SIMPSONVILLE CITY COUNCIL WORKSHOP MEETING August 26, 2008 City Council Chambers- 118 N.E. Main St .
CALL TO ORDER: Mayor: Call the August Workshop and special voting session of Simpsonville City Council to order.
ROLL CALL: Mayor: Ms. Zeller, even though you don’t have a tag yet, would you call the roll please?
Ms. Zeller: Councilmember Bridges: HERE Councilmember Garrett: HERE Councilmember Sanders: HERE Councilmember Bagwell: HERE Councilmember Curtis: HERE Councilmember Larson: HERE Mayor Waldrop: HERE
INVOCATION: Mayor: Is there anyone here who would like to ask blessings in their own personal way? Alright, well then councilmember Garrett, would you ask blessings upon this meeting in your own personal way, please?
PLEDGE OF ALLEGIANCE: Mayor: Would you join us now in the Pledge of Allegiance to our flag.
CITIZEN COMMENTS: Mayor: As always, we will begin our meeting by inviting citizen’s comments. And for those of you who may not know our rules; if you call ahead and asked to be placed on the agenda, we will give you four minutes to speak to us on any subject that you would like. This is our workshop meeting so we will actually answer questions and interface with you if you need for us to do that. If you signed up when you came in, unless you’ve spoken within the last year no I’m kidding, you will have two minutes and same rules apply. So, first we have one who was placed on the agenda Jason Burris. Mr. Burris? Okay, well I was anxious to hear that one. If Mr. Burris comes in a little later we’ll allow him to speak, but now we will just move on to the two minute folks. And that would be Mr. Perry Eichor. Mr. Eichor you probably know this but if you will state your address for the record you may begin.
Mr. Eichor: Perry Eichor. 703 N. Almond Dr. Simpsonville , SC. I want to ask does the phrase “I will never vote for a tax increase” have a familiar ring to it? I seemed to have heard it from certain people in the past couple of years, the word except was not in that phrase. Elected officials and consequently those they appoint should remember they’re engaged in a service preformed for the benefit of the community. And their reasonability is to the public that elected them. Myself, and several citizens are gravely concerned about the tax increase proposed by this Council. The reasons given, at least in the paper, were that increased fuel cost was not anticipated, and that Heritage Park did not bring in the anticipated revenue which they expected. Any Administration that did not anticipate higher fuel costs after the last several years, surely entered into this budget year with their eyes closed and their head in the sand. The signs were there. And this Administration should have looked at ways to cut fuel costs and consumption. Why did this Council, and particularly the Administration, start depending on revenue from what amounts to a commercial enterprise to cover costs for City operations? To consider anticipated revenues from possible events with no prior history, in which to base these projections is unwise, foolish, and abrogation to fiscal responsibility. Why would any Administration continually ask for more money than the projected property and business taxes would support? What happened to apparently a foreign concept of “Let’s do more with less”? Successful enterprises as well as government entities have long used this idea when times get tough. What you are proposing can be likened to an auto manufacturer that is dependent for years on profits of SUV’s deciding to raise the prices on the autos to make up for loss sales, resulting in lower profits. Or even more to the point a buffet raising their prices to offset a decline in customer base; in times where there is an economic hardship being endeared by our citizens, why in the world would you add to that by increasing taxes? I believe, and several others have said, this shows a paten disregard for the well-being of the citizens, for which it should provide services. I know many of the personnel at your departments. Some have worked for me, and I am sure if you utilized their imagination, dedication, and common sense they can come up with some substantial reductions in their own departments, without touching their salaries or benefits. Why doesn’t this Council if times are hard, eliminate travel to include that of Council, and eliminate the planning session? If times are hard why not ask Council to forgo their salaries? After all you were elected to serve on Council for the benefit of community and not for personal gain. When times get tough, the tough gets going; and that’s what we are doing right now. The mess on the S.E. Main St did not help the budget situation. It appears that we are in a situation, like the old movies from the 30’s said, where someone comes up and says, “ Oh, they’re going to take the orphanage over; so let’s put on a show and that will solve all our money problems.” Well, we’re going to have to quit putting on a show; we’ve over reached the extent of our grasp and now we finally need to take a hard look at some of the expenses that we have been putting out. And I’ve used up my two minutes.
Mayor: Thank you, ouch, but thank you. Alright, that concludes our speaking portion of our program; thank you all for your comments.
COUNCIL COMMENTS: Mayor: Alright, now Council comments, does anyone on Council have anything they would like to say? Mr. Larson.
Mr. Larson: Yeah I wanted to address the letter we got from AccuBrick Development Corporation. Darren Anderson; he’s the one that is doing the S. Main place, over by the Be Encouraged Victorian House over on S. Main St. And the end of that property where it hits Main St, across the street, is where the old fuel tanks use to be, the city owns that property, and Mr. Anderson approached me, saying they have some left over pavers, from when they did the sidewalks to the entrance of that neighborhood and he offered to donate his materials and his labor to the City to make a public common parking area across the street where the old oil tanks use to be; which there is still kind of ugly, still has coal stains on the ground. There would be no cost to the City and then once it was finished he is actually going to include that little section of parking area into the Homeowners Association Maintenance Fee. So, it would be taken care of the same as the entrance to the neighborhood. And I think Mr. Holmes has given his seal of approval to what’s being asked, you know, I think it’s nice that we have someone willing to do something positive for the City. Do we need a motion or do we need to vote on that?
Mayor: Yes, this is Council comments that’s not a question that we can interject in there. Meanwhile I’d like to ask Mr. Carter and Mr. Hawes to be prepared to answer questions about that when we get to that point. So, you all be thinking about that. Alright, thank you Mr. Larson, anything else?
Mr. Larson: Yeah I did have a couple of people talk to me about putting the three way stop signs up in Davenport and they live around Cape Wood, and their concern is that you’re going to slow people down coming down Davenport, and then you’re going to take a right on Alder and then speed up, to try to make up for time they lost. I must, coming down Davenport onto Alder not Yellow Wood, did I say Tebble Wood
Mayor: I’m sorry I’m lost where does Alder come into Davenport ?
Mr. Larson: It dead ends at the stop sign.
Mr. Larson: If you’re coming down Davenport , take a right on Alder?
Mayor: Coming down Davenport going which direction?
Mr. Larson: Towards the bridge, the new bridge.
Mayor: Okay, take a right on Alder
Mr. Larson: And then there’s long stretch curve in there, and then you cross the bridge, and take a left on I guess it’s Tebble Wood, until you go around the corner and up the hill; so they were just wondering about putting a couple of three way stop signs along Alder. So, if we can do a check see if that’s necessary.
Mayor: Well, I think our Police Chief needs to look into that, and report back to us and give us an opinion unless you all already have talked about it; Mr. Hawes do you have a comment?
Mr. Hawes: No, I will just say that whenever you install traffic calming measures, sometimes people will try to find alternate routes and it’s just a hazard of the traffic calming procedure that needs to be, God Knows, if you slow traffic on one road, then you’re going to have to look at surrounding areas. However, in this particular scenario when we placed the locations the Chief and I’ve looked at, the areas that we are talking about, Alder itself is ending up with a 3-way stop. So, you are going to have to have to stops there before you turn. There is also a stop at the corner of Alder and Tebble Wood and that is existent now at the end of the bridge; it actually has some natural traffic calming measures in there beyond the fact that there are stop signs along the way; so, hopefully any negative impacts or any negative impacts that might be experienced as a result of traffic calming on Davenport will be mitigated by the existing measures on those roads, but we will watch them very closely.
Mayor: Okay, alright Mr. Curtis.
Mr. Curtis: Speaking of traffic calming, now it’s my understanding that in order to get these 3- way stop signs put up we have to post it for 30 days prior to that happening can you give me an estimate on when we will be posting that? Because I have driven through that area, yesterday, and I saw no posting of those in any locations.
Mr. Hawes: Right, those postings should go up by the end of this week. They actually had to be ordered. The sign, the metal sign backs had to be printed and had to be ordered for those particular locations, and they are in now, is that correct? Those signs are being made as we speak, they made them today.
Mayor: Okay, I have a question about that. What happened to the signs that we had over here on College and Church? Could we, did we just throw those away?
Mr. Hawes: We need to have 12.
Mayor: I got you, so you can’t just put it at the top of the street? Good answer. Okay anyone else? No more Council Comments? Okay.
NEW BUISNESS- SIMPSONVILLE STARS Mayor: Okay, next item on the agenda, is about the Simpsonville Stars. And you all heard at the great parade, we had for them on Sunday. You heard me say that we were doing some proclamations, but because of logistics and timing and everything, we couldn’t get them here tonight. So, we are going to do that at our regular meeting two weeks into next month. We will have a big “hoopty do for them” then, so we will skip over that item on the agenda.
OLD BUISNESS- AMENDMENT TO F.Y. 2008-2009 Mayor: Okay next item on the agenda is Old business. And Mr. Hawes you’re going to tell us about an amendment to the FY 2008-2009 Operating Budget.
Mr. Hawes: Yes, Mayor and Council, as we discussed at the prior meeting the City has reviewed its revenue screens, in the wake of the passing original 2008-2009 budget. The final quarter of 2007-2008 was reviewed and indicated a significant drop in primarily development related revenue streams. These were, are, interfused to the operation of the City, contrary to what the paper said, the revenue streams of concern here and are being addressed have nothing to do with Heritage Park , or the Amphitheater. The issue here is a development related stream, particularly building permits. This dropped off between 30-40% in final quarters and is continuing a remarkably lower rate than the prior year. So, this particular stream, which has been pulled back about $300,000 in the amended budget, is the significant impudence for the reproach of this budget before you. Also, the fuel cost did continue to climb into July and caused us to reevaluate. In the Public Works Department alone the fuel costs were virtually double what they were last July. It’s prudent for the city to make sure that there is enough allocated in that line item, so we would advise City Council and has advised in this amended budget the additional $132,000 fuel. Those are the primary changes in the budget now. There are also cuts. Virtually across the board, cuts in every department; where we have worked with Department Heads; and as Mr. Eichor suggested identified areas that ‘the belt could be tightened as tightly as possible’ you know, without cutting absolutely necessary services. I believe that council has indicated that is imperative that we work to continue along the lines of the same level of service, that we have been able to provide to the citizens over the many, many years and not drop in quality or provision of that service, i.e. response times of the police, and fire, and other safety related services particularly. Also, Health related services such as Sanitation, Public Works, and all those items, were protected in the budget. The overall mandates that have been voiced upon the City, and have impacted the budget just since July 1 st , these mandates come down from the State. The overall State Inmate Labor Rate that the City pays, went up 62 and 1 half % since July 1 st . So, that went from $8 to $13, this is another unfunded mandate. The letter that was sent to us, said, “Due to State wide cuts and budgets we’re basically telling you, you have to pay more.” So this is just passing the bunt down to the low totem pole, which in this case is the City. We get it from the County; we get it from the State, basically they clean out their budget issues by throwing them upon us. And everything I’ve mentioned has occurred basically since July 1 st. So, there are a number of things here that we have on the expense side and on the revenues side, and I doubt that the overall feeling of citizens of Simpsonville is they’d rather have an increase in response time, then a small tax increase less than a $1 per month on $100,000 home and it’s something that is imperative that we consider at this point and that’s what is before you.
Mayor: Okay, well I feel it’s fair to ask questions, like they have been asked. I mean, like we ask you, so just remind us, how could we have missed the fuel costs projections as badly as we did, when we knew that the fuel costs were rising?
Mr. Hawes: They were based primarily on Numbers through March 31 st .Fuel cost went up between March 31 st and July 31 st about 10% or more. It is something where the City was trying to get along, to move forward without proposing a tax increase. When they spiked in May, June, and July, those numbers, and that was basically after first reading of the budget. And it had been determined we were not going to have a tax increase. It was of great concern, and on the other side of the budget, you have one side expenses. And one side the revenues. There was no way to absorb that increase when the revenues dropped as well. And the revenues as of March 31 st , in that one line item Building Permits, were 11% ahead of where they were the previous year. So we were actually ahead and we projected some growth in that revenue based on the trend analysis. The problem is May, April, and June the bottom dropped off in the development side. Now, it had been happening around the country to some extent, but really hit Simpsonville in April, May, and June and further July and August. When we had the information that was prepared on trial balances for the audit, as of mid July, it was of great concern that that particular revenue item, because we were running so tight to avoid having a tax increase, for the 27 th consecutive year. When that particular revenue item was shown, not to be expected what was projected in the original past budget, we felt it was imperative to bring that information to City Council and readdress that item. That item was adjusted down $300,000 from $930,000 to $ 630,000 and the 930,000 was based on the 11% rise as of March 31 st , compared to the prior year.
Mayor: Okay, I would like for you to also address, seeming confusion over the Heritage Park , Amphitheater cost. I think, perhaps, the confusion was caused because that showed up very late in the budget process, explain that again for us.
Mr. Hawes: Yes, I‘d gladly explain that. First of all the Amphitheater and Heritage Park are funded through a special revenue fund. They are not funded through the general fund. However, we included that aspect of that cost in the general fund budget, as a fail safe. I guess that is the best way to put it. Should the special revenue fund decline, because people don’t eat out, but not rise at the projected rate it has risen at a rate every year, in the past 5 years, at over 5% per year, because of new restaurants, people eating out and so forth. There was some concern that it may not be able to reimburse the general fund to the amount that would be necessary over this particular fiscal year, but it would eventually reimburse the general fund, so that $102,000 is basically the consultation fees for the operation for Amphithreather and the utilities. That will be reimbursed through the special revenue fund, and it is not born by the general fund at all in a typical year. It was a fail safe, in this case to make sure we had that money available, and that is not the single impudence as written in the paper, or the largest issue. The largest issue is $300,000 that is not going to be brought in through development related line items.
Mayor: Okay, well I cheated a little bit, I started to ask you questions before we had a motion on the floor, but I guess I can if I got the hammer, but so that we can discuss this further, would anyone like to make a motion in regards to this? Mr. Bridges.
Mr. Bridges: I move that we accept this amended budget for Fiscal year 2008-2009.
Mayor: Thank you Mr. Bridges, do I hear a second?
Mr. Curtis: Second.
Mayor: Mr. Curtis seconds, thank you Mr. Curtis, any discussion? Okay Ms. Bagwell.
Ms. Bagwell: In light of this, Mr. Hawes, I would like to make a request; I’d like to monthly receive a statement, a statement on the budget. What’s come in based on the budgeted line items, everything, a full statement on the budget. I think that, I don’t like the fact that we are having to come back out to do this, but we are. So, in light of that, I think it would be good if we could look at this over the next 12 months.
Mr. Hawes: I think that is an excellent idea. I think it’s very important that Council be aware of any fluctuation that occurs month to month, under these trying economic times that everybody’s in. We’ll make that happen.
Ms. Bagwell: Thank you, if you make that start next month that would be absolutely wonderful.
Mr. Hawes: Yes, Ma ‘am.
Mayor: Okay, anyone else. Alright.
Mr. Hawes: Mayor, I would like to add that there has been an adjustment to the ordinance that you‘ve had on first reading. The line in there, specifying the Public works fee of $2 that was approved in the original budget, is basically being approved in this budget as well.
Mayor: Okay, and what line would that be, so everybody can
Mr. Hawes: It’s 1.3 in the stipulations. It outlines how it would be collected and so forth. That’s the tipping fee that the County has posed onto the City and passed through.
Mayor: Alright, anyone have questions or comments about that? Okay Ms. Bagwell.
Ms. Bagwell: So Greenville County is going to be collecting that for us now?
Mr. Hawes: That is correct.
Ms. Bagwell: Okay.
Mayor: On your tax bill.
Ms. Bagwell: Okay.
Mayor: Okay, Well, I won’t say anything about that. Alright, any other discussion, hearing none, I’ll remind Council that this is second and final reading. This will be the final time you get to talk about this. Hearing no further discussion, I’ll call for the vote, all in favor signify by saying “Aye”, opposed “No”. Ms. Sanders and Mr. Garrett vote no, everyone else vote yes. And it passes. Alright thank you very much.
B- G.O. BOND ORDINANCE SERIES 2009 Mayor: Next item on the agenda is the G.O. Bond Ordinance series 2009, Mr. Hawes.
Mr. Hawes: Yes Sir Mayor and Council the G.O. ordinance before you is to provide the issuance of sales not exceeding $2 million dollars. City of Simpsonville South Carolina General Obligation Bond series 2009, to prescribe the purposes for which proceeds shall be expended to provide the payment there of, and other merits relating there to, this particular bond is for the fire service area, the City’s portion of the fire rescue vehicle, which again was a County unfunded mandate; that the County has stepped up and provided 75%of that cost. But the 25% is an unfunded mandate that is Covered under this bond. Also, the refunding of the lease purchase of two fire engines and better rate for the bond, this is a; let me clarify this, I’m sorry. This is actually the deferred bond for next year. We’ve already passed that. I’m sorry, this is for the recurrent 2009 series bond for the fire station, for the fire service area. This particular bond will depend on the County’s Council’s participation next summer, on this $ 2 million bond. The County’s Council has indicated willingness to participate to the tune of 50% of the cost of the construction of the fire station. However, that was approved at this prior Council session, and would have to be re-approved next summer on this bond. This bond involves a milleage increase of approx. 7 mills although that could change with reassessment. And that millage increase would be levied upon the approval of County Council next year in 2009. And the approval and the moving forward, of the bonds by the City of Simpsonville . And the City would have an absolute out of this next year, if it did not sell the bonds
Mayor: Okay, I’ll entertain a motion in this regard, Mr. Larson.
Mr. Larson: I would like to motion that we accept the General Bond Ordinance 2009.
Mayor: Thank you Mr. Larson, do I hear a second?
Ms. Bagwell: Second
Mayor: Thank you Ms. Bagwell for the second, any discussion? Alright, just so we are clear, because I want us all to be clear, this doesn’t go into affect unless Greenville County , in affect underwrites this, is that correct?
Mr. Hawes: That is Correct.
Mayor: And then it can’t, we still have to take action to approve that action, at that time?
Mr. Hawes: No, this actually approves it. We can decide not to sell the bonds.
Mayor: We can intriguer it. We can unload the gun.
Mr. Hawes: That is Correct.
Mayor: But this pulls the trigger, when Greenville County does the issuance.
Mr. Hawes: That is correct.
Mayor: I just want to make sure we all understand that correctly, alright anyone else? Alright, this is second and finally reading, so hearing no further discussion I’ll call for the vote, all in favor signify by saying “Aye”, opposed No. Aye’s have it, it’s unanimous.
DISCUSSION ITEMS Mayor: Alright, now we are going to move onto discussion items, you have a report back to us regarding the Art Center Rental Agreement, that we talked about I think Kudzu Art group.
Mr. Hawes: Yes, Mayor and council, Diane Libert, from the Kudzu Arts Guild regarding a request to occupy a portion, a room basically, in the Old Simpsonville Elementary School, which is envisioned as an Arts Cultural Center in the future for the City. The request involved occupation, more than just on a weekly basis. They requested that they be able to store items there and so forth. Upon Council consideration of that, staff was directed to consider a rental agreement for the property, for the use of the property. I reviewed the Rental Agreement that the City currently has with buildings such as Community buildings, the Senior Activity Center and some other locations that the City rents on a day to day basis, or whatever basis may be requested. I also walked through and identified any issues that might be inherent to that building that separated it from the current building that we have and upon that review of both our current rental agreements for City property and the walk through analysis of that particular building, that is subject here I determined that we really can not, in our best City interest go forward with this proposal. There are aspects inherent to that building and its condition currently that gives me great pause to allow an unsupervised use of that building. Currently the use of that building involves signing an agreement with a Security Deposit and this is on the basis of renting the auditorium for an evening. That is the current use of that building that requires a security deposit. It requires Police presence at all times, during the events there. It requires that the Fire Department be aware of the use of it specifically and be on call. Those types of situations would not be the case with this weekly, or monthly rental, or day to day type proposal. And with the current situation with the building where it is, in a transitional phase to go to a construction, adding air condition in the future. Improving the auditorium overall, improving the building overall. It is in a master planning phase right now. I could not approve or recommend to Council at this point, approval of agreement. Therefore, since Council said Staff was to determine how an agreement would best work, I have determined that the agreement can not work at this time.
Mayor: Okay, alright that is not something we need to take action on. So you are just reporting back to us you’re findings. Does anyone have any questions about that, while we are on this? Alright, thank you Mr. Hawes.
NEW BUISNESS
Mayor: Alright we have new business, and Mr. Larson, I this is kind of what you were talking about a few moments ago. I believe you chose to recluse yourself from any discussion of this, is that correct?
Mr. Larson: Yeah we are, actually Ricky is a client of ours, so I feel like I should just repose myself from any further discussion.
Mayor: Okay, well as I understand, this is an offer by this company to buy the brick, the labor, the engineering and anything else; to place a parking lot where the old coal pile use to be, somewhere there about. And if someone is of the mind to, Mr. Curtis he is of mind to…
Mr. Curtis: Mr. Mayor, I will make a motion that we accept this offer. So we can get onto Council discussion of it, because I would like to hear a little bit more, but I will make the motion that we accept this offer.
Mayor: Thank you, Mr. Curtis, do I hear a second?
Ms. Bagwell: Second
Mayor: Ms. Bagwell seconds, thank you Ms. Bagwell, do I hear any discussion, Mr. Curtis.
Mr. Curtis: I understand that the City Attorney and Staff have reviewed this and doesn’t see any problems with it.
Mr. Holmes: Mr. Curtis, what I would recommend would be part of your motion that you are going to allow Accubrick to lay the pavers and to establish a public parking area in that place. And that apart of that, would be that that work be coordinated with the Public Works Director. Make sure that it’s within City limits, property boundaries that the proper protection is made as city streets and that type of thing. And it is my understanding that the City would just then allow this improvement work to be done and it could be used as public parking and those other circumstances that would fine.
Mr. Curtis: Mr. Mayor I would like to amend my motion to indicate exactly what the City Attorney just said.
Mayor: Okay I think that was a wise thing you did. Alright, thank you very much, do I hear a second to amended motion.
Ms. Bagwell: I’ll second that.
Mayor: Thank you, Ms. Bagwell, alright, any discussion of the brand new motion?
Ms. Sanders: City would maintain ownership?
Mr. Holmes: City would maintain ownership.
Ms. Sanders: And we need to add the part about on-going maintenance, as they testified in here.
Mr. Holmes: I understood it that the resolution was to accept this offer, and that maintenance was included.
Ms. Sanders: Well, make sure that is in there.
Mayor: Alright, anyone else? I would like to add if, and I don’t know who to ask this of, but I guess it should be apart of the motion to, unless somebody can give me some kind of satisfactory answer. This does not imply to the Development Corporation or AccuBrick or anyone else that they will be in control of this Parking area? For instance, if they decide one day that they want to have exclusive parking for themselves, I mean we certainly make that clear correct.
Mr. Hawes: It would be very clear that this is City property .And it would be a public parking lot, and that circumstance that you just described would not be allowed.
Mayor: And it would not be held out to the buyers of those properties over there, that that’s your parking over there. Okay, I just wanted to make sure, Attorney is teaching me to get all these question out so, alright, any other discussion? Alright, hearing none we have a motion before us and I am assuming this just takes one reading this is more of a proclamation then anything else. So, I’ll call for the vote, all in favor signify by saying “Aye”, opposed “No” Aye’s have it, it is unanimous.
EXECUTIVE SESSION Mayor: Alright, it looks like we have a need for an executive session tonight. To discuss a legal matter regarding administrative action, a contractual matter regarding a potential development agreement, and another contractual matter regarding potential development agreement. It sounds like we should have talked about all the development before we talked about that budget, but at any rate I will entertain a motion in that regard.
Ms. Bagwell: I move that we go into executive session to discuss the legal matter concerning administrative action, a contractual matter regarding potential development agreement and another contractual matter regarding potential development.
Mr. Curtis: Second.
Mayor: Mr. Curtis seconds, thank you Mr. Curtis. All in favor signify by saying Aye, opposed No. Aye’s have it, it’s unanimous. We will be in recess for a few moments and the executive session.
AJOURNMENT Mayor: Council came out of executive session at 8:25 and no action was taken.
Ms. Bagwell: I move that we adjourn.
Mr. Curtis: Second.
Mayor: Mr. Curtis seconds, thank you Mr. Curtis. All in favor signify by saying Aye, opposed No. Aye’s have it, it’s unanimous. We are adjourned.
Respectfully Submitted,
Melinda Zeller City Clerk
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