Commonwealth Journal

Local News

April 17, 2013

Bond ordinance for Senior Center gets initial okay

Somerset —

Pulaski Fiscal Court has given first-reading approval to an ordinance authorizing and approving issuance of general obligation bonds not to exceed $3.5 million to build a senior citizens center on a two-acre plot off University Drive at the former location of People’s Tobacco Warehouse.
The bond summary, prepared by McNair Law Firm, Lexington, and published in Sunday’s edition of the Commonwealth Journal, created TEA Party-like jitters with a statement that the county may levy a direct annual tax on all taxable property within the county to repay the bonds. 
Gil Johnson, attorney with McNair Law Firm and bond counsel for the project, said the statement is legalese for pledging the full faith and credit of Pulaski County to retire the bonds.
“The ordinance does not levy a tax,” said Johnson. 
“I haven’t heard anything about a new tax,” said 2nd District Magistrate Mike Wilson. Judge-executive Barty Bullock and county treasurer Joan Isaacs were not available for comment. Tiffany Bourne, community development director for Pulaski County, said she knows nothing of a new tax. She has shepherded the senior center from the project’s beginning.
Proposed funding sources mentioned so far are a $500,000 Community Development Block Grant, $1,160,000 loan from the Kentucky Association of Counties, $252,140 in coal severance funds and $860 from Pulaski Fiscal Court. State Representative Tommy Turner said he got another $250,000 for the project in the state budget.
The city and county paid $265,000 for the land on which the center will be built. Fiscal court will oversee development of the project and the county will own the completed facility. Operational funding will come from state and federal sources and will be administered by the Lake Cumberland Area Development District.
The nearly 10,000 square-foot center will replace the existing Senior-Alzheimer Center in the renovated former Dunbar School building on South Maple Street. Once a contract is let, the contractor will be given about 12 months to complete the project.
Second reading of the $3.5 million bond ordinance by Pulaski Fiscal Court is scheduled at 10 a.m. April 23.

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