The city of Trenton will use the services of the Missouri Public Utility Alliance regarding financing an estimated two and a half million dollars worth of improvements at Trenton’s water treatment plant.
Trenton is among the member municipalities across the state with the Alliance. The city council on Monday night, on a vote of seven to one, accepted the lowest of three bids based on interest quotes for the financing. Central Bank of the Midwest at Kansas City submitted the lowest interest rate of two point four one (2.41%) percent for a ten-year note. Two others submitted quotes. Simmons Bank offered two point five one percent and First State Community Bank submitted an interest rate of three-point oh four percent.
Randy Norden of the Missouri Public Utility Alliance attended the council meeting to answer questions. He explained the public utility alliance will guide the loan process from bids to closing. After closing, scheduled for February 18, MPUA will service the lease-purchase for the life of the lease.
Central Bank of the Midwest proposed a 12-month construction and interest-only period, plus nine years of principal repayment totaling a ten-year term. Additional one-time costs associated with MPUA services include $10,000 for Gilmore and Bell as the attorney; $7,500 to Lawrence and Services for origination and placement and a $300 set up fee to UMB which will be the escrow trustee. There’s also an annual trust fee of $1,500. Norden stated the additional fees can be paid at closing or rolled into the amount of money to be borrowed. The semi-annual (twice a year) payment to Central Bank is $143,171.
Seven members of the council approved the financing with Danny Brewer opposed.
Trenton has ten locations with privately owned solar panels that produce electricity, with some more pending an application and being put into service. Three were added in 2021. Those locations were listed by the city as 3211 East 10th street by Sara Rex, 2616 Hunter Road by Greg Smith, and 901 Industrial Road which is the National Guard armory. The ten locations collectively have an output of 173 kilowatt-hours. The largest is the most recent installation on November 23rd at the armory in the north part of Trenton.
It was noted Trenton’s hourly peak electrical usage last year was 15,400 kilowatts in the 5 o’clock hour of July 29th. Trenton’s hourly peak during the extreme cold in February was 14,600 kilowatts on February 14th.
The city council amended an ordinance pertaining to debris remaining on the property following a change in occupancy commonly referred to as a “clean out.”. In part, a section was added that says failure to remove a nuisance within seven days’ written notice will be a violation of the ordinance for both the property owner and the occupant.
Bids were accepted to purchase sand and asphalt rock for use this year by the Trenton Street Department. Norris Quarries will supply nine thousand tons of sand at $9.05 per ton and 10,000 tons of half-inch clean rock at $17.85 per ton. Ron Urton, the city administrator, said the prices reflect a four to five percent increase over last year
All eight councilmen and the mayor participated in the meeting either in person or by Zoom.
Urton reported no action was taken in an executive session last night.