Advisory Board: Debt Affordability Advisory Committee
Subject: County Debt Policy Review
Presenter: Diana Oyler
Contact: diana.oyler@cao.cccounty.us
Information:
In 2006 the Board of Supervisors adopted the County Debt Management Policy via Resolution 2006/773, which established the Debt Affordability Advisory Committee (DAAC). The DAAC's purpose is to annually review and evaluate existing and proposed new County debt and other findings or issues the committee considers appropriate. The task of the DAAC is to assess the County's ability to generate and repay debt, and issue an annual report to the County Administrator defining debt capacity of the County.
The County's Debt Management Policy (policy) serves as a framework for prudent financial stewardship, providing structured guidance for the issuance and management of debt obligations. The policy emphasizes the integration of debt management with broader capital planning and financial management practices. In addition, the Debt Management Policy incorporates best practices for post-issuance compliance, disclosure, and ongoing monitoring. Periodically, the DAAC will review and provide updates and revisions to the policy, as needed.
Referral History and Update:
The DAAC last updated the policy in September 2023. Routine review and updating the policy is necessary to ensure the policy aligns with current organizational operations, debt obligations, and legal framework. Review and revision to the policy include:
1) Review to ensure the policy aligns incorporates updates in the County operations, legal framework, and best practices.
2) The policy incorporates changes in relation to generally accepted accounting principles (GAAP) as established by the Governmental Accounting Standards Board (GASB)
3) The policy incorporates accurate and current information relating to the County debt obligations, as explained in the appendices.
Recommendation(s)/Next Step(s):
Review the County Debt Management Policy, accept chang...
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