Aldermen OK limits for bond sale
Published 12:00 am Tuesday, November 9, 1999
The board of aldermen approved a resolution Tuesday setting parameters for the bond sale which will help fund the new convention center.
But Alderwoman Joyce Arceneaux voted against the resolution because she said there is not &uot;meaningful minority representation&uot; among the city’s bond attorneys.
The parameters resolution sets upper limits of 7 percent for the interest rate and 30 years for the life of the bond issue, but Mayor Larry L. &uot;Butch&uot; Brown said the city expects better numbers. &uot;We’re not expecting any of those numbers,&uot; he said.
Brown said the interest rate would probably be around 5.75 percent, and the length of the bond issue would be about 25 years.
The law firm working on the project is Butler Snow and O’Meara of Jackson. Alderman George Harden pointed out that former agriculture secretary Mike Espy, who is black, is a member of the law firm. Don Clark is the bond attorney.
Grubbs and Holley is the city’s financial advising firm, and Demery Grubbs is the city’s financial advisor.
The bond sale is expected to generate the $12 million for the convention center and renovations to the city auditorium and to Service Motor Company, which will be turned into a community center. The convention center is expected to be completed by spring 2001, and the auditorium and community center are expected to be ready next spring.
In other business, the board:
n Fired a member of the Natchez&160;Police Department who was only identified by his employee number, 301158. City Attorney Walter Brown said the employee can appeal his termination. Brown said the employee was cited for alleged rules violations, including disrespect to fellow officers. If he appeals he will have a hearing before the Civil Service Commission, Brown said.
n Modified an agreement on a sewer system with the developers of Beau Pr\u00E9. City Engineer David Gardner said the sewer system built at the site was to have been designed for 450 gallons per minute, but will only accommodate 220 gallons per minute. The original agreement called for the system, designed by Jordan Kaiser Session, to have accommodated the 450 gallons per minute, Gardner said.
&uot;This system is not doing what it was designed to do,&uot; he said. &uot;It will max out sooner than expected.&uot;
The new agreement calls for Beau Pr\u00E9 developers, or any other developer which continues building on the property, to be responsible for upgrading the system when it is needed. Right now, Gardner said, the system only serves the country club and about four or five houses. He did not expect the upgrade to be needed for another five to 10 years.
n Heard from attorney Brown that the city will ask the state to release the $3.2 million in matching funds the Legislature granted last spring for bluff stabilization work.
The money will go to the U.S. Army Corps of Engineers to be administered.