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Yerington City Council Meeting December 14, 2020 at 10:00am – City Hall The regular meeting of the Yerington City Council was held in the Council Chambers and via Zoom.com due to COVID-19 and social distancing guidelines enacted by Governor Sisolak at 10:00 a.m. with the following present: Mayor John J. Garry (Council Chambers) Council Members Jerry Bryant (Council Chambers), Terceira Schunke (Via Telephone) and Shane Martin (Via Telephone) City Manager Robert Switzer (Via Zoom) Chief of Police Darren Wagner (Council Chambers) Public Works Director Jay Flakus (Council Chambers) City Attorney Chuck Zumpft (Via Zoom) City Clerk Sheema D. Shaw (Council Chambers) Deputy Clerk/Grants Administrator Angela Moore (Council Chambers) Absent: Councilwoman Selena Catalano Guests: Ms. Amy Miller, Mr. David Ray, Mr. Jim Sciarani with Sciarani & Company, Mrs. Jessica Halterman, and Mr. Scott Draper with the Mason Valley Fire Department The meeting was called to order and roll call was reported by Mayor Garry. The Pledge of Allegiance was led by Mayor Garry. Mayor Garry opened the meeting stating that the Council Chambers are now open for public gatherings and meetings. The City of Yerington is also livestreaming on Facebook. Mayor Garry stated that City Manager Switzer will be acting as the host and will accept the public into the meeting. If the public has any questions or comments, please call the front desk at (775) 463-3511 or email the City Clerk Shaw at [EMAIL REDACTED]. Mayor Garry stated that he will call each member of the Council, in order for him or her to vote on each agenda item. Public comments will be taken after each agenda item. Public Participation Mayor Garry asked for comments with a wait time of two minutes and no comments were made at this time from the public. ---PAGE BREAK--- Agenda Approval Mayor Garry stated the agenda would be approved as presented unless there are any objections or corrections. City Manager Switzer stated regarding the business license agenda item, sub-item A needs to be removed due to a payment received. No objections were made at this time and the agenda was approved as corrected with the deletion of agenda item number six, sub-item A. Minutes Mayor Garry stated the minutes of October 26, 2020 and November 9, 2020 regular meeting would be approved as presented. No objections were made at this time and the minutes of October 26, 2020 and November 9, 2020 were approved as presented. New, Renewal and Name Change Business License Applications A. Jude J. Huber dba Humboldt Lawn & Landscape, LLC, Landscape Contractor, 8355 Ryan Blvd. Winnemucca, NV 89445 - New Single Project Mayor Garry stated the business licenses would be approved as presented unless there are any objections. No objections were made at this time and the business licenses were approved as presented. Revoke Business Licenses Due to Non-Payment for the 3rd QTR July – September 2020. A. Charles Grant dba Dennick, LLC, Construction, 1502 Hussman Ave Gardnerville, NV 89410 B. Gene Aalbu dba Variety Building Systems, Contractor, P. O. Box 70034 Reno, NV 89570 C. Ricky Nuzum dba BDR Construction, Inc., General Contractor, 1450 Industrial Way Gardnerville, NV 89410 Councilman Bryant stated under sub-item B shows that the City of Yerington does not have verification that the letter was received. City Clerk Shaw stated verification of the letter could take up to fourteen days to verify. Councilman Bryant asked if the City should hold off on revocation until verification that the letter was received. City Clerk Shaw recommends to move forward with the revocation of the business license. Mayor Garry stated the revocation of business licenses due to non-payment for third quarter, July through September 2020 would be approved unless there are any objections. No objections were made at this time and the revocation of business licenses due to non-payment is approved as corrected with sub-item A removed. ---PAGE BREAK--- City Audit Report for Fiscal Year Ending June 30, 2020 as Presented by Sciarani & Company. Mr. Jim Sciarani with Sciarani & Company will make a presentation of the fiscal year audit ending June 30, 2020. Page one, two and three is an unmodified opinion and the financial position of the City of Yerington. A graph is on page seventy-seven to report the ten-year trend which includes all governmental funds in the amount of $1,660,000. The General Fund is on page seventy-eight with a nice increase of almost $300,000 and a balance of $782,668.00. On page seventy-nine explains the revenues with 2019 having an increase and 2020 with a substantial increase. On page seventeen shows the transaction activity with an excess of revenues over expenditures in the General Fund of $297,000.00, Municipal Court of $2,206.00, special revenues of $24,635.00, the Fixed Asset Acquisition Fund of $94,503.00, and a total amount of $229,629.00. Mr. Sciarani stated on pages nineteen through twenty-three shows the General Fund, ad-valorem taxes were received in the amount of $441,530.00 with $151,000.00 overbudget. Personal property tax from Nevada Copper in the amount of $89,000 adjustment. On page twenty-two, revenue in the amount of $154,000.00 was received. Mason Valley Fire Department revenue was in the amount of $89,000.00 with $166,000.00 budgeted. On page twenty is the investment earnings in the amount of $75,673.00. The ending fund balance was in the amount of $782,000.00 with the beginning balance in the amount of $485,000.00. Mr. Sciarani stated on page twenty-five is the Special Revenue Fund. Room Tax was budgeted in the amount of $75,000.00 with expenditures in the amount of $83,000.00, which was more than anticipated. The ending fund balance was in the amount of $137,447.00. On pages sixty-three and sixty-four is the Capital Improvement Projects (CIP) Fund with park income in the amount of $5,018.00 for the Animal Shelter. The expenditures include purchasing a police vehicle and an excavator with an ending fund balance in the amount of $695,788.00. On page sixty-six is the Water Fund with a revenue balance of $1,298,000.00 and an expenditure balance of $1,399,143.00, which is a negative number for employee benefits. A twenty-five percent negative adjustment was made to expenses and explains the negative expenditure. On page sixty-seven represents cash with $538,000.00 spent on preliminary engineering to Farr West Engineering, which is down $42,000.00 and is a good trend compared to how much was spent. On page seventy is the Sewer Fund with revenues at $1,058,405.00 and expenditures in the amount of $691,000.00. The change of position caused an ending fund balance in the amount of $429,726.00. Last year, the lagoon cleaning was $407,000.00 for operation and maintenance, which is not a Capital Improvement Plan. On page seventy-one is the Cash Flow Statement showing an amount of $595,698.00 spent in preliminary engineering to Farr West Engineering for sewer replacement, which was down $45,798.00. On pages eighty-three and eighty-four is the Governmental Accounting Standards, which are required and the auditor will issue a finding. The auditor did not find any findings and no significant errors were found. On page eighty-seven is to ensure the budgets were ---PAGE BREAK--- followed and if any expenditures were in violation. The General Fund was overspent and the Room Tax in the Fixed Acquisition Fund was also overspent due to additional revenue coming in. Councilman Bryant thanked Mr. Sciarani, City Clerk Shaw, and City Manager Switzer. Mr. Sciarani stated revenues over $750,000.00 would need a dual audit especially regarding the Water and Sewer Project and the Coronavirus Relief Funds. Mayor Garry stated he is grateful to Mr. Sciarani for his services. Mayor Garry stated Mr. Sciarani gave the City a good summary to review, great tools for City Council and reassurance to the public that the City is handling all affairs. Mayor Garry stated the City Audit Report for fiscal year ending June 30, 2020 presented by Mr. Sciarani would be approved as presented unless there are any objections. No objections were made at this time and the City Audit Report for fiscal year ending June 30, 2020 was approved as presented. Discussion on Spending Remaining Coronavirus Funding Received from the State of Nevada, Approximately $100,000.00. City Manager Switzer stated the City will have an excess of Coronavirus funds still remaining. The funds need to be expended or obligated in the amount of $100,000.00 of the $593,000.00 by the end of December. City Manager Switzer suggested to utilize the funds as an offset to the Police Department salaries, more specifically payroll. When the allocations and expenditures are completed, City Manager Switzer suggested to allocate the remaining funds to offset the Police Department relating to salaries. Councilman Bryant suggested to shift dollars elsewhere and shifting here and there as needed. City Manager Switzer stated this action would require another City Council approval or action. The City would augment into the General Fund and City Council would give approval moving the funds to a different fund. Mayor Garry stated if the City has the opportunity to give the funds to the Police Department, we should. If a future motion is needed, Mayor Garry stated he will approve of the motion. Approve Recommendation by the Yerington Planning Commission for a Special Use Permit Application: Pioneer Mobile Home Park, LLC has Submitted a Special Use Permit Application for APN 001-231-01 Located at 815 W. Bridge St. to Add Additional RV Spaces. City Manager Switzer stated the Planning Commission reviewed the application of the Pioneer Mobile Home Park and recommends approval of the Special Use Permit. The ---PAGE BREAK--- application stated to add additional RV spaces to APN 001-231-01 with 649,000 square feet and 14.92 acres. Under the City’s code,10.6a-4 under C1 zoning, the Special Use Permit being reviewed falls under all categories and within the process. If anyone has questions, the participant within the application is online and could answer any questions if necessary, Mrs. Jessica Halterman. City Manager Switzer recommends approval of a Special Use Permit for APN 001-231-01. Councilman Bryant asked if the commercial zoning is related to this property. Mayor Garry stated Councilman Bryant is thinking of the Snyder property. City Manager Switzer stated this property is North of Bridge Street and is not the same property from a few months back. Mayor Garry stated approval of recommendation by the Yerington Planning Commission for a Special Use Permit Application from Pioneer Mobile Home Park for APN 001-231-01 located at 815 W. Bridge Street to add additional RV spaces would be approved unless there are any objections. No objections were made at this time and the Special Use Permit from Pioneer Mobile Home Park was approved as presented. Approve a Contract with Mason Valley Janitorial for Cleaning Services for $1,800 per month at the New City Hall. City Manager Switzer stated he recommends to table this agenda item at this time. The City did receive a quote for cleaning services from Mason Valley Janitorial, which the City is currently under contract with at the current City Hall. The new quote includes the new City Hall, the Pilot’s Lounge at the Airport, and the Police Department in the amount of $1,800.00 per month. The City of Yerington did receive another verbal quote from another company, who presented a quote previously. The City reached out to the other company for another quote in order to have a comparison between the quotes. The verbal quote came in much lower than the $1,800.00 quoted from Mason Valley Janitorial. City Manager Switzer stated the City needs time to access the new quote and another recommendation may be brought to City Council for the meeting in January. Councilman Bryant made a motion to table a contract with Mason Valley Janitorial for cleaning services for 1,800.00 per month at the New City Hall, seconded by Councilman Martin absent Councilwoman Catalano. Approve Terms of Retention with Scott Shaver of Stradling, Yocca, Carlson & Rauth as Bond Council for Insurance of Interim Debentures and Water/Wastewater Revenue Bonds. City Manager Switzer stated a suggested letter of engagement for terms of retention with Scott Shaver of Stradling, Yocca, Carlson and Rauth for the process of issuing bonds and the sales of the bonds that have already taken place. Fees and costs for this, City Attorney Zumpft, fees for the issuance would be $80,000.00 and in addition could be $10-20,000.00 per USDA loan. Interim financing $160,000 potentially for the legal fees involved in this project. Underwent a similar bond sale, bond council was ---PAGE BREAK--- reimbursed a percentage of the bond sales, in this case in the amount of $34 million dollars. This would be appropriate for a bond of this issuance. Mayor is supportive of this but elaborate on why a city would elaborate why a city would present them in these types of interest. City manager bond council would be needed to issuance of bonds. Requires a level of legal review and input to protect the city and why the bonds would be issued to the public. Mayor Garry stated approval of terms of retention with Scott Shaver with Stradling, Yocca, Carlson, and Rauth as Bond Council for insurance of Interim Debentures and Water/Wastewater Bonds would be approved unless there are any objections. No objections were made at this time and the terms of retention with Scott Shaver as Bond Council for insurance of Interim Debentures for bonds was approved as presented. Review Bills Previously Submitted for Payment Bills, Salaries and Vouchers: Accounts Payable Checks 11/04/2020 32943 through 32964 11/09/2020 32965 through 32988 11/16/2020 32989 11/17/2020 32994 through 33026 11/23/2020 33027 through 33042 12/01/2020 33046 through 33062 Payroll Vouchers 11/16/2020 11192001 through 11192024 11/30/2020 12032001 through 12032020 Payroll Checks 11/16/2020 32990 through 32991 11/30/2020 33043 through 33044 Transmittal Vouchers 11/16/2020 11162001 11/30/2020 11302001 Transmittal Checks 11/16/2020 32992 through 32993 ---PAGE BREAK--- 11/30/2020 33045 Mayor Garry stated the bills previously submitted for payment would be approved as presented unless there are any objections. No objections were made at this time and the bills previously submitted for payment were approved as presented. Public Participation Mayor Garry asked for any public comments with a wait time of two minutes. Mr. David Ray asked if another meeting will be held this month. Mayor Garry stated no, City Council moved to suspend the second meeting for the month of December. No further public comments were made at this time. Department Reports City Attorney Zumpft stated he is working with City Manager Switzer regarding the Bond Council, but he will answer any questions. Chief of Police Wagner stated this time of year is very busy for the Police Department, but he is happy to answer any questions. City Manager Switzer stated in addition to the Water and Sewer Project, the City has our hands full with the new City Hall. Flooring is almost one hundred percent complete, some heating and cooling items need to be taken care of as well as the fire alarm system. City Manager Switzer wanted to conduct the meeting today in the gymnasium, which everything is in place including the sound system and appropriate distancing for all council members. The City of Yerington will move into the new, turn key facility on January 12, 2020 and the City looks forward to the move. Many items came in under budget and is moving along nicely. City Manager Switzer would be happy to entertain any questions. Mayor Garry stated City Manager Switzer showed a picture of the prefabricated restroom and he is very impressed by the building. City Manager Switzer stated this restroom is a good addition to our community. City Clerk Shaw stated she would like to remind City Council of the date of January 15th for the financial disclosures due to the State. City Clerk Shaw urged City Council to take a look at last year’s report and to be ready for the financial disclosure from Mr. Sciarani. Councilman Bryant asked if the Council packets were emailed. Councilman Bryant has no objections, but does get a little concerned and suggests to step up for City Council. Councilwoman Schunke stated the financials were not emailed. Councilman Bryant stated the packets were emailed but the financials were not. ---PAGE BREAK--- Mayor Garry stated he has much hope for the New Year. Many events are going on for the City of Yerington including the Water and Sewer Project, which the City has been working on for the last couple years. Once in the new City Hall, Mayor Garry requests to have a month or two of part time hours and encourages the public to come visit him. Mayor Garry wishes everyone to have a Happy Hanukkah, a Merry Christmas and a Happy New Year. There being no further business the meeting was adjourned. Mayor of the City of Yerington ATTEST: City Clerk of the City of Yerington