| $3.6 MILLION EXPECTED IN TOBACCO BOND REFINANCING County Finance Director David Squires reported that he has been informed that Tompkins County can expect to receive approximately $3.6 million through a refinancing of its securitized tobacco bonds. The restructuring of the tobacco bonds involves the sale of residual payments - funds to protect investors if tobacco companies are unable to meet their financial obligations - that could eventually be returned to the County. The potential future payments total $26 million. The present value of the $26 million has been calculated at between $4 million and $9 million, but this value would only be realized if the domestic cigarette market stays strong. By state law, the returns from the bond issue can only be used to pay for capital projects. The County has proposed applying the proceeds of the bond refinancing to its share of capital costs for Tompkins Cortland Community College's campus improvement plan. Because the County opted in 2000 to sell only half the rights to its future tobacco payments, it will still receive annual payments from the tobacco industry settlement. Contacts: Michael Koplinka-Loehr, Chair, Budget and Capital Committee, 257-2329; Finance Director David Squires, 274-5544; Steve Whicher, County Administrator, 274-5551. COUNTY SETS UP RESERVE FUND FOR PROTECTION OF NATURAL RESOURCES The Legislature unanimously approved (14-0; Leslyn McBean-Clairborne was absent) the establishment of a capital reserve fund to support land protection principles as detailed in the County's Comprehensive Plan. The County will use proceeds from the sale of unneeded land to the New York State Parks system to set up the fund, which will be used to support partnerships with other governments or private entities to protect and preserve natural, scenic, and agricultural resources. The fund was set at $24,000. Contacts: Michael Lane, Chair, Government Operations, 844-8440; Ed Marx, Planning and Public Works Commissioner, 274-5560. COUNTY TO LEASE QUARTER-ACRE TO DEVELOPER The Legislature voted 12 - 0 (George Totman, Thomas Todd, and Leslyn McBean-Clairborne were absent) to extend a lease of up to 12 months to Will-Ridge Associates, a company associated with Benderson Development Corporation, for a quarter-acre, irregularly shaped parcel of land owned by the County and located along Elmira Road in the City of Ithaca. As part of the development of the new "big box" stores in the City, an entry drive and a large sign were constructed on the land. A title search revealed the County's ownership after the construction had taken place. The County had previously leased the parcel to Will-Ridge for two six-month periods. Contacts: Steve Whicher, County Administrator, 274-5551; Jonathan Wood, County Attorney, 274-5546. |