November 2, 2020 Regular Commission Meeting Minutes

November 2, 2020 Regular Commission Meeting Minutes

November 2, 2020 Regular Commission Meeting Minutes

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November 2, 2020                                                                                                                       5:00 P.M.

Mayor John Garcia called the meeting to order with Vice-Mayor Aaron Thompson, via telephone, Commissioner Jay Dee Brumbaugh via telephone, Commissioner J. J. Howard and Commissioner Gary Farris responding to roll call. 

Also present were Frank Hayes – Chief of Police, Joshua Jordan – IT Director, Danny Krayca – Director of Parks, Mary Volk – City Clerk and Andrew Finzen – City Manager via telephone.

Mayor Garcia led Pledge of Allegiance

PUBLIC COMMENT

CONSENT AGENDA

  1. 10/19/20 Commission Meeting Minutes
  2. 10/28/20 Special Commission Meeting Minutes
  3. Appropriation Ordinances: 2020-21, 2020-21A, and 2020-P21
  4. Appointment of Norman Means to the Airport Advisory Board
  5. Appointment of Marlene Whitaker to the Cemetery Advisory Board

ON A MOTION by Commissioner Howard to approve Consent Agenda seconded by Commissioner Farris.  MOTION carried on a VOTE of 5-0.

ORDINANCES AND RESOLUTIONS

  1. Ordinance 1735: Issuance of Industrial Revenue Bonds – Andrew stated, Sarah Steele from Gilmore and Bell is available to answer questions regarding the IRB for Holiday Inn Express.  The City published their intent to issue IRB’s; this ordinance is the final step of the process to issue bonds.  The City is strictly a pass through for the transaction.  Vice-Mayor Thompson stated, in Section D the ordinance states the City held a hearing and property is eligible for tax exemption.  Is this an old issue that we are looking at?  Sarah stated, this is final action to issue bonds, public hearing was in 2018.  The first hearing was for $7,500,000 then we had a second hearing when costs increased to $8,000,000.  Vice-Mayor Thompson asked, was the cost benefit analysis completed?  Sarah stated, yes there were two analysis presented at hearing and are available if you would like to see them.  Vice-Mayor Thompson stated, my frustration is the information was done previously and we are just now getting to this but we were not given the information to go over.  Sarah stated, we have two analysis if you would like to review them.  In order to stay on schedule we have to close issue in 2020 so doing our best to have this considered and stay on schedule.  Vice-Mayor Thompson asked, if we wait two weeks will that be enough time to get everything complete?  Sarah stated, I will make it work if it is the will of Commission.  Mayor Garcia stated, all processes transacted matters of formality.  City has done this before and are not responsible for any monetary concerns.  We are basically the pass through agency for the IRB.  Sarah stated, that is correct, the structure of this instrument is that all responsibilities are turned over to the bank and City is out of transaction when bonds issued.  City is only required to issue the bonds.  Property owner did this when he built first hotel.  Mayor Garcia stated, all bonds on previous issue were paid in advance.  We are not responsible for any monetary obligation.  Vice-Mayor Thompson stated, I understand, I just would have liked to look over everything.  So the City is not responsible for anything?  Sarah stated, no the City is prohibited from being responsible for any of the debt.  A couple bond issues over the years have defaulted and the City only releases interest in obligation.  Vice-Mayor Thompson stated, he has been in business for many years so I do not see a problem.  I simply feel as a Commissioner I have not done due diligence.  Commissioner Howard stated, I was in audience when hearings were conducted so I am familiar with everything.  Andrew stated, the cost benefit analysis is a requirement to show eligibility of tax exemption for ten years.  Sarah stated, yes it is a tool required by State law based solely on tax estimates at the time.  Information shown presents a ratio of 1.28 for the City.  All districts show the positive benefit out way costs to give exemption.  It is a tool but in no way considered a witness test when it is done.  The State Board of Tax Appeals look that it was prepared but do not look at the ratio at all. ON A MOTION by Commissioner Brumbaugh to approve Ordinance 1735: Issuance of Industrial Revenue Bonds seconded by Commissioner Farris.  Vice-Mayor Thompson stated, I appreciate the information received tonight.  MOTION carried on a VOTE of 5-0.  

FORMAL ACTIONS

  1. Runway 5/23 Engineering Contract Amendment No. 1 – Darin stated, a month ago the original contract was approved for design only because the Kansas Airport Engineer wanted AGIS in separate contract.  They now want us to include Construction Engineering and AGIS, which pushes contract over $100,000 level, requiring an independent fee assessment.  This amendment includes the AGIS, Geotech, construction and project closeout costs.   An independent fee assessment was conducted by a firm that did not respond to the project.  The firm looks at our contract as if they were doing the project and calculate their costs.  If our contract costs are less than then the independent firm, our contract can be approved.  If our costs exceed the independent analysis, the costs will need to be evaluated to determine why costs differ.  Geotech is complete and surveyors will be out next week in order to meet goal to bid project by April 1.   Commissioner Howard asked, what is estimated completion date?  Darrin stated, it depends on contractor getting the job.  The money is earmarked by FAA for this fiscal year but Congress may not have sent money to agency yet.  Completion date is based on the combination of funds available and contractor.  Commissioner Brumbaugh stated, I understood the project was to be complete next year no matter what.  Darrin stated, project will be ready, but federal funding is out of our control.  Commissioner Brumbaugh stated, this is first I heard project could roll over to 2022.  Darrin stated, we will be ready to start construction June 2021 but will depend on funding from FAA to allow us to start.  ON A MOTION by Commissioner Farris to approve Runway 5/23 Engineering Contract Amendment No. 1 seconded by Commissioner Howard.  MOTION carried on a VOTE of 5-0. 
  2. IFB 2020-07: Fiber Internet Service – Andrew stated, four years ago we bid phone and internet services together because we did not have fiber at the time.  It has been four years, contract with Eagle has expired so we solicited bids separately as IFB 2020-07 and IFB 2020-08.  By doing bids separately we received additional bids.   Mayor Garcia asked, we currently have 100 mb and we are going to 500mb?  Josh stated, that would be our preference with more and more services going online.  We had a situation the other day with more people working remotely and services going online.  The better the connection, the better the services.  Mayor Garcia stated, Vyve (Eagle) is $659 for 500mb per month.  Vice-Mayor Thompson asked, can we suffice with 250mb?  There is a substantial cost difference between 250mb and 500mb.  Josh stated, I am uncertain how long it will suffice.  We currently have sixty-eight computers used on a daily bases.  My concern is with other projects, we will be increasing in a year.  Andrew stated, the concern is being future ready.  COVID has shown we need the capacity to be ready for whatever is thrown at us.  250mb seems like a lot but it will get used up quickly.  My concern is every service goes to a subscription service uploaded to the clouds.  We are holding on to the services as long as we can and they can provide service.  It is a means of being ready for the future with things we cannot control.  We can get by with 250mb but we will need to increase.  Mayor Garcia asked, what is 29 and 28 Subnet?  Josh stated, it involves IP address and number of addresses provided.  We currently are on 29 but 28 will increase our ability to be accessible by those working at home.  Vice-Mayor Thompson asked, did Josh do procuring for this?  Josh stated, yes.  Vice-Mayor Thompson stated, you did a good job, I wanted to see more bids.  Don Newell from S & T stated, I am here if Commission has questions on our bid.  Mayor Garcia stated, the difference between S & T and Eagle is about $142.  Don stated, we try to figure our bid by usage.  I do not know how other companies bid product.  Josh is correct, we live in a bandwidth society.  We appreciate opportunity to bid.  Commissioner Howard asked, what is the length of contract?  Josh stated, five years and within contract term they usually let you negotiate to upgrade speed.  ON A MOTION by Vice-Mayor Thompson to award bid for IFB 2020-07 to Vyve (Eagle) for 500mb for five years seconded by Commissioner Brumbaugh.  MOTION carried on a VOTE of 5-0. 
  3. IFB 2020-08: VoIP Phone Service – Josh stated, I intentionally left pieces of information out of bid to weed out canned bids.  If the company is interested in bidding, they will contact me for information.  Overall it was a better process this time.  I have a lot more information on system and operations so know what we needed to bid.  ON A MOTION by Commissioner Brumbaugh to award bid for IFB 2020-08 to Vyve (Eagle) for $902.50 for five years seconded by Vice-Mayor Thompson.  MOTION carried on a VOTE of 5-0. 

REPORTS

  1. City Manager – 1.  NRP is approved by all three entities and we will receive fully executed document soon so plan will now expire December 2023.  I commend all entities on their work as this is a popular program in county that gives incentives for the public to build.  2. Electric crew got lights up at Skate Park, Chambers should be done by end of day tomorrow.  Amidst COVID, crews were able to complete projects.  Vice-Mayor Thompson asked, it is November, have we heard anything on health insurance?  Have we heard from Rhonda or any other company wanting to bid insurance?  Andrew stated, this will probably be discussed next Commission meeting.  As of now PIC is still under contract and are working on our renewal.  USI has sent a proposed contract for review and Commission will need to provide direction at next meeting.  USI made it clear they are the provider that will present different plans, which was same service Rhonda provided in past. 
  2. Recreation Program/GAC – Tess Smith, GAC Director stated, with COVID many indoor activities have taken back seat while we held outdoor activities successfully.  This summer I wrote a grant to the Community Foundation to fund youth ball programs last summer which was a huge relief for families.  During shutdown we received money from the Dane Hansen Foundation to paint and lay carpet in facility.  Recently we received SPARK money to assist with the remodel of our bathrooms.  We cannot hold Coed Volleyball because we do not want to bring people to the MAX when we do not know where they have been.  Pickle ball has been successful and they will be excited about the lights.  We appreciate City crews helping us when needed. 
  3. Cemetery Caretaker – Joni Guyer, Cemetery Caretaker absent, no report provided.  
  4. City Commissioners

Vice-Mayor Thompson – 1.  No Report 

Commissioner Brumbaugh – 1.  No Report 

Commissioner Howard – 1.  Would like to reach out to employees in hope those that have been home sick can get back to work soon.  Thoughts also go out to the public struggling with COVID. 

Commissioner Farris – 1.  No Report 

  • Mayor – 1.  As a reminder we will have Special Commission Meetings November 4 and 5 at 5:15 p.m. here in the Commission Room.

ADJOURNMENT WAS HAD ON A MOTION Commissioner Farris seconded by Commissioner Howard.  Motion carried by unanimous VOTE, meeting adjourned at 6:00 p.m.  Next meeting is scheduled for November 16, 2020.

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ATTEST:                                                                               John Garcia, Mayor

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Mary P. Volk, City Clerk