Town of Waynesville Local Government Commission Study
In July 2016, the Town of Waynesville needed to build an addition to its Public Works Facility so it could accommodate all of the personnel and equipment within. The building is used by four different Town programs, including the water, sewer, electric, and general funds. The total cost of the improvements was $1.7 million but the four programs only had a combined total of $400,000 available to contribute to costs. The remaining $1.3 million needed to be borrowed from a lending institution. Since the State oversees and approves all local government loan issuances that exceed $500,000 through the Local Government Commission (LGC), Waynesville also needed assistance with the compliance of State borrowing procedures.
WR-Martin met with the Town staff to provide an overview of the entire LGC approval process and confirm the funds to be borrowed and the ability of the Town to repay. Furthermore, the scheduling of construction bid tabulations and related permits were reviewed since they influence the timing of the approval process. Once the plans were confirmed, WR-Martin arranged a required conference call between the Town manager and LGC staff so they may ask any questions specific to the project and place the Town’s loan plans onto their calendar. During the following two months, WR-Martin assisted the Town with adopting required resolutions, procuring bank proposals, ascertaining the least costly loan offer, and compiling other required application forms by State deadlines. Throughout this period, WR-Martin ensured that Town staff stayed up to date and conversant about the LGC approval process.
The Town selected BB&T Bank for its Public Works building financing and received approval from the State Local Government Commission. The competitive interest rate and term allowed for the funds to anticipate the new loan payments without the need for immediate increases to rates or taxes.