Milford Council Studies Bonds For Wastewater Plant
December 13, 2016 at 4:52 p.m.
By JUDE STRIEBY-RASKA-
Two options were presented to the board by Ross Hagen from Umbaugh and Associates.
The first option involved a level debt service schedule, which involves paying more in the first eight years while the 2004 bonds are still outstanding, but which will save $44,000 in total interest paid over the life of the bond. The end result of this bond is a higher payment, but less interest paid overall.
The second option is a proposed wrap-around service, the goal of which is to wrap the proposed 2017 debt schedule around the town’s existing debt service. Because the existing debt service is outstanding until 2024, the new bonds under the wrap-around option would delay the principal payment until 2025 in order to minimize the rate impact overall for the end user, but at the cost of $44,000 more in interest over the life of the bond. The end result of this bond is lower payments, but a higher cost overall.
After much discussion, the council gave their preference for the wrap-around plan.
“We’re all looking out for what’s best for our users here,” said Vice President Doug Ruch. “I see the wrap-around as beneficial to the end user because it's going to keep the rates down.”
Councilman Dan Cochran brought up the continuing issue of lack of adherence to local building ordinances and a new obstacle they have experienced.
“It's become pretty obvious that we have two problems: We have the problems with compliance, but we also have the problem with getting our building inspector to move forward,”?he said.
Cochran related that he, as well as others, have contacted the building instructor about the delinquent properties only to be given no response. He proposed replacing the current inspector.
Town attorney Jay Rigdon suggested sending the open ordinances to the commissioner before replacing the current building inspector.
At this point, a citizen gave voice to his frustration over the stalled ordinance enforcement. Cochran said that the council understood his point of view and were doing what they could to take action.
“You are a taxpayer. You absolutely have the right to ensure your property is safe, your neighbor’s property is safe,” said Cochran. “We’re going to take measures, we are going to resolve things.”
Rigdon explained that the council is bound by the Indiana building code which they need to comply with.
“We have hoops we gotta jump through,” he noted. “Even if the council knows it’s obviously a building that needs repaired, we still gotta jump through those hoops.”
Cochran summarized the subject by stating the council’s position on the derelict buildings.
“We want people to move to this town and to try to improve the town,” he assured. “We’re going to keep trying, and we will win.”
The council passed a motion to make Steven Marquart the water operator and street superintendent, a position that was recently made permanent.
A motion also was passed to allow all seven lift stations to be cleaned at $150 to $170 per hour.
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Two options were presented to the board by Ross Hagen from Umbaugh and Associates.
The first option involved a level debt service schedule, which involves paying more in the first eight years while the 2004 bonds are still outstanding, but which will save $44,000 in total interest paid over the life of the bond. The end result of this bond is a higher payment, but less interest paid overall.
The second option is a proposed wrap-around service, the goal of which is to wrap the proposed 2017 debt schedule around the town’s existing debt service. Because the existing debt service is outstanding until 2024, the new bonds under the wrap-around option would delay the principal payment until 2025 in order to minimize the rate impact overall for the end user, but at the cost of $44,000 more in interest over the life of the bond. The end result of this bond is lower payments, but a higher cost overall.
After much discussion, the council gave their preference for the wrap-around plan.
“We’re all looking out for what’s best for our users here,” said Vice President Doug Ruch. “I see the wrap-around as beneficial to the end user because it's going to keep the rates down.”
Councilman Dan Cochran brought up the continuing issue of lack of adherence to local building ordinances and a new obstacle they have experienced.
“It's become pretty obvious that we have two problems: We have the problems with compliance, but we also have the problem with getting our building inspector to move forward,”?he said.
Cochran related that he, as well as others, have contacted the building instructor about the delinquent properties only to be given no response. He proposed replacing the current inspector.
Town attorney Jay Rigdon suggested sending the open ordinances to the commissioner before replacing the current building inspector.
At this point, a citizen gave voice to his frustration over the stalled ordinance enforcement. Cochran said that the council understood his point of view and were doing what they could to take action.
“You are a taxpayer. You absolutely have the right to ensure your property is safe, your neighbor’s property is safe,” said Cochran. “We’re going to take measures, we are going to resolve things.”
Rigdon explained that the council is bound by the Indiana building code which they need to comply with.
“We have hoops we gotta jump through,” he noted. “Even if the council knows it’s obviously a building that needs repaired, we still gotta jump through those hoops.”
Cochran summarized the subject by stating the council’s position on the derelict buildings.
“We want people to move to this town and to try to improve the town,” he assured. “We’re going to keep trying, and we will win.”
The council passed a motion to make Steven Marquart the water operator and street superintendent, a position that was recently made permanent.
A motion also was passed to allow all seven lift stations to be cleaned at $150 to $170 per hour.
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