Explanation
BACKGROUND: This ordinance authorizes the Director of Public Utilities to enter into a Ninth Modification of the Lease and Transfer Agreement between the City and the Solid Waste Authority of Central Ohio ("SWACO") dated April 1, 1993 (together with the First through Eighth Modifications to that Lease and Transfer Agreement, the "Lease Agreement") in compliance with the Columbus City Charter. The purpose of this Ninth Modification is to reflect SWACO's procurement of a surety bond ("Surety Bond") as a substitute for the monies held in the Debt Service Reserve Account for SWACO's outstanding Series 2004A Facility Acquisition Bonds. The procurement of the Surety Bond will permit the monies previously programmed for those debt service payments to be used for the further payment of the Lease Agreement.
This ordinance is requested to be an emergency measure to allow the Director of Public Utilities to enter into the Ninth Modification of the Lease Agreement at the earliest date possible.
FISCAL IMPACT: The Ninth Modification to the Lease Agreement will result in the payment of approximately $5,299,900 by SWACO to the City, which is to be applied as a further payment of the Lease Agreement.
Title
To authorize the Director of Public Utilities to enter into a Ninth Modification of the Lease Agreement with the Solid Waste Authority of Central Ohio (SWACO) in compliance with the Columbus City Charter and to declare an emergency.
Body
WHEREAS, the City and Solid Waste Authority of Central Ohio ("SWACO") entered into a Lease and Transfer Agreement dated April 1, 1993 (together with the First through Eighth Modifications to that Lease and Transfer Agreement, the "Lease Agreement") to, among other things, transfer possession of the City's Solid Waste Reduction Facility ("Facility") to SWACO as lessee of the Facility and to require that SWACO make lease payments to the City; and
WHEREAS, SWACO collects a $7.00 per ton fee (the ...
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