Council OKs $23.8 million bond

The city took the next step toward a massive wastewater treatment plant project Monday.

Portland City Council approved an ordinance on first reading for a $23.8 million bond for improvements at the city’s wastewater treatment plant.

The work at the plant will include the installation of a new equalization basin and wet weather pump station at the facility. The work is required as part of the city’s agreed order with Indiana Department of Environmental Management (IDEM).

Work toward the project and the related bond has been ongoing for several years, with Portland City Council approving two sewage rate increases in November 2022. (They went into effect in January and April, respectively.)

Also in November 2022, Portland Board of Works hired Indianapolis accounting and advising firm Baker Tilly to handle the issuance of a bond for the planned project.

City attorney Wes Schemenaur explained Monday that the $23,800,000 bond will be a 35-year loan with an interest rate not to exceed 4%. 

Council members Kent McClung, Don Gillespie, Janet Powers, Michele Brewster, Matt Goldsworthy, Mike Aker and Dave Golden unanimously approved the ordinance for the bond on first reading.

It will need to be approved on second reading before going into effect.

Portland Board of Works is scheduled to open bids for the project at its meeting at 4 p.m. Thursday in council chambers at Portland Fire Department. Construction is expected to begin in 2024.

Also Monday, council sent a tax abatement request to the city’s tax abatement advisory committee for its review.

Travis Richards, executive director of Jay County Development Corporation, presented the abatement request. It is for a $1.16 million investment in manufacturing equipment.

The purchase is eligible for a three-year tax abatement that is projected to save the company about $30,500. Richards said the equipment is expected to bring in about $91,000 in taxes over a 10-year period. The purchase is also planned to lead to nine new jobs at Sonoco.

In other business, council:

•Heard a complaint from resident Bryan Alexander regarding trees the city took down on his property. He said he was not notified as required by city ordinance. He plans to take the issue to Portland Board of Works and to retain counsel in order to “seek remedy.” He also suggested adjusting the city ordinance to encourage more trees in the city.

•Responding to a question from Aker, street department superintendent Tom Leonhard said the final leaf pick-up was completed Monday.

•Heard Powers, who was in her final meeting as she did not seek re-election after serving two terms, thank those who reached out to thank her for her efforts. Gillespie, also in his final meeting after four terms, said he has appreciated the opportunity to serve on council.

•Heard Golden thank Gillespie and Powers for their service on council and their mentorship. McClung also offered his thanks and welcomed those who will be joining council in January.

•Heard Golden wish city employees and residents a Merry Christmas.