Last Friday, the County Manager issued an email notice announcing that Chairman Hester had called for a meeting of the County Commissioners and the Water Board for noon today. (Just so everyone understands, the Water Board members are also our County Commissioners so whatever one board approves there is little chance the other board would disapprove.) The purpose of the meeting was to allow the “Adoption of Resolution for Water Bond Anticipation Notes (this allows for extension of BANs for Phase 1A)”
Only the commissioners and the curious attended today’s five minute meeting.
What is a BAN for Phase 1A. I could not imagine the water board banning any part of their grand scheme to pour Kerr Lake water into the home’s of county residences. Before the meeting started I learned that BAN is an acronym for Bond Anticipation Notes. According to Investopedia (investopedia.com) “…a Bond Anticipation Note (BAN) is a short-term interest-bearing security issued in advance of a larger, future bond issue….” In simpler terms the County has borrowed money to build the water project anticipating borrowing the money to pay for the water project.
There are more questions to ask about the cost of the BAN to the buyers of county wide water, than the one I am going to ask. Others are welcome to ask their questions in hopes of learning more about the funding of the County Wide Water project. I am wondering why the need for a called meeting for something that has been known since May 1, 2012? According to the resolution approved by the Board “…there is [an] outstanding $3,841,000 Water Bond Anticipation Notes of the District, dated May 1, 2012, maturing January 30, 2013 …” Why wasn’t this matter addressed at the regular January meeting held three weeks ago instead of special called meeting?
Editors Note – You may read the full agenda packet for this meeting here: http://homeinhenderson.com/2013/01/28/news/county-business/vance-county-board-of-commissioners-water-board-meeting/