PVD21-217 - LINE OF CREDIT

PW is seeking to establish a line of credit up to $5 million for a period of 364 day period with an 
option to
extend for four (4) additional 364 day periods, renewable at the end of each year. This line of 
credit is needed to facilitate cash flow requirements during periods of lower income - low water 
demand season - and during periods of concentrated expenditures. Without a line of credit PW would 
become dependent on City funding which is not in the best interest of the City, nor PW. This line 
of credit is to be drawn down on an As Needed Basis. Repayment will be negotiated in accordance 
with this Request for Proposal (RFP), similar to the line of credit previously authorized and 
administered by PW. PW may need to extend this line of credit for a longer period of time to 
balance cash flow and, if necessary, will do so in the prescribed manner.