Huntingburg Council meeting: Wastewater project financing discussed

With the City of Huntingburg increasing the capacity of its wastewater system, residents should expect about an 18 percent rate increase.

The increase was discussed at a recent joint meeting involving the Huntingburg Common Council, Huntingburg Board of Public Works and the utility rate advisory board. Huntingburg rate consultant Otto “Buzz” Krohn recommend the increase to pay for the projects and increased utility management costs.

With the system operating at capacity now, the city is undertaking several projects to facilitate the greater demands that will come with the recently announced housing project, Hunters Crossing.

The upgrades include the addition of a pressurized force main sewage system on the city’s northwest side; the installation of a lift station; and the addition of a gravity sewer system. The work is expected to be completed in three phases after contracts are awarded on January 20 pending financing approval.

The council reviewed several ordinances Tuesday night to issue bonds, use Tax Increment Finance funds and a loan from the Electrical Utility to pay for the needed work. The city plans on using $1.5 million in TIF funding, $1.4 million from the Electrical Utility cash reserve fund and $1.4 million in bonds. The ordinances will be up for approval at the December 10 council meeting.

The 18 percent rate increase will assist the utility in paying back the existing bonds as well as the new loan and bonds. It will be considered at the board of public works meeting on December 3 before being put before the city council on December 10.

If approved, the increase will likely take effect in February.

The council also took the following actions:

-Approved a 1.5 pay increase for the mayor and clerk-treasurer, the same amount approved for the city employees for 2016.

-Approved increasing the council pay from $681 per month to $688 per month for each council member. The total is $8,256 per year plus benefits if the council member decides to enroll in the city insurance plan.

-Heard that natural gas prices were expected to stay steady or lower for the winter due to an excess amount in the market. Superintendent John Reutepohler added he thought the winter would be mild due to the lower amount of fat being found on local deer by hunters.

-Approved naming the Utility Service Building at 508 Van Buren Street to the Loma Hartke Building. Reutepohler proposed renaming the building in honor of Loma Hartke after Mayor Denny Spinner recommended exploring a way to honor the longtime city employee. Hartke served as the city electric utility superintendent for 40 years. Spinner awarded Hartke with a key to the city during the 175th Anniversary of the city held in 2012. In addition to his dedication to the Electrical Utility and the City of Huntingburg, Hartke gave legendary utility reviews to the utility service board. Here is a recording of Mayor Spinner reenacting one of Hartke’s legendary reports.

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