Skip to main content

County obtains low interest rate for jail

  • Empty
    Work began earlier this month at the new jail site off Route 9W in Coxsackie earlier this month.
  • Empty
    Work began earlier this month at the new jail site off Route 9W in Coxsackie earlier this month.
August 16, 2019 06:11 pm

CATSKILL — Greene County officials Thursday secured an interest rate a full point lower than originally expected on a $39 million bond for the construction of the new county jail in Coxsackie.

Robert W. Baird & Co. Inc, was the successful bidder, with an interest rate of 2.49%, according to a statement issued by the county.

“Interest savings will total $7,667,000 over the life of the bonds, which is about $255,000 per year,” according to the release.

Originally, county officials were going through the motions to borrow the money from the U.S. Department of Agriculture at 3.5% interest. But by going to the general bond market, the county is getting a considerable cost savings.

“Due diligence resulted in over $7 million of savings in interest costs on this project,” Greene County Treasurer Peter Markou said in a statement Thursday. “We received seven strong bids from well-respected financial institutions. The recent credit rating upgrade made a considerable difference in the rate and savings.”

County lawmakers passed a resolution last September to borrow $39 million for the project. The county was to contribute $8.1 million for the 60-bed facility.

Last week, the county’s bond rating was increased from Aa3 to Aa2 — the third highest rating for fixed debt.

The bond rating acts as a fiscal report card for the county, Greene County Administrator Shaun Groden said.

“What they want to read in this evaluation is that this county is going to pay us back, they are going to make their payments on time. This is essentially a report card,” Groden said.

Legislature Chairman Patrick Linger, R-New Baltimore, was pleased with the savings.

“The low interest rate exceeded our expectations, and will result in significant savings for the taxpayer,” he said. “Public safety is the county’s first priority and the jail and sheriff’s office will provide modern and efficient essential services.”

Groden attributed the results of the sale to proper budgeting, he said.

“The county’s finances are very strong,” he said. “We have been budgeting funds for the jail for several years, and when you factor the low cost of borrowing money with competitive construction costs, it’s the perfect time to build a public facility. The County’s decision to issue the bond sale was timed to be the most advantageous to the existing bond and investment market.”

Construction on the new jail off of Route 9W in Coxsackie began in late June.

The project is expected to take 18 to 24 months to complete, Groden said.

Public Safety isn’t the county’s first priority, corruption is. If public safety is a priority where’s the hospital. CMH just dropped obstretics. Yes, the USDA loan guarantee wsa undermined. I undermined it. I’ll ask Robert W. Bird and Co, Inc. to rescend their offer by advising them of the multiple law suits. Peter Markou cooked the books. He achieved the rating by neglecting a hospital, a real college and the other infrastructures we actually need. More critically, he completly fails to hold anywhere near enough money for county worker health care and retirement, amounts he estimates is $42 million to $110 million.

This monster in Coxsackie is not necessary. It’s predicated on fraudulent estimates of 150 beds by Ricci Green, who were fired when they couldn’t show raw data. FOIL of material showing RicciGreene was fired for failure to have accurate or raw data

We have less than 25 detainees now. There are 691 empty human cages in the adjoining counties. This group completely ignored the shared/regional jail option. It wants to waste the 80 Bridge Street facility, worth $1.85 million, by spending $500,000. The 3rd engineering firm is only tasked with proposals to make it a parking lot. Who can make this stuff up, really?

Groden made these same gross persistent errors while in Michigan. He was sued in his INDIVIDUAL capacity as well as his professional capacity, successfully. County Administrator Shaun Groden sued in Michigan for same errors

Wake up people. This is our community. By ignoring ATI these players reveal they don’t care about the safety, don’t plan for remedial alternatives, but simply enjoy obligating us for very expensive human cages. This, BTW, is opposite the national and state trends. The faderal and state governments just completed comprehensive justice reform. This project is pathetic over all.