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BE IT REMEMBERED that a regular meeting of the White County Council was held at the White County Building at Monticello at 9:00 A.M. on July 16, 2007 for the purpose of discussing the additional appropriations and other business that might come before the membership.

 

Council President Richard Horton called the Council meeting to order in joint session with the Commissioners. The following members were present:

 

Richard G Horton Kevin L Crabb Gary W Hendryx

Dennis E Carter Bruce D Clear Raymond L Kramer Jr

Dennis D Cain

 

 

For content of joint session, see Commissioners’ minutes.

 

MINUTES

Councilman Kramer made a motion to accept the June 18, 2007 minutes. Councilman Clear seconded the motion. Vote: Unanimous

VERASUN

Jerimi Ullom with Barnes & Thornburg said the ordinance in consideration would authorize the issuance of bonds in which the proceeds will be loaned to VeraSun. A portion of those proceeds (25%) will be retained by the County for cost associated with the infrastructure, or used in some way to serve or benefit the area. It could also be released to some of the normal taxing units, such as the school, as decided by the Redevelopment Commission. A portion (75%) will be taken by VeraSun to apply to their project. The repayment source of these bonds is solely 75 % of the TIF (Tax Incremental Financing) of property taxes generated within the VeraSun development area. VeraSun will purchase their own bonds and receive payments to the extent they invest and make property tax payments. Upon approval, the bond issuance will be around August 16, 2007.

The issuance of bonds are payable solely from payments by VeraSun in the loan agreement offset by 75% of the TIF revenues. If the TIF revenue does not cover the payment, then VeraSun will make loan payments to itself.

The bonds are not to exceed $13,000,000.00, and a term no later than eighteen years following the date of issuance. The TIF pledge is for 75% of the revenues for a period of seventeen years, but VeraSun does not collect until it is built and assessed. Following that, 100% of the TIF revenues will be used by the County. If the TIF generates more revenues than anticipated, the excess will be applied toward early payments on the bonds.

The bond issuance will be available to the County at closing.

Adopting the ordinance, will put into effect both the Trust Indenture, which governs the terms of the bonds, and the Loan Agreement, whereby the County uses the Bond proceeds to loan to the company.

Connie Neininger asked if the interest earned could be kept by the County if the infrastructure cost less than the $4.8 million? Council President Horton wants to know if there are stipulations on how the interest accrued can be used. Could the interest be put into the County General Fund, for instance. Mr. Ullom said the documents state the interest earned accrue to the fund in which it’s held. He didn’t think it would be a problem to have that changed, but he would like to talk with Umbaugh & Associates Financial Advisers and his company to check on the legal options and/or restrictions. It would first go toward any additional infrastructure cost. Second, interest earnings go to the County, and third, excess proceeds would go to the company.

Councilman Crabb made a motion to move forward with the adoption process, addressing the issue of accrued interest prior to execution. Councilman Kramer seconded the motion. Vote: Unanimous

 

Councilman Carter made a motion to suspend the rules to consider adoption of the ordinance upon the first reading. Councilman Kramer seconded the motion.

Vote: Unanimous

Councilman Crabb made a motion to adopt Ordinance Number 2007-01 authorizing the issuance of the White County, Indiana Taxable Economic Development Revenue Bonds, Series 2007A (VeraSun Reynolds, LLC project), and the lending of the proceeds thereof to VeraSun Reynolds, LLC and authorizing and approving other actions in respect thereto. Councilman Hendryx seconded the motion. Vote: Unanimous

 

ADDITIONAL APPROPRIATION

BE IT ORDAINED BY THE County Council of White County, Indiana that for the expenses of said Municipal Corporation the following additional sums of money are hereby appropriated and set apart out of the fund. Herein specified and subject the laws governing the same.

 

REQUESTED ALLOWED

HIGHWAY DEPARTMENT

Major Moves $300,000.00 $300,000.00

 

Solid Waste Operating Fun $300,000.00 $300,000.00

 

CEDIT $369,000.00 $369,000.00

 

TOTAL $969,000.00 $969,000.00

 

Councilman Kramer made a motion to accept the above Additional Appropriations. Councilman Cain seconded the motion. Vote: Unanimous

 

MAINTENANCE NEW EMPLOYEE

Mr. Ed Ward, Head of White County Maintenance, asked if his new full-time employee could come in at the full salary the previous employee received. The new employee has been working part-time for him since April 21, 2007, and had worked at another White County position since October 4, 2006. Auditor Guingrich pointed out that the new employee has been doing an excellent job, and has been willing to cooperate with offices to do extra cleaning whenever asked. Councilman Clear said the new employee doesn’t fall under the guidelines that have been discussed to receive the previous employee’s full salary, based on the criteria and the employee’s work history. Councilman Crabb said even at 90% of the previous employee’s salary, the new employee will be getting about an $800.00 raise.

 

BUDGET WORKSHOPS

The first day of Budget Workshops, Monday, August 6, 2007, the Council will probably brown bag lunch in order to get more work accomplished, instead of going to Lakeview Home, in the middle of the day. Rather, Ms. Kae Fuller, Head of Lakeview Home is scheduled to meet with the Council on the last appointment for the first day. Council Members are welcome to tour the Home after her appointment.

The second day, Councilman Hendryx said he would provide sandwiches, as Council President Horton would like to make it a working lunch.

 

STATE BOARD OF ACCOUNTS

Wednesday, July 19, 2007 at 1:00PM Auditor Guingrich will be having an Exit Interview with the State Board of Accounts. The Council is encouraged to come. President Horton said according to a speaker he heard, the number of incidents of missing money and the amount of missing money has gone up drastically in Indiana. The meeting will be in the Council room.

 

REPORTS

Auditor Guingrich passed out sample Budget Status Reports and Fund Ledger Reports for the Council to see before they are given the actual ones for the Budget Workshops.

 

ADJOURNMENT

There being no further business to come before the council, Councilman Carter made a motion to adjourn. Councilman Hendryx seconded the motion. Vote: Unanimous

 

 

 

 

 

 

 

___________________________ ___________________________ ___________________________

RICHARD G HORTON, PRESIDENT DENNIS E CARTER GARY W HENDRYX

___________________________ ___________________________ ___________________________

DENNIS D CAIN KEVIN L CRABB RAYMOND L KRAMER JR

___________________________ Attest: ___________________________

BRUCE D CLEAR JILL GUINGRICH, AUDITOR