12-15-2014 MinutesCITY OF SALINA, KANSAS
REGULAR MEETING OF THE BOARD OF COMMISSIONERS
December 15, 2014
4:00 P.M.
The City Commission convened at 2:30 p.m. for Iron Avenue Gateway Design Question and
Answer Forum and at 3:45 p.m. for Citizens Forum.
The Regular Meeting of the Board of Commissioners was called to order at 4:07 p.m. in Room 107,
City -County Building. Roll call was taken followed by the Pledge of Allegiance and a moment of
silence.
Those present and comprising a quorum: Mayor Aaron Householter (presiding), Commissioners
Jon R. Blanchard, Kaye J. Crawford, Trent Davis, and Randall R. Hardy.
Also present: Jason A. Gage, City Manager; Michael D. Schrage, Deputy City Manager; Greg
Bengtson, City Attorney; and Shandi Wicks, City Clerk.
AWARDS AND PROCLAMATIONS
None.
4FORUM
None.
HEARINGS AND ITEMS SCHEDULED FOR A CERTAIN TIME
None.
CONSENT AGENDA
(6.1) Approve minutes of December 8, 2014.
(6.2) Resolution No. 14-7164 reaffirming the Solid Waste Management Plan for Saline County.
Commissioner Hardy requested that Item 6.1 be removed from the consent agenda.
14-0382 Moved by Commissioner Blanchard, seconded by Commissioner Davis, to approve item 6.2 of the
consent agenda. Aye: (5). Nay: (0). Motion carried.
(6.1) Approve minutes of December 8, 2014.
Commissioner Hardy noted minor changes to the minutes.
14-0383 Moved by Commissioner Blanchard, seconded by Commissioner Hardy, to approve the December
8, 2014 amended minutes. Aye: (5). Nay: (0). Motion carried.
.1) Second reading Ordinance No. 14-10759 amending Salina Code Section 31.6, definition of
"Perennial Violator", within the Property Maintenance Code.
Mayor Householter noted that Ordinance No. 14-10759 was passed on first reading on
December 8, 2014 and since that time no comments have been received.
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14-0384 Moved by Commissioner Davis, seconded by Commissioner Blanchard, to adopt Ordinance No.
14-10759 on second reading. A roll call vote was taken. Aye: (5) Blanchard, Crawford, Davis,
Hardy, Householter. Nay: (0). Motion carried.
(7.2) Receive and review the 2013 Audit Report from Mize Houser and Company.
Rod Franz, Director of Finance and Administration, summarized the audit.
Abram Chrislop, Mize Houser & Company, explained the requirements of internal controls
S U and the federal fund audit guidelines.
E Commissioner Blanchard asked about the new Kansas Public Employees Retirement
System (KPERS) requirements. Mr. Chrislop responded by stating that the new
requirements have not gone into effect yet and they were waiting on more information
from KPERS.
Commissioner Hardy asked about the restatement of the equity in the audit and asked if
there were changes in the process. Mr. Chrislop responded by stating the process did not
change and that a capital asset adjustment was made for the capital projects that were
completed for an adjustment of the final project costs. Mr. Chrislop also stated that the
accounts receivable adjustment valuation was changed from the previous year to allow for
doubtful accounts and the bond payable adjustment was moved from a governmental fund
to an enterprise fund, shifting the liability from one fund to another.
Commissioner Hardy asked about the compliance and other matters that were reported to
management of the City in a separate letter. Mr. Chrislop responded by stating that the
firm recommended minor control regulations and provide the City information on
upcoming legislation.
Commissioner Blanchard asked about new legislation pertaining to tax abatements and if
the incentives and reporting of value of abatements and other incentives would be part of
an audit. Jason Gage, City Manager, responded by stating that he did not recommend
changing the structure of what was contained in an audit unless there would be a change to
federal or state law but that a simple report containing the information should suffice. Mr.
Chrislop responded by stating that he was not aware of the requirement to include the
reporting of the value of abatements or other incentives within the audit.
Commissioner Hardy asked about the Bicentennial Center expenses and lack of revenue on
the Combined Statement of Revenues and Expenditures. Mr. Franz responded by stating
that a portion of the Transient Guest Tax is used for the Bicentennial Center and had been
supplemented by the General fund and it may not show as revenue but may show as an
interfund transfer.
Commssioner Hardy noted a modification to Schedule 6 of the audit pertaining to the
fiscal (budget) year designation. Commissioner Blanchard noted that the document was
provided by the County Clerk.
Commissioner Hardy noted that he thought the Ratio of the Net General Bonded Debt
Outstanding Per Capita Schedule was high but after looking at the amount Junction City
owes, thought the City was doing well. Mr. Franz noted that the primary reason for the
increase was the aquatic center which was paid for out of the dedicated sales tax.
14-0385 Moved by Commissioner Hardy, seconded by Commissioner Davis, to receive the 2013 audit
report. Aye: (5). Nay: (0). Motion carried.
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7.3) First reading Ordinance No. 14-10760 authorizing the City Manager to execute rural fire
protection contracts.
Chief Larry Mullikin explained the current contracts, changes to the services and new
contract form.
Commissioner Hardy asked for additional information on the rates charged for fire
protection. Chief Mullikin responded by stating that the rate cap was by an executed
ordinance.
f L Commissioner Hardy asked if the rate cap was adequate for the service provided. Chief
L Mullikin responded by stating that the rate cap was adequate for the service that has been
provided in the past, but if there was a catastrophic event at one of the facilities, the
services provided will consume the $25,000 amount plus.
Commissioner Hardy asked if $25,000 was adequate for some of the larger employers.
Chief Mullikin responded by stating that history has shown that the amount was adequate
and staff normally responds a couple times a year for smaller incidents.
Commissioner Hardy asked if the City was self insured on the contracts. Chief Mullikin
responded yes, it was a service the City provides and cities handle in various different
ways. The customer base has remained the same over the past seven years that he has been
with the City.
Commissioner Blanchard asked if the contracts address commercial properties and how the
existing residential properties were affected. Chief Mullikin responded by stating the
contract was for commercial properties but that the existing residential properties would be
able to obtain protection for 2015 and also noted that the majority of the owners for the
residential properties did not plan to obtain protection. Chief Mullikin also stated that staff
sent two additional letters to property owners prior to the mailing of the contract.
Commissioner Blanchard asked if there was opportunity for feedback on the changes and if
the feedback had been positive. Chief Mullikin responded by stating yes there was
�r opportunity for feedback and the feedback received had been positive.
f Greg Bengtson, City Attorney, noted that there was a statutory requirement requiring
Lapproval of the rural fire protection contract by ordinance.
14-0386 Moved by Commissioner Blanchard, seconded by Commissioner Crawford, to pass Ordinance No.
14-10760 on first reading authorizing the City Manager to execute rural fire protection contracts.
Aye: (5). Nay: (0). Motion carried.
(7.4) Accept settlement of final City -County Health Department residual balance.
Rod Franz, Director of Finance and Administration, explained the settlement.
Commissioner Blanchard asked what the animal shelter donation fund was used for. Mr.
Franz responded by stating that the donation fund was primarily used for spay and neuter
services and the funds were slated for the benefit of the animal shelter.
Jason Gage, City Manager, also responded by stating that the donation funds can be used
for other animal shelter purposes.
Commissioner Crawford asked if the City pays local veterinarians the same rate for spay
and neuter services as the public. Commissioner Davis responded by stating that the
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veterinarians do offer reduced cost services for the City.
Mr. Franz noted a slight variation to the settlement amount due to transactions that came in
after the December 311 audited balance.
Commissioner Blanchard asked about the distribution of funds to the Special Sales Tax
Fund and General Fund. Mr. Franz responded by stating that the special sales tax
distribution was a reimbursement for the advance to the City -County Health Department
earlier in the year and the amount to the general fund was the residual balance.
Commissioner Hardy asked if the donation funds can be used for the potential new dog
park in town. Mr. Gage responded that staff would need to look at the donations received
and how they were directed to answer that, but if there was not a specific earmark use
listed, the funds may be able to be used for that. Staff would need to see if the use of the
funds were limited to the function of the animal shelter.
14-0387 Moved by Commissioner Blanchard, seconded by Commissioner Davis, to accept the final
settlement of the City -County Health Department residual balance. Aye: (5). Nay: (0). Motion
BUSINESS
None.
OTHER BUSINESS
Mayor Householter provided his thoughts on the Salina Symphony show that took place in Salina
fast weekend.
Greg Bengtson, City Attorney, requested a short executive session.
14-0388 Moved by Commissioner Crawford, seconded by Commissioner Davis, to recess into executive
session for 10 minutes to discuss with legal counsel matters subject to the attorney-client privilege
for the reason that public discussion of those matters would waive the privilege and adversely
affect the City's interest in the matters and reconvene at 4:50 p.m.
The City Commission recessed for a 2 minute break at 4:38 p.m. then recessed into executive
session at 4:40 p.m. and reconvened at 4:53 p.m. No action was taken.
14-0389 Moved by Commissioner Blanchard, seconded by Commissioner Hardy, that the regular meeting
of the Board of City Commissioners be adjourned. Aye: 5 Nay: (0). Motion carried. The
meeting adjourned at 4:53 p.m.
[SEAL] Aaron K. Householter, Mayor
Wicks, CMC, City Clerk
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