By Patrick Tepoorten

Having served at the highest level of Rush City government for 13, 11, and 6, years respectively, Mayor Mike Skalsky, and Councilors David Bengtson and Jerry Janssen attended their final meeting before handing the reins of power to the newly elected. It did provide the sitting council with the opportunity to tie up a few loose ends.

A developer's agreement for Rush Creek Estates was approved by the council. Rush Creek Estates has been discussed many times over the last year, and was most recently in the news after the city council denied Five Points Development permission to begin the construction of a small number of homes without a signed developer's agreement.

Also approved was a purchase agreement regarding a small piece of Rush Creek Estates known as Outlot B. Due to its proximity to the Rush City airport, the city's interest in Outlot B is as a buffer strip between the runway and residential neighborhoods. The agreed purchase price for the roughly 23 acres was $185,141, or $7,875 an acre. And approved two-year contract agreement between the city and Teamster's union employees will give employees a 3 percent increase in pay and benefits in 2007, with another 3.5 percent in 2008. Councilor Mick Louzek was pleased with the negotiated contract. "It is a good contract for both sides," he said, "it's win - win."

Changes to the agreement include the removal of the public works superintendent from union employ. With that, a change was made to the grievance process making the superintendent the first to receive a grievance complaint. Public works employees were also granted $1 per hour for on-call service.

Employees with 20 years of service or more were granted five weeks of vacation time per year. Previous to this contract, four weeks of vacation was the most offered.

The city's non-union employees were also given raises, commensurate with the contract terms.

City Administrator Amy Mell informed the council that insurance costs were increasing 12 percent, and that the increase prompted her to seek alternatives. She noted, however, that a possible switch in insurance carriers would not have produced viable savings.

In other city news:

• A requested expansion for Whittaker Building Restoration was approved by the council as well. Whittaker currently owns block five in the Rush City industrial park and the approval will give the business lots three and four as well. The purchase price for the two lots in $5,000 and Whitaker will be required to combine three parcels into one.

• Mell received permission from the council to make upgrades to the city telephone system. The agreed upon bid of $4,261.11, from C & G Telephone, includes the replacement of six phones and a new operation system that will give city employees access to voice mail, conference calling, and call forwarding for public works emergencies.

• A separation agreement between the city and former city administrator Daniel Hoffman was signed. Hoffman, who served the city on a part-time basis since his official resignation in July, received a clean exit audit and was awarded $12,000 in severance for his service.

• Regarding the Community Center parking lot, city engineering firm SEH received approval for a $9,300 increase for services. Mell explained that, with the problems encountered with the lot, "it drug on a lot longer than expected."

County HRA-EDA member and Rush City mayor-elect Jim Ertz informed the council that legal battles with contractors that the city did not feel met obligations is currently in arbitration. It was also noted that the increase approved for SEH could be recouped through the legal action.