Minutes of the Huntsville Town Council Meeting s1

MINUTES OF THE HUNTSVILLE TOWN COUNCIL MEETING

Thursday, December 15th, 2016 7:00 p.m. Huntsville Town Hall

Town Council: Mayor James A. Truett Council Member Mike Engstrom Council Member Doug Allen Council Member Bill White Clerk/Recorder, Gail Ahlstrom Treasurer/Linda Laws

Excused: Council Member Bill Wangsgard

Citizens: Chuck Ulrich (Ulrich) Kaela Cornwell (Ulrich) River Hyde Bonnie Hyde Curtis Hyde Britain Sorensen Regen Sorensen Kerry Wangsgard Lt. Talbot

Mayor Truett called the meeting to order and welcomed all in attendance. There was a quorum present tonight.

The pledge was led by River Hyde.

Audit Report, Fiscal year ending June 30, 2016: Chuck Ulrich presented the Town’s Audit Report for the fiscal year ending June 30, 2016. Chuck stated that they have completed their audit and in their opinion the financial statements are presented fairly in all material respects and are in conformity with all general accounting principles. This is a clean opinion, which is a thumb up for the Town.

Chuck gave a summary of the Town’s Audit Report. The net balance sheet for the town tries to create a financial picture similar to what a business’ balance sheet would look like. $4,312,113 is the town’s book value. What the auditors try to figure out is how the town is funding the services being provided. Expenses for general government, public safety, public works, parks and recreation, cemetery, and capital outlay cost the town $406,000 annually. Revenue brought into the town with taxes, licenses and permits, charges for services, inter-governmental, fines and forfeitures, interest and contributions were $343,650. The Capital Project Fund has $80,000 in its ending fund balance. The cemetery perpetual care fund went up from $188,000 to $195,000. The money made in the perpetual care fund is what will eventually maintain the cemetery, however, there needs a huge amount of money in this fund in order for this to work.

Chuck explained that proprietary funds are intended to be like a business because the cost to provide the service is intended to be recovered by the revenues charged for that service.

of 10 The public utility fund shows charges for services at $275,000 and the total operating expenses were $282,000, which shows a loss of $6,800. This loss takes into account depreciation and amortization of $161,800 which is a non-cash charge that is intended to represent the consumption of the infrastructure. This charge is intended to help the town government figure out how much to charge in services and fees to maintain the system, at some point the treatment plant will need to be replaced. Overall the town used $44,000 more in resources than the town brought in. CM Engstrom asked if Chuck thought the town was charging enough for the water services. Chuck said the town is not charging enough. The 4th of July fund, get donations and transfer money in and out, with a base of $35,000. Chuck went over some of the highlights. The town reduced its debt by $135,000. $100,000 of this was from the sale of a one acre lot on the Town Square, payment was made to Zion’s Bank. Chuck stated that the town is allowed to accumulate a certain amount of fund balance before the state steps in and says no more. Huntsville is at the maximum amount it can have. A municipality can save up to 25% of its revenues for the year. The town’s revenues were $343,000 that means the town can have $86,000-87,000 and the town is at $85,965. The town will eventually need to budget the excess or lower property taxes. Chuck stated that the town is in ideal shape. Mayor Truett asked Chuck how he would grade the town; Chuck replied that the Town would get an A. CM White asked what a restricted fund means. Chuck replied that the money has to be used for specific purposes such as grant money or Class B road funds.

CM Engstrom commented that the public utility fund is not under the same restrictions as far as growing the funds; Chuck agreed it’s only the general fund that is supported by property taxes. Mayor Truett said he, Linda Laws, and CM White have been working on refunding the water bonds, which will save the town thousands of dollars.

Chuck turned the time over to Kaela Cornwell (CPA). Kaela reported on the two letters that are included with the audit. (See Attachment #1) The first one goes through the audit process and how it went. There were no difficulties encountered while performing the audit, no large dis- statements, and no need to consult with outside independent groups, all good news. Kaela went through the management letter that they provide each year. Utility billing: as noted in prior years, amounts billed through the Caselle utility billing module do not agree in total to amounts reported in the Town’s general ledger. There was a lot of improvement in this area this year. She recommended review the detail provided in Caselle and reconciling the totals to amounts reported in QuickBooks on a monthly basis.

Utah Public Notice Website: Kaela noted during the audit that the Town is not posting minutes or agenda items for council meetings to the Utah Public Notice Website as required by State Law. Gail mentioned that she has been working on getting this corrected. She had been uploading the agendas onto the website but hadn’t clicked on the publish button.

CM Engstrom asked if the town have the adequate safe guards in place to prevent embezzlement or other types of fraud from happening. Kaela said that as part of their audit they do test internal controls. The most important thing is the segregation of duties, there is nothing that can prevent collusion. Nothing is fail proof. Mayor Truett thanked the auditors; they are easy to work with. The Mayor also thanked Linda Laws for the outstanding job she has done for the Town.

of 10 Motion to adjourn Regular Council meeting to hold Public Hearings: CM Engstrom made a motion to adjourn the regular council meeting to hold the public hearings. CM White seconded. All votes aye.

Public Hearing on potential projects for the CDBG Small Cities Program for Program Year 2017: Mayor Truett opened the public hearing for the CDBG program and stated that this hearing is being called to consider potential projects for which funding may be applied under the 2017 Community Development Block Grant Program. It was explained that the grant money must be spent on projects benefiting primarily low and moderate income persons. The Weber Area Council of Government, of which Huntsville Town is a member, is expecting to receive approximately $1 Million dollars in this new program year. All eligible activities that can be accomplished under this program are identified in the CDBG Application Policies and Procedures Manual and interested persons can review it at any time. Mayor Truett read several of the eligible activities listed including, construction of public works, and facilities, i.e.: water and sewer lines, fire stations, acquisition of real property, provision of public services such as food banks or homeless shelters.

Also eligible are loan programs for private businesses which would then hire low income persons and the program can also pay for housing rehabilitation or down payment assistance for low income homeowners. Mayor Truett indicated that in the past Huntsville Town has received 5 grants. In 2011the Town received $261,000 for land acquisition, in 2012--$182,000 for upgrades to the treatment plant and new filtration system, in 2013--$110,000 for installation of electronic read meters, and in 2014 the Town received $205,000 for water line upgrades at four locations, in 2016 the Town received $250,000 to replace a main culinary water transmission line and to drill a new well.

The Town has handed out its Capital Investment Plan as part of the regional “Consolidated Plan”. This list shows which projects the Town has identified as being needed in the community. Mayor Truett asked that anyone with questions, comments or suggestions during the hearing please identify themselves by name before they speak. The clerk will include your names in the minutes and we would like to specifically respond to your questions and suggestions during the hearing. There were no public comments.

Mayor Truett explained that this year the Town Council’s #1 priority to apply for CDBG funding to build the Nugget Well Pump Station at a cost of $305,000. The Town’s #2 priority is to construct a pipeline from the Nugget Well to the Treatment Plant at a cost of $210,000.

Motion to adjourn the Public Hearings and re-convene to the Regular Council Meeting: CM White made a motion to adjourn the public hearings and re-convene to the regular council meeting. CM Allen seconded. All votes aye. Motion passed.

Lt. Talbot Police Report: Lt. Talbot mentioned that over the past couple of years, as precinct commander, he has been trying to put together a suicide prevention program, and he has finally figured this out. Lt. Talbot sent some of the guys to Gate Keeper training. There is an hour long presentation and he would like to get the info out to the community. Suicide is something that is not talked about enough.

of 10 Lt. Talbot stated that there have been 6 suicides within the community in the last couple of weeks. There were three suicides in one day in the Ogden Valley. Suicide has become an epidemic and he would like to do something about it. The program basically lets you know what to look for and how to talk to someone who is having suicidal thoughts. This program is being introducing to the schools as well, but it’s not just school kids that are struggling, there are also a lot of adults. Communities that Care also have a suicide prevention program. The program is about awareness and signs to look for. Lt. Talbot needs help reaching out to the community and is asking the Council for their help. The Town can put something in its newsletter, water bill, website, and email blast. This information could also be taken to the churches and its leaders. Lt. Talbot will set a date and reserve the library, but will need the towns help getting the word out to get people there. Mayor Truett suggested holding a work session on January 5th at 6:00 p.m. to discuss implementing a plan to promote this meeting.

Lt. Talbot said there have been 25 suicides by the Monastery gate in the last four years. People who are not from the valley drive up here to commit suicide. Mayor Truett asked Lt. Talbot to bring stats to the meeting; this info could help get people to the meeting. Lt. Talbot stated that they go on at least 7 suicide attempts each day. If you average the suicides across the county, there is at least one a day. Mayor Truett applauds his efforts and said the Town will help anyway possible. CM White asked if they are seeing a common theme. Lt. Talbot replied that suicide has no class. The spectrum covers relationship, financial, and drug problems but there is no one profile. A few signs of people contemplating suicide are: giving their stuff away, someone who is really stressed and then they’re not, relationships break ups are huge, and losing a close family member. People need hope.

*Mayor Truett: Discussion and/or action on Audit Report, Fiscal year ending June 30, 2016: CM Engstrom made a motion to approve and accept the audit report for fiscal year ending June 30, 2016. CM White seconded. All votes aye.

Roll Call: Mayor Truett Yea CM White Yea CM Allen Yea CM Engstrom Yea CM Wangsgard Excused

Discussion and/or action on suggested project for the CDBG Small Cities Program for Program Year 2017: CM Engstrom made a motion to accept and approve the proposed projects as discussed for CDBG funding for 2017. CM White seconded. All votes aye. Motion passed.

Discussion and/or action on proposed 2017-2022 Capital Investment Plan: (See Attachment #2) Mayor Truett reported that the Council updated the 2017 Capital Investment Plan which includes categories for culinary water, buildings, parks, cemetery, green waste facility, equipment, and roads. The Council crossed off projects that have been completed and added new projects to be done from 2017-2022. This is basically a wish list for the town.

of 10 CM White reported that the construction of the Nugget Well Pump House for $305,000 was added as well as the pipeline to connect the Nugget Well to the Town’s treatment plant for $203,000. The development of a redundant culinary water source is under way but still needs to be completed so this number was lowered from $600,000 to $300,000. Upgrades to the treatment plant software, re-roofing of the treatment plant, and upgrades to the playground equipment were also added to the list.

CM Allen made a motion to adopt the 2017-2022 Capital Investment Plan as presented. CM Engstrom seconded. All votes aye. Motion passed.

Discussion and/or action on Pickle Ball Courts at the Town Park: This item was tabled.

*Council Member Allen: Department Reports: CM Allen reported that there has been another water leak by a fire hydrant on the way to the treatment plant, there seems to be a continual problem at this location. CM Allen expressed his concerns over the lack of communication between him and the maintenance guys. CM Allen was not informed of this leak until after it was fixed. CM Allen said he got after the maintenance guys and told them the Council should be informed of problems. CM Allen said he is charge of the water and would appreciate knowing about water problems. The repair bills are concerning him.

CM Allen reported that the electrical for the cemetery shed can’t be done right away as hoped it will be pushed off a little. CM Allen encouraged better communication between the town employees and the Council.

*Council Member Engstrom: Discussion and/or action on Kerry Wangsgard’s request for Annexation: (See Attachment #3) CM Engstrom invited Kerry Wangsgard to come up and explain what he is hoping for. Kerry Wangsgard said he owns the Huntsville Storage Units on Hwy 39. His request is that he would like to start the process of annexing his property into the town. Kerry would like to build two additional buildings towards the back of the property. He has had several people asking for storage space and his units are full. To provide this service to the community he would like to add more units. His property is zoned CV2 with the county and with a conditional use permit he is allowed recreational, personal, and household storage. The Town Council would have to approve this use in a CV2 zone with a Conditional Use Permit (CUP).

Kerry stated that he has submitted a plan to the PC that outlines what he wants to do. One building will open to the east with the back of the building facing west. They will be cinderblock buildings like the ones that are there. The planning commission had a few concerns and wanted to ensure these issues were address prior to any annexation.

of 10 One issue was a fire hydrant. Kerry said he checked on this and there is a hydrant in the middle of the Chevron Station plaza. Another question came up about whether the town would need to provide culinary water. Kerry said he isn’t interested in culinary water, but if this changed Kerry acknowledged that this is a cost he would have to bear. Mayor Truett clarified that one building will be built to the west of the existing two buildings and the other one will be built to the east or in the back corner.

CM Engstrom reviewed what was discussed during the PC meeting. CM Engstrom said there is a condition in the ordinances that says any property annexed into town would need to come in under the same zone as they are in the county. This would require a re-zone prior to annexation. The Town would need to create a new CV2 zone to accommodate the storage units. The owner of this property would need to bear the costs of providing culinary water to the property. The commissioners discussed the need for a fire hydrant and the need to create a new zone which would require updating the Allowable Uses in a Zone table. Kerry would be required to meet landscaping, lighting, and signage ordinances. The information tonight is to introducing the concept and educate the Council to see if they want to go down this road. There is a lengthy process to annex properties. Mayor Truett asked what he is planning to do with the other parcel of land he owns that is adjacent to this property. Kerry replied that he plans to leave it vacant or use it for outdoor RV storage. Right now people want outdoor storage and are parking out front, which looks cluttered; the back piece would be more suitable and hidden.

CM White asked what the next door neighbor thinks about this. Kerry replied that Danny Walton is not happy about this addition; Danny is not in favor of anything back there. Kerry said he has planned a 20’ side yard setback to provide enough room for people to drive around the buildings. CM White said you could imagine how Danny would feel having a gigantic warehouse next to his house, leaving Danny in the dark and taking away his view corridor. CM White asked why the council would want to help this happen. Kerry stated that Danny has planted quite a few pine trees and bushes along the property which are blocking his view anyway. Kerry felt that there are worse things than having a building next to you that is hardly ever used, at least it is quite.

CM Engstrom asked Kerry what his incentive was in doing this with Huntsville instead of W.C. Kerry remarked that Weber County requires more in the way of landscaping, they type of roof lines that are allowed, the types of buildings, and fencing. Kerry had planned to have a flat roofline and the county wants it staggered. The county requires a certain percent of landscaping with trees, shrubs and bark. The county wants a rod iron fence around the facility. Rod iron is very expensive and gets damaged. Kerry feels the counties requirements are expensive and extensive. Kerry felt that the county has been unreasonable. Kerry said in the past the town has expressed a desire to annex his property. Kerry felt that the Town would be more willing and cooperative to make this happen. CM White stated that the Town just updated the Allowable Use Table and took storage units off that list because it was unanimous that no one wanted storage units in town. The Mayor said the town doesn’t have a CV2 zone. The Mayor asked if Kerry has had problems with break-ins. Kerry said he used to because of the way the locks were situated, but he has swapped out the locks and now has a couple instances a year.

of 10 Mayor Truett said the town doesn’t have a CV2 zone this would require the town to create one, most of the time the town reaches out to other counties or towns and copies their ordinances and adopt those. More than likely if the town annexes the property it would be the same regulations as Weber Counties. CM Allen agreed that the town doesn’t just create its own ordinances we copy and modify them to fit the town. CM Allen asked if the county has things they want Kerry to do, then Town’s requirements would be almost identical. Kerry replied that the zoning isn’t the problem; the county has added additional restrictions with their CUP such as no chain link fencing. CM Allen stated that the Huntsville Town government agonizes over every change that’s made because everyone wants to maintain the town’s character. CM Allen doesn’t think Kerry has anything to gain by annexing; the Town’s regulations might be more restrictive than the counties. Kerry understands the desire to protect of the town; he understands why the residents wouldn’t want storage units inside the town, but on the Hwy if the town does plan on expanding and treating the surrounding property as the commercial area it could bring revenue into the town.

CM Engstrom agreed that the council has in the past expressed interest in annexing property surrounding the town to create a buffer; this would be part of that concept. CM Engstrom stated that he didn’t get the opinion that the PC was in favor of this, they were looking for guidance from the Council. There would be a lot of work that would need to happen before this property could be annexed. CM Engstrom stated that before Kerry goes through the steps of annexation, he would like to know with a vote of confidence that the council will allow the construction to happen. CM White remarked that the reason the town government was thinking about annexing property to provide a buffer zone was so we could protect the beautiful corridor and integrity of the town, so the county doesn’t allow something the residents wouldn’t want across the street from the town. If the town is annexing for a buffer zone we for sure wouldn’t allow more storage units to go in. CM White said he doesn’t see that this would add anything to the town. CM White doesn’t want Kerry going down the path of annexation if the council has no intention of allowing Kerry to add additional storage units.

CM Engstrom read from Title 15.27.1: Purpose. B. The character of the Huntsville community is mixed residential, commercial, recreational, and agricultural. Areas considered for annexation should be compatible with this character. The annexed land shall be zoned to be compatible with surrounding uses within Huntsville Town and its nearby vicinity. Kerry said this would benefit the town by bringing in revenue. He would pay $75 more a month in taxes to be in the town. No sales tax is charged on the storage units.

CM White made a motion to instruct the PC not proceed with the creation of a new CV2 zone. CM Allen seconded. Mayor Truett said he is pro buffer to protect the town. The entire reason for the buffer is to protect and preserve the community. The Council purposely took storage units off the Allowable Use Table. All votes aye. Motion passed.

of 10 Discussion and/or action on amendments to Title 15.1: Allowable Use Table, To mark all uses for Hotel/Motel or Inn as Not Permitted: CM Engstrom said the PC held a public hearing a couple months ago with the proposal to mark Hotel/Motel and Inn as “Not Permitted” in all zones. This would mean the town will not allow any additional hotel/motel or inn to be built except for what is currently underway. In October, Richard Sorensen turned in a Conditional Use Permit regarding the Leon’s Market property. The question is; how to deal with the Sorensen’s request to utilize the two outdoor sheds and rent them out as guest houses or as an overflow for his son Britain’s B&B.

The PC came up with the idea of creating a new zone that would be a Commercial-Hotel (C-H) zone (CH) and write into that zone restrictions for a hotel/motel or inn and their restrictions. Then the owner of the commercial property would need to apply for a re-zone to get into this C- H zone that would allow hotel/motels and inns. This would protect the town’s interests by not having a hotel/motel/ or inn in a CUP. This would prevent all the commercially zoned properties being able to apply for 5-6 hotel/motel rooms per property and overwhelm the town. This would still allow the town to accomplish, if the council decides to go down that road, the Sorensen’s to utilize the two out buildings as hotels. CM White said this is a really good idea for a couple of reasons. This would allow people to petition on a case by case basis and present a plan that would then go to a public hearing. This would give the community some input. CM Engstrom said this would allow the town more control as to whether there are more hotels or not. By leaving hotel/motels and inns as a conditional use in the commercial zone it would allow every commercial property owner to start their own hotel. CM White stated that if all uses are marked as Not Permitted for hotel/motel or inns the town will be creating problems in the other direction.

Mayor Truett wants to be consistent with what the town is doing. CM White restated that right now the town has a law of unintended consequences, which is, if the town doesn’t change the law there could be 7 new 16 room hotels. Then the Council decided to not allow hotel/motels or inns at all, which means there would be zero hotels unless they already have vested rights. This will create a compromise position where the public can have input.

CM Engstrom made a motion to proceed with the amendment to Title 15.1: Allowable Uses in a Zone to change all uses for hotel/motel or inn as “Not Permitted” in all zones. The PC will proceed, with the Councils direction, to move forward with the idea of creating a new C-H zone. CM White seconded. All votes aye. Motion passed.

CM Engstrom made a motion to direct the PC to proceed with creating a new commercial zone that would allow hotels/motels and provide recommendations to the TC. CM White seconded. All votes aye. CM White stated that B&B’s are fine; it’s when someone wants to have something beyond that which has become the issue.

of 10 Roll Call: Mayor Truett Yea CM White Yea CM Allen Yea CM Engstrom Yea CM Wangsgard Excused

CM Engstrom amended the motion to direct the PC to investigate and create a new zone that would allow a hotel/motel or inn at a size they deem appropriate. CM White seconded.

Mayor Truett asked Regen Sorensen if they were planning on turning their building into a hotel or B&B. Regen replied that they want a recreation/activity center, which has already been approved. They do not want to section it off into rooms at all. They would like to use the two out buildings for a Bride & Groom room. Mayor Truett asked if the Sorensen’s were planning on using some of the adjoining property as part of the reception area. Regen said they have been working with Laurie Van Zandt on the landscaping and she was told she could use some of the property if necessary to achieve the design and look they are going for. They have no plans to move the small buildings. Regen said these out buildings were were all built to code. They will need to install a bathroom in each unit; the buildings were already set up for this. They will need to install septic for this. Mayor Truett stressed that he is not in favor of any more hotel/motels or inns. He likes changes the uses for hotel/motels or inns as Not Permitted, and he likes the idea of creating a new zone to address hotel/motels and inns. CM Allen remarked that he likes this idea as well because it will allow the Council to deal with issues on a case by case basis. All votes aye. Motion passed.

Department Reports: CM Engstrom reported that the PC has been reviewing Title 4.2 which is a requirement for residents to get a remodel permit when doing remodeling or upgrades to their home. In reality, this isn’t happening. There is a law in the book that no one is following. The PC is wondering if the town really needs this law. Ron Gault has suggested changing the verbiage to say “to protect the public safety, any addition or changes to electrical, gas, plumbing, mechanical, or structural support portions of a resident, which is regulated by the adopted Huntsville Town Building Codes, should be inspected by a knowledgeable individual, if not performed by a licensed contractor. Should the owner not do so, Huntsville Town shall not be held liable for any consequences.” This needs to be approved by the attorney. CM White said Ron ran this verbiage by him a few days ago and he made some recommended changes. Whenever an ordinance says “should” it’s not binding. The new verbiage will be presented to the PC in their next meeting in January. This concern is whether the town can say it needs to be looked at by a licensed contractor, or it you need a building permit and inspection if doing it yourself. If the town has in its ordinances that you need to hire a licensed contractor or an inspection, and someone does the repair themselves and blow up their home, it’s their responsibility not the towns. This is just an introduction to the concept, nothing is final yet.

CM Engstrom reported that Weber Pathways hired a structural engineer to look at the bridges to access Jefferson Hunt Campground, and the bridge is in bad shape, he didn’t want to walk on it.

of 10 Mayor Truett said he spoke with Alan Wheelwright with Pathways two weeks ago, and Alan said they have permission from the Forest Service to repair the bridge.

*Council Member White: Department Reports: CM White reported on the progress with the Nugget Well drilling project. The well drillers have submitted their bids and there will be a bid opening on Monday at 3:00 at the Town Hall. There were 7 reputable drillers who showed up to the pre-construction meeting and two have dropped out. The hope is that they will get right on this project and have it completed by February. The Town needs to spend down 50% of the grant money or $125,000 by February in order to be able to apply for additional funding for 2017. So the Town is under a time crunch. The well could be drilled in two weeks if everything goes right. The proposed depth of the well is 700 feet. The Town has to go with the lowest bidder because the town is using CDBG money to pay for the project. The State will clear the contractor before the project can be awarded.

CM White reported that Huntsville Irrigation Co. and Ogden City filed a protest to the change application to transfer water rights from the South Fork River to the Nugget Well site. CM White was able to negotiate with both Huntsville Irrigation Co. and Ogden City and they have withdrawn their protests. CM White spoke with the State Engineer and he said if the permit wasn’t approved by the time the project started, he would issue the town a provisional permit within one day, to drill.

CM White reported on issues that arose with the CIB grant, and the Town not being allowed to use this grant money to help drill the well. He spoke with Jeff Holt; the Town will be on the CIB agenda Feb 1st to change the scope of work to include the drilling of the well.

Approval of Town Council Minutes for meeting held November 10 th , 2016: CM Allen made a motion to approve the minutes of the Town Council meeting held, November 10th, 2016, as prepared. CM White seconded. All votes aye. Minutes were approved.

Approval of Work Session Minutes for meeting held November 10 th , 2016: CM White made a motion to approve the Work Session minutes for meeting held November 10th, as prepared. CM Allen seconded. All votes aye. Minutes were approved.

Citizens Comments: There was none.

Mayor Truett mentioned that all items on the agenda have been addressed. CM Allen made a motion to adjourn. CM White seconded. All votes aye.

Meeting adjourned at 9:00 p.m.

______Gail Ahlstrom, Clerk/Recorder James A. Truett, Mayor