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HomeMy WebLinkAboutMinutes - City Council - 12/20/2010CITY COUNCIL 20 DECEMBER 2010 The South Burlington City Council held a regular meeting on Monday, 20 December 2010, at 6:00 p.m., in the Conference Room, City Hall, 575 Dorset St. Members Present: M. Boucher, Chair; S. Dooley, M. Emery, J. Knapp, F. Murray Also Present: S. Miller, City Manager; R. Rusten, Assistant City Manager; P. Conner, Director of Planning & Zoning; J. Ladd, K. Murphy, City staff; J. Rabidoux, Public Works Director; T. DiPietro, Stormwater Superintendent; M. Griffin, L. Denning, C. Tabor, L. Ravin, M. Young, B. Stuono, S. Birkett, G. Desautels 1. Executive Session: Ms. Dooley moved that the Council meet in executive session to discuss personnel matters, contract negotiations, possible legal action, and possible property acquisition. Mr. Murray seconded. Motion passed unanimously. Regular Session: 1. Comments & Questions from the Audience, not related to Agenda Items: No issues were raised. 2. Announcements & City Manager’s Report: Ms. Emery: Suggested an official welcome for returning troops. This will be referred to the Veterans’ Committee. Ms. Dooley: Attended a conference on working landscape in Vermont. After considering the budget meeting schedule, it was felt to be better to hold the second meeting on Exit 12B/13 in late February. The question remains as to whether to continue to endorse 12B in the Comprehensive Plan. Ms. Dooley noted that Mr. Rabidoux attended last week’s MPO meeting at which there was 12B discussion. One criteria is that consideration of 12B would have to be consistent with the city’s Comprehensive Plan. Ms. Dooley suggested that a letter be sent to the MPO telling them that this will be considered as part of the Comprehensive Plan update review. The MPO decided not to submit a justification plan until after the city’s Comprehensive Plan review is complete. Mr. Miller: Noted that a report has been issued indicating the following: a) the origins of the city’s unfunded pensions obligation; b) a financial statement; c) the auditor’s comments on disclosures. Mr. Boucher suggested the report be discussed publicly. Mr. Miller said the auditors will be back on 10 January to continue the process. The MPO meeting also included a possible start of a scoping study for an “intercept facility.” Mr. Rabidoux asked that it be removed from the budget adjustment. That position was not supported. Mr. Miller commented that it is unusual for the MPO to support a scoping study on a plan that a municipality has not supported. This will be part of the continuing discussion. The MPO and CATMA want to speak to the city before the study begins. Mr. Rabidoux said that all the midyear budget adjustment did was to indicate funds if the scoping study goes forward. He felt that the MPO people got the city’s message. Mr. Miller added that this project is competing with CCTA projects. He again noted that it is very unorthodox for something like this to go on without input from the governing body. Met with the Pension Advisory Board people today. One thing the Council may want to consider is having a Councilor and/or a community member on that committee. Thanked Janice Ladd for her efforts in securing $12,078 for the city. John Dinklage has stepped down as DRB Chair. He has been the only Chair since the DRB process began. The Council asked that a letter of appreciation be sent to Mr. Dinklage. 3. Appointment of Bob Rusten as Assistant City Treasurer: Mr. Murray moved to appoint Bob Rusten as Assistant City Treasurer. Ms. Dooley seconded. Motion passed unanimously. 4. South Burlington Retirement Income Plan: Investment Strategy Presentation: Ms. Griffin, Investment Strategist from Prudential Retirement, outlined the services they provide for the city. She noted that they have over 6700 clients, more than half of whom have been with them for over 10 years. South Burlington has been with them much longer than that. They have an A+ rating and a AA- rating from Standard & Poors. They serve as investment strategists and have people who keep up with regulations, serve as actuaries, and provide technical services. Ms. Griffin said there are multiple things that impact a pension plan, including accounting policy and funding policy. The basic principles under which they operate include: 1. Don’t look at assets without looking at liability. 2. Use multiple expertise throughout the company so they can produce capital market assumptions 3. There is no “one size fits all.” 4. Take a long­term perspective, but don’t lose sight of the short term. 5. Look at alternative investments. Ms. Griffin then said that their long-term recommendation for South Burlington is to have 60% equity and 40% fixed income. She noted that in 2001, they went from 70% to 60% equity. Mr. Murray asked what the city pays for these services. Ms. Denning said about $15,000 annually. Ms. Griffin added that the fee schedule has been the same for about 10 years. Mr. Murray then asked if the retirement age needs to change since the city now has public safety people retiring at age 50. Ms Griffin said there is a cushion there. She felt they were very conservative. Mr. Miller noted that the city has more money than it needs to pay retirees each year. Ms. Griffin said some of that money is in short-term investments and a small portion of it in high yield. She added that the assets are growing, so the city can meet its obligations. Ms. Griffin noted that they also do “risk reward” analyses which takes the current allocation to see what the expected return will be. Mr. Boucher asked if the city is on the aggressive or conservative side. Ms. Griffin said they are just where they need to be. Ms. Griffin said their services also include help with portfolio construction and providing quarterly reports. She noted that assets have been growing nicely in the past year. On an annual basis, they do an analysis to validate the long-term strategy. They meet with clients on an annual basis, more if needed. 5. Ratification of the Tentative Agreement with the Following Unions: A. City Hall/Public Works B. Police Department C. Fire Department Mr. Knapp left during this discussion due to a potential conflict of interest. Mr. Miller outlined the terms of the contracts, including switching health insurance, increasing pager pay, 2 hours pay for people attending evening meetings, and reopening health insurance bids for 2012. He said that all but the Police Department did not have to agree to these changes. The net savings to the city amounts to about $150,000. Mr. Miller noted the city will be entering into negotiations for a new Police contract to begin 1 July 2011. Mr. Murray then moved to ratify all three agreements as presented. Ms. Emery seconded. Motion passed 4-0. Mr. Boucher thanked Mr. Miller for his effort and also thanked the unions who were willing to talk to the city when they had no obligation to do this. Mr. Miller added that there was an understanding that this was in everyone’s best interest. Mr. Knapp rejoined the Council. 12. Approve Employees’ Contributions for Overtime to the South Burlington Retirement Income Plan from November 24 Payroll and Prospectively from that Day: Mr. Miller recommended Council approval. Ms. Emery moved to approve the employees’ contribution for overtime to the Retirement Income Plan from November 24 payroll and prospectively from that date as presented. Ms. Dooley seconded. Motion passed unanimously. 6. Discussion of the Following Stormwater Topics: A. Acceptance of Quarry Ridge Irrevocable Offer of Dedication B. Discussion of Stormwater Special Assessment Districts for March Ballot C. SIWRF Grant Application for Hayes Avenue Stormwater Improvement Project: D. Continued Discussion of Winding Brook State Stormwater Permit Transfer: E. Update on Draft Changes to City’s MS4 Permit: Mr. DiPietro explained that storm water funding comes from a user fee based on impervious area on a parcel. Single family homes pay a flat $4.50 a month. There is also enterprise funding. General funds are not used to support storm water. Mr. Miller noted that they now know that money did move back and forth, but this will not happen again. Stormwater funds will be separate and segregated and well be used for nothing else. Mr. DiPietro then reviewed an example upgrading project and how it would work. Once upgraded, the storm water utility would take over management of the system. He also explained how the financing would work, including the securing of grants. Project funding may include the possible creation of a Stormwater Special Assessment District or funding from grants or a lump sum check from a homeowners’ association. Potential increased expenses include taking over additional systems and possible changes to the city’s MS4 permit. Mr. Boucher expressed concern that there wasn’t as much diligence done to keep fees segregated and asked if these concerns have been addressed. Mr. Rusten said they have gone through every line of the budgets and moved items to where they feel they should be. He felt the model and structure they are putting in place will address concerns. Mr. Miller said there may need to be a rate adjustment discussion. He felt the model will be OK going forward. He added that if the enterprise funds are owned money from the general fund, that will have to be worked out. A. Quarry Ridge: Mr. DiPietro noted the city currently has a maintenance agreement with Quarry Ridge. The city now needs to accept easements so it can gain access. Mr. Boucher expressed concern that the city has made a promise and doesn’t know the future cost of it. Ms. Dooley questioned whether the city has the option to renege on that promise. Mr. Knapp moved to accept the irrevocable offer of dedication as presented. Mr. Murray seconded. Motion passed unanimously. B. Special Assessment District: Ms. Dooley indicated she would not participate in this discussion as she and her husband own property in Oak Creek Village. Mr. DiPietro said they have moved forward enough to begin to collect money so that work can be done this coming summer. Mr. Boucher asked if the neighborhood is comfortable with this. Residents of Stonehedge noted that they have 3 master associations, so they all had to get together to deal with their one expired permit. They began to work on this a few years ago, and the city help they get a grant for a conceptual plan. This was unanimously supported, but without funding it didn’t go forward. Ms. Ravin added that when the grant became available, all three boards supported it. Mr. Miller said that the agreement will be forwarded to the City Attorney and then to the City Council for approval to place it on the March ballot. C. Hayes Avenue: Mr. DiPietro said there is leftover funding from the Farrell project, and he would like to use it for Hayes Avenue. The City Council has to give approval to do this. The construction cost is $230,000. They have a $50,000 grant, another $63,000 grant pending, and $95,000 from Farrell Street. This would leave $21,000 of which $14,000 would be paid by the neighborhood and $7,000 from the Stormwater Utility. Mr. Murray asked if there is a measurement to assess the effectiveness of these projects. Mr. DiPietro said there is a stream gauge and also water quality monitoring. These both show improvements. Mr. Rabidoux added that the State has historically done some of this monitoring as well. Mr. Murray suggested there be some press releases to The Other Paper to talk about the benefits that are being seen. Ms. Emery moved to approve use of the Farrell project leftover funding for the Hayes Avenue project. Mr. Knapp seconded. Motion passed unanimously. D. Winding Brook: Mr. DiPietro reviewed the history. He noted that Winding Brook has asked the city take over their permit. This would involve annual fees and an annual inspection and subsequent reporting. The Stormwater Utility would assume responsibility for maintenance of the system and the inspection reporting and recertification. The total annual cost would be $1,800. The Utility would not assume responsibility for permit renewal (the permit was expired), permit fees (there is no valid permit, therefore no fees), or system upgrades required by regulatory permits. Mr. Boucher said he worries that the business model will require an increase in fees. Mr. Stuono felt it was not equitable to charge every single family home the same amount. Mr. Birkett said he has a letter from the Legislative Council which says the dischargers are always responsible for the property. He added that if “push come to shove, the homeowners pay for it.” Mr. DiPietro noted the city has also been asked by South Pointe to take over their permit. He explained that there are 30 residential state permits issued in storm water impaired watersheds in South Burlington. Two have already been transferred and a third is underway. There are also maintenance agreements with 5 permitees in impaired watersheds. A 2006 City Council resolution expressly states that the Utility was to accept valid permits. Mr. Boucher said he just needs to see a budget to be sure the city can do this. E. MS4 Permit: Mr. DiPietro said the City’s MS4 permit draft was sent to the EPA in October 2010. ANR’s response will be available when the permit is issued. Proposed changes to the MS4 permit include: 1. The city is responsible for developing flow restoration plans for all impaired watersheds in 3 years. 2. All plans should be implements within 10 years. 3. City to fund stream gauging in impaired streams (previously paid for by ANR) 4. Permit fee increased from $0 to $1000 for a 5-year permit. 5. The permit may be appealed by any party. Mr. Rabidoux said they are concerned with the costs as the city is clearly not in a position to fund such projects. Total implementation could cost $39,000,000. Mr. Knapp noted that no community has the number of impaired watersheds that South Burlington has (5). 7. First Reading of Amendments to the Land Development Regulations: Suggest Public hearing for 18 January 2011: Mr. Murray moved to waive the reading of the Amendments and to schedule a public hearing for 18 January 2011. Ms. Dooley seconded. Motion passed 4-0. Mr. Conner said he will post all information on the website. He noted that the City Attorney has a few minor adjustments that will be presented at the public hearing. These will not require re-warning. 8. Consideration of the Natural Resources Committee’s Recommendation regarding the naming of 1100 Dorset Street: Members agreed to continue this item to a meeting in January in order to get input from the Land Trust. Mr. Conner noted that the property has never been given an official name. Ms. Dooley moved to continue agenda item #8 until a meeting in January. Mr. Murray seconded. Motion passed 4-0. 9. Affirm Decision of 7/19/10 to approve easement purchase on Goodrich Property of $60,000: Mr. Knapp moved to affirm the City Council’s decision of 19 July 2010 to approve easement purchase on Goodrich Property of $60,000. Ms. Dooley seconded. Motion passed 4-0. 10. Approve the Errors and Omissions to the Grand List for 2010: Mr. Miller explained the reasons for corrections of various properties and types of properties. Mr. Knapp moved to approve the errors and omissions to the Grand List for 2010 as presented. Mr. Murray seconded. Motion passed 4-0. 11. Authorize an application to the Vermont Municipal Bond Bank to Re­fund the South Burlington Retirement Income Plan’s Unfunded Pension Obligation: Mr. Boucher stressed this is not an action, just an application in case the city decides to go that way. Mr. Miller added that it would have to come back to the City Council for action if the Bond Bank approves it. Mr. Murray moved to authorize application to the Vermont Municipal Bond Bank to Re­fund the South Burlington Retirement Income Plan’s Unfunded Pension Obligation as presented. Ms. Dooley seconded. Motion passed 4-0. 13. Affirm the City Council’s decision in April, 2010, to provide former City Manager Charles M. Hafter with his city provided laptop and printer upon his retirement: Mr. Murray moved to affirm the Council’s decision to provide Charles M. Hafter with his city provided laptop and printer upon his retirement. Ms. Dooley seconded. Motion passed 4-0. 14. Review and Approve Minutes of 29 November, 6 December, and 13 December: Mr. Murray moved to approve the Minutes of 29 November, 6 December, and 13 December as written. Ms. Dooley seconded. Motion passed 4-0. 15. Sign Disbursement Orders: Disbursement orders were signed. As there was no further business to come before the City Council, the meeting was adjourned at 9:45 p.m. ______________________________ Clerk Published by ClerkBase ©2019 by Clerkbase. No Claim to Original Government Works.