HomeMy WebLinkAboutRes No 2014-114 Forgive Loan to Law Enf Dist 1e
Deschutes County Board of Commissioners
1300 NW Wall St., Suite 200, Bend, OR 97701-1960
(541) 388-6570 - Fax (541) 385-3202 - www.deschutes.org
AGENDA REQUEST & STAFF REPORT
For Board Business Meeting of August 25, 2014
DATE: August 15, 2014
FROM: Wayne Lowry. 1\0(Finance 6559
TITLE OF AGENDA ITEM:
Approval of Resolution 2014-114 forgiving loan between Deschutes County and Law Enforcement
District #1.
PUBLIC HEARING ON THIS DATE? No
BACKGROUND AND POLICY IMPLICATIONS:
On November 22, 2010, a promissory note between Deschutes County and Law Enforcement District
#1 was signed for a loan from the District to the County in an amount not to exceed $900,000 to fund
certain Jail rennovation projects. The improvements were completed to the jail facility in 2011 and a
total of $847,048.55 was borrowed.
In discussions with the Sheriff and the County Administrator, it appears that the loan should not be
repaid to the District as the improvements were made to the jail. Instead, it has been determined that
the loan should be forgiven.
The attached resolution 2014-114 takes the necessary steps to forgive the loan between the parties and
relieves the County of the requirement to repay the loan to the District.
FISCAL IMPLICATIONS:
Forgiveness of the loan will avoid a general fund payment to the LED# 1 reserve fund in the amount of
$847,048.55 for an improvement that benefited LED#1.
RECOMMENDATION & ACTION REQUESTED:
It is recommended that resolution 2014-114 be approved to forgive the loan between the County and
LED#1 evidenced by promissory note DC2010-730.
ATTENDANCE: Wayne Lowry, Flnance Director.
DISTRIBUTION OF DOCUMENTS:
Finance
REVIEWED
LEGAL COUNSEL
For Recording Stamp Only
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
ACTING AS THE GOVERNING BODY OF THE COUNTYWIDE LAW ENFORCEMENT
SERVICE DISTRICT (DISTRICT 1)
A Resolution Forgiving and Cancelling That *
Promissory Note dated November 22, 2010 and * RESOLUTION NO. 2014-114
Further Identified as DC 2010-730 *
WHEREAS, the Governing Body for the Countywide Law Enforcement Service District (District 1) did
loan Deschutes County the sum of EIGHT HUNDRED AND FORTY SEVEN THOUSAND FORTY EIGHT
and 55/100ths Dollars ($847,048.55) to enable Deschutes County to undertake certain capital improvements to
the Sheriff's offices and the Deschutes County Jail; and
WHEREAS, the loan was documented by and subject to a Promissory Note dated November 22, 2010,
identified as DC 2010-730 and attached hereto as Exhibit 1; and
WHEREAS, the capital improvements having been completed do provide direct functional and
operational value to District 1; and
WHEREAS, it appearing that it is equitable and appropriate to forgive and cancel the Promissory Note
identified as DC 2010-730, now therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES
COUNTY, OREGON, ACTING AS THE GOVERNING BODY OF THE COUNTYWIDE LAW
ENFORCEMENT SERVICE DISTRICT (DISTRICT 1), as follows:
Section 1. Promissory Note. The Promissory Note dated November 22, 2010, identified as DC 2010-
730 and attached hereto as Exhibit 1 is forgiven and cancelled.
Section 2. Effective Date. This Resolution shall be effective upon adoption.
BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY, OREGON, ACTING AS
Dated this of , 20_ THE GOVERNING BODY OF THE COUNTYWIDE
LAW ENFORCEMENT SERVICE DISTRICT
(DISTRICT 1)
TAMMY BANEY, Chair
PAGE 1 OF 2 — RESOLUTION NO. 2014-114
ATTEST:
ANTHONY DEBONE, Vice Chair
Recording Secretary ALAN UNGER, Commissioner
PAGE 2 OF 2 — RESOLUTION NO. 2014-114