Explanation
1. BACKGROUND
This ordinance authorizes the Auditor’s Office to establish an Auditor’s Certificate for the Department of Public Utilities to pay Ohio Water Development Authority (OWDA) loan fees in a timely manner.
The Water Pollution Control Loan Fund (WPCLF) is a loan program jointly administered by the Ohio Environmental Protection Agency’s (OEPA) Division of Environmental and Financial Assistance and the Ohio Water Development Authority (OWDA). The WPCLF provides below-market interest rate loans for municipal wastewater treatment improvements. City Council approved the Department of Public Utilities to apply for WPCLF loans for the Division of Sewerage and Drainage (now known as the Division of Water Reclamation) via Ordinance 2720-2024, passed by City Council on 10/28/25 OWDA charges a fee of approximately 0.0035% of each loan for administering the WPCLF loan program. Loan fees are not rolled into the loan amounts and are invoiced separately. These invoices are to be paid within 30 days of the invoice date.
The Department of Public Utilities has been legislating to pay the WPCLF loan charges after receipt of each invoice. It is not possible to pay the invoices on time using this method even when legislating them as emergency. Establishing an Auditor’s Certificate for the estimated loan fee needs ahead of time will allow these invoices to be paid within our contractual obligation and eliminates the possibility of delays in loan approval due to late payment of loan fees.
2. FISCAL IMPACT
Funds in the amount of $291,042.00 are budgeted, appropriated, and available within the Sewer Operating Fund, Fund 6100 and funds in the amount of $50,000.00 are budgeted, appropriated, and available within the Stormwater Operating Fund, Fund 6200.
3. CONTRACT COMPLIANCE
The Ohio Water Development Authority (31-6402047-207) is not contract compliant, and is not required to be contract compliant, as it is a governmental agency (State of Ohio).
4. EMERGENCY DESIGNATION
Emergency designation is requested to allow payment of Water Pollution Control Loan Fund (WPCLF) loan fees to the Ohio Water Development Authority (OWDA) within the 30 day contractual obligation to ensure there are not delays in loan approvals. Delays in loan approvals could delay the issuance of a Notice to Proceed for construction projects, which could make the City liable for contract delay charges.
Title
To authorize the Auditor’s Office to establish an Auditor’s Certificate for the Department of Public Utilities to pay Ohio Water Development Authority loan fees for loans obtained through the Water Pollution Control Loan Fund; to authorize the expenditure of up to $291,042.00 from the Sewer Operating Fund and $50,000.00 from the Stormwater Operating Fund to pay these loan fees; and to declare an emergency. ($341,042.00)
Body
WHEREAS, the Water Pollution Control Loan Fund (WPCLF) is a loan program jointly administered by the Ohio Environmental Protection Agency’s (OEPA) Division of Environmental and Financial Assistance and the Ohio Water Development Authority (OWDA) to provide below-market interest rate loans for municipal wastewater treatment improvements; and
WHEREAS, City Council approved the Department of Public Utilities to apply for WPCLF loans for the Division of Sewerage and Drainage (now known as the Division of Water Reclamation) via Ordinance 2720-2024, passed by City Council on 10/28/2024 and
WHEREAS, it is necessary for the Director of Public Utilities to pay the requisite Loan Fees to the Ohio Water Development Authority within 30 days of the invoice date to ensure there are no delays in loan approvals; and
WHEREAS, it is not possible to pay these invoices on time by legislating after receipt of the invoice so the establishment of an Auditor’s Certificate for estimated yearly needs is needed; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Utilities in that it is immediately necessary to authorize the Auditor’s Office to establish an Auditor’s Certificate for the payment of WPCLF loan fees so invoices can be paid on time, avoiding delays in loan processing that could leave the Department liable for construction contract delay charges for contracts financed by these loans, all for the immediate preservation of the public health, peace, property, safety, and welfare; and NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. That the Auditor’s Office is authorized to establish an Auditor’s Certificate for the Department of Public Utilities to pay Ohio Water Development Authority loan fees for loans obtained through the Water Pollution Control Loan Fund per the accounting codes in the attachment to this ordinance.
SECTION 2. That the expenditure of $291,042.00, or as much thereof as may be needed, is hereby authorized from Fund 6100 (Sewer Operating Fund) and $50,000.000 from Fund 6200 (Stormwater Operating Fund, in Object Class 07 (Interest on City Debt) per the accounting codes in the attachment to this ordinance.
SECTION 3. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 4. That the funds necessary to carry out the purpose of this Ordinance are hereby deemed appropriated and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.