City Council

October 27, 2015 The regular meeting of the Council of the City of Martinsville, Virginia was held on October 27, 2015 in Council Chambers, Municipal Building at 7:30pm, Closed Session beginning at 7:00pm with Mayor Danny Turner presiding. Council Members present: Mayor Danny Turner, Vice Mayor Jennifer Bowles, Council Member Gene Teague, Council Member Sharon Hodge and Council Member Mark Stroud. Staff members present included: City Manager Leon Towarnicki, Assistant City Manager Wayne Knox, City Attorney Eric Monday, Police Captain Rob Fincher, Clerk of Council Karen Roberts, Finance Director Linda Conover, Budget Analyst Mary Prillaman, City Engineer Chris Morris, Community Planner Susan McCulloch and Commissioner of Revenue Ruth Easley. Mayor Turner called the meeting to order and advised Council would go into Closed Session. In accordance with Section 2.1-344 (A) of the Code of Virginia (1950, and as amended) and upon motion by Council Member Hodge, seconded by Council Member Teague with the following recorded 5-0 roll-call vote: Council Member Hodge, aye; Vice Mayor Bowles, aye; Council Member Stroud, aye; Council Member Teague, aye; Mayor Turner, aye. Council convened in Closed Session for the purpose of discussing the following matters: A) discussion or consideration of the investment of public funds where competition or bargaining is involved, where, if made public initially, the financial interest of the governmental unit would be adversely affected, as authorized by Subsection 6 and B) Consultation with legal counsel and briefings by staff members, attorneys or consultants pertaining to actual or probable litigation, or other specific legal matters requiring the provision of legal advice by such counsel, as authorized by Subsection 7. At the conclusion of the Closed Session, each returning member of Council certified that (1) only public business matters exempt from opening meeting requirements were discussed in said Closed Session and (2) only those business matters identified in the motion convening the Closed Session were heard, discussed, or considered during the Session. On a motion by Council Member Stroud, seconded by Council Member Hodge with the following 5-0 roll-call recorded vote: Stroud, aye; Turner, aye; Teague, aye; Bowles, aye; Hodge, aye; Council returned to Open Session. Invocation and Pledge to the American Flag – Council Member Gene Teague. Consider approval of minutes of October 13, 2015 Council meeting and October 14, 2015 Special meeting – Vice Mayor Bowles made a motion to approve minutes from October 13, 2015 and October 14, 2015 as presented, Council Member Hodge seconded the motion, all Council Members voted in favor. Help Save the Next Girl – Kate Williams, founder of the local chapter for Martinsville, Henry and Patrick Counties explained the program which was founded in honor of Morgan Harrington. She explained various programs that this organization will offer including self-defense classes and educating women in the area of dangerous situations. Consider Certificate of Appropriateness (COA) application for the demolition of 403 Starling Avenue due to the tie of a motion by the Architectural Review Board (2-2) on October 23, 2015 at a special called ARB meeting - Susan McCulloch explained that the Architectural Review Board met on request of the applicant, Dr. Mark Crabtree regarding a structure on East Church Street in the October 27, 2015 historic district of Martinsville. The value of the building is considerably less than the cost to repair or restore it and the building has been deemed uninhabitable and unstable. Martinsville Smiles plans to demolish the structure and plans to plant grass on the vacant lot. McCulloch stated that staff members recommend that Council approve the demolition of the property. City Manager Towarnicki stated that the engineering report revealed a significant expense to restore the building to a reusable condition. Council Member Teague asked about selling or renting the property. McCulloch stated that the property was rental property previously but in past weeks several items had been removed from the property and in the current state it is uninhabitable. Council Member Stroud stated that the Martinsville Smiles previous building remodel in the lots adjacent had improved the appearance of the area. McCulloch stated that because of those previous modifications, those lots are no longer part of the historic district. Dr. Mark Crabtree addressed Council regarding the property. His practice has been in that area since 1960 and they have watched the property deteriorate over the years. He purchased the property with the intention to improve the value of the property and the appearance of the area and would like the opportunity to expand his current property. Council Member Teague made a motion to authorize the COA application for the demolition of 403 Starling Avenue; Council Member Hodge seconded the motion, all Council Members voted in favor. Hodge said she is in favor of property owners being able to improve their property if they desire. Teague said it may be a good time to review the ordinance again. Consider refund resulting from Appeal of Statutory Assessment for Business Personal Property for Tax Year 2014 - Ruth Easley, Commissioner of Revenue came before Council to explain the appeal of statutory assessment received and reviewed by her office. This appeal was made by a large City business which holds multiple sites within the City. One of the requirements is the annual notice sent to the local businesses to return a complete itemization. Because the refund is over $2,500 the Treasurer’s office needs Council’s approval prior to authorizing that refund. This refund continues to accrue interest daily until it is approved. As a general rule, businesses do not pay the statutory assessment. Vice Mayor Bowles made a motion to approve the refund, Council Member Stroud seconded the motion, all voted in favor. October 27, 2015 Hear overview of October 26, 2015 Westside area Neighborhood tour and meeting – City Manager Towarnicki described their tour including the American Furniture site, Fayette, Smith, Katherine, Beaver, Top, Maplewood Apartments, Pony Place, Cardinal Lane, and the West End Park; the tour took about an hour and Council noted several violations while on the tour. Because of several properties demolished previously, all agreed the area looked better and has made several building sites available. There were several residents at the neighborhood meeting. FAHI presented their proposal for the former Housing Office. Council Member Teague noted the condition of several streets has been greatly improved by demolishing some structures and Property Maintenance is able to respond to concerns usually the same day they are reported. Hear an update from Davenport and Company, LLC regarding results of the request for proposals advertised for financing the City’s water/electric meter and street lighting replacement project – City Manager Towarnicki explained the options of lease/purchase versus general obligation bond. Mitch Brigulio of Davenport and Company detailed the process and bids received along with Davenport’s recommendation. Davenport sent out the request to 75 banks and asked for general obligation and lease/purchase options. Bids were received from 6 different banks – US Bank offered the lowest interest rate on both options at 2.47%, second lowest was 2.5% on general obligation bond only from Carter Bank. October 27, 2015 October 27, 2015 Ultimately, Davenport’s recommendation would be to move forward with US Bank’s lease/purchase option. The lease purchase would not count towards the statutory debt limit and the loan could be paid off early or refinanced if desired. Council Member Teague made a motion to execute the lease purchase option with US Bank; Council Member Hodge seconded the motion, all Council voted in October 27, 2015 favor. City Manager Towarnicki said Council could schedule a public input session on the options available. Council Member Teague and Council Member Hodge withdrew the motion and second so there can be a public hearing scheduled. After continued discussion, City Manager emphasized that the recommendation from staff and Davenport was the lease purchase option and all Council Members agreed that they prefer the lease purchase option. Vice Mayor Bowles made a motion to go forward with the lease purchase option submitted by US Bank, Stroud seconded the motion, all voted in favor. Hear a presentation from Fayette Area Historical Initiative (FAHI) regarding a proposal for possible use of the former City of Martinsville Housing Office located at 605 Fourth Street – City Manager Towarnicki explained that proposal is a continuation from presentations offered in previous meetings. Council Member Teague asked that the proposal from the Special Meeting continue to be televised over the next two weeks to ensure the public has access to the information. Towarnicki stated that the City had received two proposals along with two other interested organizations but stated that two organizations did not produce a proposal and the second organization that had submitted a proposal has since verbally opted out. Chauncey Adams, Executive Director of FAHI gave a brief overview of FAHI and their proposal for the former Housing office located at 605 Fourth Street. Council Member Hodge asked for additional financials on utilities and general costs of building use which City Manager Towarnicki provided, averaging $5,600 per year. Vice Mayor Bowles suggested that a public hearing be set. Council Member Hodge said she would like to continue discussions on the ownership options of the building. Vice Mayor Bowles made a motion to set a public hearing on November 10, 2015, Council Member Hodge seconded the motion, all Council members voted in favor. Consider adoption of resolution supporting the “opt out” provision for administering the Virginia Stormwater management program – Chris Morris, City Engineer explained the many changes to the laws including stormwater management and stated that the City is currently not in the program. Teague made a motion to approve the resolution to opt out of the Virginia Stormwater management program; Vice Mayor Bowles seconded the motion, all council members voted in favor. October 27, 2015 Consider adoption of a Resolution authorizing the City’s application to the Virginia Department of Transportation for participation in the FY17 Revenue Sharing Program – Chris Morris, City Engineer described part of the city’s uptown revitalization efforts including repaving with previous allocations going towards the area around New College and at the crosswalks. This resolution would complete the project of repaving and stamped crosswalks. Council Member Teague made a motion to adopt the resolution authorizing the City’s application to the Virginia Department of Transportation for participation in the FY17 Revenue Sharing Program; Vice Mayor Bowles seconded the motion, all Council Members voted in favor. October 27, 2015 Discussion regarding the 2016 City Legislative Agenda – City Attorney Eric Monday discussed the 2015 City Legislative Agenda and requested Council to please notify him with any additions or deletions prior to the next meeting, stating that the pre-filing deadline is December 7, 2015. October 27, 2015 Consider approval of consent agenda – Council Member Teague made a motion to approve the consent agenda as presented, Vice Mayor Bowles seconded the motion, all Council Members voted in favor. Business from the Floor – Patrick H. Wright, 1201 Spruce St asked about the Architectural Board, Mayor Turner suggested he can obtain more information and can apply for the vacancy online. Ural Harris, 217 Stewart Street expressed concern regarding articles in the paper about the budget and reversion and the extra money that the previous Mayor stated the City had in the Fund Balance. Teague stated that the fund balance revenue doesn’t come in on a regular basis, some items come in twice a year and for emergencies and it is a positive viewed account to hold from a financial stand point. Mr. Harris said those reasons should be conveyed to the citizens so they don’t feel that it is money the City is holding and not using. Comments by members of City Council – Council Member Stroud wished the public a safe Halloween. He mentioned the car race and encouraged the citizens to be hospitable to visitors. Vice Mayor Bowles encourage all citizens to become more active in the community or to visit the website to apply for any board vacancies. Mayor Turner talked about Uptown Trick or Treating activities on Saturday 4:00-7:00pm. There being no further business, Council Member Hodge made a motion to adjourn at 9:38pm, Vice Mayor Bowles seconded that motion, all council voted in favor. ___________________________________ ___________________________________ Karen Roberts Danny Turner Clerk of Council Mayor