City Council

SHOWN LIVE ON NEWPORT NEWS TELEVISION COX CHANNEL 48 VERIZON CHANNEL 19 www.nnva.gov AGENDA NEWPORT NEWS CITY COUNCIL REGULAR CITY COUNCIL MEETING JUNE 14, 2016 City Council Chambers 7:00 p.m. A. Call to Order B. Invocation • Mr. Caleb McClure, Hidenwood Presbyterian Church C. Pledge of Allegiance to the Flag of the United States of America • Mayor's Youth Commission D. Presentations 1. Resolution of Appreciation: Colonel William S. Galbraith on his Retirement as Commander, 733d Mission Support Group Army Element-Joint Base Langley—Eustis from June 15, 2013 to June 28, 2016 E. Public Hearings 1. None Advertised F. Consent Agenda 1. Minutes of the Work Session of May 24, 2016 2. Minutes of the Special Meeting of May 24, 2016 3. Minutes of the Regular Meeting of May 24, 2016 4. Ordinance Amending City Code, Chapter 42, Water Supply; Article I., In General; Section 42-15, Stopping Service through Cut Off or Removal of Water Meter, Generally; and Article III., Water Rates and Fees; Section 42- 40, When and Where Bills are Due and Payable; Delinquency  G. Other City Council Actions 1. Resolution Authorizing the City Manager to Execute an Amended Grant Agreement between the City of Newport News, Virginia and the Virginia Department of Environmental Quality (DEQ) for the Stoney Run Regional BMP Project 2. Ordinance Amending City Code, Chapter 31, Pensions and Retirement; Article II., Employees’ Retirement Fund, Division 4., Sections 31-40 and 31- 42; Division 5., Sections 31-54, 31-62, and Adding New Section 31-64.2, Lump Sums; Article III., Employees’ Post-Retirement Health and Welfare Benefits Fund, Division 4., Sections 31-111, 31-112; and Division 5., Sections 31-116 and 31-117 H. Appropriations 1. Department of Engineering – FY2016 Bond Authorization, Sanitary Sewer Rehabilitation Category for the HRSD Jefferson Avenue Interceptor Force Main Project - $700,000 2. City of Newport News – Self Insurance Reserves: to Fund FY 2016 General Liability for Settlement Costs and Associated Attorney Fees – $1,600,000 3. City of Newport News – General Fund Reserves: Line of Duty Act (LODA) Liability – $2,672,719 4. City of Newport News – General Fund Reserves: Emergency Fund for August 2012 Unnamed Storms – $5,285,755 I. Citizen Comments on Matters Germane to the Business of City Council J. *New Business and Councilmember Comments 1. City Manager 2. City Attorney 3. City Clerk 4. Price 5. Scott 6. Vick 7. Woodbury 8. Bateman 9. Cherry 10. Coleman K. Adjourn *THE BUSINESS PORTION OF THE MEETING WILL BE CONCLUDED NO LATER THAN 10:00 P.M. TO ALLOW PERSONS TO ADDRESS CITY COUNCIL UNDER "CITIZEN COMMENTS ON MATTERS GERMANE TO THE BUSINESS OF CITY COUNCIL." A. Call to Order B. Invocation – Mr. Caleb McClure, Hidenwood Presbyterian Church C. Pledge of Allegiance to the Flag of the United States of America – Mayor’s Youth Commission D. Presentations E. Public Hearings 1. None Advertised F. Consent Agenda 1. Minutes of the Work Session of May 24, 2016 ACTION: N/A BACKGROUND: N/A FISCAL IMPACT: N/A ATTACHMENTS: Description Minutes of the Work Session of May 24, 2016 F. Consent Agenda 2. Minutes of the Special Meeting of May 24, 2016 ACTION: N/A BACKGROUND: N/A FISCAL IMPACT: N/A ATTACHMENTS: Description Minutes of the Special Meeting of May 24, 2016 F. Consent Agenda 3. Minutes of the Regular Meeting of May 24, 2016 ACTION: NA BACKGROUND: N/A FISCAL IMPACT: N/A ATTACHMENTS: Description Minutes of the Regular Meeting of May 24, 2016 F. Consent Agenda 4. Ordinance Amending City Code, Chapter 42, Water Supply; Article I., In General; Section 42-15, Stopping Service through Cut Off or Removal of Water Meter, Generally; and Article III., Water Rates and Fees; Section 42-40, When and Where Bills are Due and Payable; Delinquency ACTION: A REQUEST TO ADOPT AN ORDINANCE AMENDING CITY CODE, CHAPTER 42, WATER SUPPLY; ARTICLE I., IN GENERAL; SECTION 42-15, STOPPING SERVICE THROUGH CUT OFF OR REMOVAL OF WATER METER, GENERALLY; AND ARTICLE III., WATER RATES AND FEES; SECTION 42-40, WHEN AND WHERE BILLS ARE DUE AND PAYABLE; DELINQUENCY; TO BE IN COMPLIANCE WITH THE CODE OF VIRGINIA. BACKGROUND: Certain changes to Chapter 42 of the City Code are necessary to bring it into compliance with new State Code as a result of the recent passage of House Bill 919 through the State Legislature. Specifically, Sections 42-15(a)(4) and 42-40(a) reflect changing the words "two months" to "60 days" in reference to the length of time before which water service will be stopped for nonpayment. In addition, Chapter 42-40(a) shows a change to specify when notification will be sent to the customer that a payment is delinquent. Chapter 42-40(a) will specify that at least 10 days prior to cessation of the water supply for nonpayment, written notification will be sent to the customer. The Waterworks Department is currently in compliance with each of the changes above, and requests adoption of these changes effective July 1, 2016. The City Manager recommends approval. FISCAL IMPACT: N/A ATTACHMENTS: Description CM Memo re Waterworks Dept Code Changes sdm14376 Amending Sec. 42-15 and Sec. 42-40 sdm14376 ORDINANCE NO. _______________ AN ORDINANCE TO AMEND AND REORDAIN CHAPTER 42, WATER SUPPLY, OF THE CODE OF THE CITY OF NEWPORT NEWS, VIRGINIA, ARTICLE I., IN GENERAL, SECTION 42-15, STOPPING SERVICE THROUGH CUT OFF OR REMOVAL OF WATER METER, GENERALLY; ARTICLE III., WATER RATES AND FEES, SECTION 42-40, WHEN AND WHERE BILLS ARE DUE AND PAYABLE; DELINQUENCY. BE IT ORDAINED by the Council of the City of Newport News, Virginia: 1. That Chapter 42, Water Supply, of the Code of the City of Newport News, Virginia, Article I., In General, Section 42-15, Stopping service through cut off or removal of water meter, generally; Article III., Water Rates and Fees, Section 42-33, Rates and fees, and Section 42-40, When and where bills are due and payable; delinquency, be, and the same hereby is, amended and reordained as follows: CHAPTER 42 WATER SUPPLY ARTICLE I. IN GENERAL Sec. 42-15. Stopping service through cut off or removal of water meter, generally. (a) Water service may be stopped through cut off or removal of the water meter by the city for any of the following reasons, until the defects or defaults have been corrected: (1) For willful waste of water through improper or imperfect pipes, fixtures, or otherwise. (2) For the use of water through fire sprinkler service for any other purpose than fire protection. (3) In case of vacancy of the premises. (4) For nonpayment for water service, sewer service, or other fees accrued or accruing pursuant to this chapter, when such charges are two monthssixty days past due. (5) For violation or noncompliance with any state health department regulation. (6) For blocking a water meter in a manner that impairs or prohibits reading or  servicing a meter in violation of section 42-9 (7) For tampering with a meter device. (8) For unauthorized use or diverting water from the water system. (9) When requested, in writing, by another governmental agency, or by the jurisdiction in which the water service is located, when allowed by law. (b) In case water is cut off under this section, the field service fee will apply. (c) Upon removal of the meter for a violation of this section, the meter out fee will be charged. (d) When water has been cut off, as provided for in this section, water service will be restored upon a proper application, only when the conditions under which such service was stopped are corrected and upon the payment of all applicable fees or making satisfactory provision therefor. ARTICLE III. WATER RATES AND FEES Sec. 42-40. When and where bills are due and payable; delinquency. (a) Bills shall be due and payable on or before the due date printed on the bill at places designated by the city. If not received by the city by the due date, the bill shall be considered delinquent and the customer shall be charged a late penalty fee and a notification to that effect shall be given If payment for the full amount of the charges, late penalty fee and interest is not received by the city within 30 days thereafter, the city shall notify the customer of the delinquency. If bills are not subsequently paid within two months,the full amount of the charges, late fee, and interest is not received by the city within 60 days after the late penalty fee and charges are due, service shall be discontinued unless satisfactory arrangements for payment of the bill are made with the department. Water service that is furnished to the same customer at different locations, may be discontinued when a bill for any of the customer's locations becomes delinquent for a period of two months or more. At least ten business days prior to ceasing the supply of water, the city shall supply the customer written notice of such cessation. (b) When water has been discontinued pursuant to this section, it shall not be turned on again until all fees prescribed by this chapter have been paid or satisfactory arrangements have been made for the payment thereof. 2  (c) No customer who is delinquent in water payments at one (1) location shall have the right to water at any other location at which he is the applicant, provided notice has been provided as to each location affected. (d) Unless a lien has been recorded against the property owner for nonpayment of water service or other fees under this chapter, water service shall not be denied to a new tenant based on a former tenant's delinquent bill. 2. That this ordinance shall be in effect on and after July 1, 2016. 3 G. Other City Council Actions 1. Resolution Authorizing the City Manager to Execute an Amended Grant Agreement between the City of Newport News, Virginia and the Virginia Department of Environmental Quality (DEQ) for the Stoney Run Regional BMP Project ACTION: A REQUEST TO APPROVE A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN AMENDED GRANT AGREEMENT BETWEEN THE CITY AND THE VIRGINIA DEPARTMENT OF ENVIRONMENTAL QUALITY (DEQ) FOR THE STONEY RUN REGIONAL BMP PROJECT. BACKGROUND: The project is located northeast of Warwick Boulevard in an area formerly known as the Stoney Run Sand Pits near Courthouse Green. The improvements are intended to expand the capacity of the existing Stoney Run BMP to meet current Stormwater regulations. The City entered into the original grant agreement with DEQ in January 2016. The original agreement, which previously included improvements at the Glen Allen and Turnberry Channels, is being amended to include the Stoney Run BMP project. FISCAL IMPACT: The City is required to execute the amended grant agreement to utilize the SLAF grant funds. Council previously appropriated a total of $4,550,400; $2,275,200 of SLAF grant funds and $2,275,200 in City matching funds for this project. The City Manager recommends approval. ATTACHMENTS: Description CM Memo re Stoney Run Regional BMP Project sdm14343 Authorizing an Amendment to Grant Agmt between DEQ and City G. Other City Council Actions 2. Ordinance Amending City Code, Chapter 31, Pensions and Retirement; Article II., Employees’ Retirement Fund, Division 4., Sections 31-40 and 31-42; Division 5., Sections 31-54, 31-62, and Adding New Section 31-64.2, Lump Sums; Article III., Employees’ Post-Retirement Health and Welfare Benefits Fund, Division 4., Sections 31-111, 31-112; and Division 5., Sections 31-116 and 31-117 ACTION: A REQUEST TO ADOPT AN ORDINANCE AMENDING CHAPTER 31, PENSIONS AND RETIREMENT; ARTICLE II., EMPLOYEES' RETIREMENT FUND; DIVISION 4., SECTIONS 31-40 AND 31-42; DIVISION 5., SECTIONS 31-54, 31-62, AND ADDING NEW SECTION 31-64.2, LUMP SUMS; ARTICLE III., EMPLOYEES' POST-RETIREMENT HEALTH AND WELFARE BENEFITS FUND, DIVISION 4., SECTIONS 31-111, 31-112; AND DIVISION 5., SECTIONS 31-116 AND 31-117. BACKGROUND: Four proposed changes were recommended by the Retirement Board, to become effective July 1, 2016. The first change recommended by Police and Fire Chiefs would increase the mandatory retirement age for Public Safety officers from age 63 to 67. The second recommendation would provide a lump sum option for retirees with small retirement annuities. The third, would eliminate the "alternate schedule" for the City's contribution to retirees health insurance premiums. The fourth recommendation is a technical correction to address the "Porting" of credited service from one jurisdiction to another. The City Manager recommends approval. FISCAL IMPACT: N/A ATTACHMENTS: Description CM Memo re NNERF Amendments rag1073 Chapter 31 Revisions rag1073 ORDINANCE NO. _______________ AN ORDINANCE TO AMEND AND REORDAIN CHAPTER 31, PENSIONS AND RETIREMENT, OF THE CODE OF THE CITY OF NEWPORT NEWS, VIRGINIA, ARTICLE II., EMPLOYEES’ RETIREMENT FUND, DIVISION 4., CREDITED SERVICE, SECTION 31- 40, CREDITED SERVICE AS A FIREFIGHTER OR POLICE OFFICER AND SECTION 31-42, PORTABILITY OF SERVICE; DIVISION 5., ELIGIBILITY FOR, RECEIPT AND AMOUNTS OF, RETIREMENT BENEFITS, SECTION 31-54, RETIREMENT ALLOWANCES; SECTION 31-62, BENEFITS UPON DEATH AFTER RETIREMENT AND BY ADDING THERETO A NEW SECTION, NAMELY: SECTION 31-64.2, LUMP SUMS; ARTICLE III, EMPLOYEES’ POST-RETIREMENT HEALTH AND WELFARE BENEFITS FUND, DIVISION 4., CITY RETIREES’ POST-RETIREMENT MEDICAL BENEFITS, SECTION 31-111, FUND’S CONTRIBUTION, SECTION 31-112, FUND’S CONTRIBUTION SCHEDULE AND DIVISION 5., CITY RETIREES' POST-RETIREMENT DENTAL BENEFITS, SECTION 31-116, FUND’S CONTRIBUTION AND SECTION 31-117, FUND’S CONTRIBUTION SCHEDULE. BE IT ORDAINED by the Council of the City of Newport News, Virginia: 1. That Chapter 31, Pensions and Retirement, of the Code of the City of Newport News, Virginia, Article II., Employees’ Retirement Fund, Division 4., Credited Service, Section 31-40, Credited service as a firefighter or police officer, Section 31-42, Portability of service; Division 5., Eligibility for, Receipt and Amounts Of, Retirement Benefits, Section 31-54, Retirement allowances, Section 31-62, Benefits upon death after retirement and by adding thereto a new section, namely: Section 31-64.2, Lump sums; Article III, Employees’ Post-Retirement Health and Welfare Benefits Fund, Division 4., City Retirees’ Post-Retirement Medical Benefits, Section 31-111, Fund’s contribution, Section 31-112, Fund’s contribution schedule, and Division 5., City Retirees’ Post-Retirement Dental Benefits, Section 31-116, Fund’s contribution, and Section 31-117, Fund’s contribution schedule be, and the same hereby is, amended and reordained as follows: CHAPTER 31 PENSIONS AND RETIREMENT ARTICLE II. EMPLOYEES’ RETIREMENT FUND DIVISION 4. CREDITED SERVICE Sec. 31-40. Compulsory retirement; credited service as a firefighter or police officer. (a) Compulsory retirement shall be applicable only to members who are firefighters or police officers. The compulsory retirement age for these members shall be age sixty-threeseven (6367). (b) No member shall receive credited service as a firefighter or police officer subsequent to the month such member reaches sixty-threeseven (6367) years of age. (c) The provisions of this section shall not apply to the positions of fire chief and police chief. Sec. 31-42. Portability of service. (a) The board may enter into an agreement with VRS or another political subdivision of the Commonwealth having a defined benefit plan which is not supplemental to VRS, whereby any vested member of such other plan may be granted credited service, as determined by the board, for service rendered under VRS or with another political subdivision upon the transfer of assets pursuant to the agreement., the board may transfer assets on behalf of a vested member of the fund to VRS or to the defined benefit plan of another political subdivision of the Commonwealth having a benefit plan which is not supplemental to VRS. (b) The board may transfer assets on behalf of a vested member of the fund to VRS pursuant to the agreement between the board and VRS. (c) The board may transfer assets on behalf of a vested member of the fund to a defined benefit plan of another political subdivision of the Commonwealth which is not supplemental to VRS pursuant to the agreement between the board and such other political subdivision. DIVISION 5. ELIGIBILITY FOR, RECEIPT AND AMOUNTS OF, RETIREMENT BENEFITS Sec. 31-54. Retirement allowances. (a) A vested member retiring under the provisions of section 31-52 or section 31-53 shall receive an annual retirement allowance payable for the lifetime of the member, unless the member elects to receive a one time, lump sum payment pursuant to the provisions of Section 31- 64.2. The annual retirement allowance shall be determined in accordance with this section subject to the limitations contained in subsection (d), and subject to reduction in the event of a withdrawal 2 of member contributions under section 31-68. (1) Subject to section 31-50, members who are not VRS participants accrue a benefit equal to two (2) percent of the member's average final compensation multiplied by their credited service obtained or earned as a non-VRS participant prior to March 1, 2010, and equal to 1.85 percent of the member's average final compensation multiplied by their credited service obtained or earned on and after March 1, 2010, and equal to 1.65 percent of nonpublic safety employee member’s average final compensation multiplied by their credited service obtained or earned on and after January 1, 2013. City council members and public safety employee members shall accrue a benefit equal to 1.85 percent of the member’s average final compensation multiplied by their credited service obtained or earned on and after January 1, 2013. (2) Subject to section 31-50, members who are VRS participants accrue a benefit equal to 0.30 percent of the member's average final compensation, multiplied by their credited service obtained or earned as a VRS participant prior to March 1, 2010, and equal to 0.15 percent of the member's average final compensation multiplied by their credited service obtained or earned on and after March 1, 2010, but prior to January 1, 2013. On and after January 1, 2013, no additional credited service or benefits shall accrue. Calculation of average final compensation shall be based upon compensation earned prior to January 1, 2013. (3) The annual retirement allowance payable to a member who has earned credited service with a participating employer as both a VRS participant and a non-VRS participant shall be a benefit equal to the total of the allowances determined under this article for each type of service. The annual retirement allowance shall be calculated based on one (1) average final compensation for all periods of service. Notwithstanding the above, if any new period of service began on or after October 1, 2007, the average final compensation for the member shall be separately determined for such period of service. (b) (1) For each member retiring pursuant to the early retirement provisions of section 31-53, the annual retirement allowance shall be reduced by an amount equal to the lesser of the following: a. One-half (½) of one (1) percent per month for each month that the early retirement precedes the current minimum retirement age; or b. One-half (½) of one (1) percent per month for each month that early retirement precedes the normal thirty-year minimum service requirement. (2) For all such members who have at least five (5) years of credited service as a public safety employee, the reduction shall apply only to credited service 3  time served in positions other than as a public safety employee. (c) The retirement allowance from the city provided for by this section shall be reduced by the amount of any payments made to the retired employee by the participating employer pursuant to the Virginia Workers' Compensation Act, §§ 65.2-500, 65.2-501, 65.2-502, 65.2-503, and 65.2-512 of the Code of Virginia. There shall be no reduction in the retirement allowance for payment of medical benefits pursuant to § 65.2-603, or payment of burial expenses pursuant to § 65.2-512B of the Code of Virginia. If the member's payments under the Virginia Workers' Compensation Act are adjusted or terminated for refusal to work or to comply with the requirements of § 65.2-603 of the Code of Virginia, the retirement allowance shall be computed as if the member were receiving the compensation to which the member would otherwise be entitled. In addition, the retirement allowance from the city shall also be reduced by the amount of any lump sum settlement of a workers' compensation claim, except such portion of the settlement as is designated for the payment of medical expenses. (d) Except for those members who have elected a lump sum payment under section 31- 64.2, in no event shall a member’s annual retirement allowance payable from the fund be less than three hundred thirty dollars ($330.00) or more than: (1) 75 percent of the member’s average final compensation for members whose effective date of retirement is before January 1, 2013; (2) 76.85 percent of the member’s average final compensation for members whose effective date of retirement is on or after January 1, 2013; (3) 78.70 percent of the member’s average final compensation for members whose effective date of retirement is on or after January 1, 2015; and (4) 80 percent of the member’s average final compensation for members whose effective date of retirement is on or after January 1, 2016. Sec. 31-62. Benefits upon death after retirement. (a) Upon the death of a retiree while receiving a retirement allowance which commenced after November 13, 1972, but prior to May 1, 1987, payments shall be made from the fund in accordance with the following provisions of this subsection. (1) There shall be paid to the surviving spouse of the deceased retiree or, if none, the beneficiary designated by the retiree or, if none, the estate of the retiree a lump sum amount of three thousand three hundred dollars ($3,300.00). (2) If the deceased retiree had twenty (20) or more years of credited service at date of retirement and is survived by a spouse, there shall be payable to said spouse, until 4  the death of the spouse, an allowance equal to fifty (50) percent of the annual retirement allowance which the retiree was eligible to receive immediately prior to death. (b) Upon the death of a retiree while receiving a retirement allowance which commenced on or after May 1, 1987, payments shall be made from the fund in accordance with the following provisions of this subsection. (1) There shall be paid to the surviving spouse of the deceased retiree or, if none, the beneficiary designated by the retiree or, if none, the estate of the retiree a lump sum amount of three thousand three hundred dollars ($3,300.00). (2) If the deceased retiree is survived by a spouse, there shall be payable to said spouse, until the death or remarriage of the spouse, an allowance equal to fifty (50) percent of the annual retirement allowance which the retiree had been receiving immediately prior to death. (3) If the deceased retiree is not survived by a spouse, or the surviving spouse dies, and the deceased retiree is survived by one or more dependent children, then the benefit which would have been or was payable to the surviving spouse under the provisions of subsection (2) above, shall be payable to, or for the benefit of, the surviving dependent children, pro rata. If a deceased retiree is survived by more than one dependent child, and if one or more of them subsequently becomes ineligible to receive a share of the benefit, then the benefit shall be shared equally by the remaining eligible dependent children. (4) Except for the benefits provided under subsections (a)(1) or (b)(1) of this section, the benefits provided for in this section shall be payable to a recipient only as long as the recipient is eligible to receive such benefits based on the provisions of this section and evidence acceptable to the board. (5) Notwithstanding the provisions of subsection b(4) above, this section shall not apply to those members who have elected to receive a lump sum pursuant to the provisions of section 31-64.2. Sec. 31-64.2. Lump sums. Any member eligible to receive an annual retirement allowance may at the time of retirement, if they meet the terms described below, make an irrevocable election to receive a one time, lump sum payment in lieu of any benefits they, their surviving spouse, their surviving dependent(s), and/or any other beneficiary (including their estate) would otherwise be eligible to 5 receive under this Article. This election may be made at the time of retirement and is not available to those already receiving an annual retirement allowance. (a) Any member who would receive a retirement allowance of one hundred and fifty dollars ($150.00) or less per month, may elect, at the time of retirement to receive their benefit in a one-time, lump sum payment. (b) The total amount of the one-time, lump sum payment shall be based upon the value of the retirement allowance plus the death benefit referenced at section 31-62(b)(1) at an actuarially neutral rate as determined by the fund’s actuary and approved by the board from time to time and set forth in a schedule to be maintained by the board. For the purposes of this section, an actuarially neutral rate uses actuarial assumptions adopted by the board so that the lump sum payment will have no adverse financial impact to the fund. (c) Upon electing to receive a one-time, lump sum payment, the member shall sign a certification indicating that they acknowledge that they fully understand that the one-time, lump sum payment will be in lieu of any benefits that they, their surviving spouse, their surviving dependent(s), and/or any other beneficiary (including their estate), would otherwise be eligible to receive under this Article. (d) The terms of this section do not apply to the provisions of Article III of Chapter 31. ARTICLE III. EMPLOYEES’ POST-RETIREMENT HEALTH AND WELFARE BENEFITS FUND DIVISION 4. CITY RETIREES’ POST-RETIREMENT MEDICAL BENEFITS Sec. 31-111. Fund’s contribution. (a) The fund shall contribute toward a member's city sponsored post-retirement medical insurance premiums only in accordance with the provisions of this division. (b) On and after January 1, 2000, the fund shall pay seventy-five (75) percent of the cost of a member's medical insurance premiums, based on the city sponsored post-retirement medical insurance plan elected by that member at retirement, through June 30, 2005. (c) On June 30, 2005, the dollar amount of the fund's contribution provided for in subsection (b) of this section shall be capped at the amount in effect on June 30, 2005, and this amount shall constitute the amount upon which future contributions by the fund shall be calculated. However, this subsection only applies to members who have either retired on or before March 1, 6 2010 or who have accrued at least ten (10) years of credited service as of February 28, 2010. Notwithstanding the above, the dollar amount of the fund’s contribution may exceed seventy-five (75) percent of the cost of a member’s medical insurance premiums, provided that the fund’s contribution does not exceed the capped dollar amount. (d) On and after March 1, 2010, the dollar amount of the fund's contribution for members hired before March 1, 2010 and who possess less than ten (10) years of credited service as of February 28, 2010 shall be as follows: (1) Single coverage: Same fund contribution as provided in subsection (c); and (2) All other coverages: Fund contribution capped at sixty (60) percent of the cost of medical insurance premiums in effect on March 1, 2010 for the elected level of coverage. Notwithstanding the above, the dollar amount of the fund’s contribution may exceed sixty (60) percent of the cost of a member’s medical insurance premiums, provided that the fund’s contribution does not exceed the capped dollar amount. (ed) The fund shall not contribute towards the city sponsored post-retirement medical insurance premiums for any employee of the city, employee of an elected official, or elected official, hired, rehired, or elected on or after March 1, 2010. However, such persons may continue only the medical plan coverage, if any, in effect for them as of the date of their retirement by paying one hundred (100) percent of the premium, and subject to the provisions of section 31-110. For purposes of this subsection, the term "city retiree" in section 31-110 means an employee of the city, an employee of an elected official, and an elected official, with at least five (5) years of actual service immediately prior to retirement. (fe) On January 1, 2013, and on January 1 of each year thereafter, the amount of contribution which the fund shall pay toward a member's medical insurance premiums required by the city sponsored post-retirement medical insurance plans shall be increased by 0.70 percent for the first one (1) percent increase, or part thereof, in the United States Average Consumer Price Index (Urban) for all items as published by the Bureau of Labor Statistics of the United States Department of Labor for the most recent calendar year over the corresponding annual average for the immediately preceding calendar year for the previous calendar year (the CPI), and 0.35 percent for each additional one (1) percent increase, or part thereof, in the CPI for the previous calendar year; however the increase in the contribution shall not exceed a maximum increase of three and one-half (3 ½) percent in any one (1) calendar year. Sec. 31-112. Funds’s contribution schedule. (a) Effective January 1, 2000, all qualified city employees who have retired, or are eligible to retire based on age or service before July 1, 2005, shall be entitled to receive full benefit of the fund's contribution upon retirement as post-retirement medical benefits. 7  (b) Effective January 1, 2000, all qualified city employees who do not satisfy the criteria provided in subsection (a) and who have accrued at least ten (10) years of credited service as of February 28, 2010, shall be entitled upon retirement to receive contributions from the fund toward their medical insurance premiums required by the city sponsored medical insurance plan in accordance with the following schedule: Years of Credited Service Percentage of Fund’s Contribution Less than 10 0 10-11 5 12 10 13 15 14 20 15 25 16 31 17 37 18 43 19 49 20 55 21 64 22 73 23 82 24 91 25 or greater 100 (c) All qualified city employees hired before March 1, 2010 who do not satisfy the criteria provided in subsections (a) or (b), shall be entitled upon retirement to receive contributions from the fund toward their medical insurance premiums required by the city sponsored medical insurance plan in accordance with the following schedule: 8  Years of Credited Service Percentage of Fund’s Contribution Less than 10 0 10-14 25 15-19 50 20-24 75 25 or greater 100 DIVISION 5. CITY RETIREES’ POST-RETIREMENT DENTAL BENEFITS Sec. 31-116. Fund’s contribution. (a) The fund shall contribute toward a member's city sponsored post-retirement dental insurance premiums only in accordance with the provisions of this division. (b) Effective January 1, 2000, the fund shall pay seventy-five (75) percent of the cost of a member's dental insurance premiums, based on the city sponsored post-retirement dental insurance plan elected by that member at retirement, through June 30, 2005. (c) On June 30, 2005, the dollar amount of the fund's contribution provided for in subsection (b) of this section shall be capped at the amount in effect on June 30, 2005, and this amount shall constitute the amount upon which future contributions by the fund shall be calculated. However, this subsection only applies to members who have either retired on or before March 1, 2010, or who have accrued at least ten (10) years of credited service as of February 28, 2010.Notwithstanding the above, the dollar amount of the fund’s contribution may exceed seventy- five (75) percent of the cost of a member’s medical insurance premiums, provided that the fund’s contribution does not exceed the capped dollar amount. (d) On and after March 1, 2010, the dollar amount of the fund's contribution for members hired before March 1, 2010 and who possess less than ten (10) years of credited service as of February 28, 2010 shall be as follows: (1) Single coverage: Same fund contribution as provided in subsection (c); and (2) All other coverages: Fund contribution capped at sixty (60) percent of the cost of dental insurance premiums in effect on March 1, 2010 for the elected level of coverage. 9  (ed) The fund shall not contribute towards the city sponsored post-retirement dental insurance premiums for any employee of the city, employee of an elected official, or elected official, hired, rehired, or elected on or after March 1, 2010. However, such persons may continue only the dental plan coverage, if any, in effect for them as of the date of their retirement by paying one hundred (100) percent of the premium, and subject to the provisions of section 31-110. For purposes of this subsection, the term "city retiree" in section 31-110 means an employee of the city, an employee of an elected official, and an elected official with at least five (5) years of actual service immediately prior to retirement. (fe) On January 1, 2013, and on January 1 of each year thereafter, the amount of contribution which the fund shall pay toward a member's dental insurance premiums required by the city sponsored post-retirement dental insurance plan shall be increased by 0.70 percent for the first one (1) percent increase, or part thereof, in the United States Average Consumer Price Index (Urban) for all items as published by the Bureau of Labor Statistics of the United States Department of Labor for the most recent calendar year over the corresponding annual average for the immediately preceding calendar year for the previous calendar year (the CPI), and one-half (1/2)0.35 percent for each additional one (1) percent increase, or part thereof, in the CPI for the previous calendar year; however the increase in the contribution shall not exceed a maximum increase of three and one-half (3 ½) percent in any one (1) calendar year. Sec. 31-117. Fund’s contribution schedule. (a) Effective January 1, 2000, all retirees who were insured for dental coverage and city employees who were eligible to retire based on age or service before July 1, 2005, shall be entitled to receive full benefit of the fund's contribution upon retirement as post-retirement dental benefits. (b) Effective January 1, 2000, all qualified city employees who do not satisfy the criteria provided in subsection 31-117(a) and who have accrued at least ten (10) years of credited service as of February 28, 2010, shall be entitled to receive contributions from the fund toward their dental insurance premiums in accordance with the following schedule: Years of Credited Service Percentage of Fund’s Contribution Less than 10 0 10-11 5 12 10 13 15 14 20 10  15 25 16 31 17 37 18 43 19 49 20 55 21 64 22 73 23 82 24 91 25 or greater 100 (c) All qualified city employees hired before March 1, 2010 who do not satisfy the criteria provided in subsections (a) or (b), shall be entitled upon retirement to receive contributions from the fund toward their dental insurance premiums required by the city sponsored dental insurance plan in accordance with the following schedule: Years of Credited Service Percentage of Fund’s Contribution Less than 10 0 10-14 25 15-19 50 20-24 75 25 or greater 100 2. That this ordinance shall be in effect on and after June 30, 2016. 11 H. Appropriations ACTION: A REQUEST FOR A MOTION OF CITY COUNCIL TO APPROVE AS A BLOCK THE FOLLOWING APPROPRIATIONS. 1. Department of Engineering – FY 2016 Bond Authorization, Sanitary Sewer Rehabilitation Category: HRSD Jefferson Avenue Interceptor Force Main Project – $700,000 2. City of Newport News – Self Insurance Reserves: to Fund FY 2016 General Liability for Settlement Costs and Associated Attorney Fees – $1,600,000 3. City of Newport News – General Fund Reserves: Line of Duty Act (LODA) Liability – $2,672,719 4. City of Newport News – General Fund Reserves: Emergency Fund for August 2012 Unnamed Storms – $5,285,755 H. Appropriations 1. Department of Engineering – FY2016 Bond Authorization, Sanitary Sewer Rehabilitation Category for the HRSD Jefferson Avenue Interceptor Force Main Project - $700,000 ACTION: A REQUEST TO APPROVE A RESOLUTION APPROPRIATING $700,000 FROM FY 2016 BOND AUTHORIZATION, SEWER REHABILITATION CATEGORY FOR THE HAMPTON ROADS SANITATION DISTRICT (HRSD) JEFFERSON AVENUE INTERCEPTOR FORCE MAIN PROJECT. BACKGROUND: On June 25, 2013, the City and HRSD entered into a cost sharing agreement for the construction of a 30-inch diameter HRSD interceptor force main on Jefferson Avenue between Oyster Point Road and City Center Boulevard. The new HRSD interceptor force main replaces a failing City force main. FISCAL IMPACT: The construction is being expedited by the City's contribution of $700,000, which has been budgeted for the replacement. The agreement stipulates the City's reimbursement is to be made upon the substantial completion of the project's construction, which is scheduled for July 2016. The City Manager recommends approval. ATTACHMENTS: Description CM Memo re HRSD Jefferson Ave Interceptor Attachment-Locaton Map HRSD Jefferson Force Main sdm14396 Appropriation re HRSD Jefferson Ave Interceptor Cost Participation Reimbursement  EI -64 BLVD W I-6 4 VIC TO RY OYS TER P OINT RD OY STER OLD INT RD PO OYSTER POINT RD VE PROPOSED NA FORCE MAIN LOCATION SO ER FF JE CA BL NON VD NE TT LE SD R ICK RW D D WA BLV LV DB OUN R EG DL MID MAX WE L G L LN HIN N FIS SO ER FF E IN PO JE AV R MID DLE TD GROU ND BLV D S LE E TT BL LV D NE DR IM TH LS B OA SH IC WARW D BLV K µ CITY OF NEWPORT NEWS, VIRGINIA HRSD JEFFERSON AVENUE INTERCEPTOR FORCE MAIN - PHASE I sdm14396 RESOLUTION NO. _______________ A RESOLUTION APPROPRIATING FUNDS FROM BOND AUTHORIZED AND UNISSUED TO HRSD JEFFERSON AVENUE INTERCEPTOR COST PARTICIPATION REIMBURSEMENT. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Newport News: That it hereby appropriates funds from Bonds Authorized and Unissued to HRSD Jefferson Avenue Interceptor Cost Participation Reimbursement, as follows: Appropriation From: Bonds Authorized and Unissued 4104-250-70-700L-579000-000000-2016- 00000-L0000 $ 700,000.00 Appropriation To: HRSD Jefferson Avenue Interceptor Cost Participation Reimbursement 4104-250-70-700L-579420-000000-2016- 00000-L6021 $ 700,000.00 H. Appropriations 2. City of Newport News – Self Insurance Reserves: to Fund FY 2016 General Liability for Settlement Costs and Associated Attorney Fees – $1,600,000 ACTION: A REQUEST TO APPROVE A RESOLUTION APPROPRIATING $1.6 MILLION FROM SELF INSURANCE RESERVES TO FUND FY 2016 SETTLEMENTS. BACKGROUND: Recent claims and associated attorney fees indicates the need to transfer funds to support the expense from Self Insurance Reserves. No future financial needs or operational responsibilities are required for these settlements. FISCAL IMPACT: Approval of this resolution will reduce the Self Insurance Reserves by $1,600,000 from $13,154,483 to $11,554,483. The City Manager recommends approval. ATTACHMENTS: Description CM Memo re FY2016 Self-Insurance Reserves sdm14399 Appropriation re FY2016 Self Insurance Reserves sdm14399 RESOLUTION NO. _______________ A RESOLUTION APPROPRIATING FUNDS FROM SELF INSURANCE RESERVE TO GENERAL LIABILITY FUND - OTHER CLAIMS. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Newport News: That it hereby appropriates funds from Self Insurance Reserve to General Liability Fund - Other Claims, as follows: Appropriation From: Self Insurance Reserve 1000-000-00-0000-300923-923002- 0000-00000 $ 1,600,000.00 Appropriation To: General Liability Fund - Other Claims 1200-100-43-4320-553086-000000- 0000-00000 $ 1,600,000.00 H. Appropriations 3. City of Newport News – General Fund Reserves: Line of Duty Act (LODA) Liability – $2,672,719 ACTION: A REQUEST TO APPROVE A RESOLUTION APPROPRIATING $2,672,719 FROM THE FULLY FUNDED LINE OF DUTY ACT (LODA) LIABILITY IN GENERAL FUND RESERVES TO A NEW FIDUCIARY FUND TO SEPARATE AND RECOGNIZE THE CITY'S MANAGEMENT OF THE FUND. BACKGROUND: The City became self-insured for the Line of Duty Act (LODA) responsibilities in June 2012. As part of being self-insured, the City fully funded the liability for the LODA expenses in the General Fund Reserves. FISCAL IMPACT: The City's external auditor's have recommended that the annual LODA expenses and corresponding liability be established as a fund separate from the General Fund. It is requested that the full LODA liability of $2,672,719 be transferred from the General Fund to the LODA fund. The City Manager recommends approval. ATTACHMENTS: Description CM Memo re FY2016 LODA Reserves sdm14401 Appropriation re FY2016 LODA Reserves sdm14401 RESOLUTION NO. _______________ A RESOLUTION APPROPRIATING FUNDS FROM LODA - GENERAL FUND RESERVE TO LODA RESERVE. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Newport News: That it hereby appropriates funds from LODA - General Fund Reserve to LODA Reserve, as follows: Appropriation From: LODA General Fund Reserve 1000-000-00-0000-300917-000000- 0000-00000 $ 2,672,719.00 Appropriation To: LODA Reserve 8220-822-53-0000-558990-000000- 0000-00000 $ 2,672,719.00 H. Appropriations 4. City of Newport News – General Fund Reserves: Emergency Fund for August 2012 Unnamed Storms – $5,285,755 ACTION: A REQUEST TO APPROVE A RESOLUTION APPROPRIATING $5,285,755 FROM THE GENERAL FUND RESERVES TO THE EMERGENCY FUND TO COVER THE EXPENSES OF THE AUGUST 2012 UNNAMED STORMS. BACKGROUND: In August 2012, the City experienced two unnamed storms that caused substantial flooding and damage, which included the destruction of two sanitary sewer pump stations. The State determined that the storms were local, and that the City would be responsible for the full cost of damage. The City has been reserving cash to fund the replacement and preventative upgrades to the two pump stations. FISCAL IMPACT: On advice of the City's external auditors, it is recommended that the fully funded emergency reserve for these storms in the amount of $5,285,755 be reported in the Emergency Fund to close this event. This action will not have an effect on the General Fund Reserves, as it has been recognized in prior fiscal years. The City Manager recommends approval. ATTACHMENTS: Description CM Memo re FY16 Emergency Fund sdm14398 Appropriation re FY2016 Emergency Fund sdm14398 RESOLUTION NO. _______________ A RESOLUTION APPROPRIATING FUNDS FROM GENERAL FUND CASH TO EMERGENCY CONTRACTUAL SERVICES - AUGUST 2012. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Newport News: That it hereby appropriates funds from General Fund Cash to Emergency Contractual Services - August 2012, as follows: Appropriation From: General Fund Cash 1000-000-00-0000-100001-000000- 0000-00000 $ 5,285,755.00 Appropriation To: Emergency Contractual Services - August 2012 5000-100-30-0000-539999-000000- 0813-00000 $ 5,285,755.00 *I. Citizen Comments on Matters Germane to the Business of City Council J. New Business and Councilmember Comments City Manager City Attorney City Clerk Price Scott Vick Woodbury Bateman Cherry Coleman K. Adjourn *THE BUSINESS PORTION OF THE MEETING WILL BE CONCLUDED NO LATER THAN 10:00 P.M. TO ALLOW PERSONS TO ADDRESS CITY COUNCIL UNDER “CITIZEN COMMENTS ON MATTERS GERMANE TO THE BUSINESS OF CITY COUNCIL.”