Clay County Commissioners approved the application for a new loan to build a new county jail Monday.
The county working with USDA on a loan of up to $15 million. Clay County Mayor Dale Reagan said the annual payment would be an estimated $786,000 a year on a 40-year $15 million loan with a 4.25 percent interest rate. Reagan said the county would only look to apply for how much is necessary.
“Once we get into this and if we don’t need $15 million we don’t have to take it,” Reagan said. “We’ll take whatever it takes to do it and everything, and we just won’t have to go back and redo another note if we get to the point if we see we got to have more funds or something to do that and everything.”
Reagan said the county has a meeting this Thursday with the USDA to see if the county can be approved for a loan. Reagan said if the county is not approved for the loan the county could be back to the drawing board.
“I’m hoping they are gonna approve this,” Reagan said. “If they don’t approve it I don’t know we will have to go back and look and start all over again at square one.”
Reagan said a rough estimation cost for a new jail is around $14 million – $15 million. Reagan said along with the wheel tax the new jail would house inmates from other counties to help pay for the jail.
“I’ve always said since we started this project that we can’t do this unless we use inmate labor to help pay for the jail,” Reagan said. “There is no way that we can do it I don’t think unless we use that and me and the sheriff has had several conversations about that.”
Reagan said the new jail could bring in an estimated $367,000 annually for housing 26 inmates from other counties. Reagan said out of each $50 collected from the wheel tax $28 will go to the debt payment while $22 will go towards the cost of operating the new jail. Reagan said a new jail will free up $200,000 in the sheriff’s budget.
“We factor in every year about $200,000 that we put in the sheriff’s budget to pay for private agencies and farming out inmates that we are having to do now,” Reagan said. “So that $200,000 will stay in that budget for the purpose of helping operate that jail and everything.”
Clay County Sheriff Brandon Boone said a rough estimated cost to operate the new jail with enough correction officers would be in the range of $600,000 – $800,000.
In other business, the commission approved awarding the contract for the expansion project of the Clay County Public Library. Reagan said a majority of the project is paid by $1.7 million through the Community Development Block grant. The library will be making expansion towards the parking lot on the backside of the building.
The commission approved reducing the speed limit on Union Hill Road to 45mph from State Highway 135 to Bakerton Road.
The commission approved to surplus an ambulance truck.
Commissioners recognized Laney Haynes for being the 2024 Clay County Fairest of the Fair winner. The commission also recognized Museum Curator at Clay County Historic Courthouse Thomas Watson for his efforts with the historic courthouse.
