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Select Board approves $225,000 bond note to buy Munger property for conservation
Summary
The Brentwood Select Board voted to authorize a $225,000 bond note to buy the Munger property for conservation use, approving a resolution that sets a 4.75% maximum interest rate and a principal schedule; the board imposed a caveat that counsel fix a dated loan agreement and confirm an omitted exhibit before final delivery.
The Brentwood Select Board voted to authorize issuance of a $225,000 bond note to finance purchase of the Munger property for conservation use and instructed town officers to execute a loan agreement for the bond.
The resolution, read into the record by the chair, sets a maximum net interest cost rate of “4.75 percent per annum,” directs principal payments of $15,000 per year according to the maturity schedule in Exhibit A and authorizes officers to execute a loan agreement substantially in the form presented, subject to ministerial revisions. The chair asked to confirm an exhibit the loan agreement referenced and to correct an erroneous agreement date before final delivery to bond counsel.
Why it matters: the vote clears a funding step needed to close on a conservation purchase using municipal borrowing and the town’s capital plan. The board approved the resolution with the caveat that the executing officers confirm Exhibit B is included in the loan documents and revise the loan agreement date so the signed documents can be delivered to bond counsel by the stated deadline.
Board members discussed the resolution’s legal citations and procedural requirements. The chair read statutory language into the record including references to the Municipal Finance Act and the New Hampshire Municipal Bond Bank law. The chair also noted public-notice and minutes requirements under state open-meeting law.
After discussion, a motion to accept the resolution with the caveat about the date and missing exhibit was moved and seconded and approved by roll call. The chair said staff and counsel will make the technical corrections and return executed documents as required.
The bond will be sold to the municipal bond bank, with the town’s treasurer and a member of the board authorized to execute and deliver the loan agreement on the issuer’s behalf. The resolution states that the useful life of the financed acquisition exceeds 15 years and that the vote remains in full force and effect.
The board signed the approved documents at the meeting and directed the chair to confirm the missing exhibit and update the loan date before final delivery to bond counsel.
