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? 416 <br />Commissioner Smith presented the following report for the Study Committee. <br />He stated several methods could be employed to finance the water and sewer <br />lines but the one most likely to receive the approval of the Bond Attorneys and the <br />Local Government Commission being that of a general obligation bond issue by both <br />the town of Mebane and the county of Orange. He suggested that the other ways <br />which might be employed would be a revenue bond issue by the town of Mebane. This <br />means that the town of Mebane would pledge the entire revenue of its water system, <br />which would be further secured by a contract with Orange County guaranteeing <br />payment of the principal and interest on the bonds over and above the revenue <br />received from the water and sewer lines. This would assure the cost of the entire <br />project and would further assure that the expense would be equally allocated <br />between the two governmental units but that the ownership of these lines would be <br />vested in the town of Mebane. Discussion ensued. <br />The town officials from Mebane left the meeting in order to discuss the <br />proposal in a private session. <br />Upon their return to the Board meeting the officials of the town of Mebane <br />suggested that since the Town of Mebane would be pledging the revenue of the <br />water system and would be receiving no substantial benefits from the project, they <br />were of the opinion, that Orange County should guarantee the payment of the <br />principal and interest on the revenue bonds over and above the revenue received <br />from the water and sewer lines. <br />Upon motion of Commissioner Smith, seconded by Commissioner Cleveland, it was <br />moved and unanimously adopted that, Orange County would guarantee the payment of <br />the principal and interest on the revenue bonds over and above the revenue received <br />from the water and sewer lines. <br />Chairman Bennett then suggested that Orange County retain the services of L. A. <br />Alley, Engineer, to work with the officials of the Town of Mebane and <br />represntatives of the County of Orange in developing the proposed projects. <br />Upon motion of Commissioner Cleveland, seconded by Commissioner Ray, it was <br />moved and unanimously adopted that, L. A. Alley, Engineer, be employed as <br />consultant and advisor for the proposed water and sewer line which is to be <br />constructed just east of the Town of Mebane. <br />A. H. Graham, County Attorney, requested that the Board authorize the closing <br />and abandonment of SR #1306 from its intersection with State road #1326 to the <br />branch just below the site of the old Faucette Mill. This request was approved and <br />the Clerk was requested to notify the State Highway Commission of the action taken <br />by the Board to close the road designated as SR #1306. <br />There being no further business to come before the Board said meeting was <br />adjourned. <br />Harvey D. Bennett <br />Chairman <br /> <br />Betty June Hayes, Clerk <br />S. M. Gattis,.Acting Clerk