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49 <br />~1 <br />Under the guidelines of the North Carolina focal 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 lT 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 /T 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 acost-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 aself- <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 />