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1999-01-25 JPWB Minutes JOINT POWERS BOARD JANUARY 25, 1999 St. Michael City Hall 7:00 PM BOARD MEMBERS PRESENT: Kessler, Irvine, Duerr, Gundersen, Zimmerman, Berning - Alternate BOARD MEMBERS ABSENT: Olson 98 Chairperson Irvine opened the meeting at 7:00 pm and introduced all the new members. Irvine asked for nominations for 1999 Chairperson. A motion to elect Kessler as the 1999 Chairperson was made by Irvine, seconded by Gundersen. All present voted aye. Irvine turned the chair over to Kessler. Kessler asked for nominations for the Vice-chairperson and treasurer. A motion to nominate Gundersen as vice-chairperson was made by Irvine, seconded by Kessler. All present voted aye A motion to nominate Irvine as treasurer was made by Duerr, seconded by Kessler All present voted aye. A motion to appoint Kipka as secretary was made by Irvine, seconded by Duerr. All present voted aye. A motion to approve the agenda with the addition of Eilertson under new business and contract charges secretary's report was made by Duerr, seconded by Irvine. present voted aye. A motion to approve the November 23, 1998 minutes of the closed portion of the meeting was made by Zimmerman, seconded by Irvine. All present voted aye. George under All A motion to approve the December 28, 1998 minutes was made by Zimmerman, seconded by Irvine. All present voted aye. A motion to approve the December 1998 and 1998 Year-end Report was made by Duerr, All present voted aye. financial statements seconded by Irvine. A motion to approve the January 1999 bills was made by Irvine, seconded by Duerr. All present voted aye. George Eilertson, Juran & Moody, was present to discuss the refinance and/or advance refinancing of the 1992 Bond. Eilertson stated that the bond is callable in February 2002 and the interest rate is 6.1% to 6.5% and could be refinanced. Eilertson discussed the current interest rates (4% to 4.5%) for a general obligation bond and approximate net reduction of $37,000.00 includes costs. JPB 3ANUARY 25, 1999 Meeting ~GE2 The Board agreed to investigate further the advance refinancing of the 1992 Bond and the refinancing of the 1977 Bond with a report back at the February meeting. The Board discussed Ralph Dick's request to discontinue billing for the Dick Beverage Company since that service is not in use. Dick stated in his request that he would be willing to send a letter of intent of abandoning the service line. A motion to approve Dick's request of the waiver of the Board's portion of the minimum water bill with a letter of intent of abandonment of the service line was made by Irvine, seconded by Duerr. All present voted aye. Kipka stated that she would contact the City of St. Michael regarding their portion of the water bill and PSG stated that they would locate the curbstop. A motion to approve the Crow River News as the official newspaper for 1999 was made by Duerr, seconded by Gundersen. All present voted aye. A motion to approve the following official depositories which are the same as 1998 was made by Duerr, seconded by Irvine. All present voted aye. Highland Banks Norwest Banks Rockford State Bank-Han Security State Bank-Alb Dain Bosworth Merrill Lynch Dean Witter First Nat'l Bank of Elk River Marquette Bank Bank of Elk River Piper Jaffray Hopwood Inc. IDS Financial Services Piper Capital Management Shearson Lehman Brothers The Board discussed the January 20, 1999 letter from TKDA regarding the engineering proposals requested by the Board in December 1997. The Board agreed to continue with Howard R. Green and not to interview at this time. Catlin discussed the Chemical Feed Project and stated that the equipment has been working properly for more than 30 days and recommends payment which was included in the January bills. Jackson, PSG, stated that he has made minor adjustments of the chlorine since the water usage decreases in the fall/winter months and therefore, customers may notice a chlorine smell. Gundersen discussed his conversation with Psyk regarding the purchase of 3 acres of land east of the pumphouse in Albertville (200' X 550'). Gundersen stated that he will be meeting with Psyk next week and should have a figure from him for the entire piece. JPB JANUARY 25, 1999 Meeting PAGE 3 Catlin stated that since the land around the pumphouse is undeveloped, he would recommend that the Board begin the wellhead protection plan within the next two months. The Board discussed the water treatment plant and directed Catlin to get costs for softening the water as well Catlin recommends a pressure system v. gravity for the treatment plant. Catlin will get 4 copies of the Master Water Comprehensive Plan one for each; Olson, Duerr, Zimmerman and Kessler. Catlin stated that the plan consists of a water treatment plant and well #4 to be constructed in 1999 and to design and let out bids on a tower in 1999 with construction in 2000 The Board discussed Dave Beranek's 2nd request to waive the $10.00 late meter card fee which was denied due to this not being the first time. A motion to approve the second part of the 1998 amendment to the JPB agreement and operating and authorization agreement dated December 13, 1977 was made by Irvine, seconded by Duerr. All present voted aye. Browning, PSG, stated that she had some report changes for the December 1998 report. Jackson, PSG, stated that the meter for well #1 quit working and needs to be replaced. Jackson recommended purchasing a new meter instead of rebuilding the 20 year old meter. The new meter is not long enough and a 6" spacer will need to be used Jackson stated that PSG will try to install the spacer and meter themselves or if unable to will contact an outside source to do the installation. Jackson discussed the gauge at the tower which froze since the outer face was unheated, but that the interior gauge was reading correctly. Automatic Systems sent out a new gauge and stated it was under warranty, so PSG installed the gauge and fixed the heated box so it wouldn't freeze again. Jackson discussed the water service leak and watermain break in Albertville. Catlin stated that gauge for the tower was less than one year old, but that Automatic Systems doesn't consider the gauge to be under warranty; therefore he recommends nonpayment of the invoice. Catlin stated that Albertville would like fire flow data for the Minneapolis Outlet Mall and Catlin requests direction from the Board and how the billing would occur. The Board directed Catlin to run the fire flows for the Minneapolis Outlet Mall per Albertville's request and directed Kipka to send the bill to the City of Albertville. JPB JANUARY 25, 1999 Meeting PAGE 4 Kipka discussed the Joint Staff Meeting and the cities' request for final billing new construction quarterly only. Kipka stated that this would eliminate some double billlng. The Board discussed this option along with the option of prorating and agreed that they should take this back to their councils for further discussion Kipka stated that all the billing should be the same or that each city should pay the Board's portion if waiving the water bill. Kipka stated that she found out that Gerald Berning sold some land along the EDA watermaln to Jet Edge, so she will be sending a bill for the contract charges to Berning with a copy to Jet Edge. Kipka stated that she was approached interested in leasing space on the tower for she hasn't contacted other cities regarding management of the space. Kipka stated that cities in February. by another company an antenna, but that who was handling the she would contact the A motion to adjourn was made by Irvine, seconded by Duerr. All present voted aye. The meeting was adjourned at 9 pm. Respectively Submitted, Donna Kipka, Secretary