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Commissioner Hovis - Financial and Management Services - Finance - To Approve the Continuing Disclosure Compliance and Tax-Exempt Post-Issuance Compliance Policies and Procedures
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STAFF CONTACT
Kyle Sutherland - Finance - 704-866-3130
BUDGET IMPACT
budget
N/A
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BACKGROUND
In an effort to continue to enhance The County’s fiscal responsibility related to debt issuance and debt management, the attached policies have been drafted in consultation with the County Manager’s Office, County Attorney, Bond Counsel, and our debt consultants, DEC Associates. The following details the purpose of each policy.
Continuing Disclosure Compliance Policy:
The purpose of the Disclosure Policy is to formally confirm and enhance existing policies and procedures regarding compliance with such obligations and federal securities law in order to, among other things: (a) facilitate compliance with applicable law and existing contracts when preparing and distributing Disclosure Documents in connection with Securities offerings and Continuing Disclosure Documents; (b) reduce exposure of the County, its officials and employees to liability for damages and enforcement actions based on misstatements and omissions in Disclosure Documents; and (c) avoid damage to residents of the County and other third parties from misstatements or omissions in Disclosure Documents.
Tax-Exempt Post-Issuance Compliance Policy:
Gaston County has issued or incurred one or more tax-exempt obligations (hereinafter referred to as “bonds”) that are outstanding. As used herein, the term “bonds” includes general obligation bonds, revenue bonds, installment financing contracts entered into by the County pursuant Section 160A-20 of the North Carolina General Statutes, and any other obligation lawfully incurred by the County that constitutes “debt” for federal income tax purposes. The purpose of this policy is to ensure the post-issuance compliance of the County’s tax-exempt bonds.
POLICY IMPACT
See attached for full details of proposed policies.
ATTACHMENTS
Continuing Disclosure Compliance Policy; Tax-Exempt Post-Issuance Compliance Policy