Welcome to our meeting.

Today is April 28, 2026.

The time is 7 p.m.

This is an open meeting of the Grand Island City Council.

The City of Grand Island abides by the Open Meetings Act in conducting business.

A copy of the Open Meetings Act is displayed in the back of this room as required by state law.

The City Council may vote to go into closed session on any agenda item as allowed by state law.

Now I ask that you stand and join us in the Pledge of Allegiance.

One nation, another liberty and justice for all.

Councilmember Sheard will be absent.

Councilmember Stelk.

Present.

Councilmember Conley.

Present.

Councilmember Nickerson.

Present.

Councilmember Brown.

Present.

Councilmember Hazie.

Present.

Councilmember Mendoza.

Present.

Council President O'Neill.

Present.

Councilmember Pollock will be absent.

Councilmember Lanfier.

Present.

And Mayor Steele.

Present.

Also present are Jill Grenier, the City Clerk, Patrick Brown, the City Administrator, Carrie Fisk, the City Attorney, and Keith Kurtz, the Public Works Director.

Individuals who have appropriate items for City Council consideration should complete the request for future agenda items form located at the information booth.

If the issue can be handled administratively without council action, notification will be provided.

If the item is scheduled for a meeting or study session, notification of the date will be given.

Council members, there will be one change in the order of our agenda.

We will take up six C before we take up six B.

So we're going to switch those two.

And now, Council Members, I ask, would you like to remove any item from the consent agenda?

Hearing none, we shall continue.

A sign-up sheet was available in the lobby for individuals wishing to provide input on any of tonight's agenda items.

If you did not sign up to speak on an agenda item, please come forward, state your name, and the agenda topic on which you will be speaking.

Ladies and gentlemen, tonight we have the opportunity to recognize a group of students who have represented Grand Island with incredible talent and discipline at the state speech championships.

Standing in front of judges, delivering polished performances, and competing at the highest level requires not only talent, but months of hard work.

And we're also recognizing several individual state champions and medalists.

We want to thank head coach Dr.

Jordan Ingall and his assistant coaches for providing mentorship and encouragement to these students.

Success like this doesn't happen without strong leadership and support.

On behalf of the City of Grand Island, congratulations to each of you for an outstanding season and for the way you've represented our community.

We're proud to celebrate your accomplishments, accomplishments tonight.

And Mrs.

Granier and I will now present you with certificates of accomplishment and lapel pins.

I understand that some of our award winners are delayed at a track meet, but of course, we will present our certificates to Dr.

Engel, and he can present those later.

Mrs.

Grinier.

Again, we may have some missing, but that's inevitable when we have other school activities.

Molly Canna participated in poetry.

Quinn Lee participated in extemporaneous speaking.

Grace Johnson participated in informative speaking.

We really appreciate that.

As Mayor Steele said, the speech world is kind of its own little world.

But when you visit it, you find out that there's a whole lot more to it than what meets the eye.

Our kids competed in tournaments this year with anywhere from three hundred all the way up to twelve hundred kids competing at the same time in ten events.

So for them to win individual championships means that at times they were competing against sixty, seventy, eighty other kids.

And it's really incredible when they come out with such great results.

And very proud of Kinley and Brianna.

Uh they are the fourth and fifth state champions in school history, which is really exciting for us.

Um, and we hope to build on that next year because they're both juniors.

So, same time next year we hope to be back.

I believe these two.

Thank you.

I have a feeling they will be back.

We'll now take up six C recognizing city participation in Nebraska National Guard boss flight.

Councilmember Brown and Mr.

Schubert.

Good evening, council.

Good to see all of you again, and for some of you, good to see your feet back on the ground, and more importantly.

Um over the last week, back on Wednesday last week, there was a National Guard boss flight hosted by the Nebraska Air National Guard.

More than 50 community leaders took part in this, including some sitting right next to you, including the mayor, council president O'Neill, Council Member Hazi, and also several council members, including Doug Brown, obviously leading the charge uh from the organization standpoint that we're about to talk about tonight.

It happened back on Wednesday and was coordinated, coordinated, excuse me, through the employer support of the garden.

I'm gonna go ahead and play this video while I talk a little bit.

And no, we couldn't get the top gun theme trademarked in time, so have to go with what we have here.

But uh it provided leaders a chance and a better understanding of the role that National Guard members play, not only in the Grand Island community, but throughout the state of Nebraska and throughout the country.

It gave the leaders a better understanding of those roles and the importance of workplace support for employers and during deployment of those officers.

During the event, GIPD also had a sergeant get recognized, and I'll have more of this video posted on our social media channels as well tonight and then do tomorrow, and there's a good look at Jack Rabbit, but we'll move on.

Uh Sergeant Wood wasn't able to be in attendance, he's actually back here hiding right now, but uh he was honored during this event as well with the employer patriot award, which was accepted on behalf of Sergeant Wood with Chief Denny and Mayor Steele.

It is for demonstrating outstanding support for employers who are serving in the National Guard and Reserve.

So enough of me blabbing now.

I'm gonna go ahead and welcome welcome up Councilmember Doug Brown as well as Major Lindaham.

Good evening, Mayor Council.

Uh I'm a volunteer for employer support of the guard and reserve myself, Chuck Hossey and Joe Cook and in the Central Nebraska area.

And what we do is if uh guard or reservists have issues or problems with their employers, they contact uh ESGR, my comp or my organization, and we go out and speak to the employers to see if we can settle everything and get a communications so that uh it can be resolved.

So when they're out on the out deployed on the tip of the spear that they're not worrying about their job, they're worrying about their family, their mission, and their job should be down below.

So we kind of help them take care of all that, and we also give out uh Patriot Employer Awards, uh the guardsmen and the reservists.

They they enter their their bosses when they do outstanding job, and we we gave one to Jason Wood from the Ground Island Police Department on Wednesday, but we appreciate that.

And we we go out to employers and talk about hiring veterans, hiring veterans' spouses, uh, and just to keep communications rolling between the the veteran and the employer.

And uh Major Linneman.

Thank you, Todd.

I appreciate it.

Mayor and members of the council and members of the community and of the city.

I want to first say thank you.

Uh the Grand Island Flight Facility, the Army flight facility has been here about 15 years on the estimate, and the Grand Island community has been outstanding.

And I came here to let you all know that and let you know that we are very appreciative of the support that we've received uh from the from the city and from employers as well.

And we look forward to working with the city and the community as we move into the future, uh, wherever that may take us as well.

I think they hit all the points with what the purpose of the boss lift is, as we call it, and it's just really to strengthen relationships with the community and employers.

And I did active duty, but I'm with the Nebraska Army National Guard.

And there's some confusion as to what the guard is relative to active duty, relative to uh uh and differences with the reservists.

And so Nebraska Guards, men and women are typically almost all Nebraskans, and we joined to serve Nebraska.

And so we love our community.

Uh most of us are employed here in the state, and that can be a tax on employers that their employee has to leave quite a bit throughout the year to do their service to meet their service obligations.

But thank you for letting me speak today, and I'm glad we were able to give some lifts out there.

Uh expectation management.

We are always resource limited, so it's it's not a guarantee that we can always do these, but we are happy to do them.

Thank you.

Thank you.

It was a wonderful event to go up on a Chinook helicopter, uh, a trip of a lifetime.

And I want to thank Councilmember Brown for contacting me personally to do it.

I know you had a lot to do with it, and I want to thank Councilmember Brown and Councilmember Hossee and Jill Cook for being volunteers for uh ESGR.

Thank you so much.

Thank you for preparing that, Mr.

Schubert.

Um now, council members, we will take up 6B city financial and budget update.

Mr.

Brown.

Thank you, Mayor.

Good evening, council.

So tonight, just a quick update on current financial position, and then also a kind of a glimpse into the budget for fiscal year 2027.

So as we begin preparations of for 2027, the economic picture is mixed.

Um at the federal level, the economy is still growing, but it's at us at a slower pace.

The real GDP grew at an annual rate of 0.5% in the fourth quarter of 25.

National unemployment was at 4.3 in March of 26, and CPI inflation rose 3.3%.

So that inflation obviously is higher currently due to some Mideast action.

For municipal budgeting, this means the national economy is not in a recession, but it is also not providing the kind of low inflation, low interest rate environment that makes budgeting easier.

Operating costs, construction costs, insurance, debt issuance costs, should all be expected to remain under pressure as the city develops our budget for next year.

At the state level, Nebraska continues to outperform the nation on employment.

As we have heard in the news, Nebraska's unemployment rate is 3% in January of 26, well below the national rate.

At the same time, the Nebraska Economic Forecasting Advisory Board added 20 million to current fiscal year general fund revenue projections on February 27th, but reduced federal or fiscal year 26-27 state revenue projections by 175 million.

That combination suggests Nebraska's economy remains relatively stable in the near term, but state policymakers are entering a more constrained fiscal environment.

For Grand Island, that is important because even when local revenues hold up, state budget stress can affect aid, share revenue expectations and broader policy environment, which the city adopts its budget.

Case in point is next year on our municipal equalization fund.

Currently, this year we are getting uh 1.6 million next year 80 823,000.

So significant cut in that revenue source.

So the budget message for us is it's it's stable, but it's a very cautious time for developing our budget.

point is um next year in our on our municipal equalization fund currently this year we are getting uh 1.6 million next year 820 823 000 so significant cut in that revenue source so the budget message for for us is it's it's stable but it's a very cautious time for developing our budget uh the labor market remains strong but the state is fading tight the state is facing tighter budget conditions and local taxable sales continue to show moderate positive growth so based on the uh cities adopted 26 revenues assumptions and currently available grand island appears um to position to finish 26 generally on budget and I will show that as we go along here with the possibility of some modest upside sales tax supported revenues the 27 budget should emphasize conservative revenue forecasting close monitoring of inflation sensitive expenditures and preservation of operating flexibility and careful alignment of one time revenues with one time costs so with that let's see and I just want to bring up uh the back side of the agenda memo just to kind of reiterate what we discussed at the council retreat in February is was there was a uh an ask for FTEs so just want to keep in mind just keep this in front of you all uh here's the positions that were uh we talked about it at the retreat and you can see um general fund basically was 1.6 million addition okay so um as you can see we had administration we had library we had parks uh fire police and emergency management so with that being said I kind of want to run into uh what our dashboards uh I are saying so property tax revenue we know what revenue we're getting we haven't uh collected you know our major uh influx of cash from the county comes in May and June so this will grow uh quite significantly so it doesn't look as bad as it is as it looks sales tax revenue so currently so for our all the total sales tax is 29.7 million is what we budgeted we're currently um with six months in 14 million seven so we're coming up just a hair short uh there'll be a um the the Mitch spreadsheet will be coming up and it'll actually show sales tax at a 1.4 percent growth the only reason that shows growth is because I already know what next month's uh receipts will be uh casino tax we budgeted 1.5 we're at 747 so we are right at the half point and you'll see this the same message uh across all of our revenues um here's some miscellaneous revenues motor vehicle sales tax revenue which actually goes to the streets fund so we're lagging behind a little bit 3.1 million budgeted and we're at 1.4 so I think we're seeing some of the consequences is some of the higher costs that are currently uh in our economy motor vehicle fee um we are a little behind in there budgeted 520 we're at 237 motor vehicle tax 1.35 or it's 673000 uh very close to hitting budget right there as I just uh talked earlier this municipal municipal equalization fund our budget amount this year is 1.6 um we will get that but next year's will be 83200 and that comes from the state yes uh building inspection which is always uh to me it's a it's a good uh metric for how our economy is going so the yellow is the budgeted permits at 830 000 and we're currently at 443 so uh hopefully uh we'll exceed what our budgeted revenues are for that um those these are just expenditures there's we are good on on on spending one thing I do want to show you is let's see interest and dividends obviously interest rates um it's coming down a little bit obviously in 24 is when we had higher interest rates

So hopefully we'll exceed what our budgeted revenues are for that.

These are just expenditures.

We are good on spending.

One thing I do want to show you is let's see.

Interest and dividends, obviously, interest rates.

So we still we think we'll get to one point at least 1.8 million.

So our investments are CDs and a money market account, which we have with five points where we can shift money easily.

So it's it's an automatic, and it's been a real boost to us.

So kind of a scary picture.

So personnel costs.

So that is the city's biggest cost in the general fund, so we have to be wary of that.

Operating expenses.

Seems like that we're the last uh well, the last in 25 and 24, we spent considerably less than what we budgeted.

So I'm not sure for that why that anomaly.

Typically, I like to be a lot closer to what we budget.

Um food and beverage.

Budget 3.2 million, we're at 1665, so we'll probably hit that budget mark.

Um and that shows your discretionary spending.

So we are on on target there.

Uh these are expenditures.

The reason why the budget amount for expenditures is because we've added in the uh capital purchases of uh Ryder Park, uh renovation, island oasis, and Stolly Park train area.

So that's why the increase in expenditures in that account.

Um we're lagging just a little bit, but I expect that uh to be more than 550 for the year.

Um there is 15 days of of no collection of hotel occup.

Well, no, it's two percent.

So now it was it was zero, so it was 15 days of zero, and then went back to two percent.

So, but the four percent then kicks in May one, and so you'll see an increase there.

Kino fund is also lagging.

Uh you have we have budgeted 315,000 revenue, we're at 102 right now.

So some of these revenues are inconsistent.

Um I don't think that is six months worth, but uh we will we will keep an eye on that.

So good life district occupation tax.

We budgeted seven million for revenues.

We're currently at 3.4 million.

Uh looked up today.

We are currently our cash and bank is right at 11 million.

All these others are uh good.

Electric fund is as always running well.

Um budgeted 53 or uh let's see, budgeted 101 million, we're at 53, so we will more than likely top that number since the summer is coming up.

Mr.

Stelk has a question.

Thanks, Pat.

Um, anyway, I gotta get that off.

But my question is the good life funding is way down uh and a spin down because we're having trouble with the state reporting all the money, and then a lot of state, a lot of the stores aren't uh checking the right box, and we're not getting enough revenue uh from that.

Has that been resolved, or you are you still working with Lincoln on that?

We are still working uh with uh department of revenue on that.

There wasn't a solution provided.

The solution provided was time will tell.

It is you are correct.

It's on the way uh they do file, they have to check a box and put some numbers in it.

Not everyone is consistent in doing that box, and so it's an education piece, also it and we are working on it as well with uh those retailers in that area.

So I will tell you the last two months have been a higher.

Uh they're they're getting there, but we are still missing a lot of returns.

And the scary part about all this is the inconsistency.

If they don't check a box, we don't get the money.

Uh sometimes they forget to check the box.

So in order for them for us to get that 2.75%, the retailer needs to file an amended return.

Well, I do get reports from the state, but I cannot divulge any of that information.

So I cannot let the retailer know that hey, you need to go check the box, and so it's up to the department of revenue to go back and do the analysis and go back to the retailer, say, hey, file an amended return.

So you can see we're in a tough spot.

On the plus five of the it really have an adverse reflection on our bondable amount that we can go out and get money for if we don't have the revenue to support that.

You are absolutely correct.

So when you take this, when you take a revenue stream, and you want to go borrow against the revenue stream, and and I come to you and I said, Well, I would like to borrow, I don't know, 50 million, okay.

And here's my my income stream, but it's inconsistent.

Well, you're gonna go, hey, wait a minute, either you're gonna charge me a higher interest rate, or you're gonna decrease the amount that I could borrow.

Both.

Or both.

You know, so these bond folks, they're very smart people, and they want to make sure that they're investing uh their folks' money in in a in a good investment.

So it is that's why not to get into this conversation, but I'm going to.

So on the five million that was guaranteed for the good life district, this is what we're banking on.

Is we'll get to we'll get to the five million.

I'm not worried about that, and I don't think our investors would be worried about that.

What's worrisome is what they call new money or businesses that just moved in.

The consistency there.

So there is a lot of hurdles right now.

I think it's uh I think in the spring, I think Mike Rogers has been helping us on this.

We're doing more meetings with them, and maybe it's uh it's a fix in the legislature.

We don't know.

Um, but for right now, we're just monitoring what we're getting, who's paying, and how this is all working.

Because let's just say that well, in October, only had 11 returns, okay, and there should be like 99.

But now I don't know who's filed, if they filed an amended return, if they filed for the October they missed, or the November they missed.

So it's we have very generic information from the Department of Revenue.

Well, the thing that to me that's real perplexing is if we want to do the sports center and the aquatic center together, you're talking some major bucks, and we don't have the money to to do both of them.

We'll only have enough bond money to do one.

Well I don't I don't know if it's fair to say that because we don't know the cost.

So the last cost, um I believe back in December when when Sodia presented, they had sports complex at 35 million, and then uh aquatic center at 25 million.

So I believe that's what they're what what it broke down to be, which is 60 million.

So you know, again, we don't know the cost.

Can that five million bond more than 50 or 55 million?

Yes, capacity-wise, but then you're running into a financial risk.

Uh what happens if revenues go down, you know, to make sure that we pay this bond back.

So it's it's a you want to weigh your risk, right?

I don't think I don't think it'd be prudent to loan capacity and not have anything in the bank.

Um, you want something in the bank for contingency.

Eventually, you're gonna have some operating uh shortfalls.

So um, but yeah, a lot of that conversation will come on the 12th.

I mean, that's why I'm bringing it up as a lot of people don't realize what our council saying financially.

Agreed, agreed, and which I pull up Mitch's spreadsheet, it's it's even gonna look a little worse, honestly.

So you bet.

Mr.

Hossey.

Thank you, Mayor.

Uh Mark brings up a great point.

Um, you know, when the voters approved the good life district here a couple of years ago, uh, we started off as an occupation tax, and so the vendors all had to uh figure out how to do it right and how to do something new with the good life district.

It was the same sales tax that they were paying before, but all of it went to the state, and the good life district lets the state give back half of that back to the city of Grand Island for this development.

Then in the last legislative session, the legislature said we can no longer do an occupation tax that we have to go through the sales tax.

So again, the vendors have to re-educate again about how do you how do you do the filing.

You know, this is this is a gift beyond all blessings I can imagine to the city of Grand Island.

It's half the sales tax in this district for 30 years.

Now, there was a learning curve when we came out with the occupation tax.

People needed to be educated.

There is, and I said you said 99, I was gonna say less than 100, so yeah, there's less than 100 vendors who are in here that do this.

Um I feel bad that we had that they had to jump through two different sets of hoops to figure it out, you know, of what we said and then what the state came back and overwrote and and and said the state has a budget deficit right now, and so they're getting 100 percent of the sales tax, you know, that they've always gotten.

They're just not giving us our share because of this box issue.

Um they're not incentive incentivized to fix it, you know.

And so that's where the unfortunate part of this whole thing is.

I do think it'll get fixed.

I I think there was a learning curve at the occupation tax, there's a learning curve with a sales tax, but it is unfortunate that the educational part, the assistance part for less than a hundred vendors that we can't do it.

You know, that's all part of the process.

We should be able to go out and and as an outreach talk to less than 100 vendors and say, here's here's the way to help Grand Island out.

There should be a way to do that.

I know it gets in lawyer land and and forbid if I ever jump into lawyer land, but uh there ought to be a way that we can help educate everybody, yeah, and and notify them and say, here's uh here's a general education tool.

Uh they'll get it figured out, and I and I just wish that we could do more, but sometimes we just get our hands kind of pulled behind our back, but I even think with one hand we should still be able to help all of these vendors do the right thing, and I think they all would if they knew, you know.

So I I hope we can be honest about it, but I'm like, we've been working at this a long time.

It's it is such a blessing that we don't want to lose the case, you know, and lose this opportunity of a lifetime.

And so I'm I'm hopeful that the state will you know help us educate people, the vendors will be willing to do it the right thing as long as they know, and I just hope we can figure out a way to do that.

I know uh for on the education piece.

We've actually sent out generic of here's how you fill out your state form.

So we've done that twice, and we probably should do it again, uh, just to remind all of them.

But I totally agree this is a gift.

Um I know when it first came out.

I will tell you my first words were, are you kidding?

So but yeah, totally agree with you.

Mr.

Nickerson, I've got several questions after your overall presentation is done, so I don't want to muddy it up with what you've already covered yet.

But touching on this particular point since we're here, I want to build a little bit on what Chuck was saying because I'm curious, and maybe Carrie will have to to weigh in on this too.

But if you're required to fill out the paperwork and report your taxes, but you're not doing it.

What is the penalty to a business not to do it?

Is there any is there any incentive at all, or you can just not do it and it's okay?

Is there no penalty required that they could go on and refuse to do it forever and ever again?

There is no penalty for not checking the box.

So we've we've asked that question.

Yes.

And no.

That doesn't sound like a program if people can just choose not to pay or choose not to participate.

Maybe that's where the legislation has to fix it with some type of penalty or repercussion.

I'm not sure what's going on.

And that's why we thought, you know, because um basically our idea is you know, there are GIS systems out there.

Put in the area in your computer system, and if return is in that area, then maybe you know it should be kicked out.

They didn't like that idea because um back to Chuck's point, they could be losing some money that way.

So it sounds like it's a suggestion.

Yeah, yes.

And see, that doesn't that you can't have a successful program without some kind of tools in place to reinforce the requirements.

And that maybe that's where the legislation has to come.

What if they what if they weren't paying their taxes to the state?

There would definitely be some repercussions there.

But by not participating in a good life district, there appears to be no repercussions.

So the Department of Revenue, my former life, I used to work for a Department of Revenue, different state.

You have auditors, you have people who analyze these returns.

They just don't have the manpower.

For the returns.

Yeah.

For audit purpose, or even just it it could even be to be a phone audit.

You know, you call up a hey, we see you didn't check a box, we see the addresses in a good life district.

We see that you didn't check a box.

Should we check a box?

So well, the reality is that by not choosing the state still gets their five and a half percent no matter what.

They get it no matter what.

But again, I can just elect not to to participate because here's here's my and all of our concern would be the same.

It should make no difference whether we check the box or not, because the five and a half percent is going away.

What what's different is if we check the box like we're supposed to, two and a half, two and three quarters is gonna go to the entity that that's already been designated for.

And so that's that's where this there's a big disconnect.

And I know you know that it seems very simple to us, but it just seems like if an employer has the option to just not participate, they just don't participate.

And I'm I'd be curious on Carrie's thoughts on some of that.

So with an oath and assistation, so technically speaking, there's a if you falsely file a tax return, there's a perjury consequence.

Obviously, that's not the sort of enforcement tool anybody wants to use and or the state's likely to use.

So for right now, it's a lot of education and requests and encouragement and those business owners to check that box and get that investment back here.

And we hope the more people who become educated, the less are likely to skip that box.

But that is the teeth behind the law is those sort of big drastic consequences, which well, of course, we can't use the state would have to use them.

Um so a lot of responsibility, very few remedies.

And what you would really hope when we're looking at the 99 or whatever there are, that it if those that participate choose to participate, the big ones better be.

I mean, you really want the big ones to be participating, those that are generating tens and hundreds of millions of dollars in revenue a year and in sales.

Those are the ones you definitely want to be.

And I don't know if they are or not, but that's gonna have a huge impact on that, as we all know.

Okay, thank you, Carrie.

Okay, thank you, Kerry.

Mr.

O'Neill.

Just to touch on this a little bit more.

So the uh the sales tax uh coming in from the state for the good life districts isn't just affecting us, it's affecting probably all in the state.

That's correct.

Several others.

All our conversations include all of the uh good life districts.

And uh with I know we have representation at the state level as well.

I'm sure we've already shared all details of our exact specific problems with them, and so ultimately the Department of Revenue would have to resolve this, correct?

And uh we don't really have any ETA here, but but we've we've uh sent over all of our data and concerns that we have, correct?

Just to confirm.

Yeah, matter of fact, monthly, I send back uh once I get their form, I put it into a uh pivot table, and I'm seeing who I'm missing because we had that prior year of occupation tax.

I know who's there, and so every month they get from us, hey, here's the missing returns.

Okay, and just keep the keep the tally going.

Yes, okay.

Thank you.

Appreciate it.

So uh moving on here.

So here is the sales tax revenue that we have for this year.

It's I don't understand I don't understand the jumps in percentages.

Uh it's kind of um it's odd.

I don't know if I tie that to the good life district, which it shouldn't be, but at the end of the day, um we're currently 1.4% up from last year in the seven months that I'm showing.

So um percent uh increase is around 250,000 dollars.

So if you apply the let's say two percent revenue increase for sales tax, let's just say add 500,000 for next year's budget.

I could tell you that through the municipal equalization fund, I've already lost 800 some, so I'm still upside down.

So um so preliminarily, this is this is not set in stone.

This is uh matter of fact, just started working on this pretty hard.

Um so for proposed uh fiscal year 27.

If we put in a revenue growth just of one percent, we're at 54 million.

Um then if you add in two percent personnel cost increase, which if it's two percent, I we could fall behind in our market data, don't know.

Two percent operating, we're at fifty-seven million.

So right now, I uh we are upside down, three million dollars.

And our fiscal policy states that revenues, the expenditures should not exceed revenues for a budget year.

So um again, this is just a start.

Um there's different ways uh to look at this.

But if you uh you'll understand that if you're looking at adding personnel, uh, we're already three million behind.

So if you add another 1.6 million, that's 4.6 million behind.

Mr.

Hawsey.

So thank you, Mayor.

Um Pat, I think you're you're actually probably starting to address the question that I had.

So just from the kindergarten level, when I'm three miles up and I'm looking down at it, our increase in revenue from sales taxes of maybe around 250,000, you know.

I mean, whatever, it it is that's a good number, but uh with the additional FE that we were talking about, that's a million and a half dollars a year every year from here to here to forever.

We already have just normal increases in and to like two percent in our normal existing wage and benefit package for all of our employees existing, and and with the cutback in the municipal aid fund of 800 some thousand dollars, there isn't there isn't any fund.

There isn't any money that you you the only other money that this council has, and the only one revenue line it it sets is property tax asking.

Yes, you know that that's the only thing we could do, you know, and and the odds of this council passing a three billion dollar property tax increase is zero.

Uh I would agree.

My sense of it is is it's not gonna happen in my lifetime.

Um so I mean it it's not really feasible at this point, even though we can that could be a stretch goal.

I I don't have any problem with stretch goals, and we could think about what if I I've actually been on this city council when a prior group, a prior city council had to lay off 50 had a reduction to force of 55 people, and it's the first time I've ever seen anything of that nature here, but that happened because year after year it was just a little bit and year after it was a little bit and a little bit, and then all of a sudden we couldn't afford the lot of bit that it added up to.

And so we did a major reduction in force.

This city did, and we did it mainly through open positions and nutrition, not not necessarily laying people off, although I do think there was a few in that.

Uh as an organization, you roll the clock forward five or ten years, I think the 55 people were already back.

You know, by the end of the next decade, they were already back.

You know, and so the economy had to kind of grow into the city, you know, as as we see it.

I don't like a city being a yo-yo.

You know, I I like this small steady growth, kind of like watching the elephant do a turn, very slow and very intentional.

You know, and so I I just don't want to see the yo-yo effect, and I'm I'm I just want to make sure that whatever we do, that we have the sustainability effect, that we're able to afford it without a property tax increase.

I know that my constituents aren't aren't up for any property tax increase if we can.

I know that we've kept the property tax uh levy the same for like the last seven or eight years, and so I think we've done a great job of steady having a steady levy, even though we're getting some lift from the assessed values that the county is doing to us.

Uh we are getting that lift, um, but we're not intentionally raising the levy.

So I just want to caution is that as we look forward to this, and I think your three million dollar numbers probably spot on.

I just want to be careful that what whatever we do, we do intentional and and we don't want to create the yo-yo effect in in city government, because it's just not a pretty picture when you're going the the other way.

Thank you.

Mr.

Nickerson.

You have more slides, or was this gonna pretty much be it?

Okay, good.

I always end up with your slide.

Well, it's not my slide, but it is a slide I really promoted heavily, and it's uh five-year projection worksheet, which is a tool that's a tremendous tool.

And I'm not sure if everybody, every city finance group has this.

If they don't, I would definitely encourage them to have it.

Can you go up just a little higher?

Yeah, I wanted to see just what the the bottom numbers are there, because that's what I would I like to see.

So we're looking now when we look at ending cash.

Well, we'll look at the very bottom line, I guess, is what we're looking at because by year, what's that third slot out there?

28.

Okay, so that's 28.

We're already showing some negative numbers there.

Uh so that that's what we need to, that's what we have to see, and that's the value of this worksheet.

No, it's not to the Nats fanny, but it gives us a pretty good idea.

That's that's what we need is the overall relatively close look to what makes sense based on input uh increases in revenues and and increases in personnel.

So it's a valuable tool that I really like, and I think our cities benefited greatly for many, many years.

And I I think building on what Chuck was saying as well, you know, over the last many many years, a lot of times in the early years I was part of this council, there was a lot of decisions made on emotion feelings, what we really wanted to do, what we'd love to do, we really, but the reality is we have to base our decisions on facts, not on emotions, and that's what we're gonna get.

That's what we've got tonight.

These are the facts, and we base our decisions on that.

We haven't done anything wrong.

This is just the current condition of our financial situation.

Now we have to adjust our decision based on what it tells us.

When we're looking at the taxable revenue that we've seen so far this year, I'm trying to see if there was anything.

It was surprising to me that we haven't seen any big bump and maybe not from what I would call the target and the Chick-fil-A effect, because we had major major store come in, major employer, and uh generated undoubtedly quite a bit of revenue.

We have the Chick-fil-A effect, and yet really not a big bump in overall sales tax revenue that you saw, because we've gone been through the holiday period on this, correct?

So we would have been through November, December, all of that stuff.

So we didn't see a major impact.

I understand part of it because dollars are cannibalized through different businesses.

So what I might have spent at Walmart, I spent at Target or vice versa.

So there's only a limited number of dollars that they're just redistributed differently.

So maybe that's part of it.

Would you think that may be why we didn't see a huge spike in anything?

I think that's part of it.

I think another part of it might be immigration, people moving out.

It could be the economy.

I know when I go to the store, and with good this is a grocery store, it's it's it's astronomical, so I think people are cutting back on certain items.

So I think it's a combination, quite honestly.

Okay.

And and I I think we're going to see that even more going forward with the reports that we're seeing and hearing on the gas impact and and increased gas prices, increased delivery prices, which are passed on to you and me.

Uh and so that we're just not going to see it getting better.

And honestly, I shouldn't get into the politics side of this, but if we don't have a federal reserve that is thinking and acting independently, we may set ourselves up at a country for failure.

And that's another story all by itself, and I that's going to be a critical decision in the future.

So I I'm watching that with bated breath, as are millions of other people.

The other question that I have though is what drove the municipal equalization number down so drastically this year, virtually in half.

Rated Yes, they want they want that money.

So it's uh so the formula, I think Chuck probably knows more about this than I do.

So it was way back when they were adjusting uh mill levies, I believe.

And so the the adjustment came in and then Grand Island benefited from this change in uh mill levies.

So I think it was up to 50 percent.

There was people over 50 percent.

And so that's where it came from.

But now they see uh well they look at Grand Island and said you're doing fine without it.

And you know first class cities and penalized for success.

And and honestly is.

I mean, but honestly, I think cities should be penalized for success.

If they're if they don't need the money, you give it to the cities that need it.

That would be my personal opinion.

So and that whatever that formula is is what it is.

But I I would say that when you have money, there are cities that probably need it more than Grand Island would have needed it over the years.

Now we're at a point where maybe we do need it more.

But again, we have to make good decisions based on the facts that we have.

I would say with the request that we heard at our retreat for the number of FTEs, we just have to look at it and say what makes sense based on what we know here.

And uh enterprise funds are a different animal.

Those are you know, those are standalone.

How can they finance those?

General fund is a different animal.

How can we finance those if we can?

My guess is we probably shouldn't, but we're too far early into the process, but we can look to see what fits and what doesn't fit.

Because again, any additional personnel is not just uh first year cost of pennies.

You know what I mean?

Small amount compared to what the real is the next year two and three and four and five, that's where it snowballs, and that's where we see these numbers start to get smaller and smaller.

And it's just another budget cycle for us, and we have to make smart decisions based on the facts, and that's this is what we had tonight.

So thanks for sharing it.

And and what I'm appreciating about you tonight sharing this, knowing what the desire is to see FTs increased, you know, that's the desire.

That's the that's the emotional part.

The reality is you report the news.

You don't make the news, you just report the news, and this is the news.

So tonight we have to just deal with the news and figure out the best step.

So thank you.

Thank you for being honest.

Mr.

O'Neill.

I just want to kind of expand on something Chuck talked about a little bit ago too.

So Pat the property tax asking is basically been the cash ask has been static for about the last six years from all the data I have.

So then as is uh property valuations go up, if that ask is static, then it's the mill levy is inversely related, so it's actually not saying the same, the mill levy is going down each year.

Correct.

And one other thing on top of that, too.

So there's also growth of new property coming on the tax rolls.

Someone builds a house or something comes off of TIFF.

That would also then compound to the levy dropping even more, correct?

Correct.

That might be one of the things too, because even if that was captured potentially, that could still keep the ass static for uh other property out there as well.

It is my belief if you would have captured growth, you still would have had a decrease in mill levy.

So that's because the valuation went up so much more.

So this is just a distribution.

Uh that's not it.

So that's our mill levy history right here.

That's gone down every year.

And then up here is basically our uh same uh tax ask.

So then as far as like new property coming up, um you know, additional property um where there's just a growth of development, increase another valuation of what we're taxing and we could go on that side of it, but I'm sure there's some of the report of the additional stuff that's coming on the uh whatever comes off of TIFF, there should be a report somewhere.

Yes.

Yeah, I'm not state.

I think Chad Nabity has that actually.

Um thing to remember, um, again, this is uh state of Nebraska mandating stuff, but currently you get a there's a growth and then you get a percentage.

So let's just say, for example, growth is two point one percent, and you can get two percent more or whatever that percent more than your growth, so 4.1 percent.

So there has been legislation in this last uh session, uh hard cap at two percent, period.

Okay, two percent puts us at 260,000.

It's it's nice, but it helps, but not enough.

So um, so yeah.

Just was curious about those numbers, so thank you.

Yep.

Thank you.

It's all I have this evening.

Thank you, Mr.

Brown.

Council members, is there a motion to approve the consent agenda?

Mr.

O'Neill.

I move.

I move to approve the consent agenda items A through J.

Mr.

Lanfear.

I've seen thank you.

Any discussion?

Please vote.

Motion adopted.

A public hearing request from RC dumpsters, LLC, DBA, Lucky's Bar and Beer Garden, 2303, East Highway 30, Grand Island, Nebraska, for a Class C liquor license.

Mrs.

Grunier.

An application for a Class C liquor license was filed with the Liquor Control Commission and received by the city on April 3rd, 2026.

A notice to the general public of date time and place of hearing was published on April 18th, 2026.

A notice to the applicant of date time and place of hearing was mailed on April 3rd, 2026, along with Chapter 4 City Code Alcoholic Beverages.

Departmental Reports were received received as required by city code, and the recommendation is to approve upon final inspection.

Public hearing is now open.

Is there anyone that would like to speak on this item?

If not, public hearing is now closed.

Mr.

O'Neill.

I move to approve 2026-107.

And Mr.

Brown.

I second that motion.

Any discussion?

Please vote.

Motion adopted.

8B public hearing on acquisition of public right-of-way for State Street, Deers Avenue Improvements, Project Number 2026-P 1, Grand Island Joint Venture LLC.

Mrs.

Grenier.

It's Keith.

I'm sorry, Keith.

Pardon me.

Yes, uh, this is for a uh permanent easement that is needed for the state street project uh that's uh gonna commence shortly.

Thank you.

And now Mrs.

Grunier.

Public hearing is now open.

Is there anyone in the audience that would like to speak on this item?

If not, public hearing is now closed.

Mr.

Brown.

Thank you.

Mr.

Landfeer.

Thank you.

Any discussion.

Please vote.

Motion adopted.

Resolution 9A, approving award of proposal for yard waste operations for the solid waste division of the public works department.

Mr.

Kurtz.

Yes, uh, so this item for your consideration is a um proposal that we um advertised back in February for the potential operation of the yard waste site uh currently at the uh transfer station.

So just a little bit of background on this item.

Again, all this is in your memo.

Um this is currently ran by the solid waste division.

Um the actual expenses for this operation in 2025 are just under 143,000 dollars.

Uh our current operating budget for this um portion of the operation is 174,000 for this fiscal year.

Again, we advertise for an RFP.

Um we were looking to reduce potentially reduce expenses and uh find a use or disposal of the waste that's generated by the site.

As you all know, uh this mainly consists of um yard waste type uh items such as uh grass clippings and tree limbs and bushes and those kind of things.

Um we didn't honestly know how this was gonna go.

Uh we just decided to see if it was a uh a viable option.

Um we ended up getting a proposal for the operation again.

This operator would uh be responsible for taking items from residential customers as as we currently do today, free of charge.

Uh also uh can accept items uh from commercial type operations like we do today.

This rate is capped based on our um fees uh that are currently established in the fee schedule.

Uh that's a maximum for those items.

So again, they're they're open to set those as they see fit.

Um again, as outlined in your um proposal, uh outlined in your memo.

The proposal was obviously for the remainder of this year's operation.

Um, and I kind of outlined the the fees of 945 for this year.

Uh again, there's some startup costs and those kind of things.

Plus, we're going into the busiest part of the year, so we felt that that was an appropriate amount.

Uh it also covers 27, 28, and 29, slightly increasing each uh year.

This contract allows for the potential extending and or negotiation of uh two more years beyond that.

Should we come to agreement at that time again?

At that time that would be brought before the council.

Um they proposed the same operating hours that we have today.

Um again remains free for city of Grand Island residents.

Uh the commercial rates as I uh outlined below uh are also uh in the contract, and we also included a provision for high wind or or damage events.

Uh as you guys probably remember in 2019, uh we had a very large windstorm, generated a lot of uh waste.

I believe we uh ended up spending for removal of all the the satellite sites that we had was well over a hundred thousand dollars in that event alone.

So this does provide for those provisions as well, but it does allow the city to operate emergency sites as needed if this site couldn't handle all of all of the waste generated.

Um again, we're uh looking at uh kind of where this site is again as your memo outlines.

It is uh located three miles west of the existing facility.

Uh it's right off of old potash highway.

It's pretty much a paved road the whole way aside from the uh slight bit on 80th road, which is very similar to the current setup that we have today where you have to drive gravel for uh a bit to get off the highway into the yard waste site.

So uh with this proposal as outlined.

Uh our recommendation is that we approve uh the uh contract and move forward.

Thank you, Mr.

Kirkz.

Mr.

Ossie.

Thank you, Mayor.

I move to approve resolution 2026-109.

And Mr.

O'Neill.

I second the motion.

Discussion, Mr.

Nickerson.

Thank you for the presentation and the map because I'm a visual guy.

I got to see where I'm got to go dump all my wood now because I've got about two loads.

I think I'm gonna have to bring out to you.

The question then for me is when would this become effective?

This new site again?

What day?

The the proposal is assuming this is approved, it would be effective tomorrow.

Um the contract goes into effect.

Obviously, we're gonna have to uh get that out to people.

Um Jeff has been working with Shannon to get some signs lined up, obviously to point people out that way.

Should this pass, as well as put out a press release and start to get the word out, it's gonna be education at first, but uh once everybody gets accustomed to it, it should be fairly straightforward.

Technically, if we were to go to the old site tomorrow, we'd be redirected to here, or that would be what we'd be told to do.

Okay, just said three miles down the road.

Is there a scale there?

You're gonna have a scale delivery.

There's a scale set up there as well because that would be for the larger commercial operators then.

You need to know how many tons of stuff they're bringing in.

Exactly.

And it yeah, we we set those uh weights uh or the fees per the weight uh in the contract.

Again, that's based off of what we're charging for regular trash similar to today.

So we're we're capping that again.

We're not saying it has to be that, it has to be that or below.

Okay.

And the current attendant that's been there that kind of chases us down to make sure we're not throwing the wrong stuff in there, is that a city employee, or is that part of a different group?

That was a part-time city employee.

Part-time.

So that person will or will not be continue to be that is up to the new operator to police and regulate uh how and what gets put where good point policing it because I understand.

I mean, he did a good job.

Came out to make sure you weren't mixing, you don't want lumber.

I mean, this is trees and stuff like that, not two by fours and whatever.

The other thing that we can do right now at the current transfer station, and I'm assuming we'll continue to, but if I have a trailer full of stuff, you know, an old couch and a couple of chairs and whatever else, but I also have some tree waste.

Can I leave a mixed load at the trend?

You're not gonna make us try to separate those.

Right now, we can just take those to the transfer station.

They would just be accepted as trash and and weighed accordingly.

Yes.

All right.

Well, looks like I may be visiting the site here very soon.

So uh thank you.

Please vote.

Motion adopted resolution 9B approving case New Holland Industrial LB 840 application.

Mrs.

Burley, Mary Burley, representing the Grand Island Area Academic Development Corporation and presenting an LB 840 application for your consideration for Case New Holland.

I do have Sandra Kraft, Amber Malzon, and Holly Chadwick with me from Case New Holland.

So if we have any technical, really hard questions about combine manufacturing, I'm gonna point point to their direction.

My predecessors were really good at keeping scrapbooks and keeping uh current events, but in April 9th, 1965, this newspaper was fully loaded.

That April 9th, 1965 newspaper identified that Chief Big Chief, what we call them at the time, but we refer to them as Chief Industries at that time.

They had just announced a large expansion.

JBS was expecting their first head of cattle to be processed on November 1 of 1965.

And then the Industrial Foundation, which then became the Grand Island Economic Development Corporation, was $4,000 short of their $50,000 goal to recruit Case New Holland to Grand Island.

And if we think about the time in 1965, and if had one or more of those three projects not came to fruition for Grand Island, our community would be in a vastly different place.

Now Case New Holland pours their whole heart and whole soul into Grand Island, and we're so thankful that they continue to choose our community just like they did in 1965.

But Case New Holland was awarded Heartland United Way's 2026 Outstanding Business Leadership Award.

Case New Holland with their employees and company match donated $135,000 this last year to United Way.

An additional they donated an additional $75,000 to Hope Harbor.

Case New Holland is a staple in our community, and you cannot leave the state fair without having a combine ride, if you will.

This award and competition was commissioned by the Nebraska Chamber of Commerce and the Nebraska Manufacturing Alliance.

Again, we are so proud that Case New Holland continues to call Grand Island home and continues to invest in our community and our workforce.

In case there was any question, Case New Holland is a manufacturer of articles of commerce.

So they are an eligible business conducting an eligible activity and eligible for LB 840 in their expansion.

Their new expansion consists of this newly designed Axel Flow Combines in series 9, 10, and 11.

This redesigning of the dual rotor and single rotor combine adds more options for row crop and small grain farming.

The AF series offers the largest grain tank capacity, highest unload rate in the industry, and then the improved efficiency allows the farmer to harvest longer and further in the field pass.

This AF series can unload a 567 bushel grain tank in about 100 seconds.

So it's incredibly impressive to be developed right here in Grand Island, Nebraska.

Just a little feedback or a little uh information regarding Case New Holland's project.

Their remodeled machine is so large that CACE needed to redesign their manufacturing facility.

Um I'm gonna skip over here.

This is one picture of their manufacturing floor in the teal color blue.

That is every time that new piece of equipment touches that manufacturing line.

So they needed to redesign that manufacturing floor, add new concrete for about a 1.9 million dollar addition renovation rather, and then new machinery and new equipment expense.

This is a 48 million dollar line item for them, and you can see that we've line itemed that 48 million dollar investment to include new semis, new forklifts, um, new tooling machines, new software.

In addition to the 50.8 million dollar investment in Grand Island, Case New Holland is also expanding their labor force by 45 individuals in year one.

Their baseline full-time equivalents are 680 FTEs in Grand Island facility.

They will add 45 FTEs in 2026.

We are asking for your approval for 388,000 for 45 new FTEs in Grand Island to be placed immediately.

A little bit about the LB 840 balance as of last week.

We had a cash balance of 1.7 million, and then we subtract all of the earmarker committed funds.

Economic development, we still have a 101,000 quarterly payment.

This is for our administration.

City admin fee has already been taken out.

GIX Logistics continues to have 457,000 for their job training, and they're working towards drawing down on those funds.

The YWCA, which was approved in 2025, we have distributed all of those funds, but I wanted to put that on there because that was a 2025 program, and we distributed those last funds in February of this year.

DRAMCO Tools still has 102,000 business blueprint, is currently in its second cohort and has 68,000 left.

We will draw down.

So that will be more like 30,000 once the second cohort passes through.

And then Grand Island Expo Events and Livestocks, we approved a 600,000 LB840 grant for them at the April 14th meeting.

This brings our total commitments to 1.3 million, giving us an ending balance of 388,644 and 52 cents.

With Case New Holland's approval of 388,000, this will bring our ending balance for LB 840 down to $644.52.

In my time at the EDC, it's been 13 years, and we have never come this close to being net neutral and really putting LB 840 dollars to use in a really positive and incredible manner in our community.

And so with that, our request is to approve LB 840 for Case New Holland in the amount of 388,000 to create 45 new FTEs in Grand Island.

Economic Development Board of Trustees did approve this in February 19, 2026.

Thank you, Mrs.

Burley.

Council members, is there a motion?

Mr.

O'Neill.

I move we approve 2026-110.

Mr.

Landfair.

Discussion, Mr.

Nickerson.

I really like to uh congratulate New Holland for the expansion here.

It's it's wonderful.

When I see companies in today's current economic climate, and we're talking about overall nation, but now we're talking about Grand Island.

When I see companies that are willing to invest within their current businesses, that's always a positive thing.

And I appreciate New Holland taking that step of faith, and it's quite a machine.

I mean, it's huge, but it's very impressive.

I I know there have been some other businesses within the last year or two here in Grand Island that have invested tens of millions of dollars into their businesses as well, and that's a positive thing for us.

And I I love to see that because it's very easy to make excuses why we we shouldn't or why we should go somewhere else.

But this is a positive thing, not just for those businesses, but for Grand Island as a whole.

I I will say that remember, Mayor, I'm gonna tell you a statement.

You probably can guess I'm gonna say LB 840 money should never be used as a savings account.

You have proven that it's not a savings account.

That's the closest, as you said.

That's super to see it that close.

And to see those dollars invested is a wonderful thing.

And then I think there's one more award that that you all get on this application, and I don't remember.

I'm gonna let Chuck and some of the rest of you.

I've never seen an LB 840 application with so much supporting documentation in my life that if it was printed, it was probably that thick.

But you supported your request, and I mean you really supported it.

So thank you for that.

And uh again, I'm excited about this expansion and just to see businesses continue not just to just to uh not just strive but to thrive, and that's what we like to see them do.

So thank you very much, Mr.

Stell.

Thank you, Mr.

Mayor.

Uh I too would like to support this project.

But two or three weeks ago, my son was home uh just flying through from one coast to the other, so he stopped for two days.

We took a half a day tour of the New Holland plant, and if I had my cell phone here, which I don't bring it to meetings, there's a couple of pictures of New Holland combines, million dollar combines, and I was so impressed.

Oh, I've been in business working in business facilities in Grand Island for the last 30 or 40 years, and I know a lot of people that work at the New Holland plant.

I know hundreds of them.

And every one of them are just top-notch people.

I'm really impressed that they're really a good fabric of Grand Island, and they represent our city really well.

And I'm glad that we're putting money back into a local company where they employ local people, and uh we can see this thing provide or strive and get ahead.

Also want to tell you when New Holland came to town in 1965, they brought people from New Holland here, Pennsylvania, and they sold the capital area, Capitol Heights area.

And uh my in-laws lived on Pennsylvania Street, and there are a lot of new homes that are that was sold to newcomers from Grand from Pennsylvania to Grand Island, and every one of them are good families, and uh that's kind of how I met my wife was in that area of town, so I know a lot of them, but I I just want to send kudos and and just praise you guys uh for all the hard work that you do and your staff and uh you are really a uh shining moment for Grand Island and really speak well of the city.

Thank you.

Thank you, Mr.

Stelk.

Mr.

O'Neill.

I'm very supportive of this proposal as well.

Um my father worked at that plant for about 36 years, and over that time I had many time uh chances and opportunities to tour that plant, and I've seen it change a lot.

There's been a lot of major configuration changes and expansion in that time.

Uh this machinery is just getting more and more complex all the time.

And I totally get why you have to you know expand and remodify again.

You're never done doing that.

It's pretty impressive the amount of technology that's in a combine in this day and age as well.

I'm really happy to see another opportunity to add more jobs, modernize the plant, and I think this is a great proposal.

So thank you.

Glad to see those dollars get put to use.

Please vote.

Motion adopted Resolution 9C.

Approving appointment of Chelsea Steinkey as finance director and city treasurer.

Mr.

Brown will present.

Thank you, Mayor, Council.

Tonight Chelsea Steinke currently serves as the director of finance for Venue Works of Grand Island, LLC.

A role she has held since January of 25.

I might add it was a role that she just got dropped into and had to figure it out.

So she's she's got a little experience in doing this.

In this capacity, she leads all day-to-day financial operations, including cash management, accounts payable, receivable, general ledger oversight, and payroll.

She produces and analyzes monthly financial reports, ensuring accuracy and compliance.

Plays a key role in appreciation of organizations' annual operating budget.

Additionally, she provides financial leadership across multiple operational areas by establishing and maintaining internal controls and participates in contract interpretations, negotiation, and post-event financial resolution reconciliations.

Prior to her current role, uh Chelsea served as controller for AGI from April of 22 through December of 25, where she oversaw daily accounting functions, worked closely with the executive leadership to guide financial decision making.

Her responsibilities included preparing internal and external financial statements, developing financial performance metrics, and leading the organization's budgeting and forecasting processes.

Chelsea's earlier experience includes serving as accounting analyst for Balsaman Enterprises, where she prepared and reviewed multi-state tax filings and analyzed financial statements across various business entities.

She also served as business manager controller for Seaton Publishing Company in Hastings, where she was a man a member of the senior management team, implemented a cloud-based HR system, manage cash flow and departmental budgets, and provided financial reporting to share shareholders and external accountants.

Chelsea holds a bachelor of science in business administration with a minor in accounting.

As finance director and city treasurer, Chelsea will oversee the city's finance department and related operations, including financial reporting, budgeting, internal controls, treasury functions, as long as uh with IET operations.

She will play a key leadership role in managing the key city's fiscal operations, supporting long-range financial planning efforts and ensuring transparency and accountability in the use of public funds.

Chelsea brings a strong combination of public-facing financial leadership, private sector accounting experience, and operational insight that will complement the city's continued focus on the financial stability and strategic growth.

I am confident in her experience and leadership will serve the city of Grand Island well.

Is um during the interview, Chelsea's very Chelsea and I were very similar.

So we both have just a uh bachelor of science in business administration.

My emphasis was management with a minor in accounting.

Hers is I don't know what her major was, but she has a minor in account.

She is also currently working on her masters uh in human resource.

Uh why the little difference is because when she was put into her role as CFO with venue works, she was also put in charge of human resource.

Uh why the little difference is because when she was put into her role as CFO with venue works, she was also put in charge of human resource, and so she decided to go back to school, work on her masters with the emphasis in in human resource.

So that's another thing that that is uh a plus.

So in this position, as I described this position in the interviews.

I'm looking for someone who's just not a processor.

We have a finance department who we have folks that can they process and they process very well.

They're very attention to detail.

Well, I'm looking for something more support for the bigger picture, the budgeting process.

Um, it's budgeting, obviously, is so important for our city, and so she's gonna help in the bigger picture.

She's gonna be working more with departments where currently I don't have the time to, but she'll spend more time with departments working on the capital budgeting.

Um like to get a solid five-year capital improvement capital improvement program going.

I I have full confidence that her and I working together, we can do that.

Um you'll notice she doesn't have much municipal experience, but you learn that on the job.

Uh I will tell you in college and accounting, you don't go over governmental accounting.

You it is learn on the job.

What I really looked for, I think what other folks look for in this interview process was fit.

She's got the drive, she wants to learn, and that's all you can ask for.

So this is why we chose Chelsea, Mr.

Brown.

And we have a motion, Mr.

O'Neil.

I move we approve 2026-11.

Mr.

Lanfair.

Discussion.

Please vote.

Motion adopted.

Chelsea, welcome aboard.

Uh, I enjoyed the interview with you that I got to attend, and I was particularly uh impressed when Mr.

Brown mentioned that he wanted somebody who uh was interested in doing big picture analysis, and you said that was exactly what you wanted to do.

So uh I think you'll be a fine fit with our city, and I think you know what we need.

So uh you you can hit the ground running now.

And I understand, of course, venue works is losing a wonderful employee, but uh we're we're pleased to have you with us too.

So welcome aboard again.

Resolution 9D, approving payment of amounts due to the Central Nebraska Humane Society for February and March of 2026, Chief Denny, are you reporting on this?

Um thank you, Mayor Council.

Uh the police department's available for operational information.

We didn't submit uh this final uh budget item.

Thank you, sir.

Uh Mr.

Brown, do you have a motion?

Move we approve 2026 TAC 112.

And Mr.

O'Neill.

I second the motion.

Mr.

Hossey, discussion, please.

Thank you, Mayor.

Um, you know, after raising the issue on the payment to the main society a couple of times in the last two months, I I'm just appreciate that we now have the proper oversight and to pay the right amount according to the contract.

And I'm not agreeing whether the contract's right or wrong.

I just want to make sure that the bills that are in front of us are appropriate to the contract that we have.

And and now it appears that it is, so I appreciate the oversight now.

So thank you.

Thank you, Mr.

Hawsey.

Please vote.

Motion adopted.

Ordinance 10, a consideration of approving salary ordinance.

Is there a motion to suspend the statutory rules, Mr.

Lanfair?

Mr.

Lanfair.

Our move we suspend the state statutory rules considering ordinances.

And Mr.

O'Neill.

I second the motion.

Any discussion?

Please vote.

Motion adopted.

Mr.

Schmidt please uh report to us on ordinance 10A.

Thank you, Mayor.

Thank you, Council.

Uh, we're gonna tag team this one tonight.

So this is a salary ordinance to create a job classification for water crew chief, water department, obviously.

Uh so you'll see the classification in the ordinance and the wages associated, and then Ryan will explain the change here.

So this was one of the items at the retreat, but we have a retirement that's happening here in the next actually Friday.

And in the water department, the way it's structured currently, we have two supervisory positions on paper, but structurally, there's one functional supervisor.

And the intent all along has been to create a situation that mimics our underground and overhead departments, which are a lot more functional in structure.

So to do that, our intent would be to cannibalize one of the supervisor type positions that's not structurally supervisory.

It goes way back in time and use the that allotment to create the crew chief positions we need to adjust our structure.

So we will advertise these internally in so that we can maintain FTE where they are, so we're not asking for new FTs to get where we need to be.

That's why we wanted to push this up front going into summer with construction season.

Um we can have construct crews to construction crews with crew chiefs leading them rather than one supervisor trying to run you know 13 guys at once.

So it's a it's a functional thing.

This would be a huge advantage to us, but the position is currently not on the books to move it direction we want at this time.

Thank you.

I I wanted to add to I'm sorry.

We also threw some internal things.

This is a this is a net neutral adjustment, so this is not adding to our budget.

Thank you.

Mr.

Hawsey.

Thank you, Mayor.

I make a motion to approve ordinance number one zero zero seven one.

Mr.

Lanfear.

I second.

Discussion, Mr.

Hawsey.

Thank you, Mayor.

So, Ryan, I I'm glad that you brought forward when you have an opportunity like with retirement to take a look at your structure and say what makes a better fit today.

Uh you can always tell when you're a council member from my position, you can always tell your when you're getting old.

And I was here a couple of years before he was hired.

And so I you know you're getting old when you start seeing 50-year people come through the organization.

But thank you.

Please vote.

Motion adopted.

I move to suspend the rules.

Mr.

Lanfear.

I second.

Discussion.

Please vote.

Motion adopted.

Mr.

Schmitz, please report on this.

Thank you, Mr.

Mayor.

So section 1528 of city code was originally established for residential houses.

So basically, if a house wasn't lived in for six months, it required a mandatory inspection so that when we put power to the house, uh stove wasn't on or a fire was started in some manner.

Umfortunately, that's always been miscon or transferred also to irrigation wells.

So irrigation wells typically they will have their meters pulled at the end of the season and then turn them back on in the spring to start watering.

So what that causes is them to be subject to the inspection fee every spring, which this would reel that back.

So when our guys go out to put in the meter and turn it on, they can look at it at the same time so they'll only be assessed just that turn-on charge rather than the turn-on charge plus the inspection charge.

Mr.

Brown I move we approve 10,072.

Mr.

O'Neill.

I second the motion.

Discussion.

Please vote.

Motion adopted.

Ordinance 10C.

An ordinance authorizing the issuance of tax-supported municipal improvement bonds, series 2026 of the City of Grand Island, Nebraska, in the apprentice in the principal amount of not to exceed 25 million dollars for the purpose of paying the cost of certain capital improvements to be owned by the city and to refinance the 2016 promissory note of the city, prescribing the form of said bonds, pledging funds to be received by a sales and use tax and property tax for the payment of said bonds, providing for the levy and collection of said taxes to pay the same, providing for the sale of the bonds, authorizing the delivery of the bonds to the purchaser, providing for the disposition of bond proceeds, authorizing bond insurance for the bonds, and ordering the ordinance published in pamphlet or electronic form.

Mr.

Lanfear, a motion to suspend the rules.

Our move is to extend the state statutory rules concerning concerning ordinances.

Thank you, Mr.

O'Neill.

I second the motion.

Please vote.

Motion adopted.

Mr.

Brown, please proceed.

Thank you, Mayor.

This is this ordinance in front of you would just give us permission to go shop for bonds to pay for the improvements at Heartland Event Center, Island Oasis, and refinance uh the uh veterans park uh note that we have with the food and beverage occupation tax.

Thank you.

Gerald Poles, did you want to speak on this item?

Uh thank you, Mayor uh Council and Mr.

Brown.

I the questions I had was this was discussed a little bit last June, I believe.

Uh and back in June that Mr.

Brown suggested that maybe do fewer projects.

Uh then you wouldn't be need spending this kind of money.

I mean uh and there was also talked that what's the interest on this bond going to be in for 20 years?

The the number banded about last June was about 17 million dollars, and that would be paid by taxpayers, right?

The public.

Uh what I find interesting is we had the big discussion last month about we spent an hour discussing the humane society bills.

We spent 15 minutes giving away four million dollars worth of tax agreement financing.

Okay.

When we talked about, and I've been here with the island oasis before, Mitch, and we had this big discussion about not wanting to spend seven million dollars for the road for the trail, South Locust Trail.

Very concerned about that.

But then here we have this before us 25 million dollar bond, perhaps about that much, with millions of dollars of interest.

Now 7 million bucks doesn't seem so much anymore, does it?

And that's that's what I just find the council says one thing and then kind of does something different.

They there's no, you know, that it's like it's just all talk.

You know, the I mean I love the idea of the trail south, but it's like you $30 million for parks and rec this year, isn't that what's in the budget?

And then why not pace yourselves?

You know, the water park is already inching back up to that $15.9 million that was talked about when it was first came up that oh, it was only 13.1, now it's up to 13 point almost six after last month.

And in re in all of that, we keep hearing these things about we have to take care of the taxpayers' money.

And I just don't see it happening.

There's no pace here.

You know, the water park could have been built, add the golf, add the little putt putt course at one time, add you just you know, a small bit of a project over the instead of this the yo-yo thing that you talked about earlier.

It's like it's in your hands, and you fail to really operate that way.

So uh just a minute, I'm almost done.

Okay, in 2004, the city did a water park study or a water swimming activity study or something.

2004.

And I don't know whether uh water park was talked about at that time, but I really think it's time.

If if it's not lawful, it should be that you can earmark some funds to put away just like mom and dad used to do before they could buy a new car.

You know, it's it's just insane.

You get these ideas, and it's like the little kid in the candy shop, and you can't say, Johnny, we just we it's a great idea.

I'd love for you to have that candy, but we just can't afford it right now.

But you never do that.

You get talked into stuff.

Uh in uh 2022, uh Todd Parks America.

He was concerned about the staffing at the pool then, and now what are we gonna have for the staffing when this island oasis opens up?

Now this this has it's oh we oh we forgot all about that.

It's like these are issues that that aren't being maintained, they're not they're not on the top of the list as they should be.

Uh yeah, and then uh we've seen the graphs Mr.

Brown presented, got a very iffy kind of situation coming along.

Uh you know, approving this, what $800,000 a year or something payment on this bond is what I read somewhere in the in the packet.

And you take that times 20, and you come up with a very large number, and that is all financed by the taxpayers.

And you talk about the city as if the city it's it's okay for you to spend whatever money you want, and you don't need more money, you just need to stop spending.

That money is supposed to be for the people that earned it, not for the people that can take it away.

Yeah, I'm just an old curmudgeon anymore, but it's really sad the way this is being this is this financing situation, having to float a bond, having to borrow money, having to use that credit card, because you can't control your spending.

You really need to do a better job.

Thank you.

Thank you.

Before we can proceed, counsel, uh, we need a motion.

Mr.

O'Neill.

I move to approve 10,073.

Mr.

Brown.

I second that motion.

Discussion, Mr.

Nickerson.

That to uh answer some of the questions that Jerry was posing here.

What what do we think relatively true bond prices going to be in the in the neighborhood of how much we think that'll be the finance rate?

I'm gonna turn to Mike Rogers, our bond counsel person.

Okay.

I think that's uh it's a valid question.

I think all of us sitting here are wondering it, so we're just kind of curious.

Uh I'm not trying to dodge, but I'm I'm actually not sure.

I'm the bond.

I'm just the bond lawyer.

I'm I do the all the legal work, so I'm not sure.

Uh well, you guys will have an idea of what the rates are right now, I would guess.

No, but that's why we put we put it on RFP out, and it's in a bid process, so interest rates are part of that bid process.

So we'll try to get the best interest rate possible.

But what kind of range are they in?

We're not committing to anything tonight.

What kind of range, what kind of range are they in from what you guys have seen?

Because I don't follow bond prices.

It all depends on how what's like the final maturity is going to be and what as to what the average interest rate is, depending on when principal gets repaid.

But I was thinking four and a half.

That's about right.

And and the city is um to Pat's point, using the city's financial advisor to find the best underwriter for for the transaction.

So that process is ongoing.

And when bonds were at one of their most favorable to the city, what rate were those when we were getting really uh really good rates years ago.

Well, during COVID, it was it was it was close, it was really low.

I mean, one two percent.

Yeah, so we're seeing double roughly from what it was when things were really good.

And that just gives us an idea of what we don't know what it'll be, but it's probably in that that range.

And I think that's a fair thing to at least know tonight.

And I think it was in 2020.

Um that we we refinance the utilities and some of the um was it SLRF or something like that uh notes that we have with the state of Nebraska.

And if I if I'm correct, I believe when we refinance, we saved six million on that.

So very good.

All right.

Thank you, Mr.

Rogers.

Got you just up here for uh for nothing, I guess.

But no, my my follow-up question to Patrick will be to help Jerry.

I don't I know Jerry, I'm not going to help you understand this totally, and I'm trying to think of a way to express it of why we would bond things such as this.

And so Patrick, I guess my question to you is why as a city as a finance person, is it sometimes a good thing to do what we're proposing tonight uh to bond a bunch of things together that are important?

What is the driving impact of that?

Why do you why do you do stuff like that?

Why is that important to a city to do that?

Economy of scales.

So if you have several projects that are big and you put them into one package, you get better pricing.

So is that answering your question?

Well, partly.

I mean, that's what we're looking at, but it really comes down in my mind to an annual payment or a monthly payment.

What can you afford?

What makes sense to finance all of these things that are big dollar items?

How do you get down in all of that into a manageable annual payment?

We don't worry about monthly payments, do we?

It's is it just basically an annual payment semi annual semi-annual?

Yeah.

So we're if we're gonna buy a $50,000 car, and there's something else that comes with it, and all of a sudden we have a price tag of $60,000, $70,000, whatever those other amenities would be.

Most of us can't live on a cash basis like that.

We're not gonna be able to save $60,000 cash.

So we choose a finance option with an interest rate, and that just helps us, it always comes down to what's the monthly payment you can afford.

You know, what can you afford?

What's your budget?

In my mind, and somebody can correct me if I'm wrong, when we're looking at things that require big dollars, it's a good idea to bundle them.

We hear about this all the time on insurance.

Bundle your home, bundle your car, bundle your motorcycle, your boat.

To me, it's the same principle.

We're we're bundling all of these needs, and it's a big number when they're all added together, but it comes down to one payment, two payments a year.

Uh that's within the budget to make that happen.

Now, the other part of this that we always want to be careful of is the things you're financing, you don't want them to be obsolete before they're paid off necessarily.

So you don't want to finance things that are gonna last 10 years for 20 years.

That doesn't make a lot of sense.

So we're trying to understand and and piece all those pieces together, are we not to make that make sense when we do something like this?

Yes.

This is so to your point.

I wanted to make sure that we kept the consistent payment out of food and beverage, because food and beverage pays for other items.

So food and beverage, like 200,000 goes to CRA, which then goes to Woodsonia for Conestoga Mall.

We have uh the payment, roughly 550 to 600.

That pays for the ball fields uh uh Veterans Village.

Uh we have uh paying for our lottery match, because we have the state fair, which is roughly 500, 550,000, and then we also have Grow Grand Island coming out of food and beverage.

Okay.

So we have those every single year.

So we take that in consideration.

And then we make sure that we have enough room to continue parks projects, the smaller park projects, um, up to 500,000 or so, depending on what they are.

And what's important is when you guys pass the hotel occupation tax, when people use our hotels, that access is gonna go to the paying for improvements at the Heartland Event Center.

So we got to make sure that we we have a commitment to uh venue works in the Heartland Event Center of 500,000 a year plus whatever shortcomings.

So we consider that as well.

That's why it was so important to get that additional hotel occupation tax.

The rest of that money, which is roughly 200,000, 250, it'll come from a sales tax fund, more than likely the 2004 sales tax.

So it's just doing an adjustment.

But we're what I was trying to make sure is you don't want to overextend to your point, and that's not what we're doing.

So I feel very comfortable in our payback situation.

Okay.

And I think the the bottom line question that Jerry may be posing that the council struggled with to a certain point was how many of all of these components were important to finance to make possible within this last budget year when we discussed the project at the water park.

You know, yeah, that's big dollars.

Is that important?

It was a big discussion item, but I think as a whole, we felt like the benefits are worth it in the long run.

And I think we're going to have a very nice, I don't think I know we're going to have a very nice water park when everything's said and done.

We're going to have a new miniature golf course, which is going to be a smash hit.

And all these things are good for that.

But then we also have an event center that is 20 plus years old that has to be updated.

I mean, this is all part of all those of us that have homes and cars, we know those things are part of the expense of owning them.

And we don't have the option right now or the ability to just squirrel away millions of dollars for that reason.

So this whole bundling idea is what makes sense.

And yes, you do pay for that privilege, but we're also looking for that affordable payment that helps the city meet all of these things that we need, we feel we need right now, and I I agree that we do need them, and that we're able to finance them within a fair, reasonable budget with revenue streams that you can depend on, which is what you were telling us.

That's very important to make that happen.

So Jerry, it doesn't help you at all, but I'm just telling you kind of the way I look at it when we're looking at all this, it's a bundling process, and we're getting a lot of bang for the buck, and that's what I would sum it with at this point.

Thank you, Mayor.

Uh so in part, I want to respond a little bit to Jerry, and in part I want to respond a little bit to Chelsea.

Um we talk about this bond issue, what the council has weighed over the last year or so or more.

How much do we pay with cash and how much do we borrow?

That's been kind of like the tipping point as to how much do you do of each.

Uh, we have had, I think, some decent discussions about that.

And uh what I would say is that historically, you know, at one time I was in Chelsea's position as as the finance director, and I put aside over 10 million dollars because we were having uh Wood River flood control, and we had a major road project.

We were doing exactly what you said, Jerry.

We were putting money aside to pay for it.

Well, what happens when you have elected officials here on four-year terms, people change.

The 12 or 15 million that I had set aside for these projects when those projects actually came up, guess what they did?

They borrowed for the money.

What did they do with the 15 million?

Just trickled it away a couple million a year every year.

It just gave the the city an ability to do other things.

So all of the best of intentions in a city, sometimes it just doesn't work.

Changes in politics, changes in people, changes in philosophy.

And so setting aside money, what I what I have concluded in all of my years of experience, the worst decisions come from a city who's got a bucket full of cash.

You don't want cities to have buckets full of cash.

You need to do what the EDC did.

You want to get them down to $644.32 because that's when the best decisions actually come.

Unfortunately, the best of intentions, like setting aside money, somebody comes along and takes your money, you know, and that's what happens in politics.

Now, we always overcome.

But this comes through with time.

I mean, it's not easy to set aside large chunks of money because somebody will always be more powerful than you, and somebody will always have a need bigger than yours.

And so it never ends up kind of right.

So I think in the the best that I can ever say to you and the most of the public, I really I'm just I don't want the city to have huge chunks of money.

I want them to tax the people when we need it.

I want them to be successful, I want them to build nice things.

I want to have a great city.

But you don't ever want the government to be hoarding cash, you know, because that's that's never any good.

But I think, but I think in the long term, if we were if it was my house and if it was your house, I would do exactly what that.

I would set the money aside and I would pay cash for it, except for maybe the house.

I I can't do the house, but I could do the car, you know, and that's what that's what you do.

But unfortunately, in government, it just doesn't seem to work that way because of just because it takes decades to do these things, and if you set it money aside, it just it just doesn't seem to pan out.

So I really I think the borrowing is puts the the borrowing cost and the interest cost aligned with the users.

So the people that are going to use this putt putt thing for the next 20 years are going to be paying for the project cost and the interest, and then that's who's paying for it.

So you closely align the user with the the money that's coming out.

And so that's the best thing I think that really happens when you're borrowing money, because you really then you get the user paying for the the fee that it costs to build it.

Mr.

O'Neill.

This is a question for Pat.

I I don't have the data in front of me here, but as far as all the bonds that we have, are there any other ones that are coming off schedule soon that'll be uh paid off around this time?

Uh I think we have some GO bonds that are gonna be paid off.

Um well the one we refinancing was close.

Um other than that, um I can't think of anything else.

We have a payment stream to pay these bond payments, and typically it's good to see something comes off, something comes on.

Something comes off, something comes on.

But as far as that, you feel that um the the payment stream is consistent to be able to make these bond payments.

Correct.

Yes.

And I I also uh agree with Chuck there too.

I I don't think it's good to see uh government entities you know stockpile um you know hordes of reserves, and I'm not sure you there's usually some type of state statute involved, I think as well of how big reserves can get too.

So I just want to remind everyone.

So we're this year, um four and a half million of uh savings or reserves being used for island oasis, and then also the borrowing, all of Ryder Park uh baseball field and the uh Stalley uh park train area.

So we've using our cash, we're bringing it down.

And there was some private dollars in Ryder Park and Stalley Park as well.

Correct.

Okay.

Yes.

All right, thanks for breaking that down, Pat.

Thank you.

Please vote.

Motion adopted.

We have finished our meeting.

Good night, everyone.