By Benjamin Bullard
The Cullman Times
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After wrangling over a controversial $11 million bond issue proposed by associate commissioners at a February meeting, the county’s three commissioners were of one accord as they approved a leaner, revised bond issue at Monday’s regular commission meeting.
The new $7,255,000 revenue bond, financed by Montgomery-based Merchant Capital, LLC, will fund water supply line upgrades and replacement projects on the county’s west side. An additional $4 million, included in the earlier bond proposal for well development, was scrapped. The City of Cullman, whose water agreement with the county names the city as the county’s sole water provider, had threatened legal action if the county attempted to secure additional sources of water, including wells.
According to Merchant Capital Executive Vice President Ken Funderburk, the county will benefit from an A+ credit rating on market rates for the 20-year issue. The bond also offers holders a municipal investment free from state or federal taxes.
Commission Chairman James Graves had disputed with commissioners Wayne Willingham and Doug Williams in February over inclusion of the wells in the scope of the originally-proposed bond, claiming the wells were low-priority and could invite trouble with the city over the water wholesale agreement.
"We don't need the wells," said Graves at the time. "Their purpose as part of this bond package is to provide water that is free of disinfecting byproducts and inject that into the water supply in an effort to lower the level of disinfecting byproducts that are currently sitting in our supply pipes by diluting water into it. My problem with that is that we don't need to make that kind of investment; it's not badly needed in the same way that the pipe upgrades are needed."
"It's a big investment; there's no doubt about that," said Willingham. "But this is a revenue-financed bond. It's based on the revenues of the water department. We've got excellent credit anyway - we've worked hard to be in the stable position we're in now. We have about $12 million operating expense in reserve and none of that should be affected by a bond issued on revenue."
In other business, the commission:
* Heard a presentation from Duck River opponent Ron Stone of Holly Pond, who reviewed a Saturday presentation he had given on the project at Holly Pond United Methodist Church. See related story (‘Going in circles’).
Stone approached the commission with the hope of generating enough opposition from property owners in the Duck River watershed to justify filing a class-action lawsuit obstructing the project.
* Heard a complaint from Shirley Rhoads, who lives on County Road 222, concerning a drainage problem that has water standing in front of her yard near in the Trimble area.
* Declared surplus a Revenue Department computer, monitor & scanner, and approved a copier lease agreement.
* Declared surplus a high-mileage 1999 Ford Crown Victoria used by the Cullman County Sheriff’s Office.
* Approved a Revenue Department-sponsored leadership training seminar hosted by Dream Big consulting. The seminar will be open to all departments.
* Approved a federally-mandated revision to the Cullman Area Rural Transportation System (CARTS) drug policy.
* Set the speed limit on County Road 631 at 15 miles per hour. The affected portion lies just north of Hanceville.
* Announced the upcoming Countywide Cleanup event, sponsored by People Against a Littered State (PALS). The cleanup will be held Saturday, April 24 from 8 a.m. until noon.
* Announced the next meeting of the North Alabama Regional Council of Governments (NARCOG), to be held April 28 in Decatur.
The next commission meeting will be on April 27 at 10 a.m.
For information on a number of bids awarded at the Monday meeting, see an upcoming edition of The Cullman Times.
* Benjamin Bullard can be reached by e-mail at bbullard@cullmantimes.com, or by telephone at 734-2131, ext. 270.
