7/7/1982 - Laserfiche WebLink

Home Browse Search

BOND RESOLUTIONS - WATER & SEWER A. Combining All Water & Sewer Systems Attorney Brandenburg reported that the proposed Master Bond Resolution would allow the County to combine all outstanding water and sewer systems. He noted that the Finance Department at present must keep separate books for each project because each financing has separate requirements, and the intent is to bring all of the separate systems into one unified system and keep one set of books. He continued that Stan Livingood of Arch Roberts & Co., investment bankers, has indicated that FmHA has gone over this and concurs with the way it is written; our Bond Counsel drafted it and certainly concurs; and Attorney Brandenburg recommended approval. Commissioner Fletcher had questions as to money saved in relation to additional cost to implement this consolidation. Mr. Livingood, before answering Commissioner Fletcher's question, wished to clarify that while the Master Resolution definitely combines all pre-existing financings, which are held by one entity (the two Gifford systems and the South County system) and essentially accomplishes the same things as a refunding of the three issues, it does not totally eliminate all separate internal bookkeeping on the part of. the County. This is because FmHA has required, from a rate -making standpoint, that the County continue to keep records on revenues and expense bases for those three systems so that the integrity of the original intent of providing grant money can be maintained. Indications are that as the system grows and the total impact of the grants becomes much less, the separate bookkeeping system then could be eliminated. Mr. Livingood believed that there would be a nominal reduction in costs, however, and noted that separate sinking funds can be eliminated. JUL 71992 53 50, Z33z