During the monthly meeting of the Southeast Arkansas Regional Intermodal Authority, members were informed that the organization will owe somewhere just over $300,000.00 to Commercial Bank of Monticello, once all bills are paid and all grants funds are utilized. In the October meeting, it was reported the figure would run between $600,000-$700,000. When asked to explain the difference a spokesman for the organization indicated there was more grant money available than realized. By a vote of the board, the authority approved a series of motions that authorized the payment of current bills in the amount of $314,169.94, pay current interest on the loan due November 22nd, renew the loan for one year and maintain the letter of credit with Commercial Bank at the amount of one million dollars.
There was considerable discussion, as there was in October, concerning how the note would be paid off in the future. It was clear from the comments made that the intermodal board expects the cities of Warren and Monticello and the counties of Bradley and Drew, or some combination thereof to eventually pay the funds owed. As has been previously reported, Warren, Monticello and Drew County have been budgeting or appropriating funds each year to contribute to the authority, but none have committed to paying off the loan or accepting legal responsibility for the bank note. Bradley County has not paid utilizing county general funds in several years and has not budgeted general funds to the authority over the past few years.
The intermodal lists amounts owed by the cities and counties on its financial reports monthly. The November, 18th report showed the following amounts:
Monticello-$64,275.57
Warren-$65,613,13
Drew County-$112,718. 36
Bradley County-$182, 618.88
The Mayors of Warren and Monticello have both stated they intend to continue to recommend to the city councils of their respective municipalities to contribute annually to the intermodal over the next few years. City and county governments can commit funds on a year at a time basis, unless money is borrowed by the individual entity in accordance to law or bonds are issued by a vote of the people.
Intermodal Board member Roger George asked if there was any way to repay the cities and counties for dollars each has contributed, should the authority generate future income? Any such decision would require intermodal board action. The authority is not mandated to repay the locasl governments. It should be noted that the intermodal is an independent legal body under state law. There is no requirement for the cities and counties to be libel for funds owed by the authority.
There was also discussion of how to cover ongoing expenses once the construction work is completed. There may be electrical bills and other utility cost to be paid monthly.
Board members talked about the hoped for future benefits of the intermodal industrial park and the purpose of the project to create jobs and produce economic growth for the region. The desire is to bring private business into the intermodal park and create revenue. An agreement was made at the time the intermodal was formed to share any tax money generated among the four governmental entities that formed the authority. It was noted by several members that the intermodal park has now been equipped with several million dollars of infrastructure including rail facilities, water/sewer lines, a road and, an elevated water tank.
Throughout the meeting there was not a quorum in attendance for the meeting. All motions were approved by a vote including one by telephone.
There was considerable discussion, as there was in October, concerning how the note would be paid off in the future. It was clear from the comments made that the intermodal board expects the cities of Warren and Monticello and the counties of Bradley and Drew, or some combination thereof to eventually pay the funds owed. As has been previously reported, Warren, Monticello and Drew County have been budgeting or appropriating funds each year to contribute to the authority, but none have committed to paying off the loan or accepting legal responsibility for the bank note. Bradley County has not paid utilizing county general funds in several years and has not budgeted general funds to the authority over the past few years.
The intermodal lists amounts owed by the cities and counties on its financial reports monthly. The November, 18th report showed the following amounts:
Monticello-$64,275.57
Warren-$65,613,13
Drew County-$112,718. 36
Bradley County-$182, 618.88
The Mayors of Warren and Monticello have both stated they intend to continue to recommend to the city councils of their respective municipalities to contribute annually to the intermodal over the next few years. City and county governments can commit funds on a year at a time basis, unless money is borrowed by the individual entity in accordance to law or bonds are issued by a vote of the people.
Intermodal Board member Roger George asked if there was any way to repay the cities and counties for dollars each has contributed, should the authority generate future income? Any such decision would require intermodal board action. The authority is not mandated to repay the locasl governments. It should be noted that the intermodal is an independent legal body under state law. There is no requirement for the cities and counties to be libel for funds owed by the authority.
There was also discussion of how to cover ongoing expenses once the construction work is completed. There may be electrical bills and other utility cost to be paid monthly.
Board members talked about the hoped for future benefits of the intermodal industrial park and the purpose of the project to create jobs and produce economic growth for the region. The desire is to bring private business into the intermodal park and create revenue. An agreement was made at the time the intermodal was formed to share any tax money generated among the four governmental entities that formed the authority. It was noted by several members that the intermodal park has now been equipped with several million dollars of infrastructure including rail facilities, water/sewer lines, a road and, an elevated water tank.
Throughout the meeting there was not a quorum in attendance for the meeting. All motions were approved by a vote including one by telephone.
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