Bronaugh will pay down debt

Monday evening’s meeting of Bronaugh’s Board of Aldermen addressed a serious street problem, significant debt reduction and new arrangements for the city’s water and sewer director and the person training to be his successor.

Mayor Sherry Brown came late and so Nancy Pitts, board president, chaired the meeting.

First up was local resident, Charlie Williams, who addressed the board about the terrible condition of Cherry St. in Bronaugh.

“The rain’s stopped but I’m driving through mud,” said Williams. “That road has an underground spring and there’s a wet spot all year. And that’s because the whole thing wasn’t put in right. The water’s got no place to go, either above or below ground. Replacing a culvert is not enough. The whole thing needs to be dug up and done right.”

The aldermen agreed and Pitts said she would speak with Brown about determining repair parameters and placing a request for bids in the Nevada and Joplin newspapers.

Following a review of accounts, city treasurer, Ann Loudermilk, announced it will soon be time to publish the consumer confidence report for the city’s drinking water and place on city water/sewer bills the annual drinking water primacy fee.

As per a decision by aldermen last month, Loudermilk has obtained a postal box for city use.

“Payments on taxes, water/sewer bills and other items may be sent to City of Bronaugh, Post Office Box 11, Bronaugh, Missouri 64728,” said Loudermilk.

Since January, the treasurer has spent time at each meeting presenting options for paying down the city’s extensive debt.

“Back in January, you approved not rolling over a certificate of deposit and using that money plus other funds we have to pay off the Missouri Development Finance Board loan,” said Loudermilk.

In 2016, the City of Bronaugh borrowed a total of $154,250, which was used towards the construction of a clear well and the addition of an aerator to improve water quality. From the state’s Department of Natural Resources came a loan of $100,000 and the other $54,250 was sourced from the MDFB.

Said Loudermilk, “It was a 20-year loan, at three percent interest and we make payments on it only once a year.”

According to figures given by the treasurer, the loan’s payoff amount would total $56,560 and would save the city $17,000 in interest payments.

“But, however much we borrow from our city funds, we’ll have to pay it back over time but we don’t have to pay ourselves any interest.”

Loudermilk suggested and aldermen voted unanimously to borrow $30,000 from the city’s General/Government Fund. Combined with discretionary monies in the city’s Water Fund, the entire MDFB loan will be paid off as of May 19. Payback would be over 20 years with $1,500 paid back annually, made in two installments of $750 each, with one in April and the other in October.

The aldermen voted unanimously to provide further interest savings by moving the payment on the 4.125 percent USDA loan, from $1,377 to $1,400 and the 4.5 percent sewer loan from a payment of $2,723 to $2,800.

For both the loan payoff and the increased loan payments, the budget will be adjusted accordingly.

Said Loudermilk, “You are not locked into these higher payments but it will save you beaucoup bucks in the long run.”

Asked about what funds would remain in the Sewer Fund, Loudermilk named the $33,000 in the Debt Service Reserve Fund and $27,000 in Emergency Repair and Replacement Fund.

Said Alderman Harry Pitts, “Whatever we do, one thing’s for sure: we don’t want and we will not increase the water or sewer rates. They’re too dang high as it is.”

To this, each alderman verbalized agreement.

Bronaugh citizens have asked about the city setting a trailer for the collection of recyclables.

Nancy Pitts said Mayor Brown will handle this.

In comments made the next day, Brown said, “I plan to apply for a grant from Region M Solid Waste Management District for a trailer. Depending on their funding cycle, it may be a year or so before we get it but I will look into it and apply for what we need and talk to people about the best location.”

On Monday evening, the board president added, “We don’t want any sort of mess: either people mixing up what’s in each bin or dumping their trash,” said board president, Nancy Pitts.

The city’s director of water and sewer, Gary Loudermilk, reported the recent heavy rains created seepage out of the lift station which necessitated his purchase and application of soil and sand.

Loudermilk said the operation permit for the wastewater lagoon is until 2025 and locks in a standard for ammonia levels which is currently being achieved rather easily.

“Since our lagoon is almost double the size actually needed, this gives the waste more detention time, meaning it lets things settle out which then means, the water which flows out is a lot better grade of water in every way,” said Loudermilk.

Having completed their regular business, the aldermen met in closed session.

Resuming in open session, the aldermen asked Gary Loudermilk and Derek Brown to join them at their table.

Brown is training to take over, first as water director and later, director of Bronaugh’s wastewater system.

The aldermen asked Loudermilk to go beyond the classes and testing Brown is currently involved with and give him training and direct familiarity with Bronaugh’s equipment and system.

Said Nancy Pitts, “You need to let him do as much as he can.”

Fleener added, “He needs hands-on experience.”

Pitts said the aldermen want Brown and Loudermilk to keep a log and record the amount of time and what is being done.

Loudermilk reported the state has notified him of the need for the city to map out its entire water and wastewater systems.

“Before we hire any company to make a map, maybe Derek and I can first record where all the lines, valves, meters, manholes and other things are,” said Loudermilk. “I think having a map will be useful for Derek and anyone trying to operate our system.”