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March 20, 2017 (Regular Meeting) Page 3059 ATTEST: /s/ Megan Smit Clerk to the Board (F-6) Finance - Resolution Declaring Official Intent to Reimburse Expenditures with proceeds of Debt Pursuant to U. S. Department of Treasury Regulations It is requested that the County advance its own funds to pay certain original expenditures associated with the purchase of a warehouse located at 2011 Hwy 49 and 2031 Hwy 49, Concord, NC. Approval of the attached resolution will allow the County to pay the original expenditures from the Capital Reserve Fund and then reimburse itself for the expenditures with the proceeds of the debt to be incurred by the County for the 2017 Limited Obligation Bonds. UPON MOTION of Commissioner Kiger, seconded by Vice Chairman Honeycutt and unanimously carried, the Board adopted the reimbursement resolution, authorized the Chairman to sign the reimbursement agreement and authorized the Finance Director to prepare the appropriate budget revision and related project ordinances for the HWY 49 warehouse purchase. Resolution No. 2017-06 RESOLUTION DECLARING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF DEBT PURSUANT TO UNITED STATES DEPARTMENT OF TREASURY REGULATIONS BE IT RESOLVED by the Board of Commissioners of Cabarrus County: 1. The Board hereby finds, determines and declares as follows: (a) Treasury Regulations Section 1. 150-2 (the "Regulations") , promulgated by the United States Department of Treasury on June 18, 1993, prescribes certain specific procedures applicable to certain obligations issued by the County after June 30, 1993, including, without limitation, a requirement that the County timely declare its official intent to reimburse certain expenditures with the proceeds of debt to be issued thereafter by the County. (b) The County has advanced and/or will advance its own funds to pay certain capital costs (the "Original Expenditures") associated with financing the acquisition of parcels of real property generally located at 2011 and 2031 Highway 49, Concord, North Carolina, being tax parcels 55280312750000 and 55280380780000 and containing approximately 25 acres, more or less, including all improvements located thereon and further including the acquisition of any necessary rights-of-way and easements (the "Warehouse Property") . (c) The funds heretofore advanced or to be advanced by the County to pay the Original Expenditures are or will be available only on a temporary basis, and do not consist of funds that were otherwise earmarked or intended to be used by the County to permanently finance the Original Expenditures. (d) As of the date hereof, the County reasonably expects that it will reimburse itself for such Original Expenditures with the proceeds of debt to be incurred by the County, and the maximum principal amount of debt to be incurred with respect to the Warehouse Property is expected to be $4, 600, 000. (e) All Original Expenditures to be reimbursed by the County were paid no more than 60 days prior to, or will be paid on or after the date of, this declaration of official intent. The County understands that such reimbursement must occur not later than 18 months after the later of (i) the date the Original Expenditure was paid; or (ii) the date the Warehouse Property were placed in service or abandoned, but in no event more than 3 years after the Original Expenditure was paid. 2. This resolution shall take effect immediately. Commissioner F. Blake Kiger moved to approve the passage of the foregoing resolution and Vice Chairman Diane R. Honeycutt seconded the motion, and the resolution was passed by the following vote: Ayes: [Chairman Stephen M. Morris, Vice Chairman Diane R. Honeycutt and Commissioners F. Blake Kiger, Elizabeth F. Poole and Lynn W. Shue. ] Nays: [None] Not Voting: [None]