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HomeMy WebLinkAboutCouncil Minutes - May 06, 2020 1 Mayor Jerry Merrill Council Members: Christopher Mann Jordan Busby Mikel Walker Tisha Flora Brad Wolfe Bryanna Johnson City Staff: Stephen Zollinger – City Attorney Matt Nielson – Finance Officer Keith Davidson – Public Works Director Alan Parkinson – Planning & Zoning Administrator Scott Johnson – Economic Development Director Deborah Lovejoy – City Clerk 6:30 P.M. City Hall Council Member Wolfe said the prayer. Mayor Merrill led the pledge. Roll Call of Council Members: Attending: Council Member Flora, Council Member Johnson, Council Member Mann, Council Member Walker, Council Member Wolfe, Council President Busby and Mayor Merrill. The City Council Members attended the meeting via the GoToMeeting program due to the coronavirus pandemic and consequent stay at home order. Public Comment: not scheduled on the agenda (limit 3 minutes); issues may be considered for discussion on a future agenda. Please keep comments on point and respectful. NONE Presentations: NONE Staff Reports: A. Community Development: - Bret Stoddard 1. Desk Surplus Items Building Official Stoddard reviewed the Building Valuation Report for the month of April. The Building Department has been busy with new permits being requested by developers. 35 North 1st East Rexburg, ID 83440 Phone: 208.359.3020 x 2101 Fax: 208.359.3022 deborahl@rexburg.org www.rexburg.org City Council Minutes May 06, 2020 2 City Building Official Stoddard said there are several office desks he is recommending be surplused because he has reached out to the other city departments to ask if they may need the desks. The other departments did not express a need for the desks and they are taking up storage space. Council President Busby questioned the value for the desks. Building Official Stoddard replied he is unaware of the value of the desks because they were purchased many years ago. The desks are made of plastic material and are very light weight. Council Member Flora suggested city staff reach out to the Medical Health Care Free Clinic and ask them if they would have any use for the desks. Council President Busby moved to approve the Surplus of Desks; Council Member Walker seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried Building Official Stoddard mentioned the purchase of DigEPlan with an electronic plan review program about two months ago. The Building Department went live on the program yesterday. They received positive feedback from designers, architects, engineers and drafters. The Building Department has also received positive feedback from customers using the client portal from City Works to submit building permit applications. Council President Busby asked if the people attending the meeting via the GoToMeeting Program would like to introduce themselves. Mayor Merrill welcomed the community members viewing the meeting. Michael Keith, Vice President of Piper Sandler & Co., introduced himself and said he will be presenting later in the meeting. Rachel Blaser, BYU-Idaho Student Representative Council, introduced herself. B. Finance: - Matt Nielson 1. Dashboard Report Finance Officer Nielson mentioned the budget meetings being scheduled next week. Council President Busby asked if any of the calendared budget meetings have been changed. Finance Officer Nielson replied there have not been any changes in time or date for the budget meetings. The location of the Fire Department’s budget meeting was changed to city hall. Finance Officer Nielson reviewed the Dashboard Report beginning with the Cash, Investments and Reserves. 3 Finance Officer Nielson reviewed the Operating Expenses and the Operating Reserves graph. The Street Fund was forecasted to be over budget, which ended up in the city’s favor because of a grant received from the state in the amount of about $200,000. 4 Finance Officer Nielson reviewed the Public Works Capacity Fees and Impact Fees and Community Growth graphs. 5 Finance Officer Nielson reviewed the Inflation Graph. The estimated Cost of Living Adjustment (COLA) for the year 2021 inflation rate has slowed over the last few months. Finance Officer Nielson reviewed the Major and Minor Construction Projects graphs. The Water Capacity Project is over budget; however, the amount of funds spent on this project was paid back from the Department of Environment Quality (DEQ) loan. A 2.1 million dollar request was submitted for reimbursement. Council President Busby asked if it has always been the city’s practice to issue the Cost of Living Adjustment (COLA) percentage. Finance Officer Nielson explained the 2.49% COLA was budgeted and will cost the city about $290,000. The COLA expense will be discussed in the budget meetings. The city’s practice is to apply the COLA to the employees’ wages. There have been years where the COLA is a negative percent. When the COLA amount is a negative percent, it has been the city’s practice to reduce the negative percentage from the next year’s COLA. Council Member Mann reiterated the city’s practice has been to apply the COLA percentage. He expressed his concerns regarding the state sales tax revenues amounts and a possible 20% cut in operating funds that cities receive from the state. 6 Discussion regarding Covid-19 reimbursement on expenditures from the state. Finance Officer Nielson said he registered with the state for reimbursement and received notice that more information will be forthcoming. The state said there will be an 18% reduction in the highway tax. 2. Financing Package – Wastewater revenue Refinancing Bond Series 2020 – Placement Agent Piper Sandler – Michael Keith Michael Keith reviewed the preliminary Financing Package for the Wastewater Revenue Refunding Bond Series 2020. The financing package was sent out to several banks on April 27, 2020 with an expected response date of May 18, 2020. Once the banks respond his office and city staff will summarize the loan interests from the banks that respond. They will then rank each bank and present the loan summaries to City Council on the May 20, 2020 meeting. The intent of the financing package is for the city to set up its terms with the loan financing. One key item that will generate a strong response from the banks is how well the city has managed their funds and the financial position the city is in with the Wastewater Fund. He reviewed page number six of the Financing Package. 7 Council Member Flora explained the city is not overcharging for wastewater services to city residents. By law the city has to break even with the expenditures and revenues. She said yes, the city is in a good financial situation; however, this doesn’t mean the city is overcharging the residents. Mayor Merrill pointed out as part of the city’s budget model, money is set aside in the city’s reserves to fund upgrades to the wastewater system. By building up the reserves the city avoids unecessary debt. 3. Review of Ordinance 1229 – Wastewater Bond Ordinance for Revenue Refinancing Bond Series 2020 – Bond Council MSBT Law – Stephanie Bonney a. Staff recommending to waive the rules and third read ordinance to move forward with circulation of the Financing Package Stephanie Bonney said in order to issue debt; governments are required to use a municipal bond attorney. The firm she works for issued the underline bond the city is currently trying to refund and this will make the handling of the refunding less expensive with less documentation. A parameter ordinance will set parameters for the banks. The ordinance will make it possible to proceed with the refunding without having to come back to City Council for a decision; however, if the savings is less than the $200,000 based parameter a City Council decision would be needed to proceed. She reviewed Ordinance No. 1229 with City Council. ORDINANCE NO. 1229 Wastewater Revenue Refunding Bond AN ORDINANCE OF THE CITY OF REXBURG, MADISON COUNTY, IDAHO, AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF A WASTEWATER REVENUE REFUNDING BOND, SERIES 2020, IN A PRINCIPAL AMOUNT NOT TO EXCEED $3,865,000, FOR THE PURPOSE OF REFUNDING THE CITY’S OUTSTANDING WASTEWATER REVENUE PROMISSORY NOTE, SERIES 2010; PROVIDING FOR THE CREATION OF AN ESCROW FUND AND THE REDEMPTION OF THE OUTSTANDING WASTEWATER REVENUE PROMISSORY NOTE, SERIES 2010; PROVIDING FOR THE COLLECTION AND APPLICATION OF WASTEWATER RE VENUES TO PAY THE PRINCIPAL OF AND INTEREST ON THE BOND; ESTABLISHING FUNDS; PROVIDING FOR THE FORM, EXECUTION, REGISTRATION, MATURITY, AND PAYMENT OF THE BOND; PROVIDING COVENANTS RELATING TO THE BOND AND THE TAX - EXEMPT STATUS OF THE INTEREST ON THE BOND; APPROVING A FORM OF LOAN AGREEMENT; APPROVING A FORM OF ESCROW AGREEMENT; PROVIDING FOR RELATED MATTERS; APPROVING A SUMMARY OF THIS ORDINANCE FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE. Council President Busby questioned the fees associated with refinancing the Wastewater Bond and if those fees are included in the savings. Mr. Keith replied the fees associated with refinancing the bond is about $30,000 to $35,000 depending on the fees the banks charge for documentation. The refinancing fees are included in the savings. Council Member Wolfe moved to suspend the rules for Ordinance No. 1229 - Wastewater Revenue Refunding Bond; Council Member Flora seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried 8 Council Member Flora moved to approve and third read Ordinance No. 1229 - Wastewater Bond Ordinance; Council President Busby seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried C. Public Works: - Keith Davidson 1. Romance Theater Lobby Remodel Potential Modifications and Change Order Discussion and Budget Adjustment – Jed Platt Public Works Director Davidson reported on the Romance Theater Remodel. Alan Clark is the contractor in charge of the remodel. The reason for the budget adjustment is due to some concerns with the previous remodel plan. Cultural Arts Director Platt mentioned some of his concerns with the previous Romance Theater Remodel plans. The current restroom facilities are built up against the refurbished window front on the west corner of the building creating a lights out appearance. He doesn’t believe any of the buildings on Main Street should appear vacant. There are cracks in the window glass due to trapped heat. The lobby isn’t large enough to accommodate the number of patrons attending an event at the theater. He recommended a restroom meeting the Americans with Disabilities Act (ADA) be built on the main floor and to relocate the remaining restrooms to the lower level where they were historically housed. By moving the restrooms downstairs, it will open up the lobby area. A larger lobby area could accommodate other functions not tied to the theater section of building. He said currently there isn’t a location for visual arts in Rexburg. Opening up the windows in front of the building would be a good start to illuminate the space. Cultural Arts Director Platt explained by opening up the lobby space there are many possibilities for art shows, performance receptions and meeting space. Council Member Mann asked for the number of square feet that would be added by moving the restrooms down stairs. Council Member Mann also expressed his concerns with the added expense of moving the restrooms downstairs. Public Works Director Davidson replied about 300 additional feet of space would be added to the lobby area by moving the restrooms downstairs. Public Works Director Davidson explained a firm number of the added expense to move the restrooms downstairs is not known at this point. The contractor will draw up the plans and have a more definite number of the costs. The contractor estimated an extra cost of about $30,000 to $50,000 for the changes. Public Works Director Davidson reviewed the budget adjustment. 9 Council President Busby asked if the City Council Members that have not been to the Romance Theater could go to have the remodel plan explained to them before making a decision regarding the budget adjustment. He cautioned when remodeling an older building unforeseen issues tend to be expensive. Mayor Merrill explained the contractor is aware of the city’s budget regarding the remodel. The funds for the remodel are limited. Council Member Flora said she spoke with the former City Cultural Arts Director, Jackie Rawlins regarding the changes to the remodel. Mrs. Rawlins is in favor of the changes; however, had many questions regarding certain items being changed. Council Member Flora recommended inviting Mrs. Rawlins to review the changes to give her input regarding the changes because she oversaw the theater for four years. Public Works Director Davidson recommended a decision be made before the next City Council Meeting due to time constraints with the contractor. The City Council Members could be polled after their tour of theater to have the remodel changes explained. Council Member Johnson asked about funds being allocated for the carpet. If the replacement of the carpet in postposed, when will the carpet be replaced? Mayor Merrill said the carpet is in fair condition and will not need to be replaced for several years. Council Member Flora suggested a conference call with Mrs. Rawlins so she can share her input. Council Member Mann also suggested the Council Members who will be touring the theater to have the remodel plans explained to them set up different appointment times to not conflict with the open meeting laws. The Council Members can then be polled. City Attorney Zollinger recommended a decision be made subject to verification with a City Council poll. Council Member Flora asked for the amount of funds remaining in contingency if the budget adjustment is approved. Finance Officer Nielson replied if the budget adjustment is approved it will leave about $20,000 in contingency. City staff is recommending $39,500 be withdrawn from the fund balance carryover or reserves. 10 Council Member Wolfe moved to approve the Romance Theater Lobby Remodel Modifications and Change Order with a Budget Adjustment cap of $39,500 and with the funds allocated for the carpet replacement being added to the budget remodel with a five day hold on release of the funds to comfirm the changes and expense being proposed; Discussion: Council Member Mann stated he is not in favor of approving a motion when an estimated cost has not been determined; Council Member Flora seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora Council Member Mann Council Member Johnson Council Member Walker Council Member Wolfe Council President Busby The motion carried Discussion regarding the date of when the City Council Members will be polled. Public Works Director said the polling should take place on Wednesday of next week. The contractor should have the estimated costs from the subcontractors and if the costs exceeded the budget adjustment range, the changes will be canceled. Mayor’s Report: Mayor Merrill reported Sanitation Foreman Ryan Abegglen has retired and City Employee Roger Gout will be promoted to the foreman position. There will be personnel changes in the Sanitation Department to fill a driver position. Mayor Merrill reported he and city staff met with Rick Miller and Terry Butikofer with East- Central Idaho Planning and Development Association (ECIPDA) regarding establishing an education and entrepreneurship center in their building. Mayor Merrill expressed his gratitude to all of the volunteers involved in the highway clean up and at the food distribution centers. Mayor Merrill said the different city park projects have started. He, Council Member Johnson, Council Member Mann and Public Works Director Davidson walked the bike trails at Eagle Park. They also met with Eric Isaacson to inquire how to assist him with setting up additional bike trails. Mayor Merrill reported he is still busy attending conference calls. There has been an increase in the number of Covid-19 cases in Madison County. The good news is the additional cases have not required hospitalization. Mayor Merrill said the final shipment of the trees being planted for Arbor Day have been received. The city normally celebrates Arbor Day with the City’s Beautification Day. Economic Development Director Johnson suggested changing the name of the city’s Beautification Day to Flow-Bor Day. Mayor Merrill said he was hesitant to change the name at first; however, later agreed to change the name. Flow-Bor Day will be held on Monday, May 18, 2020 and volunteers will be needed to plant flowers along Main Street and Center Street. He mentioned instructions will be handed out to maintain the Governors social distancing guidelines. Mayor Merrill mentioned he had asked Council Member Johnson and Council Member Flora to advertise the Flow-Bor Day event. Council Member Johnson asked the BYU-Idaho Students attending the meeting to inform all of the other student about the volunteer opportunities at Eagle Park with the bike trails. There is a Facebook page named Eagle Park Trail Builders where volunteer information is shared. Public Hearings: NONE Items for Consideration: A. Beer License Approval for Red’s Grill 722 N 12th W (contingent on approval of County Commissioners) – David Rail Action Item 11 Council Member Walker moved to approve the Beer License for Red’s Grill located at 722 N. 12 W. contingent upon approval from Madison County; Council Member Johnson seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried Calendared Bills and Tabled Items: A. Second Reading: Those items which have been first read: 1. Ordinance No. 1225 Animal Control – Changes to leash regulations, fee structures, defecation removal, etc. ORDINANCE NO. 1225 City of Rexburg Animal Control AN ORDINANCE PROVIDING FOR THE LICENSING OF DOGS; PROHIBITING DOGS FROM RUNNING AT LARGE AND DISTURBING THE PEACE; PROVIDING FOR THE IMPOUNDMENT OF UNLICENSED DOGS AND DOGS RUNNING AT LARGE; PROVIDING FOR IMPOUNDMENT DUTIES OF POLICEMEN AND ANIMAL CONTROL; NOTICE OF IMPOUNDMENT AND REDEMPTION; PROVIDING CITATION OF DOG OWNER RATHER THAN IMPOUNDMENT OF DOG; PROVIDING FOR NON- COMMERCIAL KENNEL LICENSES; PROVIDING FOR DISPOSITION OF DOGS WITH RABIES; PROVIDING FOR DESTRUCTION OF DOGS; MAKING IT UNLAWFUL TO INTERFERE WITH SEIZURE OR DESTRUCTION OF DOGS; PROHIBITING CRUEL TREATMENT OF ANIMALS; DEFINING OWNER OF DOG; PROVIDING PENALTIES FOR THE VARIOUS VIOLATIONS OF THIS ORDINANCE; REPEALING ORDINANCE NOS 841, 581, 411, AND CHAPTER 35 OF THE REVISED ORDINANCES AND ALL OTHER ORDINANCES OR PORTIONS THEREOF IN CONFLICT HEREWITH; PROVIDING FOR THE EFFECTIVE DATE OF THIS ORDINANCE. City Attorney Zollinger explained there was one change to Ordinance No. 1225. The location of the dog park will be located at Nature Park and not Eagle Park. Mayor Merrill mentioned the decision to build the dog park at Nature Park instead of Eagle Park were in part due to the amenaties, larger area and closer to the restrooms when they are built. Council President Busby moved to second read Ordinance NO. 1225 – Rexburg Animal Control; Council Member Walker seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried 12 2. Ordinance No 1227 Impact Fees – Changes in Street, Fire, Police, and Park Impact Fees per Study by Zions Bank, Horrocks Engineering, and the City of Rexburg Staff & Committee Members – Matt Nielson ORDINANCE 1227 A NEW ORDINANCE FOR THE CITY OF REXBURG TO BE KNOWN AS THE "DEVELOPMENT IMPACT FEE ORDINANCE" TO ALLOW FOR THE COLLECTION OF DEVELOPMENT IMPACT FEES, ESTABLISHING SUCH FEES, AND MORE PARTICULARLY SETTING FORTH THE TITLE AND PURPOSE AND PRESCRIBING THE PROCEDURES FOR CARRYING OUT THE PURPOSE HEREOF; ATTACHING AND INCORPORATING THE "CITY OF REXBURG CAPITAL IMPROVEMENT PLANS AND IMPACT FEE ANALYSIS REPORTS" DATED MAY 20, 2020 AS APPENDIX "A" HERETO; PROVIDING FOR LIBERAL CONSTRUCTION; REPEALING ALL ORDINANCES AND PARTS OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING A SAVINGS CLAUSE; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE HEREOF. THIS NEW ORDINANCE SHALL REPLACE ORDINANCES 896 AND 961 AND ESTABLISH THE NEW DEVELOPMENT IMPACT FEES FOR POLICE, FIRE, PARKS AND TRAILS, AND TRANSPORTATION (STREETS). Council Member Johnson moved to second read Ordinance No. 1227; Council Member Mann seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried B. Third Reading: Those items which have been second read: NONE Mayor’s Business: 1. Proclamation 2020-02 Arbor Day May 18, 2020 Mayor Merrill read Proclamation 2020-01 Arbor Day May 18th, 2020. PROCLAMATION No. 2020 – 02 2020 Arbor Day Proclamation WHEREAS: In 1872, J. Sterling Morton proposed to the Nebraska Board of Agriculture that a special day be set aside for the planting of trees, and WHEREAS: The holiday, called Arbor Day, was first observed with the planting of more than a million trees in Nebraska, and WHEREAS: Arbor Day is now observed throughout the nation and the world, and WHEREAS: Trees can reduce the erosion of our precious topsoil by wind and water, lower our heating and cooling costs, moderate the temperature, clean the air, produce oxygen and provide habitat for wildlife, and 13 WHEREAS: Trees are a renewable resource giving up paper, wood for our homes, fuel for our fires and countless other wood products, and WHEREAS: Trees in our city increase property values, enhance the economic vitality of business areas, and beautify our community, and WHEREAS: Trees, wherever they are planted, are a source of joy and spiritual renewal, NOW, THEREFORE: I, Jerry Merrill, Mayor of the City of Rexburg do hereby proclaim May 18, 2020 as Arbor Day in the City of Rexburg, and I urge all citizens to celebrate Arbor Day and to support efforts to protect our trees and woodlands, and Further, I urge all citizens to plant and care for trees to gladden the heart and promote the well-being of this and future generations. IN WITNESS WHEREOF, I have hereunto set my hand and caused the Seal of the City of Rexburg to be affixed this 6th day of May in the year of our Lord two thousand twenty. APPROVED: _____________________________ SEAL Jerry Merrill MAYOR ATTEST: ______________________________ Deborah Lovejoy REXBURG CITY CLERK Council Member Wolfe moved to ratify Proclamation 2020-02 Arbor Day May 18, 2020; Council Member Johnson seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried Consent Calendar: The consent calendar includes items, which require formal City Council action, however they are typically routine or not of great controversy. Individual Council members may ask that any specific item be removed from the consent calendar for discussion in greater detail. Explanatory information is included in the City Council’s agenda packet regarding these items. A. Minutes from April 15, 2020 Meeting B. Approve the City of Rexburg Bills Council President Busby moved to approve the Consent Calendar containing the minutes and city bills; Council Member Flora seconded the motion; Mayor Merrill asked for a vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried 14 BYU-Idaho University Public Affairs Director, Brett Sampson reiterated BYU-Idaho’s Spring Semester will hold online classes only. The university is approaching the Governor’s guidelines regarding Covid-19 conservatively and will be a couple of weeks behind the different phases. The university is also calling back to work employees that need to be at the university to complete their jobs. They are discussing possible scenarios for the Fall Semester. Executive Session – Idaho State Statute 74-206 © To acquire an interest in real property which is not owned by a public agency. Council Member Walker moved to go into Executive Session per Idaho State Statute 74-206 C. To acquire an interest in real property which is not owned by a public agency; Council President Busby seconded the motion; Mayor Merrill asked for a roll call vote: Those voting aye Those voting nay Council Member Flora None Council Member Johnson Council Member Mann Council Member Walker Council Member Wolfe Council President Busby The motion carried Executive Session Ended 8:38 P.M. Adjournment 8:38 P.M. APPROVED: ________________________________ Jerry Merrill, Mayor Attest: _____________________________ Marianna Gonzalez, Deputy City Clerk