More than a half-million dollars could go to help pay down the City of Prescott’s debt with the Public Safety Personnel Retirement System (PSPRS) after a decision by the City Council this week.
The total — $579,625 — was generated through the recent sale of Fire Station 7, as well as adjacent property on EZ Street.
The three parcels were sold this past spring and summer in the city’s effort to generate revenue to go toward the more than $78 million in unfunded liability with the PSPRS pension system.
Most recently, the Station 7 property, which once housed the Granite Mountain Hotshots, was sold at the council’s July 25 meeting for $362,500.
The council will consider the additional payment at its regular voting meeting at 3 p.m. Tuesday, Aug. 8. The meeting is scheduled to take place at Prescott City Hall, 201 S. Cortez St.
A city memo notes that escrow on two of the three parcels has closed, and it is anticipated that the other parcel will close in late September. “To maximize the impact of this payment on the unfunded liability, staff is proposing to send the full amount to PSPRS now before the final escrow is closed,” the memo adds.
In addition, the council earlier approved a possible payment of as much as $11 million from its reserve funds to go toward the PSPRS debt this year.
Although some council support arose for making the final decision on that payment after the Aug. 29 vote on Proposition 443 (the city’s ballot initiative to raise sales tax to pay down the PSPRS debt), Mayor Pro Tem Jim Lamerson said Friday, Aug. 4, that he would like to see a payment of at least $5 million of that happen sooner.
Such a move would “demonstrate…
click here to read more.