145.2015 Approving WGF Fire Purchase - Rescue Pumper RESOLUTION APPROVING WEST GLENS FALLS VOLUNTEER FIRE
COMPANY, INC.'S PROPOSAL TO PURCHASE RESCUE PUMPER AND
AUTHORIZING INCURRENCE OF TAX-FREE
FINANCING/DEBT FOR SUCH PURCHASE
RESOLUTION NO.: 145,2015
INTRODUCED BY: Mr. Doug Irish
WHO MOVED FOR ITS ADOPTION
SECONDED BY: Mr.William VanNess
WHEREAS, the Town of Queensbury and the West Glens Falls Volunteer Fire Company, Inc.
(Fire Company) have entered into an Agreement for fire protection services, which Agreement sets
forth a number of terms and conditions including a condition that the Fire Company will not purchase
or enter into any binding contract to purchase any piece of apparatus, equipment, vehicles, real
property, or make any improvements that would require the Fire Company to acquire a loan or
mortgage or use money placed in a "vehicles fund" without prior approval of the Queensbury Town
Board, and
WHEREAS, the Fire Company advised the Town Board that it wishes to purchase a new
Spartan ERV Rescue Pumper (Truck) from the Arrowhead Equipment, Inc. Fire Rescue Division
to replace a 1991 Saulsbury apparatus for the approximate purchase price not to exceed
$595,000, such purchase already included in the Fire Company's five (5) year capital plan that
forecasts future capital needs and expenditures, including anticipated vehicles, equipment, tools,
other apparatus, facilities or improvements to facilities to be used for firematic purposes, and
WHEREAS, proceeds from the sales of the Fire Company's replaced apparatus would be
placed either: 1) against the principal of the new, proposed Truck; and/or 2) toward creation of a
vehicle replacement line item in the Fire Company's budget, and
WHEREAS, once the new Truck is placed into service, the Fire Company will remove the
replaced apparatus from service and sell it after all potential warranty/service issues are resolved with
the new Truck, and
WHEREAS, the Fire Company plans on paying for the proposed, new Truck by refinancing,
modifying and extending its current business loan#6196801 with Glens Falls National Bank and Trust
Company in order to cash out equity for the purpose of purchasing the new truck and all associated
equipment, such financing to be an amount up to $1,240,000 but limited to 65% of the appraised value
of the property to be mortgaged, with such tax-exempt financing having a 5 year fixed rate of 3.25%,
then adjusting at five year intervals to 67% of the total of the five year Federal Home Loan Bank of
New York regular fixed advance rate plus 275 basis points for an estimated monthly payment amount
of$8,743, and
WHEREAS, the Truck will be owned and used by the Fire Company to provide fire protection
to the Town and maintained at its firehouse(s)located in the Town of Queensbury,New York,
WHEREAS, Town Board approval of such proposed purchase is required by the Fire
Company's Agreement with the Town, and such proposed tax-exempt financing/refinancing requires a
public hearing under the Internal Revenue Code, and
WHEREAS, on Monday, April 20t', 2015, the Town Board held a public hearing
concerning the Fire Company's proposed purchase and tax-exempt financing/refinancing as
required by the Fire Company's Agreement with the Town and the Internal Revenue Code and
heard all interested persons, and
WHEREAS, the Town Board believes that this new Truck will provide additional safety
protection for the Town while eliminating an aging apparatus from the Fire Company's fleet and also
believes it to be necessary, financially beneficial and in the public interest to consider such refinancing,
and
WHEREAS, the Town Board therefore wishes to adopt a Resolution authorizing such
Truck purchase and the Fire Company's corresponding incurrence of tax-exempt debt and
financing/refinancing,
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NOW, THEREFORE, BE IT
RESOLVED, that the Queensbury Town Board hereby approves of the West Glens Falls
Volunteer Fire Company, Inc.'s proposal to purchase a new Spartan ERV Rescue Pumper (Truck)
to replace a 1991 Saulsbury apparatus as set forth in the preambles of this Resolution for an amount
not to exceed $595,000, such purchase already included in the Fire Company's five (5) year
capital plan that forecasts future capital needs and expenditures, including anticipated vehicles,
equipment, tools, other apparatus, facilities or improvements to facilities to be used for firematic
purposes, and
BE IT FURTHER,
RESOLVED, that the Town Board further approves of the Fire Company's incurrence of
approximately $595,000 maximum amount in debt for such purchase with the understanding that the
Town Board is relying upon the Fire Company's assurance that the Truck is serviceable and suitable
for its long-term intended use, and approves of the refinancing, modifying and extending of the Fire
Company's current business loan #6196801 with Glens Falls National Bank and Trust Company in
order to cash out equity for the purpose of purchasing the new truck and all associated equipment,
such financing to be an amount up to $1,240,000 but limited to 65% of the appraised value of the
property to be mortgaged, with such tax-exempt financing having a 5 year fixed rate of 3.25%, then
adjusting at five year intervals to 67% of the total of the five year Federal Home Loan Bank of New
York regular fixed advance rate plus 275 basis points for an estimated monthly payment amount of
$8,743, and
BE IT FURTHER,
RESOLVED, that the Town of Queensbury does not guarantee such debt with the
financial institution on behalf of the Fire Company nor does the Town Board create or intend to
create any assumption on the part of the Town of Queensbury of any obligation or liability for the
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financing, and
BE IT FURTHER,
RESOLVED, that the Town Board authorizes and directs the Town Supervisor and/or Budget
Officer to take any actions necessary to effectuate the terms of this Resolution.
Duly adopted this 20'h day of April, 2015 by the following vote:
AYES Mr. VanNess, Mr. Strough, Mr. Clements, Mr. Irish
NOES None
ABSENT: Mr. Metivier
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