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HomeMy WebLinkAbout7/27/2020 - City Council - Agenda -RegularCi ty Council Meeting A G E N D A Monday, July 27, 2020, 6:30 PM Community Room, Salem Civic Center, 1001 Roanoke Boulevard, Salem, Virginia 24153 1.C all to Order 2.Pledge of Allegiance 3.C onsent Agenda A.Minutes C onsider acceptance of the minutes from the J uly 13, 2020, regular meeting. B.F inancial Report C onsider the acceptance of the Statement of Revenues and Expenditures for the twelve months ending J une 2020. 4.Old Business A.Vacation of Right of Way C onsider ordinance on second reading permanently vacating and disposing of an approximate 0.0069 acres of an 12' unopened alley situate off West Second Street for Ricky Reynolds. (Approved on first reading at the July 13, 2020, meeting.) 5.New Business A.Roanoke Valley Detention Commission Service Agreement C onsider request to approve the amended service agreement for the Roanoke Valley Detention C ommission. Audit - Finance Committee B.Appropriation of F unds C onsider request to appropriate C A RES Act funding for election expenses. Audit - Finance C ommittee C .Appropriation of F unds C onsider request to appropriate interest earned on the unspent proceeds of the 2020 General Obligation Bonds, additional proceeds and bond issuance costs. Audit - Finance C ommittee D.Appropriation of F unds C onsider request to appropriate local funding for the VD OT East Main Street project. Audit - Finance C ommittee E.B oards and Commissions C onsider appointments to various boards and commissions. 6.C losed Session A.Closed Session Hold a closed session in accordance with the provisions of Section 2.2-3711A(1) of the 1950 C ode of Virginia, as amended, to discuss a personnel matter pertaining to the appointment of an Assistant City Manager. 7.Adjournment Audit Finance Committee Meeting, 8:00 a.m., City Manager's Conference Room City Council Meeting MINUTES Monday, July 13, 2020, 6:30 PM Community Room, Salem Civic Center, 1001 Roanoke Boulevard, Salem, Virginia 24153 1.Call to Order A regular meeting of the Council of the City of Salem, Virginia, was called to order at 6:30 p.m., there being present all the members to wit: Renee F. Turk, Mayor, James W. Wallace, III, Vice-Mayor, Council members: Byron Randolph Foley, William D. Jones, and John E. Saunders; with Renee F. Turk, Mayor, presiding; together with James E. Taliaferro, II, City Manager; Rosemarie B. Jordan, Director of Finance; Charles E. VanAllman, Jr., Community Development Director; Mike Stevens, Communications Director; Judy L. Hough, Deputy City Clerk; Crystal L. Williams, Assistant to the City Manager; and Stephen M. Yost, City Attorney. 2.Pledge of Allegiance 3.Consent Agenda A.Work Session Hold work session to discuss the revised service agreement for the Roanoke Valley Detention Commission and other items deemed necessary. Mr. Taliaferro noted that Jim Guynn, attorney for the Roanoke Valley Detention Commission, is present and ready to discuss the revised service agreement. Jim Guynn appeared before the Council and gave Council an update related to the Roanoke Valley Detention Commission and the revised service agreement. Ms. Jordan also discussed the costs to the City of Salem related to the revised service agreement. There were no other topics for discussion, and no action was taken on this item during the work session. B.Citizens' Comments Receive comments from the public on matters not on the regular agenda. (Name, address, and topic are required and five-minute time limit.) There were no citizens' comments for this meeting of Council. Item # 3ADate: July 27, 2020 C .Minutes Consider acceptance of the minutes from the J une 22, 2020, regular meeting, J une 20, 24, 29 and J uly 6, 2020, special meetings, and J uly 1, 2020, organizational meeting. Accepted 4.Old Business A.Vacation of Right of Way Receive report of viewers and consider ordinance on first reading permanently vacating and disposing of an approximate 0.0069 acres of an 12' unopened alley situate off West Second Street for Ricky Reynolds. (As advertised in the J une 4 and 11, 2020, issues of the Salem Times Register.) Mr. VanAllman noted he believed the unopened right of way existed prior to the houses being constructed in this area. T he owner of the property at 306 West Second Street would like to vacate the right of way in order to build a larger house, and this will also help with the setback required. T he unopened right of way is not being used, and there are no utilities located in the right of way. Mr. Taliaferro noted the viewers met last week to discuss this request and recommend approval. A copy of the report of the viewers is included C ouncil's packet. William J ones motioned to approve the ordinance on first reading permanently vacating and disposing of an approximate 0.0069 acres of a 12' unopened alley situate off West Second Street for Ricky Reynolds. Randy Foley seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace B.Special Exception P ermit Consider the request of Salem Montessori School, Inc., property owner, for the issuance of a Special Exception Permit to allow educational facilities, primary/secondary on the property located at 1574 Roanoke Boulevard (Tax Map # 222-1-2). (C ontinued from the J une 22, 2020, meeting. Planning C ommission recommended approval; see Page 3 Planning Commission minutes). STA FF REPO RT - I tem amended Mayor Turk noted this item had been continued from the J une 22, 2020, meeting of C ouncil, the Planning C ommission had recommended approval, and their minutes were included in the packet. Mr. VanAllman discussed the Special Exception Permit request. He noted the petitioner is proposing to use their previous building on the Boulevard. He noted that they were grandfathered in this location, but the grandfather rights have expired because the building has been vacant for more than two years. T hey are proposing to use the building at 1/2 capacity from what it was previously. T he Planning C ommission recommended approval with two conditions: (1) only 1st through 8th grade classes are permitted and (2) no more than 60 students and 6 staff members. Mr. Foley noted there was a question raised at the last meeting about the number of parking spaces. He asked if staff had been out to find out how many spaces, etc. Mr. VanAllman noted that staff had been out and just from looking at it he believes that they can easily get ten spaces on the property, but they can at least meet the six spaces required for the staff members. Mr. J ones asked about the flow of traffic as he has been to the site twice. He is concerned about the traffic with the 60 students they are proposing. Mr. VanAllman noted he believes that the traffic will not be an issue like it was when they were previously in this building. T hey had all age groups in the building before which included day care, kindegarteners, and smaller children. T his required the parents to have to park the car and go in with the children. From what he understands from Mrs. Vanderhooven, the parents will be able to drop the children off without parking, and there will be someone outside to facilitate this. T his should improve the flow of traffic. He noted that he cannot say there will not be any issues, but they should not have the same concerns that they had previously. Mr. J ones asked if the petitioner was in the audience. Mayor Turk asked Mrs. Vanderhooven to come forward to the podium. Valerie Vanderhooven, founder/directress of Salem Montessori School, appeared before the C ouncil. Mayor Turk asked her what are the hours of operation for the school. Mrs. Vanderhooven noted that they are open from 7 am to 6 pm Monday through Friday. Mayor Turk asked what times would be the crunch times. Mrs. Vanderhooven noted that the students would need to be there by 8 am so between 7:45 and 8:15 am would be the busiest time. T here was further discussion regarding the previous traffic issues. Mrs. Vanderhooven noted that since the time they were in this buidling they built their new facility next the Y MC A. Now due to the C O VID pandemic, they need to reoccupy the old campus so they can spread the students out more and still serve all the students that are currently enrolled. T hey would not be able to serve them in the fall, if they are not able to occupy this structure. She does not foresee the traffic being a problem because the students will be able to get out of the car and enter the school. Also, there will be a maximum of 60 students with 6 full-time staff members, maybe a maintenance person occasionally, and she may be on the campus some as well. T here was further discussion regarding the drop off of students and the flow of traffic. Mrs. Vanderhooven noted that the parents will drop off the students and then continue on Albert Drive and come out on Easton Road to the Boulevard. Mr. Saunders asked if Council could request that a staff member be stationed outside at the drop off. Mrs. Vanderhooven noted that there would be someone at the top of the stairs to meet the students. So, he is asking for another staff member to be outside? Mr. Saunders noted that this was correct. She noted that she would have to take a look and see if there is another staff member she could place outside. Mr. Saunders noted that he is concerned about the parents turning around and going back on Alberta to the Boulevard. Mrs. Vanderhooven noted that they are going to meet with the parents and explain that they cannot use driveways to turn around and go back on Alberta. T hey will have to continue on Alberta to Easton. She noted that they will stress this to the parents and if they do not cooperate, then their students will not be be allowed to continue at the school. Mr. J ones asked if this was going to be permanent fix or just a temporary location for the school. Mrs. Vanderhooven noted that it will be a permanent location due to the amount of work they are going to have to do to make this possible. Vice Mayor Wallace asked if this is a permanent location, then she is asking C ouncil to reinstate the grandfather clause as permanent. Mrs. Vanderhooven noted that he was correct. She noted that they will keep this as their elementary and middle school campus from now on. Vice Mayor Wallace asked if she would object if C ouncil approved the Special Exception for only one year to see if they are able to meet their promises and then they could revisit this again. Mrs. Vanderhooven noted that she probably would object if she had to come back. She probably would not accept the number of students that she currently has enrolled, if she had to do this. She noted that she could not make the investment that she is having to do for just one year, and then be told that she could not continue at this location. T his is already a huge financial burden. Vice Mayor Wallace asked staff if the grandfathered use of the school meets the vision of the City for the use of the land at this location. Mr. VanAllman noted that the grandfather use for the school stopped because it had not been used in this manner for more than two years. He noted that the zoning for the property which is RB Residential Business does meet the vision of the C ity for this area, and the use of the property for educational facilities, primary/ secondary is a permitted use with the approval of the Special Exception Permit. It does meet the vision because we would not allow the use as a Special Exception otherwise. He further discussed the proposed use and noted staff feels that the nature of the drop off is more congruent for this type of use at this location. Mr. J ones noted that if they do not abide by what they have agreed to in the request, then C ouncil has a right to revoke the permit. Is that correct? Mr. VanAllman noted that he thought that they could. Mr. Yost noted that C ouncil could revoke the permit by the same process in which it is granted. Mr. Yost further noted that C ouncil can set whatever appropriate conditions on a Special Exception Permit if they choose to do so. T his is what the Planning C ommission did when they placed the two conditions on it at their meeting. If C ouncil so chooses, they could place a condition that addresses the traffic. Elizabeth C uret of 1600 Albert Drive appeared before the Council. She noted that she had been to the other two meetings regarding the request. She is not really opposed, but she is concerned about the parking and the way the parents drive around the neighborhood. She asked if this could all be moot if the schools are not allowed to open because of C O VID. Will they be under the state or city rules for opening? Mr. Yost noted if the Governor determines that schools will not open, private or public, then the school will not be allowed to open. She further noted that she is not opposed, but she will be watching to make sure the parents are following the school's instructions. Randy Foley motioned to approve the request of Salem Montessori School, Inc., property owner, for the issuance of a Special Exception Permit to allow educational facilities, primary/secondary on the property located at 1574 Roanoke Boulevard (Tax Map #222-1-2) subject to the following conditions: (1) only 1st through 8th grade classes, (2) no more than 60 students and 6 staff members, and (3) appropriate written instructions will be provided by the school to direct parents to enter on Alberta Drive and continue to Easton Road back to Roanoke Boulevard in order to prevent the use of private driveways as turnarounds. William J ones seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace 5.New Business A.Roanoke Valley Broadband Authority Consider the adoption of Resolution 1388 approving the Roanoke Valley Broadband Authority membership changes shown in the Authority's Amended and Restated Articles of Incorporation, and authorize their filing with the Virginia State Corporation Commission. Mr. Taliaferro noted the Roanoke Valley Authority currently has members from Salem, Roanoke C ity, Roanoke County and Botetourt C ounty along with a citizen member that is generally appointed by the four local governments. T he General Assembly passed an amendment to the Virginia Wireless Service Authorities Act which allows seven members on the Broadband Authority. T he Authority would like to add Virginia Tech and Carilion Clinic to the local board which will add the resources from Virginia Tech along with their partner, Carilion Clinic. He noted that Frank Smith, C EO of the Roanoke Valley Broadband Authority, is in the audience. Frank Smith, C EO of the Roanoke Valley Broadband Authority, appeared before the C ouncil regarding the request. He noted that the Board has been working on this for about a year and a half. T hey have the opportunity to bring on the C hief Information Officers at Virginia Tech and Carilion Clinic as citizen members. T hey will be citizen members just like Mr. Mike McEvoy, who is the Executive Director of the Western Virginia Water Authority. He thanked Council for Salem's support, as they are up to over 100 miles in the ground. T hey have 65 service points and multiple commercial carriers, etc. He further discussed the request regarding adding two new citizen members to the Authority and noted he appreciated City C ouncil's support and consideration of the resolution before them this evening. Randy Foley motioned to adopt Resolution 1388 approving the Roanoke Valley Broadband Authority membership changes shown in the Authority's Amended and Restated Articles of Incorporation, and to authorize their filing with the Virginia State Corporation Commission. J ohn Saunders seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace B.Abstract of Votes Receive the Abstract of Votes cast at the Republican Primary Election held on J une 23, 2020. Received C .Appropriation of F unds Consider request to appropriate additional highway maintenance funding from the state for paving. Audit - Finance C ommittee Mrs. J ordan discussed the request to appropriate additional highway maintenance funding from the state for the paving contract. J ames Wallace motioned to appropriate additional highway maintenance funding from the state in the amount of $1,720,663 for the paving work to be done in fiscal year 2021. Randy Foley seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace D.Appropriation of F unds Consider request to appropriate Animal Shelter donation. Audit - Finance Commitee Mrs. J ordan discussed the request to appropriate a donation to the Animal Shelter. In February 2020, the Shelter received a donation in the amount of $90,000 from the Estate of Robert Gordon Page. At the end of J une 2020, the Shelter received an additional donation of $72,720 from the Estate. Staff is requesting Council to appropriate the donation to beginning fund balance as the funds were received during the last week of the last fiscal year. She noted that she has been in touch with Chief Mike Crawley and discussed the use of the donations. He would like to spend some of the donation money on something they can attach a plaque to in order to show the family or person that the funds came from them. He would like to upgrade the cage system to a much nicer, much more animal friendly and more welcoming to the citizens coming in to potentially adopt an animal. Staff is looking into this. Once they have expended the money for that, they will come back to C ouncil to let them know where the department would like to spend the rest of the funds. William J ones motioned to appropriate the Animal Shelter donation in the amount of $72,720 to be used for the care and basic needs of the animals at the shelter. J ames Wallace seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace E.Appropriation of F unds Consider request to appropriate Keep Virginia Beautiful Grant funds. Audit - Finance C ommittee Mrs. J ordan discussed the request to appropriate the Keep Virginia Beautiful Grant funds. T he City of Salem has been awarded $1,000 from the Keep Virginia Beautiful 30 in 30 Green Grants program. T he C ity's Beautification Division will use the funds to restore the WWI Memorial green space, including plantings indicative of World War memorial gardens. T He Roanoke/Salem American Legion Post will be providing volunteers to assist with the restoration. Because the grant was received at the end of J une and no funds were expended, we will need to carry the money over to the current fiscal year. Proceeds from the grant will be used to restore the green space, which was not included in the budget. Randy Foley motioned to appropriate the Keep Virginia Beautiful Grant funds in the amount of $1,000 to be used to restore the WWI Memorial green space. William J ones seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace F.Appropriation of F unds Consider request to appropriate funding for boiler replacement at the Civic Center. Audit - Finance C ommittee Mrs. J ordan discussed the request to appropriate funding for boiler replacements at the C ivic Center. In J une 2020, bonds were sold to fund Salem High School renovations and C ity equipment purchases. One of the items on the list of purchases was the replacement of two boilers at the C ivic Center. Bond proceeds are accounted for in the C apital Projects Fund and will be transferred to the C ivic C enter fund as expenses are paid. T he C ivic Center fund budget will be increased to account for the transfer from capital projects and the project funding. J ohn Saunders motioned to appropriate funding in the amount of $109,000 for the boiler replacements at the C ivic Center. Randy Foley seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace G.Appropriation of F unds Consider request to appropriate funds to purchase pollbooks for the Registrar's Office. Audit - Finance Committee Mrs. J ordan discussed the request to appropriate funds to purchase pollbooks for the Registrar's Office. Funding was available in the 2019 fiscal year budget to purchase pollbooks; however, the State did not approve the type of equipment to be purchased so the pollbooks were not purchased and no funds were expended. New pollbooks have to be purchased before the presidential election in November 2020. T he State has now approved the equipment to be purchased. Staff is requesting to appropriate the funds to purchase the equipment for the Registrar's Office. Steve Smeltzer appeared before the Council and thanked them for their support of the office. He noted the office is revered by the State, and they try to be as efficient as they can. T he present pollbooks are 12 years old, and they are having problems with several of them. So, he urged C ouncil to appropriate the funds for the equipment. William J ones motioned to appropriate funds in the amount of $36,290 to purchase pollbooks for the Registrar's Office. Randy Foley seconded the motion. Ayes: Foley, J ones, Saunders, Turk, Wallace H.Boards and Commissions Consider appointments to various boards and commissions. Mr. J ones noted that he will volunteer to remain on the Western Virginia J ail Authority until the end of December. Mayor Turk thanked Mr. J ones for agreeing to stay on this board until that time. Randy Foley motioned to reappoint Melton J ohnson to the Fair Housing Board for a three-year term ending J uly 1, 2023 and to appoint J ay Taliaferro to the Western Virginia Workforce Development Board for the remainder of a four-year term ending J une 30, 2022. William J ones seconded the motion. Ayes: Saunders, J ones, Foley, Wallace, Turk William J ones motioned to appoint J ohn Saunders and J ames Wallace to the Audit Finance Committee. Randy Foley seconded the motion. Ayes: Saunders, J ones, Foley, Wallace, Turk Randy Foley motioned to appoint Renee Turk to the Roanoke Valley Transportation Planning Organization (T PO) for a three-year term ending J une 30, 2023. J ames Wallace seconded the motion. Ayes: Foley, J ones, Saunders, Wallace Abstain: Turk 6.Adjournment Vice Mayor Wallace noted he would like to discuss video streaming C ouncil meetings with the members. Mayor Turk stated Council can put this up for consideration and discussion. C ouncilmember Foley noted that he thought Council needed to have some time to think about this so maybe this could be considered as a future work session topic. Mayor Turk noted that she thought that sounded good. T he meeting was adjourned at 7:24 p.m. Schedule A *Subject to Final Audit Current Year Current Year % of Prior Year Budget Year to Date Budget Year to Date Variance Revenues: Beginning Balance 7-1-19 4,361,578$ -$ 0%-$ -$ General Property Taxes 37,880,695 36,623,829 97%36,777,306 (153,477) Other Local Taxes 22,938,000 20,754,975 90%21,246,480 (491,505) Permits and Licenses 297,950 322,816 108%343,841 (21,025) Fines and Forfeitures 113,500 61,596 54%103,600 (42,004) Revenue from Use of Money and Property 1,718,569 1,933,558 113%1,180,302 753,256 Charges for Services 3,659,050 3,313,308 91%2,956,492 356,816 Payment in Lieu of Taxes from Electric Fund 3,160,000 3,160,000 100%3,160,000 - Payment in Lieu of Taxes from Water Fund 163,000 175,767 108%171,193 4,574 Miscellaneous Revenue 191,859 350,276 183%322,431 27,845 Recovered Costs 13,296 - 0%- - Non-Categorical Aid 3,908,287 1,163,126 30%1,250,434 (87,308) Shared Expenses 1,411,164 1,266,944 90%1,173,886 93,058 Categorical Aid 10,526,412 9,431,638 90%6,644,917 2,786,721 Non-Revenue Receipts 72,656 72,653 100%2,975 69,678 Total Revenues 90,416,016 78,630,486 87%75,333,857 3,296,629 Expenditures: General Government 7,436,572 6,978,223 94%6,227,306 750,917 Judicial Administration 2,276,419 2,079,121 91%2,018,874 60,248 Public Safety 19,413,857 16,756,855 86%16,029,731 727,123 Public Works 13,585,708 8,452,995 62%8,178,747 274,248 Health and Welfare 4,965,481 4,112,830 83%3,642,856 469,973 Education 24,311,030 23,185,765 95%22,387,204 798,561 Parks, Recreation and Cultural 5,860,274 5,104,116 87%5,153,309 (49,193) Community Development 3,481,247 3,303,723 95%4,466,127 (1,162,404) Non-Departmental 7,623,526 6,497,942 85%6,041,603 456,340 Contingency 526,902 - 0%- - Contingency for Economic Dev. Opportunities 200,000 - 0%- - Reserve for Fund Balance Replenishment 450,000 - 0%- - Reserve for Capital 285,000 - 0%- - Total Expenditures 90,416,016 76,471,570 85%74,145,757 2,325,813 Revenues Over/(Under) Expenditures -$ 2,158,916$ 1,188,100$ 970,816$ City of Salem, Virginia General Fund Statement of Revenues and Expenditures For Twelve Months Ending June 30, 2020* Item # 3BDate: July 27, 2020 Schedule B *Subject to Final Audit - 50,000.00 100,000.00 150,000.00 200,000.00 250,000.00 300,000.00 350,000.00 400,000.00 450,000.00 500,000.00 550,000.00 600,000.00 650,000.00 700,000.00 750,000.00 800,000.00 850,000.00 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June City of Salem Sales Tax Summary For Fiscal Years 2018 -2020* FY 2018 FY 2019 FY 2020 Schedule C *Subject to Final Audit 50,000.00 100,000.00 150,000.00 200,000.00 250,000.00 300,000.00 350,000.00 400,000.00 450,000.00 500,000.00 550,000.00 600,000.00 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June City of Salem Meals Tax Summary For Fiscal Years 2018 -2020* FY 2018 FY 2019 FY 2020 Schedule D *Subject to Final Audit - 25,000.00 50,000.00 75,000.00 100,000.00 125,000.00 150,000.00 175,000.00 200,000.00 225,000.00 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June City of Salem Lodging Tax Summary For Fiscal Years 2018 -2020* FY 2018 FY 2019 FY 2020 City of Salem, Virginia Debt Outstanding For Period Ending June 30, 2020 Schedule E *Subject to Final Audit Balance Principal Balance 7/1/2019 Issuances Payments 6/30/2020 City Debt Outstanding 2010B VML/VACO Series G Build America Bonds* 2,700,000$ -$ (2,385,000)$ 315,000$ 2010D VML/VACO Bonds I Tax Exempt Bonds 1,775,000 - (305,000) 1,470,000 2011 Union First Market Refunding Bonds 1,996,164 - (416,322) 1,579,842 2013 Public Improvement Bonds 1,335,250 - (89,425) 1,245,825 2015 Key Bank Refunding Bonds* 1,581,684 - (1,581,684) - 2016A Public Improvement Bonds* 3,275,107 - (3,275,107) - 2016B Public Improvement Bonds 980,736 - (129,943) 850,793 2019 Public Improvement Bonds 5,025,000 - (166,000) 4,859,000 2020 Public Improvement Bonds - 2,595,000 - 2,595,000 2020 Public Improvement Refunding Bonds - 5,799,023 - 5,799,023 Total City Debt Outstanding 18,668,941 8,394,023 (8,348,481) 18,714,483 School Debt Outstanding 2011 Union First Market Refunding Bonds 3,493,836 - (728,678) 2,765,158 2012A Public Improvement Bonds 6,681,500 - (477,250) 6,204,250 2013 Public Improvement Bonds 4,114,750 - (275,575) 3,839,175 2020 Public Improvement Bonds - 23,960,000 - 23,960,000 Total School Debt Outstanding 14,290,086 23,960,000 (1,481,503) 36,768,583 Total Debt Outstanding 32,959,027$ 32,354,023$ (9,829,984)$ 55,483,066$ *These three issues were refunded in June 2020. An additional principal payment will be made on the 2010B issue in FY21. City of Salem, Virginia Capital Projects Fund Statement of Revenues and Expenditures For Period Ending June 30, 2020* Schedule F *Subject to Final Audit Project Total Available Year To Budget To Date Encumbrances Project Balance Date Fund Balance, July 1, 2019 2,720,784 Revenues: Federal Grants 9,038,041 743,747 - 743,747 8,294,294 453,936 State Grants 8,752,530 539,898 - 539,898 8,212,632 454,854 Proceeds From Debt Issuance 34,553,519 34,847,258 - 34,847,258 (293,739) 30,481,922 Interest Income 119,352 125,233 - 125,233 (5,881) 30,191 Donations 45,000 40,000 - 40,000 5,000 5,000 Issuance Of Capital Leases 72,648 72,648 - 72,648 - 72,648 Transfer From General Fund 1,856,678 1,871,505 - 1,871,505 (14,827) 773,827 Transfer From Electric Fund 450,600 450,600 - 450,600 - - Transfer From Water Fund 28,000 28,000 - 28,000 - - Transfer From Schools Fund 150,000 150,000 - 150,000 - - Total Revenues 55,066,368 38,868,889 - 38,868,889 16,197,479 32,272,378 Expenditures: ERP - New World 525,394 525,394 - 525,394 - - Firepower Appliances Capital Lease 72,648 72,648 - 72,648 - 72,648 Sheriff Equipment 2020 25,000 - 22,955 22,955 2,045 - Radio System Upgrade 2,637,839 2,282,066 - 2,282,066 355,773 130,449 Fire Station Alerting System 255,735 255,734 - 255,734 1 63,903 Fire Truck 2020 698,200 - - - 698,200 - Animal Shelter HVAC Replacement 50,000 - - - 50,000 - Roanoke Blvd Multimodal Impr at VA 876,381 778,703 1,951 780,654 95,727 734,004 Colorado St Bridge Replacement 6,450,000 121,173 777,927 899,100 5,550,900 98,576 Apperson Drive Bridge Replacement 3,364,939 57,447 664,983 722,430 2,642,509 9,247 Street Department Equipment 2019 718,342 672,159 - 672,159 46,183 526,483 Courthouse Cooling Tower Replacement 94,368 94,367 - 94,367 1 20,510 TAP House Roof Renovations 25,414 25,414 - 25,414 - 25,414 VDOT E Main Project UPC 8753 149,000 - - - 149,000 - Street Department Equipment 2020 1,255,183 - - - 1,255,183 - Rke River Greenway Phase 2B 361,886 361,885 - 361,885 1 71,747 Hanging Rock Battlefield Phase 2 570,310 120,858 14,682 135,540 434,770 13,831 Kiwanis Scoreboard 45,158 45,158 - 45,158 - - Parks & Recreation Equipment 2019 40,161 40,161 - 40,161 - 6,145 Western Roanoke River Greenway 50,000 1,500 - 1,500 48,500 - Elizabeth Campus Greenway 1,104,400 - - - 1,104,400 - Parks and Recreation Equipment 2020 23,000 - - - 23,000 - Kiwanis Field Lighting Upgrades 700,000 - - - 700,000 - Longwood Park Restroom Replacement 150,000 - - - 150,000 - Salem Memorial Park Equipment 2020 40,000 - - - 40,000 - Salem Memorial Park Lower Level Seats 101,000 - - - 101,000 - Library Sidewalk Replacement 36,800 - - - 36,800 - Kiwanis Roof/Infrastructure Renovations 41,528 - - - 41,528 - City of Salem, Virginia Capital Projects Fund Statement of Revenues and Expenditures For Period Ending June 30, 2020* Schedule F *Subject to Final Audit Project Total Available Year To Budget To Date Encumbrances Project Balance Date Downtown Impr - E Main St/College Ave 1,684,838 981,941 460,575 1,442,516 242,322 875,019 Downtown Impr - E Main St/Broad St 614,065 98,334 300 98,634 515,431 17,369 Downtown Impr - E Main St/Broad St-CDBG 250,000 - - - 250,000 - Downtown Impr - CDBG Community Impr 285,000 20,569 28,005 48,574 236,426 14,441 Downtown Impr - E Main St/Union St 750,000 - 116,050 116,050 633,950 - Downtown Impr - E Main St/Market St 3,629,869 490 - 490 3,629,379 490 Capital Projects Local Reserve 15,910 - - - 15,910 - Transfer to Civic Center-2019 Bonds 265,000 265,000 - 265,000 - 265,000 Transfer to Civic Center-2020 Bonds 109,000 - - - 109,000 - Transfer to Schools-2020 Bonds 27,000,000 2,200,998 - 2,200,998 24,799,002 2,200,998 Transfer to Electric-2020 Bonds - 1,089 - 1,089 (1,089) 1,089 2020 Bond Costs - 287,591 - 287,591 (287,591) 287,591 Total Expenditures 55,066,368 9,310,679 2,087,428 11,398,107 43,668,261 5,434,954 Fund Balance, June 30, 2020 29,558,208 Schedule G *Subject to Final Audit Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Sale of Power 39,986,044$ 37,555,779$ 94% 39,327,258$ (1,771,479)$ Other Electric Revenue 819,000 761,234 93% 614,136 147,097 Reserve for Encumbrances 3,504,086 - 0% - - Appropriated from Net Position 11,849,179 - 0% - - Total Operating Revenues 56,158,309 38,317,013 68% 39,941,394 (1,624,381) . Operating Expenses Other Power Generation - Operation 90,000 51,523 57% 68,834 (17,312) Other Power Generation - Maintenance 82,121 51,619 63% 11,287 40,333 Purchased Power 22,005,000 19,780,015 90% 21,232,339 (1,452,324) Transmission - Operation 6,010,500 5,590,814 93% 5,375,351 215,463 Transmission - Maintenance 24,000 4,019 17% 9,757 (5,738) Distribution - Operations 939,150 910,614 97% 950,125 (39,512) Distribution - Maintenance 1,229,054 1,096,816 89% 1,215,852 (119,036) Customer Service 550,288 569,056 103% 570,528 (1,473) Administration & General - Operation 3,053,003 1,468,566 48% 1,290,249 178,318 Administration & General - Maintenance 183,711 170,403 93% 118,633 51,770 Depreciation - 1,332,327 0% 1,494,223 (161,896) Capital 18,325,637 4,128,690 23% 929,286 3,199,405 Contingency 505,845 - 0% - - Total Operating Expenses 52,998,309 35,154,462 66% 33,266,464 1,887,998 Income (loss) Before Transfers 3,160,000 3,162,550 6,674,930 (3,512,380) Transfers (3,160,000) (3,160,000) 100% (3,160,000) - Income (loss) -$ 2,550$ 3,514,930$ (3,512,380)$ City of Salem, Virginia Electric Fund Statement of Operations For Twelve Months Ending June 30, 2020 Schedule H *Subject to Final Audit Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Services 7,025,205$ 6,824,728$ 97% 6,808,919$ 15,809$ Other Revenue 392,103 388,380 99% 397,915 (9,535) Reserve for Encumbrances 2,152,607 - 0% - - Appropriated from Net Position - - 0% - - pp p Total Operating Revenues 9,569,915 7,213,108 75% 7,206,834 6,274 . Operating Expenses Salaries of Personnel 815,545 770,791 95% 759,196 11,596 Fringe Benefits 358,154 339,583 95% 252,880 86,703 Contractual Services 729,431 542,609 74% 435,752 106,857 Printing and Binding 2,500 484 19% 1,750 (1,267) Advertising 1,000 355 35% 3,573 (3,218) Utilities 417,200 378,756 91% 407,690 (28,935) Communications 6,900 4,492 65% 4,899 (407) Insurance 27,250 27,277 100% 23,251 4,026 Travel and Training 9,800 5,995 61% 8,794 (2,799) Miscellaneous 61,930 59,598 96% 46,270 13,328 Materials and Supplies 184,588 149,846 81% 171,555 (21,709) Depreciation - 854,900 0% 854,900 71,585 Capital 1,043,368 535,588 51% - 535,588 Contingency 972,046 - 0% - - Total Production Expenses 4,629,712 3,670,274 79% 2,970,511 699,763 Salaries of Personnel 597,787 480,433 80% 441,526 38,907 Fringe Benefits 276,876 227,527 82% 164,100 63,427 Contractual Services 575,827 531,208 92% 576,800 (45,592) Communications 4,950 4,400 89% 4,022 378 Insurance 22,000 22,073 100% 21,538 535 Lease/Rent of Equipment 2,000 1,821 91% 1,814 7 Travel and Training 5,300 5,577 105% 2,612 2,965 Miscellaneous 28,230 41,160 146% 24,286 16,874 Miscellaneous Credits (240,000) (244,240) 102% (249,577) 5,337 Materials and Supplies 138,698 32,851 24% 39,348 (6,497) Depreciation - 94,338 0% 92,177 2,160 Capital 1,805,058 759,212 42% - 759,212 Interest Obligations 1,556,477 91,936 6% 233,280 (141,343) Bond Costs - 84,041 0% - 84,041 Total Distribution Expenses 4,773,203 2,132,337 45% 1,351,926 780,411 Income (loss) Before Transfers 167,000 1,410,498 2,884,398 (1,473,900) Transfers (167,000) (175,767) 105% (199,193) 23,426 Income (loss)-$ 1,234,731$ 2,685,205$ (1,450,474)$ Production Distribution City of Salem, Virginia Water Fund Statement of Operations For Twelve Months Ending June 30, 2020 Schedule I *Subject to Final Audit Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Services 6,993,028$ 6,715,326$ 96% 6,901,858$ (186,532)$ Other Revenue 177,703 154,710 87% 172,005 (17,295) Reserve for Encumbrances 3,773,032 - 0% - - Appropriated from Net Position 639,500 - 0% - - Total Operating Revenues 11,583,263 6,870,036 59% 7,073,863 (203,827) . Operating Expenses Salaries of Personnel 679,705 639,843 94% 620,654 19,189 Fringe Benefits 319,467 301,066 94% 238,171 62,895 Contractual Services 3,866,622 2,942,354 76% 3,115,650 (173,297) Printing and Binding 1,500 - 0% 429 (429) Advertising 1,500 - 0% 1,563 (1,563) Utilities 4,500 4,257 95% 4,748 (491) Communications 15,600 14,046 90% 16,019 (1,973) Insurance 16,500 11,211 68% 9,989 1,221 Lease/Rent of Equipment 3,000 1,821 61% 1,814 7 Travel and Training 9,000 9,476 105% 2,650 6,827 Miscellaneous 40,230 53,898 134% 34,511 19,387 Miscellaneous Credits (325,000) (253,829) 78% (245,764) (8,065) Materials and Supplies 90,000 32,452 36% 20,538 11,913 Depreciation - 1,169,620 0% 1,166,504 3,116 Capital 4,384,240 1,028,055 23% - 1,028,055 Interest Obligations 1,484,014 149,009 10% 280,587 (131,578) Bond Costs - - 0% - - Contingency 992,385 - 0% - - Total Operating Expenses 11,583,263 6,103,278 53% 5,268,065 835,213 Income (loss) before Transfers - 766,758 1,805,798 (1,039,040) Transfers - - 0% - - Income (loss) -$ 766,758$ 1,805,798$ (1,039,040)$ City of Salem, Virginia Sewer Fund Statement of Operations For Twelve Months Ending June 30, 2020 Schedule J *Subject to Final Audit Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Shows/rentals 410,000$ 257,211$ 63% 349,433$ (92,222)$ Box office shows 1,310,000 1,207,316 92% 1,483,578 (276,262) Catering and concessions 163,278 142,438 87% 157,388 (14,950) Merchandise and commissions 160,000 96,001 60% 115,665 (19,664) Static advertising 67,500 60,964 90% 59,175 1,789 Miscellaneous income 24,605 15,769 64% 21,547 (5,778) Salem Fair 576,980 577,473 100% 567,853 9,619 Reserve for encumbrances 593,287 - 0% - - Total Operating Revenues 3,305,650 2,357,171 71% 2,754,639 (397,468) Operating Expenses Salaries of personnel 1,161,884 1,012,690 87% 1,003,285 9,405 Fringe benefits 420,897 402,922 96% 301,453 101,469 Maintenance and contractual services 252,551 214,478 85% 190,973 23,505 Printing and binding 2,500 399 16% 762 (363) Advertising 40,000 23,820 60% 34,665 (10,845) Utilities 268,000 275,398 103% 313,432 (38,034) Communications 21,900 14,714 67% 18,203 (3,488) Insurance 20,000 19,948 100% 18,991 957 Travel and training 15,500 3,694 24% 5,348 (1,654) Miscellaneous 68,682 71,436 104% 66,893 4,543 Show expense 1,550,000 1,482,708 96% 1,567,162 (84,454) Fair 2019 expense 420,500 460,959 110% 454,632 6,327 Materials and supplies 46,150 29,011 63% 41,732 (12,721) Capital 590,453 595,236 101% - 595,236 Depreciation - 285,021 0% 282,646 2,376 Contingency - - 0% - - Total Operating Expenses 4,879,017 4,892,435 100% 4,300,178 592,257 Income (loss) Before Transfers (1,573,367) (2,535,264) (1,545,539) (989,725) Transfers 1,573,367 1,838,367 117% 2,012,188 (173,821) Income (loss)-$ (696,897)$ 466,649$ (1,163,546)$ City of Salem, Virginia Salem Civic Center Statement of Operations For Twelve Months Ending June 30, 2020 Schedule K *Subject to Final Audit Operating Revenues: Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Catering 589,505$ 512,341$ 87% 554,244$ (41,903)$ Concessions 148,500 126,140 85% 166,675 (40,534) Moyer Concessions 47,000 28,662 61% 52,719 (24,057) Salem High Concessions 13,000 4,607 35% 11,298 (6,691) Total Operating Revenues 798,005 671,750 84% 784,935 (113,185) . Operating Expenses: Salaries of personnel 254,328 296,288 116% 282,858 13,431 Fringe benefits 69,413 87,037 125% 47,491 39,545 Contractual services 13,600 12,358 91% 12,025 332 Printing and binding 1,000 775 77% 415 360 Laundry and Cleaning 15,000 8,235 55% 17,316 (9,081) Communications 850 196 23% 450 (254) Insurance 900 1,212 0% 863 349 Travel and training 225 - 0% - - Miscellaneous 150,614 133,248 88% 135,030 (1,782) Materials and supplies 182,333 150,712 83% 171,249 (20,536) Depreciation - 4,346 0% 4,335 11 Capital - - 0% 3,295 (3,295) Total Catering Expenses 688,263 694,405 101% 675,326 19,079 Salaries of Personnel 62,528 52,966 85% 58,151 (5,185) Fringe Benefits 17,230 14,145 82% 14,185 (40) Miscellaneous 51,700 43,572 84% 58,041 (14,470) Materials and Supplies 37,500 31,648 84% 45,209 (13,561) Total Concessions Expenses 168,958 142,330 84% 175,587 (33,256) Salaries of Personnel 36,750 25,795 70% 36,199 (10,403) Fringe Benefits 10,576 6,551 62% 9,210 (2,658) Contractual services 2,500 2,500 100% 2,500 - Miscellaneous 6,750 4,349 64% 8,129 (3,780) Materials and Supplies 14,500 9,074 63% 15,837 (6,763) Total Moyer Expenses 71,076 48,269 68% 71,874 (23,604) Salaries of Personnel 11,404 3,783 33% 14,906 (11,122) Fringe Benefits 3,359 1,043 31% 4,073 (3,030) Miscellaneous 300 - 0% - - Materials and Supplies 2,850 660 23% 2,321 (1,661) Total Salem High Expenses 17,913 5,487 31% 21,300 (15,814) Income (loss) Before Transfers (148,205) (218,741) (159,152) (59,589) Transfers 148,205 148,205 100% 162,499 (14,294) Income (loss)-$ (70,536)$ 3,347$ (73,883)$ Moyer Concessions Salem High Concessions City of Salem, Virginia Salem Catering and Concessions Statement of Operations For Twelve Months Ending June 30, 2020 Catering Concessions Schedule L *Subject to Final Audit Budget Current Year Year to Date Percent to Date Prior Year Year to Date Variance Beginning Net Position -$ 6,521,396$ 4,840,022$ 1,681,374$ Revenue Health Premiums Paid - City 5,446,550 5,208,304 96% 5,289,359 (81,055) Health Premiums Paid - School 4,276,100 4,242,221 99% 4,439,242 (197,021) Health Premiums Paid - Retirees 725,000 865,028 119% 824,825 40,203 Dental Premiums Paid - 312,165 - 312,165 Interest Earnings 42,000 96,956 231% 64,602 32,354 Miscellaneous - - 0% 332 (332) Total Year to Date Revenues 10,489,650 10,724,674 102% 10,618,360 106,314 Expenses Health Claims 9,965,600 10,739,154 108% 8,490,059 2,249,095 Dental Claims - 200,841 - 200,841 Employee Health Clinic 450,850 359,745 80% 375,311 (15,566) Consulting Services 57,400 55,008 96% 68,158 (13,150) Miscellaneous 15,800 6,900 44% 3,458 3,442 Total Year to Date Expenses 10,489,650 11,361,648 108% 8,936,986 2,424,662 Ending Net Position -$ 5,884,422$ 6,521,396$ (636,974)$ City of Salem, Virginia Health and Dental Insurance Fund Statement of Revenues and Expenses For Twelve Months Ending June 2020 City of Salem, Virginia Schedule of Deposits and Investments For Period Ending June 30, 2020* Schedule M *Subject to Final Audit FV as a Cash Value Unrealized Fair Value % of 6/30/2020 Gain (Loss) 6/30/2020 Portfolio Demand & Time Deposits Concentration Account 41,028,095$ -$ 41,028,095$ 27.0% Payroll Account 9,736 - 9,736 0.0% Revenue Recovery Account 13,452 - 13,452 0.0% Utilitiy Billing Account 29,734 - 29,734 0.0% Box Office Account 43,565 - 43,565 0.0% Held as Fiscal Agent of: Cardinal Academy 586,623 - 586,623 0.4% Court Community Corrections 1,660,318 - 1,660,318 1.1% Held on Behalf of: Economic Development Authority 662,415 - 662,415 0.4% Total Demand & Time Deposits 44,033,938 - 44,033,938 28.9% Investments Local Government Investment Pool (LGIP) 21,486,499 - 21,486,499 14.1% Local Government Investment Pool EM (LGIP EM*) 55,210,157 99,880 55,310,037 36.4% VA State Non-Arbitrage Program (SNAP) 31,386,041 - 31,386,041 20.6% Total Investments 108,082,697 99,880 108,182,577 71.1% Total Deposits and Investments 152,116,635$ 99,880$ 152,216,515$ 100.0% * Extended Maturity Item# 4ADate: July 27, 2020 AN ORDINANCE enacted pursuant to the provisions of Section 15.2-2272 of the 1950 Code of Virginia, as amended, providing for vacating a right of way in the City of Salem, Virginia. WHEREAS, an application to vacate and dispose of an unopened 12' alley situate off West Second Street has been filed with the City of Salem pursuant to said Section 15.2-2272. The unopened alley right of way is bounded on the west by 306 West Second Street (Tax Map #144-5-2), on the north by West Second Street, on the east by 403 Union Street (Tax Map #144-5-8), and on the south by 306 West Second Street (Tax Map #144-5-2) as shown on that certaindrawing prepared by the City of Salem Community Development Department dated June 2020,attached hereto and made a part hereof (herein "Vacated Right-of-Way"), said application beingfiled ,by Ricky Reynolds, property owner; andWHEREAS, pursuant to Section 15.2-2272 and Section 15.2-2204, the applicant in this proceeding has caused a public notice to be published in the Salem Times Register, a newspaper published and having general circulation in the City of Salem, Virginia, such publication having been made twice, with at least six days elapsing between the first and second publication, to-wit; on June 4 and 11, 2020, and such notice specified the time and place of hearing to-wit: June 22, 2020, at 6:30 p.m. in the Cafeteria of South Salem Elementary School, Salem, Virginia, at which time persons affected may appear and present their views, all of which is shown by a Certificate of Publication executed by Salem Times Register and filed with the papers in their proceeding; and WHEREAS, by Resolution No. 1387 adopted on the 22nd day of June 2020, the Council of the City of Salem, Virginia, appointed viewers to report whether or not in their opinion any and if any, what, inconvenience would result from permanently vacating the aforesaid alley as set forth in the application; and WHEREAS, the viewers reported in writing under date of June 29, 2020, that, after having been duly sworn they viewed the said street and are unanimously of the opinion that no inconvenience would result to anyone from permanently vacating and discontinuing a certain unimproved 12' alley, located off West Second Street, between 306 West Second Street and 403 Union Street, extending a total of 25'; and WHEREAS, a proper notice has been given to the land proprietors affected by the closing; and WHEREAS, the Council, after considering the evidence submitted, is of the opinion that vacating and closing the portion of the right of way described above will not abridge or destroy any of the rights and privileges of any person, and that no inconvenience would result to anyone therefrom, and it is further of the opinion that the request of the applicant should be granted; NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF SALEM, VIRGINIA, that the Vacated Right-of-Way is permanently vacated, discontinued, and closed as provided in Section 15.2-2272 of the 1950 Code of Virginia, as amended to date; and BE IT FURTHER ORDAINED that title to the Vacated Right-of-Way shall vest in the adjoining property owners with the provisions of Section 15.2-2274 of the Code of Virginia (1950). AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: July 27, 2020 AGENDA ITEM: Revised Service Agreement for the Roanoke Valley Detention Commission SUBMITTED BY: Rosemarie Jordan, Director of Finance SUMMARY OF INFORMATION: The City of Salem has been a member jurisdiction of the Roanoke Valley Detention Commission since it was formed in 1998. Since that date, many changes have been made to juvenile detention that have decreased the population for the facility. At this time, the Board of the Commission has revised the service agreement and restructured the funding methodology for the members. This new funding will provide fixed funding that is based on a 3-year rolling average of our member percentage of utilization. City Board members have participated in the discussions to revise the agreement, and they believe these changes are needed and appropriate at this time. FISCAL IMPACT: The changes being made to the funding formula will not have a negative impact on the City’s budget for the Detention Center. STAFF RECOMMENDATION: Staff recommends that City Council approve the revised service agreement for the Roanoke Valley Detention Commission. Item # 5ADate: July 27, 2020 AMENDED AND RESTATED SERVICE AGREEMENT OF THE ROANOKE VALLEY DETENTION COMMISSION By and Among the ROANOKE VALLEY DETENTION COMMISSION CITY OF ROANOKE, VIRGINIA CITY OF SALEM, VIRGINIA COUNTY OF BOTETOURT, VIRGINIA COUNTY OF FRANKLIN, VIRGINIA COUNTY OF ROANOKE, VIRGINIA Dated: July 1, 2020 1 THIS SERVICE AGREEMENT (“the Agreement”) is made as of July 1, 2020, by and among the ROANOKE VALLEY DETENTION COMMISSION (the "Commission"); the CITY OF ROANOKE, VIRGINIA; the CITY OF SALEM, VIRGINIA; the COUNTY OF BOTETOURT, VIRGINIA; the COUNTY OF FRANKLIN, VIRGINIA; and the COUNTY OF ROANOKE, VIRGINIA, each of which is a political subdivision of the Commonwealth of Virginia (each a "Member Jurisdiction" and collectively, the "Member Jurisdictions"). RECITALS WHEREAS, the Member Jurisdictions desire to enter into a Service Agreement with the Commission governing the parties' respective obligations before, during and after construction of the Center. NOW THEREFORE, the parties agree as follows: ARTICLE I Definitions Section 1.1. The capitalized terms in this Agreement have the meanings set forth below unless the context otherwise requires: (a) Annual Budget has the meaning given to such term in Section 3.8. (b) Applicable Laws means all applicable laws, ordinances, judgments, decrees, injunctions, writs and orders of any court, arbitrator or governmental agency or authority and all rules, regulations, orders, interpretations, licenses and permits of any Federal, state, county, municipal, regional, foreign or other governmental body, instrumentality, agency or authority. 2 (c) Bonds means obligations issued by the Commission for the design, acquisition of the Existing Detention Center, construction, equipping, financing and other costs of the Center, including refunding bonds and additional project bonds. (d) Center means the Existing Detention Center after it is purchased by the Commission, including any and all additions, renovations and improvements made thereto, which shall, from time to time, be known as the Roanoke Valley Detention Center. (e) Charge means the charge to Member Jurisdictions as set forth in Section 3.8. (f) Commission means the Roanoke Valley Detention Commission. (g) Commission Default has the meaning given to such term in Section 8.1. (h) Debt Service Component means the portion of the Charge that equals, in the aggregate for each Fiscal Year, the debt service on the Commission's Bonds or Notes for such Fiscal Year, plus the amount necessary during such period to fund or replenish any debt service reserve therefor. (i) DJJ means the Commonwealth of Virginia Department of Juvenile Justice or its successor. (j) Expenses means all expenses which may reasonably be determined by the Commission to be attributable directly or indirectly to the ownership or operation of the Center and payable as operating expenses in accordance with generally accepted accounting principles and shall also include debt service payments and other capital costs, required payments to the Operating Reserve Fund established in Section 4.3, required payments to any debt service reserve established in connection with any Bonds and other 3 reasonable or necessary payments required to comply with debt service coverage requirements imposed in connection with any Bonds. (k) Existing Detention Center means the Roanoke Valley Juvenile Detention Center located in Botetourt County and constructed, maintained, and operated by the Commission, including the building, land, and equipment functionally related to the operation of the detaining of juveniles at the facility. (l) Fiscal Year means the annual accounting period from July 1 of one year to June 30 of the following year. (m) Juvenile(s) means those individuals who may under Applicable Law be held in a juvenile detention facility. (n) Member Jurisdictions means the City of Roanoke, Virginia; the City of Salem, Virginia; the County of Botetourt, Virginia; the County of Franklin, Virginia; and the County of Roanoke, Virginia, each a political subdivision of the Commonwealth of Virginia, and each other political subdivision joining the Commission but excluding any political subdivision that may have been withdrawn from the Commission, as provided in Sections 5.8 and 5.9. (o) Member Jurisdiction Default has the meaning given to such term in section 8.2. (p) Net Expenses means Expenses reduced by an amount equal to revenue from (i) non-member jurisdictions (including the federal government), (ii) reimbursements from the Commonwealth of Virginia, and (iii) any other non-member revenue. 4 (q) Notes means short-term obligations of the Commission including notes issued in anticipation of receipt of revenues or bond anticipation notes issued by the Commission. (r) Obligations means the Notes or Bonds issued by the Commission. (s) Operating Component means the portion of the Charge that reflects Net Expenses of the Commission for each Fiscal Year as set forth in the Annual Budget less the debt service and debt service reserve expenses reflected by the Debt Service Component. (t) Operating Reserve Fund means the reserve fund established in Section 4.3. (u) Placed in Service means the first day on which the Center or any bed space at the Center in excess of that at the Existing Detention Center has been certified by the appropriate authority of the Commonwealth to accept Juveniles. (v) Placing Jurisdiction means the jurisdiction in which the detention order is issued for a Juvenile. In the event a Juvenile is charged in Botetourt County with a crime while in the Center, the jurisdiction which originally placed the Juvenile at the Center will remain the Placing Jurisdiction. ARTICLE II Commission Section 2.1. Purpose of Commission. The Commission shall own, operate, maintain, manage, regulate, plan for and finance the Center. To accomplish this purpose, the Commission shall have all the 5 powers, authorities, rights, responsibilities, and obligations bestowed upon it by Section 16.1-315, et seq. of the Code of Virginia (1950), as amended. Section 2.2. Membership of Commission. (a) The powers of the Commission shall be exercised by a board consisting of six (6) members appointed by the Member Jurisdictions as follows: two (2) City of Roanoke; one (1) City of Salem; one (1) County of Botetourt; one (1) County of Franklin; and one (1) County of Roanoke. (b) The governing bodies of the Member Jurisdictions shall appoint their members to the board. Members shall be appointed for a four-year term or until a member's successor is appointed and qualified, whichever occurs later. Each Member Jurisdiction's member of the board shall serve at the pleasure of the governing body of that Member Jurisdiction. Commission members will receive no compensation but will be reimbursed for their actual approved expenses incurred in the performance of their Commission duties. ARTICLE III Provision of Services, Operation and Maintenance Section 3.1. Acceptance of Juveniles. (a) The Commission shall be responsible for accepting and housing all Juveniles from each Member Jurisdiction. Member Jurisdictions will be guaranteed bed space within the Center on the same percentage basis as set forth in Section 3.8. (b) For purposes of this Agreement, a Juvenile shall be deemed to be the responsibility of the Placing Jurisdiction. 6 (c) In the event a Juvenile from one of the Member Jurisdictions is ordered detained in a secure detention facility by a court and the Center is at capacity, the Commission shall be responsible for finding bed space for such Juvenile. In such event and if the Member Jurisdiction has fully utilized its guaranteed bed space, the Member Jurisdiction shall pay the cost differential between the higher per diem rate charged by the other facility and the per diem charge of the Center as set forth in Section 4.2. However, the County of Botetourt as the host locality will not be required to pay this cost differential for the first six Juveniles to be sent to another facility for which Botetourt County is the Placing Jurisdiction. After these six Juveniles, Botetourt County shall pay the cost differential between the higher per diem rate charged by the other facility and the per diem charge of the Center as set forth in Section 4.2. (d) In the event a Juvenile from one of the Member Jurisdictions is ordered detained in a secure detention facility by a court and the Center is at capacity, a Member Jurisdiction that is utilizing more than its guaranteed bed space will be required to move its excess Juvenile to another secure detention facility located by the Commission. (e) To the extent space is available and until needed by the Member Jurisdictions, the Commission will endeavor to accept Juveniles from non-Member Jurisdictions. (f) No Member Jurisdiction shall sell, lease, sublease, convey or otherwise voluntarily dispose of its interest in bed space in the Center without the written consent of the Commission. 7 Section 3.2. Commitment of Juveniles. Each Member Jurisdiction agrees, to the extent permitted by Applicable Laws, to commit all of its eligible Juveniles to the Center, except in the event of an emergency requiring detention of a Juvenile in a facility closer in proximity than the Center or if so ordered by the Court. Section 3.3. Transportation of Juveniles. Unless the Commission agrees otherwise, each Member Jurisdiction shall be responsible for the initial transportation of Juveniles from such Jurisdiction to the Center and for transporting such Juveniles to and from any and all court proceedings or hearings, including any proceeding in Botetourt County for crimes committed while at the Center. The Sheriff for Botetourt shall only be responsible for transporting Juveniles for which Botetourt County is the Placing Jurisdiction. The Sheriff of Botetourt County shall not be responsible for transporting other Juveniles to or from the Center. The Commission shall be responsible for transportation of Juveniles to all local medical appointments, local dental appointments, local counseling sessions (other than with the Court Service Unit employees), and local psychological and psychiatric evaluations and for all costs, expenses and security relating to such Juveniles during transportation. Transportation not specifically set forth above to be provided by the Commission will be the responsibility of the Placing Jurisdiction. For the purpose of this Agreement, local means within the boundaries of the Member Jurisdictions' borders. Section 3.4. Operation and Maintenance. The Commission shall operate and maintain the Center in accordance with all Applicable Laws. The Commission shall be an equal opportunity employer. 8 Section 3.5. Indemnity. To the extent permitted by law, the Commission shall indemnify and hold harmless the Member Jurisdictions and their officers, employees, agents, volunteers, or representatives from any and all liability, actions, causes of actions, claims, judgments, and demands of any kind and nature whatsoever, and for expenses the Member Jurisdictions may incur in this regard arising out of acts or omissions of any nature whatsoever with regard to the Center, occurring on or after the date of execution of this Agreement, including without limitation acts or omissions in the course of ownership, acquisition of real or personal property, operation, maintenance, management, regulation, planning for, or financing of the Center, and federal and state grant applications or agreements. In the event that any suit or proceeding shall be brought against any Member Jurisdiction or its officers, employees, agents, volunteers, or representatives at law or in equity, either independently or jointly with the Commission on account thereof, the Commission, upon notice given to it by the Member Jurisdiction, or its officers, employees, agents, volunteers or representatives, will pay all costs of defending the Member Jurisdiction or its officers, employees, agents, volunteers or representatives in any such action or other proceeding. In the event of any settlement or any final judgment being awarded against any Member Jurisdiction, or any of its officers, employees, agents, volunteers or representatives, either independently or jointly with the Commission, then the Commission will pay such settlement or judgment in full or will comply with such decree, pay all costs and expenses 9 of whatsoever nature and hold the Member Jurisdiction, or any of its officers, employees, agents, volunteers, or representatives harmless therefrom. Section 3.6. Insurance. The Commission shall maintain hazard, liability or such other insurance as may be required by Applicable Law or which the Commission may deem advisable. Such insurance shall include the indemnity obligation set forth in Section 3.5 of this Agreement. Section 3.7. Annual Financial Report. The Commission shall provide to each Member Jurisdiction on or before January 31 of each year a report showing the activities and the revenues, expenditures, and employee compensation schedules and other similar data of the Commission for the preceding Fiscal Year. Section 3.8. Annual Budget. The Commission shall provide to each Member Jurisdiction on or before May 1 of each year the Commission's Annual Budget for the next Fiscal Year including any proposed capital projects. For each Fiscal Year in which the Center will be in operation, such Annual Budget shall set forth the Operating Component and the Debt Service Component of the Charges to Member Jurisdictions Charges shall be sufficient to generate revenue adequate to pay anticipated Net Expenses and to fund any required reserves. The Charges shall be revised during the year when necessary. The Commission agrees to set, and revise as needed, the Operating Component in an amount sufficient to generate revenue adequate to pay Net Expenses (other than debt service and related expenses) and to fund any required operating reserves attributable to the care, maintenance and subsistence of Juveniles. The Commission may also 10 include as part of the Operating Component from time to time in its discretion an amount for the purpose of accumulating a reasonable rate stabilization reserve to be used as and when the Commission considers it appropriate to minimize or eliminate any increase in charges to the Member Jurisdictions. The Authority also agrees to set the Debt Service Component, and to revise it immediately as necessary, in an amount sufficient to generate revenue adequate to pay debt service on the Authority's Bonds and Notes and to fund any required debt service reserves therefor to reflect any failure of a Member Jurisdiction to pay such charge in accordance with the provisions of Section 4.1. The Commission shall notify each Member Jurisdiction thirty (30) days prior to the effective date of any revision to the funding formula. The Commission shall promptly provide copies of any amendments to its Annual Budget to each Member Jurisdiction. Charges to the member jurisdictions shall be calculated by the member percentage of utilization for the previous three (3) fiscal years. A member’s total annual fiscal obligation to the Center shall be calculated by multiplying a member’s percentage of the three (3) year utilization by the net expenses. Any additional costs approved by the Commission shall be calculated in the same manner set forth in this section. Each Member Jurisdiction hereby recommends its County Administrator or City Manager, as the case may be, include in each annual budget submitted to the governing body of his or her jurisdiction or in an amendment thereto, sufficient funds to cover the Member Jurisdiction's projected payment due in each Fiscal Year including any subsequent revisions thereto during the course of such year. Each Member Jurisdiction 11 hereby directs its County Administrator or City Manager, as the case may be, to notify the Commission (i) by July 1 of each year of the amount so budgeted by the Member Jurisdiction, and (ii) at any time, of any amendments to the amount so budgeted by the Member Jurisdiction. Section 3.9. Books and Records. The Commission shall maintain proper books of record and account in which proper entries shall be made in accordance with generally accepted accounting principles for governmental bodies, consistently applied, of all of its business and affairs related to the Center. The Commission shall also establish and maintain adequate financial policies and procedures to ensure the safeguarding of Commission assets. All books of record and account and documents in the Commission's possession relating to the Center shall at all reasonable times be open to inspection by such agents or employees of the Member Jurisdictions as they may designate. The Commission shall have an annual audit performed by an independent certified public accountant. A copy of this audit shall be provided to each Member Jurisdiction on or before January 31 of each year. Section 3.10. Personnel. The Commission covenants and agrees that former employees of the City of Roanoke who became employees of the Commission at the time the facility was Placed in Service may elect to remain as employee members of the City of Roanoke Pension Plan. The Commission shall make such contributions to the City of Roanoke Pension Plan on behalf of such employees as the City of Roanoke would have made if such employees had continued to work for the City of Roanoke. The Commission shall provide such employees with equivalent salaries and fringe benefits as such employees enjoyed as of 12 the day prior to the day the Center is Placed in Service while employees of the City of Roanoke. The Commission shall honor all vacation and sick leave accruals, paid leave and extended leave accruals to such employees as of the day prior to the day the Center was Placed in Service. This section shall not be construed so as to preclude the Commission from adopting its own personnel rules and regulations which may include, among other things, provisions for hiring, termination, layoffs and discipline. ARTICLE IV Payments Section 4.1. Payments from Member Jurisdictions. (a) Each Member Jurisdiction agrees to pay the Commission its share of the cost associated with the operation of the facility based on the funding formula established in Section 3.8 above. (b) Charges due from Member Jurisdictions shall be invoiced monthly by the Commission. Such charges shall be due and payable to the Commission no later than 30 days from receipt of the charges and if not paid when due shall bear interest at the legal rate as set forth in §6.1-330.53 of the Code of Virginia (1950), as amended, or its successor section and be subject to a 10% penalty. (c) Each Member Jurisdiction hereby recommends its County Administrator or City Manager, as the case may be, include in each annual budget submitted to the governing body of his or her jurisdiction or in an amendment thereto, sufficient funds to cover the Member Jurisdiction's projected payment due in each Fiscal Year including any subsequent revisions thereto during the course of such year. Each Member Jurisdiction hereby directs its County Administrator or City Manager, as the case may 13 be, to notify the Commission (i) by July 1 of each year of the amount so budgeted by the Member Jurisdiction, and (ii) at any time, of any amendments to the amount so budgeted by the Member Jurisdiction. Section 4.2. Payments from other Jurisdictions. Within the limits allowed by law, the Commission shall have the discretion to establish a per diem charge or charges for the care, maintenance and subsistence of Juveniles from non-member jurisdictions at a rate the Commission deems appropriate. Such non-member per diem charges shall be due and payable to the Commission from non-member jurisdictions having Juveniles in the Center no later than 30 days from receipt of the charges and if not paid when due shall bear interest and penalty at such rate as the Commission shall establish unless otherwise provided by law. Section 4.3. Operating Reserve Fund. The Commission agrees to provide for an Operating Reserve Fund in each of its Annual Budgets in an amount equal to not less than ten percent (10%) of its projected Annual Budget for each year not including debt service. The Operating Reserve Fund shall be established as a separate account and shall be used to cover periods of revenue shortfall when the Commission's revenues are not sufficient to cover its Net Expenses other than debt service. Section 4.4. Debt Service Reserve Fund. The Commission agrees to provide for a Debt Service Reserve Fund in accordance with the financing requirements. 14 Section 4.5. Limitation of Liability. The only obligation of the Member Jurisdictions to pay for the establishment, operation or maintenance of the Center arises out of this Agreement. The obligation of each Member Jurisdiction to make the payments required by Article V for services shall be subject to and contingent upon appropriations being made for such purposes by the Member Jurisdiction’s governing body. No such payment responsibility shall constitute a debt of any Member Jurisdiction within the meaning of any constitutional or statutory limitation. Nothing in this Agreement shall constitute a pledge of the full faith and credit of any Member Jurisdiction under any provision of its Charter, as applicable, or the Constitution of Virginia. ARTICLE V Additional Agreements Section 5.1. Other Services. The Commission may contract with any Member Jurisdiction, private person, or other entity for management oversight, financial, personnel, engineering, procurement, legal, or other services upon terms and conditions to be agreed upon between the Commission and service provider. Section 5.2. Sale or other Conveyance. The Commission will not sell, lease (except for the space necessary for the operation of programs by the Member Jurisdictions), sublease, assign, convey or otherwise voluntarily dispose of the Center unless the Notes, Bonds and any other debt incurred by the Commission have been or will be paid or deemed defeased in accordance with the agreements pursuant to which they were issued. Any amounts remaining after 15 such disposal shall be returned to the then current Member Jurisdictions on a pro rata basis based on the total of Charges paid by each such Member Jurisdiction since the Center was Placed in Service. Section 5.3. Further Documents and Data. The parties to this Agreement will execute and deliver all documents and perform all further acts that may be reasonably necessary to perform the obligations and consummate the transactions contemplated by this Agreement. Section 5.4. Right to Access. Each Member Jurisdiction will have reasonable access to the Center in order to monitor the Commission's compliance with the terms of this Agreement. Section 5.5. Confidentiality. The Commission will maintain all records and files on the Juveniles on a confidential basis in accordance with all Applicable Laws. Section 5.6. Notification. The Commission will promptly furnish to each Member Jurisdiction a copy of any notice or order of any governmental authority asserting that the Commission or the Center is not in compliance in any material respect with any Applicable Law. Section 5.7. Tax-Exemption Covenant. (a) The Commission intends to issue the Notes and Bonds in a manner such that their interest is excludable from gross income for Federal income tax purposes under Section 103(a) and related provisions of the Internal Revenue Code of 1986, as amended, and applicable rules and regulations. The Commission and each Member Jurisdiction 16 agree that after the Notes and Bonds have been issued they will not take any action or omit to take any action which would adversely affect such exclusion. (b) The Member Jurisdictions, each of whom will receive a benefit from the construction of the Center and the financing thereof by the Commission, agree pursuant to Section 265(b)(3)(C)(iii) of the Internal Revenue Code to allocate the amount of each issue of tax-exempt obligations issued by the Commission for the construction of the addition and renovations to the Existing Detention Center, including design and preliminary site work, to themselves on an equal basis. Section 5.8. Additional Members. Any city or county in Virginia may, with the approval of its governing body and with the consent of the Commission and the governing bodies of all of the Member Jurisdictions, join and participate in the Commission under such additional terms and conditions for membership as may be prescribed by the Commission. Section 5.9. Withdrawal of Membership. After giving 12 months’ written notice to the Commission and other member jurisdictions, any Member Jurisdiction may withdraw from membership in the Commission by resolution or ordinance of its governing body; however, no Member Jurisdiction shall be permitted to withdraw from the Commission after any Obligations have been incurred and are outstanding except by unanimous vote of all Member Jurisdictions. A withdrawing Member Jurisdiction shall not receive any payment from the Commission unless agreed to by all of the governing bodies of the remaining Member Jurisdictions. 17 ARTICLE VI Representations, Warranties and Covenants of Commission In addition to the covenants in other Articles of this Agreement, the Commission represents, warrants and covenants as follows: Section 6.1. Organization, Authorization and Validity. The Commission is a political subdivision of the Commonwealth duly organized and validly existing under the laws of the Commonwealth and has duly authorized, executed and delivered this Agreement. Section 6.2. Authority. The Commission has all requisite authority to execute and deliver and perform its obligations under this Agreement and is not a party to any indenture, contract or other agreement or arrangement, the performance of which by the Commission would prevent or materially and adversely affect the Commission's ability to perform the terms of this Agreement. Section 6.3. Non-Contravention. The execution and delivery of this Agreement by the Commission and the consummation of the transactions contemplated in it will not conflict with or result in a breach of or constitute a default under or violate any of the terms, conditions or provisions of the bylaws of the Commission or any material indenture, contract or other agreement or arrangement to which the Commission is a party or by which any of its properties are bound, or any Applicable Law by which the Commission or the Center is bound. 18 Section 6.4. Litigation. The Commission is not a party to any legal, administrative, arbitration or other proceeding or controversy pending, or, to the best of the Commission's knowledge, threatened, which would materially adversely affect the Commission's ability to perform under this Agreement. Section 6.5. Approvals. Except for approvals that may be required by DJJ and as otherwise stated herein, the Commission does not require the consent or approval of any governmental body to carry out the terms of this Agreement. ARTICLE VII Representations, Warranties and Covenants of Member Jurisdictions Each Member Jurisdiction represents, warrants and covenants for itself as follows: Section 7.1. Organization, Authorization and Validity. Each Member Jurisdiction is a political subdivision of the Commonwealth duly organized and validly existing under the laws of the Commonwealth, and each has duly authorized, executed and delivered this Agreement. Section 7.2. Authority. Each Member Jurisdiction has all requisite authority to execute and deliver and perform its obligations under this Agreement and is not a party to any indenture, contract or other agreement or arrangement, the performance of which by it would prevent or materially and adversely affect its individual performance under this Agreement. 19 Section 7.3. Non-Contravention. The execution and delivery of this Agreement by each Member Jurisdiction and the consummation of the transactions contemplated in it will not conflict with or result in a breach of or constitute a default under or violate any of the terms, conditions or provisions of any charter, resolution or ordinance, any material indenture, contract or agreement or arrangement to which it is a party or by which any of its properties are bound, or any Applicable Law by which it is bound. Section 7.4. Litigation. No Member Jurisdiction is a party to any legal, administrative, arbitration, or other proceeding or controversy pending, or, to the best of its knowledge, threatened, which would materially and adversely affect its ability to perform under this Agreement. ARTICLE VIII Defaults and Remedies Section 8.1. Default by Commission. The occurrence of any one or more of the following events will constitute an "Event of Default" by the Commission ("Commission Default"): (i) failure of the Commission to pay principal of or interest when due on any Notes, Bonds or other temporary or permanent financing for the Center issued or obtained by the Commission pursuant to this Agreement; (ii) if the Commission is for any reason rendered incapable of performing any of its material obligations under this Agreement; (iii) the Commission makes an assignment of all or a portion of its obligations under this Agreement without the prior consent of the Member Jurisdictions; 20 (iv) the Commission defaults on any of its material obligations under any agreement pursuant to which any Notes, Bonds or other temporary or permanent financing for the Center is issued or obtained by the Commission and such default is not cured within the applicable cure period; (v) any proceeding is instituted, with the consent or acquiescence of the Commission, for the purpose of effecting a composition between the Commission and its creditors or for the purpose of adjusting the claims of such creditors pursuant to any federal or state statute now or hereafter enacted, if the claims of such creditors are under any circumstances payable from the funds of the Commission; or (vi) the Commission defaults in the due and punctual performance of any other of the covenants, conditions, agreements and provisions contained in this Agreement, and the default continues for thirty days after written notice specifying the default and requiring it to be remedied has been given to the Commission by any Member Jurisdiction. Section 8.2. Default by Member Jurisdictions. The occurrence of any one or more of the following events will constitute an "Event of Default" by any Member Jurisdiction ("Member Jurisdiction Default"): (i) failure of any Member Jurisdiction to make payments of Charges or other charges when due; (ii) any Member Jurisdiction shall for any reason be rendered incapable of fulfilling its obligations under this Agreement; (iii) any proceeding is instituted, with the consent or acquiescence of any Member Jurisdiction, for the purpose of effecting a composition between such Member Jurisdiction and its creditors or for the purpose of adjusting the claims of such creditors 21 pursuant to any federal or state statute now or hereafter enacted, if the claims of such creditors are under any circumstances payable from the funds of such Member Jurisdiction; or (iv) any Member Jurisdiction defaults in the due and punctual performance of any of the other covenants, conditions, agreements and provisions contained in this Agreement, and the default continues for thirty days after written notice specifying the default and requiring it to be remedied has been given to such Member Jurisdiction by the Commission. Section 8.3. Remedies of Member Jurisdictions. Upon the occurrence of a Commission Default, any Member Jurisdiction, after giving notice of such Commission Default to all parties, may bring suit by mandamus or other appropriate proceeding to require the Commission to perform its duties under this Agreement or to enjoin any acts in violation of this Agreement. Section 8.4. Remedies of Commission. Upon the occurrence of a Member Jurisdiction Default, the Commission, after giving notice of such Member Jurisdiction Default to all parties, may bring suit by mandamus or other appropriate proceeding to require the Member Jurisdiction to perform its duties under this Agreement or to enjoin any acts in violation of this Agreement. Section 8.5. Remedies Not Exclusive. No remedy in this Agreement conferred upon or reserved to the parties is intended to be exclusive of any other remedy, and each remedy is cumulative and in addition to every other remedy given under this Agreement or now or hereafter existing at law, in equity or by statute. 22 ARTICLE IX Miscellaneous Section 9.1. Severability of Invalid Provisions. If any clause, provision or section of this Agreement is held to be illegal or invalid by any court, the invalidity of the clause, provision or section will not affect any of the remaining clauses, provisions or sections, and this Agreement will be construed and enforced as if the illegal or invalid clause, provision or section has not been contained in it. Section 9.2. Notices. Any notice or other communication under or in connection with this Agreement shall be in writing, and shall be effective when delivered in person or sent in the United States mail, by certified mail return receipt requested, postage prepaid, to the following persons or to such other persons as any of such persons may from time to time specify in writing. If to the Commission: Chairman, Roanoke Valley Detention Commission If to a Member Jurisdiction: The City Manager or County Administrator from such Member Jurisdiction. Section 9.3. Governing Law. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the Commonwealth of Virginia. 23 Section 9.4. Amendments. This Agreement may be changed or amended only with the consent of the Commission and each Member Jurisdiction. No such change or amendment may be made which will affect adversely the prompt payment when due of all moneys required to be paid by the Member Jurisdictions under the terms of this Agreement, and no such change or amendment shall be effective which would cause a violation of any provision of any resolution, indenture or agreement pursuant to which any Notes, Bonds or other temporary or permanent financing for the Center is issued or obtained by the Commission. Section 9.5. Effective Date of Agreement. This Agreement will be effective from the date of its approval by all of the Member Jurisdictions and the Commission. If a Member Jurisdiction does not wish to enter into this Agreement, it shall so signify by adopting a resolution indicating its intent to decline to enter into this Agreement, and the Agreement shall be effective as to the rest of the parties. Section 9.6. Term. This Agreement shall continue for a period of thirty (30) years from the date hereof. This Agreement shall automatically renew for successive ten-year terms unless all of the Member Jurisdictions give notice of intent to withdraw as provided in Section 5.9. Section 9.7. Waiver. Any waiver by any party of its rights under this Agreement must be in writing, and will not be deemed a waiver with respect to any matter not specifically covered. Nothing 24 in this Agreement authorizes the waiver of any Member Jurisdiction's obligation to make payments when due of all monies required to be paid by the Member Jurisdictions under the terms of this Agreement. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date above written. ROANOKE VALLEY DETENTION COMMISSION By: Steven Martin, Chairman ATTEST: Title: 25 CITY OF ROANOKE, VIRGINIA By: Bob Cowell, City Manager ATTEST: Title: Approved as to Form: 26 CITY OF SALEM, VIRGINIA By: Jay Taliaferro, City Manager ATTEST: Title: Approved as to Form: 27 COUNTY OF BOTETOURT, VIRGINIA By: Gary Larrowe, County Administrator ATTEST: Title: Approved as to Form: 28 COUNTY OF FRANKLIN, VIRGINIA By: Christopher Whitlow, County Administrator ATTEST: Title: Approved as to Form: 29 COUNTY OF ROANOKE, VIRGINIA By: Dan O’Donnell, County Administrator ATTEST: Title: Approved as to Form: AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: July 27, 2020 AGENDA ITEM: Appropriate CARES Act funding for allowable election expenses. SUBMITTED BY: Rosemarie B. Jordan, Director of Finance SUMMARY OF INFORMATION: The City has been awarded CARES Act funding in the amount of $56,874 to prevent, prepare for and respond to the coronavirus for the 2020 federal election cycle. Funds may be used for expenditures related to the protection of health and safety of poll workers, staff and voters during the federal election. Funds cannot be utilized for items that would be needed regardless of the COVID-19 pandemic. FISCAL IMPACT: The $56,874 in CARES Act funding will be used to cover costs related to the federal election that were not included in the operating budget. STAFF RECOMMENDATION: Staff recommends accepting CARES Act funding and appropriating $56,874 in federal revenue to account 10-019-0100-48537. Appropriate $56,874 to CARES Act Election Funding, 10-019-1320-55961, for the purpose stated above. Item # 5BDate: July 27, 2020 AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: July 27, 2020 AGENDA ITEM: Request to appropriate interest earned on the unspent proceeds of the 2020 General Obligation Bonds, additional proceeds, and bond issuance costs. SUBMITTED BY: Rosemarie B. Jordan, Director of Finance SUMMARY OF INFORMATION: The City earns interest on the escrow account holding the unspent proceeds of the 2020 General Obligation Bonds. This interest is used to supplement grant and local funding for capital projects. After issuance, actual bonds costs for the issuance of the 2020 General Obligation Bonds were $5,059 less than the original estimate. This difference was allocated to street department equipment. Since this amount was not included in the original bond appropriation, it needs to be appropriated in the Capital Projects Fund. The appropriation will need to be dated June 30, 2020 to be included in the same fiscal year as the original bond appropriation. Additionally, $1,089 in bond proceeds were transferred from the Capital Projects Fund to the Electric Fund to cover a minimal amount needed to settle up the 2020 refunding bonds. This appropriation will also need to be dated June 30, 2020. The Capital Projects Fund incurred bond costs of $287,591.38 as part of the 2020 General Obligation Bonds issuance. The bond costs were paid from the issuance proceeds. Since the bond costs were not included in the original bond appropriation, they need to be appropriated as of June 30, 2020. FISCAL IMPACT: Interest from bond proceeds allow us to provide the necessary local funding for the completion of various capital projects. Gross 2020 bond proceeds less 2020 bond costs were higher than estimated allowing the City to allocate additional funds for street department equipment and cover a minimal amount needed to settle up the 2020 refunding bonds. Item # 5CDate: July 27, 2020 STAFF RECOMMENDATION: Because interest is earned on the 2020 General Obligation bond proceeds on an on- going basis, it is recommended that interest earned be administratively appropriated when received to be spent on any City capital project as specified by the City Manager. City staff requests Council to appropriate $5,059 in 2020 bond proceeds to the Proceeds from Debt Issuance account 20-012-0200-49205 and to the Street Department Equipment 2020 account 20-018-0205-54417. City staff requests Council to appropriate $1,089 in 2020 bond proceeds to the Proceeds from Debt Issuance account 20-012-0200-49205 and to the Transfer to Electric Fund account 20-012-0205-59465. City staff requests Council to appropriate $287,592 in 2020 bond proceeds to the Proceeds from Debt Issuance account 20-012-0200-49205 and to the Bond Costs expenditure account 20-012-0205-59310. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: July 27, 2020 AGENDA ITEM: Request to appropriate local funding for the VDOT E Main St Project UPC 8753 SUBMITTED BY: Rosemarie B. Jordan, Director of Finance SUMMARY OF INFORMATION: The Virginia Department of Transportation (VDOT) East Main Street Project (UPC 8753) will widen Route 460 (East Main Street) to three lanes with curb and sidewalk. The project scope extends from Thompson Memorial Drive to Kessler Mill Road. This project is currently under construction. VDOT is managing this project and will bill the City of Salem for its portion of charges to complete the project. FISCAL IMPACT: Local funding is needed to cover the City’s share of the East Main Street Project. Local funding of $14,827 was already included in the FY2019-2020 General Fund operating budget as a Transfer to Capital Projects. The appropriation will need to be dated June 30, 2020 to match the budget fiscal year of the transfer. STAFF RECOMMENDATION: Staff recommends appropriating $14,827 to the Transfer from General Fund – Capital Projects account 20-012-0200-49905 and to the VDOT E Main Project UPC 8753 account 20-042-0205-54416. Item # 5DDate: July 27, 2020 July 27, 2020 Council of the City of Salem Salem, Virginia 24153 Dear Council Members: For your information, I am listing appointments and vacancies on various boards and commissions: Board or Commission Recommendation Vacancies with Candidates Roanoke Valley Transportation Planning Organization (TPO) Policy Board Need to appoint a Council Member to replace James Martin for the remainder of a three-year term ending June 30, 2023. Roanoke Valley-Alleghany Regional Commission Need to appoint two Council Members to replace Jane Johnson and James Martin for the remainder of three-year terms ending June 30, 2021. Vacancies Board of Appeals (USBC Building Code) Need two alternates, five-year terms. Board of Zoning Appeals Need two alternates, five-year terms. (Resignation received from Channing Mason & Macel Janoschka.) Community Policy and Management Team Need one regular and one alternate member from the Health Department Fair Housing Board Need a replacement for Sharyn McCullough who has moved out of Salem. Personnel Board Need a replacement for Lexi Dibbern (Current term expired March 1, 2018) Roanoke Valley-Alleghany Regional Commission Need a replacement for Carolyn Minix (resignation received) Sincerely, James E. Taliaferro, II City Manager Item # 5EDate: July 27, 2020 CITY OF SALEM, VIRGINIA BOARDS AND COMMISSIONS July 27, 2020 MEMBER EXPIRATION OF TERM BLUE RIDGE BEHAVIORAL HEALTHCARE Term of Office: 3 years (3 terms only) Carol Brittain 12-31-21 Rev. C. Todd Hester 12-31-22 Dr. Forest Jones 12-31-20 AT LARGE MEMBERS: Patrick Kenney 12-31-22 Helen Ferguson 12-31-20 Bobby Russell 12-31-21 BOARD OF APPEALS (USBC BUILDING CODE) Term of Office: 5 years John R. Hildebrand 1-01-21 Robert S. Fry, III 1-01-23 David A. Botts 1-01-25 Nathan Routt 5-11-25 Roland Braelith 1-01-23 ALTERNATES: Michael “Chris” Vaught 5-13-24 Vacant Vacant BOARD OF EQUALIZATION OF REAL ESTATE ASSESSMENTS Term of Office: 3 years (appointed by Circuit Court) Wendel Ingram 11-30-21 N. Jackson Beamer, III 11-30-21 David A. Prosser 11-30-22 Nancy Duffy 11-30-20 Gill R. Roseberry 11-30-20 BOARD OF ZONING APPEALS Term of Office: 5 years (appointed by Circuit Court) F. Van Gresham 3-20-22 David E. Derr 3-30-23 Winston J. DuBois 6-05-24 Gary Lynn Eanes 3-20-25 Tom Copenhaver 4-10-22 ALTERNATES: Frank Sellers 10-12-23 Macel Janoschka Resignation 3-1-23 Channing Mason Resignation 11-13-23 CONVENTION & VISITORS BUREAU John Shaner No term limit MEMBER EXPIRATION OF TERM Partnership for a Livable Roanoke Valley Term of Office: Unlimited James E. Taliaferro, II COMMUNITY POLICY AND MANAGEMENT TEAM No term limit except for Private Provider (Names) (Alternates) Rosie Jordan Tammy Todd Benjamin W. Tripp James E. Taliaferro, II Carolyn Minix Rosemary Walker Cheryl Wilkinson Tamara Starnes Vacant Frank Turk Shannon Brabham Joyce Earl Randy Jennings Deborah Coker Darryl Helems Amanda Hall Derek Weeks Danny Crouse Vacant – Health Dept. Vacant Parent Rep –Inez Farrell Michelle Wright (Both terms exp. 6/30/2020) Kristy Ayers ECONOMIC DEVELOPMENT AUTHORITY Term of Office: 4 years (Requires Oath of Office) William Q. Mongan 3-09-23 C. Wayne Adkins 3-09-24 J. David Robbins 3-09-24 Cindy Shelor 4-10-21 Macel Janoschka 3-09-21 David Thornhill 12-14-20 Clark “Rob” Robinson Jr. 12-14-20 ECONOMIC DEVELOPMENT COMMITTEE No Terms, no alternates Jane Johnson John Saunders James Taliaferro Ass’t CM Melinda Payne Benjamin Tripp Mary Ellen Wines Judy Hough FAIR HOUSING BOARD Term of Office: 3 years Betty Waldron 7-01-22 Melton Johnson 7-01-23 Sharyn McCullough no longer in Salem 7-01-20 Pat Dew 3-01-21 Janie Whitlow 4-09-21 MEMBER EXPIRATION OF TERM FINE ARTS COMMISSION Term of Office: 4 years Cameron Vest 5-01-15 Julie E. Bailey Hamilton 5-01-15 Brenda B. Bower 7-26-12 Vicki Daulton 10-26-12 Hamp Maxwell 10-26-12 Fred Campbell 5-01-13 Rosemary A. Saul 10-26-13 Rhonda M. Hale 10-12-14 Brandi B. Bailey 10-12-14 STUDENT REPRESENTATIVES LOCAL OFFICE ON AGING Term of Office: 3 years John P. Shaner 3-01-21 PERSONNEL BOARD Term of Office: 2 years Larry A. Lynch 1-28-21 William R. Shepherd 6-09-21 J. Chris Conner 8-12-21 Margaret Humphrey 8-12-21 Lexi H. Dibbern- no longer in Salem 3-01-18 PLANNING COMMISSION AND NPDES CITIZENS' COMMITTEE Term of Office: 4 years Neil Conner 7-31-22 Dee King 7-31-22 Vicki Daulton 7-26-23 Reid Garst 7-31-22 N. Jackson Beamer 8-28-23 REAL ESTATE TAX RELIEF REVIEW BOARD Term of Office: 3 years David G. Brittain 2-14-22 Wendel Ingram 6-11-21 Daniel L. Hart 2-14-21 ROANOKE REGIONAL AIRPORT COMMISSION Term of Office: 4 years Dale T. Guidry 7-1-24 ROANOKE VALLEY-ALLEGHANY REGIONAL COMMISSION Term of Office: 3 years Jane W. Johnson 6-30-21 Carolyn Minix Resignation 2-24-20 James Martin 6-30-21 Melinda J. Payne 6-30-22 ROANOKE VALLEY BROADBAND AUTHORITY Term of Office: 4 years James E. Taliaferro, II 12-14-2023 Citizen-At-Large Mike McEvoy 12-13-2021 MEMBER EXPIRATION OF TERM ROANOKE VALLEY DETENTION COMMISSION No Terms Member Alternate James Taliaferro Rosemarie Jordan ROANOKE VALLEY GREENWAY COMMISSION Term of Office: 3 years McMillan H. Johnson, IV 6-30-21 Jessica P. Preston 6-30-22 Skip Lautenschlager 9-26-20 ROANOKE VALLEY RESOURCE AUTHORITY Term of Office: 4 years Mike Tyler 12-31-23 ROANOKE VALLEY TRANSPORTATION PLANNING ORGANIZATION (TPO) POLICY BOARD Term of Office: 3 years Renee F. Turk 6-30-2023 William “Bill” Jones 6-30-2023 Alternate: Byron R. Foley 6-30-2023 Alternate: James Martin 6-30-2023 SCHOOL BOARD OF THE CITY OF SALEM Term of Office: 3 years Nancy Bradley 12-31-21 Michael Chiglinsky 12-31-21 Andy Raines 12-31-22 Artice Ledbetter 12-31-22 David Preston 12-31-20 SOCIAL SERVICES ADVISORY BOARD Term of Office: 4 years, 2 term limit Betty McCrary 12-1-22 TOTAL ACTION FOR PROGRESS Term of Office: 2 years Byron Randolph Foley (Melinda Payne appointed 11-13-21 as full-time alternate) 11-13-21 TRANSPORTATION TECHNICAL COMMITTEE (TTC) Term of office: 3 years Melinda Payne 6-30-23 Benjamin Tripp 6-30-23 Alternate: James E. Taliaferro, II 6-30-23 Alternate: Charles E. VanAllman, Jr. 6-30-23 VIRGINIA WESTERN COMMUNITY COLLEGE LOCAL ADVISORY Term of Office: 4 years (2 terms only) Dr. Forest I. Jones 6-30-22 VIRGINIA’S BLUE RIDGE BOARD Term of Office: James E. Taliaferro, II MEMBER EXPIRATION OF TERM WESTERN VIRGINIA EMERGENCY MEDICAL SERVICES COUNCIL Term of office: 3 years Deputy Chief Matt Rickman 12-31-22 WESTERN VIRGINIA REGIONAL INDUSTRIAL FACILITY AUTHORITY Term of Office: 4 years (Requires Oath of Office) James E. Taliaferro, II 2-3-2022 Melinda J. Payne 2-3-2024 Vacant (alternate for Taliaferro) 2-3-2022 Benjamin W. Tripp (alternate for Payne) 2-3-2024 WESTERN VIRGINIA REGIONAL JAIL AUTHORITY Term of Office: 1 year – Expires 12-31-2020 (Requires Oath of Office) William D. Jones Alternate: Byron R. Foley James E. Taliaferro, II Alternate: Rosemarie Jordan April M. Staton Alternate: Chief Deputy-Major B. Todd Clingenpeel WESTERN VIRGINIA WORKFORCE DEVELOPMENT BOARD Term of Office: 4 years John E. Saunders 6-30-2022 James E. Taliaferro, II 6-30-2022