HomeMy WebLinkAbout08.30.2023.telecommunications minutesTELECOMMUNICATIONS UTILITY
BOARD OF TRUSTEES
Harold E. Getty Council Chambers
City Hall
August 30, 2023
4:14 p.m.
Members present: Van Fleet, Batemon, Kurtenbach, Young and Wienands. Batemon,
Kurtenbach, and Wienands participated via Zoom. Council Liaison Rob Nichols participated via
Zoom.
Approval of Agenda.
Moved by Van Fleet seconded by Wienands that the Agenda, as amended, to award the Banking
Services RFP to Lincoln Savings Bank of Waterloo, Iowa, be approved. Voice -vote Ayes: Five.
Motion carried.
Approval of Minutes.
Moved by Young seconded by Wienands that the minutes of August 16, 2023, as proposed, be
approved. Voice -vote Ayes: Five. Motion carried.
Motion approving an agreement with the City of Waterloo for vehicle maintenance and fuel.
Moved by Young seconded by Kurtenbach. Voice -vote Ayes: Five. Motion carried.
Eric Lage provided an overview of the lease agreement noting that fuel will be .04 cents above the
price the city pays, and maintenance at $56.00 per man-hour.
Board members discussed the terms of the fuel agreement with Mr. Lage.
Motion approving an agreement with City of Waterloo for office equipment, and vehicle indoor
and outdoor space at 625 Glenwood Street.
Moved by Kurtenbach seconded by Batemon. Voice -vote Ayes: Five. Motion carried.
Eric Lage provided an overview of the agreement and explained that Waterloo Fiber will be
responsible for approximately 8 percent of the cost of utilities and rent in the amount of $1,000.00
per month for space allotment. He shared that the rent will increase to $2,000.00 once more space
is needed.
Board members discussed the terms of the agreement with Mr. Lage.
Mr. Van Fleet questioned who provides current internet service to the building. It was confirmed
that CFU is the current provider
Motion approving award of the Banking Services RFP to Lincoln Savings Bank of Waterloo, Iowa,
and directing the General Manager of Telecommunications to execute necessary documents.
Moved by Kurtenbach seconded by Young. Roll call -vote Ayes: Four. Abstain: One (Van Fleet).
Motion carried.
Eric Lage explained that he received six responses to the RFP and created a rating matrix to score
the proposals. Lincoln Savings Bank had the best score and is the recommended bank.
Mr. Van Fleet noted he is on the board for Farmer's State Bank and will be abstaining on voting.
Resolution establishing calendar year fiscal year, effective January 1, 2024.
Moved by Young seconded by Batemon. Roll call -vote Ayes: Five. Motion carried. Resolution
No. 2023-019.
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Kelley Felchle, Board Secretary, provided an overview of the current budgeting process, which
has the Telecom incorporated with the city's budget. She explained that in order to have the new
fiscal year effective at the start of January, we would need to be set a new budget this fall.
Maggie Burger noted that the Water Works runs on a calendar fiscal year and added that it is
typical that utilities and entities outside of cities run on a calendar fiscal year.
Resolution directing the acceptance of a proposal to purchase $4,000,000 taxable communications
utility revenue capital loan notes.
Moved by Young seconded by Batemon. Roll call -vote Ayes: Four. Abstain: One (Van Fleet).
Motion carried. Resolution No. 2023-020.
Maggie Burger, Speer Financial, provided an overview of the proposals received. She
recommended to place $2,000,000 with Cedar Rapids Bank and Trust, with a 6% interest rate
which is lower than we were anticipating.
Bob Seymour, Community Bank and Trust, explained that they are a division of Cedar Rapids
Bank and Trust and shared that they are excited to be part of the project.
Maggie Burger provided additional information on the other bidders to help clarify how Speer
Financial came to their recommendation.
Mr. Van Fleet noted he is on the board for Farmer's State Bank and will be abstaining on voting.
General Updates from board members, consultants and staff.
Maggie Burger, Speer Financial, explained they are awaiting a spenddown schedule from
Magellan that will help us determine what needs to be issued and when.
Steve Nadel, Ahlers and Cooney, explained that he and Maggie have worked through the necessary
terms he needs to draft documents. He will have the next meeting's agenda items to Kelley by the
end of week or Tuesday after the holiday.
Eric Lage shared that construction started today with five crews in the Ansborough/Ridgeway area.
Interviews begin tomorrow for the OSP Supervisor role and more to follow. He reported that he
has been working with Randy on the Shared Use Agreement and has met with CFU on the 28E
Agreement. Amperage is working on concepts for logos and the overall marketing plan. Tara
Thomas-Gettman has put together a great advertisement, scheduled to air on three major area radio
stations.
Chris Wendland, legal counsel, reported that he has been working on the trademark application for
the Waterloo Fiber name and as soon as we have a logo, he will move forward with that application
as well. He explained that he is working to develop a benefit/compensation plan for employees
and incentivize on -boarding and retention.
Warren Lyon, Magellan Advisors, shared that he has no major updates this week and reviewed
those that were ongoing.
Jerry Morla, ITG, commented that there are several crews on the ground today with drilling crews
beginning next week. He explained that there is a good amount of materials in stock in Waterloo
and more materials coming in over the next few days. He reported that a facility has been secured
at 139 Clark Street in Waterloo.
Kelley Felchle shared that she will be sitting in on interviews in the next few days and just worked
with Chris Wendland and Andy to review employment agreements.
With no further business before the board, it was moved by Young seconded by Batemon that the
meeting be adjourned at 5:48 p.m. Voice -vote Ayes: Four. Motion carried.
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Kelley Felchle
Board Secretary