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HomeMy WebLinkAbout06061988 (2)63A WEST CENTRAL WATER AND SEWER DISTRICT MEETING, JUNE 6, 1988 CALL TO ORDER INTRODUCTORY REMARKS The Harnett County Board of Commissioners sitting as the governing body of West Central Water and Sewer District met June 6, 1988, in the County Office Building, Lillington, North Carolina, with the following members present: Bill Shaw, Mack Reid Hudson, Mayo Smith, and Chairman Lloyd G. Stewart, presiding. Commissione Rudy Collins was absent. Others present were: Dallas H. Pope, County Manager; Glenn Johnson, County Attorney; Vanessa W. Young, Clerk to the Board, and Kay S. Blanchard, Recording Secretary. Chairman Stewart called the meeting to order at 11 a.m. John M. Phelps, II, Public Utilities Attorney, made introductory remarks regarding the character of the meeting and the business to come before the Board. Commissioner Shaw presented the following RESOLUTION resolution and moved that it be adopted: RE: BONDS 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, North Carolina, desires to borrow money for the purposes 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 water 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 $670,000 will be borrowed by the Issuer in anticipation of the receipt 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 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 June 28, 1988, shall be payable June 28, 1989 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 r 63 ... of the Issuer and the 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. (4) The Chairman of the governing body of the Issuer and the Clerk of the Issuer 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 Isuer covenants, to the extent permitted by the Constitution and laws of the State of North Carolina, to comply with the provisions of the Internal Revenue Code of 1986 (the "Code ") as enacted into law 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 $670,000 Water Bond Anticipation Notes, dated June 28, 1988, authorized by Section 1, hereof, are not private activity bonds as defined in the Code and (ii) the Issuer, the County of Harnett, other water and sewer districts and subordinate entities to the County of Harnett, together with any subordinate entities of the Issuer, reasonably expects that it will not issue cumulatively more than $10,000,000 of tax - exempt obligations (other than private activity bonds which are not qualified 501(c)(3) bonds) during calendar year 1988. 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. 63J The motion having been duly seconded by Commissioner Hudson and the resolution having been considered, it was adopted by the following vote: Ayes: 4 Noes: 0 Absent: 1 ADJOURNMENT There being no further business, the West Central Water and Sewer District Board meeting of June 6, 1988, duly adjourned at 11:10 a.m. oyd /G. Stewart, airman Kay S. lanchard, Recording Sec. Vanessa W. Young, Clerk to tjle Board