MAY 16, 2011
Kabetogama Township Special Meeting
The special meeting began at 7:15 pm. Chairman Nevalainen opened the meeting by having all persons attending introduce themselves. Chairman Nevalainen introduced Julie Kennedy (SEH) and asked that she take over this next part of the meeting.
PPSSD explanation – the project is currently funded for the 1.5 mil through the PFA, two different programs. The first program that it is under is the small communities waste water treatment program for 1 million under a 50/50 grant & loan. The third $500,000 comes from the clean water revolving fund. We are at 43% grant with the remaining, loan. The design is spray irrigation; woodland irrigation is only fundable in certain programs. SEH has had to manipulate some of the design and some of the project so that it meets the audits that the funding agency need to go through so they can sign off and say it is eligible through the projects. Of the 1.5 million when you adjust numbers here and there so that eligibility is defensible for the project we are at 43% grant and the remaining loan. Commissioner Nelson has met with the IRRB for the remaining funds to bring us back up to the 50% mark. The Kabetogama Township Board has agreed to move forward if we could be at the 50% funding mark. Small Communities program is for physcal year 2011and ends June 30th 2011. We need to move forward prior to June 30th with a commitment, with the remaining million coming in 2012 which starts July 1st. We qualify as a green project. We need to move forward quickly with the project to have access to those funds before other entities get them.
Financial Advisor – Scott Harder was hired by the Kabetogama Township Board at our May 3rd.meeting. Scott was shown around by Supervisor Town on Thursday the 12th of May.
Currently there are no board policies set as to how the members of the PPSSD will be assessed for this project. How do the members of PPSSD want to be assessed at this time – capitol cost for installation at each site (by EDU). Capitol cost would be covered by everyone in the district. Metering seemed to be a choice. Julie explained many different scenarios that could be used. A lengthy discussion followed on this topic with many different opinions as to this process. Nothing was determined at this meeting. The Financial Advisor will give his recommendations to the Township board at a later meeting and at that time some decisions will be made and rules put into place.
This project is a 1.5 million dollar project; the small communities waste water program is really for small systems multi year commitments can be made but only 1, $500,000 commitment per state phiscal year July 1 to June 30th. What we need now is funding for cash flow. The first could possible be funded by the end of June if all goes well. The advantage of going forward right now is that the funding is available, if we wait until after June 30th the funding is not secure and may not be available.
The financial advisor will bring to the township meeting breakdowns to show to the PPSSD members what the costs will be. This is to be presented at the June 7th township regular board meeting.
Bond Counsel – Mary Francis Skalla was hired by the township for the PPSSD on a motion by Supervisor Town, seconded by Supervisor Kiner, motion carried.
Chairman Nevalainen moved to continue on with the PPSSD project and begin filling out financial paper to move forward, seconded by Supervisor Town, motion carried.
Chairman Nevalainen moved to adjourn the meeting, seconded by Supervisor Town, motion carried.
Mary Manninen, Clerk