7.1 First Bank Kansas Arcade OwnershipCITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:0o P.M.
AGENDA SECTION
ORIGINATING DEPARTMENT:
FISCAL
NO: 7
Community and Development
BY
Services
ITEM
FINAL F
NO: 1
Planning Division
Page I
BY: Dean Andrew DA
BY: J -
ITEM: Consider a request to transfer ownership of the covered arcade located on the eas Ide of the
200 block of South Santa Fe Avenue to First Bank Kansas. This arcade is currently used as a public
pedestrian walkway.
BACKGROUND:
The property that is the subject of this ownership transfer request is located on the east side of the 200
block of South Santa Fe Avenue. This block is 750 ft. long. This block of South Santa Fe is predominatly
commercial in nature with several business and professional offices and the First Bank Kansas
properties comprising much of the block. The south end of the block is now dominated by the 5 -story
Homewood Suites hotel which replaced a number of smaller buidlings that were demolished to make
way for the hotel.
The City Manager recently received a request from Mr. Andrew Manley on behalf of First Bank Kansas,
requesting that the City consider transferring ownership of the walkway 'arcade' located in the 200
block of South Santa Fe, directly north of the Advantage Trust office building to First Bank Kansas.
First Bank Kansas plans to remove the arcade roof cover and make substantial enhancements to the
arcade and adjoining bulidings while leaving it open to public pedestrian traffic.
In its research on the historical origins of the covered arcade that is the subject of this request, staff
was able to pull together the following background information.
In 1958, local business and property owners acting through the Salina Chamber of Commerce
requested that the City Commission take action to provide additional off-street parking spaces in the
Downtown area. Property owners were concerned about the lack of adequate parking to attract
customers and the ability to retain existing businesses. A total of 45 properties (25 commercial and 20
residential) were eventually acquired and cleared and six surface parking lots containing a total of 682
off-street parking spaces were constructed in 1962. Public restrooms were constructed in these parking
lots.
As part of the parking lot project, property was purchased by the City to construct five enclosed
pedestrian walkways (arcades) that would link the parking lot areas along 5th and 7th Streets to Santa
Fe Avenue. The arcades were intended to provide direct access for employees and customers from
the 5th and 7th Street parking lots. The City purchased the South 10 ft. of Lot 149 on Santa Fe Avenue
in the Original Town of Salina from Mr. Edwin Toll for $5,000 in 1960 to allow a covered arcade to be
constructed connecting the City owned parking lot on South 5th Street with the 200 block of South
Santa Fe. Most arcades were 10 feet in width and had 8 foot ceiling heights. The interior walls were
finished with brick, concrete masonry block or stucco. They had concrete floors. The arcades had
finished ceilings and recessed lighting. Where exposed, the enclosed walkways had metal pan roofs
and concrete block walls. Signs were installed to identify the arcade entrances. The City was
responsible for controlling and maintaining the walls with regard to business frontage on the arcades.
Crosswalks on Santa Fe were positioned near the arcade entrances. The walkway arcades that were
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:00 P.M.
AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL:
NO: Community and Development BY
Services
ITEM FINAL APPROVAL:
NO: Planning Division
Page 2 BY: Dean Andrew BY:
constructed as part of that project have been maintained by the City's General Services Division since
that time.
In 1983, the Downtown Merchants Association and the City of Salina created a 31 block Business
Improvement District (now known as Salina Business Improvement District No.1) to manage the
economic development and revitalization of downtown. Salina Downtown, Inc. (SDI) is the agency
which manages these programs.
In 1985, the City of Salina launched a $7 million Downtown Revitalization Program primarily focused
on streetscape improvements. Sites were cleared and seven new surface parking lots were
constructed. Other infrastructure improvements included the burying of utilities, decorative brick
sidewalks and alleys, sidewalk planters and three covered mid -block crosswalks. Four distinct plaza
areas (Phillips, Campbell, Spillman, and Strand Plazas) were created to further link the new parking
lots to Santa Fe businesses. These open air public plazas were constructed with seating, landscaping,
recreational and performance space. Two of the original five arcades were removed to allow for the
construction of the plaza areas. The covered crosswalks constructed are located near the openings of
the original arcades.
Three of the original five arcades remain in service today. The arcade in the 200 Block of South Santa
Fe is situated between the Advantage Trust Company, an affiliate of First Bank Kansas addressed as
225-227 S. Santa Fe and the former business offices for the Salina Regional Health Center located at
217-221 S. Santa Fe to the north. This building north of the arcade is now owned by First Bank Kansas.
Physical Characteristics of Existing Arcade
The arcade structure in the 200 block is 10 feet in width and 8 feet in height. It is 110 feet in overall
length. The entrance on Santa Fe has a surround of cast concrete molding finished in white. The
interior walls are covered with textured concrete block and the floor is finished concrete. The structure
has a metal pan roof supported by I -beams. The ceiling is finished with recessed lighting fixtures. The
arcade has been a display location for artwork furnished by the City Arts and Humanities Department
from past River Festivals. The art is a temporary installed mounted to the wall which can be removed
and relocated, if this request is approved.
The arcade extends past the adjacent buildings to within 10 feet of the alleyway to the east. The
walkway is situated near the center of the block and is opposite the alleyway to a City parking lot and
private parking lot. Two private parking lots and two City parking lots occupy the east portion of this
block. If the arcade walkway was no longer in service travel from these parking lots to Santa Fe would
have to be across the drive-in lanes at First Bank Kansas, which is private property, or toward the ends
of the block, a one-way travel distance of approximately 290 feet.
The public parking lots along South 5'h Street serve employees for nearby South Santa Fe businesses.
Some of the employees access their place of employment by use of the rear entrances. It has not been
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:00 P.M.
AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL:
NO: Community and Development BY
Services
ITEM FINAL APPROVAL:
NO: Planning Division
Page 3 BY: Dean Andrew BY:
verified what ratio of employees use rear entrances. A City parking lot on the east side of S. 7th Street
provides parking for employees and customers on the west side of the 200 block of S. Santa Fe
Staff has verified that the parking lots along the west side of the 200 Block of 5th Street are usually at
capacity during work days. Private parking lots reserved in this area also appear to be at capacity.
Parking lots in this area are also used for special events such as performances at the Stiefel Theatre.
These performances are usually held in the evenings and weekends when their use is separate from
business demands.
2014 First Bank Request
In 2014, representatives of First Bank Kansas inquired about acquiring the arcade property from the
City. The bank had observed declining use of the arcade by the public and downtown employees. In
their request the bank pointed out that the declining use of the arcade may not justify the City's
continued maintenance costs forthe structure. If the arcade was purchased, the bank proposed closing
and eliminating the space, enclosing the existing covered walkway and converting the space to private
ownership for use by the adjacent business. As proposed, the Advantage Trust Company, adjacent to
the arcade structure on the south, would incorporate the additional space into its operating space.
If ownership was transferred to the bank, the bank indicated they would enclose the front and rear of
the arcade structure with materials complementary to the existing building facades along Santa Fe.
This would have included stucco or textured masonry block. An interior access doorway would have
to be constructed and electrical fixtures would need to be modified to allow the space to function as
storage or offices. The bank proposed painting the exterior of the arcade to match the building at 225
S. Santa Fe. Any extraneous electrical equipment on the exterior would be removed. If the Building
Code required any future interior use to have a separate exit, the bank agreed to install a commercial
grade door on the east wall of the arcade extension.
Although the Salina City Commission would have to approve any transfer in ownership of the property
for the space to be put into private use, they referred the request to the Downtown Design Review
Board for review and comment.
Records indicate that the City of Salina purchased the South 10 feet of Lot 149 on Santa Fe in October
1960. The arcade property is held in fee title by the City. The arcade property is not in a pedestrian
easement and is not a dedicated public right-of-way. Staff determined that its potential transfer would
not be subject to right-of-way vacation requirements nor was it classified as park property subject to
an applicable statutory protest petition.
The arcade property has never been identified as surplus property to be closed and disposed of. Before
the Salina City Commission evaluated whether the arcade should be determined to be surplus public
property, they asked the Design Review Board to hold a hearing to provide an opportunity to receive
public input from surrounding property owners, business owners and Downtown employees on the
potential change in the pedestrian access pattern along this block.
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:00 P.M.
AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL:
NO: Community and Development BY:
Services
ITEM FINAL APPROVAL:
NO: Planning Division
Page 4 BY: Dean Andrew BY:
Just like the potential closure of a public street or alley, staff and the City Commission felt it was
appropriate for potentially affected owners and residents to have notice and an opportunity to be heard.
A May 22, 2014 public hearing was scheduled for the Design Review Board to receive public comments
and input about the use of the arcade and whether the public believed there is any value to its being
retained as a pedestrian walkway from the 5th Street parking lots and nearby properties. Letters of
notice were sent to all property owners along the 200 Block of Santa Fe and property owners along
South 5th Street.
The Salina Downtown newsletter also described the issue during the two weeks prior to the hearing
and invited the public to attend the Design Review Board meeting.
A record of the verbal and written comments received by the Design Review Board and a PowerPoint
presentation summarizing the request were presented to the Salina City Commission at their July 14,
2014 meeting. Following staff's presentation and comments from representatives of First Bank
Kansas, the City Commission chose to take no action in response to First Bank's request. The covered
arcade has remained open and in use since that time and is still owned and maintained by the City of
Salina.
A new request from First Bank Kansas has now come forward that does not involve closure and
elimination of the walkway but proposes to physically modify the existing walkway instead by removing
the roof covering the arcade. (Renderings depicting the proposed modifications are attached to this
report.)
Nature of Current Proposal
The main First Bank Kansas building was constructed in 1959. A bank addition with a drive through
facility was added in 1962. Since that time the bank's property holdings have expanded both southward
and northward. The bank property now extends from Lot 147 on the north to the North 22 ft. of Lot 163
on the south with a combined street frontage of 422 ft. north to south. Within that 422 ft. of street
frontage, First Bank Kansas has 230 ft. of building frontage facing South Santa Fe.
First Bank's first property expansion occurred in 2004 when First Bank acquired the Hough Piano store
building and a neighboring two story dwelling to the south at 245 and 247 S. Santa Fe. Both of these
dwellings were demolished and those properties were redeveloped into a parking lot to serve the First
Bank facility with a landscaping island and 30 ft. landscape buffer to the south. The parking lot south
of the bank also contains an ATM machine and a pole sign that was relocated in 2016. In 2018, the
south landscape buffer (South 28 ft. of Lot 163) was sold to Blue Beacon International and incorporated
into the Homewood Suites site.
First Bank Kansas acquired the building to the north at 225-227 S. Santa Fe in 2009 and remodeled
the interior and exterior of the building into offices for the Advantage Trust Company, an affiliate of
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:00 P.M.
AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL:
NO: Community and Development By
Services
ITEM FINAL APPROVAL:
NO: Planning Division
Page 5 BY: Dean Andrew BY:
First Bank Kansas. This building was the location of various businesses over the years, including
Commercial Credit, B&B Needlepoint Shop, the Prairie Gallery and a pet shop. The Design Review
Board approved those fagade changes for Advantage Trust on March 17, 2009.
The building addressed as 217 S. Santa Fe was the location of Sunflower Insurance Group and then
housed administrative offices for the Salina Regional Health Center. This building was acquired by
First Bank Kansas in December 2021.
First Bank Kansas has acquired and now owns nine (9) lots with a total of 422 ft. of street frontage on
South Santa Fe between Walnut Street on the north and Mulberry Street on the south. There are three
buildings located along this frontage: (1) an office building, formerly occupied by Salina Regional Health
Center offices at 217 S. Santa Fe, (2) an office building occupied by Advantage Trust Co. at 227 S.
Santa Fe and (3) the main bank building for First Bank Kansas at 235 S. Santa Fe. The buildings at
217 and 227 S. Santa Fe are separated by a 10 ft. covered arcade owned by the City of Salina and
the buildings at 227 and 235 S. Santa Fe are separated by a concrete driveway. The north office
building has 90 ft. of frontage on Santa Fe, the Advantage Trust Co. building has 50 ft. of frontage on
Santa Fe, and the First Bank building had 90 ft. of frontage on Santa Fe.
Don Marrs of DMA Architects filed a Certificate of Compatibility application on behalf of First Bank
Kansas proposing to renovate the exterior fagades of these three buildings to create a uniform look
along Santa Fe Avenue. First Bank is proposing to remove the metal awning that wraps around the
main bank and Advantage Trust buildings and to install new fagade finishes consisting of a stone base,
brick and EFIS. This same exterior treatment would be added to the north office buildings at 217 S.
Santa Fe so that a comprehensive overall design can be established for all three buildings. (Elevation
drawings depicting the proposed evaluation and roof line changes are attached to this report).
In addition to these facade changes, First Bank Kansas is also proposing changes to the pedestrian
walkway tunnel owned by the City of Salina that connects the 5th Street parking lots with Santa Fe
Avenue. First Bank is proposing to remove the tunnel's concrete floor and concrete block wall and
roof. The bank then proposes to install a new sidewalk and new exterior finishes on the walls of the
adjoining buildings. The new finishes would consist of masonry and EFIS consistent with the front
facade. First Bank would also like to add some windows along the walkway to provide natural light to
the buildings on either side of the arcade.
Because this property is located within the Business Improvement District No. 1, review and approval
of the proposed exterior fagade modifications was required by the Design Review Board before the
work can proceed. An April 14, 2022 public hearing was scheduled before the Design Review Board
to review this request for conformance with the Design Guidelines for Downtown Salina.
At the April 14, 2022 Design Review Board meeting, following presentation of the staff report and
graphic support materials, comments from Josh Hermann of Hutton Construction, and comments and
questions by Board members, the Design Review Board approved a motion (4-0) to approve a
Certificate of Compatibility for First Bank's plans to renovate the exterior of these three buildings by
AGENDA SECTION
NO:
ITEM
NO:
Page 6
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:00 P.M.
ORIGINATING DEPARTMENT:
Community and Development
Services
Planning Division
BY: Dean Andrew
FISCAL APPROVAL:
BY:
FINAL APPROVAL:
im
removing and replacing the existing metal awnings and existing facades with a new fagade consisting
of a stone base and masonry and EFIS infill and the bank's plan to remove the cover from the existing
pedestrian walkway (arcade) north of 225-227 South Santa Fe based upon the following findings:
The proposed addition of a stone base and brick and EFIS fagade will not remove or damage
any significant character -defining features on the buildings. (Policy A. 1.2)
2. There are no intact historical or architectural features on these three (3) buildings that should
be preserved. (Policy A. 1.3)
The proposed brick and EFIS fagades are more compatible with the surrounding buildings on
this block of Santa Fe Avenue and the surrounding downtown streetscape then the existing
Santa Fe fagades and tie those buildings in architecturally with the Homewood Suites building.
4. The proposed colors on the renovated fagade are compatible with the color scheme on the other
buildings on this block of Santa Fe Avenue.
5. First Bank's plans for the existing covered walkway maintains public access from the rear
parking lots on Fifth Street to Santa Fe Avenue.
In approving this Certificate of Compatibility application the Design Review Board attached the
following condition of approval:
If any significant changes are made to the storefront or roof design and materials approved by
the Design Review Board, these will be presented to the Board's administrative staff to
determine whether any additional review by the Board is required.
2. No physical modifications may be made to the covered arcade on the South 10 ft. of Lot 149
without a license agreement first being approved by the Salina City Commission or a transfer of
ownership of the arcade from the City of Salina to First Bank Kansas.
The public protest period on the Design Review Board's decision expired on April 28, 2022 and no
protest or appeal was filed making the Board's action final. The effect of the Design Review Board's
action was to authorize the Zoning Administrator to approve a building permit to install a new storefront
and roof on these three buildings. Before initiating any physical modifications to the covered arcade
First Bank would either need to submit an application for a license agreement to make private
improvements to public property or the bank will need to submit a proposal to acquire ownership of the
walkway. First Bank Kansas has requested that the City of Salina transfer ownership of the arcade
over to the bank in exchange for the bank making physical improvements and taking over maintenance
responsibility of the arcade.
The attached agreement specifies that the walkway shall remain open to public pedestrian traffic and
includes several reverionary provisions that would cause ownership to be returned to the City, if any of
AGENDA SECTION
NO:
ITEM
NO:
Page 7
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
11/07/2022 4:00 P.M.
ORIGINATING DEPARTMENT:
Community and Development
Services
Planning Division
BY: Dean Andrew
FISCAL APPROVAL:
BY:
FINAL APPROVAL:
AN
the applicable agreement provisions are not met. The pre -conditions to ownership transfer include City
staff review and approval of First Bank's plans for closure and demolition of the arcade, First Bank
providing a Certificate of Insurance demonstrating they have the required insurance coverage
described in Covenant 7 and closure of public access to the arcade by the City and First Bank having
obtained the necessary approvals to commence work in accordance with the approved plans for the
arcade modifications.
FISCAL NOTE:
First Bank Kansas is not proposing to pay any financial compensation to the City for this 10 ft. wide
walkway. The primary fiscal impact to the City would be that the City would no longer be responsible
for the maintenance of this covered arcade. The cost of all physical modifications and improvements
to the arcade would be borne by First Bank Kansas.
COMMISSION ACTION:
Staff has identified the following options for the City Commission's consideration:
1.) Authorize the Mayor to sign the attached Special Warranty Deed transferring ownership of the
10 ft. pedestrian arcade to First Bank Kansas once all pre -conditions have been met by First
Bank.
2.) Postpone consideration of this request to a specified date and time and provide staff direction
regarding additional information or amendments to the terms of the transfer that the City
Commission would like to request for their further consideration.
3.) Take no action in response to First Bank Kansas request which would result in the City of Salina
retaining ownership and maintenance responsibility for the covered arcade.
Attachments: Vicinity Map
Renderings of proposed fagade changes
Renderings of proposed arcade design
Excerpt of 4/14/22 DRB minutes
Draft Special Warranty Deed
CC: Andrew Manley, First Bank Kansas
Attachment
Vicinity Map & Site Plan
200 Block of South Santa Fe Avenue
South 200 Block Santa Fe
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Attachment
Overview of Proposed
Fagade Modification Project
DMA ARCHITECTS, PA
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2035 E. Iron, Suite 100 / Salina, KS 67401
Salina: 785 823 6002 / Fax: 785 823 2910
Great Bend: 620 793 3442
March 28, 2022
Certificate of Compatibility Application
BID #I Design Review Board
RE: First Bank Kansas and Advantage Trust Company Fagade Improvement Projects
ADDRESS: 217 S. Santa / 227 S. Santa Fe / 235 S. Santa Fe.
On behalf of Fust Bank Kansas we are pleased to submit this application to the Design Review
Board for consideration of issuing a Certificate of Compatibility for the above three addresses.
BACK GROUND:
First Bank Kansas, the owner of the three properties, is in the process of a phased building
improvements on each of the three addresses. The phases as know today are as follows:
Phase 1: Advantage Trust Remodel 227 S. Santa Fe
The project consists of interior remodel and a fagade improvement to the building's exterior as
shown on the attached drawings number 1, 2 and 8. The work will consist of removing the existing
metal awning which wraps around the west and south sides, and installing the new finishes as
depicted in the drawings. The new facade finishes will consist of a stone base, brick and EIFS infill.
This project's interior remodel work is underway, and the facade work is scheduled for the spring
and summer of 2022.
Phase 2: First Bank Kansas 217 S. Santa Fe.
This building will be remodel and used for First Bank Kansas administrative offices. This phase of
the project includes interior remodel work and facade improvements as shown on drawings 2 and 7.
The new fagade finishes will consist of a stone base with brick and EIFS infill. A composite
material will be used to infill adjacent to the new windows and above the entrance canopy. This
project is scheduled to be completed the summer of 2022.
Phase 3: First Bank Kansas 235 S. Santa Fe.
The design work on this project facade is being completed in the 1" and 2' quarters of 2022 so that
a comprehensive overall design can be established for all three addresses. The new facade finishes
will consist of a stone base, brick and ETES infill as shown on drawings 1, 2, 3, 4, 5 and 6. The
main bank interior remodel and fagade improvements are scheduled to be completed within the next
two to three years. An exact schedule for this project has yet to be determined.
TUNNEL:
The pedestrian walkway tunnel, located between 217 S. Santa and 227 S. Santa is owned by the
City of Salina. The desire of the bank is to have the tunnel's concrete floor, roof and concrete block
walls removed and replaced with a new sidewalk. The bank would be able to install new exterior
wall finishes on the walls of the building left exposed by the tunnel's removal. The new finishes on
the exterior walls of both buildings would consist of masonry and EIFS finishes to coordinate a
consistent building finish along with adding windows into the existing buildings.
Attachment
Renderings of
Proposed Facade Modifications
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Photos of
Existing Covered Arcade
200 Block of South Santa Fe Avenue
Sidewalk Arcade
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Rendering of
Proposed Arcade Modification
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MINUTES
DESIGN REVIEW BOARD
CITY -COUNTY BUILDING, ROOM 107
THURSDAY, APRIL 14, 2022
4:00 P.M.
1. CALL TO ORDER / KOMA CONFIRMATION / ROLL CALL
(1.1) Chair Martens called the meeting to order at 4:00 p.m.
SALINA DOWNTOWN
(1.2) Chair requests staff confirmation that Kansas Open Meeting Act required notice has been
properly provided.
Mr. Hoffman confirmed that the packet was posted and the required notice of the meeting was
provided.
(1.3) Roll Call
Board Members Present:
Gary Martens (Chair), Katherine Kitchen (Vice -Chair) (Via Zoom), Jennifer Noonan, Kevin
Rome
Board Members Absent:
None
City Staff Present:
Dean Andrew, Zoning Administrator; Dustin Herrs, Assistant Planner (Meeting Moderator);
Vince Hoffman, Permit Technician
2. APPROVAL OF MINUTES
(2.1) Approval of the Minutes of the March 10, 2022 regular meeting.
A motion was made to approve the minutes of the March 10, 2022 by Board Member
Noonan, seconded by Board Member Rome and carried by vote.
3. NEW BUSINESS
Public Hearing Items
(3.1) Application #CC22-4, filed by Don Marrs, on behalf of First Bank Kansas, requesting the
approval of a Certificate of Compatibility to allow the modification of the existing exterior
facades of three buildings located on the east side of South Santa Fe Avenue between
—� Walnut Street and Mulberry Street. The subject property is legally described as Lots 147-
161, plus the North 22 ft. of Lot 163, on Santa Fe Avenue in the Original Town (now City)
of Salina, Saline County, Kansas and addressed as 217, 227 and 235 S. Santa Fe
Avenue.
Mr. Andrew presented the staff report with visual graphics which are contained in today's
meeting packet.
Chair Martens asked the Board if there were any questions for staff. There were none
Leslie Bishop with Salina Downtown, Inc. (SDI) asked when was the proposed planning
of this construction to going to start.
Mr. Andrew responded and said that it is intended to be a phased project so I think we
should let representatives of First Bank discuss their phasing and timing. The plan is to
phase these fagade changes in over time and we will let either the designer or
representatives of First Bank answer that question.
Chair Martens asked the Board if there were any further questions for staff. There were
none
Chair Martens invited the applicant to address the Board
Josh Herrman with Hutton Construction stepped forward and introduced himself as the
project manager.
Chair Martens asked what the phasing timeline was that Leslie was just asking about?
Mr. Herrman responded by saying the Advantage Trust work is actually scheduled and
the interior is already designed and ready to start anytime. But obviously in conjunction
with the interior remodel we want to have our exterior fagade approval before moving into
that phase. The next priority would be First Bank Kansas itself, the actual bank building
and then work down to the 217 address and the goal would be to complete all three
facades as shown in the renderings by 2023.
Mr. Andrew asked if that answered Leslie's questions.
Ms. Bishop responded, yes it did.
Chair Martens asked the applicant if there were any comments in general.
Mr. Herrman responded by saying we hope you like it.
BID NO. 1 DESIGN REVIEW BOARD I MINUTES
April 14, 2022
Page 2 of 6
Chair Martens stated he personally liked the design but he also added he hoped that the
City would consider the uncovering of the walkway tunnel.
Mr. Herrman responded by saying he thought that First Bank Kansas has intentions of
not only improving the face of the bank but also improving the face of downtown for such
a large sector of it. He said First Bank was helping steer in a direction that says that we
want this to be common so there is a high level of quality across all of the facades. But,
you can clearly see some of the differences so they don't look the same going down the
block and there isn't any repetitive boringness. He also stated that the elimination of the
walkway improves security, light and improves the spaces that the public sees between
the parking lot and the downtown street on Santa Fe.
Chair Marten added that several people avoid walking down the walkways.
Mr. Herrman responded by saying he thought that it would make it more inviting and other
cities model this type of alleyway or walkway into pop up art districts. Sometimes if the
City is agreeable they have strung some lighting at night time, they have put tables and
chairs throughout. You will also see art installations that change so he thought to activate
that space has a lot more potential without the covering there. Some of the discussions
have occurred but have not been fully developed yet but that is a little bit of the mindset
of what's been discussed so far just to give you some background.
Ms. Bishop stated that she would like to see the tunnel arcade not be there in that area.
We could repurpose the security camera over there and then it would also free up Diane's
time as a downtown aesthetic specialist.
Chair Martens asked if there were any questions or comments from the Board.
Board Member Kitchen replied by saying thank you for investing in such a huge project
downtown. She also said she thought that it would change that block so significantly in a
great way. She went on and said she wanted to thank them for the care that has gone
into the aesthetics of the design. She said she agreed with the other staff members about
the arcade and was in support of opening it up. The only question she had was about the
lighting, she didn't see in the renderings any lighting and just wondered how dark that
walkway would be in the middle of winter at six o'clock at night and wondered if they could
answer that.
Mr. Herrman responded by saying thank you, we helped to design it, but Andrew and the
team at First Bank are the ones that are putting this on so thanks to them. But I do think
in terms of lighting that this is a great question that has been heavily discussed as well.
Some of the renderings that you have before you, just so you know, we have tried to
design this from not only from a day time perspective but also from a night time
perspective. The large tower element on First Bank is going to be lit at night and then
there is actually a top band of windows that stretches across the entire elevation that
would also be backlit at night to give some ambience to Santa Fe that will help illuminate
that pathway there if it is approved to remove all of that. Some of the techniques we have
seen is a string light type of effect there but we have not fully made that decision based
BID NO. 1 DESIGN REVIEW BOARD I MINUTES
April 14, 2022
Page 3 of 6
on the approval of this. But he definitely thinks illumination would be required just based
on a safety standpoint and it will not stay dark.
Mr. Andrew added addressing Board Member Kitchen that part of that will be worked out
at the City Commission level. If this is treated like Campbell Plaza there will be some
agreement between the City Commission and First Bank that will address those things.
As part of the Campbell Plaza project they have overhead string lighting to provide lighting
there at night, this is different because that's fifty feet wide but it could be the same
concept.
Chair Marten asked if there were any further questions or comments. There were none.
Chair Martens asked if there were comments or questions from members of the public in
attendance or on Zoom. There were none.
Chair Martens confirmed there were no further comments or questions from members of
the public, closed the public hearing and brought this item back to the Board for discussion
and action.
—> MOTION: Board Member Noonan made a motion to go with option
two, with a total acceptance, with the condition that if there
are any major changes or significant changes that they
come back to the Board. She would also include the part
about the license agreement with the City for the arcade.
SECOND: Board Member Rome
VOTE: Motion carried 4-0.
Administrative Items
None
Preliminary Discussion Items
None
4. UNFINISHED OR OTHER BUSINESS
Mr. Andrew stated that staff does plan to have a meeting on April 28, 2022 to go over the renewals
for Sidewalk Dining. The full cycle has not arrived yet but the way the sidewalk dining ordinance
was structured so that each establishment that has a sidewalk dining area has to renew that
annually. What we did was rather than them being put on different schedules they were all
scheduled for renewal for this year. We would have YaYa's, Starbucks, Martinelli's, Barolo Grill
and Dagney's Ice Cream that would all be coming back for renewal of their sidewalk cafe
agreements on April 28, 2022.
BID NO. 1 DESIGN REVIEW BOARD I MINUTES
April 14, 2022
Page 4 of 6
KANSAS LIMITED WARRANTY DEED
WITH REVERSIONARY AND LIMITED WARRANTY COVENANTS
This Kansas Limited Warranty Deed with Reversionary and Limited Warranty Covenants
("this Deed") is made this day of November 2022, between the CITY OF SALINA,
KANSAS (the "City") and FIRST BANK KANSAS, a Kansas banking corporation ("First Bank").
RECITALS
A. The City owns the real estate referred to herein as "Tract 1," legally described as:
The South Ten (10) feet of Lot One Hundred Forty-nine (149) on Santa Fe, in the
Original Town (now City) of Salina, Saline County, Kansas;
which was acquired by the City in 1960 for the construction of a mid -block (between 217 and 227
South Santa Fe) covered pedestrian walkway connecting the 200 block of South Santa Fe Avenue
from Santa Fe Avenue east to the public parking lots constructed in the 200 block of South Fifth
Street (the "Arcade") in conjunction with other downtown parking and pedestrian improvements
constructed at that time.
B. First Bank owns the real estate located immediately north of Tract 1, referred to
herein as "Tract 2," legally described as:
The North Forty (40) feet of Lot One Hundred Forty-nine (149) on Santa Fe, in the
Original Town (now City) of Salina, Saline County, Kansas.
C. First Bank also owns the real estate located immediately south of Tract 1, referred
to herein as "Tract 3," legally described as:
Lot One Hundred Fifty-one (15 1) on Santa Fe, in the Original Town (now City) of
Salina, Saline County, Kansas.
D. As the owner of both Tract 2 and Tract 3, First Bank's interests are to acquire Tract
1 for the purposes of improving the exteriors of its buildings adjoining the Arcade and
reconstructing and maintaining the Arcade as a lighted, open-air, open -to -the -public pedestrian
walkway between the buildings located on Tract 2 and Tract 3 (the "Pedestrian Walkway').
E. The City's interests are to facilitate private investment in the transformation,
improvement, and maintenance of the 60 -year-old Arcade as the Pedestrian Walkway in a manner
consistent with recent public and private improvements in the City's downtown.
F. The applicable city departments, the Salina Business Improvement District Design
Review Board (the `BID/DRB"), and the City's governing body (the "Governing Body") have
reviewed and approved plans submitted by First Bank (the "Approved Plans") attached hereto as
Exhibit A for closure and demolition of the Arcade and construction of the Pedestrian Walkway
(the "Work") as conditions precedent to the delivery of this Deed.
G. As a further condition precedent to the delivery of this Deed, First Bank has
delivered its certificate of insurance for the required insurance coverage described in Covenant 7
below.
H. As a further condition precedent to the delivery of this Deed, the City has closed
the Arcade to public access at the request of First Bank and First Bank is staged to commence the
Work in accordance with the Approved Plans.
15i/YM►I*33. IYfA
The City, for valuable consideration, including, but not limited to, the reversionary deed
covenants set forth below, the receipt and sufficiency of which are hereby acknowledged, conveys
Tract 1 to First Bank, with reversionary and limited warranty covenants;
SUBJECT TO:
A. Matters of Record. Easements, restrictions, and any other matters of record.
B. Reversionary Deed Covenants Running with the Land, Binding Current and
Future Owners: Joint and Several Obligations. The following reversionary deed covenants
numbered 1 through 11 below (the "Covenants") shall run with the land; shall be binding upon
First Bank and any future owners of Tract 1, Tract 2, and Tract 3; and shall be recorded and indexed
by the Saline County Register of Deeds in relation to Tract 1, Tract 2, and Tract 3, until either
released or modified in writing by the governing body of the City. While title to Tract 1, Tract 2,
and Tract 3 shall be commonly held by First Bank upon the recording of this Deed, compliance
with and fulfillment of the Covenants shall be the joint and several obligations of the current and
future owners of Tract 1, Tract 2, and Tract 3. References to "the City Manager" shall mean the
city manager or the city manager's designee(s).
1. Completion of the Work and Opening of the Pedestrian Walkway. On or
before Apri 1 15 , 2023, First Bank shall (a) complete reconstruction of the Arcade
2
as the Pedestrian Walkway and exterior improvements and fixtures adjoining the
Pedestrian Walkway in accordance with the Approved Plans and in compliance with all
applicable building codes, required building permits and all code -based regulatory
inspections; and (b) open the Walkway to public pedestrian access following a pre -opening
inspection and approval by the City Manager. No later than 15 calendar days in advance,
First Bank may submit a request for an extension of the agreed upon deadline not to exceed
an additional ninety (90) calendar days with a supporting explanation to the City Manager.
Such extension request shall not be unreasonably withheld.
2. Future Improvements. Future improvements or modifications to the Pedestrian
Walkway or to building exteriors or fixtures adjoining the Pedestrian Walkway shall be
subject to all applicable required reviews and approvals.
3. Use as a Lighted Pedestrian Walkway. First Bank's use of the Pedestrian
Walkway shall be exclusively for public pedestrian travel. First Bank shall at all times,
day or night, allow access by the public for use of the Pedestrian Walkway for pedestrian
travel, except only as necessary for maintenance purposes. First Bank shall provide
lighting for the Pedestrian Walkway at the same level and during the same hours as the
City provides lighting for public sidewalks in the downtown public right-of-way and First
Bank shall be responsible for the associated utility cost.
4. Ongoing Maintenance and Repair.
a. General maintenance. First Bank shall maintain the Pedestrian Walkway at its cost
in a neat, clean, sanitary, and orderly condition, free of accumulations of dirt, rubbish,
snow, ice, and unlawful obstructions.
b. Required by law or insurance policies. First Bank shall maintain the Pedestrian
Walkway at its cost in a condition conforming to the requirements of all applicable statutes,
ordinances, regulations, and other requirements of any governmental authority, and the
requirements of all policies of insurance maintained in force on or with respect to the
Pedestrian Walkway.
c. Exterior improvements. First Bank shall maintain all building exteriors and exterior
improvements and fixtures adjoining the Pedestrian Walkway at its cost in at least as good
order, condition, and repair (1) as constructed or installed in accordance with the Approved
Plans or (2) as constructed or installed in the future in accordance with plans approved as
required by applicable city, state, or federal requirements, taking into consideration normal
aging and fading of exterior surfaces between industry -recommended intervals of exterior
treatment.
d. Deficiencies; Meet and Confer. If, based upon an inspection of the Pedestrian
Walkway, the City determines that First Bank is not in compliance with its obligations
under this covenant, the City may provide written notice (the "Notice") to First Bank:
(1) Describing the deficiencies identified by the City;
(2) Describing what work by First Bank is required for First Bank to come into
compliance; and
(3) Indicating the deadline(s) for completion of the work required for First Bank to
come into compliance.
If First Bank objects to the Notice, First Bank must, within fourteen (14) calendar days
following receipt of the Notice, provide a responsive notice to the City describing its
objections and requesting the opportunity for the City Manager and representatives of First
Bank to promptly meet and confer to conduct good faith discussions toward resolution of
any matters regarding the alleged deficiencies and, if deficiencies are determined to exist,
the work required to cure the deficiencies and a schedule for completion of the necessary
work by First Bank.
e. Binding Resolution by Independent Third Party. If the City and First Bank are
unable to reach agreement on any of the points of discussion addressed in the meet and
confer process described in this covenant, the City may designate a person independent of
either the City or First Bank (the "Independent Third Party") to evaluate and determine the
following matters:
(1) Whether First Bank is in compliance with its obligations under this covenant;
(2) If not, what work by First Bank is required for First Bank to come into compliance;
and
(3) If work by First Bank is required, a schedule and related deadline or deadlines for
completion of the work required for First Bank to come into compliance.
The Independent Third Party shall conduct a public session during which the City and First
Bank shall have opportunity to present any information relevant to the matters to be
determined by the Independent Third Party. The Independent Third Party shall prepare a
written statement of his or her determinations. The determinations of the Independent
Third Party shall be binding upon both the City and First Bank. If the Independent Third
Party determines that First Bank has complied with its obligations under this covenant, the
City shall be responsible for the Independent Third Party's charges. Conversely, if the
Independent Third Party determines that First Bank has not complied with its obligations
under this covenant, First Bank shall be responsible for the Independent Third Party's
charges.
f. Alternate Remedies. If First Bank fails to either perform agreements reached
between the City and First Bank under the meet and confer process described in this
covenant or to comply with the determinations of the Independent Third Party under the
process described in this Covenant (the "Unfinished Work") within the agreed upon or
established timelines, the City shall have the right, but not the obligation, to either enter
Tract 1 and, to the extent necessary, Tract 2 and Tract 31 and perform the Unfinished Work
or to seek an injunction compelling First Bank to perform the Unfinished Work.
g. Reimbursement for City Costs and Expenses. First Bank shall be liable for and
shall reimburse the City for the City's actual costs and expenses incurred in connection
El
with the performance of the Unfinished Work. For purposes of this covenant, the term
"actual costs and expenses" shall include, but shall not be limited to, the City's labor costs,
tool and equipment costs, supply costs, and engineering and design costs, regardless of
whether the City uses its own personnel, tools, equipment, and supplies. The City agrees
to deliver to First Bank a written request for reimbursement for such actual costs and
expenses, payable by First Bank within thirty (30) calendar days after receipt by First Bank.
5. Acceptance of Arcade in Current Condition, No City Liability Release of
Claims. First Bank accepts the Arcade in its current "as is" condition. First Bank shall be
in exclusive possession and control of the Pedestrian Walkway exclusively for public
pedestrian travel. The City shall not be liable for, and First Bank releases the City from,
any claims of (a) injury to any person or damage to any property on or about the Pedestrian
Walkway and (b) damage to the Pedestrian Walkway or structures adjoining the Pedestrian
Walkway.
6. Indemnification. First Bank shall defend, indemnify, and hold harmless the City,
its officers, officials, employees, agents, and representatives from and against all claims,
damages, losses, and expenses (including, but not limited to, reasonable attorney fees and
court costs), demands, judgments, and causes of action attributable to bodily injury,
sickness, disease, death, and/or damage to property arising out of First Bank's ownership
and use of the Pedestrian Walkway.
7. Insurance.
a. General Public Liability hisurance. First Bank agrees to procure and maintain
comprehensive general public liability insurance covering its ownership and use of the
Pedestrian Walkway, with limits of coverage as are consistent with First Bank's overall
program for comprehensive public liability insurance coverage.
b. Physical Property Damage Insurance. First Bank agrees to procure and maintain
physical property damage insurance covering the Pedestrian Walkway against loss or
damage by such perils and at such limits of coverage as are consistent with First Bank's
overall program for insuring its buildings and facilities. In the event of a covered loss, First
Bank agrees to utilize the insurance proceeds to promptly restore the damaged Pedestrian
Walkway.
c. General Requirements. First Bank shall deliver to the City insurance certificates
for the insurance described in this Covenant upon First Bank's annual renewal of such
insurance. First Bank shall immediately inform the City upon First Bank's receipt of a
notice of cancellation of such insurance and take all steps necessary to avoid an interruption
in coverage.
8. Taxes and Liens. First Bank shall:
a. Pay all real estate taxes and assessments which may be levied against any part of
the Pedestrian Walkway;
b. Pay when due all fees, assessments, charges, and taxes of any kind that may now
or hereafter be imposed upon the Pedestrian Walkway; and
c. Keep the Pedestrian Walkway free and clear of all levies, liens, and encumbrances
prompted by use of or improvements to the Pedestrian Walkway.
9. Future Conveyances: City Approval. Ownership of Tract 1 shall always be held
in common with either Tract 2 or Tract 3. Any transfer of title to all or part of Tract 1,
Tract 2, or Tract 3 shall be subject to the prior written approval of the City, based upon the
City's evaluation of (a) whether the transfer of title complies with this Covenant and (b)
the proposed transferee's ongoing financial capacity to fulfill its obligations under these
Covenants, which approval shall not be unreasonably withheld.
10. Remedies Upon Failure to Perform. In addition to the remedies provided under
Covenant 4 above, upon First Bank's failure to perform any one or more of the Covenants
within sixty (60) calendar days following written notice to comply has been delivered by
the City to First Bank, then the City may, in its sole and absolute discretion and without
further notice, and in addition to any and all other cumulative rights and remedies available
at law or in equity under Kansas law, exercise its right to (a) pursue an injunction or other
legal proceeding to enforce and compel the performance of the Covenant(s) and (b)
reversion of the title to Tract 1 to the City pursuant to Covenant 11 below.
11. Reversion.
a. Covenants 1 through 9. Upon First Bank's failure to perform its obligations under
any one or more of Covenants 1 through 9 above within sixty (60) calendar days following
written notice to comply has been delivered by the City to First Bank, then the City may,
in its sole and absolute discretion and without further notice, reenter and reacquire Tract 1,
and First Bank shall promptly convey Tract 1 in fee simple to the City by limited warranty
deed. If the basis for the City exercise of its reversionary right is First Bank's failure to
perform its obligations under Covenant 4 and Unfinished Work has been identified
pursuant to Covenant 4, First Bank shall remain responsible for completion of the Unfished
Work, subject to the approval of the City. If First Bank fails to complete the Unfinished
Work to the satisfaction of the City within ninety (90) calendar days of receipt of written
notice from the City, the City may, at the City's discretion, complete the Unfinished Work
and First Bank shall reimburse the City for the cost of completion of the Unfinished Work.
b. Non -waiver. The City's exercise of its discretion not to invoke its right to reversion
outlined above shall not constitute a waiver of the City's ultimate ability to invoke either
the same or any other reversionary deed covenant in its sole and absolute discretion.
c. Notice. All notices required or permitted to be given in relation to these Covenants
shall be in writing and delivered personally or sent by registered or certified mail, return
receipt requested, or by generally recognized, prepaid, commercial courier or overnight air
0
courier service. Notice shall be considered given when received on the date appearing on
the return receipt.
THE CITY COVENANTS that it: (a) is lawfully seized of the City's interest in Tract 1;
(b) has good right to convey the City's interest in Tract 1; (c) guarantees the quiet possession of
Tract 1 against the claims of those claiming any right, interest or title through the City; (d) will
warrant and defend Tract 1 against all lawful claims of those claiming any right, interest or title
through the City, but the City does not warrant title against those claiming a right, interest or title
that arose prior to, or separate from the City's interest in Tract 1.
IN WITNESS WHEREOF, the duly authorized officers of the City have executed this
Kansas Limited Warranty Deed to be effective as of the day and year written above.
CITY OF SALINA, KANSAS
Trent W. Davis, M.D., Mayor
ATTEST:
By:
JoVonna A. Rutherford, City Clerk
ACCEPTANCE OF COVENANTS
On behalf of First Bank, its officers, directors, and employees, the undersigned duly
authorized representative of First Bank accepts the terms of the Covenants set forth above, which
shall be binding upon and run with Tract 1, Tract 2, and Tract 3 until either released or modified
by the governing body of the City.
IN WITNESS WHEREOF, First Bank Kansas has caused this acceptance of covenants to
be executed by its duly authorized officer the day and year first above written.
FIRST BANK KANSAS, a Kansas
banking corporation
By:
Kent Buer, Chairman, President, and
Chief Executive Officer
STATE OF KANSAS, COUNTY OF SALINE, ss:
This instrument was acknowledged before me on November _, 2022, by Trent W. Davis,
M.D. as Mayor and JoVonna A. Rutherford as City Clerk of the City of Salina, Kansas.
My appointment expires:
Notary Public
Printed Name:
STATE OF KANSAS, COUNTY OF SALINE, ss:
This instrument was acknowledged before me on November , 2022, by Kent Buer as
Chairman, President, and Chief Executive Officer of First Bank Kansas.
My appointment expires:
1:3
Notary Public
Printed Name: