Punta Gorda staff report $35M in SRF authorizations; loan to be presented to council in April

Utility staff told the Punta Gorda advisory board that they have put in place major funding authorizations for upcoming drinking-water and wastewater projects and briefed members on near-term loan timing.

The utilities presenter said the drinking-water package totals about $35,000,000, including roughly $17.5 million in principal forgiveness and the remainder repaid at 0% interest; the wastewater application is approximately $10.3 million, including about $5.1 million in principal forgiveness. "Council approved both of these authorizations," the presenter said.

Staff also said a separate loan arrangement will be taken to the city council at its second meeting in April, with a target closing that Friday; securing the loan will require a one-time legal fee of about $10,000. The presenter described the SRF and the loan strategy as ways to avoid drawing down other funds and incurring extra interest.

Why it matters: The SRF principal-forgiveness portions lower the city’s long-term borrowing costs and help pay for planned treatment and distribution projects. Staff said these funding approvals are a critical step to keep planned capital projects — including the RO plant expansion — on schedule.

Board action and procedure: The advisory board recorded that council had approved the SRF authorizations and the interlocal items on the agenda; the meeting record did not include a line-by-line public roll-call vote for the SRF authorizations. The minutes approval vote for the February minutes was moved by Mr. Rooney and seconded by Mr. Hooper and passed unanimously.

What’s next: Staff said the SRF paperwork and the procurement steps tied to several projects will continue over the next weeks and that the loan item will appear before council in April.