City Council

AGENDA--CITY COUNCIL -- CITY OF MARTINSVILLE, VIRGINIA Council Chambers – Municipal Building 7:30 pm regular session Tuesday, February 9, 2016 7:30—Regular Session Invocation & Pledge to the American Flag- Council Member Teague 1. Consider approval of minutes of the January 26, 2016 Meeting and the February 3, 2016 Special Meeting. (2 mins) 2. Hear an update regarding the Virginia Department of Veteran Services (10 mins) 3. Hear an update from Amanda Witt of the M-HC Chamber of Commerce regarding activities related to the City/C-PEG Small Business Development contract. (10 mins) 4. Hear a report from Robinson, Farmer, Cox Associates on the City’s FY15 audit (10 mins) 5. Consider approval of a resolution authorizing a public hearing and approving related actions related to potential financing of the City’s sewer interceptor project (10 mins) 6. Consider approval on first reading of an ordinance reciting the expediency of the issuance of up to $10,000,000 principal amount of water and sewer revenue bonds for the City’s sewer interceptor project (10 mins) 7. Hear finance report. (5 mins) 8. Consider approval of consent agenda (2 mins) 9. Comments by members of City Council. (5 minutes) 10. Comments by City Manager. (5 minutes) 11. Business from the Floor (not televised) This section of the Council meeting provides citizens the opportunity to discuss matters, which are not listed on the printed agenda. Thus, any person wishing to bring a matter to Council’s attention under this Section of the agenda should: (1) come to the podium and state name and address; (2) state the matter that they wish to discuss and what action they would like for Council to take; (3) limit remarks to five minutes; (4) refrain from making any personal references or accusations of a factually false and/or malicious nature. Persons who violate these guidelines will be ruled out of order by the presiding officer and will be asked to leave the podium. Persons who refuse to comply with the direction of the presiding officer may be removed from the chambers.  City Council Agenda Summary Meeting Date: February 9, 2016 Item No: 1. Department: Clerk of Council Issue: Consider approval of minutes from January 26, 2016 Council Meeting and February 3, 2016 Special Meeting. Summary: None Attachments: January 26, 2016 Meeting minutes February 3, 2016 Special Meeting minutes Recommendations: Motion to approve minutes as presented. January 26, 2016 The regular meeting of the Council of the City of Martinsville, Virginia, was held on January 26, 2016, in Council Chambers, Municipal Building, at 7:30 PM, Closed Session beginning at 7:00pm, with Mayor Danny Turner presiding. Council Members present included: Danny Turner, Gene Teague, Sharon Brooks Hodge, Jennifer Bowles and Mark Stroud. Staff present included: City Manager Leon Towarnicki, Assistant City Manager Wayne Knox, Clerk of Council Karen Roberts, City Attorney Eric Monday, Finance Director Linda Conover, Community Planner Susan McCulloch, Director of Water Resources Andy Lash, Telecommunications Director Mike Scaffidi, Director of Electric Durwin Joyce and Police Chief Sean Dunn. 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 a motion by Vice Mayor Bowles, seconded by Council Member Stroud, with the following 5-0 recorded vote: Bowles, aye; Stroud, aye; Teague, aye; Turner, aye; and Hodge, aye; Council convened in Closed Session for the purpose of discussing the following matters: (A) Discussion or consideration of the acquisition of real property for a public purpose, or of the disposition of publicly held real property, where discussion, in an open meeting would adversely affect the bargaining position or negotiating strategy of the public body, as authorized by Subsection 3, 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 Closed Session, each returning member of Council certified that (1) only public business matters exempt from open 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 Bowles, seconded by Hodge, with the following 5-0 recorded vote in favor to return to Open Session: Turner, aye; Teague, aye; Bowles, aye; Hodge, aye; Stroud, aye. Following the invocation by Vice Mayor Stroud and Pledge to the American Flag, Mayor Turner welcomed everyone to the meeting. Consider approval of minutes from the January 12, 2016 meeting – on a motion by Teague, seconded by Hodge and with a 5-0 vote in favor, Council approved the January 12, 2016 minutes as presented. Read a Proclamation acknowledging February, 2016 as Black History Month – Vice Mayor Bowles read the Proclamation acknowledging February 2016 as Black History Month and welcomed Naomi Hodge-Muse to the podium to accept the Proclamation. Ms. Muse thanked Council for the Proclamation. Hear an update on FY16 Telecommunications operations – Mike Scaffidi updated Council on the City’s telecommunications program. Hodge asked if the current customers January 26, 2016 included previous customers who were on the waiting list. Mr. Scaffidi said that most of those who had been on the waiting list had been connected. City Manager Towarnicki said there is a rolling list of customers including new customers who were not on the list previously. Scaffidi confirmed that their intent is to connect to businesses only at this time and there is a fine line when customers ask for connections in residential areas for a business either in their home or on their residential property. Mr. Scaffidi detailed expenses and revenue and stated that most infrastructure construction is completed the beginning of the fiscal year. Linda Conover answered Council’s questions regarding the expenses verses revenue. City Manager Towarnicki referred Council to Mr. Scaffidi’s last slide detailing the FY16 Plant Expansion- Projects. January 26, 2016 Consider a request for rezoning of 51 Lester Street and 49-Lot Lester Street from M-2 – Heavy Manufacturing District to C-2 – Central Business District – Susan McCulloch detailed the request for rezoning of 51 Lester Street and 49-Lot Lester Street. Sylvan Road Partners has worked successfully in Martinsville on the Martinsville Lofts complex on Rives Road. Lynwood Davis of Sylvan Road Partners provided additional information to Council on sample projects relevant to the property they are interested in developing in the City. His organization focuses primarily on historic properties for development. Their focus is on the smaller communities and their expertise is on financing properties so they can do first rate developments, specifically for sale/for rent multi-family properties in those communities. He points out that the building has been well maintained by the church but a large manufacturing company would not consider moving into this location. Sylvan Road Partners would like to put this building back into service by purchasing the property for development. Teague asked if Mr. Davis was confident that there would be a need for this type of property in the City. Mr. Davis said the next step would be a third-party market study but he is willing to spend a lot of money on this project because they are confident in the trend they see in this area. He shared before and after pictures of other projects with Council including Martinsville Lofts which he said won a National Award. The desired property is approximately 93,000 square feet and it would be a mix of 1, 2 and 3 bedroom apartments. Total development cost of this building would be around $11-$12 million and the project would be very “Green” and accessible to everyone. Sylvan Road Partners would be the long term owners and the building would be professionally managed. They view this as a gateway project for Martinsville and feel that it falls under the revitalization goals of the City. Council Members expressed concern that this project could eventually be used as low-income or Section-8 housing. Mr. Davis advised that would not be the case. Bowles made a motion to set the public hearing for February 23, 2016 to rezone the American warehouse, Stroud seconded the motion, all Council Members voted in favor. January 26, 2016 Hear quarterly staff update on Utilities—electric/water/sewer – Andy Lash presented a PowerPoint presentation regarding the Water and Wastewater department detailing production, revenue and expenditures, and current projects. City Manager Towarnicki stated January 26, 2016 that the Sewer plant is operating at about 50% capacity, the Water plant is also operating well below available capacity. The water and sewer rates will need to be discussed again with the FY17 budget. As part of the Johnson Controls energy project, they are looking at additional projects including equipment that would create higher-class sludge that could be used as a fertilizer contingent on the amount of sludge coming into the plant. He commented on the Flint, Michigan issues and the possibility of those issues happening in Martinsville. Mr. Lash stated that problem could not happen in Martinsville because of the procedures and treatments in place. There is a process to continuously monitoring the quality of the water. In addition to the Reservoir and the Leatherwood station, the City also has a connection to the County PSA if necessary. Durwin Joyce presented additional PowerPoint slides detailing financial benefits of the hydroelectric generation and the landfill gas generation, revenue and expenses, and current projects. Hodge asked if they have given any more consideration to solar. Mr. Joyce said they are still considering solar and they have been given a little more time to study the option and still receive the tax credits. Towarnicki said when the landfill was closed in 2005 the requirement was that it would need to be permanently capped with gas vents, discharging the gas to the atmosphere. Depending on the atmospheric pressure the area could smell very bad. By putting in a flaring station the gas is burned off. Next step was the application to apply for the grant to install the generator. Gas studies at the landfill provided information on the gas production levels, that information showed the City was at peak production of gas. The gas levels go up and down depending on temperature and barometric pressure. Recently the levels have been going down slightly but he’s not sure if this trend will continue. He feels that there is still 10-15 years of gas to be used in the Landfill. Mr. Joyce said once the landfill gas is completely gone, it’s still possible to run the generator on natural gas and still come out ahead. January 26, 2016 January 26, 2016 Consider adoption of the City’s 2016 Strategic Plan – City Manager Towarnicki summarized the actions taken to date relating to the Strategic Plan. He pointed out minor revisions that have been made to the plan. He stated that the Plan can be amended at any time. Teague made a motion to adopt the Strategic Plan as presented, Hodge seconded the motion, all Council Members voted in favor. January 26, 2016 Hear information related to the FY17 budget process – City Manager Towarnicki provided general information about FY17 budget, explaining that tentatively May 10 th would be the date for approval on second reading with first reading tentatively on April 26. Budget presentation would probably be April 12. Teague expressed concern about the tight schedule. Towarnicki stated that he had already provided a 5% reduction target for the schools and the department heads. There are several factors that could affect the expected budget reduction. January 26, 2016 Unless there are significant changes on the revenue side, he expects this reduction to carry on into FY18. By spreading it out over two years it lessens the impact to the citizens. Staff has been kept informed on what to expect. Bowles thanked Towarnicki for being transparent and working with the departments to get the numbers as early as possible. Towarnicki shared the possibility of cutting ties with the Armory since the City does not have access to public use of that location. Teague said in his opinion the time for funding of the Armory should be over. Towarnicki said that not having public use of the building has actually removed a considerable amount of time and paperwork for staff. Consider approval of consent agenda – A motion was made by Teague and seconded by Stroud to approve the consent agenda as presented, all Council Members voted in favor. Comments by members of City Council – Council Member Stroud reminded the citizens that the Sheriff’s Department runs the Project Lifesaver program for seniors, autistic children, and residents with mental illness. Vice Mayor Bowles read a Resolution recognizing City Manager Towarnicki for receiving the Fred Herring Award. She thanked him for being an advocate for Council and the City. Hodge thanked him for putting forth enthusiasm and serving as an advocate for the small business initiative. Turner stated he knows that Towarnicki has several projects on his plate. Bowles shared that the Millennials of Martinsville and Henry County would be sending a donation to Flint, Michigan and she invited the residents to visit their Facebook page, the PayPal link, or contact an organization representative to contribute to the donation. She wanted to thank the Public Works crew for their work clearing roads during snow storm. City Attorney Monday recognized Mr. & Mrs. William Carter, lifelong residents on Parkview who passed a few years ago. In their wills they left a bequest to the City in total of $13,500 that would be added to the Good Neighbor fund. Turner thanked Vice Mayor Bowles for her assistance in keeping Facebook pages updated and January 26, 2016 responding to concerns during the snow storm. He thanked the Police Department, the Fire Chief and other departments for working together on the Spruce Street Apartment Complex fire. Comments by City Manager – Leon Towarnicki stated that there would be an audit update at the February 9th meeting. David Hughes and other staff will be present for Council members to meet with and ask questions. He stated that crews working during the weather covered12-hour shifts clearing the roads. He explained the process stating while the storm is in progress and it’s actively snowing, the crews would remain on the main routes to keep those as clear as possible. The plan is always to scrape every street at least once within a 24 hour period. Unfortunately while the trucks are on the main routes, traffic continues on secondary streets packing the snow down causing the plows to ride over the ice and snow that has become bonded to the pavement. Trucks continued to work days later going back through locations to get all streets cleared. Parked cars cause issues, sometimes restricting the plows to only clear one lane of some roads. An additional problem with this storm was people digging out cars and driveways and pushing snow back out into the street. The City cannot treat every street with salt because of budget restraints. Some locations are known problem areas so crews treat those areas prior to snow storms. Towarnicki confirmed that the City does not clear driveways, only City streets. He said that crews have begun to clear snow piles from the side of roads especially Uptown. During inclement weather if there is a medical emergency, a death where visitation will be at a home or other special circumstances, he asked that residents contact Public Works and they would be happy to help. Towarnicki said his award from CPEG is an extension of the working relationship that he has with Council and the collaboration they have. Business from the Floor (not televised) – no comments There being no further business, a motion was made by Council Member Teague to adjourn the meeting, seconded by Council Member Stroud with all Council Members voting in favor. The meeting adjourned at 10:05pm. ______________________________________ ______________________________________ Karen Roberts Danny Turner Clerk of Council Mayor February 3, 2016 A special meeting of the Council of the City of Martinsville, Virginia, was held on February 3, 2016, in Council Chambers, Municipal Building, at 8:00 A.M. with Mayor Danny Turner presiding. Council Members present included: Danny Turner, Gene Teague, Sharon Brooks Hodge, Jennifer Bowles and Mark Stroud. Staff present included: City Manager Leon Towarnicki, Assistant City Manager Wayne Knox, and Clerk of Council Karen Roberts. Mayor Turner called the meeting to order. Consider approval of a Joint Resolution with Henry County regarding House Bill 1384/New College Institute – City Manager Towarnicki explained House Bill 1384 which would allow New College Institute to enter into an operations and governance agreement that may include a merger between NCI and other state colleges or universities. He stated that the Henry County Board met February 2, 2016 and adopted the first part of the resolution. Towarnicki stated that Staff recommended that Council adopt the resolution. Teague said the best path to a 4-year university is to approve this resolution, opening up the possibility of a merger and allowing students more variety and opportunities. Bowles said she was definitely in support and it was great to see the City and County in support. She said she looks forward to seeing New College become the vision they had seen originally. Stroud made a motion to approve the resolution with Hodge seconding the motion, all Council Members voted in favor. Teague made a motion to adjourn the meeting at 8:10 A.M., Hodge seconded the motion with all Council Members voting in favor. ______________________________________ ______________________________________ Karen Roberts Danny Turner Clerk of Council Mayor  City Council Agenda Summary Date: February 9, 2016 Item No: 2. Department: City Manager Issue: Hear an update regarding the Virginia Department of Veteran Services. Summary: Nicole Crews, Veterans Service Representative with the Virginia Department of Veterans Services will attend the meeting to briefly provide information on the mission of VDVS, homeless veterans, electronic claims filing, and the Virginia Veterans State Cemeteries. Attachments: None Recommendations: No action needed - presented for information purposes only.  City Council Agenda Summary Date: February 9, 2016 Item No: 3. Department: City Manager Issue: Hear an update from Amanda Witt of the M-HC Chamber of Commerce regarding activities related to the City/C-PEG Small Business Development contract. Summary: Information will be provided regarding activities completed or currently underway related to the City/C-PEG Small Business Development contract, West Piedmont Business Development Center (incubator), and the Startup Martinsville project. Attachments: None Recommendations: No action needed - presented for information purposes only.  City Council Agenda Summary Date: February 9, 2016 Item No: 4. Department: Finance Issue: Hear a report from Robinson, Farmer, Cox Associates on the City’s FY15 audit. Summary: Representatives from RFC Associates will be here for the February 9 Council meeting to review the City’s FY15 audit. Attachments: None Recommendations: This is being presented for information purposes. No action by Council is needed.  City Council Agenda Summary Meeting Date: February 9, 2016 Item No: 5. Department: Finance Issue: Consider approval of a resolution authorizing a public hearing and approving related actions related to potential financing of the City’s sewer interceptor project. Summary: The City is considering financing the acquisition, construction, renovation, and equipping of repairs, replacements, and capital improvements, all for municipal purposes through the issuance of the City's water and sewer revenue bonds in the outstanding principal amount not to exceed $10,000,000. Approval of this resolution is necessary for the City to initiate financing of the project Attachments: Resolution Recommendations: Motion and vote to approve the Resolution.  RESOLUTION AUTHORIZING PUBLIC HEARING AND APPROVING RELATED ACTIONS RELATED TO POTENTIAL FINANCING WHEREAS, the City Council (the "City Council" of the City of Martinsville, Virginia (the "City") is considering financing the acquisition, construction, renovation and equipping of sewer system repairs, replacements, and capital improvements, all for municipal purposes (together, the “Project”) through the issuance of the City's water and sewer revenue bonds in the outstanding principal amount not to exceed $10,000,000 (the “Bonds”). NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF MARTINSVILLE, VIRGINIA: 1. The City Manager, Finance Director, City Attorney, bond counsel to the City and all other officers, employees and agents of the City are hereby authorized and directed to take such further action deemed necessary or desirable to facilitate consideration of the proposed Bonds, including but not limited to the publication and broadcasting of notice of a public hearing as required by law. 2. All actions of the City Manager, Finance Director, City Attorney, bond counsel, financial advisor and all other officers, employees and agents of the City in furtherance of the issuance of the Bonds, including applications for one or more loans from the Virginia Clean Water Revolving Loan Fund, are hereby approved and ratified. 3. This Resolution shall take effect immediately. {V0139519.1 004086-090365 }  CERTIFICATE The Members of the Council voted as follows on the foregoing Resolution: Ayes Nays Absent Abstentions Adopted this 9th day of February, 2016. _________________________________ The undersigned Clerk of the City Council of the City of Martinsville, Virginia hereby certifies that the foregoing constitutes a true and correct extract from the minutes of a meeting of the City Council held on February 9, 2016, and of the whole thereof so far as applicable to the matters referred to in such extract. I hereby further certify that such meeting was a regularly called meeting and that, during the consideration of the foregoing Resolution, a quorum was present, and that such Resolution has not been repealed, revoked, rescinded or amended. Dated this _____ day of ___________, 2016. ________________________________________ Clerk, City Council of City of Martinsville, Virginia {V0139519.1 004086-090365 }  City Council Agenda Summary Meeting Date: February 9, 2016 Item No: 6. Department: Finance Issue: Consider approval on first reading of an ordinance reciting the expediency of the issuance of up to $10,000,000 principal amount of water and sewer revenue bonds for the City’s sewer interceptor project. Summary: The City proposes to issue water and sewer revenue bonds for the purpose of assisting in the acquisition, construction, renovation, and equipping of sewer system repairs, replacements, and capital improvements, and for certain costs of issuance of the Bonds, all for municipal purposes not to exceed $10,000,000 in principal amount. Approval of this ordinance is required for the City to initiate financing of the project. Attachments: Copy of ordinance Recommendations: Motion to approve the ordinance on first reading with roll call vote. Consideration of approval on second reading will occur at Council’s February 23, 2016 meeting.  CITY OF MARTINSVILLE, VIRGINIA AN ORDINANCE RECITING THE EXPEDIENCY OF THE ISSUANCE OF UP TO $10,000,000 PRINCIPAL AMOUNT OF WATER AND SEWER REVENUE BONDS OF THE CITY OF MARTINSVILLE, VIRGINIA, AND SETTING FORTH THE PURPOSE, IN GENERAL TERMS, FOR WHICH THE BONDS ARE TO BE ISSUED, THE MAXIMUM AMOUNT OF THE BONDS TO BE ISSUED AND THE MAXIMUM LENGTH OF TIME SUCH BONDS WILL BE OUTSTANDING Adopted on February 9, 2016 (first reading) {V0139606.1 004086-090365 } Be it Ordained by the Council of the City of Martinsville, Virginia: Section 1 - Findings and Determinations The City Council ("City Council") of the City of Martinsville, Virginia (the "City") proposes to issue bonds for the purpose of assisting in the acquisition, construction, renovation and equipping of sewer system repairs, replacements, and capital improvements, all for municipal purposes (together, the “Project”) and hereby finds and determines that: (i) the City is in need of funds to be used by the City for the Project including paying for costs of issuance of the Bonds (defined below); (ii) the obtaining of such funds will be for municipal purposes of the City, for the welfare of citizens of the City for purposes which will serve the City and its citizens pursuant to the authority of the City to provide funds for the City’s facilities for municipal purposes; (iii) the most effective, efficient and expedient manner in which to provide such funds to the City is through the issuance of water and sewer revenue bonds in an original principal amount not to exceed $10,000,000 to be issued by the City as further described herein (the "Bonds") to be used for the acquisition, construction, renovation and equipping of the Project and for certain costs of issuance of the Bonds; (iv) the issuance of the Bonds is within the power of the City to contract debts, borrow money and make and issue evidence of indebtedness; and, (iv) the issuance of the Bonds is in the best interests of the City and its citizens. Section 2 - Description of the Bonds The City Council finds that it is expedient for the City to borrow money and issue the Bonds for the Project in a maximum amount not to exceed TEN MILLION DOLLARS ($10,000,000). The maximum length of time that the Bonds will be outstanding is thirty years. The form and details of the Bonds which are proposed to be issued will be more specifically set forth in a City Ordinance to be entitled “AN ORDINANCE AUTHORIZING THE ISSUANCE OF UP TO $10,000,000 MAXIMUM PRINCIPAL AMOUNT OF WATER AND SEWER REVENUE BONDS OF THE CITY OF MARTINSVILLE, VIRGINIA AND PROVIDING FOR THE FORM, DETAILS AND PAYMENT THEREOF, which will be introduced before the Council and considered for final passage following a public hearing on the issuance of the Bonds, as required by law. Section 3 - Further Actions Authorized The City Manager, Clerk of the Council, City Treasurer, City Attorney, Sands Anderson PC as bond counsel and all other officers, employees and agents of the City are hereby authorized and directed to take any and all such further action as shall be deemed necessary or desirable to facilitate consideration of the issuance of the Bonds. All actions of the City Manager, Clerk of the Council, City Director of Finance, City Attorney, bond counsel and all other officers, {V0139606.1 004086-090365 } employees and agents of the City in furtherance of the issuance of the Bonds and the financing of the Project are hereby approved and ratified. Section 4 - Invalidity of Sections If any section, paragraph, clause or provision of this Ordinance shall be held invalid or unenforceable for any reason, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining portions of this Ordinance. Section 5 - Headings of Sections The headings of the sections of this Ordinance shall be solely for convenience of reference and shall not affect the meaning, construction, interpretation or effect of such sections of this Ordinance. Section 6 - Effective Date and Filing of Ordinance Council hereby declares in the public interest that this Ordinance shall become effective immediately upon its passage. A copy of this Ordinance, certified by the Clerk of the Council, shall be filed with the Clerk of the Circuit Court of the City of Martinsville, Virginia. {V0139606.1 004086-090365 } 2 The Members of the Council voted as follows on the foregoing Ordinance: Ayes Nays Absent Abstentions Adopted this 9th day of February, 2016 (first reading). _________________________________ The undersigned Clerk of the City Council of the City of Martinsville, Virginia hereby certifies that the foregoing constitutes a true and correct extract from the minutes of a meeting of the City Council held on February 9, 2016, and of the whole thereof so far as applicable to the matters referred to in such extract. I hereby further certify that such meeting was a regularly called meeting and that, during the consideration of the foregoing Ordinance, a quorum was present. Dated this _____ day of ___________, 2016. ________________________________________ Clerk, City Council of City of Martinsville, Virginia {V0139606.1 004086-090365 } 3  City Council Agenda Summary Meeting Date: February 9, 2016 Item No: 7. Department: Finance Issue: Financial Report Summary: FY16 – As of 12/31/15 - Revenues & Expenditures; Combined Balance Sheet; Projected Fund Balance Exclusive of School and Special Revenue funds, actual revenues were $31,116,175, 101.8% of the anticipated $30,579,827 through December 31, 2015. Having received five months receipts, Local Sales & Use Taxes collected through the same time period were greater than anticipated by $64,198, for total receipts of $796,648. Overall, Utility revenues were greater than anticipated, averaging 103.2%. Actual expenditures at mid-year were $33,237,571, which represents 99.2% of the anticipated amount of $33,501,430. The “actual” figures include all outstanding encumbrances of $817,293. As of December 31st, the total Combined Fund Balance and Net Position was $14,000,916, a decrease from FY15 year-end of $2,010,396. The available cash-on-hand for all City Funds was $14,556,377, an increase of $2,866,290 over the same time period last year. Based upon information from the Final FY15 Comprehensive Annual Financial Report (CAFR) regarding year-end balances, the current Fund Balances and Net Unrestricted Net Position is $14,000,916, a decrease of $2,010,396 from prior year. As explained in the past, this amount is fluid and continues to change daily. Attachment: Consolidated Revenues and Expenditures – 12-31-15 Combined Balance Sheet – 12-31-15 Projected Fund Balance FY16 – Year End Recommendations: Motion to approve financial report.  City of Martinsville Combined Balance Sheet FY16 - 12/31/15 CURRENT JUNE 30, 2015 FUND BAL & FUND BAL & TOTAL LIABILITIES UNRESTRICTED UNRESTRICTED DIFFERENCE FUND ASSETS &RESERVES NET POSITION NET POSITION FROM FY15 GENERAL FUND $ 13,799,911 $ (6,953,892) $ 6,846,020 $ 7,851,460 $ (1,005,441) MEALS TAX $ 556,551 $ - $ 556,551 $ 825,849 $ (269,298) SCHOOL CAFETERIA $ 839,079 $ (330) $ 838,749 $ 965,571 $ (126,822) REFUSE COLLECTION FUND $ 8,550,274 $ (7,516,564) $ 1,033,710 $ 2,979,172 $ (1,945,462) TELECOMMUNICATIONS $ (215,061) $ (39,098) $ (254,160) $ (355,914) $ 101,755 WATER FUND $ 6,437,361 $ (5,520,791) $ 916,570 $ 8,889 $ 907,681 SEWER FUND $ 4,605,572 $ (4,900,112) $ (294,540) $ (1,059,311) $ 764,771 ELECTRIC FUND $ 14,864,318 $ (11,054,422) $ 3,809,896 $ 4,178,168 $ (368,272) CAPITAL RESERVE FUND $ 349,584 $ - $ 349,584 $ 697,465 $ (347,881) SCHOOL FUND $ 502,814 $ (58,104) $ 444,711 $ - $ 444,711 SCHOOL FEDERAL PROGRAMS $ (264,566) $ (71) $ (264,637) $ (80,128) $ (184,509) CDBG FUND $ 119,846 $ (140,672) $ (20,826) $ (53,031) $ 32,205 HOUSING CHOICE $ 39,288 $ - $ 39,288 $ 53,122 $ (13,834) TOTAL $ 50,184,970 $ (36,184,055) $ 14,000,916 $ 16,011,312 $ (2,010,396) RESERVED FUNDS INSURANCE TRUST FUND $ 224,717 $ - $ 224,717 $ 266,878 $ (42,161) INMATE TRUST FUND $ 158,284 $ - $ 158,284 $ 135,469 $ 22,815 Fiduciary Agency Funds: 05-SVRFA $ 18,822 $ (102) $ 18,720 $ 8,442 $ 10,278 06-Dan River ASAP $ 455,131 $ (221,121) $ 234,010 $ 247,366 $ (13,356) 15-PRCJTA $ 506,125 $ - $ 506,125 $ 430,279 $ 75,846 30-BRRL $ 258,782 $ (4) $ 258,778 $ 89,923 $ 168,855 TOTALS: $ 1,238,859 $ (221,227) $ 1,017,633 $ 776,010 $ 241,622  City of Martinsville Consolidated Revenues and Expenditures FY16 - December 31, 2015 Actual Remaining Difference Budget Anticipated YTD Balance Ant vs. Actual General Fund Revenues $ 30,456,071 $ 14,361,174 $ 14,889,885 $ 15,566,186 103.7% Expenditures 34,219,410 16,265,228 16,085,818 18,133,592 98.9% Excess (deficiency) of revenues over expenditures $ (3,763,339) $ (1,904,054) $ (1,195,934) (Fund Bal contrib) Actual Remaining Difference Budget Anticipated YTD Balance Ant vs. Actual Capital Funds Meals Tax Revenues $ 2,066,792 $ 1,004,666 $ 1,030,380 $ 1,036,412 102.6% Expenditures 2,066,792 1,299,678 1,299,678 767,114 100.0% Excess (deficiency) of revenues over expenditures $ - $ (295,012) $ (269,298) Capital Reserve Revenues $ 1,411,580 $ 592,508 $ 599,933 $ 811,648 101.3% Expenditures 2,009,783 1,110,487 1,110,487 899,296 100.0% Excess (deficiency) of revenues over expenditures $ (598,203) $ (517,979) $ (510,554) TOTAL CAPITAL FUNDS: $ (598,203) $ (812,991) $ (779,853) (Fund Bal contrib) Actual Remaining Difference Budget Anticipated YTD Balance Ant vs. Actual Refuse Fund Revenues $ 2,229,000 $ 869,640 $ 880,878 $ 1,348,122 101.3% Expenditures 4,190,743 1,921,911 1,798,681 2,392,062 93.6% Excess (deficiency) of revenues over expenditures $ (1,961,743) $ (1,052,271) $ (917,803) MINet/Fiber Optic Fund Revenues $ 1,561,671 $ 687,469 $ 780,965 $ 780,706 113.6% Expenditures 1,260,716 682,544 717,694 543,022 105.1% Excess (deficiency) of revenues over expenditures $ 300,955 $ 4,925 $ 63,271 Water Fund Revenues $ 3,305,000 $ 1,652,440 $ 1,657,193 $ 1,647,808 100.3% Expenditures 3,176,910 970,872 875,412 2,301,498 90.2% Excess (deficiency) of revenues over expenditures $ 128,090 $ 681,568 $ 781,781 Sewer Fund Revenues $ 4,027,512 $ 2,013,256 $ 2,069,322 $ 1,958,190 102.8% Expenditures 3,993,877 1,583,006 1,686,336 2,307,541 106.5% Excess (deficiency) of revenues over expenditures $ 33,635 $ 430,250 $ 382,986 Electric Fund Revenues $ 18,808,905 $ 9,398,674 $ 9,207,621 $ 9,601,284 98.0% Expenditures 21,525,821 9,667,704 9,663,465 11,862,356 100.0% Excess (deficiency) of revenues over expenditures $ (2,716,916) $ (269,030) $ (455,844) TOTAL UTILITY FUNDS: $ (4,516,934) $ (209,483) $ (208,880) (Fund Bal contrib)  Consolidated Revenues and Expenditures FY16 - December 31, 2015 Actual Remaining Difference Budget YTD Balance Budg vs. Actual Cafeteria Revenues $ 1,398,383 $ $ 593,978 $ 804,405 42.5% Expenditures 1,486,358 720,799 765,559 48.5% Excess (deficiency) of revenues over expenditures $ (87,975) $ $ (126,822) Schools Revenues $ 23,131,168 $ $ 10,018,910 $ 13,112,258 43.3% Expenditures 23,189,784 9,640,545 13,549,239 41.6% Excess (deficiency) of revenues over expenditures $ (58,616) $ $ 378,365 Federal Programs Revenues $ 1,780,061 $ $ 800,767 $ 979,294 45.0% Expenditures 1,780,061 980,523 799,538 55.1% Excess (deficiency) of revenues over expenditures $ - $ $ (179,756) TOTAL SCHOOL FUNDS: $ (146,591) $ - $ 71,787 (fund bal contrib) Actual Remaining Budget YTD Balance Special Revenue Funds CDBG Fund Revenues $ 617,292 $ 695,205 $ (77,913) 112.6% Expenditures 1,535,864 663,000 872,864 43.2% Excess (deficiency) of revenues over expenditures $ (918,572) $ 32,204 Housing Choice Fund Revenues $ - $ 104 $ (104) Expenditures 5,348 13,939 (8,591) 260.6% Excess (deficiency) of revenues over expenditures $ (5,348) $ (13,835) TOTAL SPECIAL REVENUE FUNDS: $ (923,920) $ 18,370 Actual Remaining Difference Budget Anticipated YTD Balance Ant vs. Actual GRAND TOTALS: (excluding Schools & Special Revenues) Revenues: $ 63,866,531 30,579,827 $ 31,116,175 $ 32,750,356 101.8% Expenditures 72,444,052 33,501,430 33,237,571 39,206,481 99.2% Excess (deficiency) of revenues over expenditures $ (8,577,521) (2,921,603) $ (2,121,396) Local Sales/Use Taxes $ 1,900,000 $ 732,450 $ 796,648 $ 1,103,352 108.8% Meals Taxes $ 1,700,000 $ 821,270 $ 846,194 $ 853,806 103.0% The Budgeted Revenue amounts do not include any contributions from Fund Balance.  CITY OF MARTINSVILLE FUND BALANCE 12/31/2015 Audited Fund Adopted Adopted Balance & Net Budgeted Budgeted Projected Fund Position Revenues Expenditures Budgeted Balance & Net Net (Decrease) 06/30/15 FY16 FY16 Depreciation Position 06/30/16 Increase GENERAL 7,851,460 30,264,677 33,431,377 4,684,760 (3,166,700) MEALS TAX 825,849 2,066,792 2,066,792 825,849 0 CAPITAL RESERVE 697,465 1,411,580 1,661,580 447,465 (250,000) TOTAL CAPITAL FUNDS 1,523,314 3,478,372 3,728,372 1,273,314 (250,000) REFUSE 2,979,172 2,229,000 4,121,743 225,000 1,311,429 (1,667,743) WATER 8,889 3,303,500 2,975,410 250,000 586,979 578,090 SEWER (1,059,311) 4,027,512 3,993,877 300,000 (725,676) 333,635 ELECTRIC 4,178,168 18,800,095 21,117,761 450,000 2,310,502 (1,867,666) TOTAL UTILITY FUNDS 6,106,918 28,360,107 32,208,791 1,225,000 3,483,234 (2,623,684) CAFETERIA 965,571 1,398,383 1,486,358 877,596 (87,975) SCHOOLS 0 23,131,168 23,189,784 (58,616) (58,616) SCHOOL GRANTS (80,128) 1,780,061 1,780,061 (80,128) 0 TOTAL SCHOOL FUNDS 885,443 26,309,612 26,456,203 738,852 (146,591) TELECOMMUNICATIONS (355,914) 1,561,671 1,260,716 (54,959) 300,955 CDBG (53,031) 17,292 17,292 (53,031) 0 HOUSING CHOICE 53,122 5,348 5,348 53,122 0 TOTAL SP REV FUNDS (355,823) 1,584,311 1,283,356 (54,868) 300,955 TOTAL ALL FUNDS 16,011,312 89,997,079 97,108,099 1,225,000 10,125,292 (5,886,020) Fund Balance Summary Total Funds: Total Category: Non-spendable: 2,151,051 Inventory 2,145,626 Prepaid Items - Gen Fund 5,425 Restricted: 0 Capital Proj - Meals Tax Fund 0 Capital Reserve Fund Project 0 Committed to: 879,315 PART 28,725 Housing Choice 53,122 Cafeteria Fund 877,596 School Grants Fund -80,128 Assigned to: 1,273,314 Capital Reserve Fund 447,465 Meals Tax Fund 825,849 Unassigned: 5,821,612 Non-utility Funds: 3,675,795 Utility Funds: 2,145,817 Totals: 10,125,292 10,125,292 Unassigned Comparison to Policy Recommended Projected Variance Non-Utility 3,343,138 3,675,795 332,658 Utility 6,106,918 2,145,817 -3,961,101 Total: 9,450,056 5,821,612 -3,628,443  City Council Agenda Summary Meeting Date: February 9, 2016 Item No: 8. Department: Finance Issue: Appropriation Approvals Summary: The attachment amends the FY16 Budget with appropriations in the following funds: General: $ 19,056 – Federal Grants Capital Reserve: $ 8,209 - Donation Attachments: Consent Agenda 2-9-16 Recommendations: Approve  BUDGET ADDITIONS FOR 2/9/16 ORG OBJECT DESCRIPTION DEBIT CREDIT FY16 General Fund: 01102925 436103 Byrne/JAG Grant - Police Department 8,914 01311085 506082 Police Department - Byrne/JAG Grant Program 8,914 Federal grant award 01102926 436102 Byrne Grant - Sheriff Department 9,500 01331108 506010 Sheriff Corrections - Radios & Weapons 9,500 Federal grant award 01102926 436430 Categorical Federal - SCAAP Grant 642 01331108 505540 Sheriff Corrections - Training 642 Federal grant award Total General Fund: 19,056 19,056 Capital Reserve Fund: 16100908 480410 Misc Revenue - Donations/Fire Dept 8,209 16572362 508080 Tools/Equipment - EMS 8,209 Thermal Imaging Camera Total Capital Reserve Fund: 8,209 8,209