The regular meeting of the Mayor and City Council of the City of Henderson, Nebraska was held at 7:30 p.m. on Tuesday, May 10, 2005 at the City Hall in Henderson, Nebraska.


            Notice of this meeting was posted at the City Hall and U.S. Post Office and published in the May 5, 2005 Henderson News.


            Mayor Lucas Epp called the meeting to order at 7:30 p.m. Roll call showed the following present: Mayor Lucas Epp and Council members: Deb Friesen, Matt Friesen, Jim Mestl and Scott Erb at 7:50 p.m. Also present was the city clerk.


            Minutes from the meetings on April 12, April 21 and April 29 were presented. Deb Friesen made a motion to approve the minutes as corrected. Jim Mestl seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen and Jim Mestl. Scott Erb - absent. Motion carried.


            Claims were presented Matt Friesen made a motion to approve the claims as presented. Jim Mestl seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen and Jim Mestl. Absent: Scott Erb. Motion carried.


            Representatives from Smith Hayes were present to discuss and review with the council the bonds for the alley project. Matt Friesen made a motion to introduce Ordinance #351, an ordinance authorizing the issuance of general obligation street improvement bonds in the amount of $176,000 and to suspend the rule of three readings on three different days. Deb Friesen seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            Matt Friesen made a motion to adopt Ordinance #351, an ordinance authorizing the issuance of general obligation street improvement bonds in the amount of $176,000. Deb Friesen seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            Scott Erb made a motion to introduce and adopt Ordinance #352, an ordinance granting to Kinder Morgan the right, permission and authority to construct, maintain and operate a gas transmission and distribution system in Henderson, Nebraska and to suspend the rule of three readings on three different days. Jim Mestl seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            After reviewing the audit performed by Mierau and Company, Deb Friesen made a motion to approve the audit report. Scott Erb seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            The lagoon and test wells were discussed. Scott Erb made a motion to accept the 3rd and 4th amendments to the original agreement for Olsson and Associates to continue the engineering on the new well search. Deb Friesen seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            The progress payment from Paulsen Inc. for the alley project was presented. Matt Friesen made a motion to accept the progress payment in the amount of $188,349.23. Scott Erb seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            The clerk presented the council with a report on the local sales tax income. Deb Friesen made a motion to set aside $75,000 for a payment towards the bond principal and to keep $60,000 in reserve. Matt Friesen seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried. Actual payment cannot be made towards principal payment until the five year period ends in March 2007.


            Jim Mestl made a motion to adopt Resolution 2005-04, a resolution creating a three year insurance commitment through LARM for a 5% discount. Matt Friesen seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            Deb Friesen made a motion to adopt Resolution 2005-05, a resolution authorizing the participation in the Community Development Block Grant Programs through the State of Nebraska Department of Economic Development by agreeing that Henderson is part of the REAP-CDBG service area. Scott Erb seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


            Matt made a motion to adjourn. Scott Erb seconded. Roll vote: Ayes - Matt Friesen, Deb Friesen, Scott Erb and Jim Mestl. Motion carried.


Connie Brown

City Clerk