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About The Blue Mountain eagle. (John Day, Or.) 1972-current | View Entire Issue (Dec. 20, 2017)
News Blue Mountain Eagle John Day to save $280,000 with loan payment plan By Richard Hanners Blue Mountain Eagle The city of John Day in- tends to save $280,000 by paying off loans early. On Dec. 12, the John Day City Council unanimously approved one of four options for consolidating two Public Works Fund loans through Business Oregon’s Infra- structure Finance Authority. The city received an offer from Washington Federal, the same lending institution that originated the bond for the city’s new fire station, to consolidate the two loans at interest rates ranging from 2.34 percent to 2.49 percent. The city’s Budget Com- mittee had approved a recom- mendation during the fiscal year 2018 process to accel- erate payments on a loan for the industrial park near the airport by $20,000 and on a loan for the West End Water System improvement project by $100,000. The chosen option will save the city $283,060 but includes a six-year call, at which time the city must make a bullet payment of $720,000 to pay off the entire loan. The city can cover the cost of the payment by saving $120,000 a year, which fits into the Budget Committee’s plan for the loans, Green said. In other council news: • According to a 2017 financial audit by Guyer & Associates, the city’s to- tal net position of assets over liabilities increased by $384,332 over the year, “a modest but positive in- crease,” Green said. The increase largely was due to revenue from the solar eclipse event, receipts from the U.S. Forest Service and the value of the shop build- ing acquired through the purchase of the Oregon Pine property. CPA Kent Bailey issued a “clean audit” but warned the council about estimates for Public Employees Re- tirement System liabilities, which were “all over the board.” He noted that just a 1 per- cent change in market interest rates could Nick Green dramatical- ly increase PERS liabilities. “Trust me, we’re in the good part of the cycle now,” he warned. City expenditures totaled $2.5 million, with 23 percent to sewer, 19 percent to water, 17 percent to emergency ser- vices, 17 percent to police, 10 percent to streets, 7 percent to fire and 7 percent to adminis- tration. The council also unani- mously approved a resolution to address $3,950 in excess expenditures for the sewer fund’s capital outlay report- ed in the audit. Green said the city’s estimate of closing costs and title fees in May for the acquisition of the Oregon Pine property were off by about 1 percent of the $520,640. The resolution discloses the budget violation to the Oregon Secretary of State and provides a plan of action to ensure future budget esti- mates do not exceed budget- ed amounts. “We’ll need more of a cushion if we do future prop- erty acquisitions, which I don’t expect,” Green said. • The city received $4,945 in additional recreational marijuana tax revenue from the state. • The council met in ex- ecutive session to discuss a performance review of City Manager Nick Green and to discuss ongoing negotiations of proposed acquisition, ex- change or liquidation of pub- lic investments. News media representatives were allowed to attend but cannot report on any of the deliberations during the executive session. • The council’s next meeting is Jan. 9. John Day will host the League of Or- egon Cities Region 8 Small Cities Meeting on Jan. 18. Wednesday, December 20, 2017 A3 County ratifies creation of broadband coalition County, John Day and Seneca will direct new network By Richard Hanners Blue Mountain Eagle Following a second spirit- ed hearing, the Grant County Court approved an ordinance ratifying the creation of the Grant County Digital Network Coalition Dec. 13. The vote was 2-1, with Commissioner Jim Hamsher opposed. With Prairie City and Can- yon City not participating in the coalition, Grant County could be on the hook for 70 percent of future costs, Ham- sher said. He said he wanted to see the final version before he could vote in favor. County Judge Scott Myers reminded him that “this is the final version” — a memoran- dum of understanding will be presented later with more de- tails about the responsibilities of Grant County, John Day and Seneca in constructing and op- erating a broadband network in the county. The ordinance will go into effect 90 days after approval by the court. Opponents speak Sixteen people addressed the court on the matter on Nov. 22, with 13 in support of the ordinance and one opposed. This time, 21 people spoke, with 13 opposed and six in support. Dan Driscoll, speaking on behalf of Grant County Farm Bureau President Jeff Thomas, said the bureau sup- ports improved internet — but not if it means Scott the govern- Myers ment will com- pete with pri- vate enterprise. Oregon Tele- phone Cor- poration and CenturyLink can provide broadband Jim to many city Hamsher residents, the bureau said, while rural residents could be served by satellite. Noting that the broadband plan had divided people across the county, Shaun Robertson criticized the county for not performing its due diligence and conducting all the neces- sary planning ahead of time. While he commended John Day City Manager Nick Green for securing $1.8 million for the project, Robertson said he wanted the court to delay a vote on the “half-cooked” idea. “We only have one shot at this,” he said, adding that if the network can’t help rural resi- dents in Long Creek and Mon- ument, “it will be a mistake.” Elaine Smith agreed that the network needed to serve Long Creek and Monument. She called the broadband project “pie in the sky” and claimed everyone someday will be served by satellite. Pete Hettinga presented the court with a spreadsheet estimating costs to construct and operate a broadband net- work in the county based on information he obtained from Ortelco and the internet. He claimed the cost to run a cable from Burns to John Day would be $5 million. Hettinga said the proposed project was “not worth do- ing” and “not necessary.” He suggested spending the $1.8 million John Day will receive from the state to extend exist- ing fiber in Canyon City south to Seneca — and not any fur- ther. He also wanted any coun- ty expenditure for the project to be presented to the voters. Harriet Crum claimed the city of John Day was trying to get rural residents to pay for a project that would benefit only city residents. Ken Brooks said he was a large taxpayer in Fox, and al- though he supported improved internet access, he was con- cerned county taxpayers could be stuck with the bill. He want- ed to see the broadband bene- fits extended beyond the John Day area to Long Creek and Monument. Support and response Both Shannon Adair and King Williams said Grant County needed to have a seat at the table and to be in- volved in how the broadband network was developed. Ha- ley Walker took note of all the “speculation” and point- ed out that the county could pull out of the agreement at any time. Green responded to the comments by noting that Long Creek and Monument were never offered a chance to join the coalition. Running broad- band to the northwest part of the county was “a tough nut to crack,” he said. He also said the Grant County Internet Task Force — a working group that preceded the new coalition — has talked with Ortelco and CenturyLink four or five times. The city of John Day has been designat- ed the lead agency to receive the state funds, but how the money will be spent will be determined by members of the coalition, he said. Myers agreed with Green, noting that the task force has talked to the companies “from the start.” He also said that the ordinance says nothing about taxes or the county investing any money in the proposed network. “We have not been reck- less,” he said, adding, “It’s time to get things moving.” Commissioner Boyd Brit- ton agreed it was time to move forward. “Grant County will not be obligated to anything,” he said, adding, “Nothing will be done in the back room.” Britton said the county has been looking at ways to get cellphone service to Long Creek and Monument for a long time without success. He complimented Green on find- ing the money for the broad- band network and warned of the consequences of not join- ing the coalition. “If you’re not at the table, then you’re the main course,” Britton said. Grant County amateur radio operators licensed From left, Grant County’s newest licensed amateur radio operators Ron Flores, Mariah Skidmore, Michael Shockley, Barb Dole and Ted Williams passed their Technician Class Amateur Radio License examination Dec. 4. This is the first time that groups of people have taken the FCC-approved exams in Grant County. With the encouragement of the Grant County Amateur Radio Club, Rick Allen, pictured in the background, held classes for four consecutive weeks. These five people, once their call signs are issued by the FCC, will be able to use local, regional and other repeaters to communicate in cases of emergencies. Contributed photo A man wakes up in the morning after sleeping on an ADVERTISED BED, in ADVERTISED PAJAMAS. He will bathe in an ADVERTISED TUB, shave with an ADVERTISED RAZOR, have a breakfast of ADVERTISED JUICE, cereal and toast, toasted in an ADVERTISED TOASTER, put on ADVERTISED CLOTHES and glance at his ADVERTISED WATCH. He’ll ride to work in his ADVERTISED CAR, sit at an ADVERTISED DESK and write with an ADVERTISED PEN. Yet this person hesitates to advertise, saying that advertising doesn’t pay. Finally, when his non-advertised business is going under, HE’LL ADVERTISE IT FOR SALE. Then it’s too late. AND THEY SAY ADVERTISING DOESN’T WORK? DON’T MAKE THIS SAME MISTAKE Advertising is an investment, not an expense. Think about it! Blue Mountain Eagle MyEagleNews.com Don’t get left behind, call today! Kim Kell 541-575-0710 31033 FIBER FAST INTERNET existing service areas in Grant County ACCESS TODAY! • Contractors currently expanding service areas to 8 new neighborhoods in John Day & Canyon City • Guaranteed speed packages - no buffering. Bates Dayville John Day Prairie City • Fiber Fast Internet speeds 1 gig and faster • Affordable packages for residential & business Mt. Vernon READY TO GET STARTED? CALL TODAY! Canyon City One Telephone Drive, Mt. 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