Bill could have impact on financing plan for Nez Perce County’s new courthouse

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Nez Perce County’s plans for financing a new courthouse building could be affected by legislation requiring a public vote for certain long-term leases.

The measure, which doesn’t yet have a bill number, was introduced in the House Local Government Committee on Wednesday. The sponsor, Republican Rep. Bruce Skaug of Nampa, noted that Idaho law currently restricts indebtedness for both state and local governments. But there’s a long-standing exception in state code for county jails and courthouses. Long-term leases for those facilities can be entered into with the approval of two out of three county commissioners. That doesn’t sit well with Skaug, who says it effectively obligates taxpayers for the entire term of the lease, which could last up to 30 years.

Skaug’s bill only applies to county jails and courthouses. It would allow commissioners to enter into lease agreements of up to five years on their own authority. Anything longer than that, though, would require a majority vote. If approved, the legislation has an effective date of July 1. That could affect Nez Perce County’s plans for the new courthouse.

The commissioners want to finance the project with certificates of participation, a type of funding option in which investors pay for the construction and then own the building. The county would then lease it back, at an estimated cost of $2.6 million per year. At the end of the 30-year lease, ownership would revert to the county.

Skaug said if the commissioners enter into a lease agreement before July 1, the county is good to go. Otherwise, his bill would force a public vote. (Lewiston Tribune)

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