R2018-110 Resolution Authorizing Interfund Loan Between Various City Funds

Home Browse Search

ACKNOWLEDGMENT AND CONSENT CERTIFICATE I, the undersigned, an authorized officer as hereinbelow indicated, of Regions Capital Advantage, Inc., Birmingham, Alabama ("Regions'), do hereby certify that Regions is the beneficial owner of the Promissory Note, Series 2013 (the "Note"),of the City of Decatur,Macon County, Illinois(the "City"),and do hereby acknowledge as follows: 1. The Note was authorized and issued pursuant to an ordinance adopted by the Council of the City(the "Corporate Authorities")on August 5,2013 (the "Note Ordinance"). 2. The undersigned has reviewed the Note Ordinance and has made such inquiries and received such further information as it has deemed appropriate for purposes of this Certificate. 3. The Note is payable from the net revenues of the waterworks system of the City(the "System") on a parity with certain loan agreements (L17-1674 and L17-2552) between the City and the Illinois Environmental Protection Agency(the `TEPA Loans"). 4. The Note Ordinance requires that all revenues of the System be deposited to the Waterworks Fund of the City,for further credit to accounts of such Fund in the following order of priority: (1) Operation and Maintenance Account, (2) Bond and Interest Account [which secures both the Note and the IEPA Loans], and(3)Depreciation Account. 5. The Note Ordinance further provides that all moneys remaining in the Waterworks Fund,after crediting required amounts to the accounts listed in paragraph 4 of this Certificate, and after making up any deficiency in such accounts, must be credited to the Surplus Account of the Waterworks Fund of the City(the "Surplus Account ),such moneys be used,first,to make up any subsequent deficiencies in any of such accounts; and then, at the discretion of Corporate Authorities, for one or more specifically enumerated purposes, including, for any lawful System purpose. 6. Based solely on representations of the City, (i) as of the date hereof, the balance to the credit of the Surplus Account is not less than $22,921,000 and (ii)the Corporate Authorities have determined that it is necessary and desirable to finance an energy savings initiative in and for the City (the "Project") with an interfund loan of not more than $2,000,000 from the Surplus Account to the General Fund of the City(the "General Fund"), such interfund loan being subject to receipt of this Certificate and a similar acknowledgment and consent of the Illinois Environmental Protection Agency. The undersigned hereby certifies as follows: I. The undersigned officer is duly authorized to make the representations and give this consent herein and to execute this Certificate. 2. Regions consents to an interfund loan of not to exceed $2,000,000 from the Surplus Account to the General Fund for the purpose of financing the Project. Regions Bank acknowledgment and consent certificate Chapman prepared gz approved DRAFT 08 19 2018.docx 2210482