RES-2016-032 Resolution providing final approval of terms and documents for 2016 County installment financing

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A aol t, RES-2016-032 I C Resolution providing final approval of terms and documents for 2016 County installment financing WHEREAS-- The Board of Commissioners has previously determined to carry out a plan (the "Project") to acquire, construct and finance various public improvements, and in particular the public improvements and undertakings described in Exhibit A. The Board has also determined to finance Project costs through the use of an installment financing, as authorized under Section 160A-20 of the North Carolina General Statutes. The Orange County Board of Education will transfer the Grady Brown School property to the County for use as collateral for the financing. The County has solicited competitive proposals from banks and other financial institutions to provide the desired financing,and First Bank(the"Bank") has submitted the best proposal. The County's Finance Officer has made available to this Board the draft agreements listed on Exhibit A(the "Agreements"),which relate to the County's carrying out the financing plan. This resolution provides the County Board's final approval of the financing terms and documents for the Project. BE IT THEREFORE RESOLVED by the Board of Commissioners of Orange County,North Carolina,as follows: 1. Determination To Proceed with Financing - The County confirms its plans to undertake the Project. The County will carry out the Project with financing from the Bank substantially in accordance with a financing proposal dated March 21, 2016. Under the financing plan, the Bank will make funds available to the County for use on Project costs.The County will repay the amount advanced,with interest, over time.The County will grant to the Bank a mortgage-type interest in the Grady Brown School property to secure the County's repayment obligation. 2. Approval of Agreements;Direction To Execute Agreements--The Board approves the forms of the Agreements submitted to this meeting.The Board authorizes the Board's Chair and the County Manager, or either of them, to execute and deliver the Agreements in their final forms. The Agreements in their respective final forms must be in substantially the forms presented, with such changes as the Chair or the County Manager may approve. The execution and delivery of any Agreement by an authorized County officer will be conclusive evidence of that officer's approval of any changes. The Agreements in final form, however, must be consistent with the financing plan described in this resolution and must provide (a) for the amount financed by the County not to exceed$8,150,000, (b) for an annual interest rate not to exceed 2.95% (in the absence of default, or a change in tax status),and (c) for a financing term not to extend beyond December 31,2036.