030413mHAR -NETT COUNTY BQA_Rj OF
MMISSI0Minutes of Regular Meeting
1��RS
March 4, 2013
The Harnett County Board of Commissioners Commissioners
Lillin Meeting Room, County Administration Building nday, March 4
g, 102 East Front Street, 013,
Members present: Jim B
ur'gin, Chairman
Gary House, Vice Chairman
Beatrice B. Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Staff present:
Joseph Jeffries, Interim County
Tony Wilder, Deputy Count
Manager
Dwight Snow, Coun' Manager
�
Sylvia Blinson Finance ance Officer
Margaret Regina Wheeler, Clerk to the Board
Chairman Burgin called the
of Harnett & meeting to order at 9:00
allegiance. Co Moore Counties for Girl Scouts _ am. Laura Douglass,
Commissioner Springle Carolina Coastal PinMembership , le Director
Pringle gave the invocation.
Chairman Bin. pledge of
Burgin called for additions or deletions to the
House moved to approve the a
which passed unanimously. agenda as published. Commissioner agenda. Vice
Miller seconded the �
Commissioner Hill motion
moved to approve the items on the
consent agenda. Commissioner
agenda: the motion and the Board unanimously a pproved the followin g items on the
consent
1. Minutes: February 18, 2013 Regular Meeting
2. Budget Amendments:
ndments:
263 Detention Center Pro'ect CP0401
Code 313-8300-410.45-30 � Engineer
313 -8300- 410.45 -g0 Materials &Supplies
313 -8300- 410.46 -01 Contingency
313 - 8300- 410.45 -20 Residual Equity
Legal
40,618 decrease
3,483 decrease
2,604 decrease
46,706 increase
1 decrease
March 4, 2013, Regular g Meeting Minutes
Harnett County Board of Commissioners
Page 1 of 10
266 Boone Trail Elementary
Code 318 -8300- 480.45 -70
318- 8300 - 480.45 -75
318 -8300- 480.45 -25
318 -8300- 480.45 -22
318 - 8300 - 480.90 -10
318 - 8300 - 480.46 -01
318- 0000 - 314.50 -00
318- 0000 - 361.50 -00
318- 0000 - 361.50 -00
School Project CP0905
Interest During Construction
Soil & Environmental
Sewer
Issuance Cost
General Fund
Residual Equity
Sales Tax
Interest
First Citizen
279 Planning AMPI Unrecoverable Cost Grant
Code 246 - 0000 - 334.72 -02 Planning - NCDENR AMPI 2011
246 - 0000 - 334.72 -04 Planning - NCDENR AMPI 2012
280 Sheriff
Code 110 -5100- 420.74 -74
110- 0000 - 356.30 -00
281 Highland Middle School
Code 331 - 8300 - 480.45 -22
331- 8300 - 480.45 -40
331 - 8300 - 480.45 -74
331 -8300- 480.45 -80
282 Parents As Teachers Pro
Code 110- 7310 - 465.11 -00
110 -7310- 465.21 -00
110- 7310- 465.21 -04
110- 7310- 465.21 -05
110 -7310- 465.22 -00
110 -7310- 465.23 -00
110 -7310- 465.26 -08
110 -7310- 465.41 -11
110- 7310- 465.44 -21
110 -7310- 465.58 -01
110 -7310- 465.58 -14
110 -7310- 465.60 -33
110 -7310- 465.60 -47
110 -7310- 465.60 -53
110- 0000 - 334.73 -10
Capital Outlay
Insurance Claims
Project CP1301
Cost of Issuance
Land & Right of Way
Capital Outlay Buses
Contingency
gram
Salaries & Wages
Group Insurance
Group Insurance H.S.A.
Group Insurance / Employee Clinic
FICA Tax Expense
Regular Retirement
Worker's Compensation
Telecommunications & Postage
Building & Equipment Rent
Training & Meetings
Travel Administration
Materials & Supplies
Food & Provisions
Dues & Subscriptions
Parents As Teachers
283 Brightwater Infrastructure PU1003
Code 575 -9100- 431.45 -01 Construction
575- 9100 - 431.45 -80 Contingency
400,953 decrease
4,136 decrease
253,699 decrease
1,235 decrease
534,623 increase
326,095 increase
119,871 increase
280 increase
80,544 increase
34,050 decrease
34,050 increase
1,329 increase
1,329 increase
23,229 increase
166,278 increase
220,000 decrease
30,493 increase
47,944 increase
1,160 increase
500 increase
500 increase
3,342 increase
2,778 increase
275 decrease
690 decrease
180 increase
100 increase
1,421 increase
1,175 increase
399 increase
113 increase
58,647 increase
23,879 decrease
23,879 increase
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 2 of 10
284 Tax Department
Code 110 -4500- 410.33 -45 Contracted Services
110 -4500- 410.74 -74 Capital Outlay
110 - 4500 - 410.30 -04 Professional Services
13,545 decrease
12,545 increase
1,000 increase
3. Tax refunds, rebates and releases (Attachment 1)
4. Emergency Services requested award of the EMS vehicles bids for ambulances for
Harnett County EMS to Northwestern emergency Vehicles for a new ambulance in
the amount of $119,839 and to Southeastern Specialty Vehicles for three remount
ambulances in the amount of $224,910. (Attachment 2)
5. County Engineer requested approval of a professional services agreement amendment
with ECS Carolinas, LLP, to include construction testing services for the Dunn Erwin
Corrective Action Projects.
6. Proclamation for Girl Scout Week in the County of Harnett March 11 — 17, 2013
7. Public Utilities requested approval of write -offs in the amount of $12,206.19 for
fourth quarter 2012. All of these accounts have been delinquent for more than three
years and the facilitation of these write -offs is an important step in a continuing effort
to effectively manage collections and bad debt. Harnett County Public Utilities is
currently using the Local Government Debt Setoff Program and On -Line Collections,
Inc. to help collect their delinquent accounts.
8. Public Utilities requested consideration of a water line extension request to serve two
citizens along Flowers Drive in Harnett County. The proposed water line extension
of 1,500 feet will cost approximately $8,946 and will be installed by HCDPU
personnel. This extension will be funded from a combination of tap fees from the
customers and budgeted funds from HCDPU for other capital improvements.
9. Cooperative Extension requested permission to receive full allocation for Parents As
Teachers grant for fiscal year 2012 -2013 from the Harnett County Partnership for
Children
Chairman Burgin opened the floor for informal comments by the public, allowing up to 3
minutes for each presentation up to 30 minutes.
Donald Thomas of Bunn Level spoke on behalf of the Sandhills Antique Farm
Equipment Club and invited the group to attend the upcoming Sandhills Antique Farm
Show March 15 — 16, 2013. Mr. Thomas noted the upcoming show would be featured on
NC Weekend. Mr. Thomas also invited commissioners to attend the upcoming
Agricultural Education Day being held for over 300 Harnett County fifth graders.
Floyd Hines of Anderson Creek thanked Commissioner House for his support and trying
to help him with an issue he had with the County.
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 3 of 10
Bobby Hockaday, representing Solid Start Child Care Programs, invited the group to join
Solid Start in their 10 year celebration. Mr. Hockaday said Solid Start was the first
national accredited child care center in Harnett County and noted they now have seven
program sites serving 327 children and their parents.
Kent Jeffries of Chalybeate Springs spoke on behalf of the North Harnett Property Rights
Association. Mr. Jeffries encouraged the Board of Commissioners to create and adopt an
enforceable ordinance that requires all for -profit firearm shooting ranges in Harnett
County to obtain a conditional use permit in order to operate. Mr. Jeffries cited state
statutes regarding county authority and firearms regulations and said such an ordinance
would be outside of the zoning powers that are granted to the counties and are police
powers.
Laura Douglass, Membership Director of Harnett & Moore Counties for Girl Scouts —
North Carolina Coastal Pines, thanked commissioners for honoring the upcoming Girl
Scout Week. Mrs. Douglass noted Harnett County has over 1000 members in their
organization.
Bill King of 1663 Loop Road in Bunnlevel said he lives beside of a very loud shooting
range that was started in the early 90's when the county was not zoned. Mr. King said at
that time he had correspondence with the county attorney and was told nothing could be
done until the shooting range had a negative outcome as a basis for a lawsuit and was
encouraged to keep good records. While Mr. King spoke, Frank Crowell displayed
pictures of "barn hits" and a jar of rounds Mr. King has picked up at the lower end of his
hay field. Mr. King said he has had to put out a wildfire in the hay field which he
believes was started by a live round from the range. Mr. King also talked about the noise
from the range at all hours of day and night.
Chairman Burgin invited Mr. King to share his records with commissioners and said they
would discuss this issue at their next work session.
Harry Anderson of Bunnlevel, a neighbor of Mr. King, said he considers this is a safety
issue as well as quality of life issue and said a ban or restriction would be appreciated.
Glen Finch, 562 Morning Glory Lane, talked about stray bullets that have hit his home on
three different occasions and said something needs to be done. He also said his son's
horse boarding business has diminished by the activities at Drakes Landing because
riders are unable to ride the trails. Mr. Finch said the county's noise ordinance has not
been upgraded since 1981. Mr. Finch said he would share copies of his records with
commissioners following the meeting.
Tom Steves of Loop Road said he lives about 1/2 a mile from the shooting range on Loop
Road and wanted to reiterate the nuisance that shooting ranges in residential areas
provide especially when there are no rules regarding when they can shoot. He asked the
Board to consider some sort of ordinance that would limit the times of day, maybe the
days of the week, to give residents having to deal with this nuisance some respite and
peace.
Kareem Strong, Regional Ombudsman with Mid Carolina Area Agency on Aging for
Harnett County, explained his role as ombudsman. Mr. Kareem alerted commissioners
that there are no Nursing Home Community Advisory Committee members in Harnett
County. He also said he has nine vacancies for Harnett County members on the Adult
Care Home Community Advisory Committee. Mr. Kareem said committee members
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 4 of 10
perform quarterly visits to facility where they observe and monitor. Committee
members' information becomes public record that can be provided to citizens regarding
these facilities. Mr. Kareem asked for help in finding citizens interested in joining these
working committees. He said this commitment could take between 5 to 10 hours a month
and mileage reimbursement is available.
- Donna Parker, 1139 Norrington Road, invite commissioners to an upcoming event to
meet the new head football coach at Overhills High School.
Regarding the Board of Equalization and Review, Vice Chairman House moved that the
appointment terms for members serving on the Board of Equalization and Review be two year
terms with a maximum of 8 years served. Commissioner Springle seconded the motion which
passed unanimously.
Commissioner Springle moved to approve the appointments listed below. Commissioner Hill
seconded the motion which passed unanimously.
BOARDS ON WHICH COMMISSIONERS SERVE
Jim Burgin: CCCC Board of Trustees
Joe Miller: CCCC Harnett County Campus Advisory Board
BOARD OF EQUALIZATION AND REVIEW
Joe Miriello (nominated by Vice Chaimian House) was reappointed to serve on this
Board for a term of two years expiring February 28, 2015.
Larry Francis (nominated by Commissioner Springle) was appointed to serve on this
Board for a term of two years expiring February 28, 2015.
JUVENILE CRIME PREVENTION COUNCIL (JCPC)
Kayla Daughtry, Mikal Robinson and David Hodges (nominated by Commissioner Hill)
were appointed to serve on this council.
Phyllis Owens, Director of Economic Development, petitioned the Board for a public hearing to
obtain citizen input into the identification of community needs and desired Community
Development Block Grant (CDBG) activities. The CDBG Program permits a wide range of
economic and community development activities including: acquisition; public facilities
construction; loan to private businesses; housing rehabilitation; code enforcement; clearance;
project planning and administration; etc. Applications for Economic Development must show
that in excess of 60% of CDBG funds will benefit low or moderate - income persons through job
creation or retention. Applications for other CDBG programs must show that funded activities
will: (1) provide 51% or greater benefit to low or moderate income persons; (2) benefit
identified special need populations; or (3) address health and safety needs. The CDBG —
Economic Development Program is administered by the Commerce Finance Center. NC
Community Assistance administers all other CDBG program. Mrs. Owens said the amount of
money could be between $5,000 to $10,000 per job depending upon the applicant and project.
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 5of10
Chairman Burgin called to order a public hearing on the matter and opened the meeting for
comments from the public. Seeing no one else move, Chairman Burgin closed the public
hearing.
- Joe Langley of 298 Kirk Adams Road in Angier said he doesn't know if the community
development block grant would fit into the expansion of recreation but spoke of the need
for a YMCA or Boys and Girls Club in Harnett County.
Commissioner Hill said the CDBG program does an excellent job and is a help to the
community, sometimes improving houses to the point of the tax base being increased.
Marcia Everett of Angier talked about creating material recovery facilities where you can
recycle the products at a landfill and capture the methane and use that to provide
electricity which could provide also employment, especially for people who were felons.
Vice Chairman House said we need to encourage this type of grant funding and believes
the CDBG program does worthwhile projects.
Seeing no one else move Chairman Burgin closed the public hearing.
Michael Juby, Bond Counsel with Parker Poe, petitioned the Board for a public hearing to
receive public comments on the proposed execution and delivery by the County of (1) an
installment financing contract in an amount not to exceed $43,000,000 (the "Contract") to (a)
finance the purchase of general obligation refunding bonds (collectively, the "Bonds ") issued by
certain water and sewer districts created by the County in order to assist such districts to achieve
debt service savings with respect to the Bonds and (b) refinance certain existing installment
payment obligations of the County (collectively, the "Prior Obligations ") in order to achieve
debt service savings for the County with respect to the Prior Obligations and, (2) to the extent
required by the entity or its assigns providing funds to the County under the Contract, a deed of
trust, security agreement and fixture filing (the "Deed of Trust ") related to the County's fee
simple interest in all or portion of the real property currently mortgaged by the County to secure
the Prior Obligations, together with the improvements thereon (collectively, the "Premises ").
The Premises may include the site on which certain water and sewer system improvements are
located, the site on which Angier Elementary School is located, the site on which the County's
Agricultural Center is located and the site on which the County's Animal Control Shelter is
located. Notice of a public hearing was published on February 21, 2013 stating that the Board
would hold this public hearing on March 4, 2013, at 9:00 a.m.
Mr. Juby explained the public hearing is on the contracts that the county will enter into in
connection with a public offering of limited obligation bonds. He noted the proceeds of those
bonds will then be pooled together and purchase the underlying refunding bond that each district
will issue as part of this financing. Mr. Juby explained there are two layers; one is the
underlying district layer which are the next items on the agenda where each district will go
through the process under state law to issue their own refunding bond to refund their current
general obligation bonds that are outstanding and then the County will use the proceeds from this
limited obligation bond financing to purchase those bonds which will allow the County to take
advantage of some good savings available in market.
Chairman Burgin called to order a public hearing on the matter and opened the meeting for
comments from the public. Seeing no one move, Chairman Burgin closed the public hearing.
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 6 of 10
The Harnett County Board of Commissioners reconvened as the governing body of the South
Central Water & Sewer District.
a. Commissioner Springle moved to adopt the findings resolution relating to the
District's general obligation water and sewer refunding bond. Commissioner Miller
seconded the motion which passed unanimously.
b. Commissioner Springle moved to adopt the bond order authorizing District's
general obligation water and sewer refunding bond. Commissioner Miller
seconded the motion which passed unanimously.
c. Commissioner Springle moved to adopt the bond resolution setting the terms of
the District's general obligation water and sewer refunding bond and approving
certain financing documents to be executed and delivered in connection with
the issuance of the bond. Commissioner Hill seconded the motion which
passed unanimously.
(Attachment 3)
The Harnett County Board of Commissioners reconvened as the governing body of the East
Central Water & Sewer District.
a. Commissioner Miller moved to adopt the findings resolution relating to the
District's general obligation water and sewer refunding bond. Commissioner
Springle seconded the motion which passed unanimously.
b. Commissioner Miller moved to adopt the bond order authorizing District's
general obligation water and sewer refunding bond. Commissioner Springle
seconded the motion which passed unanimously.
c. Commissioner Miller moved to adopt the bond resolution setting the terms of
the District's general obligation water and sewer refunding bond and
approving certain financing documents to be executed and delivered in
connection with the issuance of the bond. Commissioner Springle seconded
the motion which passed unanimously.
(Attachment 4)
The Harnett County Board of Commissioners reconvened as the governing body of the
Northwest Water & Sewer District.
a. Commissioner Hill moved to adopt the findings resolution relating to the
District's general obligation water and sewer refunding bond. Commissioner
Springle seconded the motion which passed unanimously.
b. Commissioner Hill moved to adopt the bond order authorizing District's
general obligation water and sewer refunding bond. Commissioner Springle
seconded the motion which passed unanimously.
c. Commissioner Hill moved to adopt the bond resolution setting the terms of the
District's general obligation water and sewer refunding bond and approving
certain financing documents to be executed and delivered in connection with
the issuance of the bond. Commissioner Springle seconded the motion which
passed unanimously.
(Attachment 5)
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 7 of 10
The Harnett County Board of Commissioners reconvened as the governing body of the Riverside
Water & Sewer District.
a. Commissioner Miller moved to adopt the findings resolution relating to the
District's general obligation water and sewer refunding bond. Commissioner
Springle seconded the motion which passed unanimously.
b. Commissioner Miller moved to adopt the bond order authorizing District's
general obligation water and sewer refunding bond. Commissioner Springle
seconded the motion which passed unanimously.
c. Commissioner Milled moved to adopt the bond resolution setting the terms of
the District's general obligation water and sewer refunding bond and
approving certain financing documents to be executed and delivered in
connection with the issuance of the bond. Commissioner Springle seconded
the motion which passed unanimously.
(Attachment 6)
The Harnett County Board of Commissioners reconvened as the governing body of the
Southeast Water & Sewer District.
a. Vice Chairman House moved to adopt the findings resolution relating to the
District's general obligation water and sewer refunding bond. Commissioner
Springle seconded the motion which passed unanimously.
b. Vice Chairman House moved to adopt the bond order authorizing
District's general obligation water and sewer refunding bond.
Commissioner Springle seconded the motion which passed unanimously.
c. Vice Chairman House moved to adopt the bond resolution setting the
terms of the District's general obligation water and sewer refunding bond
and approving certain financing documents to be executed and delivered
in connection with the issuance of the bond. Commissioner Springle
seconded the motion which passed unanimously.
(Attachment 7)
The Harnett County Board of Commissioners reconvened as the governing body of the West
Central Water & Sewer District.
a. Commissioner Hill moved to adopt the findings resolution relating to the
District's general obligation water and sewer refunding bond.
Commissioner Springle seconded the motion which passed unanimously.
b. Commissioner Hill moved to adopt the bond order authorizing District's
general obligation water and sewer refunding bond. Commissioner
Springle seconded the motion which passed unanimously.
c. Commissioner Hill moved to adopt the bond resolution setting the terms
of the District's general obligation water and sewer refunding bond and
approving certain financing documents to be executed and delivered in
connection with the issuance of the bond Hill. Commissioner Springle
seconded the motion which passed unanimously.
(Attachment 8)
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 8 of 10
The Harnett County Board of Commissioners reconvened as the governing body of the
Southwest Water & Sewer District.
a. Commissioner Springle moved to adopt the findings resolution relating to
the District's general obligation water and sewer refunding bond.
Commissioner Miller seconded the motion which passed unanimously.
b. Commissioner Springle moved to adopt the bond order authorizing
District's general obligation water and sewer refunding bond.
Commissioner Hill seconded the motion which passed unanimously.
c. Commissioner Springle moved to adopt the bond resolution setting the terms of
the District's general obligation water and sewer refunding bond and approving
certain financing documents to be executed and delivered in connection with the
issuance of the bond. Commissioner Hill seconded the motion which passed
unanimously.
(Attachment 9)
The Board reconvened as the Harnett County Board of Commissioners.
Bill Larison, Director of Good Hope Behavioral Health Services, gave an update on the hospital.
Pat Cameron and Tom Miriello were also present. Mr. Larison thanked the Board of
Commissioners for their support and all that they have done to help get that facility reopened and
accepting patients. He noted 17 new employees were hired and trained and in January the
facility was licensed to provide treatment by the NC Division of Health Service Regulations. He
noted to date, 12 patients have been or are in the process of being treated at the facility. Mr.
Larison said to move forward the facility needs joint commission accreditation which is a
process needed to determine that they are accredited to provide services as a hospital. Once that
is completed, Good Hope would be able to file for and get certified as an involuntary
commitment facility. Mr. Larison said they would also be able to have the Centers for Medicare
and Medicaid Services (CMS) to come in and certify them so they can accept Medicare and
Medicaid. Mr. Larson said once they have completed those step they will be able to apply for
commercial funding through commercial insurance companies and also be able to apply for state
funding through the local management entity, Sandhills Center. He also said they would be able
to accept state funding which is three -way funding. Mr. Larison reported that the applications
for accreditation are complete and said he hopes the process will be complete in 4 to 6 weeks.
He noted they have had to turn away some involuntary commitments. Mr. Larison noted the
hospital has established relationships with 11 local vendors including laundry, pharmacy and
office supplies and use local vendors when possible.
Commissioner Miller, referencing a letter from Attorney Ben Thompson on behalf of Harnett
Health System, asked for several clarifications including what the CON of Good Hope is right
now. Mr. Cameron responded the 2001 CON is still in place. Mr. Cameron confirmed that
Good Hope is working under a 16 bed CON. Mr. Cameron said nothing would prohibit
expanding if allowed to go forward with the hospital. Commissioner Miller also asked if any of
the money the county is helping Good Hope with would be returned. Mr. Cameron said they
anticipated the county assisting them for three years during the start-up period while they try to
become self - sufficient.
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 9of10
Mr. Jeffries presented the following report:
- January 2013 Harnett County Department of Public Health Activities Summary
- $2,490,593.38 Total Unpaid 2012 -13 Property Taxes Report
Mr. Jeffries reported staff is currently coordinating a visit to the Central Harnett Hospital
Campus as well as scheduling a meeting with local legislators. He also noted the Board of
Education tablets have been delivered.
Mr. Jeffries noted staff would respond to Mr. David Song's request for water on Ruffin Road at
their next special work session. Chairman Burgin asked to also discuss the fee for septic tanks at
the upcoming meeting.
Chairman Burgin called for any new business. Chairman Burgin asked to discuss hunting with
dogs at the next work session as he has been told if they do make a change they think they could
get it in the new publication.
Commissioner Hill moved that the Board go into closed session to discuss certain personnel
matters. Commissioner Springle seconded the motion which passes unanimously.
Commissioner Hill moved that the board come out of closed session. Commissioner Springle
seconded the motion which passed unanimously.
Commissioner Springle moved to adjourn the meeting at 11:25 am. Commissioner Hill
seconded the motion which passed unanimously.
Burgin, Chai
S
et Regina
eeler, Clerk
March 4, 2013, Regular Meeting Minutes
Harnett County Board of Commissioners
Page 10 of 10
L"ll.l "Ql:ititicaai i
App.covaci by the
.ln4 Board of Commissioner
Board Report
Date : 03/04/2013
TO : HARNETT COUNTY BOARD OF COMMISSIONERS
RE: CONSIDERATION OF REFUND FOR TAXES, INTEREST AND P
Approved By is
OC J ' -1,3
NALTIES FOR ALL MUNICIPALITIES
1 CARRINGTON, KRISTINA RACHEL
115B PINECREST DR
SPRING LAKE, NC 283907341
SPRING LAKE, NC, 28390 - 7341
2 DAVIS, HATTIE R
PO BOX 1616
ANGIER NC, 27501 - 0000
3 JOSEPH, DRELIEN
PO BOX 1158
COATS NC, 27521 - 1158
4 JOSEPH, DRELIEN
PO BOX 1158
COATS NC, 27521 - 1158
5 JOSEPH, DRELIEN
PO BOX 1158
COATS NC, 27521 - 1158
6 JOSEPH, DRELIEN
PO BOX 1158
COATS NC, 27521 - 1158
7 MALENA, TRAVIS B
MALENA, ANNE M
100 PERSON CT
SPRING LAKE, NC, 28390 -1685
8 MARTIN, JOHN THOMAS
1067 COKESBURY RD
FUQUAY VARINA, NC, 27526 -
6523
9 MARTIN, LIESEL ANNE
1067 COKESBURY RD
FUQUAY VARINA, NC, 27526 -
6523
10 NYUMAH, VICTOR City 0.00
32 WOLFPACK LN 0002004053- 2012- 2012 -
CAMERON, NC, 28326 - 6283 000000 County 147.68
City(CI0 6.23
0001413020- 2008- 2008- 5)
000000
County 10.72
City(CI0 11 11
0001413020- 2009- 2009- 5)
000000
County 18.88
City(C10 15.86
0001413020 - 2010 -2010- 5)
000000
County 26.92
0001975024- 2011- 2011-
000000
0000013805- 2012 -2012-
000000
0000028587- 2008- 2008-
000000
0000028587- 2009- 2009-
000000
0000028587- 2010- 2010-
000000
0000028587- 2011- 2011-
000000
City
0.00
County 145.42
City 0.00
County 140.00
City 0.00
County 90.00
City 0.00
County 90.00
City 0.00
County 90.00
City 0.00
County 150.99
0002004031- 2012- 2012- City 0.00
000000
County 88.76
City() 11.15
0002003670- 2012 -2012-
000001 County 0.00
City() 60.44
0002008392- 2012 -2012-
000001 County 0.00
11 THORNE, KELLY ELIZABETH
810 N ELLIS AVE
DUNN, NC, 28334 - 3206
12 THORNE, KELLY ELIZABETH
810 N ELLIS AVE
DUNN, NC, 28334 - 3206
13 THORNE, KELLY ELIZABETH
810 N ELLIS AVE
DUNN, NC, 28334 - 3206
145.42 Refund
140.00 Refund
90.00 Refund
90.00 Refund
90.00 Refund
150.99 Refund
88.76 Refund
11.03 Refund
59.09 Refund
147.68 Refund
16.95 Refund
29.99 Refund
42.78 Refund
Military
Exemption
Refund of 2' Solid
Waste Fees;
Decrease in
Number of
Mobile Homes in
Park
Refund of 2 Solid
Waste Fees;
Only 2 Homes on
Property
Refund of 2 Solid
Waste Fees;
Only 2 Homes on
Property
Refund of 2 Solid
Waste Fees;
Only 2 Homes on
Property
Refund of 2 Solid
Waste Fees;
Only 2 Homes on
Property
Military
Exemption
Situs Correction
Situs Correction
Military
Exemption
Value Decrease
Value Decrease
Value Decrease
14 THORNE, KELLY ELIZABETH
810 N ELLIS AVE
DUNN, NC, 28334 - 3206
WM. A. TONY WILDER
Revenue Administrator
CC:
WM. A. TONY WILDER
0001413020- 2011- 2011-
000000
City(CI0
5)
3.52 Value Decrease
9.50 Refund
County 5.98
City Total
County
Total
Total to be
Refunded
108.31
1,005.35
1,113.66
i n riirr left
r; ;r;rc,;r� � by t e
o -:rnty Hoard of Commissioners
Date : 03/04/2013
TO : HARNETT COUNTY BOARD OF COMMISSIONERS
RE: CONSIDERATION OF REFUND FOR TAXES, INTEREST AND PENALTIES FOR ALL MUNICIPALITIES
1 GODWIN AVIATION LLC
PO BOX 1147
DUNN NC, 28335
2 SMITH, LYDIA MAYNARD
1205 W PEARSALL
STREET
DUNN NC, 28334 - 0000
WM. A. TONY WILDER
Revenue Administrator
CC:
WM. A. TONY WILDER
0001395730- 2012 -2012-
000000
0000048947- 2012 -2012-
000000
City 0.00
County 6.55
City(CI05) 175.34
County 367.72
City Total
County
Total
Total to
be
Refunded
7,146.24
Refund
543.06 Refund
175.34
374.27
549.61
Value Decrease
REBATED AND
REBILLED TO REMOVE
EXEMPTION FOR 2012;
TPAYER INCOME WAS
OVER 27,100
Attachment L
4 a b`i the tam ss���et4
cal 3 03c6 (."
Board Meeting
Agenda Item
Agenda Item m /
MFETING DATE: March 4, 2013
TO: HARNETT COUNTY BOARD OF COMMISSIONERS
SUBJECT: Award of EMS Vehicles (Ambulances)
REQUESTED BY: Gary Pope, Emergency Services Director
REQUEST:
This is a formal request for the Board to award the EMS Vehicles Bid for
ambulances for Harnett County EMS (One New Ambulance and Three Remount
Ambulances). Sealed bids were received on February 22, 2013.
The following bids were submitted one New Ambulance:
1. Select Custom Apparatus - $122,595
2. Northwestern Emergency Vehicles - $119,839
3. Southeastern Specialty Vehicles - $124,842
The following bids were submitted Three Remount Ambulances:
1. Select Custom Apparatus - N/A
2. Northwestern Emergency Vehicles - $231,606 ($77,202 each)
3. Southeastern Specialty Vehicles - $224,910 ($74,970 each)
Bids were received by Renea Warren -Ford, Purchasing Agent, Ricky Denning, EMS
Division Chief and Gary Pope, Emergency Services Director.
New Ambulance - It is the recommendation that the one new ambulance bid be awarded to
Northwestern Emergency Vehicles $119,839.
Remount Ambulances - It is the recommendation that the three remount ambulances bid be
awarded to Southeastern Specialty Vehicles $224,910.
C:\Documents and Settings \gwheeler\Local Settings \Temporary Internet
Files\ Content. Outlook \X5535TNL'vi\agendaform2013 - Award of EMS Vehicles (1 New 3 Remount Ambulances).doc
Page 1 of 2
CD
3
3
0
cp
m
Z C
CD • CD
> C11
• 0
a-
SD C0
0
CD
3
0
90
0
cr
3
0
£1.0Z-ZZ-Z (saaueingwy
IsJ
1•3
01
CD
C.T1
Select Custom Apparatus
-00
03
CD
Northwestern Emergency Vehicles
Southeastern Specialty Vehicles
Attachment 3
South Central Water and Sewer District of Harnett County,
North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2053564v3
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the South Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Springle introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING
CERTAIN STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett (the "County "),
sitting as the governing body of the South Central Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $13,000,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities (1) $1,320,000 aggregate
principal amount of the District's General Obligation Refunding Bonds, Series 2004
maturing on and after June 1, 2015, (2) $6,677,000 aggregate principal amount of the
District's General Obligation Water and Sewer Bond, Series 2009A maturing on and
after June 1, 2013 and (3) $2,966,000 aggregate principal amount of the District's
General Obligation Water and Sewer Bond, Series 2009B maturing on and after
June 1, 2013.
PPAB 2053564v3
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
determinations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52.
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4th day
of March, 2013, has made the following factual findings in regard to this matter:
A. Facts Regarding Necessity of Proposed Financing. The proposed bonds are necessary
and expedient to lower debt service costs to the District.
B. Facts Supporting the Amount of Bonds Proposed. The sums estimated for these bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The District's debt management policies and
procedures are in compliance with the law:
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom.
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Commissioner Springle, and seconded by Commissioner Miller, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL WATER AND
SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF
FACT CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2053564v3
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the South Central Water and Sewer District of
Harnett County, North Carolina, in a regular meeting duly held on the 4`h day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2053564v3
Margt et Regina W : eler
Clerl , o the Board o Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the South Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chaiiman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Springle introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $13,000,000
GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTH
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the South Central Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $2,795,000 General Obligation Refunding Bonds, Series
2004 (the "2004 Bonds "), (2) $6,753,000 General Obligation Water and Sewer Bond, Series 2009A
(the "2009A Bond"), and (3) $3,000,000 General Obligation Water and Sewer Bond, Series 2009B
(the "2009B Bond");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $1,320,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015, (2) $6,677,000 in aggregate principal amount of the 2009A Bond maturing on and after
June 1, 2013 and (3) $2,966,000 in aggregate principal amount of the 2009B Bond maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
PPAB 2053564v3
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the South Central Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the South Central Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $13,000,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section S. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $13,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTH
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Commissioner Springle, and seconded by Commissioner Miller, the foregoing
order titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $13,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTH CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2053564v3
STATE OF NORTH CAROLINA )
SS:
COUNTY OF HARNETT )
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $13,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTH CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of
Commissioners of the County of Harnett, North Carolina, sitting as the governing body of the South
Central Water and Sewer District of Harnett County, North Carolina, in regular meeting duly held on the
4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2053564v3
lerk o the Bo .. r of Commissioners
Cou y of Harne t, North Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED S13,000,000
GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTH
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the South Central Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $2,795,000 General Obligation Refunding Bonds, Series
2004 (the "2004 Bonds "), (2) $6,753,000 General Obligation Water and Sewer Bond, Series 2009A
(the "2009A Bond"), and (3) $3,000,000 General Obligation Water and Sewer Bond, Series 2009B
(the "2009B Bond');
WHEREAS, the Board of Commissioners (the "Board ") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $1,320,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015, (2) $6,677,000 in aggregate principal amount of the 2009A Bond maturing on and after
June 1, 2013 and (3) $2,966,000 in aggregate principal amount of the 2009B Bond maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the South Central Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the South Central Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $13,000,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section S. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4"' day of March, 2013 and is hereby published this 4th
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT SEAL)
Marge t Regina W eeler
Clerk the Board f Commissioners
County of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amended,
For the South Central Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of Harnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "Board") for the County,
sitting as the governing body of the South Central Water and Sewer District of Harnett County, North
Carolina (the "District "), to make and to file in the office of the Clerk to the Board a statement of debt of
the District pursuant to the Local Government Bond Act, as amended, DO HEREBY CERTIFY that the
following is a true statement as shown by the books in my office relating to the District, not taking into
consideration any debt incurred or to be incurred in anticipation of bonds other th. • funding and
refunding bonds.
Sworn to and subscribed before me
on the day of the date of said st..a�c ent.
Pit
Kimberly Honey. tt, Deputy F ance Officer
County of Harne North Caro K a
otary Public)
My issio .ire
the y of I
STATEMENT OF DEBT OF THE SOUTH CENTRAL WATER AND SEWER DISTRICT OF ARNETT COUNTY,
NORTH CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOVERNMENT BOND
ACT, AFTER THE INTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF $13,000,000
GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT Ps,.. MEETING OF THE
GOVERNING BODY OF SAID DISTRICT, HELD ON THE 4"; DAY OF MARCH, 2013.
(A) Gross debt as listed in the attached "Schedule of $37,394,224
Gross Debt ".
(B) Deductions to be made from Gross Debt as listed in $37,394,224
the attached "Schedule of Deductions ".
(C) Net Debt being the difference between the Gross $0
Debt (A) and Deductions (B).
(D) Appraised Value of property subject to taxation. $1,054,618,281
(E) Percentage that net debt bears to the appraised value 0%
of property subject to taxation.
South Central Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
(1) Bonds authorized by orders introduced but not yet adopted:
PURPOSE AMOUNT
General Obligation Refunding Water and $13,000,000
Sewer Bonds
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
(3) Outstanding debt not evidenced by bonds:
$13,000,000
AMOUNT
$0
TOTAL $0
PURPOSE AMOUNT
$0
TOTAL $0
(4) Outstanding debt evidenced by bonds:
PURPOSE AMOUNT
General Obligation Water and Sewer Bonds $24,394,224
TOTAL $24,394,224
TOTAL GROSS DEBT $37,394,224
South Central Water and Sewer District of Harnett County, North Carolina
Schedule of Deductions
Funding and refunding bonds authorized by orders
introduced but not yet adopted.
Funding and refunding bonds authorized but not issued.
Amount held in sinking funds or otherwise for the payment
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
Bonded debt included in gross debt and incurred or to be
incurred for water, gas or electric light or power purposes.
Bonded debt included in gross debt and incurred or to be
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
TOTAL
$13,000,000
$0
$0
$24,394,224
$0
$0
$0
$37,394,224
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the South Central Water and Sewer District of
Harnett County, North Carolina, a political subdivision validly organized and existing under the
Constitution and laws of the State of North Carolina, hereby certify that the foregoing statement and
accompanying affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
GtA_i / C2
Margar Regina Wh ler
Clerk t the Board of Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the South Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chai,man of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Springle introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA,
PROVIDING FOR THE ISSUANCE OF A NOT TO EXCEED $13,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF THE SOUTH
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the South Central Water and Sewer District of Harnett County, North Carolina
(the "District "), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the teens and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement ") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board"), sitting as the governing body of the District;
PPAB 2053564v3
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section 1. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
"Bond" means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code" means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Escrow Agent" means U.S. Bank National Association and its successors or assigns, as escrow
agent under the Escrow Agreement.
"Escrow Agreement" means an Escrow Agreement dated as of April 1, 2013 between the County
and the Escrow Agent.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry form on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S. Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
2
PPAB 2053564v3
"Refunded Bonds" means, collectively, (1) $1,320,000 in aggregate principal amount of the
2004 Bonds maturing on and after June 1, 2015, (2) $6,677,000 in aggregate principal amount of the
2009A Bond maturing on and after June 1, 2013 and (3) $2,966,000 in aggregate principal amount of the
2009B Bond maturing on and after June 1, 2013.
"2004 Bonds" means the District's $2,795,000 General Obligation Refunding Bonds,
Series 2004.
"2009A Bond" means the District's $6,753,000 General Obligation Water and Sewer Bond,
Series 2009A.
"2009B Bond" means the District's $3,000,000 General Obligation Water and Sewer Bond,
Series 2009B.
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$13,000,000.
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County's Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section S. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R -1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
3
PPAB 2053564v3
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the form set
forth in the Appendix A hereto.
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause (a) the
portion of the proceeds of the Bond necessary to redeem the 2009A Bond and the 2009B Bond to be
delivered to the United States Department of Agriculture in accordance with the terms of the 2009A Bond
and the 2009B Bond, respectively, and (b) the portion of the proceeds of the Bond necessary to defease
and redeem the 2004 Bonds maturing on and after June 1, 2015 to be deposited with the Escrow Agent to
be applied as set forth in the Escrow Agreement. Any remaining portion of the proceeds of the Bond
shall be deposited as set forth in the District Bond Purchase Agreement.
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 159E -8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the terms of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The foam and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the form and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chairman of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
4
PPAB 2053564v3
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
Resolution, whatever the character of the act may be, and may be done and performed as fully and freely
as if expressly permitted by the teiuis of this Resolution, and after consent has been given, the owner of
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
5
PPAB 2053564v3
Section 17. All acts and doings of the Chairman of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and performance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
Section 19. The District agrees to provide the County whatever information that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
promulgated by the Securities and Exchange Commission (the "SEC") and for the benefit of the
Registered Owners and beneficial owners of the LOBs.
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2053564v3
On motion of Commissioner Springle, and seconded by Commissioner Hill, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF
A NOT TO EXCEED $13,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE SOUTH CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2053564v3
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
)
)
)
SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL WATER AND
SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A
NOT TO EXCEED $13,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE SOUTH CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" adopted by the Board of Commissioners of the County of Harnett, North Carolina, sitting as
the governing body of South Central Water and Sewer District of Harnett County, North Carolina, at a
regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2053564v3
Marg. et Regina ' eele
Clerk o the Board of Commissioners
County of Harnett, North Carolina
APPENDIX A
FORM OF BOND
No. R -1 $
UNITED STATES OF AMERICA
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
SOUTH CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
MATURITY DATE DATED DATE
June 1, 20_ April _, 2013
REGISTERED OWNER: COUNTY OF HARNETT, NORTH CAROLINA
PRINCIPAL SUM: DOLLARS
GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013
THE SOUTH CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
(the "District ") acknowledges itself indebted and for value received hereby promises to pay to the
Registered Owner named above, on the Maturity Date specified above, on surrender hereof, the Principal
Sum shown above and to pay to the Registered Owner hereof interest thereon from the date of this Bond
until it shall mature at the interest rates per annum specified below, payable on June 1, 2013 and
semiannually thereafter on December 1 and June 1 of each year. Principal of and interest on this Bond
are payable in immediately available funds to the County of Harnett, North Carolina (the "County ") or its
nominee as registered owner of the Bond.
Principal installments are due annually on June 1 of the years and in the amounts set forth below
and will bear interest (computed on the basis of a 360 -day year of twelve 30 -day months) as follows:
JUNE 1 PRINCIPAL RATE JUNE 1 PRINCIPAL RATE
PPAB 2053564v3
A -1
The portions of this Bond maturing on or after June 1, 20 may be redeemed prior to their
installment payment dates at the option of the District, from any funds that may be available for such
purpose, in whole or in part on any date on or after June 1, 20_. The portions of this Bond so called for
redemption will be redeemed at a redemption price equal to 100% of the principal amount thereof,
together with accrued interest thereon to the date fixed for redemption. Notwithstanding the foregoing,
this Bond may be redeemed only if the Limited Obligation Bonds (County of Harnett, North Carolina),
Series 2013 (the "LOBs ") are prepaid pursuant to an Indenture of Trust dated as of April 1, 2013 relating
to the LOBs.
This Bond is issued in accordance with the Registered Public Obligations Act, Chapter 159E of
the General Statutes of North Carolina, and pursuant to the Local Government Bond Act of North
Carolina, a bond order adopted by the Board of Commissioners of the County (the "Board"), sitting as
the governing body of the District, on March 4, 2013 and effective on the date of its adoption. This Bond
is being issued to refund in advance of their maturities (1) $6,677,000 aggregate principal amount of the
District's General Obligation Water and Sewer Bond, Series 2009A maturing on and after June 1, 2013,
(2) $2,966,000 aggregate principal amount of the District's General Obligation Water and Sewer Bond,
Series 2009B maturing on and after June 1, 2013 and (3) $1,320,000 aggregate principal amount of the
District's General Obligation Refunding Bonds, Series 2004 maturing on and after June 1, 2015.
It is hereby certified and recited that all conditions, acts and things required by the Constitution or
statutes of the State of North Carolina to exist, be perfoinied or happen precedent to or in the issuance of
this Bond, exist, have been perfomied and have happened, and that the amount of this Bond, together with
all other indebtedness of the District, is within every debt and other limit prescribed by said Constitution
or statutes. THE FAITH AND CREDIT OF THE DISTRICT ARE HEREBY PLEDGED TO THE PUNCTUAL PAYMENT
OF THE PRINCIPAL OF AND INTEREST ON THIS BOND IN ACCORDANCE WITH ITS TERMS.
This Bond is not valid or obligatory for any purpose until the certification hereon has been signed
by an authorized representative of the Local Government Commission.
A -2
PPAB 2053564v3
IN WITNESS WHEREOF, the County has caused this Bond to bear the original or facsimile of the
signatures of the Chairman of the Board and the Clerk to the Board, each acting on behalf of the District,
and an original or facsimile of the seal of the District to be imprinted hereon and this Bond to be dated as
of the Dated Date above.
(DISTRICT SEAL)
Margaret Regina Wheeler, Jim Burgin, Chairman
Clerk to the Board of Commissioners Board of Commissioners
Date of Execution: April _, 2013
The issue hereof has been approved under the
provisions of The Local Government Bond Act.
T. VANCE HOLLOMAN
Secretary of the Local Government Commission
A -3
PPAB 2053564v3
FORM OF ASSIGNMENT
ASSIGNMENT
FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto
(Please print or typewrite Name and Address,
including Zip Code, and Federal Taxpayer Identification or
Social Security Number of Assignee)
the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints
Dated:
Attorney to register the transfer of the within Bond on the books kept for registration thereof,
with full power of substitution in the premises.
Signature guaranteed by:
NOTICE: Signature must be guaranteed by
a Participant in the Securities Transfer
Agent Medallion Program ( "Stamp ") or
similar program.
PPAB 2053564v3
NOTICE: The signature to this assignment
must correspond with the name as it appears on
the face of the within Bond in every particular,
without alteration, enlargement or any change
whatever.
TRANSFER FEE MAY BE REQUIRED
DRAFT FOR BOARD APPROVAL —NOT FINAL DOCUMENT
DISTRICT BOND PURCHASE AGREEMENT AND RECEIPT
The County of Harnett, North Carolina (the "County ") hereby offers to purchase the bond set
forth below (the "Bond") from the Local Government Commission of the State of North Carolina
(the "Commission ") at a purchase price equal to the par amount of such Bond, there being no discount nor
premium therefor.
The Bond subject to this District Bond Purchase Agreement and Receipt is the $ General
Obligation Refunding Water and Sewer Bond, Series 2013 of the South Central Water and Sewer District
of Harnett County, North Carolina. The schedule of annual principal installments and associated interest
rates with respect to the Bond are set forth in Exhibit A hereto.
The Commission, subject to the approval of the South Central Water and Sewer District of
Harnett County, North Carolina as evidenced below, hereby sells the Bond to the County at a sale price
equal to the purchase price of the Bond in the amount of $ . Such funds represent a portion of
the proceeds of $ Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013
executed and delivered under an Indenture of Trust dated as of April 1, 2013 (the "Indenture ") between
Harnett County Public Facilities Corporation (the "Corporation ") and U.S. Bank National Association, as
trustee (in such capacity, the "Trustee ") for the purpose, among others, of allowing the County to
purchase the Bond.
The purchase price of the Bond shall be delivered as follows:
(1) $[USDA Amount] shall be delivered directly to the United States
Department of Agriculture;
(2) $[2004 Amount] shall be delivered to U.S. Bank National Association, as
escrow agent (in such capacity, the "Escrow Agent ") under an Escrow Agreement dated
as of April 1, 2013 between the County and the Escrow Agent; and
(3) $[COI Amount] shall be delivered to the Trustee for deposit in the Costs
of Issuance Fund.
The Commission hereby accepts and acknowledges payment of the purchase price by such
method on the date hereof.
The County hereby acknowledges the physical delivery of the Bond on the date hereof and,
simultaneously on receipt of the Bond, has assigned the Bond to the Corporation pursuant to a separate
instrument. The Trustee shall hold the Bond as part of the Trust Estate created pursuant to the Indenture.
The Trustee hereby acknowledges (a) the physical delivery of the Bond to be held by it as part of the
Trust Estate and (b) receipt of the amount set forth in paragraph (3) above.
The Escrow Agent hereby acknowledges receipt of the amount set forth in paragraph (2) above.
Each capitalized term used but not defined herein has the meaning given to such term in the
Indenture.
Dated: April _, 2013
PPAB 2053564v3
This District Bond Purchase Agreement and Receipt may be executed in several counterparts, all
being deemed one and the same document.
COUNTY OF HARNETT, NORTH CAROLINA
[SEAL]
By:
Interim County Manager
ATTEST:
Clerk to the Board of Commissioners
County of Harnett, North Carolina
[SIGNATURES FOLLOW]
LOCAL GOVERNMENT COMMISSION
By:
Secretary
SOUTH CENTRAL WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA
[DISTRICT SEAL]
By:
Sylvia S. Blinson
Finance Officer of the County of Harnett, North Carolina
ATTEST:
Clerk to the Board of Commissioners
County of Harnett, North Carolina
ACKNOWLEDGEMENT
U.S. BANK NATIONAL ASSOCIATION, as Trustee and
Escrow Agent
By:
Vice President
2
PPAB 2053564v3
Exhibit A
$ SOUTH CENTRAL WATER AND SEWER DISTRICT OFHARNETT COUNTY, NOR7'u CAROLINA
GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013
The schedule of annual principal installments and associated interest rates with respect to the
Bond are as follows:
JUNE 1 PRINCIPAL RATE JUNE 1 PRINCIPAL RATE
PPAB 2053564v3
Attachment 4
East Central Water and Sewer District of Harnett County,
North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2057613v2
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board "), sitting as the governing body of the East Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
*
Commissioner Miller introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE EAST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING
CERTAIN STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board ") of the County of Harnett (the "County "),
sitting as the governing body of the East Central Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $3,500,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities (1) $2,823,000 aggregate
principal amount of the District's Water Bonds, Series 1995A maturing on and after June
1, 2013 and (2) $137,000 aggregate principal amount of the District's Water Bonds,
Series 1995B maturing on and after June 1, 2013.
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
determinations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52,
PPAB 2057613v2
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4th day
of March, 2013, has made the following factual findings in regard to this matter:
A. Facts Regarding Necessity of Proposed Financing. The proposed bonds are necessary
and expedient to lower debt service costs to the District.
B. Facts Supporting the Amount of Bonds Proposed. The sums estimated for these bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The District's debt management policies and
procedures are in compliance with the law.
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom.
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Commissioner Miller, and seconded by Commissioner Springle, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE EAST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057613v2
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
SS:
)
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE EAST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the East Central Water and Sewer District of
Harnett County, North Carolina, in a regular meeting duly held on the 4"' day of March, 2013.
WITNESS my hand and the seal of said District, this the 4`'' day of March, 2013.
(DISTRICT SEAL)
PPAB 2057613v2
Marga et Regina 'Wheeler
Cler o the Board of Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the East Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Miller introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE EAST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the East Central Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $3,608,000 Water Bonds, Series 1995A (the "1995A Bonds ")
and (2) $172,000 Water Bonds, Series 1995B (the "1995B Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $2,823,000 in aggregate principal amount of the 1995A Bonds maturing on and after
June 1, 2013 and (2) $137,000 in aggregate principal amount of the 1995B Bonds maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
PPAB 2057613v2
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the East Central Water and Sewer District of
Harnett County, North Carolina, as follows:
Section I. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the East Central Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $3,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $3,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE EAST
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Commissioner Miller, and seconded by Commissioner Springle, the foregoing
order titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED 53,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE EAST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057613v2
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
)
) SS:
)
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,500,000 GENERAL OBLIGATION
REFUNDING WATER AND SEWER BONDS OF THE EAST CENTRAL WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of Commissioners of the
County of Harnett, North Carolina, sitting as the governing body of the East Central Water and Sewer
District of Harnett County, North Carolina, in regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057613v2
Clerk • the Board • i Commissioners
Count h of Harnett, North Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE EAST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the East Central Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $3,608,000 Water Bonds, Series 1995A (the "1995A Bonds ")
and (2) $172,000 Water Bonds, Series 1995B (the "1995B Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $2,823,000 in aggregate principal amount of the 1995A Bonds maturing on and after
June 1, 2013 and (2) $137,000 in aggregate principal amount of the 1995B Bonds maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the East Central Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the East Central Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $3,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4"' day of March, 2013 and is hereby published this 4th
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT SEAL)
PPAII2O 613x2'
Margar'.t Regina W -ler
Clerk t% the Board of Commissioners
County of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amended,
For the East Central Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of Harnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "Board") for the County,
sitting as the governing body of the East Central Water and Sewer District of Harnett County, North
Carolina (the "District "), to make and to file in the office of the Clerk to the Board a statement of debt of
the District pursuant to the Local Government Bond Act, as amended, Do HEREBY CERTIFY that the
following is a true statement as shown by the books in my office relating to the District, not taking into
consideration any debt incurred or to be incurred in anticipation of bonds other than nding and
refunding bonds.
Sworn to and subscribed before me
on the day of the date of said statem
(Notary Public)
ission expires
ay of
a)
',Kim b erly Honey tt, Deputy Find ce Officer
County of Hame , North Caroli
STATEMENT OF DEBT OF THE EAST CENTRAL WATER AND SEWER DISTRICT OF HARNE 1 1 COUNTY,
NORTH CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOVERNMENT BOND
ACT, AFTER THE INTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF $3,500,000
GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT A MEETING OF THE
GOVERNING BODY OF SAID DISTRICT, HELD ON THE 4TH DAY OF MARCH, 2013.
(A) Gross debt as listed in the attached "Schedule of
Gross Debt ".
(B) Deductions to be made from Gross Debt as listed in
the attached "Schedule of Deductions ".
(C) Net Debt being the difference between the Gross
Debt (A) and Deductions (B).
(D) Appraised Value of property subject to taxation.
(E) Percentage that net debt bears to the appraised value
of property subject to taxation.
$6,460,000
$6,460,000
$0
$1,278,323,387
0%
(1)
East Central Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
Bonds authorized by orders introduced but not yet adopted:
PURPOSE AMOUNT
General Obligation Refunding Water and $3,500,000
Sewer Bonds
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
(3)
Outstanding debt not evidenced by bonds:
$3,500,000
AMOUNT
$0
TOTAL $0
PURPOSE AMOUNT
$0
TOTAL $0
(4) Outstanding debt evidenced by bonds:
PURPOSE AMOUNT
General Obligation Water and Sewer Bonds $2,960,000
TOTAL $2,960,000
TOTAL GROSS DEBT $6,460,000
East Central Water and Sewer District of Harnett County, North Carolina
Schedule of Deductions
Funding and refunding bonds authorized by orders
introduced but not yet adopted.
Funding and refunding bonds authorized but not issued.
Amount held in sinking funds or otherwise for the payment
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
Bonded debt included in gross debt and incurred or to be
incurred for water, gas or electric light or power purposes.
Bonded debt included in gross debt and incurred or to be
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
TOTAL
$3,500,000
$0
$0
$2,960,000
$0
$0
$0
$6,460,000
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT )
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the East Central Water and Sewer District of
Harnett County, North Carolina, a political subdivision validly organized and existing under the
Constitution and laws of the State of North Carolina, hereby certify that the foregoing statement and
accompanying affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
Margar t Regina W eler
Clerk t the Board of Commissioners
County of Harnett, North Carolina
1
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the East Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Miller introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE EAST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA,
PROVIDING FOR THE ISSUANCE OF A NOT TO EXCEED $3,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF THE EAST
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the East Central Water and Sewer District of Harnett County, North Carolina
(the "District "), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the terms and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement ") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board"), sitting as the governing body of the District;
PPAB 2057613v2
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section 1. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
"Bond" means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code" means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry form on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S. Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"1995A Bonds" means the District's $3,608,000 Water Bonds, Series 1995A.
"1995B Bonds" means the District's $172,000 Water Bonds, Series 1995B.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
"Refunded Bonds" means, collectively, (1) $2,823,000 in aggregate principal amount of the
1995A Bonds maturing on and after June 1, 2013 and (2) $137,000 in aggregate principal amount of the
1995B Bonds maturing on and after June 1, 2013.
2
PPAB 2057613v2
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$3,500,000.
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County's Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section 5. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R -1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the form set
forth in the Appendix A hereto.
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause the
portion of the proceeds of the Bond necessary to redeem the Refunded Bonds to be delivered to the
United States Department of Agriculture in accordance with the terms of such Refunded Bonds. Any
3
PPAB 2057613v2
remaining portion of the proceeds of the Bond shall be deposited as set forth in the District Bond
Purchase Agreement.
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 1 59E-8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the terms of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The form and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the f:qui and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chairman of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
Resolution, whatever the character of the act may be, and may be done and performed as fully and freely
as if expressly permitted by the terms of this Resolution, and after consent has been given, the owner of
4
PPAB 2057613v2
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
Section 17. All acts and doings of the Chaiiivan of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and performance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
Section 19. The District agrees to provide the County whatever information that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
5
PPAB 2057613v2
promulgated by the Securities and Exchange Commission (the "SEC") and for the benefit of the
Registered Owners and beneficial owners of the LOBs.
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2057613v2
On motion of Commissioner Miller, and seconded by Commissioner Springle, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE EAST CENTRAL WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF
A NOT TO EXCEED $3,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE EAST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2057613v2
STATE OF NORTH CAROLINA
ss:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE EAST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A NOT TO
EXCEED $3,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF
THE EAST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA"
adopted by the Board of Commissioners of the County of Harnett, North Carolina, sitting as the
governing body of East Central Water and Sewer District of Harnett County, North Carolina, at a regular
meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057613v2
nit.. 161
Marga t Regina W eler
Clerk o the Board o Commissioners
County of Harnett, North Carolina
APPENDIX A
FORM OF BOND
No. R -1
UNITED STATES OF AMERICA
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
EAST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
MATURITY DATE DATED DATE
June 1, 20_ April 2013
REGISTERED OWNER: COUNTY OF HARNETT, NORTH CAROLINA
PRINCIPAL SUM: DOLLARS
GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013
THE EAST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
(the "District ") acknowledges itself indebted and for value received hereby promises to pay to the
Registered Owner named above, on the Maturity Date specified above, on surrender hereof, the Principal
Sum shown above and to pay to the Registered Owner hereof interest thereon from the date of this Bond
until it shall mature at the interest rates per annum specified below, payable on June 1, 2013 and
semiannually thereafter on December 1 and June 1 of each year. Principal of and interest on this Bond
are payable in immediately available funds to the County of Harnett, North Carolina (the "County ") or its
nominee as registered owner of the Bond.
Principal installments are due annually on June 1 of the years and in the amounts set forth below
and will bear interest (computed on the basis of a 360 -day year of twelve 30 -day months) as follows:
JUNE 1 PRINCIPAL RATE JUNE 1 PRINCIPAL RATE
PPAB 2057613v2
A -1
The portions of this Bond maturing on or after June 1, 20_ may be redeemed prior to their
installment payment dates at the option of the District, from any funds that may be available for such
purpose, in whole or in part on any date on or after June 1, 20_. The portions of this Bond so called for
redemption will be redeemed at a redemption price equal to 100% of the principal amount thereof,
together with accrued interest thereon to the date fixed for redemption. Notwithstanding the foregoing,
this Bond may be redeemed only if the Limited Obligation Bonds (County of Harnett, North Carolina),
Series 2013 (the "LOBs ") are prepaid pursuant to an Indenture of Trust dated as of April 1, 2013 relating
to the LOBs.
This Bond is issued in accordance with the Registered Public Obligations Act, Chapter 159E of
the General Statutes of North Carolina, and pursuant to the Local Government Bond Act of North
Carolina, a bond order adopted by the Board of Commissioners of the County (the "Board "), sitting as
the governing body of the District, on March 4, 2013 and effective on the date of its adoption. This Bond
is being issued to refund in advance of their maturities (1) $2,823,000 aggregate principal amount of the
District's Water Bonds, Series 1995A maturing on and after June 1, 2013 and (2) $137,000 aggregate
principal amount of the District's Water Bonds, Series 1995B maturing on and after June 1, 2013.
It is hereby certified and recited that all conditions, acts and things required by the Constitution or
statutes of the State of North Carolina to exist, be performed or happen precedent to or in the issuance of
this Bond, exist, have been performed and have happened, and that the amount of this Bond, together with
all other indebtedness of the District, is within every debt and other limit prescribed by said Constitution
or statutes. THE FAITH AND CREDIT OF THE DISTRICT ARE HEREBY PLEDGED TO THE PUNCTUAL PAYMENT
OF THE PRINCIPAL OF AND INTEREST ON THIS BOND IN ACCORDANCE WITH ITS TERMS.
This Bond is not valid or obligatory for any purpose until the certification hereon has been signed
by an authorized representative of the Local Government Commission.
A -2
PPAB 2057613v2
IN WITNESS WHEREOF, the County has caused this Bond to bear the original or facsimile of the
signatures of the Chairman of the Board and the Clerk to the Board, each acting on behalf of the District,
and an original or facsimile of the seal of the District to be imprinted hereon and this Bond to be dated as
of the Dated Date above.
(DISTRICT SEAL)
Margaret Regina Wheeler, Jim Burgin, Chaiiiiian
Clerk to the Board of Commissioners Board of Commissioners
Date of Execution: April , 2013
The issue hereof has been approved under the
provisions of The Local Government Bond Act.
T. VANCE HOLLOMAN
Secretary of the Local Government Commission
A -3
PPAB 2057613v2
FORM OF ASSIGNMENT
ASSIGNMENT
FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto
(Please print or typewrite Name and Address,
including Zip Code, and Federal Taxpayer Identification or
Social Security Number of Assignee)
the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints
Dated:
Attorney to register the transfer of the within Bond on the books kept for registration thereof,
with full power of substitution in the premises.
Signature guaranteed by:
NOTICE: Signature must be guaranteed by
a Participant in the Securities Transfer
Agent Medallion Program ( "Stamp ") or
similar program.
PPAB 2057613v2
NOTICE: The signature to this assignment
must correspond with the name as it appears on
the face of the within Bond in every particular,
without alteration, enlargement or any change
whatever.
TRANSFER FEE MAY BE REQUIRED
DRAFT FOR BOARD APPROVAL —NOT FINAL DOCUMENT
DISTRICT BOND PURCHASE AGREEMENT AND RECEIPT
The County of Harnett, North Carolina (the "County ") hereby offers to purchase the bond set
forth below (the "Bond") from the Local Government Commission of the State of North Carolina
(the "Commission ") at a purchase price equal to the par amount of such Bond, there being no discount nor
premium therefor.
The Bond subject to this District Bond Purchase Agreement and Receipt is the $ General
Obligation Refunding Water and Sewer Bond, Series 2013 of the East Central Water and Sewer District
of Harnett County, North Carolina. The schedule of annual principal installments and associated interest
rates with respect to the Bond are set forth in Exhibit A hereto.
The Commission, subject to the approval of the East Central Water and Sewer District of Harnett
County, North Carolina as evidenced below, hereby sells the Bond to the County at a sale price equal to
the purchase price of the Bond in the amount of $ . Such funds represent a portion of the
proceeds of $ Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013
executed and delivered under an Indenture of Trust dated as of April 1, 2013 (the "Indenture ") between
Harnett County Public Facilities Corporation (the "Corporation ") and U.S. Bank National Association, as
trustee (in such capacity, the "Trustee ") for the purpose, among others, of allowing the County to
purchase the Bond.
The purchase price of the Bond shall be delivered as follows:
(1) $[USDA Amount] shall be delivered directly to the United States
Department of Agriculture; and
(2) $[COI Amount] shall be delivered to the Trustee for deposit in the Costs
of Issuance Fund.
The Commission hereby accepts and acknowledges payment of the purchase price by such
method on the date hereof.
The County hereby acknowledges the physical delivery of the Bond on the date hereof and,
simultaneously on receipt of the Bond, has assigned the Bond to the Corporation pursuant to a separate
instrument. The Trustee shall hold the Bond as part of the Trust Estate created pursuant to the Indenture.
The Trustee hereby acknowledges (a) the physical delivery of the Bond to be held by it as part of the
Trust Estate and (b) receipt of the amount set forth in paragraph (2) above.
Each capitalized term used but not defined herein has the meaning given to such term in the
Indenture.
Dated: April 2013
PPAB 2057613v2
This District Bond Purchase Agreement and Receipt may be executed in several counterparts, all
being deemed one and the same document.
COUNTY OF HARNETT, NORTH CAROLINA
[SEAL]
By:
Interim County Manager
ATTEST:
Clerk to the Board of Commissioners
County of Harnett, North Carolina
[SIGNATURES FOLLOW]
LOCAL GOVERNMENT COMMISSION
By:
Secretary
EAST CENTRAL WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA
[DISTRICT SEAL]
By:
Sylvia S. Blinson
Finance Officer of the County of Harnett, North Carolina
ATTEST:
Clerk to the Board of Commissioners
County of Harnett, North Carolina
ACKNOWLEDGEMENT
U.S. BANK NATIONAL ASSOCIATION, as Trustee
By:
Vice President
2
PPAB 2057613v2
Exhibit A
$ EAST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013
The schedule of annual principal installments and associated interest rates with respect to the
Bond are as follows:
JUNE 1 PRINCIPAL RATE JUNE 1 PRINCIPAL RATE
PPAB 2057613v2
Attachment 5
Northwest Water and Sewer District of Harnett County,
North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2057524v2
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Northwest Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chaiiman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Hill introduced the following resolution, a summary of which had been provided
to each Commissioner, a copy of which was available with the Clerk to the Board and which was read by
title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE NORTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN
STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett (the "County "),
sitting as the governing body of the Northwest Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $1,500,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities (1) $885,000 aggregate principal
amount of the District's General Obligation Refunding Bonds, Series 2004 maturing on
and after June 1, 2015 and (2) $315,000 aggregate principal amount of the District's
Water Bonds, Series 1997 maturing on and after June 1, 2013.
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
determinations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52.
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4`h day
of March, 2013, has made the following factual findings in regard to this matter:
PPAB 2057524v2
A. Facts Regarding Necessity of Proposed Financing. The proposed bonds are necessary
and expedient to lower debt service costs to the District.
B. Facts Supporting the Amount of Bonds Proposed. The sums estimated for these bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The District's debt management policies and
procedures are in compliance with the law.
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom.
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Commissioner Hill, and seconded by Commissioner Springle, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE NORTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057524v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE NORTHWEST WATER AND SEWER DISTRICT
OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT CONCERNING
PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of Harnett, North
Carolina, sitting as the governing body of the Northwest Water and Sewer District of Harnett County,
North Carolina, in a regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057524v2
Marga et Regina W eler
Clerk o the Board
Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Northwest Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Hill introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE NORTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Northwest Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $2,795,000 General Obligation Refunding Bonds, Series
2004 (the "2004 Bonds ") and (2) $995,000 Water Bonds, Series 1997 (the "1997 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $885,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015 and (2) $315,000 in aggregate principal amount of the 1997 Bonds maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
PPAB 2057524v2
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Northwest Water and Sewer District of
Harnett County, North Carolina, as follows:
Section I. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Northwest Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $1,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE
NORTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Commissioner Hill, and seconded by Commissioner Springle, the foregoing order
titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE NORTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4`h day of March, 2013.
2
PPAB 2057524v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL OBLIGATION
REFUNDING WATER AND SEWER BONDS OF THE NORTHWEST WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of Commissioners of the
County of Harnett, North Carolina, sitting as the governing body of the Northwest Water and Sewer
District of Harnett County, North Carolina, in regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057524v2
Clerk t• the Board
County of Harnett,
Commissioners
orth Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE NORTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Northwest Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $2,795,000 General Obligation Refunding Bonds, Series
2004 (the "2004 Bonds") and (2) $995,000 Water Bonds, Series 1997 (the "1997 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $885,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015 and (2) $315,000 in aggregate principal amount of the 1997 Bonds maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Northwest Water and Sewer District of
Harnett County, North Carolina, as follows:
Section I. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Northwest Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $1,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4t'' day of March, 2013 and is hereby published this 4th
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT'SEAI,)
PPAB 2057524v2
A CA _A
Marg : ret Regina '4' heeler
Cler + to the Boar. of Commissioners
County of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amended,
For the Northwest Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of Harnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "Board") for the County,
sitting as the governing body of the Northwest Water and Sewer District of Harnett County, North
Carolina (the "District "), to make and to file in the office of the Clerk to the Board a statement of debt of
the District pursuant to the Local Government Bond Act, as amended, DO HEREBY CERTIFY that the
following is a true statement as shown by the books in my office relating to the District, not taking into
consideration any debt incurred or to be incurred in anticipation of bonds other t an funding and
refunding bonds.
Sworn to and subscribed before me
on the day of the date of said statem
nv
1.y Hon; utt, Deputy finance Officer
Countyrgflarnett, North C lira
�O •`
Car
tary Public)
My commission eP dire /�
the day of 1 () V /;�t,
STATEMENT OF DEBT OF THE NORTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOVERNMENT BOND ACT,
AFTER THE INTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT A MEETING OF THE GOVERNING
BODY OF SAID DISTRICT, HELD ON THE 4TH DAY OF MARCH, 2013.
(A) Gross debt as listed in the attached "Schedule of $2,8 10,000
Gross Debt ".
(B) Deductions to be made from Gross Debt as listed in $2,8 10,000
the attached "Schedule of Deductions ".
(C) Net Debt being the difference between the Gross $0
Debt (A) and Deductions (B).
(D) Appraised Value of property subject to taxation. $589,371,012
(E) Percentage that net debt bears to the appraised value 0%
of property subject to taxation.
Northwest Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
(1) Bonds authorized by orders introduced but not yet adopted:
PURPOSE AMOUNT
General Obligation Refunding Water and $1,500,000
Sewer Bonds
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
(3) Outstanding debt not evidenced by bonds:
$1,500,000
AMOUNT
$0
TOTAL $0
PURPOSE AMOUNT
$0
TOTAL $0
(4) Outstanding debt evidenced by bonds:
PURPOSE AMOUNT
General Obligation Water and Sewer Bonds $1,310,000
TOTAL $1,310,000
TOTAL GROSS DEBT $2,810,000
Northwest Water and Sewer District of Harnett County, North Carolina
Schedule of Deductions
(A) Funding and refunding bonds authorized by orders $1,500000
introduced but not yet adopted. '
(B) Funding and refunding bonds authorized but not issued. $0
(C) Amount held in sinking funds or otherwise for the payment $0
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
(D) Bonded debt included in gross debt and incurred or to be $1,310,000
incurred for water, gas or electric light or power purposes.
(E) Bonded debt included in gross debt and incurred or to be $0
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
(F)
(G)
Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
$0
$0
TOTAL, $2,810,000
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the Northwest Water and Sewer District of
Harnett County, North Carolina, a political subdivision validly organized and existing under the
Constitution and laws of the State of North Carolina, hereby certify that the foregoing statement and
accompanying affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
Marga et Regina Whe
Clerk o the Board of commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Northwest Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Hill introduced the following resolution, a summary of which had been provided
to each Commissioner, a copy of which was available with the Clerk to the Board and which was read by
title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE NORTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR
THE ISSUANCE OF A NOT TO EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING
WATER AND SEWER BOND, SERIES 2013 OF THE NORTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the Northwest Water and Sewer District of Harnett County, North Carolina
(the "District "), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the terms and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement ") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board"), sitting as the governing body of the District;
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
PPAB 2057524v2
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section 1. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
"Bond" means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code" means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Escrow Agent" means U.S. Bank National Association and its successors or assigns, as escrow
agent under the Escrow Agreement.
"Escrow Agreement" means an Escrow Agreement dated as of April 1, 2013 between the County
and the Escrow Agent.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry form on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S. Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"1997 Bonds" means the District's $995,000 Water Bonds, Series 1997.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
2
PPAB 2057524v2
"Refunded Bonds" means, collectively, (1) $885,000 in aggregate principal amount of the
2004 Bonds maturing on and after June 1, 2015 and (2) $315,000 in aggregate principal amount of the
1997 Bonds maturing on and after June 1, 2013.
"2004 Bonds" means the District's $2,795,000 General Obligation Refunding Bonds,
Series 2004.
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$1,500,000.
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County' s Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section 5. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R -1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
3
PPAB 2057524v2
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the form set
forth in the Appendix A hereto.
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause (a) the
portion of the proceeds of the Bond necessary to redeem the 1997 Bonds to be applied to redeem the
1997 Bonds maturing on and after June 1, 2013 and (b) the portion of the proceeds of the Bond necessary
to defease and redeem the 2004 Bonds maturing on and after June 1, 2015 to be deposited with the
Escrow Agent to be applied as set forth in the Escrow Agreement. Any remaining portion of the proceeds
of the Bond shall be deposited as set forth in the District Bond Purchase Agreement.
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 159E -8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the terms of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The form and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the form and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chahnian of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chaiii uan of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
4
PPAB 2057524v2
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
Resolution, whatever the character of the act may be, and may be done and performed as fully and freely
as if expressly permitted by the terms of this Resolution, and after consent has been given, the owner of
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
Section 17. All acts and doings of the Chairman of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and performance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
5
PPAB 2057524v2
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
Section 19. The District agrees to provide the County whatever information that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
promulgated by the Securities and Exchange Commission (the "SEC') and for the benefit of the
Registered Owners and beneficial owners of the LOBs.
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2057524v2
On motion of Commissioner Hill, and seconded by Commissioner Springle, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE NORTHWEST WATER AND
SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A
NOT TO EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE NORTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2057524v2
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
)
)
)
Ss:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE NORTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A NOT TO
EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF
THE NORTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" adopted
by the Board of Commissioners of the County of Harnett, North Carolina, sitting as the governing body of
Northwest Water and Sewer District of Harnett County, North Carolina, at a regular meeting duly held on
the 4th day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057524v2
arg ret Regin heeler
Clerlij to the Board of Commissioners
County of Harnett, North Carolina
Attachment 6
Riverside Water and Sewer District of Harnett County, North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2057606v2
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board "), sitting as the governing body of the Riverside Water and Sewer District of Harnett County,
North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County Commissioners'
Meeting Room, Harnett County Administration Building, 102 East Front Street, Lillington, North
Carolina, Jim Burgin, Chairman of the Board, presiding and the following Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Miller introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE RIVERSIDE WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN
STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett (the "County "),
sitting as the governing body of the Riverside Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $1,500,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities (1) $823,000 aggregate principal
amount of the District's Water Bonds, Series 2001A maturing on and after June 1, 2013
and (2) $225,000 aggregate principal amount of the District's Water Bonds, Series 2001B
maturing on and after June 1, 2013.
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
determinations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52.
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4th day
of March, 2013, has made the following factual findings in regard to this matter:
PPAB 2057606v2
A. Facts Regarding Necessity of Proposed
and expedient to lower debt service costs to the District.
B. Facts Supporting the Amount of Bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The
procedures are in compliance with the law.
Financing. The proposed bonds are necessary
Proposed. The sums estimated for these bonds
District's debt management policies and
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom.
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Commissioner Miller, and seconded by Commissioner Springle, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE RIVERSIDE WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057606v2
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
)
) SS:
)
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE RIVERSIDE WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT CONCERNING
PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of Harnett, North
Carolina, sitting as the governing body of the Riverside Water and Sewer District of Harnett County,
North Carolina, in a regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057606v2
Margar Regina Wl eler
Clerk t the Board of Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board "), sitting as the governing body of the Riverside Water and Sewer District of Harnett County,
North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County Commissioners'
Meeting Room, Harnett County Administration Building, 102 East Front Street, Lillington, North
Carolina, Jim Burgin, Chairman of the Board, presiding and the following Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Miller introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,0001GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE RIVERSIDE WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Riverside Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $940,000 Water Bonds, Series 2001A (the "2001A Bonds ")
and (2) $254,000 Water Bonds, Series 2001B (the "2001B Bonds ");
WHEREAS, the Board of Commissioners (the "Board ") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $823,000 in aggregate principal amount of the 2001A Bonds maturing on and after
June 1, 2013 and (2) $225,000 in aggregate principal amount of the 2001B Bonds maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Riverside Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
PPAB 2057606v2
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Riverside Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $1,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been fled with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE
RIVERSIDE WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Commissioner Miller, and seconded by Commissioner Springle, the foregoing
order titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED 51,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE RIVERSIDE WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057606v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL OBLIGATION
REFUNDING WATER AND SEWER BONDS OF THE RIVERSIDE WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of Commissioners of the
County of Harnett, North Carolina, sitting as the governing body of the Riverside Water and Sewer
District of Harnett County, North Carolina, in regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057606v2
Ouc a)),.. ,(6e t/eL, OW
Clerk t the Board ,` Commissioners
Count of Harnett, orth Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE RIVERSIDE WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Riverside Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its (1) $940,000 Water Bonds, Series 2001A (the "2001A Bonds ")
and (2) $254,000 Water Bonds, Series 2001B (the "2001B Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities (1) $823,000 in aggregate principal amount of the 2001A Bonds maturing on and after
June 1, 2013 and (2) $225,000 in aggregate principal amount of the 2001B Bonds maturing on and after
June 1, 2013 (collectively, the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Riverside Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Riverside Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $1,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4"' day of March, 2013 and is hereby published this 4th
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT SEAL)
Margaret Re na W eeler
Clerkp the Board of Commissioners
County of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amended,
For the Riverside Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of Harnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "Board") for the County,
sitting as the governing body of the Riverside Water and Sewer District of Harnett County, North
Carolina (the "District "), to make and to file in the office of the Clerk to the Board a statement of debt of
the District pursuant to the Local Government Bond Act, as amended, DO HEREBY CERTIFY that the
following is a true statement as shown by the books in my office relating to the District, not taking into
consideration any debt incurred or to be incurred in anticipation of bonds other than funding and
refunding bonds.
�-( • 11
AAA
Kimberly Honey
County of Hame
Sworn to and subscribed before me
on the day of the date of said s ement.
(Notary Public)
My mmissio
the day of
tt, Depu
North C
finance Officer
lina
STATEMENT OF DEBT OF THE RIVERSIDE WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOVERNMENT BOND ACT,
AFTER THE INTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT A MEETING OF THE GOVERNING
BODY OF SAID DISTRICT, HELD ON THE 4TH DAY OF MARCH, 2013.
(A) Gross debt as listed in the attached "Schedule of $2,548,000
Gross Debt ".
(B) Deductions to be made from Gross Debt as listed in $2,548,000
the attached "Schedule of Deductions ".
(C) Net Debt being the difference between the Gross $0
Debt (A) and Deductions (B).
(D) Appraised Value of property subject to taxation. $109,071,402
(E) Percentage that net debt bears to the appraised value 0%
of property subject to taxation.
Riverside Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
(1) Bonds authorized by orders introduced but not yet adopted:
PURPOSE
AMOUNT
General Obligation Refunding Water and $1,500,000
Sewer Bonds
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
(3) Outstanding debt not evidenced by bonds:
$1,500,000
AMOUNT
$0
TOTAL $0
PURPOSE AMOUNT
$0
TOTAL $0
(4) Outstanding debt evidenced by bonds:
PURPOSE
AMOUNT
General Obligation Water and Sewer Bonds $1,048,000
TOTAL $1,048,000
TOTAL GROSS DEBT $2,548,000
(A)
(B)
(C)
Riverside Water and Sewer District of Harnett County, North C olina
Schedule of Deductions
Funding and refunding bonds authorized by orders
introduced but not yet adopted.
Funding and refunding bonds authorized but not issued.
Amount held in sinking funds or otherwise for the payment
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
(D) Bonded debt included in gross debt and incurred or to be
incurred for water, gas or electric light or power purposes.
(E) Bonded debt included in gross debt and incurred or to be
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
(F)
(G)
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
TOTAL
$1,500,000
$0
$0
$1,048,000
$0
$0
$0
$2,548,000
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the Riverside Water and Sewer District of Harnett
County, North Carolina, a political subdivision validly organized and existing under the Constitution and
laws of the State of North Carolina, hereby certify that the foregoing statement and accompanying
affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
ZL,Vte-e,6
Marga3 t Regina Wh ler
Clerk t� the Board of Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Riverside Water and Sewer District of Harnett County,
North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County Commissioners'
Meeting Room, Harnett County Administration Building, 102 East Front Street, Lillington, North
Carolina, Jim Burgin, Chairman of the Board, presiding and the following Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Miller introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE RIVERSIDE WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR
THE ISSUANCE OF A NOT TO EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING
WATER AND SEWER BOND, SERIES 2013 OF THE RIVERSIDE WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the Riverside Water and Sewer District of Harnett County, North Carolina
(the "District "), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the tennis and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement ") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board"), sitting as the governing body of the District;
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
PPAB 2057606v2
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section 1. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
"Bond" means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code" means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry foul on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S. Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
"Refunded Bonds" means, collectively, (1) $823,000 in aggregate principal amount of the 2001A
Bonds maturing on and after June 1, 2013 and (2) $225,000 in aggregate principal amount of the 2001B
Bonds maturing on and after June 1, 2013.
"2001A Bonds" means the District's $940,000 Water Bonds, Series 2001A.
"2001B Bonds" means the District's $254,000 Water Bonds, Series 2001B.
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
2
PPAB 2057606v2
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$1,500,000.
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County's Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section 5. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R -1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the faun set
forth in the Appendix A hereto.
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause the
portion of the proceeds of the Bond necessary to redeem the Refunded Bonds to be delivered to the
United States Department of Agriculture in accordance with the terms of such Refunded Bonds. Any
remaining portion of the proceeds of the Bond shall be deposited as set forth in the District Bond
Purchase Agreement.
3
PPAB 2057606v2
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 159E -8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the terms of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The form and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the form and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chairman of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
Resolution, whatever the character of the act may be, and may be done and performed as fully and freely
as if expressly permitted by the teims of this Resolution, and after consent has been given, the owner of
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
4
PPAB 2057606v2
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
Section 17. All acts and doings of the Chairman of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and perfolivance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
Section 19. The District agrees to provide the County whatever information that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
promulgated by the Securities and Exchange Commission (the "SEC') and for the benefit of the
Registered Owners and beneficial owners of the LOB s.
5
PPAB 2057606v2
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2057606v2
On motion of Commissioner Miller, and seconded by Commissioner Springle, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE RIVERSIDE WATER AND
SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A
NOT TO EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE RIVERSIDE WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2057606v2
STATE OF NORTH CAROLINA
COUNTY OF HARNETT
)
)
)
SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE RIVERSIDE WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A NOT TO
EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF
THE RIVERSIDE WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" adopted
by the Board of Commissioners of the County of Harnett, North Carolina, sitting as the governing body of
Riverside Water and Sewer District of Harnett County, North Carolina, at a regular meeting duly held on
the 4th day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
t t, m t, t •„,,:
PPAB 2057606v2
Marg..'et Regina W v eeler
Cler o the Board o Commissioners
County of Harnett, North Carolina
Attachment 7
Southeast Water and Sewer District of Harnett County,
North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2057583v2
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board "), sitting as the governing body of the Southeast Water and Sewer District of Harnett County,
North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County Commissioners'
Meeting Room, Harnett County Administration Building, 102 East Front Street, Lillington, North
Carolina, Jim Burgin, Chairman of the Board, presiding and the following Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chaiiinan
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Vice Chairman House introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHEAST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN
STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board ") of the County of Harnett (the "County "),
sitting as the governing body of the Southeast Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $1,500,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities $1,090,000 aggregate principal
amount of the District's Water Bonds, Series 1993 maturing on and after June 1, 2013.
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
deteiminations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52.
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4`h day
of March, 2013, has made the following factual findings in regard to this matter:
A. Facts Regarding Necessity of Proposed Financing. The proposed bonds are necessary
and expedient to lower debt service costs to the District.
PPAB 2057583v2
B. Facts Supporting the Amount of Bonds Proposed. The sums estimated for these bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The District's debt management policies and
procedures are in compliance with the law.
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom.
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Vice Chairman House, and seconded by Commissioner Springle, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHEAST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4`'' day of March, 2013.
2
PPAB 2057583v2
STATE OF NORTH CAROLINA )
) SS:
COUNTY OF HARNETT )
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHEAST WATER AND SEWER DISTRICT
OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT CONCERNING
PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of Harnett, North
Carolina, sitting as the governing body of the Southeast Water and Sewer District of Harnett County,
North Carolina, in a regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057583v2
Margar: t Regina W ler
Clerk t the Board o Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Southeast Water and Sewer District of Harnett County,
North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County Commissioners'
Meeting Room, Harnett County Administration Building, 102 East Front Street, Lillington, North
Carolina, Jim Burgin, Chairman of the Board, presiding and the following Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Vice Chairman House introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTHEAST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Southeast Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its $1,482,000 Water Bonds, Series 1993 (the "1993 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities $1,090,000 in aggregate principal amount of the 1993 Bonds maturing on and after
June 1, 2013 (the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Southeast Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
PPAB 2057583v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL OBLIGATION
REFUNDING WATER AND SEWER BONDS OF THE SOUTHEAST WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of Commissioners of the
County of Harnett, North Carolina, sitting as the governing body of the Southeast Water and Sewer
District of Harnett County, North Carolina, in regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057583v2
Clerk tb the Board o
County, of Harnett, North Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTHEAST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Southeast Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its $1,482,000 Water Bonds, Series 1993 (the "1993 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities $1,090,000 in aggregate principal amount of the 1993 Bonds maturing on and after
June 1, 2013 (the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Southeast Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Southeast Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $1,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section S. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4th day of March, 2013 and is hereby published this 4th
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT SEAL)
PPAB 2057583v2
akt
f titer
Marg. et Regina W -eler
Clerk ` o the Board o Commissioners
County of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amencded,
For the Southeast Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of }tarnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "13 as the governing body of the Southeast Water and Sewer District of Bard t for County, ,North
Carolina (the "District "), to make and to file in the office of the Clerk to the Boar-e1 statement ent of North
the District pursuant to the Local Government Bond Act, as amended, Do HE ? a statement of that e
following is a true statement as shown by the books in my y office relating to the REBY CERTIFY that the
consideration any debt incurred or to be incurred in anticipation of bonds ® isr th not n ing into
refunding bonds. p other than funding and
Sworn to and subscribed before m
on the day of the date of said s
1
I
Kim • erly Hone
County of Harn
(Notary Public)
M issio+ •ir.s
the day of
utt, Depu � Finance Officer
, North C rolina
STATEMENT OF DEBT OF THE SOUTHEAST WATER AND SEWER DISTRICT OF HARI ETT COUNTY NORTH
CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOV)� RNMENT BOND ACT,
AFTER THE INTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF S1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT A MEETINc-T OF THE GOVERNING
BODY OF SAID DISTRICT, HELD ON THE 4 DAY OF MARCH, 2013.
(D)
(E)
Gross debt as listed in the attached "Schedule of
Gross Debt ".
Deductions to be made from Gross Debt as listed in
the attached "Schedule of Deductions ".
Net Debt being the difference between the Gross
Debt (A) and Deductions (B).
Appraised Value of property subject to taxation.
Percentage that net debt bears to the appraised value
of property subject to taxation.
$2,590,000
$2,590,000
$0
$1,268,196,564
0%
Southeast Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
(1) Bonds authorized by orders introduced but not yet adopted:
PURPOSE
AMOUNT
General Obligation Refunding Water and $1,500000
Sewer Bonds '
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
(3) Outstanding debt not evidenced by bonds:
$1,500,000
AMOUNT
$0
TOTAL $0
PURPOSE AMOUNT
$0
TOTAL $0
(4) Outstanding debt evidenced by bonds:
PURPOSE AMOUNT
General Obligation Water and Sewer Bonds $1,090,000
TOTAL $1,090,000
TOTAL GROSS DEBT $2,590,000
Southeast Water and Sewer District of Harnett County, North Carolina
Schedule of Deductions
(A) Funding and refunding bonds authorized by orders $1,500000
introduced but not yet adopted. '
(B) Funding and refunding bonds authorized but not issued. $0
(C) Amount held in sinking funds or otherwise for the payment $0
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
(D)
(E)
(F)
(G)
Bonded debt included in gross debt and incurred or to be
incurred for water, gas or electric light or power purposes.
Bonded debt included in gross debt and incurred or to be
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
$1,090,000
$0
$0
$0
TOTAL $2,590,000
STATE OF NORTH CAROLINA )
COUNTY OF HARNETT ) SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the Southeast Water and Sewer District of
Harnett County, North Carolina, a political subdivision validly organized and existing under the
Constitution and laws of the State of North Carolina, hereby certify that the foregoing statement and
accompanying affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
CLA
Margaret Regina Whe
Clerk to e Board of Commissioners
County of Harnett, North Carolina
-76,&&
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board'), sitting as the governing body of the Southeast Water and Sewer District of Harnett County,
North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County Commissioners'
Meeting Room, Harnett County Administration Building, 102 East Front Street, Lillington, North
Carolina, Jim Burgin, Chairman of the Board, presiding and the following Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Vice Chairman House introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHEAST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR
THE ISSUANCE OF A NOT TO EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING
WATER AND SEWER BOND, SERIES 2013 OF THE SOUTHEAST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the Southeast Water and Sewer District of Harnett County, North Carolina
(the "District "), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond ") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the terms and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement ") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board "), sitting as the governing body of the District;
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
PPAB 2057583v2
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section I. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
"Bond" means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code" means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry foiui on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S. Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"1993 Bonds" means the District's $1,482,000 Water Bonds, Series 1993.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
"Refunded Bonds" means $1,090,000 in aggregate principal amount of the 1993 Bonds maturing
on and after June 1, 2013.
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$1,500,000.
2
PPAB 2057583v2
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County' s Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section S. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R -1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the form set
forth in the Appendix A hereto.
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause the
portion of the proceeds of the Bond necessary to redeem the Refunded Bonds to be delivered to the
United States Department of Agriculture in accordance with the terms thereof. Any remaining portion of
the proceeds of the Bond shall be deposited as set forth in the District Bond Purchase Agreement.
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 159E -8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
3
PPAB 2057583v2
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the terms of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The form and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the form and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chairman of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
Resolution, whatever the character of the act may be, and may be done and performed as fully and freely
as if expressly permitted by the terms of this Resolution, and after consent has been given, the owner of
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
4
PPAB 2057583v2
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
Section 17. All acts and doings of the Chairman of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and performance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
Section 19. The District agrees to provide the County whatever information that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
promulgated by the Securities and Exchange Commission (the "SEC") and for the benefit of the
Registered Owners and beneficial owners of the LOBs.
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
5
PPAB 2057583v2
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2057583v2
On motion of Vice Chairman House, and seconded by Commissioner Springle, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHEAST WATER AND
SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A
NOT TO EXCEED 51,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE SOUTHEAST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2057583v2
STATE OF NORTH CAROLINA )
COUNTY OF HARNETT
)
)
Ss:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHEAST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A NOT TO
EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF
THE SOUTHEAST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" adopted
by the Board of Commissioners of the County of Harnett, North Carolina, sitting as the governing body of
Southeast Water and Sewer District of Harnett County, North Carolina, at a regular meeting duly held on
the 4th day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 41h day of March, 2013.
(DISTRICT SEAL)
PPAB 2057583v2
Marga et Regina W :eler
Clerk o the Board of Commissioners
County of Harnett, North Carolina
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Southeast Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $1,500,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $1,500,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE
SOUTHEAST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Vice Chaimian House, and seconded by Commissioner Springle, the foregoing
order titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $1,500,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTHEAST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057583v2
Attachment 8
West Central Water and Sewer District of Harnett County,
North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2057285v2
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board'), sitting as the governing body of the West Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
*
Commissioner Hill introduced the following resolution, a summary of which had been provided
to each Commissioner, a copy of which was available with the Clerk to the Board and which was read by
title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE WEST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING
CERTAIN STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board') of the County of Harnett (the "County "),
sitting as the governing body of the West Central Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $2,000,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities $1,540,000 aggregate principal
amount of the District's General Obligation Refunding Bonds, Series 2004 maturing on
and after June 1, 2015.
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
determinations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52.
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4th day
of March, 2013, has made the following factual findings in regard to this matter:
PPAB 2057285v2
A. Facts Regarding Necessity of Proposed Financing. The proposed bonds are necessary
and expedient to lower debt service costs to the District.
B. Facts Supporting the Amount of Bonds Proposed. The sums estimated for these bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The District's debt management policies and
procedures are in compliance with the law.
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom:
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Commissioner Hill, and seconded by Commissioner Springle, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE WEST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th' day of March, 2013.
2
PPAB 2057285v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE WEST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the West Central Water and Sewer District of
Harnett County, North Carolina, in a regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057285v2
Margare Regina Whee r
Clerk tp the Board of mmissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board'), sitting as the governing body of the West Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Hill introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $2,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE WEST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the West Central Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its $2,305,000 General Obligation Refunding Bonds, Series 2004
(the "2004 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities $1,540,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015 (the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the West Central Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
PPAB 2057285v2
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the West Central Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $2,000,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section S. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $2,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE WEST
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Commissioner Hill, and seconded by Commissioner Springle, the foregoing order
titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $2,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE WEST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2057285v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT )
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, Do HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $2,000,000 GENERAL OBLIGATION
REFUNDING WATER AND SEWER BONDS OF THE WEST CENTRAL WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of Commissioners of the
County of Harnett, North Carolina, sitting as the governing body of the West Central Water and Sewer
District of Harnett County, North Carolina, in regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4`'' day of March, 2013.
(DISTRICT SEAL)
PPAB 2057285v2
e—d2A
Clerk the Board a ommissioners
Coun j of Harnett, orth Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED S2,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE WEST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the West Central Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its $2,305,000 General Obligation Refunding Bonds, Series 2004
(the "2004 Bonds");
WHEREAS, the Board of Commissioners (the "Board ") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities $1,540,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015 (the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary') of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the West Central Water and Sewer District of
Harnett County, North Carolina, as follows:
Section I. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the West Central Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $2,000,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4th day of March, 2013 and is hereby published this 19"'
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT SEAL)
PPAB 2057285v2
Marga -et Regina W eler
Clerk/ o the Board of Commissioners
County of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amended,
For the West Central Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of Harnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "Board") for the County,
sitting as the governing body of the West Central Water and Sewer District of Harnett County, North
Carolina (the "District "), to make and to file in the office of the Clerk to the Board a statement of debt of
the District pursuant to the Local Government Bond Act, as amended, DO HEREBY CERTIFY that the
following is a true statement as shown by the books in my office relating to the District, not taking into
consideration any debt incurred or to be incurred in anticipation of bonds other than funding and
refunding bonds.
Sworn to and subscribed before me
on the day of the date of said state
Ith'd
(Notary Public)
Kimberly Honey tt, Deputy,, finance Officer
County of Harne , North Ca na
My ,co missio it s
the [day of ( f
STATEMENT OF DEBT OF THE WEST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY,
NORTH CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOVERNMENT BOND
ACT, AFTER THE LNTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF S2,000,000
GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT A MEETING OF THE
GOVERNING BODY OF SAID DISTRICT, HELD ON THE 4TH DAY OF MARCH, 2013.
(A) Gross debt as listed in the attached "Schedule of $3,710,000
Gross Debt ".
(B) Deductions to be made from Gross Debt as listed in $3,710,000
the attached "Schedule of Deductions ".
(C) Net Debt being the difference between the Gross $0
Debt (A) and Deductions (B).
(D) Appraised Value of property subject to taxation. $311,184,685
(E) Percentage that net debt bears to the appraised value 0%
of property subject to taxation.
West Central Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
(1) Bonds authorized by orders introduced but not yet adopted:
PURPOSE AMOUNT
General Obligation Refunding Water and $2,000,000
Sewer Bonds
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
(3) Outstanding debt not evidenced by bonds:
$2,000,000
AMOUNT
$0
TOTAL $0
PURPOSE AMOUNT
$0
TOTAL $0
(4) Outstanding debt evidenced by bonds:
PURPOSE AMOUNT
General Obligation Water and Sewer Bonds $1,710,000
TOTAL $1,710,000
TOTAL GROSS DEBT $3,710,000
West Central Water and Sewer District of Harnett County, North Carolina
Schedule of Deductions
(A) Funding and refunding bonds authorized by orders
introduced but not yet adopted.
(B) Funding and refunding bonds authorized but not issued.
(C) Amount held in sinking funds or otherwise for the payment
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
(D) Bonded debt included in gross debt and incurred or to be
incurred for water, gas or electric light or power purposes.
(E) Bonded debt included in gross debt and incurred or to be
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
(F) Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
(G)
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
$2,000,000
$0
$0
$1,710,000
$0
$0
$0
TOTAL, $3,710,000
STATE OF NORTH CAROLINA
COUNTY OF HARNETT )
SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the West Central Water and Sewer District of
Harnett County, North Carolina, a political subdivision validly organized and existing under the
Constitution and laws of the State of North Carolina, hereby certify that the foregoing statement and
accompanying affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
AU-aka- /J
Margar t Regina W eler
Clerk the Board of Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board'), sitting as the governing body of the West Central Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
Commissioner Hill introduced the following resolution, a summary of which had been provided
to each Commissioner, a copy of which was available with the Clerk to the Board and which was read by
title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE WEST CENTRAL
WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA,
PROVIDING FOR THE ISSUANCE OF A NOT TO EXCEED $2,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF THE WEST
CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the West Central Water and Sewer District of Harnett County, North Carolina
(the "District"), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond ") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the terms and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board"), sitting as the governing body of the District;
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
PPAB 2057285v2
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section 1. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
'`Bond' means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code'' means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Escrow Agent" means U.S. Bank National Association and its successors or assigns, as escrow
agent under the Escrow Agreement.
"Escrow Agreement" means an Escrow Agreement dated as of April 1, 2013 between the County
and the Escrow Agent.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry foiiii on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
"Refunded Bonds" means $1,540,000 in aggregate principal amount of the 2004 Bonds maturing
on and after June 1, 2015.
2
PPAB 2057285v2
`'2004 Bonds" means the District's $2,305,000 General Obligation Refunding Bonds,
Series 2004.
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$2,000,000.
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County's Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section S. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R-1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the foiin set
forth in the Appendix A hereto.
3
PPAB 2057285v2
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause the
portion of the proceeds of the Bond necessary to defease and redeem the Refunded Bonds to be deposited
with the Escrow Agent to be applied as set forth in the Escrow Agreement. Any remaining portion of the
proceeds of the Bond shall be deposited as set forth in the District Bond Purchase Agreement.
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 159E -8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the Willis of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The form and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the form and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chairman of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
4
PPAB 2057285v2
Resolution, whatever the character of the act may be, and may be done and perfoiuied as fully and freely
as if expressly permitted by the terms of this Resolution, and after consent has been given, the owner of
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
Section 17. All acts and doings of the Chairman of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and performance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
5
PPAB 2057285v2
Section 19. The District agrees to provide the County whatever information that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
promulgated by the Securities and Exchange Commission (the "SEC') and for the benefit of the
Registered Owners and beneficial owners of the LOBs.
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2057285v2
On motion of Commissioner Hill, and seconded by Commissioner Springle, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE WEST CENTRAL WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF
A NOT TO EXCEED $2,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE WEST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2057285v2
STATE OF NORTH CAROLINA
ss:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE WEST CENTRAL WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A NOT TO
EXCEED $2,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF
THE WEST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA"
adopted by the Board of Commissioners of the County of Harnett, North Carolina, sitting as the
governing body of West Central Water and Sewer District of Harnett County, North Carolina, at a regular
meeting duly held on the 4''' day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2057285v2
41i. 0,A; -,/,-(-(Ltt
Margat t Regina W ler
Clerk `t the Board of Commissioners
County of Harnett, North Carolina
Attachment '
Southwest Water and Sewer District of Harnett County,
North Carolina
General Obligation Refunding Water and Sewer Bonds
Bond Documentation
PPAB 2056676v2
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Southwest Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chai�man
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Springle introduced the following resolution, a summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN
STATEMENTS OF FACT CONCERNING PROPOSED BOND ISSUE
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett (the "County "),
sitting as the governing body of the Southwest Water and Sewer District of Harnett County, North
Carolina (the "District "), is considering the issuance of bonds of the District which shall be for the
following purposes and in the following maximum amount:
Not to exceed $3,000,000 of General Obligation Refunding Water and Sewer Bonds to
pay the costs of refunding in advance of their maturities $2,400,000 aggregate principal
amount of the District's General Obligation Refunding Bonds, Series 2004 maturing on
and after June 1, 2015.
WHEREAS, certain findings of fact by the Board must be presented to enable the Local
Government Commission of the State of North Carolina (the "Commission ") to make certain
determinations as set forth in Article 4 of Chapter 159 of the General Statutes, Section 52.
NOW, THEREFORE, BE IT RESOLVED that the Board meeting in open session on the 4th day
of March, 2013, has made the following factual findings in regard to this matter:
PPAB 2056676v2
A. Facts Regarding Necessity of Proposed Financing. The proposed bonds are necessary
and expedient to lower debt service costs to the District.
B. Facts Supporting the Amount of Bonds Proposed. The sums estimated for these bonds
are adequate and not excessive for the proposed purpose.
C. Past Debt Management Polices. The District's debt management policies and
procedures are in compliance with the law.
D. No Default. The District is not in default on any of its debt obligations.
E. Issuance of Debt. The schedule for issuing the bonds does not require a property tax
increase. The schedule for issuance calls for issuing all of the bonds in fiscal year ending June 30, 2013,
but issuance may be delayed until such time as the County receives sufficient net present value savings
therefrom.
F. Financing Team, Application to Local Government Commission, Other Actions. The
County Manager, the Finance Officer and the Deputy Finance Officer, on behalf of the District, are
hereby authorized and directed (1) to retain Parker Poe Adams & Bernstein LLP, as bond counsel, and
(2) to apply for approval of the proposed bonds with the Commission and to take all other actions
necessary to accomplish the refunding transactions as set forth herein. The Deputy Finance Officer is
hereby authorized and directed to complete and file with the Clerk to the Board a sworn statement of the
District's debt. All actions of the County Manager, the Finance Officer and the Deputy Finance Officer,
each acting on behalf of the District, that are in conformity with the purposes and intent of this Resolution
are in all respects ratified, approved and confirmed.
Upon motion of Commissioner Springle, and seconded by Commissioner Miller, the foregoing
order titled: "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT
CONCERNING PROPOSED BOND ISSUE" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4t1' day of March, 2013.
2
PPAB 2056676v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT )
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the resolutions titled
"A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT, NORTH
CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHWEST WATER AND SEWER DISTRICT
OF HARNETT COUNTY, NORTH CAROLINA, MAKING CERTAIN STATEMENTS OF FACT CONCERNING
PROPOSED BOND ISSUE" adopted by the Board of Commissioners of the County of Harnett, North
Carolina, sitting as the governing body of the Southwest Water and Sewer District of Harnett County,
North Carolina, in a regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2056676v2
Margar: t Regina Whee r
Clerk t• the Board of ommissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Southwest Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Springle introduced the following bond order by reading the title thereof:
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Southwest Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its $3,790,000 General Obligation Refunding Bonds, Series 2004
(the "2004 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities $2,400,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June 1, 2015 (the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Southwest Water and Sewer District of
Harnett County, North Carolina, as follows:
Section I. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
PPAB 2056676v2
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Southwest Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $3,000,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section S. This bond order shall take effect on its adoption.
The Clerk to the Board is directed to publish a notice of adoption as prescribed by The Local
Government Bond Act, the bond order titled, "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO
EXCEED $3,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE
SOUTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA ", which was
introduced at the meeting of the Board held on March 4, 2013.
On motion of Commissioner Springle, and seconded by Commissioner Hill, the foregoing order
titled: "BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" was adopted by the following vote:
AYES: 5
NAYS: 0
PASSED, ADOPTED AND APPROVED this 4th day of March, 2013.
2
PPAB 2056676v2
STATE OF NORTH CAROLINA
SS:
COUNTY OF HARNETT
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, DO HEREBY CERTIFY that the foregoing is a true and exact copy of the bond order titled
"BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,000,000 GENERAL OBLIGATION
REFUNDING WATER AND SEWER BONDS OF THE SOUTHWEST WATER AND SEWER DISTRICT OF
HARNETT COUNTY, NORTH CAROLINA," which was adopted by the Board of Commissioners of the
County of Harnett, North Carolina, sitting as the governing body of the Southwest Water and Sewer
District of Harnett County, North Carolina, in regular meeting duly held on the 4th day of March, 2013.
WITNESS my hand and the seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2056676v2
1,6
Clerk to he Board of 1 ommissioners
County / f Harnett, North Carolina
BOND ORDER AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $3,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS OF THE SOUTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the Southwest Water and Sewer District of Harnett County, North Carolina
(the "District ") has previously issued its $3,790,000 General Obligation Refunding Bonds, Series 2004
(the "2004 Bonds ");
WHEREAS, the Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County "), sitting as the governing body of the District, deems it advisable to refund in advance of
their maturities $2,400,000 in aggregate principal amount of the 2004 Bonds maturing on and after
June I , 2015 (the "Refunded Bonds ");
WHEREAS, an application has been filed with the Secretary (the "Secretary ") of the Local
Government Commission of North Carolina (the "Commission ") requesting the Commission's approval
of the bonds described below as required by the Local Government Bond Act of North Carolina, and the
Secretary has notified the Board that the application has been accepted for submission to the Commission.
NOW, THEREFORE, BE IT ORDERED by the Board of Commissioners of the County of
Harnett, North Carolina, sitting as the governing body of the Southwest Water and Sewer District of
Harnett County, North Carolina, as follows:
Section 1. The Board deems it advisable to refund in advance of their maturities the
Refunded Bonds.
Section 2. To raise the money required to pay the costs of refunding the Refunded Bonds,
General Obligation Refunding Water and Sewer Bonds of the Southwest Water and Sewer District of
Harnett County, North Carolina (the "Bonds ") are hereby authorized and shall be issued pursuant to the
Local Government Bond Act of North Carolina. The maximum aggregate principal amount of the Bonds
authorized by this bond order shall be and not exceed $3,000,000.
Section 3. An ad valorem tax shall be levied to pay the principal of and interest on the
Bonds when due, which shall be annually levied and collected.
Section 4. A sworn statement of the District's debt has been filed with the Clerk to the
Board and is open to public inspection.
Section 5. This bond order shall take effect on its adoption
The foregoing order was adopted on the 4th day of March, 2013 and is hereby published this 19th
day of March, 2013. Any action or proceeding questioning the validity of the order must be begun within
30 days after the date of publication of this notice.
(DISTRICT SEAL)
PPAB 2056676v2
Margar t Regina Wh¢e er
Clerk the Board of ommissioners
Coun of Harnett, North Carolina
Sworn Statement of Debt
Made pursuant to the Local Government Bond Act, as Amended,
For the Southwest Water and Sewer District of Harnett County, North Carolina
I, Kimberly Honeycutt, Deputy Finance Officer of the County of Harnett, North Carolina
(the "County "), having been designated by the Board of Commissioners (the "Board") for the County,
sitting as the governing body of the Southwest Water and Sewer District of Harnett County, North
Carolina (the "District "), to make and to file in the office of the Clerk to the Board a statement of debt of
the District pursuant to the Local Government Bond Act, as amended, DO HEREBY CERTIFY that the
following is a true statement as shown by the books in my office relating to the District, not taking into
consideration any debt incurred or to be incurred in anticipation of bonds other than funding and
refunding bonds.
Sworn to and subscribed before me
on the day of the date of said statem
Kim. -rly Honey tt, Deputy T i' ance Officer
County of Harne , North Caro ina
(Notary Public)
My lc issi in
the I day of N
STATEMENT OF DEBT OF THE SOUTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA, MADE AND FILED PURSUANT TO SECTION 159 -55 OF THE LOCAL GOVERNMENT BOND ACT,
AFTER THE INTRODUCTION OF THE BOND ORDER AUTHORIZING THE ISSUANCE OF $3,000,000 GENERAL
OBLIGATION REFUNDING WATER AND SEWER BONDS INTRODUCED AT A MEETING OF THE GOVERNING
BODY OF SAID DISTRICT, HELD ON THE 4TH DAY OF MARCH, 2013.
(A) Gross debt as listed in the attached "Schedule of $7,069,868
Gross Debt ".
(B) Deductions to be made from Gross Debt as listed in $6,9 17,368
the attached "Schedule of Deductions ".
(C) Net Debt being the difference between the Gross $152,500
Debt (A) and Deductions (B).
(D) Appraised Value of property subject to taxation. $1,513,531,110
(E) Percentage that net debt bears to the appraised value .0001 %
of property subject to taxation.
(1)
Southwest Water and Sewer District of Harnett County, North Carolina
Schedule of Gross Debt
(The debt described below should not include debt incurred or to be incurred in
anticipation of the collection of taxes or other revenues or in anticipation of the sale of
bonds other than funding and refunding bonds. The debt described below should not
include revenue bonds.)
Bonds authorized by orders introduced but not yet adopted:
PURPOSE AMOUNT
General Obligation Refunding Water and $3,000,000
Sewer Bonds
TOTAL
(2) Unissued bonds authorized by adopted orders:
PURPOSE
AMOUNT
$3,000,000
$0
TOTAL $0
(3) Outstanding debt not evidenced by bonds:
PURPOSE AMOUNT
COPS 2003 $152,500
TOTAL $152,500
(4) Outstanding debt evidenced by bonds:
PURPOSE AMOUNT
General Obligation Water and Sewer Bonds
State Bond Loans
$2,685,000
1,232,368
TOTAL $3,917,368
TOTAL GROSS DEBT $7,069,868
Southwest Water and Sewer District of Harnett County, North Carolina
Schedule of Deductions
(A) Funding and refunding bonds authorized by orders $3,000,000
introduced but not yet adopted.
(B) Funding and refunding bonds authorized but not issued. $0
(C) Amount held in sinking funds or otherwise for the payment $0
of gross debt other than debt incurred for water, gas, electric
light or power purposes or sanitary sewer purposes (to the
extent deductible by subsection (b) of Section 159 -55 of the
Local Government Bond Act).
(D) Bonded debt included in gross debt and incurred or to be $3,917,368
incurred for water, gas or electric light or power purposes.
(E) Bonded debt included in gross debt and incurred or to be $0
incurred for sanitary sewer system purposes (to the extent
deductible by subsection (b) of Section 159 -55 of the Local
Government Bond Act).
(F)
(G)
Uncollected special assessments levied or to be levied for
local improvements for which gross debt was or is to be
incurred, to the extent to be applied to the payment of such
gross debt.
Estimate of special assessments to be levied for local
improvements for which any part of gross debt (that is not
otherwise deducted) was or is to be incurred, to the extent
that the special assessments, when collected, will be applied
to the payment of any part of debt.
$0
$0
TOTAL, $6,917,368
STATE OF NORTH CAROLINA )
COUNTY OF HARNETT
)
SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, in its capacity as the governing body of the Southwest Water and Sewer District of
Harnett County, North Carolina, a political subdivision validly organized and existing under the
Constitution and laws of the State of North Carolina, hereby certify that the foregoing statement and
accompanying affidavit were filed in my office on the 4th day of March, 2013.
(DISTRICT SEAL)
ato
Margar t Regina Wi eeler
Clerk the Board of Commissioners
County of Harnett, North Carolina
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
A regular meeting of the Board of Commissioners of the County of Harnett, North Carolina
(the "Board"), sitting as the governing body of the Southwest Water and Sewer District of Harnett
County, North Carolina, was duly held on Monday, March 4, 2013, at 9:00 a.m. in the County
Commissioners' Meeting Room, Harnett County Administration Building, 102 East Front Street,
Lillington, North Carolina, Jim Burgin, Chairman of the Board, presiding and the following
Commissioners present:
Commissioners Absent:
Also Present:
Jim Burgin, Chairman
Gary House, Vice Chairman
Beatrice Hill, Commissioner
Joe Miller, Commissioner
C. Gordon Springle, Commissioner
Joseph Jeffries, Interim County Manager
Tony Wilder, Deputy County Manager
Dwight Snow, County Attorney
Kimberly Honeycutt, Deputy Finance Officer
Margaret Regina Wheeler, Clerk
* * *
Commissioner Springle introduced the following resolution, a. summary of which had been
provided to each Commissioner, a copy of which was available with the Clerk to the Board and which
was read by title:
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHWEST WATER
AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR
THE ISSUANCE OF A NOT TO EXCEED $3,000,000 GENERAL OBLIGATION REFUNDING
WATER AND SEWER BOND, SERIES 2013 OF THE SOUTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA
WHEREAS, the bond order described below (the "Bond Order ") has been adopted, and it is
desirable to make provision for the issuance of the Bond authorized by the Bond Order; and
WHEREAS, the Southwest Water and Sewer District of Harnett County, North Carolina
(the "District "), desires to issue its General Obligation Refunding Water and Sewer Bond, Series 2013
(the "Bond") and desires to request that the Local Government Commission (the "Commission ") sell the
Bond through a negotiated sale to the County of Harnett, North Carolina (the "County ") in accordance
with the terms and conditions set forth in a District Bond Purchase Agreement to be dated on or about
April 24, 2013 (the "District Bond Purchase Agreement ") among the District, the Commission and the
County, a copy of which has been filed with the County and made available to the Board of
Commissioners of the County (the "Board"), sitting as the governing body of the District;
WHEREAS, LOBs (as defined below) will be simultaneously executed and delivered to facilitate
the County's purchase of the Bond, among other purposes.
PPAB 2056676v2
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
Section I. For purposes of this Resolution, the following words have the meanings ascribed
to them below:
"Bond" means the District's General Obligation Refunding Water and Sewer Bond, Series 2013,
authorized under the Bond Order.
"Bond Order" the Bond Order authorizing the General Obligation Refunding Water and Sewer
Bond adopted by the Board on March 4, 2013, effective on its adoption.
"Code" means the Internal Revenue Code of 1986, as amended. Each reference to a section of
the Code herein will be deemed to include the United States Treasury Regulations in effect with respect
thereto.
"Escrow Agent" means U.S. Bank National Association and its successors or assigns, as escrow
agent under the Escrow Agreement.
"Escrow Agreement" means an Escrow Agreement dated as of April 1, 2013 between the County
and the Escrow Agent.
"Federal Securities" means (a) direct obligations of the United States of America for the timely
payment of which the full faith and credit of the United States of America is pledged; (b) obligations
issued by any agency controlled or supervised by and acting as an instrumentality of the United States of
America, the timely payment of the principal of and interest on which is fully guaranteed as full faith and
credit obligations of the United States of America (including any securities described in clause (a) or (b)
hereof issued or held in the name of a trustee in book -entry form on the books of the Department of
Treasury of the United States of America), which obligations, in either case, are held in the name of a
trustee and are not subject to redemption or purchase prior to maturity at the option of anyone other than
the holder; or (c) direct evidences of ownership of proportionate interests in future interest and principal
payments on specified obligations described in clause (a) hereof held by a bank or trust company as
custodian, under which the owner of the investment is the real party in interest and has the right to
proceed directly and individually against the obligor on the underlying obligations described in clause (a)
hereof, and which underlying obligations are not available to satisfy any claim of the custodian or any
person claiming through the custodian or to whom the custodian may be obligated.
"Indenture" means an Indenture of Trust dated as of April 1, 2013 between Harnett County
Public Facilities Corporation and U.S. Bank National Association, as trustee.
"LOBs" means Limited Obligation Bonds (County of Harnett, North Carolina), Series 2013,
executed and delivered under the Indenture.
"Pricing Certificate" means the certificate of the County's Finance Officer delivered in
connection with the issuance of the Bond which establishes with respect to the Bond the final maturity
amounts, the interest payment dates, the interest rates, the provisions for redemption and the provisions
for the application of proceeds, all as agreed on in the District Bond Purchase Agreement.
"Refunded Bonds" means $2,400,000 in aggregate principal amount of the 2004 Bonds maturing
on and after June 1, 2015.
2
PPAB 2056676v2
"2004 Bonds" means the District's $3,790,000 General Obligation Refunding Bonds,
Series 2004.
Section 2. The County Manager, the Clerk to the Board, the Finance Officer and the Deputy
Finance Officer shall act as set forth herein as officers of the District.
Section 3. The District shall issue its Bond in an aggregate principal amount not to exceed
$3,000,000.
Section 4. The Bond shall be dated its date of issuance. The Bond shall pay interest
semiannually on December 1 and June 1, beginning June 1, 2013, unless the County' s Finance Officer
establishes different dates in her Pricing Certificate. The Bond is being issued to refund the Refunded
Bonds pursuant to and in accordance with the Bond Order.
Section S. The Bond is payable in annual installments on June 1 in each year, unless the
Finance Officer establishes a different date in her Pricing Certificate. The annual installments of principal
and corresponding interest rates of the Bond will be as set forth in the Pricing Certificate.
Section 6. The Bond is to be numbered "R -1" and shall bear interest from its date at a rate
or rates which will be hereafter determined on the sale thereof computed on the basis of a 360 -day year of
twelve 30 -day months.
Section 7. The Bond is to be registered as to principal and interest, and the Finance Officer
is directed to maintain the registration records with respect thereto. The Bond shall bear the original or
facsimile signatures of the Chairman of the Board or the County Manager and the Clerk to the Board,
each acting on behalf of the District. An original or facsimile of the seal of the District is to be imprinted
on the Bond.
Section 8. If the Pricing Certificate designates a date for the Bond on and after which the
Bond is subject to redemption, then such Bond is subject to redemption before maturity, at the option of
the District, from any money that may be made available for such purpose, either in whole on any date on
or after the date set forth in the Pricing Certificate, at the principal amount of the Bond to be redeemed,
together with interest accrued thereon to the date fixed for redemption, with such redemption premium, if
any, designated for the Bond in the Pricing Certificate. The redemption provisions relating to the Bond
shall correspond to the redemption provisions of the LOBs.
If the Bond is subject to optional redemption, when the District elects to redeem the Bond, notice
of such redemption of such Bond, stating the redemption date and redemption price and further stating
that on such redemption date there are due and payable on the Bond the principal thereof and interest
accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, is
to be given not less than 30 days nor more than 60 days before the redemption date in writing to the
registered owner of such Bond, by prepaid certified or registered United States mail, at the address
provided to the District by the registered owner, but any failure or defect in respect of such mailing will
not affect the validity of the redemption. The District will also mail or transmit by facsimile a copy of the
notice of redemption within the time set forth above to the Commission.
Section 9. The Bond and the provisions for the registration of the Bond and for the approval
of the Bond by the Secretary of the Local Government Commission are to be in substantially the form set
forth in the Appendix A hereto.
3
PPAB 2056676v2
Section 10. Unless the Pricing Certificate provides otherwise, the District shall cause the
portion of the proceeds of the Bond necessary to defease and redeem the Refunded Bonds to be deposited
with the Escrow Agent to be applied as set forth in the Escrow Agreement. Any remaining portion of the
proceeds of the Bond shall be deposited as set forth in the District Bond Purchase Agreement.
Section 11. Actions taken by officials of the District to select paying and transfer agents, and
a bond registrar, or alternate or successor agents and registrars pursuant to Section 159E -8 of the
Registered Public Obligations Act, Chapter 159E of the General Statutes of North Carolina, are hereby
authorized and approved.
Section 12. The Commission is hereby requested to sell the Bond through a negotiated sale to
the County pursuant to the terms of the District Bond Purchase Agreement at a true interest cost not to
exceed 4.00 %. The form and content of the District Bond Purchase Agreement are in all respects
approved and confirmed. The Chairman of the Board, the County Manager or the Finance Officer, each
acting on behalf of the District, is hereby authorized, empowered and directed, individually and
collectively, to execute and deliver the District Bond Purchase Agreement for and on behalf of the
District, including necessary counterparts, in substantially the form and content presented to the District,
but with such changes, modifications, additions or deletions therein as he or she may deem necessary,
desirable or appropriate, the execution thereof to constitute conclusive evidence of the Board's approval
of any and all such changes, modifications, additions or deletions therein. From and after the execution
and delivery of the District Bond Purchase Agreement, the Chairman of the Board, the County Manager
and the Finance Officer, each acting on behalf of the District, are hereby authorized, empowered and
directed, individually and collectively, to do all such acts and things and to execute all such documents as
may be necessary to carry out and comply with the provisions of the District Bond Purchase Agreement
as executed.
Section 13 The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are hereby authorized and directed, individually
and collectively, to cause the Bond to be prepared and, when the Bond has been duly sold by the
Commission, to execute the Bond and to turn the Bond over to the registrar and transfer agent of the
District for delivery to the County or its assignee.
Section 14. The Chairman of the Board, the County Manager, the Finance Officer and the
Clerk to the Board, each acting on behalf of the District, are authorized and directed, individually and
collectively, to execute and deliver for and on behalf of the County any and all additional certificates,
documents, opinions or other papers and perform all other acts as may be required by the documents
contemplated hereinabove or as may be deemed necessary or appropriate in order to implement and carry
out the intent and purposes of this Resolution.
Section 15. Portions of this Resolution may be amended or supplemented from time to time
without the consent of the registered owner of the Bond if, in the opinion of nationally recognized bond
counsel, such amendment or supplement would not adversely affect the interests of the owner of the Bond
and would not cause the interest on the Bond to be included in the gross income of a recipient thereof for
federal income tax purposes. Without the express consent of the owner of the Bond, no modification or
amendment to the Bond may reduce the principal amount of the Bond, reduce the interest rate payable on
the Bond, extend the Bond's maturity or the times for paying interest, change the monetary medium in
which principal and interest is payable or reduce the percentage of consent required for amendment or
modification.
Any act done pursuant to a modification or amendment consented to by the owner of the Bond is
binding on the owner of the Bond and will not be deemed an infringement of any of the provisions of this
4
PPAB 2056676v2
Resolution, whatever the character of the act may be, and may be done and performed as fully and freely
as if expressly permitted by the terms of this Resolution, and after consent has been given, the owner of
the Bond shall have no right or interest to object to the action, to question its propriety or to enjoin or
restrain the District from taking any action pursuant to a modification or amendment.
If the District proposes an amendment or supplemental resolution to this Resolution requiring the
consent of the owner of the Bond, the Registrar shall, on being satisfactorily indemnified with respect to
expenses, cause notice of the proposed amendment to be sent to such owner by first -class mail, postage
prepaid, to the address of such owner as it appears on the registration books; but the failure to receive
such notice by mailing by any owner, or any defect in the mailing thereof, will not affect the validity of
any proceedings pursuant hereto. Such notice shall briefly set forth the nature of the proposed
amendment and shall state that copies thereof are on file at the principal office of the Registrar for
inspection by the owner of the Bond. If, within 60 days or such longer period as shall be prescribed by
the District following the giving of such notice, the owner of the Bond has consented to the proposed
amendment, the amendment will be effective as of the date stated in the notice.
Section 16. Nothing in this Resolution precludes (a) the payment of the Bond from the
proceeds of refunding bonds or (b) the payment of the Bond from any legally available funds.
If the District causes to be paid, or has made provisions to pay, on maturity or on redemption
before maturity, to the owner of the Bond the principal of the Bond (including interest to become due
thereon) and, premium, if any, on the Bond, through setting aside trust funds or setting apart in a reserve
fund or special trust account created pursuant to this Resolution or otherwise, or through the irrevocable
segregation for that purpose in some sinking fund or other fund or trust account with an escrow agent or
otherwise, moneys sufficient therefor, including, but not limited to, interest earned or to be earned on
Federal Securities, and the principal of the Bond (including premium, if any, and interest thereon) shall no
longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution
requires the deposit of more than such Federal Securities as may be sufficient, taking into account both
the principal amount of such Federal Securities and the interest to become due thereon, to implement any
such defeasance.
If such a defeasance occurs and after the District receives an opinion of a nationally recognized
accounting firm that the segregated moneys or Federal Securities together with interest earnings thereon
are sufficient to effect a defeasance, the District shall execute and deliver all such instruments as may be
necessary to effect such a defeasance and desirable to evidence such release, discharge and satisfaction.
Provisions shall be made by the District, for the mailing of a notice to the owners of the Bond that such
moneys are so available for such payment.
Section 17. All acts and doings of the Chairman of the Board, the County Manager, the
Finance Officer, the Deputy Finance Officer and the Clerk to the Board, each acting on behalf of the
District, that are in conformity with the purposes and intent of this Resolution and in the furtherance of
the issuance of the Bond and the execution, delivery and performance of the District Bond Purchase
Agreement are in all respects approved and confirmed.
Section 18. If any one or more of the agreements or provisions herein contained is held
contrary to any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or for any reason whatsoever is held invalid, then such covenants,
agreements or provisions are null and void and separable from the remaining agreements and provisions
and will in no way affect the validity of any of the other agreements and provisions hereof or of the Bond
authorized hereunder.
5
PPAB 2056676v2
Section 19. The District agrees to provide the County whatever infouuation that may be
necessary for the County to comply with its undertaking with respect with Rule 15c2 -12 (the "Rule ")
promulgated by the Securities and Exchange Commission (the "SEC") and for the benefit of the
Registered Owners and beneficial owners of the LOBs.
The provisions of this Section shall terminate on payment, or provision having been made for
payment in a manner consistent with the Rule, in full of the principal of and interest with respect to
the LOBs.
Section 20. All resolutions or parts thereof of the Board in conflict with the provisions herein
contained are, to the extent of such conflict, hereby superseded and repealed.
Section 21. This Bond Resolution is effective on its adoption.
6
PPAB 2056676v2
On motion of Commissioner Springle, and seconded by Commissioner Miller, the foregoing
resolution entitled "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF
HARNETT, NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHWEST WATER AND
SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A
NOT TO EXCEED $3,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND,
SERIES 2013 OF THE SOUTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH
CAROLINA" was duly adopted by the following vote:
Ayes: 5
Nays: 0
7
PPAB 2056676v2
STATE OF NORTH CAROLINA )
)
COUNTY OF HARNETT
)
SS:
I, Margaret Regina Wheeler, Clerk to the Board of Commissioners of the County of Harnett,
North Carolina, "A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE COUNTY OF HARNETT,
NORTH CAROLINA, SITTING AS THE GOVERNING BODY OF THE SOUTHWEST WATER AND SEWER
DISTRICT OF HARNETT COUNTY, NORTH CAROLINA, PROVIDING FOR THE ISSUANCE OF A NOT TO
EXCEED 53,000,000 GENERAL OBLIGATION REFUNDING WATER AND SEWER BOND, SERIES 2013 OF
THE SOUTHWEST WATER AND SEWER DISTRICT OF HARNETT COUNTY, NORTH CAROLINA" adopted
by the Board of Commissioners of the County of Harnett, North Carolina, sitting as the governing body of
Southwest Water and Sewer District of Harnett County, North Carolina, at a regular meeting duly held on
the 41h day of March, 2013.
WITNESS my hand and the corporate seal of said District, this the 4th day of March, 2013.
(DISTRICT SEAL)
PPAB 2056676v2
C Z�
Margar- `Regina Whe- 'r
Clerk to the Board of . •mmissioners
County of Harnett, North Carolina