Board OKs deal after questions

A contract for bond counsel was approved Thursday after a board member got the answers he was seeking.
Portland Board of Works member Bob McCreery and the other two board members, Bill Gibson and Portland Mayor Bruce Hosier, approved the contract for Sue Beesley of Bingham McHale law firm after finding out how much she planned to charge the city.
“Why do we sign something when we have no idea what the cost is?” McCreery asked. “It’s just like signing a blank check,” he said of the proposed contract with Beesley.
The contract was for Beesley to serve as bond attorney for the city’s bonding for the north side sewer separation project and the wastewater treatment plant upgrades. The contract as presented did not include an hourly rate for Beesley or a maximum charge.
“If you feel more comfortable with that information I can get it to you,” Hosier said, adding that if McCreery wanted those figures he should have asked him about it prior to the meeting.
McCreery and Gibson agreed to table the contract until the financial figures were submitted and discuss it at a future meeting.
The board then took a brief recess to wait for someone on the agenda to arrive. When the meeting reconvened, the board held a conference call with Beesley to find out her rates. Beesley said she would charge $460 an hour and the maximum she would charge the city would be $50,000. She said she expected the work to cost $25,000 to $30,000.
A revised contract reflecting those numbers was received by the city this morning.
Board members voted to approve her contract with the stipulation that she provides her fees in writing.
On Monday, members of the Portland City Council voted on first reading to approve bonding up to $9.5 million through the State Revolving Loan Fund program.
In a related matter, board members also approved a contract Thursday with Greg Guerrettaz of Financial Solutions Group Inc. to serve as a financial advisor for the bonding.
He will be paid up to $25,000 and has an hourly rate of $160.
In other business Thursday, board members approved a change order for Hudson Family Park.
The change order is for a dedication pedestal, sinks in the concession stand and a different type of steps at the amphitheater.
The pedestal, which will hold a plaque detailing the completion date of the park and members of the park board, will be about 3 feet tall and cost $1,821.
The county health department is requiring a three-compartment stainless steel sink and a hand-washing sink to be installed in the concession stand in case food is prepared in the stand. The total cost for the sinks is $5,976.
Plans had called for red sandstone steps to be installed at the bottom of the amphitheater hill and at the top. The steps were to be 5 inches thick, 6 feet wide and about 3 feet deep.
Michael Krosschell of The Schneider Corporation said he was told by the person attempting to craft the steps that the stone was too soft and kept cracking when he tried to carve out the steps. Instead, concrete steps will be made at a price of $563, which is slightly higher than the cost of the sandstone, Krosschell said.
Also Thursday, board members:
•Approved a pay request for Bruns Building and Development Corporation for the Steen Addition storm and sanitary sewer separation project.
The pay request is for $171,767.99. The city pays 38 percent, which is $65,271.84. This will be paid through city utility funds. A grant from the Indiana Office of Community and Rural Affairs pays the rest of the cost.
•Learned that work to locate sewer lines that run to homes for the Steen Addition project is expected to be completed in the next two weeks.
David Ayala of R.W. Armstrong added that paving is set to being during the first week of May.
•Learned that the city is in negotiations with Community Fiber Solutions to install some of the company’s equipment on the city water tower near Tyson Foods.
Hosier said a lease agreement has been drafted, but CFS has not responded to the proposed agreement.[[In-content Ad]]