When I try to compile kate I got this build log
http://pastebin.com/sGWJWNAH

One of errors recommends to recompile app with -fPIC buildflag however I have no idea where to put this flag so it could work. Anybody can help?

The libm you have is compiled as a purely static library. In order to be usable, you need a dynamic library. Please contact your distribution for more information on how to obtain an appropriate copy of libm, as it may require tweaking the configuration.

As far as I know libm.a is part of glibc. If I'd like to compile libraries by myself should I add just -fPIC to buildflags?

You may try this (CMake arguments should help here) however it may fail in any case.