Explanation
1. BACKGROUND
This ordinance seeks City Council approval for the Director of the Department of Public Utilities (DPU) to execute Water Supply Revolving Loan Account (WSRLA) loan agreements through a loan program jointly administered by the Ohio EPA’s Division of Environmental and Financial Assistance (DEFA) and the Ohio Water Development Authority (OWDA) for the construction of DPU water distribution and supply system improvements.
The WSRLA program provides below-market interest rate loans for municipal water system improvements. This ordinance is required by Ohio EPA (OEPA) showing City Council authorizes the Director of Public Utilities to execute Water Supply Revolving Loan Account (WSRLA) Loan Agreements. Public Utilities anticipates submitting approximately thirty-nine water system projects for WSRLA loan approval, estimated to cost $1.83 billion, under the direction of the Division of Water (DOW). These Capital Improvements Projects have been nominated and await OEPA’s approval for financing through the WSRLA program in Program Year 2026, which runs from July 1, 2025, through June 30, 2026. A WSRLA loan application is submitted for each project after the bid results are known. An ordinance is also submitted for City Council approval to award the bid and to use WSRLA loan funding to finance the project. The OWDA Board typically reviews applications and approves loans the month following receipt of the application if all other required information has also been submitted.
The Department of Public Utilities anticipates applying for WSRLA loan funding for the projects listed in Section 1 of this Ordinance. However, it may become necessary to add or subtract from this list of projects depending upon project schedule adjustments, departmental need, or OEPA deciding the project is not eligible for funding.
2. FISCAL IMPACT
An expenditure is not requested with this ordinance. All applicable loan administration fees will be roll...
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