Houlton council OKs $250,000 loan for public works equipment

9 years ago

HOULTON, Maine — The town’s public works department will be the primary beneficiaries of a $250,000 loan authorized by the town council Monday evening.
By a vote of 5-1, with councilor Brent Dickison opposed, the council agreed to take out a five-year loan with Machias Savings Bank to replace worn out or broken vehicles within the town’s public works department.

According to Houlton Town Manager Butch Asselin, the town will use the money to purchase a 2004 International truck ($59,000), a 2006 International ($69,900) and a 2015 Larue D50 snowblower ($92,500). The total cost of the items to be purchased is $221,400. The purchase price includes all transportation costs.
Asselin said the two International vehicles were located at a company in Jericho, Vt. and were inspected by Public Works Director Chris Stewart and a town mechanic. The cost to purchase the vehicles new was about $200,000, Stewart said. Stewart said he believed the used vehicles should be good for another seven to 10 years.
“This equipment is very much needed for the public works department,” Asselin noted.
The snowblower is a demo unit located in Harrisville, N.Y. that retails for $117,000. By purchasing a demo unit, the town was able to save  $24,500. Stewart also inspected this machine, Asselin said.
The town will have an annual loan payment of $46,508 over the five-year span. The loan will cost the town $10,058 in interest costs.
Originally, Asselin was also considering several other items on the capital improvements list, including an excavator thumb attachment at a cost of $7,500 and a Bunker field rake costing $12,000. While he has not ruled out acquiring those items at some point in the future, they were not considered a priority at the current time.
Instead, Asselin suggested the town could use the remaining $28,600 to help with repairs at the Gentle Memorial Building. The town has already invested $13,000 for an engineering study at the Recreation Center. Asselin said the details of that study will be reviewed at the next regular council meeting, slated for Monday, Sept. 14.