MINUTES
OF THE ANNUAL MEETING OF THE ELECTORS
OF THE TOWN OF FERN
APRIL 19th, 2016
Town Chairman Erwin called the meeting to order at 7:00 PM. The minutes of the annual meeting of April 21st, 2015 were considered by the electors.
Motion by Dwaine Drewa to approve the minutes of the meeting of April 21st, 2015. Second by Ruth Cassens. All in favor
Town clerk George Pakos presented the annual report of receipts and expenditures.
The assembled considered requests by Project Graduation, Florence County Economic Development, and the Florence County Fair for donations. Motion by Joanne Wloszczynski to approve a donation of $100.00 to Project Graduation, a donation of $200.00 to the Florence County Fair, and a donation of $300.00 to Florence County Economic Development. Second by Brian Picard. All in favor.
Ruth Cassens asked about the use of local contractors as had been discussed at the annual meeting of 2015. Chairman Erwin stated that the town had used McCoy's gravel for some work at the town solid waste/recycling center.
Daymond Saak asked if the grader only went straight or if it went on some side roads, also stating that his (Scotch Pine Dr.) road was inadequate for travel. Chairman Erwin stated that Patten Lake Rd. was graded by the Town of Florence and that it looked beautiful, also stating that Scotch Pine Dr. was too wet for grading. Dwaine Drewa stated that Jackpine Dr. was fixed in 2015 and Chairman Erwin stated that the dumpsite was also fixed.
Dwaine Drewa asked the assembled about work on the exterior of the town hall. A discussion was had regarding the use of contractors to perform the work. Chairman Erwin stated that the current roof on the town hall would be torn off and an entire new roof installed with Markell roofing giving a low bid of about $21,000. John Scott asked about using other contractors. Chairman Erwin stated that the current plan would be followed.
Richard Knepper asked about the public hearing for the Sea Lion Lake boating ordinance. Pakos replied that the notice for a hearing on May 14th will be sent this week.
Rod Miller asked about franchise fees that appear on his phone bill. He stated that he had called the phone company and that he was told that the Town of Fern had imposed the franchise fee and that because the Town of Fern had imposed the fee the phone company merely passed the fee onto the customer. Jim LeFevre stated that he knew of no action by the town to impose the fee. Pakos stated the same.
Ruth Cassens stated her concerns about the gravel pit issue in that many meetings were held and that she first heard about the issue at the board meeting of April 11th, and asked as to why the electors were not informed a month ago and the electors would have had time to read the material and have questions to ask? Jim LeFevre replied that he had spoken with Wisconsin Towns Association lawyer Rich Manthey today. Jim LeFevre stated there is no vote tonight. He quoted statute 60.10(2)(e)." powers of town, town board sub (2)(e) purchase of land. Authorize the town board to purchase any land within the town for present or anticipated town purposes. Are not needed at a meeting. The board does that." No. 2 "We're not purchasing any land. Fern isn't spending a penny on it."
Dwaine Drewa: "We let it out as fast as we heard about it. We weren't holding back."
Ruth Cassens: But there were meetings.
Jim LeFevre: "All the meetings were closed session"
Chairman Erwin: "You cannot bring closed session out, we would be liable for jail time by breaking that. Under the closed meeting law we are not allowed to bring out any information that is why we were approached by them back in February on a possible joint ownership of a proposed gravel pit. Now we are moving forward, its up to the electors if we want to go with this pit or not." He also stated that the Town of Commonwealth is discussing this issue tonight and that all three towns are for this and it would be a three-way agreement and three towns would pay royalties. It was brought up by Rod (Miller) that royalties should be similar to what a 401(k) would be. To be using that money for closure of the pit when we're no longer here. Royalties should be held in like an escrow account and used for purpose of closing the pit.
Dwaine Drewa: That is their intention.
Chairman Erwin: We have the handout here, concerns and response. Concern #3 Current cost estimated. The Town of Florence is soliciting bids for crushing. Bids were solicited by Chairman Erwin and foreman (Town of Florence) Steber. Crushing was quoted at $3.60 per yd. with the royalty bringing this to $4.60 per yd., with current payments of $4.85 per ton and 1.5 tons per yd. This means we would save $2.60 per yd. for gravel.
Ron VanWychen asked if for the $3.60 per yd. the contractor would bring in water for dust control? Dwaine Drewa asked if this was done at Ron's pit. He replied yes, wherever it is dusty during crushing operations.
Chairman Erwin recognized Jay Rosemeyer of Northeast Asphalt and Rosemeyer stated that the figure quoted of $7.50 per yd. was actually $0.23 more than was actually charged. He also stated that Northeast Asphalt has worked with the town for payment schedules. Jim LeFevre stated that the pit was going to be used only for town purposes and not for private contractors.
Rosemeyer further stated that the proceedings tonight were the first step and that the next step would be to comply with NR 135 of the Wisconsin Administrative Code where substantial sums of money would be spent. This would include meetings with the county zoning, county planning and town planning. From start to finish this could take six months.
Jim Baldridge stated that it appeared to him that the question was whether the Town of Fern wanted to become associated with this project and that it appeared to him to be a done deal. He also asked about the noise with trucking and stated that he was having an issue with 3 gravel pits within ¼ mile of his house. He also commented about the difficulty of selling a property on the lake because of the existing gravel pit. Jim LeFevre stated that he had the same problem. Jim Baldridge replied that his problem was much more intense.
Daymond Saak asked about the life expectancy of the Ron and Sharon pit and how the pit would be closed when gravel removal ends. Rosemeyer replied that there were about 170,000 yards left and that based on his knowledge of historical usage, the pit would have enough gravel for about 17 years.
Chairman Erwin read a communication from Carol Nawrocki regarding the gravel pit issue. "I don't see anything in statute 60.3 paragraph 1 or 66.0301 that would limit an intergovernmental agreement to achieve solely within the boundaries of the towns involved. Likewise I do not know of any court case that has specifically addressed the issue of whether a town can join with another town to purchase land in a third town for a gravel pit or other purpose. I assume the pit would comply with all local zoning and other regulations currently in place." Chairman Erwin continued that the Town of Florence attorney Kim Coggins who is doing the draft for mineral rights and such for the purchase agreement. "The Town of Florence could act on its own entering intergovernmental agreement and team up with someone other than Fern. Wisconsin statutes 60.23 does not state that the land must be located within the town. The Town of Florence does not need the Town of Fern for this land acquisition, however the Town of Florence approached the Town of Fern regarding this joint venture due to the fact that they thought it was a win-win for both boards. It made sense for the Town of Fern due to the location of the property being within the Town of Fern." Chairman Erwin continued: In addition to the Town of Fern the Town of Florence has approached the Town of Commonwealth regarding land as well and their annual meeting will be deciding to go with this too for savings for the Town of Commonwealth.
Ron VanWychen asked why the county was not also going in on this? Chairman Erwin replied that the county has their own County D pit.
Dwaine Drewa stated that he totally understood where Jim Baldridge was coming from. Jim LeFevre agreed. Dwaine Drewa further stated that he understands all the dust that he is getting and that is why some borders are being set up for the proposed pit.
Jim LeFevre stated that the landowners who should be complaining are those in the adjacent subdivision.
Dwaine Drewa stated that all the various pits are for everybody's roads.
Rick Knepper: I'm concerned over 5 and response # 5 it says the Town of Florence initially offered lower royalty fees per yard the clerk stated that a dollar was reasonable and I'm just wondering what the original fee was?
LeFevre: 50 cents.
Knepper: Why is our clerk negotiating and not the board?
LeFevre: George said.
Pakos to Knepper: You said that I said what?
Knepper: In response # 5
Pakos: I did not come up with response #5.
LeFevre: You said it at the meeting George I listened to it. You said a dollar. Its in the Town of Florence minutes, I checked on it. Its in the minutes.
Chairman Erwin: Let me touch base on the royalties. It was offered when we first met with the Town of Florence on their first draft proposal of the joint ownership of the pit and how it would benefit. In that proposal they had stated that they were only looking for $.50 per yard as a royalty. However, it was brought up by our clerk that for closing the pit it is a concern that it would be better to have the dollar royalty so that is why that was put in place for a dollar per yard for a royalty. When the Town of Florence went with the Florence County Highway Commission at the County D pit they started off with a $.50 per yard royalty also but it was soon learned that the costs for opening and closing and reclamation that they were approached by county highway to get a dollar royalty. Florence was kicking and screaming but they agreed to that. The dollar royalty makes good sense for the closure and monies to work in this pit.
George Pakos: The reason I said one dollar was – oh my gosh you're going to save $.50 per yard instead of a dollar and yet Chairman Bomberg stated: you know what, when the costs go up the royalty fee is going to go up. So the point of it is – why are you paying $.50 a yard and then they are going to go up. I mean its like a bait okay. You take the bait and you take the hook and all of a sudden you know the rates go up. So don't lay it on me where you only give a partial explanation of what the discussion was. Why are talking about $.50 and then we'll raise it because costs are rising. The real problem is nothing is stated in that intergovernmental agreement proposed agreement, nothing is stated as to what those costs will be part of. What are they going to include in costs? But they are stating, you know what, every five years we're going to review this and if the costs exceed you don't know what they are going to use for costs. Once the costs go up, here's the thing. I see the Town of Florence exercising veto power over all of the details of this whole thing. That is one of my issues.
Erwin: Thank you George. Of course the Town of Florence is assuming all the costs associated with this.
Pakos: There is nothing in writing.
Chairman Erwin: We're just starting. What had to be done was to bring this to the electors first. As Jay Rosemeyer stated too, we're just in the beginning steps of getting this finalized. What we're doing tonight is coming to the electors, giving you what information we have, and were are also looking for approval or disapproval by your vote, to be part of this pit or not. Regardless of Fern if Commonwealth wants to get on board and Florence gets on board I'm afraid to tell you they are going to have a pit and we're going to be buying our gravel from Northeast and out of Ron's pit because we won't be involved with this pit.
Jay Rosemeyer: I think you're are missing the point that the pit is in the Town of Fern. It doesn't matter if 50 towns agree to this. Its up to the Town of Fern and the Town of Fern will be holding meetings. Florence may take care of the bills, but its still in the Town of Fern. I don't know where they are getting this dollar a yard- they're just picking it. I can guarantee you that its not anywhere near where its going to cover their costs. The only thing you will not have to do is that you do not have to pay a bond because you are a municipality. Right now your costs are known with Northeast Asphalt at 7.27 per yd. It will be this until the next crushing.
Dwaine Drewa: Did our town vote on Ron and Sharon's pit?
Jay Rosemeyer: That was pre NR 135.
Dwaine Drewa: We just voted it down (let's say). We go to Florence tomorrow we say we don't want anything to do with the pit. Are you saying – can we put such a brake on it that not a rock be taken off that 40 acres?
Jay Rosemeyer: What I'm saying you can start the process but ultimately its the zoning board that makes the decision. You are going to make a recommendation your board will make a recommendation to Florence County Zoning. You are going to say yes we want it or no we don't. They will take the matter under advisement.
Dwaine Drewa: And then?
Jay Rosemeyer: I have had the town say yes and the county say no and the town say no and the county say yes.
Dwaine Drewa: If you came in?
Jay Rosemeyer: I would be coming in. If you don't have a Plan Commission then we would have to go to the county Plan Commission.
Daymond Saak: Would this be in open meetings?
Jay Rosemeyer: Yes it would be open. Notices would be sent to adjacent landowners.
Russ Cassens: Who is going to pay the taxes?
Chairman Erwin and Jim LeFevre: Town of Florence. The owner pays the taxes.
Russ Cassens: If you go along with the agreement will the town (of Fern) incur any liabilities with this?
Erwin: Liabilities are in the hand out. Intergovernmental agreement. Concern 2 response. There are many liabilities stemming from this acquisition which are unknown and which are not insurable. The Town of Fern would have 1% ownership of the pit and yet acquire a liability share of 50%. Response # 2: The Town of Fern is responsible for their own liability insurance for a Town of Fern employee or its designees when they are in the pit. Florence provides its own insurance as well as a private company would. Everybody is insured on the hold harmless. This is done for many townships and Jay knows this is how the liability works.
Jay Rosemeyer: With Ron our lease has a statement where he is held harmless. We assume the liability. That is what you would want.
LeFevre: That's what it says in here. The land itself would be insured by the Town of Florence.
Jay Rosemeyer: You would need a lease with them to cover yourself with them.
Jim Baldridge: What is the reason that we're not buying dirt from him (Northeast Asphalt)? What is the reason for a gravel pit next to a gravel pit? What's wrong with his dirt?
LeFevre: We can raise taxes because the difference is.
Jim Baldridge: I never got it. I wasn't on the mailing list.
LeFevre: Its right here (referring to handout on table).
Jim Baldridge: I didn't see it on the way in.
Dwaine Drewa: This pit will extend availability of gravel for decades. And we'll do anything in the pit to protect people like you.
Jim Baldridge: Its a no brainer that it will be saving money.
Ann Drewa: The pit on County D – nobody approached the Town of Fern.
Dwaine Drewa: I had to go to a meeting as landowners, we were contacted. I was concerned what it was going to do to my property. My main concerns was the wetland they had back there and my well. I went to several meetings.
Rick Knepper: What are prices of gravel outside our area.
Jay Rosemeyer: You are lower than prices toward Green Bay area. In the Rhinelander you are at or just below what they pay there. Iron County (MI) you are very similar to. Further north and west into UP prices are generally higher.
Chairman Erwin: The only reason we were approached was to do the best for the Town of Fern.