CHUBBUCK, Idaho (KIFI/KIDK) - Chubbuck is opening up about how the city is financing its new city hall. The building is expected to cost about $9 million but city leaders have a plan to do it without taxpayers spending a dime.
“If you can live within your means then do that, that’s what the government should do. And, that’s what we’ve done,” treasurer, Rich Morgan said.
Morgan is among a team of people spearheading the project. He says the city will not increase the tax levy to do it. “Some people think that their taxes are going up but that’s actually not the case,” Morgan said.
The city is financing through the “certificates of participation,” a financing strategy where the city will lease the building from investors.
“They own the building and they’re going to lease it to us on an annual basis. We have fit that lease payment into our budget,” Morgan said.
The project has been developed over the past 10 years. At a $900,000 annual payment, the city will own the building after 20 years.
Although public concern has been minimal, Morgan says it's important that the public stays informed and the city stays transparent.
“It’s important that the citizens know that when we finally got this plan together we were able to meet those needs without having to increase the burden on the citizen.”
Chubbuck will be holding a groundbreaking ceremony for the new city hall next month.