Grand Island City Council Regular Meeting - June 24, 2025

The Grand Island City Council met on June 24, 2025, at 7:00 PM in the Council Chambers. The meeting began with the Pledge of Allegiance, roll call (eight council members present, one absent), and approved consent items, public hearings, and resolutions. Key topics included a Honeywell Energy Audit update, approval of an amendment to include the Law Enforcement Center, several rezoning requests, a tax increment financing (TIF) request for workforce housing, zoning text amendments, and a $50,000 LB 840 grant for the Here Grand Island concert series.

Consent Calendar

• Approved minutes of the June 10, 2025 Regular Meeting and June 17, 2025 Study Session.
• Approved payment of claims for June 11-24, 2025, totaling $7,684,723.74.
• Approved liquor manager designation for Smoker Friendly (802 W 2nd St).
• Approved appointment of Laura Hurley to the Public Art Commission.
• Approved four subdivisions: Terrazas, Ummel Fourth, Anderson Auto, and KN West.
• Approved a revision to the Telecommunication Services Agreement with Southwest Power Pool.
• Approved a temporary construction easement for South Locust Street improvements (Buck’s Rentals, Inc. and Zana).
• Approved changes to the Waiver Fine Schedule.
• Approved relocation compensation to Auto Central, Inc. for South Locust Street improvements.
• Approved Certificate of Final Completion for Curb Ramp Project 2025-CR-1.
• Approved bid award for Lift Station No. 1 Mechanical Replacement (Project 2025-S-5).
• Approved agreement with BerganKDV for audit services.
• Approved purchase of network infrastructure switch replacement.
• Approved amendment to the City's contract with VenuWorks to authorize contracting with Nebraska State Fair for Heartland Event Center services during the NSF term of possession.

Presentations

Honeywell Energy Audit Update – Jordan Baloli (Honeywell account representative) presented an update on the investment-grade energy audit covering City Hall, the Public Library, and the Heartland Event Center (HEC). Key points:

• Cooling emergency at HEC: On June 5, 2025, compounding chiller failures left the event center with no cooling. A rental chiller is recommended for the Nebraska State Fair (handover on August 7, 2025). Honeywell recommends a short-term rental (2-3 months) and a long-term new chiller (30-week lead time).
• Ice rink feasibility: The existing ice rink chiller (ammonia-based) has only ~40 hours of use in 20 years. Honeywell recommends replacing it with a new air-cooled chiller (outside) rather than refurbishing the old one. The cost difference is about 10.3% higher for new. Additional costs: Zamboni ($100,000–$300,000), ice edger (~$3,000). Supporting equipment (Zamboni water system, hockey boards) is available but protective glass and uprights need to be sourced.
• Other projects: Lighting upgrades at HEC (1,800+ fixtures, 90 controllers), building controls/retrocommissioning, building envelope improvements (windows, doors, sealants), window film at City Hall, mechanical insulation, arena lighting (LED with fan experience upgrade), sound system upgrade, roof repairs (10- or 15-year warranty), water conservation, boiler repairs (3 of 5 non-functional), air handling unit refurbishment, and a new vestibule replacing a vehicle-damaged wall.
• Cost estimates: Total for the three buildings (excluding Law Enforcement Center) is ~$8.7 million. Financing over 20 years could bring total cost to ~$13.6 million. Energy savings are guaranteed; if savings fall short, Honeywell cuts a check. Annual capital allocation of ~$500,000 (from debt that fell off in 2024) can make the project cash-flow neutral. A 30% down payment reduces annual allocation to ~$300,000.
• Law Enforcement Center (LEC): Originally excluded from the audit. Honeywell presented at-risk projects: building controls/retrocommissioning, building envelope (invasive investigation needed due to water intrusion, brick separation, and water entering from roof, walls, windows, and floor), roof repairs, and replacement of three rooftop units (RTU1 needs urgent upsizing). Adding LEC increases total cost to ~$11.1 million. The building is ~18 years old; water issues have been ongoing for more than 11 years.

Council members asked about lifespans (chillers ~23 years, LED lights based on runtime), preventive maintenance (Honeywell Forge system, measurement & verification under IPMVP), and the seriousness of LEC issues. City Administrator Laura McAloon noted the original Populist Study estimated $16.5 million in deferred maintenance at HEC (2019 dollars).

Public Comments & Testimony

• 8A (ETJ Rezoning to B2): The property owner (electrical contractor) spoke in support, stating they need office space for their business. No opposition.
• 8B (ETJ Rezoning to RD): Dick Rezak, the landowner, spoke in favor, explaining he wants to subdivide his 12-acre property into four lots (his house plus three 3+ acre lots) to sell part and remain on the property. No other public speakers. (Planning Commission had received opposition regarding property values and traffic, but no one spoke at the council meeting.)
• 8C & 8D (Rezoning to R3 and TIF): Michael Gaiman (neighbor) expressed concern about drainage and potential impact on property values from new duplexes. Justin Hasselman (developer) stated the duplexes will be three-bedroom, ~1,200 sq ft with a garage, aiming for affordable rent. No other speakers.
• 8E (Zoning Text Amendments): No public speakers.
• 8F & 8G (Permanent Easements): No public speakers.
• 9A (LB 840 Grant): Mary Burley (Grand Island Area EDC) and Brent Linder (founder, Here Grand Island) presented. Linder read a letter of support from Andrew Norman (The Bay). Multiple council members spoke in favor, highlighting the event’s economic impact (average 3,200 weekly attendees, downtown sales boost) and community spirit. No public opposition.

Discussion Items

• Honeywell Amendment (9B): City Administrator Laura McAloon explained the amendment adds the Law Enforcement Center, increasing the at-risk audit cost from $220,106 to $256,000 (due to structural engineering for water intrusion and rooftop weight capacity). Staff recommended approval. Council approved without discussion.
• 8B (Rezac Subdivision): Councilmember Nickerson expressed support, noting the 3-acre lots are desirable for acreage buyers and the change benefits the area. No opposition.
• 8C & 8D (Hasselman Development): Councilmember Nickerson praised the three-bedroom duplexes as needed workforce housing and noted that new construction will improve the neighborhood. Councilmember Hawsey noted the TIF cost of $31,700 per unit is reasonable. Councilmember Sheard commented that property value concerns are less relevant given the city's housing needs.
• 8E (Zoning Text Amendments): Planner Chad Nabity explained the changes: updating acronyms, definitions (principal building can include multiple detached buildings), livestock regulations consolidated, large lot residential minimum lot area reduced to 9,000 sq ft if on city sewer/water, reduced parking requirements for commercial uses (e.g., from 1/400 sq ft to 1/350 sq ft, but not for hotels), and updated home occupation rules (up to 8 students with additional parking). No council discussion.
• 9A (LB 840 Grant): Councilmembers Hawsey, Sheard, Nickerson, and O'Neill expressed strong support. Hawsey suggested making the event smoke/vape-free and addressing dogs on the grass. Nickerson thanked Linder for his long-time advocacy for downtown. O'Neill confirmed volunteer and sponsorship support is strong, and noted the new partnership with Leader Crowns for indoor backup shows.

Key Outcomes

• Approved Honeywell Investment Grade Audit Agreement amendment to include the Law Enforcement Center (9B). Motion by Councilmember Sheard, second by Hawsey. Unanimous.
• Approved Consent Agenda (7A-7R). Motion by O'Neill, second by Brown. Unanimous.
• Approved Ordinance 10,022 (8A – ETJ Rezoning to B2). Motion to suspend rules by Brown, second by O'Neill. Motion on merits by Hawsey, second by Pollock. Unanimous.
• Approved Ordinance 10,023 (8B – ETJ Rezoning to RD). Motion to suspend rules by Hawsey, second by O'Neill. Motion on merits by Brown, second by Lanfear. Unanimous.
• Approved Resolution 2025-207 (8B – Rezac Second Subdivision). Motion by Hawsey, second by Pollock. Unanimous.
• Approved Ordinance 10,024 (8C – Rezoning to R3). Motion to suspend rules by Lanfear, second by Pollock. Motion on merits by Lanfear, second by Stelk. Unanimous.
• Approved Resolution 2025-208 (8D – Redevelopment Plan Amendment/TIF). Motion by Hawsey, second by Stelk. Unanimous.
• Approved Ordinance 10,025 (8E – Zoning Text Amendments). Motion to suspend rules by Lanfear, second by Sheard. Motion on merits by Sheard, second by Lanfear. Unanimous.
• Approved Resolution 2025-209 (8F – Permanent Easement for South Locust Street). Motion by O'Neill, second by Lanfear. Unanimous.
• Approved Resolution 2025-210 (8G – Permanent Easements for Stuhr Road). Motion by O'Neill, second by Brown. Unanimous.
• Approved Resolution 2025-211 (9A – LB 840 Grant for Here Grand Island, $50,000). Motion by Hawsey, second by Pollock. Unanimous.

Meeting adjourned.