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Friday, Apr. 29, 2016

City Council approves Capital Loan Resolutions

Monday, March 28, 2011

New Police vehicle purchased; antique fire pumper sold

The Cherokee City Council last week approved a series of resolutions regarding the required procedures for issuing General Obligation Loan Notes to finance proposed West Cherry and North 11th street/utility renovation projects, and lift station improvements for the City's Sewer Plant operations.

The Council approved a Resolution to set a Public Hearing date for April 12 for issuance of $165,000 Sewer Revenue Capitol Loan Notes through the Iowa revolving Loan Fund to finance lift station improvements.

The G.O. Bond Resolutions approved concern $2.5 million in Capitol Loan Notes to help finance the West Cherry and North 11th street/utility projects scheduled to begin this spring, and includes $260,000 for the Cherokee Fire & Rescue department's new pumper truck.

In related fire department action, the Council declared the current department pumper - a 1967 vintage - as surplus property and authorized its sale to high bidder Wade Berger of Marcus for $1,525. A second bid received was from members of the Harlan Fire Department for $1,125, who sought the vehicle as an antique for parades and demonstrations.

As advertised, the vehicle could not be scrapped or salvaged for a minimum period of five years, and both bidders agreed to those terms. Cherokee Fire & Rescue spokesman Roger Frisbie told the Council the department preferred the truck go to the Harlan Fire Department to be used as a restored parade vehicle. He questioned the future of the pumper if Berger's bid was accepted, saying, "Your guess is as good as mine" as to what Berger would use the pumper for.

"Four hundred dollars (the difference in the bids) is $400," said Council Member Linda Burkhart, who then made a motion to sell the truck to Berger. Council member Mick Mallory seconded the motion and the Council unanimously approved.

The Council also accepted a low bid of $18,900 from Holzhauer Motors for a 2011 Chevy Tahoe 4WD Police vehicle. The SUV lists at $38,265 and Holzhauer allowed $19,365 for a 2001 Ford Explorer trade-in.

A second bid from Rasmussen Ford totaled $19,492 for a 2011 Ford Expedition XL, allowing $18,103 for the Explorer trade-in off a list price of $37,595.

Negotiations regarding the purchase of the CN Railroad vacated right-of-way from the intersection with the main rail line at West Cherry Street northeast to the City's corporate limits have been ongoing since the City received a REAP Grant of $75,000 to be used towards the purchase. The right-of-way has been appraised at $67,400. CN's original offer was $125,000 and the City hoped to get the price down to the original informal appraisal of $43,000. CN now insists on the $67,400.

The Council last week approved buying the right-of-way for $67,400 for establishment of a pedestrian/bicycle trail. The RR tracks were removed last fall and minimal grading will allow the route to be utilized as a walking/biking trail. Going forward, improvements will be made as the City acquires the necessary monies.

In other business, the Council approved vacating an undeveloped alley while retaining utility easements between Lots 1&2 of Block 1 in Fishman's 3rd Addition, south of the KMart parking lot. A resident wants to build an addition to his garage in a portion of the undeveloped alley.

The Council also accepted a bid from Sargent Drilling of Carroll to rebuild Tyson Well #8 and the City's High-Service Pump #2 within the City water system. A total of $40,000 has been budgeted for the projects, but exact costs are unattainable at this time until the pump and well are disassembled and the necessary repairs identified.

Three proposals were received and reviewed by City Water Superintendent Mark Napier, who told the Council he was comfortable with all three bidders as the City has worked with them all in the past.

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