County Council - Regular Meeting

Braxton is in your proposal. accident.

So I think they just You ready?

Recording in progress. Welcome everyone. Thank you for coming out. It is April the 7th, 2026. We are located at the county building on the third floor in the council chambers. Um it is 6P 601. Uh we will start with the pledge of allegiance that will be led by Britney Lopez, our assistant manager. I pledge algiance to the flag of the United States of America and to the republic for which it stands. One nation under God, indivisible with liberty and justice for all. As far as roll call, we have our county attorney here, Scott Rodhead, with our county council, Council Hoffman, Councilman Thomas, Councilman Stroberg, Councilman Hamner, Councilman Wardle. We have um our assistant county manager, Breny Lopez, our county manager, is excused for tonight, and Nikki from the clerk's office taking notes. And thank you each of you out in the audience for spending your evening with us. I'll bring us down to public comment. Is there anybody in the audience by raise of hand that would like to make a comment? Seeing none, we'll go down to recognitions economic development annual report. Ryan England, you're up first. Is that in this packet that you're going to be discussing?

Oh, awesome. Okay. Yeah. I'm sorry. Would you make sure that that light's green? Push it and then Yeah. Just state who you are and where you're from, please. I'm Ryan England. I'm from uh Finland. Right now from uh long as you're not from Iceland, Mil Creek. And I work as the what is it? Economic development. I work for Britney. Whatever she wants me to do. Okay. You work for that.

But you work for them too. So all right. I have a a brief presentation to make. Uh you have the first point talk about next slide would be publications where this is what we do every year. uh we produce uh two kinds of economic snapshots which are basically for site locators who are interested in the county and we provided information to them that uh they can have on either a two-page or four-page version. You've got one of each in your packet there. The second thing is an economic report. You have that both electronically in the packet you receive today as well as a nice paper version. I'll come back to that later. And we have a business resources guide which we and the uh uh it's called a CEO board which is basically a board responsible for managing economic development and providing information to you all. And uh we pro they we organized a business resources guide that we update every year that is several pages for a local business to be able to look at and find pretty much everything they need. uh with the exception of Jess Clifford who works for Tua Techch who's a wonderful resource. He provides a lot of other information for local business where they can find things at the local, county and state and national levels. Next slide. This is just a a quick discussion. Yeah, that one.

Okay. Quick discussion just about some of the things we find you might find in the economic report. First of all, for the last 25 years or so, the county has been growing not completely steadily but rapidly and he went about 3% in this gross domestic product and that's in real terms. Uh faster than that has been the growth in the number of establishments about 4 and a.5% every single year and the number of business applications are also growing about four and a half%. That's the good news. The difficult part about that though and I'll turn to the other side. probably can't see all that, but uh there's a Argon National Labs and EDA put out a national uh study of every single county in the country and they rank on about 50 different elements, how each c country, sorry, county stacks up against all the rest. So right now if you look at every single one of the counties in the United States, Tilla County is at the 99th percentile in terms of number of businesses able to enter and get in get in get started. 97 percentile in terms of in income distribution. Utah is the most equal state in the nation. Tilla County and Morgan County are the most equal in terms of comparing the top 20% median income versus the bottom 20%. Tilla County is one of the two most equal states in the nation in the country as well as certainly in the state which is good to look at. We also have a number of industries that the ones that are located here have typically have competitive advantage over others. So there's a a strong sense of the industries that are they're well established here are in good shape for the future. What's not so good is libraries. you're at about the 33rd percentile in terms of libraries per capita. Uh local government employees,

you're at the 35th percentile. Now, you might consider that to be really good and efficient, but also you wonder if you're kind of working folks a little too hard. Uh the other thing though is although businesses enter at at the 99th percentile, we're at about the 30th percentile in terms of businesses exiting. So we have far more exiting than we need to have. We're at the uh 94th percentile or 95th rather in terms of business financing. People can get financing to start their business. However, there are some financing that they don't don't take much advantage of. One is the small business innovation research grants and we're very low in terms of that that capability. So that's something we'll be working on with the CEO board. The pyramid you see kind of in the to the left of the middle represents the percentage of people of certain age groups. It's typical for that to be completely rounded on both sides. Tilla County, however, is kind of short in the 20s, which is evidence that we're we're exporting our children. Kids graduate from co high school, they go away to college, another job, and just don't come back for a while. So that's that's something we need to worry about, too. Everybody knows about the problems with housing. The the bars on the left represent the ratio between the county's median home price and median household income. So for the median person in this county right now we're at about fivefold which is is approaching or touching on what they might call severely unaffordable. That's right. By the way, New York and and Los Angeles are tenfold. The median person the median home price is 10 times what the median p income person makes and they just simply can't afford it. So, we're approaching that level, too. Are the median person in if you're one

of the people with median income in Tilla County, the median house is not affordable to you. You can't make it.

Is that true with all the I mean, do the rest of the state do? I mean, that's just as a county. most of the state and most of the state but not not not there are some counties that have much lower home prices but they tend to be the ones that are really strongly rural like in the souththeast part of the state but for most of us it's a problem and I'm I'm just comparing us with the ones in the front with Utah County Davis and Salt Lake County being severely in the in the red u and we're about even with um if I can read with Weber County. The other thing that's not a big surprise is that compared to all the other counties around us, we have about a 20 minute longer commute and it took me about an hour and a half to get here today because there was an accident on I80 and then quite a bit of time to get off I80 here. And as you can see, the number of people who live in the county and that's the slide that's kind of on the lower right hand side is growing constantly. the number of people working outside the county is growing fairly rapidly. So, probably the biggest thing that we've been concerned about is how to bring jobs into the county, the well-paying jobs to keep our kids here, to get people who want want to to have an opportunity to stay here. So, the conclusion from the economic report is that the economic landscape has u strengths and challenges. We foster business growth, maintain the growth and make good equity, but we have challenges in workforce retention, housing affordability, and infrastructure development. Didn't mention on the previous slide, but electricity. We're hearing from several of the people that have come here recently with new business. They have a hard time growing. They just don't have enough electricity. So recommendations would be to enhance local job opportunities to address the housing affordability to improve the

infrastructure and that includes water as and roads which you're all aware of retaining talent by creating more jobs that are well-paying and also invest continually invest in workforce development. You have a wonderful resource to tech a real gem but we need more they need more help. We don't have in fact one of the things we're lowest at is not notfor-profit organizations who help build businesses just don't exist here the extent they do elsewhere. So that's something else that we might want to take a look in the future. The final piece is kind of what our projects are working on. So we've talked about on the left hand side up there the various reports we do. We also uh this is better city responsible for helping out with EDC Utah and projects from the governor's office of econom opportunity. I've listed the ones there that for in 20 2025 and 26. We have the most recent one which is we're going to call project tron and that's that the state is asking us to put together some corridors of in within counties or otherwise of businesses that have a really hard time getting enough electricity to keep expanding. And so we're about to start a project looking at that that's due about I think the 20th of of April. Okay. We also tend to, as I mentioned, support local businesses. And we're also working, by the way, with the uh office of tourism and the tourism department here, which we finally have a destination market organization in the county and in the county chamber to help with that. And there are two kind of ideas that Chris is working on. One is thinking about a marketing campaign which you've donated 250,000 to and we're taking a portion of the co-op grant that we have and applying that also is we have about $350,000 this year to start marketing the county. You remember from Roger Brook's presentation a few years ago, he said that Tilla

County is the best kept secret in the state and he als we we have a destination marketing organization which will help us to use that money and we hope to get more in the future and and uh work with more co-op grants. we've kind of moved from the $50,000 range up to the $150,000 range from the state. He also would like to think about an adventure in sports district and he talked to Jared and I think Britney about this. The county owns about uh over 100 acres south of the U I was going to say UMC. I'm not sure what we're calling it now, but you know, the racetrack and sit owns about 700 acres which we can use actually we can they will be very excited about helping us develop that for other things primarily thinking about something like a uh a resort of some kind with hotels and so forth and Chris is working on those. Is that any questions?

I have a couple but let me just turn it over to the council. Any questions for Ryan? How did you pull these numbers? H how did you come about what these numbers are? Oh, the number uh in you will find in in your when you go through the document, every single slide has a a place for where the source came from. Okay. So, they're generally from Census Bureau, from the Economic Development Administration, or from other sources nationally. I didn't make too many of them up, so Okay. or any of them up. I I didn't think you did, but I don't Jared, but that's gardener or other things.

All those sources tend to be some of them are still 2023, most of them 2024, summer have in the 2025s like the housing information's quarter three, but as of last September and so this depends on when people publish the reports. Sure. No, there's also you'll find uh you have what ask is what we call a dashboard which has a whole lot of this kind of information and far more which you can link to and then be able to read that uh find you know how how a county is doing on a lot more detail I've just talked about. Wonderful. Any other questions or comments? C Hoffman,

I've got a comment. It just seems like a nuclear life cycle campus could h help fix a lot of our problems that we have out here. Higher paying jobs and he was not paid for that. I know. No, we've been pushing hard for the nuclear fees and that that's, you know, governor gave us a great boost. Good professional jobs. If we end up getting that, it'll be great not just for our county but for the state. Yep. And for electricity, too. Correct. Anything else?

No. I think as we go through this, we may have some other questions that we'll pose to you. Thank you, Ryan. That'll bring us down to Rocky Mountain Power Grant presentation. Nick, will you make sure that light on there and just state your name and where you're from, Nick? Hi, I'm Nick Jenkins. I'm here with Rocky Mountain Power and we're really excited about supporting the Twilla um North Twilla Fire District. Um we look at Their mission is to serve unwaveringly serve with unwavering dedication and selflessness safeguarding lives and property. They strive to foster a strong sense of community and actively engaging and educating the district on fire presention fire prevention safety measures and emergency preparedness. Through their actions, they aim to they aim to inspire unity, resilience, shared commitment to community and the well well-being of the public. Um I think Everybody on the council knows what a huge fan of Twan I am and how lucky we are to have amazing people stand up to take care of their neighbors and it's an honor to be here tonight to show our appreciation on behalf of Rocky Mountain Power Foundation to the North Will Fire District. Um we joke a lot about the the Gilmore checks. You know, I feel like I need the Ed McMahon and some balloons to go with this, but we'd like to go ahead and present this to the North Fire. Thank you.

You That's it. That's it. We're unless if you let us take a picture with council in the fire, that would be great, too. If you let us be happy to come on out. So electrifying to see the

fine Yeah, that's right. That's the fun lot of the fun stuff.

And guys, that will bring us back to uh number six. That's our minutes on March 24th, 2026. Uh, is there any corrections or additions to the minutes? If not, chair to entertain a motion. So move here. A motion Councilman Hoffman for approval of the 2024 2026 um minutes. Is there a second? Second. Hear a second from Councilman Wardle. All those in favor say I. I.

I. All those may oppose say nay. That is adopted. That'll bring us down to contracts. Um Jed, you'll come up with the PMRE road chip ceiling. Good evening, council. Um tonight we I'm asking for approval to issue a contract to Peak Asphalt for PMRE. This is the chip oil that uh we use for all of our chips projects. Um the contract price that or their bid that they gave us is actually about 10% less than what we anticipated it was going to be. We use that uh anticipation based off of last year's prices. We were lucky enough that uh Peak had got all of the oil and everything secured before everything jumped up in price. So, what we budgeted is within what we're going to need to purchase this year and it worked out perfectly.

Wonderful. Any questions for Jed? Comment from council chair to entertain a motion. Hearing a motion from Councilman Thomas. Is there a second? Second. Hear a second from Councilman Sternberg. All those in favor say I. I. All those may oppose say nay. that is adopted. Jed, I have two things for you. One is got a phone call from a resident out at um Stansbury Island and he complimented roads department for every time he'd call they had a great response time to go out there and grade the roads.

Perfect. And the second thing is with the state and with I80 that we use to salt that in the wintertime. Do they participate in I don't know oiling the the roads out there or No, we we take care of all of Stanbury Island road basically. And it it's kind of tricky because with the lake on both sides, we've got to do it in a way that doesn't uh ruin the environment for the salt and you know salt and stuff like that. But uh we try to get out there as often as possible. Obviously this uh winter being

slower on the snow side there there was less salt movement on it. So that was real friendly to the department. But uh but yeah, we we take care of that. Okay, sounds good. Thank you, sir. Thank you. Appreciate you guys support. I'll bring us down to uh Twilla County Jail re-roofing. Important to have a good roof. Yes, please. Thank you.

Yes, he would like a roof replaced out there. So, um, what this is, excuse me, is a contract with Seamless Commercial Roofing to replace the remainder of the roof out on the jail. Um, last fall we started on the administration area portion of it. Uh, this is for the roofing over the men's and women's housing units. So, once this is complete, the roof at the gel will be brand new and 20-year warranty. So, It should be good for a while. Um, seamless commercial roofing was a low bid out of three that we received. So, we've got a contract with them that's here tonight.

Any questions or comments from the council? Um, that's a flat roof. So, is that a membrane that they're putting on there? It's a membrane replacement of that. How long are the membranes are good for? This comes with 20-year warranty. 20-year warranty. Wonderful. Good. Any other questions or comments? If not, chair to entertain a motion. Motion to approve the contract. Here a motion from Councilman Stroberg. Is there a second? Second. Hear a second from Councilman Wardle. All those in favor say I. I. All those may oppose say nay. It is adopted. Thank you. Thank you. Appreciate Jason. Okay, Sheriff, you'll get your roof. So,

thank you. Uh we'll bring up line item transfers. Thank you, Allison. All right, council. Um we just have a couple of line item transfers for you. The first, uh two, these two are from the manager's office. The first one is for uh the landscaping project. You've probably seen that we have some dirt moving out front right now. We're going to be moving 45,000 from the gel demo to the landscaping project. The next one that we have is uh just creating a line in the COG fund. Um this line will be for projects that benefit all the entities within COG. Um this is for we're moving the funds for the road study that the roads department's doing for all of the uh entities within COG.

Okay. Any questions on those ones? Any questions or comments? Okay. Chair to entertain a motion. A motion Councilman Thomas. Is there a second? Second. Second with Councilman Strungberg. All those in favor say I. I. All those may oppose say nay. That is adopted. Next one. I need a public hearing. Sorry, I saw the public hearing. I thought, wait a minute, I better please continue.

All right, council. We have a few, uh, budget adjustments from the sheriff's office. And so, um, I'll just kind of go over these quickly. Um, the first one, we'll be moving 61,000 for an incident that happened at the jail. Um, we're very early in the year. It was an extensive claim. And so we just need to make sure that we have enough money for the rest of the year. Uh the next one that we have uh will be for the part-time custodian position that uh the sheriff presented on a few meetings ago uh with the um I just forgot the name of the place. What's the

new new reflections? Um the next one that we have um is for uh we had a deputy that was in a vehicle collision. Uh we have the insurance payment uh check for that. This is just authorization to spend those insurance funds to buy a new vehicle to replace the one that was damaged. Um, and then the final one that we have is for uh adjustment for the we you've authorized the purchase of vehicles. Now we need to equip those vehicles with equipment and the equipment is like everything has gone up in price. So, any questions on any of those? Any questions or comments? No. I spoke with the sheriff today about them. I'm good with them. So, I'll make a motion to approve them. Um, we we have to have a public hearing first. So, you

can make a motion to open the public hearing. Okay. Hearing a motion from Councilman Hoffman to open up public hearing. Is there a second? Second from Councilman Thomas. All those in favor of opening up public hearing on resolution 2026-10 say I. I. All those that may oppose say nay. Public hearing is now open. Is there anybody in the audience by raise of hand that'd like to comment on resolution 2026-10 a mending and increasing the 2026 Tula County budget? Seeing none, chair to entertain a motion to close public hearing.

So move here. A motion from Councilman Stroberg. Is there a second? Second. Hearing a second from Councilman Hoffman. All those in favor of closing public hearing on resolution 2026-10 say I. I. All those may oppose say nay. The public hearing is now close. Chair entertain a motion on resolution 2026-10. So moved again. Hearing a motion Councilman Hoffman for approval of the resolution 2026-10. Is there a second? Second. Hear a second from Councilman Strumberg. All those in favor say I. I. I.

All those may oppose say nay. That sounds unanimous and adopted. Thank you for patience on that. That brings us down to and Mr. Chairman if I for a moment. Uh I get to serve on that new on the reflection committee. I can't remember what the board. Anyhow, we have some guests here that have come from uh Valley Behavioral Health and Brian maybe. Brian's the chair of of our committee out there. Maybe you'd like to introduce him if I'm sorry. He he said you were gonna sing a song. Go ahead, Brian. Yeah. Zack oversees.

Hey, why don't you have him come up to that the to the Zach? So, he's he chairs our board and we meet every month and we kind of discuss funding for the board and what we're going to do for um the community over there. If you want to get more details on what this position tells, Yeah. So, um, a big part of our program is, uh, transitional employment positions, which basically gives our members the opportunity to get back into, um, the workforce. Um, and we're very grateful for the sheriff's department to give us this opportunity. We do have some um other teams out in the community, but I think this is a great opportunity and will be beneficial for doing house and especially our members.

Do you know what the success rate is on programs like this just by chance? Um not statistically. I mean it is like the house international one of the models is works for people with history. Can I add to yours is I know that they have people come in from out of state periodically and we'll take a tour of what's being done at Reflection House and how effective it's been working and talk with the people that are being served and those that are serving and working in that and that's been very positive from what I understand. And you yourself don't you have somebody over at your office?

We do. We do. We have Susan that comes in and uh sweetheart. She always brings flowers and other things for the office each week. So, it's been a great pleasure to have her there. Yeah, we're excited to start it. It's a first in the county, so I think it'll work out well. So, Zack and I sure have been working on it. So, thank you. Thank you. Thank you. I just one I got one more. I'm sorry. The reason I really like going to these monthly meetings you all have that you I get invited to is the staff and the the folks that work there prepare the lunchon and it's always a very good and very tasty lunchon. So thanks to to the staff and people and I'll be there every time for lunch. So he's just going for the food. It sounds

just show up for the food. So thank you. Thank you. Okay, that will bring us down to uh item 10, action item, approval of proposed 2026 tax sale parcels. Allison.

All right, council. Um we are coming to you a little bit earlier uh than we normally come to you. Just uh we're our timing is going to be a little bit off on based on your schedule and when the tax sale is going to be held. I do want to acknowledge that we're we're about a month earlier than we normally come to you. Um I come to you uh each year with the with the properties that are on the tax sale list kind of because we're all in this together. So I I there's nothing in the code that requires me to come to you and have you approve any of the tax sale parcels. Um but but this is a really big deal. Um it's a big deal when we sell people's property. um over taxes. And so just like we collaborate with the tax role group, I just want to make sure that you guys are aware of what parcels are on the tax sale list. Um it also gives me another opportunity to have public notice about what uh uh properties are on the tax sale list. And so that's why I like to come before you every year, show you what we're doing down in the auditor's office with the tax sale, kind of talk through the process with the public, with you. um just kind of go over everything. So, with that being said,

with with and and just um if you don't mind stating it's not if they missed one year, it's it's habitual. Yep. We'll get we'll get to all that. So, you'll

Yep. So, this year's tax sale will be on May 7th. Um it will be all online from 10:00 in the morning until noon um at publics surplus.com. We have used public surplus for the last six or so years. They do a great job. They do um the tax sales for several entities throughout the state. Um this year we are doing a $500 bid deposit via wire transfer. And you may say why why is that the case? Um we have had quite a few you may recall um quite a few people who have defaulted. So they'll make they'll go in, they'll make the bids and then they'll get nervous about what they did and they'll default. And so we're in working with public surplus, they they have told us in their experience that when they require the $500 bid and they require it by f wire transfer, they haven't had anybody default on their bids. And so we're going to try that this year. Um, anybody that comes and the 48 hour requirement is just because it may take that long for the wire to process. So that's that's with that. So to your point, chairman, um we don't sell parcels the first year that they're delinquent. It's actually the fifth year that they're delinquent. And during the years one through four, they're getting noticed every one of those years that they're delinquent. Um and so this is this shouldn't be a surprise to them that there's a delinquency on the property. Um the treasur's office does a great job of making sure that um they are working with them. Um there's a lot of things that or a lot of we try to help everybody as much as possible through abatement programs, anything that we can do to help our um our citizens. Um the tax sale also has very strict requirements as far as noticing and things like that. So we're required to notice give two notices by mail. So one has to be mailed first class and one has to be mailed by certified letter. Um we're also required to post it in the newspaper and the sale has to be held in

May or June. um any excess proceeds. So, you know, this is a bidding process. So, we start the bid at the taxes that are owed. Uh if the bid goes above and beyond what's owed on the parcel, any excess proceeds go back to the um property owner. So, there is no incentive for us to sell the property for more than what we're owed. Um we just give those proceeds right back to the property owner. If we have a property that's uh doesn't sell, which we've had several happen several times, those unsold parcels are struck to the county, that's the technical term, struck to the county, which means

which means we're then allowed to we we become the county becomes the owners of those parcels and we're then allowed to sell those properties or keep them or do anything that we want with them. Um we can either sell them at the market value depending on what the assess or depending on what the assessed value is at the assessed value. Um, tax leans have a first priority lean. Um, so if these p properties have a mortgage on them or something like that, those tax leans take priority over any mortgages that are on the property. So, we're actually required to notice any mortgage companies or anything like that that are on there, too. Um, and this is also why you may have like an escrow account or something like that on your property because your mortgage company doesn't want to be wiped out by your property taxes. And then frequently during this process, we get calls from um interested parties that are that say, you know, can you is this a good piece of property to buy or can I build on this or um any anything? Um these parcels are sold as is. We don't make any guarantees. We don't guarantee that it has access. We don't guarantee that it has clear title. We don't guarantee that there is or isn't a loan on there. We don't guarantee anything. It's very important if you're going to participate in the tax sale process that you do your own research and that you make sure that this is a property that you're comfortable with purchasing. Okay. So, for 2026, we started out that we get the the way that this works is the treasurer passes us a list of delinquent parcels. Um, when they passed it over to us, there was six there were 69 total parcels on this list. 29 homes, four commercial properties, 36 lots. Um, as of today, we're down to 46 parcels. And the way that that happens is it can be um there's a couple things I love about the tax sale process. Um, people come in and pay. That's the easiest way to get off the list. But it's also an opportunity for us as the tax group to find um issues that that may have come up. things like um uh inactive parcels

that have like ghost parcels that have showed up or um uh common areas that have maybe been assessed incorrectly. So, it gives us an opportunity to check our work too and make sure that we've done a good job. Um right now the the dollar amount of the uh tax sale is at 8.8 million or started at 8.8. Right now we're at 8.6. Um we talked about noticing already and then this is a huge collaborative effort. So the recorder's office, the treasur's office, um auditor, assessor, um the auction site, the state tax commission, title companies, even AI in all this. So what options do people have to redeem their property? So they can satisfy the delinquency, which means they can pay the delinquent property taxes. the county council has the ability to um approve a deferral agreement which the um treasur's office will usually prepare those deferral agreements and then they bring them before you.

So my question is on that we've got a court order that was on a purchase agreement. We'll get to that. We'll get to that. Okay. Give me just one second and we'll get to it. Okay. I promise. I promise we will. I I just have a question. Go ahead. So, as we're approving this tonight, is it sufficient for the county council to approve that agreement? And if not, what is the legal precedence that says why? So, there are no specific terms for what they're paying the county in that it there are section 22.3D and F. Section 43 says that there's nothing in there that makes the the lean go away.

It does. Have you read the language? I have. So if we disagree and we amend this through a legislative action, does it come off the list as we are taking tonight? Can I finish my presentation? I'd like an answer of the question, please. Will you read section 43 out loud to the public? I don't have that. I can tell you what 23 says. Okay, I'll read it out loud to the public then. Well, Allison, we're not going to debate this. I'm asking if we take a legislative action tonight, does it take it off the list? No. And what is the legal precedent that says so? Tell me what the legal precedent is that says it does. Allison, that's not I'm asking you though. I'm asking you.

Okay. Your objections noted. We appreciate it. So, okay. Can I can I continue with the presentation? Yeah.

Okay. Um, US magnesium is um a large portion of what is on the tax sale list. Um, the current past due balance right now is $8.1 million. Um, in 2025, you'll recall that you guys did approve a deferral agreement for US MAG. So, US Mag came in um this was their fifth year last year when they came in. They met with us. We agreed that they were going to make $50,000 a month payments to the county. and up until January they made those payments. Um they filed for bankruptcy. Um and so all payments to the county had to stop once that bankruptcy was filed. Um we in February of 2026 there was an order that was filed uh with the bankruptcy court. Um and the state of Utah took title to the property in um February of 2026. Um so why does this matter? Why why does this US mag one matter? So certified tax rates assume um 100% collection when we're doing our budgets. So if there's a shortfall or if taxes aren't paid um it it impacts the distribution which can impact cash flows for our local entities. Um, a delinquency can require an artificial tax increase because especially when you have a large taxpayer like this, it makes it so that you have to maybe make up that money. Um, this taxable parcel was sold to a taxexempt entity. So, not only did we lose um are we missing this these exempt taxes right now, um the US MAD parcel was valued at $96 million and it brings in about a mill it was bringing in when they were paying about a million dollars a year in taxes. So, right now, the way that this is impacting our entities, um we've got all the entities that are in that tax area

every 10 that US Mag is in. And these rates are based on last year's rates. So you can see the percentage of the rate that each of these impacted entities are in or that they are. So like for example, um the county general rate is 8.7% of the total rate that's collected out there. And our portion of that that delinquency, just the county general portion, is $75,000. That is 8.2% of our budget. In order for us to raise that much money, we would have to do a tax increase of 8.28%. We would I I plug the numbers in. So to our citizens, that would be a $24 tax increase and to businesses a $44 tax increase. So for the county's total portion of this delinquency right now, it's $1.6 6 million for the school district. It's it's $4.6 million. And so this has a really big impact on what we're looking at right now. Um some of our other entities in here like so for example, North Will Fire, they're at their max tax rate. So they can't increase their property taxes anymore. And um you can see that that for them in order to recoup this money, it would require a 27% tax increase. But they can't. Um, right before I came up here, we got a notice from, I mean, literally at 50:05 before I came up here, um, we got notice. Uh, US Mag was in the the process of an appeal last year. And the state has worked with them and they have re reduced the value of their property for 2025 from that $96 million

to $44 million. And it's going to have an impact of about $594,000, excuse me, $594,000 across these entities. So, how can US MAG or this it's not US Mag anymore. How can the state redeem this property? So they can either pay the council can do a deferral um the council can obey these taxes or we can sell it at tax sale and those those are your options and so I just um wanted to go through that. Um so your role in the tax sale allowing me to come up here and give this presentation showing you which parcels are for sale. um approving or denying any abatements or deferrals. And then just like my office, we don't participate in a tax sale. So, you're not going to buy any any of the properties that are for sale. Um for the public's benefit, um all its information is on our on the auditor's website. There's a May tax sale page that you can see. Um and then that's just more of the information. Um but yeah, that's that's my presentation for the evening. Uh, so I go back to my question. The bankruptcy court has not finished their work yet.

We have an agreement and an order from the bankruptcy court. Therefore, that would seem like property, right? That particular property that the legislature in the state of Utah will have to appropriate the money to make everyone whole. That will take at least a legislative session. So why wouldn't we by acting tonight defer that? I'm not saying you can't defer it. I'm saying you have the state of Utah. So that that agreement is not between you and the state. But we're party to it because we're part of the lawsuit group. We're part of the bankruptcy group.

Let me I'll let me just read Let me just go ahead and read this since Well, I I'm going back.

I'll read it. It's okay. Tulilla County tax claim. Nothing in this order affects, releases, or extinguishes the leans for real property taxes owed by the debtor with respect to the purchased assets. the petition the post-p county taxes and the perpetuation or pre-etition county taxes at defined as defined in the purchase agreement and also including taxes for years 2026 and future years and any and all such leans shall remain after entry of this order.

Yes. So the taxes but section 23 resolves 2.3 resolves that language when it says on the terms and conditions contained in this agreement purchasers shall after the closing which has not occurred. It has occurred assume and be liable and responsible for paying and satisfying solely and only the following liabilities. Councilman Ward, May I finish, please? No, because I am a licensed escro officer. Allison, I'm going to finish. I allowed you to I'm asking for the same respect and they did not pay their taxes. Alison, I'm going to finish this. Thank you for your comment.

Again, solely and only following the liabilities as set forth below in section 2.3 be excluded. D. All liabilities for taxes imposed on with respect to the purchase assets that are attributable to any portion thereof beginning after closing. All liabilities for post-p county taxes and all liabilities for pre pre-etition county taxes. When does closing happen in your word in your idea in your words? Could you say that again?

When does closing happen in your view? Well, we have to finish with the court and the legislature. So, it's a process like we would do with anyone else. So, what I'm asking is tonight, I'm not debating the merits with you. If we were to approve this list minus that, would that be a sufficient deferral? No. Because if you were buying your house right now, if you were buying your house right now, when would closing have occurred? when the court finishes their work. No, that has Mr. Hton, you're not recognized. Please sit down. Does the chairman you that recognizes me? Mr. That has been Mr. Chairman, point of order. Office.

Mr. Chairman, point of order. Oh, hold it. Hold it. Point of order. Mr. Chairman, he is out of order to the division of forestry. It is already Jerry. Thank you. Just because you guys don't understand this, how why are you experts in this? What could you be the expert? I'm asking would a court's finding elicit the deferral and if not, what legally says that it says all stays have been lifted in the bankruptcy order. All stays have been lifted.

So now the property is moved into their name. So, if the state is moving in the legislative session upcoming to pay this, why wouldn't that be a deferral? Go ahead and sign a deferral agreement with him. That's all I'm asking. If we voted tonight, this is a legislative action you're asking us to approve. If we exclude it from the list, that doesn't constitute a deferral in your mind. Once you have a signed deferral, just like you did with US MAG last year, I'll go ahead and remove it from the list. until you have a signed deferral, I will not remove it from the list. So, the second question that I have, last year when you argued veheently that we don't sell this property, I did not argue that

to assume the millions and hundreds of millions of dollars of liability in cleanup. Do we assume that same liability today? And if so, why has your position changed? I did not argue that we not sell it. You argued that we not sell it. I have said multiple times that I am not afraid to sell it. You also argued, Allison, that there would be the cleanup of the liability. I have never argued that because I do not believe that. Absolutely not true. Thank you. I'm happy to. No, because I do not believe that that's a problem. Say that, Alice. I did not say that because that's never been my position ever. Let's start. You You recommended that we not take ownership of this because

I have never said that. That has never been my go back to your Can you go back to your um chart that shows how much um Yeah. Have you ran the numbers to see if we are rei if we are liable for a $300 million cleanup what that would do to people's property taxes about an 8% increase. When you take title to a property and you go to sell a property you're not required to mitigate. You're required to disclose. you're not required to m mitigate. And clearly the state wasn't worried about that liability.

And on top of that, we would be required. We could sell it for whatever we want. We could sell it for $8 million. We could sell it for $44 million. We could sell it for whatever we want. You don't I'm I'm I'm shocked that I I'm I'm shocked. I'm shocked that I'm having to beg to get tax dollars. Oh, we're not saying that. We think they need to be paid. I I I have had to fight for the last two months to get tax dollars for this. I I think that's a mischaracterization

because we want the tax dollars and we're fighting for them. That's why we've paid for bankruptcies attorneys to to fight for this. So, that that's a big mischaracterization because if we end up owing two or $300 million because we for cleanup, what is that going to do to people's property? This is the exact conversation you guys had last year and the words that you're trying to put in my mouth now saying the 200,000 or the 300,000 or $3 million or whatever cleanup. I have never said the words that it needed to be cleaned up. I have said you may disclose did that's not what I meant. You said we may be liable. That's what you said. I have never said that. Well, we'll agree to disagree. Okay.

Okay. So, can you run the numbers then to see what what what the prop why not? I don't have a concern for it and that I've given you your options. But you're you're also making the assumption that this is going to sell. Absolutely. And what if it does not sell? Then we it gets struck to the county like I explained and then we could be potentially liable for and then you put it up for sale cleanup and disclose what is out there just like you do when you sell a property a house as is. How much would an environmental study be on that? You don't have to do an environmental study. We do if we have to disclose. You disclose what it is. A type one or type two. I am a real estate professional. I understand Allison. I've been involved with hundreds of millions of dollars of these purchases.

Same. So, we may disagree and their two truths can be true and they can be opposite and we can hold those together, but our job is to act as fiduciaries of What do you think my job is, Alison? I'm finishing. Please don't interrupt me. We have a position. You have a position. We're trying to vet the position. So when you say you won't run the numbers, that's concerning. Why can't you run the numbers? Would you like us to hire a financial person for the county? If you need to hire a financial person to run the numbers on what the cleanup cost would be, is that what you're suggesting? Go ahead.

Okay. Thank you. I don't need anything else tonight. Let me know how much it costs so I can add that too. Oh, you can go figure it out. Okay. Okay. So, on those properties you want um a vote on. Again, I just need your acknowledgement. Okay. I I actually don't even need a vote. So, this this is again it's just for acknowledgement that we're all in this together. So if if you'd feel more comfortable not voting then that's fine too.

Mr. Chairman, I make a motion that we approve the property proposed 2026 tax sale parcels minus parcel number 9800 or amend it to take out 98000000424 based upon a court order that would be equal to a deferral that the treasurer's office said satisfied the requirements today. The other thing too in regards to this is the state has just owned this for several months. US two months.

US Magnesium owned it for four or five years or decades prior to that and they were the ones that were delinquent. I think we need to give time for the state to work with them like we do everybody else and I don't think we've done that yet as well and generally we try to do that. So we haven't given the state the ample time that we give every other motion on the table by Councilman Ward. Is there a second? Second. I can second it. I'll second it. Okay. Second from Councilman Hoffman. Uh to approve the No, we have to approve the amended list first.

Approve the amended list. Taking off the US Magnesium one. It's easier for me to say that instead of the numbers. Um all those in favor say I. I. I. All those may oppose say nay.

Mr. Mr. Chairman, before we move to the next vote, I think it's critical to understand that Allison's tax increase that she showed us is concerning. The school district receiving money, North will it is concerning. We have been working with the state since the cell to move this forward so they are made whole. That is a critical part of this. The other thing that I find interesting though is we increased our fund balance by several million dollars last year. What the scenario proposed on the screen was that everything else stays flat. That simply has not been the case. Not in the 5 years we've been here. It hasn't been the case in the pre uh except going down back to 2010, 11, and 12. So although those are concerning factors, I do think it is critically important to understand last year when we went through this, we were counseledled. The moment it switches hands, we may be on the hook for the liability. That liability and the state division of forestry service said this to me last week in talking to them. Please sell it. Please own it. It's a $200 million cleanup. You guys will be on the hook for it. that deeply concerned me. So before we move to a motion.

Okay. Chair and entertain a motion. Make the motion we approve the proposed tax sale as amended. Here a motion. Councilman Stroberg. Is there a second? Second. Second. Councilman Thomas. All those in favor say I. I. I. All those may oppose say. Mr. Chairman, as part of this, I would ask that we put into the record the bankruptcy court's orders of 12626 and 2526 into the minutes.

So noted and that uh please get the full orders from our attorney's office. Now bring us down to small business development expansion grant award recommendations. Britney,

good evening, council. Um, I come to you tonight as a member of the community economic opportunity board. Um, each year we put out applications for small business um, expansion grants um, within our community. Um, this year we had $83,600 to um, give out in grants this year and it was awesome. We had a great turnout. Um, so I just want to talk a little bit about the scoring so you understand how we did this. Um, we scored each business on uh the amount of projected employees that their project or advertising would grow, their sales growth, um, their customer growth and what matching funds they they provided towards these grants. Um, so you have a list in front of you of uh businesses who have received the grant and haven't received the grant. Um, would you like me to go through the entire list? Sure.

Okay. So, Kirby Bros, they uh they would like to purchase a new trailer, uh trailer shelving, decals, advertising tools, and equipment, and a skid steer. Um we gave them the full award of $10,000. I should tell you$10,000 was the highest amount that we could award anyone. Um KCM Cable Manufacturing, um they're looking to expand their business, so they were looking for machinery, tables, shelving supplies, and production software to help with that. Uh we also allowed them $10,000.

Crystal Float Spa, they're under new ownership. So we considered this one a new application. Um so they're they're expanding and remarketing their business. So they would like new equipment, supplies, marketing, advertising, and renovations. So we also uh granted them $10,000. um Melany's Health um they are looking for um some they they kind of had a hard hit during COVID and they're trying to rebuild their business again and so they they had a really great business plan that they provided. Um so they want to increase some of their um inventory, label machines and advertising. Uh we also granted them $10,000. Um Lemony Fresh Cleaning Service um they are also under a new ownership and are expanding their business. Um, so theirs was for more cleaning kits to hire more uh for the demand that they're having. Um, so theirs was for advertising and cleaning kits. Um, so we we voted for $10,000 for them. Uh, Elgen Nuts, you guys should know, we we gave them one last year. Um, they're doing fantastic. So they're trying to expand also. So they they need electrical conversion electrical conversion for their roster u machinery advertising and marketing. Um, so also 10,000 for them. Boho Barbie Locks, uh, they're looking for marketing supplies and equipment. It's a new business, um, for hair extensions, um, and so they're looking to expand their space. They have one person. They're expanding their space and, um, looking to bring in more clients. So, we offered them $3,600. Uh, Three, Inc. LLC is a new company that does shirts and hats and those type of things. Uh looking to expand their business um for heat press and oven and shakers. So $10,000 for them. Vitality Plus Senior Wellness is for tablets, software, tracking tools, home exercise programs, training

equipment, and advertising uh for $4,000. see our uh garden consults, uh camera recording equipment, garden supplies, and advertising signage for $2,000. Trannica Systems Incorporated is lab equipment um for $3,000. And Molina's Custom Creations, um hers is for advertising and inventory and supplies for $1,000. Um you should know these are all post-p performance, so we wouldn't pay these out without the proof of the growth that they provided to us. Um, also it wasn't just one, it was the scores were sent in, they were averaged out, and then we discussed any that were maybe like close. So,

wonderful. So, we're just asking for approval to be able to send out award letters to these grant applicants and hopefully we can see some good growth in our small business development. Thank you. Yeah. And I know a lot of those businesses and their growth, so that's been kind of exciting to see. Wonderful. Any other questions to for Britney or comments? If not, chair to entertain a motion. Make the motion we approve the grants as just were presented. Hearing a motion for Councilman Storberg. Is there a second? Second. Hear a second from Councilman Thomas. All those in favor say I. I. All those may oppose say nay.

That sounds unanimous on adoption. Thank you. That bring us down to boards and committees. Um, first one. Councilman Hoffman, do you want me to make the motion for the Yeah. Do you want to talk about uh Brett?

Yes. Let me get to there. Brett Brockmeer. I do not know who he is, but he's made an application for the tourism board and tourism tax advisory board. I first learned about this application last week. Tyler Guy mentioned to me that he was had turned in an application. he is on the chairman for the um bitt and spur rodeo and so that is one of the things that does bring in tourism and is eligible to be on this board. So I'd make a recommendation that we move forward with Brett Brockmeer. Is that a motion? Councilman Hoffman. Yes.

Hearing a motion from Councilman Hoffman. Is there second for Brett to be on the TRT board? Second. Hear a second from Councilman Stroberg. All those in favor say I. I. All those may oppose say nay. He looks like he'll be a great addition. Thank you. Councilman Thomas.

Hey, I'm I'm going to nominate some folks and reappoint some to the Rush Valley Water Conservation District. Uh we'd like to reappoint Ron Staley. Uh his term would expire. It currently expires in 27th. So he'll be uh up for appointment at that time. Also, Daryl Johnson, his is reappoint him to that position. His expires in 27, but a new appointment is going to be Jeff Hartley. He has he works with the uh uh division of water resources, I believe. But anyhow, he lives out in Rush Valley and so he is going to take Kyle Russell's position on that board and Kyle will be dropping off and so uh with that so we'd have a new appointment replacing Kyle and then Daryl and Ron Staley reappointing them and also Scott Pearson. Uh he serves on that position representing Vernon and so that's my appointment and then I got one comment afterwards after we make that I'll make that motion. Making a motion for both all three.

Yes. Uh is there a second? Hearing a second. Motion Councilman Thomas. A second from Councilman Hoffman on the Rush Valley Water Conservative District for Ronald Daryl and Jeff Jeffrey. All those in favor say I. I. I. All those may oppose say nay.

And then just no. No. So anyhow, just appointment uh a point of uh we need to probably revisit this uh how this board is constituted in membership. There's a position for Ofer. Uh we've had a hard time to fill that position. I've reached out to several residents that I know there and uh they don't have an interest in the canyon water the uh the because the culinary water there is owned by the residents in Ofer. And so I would put this out there is to to something to think about and work on is to take over off of that council off of this board because it's they don't really have an interest there. So something we can work on and where's Nate? Nate maybe we can do that. I'll get with you after and say is this something we should do and then that board will be fully constituted.

Okay. Okay. That's for future. Um, yes. Wonderful. Okay, we'll come down to council updates. Councilman Hoffman, I don't have anything at this point. Councilman Thomas, pass. Councilman Strumberg, nothing tonight. And I also will pass. Councilman nope. And from manager's office, I just have one quick exciting thing to share with you guys today. Um, bear with me for a second. So today was considered uh the commissioning of the slide at the peak. And the saddest thing about it is what Did you go down it?

I did not. So the company that makes the slide has to send an employee down it. Like legitimately the pool is only 48°. So I just wanted to share it in the meeting because I think it's super exciting. That's nice and warm. So you can watch this this young man go down this slide. Super exciting. So, we're getting closer, but they're working. So, I just wanted to share that with you guys. 40 degrees. Was that the short straw? I He must be a new employee. Must be the new guy.

That would be But I just wanted to share that tonight. I thought it was exciting. We're getting closer and uh uh the fee schedule's been posted and pretty soon we'll have all the swim lessons and all of those things ready for the public to sign up. So, wonderful. Okay. Then uh chair entertain a motion to adjurnn. So move here. A motion to adjurnn from Councilman Hoffman. All those in favor say I. I. I.