Board of Mayor & Aldermen

CITY OF HENDERSONVILLE BOARD OF MAYOR AND ALDERMEN February 25, 2025, at 7:00 p.m. 101 Maple Drive North, Hendersonville, TN 37075 Pages I. Call to Order by the Mayor II. Acceptance of Agenda III. Presentations A. Presentation of Information Regarding the Countywide Cleanup Day by Kathy Paschal IV. Public Hearing V. Minutes A. Approval of February 11, 2025 BOMA meeting minutes 2-12 VI. Citizens’ Comments VII. Consent Agenda A. Receive and File – Infrastructure Resiliency Plan 13-19 VIII. Ordinances and Resolutions Clary 1. First reading of Ordinance 2025-02, an ordinance amending budget ordinance 20-28 2024-08 to reflect mid-year adjustments to the City’s 2025 Fiscal Year budget Dixon 2. Resolution 2025-06, a resolution amending the membership and duration of “The 29-32 Lakeshore Committee” established by Ordinance 2024-21 IX. Other Agenda Items X. Reports 3. Brief Committee Reports: 1. Finance – Sasse 2. Public Works – Skidmore 4. BOMA Report 33-44 XI. Adjournment 1 Anyone needing accommodations due to disabilities, please contact the ADA Coordinator at 615-822-1016 at least 24 hours prior to the meeting. MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 1 CITY OF HENDERSONVILLE BOARD OF MAYOR AND ALDERMEN MINUTES OF REGULAR MEETING February 11, 2025, at 7:00 P.M. 101 Maple Drive North, Hendersonville, TN 37075 PRESENT JAMIE CLARY, MAYOR MARK SKIDMORE, VICE-MAYOR, ALDERMAN MARK BURGDORF, ALDERMAN RACHEL COLLINS, ALDERMAN KAREN DIXON, ALDERMAN MARK EVANS, ALDERMAN TERRI GOODWIN, ALDERMAN MICHAEL MARTIN, ALDERMAN EDDIE ROBERSON, ALDERMAN JEFF SASSE, ALDERMAN DON WARD, ALDERMAN LANCE WRAY, CITY ATTORNEY ANNETTE HUNTER, CITY RECORDER DESIGNEE ABSENT JANNA GARTON, ALDERMAN BOB GARZA, ALDERMAN The February 11, 2025, BOMA meeting was opened with prayer led by Sam Parsons, Senior Pastor of Community Church. The Pledge of Allegiance was led by Mayor Clary. AGENDA Goodwin moved; Dixon seconded a motion to accept the February 11, 2025, agenda. Clary, as the sole sponsor, withdrew Item #2, Ordinance 2025-02. Goodwin moved; Collins seconded a motion to amend the agenda by adding Resolution 2025-08 & Resolution 2025-09 as Items #1 & #2 respectively. Clary explained the resolutions were emailed to BOMA earlier today and publicized on social media and City Attorney Wray verified with the State that these items could be added to the agenda that were not advertised ahead of time. There was a unanimous vote to approve the amendments to the agenda. Clary declared the motion carried. 2 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 2 There was a unanimous vote to approve the agenda as amended. Clary declared the motion carried. PRESENTATIONS Mayor Clary presented Tre Hargett, Tennessee Secretary of State, joined by his wife Dawn, a proclamation in appreciation of and honoring him as a resident of Hendersonville. Serving as state representative for District 97 in the Tennessee House of Representatives from 1996-2006, he was elected twice as the Republican Leader. He was appointed Chairman of the Tennessee Regulatory Authority serving for one year and continues to serve on numerous boards and commissions. In 2009 he was elected as the 37th Tennessee Secretary of State and in January of 2025, he was reelected. Alderman Roberson added a few remarks and shared memories of his time as Commissioner with the Tennessee Regulatory Authority and working alongside Mr. Hargett who sought his advice when contemplating running for the office of Secretary of State. Roberson feels elections in Tennessee have never run smoother since Mr. Hargett has been Secretary. Roberson extended appreciation on behalf of the City of Hendersonville for Secretary Hargett’s service, and their friendship and respect for the job he is doing as Secretary of the State. Secretary Hargett thanked the Board for taking a moment out to bestow the recognition on him and his wife. They are proud to be residents of Hendersonville and chose to reside in Hendersonville many years ago, mainly because the people here are “real”. They continue to reside in the city because of the good leadership and what all the community has to offer. He enjoyed meeting members of the Board which aided in putting faces to names he’s seen in the paper. Clary asked Secretary Hargett to share where Tennessee ranked in election integrity. Secretary Hargett shared that The Heritage Foundation has ranked Tennessee first, three years in a row. Director Free of the Planning Department introduced J. Ritterbeck, Economic Development and Community Planner who presented a walkthrough of items he is working on with the City’s economic development outlining the projects and efforts being made throughout the City. He shared he actively works on strengthening partnerships with regional and statewide entities he interacts with, developing relationships with them and taking advantage of opportunities for funding, seminars and data made available. He shared information regarding the Sign Grant Program. BOMA allocated funds (grant money) to be used to help business, primarily along the West Main corridor, to reduce the number of non-conforming pole signs replacing them with monument style signs. Four businesses have taken advantage of the grant with sixteen others applying and approved up to the $10,000.00 limit each, earmarked for reimbursement when their signs go up. A total of twenty-four pole signs have been removed from the corridor with a couple more off side streets from West Main. The status of the remaining poles and those that have been replaced have been indicated on G.I.S. mapping. There are approximately 200 pole signs throughout the Hendersonville community with the highest concentration being along West Main. Data Analysis is the third point made and how data has become a large integral part of information-based decisions. The City has contracted with Placer.ai, an artificial 3 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 3 intelligence based program to track cell phone movement to be integrated into data that can be shared and analyzed. For example, it has been used to gather data where people visit in Hendersonville, use the retail services and go for recreation, to see where they are coming from and to follow trends over a three-year period. The impact of a single store can be analyzed to determine how it affects similarly already operating stores. Data can also be used to see where people are going to from Hendersonville and the type of goods they are going after to help determine what kind of retail services are being lost out on which in turn helps to know what type of businesses to recruit. Lastly, there are ongoing ECD efforts in which conversations have been had with very specific companies by sharing vacant building and vacant land opportunities. There are some large developments that are in the process of going before the Planning Commission soon and then on to BOMA. Roberson inquired about potential plans for the use of the former location of Fortune House on West Main as it is prime property in the City. Ritterbeck shared that Fortune House was in the process of relocating and currently moving through the Planning Department. The Big Play property is one big development with a couple of developers interested with preliminary plans that are being worked on. Ritterbeck shared there was a lot of interest in the West Main properties and he is very thankful for the Westlake Plan to aid in thoughtful development of the area. Dixon extended her appreciation of the presentation and noted that the Board was there to assistance him. PUBLIC HEARING None MINUTES Sasse moved; Ward seconded a motion to approve the January 28, 2025, BOMA Meeting minutes. There was no discussion. There was a unanimous vote to approve the minutes. Clary declared the motion carried. CITIZENS’ COMMENTS The guidelines were read by Mayor Clary. Kimberly Overton of 104 Glen Oak Court West addressed the Board in support of the increase in pay for police employees but asks that the fighters not be left out. She referenced Ordinance 2004-24 which states “similarly classed positions within the City are to have the same rates of compensation”. She feels with the difference between the rates of increase between the Fire and Police questions whether this ordinance is being followed. She feels the difference in increases in pay will create disparity between the two 4 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 4 departments’ employees and asked that policies not be allowed that would potentially pit departments against each other. She referenced statements she has heard made by citizens who feel the Police should receive the raise because Fire has received new stations and equipment. While statements are true of new stations and equipment, essential equipment should not be considered part of employees’ compensation. She expressed her support for funding the bridge retirement program for Fire and Police, as studies reflect shorter life expectancy from physical and emotional demands and exposures. If the pay increases can’t be funded at this time, she suggested the bridge program be funded with the salaries already budgeted for vacant First Responder positions instead of returning the money to the General Fund. She also posed the idea of an educational workshop for First Responders to understand all the bridge program offers and be able to make informed decisions about their future. Chris Gonzales of 120 Ruland Circle addressed the Board by thanking them for their service and what they do for the City. As a former Captain of House 3, Mr. Gonzales made the decision to leave firefighting a couple of years ago due to family matters. He supports both Fire and Police. He emphasized the risks and stressors of First Responder jobs on the families as well as the employee, even though it is a choice of an individual to pursue that type of career. He stated that equipment should not be viewed as compensation; it is a cost of doing business. Now being a citizen, he supports pay increases for Police and Fire as well as the bridge to retirement program. The goal is to hire the best qualified and maintain those hired. Frank Pinson of 166 Ashland Point addressed the Board regarding the Fire and Police. While these careers were chosen, they should be shown the value of their service. Well trained personnel are highly sought after. He stated the pay should be comparable to surrounding cities and towns. He stated that salary is important, but it’s not the sole reason people choose to vacate positions. He stated work-life balance, inability to advance, and working conditions are some of the reasons people leave positions. He feels the Police Department needs a new building. He asked that the bridge supplemental medical program be explored for all safety personnel. He feels the increases and the program will help with recruitment and retention. Darlyn Farris of 109 Elissa Drive addressed the Board regarding public safety employees. She feels salaries are the most important consideration of employees. She has firsthand knowledge from formerly working with police officers that some had to get extra jobs. She is in favor of increased compensation so extra jobs are not needed to enable them to get rest to be at their very best mental and physical capacity while doing their job. Charlena Aumiller of 143 Ruland Circle addressed the Board regarding the budget amendment and her perception of a potential bidding war with the First Responders. She referenced when the County Commission gave raises at mid-year, they looked at line items as they do not have pay scales. She feels a blanket increase will not fix the problems and could create unintended consequences. Stating whether it is unintended or intended, the large increase in police salaries will cause Fire employees and their families to feel slighted. While she supports public safety being properly funded, she suggested the situations need to be looked at as a whole to solve the problems that exist. She mentioned in the January 28, 2025, Finance Committee Meeting, the Hotel/Motel tax was reported as 5 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 5 being a little low and remembers seeing an article in the newspaper that the City did not receive the cross-country match and wants to make sure the budget is reflective of any changes of any conferences that would be held here. She also spoke about the Mutual Aid agreements that were added to the agenda. She attended the Volunteer Fire board meeting last night and suggested recognizing the difference in powers of the two parties. She suggested explaining the clauses as the volunteer agencies did not have the resources to spend on having a lawyer look over the agreement. She stated the law has changed from when the City’s insurance issue was raised in 2023. She suggested looking into the possibility of having training incorporate volunteer fire departments as Hendersonville’s training is second to none. She noted the Civitan basketball tournament playoffs are being played this weekend and encouraged attendance and support. CONSENT AGENDA None ORDINANCES AND RESOLUTIONS The caption was read for Resolution 2025-08, a resolution authorizing the mayor to enter into an Interlocal Agreement of Mutual Aid Assistance with Shackle Island Volunteer Fire Department for City Fire Department services. Goodwin moved; Dixon seconded a motion to approve Resolution 2025-08. Goodwin stated the Public Safety Committee discussed the resolution at tonight’s meeting and sent it to BOMA with a positive recommendation. Chief Bush, Mayor Clary, and Attorney Wray were favorable with the contents of the agreement. Roberson moved; seconded by Dixon, to change the length of both agreements from one (1) year to two (2) years found in item #9 of the Interlocal Agreement. Sasse stated he was fine with two (2) years for Number One Volunteer Fire but would like to stick with one (1) year for Shackle Island Volunteer Fire for this first agreement. Perhaps the length could be changed at the renewal of the agreement next year. Burgdorf stated he would like to see it extended to five (5) years. Roberson explained his reasoning for keeping it at two years due to county growth and wanting to monitor the activity and expense and see if there were any changes that come to light that may need to be addressed in the future within the renewal. He first agreed with Sasse on keeping the Shackle Island agreement at one year, but then citing the potential cumbersome language, he decided to leave his amendment at two years. Sasse respectfully disagreed with Roberson citing his thoughts that the option to cancel the agreement are not the same as a renewal. He inquired whether the Shackle Island agreement could initially be for a year with language inserted into this contract that it would automatically renew every two (2) years unless notice is given. 6 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 6 City Attorney Wray replied that term would not have any effect other than what is proposed within the current agreement. He added that having terms such as Sasse proposed could make it more difficult to keep up with as a renewal takes planning in advance to create a resolution, take it to committee and then to BOMA. Sasse inquired whether Shackle Island had been spoken to about extending it to two (2) years. Clary responded that he had spoken to Steve Frost of the Shackle Island Board of Directors and they seem willing to sign an agreement like the one the City has with Number One Volunteer Fire, but he would be voting against the two (2) year amendment as he doesn’t want to be accused of a bait and switch scenario, even though he doesn’t think that is what is going on. The Volunteer Fire Board of Directors met last night and reviewed the agreement as it appears before BOMA tonight and are expecting BOMA to pass what is before them. Clary stated if the Shackle Island agreement was changed tonight, he feels like the Number One agreement should be changed as well. Clary feels confident that a two-year agreement was not discussed last night. Sasse asked Chief Bush if there had been discussions with Number One Volunteer Fire Department regarding a two-year agreement. Chief Bush stated there had been discussions, but not necessarily about the two (2) years. He and COO Eckenroth had discussed possibly leaving the agreement open-ended with the 60-day option for either agency to opt out. Chief Bush agrees with Mayor Clary that if one agreement is changed, they both need to be changed. Sasse suggested it be discussed next year ahead of the expiration date with the possibility of extended terms or being open-ended. Attorney Wray added that the agreements before the Board tonight were the exact agreements as last proposed except for the deadline of execution being removed and changing the date from 2023 to 2025. Ward stated he prefers to stick to the one-year term. Roberson and Dixon withdrew the motion to amend and second. Collins asked for the agreements to be put on the screen for those viewing the meeting now or later as well as asking Communications Manager LaMarr to please make sure they were placed on the City’s website so citizens can view them. There was a unanimous vote to approve Resolution 2025-08. Clary declared the motion carried. The caption was read for Resolution 2025-09, a resolution authorizing the mayor to extend Interlocal Agreement of Mutual Aid Assistance with Number One Volunteer Fire Department for City Fire Department services. 7 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 7 Collins moved; Goodwin seconded a motion to approve Resolution 2025-09. There was no discussion. There was a unanimous vote to approve Resolution 2025-09. Clary declared the motion carried. The caption was read for second reading of Ordinance 2025-01, an ordinance amending the Hendersonville Municipal Code Title 4, Chapter 3, Section 4.303 approving the repositioning of field training responsibilities within the Hendersonville Police Department. Goodwin moved; Dixon seconded a motion to approve Ordinance 2025-01. Goodwin stated the ordinance passed the Public Safety Committee with a positive recommendation. There was no discussion. There was a unanimous vote to approve Ordinance 2025-01. Clary declared the motion carried. The caption was read for Resolution 2024-48, a resolution to adopt amendment to the Revised Field Use Policy in City Parks as recommended by the Board of Parks and Recreation. Goodwin moved; Sasse seconded a motion to approve Resolution 2024-48. There was no discussion. The motion to approve Resolution 2024-48 passed unanimously. Clary declared the motion carried. The caption was read for Resolution 2025-02, a resolution accepting the dedication of the completed street in Waterford Village, offsite connection to existing Lakeside Park Dr in Hendersonville, Sumner County, Tennessee. Martin moved; Skidmore seconded a motion to approve Resolution 2025-02. Martin shared the owner of Parkside Waterford LLC and developer Parkside Builders formally requested the streets and bridge in Waterford Village, offsite connection and existing Lakeside Park Drive be accepted. The street bridge and drainage have been inspected by the Public Works Director and City Engineer and were found to meet all City specifications. 8 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 8 Skidmore stated the resolution passed at the Public Works Committee meeting last week. He added that historically there were drainage issues in this area and Public Works will be monitoring the area. Skidmore stated he supports the resolution and asked the Board for their unanimous consent of the resolution. The motion to approve Resolution 2025-02 passed unanimously. Clary declared the motion carried. The caption was read for Resolution 2025-03, a resolution authorizing certain traffic and safety improvements using flashing yellow arrows on traffic signals as recommended by current studies and the Manual on Uniform Traffic Control Devices (MUTCD) standards. Roberson moved; Sasse seconded a motion to approve Resolution 2025-03. Collins asked Director Lock to explain how the flashing yellow arrows should be interpreted. Director Lock explained the intent and rules for flashing yellow arrows adding that studies show that accidents are reduced when this signal option is used. She further explained that this option gives the Traffic Engineer more flexibility in managing traffic control. With the new controllers in place, there are many more functions available to help with traffic control and management with the proper equipment installed allowing them to utilize those functions. The cost would be approximately $1,000.00 per signal head and staff has the ability to install. Collins inquired to the number of intersections that may be able to use the flashing yellow arrow function. Director Lock stated that almost all intersections have the opportunity to add that functionality. There are some intersections that may not allow the option due to traffic patterns. Martin noted with the new traffic engineer on staff, these are the types of things that can be implemented by his observations and experience which will offer additional improvements that can be brought to the Board. Goodwin shared her research in which she found there were not many surrounding cities currently using the flashing yellow arrows stating that what she read indicated people used it to go through the light before it turned red, asking if those increased accidents. Director Lock stated that studies do show less accidents for cities that use this option. Evans verified the cost of $1,000.00 per signal, meaning a total for an intersection could range from $2,000.00 - $4,000.00. Director Lock stated the implementation would be done in phases as the budget allows. Intersections will be prioritized funded by the current traffic signal maintenance and repair budget. She does not anticipate a full implementation that could require a specific project amendment. 9 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 9 Dixon inquired about a yellow and red-light scenario with Director Lock explaining that there will never be an instance of a light being yellow and red at the same time, further explaining the difference between a solid yellow light and a flashing yellow light. Dixon also wanted to make sure that the City was not creating a new law by adding this option. Director Lock stated the addition of the flashing yellow arrows was adopted years ago through the MUTCD. She added that the cities of Goodlettsville and Mt. Juliet have implemented the use. There was a majority vote of nine (9) to two (2) approving Resolution 2025-03. Aye: Burgdorf, Collins, Evans, Martin, Roberson, Sasse, Skidmore, Ward, and Clary Nay: Dixon and Goodwin Absent: Garton and Garza Clary declared the motion carried. OTHER AGENDA ITEMS None BRIEF COMMITTEE REPORTS General-Garza-Report Given by Vice-Chair Dixon • Met February 11, 2025 • Discussed Resolution 2025-06, A Resolution amending the membership and duration of “The Lakeshore Committee” established by Ordinance 2024-21. Dixon reported when BOMA established the committee, she asked that the number of members be reduced from twelve (12) to five (5). After seeing the amount of interest to participate on the committee, she will now be asking to increase the number of members from five (5) to nine (9), with five (5) members being appointed by BOMA and four (4) members being mayoral assignments. The resolution passed the committee with a positive recommendation. • Discussed Resolution 2025-07, a Resolution to adopt a Decorative Street Sign Replacement Grant program. This is in the beginning stages and there were lots of questions so it was deferred to the next BOMA meeting to get questions answered. • Discussed possible changes to restrictions on funds in the tree bank. There is currently $364,000.00 in the fund and there is discussion to see if there can be an expansion on the way to use the fund. Public Safey – Goodwin • Met February 11, 2025 • Discussed Resolutions 2025-08 and 2025-09. • There were seven other items discussed that may or may not come to the Board. 10 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 10 Planning – Martin Approved the following Site Plans: • Farmers Bank – 197 Indian Lake Blvd. • Futbol5 – 240 Innovation Way • Innovation Industrial – 230 Innovation Way – 100,000 sq. ft. bldg. Approved the following Final Plats: • Patsy Curtis Property – 300 Walton Ferry Rd. Approved the following Concept Plans: • Veterans Park Pump Track – Concept Plan – being funded through a grant Staff-level Projects, Approved: • Front Porch & Whataburger Parking Lot Addition • Harbor Hills Lot Sec 2 & Lot 60 & 61 • Hidden Point Phase 2 & 5 Lot 2 & 3 Consolidation • Indian Lake Forest Section 1 Lot 30 & 31 Resub • Nokes Addition • TriStar Hendersonville Medical Center Parking – $65 million dollar investment Staff-level Projects, Pending: • Anderson Harris Lot 1 & 2 • Broken Paddle Outfitters Outbuilding • Hendersonville Football Stadium • Walmart #1376 Remodel • Planning Director Comments: Director Free shared In and Out Burger has submitted a Plan. BOMA Report-Eckenroth • Recognized J.P. Finnegan for his contribution to The Transportation Capital Improvement Plan as he was instrumental in creating the heat maps and all the data that gets aggregated into the plan. • The flashing yellow arrows resolution was brought to BOMA to spread awareness. It will be put on social media with some short tutorials to help in understanding how they work. • Sales Tax is up 9% over the year. • Investment earnings are down from last year, but that was anticipated and are coming in higher than the expected decline so there is more proposed investment of revenue in the midyear budget. • The General Fund Operating Expenditures are down 2.5% year-to-date. • The increase in the police calls for service is due to adding internal calls to the statistics, such as when an officer stops to help a citizen change a tire or give some aid not dispatched for. Fire calls are up 2% from last year. • LPR contacts graph recognizes anytime there are blue lights on a stolen vehicle. Year to Date there have been 42 lights on stolen vehicles throughout the City. • Residential permits are down for the month but up for Year to Date. January 2025 is the lowest in three years. • Commercial permits are down as well. • Lots of events happening in Parks. 11 MINUTES OF REGULAR MEETING FEBRUARY 11, 2025 PAGE 11 • The Drakes Creek at Stop 30 project has eleven (11) accepted offers. The right of way is still being finalized and working through environmental documents that require updates, moving on to construction after those are worked through, hopefully breaking ground by the end of the year. • The Employee Innovation Program was highlighted with updates on some items. • Evans inquired whether there had been thoughts of putting budget tracking in the reports since there are references to the budget within the report and inquired why were expenditures so high in June. Eckenroth stated that tracking has not been included due to Budget to Actual potentially not being as reflective as the graphs because it depends on what happens when and might not run as evenly as salaries and benefits. • Martin inquired if there was any particular reason why the residential permits were down. Eckenroth responded just less activity; there was nothing specific he was aware of. • Roberson requested two additional matrices be included in the BOMA report; one for the PIPP fund (1/2 cent sales tax) and an activity report from the Fire Department of calls the City responded to for requested assistance from the Volunteer Fire Departments. • Burgdorf inquired of the status of stalled projects, specifically Big Play and TBN. Clary responded that Eckenroth and Ritterbeck would be best able to respond but might have to get back with him as they may not have information available off the tops of their heads. Upon motion by Burgdorf and second by Martin there was a unanimous vote for approval to adjourn. Clary declared the meeting adjourned at 8:34 p.m. Approved: Jamie Clary, Mayor Attest: Tamara Ingersoll, City Recorder 12  2025 Infrastructure Resiliency Plan CITY OF HENDERSONVILLE SARAH LOCK CITY OF HENDERSONVILLE | 101 Maple Drive North 13 Infrastructure Resiliency Plan Infrastructure resilience is the ability to reduce the magnitude and/or duration of disruptive events. The effectiveness of resilient infrastructure or enterprise depends upon its ability to anticipate, absorb, adapt to, and/or rapidly recover from a potentially disruptive event. TRAFFIC CONTROL & SIGNALS Generator Backup Connections for Cabinets Generator backup connections for cabinets are considered a high priority for multiple intersections and will allow Police to connect generators to allow intersections to operate in the event of power loss. This redundancy within the traffic signal network mitigates safety concerns for Police staff that would typically be responsible for directing traffic during a power loss event, sometimes through the night hours. These resources can be reprioritized by the Police to address other issues throughout the City. Priority intersections have been identified and three intersections have been retrofitted in 2024. All new intersections shall be designed and constructed to have the appropriate generator backup connections. Hazard Mitigation Grants may be an option to cover costs associated with these installations as well. Stock Spare Components Public Works staff will prioritize the stock of spare cabinets, controllers, signal heads, wiring, detection cards, detection components, conflict units and any other relevant components. This will allow the City to recover from damage or loss faster than relying on market availability. Components will be purchased as budget permits. Traffic Control Signage Additional traffic control signage will be stocked to ensure sufficient stop signs and closed roadway signs are available in the event of an emergency or disaster. This will also include additional cones. Battery Backup or Capacitor Installations Battery backups or capacitor installations for traffic signals can be effective in short-term power disruption events in allowing traffic signals to continue operating for hours on reserve power. The cost per intersection is approximately $16,000 for batter backups and $6,000 for capacitors so the budgeted priority for these as retrofits is considered low. All new signalized intersections shall be designed and constructed to include one of the power reserve products. Redundant Timing Storage Intersection timing plans shall be stored with redundancy via paper copy in cabinets in addition to the timing database contained within the centralized system. The redundancy will allow staff to quickly reprogram a new controller in the event of a total loss or power outage to get the intersection operational as quickly as possible. Preventative Maintenance Prioritizing preventative maintenance for traffic signals at least twice a year proactively ensures signals are operating appropriately and can help minimize downtime in the event of emergencies. Additionally, this allows staff to have an accurate log of existing equipment in the event of a total loss. 14 Emergency Response: Staff & Contract Priority will be placed on training staff for emergency response to enable the City to be efficient and responsive to issues that arise. Where staffing level or experience is insufficient, on-call contract for traffic signal maintenance will be utilized to fully address traffic signal issues in the event of an emergency or disaster. ROAD NETWORK Winter Weather Response Public Works will continue to request funds for additional dump trucks, snowplows, and salt to maximize efficiency in responding to snow and ice events. Depending on the City’s desired level of service in response to occasional extended ice events, additional staff may be needed as well. Purchase Additional Limb Truck(s) and Chain Saws The Public Works Department will continue to prioritize the purchase of new equipment to provide redundancy, thereby improving resiliency. The purchase of new limb trucks will be a high priority as the current equipment is aged and requires significant maintenance and repair, which translates to service level impacts and loss of dependability. Additionally, as budget allows, staff will prioritize the purchase of additional chain saws with appropriate protective equipment (PPE) for Fire staff to utilize in assisting Public Works clearing roadways of downed trees. Purchase Light Towers Purchasing light towers will provide the necessary on-site lighting in the event of a power loss to utilize chain saws more safely to clear debris from roadways and will also provide needed light for prioritized intersections, as determined by Hendersonville Police Department and/or Public Works. Staff Certifications Public Works staff will continue to be required to complete quarterly training and work toward applicable licensure or certifications. Qualified and experienced staff responsible for maintaining the roadway networks on a daily basis and during and/or after emergency situations are of incredible benefit to the City of Hendersonville’s ability to be resilient and recover quickly from unplanned events. Preventative Maintenance & Repaving Prioritizing preventative maintenance and repaving efforts for the roadway network may help to provide sufficient roadway integrity in the event of an emergency. Emergency Response: Staff & Contract Public Works, Police, Fire and Executive Departments will continue to ensure staff are properly trained and on-call for response to emergency situations and interruptions impacting the roadway network in Hendersonville. This includes removing obstructions from the roadway, directing traffic where needed, hazardous material spill response, etc. Where staffing level or experience is insufficient, on-call contract for will be utilized to fully address roadway or right-of-way issues in the event of an emergency or disaster. 15 STORMWATER Streambank Armoring In areas where streambanks are not well stabilized and/or reflect significant erosion adjacent to public infrastructure, priority will be placed on stabilizing said banks with large rock or other armoring material. If the area of maintenance exceeds 50’ total, permits with minimal design will be required. Flood Buy Outs Flood mitigation grants may be pursued to mitigate flood potential in areas where there is significant flood history and impact to public property or right-of-way. For properties that are listed for Repetitive Loss or Severe Repetitive Loss, Hazard Mitigation Grants may be applied for to buy-out properties, demolish the structure(s) and maintain property as public property. *All property owners or residents that are concerned about the potential for flood damage should visit floodsmart.gov to review and purchase flood insurance through the NFIP. Spill Prevention Control and Countermeasure Plans (SPCC) SPCC plans are required by EPA and TDEC for facilities that are subject to hazardous material spills. The City of Hendersonville currently has these plans in place for public properties that contain fuel pumps, fuel tanks, storage of oil(s), etc. Ensuring these areas are compliant with the most current SPCC guidance reduces the likelihood of hazardous discharges into streams and the lake. Spill Enforcement Plan Spill Enforcement Plan is important to have authority and process in place to enforce cleanup of hazardous material spills. This is important for the Fire Department, as they respond to hazardous material spills, and is important for the Public Works Stormwater staff, who are accountable to the state for reporting and enforcing cleanup of any spills or illicit discharges impacting the Municipal Separate Storm Sewer System (MS4). Asset Management/Maintenance In order to property maintain the stormwater infrastructure and improve resiliency, the Public Works Department is acquiring an Asset Management directory. This will be maintained by Stormwater staff and will detail locations, materials, approximate installation year. The directory will allow staff to identify areas to review for replacement/maintenance in a proactive manner rather than reacting to failed infrastructure. This will also provide ease of data collection for watershed studies to ensure infrastructure capacity is adequate in potential areas of concern. Emergency Response: Staff and Contract Priority will be placed on training staff for emergency response to enable the City to be efficient and responsive to issues that arise. Where staffing level or experience is insufficient, contract(s) will be utilized to fully address issues in the event of an emergency or disaster. 16 FACILITIES Generators In order for City facilities to continue operations and be resilient during or after an emergency event, generators will be prioritized. This will include purchasing new generators for critical facilities that do not currently have generators as well as testing and maintenance of existing. Each department will be responsible for testing and maintenance for the generators they oversee. Hazard Mitigation Grants may be an option to cover some of the cost associated with these installations for facilities that are listed as critical facilities in the county’s Hazard Mitigation Plan. Roof Replacements Public Works staff will inspect City facilities to generate a 5-year maintenance plan, to include roof replacements. It is imperative to have roofs and roof drains that function appropriately for the anticipated storm events in the area. Staff will provide annual review and maintenance of roofs moving forward to ensure maximum service life is realized. For structures that are considered critical infrastructure through the Hazard Mitigation Plan for the county, roof replacements that result in being rated for a higher wind event may be eligible for funding through Hazard Mitigation Grants. These will be sought after when applicable. Preventative Maintenance and Long-term Maintenance Preventative maintenance and long-term maintenance for facilities should be prioritized to mitigate unplanned replacements and to maximize reimbursements from insurance or federal dollars following an emergency situation. These maintenance plans should include annual maintenance and recommended replacement timelines for generators & roofs (mentioned above), HVAC, parking lots, fire suppressions systems, water heaters, windows, plumbing, AED machines, lighting, and other incidentals. *Costs will be updated as plans are completed. Emergency Response: Staff & Contract Priority will be placed on training staff for emergency response to enable the City to be efficient and responsive to issues that arise. Where staffing level or experience is insufficient, on-call contract(s) will be utilized to fully address issues in the event of an emergency or disaster. Additionally, staff will coordinate interdepartmentally to evaluate all existing emergency exit plans and ensure they are all still relevant and up to date on an annual or bi-annual basis. 17  Annual Cost for Item Qty Unit Cost Total Cost 5-year Implementation TRAFFIC CONTROL & SIGNALS Generator Backup 36 $1,700 $61,200 $12,240 Connections Generators 6 $2,600 $15,600 $3,120 Cabinets with 2 $35,000 $70,000 $14,000 Components Signal Heads with 10 $2,000 $20,000 $4,000 Backplates Radar Detection 1 $60,000 $60,000 $12,000 Misc. Components 1 $10,000 $10,000 $2,000 TOTAL $236,800 $47,360 ROAD NETWORK Dump Truck 1 $120,000 $120,000 $24,000 Salt Plows 3 $50,000 $150,000 $30,000 Limb Trucks 3 $225,000 $675,000 $135,000 Chain Saws 6 $1,500 $9,000 $1,800 Light Towers 3 $2,000 $6,000 $1,200 TOTAL $960,000 $192,000 STORMWATER 18  Annual Cost for Item Qty Unit Cost Total Cost 5-year Implementation Streambank Armoring 10 $30,000 $300,000 $60,000 Update Flood Hazard 3 $80,000 $240,000 $48,000 Maps *Flood Buy Outs 10 $420,000 $4,200,000 $840,000 TOTAL $4,740,000 $948,000 FACILITIES Generators 3 $50,000 $150,000 $30,000 Roof Replacements 4 $45,000 $180,000 $36,000 HVAC Replacements 51 $15,000 $765,000 $153,000 Fire & Safety Alarm 2 $30,000 $60,000 $12,000 Systems Miscellaneous 17 $35,000 $595,000 $119,000 Maintenance TOTAL $1,750,000 $350,000 PLAN TOTAL $7,686,800 $1,537,360 *Flood Buy Outs would potentially be funded through Hazard Mitigation Grant funding for properties that have repetitive flood damage history as reported through NATIONAL FLOOD INSURANCE PROGRAM. These are typically funded at 75%, with severe repetitive loss projects funded at 90%. 19  ORDINANCE 2025-02 Sponsor: Clary AN ORDINANCE AMENDING BUDGET ORDINANCE 2024-08 TO REFLECT MID- YEAR ADJUSTMENTS TO THE CITY’S 2025 FISCAL YEAR BUDGET WHEREAS, on June 11, 2024, the City’s governing body passed Ordinance 2024-08 (the “Budget Ordinance”) adopting the City’s operating budget for Fiscal Year 2025; WHEREAS, the Budget Ordinance was based on projected revenues and anticipated expenditures for Fiscal Year 2025; WHEREAS, there have been over six (6) months of actual revenue, expenditure activity and other adjustments, and the City desires to amend the budget ordinance mid-year to reflect this activity and these adjustments: NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF MAYOR AND ALDERMEN OF THE CITY OF HENDERSONVILLE, TENNESSEE, that the City’s Fiscal Year 2025 Budget Ordinance, Ordinance 2024-08, is hereby amended in accordance with the mid- year budget adjustments set forth in the attached Exhibit A. This ordinance shall take effect on the earliest date allowed by law. First Reading: ______________________ Second Reading: APPROVED: JAMIE CLARY, Mayor ATTEST: ___________________________________ TAMARA INGERSOLL, City Recorder APPROVED AS TO FORM: ____________________________________ LANCE A. WRAY, City Attorney 20  LEGISLATIVE HISTORY Ordinance 2025-02 Sponsor: Clary Committee: Finance Date of Committee Meeting: January 28, 2025 Committee Recommendation: No First BOMA Reading: February 11, 2025-Withdrawn by Sponsor First BOMA Reading: February 25, 2025 21  EXHIBIT A BUDGET AMENDMENT WORKSHEET Requested Requested Use of Fund Current Expenditure Revenue Balance / Adjusted Fund Account Name Budget Amendment Amendment Reserves Budget Notes REVENUES 1 General Fund LOCAL OPTION SALES TAX $ 20,875,000 $ 1,355,000 $ 22,230,000 Based on monthly analysis 2 General Fund WHOLESALE BEER TAX $ 1,200,000 $ (100,000) $ 1,100,000 Based on actual receipts 3 General Fund WHOLESALE LIQUOR TAX $ 850,000 $ (50,000) $ 800,000 Based on actual receipts 4 General Fund MIXED DRINK TAXES $ 350,000 $ 15,000 $ 365,000 Based on actual receipts 5 General Fund MINIMUM BUSINESS TAX $ 1,785,000 $ 15,000 $ 1,800,000 Based on YE estimates similar to prior year 6 General Fund STATE SALES TAX $ 7,250,000 $ 550,000 $ 7,800,000 Based on monthly analysis 7 General Fund SPORTS BETTING REVENUE $ 100,000 $ 20,000 $ 120,000 Based on actual receipts 8 General Fund PARK & RECREATION CHARGES $ 360,000 $ 40,000 $ 400,000 Based on actual receipts 9 General Fund INTEREST EARNINGS $ 1,000,000 $ 130,000 $ 1,130,000 General Fund portion based on monthly analysis 10 General Fund TOWER INCOME $ 54,000 $ 6,000 $ 60,000 Based on actual receipts 11 General Fund SALE OF EQUIPMENT $ 50,000 $ 50,000 $ 100,000 Auction of older vehicles and equipment 12 General Fund INSURANCE RECOVERIES $ 750,000 $ 120,000 $ 870,000 For remaining flood items 13 General Fund CONTRIBUTIONS - PARKS SPONSORS $ 25,000 $ 50,000 $ 75,000 Received from anonymous citizen 14 General Fund CONTRIBUTIONS & DONATIONS $ 83,400 $ 6,000 $ 89,400 $1,000 from Ice Machine vendor for Parks and 15 General Fund CONTRIBUTIONS & DONATIONS $ 20,000 $ 6,000 $ 26,000 From Pigfest and Kristen Weigel Photography 16 General Fund US TENNIS ASSOC GRANT $ - $ 13,800 $ 13,800 Grant from USTA OPERATING EXPENDITURES 17 General Fund SALARIES - EXECUTIVE $ 360,463 $ 1,000 $ 362,963 18 General Fund SALARIES - FINANCE $ 930,000 $ 4,500 $ 934,500 19 General Fund HR - SALARIES $ 230,000 $ 1,500 $ 231,500 20 General Fund IT - SALARIES $ 547,750 $ 2,500 $ 550,250 COLA - 1% for all employees plus 10% for Police 21 General Fund ADMIN. SERVICES - SALARIES $ 323,645 $ 3,000 $ 325,145 Officers through Sergeants, 7.5% for Police 22 General Fund PLANNING - SALARIES $ 718,500 $ 4,000 $ 722,500 Lieutenants and 2.5% for Police Commanders, 23 General Fund CODES - SALARIES $ 793,000 $ 4,000 $ 797,000 Assistant Police Chief and Police Chief 24 General Fund POLICE - SALARIES $ 11,565,000 $ 501,000 $ 12,066,000 25 General Fund FIRE - SALARIES $ 9,354,251 $ 49,000 $ 9,403,251 26 General Fund PUBLIC WORKS - SALARIES $ 1,300,000 $ 8,500 $ 1,308,500 27 General Fund PARKS - SALARIES $ 1,264,300 $ 8,500 $ 1,272,800 28 General Fund PARKS - PART TIME SALARIES $ 250,000 $ 80,000 $ 330,000 Additional programs/leagues 29 General Fund FIRE - OVERTIME SALARIES $ 90,000 $ 130,000 $ 220,000 30 General Fund EXECUTIVE - PROFESSIONAL SERVICES $ 34,500 $ 20,000 $ 54,500 Lobbyist 31 General Fund PLANNING - OTHER PROFESSIONAL SERVICES $ 387,580 $ 15,000 $ 402,580 W. Main Street beautification renderings 32 General Fund IT - COMPUTERS $ 491,967 $ 45,272 $ 537,239 Software for traffic engineer & Civic 311 33 General Fund CENTRAL SERVICES - OTHER PROFESSIONAL SERVICES $ 53,975 $ 20,000 $ 73,975 FEMA consultant for tornado and flood claims 34 General Fund CENTRAL SERVICES - OTHER PROFESSIONAL SERVICES $ 457,500 $ 100,000 22 $ 557,500 Additional items to be claimed to FEMA  EXHIBIT A BUDGET AMENDMENT WORKSHEET Requested Use of Fund Current Revenue Balance / Adjusted Fund Account Name Budget Requested Expenditure Amendment Amendment Reserves Budget Notes 35 General Fund CENTRAL SERVICES - BEAUTIFUL HENDERSONVILLE $ 10,500 $ 2,500 $ 13,000 Electrical work that wasn't complete last FY 36 General Fund CENTRAL SERVICES - MUNICIPAL BINS & ROLL OFF $ 55,000 $ 40,000 $ 95,000 Increase cost for roll off bins 37 General Fund PUBLIC WORKS - R&M TRAFFIC LIGHTS PARKING OTHER $ - $ 25,000 $ 25,000 Upgrade and optimize system 38 General Fund PARKS - MAINTENANCE OF PARKS $ 268,200 $ 13,800 $ 282,000 USTA grant for tennis facility improvements 39 General Fund PARKS - MAINTENANCE OF MMPL $ 44,567 $ 26,000 $ 70,567 40 General Fund PARKS - INMATE CREW EXPENSE $ - $ 10,000 $ 10,000 41 General Fund PARKS - RECREATION - OTHER $ - $ 12,000 $ 12,000 Kids Bicycle Camp 42 General Fund PARKS - SPONSORSHIP - MISC PROJ $ - $ 50,000 $ 50,000 Donation for Parks projects 43 General Fund PARKS - ASSETS $7,000 AND UP $ 77,804 $ 20,500 $ 98,304 John Deer 1200A Bunker and Field Rake 44 General Fund PARKS - SANDERS FERRY PARK UPGRADES $ 28,803 $ 1,000 $ 29,803 Donation from Ice Machine vendor 45 General Fund FIRE - VEHICLE MAINTENANCE $ 195,000 $ 185,000 $ 380,000 46 General Fund FIRE - EMERGENCY GEAR $ 85,000 $ 50,000 $ 135,000 47 General Fund FIRE - ELECTRICITY $ 62,000 $ 12,000 $ 74,000 48 General Fund FIRE - WATER $ 18,500 $ 5,000 $ 23,500 49 General Fund FIRE - OTHER OPERATING SUPPLIES $ 50,000 $ 5,000 $ 55,000 Donation for Fire 50 General Fund FIRE - BUILDING MAINTENANCE $ 30,000 $ 10,000 $ 40,000 $ 2,226,800 Total Revenue Increase $ 1,465,572 Total Operating Expenditure Increase $ (42,257) Existing Operating Budget Surplus $ 718,971 Proposed Surplus After Amendment Requested Use of Fund Current Revenue Balance / Adjusted Fund Account Name Budget Requested Expenditure Amendment Amendment Reserves Budget Notes NON-OPERATING EXPENDITURES 51 General Fund TRAFFIC SIGNAL - MAPLE ROW @ E. MAIN $ 389,100 $ 345,900 $ 735,000 52 General Fund CONTINGENCY $ 402,055 $ (200,000) $ 202,055 53 General Fund GREENWAY CALL BOXES $ 11,000 $ (11,000) $ - Moving to PIPP Fund 54 General Fund WALTON FERRY / OLD SHACKLE PROJECT $ 2,200,000 $ 1,100,000 $ 526,929 $ 3,300,000 Fund a portion with Infrastructure Reserves $ 1,245,900 Total Non-Operating Expenditure Increase $0 Use of Unassigned Fund Balance $ 526,929 Use of Infrastructure Reserves $ 718,971 Use of Revenue from Operating Surplus 23  EXHIBIT A BUDGET AMENDMENT WORKSHEET Requested Requested Use of Fund Current Expenditure Revenue Balance / Adjusted Fund Account Name Budget Amendment Amendment Reserves Budget Notes 55 SSA SALARIES $ 896,770 $ 8,000 $ 904,770 1% COLA $ 8,000 Total State Street Aid Expenditures $ (8,000) Increase / (Decrease) to Fund Balance Requested Requested Use of Fund Current Expenditure Revenue Balance / Adjusted Fund Account Name Budget Amendment Amendment Reserves Budget Notes 56 Stormwater SALARIES $ 420,000 $ 4,200 $ 424,200 1% COLA 57 Stormwater OTHER PROFESSIONAL SERVICES $ 200,000 $ 100,000 $ 300,000 SW Ordinance support, high volume reviews 58 Stormwater DRAKES CREEK ROAD IMPROVEMENTS $ 160,229 $ (152,512) $ 7,717 Project not moving forward as designed $ (48,312) Total Stormwater Expenditures $ 48,312 Increase / (Decrease) to Fund Balance Requested Requested Use of Fund Current Expenditure Revenue Balance / Adjusted Fund Account Name Budget Amendment Amendment Reserves Budget Notes 59 PIPP LOCAL OPTION SALES TAX $ 8,500,000 $ 500,000 $ 9,000,000 60 PIPP INTEREST EARNINGS $ - $ 50,000 $ 50,000 61 PIPP PAVING - SIGNED PARTS & SUPPLIES $ - $ 35,000 $ 35,000 62 PIPP INFRASTRUCTURE - SOLAR STREET LIGHTS $ - $ 20,000 $ 20,000 Bonita Parkway 63 PIPP PARKS - DCP PEDESTRIAN BRIDGES $ - $ 145,000 $ 145,000 64 PIPP PARKS - CALL BOXES ON SANDERS FERRY GREENWAY $ - $ 35,000 $ 35,000 $24,000 New funds, plus $11,000 from GF $ 550,000 Total PIPP Fund Revenues $ 235,000 Total PIPP Fund Expenditures $ 315,000 Increase / (Decrease) to Fund Balance 24  Finance Use Only - Account Codes 1 110-000-00000-0000-0000-431600- 33 110-000-41620-0013-0000-525900- 2 110-000-00000-0000-0000-431710- 34 110-000-41620-0013-0000-525900-FEMA 3 110-000-00000-0000-0000-431720- 35 110-000-41620-0013-0000-532900-BEAUT 4 110-000-00000-0000-0000-431730- 36 110-000-41620-0013-0000-530100- 5 110-000-00000-0000-0000-431810- 37 TBD - 526400 6 110-000-00000-0000-0000-433510- 38 110-000-44700-0015-0000-526500- 7 110-000-00000-0000-0000-433595- 39 110-000-44700-0015-0000-526500-15004 8 110-000-00000-0000-0000-434740- 40 110-000-44700-0015-0000-520100 9 110-000-00000-0000-0000-436100- 41 110-000-44700-0015-0000-549200- 10 110-000-00000-0000-0000-436250- 42 110-002-41920-0015-0000-530300- 11 110-000-00000-0000-0000-436330- 43 110-000-44700-0015-0000-594000 12 110-000-00000-0000-0000-436350- 44 110-000-41920-0015-0000-5693700-15045 13 110-002-00000-0000-0000-436700- 45 110-000-42200-0043-0000-526100 14 110-000-00000-0000-0000-436700- 46 110-000-42200-0043-0000-534500 15 110-002-00000-0000-0000-436700-MMPLC 47 110-000-42200-0043-0000-524100 16 110-000-00000-0000-0000-433490-25UST 48 110-000-42200-0043-0000-524200 17 110-000-41300-0011-0000-511100- 49 110-000-42200-0043-0000-532900 18 110-000-41500-0014-0000-511100- 50 110-000-42200-0043-0000-526600 19 110-000-41690-0012-0000-511100- 51 110-000-41920-0033-0000-593900-33037 20 110-000-41690-0016-0000-511100- 52 110-000-41920-0014-0000-530300-CONTI 21 110-000-41690-0017-0000-511100- 53 110-000-41920-0033-0000-580000-33042 22 110-000-41700-0022-0000-511100- 54 110-000-41920-0033-0000-526800-33021 23 110-000-41990-0021-0000-511100- 55 121-000-43190-0050-0000-511100- 24 110-000-42100-0042-0000-511100- 56 416-000-43150-0033-0000-511100- 25 110-000-42200-0043-0000-511100- 57 416-000-43150-0033-0000-525900- 26 110-000-43000-0033-0000-511100- 58 416-000-41920-0033-0000-526800-33013 27 110-000-44700-0015-0000-511100- 59 111-000-00000-0000-0000-431600- 28 110-000-44700-0015-0000-511800- 60 111-000-00000-0000-0000-436100- 29 110-000-42200-0043-0000-511300 61 TBD - 534200- 30 110-000-41300-0011-0000-525900- 62 TBD 31 110-000-41690-0016-0000-536000- 63 TBD 32 110-000-41690-0016-0000-536000- 64 TBD - 580000-33042 25 DATE: February 25, 2025 ORDINANCE/RESOLUTION # Ordinance 2025-02 That the Board of Mayor and Alderman consider SPECIFIC REQUEST/ Ordinance 2025-02, a mid-year budget ordinance, RECOMMENDATION: amending the Fiscal Year 2024/2025 Budget for the City of STAFF Hendersonville. REPORT REPORT PREPARED BY: Tamara Ingersoll, Finance Director BACKGROUND: 1 On an annual basis the city appropriates funds to facilitate the orderly operations of local government services. The city’s budget year, or fiscal year, begins July 1st and ends June 30th. The budget is segregated between multiple funds, the General Fund being the primary fund used for the city’s operations. The General Fund is divided amongst the different departments and functions of the city. Each department within the General Fund in segregated into three groups of expenses: salaries/benefits, assets, and operations. The expense groups have itemized expense accounts (line items) within the group that serve as a budgeting guide, but the budget is ultimately constrained by the total group budget and not by the individual line items. The mid-year budget review serves as a time to review and revise the budget based on 6-months of actual activity and updated projections. DISCUSSION: 2 Fiscal Year 2024-2025 continues to yield revenue growth. The budgeted revenue numbers have been revised to reflect six months of actual revenues and the updated projections for the remaining six months. The revenue projections for the General Fund budget are expected to increase by approximately $2.2 million. The revenue growth is primarily driven by an increase of $1,355,000 in Local Option Sales Tax, $550,000 in State Sales Tax, and various other revenues. The primary additional expenses being proposed with the mid-year review: • Project prioritization 1. Walton Ferry / Old Shackle Realignment 2. Traffic Signal at Maple Row and East Main • Repairs and Maintenance of buildings and equipment • Police officer salary adjustments FISCAL IMPACT: 3 The additional General Fund revenue projections amount to $2,226,800 and the expenditures being proposed with the mid-year review are divided into several categories: • Operating expenses - $1,465,572 • Non-operating expenses - $1,245,900 • Use of reserved fund balance (infrastructure reserve for Walton Ferry realignment) – $526,929 26  O23-03 Staff Report Page 2 The amendments result in a balanced operating budget. The FY25 mid-year amendments will not impact the General Fund Unassigned Fund Balance. General Fund Budget Summary Comparison - Original FY 2025 Budget and Amendments Operating Budget FY2025 - Original Balance as FY2025 Amend Balance After Budget Ord 2024-08 Previously Amended Ord 2025-02 Ord 2025-02 Revenues 63,005,120 63,095,520 2,226,800 65,322,320 Expenditures 62,872,903 63,137,777 1,465,572 64,603,349 Surplus/(Deficit) 132,217 (42,257) 761,228 718,971 Non-Operating Budget (Capital & Special Projects) FY2025 - Original Balance as FY2025 Amend Balance After Budget Ord 2024-08 Previously Amended Ord 2025-02 Ord 2025-02 Revenues 6,606,653 11,106,670 0 11,106,670 Expenditures 15,251,579 19,962,880 1,245,900 21,208,780 Subtotal (8,644,926) (8,856,210) (1,245,900) (10,102,110) PLUS: Project Rebudgets 5,998,861 5,998,861 0 5,998,861 LESS: Use of Infrastructure Reserve 0 0 (526,929) (526,929) Surplus/(Deficit) (2,646,065) (2,857,349) (718,971) (3,576,320) OPERATING and NON-OPERATING FY2025 - Original Balance as FY2025 Amend Balance After Budget Ord 2024-08 Previously Amended Ord 2025-02 Ord 2025-02 Operating - Suplus/(Deficit) 132,217 (42,257) 761,228 718,971 Non-Operating - Surplus/(Deficit) (2,646,065) (2,857,349) (718,971) (3,576,320) Surplus/(Deficit) (2,513,848) (2,899,606) 42,257 (2,857,349) Use of Fund Balance 2,513,848 2,899,606 - 2,857,349 The State Street Aid Fund has minor adjustments that reduce the fund balance by $8,000 and are included in the attached list of budget adjustments. The Stormwater Fund has minor amendments that improve the fund balance by $48,312 and are included in the attached list of budget adjustments. The PIPP Fund also had adjustments including increases local option sales tax revenue of $500,000 and Interest Earnings of $50,000. Also included are increased expenditures for the following: • Replacement of signs in failed condition and the decorative sign project for Westlake • Solar streetlights on Bonita Parkway 27  O23-03 Staff Report Page 3 • Replacement of pedestrian bridges at Drakes Creek Park • Installation of call boxes on the Sanders Ferry Greenway The result of these amendments to the PIPP Fund budget results in an increase in fund balance of $315,000. ATTACHMENTS: 4 Exhibit “A” is attached to Ordinance 2025-02 and itemizes every proposed budget amendment. 28  RESOLUTION 2025-06 Sponsor: Dixon A RESOLUTION AMENDING THE MEMBERSHIP AND DURATION OF “THE LAKESHORE COMMITTEE” ESTABLISHED BY ORDINANCE 2024-21 WHEREAS, on December 10, 2024, the City passed Ordinance 2024-21 that established a special committee known as “The Lakeshore Committee” with the responsibility of studying issues relative to and affecting Old Hickory Lake and its shoreline within the City’s corporate limits, for the purposes including but not limited to the following: a) To provide continuing input to the Board of Mayor and Aldermen and pertinent City officials on issues pertaining to and affecting Hendersonville’s shoreline and lake; and b) To help the Hendersonville community connect with current uses and the long-term vision for Old Hickory Lake while balancing environmental protections, private property rights, and recreational use of the lake and shoreline; WHEREAS, the City desires to amend the membership and duration of the committee: NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF MAYOR AND ALDERMEN OF THE CITY OF HENDERSONVILLE, TENNESSEE as follows: Part One: the Lakeshore Committee membership and duration established by Ordinance 2024-21 is hereby amended as follows: 1) SECTION 2 of Ordinance 2024-21 is hereby deleted and replaced with the following language: SECTION 2: The Committee shall commence its existence on January 7, 2025, and shall exist for a period of one (1) year, ending January 6, 2026. SECTION 2: The Lakeshore Committee shall commence its existence at the date of the final adoption of this Resolution and shall exist indefinitely until such time the Board of Mayor and Aldermen vote to dissolve said committee. 2) SECTION 4 of Ordinance 2024-21 is hereby amended to increase the membership from five (5) to nine (9), five of which to be appointed by the Board of Mayor and Aldermen, and four of which to be appointed by the Mayor to read as follows: SECTION 4: The Committee shall consist of five (5) nine (9) members and not be based on the residing ward due to the circumstance that the Lakeshore Committee is likely to garner interest from folks living in close proximity to lakeshore, as well as from others regularly participating in activities on and around the lakeshore. Members shall be residents of the City of Hendersonville, and whom reside on or in close proximity to the lakeshore; and/or whom regularly participate in activities on and around the lakeshore. Three (3) Five (5) members shall be appointed by the Board of Mayor and Aldermen and two 29  (2) four (4) members shall be appointed by the Mayor. Appointments shall not be required to be Ward specific. The Mayor shall act as liaison to the Committee, or may appoint an Alderman as designee. A staff liaison shall also be assigned. At its first meeting, the Committee will elect a chairman and vice-chairman, secretary and such other officers as the Committee may deem appropriate and necessary. Part Two: The list of Committees provided in Section 2-101(3)(A) of the Hendersonville Municipal Code shall be revised to reflect the addition of the Lakeshore Committee as subsection (o); and the chart of Committees provided in Section 2-101(3)(B) of the Hendersonville Municipal Code shall be revised to reflect the addition of the Lakeshore Committee membership of nine (9). This ordinance shall take effect at the earliest date allowed by law. Adopted this the ____ day of ________________, 2025. APPROVED: __________________________ JAMIE CLARY, Mayor ATTEST: __________________________________ TAMARA INGERSOLL, City Recorder APPROVED AS TO FORM AND LEGALITY: _____________________________________ LANCE A. WRAY, City Attorney 30  LEGISLATIVE HISTORY Resolution 2025-06 Sponsor: Dixon Committee: General Date of Committee Meeting: February 11, 2025 Committee Recommendation: Yes. Recommended to increase the number of members from five (5) to nine (9) with five (5) members being appointed by BOMA and four (4) members being mayoral assignments. BOMA Reading: February 25, 2025 31 DATE: February 25, 2025 ORDINANCE/RESOLUTION # Resolution 2025-06 SPECIFIC REQUEST/ To create a special committee to be known as the RECOMMENDATION: “Lakeshore Committee” STAFF REPORT REPORT PREPARED BY: Jamie Clary, Mayor BACKGROUND: 1 The Lakeshore Committee was created by Ordinance 2024-21 with the responsibility of studying issues relative to and affecting Old Hickory Lake and its shoreline within the City’s corporate limits, for the purposes including but not limited to the following: a) To provide continuing input to the Board of Mayor and Aldermen and pertinent City officials on issues pertaining to and affecting Hendersonville’s shoreline and lake b) To help the Hendersonville community connect with current uses and the long-term vision for Old Hickory Lake while balancing environmental protections, private property rights, and recreational use of the lake and shoreline; DISCUSSION: 2 The original text stated that the committee would exist for only a one (1) year period of time. After further discussion with members of the community, the proposal is to have the Committee exist indefinitely until the Board determines to dissolve the committee by vote. The updated text also adjusts the total number of committee members from five (5) to nine (9). Additionally, the Board of Mayor and Alderman would appoint five (5) members instead of the original three (3) and four (4) members would be appointed by the Mayor instead of the original two (2). FISCAL IMPACT: 3 No fiscal impact. The committee will not have a budget. It will draw from city resources by having a staff liaison as all citizen committees do. 32  Hendersonville Metrics February 2025 FINANCE LOCAL SALES TAX REVENUE July - December, 9.12% 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 December 2024 vs. December 2023 Local Sales Tax = $52,781 in growth Investment Earnings = $99,898 December 2024 vs. $127,572 in December 2023 LOCAL SALES TAX REVENUE July - December, $918,008 from Prior Year 12,000,000 10,000,000 10,980,798 9,888,176 10,062,790 8,000,000 6,000,000 4,000,000 2,000,000 - FY 2023 FY 2024 FY 2025 33  LOCAL SALES TAX & PERMIT REVENUE July - December YTD 9.42% 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 GENERAL FUND OPERATING EXPENDITURES YTD -2.47% 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 - JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 34 PIPP JULY - JANUARY 35 36 PUBLIC SAFETY HFD - CALLS FOR SERVICE July-January, YTD 2.17 % 900 800 700 600 500 400 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 POLICE - CALLS FOR SERVICE July - January, YTD 43.57 % 6,500 6,000 5,500 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 37  CALLS FOR SERVICE, July - January 45,400 40,400 35,400 34,446 30,400 25,400 24,054 23,992 20,400 15,400 10,400 5,400 5,086 4,612 4,712 400 FY 2023 FY 2024 FY 2025 YTD FIRE YTD POLICE HPD - LPR CONTACTS 12 10 8 6 4 2 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2024 FY 2025 38 CODES RESIDENTIAL PERMITS ISSUED COMMERCIAL PERMITS ISSUED July - January, YTD 12.5% July - January, YTD X-29.7 % From Prior Year From Prior Year 600 80 70 500 60 400 50 300 40 30 200 20 100 10 0 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 FY 2023 FY 2024 FY 2025 RESIDENTIAL ACTIVITY 10,000 July - January 9,000 8,000 6842 7,000 6,000 5361 3974 5,000 4,000 3,000 2,000 2140 1,000 1561 1757 0 FY 2023 FY 2024 FY 2025 YTD Permits YTD Inspections 39 PLANNING USE & OCCUPANCY PERMITS ISSUED YTD from Prior Year -15.3% 40 35 30 25 20 15 10 5 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 COMMERCIAL PROJECTS PROJECTS APPROVED YTD APPROVED 70 YTD from Prior Year -27.9% 60 14 22 43 50 12 40 10 31 8 30 35 6 20 4 10 16 2 12 0 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN FY 2023 FY 2024 FY 2025 FY 2023 FY 2024 FY 2025 YTD Residential YTD Commercial 40 PARKS Upcoming Events FEBRUARY EVENT LOCATION TYPE OF EVENT 14-15 Commando Playday Drakes Creek Park HS Softball 15 Bodies 1/2 Marathon Veterans Park Community Event 15 Nashville Men's Rugby Rugby Park Rugby 15 University of TN Rugby Rugby Park Rugby 21-22 Ball on Broadway Volunteer Park Roller Derby 21-22 Kristi Utley Playday Drakes Creek Park HS Softball Feb 28 – Mar 2 Station Camp HS Playday Drakes Creek Park HS Softball Parks Maintenance Staff working through extensive Feb 1-28 winter list Sanders Ferry Boat Ramp closed Feb 1-28 for construction *SANDERS FERRY BOAT RAMP CLOSED STARTING JAN 6 FOR RECONSTRUCTION* 41 PUBLIC WORKS STORMWATER PROJECTS - PAVING (IN LANE MILES) - YTD YTD July - January July - January 25 50 49.26 45 23 20 40 35 15 30 25 25.73 10 20 17 15 5 10 5 0 0 Budgeted Completed Budgeted Completed CAPITAL PROJECTS RIGHT OF WAY (ROW) Property Limits Project Determined Survey Work Appraisals Offers Total Tracts Complete Ordered Complete Ordered Complete Submitted Accepted Walton Ferry / Old Shackle 86 86 86 86 86 86 86 86 Realignment Drakes Creek / Durham Farms 5 5 5 5 5 5 5 0 Roundabout Drakes Creek at 11 11 11 11 11 11 11 11 Stop 30 Exit 8 13 13 5 5 5 0 0 0 42 HUMAN RESOURCES 389 Budgeted Fulltime Positions by Department - FY2025 Police - 40% Fire - 31% 2% 3% 1% 3% Public Works - 11% 3% Parks - 6% 6% Codes - 3% 40% 11% Finance - 3% Planning - 2% Central Admin - 3% 31% Executive - 1% LIST OF ACTIVE RECRUITMENTS TITLE DEPARTMENT Program Supervisor (Seasonal) Parks Special Events Program Supervisor Parks Senior Planner Planning Police Officer (eligibility list) Police Design Engineer I / II Public Works Equipment Operator II (Seasonal) Public Works 43  EMPLOYEE INNOVATION PROGRAM Estimated Implementation Efficiency Idea Cost Savings Phase For The City Electric vehicles for City Daily Use to Departmental supplant gasoline Review TBD Departmental Compressed Work Week Schedule Review Non-Monetary Create a Field Training Officer Position to maximize training efficiency for new Departmental officers and reduce costs Review TBD Contract Services for Fleet Maintenance Initial Review TBD Deer Management Process on City Owned Land Initial Review Non-Monetary Reduction of city paid cell phones in Realized Benefit Parks Completed Moving Finance & HR Documents electronically Initial Review Non-Monetary Lean Six Sigma (Efficiency) Training Initial Review Non-Monetary Monitoring Parks DNS Services moved to Departmental IT Review Non-Monetary Utilizing retailer perks to save the City money Initial Review 44