KINGMAN - A goal to look into consolidating and extending two loans totaling nearly $50 million the city took out to pay for upgrades to the Downtown and Hilltop wastewater treatment plants a few years ago moved forward at Tuesday's meeting.
The idea behind the effort is twofold:
The city obtained loans of about $14.4 million and $33.7 million in 2011 and 2012 to complete the upgrades through the state's Water Infrastructure Finance Authority (WIFA). By consolidating and extending, the city might save money in lower interest rates and it also would allow the city to have funding available in the future for additional infrastructure improvements.
Currently, the city owes about $13.1 million on the Downtown plant, with 16 years remaining on the loan. The Hilltop plant's balance is nearly $28 million with 14 years remaining.
Finance Director Tina Moline sought direction on whether or not to continue her department's research into the issue and Mayor Richard Anderson and the City Council supported moving forward.
Councilwoman Jen Miles warned that extending the time to pay off the loan might not necessarily save the city money.