Muskegon County Wastewater to take on $4 million more in debt

Muskegon County Wastewater to take on $4 million more in debt | MLive.com: "MUSKEGON, MI – Muskegon County is poised to borrow $4 million and give townships a year off from increasing the wholesale sewer rates it charges them.
The Muskegon County Board of Public Works on Thursday, Sept. 11 gave preliminary approval to a budget for the Muskegon County Wastewater Management System.
The board voted in favor of a plan to sell $4 million in bonds for capital improvements and take a year off from increasing its rates.
The rates would resume at increasing at 4.9 percent per year for 2016-2019 under the plan.
Utility Financial Solutions Vice President Dawn Lund – a third-party consultant brought in to evaluate the wastewater system's finances -- earlier recommended against taking on more debt.
The system has about $65 million in debt and its remaining equity is worth roughly the same amount, she said.
But the Board of Public Works chairman Terry Sabo said that without the $4 million in bond money, the wastewater system's funds for emergency repairs would be a bit thin over the coming year.
"It worries me a little bit," Sabo said."