City Council

CITY OF STERLING HEIGHTS MINUTES OF REGULAR MEETING OF CITY COUNCIL TUESDAY, FEBRUARY 7, 2012 IN CITY HALL Mayor Richard J. Notte called the meeting to order at 7:30 p.m. Mayor Notte led the Pledge of Allegiance to the Flag and Walter C. Blessed, City Clerk, gave the Invocation. Council Members present at roll call: Deanna Koski, Richard J. Notte, Joseph V. Romano, Maria G. Schmidt, Paul Smith, Michael C. Taylor, Barbara A. Ziarko. Also Present: Mark D. Vanderpool, City Manager; Jeffrey Bahorski, City Attorney; Walter C. Blessed, City Clerk; Robin Palazzolo, Recording Secretary. APPROVAL OF AGENDA Councilwoman Ziarko requested that Consent Agenda Item 1-D be pulled and made Consideration Item 4. Councilman Smith requested that Consent Agenda Items 1-G and 1-H be pulled and made Consideration Items 5 and 6, respectively. Moved by Koski, seconded by Romano, to approve the Agenda, as amended. Yes: All. The motion carried. REPORT FROM CITY MANAGER Mr. Vanderpool reported on Sterling Heights is one of nine local municipalities to be awarded the Certificate of Community Excellence by Macomb County for its efforts to cut costs by sharing services with neighboring communities. Thanks to proactive actions like service sharing, the City is surviving the financial crisis while still providing high levels of service. Mr. Vanderpool reported on the Southeast Michigan Council of Governments (SEMCOG) offers a free and easy online commuter matching service, called Michigan Rideshare, for commuters working in southeast Michigan to find carpool, vanpool, and bike partners quickly and securely. This program can save the commuter time and money. To obtain additional information, please visit www.mirideshare.org or call 866-510-POOL. Mr. Vanderpool reported on the official opening of the Michigan Defense Center Headquarters. This is scheduled for 10 a.m. on Thursday, February 16, 2012, and will be held Regular City Council Meeting Tuesday, February 7, 2012 Page 2 at Velocity, located at 6633 18 Mile Road. This will involve numerous speakers, including Michael Finney, MEDC President/CEO. To obtain additional information, please call 586- 469-5285. Mr. Vanderpool reported on the City’s Economic Development website. The new web layout provides information that proves to be very helpful to businesses, especially start-up businesses. To obtain additional information, please visit www.sh-econdev.net or call 586- 884-9322. Mr. Vanderpool reported on 2011 fourth quarter Foreclosure Report. A chart was shown at this time. The total number of foreclosures in Sterling Heights for 2011 was 701. This was down by about 20% from the number we had in 2010, which was 874. Sterling Heights has dedicated two part-time inspectors who monitor vacant foreclosed homes on a daily basis. Hundreds of foreclosed properties have been cleaned up in our city, helping to avoid blight and maintain the character of our neighborhoods. He noted that foreclosures are headed in a downward trend and we need this downward trend to continue. Mr. Vanderpool reported on unemployment rates. A graph was shown at this time. The City’s November, 2011 unemployment rate was 7.3%, versus 7.4% in November of 2008. PRESENTATION Councilman Romano presented the Nice Neighbor Award to Christine Zeng in recognition of her efforts to assist the community and contributions in making Sterling Heights’ overall quality of life second to none. CONSENT AGENDA 1. Moved by Koski, seconded by Romano, RESOLVED, to approve the Consent Agenda, as amended: A. To approve the minutes of the Regular Meeting of January 17, 2012, as presented. B. To approve payment of the bills as presented: General Fund - $713,067.71, Water & Sewer Fund - $2,055,106.13, Other Funds - $876,869.73, Total Checks - $3,645,043.57. C. RESOLVED, to adopt the resolution establishing a schedule of City Council Workshops for the purpose of reviewing and acting upon the 2012/13 proposed budget and to direct the City Clerk to provide the appropriate notice as required by Michigan’s Open Meetings Act. Regular City Council Meeting Tuesday, February 7, 2012 Page 3 - RESOLUTION - To establish a schedule of City Council Workshops for the purpose of reviewing and acting upon the recommended 2012/13 fiscal year budget UPON MOTION BY MEMBER KOSKI and SUPPORT BY MEMBER ROMANO THE FOLLOWING PREAMBLE AND RESOLUTION WAS OFFERED AND ADOPTED ON FEBRUARY 7, 2012. AYES: Koski, Romano, Notte, Schmidt, Smith, Taylor, Ziarko. NAYS: None. WHEREAS, pursuant to City Charter, the City Manager forwards the recommended budget to the City Council together with such supporting information and schedules as required by April 1; and WHEREAS, the City Charter requires that the City Council adopt a final budget no later than May 10th of each year; NOW, THEREFORE, BE IT RESOLVED THAT: The City Council will conduct televised workshops in the City Council Chambers. 2012/13 Budget Workshop Schedule Thursday, March 29 i Budget Submitted and Distributed to City Council (Thursday packets) Tuesday, April 3 7:30 p.m. ~ Regular City Council Meeting ~ Budget Workshop i Presentation of Budget Annual Budget Message Executive Summary Trends & Summaries i Capital Project & Other City Funds Capital Equipment & Vehicles Capital Projects Road Bond Construction Fund Major Road Fund Local Road Fund Economic Development Corp. Fund Brownfield Redevelopment Fund Comm. Development Block Grant Fund Neighborhood Stabilization Program Fund Corridor Improvement Authority Fund Land & Water Conservation Fund Public Safety Forfeiture Fund Local Development Finance Authority Fund Debt Service Funds Tuesday, April 17 7:30 p.m. ~ Regular City Council Meeting ~ Budget Workshop i City Administration Department City Management Economic Development Administrative Services Division - City Clerk Act 78 Civil Service Commission - Facilities Maintenance - Information Technology Regular City Council Meeting Tuesday, February 7, 2012 Page 4 Finance and Budget Division - Assessing - Financial Services - Purchasing - Treasury - General Employees Retirement System - General Expenditures i Police Department Police Administration Police Investigations Police Operations Police Support Services Emergency Management Tuesday, April 24 6:30 p.m. ~ Budget Workshop -9:00 p.m. i Fire Department Fire Administration & Training Fire Extinguishment Fire Prevention i City Development Department Building Neighborhood Services Planning Planning Commission Zoning Board of Appeals i Community Services Department Public Library Historical Commission Parks & Recreation i Community Relations Community Relations Beautification Commission Cultural Commission i Public Works Department Engineering Fleet Maintenance Parks & Grounds Maintenance Public Works Center Refuse Collection Street Services i Water & Sewer Fund Water & Sewer Administration Water Distribution Sewage Collection i Legal Tuesday, May 1 7:30 p.m. ~ Regular City Council Meeting Budget Workshop continued after regular meeting (if necessary) Tuesday, May 8 6:30 p.m. ~ Charter Budget Hearing Budget Adoption Regular City Council Meeting Tuesday, February 7, 2012 Page 5 D. Moved to Consideration Item 4. E. RESOLVED, to accept the proposal from IES Interactive Training, 1229 Oak Valley Dr., Ann Arbor, MI 48108 for the MILO Range PROv4 firearms training simulator at a total cost of $50,815. F. RESOLVED, to extend the terms and conditions of a proposal by Bumler Mechanical, Inc., 6260 18-1/2 Mile Road, Sterling Heights, MI 48314, for heating and cooling systems maintenance for a one-year period. G. Moved to Consideration Item 5. H. Moved to Consideration Item 6. Yes: All. The motion carried. CONSIDERATION 2. Mr. Denis Drumb, President and head coach of the Macomb Yankees Baseball Club, requested consideration to be recognized as a nonprofit organization. Moved by Schmidt, seconded by Ziarko, RESOLVED, that the request from Macomb Yankees Baseball Club of Sterling Heights, County of Macomb, asking that they be recognized as a nonprofit organization operating in the community for the purpose of obtaining a charitable gaming license be considered for approval; provided, however, that this action is not an endorsement of the organization and the City of Sterling Heights should not be listed on any promotional materials associated with their charitable gaming activities. Councilwoman Schmidt inquired about the organization. Mr. Drumb explained they are a team comprised of 10 and 11-year olds. They have children from all areas, but mostly from Macomb County, with four players on the team being from Sterling Heights. He stated the team participates in the Michigan Amateur Baseball Federation. Councilwoman Schmidt inquired are any of the parents or officers of the organization reimbursed, or if they are paid positions. Mr. Drumb responded they are all volunteer positions. Councilwoman Schmidt stated this is strictly a volunteer organization and they are trying to raise money for equipment, trips and tournaments that the children participate in. It is a State requirement that organizations such as this be recognized as a nonprofit organization and she has no problem with it. Regular City Council Meeting Tuesday, February 7, 2012 Page 6 Councilman Smith stated at this point we are putting a baseball team with ten players on par with real charities and he does not want to become a part of charity gambling. Councilman Taylor stated the petitioner has acknowledged they are not a charity and he is very comfortable supporting this. Councilwoman Ziarko inquired what type of activities the baseball players do to raise funds in order to bring down the costs of their activities. She stated she understands the importance of raising funds and she is in favor of it. Councilwoman Koski stated this is not an endorsement of the organization, but merely acknowledging that they are a nonprofit. She inquired as far as fundraising in concerned, is all of the monies spent strictly on their team. Mr. Drumb responded they have donated money to the Autoimmune Society. Councilman Romano feels it is commendable on Mr. Drumb’s part to take the initiative to put this together to help defray some of the costs. He is one hundred percent for this. Mayor Notte stated he is in favor of this. Roll call vote: Yes: Schmidt, Ziarko, Koski, Notte, Romano, Taylor. No: Smith. The motion carried. 3. Mayor Notte recommended the appointment of Isaac Cabasse to the Ethnic Community Committee. Moved by Schmidt, seconded by Notte, RESOLVED, to confirm the Mayor’s appointment of Isaac Cabase to the Ethnic Community Committee, subject to the appointee meeting the qualifications set forth in Charter §4.03 and taking the oath of office within two weeks. Yes: All. The motion carried. Mayor Notte recommended the remaining appointment to the Ethnic Community Committee be postponed for one month. Moved by Schmidt, seconded by Notte, RESOLVED, to postpone to the March 6, 2012 City Council regular meeting, the remaining appointment to the Ethnic Community Committee. Yes: All. The motion carried. Moved by Romano, seconded by Schmidt, RESOLVED, to reappoint Ruth Kukulski to the Board of Canvassers to a term ending December 31, 2015, subject to the appointee meeting the qualifications set forth in Charter §4.03 and taking the oath of office within two weeks. Regular City Council Meeting Tuesday, February 7, 2012 Page 7 Yes: All. The motion carried. Moved by Romano, seconded by Notte, RESOLVED, to reappoint Elena C. Tilley to the Board of Canvassers to a term ending December 31, 2015, subject to the appointee meeting the qualifications set forth in Charter §4.03 and taking the oath of office within two weeks. Yes: All. The motion carried. Moved by Romano, seconded by Notte, RESOLVED, to appoint Robert Ervin to the Board of Ordinance Appeals to a term ending June 30, 2012, subject to the appointee meeting the qualifications set forth in Charter §4.03 and taking the oath of office within two weeks. Yes: All. The motion carried. Moved by Romano, seconded by Schmidt, RESOLVED, to appoint Wanda Walker to the Housing Commission to a term ending December 31, 2016, subject to the appointee meeting the qualifications set forth in Charter §4.03 and taking the oath of office within two weeks. Yes: All. The motion carried. 4. Item 1-D from the Consent Agenda. Moved by Ziarko, seconded by Schmidt, RESOLVED, to acknowledge and accept the donation of $200 to SHINE from the Schoenherr Moravian Homeowners Association and authorize an increase in account 11740417-956000 (Neighborhood Services – Local Meetings) for the donation amount. Councilwoman Ziarko stated she is a part of this homeowners association and they invited Ms. Pat Brockway, Neighborhood Services Manager, to come and speak at one of their association meetings. After they listened to Ms. Brockway, they made a decision to donate to the SHINE program in order to help pay for supplies that the volunteers use to help clean up the neighborhoods. Yes: All. The motion carried. 5. Item 1-G from the Consent Agenda. Ms. Laura Hester, Davos Development, stated she is representing Ms. Nancy Greene from The Sterling Prize Game Café. She stated they are requesting approval for both the Type A and Type C licenses. Everything about The Sterling Prize Game Café is in keeping with the regulations that are set forth in both the City’s Ordinance and the State law. There are 75 games allowed in this 3,200 square foot facility and this is a completely cashless system. They Regular City Council Meeting Tuesday, February 7, 2012 Page 8 received all of the required variances for this facility in February of 2011. As a condition of the Zoning Board of Appeals, no minors are allowed without the accompaniment of an adult. She also stated the target customers are between 50 and 75 years of age. Mr. Geoffrey Gariepy spoke in favor of this item. Mr. Joe Judnick stated he is opposed to this, but wishes them the best of luck. Moved by Romano, seconded by Taylor, RESOLVED, to approve the application by 34762 Operations LLC, d/b/a The Sterling Prize Game Café, for a Type A Amusement Device License located at 34762 Van Dyke, Sterling Heights, MI 48312. Councilman Romano stated this is a new frontier. He welcomes them and wishes them success in all of their endeavors. Councilman Taylor inquired is there an age requirement to play the games. Ms. Greene responded they do not want minors under the age of 18 in there without a parent or guardian present. Councilman Taylor inquired as to how the process works. Ms. Greene responded first, you go to the kiosk and insert your money into a machine, which will print you out a ticket. Then, you take the ticket to a machine and swipe it in the machine to play. To claim a prize, you take the ticket to a redemption counter and redeem it for a gift card. According to Michigan law, any payout cannot exceed $500. Councilman Taylor stated he applauds them for moving into Sterling Heights. He is happy to support this and wishes them good luck. Councilman Smith stated gambling is illegal in Michigan. This is a cashless system; however, you covert the cash into a card that converts it into a token, which is then turned into a gift card that is effectively turned into cash. He doesn’t think this is the right thing to do. Councilwoman Schmidt inquired how much is one play and stated she views this as an arcade for adults. She has no problems with this. Councilwoman Ziarko inquired how many staff members they plan on having on-site. Ms. Greene responded there will always be two staff members present per shift and hours of operation will be from 11 a.m. to 11 p.m. Councilwoman Ziarko stated she does not have any problems with this. Regular City Council Meeting Tuesday, February 7, 2012 Page 9 Councilwoman Koski inquired how much money can the average person spend in one day at this facility. Ms. Greene responded it is hard to say, but approximately $20 can probably get you a couple hours of play. Roll call vote: Yes: Romano, Taylor, Koski, Notte, Schmidt, Ziarko. No: Smith. The motion carried. 6. Item 1-H from the Consent Agenda. Mr. Charles Jefferson, Mr. Joe Judnick, Mr. Gerald Sieja, Mr. Geoffrey Gariepy, and Ms. Beverly Morocco expressed their concerns regarding this item. Ms. Hester responded to concerns from the residents. Moved by Taylor, seconded by Romano, RESOLVED, to approve the application by 34762 Equipment LLC, 200 E. Long Lake Road, Suite 110, Bloomfield Hills, MI 48304 for a Type C Amusement Device License. Councilman Taylor inquired if they had plans to expand the distribution of these devices and how did they plan on targeting seniors. Ms. Hester responded they are not manufacturers of this equipment and they do not plan on selling them to the general public. She also stated they plan on advertising through newspapers and direct mail. Councilman Romano stated he doesn’t think Sterling Heights is turning into a little Las Vegas. Councilman Smith inquired what the monthly rent is for this facility. Ms. Greene responded $4,200 per month. Councilwoman Ziarko stated she wants to give them the opportunity to succeed. Roll call vote: Yes: Taylor, Romano, Koski, Notte, Schmidt, Ziarko. No: Smith. The motion carried. COMMUNICATIONS FROM CITIZENS Mr. Jeffrey Norgrove – Medical marijuana; Boards and commissions. Mr. George Hamzik – Advertisements; Sterling Heights recycling centers; Curbside recycling; Police Dispatcher positions. Mr. Gerald Sieja – Utica and Hayes shopping center; Kroger; Utica and Schoenherr Road status; Van Dyke bridge timetable; Road salt; Boards and commissions; Right to work state; Police and Fire contracts and concessions; Universal Ambulance; Volunteer fire department; City services; Current deficit of City of Sterling Heights; Employee layoffs. Regular City Council Meeting Tuesday, February 7, 2012 Page 10 Mr. Ray Sharer, representative of the Michigan Association of Public Employees – Negotiations; 20% reduction in work week; Employee layoffs; Moratorium of Comp Time; Longevity; Police and Fire Pension System. Ms. Cindy Critzon, resident, taxpayer and general employee of the City of Sterling Heights - Police and Fire Pension System. Mr. Joe Judnick – Schoenherr and Utica Road senior citizen complex rezoning; Maple Lane and 14 Mile Road rezoning; Atco Industries; Polish Market at Mound Road, south of 18 Mile Road; Van Dyke and Utica Road, former Speedway Gas Station; Schoenherr and Moravian rezoning; 16 Mile Road and Van Dyke, former Ham’s Restaurant; Boards and commissions; 19 Mile Road and Schoenherr massage parlor zoning. Mr. John Haase, bargaining representative for Michigan Association of Public Employees – 20% reduction in general employee pay; Concessions. Ms. Virginia Konicek, City of Sterling Heights employee and citizen – Negotiations; Layoffs; Health care; Cost saving measures. REPORTS FROM CITY ADMINISTRATION AND CITY COUNCIL There was no report from Mr. Bahorski at this time. Mr. Vanderpool responded to questions from residents regarding construction projects going on in the city, how much salt we have used, the City’s fund balance, labor negotiations, and notification to employees regarding the reduced work week. UNFINISHED BUSINESS 1. Councilman Taylor spoke regarding appointments to boards and commissions, stating he is going to make sure and do the vetting on his own and make sure that he can support any candidate that is nominated by one of his colleagues. 2. Councilman Taylor spoke regarding negotiations, stating if anyone wishes to sit down and collaborate with him, he welcomes it. 3. Councilman Smith spoke regarding health care plans, economy, employee wages, budget, cost of living, and Police and Fire Pensions. 4. Councilwoman Ziarko stated a couple of residents brought to her attention there have been a number of roll-over accidents at the intersection of 16 Mile Road and Dodge Park Road. Regular City Council Meeting Tuesday, February 7, 2012 Page 11 She requested a report on the accidents at this intersection, both before and after the speed limit was raised. 5. Councilman Romano spoke regarding negotiations, stating we are doing whatever we can to try and satisfy everyone. He also spoke regarding the articles in the Macomb Daily regarding the reduced work week for employees, stating not to blame Mr. Vanderpool or administration for these articles being published in the paper. 6. Mayor Notte stated he appreciates the employees for coming forward and speaking tonight. He also spoke regarding Police and Fire Pensions, and concessions. NEW BUSINESS There was no New Business. CLOSED SESSION PERMITTED UNDER ACT 267 OF 1976 ADJOURN Moved by Ziarko, seconded by Romano, to adjourn the meeting. Yes: All. The motion carried. The meeting was adjourned at 10:07 p.m. WALTER C. BLESSED, City Clerk