Finance Minutes 2/2/2010

Minutes of the Finance Committee meeting held on Tuesday, February 2nd, 2010 pursuant to notice duly given.

1. Meeting called to order at 5:00 p.m. pursuant to notice duly given by Chairperson Maas.

2. Roll call: Jack Maas, Dick Doeren, Joe Stiloski and Tom Fulton. Excused: Ed Young. Also present Mayor Nerenhausen and Linda Belongia Administrator and
as recording secretary.

3. Moved by Doeren seconded by Stiloski to approve of the agenda as presented.
Motion carried upon verbal voice vote. 4 ayes

4. Correspondence/public appearances: Belongia stated on the Council agenda for 2/9/2010 will be a recommendation from last evening’s utility commission meeting on the final pay request to Advance Construction in the amt of $71,872.32 for the North Shore Sanitary Sewer Forcemain; work was done from the lift station on Pecor and Hart to the WWTP; project has been a huge success; eliminated approx 100,000 G.P.D. from entering the WWTP which equates to $42,000 per year saved in treatment costs;

Belongia also stated on the March Finance meeting will be a recommendation from the BPW on a change order decreasing the $225,000.00 contract amount with United Construction for the public works building which will be a deduct to what will be paid to United in the amt of $90,492.80 as the city purchased some materials for this project saving the sales tax which would have been $4,977.09 for a total deduct to the contract price for a new contract price of $129,530.11.

5. Discussion/recommendation on:
a. Request for deferment on special assessment from Arnold & Roseann Coel was tabled from January meeting to allow for further research; Belongia stated the county treasurer stated any tax collection payments first will satisfy special assessments and then the property taxes on a parcel per Wis. Statutes; Belongia stated that Atty. Mraz has reviewed this request, but had a jury trial today so couldn’t attend this meeting, so suggested that Finance refer this to the Com of the Whole with no recommendation to allow for input from Atty. Mraz.
Moved by Fulton seconded by Stiloski to recommend request for deferment on special assessments to the Com of the Whole with no recommendation.
Motion carried upon verbal voice vote. 4 ayes

b. Discussion on Tax Exempt properties, Cooperation Agreement with OKATO Manor and requests for PILOT’S; John Wittkopf, member of the Housing Authority present representing OKATO Manor; committee provided copy of the agreement entered into by the Housing Authority and City of Oconto 1/10/1966; Wittkopf stated the housing authority approved of a construction project that will put up a bldg approx 50 x 50 for recreation needs for the tenants receiving $108,000 in stimulus funds; when they bid out the project came in over what they anticipated; asking that the city for 2010 only allow for a reduction in the PILOT that is paid in late July or August after their auditors have completed the financial review of their books; for 2009 received over $15,000; asking for relief for 2010 only that only $5,000 would be accepted by the city to help them meet their construction budget shortfall; discussion; Maas stated city costs don’t go down, the agreement that is in place is for services received by the authority and is a legal document; Wittkopf stated we have eight vacancies right now and times are tough, just asking for help for this year; Discussion; Belongia stated the revenue that the lease states must be paid is already budgeted to be received for 2010, so if not will be a shortfall; Mayor stated the city could make a donation rather than reducing the PILOT payment; discussion…either way if we allow for reduction from what was budgeted or we take from the city general fund, it still affects the tax payers; Doeren questioned are we opening ourselves up if we grant this request; Fulton stated on previous item deferment on spec assessments we’ve been told Atty. Mraz has concern on forgiving assessments, treating everyone the same, how will this be perceived;
Wittkopf stated the housing authority is working on their budget and would like to know if city will allow for reduction;

Moved by Doeren seconded by Fulton to refer the request from the Housing Authority to Atty. Mraz and have on the 2/9/2010 Council agenda for a report and action.
Motion carried upon verbal voice vote. 4 ayes


c. Discussion on recommendation from Harbor Commission on final pay request for EMT Construction Services in the amt of $1,878 for the City Docks Boat Ramp Repair Contract OC-09-F. Doeren provided pictures showing the gaps between the slabs; Maas stated concern on the project overall, watched at times during the work, heard this was this contractor’s first time doing this; Doeren agreed, appeared the contractor wasn’t sure…why we should hold back on this final payment; Maas stated should have warranty year on project, wait to see if any problems develop before making final payment; Mayor and Belongia stated we have a warranty on job; Wittkopf stated he’s talked with a couple fishermen who have used the new ramps and they stated they pose no problem; Doeren referenced pictures and that at the harbor meeting they were told the city could fill in those gaps, feels it’s the contractor’s responsibility, not the city;
Fulton agreed;

Moved by Fulton seconded by Doeren to hold in abeyance the final payment to ETM Construction for Contract OC-09-F in the amount of $1,878.00 to make sure the ramps are accepted to our specifications and the contractor fills the spaces between the slabs in with stone.
Motion carried upon verbal voice vote. 4 ayes

d. Moved by Doeren seconded by Fulton to accept as presented and recommend to Council the listing of carryover accts from 2009 to 2010.
Motion carried upon verbal voice vote. 4 ayes

e. Moved by Stiloski seconded by Fulton to accept as presented and recommend to Council the listing of accounts payables for $441,359.25; payroll for $195,772.35 and financial reports as presented.
Motion carried upon verbal voice vote. 4 ayes

6. Moved by Doeren seconded by Stiloski to adjourn. M/C
Meeting adjourned at 5:37 p.m.


Minutes submitted by
Linda M. Belongia,
Administrator