The community of Monroe City has a choice on the ballot on April 4. Voting yes will ensure low interest fixed rates on impending Water, Gas, and Electric projects.
On the ballot will be a question that states as seen here. “Shall the City of Monroe City, Missouri, issue its combined utility system revenue bonds in the amount of [$20,000,000 for the purpose of acquiring, constructing, furnishing, equipping, extending and improving the City’s combined utility system, which includes the City’s electric system, gas system, and water system, including the acquisition of real estate and easements related thereto, the cost of operation and maintenance of said system and the principal of and interest on said revenue bonds to be payable solely from the revenues derived by the City from the operation of its combined utility system, including all future extensions and improvements thereto?”
A special informative meeting is to be held, March 23 at 5:15 p.m. in council chambers at City Hall. The board of aldermen will answer questions on the bond question. Some points of interest will be fixed interest rates, how only with voted bonds can the city borrow at a subsidized fixed rate and only with voted bonds does the city have a chance at getting grants that do not have to be repaid.
If voted in, the bonds will help the city repair its largest asset, utilities, at reduced costs. Engineers have identified several areas for the city to strengthen the utility services for all users.
After careful assessment the engineers have estimated the electric system’s substation needs major work including proper grounding, new transformers with dual secondary voltage ratings, pole and line replacements and overall upgrades to the Davis Street Substation.
The engineers have determined the water distribution system must be expanded by 16,000 feet of replacement pipes to eliminate lost water through leaks and preventing pathogens seeping into the drinking water. The city is in the process of partnered with Clarence Cannon Wholesale Water District and without repairs, that cost will flow into our streets.
It has been stated, “It doesn’t matter how clean the source is, without well maintained water lines, it’s difficult to ensure equally clean water to your home.”
The engineers have pointed out that the city’s Natural Gas System is in need upgrades to ensure continued safe and efficiency for delivery of the service. This upgrade will include pipe replacements and extensions.
With a yes vote, the city will be able to utilize long-term fixed interest rate leases, the city can borrow at any time, for each of the projects spelled out above.
Lease-purchase financing is a low-cost way to finance the city’s needed projects over the next 20-years. Elections are not required, and the interest cost is not significantly higher than normal voted market revenue bonds. However, there is a much better, cheaper way.
Mayor Hays and the board of aldermen unanimously voted to place a bond issue on the April ballot because they feel it’s a better approach. Only with voted bonds, does the city have a chance at matching grants and subsidized interest rate loans. The State Direct Loan Program for water, allows the city to borrow for up to 30-years at 2.25% fixed interest.
There are also grants available and Federal subsidizes with this voted bond in place. By Missouri law, there can be no tax increase with any of the bond projects.
The cost of the water project is estimated to be $1,300,000. The electric project upgrade estimates are $11,338,400 and the gas project will be approximately $500,000. By voting yes on the bond question, your property taxes cannot be raised.
The City of Monroe City will not be issuing all the bonds at once. Mayor Hays states, “The city of Monroe City will not be issuing all of the bonds at once, but rather as needed. With the bond approval, it gives the city the opportunity to seek grant possibilities to offset the project costs.”
It costs nothing to have voted bond authorized, but not used. And only with voted bonds can the city pursue additional matching grants (that do not have to be repaid) or low interest rate loans to take care of future projects as they arise.
The City of Monroe City’s Mayor and Board of Aldermen have worked diligently to put before the voters a solution to the city-wide improvement issue.
Mayor Hays urged, “Please support our efforts to improve our services to you by taking a few moments and voting on April 4th.”
Sorry, there are no recent results for popular commented articles.