Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Capital Financing topic
No spam. Unsubscribe anytime.
Board adopts $10 million reimbursement resolution to back future tax‑exempt financing for capital projects
Summary
The Board adopted a resolution declaring intent to reimburse prior and future capital expenditures from tax‑exempt financings, setting a maximum expected bond principal of $10 million and listing eligible projects including a new elementary school and county broadband.
The King and Queen County Board of Supervisors on Feb. 13 adopted a reimbursement resolution authorizing the county to reimburse itself from the proceeds of one or more tax-exempt financings for certain capital expenditures, and set a maximum expected bond principal amount of $10 million.
County Administrator Vivian Seay told the Board the amount was raised from $2 million to $10 million to allow flexibility to include other projects. The resolution declares the county’s intent to reimburse expenditures paid beginning no earlier than 60 days before the resolution’s adoption and going forward, provided the expenditures meet federal tax rules for capital treatment or other specified exceptions.
Exhibit A attached to the resolution identifies the kinds of projects that could be covered: school facilities (including improvements related to a proposed new elementary school and temporary classroom facilities), county fire and rescue facilities, infrastructure for a county telework site and county broadband infrastructure to serve residents.
Board action: The motion to adopt the resolution passed unanimously (four yes votes; S.C. Alsop was absent).
Why it matters: The resolution does not itself issue bonds; rather, it preserves the county’s ability to reimburse eligible prior expenditures from future tax-exempt bond proceeds and sets procedural rules for allocation. By listing broadband and school projects, the Board signaled priorities for capital investment that could be financed in the near term.
Next steps: If the county later issues tax-exempt financings, staff will prepare a written reimbursement allocation no later than 18 months after an expenditure is paid (or within the three-year statutory limit specified in the resolution), and any bond issuance will return to the Board for approval.
