Regular Meeting

City of Elko ) County of Elko ) State of Nevada ) SS March 24, 2026 The City Council of the City of Elko, State of Nevada met for a regular meeting beginning at 4:00 PM, Tuesday, March 24, 2026. The meeting was held in the council chambers, 1751 College Ave., Elko. This meeting was called to order by Mayor Reece Keener. The public can watch the meeting by phone, tablet, laptop, or computer by going to the link provided on the agenda. Questions can be sent to cityclerk@elkocitynv.gov. I. CALL TO ORDER The Agenda for this meeting of the City of Elko City Council has been properly posted for this date and time in accordance with NRS requirements. II ROLL CALL . Present: Chip Stone, Councilman Reece Keener, Mayor Clair Morris, Councilman Giovanni Puccinelli, Councilman Marissa Lostra, Councilwoman City Staff Present: Jan Baum, City Manager Dale Johnson, Assistant City Manager Dave Stanton, City Attorney Jim Kerr, Utilities Director Andrew Storla, Water/Sewer Superintendent Paul Algerio, Public Works Jim Foster, Airport Manager Justin Alanis, Facilities Superintendent James Johnston, Fire Chief Kyle Ward, Police Chief Annette Robinson, City Clerk Cathy Laughlin, City Planner Ralph Negron, Development Manager Julie Davis, Financial Services Director Candi Quilici, Accounting Manager James Wiley, Parks and Recreation Director Jeff Ford, Building Official Sarah Schick, Civil Engineer Alyssa Mangum, Animal Shelter Manager Joel Finley, Deputy Fire Chief March 24, 2026 City Council | Minutes Page 1 of 22  Sarah Khouangrasvongsay, City Clerk Technician I Shane Daz, Police Lieutenant III. PLEDGE OF ALLEGIANCE IV. COMMENTS BY THE GENERAL PUBLIC Pursuant to N.R.S. 241, this time is devoted to comments by the public, if any, and discussion of those comments. No action may be taken upon a matter raised under this item on the agenda until the matter itself has been specifically included on a successive agenda and identified as an item for possible action. ACTION WILL NOT BE TAKEN Annette Kerr, Executive Director of the Elko Convention and Visitors Authority, at 700 Moren Way, invited the Mayor and City Council to attend the upcoming Rural Roundup, noting that it was the first time the convention had been held in ten years. She explained that the event brought together counties from across Nevada to discuss tourism and its economic impact on cities and counties. Kerr emphasized the importance of tourism to local economic development and encouraged council members to participate. She noted that the Mayor Reece Keener and Commissioner Delmo Andreozzi were scheduled to speak at the opening reception and that Chairman Chip Stone had also agreed to attend. Kerr stated that approximately 250 attendees were expected and described planned activities, including leather making, a mine tour, paella and soap making, and a Pony Express exchange. She concluded by encouraging attendees to register online. A copy of the presentation is in the minutes packet. Mayor Keener announced that the candidate field for the upcoming election had been set, with three mayoral candidates and six candidates running for two City Council seats, and invited any candidates present to introduce themselves and explain why they were running. Walter Fick, City Council Candidate, introduced himself as a local prosecutor from the DA’s office, running for office to promote affordability for families, support small businesses, and strengthen public safety. He identified permitting delays as a key frustration and emphasized the need to streamline city processes. Fick stated that Elko was poised for growth due to strong gold prices and regional expansion and stressed the importance of managing that growth responsibly to ensure affordable housing and business opportunities. He also highlighted serious crime issues in Elko, including violent crime and racketeering, and called for adequate police funding, a fully staffed narcotics unit, and improved resources. He shared his background and commitment to Elko as his home and said he was running to ensure the city remained a strong community in the future. Jim Winer, City Council Candidate, introduced himself and described his 35 years in Elko working in real estate, development, including commercial, industrial, and housing projects. He stated that he had retired after selling his company but continued to serve the community in various roles. Winer emphasized the importance of economic growth, service, and community involvement, noting his desire to give back and encourage others to serve their community through their time and talents. Luke Fitzgerald, local contractor, addressed the Council and shared a recent permitting experience. He stated that three of the four reviewing departments completed their reviews within one day and that March 24, 2026 City Council | Minutes Page 2 of 22 staff worked collaboratively to address comments and redline plans for resubmittal to the Building Department. Mr. Fitzgerald expressed appreciation to Dale, Cathy, Sarah, and Jim for their assistance and noted that the experience gave him encouragement that the City was making progress toward streamlining permitting and supporting community development. Councilmember Marissa Lostra reported that she had met with the Building Department during the previous week, along with Jan, Dale, and Jeff, to review processes, key initiatives, and potential improvements. She stated that the meeting included discussion of small tweaks and solutions aimed at further streamlining permitting and development processes and improving efficiency for applicants submitting plans and permits. Lostra praised staff for the progress made to date and emphasized the importance of continued collaboration and communication among departments, builders, and the public. She noted that the positive feedback provided earlier by Mr. Fitzgerald reinforced that the City was on the right path and expressed optimism about continued improvements within the Building Department. Randy Ridgway, City Council Candidate, stated that he was born and raised in Elko and had seen the City’s growth over his lifetime. He expressed support for continued, responsible growth focused on small businesses, public safety, and police services rather than overdevelopment. Councilmember Giovanni Puccinelli stated that all candidates appeared to share a common goal of promoting economic growth in Elko, while emphasizing that such growth should be responsible. He expressed support for continued efforts to streamline the Building Department and highlighted the need to focus on affordable housing. Councilmember Puccinelli noted that not all residents work in the mining industry and that many cannot afford homes priced around $450,000. He encouraged efforts to increase housing options in the $250,000 to $300,000 range. Councilmember Lostra stated that increased housing inventory was needed to support the community and emphasized the importance of affordable housing. She noted that affordable housing was a multi- level and multi-faceted initiative and that steps were being taken to address it. Councilmember Lostra reported that she had met earlier that day with members of the City’s state legislative team to discuss working with legislators on more immediate, non-congressional solutions to address local housing supply and demand challenges. Mayor Keener called for final public comment. Councilmember Chip Stone stated that he was running for reelection after nearly eight years of service on the City Council. He expressed appreciation for the opportunity to serve the community and highlighted his work with the Animal Shelter, ECVA (Convention Center), Fire Department, Fairgrounds, and Parks and Recreation. Stone expressed support for the discussion of affordable and attainable housing and noted the importance of creating pathways for residents to achieve homeownership, including support from local mortgage professionals. He commented positively on the strong number of candidates running for office and thanked everyone for their involvement, noting the upcoming election in November. Mayor Keener stated that the City Council would likely look different in the coming year due to upcoming elections and noted that change was positive. He expressed appreciation for the strong field March 24, 2026 City Council | Minutes Page 3 of 22 of candidates, thanked those who had stepped forward to serve, and wished all candidates well in the election process. Rural Roundup 2026 V. CONSENT AGENDA A. Approval of Minutes for the February 12, 2026, Special Session. FOR POSSIBLE ACTION B. Approval of Minutes for the March 10, 2026, Regular Session. FOR POSSIBLE ACTION C. Review and possible action to authorize City Staff to give a Landfill voucher to adult volunteers that participate in the “Clean Up Green Up”, and matters related thereto. FOR POSSIBLE ACTION Background Information: This year's "Clean Up Green Up" is scheduled for Saturday, April 25, 2026. In the past, the City Council has provided one voucher to each adult volunteer that was engaged in the cleaning of public property/right-of-ways. The voucher concept was very popular with the volunteers and affords them the same opportunity to remove waste from their personal property and dispose of it without having to pay a tipping fee at the Landfill. In order to provide the volunteers, the same opportunity as other citizens, these vouchers would be good for one day and expire on May 2, 2026. SF ** A motion was made by Councilmember Stone, seconded by Councilmember Puccinelli to approve the consent agenda as written. The motion passed unanimously. (5-0) VI. PRESENTATION A. Reading of a proclamation by the Mayor in honor of James "Jim" Conner former council member and matters related thereto. INFORMATION ONLY, NON-ACTION ITEM. Mayor Keener recognized the passing of former Councilmember James “Jim” Conner and spoke about his significant contributions to the City of Elko and the community. He noted that Conner moved to Elko in 1982 and, along with his wife and the Lions Club, helped establish the Nevada Day Parade. Mayor Keener highlighted Conner’s long-time service on the Parks and Recreation Board, his involvement in numerous community activities, and his active participation in St. Joseph’s Catholic Church and the Knights of Columbus. He expressed that Conner would be greatly missed for his positive outlook and willingness to serve and invited his daughter, Sara, to come forward before reading the proclamation. Mayor Keener read the proclamation, a copy of which is included in the minutes packet. Sara Conner Cothrun, daughter of former Councilmember James “Jim” Conner, thanked the Mayor and Council for the recognition. She stated that her father deeply loved Elko and considered it his March 24, 2026 City Council | Minutes Page 4 of 22 hometown despite being from Carson City. She shared that he dedicated his efforts to improving the community for everyone and preferred to work quietly behind the scenes. Ms. Cothrun expressed appreciation for honoring both her parents and stated that the Nevada Day Parade would continue in their memory. James Wiley, Parks and Recreation Director, stated that he had known former Councilmember James “Jim” Conner throughout his career and worked closely with him through Parks and Recreation. He noted that Conner was a longstanding liaison to the department and a member of the Parks and Recreation Advisory Board. Wiley emphasized that Conner was a dedicated and unwavering advocate for a recreation center in Elko and expressed appreciation that Conner was able to see the project completed before his passing. Councilmember Stone shared that he had the opportunity to visit with former Councilmember James “Jim” Conner shortly before his passing. He remarked that the conversation was especially meaningful and described Conner as a great man who remained devoted to his late wife. Stone expressed his condolences to the family and offered his blessings. Councilmember Morris stated that although he did not work in the same agency as former Councilmember James “Jim” Conner, they worked closely together when Conner served as a bailiff and he was with the Sheriff’s Office. He described Conner as consistently cooperative and professional during high-risk inmate transports, ensuring situations were handled discreetly and safely. Councilmember Morris expressed appreciation for Conner’s willingness to help, positive attitude, and dedication to public safety. B. Reading of a proclamation by the Mayor in recognition of the retirement of Congressman Mark Amodei and matters related thereto. INFORMATION ONLY, NON-ACTION ITEM. Mayor Keener stated that he had previously presented the proclamation to Congressman Amodei at the Lincoln Day Dinner and read it into the record. A copy of which is included in the minutes packet. C. Reading of a proclamation by the Mayor in recognition of the celebration of the 100th Anniversary of the Pasco-Boise-Elko Air Mail Route and matters related thereto. INFORMATION ONLY, NON-ACTION ITEM. Mayor Keener read the proclamation, a copy of which is included in the minutes packet. Mayor Keener invited Jim Foster to provide comments regarding the planned April 6th event commemorating the anniversary. Jim Foster, Airport Manager, reported that a ceremony was planned for April 6 at 8:00 a.m. at the airport terminal to commemorate the 100th anniversary of the Pasco–Boise–Elko airmail route. He stated that the proclamation would be part of the ceremony and that Jan Peterson would provide additional historical context. Foster noted that exhibits would be added to the airport’s museum and that coordination was underway with groups in Pasco and Boise for related events. He explained the historical significance of the route, including its role in the development of commercial aviation and United Airlines, and invited the public to attend. March 24, 2026 City Council | Minutes Page 5 of 22 Mayor Keener commented that, given current TSA disruptions nationwide, there had never been a better or less stressful time to fly out of the Elko Regional Airport. Mr. Foster stated that being recognized as the least stressful airport in America contributed to an easy and efficient TSA process. He noted that passengers experienced smooth screening and that the Elko Regional Airport had avoided the service disruptions occurring elsewhere in the country. Councilmember Stone asked whether TSA employees were currently being paid. Mr. Foster stated that, to his knowledge, TSA employees had not received compensation and reported that he had spoken with them earlier that morning about the situation. D. Presentation by Chief Ward on the City of Elko Police Department's proposed purchase plan for 14 new vehicles and matters related thereto. INFORMATION ONLY, NON- ACTION ITEM Chief Kyle Ward provided background on the proposed vehicle purchase plan, noting that staff had worked to identify cost effective options to increase vehicle availability and reduce maintenance costs. He stated that Lt. Shane Daz would present further details on the analysis, community benefits, and response improvements. A copy of the presentation is included in the agenda packet. Lt. Shane Daz presented a proposal to transition the Police Department to a take home vehicle program. He explained that shared patrol vehicles were operated nearly 24/7, resulting in excessive mileage, maintenance issues, and higher costs. He reported that the department currently operated approximately 14 patrol vehicles and purchased four new vehicles annually at significant expense. Daz recommended leasing 14 additional vehicles to expand the fleet and allow each patrol officer a take home unit, citing cost savings over five years, improved emergency response times, enhanced neighborhood visibility and crime deterrence, increased officer accountability for vehicle care, and improved recruitment and retention compared to neighboring agencies. Mayor Keener asked Lt. Daz how many patrol vehicles were currently in the fleet and what the total number would be with the proposed additions. Lt. Daz stated that he could not provide the current total number of patrol vehicles at that time. He explained that some vehicles were not operational due to prior canine units being replaced with F 150 trucks because of ongoing maintenance issues. He noted that the department also operated unmarked vehicles, school resource officer vehicles, and vehicles assigned to command staff, and stated that he would provide the total number at a later time. Mayor Keener asked for clarification on the current baseline number of patrol vehicles and whether the proposed 14 vehicles would replace existing units. Lt. Daz clarified that the proposed 14 vehicles would not replace existing units but would be added to the police fleet. March 24, 2026 City Council | Minutes Page 6 of 22 Mayor Keener asked whether the five-year cost comparison assumed that none of the vehicles included would be replaced during that period. Lt. Daz stated that, due to mileage, the vehicles would likely need replacement in three to four years, at which time the department would transition to the proposed lease program, with anticipated cost savings realized over five years. Mayor Keener asked about the length of the warranty period associated with the lease. Lt. Daz stated that the vehicles would be leased for five years with a five-year warranty covering major repairs through Gallagher Ford. He explained that the department planned to standardize on F 150s due to ongoing mechanical issues with Dodge Durango’s and noted that, at the end of the lease term, the vehicles could be traded in for replacement units. Mayor Keener asked how officers who lived long distances from Elko, such as in Lamoille or Carlin, would be accommodated in the take home vehicle program given the increased mileage associated with daily commuting. Lt. Daz stated that staff had discussed setting a mileage radius for take-home vehicles and noted that officers living outside the designated area, such as in Lamoille, would not be eligible and would be required to leave their vehicles at the police department. Councilmember Stone asked what mileage radius was being proposed for the take home vehicle program. Lt. Daz stated that the proposed mileage radius for the take home vehicle program had been discussed as being between 20 and 30 miles. Chief Ward stated that a 25-mile take-home vehicle radius was standard practice to improve response times during critical incidents. He explained that vehicles were for official use only and limited to travel to and from work, with any unauthorized use subject to review. He noted that the proposed radius could extend up to 30 miles at most. Mayor Keener asked whether the five-year warranty included a mileage cap or would expire after a certain number of miles. Chief Ward stated that he had spoken with a representative from Bancorp and confirmed there was no mileage cap on the five-year warranty. He explained that estimated commute mileage was not expected to affect coverage, as vehicles were used only for travel to and from work and not for other purposes. He noted that unlike unmarked vehicles used for investigative work and countywide responses, the take home vehicles would be limited to patrol functions only. Mayor Keener asked whether additional vehicles would be required if current patrol vacancies were filled. March 24, 2026 City Council | Minutes Page 7 of 22 Lt. Daz explained that the request for 14 vehicles was intended to ensure there were enough patrol vehicles for all officers. He stated that the department also maintained spare vehicles used for training purposes, such as EVOC, which could serve as temporary replacements while assigned vehicles were undergoing maintenance or were otherwise unavailable. Councilmember Lostra asked about the impact of the take home vehicle program on insurance costs, specifically whether insurance would increase when vehicles were taken home compared to being left at the station between shifts. Julie Davis, Financial Service Director, stated that additional information could be provided regarding insurance costs. She explained that insurance audits assets the following year, so insurance expenses for the vehicles would not impact the budget until FY28. She noted that the preliminary estimate was approximately $750 per vehicle and that staff would confirm whether take-home use would affect that amount. Councilmember Lostra asked whether maintenance costs were considered as an offset in the vehicle proposal, noting that while mileage would increase, newer vehicles might reduce overall maintenance expenses. Lt. Daz explained that maintenance costs had been reviewed with the Fleet Department and that purchasing oil change warranties was more expensive than handling maintenance in house. He stated that oil changes would cost approximately $100, or about $25 per vehicle with parts, and noted that major maintenance issues with the current Durango’s were covered under warranty, though concerns remained once those warranties expired. Councilmember Lostra asked whether the Police Department had a plan to address vehicle maintenance for take home vehicles, including how maintenance would be handled during days off or shift changes. Lt. Daz explained that officers worked rotating schedules and that Fleet tracked vehicle mileage through fuel usage. He stated that when maintenance was due, Fleet notified officers by email, officers left the vehicles at the station during extended time off, and Fleet staff retrieved the vehicles to complete maintenance. Councilmember Stone asked whether officers were considered on the clock while traveling from home to work under the take home vehicle program and how drive time would be treated. Lt. Daz stated that under the federal Portal to Portal Act, officers were not compensated for drive time. He explained that officers began receiving pay at the start of their scheduled shift and that drive time remained unpaid unless officers encountered a situation requiring enforcement action, at which point compensation would apply. Councilmember Stone asked whether officers would be considered on the clock when leaving their homes at 7:00 a.m. under the take home vehicle program. March 24, 2026 City Council | Minutes Page 8 of 22 Lt. Daz stated that details regarding shift start time were still being worked out. He explained that officers could begin their shift and receive pay at 7:00 a.m. for shift briefing, and that if officers were required to report earlier, they would need to be compensated for that time. Councilmember Stone clarified that officers living in Lamoille who were scheduled for a 7:00 a.m. meeting would not be compensated for additional drive time, as commute time would remain unpaid unless enforcement action occurred. Lt. Daz stated that officers would not be compensated for drive time, citing federal laws that prohibited compensation unless officers encountered a situation requiring enforcement action. Mayor Keener thanked Lt. Daz for the presentation and asked whether there were any questions from the public. Mr. Fick provided public comment regarding the proposed take home vehicle program. He stated that crime often occurred around shift change times and referenced a prior active shooter incident that occurred near 7:00 a.m. Fick explained that Elko operated with four 12-hour patrol shifts, compared to larger agencies such as Las Vegas Metro, which used shorter shifts with paid transition time. He noted that Elko’s model allowed more officers on patrol but created vulnerabilities during shift change. Fick stated that keeping equipment in take home vehicles could reduce unpaid transition time and allow officers to return to patrol more quickly, improving coverage during those critical periods. E. Presentation, consideration and direction to staff regarding the draft budget for the year ending June 30, 2027, and matters related thereto. FOR POSSIBLE ACTION Budget discussion and workshop for the Fiscal Year 2027 budget. Staff are seeking direction from the City Council for preparation of the Tentative Budget, which will be presented to Council for approval on April 14, 2026, for a due date of April 15, 2026, to the Nevada Department of Taxation. Further input can be provided at that time, for preparation of the Final Budget. Final budget is due to the Nevada Department of Taxation by June 1st. JD Ms. Davis presented an overview of the FY27 budget draft and outlined the budget development schedule. A copy of the presentation is included in the agenda packet. She reported that departments had submitted initial requests and that year end spending through June would continue to be reviewed before final adoption in April. She stated that the budget was prepared using a 2.5% CPI increase for non-represented employees, with additional decisions needed by April 14th, and noted that community donations and capital equipment requests would be reviewed later in the presentation. Ms. Davis explained that wages and PERS costs represented approximately 60% of the General Fund budget and identified a potential future need for three additional firefighters to maintain service levels. She reviewed Ad Valorem tax assumptions, reporting an estimated $10.2 million in city revenues and noting continued volatility in C-Tax revenues, which were estimated to be 3% lower than FY24. She reviewed long term trends showing average C-Tax growth of 3.55% over ten years and emphasized the importance of monitoring labor costs for fiscal sustainability. Davis reported that General Fund revenues and expenditures were closely aligned for FY25 and FY26, with a slight March 24, 2026 City Council | Minutes Page 9 of 22 decrease in fund balance projected. She noted that budgeted expenditures reflected full staffing assumptions and that recent savings resulted from vacant positions, a mild winter, reduced ARPA spending, and fewer retirement payouts. Ms. Davis summarized that the closure of the city run swimming pool had resulted in operating losses exceeding $400,000 annually, excluding capital costs, and stated that continued cost controls had helped mitigate further impacts on the General Fund. Ms. Davis explained that the figures reflected operating costs only and did not include capital improvements. She stated that the annual support for the Community Recreation Center was less than the losses previously incurred by operation of the city pool. Davis noted that community service donation requests were still being received and were based on prior annual contribution patterns. She reported that Recreation Center contributions increased from $200,000 in FY26, which reflected the pool operating for half the year, to $400,000 going forward. Davis also stated that funding for the EHS track was included for consideration, noting that alternative funding sources and payment structures could be reviewed and adjusted based on Council direction. Mayor Keener asked whether the $500,000 EHS track funding would need to be paid in full during FY26 or could be spread over several years. Ms. Davis stated that the $500,000 EHS track funding could be spread over time and that benchmarks could be built into the contract, with additional details to be provided by staff. Jan Baum, City Manager, stated that the EHS track funding could be paid in installments and noted that upcoming legislative discussions were expected to clarify matching requirements. She recommended waiting for that clarification to ensure the school district could receive the maximum available match. Ms. Davis reviewed multiple fund budgets as part of the FY27 draft. She reported that the Recreation Fund was projected to receive $5.3 million in room tax revenues, with $3.1 million distributed to partner entities, $685,000 allocated for capital projects including the NDOW Fish Pond design, and an ending fund balance of $3.6 million. The Youth Recreation Fund tracked summer program revenues, player fees, and SnoBowl operations, with an estimated ending fund balance of $33,000. Ms. Davis explained that Municipal Court funds were designated for facility capital improvements, with the full amount budgeted for potential county use. She stated that the Narcotics Task Force Grant was estimated to align revenues and expenses if renewed. She reported that the Revenue Stabilization (rainy day) Fund complied with NRS limits, with $11,000 of interest transferred back to the General Fund to remain compliant and an ending fund balance of $2.8 million. She stated that the Redevelopment Agency budgeted its full fund balance for programs such as infrastructure grants and the storefront program, resulting in a zero-ending fund balance. Davis reviewed the Capital Construction Fund, noting $2.8 million in property tax revenues, $680,000 in franchise fees, significant expenditures related to Union Pacific easement purchases, and major street projects, leaving an estimated ending fund balance of $2.7 million. March 24, 2026 City Council | Minutes Page 10 of 22 Ms. Davis reported that the Ad Valorem Fund supported maintenance and repairs to existing facilities, with revenues of approximately $222,000 plus interest and an ending fund balance of $1.7 million, including potential projects at the Animal Shelter and Fire Stations. She reviewed the Facility Reserve Fund, stating it supported new facilities and improvements, including a $250,000 carryforward for Animal Shelter design and future considerations for a new City Hall and Fire Station. She noted that if a new City Hall was not approved in FY27, significant repairs to the existing building would be required. She reiterated the anticipated need for three additional firefighters to maintain service levels. Mayor Keener asked that, prior to final adoption of the budget, would staff need direction from Council on prioritizing between competing budget items. Ms. Davis stated that staff would need Council direction on funding priorities and noted that a second budget meeting in April could be scheduled if additional information was requested. She reviewed capital equipment replacement funding, reporting approximately $1.1 million in revenues compared to $2.6 million in proposed equipment purchases, with the largest request being 14 additional patrol vehicles. Davis explained that the vehicle purchase would impact FY27 expenses, with financing spread over five years through a finance lease. She reported that the Fire Department’s second payment toward a new fire engine would occur in FY27, with full expense recognition when the engine was received in FY28 and noted that a portion of the cost was funded through GEMT revenues. Davis reviewed the police vehicle request in detail, explaining that the $1.3 million cost included vehicles and equipment, would be financed over five years, and required Council approval both for purchase and take-home use. Ms. Davis stated that several city bonds had been paid off, leaving streets and recreation bonds as the remaining debt, with principal payments of approximately $985,000 in FY27. She reviewed enterprise fund projections, including Water, Sewer, Landfill, Airport, and Golf, noting major capital projects, grant funding, and projected ending cash balances. She reported that the City planned to begin reserving $375,000 annually to prepare for long term landfill expansion costs anticipated in 20–25 years. Mayor Keener asked staff about the remaining capacity of the landfill. Ms. Davis stated that the landfill had approximately 25 years of remaining capacity. Dale Johnson, Assistant City Manager, added that the current active cell had an estimated remaining life of about 23 years, with additional capacity available beyond that through future phases. Ms. Davis explained that reserving funds would allow the City to better track and plan for future needs and support informed financial decision making. She reviewed the Airport Fund, noting revenues from fuel tax, landing fees, parking, terminal rentals, rental car concessions, leases, and AIP/AIG grants, including the SCASD midday flight grant, which was funded 40% by grant and 60% through FANN reimbursement. She reported that major airport capital projects totaled approximately $6.1 million, including terminal, ADA, HVAC, baggage carousel, and snow removal equipment, with an estimated year end cash balance of $2.3 million. March 24, 2026 City Council | Minutes Page 11 of 22 Ms. Davis reviewed Golf Course Fund assumptions, stating revenues and operating expenses were each estimated at approximately $1.1 million, with depreciation included. She noted the largest capital cost was a $400,000 pump station replacement, resulting in an estimated year end cash balance of $831,000. Ms. Davis summarized key Council decision items, including the CPI COLA increase for non- represented employees, community donations, capital equipment purchases, and approval of police patrol vehicles for take home use. She also presented Pool Pact’s recommendation to establish separate funds for general liability insurance and compensated absence payouts, explaining that these funds could help manage deductibles, stabilize departmental budgets, and more accurately reflect General Fund availability by designating liabilities separately. Mayor Keener asked whether staff felt more comfortable establishing a separate fund for compensated absences. Ms. Davis stated that establishing a separate fund would not be harmful and expressed support for creating both a general liability fund and a compensated absences fund. She explained that the funds could provide protection against increased deductibles during insurance renewals, offer flexibility to lower deductibles if needed, and help more clearly designate and manage related liabilities. Mayor Keener asked whether establishing two new funds would create significant additional audit overhead. Ms. Davis stated that creating separate funds would not create audit issues and explained that separating compensated absence costs from the General Fund would more clearly designate those liabilities and present a more accurate available fund balance. Ms. Baum suggested that staff prepare a presentation for an upcoming meeting to better illustrate how the proposed fund would function, including current liabilities, how those liabilities would transfer to the fund, and the movement of fund balance, noting that a visual presentation could make the concept clearer to Council. Ms. Davis stated that staff could prepare the requested presentation and noted that they had not proceeded earlier due to uncertainty about Council’s interest. Ms. Baum stated that the proposed fund would operate similarly to the Health Insurance Fund. She explained that building a fund balance would provide greater buying power for deductibles and help reduce large financial fluctuations when employees retire. Mayor Keener asked whether the February C-Tax receipts from the state would be available by April 15th. Ms. Davis stated that the City did not expect to receive the February C-Tax allocation from the state by April 15th. She explained that allocations were typically received at the end of the month and that agenda deadlines would likely occur before the state payment was issued. March 24, 2026 City Council | Minutes Page 12 of 22 Mayor Keener noted that having an additional month of data would provide greater confidence, given the volatility and unpredictability of the revenue. Ms. Davis stated that recent C-Tax revenue trends were highly unpredictable, noting that a rebound discussed at the prior meeting declined again the following month. Mayor Keener asked if there were any questions for Ms. Davis from Council, thanked her for the report, and commented that the budget discussion had been less difficult than anticipated. Mayor Keener called for public comment regarding this item. Mr. Fick asked about staff’s expectations for FY28, particularly if C-Tax revenues remained unreliable. He expressed concern about the potential impact on the General Fund and the continued decline in fund balance. Ms. Davis stated that FY28 was difficult to predict due to monthly volatility in C-Tax revenues. She explained that staff relied on the 10 year average C-Tax growth of 3.55% and reviewed salary and PERS ratios, noting that wages and PERS comprised approximately 60% of the budget. Davis emphasized the importance of maintaining sustainable labor contracts, as service and supply reductions were limited once personnel costs were accounted for. She reported that General Fund revenues and expenditures for FY25 and FY26 were closely aligned, with ARPA funds fully expended and revenues declining. Davis noted that anticipated C-Tax decreases were less clear due to timing of major construction activity and changes in state processing and stated that staff would continue to closely monitor revenue trends. Mr. Fick asked two follow-up questions regarding the General Fund budget. He requested clarification on the approximately $1.7 million increase in services and supplies from FY26 to FY27, noting that about $400,000 was attributed to the pool and asking where the remaining $1.2–$1.3 million increase originated. He also asked for an explanation of the approximately $700,000 decrease in miscellaneous General Fund revenues. Ms. Davis explained that budget estimates were prepared using a worst-case scenario, including a hard winter requiring increased sand and salt purchases. She noted that the mild winter resulted in savings for plowing and road maintenance. Davis stated that the increase also reflected a $500,000 item, a $400,000 Recreation Center contribution, and an additional $500,000 for the EHS track that had not been included in prior estimates. Ms. Baum stated that the budget assumed all positions were fully staffed. Ms. Davis stated that all positions were assumed to be fully staffed in the budget. She explained that the change in miscellaneous revenue was related to approximately $1 million received in FY25, largely attributed to ARPA funding. She noted uncertainty in recalling the specific General Fund details at that moment and stated that she would review the information and provide clarification. Councilmember Stone stated that while striving for a net zero budget was desirable, staff and departments had made significant efforts to control costs and maximize revenues. He noted that being March 24, 2026 City Council | Minutes Page 13 of 22 within approximately $250,000 of balance reflected strong fiscal management and deserved recognition. VII. PERSONNEL A. New Volunteer Firefighter Sydnee Rizo-Cantrell Joel Finley, Deputy Fire Chief, introduced Sydnee Rizo-Cantrell as the City’s newest volunteer firefighter. He noted that she was a second-generation volunteer, the daughter of long-time volunteer Mike Rizo, and had been involved with the fire department for many years. Finley stated that Ms. Rizo-Cantrell had recently completed her EMT training and would soon begin Firefighter I classes. Sydnee Rizo-Cantrell thanked the Mayor and Council for the opportunity to be introduced. She stated that she followed in her father’s footsteps as a second-generation volunteer firefighter and grew up in the first-responder environment. Rizo-Cantrell reported that she graduated from Idaho State University with a bachelor’s degree in biological anthropology, criminology, and forensic science, and that she worked as a victim advocate with the Nevada Institute of Forensic Nursing and as a medical assistant. She stated that she was pleased to join the volunteer firefighter program and was proud to continue her family’s involvement with the Fire Department. VIII. APPROPRIATION A. Review and possible approval and/or ratification of Warrants, Hand Cut Checks and matters related thereto. FOR POSSIBLE ACTION ** A motion was made by Councilmember Puccinelli, seconded by Councilmember Stone to approve regular warrants in the amount of $1,093,293.14. The motion passed unanimously. (5-0) ** A motion was made by Councilmember Puccinelli, seconded by Councilmember Stone to approve hand cut checks in the amount of $276,216.37. The motion passed unanimously. (5-0) B. Review, consideration, and possible approval of a Professional Services Agreement (PSA) between the City of Elko and Myers Anderson Architects for design of a new Elko Animal Shelter and matters related thereto. FOR POSSIBLE ACTION At the February 24, 2026 meeting, Council directed Staff to negotiate a proposal with Myers Anderson Architects and bring back a Professional Services Agreement for possible Council approval. RN Ralph Negron, Development Manager, stated that the City received a $125,000 proposal from Myers Anderson Architects for schematic design services, similar to the process used for City Hall. He March 24, 2026 City Council | Minutes Page 14 of 22 explained that the firm would develop preliminary layouts and room configurations and would work directly with Alyssa on the project. He noted uncertainty as to whether representatives from Myers Anderson were present for the meeting. Richard Creason of Myers Anderson Architects thanked the Mayor and Council for selecting the firm as the project’s design professionals and stated that they were excited to work with the City. He explained that the professional services agreement included schematic design drawings, elevations, renderings, and research and development to verify the program and ensure the facility would meet current and future needs for animal care services. He noted that he was available to answer any questions. Dave Stanton, City Attorney, commented that the proposed agreement listed the entire proposal letter as Exhibit A for the scope of work, noting that proposal letters included extraneous material and were not suited to serve as scopes of work. He recommended isolating and extracting the specific scope of work sections from the proposal letter and using those sections as Exhibit A instead. He stated that this revision would need to be explicitly included in the motion. Mr. Negron stated that the project selection process had been lengthy and involved several Council members and staff, and he invited Alyssa to explain the reasons for moving forward in the chosen direction. Councilmember Lostra asked whether the sites referenced in the proposal for analyzing up to three potential locations had been identified. Mr. Negron stated that approximately six potential sites had been identified, all of which were city owned. He explained that the review was part of a due diligence process focused on minimizing costs by evaluating utilities such as sewer, water, and power to ensure site suitability. He noted that the process mirrored the City Hall site evaluation and that a committee would ultimately be needed to narrow the options and determine the best location for the facility. Alyssa Mangum, Animal Shelter Manager, thanked the Mayor and Council for placing the item on the agenda. She stated that the selection process was lengthy and explained that Myers Anderson Architects was chosen due to their proximity, experience, and prior work on the Boys and Girls Club. Mangum stated that the firm was a good fit for the community and expressed excitement about moving forward with the project. Councilmember Lostra asked whether Ms. Mangum had a preferred site location for the proposed facility or if the current location would be the best fit. Ms. Mangum stated that she had a preferred site for the proposed facility but emphasized that multiple locations were being evaluated. She noted that staff were reviewing utility availability and overall feasibility to identify a site that balanced lower costs with practicality to best support the community. Councilmember Lostra asked whether staff had discussed potential fundraising activities or grant opportunities to help support construction of a new animal shelter facility. March 24, 2026 City Council | Minutes Page 15 of 22 Ms. Mangum stated that staff were waiting to select an architect and receive accurate cost estimates for the new animal shelter before pursuing fundraising. She explained that once schematic designs were completed, the City would move forward with a capital campaign in partnership with groups such as LASSO. Mayor Keener asked whether operations at the Animal Shelter had returned to normal following the recent hoarding situation. Ms. Mangum stated that the Animal Shelter had resumed normal operations following the hoarding incident. She reported that all 38 dogs had been placed, the facility underwent two days of deep cleaning and sanitation, and the shelter reopened to the public the previous Wednesday. She noted that the shelter was again accepting animals. Ms. Baum added context to the hoarding incident, stating that the shelter was temporarily closed due to space limitations while housing 38 animals, including puppies. She commended Ms. Mangum for promptly placing all animals with rescue organizations within one week, coordinating transport out of the area, and receiving a letter of commendation from a Collie rescue organization for her efforts. Ms. Mangum stated that she spent many hours driving during the placement process and shared that staying in contact with others helped pass the time. Councilmember Stone commented that Ms. Mangum had developed extensive resources, including connections in Canada, which enabled animals to be successfully placed in appropriate homes. Ms. Mangum explained that a total of 28 Collies were placed with five organizations through the Collie Foundation, with animals sent to Arizona, Oregon, Northern and Southern California, and Canada. She stated that additional rescue organizations assisted with placing smaller terrier breeds. Mangum noted that although the shelter facility was temporarily closed to the public, staff remained operational as a community resource, working with Endless Pawsibilities to house animals and continuing spay and neuter services. She explained that the closure was necessary to protect community animals due to health issues among the intake animals, including parvo, internal and external parasites, and newborn puppies. Mayor Keener thanked the committee members for their work, noting that they had reviewed numerous proposals. He expressed appreciation for the effort involved and stated that he hoped fundraising would proceed smoothly so the capital project could move forward in the near future. ** A motion was made by Councilmember Stone, seconded by Councilmember Morris to approve the professional services agreement with Myers Anderson Architects in the amount of $125,000, contingent upon replacing Exhibit A with the specific scope sections for Programming and Site Analysis ($25,000) and Schematic Design ($100,000) from the proposal letter and requiring written approval of the change from Myers Anderson prior to execution of the agreement The motion passed unanimously. (5-0) March 24, 2026 City Council | Minutes Page 16 of 22 IX. PETITION, APPEAL, AND COMMUNICATION A. Review, consideration and possible approval of the initiation of a land exchange between the City of Elko and Michael R. Jennings, James W. Jennings, and Anna J. Welsh, and matters related thereto. FOR POSSIBLE ACTION The City of Elko land inventory has included APN 001-660-138, identified for potential airport acquisition, for several years. A previous effort by the City to purchase this property for airport purposes was undertaken but was ultimately unsuccessful. The current property owners have formally requested that the City consider a land exchange. Specifically, they have proposed exchanging their parcel for two City-owned parcels currently designated as airport properties within the land inventory (APNs 001-132-001 and 001-142-006). CL Cathy Laughlin, City Planner, explained that NRS 268.063 allowed the City to dispose of real property for redevelopment or economic development purposes without requiring a public auction, provided appropriate findings were made. A copy of NRS 268.063 can be found in the minutes packet. She stated that the proposed land exchange qualified under economic development, as it could support airport expansion or residential housing tied to commercial growth. Laughlin described the two City owned parcels as zoned residential and noted that the privately owned airport property was landlocked, lacked utilities, and would be costly to serve, but could benefit future airport development. She outlined a proposed process to obtain three separate appraisals for the properties to determine fair market value and structure a potential exchange. Laughlin stated that staff would recommend directing the applicant to pay appraisal costs upfront, with up to 50% reimbursement if the exchange was completed, to protect taxpayers. She also noted that deed restrictions would be considered to limit height and protect airport airspace clearance. She then invited Airport Manager Jim Foster to discuss the airport benefits and prior attempts to acquire the property. Mr. Foster explained that the Airport had attempted for many years to acquire the Jennings property and had gone through multiple appraisal efforts without reaching agreement due to fair market value limitations required by the FAA. He stated that acquiring surrounding property was important to protect airport operations and remained a long-term goal included in the capital improvement program. Foster noted that a land swap using surplus City property was a new approach and could potentially provide future FAA grant match offsets. He stated that there were no immediate development plans for the property but emphasized that acquisition would benefit the Airport’s long-term needs, including access, fencing alignment, and protection of critical infrastructure. Mayor Keener stated that the property would be difficult to appraise and asked whether a prior appraisal had been conducted. Mr. Foster stated that two appraisals had previously been conducted on the property. He reported that the first appraisal, completed more than 20 years ago, valued the property at approximately $47,000. He explained that a second appraisal conducted about 10 years later valued the property significantly higher, at over $600,000, but noted concerns that the appraisal was inaccurate due to the lack of comparable properties, as the land was landlocked and lacked utilities, public access, and March 24, 2026 City Council | Minutes Page 17 of 22 infrastructure. Foster stated that these factors made valuation difficult and contributed to uncertainty in moving forward. Councilmember Stone asked whether the City owned the property between Airport Road and the blue line near the airport on the map or if it was owned by another party. Mr. Foster stated that the City owned all surrounding airport property except for the remaining approximately 60-acre triangular portion of the Jennings property. He explained that the parcel had been bisected by the freeway, leaving part on the City’s side and part on the opposite side, and noted that acquiring this final piece would complete City ownership of the area. Ms. Laughlin stated that a prior land exchange completed about a year earlier involved property without road access or utilities and could serve as a comparable appraisal reference for the proposed exchange. Mayor Keener stated that the City should pursue acquisition of the property and expressed optimism that the appraisal process could support viable land exchange options. Mr. Winer stated that he had historical involvement with the Jennings property and prior appraisal efforts. He explained that the property had been bisected by the interstate and that the Jennings family had previously been compensated for loss of value due to the land becoming landlocked. Winer noted that inconsistent appraisals had complicated prior negotiations. He stated that proceeding with a land exchange made economic sense, as the City’s idle parcels generated no revenue while private development of the Jennings property could add housing, increase the tax base, and support services such as fire and police. Winer added that prior councils had envisioned using suitable portions of the property for airport related development through land leases to generate revenue for airport operations and urged Council to move forward with the exchange for long term economic benefit to the City. Mayor Keener thanked Mr. Winer for his historical insight and stated that the City should move forward, asking whether there were any alternative ideas. Ms. Laughlin stated that the action required a finding of economic development under NRS. Mr. Stanton advised that the motion should direct staff to initiate the land exchange process for economic development and to enter into an agreement, noting that the remainder of the motion language could remain the same. Mayor Keener called for public comment regarding this item, Mr. Fick raised concerns regarding the proposed land exchange, stating that while he supported acquisition of the parcel, one of the City owned parcels was located within the runway protection zone. He expressed concern about potential development outside the protection zone and emphasized public safety considerations related to aircraft departures from Runway 6. Fick questioned how the Airport March 24, 2026 City Council | Minutes Page 18 of 22 planned to address runway protection, aircraft emergency landing needs, and mitigation measures to prevent incompatible development on the remaining undeveloped parcels. Mayor Keener stated that limitations on development would likely be identified through the appraisal process. Mr. Foster stated that the Airport maintained runway protection and imaginary surface zones to protect aircraft operations, particularly for Runway 6. He explained that building height restrictions would need to be included in deed restrictions to account for required safety slopes, noting that these surfaces varied based on approach angles. ** A motion was made by Councilmember Lostra, seconded by Councilmember Stone to approve to direct staff to initiate the land exchange process for economic development and to enter into an agreement with the current property owners to complete the necessary appraisals to determine fair market value for the proposed exchange. The motion passed unanimously. (5-0) X. REPORTS A. Mayor and City Council Mayor Keener reported that the VA Clinic was scheduled to have their grand opening on Thursday and encouraged Council members and staff to attend. He stated that he would accompany Mr. Negron to survey the VA Cemetery with representatives from the Veterans Administration. The Mayor also reported that he and Mr. Johnson had attended an educational trip to Iceland sponsored by Geothermal Rising, along with mayors from several other cities with geothermal potential. He described the visit as brief but informative, noting site visits to multiple geothermal facilities, and commented on the significance of ongoing thermal exploration in the region. B. City Manager No report. C. Assistant City Manager Mr. Johnson reported that while he had no formal report, the recent geothermal trip was informative. He stated that participants toured power plants and learned about multiple geothermal uses, including greenhouses and algae production, and noted that experiencing these applications firsthand was impressive. D. Utilities Director No report. E. Public Works March 24, 2026 City Council | Minutes Page 19 of 22 Paul Algerio reported on spring operations at the humanitarian camp. He stated that earlier campsite markers had been destroyed, prompting staff to designate campsites using 1,200 pound concrete blocks. He noted that implementation began that day, and residents were informed they would need to move into designated areas, with many complying voluntarily. Mr. Algerio explained that access roads were planned to allow emergency vehicle entry and that organizing camps into a contained area was expected to improve conditions, reduce mess, and lessen impacts on nearby residents. F. Airport Manager No report. G. City Attorney No report. H. Fire Chief No report. I. Police Chief Chief Ward announced that the City’s Community First Tuesday event was scheduled for Tuesday, April 7, to be hosted at the Children’s Advocacy Center at 1401 College Avenue. He stated that the event would include activities for children, including a pinwheel planting ceremony to honor and bring awareness to children. Ward invited the public to attend the event, which was planned from 5:00 p.m. to 6:30 p.m., noting that he appreciated rotating the location among community partners. J. City Clerk Annette Robinson, City Clerk, informed the Council that Shilo Inn made its second payment as promised on March 16th, which was why the item was not on the agenda. She stated that another payment was due by March 31st, which would cover December and January; however, Shilo remained three months behind overall. Robinson also reported that the Rodeway Inn, which had been three months delinquent, paid two months owed, indicating some improvement in hotel room tax collections. K. City Planner No report. L. Development Manager No report. M. Financial Services Director March 24, 2026 City Council | Minutes Page 20 of 22 Ms. Davis clarified that the difference in miscellaneous revenues was primarily due to a $550,000 Pennington grant for a police department bomb robot, which was included as an FY26 estimate and not in the FY27 budget. She also explained that interest income was budgeted to decrease from actuals, as the City needed to maintain some liquid cash for cash flow purposes, making interest earnings subject to potential rate declines. N. Parks and Recreation Director No report. O. Civil Engineer No report. P. Building Official No report. Q. Facilities Manager Justin Alanis, Facilities Manager, reported that the City had completed the second RRFB pedestrian crossing at Fifth and Commercial earlier in the month. He stated that RRFB crossings at Fifth and Commercial and Fifth and Railroad were now operational, enhancing public safety. Alanis noted that staff were planning to install additional RRFB pedestrian crossings at Third and Silver and Fourth and Silver. R. Landfill Manager Shane Fertig, Landfill Manager, elaborated on the plan to reserve $375,000 annually for future landfill expansion. He explained that the landfill was being developed in phases, with the current phase projected to last until approximately 2045, depending on growth rates. Fertig stated that lining costs for the 18 acre borrow area exceeded $400,000 per acre and that continued annual savings would be necessary as future cells were developed. He noted that the reserve amount was based on consultant estimates and would be reevaluated in two to three years, with the potential to adjust the annual contribution as needed. XI. COMMENTS BY THE GENERAL PUBLIC New (Section Text) Mayor Keener called for final public comment. Councilmember Puccinelli stated that he had received two calls from residents complaining about speeding near the charter school. He noted that the area was a designated school zone with posted signage and thanked Chief Ward and staff for their efforts to address the issue, stating that he did not mind receiving the complaints and appreciated the enforcement. March 24, 2026 City Council | Minutes Page 21 of 22 Mr. Algerio reported that flashing speed limit signs for Silver Street had been received and would be installed. He noted complaints that some drivers slowed while others passed in the turn lane and stated that the flashing signs were expected to improve compliance. Scott Gavorsky, speaking on behalf of the Elko County Republican Party, commended the City Clerk and the City of Elko for making municipal candidate contact information readily available. He noted that Elko was the only city in the county—and possibly the state—to provide direct access to candidate contact information without requiring residents to wait for state paperwork. He shared that the information received positive public feedback and acknowledged the City for its transparency and accessibility. Mayor Keener again called for final public comment and did not receive a response. There being no further business, Mayor Reece Keener adjourned the meeting at 6:39 p.m. Mayor Reece Keener Annette Robinson, City Clerk March 24, 2026 City Council | Minutes Page 22 of 22