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AGENDA
SOUTH BURLINGTON CITY COUNCIL
City Hall Conference Room
575 Dorset Street
SOUTH BURLINGTON, VERMONT
Please Note: The City Council meeting starting time is set for 6:00 to allow as much
Council business to be conducted prior to the advertised and warned Public Hearing
time of 7:00 p.m. for Interim Zoning. The Public Hearing on Interim Zoning will begin at
7:00 p.m. or as soon as possible thereafter.
Regular Session 6:00 P.M. Monday , July 18, 2011
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) ***Interview candidates for boards, commissions, & committees.
5) ***Consider approval of loan documentation to fund the unfunded pension liability
and authorizing the City Manager to execute the loan documents, Sandy Miller, City
Manager and Bob Rusten, Assistant City Manager.
6) ***Public Meeting and solicitation of Public Comment regarding the possible
submission of a JAG grant by the South Burlington Police Department and
consideration of approval, Trevor Whipple, Police Chief.
7) ***Review of bid results on the Quint Ladder Truck financing and consider
authorizing the City Manager to execute the loan documents, Bob Rusten, Assistant
City Manager.
8) ***Consider approval of a Special Event Permit: Flynn Theater Presenting the Zoppe
Circus, Aug. 4-7, 2011.
9) ***Reconvene as Liquor Control Board to consider Liquor Licenses for:
• The Wooden Spoon Bistro, 1210 Williston Road
10)***Review and approve minutes from the regular & special meeting held June 20, &
July 6, 2011.
11)Sign disbursement orders, including disbursements made by Champlain Water
District on behalf of South Burlington.
12)Other Business.
13)***Public Hearing of proposed Adoption of Interim Bylaws, second reading of same
and possible vote on Interim Zoning Bylaws.
14)Consider entering executive session to discuss personnel, contract negotiations and
litigation.
1 5)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.
July 18, 2011 Public Comment- Sign-in Sheet
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LOAN AGREEMENT
Dated as of July 18, 2011
By and Between
CITY OF SOUTH BURLINGTON
and
MERCHANTS BANK
•
"Interest Rate Agreement" means any agreement for a derivative or hedging product, including,
without limitation, interest rate or equity swaps, futures, options, caps, floors, collars, or forwards
now or hereafter executed by and between City and the Bank.
"Loan" means the loan made by the Bank to the City pursuant to this Agreement.
Proceeds of the Loan shall be used to fund the pension contribution identified in this Agreement,
as computed by reference to Exhibit 3 hereto.
"Loan Documents"means this Agreement,the Note(Exhibit 4 the Tax Certificate), (Exhibit 5),the
Certificate of Registration (Exhibit 6), the Bond Resolution, any Interest Rate Agreement, and all
security agreements, assignments and instruments heretofore or hereafter executed and delivered to
the Bank under or in connection with the Note, as such agreements may be amended or
supplemented.
"Maturity Date"means June 30, 2031.
"Note" means the General Obligation Refunding Note issued by the City to the Bank as
described in Section 2.1.2 hereof, evidencing the repayment obligations of the Loan, as the same
may be amended, extended or renewed.
"Obligations" shall mean, without duplication, the obligation of City to pay to the Bank (i)
the Note, (ii) all indebtedness incurred by the City to the Bank under this Agreement or any other
Loan Document, (iii) any and all sums, whether principal, interest, costs or fees, due the Bank
under or with respect to this Agreement, any Interest Rate Agreement, and any fees, costs,
indemnities and expenses, whether direct or indirect, now existing or hereafter arising with respect
thereto, and (iv) any and all indebtedness, fees, costs, indemnities, and expenses, whether direct or
indirect, absolute or contingent, now existing, or hereafter arising under this Agreement or any
other Loan Document.
"Person" means any natural person, corporation, limited liability company, trust, joint
venture, association, company, partnership, any governmental authority or other entity.
1.2 Accounting Terms. Except as provided otherwise herein, all accounting terms not
specifically defined herein shall be construed in accordance with GAAP consistent with those
applied in the preparation of the City's financial statements submitted to the Bank as part of its
application for the Loan and financial statements submitted pursuant to this Agreement shall be
prepared in accordance with such principles, except interim financial data may be subject to year-
end adjustments.
1.3 Terms Generally. The definitions of terms herein shall apply equally to the
singular and plural forms of the terms defined. Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms. The words "include",
"includes" and "including" shall be deemed to be followed by the phrase"without limitation".
The word "will" shall be construed to have the same meaning and effect as the word "shall".
Unless the context requires otherwise (a) any definition of or reference to any agreement,
instrument or other document herein shall be construed as referring to such agreement,
2
B. On July 1, 2018, July 1, 2023 and July 1, 2028 the City shall have the
option to convert interest on the Loan to a variable rate equal to the
Bank's prime rate of interest then-prevailing on the date of such
conversion.
Provided, nevertheless, that no rate of interest charged under this
subsection (B) shall be greater than seven percent (7.00%) per annum,
nor less than two and three-quarters percent (2.75%)per annum.
C. Interest shall be calculated on the basis of actual days elapsed in a 365 day year
including holidays and days on which the Bank is not open for the conduct of
banking business. The City shall pay the Bank all accrued interest annually on
June 30th of each year, commencing June 30, 2012.
2.5. Promises to Pay.
A. The City promises to pay to the Bank: (i) the principal amount of the Loan
together with interest on the Loan computed as provided herein and in the Note; (ii) any and all
other costs, expenses and charges chargeable to or reimbursable by City as provided herein and
in the other Loan Documents; and (iii) all taxes, charges and expenses of every kind or
description (except for taxes based upon or measured by the income or profits of the Bank and
except as otherwise specifically excluded). including attorneys' fees and expenses of litigation,
reasonably incurred or expended by the Bank in connection with the preparation of this
Agreement or any amendment hereof,the making of the-Loan, collection of Obligations, and the
protection or enforcement of the Bank's rights hereunder and under any other Loan Document.
All payments due under the Loan Documents shall be made in lawful currency of the United
States of America in immediately available funds.
B. The City authorizes the Bank to charge the interest, charges, and principal
payments due under this Agreement to the Loan Account, or to any other deposit account
maintained by the City with the Bank.
C. Following the occurrence and during the continuance of an Event of Default
hereunder, to the extent permitted by law, on any overdue principal, interest and expense amounts,
the City shall pay interest,payable on demand, at the then-prevailing rate established under Section
2.4.
D. The City shall cause all payments under this Agreement and the Note to be paid to
the Bank and deposited into such accounts designated by the Bank, under the Bank's dominion and
control. The Bank is authorized, without further direction, to apply funds paid by the City
herewith to the payment of all accrued and unpaid interest due under the Note and, if an Interest
Rate Agreement is entered into between the City and the Bank, payments due under the Interest
Rate Agreement and may withhold funds as it determines may be necessary to make the payments
due on the Note.
2.6. Recording of Loan. The Bank shall record the Loan and all payments made by the
City on account of the Note paid to the Bank at its office in cash or solvent credits, and may
4
the validity and enforceability of the Note and other Loan Documents, compliance with applicable
law, and exemption from taxation.
5.2 Bond Resolution; Note. The Bank shall have received a copy, certified by the
City Clerk of the City, of the Bond Resolution. The Bank shall have received the original of the
Note, duly executed and delivered by the City.
5.3 Instruments. All instruments and documents whose execution and delivery are
required or contemplated by this Agreement and the other Loan Documents and such other and
further instruments and documents as the Bank may reasonably require shall have been duly
executed and delivered in the form and in substance satisfactory to the Bank.
5.4 Closing Expenses. The City shall pay or reimburse the Bank for closing expenses,
including reasonable attorneys' fees, incurred by the Bank in connection with the Loan, and the
Loan Documents.
5.5 Compliance Certificate. The City shall provide upon closing signed by the City
Manager, the Chair of the City's City Council, or chief financial officer of the City stating that no
Event of Default exists, or if any default exists, describing the nature thereof and any action the
City is taking or proposes to take with respect thereto.
6. REPRESENTATIONS AND WARRANTIES.
To induce the Bank to make the Loan, the City hereby represents and warrants to the Bank
that:
6.1 Existence and Authority of City. The City was duly created and validly exists
under the laws of the State of Vermont as a body corporate and politic, with full authority and
power to undertake the transactions contemplated by this Agreement and the Loan Documents,
and to carry out its obligations hereunder and thereunder. The City has duly adopted the Bond
Resolution and has duly authorized the execution and delivery of this Agreement and all Loan
Documents to which it is a party. The portions of all meetings at which any necessary proceedings
relating to the Loan Documents were taken were open to the public and notice of the time and place
of such meetings was given in accordance with 1 V.S.A. §312 as amended, as well as in compliance
with all public bid and procurement statutes, ordinances and regulations.
6.2 Financial Condition. The balance sheets, statements of income, and other financial
statements and financial data of the City furnished to the Bank to induce the Bank to enter into this
Agreement are complete and correct and fairly present the financial condition of the City as of the
dates thereof and the results of the operations of the City for the periods covered by such
statements, all in accordance with GAAP. There has been no material adverse change(financial or
otherwise) in the business or operations of the City since the date of such financial statements. No
information, exhibit, or report furnished by the City to the Bank to induce the Bank to enter into
this Agreement or in any way connected with this Agreement or the negotiations thereof, contains
any material misstatement of fact or omits to state a material fact or any fact necessary to make the
statement contained therein not materially misleading.
6.3 No Breach or Violation. The consummation of the transactions hereby
contemplated and performance of this Agreement comply with all applicable laws and regulations
6
annual financial statements, the City shall provide the Bank with (i) a Compliance Certificate and
(ii)the annual budget.
7.3 Maintenance of Insurance. The City will maintain insurance in accordance with
customary and prudent business practices.
7.4 Maintenance of Existence; Maintenance of Licenses and Permits. The City will
preserve and maintain its existence and all permits, licenses, franchises, certificates of public good,
and governmental approvals as may be required for the conduct of its business, as presently
conducted, including all permits,licenses and certificates for its departments.
7.5 Maintenance of Records. The City will keep adequate records and books of
account, in which complete entries will be made in accordance with GAAP, reflecting all financial
transactions of the City, its subsidiaries, if any.
7.6 Maintenance of Properties. The City will maintain, keep, and preserve its business
properties in good working order and condition, ordinary wear and tear excepted.
7.7 Notice of Litigation. The City will notify the Bank promptly after the
commencement thereof of all actions, suits, and proceedings before any court or governmental
department, commission, board, bureau, agency, or instrumentality, domestic or foreign, affecting
the City, that, if determined adversely to the City, could have a material adverse effect on the
financial condition,properties, or operations of the City.
7.8 Pension Fund Contributions. The City shall contribute annually to its public
employee pension plans in amounts equal to or greater than its actuarially-recommended amounts,
for its prior fiscal year, and shall so certify to the Bank.
7.9 Primary Operating Accounts. The City shall maintain primary operating accounts
with the Bank for a minimum of the first seven years of this loan. The Bank agrees to apply a
deposit rate of interest to the City's general fund consistent with other Merchant Bank overnight
sweep rates.
8.0 Actuarial Valuation. The City shall provide annually within 90 days of each
fiscal year, Actuarial Valuation of its pension plan.
8.1 Asset and Investment Statements. The City shall provide annually within 90 days
of each fiscal year end, asset and investment statements on the City's pension funds.
8.2 Budget Reporting. The City shall provide quarterly within 30 days of each
quarter end an actual versus budget comparison.
8.3 Fiscal Year Budget. The City shall provide annually within 30 days of
enactment of the upcoming Fiscal Year budget.
8. NEGATIVE COVENANTS.
Nothing herein shall preclude the City's use of its General Fund or its Enterprise Funds
revenues for the general operational needs of the City in accordance with usual and customary
8
waived by the City; and may pursue any and all remedies provided for hereunder and in any one or
more of the Loan Documents or at law or in equity, including,without limitation,the following:
(a) Exercise all rights under the Loan Documents;
(b) Setoff and apply against any indebtedness or liability of the City to the Bank any
indebtedness owing from the Bank to the City at any time and from time to time either before or
after maturity and without demand upon or notice to anyone; and
(c) No remedy conferred upon or reserved to the Bank in the Loan Documents is
intended to be exclusive of any other available remedy or remedies, but each and every such
remedy shall be cumulative and shall be in addition to any other remedy given hereunder or in any
other Loan Document or now or hereafter existing at law or in equity or by statute and the exercise
of any remedy or remedies shall not be an election of the remedies. The remedies and rights of the
Bank may be exercised concurrently, alone or in any combination.
11.2 Cooperation of the City. The City agrees to cooperate with the Bank in
effectuating the purposes hereof notwithstanding any unanticipated inability of the City to pay the
Note or otherwise perform the obligations of this Agreement or any other Loan Document.
12. MISCELLANEOUS.
12.1 Assignment of Agreement by City. Neither this Agreement nor the proceeds of the
Loan shall be assignable by the City without the Bank's prior written consent, and any attempted
assignment without the Bank's prior written consent shall, after Closing, constitute an Event of
Default.
12.2 Assignment of Agreement by Bank. This Agreement and the other Loan
Documents may be assigned, in whole or in part, by the Bank and its successors or assigns, which
may receive servicing, brokerage; or other fees. The Bank shall provide the City with a notice of
any such assignment. The City's consent shall not be required for any such assignment. The City
agrees to do any act or execute any additional documents reasonably requested by the Bank in
connection with such an assignment.
12.3 Revisions of Agreement. No change or modification of this Agreement shall be
valid unless the same is in writing and signed by the parties hereto.
12.4 Waiver. Neither the failure to exercise, nor the delay in exercising, any right,
power, or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or
partial exercise or any right, power or privilege preclude any other or further exercise of any other
right,power, or privilege.
12.5 Notices. Any demand upon or notice to the City hereunder shall be effective when
delivered by hand or when properly deposited in the mails postage prepaid, or sent by telex,
answerback received, or electronic facsimile transmission, receipt acknowledged, or delivered to a
telegraph company or overnight courier, in each case addressed to the City at the address shown
below or as it appears on the books and records of the Bank. Any notice by the City to the Bank
shall be given as aforesaid, addressed to the Bank at the address shown below or such other address
as the Bank may advise the City in writing.
10
administration of the Agreement, the Loan or the collateral therefore, and any Loan Documents,
including, without limitation, the reasonable fees and out-of-pocket expenses of counsel for the
Bank, and local counsel who may be retained by said counsel,with respect thereto and with respect
to advising the Bank as to its rights and responsibilities under any of the Loan Documents, and all
costs and expenses, if any, in connection with the enforcement of any of the Loan Documents. In
addition, the City shall pay any and all stamp and other taxes and fees payable or determined to be
payable in connection with the execution, delivery, filing, and recording of any of the Loan
Documents and the other documents to be delivered under any such Loan Documents, and
brokerage fees or commissions, and agrees to save the Bank harmless from and against any and all
liabilities with respect to or resulting from any delay in paying or omission to pay such fees,
premiums, costs and charges.
12.12 Severability of Provisions. Any provision of any Loan Document which is
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the
extent of such prohibition or unenforceability without invalidating the remaining provisions of
such Loan Document or affecting the validity or enforceability of such provision in any other
jurisdiction.
12.13 Headings. The headings in the Loan Documents are included for the convenience
of reference only and shall not constitute a part of the applicable Loan Documents for any other
purpose.
12.14 Survival. This Agreement shall survive the Closing and each and everyone of the
obligations and undertakings of the City set forth in this Agreement shall be continuing obligations
and undertakings and shall not cease or terminate until the entire outstanding principal amount of
the Loan, together with all interest and fees due thereon and any other amounts which may be due
pursuant to this Agreement, shall have been paid in full, and until the Obligations and undertakings
of the City shall have been fully paid, completed and discharged.
IN WITNESS WHEREOF,the City and the Bank, acting by and through their duly
authorized agents,have caused this Agreement to be executed as of the date first above written.
CITY OF SOUTH BURLINGTON
ATTEST:
By:
City Clerk
Chair, City Council
BANK: MERCHANTS BANK
By:
Witness
Its Vice President and Duly
Authorized Agent
12
EXHIBIT 1
CITY OF SOUTH BURLINGTON
REFUNDING RESOLUTION AND CERTIFICATE
We, the City Clerk of the City of South Burlington (herein the "Municipality"),
and a majority of the City Council of said Municipality (herein the "legislative body"), do
certify that the following resolutions were duly adopted at a meeting of the legislative
body of said Municipality, duly noticed, called and held on July 18, 2011, and that the
same are duly recorded in the records of said Municipality and that said resolutions and
the actions taken at said meeting have not been rescinded, abridged or modified in any
way:
WHEREAS, at June 30, 2010 there exists a deficit (as defined in 24 V.S.A.
§1523(c)) in the amount of$8,168,858 attributable to unfunded municipal employee
pension plan contributions, which deficit is more particularly described by reference to
Exhibit A hereof; and
WHEREAS, the legislative body of the Municipality hereby finds that the public
good and necessity and the best interests of the Municipality require the issuance of a
refunding obligation by the Municipality under the provisions of 24 V.S.A. §1523(a),
1771-1772, the proceeds of which shall be used to refund the deficit above-described;
WHEREAS, the Municipality has solicited proposals for the purchase of its deficit
refunding obligation, and as a result thereof has received a proposal from Merchants
Bank dated March 10, 2011, attached hereto as Exhibit D, the terms of which have been
and herby are accepted;
NOW; THEREFORE, BE IT RESOLVED THAT:
(1) the outstanding deficit, above-described, be refunded by the issuance of a
single General Obligation Refunding Note of the Municipality, acting by and through its
legislative body, under the provisions of 24 V.S.A., §§ 1523(a),1771-1772 (herein the
"Note").
(2) The Note shall:
(a) Be fully registered as provided by law initially in the name of the
Merchants Bank, or registered assigns;
(b) Bear interest thereon to be paid annually at the rate set forth in said
1
time of receiving the proceeds of the Loan shall be substantially in the form attached
hereto, as Exhibit D, which Note is hereby awarded and sold to the Merchants Bank at a
price of par;
(10) Execution of the above-referenced Loan Agreement between the
Municipality and the Merchants Bank is hereby authorized, the presiding office of the
legislative body of the Municipality being directed to execute said Loan Agreement on
behalf of the Municipality and the legislative body thereof.
(11) The Municipality expressly incorporates into this resolution each and every
term, provision, covenant and representation set forth at length in the above-described
Loan Agreement and the Tax Certificate (Exhibit 5) to be delivered in connection with
the issuance and sale of the Note, execution and delivery of each of which is hereby
authorized, ratified and confirmed in all respects, and the covenants, representations and
undertakings set forth at length in said Loan Agreement and Tax Certificate are
incorporated herein by reference.
(12) All acts and things heretofore done by the lawfully constituted officers of the
Municipality, and any and all acts or proceedings of the Municipality and of its
legislative body in, about or concerning the issuance of the Note or other evidence of debt
in connection therewith, are hereby ratified and confirmed.
(13) The proceeds of the Note shall be deposited to the credit of the Municipality
in Merchants Bank, Account No. , or such other bank as may be
designated by the Municipality and the Merchants Bank, and shall be disbursed as soon
as may be practical, but in no event more than thirty (30) days from the date of delivery
of the Note to the Merchants Bank, to refund the deficit described in Exhibit A hereof.
(14) The Municipality shall not directly or indirectly use or permit the use of any
proceeds of the Note or any other funds of the Municipality, or take or omit to take any
action, so as to cause any outstanding obligation of the Municipality to be classified as an
"arbitrage bond" or"private activity bond" within the meaning of Sections 103, 141 and
148 of the Internal Revenue Code of 1986, as amended."
And we, the undersigned officers, as indicated, hereby certify that we as such
officers have signed the Note dated as of July 19, 2011, payable as aforesaid, and reciting
that it is issued under and pursuant to the actions hereinabove mentioned, and we also
certify that the Note is duly registered in the office of the Treasurer of the Municipality as
prescribed by law.
And we, the said officers of the Municipality, hereby certify that we are the duly
chosen, qualified and acting officers of the Municipality as undersigned, that the Note is
3
i v
Dated: July 18, 2011
ATTEST: CITY OF SOUTH BURLINGTON
By:
Clerk
All or a Majority of its City Council
And by:
It's Treasurer
JPG:ja
[6580-20]
5
❖ DENOMINATION OF BOND: There will be one bond issued in a denomination up to
$8,200,000.00.
❖ PREPAYMENT PROVISION: The bond may not be prepaid at any time without penalty,
though principal reductions are allowed outside of the payment schedule without penalty.
Should the City elect to refinance any portion of this general obligation debt through another
financial resource the following prepayment penalties will be imposed:
> Year 1 —5: 5.00%penalty of total outstanding indebtedness
> Year 6— 10: 4.00%penalty of total outstanding indebtedness
> Year 11 — 15: 3.00%penalty of total outstanding indebtedness
> Year 16—20: 2.00%penalty of total outstanding indebtedness
+ CONFIRMATIONS: The City must confirm in writing that:
> The City will comply with all aspects of the Internal Revenue Code of 1986, as amended,
including all provisions relating to arbitrage and rebate.
> All public bid, procurement and request for proposals statutes, ordinances and regulations
have been complied with; and
> All federal informational returns with respect to the borrowing will be filed in a timely
manner.
•
❖ SUBMISSION OF FINANCIAL STATEMENTS: The City will submit their most recent past
three years' financial statements prior to closing. Updated financial statements are required
on an annual basis prior to March 1 for the preceding fiscal year through the term of the note.
❖ PENSION FUNDING COVENANT: The City's annual contribution to the pension fund will
be at or above the actuarially recommended levels.
❖ SUBMISSION OF ASSET AND INVESTMENT STATEMENTS: Updated asset and
investment statements on the City's pension funds are required on an annual basis prior to
March 1 for the preceding fiscal year through the term of the note.
❖ LEGAL OPINION&LOAN DOCUMENTATION: This bid is subject to a legal opinion from
bond counsel acceptable to the Bank, the cost to be borne by the City. The opinion must
include a statement that the Bond represents a valid and binding general obligation of the
issuer, one that it is lawfully authorized and issued.
EXHIBIT D
City of South Burlington - Level Payment Amortization
Updated June 23,2011
Enter Values Loan Summary
Loan Amount $8,168,158 00 Scheduled Payment; $ 660,948.13
Rate 1 -7:Fixed I —t
I
5.125% 5.125% , !Scheduled Number of Payments) 20
*Annual Interest Rate Year 8-12:' I
FHLB 8/13+225 BPs(Floor 3.5%,i
Cap 7.00%) *Annual; 1
Interest Rate Year 13-17:FHLBI I
5/8+225 BPs(Floor 3.5%,Cap! I j
7.00%) *Annual I
Interest rate Year 18-20:FHLB
3/3+225 BPs(Floor 3.5%,Cap
7.00%) TBD
Loan Period in Years _ 20 Actual Number of Payments 20
Number of Payments Per Year L 1 1 Total Early Payments I $
Start Date of Loan; 7/19/2011 1 Total Interestr$5,050,804.53 i
Optional Extra Payments) ---_
-- .. ---
Lender Name:LMerchants Bank J
Pmt Payment Beginning Scheduled Extra Total Ending
No. Date Balance Payment Payment Payment Principal Interest Balance
1 6/30/2012 $ 8,168,158.00 $ 660,948.13 $ - $ 660,948.13 $ 262,974.21 $ 397,973.92 $ 7,905,183.79
2 6/30/2013 7,905,183.79 $ 660,948.13 - 660,948.13 $ 255,807.46 405,140.67 7,649,376.33
3 6/30/2014 7,649,376.33 $ 660,948.13 - 660,948.13 $ 268,917.60 392,030.53 7,380,458.73
4 6/30/2015 7,380,458.73 $ 660,948.13 - 660,948.13 $ 282,699.62 378,248.51 7,097,759.11
5 6/30/2016 7,097,759.11 $ 660,948.13 - 660,948.13 $ 296,191.37 364,756.76 6,801,567.74
6 6/30/2017 6,801,567.74 $ 660,948.13 • - 660,948.13 $ 312,367.78 348,580.35 6,489,199.96
7 6/30/2018 6,489,199.96 $ 660,948.13 - 660,948.13 $ 328,376.64 332,571.49 6,160,823.32
REVISED 8 6/30/2019 6,160,823.32 $ 660,948.13 - 660,948.13 $ 345,205.93 315,742.20 5,815,617.39
9 6/30/2020 5,815,617.39 $ 660,948.13 - 660,948.13 $ 362,081.16 298,866.97 5,453,536.23
RATE/ 10 6/30/2021 5,453,536.23 $ 660,948.13 - 660,948.13 $ 381,454.40 279,493.73 5,072,081.83
11 6/30/2022 5,072,081.83 $ 660,948.13 - 660,948.13 $ 401,003.94 259,944.19 4,671,077.89
PAYMENT 12 6/30/2023 4,671,077.89 $ 660,948.13 660,948.13 $ 421,555.39 239,392.74 4,249,522.50
13 6/30/2024 4,249,522.50 $ 660,948.13 - 660,948.13 $ 442,563.42 218,384.71 3,806,959.08
CALC 14 6/30/2025 3,806,959.08 $ 660,948.13 - 660,948.13 $ 465,841.48 195,106.65 3,341,117.60
15 6/30/2026 3,341,117.60 $ 660,948.13 - 660,948.13 $ 489,715.85 171,232.28 2,851,401.75
16 6/30/2027 2,851,401.75 $ 660,948.13 - 660,948.13 $ 514,813.79 146,134.34 2,336,587.96
YEAR 8- 17 6/30/2028 2,336,587.96 $ 660,948.13 - 660,948.13 $ 540,869.91 120,078.22 1,795,718.05
18 6/30/2029 1,795,718.05 $ 660,948.13 - 660,948.13 $ 568,917.58 92,030.55 1,226,800.47
20 19 6/30/2030 1,226,800.47 $ 660,948.13 - 660,948.13 $ 598,074.61 62,873.52 628,725.86
20 6/30/2031 628,725.86 $ 660,94806 - 660,948.06 $ 628,725.86 32,222.20m 0.00_
Exhibit 2
Form of Compliance Certificate
MERCHANTS BANK
P.O. Box 1009
Burlington, Vermont 05402
Ladies and Gentlemen:
Pursuant to and in accordance with Section 5.5 of the Loan Agreement dated as of July
18, 2011 (as such Agreement may be supplemented or amended, the "Loan Agreement"), by and
between the City of South Burlington, Vermont (the "City") and Merchants Bank (the "Bank"),
in my capacity as 1 1 and duly authorized agent for the City, I hereby certify as
follows:
1. No Event of Default has occurred and no event or condition exists that, with the passing
of time or the giving of notice, or both, would constitute an Event of Default, under the Loan
Agreement.
Capitalized terms used herein shall have the meanings defined in the Loan Agreement.
Date: July 18, 2011
CITY OF SOUTH BURLINGTON, VERMONT
By:
Title:
City of South Burlington
Retirement Income Plan
Actuarial Valuation
As of July 1, 2010
People's United Bank,Retirement Services
Exhibit 3
CITY OF SOUTH BURLINGTON
RETIREMENT INCOME PLAN
ACTUARIAL VALUATION
AS OF JULY 1, 2010
We, Annie Brown Voldman, and S. Tracy Braun, are Members of the American Academy of
Actuaries and meet the Qualification Standards of the American.Academy of Actuaries to render
the Actuarial opinion contained herein.
We have made an actuarial valuation of this Plan as of July 1, 2010. The valuation has been
prepared in accordance with generally accepted actuarial principles and practices and, to the best
of our knowledge, fairly reflects the actuarial position of the Plan as of July 1, 2010.
In preparing this valuation, we have relied upon our interpretation of Plan provisions and
employee census data and Plan asset data provided by the Plan Sponsor and Trustee.
The actuarial present values shown herein have been estimated on the basis of actuarial
assumptions which, in our opinion, are reasonable in the aggregate, and, when applied in
combination, represent our best estimate of the measure of anticipated experience under the
Plan.
'kl\/11riti
Annie Brown Idman, MAAA, COPA
Enrolled Actuary.#08-3964
a
S.Tracy Braun AAA
Enrolled Actuary#08-2264
OCkl e A, ad to
Date
People's United Bank,Retirement Services
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the xeement teems us iven•�n tb e bexe°f- e ate ° m•Abe xautoenatic t'
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Any fraction of a year shall be calculated to include the full month in which
prepayment occurs plus any prior months in the year in which prepayment
occurs, divided by twelve. A prepayment penalty shall not apply to certain
prepayments described in Section 2.7 of the Loan Agreement. The City
agrees that acceleration of the maturity of this Note following an Event of
Default shall be a prepayment of the Note, and the amount of the prepayment
penalty may be included by Bank in any judgment which may be taken against
City under the Note. Prepayments are also subject to any requirements and/or
provisions of any Interest Rate Agreement now or hereafter executed by and
between City and Bank with respect to this Note.
Both principal and interest on this Note are payable in lawful
money of the United States at Merchants Bank in the City of Burlington, State
of Vermont, on or before 3:00 p.m. (Burlington, Vermont time) on the due
date thereof. Final payment of the interest and principal of this Note shall be
made upon surrender of this Note for cancellation.
Payments received by the Bank prior to the occurrence of an Event
of Default (as defined below) will be applied first to billed interest accruing to
the next scheduled annual interest payment date, second; to outstanding
principal; third to fees, expenses and other amounts due hereunder and under
the Loan Agreement; after the occurrence of an Event of Default payments
will be applied to the Obligations as the Bank determines in its sole discretion.
An "Event of Default" under and as defined in the Loan Agreement shall be
deemed an Event of Default hereunder.
To the extent permitted by applicable law, upon and after the
occurrence of an Event of Default (whether or not the Bank has accelerated
payment on this Note), interest on principal and overdue interest shall, at the
then-prevailing rate of interest herewith option of the Bank, be payable on
demand. Upon an Event of Default, or at any time thereafter, at the option of
the Bank, all Obligations of the City, which include (but are not limited to) the
amounts evidenced by this Note, shall become immediately due and payable
without notice or demand. All rights and remedies of the Bank are
cumulative and are not exclusive of any rights or remedies provided by laws or
any other agreement, and may be exercised separately or concurrently.
This Note is issued by the City for the purpose of funding the
City's municipal employee pension fund contributions under and by virtue of
No. 121 of the Acts of 1971, as amended, Sections 1523(a) and 1771-1772 of
Title 24, Veiuiont Statutes Annotated, and resolutions duly adopted by its City
Council.
No delay or omission on the part of the Bank in exercising any
right hereunder shall operate as a waiver of such right or of any other right
under this Note. No waiver of any right or amendment to this Note shall be
effective unless in writing and signed by the Bank nor shall a waiver on one
occasion be construed as a bar to a waiver of any such right on any future
IN TESTIMONY WHEREOF, the City has caused this Note to be
signed by its City Council and its Treasurer and its seal (if it has a seal) to be
affixed hereto as of July 18, 2011.
CITY OF SOUTH BURLINGTON
ATTEST:
City Clerk
All or a majority of Its City Council
And By:
City Treasurer
EXHIBIT 5
TAX CERTIFICATE
(General Obligation)
(Pension Fund Contribution)
The City Treasurer of the City of South Burlington(the "City"), HEREBY
CERTIFIES and reasonably expect with respect to the issuance of and the use of
proceeds of the $8,168,858 General Obligation Refunding Note (the "Note"), dated
July 19, 2011, as follows:
1. I am an officer of the City duly charged and responsible for issuing the
Note. The certifications and expectations set forth in this document are being given
pursuant to Section 1.148-2(b)(2)(i) of the Regulations promulgated under Section 148 of
the Internal Revenue Code of 1986(the "Code").
2. The dates, maturities, denominations and rates of interest of the Note are as
shown and more fully described in Schedule A, attached hereto.
3. The proceeds of the Note will be used for funding of the City's public
employees pension plan.
4. The City will comply with Section 6001 of the Code for guidance in
establishing and maintaining records relating to the Note.
5. The City has not received notice that it has been listed by the
Commissioner of Internal Revenue as an issuer that may not certify its obligations, nor
has it been advised that the Commissioner is contemplating listing the City as a
governmental unit that may not certify its obligations.
6. This certification has been delivered as part of the record of proceedings
and accompanying certificates with respect to the issuance of the Note.
7. It is expected that the proceeds of the sale of the Note will be used in a
manner which will cause the Note to be a "private activity bond" under Section 141 of
the Code.
8. The proceeds of the sale of the Note shall not be deposited, commingled or
expended in a manner that would cause any other obligations of the City to be classified
as "arbitrage bonds" or "private activity bonds"under Sections 103, 141 and 148 of the
Code.
9. Other than the Note, no other obligations of the City are:
Schedule A
1. Title of Bonds: $8,168,858 City of South Burlington General Obligation
Refunding Note
Total Principal Amount: $8,168,858
Dated: July 19, 2011
Maturity Date(s) Principal Amount(s) Interest Rate(s)
As per attached Loan Agreement and General Obligation Refunding Note
2. Title of Authorizing Resolution(s) or Ordinance(s)
Resolution and Certificate of City Council July 18, 2011.
3. Project Estimated Date Estimated Date
of Completion All Proceeds Expended
Pension Fund Completed Even Date
Contribution
EXHIBIT 6
No. R-1
CITY OF SOUTH BURLINGTON$8,168,858 GENERAL
OBLIGATION REFUNDING NOTE DATED July 19, 2011
CERTIFICATE OF REGISTRATION
It is hereby certified that this note is a fully registered note, the
principal and interest due thereon payable only to the holder of record as
appears in the office of the Treasurer of the issuing City. This note may be
transferred by presentation of the same with an assignment in writing signed
by the registered holder. Presentation shall be made to the Treasurer of the
City at the office of the Treasurer of the City who shall record such transfer in
the records of the City and on the note. The name and address of the original
registered owner of this note is Merchants Bank, P.O. Box 1009, Burlington,
VT 05401.
Dated as of 18th day of July, 2011.
City Treasurer
LAW OFFICES
McNEIL, LEDDY & SHEAHAN
A PROFESSIONAL CORPORATION
JOSEPH C.McNEIL(1919-I978) 271 SOUTH UNION STREET
JOSEPH E.McNEIL BURLINGTON.VERMONT 05401
JOHN T.LEDDY
NANCY GO55 SHEAHAN TELEPHONE
WILLIAM F.ELLIS (804)863-4531
SUSAN GILF[LLAN
JOSEPH A.FARNHAM TELECOPIER
KEVIN J.COYLE+ (802)863-1743
KIMB£RLEE J.STURTEVANT
COLIN K.McNEIL
(*ALSO ADMITTED IN N.Y.) July 18,2011
City of South Burlington
Municipal Office Building
575 Dorset Street
South Burlington,VT 05403
Re: $8,168,858 Loan Agreement dated July 18,2011 Between Merchants Bank
(Bank)and the City of South Burlington,Vermont(City).
Ladies and Gentlemen:
As legal counsel to the City, we have examined(a)a certain Loan Agreement
(Agreement) dated as of July 18,2011,and Exhibits thereto(Exhibits)between the City and the
Bank (in combination,the Loan Documents)which, among other things,provide for the Bank to
make a loan to the City in the amount of$8,168,858 for the purpose of funding a contribution by
the City to its Pension Plan for City employees (Pension Plan), (b) an executed counterpart of the
resolutions of the City which,among other things, authorize the City to execute the Loan
Documents and(c)such other opinions, documents and matters of law as we have deemed
necessary in connection with the following opinions.
Based on the foregoing,we are of the following opinions:
(1) The City is a public body corporate and politic, duly organized and existing under
the laws of the State,and has a substantial amount of at least one of the following
sovereign powers: (a)the power to tax, (b)the power of eminent domain,and(c)
police power.
(2) The City has the requisite power and authority to own,maintain,operate,
improve, and extend its Pension Plan.
(3) Lessee has the requisite power and authority to enter into the Loan Documents.
(4) The Loan Documents have been duly authorized, approved and executed by and
on behalf of the City and are valid and binding obligations of the City and
a
CONTINUING DISCLOSURE CERTIFICATE
This Continuing Disclosure Certificate (the "Disclosure Certificate") is executed
and delivered by the City of South Burlington, Vermont (the "Issuer") in connection with
the issuance of$8,168,858 General Obligation Refunding Note dated July 19, 2011 (the
"Note"). The Note is being issued pursuant to a Resolution dated June 18, 2011 (the
"Resolution"). The Issuer covenants and agrees as follows:
SECTION 1. Purpose of the Disclosure Certificate. This Disclosure Certificate
is being executed and delivered by the Issuer for the benefit of the holders of the Note and
any beneficial owners thereof and in order to comply with SEC Rule 15c2-12(b)(5). The
Note is an exempt offering of municipal securities under SEC Rule 15c2-12(d)(1) and (2)
in that the Issuer has less than $10,000,000 in aggregate amount of outstanding municipal
securities, including the Note and excluding outstanding securities of the Issuer that are
exempt under SEC Rule 15c2-12(d)(1), and that the Note is being sold to a person
described in SEC Rule 15c2-12(d)(1)(i)(A-B).
SECTION 2. Definition. As used in this Disclosure Certificate, the following
capitalized terms shall have the following meanings:
"Annual Report" shall mean any Annual Report provided by the Issuer pursuant to,
and as described in Sections 3 and 4 of this Disclosure Certificate.
"Dissemination Agent" shall mean the Issuer or any successor Dissemination
Agent designated in writing by the Issuer and which has filed with the Issuer a written
acceptance of such designation.
"Listed Events" shall mean any of the events listed in Section 5(a) of this
Disclosure Certificate.
"National Repository" shall mean any Nationally Recognized Municipal Securities
Information Repository for purposes of the Rule, those having been approved by the
Securities and Exchange Commission, including the Electronic Municipal Market Access
System.
"Participating Underwriter" shall mean any of the original underwriters of the
Note required to comply with the Rule in connection with offering of the Note.
"Repository" shall mean each National Repository and each State Repository.
"Rule" shall mean Rule 15c2-12(b)(5) adopted by the Securities and Exchange
Commission under the Securities Exchange Act of 1934, as the same may be amended
from time to time.
(d) A request for annual financial information under Section 3(a) shall be made
to:
City of South Burlington
575 Dorset Street
South Burlington, VT 05403
Attn: City Manager
SECTION 4. Content of Annual Reports. The Issuer's Annual Report shall
contain or incorporate by reference the Issuer's audited fmancial statements and relevant
demographic, utilization and pupil attendance information. In addition, the Issuer's
Annual Report shall include debt structure, annual budget, tax collection, and property
valuation information.
SECTION 5. Reporting of Significant Events.
(a) This Section 5 shall govern the giving of notice of the occurrence of any of
the following Listed Events:
1. principal and interest payment delinquencies;
2. non-payment related defaults;
3. modifications to rights of holders of obligations of the Issuer;
4. optional, contingent or unscheduled bond calls;
5. defeasances;
6. rating changes;
7. adverse tax opinions or events adversely affecting the tax-exempt status of
Note;
8. unscheduled draws on debt service reserves reflecting financial difficulties;
9. unscheduled draws on credit enhancements reflecting financial difficulties;
10. substitution of credit or liquidity providers, or their failure to perform;
(a) Whenever the Issuer obtains knowledge of the occurrence of a Listed
Event, the Issuer shall as soon as possible determine if such event would constitute
material infoiination for holders of obligations of the Issuer, provided, that any event
under subsection (a)(4), (5) or (6) will always be deemed to be material.
}
SECTION 11. Duties, Immunities and Liabilities of Dissemination Agent. The
Dissemination Agent shall have only such duties as are specifically set forth in this
Disclosure Certificate, and the Issuer agrees to indemnify and save the Dissemination
Agent, its officers, directors, employees and agents, harmless against any loss, expense
and liabilities which it may incur arising out of or in the exercise or performance of its
powers and duties hereunder, including the costs and expenses (including attorneys fees)
of defending against any claim of liability, but excluding liabilities due to the
Dissemination Agent's negligence or willful misconduct. The obligations of the Issuer
under this Section shall survive resignation or removal of the Dissemination Agent and
payment of the Bonds.
SECTION 12. Beneficiaries. This Disclosure Certificate shall inure solely to the
benefit of the Issuer, the Dissemination Agent, and holder from time to time of the Note,
and shall create no rights in any other person or entity, except as specifically provided
herein.
Dated: July 18, 2011
City of South Burlington
By:
Chair, City Council
Any By:
City Treasurer
JPG:pw
[6580-20]
City Of South Burlington, Grant Request Form
Prior to applying for a grant please complete this form and submit to Assistant City Manager..
Please submit at least two weeks prior to City Council approval meeting. Extenuatingcircumstances which do not permit two
weeks notice should be brought to the attention of the Assistant City Manager as soon as possible.
Please attach actual grant application form—either blank-o-_completed
_Trevor Whipple, Chief of Police _July 6, 2.011_-
Name and title of person completing this form(Project Manager) Date
• 1. Name/title of grant and submittal deadline date: Justice Assistance Grant,July 21,2011
2. What specifically is the grant's purpose? The JAG Program, administered by the Bureau of Justice
Assistance(BJA), is the leading source of federal justice funding to state and local jurisdictions.
The JAG Program provides states, tribes, and local governments with critical funding necessary to
support a range of program areas including law enforcement,prosecution and court,prevention
and education, corrections and community corrections, drug treatment and enforcement,planning,
evaluation, and technology improvement, and crime victim and witness initiatives.
3. What does the grant fund and not fund(be specific)? The grant funds what is specifically listed in the grant
application. The intent is to use these funds to support the change to a iiew CAD/RMS (computer aided
dispatch and records management system), analysis of race data information, a computer to support the
SMART board and continued sponsorship of a supervisory officer to attend leadership training(the
International Chiefs of Police Conference). •
4. Total Project Cost:
a. Amount of grant: $13,242
b. Is there a City match required,how much and in what fiscal year(s)? No match required.
c. Are there other grants"tied into" or being used as a match for this grant of which are matching
funds for this grant? No. . .
5. From what budget line will match be paid, and is there unencumbered money to pay it? No match.
6. Is there a cost to the city upon grant conclusion, and if yes,please describe? No cost beyond what would
already be required. The CAD/RMS will have reoccurring cost but that would take place no matter how we
fund the initial project.
7. Is grant for stand alone project,and if no,how does grant fit into another project(describe in some detail)?
Use of this grant for CAD/RMS will allow us to move to a more function and less costly system. This will
have long standing budget savings. All other aspects are stand alone.
8. Length of grant-will the grant cross fiscal year(s)? Two to three years. Depending on when the grant is
issued there is a three year"spend by"date from the original date of notice.
•
9. Who will apply for grant(name/title)? Trevor Whipple,Chief
10. How much time will it take to complete grant application form? 45 minutes
11. How likely is it that we will receive grant? 100%. The funds are already allocated we need only apply for
them.
12. Who will manage(project manager)grant and grant paperwork if approved(if different person than who is
filling out this form),what are any grant compliance requirements,how much time will this take and how is
that time available? Are there funds available in the grant to pay for our administrative costs? Can in-kind
service be used as part of the City match? Trevor Whipple. Quarterly reports required and annual
programmatic reports. No funding for administrative cost. No match.
City of South Burlington,Vermont
Capital Equipment Note
Friday,June 24,2011
($587,000)
Bid Sheet
Merchants Bank' Northfield Savings Bank2 People's United Bank3
12 mo. 1.84% 1.95% -
48 mo. 2.74% 2.40% 2.65%
Terms & Conditions • No prepayment ■ No prepayment • No prepayment
penalty; penalty; penalty;
• The note will be ■ City of South • `A principal and
issued on or about Burlington fiscal year interest payment
July 22,2011; end 2010 annual due annually;
• All principal and audit; ■ Issued on or
interest must be • All principal and before July
repaid by July 21, interest must be 22,2011;
2015; repaid by July • Final payment
• Rate of interest on 22,2015; due July, 15,
note is"lump sum" • Evidence of approved 2015.
over an actual/365 capital expenditure. ■ "Bid is
day year; • "All loan contingent on
• Total borrowing for documentation must • receiving a legal
2011 not to exceed be satisfactory in all opinion,and any
$10 M. The$8.2 M aspects to the Bank cost associated
will not affect other and its counsel.This with the opinion
borrowings b/c it is commitment does not will be the
taxable debt; contain all terms and responsibility of
■ Compliance with IRS conditions that shall the City."
Code; be contained in the • "Should People's
■ Public bid; loan documents." be awarded the
• The Bank will • "Approval of the borrowing, loan
prepare the loan actual credit facility documents will
documents for shall be subject to be prepared in
execution by City due diligence of the time for the next
Officers at a public borrower and proper City Council
meeting; credit approval by meeting."
• Must submit the past Bank management as
three years of well as the delivery
financial statements; and execution of
■ Legal opinion from documentation in
bond counsel at the form and substance
expense of the Bank. satisfactory to the
lender's legal
counsel."
'Bid shall expire by 5:00p.m. on Tuesday,July 19,2011.
2 Bid shall expire on July 22,2011.
3 No expiration given.
NSBNORTHFIELD
SAVINGS BANK
•
July 13, 2011
Mr. Sanford Miller
City Manager
City of South Burlington
575 Dorset Street
South Burlington,VT 05403
Re: Term Loan Request
Dear Sandy:
I am pleased to inform you that Northfield Savings Bank(the"Bank")has approved your
municipal loan request as outlined below.
Borrower: City of South Burlington,Vermont
Lender: Northfield Savings Bank.
Credit Facility: $587,000.00 Capital Equipment Note.
Pricing: 2.40%fixed for four years.
Payments: On an annual basis the Borrower shall pay principal payments of
$146,750.00 plus accrued interest.
Maturity: July 15,2015.
Fees: Waived.
Prepayment
Penalty: No prepayment penalty will be imposed.
Loan
Documents: The loan described herein will be evidenced by a promissory note and
such other documents as the Bank determines to be appropriate. All loan
documentation must be satisfactory in all respects to the Bank and its
counsel. This commitment does not contain all terms and conditions that
shall be contained in the loan documents.
Other:
This commitment assures that all information provided to date by the Borrower is accurate. The
Bank reserves the right to terminate this commitment and not close the loan in the event: 1)of an
NSB Proudly Donates 10% of Its Profits to Vermont Community Organizations.
60 Wright Ave, PO Box 784,Williston,VT 05495 •T: 802.878.8277 • F: 802.878.0678 • Member FDIC
NORTHFIELD SAVINGS BANK
Loan #40660021492
CITY OF SOUTH BURLINGTON
Capital Expense Note
July 18,2011 $587,000.00
The City of South Burlington, Veiiiiont for value received,promises to pay in lawful money of the United States
to Northfield Savings Bank
*** Five Hundred Eighty Seven Thousand and no/100 ***
Upon presentation and surrender hereof, on the 15th day of July, 2015 with interest meanwhile at the rate of
2.40% per annum, calculated on an actual/360 day basis payable at maturity at Northfield Savings Bank, 33
South Main Street, P 0 Box 347,Northfield,Vermont 05663.
Fixed principal payment of$146,750.00,plus accrued interest, both due annually beginning July 15, 2012.
Payment of this note, may be accelerated by the holder thereof, and the rate of interest specified herein may be
adjusted, as provided in Section (5) of the authorizing resolution of the City of South Burlington City Council
duly adopted on July 18, 2011, the terms of which are incorporated herein by reference thereto. Payment of
interest, as adjusted, shall be an obligation of the City surviving payment of the principal amount of this note
and the stated interest hereon.
This note is issued to meet capital expenses of the City incurred in the exercise of governmental
powers, namely, the acquisition of a Pierce Fire Apparatus - an aerial ladder truck(public safety).
Execution and delivery of this note is authorized by the affirmative vote and resolution duly adopted by the City
of South Burlington City Council at a meeting thereof duly noticed, called and held on July 18, 2011. It is
hereby certified and recited that all acts, conditions and things required to be done precedent to and in the
issuance of this note have been done, have happened, and have been performed in regular and due form as
required by law, and that the full faith and credit of the said City of South Burlington are hereby irrevocably
pledged for payment of this note.
This note shall not be valid unless certified hereon by Northfield Savings Bank.
Dated: July 18, 2011 City of South Burlington City Council
By:
ChAk. Sanford Miller, City Manager
er&
�ttusur�f Duly Authorized Agent per Council Resolution
Date of Disbursal: CERTIFICATE OF NORTHFIELD SAVINGS BANK
By:
John P. Ravaschiere, Commercial Lender
•
NORTHFIELD SAVINGS BANK Loan #406021492
CITY OF SOUTH BURLINGTON
No-Arbitrage and Use of Proceeds Certificate
•
Capital Expense Borrowing
e Treasurer and at least a majority of the City Council of the City of South Burlington, Vermont
We, the
"Issuer") hereby certify and represent as follows with respect to the
$18720101 opayable as thereinl Expenditure
forth:
(the I )
Numbered 406021492 of the Issuer (the "Note"),which Note is dated July ,
ficate.
(1) The Issuer is issuing and delivering the Note with the tdhelivery e responsibility forof this s issuing the Note.
(2)We are the officers of the Issuer charged by law expenditure(s)enditure(s)or the Issuer.
(3)The Note is,being issued to provide funds for the following capital p
To urchase a Pierce Fire A aratus -new aerial ladder truck(the
"Capital
l Eh ensealluch amounts, if any,
(4) The entire amount borrowed by the issuance
of the Note,previously raised or borrowed for the same purpose, does not exceed the amount needed to meet the Capital
en or will
e needed and expended for
Expenses. The Issuer expects that all of the proceeds of the Note have be the first for the Capital
the Capital Expenses of the Issuer within three years after the date of
N
su
Expenses and that the Issuer has incurred, or will incur within six months of the saleo 's issuroceedsate,of all bmountl
stantial
binding obligation to a third party to expend at least five percent of the netP
borrowed to fund the Capital Expenses. An obligation is not binding if it is subject to contingencies within the
Issuer's or a related party's control.
5 The Issuer expects that payments of the Capital Expenses financed by the Note will proceed hereafter
with due diligence.
(6) The Note is not being issued to refund notes or other obligations previously issued for the purpose
that the Issuer acquires with
described in paragraph(3). real and personal property, if any,
(7) The Issuer does not expect that any
the proceeds of the Note, will be sold or otherwise disposed of for consideration prior to the complete
repayment of all principal and interest outstanding under the Note.
(8) The Issuer expects that any earnings or net profit derived from investment or deposit of the pe
the Note, including transferred proceeds, and accrued interest received upon sale of the Note, and premium
of oses and will be expended within
received on the delivery thereof,will be expended only for governmental pure
the period stated in paragraph(4) above. service Issuer
has not created and does not expect to create or establish anydebt om which tds,I bond
(9) The to the payment of the No
er
payment reserve sinking fund, or other similar fund pledged
expects that payment of the Note would be made. reasonab
(10)To the best of our knowledge, information and belief, all of the above
b ex erc ati InternalsareRevenuee to
(11) The Issuer has not been notified of any action by the Commis
disqualify it as an issuer whose arbitrage certificates may be relied upon.
theproceeds derived from the issuance and sale of the Note, nor the expenditures
(12) No part of p
e: Issuer
b
shallthe
the Note, other than
financed by the proceeds o nperson or other entity,
(a) Used, loaned or otherwise made available to any
governmental unit (as used herein, the term "governmental unit" does not include the federal
or another government of the United States or any agency or instrumentality thereof), so as to cause the Note to be
private activity bond, as that term is defined under the United States Internal Revenue Code o
classifiedf
as a
1986, as amended(the"Code"); other than the Issuer or another
(b)Used directly or indirectly in a trade or business by any person
governmental unit so as to cause the Note to be classified as a privatean the Issvity uer;
under the Code;
g ._ �..r.orent� �;rectly or indirectly other _ _ ‘-.or nr more
NORTHFIELD SAVINGS BANK
Loan #406021492
CITY OF SOUTH BURLINGTON CITY COUNCIL
RESOLUTION
Capital Expense Borrowing
WHEREAS, the City of South Burlington City Council is authorized and empowered to borrow money
on the credit of the City of South Burlington, for the purpose of paying capital expenses, namely, to purchase a
Pierce Fire Apparatus -new aerial ladder truck; and
WHEREAS, current funds are not available to pay in full said capital expense, and it is necessary for the
City Council of City of South Burlington to borrow money on the credit of the City for such purpose; and
WHEREAS, in order to have funds available to meet capital expenses as aforesaid, the City Council has
negotiated a temporary loan with Northfield Savings Bank for $587,000.00 to be evidenced by a single
promissory note as hereinafter set forth,which note does not refund and or replace previously issued notes;
THEREFORE, BE IT RESOLVED that the City Council and Treasurer proceed forthwith to complete
said transaction and issue evidence of indebtedness to cover the same; and
BE IT FURTHER RESOLVED that said evidence of debt when issued and delivered pursuant to these
resolutions shall be a valid and binding general obligation of the City of South Burlington payable according to
the terms and tenor thereof from unlimited ad valorem taxes duly assessed on the grand list of taxable property
in said City, as established by law; and
BE IT FURTHER RESOLVED that all acts and things theretofore done by the lawfully constituted
officers of the City of South Burlington and its City Council in, about, or concerning the expenditure of
proceeds of the note are hereby ratified and confirmed.
We, the undersigned City Council and Treasurer, hereby certify that we, in our capacities as such
officers, have signed a single capital expense note, numbered 406021492 dated July 18, 2011 of the following
denomination and maturity in the form hereto attached and made a part hereof;
NUMBER INTEREST DENOMINATION MATURITY
406021492 2.40% $587,000.00 July 15,2015
We, the undersigned hereby certify that the above-described note is issued under and pursuant to the
above resolutions adopted at a duly noticed and warned meeting of the City Council of the City of South
Burlington held July 18, 2011.
We the said City Council and Treasurer hereby certify that we are duly chosen, qualified and acting
officers as undersigned,that the note is issued pursuant to authority,that no proceeding relating thereto has been
taken other than as shown in the foregoing recitals, that no such authority of action has been amended or
repealed and that.there is no litigation threatened or pending in any state of federal court of competent
jurisdiction seeking to enjoin either the issuance of the above-described note or the expenditures being financed
by the proceeds of the same.
We further certify that no litigation is pending or threatened affecting the validity of the note or the
apportionment and assessment of taxes to pay the same when due, that neither the corporate existence nor the
boundaries of the City of South Burlington nor the title of any of us to our respective offices, is being
questioned or contested.
r
Form
803 „ information Return for Tax-Exempt Governmental Obligations
► Under Internal Revenue Code section 149(e)
(Rev.May 2010) OMB No.1545-0720
► See separate instructions.
Department of the Treasury
Internal Revenue Service Caution:If the issue price is under$100,000,use Form 8038-GC.
Part I Reporting Authority If Amended Return, check here ► ❑
1 Issuer's name 2 Issuer's employer identification number,(8N)
City of South Burlington
3 Number and street(or P.O.box if mat is not delivered to street address) Room/suite 4 Report number(For IRS Use Only)
575 Dorset Street 13 '
5 City,town,or post office,state,and ZIP code 6 Date of issue
South Burlington VT 05403 07/18/2011
7 Name of issue 8 CUSIP number
9 Name and title of officer of the issuer or other person whom the IRS may call for more information 10 Telephone number of officer or other person
Sanford Miller,City Manager ( 802 ) 846-4107
Part II Type of Issue (enter the issue price)See instructions and attach schedule
11 Education 11
12 Health and hospital 12
13 Transportation 13
14 Public safety 14 587,000 00
15 Environment(including sewage bonds) 15
16 Housing 16
17 Utilities 17
18 Other. Describe► 18
19 If obligations are TANs or RANs, check only box 19a ► El
If obligations are BANs, check only box 19b ► El
20 If obligations are in the form of a lease or installment sale, check box ► ❑'
attoe
Part III Description of Obligations. Complete for the entire issue for which this form is being filed.
hted
(a)Final maturity date (b)Issue price (°)Stated
at maturity redemption averagetgmaturty (e)Yield
21 7/15/15 $ 587,060.00 $ 587,000.00 2,5 years 2.40 %
Part IV Uses of Proceeds of Bond Issue (including underwriters' discount)
22 Proceeds used for accrued interest 22
23 Issue price of entire issue (enter amount from line 21, column (b)) 23
24 Proceeds used for bond issuance costs(including underwriters'discount) . 24
25 Proceeds used for credit enhancement 25
26 Proceeds allocated to reasonably required reserve or replacement fund. 26
27 Proceeds used to currently refund prior issues 27
28 Proceeds used to advance refund prior issues 28
29 Total (add lines 24 through 28) 29
30 Nonrefunding proceeds of the issue(subtract line 29 from line 23 and enter amount here) . 30
Part V Description of Refunded Bonds (Complete this part only for refunding bonds.)
31 Enter the remaining weighted average maturity of the bonds to be currently refunded. . . ► years
32 Enter the remaining weighted average maturity of the bonds to be advance refunded . ► years
33 Enter the last date on which the refunded bonds will be called (MM/DD/YYYY) ►
34 Enter the date(s)the refunded bonds were issued ►(MM/DD/YY(Y)
For Privacy Act and Paperwork Reduction Act Notice, see separate instructions. Cat.No.63773E Form 8038-G (Rev.5-2010)
. 1 °
City of South Burlington
Loan#406021492
$587,000
Interest Rate: 2.4%
Loan Date: 7/18/11
Payment Loan Interest Principal Outstanding
Date Balance Principal
7/18/11 $587,000.00 $587,000.00
7/15/12 $587,000.00 $14,205.40 $146,750.00 $440,250.00
7/15/13 $440,250.00 $10,712.75 $146,750.00 $293,500.00
7/15/14 $293,500.00 $ 7,141.83 $146,750.00 $146,750.00
7/15/15 $146,750.00 $ 3,570.92 $146,750.00 $.00
A RESOLUTION OF THE CITY OF SOUTH BURLINGTON
NAMING THE CITY MANAGER AS A DULY AUTHORIZED AGENT PERMITTED
TO EXECUTE ALL LOAN DOCUMENTS PERTAINING TO THE PURCHASE OF A
PIERCE QUINT FIRE APPARATUS.
WHEREAS, on March 9, 2011 the City Council voted unanimously to appoint Sanford
Miller, City Manager City Agent & Trustee of Public Funds; and,
WHEREAS, on April 4, 2011 the City Council voted unanimously to enter into
negotiations with Pierce Manufacturing and Medtec to negotiate in the best interest of the
community; and,
WHEREAS, City officials have acted in the best interest of the community evidenced by
adhering to the FY2012 budget and fulfilling the City's emergency services needs; and
WHEREAS, an agreement has been reached with Pierce Manufacturing to build one (1)
quint fire apparatus per South Burlington Fire Department specifications; and
WHEREAS,procurement is provided for in the South Burlington City Charter provision
13-310(6), which establishes a special reserve fund expressly for Fire Department capital
purchases; and
WHEREAS, $587,000 of$667,500 will be financed through a combination of
ambulance trade-in revenues and the Fire Equipment Fund; and
WHEREAS,$163,000 has been reserved in the FY2012 budget and will be reserved
thereafter.
NOW, THEREFORE, BE IT RESOLVED by action of the South Burlington City
Council the City Manager is authorized to execute all loan documents with Northfield Savings
Bank(financing $587,000 at 2.4% for a Four(4) year term).
Dated this day of ,2011.
Sandra Dooley, Chair
Meaghan Emery, Vice Chair
Rosanne Greco, Clerk
James Knapp
Paul Engels
.
R
yoU,�N BUBUXCiO/v,
A{�4 fgyo1
S.I. Sig;'
�gK it�
City of South Burlington
j� p 4► " 575 DORSET STREET
iY� �+/�i) SOUTH BURLINGTON, VERMONT 05403-6260
�r*e`'s ,s`''''IRST, SECOND CLASS AND CABARET LICENSE APPLICATION
Nfn 4 rnwX M'Fc
FULL NAME OF PERSON, PARTNERSHIP, CORPORATION
i‘et0 f / - ) JC
DOING BUSINESSyAS/TRADENNAME 4
(1 1D- roC/ eki `-� ;.g-r(r`o
ADDRESS
/ lc ADj/Vi n 'g' •
41111110 SECOND CLASS CABARET
DATE RECEIVED BY CLERK'S OFFICE 11 / -7/ O//
South Burlington Police Department
Chief Trevor S. Whipple Date
South B lington Fire r mp 7`f /
Chief Do as S. Brent Date
South Burlington Tax Depart ent
/' CK-(___--4--a
17-4 ) 5-/i 7-it I
Martha Lyons, Deputy Tax Collector Date
Date Sent to
Montpelier:
wk l
CORPORATE INFORMATION (Section 2)
If you have checked the box marked CORPORATION, please fill out this information for stockholders (attach
sheet if necessary).
NAME STREET/CITY AND STATE 1 i/PLACE OF BIRTH
OTHER CORPORATE INFORMATION: (MUST BE A VERMONT CORPORATION)
What is the corporate name?
Date of incorporation Is corporate charter now valid?
Please list your Corporate Federal Identification Number
ALL APPLICANTS (Section 3)
HAVE ANY OF THE APPLICANTS EVER BEEN CONVICTED OR PLED GUILTY TO ANY CRIMINAL OR MOTOR
VEHICLE OFFENSE ANY COURT OF LAW(INCLUDING TRAFFIC TICKETS BY MAIL)? YES NO
If yes, please complete the following information: (attach sheet if necessary)
Name Court/Tafffic Bureau Offense Date
Do any of the applicants old any elective or appointive state,county,city, village/town office in Vermont(See VSA,T.7,Ch.9,
§223)? Yes No If yes, please complete the following information:
If yes, please complete the following information:
Name Office Jurisdiction
Have you registered your corporation and/or trade name with the Town/City Clerk? and/or Secretary of
State? \.r.5 (as required by VSA, Title I I, § 1621, 1623 & 1625.)
Please give name, title and date attended of manager, director, partner or individual who has attended a Liquor Control Lic-
ensee Education Seminar, as required by Education Regulation No. 3:
NAME: Li-to 0' Pir1
TITLE: C)CC}/l.t?
DATE: agOM
(If you have not attended an Education Seminar prior to making application, p • e contact yoir iquor Control Investigator
regarding this mandatory training.)
LOCATION INFORMATION FOR ALL APPLICANTS (Section 4)
Please give a description of the premises to be licensed: Stories
Approximate size / O O Construction
Does the applicant own premises herein described? IL
If not, does applicant lease premises herein described? -e 5
If leased, name and address of lessor who holds title to propert :
1- 1 c f 1ii SPS , LLe
/05 0/l2/91.e Ma ,iO 1. rri c
Btiv((0ditov1, (i l 0 yod
Are you making this application foi'-?he benefit of any other party? A)c0
Please complete and include with your liquor license application
Applicant/s Personal Information
Please fill in for Individual, Partners,or Directors
Legal Name (Please print or type) Sex SS# Date of Birth
Erro. 0 .7v,:ekk 00 02 (606) 51/9/1
J 0 Oq 12 tqs-3 9//y10
Stockholder/s Personal Information
Please fill in for Stockholder
Legal Name (Please print or type) Sex SS# Date of Birth
attach additional sheet if necessary
i r�+.�,segs/Br>f,r;:'';:qi,":?+;;? <„i."�" FMI e",�1'ITI ,- 4 �i"s�i _ 7.7M747 7:171,rr�.�,c�`- ` �.'".`n.L'... EE 17M,'W ,q;
ft
4, STATE OF VERMONTtti
, itt,_:,,
�� OFFICE OF SECRETARY OF STATE I
Certificate of Trade Name Registration
14.
44
3.
i, JamesC. Condos, Vermont Secretary of State hereby certify that
C
ik
THE WOODEN SPOON BISTRO `'
r
1
Pt
A' was registered on May 02, 2011 per copy attached.
F
iT
P'' ,ii":1
li
w; May 09, 2011
44
t.';
' Given under my hand and the seal 32
-f.;
of the State of Vermont, at
._f
Montpelier, the State Capital .
a .
James C. Condos "�
Secretary of State
4
,.� � Zhrs trade name expires 5 years from the date of registration/renewal
r t..) I �I��)� -i r., mNair,
i itIfir - r f°� 1. l�j��. ff j
�' .-_yam. K.
it. ti� U �N
S
4
\ 1X-.
1=15pon,being satisfied that the conditions precedent to the granting of this license as provided in Title 7 of the
Vermont Statutes Annotated, as amended, have been fully met by the applicant, the commissioners will endorse
j their recommendation on the back of the applications and transmit both copies to the Liquor Control Board for
suitable action thereon, before any license may be granted. For the information of the Liquor Control Board, all
applications shall carry the signature of each individual commissioner registering either approval or disapproval.
Lease or title must be recorded in town or city before issuance of license.
gibj- r i .ont, ,20
APPROVED DISAPPROVED
Approved by Board of Control Commissioners of e City or own (circle one) of n
Total membership 6i members present
1 1
ft°',a0 oz--Terrrn Clerk
TOWN OR CITY CLERK SHALL MAIL BOTH COPIES OF APPROVED APPLICATIONS DIRECTLY TO
THE DEPARTMENT OF LIQUOR CONTROL, GREEN MOUNTAIN DRIVE, DRAWER 20, MONTPELIER,
VERMONT 05620-4501. If application is disapproved, local control commissioners shall notify the applicant by
letter.
No formal action taken by any agency or authority of any town board of selectmen or city board of aldermen on a
first or second class application shall be considered binding except as taken or made at an open public meeting.
VSA T- 1 §312.
NOTICE: After local action, all new applications are investigated by the Enforcement and Licensing Division
prior to approval/disapproval of the license by the Liquor Control Board.
SECTION 5111 AND 5121 OF THE INTERNAL REVENUE CODE OF 1954 REQUIRE EVERY RETAIL
DEALER IN ALCOHOLIC BEVERAGES TO FILE A FORM ANNUALLY AND PAY A SPECIAL TAX
IN CONNECTION WITH SUCH SALES ACTIVITY. FOR FURTHER INFORMATION, CONTACT
THE BUREAU OF ALCOHOL, TOBACCO AND FIREARMS (860) 240-3400
P.O. BOX 371962
PITTSBURG, PA 15250-7962
5M: 12/03
Laura
From: Trevor Whipple [twhipple@sbpdvt.org]
Sent: Friday, July 15, 2011 12:24 PM
To: Laura
Subject: Re: last minute liquor license for 7/18/11
Looks fine.
Approved.
Trevor
On Jul 15, 2011, at 11:54 AM, "Laura" <lkimballOsburl.com> wrote:
> Trevor,
> I have had this for awhile and the fire dept just came over to sign off on it.
> With your approval, they can still go on for Council Monday night.
> Thank you-
>
> Laura
> Laura Kimball
> Deputy City Clerk
> City of South Burlington
> 575 Dorset Street
> South Burlington, Vt. 05403
> lkimball(alsburl.com
> <image001.jpg>
> <20110715115015891.pdf>
1
SPECIAL CITY COUNCIL 6 JULY 2011
The South Burlington City Council held a special meeting on Wednesday, 6 July
2011, at 8:30 a.m., in the Conference Room, City Hall, 575 Dorset St.
Councilors Present: S. Dooley, Chair; M. Emery, J. Knapp, P. Engels, R. Greco
Also Present: S. Miller, City Manager; R. Rusten, Assistant City Manager; P. Conner,
Director of Planning & Zoning; J. Rabidoux, Director of Public Works; T. Duff, Planning
Commission; D. Marshall, P. O'Brien, R. Deslauriers, B. & M. Gilbert, S. Dopp, J.
Larkin, L. Murphy, T. & B. Daly, B. Gardner, C. Snyder
1. Agenda Review:
Added to the agenda were a discussion on National Night Out and a discussion on
reappraisal.
2. Discussion on National Night Out:
Mr. Miller reminded the Council that there is no funding in the budget for National Night
Out, and most of the sponsors have been lost over the years due to economic conditions.
He asked if the Council wants staff to try to figure out a"scaled back" activity. He also
noted that there has traditionally been a dinner to honor volunteers, and this could be
done. Ms.Dooley suggested the possibility of a dinner and a fair for the different
committees to celebrate their work.
Mr. Knapp suggested planning something for another night, allowing more time for
planning. Ms. Dooley suggested contacting PACT for ideas and help.
3. Additional FEMA Funding:
Mr. Miller noted that in order to get additional disaster funding, the Council Chair must
be authorized to sign the application.
Mr. Knapp moved to authorize the Chair to sign the form to secure matching funds from
FEMA. Mr. Engels seconded. Motion passed unanimously.
4. For Councilors to discuss areas of concern related to City growth and
development and key criteria each has used in determining the components of
Interim Zoning he/she supports. To discuss each Councilor's perception of the role
of the Council when making decisions that impact in different ways a large and
diverse population. To discuss what additional information each Councilor needs
(and by when) and the ease or difficulty in obtaining such information, for
Councilors to be able to vote on an Interim Zoning Bylaw:
SPECIAL CITY COUNCIL
6 JULY 2011
PAGE 3
Ms. Greco said she agrees with everyone and is fascinated with the outcome and how
people come to different decision based on the same information. She believes that all
members want what is best for the city. She stressed the need to research because when
they know more, the can do better.
Regarding growth, Mr. Engels said he is definitely not an expert,but he has been thrust
into being one of 5 votes. He has thus had to develop a position. He felt there are three
things the Council has to deal with: Open Space, PUDs/TDRs, and waivers for residential
and mixed use development. Mr. Engels said he has driven around the city to see some
of what is being discussed, how waivers have been used, especially on Spear and Dorset
Streets. He said his sense is that there is nothing wrong with PUDs,but that they have
possibly been misused. He felt denser areas might be better near major roads with
access to everyday services. He didn't feel they were a good idea in the middle of a
hayfield.
Ms. Emery said her values have evolved, and she didn't come with preconceived ideas.
She said her concern is not with the basic tools. She noted that she just returned from a
vacation where she saw one house on half an acre for mile after mile,using up all the
land. She said she preferred clustering. She stressed that she is not a"TDR-buster."
She noted that her respect for the Planning Commission and the Development Review
Board has grown and felt that overall their effect has been positive. She stressed the
need for housing but also noted a concern with preserving wetlands and with providing
gradual transitions between areas of lower and higher densities. Ms. Emery felt the
Council needs very precise goals that can be accomplished within the time-frame allowed
by Interim Zoning. The amount of work needs to be achievable and should not create
unforeseen problems.
Ms. Dooley said her biggest concern when she ran for the Council was land development
regulations. She had specific ideas,none of which are in the Interim Zoning she is
recommending. She felt the Council has to honor the city's Comprehensive Plan
revision process. Ms. Dooley said that in developing her Interim Zoning plan she went
back to themes that did not honor the Comprehensive Plan: open space and protection of
neighborhoods. She noted that in 2003,the criteria for height waivers were changed,
and she felt these changes were not in sync with the Comprehensive Plan. There is a lot
of language in the Plan about the preservation of open space, and the city acted on that in
the Southeast Quadrant(SEQ). TDRs are a way to do that. She felt the city dropped
the ball on the rest of the city, and she saw a need to preserve open space there as well.
Ms. Dooley stressed that Interim Zoning is not the only way to address issues. She
noted that the Planning Commission has plans to include the public in the update of the
Comprehensive Plan. She stressed that she wants to be true to the plan the city has.
Mr. Knapp said he has not identified growth/development as a policy concern. There is
SPECIAL CITY COUNCIL
6 JULY 2011
PAGE 5
Shelburne, Charlotte, Richmond, etc.,because for good or bad, people are moving here.
He said there is a capacity to do smart growth without creating"big cities,"and that there
are opportunities to do the right thing. He didn't feel Interim Zoning was one of those
opportunities. He also felt that the proposal for Interim Zoning doesn't address the
issues that were raised at this meeting.
Ms. Emery said she felt that transitional buffers will take some work. She saw the value
of the discrete items put forth and saw the need to concentrate on those few things.
Ms. Dooley said she is not proposing to do nothing. She said there are many efforts
going on to preserve and develop affordable housing throughout the state, and that this
needs to be well thought out. She supported the narrowed Interim Zoning and wants it to
be done well. She also wanted to honor the process in place.
Ms. Greco said she felt the city will be"protecting trees and losing the forest"because
big development will go on as it has. She said she can't support that.
Ms. Emery felt the first proposal was much too broad for her comfort and not achievable
in one to two year timeframe. She felt the Council has to be realistic about what it can
do, and the process needs to be achievable. There are other priority areas that can be
tackled in other ways through the normal process.
Members then considered what additional information they need:
Ms. Greco: Buffering
Mr. Knapp: Fiscal impact. He felt the Council was going about things backwards and
that you can't put together Interim Zoning without the information that is needed.
Ms. Greco: Wants to know if Resolution 1 or 2 would have captured previous big
development. She felt another session is needed before a vote. She wanted to share
studies she has read.
Ms. Dooley said she feels the city has an open space strategy and has acted on it in one
part of the city but not in other parts. She said if the land in those areas is gone, the
Open Space Fund will be useless. She also saw a disconnect between the
Comprehensive Plan and LDR changes in recent years and that these are situations of
risk.
Mr. Miller said that in terms of process for getting information, staff will have something
for the Council on 18 July regarding fiscal impacts. He questioned how to deal with
information that only one Councilor needs. Mr. Engels said that in addition to financial
SPECIAL CITY COUNCIL
6 JULY 2011
PAGE 7
Plan should be thoroughly vetted through the public process. He said the planned action
will affect property values, and many landowners aren't aware of this. He said the
Planning Department in South Burlington is not easy to get around. If a developer
follows the rules, they can build; if they don't,they can't.
Patrick O'Brien, developer, consultant and lifelong South Burlington resident: Noted that
sometimes waivers can be a good thing. He noted that some projects that at first don't
look very pretty will look quite nice as trees grow. He said that Cheese Factory Rd. and
the end of Hinesburg Rd. have benefited from the TDR process. He felt that process
should be completed. He said that if the PUD process is taken away, the city will have
"bowling alley lanes." He added that the laying off of 5 employees is only the tip of the
iceberg.
Mr. Gardner: He was raised in South Burlington and owns a few small pieces of land.
Now he doesn't know where he's at. He tried to get a permit today and couldn't. His
workers will also be going home.
5. Reappraisal discussion:
Mr. Rusten noted that there is a City Charter requirement to do a reappraisal at least
every three years. The last reappraisal was in 2006, which means they city is in
violation of the Charter. The City Attorney has said this does not negate the 2011 grand
list,but the city must do an appraisal in 2012. The 2006 appraisal cost$400,000.
Mr. Rusten also noted there is a State requirement for reappraisal when a community
goes below an 80% common level of appraisal or when it goes above the coefficient of
dispersal. South Burlington is not in either of these situations.
The question is whether the city wants to change the Charter requirement; however, even
if it does, there is no guarantee that the Legislature would act on a Charter change before
April of 2012 when a reappraisal would have to be done.
Mr. Miller noted that the$400,000 cost of the last reappraisal was just paid off. The
state contributed $70,000 toward this. He noted the city can do statistical reappraisals,
and that option will be explored.
Mr. Miller urged the Council to consider bringing this issue to the City Charter
Committee. Members supported doing this.
6. Executive Session:
Mr. Knapp moved the Council adjourn and reconvene in executive session to discuss