Daggett County MBA authorizes up to $1.9M in lease revenue bonds and approves amended interlocal insurance agreement

The Daggett County Municipal Building Authority voted Feb. 25 to adopt a parameters resolution authorizing up to $1,900,000 in lease revenue bonds to finance a health and social services center and to approve a seventh amended interlocal cooperation agreement with the county indemnity pool, actions that included setting a public hearing on the bonds for March 25, 2025, at 9 a.m.

The measures matter because the bond authorization is the Municipal Building Authority’s step toward financing construction of the county’s planned health and social services center; the interlocal agreement would align the authority with the county’s indemnity/insurance pool to provide coverage for authority-owned property and related liabilities.

During brief discussion, Kent (staff member) said he had “the paperwork to, file and get it to Lorinda, hopefully, this afternoon so we can get it on the agenda,” referring to a separate right-of-way vacation item for the clinic. Kent said Johnny Miller had recommended joining the indemnity pool and that the additional insurance premium would be “rather minimal. It's like $1,600 a year, and it would have full coverage.” Lorinda (staff member) confirmed she would place the announced public hearing on the March 25 agenda.

The authority approved three formal motions tied to the financing and insurance matters. First, board members moved and seconded a seventh amended interlocal cooperation agreement with the Utah County indemnity pool (referred to in meeting materials as UCIP/USIP); the motion passed by voice vote. Second, the board approved Resolution 25-02, described in the meeting as a county resolution approving and authorizing execution of the seventh amended interlocal agreement with other pool members. Third, the Municipal Building Authority adopted Resolution 25-03 MBA, the authority’s parameters resolution authorizing the issuance of lease revenue bonds in an amount not to exceed $1,900,000, setting maximum interest, maturity and discount parameters, and calling a public hearing and notice on the bonds for March 25, 2025, at 9 a.m.

Board members also handled routine financial acknowledgments on the same agenda: they acknowledged receipt of the cash summary dated Feb. 24, 2025, and the accounts receivable report; the board approved minutes from the Feb. 18, 2025 Municipal Building Authority meeting. All motions were made, seconded, and approved by voice vote during the Feb. 25 meeting.

Several procedural clarifications were raised on the record. Board members discussed whether the county needed separate notice of the county-level parameters resolution (the board called out that one resolution was the MBA’s parameters action and the other was the county’s acceptance of the MBA action). Staff noted that the county agenda should include the county-level resolution for formal acceptance or ratification. The authority set the public hearing date for March 25, 2025, at 9 a.m.; there was brief verbal confusion about whether the county notice would reflect March 25 or March 26, but Lorinda confirmed she had placed the hearing on the March 25 agenda.

Next steps identified in the meeting record: staff will file the clinic right-of-way paperwork for review and agenda placement, staff will proceed with public-notice steps for the March 25 bond hearing, and the county will separately process its corresponding county-level resolution accepting or ratifying the authority’s parameters resolution.

Votes at a glance

- Approve Municipal Building Authority minutes (Feb. 18, 2025): motion made and seconded; voice vote recorded as "Aye" (motion adopted).

- Acknowledge receipt of cash summary (dated Feb. 24, 2025): motion made and seconded; voice vote recorded as "Aye" (acknowledged).

- Acknowledge receipt of accounts receivable report (pertinent to the MBA): motion made and seconded; voice vote recorded as "Aye" (acknowledged).

- Approve seventh amended interlocal cooperation agreement between the Daggett County Municipal Building Authority and members of Utah County’s indemnity pool: motion made and seconded; voice vote recorded as "Aye" (approved).

- Approve Daggett County resolution 25-02 (approving and authorizing execution of the seventh amended interlocal agreement with pool members): motion made and seconded; voice vote recorded as "Aye" (approved).

- Adopt Resolution 25-03 MBA (parameters resolution authorizing not more than $1,900,000 in lease revenue bonds for a health and social services center; fixes maximum interest/maturity/discount, and calls a public hearing): motion made and seconded; voice vote recorded as "Aye" (adopted). Public hearing scheduled: March 25, 2025, 9:00 a.m.

Attributions and quote sources in this article are drawn from the meeting transcript of the Daggett County Municipal Building Authority meeting on Feb. 25, 2025. Direct quotes come from Kent (staff member) and Lorinda (staff member) as noted in the body.

Ending

The authority’s actions set the financing and insurance steps in motion: staff will prepare public notice and related paperwork for the March 25 public hearing on the proposed lease revenue bonds, and the county will be asked to accept or ratify the authority’s action on the county-level parameters resolution at a subsequent county agenda. No final bond sale or interest terms were determined at the Feb. 25 meeting; those details will be set later within the parameters the board authorized.