Clare adopts bond measures for Clare North project

August 22, 2014

By Pat Maurer

Construction may begin as soon as September 4th on Clare’s north industrial park, City Manager Ken Hibl said at Monday’s Clare City Commission meeting.

“We have received approval from the Economic Development Administration to award the contracts associated with our new industrial park project,” he said in his City Manager’s report.

At the meeting, the Commission approved a resolution to issue Capital Improvement Bonds, 30-year tax obligation bonds, for the industrial park project and new water tower at the meeting and also approved two ordinances, one to issue 40-year Sewer Revenue Bonds and the second to issue 40-year Water Revenue Bonds.

The Capitol Improvement Bonds will be sold to the United States Department of Agriculture totaling $565,000 for the portion of the local match funds required for the general construction at the park – roadways, electrical service, lighting, data, cable, natural gas and storm drains. The interest rate is 4 percent and annual payments managed by the newly formed Local Development Finance Authority until the loan is repaid. The LDFA will “capture” tax funds from industry in the park to repay the loan.

The City’s local match for the water and sewer projects will be $560,000 and $335,000 respectively with totals to be financed through the sale of Revenue Bonds. Both loans have an interest rate of 3.25 percent and will be repaid through income to the Sewer and Water funds.

The bonds can be issued ten days after the resolution was adopted. Construction can begin as soon as the City is able to issue the Notices to proceed, Hibl reported.

It was a busy meeting Monday with a long agenda list of business for the Commission to consider.

Bids were approved for several road projects in the City.

For reconstruction on Maple Street between West Fifth and West Sixth Streets, the bids were awarded to Rite-Way Asphalt – $13,607 for paving, North Star – $5,733 for concrete work and Harsh Excavating – $8,059.20 for excavation work. The total of the bids is $27,399.

On Orchard Street to repair a major, repetitive water main break the Commission awarded the $6,381 bid from Rite-Way Paving.

For the reconstruction on one block of Pine Street between East State and East Seventh Streets, the bids were awarded to Rite-Way – $15,415 for asphalt work, Harsh Excavating – $8,749.80 for excavation work, and North Star – $7,032 for curb and concrete work. The total for the project is $31,196.90.

Other business Monday included:

*Recognition of Alan Jessup for 35 years of service to the City.

*Approval of a renewal of the Michigan Department of Transportation State Trunkline Maintenance Contract.

*A public hearing and subsequent approval to apply for a $14,000 USDA grant to pay 75 percent of the cost of a compressor to fill Fire Department breathing tanks.

*Approval of a Waste Hauler’s permit for American Waste.

*Approval of a bid of $15,413 from Lake Painting to prepare and paint the floors in the Public Safety Building with a non-slippery surface.

*Approval of a lease between the City and the Chamber of Commerce for $50 per month to defray utility costs while they are housed in City Hall.

*Designation of Mayor Pat Humphrey as delegate and Bob Bonham as alternate for the Michigan Municipal League annual meeting.

*Re-appointment of Brad Martin to the Construction Board of Appeals.

*Approval of a $7,210 bid from Freedom Landscaping to replace the ramp at the drying beds at the City’s wastewater treatment facility.

*A report from Hibl that the proposal to decriminalize small amounts of marijuana in the City will be on the ballot in November. Hibl noted that it doesn’t matter what the voters say, the use of marijuana will still be illegal by State law.


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