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Fairfax City Council would OK free utilities if school stays open

Staff photo by Fritz Busch Rebecca Kiecker talks at a Fairfax City Council public hearing on a proposed offering of zero charge utility rates if the GFW (Gibbon Fairfax Winthrop) School Board decides to keep the Fairfax school open this fall. The city council unanimously approved a resolution supporting the measure and one for new playground equipment Thursday night in the Fairfax Auditorium.

FAIRFAX — The Fairfax City Council unanimously approved a resolution Tuesday to offer zero-charge utilities for the GFW (Gibbon Fairfax Winthrop) Middle School in Fairfax if the GFW school board decides to keep the school open this fall.

Action came on a motion by councilor Steve Schmidt, seconded by councilor John Schaefer. Fairfax Mayor Brad Augustin said the no-charge utility offer would be good for several years, until the school district is out of debt.

The city council unanimously approved a resolution, motion by councilor Schmidt, seconded by councilor Josh Bunkers, to assist local fund-raising efforts to buy new school playground equipment for the Fairfax school, if the school district accepts the no-charge utility offer and keeps the school open.

Earlier in the meeting, Fairfax Mayor Brad Augustin said the city council was approached by a number of residents who asked if the City could do anything to assist the school district after the GFW school board passed a resolution proposing to close the Fairfax school next fall as part of its SOD (Statutory Operating Debt) plan.

Fairfax City Administrator Nicholas Johnson presented detailed information on school district expenditures and its options, according to data he said came from the school district.

Johnson said the City of Fairfax’s zero-charge utility offer has legal authority to make the offer according to Minnesota Statute 471.85, it is a sound financial decision and the public hearing was scheduled to determine if the public supports the City’s offer.

“We really have two options,” Johnson said. “We can do nothing, the school closes and the City loses utilities it would have sold to the school. Or we can offer no-charge utilities, the school stays open, and the City loses some utility revenues.”

Johnson said the Fairfax school utility bill (for gas, electricity, water, sewer, storm sewer and garbage) in 2018 was $65,613.94 and $59,920.44 in 2019. He said the no-charge utility offer would not raise utility rates.

“We don’t have to adjust utility rates for this because all our utilities are in a strong financial position,” Johnson said.

During the public hearing, Frandsen Bank & Trust Regional Vice President Harlan Helgren said the City of Fairfax has a great financial plan.

He urged people going to the GFW school board public hearing on the Fairfax school closure proposal set for 6:30 p.m. Monday, Feb. 3 in the Gibbon school gym to “present facts, not emotions.”

Rebecca Kiecker voiced concern about mold that was reported in the Winthrop school.

Brad Augustin said school administration told him it would be a very tight fit if the Gibbon school was converted to k-5 but that the Fairfax school could better accommodate a K-6 school.

Fritz Busch can be emailed at fbusch@nujournal.com.

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