January 20, 2022 – Council Minutes

The Mayor Datwyler called the meeting to order at 7:00 pm Thursday, Jan 20, 2022.   The pledge of allegiance was given by Mike Wilder and the prayer given Aliza King.      

The mayor asked the clerk to call the roll:

Councilman D Burke   Present   

Councilwoman King  Present 

Councilman Orme   Present

Councilman R. Burke      Absent  

Councilwoman Harrison  Absent –  Arrives 7:10 pm

Also present: Sam Tower – Mitch Bradley – Robin Dunn

Swearing In Council Member:

The mayor swore in councilmember- elect Mike Wilder.  In addition he presented him with a plaque of appreciation for his years of service on the planning/zoning commission.

Public Comment:

Bo Porter:  Discussed the parcel of ground he owns along Hwy 48 which he would like to have annexed into the city.  He is also in discussion with the urban renewal agency about getting assistance with the water and sewer services for the property.  He expressed his intention of building a community event center/swimming pool/commercial buildings and storage units on the parcels. 

Economic Development Update:

Brent Tolman reviewed the projects that he has been working on in getting new businesses into the city.  Two are moving forward including the old Me N’ Stan’s lot.  He reviewed a power slide presentation of what the city of Caldwell has done to create an event park.  He would like to have something in Rigby similar to what Caldwell has done to make Rigby a “place” other than being a city located between Idaho Falls and Rexburg. 

Amend Agenda:

Councilwoman Harrison moved to amend the order of business to move public works as the next order of business, seconded by Councilwoman King. 

The mayor called for a voice poll to the motion:  all in favor none opposed.

Engineering Contract – HLE:

Mitch Bradley reviewed the contact with HLE Engineering for the water line extension on 200 N and 4000 E.  The contract has been amended to allow for 10% engineering fee based on construction cost broken with an anticipated fee of $24,720 for design with the design fee not to exceed $28,000 and $13,000 for construction inspection services.  Anticipated total fee $37,720. 

Councilwoman Harrison moved to approve the contract and award same to HLE seconded by Councilman Burke. 

The mayor called for a poll of the council:

Councilman D Burke   Yes   

Councilman Orme   Yes  

Councilwoman King  Yes

Councilwoman Harrison  Yes

Councilman Wilder  Yes

Water/Sewer Line Extension 200 N:

Mitch Bradley indicated the school district has requested the city provide water and sewer services to the new middle school to be built on 200 North east of 4000 East.  The city has water along 200 North with the addition of the Brian Lott extension.  The school is asking for water for the proposed middle school at the present time and at later date water for the new high school.  Chad Martin Sup’t of schools came forward and provided the council with more information as to intent and needs.  He also indicated they would want sewer also to be available.  Mitch Bradley indicated there was two routes that the sewer line could be provided:  east from the Southfork School or down 4100 E to Hwy 48.  He explained the schools’ engineers would need to review the best way to proceed.  Mr. Martin requested at this time a letter of intent that the city will provide water and sewer based on an agreement between the school and the city. 

Councilwoman King moved that the city will issue a letter of intent that the city will serve the new site with water and sewer subject to an agreement between the city and school at a later date.  Motion seconded by Councilwoman Harrison. 

The mayor called for a poll of the council:

Councilman D Burke   Yes   

Councilman Orme   Yes 

Councilwoman King  Yes

Councilwoman Harrison  Yes

Councilman Wilder  Yes

Central Park Admin Grant:

Krisi Staten from the Development Company came forward and reviewed the administration contact for the administration of the approved park grant.  The state awarded the city $225,000 for upgrades in the central park for walking paths around the park, new lighting system, restrooms and power junction’s stations.  The grant includes a donation of cash and volunteers from the Hot Classic Nite organization.  The admin contract is for 10% of the award or $22,500. 

Councilman D Burke moved to award and approves the contract for the admin of the park grant to the Development Company in the amount of $22,500 seconded by Councilman Wilder. 

The mayor called for a poll of the council:

Councilman D Burke   Yes   

Councilman Orme   Yes 

Councilwoman King  Yes

Councilwoman Harrison  Yes

Councilman Wilder  Yes

Clerk’s Financial Review:

The clerk reviewed the November 2021 financials with the council using an excel spreadsheet of revenues and expenditures – budget versus actual.  Both expenditures and revenues were below expected budget.  Revenues are below due to the timing of various state support and county property taxes and expenditures were below due to the low activity occurring this time of year.  He also reviewed the journal entries which included entries for internal service charges and recording of interest earnings. 

He then presented an analysis of the city’s selected funds working capital requirements and surplus of same.  At this point in the year all of the funds shown have excess working capital over the minimum 25% of the current year’s budget. 

He then reviewed his concern in the sewer revenue fund.  If budgeted expenditures over budget revenues continue the sewer revenue fund could have a negative working capital balance.  This could occur with the continuation of the expenditures occurring in the proposed new wastewater sewer plant which at the current time are being funded 100% from the sewer revenue fund.  He indicated that up to this point in time the fund has had the ability and funds to fund the preconstruction expenses for engineering and other capital expenditures – the NUVODA system and the new mixers.  He has requested the Development begin getting the loan application with DEQ processed to get the funding for the wastewater plant preconstruction expenses.

He then reviewed the report that Keller’s had submitted to DEQ on the clean water loan.  The one item that caught his attention was the monthly user rate and the projected increase in operating costs for the new wastewater treatment plant.  The report outlined a monthly user fee of $84.50.  The $84.50 fee includes the rate for the 2009 loan of $32.00 plus an increase of $8.50 that was taken in anticipation of the new loan.  With the two loan fees removed from the $84.50 fee the net existing maintenance and operational fee is $44.00.  The report showed an expected increase in operating costs of $14.33.  This increase of $14.33 computes to an increase of $288,893.  The clerk was concerned that Keller’s had overstated the costs using the $84.50 rates versus the $44.00. If they had used the $84.50 plus the $14.33 the combined total of $98.83 would be the proposed monthly fee. If that is the case the corrected sewer rate would be recomputed with an increase of $55 per month in addition to the $44 per month or $99 per month. 

The new sewer bond computed on $14 million net of $3.6 million in grants would be $23.50 per month per user.  If the city were to spend the amount authorized thru judicial confirmation ($18 million) plus the $3.6 million grants the new sewer rated would be $30.00.  Under either scenario, user’s rates could be either $194.50 or $201.00 per month per user versus the current monthly rate of $124.50.  He wanted this information presented to the council to be considered in their consideration of the amount of loan to encumber the city with on the new wastewater treatment plant and the effect on the residents. 

Other Council:

Wastewater Treatment Plant:  Mayor Datwyler gave the council an update from a meeting he attended last evening with Keller’s on the design of the wastewater plant.  The NUVODA system is meeting DEQ’s requirements of removing ammonia from the waste water to below their minimum levels.  The mayor has requested Keller’s come in next month with a revised project with various components segregated out of the total project and to offer a “bare bones” minimum of what is required currently. 

Urban Renewal:  The mayor has not contacted the individuals that were listed on the letter he received from the urban renewal agency and therefore is tabling the item until after he has contacted the individuals.

Annis Stop Signs:  Discussion on the public acceptance/rejection of the 4-way stop on 400 North and Annis.  Mitch Bradley mentioned the county will install larger stop signs on Annis.  General comment – positive from the council. 

Approval of Minutes:

Councilwoman Harrison moved to approve the minutes of January 6, 2022 seconded by Councilwoman King. 

The mayor called for a voice poll:  all in favor none opposed.

Review and approval of bills:

The clerk indicated the bill for Fleet Management should be reduced to $157.41 for a credit posted after the bills were printed.  Councilman Orme moved to approve the bills as presented with the Fleet Mgmt. bill is reduced to $157.41.  Motion seconded by Councilwoman King. 

The mayor called for a poll of the council:

Councilman D Burke   Yes   

Councilman Orme   Yes 

Councilwoman King  Yes

Councilwoman Harrison  Yes

Councilman Wilder  Yes

Adjournment:

Councilman Wilder moved to adjourn seconded by Councilman D Burke. 

The mayor called for a voice poll:  all in favor none opposed.

Meeting adjourned: 8:58 pm

CITY OF RIGBY

   _______________________________

   Richard Datwyler, Mayor

 ATTEST:

 _______________________

 David Swager, Clerk

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