Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Tax Exempt Bonds topic
No spam. Unsubscribe anytime.
County staff to study tax-exempt bond program after Basin Power inquiry
Summary
Commissioners directed staff to research a federal/state tax-exempt bond mechanism after Basin Power asked whether the county could help secure lower-rate bonds; no commitment was made and staff will return with recommendations.
County staff and bond counsel briefed commissioners on a tax-exempt bond mechanism raised by Basin Power that could allow a government to assist a non-government entity in accessing lower-interest bonds. The mechanism references North Dakota Century Code chapter 40-57 and federal programs for tax-exempt industrial or municipal bonds.
Staff said Williams County had used the instrument in prior decades (noting occurrences in the 1980s and 1992) and that there is not necessarily a fiscal impact on the county’s bonding capacity for its own projects. However, staff and bond counsel warned there are long-term administrative responsibilities—tracking and reporting requirements—and potential fees or staffing impacts the county would need to manage while bonds remain outstanding.
The Basin Power representative had sought prompt action; county staff and commission members agreed that staff should take more time to research the program, consult bond counsel and the county attorney, evaluate potential fee structures and administrative impacts, and bring findings to the finance committee or the July budget workshops. The commission did not approve any bond or make any binding commitment to Basin Power at the meeting.
