Regular City Council Meeting
December 15, 2008
The Mt. Vernon City Council held a Regular Session on Monday, December 15, 2008 at 7:00 p.m. in the Community Building at Veterans Park.
Mayor Mary Jane Chesley called the meeting to order and Reverend Bob Meyer of Victory Christian Center gave the invocation.
The Pledge of Allegiance was given.
Roll call showed present: Council Member Mary Burgan, Council Member Mike Walker, Council Member David Wood and Mayor Mary Jane Chesley. Absent: Council Member Shirilyn Holt.
The journal for the December 1, 2008 Regular City Council Meeting was presented for any additions, deletions or corrections. Motion by Council Member Mary Burgan to approve the journal for the December 1, 2008 Regular City Council Meeting as presented. Second by Council Member David Wood. Yeas: Burgan, Walker, Wood and Chesley. Absent: Holt.
The Consolidated Vouchers for Accounts Payable for December 2008 in the amount of $901,691.64 were presented for Council’s consideration. Council Member Mike Walker asked Police Chief Chris Mendenall about the fingerprint interface machine for the department. Chief Mendenall stated that it was to be broken down into three payments, but they did it all in one fee with a computer. This machine sends off two sets of prints and stores one set for future information. Council Member Walker asked about the tough books for the Fire Department. They are a docking station for the computers in the vehicles. Motion by Council Member Mike Walker to approve the Consolidated Vouchers for the Accounts Payable for December 2008 in the amount of $ 901,691.64 as presented. Second by Council Member David Wood. Yeas: Burgan, Walker, Wood and Chesley. Absent: Holt.
City Manager Ron Neibert stated that at the last Council Meeting bids were received for the demolition of the old Mt. Vernon Motel, 800 Main Street. The bids were as follows:
Ken Hails $ 78,884.00
Rollie Excav. $113,680.00
S& S Excav $126,400.00
Big Muddy Excav $109,614.00
Mott Excav $ 94,900.00
Mr. Neibert stated that his and staff’s recommendation is to accept the low bid from Ken Hails in the amount of $ 78,884.00. Council Member Wood asked if these figures are the same as presented at the December 1, 2008 Council Meeting. Mr. Neibert stated that they were. Motion by Council Member David Wood to approve the low bid from Ken Hails for the demolition of the old Mt. Vernon Motel, 800 Main Street in the amount of $ 78,884.00 as presented. Second by Council Member Mary Burgan. Yeas: Burgan, Walker, Wood and Chesley. Absent: Holt.
Corporation Counsel Bill Howard presented for Council’s consideration First Reading of an Ordinance Approving a Tax Increment Redevelopment Agreement with Triple L Holdings, LLC. Council Member Mike Walker asked if this is the best use of TIF funds, paying interest for the developer. City Manager Ron Neibert stated that the revenue is from the TIF funds. Mr. Neibert stated that there is a clause in the agreement that protects the City on this issue. Mr. Neibert explained the up front funding for a TIF project. Council Member David Wood stated that the LLL Project is already finished so there is no particular risk. We know what the increment will be and it is more than adequate. Mayor Chesley stated that the TIF is a wonderful way to bring in businesses and jobs to the community. The City has been looking at this project for 6 months or so and she is very happy to see them get off the ground. The TIF is another tool to inspire economic growth in the City. City Manager Ron Neibert stated that the ITEP Grant was originally to be $250,000.00. The City applied for a $1 million and received $500,000.00. Mr. Neibert stated that as the District matures it would get better. Mayor Mary Jane Chesley asked that this be a First Read only.
Corporation Counsel Bill Howard presented for Council’s consideration First Reading of an Ordinance Approving A Tax Increment Redevelopment Agreement
with Campland, LLC. City Manager Ron Neibert stated that this is a different kind of an Agreement. There is no up front money. Council Member David Wood stated that this is a 90% for five years, then back to 80%. A 23-year, or the life of the TIF or $150,000.00. This is a Restaurant with Lounge business. City Manager Ron Neibert stated that this would not happen if not for the TIF assistance. The TIF will provide a reasonable return and job creation. Council Member David Wood asked who represents the City on TIF’s other than the Council. Mr. Neibert stated that there is the TIF Committee and the City Manager is an Ex-Officio Member of that committee. Mayor Mary Jane Chesley asked that this Ordinance be held on First Reading only.
Corporation Counsel Bill Howard presented for Council’s consideration a Resolution Amending the Revolving Loan Fund Agreement with High Range Designs, LLC. City Manager Ron Neibert stated that this is an extension of Authority to close a loan. This allows a hold of 9 months then extends the authority. This is a Revolving Loan and has been approved with no changes. Council Member Mike Walker asked what if they don’t go thorough with the loan. What is our recourse. Mr. Neibert stated that then the City would be out no money. Motion by Council Member David Wood to Approve the Resolution Amending a Revolving Loan Fund Agreement with High Range Designs, LLC. Second by Council Member Mike Walker. Yeas: Walker, Wood and Chesley. Abstain: Burgan. Absent: Holt.
Corporation Counsel Bill Howard presented for Council’s consideration a Resolution Amending a Revolving Loan Fund Agreement with John Paul Braswell. City Manager Ron Neibert stated that this is due to the economy and the company that is leasing this property has not been able to employ as many employees as was required by the Revolving Loan rules. Mr. Braswell has asked for an extension for the plumbing company for 18 months from now, to be able to hire the additional employees. The Revolving Loan Committee has approved this request, so now it comes to Council. Council Member Mike Walker stated that when Braswell leased to the other company he and they all had to have agreed to the requirements. The company has created 6 jobs and is required to have 15 jobs. Motion by Council Member David Wood to approve this Resolution Amending the Revolving Loan Fund Agreement with John Paul Braswell as presented. Second by Council Member Mike Walker. Yeas: Burgan, Walker, Wood and Chesley. Absent: Holt.
Corporation Counsel Bill Howard presented for Council’s consideration a Resolution Approving an Administration Agreement with HCH. City Manager Ron Neibert stated that this is an agreement for a three-year term for the third party administration for our City Health Self-insurance. Mr. Neibert stated that this has been a good thing for the City. We have saved about $400,000.00 over the year under the self-insurance plan. The rate will not increase for next year,
then there will be a 41/2% raise the next year, 2.3% the next year and 2.5% the third year. We have 120 days to cancel at any time. Motion by Council Member
Mary Burgan to approve the Resolution Approving the Administrative Agreement with HCH for the City’s Insurance. Second by Council Member Mike Walker. Yeas: Burgan, Walker, Wood and Chesley. Absent: Holt.
Mayor Mary Jane Chesley stated that she wanted to wish everyone a Merry Christmas and Happy New Year. She reminded everyone to come out and see the Christmas In The Park on December 19 and 20. This year’s theme is A Celebration of Lights” and is presented by the ministerial alliance. There are many churches involved in this project and it is a wonderful sight to see.
Council Member Mike Walker stated that he also wanted to wish everyone a joyous holiday season.
Council Member Mary Burgan stated that she would like to explain her reason to abstain on the vote this evening. The company that was being voted on may possibly be renting warehouse space from her company, so felt it may be a conflict of interest. She stated also that she would be abstaining from voting on the TIF Ordinances because of some property she owns in the area.
Council Member Mike Walker stated that the local food pantries are all in need of more food for the needy and the food baskets. So if you are planning on donating this season, please consider giving to a local food pantry. Council Member David Wood stated that there are a few angels left on the tree at the mall that need to be picked up and donated to.
ADJOURNMENT
Motion by Council Member Mary Burgan to adjourn this regular City Council Meeting. Second by Council Member David Wood. Yeas: Burgan, Walker, Wood and Chesley. Absent: Holt.