MILWAUKEE -- The Milwaukee County Board voted 17-1 Thursday, June 28th to okay an amendment to pay down future county debt. The move could save taxpayers more than $400,000 in next year's budget, according to County Board Chairwoman Marina Dimitrijevic.
In light of a projected $11.3 million surplus from 2011, the County Comptroller requested County Board authorization to transfer $5 million of the available 2011 surplus into the Debt Service Reserve. The amendment increases that transfer by more than $2.3 million, to $7,311,168, and will be used to fully pay off two outstanding State Trust Fund loans with interest rates of 4.5% and 5.25%, which were high rates in the current economic environment. The loans were made to help finance housing projects for individuals with mental illness.
Thursday’s action means the County will avoid $365,659 in future interest costs while relieving the 2013 Budget of $423,979 in projected principal and interest payments.
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