._...__._........._........_....__._.....__._.. _......_.._.._..__._._.........._ __...._._.... . ............_...._...._.._......................_...... Bond Yield for Arbitrage Purposes___�___ 5.0000000% _________.__�__ ._ ._ __.___...__.........._..._...__.................. All Inclusive Cost(AIC) 4.0730054% IRS Form 8038 NetInterest Cost 4.0730054% _.... .............._....._._._.__.._........._ .__.__.. _._____._____�__ ____ _. Weighted Average Maturity 1.000 Years 2009 Utility Rev allocati I Brushy Creek MUD 1 6/20/2018 1 2:30 PM Specialized Public Finance Inc. Austin,TexasPage City of Round Rock, Texas $359185,000 Utility System Revenue Refunding Bonds, Series 2016 Brushy Creek MUD Portion Debt Service Schedule Part 1 of 2 Date Principal Coupon Interest Total P+I Fiscal Total 08/01/2018 - - - 02/01/2019 - - 53,062.50 53,062.50 - 08/01/2019 - - 53,062.50 53,062.50 - 09/30/2019 - - - - 106,125.00 02/01/2020 - - 53,062.50 53,062.50 - ___ _. _........ .. ......... ....... _-.._ _........ 08/01/2020 - - 53,062.50 53,062.50 - 09/30/2020 - - - - 106,125.00 02/01/2021 - - 53,062.50 53,062.50 - 08/01/2021 - - 53,062.50 53,062.50 - 09/30/2021 __ �_._._. - - 106,125.00 .........__......._..__...._.__...._ _..._..__.......___ .... _ ...._._.._......__.... _......._..........................___.._....__._.._.._....................................... ......_........_.._._....._....._............................_......._.._--_ 02/01/2022 - - 53,062.50 53,062.50 - 08/01/2022 - - 53,062.50 53,062.50 - 09/30/2022 - - - - 106,125.00 02/01/2023 - - 53,062.50 53,062.50 - 08/01/2023 - - 53,062.50 53,............. 09/30/2023 - - _..__...._.__._.__.__._.__....._..._....__..__..........__._. - 106,125.00 02/01/2024 - - 53,062.50 53,062.50 - 08/01/2024 - - 53,062.50 53,062.50 - 09/30/2024 - - - - 106,125.00 02/01/2025 - - 53,062.50 53,062.50 - _......._....._.......................___._..___.._...._.._..._..........................___ _ _..._......_.....-- -...._.....__._..__ .__.�._............ ...............—._._.._______....... ._......_......._...._......._....._..._ _..____.._.._....... 08/01/2025 230,000.00 5.000% 53,062.50 283,062.50 - 09/30/2025 - - - - 336,125.00 02/01/2026 - - 47,312.50 47,312.50 - 08/01/2026 245,000.00 5.000% 47,312.50 292,312.50 - ......09/30/2026_.._.._.._..__..._._._........__._.............................. - - 339 625.00 02/01/2027 - - 41,187.50 41,187.50 08/01/2027 255,000.00 2.500% 41,187.50 296,187.50 - 09/30/2027 - - - - 337,375.00 02/01/2028 - - 38,000.00 38,000.00 - 08/01/2028 260,000.00 2.500% 38,000.00 298,000.00 - ... ....................._.._......__......__...................................._......_.._.._..__.._...._.__.__........................................_....__.._.._...._.._...__......... .............._............................_...................__..........................I...............- 09/30/2028 - - - - 336,000.00 02/01/2029 - - 34,750.00 34,750.00 - 08/01/2029 265,000.00 2.750% 34,750.00 299,750.00 - 09/30/2029 - - - - 334,500.00 02/01/2030 - - 31,106.25 31,106.25 - . ...............__.....__.__..._. _..___---_.__.._._..._o_.__ _.... __..... ._...... . _.... __......_..__....._.._._—____.__...._.. 08/01/2030 275,000.00 2.750% 31,106.25 306,106.25 - 09/30/2030 - - - - 337,212.50 02/01/2031 - - 27,325.00 27,325.00 - 08/01/2031 285,000.00 3.000% 27,325.00 312,325.00 - 09/30/2031 - - - - 339,650.00 2016 Utility Rev Ref allo I Brushy Creek MUD 1 6/20/2018 1 2:31 PM Specialized Public M — -- __E 1 1110 w City of Round Rock, Texas $35918500 Utility System Revenue Refunding Bonds, Series 2016 Brushy Creek MUD Portion Debt Service Schedule Part 2 of 2 Date Principal Coupon Interest Total P+I Fiscal Total 02/01/2032 - - 23,050.00 23,050.00 - 08/01/2032 290,000.00 3.000% 23,050.00 313,050.00 - 09/30/2032 - - - - 336,100.00 02/01/2033 - - 18,700.00 18,700.00 - 08/O...... _ _ 300,000.00 4.000% 18,700.00 318,700.0009/30/2033 - - - - - 337 400.00 02/01/2034 - - 12,700.00 12,700.00 - 08/01/2034 310,000.00 4.000% 12,700.00 322,700.00 - 09/30/2034 - - - - 335,400.00 02/01/2035 __..__...................................................... - _.._._......... 6,500.00 6,500.00 - . _ __.._ ..._........__... _ ........ ......................__._......__----_......................__.........................._._._.._.._--._-.....__... . 08/01/2035 325,000.00 4.000% 6,500.00 331,500.00 - 09/30/2035 - - - - 338,000.00 Total $3,040,000.00 - $1,304,137.50 $4,344,137.50 - Yield Statistics Bond Year Dollars _..__ Average Life ............ _ ...____...._____....___........._.__.__.................._.............. .__....__..._._......_...____.._..._...__...._._.._.._.__. _.____.__.._._..___________...._.�...._.._._.___.._.._.___..._. ........._... 12.313 Years Average Coupon_. 3.4842038% Net Interest Cost(NIC) 3.4842038% .. _ _ __. True Interest Cost(TICS 3.4783305% BondYield for Arbitrage Purposes.............._._........................_...._............_._..................................................._........_...._....._........._.................... ..............................................•-- -- ..... 4783305% IRS Form 8038 Net Interest Cost o _.............._..............._........................................__.........................................._. 3.4842038/° Weighted Average Maturity l2 313 Years 2016 Utility Rev Ref allo I Brushy Creek MUD 1 6/20/2018 1 2:31 PM Specialized Public Austin, Texas • r City of Round Rock,Texas $32,785,000 Utility System Revenue Refunding Bonds, Series 2017 Brushy Creek MUD Portion Debt Service Schedule Part 1 of 2 Date Principal Coupon Interest Total P+I Fiscal Total 08/01/2018 - - 02/01/2019 - - 52,637.50 52,637.50 08/01/2019 - - 52,637.50 52,637.50 - 09/30/2019 - - - - 105,275.00 02/01/2020 - - 52,637.50 52,63-. ---- 08/01/2020 160,000.00 5.000% 52,637.50 212,637.50 - 09/30/2020 - - - - 265,275.00 02/01/2021 - - 48,637.50 48,637.50 - 08/01/2021 170,000.00 5.000% 48,637.50 218,637.50 - 09/30/2021 - - - - 267,275.00 ........._................._._.._..__.___._-___...._..._.__.___ _._..._._..._-______....._..._..._......._.._...__.._._.._...._____.._...._.._................_._............._...._._..___. ._._..___..__.._..................................._..............___._-._____.......... 02/01/2022 - - 44,387.50 44,387.50 - 08/01/2022 180,000.00 5.000% 44,387.50 224,387.50 - 09/30/2022 - - - - 268,775.00 02/01/2023 - - 39,887.50 39,887.50 - 08/01/2023..............._._.......___.................185,000:00 5.000% 39,887.50 224,887.50 - ....... ..........._._.._....._._.__........_.........__..__.......__.._.... _ 09/30/2023 ............_..._..._....................._........_........__.........................................__.. .. - - - 264,775.00 02/01/2024 - - 35,262.50 35,262.50 - 08/01/2024 195,000.00 5.000% 35,262.50 230,262.50 - 09/30/2024 - - - - 265,525.00 02/01/2025 - - , - .._............................_ __�___._.___. _ __ _^_.._........_.30_........_......387.50......._._.__....___._...._._..30,.._._. .....387.50_._..___._......_____ 08/01/2025 - - 30,387.50 30,387.50 - 09/30/2025 - - - - 60,775.00 02/01/2026 - - 30,387.50 30,387.50 - 08/01/2026 - - 30,387.50 30,387.50 - 09/30/2026 - - 60,775.00 __...__...___._._...___.__..___..__ _. .,......_.._..........._..__._....._._..___.._____......_.._......____.._...__.....-...______.__.__...._.._._.._.._____._ 02/01/2027 - - 30,387.50 30,387.50 08/01/2027 - - 30,387.50 30,387.50 - 09/30/2027 - - - - 60,775.00 02/01/2028 - - 30,387.50 30,387.50 - 08/01/2028 - - 30,387.50 30,387.50 ........_........................................................................._.........._._.._......._. 09/30/2028 ... ......_.........._...._..................._...._....................._......_............_............................................... - - 60,775.00 02/01/2029 - - 30,387.50 30,387.50 - 08/01/2029 - - 30,387.50 30,387.50 - 09/30/2029 - - - - 60,775.00 02/01/2030 - - 30,387.50 30,387.50 - 08/01/2030 - - 30,387.50 30,387.50 - 09/30/2030 - - - - 60,775.00 02/01/2031 - - 30,387.50 30,387.50 - 08/01/2031 - - 30,387.50 30,387.50 - 09/30/2031 - - - - 60,775.00 2017 Utility Rev Ref allo I Brushy Creek MUD 1 6/20/2018 1 2:31 PM SpecializedPublic Austin,Texas '..-6 City of Round Rock,Texas $32,7855000 Utility System Revenue Refunding Bonds, Series 2017 Brushy Creek MUD Portion Debt Service Schedule Part 2 of 2 Date Principal Coupon Interest Total P+I Fiscal Total 02/01/2032 - - 30,387.50 30,387.50 - 08/01/2032 - - 30,387.50 30,387.50 - 09/30/2032 - - - - 60,775.00 02/01/2033 - - 30,387.50 30,387.50 - 08/O1/2033 - - 30,387.50 30,387.50 - 09/30/2033 - - 60,775.00 02/01/2034 - - 30,387.50 30,387.50 - 08/01/2034 - - 30,387.50 30,387.50 - 09/30/2034 - - - - 60,775.00 02/01/2035 - - 30,38..... ....................................-.......__......_....._..___._._.___...._..._______._ 08/01/2035 - - 30,387.50 30,387.50 - 09/30/2035 - - - - 60,775.00 02/01/2036 - - 30,387.50 30,387.50 - 08/01/2036 335,000.00 4.250% 30,387.50 365,387.50 - 09/30/2036 - - 395,775.00 ..........................--...._..........._.__.....__._.....__....__.._................................................._._...._......_..-_._....._............_........_......-....._.._..._._ _._..._.__............................................__....._.. ..__...__._............_..-.-.._..__._................................._.._.._._.__....................._........_.............. 02/01/2037 - - 23,268.75 23,268.75 - 08/01/2037 350,000.00 4.250% 23,268.75 373,268.75 - 09/30/2037 - - - - 396,537.50 02/01/2038 - - 15,831.25 15,831.25 1 .00 4 38 365,00 - 08/01/200 .250% 5,831.25 380,831.25 - _..� ... __._.___.._ ........_........___...................._.---. _ —.__.__.__.____...__....._..__..___..__....._----- _.._.._..___. _____ _.____. .........___..._...._ 09/30/2038 - - - - -396,662.50 02/01/2039 - - 8,075.00 8,075.00 - 08/01/2039 380,000.00 4.250% 8,075.00 388,075.00 - 09/30/2039 - - - - 396,150.00 Total $2,320,000.00 - $1,370,550.00 $3,690,550.00 - Yield Statistics Bond Year Dollars $31�_ : 605 00 ....................................._............................_....._.._......._........._..__._...._.._...._...._.._._....._..._...._..._..._...._..__.-....._........_..-._...._._..__....-_._ ...._...._..............._...__......_._._........._._.__......__..._........_...._..__....._....._....._._......._...._._.._..........._..._..._.._..._.__ ._._ Average Life 13.6_23 Years ..Average Coupon._........__.__.__..._._._._.__.___...._._.._......___......._..__.__....._..__._..._._........_..._...._..._._........._._..__............_.........__.......-............... .... _ 4.3364974% Net Interest Cost(.NIC) 4.3364974% .. True Interest Cost(TIC) 4.3619019% ....... ............ ..... Bond Yield for Arbitrage Purposes _.._...__..._......._.._............._._................_............_._.._.........................__._._..__._._. 4.4213301% ....._.__..._..........._....._........_.__..__.._.........._....-._.........._..........._...._._._...._...._............. All Inclusive Cost(AIC)... 4.3619019% IRS Form 8038 Net Interest Cost 4.3364974% Weighted Average Maturity13 623 Years 2017 Utility Rev Ref allo I Brushy Creek MUD 6/20/2018 1 2:31 PM Specialized Public Austin,Texas Page