Minutes-09/04/1968

Mr. Koch said that underground storage has been considered in some cases. It is cheaper, but the operating expense is higher because you have not only a water pressure pump but also a pneumatic pump, and unless you get elevation by terrain you would have to have a new design for it and would have to go back to bid on the one item. Basic engineering covers only the design, bid letting, the general supervision of construction, and the report. It does not cover by definition the inspection of putting in the system to see that it is done as specified. Interest in the estimate is payment that would be due on January 1969 if the bids were closed tonight. Mr. Koch was asked about the possibility of F.H.A. increasing the grant to the town. He said that at this time he would guess that there would be no possibility of that. The possibilities were discussed of financing part of the system with general obligation bonds, and also an increased tap-on fee. Bill Bream stated that he was in favor of re-bidding the water tower contract (in view of the irregularity of the bid) but not in favor of adding anything to the tap-on fee. Mr. Reed will check the figures on bids, and copies will be sent to F.H.A. The estimated distribution at this time would be: $68,000 loan @ 4% 14,000 grant 47,000 loan @ 5% $149,000 Ned moved, Glenn seconded the motion to proceed and to re-advertise the bids for Contract D and to recommend that the bid received from the Globe Industrial Contractors be rejected because it was not in proper form. All in favor. Mr. Reed thereupon discovered from the fine print that the bond election which was voted on specified a total project cost not to exceed $115,000. This means that it will be necessary to hold a bond election, placing the amount of the project not to exceed $150,000. The council advocated holding the election just as soon as possible, at the same time re-advertising for bids on Contract D. An information letter or letters will be sent out to the townspeople in the meantime. NEW BUSINESS: Glenn moved, Fred seconded the motion to accept the following money: Johns. Co. Treas. . . . . . $920.02 Sewer receipts . . . . . . 104.62 Ia. Ill. Gas & Elec. . . . . $74.00 U. of Iowa (dog) . . . . . 2.50 Glenn, moved, Ned seconded the motion to pay the following bills: Electric . . . . $100.76 Judy Beckler . . . 10.00 DeWaine Slade . . . . . $208.50 PRESS-CITIZEN . . . . . 101.30 (water publ.)