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Resolution to Resolve the General Fund Advance to the Sewer Fund

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1 versions2026-04-27#op-_04272026-732-02inline resolution

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  1. 12026-04-27
    Resolution to Resolve the General Fund Advance to the Sewer Fund
    inline resolutionmeeting · 2026-04-27 · resolution op-_04272026-732-02 · withdrawn

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Resolution to Resolve the General Fund Advance to the Sewer Fund

WHEREAS

  • the Sewer Fund could not cover its $205,430 bond payment in February 2026, and the Board authorized a temporary advance from the General Fund under GML §9-a (Resolution 7–2026)
  • by the terms of Resolution 7–2026 and GML §9-a, the advance must be repaid by May 31, 2026 — 34 days from tonight
  • the Village Attorney confirmed on April 13, 2026 that failure to repay by May 31 may expose individual Trustees and officers to personal liability under applicable law
  • the Treasurer is scheduled to present a repayment plan by May 11, 2026, and the FY 2026–27 budget must be adopted before May 1, 2026
  • converting the advance to a permanent transfer is the simplest resolution: it eliminates the repayment obligation, avoids external borrowing costs, and leaves the Sewer Fund with an opening balance of approximately $109,000 — sufficient to cover the next bond payment without a repeat of this year's crisis

RESOLVED

  • the §9-a General Fund advance authorized by Resolution 7–2026 ($205,430) is hereby converted to a permanent General Fund transfer to the Sewer Fund. The Sewer Fund's repayment obligation is eliminated. The Treasurer shall reconcile the advance and amend the FY 2025–26 budgets accordingly
  • this resolution shall take effect immediately