HomeMy WebLinkAbout2026-04 Authorizing Loan Agreement with ODOT for N. Mountain Ave. Rehabilitation Project RESOLITTION NO. 2026-04
RESOLT-TIONOF THE CITY OF ASHLAND AUTHORIZING THE CITY_',VLXN_AGER TO
ENTER INTO A LOAN AGREE AMENT WITH THE OREGON DEPARTMENT OF
TRANSPORTATION FOR THE NORTH'_\IOUNTAIN AVENUE REILALBILITATION
PROJECT
RECITALS:
A. The City of Ashland ("City" or"Borrower") has filed an application with the Oregon
Department of Transportation ("Departinent") to obtain financial assistance for an
overlay and rehabilitation project of North Mountain Avenue.
B. The Oregon Transportation Commission has approved the City's application for financial
assistance from the Ore-on Transportation Infrastructure Fund,
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C. As a prerequisite to the receipt of financial assistance from the Department, the, City is
required to enter into a Loan Agreement ("Agreement" or "Loan Agreement") with the
Department in substantially the form attached hereto as Exhibit "A" and provide a
resolution to the Department that the City's governing board authorized the loan and
appointed an authorized offer.
THE CITY OF ASHLAND HEREBY RESOLVES AS FOLLOWS:
SECTION 1. Financing Loan Authorized. The Governing Body authorizes the City Manager
(the "Authorized Officer")to execute, on behalf of the City, the Loan Agreement and other such
documents as may be required to obtain financial assistance from the Department, with the
condition that the principal amount of the loan fi-om the Department to the City is not in excess
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of$7,,662,963.00 and the interest rate on such loan is not in excess of 2.77%pro per annum. The
proceeds of the loan from the Department shall be applied solely to "Project," as that term is
defined in the Loan Agreement.
SECTION 2. Security. Repayment of the City's obligation under the Financing Documents is
secured byil-i "Pledged Revenues," as defined in the Loan Agreement to mean: (1) City's Food
and Beverage Tax, (11) City's Street User Fee, (iii)Full Faith and Credit of the Borrower, (IV)
any funds payable from the State to the Borrower, including, but not limited to, any amounts
due to the Borrower from the State pursuant to ORS 366.783 to 366.820.
SECTION 3. Municipal Comoration. The City is a municipal corporation, duly organized
under its Charter, and exercises all powers and privileges conferred-upon municipal
corporations by state and federal authorities.
SECTION 4. This resolution is effective upon adoption.
Resolution No.2026-04 Page 1 of 2
This resolution was duly PASSED and ADOPTED this day of
and takes effect upon signing b4the ayor.
"
Ali lodzinski, City Recorder
SIGNED and APPROVED this day of �- , 2026.
Tonya graham, Mayor
Reviewed as to farm:
ea
m ahi:an,Deputy City Attorney
Resolution No.2026-04 Page 2 of 2