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Based on September 3, 2002 cash flow needs identified by the County, Schools <br />and Towns, the County planned to issue debt during the current fiscal year, <br />2003-04. <br />o Mast recent construction timelines and cash flaw needs for all current <br />projects indicate that monetary needs can be covered with debt issued in <br />fiscal year 2002-03. Therefore band sales this spring are not necessary. <br />o No additional funds will be needed before late this summer or early next <br />fall since projects have not progressed enough to warrant bond sales <br />(debt issuance) during the current fiscal year. <br />o Timing provides opportunity to issue two-thirds net debt reduction bonds <br />for County facilities repair. <br />Two-Thirds Net Debt Reduction Bonds Opportunity <br />• By not issuing debt this fiscal year (2003-04}, the County's "net outstanding debt" <br />is reduced <br />• Based on this reduction, the County has an unforeseen opportunity to issue debt <br />in the amount of two-thirds of the current year's reduction in principal <br />o Equates to approximately $4.2 million <br />o Offers an opportunity to fund County facility needs that would not <br />normally "fit" into the current pay-as-you-go CIP revenue stream <br />• Combining this sale with the $19.8 million planned issuance of 2001 voter <br />approved bonds provides additional opportunities for more favorable interest <br />rates <br />Debt Proposed for Issuance in Fiscal Year 2004-05 <br />• Remaining 1997 Voter Approved Bonds <br />o $1.2 million for Efland sewer construction <br />• $19.8 million in 2001 Voter Approved Bonds <br />o Schools - $7.6 million <br />o Parks, Recreation & Open Space - $10.9 million <br />o Affordable Housing - $1.3 million <br />• $14.7 million in Alternative Financing <br />o Schools - $9 million <br />o Conservation Easements - $500,000 <br />o Senior Centers - $2.2 million <br />o Orange County campus of Durham Technical Community College - $3 <br />million <br />• $4.2 million far County Facilities Repairs <br />o Proposed projects to be included in Manager's Recommended 2004-14 <br />County Capital Investment Plan <br />Timetable Overview for Debt Issuance in Fiscal Year 2004-05 <br />• May 5, 2004 <br />