Sunday, October 18, 2009

County of Boulder 1C – $6.1M Bond Authorization for Energy Conservation Projects

The recent federal stimulus package (American Recovery and Reinvestment Act) allows for a limited time the issuance of no-interest bonds to reduce energy consumption by at least 20% in government buildings. There are fees and administrative costs amounting to about 1% a year. The county would create a capital improvement trust fund to handle the bond money. This issue is going to the voters because it is a request to increase debt.

The county jail is the target of most of the attention for the energy efficiency improvements and renewable energy projects. Other buildings under consideration include the Boulder County Fairgrounds, the Justice Center, the sheriff’s new administration building, the Open Space and Transportation Complex and a new transportation building on Longhorn Road.

Recommendation: YES

This proposal appears to be a win-win situation with a limited window of opportunity. According to Resolution 2009-102, the county will use the bond money for previously planned capital improvements. In other words, the county doesn’t have to look for projects to fit the federal government’s criteria and doesn’t have to delay desired projects due to lack of funding. Meanwhile, the county can get favorable terms to pay for the improvements, can achieve some desired energy savings and work toward decreasing our county’s carbon footprint.


County of Boulder Ballot Issue 1C (Approved Ballot Language)

$6.1M Bond Authorization for Energy Conservation Projects

SHALL BOULDER COUNTY DEBT BE INCREASED BY UP TO $6,100,000, WITH A MAXIMUM REPAYMENT COST OF UP TO $8,000,000, WITH NO INCREASE IN ANY COUNTY TAX OR T AX RATE, FOR THE PURPOSE OF FINANCING ENERGY CONSERVATION IN COUNTY BUILDINGS AND OTHER COUNTY PROPERTY, BY THE ISSUANCE OF BONDS PAYABLE FROM MONEYS TRANSFERRED FROM THE COUNTY'S GENERAL FUND AND OTHER LEGALLY AVAILABLE FUNDS TO THE CAPITAL IMPROVEMENT TRUST FUND TO BE ESTABLISHED IN CONNECTION WITH SUCH BONDS, WHICH BONDS SHALL BEAR INTEREST, MATURE, BE SUBJECT TO REDEMPTION, WITH OR WITHOUT PREMIUM, AND BE ISSUED, DATED AND SOLD AT SUCH TIME OR TIMES, AT SUCH PRICES (AT, ABOVE OR BELOW PAR) AND IN SUCH MANNER AND CONTAINING SUCH OTHER TERMS, NOT INCONSISTENT HEREWITH, AS THE BOARD OF COUNTY COMMISSIONERS MAY DETERMINE; SHALL THE COUNTY BE AUTHORIZED, IN ORDER TO PROVIDE FOR THE PAYMENT OF SUCH BONDS, TO ENTER INTO A MULTIPLE-FISCAL YEAR OBLIGATION TO TRANSFER MONEYS FROM THE GENERAL FUND AND OTHER LEGALLY AVAILABLE FUNDS TO SUCH CAPITAL IMPROVEMENT TRUST FUND IN AN AMOUNT SUFFICIENT TO PAY THE DEBT SERVICE ON SUCH BONDS AND TO OTHERWISE COMPLY WITH THE COVENANTS OF THE RESOLUTIONS OR OTHER INSTRUMENTS GOVERNING SUCH BONDS; AND SHALL THE EARNINGS ON THE INVESTMENT OF THE PROCEEDS OF SUCH BONDS, REGARDLESS OF AMOUNT, CONSTITUTE A VOTER-APPROVED REVENUE CHANGE; ALL IN ACCORDANCE WITH BOARD OF COUNTY COMMISSIONERS' RESOLUTION NO. 2009-102?

YES _____ NO _____


Resolution No. 2009-102 referring Ballot Issue 1C to the voters
http://www.bouldercounty.org/newsroom/articlefiles/1764-QECBreferral.resolution.pdf

United States Code, Title 26, Section 54D: Qualified Energy Conservation Bonds
http://www.dsireusa.org/documents/Incentives/US51Fb.htm

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