Agenda - 06-26-1996 - VII-D - Laserfiche WebLink

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1 ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No ACTION AGENDA ITEM ABSTRACT Meeting Date: June 26, 1996 SUBJECT: Public Hearing and Resolution - 501/503 West Franklin Street Financing ----------------------------------------------------------------------- DEPARTMENT Finance PUBLIC HEARING YES • X NO ------------------------------- BUDGET AMENDMENT REQUIRED YES X NO -------------------------------- ------------------------------- ATTACBMENT(S) INFORMATION CONTACT Public Hearing Notice Ken Chavious, ext 2453 Summary of Financing Proposals TELEPHONE NUMBER . Draft Installment Purchase Agreement Hillsborough 732-8181 Proceedings (including Resolution) as Chapel Hill 968-4501 Prepared by Bond Counsel Mebane 227-2031 (all to be delivered later) Durham 688-7331 ----------------------------------------------------------------------- PURPOSE: To conduct a public hearing on matters related to the financing of the purchase of property located at 501/503 West Franklin Street in Chapel Hill, and to take action required on such matters to facilitate the acquisition of funds. BACKGROUND: At the March 19, 1996 meeting, the Board of Commissioners authorized County staff to pursue the purchase of the 501/503 West Franklin Street property for the purpose of establishing a Skills Development 'Center. After several weeks of negotiations with the property owners, staff recommended, and the Board approved a contract to purchase the property. This action took place at the May 14, 1996 Board meeting, at which time the Board also authorized the Finance Director to seek funding for the purchase through private placement and submit an application to the LGC. A public hearing must be held before private placement financing can be approved. On May 14, the Board of Commissioners established June 26 as the date for the required public hearing. Because the property is currently rented to private businesses and the County plans to continue with the current leases, it was determined by the County' s Special Tax Counsel (Bond Counsel) that a portion of the financing would not be tax exempt . Therefore, the Requests for Financing proposals disseminated by staff, in conjunction with the LGC application, indicated that responding institutions should offer proposals for $650, 000 in tax exempt financing and $550, 000 in non-tax exempt financing. Proposals are due to the County by June 21, and will be evaluated by staff on June 24 . The staff recommendation, along with all other associated documentation, will be provided to the Board at or before the June 26 meeting.