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CITY COUNCIL MEETING

MINUTES

MONDAY, AUGUST 13, 2007

 

I.                    CALL TO ORDER

 

A regular meeting of the City Council of the City of Liberty, Missouri was held in the Council Chambers at City Hall on August 13, 2007 with Mayor Robert T. Steinkamp presiding.  Mayor Steinkamp called the meeting to order at 7:00 p.m.

 

II.         INVOCATION AND PLEDGE OF ALLEGIANCE

 

            The invocation was given by Council Member Anna Marie Martin who then led the pledge of allegiance.

 

III.       ROLL CALL

 

Roll call was answered by Paul Jenness and Harold Phillips, Ward I; Anna Marie Martin and Greg Duncan, Ward II; Lyndell Brenton and John Parry, Ward III; and Fred Foster and Nick King, Ward IV.  Also in attendance were Curt Wenson, City Administrator; Cynthia Boecker, Assistant City Administrator; Craig Knouse, Police Chief; Gary Birch, Fire Chief; Linda Tyree, Finance Director; Diana Adams, Special Project Manager; Steve Hansen, Public Works Director; Steve Anderson, Planning & Development Director; Tony Sage, Information Services Director; Shawnna Funderburk, Assistant to the City Administrator; Jane Sharon, Deputy City Clerk; Angie Borgedalen, Liberty Tribune and 21 members of the public.

 

IV.       APPROVE MINUTES AND SUMMARIES (SEE CONSENT AGENDA)

 

A.        SPECIAL SESSION MINUTES OF JULY 30, 2007

 

Council Member King moved to approve the minutes as distributed.  Council Member Martin seconded the motion, which carried 6-0-2.  Council Member Lyndell Brenton and Council Member Paul Jenness abstained due to absence.

 

V.        CITIZENS’ PARTICIPATION

 

Mayor Steinkamp recognized the following boy scouts from Troop 374 in attendance at the meeting:  Patrick Shay; Devin Meyer; Dexter Meyer; Jay Seward; Austin Landrum; and Chad Lee.  Troop Leaders Dan Meyer and Mike O’Neil were also in attendance.  Mayor Steinkamp noted that the troop is getting ready to celebrate its fiftieth anniversary and is chartered by the First Presbyterian Church of Liberty.

 

Fay Bedinger, 232 W. Franklin, stated she was present to again ask the Council to fix Kansas and Franklin streets as well as the alleys in her neighborhood.  She stated that going back to brick was not a good idea because they are rough and uneven.  Mrs. Bedinger stated she read an article about the mayor and thought it was very good, but questioned what his position would be if his property was being considered for tax increment financing.

 

Nancy Mose, 1452 Circle Drive, stated she represented many residents in Brookview Gardens and presented a petition on their behalf opposing opening the gate from the high school onto Circle Drive in all but emergency conditions.  She stated the streets in the neighborhood of 83 homes are not designed for bus traffic.  Mrs. Mose asked for the City Council minutes to reflect the residents’ opposition to the plan proposed by the School District.  She asked that the gate be opened only for emergency and fire purposes only and that the gate remain closed once the new high school is opened.

 

Jeanne Johnson, 252 West Kansas, stated that she is an officer with the Dougherty Historic group and expressed appreciation to the City Council for its efforts to uncover the brick on the streets.  She stated with the City’s limited funds, her group believes the look of the brick on the streets is appropriate for an historic neighborhood and might cost less than overlay as a solution to improving the streets’ condition.

 

Pat Miller, 1955 Kings Highway, asked the City Council to consider letting people speak at study sessions.  Even with a three-minute limit, it would offer citizens an opportunity for input before the Council considers issues and takes formal action, when many on the Council have already made up their minds.

 

Doris Zehe-Swank, 416 West Franklin, thanked the City Council and staff for undertaking the wonderful experiment of exposing the brick streets.  She stated that with New Town coming, there is a need to have something historic to attract people, such as what is used in St. Charles.  She stated the brick streets are worth trying.

 

VI.       MEETING SCHEDULE

 

VII.      CONSENT AGENDA

 

A.                 SPECIAL SESSION MINUTES OF JULY 23, 2007

 

Council Member King moved to approve the minutes as distributed.  Council Member Martin seconded the motion, which carried unanimously.

 

B.         EXECUTIVE SESSION MINUTES OF JULY 23, 2007

 

Council Member King moved to approve the minutes as distributed.  Council Member Martin seconded the motion, which carried unanimously.

 

C.         REGULAR SESSION MINUTES OF JULY 23, 2007

 

Council Member King moved to approve the minutes as distributed.  Council Member Martin seconded the motion, which carried unanimously.

 

D.        STUDY SESSION SUMMARY OF AUGUST 6, 2007

 

Council Member King moved to approve the minutes as distributed.  Council Member Martin seconded the motion, which carried unanimously.

 

E.         APPOINTMENTS

 

            Liberty Arts Commission

            Appoint Juarenne Hester to a term expiring 5-15-2009

 

            Liberty Housing Authority

            Appoint Dave Anderson to a term expiring 7-1-2010

 

Council Member King moved to approve the appointments.  Council Member Martin seconded the motion, which carried unanimously.

 

VIII.     PUBLIC HEARINGS

 

IX.       ORDINANCES, CONTRACTS AND RESOLUTIONS

 

A.        ACKNOWLEDGEMENT OF VENDOR PAYMENTS FROM JULY 13, 2007 THROUGH AUGUST 3, 2007 – ORDINANCE

 

Council Member Brenton requested that Check Number 105015 be removed and voted on separately.

 

Document No. 6715 was read.  Council Member King moved to approve the ordinance.  Council Member Phillips seconded the motion.

 

Council Member Martin asked about a check to Sparks Welding for repair of a batwing.  Assistant City Administrator Cynthia Boecker stated that was a mower used by the Parks Department.

 

Council Member Parry asked about the check to MARCIT for workers’ compensation premium.  Ms. Boecker stated the premium is based on the employee total benefit and classification.  An office worker would have a different rating and therefore a different premium than a Parks’ maintenance crew member, for example.  Mr. Parry asked for the City’s workers’ compensation history.  Ms. Boecker stated that could be provided.  Mr. Parry asked what the casualty premium covers.  Ms. Boecker stated it covers damage to property and includes lawsuits and claims.

 

Council Member Parry asked about a payment to Commerce Bank for team travel expense.  Finance Director Linda Tyree stated some cash prizes are awarded in the tournaments and they may also be reimbursed for a part of the team’s travel expense.  Mr. Parry asked if the City gets money back for the souvenirs.  City Administrator Curt Wenson stated it does and a report on the Super Series could be provided.

 

Council Member Parry asked what percentage of City phones is with Verizon versus Cingular.  Information Services Director Tony Sage stated that the City uses a number of vendors and some are due to the vendor co-locating antennae on City property.  Verizon payments also cover web access.

 

Council Member Parry asked why the premium payment to Blue Cross Blue Shield was higher than what was paid to United Healthcare.  Ms. Tyree stated it is likely due to a difference in the number of employees or coverage selected, but she would provide an answer after checking into it.

 

Vote on the motion was as follows:  Council Member Phillips – yes; Council Member Martin – yes; Council Member Brenton – yes; Council Member Foster – yes; Council Member Jenness – yes; Council Member Duncan – yes; Council Member Parry – yes; Council Member King – yes.  The motion carried unanimously; it was approved by the Chair and inscribed in Ordinance No. 9175.

 

Council Member Martin moved to approve check number 103015.  Council Member Phillips seconded the motion.

 

Vote on the motion was as follows:  Council Member Phillips – yes; Council Member Martin – yes; Council Member Brenton – abstain, due to a potential conflict of interest; Council Member Foster – yes; Council Member Jenness – yes; Council Member Duncan – yes; Council Member Parry – yes; Council Member King – yes.  The motion carried 7-0-1; it was approved by the Chair and inscribed in Ordinance No. 9175.

 

B.         LICENSE AGREEMENTS WITH RAILROADS FOR CONDUIT CROSSING - H HIGHWAY WATERMAIN - ORDINANCE

 

1.         AGREEMENT WITH BNSF RAILROAD - ORDINANCE

 

Document No. 6716 was read.  Council Member Martin moved to waive the rules and consider the ordinance on first reading.  Council Member Phillips seconded the motion, which carried unanimously.

 

Council Member Phillips moved to approve the ordinance.  Council Member Martin seconded the motion, which carried unanimously.  It was approved by the Chair and is inscribed in Ordinance No. 9176.

 

2.         AGREEMENT WITH ICE RAILROAD - ORDINANCE

 

Document No. 6717 was read.  Council Member King moved to waive the rules and consider the ordinance on first reading.  Council Member Martin seconded the motion, which carried unanimously.

 

Council Member Phillips moved to approve the ordinance.  Council Member Martin seconded the motion, which carried unanimously.  It was approved by the Chair and is inscribed in Ordinance No. 9177.

 

C.                 CONTRACT FOR CONSULTANT SERVICES (LOCAL RECORDS PRESERVATION PROGRAM GRANT) WITH MAUREEN A. MCDONNELL NOT TO EXCEED $6,123.00 – ORDINANCE

 

Document No. 6718 was read.  Council Member Phillips moved to waive the rules and consider the ordinance on first reading.  Council Member Martin seconded the motion, which carried unanimously.

 

Council Member Jenness moved to approve the ordinance.  Council Member Martin seconded the motion.

 

Council Member Martin asked about the timing of the project.  Deputy City Clerk Jane Sharon stated that the grant year is through June 2008 and it is anticipated that, if not completed, significant progress on a records inventory and development of a city retention schedule would be completed by that time.  Mrs. Martin asked if additional grants would be sought.  Ms. Sharon stated that the City would continue to seek grant funds to assist with the records management project as needed.

 

The motion carried unanimously.  It was approved by the Chair and is inscribed in Ordinance No. 9178.

 

D.        VIDEO SERVICES PROVIDERS

 

Assistant to the City Administrator Shawnna Funderburk reviewed legislation set to go into effect August 28, 2007, which was proposed by AT&T, abolishing local cable franchise regulations.  AT&T wanted to be able to provide video service without being bound by franchise agreements with individual cities.  When municipalities objected, AT&T was able to get existing cable providers on board in supporting the legislation.  City franchise agreements with video service providers are no longer required under the new law.  Ms. Funderburk stated that the new law does permit cities to retain some regulation such as landscaping in rights-of-way, which is what the proposed amendment to the Unified Development Ordinance (UDO) addresses.

 

The amendment to Chapter 7 adds video service providers to those required to submit fees, proposed at 5% of gross revenues.  The State law caps this percentage at five percent.    According to the new statute, cities must claim their rights and the proposed amendment to the City Code establishes the City’s rights related to video service providers operating in Liberty.  The proposed amendment to Chapter 30 (the UDO) addresses placement and buffering of boxes in City rights-of-way.

 

Ms. Funderburk noted that several issues have not yet been addressed, such as Public Education Government (PEG) channels; the effect of box placement on property values and local emergency override access.  The law calls for 40 hours weekly original programming.  This may be extremely costly, though the City is exploring options to stream video on the Internet.  Ms. Funderburk noted that information about this issue has been provided to Council in the form of legislative updates and review with the City’s special legal counsel since last January.  She stated that the UDO amendment will be considered by the Planning & Zoning Commission at its August 14 regular session and cannot be considered by Council until the Commission’s public hearing has taken place.  That ordinance is on first reading, therefore, and will be considered by City Council at its August 27 regular session, following a public hearing.  The ordinance amending Chapter 7 may be considered by Council this evening.

 

Mr. Wenson stated that the ordinances were prepared by Dan Vogel, the City’s special legal counsel on this issue.  He added that the PEG channel is a significant issue and the City continues to discuss options in a joint effort between the City, William Jewell College and the School District.  He reiterated that the new law goes into effect on August 28 and so the City must take action before that time if Council wishes to add these amendments related to video service providers to the City Code.  Mayor Steinkamp stated that Dan Vogel is an attorney in St. Louis who has become an expert in this area of law while representing many municipalities.

 

Council Member Parry asked what the Time Warner alert involves.  Ms. Funderburk stated it must be able to be broadcast over any channel.  Mr. Parry asked for clarification of the original programming requirement.  Ms. Funderburk stated it is for 40 hours each week.  Mayor Steinkamp noted neither of these proposed ordinances addresses that requirement in the statute.  Council Member Martin asked what provisions in the statute address the emergency override.  Ms. Funderburk stated the law only requires the video service provider follow Federal Communications Commission (FCC) regulations.  Mr. Wenson stated the new law specifically prohibits the City from using the emergency override.

 

Council Member Jenness stated information was provided about what the cities cannot do in protecting the rights-of-way, but asked what the City is permitted to regulate.  Mr. Wenson stated the proposed ordinances were purposefully written up to the edge of what the law permits; the City wants to regulate the rights-of-way pertaining to aesthetics and what is practical.  Cities are not permitted to prohibit video service providers from using the rights-of-way.  He added that legal counsel has recommended the City to put this in the form of ordinances, but lawsuits may well come about in the future, due to the lack of clarity in the law.

 

Council Member King stated he appreciated something being put in place but expressed concern that the language may give the appearance that the City is responsible for ensuring that property values do not suffer, when the City has no control over that.  Mr. Wenson stated that could be taken to legal counsel.

 

Council Member Brenton encouraged the City to aggressively regulate to the fullest extent possible, noting that some utility companies do not have good track records related to working in the rights-of-way and on people’s property, sometimes causing damage that has to be repaired.  Mr. Brenton also noted that the School District has been vocal about the need for PEG channels and believes the City should support that position in any way possible.

 

Council Member Phillips stated he hoped the area’s local state representatives had been among the few that stood up and opposed this legislation.  He added that the City’s rights-of-way should be protected in any way possible and expressed concern about street trees.  He stated the activity permitted could hinder the citizens’ quality of life and anything that could be done to address that would be good.

 

Council Member Parry noted that the City’s state representative had voted in opposition to the bill.

 

1.         AMENDMENT TO CHAPTER 30, “UNIFIED DEVELOPMENT ORDINANCE” (UDO), LIBERTY CITY CODE – ORDINANCE

 

Document No. 6719 was read.  Mayor Steinkamp noted that the UDO amendment would be considered by the Planning & Zoning Commission on August 14 and that the second reading of the ordinance and the City Council public hearing would occur at the August 27 Council regular session.

 

2.         AMENDMENT TO CHAPTER 7, “BUSINESSES AND OCCUPATIONS GENERALLY”, LIBERTY CITY CODE – ORDINANCE

 

Document No. 6720 was read.  Council Member Phillips moved to waive the rules and consider the ordinance on first reading.  Council Member Martin seconded the motion, which failed to achieve a unanimous vote with Council Member Brenton and Council Member Parry voting in opposition.  Mayor Steinkamp stated the ordinance would go to second reading on August 27.

 

E.         LIBERTY TRIANGLE TAX INCREMENT FINANCING DISTRICT

 

1.         COMMUNITY IMPROVEMENT DISTRICT COOPERATIVE AGREEMENT WITH THE LIBERTY TRIANGLE COMMUNITY IMPROVEMENT DISTRICT – ORDINANCE

 

Special Legal Counsel Rich Wood, with Williams & Campo, reviewed the steps previously taken related to the Triangle Community Improvement District (CID).  He stated that a CID had always been contemplated with the Triangle Tax Increment Financing Plan as a means to accomplish the goals.  The CID was formed in November 2006 and the voters have approved a one percent sales tax for the District.

 

Mr. Wood stated that this agreement addresses the collection of the sales tax.  The time period overlaps the current Triangle Tax Increment Financing project and all of which must be approved by the City.  Under the agreement, sales tax collected for the CID will be turned over to the City by the State.  One-half of the revenues are collected for the TIF; under this agreement the other half has been pledged by the CID for the same purpose.  A one percent fee is allocated as an administrative fee for the City.  The CID will receive one-half of one percent for its expenses.  This agreement restricts the CID’s ability to issue debt without City approval.  Mr. Wenson added that the formation of a CID or other tool has been discussed for the Triangle since the beginning.

 

Council Member Martin asked if the CID is based on sales tax, what happens if there is no retail to generate revenues.  Ryan Cook, attorney for the CID, stated retail is already in place.  Mrs. Martin asked if there is any maximum needed to move forward successfully.  Mr. Cook said there is not.

 

Council Member Foster asked if the vote on the CID sales tax was unanimous.  Mr. Cook said all six property owners voted to approve the sales tax.

 

Council Member Brenton asked for clarification of the fifty percent of the CID sales tax that may be used to pay down the TIF bonds at the discretion of the CID.  Mr. Wood stated that the main purpose of this agreement is for the CID to commit the funds.  He added that the CID must make the commitment to use the additional fifty percent of the sales tax for paying down the TIF bonds on an annual basis, just as Councils do not commit future Councils to expenditures.  Mr. Brenton asked if the City has options if the CID decides not to use the additional fifty percent for this purpose.  Gary Anderson, with Gilmore & Bell, the City’s bond counsel, stated that the CID petition limits the use of the sales tax to the same project as the TIF funds, but the CID does have the right not to appropriate the funds.  He added that the revenues cannot be spent on anything else.  From a legal standpoint, other than the PILOTS, the use of the revenues must be appropriated annually by the CID.  Mr. Brenton asked whether the CID chooses to spend or bank the funds, what recourse the City has.  Mr. Cook stated that the City could consider terminating the agreement with the CID.  Mr. Anderson stated that in his experience with TDDs and CIDs, the District has not allocated the other half of the sales tax revenues, though it is legally possible.  It makes more sense for the District to allocate the additional revenues to paying off the debt and to keep the City happy.  Mr. Wenson stated that it is the CID that carries the risk and it has taxed the District to help pay off the bonds.  Mayor Steinkamp stated that the risk for non-payment of the debt is the developer’s.  Mr. Anderson noted it is not helpful to the City for the developer to be in default.  Mayor Steinkamp stated that the CID could not obligate the EATS portion of the sales tax if the CID had not been created.  Mr. Wood added that the other fifty percent can be used to pay down the bonds and it is in the developer’s best interest to do so, as the developer must wait until after the bonds are paid off to be reimbursed.

 

Council Member Brenton stated his concern is that the sales taxes are still public dollars and he wants to ensure that the revenues can’t be spent on private development.  Mr. Wood stated the agreement provides that recognition of limiting the use to the public portion of development.

 

Council Member Parry asked what happens if a TIF bond goes bad.  Mr. Anderson stated the bond counsel works with the owner of the bonds and with the developer to determine what prompted the default and turn around into cash flow.  He added that the second ten years of the 20-year bond life are the riskiest and that is why the bonds are structured with 125 percent coverage.  If the revenues are at or above projections, prepayment of a portion of the debt can occur, reducing the life of the bonds from the standard 20 years to possibly 10 – 13 years.  Sales tax laws could change or there could be other outside factors that affect the ability to pay off the debt.  If a tenant goes dark, the bonds might be refunded, but this happens very infrequently.  Mr. Parry asked how the first bond issuance is proceeding.  Mr. Anderson stated the first issuance was for Lowe’s and it continues at 125% of debt coverage.

 

Council Member Duncan asked when the sales tax began to be collected with the election in February.  Mr. Cook stated the CID sales tax has been in effect since July 1, 2007.  Mr. Duncan asked about the term of the CID.  Mr. Cook stated the CID was established for 50 years and the City and the CID can review it at that time.  Mr. Wenson stated there could be good reasons to continue the CID for maintenance of the shopping center, landscaping and help with the common areas once the bonds are paid off.

 

Council Member Parry asked for confirmation that only one bond issuance has occurred for the Triangle TIF District.  Ms. Tyree stated that was correct.

 

Document No. 6721 was read.  Council Member Martin moved to waive the rules and consider the ordinance on first reading.  Council Member Phillips seconded the motion, which carried unanimously.

 

Council Member Phillips moved to approve the ordinance.  Council Member King seconded the motion, which carried unanimously.  It was approved by the Chair and is inscribed in Ordinance No. 9179.

 

2.         2007 BOND ISSUANCE – ORDINANCE

 

Special Project Manager Diana Adams stated TIF revenue bonds are proposed for Projects B-2, C-3 and D in the Triangle as well as to assist with debt service and the cost of the issuance.  One hundred percent of the PILOTS increment and fifty percent of the EATS increment as well as the CID sales tax would be used for pay off the bonds.

 

Council Member King asked how the amount of the issuance was determined.  Dennis Mitchell, with Piper Jaffray, stated that the exact amount is determined on the date the bonds are sold, but the figure is based on the revenue stream.  Mr. King asked if that is the amount needed.  Mr. Mitchell stated a greater amount is needed but not yet supported by the revenue stream.

 

Document No. 6722 was read.  Council Member Martin moved to waive the rules and consider the ordinance on first reading.  Council Member Phillips seconded the motion, which carried unanimously.

 

Council Member King moved to approve the ordinance.  Council Member Martin seconded the motion, which carried 7-0-1.  Council Member Jenness abstained.  It was approved by the Chair and is inscribed in Ordinance No. 9180.

 

X.         OTHER BUSINESS – None.

 

XI.               MISCELLANEOUS MATTERS FROM CITY ADMINISTRATOR

 

Mr. Wenson stated that the Public Relations Coordinator had been practicing with cameras in the control room during the meeting in anticipation of beginning to tape Council meetings.  He also reminded those present of the survey regarding the Liberty4thFest and noted it would be available on the City’s website until September 4.

 

XII.            MISCELLANEOUS MATTERS FROM MAYOR AND CITY COUNCIL

 

Council Member Phillips stated there was a great Farmers’ Market last Saturday with two of the four sides of the Square occupied.  He expressed hope that efforts would result in all four sides being filled with vendors in the future.

 

Council Member Brenton affirmed the comments from the residents of Brookview Gardens and also the efforts of the School District to communicate its plans.  He appreciated the School District exploring different options and hoped the result would be acceptable to the residents.

 

Council Member Jenness asked what goes into setting the property tax levy.  Mr. Wenson stated that can be reviewed at the August 6 study session about the budget process.  Ms. Tyree noted there would be an item in the Weekly related to the property tax levy.

 

Council Member Parry stated he had received kudos from citizens on the City having repaved the tennis courts at Bennett Park.

 

Council Member King stated he had received concerns from Claybrooke residents regarding property maintenance and hoped the City would get more active to bring it under control.  Mr. Wenson stated he would forward an email on the subject to the Council.

 

Mayor Steinkamp expressed interest in bringing the issues posed by citizens at the recent forums to a study session for discussion along with the format of the forums themselves.  Mr. Wenson stated that the Council might not meet in study session on September 4, the Tuesday following the Labor Day holiday, but adding a study session following the August 27 regular session was being considered.

 

Mayor Steinkamp stated there would be a public forum on light rail hosted by HNTB and KCATA at the North Kansas City Community Center on August 21, beginning at 6:00 p.m. and encouraged those interested to attend.

 

XIII.     ADJOURNMENT

 

The meeting adjourned at 8:12 p.m.

 

 

                                                                                    __________________________________

                                                                                    Mayor

Attest:

 

 

_____________________________________

Deputy City Clerk