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12-04-2012 City Council Regular Meeting Packet City of Grand Island Tuesday, December 4, 2012 Council Session Packet City Council: Larry Carney Linna Dee Donaldson Scott Dugan Vaughn Minton John Gericke Peg Gilbert Chuck Haase Mitchell Nickerson Bob Niemann Kirk Ramsey Mayor: Jay Vavricek City Administrator: Mary Lou Brown City Clerk: RaNae Edwards 7:00 PM Council Chambers - City Hall 100 East First Street Grand Island Council Session - 12/4/2012 Page 1 / 116 City of Grand Island Tuesday, December 4, 2012 Call to Order 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. Invocation - Pastor Harvey Johnson, Messiah Lutheran Church, 708 North Locust Street Pledge of Allegiance Roll Call 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. Grand Island Council Session - 12/4/2012 Page 2 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -1 Approving Minutes of November 27, 2012 City Council Regular Meeting Staff Contact: RaNae Edwards Grand Island Council Session - 12/4/2012 Page 3 / 116 CITY OF GRAND ISLAND, NEBRASKA MINUTES OF CITY COUNCIL REGULAR MEETING November 27, 2012 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 November 27, 2012. Notice of the meeting was given in The Grand Island Independent on November 21, 2012. 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, Vaughn Minton, and John Gericke. The following City Officials were present: City Administrator Mary Lou Brown, City Clerk RaNae Edwards, City Attorney Robert Sivick, Interim Public Works Director Terry Brown and Finance Director Jaye Monter. INVOCATION was given by Father Todd Philipsen, Blessed Sacrament Catholic Church, 518 West State Street followed by the PLEDGE OF ALLEGIANCE. Mayor Vavricek introduced Community Youth Council member Emma Kreutzer. PRESENTATIONS AND PROCLAMATIONS: Presentation of the “Mayor’s Builder Award” – Third City Community Clinic Dr. Sara Graybill, 2012 Physician Volunteer of the Year and Dr. Timothy Jacobs, 2012 Dentist Volunteer of the Year. Mayor Vavricek presented the “Mayor’s Builder Award” to Third City Community Clinic Dr. Sara Graybill 2012 Physician of the Year and Dr. Timothy Jacobs, 2012 Dentist Volunteer of the Year. Dr. Graybill, Mrs. Jacobs on behalf of Dr. Timothy Jacobs and his son Luke were present for the recognition. Also present and recognized was Susan Aguilar. Recognition of Grand Island Central Catholic Girls Volleyball Team for Class C-1 State Qualifiers. The Mayor and City Council recognized the Grand Island Central Catholic Girls Volleyball Team and Coach Sharon Zavala for qualifying for State in Class C-1. Six girls from the team were present. Recognition of Grand Island Northwest Girls Volleyball Team for Class “B” State Championship. The Mayor and City Council recognized the Grand Island Northwest Girls Volleyball Team and Coach Diane Rouzee for the Class “B” State Championship. Thirteen girls from the team were present along with Coach Rouzee and staff. Recognition of State Volleyball Tournament Recruitment Success to Grand Island. The Mayor and City Council recognized the efforts of Cindy Wells; Orv Qualsett; Convention Visitors Bureau; Sports Council; Heartland Events Center; Fonner Park, Nebraska School Activities Association; Northwest High School; Central Catholic High School; and Grand Island Senior High School for their successful efforts in recruiting the State Volleyball Tournaments for Grand Island. Present were Cindy Wells, Liz Gerberding, Dianne Willey, and Howard Schumann. Grand Island Council Session - 12/4/2012 Page 4 / 116 Page 2, City Council Regular Meeting, November 27, 2012 PUBLIC HEARINGS: Public Hearing on Request from Douglas & Mikaela Westerby on behalf of William Gulzow for a Conditional Use Permit for a Car Dealership Located at 233 East 2nd Street. Building Department Director Craig Lewis reported that Douglas & Mikaela Westerby on behalf of William Gulzow had applied for a Conditional Use Permit for the operation of an outdoor sales lot for new and used motor vehicles at 223 East 2nd Street. Staff recommended approval with conditions in City Code Section 36-105 along with removal of any encroachments in the right of way. Douglas & Mikaela Westerby, 3620 Catfish Avenue and William Gulzow, 2312 Viking Court spoke in support. No further public testimony was heard. Public Hearing on Amendment to the Redevelopment Plan Area 10 Located at 809-811 South Kimball Street. Regional Planning Director Chad Nabity reported that Token Properties LLC, developer, had submitted a proposed site specific redevelopment plan that would provide for site acquisition, clearance and extension of utilities and subsequent construction of a duplex at 809 and 811 Kimball Avenue. Staff recommended approval. No 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: #9410 - Consideration of City Council’s Approval of All Individual City Negotiators #9411 - Consideration of Amending Section 2-21 of the Grand Island City Code Regarding Compensation for Elected Officials (Council) #9412 - Consideration of Amending Section 2-18 of the Grand Island City Code Regarding Compensation for Elected Officials (Mayor) 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 seconded the motion. Upon roll call vote, all voted aye. Motion adopted. #9410 - Consideration of City Council’s Approval of All Individual City Negotiators Councilmember Larry Carney stated he brought this forward because he thought it to be in the City’s best interest. Mentioned was that the negotiation team speaks for the Council with no input or approval from Council. Margaret Hornady, 2708 Arrowhead Road spoke in opposition. Motion by Carney, second by Haase to approve Ordinance #9410. A lengthy discussion followed. Clarified was that this ordinance would not allow Councilmembers to sit in on negotiations or select the negotiation team, but would allow the Council to approve the negotiation team and strategies. Comments were made that the Council had the final decision on all contracts and if it wasn’t broken, don’t fix it. Grand Island Council Session - 12/4/2012 Page 5 / 116 Page 3, City Council Regular Meeting, November 27, 2012 Human Resources Director Brenda Sutherland commented on the process of negotiations, sharing information with the council during executive sessions, the make-up of the negotiation team, and the cost of an outside negotiator. City Clerk: Ordinance #9410 on first reading. All those in favor of the passage of this ordinance on first reading, answer roll call vote. Upon roll call vote, Councilmembers Haase, Carney, Niemann, Donaldson, Dugan, and Gericke voted aye. Councilmembers Ramsey, Gilbert, Nickerson, and Minton voted no. Motion adopted. City Clerk: Ordinance #9410 on final passage. All those in favor of the passage of this ordinance on final passage, answer roll call vote. Upon roll call vote, Councilmembers Haase, Carney, Niemann, Donaldson, Dugan, and Gericke voted aye. Councilmembers Ramsey, Gilbert, Nickerson, and Minton voted no. Motion adopted. Mayor Vavricek stated he was not in support of this ordinance. All union contracts in the past years had been approved and felt the current process wasn’t broken. Mayor then vetoed the vote. Motion by Carney, second by Gericke to override the veto. Upon roll call vote, Councilmembers Haase, Carney, Niemann, Donaldson, Dugan, and Gericke voted aye. Councilmembers Ramsey, Gilbert, Nickerson, and Minton voted no. Motion failed. #9411 - Consideration of Amending Section 2-21 of the Grand Island City Code Regarding Compensation for Elected Officials (Council) City Attorney Robert Sivick reported that this was similar to the Ordinance brought forward two weeks ago. The compensation for Council would increase from $6,000 to $9,000 to be effective December 4, 2012. Margaret Hornady, 2708 Arrowhead Road stated Council did need a raise but had concerns regarding the budget. Mentioned was that this be reviewed more often than every ten years. Motion by Gericke, second by Carney to approve Ordinance #9411. Discussion was held regarding other cities’ salaries and benefits. Motion by Niemann, second by Gericke to amend the motion to add that a review of salary increases for the Council be done every two years. Motion by Nickerson, second by Minton to amend the motion to change the annual amount from $9,000 to $7,200. Finance Director Jaye Monter stated the money would come from the non- department line item. Upon roll call vote, Councilmembers Haase, Ramsey, Gilbert, Nickerson, Donaldson, Dugan, and Minton voted aye. Councilmembers Carney, Niemann and Gericke voted no. Motion adopted. Upon roll call vote to amend the motion to add that a review of salary increases for the Council be done every two years, Councilmembers Haase, Carney, Niemann, Ramsey, Gilbert, Nickerson, Donaldson, Dugan, and Gericke voted aye. Councilmember Minton voted no. Motion adopted. Grand Island Council Session - 12/4/2012 Page 6 / 116 Page 4, City Council Regular Meeting, November 27, 2012 City Clerk: Ordinance #9411 on first reading. All those in favor of the passage of this ordinance on first reading, answer roll call vote. Upon roll call vote, all voted aye. Motion adopted. City Clerk: Ordinance #9411 on final passage. All those in favor of the passage of this ordinance 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, Ordinance #9411 is declared to be lawfully adopted upon publication as required by law. #9412 - Consideration of Amending Section 2-18 of the Grand Island City Code Regarding Compensation for Elected Officials (Mayor) Councilmember John Gericke stated this Ordinance would raise the Mayor’s salary from $13,000 to $16,000 per year beginning 2014. Motion by Gericke, second by Niemann to approve Ordinance #9412. Motion by Gericke to amend the annual compensation from $16,000 to $14,200. Motion died due to lack of a second. Motion by Dugan, second by Niemann to amend the motion and add a review of this salary during the budget of the fiscal year prior to the General Election. Upon roll call vote, Councilmembers Haase, Carney, Niemann, Ramsey, Gilbert, Nickerson, Donaldson, Dugan, and Minton voted aye. Councilmember Gericke voted no. Motion adopted. City Clerk: Ordinance #9412 on first reading. All those in favor of the passage of this ordinance on first reading, answer roll call vote. Upon roll call vote, all voted aye. Motion adopted. City Clerk: Ordinance #9412 on final passage. All those in favor of the passage of this ordinance 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, Ordinance #9412 is declared to be lawfully adopted upon publication as required by law. CONSENT AGENDA: Motion by Ramsey, second by Niemann to approve the Consent Agenda. Upon roll call vote, all voted aye. Motion adopted. Approving Minutes of November 13, 2012 City Council Regular Meeting. Approving Re-Appointment of Jolene Wojcik to the Grand Island Facilities Corporation Board. Approving Liquor Manager Designation for Sage Rath, 2539 Del Monte Avenue for Ruby Tuesday, 3429 West 13th Street. #2012-340 – Approving Bid for Four (4) Outdoor Warning Sirens with Federal Signal Corporation of University Park, IL in an amount of $54,476.00. Grand Island Council Session - 12/4/2012 Page 7 / 116 Page 5, City Council Regular Meeting, November 27, 2012 #2012-341 – Approving Increase to the Bid Award to Rinker Materials for the Southwest Outfall Drainage Pipe; Drainage Project NO. 2011-D-1 in an Amount of $208,403.88. REQUESTS AND REFERRALS: Consideration of Request from Douglas & Mikaela Westerby on behalf of William Gulzow for a Conditional Use Permit for a Car Dealership Located at 223 East 2nd Street. This item related to the aforementioned Public Hearing. Motion by Donaldson, second by Minton to approve the request with conditions. Upon roll call vote, all voted aye. Motion adopted. RESOLUTIONS: #2012-342 – Approving Revised Fiscal Year Budget Authority for the North Interceptor – Phase 1 Improvements; Project 2012-S-6. Interim Public Works Director Terry Brown reported that the North Interceptor project consisted of multiple phases budgeted over multiple years. Black and Veatch recommended the City consolidate Phase 1A and Phase 1B, ($5,136,035) budgeted over FY 2013 and FY 2014 into FY 2031 to save money. He answered questions stating there would be no effect on rate payers and the money would be borrowed. Finance Director Jaye Monter explained the Capital Budget for WWTP and budget authority vs. actual expense. Motion by Haase, second by Niemann to approve Resolution #2012-342. Upon roll call vote, all voted aye. Motion adopted. #2012-343 – Approving Amendment to the Redevelopment Plan Area 10 Located at 809-811 South Kimball Street. This item related to the aforementioned Public Hearing item. Motion by Gilbert, second by Donaldson to approve Resolution #2012-343. Upon roll call vote, all voted aye. Motion adopted. PAYMENT OF CLAIMS: Motion by Dugan, second by Nickerson to approve the Claims for the period of November 14, 2012 through November 27, 2012, for a total amount of $5,084,367.62. Unanimously approved. ADJOURNMENT: The meeting was adjourned at 9:20 p.m. RaNae Edwards City Clerk Grand Island Council Session - 12/4/2012 Page 8 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -2 Acceptance of Election Certificate State law requires the governing body to formally accept the certificate of election issued by the Hall County Election Commissioner for the November 6, 2012 City Council General Election. An election certificate containing the vote totals and results is attached. A MOTION to accept the election certificate is in order. Staff Contact: RaNae Edwards Grand Island Council Session - 12/4/2012 Page 9 / 116 Grand Island Council Session - 12/4/2012 Page 10 / 116 Grand Island Council Session - 12/4/2012 Page 11 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -3 Comments by Outgoing Officials This is an opportunity for comments by the outgoing elected Officials. Staff Contact: Grand Island Council Session - 12/4/2012 Page 12 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -4 Recess The meeting will be recessed momentarily to prepare for the transition to the new governing body. The newly elected officials will remain seated in the audience until such time as they are called forward for the Oath of Office which will be administered by the City Clerk at the podium. Staff Contact: Grand Island Council Session - 12/4/2012 Page 13 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -5 Administration of Oath of Office to Newly Elected Councilmembers City Clerk RaNae Edwards will administer the Oath of Office to newly elected Councilmembers Julie Hehnke - Ward 3 and Mike Paulick - Ward 4 and the three returning Councilmembers Bob Niemann - Ward 1, Scott Dugan - Ward 2, and Chuck Haase - Ward 5. Staff Contact: RaNae Edwards Grand Island Council Session - 12/4/2012 Page 14 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -6 Seating of Newly Elected Councilmembers followed by Roll Call Following the administration of the Oath of Office to Councilmembers Bob Niemann, Scott Dugan, Julie Hehnke, Mike Paulick, and Chuck Haase, along with the current Councilmembers, seating will take place at the City Council table. Roll call will follow. Staff Contact: Grand Island Council Session - 12/4/2012 Page 15 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -7 Comments by Newly Elected Officials At this time, comments will be made by the newly elected Officials. Staff Contact: Grand Island Council Session - 12/4/2012 Page 16 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item -8 Election of City Council President The City Council is required to elect one Councilmember to the office of Council President. The term is for a one-year period. The Council President automatically assumes the duties of the Mayor in the event that the Mayor is absent or otherwise unable to fulfill his/her duties. Nebraska law allows the election of the Council President to be by secret ballot. The total number of votes for each candidate; however, must be stated and recorded in the Minutes. Past practice has included a run-off election between the top two nominees, if necessary. The City Clerk will prepare, distribute, and count ballots. Nominations to fill the vacancy are in order. A second is not required on nominations. Staff Contact: Grand Island Council Session - 12/4/2012 Page 17 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item E1 Public Hearing Regarding State Revolving Funds for the Extension of City Sanitary Sewer along US Highway 281 to Interstate 80 Staff Contact: Terry Brown, Interim Public Works Director Grand Island Council Session - 12/4/2012 Page 18 / 116 Council Agenda Memo From:Terry Brown, Manager of Engineering Services Meeting:December 4, 2012 Subject:Public Hearing Regarding State Revolving Funds for the Extension of City Sanitary Sewer along US Highway 281 to Interstate 80 Item #’s:E-1 Presenter(s):Terry Brown, Interim Public Works Director Background The City was approached by Nebraska Department of Environmental Quality (NDEQ) and several businesses along US Highway 281 in the vicinity of Interstate 80 about the possibility of extending City sanitary sewer to serve their property. The businesses currently treat their wastewater and will have to invest significant dollars into their existing treatment systems, in order to address permit issues with the Nebraska Department of Environmental Quality (NDEQ) National Pollutant Discharge Elimination System (NPDES). As an alternative, the dollars that the businesses would spend upgrading their private systems could be put towards a public/private project to extend City sanitary sewer to serve their properties. With the potential for a significant investment into private wastewater treatment systems, it is prudent to consider extending City sanitary sewer. Discussion The sanitary sewer project consists of an extension of gravity sewer beginning at the southeast corner of Wildwood Subdivision (tie in to City system) and will include approximately: 205 l.f. of 24” gravity sewer followed by 4,863 l.f. of 21” gravity sewer followed by 5,518 l.f. of 18” gravity sewer terminating at north bank of Platte River near Bosselman Travel Center. A new lift Station near Quality Inn Motel will be able to pump to the gravity sewer. Additionally, 6,500 l.f. of 6” or 8” force main sewer from the lift station near Quality Inn Motel would then be installed to connect to gravity sewer near Bosselman Travel Center. This system is sized appropriately for possible future connections in the area. Grand Island Council Session - 12/4/2012 Page 19 / 116 The total project cost is estimated at $2.5 million, with funding provided from the NDEQ State Revolving Funds (SRF) at 2.5% interest for 20 years. The funding is expected to be repaid through tap fees, via an Interlocal Agreement or Sanitary Sewer Improvement District and would not affect the existing sewer rates for the Grand Island sewer customers. There is also approximately $350,000 in environmental penalty money from JBS Swift that will be applied to this project or the Wildwood sanitary sewer project. Conclusion This public hearing is being held to allow for general information and discussion on the proposed project and allow for interested parties to appear and express their views. Grand Island Council Session - 12/4/2012 Page 20 / 116 Grand Island Council Session - 12/4/2012 Page 21 / 116 Grand Island Council Session - 12/4/2012 Page 22 / 116 Grand Island Council Session - 12/4/2012 Page 23 / 116 Grand Island Council Session - 12/4/2012 Page 24 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item F1 #9413 – Consideration of Amending Salary Ordinance Relative to Crime Analyst Staff Contact: Brenda Sutherland Grand Island Council Session - 12/4/2012 Page 25 / 116 Council Agenda Memo From:Brenda Sutherland, Human Resources Director Meeting:December 4, 2012 Subject:Consideration of Approving Salary Ordinance No. 9413 Item #’s:F - 1 Presenter(s):Brenda Sutherland, Human Resources Director Background Wages for City employees are presented to the City Council for approval in the form of a salary ordinance. Discussion An ordinance is being brought forward for Council consideration to support the salary table for the new position in the Police Department – Crime Analyst. The addition of this position was recommended in the ICMA Safety Study and later presented by Chief Lamken to Council as a part of the 2012/2013 implementation. The addition of this position was proposed and approved in the 2012/2013 budget. This is a civilian position and part of the non-union employee group. The salary table was based on comparable positions within the Midwest region. This action is required to fill the position. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Grand Island Council Session - 12/4/2012 Page 26 / 116 Recommendation Recommend approval of Salary Ordinance No. 9413 Sample Motion Move to approve Salary Ordinance No. 9413 Grand Island Council Session - 12/4/2012 Page 27 / 116 Approved as to Form ¤ ___________ ¤ City Attorney ORDINANCE NO. 9413 An ordinance to amend Ordinance 9408 known as the Salary Ordinance which lists the currently occupied classifications of officers and employees of the City of Grand Island, Nebraska and established the ranges of compensation of such officers and employees; to amend the salary ranges of the employees covered under the IAFF labor agreementadd the non-union position and salary range of Crime Analyst; to amend the IAFF uniform allowance; to add a VEBA contribution to employees covered under the IAFF labor agreement; and to repeal those portions of Ordinance No. 9408 and any parts of other ordinances in conflict herewith; to provide for severability; to provide for the effective date thereof; and to provide for publication of this ordinance in pamphlet form. BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA: SECTION 1. The currently occupied classifications of officers and general employees of the City of Grand Island, and the ranges of compensation (salary and wages, excluding shift differential as provided by Personnel Rules & Regulations) to be paid for such classifications, and the number of hours and work period which certain officers and general employees shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Accountant 22.4279/31.6234 Exempt Accounting Technician – Solid Waste 15.5678/20.4664 40 hrs/week Assistant to the City Administrator 21.8156/30.7100 Exempt Assistant Utilities Director – Distribution 42.3235/59.5726 Exempt Assistant Utilities Director – Production 45.8314/64.5335 Exempt Assistant Utilities Director – Transmission 45.8314/64.5335 Exempt Attorney 27.9079/43.0605 Exempt Biosolids Technician 17.6851/24.8946 40 hrs/week Grand Island Council Session - 12/4/2012 Page 28 / 116 ORDINANCE NO. 9413(Cont.) - 2 - Classification Hourly Pay Range Min/Max Overtime Eligibility Building Department Director 32.6923/46.5165 Exempt CADD Operator 20.0830/28.3238 40 hrs/week Cemetery Superintendent 19.0049/26.7560 Exempt City Administrator 55.9204/78.6858 Exempt City Attorney 38.6391/54.3834 Exempt City Clerk 23.3413/32.8583 Exempt Civil Engineering Manager – Utility PCC 33.2113/47.4194 Exempt Collection System Supervisor 22.4072/31.8516 40 hrs/week Community Service Officer 12.5580/17.0727 40 hrs/week Crime Analyst 16.9250/23.9146 40 hrs/week Custodian – Library, Police 11.5082/16.2398 40 hrs/week Customer Service Representative – Part time 8.3028/12.4542 40 hrs/week Electric Distribution Superintendent 32.4329/44.4511 Exempt Electric Distribution Supervisor 27.3888/37.5598 40 hrs/week Electric Underground Superintendent 28.8834/39.5940 Exempt Electrical Engineer I 26.2888/36.2831 Exempt Electrical Engineer II 30.4920/42.0433 Exempt Emergency Management Deputy Director 22.1684/30.3155 Exempt Emergency Management Director 31.5506/43.1330 Exempt Engineering Technician - WWTP 19.5842/27.6691 40 hrs/week Equipment Operator - Solid Waste 15.6941/22.1018 40 hrs/week Finance Director 37.0389/52.1218 Exempt Fire Chief 35.3388/50.0763 Exempt Fire Division Chief 28.9011/41.7174 Exempt Fleet Services Shop Foreman 19.9371/27.7729 40 hrs/week Golf Course Superintendent 23.6733/34.1660 Exempt Grounds Management Crew Chief – Cemetery 17.7504/24.9797 40 hrs/week Grounds Management Crew Chief – Parks 18.2829/25.7289 40 hrs/week Human Resources Director 33.4291/47.6270 Exempt Human Resources Benefits & Risk Management Coordinator 17.9029/26.3095 40 hrs/week Grand Island Council Session - 12/4/2012 Page 29 / 116 ORDINANCE NO. 9413(Cont.) - 3 - Classification Hourly Pay Range Min/Max Overtime Eligibility Human Resources Recruiter 17.9029/26.3095 40 hrs/week Human Resources Specialist 16.5454/23.2779 40 hrs/week Information Technology Manager 30.0500/42.2806 Exempt Legal Secretary 19.6880/26.4755 40 hrs/week Librarian I 17.1973/23.9225 Exempt Librarian II 19.0445/26.8284 Exempt Library Assistant I 12.0495/16.5849 40 hrs/week Library Assistant II 13.2741/18.2973 40 hrs/week Library Assistant Director 21.6911/30.9176 Exempt Library Director 29.3500/41.3135 Exempt Library Page 7.7112/10.6691 40 hrs/week Library Secretary 14.4158/20.4872 40 hrs/week Maintenance Worker – Golf 14.4702/20.4067 40 hrs/week Manager of Engineering Services 31.9969/45.9249 Exempt Meter Reader Supervisor 18.2004/25.6316 Exempt Office Manager – Police Department 15.7649/21.8370 40 hrs/week Parks and Recreation Director 33.1958/46.6910 Exempt Parks Superintendent 23.1960/32.8064 Exempt Payroll Specialist 16.5454/23.2779 40 hrs/week Planning Director 32.9151/46.3066 Exempt Police Captain 27.7936/39.0959 Exempt Police Chief 35.3388/50.0763 Exempt Power Plant Maintenance Supervisor 29.1128/40.9509 Exempt Power Plant Operations Supervisor 30.3053/43.6313 Exempt Power Plant Superintendent – Burdick 33.1911/46.7060 Exempt Power Plant Superintendent – PGS 38.2643/53.8199 Exempt Project Manager – Public Works 29.5060/41.5140 Exempt Public Information Officer 20.8400/29.3296 Exempt Public Works Director 37.1814/52.3223 Exempt Public Works Engineer 30.8040/43.3500 Exempt Receptionist 12.8693/18.6191 40 hrs/week Grand Island Council Session - 12/4/2012 Page 30 / 116 ORDINANCE NO. 9413(Cont.) - 4 - Classification Hourly Pay Range Min/Max Overtime Eligibility Recreation Coordinator 16.8131/23.4554 Exempt Recreation Superintendent 21.7221/31.1666 Exempt Regulatory and Environmental Manager 28.7103/40.3848 Exempt Senior Accountant 27.3163/38.0269 Exempt Senior Electrical Engineer 33.3669/46.0079 Exempt Senior Public Safety Dispatcher 16.8132/22.9781 40 hrs/week Senior Utility Secretary 14.8672/21.2293 40 hrs/week Shooting Range Superintendent 21.7221/31.1666 Exempt Solid Waste Division Clerk - Full Time 14.8309/19.8645 40 hrs/week Solid Waste Division Clerk - Part Time 13.2052/18.0379 40 hrs/week Solid Waste Foreman 16.4790/23.1878 40 hrs/week Solid Waste Superintendent 23.8484/33.5591 Exempt Street Superintendent 24.3895/35.5048 Exempt Street Foreman 19.1795/27.2539 40 hrs/week Turf Management Specialist 21.2760/30.1185 40 hrs/week Utilities Director 53.9371/77.2888 Exempt Utility Production Engineer 34.1231/48.0224 Exempt Utility Services Manager 27.7625/38.6391 Exempt Utility Warehouse Supervisor 22.6459/31.6337 40 hrs/week Victim Assistance Unit Coordinator 13.0250/18.3388 40 hrs/week Wastewater Engineering/Operations Superintendent 26.6209/37.6636 Exempt Wastewater Plant Chief Operator 19.6672/27.7209 40 hrs/week Wastewater Plant Engineer 31.9969/45.9249 Exempt Wastewater Plant Operations Engineer 30.8040/43.3500 Exempt Wastewater Plant Maintenance Supervisor 23.7771/32.0177 40 hrs/week Wastewater Plant Process Supervisor 24.6489/33.2320 40 hrs/week Water Superintendent 25.1378/35.5048 Exempt Water Supervisor 21.7014/31.2704 40 hrs/week Worker / Seasonal 7.2500/20.0000 Exempt Worker / Temporary 7.2500/20.0000 40 hrs/week Grand Island Council Session - 12/4/2012 Page 31 / 116 ORDINANCE NO. 9413(Cont.) - 5 - A shift differential of $0.10 per hour shall be added to the base hourly wage for persons in the employee classification Senior Public Safety Dispatcher who work a complete shift that begins between 3:00 p.m. and 11:00 p.m. This does not include persons who work the day shift. Shift differential will only be paid for actual hours worked. Paid leave will not qualify for the shift differential pay. SECTION 2. The currently occupied classifications of employees of the City of Grand Island included under the AFSCME labor agreement, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the AFSCME labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Equipment Operator – Streets 14.5767/21.5934 40 hrs/week Fleet Services Mechanic 16.6282/24.6359 40 hrs/week Horticulturist 15.3913/22.8439 40 hrs/week Maintenance Worker – Cemetery 14.4663/21.4480 40 hrs/week Maintenance Worker – Parks 14.3698/21.3172 40 hrs/week Maintenance Worker – Streets 14.0660/20.8518 40 hrs/week Senior Equipment Operator – Streets 15.9708/23.6876 40 hrs/week Senior Maintenance Worker – Streets 15.9708/23.6876 40 hrs/week Traffic Signal Technician 15.9708/23.6876 40 hrs/week SECTION 3. The currently occupied classifications of employees of the City of Grand Island included under the IBEW labor agreements, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the IBEW labor agreements shall work prior to overtime eligibility are as follows: Grand Island Council Session - 12/4/2012 Page 32 / 116 ORDINANCE NO. 9413(Cont.) - 6 - Classification Hourly Pay Range Min/Max Overtime Eligibility Accounting Clerk 14.9673/19.8062 40 hrs/week Cashier 13.7374/18.7196 40 hrs/week Custodian 16.0413/18.9426 40 hrs/week Electric Distribution Crew Chief 29.3015/37.2660 40 hrs/week Electric Underground Crew Chief 29.3015/37.2660 40 hrs/week Engineering Technician I 18.4653/26.4203 40 hrs/week Engineering Technician II 22.8267/31.2985 40 hrs/week GIS Coordinator 23.4851/32.9545 40 hrs/week Instrument Technician 27.5431/36.3866 40 hrs/week Lineworker Apprentice 17.8613/26.1902 40 hrs/week Lineworker First Class 27.0737/32.0204 40 hrs/week Materials Handler 22.2927/29.8827 40 hrs/week Meter Reader 16.0618/20.9450 40 hrs/week Meter Technician 21.5951/26.6894 40 hrs/week Power Dispatcher I 27.0437/37.6013 40 hrs/week Power Dispatcher II 28.4043/39.4869 40 hrs/week Power Plant Maintenance Mechanic 25.5997/31.8764 40 hrs/week Power Plant Operator 30.2423/35.2271 40 hrs/week Senior Accounting Clerk 16.8236/22.0375 40 hrs/week Senior Engineering Technician 28.8821/35.3452 40 hrs/week Senior Materials Handler 25.6677/33.4801 40 hrs/week Senior Meter Reader 19.0229/22.5779 40 hrs/week Senior Power Dispatcher 32.8576/45.0898 40 hrs/week Senior Power Plant Operator 29.8174/38.2249 40 hrs/week Senior Substation Technician 35.1077/36.3866 40 hrs/week Senior Water Maintenance Worker 20.8590/27.4666 40 hrs/week Substation Technician 32.5005/33.7907 40 hrs/week Systems Technician 28.6421/36.3866 40 hrs/week Tree Trim Crew Chief 25.6577/31.8632 40 hrs/week Utility Electrician 25.7121/33.7907 40 hrs/week Utility Technician 25.1128/35.3247 40 hrs/week Grand Island Council Session - 12/4/2012 Page 33 / 116 ORDINANCE NO. 9413(Cont.) - 7 - Classification Hourly Pay Range Min/Max Overtime Eligibility Utility Warehouse Clerk 18.5559/22.8936 40 hrs/week Water Maintenance Worker 17.3788/24.0331 40 hrs/week Wireworker I 19.5235/27.6062 40 hrs/week Wireworker II 27.0737/32.0204 40 hrs/week SECTION 4. The currently occupied classifications of employees of the City of Grand Island included under the FOP labor agreement, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the FOP labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Police Officer 18.1153/25.3239 Police Sergeant 22.6731/31.0673 OVERTIME ELIGIBILITY The City has reserved its right to the utilization of the 207(k) FLSA exemption and will implement this as the hours of work effective the first full pay period following the execution of the labor agreement. The pay period for purposes of calculating overtime shall consist of a fourteen (14) day cycle that runs concurrent with the City’s current payroll cycle. For purposes of calculating eligibility for overtime, “hours worked” shall include actual hours worked, vacation, personal leave and holiday hours. Employees shall be eligible for overtime when they exceed their hours scheduled for work in the fourteen (14) day pay cycle with a minimum of eighty (80) hours. There shall also be established for each employee in the bargaining unit a Training and Special Events bank of fifty (50) hours per individual per contract year. Each Grand Island Council Session - 12/4/2012 Page 34 / 116 ORDINANCE NO. 9413(Cont.) - 8 - employee may be scheduled for training or special event duty with a minimum of seven (7) days notice prior to the commencement of the pay period and the training and special events bank hours may be added to the eighty (80) hour, two (2) week pay period up to eighty-six (86) hours and these hours shall not be eligible for overtime. Training and special events hours worked in excess of eighty-six (86) hours in a two week pay period will be eligible for overtime, but will not be subtracted from the training and special events bank. All work completed after eighty (80) hours in a pay period that is performed for work that is funded by grants from parties outside or other than the City of Grand Island, shall be paid overtime for the time worked after eighty (80) hours, if the time is funded at overtime rates by the grant. Any such grant hours are not deducted from the training and special events bank. SECTION 5. The currently occupied classifications of employees of the City of Grand Island included under the IAFF labor agreement, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the IAFF labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Fire Captain 17.3016/23.9899 212 hrs/28 days Firefighter / EMT 12.8542/18.6543 212 hrs/28 days Firefighter / Paramedic 14.3516/20.2692 212 hrs/28 days IAFF employees will be eligible for overtime pay for hours worked in excess of 212 hours in each 28-day pay period, unless recall or mandatory overtime is required as specified in the IAFF labor agreement. Grand Island Council Session - 12/4/2012 Page 35 / 116 ORDINANCE NO. 9413(Cont.) - 9 - SECTION 6. The currently occupied classifications of the employees of the City of Grand Island included under the IBEW-WWTP labor agreement, and the ranges of compensation salary and wages, excluding shift differential as provided by contract, to be paid for such classifications, and the number of hours and work period which certain such employees included under the IBEW-WWTP labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Accounting Technician – WWTP 14.7941/20.8166 40 hrs/week Equipment Operator – WWTP 16.7956/23.6332 40 hrs/week Maintenance Mechanic I 16.7956/23.6332 40 hrs/week Maintenance Mechanic II 18.8056/26.4615 40 hrs/week Maintenance Worker – WWTP 16.7956/23.6332 40 hrs/week Senior Equipment Operator – WWTP 18.1547/25.5454 40 hrs/week Wastewater Clerk 12.6376/17.7821 40 hrs/week Wastewater Plant Laboratory Technician 17.8292/25.0874 40 hrs/week Wastewater Plant Operator I 15.0216/21.1372 40 hrs/week Wastewater Plant Operator II 16.7956/23.6332 40 hrs/week SECTION 7. The currently occupied classifications of the employees of the City of Grand Island included under the IBEW-Service/Clerical labor agreement, and the ranges of compensation salary and wages to be paid for such classifications, and the number of hours and work period which certain such employees included under the IBEW-Service/Clerical labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Accounting Technician – Streets 15.8461/21.1529 40 hrs/week Accounts Payable Clerk 15.0304/21.7460 40 hrs/week Administrative Assistant 15.6343/22.4239 40 hrs/week Grand Island Council Session - 12/4/2012 Page 36 / 116 ORDINANCE NO. 9413(Cont.) - 10 - Audio Video Technician 15.7825/22.2650 40 hrs/week Building Inspector 19.5217/27.6989 40 hrs/week Building Secretary 14.7127/20.9092 40 hrs/week Community Development Administrator 17.0325/24.4895 40 hrs/week Community Development Specialist 15.6343/22.4239 40 hrs/week Computer Operator 18.9920/24.9662 40 hrs/week Computer Programmer 21.6612/31.7452 40 hrs/week Computer Technician 19.5618/25.7156 40 hrs/week Electrical Inspector 19.5217/27.6989 40 hrs/week Emergency Management Coordinator 14.7127/20.9092 40 hrs/week Engineering Technician – Public Works 20.0830/28.3238 40 hrs/week Evidence Technician 14.6068/21.3752 40 hrs/week Finance Secretary 14.7127/20.9092 40 hrs/week GIS Coordinator 22.2676/31.2460 40 hrs/week Maintenance Worker I – Building, Library 15.3482/20.7715 40 hrs/week Maintenance Worker II – Building, Police 16.1744/21.9260 40 hrs/week Parks and Recreation Secretary 14.7127/20.9092 40 hrs/week Planning Secretary 14.7127/20.9092 40 hrs/week Planning Technician 20.1433/28.3407 40/hrs/week Plans Examiner 19.5217/27.6989 40 hrs/week Plumbing Inspector 19.5217/27.6989 40 hrs/week Police Records Clerk – Full Time 13.1344/18.2824 40 hrs/week Public Safety Dispatcher 14.8292/21.6612 40 hrs/week Shooting Range Operator 20.3795/27.6247 40 hrs/week Stormwater Technician 20.0830/28.3238 40 hrs/week Utility Secretary 14.7127/20.9092 40 hrs/week Grand Island Council Session - 12/4/2012 Page 37 / 116 ORDINANCE NO. 9413(Cont.) - 11 - A shift differential of $0.10 per hour shall be added to the base hourly wage for persons in the employee classification Public Safety Dispatcher who work a complete shift that begins between 3:00 p.m. and 11:00 p.m. This does not include persons who work the day shift. Shift differential will only be paid for actual hours worked. Paid leave will not qualify for the shift differential pay. SECTION 8. The classification of employees included under labor agreements with the City of Grand Island, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees shall work prior to overtime eligibility are as stated above. All employees covered by the IAFF labor agreement shall be paid a clothing and uniform allowance in addition to regular salary in the amount of $529.92 per year, divided into twenty-four (24) pay periods. All employees of the FOP labor agreement shall be paid a clothing and uniform allowance in addition to regular salary of $25.00 per pay period. If any such employee covered by the IAFF or FOP labor agreements shall resign, or his or her employment be terminated for any reason whatsoever, the clothing allowance shall be paid on a prorata basis, but no allowance shall be made for a fraction of a month. Employees covered by the IBEW – Utilities, the IBEW – Finance labor agreements, and the non-union position of Meter Reader Supervisor who are required to wear full fire retardant clothing will be eligible for an annual stipend of $600 to purchase or rent required uniforms. Those employees who are required to wear partial fire retardant clothing will be eligible for an annual stipend of $350. Employees will be reimbursed for said purchases with a receipt showing proof of purchase. Grand Island Council Session - 12/4/2012 Page 38 / 116 ORDINANCE NO. 9413(Cont.) - 12 - Fire Chief and Fire Division Chiefs shall be paid a clothing allowance of $484.08 per year, divided into 24 pay periods. Police Chief and Police Captains shall be paid a clothing allowance of $650.00 per year, divided into 26 pay periods. Non-union employees and employees covered by the FOP labor agreement, the IBEW Utilities, Finance, Service/Clerical and Wastewater Treatment Plant labor agreements may receive an annual stipend not to exceed $1,000 for bilingual pay. Employees covered by the AFSCME labor agreement shall be granted a meal allowance of $4.50 if they are required to work two (2) hours overtime consecutively with their normal working hours during an emergency situation, and if such overtime would normally interfere with and disrupt the employee’s normal meal schedule. Employees covered by the IBEW - Utilities and IBEW – Finance labor agreements shall be allowed a meal allowance for actual cost, or up to $7.00 per meal, if they are required to work two (2) hours overtime consecutively with their normal working hours and if such overtime would normally interfere with and disrupt the employee’s normal meal schedule. Direct supervisors of employees who are covered by labor agreements which allow overtime meal allowance shall be entitled to the same meal allowance benefit. Non-exempt direct supervisors of employees who are covered by labor agreements which allow stand-pay shall be entitled to the same stand-by pay benefit. Utilities Department personnel in the IBEW bargaining unit and the classifications of Meter Reader Supervisor, Power Plant Superintendent, Power Plant Supervisor, Electric Distribution Superintendent, Electric Distribution Supervisor, Water Superintendent, Water Supervisor, Electric Underground Superintendent, and Engineering Technician Supervisor shall be eligible to participate in a voluntary uniform program providing an allowance up to Grand Island Council Session - 12/4/2012 Page 39 / 116 ORDINANCE NO. 9413(Cont.) - 13 - $18.00 per month. When protective clothing is required for Utilities Department and Wastewater Treatment Plant personnel covered by the IBEW labor agreement and employees covered by the AFSCME labor agreement, except the Fleet Services Division of the Public Works Department, the City shall pay 60% of the cost of providing and cleaning said clothing and the employees 40% of said cost. Full-time Fleet Services personnel shall receive a uniform allowance of $12 biweekly. Public Works Department personnel in the job classifications of Fleet Services Shop Foreman and Fleet Services Mechanic shall receive a tool allowance of $10 biweekly. SECTION 9. Employees shall be compensated for unused medical leave as follows: (A) All employees covered in the IBEW Utilities and IBEW Finance labor agreements shall be paid for forty-seven percent (47%) of their accumulated medical leave at the time of their retirement, early retirement, or death, not to exceed four hundred eighty-eight and one third hours (calculated at 47% x 1039 hours = 488.33 hours), the rate of compensation to be based on the employee’s salary at the time of retirement or death. Employees covered in the IAFF labor agreement shall have a contribution to a VEBA made on their behalf in lieu of payment for thirty-eight percent (38%) of their accumulated medical leave at the time of their retirement, not to exceed five hundred ninety-eight and eighty-eight hundredths hours (calculated at 38% x 1,576 hours = 598.88 hours). The amount of contribution will be based upon the employee’s salary at the time of retirement. Employees covered by the IBEW Wastewater labor agreement shall be paid 37.5% of their accumulated medical leave at the time of retirement or death, based on the employee’s salary at the time of retirement not to exceed three Grand Island Council Session - 12/4/2012 Page 40 / 116 ORDINANCE NO. 9413(Cont.) - 14 - hundred ninety-nine hours (calculated at 37.5% x 1064 hours = 399 hours). Employees covered by the IBEW Service/Clerical labor agreement shall have a contribution to a VEBA made on their behalf in lieu of payment for forty percent (40%) of their accumulated medical leave at the time of retirement or death, based on the employee’s salary at the time of retirement not to exceed 433.60 hours (calculated at 40% x 1084 hours = 433.60 hours.) Non-union employees shall have a contribution to a VEBA made on their behalf in lieu of payment for fifty percent (50%) of their accumulated medical leave at the time of their retirement, not to exceed five hundred forty-two hours (calculated at 50% x 1084 = 542). The amount of contribution will be based upon the employee’s salary at the time of retirement. All employees covered by the AFSCME labor agreement shall be paid forty-five (45%) of their accumulated medical leave bank at the time of their retirement, based on the employee’s salary at the time of retirement not to exceed four hundred seventy-eight and eighty hundredths hours (calculated at 45% x 1064 hours = 478.80 hours). All employees covered under the FOP labor agreement shall be paid thirty-seven and one-half percent (37.5%) of their accumulated medical leave bank at the time of their retirement, not to exceed four hundred five hours (calculated at 37.5% x 1,080 hours = 405 hrs.), based on the employee’s salary at the time of retirement. If death occurs while in the line of duty, employees covered under the FOP labor agreement shall be paid fifty percent (50%) of their accumulated medical leave bank at the time of their death, not to exceed five hundred forty hours (50% x 1,080 hours = 540 hrs.), based on the employee’s salary at the time of their death. Grand Island Council Session - 12/4/2012 Page 41 / 116 ORDINANCE NO. 9413(Cont.) - 15 - (B) The City Administrator and department heads shall have a contribution made to their VEBA for one-half of their accumulated medical leave, not to exceed 30 days of pay, upon their resignation, the rate of compensation to be based upon the salary at the time of termination. Compensation for unused medical leave at retirement shall be as provided for non-union employees. (C) The death of an employee shall be treated the same as retirement, and payment shall be made to the employee’s beneficiary or estate for one-half of all unused medical leave for non-union employees and as defined in labor agreements for all other employees. SECTION 10. Non-union employees shall have a contribution made on their behalf to their VEBA account in the amount of $30.00 per pay period. Employees represented by the IBEW Service/Clerical labor agreement shall have a contribution made on their behalf to the VEBA account of $15 per pay period. Employees represented by the IAFF labor agreement shall have a contribution made on their behalf to the VEBA account of $10 per pay period. SECTION 11. The validity of any section, subsection, sentence, clause, or phrase of this ordinance shall not affect the validity or enforceability of any other section, subsection, sentence, clause, or phrase thereof. SECTION 12. The adjustments identified herein shall be effective on the date of passage and publication in pamphlet form in one issue of the Grand Island Independent as provided by law. retroactive to October 1, 2012. Grand Island Council Session - 12/4/2012 Page 42 / 116 ORDINANCE NO. 9413(Cont.) - 16 - SECTION 13. Those portions of Ordinance No. 9408 and all other parts of ordinances in conflict herewith be, and the same are, hereby repealed. Enacted: December 4, 2012. ____________________________________ Jay Vavricek, Mayor Attest: ________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 43 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G1 #2012-347 - Approving Contract for Digital Antenna Project Staff Contact: Robert J. Sivick, City Attorney Grand Island Council Session - 12/4/2012 Page 44 / 116 Council Agenda Memo From:Jeremy Watson, Grand Island Television Meeting:December 4, 2012 Subject:Approving Contract for Digital Antenna Project Item #’s:G-1 Presenter(s):Wendy Meyer-Jerke, Public Information Officer Background In 1994, a low power analogue television transmitter was installed to broadcast GITV programming to households that do not subscribe to cable television. K56FC, Channel 56, was assigned for this purpose and continues to broadcast the same content as Charter Cable Channel 6. Grand Island Television recently received its FCC approval to move from our current, over- the-air analogue Channel 56, to Channel 50, and begin broadcasting a digital signal. Discussion The current analogue antenna (approximately the top 20 feet) atop the City Hall monopole will be removed and replaced with a digitally compliant antenna, not exceeding that of current antenna weight or wind load, operating on a new frequency of 686.692 MHz. Removal and install is estimated at 6 -8 hours. To ensure the highest level of safety, the project will be scheduled on a Saturday. This 400 Fund Capital Improvement project was anticipated and budgeted for a cost of approximately $65,000.00. After further analysis, we are forecasting a cost of $62,000.00 or less. This digital antenna will be a 12-bay elliptically polarized top mount steel structure with an omnioid pattern and slot covers. The new antenna will broadcast 250w of digital transmitter power allowing most non-cable subscribing residents in and around the Grand Island area access to a digital over-the-air GITV programming signal. Grand Island Council Session - 12/4/2012 Page 45 / 116 Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the contract with Alive Telecommunications be approved. Sample Motion Move to approve the contract with Alive Telecommunications for the engineering and implementation of a new digital antenna. Grand Island Council Session - 12/4/2012 Page 46 / 116 Jeremy Watson City Of Grand Island Alive Telecommunications 100 E. First St 9850 W. 190th St. Suite F Grand Island, NE 68802 Mokena, IL 60448 Phone 308-385-5444 Phone: 708 478 6886 jeremyw@grand-island.com Fax: 708 478 6892 www.alivetele.com 1 Quotation Date 11-2-2012 Valid Thru 2-2-2013 Quote # LK12105_Rev2 K56FC CH 50Antenna Grand Island, NE Submitted To Jeremy Watson Line Product Qty List Price Net Price 1 ATC-BCE412O-50 12-bay elliptically polarized top mount steel antenna with an omnioid pattern and slot covers. Preliminary drawing attached. The antenna will broadcast an ERP of 3kW with 250W of transmitter power. Antenna will be less weight and wind load than the current antenna on the monopole. Antenna will have 30% vertical polarization, specifications attached. It will include installation with the help of the City of Grand Island to block the road while the installation is taking place. Estimate time of 6-8 hours on a Saturday. This also includes project management and antenna System sweep by an Alive Telecom Engineer. 1 $58,750.00 2 Packing & Shipping estimated $2500- $3000 1 TBD Total $58,750.00 Grand Island Council Session - 12/4/2012 Page 47 / 116 Jeremy Watson City Of Grand Island Alive Telecommunications 100 E. First St 9850 W. 190th St. Suite F Grand Island, NE 68802 Mokena, IL 60448 Phone 308-385-5444 Phone: 708 478 6886 jeremyw@grand-island.com Fax: 708 478 6892 www.alivetele.com 2 Lead Time: 8-10 wks aro and down payment. PAYMENT TERMS: 50% down payment with order, 40% due prior to ship 10% Net 30. TERMS and CONDITIONS of SALE: per attached Conditions of Sale document. SHIPPING: Shipping charges are based on delivery origin of Alive Telecommunications, Mokena, IL. Unless specified otherwise in writing at the time of the order, all shipments will be made by FedEx Standard service. We will prepay the freight charges and add them to your next invoice. ORDER CANCELLATION: If your order includes new equipment, options, or parts ordered by Alive Telecommunications from the manufacturer, you are responsible for any cancellation fees charged by the manufacturer if you cancel this order. Acceptance by Buyer By: ________________________________________Title: ___________________ Date: ______________P.O. No _________________________________________ Conditions of Sale 1. Priority of Terms and Conditions. Unless otherwise agreed to in writing by Alive Telecommunications (Seller), the following terms and conditions are part of Seller’s quotation and shall govern any resulting order. No term or condition stated in any Buyer solicitation, purchase order or contract shall become part of an order or shall otherwise be binding on Seller unless expressly agreed to in writing by Seller. Seller’s failure to object to any term or condition contained in any customer communication shall not be construed as consent to such terms or conditions nor be deemed a waiver of any term or condition set forth herein. All International shipping terms specified herein shall be construed in accordance with the 1990 INCOTERMS published by the International Chamber of Commerce. 2. Commercial Contract. All sales are made in strict accordance with these commercial conditions and prices and shall not be subject to the procurement regulations of the United States Government or of any state, local or foreign government unless agreed to in writing by the Seller. 3. Quotation, Prices and Taxes. Quotations are valid for a period of 30 days. Quotations are available for other specific time periods upon request. Unless specified otherwise, prices do not include retailer’s occupation, sales, use, privilege, value-added tax, excise or any other tax (except for gross income tax), duty, tariff or assessment which may arise from the sale of the products or services quoted. Such amounts shall be added to the contract price in the event Seller becomes liable to pay or bear the burden thereof. A request for exemption from any such tax, duty or assessment must be accompanied by a properly executed exemption certificate prior to shipment. 4. Shipment and Risk of Loss. Products will be packed, packaged and crated in accordance with the Seller’s standard commercial practices. Export packing is available upon request at an additional charge. Orders delivered within the United States are shipped F.O.B. Seller’s Factory, Freight Prepaid and Billed. Orders delivered outside the United States are shipped Ex Works, Seller’s Factory, unless otherwise requested. Title to and risk of loss of the products shall pass to Buyer upon delivery to the common carrier. Seller may make partial shipments and submit Invoices for such partial shipment in accordance with the payment terms set forth below. International shipments are contingent upon receipt of required United States export licenses. 5. Terms of Payment. Payment for orders delivered in the United States is due within 30 days from the Invoice Date, unless otherwise specified by Seller. Orders delivered outside the United States shall be paid by an Irrevocable letter of credit or by cash in advance. Orders accepted on other terms shall be due in strict accordance with the terms quoted. Past due payments are subject to a service charge of 1.5% per month (18% annual) on the unpaid balance or the maximum legal rate permitted by sate law, whichever is lower. Seller reserves the right, in its sole discretion, to reject Buyer purchase orders or to withhold shipment of Buyer orders if Buyer’s account is in arrears. Buyer is responsible to Seller for all reasonable attorney fees, court costs and/or collection agency fees should Buyer default on payment. Buyer acknowledges that Seller retains full security interest in all products until Buyer renders payment in full and upon request, agrees to execute any documents necessary to perfect Seller’s security interest. 6. Delivery. Seller shall make every reasonable effort to meet Buyer’s requested delivery and performance dates, but shall not be liable for delays due to causes beyond its control, including, but not limited to, acts of God, acts of the public enemy, acts of the United States, its States, Territories, or any political subdivision of the foregoing acts of the Buyer, its employees, agents, or subcontractors, fires, floods, strikes, freight embargoes, unusually severe weather conditions, inadequate transportation facilities, or any cause whatsoever beyond the control and without the fault or negligence of Seller, its suppliers or subcontractors, whether similar to or dissimilar from the causes herein enumerated. In the event of any such delay, Seller shall be given a reasonable extension of time within which to complete performance. 7. Final Acceptance. Buyer’s express acceptance of the products, or Buyer’s possession, use or beneficial use of the products for more than 30 days after delivery shall constitute final acceptance and, except as provided in Seller’s warranty below, shall waive all Buyer claims of nonconformity of the products. 8. Warranty. Seller warrants that its products are transferred rightfully and with good title; that its products are free from any lawful security interest or other lien or encumbrance unknown to Buyer, and that for a period of one year from the date of Installation or fifteen months from the date of original shipment, whichever period expires first, such products will be free from defects in material and workmanship which arise under proper and normal use and service. Buyer’s exclusive remedy hereunder is limited to Seller’s repair or replacement (either at its plant or at such other place as may be agreed upon between Seller and Buyer) of such defects at no cost to Buyer. Transportation costs in connection with Grand Island Council Session - 12/4/2012 Page 48 / 116 Jeremy Watson City Of Grand Island Alive Telecommunications 100 E. First St 9850 W. 190th St. Suite F Grand Island, NE 68802 Mokena, IL 60448 Phone 308-385-5444 Phone: 708 478 6886 jeremyw@grand-island.com Fax: 708 478 6892 www.alivetele.com 3 the return of products to Seller’s plant or designated facility shall be paid by Buyer. The provisions of this warranty shall be applicable with respect to any product which Seller repairs or replaces pursuant to it. SELLER MAKES NO WARRANTY EXPRESS OR IMPLIED, OTHER THAN AS STATED ABOVE. EXPRESSLY EXCLUDED ARE THE IMPLIED WARRANTIES OF MERCHANT ABILITY AND FITNESS FOR PURPOSE. THE FOREGOING SHALL CONSTITUTE ALL OF SELLER’S LIABILITY UNDER THIS WARRANTY WITH RESPECT TO THE PRODUCTS, IN NO EVENT SHALL SELLER BE LIABLE FOR SPECIAL, CONSEQUENTIAL OR INCIDENTAL DAMAGES, INSTALLATION COSTS, LOST REVENUE OR PROFITS, OR ANY OTHER COSTS OF ANY NATURE AS A RESULT OF THE USE OF PRODUCTS MANUFACTURED BY THE SELLER, WHETHER USED IN ACCORDANCE WITH INSTRUCTIONS OR NOT. UNDER NO CIRCUMSTANCES SHALL SELLER’S LIABILITY TO BUYER UNDER THIS WARRANTY EXCEED THE ACTUAL SALES PRICE OF THE PRODUCTS PROVIDED HEREUNDER. No representative is authorized to assume for Seller any other liability in connection with the products. 9. Limitation of Liability. Seller shall not be liable to Buyer for any Indirect, exemplary, incidental, special or consequential damages arising from any action for breach of contract, breach of warranty, or for any action based on the tortuous act or omissions of Seller. Buyer acknowledges that such lack of liability includes, but is not limited to, loss of actual or anticipated revenue or products, loss of actual or anticipated value of the business to Buyer, or damage to the business reputation or goodwill of Buyer. 10. Patent Infringement Assurance. Seller shall, at its own expense, settle or defend any claim, suit or action which may be brought against Buyer for infringement of United States patents arising out of Buyer’s use of Seller’s products. Seller shall pay any final judgment for damages and costs which may be awarded against Buyer, provided that buyer promptly notifies Seller of any such claim, suit or action. Seller may, at its own expense, elect to procure for Buyer the right to continue using it so that it becomes non-infringing products, or remove it and repay the purchase price applicable thereto, as well as transportation costs. This paragraph shall not apply to any infringement arising out of any feature incorporated in the product at the request of Buyer or from the use of the product for purposes other than as advertised, sold or intended by Seller, in no event shall Seller’s total liability to Buyer under the provisions of this article exceed the aggregate sum paid to Seller or buyer for allegedly infringing product. The foregoing states the entire warranty by Seller for patent infringement of the product and any part of it. 11. Inspection and Equipment Testing. Prices do not include source inspections or product testing and the cost of performing any such tests shall be added to the purchase order price. 12. Governing Law. An order is valid only when accepted in writing at Seller’s main office, 19108 S. Blackhawk Parkway, Unit 23, Mokena, Illinois. The contract arising there from shall be deemed to have been entered into in the State of Illinois and its interpretation, construction, and the remedies for its enforcement shall be governed in accordance with Illinois law. 13. Specification Changes. Seller’s product specifications are subject to change without notice to Buyer, provided such changes do not materially affect performance. Title to all materials and information provided by Seller to Buyer, including, but not limited to, specifications, drawings, engineering data, and technical designs, shall remain vested in Seller, unless otherwise agreed to in writing by the parties. All such information shall be treated as confidential by Buyer and shall not be disclosed to any third party without the written consent of Seller. 14. Cancellations. Any order that has been cut, fitted or packaged prior to Seller’s receipt of cancellation notice shall be subject to a 25% re-stocking charge. Orders for non-standard products or specially manufactured products may be cancelled prior to the start of manufacture provided Buyer reimburses Seller for any actual costs incurred on the order prior to the effective cancellation date. After manufacture commences, orders for non-standard products or specially manufactured products may not be cancelled. In the event Buyer terminates such orders, Buyer shall be liable to Seller for termination charges, including, but not limited to, reasonable profits. 15. Shipment Delays/Billing in Place. Upon completion of Buyer’s order, any delay in shipment attributable to Buyer, including but not limited to, Buyer’s request to defer the delivery date, shall cause the following to occur: Thirty (30) days after the original shipment date, a storage charge of 1.5% of the invoice price per month will be billed to Buyer and title to the shipment will automatically pass to Buyer. Seller will invoice Buyer for completed goods and Buyer will pay in accordance with the terms of the original sale, as the goods will be deemed to have shipped in place. Seller will insure against risk of loss until physical shipment of the goods to a common carrier. 16. Change Orders. Buyer change orders must be in writing and no change shall be made pursuant to this clause unless agreed to in writing and signed by duly authorized representatives of Seller and Buyer. If any such change causes an increase or decrease in the cost of the time required for the performance of any part of the work, an equitable adjustment shall be made in the contract price and schedule. Seller shall have no obligation to commence any extra or changed work without written agreement as to adjustments to contract price and delivery schedules affected hereby. 17. Termination. In the event Buyer fails to render payment on any invoice or Buyer’s account is in arrears, or Buyer becomes insolvent, enters into bankruptcy or has a receiver appointed to protect its assets, Seller shall have the right without prejudice to any other remedy, to immediately cease manufacture of all Buyer orders and to stop all shipments to Buyer, including stoppage in transit.                                      November 2008  Grand Island Council Session - 12/4/2012 Page 49 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-347 WHEREAS, City Administration is requesting approval of the contract with Alive Telecommunications for removal and installation of a new, digital, over-the-air antenna, for continued broadcast of Grand Island Television for non-cable subscribing residents within Hall County; and WHEREAS, This 400 Fund Capital Improvement project was budgeted for a cost of approximately $65,000.00 with a current forecasted amount of $62,000.00 or less. WHEREAS, City Administration and the Legal Department have reviewed this contract and is recommending approval, and NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA: - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _______________________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 50 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G2 #2012-348 - Approving Bid Award - Feedwater Heater #5 Replacement Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 12/4/2012 Page 51 / 116 Council Agenda Memo From:Timothy G. Luchsinger, Utilities Director Meeting Date:December 4, 2012 Subject:Feedwater Heater #5 Replacement Item #’s:G-2 Presenter(s):Timothy G. Luchsinger, Utilities Director Background The Platte Generating Station utilizes five stages of boiler feedwater heaters in its steam cycle. These feedwater heaters are specialized heat exchangers that use steam from the main turbine-generator to preheat the boiler feedwater and improve the overall plant steam cycle efficiency. One of the feedwater heaters has internal leakage problems which make control of its operation difficult and wall thinning of the feedwater heater tubes is occurring. The present heater is original to the plant. The heater weighs approximately 18 tons. The existing heater (which utilized 70-30 copper/nickel alloy tubes), was bid to be upgraded to stainless steel (SA688-304N) or, as an option, low alloy carbon steel (SA- 213-T22). Discussion The specifications for the Feedwater Heater #5 Replacement were advertised and issued for bid in accordance with the City Purchasing Code. Bids were publicly opened on November 13, 2012. Specifications were sent to seven potential bidders and responses were received as listed below. Bidders were allowed to specify heater tubing consisting of either SA-213-T22 or SA688-304N materials. The engineer’s estimate for this project was $500,000.00. Bidder Bid Price SPX Heat Transfer, Inc., Tulsa, OK (T22)$ 331,750.00 Thermal Engineering International, Santa Fe Springs, CA (T22)$ 366,500.00 Thermal Engineering International, Santa Fe Springs, CA (304N)$ 376,500.00 Holtee International, Jarlton, NY (304N)$ 477,050.00 The bids were reviewed by plant engineering staff. The lowest bid, from SPX Heat Transfer Inc., had the following concerns: Grand Island Council Session - 12/4/2012 Page 52 / 116 1)The proposed weight of the new heater exceeds that of the existing heater by almost 1.5 tons. This would require structural analysis and a possible upgrade of our current steel support frame. 2)The references given by SPX Heat Transfer were either nonresponsive or could only reference their work using the SA688-304N material (which they did not bid). 3)SPX Heat Transfer has not been responsive to discuss these issues and other “clarifications” listed in their bid. All bidders who provided SA-213-T22 carbon steel tubing as a material in their bid were not able to back up their experience with the product through their references; therefore, this material was not further evaluated as a compliant option. Companies bidding the SA688-304N tubing material were all highly referenced and well documented as to their history with the product. All bids came in under the engineer’s estimate. Thermal Engineering International did not list any exceptions and their bid of $376,500 is recommended as the lowest compliant bid. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council award the Contract for Feedwater Heater #5 Replacement to Thermal Engineering International, of Santa Fe Springs, California, as the lowest compliant bidder, with a bid price of $376,500.00. Sample Motion Move to approve the bid from Thermal Engineering International, Inc., for the Feedwater Heater #5 Replacement in the amount of $376,500.00. Grand Island Council Session - 12/4/2012 Page 53 / 116 Purchasing Division of Legal Department INTEROFFICE MEMORANDUM Working Together for a Better Tomorrow, Today BID OPENING BID OPENING DATE:November 13, 2012 at 2:00 p.m. FOR:Feedwater Heater #5 Replacement DEPARTMENT:Utilities ESTIMATE:$500,000.00 FUND/ACCOUNT:520 PUBLICATION DATE:October 18, 2012 NO. POTENTIAL BIDDERS:7 SUMMARY Bidder:Holtec International SPX Heat Transfer, Inc. Marlton, NY Tulsa, OK Bid Security:Cashier’s Check Liberty Mutual Ins. Co. Exceptions:None Noted Bid Price: Material:$470,000.00 $331,750.00 Labor:$ 7,050.00 (Performance Bond) -0- Sales Tax: -0-____ -0-____ Total Bid:$477,050.00 $331,750.00 Bidder:Thermal Engineering International Santa Fe Springs, CA Bid Security:Westchester Fire Ins. Co. Exceptions:Noted Bid Price: Material:$366,500.00 Labor: -0- Sales Tax: -0-_____ Total Bid:$366,500.00 cc:Tim Luchsinger, Utilities Director Bob Smith, Assist. Utilities Director Grand Island Council Session - 12/4/2012 Page 54 / 116 Mary Lou Brown, City Administrator Pat Gericke, Utilities Admin. Assist. Ryan Schmitz, Utilities Dept. P1603 Grand Island Council Session - 12/4/2012 Page 55 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-348 WHEREAS, the City of Grand Island invited sealed bids for Feedwater Heater #5 Replacement at Platte Generating Station, according to plans and specifications on file with the Utilities Department; and WHEREAS, on November 13, 2012, bids were received, opened and reviewed; and WHEREAS, Thermal Engineering International, of Santa Fe Springs, California, submitted a bid in accordance with the terms of the advertisement of bids and plans and specifications and all other statutory requirements contained therein, such bid being in the amount of $376,500.00; and WHEREAS, the bid of Thermal Engineering International, is less than the estimate for Feedwater Heater #5 Replacement. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the bid Thermal Engineering International, in the amount of $376,500.00, for Feedwater Heater #5 Replacement, is hereby approved as the lowest responsible bid. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _______________________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 56 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G3 #2012-349 - Approving Capacity Agreement with the Municipal Energy Association of Nebraska (MEAN) Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 12/4/2012 Page 57 / 116 Council Agenda Memo From:Timothy Luchsinger, Utilities Director Meeting:December 4, 2012 Subject:Capacity Agreement with the Municipal Energy Association of Nebraska (MEAN) Item #’s:G-3 Presenter(s):Timothy Luchsinger, Utilities Director Background In order to ensure a reliable electric supply grid, electric utilities are required by federal and regional agencies to maintain accredited electric generation facilities in an amount to meet their maximum load requirements, plus a reserve to support outside needs in an emergency grid situation. This accreditation includes the operation of each unit at full load for a specified duration annually, and the generation source can be either owned by the utility or through an arrangement with another utility. With its units at Platte and Burdick, and share of units at Nebraska City and Hastings, the Utilities Department currently has accredited generation of 323 megawatts to serve a maximum load of 170 megawatts. Discussion The Municipal Energy Agency of Nebraska (MEAN), is an organization of municipal utilities in Nebraska and surrounding states formed to pool resources to serve its members under varying service agreements, and Grand Island has been a member since its formation in 1981. MEAN is entering into an agreement for supplying power to a new customer and will require additional accredited generation capacity in order to serve this load and proposed to purchase this capacity from Grand Island’s surplus capacity. The agreement provides for the purchase of the capacity, and also for the determination of the price of the energy should the right to the capacity be exercised and the unit placed into operation. This proposal was reviewed by Tenaska Power Services, the City’s power marketer, and the terms were considered to be in line with the current market conditions. A copy is furnished under separate cover, as it is a confidential agreement. The Utilities Department recommends that this capacity agreement with MEAN be approved by Council. Grand Island Council Session - 12/4/2012 Page 58 / 116 Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve the Capacity Agreement with the Municipal Energy Association of Nebraska. Sample Motion Move to approve the Capacity Agreement with the Municipal Energy Association of Nebraska. Grand Island Council Session - 12/4/2012 Page 59 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-349 WHEREAS, with its units at Platte and Burdick Generating Stations and share of units at Nebraska City and Hastings, Grand Island Utilities has accredited generation of 323 megawatts to serve a maximum load of 170 megawatts; and WHEREAS, the Municipal Energy Agency of Nebraska (MEAN), is an organization of municipal utilities in Nebraska and surrounding states formed to pool resources to serve its members under varying service agreements, and Grand Island has been a member since 1981; and WHEREAS, MEAN is entering into an agreement to supply power to another customer, and will require additional accredited generation capacity in order to serve this load and proposed to purchase this capacity from Grand Island’s surplus capacity; and, WHEREAS, the agreement provides for the purchase of the capacity, and also for the determination of the price of the energy should the right to the capacity be exercised and the unit placed into operation; and WHEREAS the proposal was reviewed by Tenaska Power Services, the City’s power marketer, and the terms are considered to be in line with current market conditions. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the Capacity Agreement with the Municipal Energy Association of Nebraska (MEAN) is hereby accepted, and that the Mayor signs the agreement on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _______________________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 60 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G4 #2012-350 - Approving License Agreement with Hall County Housing Authority for Radio Repeater Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 12/4/2012 Page 61 / 116 Council Agenda Memo From:Tim Luchsinger, Utilities Director Meeting:December 4, 2012 Subject:License Agreement with Hall County Housing Authority Item #’s:G-4 Presenter(s):Tim Luchsinger, Utilities Director Background The City of Grand Island Utilities Department utilizes a two-way radio system for communications with personnel out in the field during normal and emergency operations. This system is essential for providing vital information to field personnel while at the same time being heard by the entire department. On January 1st, 2013, a new FCC narrow banding mandate takes effect, which requires all public safety radio systems to use a narrower frequency band. In order to meet this deadline and ensure that the changes work correctly, modifications were made to the radio system earlier this spring. The main repeater that receives and transmits all communications is located at Phelps Control Center on the east side of the City. This location experienced few problems prior to the narrow banding mandate; however, since the narrow band modifications were made, a noticeable drop in clarity and range has been realized. Alternative repeater locations were explored in an effort to reduce or eliminate these problems. Discussion Due to its central location, Centennial Towers, owned by the Hall County Housing Authority at 910 North Boggs Avenue, was one site that was investigated. Working with Platte Valley Communications, a test repeater was installed on the roof and used for several days with a noticeable improvement in radio communications quality and providing a much broader coverage area. Centennial Towers already has several different radio towers installed on the roof. Hall County Housing Authority does not charge to maintain equipment on the roof of Centennial Towers; however, they do require a license agreement. Due to the successful test run, it is recommended that the license agreement be signed to allow the Department to install the necessary radio equipment. Grand Island Council Session - 12/4/2012 Page 62 / 116 Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1. Move to approve 2. Refer the issue to a Committee 3. Postpone the issue to a future date 4. Take no action on the issue Recommendation City Administration recommends that the Council approve the License Agreement with Hall County Housing Authority to allow the installation of Utilities Department radio equipment at Centennial Towers. Sample Motion Move to approve the License Agreement with Hall County Housing Authority to allow the installation of Utilities Department radio equipment at Centennial Towers. Grand Island Council Session - 12/4/2012 Page 63 / 116 LICENSE AGREEMENT BETWEEN THE HALL COUNTY HOUSING AUTHORITY AND THE CITY OF GRAND ISLAND UTILITIES This Agreement is made between the Hall County Housing Authority, Grand Island, Nebraska as "Licensor" and the City of Grand Island, State of Nebraska, as "Licensee." Whereas, Licensee wishes to install and maintain a Radio Tower and associated equipment on real estate owned by Licensor at Centennial Towers, 910 N. Boggs, Grand Island, Nebraska and Whereas, Licensor and Licensee wish to have a formal agreement for the installation and maintenance of said Radio Tower, and THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows: 1. Licensor hereby grants to Licensee a non-exclusive right to enter upon the real estate described above for such purposes and under the conditions listed herein. This License shall continue for one year from the date of signature hereof but shall automatically extend each year for an additional one year unless terminated according to the terms hereof. 2. The Licensee is authorized at it's own risk and expense, to place a "Radio Tower" and associated equipment, a description of which is attached hereto, for non-commercial, public safety purposes only upon the roof of Centennial Towers. Licensee shall be solely responsible for the operation of the tower. 3. Licensee assumes the sole and entire responsibility for any loss of life, injuries or property damage that may be sustained on the real estate arising from the negligent operation of the Tower, and Licensee agrees to indemnify and hold the Licensor harmless in regard to all such loss of life, injuries or property damage. Licensee shall maintain at all times during the term of this License public liability insurance with one or more insurance companies licensed to do business in Nebraska rated by A.M. Best at not less than "B+" against claims for personal injury, death, or property damage, including damage arising from lightning, occurring in, on, or upon the real estate, such insurance to be in a minimum amount of $1,500,000 for personal injury or death and $1,500,000 for property damage. Licensee may utilize a Nebraska intergovernmental risk management pool in lieu of a Nebraska licensed insurer to provide the public liability insurance specified in this section provided the insurer or Grand Island Council Session - 12/4/2012 Page 64 / 116 insurers the pool uses meets the "B+" minimum A.M. Best rating previously referred to in this Section. Licensor shall be named as an additional insured. 4. Licensee shall pay all utility charges, installation and maintenance charges, and all installation and maintenance shall be in accordance with all applicable building codes and any other codes applicable to radio tower installation. In the event that the tower and equipment must be moved for construction and maintenance on the building or premises, Licensee shall be responsible for the timely removal or relocation of the tower and equipment at Licensee's expense. 5. Licensee shall have the right to access said Radio Tower at any time, provided that the Licensor shall be notified a reasonable time prior to any such access. Licensee shall not have a key to the premises. Licensee understands that access to the roof of the real estate is not open to the public and that Licensee shall be responsible to maintain security regarding access. 6. Nothing contained herein shall be construed in any manner to establish a relationship of co-partners between the parties or constituting the Licensee the agent, representative, or employee of the Licensor for any purpose whatsoever. Licensee shall have the sole right to manage, control, operate and direct the performance and details of its operations. 7. Licensee shall fully comply with the Laws of the United States of America, the Federal Communications Commission and the State of Nebraska. 8. This License may be terminated by either party without cause upon giving 90 days written notice to the non-terminating party. This License may be terminated immediately by the Licensor upon breach by the Licensee of any covenant or condition of this Agreement. 9. Upon termination of this Agreement, Licensee shall remove all equipment placed on the premises and restore the premises to its original condition. 10. This Agreement may not be altered, changed or amended except by instrument of writing executed by the parties to this Agreement. This License is non-assignable. 11. All notices required to be given to either party shall be addressed to the parties as follows: Grand Island Council Session - 12/4/2012 Page 65 / 116 Hall County Housing Authority 911 Baumann Drive, Grand Island, NE 68803 City of Grand Island Attn: Travis Burdett 700 E Bischeld St. Grand Island, NE 68801 Telephone: (308) 385-5466 Hall County Housing Authority Dated , 2012 By City of Grand Island Dated , 2012 By Grand Island Council Session - 12/4/2012 Page 66 / 116 Exhibit (1) Equipment List for New Repeater Installation at Centennial Towers Quantity Part Number Description 1 MTR3000 Motorola MTR300 Repeater in Housing Includes: MTR-3000 Repeater Duplexer Battery Charger Battery Control Relay (300XBXC4) 1 DIN Rail for Relay 1 DB420 UHF Antenna 20' with Mounting Hardware 1 MiniPort 20Q Furman 20A Power Relay Outlet 8 to 15 VDC 1 Quad Outlet Box for Furman (Hang on wall) 2 Deep Cycle Interstate 12V Backup Batteries Additional Components Quantity Part Number Description 1 EZPLC Programmable Logic Controller 24VDC Operation with modules 1 MiniPort 20Q Furman 20A Power Relay Outlet 8 to 15 VDC 1 120VAC Power Strip 1 AL600ULPD4 Altronix 24V Power Supply Includes: 2 7AH Backup Batteries 1 Misc Control Cables between Equipment Components 1 BH-20 Motorola Canopy Wireless Ethernet Radio Grand Island Council Session - 12/4/2012 Page 67 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-350 WHEREAS, the City of Grand Island Utilities Department utilizes a two-way radio system to communicate with personnel during normal and emergency operations; and WHEREAS, Centennial Towers at 910 North Boggs Avenue would provide for an alternative location for the radio system repeater. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the License Agreement with the Hall County Housing Authority to install a repeater for radio communications at that location is approved. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _______________________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 68 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G5 #2012-351 - Approving Certificates of Final Completion and Setting Board of Equalization Hearing Date for Water Main Districts 457, 459, 460 and 461 (Parkview Area) Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 12/4/2012 Page 69 / 116 Council Agenda Memo From:Timothy Luchsinger, Utilities Director Meeting:December 4, 2012 Subject:Water Main Districts 457, 459, 460, and 461, Parkview Area Certificate of Final Completion and Setting Date for Board of Equalization Item #’s:G-5 Presenter(s):Timothy Luchsinger, Utilities Director Background The Parkview area is generally located south of Stolley Park Road and east of Blaine Street. Initially development of the area commenced approximately 75 years ago, and the area was not within City limits. Private domestic household wells were used for water supply at the time, and have served the area until recently. In June, 2011, a neighborhood meeting was held with area residents to discuss groundwater polluted by industrial solvents which has extended eastward across the City. The Nebraska Department of Environmental Quality (NDEQ) and the Environmental Protection Agency (EPA) have classified the area as a Superfund Site, and are currently conducting clean-up operations. Subsequent to the meeting, the City received petitions from property owners in the area requesting water service. Per those petitions, and as directed by Council, four Water Main Districts were created to extend City service: District 457, located in Pioneer Blvd. District 459, located in Park Drive District 460, located in Riverview Drive, Grand Avenue, and August Street District 461, located in Hagge Avenue and William Street That work is now fully complete, operational, and has been incorporated into the municipal system. A map of each district’s boundary is attached for reference, as well as a map of the entire area. Grand Island Council Session - 12/4/2012 Page 70 / 116 Discussion As a cost savings from the economy of scale, one contract was issued for construction of the four assessment districts. The total project cost was $1,059,521.60. The City’s expense is $108,041.20, or about 10.2%. This cost is associated with that portion of the project installed adjacent to the Stolley Park property, the Stolley Park Elementary School property, and an interconnect placed in August Street that provides additional redundancy to the area. The construction was done as assessment districts. This is the standard method used by the City to recoup costs when mains are installed at the request of the property owners. Of the total project cost, the total amount chargeable for assessments is $951,480.40. The assessments are based on an equal benefit and value of service to each property. Each owner will be assessed the same portion of the chargeable amount equal to $7,100.60. This is the same assessment method used in adjacent Parkview areas. The assessment may be paid in five annual payments, at 7% simple interest on the outstanding balance. The first payment is due 50 days after the Council sets at the Board of Equalization (BOE) Hearing. Attached for reference are copies of the district’s costs, ownership records, and assessments. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council accept the Certificates of Final Completion for Water Main Districts 457, 459, 460, and 461, and set the date of January 22, 2013, for the Board of Equalization to determine benefits for the properties within the four district’s boundaries. Sample Motion Move to accept the Certificates of Final Completion for Water Main Districts 457, 459, 460, and 461, and set the date of January 22, 2013, for the Board of Equalization to determine benefits for the properties within the four district’s boundaries. Grand Island Council Session - 12/4/2012 Page 71 / 116 Grand Island Council Session - 12/4/2012 Page 72 / 116 Grand Island Council Session - 12/4/2012 Page 73 / 116 Grand Island Council Session - 12/4/2012 Page 74 / 116 Grand Island Council Session - 12/4/2012 Page 75 / 116 Grand Island Council Session - 12/4/2012 Page 76 / 116 Grand Island Council Session - 12/4/2012 Page 77 / 116 Grand Island Council Session - 12/4/2012 Page 78 / 116 Grand Island Council Session - 12/4/2012 Page 79 / 116 Grand Island Council Session - 12/4/2012 Page 80 / 116 Grand Island Council Session - 12/4/2012 Page 81 / 116 Grand Island Council Session - 12/4/2012 Page 82 / 116 Water Main Districts 457, 459, 460, and 461 District Costs BIDS: 11/22/2011 Pioneer Blvd., Park Drive, Riverview Drive, Grand Avenue, August Street, and Hagge Avenue TOTAL FOR ALL DISTRICTS K2 Construction TOTAL Lincoln, NE ASSESSABLE CITY COST ITEM DESCRIPTION QUANTITY INSTALLED UNIT $ TOTAL $ QUANTITY TOTAL $ QUANTITY TOTAL $ 1.01 8" d.i. pipe (r.j.) - trenchless installation 9,535.9 lf 53.70 512,077.83 7,573.31 406,686.75 1,962.59 105,391.08 1.02 8" d.i. pipe (s.j.) - trenched 1,323.3 lf 53.35 70,598.06 1,323.30 70,598.06 0.00 1.03 8" nitrile Gaskets (R.J.) 199.0 ea 25.89 5,152.11 174.00 4,504.86 25.00 647.25 1.04 8" nitrile Gaskets (M.J.) 40.0 ea 21.53 861.20 40.00 861.20 0.00 1.05 6" d.i. pipe (s.j.) 10.0 lf 84.72 847.20 10.00 847.20 0.00 1.06 6" nitrile Gaskets (M.J.) 40.0 ea 16.28 651.20 40.00 651.20 0.00 1.07 8"x8"x8"x8" m.j. cross 1.0 ea 294.22 294.22 1.00 294.22 0.00 1.08 8"x8"x8"x6" m.j. cross 1.0 ea 296.00 296.00 1.00 296.00 0.00 1.09 8"x8"x8" m.j. tapping sleeve 2.0 ea 2,070.64 4,141.28 2.00 4,141.28 0.00 1.10 8"x8"x8" m.j. tee 3.0 ea 261.96 785.88 3.00 785.88 0.00 1.11 8"x8"x6" m.j. tee 21.0 ea 237.15 4,980.15 21.00 4,980.15 0.00 1.12 8"x90° m.j. bend 6.0 ea 198.75 1,192.50 6.00 1,192.50 0.00 1.13 8"x45° m.j. bend 10.0 ea 181.63 1,816.30 10.00 1,816.30 0.00 1.14 8"x22.5° m.j. bend 0.0 ea 179.86 0.00 0.00 0.00 0.00 1.15 8"x6" m.j. reducer 3.0 ea 158.60 475.80 3.00 475.80 0.00 1.16 8" retainer gland 0.0 ea 101.71 0.00 0.00 0.00 0.00 1.17 8" sleeve coupling 9.0 ea 211.51 1,903.59 9.00 1,903.59 0.00 1.18 8" plug 0.0 ea 95.00 0.00 0.00 0.00 0.00 1.19 8" r.s. tapping valve 3.0 ea 1,637.92 4,913.76 3.00 4,913.76 0.00 1.20 8" r.s. gate valve 11.0 ea 1,202.74 13,230.14 11.00 13,230.14 0.00 1.21 6" sleeve coupling 0.0 ea 378.44 0.00 0.00 0.00 0.00 1.22 6" r.s. gate valve 1.0 ea 898.19 898.19 1.00 898.19 0.00 1.23 12"x12"x8" m.j. tapping sleeve 1.0 ea 2,253.71 2,253.71 1.00 2,253.71 0.00 1.24 12" sleeve coupling 0.0 ea 465.00 0.00 0.00 0.00 0.00 1.25 valve box 15.0 ea 353.83 5,307.45 15.00 5,307.45 0.00 1.26 fire hydrant assembly 23.0 ea 1,687.79 38,819.17 23.00 38,819.17 0.00 1.27 duc-lugs & redi-rod 1.0 ea 28.44 28.44 1.00 28.44 0.00 1.28 thrust block 43.0 ea 100.03 4,301.29 43.00 4,301.29 0.00 1.29 I-beam block 0.0 ea 600.00 0.00 0.00 0.00 0.00 1.30 linestopper installation 0.0 ea 1,540.00 0.00 0.00 0.00 0.00 1.31 1" copper water service (complete) 131.0 ea 1,026.96 134,531.76 131.00 134,531.76 0.00 1.32 8 mil polywrap 10,859.2 lf 1.02 11,076.38 8,895.60 9,073.51 1,963.60 2,002.87 1.33 remove asph./conc. roadway 521.1 sy 4.90 2,553.39 521.10 2,553.39 0.00 1.34 replace asph./conc. roadway 453.4 sy 52.85 23,962.19 453.40 23,962.19 0.00 1.35 remove asph./conc. driveway 234.7 sy 35.00 8,212.75 234.65 8,212.75 0.00 1.36 replace asph./conc. driveway 245.1 sy 42.85 10,503.39 245.12 10,503.39 0.00 1.37 remove concrete sidewalk 2,434.6 sf 1.40 3,408.44 2,434.60 3,408.44 0.00 1.38 replace concrete sidewalk 2,434.6 sf 4.35 10,590.51 2,434.60 10,590.51 0.00 1.39 remove & salvage existing 12"x12"x8" tee 0.0 ea 140.00 0.00 0.00 0.00 0.00 1.40 remove & salvage existing 8" valve & box 1.0 ea 105.00 105.00 1.00 105.00 0.00 1.41 remove & salvage existing 8"x6" reducer 1.0 ea 105.00 105.00 1.00 105.00 0.00 1.42 remove & salvage existing 6"x90° Ell 1.0 ea 105.00 105.00 1.00 105.00 0.00 1.43 remove & salvage existing fire hydrant 2.0 ea 140.00 280.00 2.00 280.00 0.00 1.44 saw cut 927.1 lf 4.90 4,542.79 927.10 4,542.79 0.00 1.45 residential seeding 33,442.0 sf 0.17 5,685.14 33,442.00 5,685.14 0.00 1.46 traffic control 4.0 complete 2,300.00 9,200.00 4.00 9,200.00 0.00 Contract Total $900,687.21 $792,646.01 $108,041.20 City Supplied Materials $38,764.98 $38,764.98 Outside Purchases - Publication, Inspection & Testing $884.54 884.54 Engineering & Administration - Labor $86,121.83 $86,121.83 Engineering & Administration - Overhead $33,063.04 $33,063.04 TOTAL Project Cost $1,059,521.60 Assessable amount $7,100.60 Ea and Equal $951,480.40 City Cost $108,041.20 Grand Island Council Session - 12/4/2012 Page 83 / 116 Grand Island Council Session - 12/4/2012 Page 84 / 116 Grand Island Council Session - 12/4/2012 Page 85 / 116 Grand Island Council Session - 12/4/2012 Page 86 / 116 Grand Island Council Session - 12/4/2012 Page 87 / 116 Grand Island Council Session - 12/4/2012 Page 88 / 116 Grand Island Council Session - 12/4/2012 Page 89 / 116 Grand Island Council Session - 12/4/2012 Page 90 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-351 WHEREAS, the City Engineer/Interim Public Works Director for the City of Grand Island has issued a Certificate of Final Completion for Water Main District No. 457, located along Pioneer Blvd., approximately 2,627 linear feet; and Water Main District No. 459, located along Park Drive, approximately 2,809 linear feet; and Water Main District No. 460, located along Grand Avenue, Riverview Drive, and August Street, approximately 2,716 linear feet; and Water Main District No. 461, located in Hagge Avenue and William Street, certifying that all four districts were installed as a joint project by K2 Construction of Lincoln, Nebraska, under contract awarded December 16, 2011, has completed the project according to the terms, conditions, and stipulations for such improvements; and WHEREAS, the Interim Public Works Director recommends the acceptance of all four districts; and WHEREAS, the Mayor concurs with the Interim Public Works Director’s recommendations. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that: 1. The City Engineer/Interim Public Works Director’s Certificates of Final Completion for Water Main Districts 457, 459, 460, and 461 are hereby confirmed. 2. The City Council will sit as a Board of Equalization on January 22, 2013, to determine benefits and set assessments for Water Main Districts 457, 459, 460, and 461. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. ______________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 91 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G6 #2012-352 - Approving Subordination Agreement for 515 E 1st Street Staff Contact: Marco Floreani Grand Island Council Session - 12/4/2012 Page 92 / 116 Council Agenda Memo From:Marco Floreani, Community Development Council Meeting:December 4, 2012 Subject:Approving Subordination Agreement for 515 E. 1st Street Item #’s:G-6 Presenter(s):Jaye Monter, Finance Director Background On February 19, 2009, Community Development Block Grant funds in the amount of $25,000 were loaned to Hector R. Vasquez & Beatrice R. Vasquez, Borrowers, for housing rehabilitation assistance towards their home. The City of Grand Island has a Deed of Trust filed on property located at 515 E 1st Street. The lien is in the amount of $25,000 with only $16,868 remaining due to 10% (or $2,500) being forgiven each year for ten years based on the Housing Rehabilitation Program loan terms. The program loan is a zero percent interest loan with 10% being forgiven each year and is due only when the homeowners sell the house. The legal description is: Lot Two (2), in Block Ninety-Five (95), in the Original Town, now City of Grand Island, Hall County, Nebraska. Discussion The owner is refinancing for a better interest rate and lower payments. They are requesting permission from the City to subordinate to the new mortgage amount and accept second position. The owner is requesting a new mortgage in the amount of $28,702 and Wells Fargo Bank, N.A. of Grand Island requests first position on the lien. The house will remain occupied and property taxes will continue to be paid. The equity in the property is in excess of the lien amounts held by both the City and the bank. A new lien in the amount of $28,702 with Wells Fargo Bank, N.A. would by law be junior in priority to the City’s lien; however, Wells Fargo Bank, N.A., has asked the City to subordinate its Deed of Trust to the new Deed of Trust. Grand Island Council Session - 12/4/2012 Page 93 / 116 The property’s assessed value of $48,378 is sufficient to secure the mortgage of $28,702 and the City’s remaining note of $16,868. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Approve the Subordination Agreement 2.Refer the issue to a Committee 3.Postpone the issue to a later date 4.Take no action on the issue Recommendation City Administration recommends that the Council approves the Subordination Agreement with Wells Fargo Bank, N.A. placing the City in the junior position to the new Deed of Trust. Sample Motion Move to recommend approval of the Subordination Agreement with Wells Fargo Bank, N.A., placing the City in the junior position to the new Deed of Trust. Grand Island Council Session - 12/4/2012 Page 94 / 116 Subordination Request from Hector R. Vasquez & Beatrice R. Vasquez The City Of Grand Island has a Deed of Trust filed on property at 515 E. 1st St. in the amount of $25,000 with $16,868 remaining due to 10% being forgiven each year for ten years. On February 19, 2009, Community Development Block Grant funds were loaned to the home owners for rehabilitation assistance towards their home in the Housing Rehabilitation Program. The address is 515 E. 1st St. The legal description is: Lot Two (2), in Block Ninety-Five (95), in the Original Town, now City of Grand Island, Hall County, Nebraska The owner is requesting permission from the City to subordinate to a new mortgage amount and accept second position to the first mortgage. The owner is refinancing with the same bank for a better interest rate. By law, the new Deed of Trust would be junior in priority to the City’s lien. However, the lender has asked the City to subordinate to the new Deed of Trust. The assessed value of the property is $48,378 and is sufficient to secure the new mortgage of $28,702, and the City’s remaining loan amount of $16,868. The City’s loan is a zero percent interest loan that is due only when the homeowners sell the house. Ten-percent (or $2,500) is forgiven annually per the terms of the Housing Rehabilitation Program. $ 28,702 New lien $ 16,868 City’s lien $ 45,570 First and second lien total $ 48,378 Assessed value Previous house payment: $456.54/mo. New house payment: $339.23/mo. 3.00% fixed interest rate for 15 yrs. Grand Island Council Session - 12/4/2012 Page 95 / 116 SUBORDINATION AGREEMENT COMES NOW the City of Grand Island, Nebraska, secured party/beneficiary and hereby partially subordinates its trust deed/real estate lien recorded April 2, 2009 on the following described real estate: Lot Two (2), in Block Ninety-Five (95), in the Original Town, now City of Grand Island, Hall County, Nebraska It is the intent of this Agreement that the trust deed for the amount loaned by Wells Fargo Bank, N.A. of Grand Island to Hector R. Vasquez & Beatrice R. Vasquez (Borrowers) that is about to be filed, shall be superior to the trust deed/real estate lien of the City of Grand Island, its successors and assigns recorded April 2, 2009, up to the amount of $28,702 plus interest and amounts advanced to protect the collateral. Thereafter, the City of Grand Island’s lien shall have priority. It is further understood that this subordination shall include all current obligations, extensions, renewals, advances or modifications made by the City of Grand Island, Nebraska to Borrowers which is secured by the trust deed/real estate lien recorded April 2, 2009 as Document Number 0200902434 in the records of the Register of Deeds of Hall County, Nebraska. Nothing in this Subordination Agreement is intended as a promise to provide financing or make advances to Borrowers by the City of Grand Island, Nebraska and it is not the intention of the City of Grand Island, Nebraska to warrant or guarantee the obligations of Borrowers but merely to partially subordinate its lien interests under the instrument recorded at Document Number 0200902434. It is understood that Wells Fargo Bank, N.A. intends to lend funds to Borrower but that the subordinated amount is not to exceed $28,702 plus interest and amounts advanced to protect the collateral. Nothing in this instrument is intended to relieve Borrowers of their obligation to the City of Grand Island, Nebraska or to subordinate any other lien interests including, but not limited to, real estate taxes and special assessments. Dated: __________________City of Grand Island, Nebraska By_____________________________________ STATE OF NEBRASKA )Jay Vavricek, Mayor )ss. COUNTY OF HALL ) The foregoing instrument was acknowledged before me on ______________________, 2012, by Jay Vavricek, Mayor of the City of Grand Island, Nebraska. ______________________________ Notary Public Grand Island Council Session - 12/4/2012 Page 96 / 116 Grand Island Council Session - 12/4/2012 Page 97 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-352 WHEREAS, the City of Grand Island, is the lender and secured party of a Deed of Trust dated February 19, 2009 and recorded on April 2, 2009, as Instrument No.0200902434, in the amount of $25,000.00, secured by property located at 515 E. 1st Street and owned by Hector R. Vasquez & Beatrice R. Vasquez, Borrowers, said property being described as follows: Lot Two (2), in Block Ninety-Five (95), in the Original Town, now City of Grand Island, Hall County, Nebraska. WHEREAS, Hector R. Vasquez & Beatrice R. Vasquez wish to execute a Deed of Trust and Note in the amount of $28,702.00 with Wells Fargo Bank, N.A., to be secured by the above-described real estate conditioned upon the City subordinating its Deed of Trust to their lien priority; WHEREAS, the value of the above-described real estate is sufficient to adequately secure both loans. WHEREAS, the requested subordination of the City's lien priority is in the best interests of all parties. WHEREAS, the City Attorney’s office has reviewed and approved the proposed agreement. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the Mayor is hereby authorized and directed to execute an agreement subordinating the lien priority of the above described Deeds of Trust from Hector R. Vasquez & Beatrice R. Vasquez, Borrowers, to the City of Grand Island, as beneficiary to that of the new loan and Deed of Trust of Wells Fargo Bank, N.A., Beneficiary, as more particularly set out in the subordination agreement. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _______________________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 98 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item G7 #2012-353 - Approving Agreement for Negotiation Services for the US-30 Drainage Improvement Project Staff Contact: Terry Brown, Interim Public Works Director Grand Island Council Session - 12/4/2012 Page 99 / 116 Council Agenda Memo From:Scott Griepenstroh, Project Manager Meeting:December 4, 2012 Subject:Approving Agreement for Negotiation Services for the US-30 Drainage Improvement Project Item #’s:G-7 Presenter(s):Terry Brown, Interim Public Works Director Background All agreements must be approved by the City Council. The purpose of the US-30 Drainage Improvement project is to construct storm sewer to the detention cell at the former location of the Wasmer Elementary School from connections on Second Street at Logan Street, Broadwell Avenue, and Madison Street. The improvements will significantly reduce the likelihood of flooding during storm events on Second Street. The project includes constructing drainage inlets on First Street and Division Street between Logan Street and Madison Street, which will provide drainage relief in those areas as well. This project will receive Federal Funding through the Surface Transportation Program (STP). The Federal Highway Administration (FHWA) has agreed to participate on 77% of the construction costs, which STP funding would then be applied on an 80/20 basis. The actual funding split for construction costs will be 61.6% Federal Aid and 38.4% local funds. FHWA agreed to participate 100% on the costs for Preliminary Engineering, the National Environmental Policy Act (NEPA) clearance process, and costs for acquisition of temporary and permanent easements (80% Federal Aid and 20% Local Funds). Nineteen temporary easements are required for installation of private water services in accordance with Grand Island City Code, for reconstruction of sidewalks ramps in accordance with the Americans with Disabilities Act and for construction of storm sewer pipe. A permanent easement is required at one location for storm sewer pipe. The Responsible Charge for this project is qualified to develop appraisal documents and conduct negotiations for most of the easements that are being acquired due to their simplicity and estimated value. Grand Island Council Session - 12/4/2012 Page 100 / 116 Discussion The law governing acquisition and relocation on federally assisted projects is Public Law 91-646; The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, commonly called the Uniform Act. The procedures to comply with this Act are found in Section 49, Part 24 of the Code of Federal Regulations. On federally funded transportation projects requiring acquisition of right-of-way, Local Public Agencies are required to present to the Nebraska Department of Roads a Right-of-Way Certificate that certifies property was acquired in accordance with the Uniform Act. On September 25, 2012, the City Council approved entering into contract with a qualified Appraisal Firm to prepare “Compensation Estimates” for two tracts of identical ownership. As per the Right-of-Way Acquisition Guide for Local Public Agencies, after formal property valuation documents are prepared and reviewed, property acquisition may begin. For property acquisition services, the selection of the firm Midwest Right of Way Services, Inc. was made in accordance with the Right-of-Way Acquisition Guide for Local Public Agencies. The Negotiation Services Contract must be executed before property acquisition can begin. The basis of the final fee is as follows. Acquisition Negotiation – 1 Owner at $1,900.00 Each = $1,900.00 TOTAL FEE = $1,900.00 Approval of Environmental Documents was received in July, 2012. Approval of 90% Plans and acquisition of remaining easements are anticipated to be completed in the next two months. Construction of this project is anticipated to begin in 2013. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve the agreement with the Midwest Right of Way Services, Inc. for negotiation services for the US-30 Drainage Improvement project. Sample Motion Move to approve the agreement. Grand Island Council Session - 12/4/2012 Page 101 / 116   ACQUISITION SERVICES SPECIFICATIONS     A. PROJECT DESCRIPTION The City of Grand Island will receive proposals for Acquisition Services for: Project: URB-30-4(158) CN: 40352A Location: US-30 Drainage Improvement  The work required for this project is to negotiate for the acquisition of property needed by the City of Grand Island to construct this project. This includes meetings with the City of Grand Island, plan review, preparing status reports and submitting the necessary documents to the City of Grand Island for each right of way tract.  The work is also described in detail in this document and as noted in Appendix A and B.  All those providing proposals will record their fee required for each tract and the total fee for the project on Appendix B. In addition, also indicate the date you expect to be able to start and complete the requested services assuming Notice to Proceed is given on November 28, 2012. Further, Appendix B shall be signed and dated in the space provided.  B. CITY OF GRAND ISLAND TO PROVIDE  1. Provide the title searches.   2. Provide the construction plans and cross sections.  3. Provide the right of way plans.  4. Provide the Appraisal Project Report.   5. Provide Individual Tract Appraisals or Valuation Documents.  6. Provide Acquisition Brochures.   7. Provide Right of Way Contract forms.   8. Provide Deed forms.  9. Provide Permanent Easement Instrument forms.   10. Provide Rights Letter.  11. Provide Certificate of Negotiator.  12. Provide Lessee’s Contract forms.   13. 1099 Forms.  C. APPLICABLE PUBLICATIONS  The Acquisition Consultant shall follow the criteria of the current applicable publications listed here:   1. Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970.  2. Nebraska Department of Roads Right of Way Manual. D. INITIAL MEETING AND PLAN REVIEW The Acquisition Consultant shall meet with the City of Grand Island to review the plans and discuss the scope of work before beginning Acquisition activities.  E. TITLE RESEARCH   1. The Acquisition Consultant shall verify that the title information is correct and current at the appropriate county offices. Grand Island Council Session - 12/4/2012 Page 102 / 116   2. On total acquisition tracts, the Acquisition consultant will check for unpaid taxes, special assessments, etc.  3. The Acquisition Consultant will check with the owner about the status of the encumbrances shown and tactfully ascertain otherwise undisclosed liens, encumbrances, or other interests.  4. The Acquisition consultant shall provide to the City of Grand Island mortgage release information and copies of Deeds of Trust.  F. ACQUISITION  1. The Acquisition Consultant(s) shall be licensed by the Nebraska Real Estate Commission.   2. The Acquisition Consultant shall make every effort to understand the projects’ objective, the valuation documents, and the project’s impact on each property before meeting with individual property owners.   3. The Acquisition Consultant shall make every reasonable effort to acquire expeditiously the parcels listed herein.  4. The Acquisition Consultant shall make a prompt offer to acquire each parcel for the full amount which has been established and approved as just compensation for the acquisition.  5. Upon initiation of negotiations, the Acquisition Consultant shall provide the owner of real property to be acquired with a written statement of, and a summary of the basis for, the amount which has been established as just compensation for the proposed acquisition.  6. The Acquisition Consultant shall make all reasonable efforts to personally contact each owner or their designated representative, explain the acquisition, and offer in writing the approved estimate of just compensation. When all efforts to make personal contact have failed or in the event the property owner resides out of state, the owner may be contacted by certified or registered first class mail or other means appropriate to the situation.  7. At the first contact where the offer is discussed, the Acquisition Consultant shall give the owner the State’s brochure describing the land acquisition process and the owner’s rights, privileges and obligations.  8. A revised offer and summary statement of just compensation shall be provided the owner if the extent of the taking is revised or the approved estimate of just compensation is revised by the Review Appraiser.  9. The Acquisition Consultant shall maintain adequate records to include a certificate of negotiator and a call report for each parcel.  10. The call report shall contain at least the following:  the date and place of each contact  parties of interest contacted  offer made  report of the discussion with the owner  counter offer or reasons offer was not accepted  signature of the Agent and date signed by the Agent.  11. The Acquisition Consultant shall acquire the necessary property rights through amicable negotiations, which is defined as the process by which property is acquired through written or personal contact with the owner with the aim of reaching agreement on the terms of a voluntary transfer of such property.   12. If the Acquisition Consultant’s negotiations do not succeed in obtaining the necessary property rights and condemnation is required, the Acquisition Consultant shall deliver the Grand Island Council Session - 12/4/2012 Page 103 / 116   tract files along with the updated title information, call reports, Basic Information Sheet and completed Certificate of negotiator to the City of Grand Island.  G. REPORTS   The Acquisition Consultant shall submit a weekly status report explaining the status of each tract and including any remarks which may need to be addressed.   H. NEGOTIATIONS  1. For this agreement, the Acquisition Consultant shall assume that approximately two (2) tracts will need to be acquired.  2. All tracts will be acquired by the Acquisition Consultant, including those tracts with owners living out of the State of Nebraska.  3. Tracts with identical ownerships are considered one tract for negotiation and payment purposes.  4. The Acquisition Consultant is required to obtain all necessary signatures to complete the transaction, including tenant releases.   5. All tenants may not have been identified at the start of the assignment. The Acquisition Consultant is required to identify any additional tenants and to obtain their releases without further compensation.   6. Each advertising sign is considered as a separate tract for negotiation purposes. I. DELIVERABLES The Acquisition Consultant shall submit the proper documents, as identified earlier, for each tract upon completion of negotiation and acquisition of each tract. These documents are:  1. Properly executed right of way and easement contracts.   2. Deeds.   3. Call Reports.  4. 1099 Forms.   5. Completed Certificate of Negotiator.  6. Buyer’s copy of the valuation document.  7. Basic Information Sheet. J. COMPLETION The Acquisition Consultant’s work under this agreement will be considered done upon the submittal of the last tract documents that the Acquisition Consultant is responsible for and, that the City of Grand Island agrees that all tracts and documents for the project are done or accounted for and that the Acquisition Consultant’s work is satisfactory. Grand Island Council Session - 12/4/2012 Page 104 / 116   APPENDIX “A”   NONDISCRIMINATION CLAUSES   During the performance of this contract, the Acquisition Consultant, for itself, its assignees and successors in interest (hereinafter referred to as the “Acquisition Consultant”), agrees as follows:   Compliance with Regulations: The Acquisition Consultant will comply with the Regulations of the Department of Transportation relative to nondiscrimination in federally assisted programs of the Department of Transportation (Title 49, Code of Federal Regulations, Parts 21 and 27, hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this contract.   Nondiscrimination: The Acquisition Consultant, with regard to the work performed by it after award and prior to completion of the contract work, will not discriminate on the basis of disability race, color, sex, religion or national origin in the selection and retention of subcontractors, including procurements of materials and leases of equipment. The Acquisition Consultant will not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulations, including employment practices when the contract covers a program set forth in Appendix “A”, “B”, and “C” of Part 21 of the Regulations.   Solicitations for Subcontracts, Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negotiation made by the Acquisition Consultant for work to be performed under a subcontract, including procurements of materials or equipment, each potential subcontractor or supplier shall be notified by the Acquisition Consultant of the Acquisition Consultant’s obligations under this contract and the Regulations relative to nondiscrimination on the basis of disability, race, color, sex, religion or national origin.   Information and Reports: The Acquisition Consultant will provide all information and reports required by the Regulations, or orders and instructions issued pursuant thereto, and will permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the City of Grand Island to be pertinent to ascertain compliance with such Regulations, orders and instructions. Where any information required of an Acquisition Consultant is in the exclusive possession of another who fails or refuses to furnish this information, the Acquisition Consultant shall so certify to the City of Grand Island as appropriate, and shall set forth what efforts it has made to obtain the information.   Sanctions for Noncompliance: In the event of the Acquisition Consultant’s noncompliance with the nondiscrimination provisions of this contract, the City of Grand Island shall impose such contract sanctions as it may determine to be appropriate, including but not limited to,   (a) withholding of payments to the Acquisition Consultant under the contract until the Acquisition Consultant complies, and/or   (b) cancellation, termination or suspension of the contract, in whole or in part.   Incorporation of Provisions: The Acquisition Consultant will include the provisions of paragraph (1) through (6) in every subcontract, including procurements of materials and leases of equipment, unless exempt by the Regulations, order, or instructions issued pursuant thereto. The Acquisition Consultant will take such action with respect to any subcontract or procurement as the City of Grand Island may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, that, in the event a Acquisition Consultant becomes involved in, or is threatened with, litigation with a subcontractor or supplier as a result of such direction, the Acquisition Consultant may Grand Island Council Session - 12/4/2012 Page 105 / 116   request the City of Grand Island to enter into such litigation to protect the interests of the City of Grand Island.   MINORITY BUSINESS ENTERPRISES   Policy   The Acquisition Consultant and City of Grand Island agree to ensure that minority business enterprises as defined in 49 CFR Part 23 shall have the maximum opportunity to participate in the performance of contracts financed in whole or in part with Federal funds under this agreement. Consequently, the minority business requirements of 49 CFR Part 23 are hereby made a part of and incorporated by this reference into this agreement.   Minority Business Enterprises Obligation   The Acquisition Consultant and City of Grand Island agree to ensure that minority business enterprises as defined in 49 CFR Part 23 have the maximum opportunity to participate in the performance of contracts and subcontracts financed in whole or in part with Federal funds provided under this agreement. In this regard, the Acquisition Consultant shall take all necessary and reasonable steps in accordance with 49 CFR Part 23 to ensure that minority business enterprises have the maximum opportunity to compete for and perform contracts. The Acquisition Consultant shall not discriminate on the basis of disability; race, color, sex, religion or national origin, in the performance of FHWA assisted contracts.   Failure of the Acquisition Consultant to carry out the requirements set forth above shall constitute breach of contract and, after the notification of the FHWA, may result in termination of the agreement or contract by the City of Grand Island or such remedy as the City of Grand Island deems appropriate.   DRUG-FREE WORKPLACE POLICY   The Acquisition Consultant shall have, on file with the City of Grand Island, an acceptable drug-free workplace policy. Grand Island Council Session - 12/4/2012 Page 106 / 116   APPENDIX B   LIST OF TRACTS TO BE ACQUIRED     TRACT NUMBER TYPE OF VALUATION DOCUMENT FEE 19 Perm and Temp Easement Compensation Estimate $ 950.00 20 Temp Easement Compensation Estimate $ 950.00 TOTAL FEE $ 1900.00               Full Day County Court Fee    $1,200.00 Half Day County Court Fee    $860.00     Start Date   Completion Date:       Submitted by:   Please Print     Please Sign   Address: Midwest Right of Way Services, Inc. 13425 “A” Street Omaha, NE 68144 Grand Island Council Session - 12/4/2012 Page 107 / 116 AP-22 ACQUISITION SERVICES CONTRACT This agreement, entered into this _____ day of _____________, 2012, by the City of Grand Island, (herein called “Local Public Agency”) and Midwest Right of Way Services, Inc., (herein called “Acquisition Consultant”) agrees: In return for the total fee of $1900.00, as itemized in Appendix B, it is agreed that the Acquisition Consultant shall negotiate on behalf of the Local Public Agency with the owners of each tract identified for the acquisition of certain property rights in accordance with the Acquisition Services Specifications, of which a copy is attached and made a part of this contract. The acquisition of these certain property rights will be used in connection with: Project: URB-30-4(158) C. N.: 40352A Location: US-30 Drainage Improvement, Grand Island, NE An additional fee will be negotiated with the Acquisition Consultant for each additional parcel added to this contract. The fee for supplemental or revised tracts, which result in new or revised acquisition documents, as a result of changes in the taking caused by the Local Public Agency, will be negotiated with the Acquisition Consultant. A billing statement for completed negotiations with a tract may be submitted to the Local Public Agency at the time the Acquisition Consultant submits the Deliverables noted in paragraph I of the Acquisition Services Specifications. Payment of eighty percent (80%) of the total fee will be paid at that time. The balance of the total fee will be paid within ninety (90) days, providing the documents are found to be acceptable and in accordance with the contract upon Local Public Agency review. In the event the documents are found unacceptable by reason of noncompliance with the terms of this contract, the final payment shall be withheld until such documents have been revised or supplemented, without additional cost to the Local Public Agency, and found acceptable. In the event a dispute arises concerning a question or fact in connection with the work not specifically covered or referenced by any other terms of this contract, the Local Public Agency’s management will determine the final position. Where no agreement can be reached, this contract shall be terminated. The contract may also be terminated when, in the opinion of the Local Public Agency, the Acquisition Consultant’s services are unsatisfactory, or because of the Acquisition Consultant’s failure to prosecute the work with due diligence, or within the time limits specified in this agreement, or because of the Acquisition Consultant’s disability or death. The Local Public Agency may terminate the services of the Acquisition Consultant by giving five (5) days written notice. In such an event, the work, which has been completed, when the notice of termination is given by the Local Public Agency, becomes the property of the Local Public Agency. The Local Public Agency’s management shall arbitrate settlement for the completed work. The Acquisition Consultant, as a condition of the above lump fee, agrees to attend necessary meetings and conferences with representatives of the Local Public Agency, the Nebraska Department of Roads and the United States Federal Highway Administration to discuss the various aspects and phases of the work required by this contract. However, it is agreed that additional payment for conferences with Local Public Agency attorneys for testimony in court or witness fees for appearance in court shall be $860.00 for each half day or portion thereof, or $1200.00 per day for any part of a day exceeding a half day. Grand Island Council Session - 12/4/2012 Page 108 / 116 AP-22 All expenses incurred by the Acquisition Consultant are considered to be their liability and are not to become an expense to the Local Public Agency except as provided for in this agreement. The Acquisition Consultant agrees to complete the requirements noted in the Acquisition Services Specifications on or before _________________. The Local Public Agency assumes no liability for work performed or costs incurred prior to the beginning date or subsequent to the contract completion date. Supplemental or revised acquisition documents caused by the Local Public Agency’s actions will be cause to change this to a later date only by mutual written agreement between the parties to this contract. It is further agreed by the Acquisition Consultant that they will furnish the Local Public Agency a written progress report of the work accomplished on the Project as requested. A penalty of $1.00 per normal working day will be assessed against and deducted from the agreed-upon Fee, as per this contract, for each normal working day that the completed assignment is overdue. A normal working day is defined as Monday through Friday. Any extension beyond the agreed-upon completion date of _________________ will be only by mutual written agreement between the parties of this contract. The Acquisition Consultant warrants that they have not employed or retained any company or person, other than a bona fide employee working solely for the Acquisition Consultant, to solicit or secure this contract, and that they have not paid or agreed to pay any company or person, other than a bona fide employee working solely for the Acquisition Consultant, any fee, commission, percentage, brokerage fee, gifts, or any other consideration, contingent upon or resulting from the award or making of this contract. For breach or violation of this warranty, the Local Public Agency shall have the right to annul this contract without liability. If the Acquisition Consultant discovers or is informed by the Local Public Agency of the existence of any possible conflict of interest on the part of the Acquisition Consultant, the Acquisition Consultant shall immediately cease all activity in connection with such services, and promptly notify the Local Public Agency, in writing, of all relevant facts and circumstances pertaining to such conflict, so the Local Public Agency may take such action as it deems appropriate, including but not limited to, the exclusion of any tract or tracts involved from this agreement. The acquisition documents are agreed to be confidential between the parties hereto, and a breach of such confidence shall be considered material breach of this contract unless the disclosure of the contents of the report shall be in response to a subpoena or other lawful court order. It is the intention of the parties that the valuation documents and services contracted for are the personal services of the Acquisition Consultant as named. Subletting or transferring the work contracted for in this agreement is expressly prohibited and failure to comply shall be deemed a material breach of the contract. The Acquisition Consultant agrees to abide by the provisions of the Nebraska Fair Employment Practice Act as provided by Nebraska Revised Statute, Section 48-1101 through 48- 1126 (Reissue 1988), and all regulations relative to nondiscrimination in federally assisted programs of the Department of Transportation, Title 49 CFR, Parts 21 and 27, the Minority Business Enterprises Policy and the Drug-Free Workplace Policy as set forth in Appendix “A” attached hereto and hereby made a part of this agreement. Any notice provided for or concerning this agreement shall be in writing and shall be deemed sufficiently given when sent by mail if sent to the respective address of each party. Grand Island Council Session - 12/4/2012 Page 109 / 116 AP-22 IN WITNESS WHEREOF, the parties hereto have caused these presents to be executed by their proper officials thereunto duly authorized as of the dates below indicated. EXECUTED by the Acquisition Consultant this _____ day of _____________, 2012. ____________________________________ ____________________________________ Witness Acquisition Consultant EXECUTED by _____ day of _____________, 2012. Local Public Agency City of Grand Island APPROVED: ________________________________________________ Authorized Signature Grand Island Council Session - 12/4/2012 Page 110 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-353 WHEREAS, the City of Grand Island, in accordance with the Right-of-Way Acquisition Guide for Local Public Agencies, has negotiated property acquisition services with Midwest Right of Way Services, Inc. for the US 30 Drainage Improvement Project; and WHEREAS, such services include Acquisition Negation of $1,900.00 for one (1) property, with the possibility of half day ($860) and daily ($1,200) rates being applied, per contract, should attendance at meetings pertaining to this project become necessary. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the agreement between the City of Grand Island and Midwest Right of Way Services, Inc. for acquisition negotiation services in connection with the US 30 Drainage Improvement Project is hereby approved. BE IT FURTHER RESOLVED, that the Mayor is hereby authorized and directed to execute such agreement on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _______________________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 111 / 116 City of Grand Island Tuesday, December 4, 2012 Council Session Item I1 #2012-354 - Approving Power Transaction Authorization Policy with the Southwest Power Pool (SPP) Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 12/4/2012 Page 112 / 116 Council Agenda Memo From:Timothy Luchsinger, Utilities Director Meeting:December 4, 2012 Subject:Approving Power Transaction Authorization Policy Item #’s:I-1 Presenter(s):Timothy Luchsinger, Utilities Director Background Prior to 2009, Nebraska utilities conducted power purchases and sales with each other via bilateral transactions. Bilateral transactions are simply two utilities agreeing on a quantity and price. In 2009, all large Nebraska utilities including Nebraska Public Power District, Omaha Public Power District and Lincoln Electric Systems officially joined Southwest Power Pool (SPP). SPP is a Regional Transmission Operator that, among other things provides a real-time energy market that allows participants to buy and sell power directly into the market and avoid the interaction with multiple companies that come with bilateral transactions. Bilateral transactions still continue and this is the only way that Grand Island currently buys and sells power with other companies. In 2014, SPP plans to deploy a new market called the Integrated Market. This market increases in complexity and requires utilities to provide next day forecasting and pricing information in an effort to utilize the lowest cost energy for load. It will also have a real- time energy market for correcting imbalances from the day-ahead market. With the onset of the integrated market, bilateral transactions will most likely be phased out entirely, and SPP will serve Grand Island’s load requirements and dispatch its generating units as required to provide for the system’s demand. Discussion The traditional bilateral transactions were normally short-term purchases to supplement load requirements or allow sales of excess generation, and often resulted in a relatively minimal net monetary exchange. With the coming Integrated Market, the daily generation and load transactions will actually be considered separately by SPP, which will result in significant financial obligations on a transaction basis. In order to conduct these transactions, SPP requires a copy of those authorized to conduct a transaction and the financial limit of that authorization. As these transactions were historically done as part Grand Island Council Session - 12/4/2012 Page 113 / 116 of long working relationships between publicly owned utilities as a mutual benefit to keep the lights on, the Department has not had a formal policy. To comply with SPP requirements, and as a matter of good business practice, the Department staff has developed the attached recommendations for authorized positions term of transaction and financial limits. It is based on cases that City load requirements must be met upon the purchase of power from outside sources either because of the loss of generating sources or because of possible transaction billing methods by SPP. These cases are intended to reflect the normal operations of ensuring power that is available to the City up to a month. Longer term situations or transaction opportunities above these limits would require Council authorization. This would include a catastrophic failure of a generating unit or a long term transaction agreement with another utility. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council authorize the Utilities Department Power Transaction Authorization Policy. Sample Motion Move to authorize the Utilities Department Power Transaction Authorization Policy. Grand Island Council Session - 12/4/2012 Page 114 / 116 City of Grand Island Utilities Department Power Transaction Authorization Policy Operational Policies and Guidelines In order to conduct normal operational requirements of the City of Grand Island electric system, power supply transactions and associated financial commitments must be performed by Utilities Department staff with the Regional Transmission Operator and associated electric utilities. The following transaction limits are established to allow the normal business of the electric system activities. Utilities Staff Position Transaction Term Transaction Limit Dispatcher Up to 1 day Up to $165,000 Sr. Dispatcher or Sr. Engineer Up to 3 days Up to $450,000 Asst. Utilities Director - Transmission Up to 7 days Up to $1,250,000 Utilities Director Up to 30 days Up to $4,500,000 Approval for all transactions greater than the above financial limits or durations shall require City Council approval. Effective: December 5, 2012 Grand Island Council Session - 12/4/2012 Page 115 / 116 Approved as to Form ¤ ___________ November 30, 2012 ¤ City Attorney R E S O L U T I O N 2012-354 WHEREAS, with the upcoming Integrated Market, daily generation and load transactions will be considered separately by the Southwest Power Pool (SPP), which will result in significant financial obligations on a transaction basis; and WHEREAS, in order to conduct these transactions, SPP requires a copy of those authorized to conduct a transaction and the financial limit of that authorization; and WHEREAS, Utilities Department Staff developed recommendations for authorized positions’ term of transaction and financial limits based on cases that City load requirements must be met upon the purchase of power from outside sources either because the loss of generating sources or because of possible transaction billing methods by SPP; and WHEREAS, in order to conduct normal operational requirements of the City of Grand Island electric system, power supply transactions and associated financial commitments must be performed by Utilities Department staff with the Regional Transmission Operator and associated electric utilities; and WHEREAS, these cases are intended to reflect the normal operations of ensuring power is available to the City up to a month; and WHEREAS, approval for all transactions greater than the above financial limits or durations shall require City Council approval. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the Utilities Department Power Transaction Authorization Policy dated December 5, 2012 is hereby approved. - - - Adopted by the City Council of the City of Grand Island, Nebraska, December 4, 2012. _____________________________ Jay Vavricek, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 12/4/2012 Page 116 / 116