CITY COUNCIL MEETING
Tuesday, September 6, 2005 7:00 p.m.
Public Safety Building
3925 W Cedar Hills Drive, Cedar Hills, Utah
Present: Mayor Mike McGee, Presiding
Council Members: Jim Perry, Darin Lowder, James Parker, Rob Fotheringham, Melissa Willie (7:37 p.m.)
Konrad Hildebrandt, City Manager
Kim Holindrake, City Recorder
David Bunker, City Engineer
Rodney Despain, City Planner
Courtney Hammond, City Meeting Transcriber
Others: Eric Johnson, Zonda Perry, John Musto, Cliff Chandler, Carl Volden, Shawn Richins, Derek Warnick, Caleb Warnock, Laura Lewis-Lewis Young, Mark McDonald, Randy McDonald, Charelle Bowman, Trent Thayne, Jerry Jacobs, Becky Richards, Brent Uibel, David Lone, David Kirkpatrick, Chris Sessions, Tyler Gentry, Scott Holmes, Brad Mock, Bryce Payton, Dennis Thayne
1. This meeting of the City Council of the City of Cedar Hills, having been posted throughout the City and the press notified, was called to order by Mayor McGee at 7:35 p.m.
Invocation given by C. Lowder
Pledge of Allegiance
2. Public Issues for Future Agendas (7:37 p.m.)
• Becky Richards: Ms. Richards was concerned with the intersection of Canyon Road and Ironwood Drive. There is no turn lane and she has witnessed many near accidents. Cars come to quick stops to make the turn and some mistake the dividing line for a turning lane and pull into oncoming traffic. Canyon Road is a state road and any changes need to go through them. David Bunker will check with UDOT regarding the concerns.
• Brent Uibel: Mr. Uibel is also concerned with the lack of turn lane into Juniper Heights. He would like an attached notification on the Ivory Homes sign to potential buyers to let them know that Bayhill Drive is the access road for Phase 2. Right now roadblocks bar the other access. David Bunker said that a sign can be put out to alert construction vehicles, but not necessarily residents. Once the new phase begins to frame homes, the barricades will have to be removed due to fire safety.
3. Approval of the Minutes from the August 16, 2005, Regular City Council Meeting (7:43 p.m.)
MOTION: C. Perry - To approve the minutes from the August 16, 2005, Regular City Council Meeting, as amended. Seconded by C. Fotheringham.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
4. Review/Action on a Financial Advisor (7:46 p.m.)
See handouts. Konrad Hildebrandt reported that the City Council requested bids for a financial advisor. There are three major financial advisors in Utah: Zions Bank, Wells Fargo Bank and Lewis, Young, Robertson, & Burningham. Zions Bank did not want to participate in the RFP process. Wells Fargo did not submit a bid either. Laura Lewis of Lewis Young was present to answer questions about their bid. Lewis Young is an independent financial advisor that serves municipalities. She said the City could get rated, but an analysis would need to be done to determine whether the better interest rate would be worth the cost of getting rated. Eric Johnson, the City Attorney, recommended Lewis Young. He said that the other financial advisors, Zions Bank and Wells Fargo Bank, look at every transaction from a different point of view than an independent firm because they might be bidding on the bonds. C. Fotheringham asked for a fee schedule of estimated costs.
MOTION: C. Fotheringham - To formally request a fee schedule in anticipation of formally contracting Lewis, Young, Robertson, & Burningham as the City’s financial advisors. Seconded by C. Parker.
The Mayor pointed out that Lewis Young is the only choice because the other two firms did not participate in the bid process. C. Fotheringham said that he wants to see the fee schedule before handing out a blank check. Eric Johnson said that if the parameters document is approved tonight, the City would want the financial advisor to begin immediately. Laura Lewis said that she could commit to $4–5 a bond for a $6–6.5 million transaction. That would be between $25,000–30,000. She also said that she would work in anticipation that a formal contract would be adopted and the contract could be terminated with 30 days notice.
Nay-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion fails.
MOTION: C. Fotheringham - To contract Lewis, Young, Robertson, & Burningham as the City’s financial advisors for debt financing with the cap of $30,000 for services. Seconded by C. Parker.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
5. Review/Action on Release of Durability for Juniper Heights, Plats A, B, and E (8:20 p.m.)
See handouts. Staff has walked through Juniper Heights, Plats A, B and E. All improvements have been installed per development regulations and agreement. All items that needed to be corrected have been corrected. The subdivision has exceeded the two-year durability period. David Bunker said he would check on resident Charelle Bowman’s complaint of a crack in the sidewalk over her sewer. Resident Brent Uibel said that there has been some settling in his front yard that might be related to storm drainage. The City does not have the equipment it needs to determine whether the settling was caused by storm drainage.
MOTION: C. Parker -To approve final acceptance of subdivision improvements of Juniper Heights Plats A, B and E and release of the durability bond subject to: 1) Submission of lien releases, 2) As-build drawings, and 3) Receipt of payment for any and/or all outstanding accounts for said plats. Seconded by C. Lowder.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
6. Review/Action on Boundary Adjustment for Thayne Property Located at Approximately 9675 N Canyon Road (8:29 p.m.)
See handouts. Mr. Thayne is requesting a boundary adjustment into Pleasant Grove for services. David Bunker reported that his property was not legally subdivided. The City’s Annexation Policy Declaration includes this parcel in Cedar Hills. This parcel could be serviced through the City’s water system as a flag lot. Sewer service could be obtained through an easement to the south. Rodney Despain said that this type of boundary adjustment should start with a resolution of intent from Pleasant Grove City. Mr. Thayne put in a petition to annex into Pleasant Grove and Pleasant Grove City sent him to find out if Cedar Hills was interested. Rodney Despain stated that boundary adjustments are agreements between two municipalities. Individual residents should not be players. Rodney Despain suggested meeting with Pleasant Grove. Mayor McGee has been meeting with the Pleasant Grove Mayor to work out these boundary disputes. C. Perry said that addressing the issue one lot at time makes the situation worse.
MOTION: C. Perry - To table this item pending discussion between City staff and elected officials of Pleasant Grove. Seconded by C. Parker.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
7. Review/Action on Appointment to the Planning Commission (8:48 p.m.)
See handouts. There is a vacancy on the Planning Commission because Brendon Dayton resigned. There are two applicants: Jerry Jacobs and Gary Maxwell. C. Parker said that he felt Jerry Jacobs application was more thoughtful and complete. Gary Maxwell has visited with Mayor McGee. Mayor McGee’s recommendation is to appoint Gary Maxwell to the position. Jerry Jacobs came to the meeting but had to leave early.
MOTION: C. Fotheringham - To affirm Mayor McGee’s recommendation and appoint Gary Maxwell to the Planning Commission as the second alternate. Seconded by C. Perry.
Aye-C. Fotheringham
C. Lowder
C. Perry
C. Willie
Nay - C. Parker Motion passes.
8. Review/Action on Authorization of the Notice of Intent and Issuance of Approximately $6,500,000 of General Obligation Bonds Series 2005 (8:55 p.m.)
See handouts. The June 28 Special election approved the proposition to provide general obligation bonds for the golf course. The protest period for the election is 40 days after the results were canvassed, which has expired. This resolution sets forth the parameters on which the City could consider issuing bonds. The bonds cannot exceed $6.6 million, at a rate not to exceed 7.5 percent per annum, to mature in not more than 30 years and to be sold at a price not less than 97.5 percent of the total principal amount.
MOTION: C. Perry - To approve Resolution 9-6-2005A, a Resolution Authorizing the Issuance and Sale of Not More than $6,600,000 Aggregate Principal Amount of General Obligation Refunding Bonds, Series 2005 of the City of Cedar Hills, Utah County, Utah; Fixing the Maximum Aggregate Principal Amount of the Bonds, the Maximum Number of Years over Which the Bonds May Mature, the Maximum Interest Rate Which the Bonds May Bear, and the Maximum Discount from Par at Which the Bonds May Be Sold; Providing for the Publication of a Notice of Bonds to Be Issued; Providing for the Running of a Contest Period; and Related Matters. Seconded by C. Lowder.
Eric Johnson stated that no one will want to purchase the bonds until the 30-day protest period expires. At any point after that, the City could issue the bonds. Before that occurs, the City would want to get graded and get bond insurance. That would take 30-60 days. Then there would be a public auction with an electronic bidding system. The City gets the lowest and best bid. The bidding date would be the date of sale. Eric Johnson recommended that if bonds are not issued within 18-24 months, the Council should adopt a new parameter resolution. If a lawsuit was filed to protest the legality of the issuance, no underwriters would bid until the issue was resolved. Utah law provides for lawsuits pertaining to bonds get expedited.
Vote taken by roll call.
Aye-C. Lowder
C. Perry
C. Willie
Nay-C. Fotheringham
C. Parker Motion passes.
C. Lowder asked those that voted nay to state their reason for doing so. C. Parker stated that he voted against the motion because of a philosophical belief that the City should not be committing the property taxes of the citizens to pay for the golf course.
9. Review/Action on Recreation Feasibility Study (9:20 p.m.)
See handouts. Konrad Hildebrandt reported that the City’s 2004/2005 budget allowed for a recreation facility feasibility study. The City has been approached by the YMCA to assist in the funding of a new center. Both American Fork and Pleasant Grove have indicated that Cedar Hills will need to pay nonresident rates in the future to participate in programs. The City collects Recreation Facility Impact Fees and is required to spend or refund those fees within a certain period of time. There is currently $2 million in the fund. At build out, it will be at about $3.5 million. Alpine is promoting a North Utah County Recreation District. Staff recommends that the City Council re-appropriate $25,000 of Recreation Facility Impact Fee money to either an individual study or one in conjunction with the cities of Highland and Alpine. An informal task force for a recreation district includes representatives for Cedar Hills, Alpine, Highland, Pleasant Grove, American Fork, Lindon and the Alpine School District. David Kirkpatrick attended for Cedar Hills. C. Perry pointed out that proximity of such a facility is important. C. Lowder said he would first like to know what the City can do on its own before looking at joining with other cities. Konrad Hildebrandt stated that this type of feasibility study would cover that type of analysis. C. Parker said he would rather spend the money after the task force has made some progress. Konrad Hildebrandt said the feasibility study would answer many questions: 1) What the community wants, 2) What the City can provide, 4) How far people are willing to drive, etc. Eric Johnson works with cities in creating special service districts. He said that the best options for working with other cities would be a special service district or an interlocal agency. A special service district has the ability to tax. An interlocal agency could be authorized to impose a tax but sponsoring agencies are often reluctant to give them that power.
MOTION: C. Lowder - To approve appropriating $25,000 for the completion of a recreation facility feasibility study with the potential involvement of our neighboring cities. Seconded by C. Parker.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
MOTION: C. Lowder - To move Item #11 before Item #10. Seconded by C. Perry.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
11. Review/Action on Youth Recreation Programs - Junior Jazz (9:50 p.m.)
See handouts. Konrad Hildebrandt reported that the Utah Jazz organization requires participation through cities because of the liability umbrella that cities provide. Eric Johnson has no experience with this but will look into the matter. A volunteer has approached the City to oversee the program. This program is for second grade Junior Jazz. There is a possibility the program will cost the City about $300. C. Perry said he wants to ensure that our City liability umbrella covers a program run by a volunteer. Kim Holindrake said that volunteers are covered as long as they work within the parameters set by the City.
MOTION: C. Willie -To approve the operation of a Junior Jazz program and the additional incremental costs not to exceed $500. Seconded by C. Lowder.
C. Fotheringham said that he would prefer to set the registration costs so that the City does not have to absorb any cost.
Aye-C. Lowder
C. Perry
C. Willie
Nay-C. Fotheringham
C. Parker Motion passes.
10. Review/Action to Amend the City Code, Title 1, Chapter 11, Procurement Policy (10:12 p.m.)
See handouts. Konrad Hildebrandt stated that the current purchasing policy was amended and adopted on August 19, 2003. The policy is annually reviewed by auditors and complies with all State requirements. C. Fotheringham brought this to the table because he felt that the purchasing limit in the purchasing policy is too high. He is concerned that there are not controls to prevent individual employees from being able to buy and hide purchases. Konrad Hildebrandt stated that the City uses a P.O. system and requires departmental approval for any purchases more than $500. C. Perry suggested that those types of purchases be put on the Monthly Management Report.
12. Review/Action on Appointment of Election Judges for the 2005 Municipal Primary and General Elections (10:17 p.m.)
See handouts. Kim Holindrake reported that there are now four precincts. The Primary Election will be on October 4 with the General Election on November 8. Ralph and Eileen Walker can be added as counting judges. The staff is still looking for two more counting judges.
MOTION: C. Perry - To appoint these residents as Election Judges for the Municipal Primary and General Elections. Seconded by C. Lowder.
Aye-C. Fotheringham
C. Lowder
C. Parker
C. Perry
C. Willie Motion passes.
13. City Manager Report and Discussion (10:21 p.m.)
• There is a scheduled City Council meeting for October 4, the day of the Primary Election. Mayor McGee will have the meeting moved to October 11.
• Through the attorney, the City is sending a letter to those responsible for the landslide to move forward with plans for testing and mitigation. They are currently interpolating the data. They are bickering about the payment to the residents.
• There is a team of Code Enforcement officers led by Sergeant Richins. He leads a team of off-duty officers. The Management Report will include letters and citations made by the team.
• The speed trailer has been on Canyon Road and Harvey Boulevard. C. Fotheringham would like to see a proposed plan to assess all the major streets in the City. He also suggested a security camera on the trailer and in other places where there is known vandalism.
• The Pleasant Grove postmaster gave the City criteria for having their own zip code. Mayor McGee is working on it.
14. Board and Committee Reports (10:37 p.m.)
• C. Parker: The Planning Commission had three work sessions in August to work on the sign ordinance. At the regular meeting they addressed two different landscaping ordinances. One dealt with water conservation, the other dealt with landscaping of lots. Rodney Despain is revising the ordinances.
• C. Perry: A retirement package for employees was passed at the UTOPIA board meeting. They introduced some more providers. A discussion of an ordinance for conduit needs to be on a future agenda.
• C. Willie: The progress of the animal shelter is tied up with the County.
• Mayor McGee: The Council of Governments (COG) meeting addressed transportation. Canyon Road is on Mountainland’s10-year plan and 4800 West is on the 20-year plan. UDOT feels 4800 West should be a main artery instead of Canyon Road. They would like to transfer Canyon Road to the County and 4800 West to a State road.
15. Motion to go into Executive Session, Pursuant to Utah State Code 52-4-5
Executive Session held during Work Session.
16. Motion to Adjourn Executive Session and Reconvene City Council Meeting
17. This meeting was adjourned at 10:47 p.m. on a motion by C. Willie, seconded by C. Perry and unanimously approved.
/s/ Kim E. Holindrake
Approved by Council: Kim E. Holindrake, City Recorder
September 20, 2005