HomeMy WebLinkAboutgr00090_000048_pg220August 14, 1978 Page 9
BOND SALE CONCEPT APPROVAL
Seegar Swenson explained that the bond interest rate has been raising the past year
until just the past few weeks and that the financial world is not sure if the interest
rates will continue to go up or come down. He added that he feels this is a good
time to set a bond sale.
Mr. Swanson explained that the bond issue is for $1,400,000, to include Projects
1975 -4, 1977 -2, 1978 -3 and 1978-4, with total construction costs amounting to
$972,372, land acquisition amounting to $125,000, engineering, legal and fiscal
fees $161,295, contingency $5,845, capital interest $125,541, and bond discount.
$24,947, totaling the $1,400,000. Mr. Swanson also presented the planned maturity
of the bond.
Administrator Achen reported that the bond sale in addition to financing Projects
1973-3 and 1978 -4 will provide permanent financing for Projects 1975 -4 and 1977 -2
which have already been completed.
MSP (Baumgartner - Rowley) to adopt Resolution No. 921 authorizing the sale of
$1,410,000 improvement bonds and setting a bid opening date of 8:00 PM,
September 11, 1978.
3 ayes
Administrator Achen recommended that the City take the necessary steps to continue
their bond rating, and that Moody's provides a rating for all bonds that are sold
and that the rating is used by the bidders to rate how safe the bonds are. Mr.
Swanson added that the fee for the rating by Moody's would be approximately $1,000,
which would be assessed back to the project.
MSP (Baumgartner- Rowley) to authorize the Clerk /Administrator to sign a contract
with Moody's Investor Service to continue the bond rating for the community. 3 ayes
GALE ADDITION - APPEAL OF FAIRCHILD EXTENSION DENIAL
Mr. Gale, 8227 Groveland Road stated he was protesting the City's decision to
deny the extension of Fairchild and stated that he and his neighbor now have land
that is considered dead.
Councilmember Rowley pointed out that the extension was denied because the cost of
the improvements to the two lots made it prohibitive. Councilmember Baumgartner
stated that the matter had been discussed at the Planning Commission meeting and
that there was an existing easement running between LaPort and Ardan, of 30', and
that Ken Sjodin had suggested a 30' easement to the west of the property line but
that Bill Werner and others present had objected to having a read put through for
asthetic reasons and so forth. He added that the cost of a cul -de -sac and utilities
would probably be close to the cost of putting the road through, and that either
would be prohibitive to the two property owners. He added that Mr. Gale should
have been present at the public hearing to voice his opinion then.
Mr. Gale stated that he had never received notice of the hearing, nor had his neighbor.
Administrator Achen checked the records and reported that notices had been sent to
both Mr. Gale and his neighbor and that neither notice had been returned.
Mr. Gale stated that he would like to grant a 30' easement to put in a dead end
street for the two lots, coming in from LaPort. Administrator Achen recommended
that the property owners check into the cost and feasibility of putting in a dead
end street and then come up with a plan and present it to the Council.