March 6
CITY OF HIAWATHA
CITY COMMISSION MINUTES
MONDAY, MARCH 6, 2006
5:35 P.M.
HIAWATHA CITY HALL
723 OREGON ST.
The Hiawatha City Commission met in regular session March 6, 2006 at 5:35 p.m. at City Hall with Mayor Trant, Commission Gamble, Commissioner Schmitt, and Commissioner Collins in attendance. Commissioner Shamburg entered the meeting at 6:15 p.m.
1. Pledge of Allegiance/ Call to Order
Mayor Trant stated that he would like to discuss items 14, 12, and 13 after item 5 and would like to discuss items 7 and 8 right before the consent agenda.
Commissioner Schmitt made a motion, seconded by Commissioner Gamble, to move items 14, 12, and 13 after item 5 and items 7 and 8 before item 15. Motion carried, 4 ayes.
2. Approval of minutes of the Feb. 27, 2006 city commission meeting.
Commissioner Schmitt made a motion, seconded by Commissioner Collins, to approve the minutes of the Feb. 27, 2006 city commission meeting. Motion carried, 4 ayes.
3. Presentation of petitions, public comments, memorials – None
Old Business
4. Consider funding options for the Schuneman Addition.
City Administrator Slaugh stated that at the last meeting, the city commission considered options for funding the Schuneman Addition. Originally the governing body elected to take a portion of the project cost from reserve, and to finance $75,000 of that through a local bank for four years. The option of taking it from the reserve fund instead was proposed last week. The total project cost including building, design and equipment is $456,690. As of March 2, there was a little over $800,000 in the general fund reserve. This amount has grown since 2002, because of unexpended funds. The reserve would be brought down to $695,000 if we take the Schuneman Addition expenses out of it. It is proposed to take $300,000 from reserve for the Main Street project. With both projects, the reserve fund would be brought down to the level it was at in 2002, which is still a healthy level for the city. The city would be safe in taking the total amount of expenses over and above the Schuneman estate which will be approximately $126,690 out of the general reserve.
Commissioner Gamble asked how this would affect the mill levy.
City Administrator Slaugh stated that it should not affect the mill levy. If the mill levy was affected, it would be from Economic Development and not the Schuneman Addition.
Mayor Trant stated that nothing would be affected until the 2007 budget.
Commissioner Gamble stated that he thinks that we have adequate funds to pay for it ourselves. He stated that he would be in favor of paying for it now, as long as the city is not at risk.
Commissioner Gamble made a motion, seconded by Commissioner Collins, to pay for the rest of the Schuneman Addition with general funds in the amount of $75,000. Motion carried, 4 ayes.
New Business
5. Report from the Chamber of Commerce.
Brian Theis, President of the Hiawatha Chamber of Commerce, expressed his thanks to the Commission for their support. He presented a schedule of upcoming 2006 events for the Chamber of Commerce. He requested a $5,000 budget allocation to the Hiawatha Chamber of Commerce for 2006.
Mayor Trant expressed appreciation for the Chamber’s efforts. He stated that it seems that the Chamber is getting tied in closer to the Convention and Visitor’s Bureau.
Laura Brobst stated that it is not a new arrangement, but is a more visual connection now.
Commissioner Collins stated that he believes that the Chamber markets the city and that they should get more than $5,000. He stated that they have done a super job.
Commissioner Collins made a motion, seconded by Commissioner Schmitt, to increase funding to $6,000 for the Hiawatha Chamber of Commerce. Motion carried, 4 ayes.
6. Consider approval to continue participation in the Firefighter Relief Fund for 2006.
Mayor Trant stated that this is an annual requirement to keep the fire department current with the firefighter’s relief fund.
City Administrator Slaugh stated that the fire department has 21 volunteer fire fighters. The city has agreements with the Padonia and Hiawatha Townships and receives an annual payment of $3,000 from Padonia Township and $5,000 annually from Hiawatha Township.
Commissioner Gamble made a motion, seconded by Commissioner Collins, to authorize renewal of the Firefighter Relief Fund and authorize the Mayor to sign the Declaration for Participation in the Firefighters Relief Fund for 2006. Motion carried, 5 ayes.
7. Consider approval of an ordinance to implement a requirement for a contractor’s license in the City of Hiawatha.
Mayor Trant stated that this issue has been discussed on and off during the municipal code work sessions. He stated that he has a few problems with the ordinance. It was confusing whether an application, certification, or a license was being addressed in the document. Mayor Trant stated that he would like to see a specific future date when the ordinance would be made effective. He stated that the city might want to consider making this ordinance a building trades contractor’s license to include contractors, electricians, and plumbers. He stated that at the last legislative session, the Kansas Legislature established some kind of continuing education requirement for electricians and plumbers that are licensed by cities. It was passed on to the city to institute that requirement for the licenses.
Dean Tollefson stated that the section on the bond was discussed on two different nights at the work sessions. He stated that the bond only generates commissions for insurance salesmen. He stated that he thought the city decided to do away with this requirement. He asked what the purpose is of requiring a $10,000 bond.
Mayor Trant stated that the bond requirement was removed and then three weeks later it was reinstated but he could not recall why.
City Administrator Slaugh stated that it was reinstated to make it correspond with the plumber and electrician license requirements.
George Mattson stated that a couple of years ago, he brought up requirements for contractors. He stated that there is a state licensing organization that is in multiple states. By having standardized licensing, they insure that contractors have read through the code book. He stated that he hopes that the city would require state licensing.
Mayor Trant asked whether this organization is a private association or state affiliated.
George Mattson stated that it is a private organization. The state does not require licensing unless it is a state project or an engineering corps project.
Commissioner Schmitt stated that with the hailstorm last summer and the roofing projects, this issue did come to light.
Commissioner Schmitt made a motion, seconded by Commissioner Gamble, to approve Ordinance 956 providing for the licensing of building contractors in the City of Hiawatha and authorize the mayor to sign the document. Motion carried, 4 ayes, 1 nay. Mayor Trant voted nay.
8. Consider approval of an ordinance to implement the decision of the governing body to adopt an updated building code for the City of Hiawatha.
City Administrator Slaugh stated that the building codes currently adopted by the City of Hiawatha are as follows: 1991 Uniform Building Code, 1997 Uniform Plumbing Code, 1993 National Electric Code, some additional Municipal Code Restrictions, 1991 Uniform Mechanical Code, and State Adopted 1991 Life Safety Code. At the October 17, 2005 city commission meeting the governing body approved on a 5-0 vote an update to the building codes for the City of Hiawatha. Ordinance 957 implements the decision of the governing body. The code sets to be adopted by reference are the following: 2003 International Building Code, 2003 International Residential Code, 2003 International Existing Building Code, 2003 International Plumbing Code, 2003 International Fire Code, 2003 International Mechanical Code, and 2005 International Electrical Code. The building code covers all buildings except three story and town homes. The commercial code covers stand alone one and two family dwellings of three stories or less. The existing building code covers repairs and alterations giving more flexibility when determining level of compliance. The fire code deals with anything relating to fire. The mechanical code covers air conditioning, heating, refrigeration, and other items. The electrical code is on a different cycle but still falls under the ICC, the International code council. The property maintenance code is not included in the sets recommended for adoption. These codes could be implemented on a specific date of May 1, 2006 and that date could be added to the ordinance into the paragraph covering the effective date. The ordinance would still be published but would note when the effective date is in section 11. The 2006 codes are out and are being distributed the second week of March. It is not anticipated that we would update these codes every three years but probably on a 9 year cycle. The cost of updating will be in the neighborhood of $1,500. We will have three copies at City Hall and one copy at the library.
Mayor Trant stated that in section 12. B., it states, “the Board of Zoning Appeals of the City of Hiawatha is hereby appointed as the Appeals Board to hear any appeals made on decisions of the Code Enforcement Officer.” He stated that according to the League of Kansas Municipalities, the governing body is in charge on the final determination of code issues. Mayor Trant stated that the International Property Maintenance Code is not being adopted but he wondered to what extent it is being incorporated. He stated that in chapter one of the International Building Code, it states that the property maintenance code shall apply to existing structures. He stated that this appears to be one code calling out another code that is not visible from outside the book.
City Administrator Slaugh stated that in general the International Building Code is the parent document and all other sets follow under it. The Existing Building Code deals primarily with the maintenance of electrical, plumbing, and HVAC. It would give guidelines on remodeling projects but would not dictate how they are maintained.
Mayor Trant stated that there are seven property code references in chapter one. He stated that he feels that this specific paragraph should be deleted in the adopted ordinance.
City Administrator Slaugh stated that he does not think we need to take exception to what we are not implementing. He does not think we are required to delete those sections.
Mayor Trant stated that this is one of those things that you get involved in when you start cross referencing.
City Administrator Slaugh stated that there are other sections that we are not implementing. The recommended ordinances for adoption do not need to take exception to those we do not implement.
Mayor Trant stated that he would like to table this ordinance and talk to Don Cashman about it. He also suggested implementing a specific start date, because we cannot enforce anything until we get the books in hand.
Commissioner Gamble stated that we have until May 1 to get the books.
Commissioner Gamble made a motion, seconded by Commissioner Schmitt, to approve Ordinance 957 updating the building codes for the City of Hiawatha with an effective date of May 1, 2006 and authorize the mayor to sign the ordinance. Motion carried, 4 ayes, 1 nay. Mayor Trant voted nay.
9. Consider approval for payment of property taxes and specials on the Longfellow business park as part of the economic development effort for the Hiawatha Foundation for Economic Development.
City Administrator Slaugh stated that at the Jan. 17, 2006 city commission meeting authorization was given to make a partial payment on the Longfellow property taxes with available funding. Additional sales tax revenue has been received adequate to make an additional payment to pay off past due amounts. Total sales tax revenue received year-to-date for economic development amounts to $94,064.06. Total expenditures amount to $71,283.46. Remaining revenue amounts to $22,780.60. Longfellow lots 1 through 9, half payment with interest through 3/7/06 amounts to $12,726.57. With this payment, all property taxes will be current.
Commissioner Schmitt made a motion, seconded by Commissioner Collins, to approve payment of $12,726.57 to Brown County for the property tax and specials for the Longfellow properties, lots 1 through 9, using revenues from the ¼-cent sales tax for economic development. Motion carried, 5 ayes.
10. Consider approval for purchase of a copier to be used primarily for utility billing.
City Administrator Slaugh stated that we have used the HP 8000 printer for over 10 years. It is at the point now that we are having substantial problems with it. It barely got last month’s billing out. He stated that he felt like this was the time to invest in a new copier. We had one company give a quote and mailed it out for bids. We decided to include in this machine the current technology, which is copy, scan, fax, network capabilities, and improved capability in terms of copies/minute. The lowest cost machine was an Imagistics. They have their own brand of equipment. The other machine we have is a Sharp. We thought it would be better to stick with the same company. We also looked at a color option. He stated that color is not really needed at this point. The increased capabilities will give us a backup to the other machine. He suggested that we enter a maintenance agreement. It would insure we remain in operation for utility billing. The total cost comes to $7,195 with a finisher and the maintenance option would be $115/month plus $.012/copy for any copies over 10,000/month. He stated that we would probably negotiate with them for the first few months to do per copy maintenance.
Commissioner Gamble asked where Imagistics is from and what would be the difference in maintenance agreements.
City Administrator Slaugh stated that Imagistics would not be that far off from Imaging Solutions.
Commissioner Gamble asked if there was any indication how long it would take Imagistics to get here for a maintenance call.
City Administrator Slaugh stated that four hours is a standard.
Commissioner Gamble stated that the reason the Sharp is recommended is because we have another Sharp copier. He asked how much we pay on maintenance currently.
City Administrator Slaugh stated that we do not have a maintenance agreement on the HP 8000.
Commissioner Schmitt asked if Imaging Solutions would adjust the maintenance agreement.
City Administrator Slaugh stated that we could go on a per copy price. The maintenance agreement includes all parts, labor, and supplies except paper and staples. He stated that we could go without a maintenance agreement for the first year. We call once every three months on our current machine and a complete service is done when they come out.
Commissioner Gamble stated that the other one is only about $1,000 less and the maintenance agreement is not that much less. He stated that he would be more in favor of going with the low bidder.
Mayor Trant stated that he has never heard of an Imagistics copier.
Commissioner Schmitt stated that the Sharp has a 3 year term on maintenance whereas the Imagistics has a 2 year term.
Commissioner Schmitt made a motion, seconded by Commissioner Shamburg, to approve the purchase of a black and white copier, Sharp Model AR-M355NB, from Imaging Solutions of St. Joseph, Missouri for $7,195 and authorize a maintenance agreement for approximately $115 per month for 3 years. Motion carried, 3 ayes, 2 nays. Commission Gamble and Commissioner Collins voted nay.
11. Consider approval to vacate an easement acquired as part of the 2001 Water Improvement project.
City Administrator Slaugh stated that he did not find anything to conflict with this easement at the courthouse.
Commissioner Gamble made a motion, seconded by Commissioner Shamburg, to approve the release of right of way agreement for waterline over the Ronald L. Grove property and authorize the mayor to sign the required document. Motion carried, 5 ayes.
12. Consider a request for partial payment #22 to A.H.R.S. Construction, Inc. for Phase 1 work on the Waste Water Treatment facility.
City Administrator Slaugh stated that the waste water treatment plant is in operation now. Substantial completion for Phase I was reached on Nov. 29, 2005. Phase 1 has been completed except for seeding which was scheduled for March 1, 2006 and verification of some parts of the operation of the main plant which will need to wait until the biological processes are functioning, expected some time around April or May. The retainage has been reduced to $30,000 until all items have been completed.
Commissioner Schmitt made a motion, seconded by Commissioner Gamble, to authorize partial payment request #22 to A.H.R.S. Construction, Inc. in the amount of $249,622.89 subject to final approval by Rural Development and authorize the mayor to sign the necessary documents. Motion carried, 5 ayes.
13. Consider a request for partial payment #11 to A.H.R.S. Construction, Inc. for Phase 2 Part A work on the Waste Water Treatment facility.
City Administrator Slaugh stated the seeding was scheduled to start on Wednesday and is mostly completed. The retainage of $20,000 is planned to cover seeding and FRP duct work. Commissioner Gamble made a motion, seconded by Commissioner Shamburg, to authorize partial payment request #11 to A.H.R.S. Construction, Inc. for Phase 2 Part A work on the Waste Water Treatment Facility in the amount of $178,423.36 subject to final approval by Rural Development and authorize the mayor to sign the necessary documents. Motion carried, 5 ayes.
14. Consider contract obligations with AHRS Construction on the Wastewater Treatment facility.
City Administrator Slaugh stated that the contract contains proposed substantial and final completion dates. The contract also contains liquidation damages if those are not met.
City Administrator Slaugh stated that A.H.R.S has done a great job on constructing the Waste Water Treatment Facility. The quality of work has been outstanding. The job superintendents have been honest, forthright, and congenial. The project superintendent, Jerry Stallbaumer, has done a great job of keeping things on schedule and keeping city staff informed of issues. The two job foremen, Jerry “Big Dog” Stallbaumer and Jim Lippold, have also been great to work with and have kept the project moving through all sorts of difficult weather conditions and unforeseen construction challenges.
City Administrator Slaugh stated that part of the discussion on liquidated damages includes the additional cost to the city. The biggest factor is probably the additional engineering expenses. Bartlett & West has estimated the additional cost for resident observation on phase one at $3,133.52 and for phase two $13,217.29 or a total additional amount for resident observation services of $16,350.81.
City Administrator Slaugh stated that there are a couple of other items that may end up in the engineering category, but they are not being considered. He stated that if we followed the law to the tee, we would come up with an amount of over $60,000. Most cities do not impose liquidation damages unless there has been a specific dollar loss to the city. A.H.R.S, letter dated Nov. 21, 2005, listed some mitigating factors in the delay of completion: finding an aggregate for the concrete mix suitable to meet contract specifications and inaccurate estimate of time by Aero-Mod required to install supplied equipment, 1188 total hours versus actual of 2,000. We could impose somewhere between no penalty, a penalty of $16,350.81, and the estimates stated in the contract. The final completion dates will be extended to April or May.
Mayor Trant asked if the city would still be covered for this extended period from KDHE’s point of view.
City Administrator Slaugh stated that he would have to check on that issue. City Administrator Slaugh stated that we do not have a resident observer from Bartlett & West so we are not incurring more expenses. The amounts provided by Rural Development are fixed so there will be no additional funding from them.
Commissioner Collins asked if the city has to come up with the additional amount.
City Administrator Slaugh stated that the city does have to come up with the additional amount and at this point that amounts to $16,350.81.
Mayor Trant stated that this has to be considered an estimate.
Commissioner Schmitt asked if the representatives from A.H.R.S. had any comments.
Jerry Stallbaumer expressed thanks to Carl for the praise. The biggest factor in delay was finding an aggregate. He stated that they spent thousands of dollars testing aggregates and this set them back from the beginning. He stated that they thought they could make the time up. The city is reaping the value of the aggregate. The other problem was that Bartlett & West estimated 1188 hours and that number was way off. The city has the option for the liquidation damages. The delays were substantial but the city reaped a benefit from the delay.
Mayor Trant stated that he is very confident that we did end up with a very high quality product. He stated that it bothers him that we are slower getting everything up and running. As a direct result of the time overrun, the only cost that the city did incur was the observer time.
Commissioner Collins stated that the overrun is $16,000 and he has a problem with it. He asked if the engineers are interested in taking any part of this on themselves.
City Administrator Slaugh stated that he does not think they will volunteer to take responsibility.
Commissioner Schmitt asked Jerry Stallbaumer to explain the PSI specification.
Jerry Stallbaumer stated the he has never seen this specification required before.
Commissioner Schmitt asked what the average PSI is that you deal with.
Jerry Stallbaumer stated that 4,000 is standard but it was more the shrinkage test and the water soluble chloride ion test that caused delays.
City Administrator Slaugh stated that we have seen some problems with the concrete cracking which had been attributed to the aggregate absorbing too much water. This is why they did not want to have any problems on this project.
Commissioner Schmitt asked if there had not been the problem with the concrete, would the completion date have been met.
Jerry Stallbaumer stated that it would have been met. He stated that they spent much of the contract time not working.
Commissioner Gamble asked Jerry what would be a fair solution to the problem.
Jerry Stallbaumer stated that he would like the city to pay for it. He also stated that they are willing to work with the city in any way. He will debate the charges with Bartlett & West.
City Administrator Slaugh stated that the resident observation fees fall into a special category and the amounts are specified by Rural Development. They are based on the number of estimated days on the project and total cost of the project.
Mayor Trant stated that he recalls that there was a monthly flat rate in the beginning.
City Administrator Slaugh stated that it came out to $10,000/month on Phase I and $18,000/month on Phase II.
Commissioner Collins stated that he thinks someone owes the city $16,000. He stated that he would like to look into this more.
Commissioner Gamble stated that he agrees with Bill. He stated that the city is not responsible for the extra cost.
Mayor Trant stated that the one thing he is sure of is that the taxpayers did not contribute to the problem.
Commissioner Schmitt stated that she would like more information. She would like to know why Bartlett & West had this extra time. She stated that it seems there may not have been the hours expended that we paid for.
Commissioner Collins stated that if A.H.R.S can get the $16,000 out of Bartlett & West that is fine with him.
Commissioner Gamble stated that if you want to get more information that is fine but he is still not in favor of paying $16,000.
Mayor Trant stated that we can look back at the timeframes and the dollars expended to give us better insight.
15. CONSENT AGENDA
a. Appropriation Ordinance #1084 in the amount of $704,235.13.
b. Payroll Appropriation Ordinance #1053 in the amount of $31,878.61.
Commissioner Schmitt made a motion, seconded by Commissioner Gamble, to approve the Consent Agenda. Motion carried, 5 ayes.
16. City Administrator Slaugh – Historical events for the Hiawatha Sesquicentennial Book
City Administrator Slaugh stated that on March 7 at 4 p.m. there will be a Main Street/Post Lantern Street Light committee meeting at the Fisher Center. Brian Kingsley will be there. There will be a Municipal Code work session on March 7 at 5:30 p.m. at City Hall. On March 14 at 6 p.m. there will be a Planning Commission meeting at City Hall.
City Administrator Slaugh stated that the Hiawatha Sesquicentennial Book is still being worked on. They would like inputs on key events of the last 50 years and items of community interest. These can be submitted to the City Administrator and we will compile them and give them to the library. They need to be submitted by the end of March.
City Administrator Slaugh stated that the city has a cotton candy machine in the aquatic park that we tried to use for the first two years, but we had problems with the machine because of the wet environment. The recreation staff would like to advertise it for sale by sealed bids.
Mayor Trant stated that if it is not usable then there is no reason to keep it.
City Administrator Slaugh stated that it is useable but not in the aquatic park.
Commissioner Collins asked what it is worth.
City Administrator Slaugh stated that it is probably worth $200.
Commissioner Gamble asked if we could use it at Bruning Park.
City Administrator Slaugh stated that Terry Smith is not interested in putting it out at a concession stand. He stated that we could hold on to it for special events.
Commissioner Collins stated that we might as well keep it.
City Administrator Slaugh stated that maybe we could start renting it out for groups to use.
City Administrator Slaugh stated that at the Main Street meeting a few items will be discussed. The final plans, curb, sidewalk, planters, water line replacement, service connections, and signal lights. The cost of signal lights is not included in the project cost.
17. Mayor Leon Trant
Mayor Trant stated that the fire department let him know that the time is here to work on a grant to assist the firefighters through the Department of Homeland Security. The last three to four years they have tried to get a new fire truck but have been unsuccessful. The fire truck is still priority one. They would like to apply for a fire truck again. This is a 95/5% grant. Last year the amount was approximately $245,000. They are willing to try one more time if the commission is willing to let them.
The commission gave consensus.
18. Com. William Collins
Commissioner Collins asked if the fire department had got back to Carl on the planning for the Fire Station.
City Administrator Slaugh stated they are still waiting on information from the Firemen’s Relief Fund.
Commissioner Shamburg stated that they have run into road blocks on getting the information back.
19. Com. Curtis Gamble
Commissioner Gamble stated that in the water leak policy that was passed several weeks ago, there is nothing in place for anyone to pay their bill in installments. He proposed allowing residents to make payments on it if necessary on a case by case basis.
Commissioner Collins stated that he does not have a problem with looking at it because it could be an undue burden on somebody.
Commissioner Shamburg stated that as long as there is an attempt made on making payment he does not have a problem with it.
Mayor Trant stated that the trick will be making sure they are making current payments.
City Administrator Slaugh stated that we could do a poll and find out what type of provisions other cities have to give us other examples.
20. Com. Marianne Schmitt -none
21. Com. Steffen Shamburg
Commissioner Shamburg gave his apologies for being late.
Commissioner Shamburg made a motion, seconded by Commissioner Gamble, to adjourn at 7:49 p.m. Motion carried, 5 ayes.