Complex money from various sources

FLORENCE -- The sportsplex project, which will cost a total of $10,237,500, includes $9,506,000 for construction, $503,700 already paid plus $227,400 owed for expenses, that include architectural and engineering fees, the bidding process and drilling tests.

The sportsplex will be paid in two parts. Nearly half, $5,200,000, will be paid by funds from a 20-year, $20 million bond issued in 2003.

The city set aside $2 million for the purchase of First Southern Bank. Subsequently, Lauderdale County paid half of the amount for the building, which freed up $1 million that will be used for the sportsplex.

A combined $4 million will come from borrowing from the city's insurance fund reserve, which funds liability insurance, worker's compensation and health care.

Two million dollars will be borrowed from the liability insurance fund that has about $4.5 million in excess, and $2 million will be borrowed from the worker's compensation fund, which has about $3.5 million in excess, according to estimates from city treasurer Dan Barger.

The self-financing will be paid back over five years from "future capital sales tax money that comes in," said Barger, "We're borrowing from one pocket of the pants to the other."

"Rather than having it just sit in the bank drawing interest, we're going to put it to work building a sportsplex," Barger said of the excess funds.

Mayor Bobby Irons ageed with the financing. "We've got an opportunity to pay as we go and not burden our children."

Staff Writer Trevor Stokes can be reached at 740-5728 or trevor.stokes@timesdaily.com.