A: Local governments use General Obligation (GO) Bonds to finance long-term debt, which is similar to how people use a mortgage to finance the cost of a home. The City uses long-term borrowing primarily for capital improvements or projects, like major road, parks or building projects, that can’t be financed from current revenues. GO bonds are sold to investors providing immediate capital to construct the projects, thus citizens are able to benefit from them, while the City is able to spread the cost of those improvements over a period of years.

The North Carolina Local Government Commission (LGC) must approve all local governments in the state seeking a bond issuance. The LGC examines a city’s finances and makes a determination about the debt affordability. More information is available online at www.nctreasurer.com.

A: The road and sidewalk projects are needed to improve the safety of motorists and pedestrians who use those major targeted roads or areas. Many of the targeted roads are congested and prone to accidents because they need to be widened and improved. The recreation projects are needed to revitalize existing facilities and vital in the effort to continue to improve the quality of life in our community.