Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Sanitation Financing topic
No spam. Unsubscribe anytime.
Commission authorizes up to $425,000 capital outlay note to finance sanitation equipment
Summary
Claiborne County approved Resolution 2020-065 authorizing a five-year capital outlay note not to exceed $425,000 to buy heavy equipment for the Sanitation Department; bids were opened July 27 and Home Federal Bank offered 1.95% interest.
The Claiborne County Commission on Aug. 17 voted unanimously to authorize issuance of a capital outlay note of up to $425,000 to finance heavy equipment for the Sanitation Department, including a 2020 Mack front-loader garbage truck and a Komatsu bulldozer.
The resolution (2020-065) authorizes issuance and sale of the note under Title 9, Chapter 21 of the Tennessee Code Annotated, for a maximum five‑year term. Bids were publicly opened on July 27, 2020; Home Federal Bank was awarded the low bid at an interest rate of 1.95 percent, as recorded in the resolution. The resolution specifies an amortization schedule of $85,000 principal per fiscal year with declining annual interest amounts and states the note may be redeemed by the county, in whole or in part, without premium. The note is described as a direct general obligation of the county, pledging the full faith and credit and the taxing power of the local government for punctual payment of principal and interest.
Commissioners approved the resolution by roll-call vote, 21–0. The sale is conditioned on the written approval of the Comptroller of the Treasury or the Comptroller’s designee, as required by statute.
The resolution includes administrative provisions (fully registered form, a note register and execution requirements) and authorizes the County Finance Director and County Executive to execute notes and related documents within the resolution’s parameters.
