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03/06/2012 MinutesCITY OF GRAND ISLAND, NEBRASKA MINUTES OF CITY COUNCIL STUDY SESSION March 6, 2012 Pursuant to due call and notice thereof, a Study Session 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 6, 2012. Notice of the meeting was given in the Grand Island Independent on February 29, 2012. Mayor Jay Vavricek called the meeting to order at 7:00 p.m. The following Councilmember's were present: Chuck Haase, Larry Carney, Bob Niemann, Kirk Ramsey, Peg Gilbert, Mitch Nickerson, Linna Dee Donaldson, Randy Gard, and John Gericke. Councilmember Dugan was absent. The following City Officials were present: City Administrator Mary Lou Brown, City Clerk RaNae Edwards, City Attorney Bob Sivick, Public Works Director John Collins, and Finance Director Jaye Monter. INVOCATION was given by Community Youth Council member Kerrigan Anspauch followed by the PLEDGE OF ALLEGIANCE. Mayor Vavricek introduced Community Youth Council members Kerrigan Anspauch and Jordyn Barnett. OTHER ITEMS: Presentation of Audit Report — Pa�es 100-101 — Budgetarv Comparison Schedule General Fund. City Administrator Mary Lou Brown introduced Terry Galloway from Almquist, Maltzahn, Galloway & Luth who gave an explanation of the Budgetary Comparison Schedule. Mr. Galloway stated the audit report showed the General Fund Total Appropriations were over budget by $2,633,647. After researching the 2011 Actual amounts in the Audit Report, they found amounts for depreciation expense and an ambulance bad debt expense included in the 2011 Actual amounts. The total appropriations for 2011 Actuals were $34,571,217 which was under budget by $1,216,938 in the General Fund for budget year 2011. Presentation of the Report for Inspection Structural Analysis and Evaluation of the Eddv Street and Sycamore Street Underpasses Public Works Director John Collins reported that Statements of Qualification were solicited for performing inspection, structural analysis and evaluation of the Eddy Street and Sycamore Street Underpasses. Kirkham Michael & Associates, Inc. of Omaha, Nebraska was selected to perform the work at actual costs with a maximum amount of $42,932.20. Vice-President Eric Johnson and Bridge Department Manager Steven Kneip representing _.� Kirkham Michael presented a PowerPoint of their study which included retaining walls, sidewalk tunnels, bridges carrying vehicular traffic, roadway pavement, drainage systems adequacy, inspection routines and maintenance for the Eddy Street and Sycamore Street underpasses. Page 2, City Council Study Session, March 6, 2012 - Mr. Kneip covered background information and existing conditions of the underpasses. Goals of the study were to evaluate the structural integrity, evaluate drainage and pavement and restore aesthetic components. The general conclusion from the field work was that the underpasses were in good condition and, structurally sound, but in need of repairs to assure continued service. Discussion was held regarding the three bridges over the Union Pacific Railroad track instead of two. Mr. Collins stated the railroad inspects and maintains these structures twice a year. Presented were proposed repairs for both the Eddy Street and Sycamore Street underpasses. The following repair schedule was presented: 2012 - Eddy Street • Pavement repairs — full depth - Sycamore Street • Pavement replacement • Retaining wall/walkway repairs • S. Front Street bridge repairs 2013 - Eddy Street • Retaining wall/walkway repairs • Mill Drive Bridge repairs • N. Front Street bridge repairs - Sycamore Street • Industry overpass bridge repairs 2013-2017 - Eddy Street • Miscellaneous adjacent pavement repairs a Walkway drain repair - Sycamore Street • S. Front Street pavement repairs • Miscellaneous adjacent pavement repairs • Walkway repairs/abandon inlets 2022 - Eddy Street Pavement Replacement The Eddy Street and Sycamore Street underpasses were structurally sound, but repairs were rm needed to provide safe passage for the traveling public, prevent further deterioration, extend the life of the underpasses, and restore the aesthetic appeal. Mr. Collins stated they were looking into the costs of the bridges. This study was to look at the structural issues of the underpasses. Time for repairs was approximately 2 to 3 months for rehab. Page 3, City Council Study Session, March 6, 2012 No more than one road would be closed at one time. Drainage in the underpasses was mentioned. Mr. Kneip stated that if the City made these repairs over the next six years we could get 20 to 30 more years out of these structures. Comments were made concerning the cost of the repairs versus new structures. Presentation on Uranium Removal Project Cost/Revenue Anal sis Utilities Director Tim Luchsmger recapped the Uranium Removal Project. The 2000 Uranium Rule was established by EPA and the Safe Water Drinking Water Act with a maximum contaminant Level (MCL) — 30 ug/L (ppb) based on a rolling average of 4 quarterly samples. Samples were taken at each Point of Entry (POE) to the water distribution system. The City had 21 wells and was treating three wells to blend treated water to lower the overall uranium concentrations. Capital cost was $3,000,000 with annual operating costs of $800,000 to treat up to 1.5 billion gallons per year. The annual water demand was 3.75 billion gallons with annual water sales of $4,100,000. Long-term bonding would be looked at. Mr. Luchsinger stated the additional annual operating cost would require a rate increase. Rate structures were reviewed relative to a flat rate increase, percentage rate increase, and meter fees. Water rate comparison showed that with the increase in fees the City was still below other cities rates in Nebraska. The proposed revised rate schedule would be effective April l, 2012 with the customer rate increase to begin on May 1, 2012. Comments were made by Council with regards to which rate structure to use. Mr. Luchsinger stated the department came up with three reasonable options, the meter fee would be the recommendation the department would bring forward if council didn't direct differently. Mentioned was the meter fee would be the most predictable with regards to bringing in revenue. ADJOURNMENT: The meeting was adjourned at 8:25 p.m. ���� ���� RaNae Edwards City Clerk