Summary of Steps in Issuing Debt

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This is a brief summary of the major steps in making the decision on financing a project:

Step 1 – County determines its needs and potential costs.

Step 2 – County determines if funds are currently available. If not, step three.

Step 3 – County determines if capital outlay notes are a viable option.

  • If yes, then the county determines if sufficient funds can be borrowed internally.
  • If so, should the county borrow internally?
  • If no internal borrowing, then can funds be borrowed at local financial institutions?
  • If not, then consider loan pools as an option for capital outlay notes.
  • If capital outlay notes are not an option, proceed to step four.

Step 4 – Should the county borrow from a loan pool or issue bonds?

  • If loan pool, then contact loan pool representatives for quotes.
  • If bonds, then solicit financial advisor to assist in bond sale.