City Council

Steelton Borough Council Meeting February 1, 2010 The regular monthly meeting was called to order at 6:34 p.m. by President, Jeffery Wright with the pledge of allegiance, followed by a moment of silence by Mayor Acri. In Attendance: Absent: Jeffery L. Wright MaryJo Szada Stephen Shaver Michael Albert Dennis Heefner Lisa Wiedeman-Krosnar Maria R. Marcinko John M. DeSanto, Jr., Secretary Treasurer Kathleen D. Handley, Asst. Secretary Treasurer Mayor Thomas Acri David A. Wion, Solicitor Dennise Hill, Executive Assistant APPROVAL OF MINUTES: There were no minutes presented for approval. EXECUTIVE SESSIONS HELD BETWEEN MEETINGS: (Secretary DeSanto): None. PUBLIC COMMENT: Agenda Items Only There were no comments. UNFINISHED BUSINESS: Thomas L. Zimmerman, F.S.A. Conrad Siegel Actuaries – Present Council direction in reference to 2010-2011 Pension Funding and Minimum Municipal Obligation method. Mr. Zimmerman spoke regarding the police pension plan. He said that the poor numbers reported are not unusual and municipalities are having similar conversations across the state of Pennsylvania. He said that 2008 was a very bad year for investments. He noted that January 1, 2009 costs will increase. Decisions can be made to decrease the cost but the Borough will pay a lot more in the future. He said that Council can either pay more now or pay a lot more in the future. Mr. Zimmerman stated that this plan does include assistance from the state. These numbers will affect 2011 and 2012. The state aid is not sufficient to fund the cost increase caused by the poor numbers from 2008. Mr. Zimmerman emphasized that he does not suggest one option over the other however; he 1  Steelton Borough Council Meeting February 1, 2010 would answer any questions Council has about either. He said that reports are done over a two year time span. Few municipalities are using column 1 (as shown on distributed report). He said that the middle approach may be good. This would be a joint decision between Council and Conrad Siegel. Mayor Acri asked who the loss in the pension plan is for. Mr. Zimmerman stated that it is only for the police. Mr. Wion stated that the contract calls for the police to pay 4.5% of their pay in 2011. They can be made to pay up to 8%. He asked if Council is fixed to stay at 4.5%. He also asked if Council could have the police pay 8% and decrease the Borough’s contribution. Mr. Zimmerman said that the contract language states that the police are to pay a maximum of 4.5% in 2011. They are to pay a maximum of 5% in 2012. Mr. Wion then asked if $1,115,000.00 is a realized loss. Mr. Zimmerman said that some is a realized loss and some is not. That depends on what shares Mellon sold in 2008. Either way, the $1,115,000.00 is a real loss. Mellon cannot sell shares for more than what they are worth. Mr. DeSanto asked if the Borough can change the smoothing amounts for one year then increase that amount the next year. Mr. Zimmerman said that smoothing amounts cannot be changed from year to year. They can only be changed every other year. He said that Council can go with column 3 and hedge their bets. Mr. Heefner asked if the Borough’s contribution has to catch up to the fund. Mr. Zimmerman said that the plan is to be self-funded over a 15 year period. Realistically, the Borough may never catch up to the fund, though. COMMUNICATION: Mr. Thomas L. Zimmerman, F.S.A. Conrad Siegel Actuaries – Letter on Post- employment Benefits Plan GASB 45 Actuarial Valuation for Police Mr. Wright said that Council Members can contact Mr. Zimmerman with further questions. James V. Robinson, Secretary Treasurer Steelton Coin Club, Inc. – Letter of thanks for use of Municipal Building over the yeas since 1956 to hold meetings. They are dissolving and are donating half their final balance, $523.35 to the Borough’s general fund as a gesture of thanks. Mr. DeSanto will send a letter of thanks. Carol Sambol, President; PA Borough Councils Association – Letter of solicitation for letters of interest from Borough Council Members for the position of Second Vice-President within the PBCA. Council member must be a member of PBCA. 2  Steelton Borough Council Meeting February 1, 2010 Interested Council Members are asked to submit a letter expressing their interest and experience to E. J. Knittel, Secretariat for PBCA at eknittel@borougs.org. Ricardo A. Davis, Sr., Acting Director Harrisburg Department of Public Works – Letter to Borough of Steelton regarding Harrisburg Wastewater System 2009 Chapter 94 DEP Annual Report. It is requested that five copies of the requested information be submitted no later than February 19, 2020 for them to compile for their march 31, 2010 reporting deadline. Mr. Shaver asked Mr. DeSanto to develop the needed information and submit to them no later than February 19, 2010. Steven F. Frey, Resource Conservationist – Letter of notification to Ms. Cheryl Stulpin, Vice President of WINN Development, regarding Felton Lofts LDP (revision) #31-09-02. Notification that the revised erosion and sedimentation control plan meets requirements of the Dauphin County Conservation District. Mr. Heefner asked if this has to be submitted to the Planning Commission. Mr. Wion said that this was submitted with the entire package. This was submitted for Council’s information. Officer Arthur Etnoyer, Borough of Steelton Police Department – Certification of Completion of a Police Fitness Coordination Course. On a motion made by Mr. Heefner, seconded by Mrs. Wiedeman-Krosnar, Council Members present unanimously voted to have this certification placed in Officer Etnoyer’s personnel file. Mr. and Mrs. Howard G. Gray, II 240 Cottagehill Lane – Letter of thanks to Borough Council, Mayor Thomas F. Acri, and Borough Secretary John M. DeSanto, Jr. for granting the request of street name change to Cottagehill Lane. The new street sign is in place and their mail is being delivered without issue. This was submitted for Council’s information. Mrs. Margaret A. Acri, Borough Resident – Letter to Borough Council expressing appreciation to Borough Secretary John M. DeSanto, R. for his help, along with others in finding her dog Zoe when she was startled by noises at the Borough Tree Lighting Ceremony and ran off. On a motion made by Mr. Shaver, seconded by Mr. Heefner, Council Members present unanimously voted to have this letter placed in Mr. DeSanto’s personnel file. 3  Steelton Borough Council Meeting February 1, 2010 David A. Wion, Solicitor – Letter of Engagement with Boyer & Ritter, Certified Public Accountants. Boyer & Ritter was appointed as our accounting firm on January 4, 2010. This is the Letter of Engagement reviewed and approved for Council President Wright’s signature by Solicitor Wion. NEW BUSINESS: David A. Wion, Solicitor – Letter of Electronic Access Service Agreement with Mellon BNY. Mr. Wion presented this for a motion to approve this agreement to receive online information and plan documents. It will also enable Mr. DeSanto to review and monitor the Police Pension Plan manager’s performance, and to request portfolio allocation changes with Council’s authorization where it would be beneficial to the plan’s performance. Mr. Wion stated that in order for certain information to be given electronically, a contract is needed. Mr. Wion reviewed the terms and conditions, and those practices are currently in place. He recommended that Council ratify the agreement previously signed by Mr. Wright. On a motion made by Mr. Shaver, seconded by Mr. Albert, Council Members present unanimously voted to ratify the agreement of Electronic Access Service Agreement with Mellon BNY. David A. Wion, Solicitor – Neighborhood and Economic Development Coordinator job description created by the Borough Personnel Committee. Mr. Shaver stated that the there used to be a Main Street Manager and an Elm Street Manager position in the Borough. Those positions are no longer in existence and the Neighborhood and Economic Development Coordinator position was created. On a motion made by Mr. Albert, seconded by Mrs. Marcinko, Council Members present unanimously voted to approve the job description for adoption. Janet Maydak, President Center City Building Services, Inc. Highspire, PA – Letter of proposal to Borough Council to continue summer mowing program instituted in 2009 at same fee. 4  Steelton Borough Council Meeting February 1, 2010 Mr. Heefner asked that this matter be tabled. Mr. Conjar is off work and Mr. Heefner has some questions for him. Mr. Heefner said he will give a report at the next Council Meeting. OTHER BUSINESS: Mr. DeSanto, Borough Secretary/Treasurer – Request an Executive Session to discuss personnel matters, land acquisition and potential litigation issues. There were no comments. AUDIENCE PARTICIPATION: Reverend Ronald Sparks, Monumental AME Church Rev. Sparks invited everyone to a Jazz and Poetry Night being held at the church on February 13, 2010 from 4-7pm. He said that tickets are $15 each. COUNCIL CONCERNS: Mr. Heefner: said that a police car was towed and may need to be replaced soon. The police department will need more patrol. Mr. Heefner said that this car may be used as an unmarked police car. Mr. DeSanto: said that the list of streets to be repaired that was forwarded to UGI has been extended. Mr. Heefner suggested two streets and some streets were added for the East End Sewer Separation Project. Miss Hill: reminded Council of the upcoming Cub Pack 207 Blue and Gold Banquet. She also reminded everyone of the Black History Month Essay Contest celebration. Mr. Musser: suggested that Council have Mockenhaupt give a presentation on the 2010 MMO. He said that the presentation should be made before making a decision on the Conrad Siegel numbers presented tonight. Mr. Wright: suggested that the Black History Month Essay Contest be moved to either Prince of Peace School or to Steelton-Highspire Elementary School. He also thanked everyone for attending the meeting. A motion was made by Mr. Heefner, and seconded by Mr. Albert to recess into executive session at 7:10 p.m. Motion carried. The meeting reconvened at 8:10 p.m. 5  Steelton Borough Council Meeting February 1, 2010 On a motion made by Mr. Shaver, seconded by Mr. Albert, Council Members present unanimously voted to authorize Chief Spangler to adjust line items in his current budget and take $20,000.00 from salaries line item and move to the capital expenditure line item for the purchase of a police pursuit vehicle. ADJOURNMENT: There being no other business before Council, a motion was made by Mr. Albert, seconded by Mr. Shaver to adjourn the regular meeting at 8:13 p.m. Respectfully submitted, ________________________________ ______________________________ John M. DeSanto, Jr. Dennise L. Hill Borough Secretary Executive Administrative Assistant 6