Southtowns Record

3/10/26 Board Packet ​

Government
Village of Gowanda
Board
Village Board
Meeting
Mar 10, 2026
Kind
Agenda packet
Topics
Budget and taxes, Audits and oversight, Water, sewer and drainage, Public safety, Parks and recreation, Zoning and land use, Roads and traffic, Housing

Original document

Same meeting

Text · page 49 of 103

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9.  SHORT-TERM  DEBT
  Liabilities for bond anticipation notes (“BANs”) are generally accounted
  for in the Capital
  Projects Fund. State law.requires that BANs issued for capital purposes be converte
  d to long-
  term obligations within five years after the original issue date, However,
  BANS issued for
  assessable improvement projects may be renewed for periods equivalent to
  the life of the
  permanent financing, provided that annual reductions of priacipal are-made.
  The following is
  a summary of the Village’s BAN liability as of May 31, 2025:

  Interest  Balance at  Balance at
  Description  Rate  June 1, 2024  Increases  Decreases  May 31, 2025
  Water System  3.79%  S  715,000  -  35,000  680,000
  Fire Truck  3.79%  205,000  -  20,000  185,000
  Point Peter Reservoir  3.79%  3,700,000  -  1,700,000  2,000,000
  Waste Water Treatment Plan  3.79%  :  -  2,157,528  -  2,157,528
  $4,620,000  2,157,528  1,755,000  5,022,528

10. LONG-TERM  LIABILITIES
  Summary of Changes in Indebtedness — The following is a summary of changes in
  long-term debt
  for the year ended May 31, 2025. These amounts are not reported on the fund financial
  statements per
  fund accounting:

  Unaudited  Unaudited
  Balance at  Balance at
  6/1/24  Additions  Reductions  5/31/25
  Serial bonds  S$  125,000  -  115,000  10,000
  Capital lease  137,707  -  31,902  105,805
  Compensated Absences *  61,391  2,286  -  63,677
  Net pension liability (asset) *  725,878  38,363  -  764,241
  Total  ,  $  1,049,976  40,649  146,902  943,723

  * Additions/reductions to compensated absences and net pension liability
  are shown as
  the net change.

  Serial Bonds - The Village issues serial bonds to provide funds for the acquisition
  major pieces of
  equipment and for the construction of major capital facilities. General obligation
  bonds are direct
  obligations and pledge the full faith and credit of the government, These bonds generally
  are issued
  as serial bonds with equal amounts of principal maturing each year with maturities
  that range from
  10 to 30 years. The following is a summary of changes in bonded debt for the year
  ended May 31,
  2025:

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