01-04-2011 City Council Study Session PacketCity of Grand Island
Tuesday, January 04, 2011
Study Session Packet
City Council:Mayor:
Jay Vavricek
Interim City Administrator:
Mary Lou Brown
City Clerk:
RaNae Edwards
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7:00:00 PM
Council Chambers - City Hall
100 East First Street
Larry Carney
Linna Dee Donaldson
Scott Dugan
Randy Gard
John Gericke
Peg Gilbert
Chuck Haase
Mitchell Nickerson
Bob Niemann
Kirk Ramsey
Call to OrderCity of Grand Island City Council
A - SUBMITTAL OF REQUESTS FOR FUTURE ITEMS
Individuals who have appropriate items for City Council consideration should complete the Request for Future Agenda
Items form located at the Information Booth. If the issue can be handled administratively without Council action,
notification will be provided. If the item is scheduled for a meeting or study session, notification of the date will be given.
B - RESERVE TIME TO SPEAK ON AGENDA ITEMS
This is an opportunity for individuals wishing to provide input on any of tonight's agenda items to reserve time to speak.
Please come forward, state your name and address, and the Agenda topic on which you will be speaking.
MAYOR COMMUNICATION
This is an opportunity for the Mayor to comment on current events, activities, and issues of interest to the community.
Call to Order
Pledge of Allegiance
Roll Call
Invocation
This is an open meeting of the Grand Island City Council. The City of Grand Island abides by the Open Meetings Act
in conducting business. A copy of the Open Meetings Act is displayed in the back of this room as required by state
law.
The City Council may vote to go into Closed Session on any agenda item as allowed by state law.
City of Grand Island City Council
Item -1
Recognition of Steve Riehle, City Engineer/Public Works Director
for Service with the City of Grand Island
Mayor Vavricek and the City Council will recognize Steve Riehle, City Engineer/Public
Works Director for his years of dedicated service to the City of Grand Island. Mr. Riehle
started with the City on May 10, 1999. During his tenure he led the way for the completion of
many significant projects including the Wood River diversion project, South Locust Street I-
80 interchange, widening and streetscape between Husker Highway and Fonner Park Road
of South Locust Street, and the completion of four-lanes on South Locust Street before the
2010 Nebraska State Fair. His last day with the City of Grand Island will be Friday, January
7, 2011. We thank Steve for his service to the City of Grand Island and wish him the best.
Tuesday, January 04, 2011
Study Session
City of Grand Island
Staff Contact: Mayor Vavricek
City of Grand Island City Council
Item -2
Discussion Concerning Financial Guarantee Bond Related to
Worker's Compensation Insurance
Tuesday, January 04, 2011
Study Session
City of Grand Island
Staff Contact: Mary Lou Brown
City of Grand Island City Council
Council Agenda Memo
From: Mary Lou Brown, Finance Director
Meeting: January 4, 2011
Subject: Financial Guarantee Bond Related to Worker’s
Compensation Insurance
Item #’s: 2
Presenter(s): Mary Lou Brown, Finance Director
Background
A payment in the amount of $16,500.00 to Ryder Rosacker McCue and Huston for a
financial guarantee bond annual premium was included in a past Schedule of Bills. The
payment was related to the City’s worker’s comp coverage.
The insurance company requires that security or collateral be provided for payments that
extend for long periods of time. This provides the company assurance that they will be
reimbursed. In private industry, this coverage would be provided through a letter of
credit. As a municipality, the City does not have access to a letter of credit but provides
the same assurance through the bond. An alternative method of addressing this perhaps
would be the use of an escrow account where the City would put aside the funds. The
$730,000 limit is based on the total dollars of outstanding claims.
Item -3
Discussion Concerning Potential Bond Refinancing
Tuesday, January 04, 2011
Study Session
City of Grand Island
Staff Contact: Mary Lou Brown
City of Grand Island City Council
Council Agenda Memo
From: Mary Lou Brown, Finance Director
Meeting: January 4, 2011
Subject: Potential Bond Refinancing
Item #’s: 3
Presenter(s): Mary Lou Brown, Finance Director
Background
Ameritas Investment Corp is the City’s bond underwriter as approved by Council at the
September 28, 2010 Council meeting. At that time, it was indicated that Ameritas would
undertake a review of the City’s outstanding bond issues and make recommendations as
appropriate.
A meeting with Bruce Lefler of Ameritas was held in October 2010 to determine what, if
any, actions were appropriate. The first action item from that meeting was the
recommendation that we proceed with the redemption of the Solid Waste Bonds Series
2004. This item was brought to Council on December 7, 2010. Several other issues were
determined to be candidates for refinancing.
The purpose of the study session is to review the initial analysis with Council. Bruce will
update the analysis with current interest rates and discuss the status of each of the
outstanding bond issues. In the initial analysis, it appeared that refinancing both the Law
Enforcement Center and the Library bonds would potentially be the first priorities.
Item -4
Discussion Concerning Sanitary Sewer Extension along Highway
281 to I-80
Tuesday, January 04, 2011
Study Session
City of Grand Island
Staff Contact: Steve Riehle
City of Grand Island City Council
Council Agenda Memo
From: Steven P. Riehle, Public Works Director
Meeting: January 4, 2011
Subject: Presentation on Extending City Sanitary Sewer along US
Hwy 281 to Interstate 80
Item #’s: 4
Presenter(s): Steven P. Riehle, Public Works Director
Background
The city has been approached by businesses along US Highway 281 near the Interstate 80
interchange about the possibility of extending city sanitary sewer to serve their property.
The businesses currently treat their waste water and will have to invest significant dollars
into their existing treatment systems in 2011. Consultants for the businesses have
prepared estimates of costs for extending the sanitary sewer lines as well as upgrades to
the private waste water treatment systems.
Discussion
With the potential for a significant investment into private waste water treatment systems,
it is prudent at this time to consider extending city Sanitary Sewer.
Conclusion
The issue is being presented this evening for council to get a better understanding of the
issue at hand. A resolution will come forward for council consideration at the January 11,
2011 meeting. The resolution will authorize the mayor to sign a "Letter of Intent" to the
Nebraska Department of Environmental Quality to extend City Sanitary Sewer along US
Hwy 281 to Interstate 80.