05292008CouncilMinutes - Special
CITY OF AMMON
CITY COUNCIL
SPECIAL SESSION MINUTES
THURSDAY, MAY 29, 2008 – 6:30 PM
AGENDA
:
CITY OF AMMON
2135 SOUTH AMMON ROAD
CITY COUNCIL
AGENDA – SPECIAL SESSION
THURSDAY - May 29, 2008 – 6:30 P.M.
Executive Session:
1.Idaho Code 67-2345 subsection 1f (Scott Hall)
Action Item:
1. Approve Regional Wastewater Treatment Contract Award (Ted)
2. Approve Obligation of $7 million towards Regional Wastewater Treatment Contract (Ted)
Discussion Items:
1.Future Plans for the City of Ammon (Councilmember Kirkham)
MINUTES
The meeting was called to order by Councilmember Bean at 6:30 p.m. in the City Building, 2135 South
Ammon Road, Ammon, Idaho, with the following City Officials present:
City Officials Present:
Mayor Bruce Ard
Councilmember Dana Kirkham
Councilmember Lee Bean
Councilmember Randy Waite
Councilmember Brian Powell
Councilmember Rex Thompson
Councilmember D. Ray Ellis
City Engineer Lance Bates
City Planning Director Ron Folsom
City Clerk Leslie Folsom
City Attorney Scott Hall
Councilmember Kirkham moved to go into executive session pursuant to Idaho Code 67-2435 (1) (f).
Councilmember Thompson seconded. Roll Call Vote: Councilmember Kirkham – Yes, Councilmember
Thompson – Yes, Councilmember Waite – Yes, Councilmember Bean – Yes, Councilmember Powell –
Yes, and Councilmember Ellis – Yes. The motion passed.
Councilmember Kirkham moved to go from executive session into regular session at 7:02 pm.
Councilmember Thompson seconded. Roll Call Vote: Councilmember Kirkham – Yes, Councilmember
Thompson – Yes, Councilmember Waite – Yes, Councilmember Bean – Yes, Councilmember Powell –
Yes, and Councilmember Ellis – Yes. The motion passed.
ACTION ITEMS:
1. Approve Regional Wastewater Treatment Contract Award (Ted):
Ted Hendricks gave a detailed
handout to Council showing the timeline of the project with expenditures. He explained when we talked
awhile ago; we overestimated how much the Corp was actually putting into this phase of the project. They
;
are actually putting in about $5.4 millionwe were thinking it would be closer to $6 million. Shelley has
their $6 million bond they have authorized. Ted explained they would like Ammon to obligate $8 million.
Shelley obligated an additional $2.3 million this morning which is from their cash and sewer reserves. Our
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bond attorney does not want us to obligate to a contract that we don’t have the legal authority to pay for.
Ammon is well within its bonding capacity at $15 million and they need to obligate it toward this project.
They probably won’t spend Ammon’s money until next year. He explained it is a $23 million project. In
order to award the construction and soft cost contract, we need more authority or money to obligate. He
anticipates if the judicial confirmation goes well, which hopes to be done by this fall, they will schedule the
public hearings. The Corp should have received your authorizing resolution for reimbursement. Ted has
the bid, but he needs to obligate Ammon for $1 million more than previously discussed. If the costs don’t
go up from the contract, the $7 million will be spent late in the project. If they spend more that, then they
will have to come to Ammon to invest more into it. If they spend less, then that money will roll over into
the second phase of the construction, which is the transmission line from Ammon to Shelley and the second
phase of the treatment plant upgrade. This is also true with the Corp money. Firth/Basalt will not be
included until they are ready to come on, of which, they will fund their portion of their project through
bonds, etc. They will probably spend Shelley’s money first.
It was discussed whether counties can bond. It was discussed the counties will not contribute
unless development comes on or we have another economic development project. It usually becomes a
county contribution, as long as the cities are not going to annex it which could help offset some of the cost.
Ted explained the appropriation monies have kept coming in even over and above the committed
amount in past projects, like in Burley & Rupert but it depends on a lot of factors.
Councilmember Bean inquired if the money from the Army Corp of Engineers is committed
money. Ted explained it is. Once it is executed in Walla Walla, it will be fine. They have already paid $1
million thus far. The Corp has paid for most of the design. Councilmember Bean inquired how much we
have already committed for the design phase. Ted explained that the previous commitment was $2 million
but he is not sure we have ever drawn off of that.
Ted explained that Shelley will be putting in about $10 million, maybe more. Ted explained how
growth helps. He talked about charging hookup fees. He talked about the possibility of developers coming
in to prepay and negotiating a fee for them. Councilmember Bean inquired what they charged the golf
course in terms of prepays. Ted explained theirs worked out to be $1 million. Husk explained the current
connection fee for Shelley and the two counties is $2600 for a resident but it needs to be $3600. Ted
explained there is value to your existing system that they need to prepay on. It is an asset you need to
account for. They need a formal motion to satisfy the attorneys and DEQ. He also has a letter he will send
to Leslie tomorrow. There is only $106,000 in contingency on the contract.
Councilmember Kirkham inquired how you go from $7 to $8 million when the agenda was printed
today. Ted explained it is because of the bond attorney’s recommendation because he was counting on
more money from Shelley and he did not have the Corp figure right.
Councilmember Bean motioned to approve the Regional Wastewater Treatment Contract Award
in the amount of $22,398,275.00. Councilmember Kirkham seconded. Roll Call Vote: Councilmember
Bean – Yes, Councilmember Kirkham – Yes, Councilmember Waite – Yes, Councilmember Thompson –
Yes, Councilmember Powell – Yes, and Councilmember Ellis – Yes. The motion passed.
2. Approve Obligation of $7 million towards Regional Wastewater Treatment Contract (Ted):
Councilmember Bean motioned to approve an obligation up to $8 million towards the Regional Wastewater
Treatment Contract. Councilmember Kirkham seconded. Roll Call Vote: Councilmember Bean – Yes,
Councilmember Kirkham – Yes, Councilmember Waite – Yes, Councilmember Thompson – Yes,
Councilmember Powell – Yes, and Councilmember Ellis – Yes. The motion passed.
DISCUSSION ITEMS
:
1. Future Plans for the City of Ammon (Councilmember Kirkham):
Councilmember Kirkham stated
she wants to talk about this is because she feels we do a lot of management by crisis. The council works
well together but they need to define goals and settle on 5 we would like to get accomplished and give
assignments.
Councilmember Ellis stated he would like to find a way to revitalize old Ammon. He talked about
lots being cleaned. He would like to see us get a program where we could help citizens replace some of
their deteriorating sidewalks and gutters. He talked about loaning money at 5%. He talked about the
sewer, equipment, maintenance and upgrading the public works system. Councilmember Bean stated he
has talked to Stacy and Lance about capital equipment purchases. We have critical needs to look at and
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finance over a period of time. Councilmember Ellis feels we need to do some things that will force some
infill in the City. He talked about moving to higher density with more park space with developers taking
park space a step further than they are now. He feels we can maintain our country atmosphere and still
increase our density. Councilmember Kirkham inquired how we make the goal of infill. Councilmember
Ellis talked about constructing zones with higher costs. Councilmember Kirkham stated we cannot do that
because we have to be fair and consistent. It was discussed people pay higher to be on the hill.
Councilmember Bean talked about a facility to house our cars, etc.
Councilmember Waite stated he has not had time to put thought into it yet.
Councilmember Thompson talked about a mix of housing in Ammon like what was in the 2000
census. At that time 10% of our housing was high density housing, 10% was the R1A twin homes, and
80% was the single family detached homes. The latest numbers he has seen was 20% R3A or high density
housing, 20% R1A or twin homes, 60% for single family detached homes which was about 6 months ago
from Ron. Ron stated in R1 we have a total of 912.85 acres and 236.76 of it that has not had building
permits issued on it, he combined all of the single family and it came to 2909.42 total acres which includes
some R2 and R1A, the multi family has a total of 125.49 acres with 29% available. Ron compared the
multi family to the single family and acreage wise it comes to 4.31% is zoned for multiple housing. We
could end up with 2401multiple housing with the build out. He talked about careful consideration
regarding high density housing on new construction. Councilmember Bean inquired to Ron when the last
time we either rezoned or annexed something with multiple families. Ron stated he cannot remember the
last one. Councilmember Thompson talked about the Kartchner property which was probably the last one.
612 units can now be built high density. He talked about the typical neighborhood we all used to know and
how Ammon used to be. Councilmember Thompson talked about liking to see a 10 acre park in every
square mile of our city. It would be more than that if based on population. Councilmember Kirkham
talked about a 2 acre parcels exacted here and there, but they are not that useable. Councilmember Powell
talked about the subdivision in Meridian which the developer did the development, as well as all the green
space and features within similar to Hawkes Landing except the whole city has access to the green space.
Councilmember Kirkham talked about the PUD being a nice way to go. Councilmember Thompson talked
about the flood plain; he feels as a city we need to take control of it. He talked about the flood areas that
cannot be developed. Councilmember Kirkham talked about property that would never be public access.
Ron talked about another portion we agreed on also. Ron stated we need to get the study done first before
we can get control of the flood plain. Councilmember Thompson talked about a trail system he would like
to see implemented and tied into the flood plain. Ron talked about the comp plan language and stated
every division that comes into the city for review needs to be considered for the trail system.
Councilmember Thompson talked about curb appeal with the main street being a show piece. We do not
have a city center. The swales and drains in the Cottages were discussed and that they are working well.
Councilmember Thompson talked about our storm ponds and not having them be parks. It was discussed
we don’t have storm standards. Lance talked about individual homeowner’s having storm water retention
on their lots. It may work for the first homeowner, but for the second it usually does not work.
Councilmember Thompson talked about arterial streets. He talked about Sunnyside Road in particular and
what we should have done with it. He feels developers need to put in their share of the roads. The bridge
st
on 1 Street was discussed and that Idaho Falls would participate. It was discussed where the city limits
are and who owns the bridge.
Councilmember Bean talked about whether we will go to a full time mayor or hire a city
administrator. He feels there is need for supervision and that everything else has been covered.
Councilmember Powell talked about implementing an impact fee structure. He would like to see
what our funding source will be not only for capital expenditures, but also maintaining them. We need to
find a route to take or a combination of routes. Councilmember Bean would recommend putting a member
of city council together with staff to give them direction. Ron talked to Scott about having someone from
council there. Scott feels that annexations are not quasi judicial. He doesn’t feel anyone can sit down and
talk to someone about annexation without the possibility of conflict. Councilmember Powell would like us
to develop some kind of revenue structure so the developer, Council and staff know what to expect.
Councilmember Ellis inquired at what point we force them into the county. Councilmember Bean agreed.
Councilmember Kirkham stated she doesn’t think that is what Councilmember Powell is talking about. She
talked about the intersection at Speedi-Mart. Councilmember Powell talked about the confusion.
Councilmember Kirkham talked about water meters. She wants to know the direction we are
taking and where we are. She talked about the police department options and wonders if we are at the point
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where we need our own department. We only have one officer every 24 hours. Councilmember Ellis talked
about it taking 5 officers to staff around the clock. According to Dave Radford it costs $100,000 per officer
and the county now wants $900,000 plus. Councilmember Bean talked about administrative costs,
detectives, etc. We pay a percentage for the DARE officer and resource officer. Councilmember Kirkham
talked about a recreation district to pool our resources.
Councilmember Kirkham set assignments to help assist in getting the ideas completed.
Councilmember Kirkham assigned Councilmember Ellis the revitalization of old town Ammon. The costs
were discussed for the residents. Ron talked about block grants. Councilmember Kirkham talked about the
grant for the water meters for old Ammon, which we have chosen not to use thus far. Councilmember
Kirkham talked about the public works building and possible funding sources. Lance has four proposals
for the Tiebreaker LID. Councilmember Kirkham inquired to Council how many want to pursue impact
fees and how many want to pursue exactions. She is okay with exaction. Councilmember Thompson
stated he could go either way. Councilmember Ellis talked about going the impact fee route because it
brings all parties to the table. Councilmember Powell talked about the formula with the impact fees and he
liked that. Councilmember Kirkham inquired if we could use that formula with exactions. Councilmember
Powell stated we need to find that out. Councilmember Ellis talked about a study being done that will
show us what tax and revenue growth is generating for us. Councilmember Powell looked at our levy rate
and stated the City of Boise and Meridian is just about the same as ours. Councilmember Bean stated the
tax levy rate is not. Councilmember Powell stated he called them up and found out their valuation is higher
than ours. Councilmember Powell agreed but stated they have a bunch of impact fees. Councilmember
Kirkham commented that Pocatello uses impact fees. It was discussed what would happen to our growth.
Councilmember Kirkham stated we have concluded we do not want to raise the levy rate so we are looking
at impact or exaction. Councilmembers Ellis and Powell with Lance were assigned LID/CID/Impact fee
investigation. She stated the public works building stands until we figure out funds. Leslie talked about
the possibility of a rental property ordinance. Ron stated we could do one. It was discussed Coeur d’Alene
has one. Lance asked to clarify if the 10 acre park Councilmember Thompson talked about was a 10 acre
park or 10 acres of park. It was a 10 acre park. Ron talked about pocket parks. Councilmember Kirkham
assigned Councilmember Waite to parks and we need one in the Quail Ridge area. Councilmember
Kirkham talked about the flood plain falling on Ron. Ron feels we are there and are doing what we can
right now. When that is done, we can map out what we want it to look like. Councilmember Bean
commented about State revenue sharing and the portions that cities get. Councilmember Kirkham assigned
the storm water standard to Lance and asked him to have it in about 2 months. She talked about the issue
of full time mayor versus a city administrator. She inquired if it is too late to get it on the November ballot.
Leslie stated she does not know. Councilmember Kirkham suggested we put it on as an advisory vote to
the citizens. Leslie will call down to the election office and see if we need a resolution or not. Water
meters were discussed and the needs to have an outside firm do a rate study. Councilmember Bean
commented on how you justify the cost to the consumers. Councilmember Kirkham stated Councilmember
Bean will get some information on a rate study and get back to us. Councilmember Kirkham stated she
would take the police department and recreation district. Councilmember Kirkham would like to get a
feasibility study done to see if we are now paying what it would take to have our own police department.
Councilmember Powell, Bruce Patterson and Ron Folsom were assigned to investigate fiber optics with
attention to a business district.
2. Misc.:
Lance talked about the lot they bought to put the tank on. It was a great deal, but it is too small.
The confines of the lot has required so much special construction that we could buy the other lot and save
money by expanding the design so we don’t have to put in all the retaining walls. We can buy the lot for
$72,000 or 72,900 the owner told him on the phone. We would still save $50,000. The new lot is a little
over an acre and redesigning it may cost $5-10,000. Councilmember Bean stated he would recommend we
do this, but does not want to talk about the terms right now. He would prefer to talk to Ted outside this
venue on the terms of offer we would present. Councilmember Bean stated there should be room to
negotiate. It was discussed when the construction will start. This is the one with the booster pump and the
st
transmission line up 21 will start next week.
Leslie discussed how long the agendas are getting and we need to remove site plans since they are
really a Planning and Zoning issue. Councilmember Bean agreed. We need to get the site plans out of the
Council. Councilmember Kirkham stated we have one of the best Planning and Zoning Commissions we
have ever had. The City of Idaho Falls doesn’t review site plans, they allow their staff to do it. Ron
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commented we need to be doing exactions at annexation. It was discussed to change the ordinance to not
review the site plans. Mayor Ard suggested sending an email about site plans ahead of time. Ron stated he
could email them to the Council and they can review them. He explained staff still has to sign off on them
after Planning & Zoning has met.
Councilmember Kirkham stated she needs to go over insurance also. Councilmember Kirkham
stated she had Dwight look at seven different insurance options. Two came back and they were Blue Cross
and Altius. She would like to change to Altius. Right now we are paying $291 per employee and it would
lower to $259.45 with the benefits increasing. Option 3 is what we would use. The deductible now is
$1500 and would go up to $2000, but their out-of-pocket expense would be $3500. They would also get
co-pay. Right now we have an 80/20 split, and we will go to a 70/30 split. Most of the Idaho Falls
providers are preferred providers. It would be a 50/50, if they are not preferred. She would like to go to a
ststst
June 1 renewal; we are at July 1 right now. If we go to the June 1 renewal, it will save us a couple of
thousand dollars. It was discussed whether Blue Cross will let us out of our contract. Councilmember
Kirkham stated they will but she will double check on it. Councilmember Bean stated we need to review
the participation of employees as well; right now we pay 100%. We are with Delta Dental for dental and
the renewal does not come up until February. Councilmember Kirkham explained they get one free vision
exam per year. We do not get prescription benefits with the vision. Councilmember Kirkham stated we do
have a prescription plan. Councilmember Bean inquired if councilmembers could sign up with this as
secondary insurance. Councilmember Kirkham stated she would ask. Lance asked what the coverage for
family is. It was discussed they would be paying less for families and whether the deductible is for
individuals. Councilmember Kirkham believes the $2000 is for family, but she will check on it.
Councilmember Kirkham explained right now we pay for COBRA administration. Altius would waive our
COBRA administration fees except for 95 cents. Councilmember Bean inquired if under this policy they
charge for each child. They charge to a certain number of children and then it stays the same.
Councilmember Kirkham stated you can get into the health fairs at the hospital free. Councilmember Bean
inquired if we have employees that have one or two children that this will affect, because they will be
paying a little more under this new plan. Councilmember Kirkham will check on that also. Our group
rating is not very good.
Councilmember Kirkham showed Council another option. It was discussed we are doing a
cafeteria plan also, but it is separate from this. She talked about a 20/20 Advantage plan and group life
insurance. Right now we have 15 in coverage.
She discussed the quote is rated at 27 employees even though we only have 21 employees right
now.
Councilmember Kirkham stated she would like to at least go with Altius. She feels we can easily
go back to Blue Cross. Councilmember Bean wants to make sure our employees will feel comfortable with
this. Lance commented some employees may not be comfortable with the change in companies.
Councilmember Kirkham stated this is a better plan. Lance would like us to inform employees we are
changing. Councilmember Kirkham stated we will have until the July renewal. Lance would like to have
them come and explain the benefits to the employees. Councilmember Kirkham stated she will talk with
Dwight tomorrow. Council agreed to go with Altius.
Councilmember Ellis motioned to adjourn. Councilmember Waite seconded. Roll Call Vote:
Councilmember Ellis – Yes, Councilmember Waite – Yes, Councilmember Kirkham – Yes,
Councilmember Thompson – Yes, Councilmember Powell – Yes, and Councilmember Bean – Yes. The
motion passed.
The meeting adjourned at 9:13 p.m.
___________________________________________
C. Bruce Ard, Mayor
______________________________________
Leslie Folsom, City Clerk
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