VILLAGE of SUTHERLAND

BOARD OF TRUSTEES

Regular Meeting

May 25, 2022

need to separate the sewer and water, that way when payments are made, they come from those accounts. Fleecs stated if you look at the profit and loss, both departments are making money. We don’t need to be pulling the bond payments out of the Utility Rate Increase, we should be using the money that’s coming into the General Account, so long as we have money coming in and keep the Utility Rate Increase for emergencies or pay off our bonds early. T. Banks will look into seeing how much money is in each account, so everything is accurate. K. Main spoke about the money we’re carrying in the account, and we have an emergency fund. Motion Fleecs, second Haworth to reconsider to void previous motion. Voting: Yes: Haworth, Backer, Meyer, Jorgensen, and Fleecs. Motion carried. Motion Fleecs, second Jorgensen once we figure out the difference between water, sewer, and the utility rate increase money market account, we move the sewer balance into the existing sewer account and rename the existing Utility Rate Money Market Account as the Water Money Market Account and establish a new account to take care of our ARPA Funds. T. Banks will try and have this taken care of by the next meeting. Voting: Yes: Backer, Meyer, Jorgensen, Fleecs, and Haworth. Motion carried. Motion Fleecs, second Jorgensen during the interim of everything that we make all bond payments out of the General Account. Voting: Yes: Meyer, Jorgensen, Fleecs, Haworth, and Backer. Motion carried. Motion Meyer, second Haworth to setup a new account at Hershey State Bank as a Money Market Account and will be named the ARPA Account with Kimberly Backer, Samuel Haworth, Scott Meyer, Danette Jorgensen, and Frank Fleecs as signatures on the account. Voting: Yes: Jorgensen, Fleecs, Haworth, Backer, and Meyer. Motion carried.

Agenda was adjusted to Pool Update/Resurface.

Pool Update/Resurface was discussed by Fleecs. He spoke on the pool being a capital improvement. He’d like to take a loan out for the cost of the capital improvement (pool) and spread it out between 5 to 10 years and we can pay the loan off with some of the proceeds from the Sales Tax as it’s part of the infrastructure. Jorgensen stated the Keno Funds can be used for this project. He’d like to have the clerk call some banks and see what interest rates are available. Kendall stated something needs to get figured out, as according to the contract we owe the pool company half of the payment when they’re half done, and he stated they are. Meyer stated he completely understands where Fleecs is coming from, the only issue he sees we haven’t started collecting our Sales Tax. He doesn’t want to take a loan out when there’s uncertainty on nothing in the account and having no funds to pay the loan back. If we take a loan out now, we’re not recouping any Sales Tax until the first of next year. Fleecs stated the payment won’t be due until the next fiscal year and by then we’ll have Sales Tax revenues. K. Main spoke on being against financing anything and take the money out of Keno Funds. Don’t keep going in debt. This was tabled until the Hay Ground Lease Auction is concluded.

Hay Ground Lease Auction was held at 7:00 p.m. Roundtree opened the auction at 7:00 p.m. at $50.00. Matt McConnell and David Morgan were present in person, and Tad Mathers was present via phone. T. Mathers agreed to $50.00 and was no longer interested at $55.00. M. McConnell and D. Morgan went back and forth for a while. Roundtree gave going once at $95.00, going twice at $95.00, lease is granted at $95.00 per acre to Matt McConnell for this season. M. McConnell asked who could notarize his paperwork and K. Monie stated she would.

The agenda was adjusted to Pool Update/Resurface.

Pool Update/Resurface was discussed by Fleecs. Meyer reminded the board we have a pumper truck we must pay for as well. Haworth discussed the money we budgeted for and are not using, so we have money. L. Tacey asked Haworth if he stated there was $300,000.00 in Keno Funds right now? He replied, “Roughly.” She can’t see us getting a loan when you have that money and can pay cash. Fleecs stated again that if we can utilize Sales Tax money to pay that capital improvement, we’re not interfering with our regular tax request from Property Taxes. L. Tacey asked how much do you expect to be accumulated in one years’ time. Roundtree stated as a rough estimate, at 1% roughly $100,000.00. L. Tacey stated if that’s true then, you would be able to pay off that loan in a year and a half. Fleecs said we could pay it off early yes. Jorgensen stated that there have been loans in the past that you get penalized for paying them off early, so you have to make sure that isn’t apart of the loan agreement. She feels the money is in an account and we should spend the money we have, so we’re not counting our chickens before they hatch. Ed Walters stated that roughly 12 weeks ago that the board decided we were going to do the pool project. At