Post Date: 02/14/2018 4:00 PM

Treasurer issues inaccurate information about the City’s plan to fund numerous previously approved projects from the Fiscal Year 2016 Capital Budget

Wilmington Mayor Mike Purzycki and City Council President Hanifa Shabazz said today that Treasurer Velda Jones Potter has overstepped her duties by interfering with an Administration and Council approved Fiscal Year 2016 Capital Budget. They also dismissed as inaccurate the Treasurer’s claims today that the bond issuance scheduled for next month is excessive, unnecessary, or will harm the City’s fiscal position.

“The Treasurer’s job is to execute the bond issuance as directed by the two branches of government,” said Mayor Purzycki. We dispute Treasurer Jones Potter’s claim that there are millions of unspent dollars from previous City bond issuances available. Funding from previous bond issuances have either been committed to originally approved projects or are being reprogrammed. It is just misleading to have citizens think we are not using these proceeds wisely.”

Council President Shabazz, who was a member of City Council when the FY 2016 Capital Budget was debated and approved, agreed that it is not within the purview of the Treasurer’s office to dictate to Council Members or the Executive Branch which projects they can and cannot fund.

Council Member Nnamdi Chukwuocha (1st Council District) supported the concerns expressed by the Mayor and Council President today about the misinformation being distributed by the Treasurer. “Going to the bond market to borrow funds for important projects in the community is a routine function of government and in this case, the projects outlined in the FY 2016 Capital Budget were vetted thoroughly by the Council and Administration.” Chukwuocha said he was on Council at the time and expects the projects to be funded as approved by the Council.

Mayor Purzycki said the Treasurer does not have the authority to tell the Executive and Legislative branches that we can’t improve our drinking water system, repave our streets, improve our district parks, repair our police headquarters or purchase life-saving fire apparatus. “I have the City’s best interests at heart, as does the Council President, and I hope we’ll be able to find a way to work together with the Treasurer.”

The City announced yesterday it will issue $43 million in bonds next month with the approval of the Mayor’s Office and City Council. The City routinely goes to the bond market every two years to borrow for approved capital projects. They include large infrastructure projects or capital purchases that are too expensive or are of a longer duration to be funded through normal revenue raising options such as property and wage taxes and fees.

The city’s previous authorized capital bond issuances include a combined FY 2006 and 2008 total of up to $81 million, a FY 2012 bond issuance authorization of up to $60 million, and a FY 2014 bond issuance of up to $50 million.

Mayor Purzycki and Council President Shabazz said today that they expect the Treasurer to carry out her duties regarding the bond issuance.

The following charts outline the various projects that will be funded from the planned bond issuance.

On the Water/Sewer chart, some of the projects listed are being funded through the State Revolving Fund, or SRF, which are federal dollars that the state loans to local municipalities at low interest rates and with minimal closing costs.

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News and information from the Office of Wilmington Mayor Mike Purzycki

John Rago

Deputy Chief of Staff for Policy and Communications

Mobile: (302) 420-7928

Email: jrago@WilmingtonDE.gov



Paul Ford Jr.

Communications Specialist

Mobile: (302) 530-2171

Email: plford@WilmingtonDE.gov



Dan Sanchez

Digital & Social Media Manager

Mobile: (302) 605-0026

Email: dsanchez@WilmingtonDE.gov