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The Rappahannock-Rapidan
Community Services Board voted at a recent meeting to seek
authorization from its charter counties to establish a
procedure by which it may obtain operating and intermediate
capital funds as cash flow needs may dictate. The Community
Services Board is seeking authorization from the charter
counties to borrow from time to time funds not to exceed
$1,000,000. At present if the Community Services Board
wishes to borrow any funds, it must go through the process
of obtaining pre-approval from all of its charter counties.
The Community Services Board
has encountered various situations where it needs to borrow
funds on an expedited basis. For example, there may be a
project which will be funded by grant money; however, it is
necessary for the Community Services Board to acquire the
real estate in advance to proceed with obtaining the grant
funds. This approach will allow the Community Services
Board to have what amounts to a credit line of up to
$1,000,000 to draw upon to meet the needs of its $16 million
dollar per annum operation. The legal representative of the
CSB has indicated that no charter county would have any
liability whatsoever for any funds borrowed by the RRCSB.
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