Minutes 11/13/1962 - Laserfiche WebLink

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)0 TUESDAY NOVEMBER 13, 1962 Conclusions and RecDmmendations It is evident from a review of the foregoing analysis that the electrical utility of the City of Mar-cinsville has in the past contributed regularly and in large measure to the City's financial well-being. It is also evident that the prospects for continued contribution are excellent, provided the City retains ownership and undiluted control of the system. Neither the proposal to purchase nor the proposal to lease have been shown to be to the City's financial advantage. No possible application of the proceeds of sale or the fees which would be obtained from lease of the system is envisioned which would duplicate the economic potential inherent in continued ownership and control of the system. As a matter of conjecture, it is doubted that Appalachian Power Company could afford to make any proposal involving transfer of ownership or control of the City's electric utility which the City could afford to accept. In view of the foregofug conclusions, it is recommended that both the offer to purchase and the offer to lease the City's electrical system be declined, and that the City retain permanent ownership and control of the electrical system. City Manager Hirst informed Council that plans have been completed for the proposed sewage treatment plant and are now before the State Health Department for study and approval. Upon request by the City School Board, Council unanimously adopted the following resolution authorizing the City School Board to apply for a loan of not exceeding $110,000.00 from the Virginia Literary Fund to finance the cost of constructing a six-room addition to the Druid Hills Elementary School: At a meeting of the Council of the City of Martinsville, Virginia, held in the said City on the thirteenth day of November, 1962: WHEREAS, the School Board for the City of Martinsville, Virginia, on the 13th day of November, 1962, presented to this Council an appIi- cation addressed to the State Board of Education of Virginia for the purpose of borrowing from the Literary Fund $110,000.00 for the new school building (or for adding to or improving the present school building) at Druid Hills Elementary, to be paid in 15 annual install- ments, and the interest thereon at three per cent paid annually. RESOLVED, That the application of the City School Board to the State Board of Education of Virginia for a loan of $110,000.00 from the Literary Fund is hereby approved, and authority is hereby granted the said City School Board to borrow the said amount for the purpose set out in said application.