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- 🚨Wyo takes out $5M, 20-yr loan - Wyo Boro Council Updates
🚨Wyo takes out $5M, 20-yr loan - Wyo Boro Council Updates
Dr. Angela Adler
October 09, 2024 • Estimated Reading Time: 7 minutes
In partnership with
Wyomissing Borough Council met on Tuesday October 8th. Discussion included approving taking out a $5M loan with a 20-year term to refinance the newly built Public Works garage, the first time Wyomissing Borough has taken out a long-term loan.
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$5 Million Loan, 20-Year Term
At the October 8th meeting, Wyomissing Borough Council approved taking out a $5M loan with a 20-year term to refinance the newly built Public Works garage.
Debt service payments on the loan will be $365,000 annually. Total principal and interest to be paid over the life of the loan is over $7M.
The loan is through Webster Bank, a Connecticut-based lender that gives loans to Pennsylvania municipalities.
First Long-Term Loan for Wyomissing Borough
Councilmember Stephen Brunner made a statement before the vote that this is the first time Wyomissing Borough has taken out a long-term loan. See Councilmember Brunner’s full statement here.
Long-Term Loan was a Requirement for State Grant that Partially Funds New Public Works Garage
Councilmember Brunner added that taking out the long-term loan was a prerequisite for receiving a grant from the state to fund a portion of the Public Works garage project. See Councilmember Brunner’s full statement here.
The grant has not yet been received.
Borough Manager Michele Bare has stated in previous meetings that the anticipated size of the grant is between $2.1M and $2.6M.
If and when the grant is received, the terms of the long-term loan allow for a lump-sum payment.
This lump sum payment may reduce the debt service payments to $280,000 annually, and reduce the loan term to 14 years.
$750,000 Excess Funds from Grant
$750,000 of the $5M loan is in excess of what has been spent on the newly constructed Public Works garage. This excess will be deposited in borough accounts.
For more details:
Wyomissing Borough Council Updates
Fire Prevention Open House
Other business discussed during the October 8th Wyomissing Borough Council meeting included:
Wyomissing Borough currently $1M over budget, per Councilmember Stephen Brunner, due in large part to fire truck and street sweeper purchases
Fire Prevention Open House tonight at 6pm at the Wyomissing Fire Department
package theft prevention information posted on Wyomissing Police Department social media
notification that State Hill Craft Cocktails & Kitchen has satisfied requirements and can have permits issued for construction
approved ordinances regulating cats at large and animal defecation
Stone House construction won’t be completed by the Lighting of the Greens but the event should proceed as scheduled anyway
a hydraulic issue with the new street sweeper was covered under warranty
denied request to allow Safe Berks to put purple ribbons on borough stop signs for Domestic Violence Prevention Month in October
Fire & Police Committee considered this a slippery-slope request
noted that the council is against domestic violence and will do whatever they can to prevent it, but will not allow the ribbons
approved new members and alternates to Park and Shade Tree Commission and Zoning Hearing Board