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523 FOR APPROVAL OF A FINANCING AGREEMENT AUTHORIZED BY NORTH CAROLINA GENERAL STATUTE 16OA-20 • WHEREAS, the County of Orange, North Carolina desires to purchase land that will ultimately be used for the construction of a Human Services Center in southern Orange County to better serve the citizens of Orange County; and WHEREAS, the County of Orange desires to finance the project by the use of an installment contract authorized under North Carolina General Statute 160A, Article 3 , Section 20; and WHEREAS, findings of fact by this governing body must be presented to enable the North Carolina Local Government Commission to make its findings of fact set forth in North Carolina General Statute 159, Article 8, Section 151 prior to approval of the proposed contract; NOW, THEREFORE, BE IT RESOLVED that the Board of Commissioners of Orange County, North Carolina, meeting in regular session on the fifth day of August, 1991, make the following findings of fact: 1. The proposed contract is necessary or expedient because a. The acquisition of property for construction of a Southern Human Services Center is a priority of the Board of County Commissioners and is an integral part of the County's 5 year Capital Improvement Plan. b. Because of the prime location of the property, the total cost exceeded the funds appropriated in the Capital Improvement Plan. c. Acquisition of the property in the proposed contract will 0 allow the County to centralize it's Human Service operations in the Chapel Hill area and provide better accessibility to the citizens who require such services. 2 . The proposed contract is preferable to a bond issue for the same purpose because a. Expenses associated with a bond issue of this size would be prohibitive. b. The amount to be financed under the contract, ($302 , 500) is minimal when compared to the projects the County has historically included in the previous bond referendums yet falls within the category of projects which the County has previously financed by use of installment purchase contracts. c. The amount proposed within the contract exceeds what can be prudently raised by the County from it's current resources. Fund balance has been appropriated in the current year to fund operations. Further appropriations could adversely impact the fund balance next year by causing it to fall below the 8% level. d. The County currently can not issue bonds under the "two- thirds limitation" because there was not a reduction in th County' s net debt at June 30, 1991. The County retire debt on previously issued bonds but issued new bonds in excess of the bonds which were retired.