Sarasota County Debt Management Policy - Resolution 2021-184

Sarasota County Debt Management Policy b. Monitor debt issuance plans and such financial obligations on an ongoing basis for any of the reportable events described in section VIII E of this document and if any such event occurs, to ensure the filing of a notice on EMMA of such within ten business days of the occurrence of such event. The Director of Finance should consult with its ongoing Disclosure Counsel in preparing for and executing this new responsibility. Material failures to timely comply with Continuing Disclosure Agreements (i.e., foot faults) must be disclosed in official statements for five years following non-compliance. Having a dissemination agent alone is not enough because it is the Director of Finance, not the dissemination agent, which first obtains knowledge that one of these events has occurred. A dissemination agent is not generally tasked with monitoring the issuer's debt plans and financial obligations on an ongoing basis to determine if a new obligation event occurs, a revised obligation occurs or a financial distress event occurs. For example, they are often not on a distribution list for an upcoming bank loan. Examples of a financial obligation (i.e., a new obligation event) include but are not limited to a debt obligation, a bank loan, the closing date of a drawdown line of credit, initial establishment of a new commercial paper program, a forward interest rate swap, a cap, a collar, a traditional interest rate swap, a derivative, a guarantee, an inter-local funding agreement, an equipment lease financing that is like a borrowing (e.g., a bank affiliated leasing company is involved in addition to the equipment vendor), a certificate of participation, a subject to annual appropriation financial obligation, etc. Each drawdown on a line of credit or issuance of a tranche of CP is not a separate reported financial obligation. An example of a "revised obligation event" includes that the covenants in a private placement or loan agreement may be changed because of improvements to the financial condition of the issuer or if the parties wish to restructure the loan for other reasons. It is not necessary that a revised obligation event reflect financial difficulties. Another example would be substituting existing security with stronger security with the consent of the lender for non-financial reasons, which has nothing to do with financial difficulties and would be considered a revised obligation event. 4. Website Disclaimer The Clerk and Comptroller's and/or the County's website is a useful tool for communicating with citizens and taxpayers in the County. In certain instances, potential investors may also find the County's website useful, which requires that the County be cautious in the administration of its website. Relating to information of the "Investor Relations" variety (i.e., information that the County reasonably expects to reach investors and the trading markets), the County shall include a disclaimer, obtained from the Disclosure Counsel, before allowing access to potential investors. 30