January 29
CITY OF HIAWATHA
CITY COMMISSION MINUTES
MONDAY, JANUARY 29, 2007
5:35 P.M.
HIAWATHA CITY HALL
723 OREGON ST.
1. Pledge of Allegiance/ Call to Order
The Hiawatha City Commission met on Monday, January 29, 2007, at 5:35 p.m. at City Hall with Mayor Gernon, Commissioner Gamble, Commissioner Schmitt, Commissioner Collins and Commissioner Shamburg present.
2. Approval of minutes of the January 22, 2007, City Commission meeting.
Commissioner Gamble made a motion, seconded by Commissioner Shamburg, to approve the minutes of the January 22, 2007 City Commission Meeting as presented. Motion carried. 5 ayes.
3. Presentation of petitions, public comments, memorials.
a. Proclamation of National Scout Anniversary Week February 4 through February 10.
Mayor Gernon read and signed the Proclamation of National Scout Anniversary Week February 4 through February 10. He presented the proclamation to Scout Leader Jeremy Stover.
b. Officer of the Year Award presented by Chief Woehlecke.
Police Chief Evans Woehlecke presented the Officer of the Year Award for 2006 to Officer Mike Williams.
c. Administrator Lynne Ladner introduced Mike Lynch with Torgeson Electric. They will be doing the Post Lantern installation and plan to start Tuesday, January 30.
Old Business
4. Consider Proposal for Inspection and Engineering Support for Post Lantern Streetlight Project.
Administrator Ladner introduced Brian Kingsley, BG Consultants. Mr. Kingsley asked if they had any questions.
Mayor Gernon asked if it was normal to hire the contractors and then hire the observation engineer.
Kingsley replied that it was.
Kingsley said that the observation engineer would be here to observe and to act as liaison between the public and the City staff. He also discussed some of the anticipated problems such as documenting the preconstruction condition. He said that having an inspector on site is a benefit to both the contractor and the city. In constructing a $1.3 million project, there will be a number of things come up. In running conduit, there will be a number of utilities that will be crossed. An inspector would also make sure that things don’t get overlooked during the construction.
Kingsley said that initially there would be eight hours to document the materials. He explained that the bases would be refurbished as much as possible. He said that they would observe the demolition and try to avoid damaging the bases. There would be eight hours of observation of pole fabrication to be sure that they are being done properly. He allowed for an observation engineer to come to the sight every other day to document the progress, document utility conflicts, verify that the rebar and concrete are installed properly, inspect the wiring and verify the wire size and connections, and finalize the project to do pay requests, change orders, and document and answer questions.
Commissioner Collins asked Mr. Lynch, Torgeson Electric, if he felt it was necessary to have an observation engineer on site.
Mr. Lynch said that they would give the City a quality product whether or not someone was observing, but that someone should be there on a daily basis to answer questions, be it an engineering observation consultant or a city employee. He said that he would like to have someone to be there.
Mayor Gernon said that clearly someone did need to be there as an observer, and wondered if Rick Koenig, Water and Lights Superintendent, had the time.
City Administrator Ladner said that she doubted that Rick Koenig would have the time to do the inspections along with his other responsibilities as head of both the Water Department and the Light Department.
Mr. Kingsley said that they are charging by the hour on this project, so they could cut the hours if necessary.
Mayor Gernon asked Mr. Lynch what type of inspection was done in other projects. He said that it varied between cities. He noted that as far as quality control, if an inspector was on site, they would be liable for any inconsistencies, if not, it would be the responsibility of the contractor.
The Commission discussed limiting the number of hours for an inspector to be on site, or limiting the amount to be spent on inspection services to $25,000. They discussed having city staff do the inspections or sharing the inspection responsibility, as well as availability of city staff to perform inspection duties along with their regular duties. Mr. Kingsley expressed concern about liability on the project if inspectors were too limited on the hours they could be on site.
Kingsley said that he would work with the city on whatever budget they come up with, but that he would like to have a time commitment from the staff as to how many hours they could be available.
Mike Lynch, Torgeson Electric, offered an explanation to a question asked by Rance Hixson, Post Lantern Streetlight Committee, concerning what they plan to do about the bases which were unusable. He said that they have provided a cast of the original bases to a foundry firm in Topeka, who will be able to use it to replace any base which is not usable. He said that he will be able to provide a mock-up of one for the Streetlight Committee to see, which he will bring to City Hall on Tuesday. He said that this firm is the one who will also be removing the lead and powder coating the bases.
Lynch mentioned that they would be using epoxy rather than lead to connect the poles to the bases, which was decided upon at a prior city commission meeting.
Mr. Hixson questioned Lynch about the service that they could expect from Sternberg Lighting. Lynch indicated that they are a quality company, but sometimes require a little push. Administrator Ladner said that she has requested a sample light fixture and a paint sample from Sternberg, which had not yet been received, and has ordered the fixtures needed, which should be here within four to six weeks. Lynch said that they really need the sample fixture right now, so that they can begin the powder coating. They need to be able to match the powder coating. Administrator Ladner said she would call them again.
Commissioner Shamburg did not want to subject the city to the liability which they may face if city staff is used for the inspections. He said we should not skimp on observation after we have spent more than $1 million on the project, and that the city would be foolish to take this [inspection] on ourselves.
Commissioner Schmitt reminded the Commission that the $54,000 was still $25,000 under what was estimated for the project.
Commissioner Collins argued that the amount was still too high and that the city should put it [the engineering observation] up for bids.
Commissioner Shamburg said that they should not change engineers in the middle of the project.
Brian Kingsley said that he just needed to know where they stood in terms of how many hours to plan on.
Mayor Gernon suggested again that they could set a limit of $25,000 and then revisit the issue. There could be weekly meetings between Torgeson, the committee, and Administrator Ladner, with weekly reports to the Commission on the progress and how many observation hours were being needed.
Kingsley proposed that they get through the first month and see where they were at.
Commissioner Shamburg explained that working from a $25,000 budget from the beginning would limit the number of man hours from day one, and trying to spread that through the whole project would really limit the amount of time they could provide an inspector, where if they were working from a $54,000 budget they could more easily see if their projections were accurate.
Kingsley agreed that they could have someone here eight hours per day initially, then trail off as things progress. By that time they would have a better understanding of the contractor’s hours and how they are interacting, how much time city staff would be able to be there and how comfortable they are with the inspection process, and report back to the Commission.
Mike Lynch, Torgeson Electric, said that during the first two weeks they would not be doing any threshold boring at all, that they would be only doing the demolition and removing of the poles and bases. The third week they will have a pothole crew here to locate utilities. He said it would be about a month before they would start doing any actual boring.
Administrator Ladner noted that it was a six-month project, and suggested they look at things again in April to see if the project is on schedule.
Mayor Gernon suggested that if the Commission keep a running total each week, they would know where they were at on the use of the allotted observation hours.
Commissioner Schmitt made a motion, seconded by Commissioner Shamburg, to accept and approve the submitted proposal for construction inspection services and engineering support for the Post Lantern Streetlight Project not to exceed $54,000. Motion carried. 3 ayes. 2 nays. Commissioner Collins and Commissioner Gamble voted nay.
New Business
5. Consider Approval of Resolution of Intent for Refinance of the 2002 Hiawatha Community Hospital Bonds.
John Moore, Hiawatha Community Hospital Administrator, said that it was the hospital’s desire to refinance the outstanding Series 2002 Bond Issue, and replace them with a new Series 2007 bond to be done in April of 2007, with lower interest rates. This would show a substantial savings for the hospital, which could allow us to pay it off three years early. The savings would amount to approximately $1.2 million.
Mayor Gernon said that according to Kevin Cowan, Gilmore & Bell, passing this resolution was the initial step [to refinancing the bond.]
Commissioner Schmitt made a motion, seconded by Commissioner Collins, to approve Resolution 2007-03, a Resolution of the Governing Body of the City of Hiawatha, Kansas determining the advisability of issuing hospital refunding revenue bonds of said City for the purpose of refunding the City’s health facilities revenue bonds (Hiawatha Hospital Association Project), Series 2002, and authorize the mayor to sign. Motion carried. 5 ayes.
6. Approve Planter Tree Plan from Grimm’s Gardens.
Administrator Ladner explained that during the preparation of the Streetscape Project, the committee met with the State Forrester to determine the best landscaping solution for the new planters. Grimm’s Gardens was selected to provide and plant the trees for this project. They have provided four options. These options include two different calipers of trees and the option for each of purchasing the guarantee for the trees or not.
The committee has in the past recommended that we go with the two inch caliper trees that are guaranteed and that is the plan that they based their costs on when determining the amount necessary for planter donations which included planting the trees.
Administrator Ladner pointed out that each of the trees have the same exact cost. Mr. Grimm was talking to the State Forrester about changing the quantities of the trees, due to the location in which they are to be planted. The eastern redbud is less heavily foliaged, and would be better suited to areas where visibility is an issue, such as the theater corner marquee and corners where stop lights and stop signs are located.
Her recommendation was that the Commission approve the purchase of nineteen trees, the exact quantity of each kind of tree to be determined after further discussion.
Commissioner Gamble suggested asking the store owners what they would prefer to have in front of their stores. He said that the Capitol Pear would get about 35 feet tall, the Amur Maple would get 15 feet tall, and the Redbud would get about 20 to 30 feet tall, and would spread out 15 to 20 feet. Some of the store owners may not even want a tree in front of their store.
Administrator Ladner agreed because a number of store owners had come to the city with concerns about the trees blocking visibility of their signs or destroying their awnings, and creating a roosting place for birds to gather and leave droppings on the sidewalks below.
Commissioner Schmitt said that the trees that had been planted in earlier years were to have been dwarf trees but were not. She suggested that this go back before the committee for further discussion, especially because of the concerns of the business owners.
Commissioner Gamble said that a dwarf Alberta Spruce tree would be less expensive and grow very slowly. They could even be decorated eventually. He noted that not one of the trees on the list spread less than 15 feet.
Commissioner Collins said that his maple trees had destroyed his sidewalks with the root system.
Mayor Gernon suggested that this go back before the committee to select some smaller trees and discuss the situation with the business owners.
No further action was taken.
7. Consider Approval of the Annual Payment to Kansas Army National Guard as Stated in Memorandum Agreement dated January 11, 1993.
Administrator Ladner explained that on January 11, 1993, the city entered into a Memorandum of Agreement with the Hiawatha National Guard to provide a $2000 per year annual payment to the Station Fund located at the Citizens State Bank.
She said that she had not been able to find any information as to how many years the payment was to continue to be made, and needs to research to see how long the commitment was to go on.
Commissioner Gamble made a motion, seconded by Commissioner Schmitt, to approve the payment of $2000 to the Hiawatha National Guard Station Fund per Memorandum of Agreement dated January 11, 1993. Motion carried. 5 ayes.
8. Consider Approval of Disbursement of Interest from Memorial Funds to Hiawatha Ministerial Alliance.
Administrator Ladner explained that there are four memorial funds within the City’s administration: C.H. Janes Memorial, Morrissee Memorial, Hassenpflug Memorial, and the GAR Memorial. It has been brought to our attention that these memorials were left to the City to be invested and the interest from these memorials was to be distributed to the poor, according to past mayors. So far we have not been able to establish the origination date of any of them, nor any substantiation of fact as to how the memorial funds were originally set up to be used.
In prior years, the distributions have gone to the Ministerial Alliance to help with their distributions for the needy. The last distribution was made in 2001. At that time the actual fund balances appeared to be a combined total of $8223.27. When the 2004 and 2005 audits were done, amounts were calculated to show compounded accumulated interest from 2001 through 2005 of $4,469.10. The auditors said they based this calculation on an average interest rate of 5.5%.
The distribution made in 2001 was $478.60. Four years at that amount would have equaled $1914.40.
A 2006 interest amount has yet to be determined and could not be distributed until after the 2006 audit is completed.
The Hiawatha Ministerial Alliance has asked if the interest funds for the years 2002 through 2005 could be distributed to them now.
City Administrator said that she felt that the $4,469.10 in calculated interest was overstated. She suggested that the City distribute the $1914.40 this year, and leave the balance of the calculated interest in the funds. The City should then try to come up with a more accurate way of calculating the yearly interest in order to have a better idea of the amount to be distributed next year.
Reverend Plumer, United Bethany Church of Christ and president of the Ministerial Alliance, admitted that she did not know much about the memorials either, only that she knew that there were funds that had been distributed in prior years. She agreed that the Commission should distribute the amount that they reasonably feel was the correct amount, and then establish a method to calculate the distribution on an annual basis.
Commissioner Collins made a motion, seconded by Commissioner Gamble, to approve the distribution in the amount of $1914.40 to the Hiawatha Ministerial Alliance. Motion carried. 5 ayes.
Commissioner Collins asked that more research be done on these memorials.
9. Consider Resolution 2007-02 for the Removal and/or Demolition of Property.
Administrator Ladner explained that in accordance with the City Ordinance relating to Nuisance and Abatement, this resolution is being presented to the Board of Commissioners for approval. The resolution sets a hearing date of February 19, 2007 at 5:35 p.m. for the purpose of determining why the structure at 1310 Iowa Street, Lot 1, should not be condemned as unsafe or dangerous structure or dangerous conditions, and ordered repaired, demolished, or removed or said conditions be made safe.
Mayor Gernon stated that Malcolm Grier, Code Enforcement Officer, said that he had the registered letters back, and that this resolution was just part of the procedure.
Administrator Ladner said that all of the procedures had been followed.
Commissioner Schmitt made a motion, seconded by Commissioner Collins, to approve Resolution 2007-02 setting the hearing date for the property located at 1310 Iowa Street, Lot 1. Motion carried. 5 ayes.
10. Consider Approval of the February 1, 2007 Payment to Kansas Department of Health and Environment on the KPWSLF Project No. 2066 Loan.
Commissioner Collins made a motion, seconded by Commissioner Gamble, to approve the payment to Kansas Department of Health and Environment in the amount of $50,582.24 for the loan payment for loan number 2066. Motion carried. 5 ayes.
11. Consider Approval of a Resolution Reconfirming Support for the Regional Strategic Plan.
Administrator Ladner explained that this Resolution No. 2007-04 was a resolution reconfirming support for the qualifying regional strategic plan and requesting the Secretary of Commerce re-approve the counties of Brown and Nemaha as a Kansas Enterprise Zone designated non-metropolitan region.
She indicated that this is part of the paperwork that the Northeast Kansas Rural Development Association has to fill out each year for the State.
She pointed out that to her knowledge no one has yet used the regional business incentives in Brown County or Hiawatha. She said that she has spoken with Marian Tubach, Economic Development Director, about a business that might be able to use the incentives mentioned in the plan. They plan to keep this in mind as other businesses approach the city. There would be a cost to the city.
Commissioner Gamble made a motion, seconded by Commissioner Shamburg, to approve Resolution 2007-04, a resolution reconfirming support for the Regional Strategic Plan and requesting the Secretary of Commerce re-approve the counties of Brown and Nemaha as a Kansas Enterprise Zone designated non-metropolitan region. Motion carried. 5 ayes.
12. CONSENT AGENDA
- Appropriation Ordinance #1113 in the amount of $13,598.92.
- Approve Utility Refunds in the Amount of $180.30.
- Approve Pawnbroker/Precious Metal Dealer License for Joan Gibson d/b/a The Pack Rat.
Commissioner Collins made a motion, seconded by Commissioner Gamble, to approve the Consent Agenda as presented. Motion carried. 5 ayes.
13. Lynne Ladner, City Administrator.
Administrator Ladner said that she had received a letter from Bottorff Construction regarding the light poles. She explained that the Streetscape Committee had ordered poles with a recessed outlet at the top of the poles. When the poles arrived in November, they had only a recessed outlet at the bottom. At that time, they were hoping to complete the project in early December with everything complete. Rather than delay the project six to eight weeks, Dynamic Lighting Company agreed to provide a second recessed outlet, this one at the top of the pole. When they went to install the poles, it was discovered that the outlets were not recessed. The committee was concerned that the outlet stuck out too far, and that they were not installed to code. They went back to the lighting company to see what they could do. At a meeting with the Streetscape Committee, a representative from Dynamic Lighting Company and the contractor it was decided that the poles would be replaced with the poles that were originally ordered. They will still have an in-use cover on them, so they will still not be completely flush like the outlets that the poles now have at the bottom, and which are not code approved. This will be done at no charge to the city.
Mayor Gernon commended Administrator Ladner, the committee, and Mr. Kingsley for their work in getting this resolved.
Administrator Ladner said that a few weeks ago, Dave Grimm, Waste Water Superintendent, had come before the Commission to resolve the issue of disposing of the sludge from the waste water treatment plant. She said she had a letter from Larry Nolte, who was interested in entering into an agreement with the City to take the sludge from the waste water plant to spread on his property. She asked for permission from the Commission to move forward in negotiating this agreement. This would eliminate the city’s need to purchase a higher horsepower tractor as well as a spreader, or paying someone to remove and spread the sludge for us.
Dave Grimm, Waste Water Superintendent, said that there would be some requirements to be met with KDHE. He wasn’t sure if he made it clear with Nolte that he would have to send samples to a certified lab. He understood from Nolte that he would absorb the cost of the testing.
Administrator Ladner said that they would have the City Attorney look into the matter, and bring it before the Commission for approval.
It was agreed to move forward with this.
Administrator Ladner said that the water main on Oregon Street was thought to be a state revolving loan fund project, with the funds coming from our state revolving loan program. When she approached the state about what we needed to do to get reimbursed for this project, she was informed that the paperwork to amend our loan agreement was never filed with the State. She pursued trying to get this amendment through but was not able to do so.
Therefore, the water main project has come out of city cash reserves. This was an expense we were not anticipating in either 2006 or 2007. The paperwork would have had to have been filed prior to bids going out, probably before May of 2006.
Commissioner Collins noted that in the original plans, if it was to be an extra expense it would not be included in the plans. He said he thought that they had approved the expenditures for the water main, with the understanding it would be reimbursed by the revolving loan funds.
Administrator Ladner said that the City had approved for former administrator Carl Slaugh to amend the original 2001 loan agreement, but the actual documents were never filed with the State.
Administrator Ladner said that some street work was started in Indian Hills a couple years ago, and residents were wondering if and when it would be completed. That original project was approximately 1000 feet, which cost the City at that time over $200,000. There is about 3688 feet of additional concrete work as well as 600 feet of asphalt work to completely redo the street. At this time, there is not an additional $400,000 to $800,000 to do the street.
Administrator Ladner said that she will be working with City staff over the next two months to put together a formal 10-year capital improvement plan for the Commission to approve. It would include projects such as street resurfacing and reconstruction, water main projects, and sewer main projects. A lot of the capital improvement projects have been deferred for several years in this community and are now coming to fruition with water and sewer main breaks. If there had been continual upgrades to the water and sewer systems, these would not be happening nor would they be as costly now. She plans to have this put together in time to be approved before the 2008 budget.
Commissioner Collins mentioned the drainage problem on Pottawatomie Street.
Administrator Ladner said that this project would be included in the plan. She said that it hadn’t been forgotten, but that it was about a $100,000 project which the City does not have the money for in this year’s budget. At the time she put the budget together for 2007, she was not aware of this issue. If the Commission wants it to be a priority, it can be put in the 2008 budget.
She said that the City had received a letter from Bill and Pat Bearce, owners of the property at 414 Miami. They have had the entire sewer line replaced from the house to the property line and still have had the problem of sewage going into Jim Patton’s yard because there is no city sewer main for them to connect to. They would like the City to help them come up with a solution, which would potentially be a new sewer main for that area.
She said that she and Dave Grimm, Waste Water Superintendent, have discussed this matter. Because it is a sewer project, it will need to go through KDHE, who will require it to be engineered. It will be approximately a $50,000 project. She would like some direction from the Commission to pursue working on that in the 2007 budget as one of the capital improvements. It could be funded several ways: by the City 100%, by 50% City and 50% benefit district or special assessment on the properties directly affected, or the City could choose to pay by benefit district special assessments and ask property owners to pick up the costs.
Dave Grimm said this would directly affect the houses in that location, and will eventually affect eight houses. Placing the new line will go up the utility right of way to give them good sanitary service without their private lines going 400 feet. They have their own easement, but it would be very costly. That area needs sewer extension. One sewer line goes through the grade school playground.
Mayor Gernon suggested that they come up with a priority list for the capital improvement list.
Administrator Ladner said that it would be the responsibility of the Commission to prioritize the list. She hopes to have the list to them by April. This will tie into the water and sewer rate study which is a true cost of service study, not a comparison study. That is, what it costs the City to provide water and sewer to the customers, the size of our lines, how much treatment we have to do, the cost of our treatment plant which we just put in versus other communities whose treatment plants are paid off, the fact that we don’t currently have a water treatment plant, but would also include potential funds to start a water treatment plant in ten to fifteen years if that becomes necessary, new wells, work to the reservoirs, and maintaining our water towers. It is not just looking at the state average for water and sewer service to decide what our water rate needs to be.
Administrator Ladner said that she had been approached by citizens who were interested in purchasing the poles and fixtures that will be removed during the streetlight project. She had discussed with the City Attorney the lead paint issue. His recommendation was that we warehouse them as they come down and plan for a late spring surplus property sale that would include the light poles from the streetlight project as well as the light poles from the streetscape project and any other equipment or fixtures that the city has no further need for.
She also said that the City had been approached by Cynthia Holliday, who currently resides at 907 Shawnee about purchasing the property at 909 Shawnee, which is a City-owned property or at least letting her put a garden in there in return for taking care of the property. She said that the City could sell the property as a developable lot. The Commission suggested looking into selling the property.
Administrator Ladner also asked the Commission about her evaluation which is due the end of January.
Mayor Gernon asked for evaluation forms to be distributed to the department heads for their input and to be returned to the City Clerk.
14. Mayor Crosby Gernon.
Mayor Gernon said that someone had mentioned some cracks in the sidewalk by H & H. This needs to be looked in to.
15. Com. William Collins.
16. Com. Curtis Gamble.
17. Com. Marianne Schmitt.
Commissioner Schmitt asked about vehicles bumping into the planters. Brian Kingsley, BG Consultants, said that the planters were a standard setback from the curb. He suggested that when they paint the stripes for parking, they lay out the parking places to avoid the fronts of vehicles coming into direct contact with the planters.
Administrator Ladner suggested using curb stops in front of the planters in the gutter area if necessary.
18. Com. Steffen Shamburg.
19. Adjourn.
Commissioner Shamburg made a motion, seconded by Commissioner Gamble, to adjourn. Motion carried. 5 ayes. Meeting adjourned at 7:43 p.m.