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The Day - Norwich considers bonding to cover $144 million in unfunded pension obligations


Norwich  City leaders and finance officials presented a plan Tuesday that would fully fund the city’s unfunded pension obligation by bonding the entire estimated $144 million at current low interest rates, saving an estimated $43 million over 30 years.
Members of the City Council, Board of Education, Board of Public Utilities Commissioners and Personnel and Pension Board listened as finance and bonding experts explained the plan Tuesday. It would need voter approval in a November referendum and approval by the state treasurer and Office of Policy and Management.
“This could really be a game-changer in the way the city funds its annual pension obligations,” City Manager John Salomone said. He said the city could take advantage of the “extraordinarily low” interest rates to finance the plan. ....

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The Day - Norwich starts planning how to use $21 million in federal COVID-19 relief aid


Norwich  The city expects to receive a $10 million check from the U.S. Treasury soon, but city officials are still studying the 151-page rule book governing how to spend the first half of the $21 million allocated to the city through the American Rescue Plan.
City Manager John Salomone said Wednesday he had hoped the guidelines from the U.S. Treasury would be more specific in instructing municipalities how they can spend the millions in COVID-19 recovery funding being funneled directly to them. Instead, after stating that cities and towns cannot use the funding to pay down pension debt or reduce property taxes, the report is less specific in most categories. ....

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