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Hainesville trustees approve IT, engineering and tax measures; reject combined construction bid

2787425 · March 27, 2025
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Summary

At its March meeting the Village of Hainesville Board of Trustees approved a managed IT contract and engineering services for water infrastructure, adopted a municipal grocery tax to replace a state levy, and rejected a combined construction bid for a new well, parking lot and street repaving.

The Village of Hainesville Board of Trustees on March 25 approved several contracts and an ordinance, and voted to reject a single combined bid for three capital projects.

The board approved a managed IT services agreement with CSI (monthly fee $932) and later approved an engineering services agreement with Robinson Engineering for operational assistance on water-well and sanitary lift-station systems (multi-year fees as presented). Trustees also adopted an ordinance (No. 25-3-375) to implement a 1% municipal grocery retailers occupation tax and a municipal service occupation tax to replace a state grocery tax the governor will remove on Jan. 1, 2026.

Trustees voted to reject a single combined bid for construction work covering Well 4, the public works parking lot and North Street repaving after the lone bid came in significantly above planning estimates. The board directed staff to re-bid the well package separately and to explore staging or alternative bundling for the parking lot and North Street paving in a later fiscal year.

Votes at a glance - CSI managed IT services: Motion to approve managed IT contract (term noted in packet). Outcome: Approved (roll call vote). Monthly fee listed in packet: $932. Discussion included cloud migration, backup frequency and security protocols. - Employee insurance stipend adjustment: Motion to adopt a 3% rate recommendation and a $50-per-month stipend increase for specified employees, effective May 1, 2025. Outcome: Approved (roll call vote). - Robinson Engineering – well/lift station operational assistance: Motion to approve a multi-year services agreement (year-by-year fees listed in packet). Outcome: Approved (roll call vote). - Ordinance 25-3-375 (municipal grocery retailers/service occupation tax): Motion to adopt ordinance allowing the village to collect the 1% grocery tax once the state removes its 1% levy in 2026. Outcome: Adopted (roll call vote). - Bid for Well 4/Public Works parking lot/North Street repaving (combined): Motion to reject the single combined bid of roughly $2.18 million. Outcome: Rejected (roll call vote). Board directed staff to re-bid the well project separately and defer parking-lot/road work for further planning.

Context and next steps Board members and staff described the approvals as part of ongoing work to modernize village IT, maintain water infrastructure and protect local revenue streams after the state-level change to grocery taxation. Trustees requested follow-up cost comparisons for cloud transition fees and asked staff to present staged construction schedules and revised bids at a future meeting.

The board plans a public hearing on the draft fiscal 2025–26 budget at the April meeting, where members will also revisit timing and scope for the parking-lot and North Street projects.