HomeMy WebLinkAboutRES-2010-088 Resolution Providing Final Approval of Terms and Documents for County's 2010 Installment Refinancings and Equipment Refinancingold-~~c~c.k-,m~..~.-~- I
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Resolution Providing Final Approval of Terms and Documents
For County's 2010 Installment Refinancings And Equipment Financing
WHEREAS:
The Board of Commissioners of Orange County, North Carolina, has previously
determined to carry out to refinance County installment financings and to finance certain
equipment, including sheriffs radios, telephone equipment and property information
management software (collectively, the "Project").
The financing. for the project will take the form of a new installment financing
pursuant to the authority of Section 160A-20 of the General Statutes and will include the
use of limited obligation bonds.
The County's Finance Officer has made available to this Boazd the draft
documents listed on Exhibit A (the "Documents"), and a draft of an official statement
providing for the disclosure of information to prospective investors in the County's
financing obligations. All of these items relate to the County's carrying out the financing
plan.
BE IT THEREFORE RESOLVED by the Board of Commissioners of Orange
County, North Carolina, as follows:
1. Determination To Proceed with Project -- The Boazd confirms its decision
to carry out the Project.
2. Approval of Documents; Direction To Execute Documents -The Board
approves the forms of the Documents submitted to this meeting. The Board authorizes
and directs the Board's Chair and the County Manager, or either of them, to execute and
deliver those Documents to which the County is a party. The Documents in their
respective final forms must be in substantially the forms presented, with such changes as
the Chair or the County Manager may approve. The execution and delivery of any
Document by an authorized County officer will be conclusive evidence of such officer's
approval of any such changes. The Documents in final form, however, must provide for
the principal amount of limited obligation bonds to not exceed $101,600,000 and for a
financing term not to extend beyond December 31, 2030.
3. Approval of Official Statement -The Board approves the draft official
statement submitted to this meeting as the form of the preliminary official statement
pursuant to which the Bonds (as defined in Exhibit A) will be offered for sale.
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The preliminary official statement as distributed to prospective investors must be
in substantially the form presented, with such changes as the Finance Officer may
approve. The Board directs the Finance Officer, after the sale of the Bonds, to complete
and otherwise prepaze the preliminary official statement as an official statement in final
form.
The Board authorizes and approves the use, in connection with the sale of the
Bonds, of the preliminary official statement and final official statement by BB&T Capital
Markets BB&T Capital Markets (a division of Scott & Stringfellow, LLC), together with
Wells Fargo Securities, as the underwriters of the Bonds.
The Board acknowledges that it is the County's responsibility, and ultimately the
Board's responsibility, to ensure that, the Official Statement in its final form neither
contains an untrue statement of a material fact nor omits to state a material fact required
to be included therein for the purpose for which such Official Statement is to be used or
necessary to make the statements therein, in light of the circumstances under which they
were made, not misleading. By the adoption of this resolution, the Board members
approve the Official Statement as materially correct and complete, and further
acknowledge and accept their own responsibility for causing the County to fulfill these
responsibilities for the Official Statement.
4. Authorization To Refinance Obligations with Existing Lenders -The
Board understands that for certain of the County's outstanding installment financing
obligations, it may be in the County's best interest to modify the existing agreements
with the current lenders, instead of refinancing those obligations through the issuance of
the limited obligation bonds. The Finance Officer, and all other County officers and
representatives, are authorized and directed to take all appropriate action to carry out such
modifications and refinancings with the existing lenders.
S. Authorization to County Manager and Fi~zance Officer To Complete
Closing -The County Manager, the Finance Officer and all other County officers and
employees are authorized and directed to take all proper steps to complete the financing
in accordance with the terms of this resolution.
The Board authorizes and directs the Finance Officer to hold executed copies of all
financing documents authorized or permitted by this resolution in escrow on the County's
behalf until the conditions for their delivery have been .completed to such officer's
satisfaction, and thereupon to release the executed copies of such documents for delivery
to the appropriate persons or organizations.
Without limiting the generality of the foregoing, the Board specifically authorizes
the Finance Officer (a) to approve any additional agreements appropriate to carry out the
Project financing contemplated by this resolution, including agreements for the custody
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or investment of Bond proceeds and agreements for appropriate professional services,
and (b) to approve changes to any documents or closing certifications previously signed
by County officers or employees, provided that such changes do not conflict with this
resolution or substantially alter the intent from that expressed in the form originally
signed. The Finance Officer's authorization of the release of any such document for
delivery will constitute conclusive evidence of such officer's approval of .any such
changes.
In addition, the Finance Officer is authorized and directed to take all appropriate
steps for the efficient and convenient carrying out of the County's on-going
responsibilities with respect to the Bonds. This authorization includes, without limitation,
contracting with third parties for reports and calculations that may be required under the
Bonds, this resolution or otherwise with respect to the Bonds.
6. Miscellaneous Provisions -- All County officers and employees are
authorized and directed to take all such further action as they may consider necessary or
desirable in furtherance of .the purposes of this resolution. All such prior actions of
County officers and employees are ratified, approved and confirmed. Upon the absence,
unavailability or refusal to act of the County Manager, the Board's Chair or the Finance
Officer, any other of such officers may assume any responsibility or carry out any
function assigned in this resolution. In addition, upon the unavailability of the Chair or
the Clerk, respectively, any of the rights or responsibilities directed to such officers may
be carried out or exercised by the Vice Chair or any Deputy or Assistant Clerk. All other
Board proceedings, or parts thereof, in conflict with this resolution are repealed, to the
extent of the conflict. This resolution takes effect immediately.
Ezhibit A --Draft Documents
(a) A draft dated November 11, 2010, of an Installment Financing Contract to
be dated on or about December 1, 2010 (the "Financing Contract"), between the County
and Orange County Public Facilities Company (the "Company), providing for the
advance of funds to the County for the County's undertaking of the Project and further
providing for the County's obligation to repay. the amounts advanced.
(b) A draft of a Deed of Trust and Security Agreement to be dated on or about
December 1, 2010, from the County to a deed of trust trustee for the Company's benefit,
providing for a security interest in the New School (and the associated land) to secure the
County's obligations under the Financing Contract.
(c) A draft of a Trust Agreement to be dated on or about December 1, 2010,
between the Company and a Trustee, providing for the issuance of limited obligation
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bonds (the "Bonds") to generate funds for the advance to the County under the Financing
Contract. The Bonds are payable from amounts paid by the County under the Financing
Contract.
(d) A draft of a Bond Purchase Agreement to be dated on or about December 9,
2010, providing for the underwriters' obligations to purchase the Bonds. The Bond
Purchase Agreement includes a Letter of Representation to be delivered by the County.
The final form of this Agreement will set out the interest rates for the Bonds.
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