City moves forward with $2.5 million in borrowing for water tower
At Tuesday’s city council meeting, aldermen made quick work of setting the groundwork for borrowing $2.5 million for the construction of a third city water tower and sewer interceptor.
Aldermen approved a contract agreement with Quarles & Brady to serve as the city’s bond counsel for the borrowing. The company will guide the city through the process including all of the required legal paperwork. The company’s fee is $10,500 which will be incorporated into the amount the city borrows.
City coordinator John Fales explained that the bond counsel will lay out all the steps for the city to follow. “We just keep jumping on the rocks and we will get through this thing,” Fales said.
Aldermen then approved tranferring control of the money to the community development authority (CDA). As a Tax Incremental District No. 13 project, the CDA has the authority to implement items in the project plan. Fales assured the council that the money the city is borrowing will only be able to be used for expenses related to the water tower and sewer interceptor projects.
Aldermen then formally gave authority to the mayor and city coordinator to sign any required paperwork on the city’s behalf. The city and coordinator already have general authority to do this, but after being questioned by alderman Laura Holmes, Fales said given the amount and that it was entering into a borrowing agreement, the bond counsel advised going through this formal step so that council was aware.
In other business, aldermen:
_ Informally discussed options for opening the city pool. A formal discussion is on the agenda for next Tuesday’s committee of the whole meeting. The city parks, playgrounds and public restrooms officially opened on Tuesday, along with the shelters. Opening had been delayed due to COVID-19 restrictions. According to mayor Mike Wellner, the earliest the city pool would open is June 11. It was noted that the virus will not live in the pool water due to the chlorine and other chemicals, however once on the pool deck there is concern about people potentially spreading the illness. Possible ideas include reducing the maximum occupancy from 300 to a lower amount in order to allow people more space.
_ Approved the transfer of a liquor license for Treasure Chest Gifts from 345 N. Eighth St. to 1012 S. Eighth St. due to the business moving locations.
_ Approved the 2019 city audits presented at last week’s committee of the whole meeting along with the management letter. The city had received a clean bill of health from the auditors.