06/11/2003-4A-Minutes-RegularMINUTES: 4A Board
June 11, 2003
PRESENT: Bill Fuller, Gordon Lurry, Carroll McNeill, Vickie Jenkins, Richard Muir
OTHERS
PRESENT: City Manager Jack Smith, City Secretary/ Assistant City Manager Rose Chavez,
Assistant City Secretary/ A-dministrative Assistant Samantha Renz
1. Richard Muir ~lled the meeting to 1>rder.
2. a)
CONSENT AGENDA
Approve Minutes: May 8, 2003
Minutes approved unanimously.
3. Citizen's Input
None.
4. Consider and Possible Action on Changing Loan Payment Procedures on Current 4A
Loan with GNB.
Discussion regarding previous meeting.
Vickie Jenkins indicated the balance on the GNB Note is $599,000. 00. She indicated
they are ahead about $87,000.00. When the loan was made to Wal-mart, they voted to
maintain one year's worth of payments in the money market account. Everything else
collected goes toward the GNB note. They have almost paid one year ahead by doing
this. They are one year ahead on the note and have one year's reserve in the bank. H
they wanted to fund Miguelito's, they would not have to borrow more money. Her
thought was to pay less on the loan and accumulate more money in the account. At this
point they could pay cash for Miguelito's and Babe's. By making the minimum
payments they will still stay one year ahead and be able to accumulate funds in the
account.
Gordon Lurry asked how long before the sewer line project will be started.
Staff indicated it will go before Council on Monday. The bid packets will be sent out
soon after that.
Discussion regarding the sewer line project.
Carroll McNeill asked how this project would affect the plan Vickie Jenkins outlined.
Vickie Jenkins indicated it would not affect it. When the sewer line project is done they
will borrow the money at that time.
Discussion regarding the sewer line project.
Bill Fuller asked if, in the future, a project came before the board requesting about
$150,000.00, with the commitments that have been made, how would it affect them
being able to fund another project. He asked if they could structure this to make sure
they would be able to fund a project if they chose to.
Gordon Lurry indicated they would first have to decide if it was economic development,
if it would be a benefit and if they wanted to fund it. At that time they would decide the
finance part of it.
Bill asked again if they wanted to fund a project, what would be their ability -would
they have to borrow money, and if so, over what period of time would that loan be
amortized and how much would that payment be.
Richard Muir indicated they would look at extending the current GNB note.
Discussed the current loan was at a variable interest rate.
Vickie Jenkins moved to reduce the payments to the required amount and put the
balance in the money market at this time. Carroll McN1'ill seconded. Motion -carried
unanimously.
5. Meeting Adjourned.
Approved
!,