Title
A Resolution Authorizing the Payoff of Certain Debts of the City of Foley
Summary
The Finance department and the City Administrator are requesting permission to payoff the $3,500,000 balance on the emergency line of credit held at The First, and the payoff of a note payable with PowerSouth in the amount of $84,583.06 requiring a budget increase of $78,750. The line of credit will still be open and available for draws up to $10,000,000 for emergency purposes only as determined by City Council.
Budgetary Impact:
Non-Capital Item:
____ Budgeted under account #_______________ (discussion item)
____ Not budgeted, requesting transfer of $__________ from Account #______________ to Account #_____________.**Request to Transfer Departmental Budget Dollars form must be attached**
__X__ Not budgeted requiring increase to account #_various accounts.
Capital - Departmental **Capital Purchase Worksheet form must be attached**
____ Budgeted under account #______________ for $_________ and described in budget as ________________________. Additional amount needed, if any: Increase in budget of $_________ OR, transfer of $________ from Account #____________ to Account #_____________**Request to Increase OR Request toTransfer Departmental Budget Dollars form must be attached**
____ Not Budgeted - account #____________ requires budget increase of $_____________.**Request to Increase Departmental Budget Dollars form must be attached**
Capital Project - **If requesting to start a project, a Capital Project Worksheet form must be attached**
In current year Capital Projects Plan:
_____ Yes, described as __________________________, planned amount $___________, requesting $_________ as total project estimate, including contingencies, under account #_________________
_____ No, requesting $___________ as total project estimate, including contingencies, under account #____________________.
_____ No, requesting an increase of $___________ to an already approved project titled ________________________ that is being tracked under Account No. ___________________.
Body
WHEREAS, The draw of the line of credit was taken out to fund Hurricane Sally debris collection and the City has began receiving some reimbursements from FEMA, and
WHEREAS, unrestricted cash flow is sufficient to retire certain debt with no adverse effect to City operations.
NOW THEREFORE BE IT RESOLVED that the City Council of the City of Foley, Alabama, as follows:
SECTION 1: Approves paying off the balance of the emergency of line of credit and increases the budget for the following accounts, 100-1012-7001 Principal -Emergency Line of Credit in the amount of $3,500,000 and 100-1012-7011 Interest - Emergency Line of Credit in the amount of $66,253 and 100-1012-4912 Emergency line of credit proceeds in the amount of $3,500,000.
SECTION 2: Approves paying off the balance of the PowerSouth note payable and increases the budget for account 400-7000-7000 Principal Expense in the amount of $78,750.
SECTION 3: This Resolution shall become effective immediately upon its adoption as required by law.