LGC Approves $21 Million Financing To Support Clayton Projects

CLAYTON – The Local Government Commission (LGC) has approved the Town of Clayton’s request to issue $21 million in limited obligation bonds to support a series of property purchases, facility improvements, and strategic investments that will enhance Town operations and expand services for the community.

The financing will allow the Town to move forward with several priority projects identified in the Town’s Capital Improvement Plan (CIP). These projects will help Clayton continue delivering high-quality services as the community grows and will position the Town for future economic development opportunities.

According to Town Manager Rich Cappola, Clayton’s continued population growth has increased staffing levels and broadened service demands across multiple departments. To keep pace with this growth, the Town is securing additional space and making strategic upgrades to better support staff, operations, and customer service.

“These projects allow us to continue providing excellent service to residents while planning responsibly for Clayton’s future,” said Cappola. “By purchasing and renovating existing properties, we can efficiently expand our operational space, support staff needs, and ensure we’re well-positioned to serve a growing community.”

The approved financing supports the acquisition and upfit of several properties that will help the Town respond to growth efficiently and cost-effectively, including:

100 Guy Road – Town Offices Purpose:
Purchase and renovation for Town operations Benefit: The Town’s current warehouse is undersized and will be losing its loading dock when the Veterans Parkway expansion occurs. This property offers substantial acreage and building square footage for immediate use, with upfits enhancing functionality for municipal purposes.

501 Atkinson Street – Warehouse Space Purpose:
Purchase and upfit for storage and operational needs Benefit: Offers expanded capacity and improved functionality for storing equipment and supplies. The location provides the Town with a long-term operational asset as infrastructure improvements continue across the community.

480 East Main Street – Downtown Building Purpose:
Acquisition for downtown revitalization and economic development. Benefit: Supports strategic growth and community engagement, with access to town services inside our historic downtown.

Former Clayton Fitness Facility (1370 Cameron Way) – Parks & Recreation Expansion Purpose:
Expand Parks & Recreation offerings, focusing on senior and multigenerational programs. Benefit: Enables rapid delivery of new services to meet rising community demand, supporting inclusivity and wellness.

Cappola added that these projects reflect priorities identified through staffing analyses, space needs assessments, and the Town’s long-term planning efforts.

“This will not only help us meet immediate operational needs but also lay the foundation for long-term planning and responsible stewardship of public resources,” said Cappola. “By investing in existing properties, the Town of Clayton is ensuring that today’s decisions will benefit the community for generations to come.”

Limited obligation bonds are a common tool used by North Carolina local governments to finance major projects without requiring a voter referendum. The bonds are repaid from existing Town revenue streams over time. Approval by the LGC confirms that the Town’s borrowing plan is reasonable and that Clayton can responsibly manage and repay the debt.

Although the LGC approved a financing authorization of $21 million, the Town’s actual issuance is expected to total approximately $19.5 million, consistent with updated project costs and the Town’s financial planning strategy.

The LGC is chaired by State Treasurer Brad Briner and is staffed by the Department of State Treasurer. The commission is responsible for reviewing and approving most borrowing by local governments in North Carolina and monitoring the financial health of more than 1,100 local units statewide.