Construction on a project Quarryville residents have anticipated for a year - the Fourth Street improvement project - was set to begin March 28, Quarryville Borough Council said during their March 7 meeting.
Council approved giving the bid to Flyway Excavating of Lititz, the low bidder at $1,378,700. Council members said the firm did a good job on last year’s Fifth Street project, and that Flyway representatives will soon be meeting with businesses and residents along Fourth Street to coordinate a traffic management plan.
By a 7-1 vote, with Durwin Parks the lone dissenter, council approved borrowing $1.9 million from PNC Bank for the project. The 16-year fixed loan at an interest rate of 4.47 percent, with no option to prepay, will cost the borough $174,000 a year.
In addition, since the bank requires an annual outside professional audit, the loan will cost the borough about $12,000 to $14,000 annually, or about $210,000 in additional auditing costs. Council members said they would file paperwork with the Pennsylvania Council on Economic Development and enact an ordinance directing the project at their April 4 meeting, with the loan to be officially signed in late April.
Attorney Paul Lundeen with Rodes and Sinon LLP said the issue was big enough for a bond issue, but recent negative publicity surrounding the bond market has encouraged municipalities to go for bank loans instead.
Police Chief Ken Work reminded council a street survey had been done about speed reductions and parking along borough streets, but no action has been taken. Council asked the street committee to put the matter on its agenda and make recommendations for council’s April meeting.
Work said the police department handled four crashes, two thefts, one DUI, two arrest warrants, and one burglary, among other calls and investigations during February.
Council also held an executive session for personnel matters.
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