City Council commits $30,000 to skate park
McCOOK, Nebraska -- A proposed City of McCook skate park took a critical step forward Monday evening when $30,000 was unanimously approved by the City Council to be budgeted for the project in the upcoming fiscal year. Councilors also authorized city staff to draft a formal letter to the McCook School Board requesting the donation of land at two proposed sites west of the high school and YMCA building.
Councilman Bruce McDowell led the skate park discussion and said he thought the city should reserve some "seed money" for the project. Representatives from the group, "Build McCook a Skatepark," said the commitment from the council would allow them to begin professional design work as well as the grant application and fund-raising process. The group has previously set an approximate goal of receiving $75,000 in city funds and raising $15,000 to $25,000 in funds via donations and grants.
Councilor Mike Gonzales said he didn't agree with committing funds to the project without knowing any of the details of the project. Councilor Gonzales indicated he believed land was an issue for the skate park project.
Councilor McDowell responded that the city had land and even if the school property did not work out other city owned land was an option.
Councilor Gonzales responded that he didn't believe the city should be requesting additional land for the project from another entity.
Councilor Janet Hepp commented that she knew a private individual interested in donating land for the project as well.
Councilor Mike Gonzales also commented that he didn't believe the city should be committing any funds until after the skate park group raised matching funds.
"So they have some skin in the game," said Gonzales.
Councilor McDowell responded that the $30,000 would serve to get the grant application process going for the group.
Mayor Berry replied that he believed the project would need "dollars in the kitty" to get moving. The comment prompted Councilor Gonzales to suggest reducing the budgeted funds to $15,000 to $20,000 and said a York skate park was built entirely for $30,000.
Rex Nelson replied that the York skate park was a great example of a small project but the McCook group was shooting for something more energetic than that.
Mayor Berry said a McCook skate park was going to be long process and not something completed before Christmas, just prior to the group unanimously approving to budget $30,000 for the project in the 2013-14 budget.
The letter councilors approved city staff to draft will officially request the McCook School Board donate property at one of two locations recommended by the Parks Advisory Board. The primary site is located at the northeast corner of the intersection of West 10th Street and West C Street, with the secondary site directly west of the high school tennis courts.
Councilman Mike Gonzales wanted to know how much land would be requested and clarified that authorizing the letter was not a commitment from the city to provide funds for the project.
Councilman Jerry Calvin inquired whether problems with bus parking during track meets would result from a skate park. Public Works Director Kyle Potthoff responded that he didn't believe the sites chosen would create any parking issues.
Also during Monday's meeting, Mayor Berry motioned to commit $100,000 of the $207,000 in uncommitted 1/2 percent sales tax funds as an additional payment on the city sewer bond.
Mayor Berry commented that according to the annual financial review the sewer department was in the most need.
Councilman Gonzales added that while the additional funds would not be applied to principal of the loan, due to requirements in the loan, the funds would reduce the annual payment, which Mayor Berry said would hopefully assist in avoiding a rate increase in the near future.
Mayor Berry said he would also like to see additional dollars remain uncommitted, at least $100,000 of the sales tax funds, "so we can have better reserves."
The comment prompted former councilman Aaron Kircher to recap reserve and contingency funds already included within the budget, which Kircher said accounted for roughly a million dollars, in addition to line item reserves in each department.
Kircher said the city already had budgeted reserves of approximately $400,000 in the General Fund; $250,000 as the City Council contingency fund; $43,000 more in property tax revenue than was budgeted due to increased valuations; and an ending cash balance of approximately $289,000.
"That is almost a million dollars of cushion, not counting sales tax, community betterment funds, or contingency funds in separate departments. In addition to over estimating expenses and under estimating revenue in the budget. If you are uncomfortable with the budget you should increase line items," said Kircher.
Councilors offered no response.
Kircher commented later in the meeting that councilors should use this time to start evaluating community betterment projects instead of waiting on that until the third and final reading of the budget.
Councilor Bruce McDowell subsequently said he would like to see the city put some funds aside for the skate park project, prompting the skate park discussion and commitment of $30,000 to project.
Councilors will decide whether the remaining $374,146 in budgeted funds remains uncommitted during the third and final reading of the city budget, scheduled for their regular bi-weekly meeting on Tuesday, Sept. 3, 2013.
The $374,147 includes $194,000 in uncommitted community betterment funds; $61,732 remaining from the Valmont TIF project; $11,414 in 1 percent sales tax funds; and $107,000 in 1/2 percent sales tax funds.