Minutes, Special Carlisle City Council Meeting, 17 May 2016

CITY OF CARLISLE

SPECIAL CITY COUNCIL MEETING MINUTES

Tuesday, 17 May 2016, 6:00 P.M.

Carlisle City Hall Council Chamber

195 North First Street, Carlisle, Iowa

Elected Officials present were Mayor Ruth Randleman and Council Members Rob VanRyswyk, Dan McCulloch, Drew Merrifield, Doug Hammerand, and Eric Goodhue constituting a quorum. Also present were City Administrator Andy Lent and Deputy Clerk Kay Black. Mayor Randleman called the meeting to order at 6:30 pm.

The Pledge of Allegiance was recited.

CITIZEN PARTICIPATION:    Brad Peterson, 25 Park Street, wanted to verify the legality, if funds were borrowed from the Sewer Department could they be paid back with the “LOST” monies. Steve Nagel, Ahlers Law Firm, explained that this was possible and legal.

OLD BUSINESS and NEW BUSINESS and POSSIBLE ACTION:

Low bid for the Fire Station addition was from Ball Team at $728,000, Alternate 1 $166,800, and Alternate 2 $138,600. Discussion began with the funding of this project. Andy Lent, City Administrator presented one solution:   Use GO Bond funds of $600,000 (which was passed by referendum), then borrow the balance of the costs including architect fees from the Sewer Department which would be paid back with “LOST” funds. Goodhue stated he was not in favor of borrowing from the Sewer department as we just paid out over $1M for a judgement, he preferred using the “Lost” Bond. Merrifield indicated that there would be no damage to the City rating if we don’t go through with the Bond and that the purpose of the Bond cannot be changed. Steve Nagel, Ahlers Law Firm, verified that the GO Bonds have been sold and date of issuance has been set and there were requirements that need to be met, such as the expectation going forward with the project and a time schedule and some funds must be spent within a set time from date of issuance. If Bond is not followed there could be penalties (rare) as the underwriter could have economic damage and could damage the Cities reputation for bonding in the future. Mr. Nagel suggested that the City proceed with the sale of the Bond and purpose the same and weight all options very carefully for funding the balance of the project. Other suggestions made were: separating the Fire and EMS departments in different locations (Goodhue and McCulloch were not in favor of separating the Fire and EMS), rebid Alternate 2 for finishing the 2nd floor addition, or rebid entire project (which could jeopardize the Bond). Motion by McCulloch, second by VanRyswyk to accept the bid from Ball Team for $728,000 and Alternate 2 for $138,600 with funds from the Bond to be used first, then “LOST” funds, then internal funding from the Sewer Bonding only if necessary. McCulloch, VanRyswyk, Hammerand, and Goodhue voted yes, Merrifield voted no.

Motion by McCulloch, second by Hammerand to purchase the Mosquito Fogger from Clarke at a cost of $10,256.8l. Motion passed unanimously on a roll call vote.

ADJOURNMENT: Motion by VanRyswyk, second by McCulloch to adjourn at 7:50 PM to the Carlisle Municipal Electric Utility facility, carried unanimously on a roll call vote. (Merrifield left the meeting)

After touring the Carlisle Municipal Electric Utility facility, motion was made by Goodhue, seconded by VanRyswyk to adjourn the meeting at 8:45 PM.

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Ruth Randleman, Mayor

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Kay Black, Deputy Clerk