County approves sale of bonds for water project

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WORTHINGTON — Nobles County Commissioners on Tuesday authorized the sale of $8.5 million in temporary, three-year water system construction bonds for the first phase of the Lincoln-Pipestone Rural Water (LPRW) expansion project in Nobles and Jackson counties.

Wells Fargo Brokerage Securities, LLC., of Minneapolis was the winning bidder for the bond purchase.

LPRW CEO Dennis Healy said bid opening for the main pipeline and the water tower is slated for June 2.

“Based on other bids we’ve heard about, we’re anticipating some good, solid bids,” Healy told commissioners. “Construction will start — finally — somewhere in the near future.”

Healy informed commissioners that the USDA has decided to use stimulus dollars to help fund the second portion of the project, which will deliver water from the system to individual farms and households. That decision has resulted in an increased project cost from $15.6 million to $17 million, due to the requirements set forth in the Davis-Bacon wage formula.

“Fortunately, (USDA) gave us a bit of an increase in the loan,” Healy said.

The main, 12-inch supply line will be completed yet this year, while the water tower is expected to be completed by the fall of 2010.

Water will be available to residents before then, said Healy, adding that a portion of the population will be getting water as soon as the water is hooked in from Osceola County, Iowa.

Healy also asked Nobles County to be the lead county for the issuance of bonds for the second phase of the project, which includes the installation of individual hook-ups. Commissioners opted to table the request and asked County Administrator Mel Ruppert to discuss the request with the county’s own bond counsel.

In other action, the board:

• Approved a payment request of $26,384.35 to Salonek Construction for the first installment on the third floor remodeling project at the Nobles County Government Center. Ruppert said there will be a couple of change orders in the next billing from Salonek — including an additional $600 to $700 expense for a carpet that is more heavy duty than the one included in the bid, and the second for improvements in the stairwells to make them ADA (American Disability Act) compliant.

  Nobles-Rock Community Health Services is expected to begin the move into the finished area next week.

• Approved the replacement of the roof on the county’s shop in Adrian. Public works director Stephen Schnieder reported that the more than 40-year-old roof has begun to leak. The estimated cost of replacement is $26,000, which will come from the public works budget.

• Authorized the advertisement for bids to replace a bridge between sections 29 and 32 in Larkin Township. The bids will be opened at 1:30 p.m. June 15.

• Approved a request for the first-half of 2009 appropriation to Southwest Minnesota Arts and Humanities Council of $625.

• Approved a request from Nobles County Auditor-Treasurer Sharon Balster for the CPA firm of Larson Allen to provide audit services for 2009, 2010 and 2011.

• Received an annual update on the Heron Lake Watershed District from district administrator Jan Voit. Voit said the HLWD has received 25 grants since 1996, contributing more than $5.2 million to the program’s budget.

• Received annual reports from Southwest Minnesota Opportunity Council and Lincoln-Pipestone Rural Water.

• Approved a memorandum of understanding with the Minnesota River Area Agency on Aging for residents to have access to long-term care consultation and related services through the Senior Linkage Line.

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