Minutes of the Centerville City Council meeting held Tuesday, May 5, 2009 at 7:00 p.m. in the Centerville City Council Chambers, 250 North Main, Centerville, Utah.

MEMBERS PRESENT
  Mayor                                    Ronald G. Russell
 
  Council Members              Justin Y. Allen
                                                Ken Averett
                                                Paul A. Cutler
                                                Sherri Lyn Lindstrom 
                                                Lawrence Wright
 
STAFF OR OTHER CITY
 OFFICIALS PRESENT
                                               Steve Thacker, City Manager
                                               Blaine Lutz, Finance Director/Assistant City Manager
                                               Lisa Romney, City Attorney
                                               Randy Randall, Public Works Director
                                               Nathan Grover, Administrative Intern
                                               Karrie Carlson, Recording Secretary

PLEDGE OF ALLEGIANCE 

INVOCATION                       Mayor Ronald G. Russell
 
OPEN SESSION

Bruce Roberts 560 East 475 South – Mr. Roberts expressed concern regarding recent proposed changes in the voting procedures for Deuel Creek Irrigation Company. He is asking that the City’s representative be someone who is non-biased and will represent concerns of all residents.

Peggy Stockton, - Ms. Stockton expressed concern for any further expansion of the Community Park near her property. There are quail that live in the underbrush on the property and if the City develops it she asks that some wildlife areas be preserved. The City Manager explained that work will be needed at the site to clear out the brushy areas that have affected the fence dividing the property. He added that park expansion is planned for the future, but is not imminent and some wildlife habitat areas are planned to be preserved, such as the wetlands on the west end.

Dee Hansen, President of Deuel Creek Irrigation – Mr. Hansen reviewed some of the proposed changes in the Articles of Incorporations for Deuel Creek Irrigation. He apologized for any problems with debris in the lines last spring and added that Deuel Creek is making improvements and the changes to the Articles of Incorporation are part of the improvements.

MINUTES REVIEW AND ACCEPTANCE

The minutes of the City Council meeting held April 21, 2009 were reviewed.  Councilman Allen made a motion to approve the minutes. The motion was seconded by Councilwoman Lindstrom and passed by unanimous vote (5-0).

The minutes of the City Council closed meeting held April 21, 2009 were reviewed. Councilman Allen made a motion to approve the minutes. The motion was seconded by Councilwoman Lindstrom and passed by unanimous vote (5-0).

SUMMARY ACTION CALENDAR

The Council reviewed items a-c on the Summary Action Calendar. Councilman Allen made a motion to approve items a-c on the Summary Action Calendar. The motion was seconded by Councilwoman Lindstrom and passed by unanimous roll-call vote (5-0). Approved were:

a. Acceptance of Storm Drain Easement for Dairy Queen from Scott and Julie Thompson
b. Agreement between Centerville City and Gordon and Michelle Griffith for purchase of well site
c. Application for non-motorized trail grant

PRESENTATION OF FY 2010 PROPOSED BUDGET AND SET DATE FOR PUBLIC HEARING

Steve Thacker, City Manager, gave an overview of the Proposed Budget for FY 2010 with the Council. He added that no property tax increase is being proposed. He is also recommending one additional employee for the Parks Department and stated a new recycling fee will be added to the garbage collection fee for any resident who does not opt out of the new recycling program. He is also suggesting a budget work session on May 26th to discuss budget issues. The Council must also decide on a date to hold the public hearing for the Proposed Budget. The Council discussed having an informal open house prior to the Public Hearing.

Councilman Wright made a motion to accept the Proposed Budget as the Tentative Budget and set a date for the public hearing as June 2, 2009 at 7:00 p.m., with a public open house prior to the public hearing and to hold a budget work session on May 26th, 2009. The motion was seconded by Councilwoman Lindstrom and passed by unanimous vote (5-0).

DEUEL CREEK IRRIGATION CO. ISSUES AND AUTHORIZE PROXY VOTE
 
Mayor Russell explained that Deuel Creek Irrigation Company is changing some of the Articles of Incorporation. The City needs to designate an employee or elected official to attend the meeting and vote the City’s shares. Mayor Russell is suggesting an elected official be the designated voter and could have a staff member (i.e., Randy Randall) attend with them to help clarify some of the voting issues. Randy Randall, Public Works Director, gave a presentation of the proposed changes. Mr. Randall thinks the City needs to take a more active role in the Deuel Creek Board and even have a designated spot on the Board to represent the City’s interests.

Councilman Wright made a motion to appoint Mayor Russell as the City’s representative for the Deuel Creek Irrigation Company Board meeting and vote the City’s shares. The motion was seconded by Councilman Cutler and passed by unanimous roll-call vote (5-0).

DAVIS CULTURAL ARTS CENTER

a. Approve agreement with RDA of Centerville for pass through of funds – Resolution No. 2009-15

The Council reviewed the finalized version of Resolution No. 2009-15. Councilman Allen made a motion to adopt Resolution No. 2009-15 approving an agreement with the Redevelopment Agency (RDA) of Centerville City for pass through of funds that will be used to repay the bonds. The motion was seconded by Councilwoman Lindstrom and passed by unanimous roll-call vote (5-0).

b. Consideration for adoption of a resolution of the City Council of Centerville City, Utah (the "Issuer"), finalizing the terms and conditions of the issuance and sale by the issuer of its sales tax revenue bonds, series 2009 in the aggregate principal amount of $11,655,000 (the "Series 2009 Bonds"); awarding and confirming the sale of said series 2009 bonds; authorizing the execution by the issuer of a bond purchase agreement, a general indenture and a first supplemental indenture of trust; and other documents required in connection therewith; ratifying the preparation, distribution and use of a preliminary official statement and authorizing the taking of all other actions necessary to the consummation of the transaction contemplated by this Resolution; providing a severability clause; repealing Resolutions in conflict; providing an effective date; and related matters – Resolution No. 2009-16

Blaine Lutz, Finance Director, explained certain aspects of the Bond Purchase Agreement for the Centerville City Sales Tax and Revenue Bonds 2009 with Stifel, Nicolaus & Company and George K. Baum. Jason Burningham, Lewis Young Robertson and Burningham (LYRB) reported to the Council regarding the bonding process and provided the Council with a financial pricing booklet which included a financial summary and an overview of the bond sale.  Mr. Burningham reviewed this document with the Council and responded to questions and comments from the Council regarding the debt service reserve fund requirement, bond issuance fees, and interest rates. Mr. Burningham reviewed aspects of the Bond Purchase Agreement terms and conditions with the Council and explained how the resolution incorporates the agreement. Upon approval of the resolution, LYRB will prepare the final closing documents for the bonds with a closing date of May 12, 2009.
 
 Councilman Cutler made a motion to adopt Resolution No. 2009-16 adopting a resolution of the City Council of Centerville City, Utah (the "Issuer"), finalizing the terms and conditions of the issuance and sale by the issuer of its sales tax revenue bonds, series 2009 in the aggregate principal amount of $11,655,000 (the "Series 2009 Bonds"); awarding and confirming the sale of said series 2009 bonds; authorizing the execution by the issuer of a Bond Purchase Agreement, a General Indenture and a First supplemental Indenture of Trust; and other documents required in connection therewith; ratifying the preparation, distribution and use of a preliminary official statement and authorizing the taking of all other actions necessary to the consummation of the transaction contemplated by this resolution; providing a severability clause; repealing resolutions in conflict; providing an effective date of May 12, 2009. The motion was seconded by Councilwoman Lindstrom and passed by a unanimous roll-call vote (5-0).

MAYOR'S REPORT

Mayor Russell asked for a Council member to attend a Wasatch Integrated Waste District meeting at 5:00 p.m. on Wednesday, May 6, 2009. Councilwoman Lindstrom agreed to attend in the Mayor’s absence.

CITY MANAGER'S REPORT

Steve Thacker, City Manager, summarized a visit he had with the UTOPIA Executive Director regarding the construction of a hub site in Centerville City. Mr. Thacker will have additional meetings regarding this matter with members of the Council.

The City Manager informed the Council of a retirement reception for Detective Christensen on May 15, 2009.

MISCELLANEOUS BUSINESS

The Council was provided with a draft of the May 2009 newsletter for their review and input. They were asked to forward any input or corrections to the City Manager or City Recorder.

At 9:00 p.m. the meeting was adjourned.

                                                          05-19-09             
Marilyn Holje, City Recorder    Date Approved

       
Karrie Carlson, Recording Secretary