RESOLUTION NO. 16-07

 

                        A RESOLUTION MAKING APPLICATION TO THE STATE BUDGET AND CONTROL BOARD OF SOUTH CAROLINA FOR APPROVAL OF THE ISSUANCE BY NEWBERRY COUNTY, SOUTH CAROLINA, OF ITS SPECIAL SOURCE REVENUE BONDS (MID-CAROLINA COMMERCE PARK, PHASE I PROJECT) IN ONE OR MORE SERIES OF BONDS, PURSUANT TO THE PROVISIONS OF TITLE 4, CHAPTER 29 OF THE CODE OF LAWS OF SOUTH CAROLINA 1976, AS AMENDED, IN THE PRINCIPAL AMOUNT OF NOT EXCEEDING $1,500,000

 

            WHEREAS, Newberry County, South Carolina (the “County”), acting by and through its County Council is authorized and empowered under and pursuant to the provisions of Title 4, Chapters 1 and 29 of the South Carolina Code of Laws 1976, as amended (collectively the “Act”), to issue special source revenue bonds whereby the industrial development of the State of South Carolina (the “State”) will be promoted and trade developed by inducing industrial enterprises to locate in and remain in the State and thus utilize and employ the manpower, agricultural products and natural resources of the State; and

 

            WHEREAS, the County is further authorized by the Act to issue special source revenue bonds, as provided in the Act, secured and payable from all or a part of that portion of revenues which the County is entitled to retain pursuant to one or more joint county industrial or business park agreements established pursuant to Section 4-1-170 of the Act and Article VIII, Section 13, of the South Carolina Constitution, and for the purposes set forth in Section 4-29-68 of the Act; and

 

            WHEREAS, the County has entered or will enter into agreements with one or more counties in the State providing for the establishment of certain joint county industrial or business parks pursuant to Section 4-1-170 of the Act in order to implement the public purposes enumerated in the Act; and

 

            WHEREAS, in furtherance thereof, the County proposes to issue its Special Source Revenue Bonds (Mid-Carolina Commerce Park, Phase I Project) in one or more series of bonds (the “Bonds”) in the aggregate principal amount of not exceeding $1,500,000 to defray the costs of designing, acquiring, constructing, improving or expanding infrastructure in the Mid-Carolina Commerce Park located in the County (the “Project”); and

 

            WHEREAS, pending the issuance of the Bonds, bond anticipation notes may be issued, and to the end that a vehicle be provided therefor, the provisions of Section 11-17-10 to Section 11-17-110, Code of Laws of South Carolina 1976, as amended, are applicable to the bond anticipatory borrowing; and

 

            WHEREAS, it is now deemed advisable by the County to file with the State Budget and Control Board of South Carolina (the “State Budget and Control Board”), in compliance with Section 4-29-140 of the Act, the Petition of the County requesting approval by the State Budget and Control Board of the proposed issuance of the Bonds.

 

            NOW, THEREFORE, BE IT RESOLVED by the County Council of Newberry County, South Carolina, as follows:

 

            Section 1.  It is hereby found, determined and declared as follows:

 

            (a)        The issuance of the Bonds, in one or more series, to defray the cost of the Project and the issuance of the Bonds, in the principal amount of not exceeding $1,500,000, will subserve the purposes and in all respects conform to the provisions and requirements of the Act applicable to the Bonds.

 

            (b)        It is anticipated that the Project will benefit the general public welfare of the County by providing infrastructure necessary for the continued economic development of the County, and by providing additional employment opportunities for people from the County and adjacent areas when the Project is placed in full operation with a resulting alleviation of unemployment and a substantial increase in payrolls and other public benefits incident to the conduct of industrial development not otherwise provided locally.

 

            (c)        Except as to the fees in lieu of taxes as shall be pledged to the repayment of the Bonds, neither the Project, the Bonds proposed to be issued by the County to defray the cost of the Project, nor any documents or agreements entered into by the County in connection therewith will constitute or give rise to a pecuniary liability of the County or a charge against any of the general credit or taxing power.

 

            (d)        The issuance of the Bonds by the County in the principal amount of not exceeding $1,500,000 will be required to defray the cost of the Project.

 

            (e)        The amount necessary in each year to pay the principal of and interest on the Bonds shall be set forth in an ordinance to be adopted by the County.

 

            (f)        Pending the issuance of the Bonds, the County may issue bond anticipation notes pursuant to the provisions of Section 11-17-10 to 11-17-110 of the Code of Laws of South Carolina 1976, as amended.

 

            Section 2.  There is hereby authorized and directed the submission on behalf of the County, of a Petition requesting the approval by the State Budget and Control Board of the proposal of the County to issue the Bonds pursuant to the provisions of Section 4-29-140 of the Act, said Petition, which constitutes and is hereby made a part of this authorizing resolution, to be in substantially the form attached hereto.

 

            Section 3.  The Chairman or Vice-Chairman of the County Council of the County is hereby authorized and directed to execute said Petition in the name and on behalf of the County; and the Clerk of the County Council is hereby authorized and directed to attest the same and thereafter to submit an executed copy of this resolution to the State Budget and Control Board in Columbia, South Carolina.


            Section 4.  All orders and resolutions and parts thereof in conflict herewith are to the extent of such conflict hereby repealed, and this resolution shall take effect and be in full force from and after its adoption and approval.

 

            Adopted and approved August 15, 2007.

 

                                                                        NEWBERRY COUNTY, SOUTH CAROLINA

 

 

                                                                        _________________________________     

                                                                        Chairman, County Council

                                                                        Newberry County, South Carolina

(SEAL)                                               

 

ATTEST:

 

 

                                                           

Clerk to County Council

Newberry County, South Carolina


STATE OF SOUTH CAROLINA                     )

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COUNTY OF NEWBERRY                             )

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TO THE STATE BUDGET AND CONTROL  )                                   PETITION

BOARD OF SOUTH CAROLINA                   )

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            This Petition of Newberry County, South Carolina (the “County”), pursuant to Title 4, Chapters 1 and 29 of the Code of Laws of South Carolina 1976, as amended (collectively the “Act”), and specifically Section 4-29-140 thereof, respectively shows:

 

            1.         The County Council of Newberry County, South Carolina (the “County Council”) is the governing body of the County and as such the “governing board” of the County referred to in the Act.

 

            2.         The Act empowers the County, subject to obtaining the approval of the State Budget and Control Board of South Carolina (the “State Budget and Control Board”), to issue special source revenue bonds for the purpose of defraying the costs of designing, acquiring, constructing, improving or expanding infrastructure as defined in Section 4-29-68(A)(2) of the Act and to secure the payment of such bonds from payments in lieu of taxes pursuant to certain joint county industrial or business park agreements received and retained by the County under Section 4-1-170 of the Act and Section 13 of Article VIII of the Constitution of the State of South Carolina 1985, as amended (the “State Constitution”).

 

            3.         The County will issue its special source revenue bonds for the purpose of defraying the costs of designing, acquiring, constructing, improving or expanding infrastructure in the Mid-Carolina Commerce Park located in the County (the “Project”).

 

            4.         The County has determined that the estimated cost of the Project will be approximately $1,500,000 and desires to execute and deliver its Special Source Revenue Bonds (Mid-Carolina Commerce Park, Phase I Project), in one or more series of bonds (the “Bonds”), in the aggregate principal amount of not exceeding $1,500,000 to defray such costs of the Project.

 

            5.         Pending the issuance of the Bonds, bond anticipation notes may be issued, and to the end that a vehicle be provided therefor, the provisions of Section 11-17-10 to Section 11-17-110, Code of Laws of South Carolina 1976, as amended, are applicable to the bond anticipatory borrowing.

 

            6.         Pursuant to Section 4-29-60 of the Act, the County Council has made the requisite findings that: (i) the Project will subserve the purposes of the Act; (ii) it is anticipated that the Project will benefit the general public welfare of the County by providing employment and other public benefits not otherwise provided locally; (iii) the Project will give rise to no pecuniary liability of the County or a charge against its general credit or taxing power; (iv) the principal amount of the Bonds required to finance the Project is expected to be not exceeding $1,500,000; (v) the County may, but shall not be required to, establish a reserve fund in connection with the retirement of the proposed Bonds and the maintenance of the Project; and (vi) the County shall maintain the Project and carry all proper insurance with respect thereto, and as a part of the proceedings of the County, the County Council will make the requisite finding as to the amount necessary in each year to pay the principal and the interest on the Bonds proposed to be issued to defray the cost of the Project.

 

            7.         Pursuant to Section 4-29-140 of the Act, the County sets forth the following information:

 

            (a)        The Project will include security financing, capitalized interest, costs of issuance and other related infrastructure to be owned or controlled by the County.  It is anticipated that, upon completion, the Project will provide stimulation to the economy of the County and neighboring areas thereto by increased payrolls, capital investment and tax revenues.

 

                        (b)        It is estimated that the cost of the Project, including the items of cost authorized in the Act, will be approximately $1,500,000.

 

                        (c)        Pursuant to Section 4-1-170 of the Act and Article VIII, Section 13 of the State Constitution, the County is authorized to establish, through agreement with partner counties (collectively, the “Park Agreements”), one or more joint county industrial or business parks, and to receive certain payments in lieu of taxes from the industries and businesses located thereon.

 

                        (d)        Pursuant to Section 4-29-68 of the Act, the County is authorized to issue revenue bonds, payable from and secured by the payments in lieu of taxes referred to in (c) above, and to make an irrevocable pledge and assignment for the benefit of the holder of the Bonds of the County’s right, title and interest in and to said payments in lieu of taxes.

 

                        (e)        Copies of the Ordinance and the Bond are available from the County.  The following summary of their terms is in no wise intended to affect or alter the actual terms of the documents themselves:

 

                                    (i)         The Bonds shall be payable from, and secured by payments in lieu of taxes payable in respect of the Park Agreements;

 

                                    (ii)        Pursuant to the Act, the County has made an irrevocable pledge and assignment for the benefit of the holder of the Bonds of the County’s right, title and interest in and to said payments in lieu of taxes; and

 

                                    (iii)       The enactment of the Ordinance and the issuance of the Bonds will serve to impose no pecuniary liability on the County except to the extent of payments in lieu of taxes pledged to the repayment of the Bonds and do not create a charge upon the general credit or taxing power of the County.

 

            Upon the basis of the foregoing, the County respectfully requests that the State Budget and Control Board (i) accept the filing of this Petition and the documents submitted herewith, (ii) make such review as it deems advisable; (iii) if it finds that the Project is intended to promote the purposes of the Act and may be reasonably anticipated to effect such result, that it approve the Project and the execution and delivery of the Bonds by the County pursuant to the Act to defray the cost of the Project (including changes in any details of the said financing as finally consummated which do not materially affect the undertaking of the County) and (iv) give published notice of its approval in the manner set forth in Section 4-29-140 of the Act.

 

                                                                        Respectfully submitted,

 

                                                                        NEWBERRY COUNTY, SOUTH CAROLINA

 

 

                                                                        _________________________________     

                                                                        Chairman, County Council

                                                                        Newberry County, South Carolina

(SEAL)                                               

 

ATTEST:

 

 

                                                           

Clerk to County Council

Newberry County, South Carolina

 

August 15, 2007