County pledges full faith and credit for three drainage bonds and approves notice of intent to bond for Bank intercounty drain

Bond counsel Roger Swetz (Dickinson Wright) and municipal-finance advisor Bobby Benzinski explained why Eaton County’s pledge of full faith and credit lowers borrowing costs for drainage-district bonds: county backing allows the obligation to carry the county’s credit rating and achieve lower interest rates than a standalone district issuance. "What we do by bringing the county's full faith and credit ... the county is basically kind of... a guarantee," Swetz said, describing the county role as a backstop if special-assessment collections fall short.

Swetz and Benzinski noted delinquencies would typically be managed through the county's delinquent-tax process and, in rare cases, a deficiency assessment under the drain code. After discussion about risk and administrative safeguards, the committee approved three resolutions pledging full faith and credit (Hobart Drain, Lee/"LEED range" Drain, and the Bank intercounty drain) by voice votes. For the Bank intercounty drain—the largest project—treasurer and administration presented bonding options and recommended a capital improvement bond and a notice of intent to market up to $12 million (the notice is an up-to amount and staff said actual borrowings will align with final apportionments and agreements). The committee voted to recommend the notice of intent to the full board.