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HomeMy WebLinkAbout04.14.2003COUNCIL WORK SESSION April 14, 2003 4:00 p.m. Council Chambers Members present: Mayor Rooff, Kincaid, Welper, Greenwood, Clark, Jordan, Hurley, Getty. Moved by Jordan, seconded by Greenwood that the Agenda, as proposed, be approved. Ayes: Seven. Motion carried. Don Temeyer, Community Planning & Development Director, presented the proposed capital improvement projects to be included the Capital Improvements Program. Mr. Temeyer reviewed the proposed list of items to be included in the in the FY 04 bond issue in June' totaling $6 million and the Capital Improvement Program for FY04 through FY08. Mr. Temeyer stated that it is anticipated the city will issue $6 million for FY04 and just about $6 million in FY05. The five year program is updated each year. Some projects in the five year program happen in the year requested, some projects get pushed to another year. Some items are placed on the list anticipating grants, or the list can be affected by policy change. If that happens some projects are moved back and other projects are moved forward. The city cannot collect interest on taxpayers money as that is called arbitrage. Michelle Weidner, Chief Financial Officer, reported that the city has been leasing some park and golf maintenance equipment through John Deere Credit. Ms. Weidner and Paul Huting, Leisure Service Director, met to discuss his needs to replace some parks and golf equipment. The total cost of the equipment is estimated at $425,000.00. John Deere Credit was contacted to determine the current terms that would be available. The current lease interest rate for municipalities is 4.95 percent. The city anticipates the interest rate it will obtain with the bond sale will be in the range of 3.3 percent to 3.8 percent. Due to the interest savings the city would realize by issuing bonds for this equipment, it is recommended that this equipment be included in this spring's bond sale. Paul Huting, Leisure Services Director, reported they are replacing some older equipment that was never put on the John Deere lease. In addition, Leisure Services will be replacing some John Deere equipment which is worn out after five years of use. Mayor Rooff stated that the city is working on replacing the equipment with John Deere equipment because we made the commitment to be a John Deere city. With no further business before the council, it was moved by Getty, seconded by Clark that the meeting be adjourned at 4:25 p.m. Ayes: Seven. Motion carried. Nancy Eckert City Clerk