Keokuk may scrap recently acquired barge facility

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BY LEAH JONES

KEOKUK RADIO

KEOKUK - After a recent inspection, the a Keokuk commission is making a recommendation that the city of scrap or sell it's recently purchased barge facility due to damage.

According to Keokuk City Administrator Cole O'Donnell, an inspection of the barge in 2013 did not show damage to the hull or surrounding areas. The barge was transported to Keokuk last year from Davenport after the city bought it for $1. The damage that the new inspection is reporting was sustained in the time between the two reports.

O’Donnell released a statement, including a recommendation, that stated the barge facility would a $10 million investment to get the facility up to industry standard, and that wouldn't include hauling the facility to and from dry dock.

“The report pointed out many severe deficiencies with the barge. The hull, sides, and bottom, is pitted in many places and is degrading rapidly. There are several holes and water does come in," O'Donnell's wrote in the report.

"The inspector’s very rough estimate based on industry standards is $10,000,000 excluding transport to and from dry dock. Additionally, while inspecting the compartments, the inspector found that the wastewater holding tanks had burst and that compartment is full of hydrogen chloride gas. That system would need to be completely rebuilt."

O'Donnell said no inspection of the top surface of the barge was completed as the concrete base for the building covers the top. He said inspectors said that will be a problem either now or in the future as concrete is corrosive to steel.

The Barge Commission did not have a quorum so no action was taken. The members present agreed that staff should begin plans to auction furniture, fixtures, and equipment, as well as, offer the facility for scrap.

Moving forward, staff will look at options for auctioning and will prepare to have the facility scrapped. As part of the process, O'Donnell said the city will contact the DNR about being able to disassemble the building on site.

If it is necessary for the City to pay for the facility’s removal, it will use proceeds of an upcoming bond sale. City officials have said they could potentially use TIF revenues to pay the bonds and not directly impact tax payers, which could keep the cost from being paid from general fund revenues.

"O'Donnell said officials believe the scrap value could offset any dollars spent on the project, which include $200,000 to move it from the Quad Cities last year.

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