August 7, 2023 - 10:00 AM - County Board of Commissioners Meeting Minutes

10 691 Meeting of the Johnston County Board of Commissioners August 7 , 2023 10 00 am The Johnston County Board of Commissioners met in regular session Monday , August 7 , 2023 at 10 00 am in the Commissioners Meeting Room , Johnston County Courthouse Annex , Smithfield , North Carolina The following members were present Present Chairman RS “ Butch ” Lawter , Jr , Vice Chairman Patrick E Harris , Tony Braswell , Ted G Godwin , Fred J Smith , Jr , Richard D Braswell , and April Stephens Absent None Also Present County Manager Rick J Hester , Clerk to the Board Dana G Cuddington , Finance Officer and Deputy County Manager J Chad McLamb , County Attorney Jennifer J Slusser , and Executive Assistant Deputy Clerk to the Board Susie Reeves Chairman RS “ Butch ” Lawter , Jr called the meeting to order at 10 00 am Commissioner Ted G Godwin opened the meeting with a prayer Vietnam Veterans of America Group 990 led everyone in the Pledge of Allegiance to the American Flag Commissioner Godwin asked everyone to remember that today is Purple Heart Remembrance Day Chairman Lawter reminded everyone of the Board’s six priorities including Public Safety , Infrastructure , County Employees , Financial Stewardship , Educational Funding , and Land Use and the Board’s continuing efforts to keep these priorities in mind when working through the agenda Chairman Lawter recognized and welcomed Johnston County Board of Education Chair Lyn Andrews who has requested to speak during Public Comment 1 Approval Discussion of Agenda Upon a motion by Vice Chairman Patrick E Harris , seconded by Commissioner Ted G Godwin , and carried by unanimous vote , the Board approved the agenda with an amendment to move the visit from 2023 Miss North Carolina Teen Hanley Claire House to the evening meeting 2 Consent Agenda Items Upon a motion by Commissioner Ted G Godwin , seconded by Vice Chairman Patrick E Harris , and carried by unanimous vote , the Board approved the consent agenda items as follows , including waivers in the length of service policy for the appointments where needed A Approval of Minutes – June 19 , 2023 6 00 pm ; July 17 , 2023 10 00 am and 6 00 pm B Department of Transportation – Additions to System The Board concurred with the North Carolina Department of Transportation’s recommendation to add the following roads to the State Maintained System Williamson Place Drive and Green Pine Circle – Williamson Place – Boon Hill Township Ryland Drive – Sunset Ridge – Cleveland Township C Cooperative Extension – Amendments to the Agricultural Center Auditorium Use Policy and Facility Use Agreement , approved as follows Page692 August 7 , 2023 – 10 00 am ContinuedPage693 August 7 , 2023 – 10 00 am ContinuedPage694 August 7 , 2023 – 10 00 am ContinuedPagePage pageNumber5695 August 7 , 2023 – 10 00 am ContinuedPagePage pageNumber6696 August 7 , 2023 – 10 00 am ContinuedPagePage pageNumber7697 August 7 , 2023 – 10 00 am Continued D Budget Revisions , approved as follows Emergency Services REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 53557400 Capital Outlay 88,00000 TOTAL NET EXPENDITURES 88,00000 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 535533513 Insurance Recovery 88,00000 TOTAL NET REVENUE 88,00000 Health REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 59157819 COVID 19 Expense 612,85500 TOTAL NET EXPENDITURES 612,85500 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 591534155 State Grant 612,85500 TOTAL NET REVENUE 612,85500 Health REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 59550200 Salaries & Wages 13,42900 TOTAL NET EXPENDITURES 13,42900 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 595534155 State Grant 13,42900 TOTAL NET REVENUE 13,42900 Health REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 59157819 COVID 19 Expense 299,84100 TOTAL NET EXPENDITURES 299,84100 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 591534155 State Grant 299,84100 TOTAL NET REVENUE 299,84100 Jail REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 52003205 Food & Provisions 7360 10 52003601 SCAAP 8,97000 TOTAL NET EXPENDITURES 9,04360 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 520033099 Miscellaneous Revenue 7360 10 520036119 Sale of Assets 8,97000 TOTAL NET REVENUE 9,04360PagePage pageNumber8698 August 7 , 2023 – 10 00 am Continued Sheriff REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 51001700 Vehicles 5,09490 10 51003350 Supplies - Special - Sheriff 10000 10 51004300 Special Services 54000 10 51007414 Capital Outlay - Sheriff 9,52512 10 51007418 Capital Outlay – Drug Seizure 25,99000 TOTAL NET EXPENDITURES 41,25002 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 510032106 Controlled Substance Tax 9,52512 10 510032509 Insurance Recovery 4,81490 10 510033099 Miscellaneous Revenue 64000 10 510035104 Sheriff Fees 28000 10 510036119 Sale of Assets 25,99000 TOTAL NET REVENUE 41,25002 Sheriff REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 51003350 Supplies - Special 16,46748 10 51007414 Capital Outlay - Sheriff 210,58404 10 51007418 Capital Outlay – Drug Seizure 977,90517 TOTAL NET EXPENDITURES 1,204,95669 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 460033990 Fund Balance Appropriated 1,204,95669 TOTAL NET REVENUE 1,204,95669 Social Services REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61001100 Telephone 5028 10 61001400 Travel 366 10 61001900 General Assistance 74104 10 61003211 Verifications 5000 10 61003341 Foster Children’s Endowment 15000 10 61004515 Program Expense 4,43285 10 61101917 LIEAP Program 5,81545 10 61106217 Low Income Household Water Assist Program 2,59885 10 61354523 Contract and Program Expense 3,35625 10 61401902 State County General Assistance 22,76128 10 61401906 State Foster Care 39814 10 61451906 State Foster Care 39814 TOTAL NET EXPENDITURES 40,75594 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 610034123 Social Service Administration 40,75594 TOTAL NET REVENUE 40,75594PagePage pageNumber9699 August 7 , 2023 – 10 00 am Continued E Appointments , approved as follows Johnston - Lee - Harnett Community Action Board – Dawn C Winn - Burdo was reappointed for a two year term to expire on August 31 , 2025 and was granted a waiver in the length of service policy Livestock Arena Management Board – Chad E Holloman , Eric W Honeycutt , Connor Edwin Peacock , and Paul H “ Sonny ” Howard , Jr were reappointed for two year terms to expire on August 31 , 2025 with Mr Honeycutt and Mr Howard receiving waivers in the length of service policy F Tax Releases & Refunds – 06 16 2023 – 07 15 2023 Real Personal Property Releases TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 6 21 2023 1 49 46 PM cfutch 2023 - 201780 2000159882 TUCKER , TRENTON GLEN 1,37282 6 21 2023 1 50 23 PM cfutch 2023 - 201785 2000159882 TUCKER , TRENTON GLEN 1,29813 6 21 2023 1 50 53 PM cfutch 2023 - 201786 2000159882 TUCKER , TRENTON GLEN 73179 6 21 2023 1 51 26 PM cfutch 2023 - 201789 2000159882 TUCKER , TRENTON GLEN 21148 6 21 2023 1 53 30 PM cfutch 2023 - 201731 2000219993 TUCKER , TRENTON G 22893 6 21 2023 1 56 05 PM cfutch 2023 - 201732 2000219993 TUCKER , TRENTON G 19077 6 21 2023 1 58 54 PM cfutch 2023 - 201734 2000219993 TUCKER , TRENTON G 15332 6 21 2023 2 00 45 PM cfutch 2023 - 201737 2000219993 TUCKER , TRENTON G 11499 6 27 2023 12 13 52 PM ALassiter 2022 - 201557 2000221238 HARBECK , VIRGINIA N 60082 6 27 2023 12 25 56 PM ALassiter 2022 - 89747 2000235939 PRIMORIS TRANSMISSION & 22055 DISTRIBUTION Real Personal Property Refunds TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 6 16 2023 10 14 00 AM tmeacomes 2022 - 94008 2000245727 FACCHINO , ANTHONY N 2,50942 JOINT TENANTS WROS 6 16 2023 10 16 54 AM tmeacomes 2022 - 94008 2000245727 FACCHINO , ANTHONY N 12754 JOINT TENANTS WROS 6 19 2023 1 44 16 PM awstancil 2022 - 108782 2000174806 TFTC ACADEMY 12965 6 20 2023 12 48 02 PM tmeacomes 2022 - 81685 2000028536 ORTIZ , JOSE ANTONIO 16071 6 21 2023 1 47 55 PM tmeacomes 2022 - 43261 2000235689 PLEASANTS , KASEY LANE 28776 6 22 2023 8 22 24 AM PHONE 2022 - 106071 97283260 WINSTON , CARY ARTHUR 76059 6 22 2023 1 34 24 PM awstancil 2022 - 87055 2000056715 SELLERS , QUOVADIS 18340 VONTELL BLUE 6 22 2023 1 38 41 PM awstancil 2022 - 12841 2000119931 BOONE , REBECCA DIXON 63050 6 27 2023 3 45 41 PM awstancil 2022 - 97756 2000099102 TUBB , BRADY P 70000 6 28 2023 10 57 31 AM awstancil 2022 - 99261 2000222827 SAUCEDO , ANGEL ENRIQUE 11832 6 29 2023 12 49 16 PM jevans 2022 - 68896 2000076128 MUNOZ , GUADALUPE 14452 7 5 2023 10 29 18 AM tmeacomes 2022 - 99261 2000222827 SAUCEDO , ANGEL ENRIQUE 17583 7 10 2023 8 31 38 AM tmeacomes 2022 - 65276 2000210075 LASSITER , WILLIS DANIEL 10397 LASSITER JR 7 10 2023 1 38 39 PM awstancil 2022 - 55797 2000188726 LANGDON , ALEX C 34278 7 10 2023 1 43 08 PM awstancil 2022 - 94118 2000203795 SULLIVAN , MICHAEL PERRY 18196 7 10 2023 1 47 50 PM awstancil 2022 - 101475 2000145243 WEBSTER , JOHN BELVIN III 23488 7 11 2023 10 49 16 AM awstancil 2022 - 30401 2000206378 EDWARDS , CRYSTAL D 18008 7 12 2023 12 37 16 PM tmeacomes 2022 - 99261 2000222827 SAUCEDO , ANGEL ENRIQUE 16029 North Carolina Vehicle Tax System - Pending Refund Report – June 2022 100 + Payee Name Bill # Transaction # Refund Total Reason Change BIRSCHBACH , 0073064213 376186532 Situs error 000 MARY - JO 32428 5120 10809 38117 0072920116 187587158 Military 13932 Page0700 August 7 , 2023 – 10 00 am Continued BYRD , BRYAN 1717 MITCHELL 15649 SOBOTKA , 0073001371 375903672 Situs error 000 ASHLEY 21369 NICOLE 2999 7123 25493 0072620008 187227912 Military 30178 TODRZAK , STEPHEN 3307 ROBERT 33485 WILLI 4 Public Comments A Comments from Johnston County Board of Education Chair Lyn Andrews Ms Lyn Andrews , Chair of the Johnston County Board of Education , addressed the Board stating she was speaking on behalf of over 37,000 students and 5,000 employees to thank the Board of Commissioners for funding that has been provided to Johnston County Public Schools Ms Andrews shared with the Board an overview of what has been accomplished with some of these funds She stated from the 2022 Bond , the groundbreaking for two new schools will take place this spring and those projects will be moving quickly She noted that over 8 million was provided for weapon detection systems for the school system and schools are adding transmitters to improve communication with fire departments and law enforcement Ms Andrews continued that 17 million in bonus pay has been given to low performing schools that meet or exceed their goals She stated 60,000 was given to three students through the JoCo Teach Scholarship Program so they can continue their education in exchange for them to come back and teach for Johnston County Schools for three years She noted that there was a 2,500 retention bonus offered to employees that agreed to come back and work for Johnston County Schools and there were stipends for teachers that completed the Letters Training Ms Andrews explained that the Letters Training is a program required by the State ; however , the State only gave a small stipend to teachers She stated Johnston County Schools added to that stipend so these teachers could be paid for training and continuing their education Ms Andrews stated one of the biggest things that the funding has allowed Johnston County Schools to do is pay the classified staff more She noted classified staff are office personnel , bus drivers , and teacher assistants She stated bus driver pay has been increased and although news reports have indicated there is a shortage of bus drivers in other areas , that is not the case in Johnston County Ms Andrews reported that because of the County’s funding , Bus Driver Coordinator Marlon Watson , Associate Superintendent Dr David Pierce , Superintendent Dr Eric Bracy , and Chief Financial Officer Stephen Britt worked up a masterful plan on how to recruit bus drivers in Johnston County She stated Johnston County Schools has set aside 17 million of the funding for school supplies for the teachers , which is divided through each individual school Ms Andrews also shared information with the Board regarding a referral bonus program and a sign - on bonus program stating both of those programs have been well received She stated funding has been set aside for hard to fill positions such as math and science high school teachers Ms Andrews noted that exceptional children is another area where there are deficits in teaching She stated the funding has helped to provide a 1 increase in supplements for teachers and the State is also giving a small increase in the supplement for teachers She stated the goal is to make sure that every teacher and employee carries home several hundred dollars more every month Ms Andrews stated schools are adding attendance bonuses for bus drivers for perfect attendance She noted that they are currently waiting for a state budget to be approved Ms Andrews stated she wanted to personally thank the Board of Commissioners and she realizes that the Board receives many requests for funding Ms Andrews stated the Board of Education looks forward to continuing the great relationship with the Board of Commissioners Vice Chairman Patrick E Harris thanked Ms Andrews for her leadership on the Board of Education and her willingness to work cooperatively with the Board of Commissioners He commended the transparency and willingness to come to the table , discuss , and work through issues Commissioner April Stephens also expressed her appreciation stating this is the taxpayers ’ money and she is very proud of what the Board of Education is doing with the funds Commissioner Stephens commended the great job that Johnston County Schools is doing by taking care of teachers and staff Page1701 August 7 , 2023 – 10 00 am Continued Ms Andrews stated there is a good relationship between the two boards and the Board of Education also wants to make sure the taxpayers have trust and an understanding of where the funding is going 5 Finance - Resolution Providing for the Issuance of 30,000,000 GO School Bonds , Series 2023 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 PROVIDING FOR THE ISSUANCE OF UP TO 30,000,000 GENERAL OBLIGATION SCHOOL BONDS , SERIES 2023 BE IT RESOLVED by the Board of Commissioners the “ Board ” of the County of Johnston , North Carolina the “ County ” Section 1 The Board has determined and does hereby find , declare and represent a i That an order the “ School Bond Order ” authorizing not exceeding 177,000,000 General Obligation School Bonds the “ School Bonds ” was adopted by the Board for the County on July 18 , 2022 , which School Bond Order was approved by the vote of a majority of the qualified voters of said County who voted thereon at a special referendum duly called and held on November 8 , 2022 a ii That none of the School Bonds authorized to be issued by the School Bond Order have been issued , that no notes have been issued in anticipation of the receipt of the proceeds of the sale of said School Bonds , and that it is necessary to issue at this time 30,000,000 of said School Bonds in accordance with the provisions of Section 2 of this resolution a iii That the maximum period of usefulness of the facilities to be financed with the proceeds of said School Bonds to be issued is estimated as a period of 40 years from September 19 , 2023 , the date of said School Bonds , as hereinafter provided , and that such period expires on September 19 , 2063 Section 2 Pursuant to the School Bond Order , there shall be issued bonds of the County in the aggregate principal amount of 30,000,000 The Bonds issued pursuant to this Section 2 shall be designated “ School Bonds , Series 2023 ” and dated their date of delivery the “ Bonds ” The Bonds shall be stated to mature subject to the right of prior redemption as hereinafter set forth annually , February 1 , 1,500,000 2025 through 2044 , inclusive ; provided , however , and notwithstanding the foregoing principal amortization schedule , the Chairman or Vice - Chairman of the Board , County Manager or Director of Finance , respectively , each acting on behalf of the County , may determine in connection with the sale of the Bonds that , in lieu of the serial maturities set forth above , that one or more maturities of the Bonds will be issued as term bonds with annual installments of principal , together with such other changes to the remaining serial maturities of the Bonds , all as specified by the Chairman or Vice - Chairman of the Board , County Manager or Director of Finance , respectively , either before or after the opening of bids The Bonds shall bear interest at a rate or rates to be determined by the Local Government Commission of North Carolina at the time the Bonds are sold , which interest to the respective maturities thereof shall be payable on February 1 , 2024 or such other date as is designated by the County Manager or the Director of Finance in connection with the sale of the Bonds and semiannually thereafter on August 1 and February 1 of each year or other semiannual dates designated by the County Manager or the Director of Finance in connection with the sale of the Bonds until payment of such principal sum Section 3 Each Bond shall bear interest from the interest payment date next preceding the date on which it is authenticated unless it is a authenticated upon an interest payment date in which event it shall bear interest from such interest payment date or b authenticated prior to the first interest payment date in which event it shall bear interest from its date ; provided , however , that if at the time of authentication interest is in default , such Bond shall bear interest from the date to which interest has been paid The principal of and the interest and any redemption premium on the Bonds shall be payable in any coin or currency of the United States of America which is legal tender for the payment of public and private debts on the respective dates of payment thereof Section 4 The Bonds initially will be issued by means of a book - entry system with no physical distribution of bond certificates to be made except as hereinafter provided Initially one fully registered bond certificate for each stated maturity of the Bonds in the aggregate principal amount of the Bonds of such stated maturity and registered in the name of the Securities Depository Nominee defined below , a nominee of the Securities Depository defined below , will be issued and required to be deposited with the Securities Depository and immobilized in its custody The book - entry system of the Securities Depository will evidence positions held in the Bonds by the Securities Depository’s participants , with beneficial ownership of the Bonds in the principal amount of 5,000 or any whole multiple thereof being evidenced in the records of such participants Transfers of beneficial ownership will be effected on the records of the Securities Depository and its participants pursuant to rules and procedures established by the Securities Depository and its participants Page2702 August 7 , 2023 – 10 00 am Continued The County and the Bond Registrar will recognize the Securities Depository Nominee or the Securities Depository , as the case may be , while the registered owner of the Bonds , as the owner of the Bonds for all purposes , including payments of principal of and redemption premium , if any , and interest on the Bonds , notices and voting The principal of and any redemption premium on each Bond shall be payable to the Securities Depository Nominee or any other person appearing on the registration books of the County hereinafter provided for as the registered owner of such Bond or his registered assigns or legal representative at the office of the Bond Registrar mentioned hereinafter or such other place as the County may determine upon the presentation and surrender thereof as the same shall become due and payable Payment of the interest on each Bond shall be made by the Bond Registrar on each interest payment date to the registered owner of such Bond or the previous Bond or Bonds evidencing the same debt as that evidenced by such Bond at the close of business on the record date for such interest , which shall be the 15th day whether or not a business day of the calendar month next preceding such interest payment date , by check mailed to such person at his address as it appears on such registration books or , during the continuation of the book - entry system , by such other method of payment as the County may determine to be necessary or advisable with the concurrence of the Securities Depository Transfer of principal and interest and any redemption premium payments to participants of the Securities Depository will be the responsibility of the Securities Depository , and transfer of principal and interest and any redemption premium payments to beneficial owners of the Bonds by participants of the Securities Depository will be the responsibility of such participants and other nominees of such beneficial owners Such transfers of interest by the Securities Depository and by such participants and other nominees of such beneficial owners may be made to the owners of Bonds shown on their records on a date on or after said record date for such interest , pursuant to rules and procedures established by the Securities Depository and its participants The County and the Bond Registrar will not be responsible or liable for such transfers of payments or for maintaining , supervising or reviewing records maintained by the Securities Depository , its participants or persons acting through such participants In the event that a any Securities Depository determines not to continue to act as securities depository for the Bonds or b the Director of Finance of the County determines to discontinue the book - entry system with such Securities Depository , the County may identify another qualified Securities Depository to replace the predecessor Securities Depository and , in such event , the County will make arrangements with the predecessor Securities Depository and such other Securities Depository to effect such replacement and deliver replacement Bonds , registered in the name of such other depository or its nominee in exchange for the outstanding Bonds , and all references in this resolution to any predecessor Securities Depository or Securities Depository Nominee shall thereupon be deemed to mean such other depository or its nominee If the County does not identify another qualified Securities Depository to replace the predecessor Securities Depository , the County will deliver replacement Bonds in the form of fully registered certificates in the denomination of 5,000 or any whole multiple thereof “ Certificated Bonds ” in exchange for the outstanding Bonds , as required by the predecessor Securities Depository and others Upon the request of the Securities Depository , the County may also deliver one or more Certificated Bonds to any participant of the Securities Depository in exchange for Bonds credited to its account with the Securities Depository The County and the Bond Registrar shall be entitled to rely upon the instructions of the Securities Depository as to the appropriate parties entitled to receive Certificated Bonds For purposes of this resolution “ Securities Depository ” means The Depository Trust Company , Brooklyn , New York , or other recognized securities depository selected by the County , which maintains the book - entry system in respect of the Bonds authorized by this resolution , and shall include any substitute for or successor to the securities depository initially acting as Securities Depository For purposes of this resolution “ Securities Depository Nominee ” means , as to any Securities Depository , such Securities Depository or the nominee , if any , of such Securities Depository in whose name the Bond certificates shall be registered on the registration books maintained by the Bond Registrar during the continuation with such Securities Depository of the book - entry system authorized by this resolution The Depository Trust Company , Jersey City , New Jersey , is hereby appointed as the initial Securities Depository , and Cede & Co , a nominee thereof , is hereby appointed as the initial Securities Depository Nominee for the Bonds Unless indicated otherwise , the provisions of this resolution that follow shall apply to all Bonds issued or issuable hereunder , whether initially or in replacement thereof Section 5 The Bonds shall be executed with the manual or facsimile signatures of the Chairman or Vice Chairman of the Board and the Clerk to the Board , and the seal or a facsimile of the seal of the County shall be impressed or imprinted , as the case may be , on the Bonds The certificate of the Local Government Commission of North Carolina shall be endorsed on all Bonds and shall bear the manual or facsimile signature of the Secretary of said Commission or on behalf of the Secretary by a Designated Assistant and the certificate of authentication of the Bond Registrar to be endorsed on all Bonds shall be executed as provided hereinafter In case any officer of the County or the Local Government Commission of North Carolina whose manual or facsimile signature shall appear on any Bonds shall cease to be such officer before the delivery of such Bonds , such manual or facsimile signature shall nevertheless be valid and sufficient for all purposes the same as if suchPage3703 August 7 , 2023 – 10 00 am Continued officer had remained in office until such delivery , and any Bond may bear the manual or facsimile signatures of such persons as at the actual time of the execution of such Bond shall be the proper officers to sign such Bond although at the date of such Bond , such persons may not have been such officers No Bond shall be valid or become obligatory for any purpose or be entitled to any benefit or security under this resolution until it shall have been authenticated by the execution by the Bond Registrar of the certificate of authentication endorsed thereon Section 6 The Bonds and the endorsements thereon shall be in substantially the following form [ Front Side of Printed Bonds ] No R - ____ _________________ United States of America State of North Carolina COUNTY OF JOHNSTON , NORTH CAROLINA General Obligation School Bonds , Series 2023 MATURITY DATE INTEREST RATE CUSIP February 1 , 20__ ______________ ____________ The County of Johnston , North Carolina the “ County ” , is justly indebted and for value received hereby promises to pay to __________________________________________ or registered assigns or legal representative on the date specified above or earlier as hereinafter referred to , upon the presentation and surrender hereof , at the office of the Director of Finance of the County , currently at Johnston County Office Building , 207 E Johnston Street , Smithfield , North Carolina 27577 the “ Bond Registrar ” , the principal sum of ______________ DOLLARS and to pay interest on such principal sum from the date hereof or from the February 1 or August 1 next preceding the date of authentication to which interest shall have been paid , unless such date of authentication is a February 1 or August 1 to which interest shall have been paid , in which case from such date , such interest to the maturity hereof being payable on February 1 , 2024 and semiannually thereafter on August 1 and February 1 in each year , at the rate per annum specified above , until payment of such principal sum The interest so payable on any such interest payment date will be paid to the person in whose name this Bond or the previous Bond or Bonds evidencing the same debt as that evidenced by this Bond is registered at the close of business on the record date for such interest , which shall be the 15th day whether or not a business day of the calendar month next preceding such interest payment date , by check mailed to such person at his address as it appears on the bond registration books of the County Both the principal of and the interest on this Bond shall be paid in any coin or currency of the United States of America that is legal tender for the payment of public and private debts on the respective dates of payment thereof For the prompt payment hereof , both principal and interest as the same shall become due , the faith and credit of the County are hereby irrevocably pledged [ Printed Bonds are to include the following paragraph ] ADDITIONAL PROVISIONS OF THIS BOND ARE SET FORTH ON THE REVERSE HEREOF AND SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH HERE [ Reverse Side of Printed Bonds ] This Bond is one of an issue of Bonds designated “ General Obligation School Bonds , Series 2023 ” the “ Bonds ” and issued by the County for the purpose of providing funds , with any other funds necessary , for i the acquisition , construction and equipping of modifications , renovations , additions , improvements and extensions to existing school facilities and or one or more new buildings or other school facilities in Johnston County and ii the acquisition , construction , installation and equipping of modifications , renovations , additions , improvements and extensions to existing community college facilities and or one or more new buildings , plants or other community college facilities in Johnston County This Bond is issued under and pursuant to The Local Government Bond Act , as amended , Article 7 , as amended , of Chapter 159 of the General Statutes of North Carolina , orders adopted by the Board of Commissioners the “ Board ” of the County which have taken effect as provided by law , and a resolution duly passed by said Board the “ Resolution ” The Bonds maturing prior to February 1 , 20__ are not subject to redemption prior to maturity The Bonds maturing on February 1 , 20__ and thereafter may be redeemed , at the option of the County , from any moneys that may be made available for such purpose , either in whole or in part on any date not earlier than February 1 , 20__ , at a redemption price equal to 100 of the principal amount of the Bonds to be redeemed , together with interest accrued thereon to the date fixed for redemption , without premium If less than all of the Bonds of any one maturity shall be called for redemption , the particular Bonds or portions of Bonds of such maturity to be redeemed shall be selected by lot in such manner as the County in its discretion may determine ; provided , however , that the portion of any Bond to be redeemed shall be in the principal amount of 5,000 or some whole multiple thereof and that , in selecting Bonds for redemption , each Bond shall be considered as representing that number of Bonds which is obtained by dividing the principal amount of such Bond by 5,000 If less than all of the Bonds stated to mature on different dates shall be called for redemption ,Page4704 August 7 , 2023 – 10 00 am Continued the particular Bonds or portions thereof to be redeemed shall be called in such maturities and amounts of those maturities as shall be determined by the County Not more than 60 days nor less than 30 days before the redemption date of any Bonds to be redeemed , whether such redemption be in whole or in part , the County shall cause a notice of such redemption to be filed with the Bond Registrar and to be mailed , postage prepaid , to the registered owner of each Bond to be redeemed in whole or in part at the address of said owner appearing upon the registration books of the County Failure to mail such notice or any defect therein as to any Bond or portion thereof shall not affect the validity of the redemption as to any Bond or portion thereof for which such notice was given as required hereby On the date fixed for redemption , notice of such call for redemption having been given as aforesaid and not revoked as hereinafter provided , the Bonds or portions thereof called for redemption shall be due and payable at the redemption price provided therefor , plus accrued interest to such date If moneys for payment of such redemption price and the accrued interest are held by the Bond Registrar as provided in the Resolution , interest on the Bonds or the portions thereof called for redemption shall cease to accrue , such Bonds or portions thereof shall cease to be entitled to any benefits or security under the Resolution or to be deemed outstanding , and the registered owners of such Bonds or portions thereof shall have no rights in respect thereof except to receive payment of the redemption price thereof , plus accrued interest to the date of redemption If a portion of this Bond shall be called for redemption , a new Bond or Bonds in principal amount equal to the unredeemed portion hereof will be issued to the registered owner hereof or the legal representative of said owner upon the surrender hereof The County shall have the right to revoke any call of Bonds for redemption if , on or prior to the third 3rd business day preceding any date fixed for redemption of Bonds , the County gives written notice to the Bond Registrar and the registered owner of each Bond theretofore called for redemption that the County has elected to revoke its call of such Bonds for redemption [ The following four paragraphs are to be included in the form of Bond so long as the Bonds are being issued pursuant to a book - entry system ] The Bonds initially are being issued by means of a book - entry system with no physical distribution of bond certificates to be made except as provided in the Resolution Initially one fully registered bond certificate for each stated maturity of the Bonds , in the aggregate principal amount of the Bonds of such stated maturity and registered in the name of the Securities Depository Nominee as defined in the Resolution , a nominee of the Securities Depository as defined in the Resolution , is being issued and required to be deposited with the Securities Depository and immobilized in its custody The book - entry system of the Securities Depository will evidence positions held in the Bonds by the Securities Depository’s participants , with beneficial ownership of the Bonds in the principal amount of 5,000 or any whole multiple thereof being evidenced in the records of such participants Transfers of beneficial ownership will be effected on the records of the Securities Depository and its participants pursuant to rules and procedures established by the Securities Depository and its participants The County and the Bond Registrar will recognize the Securities Depository Nominee or the Securities Depository , as the case may be , while the registered owner of this Bond , as the owner of this Bond for all purposes , including payments of principal of , and redemption premium , if any , and interest on , this Bond , notices and voting Transfer of principal and interest and any redemption premium payments to participants of the Securities Depository will be the responsibility of the Securities Depository , and transfer of principal and interest and any redemption premium payments to beneficial owners of the Bonds by participants of the Securities Depository will be the responsibility of such participants and other nominees of such beneficial owners The County and the Bond Registrar will not be responsible or liable for such transfers of payments or for maintaining , supervising or reviewing records maintained by the Securities Depository , its participants or persons acting through such participants While the Securities Depository Nominee or the Securities Depository , as the case may be , is the owner of this Bond , notwithstanding the provisions hereinabove contained , payments of principal of , redemption premium , if any , and interest on this Bond shall be made to the Securities Depository Nominee or the Securities Depository , as the case may be , by wire transfer in immediately available funds to the account of said holder as may be specified in the bond registration books maintained by the Bond Registrar or by such other method of payment as the County may determine to be necessary or advisable with the concurrence of the Securities Depository Further , so long as a book - entry system is used for determining beneficial ownership of Bonds , redemption notices shall be given to the Securities Depository Nominee by certified or registered mail or by such other method as the County may determine to be necessary or advisable with the concurrence of the Securities Depository In addition , so long as a book - entry system is used for determining beneficial ownership of Bonds , if less than all of the Bonds of any one maturity shall be called for redemption , the Securities Depository shall determine by lot the amount of interest of each direct participant of the Securities Depository in the Bonds within such maturity to be redeemed In certain events , the County may replace the Securities Depository at the time with another qualified securities depository In certain events , the County may discontinue the book - entry system and deliver replacement Bonds in the form of fully registered certificates in the denomination of 5,000 or any whole multiple thereof in exchange for the outstanding Bonds as provided in the Resolution Page5705 August 7 , 2023 – 10 00 am Continued At the office of the Bond Registrar , in the manner and subject to the conditions provided in the Resolution , Bonds may be exchanged for an equal aggregate principal amount of Bonds of the same maturity , of authorized denominations and bearing interest at the same rate The Bond Registrar shall keep at its office the books of the County for the registration of transfer of Bonds The transfer of this Bond may be registered only upon such books and as otherwise provided in the Resolution upon the surrender hereof to the Bond Registrar together with an assignment duly executed by the registered owner hereof or his attorney or legal representative in such form as shall be satisfactory to the Bond Registrar Upon any such registration of transfer , the Bond Registrar shall authenticate and deliver in exchange for this Bond a new Bond or Bonds , registered in the name of the transferee , of authorized denominations , in an aggregate principal amount equal to the unredeemed principal amount of this Bond , of the same maturity and bearing interest at the same rate The Bond Registrar shall not be required to exchange or register the transfer of any Bond during a period beginning at the opening of business 15 days before the day of the mailing of a notice of redemption of Bonds or any portion thereof and ending at the close of business on the day of such mailing or of any Bond called for redemption in whole or in part pursuant to the Resolution It is hereby certified and recited that all acts , conditions and things required by the Constitution and laws of North Carolina to happen , exist and be performed precedent to and in the issuance of this Bond have happened , exist and have been performed in regular and due form and time as so required ; that provision has been made for the levy and collection of a direct annual tax upon all taxable property within the geographic boundaries of the County sufficient to pay the principal of and the interest on this Bond as the same shall become due ; and that the total indebtedness of the County , including this Bond , does not exceed any constitutional or statutory limitation thereon [ The following paragraphs through the Certificate of Authentication are to appear on the front side of printed Bonds ] This Bond shall not be valid or become obligatory for any purpose or be entitled to any benefit or security under the Resolution until this Bond shall have been authenticated by the execution by the Bond Registrar of the certificate of authentication endorsed hereon IN WITNESS WHEREOF , said County of Johnston , by resolution duly adopted by its Board , has caused this Bond to be executed with the manual or facsimile signatures of the [ Chairman Vice - Chairman ] and the Clerk to the Board and its seal to be impressed or imprinted hereon , all as of the ___ day of August , 2023 COUNTY OF JOHNSTON , NORTH CAROLINA [ Manual or Facsimile Signature ] [ Chairman Vice - Chairman ] [ SEAL ] [ Manual or Facsimile Signature ] Clerk to the Board of Commissioners CERTIFICATE OF LOCAL GOVERNMENT COMMISSION The issuance of the within Bond has been approved under the provisions of The Local Government Bond Act of North Carolina [ Manual or Facsimile Signature ] Secretary , Local Government Commission [ By ] [ Designated Assistant ] CERTIFICATE OF AUTHENTICATION This Bond is one of the Bonds of the series designated herein and issued under the provisions of the within - mentioned Resolution COUNTY OF JOHNSTON , NORTH CAROLINA as Bond Registrar By ___________________________________ Director of Finance Date of Authentication August __ , 2023 ASSIGNMENT FOR VALUE RECEIVED the undersigned registered owner thereof hereby sells , assigns and transfers unto __________________________________________________________ the within bond and all rights thereunder and hereby irrevocably constitutes and appoints _________________________________________________________________________ attorney to register the transfer of said bond on the books kept for registration thereof , with full power of substitution in the premises Dated _______________________ ___________________________________ Assignor’s Signature Signature Guaranteed ____________________________Page6706 August 7 , 2023 – 10 00 am Continued NOTICE The assignor’s signature to this assignment must correspond with the name of the registered owner as it appears upon the face of the within bond in every particular , without alteration or enlargement or any change whatever [ End of Bond Form ] Certificated Bonds issuable hereunder shall be in substantially the form of the Bonds registered in the name of the Securities Depository Nominee with such changes as are necessary to reflect the provisions of this resolution that are applicable to Certificated Bonds Section 7 The various maturities of the Bonds will be subject to redemption prior to their respective maturity as set forth herein or as otherwise designated by the County Manager or Director of Finance at the time of sale of the Bonds All or any of the maturities of the Bonds , as so designated by the County Manager or Director of Finance , may be nonredeemable prior to their stated maturity If any of the Bonds are to be redeemable before their stated maturity , the provisions set forth in the remainder of this Section 7 shall apply ; but such provisions shall be inapplicable if none of the Bonds are subject to redemption prior to their stated maturity The Bonds maturing prior to February 1 , 20__ will not be subject to redemption prior to maturity The Bonds maturing on February 1 , 20__ and thereafter will be redeemable , at the option of the County , from any moneys that may be made available for such purpose , either in whole or in part on any date not earlier than February 1 , 20__ , at a redemption price equal to 100 of the principal amount of the Bonds to be redeemed , together with interest accrued thereon to the date fixed for redemption , without premium If less than all of the Bonds of any one maturity shall be called for redemption then , subject to the sentence immediately following , the particular Bonds or portions of Bonds of such maturity to be redeemed shall be selected by lot in such manner as the County in its discretion may determine ; provided , however , that the portion of any Bond to be redeemed shall be in the principal amount of 5,000 or some whole multiple thereof and that , in selecting Bonds for redemption , each Bond shall be considered as representing that number of Bonds which is obtained by dividing the principal amount of such Bond by 5,000 So long as a book - entry system is used for determining beneficial ownership of Bonds , if less than all of the Bonds of any one maturity shall be called for redemption , the Securities Depository shall determine by lot the amount of interest of each direct participant of the Securities Depository in the Bonds within such maturity to be redeemed If less than all of the Bonds stated to mature on different dates shall be called for redemption , the particular Bonds or portions thereof to be redeemed shall be called in such maturities and amounts of those maturities as shall be determined by the County Not more than 60 days nor less than 30 days before the redemption date of any Bonds to be redeemed , whether such redemption be in whole or in part , the County shall cause a notice of such redemption to be filed with the Bond Registrar and to be mailed , postage prepaid , to the registered owner of each Bond to be redeemed in whole or in part at the address of said owner appearing upon the registration books of the County ; provided , however , so long as a book - entry system is used for determining beneficial ownership of Bonds , such notice shall be given to the Securities Depository Nominee by certified or registered mail or by such other method as the County may determine to be necessary or advisable with the concurrence of the Securities Depository Failure to mail such notice or any defect therein as to any Bond or portion thereof shall not affect the validity of the redemption as to any Bond or portion thereof for which such notice was given as required hereby Each such notice shall set forth the date designated for redemption , the redemption price to be paid and the maturities of the Bonds to be redeemed In the event that Certificated Bonds are outstanding , each such notice to the registered owners thereof shall also set forth , if less than all of the Bonds of any maturity then outstanding shall be called for redemption , the distinctive numbers and letters , if any , of such Bonds to be redeemed and , in the case of any Bond to be redeemed in part only , the portion of the principal amount thereof to be redeemed If any Bond is to be redeemed in part only , the notice of redemption shall state also that on or after the redemption date , upon surrender of such Bond , a new Bond or Bonds in principal amount equal to the unredeemed portion of such Bond will be issued The County shall have the right to revoke any call of Bonds for redemption if , on or prior to the third 3rd business day preceding any date fixed for redemption of Bonds , the County gives written notice to the Bond Registrar and the registered owner of each Bond theretofore called for redemption that the County has elected to revoke its call of such Bonds for redemption If any Bonds or portions thereof , are to be redeemed , the Bond Registrar shall open a separate account for the sole benefit of the bondholders whose Bonds are being redeemed , which account may be maintained by the Bond Registrar or by an agent On or before the date fixed for redemption , moneys shall be deposited with the Bond Registrar in its capacity as such for deposit in such account to pay the principal of and the redemption premium , if any , on the Bonds or portions thereof called for redemption as well as the interest accruing thereon to the redemption date thereof On the date fixed for redemption , notice of such call for redemption having been given in the manner and under the conditions hereinabove provided and not revoked as hereinabove provided , the Bonds or portions thereof soPage7707 August 7 , 2023 – 10 00 am Continued called for redemption shall be due and payable from the moneys required to be deposited in such account at the redemption price provided therefor , plus accrued interest to such date If moneys sufficient to pay the redemption price of the Bonds or portions thereof to be redeemed , plus accrued interest thereon to the date fixed for redemption , are held by the Bond Registrar in such account in trust for the registered owners of Bonds or portions thereof to be redeemed , interest on the Bonds or portions thereof called for redemption shall cease to accrue , such Bonds or portions thereof shall cease to be entitled to any benefits or security under this resolution or to be deemed outstanding , and the registered owners of such Bonds or portions thereof shall have no rights in respect thereof except to receive payment of the redemption price thereof , plus accrued interest to the date of redemption If a portion of a Bond shall be selected for redemption , the registered owner thereof or his attorney or legal representative shall present and surrender such Bond to the Bond Registrar for payment of the principal amount thereof so called for redemption and the redemption premium , if any , on such principal amount , and the Bond Registrar shall authenticate and deliver to or upon the order of such registered owner or his legal representative , without charge therefor , for the unredeemed portion of the principal amount of the Bond so surrendered , a Bond or Bonds of the same maturity , of any denomination or denominations authorized by this resolution and bearing interest at the same rate Section 8 The provisions of this Section 8 relating to the exchange and transfer of Bonds are subject to the provisions for operation of the book - entry system provided in Section 4 of this resolution , including the immobilization of Bond certificates with a Securities Depository during the continuation of the book - entry system Bonds , upon surrender thereof at the office of the Bond Registrar together with an assignment duly executed by the registered owner or his attorney or legal representative in such form as shall be satisfactory to the Bond Registrar , may , at the option of the registered owner thereof , be exchanged for an equal aggregate principal amount of Bonds of the same maturity , of any denomination or denominations authorized by this resolution and bearing interest at the same rate The transfer of any Bond may be registered only upon the registration books of the County upon the surrender thereof to the Bond Registrar together with an assignment duly executed by the registered owner or his attorney or legal representative in such form as shall be satisfactory to the Bond Registrar Upon any such registration of transfer , the Bond Registrar shall authenticate and deliver in exchange for such Bond a new Bond or Bonds , registered in the name of the transferee , of any denomination or denominations authorized by this resolution , in an aggregate principal amount equal to the unredeemed principal amount of such Bond so surrendered , of the same maturity and bearing interest at the same rate In all cases in which Bonds shall be exchanged or the transfer of Bonds shall be registered hereunder , the Bond Registrar shall authenticate and deliver at the earliest practicable time Bonds in accordance with the provisions of this resolution All Bonds surrendered in any such exchange or registration of transfer shall forthwith be cancelled by the Bond Registrar The County or the Bond Registrar may make a charge for every such exchange or registration of transfer of Bonds sufficient to reimburse it for shipping charges , out - of - pocket costs and any tax , fee or other governmental charge required to be paid with respect to such exchange or registration of transfer , but no other charge shall be made by the County or the Bond Registrar for exchanging or registering the transfer of Bonds under this resolution The Bond Registrar shall not be required to exchange or register the transfer of any Bond during a period beginning at the opening of business 15 days before the day of the mailing of a notice of redemption of Bonds or any portion thereof and ending at the close of business on the day of such mailing or of any Bond called for redemption in whole or in part pursuant to Section 7 of this resolution As to any Bond , the person in whose name the same shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes , and payment of or on account of the principal or redemption price of any such Bond and the interest on any such Bond shall be made only to or upon the order of the registered owner thereof or his legal representative All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond , including the redemption premium , if any , and interest thereon , to the extent of the sum or sums so paid The County shall appoint such registrars , transfer agents , depositaries or other agents as may be necessary for the registration , registration of transfer and exchange of Bonds within a reasonable time according to then current commercial standards and for the timely payment of principal , interest and any redemption premium with respect to the Bonds The County is to act as the initial registrar , transfer agent and paying agent for the Bonds collectively the “ Bond Registrar ” , subject to the right of the governing body of the County to appoint another Bond Registrar The Director of Finance or such other officer who shall from time to time perform the duties of finance officer within the meaning of North Carolina General Statutes , Section 159 - 24 , as it may be amended from time to time , or any successor statute , is hereby designated to act on behalf of the County in carrying out its responsibilities as Bond Registrar , subject to the right of the governing body of the County to designate another officer to act on its behalf , and as such shall keep at the office of the Director of Finance , currently at Johnston County Courthouse , 207 E Johnston Street , Smithfield , North Carolina 27577 , the books of the County for the registration , registration of transfer , exchange and payment of the Bonds Page8708 August 7 , 2023 – 10 00 am Continued Section 9 The actions of the County Manager and the Director of Finance of the County in applying to the Local Government Commission of North Carolina to advertise and sell the Bonds are hereby approved , ratified and confirmed The Local Government Commission of North Carolina is hereby requested to ask for sealed bids for the Bonds by publishing notices and printing and distributing a Preliminary Official Statement and an Official Statement , including any supplement thereto , relating to the sale of the Bonds The Preliminary Official Statement , proposed to be dated on or about August 18 , 2023 , substantially in the form presented at this meeting , and an Official Statement , proposed to be dated on or about August 29 , 2023 , in substantially the form of the Preliminary Official Statement presented at this meeting , with such changes as are necessary to reflect the maturities , redemption provisions , if any , interest rates and other pricing data of the Bonds , is hereby approved and the Chairman or Vice - Chairman of the Board , the County Manager and the Director of Finance , respectively , of the County are each hereby authorized to approve changes in such Preliminary Official Statement or Official Statement , to approve any supplement to such Preliminary Official Statement or Official Statement and to execute such Official Statement and any supplement to such Official Statement for and on behalf of the County Section 11 There may be printed on the reverse of each of any printed Bonds the legal opinion of Maynard Nexsen PC , bond counsel to the County , with respect to the validity of the Bonds and there may be printed immediately following such legal opinion a certificate bearing the manual or facsimile signature of the Chairman or Vice - Chairman of the Board of the County , said certificate to be in substantially the following form “ I HEREBY CERTIFY that the foregoing is a true and correct copy of the legal opinion on the bonds therein described which was manually signed by Maynard Nexsen PC , Charlotte , North Carolina , and was dated as of the date of delivery of and payment for said bonds [ Manual or Facsimile Signature ] Chairman Vice - Chairman of the Board of Commissioners Johnston County , North Carolina ” Section 12 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 ” , and any related regulations and procedures in order to assure that interest paid on the Bonds 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 on the Bonds being includable in the gross income of the owners of the Bonds for purposes of federal income taxation As necessary or appropriate in connection with the issuance of the Bonds , all officers , employees and agents of the County are authorized and directed to provide certifications of material facts and estimates as to the reasonable expectations of the County as of the date s the Bonds are delivered and on behalf of the County to sign agreements or acknowledge instructions regarding compliance with the requirements of the Code and any related regulations and procedures relating to the Bonds Section 13 There are hereby created , as may be needed , appropriate funds and accounts of the County for the receipt and expenditure of the proceeds of the Bonds and appropriate debt service funds and accounts of the County for the receipt and disbursement of debt service payments on the Bonds Section 14 The County hereby undertakes , for the benefit of the beneficial owners of the Bonds to provide a by not later than seven months from the end of each fiscal year of the County , commencing with the fiscal year ending June 30 , 2023 , to the Municipal Securities Rulemaking Board MSRB , audited financial statements of the County for such fiscal year , if available , prepared in accordance with Section 159 - 34 of the General Statutes of North Carolina , as it may be amended from time to time , or any successor statute , or , if such audited financial statements of the County are not available by seven months from the end of such fiscal year , unaudited financial statements of the County for such fiscal year to be replaced subsequently by audited financial statements of the County to be delivered within 15 days after such audited financial statements become available for distribution ; b by not later than seven months from the end of each fiscal year of the County , commencing with the fiscal year ending June 30 , 2023 , to the MSRB , i the financial and statistical data as of a date not earlier than the end of the preceding fiscal year for the type of information included under heading “ The County - Debt Information and - Tax Information ” in the Official Statement relating to the Bonds excluding any information on overlapping or underlying units and ii the combined budget of the County for the current fiscal year , to the extent such items are not included in the financial statements referred to in a above ; c in a timely manner , not in excess of ten 10 Business Days after the occurrence of the event , notice to the MSRB of any of the following events with respect to the Bonds 1 principal and interest payment delinquencies ; 2 non - payment related defaults , if material ; 3 unscheduled draws on debt service reserves reflecting financial difficulties ; 4 unscheduled draws on any credit enhancements reflecting financial difficulties ;Page9709 August 7 , 2023 – 10 00 am Continued 5 substitution of any credit or liquidity providers , or their failure to perform ; 6 adverse tax opinions , the issuance by the Internal Revenue Service of proposed or final determinations of taxability , Notices of Proposed Issue IRS Form 5701 - TEB or other material notices or determinations with respect to the tax status of Bonds , or other material events affecting the tax status of the Bonds ; 7 modification to rights of the beneficial owners of the Bonds , if material ; 8 call of any of the Bonds , if material , and tender offers ; 9 defeasance of any of the Bonds ; 10 release , substitution or sale of any property securing repayment of the Bonds , if material ; 11 rating changes ; 12 bankruptcy , insolvency , receivership or similar event of the County ; 13 the consummation of a merger , consolidation , or acquisition involving the County or the sale of all or substantially all of the assets of the obligated person , other than in the ordinary course of business , the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to such actions , other than pursuant to its terms , if material ; 14 appointment of a successor or additional trustee or the change of name of a trustee , if material ; 15 incurrence of a financial obligation by the County , if material , or agreement to covenants , events of default , remedies , priority rights or other similar terms of a financial obligation of the County , any of which affect beneficial owners of the Bonds , if material ; 16 default , event of acceleration , termination event , modification of terms , or other similar events under the terms of a financial obligation of the County , any of which reflect financial difficulties ; and d in a timely manner , to the MSRB , notice of a failure of the County to provide the required annual financial information described in a or b above on or before the date specified The County shall provide the documents referred to above to the MSRB in an electronic format as prescribed by the MSRB and accompanied by identifying information as prescribed by the MSRB For purposes of the preceding paragraphs 15 and 16 , the term “ financial obligation ” means a i debt obligation ; ii derivative instrument entered into in connection with , or pledged as security or a source of payment for , an existing or planned debt obligation ; or iii guarantee of i or ii The term financial obligation shall not include municipal securities as to which a final official statement has been provided to the MSRB consistent with Rule 15c2 - 12 issued under the Securities Exchange Act of 1934 “ Rule 15c2 - 12 ” The County may discharge its undertaking described above by transmitting the documents referred to above to any