Special Valley City Commission Proceedings
Tuesday, May 14, 2019
7:00 AM, City Hall
President Carlsrud called the meeting to order at 7:00 AM.
Members present: Commissioner Magnuson, Commissioner Bishop, Commissioner Powell, Commissioner Erickson.
Others Present: City Administrator Schelkoph, City Auditor Richter, City Attorney Martineck, Public Works Accountant Jacobson, Fire Chief Magnuson, Police Chief Hatcher, Chad Petersen from KLJ.
Consider Resolution No. 2203, a Resolution accepting Bid and Awarding Contract for Storm Sewer Improvement District No. 50
City Administrator Schelkoph stated the bids were $160,000 over the Engineer’s Estimate, mostly due to underground boring. Schelkoph reported boring costs have increased recently and the bids are in line with what other cities have received. Schelkoph expects no change in bids if project is bid again. Bids came in at $0.92 per square foot for the local share. The 2012 9th Avenue NW Storm Sewer costs came in at $0.27 per square foot. Schelkoph outlined the percentage assessed and the cost per square foot options. Schelkoph recommends 35% of the local share be assessed which is $0.32 per square foot.
Schelkoph stated the R&R fund can cash flow this project, however there will be an impact to future projects. Schelkoph believes the future funding from the Prairie Dog Bill will allow the city to address this overage. Schelkoph will call for a special commission meeting in June to address the Prairie Dog Bill, the future of infrastructure projects and cost ratios.
Schelkoph expects the City will be able to maintain the near term projects if the 35% or $0.32 is assessed.
Schelkoph stated since the project was first planned, properties have installed detention ponds.
Chad Petersen from KLJ reviewed the stormwater management plans from the three properties; looking at the discharge pipes and the rate of discharge flows. For Stoudt Ross Ford, Petersen recommends 61.24% reduction, Grand Stay Hotel at 15.75% reduction, USDA at 14.68% reduction.
Schelkoph stated during rain events, Wintershow Drive will flood which leads to erosion issues and stalled cars. In the past, water would drain into the former gravel pit. With the development of the area, the 18” pipe is not adequate to handle the flows. The proposed project provides a 36” pipe to handle the flows. The storm sewer will divert water to the south into the interstate right of way.
Petersen stated federal and state cost share is 45% of construction costs. For the portions in NDDOT right of way and urban road system, 80% of construction costs will be covered.
Petersen does not expect boring costs to go down with future bidding.
Commissioner Magnuson asked what the worst case scenario is if the project is delayed a couple years.
Petersen stated dollars have been planned since 2014. The City risks losing federal dollars programmed for 2019. Petersen does not foresee additional federal dollars available for this project as portions are outside urban road system.
Petersen expects availability of contractors and potential for increasing costs due to additional work available through Prairie Dog bill.
Commissioner Magnuson would prefer to reduce the cost of the projects with the Prairie Dog bill money versus additional projects.
Commissioner Bishop concerned spending money [Prairie Dog bill] that the City doesn’t have yet.
Petersen stated each time the hill washes out, there is recovery time and costs involved to VCPW.
Magnuson stated the City might be better able to handle costs further down the road.
City Auditor Richter would have $1 mil carry over and have cash flow in 2019 to cover costs of this project. Richter reported State Revolving Loan funds have been received.
Schelkoph stated this is a good plan with prices that have been confirmed, not sure if better time.
Petersen stated the cost was prohibitive to add curb and gutter on hill. Schelkoph stated VCPW has added drainage tile to address springs on 4th Avenue.
Petersen would need to review with NDDOT if federal money is available to the City.
Commissioner Powell stated if the City waits 4 years, with inflation at two percent it is still an $150,000 increase to the City.
Commissioner Magnuson wants to build up the R&R fud
Commissioner Magnuson moved to proceed forward with project, seconded by Commissioner Powell.
Roll Call: Erickson – aye; Powell – aye; Bishop – nay; Magnuson – aye; Carlsrud – aye. Motion carried.
Consider request from South Central Adult Services for $20,000 to support transit program
City Administrator Schelkoph reported budgets have been created to reflect work plans. If approved, recommends taking $20,000 from VCPW which impacts the cash reserves that have been built up for the Service Center project.
Commissioner Powell stated this is good cause, but not in budget.
Schelkoph stated the county is giving $100,000 which in essence is 25% from citizens of VC.
Commissioner Magnuson stated this is a well needed service which should be budgeted and requested during budget season.
Commissioner Erickson asked South Central Adult Services to come up with ideas to generate moneys.
President Carlsrud asked staff to offer flat budgets. Carlsrud would like to see some adjustment in transit rates.
Commissioner Bishop moved to approve, seconded by Commissioner Erickson. Motion failed unanimously.
Consider options for Valley Recycling Contract
Commissioner Erickson reported Valley City Recycling is working on business plan. Commissioner Magnuson expect recycling to stay open. Commissioner Erickson offered a possible increased cost to households. Schelkoph stated there are approximately 2400 residential VCPW accounts and 200 commercial accounts. Consensus was to review at the May 21 meeting.
Approve Emergency Repair of Standpipe Water Tower in the amount of $52,500
City Administrator Schelkoph reported the roof of the standpipe water tower fell and blew off in last storm. Reports indicate that when ice broke it broke into the water and then bobbed into the roof, breaking supports.
Schelkoph stated a temporary repair is not possible. Schelkoph recommends repairing the roof and finding a solution for the future as insurance will cover $44,000 and the City’s cost has increased with this claim.
Commissioner Erickson moved to repair with direction look at future plans, seconded by Commissioner Bishop. The motion passed unanimously.
Meeting was adjourned at 8:06 AM.
Dave Carlsrud, President of the
City of Valley City Commission
Attested to by:
Avis Richter, City Auditor
City of Valley City