VIENNA — The City of Vienna is putting on hold taking water fund money currently drawing interest and using it to pay off some of the indebtedness for the water system in order to save a substantial amount of money on interest payments.

At the Vienna City Council’s November meeting, Clerk Sherry James talked to the council about options for loan repayment to reduce overall interest. The city owes $545,000 to be paid off in 14 years at 3.375% interest. This amount includes $139,610 in interest to be paid. Clerk James showed different scenarios for repayment on the loan of $100,000 for interest savings of $51,800, paying $150,000 to save $72,200 in interest, paying $200,000 to save $89,284, paying $250,000 to save $103,000, and paying $300,000 for interest savings of $114,826. Prepaying on the loan also would reduce the number of years of the loan.

However, the council tabled this for now because of upcoming water fund projects. Utilities Superintendent Shon Westart said the water tower needs to be sandblasted on the inside and in five to seven years the tower’s exterior will need to be repainted. Both are costly maintenance items.

The first project the city will attempt is sandblasting the inside of the tower. This will take a couple of weeks and Westart told the council the costs will be from $60,000 to $80,000. Also, Westart said before this can be done, the city and the Maries County Public Water Supply District No. 1 will need to arrange for an interconnect because the city will be without water for the two weeks it takes to sandblast the inside of the water tower. Westart said they’ve talked about this in the past as being beneficial to both the city and the water district because the two water suppliers can assist each other in an emergency such as an ice storm knocking out power. Vienna has a generator to run its water system, but the public water district does not. As Vienna needs to clean the inside of its tower, the public water district can help if the two water suppliers do an interconnect.

Westart said the interconnect plan will need to be drawn up by an engineer and a permit from DNR will be needed. The work will not be that difficult and Westart said the city probably can do the interconnect work itself. He said there are sites where city lines and public water supply lines, both six inch, are within 15 feet of each other. He would like to see this project done in the summer of 2020.

Another water fund project that needs to be addressed in the next five to seven years is painting the outside of the water tower. This is significantly more expensive because the tower will have to be tented off because it is too close to houses. Westart said the whole tower will need to be draped. He estimates the cost at $250,000.

South Ward Alderwoman Brenda Davis, who at the meeting was serving as mayor, said the city council can look at prepaying the loans in the future but probably need to hold off on it for now. She said if the city has to borrow money, the interest rates will be higher. Clerk James said prepaying on the loans does not have to be done now. Westart said he plans to get the inside done fairly soon plus a few other things need to be addressed such as valve replacement.

In other business at the council’s November meeting:

• Westart said the company that has applied for state licenses to grow marijuana and manufacture marijuana infused products recently asked for and paid for a water sample at the industrial park. He said it was kind of expensive at $385, but they paid it. He flushed the line that day and will take the sample to the lab the next day. The representative for the company, Hippos, wants to see if the water will need to be treated. Westart said it is the same water that is supplied and used elsewhere in the city as it is a loop system. He said the representative said he is 95% sure the company will obtain a license for its Vienna operations.

Davis said she thinks Vienna’s location will be looked on favorably by the scoring judges. Vienna is in the center of the state, a rural area where jobs are needed, and Hippos has several applications for operations in Vienna.

North Ward Alderman Tyler TC James said people in town have mixed opinions about the medical marijuana business locating in Vienna. But, from the city and council’s standpoint, “We want the money and the jobs it will bring.” Jobs may bring people who will need housing.

Police Chief Shannon Thompson said the dispensaries will be located in more populated areas. It was noted the city will not receive sales tax from the marijuana operation in town. Davis said the city will sell water and sewer services though.

Clerk James said the representative asked about putting in a concrete pad. Davis said as long as he doesn’t send the city the bill for it, it’s okay. She said everything with the marijuana operation in the city is contingent upon Hippos getting a license from the state. She said, “We will know in a matter of weeks,” and Clerk James said they should know by the January meeting.

• In the financial statement, fund cash balances were reported: General Fund $10,263.28, Water Fund $29,321.61, Street Fund $28,388.14, and Sewer Fund $15,809.88.

Year-to-date revenues and expenditures were reported: General Fund revenues $104,994.99 (32 percent of budget) and expenses $115,939.02 (36 percent); Water Fund revenues $55,510.70 (33 percent) and expenses $49,395.41 (34 percent); Street Fund revenues $30,070.88 (30 percent) and expenses $15,970.86 (23 percent); and Sewer Fund revenues $28,317.39 (36 percent) and expenses $17,772.23 (24 percent).

Clerk James said the biggest expenses during the month was paying for the audit at a fee of $4,950. It was questioned if the city is required to have an audit each year. James said he thinks it has to do with the grants the city receives. Davis said she thinks its money well spent and is a layer of protection for the city and council members.

• Westart said while paving Highway 63 in Vienna there was leftover asphalt on the paver and there are some bumps in the pavement. He thinks time and traffic on Highway 63 will take care of it.

• The city will follow the state and city hall will be closed the day after Thanksgiving and employees have the day off.