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HomeMy WebLinkAbout09271996 .,.----..,.----,..--. ..._--<, -- 0"'7 HARNETT COUNTY BOARD OF COMMISSIONERS SPECIAL MEETING, SEPTEMBER 27, 1996 The Harnett county Board of Commissioners met in special session on Friday, September 27, 1996, in the Commissioners Meeting Room, County Office Building, Lillington, North Carolina. Members present: H. L. Sorrell, Jr., Chairman Beatrice Bailey Hill, Vice Chairman Dan B. Andrews . Joseph T. Bowden Walt Titchener Staff present: Neil Emory, County Manager Wm. A. (Tony) Wilder, Assistant County Manager Alton Bain, Public Utilities Attorney Vanessa W. Young, Finance Officer Kay S. Blanchard, Clerk to the Board Chairman Sorrell called the meeting to order and stated that the SOUTH CENTRAL Board would consider certain matters sitting as the governing WATER & SEWER body of South Central Water & Sewer District. DISTRICT Al Bain, Public Utilities Attorney, presented a proposed resolution for the Board's consideration. Commissioner Bowden moved for adoption of the resolution. Commissioner Titchener seconded the motion and it passed with a unanimous vote. (Attachment 1) Chairman Sorrell closed the South Central Water & Sewer District portion of the meeting. Neil Emory, County Manager, presented a proposed resolution RESOLUTION RE: regarding Hurricane Fran Disaster Relief Fund. Commissioner HURRICANE FRAN Titchener Moved for adoption of the resolution. Commissioner DISASTER RELIEF Bowden seconded the motion and it passed with a unanimous vote. FUND (Attachment 2) The Board congratulated Chairman Sorrell on receiving the Mid- . CHAIRMAN SORRELL Carolina M. H. "J.ack" Brock Award at the Annual Mid-Carolina RECEIVED M.H. Council of Governments Awards Dinner. "JACK" BROCK AWARD There being no further business, Commissioner Bowden moved for the special meeting, September 27, 1996, to adjourn. Commissioner Titchener seconded the motion and it passed with a unanimous vote. The meeting adjourned at 9:15 p.m. \ (~;(fe~~ K6~::rBLch~the Board Attachment 1. EXTRACTS FROM MINUTES OF BOARD OF COMMISSIONERS, SITTING AS THE GOVERNING BODY OF THE SOUTH CENTRAL WATER AND S.l!.tn.l!.tR DISTRICT OF HARNETT COUNTY . The Board of Commissioners of the County of Harnett, sitting as the governing body of the South Central Yater and Sewer District of Harnett County, convened in a special setting during its meeting held on September 27, 1996 at 9:00 a.m. in the Harnett County Office Building, 102 East Front Street, Lillington, North Carolina. Board Members present were: H.L. Sorrell, Jr., (Chairman), Yalt Titchener, and Joseph T. Bowden. Board members Beatrice Bailey Hill and Dan B. Andrews were not present. ---~ _.._"-.~ ~------~-_....~--- - --~----- 4Sg * * * * * ~c:Mcr'?'" ~~ presented the following resolu- tion and moved that it be adopted: WHEREAS, the bond order hereinafter described has taken effect, and it is desirable to make provision for the issuance of bonds authorized by said bond order; NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the County of Harnett, sitting as the governing body of the South . Central Water and Sewer District of Harnett County, North Carolina (the "Issuer"), as follows: l. Pursuant to and in accordance with 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 6, 1993, the Issuer shall issue its bonds of the aggregate principal amount of $1,140,000. The bonds shall be designated "General Obligation Water Bonds, Series 1996" (hereinafter referred to as the "Bonds"). The period of usefulness of the capital project to be financed by the issuance of the Bonds is a period of forty years computed from October 1, 1996. 2 . The Bonds shall mature as hereinafter set forth. The Bonds shall be issuable in the denomination of $5,000 each or any integral multiple thereof, shall be numbered so as to uniquely designate each Bond and such numbering shall be in accordance with the system of the hereinafter designated bond registrar of the Issuer and shall be payable in annual install- ments on June 1 in each year as follows: Principal Principal Year _~.mount Year Amount 199B $40,000 2007 $40,000 1999 40,000 200B 40,000 2000 40,000 2009 40,000 2001 40,000 2010 160,000 . 2002 40,000 2011 160,000 2003 40,000 2012 160,000 2004 40,000 2013 160,000 2005 40,000 2014 20,000 2006 40,000 3. The Bonds shall be dated October 1, 1996 and shall bear interest from their date at a rate or rates which shall be hereafter determined upon the public sale thereof and such interest shall be payable on June 1, 1997 and semi-annually thereafter on June 1 and December 1. 4. The Bonds shall be registered as to principal and interest, and shall bear the facsimile signatures of the Chairman of the governing body of the Issuer and the Clerk of the Issuer. A facsimile of the corporate seal of the Issuer shall be imprinted upon each of the Bonds. s. Interest on the Bonds shall be paid by check by First-Citizens Bank and Trust Company, Raleigh, North Carolina, as paying agent, and mailed to the registered owner of record as of the fifteenth day of the calendar month next preceding the interest payment date at his address as it appears on the bond registry books of First-Citizens Bank & Trust Company, Raleigh, North Carolina, as bond registrar and transfer agent. Principal of the Bonds shall be paid by check by First-Citizens Bank & . Trust Company, upon presentation of the Bonds for payment. 6. The Bonds maturing on and after June 1, 2007 shall be subject to redemption prior to their stated maturities at the option of the Issuer on or after June 1, 2006, in whole at any time or in part on any interest payment date, at a redemption price equal to the principal amount of each Bond. to be redeemed together with accrued interest thereon to the redemption date plus a redemption premium of one-half of one percent (1/2 of 1%) of the principal amount of each Bond to be redeemed for each period of twelve months or part thereof between the redemption date and the maturity date of each Bond to be redeemed. provided that such premium shall not exceed two percent (2%) of such principal amount. If less than all of the Bonds of any maturity " ~") a >'...- . /1 ~ >...... (... , <'" 1..__~r '...._ ; are called for redemption, the Bonds to be redee~ed shall be selected in such manner as the Issuer may determ~ne. If less than all of the Bonds of different maturities are called for redemption, the Bonds to be redeemed shall be called in the inverse order of their maturities. If less than all of the principal amount of a single Bond is to be redeemed, the Issuer shall exchange a Bond of the denomination representing the portion of the Bond not redeemed to the registered owner in exchange for the Bond a portion of which is to be redeemed. Whenever the Issuer shall elect to redeem Bonds, notice of such redemption of Bonds, stating the redemption date, redemption price and identifying the Bonds or portions thereof to be . redeemed by reference to their numbers and further stating that on such redemption date there shall become due and payable upon each Bond or portions thereof so to be redeemed, the principal thereof, redemption premium and interest accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, shall be given not less than 30 days nor more than 4S days prior to the redemption date in writing to the registered owners, by pre-paid first class mail, at their addresses as such addresses appear on the records of First-Citizens Bank & Trust Company, as bond registrar, but any failure in respect of such mailing will not affect the validity of the redemption. 7. The Bonds and the provisions for the registration of the Bonds, for the approval of the Bonds by the Secretary of the Local Government Commission and for authentication of the Bonds by First-Citizens Bank & Trust Company, as transfer agent and bond registrar, to be endorsed thereon shall be in substantially the following form: NO. R- $ United States of America State of North Carolina . SOUTH CENTRAL WATER AND SEWER DISTRICT OF HARNETT COUNTY GENERAL OBLIGATION WATER BOND, SERIES 1996 INTEREST MA~-ut<.ITY DATE OF RATE DATE ORIGINAL ISSUE CUSIP June 1, October 1, 1996 REGISTERED OWNER: PRINCIPAL SUM: DOLLARS The South Central Water and Sewer District of Harnett County (hereinafter referred to as "District"), a county water and sewer district of the State of North Carolina, acknowledges itself indebted and for value received hereby promises to pay to the registered owner named above, on the date specified above, upon 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 rate per annum specified above, payable June 1, 1997 and semi-annually thereafter on June . 1 and December 1 of each year. Principal of this bond is payable by check by First-Citizens Bank & Trust Company, Raleigh, North Carolina, as paying agent, or by the duly appointed alternate or successor paying agent (the "Paying Agent"), in such coin or currency of the United States of America as at the time of payment shall be legal tender for the payment of public and private debts. Interest on this bond is payable by check by the Paying Agent mailed to the registered owner hereof at his address as it appears on the bond registry books of First-Citizens Bank & Trust Company, Raleigh, North Carolina, as transfer agent and bond registrar (the "Transfer Agent"), at the close of business on the fifteenth day of the calendar month next preceding each interest payment date. ~._-----~-,.- -- -- ------.---.-~---_.._~ -~---,~-~----~---.~-~- -- ----------~----.-- -.-.----- 490 This bond is transferable by the registered owner hereof or his duly authorized attorney at the principal office of the Transfer Agent, upon surrender of this bond, accompanied by a duly executed instrument of transfer in form and with guaranty of signature satisfactory to the Transfer Agent, and upon payment of any taxes or other governmental charges incident to such transfer. Upon any such transfer a new registered bond without coupons of the same maturity and in the same aggregate principal amount will be issued to the transferee. The person in whose name this bond is registered shall be deemed the owner hereof for all purposes, and the District and the Transfer Agent shall not be affected by any notice to the contr~ry. . 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 Finance Act of the State of North Carolina, as amended, a bond order adopted by the Board of Commissioners of the County of Harnett, sitting as the governing body of the District, on December 6, 1993 (the "Bond Order") and a resolution adopted by said Board (the "Resolution" ) to pay capital costs of improving water facilities. The issuance of this bond and the contracting of the indebtedness evidenced thereby have been approved by a majority of the qualified voteres of the District voting at an election held in the District on January 18, 1994. The bonds maturing on and after June 1, 2007 shall be subject to redemption prior to their stated maturities at the option of the District on or after June 1, 2006, in whole at any time or in part on any interest payment date, at a redemption price equal to the principal amount of each bond to be redeemed together with accrued interest thereon to the redemption date plus a redemption premium of one-half of one percent (1/2 of 1%) of the principal amount of each bond to be redeemed for each period of twelve months or part thereof between the redemption date and the maturity date of each bond to be redeemed, provided that such premium shall not exceed two percent (2%) of such principal amount. If less than all of the bonds of any maturity are called for redemption, the bonds to be redeemed shall be selected in such manner as the District may determine. rf less . than all of the bonds of different maturities are called for redemption, the bonds to be redeemed shall be called in the inverse order of their maturities. If less than all of the principal amount of a single bond is to be redeemed, the District shall exchange a bond of the denomination representing the portion of the bond not redeemed to the registered owner in exchange for the bond a portion of which is to be redeemed. Whenever the District shall elect to redeem bonds, notice of such redemption of bonds, stating the redemption date, redemption price and identifying the bonds or portions thereof to be redeemed by reference to their numbers and further stating that on such redemption date there shall become due and payable upon each bond or portions thereof so to be redeemed, the principal t.hereof, redemption premium and interest accrued to the redemption date and that from and after such date interest thereon shall cease to accrue, shall be given not less than 30 days nor more than 45 days prior to the redemption date in writing to the registered owners, by pre-paid first class mail, at their addresses as such addresses appear on the records of First-Citizens Bank &: Trust Company, as bond registrar, but any failure in respect of such mailing will not affect the validity of the redemption. 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 shall not be valid or become obligatory for any purpose or be e!,' : tled to any benefit or security under the Bond Order or the Resolution until the certifications hereon shall have been signed by the authorized representatives of the Local Government Commission of North Carolina and First-Citizens Bank &: Trust C""...,to'any. '-:.. ..~ ~~ (~1 ""~-" ,',,;- IN WITNESS WHEREOF, the District has caused this bon~ to bear the facsimile signatures of the Cha~rma~ of the govern1ng body of the District and the Clerk of the,D1str1ct ~nd ~ fac- simile of the corporate seal of the Distr1ct to be 1mpr1nted hereon, and this bond to be dated October 1, 1996. (facsimile sianaturel Chairman, governing body of South Central Water and Sewer District of Harnett County . (DISTRICT) (SEAL) (facsimile sianature) Clerk, South Central Water and Sewer District of Harnett County TRANSFER AGENT'S CERTIFICATE OF AUTHENTICATION This bond is one of the bonds of the issue designated herein and issued under the provisions of the within-mentioned bond order and resolution. FIRST-CITIZENS BANK & TRUST COMPANY BY: Authorized Signatory Date of Authentication: . CERTIFICATE OF LOCAL GOVERNMENT COMMISSION The issuance of the within bond has been approved under the provisions of The Local Government Bond Act of North Carolina. (facsimile sianature) Robert M. High Secretary, Local Government Commission AS S IGm.u:.~..A. FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto , the within Bond and irrevocably appoints attorney-in-fact, to transfer the within Bond on the books kept for registration thereof, with full power of substitution in the . premises. Dated: NOTICE: The signature to this assignment must correspond with the' name as it appears upon the face of the within Bond in every particular, without any alteration whatsoever. Signature Guaranteed: ----.~~- ~ li92 8. Bonds, upon surrender thereof at the office of, the bond registrar and transfer agent together with an assignment duly executed by the registered owner or his attorney or legal representative in such form as shall be satisfactory to the bond registrar and transfer agent, may, at the option of the registered owner thereof, be exchanged for an equal aggregate principal amount of Bonds of the same maturity, of any denomination or denominations authorized by this resolution and bearing interest at the same rate. 9. Actions taken by officials of the Issuer 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 l59E of the General Statutes of North Carolina, are hereby authorized and approved. 10. The Local Government Commission of North Carolina is hereby requested to sell the Bonds and to state in the Notice of Sale of the Bonds that bidders may name one rate of interest for part of the Bonds and another rate or rates for the balance of the Bonds. The Bonds shall bear interest at such rate or rates as may be named in the proposal to purchase said Bonds which shall be accepted by said Local Government Commission provided that the net interest cost to the Issuer shall not exceed 6.75%. 11. The Chairman of the governing body of the Issuer and the Clerk of the Issuer are hereby authorized and directed to cause the Bonds to be prepared and, when they shall have been duly sold by said Local Government Commission, to execute the Bonds and to turn the Bonds over to First-Citizens Bank & Trust Company for delivery to the purchaser or purchasers to whom they may be sold by said Local Government Commission. 12. 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 Bonds for Federal income tax purposes. 13. The Issuer hereby represents that (i) the Bonds are not private activity bonds as defined in the Code and (ii) the . Issuer, together with any subordinate entities of the Issuer and any entities which issue obligations on behalf of the Issuer, reasonably expects that it will not issue more than $10,000,000 of tax-exempt obligations (other than private activity bonds which are not qualified 501 (c) (3) bonds) during the current calendar year. In addition, the Issuer hereby designates the Bonds as "qualified tax-exempt obligations" for the purposes of Section 265 (b) (3) of the Code. 14. The Issuer hereby undertakes, for the benefit of the beneficial owners of the Bonds, to provide continuing disclosure, as follows: (a) by not later than seven months from the end of each 'fiscal year of the Issuer, to each nationally recognized municipal securities information repository ("NRMSIR" ) and to the state information depository for the State of North Carolina ("SID") , if any, audited financial statements of the County of Harnett (the "County" ) for such fiscal year, if available, prepared in accordance with Section 159-34 of the General Statutes of North. Carolina, as it may be amended from time to time, or any successor statute, or, if such audited financial statements of the County are not available by seven months from the end of such fiscal year, unaudited financial statements of the County for such fiscal year to be replaced subsequently by audited financial . statements of the County to be delivered within 15 days after such audited financial statements become available for distribution, provided the audited financial statements of the County include financial information of the Issuer as a constituent part thereof; (b) by not later than seven months from the end of each fiscal year of the Issuer, to each NRMSIR, and to the SID, if any, (i) the financial and statistical data as of a date not earlier than the end of the preceding fiscal year (which data shall be prepared at least annually, shall specify the date as to which such information was prepared and shall be delivered together with any subsequent material events no~i?es specified in A () r:?, '."'} ;.._ _," -.c, _..; subparagraph (c) below) for the type of information included under the heading "The District - Debt Information" , "The District - Tax information" and "The District - Public Utility Services - Sources and Uses of Revenue" in the Official Statement relating to the Bonds and for the type of information related to the Issuer set forth in Note 15 of the audited financial statements in the Official Statement relating to the Bonds and ( ii) the combined budget of the Issuer for the current fiscal year, to the extent such items are not included in the audited financial statements referred to in (a) above; (c) in a timely manner, to each NRMSIR or to the Municipal Securities Rulemaking Board ("MSRB"), and to the SID, if . any, notice of any of the following events with respect to the Bonds, if material: (1) principal and interest payment delinquencies; (:2 ) non-payment related defaults; (3 ) unscheduled draws on debt service reserves reflecting financial difficulties; (4 ) unscheduled draws on credit enhancements reflecting financial difficultiesi (5) substitution of credit or liquidity providers, or their failure to perform; (6 ) adverse tax opinions or events aff~cting the tax- exempt status of the Bonds; (7) modification to the rights of the beneficial holders of the Bonds; (8 ) bond calls; (9 ) defeasancesi (10) release, substitution or sale of property . securing repayment of the Bonds; (11) rating changes; and (d) in a timely manner, to each NRMSIR or to the MSRB, and to the SID, if any, notice of a failure of the Issuer to provide required annual financial information-described in (a) or (b) above on or before the date specified. If the Issuer fails to comply with the undertaking described above, any beneficial owner of the Bonds may take action to protect and enforce the rights of all beneficial owners with respect to such undertaking, including an action for specific performance; provided, however, that failure to comply with such. undertaking shall not be an event of default and shall not result in any acceleration of payment of the Bonds. All actions shall be instituted, had and maintained in the manner provided in this paragraph for the benefit of all beneficial owners of the Bonds. The Issuer reserves the right to modify from time to time the information to be provided to the extent necessary or appropriate in the judgment of the Issuer, provided that any such modification will be done in a manner consistent with Rule 15c:2-1:2 issued under the Securities Exchange Act of 1934, as it may be amended from time to time ("Rule 15c2-12 ") , and provided further that: ( a) any such modification may only be made in connection . with a change in circumstances that arises from a change in legal requirements, change in law, or change in the identity, nature, or status of the Issuer; (b) the information to be provided, as modified, would have complied with the requirements of Rule 15c2-12 as of the date of the Official Statement relating to the Bonds, after taking into account any amendments or interpretations of Rule 15c2-12, as well as any changes in circumstances: and (c) any such modification does not materially impa,ir the interests of the beneficial owners, as determined either by parties unaffiliated with the Issuer (such as bond counsel), or by the approving vote of the registered owners of a majority in principal amount of the Bonds pursuant to the terms of this resolution, as it may be amended from time to time, at the time of the amendment. ~_~~__~__ ~~ ~~ ~_ _~_.r._____"_~~___'______~"~_____._~_____,____.__ __ ~_ __"_~~_______. ---~.._----- -.- AQLl ~t .,_i T Any annual financial information containing modified operating data or financial information shall explain, in narrative form, the reasons for the modification and the impact of the change in the type of operating data or financial information being provided. The provisions of this Section 13 shall terminate upon payment, or provisions having been made for payment in a manner consistent with Rule lSc2-12, in full of the principal of and interest on all of the Bonds. lS. The Chairman and the Clerk of the governing body of the Issuer and other officers of the Issuer are hereby authorized and directed to execute and deliver for and on behalf of the . Issuer any and all financing statements, certificates, documents or other papers and to perform any and all acts they may deem necessary or appropriate in order to carry out the intent of this resolution and the matters herein authorized. 16. The power to make any election on behalf of the Issuer with respect to the arbitrage rebate provisions of the Code applicable to the Bonds is hereby delegated to the Chairman of the governing body of the Issu~r and Finance Officer of the Issuer. 17. The Ofticjal Statement dated September 20, 1996, setting forth financial ~nd statistical data in connection with the offering of the Bon~8 (the "Official Statement") is hereby approved. In connectioll with this approval, the Board of Commissioners of the County of Harnett, sitting as the governing body of the Issuer, has examined copies of the Official Statement and has, to the extent and in the manner it has deemed necessary, discussed the contents thereof with officers of the administration of the Issuer. The Board of Commissioners of the County of Harnett, sitting as the governing body of the Issuer, does hereby recite that, upon its examination and discussions, nothing has come to its attention which would lead it to believe that said Official Statement contains any untrue statement of a material fact or omits to state any material fact necessary to make the statements therein. in the light of the circumstances under which they were made, not misleading. The Chairman of the governing body of the Issuer, the county Manager of the County of Harnett, and the Finance Officer of the Issuer are each hereby authorized . to approve changes in such Official Statement and to execute such Official Statement for and on behalf of the Issuer. The motion having been duly seconded, and the resolution having been considered, it WaS adopted by the following vote: AYES: 3 NAYS: 0 . . * * * * * . * . * * Attachment 2 RESOLUTION HURRICANE FRAN DISASTER RELIEF FUND THAT WHEREAS on the night of September 5, 1996, Fran, a category 3 hurric~ne, came ashore on the North Carolina Coast; and . WHEREAS, Harnett County was in the direct path of the most devastating storm in over forty-two years; and WHEREAS all of Harnett County's 77,000 citizens were directly aff~cted by Hurricane Fran's high sustaining winds and rain; and WHEREAS, its many citizens were without passable highways and secondary roads, electricity, water, and other basic necessities in order to maintain their normal lifestyle; and WHEREAS, hundreds of thousmds of beautiful and historic trees were destroyed - blown down and uprooted; and .-----. . _. _".. _~ - .. - n" r;.= , - . -.....:::' WHEREAS, homes, vehicles, and other personal property were destroyed or severely damaged; and WHEREAS, agricultural crops, farm equipment, and vital resources were lost; and WHEREAS, the financial loss has been extremely high and has caused financial hardship on many of our citizens and especially our senior citizens, handicapped, and others less fortunate; and . WHEREAS, the Federal Government has made Federal monies available to employ temporarily, the unemployed citizens that have been directly and indirectly affected by Hurricane Fran in their lost of jobs; and WHEREAS, the citizens of Harnett County who have been unemployed 15 of the past 26 weeks and the dislocated workers are also eligible; and WHEREAS, these people may be employed to help remove the trees, limbs, tree stumps, and other debris that was left by Hurricane Fran on the highways, rural secondary roads, public schools, parks and recreation areas, cities and towns, and other public domains; and WHEREAS, these temporary County employees will be assigned to work with Federal, state, County, non-profit, and other eligible organizations; and WHEREAS, private citizens who are senior citizens, handicapped, or on fixed incomes and meet the eligibility as established by the Harnett County Department of Human Resources, may have these temporary employees cut-up and remove tree stumps and other debris that resulted from the destructive forces of Hurricane Fran. . NOW THEREFORE, BE IT RESOLVED BY THE HARNETT COUNTY BOARD OF COMMISSIONERS, that the Harnett County Department of Human Resources be authorized to accept Hurricane Fran Disaster Relief Funds as set forth by this resolution and to assist Harnett County's most valuable resources, its citizens. A copy of this resolution shall be spread upon the minutes of this Board and a copy furnished to the news media. Adopted this 27th day of September, 1996. HARNETT COL&~... i BOARD OF COMMISSIONERS //1 ~~~ / H. L.~So~reil, Y?h irman ATTEST: ~~I .I. &~ Kay S. Blanchard Clerk to the Board .