Alva Review-Courier -

The Alva City Council began the process of planning for future needs and expenditures in their Monday, Oct. 16, meeting. The council approved Ordinance No. 2017-003 to create a capital reserve fund. City Business Manager Joe Don Dunham said the city management, department heads and supervisors will work on a list of capital improvement needs expected five years from now.

Once the list is made and prioritized, the city council will be brought in for their input and approval. Beginning with the budget for fiscal year 2018-2019, the city will start setting aside money to pay for these expected projects.

Dunham said the first five years may be painful. Capital improvements can’t be put on hold for five years. The city will continue to make needed purchases and improvements that will come out of the budget along with the set-aside funds for the future plans. It will mean a sort of doubling up on expenditures.

Dunham described it as “funding depreciation.” He said the amount set aside can be adjusted, with council approval, if a major need arises such as equipment failure. Mayor Kelly Parker said the capital reserve fund will be set up like the stability fund created previously by the council.

Once the ordinance was approved, Parker commented, “This is an important first step in stability for the future.”

Council member Brandon Sherman asked if money in the fund could be used in any way other than capital expenditures. City Attorney Rick Cunningham said that in exigent circumstances the council could vote to change the use of the fund; however, it would require a super-majority of six of the eight members’ approval.

Appointments

In four separate votes, the council approved Mayor Parker’s appointments to boards and commissions. Jason Gaisford was reappointed to the Alva Hospital Authority for a term ending October 2022. Gregg Glass and Troy Smith were reappointed to the Alva Recreation Complex Board for terms ending October 2022. Len Reed was appointed to an unexpired term on the Alva Cemetery Board, filling the position previously held by Kenneth Clark who resigned. Reed’s term will end in June 2018.

Insurance Refund

Since the city had favorable worker’s compensation claims activity in fiscal year 2014-2015, the Oklahoma Municipal Assurance Group (OMAG) board authorized $22,884.70 to be deposited in Alva’s escrow account.

This money can stay in the account to reduce next year’s premium, be used as a credit against the current insurance bill, or be refunded to the city. The council voted to request the refund of this amount.

Dunham said the city will need to amend the budget to reflect the additional amount. The money can then be used for unexpected equipment purchases or other budget items.

LPG Tank

Fire Marshall Bryan Miller told the council the fire department wants to install a 1,000 gallon LPG tank next to the south gate of the new fire training facility at 240 N. 14th St. He said the fuel will be used for fire training prop simulation.

The city’s ordinances require council approval of installation of any tank over 100 gallons of highly flammable gas. This allows the city to make sure the tank will not be unduly hazardous to the public or dangerous to a neighborhood. It must meet the requirements of the National Fire Protection Association.

Miller assured the council that all the safety requirements have been met. The council approved the installation.

Other Business

Bryce Benson was the only council member absent. The council approved claims of $152,445.77 and payroll expenses of $252,843.93.

The Alva Utility Authority approved paying claims of $70,749.79 and payroll expenses of $67,193.62.

The Alva Economic Development Authority voted to approval of claims of $25,483.96 and payroll expenses of $14,119.11.

A major action of the Alva Utility Authority and the city council involved approving paperwork regarding a loan from the Oklahoma Water Resources Board. That will be covered in a separate story.

A video of the entire meeting may be viewed at http://www.AlvaReviewCourier.com.