The borrowed money will be used as follows:

* $145,000 for police vehicles.

* $100,000 for demolishing dangerous, dilapidated or abandoned buildings.

* $40,000 for computers.

* $33,000 for repairs at the Blanden Memorial Art Museum.

* $20,500 for trails projects.

Jeff Nemmers, the city clerk and finance director, said this kind of financing is done annually.

He said the borrowed money is placed in the general fund so that the expenditures can be made, and the debt is then immediately paid off with revenue from the property tax levy designated for debt service.

In January, the council bought three Ford Explorers for the Police Department from Fort Dodge Ford Lincoln Toyota. They will replace three older vehicles now in use.

In another financial matter, the council approved a measure outlining how some tax increment financing money should be spent. Tax increment financing occurs when increased property tax revenue generated in a given area is reinvested in that area.

The measure approved Monday calls for spending $250,000 of tax increment financing money to serve as matching funds for a state grant that will pay for improving building facades in the 1000 and 1100 blocks of Central Avenue.

The Greater Fort Dodge Growth Alliance will receive $162,000 a year for three years under the resolution approved Monday.

Plumb Supply Co. would receive up to $100,000 to support its rehabilitation of the former MidAmerican Energy building in the 600 block of South 22nd Street.

Also, Main Street Fort Dodge would receive $30,000 a year for three years.