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3 <br />~uraose and Tvae of Debt (continued) <br />5. The County will not issue bond anticipation notes with maturities in excess of one year. <br />6. The County will strive to maximize the use ofpay-as-you-go financing for capital improvements. <br />Issuance of Debt <br />7. The County will strive to issue bonds no more frequently than once in any fiscal year. The scheduling of bond sales <br />and installment purchase decisions and the amount of bonds to be sold and installment financing to be sought will <br />be determined each year by the County Commissioners. These decisions will be based upon the identified cash flow <br />requirements for each project financed, market conditions, and other relevant factors. These factors will be <br />ascertained from the school systems and County departments. If cash needs for bond projects are insignificant in <br />any given year, the Board may choose not to issue bonds. Instead, the Board may fund up front project costs and <br />reimburse these costs when bonds are sold. In these situations the Board will adopt Reimbursement Resolutions <br />prior to the expenditure of project funds. <br />8. The County will seek level or declining debt repayment schedules and will avoid issuing debt that provides for <br />balloon principal payments reserved at the end of the term of the issue. <br />9. The County will avoid over-reliance on variable rate debt. Variable rate debt will only be considered when market <br />conditions favor this type of issuance. When variable rate debt is considered, careful analysis will be performed <br />and techniques applied that will ensure that the County's sound debt position will be maintained. At no time will <br />variable rate debt exceed 20% of the County's total outstanding debt. <br />10. The County is required by Statute to issue general obligation debt through a competitive process. The competitive <br />process will also be used for other debt issuance unless time factors, interest rates or other factors make it more <br />favorable to the County to use a negotiated process. <br />11. In the planning process for debt issuance the County will assess the need to maintain it's "Bank Qualification" if <br />installment purchase financing is being considered. <br />• <br />