Village pays off municipal mortgage
Sugar Grove—The village of Sugar Grove announced that it has paid off a municipal bond.
Municipal bonds are issued to fund projects from highways to buildings and are typically referred to as GO Bonds.
The “GO” stands for general obligation bonds that are unsecured and are paid with funds from taxes or other fees.
In 1991, the village of Sugar Grove issued $925,000 in bonds to build the Municipal Center, located at 10 S. Municipal Drive. At that time, the Village Hall and Police Station were housed in the former Sugar Grove Elementary School building on Main Street. Prior to being located in the former school building, village offices were located in the Sugar Grove Community House. The Sugar Grove Community House remains today, although the former school was demolished, and the current John Shields Elementary building opened in 1998. In 1991, the village’s population was 2,005. Current population numbers, due out later this year, project an estimated population of 9,000.
President P. Sean Michels said, “I am proud to announce that the last bond (mortgage) payment was made in January 2011, and the bonds have been retired. Sugar Grove taxpayers will no longer be taxed to cover the bonds, and they will realize a total savings of approximately $96,000 per year, which is $27 per year for an average homeowner. The building has served the village well since its opening in 1992 and should serve us well for many years to come. On behalf of past, current, and future boards, I would like to thank everyone who supported the construction of the Municipal Center and for having faith that the bonds would indeed be retired. The village is in the enviable position of not only having effectively burned the mortgage but is also not operating at a deficit. For this, thanks go to the village staff, for their commitment to following the policies set by the board, insuring that the finances of the village remain fiscally sound”.