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Kewanee council asks staff to draft 48‑hour water‑termination notice for mobile home parks after bank offer rejected
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Summary
Faced with a bank offer of $100,000 toward a more‑than‑$400,000 water debt for multiple mobile home parks, the council deemed the offer unacceptable and directed staff to prepare a resolution giving the bank 48 hours’ notice of water termination; Project Now offered limited relocation assistance for residents.
The Kewanee City Council on April 14 directed staff to prepare a resolution giving the bank that manages several local mobile home parks a 48‑hour notice of water termination if the outstanding water debt is not resolved, after rejecting the bank’s best‑and‑final proposal to pay $100,000 toward more than $400,000 owed.
Council members described the bank’s offer as inadequate and said they were unwilling to accept a large financial loss that would shift costs to city taxpayers. The council discussed enforcement options including shutting off water service to the parks, acknowledging that doing so would likely lead to property condemnations and displacement for residents.
Ron Lund, chief operating officer of Project Now, told the council his organization would assist residents “to help the residents of the parks find new places to live,” though he said it would be unlikely they could house everyone. The council asked staff to draft a resolution for the next meeting that would allow the bank 48 hours’ notice of water termination for all parks.
The council did not vote to terminate service at the April 14 meeting; it requested a resolution be prepared for formal consideration at a subsequent meeting. Council members emphasized the difficulty of the decision and expressed concern for displaced residents while insisting the bank’s proposal was not acceptable as presented.
Action to watch: staff to bring a draft resolution for council consideration at the next meeting; council discussion indicated possible initiation of termination only after that formal vote.