An Idea For Spending County Home Cash
To The Reader’s Forum:
Just sitting here wondering how our county will appropriate the upcoming $16 million payment for the County Home. Fourteen years ago I did the same ‘wondering’ when the County received, if I remember correctly, a one time payment of approximately $30 million for the tobacco settlement. What on earth did the county do with that? I don’t remember my taxes being lowered.
Anyways, I’ve got a suggestion. Take one half of the sales proceeds, or $8 million, reduce our debt by that amount and compute the future annual interest expense savings for that paid down debt and utilize those savings to pay down additional debt. Debt service principal payments budgeted and now saved for those years should also be utilized to pay off additional debt. These revolving savings of interest and principal debt service payments, year by year, could possibly wipe out or debt over a short period of time. The remaining $8 million could be invested and only the annual interest revenue from those investments could be utilized to reduce the taxpayer burden; never tapping into the principal itself.
Just a suggestion!