#036;4 million bond transferred from Troy to city BOE
Four million dollars was added onto the City of Troy’s net worth Tuesday with the removal of the debt resulting from the secondary liability of a school bond issue.
The secondary liability for a $4 million school bond issue was transferred from the city of Troy to the Troy City Board of Education at Tuesday’s meeting of the Troy City Council.
Alton Starling, city clerk, said in order for the Troy Board of Education to borrow money to build Troy Elementary School in 1988, the board of education needed the good faith credit of the city.
"At that time, the school board could only pledge revenue from the ad valorem tax which was in effect for 13 more years – from 1988 through 2001," Starling said. "The length on the bond issue was greater than that, so the City of Troy assumed secondary liability for the loan. With the recent passing of the ad valorem tax for another 29 years, the Troy Board of Education no longer needs the backing of the good faith credit of the city, so that secondary debt is now removed from the city’s books."
Hank Jones, superintendent of Troy City Schools, expressed appreciation to the Troy City Council for their support over the years and their continued support in years to come.
"The cooperation between the city of Troy and the Troy City Board of Education has been invaluable," Jones said. "The city’s attitude has always been ‘what can we do and how can we help’ and we thank you for all you do for our children."
In the absence of Mayor Jimmy Lunsford, who was out of town on city business, John Witherington, council member, presented a proclamation to the Troy State University Environmental Club in recognition of Earth Day, April 23, and the club’s efforts to enhance the environment and bring awareness to environmental issues.
Bonnie Hamiter accepted the proclamation on behalf of the TSU Environmental Club and reported on several projects the club has planned for Earth Day Week.
Plans for the week include cleaning the nature trail at Troy Elementary School and the trail at the TSU Arboretum and tree plantings with the Troy Mayor Jimmy Lunsford and Dr. Jack Hawkins Jr., chancellor of the Troy State University System.
In other business:
· Jennifer Martin, director of special projects for the city, reported the kickoff for the city-wide anti-litter campaign will be at 10 a.m. Thursday at Troy Elementary School and a tree planting ceremony is planned for 3 p.m Thursday at Murphree Park.
· The council passed a resolution regarding the Municipal Water Pollution Prevention Program.