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October 19, 2009 (Regular Meeting) Page 1664
<br />contract previously executed and delivered by the County, which prior
<br />installment financing contract paid all or a portion of the costs of
<br />acquiring, constructing and equipping various public facilities and related
<br />improvements and costs (collectively, the "Refinanced Project"), and under
<br />said installment financing contract (or amendment to an outstanding
<br />installment financing contract) the County would secure the repayment by the
<br />County of the moneys advanced pursuant to such installment financing contract
<br />by granting a security interest in and lien on all or a portion of the
<br />Refinanced Project and in all or some portion of the real property on which
<br />the Refinanced Project is located;
<br />WHEREAS, as part of said proposed plan of refinancing, the Corporation
<br />will execute and deliver one or more series of Certificates of Participation
<br />in said installment financing contract in an aggregate principal amount not
<br />exceeding $27,535,000 to finance the advancement of moneys to the County
<br />pursuant to said installment financing contract (or amendment to an
<br />outstanding installment financing contract) between the County and the
<br />Corporation;
<br />WHEREAS, there have been submitted to this meeting draft forms of the
<br />following documents (the "Financing Documents") with respect to the
<br />refinancing of said prior installment financing contract and the Refinanced
<br />Project:
<br />(1) Amendment Number One, proposed to be dated as of December 1, 2009
<br />(the "2001 Contract Amendment"), to the Installment Financing Contract dated
<br />as of March 1, 2001 (the "2001 Contract") , each between the County and the
<br />Corporation as counterpart y, pursuant to which the Corporation will advance
<br />moneys to the County to refinance all or a portion of the 2001 Contract and
<br />the Refinanced Project financed thereby and the County agrees to make
<br />periodic installment payments (the "2001 Installment Payments") to repay the
<br />moneys so advanced, with interest;
<br />(2) Supplemental Indenture, Number 1, proposed to be dated as of
<br />December 1, 2009 (the "Supplemental Trust Indenture"), to the Indenture of
<br />Trust dated as of March 1, 2001 (the "2001 Trust Indenture"), each between
<br />the Corporation and the trustee named therein, as trustee (the "2001
<br />Trustee"), pursuant to which there are to be executed and delivered the
<br />Corporation's Refunding Certificates of Participation (County of Cabarrus,
<br />North Carolina Installment Financing Contract), Series 2009B (the "2009B
<br />Certificates"), the proceeds of which will be used to refinance all or a
<br />portion of the Corporation's Certificates of Participation (County of
<br />Cabarrus, North Carolina Installment Financing Contract), Series 2001 (the
<br />"2001 Certificates");
<br />(3) an Escrow Deposit Agreement, proposed to be dated as of December
<br />1, 2009 (the "Escrow Agreement"), between the County and the escrow agent
<br />named therein, as escrow agent (the "Escrow Agent"), pursuant to the terms of
<br />which the proceeds of the 2009B Certificates will be deposited and invested
<br />pending disbursement of such funds to refinance the prior installment
<br />financing contract;
<br />(4) a Preliminary Official Statement to be dated on or about November
<br />3, 2009 (the "Preliminary Official Statement") which, as supplemented with
<br />certain pricing and other permitted omitted information, is to be the
<br />Official Statement expected to be dated on or about November 15, 2009 (the
<br />"Official Statement"), pursuant to which the 2009B Certificates are to be
<br />offered and sold to the public;
<br />(5) a Contract of Purchase, including the exhibits attached thereto,
<br />expected to be dated on or about November 15, 2009 (the "2009B Purchase
<br />Contract") between the Corporation and Southwest Securities, Inc., on its own
<br />behalf and as representative of the other underwriters (if any) named therein
<br />(collectively, the "Underwriters"), pursuant to which the Underwriters agree
<br />to purchase the 2009B Certificates for sale to the public;
<br />WHEREAS, the obligations of the County to make the
<br />and other payments pursuant to the 2001 Contract shal
<br />obligations of the County payable solely from
<br />appropriations of the County and shall not constitute a
<br />and credit of the County within the meaning of any
<br />limitation;
<br />Installment Payments
<br />L constitute limited
<br />currently budgeted
<br />pledge of the faith
<br />constitutional debt
<br />WHEREAS, no deficiency judgment may be rendered against the County in
<br />any action for breach of a contractual obligation under the 2001 Contract,
<br />and the taxing power of the County is not and may not be pledged in any way
<br />
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