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The first resolution authorizes the County to execute and <br />deliver a Letter of Intent and Inducment Agreement to <br />Florida Convalescent Centers.with respect to the issuance of <br />$4,800,000 of industrial development revenue refunding <br />bonds. Attached as an exhibit to this resolution Is the <br />Letter of Intent, which has to be signed by the County as <br />well as Florida Convalescent Centers. The second resolution <br />satisfies the requirements of the Internal Revenue Code of <br />1986, as amended, stating that the County has held a public <br />hearing which provided an opportunity for persons with <br />differing opinions to be heard in connection with the <br />issuance of these refunding bonds. <br />We respectfully request the Board authorize the Chairman to <br />execute both resolutions as well as the Letter of Intent on <br />behalf of the County in connection with this matter. <br />Attorney Vitunac noted that normally there would be someone <br />here from Florida Convalescent Centers and the bond lawyers, but <br />due to being shut down yesterday by the hurricane in Miami, they <br />called and said they could not be here, and if there are any <br />serious problems or questions, they would ask to reschedule this <br />to sometime in November. Attorney Vitunac felt since it was a <br />simple refunding we would be able to go ahead with the hearing <br />today. <br />Attorney Vitunac continued that last year the county <br />authorized issuance of 4.8 million industrial development bonds <br />to the only applicant we had. He believed all the questions <br />relevant to this issue were considered at that time, i.e., do we <br />need a nursing home and are we willing to use the taxing <br />advantages available to the county for a nursing home. There <br />was no problem with that a year ago, and the Convalescent Center <br />now wants to decrease their funding costs. <br />Commissioner Bird asked that this be further clarified, and <br />Chairman Scurlock explained that they are taking their existing <br />debt and refunding at a lower interest rate; it is an economic <br />advantage to them. <br />Attorney Vitunac advised that they are allowed to do that <br />one time under the new tax law, and what they are asking from us <br />is to issue a letter of inducement, which is Exhibit A with the <br />two Resolutions. They have one change in the letter - they would <br />like to do the closing on February 28th rather than December <br />OCT 1 19� 31 BOOK 69 PAGE 673 <br />