1/28/1981 - Laserfiche WebLink

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1 JAN 28 1981 BODK 4 5 FAGS 744 IS A VERY SMALL DEAL FOR THEM, IS THAT THEY DO NOT WANT TO JEOPARDIZE THEIR POSITION IN THEIR DEALINGS ON VERY LARGE ISSUES WHICH INVOLVE 200 OR 300 MILLION. COMMISSIONER SCURLOCK PERSONALLY RECOMMENDED THAT WE ACCEPT OUR BOND COUNSELS OPINION AND NOT GIVE THE WARRANTY; HE.WAS NOT AS CONCERNED ABOUT THE ESCROW OF 1% OR 2%. COORDINATOR THOMAS STATED THAT HE SAW NO REASON FOR THE COUNTY TO BE SMITH BARNEY'S PAWN IN THEIR LEGAL PROBLEM, AND IF WE CAN T GET AN IMMEDIATE ANSWER FROM THEM, HE WOULD HOPE THE COMMISSION WOULD AUTHORIZE THE ATTORNEY, COMMISSIONER SCURLOCK AND HIM, TO PROCEED IMMEDIATELY TO DO BUSINESS WITH SOMEBODY ELSE. HE POINTED OUT THAT THE BOND ISSUE HAS BEEN VALIDATED AND WE NEED TO GET IT INTO THE MARKET.. IF WE CANNOT DO IT THROUGH ANOTHER BONDING HOUSE, THEN IT WILL BE ABSOLUTELY NECESSARY TO AUTHORIZE THEM TO PROCEED ON ALTERNATIVE FINANCING, POSSIBLY WITH A DRAWDOWN FROM THE FMHA. HE EMPHASIZED THAT TIMING IS VERY IMPORTANT BECAUSE MARKET CONDITIONS ARE VERY FAVORABLE RIGHT NOW, BUT THAT IS SUBJECT TO CHANGE AT ANY TIME. ON MOTION BY COMMISSIONER SCURLOCK, SECONDED BY COMMISSIONER BIRD,.THE BOARD UNANIMOUSLY ACCEPTED THE RECOMMENDATION OF BOND COUNSEL, FREEMAN, RICHARDSON, WATSON, KELLY & LIVERMORE, AND OUR LOCAL ATTORNEY, AND AGREED TO MAKE REPRESENTATIONS AND NOT WARRANTIES 1 TO SMITH BARNEY AND ALSO TO HOLD TO THE REQUIREMENT FOR A 2% GOOD FAITH CHECK FROM THE UNDERWRITERS. ATTORNEY COLLINS WISHED IT MADE CLEAR THAT HE, TOO, RELIES ON OUR BOND COUNSEL. ON MOTION BY COMMISSIONER SCURLOCK, SECONDED BY COMMISSIONER BIRD, COMMISSIONER FLETCHER VOTED IN OPPOSITION, THE BOARD BY A 4 TO I VOTE, AUTHORIZED THE ATTORNEY AND INTERGOVERNMENTAL COORDINATOR TO CONTACT SMITH BARNEY IMMEDIATELY TO MAKE THEM AWARE OF THE COUNTY'S POSITION.AND IF SMITH BARNEY WILL NOT ACCEPT THAT POSITION, OR DOES NOT ANSWER BY FEBRUARY 2ND, AUTHORIZED THEM TO LOOK FOR OTHER UNDERWRITERS OR APPROACH FMHA.