June 2, 2014 - 10:00 AM - County Board of Commissioners Meeting Minutes

10 32 Meeting of the Johnston County Board of Commissioners June 2 , 2014 10 00 am The Johnston County Board of Commissioners met in regular session Monday , June 2 , 2014 at 10 00 am in the Commissioners Meeting Room , Johnston County Courthouse Annex , Smithfield , North Carolina The following members were present Present Chairman Jeffrey P Carver , Vice Chairman Tony Braswell , Cookie Pope , Allen L Mims , Jr , DeVan Barbour , Ted G Godwin , and Chad M Stewart Absent None Also Present County Manager Rick J Hester , Clerk to the Board Paula G Woodard , Finance Officer and Assistant County Manager J Chad McLamb , County Attorney David F Mills , and Paralegal Deputy Clerk to the Board Dana Cuddington Chairman Jeffrey P Carver called the meeting to order at 10 00 am Commissioner Ted G Godwin opened the meeting with a prayer Commissioner DeVan Barbour led those in attendance in the pledge of allegiance to the American flag 1 Approval Discussion of Agenda Upon a motion by Commissioner DeVan Barbour , seconded by Commissioner Cookie Pope , and carried by unanimous vote , the Board approved the agenda as presented 2 Consent Agenda Items Upon a motion by Commissioner Tony Braswell , seconded by Commissioner Cookie Pope , and carried by unanimous vote , the Board approved the consent agenda items as follows A Approval of Minutes – May 5 , 2014 10 00 am B Town of Smithfield – Appointment to Planning Board Per the request of the Town of Smithfield , the Board appointed Ashley Spain of Smithfield , North Carolina to the Smithfield Planning Board representing the ETJ area of the Town for a three year term to expire on June 30 , 2017 C Tax Releases & Refunds – 04 16 2014 – 05 15 2014 Motor Vehicle Release Refund Report Year Bill # Acct # Name Tran Type Paid 2013 1310 - 627232 1308 - 639733 AG LEE OIL CO , INC Tag Surrender 12357 2013 1312 - 645455 1309 - 666855 WINDHAM , TONY RUFUS Overpayment 11498 2013 1311 - 634838 1308 - 654677 SNEAD , JR , RICHARD WARREN Overpayment 50000 2013 1309 - 616100 1306 - 628760 SMITH , ALLISON RENEE Overpayment 18858 2013 1307 - 576951 1304 - 603086 JOHNSON , ERICA SEFRAN Overpayment 11046 2013 1308 - 590124 1305 - 612564 ANTHONY , MARY NICOLETTE Overpayment 15555 2013 1308 - 595649 1305 - 613981 GREENE , MISTY LEIGH Overpayment 11580 2012 1306 - 561535 1303 - 586142 DOHNAL , ALLISON ANN Overpayment 21179 2013 1308 - 589994 1305 - 616854 WHALEY , CAYCEE LYN Overpayment 10388 2013 1308 - 590961 1305 - 615548 GIBBS , MARK STEPHEN Overpayment 12655 2013 1309 - 614720 1306 - 632107 GREER , MARTHA PARISH Overpayment 20977 2013 1308 - 590185 1305 - 618084 BALLARD , PATRICE YVONNE Overpayment 17737 2013 1311 - 638792 1308 - 658723 ROLDAN , DOMINICO JAYME Overpayment 51923 2012 1306 - 567603 1303 - 585689 JONES , RAASCHON DARVIAR Overpayment 12785 2012 1211 - 479447 1208 - 493252 DESROCHERS , RONALD ALBERT Overpayment 16198 2013 1311 - 638792 1308 - 658723 ROLDAN , DOMINICO JAYME Void Refund 51923 2013 1307 - 576404 1304 - 597087 DUPREE , LATANYA CARR Overpayment 12866 2013 1404 - 648660 1401 - 670981 BUNN COMMUNICATIONS INC Release 44636 2013 1307 - 576404 1304 - 597087 DUPREE , LATANYA CARR Void Refund 12866 2012 1306 - 560869 1303 - 581382 ASAY , BRANDON KEITH Overpayment 10400 2012 1306 - 565283 1303 - 585084 GOMEZ , JUAN CARLOS ROBLES Overpayment 13403 Page33 June 2 , 2014 – 10 00 am Continued 2012 1306 - 566429 1303 - 589022 BETTS , JAMES AARON Overpayment 18716 2013 1309 - 603081 1306 - 630928 FEMAT , RODOLFO OLIVARES Overpayment 13281 2013 1309 - 604612 1306 - 634995 CUPO , STEVEN JOSEPH Overpayment 41103 2013 1309 - 605839 1306 - 634319 NADEAU , STEVEN ROBERT Overpayment 15350 2013 1309 - 613362 1306 - 625452 DEMARK , WAYNE CARL Overpayment 24604 2013 1310 - 616526 1308 - 648160 GERALD , MARY JOHNSON Overpayment 16882 2013 1310 - 623174 1308 - 647427 ROWLAND , LARRY LOCKHART Overpayment 25926 2013 1310 - 625002 1308 - 647459 ROSE , PHYLLIS POLLOCK Overpayment 10307 2013 1310 - 629113 1308 - 650113 PEEDIN , DANIEL GRAY Overpayment 18990 2013 1310 - 629965 1308 - 648122 WILLIFORD , KELLY CREECH Overpayment 12279 2013 1311 - 641125 1308 - 656372 JONES , FRANK EARL Overpayment 11808 2013 1311 - 643000 1308 - 657112 ROBERTS , CRYSTAL KIMPSON Overpayment 14205 2012 1208 - 426646 1205 - 439846 HOLMES , PATRICIA ANN Overpayment 14691 2013 1309 - 609392 1306 - 633270 ARTIS , RONNIE ONEAL Overpayment 18635 2011 1203 - 359750 1112 - 369385 BRYANT , WANDA DAVIS Overpayment 14261 2011 1203 - 359750 1112 - 369385 BRYANT , WANDA DAVIS Void Refund 14261 2013 1311 - 636131 1308 - 666220 SMALL , TYLER LYNN Tag Surrender 12146 2012 1306 - 565283 1303 - 585084 GOMEZ , JUAN CARLOS ROBLES Void Refund 13403 2013 1311 - 633155 1308 - 662515 DAVIS , HAROLD DEAN Overpayment 29634 2013 1311 - 633155 1308 - 662515 DAVIS , HAROLD DEAN Void Refund 29634 2013 1311 - 633155 1308 - 662515 DAVIS , HAROLD DEAN Overpayment 15224 2013 1311 - 633155 1308 - 662515 DAVIS , HAROLD DEAN Overpayment 29634 2013 1308 - 601390 1305 - 613384 THERIAULT , MELANIE LEWIS Overpayment 11704 2013 1308 - 596147 1305 - 618360 SPRUILL , HAYWOOD EARL Overpayment 22146 2013 1311 - 642117 1308 - 660722 CREECH , JAMES BRANDON Overpayment 13058 2013 1311 - 635885 1308 - 660312 LYDE , ERIC STERLING Release 22519 2013 1309 - 615492 1305 - 635175 BOWLING , KIMBERLY DAWN Overpayment 21361 2013 1309 - 609591 1306 - 628271 CUNNINGHAM , TIMOTHY JAMES Overpayment 13634 2013 1310 - 626226 1308 - 637577 CATES , TAMMY FAYE Release 10654 2013 1310 - 622865 1308 - 644227 MATHIAS , TIMOTHY MONROE Overpayment 10913 2013 1309 - 602888 1306 - 627824 BOWLES , SR , ERIC LEE Overpayment 10043 2013 1309 - 613056 1306 - 628169 ALLEN , DONNA CAROL Overpayment 37195 2013 1310 - 624103 1308 - 648658 JOHNSON , MICHAEL SCOTT Overpayment 41971 2013 1311 - 643067 1308 - 664258 SCARBORO , TONY RAY Overpayment 15127 2013 1307 - 576951 1304 - 603086 JOHNSON , ERICA SEFRAN Overpayment 10960 2012 1306 - 563217 1303 - 586559 SHAMBAUGH , KAREN JONES Overpayment 20267 2013 1311 - 643979 1308 - 663090 EL - FERKH , JR , BILAL YAHIA Overpayment 16214 2013 1310 - 621481 1308 - 644469 JOHNSON , MARK AUTRY Overpayment 14043 2013 1309 - 605345 1306 - 627147 JONES , SUZANNE MARIE Overpayment 17562 2013 1311 - 631572 1308 - 659854 EVANS , RICHARD DOUGLAS Overpayment 10571 2012 1306 - 568309 1303 - 586127 GUDAC , ALICE JENNIFER Overpayment 24470 2013 1309 - 605998 1306 - 622351 PENDER , MARIO ANTOINE Overpayment 11562 2013 1309 - 614995 1306 - 633194 BORNHEIM , AMANDA LYNN Overpayment 26377 2013 1311 - 634479 1308 - 662831 PHILLIPS , MARK ALLEN Overpayment 14424 2013 1310 - 622136 1308 - 647981 BIEN , MICHAEL JOHN Overpayment 39493 2013 1311 - 642751 1308 - 666468 MCLEAN , DARNELL JUNIOR Overpayment 30871 2013 1308 - 590124 1305 - 612564 ANTHONY , MARY NICOLETTE Overpayment 14792 2012 1306 - 561924 1303 - 586902 HARDEE , BRADLEY RAY Overpayment 26547 2013 1307 - 575560 1304 - 591631 WEEKS , CHARYLENE LYNETTE Overpayment 12000 2013 1307 - 578518 1304 - 598660 YOUNGBLOOD , BRIAN DAVID Overpayment 16746 2013 1308 - 588919 1305 - 618990 ALLEN , JOY WILKINS Overpayment 12913 2013 1309 - 604167 1306 - 632830 BARBOUR , JAMES DAVID Overpayment 16965 2013 1309 - 611523 1306 - 631706 JOHNSON , CAROL LAMM Overpayment 10416 2013 1309 - 615025 1306 - 632624 CARROLL , JR , KEVIN REID Overpayment 11388 2013 1310 - 618224 1308 - 638466 BARBOUR , MARK ARMIN Overpayment 11034 2013 1310 - 624648 1308 - 645633 BAH , EBRIMA MANSOUR Overpayment 12774 2013 1310 - 628613 1308 - 643324 STEPHENSON , ANN MOORE Overpayment 32216 2013 1311 - 637884 1308 - 665096 WYCOFF , JOHN BRANDON SKJODT Overpayment 13153 2013 1311 - 639543 1308 - 662905 SMITH , JERRY EDWARD Overpayment 12568 2013 1310 - 618224 1308 - 638466 BARBOUR , MARK ARMIN Void Refund 11034 2013 1309 - 604167 1306 - 632830 BARBOUR , JAMES DAVID Void Refund 16965Page34 June 2 , 2014 – 10 00 am Continued 2013 1311 - 630908 1308 - 665621 KNIGHT , MCKINLEY BERNARD Release 32483 2013 1310 - 619481 1308 - 645547 JORDAN , ANTOINE Overpayment 10625 2013 1309 - 612575 1306 - 631613 NEWSOME , GARRY THOMAS Overpayment 25945 2013 1310 - 629663 1308 - 642072 WATKINS , BETTY BRANTLEY Overpayment 11727 2013 1308 - 595359 1305 - 613691 BAHN , NICOLE MARIE Overpayment 15283 2013 1311 - 642175 1308 - 660765 DEMARK , WAYNE CARL Overpayment 28985 2013 1310 - 616960 1308 - 650005 BAILEY , PHILIP SHANE Overpayment 14987 2013 1310 - 629748 1308 - 650603 BAILEY , BARBARA ARLENE Overpayment 66388 2013 1310 - 620124 1308 - 645542 PHILLIPS , ERNEST LUTRELL Overpayment 23276 2013 1311 - 637747 1308 - 662741 TYREE , II , JOSEPH CHARLES Overpayment 22272 2013 1307 - 580939 1304 - 599590 WILLIS , STEVEN LYNN Release 19015 2013 1311 - 635774 1308 - 658637 JOHNSON , ANNA MEREDITH Overpayment 13900 2013 1309 - 615305 1306 - 634549 RICHARDSON , HERMAN RAMON Release 10763 2013 1310 - 624103 1308 - 648658 JOHNSON , MICHAEL SCOTT Overpayment 51807 Real Personal Property Releases TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 4 17 2014 2 47 17 PM cfutch 2012 - 47836 46421360 JOHNSON , POLLY ONEAL 20021 4 17 2014 2 52 50 PM cfutch 2013 - 46873 46421360 JOHNSON , POLLY ONEAL 20021 4 17 2014 3 03 44 PM cfutch 2013 - 102209 2000169629 ICE HOUSE AMERICA 48922 4 22 2014 9 11 28 AM ghermane 2013 - 77446 2000146286 ROH , DANIEL & CHRISTINE 17078 4 22 2014 2 39 14 PM sgarner 2013 - 202377 2000163282 VAN HOY , CYNTHIA 1,31604 5 13 2014 3 12 47 PM ghermane 2002 - 13600 2000084576 CASTILLO , ORLANDO GARCIA 27811 5 13 2014 3 14 58 PM ghermane 2002 - 283399 2000084576 CASTILLO , ORLANDO GARCIA 28938 5 13 2014 3 22 07 PM ghermane 2002 - 13600 2000084576 CASTILLO , ORLANDO GARCIA - 27811 5 13 2014 3 22 29 PM ghermane 2002 - 283399 2000084576 CASTILLO , ORLANDO GARCIA - 28938 5 14 2014 2 27 49 PM cfutch 2002 - 283399 2000084576 CASTILLO , ORLANDO GARCIA 28938 5 14 2014 2 28 34 PM cfutch 2002 - 13600 2000084576 CASTILLO , ORLANDO GARCIA 27811 5 14 2014 4 12 57 PM ghermane 2013 - 101313 2000166069 HINTON , WALTER JUNIOR 47158 Real Personal Property Refunds TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 4 17 2014 2 47 32 PM cfutch 2012 - 47836 46421360 JOHNSON , POLLY ONEAL 20021 4 17 2014 2 53 18 PM cfutch 2013 - 46873 46421360 JOHNSON , POLLY ONEAL 20021 4 17 2014 3 04 00 PM cfutch 2013 - 102209 2000169629 ICE HOUSE AMERICA 48922 4 22 2014 4 31 06 PM tcronan 2013 - 77466 2000126760 ROLDAN , DOMINICO 48775 4 24 2014 1 05 45 PM blbarbour 2012 - 34282 2000070689 GENTRY , PERRY M & 15419 4 30 2014 10 55 09 AM tcronan 2013 - 20393 2000138564 COOLEY , KEITH L 21649 5 6 2014 11 53 31 AM tcronan 2013 - 85827 2000051395 STEVENS , RICKY W AND 36734 5 7 2014 1 51 44 PM LOCKBOX 2013 - 23002 2000110777 CULBERTSON , STANLEY 20852 5 8 2014 2 11 53 PM LOCKBOX 2013 - 31536 31054660 FOSTER , GEORGE PATRICK 12163 5 12 2014 8 49 38 AM blbarbour 2013 - 44257 2000081915 JACOBS , KATHRYN J 86626 5 12 2014 12 09 25 PM cfutch 2013 - 49576 2000053880 KEITH , JAMES & 84362 5 15 2014 2 27 07 PM tcronan 2013 - 13694 2000169886 BROWN , WILLIE RAYMOND 10585 North Carolina Vehicle Tax System - Pending Refund Report – April 2014 100 + Name Bill # Transaction # Refund Reason Amount Neumann , David George 0019459804 8374050 Adjustment 14663 Hendrick , Jerry David 0015506507 8917260 Sold Traded 13633 Pierce , Jonathan Dale 0020326825 9854398 Military 10681 Freeman , Mark Hubert 0019795854 8608742 Assessed In Err 28294 Bizzell , Roger Steve 0019358282 9637540 Exempt Property 26660 McLamb , Terry Don 0010406595 18576364 Situs Error 22117 Dixon , Thomas Adams 0020056352 9854514 Over Assessment 11950 May 20 , 2014 This is to certify that , as authorized by the Board of Commissioners on December 11 , 2000 , I have approved the following tax releases and refunds under 100 , as recommended by the County Tax Administrator , Sheila Garner A complete record of this information is on file in the County Finance Office Totals from 4 16 14 to 5 15 14 Tax refunds - Personal Real Property 54636 Tax releases - Personal Real Property 36691 Motor Vehicle releases refunds 4,81601 Recommended by Tax Administrator Sheila Garner Approved by Finance Director J Chad McLamb Page35 June 2 , 2014 – 10 00 am Continued 3 Public Comments A Industry Appreciation Award – House - Autry Mills of Four Oaks , North Carolina The Board of Commissioners and the Johnston County Economic Development Advisory Board recognized House - Autry of Four Oaks as part of the Industry Appreciation Award Program Director of Economic Development Chris Johnson reported the program recognizes an existing Johnston County industry every quarter and he is pleased that House - Autry is being honored for their commitment to Johnston County Mr Johnson spoke on the history of House - Autry and introduced Mike Ganey , Director of Marketing for House - Autry Mr Ganey spoke on future plans of House - Autry that include new equipment purchases , product line expansions as well as plans to increase employment He stated House - Autry is committed to Johnston County and its people Economic Development Advisory Board Member Vic Medlin presented the award to Mr Ganey and thanked House - Autry for their presence in Four Oaks and their support to the community The Board expressed their appreciation to House - Autry and commended them for their success throughout the years B Comments from Princeton Mayor Don Rains Princeton Mayor Don Rains provided the Board with an update on activities going on in Princeton He reported Princeton is looking forward to Agrium locating in the community later this year with a 16 million distribution center Mayor Rains also spoke on his campaign for State Senate and asked the Board of Commissioners to contact him with any issues in the future C Comments from Health Director Dr Marilyn Pearson Health Director Dr Marilyn Pearson introduced Aleiyah Sanders , an East Carolina Student , who will be interning with the Johnston County Health Department for the summer D Comments from Animal Services Director Ernie Wilkinson Animal Services Director Ernie Wilkinson introduced new Shelter Supervisor Graham Price to the Board Mr Wilkinson stated he is pleased to report the Animal Services Department has been able to achieve , as of May 2014 , the highest live release rate they have ever had at the Johnston County Animal Shelter He stated the live release rate is made up of animals that are rescued , adopted , or reclaimed and as of May they are at 87 Mr Wilkinson commended his staff for their efforts and hard work E Comments from Patrick Harris Patrick Harris of Smithfield and former County Commissioner Candidate congratulated Commissioners Cookie Pope and Chad M Stewart for their recent victories in the Republican Primary Mr Harris stated he was honored to be a part of the election and he appreciates their professionalism throughout the process Mr Harris thanked the Commissioners for their service to the County 4 Public Hearing – Economic Development Incentive Grant Advertised in The Smithfield Herald – May 21 , 2014 The Chairman opened the public hearing for the purposes of soliciting public comment on a proposal for the County to provide certain economic incentives , pursuant to NCGS 158 - 71 , to a company that is considering the location and or expansion of facilities in Johnston County , North Carolina Economic Development Director Chris Johnson stated the proposal is an Economic Development Incentive Grant to Grifols Therapeutics , Inc for a 30 million expansion at their Clayton location Mr Johnson explained that Grifols proposes to construct a new warehouse facility valued at 75 million and a new administration facility valued at 225 million Mr Johnson reported Grifols currently employs 1,600 people at their Clayton location and the expansion would add another 15 jobs The Economic Development Incentive Grant is proposed at the following percentages PagePage pageNumber536 June 2 , 2014 – 10 00 am Continued Real Property Incentive Grant Applicable Percentage Based on Net New Taxable Value of Real Estate as of January 1 90 Year 1 90 Year 2 90 Year 3 80 Year 4 70 Year 5 60 Year 6 50 Year 7 Personal Property Incentive Grant Applicable Percentage Based on Net New Taxable Value of Personal Property as of January 1 50 Year 1 50 Year 2 50 Year 3 50 Year 4 50 Year 5 Tim Hamm , Senior Director of Validation and Site Development for Grifols , thanked the Board of th Commissioners for their past support Mr Hamm noted on June 17 Grifols will hold an inauguration celebration for their new 430 million fractionation facility which they hope to receive FDA approval for at the beginning of the year He stated the 30 million expansion being proposed is part of a larger 85 million investment for the Clayton facility Mr Hamm stated the new administration building will be integral for Grifols as they continue to grow At the request of County Attorney David Mills , Mr Hamm confirmed that Grifols is an international corporation with facilities and plants around the world He confirmed Grifols has additional facilities outside of North Carolina which have and are being considered as possible locations for the expansion being discussed today Mr Hamm further confirmed that the incentives being offered by Johnston County are a material part of the due diligence by Grifols for the expansion and would be a major component in the decision to expand at the Clayton campus versus another location Mr Mills stated the incentive agreement document is 99 complete and all that remains is minor language clarifications Mr Johnson spoke on the excellent working relationship between the County and Grifols as well as the Town of Clayton’s support and contributions to the project Mr Johnson stated economic development is becoming highly competitive and it takes everyone working together to achieve growth Commissioner Ted G Godwin commented that he has never heard a negative word made towards Grifols and he commended them for being a good corporate citizen Commissioner Allen L Mims , Jr thanked Mr Hamm for his excellent service as a member of the Research & Training Zone Advisory Board There being no further comments , the Chairman closed the public hearing Upon a motion by Commissioner Tony Braswell , seconded by Commissioner Ted G Godwin , and carried by unanimous vote , the Board approved an Economic Development Incentive Grant between the County and Grifols Therapeutics , Inc for their warehouse and administrative facilities expansion project based on the percentages listed above PagePage pageNumber637 June 2 , 2014 – 10 00 am Continued 5 Public Hearing – Proposed Fiscal Year 2014 - 2015 County Budget Advertised – The Smithfield Herald – May 21 and 28 , 2014 The Chairman opened the public hearing for the purposes allowing public comment on the proposed Fiscal Year 2014 - 2015 County budget The proposed budget and budget message have been completed and copies are available for distribution County Manager Rick Hester requested the budget message be inserted into the minutes , as follows Fiscal Year 2014 – 2015 Budget Message Dear Board Members The proposed Fiscal Year 2014 - 2015 General Fund Budget is presented at 188 million with a tax rate of 78 cents per 100 valuation I want to first thank the many County employees that assisted with this budget I offer a special thank you to the Finance staff for their support and guidance throughout this process and the Administration staff for preparation of the final budget document The proposed Fiscal Year 2014 - 2015 Budget is submitted with an estimated Fund Balance at 15 as of June 30 , 2015 Please note the May 2014 ending financials will be helpful as the Board begins budget deliberations Highlights ? Tax collection remains strong with the real estate collection percentage rate expected at more than 99 Please note this is the first full year for the new Tag & Tax Together vehicle tax collection program handled by the North Carolina Division of Motor Vehicles The motor vehicle collection rates have improved with the new system ? This proposed budget includes a 22 pay adjustment for employees effective July 1 , 2014 Funds are also included in the budget for an outside review of the County’s compensation program ? Funding allocations for Johnston County Schools totals 525 million , and 43 million is proposed for Johnston Community College ? Counties in North Carolina continue to be impacted by the State of North Carolina retaining Education Lottery proceeds Johnston County expects to collect 23 million in lottery proceeds during Fiscal Year 2014 - 2015 It is important to note that under the original formula , Johnston County would have yielded 45 million ? There are no new positions included in the proposed budget ; however , I anticipate the Department of Social Services may approach the Board in the near future after a staffing review is completed ? The only fee adjustments proposed are with Public Utilities , as follows o Bulk Water Rate An increase of 015 per 1,000 gallons to the commodity charge is proposed The unit commodity charge would increase from 200 to 215 per 1,000 gallons o Retail Water Rate An increase of 015 per 1,000 gallons to the commodity charge is proposed The unit commodity charge would increase from 310 to 325 per 1,000 gallons o Irrigation Rate An increase of 015 per 1,000 gallons to the irrigation rate is proposed The unit charge would increase from 410 to 425 per 1,000 gallons PagePage pageNumber738 June 2 , 2014 – 10 00 am Continued I look forward to discussing this proposed budget with you at your convenience Thank you for your patience and support during the preparation of this document Sincerely , Rick J Hester County Manager The Chairman called for anyone present to address the Board regarding the proposed budget Harbor Executive Director Keri Christensen addressed the Commissioners and thanked them for their past support Ms Christensen introduced Harbor Board Members Boo Carver and Darlene Skinner in the audience as well as Darla Percy , Manager of the Smithfield Pizzazz store Ms Christensen submitted information to the Board regarding Harbor’s funding sources and services She stated Harbor continues to remain busy and just this morning she has already assisted with six restraining orders Darla Percy , Manager of the Smithfield Pizzazz store , gave a personal testimony of the help she received from Harbor during a time when she was a victim of domestic violence Ms Percy spoke on how Harbor helped her and her children leave an unsafe domestic situation , obtain housing , employment , and the means to start a new life Ms Christensen stated without Harbor victims of domestic violence have no place to go She noted Harbor works hard to raise money through local fundraisers and the Pizzazz stores to be used as match dollars for State and Federal monies Ms Christensen stated their long term business plan is not to rely on State and Federal funds because of their decline and uncertainty each year At the inquiry of Commissioner Ted G Godwin , Ms Christensen stated Harbor’s total budget is approximately 500,000 annually Commissioner Tony Braswell thanked Ms Christensen for her dedication to Harbor and for the services they provide Chairman Jeffrey P Carver noted he recently toured the Harbor shelter with Senator Brent Jackson and he thanked Ms Percy for sharing her story with the Board There being no further comments , the Chairman closed the public hearing The Chairman announced that the Board would be discussing the budget further at the 6 00 pm meeting after the rezoning cases Note At the 6 00 pm meeting , the Board scheduled an additional budget th meeting for June 9 at 6 00 pm to be held in the Commissioners Meeting Room The Board also discussed the th th possibility of another budget meeting for June 10 if needed with final adoption on June 30 at 8 15 am 6 Public Hearing – Refinancing a Portion of Public Utilities Debt Resolutions Advertised – The Smithfield Herald – May 18 , 2014 Upon a motion by Commissioner Cookie Pope , seconded by Commissioner Allen L Mims , Jr , and carried unanimously , the Board voted to sit simultaneously as the Johnston County Board of Commissioners and the Archer’s Lodge , Brogden , Buffalo , Clayton , Cleveland , Elevation , Hopewell - Pisgah , Ingrams Township , Little Creek , Little River , McGee’s Crossroads , Meadow , Oneal’s , Princeton - Kenly , and Wilson’s Mills Water Districts The Chairman announced that this was the date , place and hour fixed by the Board of Commissioners for a public hearing concerning a proposed plan of refinancing in an aggregate principal amount of up to 60,715,000 , which plan would involve the entry by the County into one or more installment financing contracts with the Johnston County Finance Corporation the “ Corporation ” pursuant to North Carolina General Statutes 160A - 20 , as amended , the proceeds of which would be used i to refinance all or a portion of one or more installment financing contracts previously executed and delivered by the County the “ Prior County Contracts ” , ii to refinance all or a portion of one or more existing water or sewer revolving loans of the County the “ Prior County Revolving Loans ” , iii to refinance all or a portion of one or more existing water revenue bond obligations of the County the “ Prior County Revenue Bonds ” , iv to refinance all or a portion of one or more installment financing contracts the “ Prior District Contracts ” previously executed and delivered by one orPagePage pageNumber839 June 2 , 2014 – 10 00 am Continued more of said Districts through the purchase of one or more refunding installment financing contracts to be executed and delivered by one or more of said Districts the “ District Refunding Contracts ” , and v to refinance all or a portion of general obligation bonds the “ Prior District Bonds ” previously issued by one or more of said Districts through the purchase of refunding general obligation bonds to be issued by one or more of said Districts the “ District Refunding Bonds ” Under said one or more installment financing contracts the County would secure the repayment by the County of the moneys advanced pursuant to such one or more installment financing contracts by granting a security interest in and lien on all or some portion of the District Refunding Contracts , the District Refunding Bonds and , if required , by all or some portion of the projects financed by the Prior County Contracts , the Prior District Contracts or the Prior District Bonds or in all or some portion of the real property on which such projects are located The County’s obligations under said one or more installment financing contracts will also be secured by that certain Deed of Trust , Security Agreement and Fixture Filing , dated July 1 , 2013 , between the County , as grantor , and the trustee named therein A District’s obligations under its respective District Refunding Contract s will be secured by a security interest in or lien upon all or some portion of the projects financed by the respective Prior District Contract s or in all or some portion of the real property on which such projects are located The plan of refinancing was described in the notice of public hearing published in The Herald on May 18 , 2014 the “ Notice ” The Board of Commissioners acting in such capacity and as the governing body of each of the Districts first ratified and approved the designation of the meeting as a public hearing on the proposed plan of refinancing , the publication of the Notice and the call of the public hearing It was then announced that the Board of Commissioners acting in such capacity and as the governing body of each of the Districts would immediately hear anyone who might wish to be heard on such matter No one appeared either in person or by attorney to be heard on such matter or the advisability of the plan of refinancing and the Clerk to the Board of Commissioners announced that no written statement relating to said matters had been received by the Clerk or the Director of Finance The Chairman then closed the public hearing Resolutions The Chairman introduced the following resolution , a summary of which had been provided to each Commissioner , a copy of which was available with the Clerk to the Board and which was read by title RESOLUTION APPROVING REFINANCING OF CERTAIN EXISTING OBLIGATIONS OF THE COUNTY AND OF VARIOUS WATER DISTRICTS CREATED BY THE COUNTY IN AN AGGREGATE PRINCIPAL AMOUNT UP TO 60,175,000 ; THE EXECUTION AND DELIVERY BY THE JOHNSTON COUNTY FINANCE CORPORATION OF LIMITED OBLIGATION BONDS RELATED THERETO ; AUTHORIZING THE EXECUTION AND DELIVERY OF RELATED DOCUMENTS IN CONNECTION THEREWITH AND PROVIDING FOR CERTAIN OTHER RELATED MATTERS WHEREAS , the Board of Commissioners desires to approve a proposed plan of refinancing in an aggregate principal amount of up to 60,175,000 , which plan would involve the entry by the County into one or more installment financing contracts with the Johnston County Finance Corporation the “ Corporation ” pursuant to North Carolina General Statutes 160A - 20 , as amended , the proceeds of which would be used i to refinance all or a portion of one or more installment financing contracts previously executed and delivered by the County the “ Prior County Contracts ” , ii to refinance all or a portion of one or more existing water or sewer revolving loans of the County the “ Prior County Revolving Loans ” , iii to refinance all or a portion of one or more existing water revenue bond obligations of the County the “ Prior County Revenue Bonds ” , iv to refinance all or a portion of one or more installment financing contracts the “ Prior District Contracts ” previously executed and delivered by certain water districts created by the County collectively , the “ Districts ” through the purchase by the County of one or more refunding installment financing contracts to be executed and delivered by one or more of said Districts the “ District Refunding Contracts ” , and v to refinance all or a portion of general obligation bonds the “ Prior District Bonds ” previously issued by one or more of said Districts through the purchase by the County of refunding general obligation bonds to be issued by one or more of said Districts the “ District Refunding Bonds ” , and under said one or more installment financing contracts the County would secure the repayment by the County of the moneys advanced pursuant to such one or more installment financing contracts by granting a security interest in and lien on all or some portion of the District Refunding Contracts , the District Refunding Bonds and , if required , by all or some portion of the projects financed by the Prior County Contracts , the Prior District Contracts or the Prior District Bonds or in all or some portion of the real property on which such projects are located , and the County’s obligations under said one orPagePage pageNumber940 June 2 , 2014 – 10 00 am Continued more installment financing contracts will also be secured by that certain Deed of Trust , Security Agreement and Fixture Filing , dated July 1 , 2013 , between the County , as grantor , and the trustee named therein ; WHEREAS , as part of said proposed plan of refinancing , the Corporation will execute and deliver one or more series of Limited Obligation Bonds representing an undivided right to receive payments under said one or more installment financing contracts in an aggregate principal amount not exceeding 60,175,000 to finance the advancement of moneys to the County pursuant to said one or more installment financing contracts between the County and the Corporation ; and WHEREAS , there have been submitted to this meeting draft forms of the following documents the “ Financing Documents ” with respect to the refinancing of the Prior County Contracts , the Prior County Revolving Loans , the Prior County Revenue Bonds , the Prior District Bonds , the Prior District Contracts and the related projects 1 an Amended and Restated Installment Financing Contract , proposed to be dated on or about June 1 , 2014 the “ Amended Contract ” , between the County and the Corporation as counterparty , pursuant to which the Corporation will advance moneys to the County a to refinance the Prior County Contracts , the Prior County Revolving Loans and the Prior County Revenue Bonds and b to purchase the District Refunding Bonds and the District Refunding Contracts in order to refinance the Prior District Bonds and the Prior District Contracts , respectively , and the related projects , and the County agrees to make periodic installment payments the “ Installment Payments ” to repay the moneys so advanced , with interest ; 2 a Supplemental Indenture , Number 1 , proposed to be dated on or about June 1 , 2014 the “ First Supplement ” , between the Corporation and the trustee named therein , as trustee the “ Trustee ” , which supplements and amends the Indenture of Trust , dated as of July 1 , 2013 the “ Original Trust Indenture ” , between the Corporation and the Trustee , and pursuant to which there are to be executed and delivered the Limited Obligation Bonds County of Johnston , North Carolina , Series 2014 the “ 2014 LOBs ” , the proceeds of which will be used to advance the moneys to the County under the Amended Contract ; 4 a form of District Refunding Bond , to be dated the date of delivery thereof , to be issued by each participating District to the County ; 5 a form of District Refunding Contract between the County and each participating District , to be dated the date of delivery thereof , to be executed and delivered by the County and each participating District ; 6 a Preliminary Official Statement , proposed to be dated on or about June 4 , 2014 the “ Preliminary Official Statement ” which , as supplemented with certain pricing and other permitted omitted information , is to be the Official Statement proposed to be dated on or about June 11 , 2014 the “ Official Statement ” , pursuant to which the 2014 LOBs are to be offered and sold to the public ; and 7 a Contract of Purchase , including the exhibits attached thereto , proposed to be dated on or about June 11 , 2014 the “ Purchase Contract ” between the Corporation and RW Baird & Co , on its own behalf and as representative of the other underwriters if any named therein collectively , the “ Underwriters ” , pursuant to which the Underwriters agree to purchase the 2014 LOBs for sale to the public ; WHEREAS , the obligations of the County to make Installment Payments and other payments pursuant to the Amended Contract shall constitute limited obligations of the County payable solely from currently budgeted appropriations of the County and shall not constitute a pledge of the faith and credit of the County within the meaning of any constitutional debt limitation ; WHEREAS , no deficiency judgment may be rendered against the County in any action for breach of a contractual obligation under the Amended Contract , and the taxing power of the County is not and may not be pledged in any way directly or indirectly or contingently to secure any moneys due under the Amended Contract ; and WHEREAS , the Board of Commissioners desires to approve the Financing Documents and to authorize other actions in connection therewith ; NOW , THEREFORE , BE IT RESOLVED by the Board of Commissioners , as follows Section 1 All actions taken by or on behalf of the County to date to effectuate the proposed plan of refinancing , including the selection of the Underwriters and Nexsen Pruet , LLC , as special counsel or bond counsel , are hereby ratified , approved and authorized pursuant to and in accordance with the transactions contemplated by the Financing Documents Section 2 The Board of Commissioners acting in such capacity and as the governing body of each of the Districts hereby finds and confirms that i the refinancing of the Prior County Contracts , the Prior County Revolving Loans , the Prior County Revenue Bonds , the Prior District Contracts , the Prior District Bonds and the various projects financed therewith by one or more installment financing contracts to be executed and delivered by the County is necessary and expedient for the County and the Districts ; ii the refinancing of the PriorPage041 June 2 , 2014 – 10 00 am Continued County Contracts , the Prior County Revolving Loans , the Prior County Revenue Bonds , the Prior District Contracts , the Prior District Bonds and the various projects financed therewith by one or more installment financing contracts to be executed and delivered by the County , under the circumstances , is preferable to a bond issue by the County or the Districts ; iii the sums to fall due under said one or more installment financing contracts to be executed and delivered by the County or the Districts are adequate and not excessive for their proposed purpose ; iv the County’s debt management procedures and policies are good and its debt will continue to be managed in strict compliance with law ; v the debt management procedures and policies of each of the Districts are good and their debt will continue to be managed in strict compliance with law ; vi the increase in taxes , if any , necessary to meet the sums to fall due under said one or more installment financing contracts to be executed and delivered by the County or the Districts will not be excessive ; vii the water rate structures effective in the Districts and the County are expected to be sufficient to service the principal and interest of the District Refunding Contracts , the District Refunding Bonds and the one or more installment financing contracts to be executed and delivered by the County ; and viii neither the County nor any District is in default regarding any of their respective debt service obligations Section 3 The refinancing of i the Prior County Contracts , the Prior County Revolving Loans and the Prior County Revenue Bonds , and ii the purchase of the District Refunding Bonds and the District Refunding Contracts , and the granting of security interests in the District Refunding Bonds , the District Refunding Contracts , and in the projects financed with the Prior County Contracts , all as provided in the Financing Documents referenced in this Resolution or as otherwise provided in this Resolution , are hereby ratified and approved Section 4 Each of the Amended Contract , the Purchase Contract and the District Refunding Contracts is hereby approved in substantially the form submitted to this meeting , and each of the Chairman of the Board of Commissioners and the County Manager is hereby authorized to execute and deliver each of those documents in the name and on behalf of the County , with such changes , insertions or omissions as the persons executing such documents may approve , including but not limited to changes , insertions or omissions related to obtaining a policy of municipal bond insurance with respect to the 2014 LOBs , their execution and delivery thereof to constitute conclusive evidence of such approval The County Clerk is hereby authorized to affix the seal of the County to each of said documents as may be appropriate and to attest to the same Section 5 The First Supplement including the form of 2014 LOB therein and the District Refunding Bonds are hereby approved in substantially the form submitted to this meeting , with such changes , insertions or omissions as appropriate , including but not limited to changes , insertions or omissions related to obtaining a policy of municipal bond insurance with respect to the 2014 LOBs , as the representative s of the County executing the Amended Contract may approve , the execution and delivery of the Amended Contract to constitute conclusive evidence of such approval The Board of Commissioners hereby approves the sale of the 2014 LOBs by the Corporation in an aggregate principal amount not in excess of the amount of moneys to be advanced to the County pursuant to the Amended Contract Section 6 Each of the Preliminary Official Statement and the Official Statement , in substantially the form of the Preliminary Official Statement submitted to this meeting , is hereby approved in substantially such form , with such changes , insertions and omissions as appropriate , including but not limited to changes , insertions or omissions related to obtaining a policy of municipal bond insurance with respect to the 2014 LOBs , and the use thereof by the Underwriters in connection with the public offering and sale of the 2014 LOBs is hereby authorized Each of the Chairman of the Board of Commissioners or the County Manager is hereby authorized to execute and deliver in the name and on behalf of the County the final Official Statement in substantially such form , with such changes , insertions and omissions , including but not limited to changes , insertions or omissions related to obtaining a policy of municipal bond insurance with respect to the 2014 LOBs , as the person executing the final Official Statement may approve , the execution and delivery thereof to constitute conclusive evidence of such approval Section 7 Each of the Chairman of the Board of Commissioners , the County Manager and the Director of Finance are authorized to approve all details of i the refinancing of the Prior County Contracts , the Prior County Revolving Loans and the Prior County Revenue Bonds , and ii the purchase of the District Refunding Bonds and the District Refunding Contract in order to refinance the Prior District Bonds , the Prior District Contracts and the related projects , including , without limitation , the amount advanced under the Amended Contract and the aggregate principal amount of the 2014 LOBs which shall not exceed 60,175,000 , the maturities , the principal amounts and the interest amounts of the Installment Payments and the 2014 LOBs , which interest amounts calculated with respect to the 2014 LOBs shall not exceed 50 per annum on an effective interest cost basis , the prepayment terms and prices which shall not exceed 103 of the principal amount being prepaid and the Underwriters ’ discount exclusive of any original issue discount which shall not exceed 20 of the principal amount of the 2014 LOBs Execution of the Amended Contract by the Chairman of the Board of Commissioners or the County Manager shall conclusively evidence such approval of all such details of said financing Section 8 The Chairman of the Board of Commissioners , the County Manager , the Director of Finance and the County Attorney are hereby authorized to take any and all such further action , including approval ofPage142 June 2 , 2014 – 10 00 am Continued modifications to the Financing Documents , and to execute and deliver for and on behalf of the County such other documents and certificates including , without limitation , agreements with securities depositories , financing statements , purchase contracts for the District Refunding Bonds and or District Refunding Contracts , appropriate tax certificates and agreements and other documents and agreements including repurchase agreements relating to the investment of the proceeds from the execution and delivery of the Amended Contract as they may deem necessary or advisable to carry out the intent of this resolution and to effect the refinancing pursuant to the Amended Contract and the other Financing Documents The County Clerk is hereby authorized to affix the seal of the County to such documents and certificates as may be appropriate and to attest to the same and to execute and deliver the same as may be needed In addition , said officers are hereby authorized to cooperate with the Underwriters in preparing and filing such filings under state securities or “ blue sky ” laws including special consents to service of process as the Underwriters may request and as the Chairman of the Board of Commissioners , the County Manager or the Director of Finance shall determine Section 9 The County covenants that , to the extent permitted by the Constitution and laws of the State of North Carolina , it will do and perform all acts and things to comply with the requirements of the Internal Revenue Code of 1986 , as amended the “ Code ” , in order to assure that interest paid with respect to the 2014 LOBs will not be includable in the gross income of the owners thereof for purposes of federal income taxation , except to the extent that the County obtains an opinion of bond counsel to the effect that noncompliance would not result in interest with respect to the 2014 LOBs being includable in the gross income of the owners of the 2014 LOBs for purposes of federal income taxation Section 10 This Resolution shall become effective immediately upon its adoption Thereupon , upon motion of Commissioner DeVan Barbour , seconded by Commissioner Cookie Pope , the foregoing resolution entitled “ RESOLUTION APPROVING REFINANCING OF CERTAIN EXISTING OBLIGATIONS OF THE COUNTY AND OF VARIOUS WATER DISTRICTS CREATED BY THE COUNTY IN AN AGGREGATE PRINCIPAL AMOUNT UP TO 60,175,000 ; THE EXECUTION AND DELIVERY BY THE JOHNSTON COUNTY FINANCE CORPORATION OF LIMITED OBLIGATION BONDS RELATED THERETO ; AUTHORIZING THE EXECUTION AND DELIVERY OF RELATED DOCUMENTS IN CONNECTION THEREWITH AND PROVIDING FOR CERTAIN OTHER RELATED MATTERS ” was passed by the following vote Ayes Commissioners Jeffrey P Carver , Cookie Pope , Allen L Mims , Jr , DeVan Barbour , Tony Braswell , Ted G Godwin , and Chad M Stewart Noes None The Chairman then introduced the following resolution , a summary of which had been provided to each Commissioner , a copy of which was available with the Clerk to the Board and which was read by title RESOLUTION APPROVING REFINANCING OF CERTAIN EXISTING OBLIGATIONS OF VARIOUS WATER DISTRICTS CREATED BY THE COUNTY ; AUTHORIZING THE EXECUTION AND DELIVERY OF RELATED DOCUMENTS IN CONNECTION THEREWITH AND PROVIDING FOR CERTAIN OTHER RELATED MATTERS WHEREAS , the Board of Commissioners desires to approve a proposed plan of refinancing of all or a portion of one or more installment financing contracts previously executed and delivered by one or more of the Districts the “ Prior District Contracts ” , which plan of refinancing would involve the purchase by the County of a refunding installment financing contract to be executed and delivered pursuant to North Carolina General Statutes 160A - 20 , as amended , by a participating District individually , a “ District Refunding Contract ” and , collectively , the “ District Refunding Contracts ” , and under it’s respective District Refunding Contract the participating District would secure the repayment by said District of the moneys advanced pursuant to such District’s District Refunding Contract by granting a security interest in all or some portion of the property financed by the Prior District Contract s of said District ; and WHEREAS , there have been submitted to this meeting draft forms of the following documents collectively , the “ District Refunding Contracts ” with respect to the refinancing of the Prior District Contracts 1 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Archer’s Lodge Contract ” , between the Archer’s Lodge Water District and the County as counterparty , pursuant to which the County will advance moneys to the Archer’s Lodge Water District to refinance the Prior District Contracts described in the Archer’s Lodge Contract , and the Archer’s Lodge Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 2 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Brogden Contract ” , between the Brogden Water District and the County as counterparty , pursuant to which the CountyPage243 June 2 , 2014 – 10 00 am Continued will advance moneys to the Brogden Water District to refinance the Prior District Contract described in the Brogden Contract , and the Brogden Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 3 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Buffalo Contract ” , between the Buffalo Water District and the County as counterparty , pursuant to which the County will advance moneys to the Buffalo Water District to refinance the Prior District Contract described in the Buffalo Contract , and the Buffalo Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 4 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Clayton Contract ” , between the Clayton Water District and the County as counterparty , pursuant to which the County will advance moneys to the Clayton Water District to refinance the Prior District Contract described in the Clayton Contract , and the Clayton Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 5 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Cleveland Contract ” , between the Cleveland Water District and the County as counterparty , pursuant to which the County will advance moneys to the Cleveland Water District to refinance the Prior District Contract described in the Cleveland Contract , and the Cleveland Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 6 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Hopewell - Pisgah Contract ” , between the Hopewell - Pisgah Water District and the County as counterparty , pursuant to which the County will advance moneys to the Hopewell - Pisgah Water District to refinance the Prior District Contracts described in the Hopewell - Pisgah Contract , and the Hopewell - Pisgah Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 7 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Ingram’s Township Contract ” , between the Ingram’s Township Water District and the County as counterparty , pursuant to which the County will advance moneys to the Ingram’s Township Water District to refinance the Prior District Contracts described in the Ingram’s Township Contract , and the Ingram’s Township Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 8 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Little Creek Contract ” , between the Little Creek Water District and the County as counterparty , pursuant to which the County will advance moneys to the Little Creek Water District to refinance the Prior District Contract described in the Little Creek Contract , and the Little Creek Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 9 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ McGee’s Crossroad Contract ” , between the McGee’s Crossroad Water District and the County as counterparty , pursuant to which the County will advance moneys to the McGee’s Crossroad Water District to refinance the Prior District Contract described in the McGee’s Crossroad Contract , and the McGee’s Crossroad Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 10 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Meadow Contract ” , between the Meadow Water District and the County as counterparty , pursuant to which the County will advance moneys to the Meadow Water District to refinance the Prior District Contract described in the Meadow Contract , and the Meadow Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 11 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ O’Neals Contract ” , between the O’Neals Water District and the County as counterparty , pursuant to which the County will advance moneys to the O’Neals Water District to refinance the Prior District Contract described in the O’Neals Contract , and the O’Neals Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; 12 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Princeton - Kenly Contract ” , between the Princeton - Kenly Water District and the County as counterparty , pursuant to which the County will advance moneys to the Princeton - Kenly Water District to refinance the Prior District Contract described in the Princeton - Kenly Contract , and the Princeton - Kenly Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ; and 13 an Installment Financing Contract , proposed to be dated on or about June 2 , 2014 the “ Wilson’s Mills Contract ” , between the Wilson’s Mills Water District and the County as counterparty , pursuant to which the County will advance moneys to the Wilson’s Mills Water District to refinance the Prior District Contract described in the Wilson’s Mills Contract , and the Wilson’s Mills Water District agrees to make periodic installment payments to the County to repay the moneys so advanced , with interest ;Page344 June 2 , 2014 – 10 00 am Continued WHEREAS , the obligations of a District to make installment payments and other payments pursuant to such District’s District Refunding Contract shall constitute limited obligations of such District payable solely from currently budgeted appropriations of such District and shall not constitute a pledge of the faith and credit of such District within the meaning of any constitutional debt limitation ; WHEREAS , each District has granted a security interest in certain water capacity contracts of such District as security for its obligations under its District Refunding Contract ; WHEREAS , no deficiency judgment may be rendered against a District in any action for breach of a contractual obligation under such District’s District Refunding Contract , and the taxing power of such District is not and may not be pledged in any way directly or indirectly or contingently to secure any moneys due under such District’s District Refunding Contract ; and WHEREAS , the Board of Commissioners , acting as the governing body of each of the Districts , desires to approve the District Refunding Contracts and to authorize other actions in connection therewith ; NOW , THEREFORE , BE IT RESOLVED by the Board of Commissioners , acting as the governing body of each of the Districts , as follows Section 1 All actions taken by or on behalf of the County or any of the Districts to date to effectuate the proposed plan of refinancing , including the selection of Nexsen Pruet , LLC , as special counsel or bond counsel , are hereby ratified , approved and authorized pursuant to and in accordance with the transactions contemplated by the District Refunding Contracts Section 2 The refinancing of the Prior District Contracts , and the granting of security interests in all or a portion of the property financed thereby , all as provided in the respective District Refunding Contracts referenced in this Resolution , are hereby ratified and approved Section 3 Each of the District Refunding Contracts is hereby approved in substantially the form submitted to this meeting , and each of the Chairman of the Board of Commissioners , the County Manager or the Director of Finance is hereby authorized to execute and deliver each of those documents in the name and on behalf of the respective Districts , with such changes , insertions or omissions as the persons executing such documents may approve , their execution and delivery thereof to constitute conclusive evidence of such approval The County Clerk is hereby authorized to affix the seal of the County to each of said documents as may be appropriate and to attest to the same Section 4 Each of the Chairman of the Board of Commissioners , the County Manager and the Director of Finance are authorized to approve all details of the District Refunding Contracts and the refinancing of the Prior District Contracts , including , without limitation , the amount advanced under each respective District Refunding Contract and the aggregate principal amount thereof , the maturities , the principal amounts and the interest amounts of the installment payments under each District Refunding Contract , which interest amount under any District Refunding Contract shall not exceed ___ per annum on an effective interest cost basis , and the prepayment terms and prices of each District Refunding Contract which shall not exceed 103 of the principal amount being prepaid Execution of a District Refunding Contract by the Chairman of the Board of Commissioners , the County Manager or the Director of Finance shall conclusively evidence such approval of all such details of said District Refunding Contract and refinancing of the Prior District Contracts Section 5 The Chairman of the Board of Commissioners , the County Manager , the Director of Finance and the County Attorney are hereby authorized to take any and all such further action , including approval of modifications to any or all of the District Refunding Contracts , and to execute and deliver for and on behalf of any or each District such other documents and certificates including , without limitation , agreements with securities depositories , financing statements , appropriate tax certificates and agreements and any other documents or agreements as they may deem necessary or advisable to carry out the intent of this resolution and to effect the refinancing pursuant to the District Refunding Contracts The County Clerk is hereby authorized to affix the seal of the County to such documents and certificates as may be appropriate and to attest to the same and to execute and deliver the same as may be needed Section 6 The County covenants that , to the extent permitted by the Constitution and laws of the State of North Carolina , it will do and perform all acts and things , and it will cause each of the Districts to do and perform all acts and things , to comply with the requirements of the Internal Revenue Code of 1986 , as amended the “ Code ” , in order to assure that interest paid with respect to the District Refunding Contracts will not be includable in the gross income of the owners thereof for purposes of federal income taxation , except to the extent that the County obtains an opinion of bond counsel to the effect that noncompliance would not result in interest with respect to the District Refunding Contracts being includable in the gross income of the owners thereof for purposes of federal income taxation Section 7 This Resolution shall become effective immediately upon its adoption Page445 June 2 , 2014 – 10 00 am Continued Thereupon , upon motion of Commissioner Cookie Pope , seconded by Commissioner Ted G Godwin , the foregoing resolution entitled “ RESOLUTION APPROVING REFINANCING OF CERTAIN EXISTING OBLIGATIONS OF VARIOUS WATER DISTRICTS CREATED BY THE COUNTY ; AUTHORIZING THE EXECUTION AND DELIVERY OF RELATED DOCUMENTS IN CONNECTION THEREWITH AND PROVIDING FOR CERTAIN OTHER RELATED MATTERS ” was passed by the Board of Commissioners of the County , acting as the governing body of each of the Districts , by the following vote Ayes Commissioners Jeffrey P Carver , Cookie Pope , Allen L Mims , Jr , DeVan Barbour , Tony Braswell , Ted G Godwin , and Chad M Stewart Noes None The Chairman then introduced the following resolution , a summary of which had been provided to each Commissioner , a copy of which was available with the Clerk to the Board and which was read by title RESOLUTION PROVIDING FOR THE ISSUANCE OF 3,200,000 GENERAL OBLIGATION REFUNDING BONDS , SUBJECT TO ADJUSTMENT AS PROVIDED HEREIN BE IT RESOLVED by the Board of Commissioners the “ Board ” of the County of Johnston , North Carolina the “ County ” , acting as the governing body of Buffalo Water District the “ District ” Section 1 The Board has determined and does hereby find , declare and represent a That an order the “ 2013 Order ” authorizing 3,200,000 Refunding Bonds was adopted by the District on July 1 , 2013 , which order has taken effect b That none of the refunding bonds authorized to be issued by the 2013 Order have been issued , that no notes have been issued in anticipation of the receipt of the proceeds of the sale of any refunding bonds and that it is necessary at this time to issue all or a portion of said refunding bonds and to use the proceeds thereof , together with any other funds necessary , to currently refund the District’s i General Obligation Bond , Series 2004A , dated June 1 , 2004 , with an outstanding principal amount of 2,403,000 and ii General Obligation Bond , Series 2004B , dated June 1 , 2004 , with an outstanding principal amount of 220,000 collectively , the “ Bonds to be Refunded ” c That the Bonds to be Refunded financed , together with any other funds necessary , various improvements to the water system of the District d That the shortest period of time in which the Bond to be Refunded can be finally paid without making it unduly burdensome on the taxpayers of the District , as determined by the Local Government Commission of North Carolina , is a period which expires not later than December 31 , 2044 Section 2 Pursuant to the 2013 Order there shall be issued bonds of the District in an aggregate principal amount of 3,200,000 , with such amount subject to adjustment as hereinafter set forth , designated “ General Obligation Refunding Bonds , Series 2014 ” and dated their date of delivery , or such other date as may be designated by the County Manager or Director of Finance the “ Series 2014 Bonds ” The Chairman or Vice - Chairman of the Board , the County Manager or the Director of Finance , respectively , each acting on behalf of the District , may increase or decrease the aggregate principal amount of the Series 2014 Bonds by any amount , so long as such amount shall not exceed 3,200,000 , as determined to be in the best interest of the District , and may make any such increase or decrease at any time before the Series 2014 Bonds are delivered The Series 2014 Bonds shall be stated to mature subject to adjustment as hereinafter set forth annually , June 1 or such other date designated in accordance with the immediately preceding sentence , in the amounts set forth beside the applicable maturity date in a certificate