Regular Meeting
October 4, 2011
The Mayor and Council of the City of
Fairbury met in regular session in the Council Chambers located at 612 D
Street, Fairbury, Nebraska, on the 4th day of October 2011, at
7:30 p.m. Mayor Homer L. Ward called the meeting to order.
Notice of meeting was given in advance
thereof by publication in the Fairbury Journal News, Fairbury, Nebraska, the
designated method of giving notice, as shown by affidavit of publication.
The Open Meetings Act was posted in the meeting room and pointed out by
Mayor Ward as required by law.
Roll call found the following Council
Members present: Doug Brown, Rick Carmichael, Roger Bailey, Tim Polson,
Joshua Vossler, Shirley Bender, Brad Kuzelka, and Kelly Davis.
Mayor Ward called for the submittal of forms
to request future agenda items. No forms were submitted during the
meeting.
Mayor Ward read the Consent Agenda:
1.
Approval of the minutes of the
regular meeting of September 20, 2011.
2.
Approval of claims.
3.
Approval of the resignation of
Torrick Friels as Part Time Police Officer.
Bender moved to approve the Consent Agenda.
Motion seconded by Carmichael. On roll call, Polson, Bailey, Carmichael,
Brown, Vossler, Bender, Kuzelka, and Davis voted “yes.” Motion carried.
Jennifer Busboom from
Blobaum & Busboom P.C. presented the City of Fairbury Enterprise Funds
(utility funds) Financial Statements and Schedules for Year Ending April 30,
2011. Busboom stated the Enterprise Funds are eventually included in the
City of Fairbury Financial Statements on September 30, but the April 30th
numbers are used. Busboom stated every audit they do for government
entities; they perform their audit in accordance with auditing standards
generally accepted in the United States and the standards applicable to
financial audits contained in the Government Auditing Standards. The
Government Auditing Standards require additional steps regarding the
analysis of internal controls over compliance. These standards require they
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatements. Busboom stated their firm is
issuing a clean audit opinion but she is required to report internal control
deficiencies. Busboom stated they have made some recommendations to the
Board of Public Works (BOPW) regarding internal control deficiencies and
action has already been taken on their recommendations by implementing
changes. Busboom stated one significant internal control deficiency is the
lack of separation of duties, which they report in every governmental entity
they audit; as small governmental entities do not have enough people to
perform every financial duty separately. Busboom continued with an
overview stating in the cash balance and cash flow data for the year 2011
the Enterprise Funds are maintaining a strong cash position – had a
beginning cash balance of $5,581,464.00, with a net income of $514,640.00
and with the depreciation expense and fixed assets and long-term debt
adjustments – ended with a cash balance of $5,966,344.00. Busboom stated in
the Light & Water Department the gross profit decreased a little in 2011 -
$3,624,090.00 compared to $3,827,002.00 in 2010, labor costs are remaining
relatively stable, and net income decreased slightly over the year. Busboom
stated the Sewer Department is generally relatively a stable entity of its
own. Busboom stated the biggest item involved in the utility funds is the
purchase and sale of electricity. Busboom stated the overall power margin
percent for 2011 was 42.0% compared to last year which was 48.3% which is a
6.3% decrease from last year showing purchases versus sales of electricity.
Busboom stated the cost of purchasing power increased and that entire cost
was not passed on in the rates to the patrons. Busboom stated the
increases of purchasing power, will need to be monitored closely – the BOPW
may have to pass on power increases in the rates to the patrons; the BOPW
will keep monitoring this throughout their fiscal year. Busboom stated the
Light & Water Department are holding the line regarding labor costs –
actually decreased the total labor costs of salaries and benefits. The total
cost of labor for the sewer department shows an increase – this fluctuates
when have retirements, replacements, or reallocation of assignments within
departments. Busboom stated overall the Enterprise Funds shows a strong cash
position – that operating, is sufficient. Bailey moved to approve the City
of Fairbury Enterprise Funds Financial Statements and Schedules for Year
Ending April 30, 2011. Motion seconded by Carmichael. On roll call, Brown,
Friesen, Bailey, Polson, Vossler, Bender, Kuzelka and Davis voted “yes.”
Motion carried.
Bender moved to authorize Mayor Ward to
sign the request for six months extension for the Fairbury Citywide Housing
Rehabilitation Program ~ CDBG #09-HO-6046. Motion seconded by Kuzelka. City
Administrator Joseph Parker stated the original contract end date for the
Citywide Housing Rehabilitation Program was November 30, 2011. The six month
extension would allow for a completion date of May 30, 2012. Parker stated
one of the reasons cited is a “shortage of contractors” to complete the work
in the area as the program started. This caused a lack of bids for the
projects, but they now have identified additional contractors to keep the
project moving. Parker stated project feasibility was also cited as a
problem as bids received were in excess of the maximum bids allowed of
$24,000.00 so several bidding processes had to be done to stay under the
maximum cost guidelines. Parker stated this all resulted in a program
delay. Parker stated four houses are almost complete and have a total of
nine or ten houses that will benefit from this program. On roll call,
Polson, Bailey, Carmichael, Brown, Vossler, Bender, Kuzelka, and Davis voted
“yes.” Motion carried.
Polson moved to approve the recommendation
from the Public Works Committee to approve the request from the Fairbury
Chamber of Commerce to block off the square from 4:30 p.m. – 7:15 p.m. on
Monday, October 31, 2011 for a “Trunk or Treat” Safe Trick or Treating
Halloween Party. Motion seconded by Bender. On roll call, Polson, Bailey,
Carmichael, Brown, Vossler, Bender, Kuzelka, and Davis voted “yes.” Motion
carried.
Polson moved to approve the recommendation
from the Public Works Committee and the Finance and Keno Committee to
replace the necessary sidewalks at the library and also the recommendation
from the Finance and Keno Committee to put a cap of $7,500.00 on the project
with the funding to be taken out of the Keno Fund. Motion seconded by
Carmichael. The Fairbury Public Library Board of Trustees had requested
funding from the City of Fairbury for replacement of sidewalks at the
Library as their budget for 2011-2012 does not contain sufficient monies to
pay the cost of the sidewalks. On roll call, Polson, Bailey, Carmichael,
Brown, Vossler, Kuzelka, and Davis voted “yes.” Bender abstained. Motion
carried.
Mayor Ward stated Agenda Item #5 under
Current Business “Consider recommendation from the Public Safety Committee
authorizing Mayor Ward to sign the Agreement between the City of Fairbury
and Towing Company regarding towing and vehicle storage services to enforce
nuisance and junked vehicle ordinances” was not discussed at the Public
Safety meeting. No action taken.
Bailey moved to approve the recommendation
from the Finance and Keno Committee to accept the estimate received from B &
M Contracting in the amount of $2,568.00 to replace the shingled roof at the
dog pound with a metal roof. Motion seconded by Carmichael. Brown stated
this was not discussed at the Public Safety Committee – if the roof needs to
be replaced, it needs to be replaced – they didn’t need to discuss it.
Davis stated Police Chief Chad Sprunk has budgeted for the roof replacement
in the 2011-2012 budget. On roll call, Polson, Bailey, Carmichael, Brown,
Vossler, Kuzelka, and Davis voted “yes.” Bender abstained. Motion
carried.
Mayor Ward stated Agenda Item #7 under
Current Business “Information regarding the agreement between the City of
Fairbury/Fire Department and the Fairbury Rural Fire District” was discussed
somewhat at the Public Safety Committee meeting; however, the Public Safety
Committee has no recommendations for the City Council at this time. No
action taken.
Kuzelka moved to approve the City
purchasing the property located at 415 West 8th Street from
Shelly McClintock. Motion seconded by Brown. Parker stated he had
previously attempted to get this house demolished with the Neighborhood
Stabilization Program (NSP) – but discovered there is a $1,000.00 lien
against the property, so the property didn’t qualify for the NSP. Parker
stated he has been in contact with the lien holder and the lien holder will
release the lien. Parker has also been in contact with the property owner
and she will sell the property to the City for $1.00. Parker stated if
this all goes as planned the City will demo the house along with asbestos
inspection, etc. Parker stated he also has an interested buyer for the
property. The property is located north of the swimming pool. Parker
stated the house is not a safe structure and is not properly secured.
Parker stated the City may have additional expense with the asbestos
inspection and some of the removal of the structure if the structure does
have asbestos. On roll call, Polson, Bailey, Carmichael, Brown, Vossler,
Bender, Kuzelka, and Davis voted “yes.” Motion carried.
Within the City Administrator’s report,
Joseph Parker stated Five Rivers RC&D had a successful
electronics/appliances recycling pick up on October 1, 2011 at the Jefferson
County Highway Department. Parker stated he attended the League Conference
last week. Parker also invited everyone to attend a program regarding
pioneer women – how they cooked and cleaned, which will be held at the
Museum this Sunday. Parker stated a water leak was discovered in the street
in front of the city offices which will hopefully be repaired soon.
Zoning Administrator Laura Bedlan addressed
the Council. Bedlan gave the City Council members an invitation to attend
the Planning Commission meeting on October 10, 2011 at 7:00 p.m. in the
council chambers. Bedlan stated she’s also inviting the Community
Redevelopment Authority members to also attend the meeting on October 10.
Bedlan gave a quick review of what’s happening with the comprehensive plan.
Bedlan stated an LMI Study (Community Needs Assessment Survey) was completed
in April 2011 – which solidified the low to moderate income (LMI) level at
58.1% for the City of Fairbury. Bedlan stated community input is very
important – the input received from the Community Needs Assessment Survey
will be used in rewriting the comprehensive plan for the City of Fairbury.
Bedlan thanked everyone again for helping with the survey. Bedlan stated
since the LMI is at 58.1%, this allowed the City to apply for and receive a
CDBG planning grant in the amount of $27,200.00 to rewrite the comprehensive
plan. Bedlan stated she combined the comprehensive plan along with a
capital improvements plan. Bedlan stated the comprehensive plan is a road
map for cities – the plan is to help determine how and at what pace the city
wants to develop physically, economically, socially, etc. Bedlan stated the
comprehensive plan is a rule book for the city to follow. Bedlan stated the
capital improvements plan is to evaluate the City’s services – when and
where does the City want to invest public services. Bedlan stated we need
to evaluate and rate the needs in the community and then prioritize and rank
the findings. Bedlan stated community outreach is very important – this
will be done with town hall meetings, talking to other organizations,
hearings, etc. Bedlan stated the process to complete the comprehensive plan
and the capital improvements plan could take up to ten months. Bedlan
stated someone from Olsson Associates will be giving a presentation at the
Planning Commission meeting on October 10 in regards to the rewrite of the
comprehensive plan and will be seeking information concerning issues any one
has with the existing comprehensive plan, zoning, land use, infrastructure,
transportation, annexation, economic development, community development, and
any other key planning issues any one has concerns about. Bedlan also gave
the City Council members a questionnaire form she would like for them to
fill out and return to her. Bedlan stated this form will be a basis for
discussion with Olsson’s and will also help Olsson’s focus on key issues
specific to Fairbury that need to be considered during the writing of the
future comprehensive plan.
Bender
moved to adjourn the meeting. Motion
seconded by Polson. On roll call, Polson, Bailey, Carmichael, Brown,
Vossler, Bender, Kuzelka, and Davis voted “yes.” Motion carried. Meeting
adjourned at 7:58 p.m.
Homer
L. Ward, Mayor
ATTEST: Sharyl Preston, City
Clerk
