City Council

Public Hearing 03/08/22 HON. MARY KATHERINE GREENLAW, MAYOR CITY OF FREDERICKSBURG, VIRGINIA HON. CHARLIE L. FRYE, JR., VICE -MAYOR, WARD FOUR HON. KERRY P. DEVINE, AT-LARGE CITY COUNCIL HON. MATTHEW J. KELLY, AT-LARGE HON. JASON N. GRAHAM, WARD ONE HON. JONATHAN A. GERLACH, WARD TWO HON. DR. TIMOTHY P. DUFFY, WARD THREE Council Chambers, 715 Princess Anne Street Fredericksburg, Virginia 22401 March 8, 2022 The Council of the City of Fredericksburg, Virginia, held a public hearing on Tuesday, March 8, 2022, beginning at 8:24 p.m. in the Council Chambers of City Hall. City Council Present. Mayor Mary Katherine Greenlaw. Vice-Mayor Charlie L. Frye, Jr., Council members Kerry P. Devine, Dr. Timothy P. Duffy, Jonathan A. Gerlach, Jason N. Graham, and Matthew J. Kelly. Others Present. City Manager Timothy J. Baroody, Assistant City Manager Mark Whitley, Assistant City Manager David Brown, City Attorney Kathleen Dooley, Assistant City Attorney Dori Martin, Fire Chief Mike Jones, Director of Planning and Building Services Charles Johnston, Senior Planner Michael Craig, Community Development Planner Bailey Thompson, Finance Director Robyn Shugart, Assistant Finance Director Richard Lawrence, Budget Analyst Donna Leahy and Clerk of Council Tonya B. Lacey. Notice of Public Hearings (D22-72). The Clerk read the notice of the public hearings as they appeared in the local newspaper, the purpose being to solicit citizen input. 21299 Public Hearing 03/08/22 Annual Action Plan for the Community Development Block Grant Program – Development of the 2022-2023 Annual Action Plan for the Expenditure of Anticipated Community Development Block Grant Funds (D22-72). No speakers. Mr. Thompson stated that he had sent out approximately 60 letters to organizations and religious groups for comments. There will be a thirty-day comment period. The final plan would come before Council on May 10 for final approval. The plan would then go to HUD for final approval. Mayor said this was tax dollars well spent 51 percent of the City’s households meet the low income requirement and this was important for those citizens. Councilor Graham informed the public that one of the benefits of the direct homeownership program was not only for low income it was for first time homeowners and he was enthusiastic that it could be used by emergency personnel or teachers. He spoke of how important it was for those who work in the community to live in their community. Vice-Mayor Frye echoed Mayor Greenlaw and Councilor Graham. He spoke of how the city was regularly criticized about affordability and what was being done for those who need help and he said this was something that helped those in need. Councilor Kelly explained that this was a program that could expand if the City would step outside of its comfort zone. He said with all the inflation coming this was time for this program to be expanded. 21300 Public Hearing 03/08/22 Adjourned. There being no more speakers to come before the Council at this time, Mayor Greenlaw declared the hearing officially adjourned at 8:06 p.m. Mary Katherine Greenlaw Mary Katherine Greenlaw, Mayor Tonya B. Lacey Tonya B. Lacey, Clerk of Council, MMC 21301 Public Hearing 03/08/22 [This page intentionally left blank.] 21302 Regular Session 03/08/22 HON. MARY KATHERINE GREENLAW, MAYOR CITY OF FREDERICKSBURG, VIRGINIA HON. CHARLIE L. FRYE, JR., VICE -MAYOR, WARD FOUR HON. KERRY P. DEVINE, AT-LARGE CITY COUNCIL HON. MATTHEW J. KELLY, AT-LARGE HON. JASON N. GRAHAM, WARD ONE HON. JONATHAN A. GERLACH, WARD TWO HON. DR. TIMOTHY P. DUFFY, WARD THREE Council Chambers, 715 Princess Anne Street Fredericksburg, Virginia 22401 March 8, 2022 The Council of the City of Fredericksburg, Virginia, held a regular session on Tuesday, March 8, 2022, beginning at 7:30 p.m. in the Council Chambers of City Hall. City Council Present. Mayor Mary Katherine Greenlaw. Vice-Mayor Charlie L. Frye, Jr. Council members Kerry P. Devine, Dr. Timothy P. Duffy, Jonathan A. Gerlach, Jason N. Graham, and Matthew J. Kelly. Others Present. City Manager Timothy J. Baroody, Assistant City Manager Mark Whitley, Assistant City Manager David Brown, City Attorney Kathleen Dooley, Assistant City Attorney Dori Martin, Fire Chief Mike Jones, Director of Planning and Building Services Charles Johnston, Senior Planner Michael Craig, Community Development Planner Bailey Thompson, Finance Director Robyn Shugart, Assistant Finance Director Richard Lawrence, Budget Analyst Donna Leahy and Clerk of Council Tonya B. Lacey. Opening Prayer and Pledge of Allegiance. Council was led in prayer by Vice-Mayor Charlie L. Frye, Jr. followed by the Pledge of Allegiance led by Councilor Jason N. Graham. 21303 Regular Session 03/08/22 Officer Recognized. Mayor Greenlaw recognized the presence of Officer Gregory Baugher, at this evening’s meeting. Virginia Railway Express – Train Station Improvements, Resolution Consenting to the Issuance of Bonds, and Briefing on Project Supported by the Bonds (D22-67 and D22-70). Mr. Rich Dalton, Executive Director of VRE introduced his staff General Counsel Stephen McIsaac, VRE Director of Government and Community Affairs Joseph Schwartz, Chief Financial Officer Mark Schofield and Chief Engineer Dallas Richards. Mr. Schofield presented a PowerPoint presentation discussing the commuter rail operation and capital fund, public bond sale, bonds backed by future C-ROC Revenues and he turned the presentation over to Mr. Richards who discussed the Fredericksburg station rehabilitations. See D22-67 and D22-70 for more information. Council had brief discussion of the project. Mayor Greenlaw moved item 5B forward with no objection from the Council. Resolution 22-14, Approved, Consenting to the Issuance of Bonds for Virginia Railway Express (D22 67 and D22-70). Councilor Kelly made a motion to approve Resolution 22-14, consenting to the issuance of bonds for Virginia Railway Express; motion was seconded by Councilor Devine and passed by the following recorded votes. Ayes (7). Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham, and Kelly. Nays (0). 21304 Regular Session 03/08/22 Closed Session. The Council moved the closed session to the end of their work session and Council adopted the motion to go into closed session at the end of the work session and they motioned to certify the closed session. Resolution 22-13, Approved, Certifying Closed Meeting (D22-80). Upon the motion Councilor Devine, approved Resolution 22-13 certifying the closed meeting; seconded by Councilor Graham and passed by the following recorded votes. Ayes (7) Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham and Kelly. Nays (0). COVID-19 Update. Chief Jones reported that numbers were trending downward. The number of cases has dropped from four digit numbers to three digit numbers. The hospital numbers were down; the positivity rate was down to single digits. The number of people in the hospital statewide was down to 635 people. The number in ICU and on ventilators was down below 100 statewide. The percent positivity in the region was at nine percent, the state was at 5.9 percent. There was one new case in the City and the moving average was one per day. The have been 15.5 million who have received the vaccine in Virginia, 6.9 million has at least one dose, 6.19 million has had two doses and 2.83 million have had their booster dose. Case rate are continuing to decline statewide. The Rappahannock region are in low community transmission. There were still areas to get tested and places to get vaccinated. Vice-Mayor Frye thanked Chief Jones for being the face of the community for this pandemic. Mayor Greenlaw echoed that and thanked him for keeping the community informed. She said it was encouraging to the community. 21305 Regular Session 03/08/22 City Manager’s Fiscal Year 2023 Recommended Budget (D22-68). City Manager Baroody presented the Fiscal Year 2023 budget. The recommended general fund budget for FY 2023 was $110,954,000 with a recommended $.03 real estate tax increase, from $0.83 to $0.86 per $100 in valuation. The budget document also included recommendations for a variety of other operating funds, including the City’s main enterprise funds: Water Operating, Wastewater Operating, Transit Operating and the Parking fund. Mr. Baroody stated The FY 2023 recommended budget includes approximately $6 million in revenue growth from all general fund sources, not including the real estate tax increase. Key local revenues driving this growth are sales, and the meals tax. The recommended raise in the real estate tax rate is estimated to generate $1,350,000 in additional new revenue in the General Fund. Additionally, the City of Fredericksburg received direct allocation of $10,782,748 through the American Rescue Plan Act, or “ARPA,” from the federal government. The City Council had previously allocated the use of $5.2 million of these funds to include a reserve for homelessness initiatives. The remaining $5.6 million of the recommended budget includes allocating $3,000,000 for the Wastewater Treatment Plant project and $1,781,110 for a variety of other capital and pandemic response needs. This will leave a remaining balance of $801,638 for evolving pandemic response or future capital needs. The City Departments total requested General Fund budget for FY 2023 included an ask for 29 full-time positions and a budget that totaled over $122 million, which suggests the magnitude of growth in demand for City services and infrastructure. The 21306 Regular Session 03/08/22 local labor market remains tight as well, and wages continue to climb rapidly. The recommended budget includes a general raise for employees of 4% in July, which adds to the mid-year $1000 raise Council approved for most employees and was in paychecks last month. Mr. Baroody said other personnel budget drivers included a Virginia Retirement System rate bump from 14.13% to 16.06% which increases the “employer contribution,” at an increased cost in the general fund of over $1 million. The City has had three years of consistently good health insurance renewals, this year our projected rates increase by roughly 13% because of rising claims costs and employees will be asked to cover some of this increase. The recommended budget includes an operating transfer to City Schools of $30,500,000, approximately $450,000 more than in FY 2022. The transfer to City Schools is the largest item in the City’s General Fund. The School Board initially proposed a City contribution of $30,899,266, an increase of $850,000 over FY 2022. The Schools also requested $413,000 in City support for its capital projects, which is not funded in this recommendation. Mr. Baroody stated that the City continues to face challenges related to capital projects in the Water Operating Fund and the Wastewater Operating Fund in FY 2023 and beyond. The recommended Capital Improvements Plan includes approximately $67 million in additional debt in the next five years, the majority of which is attributable to the wastewater treatment plant project. He said it was important to remember that this level of capital investment would significantly increase the debt service payments 21307 Regular Session 03/08/22 required in these funds. The recommended FY 2023 budget includes several sources in which the City was hopeful for the $27 million being approved in the State budget process. He said this would be a significant contribution by the state to this project. The recommended budget includes an 8% increase in water rates and a 10% increase in wastewater rates. (See D22-68 for more information.) Consent Agenda Accepted for Transmittal as Recommended (D22- 69 thru D22-71). Mayor Greenlaw moved item 5B up on the agenda to be acted on after the VRE presentation. Councilor Kelly moved approval of the City Manager’s consent agenda with the exception of Item 5B; motion was seconded by Councilor Graham and passed by the following recorded votes. Ayes (7). Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham, and Kelly. Nays (0). • Transmittal of a Resolution Releasing Fund Balance Assigned for pandemic Response and Assigning Fund Balance for Jail Stabilization and Future Capital Projects (D22-69). • Transmittal of Board and Commission Minutes o Clean & Green Commission – December 6, 2021 (D22-71). Public Hearing (D22-72). The regular session was recessed in order to conduct scheduled public hearings and immediately reconvened upon their conclusion. Citizen Comment. The following comments were given and/or submitted to be read during the citizen comment portion of this evening’s meeting. 21308 Regular Session 03/08/22 Anne Little, 726 William Street, Executive Director of Tree Fredericksburg, spoke about how the trees in Fredericksburg had taken a bad hit during the winter storm and she thanked the City Council for supporting trees. She said she was privileged to have been chosen to plant the trees at the Riverfront Park as well as at the Virginia Credit Union Baseball stadium. Ms. Little said the Department of Forestry would be filming Tree Fredericksburg to show how to properly plant trees. She said they would be giving away 2,300 trees on earth day. Bettie Grey (D22-73), 900 Ficklen Road, read a letter to Vladimir Putin and showing her support for Ukraine. See D22-73 for more information. Council Agenda Presented. The following items were presented to Council for discussion. 8A. Resolution 22-15, Supporting the Ukrainian People (D22-72.1) – Councilor Gerlach Resolution 22-15, Supporting the Ukrainian People (D22-72.1). Councilor Gerlach presented a resolution in support of the Ukrainian people. Councilor Duffy moved to approve Resolution 22-14, supporting the Ukrainian people; motion was seconded by Councilor Devine and passed by the following recorded votes. Yays (7). Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham, and Kelly. Nays (0). Adoption of Minutes. Councilor Graham moved approval of the October 12, 2021 Work Session minutes and the February 22, 2022 Regular Session minutes; motion was seconded by Councilor Frye and passed by the following recorded votes. Ayes (7). Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham and Kelly. Nays (0). 21309 Regular Session 03/08/22 Ordinance 22-03, First Read Approved, Amending Ordinance 22-01 to Revise the Local Redistricting Plan Adopted on February 8, 2022 and Amending City Code Chapter 30, Section 30-1, “Election Districts,” to adjust District Boundaries in Accordance with the Revised Redistricting Plan (D22-75 thru D22-76). Mr. Johnston presented a PowerPoint and he stated that the boundaries of the City’s elections were changed by Council on February 8 to correct an imbalance of population shown in the 2020 U.S. Census. This change established all four wards with populations in the 6,702 to 7,408 range per Census data. It was determined that Ward 3 had more than 5,000 registered voters, an additional voting district limitation and staff determined that a revised ward boundary map would address this discrepancy. Mr. Johnston explained that voting district criteria states that on the date that wards are established, they cannot exceed 5,000 registered voters, in addition to having balanced population distribution. Using November 21, 2021 Registrar data, it was believed that all wards met the registered voter limit. However, revised Registrar data showed that not to be the case and Ward three had 5,051 registered voters. In order to create Ward 3 with fewer than 5,000 registered voters, a revised ward boundary map was proposed which shifted census blocks in the northwest corner of the Route 1 and Route 3 intersection on the February 8 iteration of Ward 3 back to Ward 1. 21310 Regular Session 03/08/22 After considerable discussion the Councilor Gerlach made a motion to approved Ordinance 22-03, on first read, amending Ordinance 22-01 to revise the local Redistricting Plan adopted on February 8, 2022 and amending City Code Chapter 30, Section 30-1, “Election Districts,” to adjust district boundaries in accordance with the revised Redistricting Plan; motion was seconded by Councilor Devine and passed by the following recorded votes. Ayes (7). Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham and Kelly. Nays (0). Resolution 22-16, Approved, Initiating Formal Review of the Draft Capital Impacts Study (D22-77). After a brief summary, Councilor Graham moved to approve Resolution 22-15, initiating formal review of the draft Capital Impacts Study; motion was seconded by Councilor Gerlach and passed by the following recorded votes. Ayes (7). Councilors Greenlaw, Frye, Devine, Duffy, Gerlach, Graham and Kelly. Nays (0). City Manager’s Report and Council Calendar (D22-78 thru D22-79). City Manager Baroody directed the Council’s attention to the Manager’s Update: 71st Annual Fredericksburg Fine Arts Show & Sale, Wall of Honor, FREDericksburg Regional Transit, Fredericksburg Community Vaccination center (CVC) Scheduled to Stop Operations, Fire Chief Mike Jones Weekly video, Unpaid Utility Bills Due No Later than March 14, Traffic Safety Initiative, Board and Commission Openings, Parks, Recreation and Events Newest Activity Catalog, Spring Programs and Fred Focus. Adjournment. There being no further business to come before the Council at this time, Mayor Greenlaw declared the meeting officially adjourned at 9:19 p.m. 21311 Regular Session 03/08/22 Mary Katherine Greenlaw Mary Katherine Greenlaw, Mayor Tonya B. Lacey Tonya B. Lacey, Clerk of Council, MMC 21312