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08/20/2013 Minutes (2) CITY OF GRAND ISLAND,NEBRASKA MINUTES OF CITY COUNCIL SPECIAL MEETING August 20, 2013 Pursuant to due call and notice thereof, a Special Council 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 August 20, 2013. Notice of the meeting was given in the Grand Island Independent on August 14, 2013. Mayor Jay Vavricek called the meeting to order at 7:53 p.m. The following Councilmembers were present: Vaughn Minton, Mike Paulick, Scott Dugan, John Gericke, Peg Gilbert, Mitch Nickerson, Julie Hehnke, Chuck Haase, Linna Dee Donaldson, and Bob Niemann. The following City Officials were present: City Administrator Mary Lou Brown, City Clerk RaNae Edwards, City Attorney Robert Sivick, City Treasurer and Finance Director Jaye Monter, and City Engineer and Public Works Director John Collins. RESOLUTIONS: #2013-272 — Approving Health and Dental Insurance Renewal. Human Resources Director Brenda Sutherland reported that the Council reviewed the proposed changes to the health and dental plans at the August 13, 2013 Study Session. She gave a highlight of the changes which would include a high deductable plan with a Health Savings Account (HSA) with seed money at $1,000 for single and $2,000 for family and move the dental insurance to be a stand alone plan. Comments were made concerning the City's stop loss coverage. Discussion was held regarding the seed money and whether to continue it in the future. Ms. Sutherland commented on the enrollment process. Motion by Haase, second by Minton to approve Resolution #2013-272. Upon roll call vote, all voted aye. Motion adopted. #2013-273 — Approving FOP Contract. Human Resources Director Brenda Sutherland reported the current labor agreement would expire on midnight September 30, 2013. The City's negotiating team and the FOP's negotiating team had met and agreed to terms of a new agreement using the new array as a Metropolitan Statistical Area community. The proposed labor agreement would begin October 1, 2013 and run through September 30, 2016. Reviewed were changes from the current agreement in: training and special events, vacation accrual, maximum medical leave accrual, call in pay, uniform allowance, field training officers, rates of pay and the step plan. Wage increases would be spread out over a three year period with an increase of 7% at the bottom and 8% at the top for both police officers and sergeants. Year two would be an adjustment to the scale of 2.5% across steps one through nine and a tenth step would be added. Year three would have another 2.5% increase across steps one through ten and an eleventh step would be added. Page 2,City Council Special Meeting,August 20,2013 Motion by Dugan, second by Gericke to approve Resolution #2013-273. Upon roll call vote, all voted aye. Motion adopted. FOP President Janet Daugherty stated the process went very smoothly and quickly. The Mayor publicly signed the contract along with FOP President Daugherty. ORDINANCE: Councilmember Gilbert moved "that the statutory rules requiring ordinances to be read by title on three different days are suspended and that ordinances numbered: #9439—Consideration of Salary Ordinance 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 Niemann seconded the motion. Upon roll call vote, all voted aye. Motion adopted. Human Resources Director Brenda Sutherland reported that changes in the Ordinance reflected the wages that had been agreed to by Council for employees covered under the AFSCME, IAFF and IBEW labor agreements. This Ordinance also included changes to FOP wages reflecting the new labor agreement. Non-union positions were surveyed with a new array because of the City becoming a Metropolitan Statistical Area(MSA). Motion by Minton, second by Niemann to approve Ordinance#9439. Discussion was held concerning the timing of this Ordinance before the rest of the budget was completed. Ms. Monter stated the proposed 2013-2014 budget book included the changes to salary. Ms. Brown stated this was brought forward in conjunction with the FOP contract, but it could wait until a later date. Motion by Haase, second by Hehnke to postpone Ordinance#9439 until the September 10, 2013 Regular Meeting. Upon roll call vote, Councilmembers Minton, Paulick, Dugan, Gilbert, Nickerson, Hehnke, Haase, Donaldson and Niemann. Councilmember Gericke voted no. Motion adopted. SPECIAL ITEMS: Parks and Recreation 2013-2014 Budget. Parks and Recreation Director Todd McCoy reviewed the revenue and expenses for all programs in the Parks Department. Mr. McCoy answered questions from Council concerning park operations, playground programs, Water Park, Lincoln Pool and Stolley Park Railroad. Ms. Brown commented on the personnel expenses of the Water Park. Mr. McCoy stated there were no improvements in this budget for the Water Park but we needed to be looked at in the future. Page 3,City Council Special Meeting,August 20,2013 Mr. McCoy introduced Doug Sweeney, Golf Course Superintendent. Reviewed were capital improvements, expenses and revenue projections. Ms. Monter stated the 2013-2014 budget year included using revenues received over the past few years for capital improvements. Recommended was a long range plan for the Golf Course. The Golf Course revenues projected for 2013-2014 were $684,746 and the expenses were projected at $712,240. Total Capital projects planned for 2013-2014 included: $50,000 Clubhouse building upgrade (replace siding and windows); $25,000 fence replacement and $492,538 irrigation upgrade project. Reviewed was the recommended fee increase for the Capital Fund expenditures. Total increases were expected to generate $18,000 - $20,000 of additional revenue in 2014. Introduced was Cemetery Superintendent Mark Sands. Mr. McCoy stated burial lots available were decreasing. Mentioned was the Cemetery expansion on Webb Road with a Master Plan and Design in 2014, Phase 1 construction in 2015 and begin operation of expanded Cemetery in 2016. Mr. McCoy stated there were approximately 20 acres of land and it would be a phased project. Discussion was held regarding moving the current ball fields at Webb Road to the Veterans Athletic Field. City Attorney Robert Sivick commented on the legal aspects of the Cemetery Trust Fund. $615,000 was currently in the Cemetery Trust Fund. Perpetual maintenance was mentioned. Heartland Public Shooting Park 2013-2014 Budget. Parks and Recreation Director Todd McCoy gave a brief history of the Heartland Public Shooting Park (HPSP) going back to 1974 when the Parks Department developed a skeet range along South Locust Street by the City well field site. In April 2004 the HPSP opened to the public under the management of the GI Skeet and Sporting Clay Club. It was then turned over to the City in October of 2005. Over $4 million of private and public money had been invested to date at the HPSP. Reviewed were events held at HPSP which included regional and national events. Financial trends were presented. Mr. McCoy recommended adding 0.50 FTE to the budget to hire a full time office coordinator position due to the customer base and number of events. Explained was a request from GI Skeet and Sporting Clay Club requesting the final $10,000 of a $100,000 loan approved in March 2004 be forgiven. The GI Skeet and Sporting Clay Club had facilitated over$200,000 of donated capital assets to HPSP since the 2004 loan. Discussion was held regarding the $100,000 loan and assets. Tim O'Conner, 2112 West John Street, Secretary for GI Skeet and Sporting Clay Club explained the assets/donations of the volunteers. Insurance on the assets, which did not show on the City's books, would be included in this year's budget. Motion by Haase, second by Gericke to bring back a Resolution at the August 27, 2013 Council meeting to forgive the $10,000 loan. Upon roll call vote, all voted aye. Motion adopted. Mr. McCoy explained the function of the HPSP Advisory Board. Discussion was held regarding the proposed addition of a 0.50 FTE and increase in tax subsidy to HPSP. Shooting Park Superintendent Bill Starkey explained the need for a full-time position instead of a part-time position. Kent Coen, 2604 South Stuhr Road thanked the Council for their support of the HPSP. Page 4,City Council Special Meeting,August 20,2013 Council recessed at 10:00 p.m. and reconvened at 10:15 p.m. Councilmember Donaldson was absent at 10:15 p.m. Central Nebraska Humane Society. Finance Director Jaye Monter reported that in November 2002 an agreement was approved by Council giving the Central NE Humane Society use of a portion of Stolley Park to provide a holiday light display. In September 2003, Resolution #2003- 265 was approved requiring the Humane Society to pay for all electrical installation work up to $40,000. The actual loan amount was $39,512.80 and the Humane Society was to pay 15% of the net annual proceeds from the holiday light display to the City until the balance was paid in full. In June 2011, Resolution #2011-146 was approved by Council allowing the Humane Society to pay$100 annually starting in 2011 until 2013 with $10,000 payments beginning in 2014 until the City was paid in full. There was $17,979.47 remaining on the loan. The City and the Central Nebraska Humane Society were currently in negotiations for the 2013- 2014 fiscal year. Ms. Brown answered questions concerning the electrical outlets at Stolley Park. Comments were made by Council for a reason to forgive this loan and if it would affect the negotiations for a new contract. Humane Society Executive Director Laurie Dethloff stated this would not affect the negotiations for a new contract. Mayor stated there were requests from Board members for a loan forgiveness over the past few years. Ms. Dethloff requested this item be pulled and stated they would meet their obligations. Mr. McCoy explained some electrical boxes were being used and some were locked. The Parks Department paid for the electricity. Comments were made concerning the risk of these outlets. Mr. McCoy stated there were other outlets that were available to the public and collecting a fee would be difficult. Mayor commented on the background of the debt payments and discussions with the Central Nebraska Humane Society regarding forgiving the loan. General Fund 2013-2014 Budget Discussion continued. Finance Director Jaye Monter continued the General Fund budget discussion. Payroll costs, health and dental insurance, and combined pension funds had been finalized. Reviewed were the changes made to the General Fund Cash Balance, revenues, appropriations, capital, and transfers to the 400 Fund. Fire Chief Cory Schmidt answered questions regarding the new pumper truck that was purchased recently and if there was a trade-in on the old one. He stated they would keep the old truck until the new one came which could take up to a year. Discussion was held concerning the Pension Funds transfers. Ms. Monter stated the proposed ending cash balance for the 2014 Budget would be $8,224,053. Program prioritization in governance programs was reviewed. Emergency Management Director Jon Rosenlund answered questions regarding personnel costs. Reviewed was the projected growth over the next four years and the decrease in ending cash balances through 2017. Discussion was held regarding revenues, property tax, occupation taxes Page 5,City Council Special Meeting,August 20,2013 and future sustainable budgets. Ms. Brown answered questions regarding future budgets. She stated her opinion would be to increase property taxes and suggested a five year plan going forward. Councilmember Nickerson commented on pursuing a 1/2 cent sales tax to increase revenues to cover future expenses and would be sustainable revenue. Councilmember Haase stated a 1/2 cent sales tax was not the way to fix future budgets. He commented on past sales tax increases and where we were today. Ms. Monter stated the County had certified the valuation to the City today for an increase in valuation of$7,144,980 which resulted in additional property tax revenue of$23,157. Reviewed was 2013-2014 Budget meeting schedule. ADJOURNMENT: The meeting was adjourned at 11:49 p.m. RaNae Edwards City Clerk