08-02-2005 City Council Minutes - Laserfiche WebLink

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City Council Minutes August 2, 2005 Page 6 of 9 --------------------------- COUNCIL MEMBER SJOBLAD MOVED TO REHIRE LARSONALLEN TO DO THE CITY'S 2006 AUDIT. COUNCIL MEMBER PFEIFFER SECONDED THE MOTION. MOTION CARRIED 7-0. The Council did not authorize the Clerk to sign the proposal. The Council directed the Clerk to contact the auditor and let them know that they would like to see the proposal fee reduced. 11.4. Park Board Appointment The Clerk informed the Council that the Park Board recommended that Melissa Samuelson be appointed to the Park Board. COUNCIL MEMBER GREER MOVED TO APPOINT MELISSA SAMUELSON TO THE PARK BOARD. COUNCIL MEMBER RYAN SECONDED THE MOTION. MOTION CARRIED 7-0. 11.5. Cash Adjustment—Water and Sewer Funds The City Clerk explained that in reviewing the year-end cash balance adjustments from the 2004 Audit, it was noted that several thousand dollars was supposed to be taken from the water and sewer funds and transferred to the general fund for payment of the loan. This money was for the payment of the $480,000 TDS loan for the Industrial Park which was an interest-free 8-year loan. Previous audits showed that of the payment of$60,000 per year, 25% was to be paid from the sewer fund, 15% from the water fund, and 60% from the general fund. According to previous audits, the payments were percentaged out in previous audits, but the money was never transferred to the general fund in the general ledger. Therefore, at this time, the water fund owes the general fund $50,823 and the sewer fund owes the general fund $83,148. The loan has been paid correctly from 2004 to present and will continue to be paid correctly until the loan is paid in full. COUNCIL MEMBER GREER MOVED TO FORGIVE THE $50,823 FROM THE WATER FUND AND THE $83,148 FROM THE SEWER FUND. COUNCIL MEMBER RYAN SECONDED THE MOTION. MOTION CARRIED 7-0. 12. Maintenance Supervisor's Report The Street Superintendent presented his report. He indicated that it is time for the City to begin looking at different ways to pay for road improvements as there seem to be more improvements needed than money available.