Board of Commissioners Meetings

187 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 A regular meeting of the Board of Commissioners of the City of Henderson, Kentucky, was held on Tuesday, November 22, 2016, at 5:30 p.m., prevailing time, in the third floor Assembly Room located in the Municipal Center Building at 222 First Street, Henderson, Kentucky. INVOCATION was given by Reverend Jeff Ferguson, First Assembly of God followed by recitation of the Pledge of Allegiance to our American Flag. There were present Mayor Steve Austin presiding: PRESENT: Commissioner Jan Hite Commissioner Jesse Johnston, IV Commissioner Robert M. (Robby) Mills Commissioner X R. Royster, III ALSO PRESENT: Mr. Russell R. Sights, City Manager Ms. Dawn Kelsey City Attorney Ms. Maree Collins, City Clerk Mr. William L. Newman, Jr. Assistant City Manager Mrs. Donna Stinnett, Public Information Officer Mr. Robert Gunter, Finance Director Mr. Charles Stauffer, Police Chief Mr. Mike Shockley, 9-1-1 Communications Supervisor Mr. Trace Stevens, Parks & Recreation Director Mr. Mark Simmons, Recreation Program Manager Mrs. Connie Galloway, Human Resources Director Mr. Scott Foreman, Fire Chief Mr. John Stroud, Acting Codes Administrator Mr. Dylan Ward, Public Works Engineer Mrs. Lynn Drew, Executive Assistant Mr. Ross Gustafson, Visitor from Sarasota, FL Mrs. Claire Gustafson, Visitor from Sarasota, FL Mr. Brian Bishop, City-County Planning Executive Director Mr. Tom Williams, HWU General Manager Mr. Eric A. Shappell, HWU Attorney Mr. Todd Bowley, HWU Chief Financial Officer Mr. Paul Bird, Water & Sewer Commission Chairman Mr. Brad Staton, City Commissioner Elect Mrs. Patti Bugg, City Commissioner Elect Reverend Jeff Ferguson, First Assembly of God Mr. Bill Latta, Latta Insurance Services, Inc. Deacon Floyd and Members of Calvary Baptist Church Mr. Joseph Hite Mr. Ron Jenkins Mr. Mike Richardson, Reserve Police Officer Ms. Brittany Ross, SurfKy Reporter Ms. Laura Acchiardo, the Gleaner ________________________ APPEARANCE OF CITIZEN: DEACON FLOYD and members of the congregation of Calvary Baptist Church, requested that the Board of Commissioners approve a marquee sign at the church located at 600 Martin Luther King, Jr. Boulevard. 188 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 MAYOR AUSTIN, indicated that this Board could not approve the signage; however, they could send the request to the Planning Commission for review of the zoning in that area. He then asked if there was a motion to forward the request to the Planning Commission for review and make recommendation on the matter. MOTION by Commissioner X R. Royster, seconded by Commissioner Jan Hite, to forward the request for a review of the signage regulations and make recommendation if changes are deemed appropriate relating to marquee signage for the church. The vote was called. On roll call, the vote stood: Commissioner Mills ------- Aye: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Mayor Austin --------------- Aye: PRESENTATION: Refund of Unused Funds BRIAN BISHOP, Executive Director, Henderson-Henderson County Planning Commission presented the City with a check in the amount of $50,599.00 representing the City's portion of excess funds in their fiscal year 2016 operating budget largely due to reduction in personnel costs. Mr. Bishop indicated that they have consolidated duties and that as the City and County have to tighten their budgets, it is fair that the Planning Commission do the same. The difference of $17,996.00 between what the City is receiving and what the County is receiving is due to the County’s shortage in last year’s fiscal year funding ad will be placed into the Planning Commission’s reserve fund, which was set up last year. ________________________ PRESENTATION: Water & Sewer Commission Report on Audits of Financial Statements for Fiscal Years Ended June 30, 2016 and 2015 BRAIN CRAFTON, Myriad CPA Group, gave a brief summary on the audit presented: Cash equivalents and investments are down compared to last year, due in part to capital investments that have been made over the previous years. Construction in progress is up by about $6,000,000.00 this year versus last year. The investment in capital assets is up by roughly $5,000,000.00. The equity that is built into Henderson Water Utility is mostly all in capital investments. Unrestricted reserves have gone from $7,800,000.00 to $2,674,000.00 due to construction projects. Henderson Water Utility operates on a fairly thin margin so it wouldn’t take much to go into the red if something happened. In the last five years there has been about $45,000,000.00 invested in capital improvements, there is about $800,000.00 left on the Long Term Control Plan to complete projects for the next year. Henderson Water Utility is still in good shape, but not trending in the right direction. Mayor Austin asked if there were any questions, hearing none, he requested a motion to accept the report of the audit. MOTION by Commissioner Jesse Johnston, seconded by Commissioner Jan Hite, to accept the Water & Sewer Commission Report on Audits of Financial Statements for Fiscal Year 2016 and 2015. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye:  189 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 ________________________ PRESENTATION: 911 Communications System Update MIKE SHOCKLEY reported that the Committee met a few weeks ago to discuss the revised completion schedule. Several delays have caused the timeline to change from November to the first of the new year. Motorola worked with the microwave company to work out the delay on delivery and the microwaves have been installed for the main and backup sites and are currently being installed at the Crown Castle site. A meeting with consultant Rick Martin is being scheduled to review the timeline and any other items that might need to be addressed. Mayor Austin thanked Mike for his hard work on this very complex project of setting up two sites. ________________________ APPROVAL OF CONSENT AGENDA: MAYOR AUSTIN asked the City Clerk to read the Consent Agenda. Minutes: October 25, 2016, Regular Meeting November 15, 2016, Work Session Motion by Commissioner Jan Hite, seconded by Commissioner Robert M. Mills, to approve the items on the Consent Agenda as presented. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the consent agenda items approved. /s/ Steve Austin Steve Austin, Mayor ATTEST: November 22, 2016 Maree Collins, City Clerk ________________________ ORDINANCE NO. 34-16: SECOND READ: ORDINANCE ACCEPTING PUBLIC IMPROVEMENTS AN ORDINANCE ACCEPTING PUBLIC IMPROVEMENTS FOR PROPERTY LOCATED AT HARDING AVENUE KNOWN AS CORNBLEET & III C OF KY., LLC CONSOLIDATION SUBDIVISION LOT 1 OF LOTS 1 & 2 MOTION by Commissioner X R. Royster, seconded by Commissioner Jesse Johnston, that the ordinance be adopted. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: 190 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 WHEREUPON, Mayor Austin declared the ordinance adopted, affixed his signature and the date thereto and ordered that the same be recorded. /s/ Steve Austin Steve Austin, Mayor ATTEST: November 22, 2016 Maree Collins, City Clerk ________________________ ORDINANCE NO. 35-16: FIRST READ TOM WILLIAMS, Henderson Water Utility General Manager, explained that this is the last step in a long process, which started over seven years ago with a meeting between him, Buzzy Newman and Sandy Watkins. Fiscal Court passed a resolution at their meeting earlier today giving this public improvement over to Henderson Water Utility and this is the City’s acceptance of the sewer project. The cost for the project was close to $1,500.000.00 ORDINANCE NO. 35-16: ORDINANCE ACCEPTING PUBLIC IMPROVEMENTS AN ORDINANCE ACCEPTING PUBLIC IMPROVEMENTS CONSTRUCTED IN THE FINLEY ADDITION (ALONG U.S. HWY 41-A, SPRINGFIELD DRIVE, AND WINCHESTER ROAD) CONSISTING OF WASTEWATER SYSTEM IMPROVEMENTS MOTION by Commissioner Robert M. Mills, seconded by Commissioner Jesse Johnston, that the ordinance be adopted. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the ordinance adopted on its first reading and ordered that it be presented for a second reading at a meeting of the Board of Commissioners. ________________________ ORDINANCE NO. 37-16: FIRST READ ORDINANCE REGARDING ANNEXATION AN ORDINANCE ANNEXING CERTAIN UNINCORPORATED TERRITORY TO THE CITY OF HENDERSON, KENTUCKY, BEING LOCATED AT 2120 SOUTH GREEN STREET, IN HENDERSON COUNTY, CONTAINING 1.28 ACRES, MORE OR LESS, OWNED BY MARY ANNE GONNELLA, d/b/a PALMER OIL COMPANY MOTION by Commissioner X R. Royster, seconded by Commissioner Jan Hite, that the ordinance be adopted. RUSSELL R. SIGHTS, City Manager, explained that this is a voluntary annexation requested by the property owner and that every attempt is made to honor such requests to be annexed. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye:  191 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 WHEREUPON, Mayor Austin declared the ordinance adopted on its first reading and ordered that it be presented for a second reading at a meeting of the Board of Commissioners. ________________________ ORDINANCE NO. 38-16: FIRST READ DAWN KELSEY, City Attorney, explained that when Highway 60 was widened the Transportation Cabinet took part of Palmer oil’s property for right-of-way so we need to also annex this one small strip in front of Palmer Oil. Consent from the Department of Transportation was received this morning so this ordinance was added to the agenda/ Annexing this trip of right-of-way makes the maps cleaner for the state and GIS to show this as one whole piece as a part of the City. Mrs. Kelsey indicated that this unlike most annexations does not need to go to the Planning Commission because right-of-way is not zoned. ORDINANCE NO. 38-16: ORDINANCE REGARDING ANNEXATION AN ORDINANCE ANNEXING CERTAIN UNINCORPORATED TERRITORY TO THE CITY OF HENDERSON, KENTUCKY, BEING U.S. HWY 60 RIGHT-OF-WAY LOCATED AT 2120 SOUTH GREEN STREET, IN HENDERSON COUNTY, CONTAINING 0.034 ACRES, MORE OR LESS, OWNED BY THE KENTUCKY TRANSPORTATION CABINET (KYTC) MOTION by Commissioner Jesse Johnston, seconded by Commissioner Jan Hite, that the ordinance be adopted. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the ordinance adopted on its first reading and ordered that it be presented for a second reading at a meeting of the Board of Commissioners. ________________________ ORDINANCE NO. 36-16: FIRST READ DAWN KELSEY, City Attorney, indicated that this is not the first time you all have seen this subject matter. The redrafted ordinance is based on concerns that were raised at previous meetings. This will allow merchants to use no more than three feet of sidewalk in front of their business in which to display items and requires that at least four and one-half feet remain open and unobstructed to comply with ADA regulations. Section 4 relating to insurance coverage acceptable to the City has been changed to an A rated insurance company. Mrs. Kelsey indicated that those are the differences from what you saw last time this came before you. ORDINANCE NO. 36-16: ORDINANCE RELATING TO MERCHANTS USE OF SIDEWALK IN CENTRAL BUSINESS DISTRICT ORDINANCE ESTABLISHING SECTION 20-11, SALE OF MERCHANDISE ON SIDEWALK IN CENTRAL BUSINESS DISTRICT, OF ARTICLE I, IN GENERAL OF CHAPTER 20, STREETS, SIDEWALKS, AND OTHER PUBLIC PLACES, OF THE CODE OF ORDINANCES OF THE CITY OF HENDERSON PERMITTED TO BUSINESSES LOCATED IN THE CENTRAL BUSINESS DISTRICT MOTION by Commissioner Robert M. Mills, seconded by Commissioner Jan Hite, that the ordinance be adopted. 192 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 DAWN KELSEY, City Attorney, indicated that she had asked Mr. Latta to attend as the City’s insurance carrier’s representative to address the question of whether the city should be named as an additional insured. BILL LATTA, Latta Insurance Services, Inc., relayed that it is very commonplace in the insurance industry to have additional named insured on policies and the cost to the client providing that can run anywhere from $0 to possibly $250.00. For most of these businesses, in this instance, depending on the carrier, Mr. Latta indicated that he expected the cost to be in the $0 to $50.00 range. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the ordinance adopted on its first reading and ordered that it be presented for a second reading at a meeting of the Board of Commissioners. ________________________ ORDINANCE NO. 39-16: FIRST READ ORDINANCE AMENDING BUDGET AND APPROPRIATION ORDINANCE AN ORDINANCE AMENDING BUDGET AND APPROPRIATION ORDINANCE FOR THE FISCAL YEAR COMMENCING JULY 1, 2016 AND ENDING JUNE 30, 2017 FOR THE CITY OF HENDERSON, KENTUCKY MOTION by Commissioner X R. Royster, seconded by Commissioner Jan Hite, that the ordinance be adopted. ROBERT GUNTER, Finance Director, detailed the listed revisions to the budget and appropriation. He explained that salary increases were included as discussed at the work session relating to FLSA regulation changes in the amounts of $6,000.00 to the City Manager division, $9,000.00 in the Golf division, $1,000.00 in the Recreation division, and $4,000.00 in the Police department. Other changes included: $13,000.00 for construction of Braxton Park Drive; $6,000 for one-half of the cost of protective netting for the HGSA (a formal written request is expected); $84,000.00 for the HOME GAP fund-the City received funding that was not anticipated when the budget was adopted; $625,000.00 for the purchase of property on Second Street to be used as a fire station; and a $210,000.00 transfer from the General Fund to the 911 Fund for a phone system. The City has applied for a Kentucky 911 Service grant in the amount of $175,000.00 and is expecting hear within the next few weeks whether or not it will be funded. It is hoped that with the $175,000.00 grant the City’s cost will be less, but the $210,000.00 amount would be the most the City would pay for that project. COMMISSIONER MILLS asked if there was information on how many other communities were competing for the grant. CHARLES STAUFFER, Police Chief, indicated that this is a statewide grant funded by the old CMRS Board now called the Kentucky 911 Service Board and that it is his understanding from communications with that office that they can’t guarantee anything, but they have not seen anybody that has applied for one of their solutions not get funded. The $175,000.00 amount is based on approximately $35,000.00 for each full-time positions and they recognize us as having five full-time positions. RUSSELL R. SIGHTS, City Manager, reported that a letter of request for the netting for the softball fields was received earlier this afternoon and should probably be considered  193 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 separately after the appropriation ordinance has been approved. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the ordinance adopted on its first reading and ordered that it be presented for a second reading at a meeting of the Board of Commissioners. ________________________ REPORT: Request from Henderson Girls Softball Association for additional funding. MAYOR AUSTIN reported that a letter of request with a quote for replacing the safety netting at the girl’s softball fields has been provided. The netting has disintegrated over the course of the last 15 years and there are large holes in it that foul balls get through endangering spectators in the stands. Mayor Austin asked for a motion to approve the request for $6,000.00 as the City’s portion of cost sharing to replace the safety netting/fencing at the Henderson Girls Softball fields. MOTION by Commissioner Jan Hite, seconded by Commissioner X R. Royster, to approve additional funding for the fiscal year ending June 30, 2017 to the Henderson Girls Softball Association in the amount of $6,000.00 as the City’s portion of capital improvements for the replacement/enhancement of backstop fencing for the safety of spectators. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: ________________________ ORDINANCE NO. 40-16: FIRST READ ORDINANCE AMENDING JOB CLASSIFICATION AND PAY PLAN ORDINANCE AMENDING JOB CLASSIFICATION AND PAY PLAN TO COMPLY WITH FEDERAL LABOR STANDARDS ACT (FSLA) BY MAINTAINING THE EXEMPT STATUS OF THE GOLF COURSE MANAGER AND INCREASING HIS ANNUAL SALARY TO THE THRESHOLD OF $47,476; AND CHANGING FOUR (4) POLICE LIEUTENANTS POSITIONS AND ONE (1) RECREATION FACILITIES SUPERVISOR POSITION TO NON-EXEMPT STATUS MOTION by Commissioner Jan Hite, seconded by Commissioner Robert M. Mills, that the ordinance be adopted. MAYOR AUSTIN indicated that this is a result of discussion at the work session relating to the FLSA regulation changes. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: 194 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the ordinance adopted on its first reading and ordered that it be presented for a second reading at a meeting of the Board of Commissioners. ________________________ RESOLUTION 57-16: RESOLUTION AUTHORIZING SUBMITTAL OF GRANT APPLICATION TO THE FEDERAL EMERGENCY MANAGEMENT AGENCY UNDER THE ASSISTANCE TO FIREFIGHTERS GRANT PROGRAM, IN THE AMOUNT OF $82,000.00 WITH A 10% MATCH OF $8,200.00, TO PURCHASE AN EMERGENCY RESPONSE PACKAGE FOR THE FIRE DEPARTMENT, AND ACCEPTING GRANT IF AWARDED MOTION by Commissioner X R. Royster, seconded by Commissioner Jan Hite to approve submittal of the grant application under the Assistance to Firefighters program for an emergency response package which includes a brush skid unit for an existing F250 truck; a UTV brush/medical unit for trail systems and state parks; an emergency response boat for small creeks, state park lakes, and flood waters; and a firefighter turnout gear dryer. SCOTT FOREMAN, Fire Chief, reported that the grant criteria was difficult to match this year; however, they believe they found one area, an Emergency Response Package including a brush skid unit that will be placed on one of the existing 4-wheel drive vehicles that will allow us to fight fire off road. Also in the package is a UTV Brush/Medical Unit that is basically like a 4-wheeler that will be used on our trail systems, the new trail system at Newman Park and Audubon State Park; a small inflatable hand launched Response Boat to be used on creeks, small lakes and flood waters; and a Firefighter Turnout Gear Dryer to shorten the lag time on getting turnout gear cleaned, dried and back in service. RUSSELL R. SIGHTS, City Manager, applauded the Fire Chief and his personnel for looking at alternatives to make our system more efficient. He further indicated that the same applies to Police Chief Stauffer in the analysis that he has made on the 911 system and looking at the alternatives for us to upgrade the system. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the resolution adopted, affixed his signature and the date thereto, and ordered that the same be recorded. /s/ Steve Austin Steve Austin, Mayor ATTEST: November 22, 2016 Maree Collins, City Clerk ________________________ MUNICIPAL ORDER NO. 57-16: MUNICIPAL ORDER APPROVING SALARY INCREASE FOR THE PUBLIC INFORMATION OFFICER (PIO) POSITION TO THE MINIMUM SALARY THRESHOLD FOR AN EXEMPT EMPLOYEE AS SET BY DEPARTMENT OF LABOR REGULATION UNDER THE FAIR LABOR STANDARDS ACT EFFECTIVE DECEMBER 1, 2016 MOTION by Commissioner X R. Royster, seconded by Commissioner Robert M. Mills,  195 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 to adopt the municipal order increasing the Public Information Officer position annual salary to the minimum threshold of $47,476.00 in order to retain exempt employee status. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the municipal order adopted, affixed his signature and the date thereto, and ordered that the same be recorded. /s/ Steve Austin Steve Austin, Mayor ATTEST: November 22, 2016 Maree Collins, City Clerk ________________________ MUNICIPAL ORDER NO. 58-16: MUNICIPAL ORDER APPROVING CHANGE ORDER #2 TO THE CONTRACT BETWEEN THE CITY OF HENDERSON AND DANCO CONSTRUCTION, INC., REGARDING THE CONSTRUCTION CONTRACT OF THE NEW MUNICIPAL SERVICE CENTER, FOR A CREDIT TO THE CITY IN THE AMOUNT OF $13,876.00 MOTION by Commissioner Jan Hite, seconded by Commissioner Robert M. Mills, to adopt the municipal order approving Change Order #2 to the Danco Construction, Inc. Construction Contract for the Municipal Service Center for a credit to the City of $13,876.00. DYLAN WARD, Public Works Engineer, indicated that the project is progressing well and still on schedule to be substantially complete by the end of this year. Hazex is currently working on getting the final grade for the asphalt and the base asphalt is scheduled for next week or possibly the week after depending on the weather. This Change Order #2 for a credit of $13,876.00 includes a multitude of changes necessary as the project has progressed. There is expected to be a final change order to wrap everything up at completion of the project. WILLIAM L. NEWMAN, JR., Assistant City Manager, added that he would like to commend Dylan for a job well done and that the contractor, especially the superintendent, has really worked with Dylan to make the process smoother. The project has not been without issues, but no construction project ever is and these are things that are to be expected. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the municipal order adopted, affixed his signature and the date thereto, and ordered that the same be recorded. /s/ Steve Austin Steve Austin, Mayor ATTEST: November 22, 2016 Maree Collins, City Clerk ________________________ REPORT: Federal court in Texas Issues Nationwide Injunction on the Obama Administration’s Rule for the FLSA. 196 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 DAWN KELSEY, City Attorney, interrupted the proceedings to report that she had just received a text indicating that then minutes ago the Federal Court in Texas had issued a nationwide injunction on the Obama Administration’s rule for the FLSA, which we just took action on. She went on to say, “I don’t know if you all want to rethink any of the actions that you all have taken here tonight as to the PIO position or the ordinance.” Mayor Austin asked if she had a suggestion on how to proceed. Russell Sights indicated that he felt that it best to leave everything in place the way that it was passed until more information is received. Mayor Austin asked if anyone had objection to waiting to find out more and see what happens before taking any further action. There were no objections. APPEARANCE OF CITIZEN: MR. ROSS GUSTAFSON, Sarasota, Florida, relayed that he and his wife were visiting Henderson and wanted to report what a pleasant visit they have had to our friendly town. He indicated that they have had nothing but a pleasant time and that everybody had been helpful. He further hoped that when you visit Sarasota they can do as well. CITY MANAGER’S REPORT: RUSSELL R. SIGHTS, City Manager, reported he had intended to have our new Executive Assistant, Lynn Drew, introduce her parents that are visiting from Sarasota, Florida, but that her father beat him to the punch. Mrs. Drew then introduced her parents Ross and Claire Gustafson that are visiting for the Thanksgiving holiday. Mr. Sights indicated that he had several things to discuss the first relating to certain funding agreements with Outside Agencies that require an audit and that he had received notification from the humane Society’s auditors that they cannot comply with the Agreement due to some records being inadvertently destroyed during the recent administration transition. The auditor will be able to complete a Balance Sheet Review but not a full audit. It seems that some payroll records are missing and were probably inadvertently destroyed during the reorganization and administration change. It does not seem to have been intentional or done maliciously, just certain payroll records are missing and without them the auditor cannot complete an audit for the 2015 and 2016 years. The Board of Commissioners has the authority to waive the requirement by a motion here tonight and that will allow the Balance Sheet Review and related records and accept that in lieu of the audit for this organization for Fiscal Years 2015 and 2016. Mayor Austin agreed and asked for a motion to approve waiving the requirement for a full audit and approving acceptance of the auditor’s Balance Sheet Review for the Fiscal Years 2015 and 2016. MOTION by Commissioner X R. Royster, seconded by Commissioner Jan Hite, to approve the waiver of the Humane Society providing a full audit for the 2015 and 2016 fiscal years as required in the annual funding Agreement. They will however, forward the auditor’s Balance Sheet Review and related documents as soon as it is available. Further, if the circumstances continue it could result in termination of funding. COMMISSIONER ELECT PATTI BUGG asked that the Board consider whatever action would be necessary to keep the Agreement in force. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: Mr. Sights also reported that the John F. Kennedy Center had received a donation of a  197 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 United States flag from the Reverend David Petrie to be installed inside the center. Mr. Sights further reported that the clinic for city employees will open at the Second Street Methodist Hospital Clinic Facility on Tuesday, January 3rd, 2017. He indicated that this has been a long time coming and we are excited to finally see it open. He then wished everyone a happy Thanksgiving. ________________________ EXECUTIVE SESSION: Litigation MOTION by Commissioner X R. Royster, seconded by Commissioner Robert M. Mills to go into Executive Session pursuant to the provisions of KRS 61.810 (1) (c) for the discussion of pending litigation on behalf of the city. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: ________________________ MEETING RECONVENED: MOTION by Commissioner Robert M. Mills, seconded by Commissioner Jesse Johnston, the Board of Commissioners reconvened in regular session. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: ________________________ RESOLUTION 58-16: RESOLUTION AUTHORIZING INSTITUTION OF PROCEEDING UNDER EMINENT DOMAIN ACTION FOR KENTUCKY AGAINST H. JOSEPH BANNA AND LEWELLYN S. BANNA FOR PROPERTY LOCATED AT 2458 JAMESTOWN DRIVE FOR A HENDERSON WATER UTILITY EASEMENT MOTION by Commissioner X R. Royster, seconded by Commissioner Jesse Johnston to authorize the institution of proceeding under the Eminent Domain Action of Kentucky against H. Joseph Banna and Lewellyn S. Banna for property located at 2458 Jamestown Drive for a Henderson Water Utility Easement in order to upgrade the Myrene Drive Sewer Pump Station and the associated force main from that station known as the Myrene Drive Force Main Project. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WHEREUPON, Mayor Austin declared the resolution adopted, affixed his signature and 198 CITY OF HENDERSON – RECORD BOOK Record of Minutes of A Regular Meeting on November 22, 2016 the date thereto, and ordered that the same be recorded. /s/ Steve Austin Steve Austin, Mayor ATTEST: November 22, 2016 Maree Collins, City Clerk ________________________ MEETING ADJOURN: MOTION by Commissioner Robert M. Mills, seconded by Commissioner X R. Royster, to adjourn the meeting. The vote was called. On roll call, the vote stood: Commissioner Johnston --- Aye: Commissioner Hite -------- Aye: Commissioner Royster ---- Aye: Commissioner Mills ------- Aye: Mayor Austin --------------- Aye: WITHOUT OBJECTION, Mayor Austin declared the Meeting adjourned at approximately 7:00 p.m. ___________________________ ATTEST: Steve Austin, Mayor December 06, 2016 ______________________ Maree Collins, City Clerk