Owosso council approves 5-year lease, accepts Woodland Trails sewer, adopts midyear budget amendment and accepts single-audit report

Owosso City Council on Feb. 3 approved a five-year lease of tillable acreage, accepted a portion of the Woodland Trails condominium sanitary sewer system into the city's public system, adopted a six-month budget amendment for the fiscal year ending June 30, 2025, and voted to accept the city's fiscal year 2023-24 single audit.

The actions were taken by roll call vote during the meeting; each item passed unanimously as recorded by the clerk. The council cited cost savings on a sewer repair contract, a federal earmark and ongoing capital work in utility funds as context for the budget and audit votes.

The five-year agricultural lease to Shawnee Creek Farms was presented by the city manager as a continuation of an existing long-term arrangement; the lease was offered at $500 per year and received no competing bids during the required posting period. The council approved the lease by roll call.

On the Woodland Trails condominium sewer, the city manager described the item as the end of a 21-year process. He said the city advanced funds to complete repairs after the original developer defaulted and that bids to repair the sewer system came in far below budget. The council approved accepting the sanitary sewer infrastructure as public.

Brad Barrett, the city's finance director, presented the six-month budget amendment, saying the general fund rose by about $800,000, mainly offset by roughly $800,000 in additional revenue tied to a congressional earmark and pre-budgeted expenses for public safety building improvements. He also said utility funds reflected capital improvements and water-main work by the engineering department. The council adopted the amendment by roll call vote.

The single-audit resolution accepted the independent audit required under federal law after the city spent more than the federal threshold in FY 2023-24. The city manager reported the city expended approximately $4.7 million in federal funds in that fiscal year, primarily for water and sewer utility projects; the council voted to accept the single-audit report.

No amendments or dissent were recorded on these items during the meeting. The council adjourned with reminders about an upcoming informational session on revolving loans and grants and routine calendar items for staff follow-up.

Votes at a glance: - Motion: Approve five-year lease of tillable acreage to Shawnee Creek Farms at $500/year. Outcome: approved (roll call). Recorded votes: Council member Olsen: Yes; Council member Fear: Yes; Council member Owens: Yes; Pro Tem Haber: Yes; Council member Osmer: Yes; Council member Ludington: Yes; Mayor Robert J. Taish: Yes. - Motion: Accept specified sanitary sewer portion of Woodland Trails condominium into the city's public system. Outcome: approved (roll call). Recorded votes: Council member Ludington: Yes; Council member Olsen: Yes; Council member Osmer: Yes; Council member Owens: Yes; Council member Fear: Yes; Pro Tem Haber: Yes; Mayor Robert J. Taish: Yes. - Motion: Approve six-month budget amendment for fiscal year ending 06/30/2025. Outcome: approved (roll call). Recorded votes: Pro Tem Haber: Yes; Council member Ludington: Yes; Council member Olsen: Yes; Council member Fear: Yes; Council member Osmer: Yes; Council member Owens: Yes; Mayor Robert J. Taish: Yes. - Motion: Accept fiscal year 2023-24 single audit (Single Audit Act compliance). Outcome: approved (roll call). Recorded votes: Council member Olsen: Yes; Pro Tem Haber: Yes; Council member Ludington: Yes; Council member Fear: Yes; Council member Osmer: Yes; Council member Owens: Yes; Mayor Robert J. Taish: Yes.

Meeting note: The council recorded no recorded no votes against or abstentions for these agenda items. The clerk's roll-call record in the meeting transcript shows unanimous support as noted above.