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Etna Green board approves $100,000 temporary loan from electric to wastewater fund
Summary
Council passed resolution 2025-0909 authorizing a $100,000 temporary inter-fund loan from the electric utility to the wastewater utility to cover a shortfall, with planned annual repayments of $20,000.
The Etna Green town board voted to approve resolution 2025-0909, authorizing a temporary loan of $100,000 from the town electric utility to the wastewater utility to cover an operating shortfall.
Treasurer/Presenter explained the structure: the loan would be repaid to the electric fund in annual $20,000 installments. The presenter told the board the wastewater fund had been running a deficit and, after billing adjustments, the shortfall was closer to $60,000–$68,000 rather than an earlier larger figure. "What we're going to do here is we're going to take a loan from the electrical [fund] for $100,000 and it's going to be paid back in annual $20,000 increments," the presenter said.
A motion to adopt the resolution was moved and seconded and the board approved the resolution by voice vote. The presenter noted the transaction would be tracked and reviewed by the State Board of Accounts as required for inter-fund borrowing.
Why it matters: The temporary loan stabilizes wastewater operations while staff completes billing corrections and seeks longer-term budget solutions. The loan affects the cash position of the electric fund until repayment occurs.
Next steps: Staff to execute the loan transfer following standard accounting procedures and to report repayment and any further adjustments at future meetings.
