GF Park Board Cuts $1 Million From The Cost Of Wellness CenterAt the park board's special meeting Friday, the board decided to lower the cost of the Wellness Center to $23 million dollars, and not include the cost of furniture and workout equipment.
The Grand Forks Park Board is lowering the cost of the new wellness center to cover a higher interest rate. The Grand Forks Park Board decided to lower the cost of the wellness center form 24 million dollars to 23 million.
The Grand Forks Park Board was stunned when they found out that the interest rate on their 24 million dollar wellness center jumped from 3.8 to 4.2% overnight because of a volatile bond market.
"Its not only the Grand Forks Park District applying for these federal subsidy dollars but its other governmental organizations whether it be schools or whatever also applying for these dollars," George Hellyer the Superintendent of Finance.
The 4.2% interest rate adds another 1.7 million dollars to the price tag for the new wellness center. At Fridays special meeting the Park Board decided to then lower the cost of the Wellness center by a million dollars with the new cost at 23 million dollars.
"What we were able to do is take the equipment which is a million dollars out and have our own fund-raising for that and then we would be able to stay in this particular bond with in the contribution range that the board felt comfortable with," said John Staley the Grand Forks Park District Director.
Staley says, the park district has already had an offer from a donor to pay for the exercise equipment. The board will continue to fund-raise for the rest of the furniture for the wellness center.
"We came up with enough ideas that we can make the thing work we can have everything there that we want and we have the money the numbers and everything in place where it will actually work out," Jim Bollman the Park Board President.
The board hope to start collecting bids for the new wellness center after the New Year. They have already broken ground and will start construction in the Spring.