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HomeMy WebLinkAboutAgenda - City Council - 01/03/2012 s„e southburlington VERMONT AGENDA SOUTH BURLINGTON CITY COUNCIL Chamberlin School 262 White Street SOUTH BURLINGTON, VERMONT Executive Session 6:30pm Tuesday, Jan. 3, 2012 Consider entering executive session to discuss personnel,contract negotiations and litigation. Regular Session 7:00 P.M. Tuesday, Jan. 3, 2012 1. Agenda Review: Additions, deletions or changes in order of agenda items. 2. Comments and questions from the public(not related to the agenda). 3. Announcements and City Manager's Report. 4. ***Consider approval of Ambulance Billing Agreement with Grand Isle(Doug Brent, Fire Chief). 5. Discuss the qualities and experience the City of South Burlington desires in the next President of the University of Vermont(Sandy Dooley, Council Chair). 6. ***Discuss Proposed City Charter Amendment and Consider Ratification of notice of Public Hearing on Proposed City Charter Amendment(Donna Kinville). 7. ***Consider approval of a Resolution to Authorize Long-Term Disability Benefits for Eligible Management and Non-Represented Employees(Sandy Miller, City Manager). 8. Consider the establishment of a Retirement Health Savings Account(RHSA) program for buyouts of excess sick leave accrual for"capped"employees and payouts of sick leave accrual as may be negotiated in collective bargaining agreements(Sandy Miller, City Manager). 9. ***Consider giving approval of the City Manager to execute a Resolution and Agreement with ICMA-RC to open a 401A Governmental Money Purchase Plan(Sandy Miller, City Manager). 10. ***Consider approval of a revised Resolution Establishing a Policy for the Issuance of Payments and Providing an Orderly Method for Making Payments in Special Circumstances(Bob Rusten, Deputy City Manager). 11. ***Consider approval of Vermont Municipal Bond Bank Series 2011-6 Refunding Bonds 2003-2 (Bob Rusten, Deputy City Manager). 12. Other Business. 13. ***Review and approve minutes from regular meeting held on Dec. 19, 2011. 14. Sign disbursement orders. 15. Consider entering executive session to discuss personnel, contract negotiations and litigation. 16. Adjourn. Respectfully /Submitted: Sanford I. Miller, City Manager ***Attachments Included South Burlington City Council Meeting Participation Guidelines The City Council Chair is presenting these guidelines for public participation and attendance at City Council meetings in an effort to insure that everyone has a chance to be heard and meetings function as smoothly as possible. 1. Please raise your hand to be recognized to speak. The Chair will make every effort to recognize the public in the order in which hands are raised. 2. Once recognized by the Chair, please identify yourself to Council. 3. If the Council has suggested time limits, please respect them. Time limits will be used when they can aid in making sure everyone is heard and sufficient time is available for Council to conduct business items. 4. In order for City Councilors and other members of the audience to hear speakers' remarks,side conversations between audience members should be kept to an absolute minimum. The hallway outside the Community Room is available should people wish to chat more fully. 5. Please address the Chair. Please do not address other audience members or staff or presenters and please do not interrupt others when they are speaking. 6. Make every effort not to repeat the points made by others. 7. The Chair will make reasonable efforts to allow everyone who is interested in participating to speak once before speakers address the Council for a second time. 8. Council desires to be as open and informal as possible within the construct that the Council meeting is an opportunity for Councilors to discuss,debate and decide upon policy matters. Council meetings are not"town meetings". To this end,after the public has had the opportunity to make comments,the Chair may ask that discussion be among Councilors. To: Douglas Brent From: Brian Welsh Date: December 12, 2011 Re: Billing Agreement Chief Brent Doug- I have met with Grand Isle town Selectboard and North Hero Selectboard separately, and explained Grand Isle Rescue's reasons for our plans to begin billing for emergency transport via ambulance, and to enter a contract with South Burlington Fire Department to become our billing agency. Members of both Selectboards expressed satisfaction with our plans, with no negative opinions voiced. I'll call you by tomorrow to set up a date for meeting re training on administrative processes. Brian Brian Welsh, President, Grand Isle Rescue, Inc. AMBULANCE SERVICE BILLING AGREEMENT This agreement is made and entered into and to become effective as of , by and between the City of South Burlington, a Vermont municipality with offices at 575 Dorset Street, South Burlington, Vermont ("South Burlington") and Grand Isle Rescue, Inc. a non-profit corporation operating a rescue squad serving the towns of Grand Isle and North Hero, Vermont. WITNESSETH WHEREAS Grand Isle Rescue, Inc. ("GIR") supplies ambulance service to the residents and visitors to the towns of Grand Isle, Vermont and North Hero, Vermont and others as necessary; and WHEREAS, GIR desires to be reimbursed to the extent legally permissible by the individuals utilizing the GIR ambulance service; and WHEREAS, South Burlington, acting by and through its fire department ("SBFD"), has experience billing for ambulance services and is willing to provide such service to GIR for a fee; NOW, THEREFORE, in consideration of the foregoing assertions, and the covenants and agreements contained herein, the parties agree as follows: Article 1 - SERVICES TO BE PROVIDED BY SBFD (a) SBFD shall provide those ambulance billing services which are described in Attachment A, which is attached hereto and is a part of this agreement. (b) SBFD shall serve as the GIR representative for the purpose of obtaining the necessary agency authorizations, provide numbers, and insurance company contracts required for reimbursement of services rendered. (c) SBFD shall maintain its records beginning on the day the first invoice/statement for services rendered is mailed or transmitted. Periodically, the paid or inactive records shall be delivered to GIR. The records shall include the following information: (i) To whom the invoice/statement was mailed or transmitted. (ii) The address where the invoice/statement was mailed or transmitted. (iii) The date(s) of invoice(s)/statement(s) of medical services rendered, and the successive invoice(s)/statement(s) of medical services rendered, if any, were mailed or transmitted, and (iv) Copies of all correspondence relative to any invoice(s)/statement(s) of medical services rendered. 1 (d) SBFD will provide a financial report to GIR during the first week of each calendar month. This report shall detail how many accounts were billed and collected and the individual and total amounts. A fiscal year end report shall also be provided. Article 2 - INFORMATION TO BE PROVIDED BY GIR TO SBFD (a) As able or once per week, GIR shall deliver all verified billing information concerning ambulance responses to SBFD. (b) Billing documentation shall include any and all documents containing a general description of any tangible or intangible treatment, any transportation provided to an individual or individuals who received or utilized the services provided by GIR. Additionally, the invoice/statement of medical services rendered shall contain costs of such services, and directions to the recipient of the invoice/statement of medical services rendered where to submit or mail payment by check, credit card, or other form of payment. (c) Once per month, GIR will submit to SBFD copies of all service fee checks and reimbursement information received by GIR. SBFD will then invoice GIR for the amount due and GIR will pay SBFD for the services on the invoice within thirty(30) days of the date of the invoice. Article 3 - PAYMENTS All payments shall be made to GIR, payable as follows: Grand Isle Rescue, Inc. PO Box 79 Grand Isle, Vermont 05458 GIR shall deposit payments into a bank account maintained by it and under its sole custody. SBFD shall have no rights in this bank account. Article 4 - AVAILABILITY OF RECORDS Subject to the confidentiality requirements set forth below, all records produced by SBFD pursuant to this agreement shall be open and available to GIR for inspection at any time during the normal and ordinary hours of business of SBFD. Article 5 - PROTECTED HEALTH INFORMATION (a) GIR and South Burlington acknowledge that they are "covered entities" subject to the requirements of the Health Insurance Portability and Accountability Act of 1996 ("HIPAA") , as administered by the U.S. Department oh Health and Human Services under the so-called Privacy Rule, based on their provision of ambulance services. Further, they recognize that performance of their respective duties under this agreement involves the processing and exchanging of "Protected Health Information" ("PHI") that is subject to specific protections under the HIPAA Privacy Rule. 2 b) GIR and South Burlington represent to each other that they have each provided necessary training concerning the requirements of the HIPAA Privacy Rule and other federal and state laws that pertain PHI to those persons who will handle or have access to such information and will continue to provide such training, as appropriate, during the term of this Agreement.. (c) GIR and South Burlington represent to each other that they each have in place and will maintain during the term of this agreement facilities that are reasonably designed to protect PHI from unauthorized disclosure during processing, transmission or storage. Article 6 - LIMITATION OF LIABILITY (a) GIR and South Burlington shall each indemnify and hold the other harmless from any and all claims, damages, losses, and expenses (including reasonable attorney's fees) arising out of an unauthorized disclosure of PHI or by the negligent or intentional conduct of their respective employees in performance of this agreement. (b) Nothing set forth in this agreement shall affect the civil liability limiyation as set forth in 24 VSA Chapter 71, section 2687, nor shall this agreement negatively affect any other defenses including but not limited to municipal immunity which may be applicable to a third party claim. Article 7 - TERMINATION This agreement may be terminated by either party at any time by giving written notice of one hundred and eighty days (180) days to the other party. Upon termination of this agreement by either party, all patient records will be delivered to GIR. Article 8 - TERM OF AGREEMENT This agreement shall continue from the date of execution until terminated as provided herein and will be reviewed on an annual basis. Article 9 - CHANGES TO AGREEMENT No amendment, alteration, or variation of the terms or provisions of this agreement shall bind the parties hereto unless made and executed in writing by both parties. IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed by their duly authorized representatives as of the date first stated above. City of South Burlington Grand Isle Rescue, Inc. By: By: Date: Date: 3 ATTACHMENT A The South Burlington Fire Department will mail or electronically transmit an Invoice/Statement of Service (bill) to the insurance carrier of a patient within one (1) week of the receipt of the necessary information from the Grand Isle Rescue Squad. In the absence of insurance information or signatures, the Invoice/Statement will be sent directly to the patient. Attempts to contact the patient to obtain necessary information will be made prior to mailing. Invoices/Statement (s) of Service will be submitted at the following intervals; initial notice, 30 days, 60 days, and 90 days. At 120 days following the first submittal of the Invoice/Statement of Service the account will be considered as uncollectable and the account will be closed and so reported to GIR. No independent action will be taken by SBFD regarding any closed account, and no reports of such accounts will be given to any person, organization, or entity other than GIR, the patient, or the patient's insurance carrier of record. GIR retains the right to have any account closed on a case by case basis. No accounts will be forwarded to collections by SBFD. GIR will review and forward to collections independent of this agreement. Fee The fee payable to SBFD for the term of this agreement is 6% of collected revenue. Example: - Each month GIR will submit to SBFD copies of all service fee checks and reimbursement information received by GIR. - SBFD will review and enter all reimbursement information. - SBFD will then invoice GIR for its fee based on the collected revenue. - GIR will then pay the SBFD invoice. - Annually, GIR shall furnish SBFD with a certified notice of fees to be charged. - All letterhead, billheads, envelopes, and window envelopes shall be provided to SBFD by GIR. 4 Date: December 29, 2011 To: South Burlington Charter Committee From: Donna Kinville, City Clerk and Treasurer Re: Charter Change request I, as City Clerk, have been attempting over the years to get the city charter to recognize the City Clerk with its own section and to have the charter address the security of the citizen's records contained in the clerk's office and to clarify the city clerk's authority over his/her employees and office. These two issues are something that I have been attempting to get addressed by working with the city manager(s) for the past 8 years and I am now ready to move forward this request to change the charter. The City Charter currently references the City Clerk 7 times in regards to filing of ordinances, giving & filing of oaths, filing of letter naming person in charge in city managers absence and finally in the taxation section the filing of a special meeting warning. There are no additional sections of the Charter which relate to the City Clerk. Thereby I believe that VT State Law under Title 24 Chapter 35 applies to the South Burlington City Clerk. Section 1170* deals directly with the appointment of the clerk's assistant(s), 1162** states a liability to the Clerk if errors are made by the assistants and 1165*** says the clerk controls access to the records. I am attempting to get clarity into the Charter to provide guidance to the City Clerk, the City Manager and the City Council. To begin the conversation I am proposing the following language be placed on the March 6, 2012 ballot: Section 13-2005. City Clerk. The City Clerk shall have all of the powers and duties established by general state law, including the power to appoint, supervise, and remove all assistant town clerks. Thank you for your time in considering my request and I look forward to the conversation surrounding this proposed charter change. *§ 1170.Assistant clerk After his election, a town clerk shall forthwith appoint one or more assistant clerks, for whose official acts he shall be responsible,who shall hold office during his term of office,or until such appointment is revoked by him. Such appointments and revocation shall be recorded in the office of the town clerk. **§ 1162.Indices; liability of clerk and town A town clerk who neglects to keep in his office the indices required by law to be kept by him shall be fined$20.00 for each six months'neglect. ***§ 1165.Files and records available;when The files and records in the office of the clerk shall be available for inspection upon proper request at all reasonable hours. NOTICE OF PUBLIC HEARINGS ON PROPOSED CITY CHARTER AMENDMENTS CITY OF SOUTH BURLINGTON The Council of the City of South Burlington hereby gives notice that public hearings will be held on January 30 and February 6, 2012, both hearings to begin at 7:00pm or shortly thereafter and to be held at the South Burlington City Hall at 575 Dorset Street to consider proposed amendment to the charter for the City of South Burlington, which provides, in substance, as follows: PROPOSED CITY CHARTER AMENDMENT Section 13-2005 is added to read: Section 13-2005. City Clerk. The City Clerk shall have all of the powers and duties established by general state law, including the power to appoint, supervise and remove all assistant town clerks. The complete text of these amendments is available for review on the City's Web Site, www.sburl.com, and at the City Offices at 575 Dorset Street during normal business hours. Dated at South Burlington, Vermont this 30th day of December, 2011. City of South Burlington Sanford I. Miller City Manager Received and posted this 30th day of December, 2011. La:::C22 Donna Kinville City Clerk Subscribed and sworn to me this 30th day of December, 2011 A Resolution to Authorize Long-Term Disability Benefits to Eligible Management and Non-Represented Employees of the City of South Burlington Whereas, the South Burlington City Council has the authority to modify fringe benefits for eligible management and non-represented employees; and Whereas, the South Burlington City Council deems it appropriate to make certain changes to clarify the status of certain benefits; and Now, Therefore, Be it Resolved, the South Burlington City Council establishes a Long Term Disability benefit for management and non-represented employees whose sick leave accrual is capped at 600 hours. Further, Be it Resolved, It is understood that in a given year sick leave accrual could exceed 600 hours. If this occurs, these employees' shall be compensated for 50% of the value of the accrual exceeding 600 hours, in a method agreeable to the employee and administration. Further, Be it Resolved, This Resolution shall be effective upon passage by City Council. Dated this 3rd day of January, 2012 Sandra Dooley, Chair Meaghan Emery, Vice Chair Rosanne Greco, Clerk Jim Knapp Paul Engels RESOLUTION FOR A LEGISLATIVE BODY RELATING TO A MONEY PURCHASE PLAN RESOLUTION OF CITY OF SOUTH BURLINGTON (EMPLOYER NAME). PLAN NUMBER 10- WHEREAS,the Employer has employees rendering valuable services;and WHEREAS,the establishment of a money purchase retirement plan benefits employees by providing funds for retirement and funds for their beneficiaries in the event of death;and WHEREAS,the Employer desires that its money purchase retirement plan be administered by ICMA-RC and that the funds held in such plan be invested in the VantageTrust,a trust established by public employers for the collective investment of funds held under their retirement and deferred compensation plans: NOW THEREFORE BE IT RESOLVED that the Employer hereby establishes or has established a money purchase retirement plan(the"Plan")in the form of: (Select one) El The ICMA Retirement Corporation Governmental Money Purchase Plan&Trust,pursuant to the specific provisions of the Adoption Agreement(executed copy attached hereto). The Plan and Trust provided by the Employer(executed copy attached hereto). The Plan shall be maintained for the exclusive benefit of eligible employees and their beneficiaries;and BE IT FURTHER RESOLVED that the Employer hereby executes the Declaration of Trust of VantageTrust, intending this execution to be operative with respect to any retirement or deferred compensation plan subsequently established by the Employer,if the assets of the plan are to be invested in the VantageTrust. BE IT FURTHER RESOLVED that the Employer hereby agrees to serve as trustee under the Plan and to invest funds held under the Plan in the VantageTrust;and BE IT FURTHER resolved that the CITY MANAGER OR DEPUTY CITY MANAGER (use title of official,not name)shall be the coordinator for the Plan;shall receive reports,notices,etc.,from the ICMA Retirement Corporation or the VantageTrust;shall cast,on behalf of the Employer,any required votes under the VantageTrust;may delegate any administrative duties relating to the Plan to appropriate departments;and BE IT FURTHER RESOLVED that the Employer hereby authorizes CITY MANAGER OR DEPUTY CITY MANAGER (use title not name)to execute all necessary agreements with the ICMA Retirement Corporation incidental to the administration of the Plan. I, ,Clerk of the(City,County,etc.)of ,do hereby certify that the foregoing resolution proposed by(Council Member,Trustee,etc.)of ,was duly passed and adopted by the(Council,Board,etc.)of the(City,County,etc.) of at a regular meeting thereof assembled this day of ,20 ,by the following vote: AYES: NAYS: ABSENT: (SEAL) Clerk of the(City,County,etc.) ICMA-RC•P. O. Box 96220•Washington,DC 20090-6220• 1-800-326-7272 A RESOLUTION OF THE CITY OF SOUTH BURLINGTON ESTABLISHING A POLICY FOR THE ISSUANCE OF PAYMENTS AND PROVIDING AN ORDERLY METHOD FOR MAKING PAYMENTS IN SPECIAL CIRCUMSTANCES WHEREAS,it is in the best interest of the City of South Burlington for the City Council to establish a policy for the issuance of checks on a regular and special basis; and, WHEREAS,the City Manager recommends the following provisions of such a policy be approved by City Council; • Invoices must be submitted to Accounts Payable within one week of receipt, regardless of due date; • In order to be approved for inclusion in an upcoming warrant, invoices should be submitted at a time established by the City Manager or Assistant City Manager(usually by the end of business Tuesday prior to a scheduled City Council meeting); • Payments are expected to be authorized by City Council at regular meetings and, when appropriate, at special meetings; and, • Payments are expected to be made on the day following approval at a City Council meeting; • Staff will make every effort to schedule City Council approvals "just in time"unless there is a discount given for early payment; and, WHEREAS, the City Manager further recommends the following additional policy provisions to address occasional unusual, unforeseen or emergency circumstances: • As specified in Title 24 Section 1623, the City Council of South Burlington hereby authorizes both Council members and to "examine and allow claims against the City of South Burlington for city expenses and draw orders for such claims to the party entitled to payment"in between regular and special City Council meetings. Both members must perform these tasks. • When it is believe by a city staff person that a payment need to be made outside of the normal process and timeframes they must contact the City Manager or Assistant City Manager, either of of whom will assess whether or not a special payment is needed; and, • In accordance with 24 V.S.A. 1623(1)the above-identified City Councilors shall be authorized to allow such special payments and approve orders for special payments. The orders for such special payments shall state definitely the purpose for which they are drawn and serve as full authority to the City Treasurer or Assistant City Treasurer to make the payments; and, • If the City Manager or Assistant City Manager determine a special payment is needed, they will themselves, or delegate to an appropriate staff person the responsibility to, contact the above-identified City Councilors with pertinent facts about the payment and seek Councilors' authorization to proceed with payment; and, • Councilors' may be contacted by phone, in-person or via e-mail to expedite the approval process; and, • The individual seeking Council authorization shall document with e-mail responses or certify in writing that Councilors and have approved payment. Such documentation and certification shall be provided to all Councilors, City Manager, Assistant City Manager, City Treasurer, Assistant City Treasurer, the Finance Office(Accounts Payable) and other officials as appropriate in e-mail or other format as appropriate; and, • Upon documentation and certification as defined above, the City Treasurer or Assistant City Treasurer shall execute the proper documentation to issue payment; and, • The City Council shall be provided with a record of all special payments approved under this policy. BE IT RESOLVED, that this Resolution supersedes Resolution 2011-03 approved on February 7, 2011. BE IT FURTHER RESOLVED, City Council hereby authorizes the City Manager to enact this policy and make minor, non-substantive modifications as may be appropriate to improve the efficiency and effectiveness of City processes and procedures, and the terms of this Resolution shall be effective upon passage by City Council. Dated this day of January, 2012. Sandra Dooley, Chair Meaghan Emery,Vice Chair Rosanne Greco, Clerk James Knapp Paul Engels Litt, 19Lii MCKEE, GIULIANI & CLEVELAND A PROFESSIONAL CORPORATION ATTORNEYS AT LAW By P.O.BOX 1455 MONTPELIER,VERMONT 05601-1455 J.PAUL GIULIANI PETER GIULIANI(1907-1998) GEORGIANA O.MIRANDA(NY AND VT) TELEPHONE:(802)223-3479 W.EDSON McKEE(1923-1999) GLORIA K.RICE FAX(802)223-0247 ALDEN GUILD(RET.) JOHN P.RILEY GLENN C.HOWLAND OF COUNSEL FREDERICK G.CLEVELAND ELIZABETH H.MAGILL OFFICES AT: TD BANKNORTH BUILDING December 16, 2011 94 MAIN STREET,2ND FLOOR MONTPELIER,VT 05602 TO: Participating Municipalities FROM: J. Paul Giuliani RE: Vermont Municipal Bond Bank Refunding On December 15, 2011, the Vermont Municipal Bond Bank issued and sold $26,840,000 of 2011 Series 6 refunding bonds for the purpose of providing debt service reductions to a number of Vermont municipalities whose bonds had been sold to the Bond Bank in 2003. Attached to this memorandum is a copy of your municipality's revised debt service schedule showing the savings to be realized. Your bond payments due on each December 1 will be reduced by the savings credit amount shown on that schedule. In order to take advantage of these debt service savings,the following action must be taken expeditiously: (1) The enclosed Municipality Certificate as to Municipal Bond should be approved at a regular or special meeting ofyour legislative body. It must be dated and signed by all or a majority of the legislative body and the Treasurer. Note that if an Arbitrage and Use of Proceeds Certificate or Tax Certificate is attached,please do not detach. (2) The enclosed IRS Form 8038-G or 8038-GC, must be dated and signed by the Treasurer. Please enter or verify the Municipality's federal employer identification number on line 2. (3) Copies of the enclosed materials, executed as outlined above, should be placed in your records that relate to the Municipal Bond that is being refunded. (4) The executed Municipality Certificate as to Municipal Bond and Form 8038-G should be sent to me by mail, fax or e-mail attachment as soon as possible. Due to constraints placed on the Bond Bank by the Internal Revenue Code, it is essential that I receive the Certificate and Form 8038-G no later than January 31, 2012. Please do not hesitate to call me at the office or at home (223-2185) if you have any questions regarding this refunding, or communicate with me via e-mail: jpglaw@comcast.net. Vermont Municipal Bond Bank Series 2011-6: Loan Schedules Savings Adjustments Summary of Savings Adjustments 75,000.00 1,370,000.00 65,000.00 35,000.00 60,000.00 55,000.00 50,000.00 40,000.00 Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Municipality Loan# Loan Principal %Allocation Loan P&1 2013 2014 2017 2023 2024 2025 2026 2027 TOTAL Total 32,845,000.00 42,263,377.50 75,000.00 1,370,000.00 65,000.00 35,000.00 60,000.00 55,000.00 50,000.00 40,000.00 1,750,000.00 Town of Barre 1 455,000.00 1.385% 580,564.00 1,038.97 18,978.54 900.44 484.85 831.18 761.91 692.65 554.12 24,242.65 Barre Town School District 2 - - - - - - - - - - - - Bellows Free Academy 3 780,000.00 2.375% 1,002,573.00 1,781.09 32,534.63 1,543.61 831.18 1,424.87 1,306.13 1,187.40 949.92 41,558.84 Brattleboro Union School 4 19,200,000.00 58.456% 24,678,720.00 43,842.29 800,852.49 37,996.65 20,459.74 35,073.83 32,151.01 29,228.19 23,382.55 1,022,986.76 Town of Cabot 5 - - - - - - - - - Chittenden School District 6 35,000.00 0.107% 40,717.00 79.92 1,459.89 69.26 37.30 63.94 58.61 53.28 42.62 1,864.82 Colchester Fire District#2 7 90,000.00 0.274% 94,936.50 205.51 3,754.00 178.11 95.91 164.41 150.71 137.01 109.61 4,795.25 Town ofEssex/Sewer 8 50,000.00 0.152% 52,742.50 114.17 2,085.55 98.95 53.28 91.34 83.73 76.12 60.89 2,664.03 Essex Union School District#46 9 390,000.00 1.187% 494,371.50 890.55 16,267.32 771.81 415.59 712.44 653.07 593.70 474.96 20,779.42 Jericho Underhill Water District 10 520,000.00 1.583% 842,187.00 1,187.40 21,689.75 1,029.08 554.12 949.92 870.76 791.60 633.28 27,705.89 Town of Killington/Town Garage 11 360,000.00 1.096% 462,726.00 822.04 15,015.98 712.44 383.62 657.63 602.83 548.03 438.42 19,181.00 Town of Killington/CEN Refinancing 12 425,000.00 1.294% 545,025.50 970.47 17,727.20 841.07 452.88 776.37 711.68 646.98 517.58 22,644.24 Town of Ludlow 13 240,000.00 0.731% 308,484.00 548.03 10,010.66 474.96 255.75 438.42 401.89 365.35 292.28 12,787.33 Manchester School District 14 480,000.00 1.461% 616,968.00 1,096.06 20,021.31 949.92 511.49 876.85 803.78 730.70 584.56 25,574.67 Mendon School District 15 35,000.00 0.107% 40,717.00 79.92 1,459.89 69.26 37.30 63.94 58.61 53.28 42.62 1,864.82 Town of Moretown/Fire Station 16 50,000.00 0.152% 52,742.50 114.17 2,085.55 98.95 53.28 91.34 83.73 76.12 60.89 2,664.03 Mt.Anthony Union School District 17 1,800,000.00 5.480% 2,313,630.00 4,110.21 75,079.92 3,562.19 1,918.10 3,288.17 3,014.16 2,740.14 2,192.11 95,905.01 Town of Poultney 18 - - - - - - - - - - - - Village of Poultney/Water 19 780,000.00 2.375% 1,046,681.00 1,781.09 32,534.63 1,543.61 831.18 1,424.87 1,306.13 1,187.40 949.92 41,558.84 Village of Poultney/Sewer 20 1,195,000.00 3.638% 1,864,657.50 2,728.73 49,844.73 2,364.90 1,273.41 2,182.98 2,001.07 1,819.15 1,455.32 63,670.27 Town of Randolph 21 210,000.00 0.639% 221,518.50 479.53 8,759,32 415.59 223.78 383.62 351.65 319.68 255.75 11,188.92 City of Rutland-School District 22 2,580,000.00 7.855% 3,316,203.00 5,891.31 107,614.55 5,105.80 2,749.28 4,713.05 4,320.29 3,927.54 3,142.03 137,463.85 City of Rutland 23 1,290,000.00 3.928% 1,360,756.50 2,945.65 53,807.28 2,552.90 1,374.64 2,356.52 2,160.15 1,963.77 1,571.02 68,731.92 Town ofShelbume 24 655,000.00 1.994% 840,517.00 1,495.66 27,320.75 1,296.24 697.98 1,196.53 1,096.82 997.11 797.69 34,898.77 City of South Burlington 25 260,000.00 0.792% 274,261.00 593.70 10,844.88 514.54 277.06 474.96 435.38 395.80 316.64 13,852.95 Town of Stockbridge 26 120,000.00 0.365% 154,242.00 274.01 5,005.33 237.48 127.87 219.21 200.94 182.68 146.14 6,393.67 Thetford School District 27 135,000.00 0.411% 156,363.00 308.27 5,630.99 267.16 143.86 246.61 226.06 205.51 164.41 7,192.88 West Windsor School District 28 660,000.00 2.009% 848,331.00 1,507.08 27,529.30 1,306.13 703.30 1,205.66 1,105.19 1,004.72 803.78 35,165.17 Town of Williston 29 50,000.00 0.152% 52,742.50 114.17 2,085.55 98.95 53.28 91.34 83.73 76.12 60.89 2,664.03 Cili 12/7/2011 3:16 PM(Preliminary Subject to Change) Page 1 VERMONT MUNICIPAL BOND BANK SERIES 2011-6 REFUNDING BONDS (2003-2) Municipality Certificate as to Municipal Bond We,the Treasurer and at least a majority of the City Council of the CITY OF SOUTH BURLINGTON (the "Municipality")HEREBY CERTIFY as follows: 1. Reference is made to the Tax Certificate or Arbitrage and Use of Proceeds Certificate, including Schedule A-2, and IRC Section 148 Certification(the "Prior Certificates") given in connection with a certain"Municipal Bond(s)" as defined in the Prior Certificates. The covenants, certifications, representations and warranties made in the Prior Certificates with respect to each Municipal Bond and the project financed by the proceeds thereof continue to be accurate and complete in all material respects and the Municipality expects to continue to comply with the covenants in the Prior Certificates. 2. As to expectations expressed in the Prior Certificates concerning events that were to occur prior to the date of this Certificate, such expectations have been fulfilled in all material respects. All of the proceeds and earnings on the proceeds of each Municipal Bond have been spent substantially in accordance with such expectations. 3. As to expectations in the Prior Certificates relating to periods that have not yet occurred, such expectations (and the representations and covenants on which such expectations were based) are hereby ratified and confirmed as of the date of this Certificate. 4. Also attached hereto is a new Internal Revenue Service Form 8038-G executed by the Treasurer of the Municipality. The information set forth in said Form is accurate and complete to the best of our knowledge. We have been instructed by the Vermont Municipal Bond Bank that each Municipal Bond is now treated as a"refunding bond" as of the date hereof for purposes of Form 8038-G. 5. With respect to each Loan Agreement between the Municipality and the Vermont Municipal Bond Bank (the "Bond Bank"), and all amendments thereto, under which each Municipal Bond was issued, within thirty (30) days following a request by the Bond Bank, the Municipality agrees to furnish the Bond Bank with its most recent financial statements, explanatory notes and other financial and operating information as the Bond Bank may request. In addition, the Municipality agrees to notify the Bond Bank immediately of any material event which has or may have an effect upon it financial condition or it ability to perform fully and timely any covenant, obligation or undertaking set forth in each Loan Agreement or each Municipal Bond. As used in this paragraph, a material event is any one of the following: (a) Actual or anticipated delinquency or default of payment of principal or interest on each Municipal Bond or any other debt obligation of the Municipality; (b) Any actual or anticipated default or breach on the part of the Municipality with respect to any term or provision of each Loan Agreement or like agreement to which the Municipality is a party; or (c) Any release, substitution or sale of property securing repayment of each Municipal Bond. 6. No portion of the proceeds of each Municipal Bond have been or will be invested, directly or indirectly, in Federally insured deposits or accounts other than (A) investments of unexpended Municipal Bond proceeds for an initial temporary period until the proceeds are or were needed for the Project, and(B) investment of a debt service fund. 7. With respect to any amounts received from condemnation, insurance, or disposition of any part of the Project financed by each Municipal Bond or any other amounts set aside by the Municipality, which are or were pledged to, expected to be used or used for the payment of debt service on each Municipal Bond,the Municipality will so notify the Bond Bank and will either invest such amounts in obligations of the State of Vermont or other State or of any political subdivision thereof,the interest on which is exempt from Federal income taxation pursuant to Section 103 of the Internal Revenue Code of 1986, invest such amounts in obligations having a yield that is less than the lesser of the Municipal Bond or the Bond Bank Bonds, or comply with the provisions of any Accounting Memorandum attached to the Prior Certificates, unless specifically advised in writing to the contrary by the Vermont Municipal Bond Bank. 8. The Project financed by each Municipal Bond is and will be owned by the Municipality and will not be leased to any person who is not a state or local government unit. The Municipality has not and will not enter into any contracts or other arrangements, including without limitation, management contracts, capacity guarantee contracts, take or pay contracts or put or pay contracts, pursuant to which such persons have a right to use or make use of the Project on a basis not available to members of the general public. IN WITNESS WHEREOF, we have hereunto set our hands on behalf of the Municipality this day of , 2011. CITY OF SOUTH BURLINGTON By: All or a majority of its City Council And By: Its Treasurer [5115-46] • Vermont Municipal Bond Bank Series 2011-6: Loan Schedules Savings Adjustments Loan Saving Schedule, City of South Burlington • Loan Cpn Principal Savings Adjusted Date Principal (Yield) Interest and Interest Allocation Debt Service Total 260,000.00 14,261.00 274,261.00 13,852.95 260,408.05 Weighted Average Maturity(WAM) 1.461 Net Interest Cost(NIC) 3.754% 6/1/12 - 4,725.50 4,725.50 4,725.50 12/1/12 130,000.00 3.570% 4,725.50 134,725.50 134,725.50 6/1/13 - 2,405.00 2,405.00 2,405.00 12/1/13 130,000.00 3.700% 2,405.00 132,405.00 593.70 131,811.30 6/1/14 - - - - 12/1/14 - - - - 10,844.88 (10,844.88) 6/1/15 - - - 12/1/15 - - - - - 6/1/16 - - - 12/1/16 - _ - - - 6/1/17 - - - - 12/1/17 - - - - 514.54 (514.54) 6/1/18 - - - - 12/1/18 - - - - - 6/1/19 - - - - 12/1/19 - - - - - 6/1/20 - - - - 12/1/20 - - - - - 6/1/21 - - - - 12/1/21 - - _ - 6/1/22 - - - - 12/1/22 - - - - - 6/1/23 - - - - 12/1/23 - - - - 277.06 (277.06) 6/1/24 - - - 12/1/24 - - - - 474.96 (474.96) 6/1/25 - - - - 12/1/25 - - - - 435.38 (435.38) 6/1/26 - - - - 12/1/26 - - - - 395.80 (395.80) 6/1/27 - - - 12/1/27 - - - - 316.64 (316.64) 6/1/28 - - - - 12/1/28 - - _ _ - 6/1/29 - - - 12/1/29 - _ - _ - 6/1/30 - - _ - 12/1/30 - _ - - 6/1/31 - - - - 12/1/31 - - - - - 6/1/32 - - - - 12/1/32 - - - - - 6/1/33 - - - - 12/1/33 - - - - - Citi 12/7/2011 3:16 PM(Preliminary Subject to Change) Page 26 MCKEE, GIULIANI & CLEVELAND A PROFESSIONAL CORPORATION ATTORNEYS AT LAW P.O.BOX 1455 MONTPELIER,VERMONT 05601-1455 J.PAUL GIULIANI PETER GIULIANI(1907-1998) GEORGIANA O.MIRANDA(NY AND VT) TELEPHONE:(802)223-3479 W.EDSON McKEE(1923-1999) GLORIA K.RICE FAX(802)223-0247 ALDEN GUILD(RET.) JOHN P.RILEY GLENN C.HOWLAND OF COUNSEL FREDERICK G.CLEVELAND ELIZABETH H.MAGILL OFFICES AT: ID BANKNORTH BUILDING 94 MAIN STREET,2ND FLOOR MONTPELIER,VT 05602 December 15, 2011 Robert W. Giroux Vermont Municipal Bond Bank 20 Winooski Falls Way#305 Winooski, VT 05404 Re: Vermont Municipal Bond Bank 2011 Series 6 Refunding Bonds Dear Mr. Giroux: We have acted as bond counsel to certain of the Municipalities identified on Schedule 2003-2 in connection with the original sale of their bonds (the "Municipal Bonds") to the Vermont Municipal Bond Bank (the "Bond Bank") through the Bond Bank's Series of Bonds identified thereon. In addition we have acted as bond counsel to the Municipalities with respect to their participation in the refundings effected by the Bond Bank through the issuance of its 2011 Series 6 Refunding Bonds. We have reviewed the actions taken by the Board of Directors of the Bond Bank with respect to such refundings including the modification of the amount of debt service charged each Municipality for the Loan made by the Bond Bank and evidenced by each Loan Agreement entered into and executed by and between the Bond Bank and the Municipality contemporaneous with the original sale of each Municipal Bond to the Bond Bank. As a condition of such modification, each Municipality has or will have executed certificates relating to arbitrage and other tax matters. We have treated each Municipal Bond with modified debt service as currently refunded for federal and Vermont income tax law. Based upon our review of such actions, and the record thereof, and such other records, proofs, certificates and representations deemed necessary and sufficient for the purposes hereof, we are of the opinion that: 1. Each Municipality continues to be a "governmental unit" as defined in the Act (24 V.S.A., Ch. 119). Robert W. Giroux December 15, 2011 Page 2 2. No formal action by any Municipality, other than the filing of an informational return under Section 149(e) of the Internal Revenue Code of 1986, is required in order to so modify the amount of debt service payable by such Municipality. 3. Each Loan Agreement and each Municipal Bond continues to be binding upon each Municipality and enforceable according to their terms, as amended, with respect to the modification of the amount of debt service payable on the loan evidenced thereby. 4. Such modification of the amount of debt service payable under any such Loan Agreement will not result in any Municipal Bond being characterized as a "private activity bond" or an "arbitrage bond" under Sections 103, 141 and 148 of the Code, or the applicable Regulations promulgated thereunder. 5. Interest on each Municipal Bond, as modified, is and continues to be excluded from the gross income of the recipients thereof for present federal and Vermont income tax purposes, and is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations. McKee, Giuliani & Cleveland By: J. Paul Giuliani JPG:ja/pw [5115-46] McKEE, GIULIANI & CLEVELAND VERMONT MUNICIPAL BOND BANK 2003 SERIES 2 PARTICIPANTS (JULY 9, 2003) (1) Town of Barre (2) Barre Town School District (3) Bellows Free Academy (4) Brattleboro Union High School District No. 6 (5) Town of Cabot (6) Chittenden Town School District (7) Colchester Fire District No. 2 (8) Town of Essex (9) Essex Community Educational Center Union School District No. 46 (10) Jericho-Underhill Water District (11) Town of Killington (12) Town of Ludlow (13) Manchester Town School District (14) Mendon Town School District (15) Town of Moretown (16) Mt. Anthony Union School District No. 14 (17) Town of Poultney (18) Village of Poultney (19) Town of Randolph (20) City of Rutland (21) Town of Shelburne (22) City of.South Burlington (23) Town of Stockbridge (24) Thetford Town School District (25) West Windsor Town School District (26) Town of Williston MCKEE, GIULIANI & CLEVELAND A PROFESSIONAL CORPORATION ATTORNEYS AT LAW P.O.BOX 1455 J.PAUL GIULIANI MONTPELIER,VERMONT 05601-1455 GEORGIANA O.MIRANDA(NY AND VT) PETER GIULIANI(1907-1998) TELEPHONE:(802)223-3479 W.EDSON McKEE(]923-1999) GLORIA K.RICE FAX(802)223-0247 JOHN P.RILEY ALDEN GUILD(RET.) GLENN C.HOWLAND OF COUNSEL ELIZABETH H.MAGILL FREDERICK G.CLEVELAND December 15, 201 1 OFFICES TD BANKNORTH AT:ILDING BU 94 MAIN STREET,2ND FLOOR MONTPELIER,VT 05602 Vermont Municipal Bond Bank Citigroup Global Markets Inc. c/o Mintz, Levin, Cohn, Ferris c/o Edwards Wildman Palmer, LLC Glovsky and Popeo, P.C. 111 Huntington Avenue One Financial Center Boston, MA 02199-7610 Boston, MA 02111-2657 Re: Vermont Municipal Bond Bank 2011 Series 5 and Series 6 Bonds Ladies and Gentlemen: We have acted as bond counsel to the Governmental Units whose Municipal Bonds have been purchased or refunded by the Vermont Municipal Bond Bank out of the proceeds of the sale of the above-referenced Series of bonds. We are of the opinion that the statements contained in the Preliminary Official Statement dated November 22, 2011 and the Official Statement dated November 30, 2011 under the captions "Litigation and Other Proceedings" and "Security for the Bonds - Pledge of Municipal Bonds and Municipal Bond Payments" are correct in all material respects and did not and do not omit any information which should be included to make any statement therein not misleading. The opinion set forth herein is furnished under Section 7(f)(12) of the Contract of Purchase relating to said Series, dated November 29, 2011, entered into by and between the Vermont Municipal Bond Bank and Citigroup Global Markets, Inc. In expressing the opinion contained herein, we advise you that we have not been engaged or retained by any participating Governmental Unit with respect to any matter required to be disclosed under the caption "Litigation and Other Proceedings" in the above-identified Preliminary Official Statement and Official Statement. Further, we advise you that, in rendering the opinion set forth herein, we have relied upon facts, information and representations furnished to us by governmental officials and others without undertaking an independent verification of the same. Notwithstanding the foregoing, however, we are not aware of any fact, condition or event which in any way would require us to qualify the opinion expressed herein. Very truly yours, J. Paul Giuliani JPG:sg/pw [5115-46] CITY COUNCIL 19 DECEMBER 2011 The South Burlington City Council held a regular meeting on Monday, 19 December 2011, at 7:00 p.m., in the Conference Room, City Hall, 575 Dorset St. Councilors Present: S. Dooley, Chair; J. Knapp, M. Emery, P. Engels, R. Greco Also Present: S. Miller, City Manager; R. Rusten, Assistant City Manager; D. Kinville, City Clerk; P. Conner, Director of Planning & Zoning; P. Taylor, City Charter Committee; Chief T. Whipple, Police Department; Planning Commission Members: C. Shaw, T. Duff, B. McDonald, T. Riehle; DRB Members: T. Barritt, B Stuono; A. Lafferty, City Attorney; M. Young, S. Dopp, G. Farrell, M. Beaudin, B. Gilbert, B. Bull, M. Metallo, J. DeSarno, J. Parker Dickerson, B. Hall, R. Schulte, Ms. Dunn, M. Simoneau, B. Melizia, M. Mittag, D. Burton, B. Gardner, B. Smith, F. Murray, C. Gardner, L. Murphy, K. Donahue, J. Larkin, M. Scollins, P. O'Brien, R. Deslauriers, J. Ilick, J. Wilkins, P. Soto 1. Executive Session: Ms. Emery moved that the Council meet in executive session to discuss personnel, contract negotiations and litigation. Ms. Greco seconded. Motion passed unanimously. Regular Session: 1. Other Business & Announcements: Ms. Dooley explained that Councilor Jim Knapp would be arriving late as he had to attend the Burlington City Council meeting on behalf of a client. la. Agenda Review: No changes were proposed. 2. Comments & Questions from the Audience not related to agenda items: a. Ms. Kinville addressed the Council regarding a Charter change she is proposing for the March ballot and asked the Council to refer it to the City Charter Committee for their consideration. The change would add the following language to the Charter as Section 13-2005: The City Clerk shall have all the powers and duties established by general state law, including the power to appoint, supervise and remove all assistant town clerks. Ms. Kinville also noted concern with accessibility of the Clerk's office after regular business hours. She cited the need to know who has access. She asked that locks be changed and that the City Clerk know who has keys. She further expressed concern that she has been put off on this request several times. CITY COUNCIL 19 DECEMBER 2011 PAGE 2 b) Mr. Soto expressed concern with the direction of the current City Council. He felt it has become confrontational with increased amounts of litigation. He asked how much has been spent on such litigation and said he wanted to see taxpayers' money spent on things that are more appropriate for the city. Mr. Miller noted that last year's audit is on the website, and the audit for this year will be there when it is received. It will contain the information Mr. Soto requested. 3. Announcements and City Manager's Report: Members reported on meetings and events they had attended. Mr. Miller: Advised Council members of the upcoming GBIC Legislative Breakfast series on 9 January, 13 February, and 19 March, 7:30 a.m. Noted the ongoing discussions between South Burlington and the City of Burlington regarding issues of taxes, storm water, and fees for services. He read into the record a letter written to Burlington Mayor Kiss regarding the disagreements between the 2 cities on these issues. Mr. Miller noted that Burlington had paid for services in 2007, 2008 and 2009. He also noted that FY2013 fees will be based on the normal process for calculating such fees. 4. Public Hearing and Second Reading of Draft Land Development Regulations approve by the Planning Commission: Ms. Greco moved to open the public hearing. Ms. Emery seconded. Motion passed unanimously. Ms. Emery moved to waive the second reading. Ms. Greco seconded. Motion passed unanimously. Mr. Conner briefly reviewed the proposed amendments as follows: 1. Change in bonding requirements to follow state law 2. Requirement for development plans to be submitted in digital form as well as paper 3. Heights of buildings in certain districts 4. Requires applicants to notify all abutters 5. Use definitions to conform to state law 6. Technical and typographical corrections 7. Establishes a transit overlay district CITY COUNCIL 19 DECEMBER 2011 PAGE 3 8. Amends non-conforming use and conditional use standards to conform to state law 9. Establishes the maximum number of units in a building in R-1, R-2, QCP and SEQ districts 10. Establishes perimeter setbacks for PUDs. The use changes include making places of worship a permitted rather than a conditional use(to conform to state law), allowing multi-family housing in the C-1 Auto District, allowing drive-in banks in the C-1 Auto District, allowing"retail warehouse outlet"in the C-1 Auto District, eliminating the category "clinic, medical, dental or optical," and amending the tables legend. Mr. O'Brien asked if a 2-story building with 10-ceilings would be allowed. Mr. Conner said there could be 2 stories totaling 20 feet and still be within the limit. Mr. Conner noted the amendments would go into effect on 9 January 2012. No further public comment was offered. Ms. Emery moved to close the public hearing. Ms. Greco seconded. Motion passed unanimously. Ms. Emery moved to adopt the changes as presented with the effective date of 9 January 2012 added to Sections 905b and 3.07c. Ms. Greco seconded. Motion passed unanimously. 5. Presentation by Staff and National Gardening Association re: Ongoing Discussions: Mr. Metallo, President of National Gardening, noted that the organization is a 501-C3 non-profit organization. He showed slides of the original plan for the Dorset Street garden/park. He also noted that the mission of the organization is to provide educational materials and resources and to promote home, school and community gardening. Mr. Metallo also reviewed some of the published works of the organization, their activities, and the use of grants to establish gardens across the county. The history of the lease of Dorset Park land to National Gardening began in 2000. Many of the elements of the original lease still exist in the most current lease. • CITY COUNCIL 19 DECEMBER 2011 PAGE 4 Mr. Metallo noted that they have done the"water park" and are making arrangements for other milestones including an education center, an entryway, future community gardens, and other theme gardens. Ms. DeSarno said she has been with the Garden Park since 2000 and fully supports the effort. She noted that a grant received for vegetable gardening resulted in the donation of 550 pounds of food to the Chittenden Food Shelf this year. Ms. DeSarno also noted that private donations played a part in the establishment of the park, including a donation of$100,000 by the Wheeler family to build the 2 pavilions. Ms. Parker-Dickerson then reviewed some of the programs of the organization including programs for seniors, children's birthday parties, on-site educational programs, youth transitional services, etc. This year they are planning a"Books in Bloom"project and hope to have a cooking class. They are also active in promoting gardens in the city schools. Ms. Emery asked about the relationships with the schools. It was noted that they would like to do more with schools; however,many of the programs take place in the summer when schools are not in session. Ms. Greco asked about parking. Mr. Metallo noted that there is an agreement that when they get to a certain point, additional parking would be made available. He noted it can be dangerous to get in and out of the area, and an alternate access would be good. He added that on a volunteer day, there is no place to park. Ms. Dooley noted the relationship of the park area to the ballot item just passed, especially the conservation easement. Mr. Hall, representing 44 community gardeners expressed concern that their gardens were moved from a very favorable spot to one with vastly inferior soil so that National Gardening could hold their weddings and special events in the previous area. He felt the gardeners have a less than favorable relationship with National Gardening and that the gardeners are getting"the short end of the stick." He said this is ironic as one of the three"prongs" of NGA's mission involves "communities gardens." Mr. Shaw asked if the 7 acres the city is giving up is part of the NGA area. Ms. Dooley said it is not. Ms. Dunn expressed concern with what will happen to the community garden. She said the city put them there, but they are not being represented appropriately. They would like that rectified by the City Council so they can go back to where they were. Ms. Dunn said CITY COUNCIL 19 DECEMBER 2011 PAGE 5 there is a real fear that the community gardens will be lost. Mr. Simoneau noted that the lease with NGA has 14 years to run. He asked if the city is prepared to honor the terms and conditions of that lease. Ms. Dooley said as long as the current lease is in existence, the city will honor it. She said the city understands that NGA wants some changes to that lease. Mr. Rusten said the city was approached by NGA to change the lease to add additional years. At that time, the city began to look at the lease and its benefit to the city. Ms. Melizia felt it is ironic that NGA wants to push the community gardeners off the site. Mr. Mittag said he has watched the development of the property with dismay and is appalled by the priority given to weddings instead of to community gardens. 6. Consider Resolution to Establish an Interim Zoning By-law and set a public hearing on the Interim By-law for Tuesday, 17 January 2012: Ms. Dooley noted the Council addressed the subject earlier in the year and couldn't reach a common ground. She cited the enthusiasm for the recent City Center workshops and "form based codes"development. She also noted that consultants are already working to develop those codes. There are also "complete streets" and Shelburne Road studies going on and a Planning Commission committee studying"cottage-type" housing. Ms. Dooley said it was thought that the Council should give the Planning Commission and consultants time to do things right and not have land disappear. Ms. Dooley then read the proposed resolution. She then moved to approve the resolution as read. Ms. Emery seconded. Ms. Emery asked Mr. Conner to go through the proposed exceptions. Mr. Connor stressed that staff has not had a chance to go through this proposal and assess its implications. He then reviewed the exceptions: C. would not apply to a change in use as long as the footprint and square footage don't change D. would not apply to modification or reconstruction of a commercial or industrial structure as long as there is no change in use or footprint or square footage. Ms. Dooley then read written comments prepared by Councilor Jim Knapp. These include CITY COUNCIL 19 DECEMBER 2011 PAGE 6 The following: A. Concern with submission the week before Christmas when people's attention is elsewhere. He felt it should be tabled until after the preparation of the FY13 budget B. Concerned with the impact on fiscal recovery C. Concerned with the apparent lack of faith in the existing planning process and with those who volunteer D. Lack of expertise of the City Council in this area E. There is no emergency situation F. The demand of the time of city employees G. The possibility of"unintended consequences" ( e.g., people will invest in other communities due to uncertainties; pressure for housing will move to other communities and this will result in more people driving through South Burlington to and from those communities). H. The specific criteria in state statute as to the nature of"studies" (e.g., the "cottage housing" study is being done by an ad hoc committee, not a professional consultant) I. there is no possibility of"sustainable agriculture"outside of the Southeast Quadrant and nothing to show there is contiguous land for sustainable agriculture J. unresolved issues: impact on the grand list, possibility of legal actions, exempted areas is unlikely to support affordable housing, question of discriminating against a protected class K. financial impact on those who can't continue to farm their land L. there is no policy saying the city should be involved in sustainable agriculture M. redevelopment of existing commercial land can't affect sustainable agriculture Ms. Greco said she fully supports the resolution. She felt that regarding timing, there is never a good time, and the city should take time out until it hears from the consultants doing the form based codes study. She also felt this should be the basis on which the budget is prepared. She also felt a lot has changed since the last interim zoning effort failed. She agreed it will cause more work for staff but felt it is important. Ms. Greco also noted there are 1000 units already approved that can be built. Mr. Conner said that number may be closer to 700. Public comment was then solicited in an alternating pro/con format, when possible: Mr. Gilbert: supported the measure as there are important issues Ms. Gardner: echoed Councilor Knapp's sentiments. CITY COUNCIL 19 DECEMBER 2011 PAGE 7 Ms. Dopp: Felt it was good to consider the matter more deeply. Noted her particular bias for wildlife and agriculture. Mr. G. Farrell: Objected to bringing this up during the holiday season. Agreed with Councilor Knapp. Felt the Council doesn't have experience in this area and should trust the city's Planning Commission and Development Review Board. Noted that agriculture is less than 3% of the state's economy and less than 1% of Chittenden County's. Farms are closing all over Vermont. The state is still 85% forest land, the same as it was 100 years ago. Mr. Mittag: Cited the amount of land used for new development. Mr. Gardner: asked whether this would affect previously approved developments. Ms. Dooley said the Council doesn't know enough to respond to that. Mr. Conner added there are many different circumstances. Ms. Bull: supported the study of affordable housing. Ms. Burton: South Burlington has a lot to offer people who love nature. There is a need for housing that will not go away. A highly respected attorney and City Councilor says "don't do this" and she agrees with him. Unidentified audience member: Cited the need for more local resources for food. Mr. Smith: Agrees with Councilor Knapp. Concerned with the uncertainty he is hearing. Mr. Murray: Was disappointed when it didn't pass last time. Mr. Young: Seems like a rehashing. Thinks the Council is using the"form based codes thing as a spin to cover the whole city." Mr. Scollins: Need to protect sustainable agriculture. DRB has no guidelines regarding renewable energy. Very few "appropriate"homes available. Mr. Larkin: Echoes Councilor Knapp. Cited an atmosphere of uncertainty. Mr. O'Brien: Terrible timing because of the economy. Ashamed of the Chairwoman for proposing such a bad idea. Mr. Barritt: Need to reflect on all the property in the city and set a course for the future. CITY COUNCIL 19 DECEMBER 2011 PAGE 8 Mr. McDonald: This issue was not discussed with the Planning Commission. The Council should meet with the Planning Commission to discuss this. He is chair of the ad hoc committee looking at"cottage housing" and said this is not a professional study. He now feels uncomfortable volunteering for this committee because it has been politicized. Mr. Donahue: Think this all came about because of TDRs. Not sure if there is a different way to go about this. Curious as to why the City Council can't get together with the Planning Commission and DRB. Mr. Shaw: Feels this would have merit for affordable housing and agriculture. Mr. Murphy: Represents a group of land owners. Supports Councilor Knapp's comments. Felt it was ironic that the Council is proposing interim zoning which takes power away from the Planning Commission in light of the earlier agenda item of amendments to Land Development Regulations. He noted there was no objection to that amendment because they went through the normal process. Felt standards are vague. Question of approved developments not yet built. Asked the chair to recues herself because of her opposition to a development in her"backyard." Ms. Dooley said the City Attorney has advised her there is no conflict of interest. Mr. Stuono: Cited a recent Planning Commission/DRB joint meeting and challenges of interpretation of regulations. Mr. Ilick: Sees nothing that would merit a full moratorium on development in the city. This is telling people they can't do business for 2 years. Neither affordable housing nor agriculture merits this action. Ms. Dooley said there are places that now don't allow for housing. Mr. Ilick said those should be studied and enacted as part of the normal process. Mr. Simoneau: The Council is polarizing the community and has vilified former DRB members. There will always be problems. This action is injurious to the economy of South Burlington and the state. Mr. Deslauriers: This will stop any meaningful development of commercial property. The city should do an economic impact study before doing this. Hundreds of jobs will be lost. Good effects can be achieved without this action. Mr. Duff: Doesn't understand the scope of this. Studies cited are applicable to only a small area. The proposal is restricting housing. Noted that a few weeks ago the "cottage housing" committee was not deemed worthy of staff time, and now it is being used as a justification for interim zoning. CITY COUNCIL 19 DECEMBER 2011 PAGE 9 Mr. Wilkins: Previous zoning changes have all been warned and people knew what was coming. He and his neighbors have no problem with how the Southeast Quadrant has grown. The city's financial problems will be exacerbated by this action and subsequent lawsuits. Go through the regular process. Mr. Knapp arrived at this point in the meeting. He expressed concern with focusing on sustainable agriculture without understanding the cost of agriculture. He cited the expensive nature of land in the city and said that without an economic basis to support agriculture, he didn't see how sustainable agriculture could return to the city. He did not believe the government should tell people they have to farm their land or have to wait till someone lets them sell it. Mr. Knapp continued by saying interim zoning won't help interpret regulations. The city should let the Planning Commission and DRB do their job. The City Council has no better expertise to do that. He added that stopping everything for 2 years won't bring South Burlington affordable housing. It will bring Colchester affordable housing. It will bring Shelburne affordable housing. In addition, the effects will last more than 2 years because people won't invest in"pre-project"work which can take a year of more. Ms. Greco said it will give the city time to rewrite the Land Development Regulations. She said no developments have come in since the last interim zoning effort has been affordable. Mr. Ilick asked what the Planning Director thinks of this since he's the paid professional. Mr. Miller responded city staff serves the City Council and staff opinions are irrelevant. In the vote that followed, the motion passed 3-2 with Mr. Knapp and Mr. Engels voting against. 7. Consider Ratification of Submission of the Car Seat Education Grant: Mr. Miller explained that due to a time consideration, the grant was submitted,but if the Council votes against it, the application can be withdrawn. He noted there is no city match required. The grant is for public education regarding car seat safety. Ms. Greco moved to ratify the submission of the car seat education grant. Ms. Emery seconded. Motion passed unanimously. S. Consider approval of settlement agreement with Mr. John O'Connor: Mr. Miller said this is a separation agreement. He said there are "contentions" of each CITY COUNCIL 19 DECEMBER 2011 PAGE 10 party that the other party does not agree to. Under the agreement, Mr. O'Connor will resign immediately and will not apply for future employment. The city will pay him $52,000, which is one year's base salary. Mr. Young asked what that money will come from. Mr. Miller said it will come from the city's general fund. Ms. Greco moved to approve the separation agreement and to authorize a representative of the city to sign it. Mr. Knapp seconded. Motion passed unanimously. It was noted that the document will be available to the public when fully approved. 9. Consider Approval to forward insurance proceeds to Dorset Park Skating Association and consider waiver of permit fees: Ms. Greco moved to waive permit fees and forward insurance proceeds of$328,838.22 to the Dorset Park Skating Association before the end of the year with the condition that the Dorset Park Skating Association agrees this is a full payment and that they will not come back to the city for additional payment. Mr. Knapp seconded. Mr. Knapp noted that the letter has to be modified since acknowledgment of payment has to come from the organization at a duly held meeting, not from Mr. Cairns. In the vote that followed, the motion passed unanimously. 10. Consider approval of the changes to the 2011 Grand List due to errors or omissions: Mr. Knapp moved to approve the changes to the Grand List per the Assessor's memorandum of 13 December 2011. Ms. Emery seconded. Motion passed unanimously. 11. Other Business: No issues were raised. 12. Review and approve Minutes of 5 December 2011: Ms. Greco moved to approve the Minutes of the Pre-Town Meeting and regular meeting of 5 December 2011 as written. Mr. Knapp seconded. Motion passed unanimously. CITY COUNCIL 19 DECEMBER 2011 PAGE 11 13. Sign Disbursement Orders: Disbursement orders were signed. 14.Executive Session: Ms. Greco moved that the Council meet in executive session to discuss personnel matters and to resume regular session only for the purpose of adjournment. Mr. Knapp seconded. Motion passed unanimously. 15. Regular Session: Council returned to regular session. As there was no further business Mr. Knapp moved for Council adjournment. Ms. Dooley seconded. Motion passed unanimously. Council adjourned. Clerk