City of Blue Springs, Nebraska

September 3, 2019

The 2019-2020 Budget Hearing and Regular Meeting of Mayor and Council were held on September 3, 2019, in the Blue Springs City Hall, Blue Springs, NE.
PRESENT: Mayor Meyer, Council members Carmichael, Mewes, Neumann, Reedy
ABSENT:
OTHER ATTENDEES: Employee Mike Pike, Blobaum & Busboom Representative (Blobaum) , Connie Mewes, Carol Hughes, Carol Klee, Dale Crumb

Notice of the meeting/hearing was given in advance by posting in at least three public places as shown by the certificate of posting placed on file. Notice of the hearing/meeting was simultaneously given to the Mayor and all members of the City Council and a copy of their acknowledgment of receipt and agenda are placed on file. Availability of the agenda was communicated in the advance notice and in the advance notice to the Mayor and City Council of the hearing/meeting. Proceedings hereafter shown were taken while the convened hearing/meeting was open to public attendance.

At 7:00 PM, Mayor Meyer called the Regular meeting to order and roll call was taken.

Motion, second and vote (Mewes, Carmichael , 4-0 affirmative) to approve as sent minutes for the August 20, 2019, Regular meeting.

After review -- motion, second, and vote (Neumann, Mewes, 4-0 affirmative) to approve claims as follow: Bank Direct - Internal Revenue Service (941) - $2,086.58; Payroll - $3,293.82; Beatrice Sand & Gravel - $122.76; Blobaum & Busboom - $1,300.00; Blue River Area Agency on Aging - $625.00; Freddie Colgrove (Municipal Publicity - Reimb. F/trophy Girl) - $50.00; Constellation Energy - $3.09; Fossler Excavating - (Authorized After-Project clean-up) - $645.00; Lauby Plumbing/Heating/A-C - $113.18; League of Ne Municipalities - $259.00; Martin Walls, Inc - (Cabin Foundation) - $3,870.00; NE Dept. of Revenue (501N) - $287.00; Norris Public Power - $1,155.46; Milton Pike (Tel. Comp.) - $25.00; Gene (Radar) Reedy (Celebration Reimb - Municipal Publicity) - $338.47; Security First Bank - (IRA - Pike) - $55.00; Uhl’s Sporting Goods (Municipal Publicity - Trophies) - $1,436.00; Wex Bank - $573.75; Willet & Carothers - $1,277.00; Milford Woutzke - (Tel. Comp.) - $5.00; Wymore Oil Company - $836.98; TOTAL CLAIMS: $18,358.09.


AGENDA:

2019-2020 BUDGET HEARING/ Resolution 2019-5
Motion (Mewes) and second (Carmichael) to open the Budget Hearing: (Vote: 4-0 affirmative).
Call for comments and questions (if any), summarization by Blobaum of the Budget Notes (herein included) :
2019-2020 Budget Notes: The City appears to be continuing to produce revenues in excess of regular operating expenditures. The General All-Purpose Fund is producing roughly $40,000 per year (nearly the same as last year), and the Keno Fund is producing roughly $15,000 per year (an increase from the previous year). These funds produced are held in reserve available for capital outlays (paving, new equipment, water lines, etc.)... It is estimated that as of October 1, 2019, you will have cash reserves of about $280,000 General and $245,000 Keno. This compares to the prior year amounts of $295,000 General and $230,000 Keno.… For the year 2019-2020, proposed budget property tax has been left at the levy limit of 45 cents, which increases the tax request from $29,836 o $30,329. This increase (of approx. 1.6%) is due to higher total assessed valuation for the City from $6,630.423 to $6,739,894 All of the increased valuation of $109,471 is attributable to new growth… Other operating revenues have been estimated conservatively at $120,000 based on the prior year amounts for the general funds. $600,000 has been included in other operating revenues based upon prior years’ estimated Keno game gross proceeds... $550,000 has been budgeted as potential capital outlay in the General All-Purpose Fund and no capital outlay has been budgeted in the Keno Fund beyond your normal operating expenditures. However, $335,000 has been budgeted to be transferred from the Keno Fund to the General All-Purpose Fund to assist in financing potential capital outlay projects. Normal operating expenditures have been budgeted liberally at $330,000 for the General All-Purpose Fund and $510,000 (includes game winner payoffs) for the Keno Fund at 85% payout... The budget process and document perform two legal functions: 1. Sets the property tax request-budgeted at $30,329. 2. Establishes an overall expenditure limit-budgeted at $1,725,000.... The budget must be adopted by September 20. The property tax requested in the budget will be final; however, the expenditure limit may be amended, if needed, throughout the year...The expenditure limit included in the proposed budget allows for expenditure of nearly all cash reserves which are expected to be available. Since some cash reserves will be necessary, we don’t expect, nor do we recommend, that the full amount budgeted of $1,725,000 be spent. GENERAL BUDGETING NOTES: The lid law is assigned to limit the growth of non-utility government revenues to inflationary increases. Exceptions are allowed for revenues required to pay off bonded debt, real estate improvement capital outlays, and interlocal agreements... Due to the Lid Law restrictions, it continues to be advantageous to pay real estate capital outlays, pay off of bonded debt, and participate in interlocal agreements from funds where property tax, sales tax, and state pass-through revenues are deposited (i.e. General and Street). This will help keep this law from limiting your non-utility source revenues...The lid law has become a significant factor for future budgets. Although you have adequate unused budget authority at this time, this is a factor that should be monitored.
Motion (Reedy), second (Carmichael), vote: Carmichael -Yes, Mewes - Yes, Neumann - Yes, Reedy - Yes, to approve a 1% increase in 2019-2020 Restricted Funds Limitation (On lid computation LC-3 Item 3, included in budget.)
No changes were required to the Budget: motion (Mewes) second (Carmichael) to accept the 2019-2020 Budget: (Vote: 4-0 affirmative = Carmichael - Yes, Mewes - Yes, Neumann - Yes; Reedy - Yes) .
Motion (Carmichael) and second (Mewes) (,vote 4-0 affirmative) to open a Special Budget Meeting within the Budget Meeting.
Resolution #2019-5 was read (Blobaum)--- (WHEREAS, Nebraska Revised Statute 77-1601.02 provides that the Governing Body of the City of Blue Springs, passes by a majority vote a resolution or ordinance setting the tax request, and WHEREAS, a special public hearing was held as required by law to hear and consider comments concerning the property tax request; NOW, THEREFORE, the Governing Body of the City of Blue Springs resolves that: 1. The 2019-2020 property tax request be set at $30,329.00. 2. The total assessed value of property differs from last year’s total assessed value by 2%. 3. The tax rate which would levy the same amount of property taxes as last year, when multiplied by the new total assessed value of property, would be $0.442678 per $100 of assessed value. 4. The City of Blue Springs proposes to adopt a property tax request that will cause its tax rate to be $ 0.449992 per $100 of assessed value. 5. Based on the proposed property tax request and changes in other revenue, the total operating budget of City of Blue Springs will exceed last years by 2%. 6. A copy of this resolution be certified and forward to the County Clerk on or before October 13, 2019. Motion by Reedy, seconded by Carmichael to adopt Resolution 2019-5, Voting yes were Carmichael, Mewes, Neumann, Reedy/ Voting no were ___None__. Dated this 3rd day of September 2019.
Motion (Mewes), second (Carmichael) (vote 4-0 affirmative) - to close The Budget Hearing and return proceedings to Regular session.

BUILDING INSPECTOR - CONDEMNED BUILDINGS: Excerpt from email received from Carothers: “I am meeting tomorrow at 11:00 with Rob Mierau and Chet McCrury (City of Beatrice Building Inspectors) to discuss having them do inspections under our unsafe buildings ordinance. I will be at the next meeting to report whether they are willing to serve in that capacity, and if so, what they would charge to do the inspections.”

PLANNING & ZONING: No new applications. Mayor Meyer indicated that primary concern in reference to building projects was “setback compliance,” and although reservations exist at committee level about the timing of applications received, it was noted that projects underway can be stopped if compliance violation or other prohibitive factors exist.

CABIN PRESERVATION ISSUES: A Johnson Cabin Museum Update by Jan Morris is attached to the office copy of the minutes and available for public review. Primary focus at the meeting was the disconnection of electricity from the cabin prior to the move, and an on-site inspection will follow the meeting to assure the discontinuance of power.

PAVING: Start date is anticipated to be before Sept. 15th.

CLEAN-UP: Excerpt from email from Carothers: “With respect to clean up of nuisance properties, I have not received any requests for charges from Tony Shepardson, so I am not sure at this point in time where he is at getting compliance with our nuisance ordinances. I would suggest having Tony come to one meeting per month to have him report on what progress is being made.”

Other: Dale Crumb addressed members in regard to a problem experienced at his property, which relates primarily to the “width of the street and parking limitations.” Carol Klee also showed interest in having the street at her location scrutinized. Mayor Meyer asked that Employee Pike contact Gilmore & Associates to have them come down and make assessments/determinations/surveys regarding the streets at both locations. Pike will be contacting Gilmore representatives.

NEXT AGENDA:
PUBLIC HEARING - STREET PLAN/
MUNICIPAL ANNUAL CERTIFICATION OF NE. BOARD OF PUBLIC ROADS CLASSIFICATIONS AND
STANDARDS - RESOLUTION #2019-4
BUILDING INSPECTOR - CONDEMNED BUILDINGS
GILMORE REVIEW/SURVEY OF TWO MUNICIPAL STREETS
PLANNING & ZONING
CABIN PRESERVATION ISSUES
PAVING
CLEAN-UP

Motion to adjourn: By: Neumann Time: 7:26 PM. No objections.

The minutes of the Public Hearing/ Regular meeting were read and approved September 17, 2019.

Mayor: Lonnie D. Meyer (Budget Hearing & Regular Session)

City Clerk: Katherine A. Roche (Budget Hearing and Regular Session)