Cleveland City Council

p. 357 REGULAR SESSION FEBRUARY 11, 2019 3:00 P.M. MINUTE BOOK 29 BE IT REMEMBERED THAT THE CITY CMOUNCIL OF THE CITY OF CLEVELAND, TENNESSEE MET IN A REGULAR SESSION THIS MONDAY, FEBRUARY 11, 2019 AT 3:00 P.M. AT THEIR REGULAR MEETING PLACE IN THE CLEVELAND MUNICIPAL BUILDING. Present and presiding was Mayor Kevin Brooks. Also present were Vice Mayor Avery Johnson, Councilmen Charlie McKenzie, Bill Estes, Tom Cassada, David May, Jr., Dale Hughes and Ken Webb. Others in attendance according to the sign-in sheet were as follows: City Manager Joe Fivas; Assistant City Manager/Operations Melinda Carroll; City Attorney John Kimball; Christy Brandon, Support Services Manager; Jonathan Jobe, Director of Development and Engineering; Tommy Myers, Public Works Director; Police Chief Mark Gibson; Mark Fidler, Jetport Director; Patti Petitt, Director of Parks and Recreation; Fire Chief Ron Harrison; Kris Miller, IT Director; Sue Zius, Assistant to the Mayor/Legislative Liaison; Kim Spence, Human Resource Director; Brian Moran, Social Media Coordinator; Doug Berry and Gary Farlow with the Chamber of Commerce; Tad Bacon with Cleveland Utilities; Bethany McCoy with Lee University; Sharon Marr with Mainstreet; John Sheehan; Rob McGowan; Martha Ledford; George McCoin; Arjun Patel; Ed McGhee; Angela Borgogna; Delia Kramer; and Tim Siniard with The Cleveland Daily Banner. Following the Pledge of Allegiance to the American Flag and prayer by Dr. Mark Williams from North Cleveland Church of God the following business was then entered into: Mayor Brooks announced that the City Council would recess for 15 minutes. Mayor Brooks then called the City Council meeting back into session at 3:15. WAIVE READING OF MINUTES Vice Mayor Johnson moved that the City Council of the City of Cleveland waive the reading of the minutes of the Regular Session of the City Council held on January 28, 2019 and approve them as written. The motion was seconded by Councilman May; and upon roll call, the motion unanimously passed. CONSENT AGENDA Councilman Hughes moved to approve the following items from the Consent Agenda: • Change Order – Change Order #3 with Baseline Sports Construction for Tinsley Park Tennis Courts ($3,900). TO: Mayor and City Council FROM: Melinda B. Carroll DATE: February 6, 2019 RE: Tinsley Park Tennis Court – Change Order #3 SUMMARY: The tennis court project is in the process of being finalized and additional drainage under the parking lot to the catch basin at the corner of the property line was added, which resulted in a change order. COMMITTEE FINDINGS: No Committee or Board action. FISCAL ANALYSIS: p. 358 REGULAR SESSION FEBRUARY 11, 2019 PAGE -358- MINUTE BOOK 29 This will increase the contract amount by $3,900.00. The amended contract price was $1,142,801.00 and has changed to $1,146,701.00. RECOMMENDATION: Staff recommends approval of the change order. • Resolution No: 2019-17 – A resolution urging the Tennessee Legislature and Governor Lee to adopt a State Historic Tax Incentive titled The Main Street Historic Rehabilitation and Tourism Revitalization Act. RESOLUTION NO: 2019-17 A RESOLUTION URGING THE TENNESSEE LEGISLATURE AND GOVERNOR BILL LEE TO ADOPT A STATE HISTORIC TAX INCENTIVE, TITLED THE MAIN STREET HISTORIC REHABILITATION AND TOURISM REVITALIZATION ACT WHEREAS, thirty-five states offer tax incentives for rehabilitation of income-producing historic structures, including every state surrounding Tennessee; and WHEREAS, these rehabilitation incentives consistently demonstrate a strong return on investment in other states, and WHEREAS, adoption of a state historic tax credit will enable the City of Cleveland, Tennessee and other communities in the State of Tennessee to compete with neighboring states for investment in revitalizing historic structures and to spur economic activity throughout the State; and WHEREAS, adoption of a state historic tax credit will be particularly beneficial for the City of Cleveland’s downtown area which has an abundance of historic buildings that contribute to the character and culture of the city and its appeal as a place to live; and WHEREAS, a state historic tax incentive would offer investors in Cleveland, Tennessee a credit on approved rehabilitation of historic structures; and WHEREAS, a state historic tax incentive could be combined with the 20 percent federal historic tax credit to improve the return on investment for approved rehabilitation of historic income-producing properties; and WHEREAS, between fiscal years 2002 and 2017, the federal historic tax credit enabled the completion of 190 rehabilitation projects in the State of Tennessee; and WHEREAS, Tennessee's historic rehabilitation tax incentive will require the private sector to make an initial investment and the state will not award any credits until a building's rehabilitation is certified; and WHEREAS, redeveloping underutilized and vacant historic buildings puts them back into productive use, increases their value for property tax purposes, and reduces the potential for codes enforcement issues, as well as vandalism and other crimes involving those underutilized and vacant historic buildings; and WHEREAS, these economic development incentives create highly paid, local jobs that often require craftsmen skilled at repairing historic windows, plaster, masonry, and flooring; and WHEREAS, historic tax incentives will enhance Tennessee's tourism economy because heritage tourists typically stay longer and spend more money when compared with other travelers; and p. 359 REGULAR SESSION FEBRUARY 11, 2019 PAGE -359- MINUTE BOOK 29 WHEREAS, for the reasons set out above, the City Council of the City of Cleveland, Tennessee wishes to express its support for The Main Street Historic Rehabilitation And Tourism Revitalization Act. NOW, THEREFORE, BE IT RESOLVED by the City of Cleveland, Tennessee, that the City Council urges the Tennessee Legislature and the Governor of Tennessee to adopt a state historic tax incentive, titled The Main Street Historic Rehabilitation and Tourism Revitalization Act, or such substantially similar legislation as may be introduced under a different caption. This 11th day of February, 2019 APPROVED AS TO FORM: /s/John F. Kimball ___________________________ City Attorney Kevin Brooks, Mayor ___________________________ Shawn McKay, City Clerk • Appointment – Wrecker Board – Tisha Hitson for a 5-year term to expire October, 2023. The motion to approve the consent agenda was seconded by Councilman Estes; and upon roll call, the motion was unanimously passed. UNFINISHED BUSINESS Councilman May moved that Ordinance No: 2019-07; heretofore passed on first reading January 28, 2019 and found in Minute Book 29, Page 354; amending Sections 8-316 and 8-318 of the Municipal Code relative to the number of allowed local liquor store privilege licenses in the City of Cleveland. The motion was seconded by Councilman Cassada. Upon roll call, Councilmen May, Cassada, Estes, Webb, McKenzie and Vice Mayor Johnson voted aye. Councilman Hughes voted no. The motion passes 6:1. REPORTS OF MAYOR AND COUNCIL MEMBERS Councilman Cassada asked that at the next Council meeting Officer Sharp and Officer Humberd be recognized for their life saving efforts. He continued he appreciates all First Responders for what they do for the City. Secondly, he congratulated Cleveland Utilities for their perfect water survey. Lastly, he asked that the City Flag be recognized throughout the City in all City Parks and all Fire Stations. Citizens have also inquired about purchasing flags and yard flags for their homes. Councilman Hughes recognized Arjun Patel, who owns Harry’s Market at Mouse Creek and Mohawk Drive. Mr. Patel had given permission for Dan Hartman to trim a large bush and a few trees that were blocking the site distance off Mohawk Drive. He appreciates Mr. Patel for helping make the area a safer place for our citizens. Also, at 450 Apache Trail, we recently had problems with a multi-family home parking on the street. No parking signs were placed in front of the home and thanks to the Police Department for enforcing the area. Councilman Webb asked for an update on the stormwater issue at 3057 Hollybrook Circle. Mr. Jobe stated he would check and report back. Secondly, he thanked Officer Tim Mason with Bradley County with helping with litter pickup and wondered if it’s time to set a litter pickup schedule to cover the community. He feels some areas are a lot worse and need to be addressed before it becomes a problem. Mr. Fivas replied we could offer something similar to adopt a street program where local businesses could become involved. Councilman Webb stated p. 360 REGULAR SESSION FEBRUARY 11, 2019 PAGE -360- MINUTE BOOK 29 yes, but something more established like the leaf pickup schedule so areas are covered at least four times a year. Mr. Fivas replied they would look into it. Vice Mayor Johnson thanked Mr. Fivas and staff for the updates on all the city projects and their timelines. He is excited for what 2019 and 2020 holds. Mayor Brooks asked for an update on the windows of the Moore Building. Mr. Fivas stated yes, Mayor Brooks and I have discussed cleanup of the Moore Building and the possibility of covering the windows, which would be about $2,000-$3,000. We have discussed the parking issue with SETHRA and would like the Council to give their thoughts on the timing of the improvements to the building. Should we go forward spending money or wait on the WSP report at the February 25 retreat. Councilman Hughes stated we should do what we told the Moore Family we would do, which was tear it down and make parking for the area. In 2016, we voted to tear the building down. Councilman Hughes then asked Joe Moore what the family expected. Mr. Moore responded we would like the Council to do what they said they would do and tear the building down and make a parking area. Councilman Hughes then moved to do what the Moore Family has asked us to do, tear down the building down and make a parking lot. The motion was seconded by Vice Mayor Johnson. Councilman Estes asked what was the agreement when we signed the deed and control of the building? Mr. Kimball stated this has been discussed at length, but it was approved, by a vote of 3:2, to accept the building with no stipulations, which is how the deed is worded. Subsequently, there was a 6:1 vote to tear it down. Mayor Brooks stated there was also another subsequent motion to wait until the downtown study was completed, which is due at the end of this month. Councilman Estes asked if we could wait a couple of weeks until the report was received before taking any action. Councilman Hughes replied we need to do what the Moore family asked us to do. Councilman McKenzie asked if we tear it down, then what? Will someone buy it from us? Vice Mayor Johnson stated no, we create parking. Councilman Estes stated he has never seen anything about how much it would cost for the asbestos removal, demolition and what about the adjoining wall to the rescue station. Let’s just wait two weeks and do our due diligence. It has sat there twenty years empty, what are two more weeks. Mr. Fivas stated at the retreat on February 25 we will have the feasibility study and their recommendation on the building. Councilman Cassada stated he would like to wait two weeks for the study to have a better understanding of where we are. Councilman Hughes stated he is willing to wait two weeks for the feasibility study from WSP. Mr. Fivas stated WSP could be leaning to tearing the building down and feels seeing an overall plan will help you make a final decision to move forward. Councilman Hughes then withdrew his motion and have it on the next agenda for discussion and he will make a motion at that time that the building comes down. Vice Mayor Johnson withdrew his second as well. NEW BUSINESS AND ORDINANCES The following Resolution was presented in full: RESOLUTION NO: 2019-14 WHEREAS, Stanley M. Thompson, Assessor of Property, has recently notified the City of Cleveland, Tennessee, that a change has been made in the 2017 real property taxes assessed to Ocoee Hospital Corporation; and WHEREAS, a copy of the Assessor’s notice to the City is attached hereto and incorporated herein by reference; and WHEREAS, as a result of the notice from the assessor's office, this taxpayer is entitled to a refund for the overpayment of its 2017 real property taxes; and WHEREAS, the parcel of property is generally identified as Map 049D Group J, Parcel 011.00 SI 000 (2017 Receipt Number 20323); and p. 361 REGULAR SESSION FEBRUARY 11, 2019 PAGE -361- MINUTE BOOK 29 WHEREAS, this taxpayer has been determined by the Assessor’s office to be entitled to a tax refund of $225,543.00 for 2017. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Cleveland, Tennessee, in regular session assembled, that the City Clerk be, and hereby is, authorized to refund to Ocoee Hospital Corporation the sum of $225,543.00 for the overpayment of its 2017 real property taxes. APPROVED AS TO FORM: /s/John F. Kimball ___________________________ City Attorney Kevin Brooks, Mayor ___________________________ Shawn McKay, City Clerk Mr. Fivas stated this will create about a $450,000 hole in our current year budget for both tax years. We will take action to limit the number of unbudgeted items and make it work. Mayor Brooks asked Mr. Fivas to walk the Council through this process. Mr. Fivas stated you have the revaluations for taxes and Tennova appealed the assessment. The State Board of Equalization agreed it was off by $29 million for 2017, as well as 2018, which leaves the hole of $450,000. Councilman Webb asked if they identified what the error was and if it could be appealed. Mr. Kimball stated the property owner appealed the Bradley County Property Assessor’s value and the State Board of Equalization agreed. We have received the Judge’s order, which is final. Councilman Estes moved that Resolution No: 2019-14 be accepted as presented. The motion was seconded by Councilman May; and upon roll call, unanimously passed. The following Resolution was then presented in full: RESOLUTION NO: 2019-15 WHEREAS, Section 18-114(4) of the Cleveland Municipal Code provides: (1) Notwithstanding the provisions of sections 18-114 (1) through (3), or any other ordinance of the City, if the City Council determines, based on a review by Cleveland Utilities and City staff, that extension of sewer or sewer connection outside of the city limits is appropriate for reasons of practical system design, environmental necessity, or economic benefit to the citizens of Cleveland, the City Council may approve such extension or connection or approve it with conditions. WHEREAS, Cleveland Utilities and City staff are recommending that the City Council pass a Resolution pursuant to Section 18-114(4) of the Cleveland Municipal Code to allow sewer service to be extended to a parcel of property located at 1617 Lauderdale Memorial Highway (Tax I.D. Number 015-003.05); and WHEREAS, Cleveland Utilities and City staff are recommending that sewer be extended to this parcel because of environmental necessity because the current septic system has failed and the Tennessee Department of Environment and Conservation has notified the City by the attached letter dated February 4, 2019 that a new septic system cannot be located on the property; and WHEREAS, the property is outside the urban growth boundary and cannot be annexed at this time; and WHEREAS, based on the recommendation of Cleveland Utilities and City staff, the City Council desires to pass this Resolution, pursuant to Section 18-114(4) of the Cleveland Municipal Code, to authorize sewer service to be extended to this parcel. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Cleveland, Tennessee, in regular session assembled, that the City Council does hereby approve of the p. 362 REGULAR SESSION FEBRUARY 11, 2019 PAGE -362- MINUTE BOOK 29 extension of sewer service to the parcel located at 1617 Lauderdale Memorial Highway (Tax I.D. Number 015-003.05). This 11th day of February, 2019. APPROVED AS TO FORM: /s/John F. Kimball ___________________________ City Attorney Kevin Brooks, Mayor ___________________________ Shawn McKay, City Clerk Councilman May moved that Resolution No: 2019-15 be accepted as presented. The motion was seconded by Councilman Cassada. Councilman Estes asked if city staff was in support of the resolution. Mr. Fivas stated it is within our policy if it is an environmental determination from the State and we have the appropriate letters for the request. Councilman Webb stated the State partners with us on our sewer rehab work with the SRF funding and that’s why he could support this since it is a request from the State. Upon roll call, the motion unanimously passed. The following Resolution was then presented in full: RESOLUTION NO: 2019-16 WHEREAS, the City has received the attached contract from the Tennessee Department of Transportation (hereafter “TDOT”) for the project described below; and Project: Candy’s Creek Elementary School Turn Lane Permit WHEREAS, the City Council desires to enter into the attached contract with TDOT for the project described in the attached contract, and to further authorize the Mayor to execute this contract on behalf of the City of Cleveland. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Cleveland, Tennessee, in regular session assembled, that the City Council does hereby approve of the attached contract with TDOT for the project described herein and it further authorizes the Mayor to execute the same on behalf of the City of Cleveland. [Contract on file in the City Clerk’s Office.] This 11th day of February, 2019 APPROVED AS TO FORM: /s/John F. Kimball ___________________________ City Attorney Kevin Brooks, Mayor ___________________________ Shawn McKay, City Clerk Councilman Hughes moved that Resolution No: 2019-16 be accepted as presented. The motion was seconded by Councilman Webb. Councilman Cassada inquired about the cost. Mr. Fivas replied between $75,000-100,000, depending on asphalt costs. Councilman Cassada stated in a year it will be torn back up. We can pave a lot of roads in the community. He then asked if there was a way to compromise with the State for a possible refund. Mayor Brooks replied you can request anything but doesn’t guarantee a positive response. However, this school is almost ready to be open. We don’t want to hesitate and create a safety issue for the children while waiting on TDOT, to either build it themselves or send us a refund check. At this time, we can possibly ask them for a refund or for them not to disrupt the turn lane we spend tax dollars on when they begin construction. Councilman Cassada stated we have discussed the stacking of cars in the past and questioned the current stacking number. Mr. Fivas stated he would need the p. 363 REGULAR SESSION FEBRUARY 11, 2019 PAGE -363- MINUTE BOOK 29 Schools to confirm the number. Councilman Cassada stated safety is his concern but spending city money on a state road is hard to swallow, especially when you are coming back through soon to work on it again. Councilman Webb stated we all share the same concern about spending the money then taking the road up, and like you, we don’t want to take a chance on safety of the students. Upon roll call, the motion unanimously passed. Councilman May moved to establish February 25, March 11, March 25 and April 8 as the dates the liquor store applicants can use for their required public notice in the required advertisement, with one exception on the February 25 date you would need an FBI/TBI background check to expedite the application. The motion was seconded by Councilman Webb; and upon roll call, unanimously passed. Councilman Cassada moved to eliminate the financial statement requirement from the application. The motion was seconded by Councilman May. Councilman Estes asked if they would amend the motion to say this is only for the first round of applications. Councilman May stated we can add it back later. Councilman Cassada stated he didn’t want to amend is motion and feels it would be overstepping. Mayor Brooks commented the State does ask for this information at their level. Mr. Kimball stated correct, it is not an open record with the State as it would be for the City. Councilman Estes stated in December if we have one slot open, this is another piece of information that helps us delineate what is best for Cleveland and for future Council’s. Councilman Cassada stated he feels that should be determined by future Council’s at that time. Councilman Estes then offered a substitute motion that eliminating the financial statements extends only for the applications due through April 8. Councilman May stated the real issue is if the financial statement is turned into us we have to make it public. It is not public at the State and that is a big issue. The substitute motion fails for a lack of a second. Councilman Webb stated what gives him a level of comfort is the State is requesting the financials, so they obviously have a procedure they go through to evaluate them. If there was a problem their side of the permit would not be issued. Mr. Kimball stated they would have to be approved by the State. Mayor Brooks called for roll on the motion to eliminate the financial statement requirement from the application. Upon roll call, the motion unanimously passed. The following Ordinance was then presented in full: ORDINANCE NO. 2019-08 AN ORDINANCE TO AMEND SECTION 8-313(b)(4) OF THE CLEVELAND MUNICIPAL CODE RELATIVE TO THE DOCUMENTATION REQUIREMENTS FOR APPLICANTS FOR LOCAL LIQUOR STORE PRIVILEGE LICENSES IN THE CITY OF CLEVELAND WHEREAS, the City Council passed Ordinance number 2018-30 on final reading on January, 14, 2019; and WHEREAS, the City Council now desires to amend a provision of that Ordinance, specifically Section 8-313(b)(4). NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEVELAND, TENNESSEE, IN REGULAR SESSION ASSEMBLED: SECTION 1. Section 8-313(b)(4) of the Cleveland Municipal Code is hereby deleted in its entirety and is hereby amended to read as follows: (4) A survey shall be prepared by a registered surveyor which identifies the parcel upon which the liquor store is to be operated, and the location of the building proposed to be a liquor store, and also the distance between the closest church and the closest school to the building proposed to be a liquor store. p. 364 REGULAR SESSION FEBRUARY 11, 2019 PAGE -364- MINUTE BOOK 29 SECTION 2. This ordinance shall take effect upon passage on final reading, the public welfare requiring it. APPROVED AS TO FORM: /s/John F. Kimball ___________________________ City Attorney Kevin Brooks, Mayor ___________________________ Shawn McKay, City Clerk Mr. Kimball clarified this ordinance changes the language that originally the survey had to show all adjoining parcels, which you don’t really need now that you removed the cap. You simply need to verify the distance from a school or church. In April, after you’ve issued all the initial certificates, this is something you can review to add back into the requirements. Councilman May moved that Ordinance No: 2019-08 be approved on first reading. The motion was seconded by Councilman Cassada; and upon roll call, unanimously passed. Mayor Brooks announced that City Offices would be closed on Monday, February 18 in observance of President’s Day. The next City Council meeting will be held on February 25, which will begin at 10:30 for the budget planning session. There being no future business the meeting was adjourned at 4:03 p.m. _________________________________ ______________________________ Mayor City Clerk