Council approves debenturing to pay for new Tottenham aerial truck

Posted August 14, 2012

New Tecumseth will debenture the $744,868 cost to replace Station 3 Tottenham's 24-year-old aerial fire truck with a demonstrator model expected to be delivered in September.

An example of the potential long term debenture scenario would stretch over a 20-year period at 3.32 interest, and cost $51,275 yearly in principal and interest. Debt financing the purchase leaves council with approximately $500,000 in fleet reserves for the 2013 budget cycle.

Because last night's decision was made in committee, council will formally approve the debenture when it meets again Aug. 27.

Tottenham's aerial truck is being replaced one year ahead of schedule because of mechanical issues that render the ladder component useless. It's to be sold at auction for disposal.

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