BACKGROUND:

The County of Albemarle issued school bonds through the Virginia Public School Authority in 1992, 1993, and 1994.  The total of these three bond issues was $39,495,000.

STRATEGIC PLAN:

4.2 Fund County services in a fair, efficient manner and provide needed county public facilities and infrastructure.

DISCUSSION:

Based on current interest rates, the VPSA has elected to refund (refinance) a number of its outstanding bond issues.  As a result of the refunding, the VPSA will realize a substantial savings in interest which will be shared with the localities.  It is anticipated that the County of Albemarle will receive a refund of $825,142.  The refund is restricted to be used for the cost of public school capital purposes and must be used within 6 months of receipt.  In order to participate in this refunding, the County Board of Supervisors must adopt a Resolution authorizing the execution and delivery of a Continuing Disclosure Agreement and a Use of Proceeds Certificate.  The County is not considered a “Material Obligated Person” and is not required to provide Annual Reports or Reports of Listed Events.

BUDGET IMPACT:

The $825,142 interest savings will be deposited to the CIP fund for school construction projects.

RECOMMENDATIONS:

Staff recommends that the Board adopt the attached Resolution authorizing the attached:

• Continuing Disclosure Agreement and
• Use of Proceeds Certificate.

ATTACHMENTS:

A – VPSA Bond Refinancing Resolution

B – Continuing Disclosure Agreement

C – Use of Proceeds Certificate
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