Okaloosa County BOCC — November 4, 2014 — Action Item Printout

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: November 4, 2014 TO: Honorable Chairman and Members of the Board FROM: Rick Owen SUBJECT: Bond Resolution and Authorization DEPARTMENT: County Administrator BCC DISTRICT: All STATEMENT OF ISSUE: After presentation by Mark Galvin, First Southwest Company, Mark Mustian, Nabors, Giblin and Nickerson, P.A., the Board is asked to consider and approve: 1. A Resolution amending Resolution No. 09-190 providing that the Debt Service Reserve Account on any future series of bonds be zero. 2 Supplemental Resolution delegating to the Chairman of the Board of County Commissioners and the County Administrator the authorization to determine final structure within certain established parameters. BACKGROUND: On September 16, 2014 the Board of County Commissioners authorized Staff and the County’s Financial Advisor, Mark Galvin of FirstSouthwest Company to move forward with a 20 year bond issue to fund the construction plan of the Administrative Complex in Shalimar, and an RFQ for design/build contractor for the Crestview Courthouse renovation. Additionally, the Board gave direction on the construction of new building adjacent to the Sheriff's Office. Since then, staff has worked with various contractors on the three projects to the best cost estimate. Concurrently, the County Administrator, legal team, Clerk of Courts Finance Director, and other staff members and the County’s bond underwriters (RBC Capital Markets and Crews and Associates) have worked with County’s financial advisor and bond counsel in preparing the necessary documents including drafts of the preliminary official Statement and amending bond resolution. The County as part of this process had their AA rating from Standard and Poor’s affirmed and an upgrade bond rating from Fitch Rating Services From A+ to AA- in addition to securing bond insurance commitment from America Mutual. Approval of the Resolution will allow for the Chairman of the Board of County Commissioners and the County Administrator the authorization to determine final structure within certain established parameters. RECOMMENDATIONS: Staff recommends approval of the resolutions as presented which authorizes the Chairman to execute all appropriate documents on behalf of the County to complete the issuance of not to exceed amount of $25 million and to award the sale of the bonds to the underwriters based on the not to exceed parameters as set forth in the resolution and with the recommendations of the Financial Advisor. RECOMMENDED BY: APPROVED BY: John Hofstad, Interim County Administrator