1974.02.11 CC Minutes - Laserfiche WebLink

Home

FEBRUARY 11 , 1974 MINUTES OF PROCEEDINGS OF THE HUGO CITY COUNCIL 2 9 The meeting was called of order at 7:20 PI! by Mayor- Crever. Roll was called: Crever, LaValle, Martin, Leroux, and Lease present. Also present were the village engineer, attorney, and the fiscal agent, and some members of the sewer committee. Mayor Crever stated the reason for the special meeting was to work on the sewer project for the city. Howard K_uusisto stated he had made tabulations with corrections of the bids, and he had given the official copy to the clerk. He said Hoffman was the low bidder by w1000.00, and there were six very good bids from a competitive stand point. Charles Johnson stated he had only three or four easements to finish. The fiscal agent, Bob Ehlers Jr. , distributed copies of two cost siL=-iaries he had worked out. The first summary included a bond issue for :050,000.00. If all the bond proceeds are not used in the area perscribed at the public hearing, the city can put the remaining funds in the bond sinking account to defray the debt service. Also, excess funds could be borrowed from the sinking funds by council resolution for improvement to other areas. The borrowed funds would have to be paid back to the sinking and interest account within three years. The second alternative was a bond issue for V259000.00, which would be less one half of the surface replacement. With this plan, the user charge would be about ;;;4.00 per month. Lease thought streets were going to be put back the way they were before the project. Howard stated that within two years of the sewer project, there would probably be some type of a road improvement program, and streets would have to be torn up again. He said if you put them back the way they were right away, you could forget a road improvement program for a number of years. It was noted that storm drainage system and water mains were left out of the final project, as the HUD funds would not accommodate them. LaValle questioned whether the :;;850,000 issue would include blacktop restoration of those streets now blacktopped, and the answer was affirma— tive. Joe Marier of the sewer committee stated he would be willing to have a delay in putting back blacktop, but wouldn't want to be assessed for it again if he had it in the first place. Pat Dooley of the sewer committee stated that in the first method, people on gravel would be paying :1,350.00 more to restore blacktop streets. He also thought a drainage system should be put in with the sewer, as dry wells had already been installed for that purpose. Howard said if this were added, it would be assessed only to the affected property owners. Ehlers said they could anticipate the cost and include it in the bond issue. It was noted that HUD would have to be informed of the second alternative if it was desired over the first. Howard stated he would like to go the X850,000 bond issue and have the funds available for street restoration at a later date. Don Lease mentioned that the second plan would mean another hearing and another delay, and maybe the loss of the HUD Grant, as the bid has to be awarded within sixty days. Bob Ehlers stated he would like a decision right away, in order to advertise for bids for the bond sale.