Meeting Minutes, Town Board, October 24, 2019

October 24, 2019 

  1. Chairman Terry Theis called the special meeting of the Town of Liberty to order at 6:00 pm. on Thursday, October 24, 2019 at the Liberty Town Hall. Members present were Terry Theis, Nicole Rakobitsch, Treasurer Karen Peterson and Clerk Lori Polhamus. Supervisor Adrian Amelse was excused.
  2. First Period for public comment – None
  3. Resolution for purchase of fire engine and funding – Jeff Liska and members of the fire department were in attendance to explain the fire engine. It would have a life span of 20 years and they would like to change the fleet from seven to five. This would have a high pressure system that does less damage to homes and they can get into the rugged terrain we have around here. They looked at lease options but it would end up costing more. One of the current trucks is still attached to a federal grant so they can’t sell it yet until the grant is released which they are working on.They are purchasing it from Pierce and they require the entire payment up front and guaranteed the price until December 31stas the prices go up in January. Total contract price is $363,975 so our 1/3 share would be $121,325 with the interest discount. Motion by Rakobitsch/second by Theis to approve the resolution to purchase the fire engine. All in favor. Motion carried.
  4. Discussion with possible action on capital equipment purchases – grader, truck, fire equipment - Our 1980grader is leaking oil, the hydraulics are bad in the blade and we have an estimate from Fabco of $16,000 plus to fix the issues with it plus an additional $10,000 to overhaul. Orlin has found a used 1994 grader at Fabco for $60,000 with 8000 hours that is in good condition with a new transmission. There is a 2001 model with 3000 hours on it for $77,000 in Minnesota. We could maybe get about $3500 for trade in of ours as is. The truck needs a new head gasket, power steering reservoir, the apron & sander need to be tightened and the chain needs to be replaced. The motor is also leaking oil. LaFarge Truck Center won't fix it so it needs to go to LaCrosse Truck Center with worst case scenario fix of about $28,000. We would not be able to get a new truck for over a year and there aren't any available to lease. It could take from 4 days to three weeks to fix the truck and we would need to fix anyway to trade. New trucks can run $160,000 or more. The fire equipment for $7100 was already approved at a previous meeting.
  5. Discussion with possible action on bank loan for capital debt financing– Citizens First Bank will do a locked in ten year loan at 2.75%interest which on a $200,000 loan would be $23,150 per year debt payment. Our current debt levy that is expiring is $16,994. If we wanted to keep the levy amount the same we could pay $16,500 per year with a balloon payment at the end that could be refinanced after ten years for an additional five. WCCU gave us a quote but it was at commercial rates which were not competitive with the bank. Rakobitsch suggested having the fire truck @ 121,325, the fire equipment at $7100, the grader at $60,000 and between $10,000-$30,000for the truck repair included in the bank loan. This would bring the total loan to $218,425 with an annual payment about $25,281 for debt service. Orlin will check with LaCrosse Truck Center to see if we can get a better estimate on the repair prior to the November meeting for the official loan. Motion by Nicole Rakobitsch/second by Terry Theis to authorize the purchase after a successful test run at our location of the 1995 Cat grader for $60,000. All in favor. Motion carried.
  6. Second period for public comment –None Motion by Rakobitsch/second by Theis to adjourn the meeting at 7:28 pm. All in favor. Motion carried.

Minutes submitted by: Lori Polhamus, Town Clerk