December 11

CITY OF HIAWATHA

CITY COMMISSION MINUTES

MONDAY, DECEMBER 11, 2006

5:35 P.M.

HIAWATHA CITY HALL

723 OREGON ST.

1.      Pledge of Allegiance/ Call to Order

The Hiawatha City Commission met in regular session at 5:35 p.m. on Monday, December 11, 2006, with Mayor Gernon, Commissioner Gamble, Commissioner Schmitt, Commissioner Collins and Commissioner Shamburg present.

2.      Approval of minutes of the December 4, 2006 City Commission meeting.

Commissioner Schmitt made a motion, seconded by Commissioner Gamble, to approve the minutes of the December 4, 2006 City Commission meeting as presented. Motion carried. 5 ayes.

3.      Presentation of petitions, public comments, memorials.

Old Business

New Business

4.      Consider Reappointment of Wes Howard to the Hiawatha City Planning Commission.

Commissioner Collins made a motion, seconded by Commissioner Shamburg, to re-appoint Wes Howard to the Hiawatha City Planning Commission for a three-year term to expire January 1, 2010. Motion carried. 5 ayes.

5.      Consider Reappointment of Heidi Voigts to the Hiawatha City Planning Commission.

Commissioner Collins made a motion, seconded by Commissioner Shamburg, to re-appoint Heidi Voigts to the Hiawatha City Planning Commission for a three-year term to expire January 1, 2010. Motion carried. 5 ayes.

6.      Consider Approval of Manhole Repair.

Dave Grimm, Waste Water Superintendent, explained that a manhole on South Second Street between Oregon and Utah Street needs repaired. This manhole was on the list for repair in 2007. However, it has sunk two inches in the last three weeks. He said that he is concerned that a vehicle may drive over it and that the manhole will flip over and drop the front of the car. Grimm said that Wagner Excavating, who was the low bidder on the last manhole repair, could repair it immediately at a cost of $3,900. This cost is a little higher than the earlier manhole repairs for several reasons: this one is considered a three-way inlet, it is on a hard surface rather than an alley, and there is a water line within feet of it. Grimm said he did not want to wait on the bidding process because it needs repaired immediately. Grimm said he wouldn’t rule out a larger amount, because he doesn’t know what they will find when they get into it. City crews cannot do it because they do not have the equipment. The area is shut down right now.

Administrator Ladner said that there is money in the sewer fund to do the repair.

Commissioner Gamble made a motion, seconded by Commissioner Schmitt, to approve hiring Wagner Excavating to repair the manhole on South Second Street between Oregon and Utah Street at a cost of $3,900. Motion carried. 5 ayes.

7.      Consider Approval of Emergency Sewer Line Repair.

Dave Grimm said that there is a sewer backup in the alley behind Casey’s. He said that his crew had tried to run their sewer machine up the hill to clear the line. The equipment got caught in the line. The next option was to dig it up. They started digging Monday morning. When they finally got down to where their equipment was stuck, about twelve feet down, they found that someone had tried to put in a break-in connection and broke a big piece of pipe. They tried to make a cement form to replace the tile pipe, and that is where their equipment was stuck. They dug it open and got their tool back out. Grimm said that at this point, the sides caved in and one of his operators was buried up to his waist. Fortunately he was able to free himself and climb out. His boots are still stuck down there. Because of the cave in, it has now become a dangerous site.

Grimm said he would like to also have Wagner Excavating fix this while he is here. He can do the digging that the City crew can’t. The hole is filling up with sewage. It would take an estimated 150 feet of pipe. Wagner was also the low bid on the Pottawatomie Street project last year and would do the project for the same price as he did last year on Pottawatomie Street, which was $70 per foot.

Commissioner Collins questioned Grimm if the City was unable to make any repairs without using a contractor. Grimm said that the City does not have an excavator which would be necessary to make the dig without tearing up the surrounding area. Also, it is an unsafe dig because of the cave in. The City does not have a shoring box.

Commissioner Collins said that we need to take care of personnel first, and to make sure they are safe. He suggested taking bids on a shoring box.  

Grimm said that the sides are caving in now, and he is afraid that a garage in the area may fall in the excavation if they wait to go through a bidding process. Also, the hole is filling up with sewage. Wagner Excavating said they would do the project for $70 a foot. For 150 feet, it would cost $10,500. The sewer budget does have cash reserves. The entire 250-foot block would cost about $7000 more. He recommended taking a look at the rest of the block while they are doing it.

Mayor Gernon agreed that we should get a shoring block.

Commissioner Collins suggested we go ahead and vote on the 250-foot section for the $17,500 so that they do not have to address it again, if the money is in the budget.

Commissioner Collins made a motion, seconded by Commissioner Gamble, to authorize the expenditure of up to $17,500 for emergency sewer line repair in the alley behind Casey’s. Motion carried. 5 ayes.

8.      Consider Approval of a Resolution to Open New Treasury Index Accounts at the Morrill & Janes Bank & Trust Co. for the Transfer of Funds from Post Lantern Fund and Swimming Pool Fund.

Administrator Lynne Ladner explained that the bond money from the Post Lantern Project is currently sitting in an account that accrues approximately 1% APR. This money, if transferred to a Treasury Index Account, could currently be accruing approximately 5% APR. This would provide additional funds to the City for this project and is a wise use of the funds until it is necessary to withdraw them. Once the project is under construction, the funds could be transferred on an as-needed basis allowing the funds to continue to accrue interest during the duration of the project.

The swimming pool fund has $164,000 in its account. This money is earmarked for Capital improvement to the Aquatic Park and cannot be spent otherwise. The amount meets the minimum threshold for Treasury Index Accounts to earn the approximately 5% APR.

Creation of these Treasury Index Accounts will provide the best investment opportunity for the City’s funds and provide the best return on the investment currently available from any of the local banking companies.

Administrator Ladner indicated that the other local banks had been contacted and none were able to meet this amount of interest.

If approved, this resolution would become Resolution 2006-11.

Commissioner Collins made a motion, seconded by Commissioner Shamburg, to approve a Resolution [to be known as Resolution 2006-11] to open new Treasury Index Accounts at the Morrill & Janes Bank & Trust Co. for the transfer of the funds from the Post Lantern Project bond and the swimming pool fund and authorize the Mayor and the City Clerk to sign the necessary documents. Motion carried. 5 ayes.

9.      Consider Approval of a Resolution to Transfer Funds from the Waste Water Treasury Index Account to the Checking Account at Morrill & Janes Bank & Trust Co. to Balance the Fund Budget for Expenses Paid in 2006.

The cash reserve funds for the Waste Water department are in a Treasury Index Account at Morrill & Janes Bank & Trust Co. The current expenses associated with the Waste Water Department fund will exceed the funds attributed to this department currently available in the checking account.

A transfer of funds from the Treasury Index Account will balance the fund budget for expenses paid in 2006.

Commissioner Collins made a motion, seconded by Commissioner Gamble, to approve a resolution [to be known as Resolution 2006-12] to allow the transfer of funds from the Waste Water Treasury Index Account to the Checking account at the Morrill & Janes Bank & Trust Co. to balance the fund budget for expenses paid in 2006 and authorize the Mayor and the City Clerk to sign the necessary documents. Motion carried. 5 ayes.

10.  Consider Approval of Payment to Kansas Municipal Insurance Trust (KMIT) for Workers’ Compensation Insurance 2007 Premium

Commissioner Schmitt made a motion, seconded by Commissioner Collins, to approve payment to the Kansas Municipal Insurance Trust for Workers’ Compensation Insurance 2007 Premium in the amount of $26,667.00. Motion carried. 5 ayes.

11.  Consider Approval of Payment to Brown County Treasurer for Payment of First Half of Taxes on the Hemisphere GPS Building.

City Administrator Ladner explained that when the City closed on the former Wal-Mart building, the purchase price was reduced by $12,391.81 at closing to cover the estimated property taxes for the first six months of 2006. These taxes have come due and the City is responsible for paying this amount of the overall 2006 property taxes which total $25,910.06. Hemisphere GPS is responsible for the remaining portion of the property taxes as they have not yet applied for tax abatement. Hemisphere GPS will be paying the remaining $13,518.25.

Commissioner Gamble made a motion, seconded by Commissioner Schmitt, to approve payment to the Brown County Treasurer for payment of the first half of the taxes on the Hemisphere GPS building in the amount of $12,391.81.

12.  Consider Approval of Payment of the Remaining Fund Balance to Morrill Public Library.

Commissioner Schmitt made a motion, seconded by Commissioner Gamble to approve the disbursement to the Morrill Public Library of $3,115.03 from the library fund and the remaining $1,644.72 from the general fund to be reimbursed to the general fund when the final disbursement is received from the County Treasurer for a total amount to equal $4,759.75 for the remaining fund balance for 2006. Motion carried. 5 ayes.

13.  Consider Approval of Payment to Fire Chief for November 2006 Runs.

Commissioner Collins made a motion, seconded by Commissioner Gamble, to approve the payment to the Fire Chief in the amount of $1,160.00 for the November 2006 fire runs. Motion carried. 5 ayes.

14.  CONSENT AGENDA

1. Payroll Appropriation #1072 in the amount of $35,129.38.
2. Approve Contractor License Renewal (1), Electrician License Renewals (7), Plumber License Renewals (4), Solid Waste License Renewals (2), Cereal Malt Beverage License Renewal (1).

Commissioner Schmitt made a motion, seconded by Commissioner Shamburg, to approve the consent agenda as presented. Motion carried. 5 ayes.

15.  Executive Session to Discuss Real Estate.

Commissioner Shamburg made a motion, seconded by Commissioner Gamble, to go into executive session for 20 minutes to discuss real estate and to include City Administrator Lynne Ladner. Motion carried. 5 ayes. Commission went into executive session at 6:15 p.m.

 At 6:35 p.m. Commissioner Shamburg made a motion, seconded by Commissioner Gamble, to return to open session. Motion carried. 5 ayes.

16.  Executive Session to Discuss Non-elective Personnel.

Commissioner Schmitt made a motion, seconded by Commissioner Gamble, at 6:36 p.m. to go into executive session to discuss non-elective personnel and to include City Administrator Lynne Ladner and to return to regular session at 6:50 p.m. Motion carried. 5 ayes.

Commissioner Schmitt made a motion at 6:50 p.m., seconded by Commissioner Shamburg, to extend the executive session until 6:55 p.m. Motion carried. 5 ayes.

Commissioner Schmitt made a motion at 6:55 p.m., seconded by Commissioner Shamburg, to extend the executive session until 7:00 p.m. Motion carried. 5 ayes.

Commissioner Schmitt made a motion at 7:00 p.m., seconded by Commissioner Gamble, to return to open session.

17.  Lynne Ladner, City Administrator.

Administrator Ladner told the Commission that she has tentatively scheduled a code conference with the League on January 8, 2007, to go over the revised Municipal Code.

Tom Singleton will not be available to be here for the budget amendment hearing. He said he could send one of the other staff members, but that they are not familiar with the City of Hiawatha budget, so they would probably not be able to answer any questions. She asked the Commission what they would like to do since Mr. Singleton would not be able to be here.

The Commission agreed that they would not have another staff member come. They requested a copy of the e-mail from Tom Singleton with his explanation of the process.

Administrator Ladner also told the Commission about a planning and zoning training in Overland Park on January 23, 2007. She said she would like permission to send the chairs of the Planning and the Board of Zoning Appeals and Code Officer Malcolm Grier to the training. The cost is $319 each.

The Commission agreed that it was a good idea.

18.  Mayor Gernon.

Mayor Gernon said he had received a letter from the Kansas State Administration Board concerning some irregularities on the 2007 budget. Administrator Ladner indicated that we have sent a copy to Tom Singleton.

Today the City held the first landlord meeting, approximately eight people were present. He thought it would be wise to have a broad based citizen ad hoc committee to evaluate the existing nuisance and abatements ordinances as well as some recent proposed property maintenance standards and come up with a consensus for the commission as to what would make sense as we update our municipal code. He suggested that each commissioner appoint somebody to be on the committee, as well as having the school board, the Hiawatha Foundation for Economic Development, the Hiawatha Chamber of Commerce, and the Landlord Committee each appoint someone to serve on the committee. He asked that the Commission give it some thought and discuss it again next week.

19.  Com. William Collins.

20.  Com. Curtis Gamble.

21.  Com. Marianne Schmitt.

22.  Com. Steffen Shamburg.

23.  Adjourn.

Commissioner Shamburg made a motion, seconded by Commissioner Gamble, to adjourn. Motion carried. 5 ayes. Meeting adjourned at 7:10 p.m.