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HomeMy WebLinkAbout2/13/2012 - City Council - Minutes - RegularUNAPPROVED MINUTES CITY COUNCIL WORK SESSION February 13, 2012 A work session of the Council of the City of Salem, Virginia, was held in the City Manager’s Conference Room, City Hall, 114 North Broad Street, Salem, Virginia, on February 13, 2012, at 6:30 p.m., there being present all the members of said Council, to wit: Byron Randolph Foley, John C. Givens, Jane W. Johnson, William D. Jones, and Lisa D. Garst; with Byron Randolph Foley, Mayor, presiding; together with Kevin S. Boggess, City Manager; James E. Taliaferro, II, Assistant City Manager and Clerk of Council; Frank P. Turk, Director of Finance; and Krystal M. Coleman, Deputy Clerk of Council; and the following business was transacted: Mayor Foley reported that this date, place, and time had been set in order for the Council to hold a work session; and WHEREAS, a discussion was held regarding the Green Award; and WHEREAS, a discussion was held regarding the Diversity Dinner; and WHEREAS, a discussion was held regarding the Emergency Management Plan; and WHEREAS, there were no other topics for discussion. There being no further business to come before the Council, the work session was adjourned at 7:27 p.m. Mayor Clerk of Council UNAPPROVED MINUTES COUNCIL MEETING February 13, 2012 A regular meeting of the Council of the City of Salem, Virginia, was held in Council Chambers, City Hall, 114 North Broad Street, on February 13, 2012, at 7:30 p.m., there being present all the members of said Council, to wit: Byron Randolph Foley, John C. Givens, Jane W. Johnson, William D. Jones, and Lisa D. Garst; with Byron Randolph Foley, Mayor, presiding; together with Kevin S. Boggess, City Manager; Krystal M. Coleman, Deputy Clerk of Council; Frank P. Turk, Director of Finance; Melinda J. Payne, Director of Planning and Economic Development; Charles E. Van Allman, Jr., City Engineer; Mike Stevens, Communications Director; Caleb M. Taylor, Director of Water and Sewer Department; Angela Sellers, Technology Director; and Stephen M. Yost, City Attorney, and the following business was transacted: It was noted that Landon Hudson was present at this meeting of Council as extra credit for Mr. Penn’s Social Studies class at Andrew Lewis Middle School. The December 21, 2011, special meeting minutes were approved as amended; and the January 23, 2012, work session and regular meeting minutes were approved as written. The report by the Director of Finance of the City’s financial status for a six-month period ending December 31, 2011, was received and ordered filed. Mayor Foley requested that Council receive a presentation from Beth Doughty, Executive Director, Roanoke Regional Partnership, regarding the 2011 Annual Report; and WHEREAS, Beth Doughty, Executive Director, Roanoke Regional Partnership, appeared before the Council and thanked Council for supporting the Regional Partnership; she stated that the Partnership is utilizing the investments it receives wisely to help grow the economy, create jobs, increase prosperity, and contribute to the quality of life; she stated that 40 to 45 percent of the work done by the Partnership focuses on job creation/traditional economic development; she stated that overall business recruitment increased 14 percent from 2010 to 2011; she stated that in 2009 there were 90 information requests and that number increased to 229 in 2011; she further stated that 284 “leads” or contacts were made through attending or participating in various events to promote economic development in 2011; there were 863 jobs jobs created in 2011 from projects touched by the Partnership, an increase of 200 percent; over ITEM 1 PRESENTATION FROM BETH DOUGHTY, EXECUTIVE DIRECTOR, ROANOKE REGIONAL PARTNERSHIP REGARDING THE 2011 ANNUAL REPORT 2 $52 million in investments for equipment and facilities was announced in 2011, which is an increase of 362 percent; she stated that outdoor asset development also increased in 2011; image building is also something the Partnership does to help raise the profile of the region by using a variety of “vehicles” (i.e. newsletters, websites, Facebook, etc.); she stated that the Partnership consistently looks for new things to do to remain relevant in the 21 st century; one of the things the Partnership did in 2011 was the creation of the Roanoke Entrepreneur Hub (www.roanokeentrepreneur.com), which is a portal that takes all of the resources available to small businesses and puts them in one place; the Partnership also participated with Roanoke Parks and Recreation to hold the Roanoke Outdoor Circus, an event based in the Riverside area; the Partnership also has an outdoor kiosk that it places in different locations throughout the region; she further discussed other websites, etc. the Partnership is involved in to try to promote economic development and prosperity in the area; and WHEREAS, Councilwoman Johnson commended the Partnership for its efforts to promote outdoor activities; and WHEREAS, Ms. Doughty stated that the Partnership feels that it is also important to attract people to the area, not just jobs; and WHEREAS, Vice Mayor Givens also commended the Partnership’s efforts; and WHEREAS, Councilwoman Garst questioned that instead of trying to throw tax incentives and grants to businesses, are there state regulations that just do not function well and need to be removed; she questioned if anyone at the Partnership is working on that; and WHEREAS, Ms. Doughty stated that she has heard the debate about regulations in Virginia; she stated that in the general business climate, it is the Chamber of Commerce’s job to address those issues; and WHEREAS, Mayor Foley questioned what is the valley’s greatest value, as well as the valley’s greatest weakness; and WHEREAS, Ms. Doughty stated that the greatest challenge in the valley is available land and diverse sites; THEREUPON, said presentation was received. 3 Mayor Foley requested that Council receive a presentation from Judy LaPrade and Dave Lefevers, Co-Chairs, and Julie Terrell, Community Manager, regarding the 2011 Salem Relay for Life; and WHEREAS, Judy LaPrade, Dave Lefevers, and Julie Terrell appeared before the Council; Ms. LaPrade stated that she and Dave Lefevers are the co-chairs for the 2012 Salem Relay for Life; she presented Council with a plaque of appreciation for its years of support and help in making the Salem Relay a success; she stated that the 2011 Salem Relay for Life was rated #5 in the Nation per Capita; and WHEREAS, Mr. Lefevers stated that greater than $140,000 was raised in 2011 for the fight against cancer; he stated that the goal this year is to better the rating from 2011; he also thanked Council and the City of Salem for its support of the Salem Relay for Life; he stated that 46 teams participated in the event in 2011, and so far 28 teams have registered for this year’s event and almost $16,000 has been raised thus far; he stated that the event this year will be held June 15-16 at Salem High School; and WHEREAS, Ms. LaPrade stated that the theme this year is “There’s No Place Like Hope,” which is based on the Wizard of Oz theme; and WHEREAS, Council thanked them for their efforts, as well as City Staff and other volunteers in making the event a success; THEREUPON, said presentation was received. Mayor Foley requested that Council consider adopting Resolution 1196 closing Main Street on September 8, 2012, for Olde Salem Days festivities; and WHEREAS, Edward “Skip” Lautenschlager and Barney Horrell with the Salem Rotary, appeared before the Council requesting that Main Street be closed on September 8, 2012, for Olde Salem Days festivities ; and WHEREAS, Mayor Foley stated that there is a bill before the General Assembly that will go on the ballot in November as a public referendum which may affect localities ability to close streets for festivities or parades for fear of businesses losing revenue; ON MOTION MADE BY COUNCILMAN JONES, SECONDED BY COUNCILWOMAN JOHNSON, AND DULY CARRIED, Resolution 1196 was hereby ITEM 3 RESOLUTION 1196 ADOPTED CLOSING MAIN STREET ON SEPTEMBER 8, 2012, FOR OLDE SALEM DAYS ITEM 2 PRESENTATION FROM JUDY LAPRADE AND DAVE LEFEVERS, CO- CHAIRS, AND JULIE TERRELL, COMMUNITY MANAGER, REGARDING THE 2011 SALEM RELAY FOR LIFE 4 adopted closing Main Street on September 8, 2012, for Olde Salem Days festivities: (HERE SET OUT RESOLUTION) – the roll call vote: Lisa D. Garst – aye, William D. Jones – aye, Jane W. Johnson – aye, John C. Givens – aye, and Byron Randolph Foley – aye. Mayor Foley requested that Council consider donation ($1,104.05) to Salem Kiwanis Club equal to the amount of admissions tax paid in connection with the Valley Shootout event held February 5, 2011 ($424.76), and the Roy Stanley Memorial Basketball Shootout held on February 4, 2012 ($679.29); ON MOTION MADE BY COUNCILWOMAN JOHNSON, SECONDED BY VICE MAYOR GIVENS, AND DULY CARRIED, a donation ($1,104.05) equal to the amount of admissions tax paid in connection with the Valley Shootout event held February 5, 2011, and the Roy Stanley Memorial Basketball Shootout held on February 4, 2012, was hereby approved – the roll call vote: Lisa D. Garst – aye, William D. Jones – aye, Jane W. Johnson – aye, John C. Givens – aye, and Byron Randolph Foley – aye. Mayor Foley requested that Council receive report and consider adopting Resolution 1197 authorizing the sale of certain City investments; and WHEREAS, Vice Mayor Givens, Chair of Council’s Audit-Finance Committee, reported that the Committee discussed the City owned common stock in Prudential Financial, Inc., and Time Warner Cable; these investments have been held by the City for years and it is appropriate for the City to divest of these investments; the City participated in a previous retirement plan for the benefit of employees through Prudential, Inc., and received shares of common stock when Prudential converted to a stock corporation; the City also re ceived shares from Time Warner Cable as a result of the bankruptcy of Adelphia, Inc.; the Committee recommends the authorization of the City Manager and Finance Director to place these investments for sale at a time that may be advantageous to the City; and WHEREAS, Councilwoman Garst asked that the monies from the sale of the investments be placed into the City reserve fund; and WHEREAS, the City Manager stated that the Audit-Finance Committee ITEM 4 DONATION APPROVED TO SALEM KIWANIS CLUB IN AMOUNT EQUAL TO AMOUNT OF ADMISSIONS TAX PAID IN CONNECTION WITH THE VALLEY SHOUTOUT EVENT HELD FEBRUARY 5, 2011; AND ROY STANLEY MEMORIAL BASKETBALL SHOUTOUT HELD FEBRUARY 4, 2012 ITEM 5 RESOLUTION 1197 ADOPTED AUTHORIZING THE SALE OF CERTAIN CITY INVESTMENTS 5 discussed this and determined that the monies from the sale of the investments be placed in the undesignated fund balance to serve as a boost for the reserves as well; and WHEREAS, it was noted that the approximate value of the investments is approximately $138,000; ON MOTION MADE BY VICE MAYOR GIVENS, SECONDED BY COUNCILMAN JONES, AND DULY CARRIED, Resolution 1197 authorizing the sale of certain City investments was hereby adopted: (HERE SET OUT RESOLUTION) – the roll call vote: Lisa D. Garst – aye, William D. Jones – aye, Jane W. Johnson – aye, John C. Givens – aye, and Byron Randolph Foley – aye. Mayor Foley requested that Council consider authorizing the City Manager to execute a contract regarding the purchase and implementation of Enterprise Resource Planning software; and WHEREAS, Vice Mayor Givens, Chair of Council’s Audit-Finance Committee, reported that previously City Council authorized negotiations for the payroll and human resources aspect through Kronos for both the City and School Division; these negotiations are complete; Kronos will now include payroll, human resources, and a time-keeping and leave balance reporting system; the total estimated cost is $685,350 (including the previous amount approved of $300,869); the final piece is PCI, LLC, and incorporates upgrading the current cashiering system to include Utility Collections, and development and implementation of a Personal Property System and Business Personal Property, Business Licenses, and the billing of Real Estate Taxes; the total estimated cost is $246,800; the Committee recommends authorizing the City Manager to execute contracts with Kronos and PCI, LLC, as stated; and WHEREAS, the City Manager stated that City Council has previously authorized $1.5 million to go toward ERP implementation in the City of Salem; he stated that the request is to amend the contract with Kronos to include the HR component of the software; he stated that another software component will need to be purchased for the Real Estate Department; he further stated that the final piece that incorporates upgrading the current cashiering system is with PCI, LLC; he stated that a PCI system has been in place with the city and is one of the oldest still-running PCI software packages in the state; he stated that the total ITEM 6 CITY MANAGER AUTHORIZED TO EXECUTE CONTRACT REGARDING THE PURCHASE AND IMPLEMENTATION OF ENTERPRISE RESOURCE PLANNING SOFTWARE 6 cost for the software is $1,410,410 which includes software, licensing, training and maintenance, data conversion, and project implementation; he stated that due to the storage needs a request will be made for additional “blade” servers as well as additional memory, which will cost approximately $500,000; he stated that 16 different servers are needed which will be placed on blades so there will not be 16 actual servers placed in the data center; additional memory/storage capacity is needed partly due to the extra video surveillance systems placed in the courthouse; the video is kept for approximately two weeks; he also stated that during the transition to the new software, the old data will still need to be stored until the process is completed; and WHEREAS, Councilman Jones stated that the original amount app roved was $1.5 million and questioned where the additional $500,000 was going to come from; and WHEREAS, the City Manager stated that the software needed for the Real Estate Department for appraisals will cost approximately $100,000; the additional money needed for storage will be in addition to the $1.5 million; he stated that it was originally thought that the $1.5 million would cover everything, but it does not due to the additional hardware that needs to be purchased above the original figure; and WHEREAS, Councilman Jones questioned if $2 million would be the final total or if there would be something additional; and WHEREAS, the Director of Technology Systems stated that the figure should be enough; and WHEREAS, Councilwoman Garst stated that when Council was given the $1.5 million figure, it was a “hard” figure; she stated that things do come up when a project is being done, but it is disconcerting that another $500,000 is going to be needed; she questioned if off-site storage could be rented instead of purchased in order to reduce the costs; and WHEREAS, the Director of Technology Systems stated that the $1.5 million figure was actually the cost of the software and the implementation of the software; and WHEREAS, Councilwoman Garst stated that she understood the City saved a lot of money by moving forward on the software early; and WHEREAS, the Director of Technology Systems stated that the City did 7 save a lot of money by moving forward, normally more than $1.5 million is spent on the software the city is purchasing and for the implementation of the software; she stated that the hardware was not included in that figure; she stated that when the data center was designed, it was thought that it would meet the city’s needs for time to come, but there are currently 100 ser vers on eight blades including the schools and the city; she stated that there are also over 100 cameras in place throughout the city; and WHEREAS, Councilman Jones questioned how soon the additional money will be needed; and WHEREAS, the City Manager stated that he hopes the money can be phased in over the next two years as the project moves forward; he stated that the blades and either a reduction in the amount of storage or additional storage is needed fairly quickly; and WHEREAS, a discussion was held regarding ways to reduce the amount of data stored, the data center, etc.; and WHEREAS, Mayor Foley questioned if the need for the software is a need from being behind for so long, or over building, just now catching up or a combination; and WHEREAS, the Director of Technology Systems stated that it is a combination; she stated that not realizing the city was behind so much and not realizing the data the city has are problematic; she stated that three networks were placed together in one data center (the city, schools, an d the police department); she stated that it was thought that eight blades would last longer but there are over 100 servers on them and there are a few more that need to be placed on the blades; and WHEREAS, Councilwoman Garst questioned if the schoo ls shared in the cost of bringing the networks together; and WHEREAS, the Director of Technology Systems stated that the schools are not utilizing the data center 100 percent; it was noted that the schools purchased three of the eight blades being used in the data center and do purchase their own blades as they grow; and WHEREAS, the Director of Finance noted that the schools have already approved at least $300,000 toward the project and the city will probably ask for a bigger share; and 8 WHEREAS, Vice Mayor Givens stated that because the city has “drug its feet” and not updated its software, the project is needed; and WHEREAS, a discussion was held regarding the increase in efficiency, etc. with the design of the data center and once the implementation of the software is complete; and WHEREAS, it was noted that the additional $500,000 needed for the purchase of the hardware needed is not being approved at this time; ON MOTION MADE BY VICE MAYOR GIVENS, SECONDED BY COUNCILMAN JONES, AND DULY CARRIED, the City Manager is hereby authorized to execute contracts with Kronos and PCI, LLC regarding the purchase and implementation of Enterprise Resource Planning softwar e – the roll call vote: Lisa D. Garst – aye, William D. Jones – aye, Jane W. Johnson – aye, John C. Givens – aye, and Byron Randolph Foley – aye. Mayor Foley requested that Council consider an ordinance with emergency provisions, amending Chapter 90, Article IV, Division 2, Section 90- 257, of The Code of the City of Salem, Virginia, regarding rates within the City; and WHEREAS, Vice Mayor Givens, Chair of Council’s Audit-Finance Committee reported that in June 2010, the City amended Section 90-257 regarding water rates within the City with the intention of revisiting the rates after a couple of years to determine if they were appropriate; after receiving concerns from our largest customers, it is apparent that a revision to add a new top tier for customers utilizing over 1,000,000 GPM is in order; this chan ge will be effective March 1, 2012, at a cost of $3.30 per 1,000 gallons, and will increase in January 2013, and 2014; the Committee recommends amending Section 90 - 257 on an emergency basis instituting these changes; and WHEREAS, Mayor Foley questioned if all of the effective businesses have been notified; and WHEREAS, it was noted that the businesses have been notified; ON MOTION MADE BY VICE MAYOR GIVENS, SECONDED BY COUNCILMAN JONES, AND DULY CARRIED, an ordinance amending Chapter 90, Article IV, Division 2, Section 90-257, of The Code of the City of Salem, Virginia, regarding rates within the City was hereby adopted with emergency provisions ITEM 7 ORDINANCE ADOPTED WITH EMERGENCY CONDITIONS AMENDING CHAPTER 90, ARTICLE IV, DIVISION 2, SECTION 90-257 OF THE CODE OF THE CITY OF SALEM, VIRGINIA, REGARDING RATES WITHIN THE CITY 9 to become effective March 1, 2012 – the roll call vote: Lisa D. Garst – aye, William D. Jones – aye, Jane W. Johnson – aye, John C. Givens – aye, and Byron Randolph Foley – aye. Mayor Foley requested that Council consider an ordinance on first reading amending Chapter 90, Article IV, Division 2, Section 90 -259 of The Code of the City of Salem, Virginia, pertaining to credits for leakage; and WHEREAS, Vice Mayor Givens, Chair of Council’s Audit-Finance Committee reported that over the years there has been considerable confusion regarding water credits for leakage; this amendment will clarify this confusion by explaining how the credit will be computed, how often a customer can receive a credit, and lastly how the City and customer will share in the cost of the leak; it will require certification that the cause of the leak has been resolved; the Committee recommends the repeal and re-enactment of Section 90-259 of the Salem City Code pertaining to credits for leakage; and WHEREAS, Councilwoman Garst questioned if the amendment could be changed to where it is easier to read; and WHEREAS, the City Attorney stated that the amendment could be clarified and made easier to read; and WHEREAS, Mayor Foley questioned how the amendment changes the credit; and WHEREAS, the City Manager stated that the amendment clarifies and actually awards a sewer credit where it didn’t before; and WHEREAS, the Director of the Water and Sewer Department appeared before the Council and stated that the amendment will look at more of the usage over a twelve month period instead of a two month period; he stated that two months is not a long enough period to gauge the usage on an account; he stated that the change also clarifies that one credit will be given per twelve months; if someone is having multiple problems, the city does acknowledge that there is an issue and a credit will be given one time; he stated that if a custome r has a leaky toilet 100,000 gallons could easily be used in a month; he stated that the proposed amendment will also help to prevent customers from not fixing leaks; and ITEM 8 ORDINANCE PASSED AMENDING CHAPTER 90, ARTICLE IV, DIVISION 2, SECTION 90-259 OF THE CODE OF THE CITY OF SALEM, VIRGINIA, PERTAINING TO CREDITS FOR LEAKAGE 10 WHEREAS, Mayor Foley questioned if there have been instances where a water customer has not fixed a leak, etc.; and WHEREAS, the Director of Finance stated that there have been instances where customers knowingly have leaks and will decide that it is cheaper to continue to keep paying for the leak instead of getting it fixed; he stated that the amendment will help prevent this from happening; and WHEREAS, Councilwoman Garst questioned how it is determined that a customer has a leak; and WHEREAS, the Director of Water and Sewer stated that leak detectors are placed on the meters so that when the meters are read, the meter reader can see if there is a leak and the customer is notified; he stated that there has been an instance where a customer has allowed the leak to go on for over a year; etc. ON MOTION MADE BY VICE MAYOR GIVENS, SECONDED BY COUNCILMAN JONES, AND DULY CARRIED, an ordinance amending Chapter 90, Article IV, Division 2, Section 90-259, of The Code of the City of Salem, Virginia, pertaining to credits for leakage was hereby passed on first reading – the roll call vote: Lisa D. Garst – aye, William D. Jones – aye, Jane W. Johnson – aye, John C. Givens – aye, and Byron Randolph Foley – aye. There being no further business to come before the Council, the same on motion adjourned at 8:25 p.m.