1998 - 04-20-98 Regular Meeting - Laserfiche WebLink

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BOOK 7 PAGE 315 1 Anticipation Notes, dated September 2, 1997 and payable May 20, 1998 (the "Maturing Notes"), 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, and WHEREAS, the Board of Commissioners of the County of Lee, sitting as the governing body of the Issuer, desires to renew the Maturing Notes 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 Lee, sitting as the governing body of the Issuer, as follows: (1) The sum of $2,831,000 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 County of Lee, sitting as the governing body of the Issuer, on September 25, 1995, 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 May 19, 1998, shall be payable August 19, 1998 and shall bear interest from their date at a rate which shall not exceed seven per centum (7%) per annum. Such interest shall be payable at the maturity of the said notes. Each of said notes shall be signed by the Chairperson 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 Chairperson 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. (4) The Chairperson of the governing body of the Issuer and 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 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. 2