MINUTES OF THE MEETING OF THE CITY COUNCIL Wichita, Kansas, November 4, 1997 Tuesday, 9:03 A.M. The City Council met in regular session with Mayor Knight in the Chair. Council Members Lambke, Cole, Gale, Rogers; present. *Council Members Ferris, Kamen; absent. Chris Cherches, City Manager; Gary Rebenstorf, Director of Law; Pat Burnett, City Clerk; present. The invocation was given by Sister Stella Rosenhamer, ASC, Center of Hope. The pledge of allegiance to the flag was participated in by the Council Members, staff, and guests. Minutes -- The minutes of the regular meeting of October 28, 1997, were -- approved approved 5 to 0. (Ferris, Kamen; absent) *Council Member Kamen present. AWARDS AND PRESENTATIONS The Kansas Preservation Alliance, Inc. Awards for Excellence were presented for the John Mack Bridge preservation. PROCLAMATIONS Mayor Knight presented the Proclamations that were previously approved. PUBLIC AGENDA Ken Watson Ken Watson, 1208 North Emporia, spoke regarding the intersection at north Emporia and 11th Streets. In the last nineteen months, Mr. Watson and his neighbors have counted over twenty motor vehicle accidents in the intersections, although the City counts only five. Mr. Watson reviewed the many contacts he has had with various City personnel and the actions that have been taken. All actions, to date, have resulted in additional problems. Mr. Watson requested support and assistance in finding solutions to the problem, and suggested removal of the No Parking signs and installation of a stop sign/signal on North Emporia at 11th Street. Motion -- Cole moved that this matter be heard by the Traffic Commission at their November 19th Meeting and that additional data be gathered for the hearing; and that the Item be returned to the City Council the following Tuesday. Motion carried -- carried 6 to 0. (Ferris absent) Council Member Cole left the Bench. UNFINISHED BUSINESS SEWER PETITION PETITION FOR SANITARY SEWER TO SERVE AN AREA ON THE SOUTH SIDE OF KELLOGG NEAR LARK LANE. (District V) Continued from October 28, 1997. Mike Lindebak City Engineer reviewed the Item and said Mr. Blue and Mr. Miles were not opposed to being eliminated from the project. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Knight moved that the Petition be approved and the Resolution be adopted. -- carried Motion carried 5 to 0. (Cole, Ferris; absent) RESOLUTION NO. R-97-396 Resolution of findings of advisability and Resolution authorizing construction of Lateral 28, Main 1, Cowskin Interceptor Sewer (south of Kellogg, near Lark Lane) 468-82778 in the City of Wichita, Kansas, pursuant to findings of advisability made by the Governing Body of the City of Wichita, Kansas, presented. Knight moved that the Resolution be adopted. Motion carried 5 to 0. (Cole, Ferris; absent) Yeas: Gale, Kamen, Lambke, Rogers, Knight. NEW BUSINESS Council Member Cole present. WATER DISTRIBUTION PETITION FOR WATER DISTRIBUTION TO SERVE AN AREA NORTH OF 51ST STREET NORTH, WEST PETITION OF THE LITTLE ARKANSAS RIVER. (District VI) Mike Lindebak City Engineer reviewed the Item. Agenda Report No. 97-939. The signatures on the Petition represent 56% (190 of 340 ownerships) of the improvement district area. CPO Council 6 considered the Petition on October 15, 1997. The Council voted 7-0 to recommend approval. The improvement district is developed primarily with single- family homes on large, suburban type lots. There are several undeveloped tracts of 2-4 acres. The estimated project cost is $1,100,000, with the total assessed to the improvement district. The proposed method of assessment is the fractional basis. The estimated assessment to individual properties is $2,400 for lots of 22,000 or less square feet of area and $3,600 for lots over 22,000 square feet of area. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. motion -- Cole moved that the Petition be approved and the Resolution be adopted; and the Staff Screening and Selection Committee be authorized to select a design -- carried engineer. Motion carried 6 to 0. (Ferris absent) RESOLUTION NO. R-97-397 Resolution of findings of advisability and Resolution authorizing construction of Water Distribution System Number 448-89215 (north of 51st Street North, west of the Little Arkansas River) in the City of Wichita, Kansas, pursuant to findings of advisability made by the Governing Body of the City of Wichita, Kansas, presented. Cole moved that the Resolution be adopted. Motion carried 6 to 0. (Ferris absent) Yeas: Cole, Gale, Kamen, Lambke, Rogers, Knight. WATER DISTRIBUTION PETITION FOR WATER DISTRIBUTION SYSTEM TO SERVE AN AREA NORTH OF 46TH STREET PETITION NORTH, EAST OF THE LITTLE ARKANSAS RIVER. (District VI) Mike Lindebak City Engineer reviewed the Item. Agenda Report No. 97-940. The signatures on the Petition represent 53% (274 of 521 ownerships) of the improvement district area. CPO Council 6 considered the Petition on October 15, 1997. The Council voted 7-0 to recommend approval. The improvement district is developed primarily with single- family homes on large, suburban type lots. There are several undeveloped tracts of 2-4 acres. The estimated project cost is $1,230,000, with the total assessed to the improvement district. The proposed method of assessment is the fractional basis. The estimated assessment to individual properties is $3,000 for lots of 22,000 or less square feet of area and $4,500 for lots over 22,000 square feet of area. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Don Driskill Don Driskill urged approval of the project. Motion -- Cole moved that the Petition be approved and the Resolution be adopted; and the Staff Screening and Selection Committee be authorized to select a design -- carried engineer. Motion carried 6 to 0. (Ferris absent) RESOLUTION NO. R-97-398 Resolution of findings of advisability and Resolution authorizing construction of Water Distribution System Number 448-89216 (north of 46th Street North, east of the Little Arkansas River) in the City of Wichita, Kansas, pursuant to findings of advisability made by the Governing Body of the City of Wichita, Kansas, presented. Cole moved that the Resolution be adopted. Motion carried 6 to 0. (Ferris absent) Yeas: Cole, Gale, Kamen, Lambke, Rogers, Knight. IRB - PARK WEST PLAZA PUBLIC HEARING: ISSUANCE OF ELDERLY HOUSING REVENUE BONDS - PARK WEST PLAZA, L.L.C. (District V) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-941. On September 19, 1995, the City Council approved the issuance of Assisted Care Facility Revenue Bonds in the amount of $3,500,000 to Park West Plaza, L.L.C. The proceeds from the sale of the bonds were used to construct and equip Park West Plaza Estates, a 60-unit assisted living facility located on the southwest corner of Central and Maize Road in west Wichita. Park West Plaza, L.L.C. is requesting the issuance of Elderly Housing Revenue Bonds, in an amount not to exceed $3,500,000. Bond proceeds will be used to construct and equip Park West Plaza - Phase II, a 24-unit special care assisted living facility and 18 independent living units, as an addition to the Phase I, 60-unit assisted living facility. Park West Plaza - Phase II will be developed and owned by Park West Plaza, L.L.C. a Kansas limited liability company, comprised of four members; Donald E. Schmidt, Kent G. Schmidt, John W. McKay, Jr. and J. W. Russell, all of Wichita. Park West Plaza, L.L.C. will enter into a management agreement with Schmidt-McKay Dev. & Management Group, L.L.C. for the management of Park West Plaza - Phase II, in concert with the management arrangements for Park West Plaza - Phase I. Park West Plaza - Phase II will be a premier special care assisted living and independent living facility. Park West Plaza - Phase II will be located on two parcels of ground adjacent to Park West Plaza Retirement and Assisted Living facility located on the southwest corner of Central and Maize Road in west Wichita. The company expects to employ approximately 20 to 25 people by the end of the first full operating year. The project is expected to generate additional ad valorem taxes of approximately $50,000 per year. The bonds will be issued in two series. The Series A Bonds, issued in the amount of $2,000,000, will be a tax exempt issue to finance the Independent Facility Housing portion of Phase II and the Series B Bonds, issued in the amount of $1,500,000, will be a taxable issue to finance the Assisted Care Facility portion of Phase II. The investment banking firm of Froggatte & Herndon Capital Corporation will underwrite the bonds and will publicly re-offer the bonds to investors. The law firm of Hinkle, Eberhart & Elkouri will serve as bond counsel. The project will be financed by a combination of bond proceeds and tenant funds as follows: SOURCE OF FUNDS 1997 Bond Proceeds: Tax Exempt Bonds $2,000,000 Taxable Bonds 1,500,000 Bond Proceeds: $3,500,000 Tenant Funds: Tenant Land Contribution $ 90,000 TOTAL SOURCES: $3,590,000 USES OF FUNDS Land $ 330,000 Building 2,478,150 Capitalized Interest 213,550 Development Fees 140,000 Architectural & design fees 60,000 Bond reserve 100,000 Accounting, legal and financing 178,300 Working capital 90,000 TOTAL USES $3,590,000 Park West Plaza has an EEO/AA Plan and a Water Conservation Plan on file with the City. Park West Plaza has agreed to pay all costs of issuing the bonds and agrees to pay the City's $2,500 annual administrative fee for the term of the bonds. Park West Plaza is not requesting a tax abatement as a result of the issuance of the bonds. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Knight moved that the Public Hearing be closed; the Ordinance be placed on first reading; and the Mayor be authorized to sign the necessary documents. Motion -- carried carried 6 to 0. (Ferris absent) ORDINANCE An Ordinance authorizing the City of Wichita, Kansas (the "issuer"), to issue its independent living facility revenue bonds, Series XV-A, 1997 (Park West Plaza, L.L.C.) in the aggregate principal amount of $2,000,000 for the purpose of purchasing, acquiring, constructing and equipping an 18 unit independent living facility and its taxable assisted care facility revenue bonds, Series XV-B, 1997 (Park West Plaza, L.L.C.) in the aggregate principal amount of $1,500,000 for the purpose of purchasing, acquiring, constructing and equipping a 24 unit special care assisted living facility to pay certain costs of issuance; prescribing the form and authorizing execution of a trust indenture between the issuer and and Intrust Bank , N.A., in the City of Wichita, Kansas, as trustee; prescribing the form of a guaranty agreement between Park West Plaza, L.L.C., as guarantor, and Intrust Bank, N.A., Wichita, Kansas, as trustee; and prescribing the form and authorizing the execution of a bond purchase agreement between the issuer, Park West plaza, L.L.C. and Froggatte & Herndon Capital Corporation, as purchaser of the bonds, introduced and under the rules laid over. IRB - VIA CHRISTI PUBLIC HEARING: ISSUANCE OF HOSPITAL FACILITIES IMPROVEMENT AND REFUNDING REVENUE BONDS - VIA CHRISTI HEALTH SYSTEM, INC. (Districts II, III and VI) Chris Cherches City Manager said that, due to the volatile market, the Applicant had requested this Item be deferred. Motion -- carried Knight moved that this item be deferred. Motion carried 6 to 0. (Ferris absent) IRB - IMA PLAZA PUBLIC HEARING: ISSUANCE OF INDUSTRIAL REFUNDING REVENUE BONDS - IMA PLAZA. (District VI) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-942. On September 10, 1991, IMA Plaza, a real estate development partnership, was issued Industrial Revenue Bonds, Series VII-A, 1991, in the amount of $4,600,000. The bond issue financed the refunding of IMA's 1981 bond issue which financed the construction of IMA's office building on the southeast corner of 2nd and Water. IMA Plaza is asking the City to issue refunding bonds which would replace the 1991 bonds previously issued. The proposed bond issue will refund and redeem the Series VII-A, 1991 Bonds, issued in the principal amount of $4,600,000, of which $3,590,000 currently remains outstanding. The estimated costs of the project, and the sources of funding are as follows: Sources of Funds Bond Proceeds - 1997 Bonds $ 3,430,000 Existing Debt Service Fund 428,266 Total Sources of Funds: $ 3,858,266 Uses of Funds Net Cost of Bond Redemption $ 3,756,216 Underwriter's Fee 68,600 Costs of Issuance 30,000 Miscellaneous $ 3,450 Total Uses of Bond Proceeds: $ 3,858,266 The Bonds will be purchased by Stifel, Nicolaus and Company, Inc. And public reoffered to investors. Bond Counsel for the transaction is the firm of Hinkle, Eberhart & Elkouri. IMA Plaza has a current Equal Employment Opportunity/ Affirmative Action Plan on file with the Department of Human Services and is in compliance with all conditions of the prior bond issues. The primary purpose of the refunding issue is to achieve interest cost savings made possible by current interest rates. An additional purpose is to restructure the security for the bonds by removing the personal guarantees of the individual partners of IMA Plaza and replacing them with additional real property collateral. To effect this restructuring, it is necessary for the IMA Plaza business entity to be changed from a partnership to a limited liability corporation, which requires an amendment to the Lease Agreement securing the existing 1991 Bonds to allow said change. IMA Plaza agrees to pay all costs of issuing the bonds and to pay the City's $2,500 annual administrative service fee for the term of the bonds. IMA Plaza will not be granted an abatement of ad valorem property taxes in conjunction with the issuance of the bonds. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Cole moved that the Public Hearing be closed; the Ordinance be placed on first reading; and the Mayor be authorized to sign the necessary documents. Motion -- carried carried 6 to 0. (Ferris absent) ORDINANCE An Ordinance authorizing the City of wichita, Kansas (the "issuer") to issue its industrial refunding revenue bonds, Series XIV, 1997 (IMA Plaza, LLC) in the aggregate principal amount of $3,430,000 for the purpose of refunding and redeeming certain outstanding industrial revenue bonds; prescribing the form and authorizing execution of a trust indenture between the issuer and Intrust Bank, N.A., in the City of Wichita, Kansas, as trustee; prescribing the form of and authorizing execution of lease of the project between said issuer and IMA Plaza, LLC; prescribing the form of a guaranty agreement between IMA Plaza, LLC, as guarantor, and Intrust Bank, N.A., Wichita, Kansas, as trustee; prescribing the form and authorizing the execution of a bond purchase agreement between the issuer, IMA Plaza, LLC and Stifel, Nicholaus & company, Inc., as original purchaser for the bonds; and authorizing execution of a lease amendment between the issuer and IMA Plaza, LLC., introduced and under the rules laid over. IRB - ROYAL CARIBBEAN REQUEST FOR LETTER OF INTENT FOR INDUSTRIAL REVENUE BONDS - ROYAL CARIBBEAN CRUISES, LTD. (District IV) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-943. Royal Caribbean Cruises Ltd. is requesting the issuance of a Letter of Intent for Industrial Revenue Bonds in an amount not to exceed $11,000,000. Bond proceeds will be used to acquire, renovate and equip a facility, located at 4729 S. Palisade in south Wichita, into a telephone reservation center. Royal Caribbean is also requesting that the City grant a 100% ad valorem tax abatement for a 5-year period with an additional 5-year extension upon review and approval by the City Council. Royal Caribbean, based in Miami, Florida, is one of the largest cruise lines in the world. Nearly one million passengers sailed on Royal Caribbean's eleven luxury cruise ships in 1996. The company estimates the number of passengers to reach 1.25 million in 1997. The establishment of the Wichita reservation center is the first Royal Caribbean installation not located in Miami. Serving initially as the back-up to Royal Caribbean's Miami reservation center, the Wichita facility may become the company's principal reservation center with the completion of Phase II of the project. The bonds will be issued in two phases. Phase I bonds will be used to acquire the land and existing facility and to renovate and equip it into a telephone reservation center. Phase II bonds will finance an expansion to the facility which will double the facility's size and the number of employees employed. Bond proceeds will be used as follows: USES OF FUNDS * Acquisition of Existing Facility $ 900,000 * Improvements to Existing Facility and Construction of Expansion (Phase II) 3,265,000 * Technology Infrastructure 5,200,000 * Furniture, Fixtures and Equipment 1,400,000 * Reservation System 200,000 * Costs of Issuance 35,000 Total Cost of Project: $11,000,000 Royal Caribbean will employ 170 people upon completion of Phase I of the Project and will add an additional 90 employees over a six month period after completion Phase I. Phase II of the project will double the number of employees to an estimated 520 employees. Royal Caribbean agrees to file a current approved EEO/AA Plan with the City's Human Resources Department and a Water Conservation Plan with the Division of Natural Resources prior to the issuance of the bonds. The bonds will be purchased by the company. The firm of Hinkle, Eberhart and Elkouri, L.L.C. will serve as bond counsel in the transaction. Royal Caribbean agrees to pay all costs of issuing the bonds and agrees to pay the City's $2,500 annual IRB administrative fee for the term of the bonds. Royal Caribbean is requesting a 100% tax abatement of ad valorem property taxes on the project for a 5-year period, with a second 5 years based on Council review. The taxes for 1996 on the property to be acquired was $12,576.91 Staff recommends an abatement of taxes of 100% for a five year period only. Mayor Knight Mayor Knight inquired if anyone wished to be heard. The Director of Reservations for Royal Caribbean spoke and urged approval of the Item. Motion -- Gale moved that the issuance of, and authorization for the Mayor to sign, a Letter of Intent to Royal Caribbean Cruises Ltd. for Industrial Revenue Bonds in an amount not to exceed $11.0 million be approved, and a 100 percent for five years property tax abatement be granted, subject to the following conditions: 1. Negotiation of a Lease Agreement and Bond Ordinance. 2. Arrangements have been made for the sale/placement of the bonds. 3. Guarantees for the payment of the bonds are in place. 4. Agreement to pay the City administrative fees of $2,500 per year for as long as the bonds are outstanding. 5. Agreement to pay all costs incurred by the City for processing the bonds/application. 6. An approved Equal Employment Opportunity/Affirmative Action Plan is on file with the City prior to issuance of the bonds. 7. An approved Water Conservation Plan is on file with the City prior to issuance of the bonds. 8. Agreement to submit building and site plans to CART (City manager's Aesthetic Review Team) for review and to modify the proposed design to comply with any reasonable CART conditions or recommendations. 9. Agreement to provide the City, prior to submitting the proposed Lease Agreement, an Environmental Site Assessment (ESA) that documents the environmental conditions of the property, and an agreement that the ESA will be conducted by and independent consultant who is a recognized expert in the area. Industrial Revenue Bonds will not be issued if the ESA discloses environmental conditions that might have implications for bond purchasers under the liability provisions of the Superfund Amendments and Reauthorization Act (SARA). 10. Agreement that if the bonds are to be offered for sale to the public, the applicant will not, during the period of time the bonds are outstanding, have a commercial banking relationship with the trustee of the bonds to be issued unless the original purchaser of the bonds acknowledges in writing the existence of the relationship and waives any conflict that might exist as a result of the relationship. 11. Applicant is required to furnish copies of its annual audits to the City. 12. Cooperation with any annual compliance audit procedure the City may adopt to monitor compliance with conditions, including any annual reports required of the applicant and any inspections of the applicant's premises or interviews with the applicant's staff. 13. Commitment to achieve and maintain its proposed employment goals, and to meet its Equal Employment Opportunity/Affirmative Action goals, during the term of the tax abatement. If the applicant fails to demonstrate a good-faith effort to achieve these goals, the City may revoke the tax abatement by either imposing payments-in-lieu-of-taxes or by declining to make the annual exemption filing with the Board of Tax Appeals. All repayments of in-lieu taxes shall be redistributed to the other taxing authorities in accordance with the law. 14. Applicant is encouraged to utilize Minority-owned Business Enterprises (MBE) and Women-owned Business Enterprises (WBE) as contractors, subcontractors, engineers, architects, suppliers and vendors whenever possible. -- carried Motion carried 6 to 0. (Ferris absent) (The Council returned to the following Item later in the meeting; action is shown in Agenda order.) (Item No. 8) CONDEMNATIONS REPAIR OR REMOVAL OF DANGEROUS AND UNSAFE STRUCTURES. Kurt Schroeder Superintendent of Central Inspection, reviewed the Item. Agenda Report No. 97-945. On September 23, 1997, a report was submitted by the Superintendent of Central Inspection with respect to the dangerous and unsafe condition of the buildings located on the described properties. On that date, Resolutions were adopted providing for public hearings to be held on each of these condemnation actions at 10:00 a.m., November 4, 1997. The Resolutions were duly published on September 24, 1997, and October 1, 1997. A copy each Resolution was sent by certified mail within three (3) days of the first publication to the owners and lienholders of record of each described property. The Board of Housing Standards and Appeals (BHSA) had previously reviewed each of the properties up for hearing today. (a) 1441 N. Santa Fe District VI Kurt Schroeder Superintendent of Central Inspection reviewed the Item. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Knight moved that the public hearing be closed, the resolution declaring the building(s) dangerous and unsafe structures be adopted, the staff recommended time frame to alleviate the findings be approved and any extensions of time granted to repair the structures would be conditioned on the following: (1) any back taxes now due are to be paid and taxes kept current, (2) the structures are to be kept secured, and (3) the premises are to be kept mowed and free of debris; if any of these conditions are not met, staff is directed to proceed to let for bids to demolish the structure; and the City Clerk be instructed to have the Resolution published once in the official city paper and advise the owners of -- carried these findings. Motion carried 7 to 0. RESOLUTION NO. R-97-399 A Resolution finding that the structure located on Lot 91 and north 10 feet of Lot 93 and south 2 feet Lot 89 on Fifth Avenue in North Park Addition to Wichita, Sedgwick County, Kansas, commonly known as 1441 North Santa Fe, Wichita, Kansas, is unsafe or dangerous and directing the structure(s) to be made safe and secure or removed, read. Knight moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. (b) 1419 N. St. Francis (Carriage House) District VI Kurt Schroeder Superintendent of Central Inspection reviewed the Item. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Knight moved that the public hearing be closed, the resolution declaring the building(s) dangerous and unsafe structures be adopted, the staff recommended time frame to alleviate the findings be approved and any extensions of time granted to repair the structures would be conditioned on the following: (1) any back taxes now due are to be paid and taxes kept current, (2) the structures are to be kept secured, and (3) the premises are to be kept mowed and free of debris; if any of these conditions are not met, staff is directed to proceed to let for bids to demolish the structure; and the City Clerk be instructed to have the Resolution published once in the official city paper and advise the owners of -- carried these findings. Motion carried 7 to 0. RESOLUTION NO. R-97-400 A Resolution finding that the structure located on Lots 18- 20 on Fourth, now St. Francis Avenue, Eagle Addition to Wichita, Sedgwick County, Kansas, commonly known as 1419 North St. Francis (Carriage house) Wichita, Kansas, is unsafe or dangerous and directing the structure(s) to be made safe and secure or removed, read. Knight moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. (c) 1717 N. Hillside District I Kurt Schroeder Superintendent of Central Inspection reviewed the Item. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Brenda Marlow Brenda Marlow, owners daughter, said she wanted to fix up the house after her car is paid off this year. There is confusion with regard to whether or not there is a contract with money still owning on the property. Ms. Marlow said she did not have the money to pay the taxes. Kurt Schroeder Superintendent of Central Inspection said there is substantial work needed which would total between $15,000 and $20,000. Council Member Rogers Council Member Rogers said it would not be a good investment to put that amount of money into a house that may not be worth the $20,000 needed for repairs. This is not a good investment. The Council needs to adhere to policy. Motion -- Rogers moved that the public hearing be closed, the resolution declaring the building(s) dangerous and unsafe structures be adopted, the staff recommended time frame to alleviate the findings be approved and any extensions of time granted to repair the structures would be conditioned on the following: (1) any back taxes now due are to be paid and taxes kept current, (2) the structures are to be kept secured, and (3) the premises are to be kept mowed and free of debris; if any of these conditions are not met, staff is directed to proceed to let for bids to demolish the structure; and the City Clerk be instructed to have the Resolution published once in the official city paper and advise the owners of -- carried these findings. Motion carried 7 to 0. RESOLUTION NO. R-97-401 A Resolution finding that the structure located on Lots 61- 63 on Hillside Avenue, Woodridge Place Addition to Wichita, Sedgwick County, Kansas, commonly known as 1717 North Hillside, Wichita, Kansas, is unsafe or dangerous and directing the structure(s) to be made safe and secure or removed, read. Rogers moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. (d) 1433 S. Pattie District I Kurt Schroeder Superintendent of Central Inspection reviewed the Item and recommended that the potential buyer be given 60 days to complete the purchase, keep the property secured and premises maintained; and if the purchase is completed, 60 days be given to complete the exterior repairs. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Rogers moved that the public hearing be closed, the resolution declaring the building(s) dangerous and unsafe structures be adopted, the staff recommended time frame to alleviate the findings be approved and any extensions of time granted to repair the structures would be conditioned on the following: (1) any back taxes now due are to be paid and taxes kept current, (2) the structures are to be kept secured, and (3) the premises are to be kept mowed and free of debris; if any of these conditions are not met, staff is directed to proceed to let for bids to demolish the structure; and the City Clerk be instructed to have the Resolution published once in the official city paper and advise the owners of -- carried these findings. Motion carried 7 to 0. RESOLUTION NO. R-97-402 A Resolution finding that the structure located on Lots 29- 31-33 on Pattie Avenue, McCormick's Addition to Wichita, Sedgwick County, Kansas, commonly known as 1433 South Pattie, Wichita, Kansas, is unsafe or dangerous and directing the structure(s) to be made safe and secure or removed, read. Rogers moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. PARKING DIAGONAL PARKING ON THIRD STREET BETWEEN ST. FRANCIS AND SANTA FE. (District VI) Chris Cherches City Manager reviewed the Item. Agenda Report No. 97-946. Printing, Inc., 344 North St. Francis, is requesting that approval be granted for diagonal parking on the north side, east of the alley, and on the south side of Third Street between St. Francis and Santa Fe. Printing, Inc. will hire an experienced marking company to stripe and maintain the area. Third Street is 55 feet wide between St. Francis and the north-south alley. East of the alley, Third Street widens to 59 feet. Diagonal parking at a 45 degree angle and two-way traffic would be provided as shown on the sketch. The existing centerline markings on Third Street would need to be removed and replaced five feet to the north. The existing parallel parking along the north side of Third Street from St. Francis to the alley will remain. Printing, Inc. has indicated that the other property owner is agreeable to the diagonal parking. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- carried Cole moved that the diagonal parking be approved. Motion carried 6 to 0. (Ferris absent) TIF 21ST AND GROVE RESOLUTION TO ADOPT A TAX INCREMENT FINANCING REDEVELOPMENT PLAN FOR 21ST AND GROVE. (District I) Chris Cherches City Manager reviewed the Item. Agenda Report No. 97-947. On December 12, 1995, the City Council established the 21st and Grove Redevelopment District for the purpose of providing tax increment financing for the revitalization of the District. The final step to be taken in the TIF process is the adoption of a Redevelopment Plan which includes a feasibility study and a description of the redevelopment projects being funded with TIF proceeds. December 16, 1997 at 10:30 a.m. is the time set for a public hearing on the Redevelopment Plan. In order for the County Treasurer to be authorized to set aside the tax increment generated in the district, the City must adopt a Redevelopment Plan that describes the district, describes the redevelopment projects being financed with the TIF, and establishes the financial feasibility of the TIF to fund the project. Prior to adopting the Redevelopment Plan, the City Council must hold a public hearing and receive public comment on the proposed Plan. State law requires the Council to set the time and place for the public hearing in the form of a resolution. A copy of the resolution will be mailed to all owners and occupants of property located within the District, to the County Commission, and to the Board of Education, as required by state law. The statute also directs the City to prepare the Redevelopment Plan "in consultation with the planning commission of the City." On December 11, 1997, the Metropolitan Area Planning Commission will meet to consider the 21st and Grove Redevelopment Plan and to make a finding that the Plan is consistent with the general comprehensive plan for the development of the City. The proposed Redevelopment Plan includes a comprehensive financial feasibility study, showing that the projected costs of the revitalization program can be paid from the revenue generated by the tax increment, as well as a general description of the plan for redevelopment of the District and copies of the various agreements that have been entered into concerning the redevelopment. The feasibility study identifies the amount of the tax increment revenues, based on the increase in property valuations since 1995 (the base year). The first actual transfers of projected TIF revenues will begin in early 1999 from taxes paid on 1998 valuations. The TIF revenues will be used to retire general obligation bonds issued to finance a portion of the Cessna 21st Street Training Facility. The cost of mailing the Resolution to all owners and occupants of property located within the district will be charged to the 21st and Grove redevelopment project and ultimately paid from TIF revenues. The 21st and Grove Redevelopment Plan must be adopted prior to the issuance of general obligation bonds to finance the Cessna 21st Street Training Facility. State law requires a two-thirds majority vote for the adoption of the Redevelopment Plan. With the adoption of the Redevelopment Plan, the County Treasurer will be authorized and directed to begin "capturing" the tax increment and distributing the money to the City to pay for the costs of the 21st and Grove projects. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Rogers moved that the resolution stating that the City is considering adopting a Redevelopment Plan for the 21st and Grove Redevelopment District and setting the public hearing on the Redevelopment Plan for December 16, 1997, at 10:30 a.m., be -- carried adopted. Motion carried 6 to 0. (Ferris absent) RESOLUTION NO. R-97-403 A Resolution Stating the City is considering the adoption of a redevelopment plan for the 21st and Grove Redevelopment District under the authority of K.S.A. 12-1770 et seq, presented. Rogers moved that the Resolution be adopted. Motion carried 6 to 0. (Ferris absent) Yeas: Cole, Gale, Kamen, Lambke, Lambke, Rogers, Knight. TIF - EAST BANK RESOLUTION TO ADOPT A TAX INCREMENT FINANCING REDEVELOPMENT PLAN FOR THE EAST BANK. (District VI) Agenda Report No. 97-948. On December 5, 1995, the City Council established the East Bank Redevelopment District for the purpose of providing tax increment financing for the revitalization of the District. The final step to be taken in the TIF process is the adoption of a Redevelopment Plan which includes a feasibility study and a description of the redevelopment projects being funded with TIF proceeds. December 16, 1997 at 10:30 a.m. is the time set for a public hearing on the Redevelopment Plan. In order for the County Treasurer to be authorized to set aside the tax increment generated in the district, the City must adopt a Redevelopment Plan that describes the district, describes the redevelopment projects being financed with the TIF, and establishes the financial feasibility of the TIF to fund the project. Prior to adopting the Redevelopment Plan, the City Council must hold a public hearing and receive public comment on the proposed Plan. State law requires the Council to set the time and place for the public hearing in the form of a resolution. A copy of the resolution will be mailed to all owners and occupants of property located within the District, to the County Commission, and to the Board of Education, as required by state law. The statute also directs the City to prepare the Redevelopment Plan "in consultation with the planning commission of the City." On December 11, 1997, the Metropolitan Area Planning Commission will meet to consider the East Bank Redevelopment Plan and to make a finding that the Plan is consistent with the general comprehensive plan for the development of the City. The proposed Redevelopment Plan includes a comprehensive financial feasibility study, showing that the projected costs of the revitalization program can be paid from the revenue generated by the tax increment, as well as a general description of the plan for redevelopment of the District and copies of the various agreements that have been entered into concerning the redevelopment. The feasibility study identifies the amount of the tax increment revenues, based on the increase in property valuations since 1995 (the base year). The first actual transfers of projected TIF revenues will begin in early 1999 from taxes paid on 1998 valuations. The TIF revenues will be used to retire general obligation bonds issued to finance a portion of the Hyatt Hotel and other related improvements. The cost of mailing the Resolution to all owners and occupants of property located within the district will be charged to the East Bank Hotel project and ultimately paid from TIF revenues. The East Bank Redevelopment Plan must be adopted prior to the issuance of general obligation bonds to finance the Hyatt Hotel and other related area improvements. State law requires a two-thirds majority vote for the adoption of the Redevelopment Plan. With the adoption of the Redevelopment Plan, the County Treasurer will be authorized and directed to begin "capturing" the tax increment and distributing the money to the City to pay for the costs of the East Bank projects. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Cole moved that the resolution stating that the City is considering adopting a Redevelopment Plan for the East Bank Redevelopment District and setting the public hearing on the Redevelopment Plan for December 16, 1997, at 10:30 a.m., -- carried be adopted. Motion carried 6 to 0. (Ferris absent) RESOLUTION NO. R-97-404 A Resolution Stating the City is considering the adoption of a redevelopment plan for the East Bank Redevelopment District under the authority of K.S.A. 12-1770 et seq, presented. Cole moved that the Resolution be adopted. Motion carried 6 to 0. (Ferris absent) Yeas: Cole, Gale, Kamen, Lambke, Lambke, Rogers, Knight. MUNICIPAL COURT JUDGES AMENDMENTS TO ORDINANCES RE: THE SELECTION OF MUNICIPAL COURT JUDGES. Gary Rebenstorf Director of Law reviewed the Item. Agenda Report No. 97-949. Under the proposed amendments, the Judicial Nominating commission will screen applicants whenever a vacancy or expiration of term occurs in the office of Municipal Court judge or judge of the Neighborhood Municipal Court. The amendments will allow for competition for each vacancy which occurs, including the normal expiration of the term of the judge. The incumbent judge will be considered an applicant for the position. The Judicial Nominating Commission will furnish 3 nominees to the City Council. The City Council will then appoint one of the nominees. Amendments will also synchronize the term of office of the neighborhood municipal court judge with the other judges. These changes will require amendments to both Charter Ordinance 142 and code section 1.04.150. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Rogers moved that the Ordinances be placed on first reading. Motion carried -- carried 6 to 0. (Ferris absent) ORDINANCE An Ordinance amending Section 1.04.150 of the Code of the City of Wichita, Kansas, pertaining to the neighborhood Municipal Court Judge, and repealing the original of said Section, introduced and under the rules laid over. CHARTER ORDINANCE A Charter Ordinance of the City of Wichita amending Section 1 of the Charter Ordinance No. 142 pertaining to the appointment of Municipal Court Judges; and repealing the original of said Section, introduced and under the rules laid over. LEGISLATIVE PROGRAM 1998 CITY OF WICHITA LEGISLATIVE PROGRAM. Mike Taylor Government Relations Director reviewed the Item. Agenda Report No. 97-950. The process of drafting the 1998 legislative program began in July when requests for proposed legislation were distributed to City Council members, City Departments, Citizen Participation Organization and neighborhood associations. Many of those requests have been included as well as a number of issues the 1998 Legislature will likely debate which could impact Wichita. In an effort to keep the 1998 Legislative Program manageable and as effective as possible, the requests for new legislation are being kept to a minimum. Instead, the program includes position statements on a variety of issues. This approach will allow the City to establish general goals and positions, giving it the flexibility to react to any number of specific bills during the session. The program is divided into the following issue sections: Taxes and Finance, Home Rule and Local Control, Public Safety, Health and Environment, Transportation, Priority Positions and Federal Issues. The position statements allow the City to respond to issues and debate within an established framework as specific bills and proposals are drafted. Position statements and proposals in the 1998 Legislative Program will provide the City the legal authority to enhance and improve government operations and services for the public. Any number of legislative actions can impact City finances. The 1998 Legislative Program is designed to help the City maintain or improve its ability to control the financing of local government services to best serve the citizens of Wichita. Council Member Kamen Council Member Kamen asked that the Tax Lid Item be voted on separately. Council Member Kamen stated that, in view of some of the activities of some local governments trying to raise taxes where the citizens have said they do not want those taxes, it is even more important to retain the Tax Lid. Even going as far back as the coal gasification plan for the City of Wichita, the citizens of Wichita overruled what the City wanted to do. Also, the Governor who put the Tax Lid on was extremely popular even though he was of the minority party. Council Member Kamen said he thinks the citizens want the Tax Lid to remain and that he is convinced suggestion should not be made to the Legislature that the Tax Lid should be removed. Council Member Cole Council Member Cole urged inclusion, in the Legislative Program, of the removal of sales tax from remodel. The sales tax is a disincentive to improvements to existing structures. New construction is exempt and it is only fair that renovation supplies should also be exempt. Council Member Kamen Council Member Kamen said he had a problem with removing sales tax from renovation of properties and suggested the sales tax might be removed from food and shelter instead. Council Member Rogers Council Member Rogers spoke in agreement with Council Member Cole and said there is not enough incentive for inner city repair. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Karl Peterjohn Karl Peterjohn spoke in agreement with Council Member Kamen with regard to the Tax Lid. Mr. Peterjohn also said there is strong legislative support for removing sales tax on remodeling. Mr. Peterjohn urged removal of Tax Lid, Spending Lid, and School Finance from the 1998 Legislative Program. This year the school district actually received an increase and Mr. Peterjohn said he did not see why the City should be involved in the school matters. *Council Member Ferris present. Motion -- Knight moved that the Language in the Legislative Program on Spending Lid and Tax -- carried Lid be approved. Motion carried 5 to 2. Gale, Kamen - No. Motion -- Cole moved that the issue of removal of Sales Tax on Construction Materials for -- carried Remodel be included in the Legislative Program. Motion carried 6 to 1. Kamen - No. Motion -- Knight moved that the remainder the the Legislative Program be approved. Motion -- carried carried 7 to 0. RECESS The City Council recessed at 10:20 a.m. and returned at 10:32 a.m. ADDENDUM ITEM SOLID WASTE MANAGEMENT PROPOSED COUNTY SOLID WASTE MANAGEMENT PLAN Bill Buchanan Bill Buchanan, County Manager, said Sedgwick County had submitted the Solid Waste Management Plan to KDHE in March, 1997, and the Addendum to the Plan was approved by Sedgwick County on October 29th, 1997, and was submitted to KDHE on October 30th, 1997. The Addendum to the plan included: Yard Waste is to be banned by October 9, 2001, the day Brooks Landfill closes. C & D Waste is to be banned, eliminated, averted, by October 9, 2001. Volume Based Trash scheduled to be sent back to the Solid Waste Management Committee (SWMC) on June of 1998 for recommendations to be implemented again by October 9, 2001. Curb side recycling is to be instituted on October 9, 2001. Collection process to remain status quo - the free-market system would not be changed. Goals to reduce or to divert from the Municipal Solid Waste Disposal Process by the year 2003: 40 Percent reduction/diversion of material from Municipal Solid Waste. Calculated by using the 1,500 tons/day now receiving, eliminating the 250 tons/day C & D waste and eliminating 250 tons/day yard waste, resulting in a 1/3 or 33 percent reduction. The additional 7 percent reduction is expected to be absorbed through the recycling effort. Financing the disposal costs would be approximately $13 to $15 per month. Recycling, at the maximum (currently $3 per household), is $3/household/month. Public Education is $.15 per month. Household Hazardous Waste Program is $.19 per month. The total would be about $18.34, an increase of about $4.34/month/household. The Plan was submitted to KDHE, there have been preliminary discussion and there will continue to be discussions, and work will continue through the details. The County is confident that there is nothing in the Plan that has not been done in major cities across the Country. This has been successful elsewhere and there is no reason to assume that it will not be successful here. Mayor Knight Mayor Knight said he had been advocate for the transfer station strategy and that he had thought it would be a way to bridge the City and the County to be able to move together on this issue. Unfortunately, based on hard data, the City could not make a transfer work financially. To push a transfer station strategy, knowing what is known, is to unnecessarily impose about $140 million to $180 million cost burden on citizens in this County, most of whom reside in the City of Wichita. Mayor Knight said he supports the City appealing the decision to KDHE. It would take an extraordinary circumstance before Mayor Knight would support an appeal and this is that extraordinary circumstance. The financial side of this is so different than the way other decisions have been made. There has been a lot of effort to mask, camouflage, and ignore some financial realities that will "bite us." The thing that frustrates the most is that this decision will not have consequences felt for three to six years. Wichita is competing globally and there are a variety of indicators where improvement needs to be made, including taxes that are too high. It is unknown how the costs of government can be held down by yielding to a strategy that imposes much, much higher costs than necessary. The Mayor said he cares very much for the County Commissioners and the work they do on behalf of the citizens of Sedgwick County. There is just a fundamental disagreement which is so glaring that a strong position must be taken against what is being proposed. If, in the final analysis, the current proposed plan goes forward and becomes the Plan for the County, Mayor Knight said he would do everything he could do to help implement all of the various features of the Plan. But, Mayor Knight said he is convinced this will be a very regrettable decision four, five, or six years from now. Bill Buchanan Bill Buchanan, County Manager, responding to questions, said the 40 percent reduction is in addition to the reduction that has already be produced by the City's program. Regarding the amount being recycled at this time, the County Manager said the City did a pick (examining and measuring everything that goes in and out of the landfill in a sample) in 1990 and the County did a pick in September and is doing one about every other month for the rest of 1997. The County used the figures from the City's pick in 1990 and extrapolated the current tonnage to get the approximate amount going into the landfill. The amount of tonnage recycled at the curb and at the bins was examined, and a survey was sent to businesses to find out what they were doing. From all this information, the best estimate the County could make was about 10.35 percent. The methodology did not measure everything but through all the means mentioned, that is the amount the County believed is right. The State average is also about 11 percent so it is believed that is about where the County is now. Susan Erlenwein Susan Erlenwein, Sedgwick County Environmental Resources Director, said the amounts recycled on the report are from the information from the 1990 pick done by the City of Wichita. Bill Buchanan County Manager explained that the County started with 1,500 tons going into the landfill. Out of that 1,500 tons per day, 250 tons would be removed from the municipal waste stream because of C & D, and an additional 250 tons would be removed from the municipal waste stream because of yard waste. That is 33 percent. So the tonnage would reduce from 1,500 tons to 1,000 tons. Council Member Kamen Council Member Kamen asked if that meant that if, today, an estimated 1,300 tons per day goes to the landfill, does that mean the City has already done part of the County's job? Or, is the County saying additional reduction from what the tonnage is today? Bill Buchanan Bill Buchanan, County Manager, responded that the County believes that from the pick that occurred in September, the numbers would indicate that yard waste is still at 14 percent, and C & D is still at about 18 percent. Figures were straight-line and population increases were not calculated. Susan Erlenwein Susan Erlenwein, answering questions, explained that the questionnaire was sent to all businesses, thought of through the Yellow Pages and others, that receive materials such as metal, paper, or plastics. Not all companies responded to the survey. If there was no response, the company was contacted; however, if there was never a response at all, the information was not included and there are qualifications to that effect in the report. Since tires and batteries are currently banned from the landfill, they were not included as part of the diversion. Good numbers for the survey were not received for wood and yard waste so they were not included. There was not much feed back on steel and metals. This was one of the areas where people were not willing to respond because of competition. Bill Buchanan Bill Buchanan, County Manager, explained that the $3 is the current cost of curbside recycling. The public education would be $.15/month/household. The hazardous waste would be $.19 month/household. Using 135,000 households, the figure was $2.22/year divided by 12 months which equals $.19/month/household. It is not known how the $13 to $15 per month/household will be financed. As soon as the methodology has been determined for the transfer station (private/private, owned publicly, operated combination) and there are firm figures, the financing will be determined. The methods before the County are a per ton, per household, per property charge, some sort of real estate tax, or a combination thereof. The State of Kansas allows a parcel charge for solid waste stations. Council Member Rogers momentarily absent. (The Council returned to time-certain Item 8; action is shown in Agenda order.) Bill Buchanan Bill Buchanan, County Manager, said a property fee would work by placing a flat fee on each parcel irregardless of the number of containers or amount of waste. Council Member Ferris Council Member Ferris stated that the City did not look at this matter exclusively from a financial standpoint. There were many other things included but the financial information was so compelling because the costs could add up to $140 million to $180 million plus over a period of time. The City will continue to be concerned. Whatever the City decides to submit as the problems to the plan to KDHE will be done as a Council. What is submitted to KDHE will be submitted to the County Commission and County Staff so there will be awareness of what the City is doing. The City has real legitimate concerns about the economic impact this could have on the community. Bill Buchanan Bill Buchanan, County Manager, answering a question, said State Law allows municipalities and counties to charge on a parcel basis for solid waste issues. Each parcel can be charged a specific amount not withstanding size/use of the parcel. It is a way a portion of the solid waste system could be funded. The definitions of parcels are included in the state statutes. Bill Hancock County Commissioner Bill Hancock stated that, in the beginning, he had never favored a transfer station and thought a local landfill was okay. Then this issue came up and his thoughts had to be re-examined. It is known the cost will be greater for a transfer station than for a local landfill. The week before the decision was made on solid waste, Commissioner Hancock said he drove by the Furley area one more time. He could not bring himself to make a decision to put another landfill in Sedgwick County when, with a little bit more cost, another landfill could be built in another county and help both counties. It became not a matter of cost but, rather, the right thing. In the long run, the benefit the county will receive will equal the cost. KDHE should sit down with the City and the County, hear our cases and information, and then make a decision. It is unfortunate the way the paper portrays City/County differences of opinion. Disagreement makes the City and County make better decisions, take more care in what is decided, and makes each better than what they could ever be on their own. The Members of the County Board of Commissioners respect the City's view on this matter and respect the City's actions to present to KDHE all the information the City has so that the KDHE can make a determination on what they feel is the best answer for Sedgwick County. When a decision is made, the County also expects that the City and County will get together and do this as cost efficiently and as best can be done for the community. There was no further action taken on this Item. CITY COUNCIL AGENDA APPOINTMENTS NOTICE OF VACANCY - LIBRARY BOARD. One vacancy (Cole), due to the resignation of Philip McComish, for a term expiring June 30, 1999. Appointment will be made November 18, 1997. BOARD APPOINTMENTS (FOR TERMS EXPIRING JUNE 30, 1999). Board of Appeals of Air Conditioning, Refrigeration, Warm Air Heating and Boilers (2 appointments - Mobile Home Mechanic and Architect) Board of Appeals of Plumbers and Gas Fitters (1 appointment - Public-at-large) Board of Code Standards and Appeals (2 appointments - 1 Citizen-at-large; 1 Architect - City Manager) Board of Electrical Appeals (1 appointment - Public-at- large) Civil Rights and Services Board (1 appointment - Lambke) Commission on the Status of People With Disabilities (2 appointments - Gale, Knight) Group Life Insurance Board (2 appointments) Library Board (2 appointments - Lambke) Police/Fire Retirement Board of Trustees (1 appointment - Lambke) Wichita Athletic Commission (3 appointments) Wichita Commission on the Status of Women (Kamen, Knight, Lambke) Wichita Employees' Retirement Board (1 appointment - Lambke) Wichita-Sedgwick County Board of Health (1 appointment - Veterinarian) Council Member Kamen Council Member Kamen asked for suggestions for appointment to the Commission on the Status of Women. There were no appointments made. CONSENT AGENDA Knight moved that the Consent Agenda, except Item 32, be approved in accordance with the recommended action shown thereon. Motion carried 7 to 0. BOARD OF BIDS REPORT OF THE BOARD OF BIDS AND CONTRACTS DATED NOVEMBER 3, 1997. At 10:00 a.m., Friday, October 31, 1997, pursuant to advertisements published, bids were received, publicly opened, read aloud and tabulated for the Board of Bids and Contracts: (Ref: Bid analysis report attached to Board of Bids Minutes 11/3/97) PUBLIC WORKS DEPARTMENT/ENGINEERING DIVISION: SEWERS, PAVING AND WATER MAINS AS PER SPECIFICATIONS Repair Condemned Sidewalk & Wheelchair Ramp Construction, Phase II (132100) Bryant & Bryant - $56,900.00 (Engineer's Estimate)* Knight moved that the contract be awarded to the second lowest bidder in the amount of the Engineer's Construction Estimate. Motion carried 7 to 0. Improving Barton Creek (Willowbend North Addition) (472- 82826/764373) Ritchie Paving - $281,700.00* Knight moved that the award to Kansas Paving Company be rescinded and the contract be awarded as outlined above. Water Distribution System to serve Regency Lakes Second Addition (north of 21st Street North, west of Greenwich). (448- 89168/734012/470479) Does not affect existing traffic. (Council approval date 7- 29-97) (District II) Mies Construction Co., Inc. - $15,000.00 Water Distribution System to serve Harrison Park Second Addition (east of Webb, north of Harry). (448-89201/734145/470492) Does not affect existing traffic. (Council approval date 9-23-97) (District II) Mies Construction Co., Inc. - $30,000.00 Pepper Ridge to serve Oak Ridge Second Addition (north of 29th Street North, east of Tyler). (472-82832/764431/490546) Does not affect existing traffic. (Council approval date 7-15-97) (District V) Ritchie Paving - $193,639.50 Water Distribution System relocate 12" water line to Santa Fe between Second and Third (south of Central, east of Broadway). (448- 89186/634899/544144) Traffic to be maintained during construction using flagpersons and barricades. (Council approval date 1-7-97) (District VI) Associated Construction - $59,541.00 8" Sanitary Sewer reconstructed in the alley east of St. Francis between 2nd & 3rd (south of Central, east of Broadway). (468- 82785/621722/533283) Does not affect existing traffic. (Council approval date 1- 14-97) (District VI Associated Construction - $84,222.50 Brooks Landfill Drainage Project-Contract 97C(R). (131300/230000) Does not affect existing traffic. (Council approval date 8-13-96) (District n/a) Wildcat Construction Company - $686,068.00 Water Distribution System to serve Lot 3, Mourer 3rd Addition (north of Harry, west of West). (448-89184/734053/470483) Does not affect existing traffic. (Council approval date 8-5-97) (District IV) Mies Construction Co., Inc. - $4,020.00 Knight moved that the contract(s) be awarded as outlined above, subject to check, same being the lowest and best bid within the Engineer's construction estimate, and the Mayor be authorized to sign for the City. Motion carried 7 to 0. PUBLIC WORKS/FLEET & BUILDINGS DIVISION: Replacement of Heating & Air Conditioning at the CMF (791616) Fahnestock, Inc. - $86,353.00 - Alternate Bid Option #1 (Lump Sum) - $ 9,057.00 Option #2 (Lump Sum) - $ 8,142.00 Option #3 (Lump Sum) - $ 9,262.00 Option #4 (Lump Sum) - $ 6,032.00 Option #5 (Lump Sum) - $11,842.00 PUBLIC WORKS DEPARTMENT/FLEET & BUILDINGS DIVISION: Asbestos Abatement & Demolition (660647) Farha Construction, Inc. - $9,910.00 PUBLIC WORKS DEPARTMENT/FLEET & BUILDINGS DIVISION: Parking Lot Renovation at Central Maintenance Facility (130815) Ferguson Paving Inc. - $98,400.00 PUBLIC WORKS DEPARTMENT/FLEET & BUILDINGS DIVISION: Water Service Replacement at City Hall (130824) American Plumbing, Inc. - $41,885.00 PUBLIC WORKS DEPARTMENT FLEET & BUILDINGS DIVISION: Preventative Maintenance on Electrical Switchgears (130823) Westinghouse Electric Corporation - $5,505.00* *Correct Pricing on base bid incorrectly entered last week. POLICE & AIRPORT DEPARTMENTS/POLICE OFFICERS UNIFORMS (083600) Law Enforcement Equipment Company - Alternate Bids. Price Each Item # 1 - $ 23.00 Price Each Item # 2 - $ 55.00 Price Each Item # 3 - $ 5.00 Price Each Item # 4 - $ 3.75 Price Each Item # 5 - $ 66.85 Price Each Item # 6 - $ 64.85 Price Each Item # 7 - $ 66.85 Price Each Item # 8 - $ 36.16 Price Each Item # 9 - $ 36.16 Price Each Item #10 - $ 29.60 Price Each Item #11 - $ 29.60 Price Each Item #12 - $ 26.70 Price Each Item #13 - $ 26.70 Price Each Item #14 - $ 33.70 Price Each Item #15 - $ 3.75 Price Each Item #16 - $ 33.70 Price Each Item #17 - $ 3.75 Price Each Item #18 - $ 30.50 Price Each Item #19 - $ 30.50 Price Each Item #20 - $ 3.05 Price Each Item #21 - $ 4.00 Price Each Item #22 - $216.95 Price Each Item #23 - $ 28.55 Price Each Item #24 - $ 96.75 Price Each Item #25 - $ 23.85 Price Each Item #26 - $ 16.80 Price Each Item #27 - $ 36.10 Knight moved that the contract(s) be awarded as outlined above, same being the lowest and best bid, and the necessary signatures be authorized. Motion carried 7 to 0. WATER & SEWER DEPARTMENT/SEWAGE TREATMENT DIVISION: Expansion Joints, Retaining Rings and Gaskets (624007 and 632166) Industrial Supply Products, Inc. - $11,742.63* Knight moved that the contract be redirected as outlined above, same being the lowest and best bid meeting specifications, and the necessary signatures be authorized. Motion carried 7 to 0. LICENSE APPLICATIONS APPLICATION FOR LICENSE FOR ESCORT SERVICE. New Owner 1997 Kirk Slavik Prime Time Entertainment 1301 West Douglas Applications for Licenses to Retail Cereal Malt Beverages. Renewal 1997 (Consumption off Premises) Gene Clasen Checkers 245 East 47th South Thomas R. Smith L.C. Foods Inc. dba Checkers 1915 East Pawnee Paul A. Dawson Metro Oil, Inc.248 South Hillside dba Metro Beverage Co. Motion -- Knight moved that the licenses be approved subject to Staff review and -- carried approval. Motion carried 7 to 0. PLANS AND SPECS. SUBDIVISION PLANS AND SPECIFICATIONS. Storm Water Sewer #489 to serve Wilson Farms Addition (south of 21st Street North, east of Rock Rd). (468-82742/751073/485142) Does not affect existing traffic. (Council approval date 7-1-97) (District 2) Motion -- Knight moved that the plans and specifications be approved and the City Clerk be instructed to advertise for bids to be submitted to the Board of Bids and -- carried Contracts by 10:00 a.m., November 14, 1997. Motion carried 7 to 0. BOARD MINUTES MINUTES OF ADVISORY BOARDS. CPO Southeast Council 3, 10-23-97 CPO Southwest Council 4, 10-23-97 Board of Housing Commissioners Mtg., 9-18-97 The Wichita/Sedgwick County Board of Health, 10-9-97 Board of Code Standards and Appeals, 10-6-97 Metropolitan Area Planning Commission, 9-25-97 Motion -- carried Knight moved that the Minutes be received and filed. Motion carried 7 to 0. STREET CLOSURES/USES CONSIDERATION OF STREET CLOSURES/USES. There were no street closures/uses considered. RAILROAD PIPELINE BNSF RAILROAD PIPELINE LICENSES FOR MURDOCK, WACO TO WABASH. (District VI) Agenda Report No. 97-951. On February 9, 1997, the City Council approved a project to reconstruct and improve Murdock from Waco to Wabash. The project includes construction of water, sewer and storm sewer lines under the Burlington Northern and Santa Fe Railway Company tracks. To construct the lines, the City needs a Pipeline License Agreement for each pipeline. Five licenses with a total cost of $17,500 are required, of which each include a fee of $2,500 and a $1,000 Licensers Blanket Railroad Protective Liability Insurance Policy. The costs will be paid from the existing project budget. Motion -- Knight moved that the licenses be approved and the Mayor be authorized to -- carried sign. Motion carried 7 to 0. INMATE LABOR AGREEMENT INMATE LABOR AGREEMENT BETWEEN THE CITY OF WICHITA AND SEDGWICK COUNTY. Agenda Report No. 97-952. In September 1996, the City of Wichita entered into an agreement with the Kansas Department of Corrections, Winfield Correctional Facility, to utilize inmate labor for various City projects. The program utilizes inmate labor for the benefit of society, and allows for the development/redevelopment of work ethics. The Cooperative Labor Program has successfully given inmates the opportunity to familiarize themselves with new technology and ready themselves for employment when they return to society. This program has been extremely beneficial to the City of Wichita. Sedgwick County has made a proposal to enter into the City's Cooperative Labor Program. The Agreement proposes the City provide inmate labor crews to the County for use in completion of various projects previously identified by Sedgwick County. Supervision for the inmates will be provided by trained County employees following the guidelines provided by the Winfield Correctional Facility. The City and the Warden of the Winfield Facility reserve the right to coordinate the program for Sedgwick County. A Memorandum of Understanding, dated October 15, 1997, between Sedgwick County and the Winfield Correctional Facility has been submitted in accordance with this Agreement. The Cooperative Labor Program operates under a $100,000 budget which is financed from the General Fund. The money covers all salaries, supplies and costs for transportation. Sedgwick County has verbally agreed to reimburse the City for any expenditures incurred as a result of their participation in the program. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. DCCCA CONTRACT AMEND. CONTRACT AMENDMENT - DCCCA, INC., DBA RECOVERY SERVICES CENTER. Agenda Report No. 97-953. On February 1, 1996, the City entered into a contract with DCCCA, Inc., dba Recovery Services Center, to provide drug and alcohol treatment services for the Neighborhood Drug Court. The amount of the contract was $91,720. On March 18, 1997, the contract was amended to extend the contract term to March 31, 1998. Municipal Court and DCCCA have agreed to extend the contract term to July 31, 1998, to coincide with the ending date of the Comprehensive Communities program grant and make technical changes to the method of payment. Motion -- Knight moved that the Contract amendment be approved and the Mayor be authorized -- carried to execute. Motion carried 7 to 0. BUDGET ADJUSTMENTS BUDGET ADJUSTMENT - POLICE DEPARTMENT. Agenda Report No. 97-954. The Police Department has 141 grant-funded police officers for implementing the Public Safety Initiative. The conditions of the grants funding these officers requires the City to fund 100% of the overtime earned by these officers. In addition, the 141 officers were added to the Police Department without increasing the Police Department's budget for overtime under the premise that the overtime would be funded from salary savings from open positions. In order to use available salary savings to fund this overtime, a budget adjustment is necessary to transfer salary savings from Investigations and Support Services to the Public Safety Initiative Account. The net impact of the recommended budget adjustment is zero. The budget adjustment is necessary only to implement the previously planned policy of funding overtime for additional positions from salary savings of existing open positions. Since the majority of open positions in 1997 have been in Investigations and Support Services, funding for salaries from these divisions totaling $180,000 needs to be transferred to the Public Safety Initiative Account. The following table illustrates the line items to be increased and decreased through the recommended budget adjustment. Section Line-Item Increase Decrease Public Safety Initiative Premium Overtime $76,000 $0 Public Safety Initiative Straight Overtime 4,000 0 Public Safety Initiative Court Overtime 100,000 0 Crimes Against Persons Biweekly Wages 0 40,000 Special Investigations Biweekly Wages 0 44,000 Traffic Biweekly Wages 0 96,000 $180,000 $180,000 Motion -- carried Knight moved that the budget adjustment be approved. Motion carried 7 to 0. BUDGET ADJUSTMENT - HEALTH DEPARTMENT. Agenda Report No. 97-955. Environmental Health Division provides lot cleanup of private property found to be in violation of environmental codes through the nuisance abatement fund. Following legal notification of property owners, if corrective action is not taken, clean-up is performed by the City's contractors and property owners are billed for the work. Any unpaid bills are charged against the property as special assessments. Increased activity has been generated due to requests from neighborhood associations, CPO, Community Police, OCI's Clean Team, and others. The projected increase from 1996 to 1997 is 36 percent. Each lot clean-up averages approximately $1,107. To address existing cases, new cases, and avoid delay and impact on next year's budget, an additional $50,000 will need to be transferred from the General Fund Appropriated Reserve to the Nuisance Abatement Fund. Motion -- carried Knight moved that the budget adjustment be approved. Motion carried 7 to 0. TRAFFIC CONTROL SYSTEM TRAFFIC CONTROL SYSTEM SOFTWARE. Agenda Report No. 97-955. Within the City of Wichita's traffic signal system, there are 12 zones with master controllers which allows for communication between 240 signalized intersections. There are two separate software programs for the master controllers of each zone and to operate the individual controllers for the traffic signals at each intersection. Another software, Traffic View, is utilized by Traffic Engineering staff and Traffic Maintenance supervision to view the traffic signal timing of each intersection in `real time' through a personal computer. Traffic View was purchased in 1990, and the vendor has not developed an upgrade for the software since it was installed. Traffic View works in conjunction with the other two software programs. Traffic View has the following limitations: 1) Traffic Engineering and Traffic Maintenance cannot view a signalized intersection simultaneously. This restricts staff members from viewing each traffic signal and then discussing problems and solutions. 2) If a staff member is monitoring an intersection in a zone, other staff members cannot access the same zone to view a separate intersection. 3) Only one intersection can be viewed at a time on the personal computer screen. If multiple signals in a zone could be viewed on a screen, then problems related to the timing and progression of traffic signals could be detected in a shorter time frame. For example, a citizen may call and express concern about the coordination of traffic signals in Central between Main and St. Francis. Traffic View will not permit viewing this string of traffic signals to determine which location is `out of step'. 4) A limited number of reports can be produced with Traffic View. Safetran Traffic Systems, Inc. and Advanced Computing Technologies, Inc. have developed new software, Traffic Control System II/Closed Loop (TCS II/CL). This program contains the following features: 1) User friendly. 2) Staff can view multiple traffic signal locations on the computer screen at the same time. 3) More than one staff member can access the same zone simultaneously. 4) A map can be displayed on the screen, and all traffic signals on the system can be viewed. 5) Existing software for the zone master controllers and individual controllers are compatible with TCS II/CL. 6) Future savings may be possible with only one controller needed at the twelve master intersections instead of the two currently required. 7) Future upgrades will be available in the future. 8) If an Intelligent Transportation System is approved for Wichita, TCS II/CL will enable the inclusion of variable message boards, video detection, and real time traffic monitoring. Traffic Maintenance has $7,500 in the 1997 revised budget to replace Traffic View with a comparable software. The $18,000 purchase of TCS II/CL software would be financed with $7,500 in the Traffic Maintenance Budget for software, $1,000 from under expenditures in the Electricity Account of the Traffic Maintenance Budget, and $9,500 in under expenditures in Personal Services from the Engineering Division Budget. TCS II/CL would be the purchase of software from a single source. Public Works Department staff is not aware of another vendor with traffic control system software which compares to TCS II/CL. Purchase of new software would enable the more efficient operation of Wichita's traffic signal system. Public Works staff would be able to detect and respond more quickly to traffic signal timing problems. Motion -- Knight moved that the single source purchase of Traffic Control System II/Closed Loop software be approved and the Purchasing Manager be authorized to issue a -- carried Purchase Order in the amount of $18,000. Motion carried 7 to 0. PARK ASSESSMENT PARK FACILITY CONSULTANT CONTRACT. Agenda Report No. 97-956. In November, 1996, City Council approved funds to hire a professional consultant to assess park facilities. In response to the City's RFP for these services, a selection committee made up of Park staff, other City staff and concerned citizens, unanimously selected the firm of Bucher, Willis and Ratliff, of Kansas City, Missouri, as the most qualified to perform the study. Consequently, the Department of Park & Recreation requests City Council approval of the contract with the selected consulting firm for a total fee of $82,850. As an extension of the adopted Park & Pathways plan that addresses future park land acquisitions, the Department of Park and Recreation proposes that the City contract with the professional consultant firm of Bucher, Willis & Ratliff to perform an assessment of Park Department facilities. The consultant report will also provide recommendations for the most economic, productive and efficient approach to the utilization and rehabilitation of park facilities. Capital Improvement Program funds were approved by City Council November 26, 1996, in amount to cover this contract. Motion -- Knight moved that the Contract be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. WEATHERIZATION CONTRACT WEATHERIZATION PROGRAM CONTRACT. Agenda Report No. 97-957. The Human Services Department receives funding from the State of Kansas for weatherization of low-income residences. A Request for Proposals was issued which would allow certain weatherization tasks to be contracted out to a private contractor. Two bids were received from interested weatherization contractors: Pageco for $31,835; and Farha Construction for $25,746. The contractor would be utilized for those items which can be more efficiently done by a private contractor, while staff crews will be maintained for work which can be accomplished in-house at a lower cost. Funding for this contract is provided by the Department of Energy through the State of Kansas. No local tax dollars are involved. Motion -- Knight moved that the Contract be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. CONSULTANT CONTRACT CONTRACT FOR PROFESSIONAL SERVICES PERTAINING TO ENERGY MATTERS. Agenda Report No. 97-958. It is proposed to contract for professional services to assist the City in protecting its interests in the electrical retail wheeling issue now being debated statewide. In addition, legislation is now being drafted for the forthcoming legislative session. Inasmuch as Wichita is within the KG&E service area and is disadvantaged from higher electrical rates than many other areas in the State, the City of Wichita has much to gain and/or lose - depending upon how the legislation is drafted, and what actions are taken to implement electric deregulation in Kansas. To provide professional expertise and counsel on this matter, it is proposed that a service contract be approved. The issue of competition in the electric industry is being played out both at the federal and state levels. Various pieces of legislation have been introduced and it is proposed to engage the firm of Triplett, Woolf and Garretson (Mr. Timothy McKee) to assist the City in carrying out a strategy with respect to energy matters before the Kansas legislature and the Kansas Corporation Commission, particularly with reference to matters involving the restructuring of the electric industry that will impact Wichita's electrical consumers. Funding for the professional assistance will be from Appropriated Reserves. Motion -- Knight moved that staff be authorized to negotiate contractual terms, the contract be approved and the Mayor be authorized to sign. Motion carried -- carried 7 to 0. RAILROAD BYPASS SUPPLEMENT TO RAILROAD BYPASS CONTRACT. Agenda Report No. 97-959. The City has not studied the Burlington Northern/Santa Fe (BN/SF) rail crossings as has been done for the Union Pacific Southern Pacific (UPSP) rail crossings. The new study will look at all BN/SF crossings with traffic volumes higher than 10,000 (21st Street North, Harry, Pawnee, MacArthur, 47th South and 63rd South). In addition, the consultants will examine the feasibility of rerouting the BNSF tracks near 21st North away from Broadway. An overpass could be built over both major railroads, BN/SF and UPSP. The study will take approximately three months and cost $29,957. The cost of the study will be paid 50 percent by the State and 25 percent each by Sedgwick County and the City of Wichita. The City's share shall not exceed $7,500. The City will administer the contract and pay the consultant from Appropriated Reserves. The State of Kansas/Department of Commerce and Sedgwick County will be billed for reimbursement. Motion -- Knight moved that the Contract be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. DEVELOPMENT GUARANTEE AMENDMENT TO ESCROW AGREEMENT - ACCEPTANCE OF BONDS IN LIEU OF LETTER OF CREDIT AS DEVELOPMENT GUARANTEE. (District II) Agenda Report No. 97-960. In connection with the development of a portion of the Bradley Fair/Wilson Estates properties at 21st and Rock Road, the City agreed to accept certain municipal bonds as security for the development guarantee. The developer, Vantage Point Properties, Inc., has escrowed municipal bonds that will be held as security in lieu of a letter of credit. The amendment will add two addition projects to include in the list of special assessments the escrow account will guarantee. Motion -- Knight moved that the Agreement Amend. be approved and the Mayor be authorized -- carried execute. Motion carried 7 to 0. (Item No. 32) WATER CONSERVATION WATER CONSERVATION EDUCATION PROGRAM FOR USD 259. Motion -- carried Knight moved that this Item be deferred two weeks. Motion carried 7 to 0. IRB - STEFFENS PURCHASE OPTION (STEFFENS DEVELOPMENT COMPANY - IRB SERIES XCII, 1979). (District I) Agenda Report No. 97-962. On August 28, 1979, the Wichita City Council approved the issuance of $470,000 in Industrial Revenue Bonds, Series XCII, 1979, to finance acquisition and equipping of an apartment facility to be leased to and operated by Steffens Development Company located at 1700 North Vassar. On March 23, 1982, the City Council approved the assignment of the IRB Series XCII, 1979 Lease from Steffens Developments, Inc. to Steffens Development Company, a partnership consisting of the same individuals who are stockholders of the Steffens Developments, Inc. corporation. Under the provisions of Sections 17.1 and 17.2 of the Lease Agreement for the bond series, Steffens Development Company has the option, if all outstanding bonds have been paid, to purchase the facility from the City of Wichita for the sum of $100. The City of Wichita, on October 3, 1997, received a notice from Southwest National Bank, Trustee for the bond issue, that as of September 1, 1997, there were sufficient funds on hand to redeem and pay in full the principal and interest of all the outstanding bonds. Under the terms of the Lease, the City is required to convey the real property and facility securing the IRB issue to the Tenant, once the Tenant has paid the purchase price and other considerations as listed under the provisions of the Lease Agreement, including the payment of all outstanding bonds. The City received a check in the sum of $100 from the Southwest National Bank, on October 3, 1997, representing the purchase price for the facility. The purchase price is $100 and other considerations as listed under the provision of the Lease Agreement to redeem and retire all outstanding bonds. This price includes without limitations, principal, interest, redemption premium, and all other expenses of redemption, and trustee fees, but after the deduction of any amounts described and provided for in the Lease Agreement and available for such redemption. Motion -- Knight moved that the Resolution be adopted; and the Special Warranty Deed and Termination of Lease Agreement be approved and the Mayor be authorized to sign. -- carried Motion carried 7 to 0. RESOLUTION NO. R-97-405 A Resolution authorizing the City of Wichita, Kansas, to convey certain real property to Steffens Development Company and prescribing the form of and authorizing the execution and delivery of certain documents in connection therewith, presented. Knight moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Lambke, Rogers, Knight. ORDINANCES SECOND READING ORDINANCE. (First read 10/28/97) South Broadway Viaduct over the Union Pacific Railroad Tracks (north of MacArthur). (District III) ORDINANCE NO. 43-632 An Ordinance declaring Broadway, from MacArthur to 31st Street South (former U.S. 81 viaduct) (Project Number 472-82828) to be main trafficways within the City of Wichita, Kansas; declaring the necessity of and authorizing certain improvements on said main trafficway; and setting forth the nature of said improvements, the estimated costs thereof and the manner of payment of the same, read for the second time. Knight moved that the Ordinance be placed upon its passage and adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. First Reading Ordinance Motion -- Knight moved that the following Ordinance be placed on first reading. Motion -- carried carried 7 to 0. ORDINANCE An Ordinance making special assessments to pay for the improvement of and providing tax levies for the cost of construction of sidewalks in the City of Wichita, Kansas, introduced and under the rules laid over. PLANNING AGENDA S/D 96-93 S/D 96-93 - PLAT OF GLENVILLE EAST LOCATED NORTH OF 47TH STREET SOUTH AND WEST OF ROCK ROAD. (District III) Agenda Report No. 97-963. MAPC Recommendation: Approve the plat. Staff Recommendation: Approve the plat. The County site is within three miles of the City's boundary. Avigational Easement dated July 25, 1997, from Richard L. Hooper. Motion -- Knight moved that the Plat be approved; and the avigational easement be received -- carried and filed and recorded with the Register of Deeds. Motion carried 7 to 0. S/D 97-64 S/D 97-64 - PLAT OF WESTSIDE UNITED METHODIST CHURCH LOCATED AT THE SOUTH SIDE OF LYDIA, WEST OF SENECA. (District IV) Agenda Report No. 97-964. MAPC Recommendation: Approve the plat. Staff Recommendation: Approve the plat. This is a one-lot replat of land zoned single family and utilities are currently available. Motion -- Knight moved that the plat be approved as recommended and the Mayor be -- carried authorized to sign. Motion carried 7 to 0. A 97-31 A 97-31 - REQUEST TO ANNEX PROPERTY ADJOINING THE CITY GENERALLY LOCATED AT THE NORTHWEST CORNER OF 21ST STREET AND MAIZE ROAD. (District V) Agenda Report No. 97-965. Larry a. Chambers, President of Socora Village Company and President of Newmarket Square, L.L.C., has requested that property located north of 21st Street and West of Maize Road be annexed into the City of Wichita. Water and sewer service are available from existing lines at 21st and Maize Road. The applicant will be solely responsible for all costs involved in connecting to the existing water and sewer lines. The property has access to 21st and Maize Road. City of Wichita CIP indicates that 21st Street is to be widened to a 4-lane arterial west of Maize Road, with construction to be completed by 2005. Maize Road will likely be widened to 4 lanes plus turning lanes north of 21st Street within the next two years. Fire service will be provided by Fire Station Number 16 at 16th North and Tyler. Police protection will be provided by the Patrol West Bureau of the Wichita Police Department. The area is located within 1/2 mile of an area identified as a potential future park site, 1/2 mile northeast of Bella Vista Park, and approximately 1/2 mile northwest of Sunset Park. Annexation will not change the school district from Unified School District 266. Motion -- Knight moved that the annexation request be approved and the annexation -- carried Ordinance be placed on first reading. Motion carried 7 to 0. ORDINANCE An Ordinance including and incorporating certain blocks, parcels, pieces, and tracts of land within the limits and boundaries of the City of Wichita, Kansas, and relating thereto, introduced and under the rules laid over. A-97-31 EXECUTIVE SESSION Motion -- Knight moved that the Council recess to executive session to consider consultation with legal counsel on matters privileged in the attorney-client relationship relating to potential and pending litigation, and legal advice; and the regular meeting be resumed at 12:15 p.m. in the City Council Chambers. -- carried Motion carried 7 to 0. RECESS Council recessed at 11:30 a.m. and reconvened in regular session at 12:20 p.m. Mayor Knight Mayor Knight announced that no action was necessary as a result of the executive session. RECESS The City Council recessed at 12:20 p.m. to a workshop session on the Transit Maintenance Facility and returned to regular session at 12:55 p.m. Motion -- Knight moved that the Council recess and reconvene in regular session at the Holy Cross Lutheran Church, 600 North Greenwich Road, at 7:00 p.m. Motion carried -- carried 7 to 0. RECESS The City Council recessed at 12:55 p.m. and reconvened in regular session at the Holy Cross Lutheran Church, 600 North Greenwich Road, at 7:02 p.m. Council Members *Cole, Ferris, and *Lambke; absent. A 97-1 A97-1 - ANNEXATION OF LAND NORTH OF PRESENT CORPORATE LIMITS AT EAST DOUGLAS AVENUE, EAST OF GREENWICH ROAD, SOUTH OF CENTRAL AND WEST OF 127TH STREET EAST AND K-96. Marvin Krout Director of Planning reviewed the Item, including the Annexation Area Service Delivery Plan. Agenda Report No. 97-966. On August 26, 1997, the City Council adopted a resolution establishing November 4, 1997, at 7:00 p.m. at Holy Cross Lutheran Church, 600 North Greenwich Road, Wichita, Kansas, as the time and place for a public hearing on the question of annexing certain eligible properties located east of the City. The land being considered is part of five subdivisions: the Brown and Cummin, Gott, Gilder's Gardens, Gilder's Replat, and White's Additions. Over the past two decades, property owners in the area have expressed interest in receiving city water and in being annexed to the City at some point in the future. A total of 112 requests for annexation have been submitted to the City during the past 15-20 years. The property owners agreed to annexation in return for City water service. Many of the residents currently have been receiving City water for a number of years. The City's boundaries have now extended to and around the area and are becoming more stretched and irregular. To provide a more harmonious boundary with clearly defined jurisdictional lines for municipal and county services, the City has initiated the annexation of the area in accordance with the past water service agreements. Since not all the residents had signed petitions, the area is being annexed by the unilateral method in order to avoid a scattered and disjointed city limit line. An informal meeting on the proposed annexation was held on October 14, 1997, at the Holy Cross Lutheran Church. About 50 residents attended and staff provided answers to questions posed. At the meeting, a number of concerns were expressed in reference to assessments being charged by Sedgwick County for the newly installed Four Mile Creek Sewer District lateral lines. A Service Extension Plan was prepared for this unilateral annexation. The plan describes the means by which the City Services will be extended to the area. The service extension plan has been on file for public inspection in the Office of the City Clerk. Copies of the resolution establishing the public hearing, together with a map showing the properties affected and a notice of the public hearing, were sent by certified mail to all property owners of record in the proposed annexation area and to other established governmental entities and utility services. Copies of the resolution and map have also been published in the Official City Newspaper as further notification of the scheduled public hearing. *Council Members Cole and Lambke present. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Bill Royse Bill Royse, 11816 East Douglas, said the residents already have all the services, the streets are fixed, and that he did not see why the City was needed. Bob Shrum Bob Shrum, Minneha Township Trustee, stated that the Minneha Township Board would request that Wichita also annex the Douglas township road from Greenwich Road to 127th East. The current proposal only annexes Douglas from Zelta to Greenwich Road which takes the Township tax base and leaves the road for the Township to maintain. Informally, the City Staff has given a negative response to this offer. All of the roads in the Gilder's Gardens and the Gott Addition are new roads with new paving and surfacing. Townships are low on funds and Minneha Township is left with little funds to repair streets. Mr. Shrum added that he is on the Crestview Country Club Improvement District and Crestview Country Club is not in the improvement district, only the area around the Club. Steve Lackey Director of Public Works explained that, typically, the City has not taken over roadway maintenance on roads when the City does not have the properties on either side of the road annexed. The way the annexation plan was drafted for this particular area was based on the fact that the City has not annexed the area south of Douglas on the east one-half mile. The City is only proposing to annex the area to the north of Douglas on the east one-half mile. Consistent with the City's previous annexations, Douglas was not included in this particular annexation case. Marvin Krout Director of Planning said the City is planning to annex the west half mile between Zelta and Greenwich. This area on both sides of Douglas would then be part of the City of Wichita. The property to the south and east of that area is in the County and, unless it is developed or divided into smaller parcels, it is not eligible to be annexed under State Law. Unknown speaker Unknown speaker stated that she lived on the north side of Douglas and would be annexed, have increased taxes, but would live on an unimproved road. Also, being a City resident would mean different rules regarding pets and things she could have. It makes no sense to live on a county road but to have more taxes and less freedom. Jeff Roberts Jeff Roberts, resident of Gilder's Garden, said he moved to the area a long time ago and that he had never been informed the City was going to annex the area. Mr. Roberts said he has horses and that when he is annexed he would not be able to have more horses. People who want to be in 4-H will not be able to raise animals anymore. The sewer was unwanted but it was forced on the residents. Everyone he has talked to within Gilder's Garden and the Gott Addition have spoken against annexation by the City of Wichita. Jack Brown Acting Director of the Department of Health responded that the codes are different but the Health Department has adopted a policy to work with people on a case-by-case basis regarding animal maintenance. Council Member Kamen Council Member Kamen said the residents in the area already have some of the benefits such as water service, parks, library service, and others. City services are now being enjoyed. Council Member Rogers Council Member Rogers pointed out that 112 of 152 of the properties to be annexed have already signed papers requesting annexation in return for water service. Unidentified speaker An Unidentified speaker stated that the 4-mile sewer lines had been forced on the residents and each property was assessed from $9,000 to $10,000. Also, the Sheriff patrol is well liked while there is a negative feeling regarding the Wichita Police. Mayor Knight Mayor Knight said much time has been spent working with the Wichita Police Department whose officers serve with distinction. The Wichita Police Department is an outstanding organization. There is a greater difference policing the inner city than in the suburbs. Both the Wichita Police Department and the Sedgwick County Sheriff's Department are making enormous strides. The Police officers are expected to be professional, courteous, and responsible, but the officers are human and not perfect. If the City's Police Officers make mistakes they are expected to try to correct them. Carroll Campbell Carroll Campbell, newer resident, said he understood that a previous property owner had signed a paper for annexation and water, and he understood that the City of Wichita wants to grow. The timing is bad because a sewer and a $10,000/household assessment has just been put in place. Mr. Campbell asked if there could be additional time before the area is annexed. If there are going to be additional taxes he would have to move. Mayor Knight Mayor Knight explained that the average increase in taxes would only net in an average amount of $5 to $6 per month. Regarding taxation in general, Mayor Knight said the City of Wichita, unlike some of the outlying areas, had not raised taxes for 1998, 1997, 1996, or 1995, and there were no tax increases proposed in the future. Council Member Kamen Council Member Kamen said the property taxes for the City of Wichita are now lower than when he cam on the Council. Approximately one-half of all the sales tax the City receives for good purchased in Wichita goes toward the construction of Kellogg which is an asset to all who travel through Wichita. Susie Cortest Susie Cortest, employee of Ratheon and resident of the Gott Addition, said she had lived in their two-year old home for five years. Her family was informed that the specials on her house included the sewer and then they found out that was wrong and they are now having to pay the $9,000 to $10,000 assessment. Ms. Cortest also inquired about false alarm charges for security systems. Bob Circle Wichita Police Department representative said the Police Department responds to all alarms. Alarms are taking a toll on the Police Department and there is a fee for recurring false alarms. Duane O'Hara Duane O'Hara inquired regarding the number of police officers that would be added as a result of the annexation. Bob Circle Wichita Police Department representative said there would be no police officers added at this time. There are approximately 34 officers patrol in this area at any given time to respond to emergencies. The Sheriff's Department, at any given time, may have 6 to 8 Sheriff's deputies on the road. Kathy Roberts Kathy Roberts stated that the 112 signatures on agreements were obtained years ago. Most of the current residents had nothing to do with the agreements and most do not want to be annexed. Mayor Knight Mayor Knight agreed that the representatives at this hearing were overwhelmingly opposed to annexation at this point; however, at some point, as a condition to get water, people okayed annexation. Paul Miller Paul Miller stated that he was content with the present service and could see no benefit by annexation. There would be excess regulations, and no improvements with the street work. Mr. Miller said he did not appreciate the priorities of the City Council in use of tax moneys. The zoning rules are not good. Nona Stevens Nona Stevens stated that she had signed a water service/annexation agreement some 25 years ago and that it was one of the best bargains she ever received. Ms. Stevens said anything the City could do to purchase the present sewer system and, perhaps, lower assessments would be appreciated. David Warren Director of Water and Sewer, responding to a question, explained that the City has offered to purchase the 4-mile Creek sewer system but was turned down by the County. The City will continue to pursue the purchase. Bob Shrum Bob Shrum, responding to a question, said 127th Street East is a road maintained by the County for one mile and the Township for the next mile. The maintenance on the portion of 127th in question will be done by the County. Bob Johnson Bob Johnson, resident of the southwest corner of the planned annexation, said he also had signed a water service/annexation agreement 20 to 25 years ago. At that time the City had a lot to offer but now the residents already have everything so they don't need to be annexed. The County got what they needed. Jack Gilbert Jack Gilbert, owner of property Douglas just east of Jackson, stated that he has a piece of property valued at $4,070 with a tax bill of $16,000 for sewer to property with nothing on it. People are upset because of the extra taxes on the sewer. Unidentified Speaker Unidentified speaker inquired regarding the areas being annexed. The gentleman also asked about the church that was not assessed with sewer taxes for the 4-mile Creek sewer lines. Marvin Krout Director of Planning explained that some of the areas are not being annexed or have not been annexed because of size and not being platted, and some areas do not touch the city limits of Wichita. The Church is part of the Fountains Addition which was platted in the 1980's prior to the establishment of the 4-mile creek sewer district. When the Fountains was platted, the City Council committed to provide sewer service to the City sewer system. When the property was developed, the property owner asked to be annexed into the City and to tap in to the City's sewer district. The City agreed to ask the County for permission to annex that property, annexed the property, and then provided sewer service to the property. That request and commitment was made prior to the 4-mile Creek Sewer District was established for the rest of the area. Council Member Kamen Council Member Kamen explained that the City cannot propose an island annexation, it has to be proposed by the County. Keith Pinkston Keith Pinkston said this area has been stuck by everybody and they are paying twice the specials anyone else is paying. Now, the area will not develop because of the specials. Council Member Kamen Council Member Kamen said the fee for sewer service is prohibitive and he hoped something could be done to alleviate some of the taxes. Unidentified Speaker Unidentified speaker said, when the sewer was brought up about one year ago, the area inquired about annexation and was told by Commissioner Gwin that the City did not want to annex the area. Now the sewer is in and the City is annexing the area. Council Member Cole Council Member Cole apologized for any misleading and explained that Commissioner Gwin is with Sedgwick County, not the City of Wichita. Annexation has not been decided by the City of Wichita. Daylen Finck Daylen Finck again inquired regarding City assistance in purchasing the sewer system. David Warren Director of Water and Sewer explained that about five years ago the City approached the County and offered to purchase the 4-mile Creek system and would have integrated it with the City's sewer service. The residents would have had the same rates to pay as City residents. The County rejected the officer and the matter is moot. Until the County wants to sell the system to the City or enter into an operating and maintenance agreement with the City, this is a County sewer district and the City has absolutely no control or jurisdiction. The City has approached the County again and, to this point, has received no response from the County. Responding to a question from another unidentified speaker, the Director of Water and Sewer explained that the Fountains is a part of the City's sewer system. June Balke June Balke, East Douglas resident, said Ratheon traffic has eliminated walking and now there is a sewer assessment and she is not even connected to the sewer. The City now wants to annex the property and the timing would be better if the City could come back in one or two years. John Cortest John Cortest expressed appreciation to the City for having an evening meeting giving the residents an opportunity to come to the Hearing. Council Member Rogers Council Member Rogers said the City Council will weigh all that is heard but the City cannot be held responsible for the County's jurisdiction and decisions. Council Member Kamen Council Member Kamen stated that the citizens presently enjoy City services and the City of Wichita has to expand into urbanized areas. There is no real financial benefit to Wichita. Council Member Kamen spoke in agreement with the citizens regarding the 4-mil Creek sewer system. With annexation, the City will do what is possible to try to help the citizens in this regard but no promises can be made. Motion -- Kamen moved that the annexation request be approved and the annexation -- carried Ordinance be placed on first reading. Motion carried 6 to 0. (Ferris absent) ORDINANCE An Ordinance including and incorporating certain blocks, parcels, pieces, and tracts of land within the limits and boundaries of the City of Wichita, Kansas, and relating thereto, introduced and under the rules laid over. A-97-1 ADJOURNMENT The City Council meeting adjourned at 8:45 p.m. Pat Burnett City Clerk COUNCIL PROCEEDINGS JOURNAL 164 NOVEMBER 4, 1997 Page 1