ELLIS – A revision to the city’s New Retail Business Sales Tax Rebate Program was unanimously approved Dec. 17 by the Ellis City Council. The application deadline has been expanded to 60 days.
The complete meeting minutes follow.
ELLIS CITY COUNCIL
REGULAR MEETING
Minutes
December 17, 2018
CALL TO ORDER
Mayor David McDaniel called the meeting to order at 7:30 p.m. Present were Council members Bret Andries, Holly Aschenbrenner, Susan Eaton, Jolene Niernberger, and Bob Redger. Also present were Public Works Director Alan Scheuerman, City Clerk Amy Burton, Police Chief Taft Yates, Fire Chief Dustin Vine, and City Attorney Olavee Raub. Council member Dena Patee was absent.
PLEDGE OF ALLEGIANCE
AMENDMENTS TO AGENDA
None
PUBLIC PRESENT
Verda Flinn, Steve Ferland, Gary Luea, Glen Keller, Nickole Byers, and Martin LaBarge (arrived at 7:40 p.m.)
CONSENT AGENDA
Council member Holly Aschenbrenner moved to approve the consent agenda containing the Minutes from the Regular Meeting on December 3, 2018, Bills Ordinance #2059, and the October Manual Journal Entries. Council member Bob Redger seconded the motion. The Council approved the consent agenda 5-0.
PUBLIC COMMENTS
Nickole Byers spoke on downtown snow removal.
PRESENTATIONS OF AWARDS, PROCLAMATIONS, REQUESTS & PETITIONS (HEARINGS)
None
SPECIAL ORDER
Fire: Report
Fire Chief Dustin Vine presented his monthly report and spoke on several recent training events. Chief Vine thanked the Public Works Department for completing the annual flushing of the fire hydrants.
UNFINISHED BUSINESS
Campground: Special Project
Verda Flinn, Campground Committee representative, presented the sole bid from Driggs Design Group for engineering services for the Campground Expansion Project. Two other engineering firms declined to submit a bid due to time constraints. Mr. Driggs submitted two options with his bid – Option #1 with the City acting as the lead contractor on the project, and Option #2 where a complete design and bid package would be provided with an outside contractor selected to complete the project. The Campground Committee recommended Option #1 at a cost of $6,500. The Committee believes the engineering services included in Option #1 will meet the requirements to apply for the Kansas Department of Wildlife, Parks, and Tourism grant; however, Mr. Driggs’ bid states that Option #2 would be required to apply for State grants. Council member Bob Redger moved to accept Option #1 from Driggs Design Group in the amount of $6,500 with funds to come from the Campground Fund. Council member Holly Aschenbrenner seconded the motion. Upon a call for discussion, Council members again questioned why the bid specifically stated that Option #2 would be required to apply for the State grant. Upon a call for the vote, the motion failed 1-4, with Council member Bob Redger voting in favor, and Council members Bret Andries, Holly Aschenbrenner, Susan Eaton, and Jolene Niernberger voting opposed. Council member Holly Aschenbrenner then moved to accept Option #1 from Driggs Design Group in the amount of $6,500 if that will allow the City to apply for the Kansas Department of Wildlife, Parks & Tourism Grant. If not, then to accept Option #2 in the amount of $11,000 with funds to come from the Campground Fund. Council member Susan Eaton seconded the motion. The motion carried 5-0.
General Government: Policy
City Clerk Amy Burton and City Attorney Olavee Raub presented the revised draft of the proposed New Retail Business Sales Tax Rebate Program. Ms. Burton noted two discrepancies between the current Utility Incentive Program and the proposed Sales Tax Rebate program – the definition of a qualifying new business and the deadline for application into the programs. It was the consensus of Council to modify both programs to reflect a sixty-day application deadline and to use the definition of a new business as outlined in the Sales Tax Rebate program. After further discussion, Council member Jolene Niernberger moved to approve the New Retail Business Sales Tax Rebate Program as revised by expanding the application deadline to sixty days. Council member Bob Redger seconded the motion. The motion carried 5-0.
NEW BUSINESS
General Government: City Code
City Attorney Olavee Raub presented the proposed ordinance increasing the petty cash fund. The amount in Section 1 (b) should be revised to $2,500. Council member Bret Andries moved to adopt Ordinance No. 1435 increasing the Petty Cash Fund to $2,500. Council member Holly Aschenbrenner seconded the motion. The motion carried 5-0.
General Government: Policy
City Attorney Olavee Raub discussed the information provided on small cell antennas. The Federal Communications Commission has recently adopted rules limiting the ability of state and local governments to regulate the deployment of small cells. The City has an opportunity to adopt an ordinance providing a fee structure and establishing provisions for aesthetic standards. After further discussion, Council member Bret Andries moved to direct Ms. Raub to develop small cell aesthetic standards for the City with a corresponding fee structure. Council member Jolene Niernberger seconded the motion. The motion carried 5-0.
General Government: Financial
City Clerk Amy Burton presented the list of utility bad debts to be written off in 2018. Writing off the bad debts is an annual accounting procedure and in no way affects the City’s ability to collect these debts. The amount to be written off represents less than ½% of the City’s 2018 total receivables. Most of the debts listed have already been submitted to the State Setoff program and a private collection agency. Prior to the Council meeting, Council member Holly Aschenbrenner reviewed the individual names of the accounts to be written off, per auditor recommendation. Council member Jolene Niernberger moved to approve the write-off of the utility bad debts in the amount of $5,286.09 as presented. Council member Bob Redger seconded the motion. The motion carried 5-0.
City Clerk: Financial
Council member Holly Aschenbrenner made a motion to authorize the City Clerk’s office to pay any outstanding vendor invoices due and payable at year-end. Council member Susan Eaton seconded the motion. The motion carried 5-0. The vendor invoices paid will be reviewed at the January 7th Council meeting.
General Government: Financial
Each year, Council considers transferring excess budget funds from each of the General Fund departments into the Special Machinery fund. City Clerk Amy Burton discussed the benefits and drawbacks of authorizing such transfer. By transferring the money to the Special Machinery Fund, those funds can be held for future equipment purchases, thus possibly reducing a future transfer or mill levy increase to help fund those needs. On the other hand, the transfer moves “unrestricted” monies in the General Fund to a “restricted” status within the Special Machinery Fund. Ms. Burton presented estimated transfer amounts with illustrative percentages for consideration. Council member Holly Aschenbrenner moved to transfer $7,500 from the General Government department, 50% of excess budget funds from the Police Department, and 75% of excess budget funds from the Fire, Park, and Swimming Pool departments. Council member Bret Andries seconded the motion. The motion carried 5-0.
General Government: Permits/Licenses
Council member Bob Redger moved to approve the Application for License to Sell Cereal Malt Beverages for Arthur’s Pizza and Mexican Foods. Council member Susan Eaton seconded the motion. The motion carried 5-0.
Campground: Repair/Maintenance
Public Works Director Alan Scheuerman presented three bids for materials to tile the bathhouses at the Lakeside Campground. The Department will install the non-skid tile in the men’s and women’s shower areas. Council member Bret Andries moved to approve the low bid from Trio Home Center for 264 sq. ft. of mosaic floor tile at a cost of $1,158.96 with funds to come from the Campground Fund. Council member Jolene Niernberger seconded the motion. The motion carried 5-0.
REPORTS FROM CITY OFFICIALS
Public Works
Mr. Scheuerman presented the Comparative Water Report for the period October 10th to November 10th. The percentage of water accounted for has been below normal for most of 2018. Per KRWA, the average unaccounted-for loss should be around 15%. The City’s unaccounted-for loss has averaged closer to 20% all year. This equates to approximately $2,000 per month in potential lost revenue.
Mr. Scheuerman reported that all of the City’s fire hydrants have been flushed this year.
Sewer: Repair/Maintenance
Mr. Scheuerman discussed the need to replace the submersible pump at the Cedar Lane lift station with a top mount pump the City already has in stock. The lift station would need to be modified from single phase to 3-phase electricity, and the top mount pump would need some modifications as well. Mr. Scheuerman estimates the entire project to cost around $12,000. The project is budgeted for 2019; therefore, Council will further consider the modifications in January.
Police
Police Chief Taft Yates provided his Department report. The DARE graduation for St. Mary’s will be December 20th.
Personnel: Entry
Benjamin Kolas has been offered the vacant position in the Police Department, pending successful pre-employment tests. Officer Kolas is planned to start employment January 7, 2019.
City Clerk
City Clerk Amy Burton presented the Health Insurance Savings Report for November and the October financial statements. The Campground Committee meeting minutes were reviewed as well as the 2019 League of Kansas Municipalities training schedule.
The newly elected Council members will be sworn in at the January 14th Council meeting.
The Kansas Department of Commerce will issue a notice by December 21st with the details and application deadlines for the special round of CDBG swimming pool grant funding.
Attorney
City Attorney Olavee Raub reported that a potential buyer for the Ellis Days Inn has contacted her to see if the City would be interested in extending the tax exemption status for the hotel. Ms. Raub will need to research if the State would even allow an extension of tax exemption incentives. After further discussion, it was the consensus of the Council to not extend the exemption status for the potential buyer.
Water Exploration: Special Project
Ms. Raub reported that the real estate contracts for the Water Exploration Project have been signed; however, the title insurance has not been received yet. Once the title insurance is completed the City will be able to close on the sale.
Mayor Update and Announcements
None
EXECUTIVE SESSIONS
Mayor David McDaniel asked for a motion to recess into executive session at the request of City Attorney Olavee Raub. Council member Holly Aschenbrenner moved for City Council to recess into executive session for 7 minutes to discuss contract negotiations pursuant to the attorney-client privilege exception, K.S.A. 75-4319 (b)(2) with City Attorney Olavee Raub present. The open meeting will resume at 9:42 p.m. Council member Bob Redger seconded the motion. The motion carried 5-0. No action was taken in executive session and the open meeting resumed.
ADJOURNMENT
Council member Bret Andries moved and Council member Bob Redger seconded a motion to adjourn the meeting. The motion carried 5-0. The meeting adjourned at 9:43 p.m.