08-24-2009 MinutesCommission
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CITY OF SALINA, KANSAS
REGULAR MEETING OF THE BOARD OF COMMISSIONERS
August 24, 2009
4:00 p.m.
The City Commission convened at 2:30 p.m. in a Study Session for Greeley Bridge Public Art and We
Count Census. The Regular Meeting of the Board of Commissioners was called to order at 4:00 p.m.
in Room 107, City -County Building. A roll call was taken followed by the Pledge of Allegiance and a
moment of silence.
There were present:
Mayor M. Luci Larson, Chairman presiding
Commissioner Samantha Angell
Commissioner Tom Arpke
Commissioner Norman Jennings
Commissioner Aaron Peck
comprising a quorum of the Board, also present:
Jason A. Gage, City Manager
Greg Bengtson, City Attorney
Shandi Wicks, Deputy City Clerk
Absent: None
CITIZEN FORUM
Merlin Stephens, 340 Maple, commented on the naming of the aquatic center and felt that
the naming of it should be open to the public, not just the schools. City Manager Jason Gage
explained the process and names could be submitted to the Parks and Recreation Advisory Board.
AWARDS - PROCLAMATIONS
(4.1) The month of March 2010 as "U.S. Census Awareness Month" in the city of Salina. Andy
Martin, Salina Area United Way Executive Director, read the proclamation and announced upcoming
events.
(4.2) The month of September 2009 as "National Food Safety Month" in the city of Salina.
Melissa Heinrich with the Salina -Saline County Health Department read the proclamation and
announced upcoming events.
PUBLIC HEARINGS AND ITEMS SCHEDULED FOR A CERTAIN TIME
(5.1) Conduct public hearing regarding Sunset Plaza Community Improvement District as
petitioned by Sunset Plaza Acquisition, LLC.
Mayor Larson opened the public hearing.
Michael Schrage, Deputy City Manager, noted the letter provided to the Commission that
was submitted from the Dillon Store. Mr. Schrage continued to explain Senate Bill 119,
Neighborhood Revitalization Plan, the Broadway Corridor, petitioner's request, and financing of the
improvements within the proposed district.
Connie Johnson, 738 Victoria Heights Terrace, (part owner of Elmore Center), spoke on
privately financing improvements on her property, condition of the Sunset Plaza, future maintenance
of the property, and funding of the improvements. Ms. Johnson continued to express her concerns of
what would happen to the property if the project was not successful and sold.
Mike McRobert, 104 Armor Road, North Kansas City, MO, Maxus Property, explained
that the property managers viewed the CID as a benefit to the community. He also commented on the
payment of the debt, investment on the property, scope of the project, and future maintenance of the
property.
A discussion followed between Mayor Larson and Mr. McRobert regarding a CID done in
Liberty, MO. Mr. McRobert commented on the Dillon Store's opposition.
Joseph Coachman, 1506 Louise Lane, stated the need for the improvements but expressed
concerns of the negative impact on the consumer.
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Kathryne Perney, 129A S. Santa Fe, expressed her opposition in the increase in sales tax
and felt that it is the property owner's responsibility to finance their improvements.
Steve Stockham, 1635 E. Cloud (owner of Sunset Billiards), felt that this is a good thing
for the city.
Mike Zrubek, 150 S. Ninth, felt that the cost of the improvements should be passed onto
the tenants.
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Robert Bostater, 2041 Ridgeview Road, felt the improvements were the responsibility of
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the property owners and expressed his concerns with this type of financing.
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Charles Renner, Husch Blackwell Sanders LLP, Kansas City, MO, (Attorney for Maxus
Properties), commented on the project, improvements, financing through a creation of a district, and
how the improvements would benefit the community. Mr. Renner also commented on this type of
financing done in Missouri.
Dennis Lauver, Salina Area Chamber of Commerce Executive Director, spoke on
community development. He commented on developments that have taken place in Manhattan and
future projects they will be doing and how it has benefited Manhattan.
Merlin Stephens, 340 Maple, felt that owners should put money aside for improvements on
their property. He felt that the shopping center was in a good location; but will cause the citizens to
pay more.
Mayor Larson commented the citizens input she has received opposing the CID.
Mr. McRobert responded to Commissioner Angell's questions regarding the number of
properties Maxus owns, financing involved, the amount spent on improvements in the last five years
for the Sunset Plaza, and whether increasing rent was considered.
A discussion followed between Commissioner Angell, Mr. McRobert, and Mayor Larson
regarding increasing of rent.
Mr. McRobert and Mr. Renner responded to Commissioner Angell's questions regarding
improvement costs, increase in sales tax, and notification to the tenants.
A discussion followed between Mr. McRobert and Commissioner Arpke regarding the
outcome of the project if property changes ownership and discussions between Commissioner
Jennings and Mr. McRobert regarding the improvements and landscaping.
Commissioner Peck commented on his hesitation to the CID; but thanked Mr. McRobert
for his request.
City Manager Jason Gage responded to Mayor Larson's question regarding the
Neighborhood Revitalization Program
Greg Bengtson, City Attorney, explained that the Senate Bill was new legislation in
Kansas. Mr. Bengtson then questioned Mr. Renner regarding the use of the sales tax funds. Mr.
Renner responded to Mr. Bengtson and then to Commissioner Angell's question regarding lender
security.
Mr. Gage commented on the increase of property values due to the improvements.
A discussion followed between Mr. Lauver, Commissioner Angell, Mr. Schrage, Mr.
McRobert, Commissioner Arpke, and Mr. Renner regarding the need for the project, property
investment, tax incentives, Neighborhood Revitalization Plan, and tenant occupancy.
Mayor Larson closed the public hearing.
Mayor Larson commented on citizens' complaints, the state of the economy, and
opposition to support the request at this time.
Mr. Gage spoke on declining neighborhoods within the community, use of tax incentives
for improvements, and market driven funding and the benefits.
A discussion followed between Commissioner Angell and Mr. Gage regarding the need for
a tax incentive policy, tracking of the additional sales tax charged within the district, and use of the
property tax rebate and the affect it would have on the Neighborhood Revitalization Program.
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Commissioner Jennings felt that this project would impact the community; however, there
is a need to look at and create a policy. Mr. Renner responded to Commissioner Jennings regarding
the project timeline and preferred not to deny the plan completely; not take action today and look at
the CID in the future. He also noted that improvements done at the Mid -State Mall over the last few
years.
Commissioner Peck felt that this incentive program was good for the property owners and
tenants and not for the consumers. He felt that shopping patterns would not change; however, does
not want to place the burden on the shoppers.
A discussion followed between Commissioner Jennings and Mr. Gage regarding expansion
of the district.
Additional discussions followed between Commissioner Arpke, Commissioner Peck, and
Mr. Gage regarding economic impact the district would have.
Commissioner Jennings stated that he agreed with Commissioner Peck and the mixed
property uses in the area.
Moved by Commissioner Peck, seconded by Commissioner Jennings, to close the public
hearing and formally conclude, by way of a majority vote of the City Commission that creation of the
Sunset Plaza Community Improvement is not advisable. Aye: (3). Nay: (2) Angell, Arpke. Motion
carried.
CONSENT AGENDA
(6.1) Approve the minutes of August 17, 2009.
(6.2) Authorize purchase of traffic signal battery backup system from Gades Sales Company,
Inc. in the amount of $31,500.
(6.3) Resolution No. 09-6654 executing an agreement with Union Pacific Railroad Company
(UPRR) to construct an at -grade pedestrian crossing for a hikeibike trail along Schilling Road between
Ninth Street and Ohio Street, Project No. 06-1579.
Moved by Commissioner Arpke, seconded by Commissioner Angell, to approve the
consent agenda as presented. Aye: (5). Nay: (0). Motion carried.
DEVELOPMENT BUSINESS
(7.1) Rescind first reading Ordinance No. 07-10411 rezoning the proposed Magnolia Hills
Addition No. 2 subdivision.
Dean Andrew, Director of Planning, explained the request, and the applicant's withdrawal.
Moved by Commissioner Jennings, seconded by Commissioner Peck, to rescind Ordinance
No. 07-10411 on first reading. Aye: (5). Nay: (0). Motion carried.
ADMINISTRATION
(8.1) Resolution No. 09-6655 appointing members to various boards and commissions.
Mayor Larson noted that the appointments would be posted on the city website.
Moved by Commissioner Angell, seconded by Commissioner Arpke, to adopt Resolution
No. 09-6655. Aye: (5) Nay: (0). Motion carried.
(8.2) Resolution No. 09-6653 authorizing and providing for the construction of improvements
for the Bicentennial Center.
Rod Franz, Director of Finance & Administration, explained the project, C IP, financing
authorization, and use of the transient guest tax.
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A discussion followed between Commissioner Angell and City Manager Jason Gage
regarding an improvement plan for the Bicentennial Center and project timeline.
Mr. Franz and Mr. Gage responded to Commissioner Jennings' question regarding the debt
service and the transient guest tax presumptions.
Moved by Commissioner Jennings, seconded by Commissioner Arpke, to pass Resolution
No. 09-6653. Aye: (4). Nay: (1) Angell. Motion carried.
(8.3) Award contract for the Bicentennial Center Renovations Phase I, Project No. 09-2771.
Marshall Perry, Bicentennial Center Manager, explained the project, bids received and
project funding.
A discussion followed between Mayor Larson, Mr. Perry, Commissioner Jennings, Jeff
Gillam of Jones Gillam Renz and Commissioner Angell regarding the project timeline, future change
orders, architect's estimate, availability of materials, contractor references and where the contractor
was located.
Moved by Commissioner Peck, seconded by Commissioner Arpke, to award contract for
Bicentennial Center Renovations, Phase I, Project No. 09-2771 to Cheney Construction Inc. in the
amount of $941,590. Aye: (3). Nay: (2) Angell, Jennings. Motion carried.
Commissioner Jennings explained his opposition that he had difficulty approving the
contract without a plan in place. Commissioner Peck asked that staff work to put a plan together.
(8.4) First reading Ordinance No. 09-10514 amending Chapter 38, Article I of the Salina Code
adopting the 2009 Standard Traffic Ordinance (STO).
(8.4a) Declare an emergency exists for second reading on the same day.
(8.4b) Second reading Ordinance No. 09-10514.
Judge Brenda Stoss explained the amendments to the STO. Judge Stoss then responded to
Mayor Larson's question regarding the effective date.
Moved by Commissioner Angell, seconded by Commissioner Jennings, to pass Ordinance
No. 09-10514 on first reading. Aye: (5). Nay: (0). Motion carried.
Moved by Commissioner Angell, seconded by Commissioner Jennings, to declare an
emergency exists for second reading on the same day. Aye: (5). Nay: (0). Motion carried.
Moved by Commissioner Angell, seconded by Commissioner Jennings, to adopt Ordinance
No. 09-10514 on second reading. A roll call vote was taken. Aye: (5) Angell, Arpke, Jennings, Peck,
Larson. Nay: (0). Motion carried.
None.
OTHER BUSINESS
ADJOURNMENT
Moved by Commissioner Peck, seconded by Commissioner Jennings, that the Regular
Meeting of the Board of Commissioners be adjourned. Aye: (5). Nay: (0). Motion carried. The
meeting adjourned at 6:17 p.m.
[SEAL]
ATTEST:
Lieu Arm Elsey, CMC, Ci Clerk
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