Board of Directors

MINUTES BOARD OF DIRECTORS MEETING SEPTEMBER 20, 2004, AT 7:00 P.M. The regular meeting of the Board of Directors was held on Monday, September 20, 2004, at 7:00 p.m., Board Chambers, City Hall, with Mayor Mike Bush presiding. The invocation was given by Mr. Chad Amerson, and Pledge of Allegiance to the Flag was led by Mayor Bush. Mayor Bush called the meeting to order at 7:00 p.m. 1 Roll Call Roll call was as follows: Present: Directors Peggy Brunner-Maruthur, Elaine Jones, Burt Newell, Carroll Weatherford, Bill Edwards, and Mike Bush, total 6. Absent: Director Bob Wheeler. (Note: Director Wheeler entered the Board Chambers at 7:15 p.m.). 2 Approval of Agenda A motion was made by Director Edwards, duly seconded by Director Brunner- Maruthur, that the agenda be approved; and upon voice vote, the motion unanimously carried. 3 Approval of Minutes of September 7, 2004 Board Meeting A motion was made by Director Edwards, duly seconded by Director Weatherford, that the minutes of the September 7, 2004 Board Meeting be approved; and upon voice vote, the motion unanimously carried. 4 Recognition of Guests A presentation of the Distinguished Budget Award was made by Ms. Kara Bushkuhl, representing the Government Finance Officers’ Association (GFOA). She stated this award presents a significant accomplishment by the City and helps ensure that the City’s highest principles of governmental budgeting are met. She noted that in order to receive the award, the City had to satisfy approximately 26 criteria and has to be proficient in all of those, some of which are mandatory. The budget document has to meet four policy criteria: (1) it is a good, policy document; and there are goals and objectives; (2) it is a financial plan for the upcoming year; (3) it is an organizational plan or operations guide; and (4) it is a communication medium. She stated since the inception of the GFOA budget award in 1984, approximately 900 out of the 4,800 eligible governmental entities have received the award. Other cities in Arkansas receiving the budget presentation award include Fayetteville, Fort Smith and Little Rock. She then presented the Distinguished Budget Award to Ms. Dorethea Yates, Finance Director. Ms. Yates commented that she has been serving as Finance Director since April; and all of the work that went into this was done by the previous Finance Director Linda Baker, budget clerk Doreen Duncan, and the Finance staff. She expressed appreciation to upper management and the Board of Directors for their commitment. City Manager Kent Myers noted that Hot Springs is one of only four cities in Arkansas that has received the award this year. 5 Acknowledgment of Financial Statements for March through July 2004 Mayor Bush announced that the Financial Statements for March through July 2004 are on file in the City Treasurer’s Office for review by the Board and the public. CONSENT AGENDA The Consent Agenda consisted of the following: 6 Public Safety Report (September 8, 2004). Board of Directors Meeting 2 September 20, 2004 at 7:00 P.M. 7 Proposed Resolution No. R-04-226 Approving Certain Bid Awards (a) Cementitious Material - Utilities [annual supply contract awarded to Strong Company]; (b) Front-End Loader - Utilities [awarded to J. A. Riggs Tractor Company in the amount of $135,650]; (c) Surgery Equipment - Animal Services [awarded to VSSI, Inc. in the amount of $14,709 and Schroer Manufacturing Company in the amount of $7,677]; (d) Demolition of Structures-Code Compliance [awarded to Evan Slaight in the amount of $5,162 and John T’s Excavation in the amount of $7,921]; and (e) City Newsletter - Public Information [awarded to Kwik Print in the amount of $11,955]. 8 Proposed Resolution No. R-04-227 Appropriating Certain Revenue from the Sale of Recyclable Materials (Fleet Service Department). 9 Proposed Resolution No. R-04-228 Approving the Extension of Hot Springs Municipal Water and Wastewater Service to Keuka and Windy Hills. 10 Proposed Resolution No. R-04-229 Approving the Extension of Hot Springs Municipal Water and Wastewater Service on South Moore Road and Westhill Lane. 11 Proposed Resolution No. R-04-230 Fixing a Time and Date for a Hearing on a Petition to Vacate, Abandon and Close an Unopened Extension of Mangum Street (Formerly Terry Street and Platted as Vestal) Located in Roseland Addition. 12 Proposed Resolution No. R-04-231 Authorizing a Salary Increase for the District Court Clerk. 13 Proposed Resolution No. R-04-232 Levying Zero Mills of Ad Valorem Taxes for the Purpose of Paying Firemen’s Pensions. 14 Proposed Resolution No. R-04-233 Levying Zero Mills of Ad Valorem Taxes for the Purpose of Paying Policemen=s Pensions. 15 Proposed Resolution No. R-04-234 Levying Zero Mills of Ad Valorem Taxes for the General Fund. Board of Directors Meeting 3 September 20, 2004 at 7:00 P.M. 16 Proposed Resolution No. R-04-235 Approving an Application from Donna Henderson, d.b.a. Arkansas Limousine, for a Limousine Service Operating Permit. (Removed from the Consent Agenda for separate consideration). 17 Proposed Resolution No. R-04-236 Approving Signage Within Hill Wheatley Plaza for Public Wireless Internet Service Sponsored by the Advertising and Promotion Commission. 18 Proposed Resolution No. R-04-237 Approving Temporary Signs for the 2004 Annual United Way Campaign. 19 Proposed Resolution No. R-04-238 Awarding a Contract to Larson Burns & Smith, Inc. for Engineering Services Related to Entergy Park Trails Design. A motion was made by Director Edwards, duly seconded by Director Brunner- Maruthur, that the Consent Agenda be approved, as amended; and upon roll call, the following voted “aye”: Directors Brunner-Maruthur, Jones, Newell, Weatherford, Edwards, and Bush, total 6. Absent and not voting: Director Wheeler; motion unanimously carried. PUBLIC HEARING 20 Public Hearing Related to the Financing of the New Southwest Wastewater Treatment Facility and Other Wastewater System Improvements Through the State Revolving Loan Fund Program This being the time and date set for a public hearing on the new Southwest Wastewater Treatment Facility and other wastewater system improvements through the State Revolving Loan Fund Program, Mayor Bush declared the public hearing open. Mr. Don Cochran, Director of Utilities, explained this is a follow-up of the public meeting held at the last Board Meeting and is a requirement of the funding requirements for the State Revolving Loan Program. The purpose of the hearing is to afford any interested individuals the opportunity to make comments regarding the wastewater treatment facilities being proposed and the wastewater system improvements. The list of projects to be included are (1) an 850,000-gallon wastewater treatment facility called a SBR (Sequenching Batch Reactor) in the amount of $2.8 million; (2) wastewater force Board of Directors Meeting 4 September 20, 2004 at 7:00 P.M. mains related to the wastewater treatment facility in the amount of $1.9 million; (3) the Highway 7 North wastewater pipe rehabilitation and upsizing, which is the sewer collection line going up Highway 7 North to Belvedere and back through the Gorge and is estimated to be $1 million; (4) Highway7 South bridge wastewater pipe relining is approximately $260,000; (5) the wastewater grinder pump replacement program (600 pumps next year) will be $947,000; (6) engineering fees and plan on refinancing the engineering planning and design that has been done for the wastewater treatment facility to date and what is planned through construction will be $230,350; (7) post engineering services relates to administering the revolving loan program and making those payments to the contractor through the loan program in the amount of $30,000; (8) there are legal fees in the amount of $19,200; and (9) there are contingencies of 10 percent which is $729,748. The total capital cost through the Revolving Loan Program is $8,027,230. He stated that the application has been made to the Arkansas Soil and Water Conservation Commission and has passed through the review with the State’s Water and Wastewater Committee. The City will be receiving these funds in February and can start construction in April. The construction permit came through today, and the State Department of Environmental Quality has completed their 30-day public notice period. Mr. Jeremy Stone, with NRS Engineering, stated that the plant will be located off Winkler Road; and they are having to do some modifications in the collection system to extend the trunk main from the west side of the 70 bridge out to the plant. The plant will consist of a headworks, which has two channels, two screens (a manual and an automatic), and will flow to the actual sequenching batch reactor chambers where most of the treatment occurs. From there, it will go through a tertiary filter which is part of the permit process and then through some post aeration and disinfection through UV. The plant is expandable up to 2.55 million gallons a day and will have a small lab and office to house the electrical and certain pieces of equipment needed for testing. There being no further comments, Mayor Bush declared the public hearing closed. NEW BUSINESS 16 Proposed Resolution No. R-04-235 A resolution entitled, “A RESOLUTION APPROVING AN APPLICATION FROM DONNA HENDERSON, D.B.A. ARKANSAS LIMOUSINE, FOR A LIMOUSINE SERVICE OPERATING PERMIT,” was taken from the agenda and read by title only. Board of Directors Meeting 5 September 20, 2004 at 7:00 P.M.  A motion was made by Director Edwards, duly seconded by Director Brunner- Maruthur, that the resolution be adopted as read. Upon discussion, Mr. Steve Smith, a member of the Transportation Advisory Committee, stated that the committee met on the application last Tuesday night and also held a public hearing; but no negative comments were received during the public hearing. After closing the hearing, the committee by a vote of 4-0, with one abstention, approved the application. City Attorney David White asked if there was a reason given for the abstention, and Mr. Smith advised there was not. Director Edwards questioned if the committee discussed the need for another limousine service; and Mr. Smith advised that with the change in the Transportation Code, “public need” is not a criteria. He added that the committee considers their financial stability, their character and other items as set out in the Transportation Code. Mr. Bill Jameson, a member of the Transportation Advisory Committee, stated that he is not opposed or in support of the resolution. He mentioned this company has been in business since 1994 and never had a permit and cannot get one by their own admission. He added they are connected with the company in Little Rock, with which there have been problems. He noted the Little Rock company came to Hot Springs and distributed all kinds of literature, such as at the Civic Center. He commented if a person needed a limousine, they did not realize they had to come from Little Rock because there is a Hot Springs number that rings over there. Also, they do not have permits for Hot Springs. He stated that Arkansas Limousine had a large ad in the yellow pages for their limousine service six months before they tried to get a permit. Now, they are going to operate with or without a permit because their ad is in there; and they are the first in the yellow pages. Director Jones asked how he voted on this issue at the Transportation Advisory Committee meeting, and Mr. Jamison advised that he abstained because there was no reason to vote since it was 6-1. Director Brunner-Maruthur said that he stated they had not been able to get a license prior to this, and Mr. Jamison replied they said they have never had one. Director Edwards asked if they operate from Little Rock, and Mr. Jamison replied that they work with the Little Rock company but are from Prattsville. However, they go to other cities; and according to them, they do not have a permit or have not had one. Board of Directors Meeting 6 September 20, 2004 at 7:00 P.M.  Director Weatherford questioned if anyone from Hot Springs who has a limousine service or any other kind of service appeared at the meeting, and City Manager Kent Myers advised that they did appear but did not testify on this issue and had no comments. In reply to Director Brunner-Maruthur, Mr. Michael Shoptaw, 3073 Highway 291, Prattsville, Arkansas, advised that Arkansas Limousine has been operating since December 1999. Director Brunner-Maruthur asked if he has ever been licensed by a city, and Mr. Shoptaw advised that he has been licensed up until this last year, which was with the City of Little Rock. He said they moved from Little Rock to Prattsville and have their business license out of Sheridan. Director Edwards said that he lives in Prattsville but also has a Little Rock and Hot Springs number. Mr. Shoptaw commented that the phone book was the July issue, and he called Little Rock prior to that phone book coming out and asked for an application to be mailed out. The phone directory came out on August 8; and once they saw everything was in place, then he proceeded with the application. Director Weatherford asked if there was any opposition from anyone else who operates a limousine service in Hot Springs at the meeting, and Deputy City Manager Lance Hudnell replied that the owners of Majestic Limousine Service were present at the meeting and are also present tonight. They previously relayed verbally some concerns but did not testify at the public hearing. Director Weatherford asked if the owners of Majestic Limousine Service had any comments, but they declined to make any statements. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted “aye”: Directors Brunner-Maruthur, Jones, Newell, Weatherford, Edwards, Wheeler, and Bush, total 7; motion unanimously carried. Whereupon the resolution was declared adopted. 21 Proposed Ordinance No. O-04-55 An ordinance entitled, “AN ORDINANCE WAIVING THE REQUIREMENTS OF COMPETITIVE BIDDING AND AUTHORIZING AN AGREEMENT WITH INFORMATION NETWORK OF ARKANSAS (INA) FOR CERTAIN INTRANET WEBSITE DEVELOPMENT AND HOSTING SERVICES,” was taken from the agenda for consideration. Board of Directors Meeting 7 September 20, 2004 at 7:00 P.M.  A motion was made by Director Wheeler, duly seconded by Director Edwards, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question “Shall the ordinance be passed as read?” and upon motion of Director Jones, duly seconded by Director Edwards, that the ordinance be passed as read; and upon roll call, the following voted “aye”: Directors Brunner-Maruthur, Jones, Newell, Weatherford, Edwards, Wheeler, and Bush, total 7; motion unanimously carried. Whereupon the ordinance was declared passed. 22 Proposed Ordinance No. O-04-56 An ordinance entitled, “AN ORDINANCE WAIVING THE REQUIREMENTS OF COMPETITIVE BIDDING FOR THE EXCHANGE OF CERTAIN REAL PROPERTY AND PROPERTY LIENS WITH ENTRUST ADMINISTRATION, INC., FBO RUSS THOMAS; AND FOR OTHER PURPOSES,” was taken from the agenda for consideration. A motion was made by Director Edwards, duly seconded by Director Wheeler, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question “Shall the ordinance be passed as read?” and upon motion of Director Edwards, duly seconded by Director Weatherford, that the ordinance be passed as read. Upon discussion, Deputy City Manager Lance Hudnell explained there is a piece of property currently in the Greenway area where the new Hollywood Park is being built and needed for the restroom that has already been proposed by Friends of the Park. Mr. Russ Thomas owns that small piece of property; and Ms. Jean Wallace, Parks and Recreation Director, has been negotiating with Mr. Thomas. He made an offer to the City in exchange for some of the liens that the City holds against weedy lots and condemned houses, etc. He explained that the City will give him the paper on those liens, and he will give the City a Quitclaim Deed to the property. The City Attorney’s office has reviewed this and agrees that the City can do that. He pointed out that the City’s collection rate is not high on those particular liens. In reply to Director Edwards, Deputy City Manager Lance Hudnell explained that the City does not hold title to the pieces of property listed in Exhibit “A” of the resolution but only hold liens against them. He stated that the City is trading its liens for a piece of property. Board of Directors Meeting 8 September 20, 2004 at 7:00 P.M.  City Manager Kent Myers pointed out that over 90 percent of the cases in which the City is involved, it does not collect on the liens. Therefore, the value to the City of these liens is rather small and is the reason for bringing this recommendation to the Board. Director Newell asked if he owned all of the lots, and Deputy City Manager Lance Hudnell advised that he does not own any of them; but he will try to collect them or foreclose on them. Director Jones pointed out that 14 lots out of 32 lots are in District 2. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted “aye”: Directors Brunner-Maruthur, Jones, Newell, Weatherford, Edwards, Wheeler, and Bush, total 7; motion unanimously carried. Whereupon the ordinance was declared passed. OTHER BUSINESS 23 Board of Directors Items Director Edwards commended utility employees Randy Norman, Terry Keener, Eddie Bettis, Travis Emmett, and Joey Virnig, who installed a water line extension and a fire plug. He reported they left the area in good condition, and residents in the area spoke of the professional job they did. Director Brunner-Maruthur reported that if a street light is out, citizens may all 1-800- ENTERGY or 1-800-368-3749. For prompt repairs, they need to give the street ID number and the street name. Also, on October 5, there will be a public hearing for the CDBG budget for 2005 and will be held at the Transportation Depot between 3 p.m. and 5 p.m. and an evening meeting from 5:30 p.m. to 7:30 p.m. She announced that the first Annual Downtown Conference will be held on September 30, and the Prayer Breakfast will be on Monday, November 8. Director Jones expressed appreciation to the volunteer committee and Ms. Julie Dickson, Chairman of the Beautification Commission, for presenting her with the Presidential Volunteerism Award. Board of Directors Meeting 9 September 20, 2004 at 7:00 P.M.  Mayor Bush announced that the Board Work Session will be held on Tuesday, September 28, at 2 p.m.; however, Director Brunner-Maruthur will not be able to attend and asked if the Board would consider rescheduling the meeting. It was the consensus of the Board that the work session remain as scheduled for September 28. 24 City Manager’s Report City Manager Kent Myers gave the following report: 1. The first annual Downtown Conference will be held on September 30, at the Arlington Hotel, from 8:30 a.m. to 5:00 p.m. For more information, individuals may contact his office or the Deputy City Manager’s Office. At the present time, approximately 80 people have signed up; but between 100 and 125 are expected. The keynote speaker, Mr. Jeff Sanford, is responsible for heading the redevelopment efforts for downtown Memphis. He will go through a seven-step process that was critical to the redevelopment of downtown Memphis. 2. The Mayor has officially proclaimed September 21 as the International Day of Peace; and in recognition, there will be an event tomorrow evening at Whittington Park from 6:30 p.m. to 7:30 p.m. 25 ADJOURNMENT There being no further business to come before the Board, the meeting adjourned at 7:40 p.m., to meet again on Monday, October 4, 2004, at 7:00 p.m. ATTEST: _____________________ APPROVED:__________________ Lance Hudnell, City Clerk Mike Bush, Mayor Board of Directors Meeting 10 September 20, 2004 at 7:00 P.M.