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HomeMy WebLinkAbout1995-12-21 WUCFD MINUTESDISTRICT BOARD OF THE WATER UTILITIES COMMUNITY FACILITIES DISTRICT CITY OF APACHE JUNCTION, ARIZONA DECEMBER 21,1995 -6:30 P.M. MEETING MINUTES BOARD OF DIRECTORS ROLL CALL: Chairperson Douglas Coleman Vice Chairperson Patricia Richmond Mrs.Robin Barker Mr.Joe Durbal a Mrs.Grace Hagner Mr.Keith Hendricks (Absent) Mrs.Anne Surra 1.Call to order. 2.Roll call. Others Present: Doug Dobson,Public Works Director Keith Lewis,District Treasurer Glenn Gimbut,City Attorney 3.Approval of Resolution No. 1995-010, A resolution of the Board of Directors of the Water Utilities Community Facilities District (City of Apache Junction, Arizona) acknowledging and accepting its obligations for past due real property taxes and customer deposits of the Apache Junction division of Consolidated Water Utilities,Ltd.And expressing its intentions to the Arizona Corporation Commission. City Attorney Glenn Gimbut discussed the purchase agreement with Brooke Water and stated that the Corporation Commission ordered a requirement that impound accounts be set aside equal to the amounts for back taxes owed to Pinal County and for customer deposits,meter advances,and advances in aid of construction. That meant the amount of about $1.2 to $1.3 million which the District did not borrow.He stated that the Board of Directors of the District has agreed to pass a resolution assuring that it would honor those things and that it would treat those funds in the similar manner as the Commission treats it under their rules and regulations; that the Di strict would adopt regulations identical to the those of the Commission that govern those areas;and that the District would not be raising the rates to collect that money.He then briefed the Board on Resolution No.1995-010. Chairman Coleman asked clarification on Section 2 of the resolution. Mr.Gimbut explained that as part of the loan agreement with First Interstate Bank, a long-term bond facility is available for the District to borrow the money to pay the Pinal County taxes.He stated that under the Bankruptcy plan the interest rate has been reduced to 6%and there is the ability to pay it over a period of five years, but the District hopes to negotiate an even lower rate for an advanced payment. Water Utilities Community Facilities District Meeting Minutes of December 21,1995. Page 1 of 2 Mr.Durbala moved for approval of Resolution No.1995-010.Vice Chairperson Richmond seconded the motion.Motion passed unanimously. Adjournment at 6:50 p.m. Kathleen Connelly District ClerkClerk Water Utilities Community Facilities District Meeting Minutes of December 21,1995. Page 2 of 2