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HomeMy WebLinkAboutCity Council Minutes 12.02.1986 Minutes of the City Council of Laurel December 2, 1986 A regular meeting of the City Council of the City of Laurel, Montana, was held in the Council Chambers and called to order by Mayor Bob Gauthier at 7:00 p.m., on December 2, COUNCIL MEMBERS PRESENT: COUNCIL MEMBERS ABSENT: 1986. Donna Kilpatrick L. D. Collins Ervin Wood Mel Krug Chuck Dickerson Donald Meyers Rob Harris Norman Orr INVOCATION: Invocation given by Alderman Collins. MINUTES: Motion by Alderman Meyers to approve the minutes of the regular meeting of November 18, 1986, as presented, seconded by Alderman Dickerson. Carried. CORRESPONDENCE: Receivsd a letter from the State of Montana, Department of Highways, regarding a bike lane on U.S. 10 east of Laurel. Referred to Street & Alley Committee. Received a copy of a letter from the State of Montana, Department of Health & Environmental Sciences, Emergency Medical Services Bureau, written to Patrick Metzger. This was regarding a complaint filed by Montana Council #9, AFSCME, about empty oxygen tanks when city employees were overcome by carbon monoxide. Attached to this letter is Patrick Metzger's response. Received a copy of the Law Enforcement Committee minutes of November 20, 1986. Received a memo from the Montana League of Cities & Towns regarding an effort being made to repeal unnecessary State mandates and re-establish local control. Received a memo from the Montana League of Cities & Towns regarding the State of Montana Local Government Services Division of the Department of Commerce proposing administrative rules governing audits. CLAIMS: Claims for the month of November, 1986, were reviewed by the Budget/Finance Committee and recommended that they be paid. Motion by Alderman Harris to pay the claims for November, 1986, seconded by Alderwoman Kilpatrick. Motion carried 5--0. BID OPENINGS - CITY VEHICLES: This being the time and place advertised, all bids received were opened and read aloud. 1971 Chevrolet Impala Kieth Austin $77.00 1973 Dodge pickup 4x4 power wagon Tim Reiter $67.95 Jim Redman $175.00 1966 Dodge pickup 3/4 Ton George M. Metzger $90.00 Jim Redman $125.00 Dick Metzger $50.00 1962 Dodge pickup crew cab Dick Metzger $60.00 1965 Chevrolet pickup Maurice Semmler $40.00 1975 Chevy Impala (old police car) Kieth Austin $17.00 Dennis Frickel $40.00 1967 Dodge crew cab Ernest Davis $105.00 (There is a technicality here. There was not a 1967 vehicle for sale. Mr. Davis' intent was to bid on the 1962 Dodge pickup crew cab.) The bids were referred to the Public Utilities Committee for a recommendation at the next regular City Council meeting. GARBAGE COMMITTEE REPORT: Garbage Committee minutes of November 24, 1986, were presented and reviewed. Motion by Alderman Meyers to enter the Garbage Committee minutes of November 24, 1986, into the record, seconded by Alderman Harris. Motion carried 5--0. Award Landfill Bid There was discussion regarding an additional $500,000 liability insurance policy. Big Sky Haul-Away now carries $500,000. It was decided to share the cost of the additional $500,000 insurance equally with Big Sky Haul-Away. page 2 Minutes of the City Council of Laurel RESOLUTION NO. 2261 AMENDING AND ACCEPTING THE BID OF BIG SKY HAUL-AWAY FOR OPERATION OF THE CITY LANDFILL. Motion by Alderman Meyers that Resolution No. 2261 be passed and adopted, seconded by Alderman Harris. Discussion followed. Andy Loebe Where's the City looking to save the money from the landfill? I understand we're not going to lose a man as a City employee. So that won't save the $37,000 a year (with benefits) that is budgeted. It costs $73,000 to operate the landfill. That's another $34,000 or $35,000. Are they going to save the money on the Bomag and the Cat? The Bomag had $15,000 and the Cat had $3,000 in repairs. My question is: The City bought this Bomag five years ago. It was 8 years old then and when they purchased it, they bought it with a full warranty of a two-year work warranty through Western Equipment, and they did all the work for two years on it. But it's also my understanding that the City could have bought it for roughly $52,000, but they tacked on $33,000 to cover the two-year warranty. Is the City going to contract it out because of this piece of equipment that cost them all this money? Four years ago they said it would cost $200,000. At that time we could have gotten a new Bomag for less than $150,000. So they bought an 8-year old piece of equipment for $83,000 and, at that time, they could have come up with the money somewhere, I think, and bought a piece of new equipment and it would have been almost paid for. You would have had 3 more years life out of it and you would not have had the cost we've had with the Bomag now. Where are they looking to save? Don Meyers First of all, we're going to save $150,000 right off the top in the next 5 years. Andy Loebe By not purchasing a Bomag? Don Meyers Yes. That's $35,000 a year for the next 5 years we're not going to have to spend. Jim and I went to Missoula about 10 years ago and the Bomag was $52,000 then. At that time we couldn't afford it. Andy Loebe It seems they couldn't afford a new one but they could afford to keep putting the money and stuff in it. Look at all the money they've put in that Cat out there. Look at how many transmissions that have been put into it. I think there's a bill somewhere for somewhere between $25,000 and $27,000 for an overhaul. This is money that they could have applied. Don Meyers We couldn't afford to go any other way at the time. We've never put $30,000 into that Cat at one whack. It's not worth that. Phil Curry I understand under the contract Mr. Johnston can come back at the end of each year and ask for a 10% garbage increase. At the end of 5 years it comes to over $80,000 and right now the increase that the City's paying is between 2 and 3%. Don Meyers The 10% isn't until after the second year. The contract is written for two years. He's got three years in there where he can ask for a 10% raise, but the 10% has to come to the Council and he has to show justification for the 10%. It's not an automatic 10%. Phil Curry He can't go for a rate increase after the first year? Don Meyers The 10% is after the two years and he has to go before the Council before he can get the 10%. We can go after the first year and extend this contract for one year making it a three-year contract. The contract is a two-year contract at that price and he can go up to five years if the Council so wishes. Phil Curry Then it would come out to be $72,912 in five years. Don Meyers It's up to 10%. It's not a 10%. Phil Curry That's what I'm saying. It goes to 10% and yet the City's increase for this time is between 2 and 3%. Don Meyers Well, there's nothing that says we have to give him 10%. Phil Curry Most of you are in business and you know if you want to justify an increase it's pretty easily done on paper. Don Meyers We've run that landfill for a lot of years and we should have some knowledge of what it costs to run it, so he shouldn't be able to get much by Motion by Alderman Harris to amend the resolution to read "the cost for an additional $500,000 of liability insurance will be shared equally by the City and Big Sky Haul-Away," seconded by Alderman Meyers. Motion carried 5--0. page3 MinUtes of the City Council of Laurel Question was called for on the original motion to adopt Resolution NO. 2261, as amended. Motion carried 4--1 with Alderman Collins voting, "NO." COMMITTEE REPORTS: --Budget/Finance Committee minutes of December 2, 1986, were presented and reviewed. Motion by Alderman Harris to enter the Budget/Finance Committee's minutes of December 2, 1986, into the record, seconded by Alderwoman Kilpatrick. Motion carried 5--0. --City License Committee minutes of December 2, 1986, were presented and reviewed. Motion by Alderman Dickerson to grant Duane's Conoco a City license, pending a fire inspection, seconded by Alderman Meyers. Motion carried 5--0. Motion by Alderman Dickerson to enter the City License Committee minutes of December 2, 1986, into the record, seconded by Alderman Meyers. Motion carried 5-0. --City Council Committee as a Whole minutes of November 18, 1986, were presented and reviewed. Motion by Alderman Meyers to enter the City Council Committee as a Whole minutes of November 18, 1986, into the record, seconded by Alderman Dickerson. Motion carried 5--01 --Airport Authority minutes of August 26th, October 28th and November 25th, 1986, were presented. Motion by Alderman Meyers to enter the Airport Authority minutes of August 26th, October 28th, and November 25th, 1986, into the record, seconded by Alderman Dickerson. Motion carried 5--0. SID NO. 109: Motion by Alderman Meyers to authorize payment of SID No. 109 claims in the amount of $45,500.70, seconded by Alderman Harris. Motion carried 5--0. COMMENTS FROM THE AUDIENCE: none MAYOR'S COMMENTS: Bob Gauthier reminded the Council of the Christmas Party December 13, 1986. Chuck Dickerson suggested putting something in the Laurel Outlook from the City Council as a Whole thanking the businesses and people that participated Sunday night, November 30, 1986, in the Parade of Lights. He felt people should know it was appreciated and that it is something to look forward to each year. Motion by Alderman Dickerson to put a thank you in the Outlook to the people, businesses, and Christmas To Remember Committee expressing their approval of the Parade of Lights, seconded by Alderman Collins. Motion carried 5--0. Don Hackmann expressed his concern about the City's liability when the lights were turned off and the fireworks display last Sunday night. There being no further business to come~e the Council at this time, the meeting was adjourned at 7:52 p.m. Donald L. Hackmann, City Clerk Approved by the Mayor and passed by the City Council of the City of Laurel, M°ntana' this 16th day °f December' 1986'~/ Bob Gauthi~r, Mayor