SALISBURY – The Salisbury City Council voted 4-0, with Councilwoman Shanie Shields absent, to approve a resolution authorizing the city to issue and sell two bonds for up to $4,009,000 to fund the Fire Station #2 project and up to $2,800,000 to refund 2004 bonds.
City Administrator Tom Stevenson explained the resolution authorizes the issuance and sale by the City of Salisbury of its General Obligation Bonds pursuant to the City Charter of Salisbury, and Ordinance 2299 and Ordinance 2300 both approved by council on Aug. 25 and became effective on Aug. 28. The bonds will be designated as “The City of Salisbury Public Improvement Bonds, Series 2014A” that shall not exceed $4,009,000 and the “City of Salisbury Public Improvements Refunding Bond, Series 2014B” that shall not exceed $2,800,000. Collectively, both bonds will be used to rebuild Fire Station #2, and to refund the 2004 Bonds.
The resolution describes the terms and conditions of the 2014 bonds and the details regarding their issuance and sale as well as authorizes the mayor to determine the final principal amounts and amortization schedule.
A couple of weeks, the council approved Fire Chief Richard Hoppes request of the City Council to consider waiving the fees and liens for the land acquisition for 413 Naylor Street where a new fire station will be built.
Hoppes submitted the council has already heard the request and voted to agree to waive the fees. However, at that time no resolution was offered to officially recognize this action, and the Internal Services Department had requested that a resolution be completed for accounting and audit purposes for this transaction. Specifically, waiving of fees has an associated accounting transaction that must be duly approved in order for it to be legally carried out.
“The resolution is being provided as of a request of Internal Services. The council met during a previous legislative session and decided that you would write off the fees of $29,951.12 for the purpose of the Salisbury Volunteer Fire Department acquiring property at 413 Naylor Street, so we are simply asking you to approve it by resolution,” City Administrator Tom Stevenson said at that time.
Stevenson explained the costs derive from the city’s order to have the abandoned and neglected building that previously stood at 413 Naylor Street demolished followed by clean-up, on top of nuisance, grass and rubbage violations and the administrative costs associated with them.