HomeMy WebLinkAboutAgenda - 12-12-2000-b1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date:. December 12, 2000
Action Agenda
Item No.`
SUBJECT: Authorization to Seek Financing for Property Acquisition at 112 and 118 North,
_Churton Street in Hillsborough
DEPARTMENT: Finance PUBLIC HEARING: (Y /N) No
Purchasing
ATTACHMENT(S): INFORMATION CONTACT:
Ken Chavious, ext 2453.
Resolution Pam Jones ext 2652
Public Hearing Notice. TELEPHONE NUMBERS:
Correspondence From.Bond Counsel Hillsborough 732 -81.81
Chapel Hill 9684501
Durham 688 -7331
Mebane 336- 227 -2031
PURPOSE: To consider adoption of a resolution indicating the Board's approval. of.the
acquisition and financing for the purchase of buildings located at 112 and 11.8 North Churton
Street,. Hillsborough; and to establish a date of a public hearing on the financing proposal.
BACKGROUND: Hillsborough Savings Bank and CCB have become one entity within the
recent past.. The Bank is now divesting itself of property that is not critical to its day to day.
operations.. As a result they have offered for purchase the property leased by the County in
Hillsborough at 112 N. Churton (old Hillsborough Savings Bank currently lease for use as the
Clerk of.Cburt Annex) and 118 N. Churton (Graham Building .present location.'of the Veterans
office. and the Literacy Council). .
CCB has accepted the.County's offer of $485,000 for both properties. Based on a projected
interest rate of 6.5 %, the debt service payment for each year of the 10 -year projected. finance
period will cost the County approximately $7,000 above what we are currently paying for rent.
Further, it is contemplated that the property will fill significant future space needs as may be
identified by the County.
The Board will formally be requested to approve the acquisition of the properties on January 18,
2001; contingent upon a favorable report on the-environmental and general building
assessments.` In the interim; staff will solicit financing Requests for Proposals (RFP's) for Board
consideration as well as the public's consideration during the required public hearing.
3
Resolution approving in principle a plan for the County's acquisition and financing
of a building and authorizing appropriate staff work
WHEREAS, there has been presented to this Board a plan for Orange County to.
acquire the buildings and associated property at 11.2 N. Churton Street, specifically the. old
Hillsborough Savings Bank Building and at 118 N. Churton Street, specifically the Graham
Building, in Hillsborough, and to finance that acquisition through an installment financing
contract as authorized under Section 160A -20 of the North Carolina General Statutes.; and
WHEREAS, the Board of Commissioners has determined 'to approve such plan and
to authorize County staff to proceed accordingly;
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners .of
Orange County; North Carolina, as follows:
L. The Board. approves in principle the plan described to the Board for the
County's acquisition and financing of the old Hillsborough Savings Bank Building and the
Graham Building in Hillsborough. The County will not; however, complete any.
acquisition or financing until the Board takes further action after the public. hearing
required by law and referenced below in. this resolution.
2. The Finance Officer and all other County, officers and employees 'are.
authorized and directed to proceed with the installment. financing that is part of the
financing plan, and to take all such further action as they may consider desirable in that
connection.
3. The Clerk to this. Board is authorized and directed to provide for the
publication of a notice of public hearing on the proposed financing, in the form and manner
prescribed by statute, with the hearing to be. held at the Board's meeting on Jan uary 18,
2001.
This the 12'. day of December 2000.
To:
Date:
Regarding:
Kenneth T. Chavious
December 5, 2000
Timetable for HSB building acquisition,
preliminary County Board resolution
and notice of public hearing
Ken, as we have discussed, I am sending along a variety of items to get the financing
process started on the HSB building acquisition.
The first item attached to this cover memo is a sample- financing scheduler It
contemplates a preliminary go -ahead from the County Board at the December 12 work
session, and then final County Board action after a public hearing on January 18. The
action at the January 18 meeting would include the adoption of the "findings" resolution
that the LGC requires; we would also include in that resolution the appropriate approval of
a particular financing. proposal and direction to County staff to complete the process. This
schedule means we need to have a financing proposal ready to accept by the agenda
deadline for the. January 18 meeting, which I would not think should be a problem, even if
we had to' go out with RFPs at the beginning of the year.
I see that the January 18 meeting is designated .as one to include planning items.. I
don't know if this new plan. for the Board meetings is inconsistent with taking action on
this project, but I would point out that January 18 is the only regular meeting currently
scheduled for January and our only opportunity for the Board to act before the February 6
LGC meeting.
The next item .attached. is my proposed form of a preliminary resolution for the
December 12 meeting. This is pretty simple, but it is certainly plenty to get us started.
Finally, I. have attached the form of a notice of the public hearing. As. you may
recall, the notice needs to run once, at least ten days before the hearing - we should try to
publish not later than January 7 for a hearing on January 18. You .will see .I have left a
couple of blanks in the notice — feel free to fill those in yourself, or call me and ..I will
prepare anew version with the blanks filled in.
Event
Date
County Board adopts preliminary
BOCC work session Dec 12
resolution approving transaction in
principle and directing County staff
to proceed accordingly
County publishes notice of public
Promptly after the previous step, and at
hearing on proposal to finance the
least ten days before hearing; should
acquisition
publish not later than January 7 for a
hearing on January 1$
County negotiates financing proposal
Between the first. step and the January 18
with CCB or obtains RFP financing
meeting; need to leave about a week to
responses from others
ten days to obtain proposals from other
potential providers
Obtain boundary survey and Phase I
Promptly after. selection of a financing
environmental review of the property
provider
(if required by financing provider)
County Board holds public hearing;.
Regular BOCC meeting of January 18
adopts "findings" resolution and
resolution authorizing staff to
complete the financing and acquisition
County works with CCB (or other
Between previous step and closing; need
provider) on loan documentation
to have substantially final documents in
hand by time the LGC application is filed .
County application due to LGC
By January 25
LGC approves the transaction
LGC meeting on February 6.
County closes on financing
Anytime after the previous step