26-1743 Authorizing Loan to Fund the East Longwood Phase III Septic Tank Abatemen Project RESOLUTION NO. 26-1743
A RESOLUTION OF CITY OF LONGWOOD, FLORIDA, AUTHORIZING THE
CITY MANAGER TO APPLY FOR UP TO A $5,177,713 LOAN UNDER THE
STATE REVOLVING FUND LOAN PROGRAM TO FUND THE EAST
LONGWOOD PHASE III SEPTIC TANK ABATEMENT PROJECT AND THE COST
OF DEBT ISSUANCE AND IF SUCH LOAN APPLICATION IS APPROVED,
REQUIRING CITY COMMISSION APPROVAL BY ORDINANCE PRIOR TO
EXECUTION AND DELIVERY OF THE LOAN AGREEMENT, NOTE AND
RELATED CLOSING DOCUMENTS; SUCH LOAN WOULD PLEDGE UTILITY
SYSTEM REVENUES AND SHALL NOT PLEDGE AD VALOREM TAXES OR BE
A GENERAL OBLIGATION DEBT; PROVIDING FOR CONFLICTS,
SEVERABILITY, AND AN EFFECTIVE DATE.
WHEREAS, Florida Statutes provide for loans to local government agencies to finance the
construction of wastewater treatment facilities; and
WHEREAS, Florida Administrative Code rules require authorization to apply for loans, to
establish pledged revenues, to designate an authorized representative; to provide assurances of
compliance with loan program requirements; and
WHEREAS, the City of Longwood, Florida, desires for its City Manager to apply and seek
approval for a loan agreement from the State of Florida Department of Environmental Protection
under the State Revolving Fund Program for financing design, permitting and construction of East
Longwood Phase Ill Septic Tank Abatement Project estimated to cost $6,281,819 (the
"Wastewater Project"), with the balance of project costs not covered by the loan to be funded
from available City utility system funds or other lawfully available sources; and
WHEREAS, if the loan application is approved, final approval of the loan agreement, note
and relating closing documents must come back to the City Commission for final approval via
ordinance approved by at least four of the five City Commissioners.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF
LONGWOOD, FLORIDA, AS FOLLOWS:
SECTION 1: Recitals. The foregoing findings are incorporated herein by reference and made a
part hereof.
SECTION 2: Loan Application Authorization. The City Commission of City of Longwood, Florida,
hereby authorizes its City Manager to apply for and seek approval from the State of Florida
Department of Environmental Protection under the State Revolving Fund Program for up to
$5,177,713 to finance the design, permitting and construction of the Wastewater Project and for
the cost of issuance of such debt. The City Manager is hereby designated as the authorized
Resolution No. 26-1743
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representative for the City of Longwood to provide the assurances and commitments customarily
required by the loan application that do not create binding financial obligations on the City,
subject to final approval of the loan by the City Commission as set forth in this Resolution.
Further, the City Manager is hereby given the authority to move forward with the preparation of
the preliminary planning documents and other documents needed to secure a loan under the
State Revolving Fund Program to fund the Wastewater Project and to cover the cost of issuance
of such debt.
This Resolution does not authorize the approval of any loan agreement, note or any other closing
document in the event the loan application is approved. Pursuant to the City of Longwood
Charter, any loan agreement, note and related closing documents for a loan or debt issuance
must be approved in accordance with the applicable approval requirements set forth in the City
Charter, including but not limited to the requirement that a loan or debt issuance in an amount
of $3,000,000.01 and up to and including $6,000,000.00 must be approved pursuant to an
ordinance approved by at least four of the five City Commissioners. Thus, if the loan application
is approved, the loan must come back to the City Commission for final approval via ordinance
before a loan agreement, note and relating closing documents can be approved, executed and
delivered.
SECTION 3: Revenues Pledged/Not General Obligation. The revenues pledged for the
repayment of the intended loan under the State Revolving Fund are the City's net water and
sewer system revenues after payment of existing senior lien debt service obligations. The loan
agreement and note shall not be a general obligation debt of the City of Longwood. The loan
agreement and note, when delivered by the City of Longwood pursuant to the terms of the loan
agreement and authorizing ordinance, shall not be or constitute an indebtedness of the City of
Longwood within the meaning of any constitutional or statutory limitation of indebtedness, but
shall be payable solely from the pledged revenues as to be provided in the loan agreement and
authorizing ordinance. The loan agreement and note shall not pledge ad valorem tax revenues
or permit or constitute a mortgage or lien upon any assets owned by the City of Longwood,
including, but not limited to,the Wastewater Project and the City's water and sewer system. The
noteholder shall never have the right to compel the exercise of the ad valorem taxing power of
the City or the State, or taxation in any form of any property to pay the note or the interest
thereon.
SECTION 4. Authority. The legal authority for the City borrowing money to construct the
Wastewater Project is pursuant to its home rule authority under Article VIII, Section 2 of the
Constitution of the State of Florida, Article VII, Section 12 of the Constitution of the State of
Florida, Chapter 166, Part II, Florida Statutes and Chapter 180, Florida Statutes and pursuant to
the City of Longwood Charter. However, this Resolution does not authorize the borrowing of
money, just authorizing the filing of an application seeking loan approval.
SECTION 5. Conflicts. All resolutions or part of resolutions in conflict with any of the provisions
of this Resolution are hereby repealed.
Resolution No. 26-1743
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SECTION 6. Severability. If any section or portion of a section of this Resolution proves to be
invalid, unlawful,or unconstitutional,it shall not be held to invalidate or impair the validity,force,
or effect of any other section or part of this Resolution.
SECTION 7. Effective Date. This Resolution shall become effective immediately upon its passage
and adoption.
PASSED and RESOLVED this 19th day of October 2026, by the City Commission of the City of
Longwood, Florida.
CITY COMMISSION
CITY OF LONGWOOD, FLORIDA
bE M+ N'0 t E / RocrGv
Tony Bed, Mayor
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ATTEST: • '•••• * f ,•;' ,) .
Liane Cartagena, City Clerk
Approved as to form and legality for the use and reliance of the City of Longwood, Florida only.
Daniel W. , sty A orney
Resolution No.26-1743
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