October 28, 1998 - 7:45 - County Board of Commissioners Meeting Minutes (Special)

October 28, 1998The Johnston County Board of Commissioners met in special session on Wednesday, October 28,1998, at 745 am in the Commissioners' Room, Johnston County Courthouse Annex, Smithfield, NorthCarolina, with the following membersPresent Norman C Denning, Chairman, James W Cash, Vice Chairman, Jerry F Wood,Eleanor N Creech, Cookie Pope, and James H Langdon, JrAbsent Thomas M MooreAlso Present Richard B Self, County Manager, Joyce H Ennis, Clerk to the Board, and Mark Payne,AttorneyChairman Norman C Denning called the meeting to order, and the following business wastransacted1 Resolution Authorizing the Filing of Application for Approval of an Installment FinancingContract in an Amount not to Exceed 9,500,000 for the Construction of a New School inthe Archer's Lodge Area North of ClaytonCounty Manager, Richard Self, explained the Chairman called this special meeting in order forthe Board to consider a resolution, which would begin the process of installment financing for theconstruction of a proposed new elementary school in the Archer's Lodge area north of Clayton The Boardof Education appeared before the Commissioners in September explaining that due to the increase inpopulation, the school needs to be opened in the fall of 2000 He noted the resolution states that anincrease in taxes, if any, necessary to meet the sums to fall due under the proposed contract would not begreater than approximately two cents per 100 valuation If approved, he stated he and the FinanceOfficer, John Massey, would be seeking bids from financial institutions, and will solicit at least six bidsfor the 15-year financing If the Board adopts the resolution, a public hearing on this matter would needto be scheduledCommissioner James H Langdon, Jr asked why the special meeting was neededCommissioner Eleanor N Creech stated it was her understanding the goal was to meet the timingfor the Local Government Commission LGC to consider this request at their December meeting, so theSchool Board would have the funds to proceed by the first of the new yearFinance Officer, John Massey, concurred and noted the LGC wants the application several weeksprior to their meeting It was also explained that a public hearing will need to be advertised and heldbefore the final resolution can be adopted and the application submittedCommissioner Langdon voiced concern that regardless of the reason, the timing appears to bepolitical since it is only a few days before the election He noted the Futures Committee will be makinga report soon, and since the site for the school has been donated, in his opinion, the School Board couldhave proceeded with their planning, and a decision on financing could have been put off until the regularmeeting on November 2, 1998 He pointed out that if another solution is found, the County will have tiedup the money in this way unnecessarily However, given the time limit for the school, in his opinion, theCOP's financing would probably be the way to proceed For that reason, he stated he would support theadoption of this resolutionCommissioner Creech responded that, in her opinion, if all the Board members support theschools, and support the building and financing necessary to provide schools, the timing should not makea difference Ifthe school is needed, and it is, then the Commissioners must do something, and this seemsto be the best solutionCommissioner James W Cash noted if other resources are found, the County can use the fundsto pay off the bond indebtednessChairman Norman C Denning stated he called the meeting because he was asked to and felt itwas a good idea to go ahead and proceed with the process for borrowing the funds needed by the SchoolBoard to build the school