Refinancing of bonds could save $200,000

Council also seeks grant, eyes loan

Wilkinsburg could save up to $200,000 by refinancing some of its bonds, according to borough officials.

Council voted unanimously Aug. 3 to hire RBC Capital Markets to develop a plan to refinance the bonds. Wayne Gerhold was hired as bond counsel.

“We have a number of general obligation bonds we are looking to refinance” with lower interest rates, Patrick Shattuck, council president, said at the meeting.

Council also voted unanimously to apply for $150,000 in Community Development Block Grant funding to pay to demolish blighted buildings in the borough.

Council members, however, voted against holding a voter referendum on whether the borough should apply for a $2 million loan for road paving from the Pennsylvania Infrastructure Bank, which provides low-interest loans to municipalities for transportation projects.

The loan would require an increase in the property tax rate of about 0.33 mills, and the borough would have to pay back more than $500,000 during the next year.

“I’m in favor of a referendum,” council vice president Marita Garrett said before the. “Ultimately [residents] will have a hand in that decision.”

Councilwoman Pamela Macklin opposed a referendum.

“A lot of people will say, ‘Are you doing my street?’” she said. Ms. Macklin said that could lead to residents thinking the tax is unfair if their street is not going to be paved.

Councilman Marc Taiani said he was against any new tax.

“We simply have to live within our means,” he said. “I’ll oppose any imposition in millage increase.”

The vote to reject the referendum was 5-3, with Michael Lefebvre, Kate Grannemann, Vanessa McCarthy-Johnson, Ms. Macklin and Paige Trice opposed. Mr. Taiani, Ms. Garrett and Michael Rose voted in favor, and Mr. Shattuck abstained.

Mr. Shattuck said after the meeting that council will further discuss the loan and make a decision on whether to apply for it after the 2017 budget is passed in December. The deadline for applying for the loan is February 2017.

During the public comment portion of the meeting, Brother Alfred Shields announced a back-to-school event where free school supplies will be handed out to children. The event also will offer informational booths, hair cuts, food, a bounce house, music, dance groups and inspirational speakers from various faiths.

The event will be held from 1 to 7 p.m. Aug. 28 at South Avenue and Elvia Way in Wilkinsburg. It is sponsored by Iron Sharpens Iron, Shake the Foundation and Stand in Hand