Board of Mayor & Aldermen

MINUTES BOARD OF MAYOR AND ALDERMEN SPECIAL MEETING JUNE 7, 2011 Board present Staff present Mayor Billy Paul Carneal City Manager Paul John Nutting Vice-Mayor Bruce Head Asst. City Manager Regina Holt Alderman Willie Mason City Recorder Jane Shugart Murphy Alderman Jerome Ellis City Clerk Connie W. Watson Alderman Ann Schneider City Attorney Jim Balthrop Alderman Shane Shoemaker Alderman James Hubbard 1.1 Mayor Billy Paul Carneal called to order the special meeting of the Board of Mayor and Aldermen at 7:00 p.m. 1.2 Public Hearing: Ordinance 11-07 on 2nd reading, an ordinance to increase the retail electric rates of the Springfield Electric Department. 2.0 Legislative 2.1 Alderman Hubbard moved for discussion Ordinance 11-06 on 2nd reading, an ordinance adopting the annual budget and tax rate for fiscal year beginning July 1, 2011 through June 30, 2012. The motion was seconded. The City Manager presented the Board a copy of recommended changes in the proposed General Fund budget. He stated that after further research we now understand that beer tax revenue will not be affected by the population growth of the county. Therefore, an increase in wholesale beer tax in the amount of $132,330 is recommended. The City still stands to loose approximately one third (1/3) of prior year revenue from the wholesale liquor tax revenue due to the growth of our population. Mr. Nutting briefed the Board on various additional items in the proposed budget and recommendations for change. He informed them of the strict federal stormwater regulations and the guidelines pertaining to collection and monitoring of stormwater. The State has notified us that we have until June 30, 2011 to come into full compliance with stormwater management regulations and provided a list of fifteen (15) things that have to be in place. He advised that stormwater fees should be set and implemented as soon as possible in order to meet necessary expenditures. The proposed Stormwater Utility Fund budget is based on initialing temporary fees until a fee study can be performed and fees based on the appropriate criteria can be implemented. It appears, however, that state law does not allow temporary fee to be established for stormwater drainage. The recommendation for budget changes include moving a portion of the stormwater management expense back into General Fund from the Stormwater Utility Fund to give the City time to complete the necessary study and calculate the permanent fee structure. After the permanent fees are established all funds for the NPDES stormwater program would be collected and expended through the Stormwater Utility Fund. Mr. Nutting suggested that any recommended changes to the budget should be incorporated into the ordinance tonight on second reading. Each Board member was given the opportunity to voice individual opinions and make suggestions for the proposed budget. Alderman Hubbard moved for the approval of the proposed budget ordinance as presented. The motion was seconded. The City Manager went over the procedure necessary to pass the proposed budget ordinance. Alderman Shoemaker moved to amend the proposed budget by changing the local option sales tax increase from 4% to 4.5% (an increase of $29,500) and the state sales tax increase from 4% to 5% (an increase of $10,300). The motion dies for lack of second. Alderman Ellis moved to amend the proposed budget by changing the property tax rate to $0.90, transferring $100,000 from the Cemetery Fund to the General Fund, using an additional $100,000 from General Fund reserves and approving the changes as recommended by the City Manager as presented. The motion was seconded and failed by 3-4 roll call vote. Ayes: Ellis, Shoemaker, Carneal. Nayes: Hubbard, Schneider, Mason, Head. The original motion for the approval of Ordinance 11-06 on 2nd reading was brought back and failed by 2-5 roll call vote. Ayes: Mason, Hubbard. Nayes: Ellis, Shoemaker, Carneal, Head, Schneider. The Board agreed to schedule a special meeting for June 16, 2011 at 7:00. 2.2 Alderman Hubbard moved for the approval of Ordinance 11-07 on 2nd reading, an ordinance to increase the retail electric rates of the Springfield Electric Department. The motion was seconded and passed by 6-1 roll call vote. Ayes: Carneal, Head, Shoemaker, Mason, Schneider, Hubbard. Nayes: Ellis. This ordinance increases electric rates by 1.66%. 2.3 Alderman Hubbard moved for the approval of Resolution 11-13, a resolution authorizing the submission of an application to the Tennessee Department of Transportation for assistance in the construction of an industrial access road under the State Industrial Access Program. The motion was seconded and passed by 7-0 roll call vote. The proposed industrial access road will facilitate a proposed expansion by Electrolux. 3.0 Administrative Mayor Carneal nominated Dr. Tommy Crunk to serve on the Highland Crest- College Campus Advisory Board. 3.1 Alderman Hubbard moved to appoint Dr. Tommy Crunk to serve on the Highland Crest-College Campus Advisory Board. The motion was seconded and passed by 7-0 roll call vote. 3.2 David Brewer, City Engineer, briefed the Board on the request for additional furniture and equipment for the Highland Crest-college Campus in the following amounts: $100,000 for furniture: $20,000 for projectors and monitors; $4,200 for PCO #35 and #36; $12,000 for a wifi network; $1,000 for patch cables; and $6,500 for security system. He reported that the day before the Robertson County Commission Building and Grounds Committee approved these expenditures and, in addition, authorized Mr. Brewer to be able to expend, if necessary, an amount not to exceed $40,000 on other contract change orders so that the project can be closed out. Alderman Hubbard moved to approve the expenditures as presented and to authorize the City Engineer to be able to expend an amount not to exceed $40,000 on future change orders. The motion was seconded and passed by 7-0 roll call vote. 3.3 Alderman Hubbard moved for approval to award the bid for the replacement of nine (9) HVAC units and duct cleaning at City Hall to Robinette in the amount of $58,500.00 ($50,400.00 for the HVAC and $8,100.00 for duct cleaning). The motion was seconded and passed by 7-0 roll call vote. 3.4 Alderman Shoemaker moved for approval to award the bid for the construction of tennis courts at Garner Street Park to Tennis Court Construction Co., Inc. in the amount of $129,900.00. The motion was seconded and passed by 7-0 roll call vote. 4.0 Adjournment With no further business to discuss, the meeting adjourned. ______________________________ Billy P. Carneal, Mayor Attest: ______________________________ Jane Shugart Murphy, City Recorder