Board of Aldermen

MINUTES OF THE REGULAR BOARD OF ALDERMEN MEETING OF MONDAY, SEPTEMBER 19, 2016 AT 200 HIGHLANDS BOULEVARD DRIVE 1. CALL TO ORDER Mayor David L. Willson called the Regular Board of Aldermen meeting to order at 7:00 p.m. 2. ROLL CALL AND STATEMENT OF QUORUM Roll call showed those present were Alderman Clement, Alderman Stevens, Alderman Hamill, Alderman Ottenad, Alderman Baumann, Alderman Diehl, Mayor Willson and Attorney Gunn. A quorum was present. 3. APPROVAL OF THE MINUTES a. Minutes of the Public Hearing of Tuesday, September 6, 2016 regarding the 2016 property tax rates Alderman Clement made the motion to approve the Minutes of the Public Hearing of Tuesday, September 6, 2016 regarding property tax rates. The motion was seconded by Alderman Hamill and carried unanimously, without objection. b. Minutes of the Regular Board of Aldermen meeting of Tuesday, September 6, 2016 Alderman Hamill made the motion to approve the Minutes of the Tuesday, September 6, 2016 Regular Board of Alderman meeting. The motion was seconded by Alderman Clement and carried unanimously, without objection. 4. ESTABLISHMENT OF ORDER OF ITEMS ON THE AGENDA Alderman Ottenad made the motion to accept the Order of Items on the Agenda as submitted. The motion was seconded by Alderman Clement, and carried unanimously, without objection. Regular Board of Aldermen 09/19/2016 Page 1 5. CONSIDERATION OF PETITIONS AND COMMENTS FROM THE PUBLIC a. COMMENTS FROM THE PUBLIC Mr. Chris Winters, 510 Cardinal Lane, expressed thanks for all the employees who helped with the Manchester Homecoming. He said that without these folks, there could be problems; they know what to do and how to do it. 6. REPORTS FROM THE MAYOR a. Mayoral Report Mayor Willson reported on September 8, he attended the Senior Staff meeting; he attended on September 9 the Lafayette Mayor’s meeting; on September 10 the Homecoming the parade was held and had many attendees, Saturday night, the vendors ran out of food and it was really busy on Sunday. The Mayor reported that on September 12 the ribbon cutting at Culver’s took place and attendees were treated to some custard; he attended the Planning and Zoning Commission meeting on September 12, and on September 13 Alderman Baumann was recognized as a “Certified Elected Official” at the Missouri Municipal League Conference. Mayor Willson stated that on September 15 he attended the State meeting, and also on September 15 he was on a committee that chose art for Ameren boxes and sculptures that will appear in the Park. 7. REPORTS FROM THE CITY ADMINISTRATOR a. List of Paid Bills (Warrant dates of September 4 - September 17, 2016) There were no questions. 8. REPORTS FROM COMMITTEES a. Planning and Zoning Commission Alderman Clement stated there were two cases, both site plan approvals. It is a continuation of a trend in the community where smaller homes are purchased and either added onto or demolished and replaced with bigger homes. The cases were unanimously approved by the members of the Planning and Zoning Commission. The houses will be located on Joyce Ann and Hanna Road. b. Homecoming Committee Alderman Ottenad stated Manchester’s 30th Homecoming took place on September 9, 10, and 11, and although Friday night had rain, the weather was perfect on September 10 and 11. She stated one of her favorite parts of the Award program on Saturday night was presenting Officer Gonzalez and Officer Davis the “Grand Marshalls of the Year” awards. She said Mayor Willson asked all the other police present to get into a picture. They all received a standing ovation for what they do for our City, they are truly loved and respected. Regular Board of Aldermen 09/19/2016 Page 2  c. Manchester Arts Alderman Stevens stated the next event for the Arts will be ArtFest which will be Saturday, October 8 from 11:00 a.m. to 5:30 p.m. It will be held at Schroeder Park and will feature visual artists, music groups, poets and story tellers. There will be food and wine and a good time by all. Mayor Willson wanted to remind everyone that if they have never been to an adult concert in the park on Friday night, you can bring your drinks and it is a lot of fun for adults only. He also wanted to remind everyone of the American Legion Hall’s Ice Cream Social on Saturday from 1:00 p.m. to 4:00 p.m. in honor of Officer Flamion. 9. ACTION ON OLD BILLS a. AN ORDINANCE ESTABLISHING THE 2016 PROPERTY TAX RATES Alderman Clement read for the second time Bill # 16-2273, entitled: AN ORDINANCE ESTABLISHING AND LEVYING THE RATE OF TAXATION UPON ALL REAL AND PERSONAL PROPERTY IN THE CITY OF MANCHESTER FOR CALENDAR YEAR 2016”, by title only. Alderman Clement made the motion that Bill # 16-2273 become Ordinance # 16-2158. The motion was seconded by Alderman Hamill. A poll of the Board showed: Alderman Clement – aye Alderman Stevens – aye Alderman Hamill – aye Alderman Diehl – aye Alderman Baumann – aye Alderman Otteand – aye Mayor Willson announced the motion passed 6 – 0, with no objections. 10. INTRODUCTION OF NEW BILLS a. RESOLUTION AWARDING BID FOR THE HANNA ROAD ASPHALT OVERLAY PROJECT Alderman Diehl read Proposed Resolution # 16-0570, entitled: “A RESOLUTION AUTHORIZING THE CITY ADMINISTRATOR OF THE CITY OF MANCHESTER TO ENTER INTO AN AGREEMENT WITH GERSHENSON CONSTRUCTION CO., INC. IN AN AMOUNT NOT TO EXCEED ONE HUNDRED SIXTY-FOUR THOUSAND THREE HUNDRED NINETY- TWO DOLLARS AND TEN CENTS ($164,392.10), WHICH INCLUDES A FIVE PERCENT (5%) CHANGE ORDER IN THE AMOUNT OF SEVEN THOUSAND EIGHT HUNDRED TWENTY-FIVE DOLLARS ($7,825.00) TO BE USED FOR UNFORESEEN WORK CONDITIONS, FOR THE HANNA ROAD PHASE 2 ASPHALT MILL AND OVERLAY PROJECT”, by title only. Regular Board of Aldermen 09/19/2016 Page 3  Alderman Diehl made the motion for approval of Resolution # 16-0570. The motion was seconded by Alderman Clement and carried without objection. b. RESOLUTION TO CONTRACT WITH ST. LOUIS COUNTY FOR PARTICIPATION IN THE DRUG TASK FORCE Alderman Stevens read Proposed Resolution # 16-0571, entitled: “A RESOLUTION AUTHORIZING THE CITY ADMINISTRATOR OF THE CITY OF MANCHESTER TO ENTER INTO A CONTRACT WITH ST. LOUIS COUNTY, MISSOURI, TO PROVIDE FOR THE CITY’S PARTICIPATION IN THE MULTI-JURISDICTIONAL DRUG TASK FORCE FOR THE PERIOD OF JANUARY 15, 2017 THROUGH JANUARY 15, 2018”, by title only. Alderman Stevens made the motion for approval of Resolution # 16-0571. The motion was seconded by Alderman Hamill and carried without objection. c. RESOLUTION ACCEPTING SERVICES OF UNITED HEALTHCARE FOR EMPLOYEE HEALTH INSURANCE Mayor Willson commented that over the weekend everyone on the Board including the City Attorney and himself received correspondence from the Employee Committee with some very interesting information and statistics that he thinks are very important and some are very concerning. He wondered if this Resolution has to be voted on tonight or whether it can be deferred for two weeks to allow the elected officials to look into this and see how some of the burden on the employees might be deferred. Alderman Hamill stated it would be problematic since the current insurance coverage ends at the end of this month. Alderman Clement suggested that Alderman Hamill has some background about the health insurance that might be helpful. He would like everyone to listen to some of the background and thinking that they, as a Board, collectively used in making a decision and then ask the same questions before we vote. Alderman Hamill stated he doesn’t see how we can get anywhere by deferring the Bill and the two things that he thinks the Mayor is referencing are separate issues in terms of back end reimbursement because it has nothing to do the actual contract. Alderman Clement requested that after the first reading, that Alderman Hamill answer some questions. Alderman Hamill read Proposed Resolution # 16-0572, entitled: “A RESOLUTION AUTHORIZING THE CITY ADMINISTRATOR TO ACCEPT THE SERVICES OF UNITED HEALTHCARE TO PROVIDE HEALTH INSURANCE FOR THE EMPLOYEES OF THE CITY OF MANCHESTER FOR THE YEAR BEGINNING OCTOBER 1, 2016 AND ENDING SEPTEMBER 30, 2017”, by title only. Alderman Clement asked Alderman Hamill to share the details he has. He understands that they had two companies quote to provide insurance to this City and one choose not to submit a quote. Regular Board of Aldermen 09/19/2016 Page 4  Alderman Hamill stated that Anthem submitted a quote. He stated that currently the City is with United HealthCare and they came back with a $310 thousand increase in premiums for next year to a total of a little over a million. He said Anthem did come up with a number, but it was $120 thousand more than UnitedHealthCare. Coventry said they are not going to respond since they are not going to be competitive. He said that part of the problem stems from the fact the loss ratio is 140 percent. He said for every dollar the insurance company took in for the past period, they paid out a $1.40 in claims, hence the 42 percent increase in premiums. Alderman Clement stated the premiums were going to go up over a million. He said that reflects the percentage increase. Alderman Baumann mentioned the St. Louis Area Insurance Trust (SLAIT), and with the employees asking about it, asked if there is a reason why they didn’t look at that. Alderman Hamill stated the last two years it was higher than what we have. He said he has no reason to believe it would be better now. He said that Alderman Baumann wasn’t on the Board at that time, but the City was always the bottom feeder in SLAIT causing the cost to increase so the chance is unlikely that it is going to be better. He asked if they went to SLAIT, what are they going to ask for? He answered his question by saying they are going to ask for the last two years’ of history, and when they see that, he asked if Alderman Baumann thinks they are going to want to subsidize. Alderman Diehl stated he feels they went over it in pretty good detail on this plan and he thought all the questions were answered. He thought it was the best plan at the time and he doesn’t know what has changed. Alderman Clement stated they didn’t have a lot of options at all. He said with his wife’s company, which is a larger than the City of Manchester, there are two plans, with individual deductibles of $1,300 or $2,600. He said his wife is part of the HSA and she pays for a lot of the deductibles out of a payroll deduction. He said that is where public companies are going and have already gone. He said they asked that question and that is what they were told. He hopes the employees were asked the questions. City Attorney Patrick Gunn requested Alderman Clement clarify if his wife’s employer is a private company, as opposed to a governmental agency. Alderman Clement answered it is a private company, not government. Alderman Baumann stated his concern is, and he believes they did their due diligence, but looking at this letter coming back from the employees, he believes if this is something they adopt this evening, he really thinks they have some work to do on employee salaries and getting them caught back up. He said with the employees saying that this is going to be another big burden on them, he is really nervous about this. Alderman Hamill said he doesn’t know about the salaries but if Alderman Baumann can find money in the general fund, he is more than open to look at salaries. Alderman Clement stated that they asked to see a salary survey and, having asked in mid- February, they didn’t get it until April. He said the Board hasn’t seen anything since. They will see what they get before the budgeting. Regular Board of Aldermen 09/19/2016 Page 5  Alderman Stevens stated many companies are facing this problem. She said the largest drain sometimes is on the insurance and there is less and less benefit and more and more cost. It is disheartening that they have to put people in these situations, no one likes it, but they had to make the best decision with information that they had on hand and options at hand. She doesn’t think there was a lot of great news in any of it, so she is comfortable, with after hearing the discussion that they had and hearing the options on how much it could have been and the savings that the City did receive, that she thinks they did their due diligence and came up with the plan that they had to come up with. They didn’t have to feel good about it, but they came up with it. Alderman Clement stated he shares the same feelings as Alderman Stevens. Alderman Ottenad stated nobody feels good about this. City Attorney Patrick Gunn asked if he understood correctly from Alderman Hamill that with the discussion about this burden, there can be some further discussion about how the funding can be handled. Alderman Hamill answered there are two separate issues here, one they have to vote on this tonight because the employees have to have health insurance October 1. He said if they don’t do that, they would be dropping the ball, and employees would not have health insurance. Attorney Gunn asked if the other discussion is still a topic. Alderman Hamill answered the funding could be an issue but he doesn’t know if anyone is making that decision. Alderman Hamill made the motion for approval of Resolution # 16-0572. The motion was seconded by Alderman Clement and carried unanimously without objection. d. ORDINANCE TO CONTRACT FOR DISPATCHING SERVICES WITH THE CITY OF BALLWIN Alderman Ottenad introduced Bill # 16-2275, entitled: “AN ORDINANCE AUTHORIZING THE MAYOR OF THE CITY OF MANCHESTER TO ENTER INTO AN AGREEMENT ON BEHALF OF THE CITY WITH THE CITY OF BALLWIN RELATING TO THE PROVIDING OF POLICE COMMUNICATION SERVICES FOR THE CITY OF MANCHESTER”, by title only. Alderman Ottenad wanted to make sure this was a five-year agreement but they will vote on it every year. Chief of Police Timothy Walsh answered that based on the formula that has been presented for the Board, there will be a different number every year and that will be presented to the Board for passage. Alderman Ottenad stated that for 2017, the City will be saving $14,357 because where they included salaries and fringe benefits, REJIS costs, fixed costs, and operating expenses for the next year, but they have taken off fixed costs and operating expenses. Regular Board of Aldermen 09/19/2016 Page 6  No further action at this time. 11. MISCELLANEOUS a. Comments from the Public Alderman Baumann stated he is going back to the discussion that they had earlier just moving forward with the budget season that he is on the record that they, as Aldermen, realize that there are three stakeholders in the City; there are residents, businesses and employees. He said looking at the years past that maybe the City and the Aldermen can look at other options to be a little bit more frugal so that we can make sure to take care of the employees going forward. Alderman Ottenad stated that with her sitting up here, it looks like “shame on us” and she doesn’t think it is “shame on us”. She said she spends a lot time going through line by line so she doesn’t think before that we could have done anything differently. She doesn’t think she has anything that she should be ashamed of, and she didn’t appreciate the way that Alderman Baumann stated that, but that it is his opinion. Alderman Hamill stated he will be looking forward to that proposal on where that money from the general fund is going to come. He can’t wait to see that. City Attorney Gunn stated that the City is going to get revenue from Academy Sports, Culver’s, and a full year from Joey B’s, so hopefully the money will be there. They have pretty good projections for Academy Sports. Alderman Stevens stated there was not a person, when they looked our comparable salary schedule, who did not agonize over it. She said they always wanted to provide more, but you have to go with the funds that are in front of you. She said they have heard in the past how the City has significantly cut in other areas, so she agrees they would all like to be in a position to offer more. She said she will like a new pair of eyes giving them a new perspective. Alderman Baumann stated that is where he is coming from. Obviously he is the new guy on the block, and he didn’t say anyone was doing anything wrong, but he thinks this is one of things that they need to double or triple check next time to see if there are any ways they can make any cuts, having a new fresh set of eyes looking at something. There may be some things they didn’t think about. He said he didn’t mean any ill will. 12. ADJOURNMENT At 7:27 p.m., there being no further business, Alderman Hamill made the motion to adjourn. The motion was seconded by Alderman Clement. Alderman Ottenad stopped the vote to adjourn, because Manchester resident, Chris Winters was approaching the podium. City Attorney Gunn said they were adjourning, but they would let him speak. Mayor Willson stated that he did have the comment card. Additionally, Mr. Chris Winters stepped up to the podium to speak one more time. He said with the insurance situation, he understands what they are going through, as he, himself, has to pay Regular Board of Aldermen 09/19/2016 Page 7 personally and it is ridiculous. He said he wouldn’t be opposed to helping with this burden as a citizen. He said this is a touchy subject, but he wouldn’t be opposed to paying for some of his trash bill to help with this health insurance burden. He said he doesn’t know what the tax budget rates have changed, but he suggested putting it on the residents possibly, with a small amount paid by each resident, but he knows it is a touchy subject. Mrs. Sharon Owens came to the podium and started to speak. Alderman Clement stated that there is no comment card and they have already adjourned. Respectfully submitted, Ruth E. Baker, MMC/MPCC City Clerk Note: This is a journal of the Board of Aldermen meeting held September 19, 2016 (summary); not a verbatim transcript. If a recording of the meeting is desired, please contact City Hall. 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