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Sept 11, 2017 Finance Meeting Minutes

The tape of this meeting is on file in the Council Clerk’s Office.

TO THE HONORABLE COUNCIL, CITY OF ELYRIA, OHIO

The Finance Committee held a meeting on Monday, September 11, 2017 at 6:07 P.M. in Council Chambers.

PRESENT: Committee Chair Stewart, Members Tanner, Madison, Baird, Lotko ABSENT: None

OTHERS PRESENT: Mayor Brinda, Safety Service Director Siwierka, Law Director Serazin, WWPC Superintendent Korzan, Engineer Ujvari, Finance Director Pileski, Police Chief Whitely, Assistant Safety Service Director Brubaker, Communications Superintendent Showalter

Mr. Stewart called the Finance Committee Meeting to order at 6:07 on September 11, 2017

1. Approval of the 8/28/17 and 9/5/2017 Meeting Minutes.

Lotko moved and Baird seconded to approve the minutes of the 8/28/17 and 9/5/2017

Finance Committee Meeting.

MOTION CARRIED

 

2. The matter of a request to Adopt the Updated and Revised Codified Ordinances of the City of Elyria, (informally known as the “re-codification” process).

REFERRED BY: Law Director’s Chief of Staff Deery

Mr. Serazin said this is a standard annual process to codify the ordinances that have been passed by Council and which effect the ECO. His office goes through the ordinances to make sure they have correct back up. They have finished that process and have listed all the changes and new pages will be received once the matter has been passed by council.

Tanner moved, seconded by Baird to recommend approval of the updated and revised Codified Ordinances of the City of Elyria.

MOTION MOVED COMMITTEE REPORT WRITTEN 

3. The matter of a request to Certify Demolition Charges of 835 Fairwood Blvd. to the Lorain County Auditor’s Office. REFERRED BY: Assistant Safety Service Director Brubaker

Mr. Brubaker explained that there was a house fire at said property and was reported to be beyond repair, therefore the City had to do an emergency demolition. The property owner had no homeowners insurance. In order to protect the interest of the city, Mr. Brubaker is asking for a lien to be placed on the property taxes for the demolition cost of $12,000 which had come out of the General Fund.

Lotko moved, seconded by Baird to recommend to certify the demolition cost of said property for the amount of $12,000 to the Lorain County Auditor’s Office.

MOTION MOVED COMMITTEE REPORT WRITTEN 

4. The matter of the Renewal of various Insurance Policies, current Policies will expire 9/30/2017.

REFERRED BY: Safety Service Director Siwierka

Mrs. Siwierka had passed out a sheet that shows the current and renewal vendors for various insurance policies. The City’s broker did some price comparisons and what is listed are the best pricing. Travelers Insurance will have our property, liability, inland marine and crime package.

Boilers will stay with XL Insurance of America and the Cyber Security is still with BCS Insurance.

Travelers did a full audit of our facilities. We have a couple of pending things, we settled a few claims for termination and one is still pending. The inland marine insures all the equipment that does not go out on the roadway. The rest are self explanatory.

Baird moved, Lotko seconded to approve the matter of renewal of various policies.

MOTION CARRIED COMMITTEE REPORT WRITTEN 

5. The matter of approving an Ordinance authorizing the Mayor to apply and accept, if offered, Grant Funding, (TLCI Grant). w/Utilities REFERRED BY: Engineer Ujvari

Mr. Ujvari said that this referral is similar to one that was made a year ago. NOACA is providing the possibility of Grant money for the TLCI Implementation. The request is for $60,000 which is around a 20% match on a $350,000 Grant. The limits on the project would be the downtown area, 2nd Street; new crosswalks and new lighting. The City was successful in the last 2 applications and hoping to be successful in this one as well.

Mr. Baird asked if this project includes Lorain County bikeway and connectivity? Mr. Ujvari said that one of the criteria is to provide connectivity.

Madison moved, Baird seconded to recommend an Ordinance to allow the Mayor to apply for TLCI Grant Funding.

MOTION CARRIED COMMITTEE REPORT WRITTEN 

6. The matter of approving an Ordinance authorizing the Mayor to replace street light bulbs on State Route 57 to LED Bulbs. w/Utilities

REFERRED BY: Safety Service Director Siwierka

Mrs. Siwierka started by saying that Mr. Showalter, of the Communications Department had asked for a consideration to use Issue 6 money to change the type of light bulbs on Rt. 57 to LED Bulbs.

It’s very dangerous when crews have to change the bulbs. There will be a return on the money in about 5 years.

Mr. Stewart brought up the issue of light poles that are down, saying that every time a pole gets put back up another one gets knocked down. If we would consider Issue 6 Funds, Council would have to look at that as a whole.

Mr. Ujvari weighed in on the discussion saying that there are certain conditions on Rt. 57 that are targeted for consideration. One being, is to consider is the placement of light poles, especially ones that are in the median of Rt. 57. We should consider a possible alternative location for the poles. To possibly move to the outside of Rt. 57 and stay away from the clear zone. It’s something that should be considered before we move into the replacement of LED’s. In the event a pole is hit the luminar along with the bulb will be destroyed. That should be factored in.

Mr. Madison asked where the money comes from to replace the poles and bulbs? Mr. Showalter said it comes out of the Communications Repair & Maintenance Fund. Mr. Madison also asked if the City gets reimbursed for the cost of replacing the poles by the individuals who hit them? Mrs. Siwierka answered that about 30 percent, maybe 40 percent of damages get paid for by insurance, but many insurance carriers are requesting that we depreciate to value of the poles and so they don’t pay the full value of the poles.

Mr. Showalter said that the every bulb on the Rt 57 poles have to be replaced every 2 years. It’s a maintenance issue. Right now we are using around 90,000 watts of electricity per year and with LED bulbs we will only be using around 30,000 watts per year. And those bulbs will have a 60,000 hour life expectancy which would be almost 20 years before they would have to be replaced again. Mr. Tanner asked why those break away poles were placed so close to the road to begin with?

Mr. Showalter said that the breakaway base is for the safety of the motorists.

Mrs. Siwierka suggested that Council ponders both of these issues; the matter of replacing the bulbs to LED and the matter of moving the light poles and get some feedback from Mr. Ujvari and Mr. Showalter, because these are 2 different things. As stated, when the poles go down they need to be ordered from the company because they don’t keep them in stock, they are made as they are ordered, so that is why there is a 10-12 week delay for the replacement.

Mr. Lotko is in agreement with the director that Council needs to explore these issues and Council would have to be in agreement as to how the City would pay for the LED’s.

Mr. Stewart stated that this issue will go into pending items.

Matter has been tabled.

 

7. The matter of a review of several Supervisory Salary Ranges for Non-Bargaining Managers, Department Heads and Superintendents.

REFERRED BY: Mayor Brinda and Safety Director Siwierka

Matter has been tabled.

 

8. The matter of waiving Building Permit Fees for all City of Elyria Projects for 2017 and 2018.

REFERRED BY: Assistant Safety Service Director Brubaker

Mr. Brubaker said that Council passed an Ordinance to waive the Building Permit fees for the Splash Pad and other Parks & Rec projects. And since there are multiple other projects going on in the city, electrical and building projects, they are requesting for Council to Waive the permit fees. By having the City pay the permit fees, it is taking the money and paying it back to ourselves. To avoid conflicts with the state of Ohio, we are still required to pay the 3 percent fee to the state. The Building Official asked if we can have something on record that will waive us from having to pay the 3percent fee to the State when we in fact we haven’t collected anything. The Committee Report states we are asking for 2017 and 2018, but we would like to also include 2019 since there will be multiple projects going into 2019 as well. There is no loss of income to the City.

Moved by Lotko, seconded by Baird to recommend an Ordinance to Waive Building Permit Fees for City Projects for 2017, 2018 and 2019.

MOTION CARRIED COMMITTEE REPORT WRITTEN 

9. The matter of waiving Rezoning Fee for rezoning request of City owned property located at

202 Chestnut St.

REFERRED BY: Administrative Legal Counsel Smith

Mr. Brubaker said this goes along with Item Number 8. It is City owned property and Mr. Smith is asking to have the $500 rezoning fee be waived. The city is attempting to rezone the property in order to get the property ready to sell.

Mr. Baird asked the status of this property. Mayor Brinda said that this matter came to Council earlier in the year. Information about the fair market value of the property was discussed in Executive Session. Council gave permission to set a ceiling price for the property and negotiations have followed. The closing is pending shortly. The property needs to be rezoned for the purposes discussed and will go through the public processes, including Planning Commission, etc.

 

Moved by Lotko, seconded by Baird to recommend an Ordinance to Waive the rezoning fee for said property.

MOTION CARRIED COMMITTEE REPORT WRITTEN 

12. The matter of amending the 2017 Permanent Appropriations.

There are 3 appropriation changes. There is a full time employee from the Cemetery Dept. that will be retiring which will leave one full time employee in that department. The thought is to bring in a replacement for that person who is retiring and do some training so money needs to be moved to accommodate that. There are extra monies left in the swimming pool that went unused, so that will be a ‘wash’ in the General Fund. Block Grant Fund is moving $10,000 from one department to another to cover a shortage in the Block Grant Administration. In the 2016 half percent temporary income Tax Fund for the Parks and Rec Dept., $7,860,00 needs to be added to operating and maintenance for RITA fees. We already appropriated $30,000 and the fees that RITA charges to collect the tax is distributed between the different functions that the 2016 half percent income tax addresses. In the Capital Needs Department, there is money appropriated for the upgrade of the radio system in the Fire Department. A little has changed since the original amount was appropriated and we need to add $21,000 to that to get it completed. The total cost of that is $61,911.80

Madison moved, Baird seconded to amend the 2017 Permanent Appropriations per discussed.

MOTION CARRIED COMMITTEE REPORT WRITTENMr. Madison asked Committee Chair if he anticipated having the discussion of cost savings recommendations that were shared with Council on July 29th for ways of saving money in the General Fund? Mr. Stewart said that it would go to Strategic Planning, but a date hasn’t been set up yet.

Madison moved, Lotko seconded to adjourn the Committee Meeting at 6:40P.M.

MOTION CARRIED 

 

 

 

 

 

Submitted by,

 

Colleen Rosado, Secretary