OVERLAND PARK CITY COUNCIL MEETING. March 7, 2011

Transcription

1 OVERLAND PARK CITY COUNCIL MEETING March 7, 2011 Mayor Carl R. Gerlach called the Overland Park City Council meeting to order at 7:30 p.m. The following members were present, constituting a quorum: Mr. Dave Janson, Council President; Mr. Terry Goodman; Mr. George Kandt; Mrs. Terry Happer Scheier; Mr. David White; Mr. Jim Hix; Mr. Fred Spears; Mr. John Skubal; Mr. Curt Skoog; Mrs. Donna Owens; Mr. Dan Stock; and Mr. Paul Lyons. Also present were: Mr. Bill Ebel, City Manager; Mrs. Kristy Stallings, Deputy City Manager; Mr. Mike Santos, City Attorney; Mr. Doug Johnson, Interim Director of Planning and Development Services; Mr. Mike Russo, Retirement Plans Manager; Mr. Tony Cosby, Director of Recreation Services; Mr. Greg Ruether, Director of Parks Services; Mr. John Douglass, Police Chief; Mr. Bryan Dehner, Fire Chief; Mrs. Vicki Irey, Chief Information Officer; Mr. Doug Brown, Director of Public Works; Mr. Dave Scott, Chief Financial Officer; Mr. Sean Reilly, Communications Manager; Mrs. Tammy Owens, Senior Assistant City Attorney; Mrs. Leslie Karr, Current Planning Manager; Ms. Danielle Zeigler, Senior Planner; Mr. Rob Welton PC Technician; and Mrs. Barbara Potts, Recording Secretary. Approximately 50 people were in the audience. PLEDGE OF ALLEGIANCE. Mayor Carl R. Gerlach led the audience in the Pledge of Allegiance. MAYOR CARL R. GERLACH Mayor Gerlach recognized Boy Scout Troop No. 92 sponsored by the Church of the Resurrection, and Boy Scout Troop No. 371 sponsored by Maranatha Academy. NEW APPOINTMENTS TO THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) CITIZENS ADVISORY COMMITTEE Terms to Coleen Oberle Mimsy Winston Holly Schaefer Jerry Lechtenberg Michelle Trill REAPPOINTMENTS TO THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) CITIZENS COMMITTEE Term to Mike Baker Arnold Ginsberg Krista Patrick Bruce Southard Patrick Davis Martha Kidd Michael Ryan Megan Toal Michael Diederich Debra McDaniel Vincent Sabia Nicole Wilson Dina Fisk Barbara Olberding Christian Smith Robert J. Wolkowitz

2 Page 2 APPOINTMENT OF CHAIRMAN COMMUNUITY DEVELOPMENT BLOCK GRANT CITIZENS ADVISORY COMMITTEE Vincent Sabia - Term of to REAPPOINTMENTS TO THE CITIZENS ADVISORY COUNCIL ON PARKS AND RECREATION Terms to Don Russell Reba Williams Robert Bens William A. Dean NEW APPOINTMENT TO THE FAIR HOUSING COMMITTEE Vincent Sabia Term of to REAPPOINTMENTS TO THE FAIR HOUSING COMMITTEE Terms of to Ananias Washington Lynn Ferguson Mike Baker A motion was made by Mr. Dave Janson to approve the preceding new appointments and reappointments as outlined. Mr. George Kandt seconded, and the motion passed by a vote 12 to 0. Mayor Gerlach announced that, technically, the Governing Body was not scheduled to have a Council meeting on April 18, 2011, because that is during Passover. Thus, the dates were changed and the Council meetings were scheduled for April 4 and April 11, However, the Governing Body is now required to schedule a third Council meeting on April 18, He explained that the City s Charter Ordinance states that the City Council must hold Council President Elections on the second Monday after the first Tuesday during the month, and that would be April 18th. He noted that an Overland Park Leadership dinner and meeting is already scheduled for April 18, 2011, so that will take place first. Following the Leadership dinner and meeting, the Governing Body will meet in the Council Chamber for a very short meeting to elect the new Council President. CITY MANAGER BILL EBEL CONSENT AGENDA: PUBLIC SAFETY COMMITTEE ITEM: ORDINANCE NO. DCH-2907 Granting the Overland Park Fire Department (OPFD) the authority to conduct periodic inspections of day-care homes.

3 Page 3 COMMUNITY DEVELOPMENT COMMITTEE ITEMS: AGREEMENT Clark Enterprises DKC, d/b/a CE Golf Design for consultant services for Phase One Sykes/Lady Golf Course Improvements in an amount not to exceed $133,260. REQUEST TO WAIVE BID PROCESS AND AUTHORIZATION TO NEGOTIATE CONTRACT Deffenbaugh Industries, Inc., for the 2011 Spring Large Item Collection, in an amount not to exceed $115,000. APPROVAL OF 2011 ENVIRONMENTAL PROGRAMS WORK PLAN. PUBLIC WORKS STAFF ITEM: RESOLUTION NO Directing the City Clerk to provide notice of the public hearing to consider the proposed assessments for Antioch and Shannon Valley/ Executive Hills South intersection improvements. FINANCE, ADMINISTRATION AND ECONOMIC DEVELOPMENT STAFF ITEMS: EXPENDITURE ORDINANCE NO. 2B Outlining the expenditures from the General Operating Fund from February 2 through February 15, CAPITAL PROJECTS EXPENDIURE ORDINANCE NO. 2D Outlining the expenditures from the Capital Projects Fund for February 17 through February 23, CAPITAL PROJECTS EXPENDITURE ORDINANCE NO. 3A Outlining the expenditures from the Capital Projects Fund for February 24 through March 2, REQUEST TO EXTEND PREMISES TO SELL ALCOHOLIC LIQUOR Erlinsa Development, L. L. C., d/b/a Llywelyn s Irish Pub, 6995 W. 151st Street, for an event to be held, March 17 from 8 a.m. until 2 a.m., March 18, 2011, Eric Pritchett, manager. (Special Event Permit No ). Mayor Gerlach asked if there were any items that needed separate consideration on the Consent Agenda. There being none, he entertained a motion. A motion was made by Mr. Janson to approve the preceding Consent Agenda items, as outlined. Mr. George Kandt seconded, and the motion passed by a roll-call vote of 12 to 0.

4 Page 4 REGULAR AGENDA PUBLIC SAFETY COMMITTEE REPORT George Kandt, Chair STAFF REPORT COMMUNITY DEVELOPMENT COMMITTEE REPORT Terry Goodman, Chair STAFF RPORT PUBLIC WORKS COMMITTEE REPORT Terry Happer Scheier, Chair STAFF REPORT; CHANGE ORDER NO. 3 Combes Construction, L.L.C., for additional work on the Deanna Rose Farmstead Ice Cream Parlor and General Store in the amount of $86,680. Director of Public Works Doug Brown presented Change Order No. 3 for additional work on the Deanna Rose Farmstead Ice Cream Parlor and General Store in the amount of $86,680. He indicated that the change order includes the erection of the pavilion, retaining walls, concrete slab, and electrical and fencing items for the pavilion structure to the east of the new general store. He explained that all costs for this work were included in the approved budget for the Ice Cream Parlor and General Store. Staff recommends approval of Change Order No. 3 as outlined. Mrs. Terry Happer Scheier moved to approve Change Order No. 3 for additional work on the Deanna Rose Farmstead Ice Cream Parlor and General Store in the amount of $86,680. Mr. Fred Spears seconded, and the motion passed by a vote of 12 to 0. AGREEMENT NO Kansas Department of Transportation for construction engineering inspection services by the City for I-435 eastbound on-ramp and Metcalf.

5 Page 5 Mr. Brown said that Agreement No establishes federal funding levels for the construction engineering inspection services by the City for I-435 eastbound on-ramp and Metcalf and project responsibilities for the City and Kansas Department of Transportation (KDOT). He explained that this agreement is required for the City to receive federal funding for the construction engineering inspection services for the project. Staff recommends approval of Agreement No as outlined. Mrs. Happer Scheier moved to approve Agreement No with the Kansas Department of Transportation for construction engineering inspection services by the City for I-435 eastbound on-ramp and Metcalf. After a second by Mr. Spears, the motion passed by a vote of 12 to 0. FINANCE, ADMINISTRATION AND ECONOMIC DEVELOPMENT COMMITTEE REPORT - Jim Hix, Chair REPORT FROM FINANCE, ADMINISTRATION AND ECONOMIC DEVELOPMENT COMMITTEE MEETING HELD MARCH 7, Chair Jim Hix said the Finance, Administration and Economic Development Committee held a special meeting earlier this evening and, therefore, was not able to get their actions included in the Consent Agenda. The Committee has four recommendations for the City Council PROPERTY AND LIABILITY INSURANCE Travelers Insurance Company for the term of April 1, 2011, to April 1, 2012, in an amount not to exceed $421,000. Mr. Hix said the Committee unanimously recommends approval of the Property and Liability Insurance Program with Travelers Insurance Company for the term of April 1, 2011, to April 1, 2012, in an amount not to exceed $421,000, and he so moved. Mrs. Donna Owens seconded the motion, which passed by a 12 to 0 vote. AUTHORIZATION OF AN AGREEMENT FOR PROPERTY AND LIABILITY INSURANCE AGENT/BROKER SERVICES CBIZ/Giddings Group for the term of April 1, 2011, to April 1, 2012, in the amount of $25,000. Mr. Hix stated that the Committee recommends authorization of an agreement with CBIZ/Giddings Group to provide insurance broker services for the term April 1, 2011, to April 1, 2012, in the amount of $25,000, and he so moved. Mr. Dan Stock seconded, and the motion passed by a vote of 12 to 0. AUTHORIZATION OF AGREEMENT FOR LIABILITY INSURANCE THIRD PARTY ADMINISTRATION SERVICES Thomas McGee, L.C., for the term of April 1, 2011, to April 1, Mr. Hix explained that the Committee unanimously recommends authorization of an agreement with Thomas McGee for the period of April 1, 2011, to April 1, 2012, and he so moved. Mr. Stock second the motion, which passed by a 12 to 0 vote.

6 Page 6 RESOLUTION NO Regarding the Municipal Court and the appointment of Municipal Court Judge Ryan B. Dixon to the term of office until March 8, Mr. Hix said the Committee recommends approval of Resolution No. 3868, which appoints Judge Ryan Dixon to the Division No. 3 Municipal Court Judge position with a term that expires March 8, He explained that the position is subject to reappointment following the expiration of the term. The resolution also provides that the additional compensation to be paid the Presiding Judge be set by the Governing Body as opposed to the current resolution that provides for a specific amount of compensation for the Presiding Judge, and he so moved. After a second by Mr. Stock, the motion passed unanimously. STAFF REPORT RESOLUTION NO Consenting to the sublease by Sprint/United Management Company of a portion of the Sprint Headquarters to UnitedLex Corporation relating to Federally Taxable Private Activity Revenue Bonds (Sprint/United Management Company Project) of the City. Senior Assistant City Attorney Tammy Owens said the Master Lease Agreement between the City and Sprint/United Management Company (SUMC) requires that the City consent to a sublease of the Sprint Campus. She commented that SUMC has asked that the City consent to a sublease of the portion of the Sprint Campus to UnitedLex Corporation. The general terms and provisions of the sublease are set forth in Attachment A. The terms and provisions involve an initial seven-year term for approximately 24,247 square feet. The sublease is effective upon consent from the City, with rent commencing June 1, 2011, (subject to adjustment as set forth in the Sublease). The sublease includes one seven-year renewal option. Mrs. Tammy Owens stated that UnitedLex also has a 30-month right of refusal to lease an additional 18,137 square feet of space of the third floor at 6130 Sprint Parkway, Overland Park, Kansas. Initially, there will be approximately 105 employees at this location, with the capacity to grow to 205 employees. Also outlined on Attachment A, Mrs. Tammy Owens said the jobs are primarily executive, sales, administrative, Information Technology, consulting, and project management. She explained that the average salary is estimated to be approximately $46,000. If the Council elects to consent to the sublease as outlined, staff has prepared Resolution No for consideration by the Council. Mrs. Tammy Owens mentioned that representatives from Sprint and UnitedLex are in attendance to answer any questions the Council may have. Mr. Kandt said he needed to abstain from this item as it involves his employer, Sprint/United Management Company.

7 Page 7 Mr. Stock said it is his understanding that parts of the Sprint Campus are falling onto the tax role, as the original 10-year bonds. In response, Deputy City Manager Kristy Stallings explained that all of the bonds are still outstanding, but the State statute only permits tax abatement for the period of 10 years. The first financing for the Sprint Campus was in 1997, so the first Sprint taxes came back on the roles in 2008, which was basically the 2007 tax year. Therefore, at this point in 2011, the 2001 properties will be coming back on the roles. In fact, staff recently received the preliminary information from the County Appraiser, and she believed about $33 million in market valuation is coming back on the roles from Sprint. In response to Mr. Stock s inquiry when everything expires, Mrs. Stallings explained that it expires in tax year 2013, so that would be basically taxes that are remitted in December 2013 and May 2014 for the 2013 tax year. Mr. Stock assumed that anything that is being done this evening regarding this application expires by Mrs. Stallings confirmed that to be correct. Mr. Stock believed this means that the seven-year lease is immaterial. Mrs. Stallings reiterated that representatives from Sprint are in the audience, as well as representatives from UnitedLex. She said they can reply to the previous comment, but it is her understanding that this is not the primary motivator for locating on the Sprint Campus. In her opinion, there are other things the Sprint Campus has to offer in terms of location and amenities. However, she believed the facility is the primary reason. In 2014, when everything falls on the tax roles, Mr. Stock asked if any of these subleases will be affected at that time. Mrs. Stallings explained that the bonds issued were 30-year bonds. As long as the bonds are outstanding, she said the terms of the Master Lease will continue. She commented that the City will need to consent to the subleases. According to Mrs. Stallings, the tax abatement was only for a 10-year period. As discussed in the past, the 10 years is a rolling 10 years because, at various points between 1997 and 2003, economic development revenue bonds were issued, and the property acquired was financed and abated with that year s bond issue and that rolls back on in a successive number of years as well. Mrs. Stallings further explained that the bond issuance of the financing and the tax abatement are two separate items. One is the issuance of the financing, and the other is the tax abatement. In many of the City s economic development deals, the bonds that are outstanding for 10 years are co-terminus with the tax abatement. She clarified that this was not how the Sprint/United Management Company elected to do the financing of the campus. She explained that there cannot be a payment in lieu of taxes or the abatement without the bonds and the Master Lease, but there can be the bonds and a Master Lease without the abatement.

8 Page 8 Referring to Attachment A, Mrs. Donna Owens asked for clarification relative to the locations listed under the heading of Sub-lessee s relocation and consolidation of operations. She said one of the locations is shown at Foster. Below that listing and under the heading of Existing location of jobs, the same address is shown, which is Foster. She inquired whether the facility located on Foster is being vacated to move to the Sprint Campus, or is it being maintained at this address. Mrs. Stallings explained that the facility at Foster is being vacated. Since the representatives from Sprint Headquarters and UnitedLex are present this evening, Mayor Gerlach asked them if they had anything to add relative to this proposal. Mr. Dave Deppe, president of UnitedLex Corporation, said he would like to address the question in regard to the facility located at Foster. He explained that the location on Foster is a sublease through Starbucks. He began his business in this division of UnitedLex in his basement two-and-a-half years ago and hired his best clients, which initially hurt payroll, but they quickly recovered. This division has been a very fast-growing company and, as a whole, he is doing his best to maximize the opportunity to hire people within the Overland Park and Kansas area. Initially, he had considered moving his company out of the state and even recently, they were going to move the operation out of the state; however, they are committed to the City of Overland Park. He explained that his company is committed to Overland Park for the long term, as evidenced by their lease terms. He cannot promise that offices will not be opened in other cities in the future, because their clients are concentrated outside of Kansas. Although they actually have very little business that comes from the State of Kansas, they want to bring revenue into the State of Kansas for the delivery of their services. With respect to the technical types of positions that UnitedLex employs and the delivery of their services, Mr. Deppe believed it is also important to note that they are quickly running out of options to hire people in Overland Park and in the State of Kansas. Therefore, they have begun searching nationally for positions within the company. As he explained, there will be many positions for which UnitedLex will be paying the cost to move people into Overland Park to fill these positions. In summary, he is glad to be creating jobs, bringing in revenue, and adding jobs to the tax base in Overland Park and in Kansas. He offered to answer questions. Mayor Gerlach said he did not have a question, but did want to thank Mr. Deppe for his commitment to Overland Park. He believed that commitment is something that the City of Overland Park has worked long and hard on in terms of building the quality of life in the City. In his opinion, this proves that a great relationship between a city, which wants to build a high quality of life, and a company that wants to build a high quality of employees, matches very well. From what he has heard from others who are involved with this organization, Mayor Gerlach said UnitedLex did have an opportunity to go outside the State of Kansas. On behalf of the City, he expressed appreciation for their commitment to Overland Park for at least seven years and, hopefully, maybe 14 more years. He stated that the City looks forward to working together.

9 Page 9 Mr. Deppe thanked the Governing Body and the City staff and stated that he looks forward to working with them as well. Mr. Hix moved for the approval of Resolution No. 3866, consenting to the sublease by Sprint/United Management Company of a portion of the Sprint Headquarters to UnitedLex Corporation, relating to Federally Taxable Private Activity Revenue Bonds (Sprint/United Management Company Project). Mrs. Donna Owens seconded, and the motion passed by a vote of 11 to 0 to 1. Mr. Kandt abstained from voting. RECOMMENDATIONS FROM THE PLANNING COMMISSION PLANNING COMMISSION CONSENT AGENDA. SPECIAL EVENT PERMIT NO West 151st Street. A special event permit is requested from March 17 to March 18, 2011, to allow a St. Patrick s Day Celebration event. Application made by Llywelyn s Pub. SPECIAL EVENT PERMIT NO Santa Fe Drive. A special event permit is requested from April 4 through May 21, 2011, to allow off-site signage and advertising for a historic homes and site trolley tour on May 21, Application made by the Overland Park Historical Society. SPECIAL EVENT PERMIT NO Antioch. A special event permit is requested for April 8, 2011, to allow a charitable fundraiser. Application made by Heartland Therapeutic Riding, Inc. ACCEPTANCE OF RIGHT-OF-WAY FINAL PLAT NO The Sovereign at Overland Park, vicinity of the northwest corner of 135 Street and Melrose. Application made by Phelps Engineering, Inc. The Planning Commission approved this item on February 14, 2011, by a vote of 9 to 0. REVISED PRELIMINARY PLAN APPROVAL Rolling Meadows Landscape, West 151st Street. Application made by Rolling Meadows Landscape and Garden. The Planning Commission approved this item on February 14, 2011, by a vote of 9 to 0. UNIFIED DEVELOPMENT ORDINANCE AMENDMENT ZRR-2895 Amendments to Section of the Unified Development Ordinance regarding religious institutions and facilities as an approved use in the CP-O, Planned Office Building District. Application made by the City of Overland Park. The Planning Commission approved this item on February 14, 2011, by a vote of 9 to 0. Ordinance No. ZRR UNIFIED DEVELOPMENT ORDINANCE AMENDMENT ZRR-2892 Amendments to Section of the Unified Development Ordinance pertaining to stream corridor requirements. Application made by the City of Overland Park. The Planning Commission approved this item on February 14, 2011, by a vote of 9 to 0. Ordinance No. ZRR-2892.

10 Page 10 UNIFIED DEVELOPMENT ORDINANCE AMENDMENT ZRR-2896 Amendments to Section of the Unified Development Ordinance regarding Planning Commission meetings. Application made by the City of Overland Park. The Planning Commission approved this item on February 14, 2011, by a vote of 9 to 0. Ordinance No. ZRR UNIFIED DEVELOPMENT ORDINANCE AMENDMENT ZRR-2903 Amendments to Sections , , and of the Unified Development Ordinance regarding residential day cares. Application made by the City of Overland Park. The Planning Commission approved this item on February 14, 2011, by a vote of 9 to 0. Ordinance No. ZRR Mayor Gerlach invited comments from the public in regard to Unified Development Ordinances as listed. There being none, he closed the hearing and referred the item for action. Mr. Janson moved to approve the Planning Commission Consent Agenda items as outlined and recommended by staff, subject to all stipulations. Mr. Kandt seconded, and the motion passed by a roll-call vote of 12 to 0. PLANNING COMMISSION REGULAR AGENDA EASEMENT VACATION NO Vicinity of the northwest corner of 135th Street and Melrose. Application made by Phelps Engineering, Inc. Ordinance No. VAC Current Planning Manager Leslie Karr said that various access, drainage, utility, and sidewalk easements were put in place on this property when it was originally zoned to allow cluster homes and multi-residential unit buildings. She explained that the property has since sold and has been rezoned for an apartment development. Because of the change in development concept, vacation of the existing easement is required. She said new easements will be put in place to handle utilities for the new development. Staff did contact all utility companies, and the Public Works Department, and there are no objections. Staff recommends approval of the vacation as proposed. Mayor Gerlach invited comments from the public regarding Easement Vacation No No one came forward, and the public hearing was closed. A motion was made by Mr. Janson to approve Ordinance No. VAC-2905 (Easement Vacation No ) for access, drainage, utility, and sidewalk easements with no stipulations. Mr. Kandt seconded, and the motion passed by a roll-call vote of 12 to 0. OLD BUSINESS None. NEW BUSINESS None.

11 Page 11 ADJOURNMENT At 8:05 p.m., Mr. Kandt moved to adjourn the meeting and Mr. Paul Lyons seconded. The motion passed unanimously. Minutes transcribed by Barbara Potts. ATTEST: Mayor Carl R. Gerlach Marian Cook, City Clerk