HomeMy WebLinkAboutA037 - First Amendment to Loan and Disbursement Agreement dated February 19, 2021 FIRST AMENDMENT TO
LOAN AND DISBURSEMENT AGREEMENT
$5,107,055.19 TAXABLE SEWER REVENUE IMPROVEMENT AND REFUNDING BONDS
CITY OF AMES,IOWA
This First Amendment to Loan and Disbursement Agreement (the "Amendment') is made and
entered into as of February 19, 2021, by and between the City of Ames, Iowa (the"Participant') and the
Iowa Finance Authority, an agency and public instrumentality of the State of Iowa (the "Issuer"), and
amends that certain Loan and Disbursement Agreement dated October 19,2018,by and between the Issuer
and the Participant(the"Original Agreement').
WHEREAS, the Issuer, in cooperation with the Iowa Department of Natural Resources, is
authorized to undertake the creation, administration and financing of the Iowa Water Pollution Control
Works Financing Program(the"Program")established in Iowa Code Sections 45513.291 through 455B.299;
and
WHEREAS, pursuant to the Original Agreement, the Issuer provided a loan (the "Loan") to the
Participant for the purpose of financing the costs of improvements and extensions to the Municipal Sanitary
Sewer System;and
WHEREAS, the Participant will construct a certain water resource restoration project, and the
Issuer has agreed to provide financing for such project by decreasing the interest rate on the Loan;and
WHEREAS, the Participant has entered into a Water Resource Restoration Sponsored Project
Performance Agreement(the"Performance Agreement')with Iowa Department of Natural Resources,and
agency of the State of Iowa (the "Department')to ensure that the Project(as defined in the Performance
Agreement)is constructed in accordance with the applicable design checklist and plans and specifications
as approved by the Department;
NOW,THEREFORE,the parties agree as follows:
Section 1. Each reference to the amount of the Loan in the Original Agreement, and the
associated Sewer Revenue Bonds, shall be amended to reflect a principal amount of$5,107,055.19 and a
Rate(as defined in the Original Agreement)of 0.86%.
Section 2. The Issuer hereby consents to the amendment of the Resolution(as defined in the
Original Agreement)by the Participant in order to reflect the reduction of the interest rate on the Loan.
Section 3. The Participant hereby confirms compliance with the Performance Agreement and
agrees the Issuer may enforce and raise the interest rate of the Loan to the initial rate of interest to ensure
compliance by the Participant with the Performance Agreement and in accordance with the Original
Agreement.
Section 4. Except as otherwise provided in this Amendment, the provisions of the Original
Agreement,as heretofore amended,are hereby ratified,approved and confirmed and incorporated herein.
IN WITNESS WHEREOF, We have hereunto affixed our signatures all as of the date first above
written.
CITY F ES,IOW PJA
B
Mayor
ttest:
City Clerk
IN WITNESS WHERE-OF, I have hereunto affixed my signature all as of the date first above
written.
IOWA FINANCE AUTHORITY
By: -
Its: