Share This Page

Lower Tyrone enters into debt agreement

| Saturday, Oct. 13, 2012, 12:02 a.m.

Lower Tyrone supervisors this week passed a motion to enter into a debt agreement to guarantee a loan for the North Fayette County Municipal Authority.

Attorney Linda Hackett of Thorp Reed & Armstrong outlined the proposed guarantee that would help secure financing through the Rural Utility Service Program.

North Fayette County Municipal Authority acquired interim financing, and now that the water project in the area is completed, RUS is offering a lower finance rate if Lower Tyrone and Perry townships agree to guarantee the loan, which totals $967,000.

Lower Tyrone will be responsible for guaranteeing 72 percent of the loan, which equals $696,240.

“I am here on behalf of my firm to request that you consider this guarantee,” Hackett said.

Supervisors voiced concerns about the possibility of having to repay the loan. Township solicitor Melinda Dellarose of Davis and Davis said the township ever having to pay anything toward the loan is unlikely.

“It would be under unusual circumstances that the township would be responsible,” Dellarose said. “Your lines are in and the project is done. You are guaranteeing it, but the authority should be managed well enough to cover it.”

Supervisor Sean Ferris asked if the guaranteeing of the loan would be a reflection on the credit of the township if supervisors were to seek financing down the road for road work or equipment.

“We don't want to put ourselves into a position where we can't borrow money if we have to,” Ferris said.

“It's a lot of money,” Supervisor John Anderson said. “It's scary.”

Anderson and Ferris agreed to the motion with Supervisor Ken Frye voting no.

Resident Emma Jane Davis voiced her concerns about neighboring townships' discussions about possibly permitting ATVs on township roads.

“I think that we need to now stop this,” Davis said. “We already have enough ATVs on the road that aren't allowed. We don't need any more ATVs.”

Township resident Linda Cottom asked supervisors for help with the ongoing illegal dumping in the area.

“I'm still concerned about the illegal dumping in our township,”' Cottom said. “Is there anything that we can do to control it?”

Supervisors said they plan to place signage and littering fine information in problem areas.

Supervisors passed a new dangerous dog ordinance and decided to table a proposal from Chevron which requested a heavy hauling agreement with the township. Supervisors said they were going to research the request further.

Marilyn Forbes is a freelance writer.

TribLIVE commenting policy

You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.

We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.

While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.

We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers

We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.

We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.

We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.

We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.