08-15-2013 City Council Special Meeting Packet
City of Grand Island
Thursday, August 15, 2013
Special Meeting Packet
City Council:
Linna Dee Donaldson
Scott Dugan
John Gericke
Peg Gilbert
Chuck Haase
Julie Hehnke
Vaughn Minton
Mitchell Nickerson
Bob Niemann
Mike Paulick
Mayor:
Jay Vavricek
City Administrator:
Mary Lou Brown
City Clerk:
RaNae Edwards
7:00 PM
Council Chambers - City Hall
100 East 1st Street
Grand Island Special Meeting - 8/15/2013 Page 1 / 45
City of Grand Island Thursday, August 15, 2013
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
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 Special Meeting - 8/15/2013 Page 2 / 45
City of Grand Island
Thursday, August 15, 2013
Special Meeting
Item -1
Community Redevelopment Authority 2013-2014 Budget
Staff Contact: Chad Nabity
Grand Island Special Meeting - 8/15/2013 Page 3 / 45
Council Agenda Memo
From:Chad Nabity, AICP, Director
Meeting:August 15, 2013
Subject:Community Redevelopment Authority 2013-2014
Annual Budget
Item #’s:1
Presenter(s):Chad Nabity, AICP, Director
It is my privilege to present to you the budget for the Community Redevelopment
Authority for 2013-2014. This plan and budget continues the high-quality services that
have enabled the CRA to partner with the City of Grand Island, private developers and
businesses and with property owners in the blighted and substandard areas to make Grand
Island vibrant, clean, safe and attractive.
The CRA budget for 2013-2014 is offered to you with a review of the responsibilities of
the CRA. Those responsibilities and abilities are outlined in State Statutes and are
summarized, in part, as follows:
The creation of Redevelopment Authority was authorized by the Nebraska Legislature in
order to provide communities with the ability to address certain areas of a city in need of
improvement and development. Powers granted to Community Redevelopment
Authorities are outlined in Chapter l8 of the Statutes and include the ability to expend
funds to acquire substandard or blighted areas, make public improvements, and assist
with development and redevelopment projects in specified areas. The Authority has
virtually the same powers as any political subdivision, including borrowing money,
issuing bonds, undertaking surveys and appraisals and asking for a levy of taxes.
A five-member board, appointed by the Mayor with the approval of the City Council,
governs the CRA. The CRA is administered by a Director and devotes the overwhelming
share of its resources to highly visible and effective programs. The CRA funds its
programs primarily through assessments on taxable properties within the Grand Island
city limits.
BLIGHTED AND SUBSTANDARD AREAS
There are twelve (12) designated Blighted and Substandard Areas within the Grand
Island City Limits (see attached map). The City of Grand Island has the authority to
Grand Island Special Meeting - 8/15/2013 Page 4 / 45
designate up to 35% of the community a blighted and substandard. At present 18.2% of
the City has been designated blighted and substandard. Council has approved one blight
study during the last year, Copper Creek.
CRA MISSION
The CRA’s mission is to reduce, slow or eliminate blighting influences on property in
those areas that have been designated as blighted and substandard by the Grand
Island City Council. They do this by encouraging new investment and improved
infrastructure in older areas of the community through the use of tax increment financing.
They also take an active role in purchasing and demolishing properties that need to be
cleared. This property is then made available for redevelopment.
FISCAL RESOURCES
General Revenues for 2013-2014
The CRA is requesting property tax revenues of $667,500 including $195,000 for Lincoln
Pool Construction and Bonds and $472,500 for all other CRA programs. The program
dollars are slightly more than the amount requested for the 2009 to 2013 budgets and
down from $475,000 in 2008-09 and down from $500,000 in 2007-2008. The CRA is
requesting the same levy that was approved last year. This will allow the CRA to meet
obligations for the Lincoln Park Pool and continue with their other successful programs.
Historically, the levies and tax asking have been:
2012-
2013
2011-
2012
2010-
2011
2009-
2010
2008-
2009
2007-2008 2006-
2007
0.026 0.026 0.017742 $0.018076 $0.020790 $0.0225655 $0.022824
$667,500 $639,405 $425,000 $425,000 $475,000 $500,000 $477,204
Program Funding
The CRA is proposing a budget with funding levels returning to near the levels they were
prior to the 2012-2013 budget year. The CRA has or will make final payments on several
large multi-year projects including the Grand Theater façade and funding the heat in the
sheep barn at the Fonner Park.
The Community Redevelopment Authority has the ability to assist private developers and
governmental entities with the commercial, residential or mixed-use redevelopment
projects throughout the City. Specific detail on projects is as follows:
Purchase of Dilapidated Properties/Infrastructure. The 2013-2014 budget includes
$50,000 for the acquisition of substandard properties in the blighted and
substandard areas and for the provision of infrastructure. The Authority will
consider any property within the designated areas.
Grand Island Special Meeting - 8/15/2013 Page 5 / 45
Facade Development. For the façade development program $150,000 has been
budgeted, including grants and interest buy down these projects are unidentified at
this time. This program has been used extensively in the Downtown area but is
available to all blighted and substandard areas. The CRA approved façade projects
that used the full allocation of façade dollars for the 2012-13 fiscal year in October
of 2012 and has been holding an application for the 2013-14 fiscal year since
January.
Other Projects. In the blighted and substandard areas $100,000 has been reserved
for other projects. In the 2012-13 fiscal year this funding was used:
o to provide matching funds for a housing study for the City of Grand
Island.
o to provide funding for the installation of fire sprinkler line necessary for
the redevelopment of the Gibby’s Pool Hall Building at Eddy and 4th
Street.
This funding can be assigned to specific projects including but not limited to
infrastructure improvements in the blighted and substandard areas that would
support larger redevelopment plans. The CRA has used this funding item in the
past to fund additional façade improvement projects and to make grants to fund
specific projects for the: Business Improvement Districts, the Grand Island Parks
Department, Fonner Park, The Central Nebraska Humane Society, St. Stephens,
Habitat for Humanity and other community groups for specific projects that meet
the mission of the CRA.
CONCLUSION
This budget provides for measured funding of redevelopment efforts during the 2013-
2014 fiscal year. The investments this community has made in housing, redevelopment
efforts, infrastructure and economic development, bode well for the future of the
community.
The CRA will also continue to examine the community to identify areas that might
benefit from a Blighted and Substandard declaration and to review and recommend
approval of redevelopment plan amendments for tax increment financing projects on both
large and small scale developments. All of the tools used by the CRA are necessary for
them to accomplish their mission: to reduce, slow or eliminate blighting influences on
property in those areas that have been designated as blighted and substandard by
the Grand Island City Council.
Grand Island Special Meeting - 8/15/2013 Page 6 / 45
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COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
CONSOLIDATED
Beginning Cash 952,497 1,236,622 1,547,542 985,902 923,823 298,766 186,509 197,191
REVENUE:
Property Taxes-CRA 491,044 487,610 442,832 421,109 464,412 446,578 437,618 472,500
Property Taxes-Lincoln Pool - - - - 154,234 207,859 201,787 195,000
Property Taxes-TIF's 257,199 267,523 205,341 312,136 404,016 438,016 332,998 575,124
Loan Proceeds - - - -
Motor Vehicle Tax 2,557 2,434 2,156 1,872 2,658
Interest Income-CRA 41,561 14,889 19,804 2,403 4,667 1,000 2,000 1,000
Interest Income - TIF's 954 741 334 217 165 - - -
Loan Income (Poplar Street Water Line) 5,000 1,800 5,000
Land Sales - 47,335 - 30,000 - 100,000 - 100,000
Bond Proceeds - Lincoln Pool - - - - - 1,800,000 1,800,000 -
Other Revenue 1,300 6,525 10,000 10,500 12,552 22,000 12,000 22,000
Other Revenue - TIF's 13,304 15,514 12,361 12,143 10,064 - - -
TOTAL REVENUE 807,920 842,571 692,826 790,379 1,052,768 3,020,453 2,788,203 1,370,624
***MAKE SURE THESE TOTALS MATCH THE TOTAL EXPENSES IN THE BOTTOM BELOW!
TOTAL RESOURCES 1,760,417 2,079,193 2,240,368 1,776,281 1,976,591 3,319,219 2,974,713 1,567,815
EXPENSES
Auditing & Accounting 5,000 7,601 5,392 4,998 4,025 5,000 4,000 5,000
Legal Services 2,143 4,829 3,060 2,389 2,187 3,000 3,000 3,000
Consulting Services - - - - - 10,000 5,000 10,000
Contract Services 34,362 26,122 174,875 78,795 44,428 55,000 55,000 65,000
Printing & Binding 568 - - - - 1,000 - 1,000
Other Professional Services 4,113 - - 6,393 7,599 5,000 - 5,000
General Liability Insurance - - - - - 250 250 250
Postage 142 159 202 712 328 200 200 200
Legal Notices 828 750 613 881 1,979 2,500 1,500 2,500
Licenses & Fees - - - - - - - -
Travel & Training - - - - 161 1,000 200 1,000
Other Expenditures - - - 94 796 - - -
Office Supplies 106 38 328 746 - 300 300 300
Supplies - - - - - 300 - 300
Land 33,090 129 448,720 2,002 - 20,000 - 50,000
Façade Improvement-to be applied for 207,871 241,793 354,015 442,155 1,146,639 120,000 117,000 150,000
Lincoln Pool Bond Proceeds pay out - - - - 180,658 1,800,000 1,880,062 -
Other Projects - 2,858 - - - 50,000 - 100,000
Property Taxes South Locust Project - 11,000 11,000 11,000
2nd Street BID - - - - - -
Outstanding Façade Improvement Grants - 318,000 200,000 -
Railroad Horns - - - -
Other Committed Projects - 134,000 152,000 40,000
Property Management - - - -
Bond Payment /Fees 207,859 - 207,859
Debt-Lincoln Pool - - -
Lincoln Pool Principal Bond Payment - 170,000
Lincoln Pool Interest Bond Payment 15,105 23,828
Bond Principal-TIF's 145,498 161,935 199,617 255,618 350,317 396,334 291,223 541,944
Bond Interest-TIF's 93,076 85,445 74,453 63,170 50,965 41,682 41,682 33,180
TOTAL EXPENSES 526,796 531,658 1,261,276 857,952 1,790,082 3,182,425 2,777,522 1,421,360
***MAKE SURE THESE TOTALS MATCH THE TOTAL EXPENSES IN THE BOTTOM SECTION!
INCREASE(DECREASE) IN CASH 281,124 310,912 (568,451) (67,572) (737,314) (161,972) 10,681 (50,736)
ENDING CASH 1,233,621 1,547,534 979,091 918,329 186,509 136,794 197,191 146,455
LESS COMMITMENTS - - - - -
AVAILABLE CASH 1,233,621 1,547,534 979,091 918,329 186,509 136,794 197,191 146,455
CRA CASH 1,141,841 1,449,393 937,028 870,571 152,203 7,249 69,143 17,234
LINCOLN POOL CASH - - - - (26,424) 81,787 80,196 81,368
TIF CASH 91,781 98,141 42,063 47,758 60,730 47,758 47,851 47,852
TOTAL CASH 1,233,621 1,547,534 979,091 918,329 186,509 136,794 197,191 146,455
Grand Island Special Meeting - 8/15/2013 Page 8 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
CRA REVENUES
GENERAL OPERATIONS: 01
Property Taxes 491,044 487,610 442,832 421,109 464,412 446,578 437,618 472,500
Property Taxes-Lincoln Pool Levy 154,234 207,859 201,787 195,000
Motor Vehicle Tax 2,557 2,434 2,156 1,872 2,658
Interest Income 41,561 14,889 19,804 2,403 4,667 1,000 2,000 1,000
Loan Income (Poplar Street Water Line) 5,000 1,800 5,000
Land Sales - 47,335 - 30,000 100,000 - 100,000
Bond Proceeds Lincoln Pool 1,800,000 1,800,000
Other Revenue & Motor Vehicle Tax 1,300 6,525 10,000 10,500 12,552 22,000 12,000 22,000
TOTAL 536,463 558,792 474,791 465,884 638,523 2,582,437 2,455,205 795,500
GILI TRUST-07
Property Taxes 66,410 65,817 65,694 66,223 32,019
Interest Income 548 - 12 - -
Other Revenue 560 277 8 511
TOTAL 67,518 66,094 65,702 66,235 32,530 - - -
CHERRY PARK LTD II-08
Property Taxes 62,743 91,836 32,832 63,374 64,641 59,180 59,180 29,588
Interest Income 251 497 301 186 157 - - -
Other Revenue - -
TOTAL 62,994 92,334 33,133 63,561 64,797 59,180 59,180 29,588
GENTLE DENTAL-09
Property Taxes 3,497 4,427 4,479 4,512 4,659 4,202 4,202 4,202
Interest Income 3 1 2 2 1 - - -
Other Revenue 947 2,610 - - -
TOTAL 4,447 7,037 4,481 4,514 4,660 4,202 4,202 4,202
PROCON TIF-10
Property Taxes 18,138 17,925 17,972 18,163 27,675 19,162 19,162 19,162
Interest Income 53 36 5 4 2 - - -
Other Revenue 972 232 1,172 1,555 233
TOTAL 19,163 18,193 19,148 19,722 27,910 19,162 19,162 19,162
WALNUT HOUSING PROJECT-11
Property Taxes 93,632 62,942 33,089 63,871 65,147 74,472 74,472 74,472
Interest Income 100 207 26 13 6 - - -
Other Revenue 10,825 12,395 11,180 10,588 9,320
TOTAL 104,557 75,544 44,296 74,471 74,473 74,472 74,472 74,472
BRUNS PET GROOMING-12
Property Taxes 9,536 9,575 10,502 6,727 19,667 13,500 12,755 13,500
Interest Income - -
TOTAL 9,536 9,575 10,502 6,727 19,667 13,500 12,755 13,500
Grand Island Special Meeting - 8/15/2013 Page 9 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
GIRAD VET CLINIC-13
Property Taxes 3,242 4,940 13,855 350 18,736 14,500 14,037 14,500
Interest Income - - - - - - -
TOTAL 3,242 4,940 13,855 350 18,736 14,500 14,037 14,500
GEDDES ST APTS - PROCON-14
Property Taxes 1,195 14,809 29,185 41,923 30,000 29,099 30,000
Interest Income - - - - - - -
TOTAL - 1,195 14,809 29,185 41,923 30,000 29,099 30,000
SOUTHEAST CROSSINGS-15
Property Taxes - 8,866 12,109 12,200 12,616 12,000 8,674 12,000
Interest Income - - - - - - -
TOTAL - 8,866 12,109 12,200 12,616 12,000 8,674 12,000
POPLAR STREET WATER-16
Property Taxes - - - - 2,052 2,500 1,826 2,500
Interest Income - - - - - - - -
Other Revenue -
TOTAL - - - - 2,052 2,500 1,826 2,500
CASEY'S FIVE POINTS-17
Property Taxes - 4,429 8,670 10,000 8,670 10,000
Interest Income - - - - -
TOTAL CASEY'S FIVE POINTS - - - 4,429 8,670 10,000 8,670 10,000
SOUTHPOINTE HOTEL-18
Property Taxes - - - 41,479 85,341 90,000 88,000 90,000
Interest Income - - - -
TOTAL SOUTHPOINTE HOTEL - - - 41,479 85,341 90,000 88,000 90,000
TODD ENCK-19
Property Taxes - - - 1,622 6,059 2,500 3,126 3,200
Interest Income - - - - -
TOTAL TC ENCK - - - 1,622 6,059 2,500 3,126 3,200
SKAGWAY - 20
Property Taxes - - - - - 55,000 - 55,000
Interest Income - - - - - -
TOTAL SKAGWAY - 20 - - - - - 55,000 - 55,000
JOHN SCHULTE CONSTRUCTION-21
Property Taxes - - - - 4,449 6,000 4,448 6,000
Interest Income - - - - - -
TOTAL JOHN SCHULTE CONSTRUCTION - - - - 4,449 6,000 4,448 6,000
PHARMACY PROPERTIES INC-22
Property Taxes - - - - 10,363 11,000 5,347 11,000
Interest Income - - - - - -
TOTAL PHARMACY PROPERTIES INC - - - - 10,363 11,000 5,347 11,000
KEN-RAY LLC-23
Property Taxes - - - - - 34,000 - 34,000
Interest Income - - - - - -
TOTAL KEN-RAY LLC - - - - - 34,000 - 34,000
COUNTY FUND #8598
Property Taxes - - - - - - - -
Interest Income - - - - - -
TOTAL COUNTY FUND #8598 - - - - - - - -
ARNOLD WENN-Duplex 13th & Huston-NEW 2013-2014
Property Taxes - - - - - - - 3,000
Interest Income - - - - - -
TOTAL ARNOLD WENN - - - - - - - 3,000
TOKEN PROPERTIES LLC -Duplex N Ruby-NEW 2013-2014
Property Taxes - - - - - - - 3,000
Interest Income - - - - - -
Grand Island Special Meeting - 8/15/2013 Page 10 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
TOTAL TOKEN PROPERTIES LLC - - - - - - - 3,000
STRATFORD PLAZA-HOWARD JOHNSON-NEW 2013-2014
Property Taxes - - - - - - - 15,000
Interest Income - - - - - -
TOTAL STRATFORD PLAZA - - - - - - - 15,000
EIG GRAND ISLAND LLC-STATE STREET-NEW 2013-2014
Property Taxes - - - - - - - 40,000
Interest Income - - - - - -
TOTAL EIG GRAND ISLAND LLC - - - - - - - 40,000
BAKER DEVELOPMENT -NEW 2013-2014
Property Taxes - - - - - - - 3,000
Interest Income - - - - - -
TOTAL BAKER DEVELOPMENT - - - - - - - 3,000
TOKEN PROPERTIES LLC (CAREY ST) -NEW 2013-2014
Property Taxes - - - - - - - 3,000
Interest Income - - - - - -
TOTAL TOKEN PROPERTIES LLC(CAREY ST) - - - - - - - 3,000
GORDMAN GRAND ISLAND LLC -NEW 2013-2014
Property Taxes - - - - - - - 40,000
Interest Income - - - - - -
TOTAL GORDMAN GRAND ISLAND LLC - - - - - - - 40,000
TOKEN PROPERTIES LLC (KIMBALL ST)-NEW 2013-2014
Property Taxes - - - - - - - 3,000
Interest Income - - - - - -
TOTAL TOKEN PROPERTIES LLC (KIMBALL ST) - - - - - - - 3,000
AUTO GROUP -PINE ST & S LOCUST -NEW 2013-2014
Property Taxes - - - - - - - 10,000
Interest Income - - - - - -
TOTAL AUTO GROUP - - - - - - - 10,000
HABITAT (ST PAUL RD)-NEW 2013-2014
Property Taxes - - - - - - - 6,000
Interest Income - - - - - -
TOTAL HABITAT - - - - - - - 6,000
CHIEF FABRICATION(ADAMS ST)-NEW 2013-2014
Property Taxes - - - - - - - 40,000
Interest Income - - - - - -
TOTAL CHIEF FABRICATION - - - - - - - 40,000
PRIDON LLC-NEW 2013-2014
Property Taxes - - - - - - - -
Interest Income - - - - - -
TOTAL PRIDON LLC - - - - - - - -
COPPER CREEK-NEW 2013-2014
Property Taxes - - - - - - - -
Interest Income - - - - - -
TOTAL COPPER CREEK - - - - - - - -
TOTAL REVENUE 807,920 842,571 692,826 790,379 1,052,768 3,020,453 2,788,203 1,370,624
Grand Island Special Meeting - 8/15/2013 Page 11 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
EXPENSES EXPENSES
CRA
GENERAL OPERATIONS: 01
Auditing & Accounting 5,000 7,601 4,392 3,998 4,025 5,000 4,000 5,000
Legal Services 2,143 4,829 3,060 2,389 2,187 3,000 3,000 3,000
Consulting Services - - - - - 10,000 5,000 10,000
Contract Services 34,362 26,122 84,977 40,666 44,428 55,000 55,000 65,000
Printing & Binding 568 - - - - 1,000 - 1,000
Other Professional Services 4,113 - - 6,393 7,599 5,000 - 5,000
General Liability Insurance - - - - - 250 250 250
Postsge 142 159 202 712 328 200 200 200
Legal Notices 828 750 613 881 1,979 2,500 1,500 2,500
Licenses & Fees - - - - - - -
Travel & Training - - - - 161 1,000 200 1,000
Other Expenditures - - - 94 796 - - -
Office Supplies 106 38 328 746 - 300 300 300
Supplies - - - - - 300 - 300
Land 33,090 129 448,720 2,002 - 20,000 - 50,000
- - -
DEBT - - -
Bond Payments/Fees 207,859 - 207,859
Lincoln Pool Principal Bond Payment - 170,000
Lincoln Pool Interest Bond Payment 15,105 23,828
Payment to City-Lincoln Pool engineering fees - -
PROJECTS: 05 - - -
Façade Improvement 207,871 241,793 354,015 442,155 1,146,639 120,000 117,000 150,000
Lincoln Pool Construction From Bond Proceeds - - - 180,658 1,800,000 1,880,062
2nd Street BID - - - - - -
Outstanding Façade Improvement Grants - - - 318,000 200,000
Railroad Horns - - - - -
Other Committed Projects - - - 134,000 152,000 40,000
Other Projects - 2,858 - - 50,000 100,000
Property Taxes BID Fees - - - - 11,000 11,000 11,000
Property Management - - - - - - -
TOTAL CRA OPERATING EXPENSES 288,221 284,279 896,308 500,035 1,388,800 2,744,409 2,444,617 846,237
GILI TRUST-07
Bond Principal 47,159 51,009 55,158 59,654 33,066 - - -
Bond Interest 18,622 14,779 10,622 6,126 1,325 - - -
Other Expenditures - - - - -
TOTAL GILI EXPENSES 65,781 65,788 65,780 65,780 34,390 - - -
CHERRY PARK LTD II-08
Bond Principal 36,824 39,729 42,864 46,245 49,894 53,831 53,831 28,486
Bond Interest 22,356 19,451 16,316 12,935 9,286 5,349 5,349 1,102
TOTAL CHERRY PARK EXPENSES 59,180 59,180 59,180 59,180 59,180 59,180 59,180 29,588
GENTLE DENTAL-09
Bond Principal 2,082 2,236 2,395 2,566 2,745 2,986 2,986 3,195
Bond Interest 2,120 1,966 1,807 1,636 1,457 1,216 1,216 1,007
TOTAL GENTLE DENTAL 4,202 4,202 4,202 4,202 4,202 4,202 4,202 4,202
PROCON TIF-10
Bond Principal 10,601 9,064 10,183 10,829 11,641 12,467 12,467 13,355
Bond Interest 8,560 10,098 8,979 8,333 7,521 6,695 6,695 5,807
TOTAL PROCON TIF 19,162 19,162 19,162 19,162 19,162 19,162 19,162 19,162
WALNUT HOUSING PROJECT-11
Bond Principal 33,055 35,321 37,743 40,331 43,096 46,051 46,051 49,209
Bond Interest 41,417 39,151 36,729 34,141 31,376 28,421 28,421 25,263
TOTAL WALNUT HOUSING PROJECT 74,472 74,472 74,472 74,472 74,472 74,472 74,472 74,472
Grand Island Special Meeting - 8/15/2013 Page 12 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
BRUNS PET GROOMING-12
Bond Principal 9,536 9,575 10,502 6,727 19,667 13,500 13,170 13,500
Bond Interest - - - - -
TOTAL BRUNS PET GROOMING 9,536 9,575 10,502 6,727 19,667 13,500 13,170 13,500
GIRARD VET CLINIC-13
Bond Principal 6,242 4,940 13,855 350 18,736 14,500 14,037 14,500
Bond Interest - - - - -
TOTAL GIRARD VET CLINIC 6,242 4,940 13,855 350 18,736 14,500 14,037 14,500
GEDDES ST APTS - PROCON-14
Bond Principal - 1,195 14,809 29,185 41,923 30,000 28,591 30,000
Bond Interest - - - - -
TOTAL GEDDES ST APTS - PROCON - 1,195 14,809 29,185 41,923 30,000 28,591 30,000
SOUTHEAST CROSSINGS-15
Bond Principal - 8,866 12,109 12,200 12,616 12,000 8,674 12,000
Bond Interest - - - - -
TOTAL SOUTHEAST CROSSINGS - 8,866 12,109 12,200 12,616 12,000 8,674 12,000
POPLAR STREET WATER-16
Auditing & Accounting - - 1,000 - - -
Contract Services - - 89,899 38,129 -
Bond Principal - - - - 2,052 2,500 1,826 2,500
Bond Interest - - - - -
TOTAL POPLAR STREET WATER - - 90,899 38,129 2,052 2,500 1,826 2,500
CASEY'S FIVE POINTS-17
Bond Principal - 4,429 8,670 10,000 8,670 10,000
Bond Interest - - - - -
TOTAL CASEY'S FIVE POINTS - - - 4,429 8,670 10,000 8,670 10,000
SOUTHPOINTE HOTEL-18
Bond Principal - 41,479 85,341 90,000 88,000 90,000
Bond Interest - - - - -
TOTAL SOUTHPOINTE HOTEL - - - 41,479 85,341 90,000 88,000 90,000
TODD ENCK PROJECT - 19
Bond Principal - 1,622 6,059 2,500 3,126 3,200
Bond Interest - - - - -
TOTAL TODD ENCK PROJECT - - - 1,622 6,059 2,500 3,126 3,200
SKAGWAY - 20
Auditing & Accounting - - - 1,000 -
Bond Principal - - - 55,000 55,000
Bond Interest - - - - -
TOTAL SKAGWAY - - - 1,000 - 55,000 - 55,000
JOHN SCHULTE CONSTRUCTION-21
Bond Principal - - - - 4,449 6,000 4,448 6,000
Bond Interest - - - - -
TOTAL JOHN SCHULTE CONSTRUCTION - - - - 4,449 6,000 4,448 6,000
PHARMACY PROPERTIES INC-22
Bond Principal - - - - 10,363 11,000 5,347 11,000
Bond Interest - - - -
TOTAL PHARMACY PROPERTIES INC - - - - 10,363 11,000 5,347 11,000
KEN-RAY LLC-23
Bond Principal - - - - - 34,000 - 34,000
Bond Interest - - - - -
TOTAL KEN-RAY LLC - - - - - 34,000 - 34,000
COUNTY FUND #8598
Bond Principal - - - - - - -
Bond Interest - - - - -
TOTAL COUNTY FUND #8598 - - - - - - - -
ARNOLD WENN-Duplex 13th & Huston-NEW 2013-2014
Bond Principal - - - - - - 3,000
Bond Interest - - - - -
TOTAL ARNOLD WENN - - - - - - - 3,000
TOKEN PROPERTIES LLC-Duplex N Ruby-NEW 2013-2014
Bond Principal - - - - - - 3,000
Grand Island Special Meeting - 8/15/2013 Page 13 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
Bond Interest - - - - -
TOTAL TOKEN PROPERTIES LLC - - - - - - - 3,000
STRATFORD PLAZA LLC (HOWARD JOHNSONS)- New 2013-2014
Bond Principal - - - - - - 15,000
Bond Interest - - - - -
TOTAL STRATFORD PLAZA - - - - - - - 15,000
EIG GRAND ISLAND LLC-STATE ST - New 2013-2014
Bond Principal - - - - - - 40,000
Bond Interest - - - - -
TOTAL EIG GRAND ISLAND LLC - - - - - - - 40,000
BAKER DEVELOPMENT - New 2013-2014
Bond Principal - - - - - - 3,000
Bond Interest - - - - -
TOTAL BAKER DEVELOPMENT - - - - - - - 3,000
TOKEN PROPERTIES LLC (CAREY ST) - New 2013-2014
Bond Principal - - - - - - 3,000
Bond Interest - - - - -
TOTAL TOKEN PROPERTIES LLC - - - - - - - 3,000
GORDMAN GRAND ISLAND - New 2013-2014
Bond Principal - - - - - - 40,000
Bond Interest - - - - -
TOTAL GORDMAN GRAND ISLAND - - - - - - - 40,000
TOKEN PROPERTIES LLC(KIMBALL ST) - New 2013-2014
Bond Principal - - - - - - 3,000
Bond Interest - - - - -
TOTAL TOKEN PROPERTIES LLC - - - - - - - 3,000
AUTO GROUP -PINE ST & LOCUST - New 2013-2014
Bond Principal - - - - - - 10,000
Bond Interest - - - - -
TOTAL AUTO GROUP - - - - - - - 10,000
HABITAT (ST PAUL RD) - New 2013-2014
Bond Principal - - - - - - 6,000
Bond Interest - - - - -
TOTAL HABITAT - - - - - - - 6,000
CHIEF FABRICATION -ADAMS ST - New 2013-2014
Bond Principal - - - - - - 40,000
Bond Interest - - - - -
TOTAL CHIEF FABRICATION - - - - - - - 40,000
PRIDON LLC - New 2013-2014
Bond Principal - - - - - - -
Bond Interest - - - - -
TOTAL PRIDON LLC - - - - - - - -
COPPER CREEK - New 2013-2014
Bond Principal - - - - - - -
Bond Interest - - - - -
TOTAL COPPER CREEK - - - - - - - -
Blank TIFF - New 2013-2014
Bond Principal - - - - - - -
Bond Interest - - - - -
TOTAL BLANK TIF - - - - - - - -
Blank TIFF - New 2013-2014
Bond Principal - - - - - - -
Bond Interest - - - - -
TOTAL BLANK TIF - - - - - - - -
Blank TIFF - New 2013-2014
Bond Principal - - - - - - -
Bond Interest - - - - -
TOTAL BLANK TIF - - - - - - - -
Blank TIFF - New 2013-2014
Bond Principal - - - - - - -
Bond Interest - - - - -
Grand Island Special Meeting - 8/15/2013 Page 14 / 45
COMMUNITY REDEVELOPMENT AUTHORITY
FY 2013- 2014 BUDGET
2008 2009 2010 2011 2012 2013 2013 2014
Actual Actual Actual Actual Actual Budget Forecasted Budget
TOTAL BLANK TIF - - - - - - - -
TOTAL EXPENSES 526,796 531,658 1,261,276 857,952 1,790,082 3,182,425 2,777,522 1,421,360
Grand Island Special Meeting - 8/15/2013 Page 15 / 45
COMMUNITY
REDEVELOPME
NT AUTHORITY
CRA Budget with Lincoln Park Pool
2013 Budget 2013
Forecasted
2014 Budget
Revenue 3,020,453 2,788,203 1,370,624
Expenses
Operating 83,500 69,450 93,550
Program 653,000 480,000 351,000
TIF/Bond
Payments 438,016 332,905 575,124
Lincoln Pool 2,005,574 1,895,763 195,000
Total
Expenses
3,180,090 2,777,118 1,214,574
Property Tax Asking of $667,500 proposed Levy $0.026
Grand Island Special Meeting - 8/15/2013 Page 16 / 45
COMMUNITY
REDEVELOPME
NT AUTHORITY
CRA Budget Highlights
Operating Expenses
$93,550 budgeted up from $83,500
Façade Improvement
$150,000 up from $120,000
Property Purchase
$50,000 up from $20,000
Lincoln Pool
Bond Payment Principal and Interest of $195,000
Other Projects
$100,000 up from $50,000
Grand Island Special Meeting - 8/15/2013 Page 17 / 45
COMMUNITY
REDEVELOPME
NT AUTHORITY
CRA Budget Highlights
Carry Over Projects:
Downtown Projects (Lighting)
Housing Study with GIAEDC
Fire Sprinkler Project for Gibby’s Bar Property
Grand Island Special Meeting - 8/15/2013 Page 18 / 45
City of Grand Island
Thursday, August 15, 2013
Special Meeting
Item -2
Employee Pension Reserve Funds
Staff Contact: Jaye Monter
Grand Island Special Meeting - 8/15/2013 Page 19 / 45
Council Agenda Memo
From:Jaye Monter, Finance Director
Meeting:August 13, 2013
Subject:Employee Pension Reserve Funds
Item #’s:2
Presenter(s):Jaye Monter, Finance Director
Background
The City of Grand Island’s budget includes three fiduciary funds to account for assets
held in trust for pension benefits of police and fire employees subject to a defined benefit
pension plan. The subject of the excess funds in the Fire Reserve Fund was part of the
January 15, 2013 Study Session involving Pre-84 Retiree Pension plans. Several outside
experts were present on January 15, to help answer Council’s questions.
Excess funds from the Fire Reserve Fund are transferred to the General Fund each budget
year to cover employer pension costs.
Discussion
While the nets assets of the Fire Reserve Fund remain in excess of future liabilities, the
net assets of the Police Reserve Fund are not sufficient to meet future obligations of
pension benefits for the remaining 6 pre-84 police officers and one disabled police
officer. Tonight’s discussion will focus on the needs of each fiduciary fund.
Robert Evnen from Woods & Aitken, LLP is here tonight to assist Council with this
discussion.
Conclusion
This item is presented to the City Council in a Study Session to allow for any questions to
be answered and to create a greater understanding of the issue at hand.
Grand Island Special Meeting - 8/15/2013 Page 20 / 45
Finance
Employee Pension
Reserve Funds
August 15, 2013
Grand Island Special Meeting - 8/15/2013 Page 21 / 45
Finance
Pre-84 Retiree Pension
Study Session
January 15, 2013
Grand Island Special Meeting - 8/15/2013 Page 22 / 45
Finance
Gregg Rueschhoff
ASA, Principal & Consulting Actuary
Milliman, Inc.
Jay Huston
CIC
Ryder, Rosacker, McCue & Huston
Terry Galloway
CPA, CGFM, CFE, CVA, PFS
Almquist, Maltzahn, Galloway &
Luth, CPAs
Greg Anderson
Vice President and Trust Officer,
Relationship Manager
Wells Fargo Institutional
Retirement and Trust
Robert Evnen
Woods & Aitken LLP
Rodney Cerny
CFA, Senior Vice President
Smith Hayes Advisors Inc.
Joining us Jan 15, 2013
Grand Island Special Meeting - 8/15/2013 Page 23 / 45
Finance
Joining us August 15, 2013
Robert Evnen
Woods & Aitken LLP
Grand Island Special Meeting - 8/15/2013 Page 24 / 45
Finance
The Question To Be Answered
August 15, 2013…
1)Are the cash reserves in the three employee pension
reserve funds of the City part of the pension plan
covered by State Statutes?
Grand Island Special Meeting - 8/15/2013 Page 25 / 45
Finance
Jan 15, 2013
800 Fund - Police and Fire Pension Fund - accounts for direct pension
payments to personnel who retired prior to 84 under a defined benefit
plan - 24 remain
805 Fund - Police Reserve Fund - accounts for administration of the pre
-84 police officers pension benefits under a defined benefit plan- 6
remain
810 Fund - Fire Reserve Fund - accounts for administration of the pre-
84 firefighters pension benefits under a defined benefit plan- 1 remain
4 – Budget – Cash Reserves vs. Unallocated
Funds
Cash Balances in the City’s Budget
Grand Island Special Meeting - 8/15/2013 Page 26 / 45
Finance
Police Pension Plan – 2 Accounts
Employee’s Retirement Account
Employee Contribution – 6%
Employer Contribution – 6%
Unallocated Forfeiture Account
Unvested Employer Contributions
4 – Budget – Cash Reserves vs. Unallocated
Funds
Jan 15, 2013
Fire Pension Plan – 2 Accounts
Employee’s Retirement Account
Employee Contribution – 6½%
Employer Contribution – 13%
Unallocated Forfeiture Account
Unvested Employer Contributions
Cash Balances NOT in the City’s Budget
Retirement Plans through Wells Fargo
Grand Island Special Meeting - 8/15/2013 Page 27 / 45
Finance
Unallocated Forfeiture account
Represent funds accumulated in an account
within the pension plan from unvested employer
contributions
Subject to State Statutes 16-1023-1025
Unallocated Funds in Pension Plan
Grand Island Special Meeting - 8/15/2013 Page 28 / 45
Finance
Statement of Net Assets - Fiduciary Funds
September 30, 2012
(excerpt from audit report, p. 26)
Employee Pension
Reserve Funds
ASSETS
Cash 9,249
Investments 5,125,906
Accounts receivable -
Special assessments receivable -
Total assets 5,135,155
LIABILITIES
Due to other funds 512,914
Agency liabilities -
Pension liability 1,160,256
Total liabilities 1,673,170
NET ASSETS
Held in trust for pension benefits $ 3,461,985
Grand Island Special Meeting - 8/15/2013 Page 29 / 45
Finance
July 31, 2013 800 Fund
Police & Fire
Reserve
805 Fund
Police Reserve
810 Fund
Fire Reserve
Total Employee
Reserve Funds
Cash and Investments 1,516,948 1,082 3,789,849 5,307,879
Liabilities
Pension liability-Retirees before 1984 1,160,256 - - 1,160,256
Pre-84 6-Police Officers-1-Firefigher - Jan 15, 2013 448,094 35,322 483,416
Pension Disabilities-Police/Fire-Present Value 418,906 542,458 961,364
Total Liabilities 1,160,256 867,000 577,780 2,605,036
Net Assets 356,692 (865,918) 3,212,069 2,702,843
Proposed Transfers for 2013-2014 Budget
Balance Sheet Transfer between Funds (355,000) 355,000
From Fire to Gen Fund-Employer Pension Fire - 13% (450,000) (450,000)
From Fire to Police to Cover Future Liabilities 867,000 (867,000) -
From Fire to Gen Fund-Reimb Cole/Kortum 2013 (153,000) (153,000)
-
Net Assest at 7-31-13 1,692 1,082 2,097,069 2,099,843
Grand Island Special Meeting - 8/15/2013 Page 30 / 45
Finance
The Next Question To Be Answered
August 15, 2013…
1)What effect will these proposed budget transfers have
on the 2013-2014 General Fund presentation
of August 6, 2013?
Grand Island Special Meeting - 8/15/2013 Page 31 / 45
Finance
Increase GF Cash by reducing transfer from GF
to Police Reserve Fund-$420,000 for two pre-84
potential police retirees in 2014.
Increase GF Cash by reimbursing GF for 2012-
2013 pre-84 police retirees Cole and Kortum,
($100k and 53k respectfully)
Redistributes excess cash in Fire Reserve to
Future Police Pension Liability
Impact of Employee Pension Fund
proposed transfers on 2013-2014 General
Fund
Grand Island Special Meeting - 8/15/2013 Page 32 / 45
Finance
Grand Island Special Meeting - 8/15/2013 Page 33 / 45
City of Grand Island
Thursday, August 15, 2013
Special Meeting
Item -3
General Fund Revenue Considerations
Staff Contact: Mary Lou Brown, City Administrator
Grand Island Special Meeting - 8/15/2013 Page 34 / 45
REVENUE CONSIDERATIONS
2013-2014
Budget Foundation
City of Grand Island
Grand Island Special Meeting - 8/15/2013 Page 35 / 45
Revenue growth of 3.9% equates to $1,533,224
Excess cash (appropriated, unspent) from current fiscal
year of $1,694,136
Funding Sources
GENERAL FUND
2013-2014 PROPOSED
BUDGET
Grand Island Special Meeting - 8/15/2013 Page 36 / 45
A large portion of the 2013-2014 budget is funded with
non-recurring revenue of $1,694,136
Sustainability – a lesson learned from the economic
downturn
Importance of programs to community should impact
type of revenue funding
Issues
GENERAL FUND
2013-2014 PROPOSED
BUDGET
Grand Island Special Meeting - 8/15/2013 Page 37 / 45
Revenue Stability
GENERAL FUND
2013-2014 PROPOSED
BUDGET
Most Stable Least Stable
Property Tax Food & Beverage Sales Tax/Other
and
All Other Occupation Tax
City Mandated to Provide Services
Community Reliant on the City
Quartile Rankings
High Low
Grand Island Special Meeting - 8/15/2013 Page 38 / 45
Revenue and Expense Matching
GENERAL FUND
2013-2014 PROPOSED
BUDGET
Incremental Expense Revenue Continuum Amount
Safer Community Prop/Occ Tax $ 1,011,223
MPO Implementation Prop/Occ Tax $ 100,000
Public Transit Funding Prop/Occ Tax $ 100,000
MSA Designation/Comparability Rules Prop/Occ Tax $ 674,388
Increased Healthcare & Worker's Comp Costs Prop/Occ Tax $ 840,495
Operational Growth Occ Tax/Sales Tax/Other $ 636,693
Other (State Fair,Occ Tax/Sales Tax/Other $ 401,000
Humane Society Contract, Transfers Out)
Grand Island Special Meeting - 8/15/2013 Page 39 / 45
Funding Sources
GENERAL FUND
2013-2014 PROPOSED
BUDGET
2013 2014
Forecast Budget Difference
Total Projected Revenue Growth $ 39,136,946 $ 40,670,170 $ 1,533,224
Property Tax Growth 6,736,334 7,088,653 352,319
Food & Beverage Growth 1,446,452 1,504,310 57,858
Other Occupation Tax Growth 2,602,617 2,628,210 25,593
Sales Tax 14,853,631 15,224,971 371,340
All Other 13,497,912 14,224,026 726,114
Grand Island Special Meeting - 8/15/2013 Page 40 / 45
Options for Consideration
GENERAL FUND
2013-2014 PROPOSED
BUDGET
.01 mill levy equates to $0.83 per month for owner of $100,000 home. Today,
that same owner pays $27 per month for all city services.
Available
Today
Property Tax Up to .474 mils, at .3241 $ 3,848,546
Occupation Taxes
Lodging Tax Unlimited, at 2% $ -(Funds HEC)
Cell Phone Tax Up to 6%, at 3% $ 500,000
Food & Beverage Tax Unlimited, at 1.5% $ -(Pays fieldhouse debt)
Sales Tax Up to 1.5%, at 1% $ 5,000,000
Grand Island Special Meeting - 8/15/2013 Page 41 / 45
GENERAL FUND
2013-2014 PROPOSED
BUDGET
Question #1 How do we use the excess cash from 2013?
$1,694,136
Reduce increased Cash Reserve Fund 400 Fund Capital to
level of taxes start addressing
infrastructure needs
Question #2 What components are appropriate for an
increased tax authority?
Cell phone Property Sales
Grand Island Special Meeting - 8/15/2013 Page 42 / 45
City of Grand Island
Thursday, August 15, 2013
Special Meeting
Item I1
#2013-272 - Approving Health and Dental Insurance Renewal
Staff Contact: Brenda Sutherland
Grand Island Special Meeting - 8/15/2013 Page 43 / 45
Council Agenda Memo
From:Brenda Sutherland, Human Resources Director
Meeting:August 15, 2013
Subject:Health and Dental Insurance Renewal
Item #’s:I-1
Presenter(s):Brenda Sutherland, Human Resources Director
Background
This memo serves as a place holder for the approval of the health and dental benefits.
The Council will be presented with information on the City’s health and dental plans
during the Tuesday night study session. Based on the outcome of that study session an
updated memo with recommendations and a resolution will follow on Wednesday prior to
the August 15th meeting.
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
Sample Motion
Move to
Grand Island Special Meeting - 8/15/2013 Page 44 / 45
RESOLUTION 2013-272
Whereas, the City subscribes to health insurance for its employees and
other eligible participants, as authorized by the City of Grand Island Personnel Rules and
Regulations and federal regulations; and
WHEREAS, this Resolution serves as a place holder for the approval of
the health and dental benefits which will be presented to the Council during a study
session on August 13th 2013 and based on the outcome of that meeting an updated
Resolution will follow on Wednesday, August 14th.
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, August 15, 2013.
_______________________________________
Jay Vavricek, Mayor
Attest:
_______________________________________
RaNae Edwards, City Clerk
Grand Island Special Meeting - 8/15/2013 Page 45 / 45