GOODLAND CITY COMMISSION

Regular Meeting

November 17, 2025                                                                                                              5:15 P.M.

Vice-Mayor J. J. Howard called the meeting to order with Commissioner Ann Myers, Commissioner Sarah Artzer and Commissioner Brook Redlin responding to roll call.  Mayor Jason Showalter was reported absent.

Also present were Dustin Bedore – Director of Electric Utilities, Jason Erhart –Chief of Police, Joshua Jordan – IT Director, Kenton Keith – Director of Streets and Facilities, Neal Thornburg – Director of Water and Wastewater, Danny Krayca – Director of Parks, Zach Hildebrand – Code Enforcement/Building Official, Jake Kling – City Attorney, Mary Volk – City Clerk and Kent Brown – City Manager.

PUBLIC COMMENT

CONSENT AGENDA

  1. 11/03/25 Commission Meeting Minutes
  2. Appropriation Ordinances: 2025-22, 2025-22A and 2025-P22

ON A MOTION by Commissioner Artzer to approve Consent Agenda seconded by Commissioner Myers.  MOTION carried on a VOTE of 4-0. 

ORDINANCES AND RESOLUTIONS

  1. Ordinance 1806: An Ordinance Authorizing and Providing Issuance of General Obligation Bonds, Series 2025, of the City of Goodland – Kent stated, ordinance is authorizing the issuance of general obligation bonds.  We received four bids which have been presented to commission.  These were good bids, with a winning bid at 3.7614% for $6,500,000 issue.  There are $3,000,000 in interest over life of bond.  Winning bidder was BOK Financial Securities of the Bank of Oklahoma.  Kevin Cowan, Bond Attorney, indicated this was a very good bid.  Bids have been higher in recent past and within last month the rate was 3.9%.  This bid was even lower.  Staff recommends accepting the bid and approving the ordinance and resolution for the bonds.  Language for ordinance regarding bond sale has been updated in the documents by bond counsel.  Commissioner Myers asked, what is the bond issue for?  Kent stated, this is for the 8th Street Improvement project.  The sales tax monies we have started collecting will pay-off bonds.  They included the bond schedule; we are borrowing an additional $140,000 that we may need to cover increasing construction costs.  If we do not use the money, we will apply to pay off.  Commissioner Artzer asked, is interest rate set?  Kent stated, the schedule shows the average interest over the 20-year life of bond.  The first opportunity to call bonds to refinance is after the 7th year, if the rates decrease and we see savings.  ON A MOTION by Commissioner Redlin to approve Ordinance 1806: An Ordinance Authorizing and Providing Issuance of General Obligation Bonds, Series 2025, of the City of Goodland seconded by Commissioner Myers.  MOTION carried on a VOTE of 4-0.
  2. Resolution 2025-31: A Resolution Prescribing the Form and Details of and Authorizing and Directing the Sale and Delivery of General Obligation Bonds, Series 2025, of the City of Goodland, Kansas – ON A MOTION by Commissioner Redlin to approve Resolution 2025-31: A Resolution Prescribing the Form and Details of and Authorizing and Directing the Sale and Delivery of General Obligation Bonds, Series 2025, of the City of Goodland, Kansaswith BOK Financial Securities of the Bank of Oklahoma seconded by Commissioner Artzer.  MOTION carried on a VOTE of 4-0.
  3. Resolution 2025-32: Unfit Structure 216 E. Hwy 24 Lot D5 to Set Public Hearing – Zach stated, I was called to this property with the Police Department and DCF.  I was working with property owners to get property cleaned up but it has been over a month and one-half with no progress.  The trailer is not fit for living conditions and we cannot allow anyone to reside in property.  There is no running water in the trailer.  The trailer park owner and property owner are aware the property is proceeding to public hearing for being unfit.  We need to get trailer cleaned up and make it habitable.  This is one of the nicer trailers in the park.  ON A MOTION by Commissioner Redlin to approve Resolution 2025-32: Unfit Structure 216 E. Hwy 24 Lot D5 to Set Public Hearing seconded by Commissioner Myers.  MOTION carried on a VOTE of 4-0.

FORMAL ACTIONS

DISCUSSION

  1. Waterworth Utility Rates – Aryan Chawla from Waterworth stated, I have worked with staff evaluating water and electric rates.  Waterworth works with municipalities to balance expenses and revenues to ensure rates are sufficient to cover expenses.  Starting with the water utility, we look at the baseline from three categories: revenue requirements, revenue and cash positions.  We looked at water expenses for past years and current budget year, then include debt service and deposits to CIRF and MERF for future capital improvements.  Looking at revenue collected from sales, other revenues and CIRF and MERF deposits for expenses, we notice the cash balance decreases over the years because rates are not adjusted for increased operating expenses and deposits for capital improvement projects.  You do not want cash to go below $0, plus need to stay above three-month emergency operating cash balance.  Kent stated, his recommendation is to increase water rates 2% to stop the decline and manage deposits in CIRF and MERF.  The recommendation will need to be followed up on next year to ensure we stop bleeding reserve funds.  Aryan stated, if you take money away from CIRF and MERF you will not have sufficient money to complete future projects.  We propose an increase in the meter charge and 2% on usage.  The meter charge increase is based on meter size.  Kent stated, the proposed usage rate changes from $1.40/100 cubic feet (CF) to $1.45/100 cubic foot (CF) for first 4,000 CF; $1.70/100 CF to $1.75/100 CF for 4,000 to 10,000 CF; then to encourage conservation, any usage over 10,000 CF is $2.20/100 CF.  About 1% of your customers fall in this class.  There are 91% of your users in first tier, with 8% in second tier.  The highest tier is 1% of your customers but 11% of your usage, so trying to promote conservation.  Understand this usage is during the summer or hot months and the State is putting additional regulations on water usage.  Aryan stated, the Commercial variable rate is $1.275/100 CF.  When reviewing electric funds, again we look at baselines.  You have the base rates, then the OCA which is a rider adjusting for increased costs.  The OCA has been effective to manage rates and pay costs.  Kent stated, the key issue with OCA is it is calculated on monthly costs and when costs increase that is an adder on the utility bills.  Dustin has discussed with the commission how costs continue to increase.  Inflation for electric materials and supplies is much more than stated inflation rate.  In 2025 there has been an OCA nine out of the ten months.  Previous years it was a lot less.  It is expected to continue in future.  It is a difficult conversation because unexpected costs of utility are passed on in OCA.  It does not just relate to power purchase, but all monthly expenses.  In our proposal, we are proposing to change the OCA to only apply to power purchased. The OCA is about 25% of utility revenue.  Aryan stated, the recommendation is to eliminate OCA but increase base rate 25% to make up for OCA revenue.  The budget is about $6,800,000 and expect with this rate increase you will reach that goal.  The bills will not increase by 25% because you will not have the OCA.  People will be able to anticipate their bills with increase.  With this rate, everyone pays same.  In proposed rate structure, we have increased both the base rate and usage rate by customer class.  There are two proposed versions for a rate change.  The first is increase bills 25% which does not change final bill because customers are already paying rate in OCA.  The other proposal is changes by tiers, not every tier is same rate change.  Vice-Mayor Howard stated, I do not like raising rates but costs are increasing.  Kent stated, the change we are looking at is keeping revenue as it is now, just simplifying without OCA.  This spreads OCA over 12 months instead of months costs are higher.  It would take an ordinance change to change OCA charge.  The KMEA rate study presented a few months ago showed the city was between rates for Evergy and Wichita.  Power is going to become more expensive.  We do the best we can but we want to make it simple for the public.  The OCA makes it very difficult to determine if hitting revenue targets in order to meet system needs.  Commissioner Redlin stated, this is more pro-active then reactive.  Aryan stated, yes.  Vice-Mayor Howard stated, all departments should be self-sufficient and cannot lose money.  We cannot raise labor rates but have to raise the rate on our product.  Aryan stated, I have been working with many communities on electric.  For Goodland the situation is the OCA is capturing additional costs.  Most municipalities use a power cost adjustment as a means to manage excess power costs.  Kent stated, once staff presents ordinance for rate changes, we want to review results and have a similar presentation in a year for commission to stay on top of information.  Vice-Mayor Howard thanked Aryan for his assistance.  

REPORTS

  1. City Manager – 1.  Manager memo is in the packet.  2. October month end financial report and the police monthly activity report are in the packet.  3.  I would like to recognize Tyrell Becvar, employee at Power Plant, who attended a Fairbanks Morse class on engines at plant.  Tyrell stated, the class was in Beloit Wisconsin.  I attended Fairbanks Morse class for piston engine and it was a good trip.   The first week was mainly hands on training and testing.  Due to the government shutdown, I stayed a second week to disassemble a piston of the engine.  The school shed a lot of light on how these big engines work.  I learned a lot, enjoyed the training time and thank the city for allowing me to attend.  Dustin stated, we are fortunate to have employees like Tyrell.  The second week was a $3,000 cost we received free because of government shutdown.  He scored 97 on his test, getting only one problem incorrect.  It was a good experience for him.  Commission thanks Tyrell for representing Goodland.  Tyrell stated, two pictures of the Goodland Power Plant hang in the Fairbanks Morse facility in Beloit, WI.  4.  Kent stated, I attended KMEA conference last week.  They recognized Dustin at the conference with the Gilbert E. Hansen-Outstanding Service Award.  Dustin stated, attending the meetings for years, there are many high-end people accepting these awards.  To get the award it was very special.  A great award for not only me but the City of Goodland who I am representing on the executive committee.  Vice-Mayor Howard stated, we appreciate what you do running our business. 
  2. City Commissioners

Vice-Mayor Howard – 1. Thank all city employees for what you do.  It takes a team.

Commissioner Artzer – 1.  No Report 

Commissioner Myers – 1.  No Report 

Commissioner Redlin – 1.  No Report 

EXECUTIVE SESSION

  1. EXECUTIVE SESSION – Under the Authority of KSA 75-4319 (b) (1) for personnel matters of non-elected personnel – Vice-Mayor Howard made a motion at 6:36 p.m. to recess into executive session under authority of K.S.A.75-4319 (b) (1) to discuss personnel matters of non-elected personnel not to exceed five minutes.   I request only City Commission and City manager be present.  Commissioner Redlin seconded the motion.  MOTION carried by a VOTE of 4-0.  Meeting resumed at 6:41 p.m.

ADJOURNMENT WAS HAD ON A MOTION BY Commissioner Redlin seconded by Commissioner Myers.  Motion carried by unanimous VOTE; meeting adjourned at 6:41 p.m.  Next meeting is scheduled for December 1, 2025.

_____________________________

ATTEST:                                                                               J J Howard, Vice-Mayor

_______________________

Mary P. Volk, City Clerk

Leave a Reply