MINUTES OF THE REGULAR MEETING

OF THE REIDSVILLE CITY COUNCIL

HELD WEDNESDAY, JANUARY 21, 2015 AT 3 P.M.

COUNCIL CHAMBERS, CITY HALL

CITY COUNCIL MEMBERS PRESENT: Mayor John M. “Jay” Donecker

Mayor Pro Tem Harry L. Brown

Councilman Donald L. Gorham

Councilman William Hairston

Councilman Clark Turner

Councilwoman Sherri G. Walker

COUNCIL MEMBERS ABSENT: Councilman Tom Balsley

CITY STAFF PRESENT: Michael J. Pearce, City Manager

Angela G. Stadler, CMC, City Clerk

William F. McLeod Jr., City Attorney

Chris Phillips, Assistant City Manager of Administration/Finance Director

Tom Wiggins, Assistant City Manager of Community Services

Kevin Eason, Public Works Director

David Bracken, Fire Chief

Robert Hassell, Police Chief

Mayor Donecker called the meeting to order.

INVOCATION.

Reverend Dr. Richard Miles, Pastor of St. Thomas’ Episcopal Church, 315 Lindsey Street, Reidsville, provided the invocation.

MOMENT OF SILENCE.

Mayor Donecker asked for a moment of silence for retired Police Captain Ken Hanks, who passed away unexpectedly this morning.

PLEDGE OF ALLEGIANCE.

Council members led in the reciting the Pledge of Allegiance.

PROCLAMATIONS:

RECOGNITION OF RETIRED LT. DOYLE O’BRYANT OF THE REIDSVILLE POLICE DEPARTMENT FOR 30 YEARS OF SERVICE TO THE CITY.

Mayor Donecker read aloud the proclamation recognizing Lt. O’Bryant’s years of service to the City. (A COPY OF THE PROCLAMATION IS HEREIN INCORPORATED AND MADE A PART OF THESE MINUTES.) O’Bryant, who received a standing ovation, thanked the City Council for allowing him to serve the citizens of Reidsville, noting he had enjoyed his tenure with the City and if his help was needed, he was not far away. The Mayor presented O’Bryant with his 30-year watch and each of the Council members shook his hand and offered their congratulations.

RECOGNITION OF RETIRED HUMAN RESOURCES ANALYST CAROLYN NIMMONS FOR 30 YEARS OF SERVICE TO THE CITY.

Mayor Donecker then read aloud a proclamation honoring Retired Human Resources Analyst Carolyn Nimmons for her 30 years of service to the City. (A COPY OF THE PROCLAMATION IS HEREIN INCORPORATED AND MADE A PART OF THESE MINUTES.) Nimmons also received a standing ovation. She told everyone it had been a “good run,” but that she was enjoying her retirement. She thanked the City Council and fellow co-workers for some good years. She also received congratulatory handshakes from the Council.

RECOGNITION OF THE CITY’S WASTEWATER & WATER TREATMENT PLANTS’ STAFF FOR ACHIEVING 100% OPERATIONAL COMPLIANCE FOR THE CALENDAR YEAR 2014.

Water Treatment Plant.

Mayor Donecker asked representatives of the Water Treatment Plant to come forward. He told Plant Superintendent Scott Jewell, Greg Purcell and Public Works Director Kevin Eason that 100% compliance, “this is huge.” The Mayor noted that a local industry was going to a third shift because of the quality of water we provide. He stated that the actions being taken, such as ice pigging, etc., were helping in that effort and in our efforts to recruit industries and bodes well for us in the future. He added that the competitors of the company he had mentioned had shut down occasionally because of their water quality, but the local industry did not. The Mayor presented a proclamation and plaque to the Water Plant. (A COPY OF THE PROCLAMATION IS HEREIN INCORPORATED AND MADE A PART OF THESE MINUTES.) Jewell thanked Council on behalf of the Water Treatment Plant staff but noted this is a huge effort by not only his staff but also others throughout the City. He cited specifically the efforts of Public Works Director Kevin Eason, plant maintenance including Ricky Fain and his staff, Lindsey Tuttle and Clinton Lawrence in Distribution, Chris Phillips and Human Resources, and Yvonne Ellison, Rochelle Tucker and Anita Strader in Finance. Councilman Hairston then asked that the Council be allowed to shake their hands.

Wastewater Treatment Plant.

Mayor Donecker then asked for representatives of the City’s Wastewater Treatment Plant to come forward to accept their proclamation and plaque for 100% compliance in 2014. (A COPY OF THE PROCLAMATION IS HEREIN INCORPORATED AND MADE A PART OF THESE MINUTES.) Representing the plant were WWTP Superintendent Mike Burleson, Maintenance Supervisor Ricky Fain, Laboratory Supervisor Mitzy Fain, Operator Pat McDonald, Pre-Treatment Coordinator Ralph Potter and PW Director Eason. The Mayor noted this is not a very glamourous job but is how the City is measured at the State level. He noted when he first joined the City Council, we were under a signed agreement which didn’t allow us to hookup new industries to our wastewater system. He stressed that is not good when you’re trying to recruit industries so this means a lot to him. This is what we will carry when we try to recruit jobs here, he said. Superintendent Burleson said it was great to be up here again this year, and they hoped to make it an annual event. He agreed that it was a total team effort by the people they see up here and the ones you don’t see. He said they all have to work to make this happen, adding that they feel more like a team than they ever did since transitioning to the City. It is a good feeling, Burleson said, and they appreciate the recognition. They, too, shook hands with Council members.

CONSENT AGENDA.

Mayor Donecker asked if there were any items on the Consent Agenda that needed to be considered separately?

Councilman Turner then made the motion, seconded by Councilman Gorham and unanimously approved by Council in a 6-0 vote, to approve the Consent Agenda.

CONSENT AGENDA ITEM NO. 1 -- APPROVAL OF THE NOVEMBER 12, 2014 REGULAR MEETING ADDENDUM, THE DECEMBER 5, 2014 SPECIAL MEETING MINUTES, THE DECEMBER 9, 2014 REGULAR MEETING MINUTES AND THE DECEMBER 19, 2014 SPECIAL MEETING MINUTES.

With the approval of the Consent Agenda in a 6-0 vote, the Council approved the November 12, 2014 Regular Meeting Addendum, the December 5, 2014 Special Meeting Minutes, the December 9, 2014 Regular Meeting Minutes and the December 19, 2014 Special Meeting Minutes.

CONSENT AGENDA ITEM NO. 2 – APPROVAL OF A RESOLUTION OF SUPPORT FOR THE IMPLEMENTATION OF A COORDINATED ASSESSMENT PROCESS TO HELP END HOMELESSNESS IN ROCKINGHAM COUNTY.

With the approval of the Consent Agenda in a 6-0 vote, the Council approved the a Resolution of Support for the Implementation of a Coordinated Assessment Process as explained in the City Manager’s Memo (A COPY OF THE MEMO IS HEREIN INCORPORATED AND MADE A PART OF THESE MINUTES.).

The Resolution of Support as approved follows:

RESOLUTION OF SUPPORT

For the Coordinated Assessment Process Designed to Help End Homelessness

WHEREAS, the City of Reidsville is committed to ending homelessness in our City and County; and,

WHEREAS, in 2008, the City joined with other municipalities across Rockingham County to support efforts to derive a 10-year plan to end homelessness in our County; and,

WHEREAS, the City continues that support, acknowledging the Coordinated Assessment process being implemented by participating agencies, including the Rockingham County Regional Committee Balance of State Continuum of Care; and,

WHEREAS, this Coordinated Assessment process will mean that throughout the United States, the same method will be used to collect the data on homelessness, which will assist Municipalities, Counties and States in proving the need as they seek future grants and financial assistance;

NOW, THEREFORE, the City of Reidsville pledges its support for the use of the Coordinated Assessment Process in the effort to abolish chronic homelessness, knowing that only through collaboration and coordination at all levels of government, along with community involvement, can homelessness be eradicated.

This the 21st day of January, 2015.

/s/______

John M. “Jay” Donecker, Mayor

ATTEST:

/s/______

Angela G. Stadler, CMC/NCCMC, City Clerk

- End of Consent Agenda -

CONSIDERATION OF CAPITAL PROJECT ORDINANCE AMENDMENTS TO ADJUST ENTERPRISE CAPITAL PROJECTS, INCLUDING THE CLOSEOUT OF THE DAM SPILLWAY PROJECT.

Assistant City Manager of Administration/Finance Director Chris Phillips referenced his memo in the agenda packets, which includes three Capital Project Ordinances and a Budget Ordinance Amendment. (A COPY OF THE MEMO IS HEREIN INCORPORATED AND MADE A PART OF THESE MINUTES.) He noted that the dam spillway project’s construction is done with the project coming under budget, due to great weather. It is time to close it out, and Phillips noted there were bond funds left over, which will be transferred to the water and sewer operating funds. He said at the same time, we are just getting started on improvements to the water and sewer plants, and there are costs which will not be covered by funding, basically the costs to issue the debt. The biggest cost is with the WWTP, which has received a $15 million loan from the State at 0% interest but there is a fee upfront which is close to $300,000, which funds the program, he said. We have to pay that fee ourselves, he said.

Noting this is a housecleaning item, Phillips said we are moving $746,000 from the dam project back to the Water operating fund; $100,000 to the Water Plant Project from the Water Fund; and $250,000 to the Wastewater Plant project from the Sewer Fund. This will mean a $351,000 net increase in the water and sewer operating fund as an additional amount which can be used for cash, he said. Public Works Director Eason has identified several projects which can use that money, but we will use the funds for the most pressing, Phillips said. He said most likely we will look at some of our older pump stations, which are next on the chart to be worked on. The Finance Director said to get the money to draw down on the bonds we need to spend the whole $746,000, and the water line project at Ann Ruston qualifies for that. Again, he said this just cleans all of that up. The only other thing Council is being asked to do other than approving those Capital Project Ordinance Amendments and the operating budget amendment is to approve a Change Order, which is the first change order to come in on the Sewer Plant project, Phillips noted. He pointed out that when the project was started, the City Manager was authorized to approve change orders up to $50,000, which is a small amount on a $15 million project. He said staff will come to Council through the course of the project to get change orders approved. Since the project is being funded by the State, the State must also approve any change orders, Phillips stated, and the State has approved this one. He cited the letter in the packet showing the State’s approval. The Finance Director said that is the process we will follow, running it by the State before bringing it to Council. This did not change the total budget of the project because we had some contingency funds, he said, and this change order was well under the available contingency funds.

Phillips reiterated that Council will need to approve the three Capital Project Ordinance Amendments, one of which includes the Change Order, and the Budget Ordinance Amendment, all of which are included in the packet.

City Manager Michael Pearce said the spillway project not only included great weather but also excellent work by contractor Crowder Construction Company, Schnabel Engineering and excellent assistance and management by Public Works Director Kevin Eason and Chris Phillips on the financial side. Pearce said it is very complicated to do this type of borrowing and these types of projects and to come that far under budget is just unbelievable. He added that it is great to be able to pay the issuance of this debt out of these monies that were already borrowed because otherwise the monies would have to come out of our utility reserves. He thanked them all for the excellent work they did, which was echoed by the Mayor.

The Mayor asked about how Council should vote on the amendments. City Attorney Bill McLeod Jr. said Council should make a motion on each amendment.

Councilman Turner then made a motion, seconded by Councilman Hairston and unanimously approved by Council in a 6-0 vote, to approve the Capital Project Ordinance Amendment Authorizing Capital Improvements for Improvements to the Spillway and Dam at Lake Reidsville.

The Capital Project Ordinance Amendment as approved follows:

CAPITAL PROJECT ORDINANCE AMENDMENT

AUTHORIZING CAPITAL IMPROVEMENTS

FOR IMPROVEMENTS TO THE SPILLWAY

AND DAM AT LAKE REIDSVILLE

WHEREAS, North Carolina General Statute 159-13.2 authorizes the establishment of a Capital Project Fund to account for expenses and revenues that are likely to extend beyond a single fiscal year; and

WHEREAS, it is the desire of the Mayor and the City Council of the City of Reidsville to amend the capital project fund established for Lake Reidsville spillway and dam improvements on March 14, 2012;

NOW, THEREFORE, BE IT ORDAINED by the Mayor and the City Council of the City of Reidsville that:

Section 1 That the following revenue accounts for this project are hereby established or amended:

53-3910-0000 Proceeds of Revenue Bonds $ 400,000

53-3831-4910 Interest Earned $ 7,500

Section 2. The following line items of expenditures are hereby established:

53-7120-1900 Issuance Costs $ 4,000

53-7120-1990 Engineering (Reduced) ($ 115,500)