County waives fees for power districts

Tuesday, February 26, 2013

McCOOK, Nebraska -- In recognition of power districts' longtime cooperation with the county, Red Willow County, Nebraska, commissioners Monday morning decided to waive a permit fee for McCook Public Power District/REA and other power districts applying to work or dig in the county's right-of-way.

Since mid-2012, commissioners have worked on and adopted a permit fee schedule and permit process which requires contractors or companies to present a written request to use the county right-of-way, a description of the work to be done and a map.

The permit process also applies to houses and/or other structures being moved over county roads.

Because MPPD/REA is so cooperative helping the county, for instance, moving power poles when it's necessary for road work, commissioners decided to waive the $500 per mile charge to occupy the county right-of-way for MPPD/REA and other power districts. The $25 per crossing charge and permit request process would remain, so that commissioners and county road crews are aware of activities on county roads.

Commissioners asked each other how they could not have thought of waiving the $550/mile fee for MPPD/REA when writing the permit process. Commission chairman Earl McNutt added, "They're the only ones who come to us with their plans."


Commissioners rethought their decision of Feb. 4 to let county employees have first dibs (by sealed bids) at surplus county property not accepted by the High Plains Historical Society in McCook, and decided instead to put the items on a public consignment auction.

McNutt said he had heard from several taxpayers (who are not county employees) who would like the opportunity to look at and purchase items not selected by the historical society because "they, as taxpayers, have paid for them."

Board members of the historical society accepted an attorney's table, two stools, a barrister's bookcase, court reporter's notebooks (written in shorthand), light fixtures and glass globes and twin oak filing cabinets -- the more aged and historically significant items on the list of surplus property.

The surplus list still includes metal filing cabinets, metal typewriter tables, a small wooden desk and a silver-painted cabinet with a lid and legs.


Ron Nealeigh of Trenton explained to commissioners "LegalShield," offering county employees unlimited attorney access and identity theft protection, monitoring and restoration services.

The pre-paid legal plan is $15.95 a month and the identity theft shield is $12.95. Nealeigh explained that both packages would cost an employee $25.90 per month. The service is paid for entirely by the employee, not as an employee benefit with county tax money, and can be an automatic withdrawal from paychecks, McNutt said.

If the employee leaves the county's employ, the service can go with him/her, Nealeigh said, but the program does not allow the services (such as the legal services) to be used against the county.

McNutt, county clerk Pauletta Gerver and Nealeigh will work together to schedule informal seminars for county employees. Nealeigh said, "If they listen, they'll like it. They'll see that they can benefit from the services."


Rex Nelson, who administered the county's revolving loan fund through the McCook Economic Development Corp., submitted a request for $13,842 to cover the MEDC's administrative expenses in operating the loan fund since 2000.

Red Willow County's and other county's Community Development Block Grant loan funds are being returned to the Nebraska Department of Economic Development at the request of the DED.

The county started its revolving loan program in 1998, funding it with the payments made by the two McCook-area dairies built with loans from the federal government's Housing and Urban Development (HUD) Community Development Block Grant (CDBG) Program. As the dairies made payments to the county, the county made low-interest loans to existing local businesses or to new small businesses promising to create jobs.

The MEDC took over administration of the loan program for the Red Willow County on Dec. 19, 2000.

In June 2012, Nelson and commissioners agreed that the loan process was requiring more scrutiny, compliance, paperwork and cost, and, by returning the loan fund proceeds to the state, got out of the loan business. "The cost of compliance is getting completely out of hand," Nelson said. He estimated administrative costs at 9 percent of each loan.

Because the lending and monitoring of what was originally and is ultimately federal money has become much more complicated over the years and because compliance with federal lending regulations has become a much tougher issue, commissioners authorized the return of the county's loan fund to the DED.

As of Dec. 31, 2012, the fund's ending balance is $276,805.85.

McNutt said the MEDC's request of $13,842 "is a minimal amount for the work you've done through the years," adding that administrative costs and their payment from the fund should have been outlined "from the very beginning." Nelson said, "That's why you charge interest on loans -- to pay the cost of administrating the loans."

Commissioners unanimously approved a resolution to pay the MEDC the requested amount.


Commissioners discussed a letter from McCook National Bank in support of retaining the Red Willow County Health Department because of the health department staff's help with flu shot and breast exam clinics for bank employees, and for the staff's courtesy toward and concern for the health and welfare of county citizens.

Commissioners are considering consolidating the county's health department with the Southwest Nebraska Public Health Department, also based in McCook. The county health department is run with county tax money -- $170,219 in 2012-2013, not including health insurance for employees. SWNPHD is run with federal funds from the 1998 Tobacco Master Settlement Agreement (MSA) between the four largest U.S. tobacco companies (Philip Morris Inc., R. J. Reynolds, Brown & Williamson and Lorillard, also called the original participating manufacturers or the OPM) and the attorneys general of 46 states, including Nebraska.

In the MSA, the original participating manufacturers (OPM) agreed to pay a minimum of $206 billion over the first 25 years of the agreements, as well as to pay, in perpetuity, various annual payments to the states to compensate them for some of the medical costs of caring for persons with smoking-related illnesses.

Commissioner Vesta Dack said she has support from county constituents who fear the loss of services for county constituents if the county health department closes. Fellow commissioner Steve Downer said he has just as much support for eliminating the county health department and its costs.

McNutt said commissioners are awaiting a proposal from the SWNPHD regarding what services it can assume and its costs to constituents.

"We need a decision before the end of this fiscal year," McNutt said.

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