NOTICE AND CALL OF PUBLIC MEETING
Government Body:
Winterset Municipal Utilities
Date of Meeting:
June 16, 2014
Time of Meeting:
8:30 A.M.
Place of Meeting:
Electric Generation Plant, 321 N. 1st St.
PUBLIC NOTICE IS HEREBY GIVEN the above-mentioned governmental body
will meet at the date, time and place above set out. The tentative agenda for said
meeting is as follows:
AGENDA:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
Call to order, roll call
Approval of agenda
Minutes of meetings
General Manager Report
Dredge America Change Order
Dredge America Pay Request
Public Hearing on Water Revenue Loan Agreement
Resolution # 6162014A, Resolution taking additional action to enter into a Water
Revenue Loan Agreement and approving a Preliminary Official Statement in
connection therewith
Resolution # 6162014B Depository Limit Increase
Resolution # 6162014C Water Rate changes
Supervisors Wage discussion and approval
Water Superintendent Report
Electric Superintendent Report
Claims
Added items for discussion…
The Board of Trustees of the Winterset Municipal Utilities, Winterset, Iowa, met
on June 16, 2014 in accordance with the above Notice & Call of Public Meeting.
Chairman Gerrit Vrieze called the meeting to order with the following members of the
Board in attendance.
PRESENT:
ABSENT:
Gerrit Vrieze, Patty Weeks, Kendall Kerns
None
Others in attendance, Steve Benshoof, Utility Water Superintendent, Chuck
Johnson, Utility Electric Superintendent, Michael Hart, Mike Fletchall and Dave Braga.
Chairman Vrieze asked for approval of the agenda, Trustee Kerns moved the
agenda be approved. Seconded by Trustee Weeks. On a voice vote the motion carried.
Chairman Vrieze stated the minutes from the, May 19th & May 27th meetings had
been provided to the board. Trustee Weeks moved to approve the minutes. Seconded
by Trustee Kerns. On a voice vote the motion carried.
Mr. Wesselmann was asked to give his report to the board. Mr. Wesselmann
reported that due to the new SIMECA contract our power bill payments need to be paid
earlier in the month. Mr. Wesselmann discussed the prairie grass at the spillway with
the board. Mr. Wesselmann stated that he had sent a termination of agreement letter to
PolicyWorks. Mr. Wesselmann reported that he submitted a new report to the IUB
concerning payment agreements. Mr. Wesselmann stated that the auditor has been
starting the 2013 Audit, and that he was assisting him with that process.
Chairman Vrieze asked Mr. Wesselmann to address the next agenda, Dredge
America Change Order. Mr. Wesselmann stated that he received an approved change
order from Shive-Hattery for a portion of the previously approved change directive.
The Change order amount would be $24,500.00. Trustee Kerns moved to approve
Change Order #5. The motion seconded by Trustee Weeks. On a voice vote the motion
carried.
Chairman Vrieze asked Mr. Wesselmann to address the next agenda item,
Dredge America Pay request. Mr. Wesselmann stated that he had received a pay
request from Dredge America for the amount of $591,108.05. Mr. Wesselmann reported
that the engineer had certified it for payment. Trustee Kerns moved to approve the
payment of $591,108.05 to Dredge America. The motion seconded by Trustee Weeks. On
a voice vote the motion carried.
Chairman Vrieze asked for a motion to open the public hearing on Water
Revenue Loan Agreement. Trustee Kerns moved to open the public hearing.
Seconded by Trustee Weeks. Roll call vote:
AYES:
NAYS:
Weeks, Kerns and Vrieze
None
The Chairman stated that the meeting was now open to the public comments on
Water Revenue Loan Agreement. After a few questions by Mr. Braga and Mr. Fletchall
there a brief discussion with Mr. Hart on the specifics of the bond. Mr. Wesselmann
stated that he had received no written comments or objections. Chairman Vrieze asked
for a motion to close the public hearing. Trustee Kerns moved to close the public
hearing. Seconded by Trustee Weeks. Roll call vote:
AYES:
NAYS:
Weeks, Kerns and Vrieze
None
Board Member Weeks introduced the following resolution and moved its
adoption, seconded by Board Member Kerns. The Chairman put the question upon the
adoption of said resolution, and the roll being called, the following Council Members
voted:
Ayes: Weeks, Vrieze, & Kerns
Nays: None
Whereupon, the Chairman declared the resolution duly adopted, as hereinafter
set out.
RESOLUTION NO. 6162014A
Resolution taking additional action to enter into a Water Revenue Loan
Agreement and approving a Preliminary Official Statement in connection
therewith
WHEREAS, the City of Winterset (the “City”), in the County of Madison, State of
Iowa, did heretofore establish a municipal waterworks system (the “Utility”) in and for
the City which has continuously supplied water and water service in and to the City and
its inhabitants since its establishment; and
WHEREAS, the management and control of the Utility are vested in the Board of
Trustees (the “Board”) of the Winterset Municipal Utilities; and
WHEREAS, pursuant to a prior resolution (the “2013 Bond Resolution”) the City,
acting by and through the Board, previously issued its $6,720,000 Water Revenue
Improvement and Refunding Bonds, Series 2013A, dated October 1, 2013 (the “Series
2013A Bonds”), a portion of which remain outstanding; and
WHEREAS, the City heretofore proposed to enter into a Water Revenue Loan
Agreement (the “Loan Agreement”) and to borrow money thereunder in a principal
amount not to exceed $4,500,000 pursuant to the provisions of Section 384.24A of the
Code of Iowa for the purpose of paying the cost, to that extent, of constructing
improvements to the Utility (the “Project”), and has published notice of the proposed
action and has held a hearing thereon on June 16, 2014; and
WHEREAS, it has been proposed that the Board enter into the Loan Agreement
with Northland Securities, Inc., Minneapolis, Minnesota (the “Underwriter”) and issue
Water Revenue Bonds, Series 2014A (the “Bonds”) in evidence of the obligations under
the Loan Agreement; and
WHEREAS, a Preliminary Official Statement (the “P.O.S.”) has been prepared to
facilitate the sale of the Bonds, and it is now necessary to make provision for the
approval of the P.O.S. and to authorize its use by the Underwriter;
NOW, THEREFORE, Be It Resolved by the Board of Trustees of the Winterset
Municipal Utilities, Iowa, as follows:
Section 1.
The Board hereby determines to enter into the Loan Agreement in
the future and orders that the Bonds be issued at such time, in evidence thereof. The
Board further declares that this resolution constitutes the “additional action” required
by Section 384.24A of the Code of Iowa.
Section 2.
The Board Secretary is hereby authorized to take such action as
shall be deemed necessary and appropriate with the assistance of the Underwriter to
prepare the P.O.S. and providing for the terms and conditions of their sale, and all action
heretofore taken in this regard is hereby ratified and approved.
Section 3.
The use by the Underwriter of the P.O.S. relating to the Bonds in
substantially the form as has been presented to and considered by the Board is hereby
approved, and the Underwriter is hereby authorized to prepare and use a final Official
Statement for the Bonds substantially in the form of the P.O.S. but with such changes
therein as are required to conform the same to the terms of the Bonds and the resolution,
when adopted, providing for the sale and issuance of the Bonds, and the Board Secretary
is hereby authorized and directed to execute a final Official Statement for the Bonds on
behalf of the Board, if requested. The P.O.S. as of its date is deemed final by the City
within the meaning of Rule 15(c)(2)-12 of the Securities and Exchange Commission.
Section 4.
Further action with respect to the Loan Agreement and the Bonds
is hereby adjourned to the meeting of the Board on July 21, 2014.
Section 5.
All resolutions and orders or parts thereof in conflict with the
provisions of this resolution, to the extent of such conflict, are hereby repealed.
Section 6.
This resolution shall be in full force and effect immediately upon
its adoption and approval, as provided by law.
Passed and approved June 16, 2014.
Chairman
Attest:
Board Secretary
Chairman Vrieze asked Mr. Wesselmann to address the next agenda item,
Resolution # 6162014B Depository Limit Increase. Mr. Wesselmann stated that the
auditor mentioned that we would need to up our depository limit due to the bond
funding being deposited in our accounts. Board Member Kerns introduced the
following resolution and moved its adoption, seconded by Board Member Weeks. The
Chairman put the question upon the adoption of said resolution, and the roll being
called, the following Council Members voted:
Ayes: Weeks, Vrieze, & Kerns
Nays: None
Whereupon, the Chairman declared the resolution duly adopted, as hereinafter
set out.
RESOLUTION #6162014B ESTABLISHING PUBLIC FUNDS DEPOSITORY
RESOLVED that Winterset Municipal Utilities (WMU) utilize the services of
Farmers & Merchants State Bank, Winterset, Iowa (“Depository”) for the deposit of
public funds belonging to Winterset Municipal Utilities, or coming into its possession,
pursuant to a duly executed Agreement to Receive and Repay Deposits of Public Funds.
The maximum amount which may be thus deposited without further approval of this
Board and the Treasurer of the State is $8,000,000.00.
RESOLVED, that the following officers are hereby authorized and directed to
execute said Agreement, to execute and deliver signature authorization cards to
Depository concurrently therewith, and to execute all drafts, checks and other
documents and correspondence regarding any accounts of Winterset Municipal Utilities
at Depository:
Name
Office
Stephen Wesselmann
Term Expires
Secretary & General Manager, WMU
Continuous
RESOLVED that the officers described above are hereby authorized and directed
to take such action, and execute such documents and agreements as may be necessary to
secure the repayment of the deposits of public funds authorized hereunder. Including,
but not limited to: Security Agreements, Bailment Agreements, Notices, and any
documents or instruments supplemental or incidental thereto.
RESOLVED that the Secretary forward a certified copy of this resolution to
Depository, and any other parties which may request it for purposes of effectuating the
deposit of public funds authorized hereunder or any security therefor, together with a
certificate attesting to the names and signatures of the present incumbents of the offices
described above; and that the Secretary further certify to Depository or other parties
from time to time the signatures of any successors in office of any of the present
incumbents.
PASSED and APPROVED this 16th day of June, 2014.
Gerrit Vrieze, Chairman
ATTEST:
Stephen Wesselmann, Secretary
Chairman Vrieze asked Mr. Wesselmann to address the next agenda item,
Resolution # 6162014C Water Rate changes. Mr. Wesselmann stated that he had
prepared 2 versions of the resolution the first with a rate increase for the higher users
and a lake fee increase of $2 now and an additional lake fee of $1 in January 2015. The
second version has a rate increase for the higher users and a lake fee increase of $2 now
and an additional lake fee of $2 in January 2015. The board decided to pass the second
version since it was unclear how much the dredge contractor would be able to over
dredge. Board Member Kerns introduced the following resolution and moved its
adoption, seconded by Board Member Weeks. The Chairman put the question upon the
adoption of said resolution, and the roll being called, the following Council Members
voted:
Ayes: Weeks, Vrieze, & Kerns
Nays: None
Whereupon, the Chairman declared the resolution duly adopted, as hereinafter
set out.
RESOLUTION #6162014C
RESOLUTION MAKING CHANGES TO THE WINTERSET MUNICIPAL WATER
UTILITY USAGE RATES
WHEREAS the governing body of said city utility may establish, impose,
adjust and provide for the collection of rates and charges to produce gross revenues at
least sufficient to pay the expenses of operation and maintenance of the city utility and
WHEREAS the Board of Trustees of the Winterset Municipal Utilities has
reviewed the expenses of the operation and maintenance and existing rates of the
municipal water utility
NOW THEREFORE BE IT RESOLVED by the Board of Trustees of the
Winterset Municipal Utilities to make adjustments in the Water Utility rates as follows:
0 – 100 cu. ft.
next 400 cu. ft.
next 500 cu. ft.
next 1,000 cu. ft.
next 48,000 cu. ft.
over 50,000 cu. ft.
$ 10.25 minimum charge
$ 8.60 per 100 cu. ft.
$ 7.90 per 100 cu. ft.
$ 7.40 per 100 cu. ft.
$ 7.35 per 100 cu. ft.
$ 7.15 per 100 cu. ft.
A surcharge, of $16.00 per month, will be placed on each water service meter connected
to the WMU water system, which is considered an active account.
Rate increase to be effective for the billing due on August 15, 2014.
An additional $2.00 will be added to the surcharge effective for the billing due on
January 15, 2015.
PASSED AND APPROVED this 16th day of June 2014.
Gerrit Vrieze, Chairman
Attest:
Stephen Wesselmann, General Manager
Chairman Vrieze asked Mr. Wesselmann to address the next agenda item, the
Utility employee salary and evaluation discussion. Mr. Wesselmann stated that all
supervisors have been given their annual evaluations with satisfactory results. Mr.
Wesselmann stated that the supervisors were not making a request, but would allow the
board to decide on any increase. Mr. Wesselmann reported what the union contract
called for this year. After a brief discussion, Trustee Weeks moved to approve the 1.5%
increase and set the supervisors wages at the following:
o
o
o
o
o
Steve Benshoof, Water Supt. $2,877.46 bi-weekly (2.0%)
Chuck Johnson, Electric Supt. $2,867.00 bi-weekly (2.0%)
Stephen Wesselmann, General Manager $3,228.12 bi-weekly (2.0%)
Mike Ham, Asst. Water Supt. $2,588.27 bi-weekly (2.0%)
Jay Gibson, Asst. Electric Supt. $2,588.27 bi-weekly (2.0%)
Effective July 1, 2014. Seconded by Trustee Kerns. Roll call vote:
AYES:
NAYS:
Weeks, Vrieze, and Kerns
None
Mr. Benshoof was asked to give the report on the water department. Mr.
Benshoof presented the written report to the board and reported that they replaced
several components on the RO system. Mr. Benshoof stated that he completed the
annual consumer confidence report and published it in the Shopper. Mr. Benshoof
reported that the dredging was now over 1/3 completed. Mr. Benshoof stated that the
fence around the Casper pasture was completed.
Mr. Johnson was asked to give the report on the electric department. Mr.
Johnson presented the written report to the board and reported that they finished their
yearly line inspection. Mr. Johnson stated that they are currently moving the electric
line by the spillway out of the contractors’ way. Mr. Johnson stated that the exhaust
emission project at the plant is essentially done; there is just the final punch list to
complete. Mr. Johnson reported that the roofing replacement at the plant is almost
completed. Mr. Johnson stated that they have finished burying electric lines at the
fairgrounds. Mr. Johnson stated that he was moving Colt Eyerly and Logan Silliman
from Range 18 Step 1 to Range 18 Step 2 due to a satisfactory evaluation and completed
training.
Trustee Vrieze stated he had reviewed the claims. Trustee Vrieze moved to
approve the following list of claims. Seconded by Trustee Kerns. Roll call vote:
AYES:
NAYS:
Weeks, Kerns and Vrieze
None
UTILITIES
ELECTRIC
PLANT:
Breedings Hardware, hdw supplies
Brittains Std Parts, generator batteries
Carquest of Winterset, generator batteries
CenturyLink, phone service
City of Winterset, salaries
City of Winterset, salaries
Doc’s Soft Water, office supplies
MidAmerican Energy, gas service
Norsolv Systems Enviro Service, machine service
SIMECA, purchase power
Wiegert Disposal, garbage service
12.83
861.39
1,304.72
201.71
1,124.31
1,405.38
5.89
649.86
169.01
222,281.96
36.75
DISTRIBUTION:
Agriland FS Inc., gasoline
Beth Thornton, rebate
Breedings Hardware, hdw supplies
Brittains Std Parts, charger
CenturyLink, phone service
City of Winterset, salaries
City of Winterset, salaries
Family Center, hdw supplies
Fletcher Reinhardt Co., line supplies
Fred Stoeffler, rebate
Gary Jensen, rebate
Iowa Assn of Municipal Utilities, CIASSO dues/workshop reg
Iowa One Call, locates
Jeremy Phelps, rebate
Kris-Davis Co., spillway project
Lisa Nicholson, rebate
Logan Silliman, reimb expenses
MidAmerican Energy, gas service
Phil Macumber, rebate
Scott & Jennifer Schiefelbein, rebate
Steven Moss, rebate
WESCO, line supplies
Wiegert Disposal, garbage service
Winterset Oil Co., gasoline
ACCOUNTING/COLLECTION:
City of Winterset, reimb internal
City of Winterset, reimb sewer/reimb garbage
City of Winterset, salaries
City of Winterset, salaries
Postmaster, postage
Postmaster, postage
19.96
25.00
154.62
47.07
23.43
10,265.56
9,984.50
59.90
421.52
35.00
25.00
832.12
29.48
25.00
22,345.26
25.00
10.15
77.13
25.00
70.00
35.00
1,316.04
30.00
800.59
1,016.78
9,878.08
1,194.24
624.33
124.89
588.11
ADMINISTRATION:
City of Winterset, benefits
City of Winterset, benefits
City of Winterset, reimb internal
City of Winterset, salaries
City of Winterset, salaries
City of Winterset, transfer
Madison Co Chamber of Commerce, EVP contribution
Madison Co Historical Society, lighting proj donation
Verizon, cellular service
Water Fund, reimb utilities
11,276.19
2,273.09
1,016.78
2,023.27
2,818.27
15,810.00
468.75
1,400.00
68.41
6,500.91
TRANSFERS:
Electric System Improvement, transfer
Electric Revenge Bond Sinking, transfer
5,500.00
36,987.08
ELECTRIC REVENUE BOND SINKING FUND
DEBT SERVICE:
SIMECA, deb service
17,000.00
WATER
PLANT:
Agriland FS Inc., gasoline
Breedings Hardware, hdw supplies
Brittains Std Parts, battery/rags
Carbon Central LLC, chemicals
CenturyLink, phone service
Chem-Sult Inc., chemicals
City of Winterset, salaries
City of Winterset, salaries
DPC Industries Inc., chemicals
Electrical Engineer & Equip, repair kits
Family Center, hdw supplies
Green Turf Florist, sympathy flowers
Hach Co., lab testing
Hughes Network Systems LLC, internet service
Jetco Inc., pump repairs
Lawson Products Inc., hdw supplies
Madison Co Environmental, annual admin fee
Outback Embroidery, safety clothes
State Hygienic Laboratory, lab testing
USA Blue Book, pump repairs
Wiegert Disposal, garbage service
Winterset Municipal Utilities, utilities
Winterset Oil Co., gasoline
238.45
48.74
112.78
47,895.00
149.31
17,939.77
4,892.82
5,611.10
1,954.95
1,185.35
7.91
42.80
690.93
79.99
5,126.70
176.18
50.00
123.08
243.00
733.89
60.00
6,500.91
61.00
DISTRIBUTION:
Agriland FS Inc., gasoline
Breedings Hardware, hdw supplies/safety clothes
CenturyLink, phone service
City of Winterset, salaries
Iowa Assn of Municipal Utilities, CIASSO dues
Iowa One Call, locates
John Deere Financial, equip repairs
MidAmerican Energy, gas service
Municipal Supply Inc., line supplies
Payroll Account, salaries
Wiegert Disposal, garbage service
Winterset Oil Co., gasoline
238.45
164.83
23.42
6,970.71
232.12
29.48
61.12
77.13
610.10
5,116.17
30.00
174.72
ACCOUNTING/COLLECTION:
City of Winterset, reimb internal
City of Winterset, salaries
City of Winterset, salaries
Postmaster, postage
Postmaster, postage
1,016.78
1,194.24
624.33
124.89
588.11
ADMINISTRATION:
City of Winterset, benefits
City of Winterset, benefits
City of Winterset, reimb internal
City of Winterset, salaries
City of Winterset, salaries
City of Winterset, transfer
Madison Co Chamber of Commerce, EVP contribution
PRO Team Insurance, audited premium
The Shopper, water quality report
Verizon, cellular service
Winterset Madisonian, ad
11,381.78
2,348.88
1,016.78
2,023.27
2,818.27
1,190.00
156.25
97.54
815.70
68.40
13.86
TRANSFERS:
Water Revenue Bond Sinking Fund, transfer
Water System Improvement Fund, transfer
19,849.17
5,000.00
WATER SYSTEM IMPROVEMENT FUND
PLANT:
Dredge America, pay estimate
Casper Farm Inc., lease payment
TOTAL REVENUE
ELECTRIC:
WATER:
710,395.88
15,000.00
$507,713.21
$147,105.51
The date of the next regular meeting was set for 8:30 AM, Monday, July 21, 2014
at Light Plant. Being no further business, the Chairman declared the meeting was now
adjourned.
_______________________________
Gerrit Vrieze, Chairman
Attest:
____________________________________
Stephen Wesselmann, General Manager