MINUTES

LAWTON CITY COUNCIL REGULAR MEETING

AUGUST 11, 2009 –  6:00 P.M.

WAYNE GILLEY CITY HALL COUNCIL CHAMBER

Mayor John P. Purcell, Jr.                Also Present:

Presiding                        Larry Mitchell, City Manager

                            Frank Jensen, City Attorney

                            Traci Hushbeck, City Clerk

                                                                                     

Mayor Purcell called the meeting to order at 6:05 p.m. Notice of meeting and agenda were posted on the City Hall notice board as required by law.   Invocation was given by Pastor Richard Mayer, St. John Lutheran Church, followed by the Pledge of Allegiance.

ROLL CALL

PRESENT:                Bill Shoemate, Ward One  

James Hanna, Ward Two

Janice Drewry, Ward Three

Jay Burk, Ward Four

Robert Shanklin, Ward Five

Richard Zarle, Ward Six                    

Stanley Haywood, Ward Seven    

                    Doug Wells, Ward Eight

ABSENT:                    None

AUDIENCE PARTICIPATION:

Herbert Derricott, 6212 NW Cheyenne Drive, stated he attended the Comanche County Commissioners property sale.  He stated the City Attorney and the County Attorney differ on the procedure of how the sale is conducted.  State statute says that once the deed is turned back over to the county, all liens and encumbrances, except for taxes from OTC and IRS, are released.  He feels that if the liens are released this will give the citizens of Lawton and opportunity to purchase this land and build a home which will benefit the City of Lawton and Comanche County.  All of these properties have been abandoned.  He questioned whether state statute overrules the city code.  He stated last year he came before the City Council and he was told that the City would straighten this out and take care of it.  He would like this situation corrected.

Jensen stated the City of Lawton liens for mowing and securing are equal with the county liens.  Only the City Council has the authority to release those liens.  He knows of no disagreement with the county, they have always been able to work out issues.  

Mitchell stated he did know about the sale today and he has been to previous sheriff’ s sales. Everyone in the room was aware of the liens that the City of Lawton had on the properties.  Everyone had a list of the properties with the taxes and liens that were due.

Mr. Derricott stated that at a sheriff’ s sale the buyer assumes all of the responsibility.  At a commissioners sale, the property becomes the county’ s.  

Mitchell stated he has a list of the property that was sold at the commissioner’ s sale and all of the liens are shown on that list.

Jensen stated all of the liens are also recorded in the county’ s record book.

Mayor Purcell stated the liens are put on these properties because the City of Lawton has to spend citizens’  money to mow or secure these properties.  The City Council has to recoup this money.  

Mr. Derricott stated the City of Lawton is now spending a lot of money in hiring additional contractors to go out and mow this property.  He stated if someone purchased this property, they would no longer have that responsibility.  

Melissa Mayfield, Youth Services Coordinator, updated the City Council on the Back to School Bash held on Saturday, August 15 ^th from 10:00 a.m. to 2:00 p.m. in Elmer Thomas Park.  She also updated the City Council on a jobs skills training program with high school juniors and seniors.  This program is income based.

CONSIDER APPROVAL OF MINUTES OF LAWTON CITY COUNCIL REGULAR MEETINGS OF JULY 14 AND JULY 28, 2009.

Mayor Purcell thanked Wells for filling in as Mayor Pro Tem while he was on vacation.

CONSENT AGENDA: The following items are considered to be routine by the City Council and will be enacted with one motion. Should discussion be desired on an item, that item will be removed from the Consent Agenda prior to action and considered separately.

1.    Consider the following damage claim recommended for approval and consider passage

of the resolution authorizing the City Attorney to file a friendly suit for the claim which is over $400.00: Veronica and Richard LaMonica in the amount of $855.00 (Res. 09-78)  Exhibits: Legal Opinion/Recommendation and Resolution No.___.             

2.    Consider the following damage claim recommended for denial:  Ethel Graham in the amount of $10.00.  Exhibits: Legal Opinion/Recommendation.                                 

                                

3.    Consider approving an Amendment to the Outside Water Sales Contract with Ben and Rhonda Roulain, and authorize the Mayor and City Clerk to execute the Amendment.  Exhibits: Amendment is on file in the City Clerk’ s Office.                                         

4.    Consider adopting a resolution approving the settlement by a joint petition and making payment in the pending workers' compensation claim of Charles Ray. Exhibits: Resolution No. 2009-79.                                         

5.    Consider approving contracts with Joseph Vincelli Productions, Maren Morris Music, Lori Young of Brave Combo, David Gish of Tract & Friends, Ed Walewski of Needfire and Enye Music of Mariachi Orgullo de America and Son Del Barrio performers at the 2009 International Festival and authorize the Mayor and City Clerk to execute the agreements.  Exhibits: Contracts on file in City Clerk’ s office.                                

6.    Consider accepting a Quit Claim Deed between the Board of County Commissioners of the Comanche County, Oklahoma, and the City of Lawton, Oklahoma for properties located within the City of Lawton, and take appropriate action as deemed necessary. Exhibits: Quit Claim Deed, Book 5919 Page 76.                                                       

7.    Consider approving a Memorandum of Agreement between the Comanche County Health Department and the City of Lawton for public health services and authorize the Mayor and City Clerk to execute the document.  Exhibits: Memorandum of Agreement.   

8.    Consider awarding a construction contract to Rudy Construction, Co. for the 2008 CIP Residential Streets Phases 1 & 2 Project #2009-1.  Exhibits: None.                         

9.    Consider approving Change Order #2 for the Landfill Cells 4-5 Project #2008-4 with M. Hanna Construction Co., Inc.  Exhibits: None.                              

10.    Consider adopting a Resolution authorizing the installation of traffic control measures: at the intersections of NW Hilltop Drive & NW Mockingbird Rd, NW Mission Blvd with NW Woodridge Drive and NW Greenmeadow Drive; NW Meadowbrook Drive, and NW 40 ^th Street.  Exhibits: Traffic Commission Minutes, Traffic Issue Requests, and Resolution No. 09-80.                                        

11.    Consider adopting Street Light Resolution No. 462 to authorize the installation/removal of street lights at the location listed in the Resolution. Exhibits: Street Light Resolution No. 462.                                                

12.    Consider approving the construction plans for an 8-inch waterline and turn lanes to serve New Light Church to be located at 5901 SW Lee Boulevard.  Exhibits: Location Map.

                                                        

13.    Consider approving the construction plat for The Meadows subject to conditions. Exhibits: Plat Map.                                            

14.    Consider accepting waterlines located on SE Interstate Drive and SE H Avenue and maintenance bond. Exhibits: Location Map.  Maintenance Bond on file in City Clerk’ s Office.                                                    

15.    Consider awarding (CL09-045) Fire Hydrants: Items 1-5 and 15 to American Waterworks Supply Inc. of Norman, OK.  Exhibits: department recommendation, abstract of bids.

                                                         

16.    Consider awarding (CL09-045) Fire Hydrants: Items 6-11 to Hydraflo Inc. of Beaumont, TX.  Exhibits: department recommendation, abstract of bids.                                        

17.    Consider awarding (CL09-045) Fire Hydrants: Items 12-14  to Water Products of Oklahoma Inc. of Owasso, OK.  Exhibits: department recommendation, abstract of bids.             

18.    Consider awarding (CL10-004) Sulfuric Acid to Shrieve Chemical Company of The Woodlands, TX.  Exhibits: Department recommendation, abstract of bids.                  

19.    Consider awarding (CL10-007) Truck Beds to Country Ford-Mercury of Guthrie, OK.  Exhibits: Department recommendation, abstract of bids.                                               

20.    Consider extending the contract (RFPCL09-005) Copier Contract with Bennett Office Equipment of Lawton, OK.  Exhibits: Department Recommendation, Proposal Copier Bid Sheet, Contract Extension Form.                                      

21.    Consider extending the contract (CL09-004) Rental of Portable Restrooms with ARA Equipment Rentals of Lawton, OK.  Exhibits: Department Recommendation, Price Sheet, Contract Extension Form.                                                                                                 

22.    Consider extending the contract (CL09-006) Testing Services with Standard Testing and Engineering Company of Oklahoma City, OK.  Exhibits: Department Recommendation, Price Sheet, Contract Extension Form.                                  

23.    Consider extending the contract (CL08-010) Nuisance Abatement –  West Side with TCB Services of Lawton, OK.  Exhibits: Department Recommendation, Price Sheet, Contract Extension Form.                                              

24.    Consider extending the contract (CL09-003) Liquid Oxygen with Airgas Mid-South, Inc. of  Tulsa, OK.  Exhibits: Department Recommendation, Price Sheet, Contract Extension Form.

25.    Consider approving appointments to boards and commissions.  Exhibits: None.   

Rashanna Steele

1329 Wisconsin

Lawton Oklahoma 73501

8/24/12

Bob Dismuke

Ward 8

5555 NW Eisenhower

Lawton, Oklahoma 73505

08/11/12

26.    Consider approval of payroll for the period of July 27 –  August  9, 2009.

NEW BUSINESS ITEMS:

Mayor Purcell stated that item #29 has been stricken from the agenda.

27.    Receive an update on the Lawton Downtown Redevelopment Project. Exhibits: Press Release, LEDA Executive Overview, Project Financial Summary, Disbursement Request and Map of Acquisition Area.                                      

Wells stated he has some questions about the TIF program.  He stated as he understands, this is a twenty five year program.  Two or three years ago the Council set a base rate on advalorem and sales tax in the TIF district.  For the next twenty five years 90% of any increase in the taxes will go into the TIF district.  A couple of months ago $370,000 went into that fund.

Mitchell stated that money was for the past two years.

Wells stated the TIF district goes from Ferris to F Avenue and from Railroad to 14 ^th Street.  He stated the residents in his ward that he has spoken with do not support the 2^nd Street project.  They are concerned that the first project was going to be a hotel/convention center and not something like a Target.  Several groups have spent their own private money to build hotels in town and now we will turn around and use public funds to build a hotel/convention center which will be in competition with those people. He would like to know how much they are paying for these individual lots, how many have been purchased and how many are left to purchase.  He stated there is a lot of concern that they are spending a lot of money on one little area of town while other things such as streets are falling apart in other parts of town.  The formula was not based on actual sales increases, but the $370,000 really came about because of the cost of goods sold, not because of increased business.    He stated he has some concerns about this program.

Fred Fitch, Chairman of the Lawton Economic Development Authority (LEDA), stated the TIF district is structured under state regulatory compliance.  The base is established before any acquisition of properties or any construction.  Those tax dollars still go into the City coffers, but the increase in tax dollars in the TIF district over twenty five years will go back into the TIF district for development.   The City of Lawton is still getting the base of the tax dollars that the area has generated.  This does lure private development into these areas which will, in turn, increase the sales tax and advalorem as well as beautify the area.  The City Council passed a resolution in March of 2007 which allows LEDA to borrow $9.5 million which has been used to buy property which will eventually be sold to a developer.  The City is not out that money.  The sales tax that is generated in that twelve block area has been very little.  With the project that Ruhl and Ruhl, the developer, is looking at doing in that area, they are looking at approximately $18 million in advalorem and sales tax during the construction phase.  In the development agreement there are benchmarks that must be met before the sale of the property which will take place in March of 2010.  Every one of these benchmarks must be approved by LEDA.  He stated the economy nationwide has staggered and a lot of the retailers are not doing any expansion at this time.  In Lawton, the economy is not as bad as it is across the nation. Steve Scott, Ruhl and Ruhl, is very optimistic about the future of Lawton and what they can bring to the table.  He is very pledged to making this development successful and there are retailers that have committed to this project.   He stated they did want a hotel/convention center implemented into the downtown redevelopment area and they have had inquiries from hotel development people who want to develop on that site. When the developer purchases the land, the banks will be paid back and they will then be looking at the second tract which would be the next two blocks going north.  They had originally looked at starting from the north and going south when the economy was going well, but things have caused them to look at starting on the south end.    He is very pleased with where they are on this project and they have a very fine contract with Ruhl and Ruhl.  They are talking about $80 - $100 million worth of real estate development just in that area.

Wells stated he hopes this project is successful, but a lot of his constituents remember when downtown was torn down and Central Mall was put in and the proposed development around the mall never happened.  He stated the owners of the newer hotels are concerned with the competition of a new hotel/convention center.

Mr. Fitch stated the money that will go into the hotel/convention center will come from private investors.  It would be no different than them building a new hotel in another part of the city.

Wells stated the City of Lawton has no liability in this project, it is LEDA that has the liability.

Mr. Fitch stated that is correct.

Shanklin stated he wants the citizens of Lawton to understand that they will not be held responsible if this project fails.

Jensen stated this project and this kind of financing plan is designed to pay for itself by additional tax revenues that are generated by new development.  He stated the City of Lawton does not have liability on the $9.5 million note.  The property is being acquired by the Lawton Urban Renewal Authority (LURA) with funding from LEDA.  The City of Lawton is not a party to that note.

Mr. Fitch stated the project will promote tremendous growth from sales tax and advalorem.

Shanklin stated that Lawton does not have a class A store.  He stated these people that are going to invest their money can get the same information from the Oklahoma Tax Commission.  He questioned where they were going to generate this income and jobs.

Mr. Fitch stated that Ruhl and Ruhl would not come to Lawton and spend $100 million without putting a lot of thought into it.

Shanklin stated he just wants the taxpayers to understand that the City of Lawton is not liable for this debt.

Haywood stated that Lawton does need a convention center.  He stated they cannot get workshops to come to this area because they go to Oklahoma City or Tulsa.  The hotels in town have the same opportunity to build a convention center.   He stated he is thankful that the people that were moved out were made whole.   The downtown revitalization is very important if they are going to survive in this economy.  He is behind this 100%.    

Mr. Fitch stated this community needs a hotel/convention center and this community would be a good draw for class B type state conventions that have to go to Oklahoma City and Tulsa.  He stated if this action was not taken, twenty years from now there would still be a blighted area.  They need to have vision and think out of the box.

Haywood stated if they build it, people will come.

Drewry stated right now so many people in this community go elsewhere to shop because we don’ t have what we need.  She stated the hotel owners she has spoken with are for this project because we don’ t have enough convention space and it will help fill all of the hotels.  She sees no down side to this.  They need to work on community development to help economic development.

Burk stated they needed to do something.  He did have reservations about the downtown redevelopment project, but now is the time to get behind this project.  It is about the other 150,000 to 200,000 that live outside of the city limits that is going to make the difference. He feels this will be a wonderful time for our city and people are getting excited.  He has not had one phone call saying they do not want this project.   There are over 20,000 people on the east side and they need something that is closer.

Shoemate stated if they had a convention center they could have state wresting tournaments, cheerleading competitions, and they are talking about dollars being spent in restaurants, gas, shopping, etc. that will generate money for our city.

Mr. Fitch stated the hotels should be tickled to death because they should get more business.

Mayor Purcell stated he has not received any comments from the hotels because they are all about full already.  Lawton has one of the highest occupancy rates in the country.  He stated it is key that they work on the downtown area.

Wells stated he does hope this project is successful.  He stated they could have had the big box retailers a lot cheaper a couple of years ago on the west side of town.

Mayor Purcell stated that is not true.  

Wells stated now you see existing businesses moving from one location to a new location.  This is not new business coming into town.  He stated we are not bringing in a lot of new business.  He is not as optimistic as some.

Mr. Fitch stated he would be happy to come back and give the Council an update as to where they are with the project.

Mayor Purcell stated that he needs to clarify a statement made by Councilmember Wells regarding the project on the west side.   It would have cost the citizens $11.5 million. That is what the developer wanted the City of Lawton to provide.  The citizens are not paying for this downtown project.

Wells stated there is $50 million in advalorem and sales taxes going back into the TIF District.  That $25 million in sales tax would have gone back into the city.

Mr. Fitch stated this is coming from a project that was not generating anything before. The base is still there and the city is still getting all of the revenue based on what that property was and the TIF District is getting the extra to develop the area.

Wells stated after this area is developed if it is successful, the TIF can actually expand and take up more areas.

Mr. Fitch stated it can move into other areas within the TIF District.

Shanklin questioned when Ruhl and Ruhl will go to work.

Mr. Fitch stated they will acquire the property in March of 2010 and they do have the go ahead to do some demolition prior to that date.  He feels they should be ready to do some construction sixty days after closing on the property.

28.    Consider approving an ordinance amending Section 17-1-3-127, Division 17-1-3, Article 17-1, Chapter 17, Lawton City Code, 2005, by changing the terms under which rehire can occur and limiting any prohibitions of rehire to 5 years, providing for severability, and declaring an emergency.  Exhibits: Ordinance No. 2009-_____.                            

Trisha Thomason, Human Resources Director, stated this is a recommendation to change part of the code related to rehiring city employees.  Currently someone who is interested in being rehired would never be eligible if they violated the part of the code by being terminated for misconduct or not giving two weeks notice prior to leaving the City of Lawton.  There is some additional language that defines misconduct and clarifies the use of leave within that two week notice period.

Mitchell stated they are asking for a time period that after five years this requirement goes away.

Zarle questioned why this issue would have an emergency clause.

Mayor Purcell stated the only difference is that it will either go into effect tomorrow or in thirty days.

Zarle stated he would never rehire someone he had fired.

Well stated he agreed.

Haywood stated that people change.  People make mistakes when they are younger.

Thomason stated this does not say that they will rehire them, it only allows that opportunity.  Any termination would be taken into consideration and supervisors would have access to their personnel files to review those causes.

Mitchell stated this just allows the person to apply for a position.  He stated typically we have more issues with those who do not give a two weeks notice.  

          

(Title read by City Attorney)                    Ordinance 09-25

An ordinance pertaining to personnel polices and procedures amending Section 17-1-3-127 rehire of former employees, Division 17-1-3  recruitment, selection and appointment, Article 17-1  personnel regulations,  Chapter 17  personnel polices and procedures, Lawton City Code, 2005, by changing the terms under which rehire can occur and limiting any prohibition of rehire to 5 years, providing for severability.

29.    Consider approving an ordinance amending Section 17-1-3-124, Division 17-1-3, Article 17-1, Chapter 17, Lawton City Code, 2005, by changing the terms under which adding language to allow applicants for one job classification from on recruitment to be considered for openings in the same classification that occur in the next 60 days, providing for severability, and declaring an emergency. Exhibits: Ordinance No. 2009-_____.                                                  

THIS ITEM WAS STRICKEN.

30.    Consider receiving a report on the City’ s financial condition for the 4 ^th Quarter of fiscal year 2008-2009 and provide direction to staff.  Exhibits: None.                             

Rick Endicott, Finance Director, stated sales tax was up over the previous year by 2.6%. We collected almost 98% of our budgeted sales tax revenue, $21,184,672 was what was budgeted and we collected $20,749,723.  Franchise tax was down $148,261 compared to the previous year and we collected about 92% of that.  Police fines and bonds were up almost $300,000 compared to the previous year and we collected 99% of the budgeted revenue.  All other general fund revenue was down and we collected 93% of that.  He stated he feels we are doing very well as compared to the rest of the state in regards to sales tax.  Enterprise fund revenue was up almost $2 million or 16.6% compared to the previous year, however our budgeted revenue was $14.9 million and we collected $13.9 or 93%.

Shanklin questioned if we treated more to get that $2 million.

Endicott stated we treated less water the first part of the fiscal year, the net was about 1.7 gallons more compared to the previous year.

Shanklin stated his bills went up drastically after the new meters were installed.  They went up $100 each.

Endicott stated that after Chevron’ s analysis, they felt a lot of their meters were reading 20%-25% slower.  That may be one of the issues.

Hanna stated that there has been the issue of the lines being damaged during the installation of the new meters.  He questioned if that was being looked into.

Endicott stated yes and if we cracked the line during installation, we will fix it.   He stated sewer revenue was up $1.3 million or 25% above last year.  We collected $6.6 million and the budget was $7.9 million.  Refuse collection revenue was up $1.1 million over last year.  Budgeted revenue was $7.8 million and we collected $6.8 million.  Landfill revenue was down $17,000 compared to the previous year.  He stated general fund expenditures were appropriated at $47.6 million and we spent $46.2 million.  Enterprise expenditures were appropriated at $16.8 million and we spent $14.9 million which was almost 12% less.  He stated the departments are to be commended.  

Wells stated staff did a great job cutting expenses because revenues were down.

Burk stated getting the financial report with the agenda packets were very helpful.

Mayor Purcell questioned the amount of the projected carryover after 2008-2009.  He questioned if it was still $3.3 million or has it gone up?

Endicott stated he does not have that number.  He stated it is significant enough that we are not going to see a drastic change downward in the projection of the 2009-2010 fund balance.

REPORTS: MAYOR/CITY COUNCIL/CITY MANAGER

Shoemate stated that the Comanche National has lost money on every concert they have had.  If there was a convention center he feels that would make a difference.  He read a letter from Dr. Trace Bridges regarding the financial needs of the Melissa Hogan family. He stated a fundraiser will be held on September 27 ^th.

Hanna stated he has announced today that he plans to seek re-election.

Drewry stated there is a doctor that has a business at his residence in her ward.  There is a lot of traffic in the street and he has widened his driveway and is now talking about putting a cover over the whole thing.  She stated there are no rules against this at this time and she would like the City Council to think about the issue of businesses going into residential areas.

Bryan Long, Assistant City Manger, stated he did research this issue.  He stated there is a peculiarity with the home occupation regulations within Chapter 18 of the code.  He stated the issue Councilmember Drewry brought up is a chiropractor who is operating under home occupation with one employee who did not live at the residence.  He stated the doctor is authorized under our code as a professional service assuming all of the proper licensing was in place from the state and the city.  He stated they did conduct an on site inspection and found that there were no violations of the code as it exists.  He stated things that affect the character of the neighborhood are sometimes not observable by city staff during normal working hours.  They would need to start a long documented process showing that there is an infraction that is violating the character of the neighborhood.   He questioned if the City Council would like to pursue a mechanism which would disallow the medical community from operating within a residential property.

Drewry stated this is something they need to think about.  She was told there was an accident because there were so many cars backing out onto the street.

Shoemate stated they need to be careful about how they word this because there are churches that offer services in residential areas.

Haywood questioned if barbershops and hair salons are still able to go into residential areas.

Long stated yes, personal service providers are allowed as home occupants.

Mayor Purcell questioned if we could prohibit any expansion like widening the driveway.

Long stated we could as long as they are not falsifying information on their permit application.  Staff relies on the information that is submitted by the applicant.  In this case, not all of the information came out during the permit process.

Drewry requested that they just look at this issue.

Burk thanked Jerry Ihler and his staff for taking care of an alley way in his ward.  He stated every time he calls, staff takes care of his issues.   He would like his constituents to know that city codes are there to protect the community, and if someone needs help with obtaining a permit, they just need to give him a call.  He thanked Tony Griffith, Neighborhood Services Supervisor, and his staff for getting all of the railroad right of ways mowed in time for school.

Haywood stated we have a state of the art rodeo facility that we need to take advantage of and they should be commended for all of their hard work.

Wells stated they need to come up with some way to catch all these things that are being built without permits.  He recommended they look at establishing a council committee to discuss bringing the museum back under the City of Lawton.  He stated they are now in the position where they gave the museum $600,000 which was their total operating budget.  It seems like bringing them under the City would help with the employees retirement and would also give the City Council some control over expenditures.

Mayor Purcell suggested he talk with the employees at the Museum.

Wells stated that John Hernandez, Museum Director, told him that they would not mind being back under the City.

Mayor Purcell stated Mr. Hernandez needs to come before the City Council in person. He has heard that they are not interested in coming back to the City.

Wells stated he does not know where they are going to get the money to keep increasing their funding.

Mayor Purcell suggested Councilmember Wells talk with museum employees, board and the McMahon Foundation and have them come in with an official request.

Mayor Purcell questioned who would like to attend the National League of Cities and Oklahoma Municipal League conferences.

Councilmembers Wells, Burk and Haywood stated they would be attending NLC in San Antonio.

Councilmember Drewry stated she will attend the OML meeting.

Mayor Purcell questioned if anyone objected to moving the second meeting in September to Monday, September 21 ^st to accommodate those going to the OML Conference in Tulsa.

No one objected.

The Mayor and Council convened in executive session at 7:56 p.m. and reconvened in regular, open session at 8:12 p.m.  Roll call reflected all members present.

BUSINESS ITEMS:  EXECUTIVE SESSION ITEMS

 31.    Pursuant to Section 307B.4, Title 25, Oklahoma Statutes, consider convening in executive session to discuss the pending Workers Compensation claim of William Looney, and if necessary, take appropriate action in open session.  Exhibits: None.

Jensen read the title of item 32. No action is required.

There being no further business to consider, the meeting adjourned at 8:12 p.m. upon motion, second and roll call vote.

            

JOHN P. PURCELL, JR., MAYOR

ATTEST:

TRACI HUSHBECK, CITY CLERK