Council approves finance agreement

A draft agreement outlining how to finance the purchase of 20 Hudson St. for the purpose of expanding downtown parking was unanimously approved by the Oxford Village Council Tuesday.
The document must now go before the Oxford Community Development Authority (OCDA) on Nov. 18 for its review, possible amendment and approval.
It will then head back to council Nov. 25 for final approval.
Council voted Oct. 28 to authorize village attorney Bob Bunting to make a purchase offer for 20 Hudson St. for an amount not to exceed $175,000, contingent on the village and OCDA working out the financing.
The property in question, which was appraised at $180,000, is located on the east side of Hudson St. and is contiguous with the southwest parking quadrant. It’s been identified by village officials as “one of the key pieces of property” needed for the future expansion of downtown parking.
Under the terms of the draft agreement, to make the initial purchase, the OCDA “will arrange an interest-only loan,” which “will be repaid as soon as possible by the proceeds of a sale of bonds to be conducted in conjunction with the OCDA Southeast Parking Lot Improvement Project.”
The funds for the property purchase will be “repaid via a special assessment of all commercial properties benefiting from the new parking area in the Southwest Parking Quadrant,” the draft agreement states.
The special assessment will be “included in the Bond Package for the OCDA Southeast Parking Lot Improvement Project,” according to the draft agreement.
“Demolition of the house (at 20 Hudson St.) and paving of the lot and other project costs (will be included) in the Southeast Parking Quadrant Construction Bid Package, so that construction will be completed at approximately the same time,” the draft agreement states.
Council President Steve Allen, who also sits on the OCDA, noted the authority has already “agreed in principle” to the above method of financing the purchase of 20 Hudson St.