SOUTH JORDAN CITY

“COMBINED” MEETING OF THE CITY COUNCIL

AND MUNICIPAL BUILDING AUTHORITY

 

October 4, 2011

 

Present:         Mayor Kent Money, Council Member Brian Butters, Council Member Kathie Johnson, Council Member Larry Short, Council Member Aleta Taylor, Council Member Leona Winger, City Manager John Geilmann, ACM Laurie Johnson, ACM Gary Whatcott, City Attorney Rob Wall, Information and Records Director Jon Day, City Council Secretary MaryAnn Dean

 

Others:           Chris Roper, Nancy Hansen, Chuck Newton, Laura Lewis

 

6:00 P.M.

COUNCIL CHAMBERS

 

REGULAR MEETING

 

I.          GENERAL BUSINESS

 

A.         Welcome and Roll Call

 

Mayor Money welcomed everyone present. He recognized some scouts present. Scout Troops 323, 1624, 1718, and 410 were introduced.

 

B.         Opening Ceremony

 

1.         Invocation

 

Council Member Taylor offered the invocation.

 

2.         Pledge of Allegiance

 

A scout led the audience in the Pledge of Allegiance.

 

C.        Motion to Approve Amended Agenda Items, If Any

 

The agenda stood, as printed.

 

D.        Minute Approval

           

1.         September 20, 2011

 

Council Member Short made a motion to approve the September 20, 2011 City Council minutes, as printed. Council Member Taylor seconded the motion. The vote was unanimous in favor.

 

II.         AWARDS, PRESENTATIONS

 

A.         Proclamation Presented to Nick Lenhart By Council Member Larry Short Proclaiming October 4th as “Nick Lenhart Day.”

 

Council Member Short indicated that Nick Lenhart lives in South Jordan. He went to Bingham and has broken many power lifting records. His drug free policy makes him a great role model.

 

Mayor Money presented Mr. Lenhart with his proclamation.

 

B.         Presentation: Utah Tennis Association. Presented By Linda Vincent, Executive Director of the Utah Tennis Association.

 

Linda Vincent, Utah Tennis Association, said their mission is to promote and grow tennis. She said they have been working with the South Jordan Tennis Association on their desire to have an indoor tennis facility. She introduced Jane Waterstrut (USTA) and Jean Greenwood (volunteer for USTA). Ms. Vincent gave a presentation about how an indoor facility could impact the community (Attachment A). She noted which existing indoor facilities have city or county participation. She said they are desperate for more indoor facilities. She discussed the 10 and under program known as quick start tennis. The quick start program is kids learning tennis and playing.

 

Mayor Money asked what is the cost of a tennis facility? Parks Director Don Tingey said the cost is approximately $1 million for the court that was drawn up and presented in this presentation.

 

The Council discussed the Salt Lake Swim and Tennis facility. It is a private club that is open to the public with additional fees. Mayor Money said their community is more in need of a combination tennis and swim facility. They should partner with the high school.

 

The South Jordan Tennis Association was complimented. They have a men’s 3.0 team that is going to Nationals. It was noted that the men practice at Salt Lake Swim and Tennis in the Fall/Winter. The women play at Liberty Park. It is getting more and more difficult to find a facility.

 

C.        Presentation: Health Care “Obama Plan.” Presented By Patty Conner, Director of Utah Health Exchange

 

Patty Conner, Director of Utah Health Exchange, said one of the largest challenges of small businesses is offering health care to their employees. She gave a presentation on the Utah Health Exchange (Attachment B). They are taking a different approach than other states. She discussed the differences between the Massachusetts and Utah Plans. She indicated that she believes they should have a state approach, rather than a national plan. Utah’s demographics differ from other states.

 

The Council expressed appreciation for their efforts.

 

D.        Presentation: Legislative Redistricting and Its Impact on South Jordan City. Presented by Representative Merlyn Newbold

 

This item was not discussed.

 

III.        CITIZEN COMMENT

 

None.

 

IV.        SUMMARY ACTION CALENDAR

 

None.

 

V.         SUMMARY ACTION ITEMS HELD OVERR

 

None .

 

VI.        PUBLIC HEARINGS AND POTENTIAL LEGISLATIVE ACTION ITEMS

 

None.

 

VII.       PUBLIC HEARINGS AND POTENTIAL ADMINISTRATIVE ACTION ITEMS

 

None.

 

VIII.      OTHER BUSINESS

 

A.1.      Resolution R2011-42, Authorizing the Issuance and Sale by the Municipal Building Authority of its Lease Revenue Refunding Bonds, Series 2011, in the Aggregate Principal Amount of not to Exceed $6,900,000; Authorizing the Execution of a Third Supplemental Indenture, a Bond Purchase Agreement, and Amendments to the Master Lease Agreement. (By Finance Director, Sunil Naidu).

 

Finance Director Sunil Naidu reviewed the background information on this Resolution. It authorizes the Municipal Building Authority (MBA) to refund the old bond. The saving will be $600,000 in interest. The reason they have waited until now is because of the call dates on the bond and the penalties associated with that. The call date on this bond is October 2012. The cost to refund the bond now is a little over $100,000, but the savings is $600,000 in interest over the life of the bond. He explained the parameters of the Resolution. He noted that interest rates are 2 ¾ to 3 percent right now.

 

Council Member Winger asked if there are other bonds that they can do the same thing? Mr. Naidu said they have refinanced most of the bonds with the lower interest rates. They are watching the bonds closely. He noted that they are looking at paying off a 2001 sales tax bond.

 

            A.2.      Potential Action Item – (See VIII. A.1.) R2011-42

 

Council Member Winger made a motion to approve Resolution R2011-42. Council Member Butters seconded the motion. Roll call vote. The vote was unanimous in favor.

 

RECESS CITY COUNCIL & MOVE TO MUNICIPAL BULDING AUTHORITY (MBA)

 

Council Member Johnson made a motion to recess the City Council meeting and move to a Municipal Building Authority meeting. Council Member Butters seconded the motion. The vote was unanimous in favor.

 

B.1.      Consideration of Municipal Building Authority Resolution MBA 2011-04, Approving Issuance and Sale of MBA Lease Revenue Bond, Series 2011, and to Set Parameters on Maximum Principal, Maximum Interest Rates, Maximum Discount, and to Establish a Pricing Committee. (By Finance Director, Sunil Naidu).

 

Finance Director Naidu reviewed the background information on this item. It was noted that the Pricing Committee is made up of CM Geilmann, ACM Johnson, and Finance Director Naidu. They will work closely with bond council, the underwriters, and financial advisors.

 

Mr. Naidu explained that the bond is paid by the tax increment by the RDA; it doesn’t come from the General Fund. They discussed the haircut tax from the County. Mr. Naidu said only one RDA qualifies for the haircut provision and they have to spend that portion in the recreation facility.

 

Laura Lewis, financial advisor, indicated that the recreation facility is security for the lease payment. She said interest rates are low because the economy is not doing well. Now is a good time to take action on this item. She also noted that the City has been fiscally conservative.

 

Chairman Money asked why do they need a cap on the interest rate at 5 percent, since the current rates are much lower than that? Ms. Lewis said some bond purchasers may want the coupon to be different from the yield rate. Chairman Money said if the rates go up, they won’t be proceeding on this item. Ms. Lewis concurred.

 

B.2.      Potential Action Item – (See VIII. B.1.) MBA 2011-04

 

Board Member Taylor made a motion to approve Resolution MBA 2011-04. Board Member Butters seconded the motion. Roll call vote. The vote was unanimous in favor.

 

ADJOURN MUNICIPAL BUIILDING AUTHORITY (MBA) & RETURN TO CITY COUNCIL

 

Board Member Butters made a motion to adjourn the Municipal Building Authority meeting, and return to a City Council meeting. Board Member Short seconded the motion. The vote was unanimous in favor.

 

C.1.     Council Discussion: Legislative Priorities for 2012. (By City Attorney, Rob Wall)

 

C.2.     Potential Action Item – (See VIII. C.1.)

 

Items C.1. and C.2. were not discussed.

 

D.1.     Council Discussion: Potential Cancellation of December 20, 2011 Council Meeting

 

D.2.     Potential Action Item – (See VIII. D.1.)

 

Council Member Johnson made a motion to cancel the December 20, 2011 Council meeting. Council Member Winger seconded the motion.

 

Council Member Short made a substitute motion to cancel the December 20, 2011 Council meeting, unless something comes up that needs to be addressed. Council Member Butters seconded the motion. The vote was unanimous in favor.

 

IX.        INFORMATIONAL ITEMS AND OTHER BUSINESS

 

A.         CALENDARING ITEMS

 

The City Council noted the Fireman’s dinner on Friday, October 7th at 6:00 p.m. at the Community Center.

 

The City Council also noted that they need to attend South Jordan University on Thursday, October 6th.

 

The Mayor’s Pinewood Derby luncheon on the 12th was also noted.

 

Council Member Winger said the grand opening of the Dental School will be on October 29th, by invitation only.

 

B.         COMMENTS FROM MAYOR AND MEMBERS OF THE CITY COUNCIL

 

None.

 

C.        CITY MANAGER BUSINESS

 

1.         Grading and Drainage Issues within the City. (City Engineer, Brad Klavano)

 

City Engineer Klavano said in the last year, staff has had a lot of issues brought up regarding lot drainage. The existing codes and Ordinances don’t allow them to do a lot of review on grading and drainage when a lot is developed. Staff wants to modify their standards to show grading and drainage issues. He said staff is working on bringing an Ordinance to modify the standards to require the plot plans to show grading and drainage issues and have the engineers do a review of those plans. They may even require the builder to hire an engineer or surveyor to stamp off that those plans were followed. He said they may also have to make every building permit get a land disturbance permit. They are looking at combining the two issues and will be bringing it forward to the City Council. Mayor Money said it is a critical issue to address. He said the city is blamed when there is a problem, not the developers or builders. City Engineer Klavano said that is why we need to change the process.

 

D.           NEW BUSINESS

 

None.

 

Council Member Winger made a motion to go into a closed meeting to discuss the purchase, exchange, or lease of real property. Council Member Taylor seconded the motion. The vote was unanimous in favor.

 

CLOSED MEETING

 

Council Member Johnson made a motion to go back into an open meeting. Council Member Butters seconded the motion. The vote was unanimous in favor.

 

ADJOURNMENT

 

Council Member Johnson made a motion to adjourn. Council Member Butters seconded the motion. The vote was unanimous in favor.

 

 

This is a true and correct copy of the October 4, 2011 City Council meeting minutes, which were approved on October 18, 2011.

South Jordan City Recorder