TO:Budget & Finance Committee
Michael J. Pepe, Chair, Legislator, District 7
Martin P. Kelly, Legislator, District 1
Brian D. Sweet, Legislator, District 2
Roy S. Dimond, Legislator, District 3
Robert Headwell, Jr., Legislator, District 4
Daniel P. Wilson, Legislator, District 5
John M. Duchessi, Legislator, District 6
Joseph M. Isabel, Legislator, District 8
Robert A. Purtell, Legislator, District 9
FROM:Cheryl A. Reese, Clerk of the Legislature
CC:Legislators, County Attorney, County Treasurer, Media
DATE:3/29/2024
RE:Committee Meetings

Chairman Michael J. Pepe has called a meeting of the Budget & Finance Committee for 6:25 p.m. on Tuesday, June 20, 2017 in the Legislative Chambers, County Office Building, 64 Broadway, Fonda, New York. Items on the agenda, at this time, are as follows:

1.  DISCUSSION

     A. Privilege of Committee Chair, Committee Members & Legislators to discuss items of interest, etc., regarding departments governed by this Committee

2.  RESOLUTION APPOINTING MEMBER TO THE AUDIT COMMITTEE  (COUNTY LEGISLATURE)

3.  RESOLUTION APPROVING ABSTRACT OF AUDITED CLAIMS (COUNTY LEGISLATURE)

4.  RESOLUTION AUTHORIZING ACCEPTANCE OF REPORT AND RELEASE OF MOSA RECEIVER, AND DISTRIBUTIONS TO MONTGOMERY, OTSEGO and SCHOHARIE COUNTIES AND RECEIVER (COUNTY LEGISLATURE)

5.  RESOLUTION AUTHORIZING THE COUNTY EXECUTIVE TO EXECUTE A RELEASE WITH GALLAGHER BASSET, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD AND MCKEE RISK MANAGEMENT (COUNTY LEGISLATURE)

6.  RESOLUTION AUTHORIZING THE ISSUANCE PURSUANT TO SECTION 90.10 OF THE LOCAL FINANCE LAW OF REFUNDING BONDS OF MONTGOMERY COUNTY, NEW YORK, TO BE DESIGNATED SUBSTANTIALLY “MONTGOMERY COUNTY, NEW YORK REFUNDING (SERIAL) BONDS, 2017”, AND PROVIDING FOR OTHER MATTERS IN RELATION THERETO AND THE PAYMENT OF THE BONDS TO BE REFUNDED THEREBY

7.  OTHER

 

 



Proposed Resolutions

Res. #Sponsor/SecondRecommendation
163

RESOLUTION APPOINTING MEMBER TO THE AUDIT COMMITTEE  (COUNTY LEGISLATURE)

Dimond/WilsonMove to Full Legislature
164

RESOLUTION APPROVING ABSTRACT OF AUDITED CLAIMS (COUNTY LEGISLATURE)

Headwell, Jr./PurtellMove to Full Legislature
165

RESOLUTION AUTHORIZING THE COUNTY EXECUTIVE TO EXECUTE A RELEASE WITH GALLAGHER BASSET, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD AND MCKEE RISK MANAGEMENT (COUNTY LEGISLATURE)

Headwell, Jr./PurtellMove to Full Legislature
166

RESOLUTION AUTHORIZING ACCEPTANCE OF REPORT AND RELEASE OF MOSA RECEIVER, AND DISTRIBUTIONS TO MONTGOMERY, OTSEGO and SCHOHARIE COUNTIES AND RECEIVER  (COUNTY LEGISLATURE)

Purtell/WilsonMove to Full Legislature
167

RESOLUTION AUTHORIZING THE ISSUANCE PURSUANT TO SECTION 90.10 OF THE LOCAL FINANCE LAW OF REFUNDING BONDS OF MONTGOMERY COUNTY, NEW YORK, TO BE DESIGNATED SUBSTANTIALLY “MONTGOMERY COUNTY, NEW YORK REFUNDING (SERIAL) BONDS, 2017”, AND PROVIDING FOR OTHER MATTERS IN RELATION THERETO AND THE PAYMENT OF THE BONDS TO BE REFUNDED THEREBY

Purtell/DimondMove to Full Legislature



Montgomery County Seal!RESOLUTION NO. 163 of 2017

DATED: June 27, 2017

RECOMMENDATION:
     

RESOLUTION APPOINTING MEMBER TO THE AUDIT COMMITTEE  (COUNTY LEGISLATURE)


Resolution by Legislator: Dimond
Seconded by: Wilson

WHEREAS, pursuant to Section 2.10 of the Montgomery County Charter and Section 2.03 (A) xiv of the Rules of Procedure of the Montgomery County Legislature, there shall be an Audit Committee composed of the Chairperson of the Legislature, the Chairperson of the Standing Committee on Budget & Finance and one additional Legislator; and

WHEREAS, the Montgomery County Legislature appoints a member each month to fill the position of the additional Legislator on the Audit Committee; and

RESOLVED, Legislator Robert Headwell, Jr. is hereby appointed to serve on the Audit Committee for the months of July & August 2017.

RESOLUTION VOTE, passed with Aye(7). Legislator Headwell, Jr. abstained. Legislator Sweet was absent. (6/27/2017)



Statement of Legislative and Financial Impact:

I. Nature of Request:

 APPOINTING MEMBER TO THE AUDIT COMMITTEE  


II. Justification:

The Legislature has chosen to make appointments to fill the third position on the Audit Committee.


III. Legislative Impact:

Pursuant to Section 2.10 of the Montgomery County Charter and Section 2.03 (A) xiv of the Rules of Procedure of the Montgomery County Legislature, there shall be an Audit Committee composed of the Chairperson of the Legislature, the Chairperson of the Standing Committee on Budget & Finance and one additional Legislator.


IV. Financial Impact:

To ensure that there is no negative impact of the Operating Budget.



cc: County Clerk
County Treasurer




Montgomery County Seal!RESOLUTION NO. 164 of 2017

DATED: June 27, 2017

RECOMMENDATION:
     

RESOLUTION APPROVING ABSTRACT OF AUDITED CLAIMS (COUNTY LEGISLATURE)


Resolution by Legislator: Headwell, Jr.
Seconded by: Purtell

WHEREAS, pursuant to the Audit Guidelines, Section 13.2 (2), requires after examination and review of the claims by the audit committee, and there being no objection to any of the claims by any committee or Board member, shall move that the claims as audited are approved and presented to the Board for approval of payment; and

WHEREAS, the Audit Committee has audited claims for the period of May 24, 2017 through June 27, 2017 and recommends the payment of the claims as attached hereto in the "Abstract of Audited Claims".

RESOLVED, after examination and review of the claims by the Audit Committee, the claims are audited and attached hereto, are hereby approved for payment by the Montgomery County Legislature.

RESOLUTION VOTE, passed with Aye(8). Legislator Sweet was absent. (6/27/2017)



Abstract of Audited Claims - June 27, 2017

Statement of Legislative and Financial Impact:

I. Nature of Request:

APPROVING ABSTRACT OF AUDITED CLAIMS


II. Justification:

Pursuant to the Audit Guidelines, Section 13.2 (2), requires after examination and review of the claims by the audit committee, and there being no objection to any of the claims by any committee or Board member, shall move that the claims as audited are approved and presented to the Board for approval of payment.


III. Legislative Impact:

Pursuant to the Audit Guidelines, Section 13.2 (2), requires after examination and review of the claims by the audit committeee claims as audited are approved and presented to the Board for approval of payment.


IV. Financial Impact:

Budget neutral



cc: County Clerk
County Treasurer




Montgomery County Seal!RESOLUTION NO. 165 of 2017

DATED: June 27, 2017

RECOMMENDATION:
     

RESOLUTION AUTHORIZING THE COUNTY EXECUTIVE TO EXECUTE A RELEASE WITH GALLAGHER BASSET, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD AND MCKEE RISK MANAGEMENT (COUNTY LEGISLATURE)


Resolution by Legislator: Headwell, Jr.
Seconded by: Purtell

WHEREAS, on July 9, 2016 a lightning strike at the jail caused damage to the Montgomery County Jail; and

WHEREAS, a release has been negotiated to settle all claims for the lightning damage.

NOW THEREFORE BE IT RESOLVED, that the Montgomery County Executive is hereby authorized and directed to execute a release with Gallagher Basset, National Fire Insurance Company of Hartford and McKee Risk Management for $200,000 in exchange for a release of all claims  for satisfaction of rights associated with the July 9, 2016 lightning strike at the jail.

RESOLUTION VOTE, passed with Aye(8). Legislator Sweet was absent. (6/27/2017)



Statement of Legislative and Financial Impact:

I. Nature of Request:

Resolution authorizing the County Executive to sign a release with Gallagher Basset, National Fire Insurance Company of Hartford and McKee Risk Management to satisfy claims associated with the July 9, 2016 lightning strike.


II. Justification:

This will settle claims associated iwth the July 9, 2016 lightning stike.


III. Legislative Impact:

Pursuant to Article 3 of the Charter the Montgomery County Executie has the authority to sign contracts.


IV. Financial Impact:

Will result in $200,000 coming back to the County.



cc: County Clerk
County Treasurer




Montgomery County Seal!RESOLUTION NO. 166 of 2017

DATED: June 27, 2017

RECOMMENDATION:
     

RESOLUTION AUTHORIZING ACCEPTANCE OF REPORT AND RELEASE OF MOSA RECEIVER, AND DISTRIBUTIONS TO MONTGOMERY, OTSEGO and SCHOHARIE COUNTIES AND RECEIVER  (COUNTY LEGISLATURE)


Resolution by Legislator: Purtell
Seconded by: Wilson

WHEREAS, the Montgomery, Otsego, Schoharie Solid Waste Authority (MOSA) was dissolved as of April 30, 2014 pursuant to Public Authorities Law section 2014-w and resolution of the MOSA Board of Directors; and

WHEREAS, Public Authorities Law section 2014-w provides as follows:

“Any accounts payable and receivable, and any claims, obligations or other liabilities remaining unsettled or unresolved at the date of dissolution shall be assigned to a receiver to be appointed by the authorities’ budget office. Unless otherwise agreed by the counties and the authorities’ budget office, such receiver shall be selected from a list of qualified persons maintained by the office of court administration and the compensation and conduct of such receiver shall be governed by the rules of the chief judge. Said receiver shall be authorized to pay, collect, settle or resolve all such accounts, claims, obligations and liabilities in accordance with law, and to defend and maintain actions at law with respect thereto in the name of the authority,” and

WHEREAS, Montgomery, Schoharie and Otsego Counties (“the Counties”) mutually agreed that the Otsego County Treasurer would serve as the Receiver (“Receiver”); and

WHEREAS, the Counties and the Receiver are desirous of wrapping up the assets and liabilities that were unsettled or unresolved at the date of dissolution, and receiving distributions of the amounts owing to each; and

WHEREAS, the Receiver has notified the Counties that all accounts and liabilities have been resolved with the exception of a few accounts receivable described in his report which is on file with the Clerk of the Legislature and the County Treasurer; and

WHEREAS, the Counties have agreed to accept the Receiver's report in leui of a formal audit; now, therefore, be it

RESOLVED, as follows:

  1. Montgomery County acknowledges receipt and review of a report from the Receiver consisting of a letter dated March 27, 2017 and attachments referenced in said letter, and a summary of the assets remaining in the hands of the Receiver as well as the accounts receivable uncollected as of the date of the report (hereafter “Report” on file with the Clerk of the Montgomery County Legislature).
  2. Montgomery County agrees that the Report contains a true accounting of the accounts payable and receivable, and any claims, obligations or other liabilities that remained unsettled or unresolved at the date of dissolution and were turned over to the Receiver.   In addition, Montgomery County agrees that the Report also provides a detailed account of all actions and transactions undertaken by the Receiver from May 1, 2014 to March 27, 2017.
  3. Montgomery County accepts the Receiver's report in leiu of a formal audit.
  4. Montgomery County agrees that the remaining accounts receivable, totaling less than $20,000 will be turned over to legal counsel for collection if feasible. The Receiver will retain $5,000 to offset reasonable expenses incurred in the collection process. The Receiver is authorized to exercise his best judgment in determining the collectability of the accounts and whether to compromise the amounts due. Upon resolution of these accounts, Montgomery County agrees to accept a letter report of the Receiver and agrees that any net amount collected by the Receiver along with unexpended retained funds will be distributed to the Counties according to the percentages established.
  5. Montgomery County approves and accepts the Report of the Receiver and agrees that the assets remaining in the hands of the Receiver are as listed in the Report, and that distributions be made as follows:

Otsego County

$315,112.89

Receiver (Otsego County Treasurer’s Office)

$ 72,861.00

Montgomery County

$286,304.54

Schoharie County

$138,488.40

RESOLVED, that the Montgomery County Executive is hereby authorized to sign the approval of the Receiver’s Report and Release of the Receiver; and

BE IT FURTHER RESOLVED that Montgomery County consents to the distributions to the Counties and the Receiver as listed above.

RESOLUTION VOTE, passed with Aye(8). Legislator Sweet was absent. (6/27/2017)



Statement of Legislative and Financial Impact:

I. Nature of Request:

RESOLUTION AUTHORIZING ACCEPTANCE OF REPORT AND RELEASE OF MOSA RECEIVER, AND DISTRIBUTIONS TO MONTGOMERY, OTSEGO and SCHOHARIE COUNTIES AND RECEIVER 


II. Justification:

Counties and the Receiver are desirous of wrapping up the assets and liabilities that were unsettled or unresolved at the date of dissolution, and receiving distributions of the amounts owing to each from the dissolution of MOSA.


III. Legislative Impact:

Pursuant to Article 3 of the Charter the Montgomery County Executive has the authority to sign contracts.


IV. Financial Impact:

$286,304.54 to be received by Montgomery County plus any additional funds, at the established percentage, from the collection of outstanding accounts receivable.



cc: County Clerk
County Treasurer




Montgomery County Seal!RESOLUTION NO. 167 of 2017

DATED: June 27, 2017

RECOMMENDATION:
     

RESOLUTION AUTHORIZING THE ISSUANCE PURSUANT TO SECTION 90.10 OF THE LOCAL FINANCE LAW OF REFUNDING BONDS OF MONTGOMERY COUNTY, NEW YORK, TO BE DESIGNATED SUBSTANTIALLY “MONTGOMERY COUNTY, NEW YORK REFUNDING (SERIAL) BONDS, 2017”, AND PROVIDING FOR OTHER MATTERS IN RELATION THERETO AND THE PAYMENT OF THE BONDS TO BE REFUNDED THEREBY


Resolution by Legislator: Purtell
Seconded by: Dimond

WHEREAS, the County of Montgomery, New York (hereinafter, the “County”) heretofore issued an aggregate principal amount of $7,686,500 General Obligation (Serial) Bonds, 2008 (the “2008 Bonds”), pursuant to various bond resolutions to finance the cost of certain infrastructure improvements and the purchase of certain vehicles and equipment within the County, and a Certificate of Determination of the Treasurer of the County (hereinafter referred to as the “2008 Refunded Bond Certificate”), such 2008 Bonds being dated September 1, 2008 and maturing or matured on August 1 annually, as more fully described in the 2008 Refunded Bond Certificate (the “Refunded Bonds”); and 

WHEREAS, it would be in the public interest to refund a portion of the $5,165,000 outstanding principal balance of the 2008 Bonds the issuance of refunding bonds pursuant to Section 90.10 of the Local Finance Law; and 

WHEREAS, each of such refunding will individually result in present value savings in debt service if so required by Section 90.10 of the Local Finance Law; 

NOW, THEREFORE, BE IT RESOLVED, by the County Legislature of Montgomery County, New York, as follows: 

Section 1.        For the object or purpose of refunding the $4,295,000 outstanding aggregate principal balance of the Refunded Bonds, including providing moneys which, together with the interest earned from the investment of certain of the proceeds of the refunding bonds herein authorized, shall be sufficient to pay (i) the principal amount of the Refunded Bonds, (ii) the aggregate amount of unmatured interest payable on the Refunded Bonds to and including the date on which the Refunded Bonds which are callable are to be called prior to their respective maturities in accordance with the refunding financial plan, as hereinafter defined, (iii) the costs and expenses incidental to the issuance of the refunding bonds herein authorized, including the development of the refunding financial plan, as hereinafter defined, compensation to the underwriter or underwriters, as hereinafter defined, costs and expenses of executing and performing the terms and conditions of the escrow contract or contracts, as hereinafter defined, and fees and charges of the escrow holder or holders, as hereinafter mentioned, and (iv) the premium or premiums for a policy or policies of municipal bond insurance or cost or costs of other credit enhancement facility or facilities, for the refunding bonds herein authorized, or any portion thereof, there are hereby authorized to be issued not exceeding $4,350,000 refunding serial bonds of the County (the “Refunding Bonds”) pursuant to the provisions of Section 90.10 of the Local Finance Law, it being anticipated that the amount of Refunding Bonds actually to be issued will be approximately $4,350,000, as provided in Section 4 hereof. The Refunding Bonds described herein are hereby authorized to be consolidated for purposes of sale in one or more refunding serial bond issues. The County Refunding Bonds shall each be designated substantially “MONTGOMERY COUNTY, GENERAL OBLIGATION REFUNDING (SERIAL) BOND, 2017” together with such series designation and year as is appropriate on the date of sale thereof, shall be of the denomination of $5,000 or any integral multiple thereof (except for any odd denominations, if necessary) not exceeding the principal amount of each respective maturity, shall be numbered with the prefix R followed by a dash and then from 1 upward, shall be dated on such dates, and shall mature annually from 2017 through 2026, bearing interest semi-annually on such dates, at the rate or rates of interest per annum, as may be necessary to sell the same, all as shall be determined by the County Treasurer pursuant to Section 4 hereof. It is hereby further determined that (a) such Refunding Bonds may be issued in series and (b) such Refunding Bonds may be issued as a single consolidated issue. It is hereby further determined that such Refunding Bonds may be issued to refund all, or any portion of, the Refunded Bonds. 

Section 2.        The Refunding Bonds may be subject to redemption prior to maturity upon such terms as the County Treasurer shall prescribe, which terms shall be in compliance with the requirements of Section 53.00 (b) of the Local Finance Law. If less than all of the Refunding Bonds of any maturity are to be redeemed, the particular refunding bonds of such maturity to be redeemed shall be selected by the County by lot in any customary manner of selection as determined by the County Treasurer. Notice of such call for redemption shall be given by mailing such notice to the registered owners not less than thirty (30) days prior to such date and as otherwise provided in Securities and Exchange Commission Release No. 34-23856, as the same may be amended from time to time. Notice of redemption having been given as aforesaid, the bonds so called for redemption shall, on the date for redemption set forth in such call for redemption, become due and payable, together with interest to such redemption date, and interest shall cease to be paid thereon after such redemption date. 

The Refunding Bonds shall be issued in registered form and shall not be registrable to bearer or convertible into bearer coupon form. In the event said Refunding Bonds are issued in non-certificated form, such bonds, when issued, shall be initially issued in registered form in denominations such that one bond shall be issued for each maturity of bonds and shall be registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York (“DTC”), which will act as securities depository for the bonds in accordance with the Book-Entry-Only system of DTC. In the event that either DTC shall discontinue the Book-Entry-Only system or the County shall terminate its participation in such Book-Entry-Only system, such bonds shall thereafter be issued in certificated form of the denomination of $5,000 each or any integral multiple thereof (except for any odd denominations, if necessary) not exceeding the principal amount of each respective maturity. In the case of non-certificated Refunding Bonds, principal of and interest on the bonds shall be payable by check or draft mailed by the Fiscal Agent (as hereinafter defined) to The Depository Trust Company, New York, New York, or to its nominee, Cede & Co., while the bonds are registered in the name of Cede & Co. in accordance with such Book-Entry-Only System. Principal shall only be payable upon surrender of the bonds at the principal corporate trust office of such Fiscal Agent (or at the office of the County clerk as Fiscal Agent as hereinafter provided).

In the event said Refunding Bonds are issued in certificated form, principal of and interest on the Refunding Bonds shall be payable by check or draft mailed by the Fiscal Agent (as hereinafter defined) to the registered owners of the Refunding Bonds as shown on the registration books of the County maintained by the Fiscal Agent (as hereinafter defined), as of the close of business on the fifteenth day of the calendar month or first business day of the calendar month preceding each interest payment date as appropriate and as provided in a certificate of the County Treasurer providing for the details of the Refunding Bonds. Principal shall only be payable upon surrender of bonds at the principal corporate trust office of a bank or trust company or banks or trust companies located or authorized to do business in the State of New York, as shall hereafter be designated by the County Treasurer as fiscal agent of the County for the Refunding Bonds (the “Fiscal Agent”).

Refunding Bonds in certificated form may be transferred or exchanged at any time prior to maturity at the principal corporate trust office of the Fiscal Agent for bonds of the same maturity of any authorized denomination or denominations in the same aggregate principal amount. 

Principal and interest on the Refunding Bonds will be payable in lawful money of the United States of America. 

The County Treasurer, as chief fiscal officer of the County, is hereby authorized and directed to enter into an agreement or agreements containing such terms and conditions as he shall deem proper with the Fiscal Agent, for the purpose of having such bank or trust company or banks or trust companies act, in connection with the Refunding Bonds, as the Fiscal Agent for said County, to perform the services described in Section 70.00 of the Local Finance Law, and to execute such agreement or agreements on behalf of the County, regardless of whether the Refunding Bonds are initially issued in certificated or non-certificated form; provided, however, that the County Treasurer is also hereby authorized to name the County Clerk as the Fiscal Agent in connection with the Refunding Bonds if said Refunding Bonds are issued in non-certificated form. 

The County Treasurer is hereby further delegated all powers of this County Board of Supervisors with respect to agreements for credit enhancement, derived from and pursuant to Section 168.00 of the Local Finance Law, for said Refunding Bonds, including, but not limited to the determination of the provider of such credit enhancement facility or facilities and the terms and contents of any agreement or agreements related thereto. 

The Refunding Bonds shall be executed in the name of the County by the manual or facsimile signature of the County Treasurer, and a facsimile of its corporate seal shall be imprinted thereon. In the event of facsimile signature, the Refunding Bonds shall be authenticated by the manual signature of an authorized officer or employee of the Fiscal Agent. The Refunding Bonds shall contain the recital of validity clause provided for in Section 52.00 of the Local Finance Law and shall otherwise be in such form and contain such recitals, in addition to those required by Section 51.00 of the Local Finance Law, as the County Treasurer shall determine. It is hereby determined that it is to the financial advantage of the County not to impose and collect from registered owners of the Refunding Bonds any charges for mailing, shipping and insuring bonds transferred or exchanged by the Fiscal Agent, and, accordingly, pursuant to paragraph c of Section 70.00 of the Local Finance Law, no such charges shall be so collected by the Fiscal Agent.

Section 3.        It is hereby determined that: 

(a)        the maximum amount of the Refunding Bonds authorized to be issued pursuant to this resolution does not exceed the limitation imposed by Section 90.10 of the Local Finance Law; 

(b)        the maximum period of probable usefulness permitted by law at the time of the issuance of the respective Refunded Bonds, for each of the objects or purposes for which such respective Refunded Bonds were issued is fifteen years; 

(c)        the last installment of the Refunding Bonds will mature not later than the expiration of the period of probable usefulness of each of the objects or purposes for which said respective Refunded Bonds were issued in accordance with the provisions of Section 90.10 of the Local Finance Law; 

(d)       the estimated present value of the total debt service savings anticipated as a result of the issuance of the Refunding Bonds, if any, computed in accordance with the provisions of Section 90.10 of the Local Finance Law, with regard to each of the series of Refunded Bonds, is as shown in the Refunding Financial Plan described in Section 4 hereof. 

Section 4.        The financial plan for the refunding authorized by this resolution (collectively, the “Refunding Financial Plan”), showing the sources and amounts of all moneys required to accomplish such refunding, the estimated present value of the total debt service savings and the basis for the computation of the aforesaid estimated present value of total debt service savings, is set forth in Exhibit A attached hereto and made a part of this resolution. The Refunding Financial Plan has been prepared based upon the assumption that the Refunding Bonds will be issued in a single series to refund all of the Refunded Bonds in the principal amount of [$5,165,000], and that the Refunding Bonds will mature, be of such terms, and bear interest as set forth on Exhibit A attached hereto and made a part of this resolution. This County Board recognizes that the Refunding Bonds may be issued in series, and for only one or more of the Refunded Bonds, or portions thereof, that the amount of the Refunding Bonds, maturities, terms, and interest rate or rates borne by the Refunding Bonds to be issued by the County will most probably be different from such assumptions and that the Refunding Financial Plan will also most probably be different from that attached hereto as Exhibit A. The County Treasurer is hereby authorized and directed to determine which of the Refunded Bonds will be refunded and at what time, the amount of the Refunding Bonds to be issued, the date or dates of such bonds and the date or dates of issue, maturities and terms thereof, the provisions relating to the redemption of Refunding Bonds prior to maturity, whether the Refunding Bonds will be insured by a policy or policies of municipal bond insurance or otherwise enhanced by a credit enhancement facility or facilities, whether the Refunding Bonds shall be sold at a discount in the manner authorized by paragraph e of Section 57.00 of the Local Finance Law, and the rate or rates of interest to be borne thereby, whether the Refunding Bonds shall be issued having substantially level or declining annual debt service and all matters related thereto, and to prepare, or cause to be provided, a final Refunding Financial Plan for the Refunding Bonds and all powers in connection therewith are hereby delegated to the County Treasurer; provided, that the terms of the Refunding Bonds to be issued, including the rate or rates of interest borne thereby, shall comply with the requirements of Section 90.10 of the Local Finance Law. The County Treasurer shall file a copy of his certificate determining the details of the Refunding Bonds and the final Refunding Financial Plan with the County Clerk not later than ten (10) days after the delivery of the Refunding Bonds, as herein provided. 

Section 5.        The County Treasurer is hereby authorized and directed to enter into an escrow contract or contracts (collectively the “Escrow Contract”) with a bank or trust company, or with banks or trust companies, located and authorized to do business in this State as said Treasurer shall designate (collectively the “Escrow Holder”) for the purpose of having the Escrow Holder act, in connection with the Refunding Bonds, as the escrow holder to perform the services described in Section 90.10 of the Local Finance Law. 

Section 6.        The faith and credit of the County of Montgomery, New York, are hereby irrevocably pledged to the payment of the principal of and interest on the Refunding Bonds as the same respectively become due and payable. An annual appropriation shall be made in each year sufficient to pay the principal of and interest on such bonds becoming due and payable in such year. There shall be annually levied on all the taxable real property in said County a tax sufficient to pay the principal of and interest on such Refunding Bonds as the same become due and payable. 

Section 7.        All of the proceeds from the sale of the Refunding Bonds, including the premium, if any, but excluding accrued interest thereon, shall immediately upon receipt thereof be placed in escrow with the Escrow Holder for the Refunded Bonds. Accrued interest on the Refunding Bonds shall be paid to the County to be expended to pay interest on the Refunding Bonds. Such proceeds as are deposited in the escrow deposit fund to be created and established pursuant to the Escrow Contract, whether in the form of cash or investments, or both, inclusive of any interest earned from the investment thereof, shall be irrevocably committed and pledged to the payment of the principal of and interest on the Refunded Bonds in accordance with Section 90.10 of the Local Finance Law, and the holders, from time to time, of the Refunded Bonds shall have a lien upon such moneys held by the Escrow Holder. Such pledge and lien shall become valid and binding upon the issuance of the Refunding Bonds and the moneys and investments held by the Escrow Holder for the Refunded Bonds in the escrow deposit fund shall immediately be subject thereto without any further act. Such pledge and lien shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the County irrespective of whether such parties have notice thereof. 

Section 8.        Notwithstanding any other provision of this resolution, so long as any of the Refunding Bonds shall be outstanding, the County shall not use, or permit the use of, any proceeds from the sale of the Refunding Bonds in any manner which would cause the Refunding Bonds to he an “arbitrage bond” as defined in Section 148 of the Internal Revenue Code of 1986, as amended, and, to the extent applicable, the Regulations promulgated by the United States Treasury Department thereunder.

Section 9.        In accordance with the provisions of Section 53.00 and of Section 90.10 of the Local Finance Law, the County hereby elects to call in and redeem each series of Refunded Bonds which the County Treasurer shall determine to be refunded in accordance with the provisions of Section 4 hereof and with regard to which the right of early redemption exists. The sum to be paid therefor on such redemption date shall be the par value thereof plus the redemption premium, as provided in the Refunded Bond Certificate, and the accrued interest to such redemption date. The Escrow Agent for the Refunding Bonds is hereby authorized and directed to cause notice of such call for redemption to be given in the name of the County in the manner and within the times provided in the Refunded Bond Certificate. Such notice of redemption shall be in substantially the form attached to the Escrow Contract. Upon the issuance of the Refunding Bonds, the election to call in and redeem the callable Refunded Bonds and the direction to the Escrow Agent to cause notice thereof to be given as provided in this paragraph shall become irrevocable, provided that this paragraph may be amended from time to time as may be necessary in order to comply with the publication requirements of paragraph a of Section 53.00 of the Local Finance Law, or any successor law thereto. 

Section 10.      The Refunding Bonds shall be sold at private sale to Roosevelt & Cross Incorporated (the “Underwriter”) for purchase prices to be determined by the County Treasurer, plus accrued interest from the date or dates of the Refunding Bonds to the date or dates of the delivery of and payment for the Refunding Bonds. The County Treasurer is hereby authorized to execute and deliver a purchase contract or similar agreement for the Refunding Bonds in the name and on behalf of the County providing the terms and conditions for the sale and delivery of the Refunding Bonds to the Underwriter. After the Refunding Bonds have been duly executed, they shall be delivered by the County Treasurer to the Underwriter in accordance with said purchase contract in accordance with the terms of the agreement therewith upon the receipt by the County of said purchase price, including accrued interest. 

Section 11.      The County Treasurer and all other officers, employees and agents of the County are hereby authorized and directed for and on behalf of the County to execute and deliver all certificates and other documents, perform all acts and do all things required or contemplated to be executed, performed or done by this resolution or any document or agreement approved hereby. 

Section 12.      All other matters pertaining to the terms and issuance of the Refunding Bonds shall be determined by the County Treasurer and all powers in connection thereof are hereby delegated to the County Treasurer. 

Section 13.      The validity of the Refunding Bonds may be contested only if: 

  1. Such obligations are authorized for an object or purpose for which said County is not authorized to expend money, or 
  2. The provisions of law which should be complied with at the date of publication of this resolution are not substantially complied with, and an action, suit or proceeding contesting such validity is commenced within twenty days after the date of such publication, or 
  3. Such obligations are authorized in violation of the provisions of the Constitution.   

Section 14.  This resolution, which takes effect immediately, or a summary thereof, shall be published in the official newspapers of said County, together with a notice of the County Clerk in substantially the form provided in Section 81.00 of the Local Finance Law.

RESOLUTION VOTE, passed with Aye(8). Legislator Sweet was absent. (6/27/2017)



Attachment

Statement of Legislative and Financial Impact:

I. Nature of Request:

Authorization to do a refunding of bonds originally issued in 2006.


II. Justification:

The Bonds are callable at this time and some significant savings can be realized if refunded


III. Legislative Impact:

Pursuant to law, a 2/3 majority of the Legislature is needed for all Bond Resolutions


IV. Financial Impact:

The current value saving that can be realized is in excess of $324,000 over the remaining terms of these bonds if refunded.



cc: County Clerk
County Treasurer