City Council Minutes

Thursday, December 18,2008



ST. GEORGE CITY COUNCIL MINUTES
REGULAR MEETING
DECEMBER 18, 2008, 4:00 P.M.
CITY COUNCIL CHAMBERS

PRESENT:
Mayor Daniel McArthur
Council Member Suzanne Allen
Council Member Gloria Shakespeare
Council Member Gail Bunker
Council Member Gil Almquist
Council Member Jon Pike
City Manager Gary Esplin
City Attorney Shawn Guzman
City Recorder Gay Cragun

OPENING:
Mayor McArthur called the meeting to order and welcomed all in attendance. He then led the pledge of allegiance to the flag. The invocation was offered by Alex Wilkie. Mayor McArthur invited anyone interested in offering the invocation at a City Council meeting to contact the City Recorder.

Kristine Twiggs, President of the Shade Tree Board, introduced members of the Board. A slide presentation of this years? winners of beautification awards was made by Doug Wulfenstein, after which the awards were presented to Fossil Ridge Intermediate School, Swiss Bank Storage, Sunset Corner Properties, Village Bank, Southwest Skin and Cancer, River Ridge Garden Homes, and the Falls at Mesa Point.

Doug Wulfenstein reported on this year?s Utah Green Conference and advised that an Arbor Day celebration will be held the last Saturday in April at the Tonaquint Nature Center.

AWARD OF BID:
Consider award of bid for electrical materials to replenish stock.

Purchasing Manager Connie Hood recommended approval of a split blanket award, third year option, to Codale and Northern Power in an amount not to exceed $450.000, with $350,000 to Codale and $100,000 to Northern. She advised that both were local vendors.

MOTION: A motion was made by Council Member Bunker to award the bid as recommended.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Bunker - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Almquist - aye
Council Member Allen - aye

The vote was unanimous and the motion carried.

AWARD OF BID:
Consider award of bid for electrical service to the new airport booster pump station.

Purchasing Manager Connie Hood recommended award of the bid in the amount of $63,333.35.

City Manager Gary Esplin explained that the new line will be constructed by Dixie REA.

MOTION: A motion was made by Council Member Pike to award the bid as recommended.
SECOND: The motion was seconded by Council Member Almquist.
VOTE: Mayor McArthur called for a vote as follows:


St. George City Council Minutes
December 18, 2008
Page Two

Council Member Pike - aye
Council Member Almquist - aye
Council Member Bunker - aye
Council Member Allen - aye
Council Member Shakespeare - aye

The vote was unanimous and the motion carried.

AWARD OF BID:
Consider award of bid for electrical repair work.

Purchasing Manager Connie Hood recommended approval of a split bid blanket award to Filice Electric and D. Blake, for the third final renewal option, in an amount not to exceed $200,000.

Mayor McArthur advised it is recommended that $150,000 be awarded to D. Blake and $50,000 to Filice Electric.

Ms. Hood explained that D. Blake provides electrical and HVAC work, and Filice provides electrical work.

MOTION: A motion was made by Council Member Allen to award the bid as recommended.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Allen - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Bunker - aye
Council Member Almquist - aye

The vote was unanimous and the motion carried.

AWARD OF BID:
Consider award of bid for a 2008 loader backhoe.

Purchasing Manager Connie Hood explained the backhoe is for the Energy Services Department. Three bids were received from local suppliers. After review and analysis of the bids, it is recommended the bid be awarded to Wheeler Machinery, the second lowest bid, in the amount of $74,800 because it offers the best product for the money and has the best warranty.

MOTION: A motion was made by Council Member Pike to award the bid as recommended.
SECOND: The motion was seconded by Council Member Bunker.

Council Member Bunker inquired what would be done with the old backhoe.

City Manager Gary Esplin replied they are usually traded in.

Ms. Hood advised she had nothing to indicate the old one was being traded in. She advised the new backhoe would be shared with other departments.

VOTE: Mayor McArthur called for a vote as follows:

Council Member Pike - aye
Council Member Bunker - aye
Council Member Allen - aye
Council Member Almquist - aye
Council Member Shakespeare - aye

The vote was unanimous and the motion carried.

St. George City Council Minutes
December 18, 2008
Page Three

CHANGE ORDER:
Consider approval of a change order on the replacement airport grading and drainage project.

Purchasing Manager Connie Hood explained the change order with R. E. Monks is in the amount of $418, 219.80.

City Manager Gary Esplin clarified with the change order is in the amount of $268,721.

Airport Manager Rick Crosman explained the change order is necessary because of the final reconfiguration of the property for final location of the terminal building, FBO areas and ARFF building.

City Manager Gary Esplin explained the change order also includes an extension to the contract time of eight days.

Public Works Director Larry Bulloch explained the change order is for uncontested items while other items are being negotiated and time is needed to work through the issues. This change order is just a small part of overall changes that will be made to the contract.

MOTION: A motion was made by Council Member Bunker to approve the change order in the amount of $268,721.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Bunker - aye
Council Member Pike - aye
Council Member Almquist - aye
Council Member Allen - aye
Council Member Shakespear - aye

The vote was unanimous and the motion carried.

ADDENDUM TO CONTRACT:
Consider approval of Addendum #4 with PBS&J for engineering services at the Replacement Airpot

Airport Manager Rick Crosman explained that staff now has a better understanding of what the facility requirements will be and a change order in the amount of $127,732.57 is needed for navigational aids, apron lighting, an electrical vault, paving and lighting packages.

MOTION: A motion was made by Council Member Pike to approve the addendum.
SECOND: The motion was seconded by Council Member Almquist.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Pike - aye
Council Member Almquist - aye
Council Member Allen - aye
Council Member Shakespeare - aye
Council Member Bunker - aye

The vote was unanimous and the motion carried.

AWARD OF BID:
Consider award of bid for construction of Firehouse Park.

Purchasing Manager Connie Hood explained that many bids were received. She recommended award of the bid to the low bidder, JP Excavating, including Alternates A, B and C, in the amount of $632,251.16. She explained this bid is under the engineer?s estimate of $675,000.


St. George City Council Minutes
December 18, 2008
Page Four

Zac Koceja, Project Manager, explained the park is located at 1800 North Dixie Downs Road. Many meetings and three open houses were held for area residents to receive input on what they wanted in the park. The top amenity requested was a splash pad, but there is not enough parking to accommodate one as the park is under four acres. The amenities will include a playground, restrooms, off-street parking, a pavilion, landscaping and grass area and an off-leash dog area. The dog area was the second most requested amenity. There will also be an 8' wide perimeter walking path. Alternate A includes a water reuse line, Alternate B includes the concrete perimeter walk, and Alternate C includes reconstruction of 1740 North Street. Construction will begin January 13 with a five month construction period. He explained that the play equipment will include a large play structure for children ages two to five, and another for children ages five to twelve. Funds will also be set aside to shade the main play element.

City Manager Gary Esplin advised that CDBG funds will also be used for the park.
Mr. Kocejo explained that engineered wood surfacing, or wood chips, will be used in the play areas.

MOTION: A motion was made by Council Member Bunker to award the bid as recommended.
SECOND: The motion was seconded by Council Member Almquist.
VOTE: Mayor McArthur called for a vote, as follows:

Council Member Bunker - aye
Council Member Almquist - aye
Council Member Allen - aye
Council Member Shakespeare - aye
Council Member Pike - aye

The vote was unanimous and the motion carried.

ORDINANCE:
Consider approval of an ordinance increasing the dollar amounts for purchasing thresholds.

Purchasing Manager Connie Hood explained that the City has not made changes to its purchasing ordinance for ten years. The dollar thresholds are low and not consistent with national or state averages. She advised that raising thresholds will streamline the purchasing process and make the purchasing system more transparent to the public. More purchasing information will be provided on the City?s website and continuous training will be provided. She recommended that department purchase orders be raised to $500, informal verbal bids be required on purchases totaling $501 to $5,000, three written bids be required on purchases totaling $5,001 to $25,000, City Council approval be required on professional services over $25,000, formal sealed bids be required on purchases totaling $25,001 to $50,000, and City Council approval for construction, goods or services be required for purchases over $50,000. She explained this would mean fewer bids would come to the City Council for approval, but she would still provide the information to the City Council.

Mayor McArthur clarified that all bids are reviewed by department heads and the City Manager and are constrained by budgets in any event.

Ms. Hood commented that the City Manager will have the option of reviewing and approving all purchases and change orders up to $50,000. The City?s website will soon have purchasing information updated on a regular basis, but until then, anyone interested in obtaining this information can contact her.

MOTION: A motion was made by Council Member Pike to approve the ordinance.
SECOND: The motion was seconded by Council Member Bunker.
VOTE: Mayor McArthur called for a roll call vote, as follows:

Council Member Pike - aye
Council Member Bunker - aye
Council Member Almquist - aye

St. George City Council Minutes
December 18, 2008
Page Five

Council Member Allen - aye
Council Member Shakespeare - aye

The vote was unanimous and the motion carried.

ORDINANCE:
Consider approval of an ordinance amending Section 3-4C-1 of the St. George City Code, transient room tax.

City Manager Gary Esplin explained that a year or so ago the State decided to start collecting a transient room tax and then submit it to the various cities. The City?s original ordinance had a provision that exempted hotel and motel owners from having to pay a business license fee. When the ordinance was amended, this provision was left out. Staff recommends that this provision be added back in.

MOTION: A motion was made by Council Member Allen to approve the ordinance.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a roll call vote as follows:

Council Member Allen - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Almquist - aye
Council Member Bunker - aye

The vote was unanimous and the motion carried.

RESOLUTION:
Consider approval of a resolution abandoning an easement in the Millcreek Industrial Park.

City Manager Gary Esplin explained the subject property is Lot 35A in the Millcreek Industrial Park on East Deseret Drive. The request has been reviewed by all City departments and staff recommends approval.

MOTION: A motion was made by Council Member Bunker to approve the resolution.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a roll call vote as follows:

Council Member Bunker - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Almquist - aye
Council Member Allen - aye

The vote was unanimous and the motion carried.

CONDITIONAL USE PERMIT:
Consider approval of a request for a time extension for the conditional use permit to construct a car wash on the southwest corner of River Road and Ft. Pierce Drive. Jeff Morby, applicant.

Community Development Director Bob Nicholson explained the applicants are Jeff Morby and Larry Blake. In November 2007 the City Council approved a conditional use permit for a car wash. He then showed slides of the site. The purpose of this action is not to have a rehearing, but to consider a request for an extension since a conditional use permit expires in one year if work has not begun. The City Council can grant an extension based on substantial progress. The applicants explained to the Planning Commission what progress has been made, but the economy is different now than a year ago so financing is more difficult. The Planning Commission recommended approval of a two year extension with the same conditions as originally imposed. He then read the eight conditions.


St. George City Council Minutes
December 18, 2008
Page Six

Jeff Morby, applicant, advised that they visited a few sites in Las Vegas, attended a conference, and went to Salt Lake to look at various projects, and by this time financing was soft and things were not looking positive to move forward. He advised that they have spent a lot of time, money and effort on the project and do not want to walk away from it. He stated he felt the minimum time they were looking at is two years.

MOTION: A motion was made by Council Member Allen to approve extension of the conditional use permit for two years.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Allen - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Bunker - aye
Council Member Almquist - aye

The vote was unanimous and the motion carried.

CONDITIONAL USE PERMIT:
Consider approval of a request for a conditional use permit to expand an existing gravel pit along the Ft. Pierce Wash located one mile south of 1825 East 3860 South in the Ft. Pierce Industrial Park area. Sunroc Corp., applicant.

City Planner Ray Snyder explained the request is for 30-50 acres. The applicant plans to mine the site for another three years. He showed a schematic of the site. The conveyor system will go over the wash instead of under the wash and will be moved further to the south.

Council Member Almquist expressed concern that the applicant was pushing overburden on to a 40% slope.

Mr. Snyder explained the applicant is aware of a nearby sewer line easement to SITLA property, and this will have to be negotiated and worked through. Whenever SITLA property is mined, certain requirements have to be met and an archaeologist has to go to the site and look at the property. This has been done, and nothing significant has been found except for an ancient encampment area which must be avoided. The applicant is aware of this requirement. He then showed photographs of the site and reviewed recommended conditions.

Dana Truman, Division Manager of Sunroc, advised that armoring will be done at the end of the wash in the event of a breach. Their lease runs out in three years. The State will work with the City on the easement, but there is no problem right now. He stated they are aware of the archaeological site, and their intent is to cross the wash to continue the contract in a small area of 30-50 acres. The State has asked them to hold off on reclamation work in order to see what the property could become when the mining is finished. With regard to pushing material up the slope, the overburden has to be removed off the gravel and through mitigation will bring the material back in over the gravel pit. They have backed away from the steep slopes and are not pushing the overburden near as far up the slopes. The fine material is remaining stable and Bill Swensen has asked them to water it so they are looking at running a water line to keep the soil stable. He advised that all sand and gravel to this point has been eliminated except in this last section.

Council Member Almquist inquired why the overburden could not be pushed back on to the areas already mined.

Mr. Truman replied that this is considered reclamation work and the State asked them not to begin reclamation work yet.

Council Member Almquist expressed concern about covering native areas with overburden which would look natural otherwise.


St. George City Council Minutes
December 18, 2008
Page Seven

Mr. Truman replied that in order to extract the gravel in such a limited space they have no other choice. To move the overburden would inflate operational costs to not be cost effective.

Council Member Almquist commented that the desert does not recover quickly and re-vegetation takes thousands of years.

Bill Swensen explained that one of the requirements for mining is pre-watering of the site. The then showed pictures of the site.

Council Member Pike inquired if this project will meet air quality standards.

Mr. Swensen replied that he will make sure it complies.

Mr. Truman commented there would be a problem pushing the overburden back into an excavated area because equipment is still located there. He advised that the overburden is within mine boundaries and under their contract they have the ability to move the whole hillside and all rocks, but have elected not to do so. They are extracting the material in the most cost-effective way and there are not a lot of choices.

Bill Swensen suggested there may be the possibility of pushing the overburden toward the Ft. Pearce rather than splitting it in two in order to minimize the impact on the east side.

MOTION: A motion was made by Council Member Bunker to approve the conditional use permit.
SECOND: The motion was seconded by Council Member Shakespeare.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Bunker - aye
Council Member Shakespeare - aye
Council Member Allen - aye
Council Member Almquist - no
Council Member Pike - aye

The motion carried.

CONDITIONAL USE PERMIT:
Consider approval of a conditional use permit to operate a child day care for up to 16 children in a residence located at 2161 South Sherman Road. Mr. and Mrs. Newby, applicant.

City Planner Ray Snyder explained the applicants have had a day care in their home for a number of year but would now like to increase the number of children.

Brad Newby, applicant, explained the impetus for expansion is the demand for infant care. The idea is to have two care providers there at all times which will allow them to care for four infants. The Fire Marshall visited the home and all requirements are met for having 16 children, even though they did not see themselves taking 16 children. He explained that one caretaker is required for every eight children, and two can be under two years of age. This is what they are operating under right now. The next level requires two caretakers for 16 children.

MOTION: A motion was made by Council Member Bunker to approve the conditional use permit.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Bunker - aye
Council Member Pike - aye
Council Member Allen - aye
Council Member Almquist - aye
Council Member Shakespeare - aye


St. George City Council Minutes
December 18, 2008
Page Eight

The vote was unanimous and the motion carried.

AGREEMENT:
Consider approval of a reimbursable agreement with the FAA to perform necessary services to develop final instrument approach procedures for the replacement airport.

City Manager Gary Esplin explained that the agreement is required by the FAA to design the instrument approaches for the new airport as well as additional procedures.

Airport Manager Rick Crosman explained the amount of the agreement is not to exceed $25,300. The FAA will design the new instrument approaches and reinstall existing navigational aids and add new ones.


MOTION: A motion was made by Council Member Almquist to approve the agreement.
SECOND: The motion was seconded by Council Member Allen.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Almquist - aye
Council Member Allen - aye
Council Member Bunker - aye
Council Member Shakespeare - aye
Council Member Pike - aye

The vote was unanimous and the motion carried.

RESOLUTION:
Consider approval of a resolution approving FAA grant #AIP-3-49-0060-10 for $9.3 million.

City Manager Gary Esplin explained that the grant needs to be approved before January 1. He recommended approval

MOTION: A motion was made by Council Member Pike to approve the resolution.
SECOND: The motion was seconded by Council Member Bunker.
VOTE: Mayor McArthur called for a roll call vote, as follows:

Council Member Pike - aye
Council Member Bunker - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Almquist - aye

The vote was unanimous and the motion carried.

AIRPORT LEASE:
Consider approval of a non-commercial airport property lease with Mark Turner.

City Manager Gary Esplin explained that Mark Turner is purchasing a hangar from Bruce Stucki but the transaction has not been consummated pending this approval. The effective date of the new lease will be January 1, 2009.

City Attorney Shawn Guzman advised he has not heard back from the applicant with regard to changes made to the lease and he recommended any approval be made subject to legal review.

MOTION: A motion was made by Council Member Bunker to approve the lease subject to legal review.
SECOND: The motion was seconded by Council Member Almquist.
VOTE: Mayor McArthur called for a vote as follows:



St. George City Council Minutes
December 18, 2008
Page Nine

Council Member Bunker - aye
Council Member Almquist - aye
Council Member Shakespeare - aye
Council Member Allen - aye
Council Member Pike - aye

The vote was unanimous and the motion carried.

AGREEMENT:
Consider approval of a partnership agreement with Dixie Escalante Electric Association for the new SunSmart solar project.

City Manager Gary Esplin explained that Dixie REA is partners with the City in the SunSmart solar project and contributed $460,000 toward the project. All St. George residents may participate in the program. He recommended approval of the agreement.

Energy Services Director Phil Solomon advised that the first phase of the project has been energized, but with the snow only 20 kW of the 100 kW available is being realized.
The ribbon cutting is January 14 at 2:00 p.m. 13 of the 100 available units have been sold. A state credit of 25% of the investment is allowed.

MOTION: A motion was made by Council Member Pike to approve the agreement.
SECOND: The motion was seconded by Council Member Almquist.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Pike - aye
Council Member Almquist - aye
Council Member Shakespeare - aye
Council Member Allen - aye
Council Member Bunker - aye

The vote was unanimous and the motion carried.

AGREEMENT:
Consider approval of the Millcreek generation expansion project EPC agreement with TIC/KPE.

City Manager Gary Esplin recommended approval of the agreement in the amount of $26,500,000 for purchase and installation of additional equipment for the next phase of the generating plant. The agreement sets the parameters for the joint venture, and if the project goes over budget, the contractor will share in the costs. Revenue bonds in the amount of $50,000,000 were sold this year to fund the entire project.

MOTION: A motion was made by Council Member Bunker to approve the agreement.
SECOND: The motion was seconded by Council Member Allen.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Bunker - aye
Council Member Allen - aye
Council Member Almquist - aye
Council Member Shakespeare - aye
Council Member Pike - aye

The vote was unanimous and the motion carried.

Energy Services Director Phil Solomon explained that the amount approved is the target price. If the price is increased, it will come back to the City Council.

IMPACT FEES:
Consider finalization of impact fees for the new building on the IHC campus.

City Manager Gary Esplin explained that Development Services Director Matt Loo has reviewed the fee schedule and recommends using the same fee schedule that was used

St. George City Council Minutes
December 18, 2008
Page Ten

for the existing original plan as this is a continuation of that same project. Staff feels good about the recommendation as the hospital has an important impact on the community and provides charity services and employment.

Council Member Allen declared a conflict of interest as she is a hospital board member and advised that she would not vote.

Council Member Pike declared a conflict of interest as he works for a related company and advised that he would not vote.

MOTION: A motion was made by Council Member Almquist to approve the recommended impact fee schedule for the new building on the IHC campus.
SECOND: The motion was seconded by Council Member Shakespeare.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Almquist - aye
Council Member Shakespeare - aye
Council Member Bunker - aye
Council Member Allen - abstained
Council Member Pike - abstained

The motion carried.

APPOINTMENTS:
Appointments to various boards and commissions of the City

Mayor McArthur recommended that Lyman Hafen be reappointed to the Dinosaur Board.

MOTION: A motion was made by Council Member Bunker to reappoint Lyman Hafen to the Dinosaur Board.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Bunker - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Allen - aye
Council Member Almquist - aye

The vote was unanimous and the motion carried.

APPROVAL OF MINUTES:
Consider approval of the minutes of the regular City Council meeting held December 4, 2008.

MOTION: A motion was made by Council Member Allen to approve the minutes as presented.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:

Council Member Allen - aye
Council Member Pike - aye
Council Member Almquist - aye
Council Member Shakespeare - aye
Council Member Bunker - aye

The vote was unanimous and the motion carried.

ADJOURN:
MOTION: A motion was made by Council Member Almquist to adjourn.
SECOND: The motion was seconded by Council Member Pike.
VOTE: Mayor McArthur called for a vote as follows:


St. George City Council Minutes
December 18, 2008
Page Eleven

Council Member Almquist - aye
Council Member Pike - aye
Council Member Shakespeare - aye
Council Member Bunker - aye
Council Member Allen - aye

The vote was unanimous and the motion carried.



___________________________________
Gay Cragun, City Recorder