Board of Public Works & Safety

REGULAR MEETING – January 13, 2014 The Board of Public Works and Safety of the City of Michigan City, Indiana, met in RESCHEDULED SESSION on Monday morning, January 13, 2014 at the hour of 9:00 a.m., in the Council Chambers, in the City Hall Building, located at 100 East Michigan Boulevard, Michigan City Indiana – a regular meeting room of this Board. The meeting was called to order by President, Steve Janus, who presided. Noted present: Steve Janus, Sharon Carnes and Michael Palmer (3). Absent: none (0). A QUORUM WAS NOTED PRESENT. Also noted in attendance: John Espar, Corporate Counsel Donna Pappas, City Controller Russ Hatfield, Code Enforcement Officer Terry Borolov, Code Enforcement Officer Lt. Jeff Loniewski, M.C.P.D. Traffic Division Bob Zondor, Superintendent Central Services Charles “Spike” Peller, City Engineer Craig Phillips, Planning Director Skyler York, Asst. Planning Director Rob Strader, Director M.C. Transit Department Ben Neitzel, Superintendent Central Maintenance Michael Kuss, General Manager Sanitary District Clarence Hulse, Executive Director M.C. Economic Development Corporation Judy Pinkston, Director CDBG Gale Neulieb, City Clerk Kim Sliwa, Deputy City Clerk APPROVAL OF MINUTES President Janus asked if there were any corrections to the minutes of the Regular meeting of December 16, 2013. Michael Palmer made the motion to approve the minutes from the regular meeting of December 16, 2013. The motion was seconded by Vice-President Carnes and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. ELECTION OF OFFICERS Vice-President Carnes made a motion to elect Steve Janus as President for 2014. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. Regular Meeting – January 13, 2014 Page 2 President Janus made a motion to elect Sharon Carnes as Vice President for 2014. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. OPENING OF BIDS – 2912 E. Michigan Boulevard President Janus asked if there was anyone present who wished to submit a bid at this time. There was no response, and President Janus asked for a motion to close the acceptance of bids. Vice-President Carnes made the motion to close the bids. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. Discussion ensued between the Board and Corporate Counsel John Espar regarding the delay of the regularly scheduled meeting due to the Snow Emergency and allowing all bidders to submit their bid proposals at this morning’s re-scheduled meeting. John Blosky, Amereco Engineering addressed the Board stating he did reach out to all the bidders to notify them of the re-scheduled meeting. Vice-President Carnes made the motion to waive the previous deadline of January 6, 2014 and establish January 13, 2014 at 9:00 a.m. as the deadline. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. Corporate Counsel John Espar opened the following bids: 1) Actin Contracting LLC base bid: $15,875.00 + removal of contaminated soil $73.00/per ton 2) G.E. Marshall Inc. base bid: $45,066.00 + removal of contaminated soil $85.00/per ton 3) C. Lee Construction Services, Inc. base bid: $23,805.00 + removal of contaminated soil $53.00/per ton Vice-President Carnes made the motion to refer the bids to the project consultant and appropriate departments. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. AGREEMENT – Renewal of Self-funded Workers Compensation Program – Tom Cipares, General Insurance Tom Cipares with General Insurance addressed the Board explaining the Agreement renewal, and asked for their acceptance of same. Mr. Cipares explained that claims handling is provided by CMI-York Services and Excess coverage is purchased through Safety National; and that these services and costs are shared with the Michigan City Sanitary District, with the City paying approximately 79% and the Sanitary District paying approximately 21%. Mr. Regular Meeting – January 13, 2014 Page 3 Cipares further explained that in addition to the fees, it is their recommendation that the City should be budgeting $446,000.00 per year into the loss fund and the Sanitary District should be budgeting $120,000.00 per year into their loss fund; which is how the City would achieve an excess amount of funds over the years and that’s how Self-Insurance works. Discussion ensued between the Board, Mr. Cipares and Donna Pappas City Controller regarding the budgeting figures. Mrs. Pappas replied that she was unable to answer at this time. Vice-President Carnes made the motion to approve the Agreement with General Insurance Services for the City’s Third Party Administration, and excess claims. The motion was seconded by Michael Palmer and carries as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. Vice-President Carnes addressed Mr. Cipares asking him to provide a signature page for the Agreement. CONTRACT – Contract for Professional Community and Economic Development Services By and Between the City of Michigan City and Economic Development Corporation Michigan City, Indiana Clarence Hulse, Executive Director Michigan City Economic Development Corporation addressed the Board and presented the following contract; asking the Board for their approval. CONTRACT FOR PROFESSIONAL COMMUNITY AND ECONOMIC DEVELOPMENT SERVICES BY AND BETWEEN THE CITY OF MICHIGAN CITY AND ECONOMIC DEVELOPMENT CORPORATION MICHIGAN CITY, INDIANA THIS CONTRACT, entered into as of 1st day of January, 2014, by and between the City of Michigan City, Indiana, acting by and through the Board of Public Works and Safety of “Michigan City,” and the Economic Development Corporation Michigan City, Indiana (hereinafter referred to as the “Corporation”). WHEREAS, Michigan City has a need for professional consultant services to perform community and economic development activities in Michigan City, Indiana; and WHEREAS, Michigan City desires to engage in certain activities necessary for development of the community and economic base of Michigan City, Indiana; and WHEREAS, Michigan City desires to engage the Corporation to render such professional consultant and marketing services for Michigan City; NOW, THEREFORE, the parties hereto do mutually agree as follows: A. SCOPE OF SERVICES The Corporation shall assist and advise Michigan City in economic development activities, and shall coordinate economic development activities for Michigan City, which shall include the following: 1. Industrial & Commercial Recruiting, Retention and Plant Expansions: The Corporation shall work with, and act as, the coordinator of industrial and commercial recruiting, retention and expansion activities for the City of Michigan City Michigan City. These activities shall include actively seeking new industry to locate in Michigan city and assisting local industry with plant expansions. The primary objective of this activity is: Regular Meeting – January 13, 2014 Page 4 (a) To retain the jobs currently located in Michigan City; (b) Provide expansion opportunities to local industry that will result in more city jobs; (c) Recruit new industry to locate in Michigan City resulting in an expanded tax base; and (d) Retain and assist existing businesses in Michigan City resulting in an expanded tax base; and (e) Increase in job opportunities for residents. 2. Infrastructure Development: The Corporation shall work with Michigan City to develop plans to address efforts to return vacant, abandoned, underutilized or depressed lands and properties, including “brownfield sites,” to economic viability, as related to the overall community and economic development of Michigan City. 3. Tax Abatement: (a) Assist the Common Council in its oversight responsibilities of tax abatement recipients, including collection, compilation and report of State Forms, CF-1 and SB-1 for compliance with the recipient’s Statement of Benefits. (b) Submit a semi-annual report to the Common Council and/or Board of Public Works and Safety, detailing new investment activity and visits to existing companies. 4. Michigan City Economic Development Revolving Loan Fund (MCEDRLF) (a) The Economic Development Corporation Michigan City will operate the MCEDRLF with the City of Michigan City (acting by through the Board of Public Works and Safety) as authorized by city ordinance and funded by the Common Council. (b) Loans shall be approved by a loan committee that includes two senior level professional loan officers, one appointed by the Mayor, and one appointed by the Council. The committee shall also include one additional member appointed by the Mayor and one appointed by the Council. Additionally, the Council shall have a liaison appointment to this committee. (c) The Development Corporation will submit semi-annual written and oral reports to the Mayor and the Common Council containing individual summaries of training, employment, investment, and loan status. The Loan Committee will draft necessary loan policies, requirements and manuals for approval by the City Council. B. TIME OF PERFORMANCE The services of the Corporation are to commence on January 1, 2014 and shall be completed in a timely manner as required by the Common Council or Board of Public Works and Safety, but shall not extend beyond December 31, 2014. C. COMPENSATION This is a fee for services contract. As compensation for the services rendered, Michigan city shall pay the Corporation for the performance of such categories or projects set forth in Exhibit “A” attached hereto and incorporated herein; provided that, the total amount for such services during the term of this contract shall not exceed the sum of One Hundred Thousand and 00/100 Dollars ($100,000.00). The Corporation shall submit invoices to the Michigan City Controller for the services performed on a periodic basis, not more often than quarterly, utilizing claim forms acceptable to the Indiana State Board of Accounts and Michigan City Controller, identifying and designating the performance, in part or in whole, of such projects as are set forth in Exhibit “A.” D. REIMBURSABLE EXPENSES The Corporation will be responsible for the payment of all expenses incurred in fulfilling the obligations of the Corporation under the terms of this Contract. However, parties recognize that the Corporation may wish to pursue extraordinary opportunities to recruit international or interstate businesses or by participation in trade shows offering general promotional access to multiple business of the same industry. The Regular Meeting – January 13, 2014 Page 5 parties anticipate that additional compensation to reimburse for extraordinary expenses incurred by such activities may be independently authorized by joint agreement of the Corporation and Board of Public Works and Safety on a case-by-case basis. Such changes which are mutually agreed upon by and between Michigan City and the Corporation shall be incorporated in written addenda to this contract. E. CHANGES Michigan City may, from time to time, request changes in the Scope of Services, Section A of this Contract, to be performed by the Corporation hereunder. Such changes, including any increase or decrease in the amount of the Corporation’s compensation, which are mutually agreed upon by and between Michigan City and the Corporation shall be incorporated in written addenda to this contract. The Corporation may request a change in the maximum amount payable by Michigan City in the event that said maximum amount does not provide just compensation for services provided hereunder. Such changes which are mutually agreed upon by and between Michigan City and Corporation shall be incorporated in written addenda to this contract. F. PERSONNEL The Corporation represents that it will be responsible for execution of services under this Contract. All services required hereunder will be performed by the Corporation for its agent and all individuals engaged in the work shall be fully qualified and shall be authorized or permitted under state and local law to perform such services. G. CORPORATION RECORDS MAINTENANCE The Corporation shall maintain accounts and records, including personnel, and financial records, adequate to identify and account for all costs pertaining to this contract and such other records as may be deemed necessary to assure proper accounting. These records will be made available for audit purposes and will be retained for three (3) years after the expiration of this Contract unless permission to destroy them is granted. H. FINDINGS CONFIDENTIAL All of the reports, information, data, etc., prepared or assembled by the Corporation under this Contract are confidential, and the Corporation agrees that they not be made available to any individual or organization without prior written approval of the City of Michigan City. Likewise, the City agrees that all of the reports, information, data, etc., will not be made available to any individual or organization without prior written approval, and will seek written approval from the Corporation prior to any release. I. COPYRIGHT No report, maps or other documents produced in whole or in part under this contract shall be the subject of an application for copyright by or on behalf of the Corporation. J. COMPLIANCE WITH LOCAL LAW The Corporation shall comply with all applicable laws, ordinances and codes of the state and local government. K. TERMS AND TERMINATION This Contract shall expire December 31, 2014. IN WITNESS WHEREOF, the City of Michigan City by the Board of Public Works and Safety and Corporation has executed this Contract as of the date of first written above. EXHIBIT “A” ANTICIPATED FEE PROJECT FOR SERVICE Retention & Expansion – Business Visitation Program $20,000 Regular Meeting – January 13, 2014 Page 6 Business Attraction – Response to request for information and follow-up with business prospects $15,000 Economic development representation at targeted industry trade shows and conferences and with site selectors $15,000 Michigan City Business Recognition Events $10,000 Infrastructure development $5,000 Tax abatement compliance and review $15,000 Promotions/advertising and research $15,000 Brownfield redevelopment and program administration $2,500 Revolving Loan Fund administration $2,500 MAXIMUM ANNUAL CLAIMS FOR ALL SERVICES $100,000 Corporate Counsel John Espar addressed the Board stating he has reviewed the Contract. Michael Palmer made the motion to approve the Contract for Professional Community and Economic Development Services By and Between the City of Michigan City and Economic Development Corporation effective January 1, 2014 for a period of one (1) year. The motion was seconded by Vice-President Carnes and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. APPROVAL OF CONSTRUCTION CONTRACT – Old Lighthouse Museum Lantern Room Restoration Project (Note: TABLED at the December 16, 2013 meeting) President Janus asked if there was anyone present to address this item. There was no response, and President Janus stated the item will be held over until the next meeting. REQUEST TO USE CITY RIGHT-OF-WAY – AT&T requests to utilize a portion of a vacant alley south of parking lot located at 1637 E. Michigan Boulevard to install a utility cabinet for their UVERSE TV service (Note: TABLED at the December 16, 2013 meeting) Richard Schulte, Design Engineer for AT&T addressed the Board explaining the request; asking for approval. Michael Kuss, General Manager Sanitary District addressed the Board and Mr. Schulte stating reasons why the Sanitary District would not be in favor of the granting the request; as the Sanitary District has future plans to install/upgrade sanitary sewers in that area. Discussion ensued between the Board, Corporate Counsel Espar, Mr. Kuss and Mr. Schulte regarding AT&T having insurance to cover costs if the cabinets are damaged; that they may need to be moved if the Sanitary District requests; and a Licensing Agreement that would need to be signed for the use of the City right-of-way. Corporate Counsel Espar stated he will forward copies of Licensing Agreements to Mr. Kuss for drafting of a License Agreement to be prepared by the Sanitary District. Regular Meeting – January 13, 2014 Page 7 Craig Phillips, City Planner addressed the Board stating his department has no issues with the request. Vice-President Carnes made the motion to TABLE the item until the January 21, 2014 meeting. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. REQUEST FOR HANDICAP PARKING SIGNS & INSTALLATION OF LIGHT – Ella Richard, 515 Union Street is requesting two (2) handicap parking signs in front of her residence and installation of light in alley The following correspondence was received in the City Clerk’s Office on December 16, 2013 from Ella Richard, 515 Union Street: Type of Request: info. 2 signs for parking in front of my house (disable) For parking (disable) signs; for children out playing, also let the traffic know that there is a lot of kids that live here. Streets need to be fix & school buses stops. There is a lot of disable Seniors that live alone we need light in our alleys, check the poles (no bulbs). We use our backdoors, also our company is scared away. I have lived here over 30 years. There is a tree by the alley that was hit by lighting 3X, the limbs were as big as a tree. I paid $600.00 to have them cut up & taken away. Please get rid of what is left. Lt. Jeff Loniewski, M.C.P.D. Traffic Division addressed the Board regarding the request stating he has spoken with Mrs. Richard and explained that the City is not currently installing “Handicap” Parking signs, and recommended denial of this request; also, that the “Children Playing” signs are no longer recognized with the MUTCD, and recommended denial of this request. Lt. Loniewski further explained the request for street lighting in the alley, advising the Board that it is easier for Mrs. Richard to park at the rear of her residence, and recommended that the City Engineer’s Office look at the feasibility of installing a street light in the alley behind her residence, and that there is a utility line running in the alley and Mrs. Richard told him that alley did have street lights. Lt. Loniewski also explained to the Board that there is a large dead tree just off the alley right-of-way, and he recommend that the City Forrester look at this to see if it’s possible for the City to take it down as it appears to be on City right-of-way. Vice-President Carnes made the motion to refer the matter to the City Engineer for the installation of a street light in the alley and to the City Forrester for removal of the dead tree. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. CLAIMS AND PAYROLL Michael Palmer moved that the claims set forth in the Register of Claims (in possession of the City Controller) and appearing in the Register be severally allowed and ordered paid and proper warrants for payment thereof hereby ordered issued in the stated amounts to person(s) and/or firm(s) as set forth, and payrolls approved. The motion was seconded by Vice-President Carnes and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. Regular Meeting – January 13, 2014 Page 8 The Board signed: Payroll items in Register of Claims for informational purposes (which Register is in the possession of the City Controller) as follows: Page Date Amount 1 of 8 12/26/2013 $402,106.18 1 of 3 12/31/2013 $232,544.11 1 of 7 01/09/2014 $402,462.99 Allowance of claims as set forth in the Register of Claims for the Board of Public Works and Safety and the Department of Redevelopment as follows: Page Date Amount 1 of 3 01/03/2014 $549,438.71 1 of 1 01/08/2014 $7,771.20 1 of 1 01/06/2014 $14,151.46 UNFINISHED BUSINESS – Pending Items Pending Item – Ice Cream Parlor President Janus addressed City Planner Craig Phillips asking if the perspective buyer has a date for “signing” for the purchase of the property. Craig Phillips, City Planner addressed the Board regarding the property stating he has no new information at this time and will reach out to the perspective buyer and report back at the next meeting. Vice-President Carnes made the motion to suspend the rest of the items on the Pending Item List until the meeting to be held on Tuesday, January 21, 2014. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. PUBLIC COMMENTS President Janus asked if there was anyone from the public that would like to speak at this time. Gene Smith, Smith Farms addressed the Board asking for a Fire Permit to do a controlled burn along Michigan Boulevard near Meer Road and US Hwy 20 across from the Airport. Mr. Smith submitted an “Open Burning Permit Application” from the Michigan City Fire Department. Corporate Counsel John Espar advised the Board to refer this to the Fire Chief for comment and recommendation. Michael Palmer made the motion to refer the request and permit to the Fire Chief for his approval and recommendation at the next meeting on January 21, 2014. The motion was Regular Meeting – January 13, 2014 Page 9 seconded by Vice-President Carnes and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. Charles “Spike” Peller, City Engineer addressed the Board regarding projects that will be taking place on Lake Avenue that will involve some road closures; referring to an email that was sent to the Board members that included diagrams. Michael Kuss, General Manager Sanitary District addressed the Board regarding the project and the road closures for the Sheridan Beach Sewer Separation Project/Gravity Storm Sewer installation that will begin very soon. Mr. Kuss explained the projects and the mandated upgrades that are required of the Sanitary District to be in compliance with State mandates, and the application for State Revolving Loan Funding. Mr. Kuss stressed the need to get this project done before the summer season begins with the hopes to have the project completed by May 2, 2014. Mr. Kuss asked the Board to approve the Traffic Management Plan that was submitted allowing the road to be closed for approximately one (1) week and then the road will be open to local resident traffic only. Mr. Kuss addressed working with the Michigan City Transit Department to make sure the bus service is minimally impacted with route changes. Mr. Kuss stated there will be emergency access at all times during the project. Discussion ensued between the Board and Mr. Kuss regarding the notification process, and who is responsible for the notification. Mr. Kuss explained that the Sanitary District and the City Engineer would work together in the notification process. Michael Palmer addressed Mr. Kuss regarding notification of all affected neighbors and businesses; asking that he keep the newspapers and radio stations up to date with the closings on a weekly basis. Mr. Kuss asked the Board for formal approval to move forward with the road closures that have to do with the Sheridan Beach Sewer Separation Project. Michael Palmer made the motion to approve the road closures as stated as long as the Sanitary District keeps the public notified of where they are during the project, as well as the City. The motion was seconded by Vice-President Carnes and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. UPDATE ON EASTPORT SCHOOL DEMOLITION – 1201 E. Michigan Boulevard John Blosky of Amereco Engineering addressed the Board to give them an update on the demolition of the old Eastport School Building, 1201 E. Michigan Bouleard, stating they have been held up due to weather conditions and they are now moving forward again to finish the demolition and they are in the process of segregating the materials (bricks, steel, waste, etc.). Mr. Blosky further explained that in a few days they will be pulling up the foundation; and in the next two (2) weeks they will see a noticeable change at that site. President Janus asked if there was anyone else from the public that would like to speak at this time. Regular Meeting – January 13, 2014 Page 10 Duane Parry, Michigan City Common Council, addressed the Board regarding a statement Mr. Kuss made regarding the Sheridan Beach Sewer Project/Lake Avenue Lift Station and Storm Water Sanitary System Separation; asking if this was one of the actions that was mandated by the IDEM investigation of our systems as indicated, or is this part of the facilities assessment study for future improvements and repairs to our system; asking Mr. Kuss to respond. Michael Kuss, General Manager Sanitary District, addressed Councilman Parry’s question stating the way this works is the Sanitary District was/is under an enforcement action from the State of Indiana and they were required to put together a compliance plan with all the projects and other items they need to do to get into compliance with the National Pollutant Discharge Elimination Systems permit/Clean Water Act and State of Indiana Environmental Regulations. Mr. Kuss explained that before they can start working on this, it has to be approved by the State of Indiana, so this project was one of the projects that was listed to get into compliance and was in the approved compliance plan for our “agreed order” and they have until September 30, 2014 to get all of the projects on the plan done; once all these projects have been implemented the Sanitary District will have to go six (6) months without any violations in order to have the State of Indiana close out the “agreed order” to show they are in compliance. Councilman Parry addressed the Board and Mr. Kuss stating as the Chairman of the Finance Committee he has seen this project increase in cost from as stated in the Facilities Assessment Plan of/in the vicinity of $400,000.00 to what he heard this morning of $2 million; further stating in the spirit of cost effective projects that is why he asked the question. Mr. Kuss addressed the Board and Mr. Parry stating he doesn’t know the exact price at this time as they had the Lake Avenue Lift Station Project and the Sheridan Beach project figures all together, and he will go back and find the figures and email everyone those figures so everyone is on the same page as to what the original cost were and where they are now. President Janus addressed Lt. Jeff Loniewski regarding upcoming events that would utilize any portion of the areas where this project is taking place. Lt. Loniewski addressed the Board stating he would have to go back and look, but doesn’t believe there is anything scheduled during that time in that location. President Janus asked if there were any other comments from the public. Craig Phillips, City Planner addressed the Board and introduced the new Assistant Planner Sykler York. President Janus asked if there were any other comments from the public. There was no response. Regular Meeting – January 13, 2014 Page 11 BOARD COMMENTS President Janus asked if there were any Board comments. President Janus addressed the Board stating he is in 100% support of a reasonably priced City Hall sign; and a 100% in support of every similar business or not-for-profit having the same opportunity the City would have in putting in a sign; therefore it is his idea to see an amendment to the Ordinance to allow this happing for everybody. President Janus further stated at this time with the City’s finance he cannot see how the City could go ahead with the project. President Janus addressed the Board regarding complaints he has received about Phase II of the Michigan Boulevard project, with residents asking why the City had to go in there in the late fall and start the project and now the citizens are having difficulty traversing it on the roadway in the winter season. Michael Palmer addressed the Board to Thank the City team for the good work they did with the snow removal this last week. ADJOURNMENT President Janus inquired whether there was anything else to be considered by the Board at this time and, there being none, declared the meeting ADJOURNED (approximately 10:00 a.m.). Vice-President Carnes made the motion to adjourn. The motion was seconded by Michael Palmer and carried as follows: AYES: MEMBERS Janus, Carnes and Palmer (3). NAYS: None (0). Motion carries. _________________________________________ Gale A. Neulieb, City Clerk