03/08/2011 MinutesCITY OF GRAND ISLAND, NEBRASKA
MINUTES OF CITY COUNCIL REGULAR MEETING
March 8, 2011
Pursuant to due call and notice thereof, a Regular Meeting of the City Council of the City of
Grand Island, Nebraska was conducted in the Council Chambers of City Hall, 100 East First
Street, on March 8, 2011. Notice of the meeting was given in The Grand Island Independent on
March 2, 2011.
Mayor Jay Vavricek called the meeting to order at 7:00 p.m. The following City Council
members were present: Chuck Haase, Larry Carney, Bob Niemann, Kirk Ramsey, Peg Gilbert,
Mitch Nickerson, Linna Dee Donaldson, Scott Dugan, Randy Gard and John Gericke. The
following City Officials were present: Interim City Administrator /Finance Director Mary Lou
Brown, City Clerk RaNae Edwards, Interim City Attorney Jason Eley, Interim Public Works
Engineer Terry Brown, and Interim Public Works/Utilities Director Gary Mader.
INVOCATION was given by Pastor Matt Fowler, Faith United Methodist Church, 724 West 12th
Street followed by the PLEDGE OF ALLEGIANCE.
MAYOR COMMUNICATION: Mayor Vavricek introduced Community Youth Council
members Reyna Raymundo, Alex Wirth, and Tyler Barrientos. Mayor mentioned several
legislative bills. Mentioned was Saturday, March 26, 2011 for City Administrator interviews
instead of a Council Retreat.
PRESENTATIONS AND PROCLAMATIONS:
Proclamation "Week of Kindness and Sole" March 13 -19, 2011. Mayor Vavricek proclaimed the
week of March 13 -19, 2011 as "Week of Kindness and Sole ". Dr. Kent Mann commented on the
campaign to raise 35,000 pairs of shoes for those in need. The following High School students
were present for the presentation: Lara Bergdolt — Heartland Lutheran, Alex Wirth — Central
Catholic, and Miguel Baeza & Holly Johnson — Grand Island Senior High.
Proclamation "National Athletic Training Month" March, 2011. Mayor Vavricek proclaimed the
month of March 2011 as "National Athletic Training Month ". Todd Goshorn, Head Athletic
Trainer at Grand Island High School was present to receive the proclamation.
PUBLIC HEARINGS:
Public Hearing on Redevelopment Plan for Real Estate Located at 620 West State Street (Five
Points located along North Broadwell, North Eddy and West State Streets). Regional Planning
Director Chad Nabity reported that in 2007 the City Council declared property referred to as
CRA Area #6 as blighted and substandard and approved a generalized redevelopment for the
property located at 620 West State Street. The generalized redevelopment plan authorized the use
of Tax Increment Financing (TIF) for the acquisition of property, redevelopment of property, site
preparation including demolition, landscaping and parking. Wilmar Realty LLC (the developer)
had submitted a proposed amendment to the redevelopment plan that would provide for site
acquisition, demolition and construction of an exterior fagade and interior remodeling of the
Skagway supermarket building together with additional parking lot expansion at the Five Points
Page 2, City Council Regular Meeting, March 8, 2011
location. Jim Phipps, 1809 West Anna Street spoke in support. No further public testimony was
heard.
ORDINANCES:
Councilmember Gilbert moved "that the statutory rules requiring ordinances to be read by title
on three different days are suspended and that ordinances numbered:
#9290 — Consideration of Vacation of a Portion of a Utility Easement Located Between
Sheridan Avenue and Orleans Drive, From 4th Street to 5th Street
#9291 — Consideration of Authorizing Series 2011 Public Safety Tax Anticipation
Refunding Bonds
be considered for passage on the same day upon reading by number only and that the City Clerk
be permitted to call out the number of these ordinances on second reading and then upon final
passage and call for a roll call vote on each reading and then upon final passage."
Councilmember Nickerson second the motion. Upon roll call vote, all voted aye. Motion
adopted.
Interim Public Works Director Gary Mader reported that Ordinance #9290 would vacate the west
18' of the 30' utility easement located on Lots 20, 21 & 22 in Kallos Second Subdivision.
Bruce Lefler representing Ameritas reported that Ordinance #9291 would replace the Public
Safety Tax Anticipation Bonds, Series 2006 in a principal amount of $5,535,000.00.
Motion by Haase, second by Ramsey to approve Ordinances #9290 and #9291.
City Clerk: Ordinances #9290 and #9291 on first reading. All those in favor of the passage of
these ordinances on first reading, answer roll call vote. Upon roll call vote, all voted aye. Motion
adopted.
City Clerk: Ordinances #9290 and #9291 on final passage. All those in favor of the passage of
these ordinances on final passage, answer roll call vote. Upon roll call vote, all voted aye.
Motion adopted.
Mayor Vavricek: By reason of the roll call votes on first reading and then upon final passage,
Ordinances #9290 and #9291 are declared to be lawfully adopted upon publication as required by
law.
CONSENT AGENDA: Consent Agenda items G -13 and G -15 were removed for further
discussion. Motion by Gericke, second by Gard to approve the Consent Agenda excluding items
G -13 and G -15. Upon roll call vote, all voted aye. Motion adopted.
Approving Minutes of February 22, 2011 City Council Regular Meeting.
Approving Minutes of March 1, 2011 City Council Study Session.
Page 3, City Council Regular Meeting, March 8, 2011
#2011 -49 Approving Final Plat and Subdivision Agreement for Golden Age Third Subdivision.
It was noted that Hall County Housing Authority, owner, had submitted the Final Plat and
Subdivision Agreement for Golden Age Third Subdivision for the purpose of creating 2 lots on a
tract of land located west of White Avenue and north of 7th Street containing approximately
2.648 acres.
#2011 -50 — Approving Renewal of Golf Pro Contract with Don Kruse.
#2011 -51 — Approving Burlington Northern Santa Fe Crossing Permit for the 115 kV
Transmission Line to St. Libory.
#2011 -52 — Approving Agreement for Marketing Services for WEC2 Energy between the City of
Grand Island and the Municipal Energy Agency of Nebraska (MEAN
#2011 -53 — Approvingy Revised Laredo Ridge Power Sales Agreement with the Nebraska Public
Power District (NPPD).
#2011 -54 — Approving Bid Award for 115 kV Pole Inspection and Preservation Services with
Osmose Utilities Services, Inc. of Tyrone, Georgia in an Amount not to exceed $100,000.00.
#2011 -55 — Approving Bid Award for Hot -Mix Asphalt for 2011 with Gary Smith Construction
Co. of Grand Island, Nebraska in an Amount of $44.85 per ton for Type "A" Asphaltic Concrete;
$42.85 per ton to Type "BC" Asphaltic Concrete; and $44.85 per ton for Type "C" Asphaltic
Concrete.
#2011 -56 — Approving Bid Award for Concrete Ready -Mix for 2011 with Gerhold Concrete Co.,
Inc. of Grand Island, Nebraska in an Amount of $74.00 per cubic yard for Portland Cement
Concrete Readv -Mix.
#2011 -57 — Approving Union Pacific Railroad Pipeline Crossing Agreement for Lift Station #7
Disaster Recovery Project Area (Grant Street to Arthur Street, between Oklahoma Avenue and
Phoenix Avenue) and a One -Time License Fee of $1,500.00.
#2011 -58 — Approving Agreement for City Hall Copier Maintenance and Supplies with Capital
Business Systems, Inc. /Modern Methods of Grand Island, Nebraska.
#2011 -60 — Approving Redemption of Series 2006 Public Safety Tax Anticipation Bonds.
#2011 -59 — Approving Vendor for Expert Service provider for Information Technology with
Duey's Computer Service, Inc. of Lincoln, Nebraska in an Amount of $3,125.00 per month.
Finance Director Mary Lou Brown reported that as part of the 2011 budget process the
Information Technology division of Finance eliminated one full time position to provide funding
for the outsourcing of network administration support.
Motion by Dugan, second by Haase to approve Resolution #2011 -59.
Discussion was held regarding a termination clause in the agreement. Interim City Attorney
Jason Ely stated that if the company did not live up to their end of the bargain the agreement
Page 4, City Council Regular Meeting, March 8, 2011
could be terminated. Discussed was had whether the agreement should have 30 or 60 days
included for the termination clause.
Motion by Haase, second by Carney to amend the motion and add a termination clause of 60
days. Upon roll call vote, Councilmembers Haase, Carney, Niemann, Ramsey, Gilbert,
Nickerson, Donaldson, Dugan, and Gericke voted aye. Councilmember Gard voted no. Motion
adopted.
Upon roll call vote of the main motion, all voted aye. Motion adopted.
#2011 -61 — Approving Investment Advisory Agreement with Smith Hayes Advisers, Inc. of
Columbus, Nebraska. Finance Director Mary Lou Brown reported that Smith Hayes Advisers,
Inc. (Smith Hayes) currently served as the investment adviser for the backstop funds to the
pension obligations that were administered by Wells Fargo. The investment manager for the
account was formerly McCarthy Group Advisors which was acquired by Westwood Holdings
Group, Inc.
Smith Hayes informed the City that the current investment manager, Mr. Rod Cerny who had
transitioned to Westwood, would no longer manage the City's account. If the account stayed
with Westwood, the assets would be moved into one of their money management programs
rather than being actively managed by Mr. Cerny. It was recommended that the City not move
our investments into Westwood's money management program. It was recommended by staff to
direct Smith Hayes to oversee the accounts.
Discussion was held concerning additional fees. Ms. Brown stated there would not be any
additional costs. Comments were made concerning keeping out business local.
Motion by Gilbert, second by Niemann to approve Resolution #2011 -61. Upon roll call vote, all
voted aye. Motion adopted.
RESOLUTIONS:
#2011 -62 — Consideration of Approving Appointment of Public Works Director John Collins.
Mayor Vavricek submitted the appointment of John Collins for the City Engineer /Public Works
Director starting March 14, 2011.
Motion by Gilbert, second by Niemann to approve Resolution #2011 -62. Upon roll call vote, all
voted aye. Motion adopted.
M. Collins thanked the Mayor and Council for the opportunity to serve the people of Grand
Island.
#2011 -63 — Consideration of Approving Redevelopment Plan for Real Estate Located at 620
West State Street (Five Points located along North Broadwell, North Eddy and West State
Street). This item related to the aforementioned Public Hearing. Positive comments were made
by Council regarding the redevelopment.
Page 5, City Council Regular Meeting, March 8, 2011
Motion by Haase, second by Gard to approve Resolution #2011 -63. Upon roll call vote, all voted
aye. Motion adopted.
#2011 -64 — Consideration to Proceed with Closing the Union Pacific Railroad Crossing at Elm
Street. Interim Public Works Director Gary Mader reported that Phase I Quiet Zone project was
presented to the City Council on March 1, 2011. Installation of Wayside Horns at Elm
Street/Union Pacific Railr5oad (UPRR) Crossing was estimated to be $228,800. The Public
Works Engineering recommended closing the Elm Street crossing at UPRR instead of
constructing Wayside Horns for a savings of approximately $208,800.
Discussion was held regarding when the Elm Street crossing would be closed. Mr. Mader stated
possibly by the end of the year. The closing would coincide with the construction. Final closing
would come back to Council for approval.
Motion by Carney, second by Gericke to approve Resolution #2011 -64. Upon roll call vote, all
voted aye.
PAYMENT OF CLAIMS:
Motion by Dugan, second by Nickerson to approve the Claims for the period of February 23,
2011 through March 8, 2011, for a total amount of $2,587,712.22. Unanimously approved.
ADJOURN TO EXECUTIVE SESSION: Motion by Gilbert, second by Niemann to adjourn to
Executive Session at 7:57 p.m. for the purpose of discussion concerning AFSCME, IAFF, FOP,
IBEW — Finance, WWTP and Service /Clerical union negotiations for the protection of the public
interest. Upon roll call vote, all voted aye. Motion adopted.
RETURN TO REGULAR SESSION: Motion by Gilbert, second by Ramsey to return to Regular
Session at 10:34 p.m. Upon roll call vote, all voted aye. Motion adopted.
ADJOURNMENT: The meeting was adjourned at 10:34 p.m.
RaNae Edwards
City Clerk