Orange County NC Website
Browse       Search
Under the guidelines of the North Carolina Local Government Commission, this <br /> governing body must make certain findings of fact to support the County's application for the <br /> LGC's approval of the County's proposed financing arrangements. <br /> BE IT RESOLVED by the Board of Commissioners of Orange County, North <br /> Carolina, that the County confirms its preliminary determination to carry out and finance the <br /> projects described above. The Board will make a final determination of the projects and <br /> amounts to be financed, and make a final approval of financing terms and conditions, by a <br /> subsequent resolution. <br /> BE IT FURTHER RESOLVED that the Board of Commissioners makes the following <br /> findings of fact: <br /> (1) The proposed projects are necessary and appropriate for the County under all <br /> the circumstances. The Gateway Center, office building and library projects will provide <br /> needed space for County functions in a cost-effective manner. The parks, open space and <br /> affordable housing projects will help carry out County policies that have been repeatedly <br /> approved by the Board. The solid waste and property management information system <br /> projects will provide needed equipment useful in maintaining and improving the efficiency of <br /> County operations. <br /> (2) The proposed installment financing is preferable to a bond issue for the same <br /> purpose under all the circumstances. <br /> The County has no meaningful ability to issue general obligation bonds for the <br /> Gateway Center, office building, library, solid waste equipment or PIM system. These <br /> financings are for discrete facilities and therefore particularly suitable for installment financing. <br /> Although the parks, open space and affordable housing projects represent projects for which <br /> the County's voters have approved general obligation bonds, it is more cost effective to <br /> finance those projects in this larger installment financing than to proceed with a separate bond <br /> financing for the relatively small amount of authorized bonds. <br /> None of these projects will produce any revenues that could be used to support a self- <br /> liquidating financing. The County has chosen to finance these projects through installment <br /> financing as part of a balanced capital finance program that includes both installment <br /> financings and voter-approved bonds. <br /> (3) The estimated sums to fall due under the proposed financing contract are <br /> adequate and not excessive for the proposed purpose. The County will obtain competitive <br /> lending proposals, and will closely review proposed lending rates against market rates with <br /> guidance from the LGC. Amounts to be financed for each project will reflect contract prices or <br /> other firm costs, except that the amount to be financed now for the PIM system reflects an <br /> estimate of initial financing needs and may be supplemented. <br /> (4) As confirmed to the Board at this meeting by the County's Finance Officer, (a) <br /> the County's debt management procedures and policies are sound and in compliance with law, <br /> and (b) the County is not in default under any of its debt service obligations. <br /> (5) The County estimates that debt service on this financing will have a maximum <br />