CITY COUNCIL MEETING
MONDAY SEPTEMBER 27, 2004
PRESENT: Mayor Wayne Beer
Mayor Pro Tem Carol Rudi
Councilman Bill Cross
Councilman Les Smith
Councilman Joe Evans
City Manager Kirk Davis
City Counselor David Ramsay
City Clerk Cathy Swenson
Mayor Wayne Beer opened the Regular September 27, 2004, City Council Meeting at 7:30 PM in the Gladstone City Council Chambers.
Item 3. on the Agenda. PLEDGE OF ALLEGIANCE.
Mayor Wayne Beer led the Pledge of Allegiance, in which all joined.
Item 4. on the Agenda. APPROVAL OF THE REGULAR SEPTEMBER 13, 2004 CITY COUNCIL MEETING MINUTES.
Councilman Joe Evans moved to approve the Regular September 13, 2004, City Council Meeting Minutes as presented. Councilman Les Smith seconded the motion.
Mayor Wayne Beer explained that as he and Councilman Bill Cross were not present at the last Council meeting, they would abstain from voting.
The vote: “Aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Mayor Pro Tem Carol Rudi. “Abstain” – Councilman Bill Cross and Mayor Wayne Beer. (3-0-2)
Item 4a. on the Agenda. Mayor Wayne Beer read a PROCLAMATION designating the week of September 29 to October 4, 2004 as “RACE EQUALITY WEEK” in the City of Gladstone. Mayor Beer stated a recipient was expected to attend tonight’s meeting to accept this proclamation, but unfortunately they were unable to attend. Mayor Beer will see that the proclamation is received.
Item 5. on the Agenda. CONSENT AGENDA
Following the Clerk’s reading, Councilman Bill Cross moved to accept the Consent Agenda as presented. Mayor Pro Tem Carol Rudi seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0).
CONSENT AGENDA DETAIL:
Councilman Bill Cross moved to approve RESOLUTION R-04-64, declaring certain City property as surplus and authorizing the sale of such property together with certain abandoned and unclaimed property held by the City to the highest bidder at auction or by sealed bid. Mayor Pro Tem Carol Rudi seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Councilman Bill Cross moved to approve RESOLUTION R-04-65, authorizing Change Order No. 2 in the amount of $26,509.25 to the contract with Metro Asphalt for the 2004 Full Depth Replacement and 2004 Overlay Program Project (045002-055001). Mayor Pro Tem Carol Rudi seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Councilman Bill Cross moved to approve RESOLUTION R-04-66, commending the efforts of the participants in “Gladstone on the Move – Citizens Making a Difference” in successfully completing the community based strategic planning process for the City, and accepting the group’s “2005-2020 Community Plan”. Mayor Pro Tem Carol Rudi seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Councilman Bill Cross moved to approve the FINANCIAL REPORTS FOR AUGUST 2004. Mayor Pro Tem Carol Rudi seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Item 6. on the Agenda. COMMUNICATIONS FROM THE AUDIENCE.
There were no communications from the audience.
Item 7. on the Agenda. COMMUNICATIONS FROM THE CITY COUNCIL.
Councilman Joe Evans stated he appreciated the efforts of City staff, the Zimmer Company, the citizens of Gladstone, and his fellow City Council members in moving forward with the Gladstone Village Center. Councilman Evans continued by saying he is looking forward to an exciting Gladfest weekend.
Councilman Les Smith asked that City Council consider under “Other Business” on the agenda a presentation from the City Manager on the County Question No. 1 issue. Councilman Smith asked Parks and Recreation Director Sheila Lillis to provide the Power Point presentation that was shown to the Parks and Recreation Advisory Board for City Council members to see tonight, under “Other Business” on the agenda.
Councilman Bill Cross stated the Missouri Municipal League Annual Conference in Springfield was an educational experience and felt he and Mayor Beer gained a great deal from the conference. The meetings were interesting and they received many favorable comments regarding their Gladstone t-shirts. Councilman Cross encouraged everyone to attend Gladfest this weekend and he hopes the weather is favorable.
Parks and Recreation Director Sheila Lillis reported The Movie in the Park, “Jurassic Park”, was played at the Gladstone Amphitheatre at 8:30 PM on September 17th with about 60 to 75 people in attendance. The attendance probably would have been better if the movie was not shown on the same night as the North Kansas City/Winnetonka High School football game and the Oak Park High School football game in St. Joseph. October 29th is the date for “Fright Night” at the Gladstone Amphitheatre. This is a cooperative event with the Gladstone Area Chamber of Commerce, with Terry Hoppenthaler heading up the Chamber activity for the event. City staff is organizing the story tellers for the event and other fun activities.
Ms. Lillis reported that Gladfest is scheduled for this weekend with three full days of activities, beginning Friday at 5:00 PM. There are 108 walkers and runners pre-registered for the Scarecrow 5K Walk/Run on Sunday morning, which are the most participants yet for this event. Ms. Lillis encouraged everyone to join in the fun.
Mayor Pro Tem Rudi stated it has been suggested that a set schedule be established for the Board of Zoning Adjustment (BZA) meetings, rather than an “on call” schedule, and asked City Counselor Ramsay to investigate into this and report back to City Council. Councilman Rudi explained that with some of the issues that will be coming forward in the next year or two, this might be a good idea.
Mayor Wayne Beer stated it was thought that since the BZA will be tasked with greater responsibilities, that a regular schedule of meetings would be appropriate, and there might be a better rate of attendance.
Councilman Smith asked if they would meet if there were regular business, and cancel their meeting if there were no business.
Mayor Beer replied that was correct.
Mayor Pro Tem Rudi stated she would have communications under “Other Business” on the agenda.
Mayor Wayne Beer had no further comments at this time.
Item 8. on the Agenda. COMMUNICATIONS FROM THE CITY MANAGER.
City Manager Kirk Davis stated he looked forward to seeing everyone at Gladfest.
Item 9. on the Agenda. FIRST READING BILL NO. 04-40, amending Schedule V of the Model Traffic Code (Gladstone Municipal Code Section 18-12), to establish a “No Parking” Zone for south bound traffic on North Cherry Street from the intersection of Northeast 72nd Street and North Cherry Street, 200 feet south.
Councilman Les Smith moved to place Bill 04-40 on First Reading. Councilman Bill Cross seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0). The Clerk read the Bill.
Councilman Les Smith moved to accept the First Reading of Bill 04-40, Waive the Rule and place the Bill on Second and Final Reading. Councilman Bill Cross seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0). The Clerk read the Bill.
Councilman Les Smith moved to accept the Second and Final Reading of Bill 04-40 and enact the Bill as Ordinance 3.931. Councilman Bill Cross seconded.
Roll Call Vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Item 10. on the Agenda. FIRST READING BILL NO. 04-41, amending Schedule VIII of the Model Traffic Code (Gladstone Municipal Code Section 18-12), to establish a “Stop Sign” location at North Central and NE Englewood Road.
Councilman Les Smith moved to place Bill 04-41 on First Reading. Councilman Bill Cross seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0). The Clerk read the Bill.
Councilman Les Smith moved to accept the First Reading of Bill 04-41, Waive the Rule and place the Bill on Second and Final Reading. Councilman Bill Cross seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0). The Clerk read the Bill.
Councilman Les Smith moved to accept the Second and Final Reading of Bill 04-41 and enact the Bill as Ordinance 3.932. Councilman Bill Cross seconded.
Roll Call Vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Item 11. on the Agenda. OTHER BUSINESS.
Mayor Pro Tem Rudi moved to appoint Jean Moore to the Tax Increment Financing Commission (TIF) to fill the vacancy on that Board. Councilman Les Smith seconded. All “aye” - Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0)
Mayor Beer asked City Manager Davis to proceed with his presentation in regard to the County Question 1 issue.
City Manager Davis began by saying he would begin speaking as the Power Point presentation is down-loaded, and stated County Question 1 is commonly referred to as Bi State II. Councilman Smith suggested this issue be discussed this evening to see if there is Council interest in supporting the Bi State effort.
City Manager Davis explained County Question 1 would be on the ballot in November in five counties. It has to pass in Johnson, Jackson and Clay Counties. It is basically a ¼ cent retail sales tax and is designed to generate about $360 million for stadiums and $360 million for the performing arts. Adding interest to the bond that will be issued brings this issue to about $1 billion. The Kansas City Chamber of Commerce has suggested it will take a 12 to 15 year period to pay off the bond with a ¼ cent sales tax. If there is a growth of revenues over this period of time, it will probably be closer to 12 years.
City Manager continued by saying the $360 million for the Truman Sports Complex would be split by law, $180 million for the Chiefs and $180 million for the Royals. Funds in the amount of $180 million would be bonded for each stadium’s renovation. The stadiums are currently over 32 years old. This proposal would tie the teams to Kansas City through the year 2030, which would extend their current leases 15 years. Most Major Baseball League and National Football League teams are in newer stadiums. The inside of the bowls in the stadiums are fine, the issues are outside the bowls, such as the concourses, restrooms, and concession areas. These areas are inadequate based on today’s modern stadiums. Modern stadiums are truly family oriented and there are many things for families to do while they are at the stadiums, whether they be restaurants, bigger play areas, and other amenities that our stadiums do not have. Our stadiums cannot be beat inside the bowls, but the issues are on the outside.
City Manager Davis reported that many of the improvements that are suggested would give the teams the ability to generate more revenues and improve their competitiveness. The Chiefs will be contributing $50 million to upgrade the suites. None of the money from County Question 1 is going toward upgrading the suites in either stadium. The Royals will contribute $15 million to upgrade suites. City Manager Davis said the combined economic impact from organized sports is over $300 million per year. It seems like a wise investment to tie these two teams down for 25 more years, when they will generate over $300 million per year and approximately 4,400 jobs for our community.
City Manager Davis said none of the $180 million for each of the stadiums would go toward maintenance. That is money that should be generated by the teams, and there will be a 10 percent parking surcharge that would go toward maintenance. There are no “naming rights” on the table right now, but if there are in the future, 50 percent of the “naming rights” would go toward maintenance. Eight and one half million dollars would come from Kansas City, Jackson County, and the State of Missouri – far short of what the State of Missouri is paying St. Louis for their baseball stadium. This money will be governed by a Metropolitan Sports Authority, of which Clay County will have a large role. There will be issues for which the Jackson County Sports Authority will be responsible. The two entities, the Metropolitan Sports Authority and the Jackson County Sports Authority, will exist together.
City Manager Davis said of the $360 million going to performing arts, $50 million goes to the performing arts center being built downtown, which will be an approximately $300 million facility. Funding in the amount of $250 million is coming from the private sector. The remainder of the annual monies generated will be dispersed through a competitive grant application process. Fifty percent of the money will go toward regional arts programs, such as the Carlsen Center, Starlight Theatre, and the Nelson-Atkins Museum. Fifty percent will be spent for county arts programs and organizations. Funds in the amount of $33 million will be made available to Clay County based on current tax revenue estimates. We will have the ability, annually, to apply for grants from those monies for performing arts programming.
City Manager Davis said the $360 million for the performing arts side of this issue is the real economic engine that does not currently exist in our community. City Manager Davis stated he believes that in Kansas City, we spend $.88 per child for arts from public money. Denver and St. Louis spends $14 to $15 per child from public monies for performing arts.
City Manager Davis reported that a group of County citizens will be appointed to a Board that will take applications from entities around the county and they will in turn make a recommendation annually to the Bi State Commission for approval of those monies. There are two citizen oversight boards on both the sports side and the performing arts side of this issue. Not only will this provide opportunities for the performing arts center downtown, but also with our own amphitheatre, which would help to expand our own programs.
City Manager Davis said the five counties he mentioned, including Wyandotte and Platte have put this on their ballot. If all five counties pass this issue, then all five will have the funding structure just discussed, in terms of applying for local grants. It has to pass in Clay, Jackson and Johnson Counties. This is an exciting proposal. In regard to the stadiums, we have to remain market competitive if we want to remain a major league city. In regard to the performing arts, this is an opportunity to create a world-class performing arts center and to provide more arts experiences for all our children.
City Manager Davis stated that Councilman Smith has been involved in a number of discussions relative to this issue. Many meetings have been held, including here in City Hall that have brought citizens, Mayors, and elected officials together to discuss this issue.
Mayor Pro Tem Rudi asked what would happen in the counties if this issue does not pass?
Councilman Smith replied the ballot must pass for the county to assess the tax, so they would not be eligible for funding if the ballot does not pass. The fewer counties that pass the tax, the longer the tax will run, because the collection will not be as great.
Councilman Cross asked why Cass or Ray County was not included.
City Manager Davis replied he believed it had to do with the original Bi State legislation that defined the metro area as the five counties.
Councilman Smith agreed, saying it was statutory.
Mayor Pro Tem Rudi asked how much money is projected to be available to Clay County per year.
City Manager Davis replied it should be roughly $2.5 million per year.
Councilman Smith said that amount is after the first four years, because in the beginning, $50 million goes to the performing arts center downtown.
City Manager Davis agreed and said $50 million goes right off the top to the performing arts center downtown, because it is critical to the timing and the construction of that facility.
Councilman Smith reported the construction costs of a downtown performing arts center is $300 million, with $250 million in private funding, which is not a bad situation for the taxpayers to contribute $50 million for a performing arts center.
Mayor Pro Tem Rudi inquired as to how the arena fits into this issue.
City Manager Davis replied the arena will be located at 14th Street and Grand to almost Oak Street. The Kansas City Live district and the H & R Block world headquarters are located just to the west of the arena site. Next to that is the Kansas City Power and Light Building and the Municipal Auditorium and Bartle Hall. Just directly south of the freeway from Municipal Auditorium is where the performing arts center will be built, which is on the bluff south of Bartle Hall and the Municipal Auditorium. There are some plans to improve the bridges that cross the freeway. There will be some shared advantage in terms of parking and so forth. City Manager Davis stated financially it does not fit together, but it fits together as far as timing. City Manager Davis said he believes the hope is that there will be a performing arts center, the Kansas City Live district, the H & R Block world headquarters, and the arena all completed by 2007.
Mayor Pro Tem Rudi asked what is planned for the arena.
City Manager Davis replied there is a contract with AEG, a corporation based in Los Angeles that manages arenas. They also book multiple venues such as concerts and various forms of entertainment. People who are touring the country will be coming to their facilities and they can encourage entertainers to come to their facility in Kansas City. Rumor has it that Kansas City has a very good chance of getting a National Hockey League or a National Basketball Association team. The National Collegiate Basketball Hall of Fame will be in the facility, and they have committed to a couple of basketball tournaments per year in the facility. There may be a commitment for an Arena Football League team and potentially a Women’s National Basketball Association team. The arena should be very busy.
Councilman Smith stated that when speaking about this issue, people have mentioned Union Station, because Union Station is currently having financial troubles. The fact of the matter is Union Station is a success story for Bi State I because the purpose of Bi State I was to implement a tax, collect the monies and renovate the structure, which was done beautifully. The issue with Union Station has been the ongoing operations. Bi State I did exactly what it was intended to do. The amount was collected and the tax ended when it was said it would end, and the building was renovated, which makes this a success story.
City Manager Davis stated he sees Bi State II as an investment in our quality of life, our future, and in major league sports and performing arts. In the 1970s the airport, Crown Center, and the stadiums were opened, and he believes we are on the verge of seeing another cycle, where we will look back in the future and think this was quite a bargain.
Councilman Joe Evans asked if Bi State II has provisions for maintenance and operations.
City Manager Davis replied operations and maintenance at the stadiums will be addressed in part by a 10 percent parking surcharge, potential “naming” rights, and $8.5 million is coming from the State, Jackson County and Kansas City. All of this funding will be used for maintenance at the facilities. Right now the Jackson County Sports Authority and the teams are responsible for maintenance. None of the $360 million in Bi State II is designated for maintenance; that has to be made up by the teams and the Authority.
Councilman Smith said there would be a totally different look to the outside areas of the stadiums. There will be restaurants and so forth that will be built that will make this a year around destination - not just when the teams are playing. It won’t be significant in scope, but it is hoped that it will be a destination area for visitors. When promoting sales taxes locally, it has always been said that 38 percent of the sales tax money collected in Gladstone have been from people who live outside Gladstone. That same theory holds true for people who live outside of the five county area, because we are a regional destination. Councilman Smith said there is some sort of performance fee or “earnings tax” that is factored into the players earnings, and asked City Manager Davis if that was correct.
City Manager Davis replied that is correct. That is what is being used for the $8.5 million coming from the State and from the City for maintenance. It will come from a percentage of the players’ salary, similar to an income tax.
Councilman Evans asked how taxing players’ salaries has worked in other cities.
City Manager Davis replied he believed it is working well now. It also applies in some cases to entertainers and other venues. City Manager Davis said Councilman Smith has taken a lead in the metropolitan area, and people have phoned Mr. Davis about this issue. When this issue came north of the river, Gladstone was the first place they stopped to see if there was support. This is a real opportunity to play a leadership role in this issue.
Councilman Smith said it was at the urging of City Manager Davis that we took a leadership role. Through a lot of contacts of the City Manager, people have looked north. In fact Gladstone is represented as one of the Co-Chairs of the entire Northland campaign. People have a high opinion of Gladstone and their professional management. Councilman Smith said he has been very proud to be a part of this because of how people feel about us.
Mayor Beer stated when he became Mayor, he was asked if he would be interested in carrying on this issue, and his reply was “no”, because Councilman Smith had taken such an interest in this issue. Additionally, Mayor Beer said he was not totally “on board” with this issue at that time, and he would not have been a good representative for Gladstone for the Bi State II. Mayor Beer asked Councilman Smith to continue, and Councilman Smith was happy to do that.
Mayor Beer continued by saying that although he was not “on board” with the Bi State II issue at that time, he recognized there must have been some value to it, and the right man was in the right place to support this issue at the time, coupled with City Manager Davis and his leadership and commitment. Between the two of them, Gladstone has been well represented and has gained a greater recognition because of it. Mayor Beer thanked Councilman Smith and City Manager Davis. Mayor Beer said he is “on board” with the Bi State II issue now.
Councilman Smith reported the Parks and Recreation Advisory Board endorsed County Issue 1 at their meeting, and suggested that if any Council member has a group they would like to receive a presentation regarding this issue, to contact him or Mr. Davis. Some of the folks downtown would also be happy to assist. Councilman Smith said he would like our City Council to endorse County Question 1, because it is a huge issue for us, not just because of the regional participation, but because quite frankly there is potentially something in this for Gladstone. There is some possible money involved that we can competitively seek not only for sponsorships, but also for the Gladstone Amphitheatre; a potential Community Center that might have a performing arts wing; and some potential capital dollars.
Councilman Les Smith moved that the Gladstone City Council endorse County Question 1. Councilman Joe Evans seconded. The vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0).
Item 12. on the Agenda. QUESTIONS FROM THE NEWS MEDIA.
There were no questions or comments from the News Media.
Item 13. on the Agenda. ADJOURNMENT.
Councilman Les Smith made a motion to adjourn to Closed Executive Session pursuant to the Missouri Open Meeting Act exemption 610.021(1) for Litigation and Confidential or Privileged Communications with Legal Counsel, 610.021(2) for Real Estate Acquisition Discussion, and 610.021(3) for Personnel Discussion following the conclusion of the previously scheduled Open Study Session. Councilman Joe Evans seconded the motion.
Roll Call Vote: All “aye” – Councilman Joe Evans, Councilman Les Smith, Councilman Bill Cross, Mayor Pro Tem Carol Rudi, Mayor Wayne Beer. (5-0).
Cathy Swenson, City Clerk
Approved as submitted: ___
Approved as corrected/amended: ___
Mayor Wayne Beer