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HomeMy WebLinkAboutAgenda - 01-18-2000 - 7ai ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No. 7_q ACTION AGENDA ITEM ABSTRACT Meeting Date: January 18, 2000 SUBJECT: Public Hearing and Adoption of Bond Orders for Two-Thirds Bonds DEPARTMENT: Finance PUBLIC HEARING: (Y/N) n ATTACHMENT(S): Bond Order For Adoption Resolution Regarding Publication of Order INFORMATION CONTACT: Ken Chavious TELEPHONE NUMBERS: - - ext. 2453 Hillsborough 732-8181 Chapel Hill 9684501 Durham 688-7331 Mebane 227-2031 PURPOSE: To conduct the required public hearing for the issuance of two-thirds bonds and to consider final adoption of the Bond Order and Publication Resolution. BACKGROUND: At the December 7, 1999 meeting, the Board introduced the Bond Order authorizing the issuance of two-thirds net debt reduction general obligation bonds totaling $2,846,000 for the purpose of financing major renovations to the Whitted Human Services Center and Northern Human Services Center. In addition, the Board took action to establish January 18, 2000 as the date on which a Public Hearing on the Bond Order would be held and authorized the Clerk to publish a Public Hearing Notice and the Finance Director to file a Sworn Statement of Debt. The Board also expressed interest in receiving more detail on the projects identified for the two-thirds funding prior to holding the public hearing. Staff has prepared a presentation providing specific details related to each project proposed for the two-thirds funding. After the presentation, the required Public Hearing should be held. The Clerk to the Board has published the Public Hearing notice within the required time frame and the Finance Director has filed the Sworn Statement of Debt as required by the Local Government Commission. Once the Public Hearing is closed, final action can be taken on the Bond Order if the Board so desires. The Bond Order for adoption is attached and is in a form identical to the form introduced at the December 7, 1999 meeting. If the Board chooses to adopt the Bond Order, a resolution to authorize publishing notice of such adoption would also require Board action. The required resolution is also attached. Separate actions are required for the Bond Order and the resolution. FINANCIAL IMPACT: There is no financial impact related to the adoption of the Bond Order, however, once bonds are finally sold it is estimated that annual debt service costs could range from $200,000 to $230,000. RECOMMENDATON(S): The Manager recommends that Board conduct the required public hearing, adopt the Bond Order and adopt the resolution authorizing the required publication. 3 BOND ORDER AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION PUBLIC BUILDING BONDS OF ORANGE COUNTY, NORTH CAROLINA, IN THE MAXIMUM AMOUNT OF $2,846,000 WHEREAS -- By resolution adopted on November 16, 1999, the Board of Commissioners of Orange County, North Carolina, stated its proposal to issue County general obligation bonds to pay for public buildings. By law, the County may issue such bonds without referendum approval because the amount of the proposed bonds does not exceed two-thirds of the amount by which the County reduced its outstanding indebtedness in the 1998-99 fiscal year. The County has applied to the North Carolina Local Government Commission (the "LGC") for its approval of such bonds, and the LGC has notified the County of its acceptance of such application. BE IT THEREFORE ORDERED by the Board of Commissioners of Orange County, North'Carolina, as follows: 1. There are hereby ordered to be issued general obligation public building bonds of the County to pay capital costs of providing public buildings, together with related financing and other necessary or incidental costs. The bonds issued for this purpose may be combined for sale with bonds authorized for similar or different purposes. 2. The maximum aggregate principal amount of the bonds issued for such purpose shall be $2,846,000. 3. Taxes will be levied in an amount sufficient to pay the principal of and interest on the bonds so issued. 4. A sworn statement of debt prepared by the County's Finance Officer has been filed with the Clerk to this Board and is available for public inspection. 5. This Bond Order shall take effect 30 days after its publication following adoption, unless it is petitioned to a vote of the people as provided in Section 159-60 of the North Carolina General Statutes, and in that event the order shall take effect when approved by the voters. 4 Re olution regurding.puh]icatioiLQf gond Order WHEREAS, there has been adopted at this meeting a bond order entitled as follows: BOND ORDER AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION PUBLIC BUILDING BONDS OF ORANGE COUNTY, NORTH CAROLINA, IN THE MAXIMUM AMOUNT OF $2,846,000; AND WHEREAS, the General Statutes require the publication of a notice to complete the process of authorizing the bonds; BE IT THEREFORE RESOLVED by the Board of Commissioners of Orange County, North Carolina, that the Clerk to this Board is hereby authorized and directed to publish a notice of the adoption of such Bond Order, in the form provided for in Section 159-58 of the General Statutes, one time in a newspaper having general circulation in the County.