The $4.2 million in bonds for the Downtown Development Authority’s projects this summer are expected to be officially sold this week with a 4.11% interest rate.
At Monday’s City Council meeting, Mayor Richard Smith said the city was expecting an 8% interest rate, so this is a very welcome turn of events.
He said after the sale is officially closed, documentation relating to the bonds will be available.
Mayor Smith said that a little more than two years ago, the DDA made the decision to upgrade Main Street with a new road, new water main, and new streetscape.
“There were many obstacles that had to be overcome,” he said, obviously referring to the referendum required by voters that turned down the original plans.
Because the timeline was extended, the city ended up with grants totaling about $1.2 million for the streetscape and a new Main Street, and very competitive bidding because of the economy and contractors needing work. The “A-Stable” credit rating brought a low interest rate.
It’s a very opportune time for Belleville to invest in Belleville, Mayor Smith said.
“If we want to attract people and business to Belleville, we need an attractive Belleville. Belleville needs to improve its infrastructure and appearance,” he said.
“Now is the time to complete the DDA projects and move Belleville forward,” Mayor Smith said.
Mayor Pro Tem Rick Dawson said he wanted to publicly commend this administration for the bond rating, noting that going from a BBB rating to a solid A is “phenomenal.”
City Manager Diana Kollmeyer said the department heads have been very, very careful with what they spend, and they deserve credit for their efforts.