Minutes for 2010-10-12, Direct pdf link.

MINUTES
SPECIAL COMMISSION MEETING
OF THE BOARD OF COMMISSIONERS OF WEBER COUNTY
Tuesday, October 12, 2010 - 10:00 a.m.
Commission Chambers, 2380 Washington Blvd., Ogden, Utah
In accordance with the requirements of Utah Code Annotated Section 52-4-7(1)(d), the County Clerk records in the minutes the names of all citizens who appear and speak at a County Commission meeting and the substance “in brief” of their comments. Such statements may include opinion or purported facts. The County does not verify the accuracy or truth of any statement but includes it as part of the record pursuant to State law.Commissioners: Kenneth A. Bischoff, Chair, Jan M. Zogmaister and Craig L. Dearden.

Others Present: Alan D. McEwan, Clerk/Auditor; Monette Hurtado, Deputy County; Fátima Fernelius, of the Clerk/Auditor’s Office, took minutes.

A. Welcome - Chair Bischoff
B. Pledge of Allegiance - Jim Harvey
C. Thought of the Day - Commissioner Zogmaister

D. Consent Items:
1. Purchase Orders in the amount of $142,875.54
2. Warrants #266875 - #267054 in the amount of $1,733,665.82
3. Minutes for the meeting held on October 5, 2010
4. Cancel the regular meeting of the Weber County Commission scheduled for October 19, 2010
Commissioner Dearden moved to approve the consent items; Commissioner Zogmaister seconded, all voting aye.

E. Action Items:

1. Discussion and/or action on requested refund from Summit at Ski Lake 9 to Ron Cantanzaro

This item was discussed last week. Mark Babbitt, of Great Basin Engineering, stated that the subdivision was developed by Mr. Catanzaro, who had removed a retaining wall from a previously approved project, which reduced the escrowed amount, and they were requesting a refund of $22,261. Chair Bischoff asked if they had reviewed all the figures with County Engineering and Mr. Babbitt responded they had and also had updated their proposal. The only item Engineering had questioned was the amount for the earth work and Mr. Babbitt had discussed it with Brad Hansen, an estimator with Staker Parson, who had said the amount was in line with the proposal for the project.

Curtis Christensen, County Engineer, stated that Mr. Tuttle, of County Engineering, had worked on this item and could not be present today but that Mr. Tuttle felt comfortable with the figures and had ensured there is a place to put the material that is taken out. This subdivision was recorded in 3/2007 but since that time the county had to call it in default, due to inactivity, and officially took over the escrow. The initial guarantee was $226,310.70.

Monette Hurtado, Deputy County Attorney, was under the impression that a bank owned some property in the subdivision and asked who was the subdivision owner. Mr. Christensen responded that the subdivision consists of one lot and the private road, and that the financial guarantee is for the subdivision. A bank took the lot but the road is still in the name of the Home Owners Association. The bank, which is the owner of the subdivision, did not place a financial guarantee. Ms. Hurtado asked what would happen if the bank sells that lot and the new owner wants to re-design it and Mr. Christensen said that the road would not have a re-design and there would be no changes associated with that lot. Chair Bischoff asked if he was comfortable with new figures and Mr. Christensen felt it was a reasonable figure but the concern is that the county does not know when this will be constructed–the subdivision has been in the process for 3 ½ years already. Ms. Hurtado stated that without a financial guarantee there would be no time parameter and currently a financial guarantee only lasts two years and the way to guarantee this is to not return any money until the improvements are in.
Since the work has not been done on the road Commissioner Zogmaister asked if that was a problem for the subdivision and Mr. Christensen said that for the lot to be built, they would have to do some work on the road. Ms. Hurtado said that the county could end up doing the work because, under the old agreement, once the developer defaults the county can hire someone and pay for the improvements. She stated that the county generally releases funds based upon acceptance of the improvements and that was the concern in this case–they were asking for money to be returned before anything has been done. Mr. Christensen said that the county had looked at the monies in today’s terms and there should be sufficient funds if the project was constructed today, and a contingency is built in. Commissioner Dearden asked when they anticipated putting in the road and Mr. Catanzaro stated that he is committed to start it in the Spring.

Commissioner Dearden asked who would be on the hook for the overage if they run into unanticipated problems and Ms. Hurtado said it would be the county because the financial guarantee is in default and the county has not made any other provisions for a new financial guarantee. She stated that this project was under the old guarantee requirements (which the county has since amended), which allowed the county to return any excess money to the developer, provided all the improvements were in, but it did not anticipate releasing any funds prior to completion. She emphasized that the old agreement is what the county would look to in this instance in allowing any refund. Mr. Christensen addressed Commissioner Dearden’s question stating this was a unique situation (where a developer could make a similar request).
Because there is a contingency fee and County Engineering feels there are sufficient funds, Commissioner Zogmaister moved to move forward with granting the release of $22,261,000 at this time and that Mr. Catanzaro move forward with building the road; Commissioner Dearden seconded for discussion asking what guarantee does the county have if the work starts and then goes over $204,039 and Commissioner Zogmaister said there was no guarantee the work will start and if it does not, the county can do it; Chair Bischoff voted aye and Commissioner Dearden voted nay.

2. Discussion on the recommendation from the Weber Economic Development Corporation to incent Newell Window Furnishings, Inc. (Levolor Brand) $100,000 for consolidating/relocating 385 jobs to Ogden, maintaining 35 existing jobs in Ogden and creating 50 new opportunities in Ogden over the period 2010-2015. It is proposed this incentive be funded from the Economic Development Account derived from the sale of properties in the Weber Industrial Park

Ron Kusina, Executive Director of the Redevelopment Agency of Weber County, speaking on behalf of the Board of the Weber Economic Development Corporation (WEDCOR) stated this item was to begin the process for approval of an incentive to the Newell Window Furnishings, Inc. (dba Levolor) for a major economic project proposed for Ogden. He outlined the various conditions to be placed upon this incentive, gave an overview of the company, which has two locations in Utah (currently employing 415 individuals), and a facility in Mexico. Levolor had determined to either consolidate their Utah operations or move both to Mexico. Levolor cannot remain in Salt Lake City because that facility cannot be enlarged and they made it clear to the State that without an incentive from the State this project will move to Mexico. The investment proposed for Ogden is between $800,000-$1.3 million in facility improvements, there would be about $82+ million in project State wages paid over the five year period and about $3.8+ million in new State revenue.

Because it was a rushed timeline a special notice was sent to the executive committee of WEDCOR, which typically makes recommendations and acts on behalf of the board. Mr. Kusina received 9 responses out of 12 members, all in support to incentivize these jobs in Ogden. The project is to retain Utah manufacturing operations by consolidating existing facilities into one in Ogden. The offer includes that Levolor would create 50 new full time, permanent jobs over five years and commit to maintain the 415 existing Utah positions in Ogden beginning January 1, 2011, 380 of which would be new to Weber County with an average annual salary meeting the 125% of the county’s average wage (may include contributed health benefits), the incentive from WEDCOR and the county is for a maximum of $100,000 over the life of the incentive ($2,000 for each of the new 50 positions) over five years, the incentive from the county and WEDCOR would be disbursed (a max of $34,000 in 2012, 2013 - $34,000, and the balance in 2014 or 2015, depending on whether they have reached the 50 jobs) over a three rebate reporting period and only after the employment positions have been in place for a minimum of 12 months, and this project is subject to participation of all partners, including the Governors Office of Economic Development (GOED) for $100,000, Ogden City for $25,000 (in-kind service) and the Ogden Weber Applied Technology College and the Department of Work Force Services training incentives (valued by the company at $50,000 or more). The GOED, not only approved $100,000 for the new jobs, but approved $50,000 for retained jobs, a historical occurrence. Levolor must meet the new full time employment projections both with regard to the number and the wage percentage in each of the five years, only the new jobs (created after proposal acceptance are eligible), and the incentives provided are post performance. The company accepted the proposal and the incentives are in place. The State made it clear that Weber County made the difference in this project and this incentive is the reason for maintaining the jobs in our State. He noted that, given the sluggishness of the economy, 400+ new jobs in Ogden was very positive news. He recommended approval using the economic development fund from the sale of Weber Industrial Park propertiesfunds. Chair Bischoff gave direction to Mr. Kusina to move forward with the process.

3. Final approval of Woodland Estates Subdivision - Unit 2, 1st Amendment (3 lots, which is an amendment to lots 51-53 of Woodland Estates Subdivision Unit 2)

Justin Morris, of the County Planning Division, stated that this amendment is to alter the interior lot lines of lots 51-53. The original three lots will be vacated later in this meeting. Staff recommends final approval and the Planning Commission recommended final approval on 7/13/2010.
Commissioner Dearden moved to grant final approval of Woodland Estates Subdivision - Unit 2, 1st Amendment (3 lots, which is an amendment to lots 51-53 of Woodland Estates Subdivision Unit 2); Commissioner Zogmaister seconded, all voting aye.

 

4. Final approval of Cloverside Acres Subdivision Phase 2, 1 lot and a request for a deferral of curb, gutter, sidewalk and piping

Justin Morris, of the County Planning Division, stated that this lot is located along 3300 S. 4700 W. The applicant is requesting deferral of curb, gutter, sidewalk and piping along the frontage. This development is not within 1½ miles of a school. The Weber School District has responded that all students are eligible for bussing. The Western Weber Planning Commission recommended final approval with the deferral on 8/10/2010 and staff also recommends final approval of this item.
Commissioner Zogmaister moved to grant final approval of Cloverside Acres Subdivision Phase 2, 1 lot with a deferral of curb, gutter, sidewalk and piping; Commissioner Dearden seconded, all voting aye.

5. Resolution of the Weber County Commission supporting the acquisition of the Wolf Creek Sewer Improvement District - Resolution 27-2010

Lowell Peterson, representing the Wolf Creek Sewer Improvement District, stated that Weber County created this district in 1984 and it did not operate for a number of years but was re-instituted and has since become a very active and effective district in the Ogden Valley. The District has an opportunity to acquire both the assets of the culinary water company at Wolf Creek and the assets of the Wolf Creek Water Conservancy. Because they were created as a sewer district there is some question whether they can also be involved with culinary water. They have petitioned the court to become a water company (scheduled to be heard on 11/2/2010 and it is their attorney’s recommendation to obtain the support of the county.

Chair Bischoff asked if the residents had expressed any concerns and Mr. Peterson responded that when this concept originated, they mailed a letter to every subscriber of both the sewer district and the culinary water company and then held a public hearing. No opposition was voiced and the residents like the idea of the water being provided by a public entity.
Reed Richards, Attorney for the district, stated that this appears to be beneficial for all involved and logical for the sewer district to operate the water that is necessary to operate the sewer operation. This item will also have to be approved by the bankruptcy court because the privately owned companies are in bankruptcy. Commissioner Zogmaister said that this falls in line with related future plans for the Ogden Valley.
Commissioner Dearden moved to adopt Resolution 27-2010 of the Weber County Commission supporting the acquisition of the Wolf Creek Sewer Improvement District; Commissioner Zogmaister seconded.
Roll Call Vote:
Commissioner Zogmaister aye
Commissioner Dearden aye
Chair Bischoff aye

F. Public Hearing:

1. Commissioner Zogmaister moved to adjourn the public meeting and convene the public hearing; Commissioner Dearden seconded, all voting aye.

2. Public hearing regarding the vacation of lots 51-53 of Woodland Estates Subdivision - Unit 2

See item E.3 above. Justin Morris, of the County Planning Division, stated that notices of the amended subdivision plat were mailed to the three lot owners and the owners of Unit 2. Chair Bischoff invited public comments and none were offered.

3. Commissioner Dearden moved to adjourn the public hearing and reconvene the public meeting; Commissioner Zogmaister seconded, all voting aye.

4. Action on public hearing:

F.1. - Vacate lots 51-53 of Woodland Estates Subdivision -Unit 2 - Ordinance 2010-23
Commissioner Dearden moved to adopt Ordinance 2010-23 vacating lots 51-53 of Woodland Estates Subdivision - Unit 2; Commissioner Zogmaister seconded.
Roll Call Vote:
Commissioner Zogmaister aye
Commissioner Dearden aye
Chair Bischoff aye

G. Assign Pledge of Allegiance and Thought of the Day for Tuesday, October 26, 2010, 10 a.m.

H. Public Comments: None

I. Adjourn
Commissioner Dearden moved to adjourn at 10:55 a.m.; Commissioner Zogmaister seconded, all voting aye.

Kenneth A. Bischoff, Chair
Weber County Commission

Alan D. McEwan, CPA
Weber County Clerk/Auditor