The City of Fort Saskatchewan's debt management was a topic of discussion at the recent Committee of the Whole meeting.
On Tuesday (Sept.18), council saw a presentation from Fort's chief financial officer Jeremy Emann about the city's future debt policy.
Council was informed on the procedures of debt management and debentures, along with a refresher on the policy overview.
"Basically what we're saying is, (debt) is going to be used for multi-generational projects and projects that have paybacks," said mayor Gale Katchur. "I think this at least puts a policy in place that the council of today and the future can follow."
In the presentation, the main topics discussed include recognizing that debt management is an important long-term planning tool, using debt as an affordable source of funding to support a long-term capital need and avoiding excessive debt to stay flexible for any unforeseen challenges.
The City of Fort Saskatchewan's debt limit is nearly $114 million for 2018. The projected actual debt amount for 2018 is around $37 million, putting the city at 33 per cent of their limit.
"Everybody was able to provide their feedback and hopefully it comes back before we make our final decision," added Katchur.
A revised debt policy will be brought to a future regular council meeting to be approved.
In May, the Town of Morinville closed in on their self-imposed debt limit.