Butler City Council will take some extra time to consider financing offers to purchase a new ladder truck for the fire department.
At their meeting Tuesday night, Council considered a motion to enter into an agreement with NexTier Bank at an interest rate of 2.85% on a ten year term to borrow the necessary $1.3 million to purchase a Mid-Mount Tower Ladder truck for the City Fire Department.
Council received five responses to their request for financing bids and one of those bids did have a lower interest rate but it did not include a first year interest only payment which the city had been counting on to fit into the 2021 budget. The other bid also did not allow for early repayment of the borrowed money.
Council requested that City Solicitor Tom Breth take a closer look at the language contained in the request for proposal and see if the city can legally reject the lowest responsible bid received. Delivery of the truck is expected in approximately 10 months but part or all of the money to pay for the truck will be due before it is received.
The city sold its partially-functioning ladder truck in June 2018. Since then, the city has relied on a ladder truck owned by the Butler Township Fire Department when necessary.
