Agenda - 03-02-2006-8b - Laserfiche WebLink

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y NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of Orange County, North Carolina, as follows: 1. The Board makes an initial determination to finance the projects described above by use of installment financing including certificates of participation. The County estimates that the total amount to be financed will not exceed $24,000,000, including amoLmts that may be needed to provide required reserves, to pay financing costs and to pay other neaessai°y and related costs, 2. The Finance Director is authorized and directed to proceed with the proper steps toward completing the financing, including proceeding with an application to the LGC for its approval of such financing. The Board appoints the Finance Director as the County's authorized representative with respect to the LGC application process. 3, The County requests that the LGC approve the County's application for such financing, The Board rnalces the following findings of fact in support of its application for approval and its deternunation to proceed with this financing: (a) The proposed projects are necessary and appropriate for° the County under all the circumstances, All of these projects have been in the County's capital investment plan for some period of time, and have received prior confirmation from the Board as to their necessity and appropriateness for the County. Construction of the Gravelly Hill middle school is underway. The Board believes that the proposed projects represent the best use of the borrowing capacity (for installment financhgs) that the Com1ty has elected to use at this time, (b) The proposed installment financing is preferable to a bond issue for the same purpose. Using an installment financing for these projects allows the County to address a series of needs as part of a flexible, long-term plan. Several of the proposed pi°o,jects will also receive funding from voter-approved general obligation loads, The County has no meaningful capacity to issue non-voted general obligation bonds in the cLU~~ent fiscal year. It is appropriate for the County to balance its capital finance program between bonds and installment financing. (c) The estimated sums to fall due under the proposed financing conri•act are adequate and not excessive for the proposed purposes. The County has, and. will continue, to closely monitor const-uction budgets against available fiu7ds. The County will closely review proposed financing rates against market rates with guidance fiom the LGC. 94775v1