DATE: September 27, 2016
TO: Board of Supervisors
FROM: Steven E. White, Director
Department of Public Works and Planning
SUBJECT: Resolution that Establishes a Policy for Cash-Flow Loans to County Service Areas and County Waterworks Districts to Facilitate Access to State and Federal Grants and Low-Interest Loans
RECOMMENDED ACTIONS:
TITLE
Adopt Resolution which establishes the County of Fresno Policy for Cash-Flow Loans to County Service Areas and County Waterworks Districts to Facilitate Access to State and Federal Grants and Low-Interest Loans.
REPORT
The recommended action establishes a policy by which the Board can lawfully provide cash-flow loans to the funds of County Service Areas (CSAs) and Waterworks Districts (WWDs) for water and wastewater improvement projects that have been awarded state or federal grants or low-interest loans. Such state or federal grants or loans may come from a variety of agencies such as the State Water Resources Control Board, the California Department of Public Health, and the United States Department of Agriculture. The recommended Resolution and policy is intended to comply with County Service Area Law at Government Code section 25214.4 and County Waterworks Districts Law at Water Code sections 55503 through 55503.6.
ALTERNATIVE ACTION(s):
An alternative action for the Board is to not establish a loan policy for cash-flow loans to funds of CSAs and WWDs for water and wastewater improvement projects that have been awarded grants or low-interest loans by state or federal agencies. Because these grants and low-interest loans pay reimbursement claims in arrears, these CSAs and WWDs would continue to carry negative cash balances until the reimbursement claims are paid. These negative cash balances may span over multiple fiscal years.
FISCAL IMPACT:
There is no Net County Cost associated with the recommended action. The costs associated with the development of this item are funded through the districts that receiv...
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