Stimulus project leaves city $42K short

With increased foot traffic along the walking trail, as well as disc golf and other activities in Kelley Park, the City Council is considering the idea of closing a road through the park and perhaps creating a cul-de-sac with parking. (Bruce Crosby/McCook Daily Gazette)

Unexpected costs from construction done on J Street last year, a project paid mostly by stimulus funds, will cost the city $42,400.

The McCook City Council will be asked to use city sales tax proceeds saved from another project to pay the balance, at its regular meeting Monday night, 7:30 at City Council Chambers at Memorial Auditorium.

The almost-$1 million project was paid for by funds from the American Recovery and Reinvestment Act, but city staff was not made aware that replacement of water services or fire hydrants would not be covered, until after the project was completed and an invoice came in from the Nebraska Department of Roads for $52,080.

Greg Wolford, of W Designs, questioned the charges and was told the water portion of the project was considered a betterment and therefore outside the scope of the project.

Wolford was able to reduce the bill by $9,600 but the city is still responsible for $42,400.

Extra sales tax money that was saved from another project could be used, with council approval Monday night, to cover the costs.

The $148,856 bid for the South Street/Kelley Park Drive water main project was below the $204,680 projected price, a savings of $55,824. This project is being funded by the city sales tax, the same funding source allocated for J Street until stimulus funds paid for the project.

The item is from the consent agenda, where items can be approved in one motion with other items or pulled for discussion by the council or member of the public.

Other consent agenda items the council will be asked to approve include:

* approve an engineering agreement with Miller and Associates for the upgrade scheduled at the Karrer Park lift station. According to the agreement, the design phase will cost $5,300 and the construction inspection has an hourly fee not to exceed $4,000, for a total of $9,300. The project is budgeted for this year and involves upgrading a sewer main that delivers sewage collected from the north, northwest and parts of east McCook, to a main on East 13 Street.

* a request for proposals for the demolition of seven houses and one commercial structure, to be received by the city clerk by Feb. 26. The demolition will be funded using award money the city received from the Community Development Block Grant, Neighborhood Stabilization Program

On the regular agenda, the council will consider:

* to direct city staff to move forward concerning nuisances at 305 East 12. The council has been working with the property owner, Dottie Park, to remove abandoned structures and other nuisances on the property since September 2009

* waive or discount dumping fees at the McCook Transfer Station for Southwest Nebraska Habitat for Humanity projects. The council reviewed fees about two years ago and decided to waive fees for projects that received federal funding and denied a request from Habitat for Humanity at that time. The Transfer Station is self-supported by collected fees and was cited in a recent audit for a possible fee increase.

An open hearing will begin the meeting Monday night, for the application submitted by A & N Restaurant, doing business as Coppermill Restaurant, for a Class T liquor license from the Nebraska Liquor Control Commission. The hearing will be followed by the council being asked to approve the application.