LAKEPORT, Calif. – A decision on an agreement to repay the county for abating a sunken construction crane five years ago will wait another week due to the Board of Supervisors asking a county officials for additional information at Tuesday's meeting.

The board had held over since June 14 a decision on the agreement with Martin Scheel, who formerly worked as a contractor on the lake, and who now is a member of the Lakeport City Council and a candidate for the District 4 supervisorial seat.

The crane went into the lake during a storm in November 2010, and months later the board voted to have it abated after Scheel indicated he did not have the means to remove it himself, as Lake County News has reported.

The abatement cost the county $59,945.07. Scheel signed the crane over to the county, which recouped $4,039 by selling it for scrap.

Last month, the board held off on making a decision on the agreement – which calls for biannual installment payments of $2,795.30 over a 10-year period – in order to let Scheel try to get a loan to pay off the debt, something Scheel told Lake County News he already had tried.

Scheel was not present for Tuesday's meeting, but Board Chair Rob Brown said that Scheel submitted a letter on Monday regarding the matter.

In the brief letter, obtained by Lake County News, Scheel wrote to Brown: “I have exhausted all avenues in trying to secure private financing for repayment of the crane removal. As such, I am requesting that the agreement staff prepared for repaying of the crane removal be approved. I look forward to finalizing this matter and appreciate the assistance of staff in putting together an amicable agreement that will make Lake County tax payers whole.”

Supervisor Anthony Farrington, who Scheel is seeking to succeed on the board, has criticized Scheel for not paying off the debt sooner, despite the county not having taken formal action to send Scheel a bill after he said he repeatedly asked for one.

Brown said he had followed up with Treasurer-Tax Collector Barbara Ringen, who confirmed that she cannot accept payments on debts until the Board of Supervisors takes action to collect them.

Scott De Leon, the county's Water Resources and Public Works director, said the agreement with Scheel is patterned after other agreements the county has had.

It does not include interest, as currently proposed, and De Leon explained that the county similarly doesn't charge interest to residents for road repairs in county service areas. “This agreement was patterned after that.”

“I guess it's better late than never,” said Farrington.

Farrington said the county doesn't create a promissory note for assessments and liens, adding it's a unique situation due to there being no real property at stake.

As such, he suggested pursuing a lien on Scheel's wife's property, a judgment through the courts or wage garnishment.

Supervisor Jim Steele wanted to see interest applied to the agreement.

Supervisor Jeff Smith said there are penalties if businesses are late in paying their transient occupancy tax, and he said the county should at least get the interest on the payments that it would get if the money was sitting in the bank.

Brown said a legal judgment was not an option due to the length of time that has passed. County Counsel Anita Grant followed up by saying that a three-year statute of limitations would apply. Farrington disagreed.

Smith also wanted the payments made monthly, not annually.

The matter of a possible interest rate ultimately held up a decision. The board wanted to have Ringen calculate the appropriate monthly rate.

Steele moved to amend the agreement to include a 2.5-percent annual percentage rate plus costs associated with managing the account, and make it a monthly rather than a biannual payments.

Grant cautioned that the interest rate should reflect an obligation, as the county is not entitled to make money on a transaction.

She said the board could approve the 2.5 percent interest rate in concept, subject to approval by the treasurer-tax collector regarding what the county earns on its investments.

Brown put the matter on hold in order to try to get an answer from Ringen that morning.

However, the board didn't hear back from Ringen by the end of the meeting, so the matter was put over to the July 19 meeting.

At its meeting next week the supervisors also will take up the matter – brought back to the board by Supervisor Jim Steele – regarding the proposed separation of the Water Resources and the Public Works departments.

Supervisor Jim Comstock was absent from Tuesday's meeting, and Brown said Comstock had asked for the matter to be held over so he could participate in the discussion.

Email Elizabeth Larson at This email address is being protected from spambots. You need JavaScript enabled to view it. . Follow her on Twitter, @ERLarson, or Lake County News, @LakeCoNews.