CITY COUNCIL MINUTES

OCTOBER 11, 2007

The meeting was called to order by President Pleasant at 7:00 p.m.

MEMBERS PRESENT: Mr. Fogt, Mr. Pleasant, Mr. Burke, Mr. Reams, Mr. Gore

Excused: Mr. Marshall Absent: Ms. Sellers

OTHERS PRESENT: Mayor Kruse, Director of Administration House, Finance Director Morehart, Public Service Director Davies, Wastewater Superintendent Varner, City Engineer Roush, Asst. City Engineer Palmer, Law Director Aslaner, Clerk Patterson

REPORTERS PRESENT: Ryan Horns-Journal Tribune

CITIZENS PRESENT: Tom Bulcher, Chris Reichle, Bill Kelley, Alan Seymour, Mike Witzky, Ray Fleming, Jim Strayson, Nathan Weirick, Paul Hammersmith, Kathy Young, Deborah Groat, Steve Stolte, Dick Noland, Jim Wing, Dan Behrens, Doug DeVore, Luke Keiderling, Chris Schmenk, Eric Phillips

APPROVAL OF MINUTES: There being no additions or corrections, the minutes for the meeting on September 27, 2007 were approved as written.

ADMINISTRATIVE REPORT: Ms. House reported that the City received final payment as part of the first Federal appropriation. Total received $952,000 of the $1M. No official word has been received on the next appropriation.

Trick or Treat will be held on Wednesday, October 31^st from 6:00 to 8:00 p.m.

Mr. Morehart asked Council’s consideration to add two appropriation ordinances to the consent calendar.

Ms. House reported that she had received the Fact Finder’s Report for Fire Negotiations and would like to request an Executive Session to discuss.

Mr. Aslaner said he would also like to discuss pending litigation during the Executive Session.

Mr. Fogt mentioned an article in the newsletter about the Job Ready Site Program and the City would be receiving money from Ohio Department of Development and Ohio Public Works Commission. He asked how much money the City would have to put out for that site. Ms. House said the matching portion of the Job Ready Site is 25%. The match for the OPWC grant is 26%. Mr. House said the money for the JRS grant is included in the 2008 budget.

REPORT OF CLERK OF COUNCIL: No report.

REPORT OF ECONOMIC DEVELOPMENT DIRECTOR: Mr. Phillips thanked the City personnel for their support in the Beightler marker dedication.

HEARING OF CITIZENS: Mr. Mike Witzky of the Mental Health Recovery Board addressed Council about the upcoming levy. He asked for an endorsement from City Council for their 0.5 mill replacement levy for Mental Health and Recovery Services. This 0.5 mill levy comes around every ten years. According to the County Auditor, a 0.5 mill levy currently collects $10.50 a year on a $100,000 property valuation. A replacement would increase this amount by $4.82 a year, which is an increase of about a penny a day – to $15.32 a year. Over the last two years, the need for their services has increased by 37%, from 1452 in 2005 to 2023 at the end of this state fiscal year, June 30, 2007. Going back to 2001, increased utilization of their services went from 980 to 2023, which is a 106% increase. During this same period, their expenditures increased by 46% while revenues increased by only 29%. To keep pace with this growth, the Board has had to use reserve funds to keep essential services in place. The passage of this replacement levy would allow them to continue the level of services they have at the present time.

Mr. Gore stated there is not time to pass a resolution before the election, but he personally endorsed the levy. Other Council members endorsed the levy as well.

Mr. Burke moved to add legislation to the consent calendar and the question put, stood:

Mr. Pleasant YES Mr. Burke YES Mr. Reams YES Mr. Gore YES Mr. Fogt YES

Motion passed.

RESOLUTIONS

“A RESOLUTION SUPPORTING THE REVITALIZATION OF UPTOWN MARYSVILLE AND SUPPORTING THE SUBMITTAL OF A MAINSTREET APPLICATION WITH HERITAGE OHIO WITH THE GOAL OF BECOMING AN OHIO MAINSTREET COMMUNITY” was presented for third reading, title only. Mr. Burke moved to pass the legislation and the question put, stood:

Mr. Burke YES Mr. Reams YES Mr. Gore YES Mr. Fogt YES Mr. Pleasant YES

Resolution 16-07 passed.

“A RESOLUTION TO APPROVE THE CONTINUANCE OF ENTERPRISE ZONE TAX INCENTIVE AGREEMENTS WITH VARIOUS COMPANIES AND TO REPORT SUCH FINDINGS TO THE OHIO DEPARTMENT OF DEVELOPMENT” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous.

“A RESOLUTION TO APPROVE AN AMENDMENT TO THE ENTERPRISE ZONE AGREEMENT BETWEEN THE CITY OF MARYSVILLE, UNION COUNTY, AND BDKM, LTD. AND PREMIER PRINTING OF CENTRAL OHIO, LTD. AND AUTHORIZING THE MAYOR TO ENTER INTO SAID AGREEMENT” was presented for second reading, public hearing. Mr. Reams asked Mr. Behrens what his plans were this year to live up to the terms of the agreement? Mr. Behrens said he is dealing with the issue. He plans to attempt to increase business, and intends to meet the commitment this year.

“RESOLUTION ACCEPTING THE AMOUNTS AND RATES AS DETERMINED BY THE BUDGET COMMISSION AND AUTHORIZING THE NECESSARY TAX LEVIES AND CERTIFYING THEM TO THE COUNTY AUDITOR AND DECLARING AN EMERGENCY” was presented for first reading, title only. Mr. Morehart explained this is the annual resolution received from the Auditor’s office to certify the millage amounts to be received next year, from this year’s tax millage. Mr. Reams moved to pass the emergency and the question put, stood:

Mr. Reams YES Mr. Gore YES Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES

Emergency passed.

ORDINANCES

The ordinance “TO AMEND SECTION 1139.05, TEMPORARY BUILDINGS, OF THE CITY OF MARYSVILLE PLANNING AND ZONING CODE” was presented for third reading, public hearing. Mr. Fogt moved to pass the legislation and the question put, stood:

Mr. Gore YES Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES Mr. Reams YES

Ordinance 49-07 passed.

The ordinance “TO AMEND SECTION 1123.01, DEFINITIONS, OF THE CITY OF MARYSVILLE PLANNING AND ZONING CODE” was presented for third reading, public hearing. Mr. Fogt moved to pass the legislation and the question put, stood:

Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES Mr. Reams YES Mr. Gore YES

Ordinance 50-07 passed.

“AN ORDINANCE INCREASING COURT SPECIAL PROJECTS APPROPRIATIONS TO PERMIT A PAYMENT TO THE GENERAL FUND OF THE CITY OF MARYSVILLE AS REIMBURSEMENT FOR UNANTICIPATED COURT PERSONNEL SERVICE EXPENSES, AND AUTHORIZING INCREASED GENERAL FUND APPROPRIATIONS TO ENABLE PAYMENT OF THESE EXPENSES, AND MODIFYING THE ANNUAL OPERATING BUDGET AS A RESULT OF THIS ACTION” was

presented for third reading, title only. Mr. Fogt moved to pass the legislation and the question put, stood:

Mr. Pleasant YES Mr. Burke YES Mr. Reams YES Mr. Gore YES Mr. Fogt YES

Ordinance 51-07 passed.

The ordinance “AUTHORIZING THE ISSUANCE OF NOTES IN THE AMOUNT OF NOT TO EXCEED $2,100,000 IN ANTICIPATION OF THE ISSUANCE OF BONDS FOR THE PURPOSE OF PAYING COSTS ASSOCIATED WITH THE DESIGNING AND ENGINEERING OF THE SOUTHWEST TRUCK SEWER AND JOB READY SITE LOCATION, WITH RELATED SITE IMPROVEMENTS AND APPURTENANCES THERETO; APPROVING THE USE OF AN OFFICIAL STATEMENT RELATING TO THE NOTES, IF NECESSARY AND DECLARING AN EMERGENCY” was presented for third reading, title only. Mr. Reams moved to pass the legislation and the question put, stood:

Mr. Burke YES Mr. Reams YES Mr. Gore YES Mr. Fogt YES Mr. Pleasant YES

Ordinance 52-07 passed.

The ordinance “AUTHORIZING THE ISSUANCE OF TAX INCREMENT FINANCING REVENUE NOTES IN ANTICIPATION OF THE ISSUANCE OF BONDS IN THE AMOUNT OF NOT TO EXCEED $5,225,000 FOR THE PURPOSE OF FINANCING CERTAIN PUBLIC IMPROVEMENTS; AUTHORIZING THE EXECUTION OF A NOTE PURCHASE AGREEMENT IN CONNECTION WITH THE SALE OF SAID NOTES; APPROVING THE USE OF AN OFFICIAL STATEMENT RELATING TO THE NOTES” was presented for third reading, title only. Mr. Gore moved to pass the legislation and the question put, stood:

Mr. Reams YES Mr. Gore YES Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES

Ordinance 53-07 passed.

The ordinance “TO APPROPRIATE $152,526 FROM UNAPPROPRIATED GENERAL FUNDS FOR A TRAFFIC STUDY FOR THE CITY OF MARYSVILLE, AND MODIFY THE ANNUAL OPERATING BUDGET AS A RESULT OF THIS ADDITIONAL APPROPRIATION FOR THE PAYMENT OF THIS EXPENDITURE” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous.

The ordinance “TO APPROPRIATE $5,000.00 FROM THE UNAPPROPRIATED DUI INDIGENT DRIVERS’ TREATMENT FUND FOR TREATMENT SERVICES FOR INDIGENT DRIVERS AND MODIFY THE ANNUAL OPERATING BUDGET AS A RESULT OF THIS ADDITIONAL APPROPRIATION FOR THE PAYMENT OF THESE EXPENDITURES” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous.

The ordinance “AUTHORIZING APPROPRIATION TRANSFERS IN STREETS, SANITATION AND STORMWATER FUNDS AND MODIFYING THE ANNUAL BUDGET IN ACCORDANCE WITH THESE APPROPRIATIONS” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous.

The ordinance “TO APPROPRIATE $220,000 FROM UNAPPROPRIATED WATER FUNDS FOR DEBT SERVICE EXPENDITURES, AND MODIFY THE ANNUAL OPERATING BUDGET AS A RESULT OF THIS ADDITIONAL APPROPRIATION FOR THE PAYMENT OF THESE EXPENSES” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous.

The ordinance “TO ACCEPT DEDICATION OF PARK LAND IN SCOTT FARMS FROM M/I HOMES OF CENTRAL OHIO” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous. Mr. Reams expressed concern about this property; it’s green space; not park land. He doesn’t understand why the City would want to take responsibility for that maintenance. Mr. Reams was on Planning Commission back in the time when this first came before the Commission in 1996. After reviewing minutes from that timeframe, there is no mention of this being agreed upon. There are some comments for the original plan, which was for the park land that was to be dedicated on the property that is adjacent to this, then the entire development would then have about 25-30% parkland. M/I never pursued that project and the park land was never provided. This green space was used as part of the requirement for green space, but it’s not usable for recreation or a useful City function. This green space is along the road and is basically a landscape buffer between the road and what at the time was the Radlinsky property.

Mr. Roush looked at the two plats. Reserve C is in Scott Farms, Phase I and the other two are in Scott Farms 2A. Addition 1 was platted in 1998 through the Planning Commission and the next one was a year or two after that. Both of those plats specifically list these reserves as being given to the City for park land and maintenance by the City. That language is inked on the plats. The developer would have put that language on the plats, and they were accepted by the Planning Commission.

Mr. Reams said the minutes of the Planning Commission talk about the development providing a homeowner’s association for maintenance of land, but it didn’t specifically talk about those properties. Mr. Roush said the recorded plat doesn’t mention the homeowner’s association, but it does say the land will be given to the City as park land. He asked the Law Director to look at this issue.

Mr. Reams said he thought it had been our practice not to accept this type of land. Mr. Roush said since he’s been here, November 2000, that has been the practice not to accept this type of land. Mr. Reams asked if the City has to accept it. Mr. Aslaner will check into it.

Mr. Fogt asked if the retention pond is part of this property. Mr. Roush said no, it’s the parcel along the north side of Scott Farms Blvd. just before the bridge. One is right at the end of Westbrook Drive and the third one is just west of the bridge, on the north side of Scott Farms Blvd. None have retention ponds on them.

The ordinance “TO ACCEPT DEDICATION OF PARK LAND IN THE WOODS AT MILL VALLEY” was presented for second reading, public hearing. Mr. Fogt moved to waive reading in full; affirmative voice vote was unanimous. Mr. Fogt said this is another case where it’s too late to do anything about it, where the homebuilder has given the City land that they couldn’t have built on anyway, and now it’s the City’s responsibility to develop it. The next section of Mill Valley Park is going to be developed by Dominion Homes.

The ordinance “TO APPROPRIATE $575,000 FROM UNAPPROPRIATED WATER FUNDS, AUTHORIZING A TRANSFER OF $575,000 FROM THE WATER FUND TO THE WATER INCREMENTAL CAPACITY FEE FUND, TO APPROPRIATE $575,000 FROM UNAPPROPRIATED WATER INCREMENTAL CAPACITY FEE FUNDS TO PAY FOR THE RAW WATERLINE MAPLE-MAIN CONTRACT FOR THE WATER RESERVOIR, AND MODIFYING THE ANNUAL OPERATING BUDGET AS A RESULT OF THESE ADDITIONAL APPROPRIATIONS” was presented for first reading, title only.

The ordinance “TO AMEND SECTION 1146.16, SIGNS IN ER, SR, R-1, R-2, R-4 AND R-5, OF THE CITY OF MARYSVILLE PLANNING AND ZONING CODE” was presented for first reading, title only. Mr. Alan Seymour explained that the Government Use District was created less than a year ago. Signage was not clearly defined at that time. This includes current sign standards in this amendment. A Public Hearing was scheduled for November 15, 2007 at 7:00 p.m.

The ordinance “TO AMEND SECTION 1137.23(m), GOVERNMENT USE DISTRICT, SIGNS PERMITTED, OF THE CITY OF MARYSVILLE PLANNING AND ZONING CODE” was presented for first reading, title only. A Public Hearing was scheduled for November 15, 2007 at 7:00 p.m.

The ordinance “TO ACCEPT THE DEDICATION OF EASEMENTS AND PUBLIC UTILITIES FOR SHEPHERD’S LANDING” was presented for first reading, title only. Mr. Seymour said that this was reviewed by Planning Commission and was very favorable. He encouraged passage and asked Council to consider waiving a reading. Mr. Fogt asked to amend this legislation by adding the emergency clause. Mr. Fogt moved to accept the amendment and the question put, stood:

Mr. Gore YES Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES Mr. Reams YES

Motion passed.

Mr. Fogt moved to pass the emergency and the question put, stood:

Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES Mr. Reams YES Mr. Gore YES

Emergency passed.

The ordinance “TO APPROPRIATE $4,863.23 FROM UNAPPROPRIATED GENERAL FUNDS FOR CITY SAFETY EXPENSES FOR THE ANNUAL COUNTY HEALTH FAIR, AND MODIFY THE ANNUAL OPERATING BUDGET AS A RESULT OF THIS ADDITIONAL APPROPRIATION FOR THE PAYMENT OF THESE EXPENDITURES” was presented for first reading, title only. The City received a check from the Bureau of Workman’s Comp for $4,863.23. Mr. Morehart said he’d like to accept the check and appropriate those dollars into the budget so he can spend those dollars on the upcoming Health Fair.

The ordinance “TO APPROPRIATE $967,000 FROM UNAPPROPRIATED WATER IMPROVEMENT & REPLACEMENT FUNDS FOR THE FUNDING OF THE CONSTRUCTION ENGINEERING SERVICES CONTRACT FOR THE RESERVOIR PROJECT AND MODIFY THE ANNUAL OPERATING BUDGET AS A RESULT OF THIS ADDITIONAL APPROPRIATION FOR THE PAYMENT OF THIS CAPITAL EXPENSE” was presented for first reading, title only. Mr. Morehart said he didn’t realize that there was funding available in the Water Improvement Fund and didn’t realize until he checked that the expense line item was inadequate. The purpose of this is to appropriate those dollars in the Technical Services line item in this fund. This will fund the Engineering Service Contract that tied to the waterline. Mr. Gore asked what the balance is once the $967,000 is transferred. Mr. Morehart said once this is paid, will probably have $3M left.

COMMENTS OF THE MAYOR AND COUNCIL PERSONS AND GENERAL DISCUSSION:

1. Parks & Recreation Representative – No report.

Ms. House reported on the Community Challenge. The City, the County Engineer’s office and the Chamber combined forces to enter a team in the Community Challenge, which was sponsored by the YMCA. There were two divisions, one for a business with more than 300 employees and the other with less than 300 employees, into which the City team fell. She reported that The City/County/Chamber team was the champions of their division.

Mr. Burke commended the Police Department on their rapid response to a burglary at his pharmacy.

Mr. Morehart presented the 2008 Budget to Council. Council set the date of October 25, 2007 at 6:45 p.m. for the Public Hearing of the 2008 Budget. A Work Session was scheduled for October 16, 2007 at 7:00 p.m.

Wastewater Master Study Update by Malcolm Pirnie

Ms. Davies gave some background. Shortly after the City took over the water and wastewater systems from the County, down the Industrial Parkway corridor, several developers called about potential development out in the County area. City then realized they didn’t know much about the system out there, but were aware of some issues that the County brought to their attention prior to purchasing the system. City felt it was necessary to hire a consultant to take an in-depth look at the system to see what needs, if any, were needed in the infrastructure system, so that City could have the developers pay for the development costs and not have the City end up getting stuck paying the bills. Malcolm Pirnie was hired to do this study. She introduced Tom Bulcher and Chris Reichle.

Copy of powerpoint presentation incorporated as part of the minutes. Displayed in the room were two boards, one showed the overall facility planning area that they looked at in the original Master Study Update. The other showed proposed alternatives.

There are five pump stations. MIP is located on Montgomery Drive, east of Industrial Parkway. This pump station appears to be adequate as long as the service area doesn’t change.

Pump Station #1 is located on Weldon Road (west of Industrial Parkway). The flow from MIP goes into Pump Station #1. He noted in 2015, the projected peak hour flow is about 546, which considerably exceeds the capacity of this pump station. This pump station is going to be near its capacity in the very near future.

Pump Station #2 is located east side of Industrial Parkway. This pump station receives all the flow from pump station MIP and #1. During wet weather, this pump station has already met or exceeded its capacity.

Pump Station #3 is located in the New California area. This pump is reaching and exceeding its capacity during wet weather.

Pump Station #4 is located on the west side of Industrial Parkway north of Taylor Road. This takes in additional flow from area A1 and also takes all the flow from the other four pump stations. This pump station is being stressed already during wet weather.

Looked at four (4) Alternatives. The difference between I & III is the depth of the sewer where the Watkins California Road interceptor meets it. They looked at a shallower depth, which was basically a depth that they could install the sewer, but it would restrict to some degree the surrounding area that could be taken in by gravity. That’s basically the difference between I & III and II and IV. The main reason for that was so that you could maximize the area that you could potentially pick up in the future by gravity to cut down on the number of lift stations. There is only a 5’ elevation between the two.

The total cost for all the recommendations is $81,700,000.

Mr. Fogt asked if the proposed improvements at Harriott Road and Watkins California are going to be paid for by the developers. Ms. Davies responded that it is the City’s intention to have the developers pay for that. The citizens of Marysville should not have to pay for that. Mr. Fogt said the tap-in fees from the new developments will help offset that cost. Ms. Davies said not entirely. City must pay back the County debt first. All of the tap fees received now have to be applied to the County debt, which is $2M.

Ms. Davies pointed out the “missing section” right along Industrial Parkway. The EPA has been pushing the City to get it done, and for any additional significant development to happen pretty much anywhere in the Industrial Parkway corridor, that segment is going to have to be completed. City is hoping a developer will help front that cost.

Mr. Burke asked for confirmation of facts presented by Mr. Bulcher; that Pump Station #1 is near capacity and Pump Station #2 is just about at capacity. Mr. Bulcher said yes, during wet weather. Mr. Burke asked if Malcolm Pirnie was involved in the original purchase of these sewer lines. Ms. Davies said no. She pointed out that the County was very limited in the type of development that could happen. They had a contract with the City; they could only give the City so many hundreds of gallons of wastewater. Now that that contract is gone, the doors have opened to development, and development is flooding in. It’s a totally different circumstance than when the County owned the system. Mr. Burke disagreed with Ms. Davies. When the City purchased the lines originally, tap fees were going to satisfy that debt. He does not recall any discussion about pump stations being upsized, so any improvements beyond that, yes, development driven 100%. When we think about the rates we’re charging our citizens and the additional service fees that are put on people outside the municipality and the zones, he tried to remember when these issues came up. If we’re at capacity now and this has only been two years – with the growth issue aside, he wonders where this came up in the discussion and if it was missed. At least when Council made this original decision, he doesn’t recall these conversations. Who looked at these lines before they presented it to Council, and he questioned why Council was not told this or why this wasn’t discovered when the City originally purchased the lines. Ms. Davies said the Mayor would have to weigh in on that. She was not in on all the discussions. However, they did look at the pump stations, but mostly looked at them internally with staff. Staff went out and evaluated the pump stations and wrote up any perceived deficiencies that were found. Mr. Burke said it was his understanding that these lines were adequate to satisfy the needs to reach the 183 taps that were needed to satisfy that debt. Ms. Davies said it probably is, even though we’re at capacity. EPA is not going to come in and shut you off for the one or two along Industrial Parkway. If a development comes along, then there is an issue. Mr. Burke said those projects didn’t exist when the City purchased the lines originally. He said it looks as though the system the City purchased and we thought we’d have enough capacity to satisfy the debt as is, didn’t exist in the first place. Ms. Davies was unsure about that. Ms. Davies said the County made the City aware of the missing segment, and they had worked with the developers to tell them they had to pay for it. Mr. Burke agreed that was a good thing, but when it comes to the burden of that cost and how to originally satisfy the original purchase when the whole process began, “I’m wondering at this time if we were given information to make a quality decision on what we were actually purchasing.”

Mr. Reams said we’re going to have to find a way to make development pay for all the required upgrades. Mr. Burke agreed.

Mr. Fogt moved to go into Executive Session at 8:25 p.m. to discuss Collective Bargaining for Fire and Pending Litigation, seconded by Mr. Gore, and the question put, stood:

Mr. Fogt YES Mr. Pleasant YES Mr. Burke YES Mr. Reams YES Mr. Gore YES

Motion passed.

Executive Session adjourned at 9:03 p.m.

Regular session reconvened at 9:03 p.m.

Mr. Gore moved to accept the Fact Finder’s Report and the question put, stood:

Mr. Pleasant YES Mr. Burke YES Mr. Reams YES Mr. Gore YES Mr. Fogt YES

ADJOURNMENT: There being no further business to come before Council, the meeting adjourned at 9:05 p.m.