The Floyd County Commission has approved a resolution allowing the Development Authority of Floyd County to issue up to $100 million in revenue bonds for the Spires at Berry College, a senior living community operated by Lavender Mountain Health.
County Manager Jamie McCord said the bond funds could be used for refinancing existing debt and financing additional residential units at the continuing care community located on the Berry College campus.
“This authorization allows the Development Authority to move forward as a conduit for the financing,” McCord explained. “It carries no financial liability or obligation for Floyd County or the Development Authority.”
The resolution serves as a formal approval required under Section 147(f)(2) of the federal tax code and follows a public hearing held Oct. 17, another step necessary before the bonds can be issued.
County Attorney Chris Jackson noted that the action mirrors a similar approval granted in 2018, when the original Spires project began. “All the county is doing is giving the OK for the Development Authority to facilitate the financing,” Jackson said. “It doesn’t mean county funds are being used — it just allows the private operator to access tax-exempt bond financing through the authority.”
In simple terms, revenue bonds are a way for private entities, like Lavender Mountain Health, to borrow money at a lower interest rate by using a public development authority as a pass-through agency. The bonds are repaid solely from the project’s revenues — not from taxpayer dollars or county funds.
