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11 <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 the <br /> circumstances. <br /> The County has worked with Chapel Hill - Carrboro School Board to develop a plan for <br /> financing school facilities, of which the currently-proposed elementary school is a part. The <br /> ambulances and convenience center improvements will improve services to County residents. <br /> (2) The proposed installment financing is preferable to a bond issue for the same <br /> purposes. <br /> As the elementary school will be a discrete facility, it is particularly suitable for installment <br /> financing. The amounts to be financed for other County projects are relatively small, and it will be <br /> cost-effective for the County to combine that financing with the larger school financing. As the <br /> financings that are proposed to be refinanced are all installment financings, it is most appropriate <br /> to carry out the refinancing as an installment financing. <br /> The County has no meaningful ability to issue non-voted general obligation bonds for this <br /> project, and the County has no previously-authorized bonds for these projects. The projects will <br /> produce no revenues that could support a self-liquidating financing. The County expects that in <br /> the current interest rate environment for municipal securities that there will be no substantial <br /> difference in interest rates between general obligation bonds and installment financings for this <br /> project. <br /> The County maintains a balance in school construction financing between voter-approved <br /> bonds, pay-as-you-go funding and installment financing, and the Board believes that under the <br /> circumstances installment financing is the preferable vehicle for Elementary#11. <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 closely review proposed <br /> financing rates against market rates with guidance from the LGC. All amounts financed will reflect <br /> either approved contracts or previous actual expenditures. <br /> (4) As confirmed by the County's Finance Officer, (i) the County's debt management <br /> procedures and policies are sound and in compliance with law, and (ii) the County is not in <br /> default under any of its debt service obligations. <br /> (5) The County estimates that the maximum tax rate impact of paying debt service on <br /> the financing for the new elementary school will be the equivalent of approximately 1.14 cents per <br /> $100 of valuation. Given the County's need for the new school, the Board believes that such a tax <br /> rate impact is reasonable under all the circumstances. <br /> The County estimates that the tax-rate impact of the additional financing for County <br /> projects will be negligible, especially since solid waste enterprise revenues will help pay debt <br /> service on the financing for the convenience center improvements. Any refinancings will reduce <br /> the County's debt service obligations. <br /> (6) The County Attorney is of the opinion that the proposed projects are authorized by <br /> law and are purposes for which public funds of the County may be expended pursuant to the <br /> Constitution and laws of North Carolina. <br /> BE IT FURTHER RESOLVED as follows: <br />