Utilities
Board Meeting - October 16, 2014
MINUTES OF THE MEETING OF THE BOARD OF PUBLIC WORKS
A regular meeting of the Board of Public Works was held at the Hastings Utilities Board Room on Thursday, October 16, 2014, at 9:00 a.m. This meeting was preceded by notice duly published in the Hastings Tribune on Tuesday, October 14, 2014, and by notices duly posted in the lobby of Hastings Utilities, 1228 North Denver Avenue, and the City Hall, 220 N. Hastings Avenue, and was therefore open to the public.
Present: Hunt, Krieger, Shoemaker, Kully, Dewalt
Also Present: Schultes, Meyer, Vrooman, Cogley, Hartman, Leonhardt, Cox, Ptak, Odom, Goebel, Crecelius, Will Vraspir (Hastings Tribune), Hastings Economic Development Corporation (HEDC) Representatives Dave Rippe, Denise Gallagher, and Terry Anstine, Scott Barwick (Drake Tool & Design), and Craig Farly (Thermo King Corporation)
Chairman Shoemaker stated that the Board of Public Works is subject to the Open Meetings Laws and acknowledged that the Open Meetings Law poster has been posted in the room. He also declared a quorum of members present.
The Pledge of Allegiance was recited.
There were no public comments.
The Board discussed dates for the last meetings of the month in November and December. Those meeting will be changed as follows:
The November 27th meeting will be changed to November 24th at 1:00 p.m.
The January 1st meeting will be changed to December 29th at 9:00 p.m.
Dave Rippe from HEDC gave an overview of the reasons for asking for approval of Resolutions 2014-04 and 2014-05 that are for consideration. Both Thermo King Corporation and Drake Tool & Design applied for Performance-based Forgivable Loans and entered into agreements with the Board in 2011 and 2012 respectively. Both companies have met the terms of the agreements. Rippe is asking the Board to sign joint Resolutions with HEDC which agree to forgive the loans per the requirements of the agreement. Craig Farly and Scott Barwick both showed their appreciation for the forgivable loan and gave a report on the expansion of their companies.
Moved by Dewalt, seconded by Krieger, to approve HEDC Resolution 2014-004 Forgiving Performance Based Forgivable Loan for Thermo King Corporation and HEDC Resolution 2014-005 Forgiving Performance Based Forgivable Loan for Drake Tool & Design, and to authorize the Chairman of the Board to sign the joint resolutions. Roll Call: Ayes; Dewalt, Krieger, Shoemaker, Hunt, Kully. Nays; None. Motion carried.
Lee Vrooman reported that there was a water main break this week at 16th and Denver Ave. The Water Department repaired the main and the customers are back in service.
Al Meyer gave a report on the scheduled maintenance outages at the Whelan Energy Center. Unit 1 outage ended on October 7th. Unit 2 started on October 3rd and is expected to last until November 10th. Repair of the burners, adding additional soot blowers, repairs to the boiler feed pumps and other miscellaneous repairs are taking place on Unit 2.
Steve Cogley reported on a new program pairing Hastings Utilities’ employees with students from Hastings High in a mentoring program administered by Big Brothers Big Sisters. There are currently eight employees who are volunteering in this mentoring program. The program is conducted at Hastings Utilities during the noon hour.
Marv Schultes reported that Michelle Weber, Senator Fischer’s environmental staffer will be touring the Whelan Energy Center on Tuesday, October 28th.
Chuck Shoemaker congratulated the following employees for their years of service to Hastings Utilities.
Shoemaker also thanked Jon Yocom for his 41 years of service in the Electric Department and wished him well in his retirement. Yocom is retiring October 17th.
Committee Reports were given at this time.
Moved by Hunt, seconded by Dewalt, to amend the minutes of October 2, 2014, to list the names of the select staff (Meyer, Vrooman, and Hartman) included in the executive session. Roll Call: Ayes; Hunt, Dewalt, Shoemaker, Krieger, Kully. Nays; None. Motion carried.
Moved by Dewalt, seconded by Krieger, to approve the consent agenda with the minutes of October 2, 2014 as previously amended. Roll Call: Ayes; Dewalt, Krieger, Kully, Hunt, Shoemaker. Nays; None. Motion carried.
Moved by Hunt, seconded by Krieger, that upon the recommendation from staff, to award a contract for Water & Sewer Main Improvements for 2014 (Contract HU 2014-10 IC-42) to Van Kirk Brothers Contracting, Sutton, Nebraska, in the amount of $314,632.40, as adjusted for mathematical error, and that the Chairman of the Board be authorized to enter into contract with said company accordingly. Roll Call: Ayes; Hunt, Krieger, Kully, Dewalt, Shoemaker. Nays; None. Motion carried.
Moved by Kully, seconded by Dewalt, to approve the following associated Work Orders and Real Estate Improvement Contract:
Roll Call: Ayes; Kully, Dewalt, Krieger, Hunt, Shoemaker. Nays; None. Motion carried.
The Board asked staff to update the Real Estate Improvement Contracts to reflect a ten year payback instead of five years and have the City Attorney Ptak review the agreements.
Don Cox explained the reason for asking the Board to approve a Resolution authorizing the Board Chair to execute Amendment #1 to CPEP Project 2 Gas Supply Agreement upon final legal review before the Amendment facts are final. Timing will be crucial in the execution of a new agreement. The terms are confidential and will be revealed during Executive Session.
Moved by Hunt, seconded by Krieger, to approve Resolution No. 2014-06 authorizing the Board Chair to execute Amendment #1 to CPEP Project 2 Gas Supply Agreement upon final legal review. Roll Call: Ayes; Hunt, Krieger, Kully, Dewalt, Shoemaker. Nays; None. Motion carried.
Discussion was held on the staff’s recommendation for Designation of Representative and Alternate Representative to the Member’s Council of the Nebraska Municipal Power Pool (NMPP).
Moved by Dewalt, seconded by Krieger, to approve Resolution No. 2014-05, designating Marvin Schultes as the City’s representative to the Member’s Council of the NMPP and Donald Cox designated as the alternate. Roll Call: Ayes; Dewalt, Krieger, Kully, Shoemaker. Nays; Hunt. Motion carried.
Moved by Kully, seconded by Krieger, to bring from the table Ordinance No. 4409 Amending Chapter 32-109 of Hastings City Code for discussion and approval. Roll Call: Ayes; Kully, Krieger, Shoemaker, Dewalt, Hunt. Nays; None. Motion carried.
Lengthy discussion followed and will continue in Executive Session.
Moved by Hunt, to table the Approval of Ordinance No. 4409 Amending Chapter 32-109 of the Hastings City Code until the meeting of October 30th. There was no second and the motion failed.
Moved by Kully, seconded by Krieger, to recommend to the Hastings City Council the approval of Ordinance No. 4409 Amending Chapter 32-109 of the Hastings City Code. Roll Call: Ayes; Kully, Krieger, Dewalt, Shoemaker. Nays; Hunt. Motion carried.
Moved by Krieger, seconded by Kully, to table the Approval of Process for Filling Hastings Utilities’ FLSA Exempt Positions. Roll Call: Ayes; Krieger, Kully, Hunt, Dewalt, Shoemaker. Nays; None. Motion carried.
Moved by Dewalt, seconded by Krieger, to approve checks issued October 10, 2014, with the exception of check 24440 to Kully Pipe & Steel Corp. and Sullivan Shoemaker PC LLO. Roll Call: Ayes; Dewalt, Krieger, Shoemaker, Kully. Nays; None. Hunt abstained. Motion carried.
Moved by Krieger, seconded by Dewalt, to approve check 24440 to Kully Pipe & Steel Corp. in the amount of $2,995.47. Roll Call: Ayes; Krieger, Dewalt, Shoemaker. Nays; None. Hunt and Kully abstained. Motion carried.
Moved by Kully, seconded by Krieger, to approve check 24485 to Sullivan Shoemaker PC LLO in the amount of $515.25. Roll Call: Ayes; Kully, Krieger, Dewalt. Nays; None. Hunt and Shoemaker abstained. Motion carried.
The August 2014 Monthly Report was presented and discussed. The numbers from this report will be used in the 2015 budget, by using eight months of actual numbers and four months of estimated numbers. Dewalt and Hunt prefer to change this procedure next year to cut off after the July report is issued and use seven months of actual. No formal change was made. Schultes said the budget packet will be delivered Friday, October 24th.
The Board addressed Preliminary Budget Issues. Schultes gave the Board preliminary information on the most costly items in the budget along with his preliminary recommendations for rate adjustments.
There were no Miscellaneous and Future Agenda Items.
Moved by Hunt, seconded by Dewalt, that this Board go into Closed Session, which Closed Session is clearly necessary for the protection of the public interest and for the prevention of needless injury to the reputation of an individual, which individual has not requested a public meeting, in order to discuss certain matters relating to personnel and that said Closed Session will consist of a strategy session relative to contract negotiations and litigation. Roll Call: Ayes; Hunt, Dewalt, Krieger, Shoemaker, Kully. Nays; None. Motion carried.
The meeting closed to the public at 11:45 a.m. The executive session consisted of Board Members, Council Liaisons, the Board’s Attorney, Schultes, Meyer, Vrooman, Cox, Hartman, Cogley, and Crecelius. The Personnel discussion consisted of Board Members, Council Liaisons, the Board’s Attorney, and Hartman.
Kully left the meeting at 12:40 p.m.
Moved by Dewalt, seconded by Krieger, that the meeting be reopened to the public at 1:45 p.m., and that no decisions were made nor official actions taken during said Closed Session. Roll Call: Ayes; Dewalt, Krieger, Hunt, Shoemaker. Nays; None. Motion carried.
The meeting adjourned at 1:45 p.m.