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HomeMy WebLinkAbout2009-025 Contract - Taxable Current Refunding Note Wells Fargo Brokerage Services, LLC Public Finance Division 3295 Elder Street, Suite 214 MAC U1853-020 Boise, Idaho 83705 SUPPLEMENT TO TAXABLE CURRENT REFUNDING NOTE Name and address of Borrower: Supplement #N003589 The City of Ashland 201 E. Main Street Ashland, Oregon 97520 This is a Supplement showing the breakdown of the Taxable Current Refunding Note Purchase Contract dated April 1, 2009 between Lender and Borrower (the "Note"). Upon the execution and delivery by Lender and Borrower of this Supplement, Lender hereby agrees to lend to Borrower, and Borrower hereby agrees to borrow from Lender, the Note described below upon the terms and conditions of this Supplement and the Taxable Current Refunding Note Purchase Contract. NOTE DESCRIPTION Quantity Serial Number Current Refunding of the Series 2004 Note due April 1, 2009 Location of Property (if different from Borrower's address) SCHEDULE OF NOTE PAYMENTS Basic Rental Number Of Advance Payments Payments Payments Note commencement date: 4/1/2009 $19,267.98 20 -0- Term in months from note commencement Interest Rate First Payment Final Purchase Due Option Price 120 months 5.75% 10/1/2009 0 Rental payment period (check one) D Monthly Annually FINANCE AMOUNT: 290,000.00 D Quarterly Other - see additional provisions X Semi-annually TOTAL RENT: $385,359.60 Additional Provisions: Twenty semi-annual payments $19,809.30 beginning October 1,2009 and each April 1 st and October 1 st By Its Senior Vice President BORROWER: City of Ashland, Oregon By ~~- Name 0~ ~~J'i!t:- Its A~JtlIM S vc-,/ hN~~12 f)fM~_ Name Date 04/01/2009 Date 04/01/2009 2 CERTIFICATE OF INCUMBENCY OF THE CITY OF ASHLAND, OREGON $290,000 THE CITY OF ASHLAND, OREGON TAXABLE CURRENT REFUNDING NOTE, SERIES 2009 I, Barbara Christensen, do hereby certify that I am the duly elected or appointed Tresurer/Recorder of the City of Ashland, a political subdivision duly organized and existing under the laws of the State of Oregon that I have custody of the records of such entity, and that, as of the date hereof, the individuals named below are the duly elected or appointed officers of such entity holding the offices set forth opposity their respective names. I further certify that (I) the signatures set opposity their respective names and titles are their true and authentic signatures and (II) such officers have the authority on behalf of such entity to enter into that certain Taxable Current Refunding Note Purchase Contract dated April 1, 2009 between such entity and Wels Fargo Brokerage Services, LLC. NAME TITLE SIGNA TURE Richard Appicello City Attorney Darlow L. Tuneberg Finance Director ~ Dated as of the !L day of~, 2009. IN WITNESS WHEREOF, I have duly executed this certificate and affixed the seal of such entity hereto this /? day of March, 2009. F ASHLAND, OREGON ~ TREASURERffiECORDERI 3 March 3, 2009 The City of Ashland Attention: Lee Tuneberg, Finance Director 20 East Main Street Ashland, Oregon 97520 TAXABLE CURRENT REFUNDING NOTE PURCHASE CONTRACT Wells Fargo Brokerage Services, LLC, (the "Purchaser"), is pleased to offer to purchase from the City of Ashland, Oregon, (the "Seller") $290,000.00 principal amount Taxable Current Refunding Note, Series 2009 (the "Note"), such Note to refinance the Taxable Full Faith & Credit Note, Series 2004. This offer is subject to credit review and approval and the terms and conditions set forth below and in Exhibit A-I attached, which when accepted by the Seller shall constitute the terms and conditions of our Purchase Contract for the Note. Those terms and conditions are as follows: 1. Prior to the date of delivery and payment for the Note ("Closing"), the Seller shall provide to Purchaser such financial statements, data, and other documents necessary for satisfactory review and approval of credit and shall adopt a Resolution (the "Resolution") authorizing the sale of the Note in a form and substance acceptable to the Purchaser. 2. The Seller shall sell and deliver to the Purchaser its Note; and the Purchaser shall purchase at the interest rate set forth in paragraph (B) of Exhibit A and payoff the Series 2004 Note. 3. The Seller represents, warrants to, and agrees with the Purchaser as of the date and time of Closing that: a. The Seller has and will have at Closing full legal right, power, and authority to enter and perform its obligations under this Purchase Contract, to adopt the Resolution, and to sell and deliver the Note to the Purchaser; b. This Purchase Contract, the Resolution, and the Note do not and will not conflict with or create a breach of or default under any existing law, regulation, judgment, order, decree, agreement, lease, or instrument to which the Seller is subject or by which it is bound; c. No governmental consent, approval, or authorization other than the Resolution is required in connection with the sale of the Note to the Purchaser; d. This Purchase Contract, the Resolution, and the Note (when paid for by the Purchaser) are, and shall be at the time of Closing, legal, valid, and binding obligations of the Seller enforceable in accordance with their respective terms, subject only to applicable bankruptcy, insolvency or other similar laws generally affecting creditors' rights; e. The Resolution shall have been duly authorized by the Seller, shall be in full force and effect and shall not have been amended at the time of closing; f. The Seller covenants and will provide a certification that no materially adverse changes in the Seller's financial position or status has occurred in the time period between the date of the most current Financial Statements Audit (audit period July 1,2007 and June 30, 2008) and the present date that would adversely affect the City's ability to pay the Note. g. The Seller will covenant to include in its annual budgets amounts necessary for the annual interest and principal payments on the Note as set forth in the Seller's Resolution authorizing issuance of the Note. 5. As conditions to the Purchaser's obligation hereunder: a. At or prior to Closing, the Purchaser shall have received the following: 1. The Note, in definitive or temporary form, duly executed and authenticated; 2. An approving opinion of the City of Ashland's City Attorney (the "Legal Counsel") satisfactory to the Purchaser and dated as of Closing, to the effect that the Seller has authority to adopt the Resolution and to issue and sell the Note to the Purchaser; that the Note is valid, legal, and binding obligations of the Seller, subject to (i) applicable bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and other similar laws affecting the creditors' rights generally; (ii) the application of equitable principles and exercise of judicial discretion in appropriate cases; (iii) common law and statues affecting the enforceability of contractual obligations generally; and (iv) principles of public policy concerning, affecting or limiting the enforcement of rights or remedies against governmental entities such as the City; 3. A certificate signed by authorized officers of the Seller to the effect that no litigation is pending and, to the knowledge of the Seller, threatened against the Seller in any court to restrain or enjoin the sale or delivery by the Seller of the Note; to question the authority of the Seller to issue; to question the constitutionality of any statute, ordinance, or proceeding authorizing the issuance of the Note; to question the validity or enforceability of the Resolution; to question the titles of any officers of the Seller to their respective offices or the legal existence of the Seller under the laws of the State of Oregon or which might in any material respect adversely affect the transaction contemplated to be undertaken by the Seller; 4. A certificate signed by authorized officers of the Seller to the effect that the officers of the Seller who signed or whose facsimile signatures appear on the Note were, on the date of execution of the Note, the duly elected, qualified, and acting officers of the Seller; and that their signatures are genuine or accurate facsimiles. 5. A certified copy of the Resolution; 6. An executed of this Taxable Current Refunding Note Purchase Contract; 7. Such additional legal opInIons, certificates, instruments, and documents as the Purchaser may reasonably request to evidence the truth, accuracy, and completeness of the representations, warranties, and due performance by the Seller of all agreements and conditions then to be satisfied by the Seller in connection with this transaction; 6. Upon acceptance, this Purchase Contract shall be binding upon the Seller and the Purchaser. This Purchase Contract is intended to benefit only the parties hereto. The Seller's representations and warrants that the Note shall survive any investigation made by or for the Purchaser. Should the Seller fail to satisfy any of the foregoing conditions, or if Purchaser's obligations are terminated for any reason permitted under this Purchase Contract, then the Purchaser shall have no further obligations under this Purchase Contract. Respectfully submitted, WELLS FARGO BROKERAGE SERVICES, LLC tL / Accepted by the City of Ashland, Oregon thislf th ~f~arch, 2009. . ') ~.J:...~ - /,;1--. ATTEST:~ ~-u~.. Finance Officer Treasurer Taxable Full Faith & Credit Note City of Ashland, OR Exhibit A Costs Funded Payment Rate 20 Payments Level Payment Closing Fees Average Life $290,000.00 5.750/0 2 per year $19,267.98 $0.00 5.72 years 5.7500/0 Rate Fctr=.066441 68.6 months Commencement: Apr 1,2009 Closing Date: Apr 1,2009 Total Payment Interest Principal After Payment After Payment Payment Due Pmt Principal Termination Due Payment Due Payment Due Date Balance Value $0.00 $0.00 $290,000.00 Apr 1,2009 1 $19,267.98 $8,337.50 $10,930.48 $279,069.52 $285,379.67 Oct 1, 2009 2 $19,267.98 $8,023.25 $11,244.73 $267,824.79 $273,602.90 Apr 1, 2010 3 $19,267.98 $7,699.96 $11,568.02 $256,256.77 $261,517.00 Oct 1, 2010 4 $19,267.98 $7,367.38 $11,900.60 $244,356.18 $249,113.84 Apr 1,2011 5 $19,267.98 $7,025.24 $12,242.74 $232,113.44 $236,385.10 Oct 1, 2011 6 $19,267.98 $6,673.26 $12,594.72 $219,518.72 $223,322.23 Apr 1,2012 7 $19,267.98 $6,311.16 $12,956.82 $206,561.90 $209,916.46 Oct 1, 2012 8 $19,267.98 $5,938.65 $13,329.32 $193,232.58 $196,158.79 Apr 1,2013 9 $19,267.98 $5,555.44 $13,712.54 $179,520.03 $182,039.98 Oct 1,2013 10 $19,267.98 $5,161.20 $14,106.78 $165,413.26 $167,550.55 Apr 1,2014 11 $19,267.98 $4,755.63 $14,512.35 $150,900.91 $152,680.77 Oct 1,2014 12 $19,267.98 $4,338.40 $14,929.58 $135,971.33 $137,420.66 Apr 1, 2015 13 $19,267.98 $3,909.18 $15,358.80 $120,612.53 $121,759.97 Oct 1, 2015 14 $19,267.98 $3,467.61 $15,800.37 $104,812.16 $105,688.19 Apr 1,2016 15 $19,267.98 $3,013.35 $16,254.63 $88,557.53 $89,194.53 Oct 1, 2016 16 $19,267.98 $2,546.03 $16,721.95 $71,835.58 $72,267.90 Apr 1,2017 17 $19,267.98 $2,065.27 $17,202.71 $54,632.87 $54,896.96 Oct 1, 2017 18 $19,267.98 $1,570.70 $17,697.28 $36,935.59 $37,070.02 Apr 1, 2018 19 $19,267.98 $1,061.90 $18,206.08 $18,729.50 $18,775.13 Oct 1, 2018 20 $19,267.98 $538.47 $18,729.51 $0.00 $1.00 Apr 1, 2019 Please Note: The sum of all principal payments differs from total principal by one cent due to even-cent rounding. This exhibit is a draft only and may not reflect final terms. Wells Fargo Public Finance (WFPF) bankers are registered representatives of Wells Fargo Brokerage Services, LLC, or Wells Fargo Institutional Securities, LLC, brokerage affiliates of Wells Fargo & Company and members of the NASD and SIPC. Investments: · NOT FDIC insured · May lose value · No bank guarantee The information in this e-mail is confidential and maybe legally privileged. It is intended solely for the addressee. Access to this e-mail by anyone else is unauthorized. If you are not the intended recipient, any disclosure, copying, distribution or any action taken or omitted based on this information is prohibited and may be unlawful. ... I EXHIBIT A-I Description of Taxable Current Refundin2 Note~ Series 2009 A. Principal Amount: $290,000.00 B. Interest Rate: 5.750/0 C. Denominations: The full amount of the Note. D. Dated Date: April 1, 2009 E. Maturity Date: April 1, 2019 F. Redemption: The Note is callable for redemption at the option of the Seller on any payment date with thirty (30) days written notice in full at par plus accrued interest at the After Payment Termination Value on the amortization schedule Exhibit "A", which includes a servicing fee repayment. G. Estimated Closing Date: April 1, 2009, or such other date mutually agreed to by the parties to this Purchase Contract. H. Method ofPavn1ent: Federal Funds draft or wire. $290,000 UNITED STATES OF AMERICA THE CITY OF ASHLAND, STATE OF OREGON TAXABLE CURRENT REFUNDING NOTE, SERIES 2009 INTEREST RATE: 5.750/0 DATED DATE: APRIL 1,2009 Registered Owner: ***WELLS FARGO BROKERAGE SERVICES, LLC*** Principal Amount: ***TWO HUNDRED NINETY THOUSAND AND NO/lOO DOLLARS*** Know All Men by these Presents: THE CITY OF ASHLAND, OREGON ("the City"), for value received, hereby acknowledges itself to be indebted, promises to pay to the registered owner hereof from the pledge of all legally available revenues of the city and secured by the full faith and credit of the City, the sum of TWO HUNDRED NINETY THOUSAND AND NO/IOO DOLLARS In lawful money of the United States of America, semi-annually on October 1, 2009 and each April 1 st and October 1 st through 2019, at Wells Fargo Brokerage Services, LLC, in Minneapolis, Minnesota, with interest thereon (calculated on the basis of a 360-day year consisting of twelve 30-day months) at a rate of five and seventy-five hundreds (5.750/0) percent per annum from the date hereof until the final date of payment. The Note known as "THE CITY OF ASHLAND, STATE OF OREGON TAXABLE CURRENT REFUNDING NOTE, SERIES 2009", (the "Note") being issued and sold for an aggregate principal amount of Two Hundred Ninety-Nine Thousand Dollars ($290,000) issued under and pursuant to the Constitution and laws of the State of Oregon. Both principal of and interest on this Note are payable in lawful money of the United States of America at Wells Fargo Brokerage Services, LLC , 608 Second Avenue South, Fifth Floor, Operations, Minneapolis, Minnesota 55479. The Note is redeemable at the option of the City on any payment due date with thirty (30) days written notice in full at par plus accrued interest to the payoff date plus an amortization of the servicing fee at the After Payment Termination Value on the amortization schedule. This Note has been authorized and issued by the City of Ashland, State of Oregon, to provide refinancing of the Series 2004 Taxable Full Faith & Credit Note of the City. The Note is secured by a pledge of all legally available revenues of the City and the full faith and credit of the City to repay the principal and interest on the Note. The City has covenanted and agreed with the Registered Owner of the Note that it will keep and perform all of the covenants of this Note and of the Resolution to be by it kept and performed. IT IS HEREBY CERTIFIED AND DECLARED that all acts, conditions, and things essential to the validity of this Note do exist, have happened, and have been done and that every requirement of the Constitution and statutes of the State of Oregon and the ordinances and resolutions of the City affecting the issue hereof have been duly complied with; a portion of the Revenues have been pledged and will be set aside to be used for the payment of principal of and interest on this Note. IN WITNESS WHEREOF, the City of Ashland, Oregon has caused this Note to be executed by the manual signature of the Treasurer of the City, countersigned by the Finance Director, and its official seal affixed hereto as of the April 15\ 2009. THE CITY OF ASHLAND, STATE OF OREGON ~ TREASURER ATTEST: ,d~ ..;t. ". · ~-r FINANCE DIRECTOR (SEAL) -2- CITY OF ASHLAND LEGAL DEPARTMENT Richard Appicello, City Attorney Megan Thornton, Asst. City Attorney Ali Brooks, Paralegal March 19, 2009 Wells Fargo Brokerage Services, LLC Public Finance Division 3295 Elder Street, Suite 214 MAC U 1853-020 Boise, Idaho 83705 RE: The City of Ashland, Oregon, Negotiable Taxable Current Refunding Note Series 2009 (Purchase Contract N003589), Aggregate Principal Refinance Amount $290,000.00, dated April 1 s\ 2009 (2004 Bank Loan refinancing associated with constructing a hangar at the Ashland Municipal Airport). Mr. Jim C. Wrigley: On March 3, 2009 City Council approved Resolution 2009-06 approving and authorizing the Administrative Services/Finance Director to refinance the remaining portion of the bank loan used to fund T-hanger construction at the Ashland Municipal Airport in 2004. The loan originated in 2004 with a four and sixty eight (4.680/0) taxable rate over a maximum of five years with a refinancing to occur April 1 s\ 2009. The Note to refinance is authorized under Resolution No. 2009-06, dated March 3rd, 2009, and enacted by the City of Ashland, Oregon (the Note Resolution"). The Note is secured by a pledge of all legally available revenues of the City and the full faith credit of the City to repay the principal and interest on the Note. The Note is dated as of April 1 s\ 2009, and bears interest at the rate of five and seventy-five hundreds (5.750/0) percent for 10 years, to become due and payable at the offices of Wells Fargo Brokerage Services, LLC, 608 Second Avenue South, Fifth Floor, Operations, Minneapolis, Minnesota 55479. The Note is callable on any payment due date by the City prior to maturity with a thirty day written notice in full at par plus accrued interest to the payoff date plus an amortization of the servicing fee at the After Payment Termination Value on the amortization schedule. LEGAL DEPARTMENT 20 East Main Street Ashland, Oregon 97520 Tel: 541-488-5350 Fax: 541-552-2092 TTY: 800-735-2900 appicelr@ashland.or.us brooksa@ashland.or.us www.ashland.or.us ~-, -:<' 100% Post-Consumer Content CITY OF ASHLAND LEGAL DEPARTMENT Richard Appicello, City Attorney Megan Thornton, Asst. City Attorney Ali Brooks, Paralegal In our capacity as the Legal Counsel we have examined such other documents, records of the City of Ashland and other instruments as we deemed necessary to enable us to express the opinions set forth below including the original counterparts or certified copies of the documents executed by the City in respect of the Note. Based on the foregoing, it is our opinion that: 1. The foregoing proceedings have been had in substantial legal conformity with the Constitutions of the United States and of the State of Oregon and the resolutions of the City of Ashland. 2. The Note has been duly authorized and issued by Resolution 2009-06 and constitutes the valid, legal and constitutional indebtedness of the City and is a full faith and credit obligation of the City, subject to the limitations of Sections 11 and 11 b of Article XI of the Oregon Constitution, payable from all legally available revenues of the City. 3. The interest on the Note is includable in gross income for federal income ta purposes. ~iChard A City Attorne City of Ashland LEGAL DEPARTMENT 20 East Main Street Ashland, Oregon 97520 Tel: 541-488-5350 Fax: 541-552-2092 TTY: 800-735-2900 a ppicelr@ashland.or.us brooksa@ashland.or.us www.ashland.or.us ~<. ...1 to:' 100% Post-Consumer Content - r CITY OF ASHLAND Certification of True Copy I certify that I have compared the foregoing documents, Resolution 2009-06, A Resolution of City of Council of the City Ashland, Authorizing the Refinancing of the 2004 Bank Loan Associated with Constructing a Hanger at the Ashland Municipal Airport, minutes of the City of Ashland Council confirming action on this item dated March 3, 2009 and that these foregoing true and correct copies. Dated this 19th day of March, 2009. B); Barbara Christensen Ashland City Recorder/Treasurer Ashland, OR CITY RECORDERfTREASURER Tel: 541-488-5307 20 E MAIN STREET Fax: 541-552-2059 Ashland, Oregon 97520 . TTY: 800-735-2900 www.ashland.or.us Ell RESOLUTION NO. 2009- olo CERTIFIED COpy A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASHLAND, OREGON, AUTHORIZING THE REFINANCING OF THE 2004 BANK LOAN ASSOCIATED WITH CONSTRUCTING A HANGAR AT THE ASHLAND MUNICIPAL AIRPORT Recitals: The City Council finds as follows: A. The City financed costs of constructing a fourteen-airplane, nest-configured T -hangar building at the Ashland Municipal Airport (the "Project") in 2004. B. The City is authorized by ORS 271.390 to enter into financing agreements in order to finance the cost of any real or personal property that the City determines is needed. C. The Project was needed to provide services for the City and its citizens. D. The terms of the financing required refinancing by April 1 , 2009. E. The City desires to refinance the remaining portion of the 2004 loan with a similar loan that will retire the obligation in ten years. THE CITY OF ASHLAND RESOLVES AS FOllOWS: Section 1. loan Aareement Authorized. The City is authorized to enter into a loan agreement in an aggregate principal amount of not more than $290,000 (the "Loan Agreement"). loan proceeds shall. be used to re-finance the remaining portion of the original loan. The Administrative Services/Finance Director or designee of the Administrative Services/Finance Director (anyone or which is described as the "City Official"), on behalf of the City and without further action by the City Council, may: 1.1. accept the most desirable bank proposal to refinance the 2004 loan Agreement, negotiate the terms of the loan Agreement, and execute the loan Agreement in an aggregate principal amount of not more than $290,000; 1.2. execute and deliver a note reflecting the City's obligation to make the payments due under the loan Agreement: 1.3. provide that interest payable under the loan Agreement will be includable in gross under the Internal Revenue Code of 1986, as amended (the "Code"); 1.4. execute and deliver any other certificates or documents and take any other actions which the City Official determines are desirable to finance the Project with the Page 1 of 2 Loan Agreement in accordance with this resolution. CERTIFIED COpy Section 2. Security. The City Official may pledge the City's full faith and credit and taxing power within the limitations of Sections 11 and 11 b of Article XI of the Oregon Constitution, and any and all of the City's legally available funds, to make the payments due under the Loan Agreements. SECTION 3. This resolution was duly PASSED and ADOPTED this 8 day of March, 2009, a d takes effect upon signing by the Mayor. . Barbara Christensen, City Recorder SIGNED and APPROVED this ~ay of March. 2009: ~m~ Reviewed as to form: Page 2 of 2 ASHLAND CITY COUNCL MEETING March 3, 2009 Page I of8 MINUTES FOR THE REGULAR MEETING ASHLAND CITY COUNCIL ~'\ EJ}."<':W Q 1. --I F.I. g: ~~t March 3,2009 U Ii . . [~ ~Ij Council Chambers COpy 1175 E. Main Street ~..IJ Ii..., ;j CALL TO ORDER Mayor Stromberg called the meeting to order at 7 :00 p.m. in the Civic Center Council Chambers. ROLL CALL Councilor Voisin, Navickas, Lemhouse, Jackson, Silbiger and Chapman were present. MAYOR'S ANNOUNCEMENT OF BOARD AND COMMISSION VACANCIES Mayor Stromberg announced that applications are being accepted for the annual appointments to Commissions & Committees and the deadline for submitting applications is March 13, 2009. It was also noted that the Senior Board is looking for a volunteer. SHOULD THE COUNCIL APPROVE THE MINUTES OF THESE MEETINGS? The minutes of the Executive Session ofF ebruary 17, 2009 and Regular Council meeting ofF ebruary 17, 2009 were approved as presented. SPECIAL PRESENTATIONS & AWARDS Mayor Stromberg's Proclamations of March as National Intellectual and Developmental Disabilities Awareness Month (NIDDA) and March 8 as International Women's Day were read aloud. Invites were extended for March 9, sponsored by Southern Oregon University celebrating International Women's Day. It was announced that Wednesday night from 6:00-7:00 p.m. was the monthly RVTV Town Hall meeting with the following subjects: Proxy Education Project supporting "streams", review on the history of "Roots of Sustainability" hosted by Jeff Golden. In addition, the Mayor was hosting a community conversation regarding wildlife in the City of Ashland at the Ashland Library in the Gresham Room at 7:00 p.m. CONSENT AGENDA 1. Does the Council accept the Minutes of Boards, Commissions, and Committees? 2. Does the Council wish to approve a Liquor License Application from Vin Mehta dba Taj Indian Cuisine at 31 Water Street? 3. Does the Council wish to approve a Liquor License Application from Marlene Webb dba Ashland Bistro Cafe at 38 E Main Street? 4. Should the Council continue the public hearing on adoption of ordinances adding Chapter 18.36 Water Resources Protection Zones to and modifying Chapter 18.62 Physical and Environmental Constraints of the Ashland Land Use Ordinance (ALUO), amending the Ashland Comprehensive Plan to include a Water Resources Map and revising the Floodplains Map, and adopting the Local Wetlands Inventory (LWI) as a technical study from March 3,2009 to April 21, 2009? 5. Should Council approve a resolution authorizing the Administrative ServicesIFinance Director to refinance the remaining portion of the bank loan used to fund T -hangar construction in 2004? 6. Will Council endorse a letter in support of two federally earmarked ODOT projects on Interstate 5 in Southern Oregon? 7. Will the Council consider selecting street overlay projects as a top priority for the anticipated transportation-related federal economic stimulus package funds? 8. Does the Council wish to authorize the City Administrator to send a letter to Ashland Community Hospital (ACH) that waives the City's right to terminate the Facilities lease and resume responsibility for operation of the Hospital? - r ~ ~ ~7f.r~ 101"\ ~ f 'EfO n ~ _L>~..~~.' I . U u'-~ t ,,! !1, '. Councilor Chapman requested that consen~neX be removed for discussion. ASHLAND CITY COUNCL MEETING March 3, 2009 Page 2 of8 Councilor Lemhouse/Chapman m/s to approve Consent Agenda items 1-5 and 7-8. Voice Vote: all AYES. Motion passed. Councilor Chapman voiced his concern regarding safety issues associated with these projects and was opposed to spending up to $100 million on another interchange. He preferred that the Council take no action by not sending a letter of support for these Oregon Department of Transportation (ODOT) projects. City Engineer Jim Olson clarified this was a $75 million project that involved two phases. These include signalization on both sides of the freeway and relocation of the Fern Road. He stated that there are significant traffic challenges and without safety improvements, conditions would degrade within 10 years. The second phase of the project has been underway since 2004 and meetings with all the major stakeholders have consistently occurred since that time. He expected the City of Ashland would experience similar situations in regards to Exits 14 and 19. He confirmed that residents of the City of Phoenix have been deeply involved and that a majority of funds had been received. He explained that the letter of endorsement from all entities is being sought by ODOT and anyone with interest is invited to comment. He clarified that the City of Ashland has not been involved in the planning aspect of this project. Councilor ChapmanN oisin m/s that Council take no action on the matter. DISCUSSION: Councilor Lemhouse understood the concerns, but because this project is in the second phase and monies have been committed, it was important to move forward. He felt that this project would provide needed employment and supported the efforts of those that have been involved. Councilor Silbiger noted the controversy regarding Exit 24 is more on the "where" rather than the "if' and that those involved understood the need. He did not see any harm in sending a letter of support. Roll Call Vote: Councilor Chapman, Voisin, YES; Councilor Lemhouse, Silbiger, Jackson and Navickas, NO. Motion failed 2-4. Councilor Lemhouse/Jackson m/s to approve consent agenda item #6. Roll Call Vote: Councilor Lemhouse, Silbiger, Jackson and Navickas, YES; Councilor Chapman and Voisin, NO. Motion passed 4-2. PUBLIC HEARINGS (None) PUBLIC FORUM UNFINISHED BUSINESS 1. Does the Council wish to adopt criteria for prioritizing City services and programs-duringtbe- FY 2010 Budget Process? City Administrator Martha Bennett commented that these criteria would be used internally by staff when developing the budget. Comments by Council on the criteria were sought by staff. She shared the process in which the criteria were determined in that these are the things that the City needs to protect as opposed to things that may be cut. The intent was to speak positively rather than negatively. Council voiced support for the category of .priorities and the approach that staff had taken. Ms. Bennett clarified that the "local control" under the category "Lower Priority" had to do with decisions made involving other jurisdictions and provided some examples. She explained that there would be opportunity to make . changes on the proposed criteria during the budget process with the Citizen's Budget Committee. It was noted that the critical point was in giving staff direction and consensus was voiced that this was a good starting point on prioritization. Councilor V oisinlLemhouse m/s to adopt the criteria as proposed. DISCUSSION: Ms. Bennett clarified INVOICING PROCEDURES Re: Taxable Current Refunding Note Purchase Contract No. N003589 with The City of Ashland, Oregon Please provide us with the name, address, and phone number of the appropriate personnel we can contact regarding invoicing and payments: (Name of Contact) Lee Tuneberg, Finance DiOrector (Address) 20 East Main Street Ashland, Oregon 97520 (Phone) 541/552-2003 (FAX) 541/488-5311 (E-mail) tuneberl@ashland.or.us 4