Town of Osgood Minutes
Town of Osgood
Tuesday, October 21, 2009
Present at the meeting were Tammy Wilhoit, Mary Ann Gay, Norman Kappes, Linda Krinop, DeDee Holliday, David Mohler, Beth Rumsey, Chris Lemen, Steve Wilhoit, Chuck Gill, Tony Wood, Andy Scholle, and Doug Baldisari.
Pledge of Allegiance.
Roll Call all present
Motion was made to waive the reading and adopt the pre-read minutes. DeDee 1st, Norman 2nd
Opened Public Hearing for the Preliminary Engineering Report for the Wastewater. David Mohler from Commonwealth Engineers stood and gave a presentation of what needs the wastewater plant has. The current capacity of the plant is 500,000 gallons per day and we are currently running 390,000 gallons per day. The plant has a problem when it rains. This would allow for the installation of a 560,000 gallon equalization tank. Currently we are out of compliance with the NPDES Permit, which could lead to fines of up to $25,000 per day per violation. There have been hydraulic issues with the pumping stations, which has resulted in repairing or replacing on average 2 pumps per year. The current aerobic digesters cannot be isolated to take one tank down at a time. The blower can be replaced with 5 smaller, higher efficient blowers that can reduce energy costs by 40%. Some additional site modifications would need to be made. This project is estimated to cost $3.6 million, with the possibility of a $2 million grant from Rural Development and a $600,000 grant from Community Focus Fund. That would leave the Town with a loan from Rural Development in the amount of $1 million.
Doug from Umbaugh stood to explain the financial impact this project would have. He stated that this is a good time because of the grant funding available and the current interest rate for a Rural Development loan is 2.625% for 40 years. There has not been a sewer rate increase since 1999. The proposed 43% increase would result in the minimum going from $24.44 to $34.95 for 2500 gallons.
Ordinance 2009-10 was introduced to increase the sewer rates by 43%. There has not been enough revenue to pay the current bond payment. It is required by law to set funding aside each month for operation and maintenance as well as the debt service. The proposed rates are as follows:
First 15,000 - $13.98 per 1,000 gallons
Next 15,000- $12.77 per 1,000 gallons
Next 15,000 - $11.66 per 1,000 gallons
Next 55,000 - $10.50 per 1,000 gallons
Over 100,000 -$7.64 per 1,000 gallons
Minimum Rate - $34.95 for 2,500 gallons
Tap Fees - $800 or the actual cost of material and labor, whichever is greater.
Motion was made to accept Ordinance number 2009-10 and to schedule a public hearing for November 17, 2009 @ 7:00 P.M. Norman 1st, DeDee 2nd
Notice will be published in the newspaper.
Motion was made to adopt Ordinance 2009-11. The Wastewater Utility is currently unable to meet its payments for bonds due to demands on its operation and maintenance funds. A non-interest bearing loan in the amount of $79,385 shall be made from the Regional Revenue Sharing Fund to the Wastewater Utility Bond and Interest Fund for the purpose of making the November 2009 payment.
DeDee 1st, Norman 2nd
Wastewater Department Tony Wood stated the report is ready to sign. They have used the camera on 30% of the town and will continue to work on more. They are waiting for fields to dry to get fertilizer out.
Water Department Chuck Gill stated that the fall water hydrant flushing should be complete tomorrow.
Street Department Steve Wilhoit stated leaf pick up has begun.
Gas Department Steve Wilhoit stated that the old gas truck is ready to be sold. He will put information together and have Mary Ann put an ad in the paper for next months meeting. The truck will be sold as is. Thursday and Friday is the scheduled inspection from IURC. They are continuing to work on the S. Buckeye Street parking lot.
Fire Department Chris Lemen reported everything was good.
Andy Scholle was present to give Council a petition to vacate an alley between the B.P. Station and the house south of that (N. Buckeye).
Motion was made to appoint S.I.R.P.C. as the Towns grant administrator. Norman 1st, DeDee 2nd
Motion was made to pay $2500 from Riverboat to Sewer for sidewalls for the bar screen structure.
Norman 1st, Linda 2nd
Motion was made to approve the purchase of a water bladder for the Town Hall if the new water valves do not work for the toilets. DeDee 1st, Linda 2nd
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