20 NCAC 03 .0206             APPROVAL OF REVENUE ANTICIPATION NOTES

(a)  If a governmental unit wishes to apply for approval of revenue anticipation notes, the officials of the unit shall arrange a conference with the staff of the Commission. The Secretary may waive the requirement for a preliminary conference.

(b)  At the preliminary conference, the following matters may be discussed:

(1)           the need for the proposed notes,

(2)           the feasibility of selling the proposed notes,

(3)           the adequacy of the unit's accounting system and internal control,

(4)           any other matters relating to the unit or the proposed notes,

(5)           the procedures for application for approval of the proposed notes.

(c)  The Secretary shall establish procedures for the application with due regard to the requirements of the law, of bond counsel and of the matters discussed in the preliminary conference.

(d)  The Commission may consider the following factors:

(1)           the necessity and expediency for issuance of the notes,

(2)           the purpose for which the proceeds of the notes will be used,

(3)           the reasonableness and adequacy of the budget,

(4)           the ability of the unit to appropriate funds to pay for costs and interest due on the proposed notes,

(5)           the availability of alternative internal sources of funds,

(6)           the adequacy of the unit's accounting system and internal control,

(7)           any other information the Commission considers applicable in the circumstances.

History Note:        Authority G.S. 159‑3(f);

Eff. February 1, 1976;

Readopted Eff. September 23, 1977;

Amended Eff. April 1, 1985;

Pursuant to G.S. 150B-21.3A, rule is necessary without substantive public interest Eff. January 9, 2018.