The City of Moose Jaw owes $52,579,960 in outstanding debt on four projects that stretch back to 2008, while it has paid $21,343,561 in interest on those loans over the past 13 years.
City council borrowed $16.7 million at a 4.64-per-cent interest rate in 2008 to fund the wastewater treatment plant project and rebuild the trunk sewer main on Caribou Street West, according to a council report. There is $2,841,000 still outstanding on this 15-year loan; it is expected to be paid off by July 2023.
The interest paid to date on it has been $5,399,535.
The municipality borrowed $20,828,000 at a 5.03-per-cent interest rate in 2009 as part of its share of the multiplex project. There is $13,307,000 still outstanding on this 24-year loan; it is expected to be paid off by August 2034.
The interest paid so far has been $12,178,358.
Council borrowed $11.7 million at a 3.46-per-cent interest rate in 2017 to help fund improvements — such as a power back-up — at the Buffalo Pound Water Treatment Plant, the report said. There is $10,658,960 still outstanding on this 25-year loan; it is expected to be repaid in November 2042.
The interest paid so far has been $1,311,331.
Meanwhile, the municipality borrowed $30 million at a 3.59-per-cent interest rate in 2018 for “a variety of waterworks infrastructure improvement” projects, with the primary project being a pipeline to Buffalo Pound. There is $25,773,000 still outstanding on this 15-year loan; it is expected to be repaid by September 2033.
The interest paid to date has been $2,454,337.
Acting Mayor Dawn Luhning asked city administration to list outstanding debt obligations at the Aug. 23 council meeting. Administration then provided a list during the Sept. 27 meeting.
“Thank you to the finance department for providing that list of debt limit and the amount outstanding and the interest paid to date,” Luhning said. “I don’t have any further questions on that.”
While these four projects make up the bulk of Moose Jaw’s outstanding debts, not all debt that council has agreed to guarantee was shown in the report.
Other outstanding debt includes a loan guarantee for the Buffalo Pound Water Treatment Corporation (BPWTC; $10.6 million), a loan guarantee for the Moose Jaw Municipal Airport Authority ($1 million), another guarantee for the BPWTC of $15.6 million by BPWTC, and $8 million for the pumphouse project.
These projects put the city’s debt load over $78 million; the debt limit is $95 million.
The next regular council meeting is Tuesday, Oct. 12.
