Coun. Brian Swanson brought up the issue of city debt during Monday's 10-minute council meeting that six members of the public observed from the gallery and every council member but Coun. Al Schwinghamer attended.
Upon receiving a written administration response to an inquiry he made, Swanson noted that, while the City of Moose Jaw had zero debt a couple years ago, it currently has $39.15 million in debt.
Of the current debt, the city borrowed $16.7 million for the sanitary sewer utility, $1.622 million for the Westheath Subdivision and $20.828 million for multiplex construction.
In total, the city will have to pay about $1.724 million interest on that debt in 2010, which Swanson said is approximately $600,000 more than the engineering department budget per year.
Swanson airs concerns about city's debt at council meeting
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Comments
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- Regina Ron
- - September 18, 2009 at 15:04:44
Like most people who were raised in Moose Jaw, Ive watched this Multiplex drama develop for the last couple of years. And even though I am a blood relative and a good friend of one of your city councillors, I am completely unbiased in my opinions.
There are a few things about this historical decision that I find fascinating.
One is that the majority of the electorate voted for this project several years ago.
Two is that the city chose to ignore the advice that the majority of the consultants they hired gave them.
Three is that many of the bylaws that were instituted to protect the citizens of Moose Jaw were ignored.
Four is that a project of this magnitude was surely to put the taxpayers between a rock and very hard place, for many, many years to come.
And, lastly, given the opportunity to vote this project down after learning all of these things, the electorate, once again gave the city a solid mandate to move ahead with this venture. Yet, despite this impressive endorsement, many seem unwilling to give up the ghost. Brian Swanson had a few years to make his points and, regardless of any validity, the taxpayers have asked the city to proceed.
It is time for Swanson to cease thrashing this dead horse. His job now is to keep the city accountable in progressing with this important project. He has had his say. Now, he must get with the majority of the voters or get out. -
- What?
- - September 18, 2009 at 14:52:03
Didn't ya hear theressecions over, nxt yr interest is back to normal.
This is progress? -
- seymour
- - September 18, 2009 at 14:49:53
Darn that Swanson! Imagine bringing facts up at a council meeting!!! The nerve.
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- Edgar
- - September 18, 2009 at 14:40:26
yawn!
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- Stuck In
- - September 18, 2009 at 14:38:33
councillor Swanson forgot to mention that the reason the City borrows rather than using the surplus they have is that they are making more interest on their investments than what they pay out on loan interest.
Therefore they are in a postive cash position by borrowing. -
- Stick
- - September 18, 2009 at 14:33:50
Can we take that 16.7 million sewer expansion out and sell it for scrap? It goes to a beef packers now with nothing in it!
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- A supporter
- - September 18, 2009 at 13:54:50
Darn that Swanson! Imagine ignoring facts for the purpose of getting the population all riled up over nothing!
Brian is a well educated man, no doubt about it. But you can tell he never took Mathematics of Finance . Stuck in Moose Jaw says it all.... -
- Stevo
- - September 18, 2009 at 13:40:24
I wonder what Ditto Doll had to say about this?
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- observer
- - September 18, 2009 at 13:39:54
Wow, $1,724,000.00 that is a huge chunk of change.
Hopefully for you Moose Jaw taxpayers, interest rates don`t go up any time soon. LOL -
- Stick
- - September 18, 2009 at 13:14:51
Positive Cash Flow - ?????
So we are making more money on our investments then we are paying in interest on our loans???
Please bring me up to speed - I will borrow a million dollars from the bank and invest it and make more money - Are you a member of Amway? -
- another dave
- - September 18, 2009 at 12:58:03
Just the usual rant from Brian. If you can't complain then it's not worth saying anything at all. Then again, B.S. could be getting ready for election in the fall.
