HomeMy WebLinkAboutRES-2020-026 Resolution authorizing the borrowing of approximately $40,750,000 in installment financing to finance capital investment projects and equipment for the fiscal year J
RES -202MM
s * h draft of Auri18
Resolution providing final approval of terms and
documents for Spring 2020 installment financing
WHEREAS -
The Board of Commissioners has previously determined to carry out various
public improvements and acquisitions , as identified in the County' s capital
improvement plan and as described on Exhibit A . The Board has determined to
carry out the financings by using an installment financing, as authorized under
Section 160A - 20 of the North Carolina General Statutes .
Capital One Public Funding, LLC (the " Lender" ) , has submitted a proposal to
provide the financing . County staff has made available to the Board the draft
documents listed on Exhibit B (the " Documents " ) , which relate to the County ' s
carrying out the financing plan .
This resolution provides the County Board ' s final approval of the financing
terms and the substantially final financing documents .
BE IT THEREFORE RESOLVED by the Board of Commissioners of Orange
County, North Carolina, as follows :
1 . Determination to Proceed with Financing - - The Board confirms its
decision to carry out the proposed installment financing as described above , to
provide financing for new public assets and improvements . The County will carry
out the projects with financing from the Lender substantially in accordance with a
financing proposal from the Lender dated April 1 , 2020 .
Under the financing plan , the County will receive funds from the Lender to
carry out the projects . The County will repay the funds over time , with interest . The
County will secure its repayment obligation by granting a mortgage - like interest in
some or all of the following facilities : ( a ) the County' s Government Services Annex at
208 S . Cameron St . in Hillsborough , along with the County' s Link Center and the
District Attorney' s office buildings ( b ) the County' s Emergency Operations Center on
Meadowlands Drive in Hillsborough ; ( c ) the proposed site of the new Northern
County Campus ; and ( d ) the County' s Southern Campus in Chapel Hill .
20 Approval of Documents; Direction to Execute Documents - - The
Board approves the forms of the Documents submitted to this meeting . The Board
authorizes the Chair and the County Manager, or either of them , to execute and
deliver the Documents when in final form . The Documents in their respective final
forms must be in substantially the forms presented , with 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 that officer ' s approval of
any changes .
The Agreements in final form, however, must be consistent with the financing
plan described in this resolution and must provide ( a) for the amount financed by
the Town not to exceed $ 43 , 000 , 000 , ( b ) for an annual interest rate not to exceed
2 . 70 % ( in the absence of default, or a change in tax status ) , and ( c) for a financing
term not to extend beyond December 31 , 2040 . The amount financed under the
Documents may include amounts to pay financing expenses and other necessary
and incidental costs .
4. Officers to Complete Closing - The Board authorizes the County
Manager, the Finance Officer and all other County officers and employees to take all
proper steps to complete the financing in accordance with the terms of this
resolution .
The Board authorizes the County Manager to hold executed copies of all
financing documents authorized by this resolution in escrow on the County ' s behalf
until the conditions for their delivery have been completed to her satisfaction , and
then to release the executed documents for delivery to the appropriate persons or
organizations .
Without limiting the generality of the previous paragraphs , the Board
specifically authorizes the County Manager ( a) to approve and enter into , on behalf
of the County, any additional agreements appropriate to carry out the financing plan
contemplated by this resolution, and ( b ) to approve changes to any documents
previously signed by County officers or employees , provided that the changes do not
substantially alter the intent from that expressed in the form originally signed . The
County Manager ' s authorization of the release of any document for delivery will
constitute conclusive evidence of her approval of any changes .
In addition , the County Manager and the Finance Officer are authorized to take
all appropriate steps for the efficient and convenient carrying out of the County' s on -
going responsibilities with respect to the financing . This authorization includes ,
without limitation , contracting with third parties for reports and calculations that
may be required under the Documents , this resolution or otherwise with respect to
the bonds .
6. Miscellaneous Provisions - The Board authorizes all County officers
and employees to take all further action as they may consider desirable to carry out
the purposes of this resolution . In particular, the Board directs the Clerk to this
Board to apply the County ' s seal to the final form Documents , and to attest to the
application of the seal . The Board ratifies all prior actions of County officers and
employees to this end . Upon the unavailability or refusal to act of the County
Manager, the Chair or the Finance Officer, any other of those officers may assume
any responsibility or carry out any function assigned in this resolution . In addition ,
the Vice Chair or any Deputy or Assistant Clerk may carry out or exercise any rights
or responsibilities assigned in this resolution to the Chair or the Clerk . The Board
repeals all other Board proceedings , or parts of proceedings , in conflict with this
resolution , to the extent of the conflict . This resolution takes effect immediately .
NOW THEREFORE BE IT ORDAINED by the Board of Orange County
Commissioners that this resolution is effective upon approval . Upon motion
of Commissioner me ' . seconded by Commission r ►ct , the
foregoing resolution was adopted this , the day of 2020 .
I , Donna S . Baker, Clerk to the Board of Commissioners for the County
of Orange , North Carolina , DO HEREBY CERTIFY that the foregoing is a true
c py o so much of the proceedings of said Board at a meeting held on
2020 , as relates in any way to the adoption of the foregoing
anJ that said proceedings are recorded in Minute Book No . of the
minutes of said Board .
WITNESS my hand and the seal of said County, the day of
2020 .
kk IFfz
74 Donna S . Baker
17 e g� Clerk to the Board
IA
1' f f e'a9
VII
41 .
fit
t �� ��
Exhibit A - list of proiects to be financed with estimated amounts
Component Estimated Cost
Facility, Accessibility, Safety and Security Projects $ 212 , 634
Generator Projects $ 33 , 000
HVAC Projects $ 230 , 218
Major Plumbing Repairs $ 50 , 885
Northern Campus — Detention Center $ 21 , 989 , 681
Northern Campus — EAC $ 51677 , 065
Northern Campus — Parks Operations $ 11404, 810
Government Services ( Link ) Remediation $ 581 , 503
Skill Development Relocation - Europa Center Upfits $ 254 , 953
Roofing and Fagade Projects $ 686 , 167
Parks and Recreation Facility Renovations . Repairs , Safety
Improvements $ 246 , 500
Conservation Easements $ 259 , 514
River Park, Phase II $ 118 , 509
ITGC Initiatives $ 197 , 826
IT Infrastructure $ 489 , 910
Communication Systems $ 273 , 221
Solid Waste - Equipment and Vehicles $ 717 , 228
Solid Waste - Administrative Building Remediation $ 281 , 324
Sportsplex Capital Items - 2 Vans $ 70 , 090
Schools - Recurring Capital Needs $ 31000 , 000
Schools - Improvements to Older Facilities $ 472 , 941
Schools — Other Various Projects $ 31242 , 252
Total Project Costs $ 4% 490, 231
The County will also use additional loan proceeds to pay financing costs .
Exhibit B - - Draft Documents
( a ) A draft dated April 8 , 2020 , of a Third Supplemental Trust Agreement
to be dated on or about May 1 , 2020 , between the County and The Bank of New York
Mellon Trust Company, N . A . (the " Trustee " ) , providing for the advance of funds to
the County, for the issuance of a limited obligation bond to the Lender, for the
County' s obligation to repay the amounts advanced , and for the County' s
responsibilities for the use and care of the collateral
( b ) A draft dated April 8 , 2020 , of a Deed of Trust Supplement # 3 to be
dated on or about May 1 , 2020 , from the County to a deed of trust trustee for the
Trustee ' s benefit, providing for a security interest in property to secure the County' s
obligations under the limited obligation bonds and the other financing documents .