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AN ORDINANCE authorizing the executive to execute an amendment to an agreement approved under Ordinance 18959 with the Washington state Department of Ecology for loan financing for a wastewater capital project.
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BE IT ORDAINED BY THE COUNCIL OF KING COUNTY:
SECTION 1. Findings:
A. Ordinance 18959 authorized the executive to enter into an agreement with the Washington state Department of Ecology for loan financing for the construction phase of the Georgetown Wet Weather Treatment Station project. The original loan agreement for the construction phase of the Georgetown Wet Weather Treatment Station project had a loan expiration date of December 31, 2020, and a maximum loan amount of $11,543,000.
B. Ordinance 19113 authorized Amendment 1 to the agreement, adding $37,141,994 in loan funding for the construction phase of the Georgetown Wet Weather Treatment Station project, with a loan expiration date of February 1, 2023.
C. Amendment No. 2 to the agreement for the Georgetown Wet Weather Station project was approved by the Washington state Department of Ecology. Amendment No. 2 will increase loan funding by $139,311,096 and will officially closeout the original loan in the amount of $11,543,000 and the loan amount of $37,141,994 added under Amendment No. 1. Amendment No. 2 will also establish the final loan repayment schedules.
D. Under Amendment No. 2, the maximum loan amount for the Georgetown Wet Weather Treatment Station project is $187,996,090 plus interest, as provided by the Washington state Department of Ecology's loan amortization schedules. The interest rate for the two new loans is 1.6 percent for the $43,000,000 loan and 1.4 percent for the $96,311,096 loan and both loans have a term of thirty years. For these two new loans, King County will save $68,981,870 in interest payments over thirty years, which is a $43,128,656 net present value as compared to conventional bond financing. The loan agreement expiration date is amended to...
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