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04-02-2019 City Council Study Session Packet City of Grand Island Tuesday, April 2, 2019 Study Session Agenda City Council: Jason Conley Michelle Fitzke Chuck Haase Julie Hehnke Jeremy Jones Vaughn Minton Mitchell Nickerson Mike Paulick Clay Schutz Mark Stelk Mayor: Roger G. Steele City Administrator: Brent Clark City Clerk: RaNae Edwards 7:00 PM Council Chambers - City Hall 100 East 1st Street, Grand Island, NE 68801 Grand Island Study Session - 4/2/2019 Page 1 / 80 City of Grand Island Tuesday, April 2, 2019 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 Study Session - 4/2/2019 Page 2 / 80 City of Grand Island Tuesday, April 2, 2019 Study Session Item -1 Veterans Home Campus Update Staff Contact: Brent Clark Grand Island Study Session - 4/2/2019 Page 3 / 80 Legal April 2019 Grand Island Veterans Home Project Grand Island Study Session - 4/2/2019 Page 4 / 80 Legal Grand Island Study Session - 4/2/2019 Page 5 / 80 Legal Grand Island Study Session - 4/2/2019 Page 6 / 80 Legal Grand Island Study Session - 4/2/2019 Page 7 / 80 Legal Video Flyover of Veteran’s Home Campus Grand Island Study Session - 4/2/2019 Page 8 / 80 Legal Grand Island Study Session - 4/2/2019 Page 9 / 80 Legal Annual Utilities and Grounds Maintenance Department of Administrative Services has estimated their costs for Utilities and Ground Maintenance at $1,000,000 annually. These costs, while less for a facility that is not in use, will still be similar for subsequent owners of the property. Grand Island Study Session - 4/2/2019 Page 10 / 80 Legal Veteran’s Cemetery The City of Grand Island is waiting on State approval of a Memorandum of Agreement for the transfer of the Veteran’s Cemetery for the care and maintenance of the Cemetery. The Grand Island Parks Department will care for and maintain the Cemetery beginning this spring. Grand Island Study Session - 4/2/2019 Page 11 / 80 Legal Significant Agreements Programmatic Agreement – Required by VA Construction Grant; Memorandum of Agreement between City and State – Provides framework for potential transfers of former GIVH. Grand Island Study Session - 4/2/2019 Page 12 / 80 Legal Programmatic Agreement a Condition of Federal Funding, signed 2015 Grand Island Study Session - 4/2/2019 Page 13 / 80 The Programmatic Agreement imposed upon the State certain obligations regarding the Grand Island Veterans Home site, including: The Programmatic Agreement is required by Federal Law as a condition of awarding funds for projects such as the new Veterans Home in Kearney. Grand Island Study Session - 4/2/2019 Page 14 / 80 Elements of the Programmatic Agreement Include: A Historic Property Identification and Site Survey; 1.Resource count and description of property; 2.Site map; 3.History; 4.Recommendations for placement on Historic Property Registry; 5.Historic resources to be considered as part of the reuse plan. DHHS and DAS will ensure the continued maintenance of all facilities and support resources through the duration of the Programmatic Agreement. Grand Island Study Session - 4/2/2019 Page 15 / 80 Grand Island Study Session - 4/2/2019 Page 16 / 80 Grand Island Study Session - 4/2/2019 Page 17 / 80 Grand Island Study Session - 4/2/2019 Page 18 / 80 Grand Island Study Session - 4/2/2019 Page 19 / 80 Grand Island Study Session - 4/2/2019 Page 20 / 80 Grand Island Study Session - 4/2/2019 Page 21 / 80 Grand Island Study Session - 4/2/2019 Page 22 / 80 Legal No State Funds Prior to Phase I transfer funding for building demolition was discussed. There was no legally binding commitment by the State to provide funds. After Phase I, DAS informed the City there are no State funds to accompany transfer of the property to the City. Grand Island Study Session - 4/2/2019 Page 23 / 80 Legal Phase I Lands –Receipts and DebitsFY2016FY2017FY2018FY2019 to date TOTAL Revenues: Farm Income $ 38,246.25 $ 76,492.50 $ 86,796.98 $ 81,816.38 $ 283,352.11 Expenses: Property Taxes $ - $ 41,102.12 $ 40,710.56 $ $ 81,812.68 Phase I Dev. Plan $ - $ 52,510.75 $ 41,489.25 $ - $ 94,000.00 Subtotal: $ - $ 93,612.87 $ 82,199.81 $ - $ 175,812.68 Cash On Hand: $ 38,246.25 $ 21,125.88 $ 25,723.05 $ 107,539.43 $ 192,634.61 2018 property tax assessed but not yet due - $37,101. Grand Island Study Session - 4/2/2019 Page 24 / 80 Legal Veterans Cemetery Estimated Annual Maintenance Expense Seasonal Employee $ 12,320 Utilities $ 5,000 Natural Gas $ - Building Repairs $ - Mechanical Repairs $ 1,020 Equipment Repairs $ 1,400 Sanitation Service $ - Other Property Services $ 500 Legal Notices $ 225 Travel and Training $ - Uninsured Loss $ 100 Office Supplies $ - Chemical Supplies $ 2,900 Small Tools and Parts $ 250 Materials $ 1,715 Supplies $ 1,050 $ 26,480 Grand Island Study Session - 4/2/2019 Page 25 / 80 Legal It is not reasonable or responsible for the City to assume financial responsibility for the campus. Farm income from the Phase I transfer is insufficient to pay campus utilities, building maintenance, and other operating expense. Grand Island Study Session - 4/2/2019 Page 26 / 80 Legal DAS Plan The Nebraska Department of Administrative Services Informed the City of its intended Disposition Plan: 1.DAS will Transmit a Request for Information and Proposals (RFI/RFP) to potential Developers; 2.DAS will review responses and select adequate responses to proceed for consideration by a redevelopment team; 3.A DAS appointed redevelopment team will review and prioritize proposals; 4.DAS will host a community input session on the proposal selected by the redevelopment team; and 5.The selected proposal will be sent to the City for review. Grand Island Study Session - 4/2/2019 Page 27 / 80 Legal Veterans Cemetery and United Veterans Club City Administration offered to assume responsibility for the Veterans Cemetery through a Memorandum of Agreement between the State and DAS with the City. Due to the uncertainty of the development process the State and the United Veterans Club entered into a new long term lease agreement for the 10 acre tract used by the club for parking and ball parks. Grand Island Study Session - 4/2/2019 Page 28 / 80 Legal GOALS The City of Grand Island is seeking redevelopment of the Veterans Home in a manner that will accomplish the following goals: 1.Provide a sustainable, positive economic and social impact for the immediate area and the City; 2.Provide a benefit to veterans, such as housing, social services or meeting other needs; and 3.Avoid a negative impact on the City’s budget. 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