MINUTES OF THE MEETING OF THE CITY COUNCIL Wichita, Kansas, December 16, 1997 Tuesday, 9:07 A.M. The City Council met in regular session with Mayor Knight in the Chair. Council Members Lambke, Cole, Rogers; present. *Council Members Ferris, Gale, Kamen; absent. Chris Cherches, City Manager; Gary Rebenstorf, Director of Law; Pat Burnett, City Clerk; present. The invocation was given by Balil Rathur. 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 December 9, 1997, were -- approved approved 4 to 0. (Ferris, Gale, Kamen; absent) *Council Member Kamen present. AWARDS AND PRESENTATIONS CERTIFICATES The City/County Executive Development Institute Certificates were presented. *Council Member Gale present. SERVICE CITATIONS Mayor Knight presented Distinguished Service Citations to those present. UNFINISHED BUSINESS ODOR REGULATIONS PROPOSED AMENDMENT TO THE ORDINANCE PERTAINING TO ODOR REGULATIONS. Continued from December 9, 1997. Council Member Kamen Council Member Kamen said he had met with the Jack Brown of the Health Department and his only problem now is that the ordinance only requires one complaint before action is taken. Jack Brown Acting Health Department Director explained the process for responding to complaints and, as the current ordinances read, the Health Department responds to complaints after only one call. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Knight moved that the Ordinance be placed on first reading. Subst. Motion -- Kamen moved a substitute motion that the Ordinance be changed to require two complaints and be placed on first reading. Substitute motion died for lack of -- died second. -- carried Motion carried 5 to 1. Kamen - No. (Ferris absent) ORDINANCE An Ordinance amending Sections 7.42.010, 7.42.030, 7.42.040, and 7.42.050 of the Code of the city of Wichita, Kansas, pertaining to definitions, emissions declared a nuisance and prohibited and testing for objectionable odorous air contaminants and repealing the originals of said sections and Section 7.42.060 pertaining to the manner in which notice of violation is given, introduced and under the rules laid over. NEW BUSINESS IRB - LEARJET PUBLIC HEARING AND ISSUANCE OF INDUSTRIAL REVENUE BONDS - LEARJET, INC. (District V) Council Member Cole declared a conflict of interest and abstained from participation. Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1106. On September 10, 1996, the Council approved a Letter of Intent to issue Industrial Revenue Bonds in an amount not to exceed $86.0 million to Learjet, Inc. over a three-year period. On December 3, 1996, the Council approved the issuance of Industrial Revenue Bonds in the amount of $12.4 million, Series XII, 1996. Council also granted Learjet a 100% tax abatement for a ten year term. Proceeds of the Bond sales are to be used to expand and equip facilities located at One Learjet Way. Bond sale proceeds are being used to construct new buildings, renovate existing buildings and purchase machinery and equipment to modernize its Wichita manufacturing and office facilities located at One Learjet Way (formerly Harry Street) located near the intersection of Kellogg and Tyler Road in west Wichita. The proposed project will provide for the expansion and upgrading of facilities and equipment to accommodate the increased personnel and space required to develop and produce Learjet's three business jet aircraft; the entry-level Learjet 31A, the medium size Learjet 60 and the new small-to-mid size Learjet 45. Bond sale proceeds will be used to expand and modernize the Learjet facilities. The new facilities and equipment will provide adequate space for the development and manufacture of the new Learjet 45 aircraft, while continuing support for existing Learjet aircraft models. Learjet will hire 300 additional employees as a result of the expansion. Bond proceeds will be applied as follows: USES OF BOND PROCEEDS * Manufacturing Building and Office Relocation and Refurbishment: $10,000,000 Total Cost of Project: $10,000,000 Learjet agrees to pay all costs of issuing the bonds and agrees to the City's annual $2,500 administrative fee for the term of the bonds. The bonds, as presently expected, will be purchased by the Learjet, Inc. or by Bombardier, Inc. and not offered for public sale. Learjet, Inc., has an approved EEO/AA plan on file with the city. Estimated taxes to be exempted on the $10.0 million expansion, under the new county mill levy, would be $268,260 for the first year with $78,064 being abated from the City's portion, $79,238 from the County/State and $110,958 from the School Board's. Learjet presently pays in excess of $808,000 annually in personal and real property taxes. Council Member Rogers Council Member Rogers inquired as to whether there was monitoring for compliance with the Business Incentives Policy. Allen Bell Financial Projects Director said there is annual monitoring and visitation once a year during which there is review of the conditions and compliance. Council Member rogers Council Member Rogers said he was speaking specifically about employment - the number of jobs and utilization of under utilized contractors and vendors. Allen Bell Financial Projects Director said written reports could be required on compliance in these areas. This requirement could be put in the policy. 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 Bond Ordinance be placed on first reading; and the Mayor be authorized to sign the necessary documents. -- carried Motion carried 5 to 0. Cole abstained. (Ferris absent) ORDINANCE An Ordinance authorizing the city of Wichita, Kansas, to issue its taxable Industrial Revenue Bonds in the aggregate principal amount not to exceed $10,000,000 for the purpose of providing funds to purchase, acquire, construct, and equip improvements and additions to certain existing facilities located in the City of Wichita, Kansas; prescribing the form and authorizing execution of a first supplemental trust indenture by and between the City and Intrust Bank, N.A., Wichita, Kansas, as trustee with respect to the bonds; prescribing the form and authorizing the execution of a first supplemental lease agreement by and between Learjet Inc., and the City; approving the form of a guaranty agreement; and authorizing the execution of a bond purchase agreement by and between the City and Learjet Inc., as purchaser of the bonds, introduced and under the rules laid over. IRB - COLEMAN PUBLIC HEARING AND ISSUANCE OF INDUSTRIAL REVENUE BONDS - THE COLEMAN COMPANY, INC. (District I) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1107. On August 10, 1993, the City Council approved the issuance of a Letter of Intent for Industrial Revenue Bonds, in an amount not to exceed $80.0 million, issued to The Coleman Company, Inc. with a term of five years, and approved a ten-year 100% property tax abatement for property financed with IRBS. Proceeds from the sale of the Bonds are being used to finance the construction of a new corporate headquarters, the expansion of existing manufacturing facilities and the purchase of additional machinery and equipment for its manufacturing facilities in Wichita and Maize. On December 14, 1993, the City Council approved the issuance of the first installment of IRBS under the $80 million Letter of Intent, in the amount of $10.5 million. On November 29, 1994 a second installment of IRBS was approved in the amount of $25.0 million. On December 5, 1995, a third installment of bonds was approved in the amount of $13.7 million and on December 3, 1996, a fourth installment of bonds was approved in the amount of $13.8 million. The proceeds from all bond sales were used for new equipment and modernization of automated manufacturing systems at Coleman's northeast Wichita plant and its plant located in the City of Maize, and for environmental improvements at the northeast Wichita plant. The Coleman Company is now asking the City to issue a fifth installment of IRBs under the $80 Letter of Intent, in an amount not to exceed $6,720,000, covering qualified capital expenditures incurred in 1997. Coleman Company, Inc. is a homegrown Wichita business that has become an international industrial giant as a diversified manufacturer and distributor of outdoor recreation products. Coleman relocated its corporate headquarters from 250 N. St. Francis to Coleman's "Northeast" facility at Hydraulic and 37th Street North in February of 1996. Proceeds from the sale of the $6.7 million in Industrial Revenue Bonds will be applied as follows: Northeast Wichita Plant $5,605,000 Maize Plant 1,115,000 Total Not to Exceed $6,720,000 The Coleman Company, Inc. expects to add between 262 and 1,042 new jobs to their Wichita and Maize plants during the six year period covered by their Letter of Intent. The majority of the new jobs will be in the areas of manufacturing and clerical positions with an average hourly wage of between $11 and $12. Coleman's 1993 annual payroll in Sedgwick County was $50.7 million and the expected annual payroll increase resulting from the minimum 262 new jobs is $4,492,000. Coleman exports 99% of its products out of the State of Kansas. The Coleman Company, Inc. has an approved EEO/AA Plan on file with the City of Wichita and the City of Maize. The cost/benefit analysis on Coleman's $80 million expansion project, performed by the University of Kansas Institute of Public Policy and Business Research, showed a Benefit-Cost Ratio of 1.92 to 1. The Coleman Company, Inc. agrees to pay all costs of issuing the bonds and agrees to pay the City's annual administrative fee for the term of the bonds. The Coleman Company was granted a 100% abatement of ad valorem property taxes in connection with the issuance of the bonds. The Coleman Company paid $729,320 in 1996 taxes on property it owns in Sedgwick County, including $588,345 on property located within the City of Wichita and $140,975 for property located in Maize. The total amount of estimated taxes to be abated by virtue of this year's IRB issue is $189,387, of which $43,750 is for the City of Wichita, $8,213 is for the City of Maize, $57,111 is for Sedgwick County/State, $62,184 is for U.S.D. 259 and $17,632 is for U.S.D. 266 (Maize). 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 bond Ordinance be placed on first reading; and the Mayor be authorized to sign the necessary documents. -- carried Motion carried 6 to 0. (Ferris absent) ORDINANCE An Ordinance authorizing the city of Wichita, Kansas, to issue its taxable Industrial Revenue Bonds, Series XVIII, 1997 (The Coleman Company, Inc.) in the aggregate principal amount of $6,470,708 for the purpose of providing funds to purchase, acquire, construct, and equip improvements and additions to certain existing facilities located in the City of Maize, Kansas, and the City of Wichita, Kansas; prescribing the form and authorizing execution of a fourth supplemental trust indenture by and between the City and the Bank of New York, as trustee with respect to the bonds; prescribing the form and authorizing the execution of a fourth supplemental lease agreement by and between the City and the Coleman Company, Inc.; approving the form of a guaranty agreement; and authorizing the execution of a bond purchase agreement by and between the City and The Coleman Company, Inc., as purchaser of the bonds, introduced and under the rules laid over. IRB - WICHITA SHEET REQUEST FOR LETTER OF INTENT FOR INDUSTRIAL REVENUE BONDS - WICHITA SHEET METAL METAL SUPPLY, INC. SUPPLY, INC. (District I) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1108. Wichita Sheet Metal. Supply, Inc. is requesting the issuance of a Letter of Intent for Industrial Revenue Bonds in an amount not to exceed $2,500,000. The bond proceeds will be used to purchase an existing facility; construct a manufacturing facility located at 1601 South Sheridan in southwest Wichita; and to purchase machinery and equipment. Wichita Sheet Metal Supply is also requesting that the City grant a 100% ad valorem tax abatement for the project. Wichita Sheet Metal Supply has branches located in Omaha, Nebraska; Denver, Colorado and Lenexa, Kansas. Its trade territory includes the states of Kansas, Nebraska, South Dakota, Colorado, Wyoming, Iowa, Missouri, Arkansas, Oklahoma and New Mexico. Wichita Sheet Metal Supply designs and manufactures products such as registers and grills, venting products, duct liner, duct board, duct wrap and various other supplies for the heating and air conditioning trade. The company also manufactures sheet metal products such as pipes, elbows, boots and other stock fittings. It also manufactures system components such as spiral pipe and fittings; custom duct and fittings for residential and commercial use, cut to length sheet metal and some proprietary machinery. Proceeds from the bonds will be used to purchase land and an existing facility located at 1601 South Sheridan; construct a 72,000 s.f. metal manufacturing building; and to purchase machinery and equipment as follows: SOURCES OF FUNDS 1998 Bond Proceeds $2,500,000 Tenant Funds 100,000 Total Sources of Funds: $2,600,000 USES OF FUNDS * Purchase Land and Existing Facility $ 385,000 * Construct New Building 1,085,000 * Remodel Office Space 125,000 * Purchase Machinery and Equipment 705,000 * Bond Reserve 150,000 * Cost of Issuance 150,000 Total Uses of Funds: $2,600,000 Wichita Sheet Metal Supply currently employs 100 people. Current expansion plans for Wichita Sheet Metal Supply, forecast an increase in employment of approximately 20 people over the next five years. 70% of the company's product is ultimately exported outside the state. A cost/benefit analysis based on the fiscal and economic impact of the expansion project will be performed by the Wichita State University's Center for Economic Development and Business Research and the results will be presented at the time the Council considers this item. Wichita Sheet Metal Supply 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 underwritten by Froggatte and Herndon Capital Corporation. The firm of Hinkle, Eberhart and Elkouri, L.L.C. will serve as bond counsel in the transaction. Wichita Sheet Metal Supply 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. Wichita Sheet Metal Supply is also 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. Under the City's Business Incentive Policy, Wichita Sheet Metal Supply would qualify for an 85% tax abatement on the project based on new employment, capital investment and export trade. The real and personal property taxes paid by Wichita Sheet Metal Supply in 1996 was $24,391. If the 85% tax abatement is approved, the estimated amount of taxes that would be abated in the first year are $50,146 (based on projected costs of construction), of which $14,593 is the City portion, $14,812 the County/State portion, and $20.741 the U.S.D. 259 portion, based on the 1997 mill levy of 107.304 mills. The cost/benefit analysis based on the fiscal and economic impact model of the Wichita State University's Center for Economic Development and Business Research reflects cost/benefit ratios of 1.88 for the City; 1.13 for Sedgwick County; 0.27 for USD 259 and 10.93 for the State. *Council Member Ferris present. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Rogers moved that the issuance of a Letter of Intent to Wichita Sheet Metal Supply, Inc. for Industrial Revenue Bonds in an amount not to exceed $2.5 million, and an 85% tax abatement for five years, with a second five years based on Council review, be approved and the Mayor be authorized to sign, 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 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 7 to 0. IRB - INNES STATION PUBLIC HEARING AND EXTENSION OF LETTER OF INTENT FOR MULTI-FAMILY HOUSING REVENUE BONDS - INNES STATION PARTNERS, L.L.C. (District VI) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1109. On July 1, 1997, the City council approved the issuance of a Letter of Intent for Multi-Family Housing Revenue Bonds in an amount not to exceed $3.7 million to Innes Station Partners, L.L.C. December 9, 1997, the City Council increased the amount of bonds authorized to $4.1 million. Bond sale proceeds will be used to finance a portion of the acquisition and renovation of an Old Town warehouse into an 80-unit multi-family housing project. The warehouse at 701 east First Street will be converted into 80 one and two bedroom units consisting of 16 HOME assisted units and 64 market rate rental units and will rent for $352 to $697 per month. Under federal tax code, the use of tax-exempt bonds to finance multi-family housing projects requires that 20 percent of the units be reserved for families earning less than 50 percent of the area's median income, or 40 percent of the units for families earning less than 60 percent of area median income. The developer has elected to follow the 20%-50% requirements. Bond Counsel for the transaction is Gilmore and Bell, Kansas City. Because the Letter of Intent will expire on January 1, 1998, a 60-day extension of the Letter of Intent is required. Innes Station Partners 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. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Cole moved that the Public Hearing be closed and the Letter of Intent be extended -- carried to March 1, 1998. Motion carried 7 to 0. IRB - CHANCE INDUSTRIES EXTENSION OF IRB TAX EXEMPTION - CHANCE INDUSTRIES, INC. (District IV) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1110. November 5, 1991, the City Council approved the issuance of $3.5 million in Industrial Revenue Bonds, Series VIII-1991, to Chance Industries, Inc. Chance was granted a 100 percent tax abatement on bond-financed property for a five-year period subject to review at the end of five years to extend for another five years. The initial five-year tax exempt period expired December 31, 1996, and Chance submitted a request that the tax exemption be extended for a second five-year period. In 1997, Chance paid $229,000 in real and personal property taxes. No real property taxes are paid on the facility expansion as the expansion is exempt under the bond issue. The abated real and personal property taxes on the property is estimated to be $83,019 for 1997. Council Member Ferris momentarily absent. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Jeff Roth Jeff Roth, Chance Industries, explained that the anticipated employment growth was not reached due to the company finding that it could produce more with few employees. Chaos, a complicated ride, was also invented but it required reworking which distracted Chance Industries from production and sales of other rides. This also caused a down turn in sales. The coach sales sustained the business. Chance Industries tried outsourcing and then looked for a second facility. There is now a new coach plant which is producing and meeting production requirements. The tax abatement would help Chance Industries remain competitive and enable the increase of sales. Motion -- Gale moved that the tax exemption be extended for the second five years. Motion -- carried carried 7 to 0. CITY BLUE PRINT PUBLIC HEARING AND TAX EXEMPTION REQUEST - CITY BLUE PRINT, INC. (District I) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1111. On August 1, 1989, the City Council approved an application for a property tax exemption from City Blue, 1400 East Waterman, on an expansion project consisting of the construction of a 24,000 s.f. metal building, cost of $475,000. The project was completed on December 31, 1992. Subsequent to the City's approval of the tax exemption, the Kansas State Board of Tax Appeals (BOTA) denied the application for the tax exemption based upon what the City and City Blue believe was a misunderstanding of the facts and law. The denial of the application by the BOTA was not appealed by City Blue within the 15-day appeal period for such actions. In denying the exemption, the BOTA alleged that City Blue is not a manufacturing business and that the project was merely a move and not a true expansion. City Blue has asked the City to assist them in filing a new application. City Blue is, in fact, a manufacturing business, engaged in the printing of engineering and architectural documents for the commercial, retail, military, and aerospace industries. In moving from a smaller to a larger building, City Blue also added 23 jobs to its workforce of 52. This would appear to qualify as a true expansion. Under the City's Business Incentives Policy, City Blue is eligible for the following: 38.0 % New Job Creation 17.0% Capital Improvements 50% Total (Maximum allowed 50%) 0.0% Export 20.0 Location Premium 70.0% Total allowed under Business Incentives Policy City Blue is eligible for a 70 percent tax exemption on real property for a five year period beginning in 1993 and for 35 percent tax exemption for a second five year period. City Blue's expansion project was completed in 1992, so 1993 would be the first year of exemption. If the exemption is approved by the City Council and the BOTA, City Blue will be eligible to receive a tax refund of 70 percent of the real and personal property taxes paid on the exempted property in 1993, 1994, 1995, and 1996. The City's Business Incentive Policy states that an exemption will not be approved for property that has already been acquired or constructed. Since the City Blue property was previously approved for exemption, the Council is being asked to waive this portion of the policy. A notice of public hearing has been published. City Blue will be required to maintain a City of wichita approved EEO/AA plan for the full term of the tax exemption. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Rogers moved that the public hearing be closed; a tax exemption of 70 percent on real property for the first five years, and 35 percent for the second five years be approved; and the Ordinance be placed on first reading. Motion carried -- carried 7 to 0. ORDINANCE An Ordinance exempting property from ad valorem taxation for economic development purposes pursuant to Article 11, Section 13, of the Kansas Constitution; providing the terms and conditions for ad valorem tax exemption; and describing the property of City Blue Print, Inc., so exempted, introduced and under the rules laid over. IMPROVEMENT DISTRICT RESOLUTION PERTAINING TO DOWNTOWN SELF SUPPORTING MUNICIPAL IMPROVEMENT DISTRICT. (District VI) Allen Bell Financial Projects Director reviewed the Item. Agenda Report No. 97-1112. The redevelopment and revitalization of the City's downtown area has been a high priority for the City and for the community as a whole for many years. In the last 10 years, starting with Blueprint 2000, the RTKL Plan and the DeBoer Plan, both the City and the private sector have embarked on an ambitious investment of resources in the downtown area. In conjunction with this effort, the Wichita/Sedgwick County Partnership for Growth (WI/SE) established a program area for downtown development with its mission to stimulate private sector investment and activities in the downtown area. With the elimination of WI/SE, its downtown activities were absorbed by the Chamber of Commerce and a new entity, the Wichita Downtown Development Corporation (WDDC), was formed. At the same time, an effort was launched to establish a Downtown Management District in order to provide a stable source of funding from the downtown business community to support and manage on-going development efforts. The proposed Downtown Management District is being implemented pursuant to state statutes that enable the establishment of Self Supporting Municipal Improvement Districts (SSMID) by petition of property owners from within the proposed district. The law requires that at least 25% of the owners of property within the district, and the owners of property comprising at least 25% of the total assessed valuation in the district, sign a petition asking the City Council to establish the SSMID. Upon presentation of sufficient petition, the City Council may adopt a resolution stating it is considering the establishment of a SSMID and setting a time for a public hearing on the matter. The WDDC has submitted a petition and requests that a public hearing be set for January 27, 1998. The proposed Downtown Management District has been described by its promoters as "a private sector initiative to manage and improve the downtown environment with services financed by a self-imposed and self-governed assessment on properties and/or businesses. Services can include economic development, marketing, parking, transportation, beautification, security, maintenance, planning and special events." A copy of the Downtown Management District brochure is attached. The boundaries of the proposed management district, shown on the attached map, describe three zones: Zone 1, which includes the east bank of the Arkansas River and one block either side of Douglas Avenue in the downtown area; Zone 1/Old Town, which is the Old Town Redevelopment District; and Zone 2, which is most of the rest of the Central Business District outside of Zone 1. The petition calls for a SSMID assessment of not to exceed 10 mills on the assessed value of all taxable property in Zone 1 and not to exceed 7.5 mills on taxable property in Zone 1/Old Town and Zone 2. In the event existing special assessments in Old Town are reduced by refinancing, the assessment for Zone 1/Old Town would be increased to not to exceed 10 mills. The petition also calls for a sunset of the management district after seven years, terminating on December 31, 2005. An Advisory Board is proposed for the purpose of developing and recommending assessments, budgets and policies for the management district to the City Council. It would be comprised of property owners and business owners from the various zones, as well as representatives from the City and the Downtown Wichita Association. The City Council will be responsible for adopting budgets and levying assessments for the District, however the petition calls for an initial annual budget of not to exceed $400,000 and annual increases thereafter to not exceed the annual change in the Wichita Consumer Price Index, or 3%, whichever is less. The business plan for the proposed Downtown Management District anticipates that the current contract for development services between the WDDC and the City will be continued for the term of the District in the amount of $150,000 per year. It also calls for the City to enter into a base level of services agreement, setting a policy of maintaining current levels of municipal services downtown for the life of the District. If the District is ultimately established, as requested by the petition, the first distribution of SSMID assessment revenues will not occur until January 1999. The WDDC and the Downtown Wichita Association (DWA) plan to provide funding for 1998 downtown management activities from voluntary contributions from downtown businesses and property owners based on a percentage of their first year's assessments, subscriptions from businesses and organizations outside of the District and from the City contract payments in 1998 in the amount of $150,000. The Law Department advises that the proposed base level of services agreement would violate the State's Cash Basis and Budget Laws unless the agreement explicitly states that it is made subject to the aforementioned Laws. The statutes pertaining to the establishment of a SSMID allow the City Council to adopt a resolution setting a public hearing on the establishment of the SSMID not less than 30 days nor more than 60 days following adoption of the resolution. The resolution must be mailed to all property owners in the proposed District and published twice in the City's official newspaper. After 30 days following the public hearing, the City Council may adopt an ordinance establishing the SSMID and setting forth the terms and conditions for its operation, governance, financing and termination. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Willard Garvey Willard Garvey said this would be a discriminating process of higher taxes which would be unfair to the small businesses. Mr. Garvey requested a copy of the petition and suggested the matter be tabled, deferred, or killed. Mr. Garvey said the hotel bed tax had been assured to be used strictly for tourism but sixty percent was used for nothing to do with tourism. Mr. Garvey suggested the promotion of down town be don by an all-out group of volunteers with no other interests. Vern Thornton Vern Thornton, Midian Shrine Administrator, said approval of this would create a burden of tax too great. Jace Boles Jace Boles urged the public hearing be held so all can have a say. Council Member Ferris Council Member Ferris said he wants to know whether or not 50 percent of those who will be assessed have signed petitions. Council Member Ferris also said that 50 percent of the hotel bed tax goes toward paying off bonds for Century II which certainly has a lot to do with tourism. Motion -- Cole moved that the Resolution setting January 28, 1998, at 10:00 a.m. for a -- carried public hearing be adopted. Motion carried 7 to 0. RESOLUTION NO. R-97-459 A Resolution of the Governing Body of the City of Wichita, Kansas, to initiate proceedings to create a self supported Municipal Improvement District pursuant to K.S.A. 12-1794 et seq, presented. Cole moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. TIF DISTRICTS PUBLIC HEARING AND ADOPTION OF 21ST AND GROVE REDEVELOPMENT PLAN. Allen Bell Financial Projects Director reviewed the Items. Agenda Report No. 97-1113. In 1995, the City Council took the necessary legal steps to establish the 21st and Grove Redevelopment District for the purpose of generating tax increment financing for public improvements located within the district. The steps taken by the City Council established 1995 as the base year, from which the increase in property tax revenues (the tax increment) will be measured. The next step to be taken in the TIF process is the adoption of a redevelopment plan that includes a feasibility study and a description of the redevelopment projects being funded with TIF proceeds. 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 project costs. On November 4, 1997, the City Council adopted a resolution stating it is considering the adoption of the Redevelopment Plan and directed the giving of notice that a public hearing would be held on the matter on December 16, 1997 at 10:30 a.m. K.S.A. 12-1770 et seq. sets forth the procedures and requirements for the establishment of a TIF district and the capture of TIF dollars. In order for the County Treasurer to be authorized to set aside the increment of increased property tax revenues collected in the district, the City must adopt a redevelopment plan that describes the district and the projects being financed with the TIF, and also establishes the financial feasibility of the TIF to finance the public improvements. The statute also directs the City to prepare the redevelopment plan "in consultation with the planning commission of the city." On December 18, 1997, the Redevelopment Plan and find that the Plan is consistent with the general comprehensive plan for development of the City. The Financial Feasibility Study contained in the Redevelopment Plan examines the County's assessed valuation of the property located within the 21st and Grove Redevelopment District, with respect to the value of the property in the base year (1995), to the current year's assessed valuation (1997) and to the year in which redevelopment projects currently completed, under way or planned, will be reflected in the County's database of property values (1998). Estimates of appraised values were prepared in consultation with the County Appraiser's Office. The following table summarizes the revenue side of the analysis: 1995 Base Year 1997 Actual 1998 Projected Appraised Value $11,872,818 $14,077,605 $17,712,205 Assessed Value 754,610 1,023,570 1,932,220 Captured Value - 0 - 268,960 1,177,610 Mill Levy 105.804 105.804 105.804 Tax Increment - 0 - - 0 - 124,596 State Guarantee Payments - 0 - - 0 - 9,421 Net Tax Increment - 0 - - 0 - 134,017 The analysis assumes that only those projects that are currently underway will be constructed, and that the 1998 City/County/School District mill levy will not increase or decrease. State guarantee payments hold the City harmless for reductions to the state mill levy for public education. The tax increment and state guarantee payment amounts are assumed to be stable for the balance of the 20-year duration of the District. The analysis shows that the stream of projected tax increment revenues is sufficient to pay the principal and interest on a $1.385 million general obligation tax increment bond issue. On the expenditure side of the analysis, the feasibility study looked at the Cessna Training Center site preparation work. The total projected costs to date, and their identified sources of funding, are summarized below: Project 15 Year Tax- Temporary Note Total Exempt Repayment G.O. TIF Bonds Cessna Training and Day Care Center $1,385,000 $ 285,847 $1,670,847 It is anticipated that the project will be financed with tax increment general obligation bonds. To the extent that tax increment revenues exceed the projections, City-at-large funding will be reduced accordingly. By the same token, to the extent that tax increment revenues fall short of projections, City-at-large funding of 21st and Grove projects will increase. Funds are available in the City's Debt Service Fund to repay temporary notes in the amount of $285,847. The notice for a public hearing on the City's intent to adopt the redevelopment plan has been given pursuant to law. To adopt the redevelopment plan, the ordinance must be approved by a two-thirds majority. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Billie Lively Billie Lively, speaking for Charles Lively, asked who would determine what property needs to be improved and whether property would be taken. Allen Bell Financial Projects Director explained that there were no known plans to do any condemnation by eminent domain and that the improvements were generally driven by the property owners of individuals from the private sector. Leslie Case Fralin Leslie Case Fralin, 2018 North Madison, said there are boarded up properties that need to be repaired. Also, taxes should not be increased as any increase might cause dislocation of property owners. E. Busher E. Busher, 2300 Block on Piatt, asked whether her home would be taken for redevelopment. Allen Bell Financial Projects director said there is no plan to buy homes or require anyone to more. Council Member Rogers Council Member Rogers explained that there are no plans to purchase anyone's property; there has been no discussion about even the possibility of condemnation; and the City is not raising taxes through this procedure. Marion Ray Marion Ray, 2001 North Madison, said the letters that go to property owners should be written so the average person could understand them. Gary Rebenstorf Director of Law said an adjustment could be made to make the language more clear. Motion -- Rogers moved that the Public Hearing be closed and the Ordinance be placed on -- carried first reading. Motion carried 7 to 0. ORDINANCE An Ordinance adopting a redevelopment plan for the 21st and Grove Redevelopment District, introduced and under the rules laid over. PUBLIC HEARING AND ADOPTION OF EAST BANK REDEVELOPMENT PLAN. Allen Bell Financial Projects Director reviewed the Item. Mayor Knight momentarily absent with Vice Mayor Cole in the Chair. Agenda Report No. 97-1114. In 1995, the City Council took the necessary legal steps to establish the East Bank Redevelopment District for the purpose of generating tax increment financing for public improvements located within the district. The steps taken by the City Council established 1995 as the base year, from which the increase in property tax revenues (the tax increment) will be measured. The next 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. 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 project costs. On November 4, 1997, the City Council adopted a resolution stating it is considering the adoption of the Redevelopment Plan and directed the giving of notice that a public hearing would be held on the matter on December 16, 1997 at 10:30 a.m. K.S.A. 12-1770 et seq. sets forth the procedures and requirements for the establishment of a TIF district and the capture of TIF dollars. In order for the County Treasurer to be authorized to set aside the increment of increased property tax revenues collected in the district, the City must adopt a redevelopment plan that describes the district and the projects being financed with the TIF, and also establishes the financial feasibility of the TIF to finance the public improvements. The statute also directs the City to prepare the redevelopment plan "in consultation with the planning commission of the city." On December 18, 1997, the Metropolitan Area Planning Commission will meet to consider the East Bank Redevelopment Plan and find that the Plan is consistent with the general comprehensive plan for development of the City. The Financial Feasibility Study contained in the Redevelopment Plan examines the County's assessed valuation of the property located within the East Bank Redevelopment District, with respect to the value of the property in the base year (1995), to the current year's assessed valuation (1997) and to the year in which redevelopment projects currently completed, under way or planned, will be reflected in the County's database of property values (1998). Estimates of appraised values were prepared in consultation with the County Appraiser's Office. The following table summarizes the revenue side of the analysis: 1995 Base Year 1997 Actual 1998 Projected Appraised Value $150,100,610 $ 97,162,538 $115,962,538 Assessed Value 18,167,284 16,408,853 21,108,853 Captured Value - 0 - (1,758,431) 2,941,569 Mill Levy 105.804 105.804 105.804 Tax Increment - 0 - - 0 - 311,230 State Guarantee Payments - 0 - - 0 - 23,533 Net Tax Increment - 0 - - 0 - 334,763 The analysis assumes that only those projects which are currently underway will be constructed, that assessed property values in the district will grow at a rate of 1.75% per year, and that the 1998 City/County/School District mill levy will not increase or decrease. State guarantee payments hold the City harmless for reductions to the state mill levy for public education. The tax increment and state guarantee payment amounts are therefore projected to grow by 1.75% per year for the balance of the 20-year duration of the District. The analysis shows that the stream of projected tax increment revenues is sufficient to pay the principal and interest on a $6 million general obligation tax increment bond issue. On the expenditure side of the analysis, the feasibility study looked at the entire public improvement program to date for the East Bank, including the Hyatt Hotel, Conference Center, parking garage, Lewis/Maple bridge, street reconfiguration, Waterwalk, the Century II renovations, and the Century II energy plant renovations. The total projected costs to date, as well as their identified sources of funding, are summarized in the following table (amounts in thousands): Project 15 Year Tax- 15 Year 10 Year Tax- Temporary Total Exempt G.O. Taxable Exempt G.O. Notes TIF Bonds G.O. Bonds Bonds Convention Hotel $11,325 $11,325 Conference Center $ 6,590 6,590 Parking Garage 4,270 4,270 Lewis/Maple Bridge $ 5,550 5,550 East Bank Streets $ 900 1,482 2,382 Waterwalk 4,100 1,200 5,300 Century II Renovations 1,000 1,000 2,000 Century II Energy Plant 2,950 2,950 Total $6,000 $10,860 $12,182 $11,325 $40,367 It is anticipated that the projects funded with tax increment financing, as well as projects funded by City-at-large funding, will be financed with general obligation bonds. To the extent that tax increment revenues exceed the projections, City-at-large funding will be reduced accordingly. By the same token, to the extent that tax increment revenues fall short of projections, City-at-large funding of East Bank projects will increase. The projected $12.182 million City-at-large funding is reflected in the current core area CIP. The notice for a public hearing on the City's intent to adopt the redevelopment plan has been given pursuant to law. In order to adopt the redevelopment plan, the ordinance must be approved by a two-thirds majority. Mayor Knight Mayor Knight inquired if anyone wished to be heard. Larry Weber Larry Weber, Garvey Center, said a negative tax could hamper or hinder the area. Council Member Rogers momentarily absent. Willard Garvey Willard Garvey said the tax increment will be used to pay for the redevelopment area. The tax increment is being used up so if there is new development there will be no funds available. Mr. Garvey also asked whether a business could determine there would be no benefit to the business and, therefore, opt out of the district. Council Member Ferris Council Member Ferris explained that because taxes were not being increased because of the TIF, there is nothing to opt out of. The future revenue of the East Bank Plan is not used up. The only tax included to date is that generated by the Hyatt Regency. Council Member Kamen left the Bench. Motion -- Cole moved that the Public Hearing be closed and the Ordinance be placed on first -- carried reading. Motion carried 6 to 0. (Kamen absent) ORDINANCE An Ordinance adopting a redevelopment plan for the East Bank Redevelopment District, introduced and under the rules laid over. RECESS The City Council recessed at 11:20 a.m. and returned at 11:37 a.m. Council Member Kamen present. PARKING INDIAN CENTER/MUSEUM DISTRICT PARKING. Chris Cherches City Manager reviewed the Item. Agenda Report No. 97-1115. The master plan for the Museum District (including the Indian Center) was approved by the City Council in 1992. This Plan included a parking analysis for each of the museum facilities with recommended parking needs. Since this plan was approved, improvements have been made as funds became available, or as programmed in the City's Capital Improvement Program. One of the first priorities recommended was a new entryway to the Indian Center along with increased parking. The proposed intersection/gateway improvements were intended to link the Indian Center to the Museum District and provide enhanced amenities for the area. The last bids for the gateway/intersection and parking improvements were rejected because they exceeded engineering and CIP estimates. As a result, the project was re-evaluated and modifications were made in the CIP allocation for these improvements. At a subsequent Council meeting (November 19, 1996), the City Council approved the gateway and parking project and authorized the re-bid. Following this action, Staff was asked to explore other options, including the use of the water reservoir (across from the Indian Center) for parking. On June 17, 1997, the City Council reviewed three options for additional parking and a new entry into the Indian Center off the Central/Stackman intersection. A combination of options 1 & 3 was favored which eliminated most of the proposed parking on the Indian Center site, created the new entryway, and provided additional parking on the new reservoir west of Seneca including measures to address safety of pedestrians crossing Seneca. Staff was directed to return to the Council with a revised budget for the modified options 1 & 3. Staff developed cost estimates for the options described above; however, these costs proved to be excessive in relation to the number of new parking stalls to be provided on the Indian Center site. Several other combinations (of various amounts) of on-site parking were studied both with and without the new entryway at the Central/Seneca/Stackman intersection. None of these proved to be within an acceptable cost-to-benefit ratio or within the budget allocation. Therefore, instead of constructing new and expanded parking on the Indian Center site, a concept is now proposed to utilize the new reservoir parking (west of Seneca) to meet the current needs of the Indian Center, and to provide an attractive treatment to visually link the parking (across the street) and the Indian Center. A pedestrian way is proposed, incorporating a multilevel plaza, designed to blend with the existing building and site, walks, landscaping, lighting, and a signalized crosswalk at Seneca for the safety of pedestrians. In addition, alternate bids for adding landscaping, as well as lighting for the reservoir parking lot, are proposed. The proposed project to utilize the reservoir parking and linking it to the Indian Center with certain amenities, is considered to be a short-term solution of the parking needs of the Center. A longer-term improvement, on the Indian Center site, can be deferred for several years until the Museum District's Core Area project is completed. The proposed project is estimated to be within the remaining funds of approximately $350,000 from the original $400,000 CIP budget for the Indian Center parking improvement project. This original budget was increased to $900,000 by reallocating $500,000 from the Museum District Core Area project to supplement the Indian Center project budget; however, This increase will not be needed for the now proposed improvements. The $500,000 would be restored to the Museum District project. The funding source is General Obligation Bonds. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Cole moved that the project be approved and Staff be authorized to solicit bids. -- carried Motion carried 7 to 0. STREET MAINTENANCE ENHANCED 1997 AND PROPOSED 1998 CONTRACT STREET MAINTENANCE PROGRAMS. Chris Cherches City Manager reviewed the Item. Agenda Report No. 97-1116. The Contract Street Maintenance Program provides contracted maintenance that includes concrete repairs, curb and gutter repairs, asphalt resurfacing and surface sealing of City streets. This program has been funded annually since 1988. In 1989, the addition of the Capital Investment Maintenance Program (CIMP) increased the funding available for contracted street maintenance. The 1997 Contract Street Maintenance Program / CIMP, budgeted for $3,729,000, was approved in March and included projects throughout the City which are now either completed or are under way. The 1997 program repaired 13 miles of arterial and collector streets and bridges , and 330 blocks (approximately 33 miles) of residential streets. In 1997, Public Works is projecting salary savings due to difficulties in finding qualified applicants for unfilled seasonal and full time positions. Routine street maintenance activities have been affected by the vacant positions, resulting in expenditures for street repairs to be below budget projections, thus creating additional savings. It is recommended that the year- end savings be transferred to a capital project for additional contracted street repairs. The Enhanced 1997 Contract Street Maintenance Program proposes and additional $1.2 million will go for asphalt overlays, concrete repairs and slurry seals on residential streets. These repairs will result in adding improvements to approximately 129 blocks (11 miles) of residential streets. The 1998 Adopted budget provides $3,762,400 for contracted street maintenance. The proposed 1998 program will provide for curb and gutter repairs, concrete repairs, a variety of asphalt surface treatments and bridge surface replacements. These repairs will be done on 13 miles of arterial streets and 190 blocks (approximately 19 miles) of residential streets. The proposed total expenditure for contract maintenance is $4,962,400, as follows: $1,200,000 Enhanced 1997 Contract Street Maint. Prog. (1997 Revised Budget) 3,000,000 Proposed 1998 Contract Street Maint. Prog. (1998 Adopted Budget) 762,400 Capital Investment Maintenance Program (1998 Adopted Budget) $4,962,400 TOTAL PROGRAM Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Knight moved that the 1997 and 1998 Contract Maintenance Program be approved and -- carried staff be authorized to make necessary budget transfers. Motion carried 7 to 0. DEFERRED COMPENSATION PROPOSED REVISIONS TO THE DEFERRED COMPENSATION PLAN AND ORDINANCE Ray Trail Director of Finance reviewed the Item. Agenda Report No. 97-1117. On January 1, 1976, the City of Wichita Deferred Compensation Plan was initiated. Currently, compensation deferred from employee's paychecks is considered an asset of the City until paid to the employee at retirement or termination of employment. Participants may voluntarily defer up to $7,500 or 25% of compensation per year. The Plan is administered by a third party and provides participants with multiple investment and payout options. Recent changes in Section 457 of the Internal Revenue Code and the agreement with the Teamster represented MTA employees has mandated the proposed amendments to the City's Deferred Compensation Plan. The Code now provides for a trust to be established for the exclusive benefit of plan participants, allows for the payout of small inactive (De Minimis) accounts, and provides for an indexing of the maximum annual deferral. Amendments to the City of Wichita's Deferred Compensation Ordinance will allow for the changes in the Internal Revenue Code; make uniform, language and terms between the plan and ordinance; eliminate old and extraneous ordinance language; and incorporate the benefit negotiated with Teamster represented MTA employees. There is no cost to the City of Wichita to amend the Deferred Compensation Plan and Ordinance based upon the Section 457 IRC changes. The cost of administration is born by the plan participants. Mayor Knight Mayor Knight inquired if anyone wished to be heard and no one appeared. Motion -- Cole moved that the amendments be approved and the Ordinance be placed on first -- carried reading. Motion carried 7 to 0. ORDINANCE An Ordinance amending Chapter 2.30 of the Code of the City of Wichita, Kansas, pertaining to the City of Wichita's deferred compensation program, introduced and under the rules laid over. CITY COUNCIL AGENDA ADVERTISING BALLOONS DISCUSSION OF COMMERCIAL ADVERTISING BALLOONS. (Requested by Council Member Ferris) Susan Bastin Susan Bastin, owner of a business that promotes advertising using large balloons designed for rooftop use, described the process and problems the business has been through while trying to become established in Wichita. Ms. Bastin said the City needs to have an ordinance which addresses the size, time of use, and where balloons can be located. Because of size and sight hindrance, the balloons are also safer on roofs than on the ground. Motion -- Ferris moved that Staff be directed to draft an Ordinance pertaining to balloons; that the draft Ordinance be sent to the Sign Committee, the MAPC, and the CPO for review and recommendations; and that the Ordinance be returned to the City Council for consideration in no more than 45 days. Kurt Schroeder Acting Superintendent of Central Inspection said the current Ordinances would not allow balloons on roofs. Gary Rebenstorf Director of Law stated that he would work with Staff and look at current ordinances regarding interpretations to see what can be allowed until a new ordinance is adopted. Council Member Kamen Council Member Kamen said a certificate of insurance should be required, even for temporary business installations. -- carried Motion carried 7 to 0. PROCLAMATIONS PROCLAMATIONS -- Children of Color Voices Around the World Unite for a Common Cause Awareness Days -- Stay in School, Stay Off Drugs and Plan for Life Year Motion -- carried Knight moved that the proclamations be authorized. Motion carried 7 to 0. APPOINTMENTS 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 - Council at large) Board of Code Standards and Appeals (2 appointments - City Manager - 1 Citizen at large, 1 Architect) Commission on the Status of People with Disabilities (5 appointments - Ferris, Gale, Kamen, Knight-2) Group Life Insurance Board (2 appointments - Council at large) Library Board (Cole) Sister Cities Advisory Board (Knight) Wichita Athletic Commission (3 appointments - Council at large) Wichita Commission on the Status of Women (2 appointments - Kamen, Lambke) Wichita-Sedgwick County Board of Health (1 appointment - Veterinarian) There were no regular board appointments made. OFF AGENDA ITEM Motion -- Knight moved that the rules be set aside and an appointment be made off the -- carried Agenda. Motion carried 7 to 0. Motion -- Lambke appointed Phyllis Hall to CPO District 3 and moved that the appointment be -- carried approved. Motion carried 7 to 0. CONSENT AGENDA Knight moved that the Consent Agenda, except Items 31, 33, and 34 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 DECEMBER 15, 1997. At 10:00 a.m., Friday, December 12, 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 December 15, 1997) PUBLIC WORKS DEPARTMENT/ENGINEERING DIVISION: SEWERS, PAVING AND WATER MAINS AS PER SPECIFICATIONS Sanitary Sewer to serve the Broadview Hotel (north of Douglas, east of Big Arkansas River). (468-82670/621581/533269) Traffic to be maintained through construction using flagpersons and barricades. (Council approval date 1-7-97) (District VI) WB Carter Construction Co., Inc. - $37,226.00 Water Distribution System (Mosley from Murdock to 13th Street North). (448-89220/634923/544147) Traffic to be maintained during construction using flagpersons and barricades. (Council approval date 1-14-97) (District VI) Duling Construction Co., Inc. - $153,520.00 1997 Arterial Asphalt Rehabilitation of LearJet Way from Mid Continent to West End, Hydraulic from Bridge Deck near 38th Street North to City Limits (near K-254), 45th Street North from Rock Road to 1/2 Mile East (#706614) and Rehabilitation of Parking Lot at Main Health Department (#791608). (472-82857/ 706614/405215) Traffic to be maintained through construction using flagpersons and barricades. (Council approval 8-26-97) (Districts I, II, V, and VI) Asphalt Construction - (706614) Total Base Bid Items - $281,365.00 (Engineer's Estimate) (791608) Total Base Bid Items - $ 47,850.00 Total Aggregate $329,215.00 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 DEPARTMENT/FLEET & BUILDINGS DIVISION: 11,000 GVW 4X4 Cab & Chassis With Herbicide Spray Rigs (103807) Quality Chevrolet - $110,959.62 (Total Net Base Bid) Option #2 per vehicle $273.00 Option #3 per vehicle $192.00 Option #4 per vehicle $481.00 WATER & SEWER DEPARTMENT/SEWAGE TREATMENT DIVISION: Automated Bod Reader (182311) Madison Metropolitan Sewerage District - $24,240.00 (Total Net Bid) HUMAN SERVICES DEPARTMENT/WICHITA HOUSING AUTHORITY DIVISION: Lead Abatement at 2653 North Piatt and 2637 North Piatt (127720) Wellington Environmental - $13,542.00 (Lump Sum Total) WATER & SERVICES DEPARTMENT/WATER DISTRIBUTION DIVISION: Replacement of Consumer Water Service Lines and Installation of Water Utility Service Lines (634006) McFadden Construction Co., Inc. Item #1 - $39,960.00# (Total Net Bid) Item #2 - $39,960.00# (Total Net Bid) #plus applicable sales tax PUBLIC WORKS DEPARTMENT/MAINTENANCE DIVISION: Four-Wheel Drive Skid Steer Loaders with Trailers (132225) Murphy Tractor & Equipment Item #1 - $53,100.00 (Total Net Bid) White Star Machinery & Supply Co. Item #2 - $11,025.00 (Total Net Bid) WATER & SEWER DEPARTMENT/WATER DISTRIBUTION DIVISION: Electrical Supplies (633511) Stanion Wholesale Electric- $24,792.65# (1%-10) (Total Alternate Bid) #Plus Applicable Sales Tax WATER & SEWER DEPARTMENT/PRODUCTION & PUMPING DIVISION: New Current Model Riding Front Deck Mower (181784) Andale Equipment - $11,188.00# (Total Net Bid) #Plus Applicable Sales Tax PARK & RECREATION DEPARTMENT/CENTURY II DIVISION: Replacement of Lock & Key System (178012) Central Key & Safe Co., Inc. - $93,740.00 (Total Net Bid) PUBLIC WORKS DEPARTMENT/STORM WATER MANAGEMENT: Riprap (131201) George M. Myers, Inc. - $144,828.00 (Total Base Bid) Total Option #1 per ton $13.41 PUBLIC WORKS DEPARTMENT/MAINTENANCE DIVISION: Fence Repair (132225) Hayes Complete Homeworks - $7,437.00 (Total Net Bid) PUBLIC WORKS DEPARTMENT/MAINTENANCE DIVISION: Preformed Thermoplastic Pavement Markings (132217) Stimsonite Corporation - $2.04 (Cost per Lineal Foot) WATER & SEWER DEPARTMENT/CUSTOMER SERVICE DIVISION: Rockwell Meter Parts (180257) Salina Supply Company - $10,998.21# (Total Net Bid) #Plus Applicable Sales Tax PUBLIC WORKS DEPARTMENT/TRAFFIC MAINTENANCE DIVISION: Type 170 Conflict Monitor (132217) Gades Sales Co., Inc. - $42,835.10 (Total Net Bid) WATER & SEWER DEPARTMENT/PRODUCTION & PUMPING DIVISION: Provide & Install a Laboratory Fume Hood (181784) Casework, Inc. - $11,584.00# (Total Net Bid) #Plus Applicable Sales Tax WATER & SEWER DEPARTMENT/SEWAGE TREATMENT: All Weather Refrigerated Sampler (182311) Fluid Equipment Co., Inc. - $13,696.00 (Total Net Bid) POLICE DEPARTMENT: Addition to Fire Station #9 (084004) Farha Construction Co., Inc. - $22,280.00 (Total Net Bid) POLICE DEPARTMENT/INVESTIGATIONS DIVISION: Noritsu QSS- 1501Z Mini-Lab System (022004) Noritsu American Corporation - $64,994.00 (Total Net Bid) PUBLIC WORKS DEPARTMENT/STREET MAINTENANCE DIVISION: Utility Mounted Air Compressor and Trailer Mounted Pressure Applicator (132225) The Victor L. Phillips Co. Total Group # I - $ 9,811.00 Paving Maintenance Supply, Inc. Total Group #II - $31,979.25 WATER & SEWER DEPARTMENT/SEWER MAINTENANCE: Vehicles (182501) Don Hattan Chevrolet, Inc. - Group I - $78,000.00 (Total Net Bid) Option #1 per vehicle - $200.00 Group II - $22,085.00 (Total Net Bid) #Plus Applicable Sales Tax PUBLIC WORKS DEPARTMENT/FLEET & BUILDINGS DIVISION: Asbestos Removal (130823) Environmental Protection Associates - $24,179.00 (Total Net Base Bid) Option #1 - $1,578.00 (Lump Sum) POLICE DEPARTMENT: Surveillance Equipment (600634) Tactical Technologies, Inc. - $8,910.00 (Total Net Bid) 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. LICENSE APPLICATIONS APPLICATIONS FOR LICENSES TO RETAIL CEREAL MALT BEVERAGES. Renewal (Consumption on Premises) Mon Fee Wong Golden Dragon Restaurant*6100 East 21st #180 (Consumption off Premises) Jay A. Johnson Johnson's General Stores #06 1003 South Seneca New Establishment 1997 (Consumption off Premises) Wayland Waggoner Albertson's #2250 1910 West 21st North *General/Restaurant -- 50% or more of gross receipts derived from sale of food. 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. There were no Plans and Specifications. PRELIMINARY ESTIMATES PRELIMINARY ESTIMATES. a. 1998 Utility Cut Repair of Streets, driveways, and sidewalks at various locations. (132035/112-000) Traffic to be maintained through construction using flagpersons and barricades. (Council approval date 8-12-97) (District All) - $1,000,000.00. b. 1997 Contract Maintenance 12 ft. Edge Milling and Heater Scarification of Arterial Streets, Phase IV at various locations. (132282/112-000) Traffic to be maintained through construction. (Council approval date 3-4-97) (District All) - $380,000.00. c. 1997 Contract Maintenance Base Stabilization/Repairs and Overlay of Asphalt Streets in the Callahan Addition (south of Maple, west of Tyler). (132316/112-000) Traffic to be maintained through construction using flagpersons and barricades. (Council approval date 3-4-97) (District V) - $215,000.00. d. 1997 Contract Maintenance Arterial Concrete Reconstruction, Phase III (Repairs on Douglas adjacent to Century II). (131516/132357/112-000) Traffic to be maintained through construction using flagpersons and barricades. (Council approval date 3-4-97) (District VI) - $166,500.00. e. 1997 KLINK Pavement Resurfacing and Repairs on US-54 (Kellogg) (from the west side of Armour Street to the Kansas Turnpike Overpass (I-35)). (132373/112-000) Does not affect existing traffic. (Council approval date 3-4-97) (District II) - $336,750.00. f. South Broadway Viaduct over the Union Pacific Railroad (south of 31st Street South at Broadway). (472-82828/715474/415-061) See Special Provisions. (Council approval date 6-10-97) (District 3) - $2,150,000.00. g. Water Distribution System to serve Bradford North Third Addition (south of 29th, west of Tyler Road). (448-89169/734111/470-489) Does not affect existing traffic. (Council approval date 7-8-97) (District V) - $170,000.00. h. Water Distribution System to serve Bradford North Third Addition (south of 29th, west of Tyler Road). (448-89170/734129/470-490) Does not affect existing Traffic. (Council approval date 7-8-97) (District IV) - $75,000.00. i. Water Distribution System to serve part of Wood River Second Addition (south of MacArthur , west of K-15 Highway). (448- 89208/734152/470-493) Does not affect existing traffic. (Council approval date 10-7-97) (District n/a) - $25,200.00. j. Water Distribution System to serve Maple Dunes Addition (north of Maple, east of 135th Street West). (448-89149/734202/470-498) Does not affect existing traffic. (Council approval date 7-8-97) (District V) - $155,000.00. k. Lateral 7, Cowskin Interceptor Sewer to serve Maple Dunes Addition (north of Maple, east of 135th). (468-82715/743302/480-421) Does not affect existing traffic. (Council approval date 7-8-97) (District V) - $275,000.00. l. 1997 Sanitary Sewer Rehabilitation Program (west of Ridge, north of Central). (468-82787/621862/533-297) Does not affect existing traffic. (Council approval date 1-7-97) (Districts I, III and V) - $218,028.26. m. Sewer Response Plan Raise Buried Manholes (1997 - Set 4) (north of Maple, east of Tyler). 468-82789/621896/533-350) Does not affect existing traffic. (Council approval date 1-7-97) (District V) - $77,000.00. Motion -- Knight moved that the preliminary estimates be approved and filed. Motion -- carried carried 7 to 0. STATEMENTS OF COST STATEMENTS OF COST. a. (First Partial) Estimate of Cost for the Hotel Conference Center - $6,700,000. Financing to be issued at this time - $6,700,000. (791384/435-167) b. (Final) Statement of Cost for the Hotel Parking Garage - $4,285,000. Financing to be issued at this time - $4,285,000. (791392/435-168) c. (First Partial) Estimate of Cost for the Waterwalk - $4,100,000. Financing to be issued at this time - $4,100,000. (791467/435-175) d. (Third Partial) Estimate of Cost for the East Bank Streets - $900,000. Financing to be issued at this time - $900,000. (706366/405-190) e. (Third Partial) Estimate of Cost for Century II Renovation - $1,000,000. Financing to be issued at this time - $1,000,000. (791293/435-158) f. (Supplemental) Statement of Cost for the 1994 Railroad Crossing Program, Phase II - $146,155 (Less Financing Previously Issued - $123,455). Financing to be issued at this time - $22,700. (710152/410-066) g. (Final) Statement of Cost for the Cessna 21st Street Facility - $1,385,000. Financing to be issued at this time - $1,385,000. (617985/802-001) Motion -- Knight moved that the Statements of Cost be approved and filed. Motion -- carried carried 7 to 0. DOCUMENTS EASEMENTS AND DEDICATIONS. a. Three Easements dated 10/20/97 from Vantage Point Properties for tracts in Bradley Fair Third (SWD 134 Index 751-115) (no cost to City). b. Easement dated 10/24/97 from K. Todd Allam for a tract in Maple Dunes (Private Project Index 607-861) (no cost to City) has been filed and recorded. c. Easement dated 11/10/97 from Marvin Schallenberg for a tract in Forest Lakes (Lat 381, SWI Index 743-278) (no cost to City). d. Easement dated 11/24/97 from Grand Heritage Hotels for a tract in the SE1/4 Sec 20, Twp 27S, R1E (Broadview Sanitary Sewer Index 621-581) (no cost to City). Motion -- Knight moved that the documents be received and filed and the City Clerk be -- carried instructed to record with the Register of Deeds. Motion carried 7 to 0. 100 PERCENT PETITIONS STORM WATER DRAIN TO SERVE BRADFORD NORTH ADDITION (WEST OF TYLER, SOUTH OF 29TH STREET NORTH). (District V) Agenda Report No. 97-1118. On October 28, 1997, the City Council approved a petition for a Storm Water Drain to serve Bradford North Addition. Based on recent bid prices, it is doubtful that the original petition amount is high enough to award a construction contract. A new petition with an increased budget has been submitted. The signature on the new petition represents 100% of the improvement district. The original petition totaled $185,000. The new petition totals $390,000. The funding source is Special Assessments. Motion -- Knight moved that the Petition be approved and the Resolution be adopted. -- carried Motion carried 7 to 0. RESOLUTION NO. R-97-460 Resolution of findings of advisability and Resolution authorizing construction of Storm Water Drain Number 133 (west of Tyler, south of 29th Street North) (Project Number 468-82780) 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 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. SIDEWALK ON THE SOUTH SIDE OF 33RD STREET SOUTH, BETWEEN HANDLEY AND OSAGE. (District IV) Agenda Report No. 97-1119. The signatures on the Petition represent 100% of the improvement district. The proposed sidewalk will adjoin two single-family homes. The area, which is near South High School, has a high volume of pedestrian traffic. The Petition totals $9,000. The funding source is Special Assessments. Motion -- Knight moved that the Petition be approved and the Resolution be adopted. -- carried Motion carried 7 to 0. RESOLUTION NO. R-97-461 Resolution of findings of advisability and Resolution authorizing construction of a sidewalk on the south side of 33rd Street South, between Handley and Osage (Project Number 472-82892) 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 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. STREET CLOSURES/USES CONSIDERATION OF STREET CLOSURES/USES. Agenda Report No. 97-1120. In accordance with the Special Event Procedures, event sponsors are to notify adjacent property owners and coordinate arrangements with Staff, subject to final approval by City Council. The following Special Event requests have been submitted: 1) Fireworks Over Old Town Thursday, December 31, 1997 (Midnight) Old Town Street Closures: First Street, Mead to Washington; Rock Island, Douglas to Second; and Mosley, Douglas to Second. 2) New Year's Eve Ball Drop Thursday, December 31, 1997 (11 p.m. - 12:45 a.m.) Douglas and Waco Street Closures: Waco, First Street to Douglas; and Douglas, Waco to the Douglas Avenue Bridge. Inasmuch as possible, event sponsors are responsible for all costs associated with special events. Motion -- Knight moved that the request be approved subject to: (1) Event Sponsors notifying every property and/or business adjoining any portion of the closed street; (2) Coordination of event arrangements with City Staff; (3) Hiring off- duty public safety officers as required by the Police Department; (4) Obtaining barricades to close the streets in accordance with requirements of Police, Fire and Public Works Departments; (5) Submitting a Certificate of Insurance evidencing general liability insurance which covers the event and its related activities, including the naming of the City as an additional insured with respect to the event's use of the closed City streets. -- carried Motion carried 7 to 0. CONSULTING ENGINEERS AGREEMENT FOR DESIGN SERVICES FOR MAPLE DUNES ADDITION. (District V) Agenda Report No. 97-1121. The City Council approved the Maple Dunes Addition plat on July 1, 1997. The proposed Agreement between the City and Poe & Associates of Kansas, Inc. provides for the design of Lateral 7, Cowskin Interceptor Sewer; Water Distribution System No. 448 89149; and paving Douglas, Maple Dunes, Burton, Angela, Maple Dunes Courts, Burton Court and Angela Circle (north of Maple, east of 135th Street West). Because Poe provided subdivision engineering services for this addition, it can expedite construction plan preparation. Payment will be on a lump sum basis of $73,650 and will be paid by Special Assessments. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. AGREEMENT FOR DESIGN SERVICES FOR BARRINGTON CORNER SECOND ADDITION. (District V) Agenda Report No. 97-1122. The City Council approved the Barrington Corner Second Addition plat on October 28, 1997. The proposed Agreement between the City and Austin Miller, P.A. provides for the design of Lateral 36, Main 15, Southwest Interceptor Sewer; Storm Water Sewer No. 495; Water Distribution System No. 448 89218; and paving Smarsh Street and Cornelison (south of 21st, west of Ridge). Because Austin Miller provided subdivision engineering services for this addition, it can expedite construction plan preparation. Payment will be on a lump sum basis of $27,575 and will be paid by Special Assessments. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. AGREEMENT FOR DESIGN SERVICES FOR SMITHMOOR SEVENTH ADDITION. (District II) Agenda Report No. 97-1123. The City Council approved the Smithmoor 7th Addition plat on September 16, 1997. The proposed Agreement between the City and Municipal Engineers, P.A. provides for the design of Water Distribution System No. 448 89192; and paving Honeytree, Brandon and Mt. Vernon (south of Harry, east of Webb). Because Municipal Engineers provided subdivision engineering services for this addition, it can expedite construction plan preparation. Payment will be on a lump sum basis of $18,400 and will be paid by Special Assessments. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. KDOT AGREEMENT AGREEMENT FOR REPLACEMENT OF TWO BRIDGES ON K-42 OVER THE WICHITA FLOOD CONTROL CANAL. (Districts IV and V) Agenda Report No. 97-1124. The Kansas Department of Transportation (KDOT) intends to replace two bridges on K-42 over the Wichita Flood Control Canal and upgrade the intersection at Hoover and K-42. KDOT intends to take bids on this project in February 1998 and begin construction in the spring of 1998. Because the work is located within the city limits of Wichita, KDOT has submitted an Agreement wherein the City authorizes the work to be done. The Agreement authorizes the work to be done within the city limits. Although the Agreement states that City streets can be used for detouring traffic, KDOT will not detour traffic onto the local street system. KDOT will provide for one lane of traffic in either direction. There is no cost to the City associated with this Agreement. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. ITS STUDY INTELLIGENT TRANSPORTATION SYSTEM (ITS) EARLY DEPLOYMENT PLANNING STUDY. (All Districts) Agenda Report No. 97-1125. The Federal Highway Administration (FHWA) and the Kansas Department of Transportation (KDOT) have budgeted $400,000 to be used for the Intelligent Transportation System (ITS) Early Deployment Planning Study in the City of Wichita. On March 4, 1997, the City Council approved an agreement with KDOT that authorized the City to hire an engineering consultant firm to be paid by FHWA/KDOT funds. On October 2, 1997, the Staff Screening & Selection Committee selected HNTB Corporation to perform the study. The Agreement provides for HNTB to undergo the City's ITS Early Deployment Planning Study. The purpose of the Study is to identify the ITS user services appropriate for Wichita, and to develop a Deployment Plan based on these user services. The overall purpose of ITS is to employ advanced systems such as improved computers, communications, and process control technologies to improve the efficiency and safety of the transportation system. To address the concerns of increased congestion and increasing demand of the transportation system, ITS directs its focus towards better utilization of existing facilities, rather than building additional facilities. Although most ITS functions are designed and developed for highway and interstate facilities (like I-135, I-235, K-96, US-54, etc.) and the resulting interchanges with arterial roadways, the City's study will also consider the possible improvements of at-grade railroad crossings. Payment to HNTB will be made on a cost plus fixed fee basis not to exceed $400,000. The City's share will consist only of staff time and will be absorbed by Engineering's budget. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. CHANGE ORDERS CHANGE ORDER TO CONSTRUCT PARKING LOT AT WATER RESERVOIR. (District VI) Agenda Report No. 97-1126. The City contracted with Coonrod & Associates Construction to construct a 10.6 million gallon underground water storage reservoir near the City's Hess Pump Station and immediately west of the Mid- America All Indian Center. The initial construction contract did not include constructing a parking lot. Additional, convenient parking for the Indian Center can be provided by constructing a parking lot on top of the new water reservoir. The parking lot will provide 268 additional parking spaces and will be connected to both of the other adjacent parking lots that are constructed on top of other water storage reservoirs. A Change Order to construct the parking lot has been prepared. The cost to construct the new parking lot is $415,869. The Capital Improvement Program, #W-551, Hess 10 MG Storage, has an underexpenditure of $256,858 and #W-67, Distribution Mains Replacement Program, has an underexpenditure of $170,000. The funds from #W-67 will be transferred to #W-551. Motion -- Knight moved that the Change Order be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. CHANGE ORDER FOR WATER WALK AT HYATT REGENCY HOTEL. (District VI) Agenda Report No. 97-1127. The Capital Improvement Program includes a project to improve the East Bank of the Arkansas River between Douglas and Kellogg (CIP No. CA-9210, page 7) During construction, a number of modifications were made to the original plans. The changes provide improvements to the lighting system, water pool splash control, and improved handicapped access. The Change Order amount is $50,258. The funding source is General Obligation Bonds. Funding is available within the existing budget. Motion -- Knight moved that the Change Order be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. CHANGE ORDER NO. 1 - KELLOGG/OLIVER INTERCHANGE. (District II) Agenda Report No. 97-1128. On April 29, 1997, the City Council awarded a contract to Wildcat Construction Company, Inc. to construct an interchange at Kellogg/Oliver. During construction activities six underground storage tanks were discovered at the southwest corner of Oliver and Arbor. City personnel and Kansas Department of Health and Environment were immediately notified. The tanks were removed after a certified tank removal company pumped the gas/water from the tanks and hauled it to an approved disposal site. Two hundred and three cubic yards of contaminated soil were also removed and transported to an approved site. The amount of Change Order No. 1 is $23,870.77. Funds are available in the existing project budget for this expenditure (CIP No. F-37, page 23). The funding source is State System Enhancement funds and local sales tax funds. Motion -- Knight moved that the Change Order be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. RAILROAD LICENSES BURLINGTON RAILROAD PIPELINE CROSSING LICENSES: (NORTHEAST TRANSMISSION WATER MAIN). (Districts I, II and IV) Agenda Report No. 97-1129. The Northeast Transmission Water Main route will cross the Burlington Northern Railroad at two locations, 11th and Santa Fe, and 11th and Washington. Licenses have been prepared which allow the City to construct and maintain the water line within the railroad right-of-way. Each license costs $2,500 for a total of $5,000. Funding is in the project budget. The funding source is water utility funds. Motion -- Knight moved that the License be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. PIPELINE LICENSE: CENTRAL KANSAS RAILWAY (AIRPORT ROAD WATER LINE). (District V) Agenda Report No. 97-1130. The Airport Road Water Line will cross the Central Kansas Railroad located between Irving and Pueblo. A license has been prepared which allows the City to construct and maintain the water line in Railroad right-of-way. The license costs $4,200. Funding is in the project budget. The funding source is water utility funds. Motion -- Knight moved that the License be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. SEWER CLEANING INTERCEPTOR SEWER CLEANING. (Districts I and II) Agenda Report No. 97-1131. The Master Sewer Study completed by Black & Veatch in 1992 recommended that the Water and Sewer Department remove sediment from the sewer system interceptors by contracting with private sewer cleaning companies. Cleaning interceptors increases system flow capacity and decreases surcharges and backups. Sewer system analyses conducted by George Butler Associates in 1994 and analyses by Water and Sewer Department staff have identified interceptors needing priority cleaning. The Sewer Maintenance 1997 budget includes $90,000 to clean the following 36" interceptors: * Segment A: 3,152 feet at Mosley from 17th to 15th and at 15th from Mosley to Chisholm Creek * Segment B: 3,059 feet along Chisholm Creek from 14th to 10th * Segment C: 2,990 feet along Chisholm Creek from 10th to Central * Segment D: 3,128 feet along Chisholm Creek from Central to Douglas Four contractors responded to requests for proposals: * Arrowhead Pipe Services: Bid of $84,315. Arrowhead cannot perform the work as required. Arrowhead proposed to do all the cleaning with a high pressure cleaner. In all previous sewer cleaning projects, it has been necessary to use bucket machines. Arrowhead is unwilling to bring in a bucket machine and therefore will be unable to complete the work if a high pressure cleaner is unsuccessful. Further, Arrowhead was unaware that the debris will not pass a paint filter test for landfill disposal and has no plan for managing the debris. Arrowhead staff indicated that they understand they cannot complete the work on this project and would prefer that the City not select them. * Utility Maintenance Contractors: Bid of $96,782. Utility Maintenance's work plan meets all the requirements. Other Utility Maintenance clients gave satisfactory references, and the firm has successfully performed work for the Wichita Sewer Utility. In addition, Utility Maintenance will televise the lines after cleaning, at no charge, to verify work done and inspect line condition. Arrowhead staff stated they would not televise the lines, and the cost for Sewer Maintenance staff to televise the lines would exceed $12,000. Consequently, the City would experience the same total cost whether Arrowhead or Utility Maintenance is selected. * Work Force, Inc.: Bid of $171,087. * Municipal Pipe Tool: Bid of $246,580. Staff examined the proposals and believes the submission by Utility Maintenance Contractors is the best proposal. The Sewer Maintenance 1997 budget approved by the City Council includes $90,000 to clean the interceptor segments identified above. This amount would allow complete cleaning of Segments A, B, and C and cleaning of 2,264 feet (72%) of Segment D with the Utility Maintenance Contractors proposal. Motion -- Knight moved that selection of Utility Maintenance Contractors to clean all of Segments A, B, and C and 2,264 feet of Segment D at a total cost of $90,000, be approved; and the Purchasing Manager be authorized to sign the Contract. Motion -- carried carried 7 to 0. HOMEOWNERSHIP TRAINING HOMEOWNERSHIP TRAINING CONTRACT. Agenda Report No. 97-1132. On March 4, 1997 the City Council approved the HOME allocations to be included in the City's 1997/98 Housing and Urban Development (HUD) Consolidated Plan. The Plan includes funding for a Homeownership training program to be operated by Mennonite Housing Rehabilitation Services. Under this contract, MHRS will provide homeownership training to households participating in one or more of the City sponsored homeownership programs, such as HOMEownership 80, Sale of Public Housing, and HOMEsteading. The curriculum will include credit reparation, budgeting, shopping for realtors, financing, home maintenance, inspections, insurance programs and minor home repairs. The training will be at least nine hours in total duration. Classes are offered in both English and Spanish. The total amount of the contract with MHRS is $15,000, as approved by the City Council. These funds are available through the HOME Investment Partnership and the contract obligates no general fund moneys. Motion -- Knight moved that the Contract be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. PROPERTY DISPOSITION SALE OF 1048 NORTH INDIANA. Agenda Report No. 97-1133. 1048 N. Indiana is a city owned unit in the Infill Program. The Infill Program was implemented to preserve existing housing stock while improving and stabilizing older neighborhoods. The home at 1048 N. Indiana was moved and rehabilitated as one of the houses from the McLean Boulevard widening and is being sold with assistance from the HOMEownership 80 Program. The HOMEownership 80 Program is designed to allow first- time low to moderate income families purchase homes with city assistance for down payment and closing costs, stove and refrigerator, security system and minor repair. The Program is targeted to families who might otherwise be unable to purchase a home due to down payment requirements and closing costs. The Indiana property is 832 square feet, two bedroom, one bathroom home with living room and kitchen. This home was donated to the program by the City of Wichita, Public Works Department. The property is selling for the price of $22,000. The buyer will receive two loans. The first loan is a conventional home mortgage and the second mortgage is a zero interest, deferred payment loan from HOMEownership 80. The buyer will expend approximately $600.00 of their own funds at closing. The property is being appraised by a certified appraiser in connection with the loan application process at Neighborhood Housing Services of America, Inc. Seller's estimated closing costs include $193.50 for title insurance and closing fees. 1048 N. Indiana is legally described as Lot 6, Shearer and Hoover's Addition, City of Wichita, Sedgwick County, Kansas. Motion -- Knight moved that the sale be approved and the Mayor be authorized to sign the -- carried necessary documents. Motion carried 7 to 0. PROPERTY ACQUISITION PURCHASE OF PROPERTY (RIGHT-OF-WAY) AT 13TH AND WACO (1306 NORTH WACO). Agenda Report No. 97-1134. The Waco and 13th Street Intersection Improvement Project, approved by Council on January 9, 1996, requires the partial acquisition of three tracts at three of the four corners of the intersection. These tracts include Tract #1 which is owned by John Davis. The other two tracts have previously been acquired by the City. This tract was approved for condemnation by Council action on March 18, 1997. The subject tract contains approximately 2,400 square feet and is improved with parking for vacant retail structure that was previously utilized as a QuikTrip convenience store. The taking will avoid the structure. The tract was appraised at $17,600 by the City. The owner provided an appraisal which valued the tract at $57,000. Negotiations with the own produced a compromise value of $35,000. This is slightly below the mid-point of the two appraisals. By accepting this amount the risks and costs of condemnation are avoided. The 1009 Capital Improvement Program includes funds to acquire the necessary right-of-way for the project. The funding source is General Obligation Bonds. The budget of $37,000 includes $35,000 for the acquisition and $2,000 for closing costs and title insurance. This is the final acquisition for the project. Motion -- Knight moved that the budget and the Contract be approved; and the Mayor be -- carried authorized to sign the necessary documents. TRANSFER OF FUNDS CD ROM LAW DATABASE. Agenda Report No. 97-1135. The Law Department presently relies on at least three sources in conducing legal research. Sometimes, the WestLaw on-line database service will be utilized. This service provides an exhaustive array of information; however, access is charged at a very expensive per minute charge, with additional costs for downloading information. Secondly, the Law Department maintains a comprehensive library with a number of volumes. The department library is convenient to use; however, it is relatively expensive to maintain, with annual supplemental volumes required for most every set. In addition, although voluminous, the Law Department doesn't attempt to maintain all volumes that might be necessary. Occasionally, Law staff will utilize law libraries outside City Hall. While other libraries have a greater array of sources, such research is inefficient, due to staff travel time. To facilitate research and improve the efficiency of the Law staff, new technology CD ROM services are available. Essentially, the service provides an on-site CD ROM library. In addition, the CD ROM is usually updated twice annually. The one-time purchase price of the CD ROM library and the hardware necessary to access it is estimated at $25,000. Annually an estimated $1,000 would be required for updates. The CD ROM technology would improve Law staff efficiency by providing an additional, on-site research tool. Also, reliance on the costly WestLaw service would diminish. The CD ROM technology should reduce document storage requirements and supplemental update costs by decreasing the number of volumes in the Law library. The new research technology will also be available to Municipal Court judges. The 1998 Law Department budget includes $16,250 for subscriptions and updates. It is anticipated that this annual operating expenses will be reduced somewhat with the CD ROM library. To finance the initial purchase, a transfer of $25,000 from the General Fund appropriated fund reserve to a capital project account is required. Motion -- carried Knight moved that the transfer of funds be approved. Motion carried 7 to 0. MUNICIPAL COURT, PUBLIC SAFETY INITIATIVE. Agenda Report No. 97-1136. The 1997 Budget included funding for initiatives recommended to the City Council by the Municipal Court Task Force. Some of the funded initiatives are: document imaging system hardware and software ($200,000), data management system improvements for implementing process re-engineering recommendations ($131,260) and collections privatization ($24,750). The 1997 revised budget also includes $30,000 as a contingency for higher than budgeted attendance in the Wichita Intervention Program. WIP costs were reduced and attendance did not exceed anticipated levels, so the contingency in 1997 will not be necessary to support the WIP. Due to on-going efforts to re-engineer the processes in court operations, it will not be possible to complete the Public Safety Initiative projects before year end 1997. Each of these initiatives can become more effective if the underlying processes they automate are streamlined and re- engineered first. To ensure continuity in completing these projects in 1998, it is recommended that the operating funding and the WIP contingency be transferred to a capital project. The funds are budgeted and would be expended for the appropriated purpose. Motion -- carried Knight moved that the transfer of funds be approved. Motion carried 7 to 0. PUBLIC SAFETY (POLICE) CAPITAL PROJECT. Agenda Report No. 97-1137. The 1997 budget for the Police Department includes $78,780 for building modifications to City Hall office space. These improvements will provide better service to the citizens, by reducing the difficulty in accessing Police Department officials. In addition, the improvements will allow clerical staff to be concentrated. The 1998 adopted budget includes the deletion of one position as a result of these anticipated efficiencies. Due to delays in designing the restructured office space, the modification project will not be completed prior to year end. To allow the process to be completed in 1998, it is necessary to transfer the budgeted amounts into a capital project. The funds are budgeted. The transfer will allow the funds to be expended for the budgeted purpose. Motion -- carried Knight moved that the transfer of funds be approved. Motion carried 7 to 0. FIRE DEPARTMENT EQUIPMENT REPAIRS AND REPLACEMENT. Agenda Report No. 97-1138. The Wichita Fire Department operates three 1970's vintage front line aerial (ladder) trucks. This equipment is not frequently used; however, it is essential for rescue operations in multi-floor buildings. The ladder portion was originally constructed with a 1970's technology of bearings and rollers. The rollers protect the actual ladder from damage both when the vehicle is being operated and when the ladder is being extended. Unfortunately, the original roller technology was prone to failure, which also put the ladder at risk of being damaged. In 1991, the vehicles were retrofitted with new roller repair kits, which better protected the ladders and extended the useful life of the aerials. Recently, the ladder on one truck failed to meet certification standards and was taken out of service. The problem was caused by a failure in the roller system. The manufacturer has now developed a second generation "slide block" kit to replace the roller systems and better protect the ladder units, thereby extending the life of the aerial equipment (valued at over $400,000 each). Two trucks can be retrofitted with the latest slide block technology for around $11,500 each. Also, the truck that is currently out of service requires $46,230 in repairs concurrent with the retrofit. The Fire Department budget annually funds the replacement of various capital items. In 1997, $15,000 is budgeted for an airpack tester. In 1998, $14,400 to fund 2 replacement slip-in pump units and $5,610 for 2 replacement 800 MHz radios is budgeted. The City currently shares a tester owned by the Sedgwick County Fire District. Although budgeted, the purchase of the tester will not be possible in 1997, due to delays in developing specifications. The slip-in pumps are used on 15 squad trucks to typically provide the first line of attack on fires. The 800 MHz radios are replacements for old radios or ones damaged at fires. To provide adequate fire protection in Wichita, the Fire Department has determined that three aerial trucks are needed. However, without repairs costing $46,230, only two trucks can meet certification requirements. Retrofitting the other two trucks with the latest slide block technology (costing $23,000) should reduce, in the future, the likelihood of costly repairs and down time. An investment in the repairs and retrofits will extend the useful life of the equipment, allowing the capital replacement to be deferred. Transferring an additional $35,010 from the appropriated fund reserve will allow the acceleration of the equipment replacement schedule and will enhance the reliability of essential fire equipment. The Fire Department budget includes funds for normal, routine repairs. However, significant repairs such as those required by the aerial trucks are not budgeted. All capital outlay is budgeted in the 1997 or 1998 Fire Department budgets. A transfer of funds totaling $104,240 from the General Fund appropriated fund reserve to a capital equipment repair account is recommended. Motion -- carried Knight moved that the transfer of funds be approved. Motion carried 7 to 0. LAW DEPARTMENT VICTIMS RIGHTS AND VICTIMS NOTIFICATION. Agenda Report No. 97-1139. Kansas law requires municipalities to provide notice to crime victims of certain court proceedings in conformity to the Victim's Bill of Rights contained in the Kansas Constitution and statutes. In the past the Law Department has contracted for this service. The Law Department's 1997 and 1998 budgets each included $42,966 to fund the contract. The budgeted amount for 1997 was encumbered in January, to fund the contract approved by Council in October 1996. On October 26, 1997, the City Council approved a one year extension of the contract, through October of 1998. Funding for this additional one year extension is included in the Law Department's 1998 operating budget. The victims notification contract is fully funded within the Law Department budget. The contract presently expires in October each year, rather than in December, consistent with the City's fiscal year. The City Council has approved the contract extension through October 1998. However, to more accurately reflect the contractual obligation as it has been incurred, 1997 funding should be encumbered. To provide 1997 funds for encumbrance, a transfer of $42,966 from the General Fund appropriated fund reserve would be required. The transfer will have no net effect on the General Fund balance. The contract funding is being charged against the 1997 rather than 1998 General Fund budget. Motion -- carried Knight moved that the transfer of funds be approved. Motion carried 7 to 0. (Item No. 31) SAVINGS INCENTIVE SAVINGS INCENTIVE PROGRAM. Agenda Report No. 97-1140. The City Council approved $500,000 in the 1990 budget for the establishment of a Savings Incentive Program. The program is used to finance innovative projects which result in reduced operating costs or increased revenues. Departments apply for short-term loans to implement approved projects, and use the savings or increased revenues to repay the loans. There have been eight (8) successfully completed projects resulting in on-going annual savings of $284,785. There are three departments with open SIP projects, and with opportunity through year-end savings to advance the loan repayment. The projects include a photo processor in the Police Department, electronic parking meters in Public Works, and two aerial bucket trucks in Park Landscape and Forestry. Together, these projects will create on-going annual savings of $99,460, once the loans have been fully repaid. Each of these projects allowed the permanent reduction of at least one full-time position for a total of four position reductions. Remaining payments for the Police Department are $30,740 in 1998 and $12,670 in 1999 (a total of $43,410). For the Public Works Department, remaining payments are $67,890 each in 1998, 1999, and 2000 (totaling $203,070). And for the Park Department, payments required will be $19,180 in 1998, $38,160 each in 1999, 2000, and 2001, and payments of $18,780 each in 2002 and 2003 (a total of $171,220). Using unexpended savings from these budgets ($417,700 in all) in the current year to retire these SIP projects will: 1) "free" $117,810 in 1998, $118,720 in 1999, $106,050 in 2000, $38,160 in 2001, and $18,780 in 2002 and 2003 -- years in which the General Fund is projected to be operating in a deficit position; 2) replenish funding in the SIP for financing future projects; and 3) make prudent use of cash for a one-time expense. Savings within each of the department's operating budgets would be used to finance the remaining SIP loan balances. The total amount is $417,700. Motion -- Gale moved that the use of savings to finance Savings Incentive Program -- carried projects be approved. Motion carried 7 to 0. HIGHWAY COALITION NORTH AMERICA'S SUPERHIGHWAY COALITION. Agenda Report No. 97-1141. Interstate Highway 35 is a centrally located, north-south artery that links the United States, Canada and Mexico and forms a "river of trade" across the heartland of America. This corridor carries a greater percentage of surface trade among the United States, Canada and Mexico than any other U.S. Interstate Highway. Over 74% of all goods traded between the U.S. and Mexico traverse Texas on I-35. Because of its direct connections with the Pan American Highway and its northern connections with every major east-west thoroughfare crossing the United States, I-35 is a logical and direct route for trade flow among the three nations. The North American Superhighway Coalition (NASCO) was formed to promote trade along the I-35 Corridor. Its goal is to encourage growth of businesses along the Corridor and to assure a rapid and convenient means for moving goods among the states as well as to promote easy access to markets in Mexico and Canada. In 1995, NASCO worked to ensure that President Clinton signed into law the designation of I-35 from Duluth, Minnesota to Laredo, Texas as a "High Priority Corridor." In 1998, NASCO is seeking financial support from communities along the I-35 Corridor for the purpose of engaging in activities which improve, upgrade and promote I-35. In its scope of activities, NASCO has agreed to: develop and implement a federal lobbying strategy to create a category for International Trade Corridors under the Reauthorization of the Intermodal Surface Transportation Efficiency Act; work to include I-35 in this category; and seek federal funding for this category. They will also work to identify necessary improvements to I-35 and will promote the economic impact associated with I-35 improvements. They have agreed to promote a close working relationship and coordinate their efforts with the Summit of Mayors. Additionally, NASCO will provide detailed financial reports of income and expenditures. In May, 1996, the City approved $12,500 to support the activities of NASCO. For 1998, NASCO has reduced its financial request to 5,000. Funding is available in the City's General Fund. Motion -- Knight moved that the funding and contract be approved and the Mayor be -- carried authorized to sign the Contract. Motion carried 7 to 0. (Item No. 33) LAW BLOCK GRANT LOCAL LAW ENFORCEMENT BLOCK GRANT. Agenda Report No. 97-1142. July 8, 1997, application for the Local Law Enforcement Block Grants Program was approved by the City Council. The Local Law Enforcement Block Grant Advisory Board reviewed the City Council's funding priorities and recommended: 1) the $385,837 for police equipment be used primarily to fund mobile computer terminals for police vehicles, 2) the $135,000 for enhancing the security of courts be used primarily to make security-based design modifications to City Hall, and 3) the $90,000 for crime prevention for youth be used primarily to fund a youth coordinator. Staff concurs with the advisory board recommendations. The program requires a 10 percent local cash match. The $67,871 needed to provide the cash match is budgeted in the Narcotic Seizure Fund. 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 use of block grant funds be designated as recommended, and the Mayor be authorized to sign the necessary -- carried documents. Motion carried 7 to 0. (Item No. 34) FOP AGREEMENT FRATERNAL ORDER OF POLICE (FOP) MEMORANDUM OF AGREEMENT FOR 1998-2000) Agenda Report No. 97-1143. An agreement has been reached with the Fraternal Order of Police (FOP, Lodge #5, for a three-year (1998-2000) labor agreement. The Agreement includes a 9.5 percent salary increase over the three-year period. Bonuses are included for 1998. The Agreement also includes a revised salary structure for non-commissioned personnel along with increases for specialized classifications such as Bomb Tech, Field Training Officer, and Field Training Sergeants. Additional time will be authorized for Union business and compensation for bilingual skills will be authorized in 1999. A number of management language proposals and housekeeping changes have been incorporated into the Agreement. The cost to implement the first year of the agreement is $1,137,630. Funding is available through the under expenditure in the Police budget and within the 1998 appropriations for this purpose. Funding for the second and third years of the agreement will be programmed into future budgets. Motion -- Knight moved that the Agreement be approved and the Mayor be authorized to -- carried execute. Motion carried 7 to 0. CONDEMNATIONS RESOLUTION SETTING HEARING FOR REPAIR OR REMOVAL OF DANGEROUS AND UNSAFE STRUCTURES. Agenda Report No. 97-1144. On December 1, 1997, the Board of Code Standards and Appeals (BCSA) held a hearing on the following property. The property is considered a dangerous and unsafe structure, and is being presented to schedule a condemnation hearing before the Governing Body. Improvement notices have been issued on the structure, however, compliance has not been achieved. Pre-condemnation and formal condemnation letters were issued and the time granted has expired. No action has been taken to repair or remove the property at 422 North Doris (Council District IV). Motion -- Knight moved that the Resolution Setting Hearing for February 3, 1998, at 11:00 -- carried a.m. be adopted. Motion carried 7 to 0. RESOLUTION NO. R-97-458 A Resolution fixing a time and place and providing for notice of a hearing before the Governing Body of the City of Wichita, at which the owner, his agent, lienholders of record and occupants of the structure located on land described as: Lot 15, Block 5, Fruitvale Park, Sedgwick County, Kansas, known as 422 North Doris in said City may appear and show cause why such structure should not be condemned and ordered repaired or demolished as a dangerous or unsafe structure, presented. Knight moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. SFMRB 1985 A RESOLUTION APPROVING AND CONSENTING TO THE TRUSTEE'S PROPOSAL FOR NON-ARBITRAGE CALCULATION IN CONNECTION WITH THE RETIREMENT OF CITY OF WICHITA SINGLE FAMILY MORTGAGE REVENUE BONDS, 1985 SERIES A. Agenda Report No. 97-1145. In 1985 the City issued its Single Family Mortgage Revenue Bonds, 1985 Series A, in the aggregate principal amount of $25,000,000 (the "Bonds"). The Bank of New York, as agent for NationsBank, the Trustee under the Indenture relating to the Bonds, is now in the process of calling for redemption the last of the outstanding Current Interest Term Bonds issued under the Indenture. In order to comply with Section 103(a) of the Internal Revenue Code of 1954, the Bank of New York has requested the City to approve its request to have the firm of Gilmore & Bell, P.C., review the relevant documents and perform the final arbitrage rebate calculation. The Trust Indenture governing the Bonds contains tax covenants directed at maintaining compliance with applicable provisions of the Internal Revenue Code, including the rules relating to calculation and rebate of any arbitrage earnings. The Bank of New York's request is consistent with the intent of such covenants. The cost of the arbitrage rebate calculation will be payable from funds available in the Program Expense Fund established in relation to the 1985 Series A Bonds. Motion -- carried Knight moved that the Resolution be adopted. Motion carried 7 to 0. RESOLUTION NO. R-97-462 A Resolution approving and consenting to the trustee's proposal for non-arbitrage calculation in connection with the City of Wichita Single Family Mortgage Revenue Bonds, 1985 Series A, presented. Knight moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. CITY LIMITS RESOLUTION ANNUAL CITY LIMITS PERIMETER RESOLUTION. Agenda Report No. 97-1146. Kansas State Law (K.S.A. 12-517) requires the City adopt a Resolution defining the boundaries after incorporating all changes made through annexation or exclusions of territory since January 1st of each calendar year. During 1997, thirty tracts of land were annexed to the City, with three of those being unilateral annexations of multiple parcels. An additional annexation request was initiated in 1997, however, the ordinance will not be officially published until 1998 and will be credited to the 1998 annexation total. Motion -- carried Knight moved that the Resolution be adopted. Motion carried 7 to 0. RESOLUTION NO. R-97-463 A Resolution declaring, establishing, and defining the City limits and boundaries of the City of Wichita, Kansas, after all annexations of territory since January 1, 1997, presented. Knight moved that the Resolution be adopted. Motion carried 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. ORDINANCES SECOND READING ORDINANCES. (First reading December 9, 1997) a. IRB - Cessna Aircraft. (District III & V) ORDINANCE NO. 43-652 An Ordinance authorizing the City of Wichita, Kansas, to issue its taxable industrial revenue bonds, Series XVII, 1997 (The Cessna Aircraft Company), in the aggregate principal amount of not to exceed $64,000,000 for the purpose of purchasing, acquiring, construction, and installing an industrial and commercial facility; authorizing execution of a seventh supplemental trust indenture by and between the City and Intrust Bank, N.A., Wichita, Kansas (successor trustee to Boatmen's National Bank (formerly Bank IV, National Association)), Wichita, Kansas, as trustee with respect to the Series XVII,1997 bonds; authorizing the City to lease said project to the Cessna Aircraft Company; authorizing the execution of a seventh supplemental lease by and between the City and the Cessna Aircraft Company; and authorizing the execution of a bond purchase agreement by and between the City and the Cessna Aircraft Company, as purchaser of the bonds, 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. b. IRB - Park West Plaza. (District V) ORDINANCE NO. 43-651 An Ordinance amending Ordinance No. 43-635 of the City of wichita, Kansas, pertaining to 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, construction, 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 and to pay certain costs of issuance; 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 and authorizing execution of a lease of the project between said issuer and Park West Plaza, L.L.C.;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., Birchtree financial Services, Inc., as underwriter of the bonds,and repealing Ordinance No. 43-635 of the City of Wichita, Kansas, 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. c. Ad Valorem Tax Exemption - United Machine. (District I) ORDINANCE NO. 43-653 An Ordinance exempting property from ad valorem taxation for economic development purposes pursuant to Article 11, Section 13, of the Kansas Constitution; providing the terms and conditions for ad valorem tax exemption; and describing the property of United Machine Company, Inc., so exempted, 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. d. Appropriating the 1998 Budget and Ratifying 1997 Payments. ORDINANCE NO. 43-654 An Ordinance appropriating the amounts set up in each fund in the budget; providing for the payment of all claims and charges against the accounts provided for therein; and approving and ratifying the payment of all claims against the accounts, 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. e. Z-3258 - (2673 S. Holyoke) (District III) ORDINANCE NO. 43-655 An Ordinance changing the zoning classifications or districts of certain lands located in the City of Wichita, Kansas, under the authority granted by Section 28.04.210, the Code of the City of Wichita, Kansas, 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. Z-3258 f. CU-459 - (2673 S. Holyoke) (District III) ORDINANCE NO. 43-656 An Ordinance authorizing a conditional use to allow a vocational school on 0.27 acres zoned "GO" General Office on certain lands located in the City of Wichita, Kansas, under the authority granted by the Wichita-Sedgwick County Unified Zoning Code, Section V-D, as adopted by City of Wichita Code Section 28.04.010, 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. g. Annexation A 97-30 (North of Kellogg, East of 151st West). (District V) ORDINANCE NO. 43-657 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, 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. A 97-30 h. DR 97-11 (Landscape Ordinance) ORDINANCE NO. 43-658 An Ordinance providing amendments to Section 10.32.030 and Section 10.32.040 of the Code of the City of Wichita dealing with landscaping and parking lot screening, specifically required buffers for new multi-family or manufactured home park developments and repealing the original of said Sections, read for the second time. Knight moved that the Ordinance be placed upon its passage and adopted. Motion carried 6 to 1. Yeas: Cole, Ferris, Gale, Lambke, Rogers, Knight. Nays: Kamen. i. DR 97-11 (Unified Zoning Ordinance) ORDINANCE NO. 43-659 An Ordinance providing amendments to Section IV.B.2; Section IV.B.3.a, and Section IV.B.3.b of the Wichita-Sedgwick County Unified Zoning code, (June 19, 1997, Edition), as adopted by reference in City of Wichita Code Section 28.04.010 by Ordinance No. 43-558, dealing with site development regulations, specifically screening and buffering requirements for new multi- family and manufactured home park developments, read for the second time. Knight moved that the Ordinance be placed upon its passage and adopted. Motion carried 6 to 1. Yeas: Cole, Ferris, Gale, Lambke, Rogers, Knight. Nays: Kamen. j. Z-3251 (south side of Maple, west of Maize Road). (District V) ORDINANCE NO. 43-660 An Ordinance changing the zoning classifications or districts of certain lands located in the City of Wichita, Kansas, under the authority granted by Section 28.04.210, the Code of the City of Wichita, Kansas, 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. Z-3251 SEWER UTILITY RATE SEWER UTILITY RATE ORDINANCE. (All Districts) Agenda Report No. 97-1147. On November 18, 1997, the City Council approved a 5% sewer rate increase in the 1998/1999 budget. There was a 5% sewer rate increase in 1995. The Black & Veatch Review recommended a 5% increase in 1998. Future adjustments will be governed by capital investments required and the fiscal condition of the utility. The Ordinance is required for the approved 5% sewer utility rate increase. Debt service payments for the 1997 revenue bonds begin in 1998. Future rate increases will be analyzed by staff and consulting engineers. Motion -- Knight moved that the Ordinance be placed on first reading. Motion carried -- carried 7 to 0. ORDINANCE An Ordinance amending Section 16.14.040 of the Code of the City of Wichita, Kansas, relating to the schedule of sanitary sewer rates, and repealing the original of Section 16.14.040, introduced and under the rules laid over. PLANNING AGENDA V-1964 V-1964 - PUBLIC HEARING: REQUEST TO VACATE STREET RIGHT-OF-WAY LOCATED IN AN AREA SOUTH OF TAFT AND WEST OF ST. CLAIR. (District VI) Agenda Report No. 97-1148. MAPC Recommendation: Approve vacation of street right-of-way. Staff Recommendation: Approve vacation of street right-of-way. Utility Easement beginning at the NE corner of Lot 91 on Power Street (now Sedgwick Avenue as platted in University Place Addition by Friends University. Drainage Easement beginning at the intersection of the east line of Lot 106 on St. Clair Street as platted in University Place Addition by Friends University. Restrictive Covenant for Lots 91 through 109, odd inclusive, on St. Clair Avenue, University Place Addition by Friends University. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation and documents be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order and the documents be recorded with the Register of -- carried Deeds. Motion carried 7 to 0. V-2041 V-2041 - PUBLIC HEARING: REQUEST TO VACATE A PORTION OF A PLATTED BUILDING SETBACK LOCATED ON THE EAST SIDE OF MCLEAN BOULEVARD AND SOUTH OF BENJAMIN STREET. (District V) Agenda Report No. 97-1149. MAPC Recommendation: Approve vacation of a platted building setback. Staff Recommendation: Approve vacation of a platted building setback. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order be recorded with the Register of Deeds. Motion carried -- carried 7 to 0. V-2044 V-2044 - PUBLIC HEARING: REQUEST TO VACATE ACCESS CONTROL LOCATED IN THE NORTHWEST CORNER OF 35TH STREET NORTH AND WEBB ROAD. (District II) Agenda Report No. 97-1150. MAPC Recommendation: Approve vacation of access control. Staff Recommendation: Approve vacation of access control. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order be recorded with the Register of Deeds. Motion carried -- carried 7 to 0. V-2045 V-2045 - PUBLIC HEARING: REQUEST TO VACATE PARTIAL BUILDING SETBACK LINE LOCATED IN AN AREA NEAR 47TH STREET SOUTH AND PALISADE AVENUE. (District IV) Agenda Report No. 97-1151. MAPC Recommendation: Approve vacation of partial building setback line. Staff Recommendation: Approve vacation of partial building setback line. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order be recorded with the Register of Deeds. Motion carried -- carried 7 to 0. V-2046 V-2046 - PUBLIC HEARING: REQUEST TO VACATE PARTIAL BUILDING SETBACK LINE LOCATED IN AN AREA SOUTH AND EAST OF 119TH STREET AND CENTRAL. (District V) Agenda Report No. 97-1152. MAPC Recommendation: Approve vacation of a partial building setback line. Staff Recommendation: Approve vacation of a partial building setback line. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order be recorded with the Register of Deeds. Motion carried -- carried 7 to 0. V-2049 V-2049 - PUBLIC HEARING: REQUEST TO VACATE A PORTION OF A PLATTED DRAINAGE EASEMENT LOCATED IN AN AREA NORTH OF MORRIS BETWEEN CRANBROOK AND LINDBERG AND BETWEEN LINDBERG AND TODD. (District II) Agenda Report No. 97-1153. MAPC Recommendation: Approve vacation of drainage easement. Staff Recommendation: Approve vacation of drainage easement. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order be recorded with the Register of Deeds. Motion carried -- carried 7 to 0. V-2051 V-2051 - PUBLIC HEARING: REQUEST TO VACATE A UTILITY EASEMENT LOCATED IN AN AREA WEST OF WALDEN DRIVE SOUTH OF BRAMBLEWOOD. (District I) Agenda Report No. 97-1154. MAPC Recommendation: Approve vacation of utility easement. Staff Recommendation: Approve vacation of utility easement. Marvin Krout Director of Planning reviewed the Item for the City Council. The notice of hearing was published twice and no written protest had been filed. Mayor Knight Mayor Knight inquired if anyone wished to be heard on this Item and no one appeared. Motion -- Knight moved that the public hearing be closed, the vacation be approved as recommended, the Mayor be authorized to sign the Vacation Order, and a certified copy of the Order be recorded with the Register of Deeds. Motion carried -- carried 7 to 0. S/D 97-68 S/D 97-68 - PLAT OF WEST TOWNE INDUSTRIAL ADDITION LOCATED ON EAST SIDE OF HARRY AND SOUTH OF PUEBLO. (District V) Agenda Report No. 97-1155. MAPC Recommendation: Approve the plat. Staff Recommendation: Approve the plat. The site was approved for a zone change from Single- Family Residential to Limited Industrial. A petition, 100%, has been submitted for sanitary sewer improvements along with a Certificate of Petition. The site is within the noise impact area of the Mid-Continent Airport and an avigational easement and restrictive noise covenant were required to be submitted. As required by the drainage plan for this site, a cross-lot drainage agreement was also submitted. This plat has been reviewed and approved by the Planning Commission, subject to conditions and recording within thirty (30) days. Avigational Easement, Restrictive Covenant, Drainage Agreement, and Certificate of Petition for Lots 1 through 4, inclusive, West Town Industrial Addition, from Industrial Assets, by Randall J. Voth, Partner. 100 Percent Petition for construction of Lateral 389, Southwest Interceptor Sewer (east of Hoover, north of Harry) (Project No. 468- 82797) $44,000 S.A. Motion -- Knight moved that the Petition be approved and the Resolution be adopted; the documents be received and filed and recorded with the Register of Deeds; the plat be approved as recommended and the Mayor be authorized to sign; and the associated zone change Z-3250 Ordinance be placed on first reading with publication of the Ordinance being withheld until such time as the plat has been -- carried recorded with the Register of Deeds. Motion carried 7 to 0. RESOLUTION NO. R-97-464 Resolution of findings of advisability and Resolution authorizing construction of Lateral 389, Southwest Interceptor Sewer (east of Hoover, north of Harry) (Project No. 468-82797) 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 7 to 0. Yeas: Cole, Ferris, Gale, Kamen, Lambke, Rogers, Knight. ORDINANCE An Ordinance changing the zoning classifications or districts of certain lands located in the City of Wichita, Kansas, under the authority granted by Section 28.04.210, the Code of the City of Wichita, Kansas, introduced and under the rules laid over. Z-3250 S/D 96-29 S/D 96-29 - PLAT OF WOODLAND HILLS SECOND ADDITION LOCATED WEST OF 151ST STREET WEST AND NORTH OF CENTRAL AVENUE. Agenda Report No. 97-1156. MAPC Recommendation: Approve the plat. Staff Recommendation: Approve the plat. This site is zoned Single-Family and located in the County within three miles of the City's limits. The development has been approved by the Health Department for the use of on-site sanitary sewer and water facilities. This plat has been reviewed and approved by the Planning Commission, subject to conditions and recording within thirty (30) days. Motion -- Knight moved that the plat be approved as recommended and the Mayor be -- carried authorized to sign. Motion carried 7 to 0. A 97-33 A97-33 - REQUEST TO ANNEX ELIGIBLE PROPERTY GENERALLY LOCATED AT THE SOUTHEAST CORNER OF 21ST STREET NORTH AND GREENWICH ROAD. (District II) Agenda Report No. 97-1157. Christopher Young, agent for Eastside Community Limited Partnership, has requested that property located south of 21st Street North and east of Greenwich Road be annexed into the City of Wichita. The property to be annexed is bordered on the northwest by the current City boundary. The final plat for this land was recently approved by the Metropolitan Area Planning Commission. The approved plat includes the development of a church on this site and consists of approximately 34.92 acres. The site is currently undeveloped, with the surrounding property being mainly commercial and agricultural in character. A zone change request to reconfigure the commercial zoning at this intersection was approved by the MAPC and by the Sedgwick County Board of Commissioners, resulting in zoning classifications of "SF-6" Single Family Residential and "LC" Limited Commercial with a Protective Overlay on the entire site. Adjoining County land to the north is zoned "LC" and "SF-20" and is currently undeveloped, however two plats have been approved for this area by the MAPC which include the development of a multi- screen movie theater and a cemetery. Adjoining County land to the south is zoned "SF-20" Single Family Residential and is used for agricultural purposes. Adjoining County land to the west is zoned "SF-20," with approximately 8 acres of "LC" on the corner and is currently undeveloped. Adjoining County land to the east is zoned "SF-20" and has been platted for a church site. Adjoining City land to the northwest is currently zoned "LC and "SF-20," however a zone change to "LC" and "LI" Limited Industrial has been approved by the MAPC, pending the submission of an approved development plan for the Greenwich Business Park. The City Engineer's office indicates that City water and sewer service are available to serve this site from existing lines in 21st Street. However, the applicant will be responsible for installing a parallel water line along the main in 21st Street. The applicant has agreed to extend sewer service along the 21st Street frontage of this site and to grant an easement along Greenwich Road for the future expansion of sewer to the south. The applicant will be solely responsible for all costs involved in connecting existing water and sewer lines. The property has access to 21st Street and Greenwich Road. 21st Street is currently a 2-lane section line arterial, with construction underway to improve it to a 4-lane arterial, with right and left turn lanes at Greenwich Road from the city limits east to 143rd Street East. The current average daily trips (ADT) figure for 21st Street is 10,048,with the 2020 Transportation Plan projecting this number to increase to 13,019 ADT by the year 2020. The property also has access to Greenwich Road, which is a paved 2-lane section line road. Construction is currently underway to add additional turn lanes at this intersection. The current ADT for Greenwich Road is 2,160, with that figure projected to increase to 5,058 by the year 2020. Both of the improvement projects in this area are being undertaken by Sedgwick County. The Sedgwick County Fire Department, operating under the City and County Fire Department's first responder agreement would be first to respond to any emergency at this site. The nearest station is County Fire Station No. 38, located at 1010 N. 143rd Street East, which can serve this site with an approximate 4 to 5 minute response time. Upon annexation, police protection will be provided to the area by the Patrol East Bureau of the Wichita Police Department which is headquartered at 21st Street North and Hillside. This area is located approximately 3 1/2 miles from Eastview Park, which is 19.98 acre community park located at 1544 N. Governeour and is developed with an exercise trail, softball diamond, tennis courts, soccer field, playground and parking. The area proposed for annexation is located within 1 mile of an area identified as a potential future park site by the Park and Open Space Master Plan. The property is located in Unified School District 259 (Wichita Public School District). Annexation will not change the school district. This property is located within the urban growth area of the City of Wichita as delineated by the Comprehensive Plan for the metropolitan area, and is also inside the Policy 32 urban service area. In the future, the site will not bring in substantial revenue to the City, due to the tax-exempt status of the development. However, on the basis of the foregoing information, the annexation of this property does not appear to result in future extraordinary expenses to the City-at-large. The property is eligible for annexation under K.S.A. 12- 520 (7) of State Law. 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-97-33 OFF AGENDA ITEM COMMITTEE ON YOUTH COMMITTEE ON YOUTH. Motion -- Knight moved that the rules be set aside and an Item be taken up off the Agenda. -- carried Motion carried 7 to 0. Council Member Kamen Council Member Kamen said one of the good ideas that came from the Pennsylvania League of Municipalities Conference was a Committee on youth. Some of the input the Committee on Youth could provide would be: 1. How to keep youth in Wichita 2. Youth authority on computers - use knowledge 3. How to involve youth in community Council Member Kamen requested Staff and Council Member Comments be submitted to him. OFF AGENDA ITEM TECHNOLOGY/INNOVATIONS TECHNOLOGY/INNOVATIONS Motion -- Knight moved that the rules be set aside and an Item be taken up off the Agenda. -- carried Motion carried 7 to 0. Mayor Knight Mayor Knight stated that it would be very helpful to have someone like Council Member Kamen look at technology challenges and opportunities that are basic - particularly as they relate to City Government. There are staff persons who are fully engaged in these technologies but the information does not always get to those elected and to citizens. Mayor Knight said he would press Council Member Kamen to see whether he would chair something along this line. Mayor Knight said that some time after the first of the year, he would like to bring back a proposal for Council consideration. 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 pending and potential litigation, and legal advice; preliminary discussions relating to the acquisition of real property for public purposes; and the regular meeting be resumed no sooner than 1:45 p.m. in the City -- carried Council Chambers. Motion carried 7 to 0. RECESS Council recessed at 12:35 p.m. and reconvened in regular session at 1:50 p.m. Mayor Knight Mayor Knight announced that no action was necessary as a result of the executive session. ADJOURNMENT The City Council meeting adjourned at 1:50 p.m. Pat Burnett City Clerk COUNCIL PROCEEDINGS JOURNAL 165 DECEMBER 16, 1997 Page 1