HomeMy WebLinkAbout06-08-09 Utilities CommitteeA ~ ~~ ~4
°~~ s Utilities Committee _
2009 South Bend Common Council
The June 8, 2009 meeting of the Utilities Committee was called to order by its Chairperson, Council
Member Oliver J. Davis at 4:15 p.m. in the Council Informal Meeting Room.
Persons in attendance included Council Members Dieter, Henry Davis, Jr., LaFountain, Puzzello,
Varner, Oliver J. Davis, Rouse and White; Mayor Stephen J. Luecke, Public Works Director Gary
Gilot, City Controller M. Catherine Fanello, Robert Matia, Marty Wolfson, Martha Lewis, Rita
Kopola, Phil Faccenda, Jr., Jennifer Wilson, Andy Lambaris, and Council Attorney Kathleen
Cekanski-Farrand.
Council Member Oliver J. Davis noted that the Committee consists of Council Members Kirsits,
Puzzello, LaFountain and himself.
Substitute Bill No. 38-09 Proposed Appropriation of Funds for Capital Expenditures:
Council Member Oliver J. Davis called for a presentation on Bill No. 38-09 which is a request to
appropriate money from the Water Works Depreciation Fund # 622 and from the Sewage Works
Depreciation Fund # 642 for capital projects.
City Controller M. Catherine Fanello made the formal presentation. She noted that she filed a
substitute version of the bill this afternoon.
Public Works Director then reviewed the capital items set forth in Exhibit A which is referenced and
attached to the Bill. He noted that the Water Works Fund # 622 would appropriate $1,107,100 for
various main extensions, buying water meters and repairing pumps and roofs.
In response to a question from Council Member Oliver J. Davis, Mr. Gilot noted that the water meters
would last between 15-20 years.
Mr. Gilot then reviewed the capital items which will be paid from Environmental Services Fund # 641
in the amount of $3,367,000; and $245,300 from Sewers. Mr. Gilot noted that several trucks would be
rehabilitated and that there would be a more efficient use and saving of labor costs.
There was no one from the public to speak in favor or in opposition to the substitute bill.
Council Member Puzzello made a motion, seconded by Council Member LaFountain that Substitute
Bill No. 38-09 be sent to the Council with a favorable recommendation. The motion passed.
Substitute Bill No. 36-09 Request to Authorize Issuance of $6.2 Million of Revenue Bonds for
Municipal Waterworks Improvements
Council Member Oliver J. Davis called for a presentation on Substitute Bill No. 36-09 which is a
request to authorize the issuance of revenue bonds in a principal amount not to exceed $6.2 million for
various Municipal Waterworks Improvements.
Utilities Committee
June 8, 2009
Page 2
Philip J. Faccenda, Jr., an attorney with Barnes & Thornburg, LLP with offices located at 600 1st
Source Bank Center in downtown South Bend made the formal presentation. He introduced Jennifer
Wilson from Crowe Chizek and Andy Lambaris from DLZ, Inc. who were available for any questions.
Mr. Faccenda noted that the $6.2 million revenue bond would fund upgrades, expansions, additions,
replacements, extensions and improvements to the Waterworks including such items as:
• Repair and replacement of a roof on the 5.5 million gallon reservoir
• Repair~of an under drain and replacement of the filter media at a filtration plant
• Replace four (4) main line valves
• Installation of a water main extension south of Ireland Road and redesign, repair and replace
the control valves for the Ireland Road Tank
• Installation of a water main extension from Carroll Street and Johnson Road to Lucinda Street
and to US 31 from Lilac Road to Armstrong Drive along Kern Road
• Purchasing two (2) tandem axle dump trucks and one (1) backhoe
• Purchase residential water meters
He noted that the Indiana State Revolving Fund has approved a $300,000 grant; and that the Federal
Stimulus money is for "shovel ready projects" many of which are backlogged projects, but that the city
has not received confirmation from the federal government if these projects meet their criteria.
Mr. Faccenda noted that NO rate increase is anticipated as a result of the proposed revenue bonds.
In response to a question from Council Member Oliver J. Davis, Mr. Faccenda noted that if the city
does not do the financing, that the grant money from the state will not be available.
In response to a question from Council Member Henry Davis, Jr., City Controller M. Catherine Fanello
stated that Water Works had a debt roll off, and that the overall debt services is decreasing.
There was no one from the public to speak in favor or in opposition to the substitute bill.
Following discussion, Council Member LaFountain made a motion, seconded by Council Member
Puzzello that Substitute Bill No. 36-09 be sent to the Council with a favorable recommendation. The
motion passed.
There being no further business to come before the Committee, Council Member Oliver J. Davis
adjourned the meeting at 4:31 p.m.
Resp" /1~ sub if~ed,
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~-= ouncil e~~ber liver J. Davis, Chairperson
utilities ~ommittee
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