Council agrees to refinance bonds, might save $191,000 | Native Information


By Nancy Lowry

New Citadel Information

New Citadel officers count on to avoid wasting $191,000 by refinancing two bonds.

Metropolis council acted final night time to reap the benefits of low rates of interest by consolidating its 2011 and 2012 bonds. This can cut back the town’s November bond fee by $191,000 whereas not extending the town’s debt.

At council’s workshop on Tuesday, bond dealer Joseph Muscatello proposed choices for refinancing the bonds. Council opted to take the financial savings upfront and decrease the town’s debt service fund in 2020.

Another choice, Muscatello mentioned, would have been to take the financial savings, between $17,000 and $20,000 per yr, over the lifetime of the bonds. This feature may end result in a barely larger financial savings, metropolis enterprise administrator Stephanie Dean mentioned.

“Council opted for the lump sum, which is a couple of quarter of a mill in taxes,” she mentioned.  This might enable the town to scale back the debt service tax by that a lot after they create the 2020 price range.”

Council launched, tabled and adopted the ordinance to refinance.

Bond counsel Patrick Healy mentioned council’s motion is permitted below the Native Authorities Debt Act.

Healy famous the $191,000 determine mentioned by council is an estimate of what the town may count on.

“We received’t know the precise quantity (the town will save) till the bonds are bought in Could,” he mentioned. 

Council additionally:

•Promoted Brandi Stewart to be a full-time officer on the police division. Stewart was employed Sept. 28, 2017, as a part-time officer.

•Agreed to buy tri-gas meters for the fireplace division for $four,000. The meters are used to detect and monitor pure fuel, hydrogen sulfide and carbon monoxide. The funds will come from council’s contingency account.

•Approved the metropolis police division to promote six used autos at public sale. Funds from the sale will go towards the acquisition of an unmarked police automobile.

•Contracted with Hessprint of New Citadel to buy 1,000 placards and stickers to be posted on rental properties all through the town by the town code enforcement division for $7,590. The town has between 900 and a pair of,500 rental properties.

nlowry@ncnewsonline.com

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