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Newberry council adopts ordinance to finance vacuum truck purchase, approves bank financing terms
Summary
Council approved second and final reading of Ordinance #2024-1019 to authorize a lease-purchase agreement to finance a vacuum truck with principal not to exceed $550,000; First Community Bank offered a 4.59% rate for up to four years, subject to annual appropriation.
The Newberry City Council unanimously approved second and final reading of Ordinance #2024-1019 on Aug. 15, authorizing city staff to enter a lease-purchase finance agreement to acquire a vacuum truck. The ordinance limits the principal amount of the agreement to no more than $550,000.
The Finance Director solicited proposals from financial institutions and reported that First Community Bank provided the most advantageous proposal to the city, with an interest rate of 4.59% for a term not to exceed four years. The ordinance specifies the agreement is subject to annual appropriation; in the event of non-appropriation the agreement terminates at the end of the fiscal year for which funds have been appropriated and no debt will accrue thereafter.
Councilmember R. Lemont Glasgow moved to approve second and final reading of Ordinance #2024-1019; Councilmember Jackie Holmes seconded. Mayor Foster Senn declared the motion carried following a unanimous vote of the councilmembers present. The minutes record no public comment or substantive debate on the financing terms at the meeting.
The ordinance authorizes staff to finalize financing within the stated limits and subject to appropriation; the minutes do not specify delivery timelines, vendor, or annual payment schedules.
