Wellington City Work Meeting2/17//2016

Wellington City Work Meeting Minutes

Meeting held Wednesday, February 17, 2016

at the Wellington City Hall

Located at 150 West Main Street, Wellington, Utah

at5:00 P.M.

City Council Present:

Mayor Powell, Councilman Sanslow, Councilman Tatton, Councilman Wells, Councilman Willson, Councilwoman Noyes

City Staff Present:

City Recorder – Glenna Etzel

Senior Public Works Operator – Kory Moosman

Public Works Operator – Ed Ericson

Visitors:

Kurt Ludvigson – Rural Water

Doug Nielson – Sunrise Engineering

Justin Atkinson – Sunrise Engineering

Michael Grange – Division of Drinking Water

Agenda Item Sunrise Engineering – Discussion of Water Tank Project. Application for Grant/Loan for New Water Tank located at 1B-0277-0075

Topics Discussed

Project Application with Division of Drinking Water

Michael Grange of the Division of Drinking Water (DEQ) discussed the possible funding opportunities available to build a new water tank. Given the estimated cost of the project it is likely the DEQ would receive an offer of no less than 50/50 Loan/Grant. Based on the City’s culinary rates it could be possible for the City to receive a loan/grant package that is 60/40 or 70/30. The DEQ would not offer a grant that is more than 50% of the project.

Grange explained that according to his calculation based on the numbers he had at hand it is possible for the city to receive a 30 year loan at 1.78%. Additional information is needed for Grange to verify if that number could be lowered. One item not taken into account by Grange is the City’s secondary irrigation system. These additional numbers could change the City’s potential interest rate and ability to receive a higher loan/grant mix.

The next meeting time for the board to review the Water Tank application is in May. The board could have a teleconference from an Emergency Application. Given that Wellington City is still without a Water Tank the Division of Drinking Water would view this project as an Emergency.

The engineers also discussed the rate increases needed for a new water tank, and for repairing the Culinary and Sewer lines. The rates provided were initially higher than anticipated. Michael Grange explained that at this time it would be better for the City to come before the Division of Drinking water to obtain assistance for only the water tank. Once it is completed the City could then move forward to obtain assistance from the other projects from the Division of Drinking Water, Division of Water Quality, and the Community Impact board.

The Work Meeting adjourned at 7:00 p.m.

Minutes approved by City Council on March 2, 2016

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Joan Powell, Mayor

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Glenna Etzel, City Recorder

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