Resolution - Making Findings to Finance Property - #2012-19

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2012 - RESOLUTION MAKING CERTAIN FINDINGS AND DETERMINATIONS REGARDING THE FINANCING OF T14E PURCHASE OF REAL PROPERTY PURSUANT TO AN INSTALLMENT FINANCING CONTRACT AND REQUESTING THE LOCAL GOVERNMENT COMMISSION TO APPROVE THE FINANCING WHERAS, the Board of Commissioners of Lee County, North Carolina desires to purchase three buildings to provide a facility for the Central Carolina Community College to provide a small business center and small business incubator and to provide much needed office space for Lee County services to better serve the citizens of Lee County (the "Project "); and WHEREAS, the Board of Commissioners of Lee County, North Carolina desires to finance the Project by the use of an installment contract authorized under N.C. General Statute 160A, Article 3, Section 20; and WHEREAS, findings of fact by this governing body must be presented to enable the North Carolina Local Government Commission to make its findings of fact set forth in N.C. General Statute 159, Article 8, Section 151 prior to approval of the proposed contract; NOW, THEREFORE, BE IT RESOLVED that the Board of Commissioners of Lee County, North Carolina, meeting in regular session on the 16th day of July, 2012, make the following findings of fact: 1. The proposed contract is necessary because Central Carolina Community College has limited space to operate a small business center. This project would allow for the small business center to be in the heart of downtown Sanford and provide space for small businesses to start in an incubator situation. This project would also provide office space for County administrative offices freeing up much needed space for human services functions. 2. The proposed contract is preferable to a bond issue for the same purpose because Lee County will be borrowing a relatively small amount of money to complete the project. This amount does not make going to the bond market cost effective. In addition, the placement of this debt with an individual will enable Lee County to avoid the normal fees such as an election fee, bond rating, bound counsel, local government commission fees, etc., which are typically associated with general obligation or revenue bonds. 3. The sums to fall due under this contract are adequate and not excessive for the proposed purpose because the amount of funds borrowed is relatively small. The cost associated with securing the financing will be less than $10,000 and the financing charge is $171,953.20.