Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Correctional Facility Finance topic
No spam. Unsubscribe anytime.
Lancaster County declares intent to reimburse correctional facility expenditures from bond proceeds
Summary
The Board adopted a reimbursement declaration under federal tax rules to allow Lancaster County to repay prior capital expenditures for the Lancaster County Correctional Facility project from future tax‑exempt bond proceeds (estimated max $50 million).
On June 24 the Lancaster County Board of Commissioners adopted Resolution No. 40, declaring the County’s official intent to reimburse Original Expenditures for the Lancaster County Correctional Facility capital project with proceeds of future tax‑exempt general obligation bonds. The resolution describes the County as a Local Government Unit under the Debt Act, provides a general project description, and sets an estimated maximum aggregate principal amount of $50,000,000 for potential bonds.
The resolution outlines conditions required by Treasury regulations (26 C.F.R. §1.150‑2), permitted reimbursement allocation timing (no earlier than payment and generally within 18 months or three years depending on service date), and restrictions on certain uses of proceeds. Commissioner Yoder moved the resolution, and Commissioner Parsons seconded; the motion passed unanimously. Legal advisor Timothy Horstmann and Commissioner D’Agostino answered reporter questions clarifying reimbursement and bond issuance timing.
