While the Marshall County Council members want to hold an informational public meeting to relay why the decision to expand the Marshall County Jail was made, they want to continue moving forward in the process.
Phil Faccenda, Jr. from the firm Barnes and Thornburg, LLC presented a bond ordinance that lays out the perimeters for financing a General Obligation Bond when discussing the proposed jail expansion project.
“It is titled as ‘General Obligation Bond’, but just to be clear that is for a General Obligation backup on the county’s Jail Local Income Tax that is in place currently for the existing jail and will also be taken of if the council, commissioners and the county decide to move forward on the expansion,” explained Faccenda.
He said the LIT fund is expected to cover the debt service on the bonds.
The proposed jail expansion calls for a 41,000 square foot addition to the existing jail. It would add between 208 and 320 beds. Faccenda noted that the perimeters in the ordinance would allow for the bonds to be issued in an amount not to exceed $17,250,000 with a 20-year financing period.
“That will depend on how the bids come back, whether the bonds will be issued by the county and that amount will depend on how the bids come back, and what the county determines to contribute to the project at the end of the day.”
Another ordinance presented for consideration was an additional appropriation ordinance which would give the county permission to spend the proceeds of the bonds.
The council members approved the first readings of both ordinances. Council member Heath Thornton had the lone dissenting vote. A public hearing will be held during the council’s meeting in January.
Faccenda stressed that approving the first reading of these ordinances does not mean that the county has committed itself to the project.
Todd Samuelson from Baker Tilly noted that while the approval of the ordinances seems “contradictory to scheduling a public informational meeting”, the bond process takes several months. The bonds wouldn’t be issued until April or early May, depending on county leaders’ actions, and plans and specifications on the project.
