Agenda - 10-21-2014 - 6a - Laserfiche WebLink

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IN I He said the biggest thing is to structure the bond package to meet the needs that 2 everyone has. He said with the credit ratings and low rates, there should not be an issue with 3 increasing the debt service. 4 Chair Jacobs said if there is going to be a bond committee the timeline would partially 5 dictate what could be put in a bond. He said establishing this will provide guidance to the 6 group. 7 Clarence Grier said he agrees that time is of the essence. He said he also forgot to 8 note that Bob Jessup would bring back a detailed analysis of capital after the first of the year. 9 Commissioner Dorosin said if staff goes back to the Local Government Commission 10 (LGC) for approval of more than $150 million, and then they decide to go with less, it will not be 11 necessary to go back to the LGC again. He said the amount can always be scaled back but not 12 up. He said it might be the best plan to make a ceiling and then get a green light. 13 Clarence Grier said even if there is a voter approved referendum there are 7 years after 14 that to issue the debt. He said it may be better to have a series of bond referendums and split 15 them up. 16 Chair Jacobs said they have talked about doing that with the older school facility needs. 17 Commissioner Gordon asked for clarification on what the general assembly has said 18 about when they can have a referendum. 19 Clarence Grier said he does not remember the general assembly passing that item, but 20 the plan is to have this on a major election in May or November of 2016. 21 Bob Jessup said the election law changes included a provision that said counties can 22 only have a bond referendum in even years and only on primary or general election dates. 23 Commissioner Gordon asked if staff has to inform the LGC of the specifics on what they 24 are doing when asking for formal approval. 25 Clarence Grier said they have to be specific as to what they are going to do with the 26 debt issuance. 27 Commissioner Gordon said as long as interest rates remain low, they can use 28 alternative financing instead of a bond referendum. She said this process is a balancing act. 29 Commissioner Rich asked for clarification on the sequence of the process. 30 Clarence Grier said staff will ask the LGC first, in order to determine how much can be 31 approved. 32 Chair Jacobs said he feels that the committee should decide the needs not the amount. 33 He said if interest rates are low, the committee structure can then be used to talk about things 34 like affordable housing. He said at least everyone can be at the table to decide a common 35 purpose. 36 Chair Jacobs asked Clarence Grier to do a review of the 2001 bonds, including the 37 percentage by which they were approved; the size of the budget then; and whether they did a 7 38 cent increase due to bonds. He said a lot of the tax increases are due to voter approved bonds. 39 Chair Jacobs asked Bonnie Hammersley for an agenda or timeline for a May 2016 40 bond, as well as an identification of what the categories would be. He would like to see this 41 before the break in December. 42 Chair Jacobs said in his opinion Durham Tech is not ready for County to give them money until 43 there is a strategic plan in place for their property. He would like to see them be more 44 coordinated. 45 Clarence Grier said over the past year, he has had more calls about bonds from 46 competing interests. 47 Commissioner Gordon said the committee needs to be told the total amount of money 48 for the bond, and then they can decide the needs. She said this will be the cleanest way to do 49 it.