Greenfield short $36,000 for railroad expenses

The village of Greenfield may have to appropriate approximately $36,000 to cover bills related to the railroad system that were "held back" following a crash by the village's computer system. 

Greenfield City Manager Betty Bishop reported to the Greenfield Village Council during their regular meeting this week that council's finance committee needs to meet in the coming week to determine where the additional costs may come from, until funds can be received from the railway during the next quarter. 

"We need to look for extra money for the railroad fund. Some bills had been held back and when the computers on the old system crashed it was impossible for us to get a handle on the needs until now," Bishop said. "We would like to meet with the finance as quickly as possible to see if funds could be appropriated to handle the excess costs incurred in the railroad funds."

Council will have to hold a special session in order to consider legislation for the proposed appropriations. 

Bishop said that there is presently approximately $10,000 in the village's rail fund. 

Greenfield has a meeting scheduled this month with the Federal Railroad Administration, Bishop said, and council needs to meet prior to that inspection deadline. 

During the end of 2010 and into 2011 Greenfield began switching software for its finance office from an out-of-date program that could no longer be updated to a more current one. The office and finance committee has reported that the changeover in the systems has been difficult.

Bishop said that Greenfield has worked with the Indiana and Ohio Railway (I&O), which services the rail lines, "on getting the billing cycle worked out. They assure me that we have it right now."

The city currently owes Fritz-Rumer-Cooke Co. Inc., a company which makes rail repairs, just under $25,000. 

"There is not enough rail funds to pay Fritz-Rumer-Cooke," Bishop said. "I am not saying FRC bills are too high, because we had a lot of storm damage such as wash-outs and trees down that made the costs so high.

Additional expenses include at $2,500 insurance payment, and federally mandated replacement of "crossbucks," the reflective signage at street and railroad crossings.

"The crossbuck program has to be done by Jan. 1, 2012," Bishop said. "This will cost around $3,239.42. (The) Rail commission will reimburse up to $138.52 per crossbuck assembly. Most, if not all, should be reimbursed. (A) federal inspector has been in and ordered us to cut the brush along the entire line. This is a yearly problem and this will continue to be the (village's) obligation. We have an estimate of $20,000 to get this done." 

Bishop said that the city cannot do the brush-cutting along the lines in-house, and that it must be contracted out. 

"Getting our contract together with ReLTEK (a firm which does economic development services for smaller railroads) took longer than planned. Now thy are starting to look at our avenues to collect along the rail line. Hopefully, that will help some, but I do not look for big bucks," Bishop said. "We have been working with contractors to get the projects complete that have been funded, and to make sure all the work is done. We did not renew the FRC contract and are still working with attorneys to get the recommendation of a new contract in place for operations, which will include many of our maintenance issues. We are presently operating under the 2009 operating agreement."

A finance committee has not yet been scheduled to discuss the matter. Bishop said that taking funds out of the general fund is an option, but the decision is council's to make. 

In other business: 

• Council member Bob Bergstrom said that the village's board of zoning met on Aug. 29 for a reorganizational meeting, and to consider a request for a variance on curbs, gutters and sidewalks by Dollar General. 

Bergstrom said that under Greenfield's form of government, the board operates under the umbrella of the city, but is not a part of council. Its member include Bergstrom, as the council representative, Steve Pearce and Mark Hunter. 

The committee considered granting the variance, he said, but then after some discussion determined that, "We have to make a stand. This is what the ordinance says, and we will not grant a variance (to allow them to not construct sidewalks). 

Bergstrom said that under Greenfield's old form of government, council would have to approve the matter, but the current form gives the board the finance decision. 

"The board of zoning has the final say," Bergstrom said, and if Dollar General would want to pursue the matter further, a court would be the next step. 

• Bishop reported that only two people have sought to be put on the ballot to run for Greenfield Council, though there are three open spots. As previously reported by The Highland County Press, council will appoint a the third person to fill the open seat in January. Bishop said council would likely take applications for the position.