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Bond Rating

Thursday, January 31, 2013

Voter Referendum Not Possible for Community Center Project

Montgomery Township also boosted its bond rating to AA+, which allows it to borrow a $10 million bond to help fund construction of a proposed community center

Montgomery Township Solicitor Frank Bartle informed the public Monday that — while it has been a suggestion at the behest of few residents — a referendum on the November 2013 ballot on whether a township community center should be built is not possible, according to The Reporter. Bartle told the public Monday that a binding referendum must be laid out by statute, which indicated “what matters need to be by binding referendum.” “This is not one of those matters,” Bartle said in the article by Dan Sokil. A public library question was the issue of a previous referendum vote, but that was subject to a referendum by state law. The potential community center is not an issue subject to a referendum by state law, according to the article. …

John Q Public

11:54 am on Thursday, January 31, 2013

Montgomery township will get to compete with the Community Center in Lansdale, which is also in trouble. They are the same distance for me. Montgomery Township does not even have a leaf and chip recycling center, while encouraging the proliferation of trees. Many more people in this community have trees than the need for a public space. When do these people come up for re-election?   more ›

Thursday, December 13, 2012

Montgomery's Potential Rec Center Payment Plan

Township Manager Larry Gregan outlined the township's potential plan to fund a $9.6 million community center, which includes boosting its bond market rating to AAA

Township Manager Larry Gregan Monday night laid out the township’s plan on how it’s going to potentially pay for a project that the township estimates will cost $9.65 million. First, it will borrow $5.3 million in bonds, at a 2.5 percent interest rate, for 30 years. Second, it will look to finance a 2012 open space loan of $5.5 million at a locked-in 2.5 percent interest rate for 30 years. The loan, at present, is a 20-year loan at 2.5 percent, with a 7-year reset. The township will soon begin talks with Standard & Poor to boost its bond rating from AA+ to AAA. “We are looking to take advantage of the all-time historic lows in the municipal bond market. (Market rates for bonds for AAA and AA rates) dropped in half — an average of 4.6 to 4.…

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