SMETHPORT – The McKean County Board of Commissioners plans to take advantage of historically low interest rates and roll over the balance of bonds issued in 2007.
Acting at their meeting Tuesday, Commissioners Joe DeMott, Al Pingie and Cliff Lane gave the green light to refinance the bonds that totaled $4.6 million when issued. The amount to be refinanced is somewhat lower because the county already has made payments on the loans.
The bonds were issued, in part, to pay for courthouse improvements and for the construction of the county-owned Galico Bridge in Keating Township.
Under the resolution adopted Tuesday, PNC Capital Markets and the law firm of Lynch and Lynch of Pittsburgh will assist the county with the proposed bond refinancing effort.
Even though PNC and Lynch charge fees for their work, County Treasurer Nancy Evans said the county would "still profit" by the move to refinance its bond balance due to the low interest rates. She said the amount of the savings won't be known until the new interest rates are "locked in," hopefully within the next few months.
According to information provided by Evans, the county issued three series of bonds in 2007. "Series A" totaled $2,375,000. "Series B" totaled $655,000. "Series C" totaled $1,575,000.
In other business at the 30-minute meeting at the county courthouse in Smethport, the commissioners:
*Tentatively approved a lone bid from Zook Motors of Kane for the lease of a 12-passenger van for use by the county Adult Probation Department for its community service program.
The monthly lease fee is $950.79 for two years. When the lease expires, the county can purchase the vehicle for $1.
The acceptance of the bid is pending the review of Gary Seefeldt, chief adult probation officer for the county. He said a state grant will pay for the vehicle.
*Approved a Kane borough application for use of its 2012 allotment of $7,562 in county liquid fuel tax revenue. The money will be spent for street paving, according to the application.
*Approved a Smethport application for use of its $3,784 share of county liquid fuel tax revenue. Smethport plans to use the money for street paving.
*Approved the purchase of two new vehicles for the county Emergency Management Agency (EMA). The county is buying the vehicles through the Central Westmoreland Council of Governments. Because this agency obtains vehicles through a state contract price, the county is not required to seek competitive bids for the purchase.
See full article by purchasing the Feb. 15 edition of The Kane Republican.