June 1, 1998 - 10:00 AM - County Board of Commissioners Meeting Minutes

June 1, 1998 - RegularJune 1, 1998The Johnston County Board of Commissioners met in regular session Monday, June 1, 1998, at 1000am in the Commissioners Meeting 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, Thomas M Moore and James H Langdon, JrAbsent NoneAlso Present Richard B Self, County Manager, Joyce H Ennis, Clerk to the Board, and MarkPayne, AttorneyThe Chairman called the meeting to order and the following business was transacted1 MinutesChairman Denning asked if there were any corrections to the minutes of the April 30, May 4, andMay 11, 1998 board meetings There being no corrections, the Chairman declared the minutes approvedas presented2 Introduction of County Staff Attorney - J Mark PayneCounty Manager, Richard Self, introduced the new staff attorney, Mark Payne The Boardwelcomed Mr Payne to Johnston County3 Public Hearing - 1000 am - Department of Transportation - 1998 -99 Secondary RoadConstruction ProgramAdvertised in all local newspapers during the weeks of May 18 -29, 1998The Chairman opened the public hearing and stated the purpose of the hearing is for public inputon the proposed 1998 -99 NC Department of Transportation Secondary Road Construction ProgramDurwood Stephenson, member of the NC Board of Transportation, introduced DOT officials thatwere present Don Dupree, Division Engineer, Tim Little, Johnston County Maintenance Engineer, GeorgeEason, Division Maintenance Engineer, and Bryant Bunn, District Engineer He complimented theCommissioners, the County Manager, and the Planning Director for their initiative in planning for thefuture growth of the County, particularly in working with the Department of Transportation concerningpotential road and traffic problemsMr Stephenson informed the Board there has been a small reduction in funding for the upcomingyears road construction program The Highway Fund and the Secondary Bond Fund will remain level,however, the Secondary Trust Fund has been reduced by 25 Bryant Bunn reviewed the 1998 -99 program and offered to answer questionsFollowing discussion, and upon a motion by Commissioner Jerry F Wood, seconded byCommissioner Thomas M Moore and carried by unanimous vote, the Board adopted the followingresolution approving the 1998 -99 Secondary Road Construction Program as presented by the NCDepartment of TransportationResolution Approving the 1998 -99 Secondary Road Construction ProgramWHEREAS The Johnston County Board of Commissioners has received from the Department ofTransportation the 1998 -99 Secondary Road Construction Program as presented byNorth Carolina Department of Transportation officials, said roads being a part of thesystem maintained by the Department of Transportation, Division of Highways; andWHEREAS After careful consideration of the services rendered by said roads and the trafficdemands of said County, it is deemed necessary that said roads be improved in orderto better serve the interest of the people of Johnston County56NOW THEREFORE BE IT RESOLVED that the Johnston County Board of Commissioners herebyapproves and requests that the North Carolina Department of Transportationmake the followingimprovements in said roads listed on the attached Secondary Road ConstructionProgram for 1998 -99Adopted this 1St day of June 19981998 -99 North Carolina Department of TransportationProposed Secondary Road ProgramJohnston CountyJune 1, 1998Anticipated FundingHWY 1,353,19600Anticipated Funding TRUST 1,598,24300Anticipated Funding BOND 632,1010025 Reduction TRUST - 399,56000Balance Forward HWY - 370,00000Balance Forward TRUST - 285,00000Balance Forward BOND - 49,00000TOTAL ANTICIPATED 2,479,98000MapAnticipatedNumber Priority DescriptionLengthCost1 15 SR 1191 Almon Road140200,00000From SRI 188 to SR 10082 16 SR 2369 Fellowship Church Road150210,00000From SR2342 to SR 23203 17 SR 1365 Gardner Road120168,00000From SR1308B to SR13504 18 SR 1747 Wall Road150210,00000From SR1701 to SR17165 19 SR 1505 Dickerson Road160224,00000From SR1504 to SR10106 20 SR 1742B Salem Church Road06085,00000From SR1741 to SR17017 21 SR 1155 Wood -Lee Road070100,00000From SRI 162 to SRI 1578 22 SR 1149 Coats Road130185,00000From SRI 143 to SRI 1489 23 SR 1539 Sweetbrair Road080115,00000From NC210 to SR153810 24 SR 1354 Cornelia Road160225,00000From US301 to SR133011 25 SR 1351 Jackson Road090128,00000From SRI 166 to Dead End12 26 SR 2538 Toler Road from080115,00000SR25 35 to Wayne County Line13 27 SR 1139 West Johnson Road220From SRI 136 to NC9614 28 SR 2336A River Run Road110From SR2335 to SR100115 29 SR I I I IB Mamie Road170From SRI 113 to NC9616 30 SR 1153 Webb Mill Road090From NC96 to SRI 162OTHERDescriptionAnticipated CostsContingency Fund Surveys,188,00000Right of Ways, Fire DeptAnd Rescue Driveways andOverdraftsMaintenance fund allocation used to326,00000supplement the maintenance budgetfor activities such as57Shoulder repair, spot stabilization,pipe replacement, safety projects,Industrial access, etcSummary of the 1997 -1998 programLength Cost #Homes #BusinessesTotal Rural 1390 1,965,00000 145 12Total Other NA 514,00000 NAOverall Total 1390 2,479,00000 145 12THIS PROGRAM IS SUBJECT TO AVAILABILITY OF FUNDING, RIGHT OF WAY, ANDENVIRONMENTAL REVIEWROADS THAT DO NOT SHOW FUNDING ARE SUBMITTED FOR APPROVAL IN THEEVENT THAT HIGHER PRIORITY ROADS CANNOT BE CONSTRUCTED DUE TOUNAVAILABLE RIGHT OF WAY4 Department of Transportation - Additions to SystemThe Board reviewed a petition presented by the North Carolina Department of Transportationrequesting the following roads be added to the State Secondary System for maintenanceWalker Run and Buck Trail in Walker Run Subdivision, Wilder TownshipAmber Lane, Carolina Ave, Morning View Court in Golden Lake Subdivision, Pleasant GroveTownshipTopeka Lane, Danbury Court, and Chandler Court in Summerville Subdivision, Pleasant GroveTownshipPalmer Drive, Crenshaw Court and Hogan Circle in Glen Ridge Subdivision, Pleasant GroveTownshipMorgan Parkway, Belgium Place, and Clydesdale Drive in Buffalo Creek Subdivision, WildersTownshipSouthmont Lane, Riverwood Drive, Raymond Drive, Casper Court, Linwood Lane, TranthamTrail, and Marcellus Way in Riverwood Subdivision, Wilders TownshipFollowing review, Commissioner James W Cash moved the Board concur with the NC Departmentof Transportations request to add the roads listed above to the State Maintained System CommissionerEleanor N Creech seconded the motion, which carried by unanimous vote5 Clayton, Cleveland, and Wilsons Mills Water Districts - Bond Anticipation NotesUpon a motion by Commissioner Cookie Pope, seconded by Commissioner James H Langdon, Jrand carried by unanimous vote, the Board recessed regular session to sit simultaneously as the Clayton,Cleveland and Wilsons Mills Water District BoardsA Acting as the Clayton Water District BoardThe following resolution was discussed and its title was readRESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF GENERALOBLIGATION WATER BOND ANTICIPATION NOTES OF THE CLAYTONWATER DISTRICT OF JOHNSTON COUNTY, NORTH CAROLINA IN THEAGGREGATE PRINCIPAL AMOUNT OF 3,560,000 FOR THE PURPOSE OFFINANCING A WATER SYSTEMWHEREAS, the Bond Order hereinafter described was authorized and adopted by the Board ofCommissioners of Johnston County the Board, acting as the governing body of the Clayton WaterDistrict of Johnston County the District on July 1, 1996, and approved by a majority of the qualifiedvoters of the District voting thereon at a referendum held on August 30, 1996; andWHEREAS, the Board desires to provide for the issuance of 3,560,000 water bond anticipationnotes the Notes pursuant to said Bond Order;• WNOW, THEREFORE, the Board of Commissioners of Johnston County, acting as the governingbody of the Clayton Water District of Johnston County, meeting in regular session in Smithfield, NorthCarolina, on June 1, 1998, does the followingBE IT RESOLVED BY THE BOARD OF COMMISSIONERS FOR JOHNSTON COUNTY,ACTING AS THE GOVERNING BODY OF THE CLAYTON WATER DISTRICT OF JOHNSTONCOUNTY, NORTH CAROLINAI The District shall issue its general obligation water bond anticipation notes in an aggregateprincipal amount of 3,560,000 pursuant to and in accordance with the Bond Order entitledBOND ORDER AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS OFTHE CLAYTON WATER DISTRICT IN THE MAXIMUM AGGREGATE PRINCIPALAMOUNT OF 4,200,000 FOR THE PURPOSE OF FINANCING, IN PART, THEACQUISITION, CONSTRUCTION AND EQUIPPING OF A WATER SYSTEM IN THEDISTRICT2 The Notes shall be dated June 1, 1998 or such later date as may be directed or approved by theLGC and the Board, shall be in denominations as specified by the purchaser thereof, shall be numberedappropriately and shall be substantially in the form of note attached hereto as Exhibit A The Notes shallmature and bear interest payable on June 1, 1999, or such later date as may be approved by the LGC andthe Board, so long as the maturity for the Notes does not exceed one 1 year The Notes shall bearinterest at such rate as shall be determined by the Chairman and the North Carolina Local GovernmentCommission the LGC, as hereinafter defined, at the time of sale, provided such interest rate does notexceed seven percent 70 Principal and interest shall be payable to the holders upon surrender ofnotes as they become due at the principal corporate trust office of such institution as may be designatedas paying agent for the notes by the purchaser Principal and interest shall be payable in lawful moneyof the United States of America3 The Notes will not be subject to redemption prior to maturity4 The Notes shall be signed by the manual signature of the Chairman, shall be countersigned bythe manual signature of the Clerk and the District own seal shall be affixed thereon The Notes shall notbe valid until they have been endorsed by the signature of the authorized representative of the LGC5 The full faith and credit and taxing power of the District are hereby irrevocably pledged for thepayment of principal of and interest on the Notes Unless other funds are lawfully available andappropriated for timely payment of the Notes, the Board shall levy and collect taxes and raise otherrevenues for payment of the principal of and interest on the Notes, as the same become due and payable6 The LGC is hereby requested to sell said 3,560,000 Notes7 The Board covenants on behalf of the District that so long as any of the installments of principaland interest on the Notes are outstanding and unpaid, the District shall not take or omit to take any actionthe taking or omission of which will cause the notes to be arbitrage bonds within the meaning of Section148 of the Internal Revenue Code of 1986, as amended the Code, or otherwise cause interest on theNotes to be includable in the gross income of the holders thereof8 The Board hereby covenants that it will not permit the gross proceeds of the Notes to be used inany manner that would result in either a 5 or more of such proceeds being considered as having beenused directly or indirectly in any trade or business carried on by any person other than a governmental unitas provided in Section 141b of the Code, b 5 of such proceeds being used with respect to any outputfacility other than a facility for the furnishing of water, within the meaning of Section 141b4 of theCode, or c 5 or more of such proceeds being considered as having been used directly or indirectly tomake or finance loans to any person other than a governmental unit as provided in Section 141c of theCode; provided, however, that if the Board receives an opinion of bond counsel acceptable to theregistered owners of the notes and that any such restriction is not required to prevent the interest on theNotes from being includable in the gross income of the registered owners thereof under existing statutes,the Board need not comply with such restriction9 The Notes are hereby designated as qualified tax - exempt obligations for purposes of Section265b3 of the Codea The Board will in no event designate more than 10,000,000 of obligations as qualified tax -exempt obligations in 1998, including the Notes, for the purpose of such Section 265b3;b The District and all its subordinate entities within the meaning of Section 265b3 of theCode have not issued more than 10,000,000 of tax-exempt obligations in 1998 not including privateactivity bonds, as defined in Section 141 of the Code, other than qualified 501c3 bonds, as definedin Section 145 of the Code, including the Notes;c Barring circumstances unforeseen as of the date of delivery of the Notes, the Board will notapprove the issuance of tax - exempt obligations of the District or such subordinate entities if the issuanceof such tax - exempt obligations would, when aggregated with all other tax - exempt obligations theretofore59issued in 1998 by the District and such subordinate entities, result in the District and such subordinateentities having issued a combined total of more than 10,000,000 of tax - exempt obligations in 1998 notincluding private activity bonds other than qualified 501c3 bonds, including the Notes; andd The Board has no reason to believe that the District and such subordinate entities will issuetax - exempt obligations in 1998 in an aggregate amount that will exceed such 10,000,000 limit;provided, however, that if the Board receives an opinion of bond counsel acceptable to the registeredowners of the Notes that compliance with any restriction set forth in b or c above is not required forthe Notes to be qualified tax - exempt obligations, the Board need not comply with such restriction10 The Board hereby represents and covenants as followsa The District and all its subordinate entities within the meaning of Section148f4D11 ofthe Code have not issued more than 5,000,000 oftax- exempt obligations in 1998 notincluding private activity bonds, including the Notes;b Barring circumstances unforeseen as of the date of delivery of the Notes, the Board willnot approve the issuance of tax - exempt obligations of the District or such subordinate entities if theissuance of such tax - exempt obligations would, when aggregated with all other tax - exempt obligationstheretofore issued in 1998 by the District and such subordinate entities, result in the District and suchsubordinate entities having issued a combined total of more than 5,000,000 of tax - exempt obligationsin 1998 not including private activity bonds, including the Notes;c The Board has no reason to believe that the District and such subordinate entities will issuetax - exempt obligations in 1998 in an aggregate amount that will exceed such 5,000,000 limit;d At least 95 of the proceeds of the Notes shall be used for local government activitiesof the District within the meaning of Section 148f4111 of the Code; provided, however, that if theBoard receives an opinion of bond counsel acceptable to the registered owners of the Notes thatcompliance with any restriction set forth in b or d above will not prevent the District from having torebate to the United States any part of the earnings derived from the investment of the gross proceeds ofthe Notes, the Board need not comply with such restriction11 The Chairman and the Clerk are hereby authorized and directed to take all proper steps to havethe Notes prepared and, when they shall have been duly sold by the LGC, to execute the Notes and todeliver the Notes to the State Treasurer of North Carolina for delivery to the purchaser or purchasers towhom they may be sold by the LGC12 All other actions of officers of the District in conformity with the purposes and intent of thisresolution and in furtherance of the issuance and sale of the Notes are hereby approved and confirmed13 Such officers of the District as may be requested are hereby authorized and directed to executeappropriate closing papers including a certificate setting forth the expected use and investment of theproceeds of the Notes in order to show that such expected use and investment will not violate theprovisions of Section 148 of the Code and regulations issued pursuant thereto, applicable to arbitragebonds Such papers and certificates shall be in such form as may be requested by bond counsel for theDistrict14 This resolution, in particular Section 2 hereof, constitutes a system of registration for the notespursuant to NCGS § 159E -415 All resolutions or parts of resolutions in conflict herewith are hereby repealed16 This resolution shall take effect immediately; however this resolution is subject to receipt ofapproval for full funding by USDA Rural DevelopmentCommissioner Thomas M Moore moved the passage ofthe foregoing resolution and CommissionerJames H Langdon, Jr seconded the motion, and the resolution was passed by the following voteAyes Commissioners Norman C Denning, James W Cash, Jerry F Wood, Eleanor N Creech,Thomas M Moore, Cookie Pope, and James H Langdon, JrNays NoneNot voting NoneB Acting as the Cleveland Water District BoardThe following resolution was discussed and its title was readRESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF GENERALOBLIGATION WATER BOND ANTICIPATION NOTES OF THE CLEVELANDWATER DISTRICT OF JOHNSTON COUNTY, NORTH CAROLINA IN THEAGGREGATE PRINCIPAL AMOUNT OF 3,725,000 FOR THE PURPOSE OFFINANCING A WATER SYSTEM• WHEREAS, the Bond Order hereinafter described was authorized and adopted by the Board ofCommissioners of Johnston County the Board, acting as the governing body of the Clayton WaterDistrict of Johnston County the District on August 5, 1996, and approved by a majority of the qualifiedvoters of the District voting thereon at a referendum held on October 4, 1996; andWHEREAS, the Board desires to provide for the issuance of 3,725,000 water bond anticipation notesthe Notes pursuant to said Bond Order;NOW, THEREFORE, the Board of Commissioners of Johnston County, acting as the governing bodyof the Cleveland Water District of Johnston County, meeting in regular session in Smithfield, NorthCarolina, on June 1, 1998, do the followingBE IT RESOLVED BY THE BOARD OF COMMISSIONERS FOR JOHNSTON COUNTY,ACTING AS THE GOVERNING BODY OF THE CLEVELAND WATER DISTRICT OFJOHNSTON COUNTY, NORTH CAROLINAI The District shall issue its general obligation water bond anticipation notes in an aggregateprincipal amount of 3,725,000 pursuant to and in accordance with the Bond Order entitledBOND ORDERAUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS OFTHE CLEVELAND WATER DISTRICT IN THE MAXIMUM AGGREGATE PRINCIPALAMOUNT OF 4,000,000 FOR THE PURPOSE OF FINANCING, IN PART, THEACQUISITION, CONSTRUCTION AND EQUIPPING OF A WATER SYSTEM IN THEDISTRICT2 The Notes shall be dated June 1, 1998 or such later date as may be directed or approved by theLGC and the Board, shall be in denominations as specified by the purchaser thereof, shall be numberedappropriately and shall be substantially in the form of note attached hereto as Exhibit A The Notes shallmature and bear interest payable on June 1, 1999, or such later date as may be approved by the LGC andthe Board, so long as the maturity for the Notes does not exceed one 1 year The Notes shall bearinterest at such rate as shall be determined by the Chairman and the North Carolina Local GovernmentCommission the LGC, as hereinafter defined, at the time of sale, provided such interest rate does notexceed seven percent 70 Principal and interest shall be payable to the holders upon surrender ofnotes as they become due at the principal corporate trust office of such institution as may be designatedas paying agent for the notes by the purchaser Principal and interest shall be payable in lawful moneyof the United States of America3 The Notes will not be subject to redemption prior to maturity4 The Notes shall be signed by the manual signature of the Chairman, shall be countersigned bythe manual signature of the Clerk and the District own seal shall be affixed thereon The Notes shall notbe valid until they have been endorsed by the signature of the authorized representative of the LGC5 The full faith and credit and taxing power of the District are hereby irrevocably pledged for thepayment of principal of and interest on the Notes Unless other funds are lawfully available andappropriated for timely payment of the Notes, the Board shall levy and collect taxes and raise otherrevenues for payment of the principal of and interest on the Notes, as the same become due and payable6 The LGC is hereby requested to sell said 3,725,000 Notes7 The Board covenants on behalf of the District that so long as any of the installments of principaland interest on the Notes are outstanding and unpaid, the District shall not take or omit to take any actionthe taking or omission of which will cause the notes to be arbitrage bonds within the meaning of Section148 of the Internal Revenue Code of 1986, as amended the Code, or otherwise cause interest on theNotes to be includable in the gross income of the holders thereof8 The Board hereby covenants that it will not permit the gross proceeds of the Notes to be used inany manner that would result in either a 5 or more of such proceeds being considered as having beenused directly or indirectly in any trade or business carried on by any person other than a governmental unitas provided in Section 141b ofthe Code, b 5 of such proceeds being used with respect to any outputfacility other than a facility for the furnishing of water, within the meaning of Section 141b4 of theCode, or c 5 or more of such proceeds being considered as having been used directly or indirectly tomake or finance loans to any person other than a governmental unit as provided in Section 141c of theCode; provided, however, that if the Board receives an opinion of bond counsel acceptable to theregistered owners of the notes and that any such restriction is not required to prevent the interest on theNotes from being includable in the gross income of the registered owners thereof under existing statutes,the Board need not comply with such restriction9 The Notes are hereby designated as qualified tax - exempt obligations for purposes of Section265b3 of the Codea The Board will in no event designate more than 10,000,000 of obligations as qualified tax -exempt obligations in 1998, including the Notes, for the purpose of such Section 265b3;DetailsAnnotationsEntry PropertiesModified11192013 13903 PMCreated3242003 13542 PMTemplateMinutesFieldsMinutes - TypeRegularMinutes - Date611998Book21