The Leitchfield City Council on Monday, May 2 approved an ordinance that will allow Leitchfield to issue bonds of up to $3,800,000 to finance the cost of its new Ball Park Complex and Public Works maintenance facility.
Leitchfield Finance Officer Erin Embry provided the second and final reading of the ordinance summary during the regular May 2 City Council meeting.
While the ordinance allows for the issuance of a maximum principal amount of $3,800,000 of bonds for the Public Works maintenance facility and Ball Park complex projects, officials expect the actual cost of the project to be between $3,200,000 and $3,500,000.
In addition, the ordinance authorizes the city to refinance its remaining bond issue on Ronald Hudson Leitchfield Fire Station 1.
The city currently owes $1,495,000 (subject to adjustment upward by an amount not to exceed 10 percent or downward by any amount) on Fire Station 1.
Officials state that, if the bond issue is refinanced now, the City of Leitchfield has the opportunity to save about $10,000 per year, and, given that the last payment date has been set for Nov. 1, 2026, total savings are estimated to be about $110,000.
However, given that market prices fluctuate, if it is determined that the bond issue cannot be refinanced in a manner that will save the city money, the bond refinancing will be postponed until such a time that it can.
The ordinance authorizes the bonds in question to be sold by public competitive sale; Leitchfield Mayor William Thomason to open the bids and accept the successful bid on behalf of the city; and the city to levy an annual tax to the extent necessary to fund an annual payment on the bonds.
The City of Leitchfield is expected to begin selling the bonds the week of May 16 and close the sale on June 2.
Reach Matt Lasley at 270-259-9622, ext. 2015.