Butler officials may place money received from the sale of Butler Area Sewer Authority in a trust fund to stretch the funds as far as possible and ensure they aren’t misused.

Butler City Council heard a presentation from law firm Obermayer Rebmann Maxwell and Hippel LLP at a meeting Thursday evening, Sept. 28, where they learned a municipal government can put money into a trust — doing so would impose a set of rules regarding how the money can be used in the future.

“It’s basically a restriction safeguarding the proceeds you get from the sale,” said David Nasatir, the firm’s chairman. “Some portion of those funds and thereby the trust instruments create a trust agreement where the city in its wisdom tries to put guidelines around what the money can be used for, how much can be taken out, when it can be taken out.”

Nasatir said if there are no guidelines, future council members can use the money in ways for which it was not intended.

Council also passed a wind-down agreement between Butler, Butler Township and BASA, laying out the responsibilities of each if the sale of BASA’s assets to Pennsylvania American Water is approved by the Pennsylvania Public Utility Commission.

Pennsylvania American Water and BASA amended a purchase agreement to adjust the purchase price to $230 million from the initial $231.5 million. As part of the settlement agreement, the water company can recoup only $228 million through customer rates. Butler and Butler Township will split the proceeds from the sale, following payments of debts and other costs.

Butler Mayor Bob Dandoy said council brought the adviser to the meeting Thursday to answer questions about how the trust would work and how it could make the money last.

“We want this to be something that lasts in perpetuity, and for many, may years we have this resource,” Dandoy Said. “We don’t want it to be something we burn through quickly.”

In addition to financial officials and wealth managers, the meeting was packed with people who attended following a discussion by council of possibly implementing a rental inspection ordinance.

Councilman Don Shearer said he wanted to hear from landlords on a possible ordinance that would help keep rental properties in the city up to standards.

A proposal Shearer brought to council at its September forum meeting said the rental property inspection would occur either at the request of the tenant, at the request of the landlord, when there is a change in tenant, or if the property receives two code violations in 12 months. The inspection would cost $75, Shearer said.

Shearer said the ordinance would be an effort to cut down on “horror stories” he has heard from tenants renting from landlords in the city.

He added that he would like to meet with local landlords in a roundtable-type setting, so that an ordinance can be agreed upon that is equitable to all parties in the renting equation.

“A lot of the sentiment is, ‘I don’t think it’s necessary, but I understand the concerns,’” Shearer said. “I’m hoping to see the conversation start to mold this … I want to hear from the landlords.”

Council accepted a $78,000 Pennsylvania 2023 Municipal Fire Department Capital Grant.

Butler Bureau of Fire chief Chris Switala said the money will be used to replace the garage doors at the fire station.

The council also approved the purchase of a 2023 Ford Interceptor for about $37,800, for use by the Butler Bureau of Police.

Police chief Robert O’Neill said the department slowly is updating all of the police vehicles in its fleet.

Council approved several road closures for events planned to take place in the city in November.

N. Washington and W. Penn streets, Miller Avenue into Memorial Park, Wick Street and Memorial Park Drive will be closed the morning of Nov. 4 for the annual Butler YMCA Turkey Trot.

Main Street from West Pearl to Wayne streets will close the morning of Nov. 11 for the Veterans Day Parade.

Main Street from Penn to Wayne streets and intersecting streets from McKean to Washington streets and Penn from McKean streets to Washington Street will close the afternoon into the evening Nov. 25 for the Spirit of Christmas Parade.