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City water and sewer rate bumps finalized
McCOOK, Nebraska -- The McCook City Council granted final approval for a 1.75 percent water rate increase and a 3.25 percent sewer rate increase, Monday evening, both to go into effect with bills dated Oct. 1, 2012. Mayor Dennis Berry said he was pleased that the rate increases were less than the original 3.5 percent increases recommended by Public Financial Management, the city's accounting firm.
During a meeting earlier this month councilors committed a combined $150,000 in sales tax funds to buy down sewer bond debt, Berry said that decision was the reason councilors were able to reduce the sewer rate increase to 3.25 percent.
Berry said the needed water rate increase was able to be reduced by capitalizing on revenue received in the water department from a higher volume summer than was budgeted.
As the final step in the City's annual budgeting process, Councilors approved a resolution setting the City's final property tax request at $1,007,768. That amount reflects a $8,893 increase from the prior year's property tax request of $998,875.
The city levy of $.319044 has remained at that same amount since 2002, the city's maximum levy is $.45.
McCook Economic Development Director Rex Nelson provided councilors with a Community Housing Report and discussed progress that had been made on multiple housing initiatives identified during a meeting in May.
Nelson's report showed the number of houses in McCook had increased by 14 from 2000 to 2012, however the number of vacant homes had increased by 135 during that time. City Manager Jeff Hancock said the information matched up fairly closely with a review of the number of homes in McCook with utilities turned off and said it alluded to an absentee owner issue.
Hancock said the council, which also acts as the redevelopment authority, could be a mechanism to help get some of those properties into public hands. Hancock said it was not a matter a taking property from owners but rather looking for opportunities to help property owners that may be stuck with property they can't rehabilitate.
Nelson echoed Hancock's comments and said he believed there were a lot of local rental properties that were sitting empty because work of one type of another was needed.
According to Nelson the Eastward Senior Housing project already had a waiting list over 40, which he estimated would result in 13-15 local vacancies. Nelson said that if Eastward filled up quickly it would be a great indicator for developers who were considering other local housing projects.
Nelson's said that grant funding for MEDC's Purchase Rehab Resell program had become more competitive but they were still progressing with the program and a goal of four homes per year.
The McCook Housing Initiative that Nelson reviewed also targets the construction of Infill Homes, that would utilize a combination of TIF funding and city assistance to close valuation gaps or cover demolition costs. The initiative targets a goal of 20 new construction units over the next 10 years, with a price point of $100,000.
A citizen in attendance, Gregg Hepp, raised concerns with aspects of Nelson's housing initiative and said he didn't believe the city should be in competition with him. Hepp said utilizing TIF funds to build houses could hurt the housing market for others attempting to sell a home. Hepp also said there was opportunity for the city to reduce connection costs for water and sewer and bring in revenue from connections that would result, he also believed that city building codes had unnecessarily raised the bar to a level that new construction was not a profitable scenario for home builders.
Nelson responded that the TIF projects would utilize local contractors and that utilizing TIF funds to bring utilities to areas otherwise too expensive, would make it more affordable for other property owners in that area as well. Nelson said there were however many aspects of the housing initiatives that still needed to be discussed and the two agreed to have further discussion following the meeting.
Hancock later commented that the building codes were being reviewed and it was an extensive undertaking.
Utility Director Jesse Dutcher commented that sewer and water connections were priced in accordance with their cost to the city, but said that some of the materials needed for the work could get expensive.
Court Appointed Special Advocates program director Catherine McDowell informed councilors that her group had coordinated their third annual fund-raising disc golf tournament at Kelley Park this past weekend. McDowell said the tournament was a great success and had received several comments from participants praising the condition of the course. McDowell thanked city staff and said the event had drawn out-of-town teams from Kearney and North Platte, which she believed was a direct result of the course upkeep.
Also during the meeting Councilors authorized the addition of three new crosswalks throughout McCook, and officially approved a fourth that was installed just south of the Kelley Park lower shelter house.
The three new sites include the intersection of West Circle Drive and West Q Street, positioned just between the north west corner of the McCook Elementary and the southern property line of Kingdom Kids Daycare; another on East Fifth Street at the Kelley Park walking trail, to assist those utilizing the walking trail; and a third in front of the new McCook Community College Events Center, to assist individuals crossing East M Street.
Other items on the consent and regular agenda:
* City Manager Jeff Hancock praised the work of police detectives Kevin Hodgson and Larry Kinne during a recently plea bargained murder case. Hancock said the two did a tremendous job and added "we got some fine detectives."
The 20 mph speed zone along West Seventh Street was extended south to Sunset Road, to include the National Guard Armory building that McCook Public Schools recently acquired. Mayor Berry said the three-reading rule was suspended for the item due to school already being in session.
The Mayor's appointments to several boards were ratified. The appointments included reappointing Troy Bruntz and Jerda Garey to the Economic Development Plan Citizen's Advisory Review Committee, terms expiring July 2015; reappointing Jeff Hancock, Ike Brown, Dennis Berry, Dr. Richard Klug and Mary Beth Eisenmenger to the Board of Health, terms expiring June 2013; reappointing Chad Lyons and Dale Dueland to the Planning Commission, terms expiring September 2015; and appointing Jesse Stevens as alternated to replace Becky Kilpatrick to the Planning Commission, term expiring March 2015.
Following a public hearing councilors approved an application for a Class D liquor license for High Times Liquor Mart on East B Street. Owner John Nothnagel explained that the application was to move the business from one corporation name to another, both owned by him.
Councilor Mike Gonzales said construction on the Municipal Facility was progressing well and he anticipated city staff to be moving into the building by mid to late December.