1999-03-11 JPWB Minutes
JO~c~o~,~al~~~RD
ALBERTVILLE CITY HALL
7:00 PM
BOARD MEMBERS PRESENT: Kessler, Irvlne, Duerr, Zimmerman,
Vetsch-alternate
BOARD MEMBERS ABSENT: Gundersen & Olson
Chalrman Kessler opened the meeting at 7 32 pm
George Eilertson, Juran & Moody, was present
items relating to the 1999 bond refinancing
financing, explanation of the parity bond and to
formally adopt the bond resolutlon
Eilertson stated that the rates were locked in on (3 70% to
4 6%) February 23, 1999 which enable a total net debt reduction of
$29,198 52 from the triggering resolution
Ellertson explained the difference from a parlty bond to a
subordinate bond with the following items 1 total revenue must
be at least equal or more than 110% of the total annual debt
($100,000 total PI debt --$110,000 revenue to be collected) 2
must keep a reserve account equalling at least 10% of the new bond
in addition to the eXlsting bonds If these conditions are met
than the new bond will be in the same positlon as the old bond,
unllke the subordinate bond which wlll always be subordinate.
to discuss three
gummary of the
have the Board
Zimmerman in at 7.50 pm.
The Board discussed funding for the water treatment plant and
well and Klpka recommended that a rate study be completed which
can be done at the same time as negotiating the purchas~ of land
Klpka stated that the rate study should include level of water
rates and hook on fees (at least 50/50); enough to include a water
treatment plant, well #4 and another tower, and revenue should
remain at least 110% or higher of the total annual debt service
A motion to ratify the $1 255 milllon bond resolutlon with a
callable date of January 1, 2005 with rates increasing from 3 7%
to 4 6% was made by Duerr, seconded by Irvine All present voted
aye
Kipka stated that the appraiser was out today to look at the
Psyk property
The Board directed Kipka to have the Board's attorney present
at the March 22, 1999 meeting
The Board discussed the office transition
Browning, PSG, stated that she completed the proposals for
handling the maintenance and operation of the water system and
office. Browning introduced Becky who handles the sanitary
district for Pine River and three townships
JPB March 11, 1999 Minutes
PAGE 2
Ripka stated that she wlll need someone to go to the post
office durlng the month when she will be working evenings and
weekends Kessler stated he would
Rlpka strongly recommended that the Board proceed with
placing the 1977 contract charges for the EDA watermain at the
Wright County Recorder's office and stated that she would be
willing to meet with the three mayors some evenlng to go through
all the information relating to the contract charges
Ripka recommended that the Board proceed with leasing space
on the water tower for antennas since the current going rate is at
least $500 00 per month Ripka stated that there is approximately
three companles that can admlnister or at the least design new
charts showlng frequency levels and interference after each
antenna is in place
The Board directed Ripka to place contract charges on the
agenda to set a meetlng and to contact the three companies
handling the antennas on the tower at the March 22, 1999 meeting
A motlon
Kessler All
9 13 pm
to adjourn was made by Zimmerman,
present voted aye The meeting was
seconded
adjourned
by
at
Respectlvely Submitted,
Donna Kipka, Secretary