03-03-86 Finance Comm MinutesFinance March 3, 1986
Chairman Palmer, Councilman Nystul, Mayor Kennedy, Clerk/Treasurer Halver,
DPW Hammer and Bob Ehlers of Dain Bosworth.
Chairman Palmer and Don Halver reviewed and signed claims.
Councilman Nystul and Bob Ehlers discussed the proposed bond sale for the
Sewer Revenue Bonds.
Bob Ehlers concluded the total cost of the project would be $1,068,400 and
asked how much of this would be financed by the bond.
The committee will recommend a $1,000,000, 20 year bond.
Ehlers reported it would appear that a 12% rate increase followed by a 6%
rate increase would be needed to fund the issue. These increases would not
cover any other needed improvements but would adequately provide for payment
of the bond.
Proposed rate increases would 12` this year each for water and sewer followed
by a 6a Sewer rate increase next year.
Councilman Nystul recommended the Council of the whole approve the rate
increase structure on March 10. Dain Bosworth will prepare and send us the
appropriate resolutions for council action.
The committee will recommend a $300,000 Storm Sewer Revenue Bond be sold at
the same time.
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