Homer, Sunrise Coal OK deal on payments
HOMER — The village has accepted a reimbursement agreement from Sunrise Coal.
The company, based in Terre Haute, Ind., has asked Homer to supply water to its proposed coal mine. Homer is considering the request for hundreds of thousands of gallons of raw water in addition to potable water and sewer services, which Sunrise would pay the village to provide on an annual basis.
During the board meeting Monday, village attorney Paul Hendren updated the board regarding the reimbursement agreement between Sunrise Coal and the village.
Hendren said he and Mayor David Lucas received a revised reimbursement agreement earlier in the day from Sunrise Coal so the board members were seeing the revised agreement for the first time during the meting.
Hendren said the agreement states that Sunrise Coal will deposit $25,000 in a draw account. The money will be used to pay for lawyers, special board meetings and any other expenditures related to the investigation of the legalities involving the village selling water to the mine.
Hendren said the company will deposit an additional $25,000 if $20,000 of the first deposit is spent.
The agreement states the village will hire a special municipal utility attorney. The village will tell Sunrise who the attorney is, but the company does not have veto power over the hire.