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Commissioner Hovis - Financial and Management Services - Finance - To Award Bid for Financing and Cost of Issuance up to $6,606,000.00 for Rolling Stock and Equipment to PNC Bank, National Association, to Approve the Attached Budget Change Request, and Installment Financing Agreement with Financing Terms and Debt Payment Obligations Through June 1, 2028
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STAFF CONTACT
Kyle Sutherland - Finance - 704-866-3130
BUDGET IMPACT
budget
Community Investment Fund: Recognize financing proceeds of $6,606,000.00, return $6,495,578.00 to fund balance, and transfer $40,000.00 to the Debt Service fund and $70,422.00 to the General Fund.
Debt Service Fund: Increase Transfers In and Expenditures by $40,000.00
General Fund: Increase Transfers In and return to fund balance an amount of $70,422.00
The County is obligated to make payments on this debt through June 1, 2028.
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BACKGROUND
By approval of this action, the Gaston County Board of Commissioners finds that the financing of the acquisition of the vehicles (rolling stock and ambulances), equipment (Jail Video Storage), and cost of issuance totaling up to $6,606,000.00 pursuant to the terms of the installment financing agreement with PNC Bank, National Association is in the best interest of Gaston County and hereby authorizes the execution of such contract and delivery of documents in connection therewith, and approves the County's debt obligation through June 1, 2028 per the attached Installment Financing Agreement.
The County staff received eleven bids for the financing and recommends PNC Bank, National Association, as the lowest responsible bidder at a rate of 3.24% for the 36 months' term. The Board designates the obligations of the County to make payment under the proposed installment financing agreement as "non-bank qualified" obligations in accordance with the provisions of Section 265 (b)(3)(ii) of the Tax Reform Act of 1986, as amended. If any of the equipment or other items on the list are rece...
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