CLARK COUNTY BOARD OF COMMISSIONERS
AGENDA ITEM
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Petitioner: |
Anna Danchik, Comptroller |
Recommendation:
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Approve, adopt and authorize the Chair to sign a Resolution concerning the financing of building projects and park projects in the County; directing the County Clerk to notify the Clark County Debt Management Commission of a proposal to issue general obligations of the County (additionally secured by pledged revenues), in the maximum aggregate principal amount of $222,525,000; providing certain details in connection therewith; and providing the effective date. (For Possible Action)
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FISCAL IMPACT:
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Additional Comments: |
The general obligation (limited tax) public facilities and park bonds (the “Series 2027 Bonds”) will be additionally secured by a pledge up to 15% of the Local Government Tax Distribution Fund distributed to the County. The Local Government Tax Distribution Fund consists of local government revenues from six sources: Supplemental City/County Relief Tax (“SCCRT”), Basic City/County Relief Tax (“BCCRT”), Cigarette Tax, Liquor Tax, Governmental Services Tax (“GST”), and Real Property Transfer Tax (“RPTT”). The law allows for up to 15% of the combination of these six revenues (the “Consolidated Tax”) to be pledged as security for debt (the “Consolidated Tax Pledged Revenues”). |
BACKGROUND:
The proceeds will be used for projects related to the enlargement, repair, reconstruction and improvement of building projects, including, without limitation, the Coroner’s Office and park projects.
In order to initiate the process of securing debt financing, the Nevada Revised Statutes requires that the Board request the Debt Management Commission to convene and consider the request to issue general obligation bonds. The Series 2027 Bonds will be additionally secured with Consolidated Tax Pledged Revenues. Following this request, the Debt Management Commission must meet within 30 days to consider this matter. The resolution also includes a “reimbursement resolution” component, which will allow the County to reimburse itself, from bond proceeds, for expenditures made on these projects prior to the issuance of the bonds. Eligible expenditures are expenditures that occur 60 days prior or anytime after the adoption of the reimbursement resolution.