CITY COUNCIL PROCEEDINGS
St. Louis, Michigan
May 18, 2010
The Regular Meeting of the Saint Louis City Council was called to order by Mayor Joe Scholtz, on Tuesday, May 18, 2010, at 7:30 a. m., in the City Hall Council Chambers.
Council Members Present: Mayor Joe Scholtz, Melissa A. Allen, Jerry Church, James C. Kelly,
William E. Shrum
Council Members Absent: None
City Manager: Robert F. McConkie
City Clerk/Treasurer: Nancy L. Roehrs
Others in Attendance:
Kurt Giles Utilities Director
Phil Hansen DDA Director
Katherine Roslund City Assessor Mark Abbott DPW Supt.
Pat Herblet Police Chief
Paul Opsommer State Representative
Council Member Allen led in the pledge of allegiance to the flag.
Minutes.
Moved by Shrum, supported by Kelly, to approve the minutes of the regular meeting held on May 4, 2010, subject to the correction on page 185 to read “Corinth Street”. All Ayes carried the motion.
Claims & Accounts.
City Council discussed the Claims & Accounts.
Moved by Shrum, supported by Church, to approve the Claims & Accounts, in the amount of $216,412.55. All ayes carried the motion.
Monthly Reports.
City Council discussed the April 2010 Monthly Reports.
Moved by Kelly, supported by Church, to receive and place on file the April 2010 Monthly Reports. All ayes carried the motion.
Public Comments. None
Communications.
City Manager McConkie requested that the City Council place on file communication from the DNRE regarding Water System Master Plan, Charter Communication, MEDC award of Downtown Urban Revitalization Grant and Kurt Giles on the 2013-2015 Energy Capacity Purchase.
Moved by Allen, supported by Church, to approve to receive and place on file the communications from the DNRE regarding Water System Master Plan, Charter Communication, MEDC award of Downtown Urban Revitalization Grant and Kurt Giles on the 2013-2015 Energy Capacity Purchase. All ayes carried the motion.
New Business.
Approve Manhole Rehab Project.
City Manager McConkie requested that the City Council approve the Rehabilitation Manhole Project and lining work to manholes in the M-46 corridor by Advanced Rehabilitation Technology in the amount of $24,000.00.
Moved by Allen, supported by Kelly, to approve the Rehabilitation Manhole Project and lining work to manholes in the M-46 corridor by Advanced Rehabilitation Technology in the amount of $24,000.00.
Roll call vote:
Ayes: Allen, Kelly, Church, Shrum, Scholtz
Nays: None
Motion carried.
Approve Railroad Crossing Signage Replacement Project.
City Manager McConkie requested that the City Council approve the Railroad Crossing Sign Replacement Project by Dornbos Sign and Safety in the amount of $5,920.00.
Moved by Shrum, supported by Kelly, to approve the Railroad Crossing Sign Replacement Project by Dornbos Sign and Safety in the amount of $5,920.00. All ayes carried the motion.
Approve Authorization to Dispose of Servers.
City Manager McConkie requested authorization from the City Council to have Trivalent Group dispose of the two old Computer Servers in City Hall.
Moved by Church, supported by Shrum, to approve authorization for Trivalent Group to dispose of the two old Computer Servers in City Hall subject to certification that the computers have had the City's data removed off the computers. All ayes carried the motion.
Discussion on Request from City Resident.
City Manager McConkie stated that Christine Parsons at 418 E. Hazel Street and Ian Windischhofer at 120 S. Main Street submitted requests to keep chickens at their residences. City Manager McConkie recommended that the City Council deny the requests due to the closeness of neighbors in the City.
Moved by Church, supported by Kelly, to deny the request from Christine Parsons at 418 E. Hazel Street and Ian Windischhofer at 120 S. Main Street to keep chickens at their residences.
Ayes: Church, Kelly, Shrum, Scholtz
Nays: Allen
Motion carried.
Approve Pavement Marking.
City Manager McConkie requested that the City Council approve P.K. Contracting, Inc. for the 2010 Pavement Marking in the amount of $6,165.00.
Moved by Allen, supported by Kelly, to approve P.K. Contracting, Inc. for the 2010 Pavement Marking in the amount of $6,165.00. All ayes carried the motion.
City Manager's Report.
City Manager McConkie thanked the Mayor, City Council and Staff for their support during the time of his family loss.
City Clerk/Treasurer's Report.
City Clerk/Treasurer Roehrs stated that she is the process of collecting 2009 delinquent personal property taxes that have not been paid.
Police Chief's Report.
Police Chief Herblet stated that the police department now has a Chaplin available and the Chaplin will also be a police reserve.
Police Chief Herblet stated that he has been receiving compliments from the drug team on the performance of the City's officer that is part of the team.
City Council Comments.
Council Member Allen wanted to know what time frame of notification was given to the residents regarding the hazardous waste pick up. Council Member Allen stated that she read the notice in the newsletter but by then the pick up was already over.
City Clerk Roehrs stated that she knows a public notice was in the newspaper because a resident out of the city read it and wanted to know if they could drop items off at the receiving center.
Council Member Allen wanted to know how many of the residents used the service.
City Manager McConkie stated that he has not yet received a report from the City of Alma and as soon he receives it he will make it available to the City Council.
Council Member Shrum stated that at the railroad crossing on S. Main Street there is building on the west side of the road on railroad property that looks like it is going to fall down.
DDA Director Hansen stated that he and Enforcement Officer Roslund will look at the building.
Council Member Shrum wanted to know if anything could be done about the motor home by the church.
Police Chief Herblet stated that if no one is living in the motor home it can be stored on the property.
Council Member Kelly stated that the new city pamphlet is excellent.
Council Member Kelly stated that he has a friend that is an undersheriff in Kalkaska and they have a Chaplin. The person stated that having a Chaplin available works very well for the department.
Mayor Scholtz stated that he did attend the Police Officers Week Ceremony at the Baptist Church and it was very nice.
Mayor Scholtz received a request for the City to install a street light in the middle of the 200 block of Pine Street.
Utility Director Giles and DDA Director Hansen will discuss the matter with the resident.
Mayor Scholtz stated that it was an exciting Planning Commission Meeting with Billy's Dumpster wanting to purchase the Michigan Avenue Transfer Station and make it operable again.
Mayor Scholtz stated that he attended the liaison meeting at the prison last week and it was reported that they are going to combine the fencing areas between two of the prisons to save on employee costs.
Mayor Scholtz stated that the house on Green's property is still sitting at the same location as three months ago.
City Manager McConkie stated that he would make contact with Mr. Green to discuss the matter.
Council Member Church wanted to know if there is a dumping facility available at the wastewater treatment plant to dispose of waste from motor homes.
Utility Director Giles answered no; the City has no dumping station.
Mayor Scholtz stated that the DNRE is going to be doing some testing of the river on Wednesday, May 19, 2010.
Mayor Scholtz stated that he received a call Sunday that the dock at Leppien Park was floating down by the dam and the electric department was called to retrieve the dock.
Comments. None
Moved by Shrum, supported by Allen, to approve to adjourn the meeting at 9:17 a.m. All ayes carried the motion.
Nancy L. Roehrs
City Clerk
CITY COUNCIL PROCEEDINGS
St. Louis, Michigan
May 19, 2010
The Special Meeting of the Saint Louis City Council was called to order by Mayor Joe Scholtz, on Tuesday, May 19, 2010, at 8:05 a. m., in the City Hall Council Chambers.
Council Members Present: Mayor Joe Scholtz, Melissa A. Allen, Jerry Church, James C. Kelly,
William E. Shrum
Council Members Absent: None
City Manager: Robert F. McConkie
City Clerk/Treasurer: Nancy L. Roehrs
Others in Attendance:
Kurt Giles Utilities Director
GASB 54 Changes.
City Manager McConkie stated that he gave the City Council information regarding the new GASB 54 changes and wanted them to be aware of the new way the accounting system and financial reporting will be required in the future.
Discussion on 2010/2011 Budget.
General Fund.
City Manager McConkie stated that he had a difficult time putting together the budget for the next year due to the reduction of property taxes and state revenue sharing reduction.
General Fund has a limited amount of revenue resources with property taxes, minor fees, and state revenue sharing, revenue that is transferred in lieu of taxes from the utilities and transfers in for administrative overhead. Total revenue proposed for General Fund Budget is $1,567,230.00 and total expenditures are $1,601,585.00. To balance next year's budget proposing to use about $40,000 out of the fund balance. General Fund does have a substantial fund balance.
The budget does include a 2% increase for non union employees. The union contracts are already approved with wage increases. During the course of next year will be reviewing options on health care to lower the cost of the City's fringe benefits.
City Manager McConkie stated that he is projecting the General Fund will have about $90,000 to add to the City's fund balance. The staff did a good job of decreasing their spending in the various departments.
Cemetery Perpetual Care Fund.
City Manager McConkie stated that the intent of the Cemetery Perpetual Care Fund is to build a reserve to maintain the cemetery if it gets filled up. The money in the Perpetual Care Fund is increasing.
Major Street.
City Manager McConkie stated that in the Major and Local Streets there are no paving projects planned for the next fiscal year and looking just to do maintenance work. If funds are available at the end of the fiscal year will look at possibly doing some street projects at that time.
Fire Department.
City Manager McConkie stated that the fire department budget expenses have not changed much over the last few years but the last three years the City's cost share for the fire department has increased.
Public Improvement Fund.
City Manager McConkie stated that the Public Improvement Fund was set up to have funds available to do capital projects. The utility funds contribute 2.4% of their gross revenue to the Public Improvement Fund for street maintenance as stated in the City Charter.
Downtown Development Fund.
City Manager McConkie stated because more money was spent on rehabilitating the building downtown last year a deficit plan was required to be filed with the State of Michigan to eliminate the deficit. In this year's budget $10,780 was paid to the G.O. Limited Debt Retirement Fund towards the debt service on the parking lot project. As part of the deficit plan when the budget amendments are done in June, the $10,780 will be reversed out of the expenses.
Drug Enforcement Fund.
City Manager McConkie stated that the city does not receive any revenue from the Drug Enforcement Fund and the city does not get reimbursed for any expenses.
Library Fund.
City Manager McConkie stated that Librarian Jessica Little proposed a modification to the library budget last night because she found out that the library will be receiving more penal fines than anticipated. She budgeted $87,000 and will receive $97,000 for next year.
G.O. Limited Tax Bond Debt Retirement Fund.
City Manager McConkie stated that the G.O. Limited Tax Bond Debt Retirement Fund is a fund that pays the debt service for the parking lot project. There is a debt schedule set for the revenue and expenses.
Building Authority Debt Service.
City Manager McConkie stated that the Building Authority Debt Service is for paying the debt service for the library building. The debt service for the library will be paid over in 2016.
Electric Fund.
City Manager McConkie stated that the Electric Fund had a significant increase last year however, because the rate increased customers used less electricity. The revenues projected for the budget this year were $4,485,500 and estimate at year end $4,250,000. There may be a need to have a small increase in the rates to compensate the revenue that was not received.
Council Member Allen wanted to know why $100,000 was allocated for meter reader wages.
City Manager McConkie stated that the $100,000 was not just for meter reader wages and that a portion are the office clerical, the City Clerk/Treasurer and Utility Director wages were included in that amount.
Water & Sewer Fund.
City Manager McConkie stated that the Water/Sewer Fund professional services expenses exceeded the ordinal budget by a significant amount. The amount of $10,000 was the original budget amount but for the estimated year end is $100,000 due to the law suit on the water supply, the cost analysis to buy into Alma's plant and the upgrade needed for the City of Alma to accommodate the St. Louis water demand. The intent is that all the consultant expenses will be recovered from the law suit. There is a potential that the water and sewer rates will be increased to cover all of the water studies. The budget is proposing a 5% increase in water and sewer rates for the next fiscal year.
Utility Director Giles stated that the City needs to continue to look at doing some upgrades to the wastewater treatment plant.
Solid Waste Fund.
City Manager McConkie stated that the Solid Waste Fund has an excellent balance and does not propose to raise any rates in the Solid Waste Fund.
Council Member Kelly left the meeting at 9:45 a.m.
The solid waste contract expires next March and will be going out for bids in December for a new contract.
Motor Pool Fund.
City Manager McConkie stated that the Motor Pool Fund is designed to buy equipment and rent it to the other departments that use it. Unfortunately, over the course of the last several years the City was only collecting 75% of the rent amount allowed by the MDOT. Last year the rental rates were increased to collect 100% of the allowable amount but the fund is not gaining.
Council Member Allen stated that she would like to see a cost comparison to having the mowing contracted out with cost of having city employees do the work.
Other.
City Manager McConkie stated that he is planning to retire in 4 ½ years and in the next 3 to 5 years City Clerk/Treasurer Roehrs is planning to retire and so is Kathy Smith. That would mean three key accounting people leaving the city close to the same time. City Manager McConkie expressed a concern of the turn over in key employees at the same time and it could cause a financial difficulty for the city. City Manager McConkie proposed the idea of Bobbie Marr, a CPA from the firm of Page Olson, be hired for the Position of Controller for the City. The person would basically make around $70,000 a year little more money than City Clerk/Treasurer Roehrs and the person could operate the financial department of the City. City Clerk/Treasurer Roehrs could do the City Clerk and City Treasurer duties such as keep the records of the city, minutes, run elections and she could still oversee the investments of city along with the deposits and property taxes. City Clerk/Treasurer Roehrs would no longer be over the clerical staff or take care of the counter.
City Clerk/Treasurer Roehrs stated that her position has to have contact with the public and according to the City Charter she is the General Accountant of the City. City Clerk/Treasurer Roehrs stated that she is responsible for the collection of property taxes and has to be involved with the daily balancing of the taxes.
Council Member Church wanted to see documentation as to how the City could afford the position of Controller and how the duties would be separated between the City Clerk/Treasurer and the Controller.
The consensus of the City Council was to review the information on the position of Controller before they make a decision on the matter.
Moved by Shrum, supported by Allen, to approve to adjourn the meeting at 10:30 a.m.
Nancy L. Roehrs
City Clerk/Treasurer
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