Refinancing of jail bonds to create savings for Cape Girardeau County

The Cape Girardeau County Commission approved Thursday morning the refinancing of several million dollars of bonds secured more than a decade ago to improve the county jail.

Commissioners expect the move of the remaining $3.94 million of bond money to create a potential savings of $175,000 to $200,000. The bond is currently scheduled to be paid off by 2018 and could be paid off earlier with the refinancing. Initial construction cost for the jail was $8 million in 2000.

The money saved by reducing the interest rate from about 4 percent to around 2 percent could be put toward future projects. Changes will take effect after the regular principal payment is made in November and will take advantage of current low rates available from lenders. The bonds were refinanced to create a similar savings in 2003.

"If we don't do it, we are not doing our jobs," said Roger Hudson, county treasurer. Hudson said the county has the responsibility to be forward-thinking in managing county money for the maximum benefit to residents.

The refinancing will require securing new title insurance for the county jail, which is held in collateral for the bond. A bid for a new policy from Cape County Abstract and Title for $3,705 was approved.

County commissioners also confirmed the plan to create a uniform policy to address burial of indigent residents. Historically, $600 has been made available to provide such burials. A request for that amount was granted to Crain Funeral Home to provide for cremation of a local veteran. Veterans Affairs provides for grave space in a national cemetery, a vault and headstone, but not a casket or cremation. The county plan will address situations that arise that cause variation in final expenses.

Other business

In other business, details of a $7,000 grant made by the Missouri Traffic and Highway Safety Division to the Cape Girardeau County Sheriff's Department for DWI enforcement overtime was reviewed. The project obligates federal funds from Oct. 1 this year to Sept. 30 for deputy overtime. The county will be subject to audits and must submit expenses to ensure funding is used in compliance with the state contract. The overall goal of the project is to reduce annual fatalities caused by drunken drivers.

Commissioner Paul

Koeper asked for approval to advertise for resumes for two to three positions with the highway department, due to recent and impending retirement of several longtime employees. The motion was granted.

Donna Oldham, administrative assistant to the county commission, announced that she was elected employee delegate to LAGERS, the Local Government Employees Retirement System. She will serve alongside Judy Beussink, who was named employer delegate in a motion by the commission Oct 6.

salderman@semissourian.com

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