** Agenda MemoKALISPELL CITY COUNCIL
Agenda
ovemb►er 25,1996
AGENDA ITEM I - AGENDA APPROVAL
A. Council Minutes - Regular Meeting November 18, 1996
B. Approval of Claims per Payables Register
C. Bid Award North Water Well
BACKGROUND/CONSIDERATION:. Bids were opened on November
20th for the well drilling phase of this project. The
project consists of two each 12 inch diameter, 500 feet
deep wells. We have received two bids. One is below the
estimate of $246,630 and one is above. We are currently
reviewing the bids and will be meeting next week with the
low bidder to discuss their qualifications and bid.
RECOMMENDATION: For the work shop, we will not have our
recommendation but we will have the recommendation in
your regular council meeting information packets.
ACTION REQUIRED: The recommendation will be forthcoming
at the Council Meeting. A MOTION to approve the bid with
an authorization to proceed will be required for the
staff to continue this project.
AGENDA ITEM 3 - HEAR THE PUBLIC (for December 2 Council MeetinZ
agenda only)
Agenda -November 25, 1996
BACKGROUND/CONSIDERATION: This item is the completion of the Ashley
Park Zoning Change that was approved on the first reading at the
November 18 Council Meeting. If approved, this would make the
zoning district for the Ashley Park area City R-4 residential.
RECOMMENDATION: As stated in the previous report, all of the City
and Planning requirements have been fulfilled. The Staff and FRDO
have both recommended approval of the zoning changes. I concur
with the recommendations.
ACTION REQUIRED: Final reading of ORDINANCE 1252 is required to
complete this change.
41TUTIre
AGENDA ITEM 6 - AIRPORT AUTHORITY DISCUSSION (work session only)
BACKGROUND/CONSIDERATION: In response to the proposed change to an
Airport Author,ity, the Airport Advisory Board has expressed concern
about the need for a budget, direction, and formal change over to
an Airport Authority. They have requested a meeting with the
Council to discuss the transaction and all factors that this
includes.
I am concerned about several items related to this potential change
in the airport operation. In general terms, the following are
major areas to be considered:
1. Council's loss of Authority, other than the "bottom
line" budget. With an Authority, all daily
operations and decisions are no longer in the hands
of the elected officials - directly or indirectly.
Upon the change to the Authority, the City Council
will approve the budget but you will no longer have
any control over the use of the budget and other
assets.
2. Supervision of day Ito day operations will be
completely under the control of the Authority.
3. Land control questions need to be reviewed and
properly addressed. This directly affects the
T.I.F. area and the potential TIF proceeds. We
need to "nail down" this economic question prior to
any potential change in operations.
I Agenda -November 25, 1996
4. We need to delay any changes in Authority until, as
a suggestion, June 30, 1997. During that period we
can research and further discuss the options
available and ramifications of the change of
control from the Council to an Authority.
5. During the interim, to assist the Airport Advisory
Board, we should begin procedures to lease the
airport property in parcels to business or
individuals interested in the property at the
airport. This could begin a revenue stream for
offsetting the expenses of the airport questions.
Until there is a firm revenue stream, an airport
manager cannot be hired.
6. A° final determination of the Haven Field
disposition must be completed before we move
forward with any potential change. Without the
Haven Field project, without the ballfield project,
without a Daley Field sale, the airport property
use and Authority must be revisited and probably
altered to utilize the land that we currently own.
RECOMMENDATION: The Airport Advisory Board is frustrated and
concerned about the future of the airport and potential projects.
However, at this time, I do not believe we can give them any real
satisfaction other than listening and reinforcing your support for
the airport and future projects (if economically possible).
PI PA F L61 owl �,
This item is not an action item at this time. Discussion and
general direction for the staff would be of assistance. We may
desire to make an official extension of the Airport Authority to
June 30, 1997 in one of the future council meetings.
-IRE" WIM,
AGENDA ITEM 7 HAVEN FIELD -DISCUSSION OF RE -OFFERING
BACKGROUND/CONSIDERATION: The bids were advertised for opening on
Tuesday, November 19 at 11:30 a.m. Although we had several
developers /realtors take out the offering documents, we received
only one bid. That bid was not responsive to the public notice and
offering requirements. Two major deficiencies were evident:
1. The bid was not responsive in terms of the minimum
value required.
2. The bid did not include the bid security/earnest
money that was required.
Since this was a specified bid procedure, the bid did not meet the
required minimum, and the earnest money was not included. The City
Attorney and I concur that we must reject the current bid. Mr.
Gallagher is in active discussion with the bidder to determine
further interest for the purchaseof the property.
Our options•are:
1 Do nothing - the bid is rejected and we have no
further process. The land stays as is. The State
lease would not be processed. The ballfield
complex would not proceed due to lack of funding.
The airport improvements/changes could not proceed
due to lack of funding.
2. Re -advertise and re -offer the land in the same
method as was just completed. This would include
the same specifications for minimum values for the
.3110M.9
land but add the authority for the staff to
negotiate with the interested parties.
3. Re -advertise and re -offer the land at a lower,
minimum value. We should also retain the right to
negotiate with the interested party with this
option.
If the current bidder is not interested in resubmitting a bid,
Options 2 and 3 may not be valid options. We hope to be able to
report to you.,at the work session.what their interest level is.
RECOMMENDATION: I currently cannot give you my final recommendation
until we determine the level of interest. However, I tend to lean
toward Option 2 with the flexibility to negotiate a settlement that
is reasonable and acceptable to us.
ACTION REQUIRED: Direction to the staff will be needed. At a
minimum, a re -advertisement will be needed to proceed under Options
2 and 3.