January 10, 2018 Council Meeting Minutes
Mayor: Mayor Cleo Gallegos.
Council Present: Chad Anderson, Dick Galbraith, and Joanne Justesen.
Employees Present:
Eric Christensen, Dan Bristol, Tony Morley, Ashlee Langley, and Paul Ross.
Visitors Present:
Kevin Welch, Kari Anderson, Jody Galbraith, Rose Schmitt, Rodney R. Schmitt, Michael Covington, and Fred Spence.
Welcome & Pledge
Meeting conducted by Mayor Cleo Gallegos who welcomed everyone to the meeting.
Mayor Gallegos asked City Resident Michael Covington to lead those present in the Pledge of Allegiance.
Mayor Gallegos asked the council to consider amending the agenda to include the discussion of a sweep account with First Federal Bank as line item #12A. Mayor Gallegos stated the good faith reason for the amendment is that Kevin Welch from First Federal Bank is present tonight to discuss the Fast Track Application and the City would like to be considerate of Mr. Welch’s time and allow him to present both options tonight rather than asking him to schedule another time to come back.
Motion by Joanne Justesen to approve amending the agenda to add line item #12A for the discussion of a sweep account through First Federal Bank with the good faith reason previously stated by Mayor Cleo Gallegos. Second by Chad Anderson. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye.
Discuss/Approve Minutes of the December 13, 2017 Council Meeting & Public Hearing
Motion by Joanne Justesen to approve the minutes of the December 13, 2017 Council Meeting & Public Hearing as presented. Second by Chad Anderson. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye.
Discuss/Approve Paying the Bills
Mayor Gallegos asked the council to consider the approval of a check in the amount of $1,170 made out to the College of Southern Idaho for tuition to send City Employee Brian Vail to training for the Wastewater Treatment Plant along with the list of bills tonight.
Motion by Joanne Justesen to approve the bills including a check to be made out to the College of Southern Idaho for tuition in the amount of $1,170. Second by Dick Galbraith. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye.
Accept the Minidoka County Commissioner’s Canvass of Votes & Recount
Motion by Dick Galbraith to accept the Minidoka County Commissioner’s Canvass of Votes & Recount as follows:
City Council 2 -Year Term (Vote for 1)
Heyburn #1 Heyburn #2 Absentee Voting
Rose Schmitt 139 64 8
TOTAL: 211 Rose Schmitt
City Council 4 -Year Term (Vote for 2)
Heyburn #1 Heyburn #2 Absentee Voting
Chad Anderson 121 47 8
Michael Covington 29 17 3
Dick L. Galbraith 77 29 6
Glen Loveland 72 37 3
Nile Bohon 17 10 1
TOTAL: 176 Chad Anderson
49 Michael Covington
112 Dick L. Galbraith
112 Glen Loveland
28 Nile Bohon
City Council 4 – Year Term (Recount December 18, 2017)
TOTAL: 176 Chad Anderson
49 Michael Covington
113 Dick L. Galbraith
112 Glen Loveland
28 Nile Bohon
Second by Chad Anderson. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye.
New Business
Swearing in of Council Members
City Clerk Ashlee Langley swore in newly elected council member Rose Schmitt and re-elected council members Chad Anderson and Dick L. Galbraith.
Elect Council President
Mayor Gallegos asked for nominations to elect a new City Council President.
Chad Anderson nominated Dick Galbraith.
Rose Schmitt nominated Joanne Justesen.
Joanne Justesen stated she would accept the nomination.
Dick Galbraith stated he would also accept the nomination.
Mayor Cleo Gallegos asked for a show of hands in favor of Dick Galbraith as council president.
Those in favor by a show of hands were: Chad Anderson and Dick Galbraith.
Mayor Cleo Gallegos asked for a show of hands in favor of Joanne Justesen as council president.
Those in favor by a show of hands were: Rose Schmitt and Joanne Justesen
Mayor Gallegos stated that because Dick Galbraith just finished serving as council president and it’s a two year term she cast her vote for Joanne Justesen to be the next council president.
Discuss / Approve Mini-Cassia Airport Committee Board Member
Mayor Gallegos asked for any volunteers from the Heyburn City Council to serve on the Mini-Cassia Airport Committee as a board member representing the City.
Joanne Justesen nominated Dick Galbraith to serve on the Mini-Cassia Airport Committee.
Dick Galbraith accepted the nomination.
Discuss / Approve Appointment of New Planning & Zoning Board Members
Mayor Gallegos stated she has asked Amy Despain and Glen Loveland to serve as Planning & Zoning Board members and they have accepted. Mayor Gallegos asked the council to approve the newly appointed board members.
Motion by Joanne Justesen to accept the appointment of Amy Despain and Glen Loveland to serve on the Heyburn Planning & Zoning Committee. Second by Chad Anderson. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye; Rose Schmitt – Aye.
Discuss / Approve Appointment of New Urban Renewal Member
Mayor Gallegos stated she has asked Laurel Lee Nay to serve as an Urban Renewal Board Member and she has accepted. Mayor Gallegos said she talked to Urban Renewal Chairman Dan Lloyd and he was very responsive to having Laurel Nay serve on the board. Mayor Gallegos asked the council to approve her appointment.
Motion by Joanne Justesen to approve the appointment of Laurel Lee Nay as a board member on the Urban Renewal Agency. Second by Dick Galbraith. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye; Rose Schmitt – Aye.
City Attorney Paul Ross asked the Mayor and Council to consider moving executive session down further on the agenda and allow Kevin Welch to present the Fast Track Credit Application with First Federal as well as the sweep account.
Those present agreed to move executive session further down on the agenda.
Discuss / Approve Fast Track Credit Application with First Federal Bank
Mayor Gallegos turned the time over to Kevin Welch, Vice President Business Banking Officer for First Federal Bank. Mr. Welch presented the Fast Track Credit Application with First Federal Bank to those present. Mr. Welch stated that the business credit card being proposed tonight would have a master account and would contain a limit of the cities choosing with First Federal Banks approval. Additional cards would be assigned as sub accounts and would share in the original dollar limit chosen. Mr. Welch stated the city would receive a monthly statement broken down by card number so the city would be able to tell where the card was used and for what purchase amount. The statement would be due monthly and there is no interest as long as the statement is paid in full and on time. There is an interest rate of 8.15 but there is no annual fee.
Mayor Cleo Gallegos stated that the City would be using the credit cards on a limited basis with very strict procedures in place. Mayor Gallegos stated that the city would like to assign each department a card, but the cards would remain in the city office and be controlled in the same manor the City currently controls the use of the Walmart card. Mayor Gallegos explained the issues the City has been facing when trying to book hotel accommodations and also trying to make certain purchases where paying with a check just isn’t an option.
Mayor Gallegos also asked the council to consider allowing City Clerk Ashlee Langley to setup automatic payments for the credit card to avoid ever having to pay interest.
Motion by Joanne Justesen to approve the Fast Track Credit Application with First Federal Bank requesting a credit limit of $30,000 to be allocated throughout the various city departments. Second by Dick Galbraith. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye; Rose Schmitt – Aye.
Discuss Sweep Account with First Federal Bank
Kevin Welch stated that a sweep account would be attached to the cities checking account the city would set a ceiling on the amount they would like to maintain as a balance in the account. The account would sweep excess funds nightly to a re-purpose agreement and the city would end up with collateral government securities, then the next morning the money would be swept back into the cities checking account. Mr. Welch stated the most that can be swept at this point in time would be $2,000,000. The advantages to having a sweep account would be to get a higher interest rate and government securities backing the money. Mr. Welch stated there would be a monthly fee of $60 for the sweep account.
Those present thanked Mr. Welch for the information and after discussion, decided to take some time to think about it before making a decision.
Executive Session
Pursuant to Idaho Code 74-206(1)(f) to communicate with legal counsel for the public agency to discuss the legal ramifications of and legal options for pending litigation, or controversies not yet being litigated but imminently likely to be litigated. The mere presence of legal counsel at an executive session does not satisfy this requirement.
Motion by Dick Galbraith to go into Executive Session as per Idaho Code 74-206 (1)(f) for litigation. Second by Chad Anderson. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye; Rose Schmitt – Aye.
Executive Session started at 7:53 PM and returned to open meeting at 8:56 PM.
Discuss / Approve Proposed Engagement Letters for Retaining Outside Water Counsel
City Attorney Paul Ross stated that the city is involved in current litigation that deal with purchases, transfers of water rights, but also future and pending litigation with entities that the city is involved with. Mr. Ross stated that water law is a very specialized area of law and the need to navigate these issues with specialized water counsel is felt in the best interest of the city. City Attorney Paul Ross stated that he is recommending council approval of the employment of Luke Marchant of Holden, Kidwell, Hahn & Crapo, P.L.L.C. regarding the cities general water law issues and also the employment of Christopher H. Meyer of Givens Pursley LLP for review and litigation.
Motion by Joanne Justesen to approve the proposed engagement letters retaining Luke Marchant of Holden, Kidwell, Hahn & Crapo, P.L.L.C. and Christopher H. Meyer of Givens Pursley LLP for outside water counsel. Second by Dick Galbraith. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye; Rose Schmitt – Aye.
Mayors Time & Committee Reports
Mayor Cleo Gallegos took a moment to congratulate the city council and thank them for their commitment to serve the citizens of Heyburn. Mayor Gallegos stated as Mayor and Council it is our responsibility to those who voted for us to keep pace with the times. We should not waste the opportunity before us as we continue to have a strong healthy balanced budget. As we continue to upgrade our infrastructure to accept future growth and keep our vehicle fleet and buildings in good repair, and most of all to be available and accountable for our citizens with that I congratulate all of you for your commitment and your time and everything that goes into working with the city staff. Mayor Gallegos stated she feels like we will have a great next two years.
Comments from the Public (Each person has 3 min. to comment).
Time was not given for public comments.
Motion by Joanne Justesen to adjourn the council meeting. Second by Dick Galbraith. Roll-Call Vote: Chad Anderson – Aye; Dick Galbraith – Aye; Joanne Justesen – Aye; Rose Schmitt – Aye.
The council meeting adjourned at 9:02 PM.
Cleo Gallegos Ashlee Langley
Mayor City Clerk/Treasurer