12-18-2017 Minutes CITY OF SALINA,KANSAS
REGULAR MEETING OF THE BOARD OF COMMISSIONERS
December 18,2017
4:00 p.m.
o.
The City Commission convened at 3:00 p.m. for the K-State Polytechnic UAS Initiative
Facility/Beechcraft Road Update and at 3:45 p.m. for Citizens Forum.
The Regular Meeting of the Board of Commissioners was called to order at 4:00 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 Kaye J. Crawford (presiding), Commissioners Jon
Blanchard,Trent Davis, Melissa Rose Hodges, and Karl Ryan.
Also present: Jason Gage, City Manager; Michael Schrage, Deputy City Manager; Greg Bengtson,
City Attorney; and Shandi Wicks, City Clerk.
AWARDS AND PROCLAMATIONS
(3.1) Mayor Crawford to recognize the Salina Central Journalism Team for placing 10th in
the Best of Show category for news magazines at the National High School
Journalism Convention in Dallas.
Mayor Crawford provided information on the team and the award received. She continued
by congratulating the Salina Central Journalism Team for all of their hard work.
Commissioner Davis provided his thoughts on the award and congratulated the team.
Commissioner Blanchard provided his thoughts on the award and commended the student
writers and the faculty writers for their work on the news piece. He continued by thanking
the faculty and students for their work.
CITIZENS FORUM
Phil Black, 118 E. Republic, provided information on a future comprehensive health plan in
2018 by the Saline County Health Department in conjunction with Salina Regional Health
Center and the need for involvement by the City of Salina.
Patrick Harrington, 730 Manchester, provided his thoughts on the recycling needs in Salina.
• Commissioner Blanchard stated there were two (2) separate issues; one (1) was an issue
with city-wide recycling and two (2) Images Recycling. He continued by stating the
automated city-wide recycling program was being reviewed and stated the City of Salina
was not aware of the situation of the closure of Images Recycling prior to the
announcement made recently.
Jason Gage, City Manager, stated the City of Salina was aware of the possible future sale of
the building that housed the privately owned Images Recycling business but typically did
not get involved on private business operations but wished the City was made aware of the
decision earlier to allow for time to come up with a solution.
David Norlin, 608 E. Republic, provided his thoughts on the recycling needs in Salina.
Greg Ray, 748 Vassar Drive, provided information on the needs for recycling in Salina and
stated his church had used Images Recycling for over a decade.
Page 1
Commissioner Hodges asked when the matter could return to the City Commission at a
study session. Mr. Gage stated the long term plan would be on February 12, 2018 but staff
was working hard on it and hoped something could be brought back soon.
Joe Rubino, 1505 E. Republic Avenue, stated he had used Images Recycling for years and
now wonders what will be done with the recycling in Salina. He continued by stating there
was a need for a comprehensive recycling program in Salina and asked the City
Commission to make it a priority.
Anne Hoekstra, 2062 Raymond, stated she was shocked by learning the news of Images
Recycling closing and asked the City Commission to think about the individuals that could
not afford to pay for the city recycling service.
Tammy Jarvis, 1010 Gypsum, representing Ad Astra Books and Coffee House, stated
recycling was a central part of the mission for Ad Astra Books and Coffee House.
Pat Milhan,529 W. Iron, stated he was part of a new group called Rallying in Recycling and
provided information on the group's mission.
Janet Hanson, 1558 Austin Circle, provided her thoughts on recycling in Salina and stated
that she felt Mr. Ken Reitz was an unappreciated individual in our community. She
continued by stating the need for a public-private partnership for recycling.
Joan Ratzliff, Salina, Kansas, provided her thoughts on the need for recycling in Salina and
gave additional options for recycling in other communities that were available to the
citizens of Salina.
Lois Christensen, 2317 Belmont, provided information on the recycling of products in her
household, alternative recycling options, and the need for additional advertisement of the
Household Hazardous Waste facility.
Commissioner Blanchard stated he had heard advertising on the household hazardous
waste program but thought there was a need for an information packet to be distributed to
new residents to provide information on the services available.
Ms. Hoekstra stated a flyer on the trash cans once a year on the hazardous waste facility
would be a great reminder to citizens.
Mr. Harrington provided his thoughts on the car museum and the need for commissioners
to recuse themselves on the interest in the ownership of the museum.
Mr. Gage stated the information on the project had been on the City of Salina website for a
long time and the future site of the museum was known but the timing of the project was
not known. Commissioner Blanchard stated the car museum was not a City of Salina
project.
Commissioner Davis asked how long citizens would need to keep their recyclables before
an alternate solution was available. Mr. Gage stated staff was not aware of a timeframe,
but stated staff was currently working on a full plan for a recycling center.
Commissioner Ryan asked if anyone had talked to Ken Reitz and if there was a list of
additional recycling centers available. Mr. Gage stated staff had talked to Mr. Reitz and
there was not an option to keep the business open. Ms. Hoekstra stated after her
conversation with Mr. Reitz, he did not have intentions to have recycling available for
citizens when he opened his new business.
Page 2
Ms. Ratzlaff asked if it was possible to use the trash cart for recycling instead of the small
recycling bin.
Commissioner Davis provided his thoughts on the recycling needs in Salina and the future
need for elimination of certain products that harm the environment.
2
w PUBLIC HEARINGS AND ITEMS SCHEDULED FOR A CERTAIN TIME
(5.1) Public hearing on the proposed 2017 Amended Budget.
Debbie Pack, Director of Finance& Administration, explained the amendments.
Mayor Crawford opened the public hearing.
Commissioner Davis asked what the additional items were for the sales tax fund. Ms. Pack
stated she did not have a full list of the projects but all of the projects were approved as part
of the capital improvement program.
Commissioner Blanchard asked what the projection was on the sales tax fund for 2017. Mr.
Gage stated the projection for the sales tax fund was 1%. A conversation ensued between
the Commission, Mr. Gage and Ms. Pack on the sales tax fund.
There being no further comments the public hearing was closed.
17-0382 Moved by Commissioner Blanchard, seconded by Commissioner Ryan, to authorize the 2017
budget amendments. Aye: (5). Nay: (0). Motion carried.
CONSENT AGENDA
(6.1) Approve the minutes of December 11, 2017.
(6.2) Authorize the city manager to pay the annual invoice for dues and subscriptions to
the League of Kansas Municipalities in the amount of$20,625.30.
(6.3) Authorize the city manager to purchase coverage through MetLife at the current
rate with benefits for employees at one times the annual salary and dependent
benefits at$15,000 and $10,000.
17-0383 Moved by Commissioner Blanchard, seconded by Commissioner Davis, to approve the consent
agenda as presented. Aye: (5). Nay: (0). Motion carried.
ADMINISTRATION
(7.1) Second reading Ordinance No. 17-10915 amending Chapter 2 of the Salina Code
relating to the formation and implementation of a Land Bank within the City of
Salina.
Mayor Crawford noted that Ordinance No. 17-10915 was passed on first reading on December 11,
2017 and since that time no comments have been received.
17-0384 Moved by Commissioner Ryan, seconded by Commissioner Hodges, to adopt Ordinance No. 17-
10915 amending Chapter 2 of the Salina Code relating to the formation and implementation of a
Land Bank within the City of Salina on second reading. A roll call vote was taken. Aye: (5)
Blanchard, Davis, Hodges, Ryan,Crawford. Nay: (0). Motion carried.
(7.2) Update on the STAR Bond project.
Page 3
Jason Gage, City Manager, explained the components of the downtown development
including the individual private projects, the community improvement districts, and the
TIF district.
Commissioner Davis asked what the investment was in the Old Chicago. Michael Schrage,
5 Deputy City Manager, stated$3 million dollars.
W Mr. Schrage provided information on the STAR Bond project.
Roger Edgar, George K. Baum & Company, provided information on the updated bond
sizing scenarios and the differences in the scenarios from a year ago.
Commissioner Blanchard asked if there was an affect in the debt service reserve. Mr. Edgar
stated the calculation was 10% of the bond issue size in the updated bond sizing scenarios.
He continued to state the debt service reserve was smaller in the prior scenario.
Mr.Schrage continued to provide additional information regarding the STAR Bond project.
Mr. Gage provided information on the financial impacts if the backed bond payments were
required.
Commissioner Blanchard asked if the updates would be available for the Commissioners to
add to their notebooks. Mr. Gage stated yes.
Commissioner Davis asked what trends or conditions would make the financial advisor or
bond counsel nervous in proceeding with the project. Mr. Edgar stated it was a difficult
question to answer but stated the project was complex and difficult and it was not
uncommon for the list of needs proposed to be funded to exceed the revenue available. He
continued to provide information on the projections of the project.
Commissioner Blanchard asked what role the financial advisor would have in the
determination of the commercial reasonable underwriting standards. Mr. Edgar stated
what the financial advisor could provide thoughts and opinions on the matter and advise
the client of the options.
Commissioner Blanchard asked if the business climate interest rates would go up if there
was a delay in the project. Mr. Edgar stated the increase in interest rates for bonds had not
increased much if not at all within the last year.
Commissioner Hodges asked if prior to any bond issuance, will all the parties come
together to provide an update on the income generators and the revenue projections. Mr.
Gage stated yes, all of the factors will be reviewed by the financial group to provide the
updated information on the income generators and revenue projections. Commissioner
Hodges thanked staff and Mr. Edgar for their work on the updates for the project. She
continued by stating she was disappointed in not seeing the private developer at the
meeting. Mr. Gage stated information received from Salina 2020, Inc indicated there was
potential for two (2) additional businesses with possible announcements to come in January
2018.
Commissioner Davis asked if there would be a reason to separate the hotel and restaurant
from the business income generator. Mr. Gage stated he was not aware of a reason to
separate the hotel and restaurant and continued to provide information on the income
generators.
Commissioner Blanchard asked how long it would take before the streetscape project could
go out to bid and the additional cost for the additional design on the streetscape project
Page 4
with changes to the design. Mr. Gage stated the design was complete and ready. He
continued by providing information on the timeline of the streetscape project.
Jim Kowach, Director of Public Works, stated the project would need to go out to bid soon
if the project would be constructed in 2018. He continued to provide additional
information on the project design and the project timeline in conjunction with the waterline
project.
Commissioner Blanchard asked who the lead was on the project and if there was a project
management structure and what did it look like. Mr. Gage stated Salina 2020, Inc. would be
in charge of the private aspects of the project. Commissioner Blanchard provided his
a
thoughts on the project and the significant delay in the project moving forward.
A conversation ensued between the Commission and Mr. Gage regarding the project
management and timeline of the project.
Commissioner Blanchard asked if the transferee agreements had been reviewed by the
Department of Commerce on the core projects. Mr. Gage stated the Department of
Commerce had reviewed the base transferee agreements but the Department of Commerce
asked to review the final agreements once executed.
Commissioner Blanchard asked if there were any need for changes to the retail numbers.
Mr. Gage stated there was no significant focus on the retail in south Salina in the study that
Development Strategies developed.
Commissioner Blanchard provided his thoughts on the downtown development project.
Commissioner Hodges provided her thoughts on the project and the timeline for the
project.
Mr. Gage stated this project was a new area for Salina 2020, Inc. and the project was a big,
complicated project and there were some risks to the project. He continued to state staff
was hoping the project would be moving forward soon with the transferee agreements.
Mayor Crawford provided her thoughts on the project.
Commissioner Davis asked if there was a need for a special meeting in December. Mr.
Schrage stated the goal was for a special meeting in January, 2018.
DEVELOPMENT BUSINESS
None.
OTHER BUSINESS
Commissioner Blanchard stated that Ken Reitz of Images Recycling was in the audience
and asked if he had anything he wanted to say regarding the recycling needs in Salina. Mr.
Reitz stated it would be easy enough to park a trash truck for loading of recycling and take
the recycling to McPherson for drop-off. He continued to provide additional information
on the recycling needs of Salina.
Mayor Crawford asked Mr. Reitz how many people went to his facility. Mr. Reitz stated a
number of years ago; he had conducted a survey and it was estimated around 900 people.
Mayor Crawford thanked Mr. Reitz for his work in the community over the years.
ADJOURNMENT
Page 5
O17-0385 Moved by Commissioner Ryan, seconded by Commissioner Hodges, that the regular meeting of
the Board of City Commissioners be adjourned. Aye: (5). Nay: (0). Motion carried. The meeting
adjourned at 7:05 p.m.
Q. NI, le •
[SEAL] Kaye . Cr\ , • ayo
ATTEST: , 1
3
OAT-cut/LI Iti llb
Shandi Wicks,CMC,City Clerk
II
II
Page 6