§ 4.50.030. Definitions.

Unless the context otherwise requires, the following definitions shall govern the construction of this Chapter:

"Bonds" means any bonds, notes, loans, interim certificates, debentures, installment purchase agreements, leases or other obligations issued by the city pursuant to this Chapter, which are payable solely from revenues as described in the issuing instrument.

"Capital improvement" means any addition, betterment, replacement, renewal, extension or improvement of or to the sewer system, including, without limitation, the acquisition of land or any interests therein, determined by the city to be necessary or convenient in connection with the utilization of the sewer system.

"Chapter" means this Chapter 4.50 of the Oakland Municipal Code, as amended from time to time in accordance herewith.

"Charter" means the charter of the city of Oakland, as amended from time to time.

"City" means the city of Oakland, California, a chartered city in the State existing under and exercising powers pursuant to the Charter and the Constitution of the State.

"Cost" means with respect to any capital improvement, all costs and expenses of planning, designing, acquiring, constructing, installing and financing such capital improvement, placing such capital improvement in operation, disposal of such capital improvement, and obtaining governmental approvals, certificates, permits and licenses with respect thereto, heretofore or hereafter paid or incurred by the city. Payment of cost shall include the reimbursement to the city for any of the costs included in this definition of cost paid by the city which have not previously been reimbursed to the city and which are not to be reimbursed from contributions in aid of construction. The term cost shall include, but shall not be limited to, funds required for:

1.

Costs of preliminary investigation and development, the performance or acquisition of feasibility and planning studies, and the securing of regulatory approvals, as well as costs for land and land rights, engineering and contractors' fees, labor, materials, equipment, utility services and supplies, legal fees and financing expenses.

2.

Working capital and reserves therefor in such amounts as shall be determined by the city.

3.

Interest accruing in whole or in part on bonds prior to and during construction of a capital improvement or any portion thereof, and for such additional period as the city may determine.

4.

The deposit or deposits from the proceeds of the bonds in any funds or accounts which deposit or deposits are required by the issuing instrument.

5.

The payment of principal, premium, if any, and interest when due (whether at the maturity of principal or at the due date of interest or upon redemption or otherwise) of any note or other evidence of indebtedness the proceeds of which were applied to any of the costs of a capital improvement.

6.

Training and testing costs which are properly allocable to the acquisition, placing in operation, or construction of a capital improvement.

7.

All costs of insurance applicable to the period of construction and placing a capital improvement in operation.

8.

All costs relating to injury and damage claims arising out of the acquisition or construction of a capital improvement less proceeds of insurance.

9.

Legally required or permitted federal, state and local taxes and payments in lieu of taxes applicable to the period of construction and placing a capital improvement in operation.

10.

Amounts due the United States of America as rebate of investment earnings with respect to the proceeds of bonds or as penalties in lieu thereof.

11.

Amounts payable with respect to capital costs for the expansion, reinforcement, enlargement or other improvement of facilities determined by the city to be necessary in connection with the utilization of a capital improvement and the costs associated with the removal from service or reductions in service of any facilities as a result of the expansion, reinforcement, enlargement or other improvement of such facilities or the construction of a capital improvement.

12.

Costs of issuance of any bonds.

13.

Fees and expenses pursuant to any lending or credit facility or agreement applicable to the period for construction and placing a capital improvement in operation.

14.

All other costs incurred by the city, including but not limited to city staff costs, properly allocable to the acquisition, construction, or placing in operation of the sewer system.

"Council" means the City Council of the city.

"Issuing instrument" means the resolution of the Council adopted pursuant to this Chapter and any indenture or trust agreement pursuant to which the city issues bonds.

"Rate stabilization fund" means the fund established pursuant to Section 4.50.140.

"Revenues" means all income, rents, rates, fees, charges and other moneys derived from the ownership or operation of the sewer system, including, without limiting the generality of the foregoing:

1.

All income, rents, rates, fees, connection fees, charges, or other moneys derived by the city from the sewer services or facilities, and commodities or byproducts, sold, famished or supplied through the facilities of or in the conduct or operation of the business of the sewer system, and including, without limitation, investment earnings on the operating reserves to the extent that the use of such earnings is limited to the sewer system by or pursuant to law, and earnings on any funds or accounts established for bonds, parity obligations or subordinated obligations but only to the extent that such earnings may be utilized under the issuing instrument for the payment of debt service for such bonds, parity obligations or subordinated obligations;

2.

Standby charges and capacity charges derived from the services and facilities, sold, furnished or supplied through the sewer system;

3.

Any amount received from the levy or collection of taxes which are solely available and are earmarked for the support of the operation of the sewer system;

4.

Transfers from the rate stabilization fund; and

5.

Grants for maintenance and operations received from the United States of America or from the State of California; provided, however, that revenues shall not include in all cases, customers' deposits or any other deposits or advances subject to refund until such deposits or advances have become the property of the city.

"Sewer system" means the properties, improvements and works at any time owned, controlled or operated by the city as part of the system for the collection, storage, treatment, distribution, administration, disposal or discharge of sewage waste and its other commodities or byproducts, whether located within or without the city for public and private use and any related or incidental operations designated by the Council as part of the sewer system.

"State" means the State of California.

(Ord. 12624 § 1 (part), 2004)