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Antioch approves $3.97 million in payments; staff cites $1.3M ERI payoff and $600K IRS arbitrage settlement
Summary
Trustees approved payment of $3,966,025.55. Staff told the board the batch includes roughly $1.3 million to settle an early retirement incentive and about $600,000 to close an IRS arbitrage obligation tied to the 2022 bond; both were described as one‑time settlements.
The Village of Antioch approved an accounts‑payable batch of $3,966,025.55 at its May meeting. During the roll call discussion staff identified two significant line items in the batch and explained why they were being paid now.
Staff noted the payment covers roughly $1,300,000 to fully pay off an early retirement incentive (ERI) liability that had been carried on the books. The administrator said paying it now positions the village to consider financing options later if desired and described the comparative rates of future borrowing if needed.
The batch also includes about $600,000 to settle the village’s final arbitrage liability tied to a 2022 bond issue, a payment staff characterized as required to square the village’s tax‑exempt bond compliance with IRS rules. “It also includes $600,000 to the IRS for the final arbitrage payment for the 2022 bond,” staff said.
Trustees approved the payments on a roll call, with recorded yes votes by present trustees. The motion was moved by Trustee Peterson and carried.
Administrative follow‑up: finance staff will post payments and reconcile project funds; trustees were told contract and financing options remain available should the village refinance obligations in the future.
Notable quote: “This accounts payable does include about 1,300,000 for the payoff for the ERI…and then it also includes $600,000 to the IRS for the final arbitrage payment for the 2022 bond,” administrator said.
Next steps: payments will be processed and recorded according to standard accounting practice; staff will report back if refinancing or loan options are pursued.
