Home > Value of a library > $100,000 Gift Pays Down Principal on Town’s Borrowing

$100,000 Gift Pays Down Principal on Town’s Borrowing

The Friends of the Mendon Public Library and the Heart of our Town Capital Campaign Commitee have given $100,000 to the Town of Mendon.

The gift is to be used to pay down principal (and therefore reduce total interest) on the $350,000 bond anticipation note the town took out during new building construction.

“This gift reflects the generosity of many private donors, and the hard work of hundreds of volunteers, including Deric West of the Honeoye Falls and Mendon Meadows Market Place groceries and the rest of the team who made possible the recent and very successful Heart Beats for Mendon fund-raiser with Gary Lewis and the Playboys,” Ron Knight said in presenting the check to the Town Board. Knight is chairman of the Heart of Our Town Capital Campaign, which is raising private money for the new library project.

This spring the Town is taking out a second BAN of $200,000, bringing its total special borrowing for the new building to $550,000.

In early 2011, the Town Board authorized special borrowing for construction of the new library building of up to $660,000, putting all funding in hand and allowing the project to go to bid. Because the new building came in under budget by $110,000, only $550,000 will be borrowed of the $660,000 that was authorized.

The capital campaign is in process on repaying the $550,000 to the Town. The campaign already has raised private funds for a first payment that was made in 2011; the $100,000 principal pay down; plus the payments coming due on the two BANs this August. It is on its way to raising the remaining $260,000.

The goal of the campaign in paying back the BANs is that the new library building will have no tax impact on residents other than from the $1.35 million bond for library construction that taxpayers approved by a three-to-one vote in 2008.

Your donation or pledge to support our community’s library is very important! Make your gift online using Paypaldownload a pledge form (and pledge to pay your gift in several installments) or buy an engraved historic brick.

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