Town Commissioners Minutes — 2025-05-20
Minutes May 20, 2025 · 1 page(s) in the original
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QUEENSTOWI\ COMMISSIONERS
WORKSESSION
May 20,2425 PRESENT: President Al Hardee, Commissioners Tom Willis & Bryon Callahan, Town Manager Amy Moore, Town Clerk Aaron Homey, Town Attorney Lyndsey Ryan
WORK SESSION CALLED TO ORDER AT 2:00PM
The Queenstown Commissioners held a work session to discuss additional funding options for the water tank and infrastructure project.
Ms. Moore informed that the membranes at the WWTP were inspected/cleaned and are in poor condition and will need to be replaced. Manufacture acknowledges that all cleaning/operating protocols were followed by town's operators. Was supposed to last l0 years- only lasted 5. Town looking into if membranes were warrantied for l0 years. Operator George Smith expressed concerns about adding more users onto the system as it currently is.
Ms. Ryan discussed the estimated cost increases for the project- estimated increase of $1,908,642.81. Increases due to significant rises in materials, labor, and soft costs such as engineering fees. Ms. Ryan stated that around I I contractors attended the pre-bid meeting held last week- the bids are due in by June I 3. Town could see real numbers on the costs at that time.
Three scenarios discussed on how town could proceed with the increased costs: (1) Town build project and allow developer to step in (DRRA currently allows step in by July 2027- Town would need to find additional funding to cover the gap.Additional USDA funds would be loan only, would require new RD application, and would trigger BABA requirements. (2) Town would allow developer to build their own infrastructure- Could permit developer to install
infrastrucfure benefiting the development and town would remove those components from the USDA project to reduce overall project cost. (3) Town does the work, if issue with USDA funding, developer becomes the bank for the difference- Developer could be private funder to cover the gap: subtracting water lines (required to reimburse per the DRRA) would be $234,600 with remaining funding gap of $1,674,042, which could be covered by waiving first 124 wls
allocation fees. Town would still collect allocation fees for remaining 143 EDUs totaling $ 1,930,500.
After discussion, Commissioners agree that option 3 seems to be the best option presented but would like to have hard numbers in from the bids prior to making a final decision. Brief discussion on possibility of increasing allocation fees to account for increased ds costs to town.
Ms. Ryan will inform developer of town's tentative plan for going forward.
There being no further business, Callahan motion to adjourn the meeting at 2:59pm. Willis second. VOTE:3 qve-0 nalt.