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12/19/2024 Minutes CITY OF GRAND ISLAND City Council Meeting Minutes Council Chambers City Hall 100 East First Street November 19, 2024 7:00 PM 1. CALL TO ORDER Mayor Roger Steele called the meeting to order at 7:00 p.m. 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL The following City Officials were present, City Clerk Jill Granere, City Administrator Laura McAloon, Assistant City Administrator/CFO Patrick Brown, Finance Director Matthew Gleason, City Attorney Kari Fisk and Public Works Director Keith Kurz. The following City Council Members were present: Maggie Mendoza,Bethany Guzinski, Chuck Haase, Jack Sheard, Mike Paulick, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Michelle Fitzke was absent. Mike Paulick left at 7:45. 4. SUBMITTAL OF REQUESTS FOR FUTURE AGENDA ITEMS 5. RESERVE TIME TO SPEAK ON AGENDA ITEMS 6. PRESENTATIONS AND PROCLAMATIONS 6.a) Update on NorthWestern Natural Gas Direct Negotiations Cover Page City Attorney Kari Fisk reported NorthWestern had requested an increase to natural gas rates with the Public Service Commission. City Council through resolution #2024-168 approved participation in direct negotiations with the Village of Alda, City of North Platte and City of Kearney("the Cities"). The Cities have retained a professional consultant to review the materials made available by NorthWestern. The consultant was currently working with NorthWestern and the public service commission to review and advise on the proposals.NorthWestern had exercised it's legal right to impose an interim rate increase on natural gas customers while their application was pending before the Public Service Commission. Customers serviced by NorthWestern impacted by the interim rate received notice in their October billing statement. 6.b) Contribution in Aid of Electrical Construction Cover Page Report Page 2 of 11,City Council Regular Meeting November 19,2024 Presentation Utilities Director Ryan Schmitz reported in a continued effort to curb the pressure on rates in the future, the Utility continued to go to great lengths to cut costs internally and investigate mechanisms that could control significant annual swings in capital costs. Unlike water, sewer, streets, and storm drains,where the developer is responsible for 100% of the infrastructure cost, the electric utility in Grand Island continued to cover electric installation costs. In the last few months, conversations were had with many electric utilities across the state and nation, in regard to the skyrocketing costs of infrastructure. The recurring answer was that other electric utilities were requiring developers to help offset the costs of infrastructure so that a reasonable payback period could be realized to protect the overall rate base. With that feedback in hand, the Utility began working with JK Energy Consulting, LLC to do a more formal investigation into how Nebraska utilities were handling costs statewide and to also develop a fair mechanism of reimbursement based on Grand Island's actual costs. Nebraska was the nation's only"all public power state". What the investigation with JK Energy Consulting, LLC found was that nearly every electric utility in the State, except for Hastings and a handful other small municipalities, were requiring a contribution in aid of construction from developers based on an acceptable payback period. In these unprecedented times, where electric infrastructure costs had increased fourfold in the last four (4) years, it was imperative that as a city, adjust our processes to allow for the same protective mechanisms others in our industry were utilizing. Implementing a cost share protects the rate base from over subsidizing developments during times of high growth,and also sends a pricing signal to commercial developments to provide more appropriate service 111 sizing information. It should also be noted that both tax incremental financing(TIF)and the good life district funding sources allow for coverage of electric infrastructure and provided financing options for many developments.The final electric contribution in aid of construction analysis was now completed and recommendations were included. The final report included the following recommendations from customers: Residential: $1300 per lot Commercial: all installation costs in excess of 2.5x the estimated gross annual revenue. 7. CONSENT AGENDA Motion by Doug Lanfear, second by Jason Conley to approve CONSENT AGENDA excluding item 7r. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 7.a) Approving Minutes of the November 5, 2024, City Council Regular Meeting Cover Page Minutes 7.b) Approving Minutes of the November 12, 2024 City Council Study Session. Cover Page Minutes 7.c) Approving Payment of Claims for the Period of November 6, 2024 through November 19, 2024 for a total amount of$7,322,992.06. Cover Page Page 3 of 11,City Council Regular Meeting November 19,2024 Claims 7.d) Approving and Reaffirming the Appointment of Joe Bandasack, Agustin Sanchez, Richard Flores, Reyna Romero, Kay Grimminger and Denise Kozel to the 4th Street Business Improvement District. Cover Page 7.e) Approving an Amended Preliminary Plat-Legacy 34 Subdivision Update 2024. Cover Page Aerial Map Application Preliminary Plat 7.f) #2024-297 - Approving Supplemental Agreement No. 2 to Preliminary Engineering Services Agreement for Broadwell Avenue & Union Pacific Railroad Viaduct with HDR Engineering, Inc. Cover Page Agreement Resolution City of Grand and HDR Engineering, Inc. of Omaha,Nebraska wish to enter into a Professional Services Agreement to provide Preliminary Engineering and Environmental Services for the Federal-aid Project. 7.g) #2024-298 - Approving Purchase of One (1) 2026 Model HX520 SFA International Dump Truck for the Wastewater Division of the Public Works Department. Cover Page Photos Resolution With Hansen International of Grand Island,Nebraska in an amount of$199,569.94. 7.h) #2024-299 - Approving RFP for Engineering Design Services for Renovation of Island Oasis Water Park for the Parks &Recreation Department. Cover Page Presentation Resolution With Waters Edge Aquatic Design of Lenexa, Kansas in an amount of$1,085,000.00. 7.i) #2024-300 - Approving Design and Reconstruction of Skate Park located in Pier Park. Cover Page Photo Skate Park Image Skate Park Image Page 4 of 11,City Council Regular Meeting November 19,2024 Skate Park Image Skate Park Image Resolution With Artisan Skateparks of Kitty Hawk,North Carolina in the amount of$892,783.50. 7.j) #2024-301 Approving the Grand Island Police Department Request to Purchase Six(6) 2025 Ford Police Utility Vehicles under State Contract. Cover Page Quote Contract Award Summary Resolution With Anderson Auto Group of Lincoln,Nebraska in an amount of$285,402.00. 7.k) #2024-302 -Approving Final Plat for Legacy 34 Sixth Subdivision, Grand Island. Cover Page Map Application Final Plat Subdivision Agreement Resolution 7.1) #2024-303 -Approving Final Plat Triple Crown Subdivision. Cover Page Map Application Subdivision Improvements Subdivision Subdivision Agreement Resolution 7.m) #2024-304-Approving CDBG#2023-5 Sub-Recipient Agreement with Heartland United Way. Cover Page Subrecipient Contract Resolution Heartland United Way was recognized as the sub-recipient to utilize $130,000 of CDBG funding to create and implement the Rental Rehabilitation program. 7.n) #2024-305 -Approving Purchase to Replace Fire Station#1 Overhead Doors. Cover Page Quote Resolution Page 5 of 11,City Council Regular Meeting November 19,2024 With Pioneer Door Inc. in amount of$40,040.00. 7.o) #2024-306 -Approving Bid Award for 13.8 kV Pole Inspection and Preservation Services. Cover Page Resolution With Intec Services, Inc. of Fort Collins, Colorado in an amount not to exceed$97,508.00. 7.p) #2024-307 -Approving 911 Console and Radio Equipment Maintenance Proposal. Cover Page Resolution With Platte Valley Communications for the next ten(10)years. 7.q) #2024-308 -Approving Sanitary Sewer Cost Share Agreement for Veterans Legacy South Subdivision with Mortenson Development, Inc. Cover Page Cost Share Agreement Resolution 111 With Mortenson Development, Inc. for sharing the cost of upsizing the sanitary sewer system with cost to the City of$35,139.17. 7.r) #2024-309 -Approving Transfer of Funds to Heartland Events Center/ VenuWorks Operating Account. Cover Page Agreement Resolutions 2024-256 Grand Island Funding Request Resolution Assistant City Adminstrator/CFO Patrick Brown reported that$100,000 would be transferred to Venuworks for starting operation funds. Once they are up and going the operating funds would be available to see these on the financial reports on the city's website. Motion by Jack Sheard, second by Doug Lanfear to approve 7r. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 8. PUBLIC HEARINGS 8.a) Public Hearing Request from Copper Leaf Cigar Lounge LLC, 3421 West State St, Suite 6 for a Class "C" Liquor License Cover Page Page 6 of 11,City Council Regular Meeting November 19,2024 Police Report Map Resolution #2024-310 - Approving Request from Copper Leaf Cigar Lounge LLC, 3421 West State St, Suite 6 for a Class "C" Liquor License and Liquor Manager Designation for John Gannon City Clerk Jill Granere reported an application for a Class "C" Liquor License had been received from Copperleaf Cigar Lounge, 3421 West State Street, Suite 6. Ms. Granere presented the following exhibits for record; application submitted to the Liquor Control Commission and received by the City on October 21, 2024; notice to the general public of date, time, and place of hearing was published on October 21, 2024; notice to the applicant of date, time and place of hearing was mailed on October 21,2024. Also submitted was liquor manager designation for John Gannon, 4019 Norseman Avenue.No public testimony was heard. Motion by Doug Lanfear, second by Jason Conley to approve #2024-310 - Approving Request from Copper Leaf Cigar Lounge LLC,3421 West State St, Suite 6 for a Class "C"Liquor License and Liquor Manager Designation for John Gannon. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 8.b) Public Hearing on Redevelopment Plan for CRA Area No. 33 to Allow for Redevelopment of Property Located North of Husker Highway and West of Prairie View Street in Grand Island, Hall County,Nebraska. (Innate 2 LLC) Cover Page Application Redevelopment Plan Amendment Resolution 498 Resolution 499 Resolution 2025-02 Resolution 504 Resolution #2024-311 - Approving Redevelopment Plan for CRA Area No. 33 to Allow for Redevelopment of Property Located North of Husker Highway and West of Prairie View Street in Grand Island, Hall County,Nebraska. (Innate 2 LLC) Community Development Director Chad Nabity reported that the fifth phase of the Legacy 34 development (Legacy 34 Single-family 2025) in CRA Area No. 33 has proposed to add a 22 Single-family structures on property to be platted as Legacy 34 Sixth Subdivision. The proposed development would begin the spring of 2025 and expected to be completed by 2030. The project was expected to cost in excess of$16,000,000 with a final estimated valuation of$13,200,000. Page 7 of 11,City Council Regular Meeting November 19,2024 Eligible activities for this project included paying for improvements offsite but within the overall Legacy 34 development such as grading for storm drainage, public amenities such as the private park and hike/bike trail are anticipated to cost at least $3,313,472. It was anticipated that the development would generate a Tax Increment of $253,113 annually, generating and estimate $3,796,700 of increment over 15 years. The applicant was seeking $3,163,472 in Tax Increment Assistance over a 15 year period. Scott Rief spoke in favor. Motion by Chuck Haase, second by Jack Sheard to approve #2024-311 - Approving Redevelopment Plan for CRA Area No. 33 to Allow for Redevelopment of Property Located North of Husker Highway and West of Prairie View Street in Grand Island, Hall County, Nebraska. (Innate 2 LLC). Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard,Mark Stelk,Mitchell Nickerson,Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 8.c) Public Hearing on Redevelopment Plan (Talon Apartments) for CRA Area No.19 to allow for Redevelopment of Property Located North of Husker Highway and East of Locust Street in Grand Island, Hall County Nebraska Cover Page Application Redevelopment Plan Amendment Resolution 500 Resolution 501 RPC Resolution 2025-03 Resolution 505 Resolution #2024-312 -Approving Redevelopment Plan(Talon Apartments) for CRA Area No.19 to allow for Redevelopment of Property Located North of Husker Highway and East of Locust Street in Grand Island, Hall County Nebraska. Community Development Director Chad Nabity reported since 2016 the cost of construction and interest rates had gone up considerably and the completion of this project would not proceed without additional assistance. This amendment would authorize the issuance of an additional TIF note related to the three additional buildings and workforce housing. The 66 proposed units meet the definition to qualify as workforce housing with a per unit cost of $159,091. The proposed development would begin the spring of 2025 and expected to be completed by 2027. The project was expected to cost in excess of$12,000,000 with a final estimated valuation of$11,000,000. The eligible activities for this project include up to $10,500,000 in workforce housing units. All of this expense is TIF eligible. It was anticipated that the development would generate a Tax Increment of$209,097 annually, generating and estimate $3,136,462 of increment over 15 years. The applicant is seeking $3,136,462 in Tax Increment Assistance over a 15 year period. Page 8 of 11,City Council Regular Meeting November 19,2024 Matt Rief spoke in favor. Motion by Chuck Haase,second by Mark Stelk to approve#2024-312-Approving Redevelopment Plan (Talon Apartments) for CRA Area No.19 to allow for Redevelopment of Property Located North of Husker Highway and East of Locust Street in Grand Island, Hall County Nebraska. Roll Call:Ayes: Maggie Mendoza,Bethany Guzinski,Chuck Haase,Jack Sheard,Mark Stelk,Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 8.d) Public Hearing on Zoning Text Amendment-Grand Island-Change to Section 36- 97 of Grand Island City Code in Reference to the Minimum Number of Parking Spots Required for One Bedroom Apartments in Multifamily Buildings. Cover Page Application Parking Schedule Ordinance #10,001 -Consideration of Zoning Text Amendment-Grand Island- Change to Section 36-97 of Grand Island City Code in Reference to the Minimum Number of Parking Spots Required for One Bedroom Apartments in Multifamily Buildings. Community Development Director Chad Nabity reported Woodsonia Real Estate Inc, had requested changes to 36-97 Schedule of Minimum Off Street Parking and Loading Requirements. The proposed changes to 36-97 were specific one bedroom and efficiency units in multifamily/Apartment Buildings and would reduce the number of parking spaces required from 2 per unit to 1.5 per unit for single bedroom units. Motion by Jack Sheard, second by Bethany Guzinski to suspend the rules - #10,001 - Consideration of Zoning Text Amendment - Grand Island - Change to Section 36-97 of Grand Island City Code in Reference to the Minimum Number of Parking Spots Required for One Bedroom Apartments in Multifamily Buildings. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. Motion by Jack Sheard, second by Behtany Guzinski to approve #10,001 - Consideration of Zoning Text Amendment-Grand Island-Change to Section 36-97 of Grand Island City Code in Reference to the Minimum Number of Parking Spots Required for One Bedroom Apartments in Multifamily Buildings.Roll Call:Ayes: Maggie Mendoza,Bethany Guzinski, Chuck Haase,Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 8.e) Public Hearing on Zoning Change-Grand Island- Change in zoning on a portion of Outlot L Legacy 34 Fourth Subdivision from RD-Residential Development Zone to CD- Commercial Development Zone. This property is located north of Husker Highway and east of Page 9 of 11,City Council Regular Meeting November 19,2024 Legacy Drive in the City of Grand Island Cover Page Rezone Application Map Existing Proposed Zoning Future Proposed Zoning Map Development Plan Ordinance #10,002 - Consideration of Zoning Change - Grand Island - Change in zoning on a portion of Outlot L Legacy 34 Fourth Subdivision from RD-Residential Development Zone to CD- Commercial Development Zone. This property is located north of Husker Highway and east of Legacy Drive in the City of Grand Island. Community Development Director Chad Nabity reported an application had been made to rezone a portion of Outlot L located north of Husker Highway and east of Legacy Drive in the City of Grand Island from RD Residential Development Zone to CD Commercial Development. This would allow the developer to place signs for commercial activities on site near Husker Highway. Motion by Doug Lanfear, second by Jack Sheard to suspend the rules - #10,002 - Consideration of Zoning Change- Grand Island- Change in zoning on a portion of Outlot L Legacy 34 Fourth Subdivision from RD-Residential Development Zone to CD-Commercial Development Zone. This property is located north of Husker Highway and east of Legacy Drive in the City of Grand Island. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. Motion by Doug Lanfear, second by Mark Stelk to approve -#10,002 - Consideration of Zoning Change-Grand Island-Change in zoning on a portion of Outlot L Legacy 34 Fourth Subdivision from RD-Residential Development Zone to CD-Commercial Development Zone. This property is located north of Husker Highway and east of Legacy Drive in the City of Grand Island. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 9. REQUEST AND REFERRALS 9.a) Request presented by J.J. Green to create a Nebraska Memorial Forest Cover Page Honor&Remember Forest Logo Plantings to Date Forest Map Forest Signage Page 10 of 11,City Council Regular Meeting November 19,2024 JJ Green presented on the Nebraska Memorial Forest was a program to honor and remember fallen heroes from military and first responder duties. The idea was to plant a tree for each fallen hero throughout Nebraska communities. 10. RESOLUTIONS 10.a) #2024-313 -Approving 2024-2025 Contract with the Central Nebraska Humane Society for Animal Control, Sheltering, Care, and Disposition Services Cover Page Agreement Resolution City Attorney Kari Fisk reported the City of Grand Island works with the Central Nebraska Humane Society (CNHS) to provide Animal Control Services to the City of Grand Island (City) and to provide shelter and care for animals seized by Animal Control or the Grand Island Police Department. This agreement was substantially similar to the 2023-2024 contract. In addition to minor housekeeping changes, key changes were as follows: Removes the provision for a liaison officer paid in part by CNHS and replaces it with the option to reduce the monthly payment from the City to CNHS if CSO services must be provided by the City due to understaffing by CNHS Clarifies the authority of CNHS to hold or refuse to return certain animals. Modifies reporting requirements and meeting obligations to reduce administrative burden on CNHS Codifies transition from CNHS being responsible for call-intake/dispatch duties to the City handling these intakes and priority one dispatches.Clarifies that the City does not require CNHS to accept animals dropped off at CNHS (surrenders, dropped-off strays etc). CNHS reports that the City of Grand Island has higher per-capita animal ownership than other Cities in Nebraska and that incidents of animal abandonment continue to increase at a concerning rate. The agreement would provide CNHS $45,833.33 per month in exchange for providing services for a total annual payment of $550,000. Motion by Doug Lanfear, second by Bethany Guzinski to approve#2024-313 -Approving 2024- 2025 Contract with the Central Nebraska Humane Society for Animal Control, Sheltering, Care, and Disposition Services. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard,Mark Stelk,Mitchell Nickerson,Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 10.b)#2024-314 -Approving Adopting Camp Augustine's Master Plan Cover Page Presentation Master Plan Resolution Parks and Recreation Director Todd McCoy reported in March of this year City Council approved Resolution 2024-86 to hire Big Muddy Workshop of Omaha,Nebraska to develop a Master Plan for the Camp Augustine property. The project included community engagement, evaluation and Page 11 of 11,City Council Regular Meeting November 19,2024 mapping of existing facilities, provided improvement recommendations while considering local demographics, national standards, industry trends, programing opportunities, and stakeholder input including input from Nebraska Games and Parks. Motion by Jack Sheard, second by Bethany Guzinski to approve #2024-314 - Approving Adopting Camp Augustine's Master Plan. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 10.c)#2024-315 -Approving Request to Retain Outside Council to Handle PFAS Public Water System Class Action Litigation Matters Cover Page Agreement Resolution City Attorney Kari Fisk reported the City of Grand Island had received notice that our water system had been identified as a water system which was impacted by the presence of PFAS (Polyfluoroalkyl substances)in our water system and that we may be eligible now,or in the future, for participation in an active class action lawsuits related to the presence of these chemicals.Class action lawsuits and mass environmental tort litigation are a highly specialized areas of law beyond the area of expertise of the City Attorneys office and required specialized council with experience in these matters.Though City Code section 2-40 permits the City Attorney to hire outside counsel on matters in which the City Attorney lacks expertise without council approval,the City Attorney was seeking council authorization to enter into a retention agreement that would authorize outside council to not only advise the City of Grand Island about its eligibility for participation in PFAS litigation, but to submit claims on our behalf and accept settlements from the Court overseeing any mass litigation. The City Attorney would like to retain Environmental Litigation Group, P.C. and to enter into a retainer agreement that would authorize this firm,in consultation with the City Attorney,to make claims on behalf of the City of Grand Island and to accept settlement offers on behalf of the City of Grand Island. Motion by Chuck Haase, second by Doug Lanfear to approve#2024-315 -Approving Request to Retain Outside Council to Handle PFAS Public Water System Class Action Litigation Matters. Roll Call: Ayes: Maggie Mendoza, Bethany Guzinski, Chuck Haase, Jack Sheard, Mark Stelk, Mitchell Nickerson, Doug Lanfear and Jason Conley. Mike Paulick and Michelle Fitzke were absent. Motion adopted. 13. ADJOURMENT The meeting was adjourned at 9:14 p.m. City Clerk Jill Granere