City Council

City of Murfreesboro City Council -Workshop Regular Session Thursday, April 10, 2025 at 11:30 am T E N N E S S ~ E Municipal Airport Business Center 1930 Memorial Boulevard Murfreesboro, Tennessee MINUTES The City Council of the City of Murfreesboro, Rutherford County, Tennessee, met in regular session at its workshop meeting place at the Municipal Airport Business Center at 11:30 a.m. on Thursday, April 10, 2025. Proper notice of this meeting was published in the Murfreesboro Post on Tuesday, March 25, 2025. Council Members Present Mayor Shane McFarland - Presiding Jami Averwater Madelyn Scales Harris Austin Maxwell Bill Shacklett Kirt Wade Shawn Wright City Representatives Present [ Darren Gore, City Manager Adam Tucker, City Attorney Erin Tucker, City Recorder/ Chief Financial Officer Angela Jackson, Executive Director of Strategic Services Amanda DeRosia, Finance Director Cary Gensemer, Deputy Chief of Police Chad Gehrke, Airport Director Daniel Owens, Finance Director of City Schools Doug Swann, Water Resources Finance Director Greg McKnight, Executive Director of Development Jim Kerr, Transportation Director Kevin Jones, Building and Codes Director Lauren Bush, City Schools Attorney Lesley Short, Assistant Finance Director Melanie Joy Peterson, City Clerk Mark McCluskey, Chief of Fire Rescue Matt Jarrett, Director of Information Technology Michael Bowen, Chief of Police Nate Williams, Executive Director of Recreational Services Russell Gossett, Solid Waste Director Teresa Stevens, Sign Administrator Dr. Trey Duke, Director of City Schools Valerie Smith, Water Resources Director Raven Bozeman, Executive Assistant Other City Staff Prayer and Pledge of Allegiance City Council Workshop Meet ing Minutes April 10, 2025, 11:30 am Page 1 of 8  Mayor McFarland called the meeting to order and commenced the meeting with a prayer followed by the Pledge of Allegiance. Public Comment on Actionable Agenda Items Mayor McFarland asked if there were any registered speakers for public comment on actionable agenda items. Erin Tucker, City Recorder/ Chief Financial Officer, indicated no one had registered to speak. Action Items 1. Ordinance 23-0-30 Amending City Code, Chapter 4, Alcoholic Beverages (2nd and Final Reading) (Finance). Erin Tucker, City Recorder/ Chief Financial Officer, presented a Council Communication to amend the City Code Chapter 4, Alcoholic Beverages, including liquor, wine, and beer. The ordinance titled, "ORDINANCE 23-0-30 amending the Murfreesboro City Code, Chapter 4, Alcoholic Beverages, including liquor, wine and beer." was offered for passage on second and final reading. Ms. Averwater made a motion to approve Ordinance 23-0-30 on second reading. Mr. Wright seconded the motion. Upon roll call, the motion was passed by the following vote: Aye: Jami Averwater, Madelyn Scales Harris, Austin Maxwell, Bill Shacklett, Kirt Wade, Shawn Wright, Shane McFarland Nay: None 2. MFRD Mobile Data Terminal Upgrades (Information Technology). Matt Jarrett, Director of Information Technology, presented a Council Communication requesting Council approve a contract with Insight Public Sector to upgrade Mobile Data Terminals (MDTs) for Murfreesboro Fire Rescue Department. The expense, $143,089, will be funded from FY25 CIP. Mr. Wade made a motion to approve the contract with Insight Public Sector to upgrade Mobile Data Terminals (MDTs) for Murfreesboro Fire Rescue Department. Ms. Averwater seconded the motion. Upon roll call, the motion was passed by the following vote: Aye: Jami Averwater, Madelyn Scales Harris, Austin Maxwell, Bill Shacklett, Kirt Wade, Shawn Wright, Shane McFarland Nay: None City Council Workshop Meeting Minutes April 10, 2025, 11:30 am Page 2 of 8  3. Resolution 25-R-12 Supporting the Central Tennessee Regional Solid Waste Planning Board (City Council). Darren Gore, City Manager, presented a Council Communication requesting Council approve Resolution 25-R-12 which communicates the Council's support of the Central Tennessee Regional Solid Waste Planning Board ("CTRSWPB") and calls on the [ Tennessee Department of Environment and Conservation and the Underground Storage Tanks and Solid Waste Disposal Control Board to enforce the flow-control measures adopted by the CTRSWB. Donna Barrett, Secretary of the CTRSWPB, addressed Council thanking them for their support regarding the lawsuit for landfill expansion next phase to better control landfill and solid waste resolution will be part of larger packet that will also include resolutions from the CTRSWPB and Rutherford County asking TDEC to enforce the Board's resolution to be presented to State Legislature. Council members thanked Ms. Barrett for her work and research regarding this issue. Ms. Barrett clarified information regarding the CTRSWPB and what they do. The resolution titled "RESOLUTION 25-R-12 supporting the actions of the Central [ Tennessee Regional Solid Waste Planning Board" was offered for passage on its first and only reading. Mr. Wright made a motion to approve Resolution 25-R-12. Ms. Averwater seconded the motion. Upon roll call, the motion was passed by the following vote : Aye: Jami Averwater, Madelyn Scales Harris, Austin Maxwell, Bill Shacklett, Kirt Wade, Shawn Wright, Shane McFarland Nay: None Workshop Items 4. City Schools Budget Preview (Schools). Dr. Trey Duke, Director of City Schools, presented a Council Communication and PowerPoint presentation providing Council with a I preview of City Schools revenue projections and budget for the 2025-2026 school year. Dr. Duke stated student enrollment projections estimate a 1.27% increase for the 2025- 2026 school year. Enrollment is becoming more difficult to project with charter schools and the passage of school vouchers. During his presentation, Dr. Duke reviewed the weighted full time City Council Workshop Meeting Minutes April 10, 2025, 11:30 am Page 3 of 8 equivalent ADA, enrollment summary, revenue projections, property tax projections, 2025-2026 budget impact, fund balance history, fund balance impact, and long-term impact. Revenue projections sources include state funds, county property tax and county sales tax and the City of Murfreesboro. Dr. Duke explained that property tax revenue projections from FY22 through FY25 have decreased by approximately $7 million dollars (approximately $2.9 million annually) due to Rutherford County moving pennies that would have gone to Murfreesboro City Schools into an Education Capital Projects budget that only Rutherford County Schools has access to. Discussion among Council members and City staff ensued regarding property tax funds apportioned from Rutherford County. Ms. Scales Harris asked where budget cuts would come from. Dr. Duke stated with COVID and ESSR money gone, the going to be a tight budget with the Rutherford County budget also being reduced. He explained Junior Pro basketball was cut from the budget, but ESP is self-funded and budget neutral. A law went into effect in 2013 for a one-time event that prompted a change allowing Rutherford County to revise appropriation of school funds to divert funds into capital projects, but this has continued and is negatively affecting Murfreesboro City Schools. The City educates children that are within Rutherford County. Approximately 9,400 families are paying both City of Murfreesboro and Rutherford County taxes, and Murfreesboro City Schools children are not benefiting from the Rutherford County Schools Capital Projects Fund. Mr. Wright asked Darren Gore, City Manager, if CityTV would do a piece to educate City residents on this issue. If this issue continues, it will increase the City's budget by $0.04 and currently is hurting City Schools. Vice Mayor Shacklett said the City should handle this as a "fairness" issue. Dr. Duke explained that MCS can absorb this year by dipping into reserves, but it will not be able to continue this path. Mr. Wright said this has been happening for 3 years the nice way and now we need to go about it a little differently by addressing it publicly. Mr. Maxwell and Mr. Wright said that state law needs to change. Mr. Maxwell asked Mr. Gore to review the past few years to show how the City has helped County Schools. Mr. Gore agreed he would investigate the issue. This information was provided to Council as notification only and no vote was necessary. 5. Electronic Message Center-Sign Ordinance Update (Building Codes). Teresa Stevens, Sign Administrator, presented a Council Communication and PowerPoint presentation City Council Workshop Meeting Minutes April 10, 2025, 11:30 am Page 4 of 8  requesting Council review and provide feedback on possible use of Electronic Message Centers and an amendment to the Sign Ordinance. An Electronic Message Center (EMC) is a sign that displays text, images or other information electronically and can be updated remotely or automatically. Ms. Stevens reviewed what an EMC sign specification may be for the City of Murfreesboro due to sign industry standards and turned the floor over to Chad Gehkre, Airport [ Manager, who presented a PowerPoint present ation regarding how an EMC sign would benefit the airport and the design specifications for the sign. Darren Gore, City Manager, asked the Council to provide staff with specifications for what industry and EMC signs should be approved for. Mayor McFarland asked if they could only include gas station price signs. Ms. Averwat er asked about ways to limit electronic signs including static signs, when signs can change, height, and other limitations. Discussion ensued. No action was taken. 6. Water & Sewer Rate Design Review (Water Resources). Valerie Smith, Director of Water Resources, provided a Council Communication and presentation requesting Council review and provide feedback of water and sewer 5-year rate design to support the FY26 budget and associated cost recoveries. Water fund revenues are estimated to increase by $330,000; $85,000 associated with customer growth and $245,000 due to the proposed increase in the commodity charge for existing customers. Sewer fund revenues are estimated to increase by approximately $850,000 based upon growth in the customer base and a $0.25 increase in proposed minimum charge increase on existing customers. No action was needed. 7. Solid Waste Fee Review (Administration). Darren Gore, City Manager, provided a Council Communication and presented a PowerPoint presentation reviewing documents previously recommended solid waste fee increases and cost recovery for solid waste expenses. M r. Gore provided a Solid Waste Fee Review Report showing the proposed FY26 projected expenses and revenues for the solid waste department. As indicated the proposed schedu led I increase of fees adjusts weekly residential curbside pickup from $11.50 to $13.50 per month. It adjusts bi-weekly commercial curbside pickup outside the City Core Overlay (2,370 carts) from $40 to $45 per month. The fee for commercial carts inside the City Core Overlay, approximately 780, rema ins at $30 per month for bi-weekly pickup. The other items including charges for bulk City Council Workshop M eeting Minutes April 10, 2025, 11:30 am Page 5 of 8 item pick-up, loose grass clippings and larger volume brush and limb pickups, solid waste cart replacement, and special event service are not being proposed to change. The FY26 budget anticipates that the proposed fee adjustment will provide an additional $1.5 million in revenue to cover around 70% of the estimated $13.6 million in solid waste expenses. A solid waste fee adjustment resolution will be drafted and reflect the background information provided and will be presented at a future regular Council meeting for consideration . No action was needed. 8. Stormwater Fee Review {Administration). Darren Gore, City Manager, provided a Council Communication and presented a PowerPoint presentation reviewing stormwater fee increases to fund anticipated capital improvement projects. Staff recommended increasing the stormwater fee from $3.25 per single family residential equivalent per month to $3.50 in FY26 and $3.75 in FY27. This is an increase of 7.6% and 7.1%, respectively and equates to $0.25 per month or $3.00 per year per residence for the next two years. These increases are projected to increase revenues by approximately $340,000-$350,000 annually for the next two years, assuming future growth remains consistent with past growth. Adopting the fee increases as recommended would afford a revenue enhancement of approximately $340,000 in FY26 and $350,000 in FY27. This information was provided to Council as notification only and no vote was necessary. 9. General Fund Payroll Slippage Impact on Pro Forma (Administration). Darren Gore, City Manager, provided a Council Communication and presented a PowerPoint presentation reviewing general fund pro forma from the October 2024 Council Retreat and demonstrated sensitivity analysis associated with payroll slippage assumptions. With the implementation of public safety pay raises and the general fund pay plan adjustment, projected payroll slippage savings are coming in below what was expected, thus reducing an anticipated revenue source. For this review, staff provided a sensitivity analysis to demonstrate how a 1.5%, 2.5% and 3.5% payroll slippage impacts the overall revenue requirement between FY26 and FY33, or eight years. A 1% increase or decrease in payroll slippage has a $14,500,000 impact over an eight year period currently projected. Staff are continuing to enhance the proforma to include other budgetary factors and fine-tune the assumptions involving future debt service and other City Council Workshop Meeting Minutes April 10, 2025, 11:30 am Page 6 of 8  sources of revenue. This information was provided to Council as notification only and no vote was necessary. 10. CIP Transfers (Finance). Erin Tucker, City Recorder/ Chief Financial Officer, presented a Council Communication and documents regarding notification of CIP transfers. Transfers I include transfer of CIP Funds between the Bond Fund and General Fund for Town Creek, Medical Center Parkway 2, Burnt Knob, Manson, Blackman, Dr. Martin Luther King, Jr. Boulevard, Rucker Lane, Old Fort Park Ballfield Improvement, and Land Acquisition/Contingency. This information was provided to Council as notification only and no vote was necessary. 11. January 2025 & February 2025 Dashboard (Administration). Erin Tucker, City Recorder/ Chief Financial Officer, provided a Council Communication and documents including January 2025 and February 2025 Dashboard. The Dashboard information includes relevant Financial, Building & Codes, and Construction data. This update was for informational purposes only and no action was required. Board & Commission Appointments I No board and commission appointments were presented. licensing 12. Beer Permits Revocation (Finance). Erin Tucker, City Recorder/ Chief Financial Officer, presented a Council Communication regarding a Beer Permit Revocation. The application from the following applicants was approved at the Council meeting on March 27, 2025, in error. The permit has not been issued, and it is recommended that the initial approval be revoked for Crab Fever, 170 Old Fort Parkway, Suite C170 (ownership change, restaurant). Mr. Maxwell made a motion to approve the Beer Permit Revocation. Mr. Wright seconded the motion. Upon roll call, the motion was passed by the following vote : Aye: Jami Averwater, Madelyn Scales Harris, Austin Maxwell, Bill Shacklett, Kirt [ Wade, Shawn Wright, Shane McFarland Nay: None 13. Beer Permits (Finance). Erin Tucker, City Recorder/ Chief Financial Officer, presented a Council Communication regarding Beer Permits. The following were offered for approval: City Council Workshop Meeting Minutes April 10, 2025, 11:30 am Page 7 of 8 Regular Beer Permits • Camino Mexican Restaurant, 2450 Old Fort Parkway (new location, restaurant) • Hank's, 2333 Memorial Boulevard (ownership change, restaurant) • Middle Ground Brewing, 2476 Old Fort Parkway (catering, brewery) • Uncle Maddio's Pizza, 124A Wendelwood Drive, Suite A (ownership change, restaurant) • Whisky and Sticks Speakeasy, 630 Northwest Broad Street (new location, cigar lounge) Applicants met requirements for the Beer Permits and were recommended for approval pending final building and codes inspections. Mr. Maxwell made a motion to approve the Beer Permits. Mr. Wade seconded the motion. Upon roll call, the motion was passed by the following vote: Aye: Jami Averwater, Madelyn Scales Harris, Austin Maxwell, Bill Shacklett, Kirt Wade, Shawn Wright Nay: None Abstain: Shane McFarland Payment of Statements No payment of statements was presented. Other Business TOOT Road Projects. Mr. Maxwell and Mayor McFarland commended Jim Kerr, Director of Transportation, and his team for their hard work on securing additional funding from TDOT for the 2031 plan for Old Fort Parkway expansion project and Cherry Lane / 840 Interchange project. Adjourn There being no further business, Mayor McFarland adjourned this meeting at 1:24 p.m. SHANE MCFARLAND MAYOR --- ATTEST: TUCKER CITY RECORDER/ CHIEF FINANCIAL OFFICER APPROVED BY COUNCIL: !¾1 /) d[JJS City Council Workshop Meeting Minutes April 10, 2025, 11:30 am Page 8 of 8