HomeMy WebLinkAbout#15 Payoff of Building Department Vehicle Loan
MAYOR & COUNCIL COMMUNICATION
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DATE: September 20, 2016
CONSENT
ITEM #15
MOTION
AGENDA ITEM: Approve Payoff of Existing Building Department Vehicle Loan
SUBMITTED BY: Cathy Bendel, Finance Director
THROUGH: Cathy Bendel, Finance Director
REVIEWED BY: Kristina Handt, City Administrator
Finance Committee
SUGGESTED ORDER OF BUSINESS:
- Introduction of Item………………………………………...City Administrator
- Report/Presentation…………………………………………City Administrator
- Questions from Council to Staff ............................................. Mayor Facilitates
- Call for Motion ............................................................... Mayor & City Council
- Discussion ....................................................................... Mayor & City Council
- Action on Motion .................................................................... Mayor Facilitates
POLICY RECOMMENDER: Finance
FISCAL IMPACT: Interest savings of approximately $800 plus staff time savings
SUMMARY AND ACTION REQUESTED: As part of its Consent Agenda, the City Council
is asked to approve paying in full the loan on the 2015 Jeep Cherokee (Loan #22830) with Lake
Elmo Bank. This has been discussed with the Finance Committee who agrees with this
recommendation. No specific motion is needed as this is recommended to be part of the overall
approval of the Consent Agenda.
BACKGROUND INFORMATION AND STAFF REPORT: In 2015, staff proposed taking
out a loan to purchase the 2015 Jeep Cherokee for the Building Department. The Fin ance
Committee recently proposed spending down and discontinuing the use of the Vehicle Reserve
fund. The current balance in the fund is approximately $65k.
RECOMMENDATION: Staff recommends using $18.5k of the vehicle replacement fund to
pay off the remaining principal balance on Loan #22830 with Lake Elmo Bank.