Marion facing insurance rate increase
City budget included extra funds for potential increase
Not unexpected, the City of Marion is looking at an increase in its insurance rate premium.
Casey Case of Case and Son, insurance representative, told commissioners Monday the city's insurance rate premium will increase by 23 1/2 percent from this past year.
The renewal date is April 1.
Case said the city has a $1.3 million blanket property limit. A big part of that covers the city library.
"Property took a substantial jump as did business auto with the addition of several new vehicles," Case explained.
The biggest concern is the city's high amount of worker's compensation claims. Case suggested safety seminars be set up.
"You need something in place to ensure fewer accidents and fewer claims," he said.
Case and Mayfield said the city anticipated the increase and had budgeted for it. Case noted the only area where the city could possibly cut would be in the nearly $4,000 umbrella coverage premium.
McLain said he was a personal believer in umbrella coverage. "It's the shell that covers," he said.
Case also noted the city received a dividend check last year, which was the first time in three or four years. "We hope that rate increase will flatten out a bit," he said.
Wireless service
Commissioners approved a request from Tri County Telephone Association to place antennas on the two city water towers to provide wireless Internet service to Marion.
Phil Brockmeier, representing Tri- County Telephone, said they would be using four antennas to transmit out and one to transmit back. The antennas will require a relatively small amount of power.
Currently, the company has similar agreements with the cities of Abilene and Herington, Brockmeier said.
Commissioners questioned what would happen if lightning were to strike the antennas. Brockmeier replied that it would blow up the antennas; however, since they attach them to the rails, a lighting strike is less likely.
Brockmeier said the company will provide five free hookups and modems to the city in return for use of the towers and supplying electricity to the site. One modem would be placed in city hall, another at the police department, while other possible locations might be the library and water plant.
Commissioners directed Dan Baldwin, city attorney, to arrange a contract with the company.
Commissioners also:
— approved a resolution which waives generally accepted accounting principals. These GAAP conditions require the city to prepare various financial statements and financial reports. The GAAP requirements are not relevant to cities because, like the state, the city falls under the cash basis law and cannot spend funds which are not budgeted.
— approved a $35,000 transfer to the capital improvement fund to finance water line replacement. Of the $35,000, $20,000 is from the water plant fund, while $15,000 is from the sewer fund.
— approved a loan modification on the Seacat True Value building. Mayfield said the loan modification will lower the interest rate on the building from 6.39 percent to 4.67 percent.
Mayfield said the new agreement changes the amount of payment and the interest rate.
Baldwin said he had redrafted the city's side of the Seacat loan agreement which passes the savings on to the city, and adds a provision for a late fee.
The modified loan agreement is effective April 1.
— approved warrants amounting to $33,412.07 and payroll in the amount of $22,590.98.
— heard from Harvey Sanders, public utilities director, that city crews were busy taking down dead trees including one in Central Park and one on the Butler of Marion campus. Also, the city's electrical map was updated.
"In case of disaster, we could hand these out to out-of-town crews to help us," Sanders said. "It's pretty accurate on where to go."
— Susan Cooper, economic development director, said the city had received a preliminary plat for an assisted living facility. She noted the planning commission had reviewed the procedure for plat approval because it was the first test for the city's new sub-division regulations.
Also, a ground breaking ceremony had been scheduled at 10 a.m., April 2 for Mid-America Marble Co., and the city's board of zoning appeals had approved a variance for a carport/garage. (See related story).
— reviewed the Marion City Library report. Librarian Janet Marler reminded commissioners of the event at 7 p.m. Friday night featuring a program about Fred Harvey, who started the famous Harvey House Restaurants on the railroad.
