City Council

MINUTES OF THE CITY OF BRISTOL, TENNESSEE CITY COUNCIL MEETING June 3,2014 CALL TO ORDER: The City of Bristol, Tennessee City Council meeting was called to order by Vice Mayor Lea Powers on Tuesday, June 3,2014, at7:00 p.m. in the Slater Center Auditorium. ROLL CALL: Present: Vice Mayor Lea Powers, Councilman Chad Keen, and Councilman Jack Young. Others Present: City Manager William L. Sorah; City Attorney Jack Hyder; City Recorder Tara Musick; and members of City staff. INVOCATION AND PLEDGE OF ALLEGIANCE: Councilman Keen gave the invocation, and Councilman Young led the pledge of allegiance. AGENDA ADDITIONS AND/OR CHANGES: NONC PROCLAMATIONS AND RECOGNITIONS: None PRESENTATIONS: None. PUBLIC HEARINGS: Ordinance 14-6 - An Ordinance to Amend the Appropriation of Funds and Budget for the Fiscal Year July 1,2013 through June 30, 2014 City Manager Sorah reviewed this Ordinance that would amend the Fiscal 2014 Appropriation Ordinance for the fiscal year ending June 30, 2014. Inveased appropriations are required in the General Purpose School Fund and Capital Facilities Fund to reflect revised spending needs chrring fhe year. The General Purpose School Fund and Capital Facilities Fund appropriations were increased by $500,000 and $2,000,000, respectively. The revised total appropriations are $36,315,103 for the General Purpose School Fund and $3,793,500 for the Capital Facilities Fund.  City Council Meeting June 3,2014 Page 2 of 8 The amendment of the appropriation ordinance is required for higher or additional project costs than originally anticipated. The General Purpose School Fund encountered additional costs related to digital conversion. The Capital Facilities Fund received funding from the State of Tennessee for the Pinnacle Parkway road project at the Pinnacle Development. This Tennessee Department of Transportation grant funding was not originally planned and budgeted as part of the FY 2014 Budget. The hearing was closed afÍer no public comments. Ordinance l4-7 - An Ordinance to Establish the Property Tax Rate, Adopt a Budget and Appropriate Funds for the Fiscal Year July 1,2014 through June 30' 2015 City Manager Sorah reviewed this Ordinance that adopts the Fiscal 2015 Budget and appropriations for the fîscal year beginning July 1,2014, The Fiscal 2015 Budget totals $98,366,271. This reflects a decrease of $7,988,164 from the Fiscal 2014 Budget. In addition, the Ordinance establishes the property tax levy at the current rate of $2.25 per $100 of assessed value. The municipal government portion of the budget stands at $57,568,271, a decrease of $8,104,736 from the Fiscal 2014 Budget. A significantportion of this change is attributable to the completion of the public infrastructure commitment associated with The Pinnacle project. The proposed budget includes an employee cost of living increase of 1.60/o. In addition, the proposed budget reduces the City's staffing level by 6.25 positions. The force reduction will occur through elimination of vacant positions and attrition, The budget is predicated on the establishment of a stormwater utility, an increase in the solid waste fee, and user fees for various parks and recreation facilities and programs. The school system portion of the budget totals $40,798,000, an increase of $116,572. The hearing was closed after no public comments. APPEARANCE OF CITIZENS: Tom Heibel, 1716 Bluff City Highway, commented on the budget decrease and the change in direction. He requested a reviewbf businesses that could negatively impactthe economy of the City. APPOINTMENTS: None. ORDINANCES AND RF,SOI,IITIONS: A. First Reading of New Ordinances: Ordinance 14-8 - An Ordinance to Amend the Code of Ordinances to Establish a Utility for Stormwater Management and to Create an Enterprise Fund and a Method of Funding for the Utility  City CouncilMeeting June 3,2014 Page 3 of8 City Manager Sorah reviewed this Ordinance that establishes an enterprise fund for the purpose of implementing a stormwater management program. The City is required to meet increased State and Federal regulations regarding the management of their Municipal Separate Storm Sewer System commonly referred to as the "MS4". The City's MS4 is comprised of a system of culverts, channels, ditches, catch basins, curb-inlets, and waterways that convey stormwater. The MS4 is regulated by the National Pollution Discharge Elimination System (NPDES) permit issued by the Tennessee Department of Environment and Conservation. The NPDES permit requires the City to develop a stormwater management program that addresses public education, illicit discharge detection and elimination, permanent stormwater management, impaired stream monitoring, construction site management, and municipal housekeeping and practices. In addition to the water quality aspect of the NPDES permit, the City is also responsible for the ongoing maintenance of the MS4 collection system and its capacity. This includes the replacement of infrastructure that has exceeded its useful life and addressing capacity issues resulting from changing land use. Construction projects to be scheduled in the next twenty- four months include the final phase of the downtown flood control project, replacement of the Glenwood Road Bridge, replacement of the storm sewer serving the Cypress Street area, and replacement of the Harkleroad Lane culvert. The establishment of the stormwater utility will provide a dedicated funding source for these efforts and eliminate the dependence upon the General Fund to support this activity. The stormwater utility proposes to establish a fee based upon the quantity of impervious surface located on a parcel of property. Impervious surface area is defined as the amount of square feet of hard surface which prevents the percolation of water into the soil. This includes buildings, parking areas, driveways, sidewalks, etc. An incremental stormwater fee of $2.00 per 3,000 square feet of impervious area is proposed. 3,000 square feet is the median value of impervious surface area typical of the City's residential structures and is known as the Equivalent Residential Unit (ERU) factor. Residential properly will be classified as one ERU and have a $2.00 per month stormwater fee. An analysis of non-residential property resulted in the development of eleven classifications based upon their quantity of impervious surface. Stormwater fees for non-residential property will be based upon the quantity of impervious arca at a rate of one ERU per 3,000 square feet. As an example, a non-residential structure having an impervious surface area of 21,000 square feet would have an ERU of seven for a monthly stormwater fee of $14. The largest non-residential classification includes properties having in excess of 125,000 square feet of impervious surface. Property in this largest classifîcation would have a multiplier of 40 resulting in a monthly fee of $80. This classification would contain to large commercial, institutional or industrial properties. Councilman Young moved to approve this Ordinance on first reading, and Councilman Keen seconded. The motion passed by a unanimous roll call vote.  City Council Meeting June 3,2014 Page 4 of8 Ordinance l4-9 - An Ordinance to Amend the Zoning Map of Bristol Tennessee by Designating Certain Property as R-lA, Low Density Single Family District (1925 Weaver Pike) City Manager Sorah reviewed this Ordinance that amends the zoning map for property at 1925 Weaver Pike from M-2 (General Industrial District) to R-14 (Low Density Single Family). The residential building fronts 'Weaver Pike and is currently zoned for manufacturing. The property owner asked that the property be rezoned because the manufacturing zoning hinders selling the property as residential. The Bristol Tennessee Regional Planning Commission recommended approval of the rezoning as presented, noting that the rezoning is compatible with the Land Use Plan and Policy. Councilman Keen moved to approve the Ordinance on first reading, and Councilman Young seconded. The motion passed by unanimous roll call vote. B. Adoption of Ordinances (Second Reading): Ordinance l4-5 - An Ordinance to Close a Portion of Holiday Drive as a Public Street City Manager Sorah reviewed this Ordinance that would abandon a portion of Holiday Drive from a point 500 feet east of the Highway 11-W intersection to the eastern end of the existing roadway as a public street. Holiday Drive was originally constructed as part of the Interstate 8l Exit 74 interchange and provided access to properties that are now part of The Pinnacle development. A new public right-of-way has been approved that will allow for the connection of the western portion of Holiday Drive to Pinnacle Parkway. While the public street is proposed for abandonment, the public right-of-way will be retained as part of the Tennessee Department of Transportation Interstate 81, Exit 74 interchange. In addition, existing utility easements would remain unaffected. The public street abandonment would allow for the removal of existing pavement, street lights, etc. in support of the Pinnacle development plan. This item was brought before the Bristol Tennessee Regional Planning Commission and recommended for approval. Councilman Young moved to approve this Ordinance on second reading, and Councilman Keen seconded. The motion passed by a unanimous roll call vote. Ordinance t4-6 - An Ordinance to Amend the Appropriation of Funds and Budget for the Fiscal Year July 1,2013 through June 30, 2014 City l\4anager Sorah revierryed this Ordinance as part of the public hearing portion of the meeting. Councilman Keen moved to approve this Ordinance on second reading, and Councilman Young seconded. The motion passed by a unanimous roll call vote.  City Council Meeting June 3,2014 Page 5 of8 Ordinance 14-7 - An Ordinance to Establish the Property Tax Rate, Adopt a Budget, and Appropriate Funds for the Fiscal Year July 1,2014 through June 30,2015 City Manager Sorah reviewed this Ordinance as part of the public hearing portion of the meeting. Councilman Young requested that budget differences or changes in philosophy be explained further. City Manager Sorah discussed the l.6Yo COLA, level funding for nonprofits, an unchanged property tax rate, and fee increases. Charges for services were either established or raised to assist in matching revenues with the services being received in lieu of a general tax increase. Each Council member discussed the difference in charges for services versus taxation and the importance of ensuring finances are being maintained as responsibly as possible while considering future needs of resources. Councilman Keen moved to approve the Ordinance on second reading, and Councilman Young seconded. The motion passed by unanimous roll call vote. C. Resolutions: Resolution No. 14-43 - A Resolution Approving Amended and Restated Bylaws of the Sullivan County Economic Development Partnership City Manager Sorah reviewed this Resolution which approves the amended and restated By- Laws of the Sullivan County Economic Partnership (NETWORKS). The amended By-Laws are now being presented to the respective governing bodies for flinal adoption. Key elements of the amended By-Laws include a restructuring of the Board of Directors from its current membership of twenty-frve to thirteen voting directors and consolidation of the Executive Committee and Board of Directors. Appointments will be made by the Mayors of the respective governments. Sullivan County will have flrve directors including the Sullivan County Mayor. City of Kingsport will have four directors including the Kingsport Mayor. City of Bristol will have three directors including the Bristol Mayor and one member of City Council. The City of Bluff City will be represented by their Mayor. The new directors shall be appointed for a period of three years commencing July 1, 2014. The initial appointments will be for staggered terms of I, 2, and 3 years respectively. The term of office does not apply to Mayors who shall serve for terms commensurate with their Mayoral office. The Board shall also include eleven ex-officio, non-voting directors. The ex-officio directors shall include City Managers from Bristol and Kingsport; Chief Executive Officers of Bristol Tennessee Essential Services, Johnson City Power Board, and American Electric Power; President of Northeast Tennessee Community College; Director of Schools for Bristol, Kingsport, and Sullivan County; immediate Past Chairperson of the Partnership; and the Chief Executive Officer of the Partnership. Tom Heibel,lT16 Bluff City Highway, questioned if the joint venture was successful Councilman Young moved to approve the Resolution, and Councilman Keen seconded. The motion passed by unanimous roll call vote.  City Council Meeting June 3,2014 Page 6 of8 Resolution No. 14-45 - A Resolution Fixing Fees for Parks and Recreation Facilities Usage and Activities City Manager Sorah reviewed this Resolution which fixes fees for parks and recreation facilities usage and activities. The Parks and Recreation Commission recently recommended an adjustment of fees associated with the use of various parks and recreation program opportunities. Signifrcant adjustments to the fee schedule include the adoption of a $2.00 entry for Steele Creek Park, participant fees associated with various leagues utilizing park facilities, and park naming opportunities. Historically, the adjustment of user fees has been addressed administratively. This Resolution formally memorializes the schedule of fees consistent with the recommendations of the Parks and Recreation Commission and Council Comments from the May 20th City Council work session. Dee Coffey encouraged Council to encourage citizen comments and asked for a delay in the vote. Councilman Keen moved to approve the Resolution, and Councilman Young seconded. The motion passed by unanimous roll call vote. Resolution No. 14-47 - A Resolution to Authorize an Employer Participating in the Tennessee Consolidated Retirement System to Change from Its Existing Regular Defined Benefit Plan to Either the Alternate Defined Benefït Plan or the Local Government Hybrid Plan in Accordance with Tennessee Code Annotated, Title 8, Chapter 35, Part 2, or to the Hybrid Retirement Plan for State Employees and Teachers in Accordance with Tennessee Code Annotated TÍtle 8, Chapter 36rPart9 City Manager Sorah reviewed this Resolution that authorizes a change in the City's retirement plan. Staff is proposing a change in the retirement program offered to employees through the Tennessee Consolidated Retirement System (TCRS). A hybrid plan is being offered by TCRS that allows for both a defined benefit and defined contribution component. The hybrid retirement plan will continue to require an employee contribution of 5Yo to support the defined benefit component of the plan. The City will also contribute l.1o/o toward the defìned benefit component. In addition, it is proposed that the City contribute 5Yo toward the employee's defìned contribution plan. The employee may contribute to the defrned contribution plan based upon IRS regulations. Savings gained from this change in retirement plan will not he immediafely realized. However, in firfirre years fhe a.nnr¡a,l requirement to 'I'CRS will be signifrcantly reduced from the current burden. Any change in the existing employee retirement plan requires a six month notice to TCRS. This Resolution provides that notification. Councilman Young moved to approve the Resolution, and Councilman Keen seconded. The motion passed by unanimous roll call vote.  City Council Meeting June 3,2014 Page 7 of 8 Resolution No. 14-48 - A Resolution Establishing a Solid Waste Collection and Disposal Fee City Manager Sorah reviewed this Resolution that establishes a solid waste fee of $14.50 per month per household for the first container and $7.25 for the second and each additional container effective with billings after July 1, 2014. The solid waste fee is used to offset the cost of residential collection and disposal services which are budgeted at $1.8 million annually. The monthly rate will increase $1.00 per month for the first container and $.50 per month for each additional container generating $144,000 in revenue. With the increase, the rates are projected to cover 100% of the operating and capital cost. It has been-the long-term financial objective for the service fee to cover 100% of the cost of this program. The Resolution also maintains at $9.00 per month, the solid waste fee for homeowners participating in the Tennessee or Bristol Property Tax Relief programs for the first container and sets the fee at $7.25 for the second and each additional container effective with the billings after July 1,2014. The Fiscal 2015 budget was based upon the expectation of the rate increase being implemented. Councilman Keen moved to approve the Resolution, and Councilman Young seconded. The motion passed by unanimous roll call vote. CONSENT AGENDA: City Manager Sorah presented the Consent Agenda to Council. Councilman Young moved to approve the Consent Agenda items, and Councilman Keen seconded. The following items were approved by unanimous Council vote: ¡ Minutes - May 6,2014, City Council Meeting; . Minutes - May 20,2014, Special Called City Council Meeting; a Resolution 14-44 - A Resolution Awarding a Bid for the Demolition of the Sludge Cake Silo and Incinerator at the ìVastewater Treatment Plant; and a Resolution 14-46 - A Resolution Awarding a Bid for the Purchase of a2015 Sedan. CITY MANAGER'S REPORT: City Manager Bill Sorah reported on upcoming local events and progress being made on construction at The Pinnacle. He also asked Terry Napier, Parks and Recreation Director, to speak about events at Steele Creek Park to celebrate the 5Oth anniversary of the park.  City Council Meeting June 3,2014 Page 8 of8 CITY COUNCIL COMMENTS: Councilman Keen discussed NETWORKS and the direct impact on Bristol and the local area. He discussed that many development opportunities were being pursued and thanked staff for all of the hard work on the FY 2015 Budget. Councilman Young discussed the changes occurring in the City and mentioned that many great things occur but are often not recognized until later. Councilwoman Feierabend spoke briefly about upcoming events and the local elections in Sullivan County, Tennessee and Bristol, Virginia. Vice Mayor Powers discussed the numerous ribbon cutting events and small business openings that reflect soft expansion. She also reviewed the branding project and Bristol leaders being more involved in the State level of government to represent the City's interests. There being no further business, the meeting was adjourned at 8:18 p.m. tC'-U-,-ÀJL,' Michelle Dolan, Mayor -6- I h?/,'¿ Tara E. Musick, City Recorder