Loading...
HomeMy WebLinkAbout6/4/2013 - RegularMEMBERS 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 Barry Thompson, Finance Director/Treasurer Anita McMillan, Planning & Zoning Director Karla Turman, Assoc. Planner/Code Enforcement Ofcr. Joey Hiner, Assistant Public Works Director Brandon Gann, Summer Intern The Mayor called the work session to order at 6:00 p.m. The first item related to a briefing on a petition of Karen Sloan for a Special Use Permit (SUP) to operate a hair salon at 1031 Almond Drive, Tax Map Number 61.17- #3-34, zoned R-1 Residential District. Karla Turman, Associate Planner/Code Enforcement Officer commented that Ms. Sloan has applied for a Special Use Permit to be allowed to operate a hair salon from her residence. There will be only one salon station and she would have no more than two customers at a time, There is ample parking for the business. She will have to go through the building permit process to install plumbing for the business, The Planning Commission will have their Public Hearing on June 13 th and Council will hold their Public Hearing on June 18'h. In response to a question about notifying the adjacent property owners, Ms. Turman commented that the Planning Department notified those parties last week and has received no comments. Based on the proposals received, we currently have ban bids that are locked in to June 27 Ih or we can take ou chances with VRA and go the market with them in lat July or early August. We did not get a 30-year rate fro 2, bank, but we did get some attractive 20-year rates. Mr. Rogers commented that Davenport is no recommending refunding the 2006 bond issues due to th high amount of negative arbitrage compared to th ,-.,,mount of net present value savings. The 2004 bon issues will have some savings. For the refinancing of the Series 2004 bonds, Carter Bank had the best rate of 2.05% with no closing costs. BB&T offered a lower rate but had $3,500 in closing costs. This will result in 7% savings on the 2004 VML/VaCO Bond and 6% on the 2004 VRA Bond. Bids were also received i from SunTrust. Vice Mayor Nance asked about the difference of the 2.85% bid from Capital One and the 2.24% bid from SunTrust. The response was that SunTrust was not willing to lock the rate for the full 20-year term, only for 10 years. After additional comments, Council gave a consensus to proceed with Capital One and Carter Bank for the new money and the refinancing, The next item was a review of final changes to the proposed FY2013-2014 budget, The Town Manager commented that at the May 21s' Public Hearing, Vice Mayor Nance and Mr. Hare requested information on how the budget could be balanced without the increase in the cigarette tax. The Finance Committee met on May 291h and reviewed what the potential surplus will be at the end of this fiscal year. The goals that can be accomplished are a cost of I living increase of 1.5% for employees, fully funding the 3 rd Street satellite dumpster location and additional funding for computer replacements of $10,000. The computer replacements are necessary due to the fact that we have approximately 27 computers that are not upgradeable. All departments have some funding for computer i replacements, but we still need funding for 15. Consensus of Council to proceed with Capital One for the General Obligation Bonds and with Carter Bank for the refinancing of the 2004 bondissues K The forecasted amount of the year end surplus i $125,000 in salaries, $10,000 in planning, $5,000 in sno hi removal overtime and $5,000 in Fire/EMS overtimeTwit totals $145,000. With an adjustment for revenues, �5xpect the surplus to be approximately $125,000. The CIP list was reprioritized to eliminate the fire house painting, fire house flooring, the crew hall painting and the purchase of the Cityworks Asset Management software, for a total reduction of $56,800. With the anticipated year end surplus of $125,000, we could fund these projects. However, staff recommends that we fund only the core projects and then in the early part of 2014 review the budget and see where we are at that point, The Town Manager then expressed his concern that the CIP is a five-year plan and there are no forecasted revenues to accomplish years two through five without a new revenue source. Whether that is the cigarette tax increase or something else that is more supported in the future or service cuts to free up some additional money to pay for the capital items. Mr. Altice asked what was meant by service cuts and the response was we will have to make some decisions to free up money to invest in capital projects. Mr. Altice commented that we need to keep the services we have. ?F �rt* Will "I I NO . i AN a budget that the Committee asked staff to come up with. The Town Manager then commented that the $35,000 for the Greenway is in the General Fund with a payment from the reserve account of the AEP money. The $100,000 for the proposed generator is in the Utility Fund as a draw down from fund *alance. Vice Mayor Nance then summarized the new alternative budget. The CIP was approximately $210,000 when you add in the computer replacements, If we use $100,000 Of savings from this year's surplus, the removal of the contingency fund and making that the 1.5% raise saves approximately $35,000 and the use of the reserve funds for the Greenway of $35,000. That totals $170,000 and looking at the present budget, there would be approximately $40,000 of the CIP not covered. That is with us hitting our targets but also with 100% employment that entire year. If we have the same flexibility that we had this year, we could take those savings and immediately start to address those other priorities on the CIP. The CIP r.MKO11 I I 4111RIA E As Al P&Oilz I ar-A I mmay laylli a r.] r-ATImm! 1r, LTMI a O'm I 111%X01 Jim] 0 Mr. Thompson commented that the alternative budget W#Uli 21S* iAGIL14P, re-v,!�tr*Arig.14A fr,,t.PA t,*P. fund balance of $37,800. The Mayor commented that his biggest concern about the alternative proposal is that it gets us through FY2014, but the original budget proposal puts us on the right path for several years. He feels that if we do not raise the taxes this year, it may be several years before it is considered again. I WERIE M #"ME TME.-IMI MK&%#,L#j I a I NO V,&oj R. Vice Mayor Nance further commented that each year we' could justify a tax increase to cover items on our CIP list. The bottom line is are we going to adjust revenues to the size of our government or adjust the size of the government to the revenues. He would prefer the lafter. The Mayor commented that he thinks it should be adjusted based on the needs of the community. The meeting was recessed for a five-minute break at 6:55 p.m. The Mayor called the regular meeting to order at 7:00 Roll C 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. Mr. Adams made a motion that the consent agenda be approved as presented; the motion was seconded by Mr. Hare and carried by the following vote, with all members voting: Vote 5-0; Yeas (5) — Adams, Altice, Hare, Nance, Grose; Nays (0) - None. The next three items on the agenda were to consider adoption of three ordinances relating to the FY2014 budget. The Town Manager commented that the operational part of the proposed budget provides quality, well -delivered services to the Town. The struggle of the budget is with the capital side and how do we have the necessary funds to replacement equipment, invest and maintain our buildings and our infrastructure and other projects related to the Greenways and our portion of the Walnut Avenue bridge replacement. We currently have a five-year Capital Improvement Plan that prioritizes projects, The proposed budget includes an 8.7% increase in the water and wastewater rates to pay Approved minutes of the May 7, 2013 and May 21, 2013 Council meetings 0 for $2 million of capital projects and a cigarette tax increase of $0.15 is also proposed. The total budget is $11,335,247. There is a recommended budget and an AW 411 Al 1"i'l �Wiwifimi "--' ;W-i W-- isir6 The Town Manager then commented that we had the Public Hearings on the rate and tax increases at our May 21, 2013 meeting and received no public comments. He has spoken with several business owners regarding the cigarette tax increase and indicated to them that they could attend the Council meeting and voice their concerns. The Mayor opened the floor for any comments regarding the water and wastewater rate increases and the cigarette tax increase. The following individuals made comments in opposition to the cigarette tax increase: Susan Hayth, 1816 Clay Street, SE, Roanoke; D. B. Patadia, 2835 Matthew Drive, Vinton; Jay Patel of 216 Minnie Bell Lane, Vinton; Shita Patel, 1325 East Washington Avenue, Vinton; Lisa Chambers, 218 Washington Avenue, Vinton; Teju Patadia, 2835 Matthew Drive, Vinton; and Ken Ingram of 5844 Saddleridge Road, SW, Roanoke. Mr. Patel also provided a 12-page petition signed by patrons indicating they were residents of Vinton and oppose the raising of the cigarette tax, Mr. Hare commented that as he had stated over the past several months, he is not in favor of raising the cigarette tax. He feels this is a tax that singles out one group of people and he is concerned about what kind of impact it will have on our local economy. An alternative budget has been presented without the cigarette tax increase 2.nd he feels this is the better way. Mr. Hare then gave an analogy comparing his home to the CIP for the town. He has a list of items that need repairing and he has to figure out how to do it with the money he has, When he wants to accomplish something on the list, he saves for it. We have shown in the last two years that we have the ability to realize savings in various areas of the budget and that the budget is just our best estimate of where we think we will be in a year. With the due gence of our staff who continues to underspend the funds we give them, we have shown time and time again we can work with what aww�� Vice 1Tiayor fl�ance-corP,,mente-d-thaA-h"upmortedAh,.� 011- AN VW--- wil R being a life preserver for the last few years. This year, he does not feel like we need the increase. Mr. Nance again reviewed the proposed alternative budget and commented that it will make the CIP list shorter withoul having the impact on the businesses and the citizens. He is supporting the water and wastewater rate increase because we have pipes in the ground that are 80 years old Mr. Nance commented that there are d,- .pp #» He reiterated that you can fit your revenue to the size of your government or you can fit your government to the size of your revenue. He feels that the government's size should be dictated by how much money we bring Mr. Nance further commented that every member of Council wants what is best for this town. However, if there are members of Council who agree with this tax increase proposal in this budget, they are not being unreasonable. They feel that it is necessary and their priorities are slightly different than mine. He is in ,?..greement with 99.5% of the budget and it if passes as *,roposed he will support it. fflir. Altice commented on the savings in salaries and the elimination of part-time help a few years ago. We worked to get the level of services up to a certain standard and he would not want to see us have to cut anything out. The only way he can assure that we do not cut anything is to increase the cigarette tax. That is why he supports Mr. Adams commented that he has listened to both sides. Our staff has cut everything they can, but have been able to balance the budget and keep the level of services we expect. I want to make sure that we have the funds to provide these same services in the future. Like Mr. Altice, he does not want to see anything cut. He has to support the cigarette tax increase to make sure this town has the funds to do what it needs to do. budget that does include the 8.7% increase in the water 9.nd wastewater fees as well as the cigarette tax. As far as the water and wastewater fees, we have infrastructure in the ground that is old and we have to do something about In Virginia there are only a few sources of revenue that we have to support the entire town and the cigarette tax is one of them. When we look at our budget it is a very reasonable budget. If we do not have the proper 1#9 equipment and the revenue to maintain our town it becomes a very unattractive and unsafe place and the citizens are really going to suffer, suffer more than this tax. The cigarette tax puts on the right track for a revenue stream for several years whereas some of the other savings that have been mentioned are very legitimate, but they are more or less a • time savings. He has operated a small business for 37 years and appreciates how hard it is, but he also understands that the revenues have to be there to have our government - function as it should. Vice Mayor Nance commented that the alternative budget being suggested would not mean a cut in services to any individual in this town if we were to forego a tax increase this year. W a W ---------- - N The next item on the agenda was to consider adoption of a Resolution authorizing the Town Manager to execute an extension of services to our existing agreement for Business District Revitalization Planning Project (dated January 15, 2010) with Hill Studio to provide additional services for implementation of the Downtown Physical Improvement Plan through the awarded Community Development Block Grant, Ryan Spitzer commented that this item is to secure the services of Hill Studio to be the primary architect and planner for the Downtown Grant project, They will contract with Gay & Neel to do the engineering work. The cost for the services of both will still fall within the budget that has been approved for the Grant. Mr. Spitzer further commented that this is an extension of services because the original RFP in 2010 included a provision to contract with Hill Studio to do the primary work on the project instead of having to bid it out again. Mr. Adams made a motion that the Resolution be approved as presented; the motion was seconded by Mr. Altice 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 commented on the Luau held at the pool for our Vinton Volunteers and expressed thanks to the staff who was involved. He welcomed Mr. Altice back. The Mayor also reminded everyone of the June I I th and 25'h Roanoke County Board of Supervisors meetings ?pproving the CIP to include the new Vinton branch library. Mr. Hare gave a brief overview of the Financial Report for April 2013. The Finance Committee reviewed the April financials and a preliminary draft of the May report. The information provided during the work session showed an end of year forecast where some savings might be. Vice Mayor Nance commented that the Committee felt very comfortable that the trend that we have seen before will continue and we will have at least $100,000 in surplus, year is not from part-time employees, it is from the Police Department. Mr. Altice indicated he was referring to the part-time employees that have been eliminated in prior I Wudgets. I NUNN W1 11, 1 RIV�22 - Adopted Resolution No. 202# authorizing the Town Manager to execute an extension of services to fe-d W*10 1 01 A W 0 W W11 , ne, services for implementation of the Downtown Physical Improvement Plan through the awarded Community Development Block Grant. aV I �'_ I �-*, � The Town Manager commented that in the future we will attach the summary sheet of the financial report to the ,?genda and put the entire financial reports on the website. Mr. Thompson commented that at the end of May with the collection of taxes he was able to transfer $700,000 to our money market account. Mr. Hare made a motion to accept the April 2013 financial report as presented; the motion was seconded by Vice Mayor Nance and carried by the following vote, with all members voting: Vote 5-0; Adams, Altice, Hare, Nance, Grose; Nays (0) - None. Comments from Council: Mr. Hare commented about the professional way that Council handled the entire budget process. Vice Mayor Nance commented that it was good to have Mr. Altice back. Mr. Adams commented on the good job that Public Works is doing maintaining the weeds in the Midway and downtown areas of town. He also asked about the time frame for the new bridge at Walnut Avenue and the response was they should begin the work in late Summer or early Fall. Mr. Adams also commented on the Luau. Vice Mayor Nance made a motion that Council go into a Closed Meeting pursuant to § 2.2-3711 A of the 1950 Code of Virginia, as amended, for discussion i" regarding appointments to boards and commissions as authorized by subsection 1; the motion was seconded by Mr. Adams and carried by the following vote, with all members voting: Vote 5-0; Yeas (5) — Adams, Altice, Hare, Nance, Grose; Nays (0) — None. Council went into Closed Meeting at 842 p.m. At 8.58 p.m., the regular meeting reconvened and the Certification that the Closed Meeting was held in accordance with State Code requirements was approved on motion by Vice Mayor Nance, seconded by Mr. Altice and carried by the following vote, with all members voting: Vote 5-0; Yeas (5) — Adams, Altice, Hare, Nance, Grose; Nays (0) — None. Vice Mayor Nance made the following nominations: Christopher S. Lawrence be re -appointed to the Roanoke Valley-Alleghany Regional Commissionli Executive Committee for a new three-year term expiring on June 30, 2016; Matthew S. Hare be re -appointed to the Roanoke Valley Greenway Commission for a new three-year term expiring on June 30, 2016; and Arthur La Roche, III be re -appointed to the Roanoke Valley Greenway Commission for a new three-year term Accepted the April 2013 financial report 011111111111 all K' 111 1!1 9 expiring on June 30, 2016. Mr. Hare made a motion tu accept the nominations; the motion was seconded b Vice Mayor Nance and carried by the following vote, witi 2,11 members voting: Vote 5-0; Yeas (5) — Adams, Altice Hare, Nance, Grose; Nays (0) — None. I ATTEST jv. 1 Susan N. Johnson, ow Clerkl Re -appointment of Christopher S. Lawrence to the Roanoke Valley- Afleghany Regional Commission Executive Committee for a new three-year term expiring on June 30, 2016; Matthew S. Hare to the Roanoke Valley Greenway Commission for a new three-year term expiring on June 30, 2016 and Arthur La Roche, III to the Roanoke Valley Greenway Commission for a new three-year term expiring on June 30, 2016. APPROVED: Bradley E. i:wse, May6r/ M, 10 t1101 EN I ZEN n Un In I MIA2191 "011 am I mini: I IM Un"IM11111" WHEREAS, the Town Council of the Town of Vinton, Virginia has convened a closed meeting on this date, pursuant to an affirmative recorded vote and in accordance with the provisions of the Virginia Freedom of Information Act; and, WHEREAS, Section 2.2-3712 of the Code of Virginia requires a certification by the Vinton Town Council that such closed meeting was conducted in conformity with Virginia Law. NOW, THEREFORE, BE IT RE SOLVED that the Vinton Town Council hereby certifies that to the best of each member's knowledge: I Only public business matters lawfully exempted from opening meeting requirements by Virginia law were discussed in the closed meeting to which this certification applies; and 2. Only such public business matters as were identified in the motion convening the closed meeting were heard, discussed or considered by the Town Council. Motion made by Vice Mayor Nance and seconded by Council Member Altice, with all in favor, 1 IIVQW,, Clerk of Council 61