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HomeMy WebLinkAboutord2025-014Whatcom County COUNTY COURTHOUSE 311 Grand Avenue, Ste #105 Bellingham, WA 98225 4038 (360) 778-5010 Agenda Bill Master Report File Number: AB2025-196 File ID: AB2025-196 Version: 1 Status: Adopted File Created: 02/27/2025 Entered by: LCumming@co.whatcom.wa.us Department: Public Works File Type: Ordinance Department Assigned to: Council Finance and Administrative Services Committee Final Action: 03/25/2025 Agenda Date: 03/25/2025 Enactment #: ORD 2025-014 Related Files: Primary Contact Email: sdraper(ei),co.whatconi.wa.us TITLE FOR AGENDA ITEM: Ordinance temporarily amending the funding limit of cash flow loans from the Road Fund to North Lake Sarnish Bridge No. 107 Replacement Fund -3905 from $2,000,000 up to $6,656,262.32 for a term not to exceed two years SUMMARY STATEMENT OR LEGAL NOTICE LANGUAGE: See memo HISTORY OF LEGISLATIVE FILE Date: Acting Body: Action: Sent To: 03/11/2025 Council INTRODUCED Council Finance and Administrative Services Committee Aye: 5 Byrd, Elenbaas, Galloway, Scanlon, and Stremler Nay: 0 Abstain: 2 Buchanan, and Donovan 03/25/2025 Council Finance and Administrative RECOMMENDED FOR Services Committee ADOPTION Aye: 3 Byrd, Donovan, and Buchanan Nay: 0 03/25/2025 Council ADOPTED Aye: 6 Buchanan, Byrd, Donovan, Elenbaas, Scanlon, and Stremler Whatcoin county Page 1 Printed on 312612025 Agenda Bill Master Report Continued (AB2025-196) Nay: 0 Abstain: 1 Galloway Attachments: Staff Memo, Proposed Ordinance, Notice of Action Proposed on 3.11.2025.pdf Whatcom County Page 2 Printed on 3/26/2025 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 PROPOSED BY: Public Works INTRODUCTION DATE: 3/11/2025 ORDINANCE NO. 2025-014 ORDINANCE TEMPORARILY AMENDING THE FUNDING LIMIT OF CASH FLOW LOANS FROM THE ROAD FUND TO NORTH LAKE SAMISH BRIDGE NO. 107 REPLACEMENT FUND-3905 WHEREAS, Ordinance 2013-022 was passed in order to provide inter -fund loans up to $1,000,000 to Capital Project Funds from the Road Fund; and WHEREAS, Ordinance 2024-022 was passed in order to increase the limit from $1,000,000 to $2,000,000 per Capital Project Fund; and WHEREAS, on January 20, 2025, the Federal Government issued an Executive Order titled "Regulatory Freeze Pending Review" which implemented a 60-day pause on federal funding and financial assistance; and WHEREAS, on January 21, 2025, the Office of Management and Budget issued memorandum "M-25-11" which clarifies that there will be an immediate pause on disbursement of funds appropriated under the Inflation Reduction Act of 2022 (Public Law 117-169) or the Infrastructure Investment and Jobs Act (Public Law 117-58); and WHEREAS, the North Lake Samish Bridge No. 107 Replacement Fund-3905 has received $10,972,210 of federal funding through the Department of Transportation's Highway Planning and Construction grant (grant #LA-10509/BRS-37VV(001)); and WHEREAS, the County has demolished and removed the old bridge and is in the process of constructing the new bridge, which is set to be completed in August of 2025; and WHEREAS, the County has $1,400,273.27 of outstanding grant invoices due from the Department of Transportation and $3,505,989.05 in unexpended grant balance; and Page 1 of 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 WHEREAS, the Road Fund has already contributed a $1,500,000 cash flow loan to allow for project continuation while grant invoices are processed by the Department of Transportation; and WHEREAS, the construction of the North Lake Samish Bridge No. 107 replacement cannot be delayed and must be completed by August of 2025; and WHEREAS, the County has determined it is vital to ensure there is adequate cash flow to complete the project and pay all contractors on a timely basis, regardless of the status of grant reimbursements from the Federal Government; and WHEREAS, project -committed grant funds in the amount of $4,906,262.32 are currently at risk of not being distributed to the County as a result of federal executive funding directives; and WHEREAS, failure to sufficiently fund the project and complete bridge construction in a timely fashion will result in significant cost increases and other damage to Whatcom County tax payers; and WHEREAS, it is necessary to provide for alternative and supplementay means of funding the North Lake Samish Bridge No. 107 Replacement Fund-3905 in order to ensure project completion, which is in the public interest; and WHEREAS, the County has determined that increasing the current Road Fund loan limit from $2,000,000 to $6,656,262.32 is the most efficient and cost effective means to ensure sufficient cash flow to the North Lake Samish Bridge No. 107 Replacement Fund-3905 and completion of the project; and Page 2of3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 NOW, THEREFORE, BE IT ORDAINED by the Whatcom County Council that the Whatcom County Treasurer is hereby authorized to make inter -fund loans from the County Road Fund to the North Lake Samish Bridge No. 107 Replacement Fund-3905 for cash flow purposes. The authrorized loans shall not exceed a total of $6,656,262.32 and shall not be for a term exceeding two years. No interest shall be charged on the loans. N �°® , AD,,:: t"s 25th,day of March r, ATTEST: .') Ca "hy Halka,",Clerk,o. oth(j_"6 ' ricil APPROVED AS TO FORM: approved via email by Christopher Quinn/LB Christopher Quinn, Chief Civil Deputy Prosecuting Attorney , 2025. WHATCOM COUNTY COUNCIL WHATCOM COUNTY, WASHINGTON Kaylee loway, Council Chair Page 3 of 3