HomeMy WebLinkAboutCONSENT Resolution forgiving a loan JEFFERSON COUNTY
BOARD OF COUNTY COMMISSIONERS
AGENDA REQUEST
TO: Board of Commissioners
FROM: Shawn Frederick, Central Services Director
DATE: August 25, 2025
RE: In the Matter of Forgiving a Loan to the County Road Fund (180)
from the Jefferson County Capital Improvement Fund (302)to fund
the Undie Road Project
STATEMENT OF ISSUE: The Jefferson County Board of Commissioners (BoCC) approved
Resolution 36-16 authorizing a loan to the County Road Fund 180 on September 19, 2016 for
$650,000 at an interest rate of 2.5%to be repaid with final payment in September 2036. As
financial resources of County Road Fund have decreased over time, coinciding with the cost of
road projects increasing, the loan has become increasingly burdensome.
ANALYSIS: In reviewing the scope of work for this project, it qualifies as an authorized
expenditure of REET funds(Jefferson County Capital Improvement Fund 302)through an
interfund transfer. To date, $367,350 has been repaid, including $107,250 in interest alone.
Currently, $390,000 remains to be paid back to Capital Improvement Fund 302. In reviewing
the Capital Improvement Fund 302, it has sufficient fund balance to support forgiving the loan
to the County Road Fund 180. The next payment date is September 2025.
FISCAL IMPACT:
A savings of$390,000 to the County Road Fund.
RECOMMENDATION:
Staff recommend adopting the proposed Resolution, forgiving the interfund loan to the County
Road Fund from the Capital Improvement Fund.
REVIEWED BY:
n
Jos D. Peters, County Administrator Date
STATE OF WASHINGTON
County of Jefferson
In the Matter of Forgiving a Loan to the
County Road Fund (180) from the Jefferson RESOLUTION NO.
County Capital Improvement Fund (302) to
fund the Undie Road Project
WHEREAS,the Jefferson County Board of Commissioners approved Resolution Number
36-16 authorizing a loan to the County Road Fund 180 on September 19, 2016 for$650,000 at an
interest rate of 2.5%to be repaid with final payment in September 2036;and
WHEREAS, to date, $367,250 has been paid including$107,250 interest; and
WHEREAS, after reviewing the fund balance of various County funds, it has been
determined that the Capital Improvement Fund 302 has sufficient fund balance to forgive the loan
to the County Road Fund 180, and will not impair the function of that fund; and
WHEREAS, the State Auditor's Office has set out guidelines and minimum standards
within the Washington State Bars Manual, and Jefferson County has a debt policy authorizing
BoCC to approve interfund loans;
NOW, THEREFORE, THE BOARD OF COUNTY COMMISSIONERS OF
JEFFERSON COUNTY,WASHINGTON,HEREBY RESOLVE AS FOLLOWS:
Section 1. Whereas Clauses are Findings of Fact. The Jefferson County Board of Commissioners
hereby adopts the above"Whereas"clauses as Findings of Fact.
Section 2. Purpose. The purpose of this resolution is to forgive the County Road Fund 180 loan
from the Jefferson County Capital Improvement Fund 302 to fund the Undie Road Project. The
principal balance to forgive is $390,000.
Section 3. Severability. If any section, subsection, sentence, clause, or phrase of this Resolution
or its application to any person or circumstance is held invalid,the remainder of this Resolution or
its application to other persons or circumstances shall be fully valid and shall not be affected.
Section 4. SEPA Categorical Exemption. This Resolution is categorically exempt from the State
Environmental Policy Act under WAC 197-11-800(14)and(19).
Section 5. Effective Date. This Resolution shall take effect and be in full force immediately upon
passage by BoCC.
(SIGNATURES FOLLOW ON THE NEXT PAGE)
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ADOPTED and APPROVED this day of , 2025.
SEAL: JEFFERSON COUNTY BOARD OF
COUNTY COMMISSIONERS
Heidi Eisenhour, Chair
Greg Brotherton, Member
Heather Dudley-Nollette, Member
AF1'EST: APPROVED AS TO FORM:
Carolyn Gallaway,CMC Date Philip C. Hunsucker, Date
Clerk of the Board Chief Civil Deputy Prosecuting Attorney
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