To: Board of County Commissioners
From: Chrystal Simpson, Chief Financial Officer
title
RE: Approval of a request to issue Bonds for capital improvements
recommendation
BOARD ACTION REQUESTED:
Approval of the issuance of Capital Improvement Bonds
BACKGROUND:
Resolution 2024-1182 approved for the notice of intent to issue capital improvement bonds. In order to move forward, we need to approve a resolution to issue the $21,500,000 debt and the term sheet (attached) from Huntington Bank for the private placement.
Capital improvement planning has been a major focus for the County. The Tower project plan included $9,000,000 of bond proceeds. There are additional capital needs included in the capital improvement plan adopted by the Board of Commissioners on September 13, 2023 that are urgent in nature. We are combining the $7,500,000 of those improvements and $5,000,000 of Parks needed improvements with the $9,000,000 for the Tower to issue a bond in the amount of $21,500,000 as it is more economical to go through the bonding process once.
DISCUSSION:
Attached is a resolution authorizing issuance of bonds in the not-to-exceed amount of $21,500,000
IMPACT ON HUMAN RESOURCES:
N/A
IMPACT ON BUDGET:
The timing of issuance of the bonds will allow for interest only payments for the first two years. This will align the principal payments for General Fund to start when the JCI Energy bond is paid off in FYE 2026 which is a cost of approximately $820,000 each fiscal year.
The portion related to the $5,000,000 of parks capital improvements will be paid from Parks millage funds.
IMPACT ON FACILITIES:
The capital plan has put a major focus on consolidation of space and much needed improvements which will allow for facilities and operations to minimize the amount of time spent on fielding emergency repairs and shift to a routine maintenance plan to care for County property.
IMPACT ON TECHNOLOGY:
N/A
CONFORMITY TO COUNTY PRIORITIES:
Long-term financial stability prio...
Click here for full text