HomeMy WebLinkAbout05-05-10Minutes of the Town Council Meeting held -May 5, 2010 at 7:00 p.m. in the Council Chambers of the Municipal Building
at 42 First Street, NW.
There were present: Mayor Jeffrey S. Worrell
Council: Larry G. Clevinger, II, Joel B. Burchett, Jr., Robert A. Bopp, Morgan P. Welker
Absent: David L. Clark, H. M. Kidd (arrived at 7:05 p.m.)
Staff: John J. Hawley, Town Manager
Patricia Cruise, Clerk of Council
Bill Pedigo, Town Engineer
Sherry Boyd, Finance Director
Gary Roche, Police Chief
John White, Economic Development Director
'R. D. Warburton; Town Attorney
Others: Joseph K. Goodman Lynn Clark Melinda Williams, Press
Mayor Worrell called -the meeting to order at 7:00p.m.
Councilman Clevinger led the Pledge of Allegiance and Mayor Worrell gave the Invocation.
Following roll call, Mayor Worrell called for Public Comment.
Lynn Clark addressed Council regarding a dead tree on Town property at 155. Fourth Street, NW. She asked if the Town
would take it down.
Mayor Worrell advised.that staff would look at the tree and contact Mrs. Clark.
The next item on the agenda was the Consent Agenda.
Councilman Burchett moved to adopt the Consent Agenda consisting of the Council minutes of the April 6, 2010 meeting.
Councilman. Bopp seconded the motion and so carried on voice vote.
Mayor Worrell moved on Main Street improvements.
Mr. Hawley advised that he had discussions with VDOT staff in Salem regarding the revised scope for the project and had
scheduled a meeting for May 13, where options would be discussed.
Discussion ensued regarding some options to discuss -during the meeting.
Next, Mr. Hawley provided a summary on the properties damaged in the recent inclement weather. He noted that there
was no money in the budget for any work on these buildings..
Following the summary, staff was directed to take no action at this time on the properties at I' Street NE and at Conny Oil
on Commerce Street.
Regarding the building at Randolph Avenue.bridge, staff was directed to estimate the cost to tear the building down by
Town workers and also to get an outside bid and to have the asbestos test completed.
Regarding the property at 55 West Main Street, staff was directed to get outside bids on tearing the building down.
Mayor Worrell moved on to New -Business.
May 5, 2010/Page 1 of 5
The first item for discussion was sewer credit for swimming pools:
Mr. Hawley reviewed the Town policy on pool credits and the potential savings to the Town if the credits were
iscontinued.
ollowing discussion-, Councilman Welker moved to direct staff to cease the sewer adjustments for swimming pools
except for those owned by non-profit organizations, effective .immediately. Councilman Burchett seconded the motioo;
and it carried on the following recorded vote:
David L. Clark
- Absent
Joel B. Burchett, Jr.
- Aye
Larry G. Clevinger, II
- Aye
Robert A. Bopp
- Aye
H. M. Kidd
- No
Morgan P. Welker
- Aye
The next item for discussion was the review of personal property and machinery and tools tax.
Mayor Worrell advised that the current personal property and machinery and tools'tax rate is $.74 per hundred. This -rite
has not changed. since 1990. Council had asked staff to determine how.much revenue would be realized with different
increments of an increase. This information -had been included in the packet. '
-Councilmen Burchett and Bopp did not wishto increase the taxes.
Councilman Welker commented that he. thought a modest increase might be necessary, but only after other options we*e
considered such as cutting the water and sewer fund contributions to the general fund tobalance water and sewer, taking
the transfer of un -appropriated funds down to zero and -looking at a smaller percentage raise for the staff and determining
how truly short we are and then make a decision -on. taxes. He did not want to take money out of the un -appropriated fund
balance to -balance the operating -budget.
'Mr. Hawley advised that the money would not be going toward salaries or operating costs. He reviewed what items could
be funded by un -appropriated funds.
Mayor Worrell. commented. that another budget session was -scheduled for next Tuesday. and Council could review the;
information and discuss it in more detail at that time.
Councilman Burchett suggested that staff provide numbers for I% and 2% .increases for the next budget session.
Mr. Hawley reminded Council that they previously adopted an eight step plan for 6% salary increases each year.
Councilman Burchett. responded that plans are sometimes subject to change. He added "No one predicted the current;
economy and the basic- collapse of two or three major industries in the country". Council needed to review everything.
Mr. Hawley reminded Council that the employees suffered through the mid 2000's with the significant loss of local
industries. "Our employees went three years and they got nothing for three years". He continued "If you average the:!last
6 or 7 -years, the employees are probably still below what other localities granted". He added that a lotof headway had
been made in the last two or three years, and a lot of that was because Council adopted the eight step plan.
Discussion ensued as to when the final decision on budget needed to be made in order to meet legal advertising rules.;
Mr. Hawley explained the timing of the legal ads required for -budgets.
Mayor Worrell commented that it was apparent that Council was not ready to make. a decision regarding the Personal.
Property/Machinery and Tools tax until after the next Budget Work Session, therefore, he moved on to the next_ item On
the agenda.
May 5, 2010/Page 2 of 5
Mayor Worrell advised that the next item for discussion was requirement of income verification for Business License
holders. He added that this topic evolved from a recent budget discussion on whether to discontinue the current
exemption of the first $50,000 for the calculation for the fee for BPOL.
Mr. Hawley advised that this was a policy that was started several years ago by Council to try to encourage business in
Town, particularly small business. After review, staff estimated that approximately $32,000 in revenue per year has been
lost to the Town since this policy began.
Discussion ensued regarding whether to eliminate -the exemption of the first $50,000 for the calculation for thefee for
BPOL.
Councilman Welker moved to direct staff to prepare an Ordinance requiring applicants to provide -verification of receipts
on a federal tax form to the Finance Department. The motion was seconded by Councilman Kidd.
Councilman Bopp commented that if you were trying to get new business in Town, you needed to make it simpler, rather
than more complicated in order. He felt that requiring verification of receipts was going to make it more complicated.
Councilman Kidd and Mayor Worrell agreed.
Councilman Welker responded that he did not feel that requiring a.business owner to provide one page of their federal tax
return to the Finance Department is a major hindrance.
Councilman Burchett added that he did not think it was unreasonable. The Town of Christiansburg requires proof of your
income.
Mayor Worrell commented that he felt it was a case of trying to fix something that we don't even know is broken.
The motion then carried on the following vote:
David L.. Clark
- Absent
Joel B. Burchett, Jr.
- Aye
Larry G. Clevinger, II
- Aye
Robert A. Bopp
- No
H. M. Kidd
- Aye
Morgan P. Welker
- Aye
Discussion then ensued regarding reducing the amount allowed for the BPOL exemption and or adding a minimum
charge.
Councilman Welker moved to direct staff to prepare an Ordinance eliminating the exemption of BPOL license for the I st
$50,000 for the calculation for the fee for BPOL and to set a minimum charge of $30. The motion was seconded by
Councilman Burchett.
Mayor Worrell commented that this was originally put in place as an economic development tool and he felt Council was
taking a step backwards.
Councilman Welker responded that the Enterprise zone has a two year period with no BPOL, he felt the incentive was still
there.
Councilman Bopp commented that the incentive was for every area of Town, not just in the Enterprise zone
Councilman Welker responded that it was approximately a $30 year incentive. He felt it didn't hurt the person paying it,
but on the revenue side for the Town it makes a huge difference. He added that it was either add the minimum charge of
$30 or a 5% increase in personal property tax.
The motion then passed on the following recorded vote:
May 5, 2010/Page 3 of 5
David L. Clark
- Absent
Joel B. Burchett, Jr.
- Aye
Larry G. Clevinger, II
- Aye
Robert A. Bopp
- No
H. M. Kidd
- Aye
Morgan P. Welker
- Aye
Mayor Worrell moved on to a request to help fund a resident to the Congressional Youth Leadership Conference.
Mr. Hawley advised that the request is from a young man who had previously delivered the newspaper to the Town
offices. He commented, that Council had stated that it wanted to encourage young people tobe leaders -in the community.
He felt this request met that criteria.
There being no comment from Council, Mayor Worrell suggested that Mr. Burton contact each member of Council
individually.
The next item on the agenda was Planning Commission charge.
-Mr. Hawley advised that included in the packet had been a memo from Mr. Quesenberry outlining options for the
advertising costs related to Planning Commission hearings.
Mr. Hawley explained the currently the applicant is told they will have to pay the fees applicable to the case but the T�wn
pays the fees up front. Often all of the fees are not reimbursed to the Town. Mr. Quesenberry had provided options
related to this problem in his memo.
Mayor Worrell opined that no action needed -to be taken at this time.
Councilman Kidd agreed with the Mayor.
Councilman Welker liked the second option in the memo.
Following discussion, Mr. Hawley advised that staff would try to estimate the usual costs and return to Council.
Mayor Worrell moved on a request to sell some cemetery lots -back to the Town.
Mr. Hawley advised that staff had received a request for the Town to buy back four cemetery spaces in the Oakwood East
subdivision.
Following discussion,. Councilman Welker moved to direct. staff to repurchase 4 spaces in Section K, Lot 17 of Oakwdod
East cemetery. The motion was seconded by Councilman Clevinger and carried on the following recorded vote:
David L. Clark
- Absent
Joel B. Burchett, Jr.
- Aye
Larry G. Clevinger, II
- Aye
Robert A. Bopp
- Aye
H. M. Kidd '
- Aye
Morgan P. Welker
- Aye
At 8:10 p.m., Councilman Welker moved to enter into Closed Session under Virginia Code 2.2-3711, A-7) Consult with
legal counsel for the provision of legal advice. The motion was seconded by Councilman Burchett and carried on the
following -recorded vote:
David L. Clark - Absent
Larry G. Clevinger, II - Aye
H. M. Kidd - Aye
Joel B. Burchett, Jr.
- Aye
Robert A. Bopp
- Aye
Morgan P. Welker
- Aye -
At 8:35 p.m., Council returned from Closed Session and adopted the Certification Resolution on motion by Counciimdn
Clevinger, seconded by Councilman Kidd -and carried on the following recorded vote:
May 5, 2010/Page 4 of 5
David L. Clark - Absent Joel B. Burchett, Jr. - Aye
Larry G. Clevinger, II - Aye Robert A. Bopp -Aye
H. M. Kidd - Aye Morgan P. Welker - Aye
There being no further business, the meeting adjourned on motion by Councilman Clevinger, seconded by Councilman
Welker and go carried.
Approved: ze, _46/6r
X -__y S. Worrel ,Mayor
May 5, 2010/Page 5 of 5