Up

                                                                       Regular City Council Meeting
                                             City Hall, Cherokee, Iowa
                                             May 26, 2009 – 7:00 P.M.

 

A regular meeting was called to order on this date by Mayor Pierce.  Present:  Council Members Peck, Leach, Mallory,
Burkhart, Stieneke, City Administrator Eikmeier, City Attorney Miller, Clerk-Treasurer Taylor.

Duwayne Rupp, 611 W. Cherry, questioned why the speed limit on C38 (W. Main) coming into town drops to 25 mph
100 yards before the stop sign at 11th Street.  Why are we creating a speed trap?  He indicated that the speed limit
traveling south on N. 2nd Street is 45 mph until you reach Cedar St.  Council Member Burkhart asked if the slower limit
was because it is a residential area?  Mayor Pierce suggested that the Administrator meet with the Police Chief and
City Attorney to review this matter.  Burkhart also asked that they check with the school.

At 7:07 p.m., Mayor Pierce opened the public hearing on the 2008-09 budget amendment.  The amendment accounts
for the following unbudgeted expenditures:  fire rescue truck; fire tanker truck; washer/dryer, Jaws-of-Life and tower
light for fire department; community center project; plantings for downtown nodes; demolition of dilapidated structures;
outdoor warning sirens; ultraviolet projects at wastewater plants; and E. Bluff storm sewer project.  As there were no
oral or written comments, the Mayor closed the hearing at 7:08 p.m.  A motion by Burkhart, seconded by Stieneke,
adopted Resolution No. 09-10, amending the 2008-09 budget.  Roll call was:  AYES:  All.  NAYS:  None.

At 7:08 p.m., Mayor Pierce opened the public hearing on the sale of the property at 105 S. Sioux St.  As there were no
oral or written comments, the Mayor closed the hearing at 7:09 p.m.  On a motion by Stieneke, seconded by Mallory, the
council adopted Resolution No. 09-11, a resolution of desire to dispose of real property at 105 S. Sioux St. 
Roll call was:  AYES:  All.  NAYS:  None.

Mayor Pierce indicated that the city advertised for and received one bid on the property.  She asked the council whether
there was a minimum amount they would accept for the property.  As there was none, she opened the bid from Modern
Heating and Cooling who offered $4,500 for the property. 

A motion by Stieneke, seconded by Leach, adopted Resolution No. 09-12, disposing of real property at 105 S. Sioux St. by
accepting the bid from Modern Heating and Cooling for $4,500.  Roll call was:  AYES:  All.  NAYS:  None.

A motion by Stieneke, seconded by Peck, approved the first presentation of an ordinance amending provisions pertaining to
persons under legal age.  Roll call was: AYES: All.  NAYS:  None.

On a motion by Stieneke, seconded by Burkhart, the council approved the first presentation of an ordinance amending provisions pertaining to contributing to delinquency.  Roll call was:  AYES: All.  NAYS: None.

A motion by Peck, seconded by Leach, adopted Resolution No. 09-13, appointing paying agent, note registrar and transfer
agent, approving the paying agent and note registrar and transfer agent agreement and authorizing the execution of the
agreement in conjunction with the $945,000 G.O. Refunding Capital Loan Notes.  Roll call was:  AYES: All.  NAYS: None.

A motion by Burkhart, seconded by Leach, unanimously approved the tax exemption certificate for the $945,000 G.O. Refunding
Capital Loan Notes. 

A motion by Burkhart, seconded by Peck, adopted Resolution 09-14, approving and authorizing a form of loan agreement
and authorizing and providing for the issuance of  $945,000 G.O. Refunding Capital Loan Notes and levying a tax to pay
the notes.  Roll call was:  AYES: All.  NAYS: None.

On a motion by Stieneke, seconded by Mallory, the council adopted Resolution No. 09-15, asking the Planning & Zoning
Commission to review a request to vacate the alley adjacent to 611 Clark St.  Roll call was:  AYES: All.  NAYS: None.

A motion by Peck, seconded by Leach, unanimously approved the following under “Consent Business”.

City council minutes of May 12th.

Renewal of class “B” beer permit – Pizza Hut.

Payment #1 to Grundman-Hicks for $13,300 for the wastewater ultraviolet project.

Administrator Eikmeier explained a request from Quilt and Kaboodle for a business incentive grant.  At their May 12 meeting,
the council approved the revised guidelines for this grant and that same day, Quilt and Kaboodle submitted their grant request. 
Over the past several months, the business has been in the process of renovating their building at 420 W. Main and had
previously discussed the grant request with the CIC committee.  As the committee for the revised program has not been
appointed and the CIC had favorably discussed a possible application with Quilt and Kaboodle, the Administrator recommended
that the council award the grant based on the new guidelines maximum of $100 per foot of storefront or 40% of the total
project costs, whichever is less.  A motion by Stieneke, seconded by Burkhart, approved a business incentive grant to Quilt
and Kaboodle for $2,200.  Motion carried. 

In past years, Mid American Energy has provided temporary electrical drops from the streetlight to supply power for events
held on E. Main Street.  They will do it one more time this summer for the street dance, but have indicated that the city
must come up with a permanent solution.  After talking with Schoon Construction and Champion Electric, Jim Adamson
submitted a proposal that would bring power underground from the alley north of E. Main and west of 1st Street to the
landscape node at the northwest corner of E. Main and 1st Streets at a cost of $3,625.  The city has a power box with outlets
that would connect to this supply.  Administrator Eikmeier indicated that events that request the use of power would pay a
fee to help defray the cost of this installation.  A motion by Stieneke, seconded by Burkhart, authorized proceeding with
the installation of the permanent power source as proposed.  Motion carried.

Rick Angell, Wellmark BCBS agent, and Don Faber, representing Three Rivers Benefit, were present to review the city’s health |
insurance policy renewal effective 7/1/09.  The city currently purchases a $2,000 deductible plan through Wellmark, and then
self-insures it down to $500 through Three Rivers Benefit.  This plan will increase 19.72% effective 7/1/09.  Administrator
Eikmeier asked the council to consider purchasing a $3,000 deductible plan and having Three Rivers Benefit self-insure it
down to a $500 deductible.  This results in lower Wellmark premiums, but increases the risk to the city.  25 insured individuals
would have to max out their benefits before the city would have to reach into its pockets.  Over the past three years, an
average of 10 individuals have maxed out in any one year.  This proposal won’t necessarily save the full 19.72% increase, as
some of the risk will shift to the city.  Mr. Faber indicated that the analysis shows this to be a good risk.  The Administrator
explained that we are in the second year of 2-year contracts for both bargaining units, so no changes are being made in benefits. 
On a motion by Stieneke, seconded by Peck, the council authorized purchasing the $3,000 deductible plan through Wellmark
BCBS and self insuring it down to a $500 deductible through Three Rivers Benefit effective 7/1/09.  Motion carried.

On the Mayor’s recommendation, a motion by Leach, seconded by Stieneke, unanimously appointed members to the following committees.

  • Tourism Grant Committee – Shawn Simonsen, Sandy Siegel, Ed Otto, Tim Gaydo, and Jim Peck as the council’s representative.  One more
    member will be appointed at the next council meeting.
  • Business Incentive Program Committee – Darren Zwiffel, Mike Taylor, Scott Weber, and Linda Burkhart as the council’s representative. 
    Two more members will be appointed at the next council meeting. 

Administrator Eikmeier reminded the council of the Council of Mayor’s meeting on May 28th.

Council Member Peck attended the SIMPCO meeting last week and reported that some states haven’t taken the stimulus money,
so Iowa is going to pursue additional funds, which could result in more funding for cities. 

Administrator Eikmeier received good comments from people regarding the geocachers in town over the weekend. 

27 notices were mailed last week regarding needed structural improvements to houses and garages.  More will be mailed this week. 

A motion by Burkhart, seconded by Leach, adjourned the meeting at 7:53 p.m.  Motion carried. 

News media – Paul Struck, Chronicle Times; Nikki Thunder, KCHE.

Pam Pierce – Mayor

 

ATTEST:

Debra Taylor, CMC
City Clerk-Treasurer