HUMBOLDT — The first step to securing $305,000 in USDA funding to go toward the purchase of a new fire pumper truck was completed Monday evening by Humboldt city council members. Council gathered for a special meeting to sign the paperwork prepared by Michael Billings, a loan specialist with the U.S. Department of Agriculture rural development office in Iola.
The funding consists of a $50,000 grant from the USDA Community Facility program and a USDA loan for $255,000 to be paid over the next 20 years at a 2.125% interest rate. If interest rates drop during the next two months that it takes to finalize the loan process, then Humboldt can lock into the lower rate, said Billings, who met with the council remotely.
The city has budgeted $355,149 for the new fire truck, including $5,000 for bond counsel. The remaining $50,149 will come from the city’s reserve fire department funds. Herder expects loan payments of about $13,000 a year.
