COM 0636.001 1996-1998 - Laserfiche WebLink

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w w ~o~ o aS3.~ ~y.<N,~o,~ : Yam~.shiro wants a 0 R O s 0 a -wi C~ ° m P y ry w ° ~ ° ° y ~ ° ~ ~ w. ~ ~ to borrow record yof0~^n'3< a~orowy~o~p~lC Hwy x~w o' 3~£esoa~,~ ~ $40 million - ~ ~ ~ ° ° ° ~ w E ~ o y P3' ~ D ~ By JASON ARMSTRONG o ~ a ° 3'~ K ° d: ~ " ^n ~'c'c 3 ~ West Hawaii Today w `1 ~ ~ y o ^ w ~ ° a ° HILO -Mayor Stephen Yamashiro wants to i ° w $ _ 3 c, o w c m ~ ~ ~ y ~ borrow a record $40 million for unspecified con- ~ a a o ~ N s y py ~ o o ~ s[ruction projects a[ a time when Hawaii County is 'o°' w 3 ~ w o ~ m ~ ~ 00 ~ facing declining revenues and reduced slate grants. p• ~ ' : a = 3 y' aO ° (n Council members, who [his week debated award- w < - £ z o S ing 5 percent pay raises to 525 of the county's ~ ~ 3 'o' m w : ~ o o n' ~ ~ w ~ unionized workers, said they want to know the full ,9 ~ o ~ c 3 ~ a ~ 3,~ ~ w 3 o c a m financial impact before approving [he largest In:m 3 c ~ a~ g ~ ~ ~ _ a ~ w ? ~ in county history. C When asked about the timing of Yamashiro s ~o ^ m o O ' ~ ~ ~ a~' ° 7 0 ~ o w ~ s a ~ request to bortow up to $40 million, finance admin- ^d.< a o. ^ ~ £ 'off is[ta[ors declined comment, and did not attempt to g ~ o, ~ ° c ~ ~ c o 3' m ~ defend the proposal. _ Q ~o - c ~ £ Yamashiro could spend the money on any of an -v°o o E ° ~ o w ~ £ w ~ m ~ ' ~ m ~ estimated 100 approved projects totaling more than c < °a ° w n ° 3 ~ o ~ $100 million. p £ ° io °c ° 3t S m ~ y ° The county currently is repaying $108 million in m S ° ° £ o ~ w o ~'o o a a ~ private loans and $27.7 million i[ borrowed from o ^ e 3 ° ~ ~ ~ ~ ~ ~ c ~ ~ ~ O [he state, which amount to $16.9 million in yearly ao - . p~ c 3 principal and interest charges, Finance Director 3"3 ~ ~ ~ ° o o N~w' ~ Harry Takahashi said. . ' ° w ~ 3 ~ g° ~ ~ ~ w E. ~ We are currently running out of funds to allot;' a 3 ~ "0co° c 3 `D w^ ~ g ~ m Takahashi said. .~7 " " o q ° ° N a ~ The county is expecting a 20-year loan ut about C 5.3 rcent annual interest, which would result in a 2 a ° o a 3 ~ o_ ° o a ^ ° ~ total cost of $67 million, Treasurer Frank Manalili £ E ~ 3 w o £ ac said. 3 ~ ~ ° w o' ~ c ~ ~ w, °^S The loan will no[ threaten the county's favorable _ a ; w ~ T ~ ~ ~ ~ w "A" credit rating, which allows it [o borrow money 0 0 o ~ " c w ~ ~ ~ ^v a[ relatively low interest rates, Manalili said. ^ 9 a ~ o c ~ r9 ° 3 ° o ~ The money, until i[ is spent, will go into an intcr- ~ ~ " ~b9, O0 ~ 3 f9 'o est-bearing account to offset some of the early ~ ~ a ~ 3' ? ~ ' ~ a ? ? C interest charges, he added. Taxpayers will be charged about $75,OW, based on the cos[ of the county's $30 million bond Moat in 1996, to sell the government bonds, he said. Manalili declined to comment on whether the county should increase its debt while economic See LAWMAKERS: Page 4A I