Supervisors Approve Further Step In RUSS Withdrawl
Mahaska County Attorney Charles Stream giving his recommendation to the Mahaska County Board of Supervisors in regards to his recommendation as a arbitrator.
Oskaloosa, Iowa – The Mahaska County Supervisors took the step of hiring an arbitrator. This step is a necessary step for the county to remove itself from the 28E agreement it has with 9 other counties in southeast Iowa. Their website says they have 10 current members, but Wapello County has officially withdrawn as well. RUSS (Rural Utilities Service Systems) is a partnership between the counties, with projects completed in 10 communities throughout those counties, with an additional 4 in progress.
According to the RUSS Website: “RUSS was created because very small incorporated cities and unincorporated clusters of rural homes were experiencing difficulties in securing certain essential services. This is due to the inability of small communities to plan, finance, own, operate and maintain the desired improvements. The creation of this organization was through the encouragement of financing entities, regulatory agencies and regional service providers.”
Mahaska County Attorney Charles Stream made his recommendation to the board. With a 2-0 vote by the board (Supervisor Mark Doland was absent).
After the vote, Mahaska County Supervisor Mike Vander Molen said that “in the 28E agreement, if there is a dispute, that dispute is arbitrated.” The RUSS board initiated the arbitration because of the resolution earlier for the county to remove itself from the agreement. The arbitration will be conducted to set the terms of the withdrawal. “So that process had begun,” when the board served notice to the supervisors.
The special meeting was called to order for Mahaska County to appoint its arbitrator within the 10 day time frame outlined in the notice.
The arbitrators for both sides will work to find an amicable withdrawal, “terms that both parties can agree with,” says Vander Molen. “It’s not binding, so if we don’t like the terms we can just withdrawal from the arbitration.”
And those past obligations are an issue for the arbitration. What financial responsibility will the county have for past debt liabilities, in the event a project would go into default. “When Mahaska County was a member, what bonds are we going to still have to back, which ones won’t we. What fees are we still going to have to pay. We’re going to have to wrangle through all those issues,” says Vander Molen. The trick will be coming up with an agreement that is agreeable for both parties.
The current board of supervisors of Mahaska County started reviewing their membership in RUSS after an increase in fees had been passed along from the RUSS board to the county. “I don’t think Mahaska County taxpayers should pay that 8 grand a year for a service we don’t get,” added Vander Molen.
