Spirit Lake council approves sale of city property, authorizes $3.5 million notes and WTP upgrade plans

The Spirit Lake City Council on Aug. 27 approved a package of financial and project actions, including the sale of a city-owned parcel, authorization of $3.5 million in general obligation capital loan notes and plans to advance Water Treatment Plant automation upgrades.

Mayor Kevin Bice called the meeting to order at 5:30 p.m. and the council first approved minutes of the Aug. 13 regular meeting and Aug. 16 special meeting and the bill list for August 2024 by unanimous vote, following motions from Councilmember Kofoot and seconds by Councilmember Mensing.

City Administrator Gregg L. Owens told the council that Paul Brown submitted an offer on May 10, 2024 for the property under consideration and included an estimated development cost and a realtor opinion. Councilmember Brockmeyer introduced Resolution No. 2024-33, which Brockmeyer moved to adopt and Councilmember Kofoot seconded. The vote to adopt was Aye: Kofoot, Brockmeyer, Chappas, Mensing; Abstain: Johnson. The resolution approves the sale of the real estate and directs execution of a quit claim deed.

The council also enacted a set of resolutions tied to a $3,500,000 General Obligation Capital Loan Notes, Series 2024. Councilmember Mensing introduced Resolution No. 2024-34 (appointing paying agent, note registrar and transfer agent); Councilmember Johnson seconded and the resolution was adopted unanimously. Councilmember Johnson then introduced Resolution No. 2024-35 (approving and authorizing the form of loan agreement, authorizing issuance of the notes and levying a tax to pay the notes, and approving required certificates), which was seconded by Councilmember Mensing and adopted by unanimous vote.

Councilmember Brockmeyer introduced and Councilmember Kofoot seconded Resolution No. 2024-36 to file plans and specifications, advertise for bids and set a public hearing for the Spirit Lake WTP Automation and Control Upgrades Phase 2; the council adopted the resolution unanimously.

The meeting record shows the council reviewed a detailed bills and payroll listing totaling $900,053.80, which included a $200,000 line item for the Spirit Lake Youth Athletic Board concession stand and a $347,610.14 pay application to SJ Electro Systems for WTP Phase 1. These expenditures were approved as part of the previously recorded motion to approve the bill list.

Mayor Bice closed the meeting after Councilmember Chappas moved, seconded by Councilmember Johnson, to adjourn. The motion carried unanimously.

Next procedural steps: the quitclaim deed authorized by Resolution 2024-33 will be executed and the city will proceed with the issuance steps and disclosures for the General Obligation Capital Loan Notes as authorized; the WTP Phase 2 plans will be advertised for bids and a public hearing will be scheduled as directed by Resolution 2024-36.