The Naperville Park Board has approved borrowing up to $10 million to pay for razing the Barn Recreation Center where it will build a central maintenance facility.
The move came after the Park District board held a public hearing Thursday outlining the plan to issue $10 million in bonds. There was no public comment about the plan but one board member, Bill Eagan, voted against the proposal because the money would be earmarked for tearing down the Barn facility at 421 W. Martin Ave. and replacing it with a $9 million to $10 million maintenance building.
“The public still gets use from the Barn facility, and the proposal is to tear it down and give the taxpayers nothing back,” Eagan said. “That, plus because of the way the loan is structured, it’s going to cost the taxpayers $700,000 more – that dog doesn’t run with me.”
Park District Executive Director Ray McGury said the district is seeking to secure the funds in order to pay for future projects that might not be funded otherwise.
“Unlike other businesses or agencies, the only way for us to generate revenue is through property taxes and program fees,” McGury said. “The facts are that property tax revenue alone is not enough to sustain what is the third largest park district in the state. Every time we go and fix or renovate a playground, it costs anywhere from $125,000 to $150,000. Given the current (interest) rates, this is a good time to borrow money.”
Director of finance Sue Stanish said that once the bond hearing was conducted, the district has three years to issue the bonds.
“The state doesn’t allow us to save or stockpile money,” Stanish explained. “As part of our 10-year plan, we’re looking to complete the Knoch Park central maintenance project which has already been slated before and is falling apart. Other funds have been moved around to pay for things like the activity center, so that’s why we’re looking to issue the bonds now.”
Stanish said the Park Board has sought to supplement its budget through minimal borrowing over the past several years. The last was two years ago when the district issued just $2 million in bonds. She said this year’s bonds would be issued by the end of December.
