CITY COUNCIL MINUTES
Mayor Trevor Olsen (virtual)
Mayor Pro-Tempore Charlie Taylor
Council Member Chris Ewald
Council Member Kellen Nielson
Council Member Chad Moses
Council Member Jesse Grover
June 9, 2026 6:00 PM - Work Session
June 9, 2026 7:15 PM City Council Meeting
50 West 100 South Street,
Blanding Utah 84511
Meetings live streamed when available at: https://meet.google.com/xxg-uefm-yut
Work Session - 6:00 pm
State Wildlands Truck Transfer Ceremony
A ceremony was held at the fire station and the wildlands truck was passed over to the Blanding City fire department.
FBO Contract Review and Discussion
Councilmember Ewald initiated a discussion regarding concerns that the current Freedom Fuels contract violates federal law, potentially jeopardizing millions in federal grants for the Blanding Airport. He explained that the city remains the designated sponsor and is liable to the Federal Aviation Administration (FAA) for any economic discrimination or unreasonable rates set by third-party operators. The primary concern is that the current pricing structure may violate grant assurances 22A and 22G. He provided an overview of the airport, which is the seventh most economically impactful airport in Utah with $11 million in annual economic activity. The facilities include a large Guardian Flight hanger, four hold hangers, eight small single-engine hangers, four large light hangers, a terminal, and a fuel farm. The airport is classified as a basic general aviation airport in the National Plan of Integrated Airport Systems. The discussion highlighted significant discrepancies in rental rates among airport tenants. Freedom Fuels pays zero dollars for the terminal, fuel farm, and transient hangers, while Guardian Flight pays approximately 6 cents per square foot. Conversely, other hanger tenants are charged between $1.48 and $1.75 per square foot, a variation deemed by Councilmember Ewald to be unjust and discriminatory. He proposed several solutions, including conducting a formal audit, having the city resume control over setting hanger rates and collecting rents, and suspending pending lease renewals to prevent potential FAA sanctions. They recommended that any future strategy should incorporate input from the airport advisory board and the city council. There was a discussion regarding the importance of supporting local service providers while balancing the potential for outside business interest. It was noted the necessity of utilizing a five-step priority system for hanger allocation as outlined in airport policy, emphasizing that business-capable hangers should be reserved for those who can drive economic development.
Kasper Pederson presented comparative data from other municipal airports, noting the different prices that tenants pay. This data was cited to illustrate the potential fair market value and to contrast current Blanding Airport pricing. He also noted that a 25% discount had been provided to David Redd on his hanger rate as compensation for his years of maintaining the snow removal at the airport.
Mr. Redd reported that the city's attorney recommended an audit to ensure compliance. Initial findings suggest that while fuel flowage fees and revenue shares appear to be in compliance, the discrepancies in hanger rates remain the primary concern.
There was a debate regarding whether the contract's 'minimum' rates were intended as fixed rates and how to define 'equitable' pricing. Freedom Fuels argued they attempted to make rates fair based on usable square footage and amenities, while others suggested that across-the-board rates or different measurement methods were needed to ensure compliance with the contract terms.
FY 2027 Budget Public Hearing - Councilmember Ewald made a motion to enter a public hearing for the FY 2027 Budget. Councilmember Grover seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
The council and attendees waited for the mandatory 15-minute period to pass before officially closing the public hearing regarding the 2027 budget, during which time no public comments were offered.
Councilmember Nielson made a motion to leave the public hearing. Councilmember Moses seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
POLICY MEETING
Call to Order
Roll Call
A Prayer was offered by Councilmember Taylor
The Pledge of Allegiance was recited by all in attendance.
Consent Agenda & City Council Minutes Approval - 04.28.2026 Meeting
Councilmember Ewald made a motion to approve the consent agenda and minutes from April 28, 2026. Councilmember Moses seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
Declaration of Conflicts of Interest - Councilmember Ewald stated that he is a hangar tenant and service provider at the airport.
Public Input - David Redd addressed the council, detailing a lifetime of business operations at the airport. He waited years for a hangar and over the years he has personally made upwards of $18,000 of upgrades to it, including water. He expressed grievances regarding the perceived unfairness of rental rates for end-hangers with 'cubby holes' and voiced concern over the 50% revenue split with Freedom Fuels, arguing that the city should be the primary beneficiary of hanger revenue. He stated that aviation is a struggling industry as it is right now. The airport wouldn't exist right now if it weren't for Guardian Flight. He stated that he wants things to be fair and equitable and he wants to be treated like everyone else.
Jason Nay is a hangar tenant and he serves on the airport board. He spoke to the council regarding his strong opposition to the rate increases approved in 2023. He highlighted that the previous council had voted in those minimum rates despite objections, leading to the current pricing structure. He spoke about the small annual rate and large annual rate. He stated that the hangars are old, built in the 1980s, they need a lot of work, and to raise the prices by 150% would be unfair. He stated that freedom fuels is doing a great job, it's not easy running a small business here in town. He strongly disagrees with the rate increases, he doesn't think anyone should be paying $4000+ a year for such an old building.
Shelby Seely was present at the meeting and he explained how Freedom Fuels stepped in and took over the hangers after the city council faced challenges in 2022. They mentioned that while the FBO might not have initially desired the hangers, they stepped in to assist the city. The discussion included a comparison of rates to property taxes and the importance of maintaining fairness. He stated that if you are renting something, it's going to cost you something.
Kasper Pederson stated that the charge was led by the city for increased rates. It was by someone that was new to the city. He stated that they wanted to act as a mediator for the tenants of the hangars. He stated that he feels like they are at the minimum rate as per the contract. He stated that their interpretation of the contract was to spread it out and keep it more fair and equitable, they are just trying to follow the contract the best that they can. He stated that anyone can do their own research on prices and sizes, but he stated that as adults we can come up with solutions for what we think is right. But if we do compare ourselves to other places we are quite a bit cheaper. He stated that they are not down there trying to make money off of the hangars, they are just there to do their work and be as fair and equitable as they can. If the council thinks it needs to be addressed and looked into and adjusted then they are willing to do what is necessary.
Regan Richmond stated he is a hangar tenant here and in another city, he deals with FBOs all over the state and western states. He is also a local business owner. He understands the costs associated with running a business. He feels like Shelby and Kasper are an asset to the city and to the airport, and simultaneously he feels it's important that we are compliant with codes and regulations. He feels like an audit is necessary and also cautioned against taking actions that might drive away a business such as Guardian Flight, that provides jobs and revenue to the community. There is a balance that has to be found.
Reports
Mayor
The mayor wanted to thank everyone that is working towards getting ready for the 4th of July.
He proposed allocating $500 from discretionary funds to support the Little Miss Blanding, which covers sashes, crowns, and flowers. The council expressed no objections to this proposal.
City Council
Councilmember Taylor stated that he was approached by UDOT and they asked about what our opinion and input is concerning the ferry at Lake Powell. They explained that while it is currently not a profit-generating entity and relies on federal funding, the city has traditionally supported it as a regional attraction although we don't put any funds towards it besides taxes that we pay. The council agreed to have the regional manager, Jared Beard, provide a report on the ferry's future.
City Manager Report - Pratt Redd
Mr. Redd stated that he would like to propose a fine for anyone that rides a motorized vehicle on the new trail at the 4th reservoir. Discussion ensued regarding whether to use existing criminal trespassing laws and have it go through the court system or enforce a fine that would be tacked onto their city utility bill. It was determined that the subject would be researched more and brought back at a later meeting.
Finance Director Report - James Francom
Mr. Francom presented the check register and operational budget reports for May, noting several large expenses related to finishing significant projects. Councilmember Nielson asked about the big expenses and asked if we are being reimbursed for those. Mr. Francom confirmed that projects, such as the fence, are mostly funded by federal money.
Police Report - Police Chief JJ Bradford
May was a busy task oriented month with graduations, end of school events and public presentations.
I have been pleased with the number of scooter riders wearing helmets and the improvement in riding safety. I'd like to publicly thank those who are trying to be safe and compliant with the new law.
Detective Stewart attended the annual CJC symposium training.
Community Development Report - Ben Muhlestein
Mr. Muhlestein stated that the 4th of July is coming up real soon. He asked if the mayor and council wanted more candy to throw out at the parade. They agreed to order a slightly more amount so that they don't run out. He feels like the 4th will turn out really good this year.
Mr. Muhlestein shared a note of appreciation from Lynn Shumway and the staff at the visitor center, who expressed gratitude for the improvements to the building and grounds, particularly the cooling system.
Mr. Muhlestein asked if anyone had any questions about the ORI grant and the pump track. Councilmember Grover asked what the limitations are for the grant as far as recreational things. Mr. Muhlestein went over some of the differences between the ORI grant and the UORC grants. He stated that the ORI can be used for projects like trails, walking paths, bike paths or land purchase, but it can't be used for 'ball' sports. It was asked if we can pivot at this point from the pump track, he said that we can, but we have already spent money on a pump track plan. Mr. Muhlestein said that whatever is decided upon needs to be well thought out so that the application reflects that. He went over some positive points and advantages to the pump track. They discussed the new path at the 4th reservoir and the future trail system plan.
Mr. Muhlestein stated that we had an intern start with us yesterday, Brinley Jones. Brinley got up and introduced herself. She graduated from high school last month. She hopes to continue to grow her skills that she learned in high school (specifically in Mr. Grover's class). She stated that by being very involved in high school she learned that she loves planning and design. She loves to be involved and help people. She is excited to work with the city and hopes to make a difference.
Discussion Items
Community Fireworks
The council discussed whether to implement bans or restrictions on fireworks for the Fourth of July due to dry conditions. They noted that while some class C fireworks are already restricted by state law, they have typically allowed fireworks on private property in the past. They decided to discuss it further with Chief Spillman and revisit the topic in two weeks.
ZAP / RAP Tax Review
Mr. Redd discussed the reauthorization of the 1% sales tax, known as the ZAP (zoos, arts, and parks) and RAP tax, which has been in place for 19 years. They explained this is not a new tax but a reauthorization that helps fund swimming pools, trail systems, and parks. The council agreed that it has been an important source of funds and should go on the ballot.
FBO Contract Continued
The council engaged in a lengthy discussion regarding the FBO contract and its compliance with federal grant assurances, which require fair, equitable, and non-discriminatory hanger rents. Concerns were raised about disparate rates being charged to different providers. The group discussed the need for transparency, possibly hiring an attorney to provide a legal opinion on fair market value, and avoiding drastic actions that could harm relationships with businesses.
Business Items
Resolution 06-09-2026-1To Place ZAP/RAP Tax Reauthorization on Ballot for Blanding City
WHEREAS, the City of Blanding desires to place before the Blanding City voters an opinion question to reauthorize the 1/10th of 1% Sales Tax (ZAP Tax) to fund recreational facilities in Blanding City; and, WHEREAS, the San Juan County Commission had no intent to place this before County residents; and, WHEREAS, the citizens of Blanding voted to enact the tax in 2007, and Utah State law requires a vote to reauthorize the tax; and, WHEREAS, a General Municipal Election will be held on November 2, 2027.
Councilmember Ewald made a motion to approve Resolution 06-09-2026-1 to place the ZAP/RAP tax reauthorization on the ballot for Blanding City. Councilmember Grover seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
Resolution 06-09-2026-2 Approving a Joint Use Agreement with SJSD
WHEREAS, Blanding City owns and maintains certain recreational facilities for the benefit of residents, community programs, and City recreational activities; and WHEREAS, the San Juan County School District owns and maintains certain recreational facilities for District activities, school programs, and community use; and WHEREAS, Blanding City and the San Juan County School District desire to cooperate in the shared use of their respective recreational facilities in a manner that benefits the citizens, students, families, and taxpayers of Blanding and the surrounding area; and WHEREAS, the proposed Joint Use of Property Agreement establishes the rights and responsibilities of each party regarding scheduling, maintenance, facility use, insurance, indemnification, communication, and related operational matters; and WHEREAS, the Agreement provides that City and District recreational facilities may be used for City and District activities at no cost, subject to scheduling, facility availability, and the terms of the Agreement; and WHEREAS, the Agreement further provides for annual coordination meetings, designated scheduling contacts, maintenance expectations, insurance requirements, and a term continuing through August 31, 2029, unless earlier terminated as provided therein; and WHEREAS, the Blanding City Council finds that approval of the Joint Use of Property Agreement is in the best interest of Blanding City and will promote efficient public use of recreational facilities and continued cooperation with the San Juan County School District.
Councilmember Ewald made a motion to approve Resolution 06-09-2026-2 approving a joint use agreement with SJSD. Councilmember Moses seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
Resolution 06-09-2026-3 Approving a Development Agreement with Sagebrush Flats LLC
WHEREAS, Blanding City recognizes the need for additional affordable housing opportunities to support local residents, workforce housing needs, and the long-term economic vitality of the community; and WHEREAS, Sagebrush Flats Affordable Housing, LLC has proposed the development of an affordable housing project located on Main Street in Blanding, Utah, utilizing financing sources that may include the Low-Income Housing Tax Credit ('LIHTC') Program; and WHEREAS, Blanding City has negotiated a Development Agreement with Sagebrush Flats Affordable Housing, LLC that establishes the terms and conditions under which the City may provide certain in-kind contributions, utility-related assistance, fee considerations, infrastructure support, and other development-related assistance for the Project; and WHEREAS, the Development Agreement provides for a City commitment with an estimated value of up to Two Hundred Thirty-Three Thousand Two Hundred Five Dollars ($233,205.00), subject to the terms, conditions, limitations, and performance requirements contained therein; and WHEREAS, the Development Agreement requires that any City assistance be provided on a post-performance or in-kind basis and does not obligate the City to provide advance funding, construction financing, unrestricted cash payments, or direct monetary grants; and WHEREAS, the Development Agreement is conditioned upon the award of Low-Income Housing Tax Credits and the acquisition of the Project property in Blanding, Utah, and shall remain effective only in accordance with the terms set forth therein; and WHEREAS, the City Council finds that the proposed Development Agreement promotes the public health, safety, and welfare of the citizens of Blanding City by encouraging the development of additional affordable housing while protecting the financial interests of the City.
Councilmember Grover made a motion to approve Resolution 06-09-2026-3 approval of the development agreement with Sagebrush Flats LLC. Councilmember Ewald seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
Resolution 06-09-2026-4 Directing City Staff to Review FBO Contract
WHEREAS, Blanding City is the owner and sponsor of the Blanding Municipal Airport; And WHEREAS, Blanding City entered into an Agreement Granting Commercial Privileges for Aeronautical Purposes and subsequent addendum with Freedom Fuels Blanding Air Support, LLC ('Freedom Fuels') for the management and operation of Fixed Base Operator ('FBO') services at the Blanding Municipal Airport; and WHEREAS, members of the City Council and airport tenants have raised questions regarding the administration of the agreement, revenue sharing provisions, reporting requirements, insurance requirements, tenant management practices, hangar lease administration, and other operational obligations contained within the agreement; and WHEREAS, the City Council recognizes that the agreement contains specific procedures for identifying, documenting, and addressing potential defaults or contractual violations; and WHEREAS, the City Council desires to conduct a thorough and objective review of the agreement and its administration prior to making any determination regarding compliance, default, or enforcement actions; and WHEREAS, the City Council finds that maintaining continuity of airport operations and services during such review is in the best interest of the City, airport users, and the general public.
Councilmember Ewald made a motion to remove Resolution 06-09-2026-4. The council agreed that a resolution wasn't necessary. Councilmember Moses seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Nielson
Councilmember Grover
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried and the resolution was terminated.
Closed Session
Councilmember Nielson made a motion to go into closed session to discuss land and personnel. Councilmember Grover seconded the motion. Mayor Olsen repeated the motion. He asked for discussion or questions. Hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Grover
Councilmember Nielson
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Olsen declared the motion carried.
Mayor Pro Tempore made a motion to exit the closed session. Councilmember Ewald seconded the motion.
Adjournment
Councilmember Nielson made a motion to adjourn. Councilmember Grover seconded the motion. Mayor Pro Temp Taylor repeated the motion and asked for discussion or questions, hearing none, he called for a vote.
Those voting aye: Councilmember Taylor
Councilmember Grover
Councilmember Nielson
Councilmember Ewald
Councilmember Moses
Those voting nay: None
Constituting all members thereof, Mayor Pro Temp Taylor declared the motion carried.
The meeting adjourned at 9:35pm.
Notice of Special Accommodations (ADA)
In compliance with the ADA, individuals needing special accommodations during this meeting may call the City Offices at (435) 678-2791 at least twenty-four hours in advance. Every effort will be made to provide the appropriate services.
Notice of Electronic or Telephone Participation
One or more Council Members may partcipate electronically.