County seeks loans for construction and equipment

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Sandoval County Rob Burpo speaks with county commissioners on Thursday at a commission meeting. Photo by Matt Hollinshead.

BERNALILLO – The Sandoval County Commission has voted to provide a loan to complete a new public security building, an animal shelter, and pay for road equipment and sheriff’s official vehicles.
At their meeting on Thursday in the district administration building, the commission members unanimously approved a resolution declaring their intention to consider a loan from Century Bank, which will be repaid from tax proceeds from gross proceeds.
The ten-year $ 4 million construction loan will be used to cover cost overruns for the construction of a public safety building and start construction of a new animal shelter. The $ 2.75 million four-year equipment loan will be used to pay for road equipment and the sheriff’s official vehicles.
County financial advisor Rob Burpo said during a commission meeting on Thursday that there is no tax hike, only different ways of using existing revenues.
Bourpeau, president of First American Financial Advisors, told the Observer that he looked into PILT bonds, but the terms of use of PILT money were not as favorable as with the Century Bank loan, which includes gross proceeds. taxes.
He also said the PILT-based borrowing would require approval from the New Mexico Treasury Department, which was not particularly happy about the animal shelter.
“They have a certain course of action,” Bourpeau said in an interview with the Observer. “That’s the situation with that.”
He told the commission that the last equipment loan used by the county was in 2012.
“We now have five or six large pieces of equipment that really have to be paid for, and the budget does not have the cash to be just cash,” Burpo said.
He also said that early repayment of GRT loans would not incur penalties and the county could reallocate the borrowed money to other 10-year projects if commissioners end up using a different source of funding to build the building and equipment.
The distribution of money will be:
• Approximately $ 1.82 million in cost overruns for public safety buildings;
• $ 2.15 million for an animal shelter;
• About $ 2.38 million for road equipment;
• $ 320,000 for Sheriff’s cars; and
• The total cost of issuing loans is approximately US $ 78,600.




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