BC 2007 06 07 Recessed - Laserfiche WebLink

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June 7, 2007 (Recessed Meeting) Page 399 Due to the lateness of the hour, the Board agreed to review the NCRC project list at a later date. Comments from Kannapolis Officials Kannapolis City Manager Mike Legg addressed the following issues: property shifting to second or third parties is being addressed through the City's Minimum Valuation Agreement with Castle & Cooke; and ownership of the parking decks has not been determined. Mr. Edward Boyles, Underwriter, from Bank of America, commented on the likelihood of the TIF debt being refinanced 10 to 15 years down the road to take advantage of lower interest rates in the future. Mr. Walter Goldsmith, Financial Advisor for the City of Kannapolis, reviewed the disadvantages of the 20-year COPs (Certificates of Participation) - level principal scenario as they related to the present value differential. Selection of a Financing Vehicle Chairman Carruth reported the Board voted to participate in the North Carolina Research Campus project with the City of Kannapolis; once the financing vehicle and the amount is determined, the next step would be to craft the interlocal agreement and to finalize the project list. He proposed the creation of a project management team, made up of representatives from each Board, to finalize the list and a general discussion ensued on financing $67.1 million with COPS or $168.9 million with TIF. Commissioner White made a MOTION for the County to participate with the City of Kannapolis in financing projects related to the construction of the North Carolina Research Campus through the Tax Increment Financing (TIF) instrument in the amount of $168.9 million with the interlocal agreement and specific project list to be determined in the coming weeks. Commissioner Mynatt seconded the motion. There was discussion related to debt service of TIF vs. COPS, putting ' the County's credit rating at risk, the huge burden for schools in the county, etc. Also, Commissioner Privette stated his intent to vote against the motion. After discussion, the MOTION carried with Chairman Carruth, Vice Chairman Juba and Commissioners Mynatt and White voting for and Commissioner Privette voting against. There was further discussion on what should be included in the interlocal agreement. Pam Dubois, Deputy County Manager, reported Mr. Niggel's and Mr. Cordell's services have been free to date. However, she said if the Board wants them to be involved with the interlocal agreement, they need to be compensated. Mr. Cordell stated his hourly rate is $915 plus expenses. After discussion, it was agreed that Mr. Cordell and Mr. Niggel would submit a proposal for fees to the Board as soon as possible. Disaueaion of Budget Related Matters Pam Dubois, Deputy County Manager, distributed an updated Budget Ordinance for the Board's review. Arena Sidewalk Proieat Chairman Carruth provided an update on the Arena Sidewalk Project. He stated he had talked to Mayor Padgett of Concord and indications were that something could be worked out concerning the sidewalk project. Chairman ' Carruth asked Mike Downs, Depu ty County Manager, to research the sidewalk fund and report back. Vise Chairman Juba to preside at June Regular Meeting Chairman Carruth announced he will be on vacation during the week of June 18, 2007 and will not be able to attend the regular meeting. He asked Vice Chairman Juba to preside over the meeting. Also, Commissioner Mynatt announced her plans to be out of town on June 18, 2007 and will not be able to attend the meeting.