Municipal Authority

M3A MINUTES Sand Springs Municipal Authority June 25, 2018 Room #203 Following City Council Sand Springs Municipal Building 100 East Broadway Sand Springs, Oklahoma 74063 MEMBERS PRESENT: Chairman Mike Burdge (2-0) Vice Chairman Phil Nollan (2-0) Trustee Beau Wilson (2-0) Trustee Jim Spoon (2-0) Trustee Brian Jackson (2-0) ALSO PRESENT: City Manager Elizabeth A. Gray City Attorney David Weatherford Secretary Janice L. Almy MEMBERS ABSENT: Trustee Patty Dixon (0-2) Trustee Christine Hamner (1-1) The Sand Springs Municipal Authority met in regular session on June 25, 2018, in Room No. 203 of the Sand Springs Municipal Building pursuant to the agenda filed with the City Clerk’s office and posted at 11:00 a.m., on June 21, 2018, on the digital display board located in the first floor lobby of the Sand Springs Municipal Building, 100 East Broadway, Sand Springs, Oklahoma 74063. 1. Call to Order Chairman Burdge called the meeting to order at the noted time of 7:51 p.m. 2. Roll Call Chairman Burdge called for an individual roll call with members replying in the following manner: Trustee Jackson, here; Trustee Dixon, no response; Trustee Spoon, here; Vice Chairman Nollan, here; Chairman Burdge, here; Trustee Hamner, no response; Trustee Wilson, here. It was noted for the record that Trustee Dixon and Trustee Hamner were absent from said meeting.  MUNICIPAL AUTHORITY MINUTES JUNE 25, 2018 PAGE 2 3. Consent Agenda (A-J) Chairman Burdge informed Trustees that all matters listed under Consent Agenda to be considered by Trustees are to be routine and will be enacted by one motion. Chairman Burdge noted that questions or clarification on any Consent Agenda item may be addressed prior to taking action. Chairman Burdge requested if Trustees had questions or needed clarification on any Consent Agenda item. There being none, Chairman Burdge noted any Trustee may remove an item from the Consent Agenda by request. Chairman Burdge requested if Trustees had items to be removed from the Consent Agenda. There being none, Chairman Burdge called for a motion regarding Consent Agenda Items 3A through 3J. A motion was made by Trustee Spoon and seconded by Trustee Wilson to approve the Consent Agenda Items No. 3A through 3J: A) The minutes of the May 21, 2018, regular Municipal Authority meeting. B) The monthly Transfers of Funds. C) The Fiscal Year 2019 plans with Oklahoma Municipal Assurance Group (OMAG) for municipal liability and property plan insurance renewals. D) The Workers’ Compensation Plan for employees provided through Oklahoma Municipal Assurance Group (OMAG); having a premium for FY2019 of $486,369 with an interest credit of $32,587 for a balance due of $453,782. E) The affirming the continuation of the 8-year contract with Covanta, (The initial contract date began 07/01/2014 and is scheduled to expire 06/30/2022), with options to renew for two additional two-year terms, noting the fee increases are governed by the Consumer Price index with the new rate of $11.46/ton was approved by the TARE Board on February 27, 2018, based upon a CPI of 2.109%. F) A supplemental appropriation in the General Obligation Bond 2014 Fund for an increase to the Revenue – Transfers In: Municipal Authority Water Utility Fund in the amount of $100,000 and an increase to the Expense – Municipal Building Improvements project in the amount of $100,000; and in the Municipal Authority Water Utility Fund for an increase to the Expense – Transfers Out: General Obligation Bond 2014 Fund in the amount of $100,000 and a decrease to the Ending Unrestricted Net Assets in the amount of $100,000. G) A supplemental appropriation in the General Obligation Bond 2018 City Projects Fund for an increase to the Revenue- Transfers In: Municipal Authority Water Utility Fund in the amount of $947,000 and an increase to project expenses (Canyons Golf Improvements $200,000; Museum Building Improvements $197,000; Neighborhood Park Improvements $300,000; Keystone Ancient Forest Improvements $250,000) totaling $947,000; and in the Municipal Authority Water  MUNICIPAL AUTHORITY MINUTES JUNE 25, 2018 PAGE 3 Utility Fund for an increase to the Expense- Transfers Out: General Obligation Bond 2018 City Projects Fund in the amount of $947,000 and a decrease to the Ending Unrestricted Net Assets in the amount of $947,000. H) 1. Year End Budget Adjustments in the Municipal Authority Wastewater Utility Fund for an increase to Wastewater Treatment – Maintenance and Service Contracts in the amount of $20,000; and a decrease to Ending Unrestricted Net Assets in the amount of $20,000. 2. Year End Budget Adjustments in the Municipal Authority Airport fund for an increase to Depreciation Expense in the amount of $45,300; and a decrease to the Ending Unrestricted Net Assets in the amount of $45,300. I) Annual contract renewal with Superion, LLC for financial software package for the 2019 Fiscal Year. J) Ordinance No. 1323, an ordinance authorizing the transfer of real property from the City of Sand Springs for the purpose of economic development and redevelopment and authorizing the City Manager, Mayor, and City Clerk to execute all documents necessary for the conveyance, and notifying the public of referendum rights. Chairman Burdge called for the vote recorded as follows: Trustee Jackson, aye; Trustee Spoon, aye; Vice Chairman Nollan, aye; Chairman Burdge, aye; Trustee Wilson, aye. The motion carried 5-0-0. 4. Sand Springs Chamber of Commerce Lease Community Development Director Grant Gerondale requested Trustees’ approval of a lease agreement between the Sand Springs Municipal Authority and the Sand Springs Chamber of Commerce for the property located at 109 North Garfield Avenue, for the purpose of creating a business incubator operation and co-work space facility. Community Development Director Grant Gerondale provided a brief overview of the proposed lease, as modified, with the modification placed at Trustees’ stations. Sand Springs Chamber of Commerce President Kristen Valentin provided a remodeling plan for the property and timeline for the co-work space and incubator operations. Following discussion, a motion was made by Trustee Spoon and seconded by Trustee Jackson that the requested approval of a lease agreement, as modified, between the Sand Springs Municipal Authority and the Sand Springs Chamber of Commerce for the property located at 109 North Garfield Avenue, for the purpose of creating a business incubator operation and co-work space facility, as presented, be approved.  MUNICIPAL AUTHORITY MINUTES JUNE 25, 2018 PAGE 4 Chairman Burdge called for the vote recorded as follows: Trustee Jackson, aye; Trustee Spoon, aye; Vice Chairman Nollan, aye; Chairman Burdge, aye; Trustee Wilson, aye. The motion carried 5-0-0. 5. Financial Report The monthly Finance Report for all funds was presented to Trustees for their review and information. 6. Correspondence The following correspondence was provided to Trustees for their review and information: A) Regular monthly bills. 7. City Manager’s and Trustees’ Report A) City Manager’s Annual Report is available in drop box. B) City offices will be closed Wednesday, July 4, 2018, in observance of the Independence Day holiday. 8. Adjournment The meeting adjourned at the noted time of 8:08 p.m. _______________________________ Janice L. Almy, Secretary  CITY OF SAND SPRINGS MONTHLY TRANSFERS M3B July 2018 ANNUAL BUDGET MONTH YEAR TO FROM TO TRANSFER DATE TRANSFERS PER BOND INDENTURE FROM: General Fund $ 6,459,285 $ 551,749 $ 551,749 TO: Mun Auth Water Utility Fund 3,150,871 269,146 269,146 Street Impr Fund 1,575,435 134,573 134,573 Public Safety Cap Impr Fund (Jan 2017) 1,417,892 121,116 121,116 Economic Dev Cap Impr Fund (Jan 2017) 315,087 26,915 26,915 (sales tax) TRANSFERS PER COUNCIL ACTION FROM: General Fund $ 892,000 $ 132,833 $ 132,833 TO: General Short Term Capital Fund(E911) 10,000 833 833 General Short Term Capital Fund 132,000 132,000 132,000 Tax Increment District Fund 750,000 - - FROM: Sinking Fund (Interest) $ 3,500 $ 300 $ 300 TO: General Fund 3,500 300 300 FROM: Capital Impr W&WW Fund $ 800,000 $ 66,663 $ 66,663 TO: Mun Auth Water Util Fund 800,000 66,663 66,663 FROM: General Short Term Capital Fund $ 95,000 $ 7,913 $ 7,913 TO: General Fund (E911) 95,000 7,913 7,913  SAND SPRINGS MUNICIPAL AUTHORITY MONTHLY TRANSFERS July 2018 ANNUAL BUDGET MONTH YEAR TO FROM TO TRANSFER DATE TRANSFERS PER BOND INDENTURE FROM: Mun Auth Water Utility Fund $ - $ - $ - FROM: Mun Auth Wastewater Utility Fund $ - $ - - TRANSFERS PER TRUSTEE ACTION FROM: Mun Auth Water Utility Fund $ 4,897,871 $ 581,600 $ 581,600 TO: Cap Impr W&WW Fund (sales tax) 3,150,871 269,146 269,146 Mun Auth Golf Course Fund 175,000 14,583 14,583 Capital Improvement Fund 50,000 4,167 4,167 Street Improvement Fund 110,000 9,167 9,167 Mun Auth Airport Fund 50,000 4,167 4,167 General Fund 980,000 81,663 81,663 MA Short-Term Capital Fund 177,000 177,000 177,000 Water Meter Replacement Fund 200,000 16,707 16,707 Airport Construction Fund 5,000 5,000 5,000 FROM: Mun Auth WasteWater Utility Fund $ 453,000 $ 164,250 $ 164,250 TO: MA Short Term Capital Fund 138,000 138,000 138,000 General Fund 200,000 16,667 16,667 Street Improvement Fund 115,000 9,583 9,583 FROM: Mun Auth Solid Waste Utility Fund $ 450,000 $ 266,667 $ 266,667 TO: Mun Auth Short Term Capital Fund 250,000 250,000 250,000 General Fund 200,000 16,667 16,667 FROM: Mun Auth Stormwater Utility Fund $ 1,200,000 $ 100,000 $ 100,000 TO: Stormwater Capital Impr Fund 1,200,000 100,000 100,000 FROM: Mun Auth Golf Course Fund $ 25,500 $ 2,900 $ 2,900 TO: Golf Course Capital Improvement Fund 25,500 2,900 2,900  M3C Agenda item #______ CITY OF SAND SPRINGS COUNCIL/AUTHORITY STAFF REPORT MEETING DATE: July 23, 2018 SUBJECT: RESOLUTION No. 19-03 and M-19-01 COUNCIL AND THE MUNICIPAL AUTHORITY WILL CONSIDER A RESOLUTION APPROVING THE ANNUAL RENEWAL OF EXISTING SALES TAX AGREEMENTS BETWEEN THE CITY AND SSMA THAT ARE REQUIRED FOR BOND FINANCING. BACKGROUND AND HISTORY: As a part of the existing bond financing that has been used by the Sand Springs Municipal Authority (Revenue Bonds for the Wastewater Plant, Public Works Facility and other Public Works Improvements, and Revenue bonds for Public Safety), the City and the Municipal Authority entered into the five attached Sales Tax Agreements that provide additional security for the payment of the bond, basically pledging City sales tax if needed to repay the debt. The agreements require annual renewal and the approval of the joint resolution simply renews those existing agreements. STAFF RECOMMENDATION: Approval of the resolution renewing the sales tax agreements. BUGETARY IMPACT: None. COMPILED BY: Finance Director & City Attorney APPROVED BY: City Manager Attachments: List of attachments: (1) proposed resolution; (2) Sales Tax Agreement Dated October 1, 2013; (3) Sales Tax Agreement Dated November 1, 2012; (4) Sales Tax Agreement Dated December 1, 2009; (5) Sales Tax Agreement Dated December 1, 2015; and (6) Sales Tax Agreement Dated March 1, 2016.  RESOLUTION NO. 19-03 and M-19-01 A RESOLUTION RENEWING, RATIFYING AND REAFFIRMING, FOR FISCAL YEAR 2018-19, THE “SALES TAX AGREEMENTS” BETWEEN THE CITY OF SAND SPRINGS AND THE SAND SPRINGS MUNICIPAL AUTHORITY. WHEREAS, The City Council of the City of Sand Springs has previously approved sales tax agreements between the City and the Sand Springs Municipal Authority wherein the City agreed to make payments to the Authority in amounts sufficient to pay when due all principal and interest on the Authority’s Utility System Revenue Promissory Notes including but not limited to the Utility Systems Revenue Bonds Series 2012, the Utility System Revenue Notes Refunding Series 2013; various notes referenced in the 2009 Sales Tax Agreement dated December 1, 2009; as well as the Capital Improvement Revenue Bonds 2015, and the Capital Improvement Revenue Bonds 2016. WHEREAS, annual renewal of the agreements is necessary and appropriate for the current fiscal year as a routine annual renewal, and is in the best interest of the residents of the City of Sand Springs and the rate payers of the municipal authority. NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SAND SPRINGS AND BY THE TRUSTEES OF THE SAND SPRINGS MUNCIPAL AUTHORITY: SECTION 1. The Sales Tax Agreement dated October 1, 2013, the Sales Tax Agreement dated November 1, 2012, and the Sales Tax Agreement dated December 1, 2009, the Sales Tax Agreement dated December 1, 2015, the Sales Tax Agreement dated March 1, 2016, and all other current Sales Tax Agreements between the City and the Authority are hereby renewed, ratified and affirmed by the City of Sand Springs and Sand Springs Municipal Authority for the current fiscal year. PASSED AND APPROVED by the City Council of the City of Sand Springs this 23rd day of July, 2018. __________________________ Mike Burdge, Mayor of the City of Sand Springs and Chairman of the Sand Springs Municipal Authority ATTEST: ______________________________ Janice Almy, City Clerk ______________________________ David L. Weatherford, City Attorney M3D M3E M3F M5A