Michaeleen O'Keefe - Would like to add to xeriscaping code the option to add artificial turf. There is a process that allows blades to stay down and look like grass. It's better than rocks because kids can play on it. Works great for animals. Since it's not specifically in code, it needs to be added to be allowed. Would like approval as soon as possible as she's being fined each month for not having landscaping. City will suspend the monthly fine while the city discusses this as a policy for xeriscaping.
Consent Agenda
Minutes from the May 2nd and May 16th meetings were approved.
City Reports
Chandler Goodwin - Lacrosse starts tomorrow. Participation is slightly down. Golf and events are doing well. Events are booked for every weekend for some time. Golf is expected to exceed budgeted revenue projections. Steve Thomas withdrew his name for city council so we will not have a primary election. Bayhill Park equipment was approved. Golf Course building is nearing completion and should be done by end of the month. Cottonwood Well is still down without a diagnosis. Working on determining the issue. Heiselt's Park renovation will start early fall.
CM Zappala - Parks & Trails Committee met. Discussed park equipment for Bayhill Park. Charl did great job getting a discount on the bids and putting together a proposal based on feedback. Will have a medium-sized pavilion with a basketball court. Discussed budget for next fiscal year, looking at $8525. Will go towards adding to the roundabout, getting accent lights for the trees, and the community events. Working on yard of the month awards. Annual pancake breakfast will be August 19th.
Appointing a New City Council Member
The applications for those interested in the vacancy are available in the agenda packet for today's meeting. Ben Ellsworth had to leave at 8:15 so was unable to attend this portion. Bill Knowlton did not appear.
Introductions
Denise Anderson - Lived in Cedar Hills for 25 years. Chose it because of the peaceful environment and what the city would become. Is the precinct chair in her voting district. Doesn't want part of politics at state or county level, but interested in being involved in the city. Has served on the Beautification Committee in the past but would like to be more involved. Likes the direction the city is going and wants to be a part of it
Trent Augustus - Would like to continue his involvement with Cedar Hills. It's a short term, he has the experience and background, so won't need much time to get up to speed. Wants to help out for the short term opening. Has served on city council.
David Driggs - Lived in Cedar Hills for 16 years. Worked in healthcare IT for 20 years. Small business owner as well. Married and father of four. Started serving Cedar Hills in 2010 when he served on the Blue Ribbon Committee. In 2012 started serving on Planning Commission. Served on the Golf Course Finance Committee in 2015. Served on General Plan Committee. Wants to continue the path that has been established. Council has done a good job with improving transparency and financial stability of the city. Has experience with land use law. Wants to help small home-based businesses grow.
Maurice Navarro - Lived in Seattle and decided to move to Cedar Hills as he visited family here and loved it. Love the sense of community, the sense of family. Has three children and wanted an area where he felt comfortable letting his kids go out and play. Works in residential and commercial financing. Has worked with golf course developments in the past. Wants to serve the community that has been so welcoming.
What is the proper role of government for cities?
Denise - Protect citizens and provide a safe place to live. Citizens should have input into the government and to develop the neighborhoods for safety and infrastructure.
Trent - Provide for needs and services of the city, including water, sewer, utilities. Also feels recreation and community involvement that provide a well-rounded community and spirit, like Family Festival.
David - Similar to above. Provide for basic services like utilities, roads, safety. Also to provide quality of life, such as recreation.
Maurice - At the city level, that is where the closest relationship is to the people. Protect the rights and needs of the people. Utilities, safety. Should be a reflection of the community.
How many hours can you devote each week?
Denise - Work from home. Her time is very flexible and can devote as many hours as needed. Has one child left at home and feels she has the time to devote.
Trent - Has devoted 2-30 hours per week while he served on the Council. Will dedicate time needed.
David - Works from home and has flexibility. Will do whatever it takes to understand topics.
Maurice - Expected 20-30 per month. Can do whatever is needed.
Living in a small city, personal relationships develop. There are times when you have to go against what a neighbor wants. Can you make those tough decisions.
Denise - In business, she has had to evict people. It's not easy and is heart-wrenching. Can do the hard thing if it's the right thing to do. If it's necessary, it has to be done.
Trent - Elected officials signed up to make the hard decisions. There can be some tough decisions that require a lot of time. He once had to fire a friend, and that was difficult, but needed to be done.
David - His neighbor wanted to subdivide his property as he needs the money and wanted his help to make it work. David voted no while on Planning Commission based on the facts. It's not his job to interpret law based on what he wants, but on what is in code.
Maurice - Finds loans for financing. At times he's had to tell people why they can't get the financing they want. Has had to deal with upset customers. Has been serving as the HOA President for Bridgestone and deals with issues and complaints. Goal is to look out for whole community.
What are your views on the golf course?
Denise - Lived here throughout the controversy. She doesn't golf but understands the value to the city. There are things we may pay for that we don't use. It beautifies the city and has always supported it.
Trent - Has supported from day one. Happy to pay the cost. If residents wanted to get rid of it, he would support that. He purchases punch cards and loves playing at the course. Neighbors enjoy the scenery. It's a quality of life issue.
David - Used to golf but doesn't now. Serving on the golf course committee he knows it would be a bad decision to get rid of the course. There are legal issues, easements, etc that would be impacted. Feels we own it, we should continue paying for it, and do all we can to make it a success. Feels it's a popular course.
Maurice - Doesn't play as often as he'd like. Golf courses struggle financially. It's an asset to development. Most aren't successful in the beginning. When there is a focus on how to make it work, they become successful. Thinks ours is gorgeous and can be an asset. Community is divided, there should be a lot of discussion and thought put into making it successful. Other cities have recreation centers and facilities, but for us the golf course is that. Cedar Hills doesn't have much else.
There were concerns with a residential development proposed for our commercial zone. What is your hope for that area, and do you agree with the decision that was made by the Council? Project was approved with conditions, including reducing the proposed number of units. The owner is fighting those conditions. It will cost the city to maintain the original vote. Are you committed to maintaining that position even if it costs the city money?
Denise - Commercial zone is too small because we need sales tax base. Not thrilled with the idea of the 55+ complex. Would prefer small commercial business instead. High density units would be a strain on services. We need sales tax revenue. Ideal vision for that zone is more business. Feels we should continue with the conditions placed as we have to look at what is best for the city.
Trent - Believes the city has the right to set guidelines for businesses that come into the community. City shouldn't lower standards. We need to listen to citizens. If it costs money, feels the city should stand behind the decision that was made.
David - That land is owned by a private party. They brought a developer that wanted to build the residential facility. Spent a lot of time with the planning commission going over this. He was the only person who voted no as he felt they had not provided, in writing, that it would truly be a congregate care facility. Didn't want it to be an apartment complex. Permitted uses are listed and should work with property owners. On continuing to stick to the decision, hard to make that call without knowing how much money is being talked about.
Maurice - Would have liked to have seen more commercial in that area. One thing that drew him to the area was the quietness. Wants sense of community and there isn't much going on here, so has to go to other communities. Doesn't know the numbers on the impact and would like more information on the topic. Council answers to the residents. Doesn't know all the details but would support the Council's decision as much was considered.
What are your views on the Community Center?
Denise - It should be both. There is space to do all sorts of things. Residents will come if there are events happening. Has attended events and it's a great building. Has a potential. Long term there can be other things like potentially a pool. Turning this into what it should be is a long-term goal. Need to come up with a plan so residents want to be here.
Trent - Feels a good job is occurring with golf and recreation. Would like to see more recreation, but feels the wedding events and other things are recreational type activities. We don't have population base to support other activities. Cedar Hills is unique and we have to determine what best meets the needs for recreation and golf. We struggle with how to get more going on here. Doesn't have anything specific on what will bring more people in.
David - Is a dual purpose building. We want to grow commercial zone, but there is an untapped small business community in our city. Would like to create classes and workshops for small businesses on how to do things such as marketing. Would like to draw in adults, not just youth.
Maurice - Golf course is here and should be a little of both. Will come more often if Ernie's is here. Ongoing discussion is healthy. It takes time for golf to be successful. Has talked to people nearby who don't know this facility exists. Make it work and do whatever is necessary.
After this portion, two finalists are Denise and Trent.
There have been questions over what to do with St. Andrews Estates. What do you want to do with that space?
Trent - Would like to see it as open space. Our city is limited with space. Open space is a premium. Being able to make a million or so dollars isn't worth the cost of keeping the open space.
Denise - Agrees with Trent. It's awkwardly located and feels golf balls would be in yards. Would love to see it become a dog park and keep other green spaces for play. Likes to develop parks and keep spaces green. Wants to keep it green space.
Should we build a splash pad or pool?
Trent - We have a lot of pools around us. Doesn't think North Utah County needs another pool. We have a limited population base and pools are expensive. Doesn't see it working for our city. Thinks nearby competing pools would make it difficult. As it ages, the cost will become greater. Would like to see a splash pad or small water facility for kids. Maintenance and overhead are less and wouldn't burden the residents as much. Not opposed to putting splash pad in St. Andrews area if it would work financially. Would like it to be at the community center, but parking is an issue. Could be combined with the commercial district or at Deerfield Park.
Denise - Feels city would benefit from having a pool. One of the things the community center process said would happen is a pool and community was excited about that. Deerfield Park area would be a good location Would add value to the city and makes it attractive to people looking for where to live. Amenities improve property values.
There are times when elected officials disagree, sometimes strongly. At times it becomes public and ugly. How would you deal with conflict?
Trent - Has been there and dealt with it. Feels it is part of the job. Broader points of view should occur. Be professional, be effective, work to resolve differences. Open to conversations.
Denise - Doesn't like conflict but not afraid to fight for what she believes in. If it became public she would listen and explain her views. Shouldn't back down because of fear of criticism. Council should come to the table with opinions and work within that. It's good to have differing opinions and deal with it if it becomes public.
What are your goals and vision for Cedar Hills over the next five years?
Trent - More commercial development. More recreation programs for younger kids and get YCC involved.
Denise - Commercial is biggest hope for city. Loves the beautification of Cedar Hills, such as roundabout, and would like to see beautification continue. Wants to see the city become an attractive place to live. Wants residents to feel safe here and feel proud of Cedar Hills.
Closing Statements
Trent - Thanks Council and Mayor. It's a thankless job and appreciates the time and effort. Cedar Hills is a great place and wants to continue helping the city. Feels he can help out over next six months.
Denise - Thanked the Council and Mayor. Lived here since most population was off of Cedar Hills Drive. Has a vision and belief for Cedar Hills and wants to be a part of that. Wants an opportunity to bring her love for the city to the Council.
Vote:
Mike - For Trent as the others are running for office and Trent has experience.
Ben - Echoes what Mike said. Doesn't want to give perception that that he supports one of the candidates over the others as he thinks all are good. Votes for Trent.
Daniel - In the past there has been a desire to want someone who is committed to running in the future, and understands what Ben is saying. Likes what Denise has to say and likes idea of new perspective and feels it's healthy for Council. Votes for Denise.
Jenney - I'm not worried about perception of Council support as the Council has supported candidates in the past quite vocally. I vote for Denise.
Mayor breaks a tie. Mayor voted for Denise. Denise will complete Rob Crawley's term.
Review/Action on Assigning a Council Member to Planning Commission
With the resignation of Rob Crawley, a new member of the Council needs to be appointed to serve as the liaison. Denise Anderson was appointed.
Review/Action on Awarding a Contract for Community Center Concessions
Because the Council vote from June 8 failed to get three votes, it is necessary that we revisit the proposals for the grill space. One of the vendors, Falafel Tree, has withdrawn their application, citing a lack of interest. The two remaining vendors are Mama Lau's and Ernie's. Staff has discussed a number of issues that should be brought up in light of the discussion on June 8.
- 1-Does the vendor intend to be open on Sundays?
- 2-Will the vendor provide concessions on the course?
- 3-Will the vendor provide breakfast services on weekends?
- 4-What the vendor hours of operation be during golf, and after golf season?
- 5-Will the vendor provide quick food options?
- 6-Will food options cater to golfers, wedding events, and residents?
Ernie presented for Ernie's. They've been in business for 19 years and are located in Orem. Now have a food truck and a location at Sleepy Ridge Golf Course since February. Has increased business each month. They bring customers to the golf course. They deliver to residents around the golf course. You have to feed the golfers, but generally isn't enough to generate revenue year round. Work with other businesses to provide catered lunches. This helps then supplement revenue. They are open 7am-6pm 7 days a week. They currently don't have different hours for winter. They also do wedding catering and average about 2 per month. That has gone up since being in a golf course clubhouse. On questions 1-3 he answered yes. Their menu is different from standard golf food. On questions 5-6 he answered yes.
Staff is proposing to modify the concession agreement to require first and last month’s rent up front, as well as a cleaning deposit to be held by the City. Finally, based on past experience, staff is recommending that food trucks not be allowed to park overnight at the Community Center.
Mike feels like Ernie's makes more sense for a golf course.
Ben expressed thoughts that residents have said they want Ernie's. Customer support hasn't existed for the grill, but seems like there is support for Ernie's. Personally he'd like Mama Lau's, but from a representative perspective he feels that he needs to go with what the community wants.
In our last meeting, I voted for Mama Lau's. During their proposal, they provided a vision that I support for our Community Center, which is to have more than just a standard menu in order to engage the community. They discussed having an authentic Italian pizza night, a gnocchi night, etc. and as they are Cedar Hills residents, they have a strong desire to work on a community feel for the grill. I look back on the minutes and city newsletters from when the building was approved, and everything I can find shows the purpose of the facility was to provide recreation and community service, in addition to serving as a golf pro shop and reception center. The funds used to build the facility were impact fees collected for the purpose of building a recreation center, and legally could only be used for a recreation center. In the November 2010 city newsletter, the city mentions the facility will include a grill for "casual, family dining". Because recreation funds were used to build the Community Center, and because the stated intent when it was approved was to provide community services, I would love to see more community events occurring in the facility. Our golfers are an important part of the community, but so are our residents. We need to find more opportunities for our residents to be at the Community Center, and I feel this will also allow the grill to be successful as golf business alone isn't enough to keep vendors in business. We've had five vendors in 5 1/2 years and they all have failed to make ends meet. I believe we need to have more people with a reason to be at the Community Center to get more business to the grill. The owners of Mama Lau are Cedar Hills residents, and organize our weekly food truck rally. Combined with their vision for the facility, I believe they would have a good chance to succeed.
However, I recognize that when I sit at the Council table, my job is to represent the residents of Cedar Hills. The feedback we have received over the past couple of weeks is that members of the community are more supportive of Ernie's than Mama Lau's. Unless there is a very compelling reason to do so, such as keeping the city out of legal risk, I believe my job is to support the will of the residents. For that reason, I voted to approve Ernie's as the next vendor. I appreciate the work that the owners of Mama Lau's put forth in organizing the food truck rally, and I love their community vision. I wish them the best with their business. I appreciate Ernie's desire to make the grill successful and will do all in my power to help them be so.
Daniel echoed the thoughts expressed above.
Mike said he agrees with the need for more community events at this facility.
Chandler brought up the signage issue. Our sign ordinance is strict in that private signs are not allowed on public property. Our attorney will provide feedback on the legalities of changing our sign ordinance.
Ernie's was approved 4-0.
Review/Action Certifying the Tax Rate for FY2018
Statutes require that each year a certified property tax rate be calculated. The certified property tax rate is the rate which will provide the same amount of property tax revenue as was charged in the previous year excluding the revenue generated by new growth. Tax rates went down the last few years due to rising property values.
New property growth from new residential/commercial activity was calculated by Utah County as a $9,164 increase for the next fiscal year.
The County Auditor’s certified tax rate for 2017 is .002024 and the total levy amount is $1,014,588
- General Operations: .001406 ($704,818)
- Interest and Sinking Fund/Bond: .000618 ($309,970)
The County Auditor’s certified tax rate for 2016 was .002186 and the total levy amount is $1,005,624
- General Operations: .001512 ($695,654)
- Interest and Sinking Fund/Bond: .000674 ($309,970)
- General Operations: .001594 ($685,065)
- Interest and Sinking Fund/Bond: .000721 ($309,970)
$10,000 decrease/increase to property taxes impacts the rate by 0.0002. Decreasing/increasing the property tax rate changes the city’s allocation of motor vehicle fees, which are based on each government entity’s property levy amount. Last year the city received $108,651 in motor vehicles, which amounts to approximately 10% of property taxes levied. Decreasing/increasing the overall
property tax rate to .002004 or $10,000 causes the motor vehicle fee revenue projections to decrease/increase by approximately $1,000.
This was approved 4-0.
Review/Action on Adopting the FY18 Budget
See my previous notes as we've been discussing the budget since February.
Budget Updates since March
- 10-31-100 Certified property tax rate amount $4,818 higher due to new residential/nonresidential growth.
- Updated responsibilities based on City Manager hire
- 10-44-110 Salary & Wages (FT) increase $1,309 agreed upon during city manager hire
- XX-XX-150 Employee Benefits payroll taxes, pension, and health premiums vary based on wage and status changes
- 10-55-300 Fire Services $26,600 decrease in contract
- 10-60-110, 10-61-110 Public works & Building $2,176 adjustment higher based on some duties previously performed by engineer
- 10-65-120 Salary & Wages (PT) $2,000 increase from recreation growth
- 10-69-910 Transfer to Capital Projects Fund $22,000 increase
General Fund Highlights
- Adding passport service is the main source of revenue growth
- Litigation type of legal services are likely to increase
- Park maintenance contract will expire in December
- Assistant City Manager position absorbed into admin and finance functions
- Engineering responsibilities absorbed by Bowen Collins & Associates and public works
- Land Sale $2,200,000
- Deerfield Park land purchase $2,200,000
- Deerfield Park development $650,000
- Harvey Blvd widening $600,000
- Bayhill Park retainage for site work contract, equipment, pavilions, bathrooms $200,000
- Heritage Park Amphitheater improvements $50,000
- Parks Master Plan $27,000
- Golf Maintenance Building retainage $10,000
- For Fiscal Year 2015-2016 one Cottonwood lot sold for $115,811
- For Fiscal Year 2016-2017 six Cottonwood lots sold for $641,107
- Total funds from land sold was $756,918, which are now considered unrestricted fund balance
- No significant litigation expenses have been incurred through May that require unrestricted fund balance to be utilized
- General fund transfer of $400,000 to the Capital Project’s fund of unrestricted fund balance is currently budgeted
- Slower rate of litigation expenses than anticipated in the spring
- Cost savings from turnover and absorption of key position
- Excess of revenues over expenditures could be significantly lower, or slightly higher depending on June expenditures and general revenues like sales tax revenues that finalize in August
Golf Fund Updates
- Golf operating budgeted subsidy reduced by $5,000
- Use of fund balance to purchase two rough mowers as part of the equipment replacement plan
- Golf debt levy amount remains flat
Water & Sewer Fund Highlights
- Bowen Collins adjustments are necessary for the following reasons
- Pay as you go for necessary capital maintenance and improvements
- Offset very low impact fees
- Cover higher debt service than most municipalities in the area
- 51-37-110 Water fee 6.4% increase $38,809
- 51-37-113,114 PI usage and base rate 0.0% rate increase
- 51-35-110 Storm drain 6.5% increase $19,200
- 51-38-110 Sewer 3.0% increase due to SEACAP study and TSSD uncertainty $32,823
- Eliminated transfers to other funds for water and sewer reimbursements and excise debt service
- Capital improvements planned
- Deerfield park storm drain and site work improvements $500,000
- Vacuum truck $400,000
- Canyon Road Sewer $400,000
Motor Pool Highlights
- Vehicle replacements
- Diesel flatbed truck
- One-ton truck
- Zoning vehicle
- $5,039 increase for charges to the General fund
- $4,827 increase for charges Water & Sewer
- $100 decrease in Golf fund charges
Budget Summary
- Organizational structure absorbed admin/finance position with new city manager
- Proposal to adopt the certified property tax rate
- Legal services and park maintenance have significant budgeted increases
- Capital maintenance and improvement projects are funded by the sale of land and excess revenues over expenditures in the General fund
- Bowen Collins Utility rate study allows to fund upcoming capital purchases and projects with existing fund balance
- Enterprise fund water & sewer reimbursements have been eliminated
This was approved 4-0.
Modifications are proposed to the City Fee Schedule in order to implement recommendations from the utility rate study as prepared by Bowen Collins & Associates and adopted by City Council. Those are as follows:
Review/Action on Participation in Lone Peak Public Safety Contract
The Lone Peak Public Safety Interlocal Agreement Section 8 requires that, “any city may terminate its participation in [LPPSD] as of July 1 of any year provided that notice of intent to withdraw has been given in writing to the other Cities at least 24 months prior to the time of withdrawal.” During the January 2017 City Council retreat, a council priority was laid out for staff to begin to work on the long-term public safety costs of both fire and police services. The current agreement with American Fork Police Department to provide police services to Cedar Hills is set to expire in two years. By giving Lone Peak notice of our intent to withdraw from the district, it allows Cedar Hills two year time period to explore public safety options for both fire and police in tandem, hopefully to gain some value by possibly combining those services with the same entity. Cedar Hills will consult with Lone Peak, American Fork, and other entities (such as Utah County and Pleasant Grove) for bids for both police and/or fire protection. The LPPSD Interlocal Agreement further states in Section 11, “If a City withdraws from the District and the District is not dissolved, any distribution of assets to the withdrawing City shall only be as negotiated with the remaining Cities. The Cities agree to negotiate in good faith in determining fair and reasonable terms and conditions for the distribution of District assets to the withdrawing City. If the Cities cannot agree on a negotiated distribution of assets to the withdrawing City, the Cities hereto agree to mediate the matter. If the dispute is not resolved in mediation, then the Cities may take the matter to court.” It is imperative to emphasize that the notice to withdraw is not due to the level of service provided by Lone Peak Fire. Cedar Hills recognizes Lone Peak for being an exemplary organization, run by the finest chiefs. This notice is in no way to be construed as a referendum on their service. Staff recommends we don't begin the negotiations with LPPSD in about eight months after we've had a chance to review the bids and determine whether it makes the most sense to stay with LPPSD or move to another option. This resolution isn't binding to leave, but giving notice that we are exploring other options. LPPSD does have liabilities that the city would be obligated to help cover.
CM Zappala said there is a flaw with the district as it isn't a taxing entity but instead bound to cities of the district. Elected officials that serve on the board are more concerned with city budgets than the district budget. The amount we currently pay in fire is roughly equal to 100% of the property tax we collect. He feels having LPPSD be its own taxing entity would function much better. Alpine and Highland have not bought into that idea.
Mayor Wimmer from Alpine spoke. LPPSD was originally between Alpine and Highland. The concept was to share cost of a chief and some other support functions to provide a better safety organization. This included EMS. They had long response times when using American Fork EMS services. It's been a benefit. He agrees on the concept of a taxing entity. Savings comes from overhead being shared. Would hate to see Cedar Hills leave, feels, it's a better organization as is.
Chief Freeman with LPPSD spoke. Has enjoyed serving Cedar Hills and would like to continue to do so. Said we are currently covered by three stations, where other nearby cities only have one. Will support us on whatever is decided. Many employees are worried about losing their jobs. They are having a hiring problem anyway as they are short staffed, as are other cities. If employees are worried about job security, they will leave and go to other cities. He is worried about that. Tries to be efficient with what is budgeted.
This was approved 3-0. Ben Bailey did not vote as he works for LPPSD.
Discussion on Canyon Road Sewer
Council directed staff to explore the possibility of completing the Canyon Road sewer project in tandem with Utah County’s Canyon Road reconstruction project. Originally, the proposal was to extend a sewer line from Box Elder Dr. north to Mountaintop Trails. This line would service approximately seven Cedar Hills residents and sixteen Pleasant Grove residents. After meeting with Pleasant Grove city officials, staff is recommending that the project be scaled back to focus only on the Cedar Hills residents. The original placeholder projected cost was to be $400,000, additionally a bid from the County for the design work of the original project came back at $21,000. With the scaled back plans, staff is expecting the total cost of the project to be nearly half of the original placeholder amount. Bowen, Collins and Associates have given Cedar Hills a bid to design and inspect the project from start to finish of $40,000. The homes along Canyon Road are on septic systems. The County will not approve new septic systems in the event that they fail if a homeowner is within 300 ft of a sewer line. As these homes have aged in this area, staff has noticed an increasing amount of septic system failures. The County is in the process of designing the fixes to Canyon Road. With the construction on Canyon Road, there will be a five year moratorium on cuts and projects on Canyon Road. If the City has not installed a sewer line by the completion of the project and a septic system fails, the City and Resident will be hard pressed to find options for providing sewer services. This project would not address the three Cedar Hills residents on Jens Monson, but there is not a moratorium on digging into Jens Monson. It would address the septic systems for our residents on Canyon Road. I don't see those PG residents wanting to boundary adjust over the next five years, so my preference would be to go with the lower cost option that provides sewer only for our residents.
