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Village Debt Financing and Banking

2026last touched · 21 source resolutions
↑Village/Rules/Policies/Adopted/village_debt_financing
Resolutions designating official depositories and authorizing bank accounts and investment programs, engaging bond counsel, authorizing lines of credit and short-term borrowing, and establishing fund balance and reserve fund policies.
In force, by year of last update
2025
Bond Counsel Engagement
Hawkins, Delafield & Wood LLP is engaged as Bond Counsel for the Village of Red Hook. The Mayor is authorized to sign the Bond Counsel Agreement, including for the wastewater project.[18][20]
NYCLASS Program Participation
The Village of Red Hook is authorized to participate in the NYCLASS short-term municipal investment program under the NYCLASS Municipal Cooperation Agreement amended and restated as of August 1, 2023. Authorized signers are Mayor Karen Smythe, Treasurer Marybeth De Filippis, and Comptroller Michele Zagorski.[19]
NYCLASS Investment Policy Prerequisite
Prior to the initial investment through NYCLASS, the Board of Trustees must review and adopt a NYCLASS Investment Policy.[19]
2024
General Fund Fund Balance Policy — Target Range
The Village has adopted a Fund Balance Policy for the General Fund establishing a minimum unassigned fund balance of 15% and a maximum of 25% of the subsequent year's budgeted expenditures at fiscal year-end.[17]
2023
D&S Pump & Supply Credit Account
The Village Treasurer is authorized to maintain a credit account with D&S Pump & Supply for use by the Highway Department. Authorized signers are Jerome "Jake" Smith, Chris Coons, Charles Devens, and Lori Urbin; invoices are vouchered and Board-approved prior to payment.[15]
Harbor Freight Tools Credit Account
The Village Treasurer is authorized to maintain a credit account with Harbor Freight Tools for use by the Highway Department. Authorized signers are Jerome "Jake" Smith, Chris Coons, Charles Devens, and Lori Urbin; invoices are vouchered and Board-approved prior to payment.[15]
Ruge's Ford Credit Account
The Village Treasurer is authorized to maintain a credit account with Ruge's Ford for use by the Highway Department for vehicle and equipment parts. Authorized signers are Jerome "Jake" Smith, Chris Coons, Charles Devens, and Lori Urbin; purchases follow Procurement Policy guidelines and invoices are Board-approved prior to payment.[16]
2022
Salisbury Bank Authorized Representative
Mayor Karen Smythe is designated as the authorized representative on the Village's Salisbury Bank accounts, replacing the prior signatory.[14]
2020
Salisbury Bank Line of Credit — Amount and Rate
The Village maintains a commercial line of credit with Salisbury Bank in the amount of $200,000 at an interest rate of prime less 0.25% for interim funding of public improvements, purchases, and grant reimbursements.[12]
Salisbury Bank Line of Credit — Authorization and Pledge
The Mayor is authorized to sign the continuance note and any ancillary documents for the Salisbury Bank line of credit; the Village Clerk is directed to attest and affix the corporate seal. The faith and credit of the Village of Red Hook are pledged for payment of principal and interest.[12]
Salisbury Bank Line of Credit — Bridge Loan Specificity
The specific purpose and amount utilized in any bridge loan draw on the Salisbury Bank line of credit must be stated in separate, specific resolutions when the need arises.[12]
M&T Bank Village Credit Cards
The Village holds M&T Bank credit cards issued to the Mayor, Treasurer, and Clerk, each with a spending limit of $5,000, subject to all internal procurement policy requirements. The faith and credit of the Village are pledged for payment of credit card transactions.[13]
2019
Official Depository Bank
Key Bank is designated as the primary depository bank for all Village monies received by the Village Treasurer, Clerk, and receiver of taxes, pursuant to Village Law Sec 4-412(3)(2).[10]
Reserve Fund Money Market Accounts
Money market accounts at M&T Bank are maintained to replace former CDs for Highway, Police, Water, and Fire Department reserve funds, providing greater flexibility and improved interest rates.[9]
Tower Reserve and Snow Equipment Account Type
The Tower Reserve and Snow Equipment reserve accounts are held as Money Market accounts at M&T Bank, converted from CDs.[11]
Reserve Fund Transfer Transaction Codes
Short-term/lived asset expenses are transferred from the USDA Reserve Fund Money Market account to the Water Fund operating account using transaction code EW921.1. General fund reserve transfers use transaction code A915.[11]
2018
Certificate of Deposit Depository
M&T Bank is designated as the depository institution for Village certificate of deposit accounts.[8]
Sewer Checking Account
A dedicated sewer checking account is maintained, initially funded with $5.00 transferred from the water fund, to manage sewer plant operating expenses.[7]
2015
Vehicle and Equipment Reserve Fund Name
The former Police Vehicle Reserve Fund is renamed the Vehicle and Equipment Reserve.[2]
History · superseded or expired
2026
General Fund Advance to Sewer Fund — Conversion to Transfer (Withdrawn)
A resolution to convert the $205,430 General Fund advance to the Sewer Fund (authorized by Resolution 7–2026) into a permanent transfer was proposed on 2026-04-27 but was withdrawn and never adopted. The advance and its repayment terms under GML §9-a therefore remain governed by Resolution 7–2026.[21]
2020
American Express Credit Card
The Village's American Express credit card (held in the name of the retired Treasurer, expiring October 2020) was closed and not renewed. Replaced by M&T Bank credit cards.[13]
2018
Key Bank and M&T Bank Depository Designation (2018)
Key Bank was designated as primary depository and M&T Bank for CD accounts. Superseded by the 2019 formal depository designation resolution.[8]
2017
Salisbury Bank Line of Credit — 2017 Renewal at 1.88%/up to 2%
The line of credit from Salisbury Bank was renewed at 1.88% or up to 2% interest. Superseded by the 2020 renewal at prime less 0.25%.[6]
2016
Salisbury Bank Line of Credit — Rate at 1.88% (2016 Term)
A two-year line of credit from Salisbury Bank was set at an interest rate of 1.88%. Superseded by the 2017 renewal and subsequently by the 2020 renewal at prime less 0.25%.[5]
Key Bank as Official Village Bank (2016 Authorization)
Key Bank was authorized as the Village Official Bank following negotiations achieving $5,206 in annual bank fee savings. Superseded by the 2019 formal depository designation resolution.[4]
2015
Highway Reserve CD Transfer
$8,000 was transferred from Highway capital fund (5110.2) to an M&T Bank CD designated reserve highway account ending in 6473. Superseded by conversion of reserve CDs to money market accounts.[3]
Police Vehicle and Equipment Reserve CD
The Bard Police donation of $8,000 was transferred to a Police Vehicle and Equipment Reserve CD at M&T Bank. Superseded by conversion of reserve CDs to money market accounts.[3]
Vehicle and Equipment Reserve — Annual Budget Allocation
The annual budget allocation for the Vehicle and Equipment Reserve was reduced to $2,000 from $3,500 for fiscal year 2015. This was a one-time fiscal-year budget adjustment and is no longer operative.[2]
2011
Bond Counsel — USDA-RD Water Improvement (Initial Selection)
Hawkins, Delafield & Wood was initially selected as bond counsel specifically for the USDA-RD water improvement grant bonding process ($1.27 million at 2.25% for 38 years). Superseded by ongoing general bond counsel engagement.[1]
Source resolutions
  1. [1]2011-11-17Bond Council
  2. [2]2015-04-22Rename Police Vehicle Reserve and Adjust Budget
  3. [3]2015-05-28Transfer of Highway Capital and Police Donation Funds to Reserve Accounts
  4. [4]2016-04-21Authorize Key Bank as Official Village Bank
  5. [5]2016-10-17Salisbury Bank Line of Credit Renewal - Amended
  6. [6]2017-11-13Salisbury Line of Credit renewal Resolution
  7. [7]2018-02-22Open sewer checking account with water fund
  8. [8]2018-04-09Depository Bank for deposit of Village monies
  9. [9]2019-03-21Open money market accounts replacing M&T CDs
  10. [10]2019-04-08Designating Depositories
  11. [11]2019-11-21Authorization for Reserve Fund Transfers and CD Conversions
  12. [12]2020-10-13SALISBURY BANK LINE OF CREDIT RENEWAL – VILLAGE OF RED HOOK
  13. [13]2020-11-09Village Credit Card – Village of Red Hook and M&T Bank
  14. [14]2022-01-10Salisbury Bank Account Authorization
  15. [15]2023-05-25Resolution Establishing a Credit Accounts at D&S Pump & Supply and Harbor Freight Tools
  16. [16]2023-07-27RESOLUTION ESTABLISHING A CREDIT ACCOUNT AT RUGE'S FORD
  17. [17]2024-02-12RESOLUTION TO ESTABLISH A FUND BALANCE POLICY FOR THE VILLAGE GENERAL FUND
  18. [18]2024-11-21Authorize Hawkins Delafield & Wood LLP engagement letter signature
  19. [19]2025-06-09RESOLUTION TO PARTICIPATE IN THE NYCLASS MUNICIPAL COOPERATION AGREEMENT
  20. [20]2025-11-24Bond Counsel Agreement with Hawkins, Delafield, & Wood LLP
  21. [21]2026-04-27Resolution to Resolve the General Fund Advance to the Sewer Fund

Synthesized from the chronological history of these resolutions. Each clause shows the year it was last established or amended. The text is a reading aid — for legal force, consult the source resolutions and the Village Code.