Board of Canvassers
SPECIAL LOCAL REFERENDUM
TUESDAY, NOVEMBER 5, 2019
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LOCAL QUESTIONS ON THE BALLOT:
( Ballot Question # 1.)
AUTHORIZING THE TOWN OF NORTH KINGSTOWN TO ISSUE GENERAL OBLIGATION BONDS TO FINANCE CONSTRUCTION, RENOVATIONS, DEMOLITION, REMEDIATION, ALTERATIONS, ADDITIONS AND OTHER IMPROVEMENTS AND/OR RELATED EQUIPMENT FOR THE TOWN HALL AT 80 BOSTON NECK ROAD AND AT MEMORIAL PARK (PLAT 90 LOT 23) ($7,500,000)
"Shall an act, passed at the 2019 session of the General Assembly, entitled ‘AN ACT AUTHORIZING THE TOWN OF NORTH KINGSTOWN TO FINANCE CONSTRUCTION, RENOVATIONS, DEMOLITION, REMEDIATION, ALTERATIONS, ADDITIONS AND OTHER IMPROVEMENTS AND/OR RELATED EQUIPMENT FOR THE TOWN HALL AT 80 BOSTON NECK ROAD AND AT MEMORIAL PARK (PLAT 90 LOT 23) AND TO ISSUE NOT MORE THAN $7,500,000 BONDS AND NOTES THEREFOR' be approved?"
Local Acts 77 and 88 of 2019
(YES or NO)
Explanation of Question __
The voters of North Kingstown are being asked to approve an act of the General Assembly which would allow the Town to borrow up to an additional $7,500,000 to finance various capital improvements at the Town Hall at 80 Boston Neck Road at Memorial Park across the street.
This $7,500,000 of bonds is in addition to the $5,000,000 of bonds intended for such Town Hall improvements and renovations which $5,000,000 of bond financing was part of the $27,000,000 of bonds approved by the voters in November 2018. This additional $7,500,000 will enable the relocation of Town offices presently at Fairway Drive to the Town Hall. The $5,000,000 in bonds already approved is deemed sufficient only to create Town Council Chambers and meeting spaces at Town Hall.
It is estimated that a total of $12,500,000 of bond financing is needed in order to (1) relocate to Town Hall of all Town offices presently at 100 Fairway Drive and (2) create Council Chambers at Town Hall. The improvements and renovations will include removing non-original additions to the historic Town Hall structure, general renovation and/or replacement of the roofing, flooring, heating, plumbing of the historic structure, cleaning and restoration of the original masonry, replacement of windows, addressing handicapped accessibility issues, creation of new addition(s) and creating and relocating parking.
The estimated time table for this project, if these additional $7,500,000 of bonds are approved, would be approximately thirty (30) months from such voter approval in order to complete the design of the project, the state and federal permitting where necessary, as well as bidding the project for construction. This estimated thirty (30) month timetable is dependent on contracts being awarded in seven (7) months from this referendum.
While the act authorized thirty (30) year bonds, under present conditions, the Town anticipates issuing twenty (20) year, level principal, tax exempt general obligation bonds. Based on such terms, the estimated annual debt service for principal and interest on these additional $7,500,000 of bonds (based on level principal payments of $375,000 per fiscal year) is estimated to be approximately $674,688 starting in the fiscal year ending June 30, 2023 and ending in $381,562 in the fiscal year ending June 30, 2042, resulting in a total estimated interest cost of $2,668,750, and when added to the $7,500,000, a total cost for this bond of $10,168,750 including interest. These estimates are based on a 3.50% interest rate for financing as is reasonable based on rates current as of October 2019, however it is intended that bonds would not be issued until late 2021 and future interest rates cannot be determined at this time. Hence, no assurance can be given as to the actual financing costs, or that the total $7,500,000 of bonds will be issued a single time. Current interest rates may be lower than those applicable in the future. Bond anticipation notes may be issued at one or more times in which case the interest on such notes may be capitalized and the amortization of bond principal would be delayed.
The estimated useful life of the project is 10 to 30 years depending on nature of the particular improvement or equipment.
(Ballot Question # 2.)
LEASE OF TOWN LAND FOR PUBLIC/PRIVATE PARTNERSHIP
RENEWABLE ENERGY PROJECTS
(Resolution of the Town Council adopted July 15, 2019)
Should the North Kingstown Town Council, in accordance with Section 314 of the Town Charter, be authorized to lease a portion of 395 Hamilton Allenton Road, Plat 80, Lot 1 and 480 Oak Hill Road, Plat 97, Lot 1 for a period not to exceed 25 years for Public/Private Partnership Renewable Energy Projects on such terms and conditions as the Town Council in its sole discretion shall deem fit and proper?
(YES OR NO)
Explanation of Question
The voters of North Kingstown are being asked to authorize the Town to enter into a lease for 25 years for a public/private partnership renewable energy project located at 395 Hamilton Allenton Road and 480 Oak Hill Road which will provide energy savings to municipal and educational facilities. Site analyses were undertaken in conjunction with the department of public works, and after considering deed restrictions, zoning, wetlands and other factors, the town determined these two sites fit the criteria to host these solar remote net metering projects.
The Town has an agreement for public/private renewable energy projects at these two sites. The North Kingstown Charter allows the lease of Town owned land up to 10 years, which can only be exceed by approval of voters. As a result, if this question is approved, the Town will be able to enter into a lease for 25 years versus 10 years.
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