Commission Approves $ 126 Million Loan for North Carolina Municipalities | Washington Examiner
The North Carolina Local Government Commission (LGC) on Tuesday approved more than $ 126 million in funding for government buildings in six municipalities.
Borrowing money through general bonds allows governments to spread costs over several years instead of drawing on cash flow or current income to cover project expenses.
One of the largest requests approved by the LGC on Tuesday was $ 51 million in limited liability bonds for Surry County. Surry plans to build a new prison and a new gymnasium. The agreement will not result in a tax increase for taxpayers.
The county will build a 360-bed detention center, a 911 communications center and a magistrate’s office. County officials said the current facility only has the capacity to hold 125 beds. Surry will build the prison with the capacity to expand up to 450 beds. As a result, he spent $ 750,000 a year to house inmates out of the county. As it stands, the communications center is also below capacity, they said.
Surry’s bond also improves a gymnasium for Elkin High School and Elkin Middle School which was built in the 1960s.
The LGC also approved $ 48.2 million in limited liability bonds for Chatham County to build an emergency operations center and corresponding warehouse. The county will also build a warehouse and a central service building for its school system. Taxpayers will not see a tax increase because of the construction.
County officials said the projects would meet capacity needs. The LGC also approved a reimbursement for the limited liability bonds issued in Chatham in 2013, which saved $ 462,686.
Taxpayers in Camden and Caldwell and Monroe counties will also escape tax hikes under funding deals approved by LGC on Tuesday for government facilities.
Caldwell borrowed $ 3.7 million for a county animal shelter. Camden plans to use $ 4.6 million for a library equipped with meeting space for his county commission and school board.
Monroe’s limited $ 16.7 million bonds will fund a police headquarters and senior center in Union County.
The village of Bald Head Island also obtained approval to enter into a $ 1.6 million financing agreement for a 17-unit storage building with offices for its Department of Contractor and Development Services in the Brunswick County.
The largest funding request approved on Tuesday was $ 263 million for Durham. The city will replace a short-term bond anticipation note that was used for water and sewer projects. Durham will issue a long term income bond to repay this note and complete the remaining capital improvement projects. The LGC also approved a $ 9 million tax liability for the Durham Housing Authority to build 80 affordable housing units.
The LGC has approved a $ 59.2 million funding agreement for the town of Chapel Hill in Orange County. Chapel Hill plans to build an 1,100-space parking lot with 40 electric charging stations, complete a street improvement project and pay off existing debt at a lower interest rate.
Apex taxpayers will see an increase of about $ 100 in property taxes due to its general obligation of $ 42 million approved on Tuesday. The City of Wake County plans to improve streets and sidewalks to reduce congestion.
Original location: Commission approves $ 126 million loan for municipalities in North Carolina