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Should county take out loan for EOC? It’s up to Jolivette

It now falls to Butler County Commission President Gregory Jolivette to decide whether to jump on a low-interest financing opportunity for a new Emergency Operations Center, or if the county is already saddled with too much debt.

There’s $3 million in the balance, and less than a week to make the decision.

Commissioner Charles Furmon favors the loan, which has an interest rate of only 3.34 percent because it’s backed by the federal stimulus program.

The county had decided to build a new EOC in coming years anyway, he argued at a work session Monday, Jan. 25, so why not do it while interest rates are low and construction costs are cheap?

“You don’t think about the importance of being prepared until the need arises,” he said, referencing the failure of the current EOC to activate after hurricane-force winds battered the county in 2008.

Many — including the cramped EOC in a back office of the Government Services Center in Hamilton — were without power after the storm.

“Just imagine a larger catastrophe, like a terrorist attack of some kind,” he said.

Commissioner Donald Dixon agreed on the need for a new EOC, but said the county is already “mired in debt.”

“I just don’t think it fits in the plan right now,” he said, arguing for the county to devise a long-term capital improvement plan.

He laid blame for much of the confusion after the 2008 windstorm at the feet of the former Emergency Management Agency director, who resigned months later.

Here is an analysis of the plan by county finance officials:

EOCLoan

Analysis:

The loan would cost the county $43,339 this year — which would have to be pulled from reserves — and roughly $210,000 a year for the next 20 years. But county officials estimate it would save the county on interest, with rates possibly reaching 5.57 percent by 2012.

Work has already begun to renovate the building on Princeton Road that would house the new EOC, as well as dispatchers for the county sheriff’s office. Because of that and construction costs being driven down by the economy, county officials estimate they could finish it for $2.5 million.

“You’re probably not going to get this bid any cheaper than now,” said county Management and Budget Director Pete Landrum.

Commissioners have until the end of the month to make a decision, meaning Jolivette must decide by the Thursday, Jan. 28 meeting.

“I can see where these two guys are, I’m not sure where I am,” Jolivette said.

Permalink | Comments (12) | Post your comment |

Comments

By Bob

January 25, 2010 3:43 PM | Link to this

Upon closer reading it looks like they are building the sheriff a new dispatch center, the Journal News fails to point that out upfront. The county is financially broke and Furmon is all for borrowing $3 million dollars. Please stop spending and make do with what you have.

By Common Sense

January 25, 2010 3:50 PM | Link to this

Greg, this is a no brainer. Where is the county going to cut $210,000.00 in current spending in order to pay the annual debt for this new structure? This is like an unemployed worker buying a new care because the interest rate is low. How does he make the monthly payment?

By Wondering in Middletown

January 25, 2010 3:55 PM | Link to this

Does this mean the EMA and county are going to take over dispatch for the entire county?

By Phil

January 25, 2010 4:00 PM | Link to this

Wasn’t there once talk of using the old ECheck Building on the Westside. Why build when you already have a building?

By Paul

January 25, 2010 4:12 PM | Link to this

This has nothing to do with building an Emergency Operations Center, EMA has been asking for an EOC for years. The previous director had grants totaling in the millions of dollars committed to building an EOC and the commissioners showed no interest in building an EOC. Add a dispatch for the sheriff and they are ready to spend $3 million on a dispatch and call it an EOC.

By No More Please

January 25, 2010 4:23 PM | Link to this

Commissioners, please learn from your past mistakes. You built a large building for the Board of Election only to find out the cost of operating it was more than expected. You build a new jail, it has become a cost burden to operate and still isn’t full and now the old jail is found to be useable but is not used. Can the county really afford another white elephant to take care off?

By Chris

January 25, 2010 8:01 PM | Link to this

WAIT!! Don’t we all remember Furmon saying after the terrible wind storm last year what a great job the former Director of EMA had done and Furmon even stood up afterwords and gave him a big raise? Furmon was out of touch with the needs of the citizens than and he is out of touch with our tax dollars now!!

By SPEECHLESS

January 25, 2010 8:09 PM | Link to this

Lets get this straight. The County is fighting to stay afloat and not drown in bankruptcy. The County has laid off employees, including police officers. (but none of Furmons friends got a pink slip). Now Furmon wants to go and have the County borrow 3 million dollars to build another building? Furmon you are killing us. We have to get this guy out of there.

By Nick

January 26, 2010 10:15 AM | Link to this

What a waste of money. How many empty buildings are there in Butler County right now and the commissioners want to spend $3 million to build another building. The original idea of using the E Check building promoted by the former director made sense, building and spend $3 million does not.

By Tea Party

January 26, 2010 10:26 AM | Link to this

Hey people you’re missing the point. Furmon has made up his mind on this; Jollivette is the swing vote here. Call the Commissioner’s office and leave him a messages telling him to vote NO.

By Confused Taxpayer

January 26, 2010 10:37 AM | Link to this

I’m not clear here but it is implied that they are spending $2.5 million on the old Agriculture Building and then spending another $3 million for additional space next to that building. What are they really doing out there, what’s the rest of the story? How can the county afford $5.5 million in construction expenses right now? Was there any no bid contacts involved in these two projects?

By Ed

January 27, 2010 9:20 AM | Link to this

Commissioners you might want to wait on this until you see how much the county is going to have to pay the Mexican gentleman who had his rights violated by Sheriff Richard “Spotlight” Jones. Once he’s paid and Jones lawyers are paid we may not have money left to buy a cup of coffee.

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