HomeMy WebLinkAboutRES-2006-020 Public Comments Proposal 5 for a Nov 2006 Referendum District Elections for BOCC~, ~s _aooG - ozG.
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NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners
of Orange County, North Carolina, as follows:
1. The Board makes an initial determination to finance the projects
described above by use of installment financing including certificates of
participation. The County estimates that the total amount to be financed will not
exceed $24,000,000, including amounts that may be needed to provide required
reserves, to pay financing costs and to pay other necessary and related costs.
2. The Finance Director is authorized and directed to proceed with the
proper steps toward completing the financing, including proceeding with an
application to the LGC for its approval of such financing. The Board appoints the
Finance Director as the County's authorized representative with respect to the LGC
application process.
3. The County requests that the LGC approve the County's application
for such financing. The Board makes the following findings of fact in support of its
application for approval and its determination to proceed with this financing:
(a) The proposed projects are necessary and appropriate for the
County under all the circumstances. All of these projects have been in the County's
capital investment plan for some period of time, and have received prior
confirmation from the Board as to their necessity and appropriateness for the
County. Construction of the; Gravelly Hill middle school is underway. The Board
believes that the proposed projects represent the best use of the borrowing capacity
(for installment financings) that the County has elected to use at this time.
(b) The proposed installment financing is preferable to a bond issue
for the same purpose. Using an installment financing for these projects allows the
County to address a series of needs as part of a flexible, long-term plan. Several of
the proposed projects will also receive funding from voter-approved general
obligation bonds. The County has no meaningful capacity to issue non-voted
general obligation bonds in the current fiscal year. It is appropriate for the County
to balance its capital finance program between bonds and installment financing.
(c) The estimated sums to fall due under the proposed financing
contract are adequate and not. excessive for the proposed purposes. The County
has, and will continue, to closely monitor construction budgets against available
funds. The County will closely review proposed financing rates against market
rates with guidance from the LGC.
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(d) As confirmed to the Board at this meeting by the County's
Finance Officer, (i) the County's debt management procedures and policies are
sound and in compliance with law, and (ii) the County is not in default under any
of its debt service obligations.
(e) The County Attorney is of the opinion that the proposed
projects are authorized by law and are purposes for which public funds of the
County maybe expended pursuant to the Constitution and laws of North Carolina.
4. The Board approves the selection of Banc of America Securities LLP
and Siebert Bradford Shank to provide investment banking and underwriting
services to the County in connection with this transaction.
5. All County officers and employees are authorized and directed to take
all such further action as they may consider necessary or desirable in connection
with the furtherance of the purposes of this resolution. All such prior actions of
County officers and employees are ratified, approved and confirmed. All other
resolutions, or parts thereof, in conflict with this resolution are repealed, to the
extent of the conflict. Phis resolution takes effect immediately.
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