Monterey To Pursue Outlay Note For Several Projects

Monterey will pursue a $1 million dollar capital outlay note to pay for several major projects.

Alderman Nathan Walker said Monday night that Monterey can’t cover the upfront costs for the work.

A document presented by Cumberland Securities details the proposed bond payment plan for Monterey. The town will pursue a $1 million not to pay for several major projects.

“We can spread it out over several years and be able to have the benefit of those things now, especially things that are going to pay us back,” Walker said. “We’re looking at ways that can make the community better, but also more efficient and get a lot of these projects done that we currently don’t have the cash for.”

The note would cover about $800,000 for paving roads, repairing a damaged stormwater drainage system, and converting street lights to LED. Walker said savings from some of the projects would cover part of the $107,100 annual bond payment.

“The first example of that is the LED lighting,” Walker said. “If we can save $43,000 a year, which is what Volunteer Electric has projected to be our annual savings, that takes care of almost half of this yearly bond payment.”

Under a proposal from Cumberland Securities, Monterey would pay back $1.3 million over a 13-year period. Cumberland Securities will begin drafting a resolution for the financial plan this week.

The board of aldermen plans to vote on the resolution during next month’s meeting.