Prince George, B.C. – Fleet financing was discussed during the City of Prince George’s Finance & Audit Committee meeting this afternoon.

The plan to borrow $3.8 million for the acquisition of fleet vehicles for the 2015 fiscal year sparked much debate including a question from councillor Cameron Stolz regarding future costs.

“Will rising interest rates throw the fleet costs into doubt and should we continue to finance the fleet by borrowing?”

He added,”Can we start financing with cash? It would be nice if we were only financing this during one fleet cycle (7 years).”

City Manager Beth James says 7 years financing would apply to most of the fleet but notes they are reviewed annually. (With no impact for 2015, minimum impact for 2016.)

Councillor Albert Koehler then asked,” is there anywhere else we can find money without impacting our services, our walkways, CN Centre operation?”

To which Corporate Services Director Kathleen Soltis replied “You can’t take something without impacting something else.”

In the end two recommendations put forth by city staff were passed including the use of debt financing for replacing the city’s aging fleet.

The other calls for future capital fleet acquisitions for equipment primarily associated with solid waste services, and the water of sanitary sewer utility be financed through those respective funding sources.

The recommendations will be discussed by City Council at later date.