Orange County NC Website
Sanford Holshouser LLP <br />7 <br />Once the voters have approved the bonds, you are looking at a minimum of <br />90 to 120 days to get through the process to actually issue bonds. The County <br />Board must adopt a resolution to formally approve the election results, and the <br />County must publish a notice of the results that triggers a 30 -day period during <br />which people can bring legal challenges to the bond election process. Then, to <br />approve the issuance of bonds takes only one more Board resolution, with no other <br />required public hearings or published notices. <br />The real timing issue in proceeding with a bond issue centers around the <br />progress of the projects that are going to be financed. In general, the LGC wants <br />you to have firm construction numbers for most of the projects to be financed <br />before you close on the financing — the LGC wants to be sure you don't borrow too <br />much money, or too little money, or borrow it earlier than you need it. This is only <br />LGC policy — not the law — so the LGC has flexibility in how it administers this <br />policy. In general, the LGC will give you some more leeway in the timing of <br />issuing voter - approved bonds than for other types of financing, but it still wants to <br />see that you are close to construction — usually with construction bids in hand for <br />projects representing the majority of the amount to be borrowed. <br />Approval at a bond referendum gives the County seven years from the <br />referendum date to issue the bonds. The law allows the LGC to extend that time for <br />an additional three years, and in my experience the LGC routinely grants these <br />extensions. The bonds can be issued in as many different installments as the <br />County chooses, and there is never any obligation actually to issue bonds approved <br />at a referendum. <br />Please let me know if you have any questions about this information, or if I <br />can be of any other assistance. <br />-- RMJ <br />5 <br />