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HomeMy WebLinkAbout1967-11-28 Council Minutes - Special MeetingKUNAT (T'IY COLN'Tl, N1TNUITS - .SPECTAT. !Qif;'I'TNC - i;3t) I�.at. 28 VnVli"•Iltla(, 1967 Members present: Robert Biolefcsld, Chester gone John Ilul iell, RcirineMc(;nlhlm and Mayor Jwmos G. We: Members absent - Ili lly 4cCmlll rt<tad tart Seaman. Also present: City itn,r. J. IV. Harrison and 0. Strandbor;�, P110s., (Ill.. Harrison explaincld this ineetin�; ��as called for the purpose of considorin.,; an assignment from CUI, to Fnirhank5 P•tnrse, Inc. for monthly prwtnc:nts of $4,121..40 for 84 months until the total cost Of the new 2071) KIV dual fuel c;ener:at.or is paid. Payments would be made by tho City from money duce ll.il,; total cor:t of the !,venerator is $2780700 and payments are to start 60 days from the date the gclncra- tor leaves the factory. This is an administrntivo matter, but since it involves i such a lar�n seen, Harrison thought Council should riot on it. raynnents will ) made to Fairbanks Alarm; the Atty. 5,"Iys this is normal and acceptable procodare. This assiTirent, alonr, with ft similar oar to (;tiicano prtocint!tt.ic �wi1.1 njn about * $8,000 )Iu., c�n(1 would still leave rnnrld•opernting ftmds, accor(lin* to ';trandherc+. There was -10ne discussion as to service areas; GUI, recoived threes Certificates - one for the City, one for the greenhouse and one for waste heat distribution. There was also discussion on servicing customers this winter before the now pon- orator can be activated; Strandberse says he can handle what is being, used new plus higher peaking, but would not like to carry a peak load constantly. lie says the sub -station is fused too low - that is one of the reasons for the fro(;uont blowing of fuses and that these things should be taken care of before wo have mono trouble. Harrison says the Clty must protect the transformors as substitute trans- formers cannot be obtained anywhere in the country. hlarrison also says tno system must be changed next year through bond issuos. Hulien moved, McCollum, seconded, to authorize payment from monies due CUL in a monthly amount of $4.121.40 to Fairhanks ,Morse, Inc., until the total of $278,700 is paid, beginning GU days after the generator leaves the factory and upon filing of a proper assignment. Roll call vote: Affirmative - 13ielefeld Cone ifuli©n- McCollum; Nogative - none. , Harrison said it appears the cost of the if. E. A. Facilitie,, will be in the neigh- borhood of $180,000. Wating, adjourned at 4:05 p.m. for an executive session at the request of the Mayor. Respectfully submitt , Frances Torkilsen City Clerk " The arrears with Union oil is due to disagreement as to the cost of gas; Strand- berg is trying to get this settled, and says Coate is re -financing so as to take care of these payments. 1�, _, . .. . •............ . G v��� 7�� g"'�c,,y:�./% rex���z7d' Teo