HomeMy WebLinkAbout04-21-92April 21, 1992 9087
Minutes of the regular meeting of the Pulaski Town Council held
April 21, 1992, at 7:00 p.m. in the Council Chambers in the Municipal
Building.
There were present: Mayor Gary C. Hancock, presiding
Council Members: Charles D. Crispin, J. R. Schrader, Jr.,
Mary Lou Copenhaver, Andrew L. Graham,
W. H. Schrader, Jr., Alma H. Holston,
Robert N. Glenn
Also Present: Frank Terwilliger, Town Attorney
Don E. Holycross, Town Manager
Robert J. Lyons, Asst. to the Town Manager
Ruth A. Harrell, Clerk
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Visitors: Dee Lindsey and Paul Dellinger, news media
Mr. and Mrs. Claud Kirkland
Mr. and Mrs. J. B. Warner
Mr. and Mrs. Thomas J. Burnette
Roy D'Ardenne
E. G. Black, Jr.
Fred Pickett
Douglas Kegley
Clyde Branson
Jack Gibson
Marvin Eanes
Doris Larson
Leesa Honaber
Donald Cregger
Herman Largen
Malcolm Burchett
Elva Dalton
Cindy Morris
Robbie Morris
Dana Bishop
Joe Williams
James E. Aust
Dick Davis
J. T. Back
Virlen Chrisley
Polly Mitchell
2 Area Citizens
The meeting was called to order by Mayor Hancock.
Councilman Crispin led the Pledge of Allegiance with the Invocation
being given by Councilman J. R. Schrader.
9088 April 21, 1992
Following the roll call, Councilwoman Holston so moved that the
minutes of the regular meeting of April 7, 1992, be approved as
submitted after correction made by Councilman Graham, seconded by
Councilman Graham and carried.
Mayor Hancock welcomed citizens to meeting.
Mayor Hancock read Resolution No. 92-5 honoring Thomas J. Burnette,
retiring Police Officer. Councilwoman Copenhaver made a motion that
resolution be adopted, seconded by Councilman W. H. Schrader and carried
on the following recorded vote:
RESOLUTION
Honoring
Tommy Charles D. Crispin - Aye Andrew L. Graham - Aye
Burnette J. R. Schrader, Jr. - Aye W. H. Schrader, Jr. - Aye
Mary Lou Copenhaver - Aye Alma H. Holston - Aye
James M. Neblett - Absent Robert N. Glenn - Aye
Mayor Hancock stated that Mr. Burnette had completed more than 22
years of service to the Town and presented the Resolution and a key to
the city to him with the Town of Pulaski's appreciation.
PUBLIC HEARING Mayor Hancock advised that next on agenda was a public hearing to
TAXI determine the status of seventeen certificates to operate taxicabs
CABS within the community and for the further purpose of determining how many
and to whom the certificates shall be issued.
Mayor Hancock stated that his law firm has had involvement in this
matter in the past, not currently, and he excused himself from
participating and asked that Vice Mayor Graham preside over the hearing.
Mr. Holycross stated that on December 17, 1991, the Pulaski Town
Council authorized the issuance of 17 temporary certificates to Blue and
White Cabs, Inc. and Deluxe Cabs, Inc. In issuing the temporary
certificates, the Council reserved the right to review the matter
following the conclusion of a criminal case pending against Mr. Chrisley
in Pulaski County Circuit Court.
On February 18, following the conclusion of the case, the Town
Council agreed to allow Blue and White and Deluxe Cabs to continue to
operate under the temporary certificates until April 21. On March 3,
the Town Council scheduled a public hearing for its April 21st meeting
for the purpose of determining how many of the temporary certificates
and to whom the certificates shall be issued for the remainder of
Calendar Year 1992. The Council also instructed the Town Manager to
prepare an appropriate announcement that the certificates may be
available to other applicants.
Notices and application forms were sent to owners of taxicab
companies in Radford, Blacksburg, Christiansburg, Wytheville, and
Pulaski. The deadline for the receipt of applications was April 10.
Three persons have submitted applications to the Town:
a. Virlen Chrisley, owner of Blue and White Cabs and Deluxe Cabs,
has applied for continuation of the 17 certificates. On his
April 21, 1992 9089
application, Mr. Chrisley indicated that he currently has 11 cabs
in service.
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b. James Edward Aust, Sr., owner of Jim Dandy Taxi Service, has
applied for 5 additional certificates. Mr. Aust currently has
5 cabs in service.
c. Herman Gene Largen, former owner of Blue and White Cabs, has
applied for 17 certificates. Mr. Largen is not currently in
the taxi business, but was the sole owner of Blue and White
Cabs until March, 1986.
Mr. Holycross stated that a public hearing would be conducted
tonight for the purpose of determining how many of the temporary
certificates and to whom the certificates shall be issued for the
remainder of Calendar Year 1992.
Mr. Holycross stated that in February when Council discussed this
matter with Mr. Chrisley and his legal representative, it was indicated
that an audit was being conducted of Blue and White as well as Deluxe
Cabs and that they would share the audit results with Council. A copy
of the report was available and Mr. Davis, Mr. Chrisley's attorney, had
authorized the summarizing of this information for Council.
Mr. Holycross read excerpts from the report as follows and stated
that the majority of records for Blue and White Cab Co. and Greyhound
were found to be either severely damaged, not accurately maintained or
they could not be located. To recalculate the income for the past five
years was not possible because of insufficient original source
documentation; it was impossible to confirm true income and expenses as
employee payroll was always paid in cash and bank deposits were made
after the payroll had been paid. The main payroll records, previous W-
4's, W-2's, etc. were also unable to be located. To further complicate
matters, individual payroll checks for employees were not available as
all employees were paid in cash. When an attempt was made to match the
amount recorded for net pay on the prepared payroll register with the
returned checks, they were unable to do so. As noted earlier, it was
learned that only one check was written out to Blue and White Cab Co.
for the entire amount of the combined net pay of all of the employees.
By reason of the loss of records, the unavailability of business data
and the accounting system being basically a cash system, it is
difficult, if not impossible, to determine if the proper amounts have
been recorded for either business over the past five years. It is
believed that if Blue and White Cab Co. and Greyhound were to establish
an efficient accounting system and an effective control over cash, these
operations could indeed became profitable businesses. The auditing firm
strongly recommended that Virlen Chrisley contract the accounting
functions of the businesses which includes payroll out to an independent
firm. This will insure that effective internal controls are placed in
use, the proper financial statements are prepared on a regular basis as
well as the corresponding reports, i.e. payroll reports and that tax
planning be implemented. In conclusion, it was felt that these
operations can be viable and profitable businesses. They need to
install proper accounting controls in systems.
9090
April 21, 1992
five additional
the future. He
tonight.
certificates as he does need more equipment and cabs in
asked for Council's consideration of these certificates
Mr. Dick Davis, attorney for Mr. Chrisley, asked Council's
consideration for his client in that they had done all they said they
would do. He further stated that things were being handled now in a
proper manner. Medicare trips are made 20-30 times on a daily basis.
He felt that Blue and White is doing everything they can do to run a
good, clean operation, and working 23 people. He. stated that Mr.
Chrisley had applied for 17 permits and asked that these be awarded.
Mr. Davis reported that Mr. Largen has resigned as agent of Greyhound.
As of right now, Mr. Largen has nothing to do with the Cab company. Mr.
Marvin Eanes is Manager at present.
Mr. Davis had requested Council to keep information provided in the
audit confidential.
Mr. Herman Largen requested that the 17 permits be awarded to him.
He reported that Mr. Hufford did not tell him that anything was wrong
nor was Dick Miller dissatisfied with it. He stated he was completely
honest. Further, he was prepared to reestablish the cabs in 30 days.
Councilman Graham asked about insurance coverage for the cabs, with
Messrs. Aust and Davis responding that they did have insurance coverage,
with Mr. Largen reporting that he would purchase insurance should cars
be acquired.
Mr. Terwilliger stated that the state code's enabling legislation
specifically states that Council can consider character in considering
the application. The Town code allows you to do this as well.
Mrs. Polly Mitchell, 600 Prospect Ave., commended the gentlemen for
coming before Council. She requested that Mr. Aust be awarded the 5
additional certificates.
Mr. Marvin Eanes, Manager of Blue and White Cab Co., stated that
they have dedicated drivers and that they were a going business. Income
averages 51,000/day from the cabs.
At 7:47 p.m., the public hearing was declared closed. Mr.
Holycross stated that in December, Council determined that 17
certificates would be issued for calendar year 1992 and 17 were issued
on a temporary basis. Before Council tonight is to determine to whom
those 17 certificates shall be issued for the remainder of the year.
JIMDANDY Councilwoman Holston made a motion that 5 of the 17 permits be
CABS awarded to Mr. Aust, Jim Dandy Cabs, with the remaining 12 permits
AWARDED returned to the Ordinance Committee for their recommendation at the next
FIVE Council meeting. The 12 permits remain as temporary until the next
CERTI. meeting and the Blue and White and Deluxe Cab Co. remain in operation
until that time. Motion was seconded by Councilman Glenn.
Mr. Terwilliger reported that he did not feel information provided
in report can be covered under the Freedom of Information Act and did
not believe it would be protected if it were given to the Council.
April 21, 1992
9091
Mr. Davis felt that the Council needed the information and thereby
withdrew all requests for confidentiality regarding Mr. Chrisley. He
could not speak for Mr. Largen.
Councilman Crispin stated that he felt it best that the people be
kept employed during this interim period. Councilman Glenn stated that
Blue and White and Deluxe Cabs have served a public need over the year
and he felt the Council's chief objective is still what is in the best
interest of the public.
Motion then carried on the following recorded vote:
Charles D. Crispin - Aye Andrew L. Graham - Aye
J. R. Schrader, Jr. - Aye W. H. Schrader, Jr. - Aye
Mary Lou Copenhaver - Aye Alma H. Holston - Aye
James M. Neblett - Absent Robert N. Glenn - Aye
MAIN STREET Mrs. Polly Mitchell addressed Council, and asked if a report had
been distributed on how the money that was given to Main Street over
the past three years, over $300,000, had been spent. She stated that
she had been informed that a report had never been made to Council
and she further asked why a report had never been received from Main
Street, how these dollars had been dispersed, and since there was
nothing to show for it, she felt it very necessary for the Council
to justify giving Main Street anymore money in the 1992-93 budget.
i~
Councilwoman Holston reported that Mr. Phelps met with Council
every six months or every year and gave a report. Mr. Holycross advised
that Main Street, up until this year, had conducted an annual meeting
and an annual report was distributed at that meeting. In the past two
years, all of their financial records were run through the Town's books,
so that information was provided to Council by line item the same as any
other operating department of the Town. Reports may be obtained from
the Town Manager.
Councilwoman Holston reported that Ridge Avenue, site of water
tank, needs gravel. Matter to be handled administratively.
As there were no further comments from the public, Mayor Hancock
asked for Council Committee Reports.
PUBLIC OPERATIONS COMMITTEE
Chairman J. R. Schrader had no report.
PUBLIC & PERSONNEL RELATIONS
Chairwoman Copenhaver had no report.
UTILITIES COMMITTEE
Chairman Graham had no report.
FINANCE COMMITTEE
9092 April 21, 1992
Chairman W. H. Schrader had no report.
PLANNING COMMISSION REPORT
PLANNING Councilman W. H. Schrader reported that the Planning Commission
COMMISSIO~ipril 13, 1992, and conducted a public hearing to consider Planning
ZONING_Commission case No. 92-17CU, a request by Michael D. Cox, Elizabeth
Cox and Carl A. Cox for a conditional use to expand the Pine Hill
met
M.
Trailer Park, 211 Bentley Hollow Road, into the adjacent 4.1 acres to
add 29 mobile home sites. The subject location is zoned R-2
(Residential) and the expansion of a mobile home park requires approval
of a conditional use.
At the public hearing, a petition was submitted and several
neighbors expressed opinions against the condition use.
The Planning Commission entered into executive session to discuss a
legal matter.
The Planning Commission deferred consideration of a recommendation
to its May 11, 1992 meeting.
In other business, the Planning Commission requested several minor
text amendments to its rules and scheduled adoption of the rules for its
May 11, 1992 meeting.
COMP. PLAN The Assistant to the Town Manager reported that K. W. Poore, the
Town's Comprehensive Plan consultant, submitted the Comprehensive Plan,
with Town Council's revisions. Staff will review the revised plan for
accuracy and completeness and following review, schedule printing.
ORDINANCE COMMITTEE
Chairwoman Holston had no report, however, she requested that an
Ordinance Committee meeting be scheduled. She further stated that the
Town Attorney had wanted to have a meeting on the various general
assembly items. Mr. Terwilliger stated he would like to schedule this
meeting in early May as he is going to a Local Attorney's meeting and
this will be one of the topics discussed.
MAYOR'S REPORT
MAYOR Mayor Hancock reported that Gary Elander, Administrator, Town of
Dublin, had reported their planned activities in recognizing Gary Clark,
and further he asked if we would like to participate in the community
recognition ceremony. Due to time limitation, a resolution from Council
was not possible, however, Mayor had prepared a Proclamation honoring
Gary Clark which is included as a part of these Council minutes.
Mayor Hancock reported that the public forum as sponsored by the
Chamber of Commerce, would be held Thursday night at the courthouse at
7:00 p.m.
TOWN ATTORNEY'S REPORT
April 21, 1992
Mr. Terwilliger had no report.
TOWN MANAGER'S REPORT
9093
Mr. Holycross reported on the stability analysis of Gatewood Dam.
GATEWO~~ stated the analysis is required by the State of Virginia. The
DAM engineers analyzed the safety of the dam for usual loading, unusual
loading, and extreme loading. This relates to the amount of water
flowing over the dam, ice build-up or silt build-up at the dam. They
also analyzed it for what they call the probable maximum flood and they
have determined that the probable maximum flood would result in a water
level of approximately 11 feet over the spillway of the dam. The
analysis indicated that all safety factors exceeded the recommended
minimums and that Gatewood Dam is satisfactory for all loading
conditions. This information will be forwarded to the State.
Mr. Holycross stated that in completing their analysis, they had to
assume some information related to the rock foundation and they have
recommended that we have an engineering geologist verify their estimates
and we plan to have this done when we bring a geologist in to take core
samples for the stability analysis of Hogan's Dam.
Councilman Graham questioned why the engineers have the geologist
to do this for them. Mr. Holycross stated that he was not sure they had
someone on staff that could do this.
Mr. Holycross reported that we have the results from the chemical
analysis of our finished water although official correspondence has not
been received from the Department of Health. This analysis is done on
an annual basis. The analysis tested for pesticide, radiological,
metal, and inorganic contaminants in the finished water and the analysis
indicated that the water sample met all of the standards established by
the Department of Health.
Councilman Glenn asked if they ever run a test on the raw water at
the reservoir. Mr. Holycross stated he would check this, but he did
know the turbidity was monitored. The filtration system is designed to
remove the majority, if not all, of the contaminants.
STREETS Mr. Holycross stated that comments had been noted on the condition
of Bob White Boulevard and we do have plans to resurface Bob White
during the spring paving program.
Mr. Holycross distributed to Council an update of the bond fund.
BOND His last report to Council was in November. Three projects are
FUND currently underway; I/I Improvements, the completion of the first phase
of the Route 11 water line, and also the street lights. We are
anticipating about $70,000 in total expenditures to finish out the three
projects. We have a current cash balance of $111,938. We will be
talking with Public Qperations and Finance Committee soon about how we
will use this money. We did have some discussion with the committees
and a decision sometime ago was to use it on some downtown improvements.
This will be discussed further with the appropriate committees.
Councilman Glenn recommended that the Finance Committee review the
current bond payments and whether or not it might be appropriate to look
9094 April 21, 1992
at refinancing.
LANDFILL Councilman W. H. Schrader requested an update on the landfill in
(WYTHE) Wythe County and if there was anything new going on. Mr. Holycross
reported that the last report that he heard was that they were
proceeding with the engineering and there was still some discussion
about who was, and who was not, going to be a party to the landfill.
Mr. Holycross will check on this matter and report back to Council.
Mayor Hancock reported there may well be a private group in Wythe
County that is interested in opening a landfill in the area that we were
previously talking about and in the area that we had some concerns
about. Mayor Hancock requested that Mr. Holycross determine the status
of this also. And, if Council would need to take any action.
Councilman Crispin asked Mr. Holycross to check to see if a private
landfill would go through, would it be subject to the same scrutiny as
public landfill. Mr. Holycross reported that in terms of acceptance of
out of state refuse, there may be differences, but in terms of to which
standards they would be constructed, it would be the same. Mr. Crispin
also asked if the Council would have an input as to decision making as
to materials going into the landfill. Mayor Hancock stated he felt
there would have to be a public hearing process as with a public
landfill. Mr. Holycross was asked to check into this also.
Mr. Terwilliger stated that the same permitting process must be
followed as far as public hearings. Problems might be experienced with
restrictions.
WATER Mr. Holycross distributed a summary of engineering report on the
(RT. 11)Route 11 water line improvement project. He stated that Dewberry and
Davis did an engineering report for the Town and the report recommended
that the project be done in phases and this is what the Town has
implemented. Mayor Hancock stated the phase 1 was estimated to be one
million dollars and it only cost $625,000. Phase II is estimated at
$245,500. Mayor Hancock stated that during the budget process, Mr.
Holycross could give his recommendations on what we could do to try to
raise or create this money to complete the project. We have a
significant investment in this.
STUDENT Mr. Holycross reminded Council that the next meeting is Wednesday,
GOV. May 6 and this will also be Student Government Day. A schedule will be
DAY provided to Council.
Councilman Graham asked if we now proceed with the stability
HOGAN'S analysis of Hogan's Dam with Mr. Holycross reporting that what we want
to do at this point is go ahead and submit this report to the state to
DAM make sure it is acceptable. We should be able to get a response from
them fairly quickly, and then proceed with Hogans. We would probably
not proceed with Hogans until next budget year.
Councilman Crispin made a motion that Council go into Executive
Session on an Economic Development Matter under 2.1-344 A5, seconded by
Councilman W. H. Schrader and carried on the following recorded vote:
Charles D. Crispin - Aye Andrew L. Graham - Aye
April 21, 1992 9095
3. R. Schrader, Jr. - Aye W. H. Schrader, Jr. - Aye
Mary Lau Copenhaver - Aye Alma H. Holston - Aye
James M. Neblett - Rbsent Robert N. Glenn - Aye
At 8:20 p.m. Council went into Executive Session.
At 8:47 p.m. Council returned to regular session and waived reading of
the certification resolution on motion made by Councilman Graham,
seconded by Councilwoman Holston and carried.
Councilman J. R. Schrader made a motion that certification resolution
be adopted, seconded by Councilman Crispin and carried on the following
recorded vote:
Charles D. Crispin - Aye Andrew L. Graham - Aye
3. R. Schrader, Jr. - Aye W. H. S chrader, Jr. - Aye
Mary Lou Copenhaver - Aye Alma H. Holston - Aye
James M. Neblett - Absent Robert N. Glenn - Aye
Gary C. Hancock - Aye
At 8:50 p.m. Councilman Graham made a motion that Council adjourn,
seconded by Councilwoman Holston and carried.
APPROVED:
Mayor
ATTEST:
Clerk of Council
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