Laserfiche WebLink
Commission Minutes—December 19, 2022 5678 <br />Sarah Heinle, County Finance Office <br />Tony Grindberg, County Commissioner <br />MOTION, passed <br />Mr. Breitling moved and Mr. Kapitan seconded to appoint Commissioner <br />Grindberg to the Cass County Finance Committee. On roll call vote, the motion <br />carried with Mr. Peterson, Mr. Kapitan, and Me. Breitling voting "yes" and Mr. <br />Grindberg voting "no". <br />MOTION, passed <br />Mr. Grindberg moved and Mr. Breitling seconded to amend Commission Policy <br />Manual Section 4.00 Advisory Boards, and Section 14.01 Standing Committees <br />with 2023 appointments as discussed. On roll call vote, the motion carried <br />unanimously. <br />9. RESOLUTION #2022-07, Authorizing an alternate interest rate index to replace LIBOR based <br />interest rate index for conduit revenue obligation previously issued by Cass County, North <br />Dakota adopted <br />On August 4, 2014 the Board passed Resolution #2014-10, a resolution authorizing the issuance of <br />Revenue Refunding Notes for Pioneer House Assisted Living. Brian Peltier from Ballard Spahr, LLP, <br />representing Pioneer House Assisted Living was present and said the note issued in 2014 uses an <br />interest rate based on a formula, part of which is a swap rate index that is derived off the London <br />Inter-Bank Offered Rate (LIBOR) administered by the ICE Benchmark Administration (IBA). He said <br />in November the IBA announced it will cease publication of the US Dollar denominated LIBOR <br />settings on June 30, 2023. He said due to this cease of publication, the note needs to be amended <br />with a new formula rate. The Lender of the note, Bremer Bank, National Association, and the conduit <br />borrower, Pioneer House Assisted Living have elected to adjust the formula with a new index and <br />spread that closely approximated the current formula published by the Federal Home Loan Bank of <br />Des Moines. Mr. Peltier said Cass County, Bremer Bank, and Pioneer House Assisted Living will <br />enter into a technical amendment to the note in the form of an Allonge to Promissory Note (Allonge) <br />amending the note and associated financing documents to evidence the new interest rate <br />adjustment. Mr. Peltier prepared the allonge and resolution reflecting the amendment for the Board's <br />consideration. <br />Mr. Peterson asked if there is any financial risk to the County. Mr. Peltier said no, there is no <br />financial risk to the County. Finance Director, Brandy Madrigga was present and agreed with Mr. <br />Peltier that there is no financial risk to Cass County. <br />MOTION, passed <br />Mr. Breitling moved and Mr. Kapitan seconded to adopt Resolution #2022-07 <br />Authorizing an alternate interest rate index to replace LIBOR based on interest <br />rate index for conduit revenue obligation previously issued by Cass County, <br />North Dakota, and authorize the Chairman to sign the Allonge to Promissory <br />Note. On roll call vote, the motion carried unanimously. <br />10. JAIL, Summit Food Service contract amendment approved <br />At the Board's last meeting on December 5, 2022, an amendment to the Jail's food service contract <br />with Summit Food Service was approved. Jail Administrator, Captain Andy Frobig was present and <br />said after the approval on December 5th, Summit recognized an error in the approved contract. He <br />said Summit would like to change the effective date of the contract from March 1, 2023 to January 1, <br />2023. Mr. Frobig said adjusting the contract time period from January 1 to December 31 of each <br />year going forward would better align with the County's budget cycle. <br />MOTION, passed <br />Mr. Kapitan moved and Mr. Grindberg seconded to rescind approval of the <br />Summit Food Service Agreement amendment approved on December 5, 2022 <br />and approve the revised amendment which established a cost increase of 29.5%