Union County government announces full retirement of 'debt' | Community Spirit
UNION COUNTY, IL (KFVS) - The Union County Board of Commissioners announced Friday at their regular meeting that they authorized the transfer of $313,000 from the County General Fund to the Liability Insurance Fund.
The Board says this amount represents the final re-payment of funds borrowed under previous boards to cover deficit spending, a full year ahead of an original plan.
At its highest point the inter-fund loan obligations, commonly, but erroneously referred to as “debt,” totaled approximately $1.2 million, and put the county in a state of noncompliance with state law and posed a considerable threat to the county’s ability to operate, including receiving grant funding.
Most notably, the Board says the inter-fund loan obligations nearly prevented the county from issuing the bonds needed to pay for the construction of the new, nearly completed Union County Courthouse. Innovative thinking and tough decisions made by County Board Chairman Randy Lambdin, advised by State’s Attorney Tyler Edmonds, led to a compromise hinged on a promise from the county to fully retire the obligations within three years.
The retirement of the inter-fund loan obligations seems a fitting last order from outgoing Chairman Lambdin. He led the charge of fiscal responsibility in the County Government, and made the suggestion that the obligations be retired early.
“As we were finishing up the budget process for Fiscal Year 2013,” said County Treasurer Darren Bailey, “Randy saw that there was enough of a surplus, a cash flow surplus, that is, to go ahead and finish paying-off what the General Fund owed Liability Insurance. He felt strongly that retiring the loan now, before the new board came on and had to deal with it, was the most responsibility action they could take for those new members and the County as a whole.”
Bailey continued, “Under the leadership of the County Board and Chairman Lambdin, many tough decisions have been made. The result is that the financial situation of the County has improved drastically. There is some stability. The goal isn’t just to make payroll on Friday, but how can we be sustainable in the future and even improve services to the people of Union County.”
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