Fulton County Council declares intent to issue up to $4 million in general-obligation bonds

The Fulton County Council voted unanimously April 21 to declare its official intent to issue general-obligation debt not to exceed $4 million to reimburse costs for county equipment, vehicles and improvements to county-owned buildings. The resolution, read aloud by the chair, directs staff to proceed with documentation and a future public hearing on the bond ordinance.

Eric Walsh, managing principal at consulting firm Baker Tilly, told the council the working plan anticipates borrowing about $3,475,000 and carries a legal “not to exceed” amount of $4,000,000 to preserve flexibility if market pricing changes. Walsh said the county is targeting a five-year repayment schedule and estimated market interest near 3.5 percent, producing an approximate annual debt-service burden of $830,000 in the budget year while working to keep the tax-rate effect at or below $0.05.

Walsh said the county plans to use the Indiana Bond Bank for pricing and will return to council with final sale numbers before final authorization. “When it comes time to sell the bonds, [the Bond Bank] will give us a confirmation of pricing…we’ll bring that back to the council and say, ‘Do you approve?’” he said.

Councilors emphasized that tonight’s action was a declaration of intent and an initial approval of the financing approach; the formal bond ordinance and any appropriations to spend proceeds will be addressed in a future public hearing. The chair read the resolution (County Council Resolution 04212026), a motion to approve was made and seconded, and the council voted 7–0 to pass the measure.

Next steps include public notice and the public hearing on the bond ordinance, sale and closing logistics with the Indiana Bond Bank, and return to the council for final approval of the exact borrowing amount and the appropriation of proceeds.