Mayor Martin Tice said he wanted the record to show that he was "deeply disappointed" that Dale Yager of Rural Development didn't show up to admit his mistakes in seeking the 3.5 percent, but instead had Sarah Steele, bond counsel, come to the meeting to make the announcement.

Steele said the council could use local financing to see if the economic environment changed for the better again after the election, but also warned that the $500,000 grant money for the project required the bond issue, too.

The council elected to pass the bond resolution, 5-0, rather than chance yet another rate increase. Members told each other the 4.25 rate was what they had expected originally anyway.

The council had a payment request for $112,751 from the firm, Walters Morgan, for first payment on its work in the water plant upgrade.

Clerk Angela Lange told councilors she would have the money for it with the first transfer of funds Oct. 12, so they approved payment then.

The council approved, 4-1, the continued services of the firm Swindoll, Jantzen, Hawke & Loyd as city auditors at $12,600 a year with an additional $5,000 for special audits that will be required with water plant upgrades.

Councilor Bill Holdeman voted against the recommendation, apparently at the suggestion that bids could be sought.

The council approved a request from Lange that she be allowed to donate the old electric stoves from the city building because they have been replaced by stoves from Elgin Apartments.

Rodney Richmond suggested that recreation commission workers counsel with Street Superintendent Marty Fredrickson on how to correct a ridge on a baseball diamond.

Other than that, Richmond said other dirt-work projects for the diamonds should be postponed until next year because right now the concentration is on seeding new grass.

The council approved a $5,000 grant to Seacat Hardware and Lumber, Marion, toward construction of a second lumber building under a city grant program for businesses.

Economic Director Jami Williams said the company is unable to seek more financing under its Small Business Administration loan package.

She said Seacat will provide $12,000 in materials for the building, as well as the labor.

Williams said the project contributes to the city, and helps generate more employment.

Councilor Jerry Kline expressed concern that more grant requests of this nature could drive the city over budget.

Williams said additional grants won't all request as much as $5,000.

The council passed what City Attorney Dan Baldwin called a "form ordinance" necessary for grant funding, saying the city won't provide water for construction in flood zones.

Baldwin said this won't hurt construction in the valley area of Marion because the only area still classified as flood zone there is the old river channel.

The council agreed to have a walking tour workshop for street improvements at 3 p.m. Thursday.

Williams said she has been working with Flint Hills Tourism, and Marion County locations will be featured by them, including the Marion Reservoir, Marion County Lake, the Harvey House in Florence, and the Mennonite Heritage Museum at Goessel.

Public Works Director Harvey Sanders asked that the be thanked schools for their help during Old Settlers Day.

The council approved a plumbing license for Eagle Plumbing, Heating and Air Conditioning of McPherson doing work on new construction.