COUNTY OF GLENNAGENDA ITEM TRANSMITTAL

MEETING DATE: April 2, 2019 BRIEF SUBJECT/ISSUE DESCRIPTION:Submitting Departments!:Public Works Agency

The US Department of Agriculture (USDA) has establishedthat in order to receive a loan to close the landfill, the Boardmust adopt a resolution assuring a dedication of solidwaste parcel fees toward repayment of the loan.

Contact: Dr. Mohammad Qureshi, Public Works DirectorPhone: (530) 934-6530AGENDA PLACEMENT ATTACHMENTS LEGAL/PERSONNEL/FISCAL

K County Counsel] Personnel

Finance

APPOINTMENT- Appearances by: (Specify Name & Title) Board ReportLetterMinute OrderContractTransferGrant App.ResolutionOrdinance

] ProclamationI]Policy Update

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^ Other: Letter ofCertification

CLERK INSTRUCTIONS0 Return Minute Order

Return Certified Copy Of:Resolution

Required MinutesBusiness -NoCorrespondence Reports & Notices

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AFFECTED DEPARTMENT(S)Other:

Receive Concurrence

LEGISLATIONState Q Federal

PUBLIC HEARINGS &COMMITTEE VACANCIES

CONTRACTS, LEASES &AGREEMENTSFUNDING SOURCE/IMPACT

] General Fund ImpactOther: #0200 Solid WasteBudgetedTransfer Attached4/5ths Vote Required

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Public Hearings: Bill#:Published

] Affidavit on File w/ClerkLatest Version of Bill_ Draft Letter Attached

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County InterestsDescription Attached

Affected Parties Notified

Date of OriginalContract:Contract No.:Fiscal Year:

Committees:Vacancy PostedApplication Attached

RECOMMENDED ACTION/MOTION:A. Adopt resolution authorizing the dedication of revenues from the annual solid waste parcel fee to the

repayment of the USDA Loan for the purposes of Landfill Closure.B. Authorize the Chairman of the Board to execute the letter of certification for the purposes of USDA Loan

repayment.

Reviewed By (if applicable):

Mohammad Qureshi, Director Personnel Directo

Approved as to Form by: Department o^ Finance/-AT

WILLIAM J. VANASEKCounty CounselCounty of Glenn, California

K\2LcPUBLIC WORKS AGENCYP.O. Box 1070 / 777 N. Colusa StreetWillows, CA 95988530.934.6530 Fax 530.934.6533www.countyofglenn.net

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msMohammad “Dr. Q” Qureshi, Director

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BOARD REPORT

EXECUTIVE SUMMARY:The US Department of Agriculture (USDA) has established that in order to receive a loan to close the landfill,the Board must adopt a resolution assuring a dedication of solid waste parcel fees toward repayment of the loan.RECOMMENDATION(S):

A. Adopt resolution authorizing the dedication of revenues from the annual solid waste parcel fee to therepayment of the USDA Loan for the purposes of Landfill Closure.

B. Authorize the Chairman of the Board to execute the letter of certification for the purposes of USDA Loanrepayment.

HISTORY AND BACKGROUND:Lawrence & Associates (L&A) was retained by Glenn County in 2010 to design an expansion of the Landfill,prepare a Final Closure and Postclosure Maintenance Plan, prepare permitting documents, and assist withCalifornia Environmental Quality Act (CEQA) review. At the Board meeting on September 6, 2011, the Boardordered staff to cease exploration of landfill expansion and to continue the cap installation/transfer stationdiscussion. At the July 15, 2014, Board meeting, resolution 2014-52 was passed which formally adopted theNegative Declaration for the Final Closure and Postclosure Maintenance Plan, in compliance with CEQArequirements. The USDA loan application for landfill closure cap construction was approved at the Boards July7, 2015 meeting for submittal to USDA Rural Development under the Community Facilities Program.

In response to the County’s loan application, the USDA issued conditional approval along with a letter ofconditions on May 13, 2016. This letter establishes conditions that must be understood and agreed to by theapplicant before further considerations may be given to the application. One such condition states that the loanwill be secured by the solid waste parcel fee imposed on improved real property within the County of Glenn.

Resolution 2016-30 adopted June 7, 2016, authorized the incurrence of indebtedness for the purpose of landfillclosure cap construction. County staff are in the process of meeting the conditions issued by USDA RuralDevelopment. In order to satisfy conditions set forth by the USDA, the dedication of revenues from the annualsolid waste parcel fee to the repayment of the USDA Loan is being requested at this time.

FISCAL/PERSONNEL IMPACT(S):The Project budget for the construction of the Closure Cap Project, per USDA Community Facilities ProgramLoan documents is $10,083,312. Debt service costs will be funded by the solid waste enterprise fund. Annualdeposits for landfill closure have accumulated to approximately $6,000,000 in a separate fund to comply withfinancial assurances required by CalRecycle.

ANALYSIS/DISCUSSION:Without the resolution securing revenue to the repayment of the USDA loan, the County is unable to proceedwith the landfill closure cap installation.

Airports, Engineering, Flood Control, Roads & Bridges, Solid Waste, Surveyor, and Transit

BOARD OF SUPERVISORS, GLENN COUNTY, CALIFORNIARESOLUTION NO. 2019-

A RESOLUTION FOR DEDICATING A SOURCE OF REVENUEFOR REPAYMENT OF THE UNITED STATES DEPARTMENT OF AGRICULTURE

RURAL DEVELOPMENT LOAN

* * *

WHEREAS, the County of Glenn Board of Supervisors adopted an ordinance on May16 ,1972,establishing the imposition of parcel fees on land in the unincorporated area of Glenn Countyfor the acquisition, operation and maintenance of waste disposal site; and

WHEREAS, County of Glenn government code section 07.080.810 establishes annual parcelfees to be imposed by resolution upon each dwelling unit and commercial/industrialestablishment located within the unincorporated area of the County for the purposes of solidwaste disposal; and

WHEREAS, on July 7, 2015, the County of Glenn Board of Supervisors unanimously orderedto approve the submittal of a loan application to the United States Department of AgricultureRural Development for the purposes of funding the final closure of the Glenn County Landfill;and

WHEREAS, the United States Department of Agriculture established conditions to besatisfied prior to loan approval by letter, dated May 13, 2016; and

WHEREAS, the aforementioned letter of conditions establishes security requirements thatthe United States Department of Agriculture Rural Development Loan will be secured by afirst lien and pledge of the Solid Waste Enterprise parcel surcharge; and

NOW, THEREFORE BE IT RESOLVED by the Board of Supervisors of the County of Glenn that:

The County of Glenn hereby dedicates and pledges revenues of the annual solid wasteparcel fees to the payment of any and all United States Department of AgricultureRural Development Loan(s) for the closure of the Glenn County Landfill.

1.

The County of Glenn commits to collecting such revenues and maintaining suchfund (s) throughout the term of such financing and until the Entity has satisfied itsrepayment obligation thereunder unless modification or change is approved inwriting by the United States Department of Agriculture. So long as the financing

2.

agreement(s) are outstanding, the Entity's pledge hereunder shall constitute a lien infavor of the United States Department of Agriculture on the foregoing fund(s) andrevenue(s) without any further action necessary. So long as the financingagreement(s) are outstanding, the Entity commits to maintaining the fund(s) andrevenue(s) at levels sufficient to meet its obligations under the financingagreement(s)

THIS RESOLUTION was passed by the Board of Supervisors of the County of Glenn at a, 2019, by the following vote:regular meeting thereof held on

AYES:

NOES:

ABSENT OR ABSTAIN:

JOHN K. VIEGASChairman of the Board of SupervisorsCounty of Glenn, California

APPROVED AS TO FORM:

WILLIAM VANASEK, County CounselCounty of Glenn, California

ATTEST:

DIAULABAUGH, Clerk of the Board of SupervisorsCounty of Glenn, California

ivUILcPUBLIC WORKS AGENCYP.O. Box 1070 / 111 N. Colusa StreetWillows, CA 95988530.934.6530 Fax 530.934.6533www.countyofglenn.net

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smMohammad “Dr. Q” Qureshi, Director

Michael ColbertUSDA Rural Development221 W. 8th StreetAlturas, CA 96101

April 2, 2019

RE: Glenn County Landfill Closure Project (Project) Loan Certification

Mr. Colbert,

In accordance with the "Letter of Conditions”, dated May 13, 2016, and Glenn County ResolutionNumbers 2018-71, 2019- (parcel fee resolution & new resolution dedicating fees to USDA loan), 1hereby certify that all improved real estate parcel holders who benefit from the Project will have anannual fee levied in accordance with California State law to repay the USDA loan.

Sincerely,

John Viegas, ChairmanGlenn County Board of Supervisors

Airports, Engineering, Flood Control, Roads & Bridges, Solid Waste, Surveyor, and Transit