Wednesday, Oct. 23, 2002

County Board gives Ag

Society waiver for loan

By KURT NESBITT

Journal Staff Writer

NEW ULM -- The Brown County Agricultural Society got needed help from commissioners Tuesday when the county board voted to allow a $50,000 loan by conceding part of an earlier agreement that prevented mortgaging the Brown County Fairgrounds.

The society and the county board inked a deal in 1999 for $60,000 to help make improvements to the fairgrounds. That deal had a provision that prohibited the society from mortgaging the fairgrounds.

A letter sent to County Administrator Chuck Enter on Oct. 16 outlined the society's current financial picture. It said this summer's county fair made a $11,700 profit; however, payments for the improvements depleted the organization's bank accounts.

Most of the debts for the improvements were paid for using cash receipts, reserves and a mortgage loan from Citizens Bank in New Ulm.

The Ag Society recently approached that bank for a second mortgage loan in order to pay the remaining outstanding debt.

A portion of the 1999 deal with the county would have prevented a second mortgage if commissioners had not approved the waiver. If secured, the second mortgage will add $50,000 to the society's debt for the plumbing in the grandstand, the fair's payroll and remaining fair vendor billings.

"The bottom line is we can't pay our bills in full unless we get this loan," Ag Society Treasurer Bob Reinhart said.

In other action, commissioners:

* Voted to keep the $12,500 dedicated to Monday Heartland Express service to Springfield in the 2003 Brown County Family Services budget.

Bob Apitz, support services coordinator for BCFS, told commissioners that the service is increasing rider fares and expects $3-5,000 in revenue.

Apitz said BCFS has no plans to buy a new bus in 2003, which represents a $10,000 reduction to the service's budget. Apitz also said he thinks higher property tax replacements will help offset the additional cost for service to the western end of Brown County.

* Voted to set the public hearing for the county's mobile home park ordinance for 10 a.m. on Nov. 19 at the Brown County Courthouse. The purpose of the meeting is to allow the public to comment on the proposed law.

* Approved unanimously a $10,130 upgrade for the county's 911 computers. Lt. Mike Mathiowetz of the Brown County Sheriff's Department characterized the upgrade as "normal maintenance."

* Approved the proposed fee for criminal background checks made by the Brown County Probation Department. The proposed fee will be a part of the county's public hearing on fees planned for December.

* Approved a drainage repair request for judicial ditch 5 in section 32 of Albin Township using FEMA funds.

Auditor-Treasurer Marlin Helget told commissioners Brown County recently received $41,167 from FEMA regarding the funding appeal made this spring. Helget reported that about 45 percent of the original requested $149,726 has been paid.