City Council

COMMITTEE ON WAYS AND MEANS September 22, 2015 A meeting of the Committee on Ways and Means was held this date at 5:14 p.m. PRESENT (12) The Honorable Joseph P. Riley, Jr. Mayor Councilmember White District 1 Councilmember Waring District 7 Councilmember Williams District 2 Councilmember Seekings District 8 Councilmember Lewis District 3 Councilmember Alexander District 9 Councilmember Mitchell District 4 Councilmember Riegel -- absent District 10 Councilmember Wagner District 5 Councilmember Moody District 11 Councilmember Gregorie District 6 Councilmember Wilson District 12 1. INVOCATION: The meeting was opened with an invocation provided by Councilmember Williams. 2. APPROVAL OF MINUTES: On a motion of Councilmember Mitchell, seconded by Councilmember Gregorie, the Committee on Ways and Means voted unanimously to approve the September 8, 2015 Committee on Ways and Means minutes. 3. BIDS AND PURCHASES: On a motion of Councilmember Gregorie, seconded by Councilmember Mitchell, the Committee on Ways and Means voted unanimously to approve the Bids and Purchases as follows: BFRC: ACCOUNT: 171310-52206 APPROPRIATION:$125,000 Approval to establish a contract for Janitorial Services for the Gaillard Municipal Office Building from CMA Services, PO Box 1048, Hartsville, SC 29551; Solicitation #15-P028R. The full year is to be budgeted in 2016. The transfer is to cover partial year 2015. MBE Vendor. POLICE DEPARTMENT: ACCOUNT: 240089-52206 APPROPRIATION:$26,272 Approval to process a change order to the contract to increase the contract amount for additional vessel removals within the amount of the grant. Salmons Dredging Corp; Solicitation #15-P017R. Grant funds will be used. 4. BUDGET FINANCE AND REVENUE COLLECTIONS: APPROVAL OF THE FIRST AMENDMENT TO THE AGREEMENT FOR PARKING MANAGEMENT SERVICES IN THE 1 AMOUNT OF $2,325 FOR THE REMAINDER OF 2015 TO AUTHORIZE ABM PARKING SERVICES INC. TO BE THE MERCHANT OF RECORD FOR CREDIT CARD PROCESSING AND TO ALLOW THE CITY TO ADD AND DELETE PARKING FACILITIES FROM THE AGREEMENT. THIS WILL BE INCLUDED IN THE 2016 BUDGET. On a motion of Councilmember Mitchell, seconded by Councilmember Alexander, the Committee on Ways and Means voted unanimously to approve the First Amendment to the Agreement for Parking Management Services in the amount of $2,325 for the remainder of 2015 to authorize ABM Parking Services Inc. to be the merchant of record for credit card processing and to allow the City to add and delete parking facilities from the agreement. 5. POLICE DEPARTMENT: APPROVAL TO SUBMIT THE 2015 SC DEPARTMENT OF PUBLIC SAFETY VICTIMS OF CRIME ACT GRANT APPLICATION IN THE AMOUNT OF $4,070 FOR OUTFITTING THE FAMILY VIOLENCE RECEPTION CENTER. A CASH MATCH IS REQUIRED IN THE AMOUNT OF $814 FOR THE 2016 BUDGET. On a motion of Councilmember Mitchell, seconded by Councilmember Gregorie, the Committee on Ways and Means voted unanimously to approve to submit the 2015 SC Department of Public Safety Victims of Crime Act Grant application in the amount of $4,070 for outfitting the Family Violence Reception Center. 6. MAYOR’S OFFICE FOR CHILDREN YOUTH & FAMILIES: APPROVAL TO ACCEPT THE AMERICORPS CONTINUATION GRANT AWARD (11VSSC002) FROM THE CORPORATION FOR NATIONAL AND COMMUNITY SERVICE IN THE AMOUNT OF $68,112 FOR PROJECT SPONSORSHIP. NO CITY MATCH IS REQUIRED. On a motion of Councilmember Gregorie, seconded by Councilmember Mitchell, the Committee on Ways and Means voted unanimously to approve to accept the AmeriCorps Continuation grant award (11VSSC002) from the Corporation for National and Community Service in the amount of $68,112 for Project Sponsorship. 7. PARKS-CAPITAL PROJECTS: APPROVAL OF A CONSTRUCTION CONTRACT WITH PHILLIPS INDUSTRIAL SERVICE IN THE AMOUNT OF $337,365 FOR THE PAINTING OF METAL ELEMENTS AT THE VISITOR CENTER AND AQUARIUM PARKING GARAGES. THE APPROVAL OF THE CONSTRUCTION CONTRACT WILL OBLIGATE $337,365 OF THE REMAINING $634,838.01 IN THE STRUCTURAL REPAIRS LINE ITEM OF THE PARKING FACILITIES ADMINISTRATION DIVISION. THE FUNDING SOURCE FOR THIS PROJECT IS THE PARKING FUND. On a motion of Councilmember Alexander, seconded by Mayor Riley, the Committee on Ways and Means voted unanimously to approve a Construction Contract with Phillips Industrial Service in the amount of $337,365 for the painting of metal elements at the Visitor Center and Aquarium Parking Garages. 8. PARKS-CAPITAL PROJECTS: APPROVAL OF A PROFESSIONAL SERVICES CONTRACT FOR THE INTERNATIONAL AFRICAN AMERICAN MUSEUM (IAAM) WITH MOODY NOLAN, INC., IN THE AMOUNT OF $10,185,222 FOR THE DESIGN PHASES 2 SCHEMATIC DESIGN THROUGH CONSTRUCTION ADMINISTRATION. THE PROFESSIONAL SERVICES CONTRACT WILL HAVE AN IMPACT OF $10,185,222 ON THE $12,220,709 DESIGN AND ENGINEERING BUDGET FOR THE PROJECT. THE FUNDING SOURCE FOR THIS PROJECT IS THE CITY COUNCIL’S PREVIOUSLY APPROVED BORROWING OF A $12,500,000 ACCOMMODATIONS TAX BOND AND TOURISM FUNDS. ONLY $5,000,000 OF THE $12,500,000 PREVIOUSLY AUTHORIZED HAS BEEN ISSUED. THE REMAINING $7,500,000 WILL BE ISSUED TO COVER THE COST OF THIS CONTRACT, AS NEEDED. Councilmember White asked about bid sheets for this item because they had not been included in the agenda. Dustin Clemens, Deputy Director of Parks, explained that this item was a professional services contract and a continuation of the design contract that the City already had in place. There had been a selection process for professional services. Mr. Clemens explained that under State Law, the City was not allowed to bid out professional service contracts, so they undergo a competitive submittal and review process called a ‘selection process.’ Councilmember White asked if the City bid out services for architects, and Mr. Clemens explained that the City was not allowed to do that. The City had to make a selection based on professional qualifications. Councilmember White asked about the status of the fundraising efforts for the project. He said he knew they had commitments from the State, the County, and the private sector, but he thought the City was the only entity which had actually spent anything. He just wanted to get an idea of where all of the money was coming from. Mayor Riley referred to the model of the International African American Museum and renderings displayed at the meeting. He explained that these contracts were thoroughly analyzed, and staff went through every detail of the design work. These were prices they recommended, and a world-class museum would be built. The design team, Moody Nolan and Pei Cobb Freed, the exhibit designer, Ralph Appelbaum, and Walter Hood, the landscaper, were all world-class designers. Mayor Riley stated this was a $75 million project, which included all of the design work, exhibits, the building, landscape architecture, construction, the building of all of the exhibits, and preopening. The $75 million would get the museum to preopening, and the goal was to begin construction around March of 2017 and open sometime in early 2019 or late 2018. Mayor Riley explained that half of the money had been raised to date. The City and County have put in together $25 million. The City asked the State for $25 million, and they provided $10 million which consisted of $5 million last year and $5 million this year with the understanding of the legislative leadership that the State would provide the full $25 million. Support included Senator Leatherman, Senator Courson, Senator Jackson and other leaders in the Senate, as well the Speaker of the House, Speaker James Lucas whom was briefed and is enthusiastic about the project. The museum would be a very important asset, a center of excellence, and a very important institution for South Carolina. Scholars and famous people like Ken Burns had written laudatory comments about what the museum would mean to the country. Mayor Riley added that the museum would be a ‘history story’ museum which would reach back into the continent of Africa and the regions where enslaved Africans once lived and from which they were taken and brought here. The history would continue through American history until now. One of the exhibits they had planned was an important part of understanding 3 African American history, and that was the role of the church. Mayor Riley explained that this would be one of the greatest exhibits. Ralph Appelbaum, who worked on the Holocaust Museum, Constitution Hall, and US Capitol Exhibits, would be working on it. The exhibits about the role of the church in African American history would now include historic Mother Emanuel which was the mother church of the A.M.E. churches, as well as being Denmark Vesey’s church. Mayor Riley stated that even before June 17, 2015, the church would have been a logical Lowcountry institution to present this history. Now, with the tragic events that occurred, this will give rise to this museum honoring those nine prayerful souls. Mayor Riley said they needed to move forward with the design because the prices would be based on beginning construction. Mayor Riley said he was confident that the rest of the money would come from the State. He said they will work hard and have firm assurances for all of this money prior to beginning construction. Mayor Riley stated that the private fundraising was going well. They had raised a few million dollars so far, and he had been in Greenville yesterday meeting with an important foundation and company. He stated this was not his first trip to Greenville, and he had received a very favorable response in other parts of the State and the Lowcountry. He said they were putting out their fundraising specific proposal, everyone was working very hard on it, and he was confident that the money would be in place in time. He said that the City’s leadership enabled the design to begin. Councilmember White asked if the State had already committed $10 million, consisting of $5 million this year and $5 million last year, the County had also committed, and the City’s funding was coming from an Accommodations Tax Bond, would it not behoove them to use funds from other groups, as opposed to tapping more into that bond. Mayor Riley said the State had earmarked the $10 million for construction, so the City would be holding the money in a trust account for construction. The County funds would begin to flow in 2016, and that could be used for some of this design work. Mayor Riley explained that the money had been earmarked in their appropriation process for construction, and the City thought this was fine because the City had the funds to proceed with the design. Mayor Riley said he thought it was an important leadership responsibility and opportunity for the City to help create this institution. Professor Blight from Yale, who was head of a prominent study program, said the museum would be of national significance, and two Pulitzer Prize winning authors, James McPherson and Professor Eric Foner, had sent glowing tributes. The money will come, and he said he would be working on it until and after January 11th. Councilmember Wilson asked if they had Accommodations funding for the Gaillard Center, as well. She asked if there were any other bonds based on Accommodations Tax. Mayor Riley stated that Stephen Bedard, CFO, had all of this planned and earmarked. He stated that all of the money for the Gaillard Center and the International African American Museum was secure. Councilmember Wilson said she was asking this because she wanted to know if they were bonding out Accommodations Tax money for the foreseeable future and not allowing themselves any room. Mayor Riley said this was paid back quickly, and the funds would grow well because the economy was robust. Councilmember Alexander said his question was based on the amount of money for design and engineering. He said if one looked at what architects normally charged, and they extrapolated this out, were they still dealing with a $75 million project, or had this project gone to $100 million based on what the architect is charging the City? He said architects normally 4 charge about 10 percent for a project. Mayor Riley said this was a complicated building to design, given where it was and all of the structural requirements, including the exhibits, for which they had the finest exhibit designer in the world. All of the prices had been carefully analyzed by the City’s team, which had worked very carefully, and whittled the prices down. The first thing the architects did was to bring in a revised cost estimate. He said they were looking at approximately a 39,500 square foot building. Based on that and the estimated cost, they brought the cost down to $35.5 million. Mayor Riley said the architects know what the budget is, and they were designing a building based on that, as well as the exhibit designers. There was no extra money. This was a $75 million project, and that is what was being designed. Mr. Clemens said it was essentially three contracts in one because they had the design architect, the architect of record, and the exhibit designer all under one contract. He said typically they would have three separate contracts for that. He said the item appeared to throw off the percentages somewhat, but if one looked at just the architect’s fee, it was about 16 percent, which for this caliber of architecture and these firms, was a good number. The City went through a thorough vetting process. The original proposals they received were much higher than this, but the City was able to successfully negotiate it down to a fee that would fit within the budget that they have. Mayor Riley added that hard costs and design fees were a part of the $75 million budget. On a motion of Councilmember Mitchell, seconded by Councilmember Gregorie, the Committee on Ways and Means voted unanimously to approve a Professional Services Contract for the International African American Museum (IAAM) with Moody Nolan, Inc., in the amount of $10,185,222 for the design phases Schematic Design through Construction Administration. 9. THE COMMITTEE ON REAL ESTATE: (MEETING WAS HELD TUESDAY, SEPTEMBER 22 AT 3:30 P.M., CITY HALL, FIRST FLOOR CONFERENCE ROOM, 80 BROAD STREET) a.) (i) Resolution to acquire property in the northwest section of the peninsula for use as a public park (ii) Authorize staff to update the existing appraisal and order an additional appraisal to be brought back to the Committee on Real Estate for property in the northwest section of the Peninsula to be acquired for use as a public park. b.) Consider the following annexations: i.) Savannah Highway (TMS#’s 350-05-00-039, 350-05-00-040, and 350-05-00-160) 1.49 acres, West Ashley (District 7) ii.) River Road (TMS# 312-00-00-066) 5.0 acres, Johns Island (District 5) iii.) 2319 Savannah Highway (TMS# 310-06-00-114) 1.06 acres, West Ashley (District 7) iv.) Clements Ferry Road (a portion of TMS# 271-00-01-031) 19.02 acres, Cainhoy (District 1) v.) 104 Live Oak Avenue (TMS# 418-13-00-281) 0.14 acre, West Ashley (District 9) 5  Councilmember Alexander, Chair of the Real Estate Committee, stated that Item ‘a’ was a Resolution to acquire property in the northwest section of the Peninsula to use as a public park. There had been a very spirited debate and exchange of ideas. He said the final vote on this item was three in favor, one nay, and one abstention. He said there was also an additional motion made in conjunction with the Resolution which instructed staff to update the existing appraisal and order an additional appraisal. The Committee was looking at one appraisal that was ten years old, and he said they thought they could get a better handle on the value by having two appraisals. Item ‘b’ consisted of five annexations, which were approved unanimously. Councilmember Alexander asked the Clerk to record his vote as a ‘nay’ for Item ‘a’ and an abstention for Councilmember White. Councilmember Seekings asked to separate Item ‘a’ from the report. On a motion of Councilmember Alexander, seconded by Councilmember Moody, the Committee on Ways and Means voted to approve Item ‘a’ of the report of the Committee on Real Estate, a Resolution to acquire property in the northwest section of the Peninsula for use as a public park. The vote was not unanimous. Councilmembers Seekings and Alexander voted nay. Councilmember White abstained from voting. On a motion of Councilmember Alexander, seconded by Councilmember Moody, the Committee on Ways and Means voted unanimously to approve Item ‘b’ of the report of the Committee on Real Estate. The Committee on Ways and Means recommended giving first reading to the following bills: An ordinance to provide for the annexation of property known as Savannah Highway (1.49 acres) (TMS# 350-05-00-039; 350-05-00-040 and 350-05-00-160), West Ashley, Charleston County, to the City of Charleston, and includes all public rights-of-way shown within the area annexed upon a map attached hereto and make it part of District 7. An ordinance to provide for the annexation of property known as River Road (5.0 acres) (TMS# 312-00-00-066), Johns Island, Charleston County, to the City of Charleston, and includes all public right-of-way, shown within the area annexed upon a map attached hereto and make it part of District 5. An ordinance to provide for the annexation of property known as 2319 Savannah Highway (1.06 acres) (TMS# 310-06-00-114), West Ashley, Charleston County, to the City of Charleston, shown within the area annexed upon a map attached hereto and make it part of District 7. An ordinance to provide for the annexation of property known as Clements Ferry Road (19.02 acres) (a portion of TMS# 271-00-01-031), Cainhoy, Berkeley County, to the City of Charleston, shown within the area annexed upon a map attached hereto and make it part of District 1. An ordinance to provide for the annexation of property known as 104 Live Oak Avenue (0.14 acre) (TMS# 418-13-00-281), West Ashley, Charleston County, to the City of Charleston, shown within the area annexed upon a map attached hereto and make it part of District 9. 6  Councilmember Moody asked about voting on the new appraisal which was recommended by the Committee on Real Estate, and Councilmember Waring asked for the motion to be restated. Councilmember Alexander explained that the second motion was to approve the Committee on Real Estate Committee’s instruction to staff to update the existing appraisal and to order an additional appraisal of the property and bring the appraisals back to the Committee on Real Estate. Councilmember Seekings asked if this was a prerequisite for any further proceedings on this item. Councilmember Alexander explained that it was asked to be brought back to the Committee because the appraisal was ten years old, and the Committee felt like it was out of date. The existing appraisal they had was from a year ago. They would like for the new appraisals to be brought back to the Committee prior to moving forward. Mayor Riley said the appraisal they had was about a year old, and this needed to be updated. The Committee also wanted a second appraisal, so this process would take a while and be brought back to the Committee promptly for its consideration. Mayor Riley stated this was an informal resolution, and if approved tonight, City Council would pass the resolution, but the condemnation would not be filed until the appraisal was updated and the second appraisal was completed. This would come back to the Committee on Real Estate and City Council, so if anything in those appraisals changed the recommendation, it would come to City Council in the form of recommending staff not to proceed with the condemnation action. The action would not be filed until the appraisals are updated. This was being done so that they could be fully aware of any changes made in the valuation of the property or anything else to consider. On a motion of Councilmember Alexander, seconded by Councilmember Moody, the Committee on Ways and Means voted to authorize staff to update the existing appraisal and order an additional appraisal to be brought back to the Committee on Real Estate for property in the northwest section of the Peninsula to be acquired for use as a public park. There being no further business presented, the Committee on Ways and Means adjourned at 5:37 p.m. Jennifer Cook Assistant Clerk of Council 7