With potential significant growth on the horizon should plans to initiate potash mining operations near Holbrook come to fruition, the City of Holbrook is evaluating its infrastructure to see how it will bear the weight of new development.
The Holbrook City Council voted Tuesday evening to commission a wastewater flow study, analyzing the capacity of the city’s existing sewer system.
City engineers GHD Inc. will create a model of the sewer system that will be able to evaluate how proposed development at a specific location will impact the city’s sewer system. For instance, if a 500-room hotel is proposed for a specific site, the model will calculate where potential overloads in the system might occur.
City Manager Ray Alley said he has been told over the years that the city’s existing sewer system is at capacity and wouldn’t be able to accommodate growth, but no data has been presented to support the assertion. The new model will pinpoint specific problem areas to be addressed.
“I hate spending money on studies, but this one is beyond my abilities,” said Alley of the model development. “We need to get ahead of growth that could be coming.”
The flow study will cost $28,600 and should be completed within two months.
The city council voted 6-1 to extend an additional contract to GHD Inc. for the design of a well house for the new city well, which was recently drilled on McLaws Road.
Alley explained the Arizona Department of Water Resources (ADWR) requires receipt of well house designs prepared by an engineering firm before it will issue a permit for operation of the well.
Previously, Alley had planned to construct the well house himself with only costs for materials. GHD’s cost estimate for designing the project is $16,250.
Councilman Myron Maxwell objected to paying for the engineering services.
“What can these people tell us that you can’t?” he asked Alley.
Alley agreed with Maxwell’s sentiment.
“It’s frustrating. I can build it faster than they can engineer it,” he said, and then reiterated that ADWR would not allow the well to come on line unless the engineering requirement is met.
In other business, the council voted unanimously to approve the tentative fiscal year 2012 budget of $9,687,446. Approval of the final budget will take place at a special meeting scheduled at 5:30 p.m. on Monday, Aug. 1, in council chambers.
In follow-up to previous council discussions, Alley reported he had consulted with a tax attorney to learn if it would be prudent to continue to appeal to the Internal Revenue Service (IRS) for relief for the Holbrook Senior Center for an outstanding tax bill. He said discussions between the attorney and the IRS made it clear the tax agency is not willing to compromise on the bill because the senior center has assets in excess of the amount owed.
The council voted unanimously to pay the $59,079 owed, plus accrued interest, on behalf of the senior center. The conditions of the payment are that the senior center will make interest-free payments of at least $545 per month to the city, and will provide quarterly reports demonstrating the center is current on its tax payments to the IRS.
Councilmember Richard Peterson asked what recourse the city had if the senior center falls behind on payments to the city or quarterly tax payments to the IRS. Alley responded there is no recourse established; the hope is that the senior center will just move forward, keeping current on all of its obligations. He pointed out that the center has been making the monthly $545 payments to the IRS for some time, and has demonstrated it can keep up with the monthly amount.
Alley said he and Finance Director Randy Sullivan will work with senior center officials on their budget process in an effort to avoid problems in the future.
“In a sense, we’re making a good faith commitment to the senior center, with no binding leverage,” said Vice Mayor Charles Haussman. “We’re doing this with a sense of community, good faith and trust.”
“These are our seniors and we need to take care of them,” said Councilman Phil Cobb. “I’m hoping the senior center will keep everything in compliance from this point.”