Town of Cicero

CICERO BORROWS FOR ROAD IMPROVEMENTS:

Cicero councilors did something Monday they haven't been able to do for a few years: borrow money.

Councilors voted 5-0 to borrow $2.9 million to rebuild three town-owned roads in the commercial area surrounding Market Place shopping plaza. The money will be paid back over 15 years.

"It doesn't necessarily feel good to borrow money, but at least now we have that option and we'll be able to get some things done," Cicero Supervisor Chester Dudzinski said before the meeting.

The town has been unable to borrow money on the nation's bond market since November 2003, when the then-owner of the Cicero Commons defaulted on a $516,000 bond payment. After the default, the town board refused to honor an agreement that made the town legally responsible for the shortfall.

The town board eventually honored the agreement and paid the $246,000 to make up the shortfall, but not until Wall Street punished the town by lowering its bond rating from an investment-grade A3 rating to a junk rating, Baa2.

Last month, Fitch Ratings re-examined the town's finances and improved Cicero's rating to an investment-grade BBB.