Village Packet 07.02.2025

Cassie Lang Village Clerk / Deputy Treasurer VILLAGE OF MARATHON CITY, MARATHON COUNTY, WISCONSIN AGENDA VILLAGE BOARD MEETING – HYBRID VILLAGE HALL BOARD ROOM WEDNESDAY, JULY 2, 2025 – 6:00PM PUBLIC VIRTUAL ACCESS Join Teams Meeting: https://www.microsoft.com/en-us/microsoft-teams/join-a-meeting Meeting ID: 229 434 982 56 Passcode: 832Rn6k4 Notice Posted at the Municipal Center Notice Received by Record-Review DATE: Monday, June 30, 2025 DATE: Monday, June 30, 2025 TIME: 12:30 pm TIME: 12:30 pm 1. CALL TO ORDER ROLL CALL: K. HANDRICK, M. AHRENS, K. SORENSON, K. PAUL, B. PARLIER, J. LAWRENCE, A. CABRERA 2. PLEDGE OF ALLEGIANCE 3. RECOGNITION OF VISITORS a. Virtual Meeting Guidelines i. This meeting will be recorded and available upon request b. Public Participation at Government Meetings 4. APPROVAL OF MINUTES OF PREVIOUS MEETINGS a. Discuss and Possible Action on Approval of Minutes for June 19, 2025 Special Village Board Meeting 5. APPROVAL OF LICENSE APPLICATIONS a. Discuss and Approval of Temporary Class B Retailer License (Picnic License) – Alois Dreikosen Post 469 – Fundays 2025 b. Discuss and Approval of Temporary Operator Licenses for Alois Dreikosen Post 469 Fundays i. Anton Wiesman ii. Duane Handrick iii. Jeffrey Smith iv. William Buttke c. Discuss and Approval of Operator License for Charlotte Gruetzmacher – R-Store d. Discuss and Approval of Renewal Mobile Home License – Big Wave, LLC 6. ADMINISTRATORS REPORT Cassie Lang Village Clerk / Deputy Treasurer 7. UNFINISHED BUSINESS 8. NEW BUSINESS a. Presentation and Approval of 2024 Audit with Kerber Rose 9. REVIEW AND APPROVAL OF BILLS 10. RESOLUTIONS AND ORDINANCES a. Discuss and Possible Approval of Resolution 2025-07-02A – Marathon City 2025-2029 Capital Improvement Plan b. Discuss and Possible Approval of Resolution 2025-07-02B – Providing for the Sale of Approximately $5,485,000 General Obligation Promissory Notes, Series 2025A 11. FUTURE MEETINGS & SCHEDULED MEETINGS: a. Regular Village Board Meeting – Wednesday, August 6, 2025 – 6:00 pm b. Special Board Meeting – As Needed 12. ADJOURNMENT Cassie Lang Village Clerk / Deputy Treasurer VILLAGE OF MARATHON CITY, MARATHON COUNTY, WISCONSIN SPECIAL VILLAGE BOARD MEETING – HYBRID VILLAGE HALL BOARD ROOM THURSDAY, JUNE 19, 2025 – 6:00PM MINUTES 1. CALL TO ORDER at 6:01 pm ROLL CALL: K. HANDRICK-Present, A. CABRERA-Absent, M. AHRENS-Present, K. SORENSON-Present, K. PAUL-Present, B. PARLIER-Present, J. LAWRENCE-Present 2. PLEDGE OF ALLEGIANCE 3. RECOGNITION OF VISITORS a. Virtual Meeting Guidelines i. This meeting will be recorded and available upon request b. Public Participation at Government Meetings Attending in Person – Peter Meidal – Ehlers Financial Advisors Attending Virtually – Kevin O’Brien – Record Review 4. APPROVAL OF MINUTES OF PREVIOUS MEETINGS a. Discuss and Possible Action on Approval of Minutes for June 4, 2025 Village Board Meeting MOTION – Approve Minutes from June 4, 2025 Village Board Meeting Motion made by Sorenson second by Parlier. Motion passed by voice vote. 5. UNFINISHED BUSINESS a. Discussion on Capital Improvement Plan Financing with Ehlers Peter Meidal from Ehlers Financial appeared in person to discuss and answer Board Member questions about the Capital Improvement Plan (CIP) project financing and potential refunding of Village debt. Meidal, along with Administrator Cherek, informed the Board that in 2026, the Village would likely be unable to make the balloon payment of $609,455 ($829,212 due for Street and Park Improvements minus $219,757 in grant money still to come in) without refinancing it. He proposed refinancing other notes to: extend maturity dates to ease revenue requirements on the water utility fund, achieve a more uniform total debt levy in 2026-2030, and maximize lower rates and extend the TID 1 balloon maturity out 2 years. Refunding will free up $120,000 a year to be used for future street projects. Total debt to be refunded is $4,147,665. Meidal noted that his presentation at the June 4th meeting included financing for a used street sweeper. The updated presentation included cost of $368,000 for a new demo model. Total CIP funding needed for new 2025 Notes with this option is $1,475,143. Meidal explained the large amount of money to be refunded and new notes needed for CIP projects puts the Village in a favorable spot to chose issuing notes in the Capital Market (bonds) as opposed to through a local bank. The Village would be able to extend the life of notes out to the use of the asset. Correspondingly, bond markets give lower interest rates than local banks can on higher amounts of issuance. Cassie Lang Village Clerk / Deputy Treasurer Cherek looked for Board approval of purchasing a new demo model sweeper. MOTION – Move Forward with a New Demo Street Sweeper in the Price Range of $370,000 Motion made by Paul second by Ahrens. Motion passed by voice vote. 6. NEW BUSINESS a. No New Business 7. ITEMS FOR FUTURE MEETINGS & SCHEDULED MEETINGS: a. Regular Village Board Meeting – Wednesday, July 2, 2025 – 6:00 pm b. Special Meetings as Needed 8. ADJOURNMENT at 7:19 pm Motion to adjourn made by Sorenson second by Paul. Motion passed by voice vote. Administrators report – July 2, 2025 1) Permits: • 2 Building Permits • 909 County Road B – Electrical-Service Panel • 670 Maratech Ave – Commercial Permit – Interior building alterations – State approved • Special Event Permit • 2025 Wine Walk / Art Walk – July 15 & August 12 • Paddler-Transient Merchant License Permit • Triple A’s Ice Cream Treats 2) 2. Fire Department • 1st Responder Calls June– in Packet • 12 total calls • Fire Calls June – in Packet • 2 total calls – Mutal Aid 3) Administration – Clerks Office The Administrator’s and Clerk’s Offices continue to be busy managing the County Materials Sports Complex and Sidewalk projects, developing the Capital Improvement Plan, and improving the information technology setup at the Fire Department. I want to note that these projects are progressing very well. For the County Materials Sports Complex, we are still hopeful of having a soft opening with local ball teams in mid-July, or once we receive approval from the landscapers. The Sidewalk Trail project is substantially complete, with the sidewalk lighting being the last remaining item to finish. The North Industrial Park project is expected to resume in July. I am working with our project engineer on an estimated completion schedule, along with a projected final cost. From there, I will ensure we have sufficient funds available within the TID to complete everything or make adjustments if necessary. 4) Public Works / Utilities The Public Works/Utilities Department has been very busy. Over the past month, they completed work on Sonnentage Road and moved topsoil from the North Industrial Park project to the County Materials Sports Complex to complete that portion of the project. They have been experiencing some breakdowns in lawn mowing equipment, as some components have simply worn out. We replaced a bearing in one of the lawnmowers and have it back up and running this week. Due to lost time from the park project and weather delays, we are currently behind on some of our 2025 scheduled road projects. 5) Administrator events/plans for June: • Continue working on the 2025 Capital Improvement Plan & Fund Balance with Ehlers. • Continue working to complete the following projects: 4 th Street Sidewalk Project, North Industrial Park, County Materials Sport Complex, along with various street projects. • Continue the N. Industrial Park project. Steven Cherek Village Administrator Monthly Report June 2025 Fire Calls-2 Calls Auto Aid- 1 Calls (Edgar) MABAS-1 Call (Riverside) EMS Calls-16 calls Village of Marathon-13 Calls Stettin-2 Calls Maine-1 Call Training/School-None enrolled. Public Relations- Pool Fills High School track and golf escorts MAES Color Run/Fun Day Upcoming Events- Taste N Glow Balloon Festival. July 11-12 Upcoming Meetings/Drills- Taste N Glow Meeting with Marathon County. Wed. 7/2 at Marathon Fire Dept. Fire Meeting and Drill. Wed. 7/9 Officer Meeting. Wed. 7/9 EMS Meeting and joint Drill with Fire. Wed. 7/16 State/County Activity- Continued training with Image Trend Elite Continuing to work with Edgar and Marathon County Dispatch to verify and update auto-aid responses for calls in the Marathon Fire District. Other- One new Firefighter hired. Annual Ladder Test completed. All passed. Annual Pump Test completed. All passed. Applied for DNR 50/50 Grant. VILLAGE OF MARATHON CITY 2025-2029 CAPITAL IMPROVEMENT PLAN July 2025 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 2 Table of Contents Acknowledgement 3 Executive Summary 4 - 9 Criteria for Evaluation and CIP Rating Score 10 - 12 2025 - 2027 two-year funding approved CIP projects 13 2025 – 2027 CIP Approved Project Descriptions 14 - 46 2028 – 2029 Priority Projects – To be Re-Evaluated in 2027 47 2028 – 2029 Priority Projects Descriptions 48 – 60 CIP Approval Resolution (Once Approved) 61 2030 - 2035+ Projects outside 2025-2029 CIP Plan 62 Attachment 1, June 19, 2025 Ehlers Presentation 2025 GO Notes 63 - 77 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 3 Marathon City is committed to supporting long-term infrastructure improvements while considering service standards and operating needs. We aim to maintain existing facilities properly without passing deferred maintenance expenses to future generations. We ensure the replacement of roadways, sidewalks, buildings, vehicles, and utilities as needed to uphold public safety and well-being, while taking into account the community’s ability to afford utility rates, fees, and taxes. Acknowledgement This document was prepared by a team of Village Staff members and the Village Board who worked diligently to provide a meaningful and useful document for the benefit of the citizens, business community, and Village of Marathon City. The CIP protects the Village’s investments in its Capital assets and sets a long-term vision for the community. The following individuals are recognized for their significant contribution in the CIP process: Board of Trustees Executive Team Utility Commission Kurt Handrick Jr. Village President Steven Cherek Village Administrator Andrew Berens Chairman Mark Ahrens Trustee Cassie Lang Village Clerk Bruce Bohr Member Alex Cabrera Trustee Ken Bloom Director of Public Works Kurt Handrick, JR Member Kevin Sorenson Trustee Tyler Geske Police Chief Michael Telford Member Jeff Lawrence Trustee Darrin Hall Fire Chief Dan Seiler Member Keith Paul Trustee Chris Trice Streets Superintendent Barb Parlier Trustee Special thanks to Connie Ruplinger, Former Trustee, for assisting with CIP Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 4 Executive Summary To: Village Board Members and Village Residents From: Steven Cherek, Village Administrator RE: 2025-2029 Capital Improvement Plan Date: 06/30/2025 Dear Village Board Members and Village Residents, Please find attached the Village of Marathon City’s 2025–2029 Capital Improvement Plan (CIP). This $7.2 million, five-year plan, $6.5 million two-year funding cycle (25-27), demonstrates our ongoing commitment to enhancing Village services and infrastructure. This CIP is a financial planning and management tool that outlines the replacement or repair of public facilities, infrastructure, and equipment over multiple years. It includes three major projects, a $924,097 North Industrial Park project from the Tax Increment District (TID) development plan, a $674,213 Cured-in-place Pipe lining project of aged clay sanitary sewer mains, and a potential three-year, $3.8 million replacement of municipal well No. 1 from the Water Utility Department. This plan is developed with input from the Village Board, Utility Commission, community members, staff, and external partners. It serves as a forecasting tool that directly guides all physical improvements and equipment investments in the community. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 5 The comprehensive CIP (Capital Improvement Plan) process is updated and carried out biennially, every odd- numbered year, beginning in January. During this time, Administration and department staff review ongoing and future proposed projects from the previous two-year CIP funding cycle. New Village project needs are assessed, along with the proposed projects for the next two years based on the previously approved CIP Plan and current Village financial abilities. Following this internal review, a new draft CIP is prepared and sent to the Village Board and the public by the Village Administrator. The Village Board reviews the draft to ensure it aligns with the Village’s strategic plan and financial policies. Ongoing projects are reassessed for inclusion, and community input significantly influences project proposals, with suggestions from both residents and Utility Commission members often incorporated into the program. After the project review and financial analysis are completed, the Village Board approves funding for the next two-year project set and adopts the CIP by resolution. Remaining projects not placed within the five- year CIP are reviewed and an estimated expected future year assigned and placed in the 5 to 10+ year part of the plan. Time Line for 2025-2029 CIP January 1, 2025: Village Administrator and Department Staff review projects based on Village needs April 2, 2025: Draft CIP sent to the Village Board April 15, 2025: Village Board takes a tour of various proposed Capital projects April 23, 2025: Village Board returns rating sheet. May 7, 2025: Village Board reviews CIP scoring June 4, 2025: Village Board tour of Village Street equipment and discussing financing plan options June 19, 2025: Village Board review financing - refunding plan July 2, 2025: Village Board approve CIP and financing plan and adopt initial resolutions July 30, 2025: Distribute Official Statement of 2025 GO Note/Bond August 6, 2025: Date of sale of Village Refinancing Plan and new 2025 GO Note/Bond Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 6 August 27, 2025: Estimated closing date Every two years starting in 2027 – Village Board approves funding for next two-year project set and approves a new updated five-year CIP by resolution. Major Categories and Financing The Village concentrates all capital projects into eight categories, covering physical structures in Buildings & Grounds, critical equipment in the Vehicle, Operations & Maintenance, and road reconstruction, maintenance and repairs in Public Works. This categorical approach on large projects helps to outline expected funding needs in a multi-year strategy. The Village usually funds major capital projects that require government borrowing in two-year cycles, with the official borrowing typically happening in odd years matching up with an updated and revised Village CIP plan. Capital Needs Per Year by Category in 2025-2029 CIP The Village uses multiple funding sources to finance the $7,205,972 CIP. A detailed breakdown of CIP revenue sources is shown in the chart below. Note: 2025 General Obligation borrowing measures along with the WI DNR Clean Water Loan are the primary funding source included for the $6,511,882 two-year funding cycle approved in this CIP. The Future 2027 GO Note shown on the chart is for future forecasting and planning, this amount could change once the next CIP plan is revised in 2027. Department FY 25 FY 26 FY 27 FY 28 FY 29 Total Building & Grounds $20,000 $20,000 Park, Rec & Forestry $650,370 $650,370 Public Works $230,406 $125,500 $349,296 $134,590 $120,000 $959,792 Tax Increment Districts (TID) $924,097 $924,097 Public Safety $65,000 $65,000 Water Utility $130,000 $3,030,000 $3,160,000 Sanitary Sewer utility $674,213 $674,213 Vehicle, Operations & Maintenance (VMO) $378,000 $314,500 $60,000 $752,500 Total $1,954,873 $1,177,713 $3,379,296 $514,090 $180,000 $7,205,972 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 7 By completing the Village 2025 – 2029 CIP plan, the Village was able to restructure its debt in a way that frees up budget capacity to self-fund up to $120,000 a year in Public Works Street projects in the general fund along with freeing capacity in the Water Utility budget for new projects in the 2025-2027 two-year funding cycle without increasing water utility rates as long if the Village finds out that municipal well #1 does not need to be replaced by the end of 2025. The Village refinancing plan is discussed in more detail in this CIP plan under Village CIP Refinancing and New Debt attachments. The chart below shows the Village current debt, 2025-2027 proposed two-year funding project cycle, along with the new debt expected to be approved in the 2027-2029 CIP project funding cycle. $0.00 $500,000.00 $1,000,000.00 $1,500,000.00 $2,000,000.00 $2,500,000.00 $3,000,000.00 $3,500,000.00 Overall CIP Funding Sources -2025 - 2029 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 8 As you can see from the chart above, the Village is well positioned at keeping the debt at a rate where the General Fund debt payments do not go above the current amount per year budgeted for principal & interest payments along with staying well below the max borrowing capacity of the Village. We are careful with keeping future capacity beyond 2030 for future large projects that will be needed. What the CIP Accomplishes If adopted and implemented by the Village Board, the Village of Marathon City will accomplish the following by the end of the two-year 2025–2027 funding cycle in this CIP: • Create Marathon City’s first Capital Improvement Plan • Establish a maintenance cycle for Village roadways and related utility infrastructure • Complete the TID 1 North Industrial Park TID project plan • Allocate resources towards aging equipment needs • Stop the $300,000 to 380,000 yearly borrowing for Street projects, reduce reliance on debt, and refinancing to free up $120,000 in the General Budget to be allocated toward street projects What the CIP Does Not Accomplish No community can complete every worthwhile project within a single CIP cycle. It is important to recognize the projects being deferred. Some of these projects may be incorporated later as the plan evolves or as new funding opportunities arise. These projects have been assigned tentative dates and placed in the 5- to 10+-year future project section of the plan. It should be noted that some projects may never be completed if future Village priorities change. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 9 I respectfully present the 2025-2029 Capital Improvement Plan to the residents of Marathon City and the Village Board. The plan includes various charts and project plan sheets to aid in the final approval process. Our goal is to ensure that this thoroughly reviewed plan identifies all the projects that need to be addressed in the next five years. Once adopted, the CIP will serve as the foundation that the Administrator and staff fulfill projects approved CIP 2025-2027 funding cycle. The Village already invested in and will continue to invest in capital infrastructure to maintain Marathon City as a thriving, forward-moving, vibrant community. Respectfully, Steven A. Cherek Village Administrator – Treasurer Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 10 Criteria for Evaluation of CIP Requests The Management Team ranked the CIP based upon the criteria below. The Village Board is to ranked the projects (A, B, C, or D). The CIP funded projects are those Village Board rated A and B. Ratings Chart GROUP A Urgent, high priority projects that should be done if possible; a special effort should be made to find sufficient funding for all these projects. GROUP B High-priority projects to be done as funding becomes available. GROUP C Worthwhile projects if funding is available: can be deferred. GROUP D Low-priority: desirable, but not essential. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 11 2025 - 2029 CIP Village Board Rating Sheet Project Cost Management Rating Village Board Average Rating Score Village Board Rating Category 2025 - 2027 Two-year funding cycle CIP Projects *Post Office Floor Replacement $20,000.00 A 4 A *Veterans Park Sewer Line Replacement $43,000.00 A 2 C *County Materials Sports Complex – Phase 1C $175,000.00 B 3 B *County Materials Sports Complex – Phase 1A & 1B $432,369.81 B 3.25 B *4th Street Sidewalk Expansion $170,406.00 A 3.25 B *Water - Reservoir & Inspections $10,000.00 A 3.5 B *North Business Park Expansion $924,097.00 A 3.5 B Replacement of Municipal Well 1 $2,990,000.00 A 3.75 B *Water Tower – Maintenance Painting and Repairs $120,000.00 A 4 A *Community Circle – Culvert Replacement $25,000.00 A 3 B *Oak Street – 4th to 5th $15,000.00 A 3.25 B *Sonnentag Road – Pine Street to Village’s West Boundary $20,000.00 A 3 B Sanitary Sewer Main - Cured-in-place Pipe Lining $674,213.00 A 3.25 B STH 107 - State Project 6360-05-05 Reconstruction $90,000.00 A 3.8 B Street Overlays and Surface Treatments $35,500.00 A 3.4 B 1999 Street Sweeper Replacement $368,000.00 A 2.5 C Market St – 4th to 8th Reconstruction $349,296.00 A 3 B 2027-2029 two-year funding cycle - To be reviewed with next CIP update (CIP 27-31) 2012 Dodge Truck Replacement $49,500.00 C 1.75 D 4th Street - Thornapple to Pheasant $134,589.84 B 3 B 1996 International Plow-Dump Truck Replacement $265,000.00 A 2.25 C 2019 Dodge Durango Replacement $65,000.00 A 2.8 C 5th Street - Main St to Washington Street (part of Main to East St project due to self-funding) $120,000.00 B 3 B 1994 Stiner Utility Tractor $60,000.00 C 1.5 D Projects Requiring Additional Funding or a Debt Levy Increase 5th Spruce Street to Main Street $417,949.84 B 3.5 B 5th - Washington Street to Hickory St (part of Main to East St project due to self-funding) $60,000.00 B 3 B 5th - Chestnut Street to East Street (part of Main to East St project due to self-funding) $60,000.00 B 3 B Water Plant Chemical Room Upgrade $91,000.00 A 2.4 C Ordinance- Codification, Supplementation, and Online Hosting $32,334.00 A 2.6 C Washington Street Reconstruction (6th St to 7th St) $260,755.00 A 3 B 2002 CAT Loader/Plow $380,000.00 C 1.75 D Water Main Loop Project $927,725.00 B 2.6 C Walnut / Maraview Dr (Culvert Replacement) $15,000.00 B 3 B Spruce St - 4th to 5th $39,497.92 B 2.75 C Washington Street – 2nd to 3rd $89,763.52 B 2.75 C Chestnut Street - 6th to 7th $51,777.88 B 2.5 C Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 12 Hickory Street – 6th to 7th $89,615.68 B 2.5 C Hickory Street – 1st to 2nd $54,445.16 B 2.5 C Pine Street – 3rd to 4th $67,513.60 C 2 C 7th Street – Chestnut Street to Washington $197,520.40 C 2 C 6th Street – Washington Street to Hickory Street $93,216.82 C 2 C Hemlock Street – 8th to 7th $103,882.24 C 2 C Pine Street – 2nd North to Cul-De-Dac $40,823.06 C 1.5 D 1990 Idaho Norland loader Mounted Snow Blower $175,000.00 C 1.5 D Drainage Retention Pond - Culvert – 4th Street $30,000.00 D 1 D Total if all Projects were done $10,433,791.77 YearPROJECT LIMITS Department 2027 GO Note 2025 GO Note/Bond 2024 GO Note Grants fundsGeneral Fund Budget Sale of Equiptment/ capital Donations TID 1 - GO Note Water Budget Sewer Budget Utility Fund Balance / Reserve Fund DNR Safe Drinking Water Loan (low interest rate) Total Project Cost Notes 2025 *Post Office Floor Replacement Building & Grounds $20,000.00 $20,000.00 2025 *Veterans Park Sewer Line Replacement Parks, Rec & Forestry $21,500.00 $21,500.00 $43,000.00 2025 *County Materials Sports Complex – Phase 1C Parks, Rec & Forestry $175,000.00 $175,000.00 2025 *County Materials Sports Complex – Phase 1A & 1B Parks, Rec & Forestry $258,282.00 $174,087.81 $432,369.81 2025 *4th Street Sidewalk Expansion Public Works $79,188.13 $91,217.87 $170,406.00 2025 *Water - Reservoir & Inspections Water Utility $10,000.00 $10,000.00 2025 *North Business Park Expansion Tax Increment Districts (TID) $924,097.00 $924,097.00 Contract: Blacktop, Lights, Menzner- Utilities (3-phase Power, Gas, Communications) 2028 Replacement of Municipal Well 1 Water Utility $40,000.00 $2,990,000.00 $3,030,000.00July 2025 - Municipal well to verify if well can be rehabilitated. If yes, project moves back 10 years. 2025 *Water Tower – Maintenance Painting and Repairs Water Utility $120,000.00 $120,000.00 2025 *Community Circle – Culvert Replacement Public Works $25,000.00 $25,000.00 2025 *Oak Street – 4th to 5th Public Works $15,000.00 $15,000.00 2025 *Sonnentag Road – Pine Street to Village’s West Boundary Public Works $20,000.00 $20,000.00 2026 Sanitary Sewer Main - Cured-in-place Pipe Lining Sanitary Sewer Utility $674,213.00 $674,213.00 7.5 Sewer Rate Increase, Adds 50 Years use life on pipes. 2026 STH 107 - State Project 6360-05-05 Reconstruction Public Works $84,500.00 $5,500.00 $90,000.00 2026 Street Overlays and Surface Treatments Public Works $35,500.00 $35,500.00 2026 1999 Street Sweeper Replacement VOM $370,000.00 $8,000.00 $378,000.00 2027 Market St – 4th to 8th Reconstruction Public Works $54,648.00 $174,648.00 $120,000.00 $349,296.00 Pending Grant approval $0.00 $1,477,143.00 $253,275.94 $265,865.87 $341,500.00 $8,000.00 $196,500.00 $924,097.00 $55,500.00 $0.00 $0.00 $2,990,000.00 $6,511,881.81 2025-2027 TWO-YEAR FUNDING CYCLE OF CIP - *Top Priority Projects started and approved prior to this CIP. Total Cost Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 14 Capital Improvement/Capital Equipment Request Form Name of Project Post Office Floor Replacement Department Buildings and Grounds – Administration Department Total Project Cost $20,000 Date Submitted 3/10/2025 Updated 3/15/2025 Village Management Rating: A Village Board Rating: A Utility Board Rating: Net Project Rating: 4.0 Description of Project/Justification: Several years ago, the vinyl flooring in the Post Office was removed, but no surface coating was applied to the exposed concrete. At the time, the Administrator had an outdoor concrete sealer rolled onto the floor. However, the reasoning behind this partial completion remains unknown to the current Administration. Currently, the floor remains untreated, exposing bare concrete. The Post Office has raised concerns that the lack of surface treatment is contributing to dust accumulation, which they claim poses a potential health risk. While it is unclear whether this constitutes a verifiable health concern, the condition of the floor does indicate that some form of treatment is necessary. Lease Agreement Considerations According to the Post Office Lease Agreement, the cost of maintenance, repairs, or replacements falls under the Village’s responsibility. The Village receives an annual rent payment of $31,720 from the Post Office. Under Item #3 of the lease’s maintenance provisions, it has been determined that the responsibility for this repair falls on the Village. Since the Post Office was originally provided with a vinyl floor surface, and it is now exposed concrete, the Village is required to apply a surface or coating. In late 2024 and early 2025, the Post Office asserted that this repair is necessary. The Post Office has already proceeded with obtaining cost estimates. If deemed a required repair, the Post Office could compel the Village to pay for a contractor of their choosing, including administrative costs. Next Steps • Confirm project scope: The Village should determine the appropriate surface or coating required to meet lease obligations and functional needs. • Obtain independent cost estimates: The Village should secure its own estimates to ensure competitive pricing and cost control. • Determine funding and timeline: If the repair is necessary, budget adjustments or funding sources should be identified to accommodate the expense. • Coordinate with the Post Office: Ensure alignment on the scope of work and expectations before proceeding with contractor selection. Conclusion Since the Village originally provided the Post Office with a vinyl floor and it is now bare concrete, the responsibility for applying a surface or coating falls on the Village. Given the Post Office’s stance and Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 15 their initiation of cost estimates, the Village must determine the best approach to fulfill this obligation while managing costs effectively Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Floor Cost Estimate $20,000 Total $20,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Village General Fund Balance $20,000 Totals $20,000 Total Cost $20,000 Budget Impact/Other With this forced, unbudgeted item placed on the Village, the financial impact is significant. The 2025 budget allocated only $2,000 for Post Office repairs. Since the start of 2025, the Village has already spent $1,845.57 from this budget on necessary repairs, including the replacement of a hot water heater and servicing of the heating system. Given that it is only March, additional unforeseen expenses for this property are likely. Furthermore, under the lease agreement, the Village is required to repaint the interior walls, adding further unbudgeted costs in 2025. Additionally, the lease agreement outlines responsibilities such as maintaining the blacktop parking lot, which the Post Office has inquired about, though no estimates have been requested by them at this time. The required floor repair, along with the lease obligations, creates a significant financial burden. The Village Administrator feels forced to move forward with the project, despite budgetary constraints and higher-than-expected cost estimates. The 2025 Budget is directly impacted. Areas the Village could consider funding this project include: • Reducing the $60,000 street repair budget – This is not advised, as a reduction was already made to account for increased land assessment costs for 2025, and the streets require repairs. • Utilizing the Fund Balance – The estimated fund balance after the 2024 audit is $700,000 (preliminary figures). Financial advisors recommend maintaining a 25-30% fund balance based on General Fund revenues. o Keeping a 30% fund balance would allow the Village to allocate approximately $15,000 to capital improvements, which would have to be used for this project. o If the allocation increases to $20,000 or slightly more, the Village should remain within the 25-30% range. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 16 o However, no other projects can be allowed to use the fund balance until 2031, as this is when TID Districts 1 & 2 are scheduled to begin repaying the General Fund for borrowed amounts. Utilizing 2025 unbudgeted Interest Earned in the General Fund: The 2025 Adopted Budget estimated $39,000 in interest earned. Last year the Village received around 4.5 to 5.2 %, $72,000 on Interest. Prior to those years it was lucky to receive 2%. As of May 2025, the Village received close to $38,000 in interest earned and market trends are projected to average 4.5 - 4.8% for the projected remainder of the year. This would give an extra $33,000 in revenue in the General Fund by the end of the year. The Village can allocate that towards this project. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 17 Capital Improvement/Capital Equipment Request Form Name of Project Veterans Park Sewer Line Replacement Department Buildings and Grounds – Parks Department Total Project Cost $43,000 Date Submitted 3/10/2025 Updated 3/15/2025 Village Management Rating: A Village Board Rating: C Utility Board Rating: A Net Project Rating: 2.0 Description of Project/Justification: Veterans Park has been a long-standing community park historically managed by the American Legion Alois Dreikosen Post 469. However, in recent years, the American Legion has faced staffing challenges that have hindered its ability to maintain the park. As a result, the management of the park was transferred to the Village, which owns the property. Unfortunately, no funding accompanied this transition, causing financial constraints on park upkeep. Additionally, existing user groups continued utilizing the park without contributing revenue toward necessary repairs, leading to further deterioration. A significant issue was identified in August 2024 when a sewer backup occurred during the annual Marathon Fund Days event. Rick’s Sewer Service was called to address the problem and conducted an inspection using a camera system. The findings revealed multiple issues with the sewer line: • Lack of Clean-outs: No clean-outs were present in the system. Industry standards recommend installing a clean-out 5 feet from the building and every 100 feet thereafter to the main sewer line. Given the 225-foot length of the sewer line, at least three clean-outs should be installed at 5 feet, 105 feet, and 205 feet. • Pipe Condition Issues: o At 72.5 feet from the bathroom, a significant line separation and upstream leaks were detected. o At 183 feet, there was a buildup of debris over time, and additional separations were noted. o Additional pipe leaks were found at 63 feet and 81 feet. Given the severity of these issues, the best course of action is a total replacement of the sewer line to ensure the long-term functionality and safety of the park’s sanitation system. This replacement will not only address the immediate concerns but also prevent future costly repairs and service disruptions during key community events. Estimated Project Cost: The Village has received an estimate for the sewer repair and clean-outs, which ranges from $18,000 to $23,000. This estimate does not include the cost of blacktop restoration, which is expected to be an additional $20,000. As a result, the total project cost is estimated to be between $38,000 and $43,000. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 18 Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Sewer Replacement $23,000 Blacktop $20,000 Total $43,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Village General Fund Balance ? 2025 free up budgeted funds with bonding $21,500 American Legion? $21,500 Totals $43,000 Total Cost $43,000 Budget Impact/Other With this forced, unbudgeted item placed on the Village, the financial impact is significant. The 2025 budget allocated only $6,000 for Park General Supplies and Maintenance. Since the start of 2025, the Village has already spent $113 from this budget on necessary supplies. This budget item did increase by $1,000 versus the 2024 budget, but this was due to the rising costs over the past three years, as it had consistently ended over budget. Therefore, this would not be a viable source of funding for the repairs. The required sewer repair, along with the Village Park obligations, creates a significant financial burden on the 2025 budget. The Village Administrator feels forced to move forward with the project despite budgetary constraints and higher-than-expected cost estimates. The 2025 Budget is directly impacted. Areas the Village could consider funding this project include: • Reducing the $60,000 street repair budget: This is not advised, as a reduction was already made to account for increased land assessment costs for 2025, and the streets require repairs. • Utilizing the Fund Balance: The estimated fund balance after the 2024 audit is $700,000 (preliminary figures). Financial advisors recommend maintaining a 25-30% fund balance based on general fund revenues. o Keeping a 30% fund balance would allow the Village to allocate approximately $15,000 to capital improvements, which would have to be used for this project. o If the allocation increases to $20,000 or slightly more, the Village should still remain within the 25-30% range. o However, no other projects can be allowed to use the fund balance until 2031, as this is when TID Districts 1 & 2 are scheduled to begin repaying the General Fund for borrowed amounts. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 19 • Utilizing 2025 unbudgeted Interest Earned in the General Fund: The 2025 Adopted Budget estimated $39,000 in interest earned. Last year the Village received around 4.5 to 5.2 %, $72,000 on Interest. Prior to those years it was lucky to receive 2%. As of May 2025, the Village received close to $38,000 in interest earned and market trends are projected to average 4.5 - 4.8% for the projected remainder of the year. This would give an extra $33,000 in revenue in the General Fund by the end of the year. The Village can allocate that towards this project. • Seeking Contributions from Local Organizations: The Village could explore cost- sharing opportunities with the American Legion, local baseball and softball clubs, and the school district to help fund the sewer repairs. Since these groups actively use the park facilities, a collaborative approach could help reduce the financial burden on the Village while ensuring the park remains in good condition for community use. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 20 Capital Improvement/Capital Equipment Request Form Name of Project County Materials Sports Complex – Phase 1C Department Parks Total Project Cost $175,000.00 Date Submitted 8/1/2024 Updated 3/29/2025 Village Management Rating: B Village Board Rating: B Utility Board Rating: Net Project Rating: 3.0 Description of Project/Justification: In 2024, the Village Administration launched a campaign to address the $311,000 shortfall in funding for the new County Materials Sports Complex Park construction. As a result, donation sources pledged contributions that reduced the shortfall to just $17,029.68. Additionally, $175,000 in funds was secured for the construction of a playground and two pickleball courts. At the February 5, 2025, Village Board meeting, the Board authorized the Administrator to obtain quotes for Phase 1C – Playground & Pickleball Courts, with the condition that the project would not be awarded if the cost exceeded $175,000 Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Playground $130,000 Pickleball $45,000 Total $175,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Park Fund $175,000 Totals $175,000 Total Cost $175,000 Budget Impact/Other This project was approved to take bids by the Village Board. With the funds received in 2024, it was put in as part of the approved 2025 Ball Park Budget. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 21 Capital Improvement/Capital Equipment Request Form Name of Project County Materials Sports Complex – Phase 1A & 1B Department Parks Total Project Cost $432,369.81 Date Submitted 8/1/2024 Updated 3/29/2025 Village Management Rating: B Village Board Rating: B Utility Board Rating: Net Project Rating: 3.25 Description of Project/Justification: County Materials Sports Complex – Phase 1A and 1B started back in 2020 with ground breaking and utility expansion. Phase 1B started in early 2024 and will continue into 2025. There is $3,883,732.18 budget for phase 1A & 1B as of 3/29/2025. All the funds for this project came from donations, village land sales, and grants. This project is expected to be complete by June 2025, with games played maybe by July 2025. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 $3,451,362.37 Ball Park $432,369.81 Total $432,369.81 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 $3,377,392.18 Donations/Park fund $73,970.19 (24GO) 2024 GO Note $174,087.81 2025 Bond $258,282.00 Totals $432,369.81 Total Cost $432,369.81 Budget Impact/Other This project was fully funded through donations, proceeds from the sale of village land in an older park, and grant funds. However, there is a shortfall of approximately $31,100, consisting of $14,070.11 in uncollected pledged funds and $17,029.68 in project overruns due to the cost of additional materials and the construction of a berm along the east property line. In 2024, Village Administration and auditors discovered a discrepancy in the amounts transferred to the Park Fund when it was established in 2022. Specifically, an additional $475,240.20 remained in the General Fund instead of being transferred to the Park Fund in December 2021. It was also found that these funds had since been used for other necessary Village expenditures, including advances to the TID 2 Fund from the General Fund. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 22 To rectify this, the Village plans to issue a $506,340 bond in July 2025, which will cover the $475,240.20 transfer shortfall and the $31,100 project deficit. This bond will restore the intended Park Fund allocation and ensure the project's completion. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 23 Capital Improvement/Capital Equipment Request Form Name of Project 4th Street Sidewalk Expansion Department Administration Total Project Cost $170,406 Date Submitted 8/1/2024 Updated 3/29/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.25 Description of Project/Justification: With the support of a federal Transportation Alternatives Program (TAP) grant, the Village began the 4th Street Sidewalk Project in late 2024, with construction expected to be completed in 2025. This project was approved by the Village in 2024, and a short-term borrowing note was used to fund the initial costs. The expectation is to refinance the final amount into a long-term bond once the project is completed and all grant funds are received in 2025. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 $466,983.05 State Design Review $14,242.80 Participating Construction $95,991.33 Construction Engineering $4,031.00 State Construction Review $13,626.19 Park Lighting/Contingency $42,216 Total $170,406 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 $186,172 TAP Grant $91,217.87 $280,811 2024 GO Note $79,188.13 Totals $170,406 Total Cost $170,406 Budget Impact/Other This project was included in the November 2024 approved and adopted 2025 General Fund Budget. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 24 Capital Improvement/Capital Equipment Request Form Name of Project Replacement of Municipal Well 1 Department Utilities - Water Total Project Cost $2,990,000.00 Date Submitted 2/15/2024 Updated 2/25/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: A Net Project Rating: 3.75 Description of Project/Justification: Municipal Well 1 was last reconstructed with a downsized 4” casing, which was identified at the time as the final casing option for the Village. The Village was given a 10-year timeline to replace the well, with only 4-5 years remaining before it will be shut down. The DNR well replacement process takes up to three years, making it essential to begin the project in 2025 with a Well Siting Study. This study will determine if a new well can be placed near existing infrastructure or if alternative solutions—potentially increasing project costs—will be necessary. Discussions with Strand Engineers have outlined the required project phases: 1. Water System Evaluation & Well Siting Study 2. Test Borings & Test Well 3. Production Well Drilling 4. Well House Construction & Water Main Installation 5. Abandonment of Well 1 & Well House Demolition Timely action on this project is critical to ensuring continued water supply and compliance with DNR regulations. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Water System Eval & Well Siting Study $50,000 Test Borings/Test Well $100,000 Production Well Drilling $600,000 Well House Construction & Water Main $1,500,000 Abandon Well #1 & Demo Well House $50,000 30% Contingency $690,000 Total $150,000 $2,840,000 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 25 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 GO Note $150,000 DNR Safe Drinking Water Loan $2,840,000 Totals $150,000 $2,840,000 Total Cost $2,990,000 Budget Impact/Other The DNR Safe Drinking Water Loan offers low-interest rates and potential principal forgiveness, making it the projected funding source for this project, as the Village is expected to qualify. Once the Siting Study is completed, the Village will have the opportunity to explore alternative funding sources, such as grants, to potentially replace the Safe Drinking Water Loan and reduce costs. However, it is important to note that the Village’s Median Household Income (MHI) is $84,550, which is higher than the state MHI of $72,458. As a result, grant programs such as Rural Development and CDBG prioritize funding for lower-income areas in Wisconsin, making grant approval less likely. The first phase of the project, including the Siting Study and Test Well, will need to be funded through a short-term loan, as this phase must be completed before the Village can apply for the DNR Safe Drinking Water Loan. Once awarded, the short-term loan will be refinanced into the Safe Drinking Water Loan for more manageable repayment terms. Budget Impact To cover the DNR Safe Drinking Water Loan payments, a Water Utility rate increase will be necessary. Assuming a 3.5% interest rate on a 20-year loan with no principal forgiveness, the estimated annual repayment would be $208,089.60. Based on the past five-year water consumption average, a 60% increase in water rates would generate approximately $210,745.52 annually, just covering the loan repayment Note: All Budget Numbers for this project is from Strand. Once project is scheduled for moving forward, more lockdown numbers will be adjusted. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 26 Capital Improvement/Capital Equipment Request Form Name of Project Water - Reservoir & Inspections Department Utilities - Water Total Project Cost $10,000.00 Date Submitted 8/1/2024 Updated 2/25/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: A Net Project Rating: 3.5 Description of Project/Justification: The 2023 WI DNR Survey Report and Notice of Noncompliance identified necessary repairs to the Village reservoir. The DNR has mandated that these repairs be completed by 2025, with a follow-up inspection required. Due to these compliance issues and operational limitations, the Village Utility Commission has designated this project as a high priority. The repairs were approved as part of the 2025 Utility Budget, adopted in December 2024. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Reservoir / Inspections $10,000 Total $10,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Water Department General Fund $10,000 Totals $10,000 Total Cost $10,000 Budget Impact/Other This project was approved and made part of the 2025 budget adopted by the Village Board and Utility Commission in 2024. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 27 Capital Improvement/Capital Equipment Request Form Name of Project Water Tower – Maintenance Painting and Repairs Department Utilities - Water Total Project Cost $120,000 Date Submitted 2/26/2024 Updated 2/26/2025 Village Management Rating: A Village Board Rating: A Utility Board Rating: A Net Project Rating: 4.0 Description of Project: 1. Perform maintenance painting and surface repairs on the Water Tower. 2. Weld the access tube gap closed in compliance with the WI DNR Noncompliance Report. 3. Fabricate and install an OSHA-approved roof safety railing (approximately 12 feet in diameter). 4. Install new fill/drain pipe insulation in all areas where it is missing. Justification: The Water Tower was constructed in 1978, with its last maintenance painting completed in 2004. A WI DNR Sanitary Survey Report and Notice of Noncompliance, issued on March 17, 2023, identified that the access tube gap on the CB&I 75,000-gallon storage tank in the high-pressure zone was not permanently fixed during the last drain-down inspection in 2020. The Village has been given until December 31, 2025, to permanently weld the access tube gap closed. In January 2025, Lane Tank Company provided a quote for the required weld repair and identified signs of blistering, peeling, and coating failure both inside and outside the tower. This maintenance work has an expected lifespan of 20 to 25 years and is crucial for prolonging the Water Tower’s service life. The current Diamond V ogel alkyd aluminum (LB2405) paint used on the tower has been discontinued, but it remains available through 2026. If not repainted before the supply runs out, the cost of repainting will increase significantly—potentially reaching $700,000, as the Village would need to sandblast the tower. Additionally, if the project is not completed within 2025-2026, it will likely be included in the next DNR Noncompliance list, requiring completion within the next 2-5 years. Delays would also pose environmental concerns, as the exterior primer beneath the existing paint contains lead. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Water Tower Maintenance $120,000 Total $120,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2025 GO Bond $120,000 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 28 Totals $120,000 Total Cost $120,000 Budget Impact/Other This project is one of three major projects identified by the Utility commission planned for 2025 to 2027, alongside the Washington Street Project and the Chemical Room Update. It would be funded through a 2025 revenue bond, 2025 budget surplus due to refinancing, and the 2025 budget amount for water tower repairs. Currently, the Water Department is making annual loan payments of $71,394.12 for the 3rd Street project, with four years remaining. Given current bond market conditions, the Village could refinance the remaining 3rd Street debt by amortizing payments over 10 years, better aligning debt obligations with infrastructure lifespan. Assuming a 6.8% interest rate over 10 years, refinancing would free up approximately $35,000 in the 2025 water debt payment budget. After factoring in bond issuance costs, an additional $30,000 was freed in the 2025 budget due to deferred debt payments the remaining of the year and will be allocated toward the Water Tower project as Washington Street project is heavily dependent on the status of the General Fund budget. Impact of Refinancing: • Existing 6-Year Bond ($357,000) as of 7-28-2023: o Annual Payment: $71,394.12 o Total Paid Over 6 Years: $428,364.72 o Interest Rate: 6.1% • 2025 Refinanced 10-Year Bond ($257,019): o Annual Payment: $35,493 o Total Paid Over 10 Years: $354,930 o Total Cost of $357,000 Project (Including Interest): $491,768.73 o Reduced Borrowing Needed from Deferred Payments in 2025: $30,000 (to Allocate to Water Tower Project) o Additional Loan Cost Due to Refinancing: $63,404.01 o Interest Rate: 5.5% to 6.5% pending market conditions. Applying Refinanced Funds to the Project: • 10-Year Bond ($80,000): o Annual Payment: $10,700 o Total Paid Over 10 Years: $106,998 o Interest Rate on New debt: 5.5% to 6.5% pending market conditions. o No Rate Increase Needed Budget Impact • Water utility rates will remain unchanged, as the combined impact of the three projects and the 3rd Street refinancing will only increase annual debt payments by approximately $1,000 compared to current budgeted amounts. • Refinancing plan will extend Water Utility Dept payments an additional six years. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 29 Capital Improvement/Capital Equipment Request Form Name of Project Sanitary Sewer Main - Cured-in-place Pipe Lining Department Utilities - Water Total Project Cost $674,213 Date Submitted 11/1/2023 Updated 2/25/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: A Net Project Rating: 3.25 Description of Project/Justification: The Village has identified 11,525 feet of aging clay sanitary sewer main, with televised inspections revealing early signs of stress cracking. Cured-in-place pipe (CIPP) lining offers a cost-effective solution, extending the sewer main’s lifespan by 50 years without the need for excavation. However, this method is only viable if the pipes are addressed in time—waiting too long could necessitate full replacement, significantly increasing costs. Another concern is inflow and infiltration (I&I), which contributes to excessive flow in the sanitary sewer system. This project aims to rehabilitate leaking mains, primarily through CIPP lining, with spot replacements where necessary. The Village has committed to reducing I&I over the coming years while extending the life of its sewer infrastructure. While the Utility Commission previously approved borrowing for this project, resources were redirected to the Wastewater Treatment Plant (WWTP) replacement. Additionally, the rate increases required for that project delayed funding for this initiative. If this project is not completed soon, sections of the sewer main identified by the Public Works Director will begin to fail, leaving excavation and replacement as the only option—at a cost of approximately $660 per foot, compared to just $45 per foot for CIPP lining. Addressing the issue now will save the Village Utility Department substantial costs and prevent further deterioration of the system. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Cured-in-place pipe lining 11,525 feet identified $320,850 $197,775 30% Contingency/spot dig repair work found with project $96,255 $59,333 Total $417,105 $257,108 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2025 GO Note/Bond $417,075 $257,108 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 30 Water Department General Fund Totals $417,105 $257,108 Total Cost $674,213 Budget Impact/Other Funding this project through a 20-year bond will increase the Waste Water Utility Budget expenditure by $66,305 annually in principal and interest payments. The 2025 Waste Water Budget was approved with a $13,948.24 deficit, primarily due to loan payments for the new Waste Water Treatment Plant (WWTP). With no available operating surplus, this project cannot move forward without additional revenue from a rate increase. To cover the loan payments, an 9% Waste Water rate increase would be required, generating an estimated $69,218 in additional revenue. Alternative Funding Options 1. Gradual Rate Increase Approach Instead of implementing a full 9% increase at once, the Village could phase in the increase over two years, raising rates by 4.5% in both 2026 and 2027. This approach would ensure sufficient funds are available for bond payments by 2027. To cover the 2026 payment, a small portion of the Utility Fund Balance could be used as a temporary subsidy. 2. Grant Funding or Subsidies If a rate increase is not an option, the project would need to be funded through alternative sources such as grants or fund balance subsidies. However, utilizing the fund balance is not a sustainable option (see below). Fund Balance Considerations • The Utility Fund Balance is projected to be $750,000 after the 2024 audit, significantly reduced due to WWTP (Marathon Cheese portion) and TID 2 borrowing. • The Village is required to allocate $38,546 annually to the Wastewater Replacement Fund until it reaches $770,917 (current balance: $205,286.81; shortfall: $565,630.19). • With annual replacement fund contributions drawing down the Utility Fund Balance over the next 15 years, tapping into this fund for the project is not a viable long-term solution. Conclusion The only feasible ways to fund this project are: • A full 9% wastewater rate increase in 2026, or • A phased-in 4.5% increase over two years, using a small amount of fund balance in 2026 to bridge the gap, or • Securing grant funding, though a rate increase would still be required to cover the remaining Utility portion of the project cost. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 31 Capital Improvement/Capital Equipment Request Form Name of Project Community Circle – Culvert Replacement Department Streets Total Project Cost $25,000 Date Submitted 8/1/2024 Updated 3/30/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.0 Description of Project/Justification: In late summer of 2024, the Streets Department was notified by landowners of a large sinkhole near Napa. Upon investigation, we observed significant material loss and sinking of the blacktop along the twin culverts. Despite adding a large amount of material to stabilize the area, it has continued to erode. Given that the road has already begun to sink, we believe it is necessary to excavate and repair the site. There is a concern that material may be washing out beneath the blacktop, potentially creating a hazardous situation for drivers. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Excavation $7,000 Material $3,000 Blacktop - Wedging $10,000 Contingency $5,000 Total $25,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Street Maintenance Budget $25,000 Totals $25,000 Total Cost $25,000 Budget Impact/Other This project is one of three street projects (Oak St, Sonnentag Rd, and Community Cir) funded by the $60,000 allocated in the 2025 Street Maintenance Budget. It will not require borrowing or a drawdown from the General Fund Balance. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 32 Capital Improvement/Capital Equipment Request Form Name of Project Oak Street – 4th to 5th Department Streets Total Project Cost $15,000 Date Submitted 8/1/2024 Updated 3/30/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.25 Description of Project/Justification: This project was originally part of the 2024 street projects, along with Hemlock Street. However, due to increased costs associated with Hemlock Street, the Oak Street storm drain inlet and wedge patch between 4th and 5th Street were removed to stay within budget. The storm drain inlet is in failing condition, and the road has been patched multiple times. During a 2024 assessment with American Asphalt, they recommended a wedge patch for a significant portion of the road to extend its lifespan and delay major reconstruction. As a result, the project was postponed from the 2024 repairs with the intent to complete it in 2025. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Excavation $4,000 Material $1,500 Blacktop - Wedging $7,000 Concrete - Curb $1,000 Contingency $1,500 Total $15,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Street Maintenance Budget $15,000 Totals $15,000 Total Cost $15,000 Budget Impact/Other This project is one of three street projects (Oak St, Sonnentag Rd, and Community Cir) funded by the $60,000 allocated in the 2025 Street Maintenance Budget. It will not require borrowing or a drawdown from the General Fund Balance. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 33 Capital Improvement/Capital Equipment Request Form Name of Project Sonnentag Road – Pine Street to Village’s West Boundary Department Streets Total Project Cost $20,000 Date Submitted 8/1/2024 Updated 3/30/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.0 Description of Project/Justification: Sonnentag Road is a gravel road in poor condition, requiring additional gravel and grading. In addition to the deteriorating road surface, there is a storm culvert with extremely steep drop-offs. In 2024, the Village Engineer assessed the area and recommended either installing a guardrail or extending the culvert with ditch grading to improve safety. In November 2024, the village completed a concrete and asphalt recycling project, producing gravel at approximately half the standard cost per yard while also creating additional space at the yard waste drop-off site. The gravel from this project was intended for use on this road project to help reduce material costs. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Grading $5,000 Guardrail $10,000 Contingency $5,000 Total $20,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Street Maintenance Budget $20,000 Totals $20,000 Total Cost $20,000 Budget Impact/Other This project is one of three street projects (Oak St, Sonnentag Rd, and Community Cir) funded by the $60,000 allocated in the 2025 Street Maintenance Budget. It will not require borrowing or a drawdown from the General Fund Balance. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 34 Capital Improvement/Capital Equipment Request Form Name of Project North Business Park Expansion Department Administration Total Project Cost $924,097 Date Submitted 8/1/2024 Updated 3/29/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.5 Description of Project/Justification: To support the continued growth of the Village, a Tax Incremental District (#1) was created. As part of the development plan, the Village decided to extend utility services north of Highway 29 to encourage business expansion. This initiative led businesses to sign agreements to expand their operations. Additionally, the Village is committed to completing N. Business Parkway and installing essential utilities, including Phase 3 power, gas, telecommunications, and street lighting. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 $2,038,791 Construction Contracts $584,984 Engineering $44,057 Utilities – (power, gas, communications) From contingency once quotes Easements $4,889 Contingency $290,167 Total $924,097 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2022 TID 1 Bond $819,840 2023 TID 1 G.O. Note $104,257 Totals $924,097 Total Cost $924,097 Budget Impact/Other This project was included in the November 2024 approved and adopted TID 1 Budget. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 35 Capital Improvement/Capital Equipment Request Form Name of Project STH 107 - State Project 6360-05-05 Reconstruction Department Streets Total Project Cost $90,000 – Village part Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.8 Description of Project/Justification: The State of Wisconsin is resurfacing State Highway 107 from north of County Road B to the Rib River Bridge. In 2024, the Wisconsin Department of Transportation (WI DOT) communicated with the Village and proposed repaving the Village portion of the project to reduce costs. The Village Board agreed to this proposal. Additionally, the Village Board approved the construction of a turn lane at the intersection of CTH NN and Highway 107. As part of this agreement, the Village will donate the necessary land it currently owns as its contribution to the project, eliminating any additional expenditure for land acquisition. By coordinating with WI DOT, the Village significantly reduces costs associated with construction, project engineering, and project management. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Village Parking Reconstruction $26,160 Storm Repair $13,500 Crosswalk RRFB $10,000 Hydrant replacement $10,000 Contingency $30,340 Total $90,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2026 General Fund Budget $90,000 Totals $90,000 Total Cost $90,000 Budget Impact/Other Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 36 The 2025 budget initially projected a surplus of $1,212.59 and allocated $95,000 to Capital Improvement Projects (CIP). Given the substantial cost of STH 107 - State Project 6360-05-05 Reconstruction, funding this project directly from the budget is an option; however, it would exhaust the available budget space for 2026, leaving no room for emergency projects or unexpected expenditures. Since this project must be completed, it would be advisable to explore methods to free up space within the Village’s Operating Budget. One option is refinancing or restructuring the Village’s existing General Fund Budget Debt. Doing so could free up between $45,000 and $55,000, allowing the Village to allocate $120,000 annually toward street projects without the need for yearly borrowing. Additionally, the Village should consider incrementally increasing this allocation to keep pace with inflation, ensuring at least two blocks can be reconstructed each year. Current General Fund, Budget, & Debt Status • 2025 Village Capital Improvement Plan (CIP) Budget (Excluding Borrowing): $95,000 o $60,000 allocated for street maintenance. o $35,000 allocated for land assessments. • General Fund Balance (Starting 2025): ~$700,000 o ~$460,000 reserved for TID advances (2025–2030), leaving only $15,000 available for one-time projects. • New Debt Without Restructuring: o Would reduce the $95,000 annual CIP budget, limiting future projects unless the Debt Levy is increased. • Debt Levy Increase: o Would increase property taxes but could free up funds within the levy budget to support other CIP projects, reducing the need for future borrowing. • Refinancing/Restructuring Existing Debt: o Could free up $45,000–$55,000 within the General Budget by 2026, which could be used to offset debt payments or self-fund CIP projects. • Street Maintenance Funding Needs: o A minimum of $120,000 annually is required to replace two blocks of blacktop to avoid relying on borrowed funds. Conclusion To complete this project without borrowing additional funds, the Village should refinance and restructure its debt to free up operating capacity within the General Fund Budget for 2026. If this is not done, the only alternative would be to borrow a portion of the project cost and cover the debt payments by reducing existing levy capacity accordingly. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 37 Capital Improvement/Capital Equipment Request Form Name of Project Street Overlays and Surface Treatments Department Streets Total Project Cost $35,500 Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.4 Description of Project/Justification: With the 2025 Street Budget set at $60,000 and allocated to a few projects, and the 2026 Budget of $90,000 designated for the STH 107 project, there will be limited funding available for overlays and surface treatments over the next three years. If the Village is approved for a Market Street grant for 2026–2027, this would further constrain funds for maintaining and extending the life of existing street surfaces. However, if the 2025 bond/debt restructuring is completed, it would allow the Budget to allocate $120,000 annually for street maintenance. In 2026, after the STH 107 project is funded, $35,500 will remain. Instead of applying this amount to another full street reconstruction or culvert repair, this Capital Improvement Plan (CIP) will prioritize street overlays and surface treatments. By targeting deteriorated sections, this approach will help extend the life of existing roads and improve overall drivability. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Street Maintenance $35,500 Total $35,500 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2026 General Fund Budget $35,500 Totals $35,500 Total Cost $35,500 Budget Impact/Other The 2025 budget initially projected a surplus of $1,212.59 and allocated $95,000 to Capital Improvement Projects (CIP). Given the substantial cost of STH 107 - State Project 6360-05-05 Reconstruction, funding this project directly from the Budget is an option; however, it would exhaust the available Budget space for 2026, leaving no room for emergency projects or unexpected expenditures or the Street Overlays and Surfacing Treatments project. Since the STH 107 project must be completed, it would be advisable to explore methods to free up space within the Village’s Operating Budget. One option is refinancing or restructuring the Village’s existing Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 38 General Fund Budget Debt. Doing so could free up between $45,000 and $55,000, allowing the Village to allocate $120,000 annually toward street projects without the need for yearly borrowing. If this is done, the 2026 Budget should have $35,500 available and can be used to fund Street Overlays and Surface Treatments badly needed in the Village. Current General Fund, Budget, & Debt Status • 2025 Village Capital Improvement Plan (CIP) Budget (Excluding Borrowing): $95,000 o $60,000 allocated for street maintenance. o $35,000 allocated for land assessments. • General Fund Balance (Starting 2025): ~$700,000 o ~$460,000 reserved for TID advances (2025–2030), leaving only $15,000 available for one-time projects. • New Debt Without Restructuring: o Would reduce the $95,000 annual CIP budget, limiting future projects unless the Debt Levy is increased. • Debt Levy Increase: o Would increase property taxes but could free up funds within the levy budget to support other CIP projects, reducing the need for future borrowing. • Refinancing/Restructuring Existing Debt: o Could free up $45,000–$55,000 within the General Budget by 2026, which could be used to offset debt payments or self-fund CIP projects. • Street Maintenance Funding Needs: o A minimum of $120,000 annually is required to replace two blocks of blacktop to avoid relying on borrowed funds. Conclusion To complete this project without borrowing additional funds, the Village must refinance and restructure its debt to free up operating capacity within the General Fund Budget for 2026. Without these financial adjustments, the project cannot move forward. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 39 Capital Improvement/Capital Equipment Request Form Name of Project 1999 Street Sweeper Replacement Department Streets – Utilities Total Project Cost $368,000 Date Submitted 8/1/2024 Updated 2/25/2025 Village Management Rating: A Village Board Rating: C Utility Board Rating: Net Project Rating: 2.5 Board Approved – 6/18/25 Description of Project/Justification: The 1999 Sterling Chassis, Johnson Street Sweeper has reached the end of its operational lifespan. The equipment has suffered from significant wear and deterioration, leading to frequent breakdowns, reduced functionality, and increasing maintenance costs. Due to the extent of its deterioration, it is no longer a reliable asset for the Public Works Department. Current Condition & Challenges • Severe Rust and Structural Damage: The body of the sweeper has major rust issues, further compromising its longevity and reliability. • Reduced Functionality: o One broom arm is inoperable due to parts being repurposed to keep the curb-side operational. o The vacuum system has drastically diminished efficiency as replacement parts have become unavailable. o The catch arm, used for manhole suction in Utility maintenance, is completely nonfunctional. • Frequent Downtime: The sweeper has spent nearly as much time in repairs as it has in operation over the past few years, making it an unreliable tool for street cleaning. • Operational Failures in 2024: Overheating issues have been persistent, further limiting the equipment's ability to perform its intended functions. Necessity for Replacement • Regulatory Compliance: The street sweeper is a required piece of equipment per Department of Natural Resources (DNR) regulations. Without a functioning unit, compliance with environmental and stormwater management standards may be jeopardized. • Public Works & Utility Operations: This equipment is essential for maintaining clean streets, supporting stormwater management, and assisting with utility maintenance (e.g., manhole suction). • Cost & Efficiency Concerns: The increasing cost of repairs and lack of available replacement parts make continued maintenance unsustainable. Investing in a new unit would provide long- term reliability and efficiency. Funding Considerations Despite extensive research, grant opportunities for street sweeper replacements are extremely limited. Alternative funding sources, such as capital improvement budgets or municipal equipment funds, should be explored to ensure timely replacement. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 40 Conclusion Given its deteriorating condition, frequent breakdowns, and inability to meet operational needs, replacing the 1999 Sterling Chassis, Johnson Street Sweeper is an urgent priority. The Public Works Director and Streets Superintendent have identified this as the highest-priority replacement within the department. A new unit will ensure compliance with regulatory requirements, reduce ongoing maintenance costs, and improve overall efficiency in street and utility maintenance operations. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Truck Cost (2025 quote) $344,560 Difference with second quote $23,440 Total $368,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2025 Village General GO Bond $370,000 Sale of Equipment $8,000 Totals $378,000 Total Cost $368,000 Budget Impact/Other The 2025 budget initially projected a surplus of $1,212.59 and allocated $95,000 to Capital Improvement Projects. Given the substantial cost of replacing the Street Sweeper, funding this purchase directly from the budget is not a viable option, but a combination of restructuring past Village debt, taking out a new bond for the Street Sweeper, and paying for it from the General Budget along with maybe increasing the Village Debt Levy is an option to look at. Current General Fund / Budget / Debt Status • 2025 Village Capital Improvement Plan (CIP) Budget (Outside of Borrowing): $95,000 o $60,000 allocated for street maintenance. o $35,000 allocated for land assessments. • General Fund Balance (2025 Start): ~$700,000 o ~$460,000 reserved for TID advances (2025–2030), leaving $15,000 available for one- time projects. • New Debt Without Restructuring: o Reduces the $95,000 yearly projected CIP budget for future projects unless the Debt Levy is increased. • Debt Levy Increase: Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 41 o Increases property taxes but could free up funds within the levy budget to support other CIP projects, reducing the need for future borrowing. • Refinancing/Restructuring Existing Debt: o Could free up $45,000–$55,000 in funds within the General Budget by 2026, which could be used to offset debt payments or self-fund CIP projects. • Street Maintenance Funding Needs: o A minimum of $120,000 is required to replace two blocks of blacktop to avoid the need to borrow in the future. • Priority Projects: o The General Fund has higher-priority street projects from 2025 to 2027, making bonding, a Debt Levy increase, or a reduction of the $50,000 by the annual bond payment amount the only viable options for funding this project. General Fund Bonding Options: • 15-Year Street Bond ($360,000): o Annual Payment: $38,348 o Total Paid Over 15 Years: $575,219 o Total Interest Paid: $215,219 o Estimate based on 6.8% Bond: expected to be 5.5 to 6.5 pending market conditions o Debt Levy Impact of full $27,164:  $0.319 per $1,000 assessed value  $63.84 additional tax on a $200,000 home Alternative Cost-Reduction Strategies To mitigate the financial impact, the Village could explore alternative approaches. However, it is important to note that borrowing will still be required, and while these options may reduce the total amount needed, there will still be an impact on the debt levy and property taxes. 1. Purchasing Used Equipment o A 5-10-year-old street sweeper may provide a cost-effective solution while still maintaining necessary functionality. o While this would lower the borrowing amount, it would not eliminate the need for a loan, and a debt levy increase—though reduced—would still be required. o Additional considerations include the availability of suitable equipment, potential maintenance costs, and long-term reliability. 2. Shared Service Agreement with Nearby Municipality (Edgar) Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 42 o Partnering with Edgar could allow for a shared street sweeping service. o Another possibility is splitting the cost of the equipment and utilizing each other’s employees to save on labor and operational expenses. However, because our Village is larger, a 50/50 split may not be the most equitable arrangement. A different cost-sharing ratio could be considered while still providing both municipalities with a new piece of equipment rather than used. o Alternatively, our Village could fully own the sweeper and provide sweeping services to Edgar for a fee, which could help offset the cost of the equipment and operations. o This cost-sharing model could help reduce financial strain, but the Village would still need to borrow funds for the purchase, meaning a debt levy impact—though reduced— would remain a concern. Conclusion Given the financial constraints, the Village must carefully consider its approach to funding the street sweeper replacement. While bonding or increasing the debt levy are viable options, they come with budgetary and taxpayer implications. Exploring used equipment, a collaborative agreement with the neighboring Village, splitting costs and sharing labor, or extending the bond repayment to 20 years may help reduce the financial burden but will not eliminate the need for borrowing. A detailed review of each option, including long-term cost projections and feasibility studies, is recommended before making a final decision. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 43 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 44 Capital Improvement/Capital Equipment Request Form Name of Project Market St – 4th to 8th Reconstruction Department Streets Total Project Cost $349,296 Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: A Village Board Rating: B Utility Board Rating: Net Project Rating: 3.0 Description of Project/Justification: Marathon City is applying for the Local Roads Improvement Program (LRIP) Municipal Street Improvement Discretionary Award in 2025. After evaluating potential projects, Market Street (between 4th and 8th Streets) has been identified as a strong candidate that aligns with the grant’s criteria. If awarded, the Village will be notified by late 2025 or early 2026. The grant requires a 50/50 cost share between grant funds and local funding. Market Street has been deteriorating for years, with significant issues identified during a televised inspection of the storm sewer near the Swim Center (from 4th to 5th Streets). The inspection revealed major deterioration, including sinkholes forming along the blacktop and sidewalk. The only viable solution is a full reconstruction of 380 feet of storm sewer to properly address these structural failures. Additionally, the remaining portion of Market Street (from 5th to 8th Streets) is in need of surface reconstruction. This roadway serves as a bus transportation route and provides access to a school and church, making it a high-traffic area. Ensuring the longevity and safety of this street is essential for both daily commuters and the community at large. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Reconstruction Estimate $283,518.50 Professional Services/ Engineering $37,424.44 Contingency $28,353.06 Total $349,296 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2027 General Fund Budget $120,000 WIDOT Grant $174,648 2025 GO Note/Bond $54,648 Totals $349,296 Total Cost $349,296 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 45 Budget Impact/Other The 2025 Budget initially projected a surplus of $1,212.59 and allocated $95,000 to Capital Improvement Projects (CIP). Given the substantial cost of the Market Street (4th to 8th) Reconstruction, funding this project directly from the budget would only be feasible if the Village restructures its existing debt to free up space within the operating budget. Since this project is a high priority and qualifies for a 50/50 matching grant, it is advisable to explore methods to free up funds within the Village’s Operating Budget to ensure its completion. One potential solution is refinancing or restructuring the Village’s General Fund Debt, which could free up between $45,000 and $55,000 annually. This would allow the Village to allocate $120,000 per year toward street projects, reducing the need for annual borrowing. However, even with the $120,000 allocated for street maintenance, an additional $54,648 would still be required to complete this project. This gap may need to be covered through short-term borrowing, depending on the final project costs after grant approval and bid evaluations. If the project comes in under budget, borrowing may not be necessary. Current General Fund, Budget, & Debt Status • 2025 Village Capital Improvement Plan (CIP) Budget (Excluding Borrowing): $95,000 o $60,000 allocated for street maintenance. o $35,000 allocated for land assessments. • General Fund Balance (Starting 2025): ~$700,000 o ~$460,000 reserved for TID advances (2025–2030), leaving only $15,000 available for one-time projects. • New Debt Without Restructuring: o Would reduce the $95,000 annual CIP budget, limiting future projects unless the Debt Levy is increased. • Debt Levy Increase: o Would increase property taxes but could free up funds within the levy budget to support other CIP projects, reducing the need for future borrowing. • Refinancing/Restructuring Existing Debt: o Could free up $45,000–$55,000 within the General Budget by 2026, which could be used to offset debt payments or self-fund CIP projects. • Street Maintenance Funding Needs: Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 46 o A minimum of $120,000 annually is required to replace two blocks of blacktop to avoid relying on borrowed funds. General Fund Bonding Options • 6-Year Street Bond ($54,648): o Annual Payment: $11,118 o Total Paid Over 6 Years: $66,705 o Debt Levy Impact (if used):  $0.0925 per $1,000 assessed value  $18.51 additional tax on a $200,000 home Conclusion To complete this project without borrowing additional funds, the Village must refinance and restructure its existing debt to free up operating capacity within the General Fund Budget and allocate at least $120,000 annually for street repairs. Even with these adjustments, an additional $54,648 may still need to be financed or potentially absorbed into the 2027 Operating Budget, depending on final project costs and available funds. Year PROJECT LIMITS Department 2027 GO Note 2025 GO Note/Bond 2024 GO Note Grants fundsGeneral Fund Budget Sale of Equiptment/ capital Donations TID 1 - GO Note Water Budget Sewer Budget Utility Fund Balance / Reserve Fund DNR Safe Drinking Water Loan (low interest rate) Total Project Cost Notes 2028 2012 Dodge Truck Replacement VMO $1,000.00 $30,000.00 $18,500.00 $49,500.00 Older truck, still in great shape 2028 4th Street - Thornapple to Pheasant Public Works $14,589.84 $120,000.00 $134,589.84 2028 1996 International Plow-Dump Truck Replacement VMO 255000 $10,000.00 $265,000.00 2025 CIP Bond restructured debt for this project in 2028 future Bond 2028 2019 Dodge Durango Replacement Public Safety 47000 $18,000.00 $65,000.00 2026 Budget can not fund this. Car only has 50,000 miles, low maintenance cost . Should we hold to replace tell 2028? 2029 5th Street - Main St to Washington Street (part of Main to East St project due to self funding ) Public Works $120,000.00 $120,000.00 Maybe do the very bad parts under the budget. $120K gets two block done at a time. No room within budget. 2029 1994 Stiner Utility Tractor VOM 58000 $2,000.00 $60,000.00 Fund balance / budget? $360,000.00 $0.00 $0.00 $14,589.84 $242,000.00 $29,000.00 $0.00 $0.00 $0.00 $30,000.00 $18,500.00 $0.00 $694,089.84 2028 to 2029 - Priority Projects - to be Re-Evaluated in 2027 for next 2-year funding cycle - Prices does not include inflation Total Cost Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 48 Capital Improvement/Capital Equipment Request Form Name of Project 2012 Dodge Truck Replacement Department Utilities – Water & Waste Water Total Project Cost $49,500.00 Date Submitted 8/1/2024 Updated 2/25/2025 Village Management Rating: C Village Board Rating: D Utility Board Rating: C Net Project Rating: 1.75 Description of Project/Justification: The 2012 Dodge ½-ton pickup truck is currently in good condition with low mileage. This project is planned for future consideration around 2028 to assess the need for a replacement. With proper Capital Improvement Plan (CIP) planning and budgeting, sufficient utility working capital is expected to be available by 2028 to fund the replacement. This CIP project should be re-evaluated in 2027 to determine if the vehicle’s condition has changed. If the truck remains in good shape, the replacement can be deferred by another two years as needed. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Truck Cost (2025) $45,000 10% for Inflation for years out since 2025 $4,500 Total $49,500 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Utility Department General Fund $30,000 Utility Fund Balance for CIP $15,500 Sale of Equipment $4,000 Totals $49,500 Total Cost $49,500 Budget Impact/Other As of 2025, the Utility Budget is projected to have a surplus of $10,226.27, which includes $20,000 allocated for Water Utility Capital Projects. With the Village and Utilities planning to bond for three water projects in 2025 and refinance the 3rd Street Water Expansion Project, the existing $30,000 in working capital within the Utility Budget will not be impacted. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 49 Given the healthy financial status of the Utility Fund and the truck replacement planned for 2028 or later, it is recommended to assess the Fund Balance before moving forward to determine if the $15,500 needed for this project can be covered without additional financial strain. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 50 Capital Improvement/Capital Equipment Request Form Name of Project 4th Street - Thornapple to Pheasant Department Streets Total Project Cost $134,589.84 Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: B Village Board Rating: B Utility Board Rating: Net Project Rating: 3.0 Description of Project/Justification: In 2024, the Village Streets Superintendent and Village Administrator conducted a comprehensive inspection of every street within the Village, marking damaged sections on a map. Following this assessment, the Village Administrator accompanied the Village’s contracted engineer to each identified section to determine the most effective repair solutions. This project outlines the estimated costs and recommended repairs based on the engineer’s evaluation. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Construction $109,245 Professional Services $14,420.34 Contingencies 10% $10,924.50 Total $134,589.84 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 General Fund Budget / Debt Levy $120,000 LRIP Grant $14,589.84 Totals $134,589.84 Total Cost $134,589.84 Budget Impact/Other The 2025 budget initially allocated $95,000 for Capital Improvements, with the condition that no borrowing would be required if expenses remained within this limit. The Village is exploring debt restructuring to free up an additional $45,000 to $55,000 annually within the Operating Budget. The goal is to increase annual funding for street projects to $120,000. However, despite this planned increase from $60,000 to $120,000, the Budget remains constrained due to two large scheduled projects in 2026-2027. As a result, funding for this project is unlikely unless the debt levy is increased. General Fund Bonding / Debt Levy Options • 15-Year Street Bond ($134,589.84): Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 51 o Annual Payment: $14,337 o Total Paid Over 15 Years: $215,052 • Debt Levy Impact (if used over 15 years): o $0.1193 per $1,000 assessed value o $23.87 additional tax on a $200,000 home Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 52 Capital Improvement/Capital Equipment Request Form Name of Project 1996 International Plow-Dump Truck Replacement Department Streets – Utilities Total Project Cost $265,000 Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: A Village Board Rating: C Utility Board Rating: Net Project Rating: 2.25 Description of Project/Justification: The 1996 International Plow-Dump Truck has reached the end of its operational lifespan. The equipment has suffered significant wear and deterioration, leading to frequent breakdowns, reduced functionality, and increasing maintenance costs. Due to the extent of its deterioration, it is no longer a reliable asset for the Public Works Department. Current Conditions & Challenges: • Frequent Downtime: The truck has spent nearly as much time in repairs as it has in operation over the past few years, making it unreliable. • Reduced Operations: With frequent breakdowns, the truck is used less often, increasing expenses as contractors must be hired to haul materials. Necessity for Replacement: • Public Works & Utility Operations: This equipment is essential for maintaining clean streets, supporting Village operations, and assisting with utility maintenance (e.g., manhole suction). • Cost & Efficiency Concerns: The increasing cost of repairs and lack of reliability make replacement critical. Investing in a new unit would provide long-term reliability and efficiency for the Streets Department Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Truck-Axle/Chassis 143,053 Upfit Cost $112,277 Contingency $9,670 Total $265,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2027 GO Note $255,000 Sale of Equipment $10,000 Totals $265,000 Total Cost $265,000 Budget Impact/Other The 2025 Budget initially projected a surplus of $1,212.59 and allocated $95,000 to Capital Improvement Projects. Given the substantial cost of replacing the Plow-Dump Truck, funding this purchase directly Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 53 from the Budget is not a viable option, but a combination of restructuring past Village debt, taking out a new bond for the Truck, and paying for it from the General Budget along with maybe increasing the Village Debt Levy is an option to look at. Current General Fund / Budget / Debt Status • 2025 Village Capital Improvement Plan (CIP) Budget (Outside of Borrowing): $95,000 o $60,000 allocated for street maintenance. o $35,000 allocated for land assessments. • General Fund Balance (2025 Start): ~$700,000 o ~$460,000 reserved for TID advances (2025–2030), leaving $15,000 available for one- time projects. • New Debt Without Restructuring: o Reduces the $95,000 yearly projected CIP budget for future projects unless the Debt Levy is increased. • Debt Levy Increase: o Increases property taxes but could free up funds within the levy budget to support other CIP projects, reducing the need for future borrowing. • Refinancing/Restructuring Existing Debt: o Could free up $45,000–$55,000 in funds within the General Budget by 2026, which could be used to offset debt payments or self-fund CIP projects. • Street Maintenance Funding Needs: o A minimum of $120,000 is required to replace two blocks of blacktop to avoid the need to borrow in the future. • Priority Projects: o The General Fund has higher-priority street projects from 2025 to 2027, making bonding, a Debt Levy increase, or a reduction of the $50,000 by the annual bond payment amount the only viable options for funding this project. General Fund Bonding Options: • 15-Year Street Bond ($255,000): o Annual Payment: $27,164 o Total Paid Over 15 Years: $407,447 o Total Interest Paid: $152,447 o Estimate based on 6.8% Bond: expected to be 5.5 to 6.5 pending market conditions o Debt Levy Impact of full $27,164: Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 54  $0.226 per $1,000 assessed value  $45.22 additional tax on a $200,000 home • 20-Year Street Bond ($255,000): o Annual Payment: $22,278 o Total Paid Over 20 Years: $445,547 o Total Interest Paid: $190,547 o Estimate based on 6.2% Bond (better bond rate the longer you go out): expected to be 5.5 to 6.5 pending market conditions o Debt Levy Impact of full $23,359:  $0.185 per $1,000 assessed value  $37.09 additional tax on a $200,000 home Alternative Cost-Reduction Strategies To mitigate the financial impact, the Village could explore alternative approaches. However, it is important to note that borrowing will still be required. While these options may reduce the total amount needed, they will still affect the Debt Levy, General Budget, and possibly property taxes. 1. Purchasing Used Equipment o A 5–10-year-old street sweeper may provide a cost-effective solution while maintaining necessary functionality. o While this would lower the borrowing amount, it would not eliminate the need for a loan, and a debt levy increase—though reduced—would still be required. o Additional considerations include the availability of suitable equipment, potential maintenance costs, and long-term reliability. Conclusion Given the financial constraints, the Village must carefully consider its approach to funding the Plow- Dump Truck replacement. While bonding or increasing the debt levy are viable options, they come with budgetary and taxpayer implications. Exploring used equipment may help reduce the financial burden but will not eliminate the need for borrowing. A detailed review of each option, including long-term cost projections and feasibility studies, is recommended before making a final decision. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 55 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 56 Capital Improvement/Capital Equipment Request Form Name of Project 2019 Dodge Durango Replacement Department Police Department Total Project Cost $65,000 to $71,000 Date Submitted 8/1/2024 Updated 3/15/2025 Village Management Rating: A Village Board Rating: C Utility Board Rating: Net Project Rating: 2.8 Description of Project/Justification: Purchase of a new police vehicle to replace an existing (oldest) out of date police vehicle currently in the police fleet of patrol cars. Vehicle is, or will be, used for patrol of Marathon City Officers or Directed Enforcement Officers. Existing police vehicles generally reach their useful enforcement service life after approximate 4 to 7 years or by attaining approximately 50000 miles or greater with high amounts of idle hours on the vehicle. Maintenance plans and maintenance budgets may increase to maintain proper maintenance on an outdated police vehicle. Staff assumption would be that the vehicle is worth between $15,000 to $20,000 in its current condition. The proposed vehicle will allow a continued, orderly, rotation of aging law enforcement fleet vehicles with newly acquired vehicles every 4 to 6 years that come with initial warranties that are reliable for officers to conduct public safety official business. This item is necessary to allow officers to respond to emergencies, conduct official business, or transport detained individuals. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Truck Cost (2024 quote) $45,500 to $50,000 Upfit Cost $13,500 to $15,000 Equipment/Radar Units $6,000-$6,300 for all, $2,500 to $3,450 for just an in-squad radar Total $65,000 to $71,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 2027 GO Note $47,000 Sale of Equipment $18,000 Totals $65,000 Total Cost $65,000 Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 57 Budget Impact/Other 2026 Budget Impact Analysis In 2026, the Budget impact of this project would result in a reduction of $47,000 from other General Fund levy areas. Additionally, Capital Improvements in 2025 would need to be scaled back to accommodate these financial adjustments. 2025 Budget Adjustments • The budget reallocated $35,700 towards the Village Land Assessment project. • To accommodate this shift, reductions were made in the following areas: o Engineering expenses (the reduction was deemed temporary) o Audit expenses (funds were shifted to other budget levy areas such as TIDs and Utilities, as they require audits and were previously covered by the general levy) o Street maintenance ($20,000 reduction) to offset inflationary costs (this reduction was also deemed temporary and was scheduled to increase back in 2026). 2026 Budget Considerations • The life insurance report received in February confirmed that rates have been frozen, providing some relief to the 2026 budget. • Other Park expenditures were shifted off the levy and transferred to park users, creating additional flexibility in the operating budget. • A temporary reduction Police Department in radio and maintenance supplies expenses by $8,500 would also be required for this purchase. (These funds for radios were taken from the PT Officer budget over the last 2 budget cycles. We are at a good place for radios currently. Any additional staff added, a new radio would be beneficial, but not necessarily needed for a PT Officer. I am working on a grant submittal to obtain radios, but there is no guarantee that will be awarded.) • Funding Constraints: If this project is scheduled for 2026, no other large Capital Improvement Project (CIP) outside of $60,000 street-related projects can be undertaken due to insufficient General Levy capacity. Conclusion Careful planning and prioritization will be necessary to ensure fiscal responsibility while maintaining essential services and infrastructure. The decision to proceed with this project in 2026 should consider these financial constraints and the impact on other necessary expenditures. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 58 Capital Improvement/Capital Equipment Request Form Name of Project 5th Street – Main St to Washington (pt. of East to Main) Department Streets Total Project Cost $120,000 Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: B Village Board Rating: B Utility Board Rating: Net Project Rating: 3.0 Description of Project/Justification: In 2024, the Village Streets Superintendent and Village Administrator conducted a comprehensive inspection of every street within the Village, marking damaged sections on a map. Following this assessment, the Village Administrator accompanied the Village’s contracted engineer to each identified section to determine the most effective repair solutions. This project outlines the estimated costs and recommended repairs based on the engineer’s evaluation. Additionally, this street the contracted engineer felt would make a good candidate for a county grant that can help reduce this cost. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 Construction $120,000 Professional Services Contingencies 10% Total $120,000 $120,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 General Fund Budget / Debt Levy $120,000 Totals $120,000 Total Cost $120,000 Budget Impact/Other The 2025 budget initially allocated $95,000 for Capital Improvements, with the condition that no borrowing would be required as long as expenses remained within this limit. The Village is exploring debt restructuring to free up an additional $45,000 to $55,000 annually within the Operating Budget. The goal is to increase annual funding for street projects to $120,000. However, despite this planned increase from $60,000 to $120,000, the Budget remains constrained due to two large scheduled projects in 2026-2027. As a result, funding for this project is unlikely unless the debt levy is increased. General Fund Bonding / Debt Levy Options Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 59 • 15-Year Street Bond ($302,996.11): o Annual Payment: $32,276 o Total Paid Over 15 Years: $484,137 • Debt Levy Impact (if used over 15 years): o $0.26865 per $1,000 assessed value o $53.74 additional tax on a $200,000 home An alternative option would be to reconstruct smaller sections, perhaps the worst one or two blocks each year, which would lower the cost. However, this approach would not eliminate the need for borrowing unless we can fit it within the operating space of the General Fund Budget, and the only way to do that between 2025 – 2027 is to postpone another project of that cost. Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 60 Capital Improvement/Capital Equipment Request Form Name of Project 1994 Steiner Utility Tractor Department Streets Total Project Cost $60,000 Date Submitted 8/1/2024 Updated 3/31/2025 Village Management Rating: C Village Board Rating: D Net Project Rating: 1.5 Description of Project/Justification: The Village Streets Department currently uses a 1994 Steiner Utility Tractor for snow removal, grass cutting, and various other tasks. While the tractor has been well-maintained and continues to operate efficiently for its age, it has far exceeded its expected lifespan. To ensure better performance and reliability, the Village should consider replacing it with a newer model that meets operational needs more effectively. Prior Expenditures FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 New Utility Tractor $60,000 Total $60,000 Prior Funding FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 General Fund Budget / Debt Levy $2,000 2027 GO Note $58,000 Totals $60,000 Total Cost $60,000 Budget Impact/Other The 2025 Budget initially allocated $95,000 for Capital Improvements, with the condition that no borrowing would be required as long as expenses remained within this limit. The Village is exploring debt restructuring to free up an additional $45,000 to $55,000 annually within the Operating Budget. The goal is to increase annual funding for street projects to $120,000. However, despite this planned increase from $60,000 to $120,000, the Budget remains constrained due to two large scheduled projects in 2026-2027. As a result, funding for this project is unlikely unless the debt levy is increased. General Fund Bonding / Debt Levy Options • 15-Year Street Bond ($60,000): o Annual Payment: $6,392 o Total Paid Over 15 Years: $95,870 • Debt Levy Impact (if used over 15 years): o $0.053 per $1,000 assessed value o $10.64 additional tax on a $200,000 home Capital Plan FY 25 thru FY 29 Village of Marathon City, WI Page | 61 VILLAGE OF MARATHON CITY RESOLUTION NO. 2025-07-02A MARATHON CITY 2025 – 2029 CAPITAL IMPROVEMENT PLAN WHEREAS: The Village Board through strategic planning identified the continued investment in the Village’s Capital Infrastructure as a core goal of the community; and WHEREAS: The Management Team and staff analyzed the existing infrastructure, municipal buildings, and new equipment needs of the Village; and WHEREAS: The Management Team after deliberate comparison of the data against the stated goals of the Village Board did recommend to the Village Board a Capital Improvement Plan from 2025 through 2027; and WHEREAS: The Village Board took site visits to examine the project areas, reviewed the CIP plan and prioritized the urgency of the projects to construct a 2025 – 2029 CIP; and WHEREAS: The Village Board reviewed financing and restructuring of existing debt to fund the first two-year 2025-2027 funding cycle along with leaving the debt structure with the ability to fund the next projects in the 2028-2029 funding cycle to be approved in 2027, and WHEREAS: The Village Board developed a final plan listing estimated costs and timing of such projects, in comparison with Village financial ability. NOW, THEREFORE, BE IT RESOLVED by the Village Board of the Village of Marathon City, Marathon County, Wisconsin, that: The Capital Improvement Program covering the years 2025 to 2029 is adopted as presented and Village Staff is directed to carry out the intent of that plan. The Village Board in 2027 at the appropriate time will review, update a 2027 to 2031 CIP , and authorize the 2028-2029 two-year funding cycle to ensure consistency with the goals of the community, financial flexibility, and efficient and timely completion of the plan. The Village Board hereby authorizes the 2025 - 2027 funding and borrowing cycle portion of the plan in order to allow staff sufficient time to efficiently implement that work and the detailed borrowing structure/design for that two-year cycle to be brought forth to the Finance Committee and Village Board for approval. ADOPTED APPROVED_______________________________ Kurt Handrick, Jr., Village President ATTEST_______________________________ Cassie Lang, Clerk / Deputy Treasurer Year PROJECT LIMITS Department Future GO NoteMSID Grant 50/50 Split General Fund Budget Sale of Equiptment/ capital American legion / Park contract Donation/Park fund (500) TID 1 - Bond Water Budget Sewer Budget Utility Fund Balance / Reserve Fund Water Loan Sewer Loan (rate increase) DNR Safe Drinking Water Loan (low interest rate) Total Project Cost Notes 2030 5th Spruce Street to Main Street Public Works $417,949.84 $417,949.84 Maybe do the very bad parts under the budget. $120K gets two block done at a time. No room within budget. 2030 5th - Washigton Street to Hickory St (part of Main to East St project due to self funding) Public Works $60,000.00 $60,000.00 Maybe do the very bad parts under the budget. $120K gets two block done at a time. No room within budget. 2030 5th - Chestnut Street to East Street Public Works $60,000.00 $60,000.00 2030 Water Plant Chemical Room Upgrade Water Utility $21,000.00 $70,000.00 $91,000.00 2030 Ordinance- Codification, Supplementation, and Online Hosting Administration $32,334.00 $32,334.00 Needed, no budget space 2031 Washington Street Reconstruction (6th St to 7th St) Public Works $28,575.00 $120,000.00 $66,090.50 $66,090.50 $280,756.00 Removed due to General Fund Situation. Note: Large inflation if project is pushed back. Utility can pay its part of the project, not Streets. 2031 2002 CAT Loader/Plow VOM $380,000.00 $380,000.00 2032 2023 Dodge Durango Replacement Public Safety $47,000.00 $18,000.00 $65,000.00 2032 Water Main Loop Project Water Utility $927,725.00 $927,725.00 Water Rate increase needed or grant funding 2032 Spruce St - 4th to 5th Public Works $39,497.92 $39,497.92 2032 Walnut / Maraview Dr (Culvert Replacement) Public Works $15,000.00 $15,000.00 2032 Chestnut Street - 6th to 7th Public Works $51,777.88 $51,777.88 2033 Pine Street – 3rd to 4th Public Works $67,513.60 $67,513.60 2033 7th Street – Chestnut Street to Washington Public Works $197,520.40 $197,520.40 2033 6th Street – Washington Street to Hickory Street Public Works $93,216.82 $93,216.82 2034 Hickory Street – 6th to 7th Public Works $89,615.68 $89,615.68 2034 Pine Street – 2nd North to Cul-De-Sac Public Works $40,823.06 $40,823.06 2035 Hemlock Street – 8th to 7th Public Works $103,882.24 $103,882.24 2035 Washington Street – 2nd to 3rd Public Works $89,763.52 $89,763.52 2036 Hickory Street – 1st to 2nd Public Works $54,445.16 $54,445.16 ? 1990 Idaho Norland loader Mounted Snow Blower VOM $175,000.00 $175,000.00 ? Drainage Retention Pond - Culvert – 4th Street Public Works $30,000.00 $30,000.00 $1,246,045.24 $0.00 $917,869.88 $18,000.00 $0.00 $0.00 $0.00 $21,000.00 $0.00 $70,000.00 $66,090.50 $993,815.50 $0.00 $3,332,821.12 2030 to 2035 and up - All Projects to be Re-Evaluated in 2027 Funding cycle and could change pending board decision at that time Total Cost Village of Marathon City - G.O. Notes 2025 June 19, 2025 • Discuss proposed capital projects and potential refunding opportunities for the 2025 G.O. Promissory Notes • Review the Village’s current levy-supported debt obligations • Review structuring goals of the 2025 G.O. Notes and anticipated future borrowing • Review refunding objectives and review TID 1 cash flow • Difference between Issuing public securities vs. local bank loans • Review the preliminary issuance timeline 2 Objectives 3 Current Outstanding Debt – Levy Supported 4 G.O. Promissory Notes, Series 2025A – Levy Supported o Assumes the Village borrows for police and plow vehicles in 2027 ‐ $340,000 G.O.  Note. o Deferring principal increases total interest paid over the term of the Notes.  5 2025 G.O. Promissory Notes – Debt Service Schedule Year Ending Principal Est.  Rate Interest Total 2026 165,000 3.950% 291,300 456,300 2027 210,000 3.950% 226,523 436,523 2028 180,000 3.950% 218,228 398,228 2029 495,000 3.950% 211,118 706,118 2030 535,000 4.050% 191,565 726,565 2031 460,000 4.100% 169,898 629,898 2032 450,000 4.150% 151,038 601,038 2033 595,000 4.200% 132,363 727,363 2034 620,000 4.300% 107,373 727,373 2035 655,000 4.350% 80,713 735,713 2036 135,000 4.450% 52,220 187,220 2037 140,000 4.500% 46,213 186,213 2038 140,000 4.550% 39,913 179,913 2039 145,000 4.600% 33,543 178,543 2040 155,000 4.700% 26,873 181,873 2041 80,000 4.800% 19,588 99,588 2042 85,000 4.850% 15,748 100,748 2043 90,000 4.900% 11,625 101,625 2044 70,000 4.950% 7,215 77,215 2045 75,000 5.000% 1,875 76,875 Total 5,480,000 2,034,925 7,514,925 Dated Date: 8/1/2025 First Interest Payment: 5/1/2026 First Principal Payment: 11/1/2026 True Interest Cost (TIC): 4.54% All Inclusive Cost (AIC):  4.76% Sources Transfers from Prior Debt Service Funds 75,019 Planned Issuer Cash (grant) contribution 219,757 Par Amount of Bonds 5,480,000       Total Sources $5,774,776 Uses Total Underwriter's Discount  68,500            Costs of Issuance 79,850             Deposit to Project Construction Fund 1,475,143       Deposit to Current Refunding Fund 4,147,665       Rounding 3,618               Total Uses 5,774,776       Issue Summary Sources and Uses Now financing $368K street sweeper option **Rates are “NR” + 50 bps 6 2025 Capital Projects Street Maintenance ‐ $54,648 (Levy ‐ 10 Year Term) Street Sweeper ‐ $368,000 (Levy ‐ 15 Year Term) Park Project ‐ $258,282 (Levy –2 0 Year Term) Sewer CIP Project ‐ $674,213 (Sewer –2 0 Year Term –f i r s t two years interest only) Water CIP Project ‐ $120,000 (Water –1 0 Year Term) Total Capital Projects funded by 2025 Notes: $1,475,143 7 2025 Current Refunding Candidates G.O. Promissory  Note, Series 2023C  (Water) • Refunding to  restructure final  maturity –f r o m  2029 to 2035 • Goal: Lower debt  payments to ease  revenue  requirements on  water utility fund •P a y m e n t s from  approx. $71K to  $28K •S a v i n g s are  relatively even G.O. Promissory  Note, Series 2023B  (Streets) • Refunding to  restructure final  maturity –f r o m  2029 to 2035 • Goal: Lower debt  payments to  achieve more  uniform total debt  levy in 2026‐2030. •P a y m e n t s from  approx. $69K to  $27K •S a v i n g s are  relatively even G.O. Promissory  Note, 2023A (TID 1) • Refunding ballon  payment due in  2033 • Goal: to maximize  lower rates to  amortize the  balloon maturity  out to 2034 and  2035 • Balloon maturity  will need to be  extended at some  point unless TID  generates enough  cash to pay the  $1.267MM G.O. Promissory  Note, Series 2024B  • Refund $829,212 in  Street and Park  improvements • Village plans to Contribute  $219,757 in grant  funds toward  refunding • Goal: Balloon  payment due in  2026 and will need  to be refinanced G.O. Promissory  Note, Series 2024A  (Fire) • Goal: refund for  savings  8 2025 Current Refunding - $2,500,000 G.O. Prom Note, Ser23A (TID 1) Prior  Issue  Total  DS Funds Savings Year Rate Total  P&I Year Rates Total 2025 0.00% 0 2025 - 0 0 2026 5.20% 180,000 2026 3.95% 176,469 3,531 2027 5.20% 170,000 2027 3.95% 167,595 2,405 2028 5.20% 165,000 2028 3.95% 160,225 4,775 2029 5.20% 470,000 2029 3.95% 468,053 1,948 2030 5.20% 420,000 2030 4.05% 418,635 1,365 2031 5.20% 325,000 2031 4.10% 320,270 4,730 2032 5.20% 325,000 2032 4.15% 320,225 4,775 2033 5.20% 1,267,658 2033 4.20% 459,643 808,015 2034 2034 4.30% 462,633 (462,633) 2035 2035 4.35% 464,358 (464,358) Total 3,322,658 Total 3,418,104 (95,446) Notes: Plus Rounding (2,417) *Assumes "NR" rates + 50 bps  FUTURE VALUE SAVINGS NET OF COSTS (97,863) Existing Debt Service Proposed  Debt Service   Be Refunded (No Longer  Pa After  Refunding  (to be Paid) Issue $2,500,000  G.O.  Promissory Note,  Ser23A Issue G.O. Promissory  Notes, Series 2025A The projected negative savings is driven by the assumption that the Village pays in cash the 2033 maturity  ($1,267,658 ) of the 2023A Note. 9 2025 Current Refunding - $2,500,000 G.O. Prom Note, Ser23A (TID 1) REVENUES Projected Intergov. TID No. 1 Projected Additional Payments / Valuation Revenue New Value Tax Tax General Fund Other Year Year Valuation Increment Rate Increment Advances Revenues 2023 2024 2024 2025 - 45,971,100 17.92 823,863 54,246 71,220 2025 2026 - 45,971,100 17.92 823,863 131,052 71,220 2026 2027 8,050,000 54,021,100 17.92 968,130 71,220 2027 2028 - 54,021,100 17.92 968,130 71,220 2028 2029 - 54,021,100 17.92 968,130 71,220 2029 2030 - 54,021,100 17.92 968,130 71,220 2030 2031 - 54,021,100 17.92 968,130 71,220 2031 2032 - 54,021,100 17.92 968,130 71,220 2032 2033 - 54,021,100 17.92 968,130 71,220 2033 2034 - 54,021,100 17.92 968,130 71,220 2034 2035 - 54,021,100 17.92 968,130 71,220 Refunded Total $1,873,000 $4,000,000 $2,520,000 $500,000 $2,500,000 General Other Tax Tax Inc. Tax Inc. Total Remaining G.O. State Trust G.O. G.O. Development Fund Est. Increment Revenue Revenue TID No. 1 TID No. 1 Ref. Bonds Fund Loan Prom. Note Prom Notes Agreement Advance TID 1 Annual Cumulative Revenues 2020 2022 Rev. Debt Revenues 2013 2015 2023 2025 Payments Repayment Expenses Total Balance Balance - - 188,535 949,330 211,190 180,406 391,595 557,734 248,675 65,880 160,000 31,250 - 51,929 557,734 - 188,535 1,026,135 532,313 249,433 781,746 244,389 180,000 176,469 31,250 - 33,139 240,858 3,531 192,066 1,039,350 541,435 245,738 787,173 252,177 170,000 167,595 31,250 - 33,139 231,984 20,193 212,260 1,039,350 243,127 237,042 480,169 559,181 165,000 160,225 31,250 - 33,139 224,614 334,567 546,827 1,039,350 533,541 533,541 505,809 470,000 468,053 - 33,139 501,192 4,617 551,444 1,039,350 628,370 628,370 410,980 420,000 418,635 - 33,139 451,774 (40,794) 510,650 1,039,350 623,920 623,920 415,430 325,000 320,270 - 33,139 353,409 62,021 572,671 1,039,350 628,887 628,887 410,463 325,000 320,225 - 33,139 353,364 57,099 629,770 1,039,350 627,881 627,881 411,469 1,267,658 459,643 - 33,139 492,782 (81,312) 548,458 1,039,350 626,097 626,097 413,253 462,633 - 33,139 495,772 (82,518) 465,940 1,039,350 628,535 628,535 410,815 464,358 252,486 33,139 749,982 (339,167) 126,773 PRIMARY USE OF TID 1 REVENUES SECONDARY USE OF TID 1 REVENUES 10 G.O. Debt Capacity Limit Analysis • Includes $5.480MM 2025 G.O. Notes and $340K 2027 G.O.  Note  • 2024 Equalized Value $229 million • Debt Limit = EV*5% = $11.436 million • No growth assumed in EV for future years • Issuing Notes at the local bank  Local banks prefer purchasing debt that matures within 10 years  Low cost of issuance with higher interest rates  Flexible Terms – No Prepayment Penalty  Ideal for smaller loan size  Buy and Hold • Issuing Notes in Capital Markets  Low interest rates with higher cost of issuance  Access to larger pool of capital  More restrictive call dates  Ideal for larger issues  Securities are tradable – Liquid market  Village has experience issuing in the Capital Markets 11 Methods of Financing 12 • July 2 – Approve CIP and finance plan and adopt initial resolutions • Week of July 21 –Due Diligence Call to Review Official Statement • July 30 – Distribute Official Statement • August 6 – Day of sale • August 27 – Estimated closing date Tentative Timeline 13 A Q & 14 Ehlers is the joint marketing name of the following affiliated businesses (collectively, the “Affiliates”): Ehlers & Associates, Inc. (“EA”), a municipal advisor registered with the Municipal Securities Rulemaking Board (“MSRB”) and the Securities and Exchange Commission (“SEC”); Ehlers Investment Partners, LLC (“EIP”), an SEC registered investment adviser; and Bond Trust Services Corporation (“BTS”), a holder of a limited banking charter issued by the State of Minnesota. Where an activity requires registration as a municipal advisor pursuant to Section 15B of the Exchange Act of 1934 (Financial Management Planning and Debt Issuance & Management), such activity is or will be performed by EA; where an activity requires registration as an investment adviser pursuant to the Investment Advisers Act of 1940 (Investments and Treasury Management), such activity is or will be performed by EIP; and where an activity requires licensing as a bank pursuant to applicable state law (paying agent services shown under Debt Issuance & Management), such activity is or will be performed by BTS. Activities not requiring registration may be performed by any Affiliate. This communication does not constitute an offer or solicitation for the purchase or sale of any investment (including without limitation, any municipal financial product, municipal security, or other security) or agreement with respect to any investment strategy or program. This communication is offered without charge to clients, friends, and prospective clients of the Affiliates as a source of general information about the services Ehlers provides. This communication is neither advice nor a recommendation by any Affiliate to any person with respect to any municipal financial product, municipal security, or other security, as such terms are defined pursuant to Section 15B of the Exchange Act of 1934 and rules of the MSRB. This communication does not constitute investment advice by any Affiliate that purports to meet the objectives or needs of any person pursuant to the Investment Advisers Act of 1940 or applicable state law. Important Disclosures Village of Marathon City - G.O. Notes 2025July 2, 2025 • Discuss proposed 2025 G.O. Promissory Notes• Review the preliminary issuance timeline• Adopt resolution providing the sale of approximately $5,485,000 General Obligation Promissory Notes, Series 2025A 2 Objectives 3 2025 Capital Projects Street Maintenance - $54,648 (Levy - 10 Year Term) Street Sweeper - $370,000 (Levy - 15 Year Term) Park Project - $258,282 (Levy – 20 Year Term) Sewer CIP Project - $674,213 (Sewer – 20 Year Term – first two years interest only) Water CIP Project - $120,000 (Water – 10 Year Term) Total Capital Projects funded by 2025 Notes: $1,477,143 4 2025 Current Refunding Candidates G.O. Promissory Note, Series 2023C (Water) • Refunding to restructure final maturity – from 2029 to 2035 • Goal: Lower debt payments to ease revenue requirements on water utility fund and to better match term with useful life of asset • Payments from approx. $71K to $28K • Rate on 2023C Note = 6.1% G.O. Promissory Note, Series 2023B (Streets) • Refunding to restructure final maturity – from 2029 to 2035 • Goal: Lower debt payments to achieve more uniform total debt levy in 2026-2030 and to better match term with useful life of asset • Payments from approx. $69K to $27K • Rate on 2023B Note = 6.1% G.O. Promissory Note, 2023A (TID 1) • Refunding ballon payment due in 2033 • Goal: to maximize lower rates to amortize the balloon maturity out to 2034 and 2035 • Balloon maturity will need to be extended at some point unless TID generates enough cash to pay the $1.267MM • Rate on 2023A Note = 5.2% G.O. Promissory Note, Series 2024B • Refund $829,212 in Street and Park improvements • Village plans to Contribute $219,757 in grant funds toward refunding • Goal: Balloon payment due in 2026 and will need to be refinanced G.O. Promissory Note, Series 2024A (Fire) • Goal: refund for savings • Rate on 2024A Note = 6.5% 5 2025 G.O. Promissory Notes – Debt Service Schedule **Rates are “NR” + 50 bps YearEnding Principal Est. Rate Interest Total2026 200,000 3.950% 216,228 416,2282027 220,000 3.950% 225,160 445,1602028 185,000 3.950% 216,470 401,4702029 500,000 3.950% 209,163 709,1632030 525,000 4.050% 189,413 714,4132031 460,000 4.100% 168,150 628,1502032 445,000 4.150% 149,290 594,2902033 590,000 4.200% 130,823 720,8232034 615,000 4.300% 106,043 721,0432035 650,000 4.350% 79,598 729,5982036 130,000 4.450% 51,323 181,3232037 135,000 4.500% 45,538 180,5382038 135,000 4.550% 39,463 174,4632039 140,000 4.600% 33,320 173,3202040 150,000 4.700% 26,880 176,8802041 80,000 4.800% 19,830 99,8302042 90,000 4.850% 15,990 105,9902043 90,000 4.900% 11,625 101,6252044 70,000 4.950% 7,215 77,2152045 75,000 5.000% 3,750 78,750Total 5,485,000 1,945,268 7,430,268 Dated Date: 8/27/2025First Interest Payment: 8/1/2026First Principal Payment: 8/1/2026True Interest Cost (TIC):4.55%All Inclusive Cost (AIC): 4.77%SourcesTransfers from Prior Debt Service Funds 75,019Planned Issuer Cash (grant) contribution 219,757Par Amount of Bonds 5,485,000 Total Sources $5,779,776UsesTotal Underwriter's Discount 68,563 Costs of Issuance 77,600 Deposit to Project Construction Fund 1,477,143 Deposit to Current Refunding Fund 4,154,258 Rounding 2,212 Total Uses 5,779,776 Issue SummarySources and Uses 6 G.O. Promissory Notes, Series 2025A – Levy Supported oAssumes the Village borrows for police and plow vehicles in 2027 - $340,000 G.O. Note.oDeferring principal increases total interest paid over the term of the Notes. $0.00$0.20$0.40$0.60$0.80$1.00$1.20$1.40$1.60$1.80$2.00050,000100,000150,000200,000250,000300,000350,0002025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045Levy and Tax Rate for Debt Service (Estimated) Existing Debt (Net Levy)2025 GO Notes2027 G.O. NotesTax Rate 7 G.O. Debt Capacity Limit Analysis •Includes $5.485MM 2025 G.O. Notes and $340K 2027 G.O. Note •2024 Equalized Value $229 million•Debt Limit = EV*5% = $11.436 million•No growth assumed in EV for future years 11,435,740 02,000,0004,000,0006,000,0008,000,00010,000,00012,000,00014,000,0002025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045GO Debt Limit Analysis Existing Prin. Outs.New Prin. Outs.Debt Limit 8 2025 Current Refunding - $2,500,000 G.O. Prom Note, Ser23A (TID 1)TID # 1 CashflowCreation Date (Board Approval) January 3, 2002End of Expenditure Period January 3, 2023 (Extended to 2022 with 2021 State Law)Maximum Life of District (Termination Date) January 3, 2035 (Extended to 2035 with 2021 State Law)Final Revenue Collection Year 2035 (Extended to 2035 with 2021 State Law)REVENUESProjectedIntergov.TID No. 1 ProjectedAdditionalPayments / Valuation RevenueNewValue Tax TaxGeneral FundOther Year YearValuationIncrement Rate IncrementAdvancesRevenues2023 20242024 2025- 45,971,100 17.92823,863 54,246 71,220 2025 2026- 45,971,100 17.92 823,863 131,052 71,220 2026 20278,050,000 54,021,100 17.92 968,130 71,220 2027 2028- 54,021,100 17.92 968,130 71,220 2028 2029- 54,021,100 17.92 968,130 71,220 2029 2030- 54,021,100 17.92 968,130 71,220 2030 2031- 54,021,100 17.92 968,130 71,220 2031 2032- 54,021,100 17.92 968,130 71,220 2032 2033- 54,021,100 17.92 968,130 71,220 2033 2034- 54,021,100 17.92 968,130 71,220 2034 2035- 54,021,100 17.92 968,130 71,220 Total$1,873,000 $4,000,000$2,520,000 $500,000GeneralOtherTaxTax Inc. Tax Inc. TotalRemainingG.O. State Trust G.O. DevelopmentFundEst.IncrementRevenue Revenue TID No. 1 TID No. 1Ref. Bonds Fund Loan Prom Notes AgreementAdvanceTID 1Annual Cumulative RevenueRevenues2020 2022 Rev. DebtRevenues2013 2015 2025 PaymentsRepaymentExpenses TotalBalance Balance Year- - 188,535 2024949,330 211,190 180,406 391,595 557,734 248,675 65,880 31,250 - 51,929 397,734 160,000 348,535 20251,026,135 532,313 249,433 781,746 244,389 151,657 31,250 - 33,139 216,046 28,343 376,878 20261,039,350 541,435 245,738 787,173 252,177 167,595 31,250 - 33,139 231,984 20,193 397,072 20271,039,350 243,127 237,042 480,169 559,181 160,225 31,250 - 33,139 224,614 334,567 731,639 20281,039,350 533,541 533,541 505,809 468,053 - 33,139 501,192 4,617 736,256 20291,039,350 628,370 628,370 410,980 418,635 - 33,139 451,774 (40,794) 695,462 20301,039,350 623,920 623,920 415,430 320,270 - 33,139 353,409 62,021 757,483 20311,039,350 628,887 628,887 410,463 320,225 - 33,139 353,364 57,099 814,582 20321,039,350 627,881 627,881 411,469 459,643 - 33,139 492,782 (81,312) 733,270 20331,039,350 626,097 626,097 413,253 462,633 - 33,139 495,772 (82,518) 650,752 20341,039,350 628,535 628,535 410,815 464,358 252,486 33,139 749,982 (339,167) 311,585 2035PRIMARY USE OF TID 1 REVENUES SECONDARY USE OF TID 1 REVENUES 9 •••••Tentative Timeline 10 & Ehlers is the joint marketing name of the following affiliated businesses (collectively, the “Affiliates”): Ehlers & Associates, Inc. (“EA”), a municipal advisor registered with the Municipal Securities Rulemaking Board (“MSRB”) and the Securities and Exchange Commission (“SEC”); Ehlers Investment Partners, LLC (“EIP”), an SEC registered investment adviser; and Bond Trust Services Corporation (“BTS”), a holder of a limited banking charter issued by the State of Minnesota.Where an activity requires registration as a municipal advisor pursuant to Section 15B of the Exchange Act of 1934 (Financial Management Planning and Debt Issuance & Management), such activity is or will be performed by EA; where an activity requires registration as an investment adviser pursuant to the Investment Advisers Act of 1940 (Investments and Treasury Management), such activity is or will be performed by EIP; and where an activity requires licensing as a bank pursuant to applicable state law (paying agent services shown under Debt Issuance & Management), such activity is or will be performed by BTS. Activities not requiring registration may be performed by any Affiliate.This communication does not constitute an offer or solicitation for the purchase or sale of any investment (including without limitation, any municipal financial product, municipal security, or other security) or agreement with respect to any investment strategy or program. This communication is offered without charge to clients, friends, and prospective clients of the Affiliates as a source of general information about the services Ehlers provides. This communication is neither advice nor a recommendation by any Affiliate to any person with respect to any municipal financial product, municipal security, or other security, as such terms are defined pursuant to Section 15B of the Exchange Act of 1934 and rules of the MSRB. This communication does not constitute investment advice by any Affiliate that purports to meet the objectives or needs of any person pursuant to the Investment Advisers Act of 1940 or applicable state law. Important Disclosures VILLAGE OF MARATHON CITY RESOLUTION NO. 2025-07-02A MARATHON CITY 2025 – 2029 CAPITAL IMPROVEMENT PLAN WHEREAS: The Village Board through strategic planning identified the continued investment in the Village’s Capital Infrastructure as a core goal of the community; and WHEREAS: The Management Team and staƯ analyzed the existing infrastructure, municipal buildings, and new equipment needs of the Village; and WHEREAS: The Management Team after deliberate comparison of the data against the stated goals of the Village Board did recommend to the Village Board a Capital Improvement Plan from 2025 through 2027; and WHEREAS: The Village Board took site visits to examine the project areas, reviewed the CIP plan and prioritized the urgency of the projects to construct a 2025 – 2029 CIP; and WHEREAS: The Village Board reviewed financing and restructuring of existing debt to fund the first two-year 2025-2027 funding cycle along with leaving the debt structure with the ability to fund the next projects in the 2028-2029 funding cycle to be approved in 2027, and WHEREAS: The Village Board developed a final plan listing estimated costs and timing of such projects, in comparison with Village financial ability. NOW, THEREFORE, BE IT RESOLVED by the Village Board of the Village of Marathon City, Marathon County, Wisconsin, that: The Capital Improvement Program covering the years 2025 to 2029 is adopted as presented and Village StaƯ is directed to carry out the intent of that plan. The Village Board in 2027 at the appropriate time will review, update a 2027 to 2031 CIP , and authorize the 2028-2029 two-year funding cycle to ensure consistency with the goals of the community, financial flexibility, and eƯicient and timely completion of the plan. The Village Board hereby authorizes the 2025 - 2027 funding and borrowing cycle portion of the plan in order to allow staƯ suƯicient time to eƯiciently implement that work and the detailed borrowing structure/design for that two-year cycle to be brought forth to the Finance Committee and Village Board for approval. ADOPTED APPROVED_______________________________ Kurt Handrick, Jr., Village President ATTEST_______________________________ Cassie Lang, Clerk / Deputy Treasurer QB\97152660.2 RESOLUTION NO. 2025-07-02B RESOLUTION PROVIDING FOR THE SALE OF APPROXIMATELY $5,485,000 GENERAL OBLIGATION PROMISSORY NOTES, SERIES 2025A WHEREAS the Village of Marathon City, Marathon County, Wisconsin (the "Village") is presently in need of approximately $5,485,000 for public purposes, including paying the cost of (1) street, park, sewer system and water system projects and the acquisition of equipment (collectively, the "Project") and (2) refunding certain outstanding obligations of the Village (the "Refunding"); and WHEREAS it is desirable to borrow said funds through the issuance of general obligation promissory notes pursuant to Chapter 67, Wisconsin Statutes. NOW, THEREFORE, BE IT RESOLVED by the Village Board of the Village that: Section 1. Issuance of the Notes. The Village shall issue its General Obligation Promissory Notes, Series 2025A (the "Notes") in an amount of approximately $5,485,000 for the Project and the Refunding. Section 2. Sale of the Notes. The Village Board hereby authorizes and directs that the Notes be offered for public sale. At a subsequent meeting, the Village Board shall consider such bids for the Notes as may have been received and take action thereon. Section 3. Notice of Sale. The Village Clerk (in consultation with Ehlers & Associates, Inc. ("Ehlers")) be and hereby is directed to cause notice of the sale of the Notes to be disseminated in such manner and at such times as the Village Clerk may determine and to cause copies of a complete Notice of Sale and other pertinent data to be forwarded to interested bidders as the Village Clerk may determine. Section 4. Official Statement. The Village Clerk (in consultation with Ehlers) shall cause an Official Statement to be prepared and distributed. The appropriate Village officials shall determine when the Official Statement is final for purposes of Securities and Exchange Commission Rule 15c2-12 and shall certify said Official Statement, such certification to constitute full authorization of such Official Statement under this resolution. Section 5. Reimbursement. The Village Board hereby officially declares its intent pursuant to Treasury Regulation Section 1.150-2 to reimburse any expenditures made in connection with the Project prior to the issuance of the Notes with the proceeds of the Notes in an amount not to exceed $1,520,000. Adopted, approved and recorded July 2, 2025. _____________________________ Kurt Handrick Jr. President ATTEST: ____________________________ Cassie Lang (SEAL) Village Clerk