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HomeMy WebLinkAbout06867ORDINANCE NO. 6867 AN ORDINANCE CREATING THE STORMWATER UTILITY ENTERPRISE WHEREAS, the creation of a stormwater utility enterprise to coordinate, design, construct, manage, operate and maintain the stormwater and flood management systems and stormwater facilities of Pueblo, a Municipal Corporation, would promote the public health, safety, morals and welfare of the citizens of Pueblo; and WHEREAS, the stormwater utility enterprise would constitute a "water activity enterprise" within the meaning of section 37- 45.1 -102, C.R.S. and as an "enterprise" within the meaning of section 20, article X of the Colorado constitution. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1 There is hereby created a stormwater utility enterprise in the Department of Public Works. SECTION 2 The stormwater utility enterprise is empowered to coordinate, design, construct, manage, operate and maintain the stormwater and flood management systems and stormwater facilities of Pueblo and to perform such other functions and activities as the City Council may assign. SECTION 3 The City Council shall act ex officio as the governing body of the stormwater utility enterprise. The stormwater utility enterprise shall be wholly owned by the City and operated in accordance with applicable laws, ordinances and regulations. SECTION 4 (a) The stormwater utility enterprise is authorized to issue revenue bonds for the payment or other financing of eligible stormwater utility projects and activities, or for the purposes of refunding any revenue bonds issued for such purpose. Such bonds shall be authorized by ordinance adopted by the City Council in the same manner as other ordinances of the City. (b) The terms, conditions, and details of revenue bonds, the procedures related thereto, and the refunding thereof shall be set forth in the ordinance authorizing the revenue bonds. Each bond issued under this section shall recite in substance that said bond, including the interest thereon, is payable from the revenues and other available funds of the stormwater utility enterprise pledged for the payment thereof. Notwithstanding any other provision of law to the contrary, such revenue bonds may be issued to mature at such times not beyond thirty years from their respective issue dates, shall bear interest at such rates, and shall be sold at private or public sale at, above, or below the principal amount thereof, all as shall be determined by the City Council. The powers provided in this section shall be in addition to and shall not modify, limit, or affect the powers conferred by any other law either directly or indirectly. SECTION 5. The stormwater utility enterprise may borrow funds in such amounts from such persons or entities and upon such terms and conditions as the City Council may determine to be in the best interests of the stormwater utility enterprise. SECTION 6 The stormwater utility enterprise shall at all times and in all ways conduct its affairs so as to qualify as a "water activity enterprise" within the meaning of section 37 -45.1 -102, C.R.S. and as an "enterprise" within the meaning of section 20 of article x of the Colorado constitution. So long as the stormwater utility enterprise continues to qualify as a "water activities enterprise" and an "enterprise," the stormwater utility enterprise and all spending and revenue relating thereto shall not be subject to section 20 of article x of the Colorado constitution. SECTION 7 There is hereby established a Stormwater Utility Enterprise Fund ( "Fund "). All revenues and funds received by the stormwater utility enterprise from all sources and income therefrom shall be deposited to and held in the Fund subject to appropriation and expenditure by the City Council. SECTION 8 If any provision of the Ordinance is held to be invalid or unenforceable by a court of competent jurisdiction, such holding shall not affect the validity or enforceability of the remaining provisions of this Ordinance. SECTION 9 All other ordinances or portions thereof inconsistent or conflicting with this Ordinance or any provision hereof are hereby repealed to the extent of such inconsistency or conflict. SECTION 10 This Ordinance shall become effective upon final approval and passage INTRODUCED July 22, 2002 BY Al Gurule Councilperson " e APPROVED: ( ...3 resident of City Council ATTEST: City C PASSED AND APPROVED: Auaust 12. 2002 __ , .,„...,..„-:---, r---\ ,rni---- A. Background Paper for Proposed ORDINANCE AGENDA ITEM # 3A DATE: JULY 22, 2002 1 g a--1 DEPARTMENT: PUBLIC WORKS TITLE AN ORDINANCE CREATING A STORMWATER UTILITY ENTERPRISE ISSUE Should the City establish a Stormwater Utility Enterprise to provide consultant services to develop a Stormwater Utility Implementation Plan. RECOMMENDATION Approval of this Ordinance. BACKGROUND A Stormwater Utility Enterprise must be created to provide a management structure to receive and distribute funding for consultant services to develop a Stormwater Utility Implementation Plan. It is proposed that Olsson Associates be selected to provide consultant services to the City for the purposes of developing the Stormwater Utility Implementation Plan. Funding for the project requires the appropriation of a $135,000 from the Sewer Users Fund for Phase I consultant services. Funding from the Sewer Users Fund would be transferred to a Stormwater Utility Enterprise. Initial funding for consultant services will be used to assess stormwater needs of the City of Pueblo, propose an equitable rate structure for funding a stormwater utility and to educate the public concerning all aspects of a stormwater utility enterprise. FINANCIAL IMPACT The Stormwater Utility Enterprise would repay the loan from utilities revenues, should the City Council authorize the establishment of a Stormwater Utility Rate Structure.