DATE: February 25, 2025
TO: Mayor and City Council
FROM: Director of Public Works and Interim Director of Finance
SUBJECT
Title
2025 Wastewater Revenue Bonds: Adopt Resolutions Authorizing the Issuance and Sale of Wastewater Revenue Bonds in the Maximum Principal Amount of $135,000,000, to Finance Capital Improvements to the Wastewater System, Including the Water Resources Recovery Facility Improvements, and Approving Related Agreements and Actions
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RECOMMENDATION
Recommendation
That Council adopts a resolution (Attachment II) authorizing the issuance and sale of Wastewater Revenue Bonds in the maximum principal amount of [$133,000,000] to finance capital improvements to the Wastewater System, including the Water Resources Recovery Facility (WRRF) improvements, and approving related agreements and actions.
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SUMMARY
The City of Hayward's Department of Public Works & Utilities is pursuing a major capital improvement project to construct a WRRF Administration and Laboratory Building (WRRF Administration and Laboratory Building Project) and to improve the Water Resources Recovery Facility (WRRF Phase II Project, and combined with the Administration and Laboratory Building Project, the "Project") to meet the nutrient reduction mandate for treated effluent identified in the 3rd Nutrients Watershed Permit adopted by the California Regional Water Quality Control Board in July 2024. The total cost of the Project is estimated at $498 million, including all capital costs, contingencies, and financing costs.
As part of the funding strategy, the City intends to finance the project by the U.S. Environmental Protection Agency's Water Infrastructure Finance and Innovation Act of 2014 (WIFIA) loan program, funding from the Water Resources Development Act (WRDA), and publicly-sold revenue bonds. The WIFIA loan is expected to be approximately $244 million and is expected to provide funding for construction costs between...
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