347.2012 WGF EMS Refinance Building RESOLUTION AUTHORIZING WEST GLENS FALLS EMERGENCY
SQUAD, INC. TO REFINANCE SQUAD BUILDING
RESOLUTION NO.: 347,2012
INTRODUCED BY: Mr. Ronald Montesi
WHO MOVED FOR ITS ADOPTION
SECONDED BY: Mr.John Strough
WHEREAS, the Town of Queensbury and the West Glens Falls Emergency Squad, Inc.
(Squad)have entered into an Agreement for emergency services,which Agreement sets forth a number
of terms and conditions including a condition that the Squad 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 Squad to acquire a loan or mortgage or use money placed in a
"vehicles fund"without prior approval of the Queensbury Town Board, and
WHEREAS, by Resolution No.: 77,2006, the Town Board approved the Squad's proposal to
increase the Squad's new Building's total project cost from $1.7 million to $1.75 million and increase
the amount financed from$1.55 million to $1.6 million, and
WHEREAS, the Squad has advised the Town Board that it has an opportunity to
refinance its mortgage at a lower interest rate, and
WHEREAS, the Squad's current mortgage has a balance of$1,386,327.10 at 6.75% with
a term of 183 months remaining with an approximate monthly payment of$12,255.16 and upon
the end of such term, the mortgage rate will reset every five years beginning on December l lth
2012 to the prevailing Adirondack Trust Company Base Lending Rate (currently 4.25%), and
WHEREAS, the proposed new mortgage financing is for a term of 60 months at an
interest rate of 4% fixed for five (5) years and on each subsequent fifth year anniversary, the rate
to be reset to the prevailing Adirondack Trust Company Base Lending Rate (currently 4.25%),
thereby reducing the monthly payment to $10,170.54, assuming 183 month amortization remains
unchanged, such refinancing to occur with no closing costs, and
WHEREAS, the Town Board has determined that it is necessary, financially beneficial and in
the public interest to authorize such refinancing,
NOW,THEREFORE,BE IT
RESOLVED, in accordance with §8(A) of the Town of Queensbury's Agreement with the
West Glens Falls Emergency Squad, Inc_ (Squad) for emergency services, that the Queensbury Town
Board hereby authorizes the Squad's mortgage refinancing as generally set forth in the preambles of
this Resolution, and
BE IT FURTHER,
RESOLVED, that the Town of Queensbury does not guarantee such debt with the
financial institution on behalf of the Squad 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
financing, and
BE IT FURTHER,
RESOLVED, that the Town Board further authorizes and directs the Town Supervisor, and/or
Town Budget Officer to take any action necessary to effectuate all terms of this Resolution.
Duly adopted this 19''day of November, 2012 by the following vote:
AYES Mr. Metivier,Mr. Montesi,Mr. Strough,Mr. Brewer,Mr. Stec
NOES None
ABSENT: None
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