Council pay to increase, unpaid utilities assessed

Luverne City Council members approved salary increases for city elected officials at their Oct. 11 meeting.
They approved an ordinance to set the mayor’s annual salary at $8,450 per year. This is an increase of $2,550 over the current $5,900 per year.
The ordinance also increases the aldermen’s salary to $7,000 per year, an increase of $2,000 over the current pay of $5,000 per year.
“The salaries have not been adjusted for 10 years and reflect the need to keep up with inflation,” said City Administrator John Call.
The per diem for meetings will increase to $50 for meetings that last up to three hours and $100 per day for a full day of meetings. When there are multiple meetings in a day, the per diem cannot exceed $150 per day.
The current per diem is $65 for a full day and $35 for a half day.  
By comparison, Pipestone aldermen receive $333.33 per month ($3,999.96 per year), which includes regular meetings. Per diem for special meetings is $20. The Pipestone mayor receives $450 per month ($5,400 per year) plus $25 for special meetings.
Worthington City Council members receive $6,000 per year, and the mayor is paid $10,000. Both mayor and aldermen receive $50 per meeting for special meetings (outside of regular council meetings).
Luverne’s increases take effect on Jan. 1, 2017.
 
Unpaid utility bills
At the start of their Oct. 11 meeting, Luverne City Council members hosted a public hearing on proposed assessments for unpaid utility and miscellaneous charges.
The purpose of the hearing was to allow testimony or written correspondence from property owners about their utility charges.
One person, Stan Wieneke, attended the hearing to question a $149 utility charge on a rental property he had recently purchased that had been vacated for three years.
He said he was willing to pay the amount; he just sought information on the process, since it was a property he had purchased from a foreclosure company.
City Attorney Ben Vander Kooi remarked that communication with a buyer can sometimes fall short when dealing with foreclosed properties, since so many banks and legal entities become involved.
He advised Wieneke to contact the realtor, since liens should have been cleared prior to sale.
There were 30 delinquent accounts totaling roughly $11,000, but after delinquency notices were sent, the total dropped to $8,800.
The city bills out roughly $9 million in charges, so the council noted the delinquent accounts are a small percentage of the total utility charges.
The council approved a resolution at their Oct. 11 meeting to assess against delinquent property owners for the unpaid bills.
Property owners will be assessed for their unpaid bills, plus 4 percent interest. No interest will be charged if they pay within 30 days of the hearing.
 
Bid awarded for
$180,000 motor grader
In other business Tuesday, the council awarded a bid to RDO Equipment, Sioux Falls, for a 2017 John Deere motor grader. The $179,033 price reflects a trade-in for a 16-year-old motor grader.
The 6WD motor grader with 12-foor wing assembly will be delivered in January. It’s used for windrowing snow in the downtown area and airport.