General Information

Government Type

Municipality

Entity

Oak City

Public Body

Oak City Town Council

Notice Information

Add Notice to Calendar

Notice Title

Minutes

Notice Tags

Public Meetings

Notice Type(s)

Meeting

Event Start Date & Time

June 20, 2024 07:30 PM

Description/Agenda

Minutes of Oak City Town Board Public Hearings and Regular Meeting held June 20, 2024 The meetings were held at the Oak City Town Hall in the Conference Room beginning at 7:30 p.m. The following were present: TOWN OFFICIALS Mayor Shim Callister Council Member Dave Steele Council Member Jared Rawlinson Council Member Tom Nielson Town Clerk Karen K. Lovell Town Recorder Angie Dewsnup OTHERS Traci Callister Council Member Copeland Anderson was not in attendance. The invocation was given by Shim. The first public hearing began at 7:30 p.m. The purpose of this public hearing was to get public comment on the 2023-2024 Town of Oak City Budget and prepare it to be Opened, Amended, and Adopted during the Regular Town Board Meeting following the two public hearings. Dave reported that he had Dixie Power come do a couple of projects. This expense will need to go in the current budget. There was no public comment. The Mayor adjourned this public hearing at 7:25 p.m. The second public hearing began at 7:26 p.m. The purpose of this public hearing was to get public comment on the proposed 2024-2025 Town of Oak City Budget and prepare it for consideration of adoption during the Regular Town Board Meeting following the two public hearings. Dave reported that there will likely be an increase in the price of power being delivered to Oak City Town due to a proposed 2% transmission rate increase requested by Rocky Mountain Power. Utah Associated Municipal Power Systems (UAMPS) is protesting the increase but if it goes through, this will increase the Town's power bill. It is due to recovering costs for fire mitigation that RMP has had to expend. It will be a significant cost so might need to open and amend this Budget at some point. There was no public comment. The Mayor adjourned this public hearing at 7:42 p.m. The Regular Town Board Meeting began at 7:43 p.m. The same parties were in attendance at the Regular Meeting as were in attendance at the Public Hearings. The following agenda items were considered at the Regular Meeting: A. Adopt Agenda. Jared moved, seconded by Tom, to adopt the Agenda as written. Roll Call Vote: Mayor Callister-Aye. Dave-Aye. Tom-Aye. Jared-Aye. Copeland-Absent. B. Adopt Minutes of Town Board Regular Meeting held May 16, 2024. Dave moved, seconded by Tom, to adopt the Minutes as written. Roll Call Vote: Mayor Callister-Aye. Dave-Aye. Tom-Aye. Copeland-Absent. Jared-Aye. C. Open, Amend, and Adopt the 2023-2024 Town of Oak City Budget. Angie passed out copies of this revised Budget and went through it quickly. Tom moved, seconded by Jared, to open, amend, and adopt this Budget. Roll Call Vote: Mayor Callister-Aye. Dave-Aye. Jared-Aye. Tom-Aye. Copeland-Absent. D. Adopt the Town of Oak City 2024-2025 Budget. Resolution 2024-01. Angie went through this quickly. If want to do a tax increase, need to do so by March 1. The Town's tax rate is very low compared to other communities. Dave suggested raising the tax by a small amount every year. Angie went through the major changes made to the Budget. Dave moved, seconded by Jared, to adopt the 2024-2025 Budget by Adopting Resolution 2024-01. Roll Call Vote: Mayor Callister-Aye. Dave-Aye. Copeland-Absent. Jared-Aye. Tom-Aye. The Mayor thanked Angie and past treasurer, DeAnn Steele, for the time and effort put into the Budget. E. Update on the Progress of the Veteran's Memorial Project. The Mayor stated that bids were requested for doing the cement for the Memorial. He got three bids back. On the local bids, told them to bid with 25% off of the cement. The Price, Utah bid was more than double what the locals were. The local bids were from Travis Stanworth and Ralph Christensen. Ralph gave some off of labor with his bid being $18, 545.00. Travis' bid was $19,660.00. Ralph will do the project and will try to start by July. Got the flag poles. Need to get lights for shining on the flags. Traci reported that they have raised about $20,860.00 so far. There will be a $10,000 grant coming from Larry H. Miller Group which is not included in the $20,000. They would like this Grant to be presented as a matching grant. There should be another State Grant coming in also. Hoping to do a ribbon cutting ceremony on Memorial Day next year. Is the City going to take care of the cost of the flags or is this cost going to need to come out of the fund? Will look into this. The flags could be flown continually or could take them down and store them between Holidays to keep them in better condition. Kathrine Shipley has volunteered to look at the landscaping. The Mayor thanked Angie who has spent hours on getting the grant applications in order. The Cemetery headstone project is coming along. F. Discuss the Status of Town's Emergency Community Water Assistance Grant Application (ECWAG). The Well looks like it is doing well enough that the Mayor sent a letter to let them know the Grant wasn't needed after all. The Town will just upgrade the current Well. The Grant was up to a million dollars but the Town wasn't guaranteed that it would get the entire million and it could cost about $1.6 million to do a new Well and there would be no guarantees that there would be water. Will swap the land purchased from Sumsions from new Well site to substation expansion site. G. Consideration for and Adoption of Parameters Resolution Authorizing the Issuance Parity Water Revenue Bonds of Oak City and Calling of a Public Hearing to Receive Input with Respect to the Issuance Such Bonds and any Potential Impact to the Private Sector from the Construction of Project. The public hearing on this will be next month. Went before the Department of Drinking Water on ASR loan. Expected to get started on this really quickly but then the problems with the Well started so nothing was done with the ASR and when it was decided to forgo the ECWAG, the Mayor got a hold of Chamberlain and Associates who have done bonds for the Town in the past. They have fast-tracked the process in order for the Town to get started as soon as possible. Tonight's adoption of Resolution 2024-02 starts the bond process. Tom moved, seconded by Jared, to adopt the Parameters Resolution Authorizing the Issuance Parity Water Revenue Bonds of Oak City. Roll Call Vote: Mayor Callister-Aye. Dave-Aye. Tom-Aye. Copeland-Absent. Jared-Aye. The Bond will be $245,000 total with $16,000 a year payment. The Town's current large loan will be paid off in 2026 so this will basically replace those payments. This will effectively be another storage avenue. Angie stated that a notice of bonds to be issued and a notice of a Public Hearing will be forthcoming. The Mayor thanked Angie for her hard work on getting things done on this. H. Discuss Possible Increase of Water and Power Rates. The Mayor stated that a water increase was done last year. Did about 3% and it was suggested that another increase should be done this year and maybe yearly. Tom felt to do at least a 3% water increase this year and every year as needed. Dave stated that the Power prices are all over the place. Some months are down others up. If the Rocky Mountain 2% increase goes through, that will double the cost of delivery. Dave pointed out that there is a push for the State to start regulating rate increases for municipalities. Should the Town raise the power rate? Dave felt should do a study on it before raising. Could possibly be prepared by the end of the year to do an educated rate increase. Could raise the minimum rate a little, that would help. I. Discuss Final Draft of Ordinance 2401-01, Control of Backflow and Cross Connections. The Mayor went through what the Town Council had previously discussed and the few changes he had made. This will be adopted next month. The main thing with this is that there is a State requirement to install a backflow prevention device on the supply on any outdoor water line. Ben Nielson, Oak City Water Master, will be making sure current builders are aware of this. Tom wanted to know if it had been done in the past and if there has been anyone in Oak City that has had a problem with backflow, as it will be expensive for residents and the Town. No one knew of anyone that had experienced backflow issues. Tom didn't like it and did not want to implement it. Will probably not have a choice. Tom stated that current meters have a backflow preventer in them. The Town Council members have enough knowledge to handle backflow issues on their own. Ben would like to put information about this in the power bills. Dave pointed out it would be a huge undertaking to police this and have them inspected every year. The Town doesn't have the man power. Shim pointed out that this is not new, it is in our current Backflow Prevention and Cross Connection Ordinance. J. Public Comment. Dave wondered why Dominion Gas is here so often. They were running Questar under the Dominion name and he believes they just sold to Embridge so they might be surveying the system for that take over. No one knew for sure. Dave also wondered if Katie Lebbon, Oak City Days Co-Chair, shouldn't be attending a meeting soon to discuss Oak City Days. The Mayor agreed. Will have her attend next month. K. Monthly Financial Report. The Financial Report was Read and Approved by Board Action. Angie stated that this month's Financial Report is being treated as a draft Budget as things have been going in the wrong departments a little, so the general ledger went back several months. They have moved amounts into the General Fund that should have gone into utility budgets so the general ledger is off a little. These numbers will be changed as necessary. There is an overage of approximately $400.00 so will look at this. Shim has been working on one delinquent account that was waiting for a tax refund that never has been paid so will let them know he will be shutting them off if not paid soon. L. Departmental Reports. Dave Steele. May 17, there was a brief system outage at 1:00 a.m. Suspected a transformer trip somewhere in Town. Received a call at 6:15 a.m. that Chance Adam's home was without power. The fuse was blown and a dead animal was found. Replaced the fuse and restored power at 7:15 a.m. May 25, there was a brief system outage at 1:39 p.m. following a massive rain storm in the area. June 3, Dixie Power received a call from Rocky Mountain Power that they went to check problems on a well pump and discovered the well is serviced by Oak City. Found it was at the Mason Anderson well. He reported voltage and back-feed issues. Dixie Power called to investigate and correct a grounding problem. Only one customer was affected. A meter reader reported that the meter replaced last month for Joseph Young was not functioning. Determined a bad connection had fused the meter and melted its components. Dixie Power replaced the meter. There were three customers affected while the meter base was made safe for removal of the old meter. Service conductors were upgraded and a transformer replaced for Kirt Dutson and adjacent homes. Four customers were affected during this work. June 20, Dixie Power installed underground service to the Ben McKinney property on Cascade Spring Road. The meter will not be set until the Millard County Building Inspector approves the installation. The Millard County Building Inspector informed us that a residence on Main Street was approved to swap service panels. The customer has not contacted us about the exchange. Met twice with Dixie Power to go over upcoming plans for the power line extension at the Jon Finlinson subdivision. Dixie prepared estimates and indicated the underground option is probably the least cost alternative, due to lot spacing and line construction requirements. The estimated amount was communicated to Dylan Finlinson. Preparing a line extension agreement. Talked with Pat Finlinson about converting his existing service to underground on the new line. On the April 2024 Utah Associated Municipal Power System (UAMPS) billing, Oak City had net energy delivery of 271,424 KWH. Total cost/KWH was $0.08451, for a total bill of $20,089.11. Purchase price was above operating margin, so a Power Cost Adjustment of $0.0145 was ordered for the May billing. Met with Greg Chappell. He wondered about changing his power service to underground from the pole. This will not work, however. Dave believes the Feds are going to start requiring underground power lines in the future. Attended a UAMPS Meeting. One of the items discussed was the proposal of a 2% transmission rate increase due to Rocky Mountain Power wanting to recoup monies spent on wildfire mitigation. UAMPS is protesting this increase. Tom Nielson. Got a cost estimate on material for Jon Finlinson's water line at the subdivision. Called Stephenson Drilling on the Well. He has an electronic depth reader that could be put in the Well instead of the sounding tube. Not quite sure what will be needed. The Well is back pumping. It is not pumping air and the pump is rated at 200 gallons per minute. Has Heber Finlinson been paying for filling up his big tanker with water and do they need a backflow preventer on there? The Mayor thought it would require, at least, a check valve. Will have Ben check with Heber. Jared Rawlinson. Will check with Jon Finlinson on his road to see if Jared wants to do his project at the same time. The Mayor mentioned that over by the cul-de-sac by Ron Sumsion, they asphalted a certain diameter and it wasn't enough so did some more. The joint is not sealed. Jared will look to see if needs hot pack or something. Dave stated that there is a dip on the bridge located on 2nd North. Copeland Anderson. Was not in attendance and had left no report. M. Miscellaneous. The Town's attorney has been looking at what the Town should do with the O J Finlinson development Agreement. He has suggested that a Town Council Member meet with O J along with the Planning and Zoning Commission Chair and work out an Agreement. Once the Agreement was set up, it would go back to the Planning and Zoning Commission for review and then back to the Town Council. Then, if needed, could do a zone change. The Mayor sent an e-mail to O J on this but hasn't heard back. He wondered if O J is even still interested in pursuing this. The Council discussed the Lovers Lane Road location quickly. N. Adjournment. The Mayor adjourned the meeting at 9:48 p.m. Respectfully Submitted, _____________________________________ Karen K. Lovell, Oak City Town Clerk Approved by: ___________________________________ Shim Callister, Mayor

Notice of Special Accommodations (ADA)

NOTICE OF SPECIAL ACCOMMODATION DURING PUBLIC MEETINGS In compliance with the Americans with Disabilities Act, individuals needing special accommodations (including auxiliary communicative aids and services) during this meeting should notify Karen Lovell at 435-846-2707.

Notice of Electronic or Telephone Participation

N/A

Meeting Information

Meeting Location

30 West Center
Oak City, UT 84649
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Contact Name

Karen Lovell

Contact Email

oakcitytc@gmail.com

Contact Phone

4358462707

Notice Posting Details

Notice Posted On

July 19, 2024 10:20 PM

Notice Last Edited On

July 19, 2024 10:20 PM

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