HomeMy WebLinkAbout10131992
788
SOLID WASTE TO ENERGY
PROPOSAL PRESENTATION
AUTHORIZATION FOR
UNDERWRITING SERVICES
RE: COUNTY'S PURCHASE
OF METRO SYSTEM
RESOLUTION RE:
COUNTY'S PURCHASE OF
METRO SYSTEM
WEST CENTRAL IV & S
DISTRICT MEETING
RESOLUTION RE: BOND
ANTICIPATION NOTES
(IV. C.)
EAST CENTRAL W & S
DISTRICT MEETING
RESOLUTION RE: ENGINEER-
ING SERVICES FOR
E.C.
HARNETT COUNTY BOARD OF Cm1MISSIONERS SPECIAL MEETING, OCTOBER 13, 1992
The Harnett County Board of Commissioners met in special session on
Tuesday, October 13, 1992, in the Commissioners Meeting Room, County
Office Building, Lillington, North Carolina, with the following
members present: Beatrice Bailey Hill, Walt Titchener, Bill Shaw,
Mack Reid Hudson, and Chairman Lloyd G. stewart presiding. Others
present were Dallas H. Pope, County Manager; W. Glenn Johnson, County
Attorney; Vanessa W. Young, Finance Officer and Clerk to the Board;
and Kay S. Blanchard, Recording Secretary.
Chairman Stewart called the meeting to order at 7 p.m. and
Commissioner Beatrice Bailey Hill offered the invocation.
Dallas H. Pope, County Manager, briefed the group that the purpose of
the special meeting was to receive briefings on a Solid Waste to
Energy proposal, consider proposed resolution authorizing the
execution of documents associated with the County's purchase of the
Northeast Metro System, and also during this meeting the Board would
sit in its capacity as the governing body of West Central Water and
Sewer District of Harnett County and East Central Water and Sewer
District of Harnett County.
A presentation concerning a Solid Waste to Energy proposal for Harnett
County, which also involves Bladen, Cumberland and Hoke Counties, was
presented to the Board by George Armistead, President, and Alan
McDonald, Vice President, VEDCO Energy Corporation.
C. T. Clayton, Vice President, McKim & Creed Engineers, consulting
firm, presented an overview of the current Harnett County Solid Waste
Program and analysis of solid waste disposal options for the County.
Commissioner Titchener made a motion that the whole matter be put on
hold until the new Board takes over. Commissioner Hill seconded the
motion and it failed with the following vote: Ayes 2, Noes 3,
Absent O.
W. Glenn Johnson, County Attorney, was excused from the meeting due to
other obligations.
John M. Phelps, II, Public Utilities Attorney, presented revised
proposals from J. Lee Peeler & Co., Inc. for proposed underwriting
services concerning the County's purchase of the Northeast Metro
System. Commissioner Hudson made a motion that J. Lee Peeler & Co.,
Inc. be directed to proceed in accordance with its proposal dated
October 13, 1992, by marketing with a blend of retail and
institutional sales, with a rating and an underwriter's discount of
$17.50 per $1,000 value. Commissioner Shaw seconded the motion and it
passed with the following vote: Ayes 4, Noes 1, Absent O.
John M. Phelps, II, Public Utilities Attorney, presented for the
Board's consideration a resolution authorizing the execution of
documents associated with the County's purchase of the Northeast Metro
System. Commissioner Shaw moved for adoption of the resolution.
Commissioner Hudson seconded the motion and it passed with the
following vote: Ayes 4, Noes 1, Absent O. The resolution is
copied in full at the end of these minutes as Attachment 1.
Chairman stewart called to order a meeting of the Board sitting in its
capacity as governing body of the West Central Water and Sewer
District of Harnett County.
John M. Phelps, II, Public Utilities Attorney, presented a resolution
authorizing issuance of Water Bond Anticipation Notes for the West
Central Water and Sewer District project. Commissioner Shaw moved for
adoption of the resolution. Commissioner Hudson seconded the motion
and it passed with a unanimous vote. The resolution is copied in full
at the end of these minutes as Attachment 2.
Chairman Stewart ldjOUrned the meeting of the Board sitting in its
capacity as goverhing body of the West Central Water and Sewer
District of Harnett County.
I
Chairman Stewart called to order a meeting of the Board sitting in its
capacity as governing body of the East Central Water and Sewer
District of Harnett County.
John M. Phelps, II, Public Utilities Attorney, presented a resolution
regarding procurement of engineering services for East Central Water
and Sewer District of Harnett County. Commissioner Hudson moved for
adoption of the resolution. Commissioner Shaw seconded the motion and
it passed with the following vote: Ayes 4, Noes 1, Absent O.
The resolution is copied in full at the end of these minutes as
Attachment 3.
789
Chairman Stewart adjourned the meeting of the Board sitting in its
capacity as governing body of the East Central w~ter and Sewer
District of Harnett County.
ADJOURNMENT
There being no further business, the Harnett County Board of
Commissioners special meeting, October 13, 1992, duly adjourned at 9
p.m.
/l Ii
"k /
d.. .'-CV-
. loyd G.
c~ ::.1 ,. -
/'J / ()~'O/J"
Stewart, Chairman
~w.~ng~
Ko-;r J Ma~J:jlll/LtI
'Kay,S. Blanchard, Secretary
A TT ACHHENT 1.
EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS
The Board of Commissioners (the "Board") of the County of Harnett, North Carolina
(the "County"), met in special session in the Harnett County Office Building, 102 E. Front
Street, Lillington, North Carolina, at 7:00 o'clock P.M., on October 13, 1992. The
following Commissioners were:
PRESENT: Beatrice Bailey Hill, Walt Titchener, Bill Shaw, ~~ack Reid
Hudson, Lloyd G. Stewart
ABSENT: None
The Chainnan stated that a purpose of the meeting was to consider and take action on
a resolution concerning the installment fmancing of the purchase by the County of certain
water production, storage and distribution facilities (the "Facilities") from Northeast
Metropolitan Water District of Harnett County (the "Northeast").
Commissioner Shaw then introduced the following resolution which was
read by title, and moved that it be adopted:
RESOLUTION APPROVING AN INSTALLMENT FINANCING
CONTRACT AND TIIE SALE OF CERTIFICATES OF PARTICIPATION
AND AUlHORIZING THE EXECUTION AND DELIVERY OF
DOCUMENTS IN CONNECTION THEREWITH.
WHEREAS, there have been available at this meeting fonns of the following:
(I) A draft dated October 2, 1992 of the fonn oflnstallment Financing Contract
dated as of November I, 1992 (the "Contract") between the County and the
Harnett County Public Facilities Corporation (the "Corporation");
(2) A draft Gated October 2, 1992 of the fonn of Deed of Trust and Security
Agreeme.t dated as of November I, 1992 (the "Deed of Trust"), from the
County to a trustee for the benefit of the Corporation;
(3) A draft dated October 2, 1992 of the fonn of Indenture of Trust dated as of
November I, 1992 (the "Indenture") between the Corporation and First-
Citizens Bank & Trust Company, as trustee (the "Trustee");
(4) A draft dated October 2, 1992 of the fonn of Preliminary Official Statement to
be dated on or about October 14, 1992 (the "Preliminary Official Statement")
relating to Certificates of Participation in revenues to be received by the
Corporation under the Contract (the "Certificates");
(5) A draft dated September 11, 1992 of the fonn of Certificate Purchase
Agreement to be dated on or about October 23, 1992 (the "Purchase
Contract") between J. Lee Peeler & Company, Inc. (the "Underwriter"), the
County and the Corporation;
(6) A draft dated October I, 1992, of the fonn of Asset Purchase Agreement to be
dated on Jr about Oc~ober 2, 1992 (the" Asset Purchase Agreement")
between the County Uld Northeast.
790
WHEREAS, the Board duly conducted a public hearing on August 17, 1992 regarding
the Contract to fmance to purchase of the Facilities and, by resolution duly adopted on
August 24, 1992, the installment fmancing of the purchase of such Facilities was approved
subject to further action of the Board; and
WHEREAS, the North Carolina Local Government Commission approved the
County's application for approval of the Contract on September 1, 1992; and
WHEREAS, the Board desires to approve the Contract and the sale of the Certificates
pursuant to the Purchase Contract and to authorize other actions in connection therewith;
NOW, TIIEREFORE, BE IT RESOLVED by the Board, as follows:
1. All actions of the County effectuating the proposed fmancing are hereby
approved, ratified and authorized pursuant to and in accordance with the transactions
contemplated by the documents referred to above.
2. Each of the Contract, the Deed of Trust, the Purchase Contract and the Asset
Purchase Agreement, in the fonn submitted to this meeting, is hereby approved, and the
Chainnan of the Board, the County Manager and the Clerk to the Board, as the case may be,
are hereby authorized and directed to execute and deliver each of such documents on behalf
of the County, with such changes, insertions or omissions as they may approve, their
execution thereof to constitute cOJclusive evidence of their approval.
3. The Indenture, in tile fonn submitted to this meeting, is hereby approved in
substantially such fonn, with such changes, insertions or omissions as appropriate.
4. Each of the Preliminary Official Statement and the fmal Official Statement in
the fonn of the Preliminary Official Statement submitted to this meeting, is hereby approved,
in substantially such fonn, with such changes, insertions and omissions as appropriate, and
the use thereof in connection with the public offering and sale of the Certificates is hereby
authorized. The Chainnan of the Board and the County Manager, as the case may be, are
hereby authorized and directed to execute and deliver on behalf of the County, the
Preliminary Official Statement and the fmal Official Statement in substantially such fonn,
with such changes, insertions and omissions as they may approve, their execution thereof to
constitute conclusive evidence of their approval.
5. The Chainnan of the Board, the County Manager, the Clerk to the Board, the
Finance Officer and the County's Public Utilities Attorney are hereby authorized to take any
and all such further action and to execute and deliver such other documents, including
without limitation, rebate compliance agreement as may be necessary or advisable to carry
out the intent of this Resolution and to effect the installment fmancing pursuant to the
Contract. Without limiting the generality of the foregoing, the Chainnan of the Board, the
County Manager, the Clerk to the Board, the Finance Officer and the County's Public
Utilities Attorney are authorized to approve all details of the fmancing, including without
limitation, the amount advanced uder the Contract (which shall not exceed $3,100,000), the
annual payments under the Contn.ct, the interest rates with respect to such payments (which
shall not exceed a true interest cost of 7.25 % per annum), the tenn of the Contract (which
shall not exceed 17 years), and the discount below the principal amount of the Certificates at
which the Certificates are sold to the Underwriter (which shall not exceed 3%). Execution
of the Contract by the Chainnan of the Board or the County Manager, as the case may be,
shall conclusively evidence approval of all such details of the fInancing.
6. The County hereby represents that it reasonably expects that the County,
together with all subordinate entities thereof and any other entities which issue obligations on
behalf of the County, will not issue more than $10,000,000 of tax-exempt obligations (other
than private activity bonds, except for qualified 501(c)(3) bonds) during calendar year 1992.
The County hereby designates its obligations under the Contract and the Certificates as
"qualified tax-exempt obligations" for the purposes of Section 265(b)(3) of the Code.
7. This Resolution shall become effective immediately upon its adoption.
Commissioner Hudson
following vote:
seconded the motion and the motion was adopted by the
AYES: Four
I
NAYS: One
ATTACHMENT 2.
791
EXTRACTS FROM MINUTES OF BOARD OF COKKISSIONERS __
HARNETT COUNTY, SITTING AS THE GOVERNING BODY OF
WEST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY
Comr.liss ioner Sha\1I
presented the
following resolution and moved that it be adopted:
WHEREAS, the bond order hereinafter described has taken
effect and the Board of Commissioners of the County of Harnett,
sitting as the governing body of West Central Water and Sewer
District of Harnett County, desires to borrow money for the
purpose for which bonds are authorized to be issued by said bond
order in anticipation of the receipt of the proceeds of the sale
of said bonds as hereinafter provided; NOW, THEREFORE,
BE IT RESOLVED by the Board of Commissioners of the
County of Harnett, sitting as the governing body of West Central
Water and Sewer District of Harnett county (the "Issuer"), as
follows:
(1) The sum of $1,466,000 will be borrowed by the
Issuer in anticipation of the receipt of a $1,466,000 portion of
the proceeds of the sale of bonds authorized to be issued by the
water bond order, adopted by the Board of Commissioners of the
county of Harnett, sitting as the governing body of the Issuer,
on December 15, 1986, for the purpose for which said bonds are
authorized to be issued. Negotiable notes, each designated "Water
Bond Anticipation Note," shall be issued for said sum so
borrowed.
(2) Said notes shall be dated November 3, 1992, shall
be payable June 2, 1993 and shall bear interest from their date
at a rate which shall not exceed twelve per centum (12%) per
annum. Such interest shall be payable at the maturity of the
said notes. Each of said notes shall be signed by the Chairman
of the governing body of the Issuer and the Clerk of the Issuer
and the seal of the Issuer shall be affixed to each of said
notes.
(3) The power to fix the rate of interest to be borne
by said notes and to determine the denomination or denominations
of the notes and the place of payment of the notes is hereby
delegated to the Chairman of the governing body of the Issuer and
Clerk of the Issuer who are hereby authorized and directed to
cause said notes to be prepared and to execute said notes when
they shall have been sold by the Local Government Commission of
North Carolina.
792
(4) The Chairman of the governing body of the Issuer
and Clerk of the Ispuer are hereby authorized to make application
to the Local Government Commission of North Carolina for its
approval of said notes in the manner prescribed by The Local
Government Finance Act. Said Local Government Commission is
hereby requested to sell the notes in the manner prescribed by
said Act. Said notes, when they shall have been sold by said
Commission in the manner provided by law and when they shall have
been executed in the manner prescribed by this resolution, shall
be turned over to the State Treasurer of the State of North
Carolina for delivery to the purchasers to whom they may be sold
by said commission.
(5) The Issuer covenants to comply with the provisions
of the Internal Revenue Code of 1986, as amended (the "Code"), to
the extent required to preserve the exclusion from gross income
of interest on the notes for Federal income tax purposes.
(6) The Issuer hereby represents that (i) the proposed
notes are not private activity bonds as defined in the Code and
(ii) the Issuer, together with any subordinate entities or any
entities which issue obligations on behalf of the Issuer,
reasonably expects that it will not issue more than $10,000,000
tax-exempt obligations (other than private activity bonds) during
the current calendar year. In addition, the Issuer hereby
designates the above-mentioned notes as "qualified tax-exempt
obligations" for the purposes of section 265(b) (3) of the Code.
(7) The power to make any election on behalf of the
Issuer with respect to the arbitrage rebate provisions of the
Code applicable to the notes is hereby delegated to the Chairman
of the governing body and Finance Officer of the Issuer.
The motion having been duly seconded and the resolution
having been considered, it was adopted by the following vote:
AYES: 5
NAYS: 0
A TT ACHMENT 3.
793
RESOLUTION REGARDING
PROCUREMENT OF ENGINEERING SERVICES
(EAST CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY)
THAT WHEREAS, the East central Water and Sewer District of
Harnett County (the "District") has heretofore made application to
the Farmers Home Administration of the United States Department of
Agriculture for a loan and/or grant to be used to fund costs for
the installation of water distribution facilities within the
District (the "Project"); and
WHEREAS, the Board or Commissioners of the County of Harnett,
sitting as the governing body of the District (the "Board") desires
to continue the planning for the Project and in association
therewith wishes to proceed with the process of procuring an
engineer for the Project; and
WHEREAS, the Board desires to employ an engineering firm which
is competent and qualified to provide services, but finds that in
order to obtain the best pricing available, it is of the utmost
importance to consider the expense of obtaining the same; and
WHEREAS, the Board is aware of the declaration of public
policy regarding selection of engineers as expressed in N.C. Gen.
Stat. S 143-64.31 et. seq.; and
WHEREAS, such procedures as outlined in said statutes are not
clear and may require the expenditure of unnessary monies in order
to comply with the same; and
WHEREAS, N.C. Gen. Stat. S 143-64.32 authorizes units of local
government to exempt particular projects from the provisions of
N.C. Gen. Stat. S 143-64.31 in the sole discretion of the unit of
local
stating
the
therefor
and
the
government,
reasons
circumstances attendant thereto; and
WHEREAS, the Board desires to exempt the Project from said
provisions and further desires to provide instructions to the
appropriate representatives of the District regarding the selection
procedure, all as set forth below.
NOW, THEREFORE, BE IT RESOLVED by the Board that:
1. Pursuant to N.C. Gen. Stat. S 143-64.32, the Project and
all matters associated therewith shall be and hereby are declared
exempt from the provisions of Article 3D, Chapter 143 of the
General Statutes of North Carolina (N.C. Gen. Stat. S 143-64.31
et. s eq. ) .
2. The following reasons therefor and the circumstances
attendant thereto are stated:
a. Due to the desire of the Board to obtain the best pricing
available and to hold costs at a minimum, the Board finds
that it is vital that the expense of the engineering
services desired be studied in the District's evaluation
process.
b. The District is uncertain as to what procedures it must
follow under the statutes cited above and therefore
desires to elimiate any difficulties it may incur related
thereto.
794
c. The District desires to procure the appropriate services
as described pursuant to the least costly procedure
available.
3. The Board hereby authorizes and directs the individuals
named below to proceed with the selection process for an engineer
as follows:
I
a. The Public Utilities Director is instructed to complete
a Request for Proposals with respect to the Project to
be mailed or otherwise supplied to engineering firms
which have shown reasonable interest in providing
services within Harnett County.
Such Request for
Proposals shall set forth the specifications and other
appropriate information relative to the scope of work
desired for the project, and shall require each firm to
submit with its proposal a fee which it shall charge for
the services to be provided. Proposals for the Project
shall be forwarded to the Harnett County Manager.
b. The Harnett County Manager is instructed to cause a
review and evaluation to be made,
through such
administrative function as is appropriate, of such
proposals as are received in his office, taking into
fee to be charged therefor.
The County Manager shall
account the demonstrated competence and qualifications
for the type of professional services required and the
report his findings and any recommendations he may have
to the Board for further instructions.
Duly adopted this 13th day of October, 1992, upon motion made
by
Commissioner
Hudson
seconded
by
Commissioner
Shaw
and adopted by the
following vote:
Ayes
4
Noes
1
Absent
o
Board of Commissioners of the
County of Harnett sitting as
the governing body of the
East central Water and Sewer
District of Harnett County
By,
At~t:
--V ,~~
Vanessa W. Young,
Clerk to the Boa d and
East Central Water and Sewer
District of Harnett County