At the Tuesday, December 4 meeting, the Rushford Village Council conducted the annual Truth in Taxation meeting. No citizens were present with comments. The council has noted there were funding shortfalls in 2018.
“We need to take serious consideration of what our budget is, as well as where we are with some of the things we may need,” said Mayor Gordon Johnson. “We did have some excessive spending this year, because of equipment, but we knew going in. I would like that we maintain an open mind about the number.”
Councilor Dennis Overland, who sits on the Budget Committee, noted the group met last week. “We feel like we’ve got a fairly good grasp of things,” he stated.
Johnson suggested it was looking like everyone’s taxes had gone up, spurred by an increase in Village property values. There were four or five home sales in 2018, in addition to five or six new construction residences. According to City Clerk Mary Miner, it takes just five sales, at a specified percentage higher than market value, to trigger the county to make an adjustment to assessed tax values.
“The county has to adjust to keep everyone within that margin,” added Johnson. The council will set the final levy and budget at the next council meeting.
The final pay application for the Benson Lane bridge project was approved unanimously, but the decision wasn’t without some discussion. City Engineer Derek Olinger, of Bolton & Menk, was present to discuss two unresolved issues, including a request from the contractor, Ryan Oian, of Generation X.
Olinger detailed for the council how during the pouring of the concrete, specifically the side slopes, a portion of the concrete was uncovered during freezing weather conditions. Olinger met Oian at the work site, the morning after the pour, and asked for further assurance that the concrete was good. As a result, Oian contracted with a third party, Braun Intertec, to do additional testing, eventually verifying the concrete was without issue. The additional cost to Oian for the testing and report was $950.
Oian maintained that several additional steps, including blanketing were taken to ensure the concrete cured properly. Infrared temperatures were taken, by Oian for Olinger, and were shown to be good. “He didn’t believe my temperature readings,” said Oian. “I did my due diligence in providing the temperature readings, it should fall on engineer to inspect it.”
Despite the reading, Olinger requested additional proof. “The manor of which it was cured is outside of the standard protocol. I did not have enough information to make a reasonable decision,” stated Olinger, citing the contract. “It is the contractor’s responsibility to prove that work is not defective. With reasonable suspicion, I’m going to call it defective until you can prove it’s not. I’m going to recommend his request is denied.”
Oian countered Olinger’s claims indicating he’d provided proof, but Olinger had felt it wasn’t substantial enough. “I appreciate the work we got on the project. I was the only contractor who bid on the project and you’ve got a really nice product out there.” Initially, the project was estimated at $150,000. The Generation X bid was just over $48,000. “You saved over $100,000 on the project from initial plans.”
Councilor Chad Rasmussen noted the city had paid Bolton & Menk to oversee the project details and construction. “We weren’t going to be able to go out there and do it, that’s what we initially paid you to do.”
City Attorney Tom Manion suggested the city follow the contract and the engineer’s recommendation and deny the request. “The contractor got the benefit of the testing, not the city. We had reason to question because it fell outside of the parameters,” said Manion. “It’s too bad that it had to be paid, but it had to be paid. They had to prove it because it fell outside of the parameters.”
Another issue, regarding disposal of the old concrete, was also discussed. Olinger noted that at a preconstruction meeting, there was talk of what to do with the old concrete and indicated options of moving to the public work’s lot, for use with other projects, or disposal at a site such as the City of Rushford. It was later realized that the latter was not an option. “The concrete is still here and needs to be disposed of at some point. The amount he’s being paid includes removal of concrete. I suggest you approve contingent on concrete being removed, just to ensure this particular item gets done,” he added.
Mayor Gordon Johnson indicated some misunderstanding had likely taken place. “When I found out it was out here I was a little surprised. The city is no longer an option.” There is an option to dispose of the concrete in Winona, at $80 a load, but Oian estimated there was 15 loads’ worth, with 15-20 yards in a load.
“With the disposal cost, there might have been some assumptions, but the city is paying a lump sum price whether there is a disposal fee or not, otherwise you’re deviating from the contract. That’s why it was written up the way it was,” added Olinger.
“It was not my intent. It was a place to put it so the project wouldn’t be held up,” said Johnson. “It might be a misunderstanding more than anything else and I accept some responsibility for that, but the agreement is what it is.”
Councilors Dennis Overland and Chad Rasmussen both questioned Public Works Supervisor Travis Scheck on whether or not the concrete could be used by the Village. “I’ll load it and haul it if you can find a place to put it, at no additional cost. We can break it up to utilize it. We’ll help get rid of it,” noted Oian.
“Derek has done everything we’ve asked of him, but Ryan has done a lot of work and has bailed us out in many occasions. You got the project to where it is and he’s done everything else we’ve asked and will again down the road,” said Councilor Mike Ebner, who suggested the city take Oian up on the offer to help the city use the material. That decision was approved unanimously.
“Thank you for the work. It’s good work and it needed to be done,” added Rasmussen, speaking to Oian. The final payment of $48,408 was approved without the additional testing cost.
In other agenda items, the council approved a new contract with CEDA and approved an agreement policy and fee on waste pickup service to a non-resident.
The next regularly scheduled meeting is Tuesday, December 18, 7 p.m., at the Village Hall. The public is encouraged to attend.
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