Resolution 14860CITY OF ALAMEDA RESOLUTION NO. 14860
AUTHORIZE THE CITY MANAGER TO NEGOTIATE THE TERMS OF A
$1.15 MILLION LOAN TO THE ALAMEDA UNIFIED SCHOOL DISTRICT
FOR THE ENCINAL SWIM CENTER RENOVATION
WHEREAS, the City and the Alameda Unified School District (AUSD) jointly
operate the Emma Hood and Encinal Swim Centers. A joint use agreement, which
expires September 21, 2013, stipulates a cost sharing for the pools’ operation and
maintenance with each agency assuming 50% of the costs; and
WHEREAS, both swim facilities are aging and deteriorated with significant
deferred maintenance concerns; and
WHEREAS, following direction from a joint subcommittee of the City Council and
School Board, staff of both agencies focused discussions on options for renovating the
Encinal Swim Center with a renovation plan that totals $1.9 Million; and
WHEREAS, the City budgeted $750,000 in its 2013-14 Capital Improvement
Program (CIP) toward renovation costs and is offering to loan the remaining $1.15
Million to AUSD based on the loan terms outlined in Exhibit 1; and
WHEREAS, the City is providing thirty (30) days until October 21, 2013 for AUSD
to accept the loan term sheet; and
WHEREAS, if AUSD rejects the loan terms, the City will then pursue constructing
a new aquatic facility at Alameda Point; and
WHEREAS, City Council is requested to authorize the City Manager to extend
the term of the Joint Use Operating Agreement for thirty (30) days until October 21,
2013.
NOW, THEREFORE, BE IT RESOLVED the City Council of the City of
Alameda as follows:
1. The City Manager is authorized to negotiate the terms of a $1.15 Million loan to
the Alameda Unified School District (AUSD) for the Encinal Swim Center
Renovation upon the terms outlined in the Attached Exhibit 1.
2. If AUSD does not accept the loan terms by October 21, 2013, the City Manager
is authorized to pursue plans to construct a new aquatic facility at Alameda Point.
3. The City Manager is authorized to extend the term of the Joint Use Operating
Agreement for thirty (30) days until October 21, 2013.
* * * * * * *
Exhibit 1
Encinal Swim Center Renovation
Loan Agreement Terms
City of Alameda (City) and Alameda Unified School District (AUSD)
Encinal Swim Center
Total construction estimate, as developed by Aquatics Design = $1.9 Million
o Includes the diving add-on
City to fund $750,000 of construction
Remaining $1.15 Million principal to be loaned from the City to AUSD from the
Equipment Replacement Fund (Fund 701).
The loan would be contingent upon AUSD providing written acceptance of a term
sheet including the above key terms no later than October 18, 2013. The City and
AUSD will negotiate a loan agreement incorporating the key terms and including all
other usual and customary loan provisions, which will be brought back to the City
Council for its consideration and approval.
Proposed Key Terms
Total Proposed Loan $1,150,000
Total Payment Over Life of the Loan $1,417,414
Term 10 years
Annual Interest Rate 4%
Annual Payment $142,000 *
Security Interest Required.
Additional Usual and Customary Loan Terms
* There is a slightly lower payment due of $139,414 in the final year of the loan.
I, the undersigned, hereby certify that the foregoing Resolution, with the
exception of the following Section:
3. The City Manager is authorized to extend the term of the Joint Use
Operating Agreement for thirty (30) days until October 21, 2013.
was duly and regularly adopted and passed by the Council of the City of Alameda in a
regular meeting assembled on the 17th day of September 2013 by the following vote to
wit:
AYES: Councilmembers Chen, Daysog, Ezzy Ashcraft, and Mayor
Gilmore – 4.
NOES: Councilmember Tam – 1.
ABSENT: None.
ABSENTIONS: None.
And the following Section:
3. The City Manager is authorized to extend the term of the Joint Use
Operating Agreement for thirty (30) days until October 21, 2013.
was duly and regularly adopted and passed by the Council of the City of Alameda in a
regular meeting assembled on the 17th day of September 2013 by the following vote to
wit:
AYES: Councilmembers Chen, Daysog, Ezzy Ashcraft, Tam and
Mayor Gilmore – 5.
NOES: None.
ABSENT: None.
ABSENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official
seal of said City this 18th day of September 2013.
Lara Weisiger, City Clerk
City of Alameda