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<br />MINUTES OF AN ADJOURNED N~EETING GF THE
<br />COUNCIL OF THE CITY OF NORTH OLMSTED, OHIO
<br />SEPTEMBER 28, 1959 - 8:14 P.NI.
<br />This meeting was called for the purpose of coordinating reports from
<br />the Engineering Firm, Fiscal Agents, and Legal Firm to discuss the
<br />necessary action to expedite the sewer program. Representing these
<br />divisions were: Mr. Kuhn, Mr. Baxter, and Mr. Gates, respectively.
<br />Present were Paul J. Gareau, Mayor; Ralph A. Hazelton, President of
<br />Council; Evelyn Hinkel, Eddie Hixson, Mary Alice Lynch, Bruce MacDonald,
<br />and James T. Wilson.
<br />Also present were Lloyd E. Barnes, Service Director; Alex Kanareff,
<br />Engineer; and E. P^. Christman, Clerk,
<br />Absent: Thomas J, Raleigh, Safety Director; Alice Dobbins Rhine, Treasurer;
<br />C. J. Oviatt, Solicitor; ~iJ. H, Kramer, and Francis J. O'Neill.
<br />Mr. Baxter commented the Federal Grant of $250,000.00 is subject to certain
<br />conditions; these being, that construction is in progress by January lst,
<br />1960 which creates a vital timing problem. The County Budget Commission
<br />released $521,000.00 to apply to the sewer project, which amcunt would
<br />require a tax levy of over twenty-four mills to accumulate in one year's
<br />time.
<br />Official notice of the Federal Grant should be forthcoming within the
<br />next few days.
<br />It will be necessary to pass a resolution of Council accepting the grant,
<br />and signed copies submitted to the Federal Government. By January 1st,
<br />construction contracts must be let on the plant portion at least, Orio
<br />laws specifically state by January 1st, or the grant could be lost. Do
<br />not depend upon an extension.
<br />Receipts from the County grant should start in the middle of January, at
<br />approximately $25,000.00 per month, with $300,000.00 coming in about the
<br />middle of August, 1960. It is recommended the City be very careful how
<br />it uses thia money as it wi_11 depend upon its use of these funds for
<br />further grants for the sewer program.
<br />The $1,700,000.00 general obligation bond issue will be placed on the
<br />November 3rd ballot. This has already been done anal certified to the
<br />County Auditor at a millage necessary to be applied over the whole city
<br />of 2.3891 mills, or $2.39 per $1.,000.00 valuation, over a period of forty
<br />years. For example: If a property is valued at $5,000.00, tY~e tax levy
<br />will amount to $11.95 per year to service that amount of the $1,700,000.00.
<br />The amount of $2.39 per x$1,000.00 valuation applies to any properties to
<br />determine the assessment.
<br />All recommendations are based upon the assumption the bond issue wi]_1
<br />pass. If it does not pass, the people are short-sighted, as it is
<br />certainly much needed and also mandatory by the State Department of
<br />Health. It is also cheaper than paying a fine to the State of Ohio.
<br />Special assessment bonds in this program would be to benefited properties
<br />as sewer service is available. Based on an average benefited property,
<br />the assessment would be approximately $12.00 per year general obligation
<br />over a forty year period, X47.50 special assessment per year, over a twenty
<br />year period, plus a sewer rental charge of approximately $5.00 per month.
<br />Some portion of the general obligation bonds will cover trunk lines, and
<br />the laterals will be by special assessment. Revenue bonds are not a direct
<br />oblig~+.tion of the municipality and could be paid as a sewer charge to
<br />pa.y personnel, etc., and kept to a minimum to be used for further expansions
<br />or payin principal on voted bonds. Also the millage 1_evy could be reduced
<br />by this income.
<br />At the present time, the cost of the Treatment Plant is estimated at
<br />$1,505,820. With the initial step, Zone 1 at approximately $1,$631650.00,
<br />it is highly feasible to continue across Brookpark Road taking in the
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