Library district prepares for bond vote

Angela Soo

Friday, Aug. 10, 2001 | 11:24 a.m.

A bond issue to fund improvements to the Las Vegas-Clark County Library District is being readied for the November 2002 ballot.

Daniel Walters, the district's executive director, said he learned a lesson this past April when a proposed bond issue died at the hands of the Clark County Debt Management Commission.

"We got off to a late start last time," Walters told the district's board Thursday night. "The earlier we can have this brought forth to the county and city, the more thoughtful consideration we'll be able to get."

The district tried unsuccessfully to put a $46 million bond issue on the June municipal ballot. They needed eight out of the 11 debt commission members to vote in favor of the bond proposal. Six voted for the question but five never showed up, effectively killing any chance of the proposal making it onto the June ballot.

One concern previously voiced by Clark County Commissioner Erin Kenny, who serves on the debt commission and who did not make the April meeting, was that the bond issue would put certain townships over the tax rate cap. State law set the tax rate cap at $3.64 per $100 in assessed property value. Government entities try not to exceed 90 percent of that figure so they can reserve funds for emergencies.

The new bond issue would go toward the construction of four new full-service library facilities in Mesquite, and in the east, southwest and northwest parts of Las Vegas.

"We know the need is still there," Walters said. "Book circulation increased by 18 percent since last fiscal year, and we were up 25 percent this July compared to last year in July."

On a separate agenda item Thursday, the library board approved a resolution that would save taxpayers $1.5 million over the next 11 years -- the amount it takes to furnish and equip one new branch library. The library district will refinance two existing bonds from 1991 and 1993 in order to take advantage of an all-time low interest rate.

"The Federal Reserve reduced interest rates by 2.5 percent in 19 weeks, which is unprecedented," Kay Godbey, chief financial officer of the district, said. "The last time this happened it took 80 weeks. Interest rates change daily so we're trying to move fast."

The new refinanced or refunded bonds would save the homeowner of a $100,000 house 50 cents a year for the next 11 years.

"It's a nominal savings, but it's still a savings," Godbey said.