Council OKs ACE funds for downtown project on 4-1 vote

McCOOK, Neb. — The McCook City Council voted to use $10,000 of ACE funds toward a new outdoor gathering place, although the mayor voted against it.

Mayor Mike Gonzales was the lone vote against using $10,000 of Ace funds to assist the Norris Alley Project. The project will renovate the vacant lot between the Keystone Business Center and the Fox Theater into “Norris Alley,” an outdoor space of trees, furniture, benches and planters.

The Ace revenue return program annually returns money to communities who belong to the program, based on the number of customers using Public Alliance for Community Energy gas supplier. Traditionally used for community improvement projects, the City of McCook currently has $40,935 in Ace funds. The city recently contributed $25,000 of Ace funds to the Rural Workforce Housing Fund and has contracted $4,882 to the McCook Chamber of Commerce.

Andy Long, director of the McCook Economic Development Corp., made the request at a prior meeting and the council requested that it come back as an action item. Councilman Gene Weedin asked for details about the project Monday night.

Long said the Peter Kiewit Foundation will pledge $50,000 to the project, on the condition of matching dollars at the local level. He said total cost of the project is $620,000. About $250,000 has been raised so far, Long said, with $80,000 raised from the $200,000 still needed. The total amount includes two years of operating expenses, he said.

Not only would space be used for Norris Avenue shoppers, but could be utilized for “afterglow” parties at nearby venues, he said.

Councilman Weedin said past used of Ace funds have gone toward renovations of the Norris Park bandshell, the skate park and toward a new bus for the senior center. He acknowledged that a lot of Ace funds were used this year.

Mayor Mike Gonzales said he wasn’t opposed to the idea but was concerned that 58% of Ace funds have been spent this year on non-city projects and that there are many city projects that need to be funded.

Councilman Jared Muehlenkamp said he feels that “Norris Alley” is a city project. Councilman Weedin said he understood Gonzales’ concern but that Ace funds were recently used in the demolition of a house on West Fourth and although that “was not community improvement per se, it did improve the community,” he said.

At the voting, all were in favor of using $10,000 of Ace funds to “Norris Alley,” except for Gonzales.

In other voting action, the council unanimously approved one of three options presented in re-financing the Combined utilities Revenue Refunding Bonds.

The bonds were first issued for $8.8 million in 2016 with $6.6 million left to pay. The bonds are due in 2036. The council chose the option that offered the most in cash flow savings. The other two options included a shortened amortization schedule (total savings: $617,381) and another with limited cash flow (total savings: $567,496).

The cash flow savings option has total savings at $513,668 with $34,000 per year in savings, allowing a little more cash for the water department to use. This was the option favored by Utilities Director, Jesse Dutcher, as he said it allows the use of more cash and may help to stave off higher water rates.

The council also decided on Thursday, Aug. 5, at 7 p.m. for a community meeting concerning a potential swimming pool project. The venue site is still to be determined, as child care may be provided. Kyle McCawley of Lamp Rynearson, the engineering firm of Omaha, Neb., that is working with the pool committee, will coordinate the meeting.

Other voting items were:

-- An initial organizational/training meeting date for the creation of a regional land bank is slated for Thursday, July 15, 6:30 p.m. at the training room upstairs at the City Municipal Building. With McCook City attorney Nathaniel Mustion, the City of McCook will host a regional land bank meeting with communities who have expressed interest in joining along with Michelle Coolidge, coordinator of western Nebraska Economic Development Corp. who has experience in creating a land bank. Land banks are used to pool funds of communities to defray the costs of demolishing/removing nuisance properties.

-- Approved on first reading Ordinance No. 2021-3017 providing for the amendment of Sections 90.33 and 90.99, as they pertain to Chapter 90 - Animals, of the City of McCook Code of Ordinances: this will only change the numbering of items in the ordinance as an error was discovered, the ordinance itself does not change.

-- Approved a form to be used in the rating system for the annual evaluation of the city manager. The form will be from 1-10 instead of 1-5, with evaluations at 1 or 2, or at 9 or 10, requiring an explanation.