06-10-2019 Minutes CITY OF SALINA, KANSAS
REGULAR MEETING OF THE BOARD OF COMMISSIONERS
June 10,2019
4:00 p.m.
The City Commission convened at 2:30 p.m. for Budget: 2020 Department Operational Budget
W Requests and Revenue Estimates and at 3:45 p.m. for Citizens Forum at City-County Building,
Room 107.
2 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 Trent W. Davis, M.D. (presiding),
Commissioners Melissa Rose Hodges, Mike Hoppock, and Karl Ryan.
Also present: Michael Schrage, City Manager;Jacob Wood, Deputy City Manager; Greg Bengtson,
City Attorney; and Shandi Wicks,City Clerk.
Absent: Commissioner Joe Hay,Jr.
AWARDS AND PROCLAMATIONS
(3.1) The month of June, 2019 as "Elder Abuse Awareness Month" in the city of Salina.
Courtney Train, Youth Advocate Mentor for DVACK, read the proclamation and
announced associated events.
CITIZENS FORUM
None.
PUBLIC HEARINGS AND ITEMS SCHEDULED FOR A CERTAIN TIME
None.
CONSENT AGENDA
(6.1) Approve the minutes of June 3, 2019.
19-0162 Moved by Commissioner Hoppock, seconded by Commissioner Hodges, to approve the consent
agenda as presented. Aye: (4). Nay: (0). Motion carried.
ADMINISTRATION
(7.1) Resolution No. 19-7714 authorizing the offering for sale of water and sewer system
revenue refunding bonds, Series 2019, including the approval of a fiduciary
agreement for municipal advisory services specific to this revenue bond refunding
action with George K. Baum.
Debbie Pack, Director of Finance& Administration, explained the request,fiscal impact and
action items.
Commissioner Hodges asked when the original resolution (17-7477) was rescinded.
Michael Schrage, City Manager, stated the original resolution authorized the sale of water
and sewage system revenue refunding bonds in 2017. He continued to state the resolution
was not rescinded but we were refinancing those bonds. Ms. Pack stated the original
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resolution allowed us to go out to refund the bonds but that was never done.
Commissioner Hodges asked how the Governing Body would know when a resolution that
was passed was not followed through. Ms. Pack stated after the resolution was passed, the
item would go back to the Governing Body as an ordinance for passage by both first and
second reading as part of the sale process.
Commissioner Hodges asked what was involved in cost both in dollar figures and staff
H time of going through the RFQ process. She continued to state that Hilltop Securities was
2 not at the top of the rubric. Ms. Pack stated George K. Baum performed the RFQ process
but continued by stating there were several different determining factors that were ranked
at each level. She further provided information on the process of selecting Hilltop
Securities.
Commissioner Hoppock asked for the timeline for the RFQ process. Roger Edgar, George
K. Baum, clarified the resolution that was passed in 2017 was virtually identical to the
resolution before you today but the second step of the process did not occur. He continued
to state the RFQ process would take at least 4 weeks or a little longer.
Commissioner Ryan asked if by stating Hilltop Securities estimates were consistent did he
mean that their interest rate estimates generally came in with the number they gave. Mr.
Edgar stated that had been the experience in the past. He continued to state their
experience with Hilltop Securities had been good and it definitely was not bad.
Commissioner Hodges asked if the performance of Hilltop Securities was better than the
other firms. Mr. Edgar stated better than some of them.
Commissioner Hoppock stated the matrix could change if we decided to go out to bid
again. Mr. Edgar stated it could definitely change.
Commissioner Hoppock asked if the City Commission chose to go through with the RFQ
process was there enough time to recall the bonds by October 2019. Mr. Edgar stated the
ability to call the bonds within 90 days of the October 15t date and the process might push
us back but did not think it would cause us to miss it.
Commissioner Hodges asked if the reason why we did not proceed through with it in 2017
was because the 2016 audit was not completed by September of 2017. Mr. Edgar stated that
was accurate but the good news was that the savings now was better than it was then.
Commissioner Hodges asked if it was Hilltop Securities as the underwriter that pulled their
bid due to the 2016 audit not being completed on time. Mr. Edgar stated that was correct.
Commissioner Hodges stated acknowledging that the delay would only be 4 weeks; she
would like to go out for an RFQ.
Commissioner Hoppock stated he was in agreement as long as it did not create a cost to us
and detour the timeline.
Mayor Davis asked if we solicit other proposals where does today's action fall in days and
weeks after we have selected someone to sell the bonds. Ms. Pack stated the resolution was
written so we could change it to go out for an RFQ and once that process was completed,
the calendar would change accordingly.
A conversation ensued between the City Commission and Ms. Pack regarding the process
once the RFQ process was completed.
Mr. Schrage asked if part of the question was if the resolution was necessary at this point or
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if the City Commission wanted to go out for the RFQ process. Mr. Edgar stated if the City
Commission wanted to go out for the RFQ process, the action on the resolution could be
delayed today and let staff bring back the same resolution once the RFQ process was
completed. He continued to state the motion today could reference the direction to go out
for the RFQ process.
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19-013 Moved by Commissioner Hoppock, seconded by Commissioner Hodges, to direct staff to go out
for an RFQ to select an underwriter for refunding of water and sewer system revenue refunding
bonds,Series 2011. Aye: (4). Nay: (0). Motion carried.
(7.2) Resolution No. 19-7716 authorizing the Mayor to execute a Loan Agreement with
Lee Lofts Partners, LLC relating to a loan not to exceed $500,000.
Matt Gillam, Lee Loft Partners, LLC, explained the process of the project, the financing of
the project and presented information through a presentation.
Commissioner Hodges asked if we were still working on coordinating with the other taxing
entities for the Neighborhood Revitalization Program. Michael Schrage, City Manager,
stated the other taxing entities had approved the amendments. He continued to state the
other taxing entities were not required to sign off on the applications submitted.
Commissioner Hodges stated she had not seen the Community Housing Development
Organization (CHDO) involved in the process before but did now and asked for
information regarding that process. Pat Beatty, Lee Loft Partners, LLC, stated the CHDO
was involved as a special limited partner on the project. He continued to explain the
involvement of the CHDO.
Commissioner Hodges asked if it would be beneficial to include the CHDO in the
agreement today. Mr. Beatty stated this action would allow for the closing and it could be
revisited later to add the CHDO to the agreement in the future.
Commissioner Hodges asked for an update on the loan agreement and the modifications.
Mr. Schrage stated the agreement was updated to reflect the flooring of the project.
Commissioner Ryan asked if a project like this would develop sales tax revenue. Mr. Gillam
stated yes, they would pay full sales tax and property tax on the development.
Commissioner Hodges asked for a completion date. Mr. Gillam stated they were projecting
the first of June, 2020.
Greg Bengtson, City Attorney,provided information on the loan agreement.
Mr. Schrage provided information on the types of apartments in the development, past City
Commission action and the action options.
19-0164 Moved by Commissioner Hodges, seconded by Commissioner Ryan, to adopt Resolution No. 19-
7716 authorizing the Mayor to execute a Loan Agreement with Lee Lofts Partners, LLC relating to
a loan not to exceed $500,000. Aye: (4). Nay: (0). Motion carried.
DEVELOPMENT BUSINESS
(8.1) Application #M19-6, (filed by Roger Bhakta), requesting an amendment of the
Future Land Use Map of the Salina, Kansas Comprehensive Plan to change the
future land use designation from future Conservation Area to future Commercial
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on a 6.31 acre tract of land located at the west end of Coachlight Lane west of North
Ninth Street and south of I-70 and addressed as 635 Coachlight Lane.
(8.la) First reading Ordinance No. 19-11002.
Dean Andrew, Director of Planning, explained the request, staff comments/analysis,
Planning Commission recommendation, and action options.
Commissioner Hoppock asked if the hotel that was being built was also in the floodway.
Mr. Andrew stated yes.
Commissioner Hoppock asked if there was any liability of the City of Salina if this item was
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approved. Mr. Andrew stated as long as the protocols of FEMA were followed there would
be no liability of the City of Salina. He continued to state if we do not conform with FEMA
standards we could face liability.
Commissioner Hodges asked in the event there was a catastrophic flooding event, and
people were stranded would there be an obligation to rescue the guests to any future
development in the conservation area. Michael Schrage, City Manager, stated there
typically was an opportunity to provide notice in advance to allow those to leave the area
due to water rising. He continued to provide information on the types of notifications
Mayor Davis asked for an explanation of the compensatory flood storage. Mr. Andrew
stated they would construct a very large borrow area that would serve as a storage area to
store the flood water and the water would be allowed to release slowly.
Mayor Davis asked if there was any situation that we would be required to elevate
Coachlight Lane if it would be extended. Mr. Andrew stated there was not requirement to
elevate streets or roads only buildings.
Mayor Davis asked to what degree would the police department and fire department have
to attempt to get through the flooded roadway to rescue individuals. Mr. Schrage stated
there would be an assessment of the situation and the equipment and staff would evaluate
from there and attempt to put their best effort to rescue patrons.
Joan Ratzlaff, Salina, provided her thoughts on development in the floodway and noted her
concerns.
Commissioner Hodges asked if the commercial development to the east would include
three (3) hotels. Mr. Andrew stated two (2) hotels and a potential restaurant building.
Commissioner Hodges stated the property owner does not have any obligation to make
Coachlight Lane above elevation. Mr. Andrew stated yes and explained the history of the
development of the street.
Commissioner Hoppock asked if there were issues of flooding on the hotel properties from
the rain received over the last month or so. Mr. Andrew showed pictures of the recent
flooding in the area.
Mr. Schrage asked if staff had heard of the characterization of the storm event. Mr. Andrew
stated the Mulberry Creek was not out of its banks or up to the hotel in the last flood.
Mr. Schrage asked if staff had heard a characterization on the recent flood event, in relation
to the 100 year flood event. Mr. Andrew stated he did not have that information but did
make note that this flood did not reach the elevation levels that the last 100 year flood
reached in 2007. He continued to state that was a 100 year flood event on Mulberry Creek.
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Mayor Davis asked if the flood storage pit would gather the water that would only have
been settling from that property. Mr. Andrew stated the flood models show that the biggest
obstructions on Mulberry Creek are the I-70 bridge over Mulberry Creek, and the North
Ninth Street bridge over Mulberry Creek. He continued by stating in certain flooding
conditions they serve almost as dams and creek goes into a backwater condition actually
starts flowing backwards. He further stated, what would happen in a 100 year flood, the
Ninth Street bridge would not allow the water to go through so the water would back up
flow east down Stimmel Road across Ohio Street and go over to the Saline River instead of
getting north of I-70. He further provided additional information on the flooding that
would occur in the area.
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Commissioner Hoppock asked if the zero for zero would mean that the holding pond
would hold the amount of water that would have been displaced by the property that was
being built so it does not create additional issues for surrounding properties. Mr. Andrew
stated it required an engineer to put their stamp on a No Rise Certificate that the engineer
is certifying that the design that they have stamped would cause no rise in flood levels on
Mulberry Creek. He continued to state it has to be demonstrated that there would be a no
net negative impact.
19-0165 Moved by Commissioner Ryan, seconded by Commissioner Hoppock, to pass Ordinance No. 19-
11002 amending the Future Land Use Map of the Salina, Kansas Comprehensive Plan to change
the future land use designation from future Conservation Area to future Commercial on a 6.31 acre
tract of land located at the west end of Coachlight Lane west of North Ninth Street and south of I-
70 and addressed as 635 Coachlight Lane on first reading. Aye: (3). Nay: (1) Hodges. Motion
carried.
(8.2) Application #Z19-6, (filed by Roger Bhakta), requesting a change in zoning district
classification from A-1 (Agricultural) to C-7 (Highway Commercial) on a 6.31 acre
tract of land located at the west end of Coachlight Lane west of North Ninth Street
and south of I-70 and addressed as 635 Coachlight Lane.
(8.2a) First reading Ordinance No. 19-11003.
Dean Andrew, Director of Planning, explained the request, character of the neighborhood,
public utilities and services, Planning Commission recommendation, and action options.
19-0166 Moved by Commissioner Ryan, seconded by Commissioner Hoppock, to pass Ordinance No. 19-
11003 changing the zoning district classification from A-1 (Agricultural) to C-7 (Highway
Commercial) on a 6.31 acre tract of land located at the west end of Coachlight Lane west of North
Ninth Street and south of I-70 and addressed as 635 Coachlight Lane on first reading subject to
satisfactory platting of the property. Aye: (3). Nay: (1) Hodges. Motion carried.
OTHER BUSINESS
Commissioner Hodges asked if there was an implementation of suggestions of how
property owners would be notified of the Ninth Street project in light of the problems with
last year's project. Michael Schrage, City Manager, stated there had been conversations and
asked staff to provide an update. Jim Kowach, Director of Public Works, explained last
year's project and stated the only phase of the project that was currently under way was the
tree removal and it was considered a mobile operation so the three (3) day notice was not
utilized. He continued to state that the three (3) day notice would be provided for the more
permanent construction.
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Commissioner Hodges asked if it was ever a possibility to put a post it note on the door to
notify the residents of the potential delay to their access of their driveway. She also asked
who would provide the notice for the sidewalk or street project portion. Mr. Schrage stated
that door hangers had been done in the past but part of it was to correctly anticipate the
= schedule but we do try to get notice out in advance. He continued to state there had been
some conversations about the most up to date way to provide the information was the
website but that would impose a burden to the residents. Commissioner Hodges asked
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when we begin to talk about the sidewalk, driveway, and the milling, who would provide
the notice to the residents. Mr. Kowach stated it was in the contract for the contractor to
provide that notice. Mr. Schrage stated staff was working on how the notice could be
worded better to get the information out to the resident including that the plan could be
subject to change. Mr. Kowach stated staff tried to provide advance notice on the website.
Commissioner Hodges suggested the use of a social media page or a page on the website
for future projects to keep residents updated on the progress of a project. Mr. Schrage
stated that was staff's intention but we were just not there yet with the mobile approach
currently in place.
Commissioner Hodges stated she had received the spreadsheet of the hard construction
costs of the plaza just north of Ad Astra Books &Coffee House and would like to follow-up
on the number of staff hours that were devoted to that project. Michael Schrage, City
Manager, stated that was not something we typically track or quantify but staff would see
what they could come up with.
Commissioner Hodges asked if staff had received any updates from Patty Gentrup on the
Strategic Plan update. Mr. Schrage stated a draft was in his inbox for review.
Mayor Davis asked for the final draft of the Strategic plan before the City Manager's 6-
month review. Mr. Schrage stated he would get that accomplished.
Mayor Davis provided information on the bike sharing project and the Center Street Park
dedication. Mr. Schrage stated Olivia's playground may be considered a neighborhood
park but it was definitely a destination park in the community.
(9.1) Request for executive session (legal).
(9.1a) I move the city commission recess into executive session for _ minutes to
discuss the legal aspects of circumstances potentially requiring authorization
of expenditures under the authority of the City Manager with legal counsel
based upon the need for consultation with attorneys for the public body
which would be deemed privileged in the attorney-client relationship
pursuant to K.S.A. 75-7319(b)(2). The open meeting will resume in this room
at p.m.
Commissioner Hodges stated she did not know what the subject was of the executive
session and ask if there was any way we could be more specific beyond the motion as it
was written on the agenda. Greg Bengtson, City Attorney, stated anytime staff proposed a
motion of that nature, part of it had to do with needing to be sure that the Governing Body
had the opportunity to learn of the subject in more detail as it might relate to the statement
of the subject. He continued by stating it would seem as though if there was a concern or a
question about that, that the subject would be the first order of business if we choose to
recess into executive session. He further stated if the desire was to describe it in more detail
on the part of the commission we could do that once we go in to discuss the subject and
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return out to determine if we would like to use the same motion or a different motion.
19-0167 Moved by Commissioner Hodges, seconded by Commissioner Hoppock, to recess into executive
session for 8 minutes to discuss whether the proposed motion adequately speaks to the subject of
the ultimate executive session. The open meeting will resume in this room at 6:05 p.m. Aye: (4).
Nay: (0). Motion carried.
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The City Commission recessed into executive session at 5:57 p.m. and reconvened at 6:05
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p.m. No action was taken.
The City Commission recessed at 6:08 p.m. for a 5 minute break. The meeting resumed at
6:13 p.m.
19-0168 Moved by Commissioner Hodges, seconded by Commissioner Hoppock, to recess into executive
session for 30 minutes to discuss the City Manager's administrative authority in response to the
detection and isolation of asbestos materials at Fire Station #2 basement and basement stairwell
with legal counsel based upon the need for consultation with attorneys for the public body which
would be deemed privileged in the attorney-client relationship pursuant to K.S.A. 75-7319(b)(2).
The open meeting will resume in this room at 6:45 p.m. Aye: (4). Nay: (0). Motion carried.
The City Commission recessed into executive session at 6:15 p.m. and reconvened at 6:45
p.m.
Michael Schrage, City Manager, stated there was potential action following this executive
session and the QALICB meeting would start immediately following the conclusion of this
meeting.
(9.1b) Potential action following executive session.
Mayor Davis stated there were discussions and a proposed action.
19-0169 Moved by Commissioner Hoppock, seconded by Commissioner Ryan, that the City Manager's
purchasing authority in response to the detection and isolation of asbestos material on Fire Station
No. 2 basement and basement stairwell surfaces to include up to $50,000 required in order to
contract for clean-up by a certified asbestos contractor based upon the City Manager's assessment
of all relevant factors; contract for post clean-up testing based upon the City Manager's assessment
of all relevant factors; continue the engagement and utilization of the services of the law firm of
Foley & Mansfield as special counsel as, in the City Manager's discretion, may be necessary to
address the City's interests in the matter. Aye: (4). Nay: (0). Motion carried.
ADJOURNMENT
19-0170 Moved by Commissioner Ryan, seconded by Commissioner Hodges , that the regular meeting of
the Board of City Commissioners be adjourned. Aye: (4). Nay: 0). Motion carried. The meeting
adjourned at 6:46 p.m. ' =
[SEAL] Trent W. Davis, M.D., Mayor
I ATTEST: ��'' \\��yy��
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Shandi Wicks, CMC, City Clerk
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