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February 19, 2018 (Regular Meeting) Page 3446 County to pay the original expenditures then reimburse itself for the expenditures with the proceeds of the debt to be incurred by the County for the 2018 Limited Obligation Bonds. A budget amendment and Limited Obligation Bonds 2018 Project Ordinance is also included to record the. estimated construction project expenditure and debt proceeds to cover the construction expenditure. The establishment of a budget is required for a construction contract to be pre -audited. UPON MOTION of Commissioner Kiger, seconded by Commissioner Shue and unanimously carried, the Board adopted the reimbursement resolution and authorized the Chairman to sign the reimbursement agreement for the new Southwest Elementary School; and approved the related budget amendment and the Limited Obligation Bonds 2018 Project Ordinance. Resolution No. 2018-01 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: 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, in whole or in part, the acquisition, construction, installation and equipping of a new public elementary school, including the acquisition of necessary land and rights-of-way (the "School Project"). (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 School Project is expected to be $25,000,000. (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 School Project was placed in service or abandoned, but in no event more than 3 years after the Original Expenditure was paid. This resolution shall take effect immediately. Commissioner F. Blake Kiger moved to approve the passage of the foregoing resolution and Commissioner Lynn W. Shue 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.] (This space intentionally left blank.)