HomeMy WebLinkAbout2/19/2013 - Regular!I&M f2i 14" 1 ar-41 a Rvi I a *I I ILI Les
MEMBERS PRESENT: Bradley E. Grose, Mayor
William W. Nance, Vice Mayor
1. Douglas Adams, Jr.
Robert R. Altice
Matthew S. Hare
STAFF PRESENT: Christopher S. Lawrence, Town Manager
Susan N. Johnson, Town Clerk
Elizabeth Dillon, Town Attorney
Ryan Spitzer, Assistant to the Town Manager
Gary Woodson, Public Works Director
Joey Hiner, Assistant Public Works Director
Barry Thompson, Finance Director/Treasurer
Ben Cook, Police Chief
Anita McMillan, Planning & Zoning Director
The Mayor called the regular meeting to order at 7:00 Roll Cat,'
p.m. The Town Clerk called the roll with Council Member
Adams, Council Member Altice, Council Member Hare,
Vice Mayor Nance, and Mayor Grose present. After a
Moment of Silence, Mr. Altice led the Pledge of Allegiance
to the U.S. Flag.
Concerning the consent agenda, Mr. Hare asked if at
the top of Page 5 the minutes could reflect that it was a
conscious decision by Council and staff to not use a
collection agency from a customer service standpoint.
Mr. Hare also referenced the question in the minutes
2sking if our share of the cost of the WVWA Project
includes the 3% contingency of the Authority and when we
might expect an answer. The Town Manager responded
that they will get an answer by the end of the week.
Mr. Hare made a motion to approve the consent agenda as Approved minutes of Council's
amended; the motion was seconded by Mr. Adams and regular meeting of February 5,
carried by the following vote, with all members voting: Vote 2013, as amended
5-0; Yeas (5) — Adams, Altice, Hare, Nance, Grose; Nays
(0) - None.
The next item on the agenda was a Proclamation
recognizing Mike Huffer, Chief Mechanic of the Public
Works Department, who has resigned effective February
28, 2013 to relocate in Memphis, Tennessee. Mr, Huffer
could not attend the meeting and after brief comments by
the Mayor, the Proclamation was presented to Gary
Woodson, Public Works Director.
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towing c• PaNj Flab IU
time that present a challenge when our Zoning Ordinance
only provides for them to keep the car for 30 days. There
are some conflicts between our Zoning Ordinance and the
State Code and we need to review both to come up with an
accepted balance. Ms. McMillan indicated our current
Code provides 30 days and the State Code requires an
additional 60 days. Other localities have provided up to
120 days and we may took at 90 days especially when the
business is in a residential area.
The next item on the agenda was to consider adoption
of a Resolution appropriating $686.75 received from Cycle
Systems of Roanoke for scraped metal property from the
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Public Works Department. Gary Woodson, Public Works
Director, explained that these funds are put back into the
building and maintenance fund for the Public Works
building to buy materials for small repairs that can be
handled in-house. Mr. Altice made a motion to adopt the Adopted Resolution No. 2006
Resolution as presented; the motion was seconded by Vice appropriating $686.75 received
Mayor Nance and carried by the following roll call vote, with from Cycle Systems of Roanoke for
all members voting: Vote 5-0; Yeas (5) — Adams, Altice, scraped metal property from the
Hare, Nance, Grose; Nays (0) - None. Public Works Department
The next item on the agenda was to consider adoption
of a Resolution approving the Downtown Revitalization
Management Plan, the Downtown Fagade Grant Program
and the Revolving Loan Program Plan and Administrativt
Program Manual for the $700,000 CDBG Downtown and
Economic Revitalization Grant,
Mr. Spitzer made comments regarding the three
documents. The Project Management Team approved the
documents at their meeting on February 12, 2013. The
Project Management Plan document is the plan that the
team will be following through the duration of the project.
The Fagade Program plan will follow the current Fagade
Program with the exception that any contractor used has to
be on the award list for the project.
The Revolving Loan Program guidelines had some
revisions, Beginning with Page 4 under "Uses", it was
decided that the working capital limit of 30% would be a
guideline. The Team did not want to dissuade someone
from getting a loan if it needed to be 40%. Under "Loan
selection and approval process" it was decided that two
business owners should be added to the loan committee to
give a small business prospective, one from a business
inside the grant area and one outside the grant area.
Mr. Hare asked how the process would work if loan
requests exceed available funds as described on Page 5,
section 3. Mr. Spitzer responded that would only be taken
into account if we received five loan applications at the
same time. Mr. Hare asked about the types of collateral
and who would determine the value and the response was
the loan committee would have that responsibility. Mr.
Hare expressed concern about using working capital and
the response was that it would be used for start-up costs,
not after the business is started. I
Vice Mayor Nance asked the Town Attorney what would
happen if one of the applicants filed bankruptcy and Ms.
Dillon responded that she did not know at this point. There,
was further discussion about ways to protect the Town in
the event of default or bankruptcy. The Town Manager
commented that the Revolving Loan Plan basically sets up
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the structure of the program. The actual working
application to include the details of what needs to be done
to protect both parties will be the responsibility of the loan
committee They will seek legal advice and the Town
Attornek; res*,wnded that she can •_rovide ad •
would put the Town in the best position should a party file
bankruptcy.
Mr. Spitzer commented that under "Loan conditions"
security "shall" be required if determined necessary by the
loan counsel was changed to "may" be required. The team
thought it might be cost prohibitive for some businesses
and other businesses may have enough assets or have
been in business long enough to not require, Comments
were made that the document is not consistent regarding
who we will extend credit to and are we going to make
high-ritsk loans or secured loans.
The Town Manager further commented that the team did
not want to set the standards too high in the outset, but to
have guidelines to take applications and then let the
professionals review them and make specific decisions.
T'ice Mayor Nance asked if there had been any discussion
about loan forgiveness. The Town Manager commented
that other localities have forgiven their loans after they are
two years into the grant, but this is something that the loan
committee will have to discuss.
Mr. Hare asked the definition of operating season and the
response was the difference between a business that is
*pen year round as opposed to one that is opened only
easonal, like a lawnmower business,
Mr. Spitzer referenced Page 6, Section 8 regarding the
borrower submitting financials to the loan review committee
from time to time. The team decided not to put a time
frame on this requirement because they felt the committee
needed some flexibility. Depending on the particular
business, the committee may need to request financials
early on to be able to offer guidance before they might
4.1efault on the loan or file bankruptcy. Comments werem
made that it can be very costly and difficult for some small -
businesses to get financials.
Mr. Hare asked if there are any covenants to recall the note
in the event of non-payment and the response was there
are only two stipulations at this time --if they relocate or if
they go bankrupt. Mr. Hare also asked what recourse we
would have if they refuse to conform to the Town Code or
have other violations and the response was there are none.
The Town Manager indicated that as a condition of the
loan, the application must have an up-to-date business
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license, zoning permit and be Violation free. The Town
Manager reiterated again that this document is just the
framework and that the actual loan contract will spell out all
the specifics and be brought back to Council for their
approval.
Vice Mayor Nance commented that he is fine with this
document if it reflects the broad parameters and the details -
will be brought back to Council and Mr. Hare said he would
both sides.
Vice Mayor Nance commented again about the loan turning
into a gift. The Town Manager stated that today it is a loan
because DHCD has approved a revolving loan fund.
However, they have made it clear that after 24 months they
no longer have government oversight over how the Town
operates that loan pool, It becomes the Town's choice,
That is when that conversation becomes a valid
conversation. Up until then, it is a loan fund. Mr. Adams
commented that the whole idea is to offer help to get a new
business started and if we get some successful businesses
from this, he thinks we should took at that down the road on
an individual basis. The Mayor commented that existing
businesses can also apply for the loan for expansion.
Mr. Adams made a motion to adopt the Resolution to
include the items discussed. Vice Mayor Nance clarified
the motion to adopt the Resolution with the explicit
understanding that as details of the loan program develop,
including the development of the contract, that it be brought
before Council for approval thereof, Mr. Adams agreed
with the amended motion; the motion was seconded by
Vice Mayor Nance and carried by the following roll call
vote, with all members voting: Vote 5-0; Yeas (5) — Adams,
Altice, Hare, Nance, Grose; Nays (0) - None,
The Mayor expressed appreciation for Mike Huffer and
his contributions to the Town.
The next item on the agenda was a report from the
Highway Safety Commission. Mr. Woodson made the
presentation on behalf of the Commission. Three areas
that the Commission looked at were the Virginia/Glade
intersection, the Vinyard Road/Hardy Road intersection
and Preston Road.
At the Virginia/Glade intersection, traffic is still making left
turns even though there are "no left turn" signs. The
proposal is to put some collapsible posts along that
section to prevent left turns. A picture showing three
different types was shown. Collapsible posts will allow
emergency vehicles to make that turn when necessary.
Adopted Resolution No. 20
approving the Downto
Revitalization Management Pla
the Downtown Fagade Gra
Program and the Revolving Lo
Program Plan and Administrati
Program Manual for the $700,0
CDBG Downtown and Econorn
n. Revitalization Grant, as amendedil
on
This will be cost effective and will not affect the storm
water drainage in that area. Comments were made about
the appearance of these posts and Mr. Woodson said
that there are other types available. Mr. Hare asked if we
would notify the residents of that community that we are
making that change and the response was it is not a
requirement, but we can let them know.
Mr. Altice commented that we should block off the area
permanently and Mr. Woodson said that is a possibility,
but more costs would be involved. That could be a
possibility after the temporary posts have been there for a
period of time. Mr. Hare asked about the cost of the
posts and the response was they have not priced them.
A question was asked if there are a lot of accidents at
that area and Chief Cook responded no, but the biggest
issue is to prevent vehicles from getting out into the traffic
trying to make that turn. Further discussion was had
about the appearance of the collapsible posts and the
necessity of putting something temporary up to education
the public about the change before putting up a
permanent barrier, Mr. Woodson commented that we
could purchase temporary posts that could be moved and
used in another area when we decided to make this
permanent. The Town Manager suggested that staff
come up with a proposal and bring back to Council.
The Mayor asked about the hillside where the new AEP
foundation is in Town and the Town Manager commented
that it is on private property. However, staff will review
the issue further.
Mr. Woodson commented on the next location,
Vinyard/Hardy Road. The suggestion was made to
designate and re -mark straight and turn lanes to allow left
turn only at Vinyard Road at Hardy. The Commission is
not recommending any change. One consideration was
to time the signals different but that would present a
traffic problem during peak times. A request is part of
the FY2014 CIP budget to restripe this area.
The third area is South Preston Road regarding the width
of the roadway that narrows in the curves in the area of
Evelyn Street. Public Works has moved the mailboxes
back and plan to do some work on the shoulders in this
area. Some of the recommendations were to put a stop
sign at Fairmont and reducing the speed to 15 mph with a
curve sign. The speed limit sign can be white or a yellow
speed limit sign with the curve sign under it. Mr. Altice
commented that Mr. Andrews of that neighborhood was
pleased with what has been done so far. The Town
Manager commented that Ms. Andrews had suggested
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putting a white center line and the response was that
putting a center line will push people to the shoulder, The
better solution would be to slow traffic down and provide
the opportunity for enforcement in that area.
Vice Mayor Nance asked if the stop sign would make a
difference at Fairmont because most traffic slows down
there anyway and the response was if there is not a stop
sign, people will not come to a complete stop but just roll
through the intersection. The idea is to stop them and
allow them to make the turn, which helps to engage the
signs and reduce speed. From a safety and economic
standpoint, signage is the way to go.
Vice Mayor Nance asked Chief Cook if where there is a
yellow speed limit sign, it is not an enforceable spee4,
limit unless you cause an accident related to that speed.
Chief Cook responded that some signs say "maximum
safe speed" and some think that is a suggestion. He is
not sure about the yellow speed limit sign. Mr. Woodson
commented if you want an enforceable speed limit, use
the white sign. The placement of the signs will be
important as well. Council gave a consensus to proceed
with the recommendation.
The Town Manager asked Mr. Woodson to comment on i
the two large potholes on Mountain View and what our
short term resolution will be. Mr. Woodson responded
that they will continue to put stone down and cement to
try and hold it in place, Other temporary solutions would
be to put down a cold patch or cut out the area, re -
stabilize the base and go back in over a larger patch.
They will continue to monitor the situation. The Mayor
commented that Mountain View should be a topic of
future discussion because it is a heavily traveled road
and in need of a more permanent solution.
Comments from Council Members: Vice Mayor 1
Nance mentioned the two new businesses, Bloop Yogurt
and The Shoe Department. Mr. Adams commented on
the new fencing around the Mountain View Cemetery and
how much it helped with the appearance. The Town
Manager commented that he and Mr. Spitzer had met
with the new owners of the cemetery and they wanted the
community to know that the cemetery open space is still
open for the public and they are also making
improvements to the main stone building on the property
to include the addition of restrooms.
Mr. Adams moved that the regular meeting be'
adjourned, the motion was seconded by Mr. Hare and
carried by the following vote, with all members voting: Vote
Adams, Altice, Hare, Nance, Grose; Nays
(0) — None. The regular meeting was adjourned at 8:42
The Work Session began at 8:55 prn with a general
update on revenues for the FY2013-2014 budget. After
brief comments from the Town Manager, Barry
Thompson, Finance Director/Treasurer, gave a power
point presentation.
Mr. Thompson began by stating that the General Fund
revenues are projected to be at $7,670,049, which is a
3.67% increase over last year, The majority of that
increase is $250,000 from the CDBG grant that we would
expect to receive this fiscal year. Without that, the
projected increase would be 0.30% increase. On the
Utility Fund, projection is to be $3,107,055, which does
not include any bond money or any rate increase that we
mightconsider. This is a 0.21% increase over last year's
revenues.
Mr. Thompson next reviewed the reassessments for next
fiscal year. In year 2012 the assessed values for the
Town were $466,502,000 and for 2013 they were
$456,795,100 which is a decrease of $9,706,900, Only
$357,000 in new construction for 2013 which brings a net
decrease of $10,063,900. When we apply the $0.3 tax
rate per $100 that shows a decrease from 2012 to
$2,912, which is a 2.08% in our assessments.
Discussion was had regarding the decrease in the
personal property taxes for FY2014 and what accounted
for the increase in 2013 over the prior three years.
Mr. Thompson continued his presentation making
comments on other local taxes totaling a projected
amount of $4,108,725. Regarding the cigarette tax, Mr,
Thompson commented that is one area where Council
could consider increasing the tax rate. We are at $0.20
per pack. Roanoke City is at $0.54 and Roanoke County
,toes not have a cigarette tax. Mr. Hare commented thato
2,n increase of $0.20 would give us $300,000 or $OAC��
would give $150,000.
Other categories were permits and fees totaling $11,5
and fines and forfeitures totaling $82,125. The May
asked what accounted for the decrease in 2011 and 201
in Court funds and the response was it was felt th
during that time, the Judges were sentencing individua
to more community service instead of fines,
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In lieu of time, Mr. Hare suggested that Council end the
work session. The Town Manager commented that
Council has been presented a copy of the power point
presentation and the budget worksheet for their further
review.
Mr. Thompson commented that the War Memorial will be
broken out next year in a separate cost center so it can
be monitored easier. He used last year's revenue figure
which will need to be reviewed with Mr. Kipp and the
Finance Committee, He did increase the sales tax for
this budget because we are doing very well, Also, the
HB-599 funds should stay the same as last year and
there has been no indication that the highway
maintenance funds will be different.
APPROVED: Jj
116;d ey Gros ; Ma r
ATTEST:
Susan N. Johnson, TQdnClerlk
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