Regular Meeting
September 21, 2010
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 21st day of
September 2010, 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, Ed Friesen, Roger Bailey, Tim
Polson, Phil Rogge, Brad Kuzelka, and Kelly Davis. Absent: Shirley Bender.
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 7, 2010.
2.
Approval of claims.
3.
Approval of the August 2010
Reconciliation Report.
Polson moved to approve
the Consent Agenda. Motion seconded by Kuzelka. On roll call, Polson,
Bailey, Friesen, Brown, Rogge, Kuzelka, and Davis voted “yes.” Bender
absent. Motion carried.
Kuzelka moved to set a
Public Hearing regarding a request for a Special Use Permit
(SU-2010-06) from
Janice Judd to conduct a home occupation (jewelry business) located in the
R2 – Medium Density Residential Zoning District at 902 H Street, legally
described as Lot 6, Block 4, Kings 2nd Addition to the City of
Fairbury, Jefferson County, Nebraska and as allowed under Article 5, Section
5.07.3d of the City of Fairbury Zoning Regulations – 2005 Edition for
October 5, 2010 at 7:30 p.m. Motion seconded by Davis. On roll call,
Polson, Bailey, Friesen, Brown, Rogge, Kuzelka, and Davis voted “yes.”
Bender absent. Motion carried.
Brown moved to approve
the Mayor’s appointment of Chad Sprunk as Chief of Police. Motion seconded
by Bailey. Rogge suggested, in the future, the Council would look again at
combining the police department and the sheriff department together; he
feels inevitably that is the direction that will have to be taken for
financial reasons. Kuzelka stated he has concerns – the top concern being
he doesn’t feel Chad is fully qualified for this job. Kuzelka stated he
thinks this should be tabled until the City could get more applicants or
until Sprunk becomes fully qualified.
Mayor Ward
called for the vote on the appointment of
Chad Sprunk as Chief of Police. On roll call,
Polson, Bailey, Friesen, Brown,
and Rogge voted “yes.” Kuzelka and Davis voted “no.” Bender absent.
Motion carried. Sprunk was sworn into office by City Attorney David Bargen,
who administered the Oath of Office to Sprunk.
Larry Naiman,
Assistant Superintendent of Utilities introduced Andrew Ross with Nebraska
Municipal Power Pool (NMPP) Energy; NMPP Energy assists the City with rate
studies for electric, water and sewer. Naiman stated i.e. the R.I.C.E.
mandate and the spills mandate are both drivers that drive the electric
rates higher of which we have no control. Andrew Ross addressed the Council
regarding the electric rate study. Ross stated he addressed the Council
earlier this year regarding the water and sewer rate study – at which time
they recommended a 7% rate increase for the water which was implemented in
May 2010. Ross stated they do a rate study every two years and develop a
five-year financial planning model. This report discusses the findings and
recommendations resulting from an electric financial plan and cost of
service study. The model indicates that Fairbury presently has sufficient
cash reserves and is maintaining adequate net income levels. However, due
to projected increases in purchased power costs, the electric utility will
require a series of annual rate increases to maintain net income and cash
reserves. The Fairbury cost of service revenue requirements for fiscal year
ending (FYE) 2010 is $5,881,327.00 which is broken down as follows:
purchased power and production costs together are $3,870,573.00 and is the
largest component of total revenue requirements at 66% of the total;
distribution costs are $946,124.00 or 16% of total revenue requirements and
makes up the second largest component; customer accounts are $331,097.00 and
comprise 6% of the total, and administrative and general costs are
$733,533.00 and make up the balance at 12%. Ross stated power supply costs
are the largest single expense item for a utility. The City purchases its
total capacity and energy requirements from the Municipal Energy Agency of
Nebraska (MEAN) and Western Area Power Administration (WAPA) under long term
purchase arrangements. The City’s power supply resources are delivered over
the NPPD service area. NMPP Energy recommends the City Council consider: 1)
two 4.8% system overall rate changes for November 1, 2010 and November 1,
2011 – no class of customer would get more than a 6.8% increase or less than
a 2.8% increase; 2) rate changes should be reviewed every year and adjusted
as necessary; 3) consider approval of the ordinance for a 4.8% rate
increase; and 4) consider adopting a formulaic method in determining the
electric utility transfers to the city’s general fund. Naiman stated the
Board of Public Works (BOPW) reviewed the rate study done by NMPP Energy and
recommended Mr. Ross present the rate design study to the City Council and
desires the Council authorize the drafting of an ordinance according to NMPP
Energy recommendations. Brown moved to postpone this until the next meeting
to give the Council more time to look over all the information. Motion
seconded by Bailey. On roll call, Polson, Bailey, Friesen, Brown,
Rogge, Kuzelka, and Davis voted “yes.” Bender absent. Motion carried
Mayor Ward read from
the agenda “consider distribution of $10,000.00 of funding to “Discs N Dat”
project”. Mayor Ward stated no action will be taken because nothing further
has materialized.
Mayor Ward read from
the agenda “update from Kim Bush regarding the Girl Scout Cabin”.
Kim Bush, Girl Scout
Leader, addressed the Council. Bush stated the freshman girls are working
for a gold award, which requires eighty hours of community service. Bush
stated since we’re in a historical community they have decided they would
like to save the Girl Scout Cabin and fix it up; they have used it before
for different things and find that it’s in a poor state of repair. They
want to replace torn screens, paint, cracks in walls need to be fixed, etc.
Bush stated they would like to get the cabin back to like she remembers it -
they want to make it more attractive – hopefully it will be used more and
enjoyed like it has been in the past. Bush stated the cabin was really busy
years ago with different people using the cabin. The cabin was built in
1936 – to be used like a community house. Bush stated her grandfather was
the Superintendent of Parks years ago – said the tables and benches were
painted by her grandfather – they’re still the same color. Bush stated the
tables and benches are in excellent shape, they’ve always been indoors – but
they will start with stripping the tables and repainting them. Bush stated
they will use caution to do this because the tables are old enough that lead
based paint was probably used. Davis told Bush to call him when they’re
ready to paint; he is a certified lead paint renovator – he can help them
with that. They want to address the kitchen first – would like to get a
small apartment size electric stove and refrigerator – they’re looking to
find energy efficient appliances. Bush stated they have received donations
for new fixtures. Bush stated they want to pay for the projects as they go;
they have several ideas for fundraisers to do the projects - may have a
haunted house for Halloween. Bush asked everyone, when they hear that the
Girl Scouts are having a fundraiser, to please come support them. Bush
stated electric heat was discussed before – wanted to know if this was still
going to be done. Friesen stated when he had visited with the BOPW
regarding electricity, they stated they would also include enough service to
handle electric heat. Friesen told Bush to stay in close contact with Mick
Hynek, Park Superintendent and Laura Bedlan Assistant Street Superintendent
as may have guidelines to follow when they’re refurbishing the Girl Scout
Cabin.
Rogge moved to approve
the liquor license manager application submitted by Alan C. Riggins in
connection with the Fairbury Elks Lodge #1203 located at 525 G Street,
Fairbury, Nebraska. Motion seconded by Davis. On roll call,
Polson, Bailey, Friesen, Brown,
Rogge, Kuzelka, and Davis voted “yes.” Bender absent. Motion carried
Jim Frager,
representative from Five Rivers RC&D out of Tecumseh addressed the Council
regarding the Household Hazardous Waste Collection to be held in Fairbury on
Thursday, September 23, 2010 from 5:00 p.m. to 7:00 p.m. at the City Shop at
3rd & Frederick. Frager stated they will be taking the spiral
fluorescent light bulbs, small batteries, cleaning products, lawn and garden
chemicals, paint, etc. They will not be taking tractor, truck, automobile
or lawnmower batteries, tires, appliances, antifreeze, wood preservatives,
etc. Frager stated they will also be collecting motor oil. They need ten
more volunteers – clothing and refreshments will be provided for the
workers.
Polson moved to adopt
Resolution No. 790 designating depositories of the City of Fairbury and
approving the pledge of assets as security from said banks. Motion seconded
by Friesen. On roll call, Polson,
Bailey, Friesen, Brown, Rogge, Kuzelka, and Davis voted “yes.” Bender
absent. Motion carried.
Rogge moved to adopt
Resolution No. 791 authorizing the City to levy special assessments against
certain properties for nuisance abatements. Motion seconded by Kuzelka. On
roll call, Polson, Bailey, Friesen, Brown, Rogge, Kuzelka, and Davis voted
“yes.” Bender absent. Motion carried.
Mayor Ward read by
title Ordinance No. 2998: AN ORDINANCE AMENDING THE CITY OF FAIRBURY
MUNICIPAL CODE §§ 91.70, 91.71,
91.73, AND 91.75 REGARDING THE DEFINITIONS, SALE, IGNITION, AND REGULATION
OF FIREWORKS AND TO CONFORM SAID SECTIONS WITH STATE LAW. Bailey moved to
commit Ordinance No. 2998 to the Public Safety Committee to review and also
get reports from both the Fire Chief and the Police Chief to see what their
thoughts are regarding the fireworks. Motion seconded by Polson.
On roll call, Polson, Bailey, Friesen,
Brown, Rogge, Kuzelka, and Davis voted “yes.” Bender absent. Motion
carried.
Bailey
moved to adjourn the meeting. Motion seconded by Polson. On roll call,
Polson, Bailey, Friesen, Brown, Rogge, Kuzelka, and Davis voted “yes.”
Bender absent. Motion carried. Meeting adjourned at 8:24 p.m.
Homer L. Ward, Mayor
ATTEST: Sharyl Preston, City Clerk
