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HomeMy WebLinkAbout04-14-05Minutes of the Special Town Council meeting held Thursday, April 14, 2005 at 5:30 p.m. in the Council Chambers of the Municipal Building. There were present: Charles L. Wade, Mayor Council: Jeffrey S. Worrell, Dan Talbert, Jr., Bettye H. Steger, Lane R. Penn, Joel B. Burchett, Jr. Absent: John T. Bolen Staff: John Hawley, Town Manager Patricia Cruise, Clerk of Council John White, Economic Development Director David Quesenberry, Asst. to the Town Manager Others: Jeff Mitchell Sharon Burchett Jennifer White Bonnie Williams Mary Goad, Press Mayor Wade called the meeting to order at 5:30 p.m. Councilman Penn led the Pledge of Allegiance and Councilman Worrell gave the Invocation. Mayor Wade advised that one item needed to be added to the agenda with Council’s permission. He noted that it would take a unanimous vote to add the item. Councilman Penn moved to add a Closed Session under Virginia Code 2.2-3711 (A-3), Discussion or consideration of the acquisition of real property for a public purpose, or of the disposition of publicly held real property where discussion in an open meeting would adversely affect the bargaining position or negotiating strategy of the public body. The motion was seconded by Councilman Talbert and carried on the following recorded vote: Jeffrey S. Worrell - Aye Lane R. Penn - Aye Dan Talbert, Jr. - Aye John T. Bolen - Absent Bettye H. Steger - Aye Joel B. Burchett, Jr. - Aye Councilwoman Steger moved to enter into Closed Session under Virginia Code 2.2-3711 (A-3), seconded by Councilman Penn and carried on the following recorded vote: Jeffrey S. Worrell - Aye Lane R. Penn - Aye Dan Talbert, Jr. - Aye John T. Bolen - Absent Bettye H. Steger - Aye Joel B. Burchett, Jr. - Aye Mayor Wade - Aye Council returned from Closed Session and adopted the Certification Resolution for the Closed Session on motion by Councilwoman Steger, seconded by Councilman Penn and carried on the following recorded vote: Jeffrey S. Worrell - Aye Lane R. Penn - Aye Dan Talbert, Jr. - Aye John T. Bolen - Absent Bettye H. Steger - Aye Joel B. Burchett, Jr. - Aye Mayor Wade - Aye Mayor Wade moved on to Resolution 2005-20. Mr. Hawley advised that the Town Attorney, Mr. Eley, was present via the telephone and would provide an update. He added that Jeff Mitchell was present representing Magnox Acquisitions, Inc. Mr. Eley advised that representatives for the County, the Town, and the IDA have worked together to agree on a plan for Magnox. Resolution 2005-20, Amendment to Resolution 2005-15, Amending an Urban Development Action Grant (UDAG) Loan/Guaranty to Magnox. This Resolution adds Attachment A, Unconditional Three (3) Year Guaranty to Suntrust bank for $250,000 maximum for Magnox loan from Suntrust bank. Mr. Hawley advised that the biggest change was that the money will be issued to Suntrust bank for a CD, which will pay 3.11% interest and Magnox Acquisitions, Inc. will pay the Town a $2500 deposit user fee annually for each year that Suntrust holds the money. Magnox Acquisitions, Inc. will reimburse the Town for the legal costs associated with this plan. Additionally, the difference in the 6% interest rate that the Town receives for loaning money and the 3.11% that the Town will receive for the CD rate from Suntrust will be reimbursed by Magnox Acquisitions, Inc. Mayor Wade commented that on the Resolution, the wording said 1% non-refundable annual fee. He inquired “1% of what”? Following discussion the Resolution was amended to read “1% non refundable annual (or any portion thereof) fee as expressed in the loan documents”. Councilman Penn moved to adopt Resolution 2005-20, with the addition of the words “as expressed in the loan documents”, seconded by Councilwoman Steger and carried on the following recorded vote: Jeffrey S. Worrell - Aye Lane R. Penn - Aye Dan Talbert, Jr. - Aye John T. Bolen - Absent Bettye H. Steger - Aye Joel B. Burchett, Jr. - Aye There being no further business, the meeting adjourned at 5:50 p.m. on motion by Councilwoman Steger, seconded by Councilman Talbert and carried on voice vote.