032-05
BOARD OF SUPERVISORS
COUNTY OF FREDERICK
FREDERICK, VIRGINIA
RESOLUTION
At a regular meeting of the Frederick County Board of Supervisors held on the 9th day of
February, 2005, the following resolution was adopted by a majority of the members of the Board
of Supervisors by the following roll call vote, as recorded in the minutes ofthe meeting:
PRESENT: VOTE:
Richard C. Shickle, Chairman Nay
Gary W. Dove Nay
Gene E. Fisher Aye
Lynda 1. Tyler Aye
Bill M. Ewing Nay
Barbara E. Van Osten Aye
Gina A. Forrester Aye
ABSENT:
BOARD OF SUPERVISORS
A RESOLUTION AUTHORIZING FREDERICK COUNTY
TO SUBMIT AN APPLICATION TO VPSA FOR SCHOOL FINANCING
AND TO SCHEDULE A PUBLIC HEARING
WHEREAS, the Board of Supervisors has determined that it is advisable to contract a debt and
issue general obligation bonds of the County in the maximum amount of $7,410,000 to finance certain
capital improvements for public school purposes (the "Bonds") and to sell such bonds to the Virginia
Public School Authority ("VPSA"); and
WHEREAS, the Board of Supervisors has determined that it may be necessary or desirable to
advance money to pay the costs for such capital projects for public school purposes (the "Projects") and to
reimburse such advances with proceeds of one or more financings;
NOW, THEREFORE, BE IT RESOLVED BY THE FREDERICK COUNTY BOARD OF
SUPERVISORS:
The Board of Supervisors adopts this declaration of official intent under Treasury Regulations
Section 1.150.2. The Board of Supervisors reasonably expects to reimburse advances made or to be made
by the County or the School Board to pay the costs of acquiring, constructing and equipping the Projects
from the proceeds of the Bonds to be issued in the maximum amount of$7,410,000.
The County Administrator is authorized and directed to submit an application to the VPSA in
order to sell the Bonds to the VPSA at the Spring 2005 VPSA bond sale.
The County Administrator is authorized to advertise a public hearing to be held on March 9, 2005
on the issuance of the Bonds.
This resolution shall take effect immediately upon its adoption.
Adopted this 9th day of February, 2005.
Board of Supervisors Resolution No.: 032-05
cc: Cheryl Shiffler, Finance Director
C. William Orndoff, Jr., Treasurer
Lisa Frye, School Finance Director
YFrederick County Public Schools
7" ... to ensure all students an excel!ent education
Director of Finance
DATE:
February 3, 2005
SUBJECT:
John R. Riley, County Administrator )
-6,1V(,'bv
Lisa K. Frye, Director ofFinanc~d>p,,, J:..-
VPSA Spring 2005 Bond Sale Application, Purpose and Resolution
TO:
FROM:
This memo outlines the actions needed to apply for and approve the spring bond sale.
The application:
Attached is the application for the spring 2005 bond issue, which has been signed by Bill Dean and needs
to be signed by you. No other signatures are required. The application deadline is February 17, 2005.
Please review, sign the application at your convenience, and call me when it is ready.
The ]st resolution:
Also attached is the VPSA resolution for the board of supervisors to consider at their February 9, 2005
meeting. The supervisor's resolution authorizes the application, states its intent to issue bonds, and
authorizes advertisement of a public hearing on March 9, 2005. This initial resolution and the notice of
public hearing have been e-mailed to your office. As a reminder, the requirement for advertisement of the
hearing is once a week for two consecutive weeks in the same newspaper with the second publication at
least a week before the hearing.
The resolution is for a total of $7,410,000. This amount is based on the estimated cash needed until
November 2005 (the date of the next bond sale) and is intended for the final borrowing on Admiral
Byrd Middle School construction ($1,560,000), construction of the eleventh elementary school
($4,800,000), land acquisition and design for the transportation facility ($850,000), and initial
design, architectural and engineering for the replacement Gainesboro elementary school
($200,000).
The 2nd resolution:
If the public hearing and subsequent action can take place on March 9, 2005, then the February 17th filing
deadline for the adoption resolution can be met. The authorizing resolution has been reviewed by bond
counsel.
pc: William C. Dean, Ph.D., Superintendent
1415 Amherst Street
PO Box 3508
Winchester, Virginia 22604-2546
www.fredenck.k12.va.us
540-662-3888
fax 540-722-2788
AITACHMENT B
LONG AND INTERMEDIATE-TERM FINANCING APPLICATION
VIRGINIA PUBLIC SCHOOL AUTHORITY
SCHOOL FINANCING BONDS (1997 RESOLUTION) SERIES 2005 A
I. Name of County/City:
GENERAL INFORMATION
Frederick County
2. Name and address of County Administrator/City Manager:
Telephone:
Fax:
E-mail:
540-665-5666
540-667-0370
jriley@co.frederick.va.us
John R. Riley, Jr
107 N. Kent Street
Winchester, V A 22601
3. Name and address of School Superintendent:
Superintendent
William C. Dean, Ph.D.,
Telephone:
Fax:
E-mail:
540-662-3888
540-722-2788
deanw@frederick.k]2.va.us
P.O. Box 3508
Winchester, VA 22604
4. Name of Principal Contact: (All further correspondence will be directed to this person unless
noted)
Telephone:
Fax:
E-mail:
Mailing Address:
John R. Riley, Jr. (copy to William C. Dean, Ph.D., Superintendent)
540-665-5666
540-667-0370
jriley@co.frederick.va.us
107 N. Kent Street
Winchester, VA 22601
Hand Delivery Address:
5. Bond Counsel:
same
McGuireWood LLP
Bonnie France
901 East Cary Street
Richmond, VA 232]9
bfrance@mcguirewoods.com
804-775-4395 TEL
804-698-2054 FAX
(firm, attorney, address, telephone, fax & E-mail:)
Note: Localities are required to take all action necessary to procure the services of qualified
Bond Counsel prior to the submission of this application.
]
PROJECT INFORMATION
THE FOLLOWING SECTION OF THE APPUCATION IS RESERVED FOR STANDARD
REQUESTS FOR FlNANCINGS AMORTIZED FROM ELEVEN YEARS AND LONGER
I. Requests for Lonl!- Tenn Proiect Financinl! (See page 4 for Intennediate- Tenn Financing)
Section A - Project Description
1. Briefly describe the Project(s) and indicate whether the Project(s) will be subject to any leases or
management or service contracts: (a separate page may be used).
(a) Admiral Richard E. Byrd Middle School- equipment & furniture
(b) 11th elementary school- construction
( c) transportation facility - purchase of landla&e
(d) replacement Gainesboro Elementary School
2. Total Expected Costs:
$60,300,000
3. Cost by Project(s) and Phase: (separate page may be used)
Project( s)
Phase
(a) Adm. Byrd MS
(b) 11th elementary
(c) Transportation facility
(d) Replace Gaines Elem
Estimated
Cost
$26,600,000
$12,900,000
$ 8,400,000
$12,400,000
Estimated
Useful Life
30+ years
30+ years
30+ years
30+ years
Estimated
Completion
Date
Fall 2005
Fall 2006
Winter 2007
Fall 2007
4. Amount ofVPSA financing applied for (proceeds requested): $ 7410.000
Note: The VPSA can only purchase local school bonds in whole multiples of $5,000. If your actual cost
is not a whole multiple of $5,000, please revise that amount up or down, (e.g., actual amount $5,032,600
should be revised to either $5,035,000 or $5,030,000). Do not request a greater dollar amount 1han you
will reasonably expect to be able to spend
Minimum proceeds required, if applicable: $
Maximum authorized par amount $
Explanation for minimum proceeds requirement:
Note: In order to meet requests for a minimum amount of proceeds, such as in connection with the
refunding of a prior obligation, it will be necessary to have sufficiently broad bond issuance authority
to accommodate possible adjustments needed in 1he par amount ofIocal school bonds issued at 1he time
of the VPSA bond sale. School and governing body resolutions and notices of public hearing should be
prepared accordingly.
2
5. Has the County/City applied for a Literary Fund Loan to fund all or a portion of the Project(s)?
(Indicate whether loan was for the entire cost)
yes _X_ no
If yes, please list amount applied for and date of application.
Amount: $
Date:
Date of Approval from Board of Education if Literary Funds are expected:
Date:
Note: If funds are borrowed from the VPSA in lieu of receiving a Literary Fund loan, the locality will
be removed from the Literary Fund waiting list for this Project. This does not apply if a locality
permanently funds a portion of the Project with VPSA bonds and funds the remainder with a Literary
Fund loan. In any event, future Literary Fund loans may not be used to redeem bonds sold to the
VPSA.
6. Other Funding Sources:
Section B - Project Status
What is the status of planning, design and construction for the Project(s)? Answer the following
questions for the Project(s): (a separate page may be used).
1. Have the final plans and specifications, architect's or engineer's statement and the division
superintendent's approval been submitted to the Superintendent of Public Instruction (as required
by ~22.1-140 of the Code ofVirg:inia)?
ill yes .QU no ff2 no @ no
2. What is the bid date for the Project(s): (a)Aug 2003; (b) Feb 2005; (c) Feb 2006; (d) Feb 2006
3. Estimated Construction Start Date: (a) Oct 2003; (b) April 2005; (c) July 2006; (d) April 2006
4. Estimated Construction Completion Date: (a) Fall 2005; (b) Fall 2006; (c) Fall 2007; (d)Fall2007
5. Has any money been expended on the Project(s)? ill yes
(b) yes
ff2..no
(d) no
If yes, indicate (i) the source of such money (ii) the date(s) of expenditure of such money, and (Hi)
the type of expenditure. (See questions 4 and 5, on page 6, under "Project Authorization")
(a) (i) VPSA
(ii) Summer 2002 to present
(iii) design, land, construction
(b) (i) VPSA
(ii) Summer 2004 to present
(iii) design, land
3
6. Has the Project(s) been completed? _ yes _X_ no
(a) (b) (c) (d)
Secction C - Financing Requested
Preferred Amortization Schedule:
Principal is expected to be paid in annual installments starting on July 15, 2006. The Authority will
consider permitting the use of amortization schedules other than level principal and will consider
amortization periods other than twenty years. To request an alternative amortization schedule for such
loans, please indicate your preference on the application.
Preferred Amortization Period:
Preferred Principal Structure:
Level Principal
Level Debt Service
Other (Explain)
x
11-20 years 20 years
Over 20 years (Explain)
THE FOLLOWING SECTION OF THE APPLICATION IS RESERVED FOR REQUESTS FOR
FINANCING EQUIPMENT OR OTHER PROJECTS AMORTIZED OVER A PERIOD OF TEN
YEARS OR LESS.
II. Reauests For Intermediate-Term Financinl!: (See page 2 for Long- Term Financing)
Section A - Project Description
1. Briefly describe the Project(s) and indicate whether the Project(s) will be subject to any leases or
management or service contracts: (a separate page may be used).
2. Total Expected Costs:
3. Cost By Project(s) and Phase (Construction or Equipment Acquisition Schedule) (separate page
may be used)
Project(s)
Phase
Estimated
Cost
Estimated
Useful Life
Estimated
Completion
Date
4
4. Amount of VPSA Financing applied for (proceeds requested): $
Note: The VPSA can only purchase local school bonds in whole multiples of $5,000. If your actual
cost is not a whole multiple of $5,000, please revise that amount up or down, (e.g., actual amount
$5,032,600 should be revised to either $5,035,000 or $5,030,000). Do not request a greater dollar
amount than you will reasonably expect to be able to spend.
Minimum proceeds required, if applicable: $
Maximum authorized par amount: $
Explanation for minimum proceeds requirement:
Note: In order to meet requests for a minimum amount of proceeds, such as in connection with
the refunding of a prior obligation, it will be necessary to have sufficiently broad bond issuance
authority to accommodate possible adjustments needed in the par amount of local school bonds
issued at the time of the VPSA bond sale. School and governing body resolutions and notices of
public hearing should be prepared accordingly.
5. Has the County/City applied for a Literary Fund Loan to fund all or a portion of the Project(s)?
(Indicate whether loan was for the entire cost)
yes
no
If yes, please list amount applied for and date of application.
Amount: $
Date:
Date of Approval from Board of Education if Literary Funds are expected:
Date:
Note: If funds are borrowed from the VPSA in lieu of receiving a Literary Fund loan, the locality will
be removed from the Literary Fund waiting list for this Project. This does not apply if a locality
permanently funds a portion of the Project with VPSA bonds and funds the remainder with a Literary
Fund loan. In any event, future Literary Fund loans may not be used to redeem bonds sold to the
VPSA.
6. Other Funding Sources:
Section B - Project Status
. What is the status of planning, design and construction or acquisition for the Project(s) or
Equipment?
5
. Answer the following questions for the Project(s):
1. Estimated Start Date:
2. Estimated Completion Date:
3. Has any money been expended on the Project(s)?
yes _no
If yes, indicate (i) the source of such money (ii) the date(s) of expenditure of such money, and (iii)
the type of expenditure. (See questions 4 and 5, on page 6, under "Project Authorization")
4. Has the Project(s) been completed? _ yes no
. Answer the following questions for the Project(s) (if applicable):
5. For Projects, have the final plans and specifications, architect's or engineer's statement and the
division superintendent's approval been submitted to the Superintendent of Public Instruction (as
required by ~22.1-l40 of the Code of Virginia)?
_yes _no
6. What is the bid date(s) for the Project(s):
Section C - Financing Requested
Amortization Schedule Preferred:
(Debt Service is expected to be paid with semi-annual payments. The first interest payment is
due January 15,2006 with principal amortization starting on July 15,2006.)
5 years
10 years
Other
6
PLEASE COMPLETE EACH OF THE FOLLOWING QUESTIONS:
m. Proiect Authorization
1. Have your Boards approved the Project(s) and authorized this application to VPSA for the needed
financing?
Approved by School Board
Approved by County Board! City Council
_x-yes _no
* _x-yes _no
NOTE: Please enclose certified copies of resolutions.
2. Were these bonds or any school Projects the subject of a referendum within the previous
5 years?
_yes_x_no
If yes, provide the date of referendum:
Did the referendum pass?
----yes _no
NOTE: Please enclose a copy of the ballot question and the official results.
3. Person(s) responsible for disbursing and investing bond proceeds.
Name:
Address:
Telephone:
Fax:
Lisa K. Frye, Director of Finance
P.O. Box 3508, Winchester, V A 22604
540-662-3888
540-722-2788
4. Will bond proceeds from this sale be used to repay a Bond Anticipation Note, Certificate of
Participation or other form of interim/temporary financing (the "Prior Obligation")?
----Yes_x_no
If Yes, please provide the following terms of the Prior Obligation:
(i) Name and Amount of Prior Obligation and Bond Counsel for Transaction
(ii) Date ofIssue and Maturity of Prior Obligation
(iii) Redemption Provisions (e.g., notice, premium, etc.)
(iv) Amount of Prior Obligation to be Refunded with VPSA bond proceeds
7
(v) Please provide a brief description of the other anticipated sources of funds to refund the Prior
Obligation (e.g., local general funds)
(vi) Please provide any other amounts needed to refund the Prior Obligation, including any
accrued interest and redemption premium
(vii) Unexpended proceeds as of date of application
(viii) Date Prior Obligation is intended to be redeemed
5. (a) Were the proceeds of the Prior Obligation used to reimburse yourself for expenses paid
before the Prior Obligation was obtained?
----Yes_x_no
(b) Will bond proceeds from this sale be used to reimburse you for prior expenditures?
_x--yes _no
If the answer to 5(a) or 5(b) is Yes, please attach a copy of your reimbursement resolution.
Also, please include a list briefly describing the expenditures you plan to reimburse with
proceeds from this sale. The proceeds would be used to reimburse the county for
any site or construction invoices which may be paid prior to receipt of the bond proceeds.
(c) What amount of proceeds of the Prior Obligation have been spent?
(d) What amount of proceeds of the Prior Obligation do you anticipate having been spent by
May 13, 2004?
(e) Are the proceeds of the Prior Obligation invested with SNAP? _yes_no
If no, where are they invested?
6. Have you executed any undertaking in regards to continuing disclosure not associated with the
VPSA?
_x_yes_no
If Yes, please include copies of any such undertakings. Please refer to the Fall 2002
issue for copies of the undertaking. It is an Industrial Development Authority issue dated November
2001.
8
BY SIGNING THIS APPLICATION, THE LOCAL OFFICIALS ACKNOWLEDGE THAT IF
FUNDS ARE BORROWED FROM THE VPSA TO FUND A PROJECT IN LIEU OF
RECEIVING A LITERARY FUND LOAN, THE LOCALITY WILL BE REMOVED FROM
THE LITERARY FUND WAITING LIST FOR THIS PROJECT. THE LOCAL OFFICIALS
ALSO ACKNOWLEDGE THAT FUTURE LITERARY FUND MONIES MAY NOT BE USED
TO REDEEM BONDS SOLD TO THE VPSA.
Signature required
(County
Signature required ll,.{ 1 ~
(Superintendent)
THIS APPLICATION MUST BE COMPLETED AND RETURNED BY 5:00 PM ON
FEBRUARY 17,2005 TO:
Richard A. Davis, Public Finance Manager
Department of the Treasury
Commonwealth of Virginia
Bv Delivery to:
101 North 14th St., 3rd Floor
Richmond, Virginia 23219
By U.S. Mail to:
P.O. Box 1879
Richmond, VA 23218-1879
LOCALITIES NOT RETURNING THIS FORM WILL NOT BE INCLUDED IN THE SALE.
* The County Board has approved all four of these projects on its Capital
Improvement Plan; however. the Board is withholding approval to CODDDence
two of the projects (transportation facility and replacement of Gainesboro
Elementary) until after the public hearing scheduled for March 9. 2005.
9
[Fwd: Footnote to bond application]
Subject: [Fwd: Footnote to bond application]
Date: Thu, 10 Feb 2005 08:23 :31 -0500
From: "John R. Riley" <jriley@co.frederickva.us>
To: tprice@co.frederickva.us
Subject: Footnote to bond application
Date: Thu, 10 Feb 200507:36:36 -0500
From: "Lisa Frye" <FRYEL@frederickk12.va.us>
To: <jriley@co.frederickva.us>
CC: "William Dean" <DEANW@frederickk12.va.us>
Good Morning John,
Will you please review the following statement and ask
Teresa to add it
to page 7, question 1 of the application?
asterick the x in the county board line and add these words
after the
existing note regarding the resolutions if there is not
enough room
please designate it for the bottom of the page or perhaps on
the page 9
after the signatures)
The County Board has approved all four of these projects on
its
Capital Improvement Plan; however, the Board is withholding
approval to
commence two of the projects (transportation facility and
replacement
Gainesboro elementary) until after the public hearing
scheduled for
March 9, 2005.
Thanks. Any questions or concerns - please call. Have a good
day.
Lisa
1 of 1 2/1 0/2005 12:24 PM