Shelby City Council adopts $1.5M project line of credit, approves local contracts and housing loan

The Shelby City Council on Aug. 19 adopted a resolution authorizing a project line of credit not to exceed $1,500,000 and approved a slate of local contracts, grants and short-term personnel pay measures. The meeting opened at 7:00 p.m. with Mayor Ron Kroll presiding; Council members Pat Honeywell, Todd Frank, Traci True and Karen Schlueter were present and Jackie Hursey was absent.

Council member Karen Schlueter moved and Council member Pat Honeywell seconded the adoption of Resolution 81925, approving a project line of credit with Shelby County State Bank for essential corporate purposes (Series 2025A). A public hearing was held under Iowa Code 384.24A; no taxpayers objected, Mayor Kroll closed the hearing at 7:05 p.m., and the resolution was adopted by roll call (all ayes). The resolution was described in the meeting minutes as “APPROVING THE PROJECT LINE OF CREDIT NOT TO EXCEED 1,500,000 WITH SHELBY COUNTY STATE BANK FOR ESSENTIAL CORPORATE PURPOSE NOTE, SERIES 2025A.”

The council also voted to table consideration of Shelby County State Bank’s application for an Economic Development Grant until Oct. 7, 2025 (motion by Todd Frank, second by Pat Honeywell; roll call: all ayes). The meeting record notes that Angela Fritz was not present for item c.

In other business, the council approved a $40,000 bid from Ausdemore Construction to demolish the old Taylor/Shelby building; the city has been awarded a Derelict Building Grant from the Iowa Department of Natural Resources for up to $30,000 to offset that cost (motion by Pat Honeywell, second by Traci True; roll call: all ayes). The council approved a $5,600 contract with Jim Petersen Construction to repair Industrial Road adjacent to Menards, specifying that the new cement work match existing thickness (motion by Todd Frank, second by Pat Honeywell; roll call: all ayes). A payment (payment #4) to T.K. Concrete for $8,860.76 was approved (motion by Pat Honeywell, second by Todd Frank; roll call: all ayes).

Under the Housing Existing Unit Purchase Program, the council approved a five-year forgivable loan secured by mortgage to applicant Jacki Mull for the property at 405 Summit Street (motion by Pat Honeywell, second by Karen Schlueter; roll call: all ayes). The council also approved an amended gymnasium-use agreement between Shelby Fire & Rescue and FB Shelby (Cardinal Lofts), setting a rate of $450 per use until the credited amount is exhausted and removing the prior four-event and one-year term language (motion by Karen Schlueter, second by Todd Frank; roll call: all ayes).

For public safety staffing, the council approved Shelby Fire & Rescue’s proposal to pay two EMTs weekend on-call pay for 90 days while new EMTs gain experience (motion by Pat Honeywell, second by Todd Frank; roll call: all ayes). The council approved the claims list for Aug. 19, 2025 (motion by Todd Frank, second by Karen Schlueter; roll call: all ayes). The meeting adjourned at 8:13 p.m.

Votes at a glance: Resolution 81925 (project line of credit): adopted (roll call: all ayes). Ausdemore Construction demolition bid ($40,000): approved (all ayes). Jim Petersen Construction Industrial Road repair ($5,600): approved (all ayes). T.K. Concrete payment #4 ($8,860.76): approved (all ayes). Housing loan to Jacki Mull (405 Summit Street): approved (all ayes). Gymnasium agreement with Shelby Fire & Rescue and FB Shelby (Cardinal Lofts): approved (all ayes). Temporary weekend EMT on-call pay (90 days): approved (all ayes). Claims list 8/19/25: approved (all ayes).

The meeting minutes record motions, seconds, and roll-call approvals but provide limited debate or explanatory detail; the minutes identify amounts, parties and conditions (for example, matching cement thickness and the grant amount for demolition). The next scheduled action related to the tabled Economic Development Grant application is the Oct. 7, 2025 meeting.