HEALTH DEPARTMENT

Seyb pushes Supervisors for Marina funding

Board sets final decision on funding for next Monday's meeting

Posted

LEE COUNTY - A lengthy discussion on how, or even if, to contribute funds to the City of Fort Madison's Marina project dominated Tuesday's Lee County Board of Supervisors' meeting.
The county is currently grappling with how to fund a potential $5.5 milliion Lee County Health Department/Lee County EMS  building to be constructed on land being donated to the county by the Meller family where the former Iowan Motel was located.
There is about $3.7 million of the county's $6.5 million America Rescue Plan funds left and Supervisor Garry Seyb is encouraging the board to give the Marina project $250,000 out of those funds.
However, several board members including board chairman Matt Pflug, said the health department has been the  county's top priority and Fort Madison Mayor Matt Mohrfeld would get the marina built even without money from the county.
Mohrfeld has been asking for $250,000 since the county opened applications for use of the ARPA funds. Now Mohrfeld said a private investor has pledged to match the county's $250,000 which would represent 60% match funding for a Destination Iowa Grant, which could leverage an additional $350,000 in grant funding for the Marina project. Mohrfeld said the donor has said he wanted to see an investment from the county first.
A panel convened to oversee the use of the ARPA funds voted last week to not use any of the remaining funds for the marina project with a 4-1 vote. Seyb voted against the measure. The panel, which includes Lee County Auditor Denise Fraise and County Budget Director Cindy Renstrom, said the county could probably afford to spend $20,000 annually for five years to give the Marina a $100,000 contribution but that would be over five years.
Seyb said he was concerned that move would tie up the general fund, that Pflug said was in critical shape.
"Right now we're at an all-time low of $2.5 million. That's a dangerous level and we should have that conversation more than we have been," Pflug said.
But Pflug said he's opposed to borrowing money in the recessing economy when there are funds available to build the health department, not including the EMS bay.
Pflug asked for a report from Carl A. Nelson that broke down the costs of the building just for the health department and not yet to include the EMS bay portion, which was just over $1 million. The report generated by Nelson indicated the county could preliminarily build the Heath Department at just over 10,000 square feet at between $3.8 million to $4 million.
The County is also looking at a possible Community Development Block Grant that would be up to $570,000 toward the project.
Sara Helenthal, deputy county auditor and the county's administrator for the EMS department, said the Fort Madison EMS facility is in disrepair and will need attention soon and cautioned the board about leaving the EMS portion to be funded later.
Dennis Cosby, the county EMS director said the current Fort Madison facility would not be able to be sustained without repairs.
Seyb also pointed out that two of the county's bonds in current debt service will be paid off in the next four years and another will be cut in half, reducing the county's debt load, in the event bonding would be necessary to finish off the project.
"If we had to bond, the bonding (ability) would be there. That would not be our primary focus obviously, but we've got three to four years to look for that funding and come up with money," Seyb said.
He said committing funds from the general fund locks out additional spending for five years because of funds they may not have had to commit if it was funded through ARPA.
Seyb said the county to date has been effective with its use of ARPA funds using $1.95 million to leverage an additional $3.55 million toward broadband work in Lee County.
Supervisor Ron Fedler, who also sits on the ARPA panel, said when the issue was brought up in the panel's meeting Tuesday, he said the $250,000 taken out of ARPA funds would be taking away from the Health Department and giving it to the marina.
"To me the Health Department was more important on how much we spend on rent, $90,000 per year, over 10 years in $900,000 we're saving. I figure the health department serves so many needy people who rely on their services rather than nursing homes and doctors," Fedler said.
"To me that's $250,000 more we'll have to borrow to finish the health department."
Pflug said the county has been fighting the battle for getting a new health department for decades and they should now focus solely on getting that building erected and then take on the EMS facility after that.
Seyb said the Meller donation is close to $200,000 and the build isn't going to get cheaper.
Fedler disagreed, citing economists saying the economy is facing a financial hurricane and prices are going to start coming down.
"To say that things won't get cheaper might not be real accurate," he said.
Fedler also pointed out the $6 million the county bonded to improve radio communications for first responders countywide. Seyb said that money was borrowed at some of the cheapest rates the county has ever seen.
Fedler countered that the county has more debt now than it ever has at close to $10 million.
The agenda item was only for discussion purposes at Pflug's direction. The board agreed to have the item back on the agenda next week for possible action.
Mohrfeld encouraged the county to remember there is a return on investment  with tourism dollars.
"They like to use the rollover of 7x. I think that's a little much, but even if you look at rollover of double on $1.5 million, you're rolling $3 million a year back into the community," he said.
In a related issue, the board approved a contract with Carl A. Nelson Company for construction manager services on the health department.

In other action, the board:
• voted 5-0, to approve replacing an assistant Engineer.
• voted 5-0 to approve an agreement with RT Vision for Electronic Timecards.
• voted 5-0 to approve an Iowa DOT agrement to use Swap funding to bridge improvements at 140th Avenue over Little Sugar Creek.

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