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Van Buren County court authorizes $500,000 line of credit to front Rabbit Ridge road project
Summary
The Van Buren County Quorum Court approved a resolution authorizing the County Judge to secure a $500,000 line of credit to front costs for the Rabbit Ridge/Grassy Creek road project until grant reimbursements are received; the court also adopted a routine budget-cleanup ordinance and approved transfers and minutes.
The Van Buren County Quorum Court authorized the County Judge to obtain a $500,000 line of credit from First Service Bank of Clinton to cover upfront costs for the Rabbit Ridge Road/Grassy Creek project, court records show.
Nikki Brown, who sponsored the resolution, moved to approve the measure “as written.” The resolution states the line of credit will be used by the road department fund to pay project costs that will later be reimbursed as grant funds are received; the resolution notes the project was already appropriated in the 2026 budget.
Court discussion centered on timing, reimbursement and borrowing costs. A court member asked what interest rate the county will pay; that specific rate was not stated in the meeting record. Officials said bank bids are handled through the county’s depository process and that interest terms will be set through that bidding process. Staff noted the county expects progress reimbursements and estimated the full project value at about $1 million; court members indicated the $500,000 line is intended to bridge the county’s upfront obligations while grant funds are billed back.
The court approved the resolution by voice vote (the meeting transcript records members signifying support). The resolution authorizes the County Judge to sign the agreement with First Service Bank for a $500,000 line of credit to be used by the road department fund for the Rabbit Ridge/Grassy Creek project.
Votes at a glance: The court also adopted a routine ordinance to close and clean up the 2025 budgets (sponsored by Justice Limmings), approved transfers, and approved minutes and financials. The transcript records a roll call for the budget-cleanup ordinance in which members named in roll call replied “Yes.” The transcript does not record a roll-call tally for the line-of-credit resolution or for the transfers; those items were recorded as adopted in the meeting.
What happens next: The County Judge is authorized to execute the line-of-credit agreement; the county expects to submit progress billings and receive grant reimbursements as the road project advances, with staff estimating reimbursements to occur after project milestones and into the following spring. The exact interest rate and final bank terms will be determined through the county’s bidding/depository process and were not specified at the meeting.
