City Commission

Regular Meeting Minutes City Hall Minutes of September 11, 2024 The Governing Body met at 4:04 pm on this date for the Regular City Commission Meeting with the following members present and participating to wit: Mayor Pro Tem Allen, Commissioner Clayton, and Commissioner Crowley. Mayor Skidmore and Commissioner Caylor was absent. Mayor Pro Tem Allen called the meeting to order. Mayor Pro Tem Allen welcomed the audience and led the Pledge of Allegiance to the American flag. Revered Terance Roberson from Bethany Chapel Baptist Church gave the invocation. Public Comments None were received. Appointments, Proclamations, Recognitions, Nominations and Public Hearings Historic Mechanical Engineering Landmark STAG Award The Governing Body heard from Electric Superintendent Hunsaker who presented on the recent American Society of Mechanical Engineers (ASME) designation of the City of Ottawa's Steam Turbine and Gas (STAG) generator as a Historic Mechanical Engineering Landmark. This recognition highlights the generator as a breakthrough in heat engine design and the oldest existing unit of its kind. The designation will be celebrated with a plaque presentation ceremony on September 13, 2024. Power of the Past Tractor Show Update The Governing Body received an update from Police Chief Weingartner regarding public safety preparations for the 2024 Power of the Past Antique Engine and Tractor Show, hosted in Forest Park. This event, which attracts around 5,000 attendees daily, involves extensive collaboration between the Ottawa Police Department, Ottawa Fire Department, and other public safety agencies. The City's commitment to public safety is key to the success of the event, which will be followed by an After-Action Review to improve planning for future events. Consent Agenda Commissioner Crowley made a motion, seconded by Commissioner Clayton, to approve the consent agenda, including minutes from the September 4, 2024 Regular Meeting and the Regular Meeting agenda. The motion was considered, and upon being put, all present voted aye. The Mayor Pro Tem declared the consent agenda duly approved. Declaration No declarations were made. Unfinished Business Public Hearing for Amended TIF Project Plan for Premier Auto The City Commission continued the public hearing at 4:20 pm on the amended TIF project plan for the Premier Auto Project. Tyler Ellsworth, Kutak Rock provided an update on the development agreement.. The request includes increasing the TIF cap due to unforeseen cost overages. The request includes an increase to the TIF cap due to unforeseen cost overages, an September 11, 2024 1 City of Ottawa Regular Meeting Minutes September 11, 2024 Page 2 extension on sales tax exemption for Phase I, and an accelerated timeline for starting Phase II of the project. Mr. Ellsworth discussed the following: • The Phase I project is near completion but will miss the original deadline. An extension is requested until December 31, 2024. • An increase of $573,000 in eligible costs has been verified, necessitating an increase in the TIF cap. • An updated feasibility study indicates an increase in project scope and value, allowing the TIF cap increase within the same 15-year period. • The proposed ordinance and amended agreement outline that if Phase II is not completed due to factors beyond the developer’s control, the TIF reimbursement cap will revert to the original $2.2 million. The Mayor Pro Tem closed the public hearing at 4:25 pm. Ordinance Approving Amended TIF Project Plan and Approving Second A&R Development Agreement The Governing Body heard from Tyler Ellsworth, Kutak Rock, who reviewed an ordinance seeking approval of the amended TIF Project Plan and the Second Amended Restated Development Agreement. Commissioner Crowley made a motion, seconded by Commissioner Clayton, to approve this ordinance. The motion was considered and upon being put, all present voted aye. The Mayor Pro Tem declared this ordinance duly approved, and the ordinance was duly numbered Ordinance No. 4145-24. Ordinance Authorizing Issuance of Phase I IRB The Governing Body heard from Tyler Ellsworth, Kutak Rock, who reviewed the ordinance authorizing the issuance of Industrial Revenue Bonds (IRBs) for Phase I of the Premier Auto Project. Mr. Ellsworth outlined the IRB process, which supports the project’s financing needs and the following: • The IRBs will provide up to $4,200,000 for acquiring, constructing, and equipping the commercial facility. • The issuance of these bonds facilitates a sales tax exemption for project expenses without making the City liable for project costs. • Phase II of the project will undergo its own IRB proceedings, separate from Phase I. Commissioner Clayton made a motion, seconded by Commissioner Crowley, to adopt the ordinance authorizing the issuance of IRBs for Phase I of the Premier Auto Project. The motion was considered and, upon being put, all present voted aye. The Mayor Pro Tem declared this ordinance duly approved, and it was numbered Ordinance No. 4146-24. Resolution of Intent for Phase II IRB The Governing Body heard from Tyler Ellsworth, Kutak Rock who reviewed the Resolution of Intent to issue Industrial Revenue Bonds (IRBs) for Phase II of the Premier Auto Project. Mr. Ellsworth outlined the IRB process for Phase II and provided the following details: September 11, 2024 2 City of Ottawa Regular Meeting Minutes September 11, 2024 Page 3 • The Resolution authorizes up to $3,150,000 in taxable IRBs to finance the acquisition, improvement and equipping of a second auto dealership, expected to be approximately 25,000 square feet, located adjacent to Phase I. • The issuance of these bonds is aimed at securing a sales tax exemption for the project's expenses, without making the City liable for the project costs. • The updated Development Agreement includes provisions for assigning IRB issuance rights to an entity controlled by the developer or its principals, who will be required to meet all obligations under the Development Agreement. Commissioner Crowley made a motion, seconded by Commissioner Clayton, to adopt the Resolution determining the intent of the City of Ottawa to issue IRBs for Phase II of the Premier Auto Project. The motion was considered and, upon being put, all present voted aye. The Mayor Pro Tem declared the Resolution duly approved, and it was numbered Resolution No. 1965-24. New Business Voting Delegates for League of Kansas Municipalities Annual Conference The City Commission discussed the selection of voting and alternate voting delegates for the League of Kansas Municipalities (LKM) Annual Business Meeting. The City Clerk outlined the following: • Each member city is entitled to three (3) votes at the LKM Annual Business Meeting, scheduled for Saturday, October 12, 2024, from 12:00 to 1:15 p.m. • Forms for each voting delegate and alternate voting delegate must be submitted to LKM by Friday, September 20, 2024. • The City Commission needs to appoint three (3) voting delegates and at least one (1), but no more than three (3), alternate voting delegates. The Governing Body agreed by consensus to place this item on the September 18, 2024 Regular Meeting agenda. City Manager’s Comments City Manager Silcott provided an overview of the tentative agenda items for the upcoming City Commission meeting. Governing Body Comments Commissioner Clayton expressed his gratitude to everyone who participated in the Corner Clean-up event on Saturday. Commissioner Clayton also emphasized the importance of being mindful, particularly in recognizing the service of first responders and those who serve our country. Mayor Pro Tem Allen noted that September is a busy month and encouraged everyone to stay safe and be extra patient, especially with drivers from out of the area. Announcements A. September 13, 2024 STAG Award Presentation – 11:00 am, City Hall B. September 18, 2024 City Commission Meeting - 10:00 am, City Hall C. September 25, 2024 Preparing for Panasonic – 11:30 am – 1:00 pm, Ottawa University D. September 25, 2024 City Commission Meeting - 4:00 pm, City Hall September 11, 2024 3 City of Ottawa Regular Meeting Minutes September 11, 2024 Page 4 Executive Session Recess Mayor Pro Tem Allen made a motion, seconded by Commissioner Crowley, to recess into executive session for a period of 20 minutes, resuming at 5:00 pm with City Attorney Blaine Finch and City Manager Brian Silcott present for the purpose of attorney/client consultation. The justification for the closed session is to engage in confidential and privileged communication with the board’s attorney by K.S.A. 75-4319(b)(12). The motion was considered and upon being put, all present voted aye. The Mayor Pro Tem declared the meeting duly recessed. Reconvene Commissioner Clayton made a motion, seconded by Commissioner Crowley, to reconvene into open session. The motion was considered and upon being put, all present voted aye. The Mayor Pro Tem declared the meeting duly reconvened at 5:00 p.m. Adjournment There was no further business before the Governing Body, the Mayor Pro Tem declared the meeting duly adjourned at 5:00 pm. /s/ Melissa Reed Melissa Reed, City Clerk September 11, 2024 4