Board Meeting - January 28, 2016

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, January 28, 2016, at 9:00 a.m.  This meeting was preceded by notice duly published in the Hastings Tribune on Tuesday, January 26, 2016, 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, Kully, Shoemaker, Dewalt

Also Present: Schultes, Meyer, Vrooman, Leonhardt, Cox, Cogley, Hartman, Odom, Goebel, Barfknecht, Thompson, Ptak, Hartman, Waite, Struss, Sekora, Tony Hermann (Hastings Tribune), Ashley Englund (McDermott & Miller) and President Don Jackson (Hastings College)

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 received the 3rd Quarter Financial Review from McDermott & Miller.  Ashley Englund, from McDermott & Miller presented the report.

Marv Schultes discussed the City of Hastings Electrical System Moody's Investor's Service updated report.  Chairman Shoemaker asked Marv to keep the Board updated on representation of public power.  Mr. Odom requested a copy of the report be emailed to him for distribution to the City Council.  A copy of LB1068 and a copy of the PPGA Moody Investor's report will be distributed to the Board, and the PPGA Moody Investor's Report will be discussed at the next meeting.

Lori Hartman reported on personnel activities:

There is an opening for a Plant Electrician's Assistant at the Energy Center (due to a retirement). Kim is taking applications and testing through this week.

There is an opening for an Electrical Engineer (due to a resignation) that we are currently advertising for.

Chairman Shoemaker recognized and publicly thanked the following employees for their years of service at Hastings Utilities:

Shari Drake, 20 years, IT Department

Todd Gehring, 5 years, Whelan Energy Center

Rhonda Seay, 35 years, Computer Department

Chairman Shoemaker discussed the need for the Council to ratify how the Board is handling (in lieu of cash transfers) wholesale electric sales.  Don Cox will be conducting a wholesale sales presentation for the Board at the February 11 meeting.  Mr. Odom will take this to the City Council and report to the Board at the Board's March 3rd meeting.

Al Meyer had no report.

Committee Reports

Comparability

Jeannette Dewalt asked Carol (Sheila) to arrange a meeting time for the Committee.

Improvement Districts – Policy on Transition Agreements

Chairman Shoemaker asked the Board to arrange a meeting time for the Committee to discuss the Transition Agreements.

Land Lease Committee

Mr. Kully and Mr. Hunt reported to the Board that three leases have been signed for one year.  In addition, Lee Vrooman will be assembling a Sludge Management Plan.  Mr. Hunt thanked Mr. Vrooman for getting the leases in place.

Moved by Hunt, seconded by Shoemaker, to ratify the land leases proposed by the Land Lease Committee.   Roll Call:  Ayes; Hunt, Shoemaker, Dewalt, Kully.  Nays; None.  Motion carried.

President Don Jackson was present to discuss the agreement between Hastings Utilities and Hastings College for relocation of utilities on 9th Street between Elm Avenue and Ash Avenue.  President Jackson informed the Board that he was pleased to work with Mr. Schultes and his staff in coming up with the agreement and the College has approved the agreement.

Moved by Kully, seconded by Hunt to approve the Agreement with Hastings College for 9th Street between Elm Avenue and Ash Avenue which is set forth in a letter dated December 9, 2015 from Ron Sekora to Mr. Don Jackson, with an addition of a signature block for authorization by the Board Chairman. Roll Call:  Ayes; Kully, Hunt, Dewalt, Shoemaker.  Nays; None.  Motion carried.

Moved by Dewalt, seconded by Kully that the following items on the Consent Agenda be approved, with the exception of item C, Review and approval of check distribution:

a. Review, correction or approval of minutes of January 14, 2016

b. Review of payroll for period ending January 23, 2016

d. Approval of the following claims:

- General Operating Fund against the Electric Fund – $ 2, 843,692.32

- General Operating Fund against the Combined Fund - $ 2,238,799.87

Roll Call:  Ayes; Dewalt, Kully, Shoemaker, Hunt.  Nays; None.  Motion carried.

Moved by Dewalt, seconded by Hunt, to approve item C, Review and approval of checks issued January 22, 2016 with the exception of check no. 29192 to Kully Pipe & Steel Corp.  Roll Call:  Ayes; Dewalt, Hunt, Shoemaker, Kully. Nays; None.  Motion carried.

Moved by Hunt, seconded by Dewalt, to approve check no. 29192 to Kully Pipe & Steel Corp. in the amount of $ 849.78.  Roll Call:  Ayes; Hunt, Dewalt, Shoemaker. Nays; None.  Kully abstained.

Moved by Hunt, seconded by Dewalt, to approve the following work orders:

WA-322   Replace and upgrade with a 10" water main on Ash Avenue from 7th Street to 9th Street.  Estimated Cost:  $154,024

SL-103   Installation of underground street light circuits and post top street lights on Elm Avenue, 9th Street to Forest Boulevard; and on 9th Street, Elm Avenue to 2nd Avenue.  Estimated Cost:  $7,246

EL-348   Relocation of existing overhead three-phase electric lines to underground on Elm Avenue, 9th Street to Forest Boulevard, and on 9th Street, Elm Avenue to 2nd Avenue.  Estimated Cost:  $79,644

Roll Call:  Ayes; Hunt, Dewalt, Shoemaker, Kully. Nays; None. Motion carried.

Moved by Hunt, seconded by Kully, to approve Resolution No. 2016-01 for Insurance Coverage for the Electric System Revenue Refunding Bonds, Series 2005 and Electric System Revenue Bonds, Series 2011.  Roll Call:  Ayes; Hunt, Kully, Shoemaker, Dewalt. Nays; None.  Motion carried.

Moved by Dewalt seconded by Hunt, to approve Resolution No. 2016-02 for Insurance Coverage for the Combined Utility Revenue Bonds, Series 2006 and Combined Utility Revenue Bonds, Series 2012.  Roll Call:  Ayes; Dewalt, Hunt, Kully, Shoemaker.  Nays; None.  Motion carried.

Mr. Hunt requested a report regarding the year's workman's comp claims at Hastings Utilities.  Staff will present the requested report.

The Board held a discussion on the Implementation of the New Fiscal Year Budget.  Mr. Schultes stated that staff is evaluating all aspects of the Hastings Utilities contracts and will be evaluating the effect on the fiscal year change on a case by case basis.  Mr. Ptak will contact Barb Adler and request that she send a City Budget Calendar to the Board.

The November 2015 Monthly Report was presented and discussed.

There was a discussion of Parameters for Work to be Charged to Intra-City Services Fund.  Mr. Schultes contacted Mr. Patterson regarding this and will report his findings to the Board at the next meeting.

Moved by Dewalt, seconded by Kully, that this Board go into Closed Session, which Closed Session is clearly necessary for the protection of the public interest and that said Closed Session will consist of a strategy session relative to negotiations.  Roll Call:  Ayes; Dewalt, Kully, Hunt, Shoemaker.  Nays; None.  Motion carried.

The meeting closed to the public at11:43 a.m.  The executive session consisted of Board Members, Council Liaisons, Marv Schultes and Dave Ptak.

Moved by Dewalt,  seconded by Kully, that the meeting be reopened to the public at 12:10 p.m., and that no decisions were made nor official actions taken during said Closed Session.  Roll Call:  Ayes; Dewalt, Kully, Shoemaker, Hunt.  Nays; None.  Motion carried.

The meeting adjourned at 12:11 p.m.