City Council

AGENDA – MEETING OF THE COUNCIL OF THE CITY OF NORWICH August 7, 2023 7:30 PM The meeting will be televised on the Public Access Channel and posted on the city website, www.norwichct.org, in real time. PRAYER PLEDGE OF ALLEGIANCE ADOPTION OF MINUTES: July 3 and July 17, 2023 PETITION AND COMMUNICATION 1. Letter from Commission for Persons with Disabilities creating a vacancy. 2. Letter from Youth Advisory Board creating a vacancy. 3. Explanation of Proposed 2022-23 Budget Transfers and Summary of General Fund, CCD, and TCD Budget-to-Actual Results. CITY MANAGER’S REPORT CITIZENS COMMENT ON RESOLUTIONS (only on the agenda items) NEW BUSINESS-RESOLUTIONS 1. Relative to an appointment to the Norwich Golf Course Authority. 2. Relative to appointments to the Commission on the City Plan. 3. Relative to the transfer of funds among various departments to close out Fiscal year 2022-23. 4. Relative to Norwich Historical Society authorizing the City Manager to sign and endorse a grant application to the State of Connecticut. 5. Relative to amendment of existing American Rescue Plan Act allocations. 6. Relative to the Rotary Clubs of Norwich holding a Cultural Diversity Event on Chelsea Parade. NEW BUSINESS-ORDINANCE 1. AN ORDINANCE REGARDING ADDITIONAL FISCAL YEAR 2022-23 APPROPRIATIONS FOR THE CITY CONSOLIDATION DISTRICT EXECUTIVE SESSION City Clerk PETITION & COMMUNICATION #1 PETITION & COMMUNICATION #2  PETITION & COMMUNICATION #3 JOSHUA A. POTHIER, C.P.A. 100 Broadway Room 105 COMPTROLLER Norwich, CT 06360-4431 Phone: (860) 823-3720 www.norwichct.org/finance Fax: (860) 823-3812 jpothier@cityofnorwich.org July 31, 2023 To: Mayor Peter A. Nystrom and Members of the Norwich City Council through City Manager John Salomone Explanation of Proposed 2022-23 Budget Transfers and Summary of General Fund, CCD, and TCD Budget-to-Actual Results There is a resolution and an ordinance for the August 7, 2023 agenda to make budget transfers for fiscal year 2022‐23. This memo explains these transfers and summarizes the net impact of the unaudited operating results on the fund balances of these three funds. General Fund Revenues Collections of delinquent property taxes, conveyance taxes, building permit revenues, land recording fees and interest income were very strong. General Fund revenues will be over $3 million over budget estimates for fiscal year 2022‐23. Expenditures A few departments will need a budget transfer this year:  Registrars of Voters – This department will need a transfer of $65,000 due to the two additional elections in February and May 2023. $65,000 is 38.5% of the Registrars’ operating budget.  Yantic Fire Departments – This departments will need a transfer of $37,000 due to higher than anticipated Equipment Maintenance, Utilities, Building Maintenance, and Supplies costs. The most significant costs were due to emergency repairs to the station’s boiler. Chief Eyberse notified John Salomone and me in May that the boiler repairs were going to cost approximately $20,000. $37,000 is 21.5% of Yantic’s operating budget. Norwich Public Schools is currently projecting that it will finish the year with a deficit of approximately $2.0 million in its $86.8 million budget. This deficit will be filled by using the BOE Nonlapsing Account, so it will not impact the General Fund UFB. General Fund departments require $102,000 of transfers, in total. However, I am projecting that total net General Fund expenditures will be between $600,000 to $650,000 less than budgeted; therefore no additional appropriation is required. Unrestricted Fund Balance The 2022‐23 adopted budget did not include an appropriation of General Fund unrestricted fund balance (UFB). The General Fund UFB could increase between $3.6 million and $3.8 million which would put the balance between $20.5 million and $20.6 million, or 14.8% to 14.9% of annual operating expenditures for the fiscal year ending June 30, 2023. The current target range for General Fund UFB is 12%‐17%. City Consolidation District Revenues Revenues are $65,000 higher than the 2022‐23 budget. Expenditures The CCD will need an additional appropriation of $18,000 due to increased overtime and replacement cost. $18,000 is 0.2% of the CCD’s operating budget. The NFD had five retirements and resignations during the year. These vacancies and resulting promotions of staff into lower steps helped to reduce regular wages and fringe benefits in the CCD, but not enough to completely offset the increases in overtime and replacement cost. Unrestricted Fund Balance The 2022‐23 adopted budget did not include an appropriation of CCD unrestricted fund balance (UFB). The CCD UFB will increase $47,000 which puts the balance at $184,000, or 2.3% of annual operating expenditures for the fiscal year ending June 30, 2023. The City does not have a policy for the UFB level of this fund, but, in my opinion, a balance of 8% is an adequate level for a fund with moderate levels of risk like the CCD. Town Consolidation District Revenues Revenues are $6,000 higher than the 2022‐23 budget. Expenditures Volunteer Firefighter Property Tax Abatement costs were $4,300 higher than anticipated but will be offset by a reduced contribution to the Workers’ Compensation self‐insurance fund. Unrestricted Fund Balance The 2022‐23 adopted budget did not include an appropriation of TCD UFB. The TCD UFB will increase by $6,000 which will bring the TCD’s UFB to $40,000, or 8.2% of annual operating expenditures for the fiscal year ending June 30, 2023. The City does not have a policy for the UFB level of this fund, but, in my opinion, a balance of 5% is an adequate level for a fund with low levels of risk like the TCD.  RESOLUTION #1 BE IT RESOLVED that the below named be appointed as a regular member to the Norwich Golf Course Authority with a term to expire on January 23, 2025 or until a successor is appointed: Todd Postler (D) Alderwoman Stacy Gould Alderwoman Tracey Burto Alderman Grant Neuendorf  RESOLUTION #2 BE IT RESOLVED that the below named be appointed as a regular member of the Commission on the City Plan with a term to expire on February 28, 2024 or until a successor is appointed: Deane Nason (U) BE IT RESOLVED that the below named be appointed as a regular member of the Commission on the City Plan with a term to expire on February 28, 2025 or until a successor is appointed: James Quarto (D) BE IT RESOLVED that the below named be appointed as an alternate member of the Commission on the City Plan with a term to expire on February 28, 2024 or until a successor is appointed: Jason Courter (R) Alderwoman Stacy Gould Alderwoman Tracey Burto Alderman Grant Neuendorf  RESOLUTION #3 WHEREAS, the Registrars of Voters Department expended approximately $65,000 in excess of its 2022-23 appropriation resulting primarily due to the two additional elections in February and May 2023; and, WHEREAS, the Yantic Volunteer Fire Department expended approximately $37,000 in excess of its 2022-23 appropriation resulting primarily from equipment maintenance, utilities, building maintenance, and supplies costs; and, WHEREAS, several departments underspent their 2022-23 budgets and total General Fund expenditures will finish under the appropriated amount. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH, that $102,000 be and hereby is transferred from the 2022-23 Contingency budget to the 2022-23 budgets of the Registrars of Voters and Yantic Volunteer Fire Department budgets as follows: Budget Decreases Contingency 10500000-58600 $102,000 Budget Increases Registrars of Voters 10419700-51620 38,000 Registrars of Voters 10419700-55500 20,000 Registrars of Voters 10419700-56610 7,000 Yantic VFD 10423700-54310 17,000 Yantic VFD 10423700-54430 20,000 Total Budget Increases $102,000 City Manager John L. Salomone  RESOLUTION #4 WHEREAS, the Norwich Historical Society, through its Executive Director, Regan Miner, proposes to apply to the State Historic Preservation Office for a Certified Local Government Grant in the amount of $20,000 to be used to hire a qualified firm or individual architect and engineer to conduct a condition assessment of the circa 1890 Dr. Patrick Cassidy house located at 98 Washington Street in Norwich, Connecticut, the assessment to include identifying any major issues with the structure, prioritizing rehabilitation plans, and setting the groundwork for developing a full scale preservation plan, the condition assessment to include cost estimates and/or a proposed budget for the rehabilitation of the structure; and WHEREAS, the grant application will require the approval of the City of Norwich evidenced by the signing of the application by City Manager John Salomone, duly authorized, where required, and the submission of a certified copy of this resolution as part of the application package; and WHEREAS, the City of Norwich is the current owner of the Dr. Patrick Cassidy house having acquired the same through a tax foreclosure. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH, that it approves of the application to be made by the Norwich Historical Society to the State Historic Preservation Office for a Certified Local Government Grant in the sum of $20,000, or up to $30,000 as permitted by the State Historic Preservation Office, and hereby authorizes and directs City Manager John Salomone to sign and endorse the application as required, to arrange the issuance of a certified copy of this resolution, and to deliver it to the Norwich Historical Society for filing the Certified Local Government Grant as described herein with the State Historic Preservation Office, together with such other forms and documentation, if satisfactory to him, as may be required to file, obtain and utilize the Grant. Mayor Peter Albert Nystrom President Pro Tem Joseph A. DeLucia Alderwoman Stacy Gould  RESOLUTION #5 RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH, that the American Rescue Plan Act allocations adopted previously, be amended as follows: Current City Manager ARPA Exp. Brief Change Project Dept/ Details of requested change balance recommended Code Description + / (-) # Entity of ARP allocation funds * Greenville homes are working $100K from 2.23-Strong on completion. available funds. Healthy Affordable Habitat for * Rehabs: request for additional ARP16 Communities: Housing Humanity funds needed to complete 3 $582,880 $ 100,000 This increases Demo and Projects full allocation homes on Palmer Street and rehab of up to $900K New London Tpke properties $50K from 2.34- available funds. Requesting additional funds Assistance to Walk-in St. Vincent ARP34 Impacted fridge/freezer DePaul Place needed to complete the project. $0 $50,000 This increases Paid $89,739.19 to date. full allocation Non-profits up to $139,739 $15K from NCDC/Planning available funds. Community Envision 360 renews in ARP57 1.14-Public Engagement & September 2023. Looking to $2,760 $15,000 This increases Health Other Neighborhood full allocation Software cover at least one more year. Services up to $35K Total Dollar Amount recommended $165,000 Prior Balance of funds AVAILABLE $481,719 REVISED FUNDS AVAILABLE AFTER ABOVE PROPOSED CHANGES $316,719 City Manager John Salomone  RESOLUTION #6 WHEREAS, the Rotary Clubs of Norwich will hold a Cultural Diversity Event at Chelsea Parade on Monday, September 18, 2023 with a rain date of Tuesday, September 19, 2023 to celebrate the many cultures that together make up Norwich, the event to include music, dance, entertainment, demonstrations and much more; and WHEREAS, the event will run from 5PM to 8PM with free admission and will have food tasting available from 5PM to 7PM at a cost of $10 per person, those under 6 free; and WHEREAS, the Rotary Clubs have previously sponsored similar events which proved both popular and instructive. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH, that it extends it thanks to the Rotary Clubs of Norwich for hosting this Cultural Diversity Event in September of 2023 and for hosting similar events in prior years; and BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH, that it invites and welcomes those residents and visitors who will be attending this event. Mayor Peter Albert Nystrom Alderwoman Stacy Gould Alderman Grant Neuendorf  NEW BUSINESS ORDINANCE #1 AN ORDINANCE REGARDING ADDITIONAL FISCAL YEAR 2022-23 APPROPRIATIONS FOR THE CITY CONSOLIDATION DISTRICT WHEREAS, the City Consolidation District’s (“CCD”) overtime and replacement costs for fiscal year 2022-23 are $18,000 higher than anticipated compared to the adopted 2022-23 budget for the CCD; and WHEREAS, the CCD has adequate levels of unassigned fund balance (“UFB”) to absorb the impact of the budget variances described above; and NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF NORWICH THAT the fiscal year 2022-23 appropriations for the CCD be, and hereby is, increased by the sums of $18,000 for the reasons set forth above. Purpose: To increase the appropriations of the City Consolidation District fund for expenditures in excess of the adopted 2022-23 budget. City Manager John L. Salomone