BUTTS COUNTY BOARD OF COMMISSIONERS
MINUTES OF A CALLED MEETING
JUNE 15, 2017

Present:
Robert Henderson, District 2, Chairman
Joe Brown, District 3, Vice Chairman
Keith Douglas, District 4 (Delayed Arrival)
Russ Crumbley, District 5

Staff:
Keith Moffett, County Administrator
Chiquita Barkley, Controller/ County Clerk
Michael Brewer, Government Relations Director
Michael O’Quinn, County Attorney

MINUTES
The Board convened with three members present and Chairman Henderson then called the June 15, 2017 meeting to order at 6:00 PM. He welcomed all present. He then asked Commissioner Crumbley to give the invocation, followed by the pledge of allegiance.

Item 2017-06-101: Approval of Docket
Upon a motion by Commissioner Brown, seconded by Commissioner Crumbley, the docket was approved with unanimous consent, 3-0

Item 2017-06-102: Approval of Tax Levy Resolution for Butts County School District General Obligation Bonds, Series 2017. Mr. O’Quinn, along with Elizabeth O’Neal, attorney representing the Board of Education presented a resolution to the Board of Commissioners that in essence guarantees that if the Board of Education is unable to raise enough revenue in their upcoming ESPLOST that was approved by the voters in March of 2017, to pay off general indebtedness bonds, that the Board of Commissioners would levy up to 1 mil of property tax to make said payments on the bond. Superintendent Robert Costley informed the board that the amount being bonded is anticipated to be less than half of the proceeds the total ESPLOST will bring in and that there would be very little possibility of the Board ever having to follow through on the guarantee. Following discussion, the resolution was approved upon a motion by Commissioner Crumbley, seconded by Commissioner Brown with unanimous consent, 3-0.

The approved resolution reads as follows:

A RESOLUTION PROVIDING FOR THE LEVY AND COLLECTION OF AN ANNUAL AD VALOREM TAX TO PROVIDE FUNDS FOR THE PAYMENT OF THE PRINCIPAL OF AND INTEREST ON $8,500,000 IN AGGREGATE PRINCIPAL AMOUNT OF THE BUTTS COUNTY SCHOOL DISTRICT GENERAL OBLIGATION (SALES TAX) BONDS, SERIES 2017.
WHEREAS, pursuant to a resolution of the Butts County Board of Education (the “Board of Education”), which Resolution was duly adopted November 8, 2016, an election was called to be held on March 21, 2017 (the “Election”), in all of the election districts of the Butts County School District (the “School District”), a political subdivision of the State of Georgia, to determine whether or not the 1% special purpose sales and use tax for educational purposes should be continued commencing on July 1, 2017 for five years (“SPLOST V”) and whether or not Butts County School District General Obligation (Sales Tax) Bonds in the maximum amount of $9,000,000 (the “Approved Debt”) should be issued; and,

WHEREAS, under and by virtue of the authority of Article VIII, Section VI, Paragraph IV of the Constitution of the State of Georgia and Title 48, Chapter 8, Article 3 of the Official Code of Georgia Annotated, as amended, (the “Sales Tax Act”), and the approval of a majority of the qualified voters voting in the Election, the School District is authorized to impose SPLOST V and to issue a portion of the Approved Debt in the form of its BUTTS COUNTY SCHOOL DISTRICT GENERAL OBLIGATION (SALES TAX) BONDS, SERIES 2017 (the “Bonds”), in the aggregate principal amount of $8,500,000 for the purpose of paying all or a portion of the cost of funding the following capital outlay projects: (i) rehabilitating, repairing, renovating, extending and improving Jackson High School, Henderson Middle School, Daughtry Elementary School, Jackson Elementary School and Stark Elementary School, including without limitation, additional classrooms, physical education and athletic facilities, roof replacements and repairs, mechanical system repairs and replacements, and wiring and infrastructure modifications; (ii) additional parking and paving at School District facilities; (iii) acquiring and installing system wide instructional and administrative technology, safety and security equipment; (iv) acquisition of school buses, vehicles and transportation and maintenance equipment; (v) acquisition of music, vocational, and physical education/athletic equipment; (vi) acquiring textbooks; (vii) renovating or adding to existing administrative facilities; (viii) acquiring any necessary property, both real and personal; and (ix) paying costs incident to accomplishing the foregoing; and,

WHEREAS, the principal of and interest on the Bonds shall be payable first from the proceeds derived from SPLOST V and, if the proceeds derived from the imposition of the said tax are not sufficient to pay the entire principal of and interest on the Bonds, when due, then such unpaid amount shall be payable from a direct annual ad valorem tax, unlimited as to rate or amount, on all property within the School District subject to taxation for bond purposes; and,

WHEREAS, the Board of Education has determined that it is necessary that there be levied an annual ad valorem tax upon all property subject to taxation for school bond purposes within the territorial limits of the School District sufficient in an amount, together with SPLOST V actually collected, to pay the total amount of principal and interest on the Bonds at their respective maturities; and

WHEREAS, the Board of Education has recommended, in a resolution duly adopted by the Board of Education and delivered to the Butts County Board of Commissioners (the “Commission”), that the Commission, as required by Georgia law, levy an annual ad valorem tax upon all property within the territorial limits of the School District subject to taxation for school bond purposes, at such rate as will raise, together with the proceeds of SPLOST V actually collected, up to the total principal of and interest on the Bonds as set forth in Exhibit A hereto; and

WHEREAS, it is necessary at this time that an ad valorem tax be levied as required by Article IX, Section V, Paragraph VI of the Constitution of the State of Georgia for the purpose of paying the annual amount of principal of and interest on the Bonds, which tax shall be levied in the preceding year.
NOW, THEREFORE, AT THE REQUEST OF THE BUTTS COUNTY SCHOOL DISTRICT AND AS APPROVED BY THE VOTERS OF THE SCHOOL DISTRICT IN A REFERENDUM HELD ON MARCH 21, 2017,

BE IT RESOLVED by the Butts County Board of Commissioners, and it is hereby resolved by authority of the same, that there shall be and is hereby levied a direct annual ad valorem tax for the years 2017 through 2022, without limitation as to rate or amount, upon all property subject to taxation for school bond purposes within the territorial limits of the School District, being all of Butts County, Georgia, sufficient to provide moneys, together with the proceeds of SPLOST V actually collected, required to pay the principal of and interest on the Bonds, as more fully set forth in Exhibit A attached hereto and incorporated herein by this reference; provided, however, that debt service on the Bonds shall first be paid from the proceeds of SPLOST V and such direct annual tax shall be collected only if, and to the extent that, the proceeds of SPLOST V are insufficient to pay debt service on the Bonds. The sums hereby levied are hereby irrevocably pledged and appropriated to the payment of the principal of and interest on the Bonds as the same become due and payable. The amount to be levied for each year is the amount to be specified by the Board of Education to pay principal and interest coming due in the following year to the extent that sufficient funds are not available from the proceeds of SPLOST V. These sums shall be collected by the Butts County Board of Commissioners, in each of the years levied, and shall be paid into the Series 2017 Bonds Debt Service Account, and shall be applied to the payment of the principal of and interest on the Bonds as the same become due and payable. Provisions to meet the requirements of this resolution shall be made annually hereafter.

BE IT FURTHER RESOLVED by the authority aforesaid that the Butts County Board of Commissioners, as levying authority, together with the Board of Education, as recommending authority, shall comply with the provisions of O.C.G.A. § 48-5-32, and all other statutory requirements as may exist from time to time relating to the publication of any reports or notices required prior to establishing millage rates each year for educational purposes, and shall take such other actions as may be required for the assessment and collection of taxes to provide funds in the years and amounts set forth in this resolution, to the extent the proceeds of SPLOST V received by the School District are not sufficient for that purpose. The Butts County Board of
Commissioners and the Board of Education shall cause a report to be published in a newspaper of general circulation throughout Butts County at least two weeks prior to the establishment of the millage rates for ad valorem taxes for educational purposes during the current calendar year, in accordance with O.C.G.A. § 48-5-32.
BE IT FURTHER RESOLVED by the authority aforesaid that this resolution is adopted in order to assure compliance with Article IX, Section V, Paragraph VI of the Constitution of the State of Georgia. The Commission will take no action to establish a millage levy for the payment of any portion of the principal of and interest on the Bonds from ad valorem taxes until the Board of Education certifies to it any millage required for such purposes.

BE IT FURTHER RESOLVED by the authority aforesaid that all orders and resolutions in conflict with this resolution this day passed, if any, be and the same are hereby repealed.

Item 2017-06-103: Executive Session for Real Estate: Upon a motion by Commissioner Crumbley and seconded by Commissioner Brown, the Board voted with unanimous consent to go into executive session with select members of the Board of Education to discuss a real estate matter. Commissioner Douglas arrived for the Executive Session. Upon a motion by Commissioner Brown and seconded by Commissioner Crumbley, the Board voted with unanimous consent to reconvene, 4-0

Item 2017-06-104: Summary of Executive Session: Mr. O’Quinn advised that the Board discussed a real estate matter with the Board of Education, with no anticipated action to be taken at this time.

Item 2017-06-105: Adjournment Motion. Upon a motion by Commissioner Brown and seconded by Commissioner Crumbley, the meeting was adjourned with unanimous consent, 4-0

Ratified this 10th Day of July, 2017