PUBLIC HEARINGS

Park and Recreation Director Jerry Sepich reported that prior to the relocation of the Park and Recreation Department complex, this property was used to house a storage building for Park Maintenance and for additional staff parking. Since the move of the Park and Recreation operation to its present location, the property has not been used. Staff does not foresee any further use of the property for park or any other purpose.

OCCGF 3.04, as it pertains to the sale of park property, requires that the Park and Recreation Board review the sale of park property and make a recommendation to the City Commission. At its September 9, 2002 meeting, the Park and Recreation Board recommended approval of the sale to the City Commission.

Mayor Gray declared the public hearing open. Speaking in opposition of the sale was Gloria Smith, 8 Cheyenne Drive.

There being no one further to address the City Commission, Mayor Gray closed the public hearing.

Commissioner Beecher moved, seconded by Commissioner Jovick-Kuntz, that the City Commission approve the sale of .27 acres of Gibson Park in T20N R3E Sec 1 SW ¼ to Bill Stuff, Place Development for $32,932.

Commissioner Hinz stated that she could not support the sale of park land even if it would only be big enough for a picnic table and trees.

Motion 3-1. Commissioner Hinz dissented. Motion did not carry as is required by OCCGF3.04.010.
 

Plans to reconstruct 6th Street Northwest between Central Avenue West and the Northwest Bypass have been prepared. As a result of the planned reconstruction, a small triangular area along the west boundary of 6th Street Northwest was deemed as excess right of way.

The vacation was actually a part of a land swap. Subject right-of-way upon vacation was to be integrated into the adjoining property occupied by Poulsen's. The owner of Poulsen's (BMC West Corporation) will provide a nearly equal amount of property to enhance off-street parking for Shining Mountain Images (726 6th Street Northwest) whose existing parking along 6th Street Northwest would be eliminated by the reconstruction.

Mayor Gray opened the public hearing. There being no one to speak in favor of or opposition to Resolution 9272, the public hearing was closed.

Commissioner Jovick-Kuntz moved, seconded by Commissioner Beecher, that the City Commission adopt Resolution 9272.

Motion carried 4-0.
 

On March 19, 2002, the City Commission ordered certain improvements to be installed by the property owners along James Avenue. MCA 7-14-4109 provides for this procedure. The improvements were completed on July 3, 2002. Upon completion of the improvements, each property owner was billed for their proportionate share. Two property owners paid their proportionate share in full. The remaining two property owners elected to have the cost of the improvements placed on their property taxes over a 7 year period with an interest rate of 5.5 percent.

MCA 7-14-4109 required the City Commission to first order this work to be done. Resolution 9196 was adopted on March 19, 2002. From that point, the property owners had 30 days to install the improvements or to work with staff to have the work completed. The property owners elected to have a City retained contractor complete the improvements. It was anticipated the total cost to the property owners would be approximately $25,000.

The work was completed on July 3, 2002. The total cost of the project was $59,303.60. The City paid $33,416.35 for street grading, base gravel, asphalt pavement, and concrete alley aprons. The remaining $25,887.25 for curb and gutter, sidewalks, driveways, and sod is to be paid by the adjoining property owners.

The proportionate share for each property owner was:

Mr. and Mrs. Keith and Mr. and Mrs. Duncan paid their proportionate share in full. The other two requested that the cost of the improvements be assessed against their property. Staff presented Resolution 9260 in order to complete the assessment process.

Mayor Gray declared the public hearing open. Speaking in opposition of Resolution 9260 was Doug Wolverton of 2300 5th Street NW. Mr. Wolverton asked why there was an increase in the dollar amount owed. He said that he was originally anticipating charges of $6,300. He also said that there was damage done to his fence. City Engineer Dave Dobbs responded that the $6,300 was an estimate. Mr. Dobbs also said that the contractor was responsible for the damage to the fence and that they are aware of the damage and would make the repairs. Public Works Director Jim Rearden suggested to the City Commission that Resolution 9260 be tabled until the next meeting in order to provide staff the opportunity to answer Mr. Wolverton's questions.

Mayor Gray closed the public hearing and called for a motion.

Commissioner Jovick-Kuntz moved, seconded by Commissioner Hinz that the City Commission table Resolution 9260 until the next regular City Commission meeting which will be held on December 3, 2002.

Motion carried 4-0.
 

OLD BUSINESS

NEW BUSINESS

ORDINANCES/RESOLUTIONS

The City Commission adopted Resolution 9258 on August 20, 2002. This resolution authorized staff to enter into an agreement with DA Davidson & Co, as underwriter, to refund the 1993 Tax Increment Urban Renewal Bonds. On November 7, 2002, a bond purchase agreement was entered into authorizing the issuance of $5,685,000 in Tax Increment, Series 2002, Refunding Bonds at an average coupon rate of 2.852834%. The refunding would result in lower interest payments which in turn result in a cumulative cash savings of $339,051 between now and 2009. The first payment in February of 2003 would include the release and use of existing bond reserves. Subsequently, refunding the 1993 bonds would save the Tax Increment District approximately $110,000 annually in debt payments per fiscal year from 2004 through 2009 when the debt would be fully repaid.

In July of 2002, DA Davidson & Co. presented a proposal to refund the 1993 Tax Increment Urban Renewal Bonds. The Commission approved moving ahead with this proposal when they adopted Resolution 9258 in August. Compensation for this underwriting was 1% of the principal amount of the bonds. This compares to 1.15% for the recently issued water and sewer bonds, which was a larger transaction and was insured. The Tax Increment refunding bonds would be insured but not rated. This was a change from the original plan presented in August. Bond raters were reluctant to rate this refunding issue due to the short period of time the refunding bonds would be outstanding. It was determined to forego the bond rating and acquire bond insurance instead.

Commissioner Hinz moved, seconded by Commissioner Beecher, that the City Commission adopt Resolution 9268.

Motion carried 4-0.
 

CONSENT AGENDA

Commissioner Beecher moved, seconded by Commissioners Hinz and Jovick-Kuntz, that the City Commission approve the Consent Agenda as printed.

Motion carried 4-0.
 

BOARDS AND COMMISSIONS

The Business Improvement District Board of Trustees is comprised of seven members appointed by the City Commission. The Board oversees the functions, operations, management and administration as necessary to carry out the purposes and objectives of the Business Improvement District. Members must be owners of property within the boundaries of the Business Improvement District or their personal representative, agent, or guardian. Business Improvement District board member Ralph Beltrone resigned from his position on the board. Therefore, it was necessary to appoint one member to the Business Improvement District to fill the remainder of his term.

Commissioner Hinz moved, seconded by Commissioner Jovick-Kuntz, that the City Commission appoint Julie Senger to the Business Improvement District to fill the remainder of a four-year term expiring June 30, 2004.

Motion Carried 4-0.
 

NEIGHBORHOOD COUNCILS

CITY MANAGER

ADJOURNMENT