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Home My WebLink About11-18-1986 Council Minutes 102 A regular meeting of the Canton City Council was held on November 18th, 1986 in Council Chambers. PLEDGE OF ALLEGIANCE OPENED THE MEETING FOLLOWED BY THE INVOCATION GIVEN BY MAYOR DONALD E. EDWARDS. Mayor Edwards asked for roll call at 6:30 p.m. Present: Aldermen Kovachevich, Zilly, Steck, Sarff, Workman, Bohler, May, Chapman. Absent: None. BILLS FOR OCTOBER. Motion by Alderman Kovachevich, second by Alderman Steck, all bills be paid including a bill from Whitney & Associates from the Street Dept. in the amount of $399 and a bill from Fulton County Abstract from the Community Development office in the amount of $31. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. Employee of the month for October is Tracie Skaggs. She was given a plaque and recognized by council for her honor. COMMUNICATIONS FROM CLIFF SAGASER - A proposal will be brought before council for the painting of the two water tanks. An estimate of cost and proposal to accept bids for the painting of and complete stripeing of both tanks for the inside and outside of each tank which will be the procedure. The inside of the tanks have never been painted. Cliff feels the low cost is $125,000 and the high cost is $150,000. By taken bids on both, there's a possibility of being able to get both done at this price if were fortunate. The bids will be let at four increments so we can award any one. Change Order #1 for Project 1 of the sewer project for additional work on main street has been negotiated by Cliff and the price is now $66,286.40. The city auction was held November 15th, and the city collected $689. McMillen & Wife auctioneers were to be paid for their services, but instead offered their auctioneering services for free, Cliff expressed his appreciation to them. We are still withholding $5,110.92 on the sidewalk project as a 5o retainer which is normally done this way until the contractor completes his work, and he has. Council needs to decide to pay this back or hold for another 30 days. COMMUNICATIONS FROM DAVID LEEZER - COMMUNITY DEVELOPMENT DIRECTOR AND BUDGET ADMINISTRATOR. The Loan Committee had a presentation made to them from representatives of Phillips & Associates/Active English. The city loaned Phillips & Associates $75,000 for two years for the development of Active English and a industrial computer system called °'System George." They have completed Phase 1 and payments have been coming in on time. They are requesting an additional $29,600 for Phase 11 which is for "Marketing Inventory and Working Capitol." Bill Phillips thanked the council for having confidence and belief in their company. We ask for your consideration on this loan. Bil then made a presentation of a video tape of "System George." The Loan Committee recommended a loan of $29,600 to Phillips & Associates pending approval from the federal government. 103 CONTINUED November 18, 1986 The city can loan upto $100,00 without the federal governments approval, when you add the first loan of $75,000 and this loan of $29,600 its over $100,000. David Leezer said originally the loan of $75,000 was for 30 years, at Phillips & Associates request it was lowered to 5 years. Motion by Alderman May, second by Alderman Chapman, to approve the loan of $29,600 to Phillips & Associates pending approval from the federal government. Roll call. AYES - Aldermen Kovachevich, Zilly, Steck, Sarff, Workman, Bohler, May, Chapman. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. Jim Burke of IPRI submitted a written report to the council and gave a synopsis of the report. Jim said that the $70,000 has been handled as frugally as possible. After paying 0 a total of $60,049.83 in bills, they feel barring any major ~ expenses, they can complete the modifications and bring ~ the plant to a state of production. = Jim Burke reported they have been working on bringing in m more money, and have a company that is serious in their interest in IPRI. This company has $450,000 for a portion Q of IPRI, but they do not want controlling interest. If it works out the new investor will have 300 ownership of IPRI. We've had alot of demands and request put on us by creditors, which we understand. We don't want to go with Chapter 11. We have developed a general plan with all creditors. We want to get a clear picture of our financial situation immediately and in the future based on production and income coming in. By December they hope to make one payment to the city, and present a program to all of the creditors to retire all obligations. David Leezer reported that the city has a payment of $30,000 to make on the HHS million dollar loan by December 31. All creditors have to make their payment by December 8th. The total remaining of the one million loaned to the city is $300,000. Total amount due from IPRI on HHS loans is $15,216.52 as of December lst. The DCCA payment is $21,807.52, with total payment due of $41,165.78. Mayor Edwards said he is recommending that IPRI try to pay the city the HHS loan payment of $15,216.52 so we don't have to make it. Also recommend we extend their payment to the council meeting of December 2. Motion by Alderman Sarff, second by Alderman Workman, to defer payment to the next council meeting and present a written report. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. John Davis spoke about the dilapidated buildings in the city. He would like to have preservation in development of these old buildings for the good of the city. ~04 CONTINUED November 18, 1986 COMMITTEE REPORTS: Legal & Ordinance. Council Action Motion by Alderman Bohler, second by Alderman Workman, the city attorney be instructed to draft and ordinance allowing veternarians to sell dog tags at the cost of $2.50. Voice vote, motion carried. Motion by Alderman Bohler, second by Alderman Workman, to approve the concept of the Fulton Square Association making a change of trustee for the Fulton Square Project. Voice vote, motion carried. Motion by Alderman Bohler, second by Alderman Sarff, to limit the liability to the residents for a 6 month period only on a malfunctioning read-o-matic meter because of internal defects. Discussion. Lengthy discussion. Voice vote, motion carried. Finance. Council Action Motion by Alderman Kovachevich, second by Alderman Bo~er, the city participate in the downtown Christmas patrol and the cost be divided with the merchants. Roll call. AYES - Aldermen Kovachevich, Zilly, Steck, Sarff, Workman, Bohler, May, Chapman. NAYS - None. Motion carried 8 AYES 0 NAYS 0 ABSENT. Motion by Alderman Kovachevich, second by Alderman Zilly, to approve the yearly request of the Spoon River Marketing office of the city's participation in a cash contribution of $3,655. Discussion. The EDC is a three year program and this makes the city's second year contribution. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. Community Development. Motion by Alderman Zilly, second by Alderman Kovachevich, to recommend the city's participation in a four county corridor, which will include a market research of the four county area. Discussion. David Leezer said his recommendation was no more than $1,000 by the city's Community Development funds. The remaining $4,000 will be picked up by the Spoon River Marketing office and EDC. Mayor Edwards recommends we tie ours on a contingency basis, they come thru we come thru. David Leezer said the $5,000 has been committed. Mayor Edwards said the city is not in better financial shape than the county. Roll call. AYES - Aldermen Kovachevich, Zilly, Workman, Bohler. NAYS - Aldermen Steck, Sarff, May, Chapman, Mayor Edwards. Motion defeated. Mayor Edwards said he could change his mind if other's make their committment. 4 AYES 5 NAYS 0 ABSENT. 105 CONTINUED November 18, 1986 Motion by Alderman Zilly, second by Alderman Bohler, to pay the final pay estimate on the sidewalk project of $14,877.75. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. Motion by Alderman Zilly, second by Alderman Sarff, a transfer of the personal guarantee from the HHS Loan fund of Ramona Furgerson's loan to Sal Bork. Voice vote, motion carried. Negotiations, Grievance & Personnel. Council Action Motion by Alderman Sarff, second by Alderman May, to extend the part time position of Albert Rosich's to the first part of 1987 or until Albert Rosich returns to work from a ~ disability. Voice vote, motion carried. ~ ~ Motion by Alderman Bohler, second by Alderman Chapman, the = payment of abstract searches to determine owners of 6 buildings in the downtown area from Tax Increment Funds. m Roll call. AYES - Aldermen Kovachevich, Zilly, Steck, Sarff, Q Workman, Bohler, May, Chapman. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. COMMUNICATIONS FROM MAYOR EDWARDS. Motion by Alderman Sarff, second by Alderman Zilly, the appointment of Muriel Freeman to the Loan Commitee be confirmed. Voice vote, motion carried. Twice in executive session I made a recommendation to hire a laborer, stated the mayor. The first appointment was turned down, the second time the appointment was made the motion died for a lack of a second. Mayor Edwards asked if you really want to hire someone, because I plan to make an appointment tonight? Motion by Alderman Steck, since the city is facing hard times we don't hire anybody. Motion died for a lack of a second. Mayor Edwards recommended Joe Carruthers to be hired as a laborer for the Wastewater Maintenance position. Not be employed until after all necessary physical requirements have been adhered to. Jim Malmgren City Attorney stated that under the Personnel Policy the mayor makes the appointments & the appointment is subject to the confirmation of the full council. Motion by Alderman Sarff, second by Alderman May, the appointment of Joe Carruthers be confirmed. Discussion. Alderman Bohler stated that he has nothing against the appointment, he just felt Mr. Dutton needs someone who has more skills, other than laborer. Alderman Steck cited his reason for not wanting to vote for Mr. Caruthers, if we lay off personnel he'll be laid off. Roll call. AYES - Aldermen Chapman, May, Sarff, Zilly, Mayor Edwards. NAYS - Aldermen Bohler, Workman, Steck, Kovachevich. Motion carried. 5 AYES 4 NAYS 0 ABSENT. ~ ~o~ CONTINUED November 18, 1986 Ordinances and resolutions were distributed by the mayor and city attorney for a Wheel Sticker Tax, Utility Tax, Volunteer Fire Department or layoffs of personnel. The mayor said the packet is an option for eliminating our deficit. The whole packet will be sent to the Legal & Ordinance Committee and the Finance Committee. OLD BUSINESS: ORDINANCE - AMENDING TITLE 9, CHAPTER 5 AND AMENDING TITLE 9, CHAPTER 10 RELATING TO HANDICAP PARKING. Second reading, read by title. Motion by Alderman Zilly, second by Alderman Steck, the ordinance be placed on its passage. Roll call. AYES - Aldermen Kovachevich, Zilly, Steck, Sarff, Workman, Bohler, May, Chapman. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. Ordinance being #1121. ORDINANCE - GOVERNING THE USE OF WEAPONS AND FIREARMS IN THE CITY. Second reading, read by title. Motion by Alderman Chapman, second by Alderman Steck, the ordinance be amended under Section 5(g)to be allowed to carry chemical weapon under Sub section A-1 by adults of age 21 who are employed by the U.S. Government and Public Utility as meter readers against animals. Discussion. Jim Malmgren City Attorney said he'll amend the ordinance and have a sub section (j) . under this heading. Alderman Zilly said she would prefer to see the amendment typed before voting on it. Motion by Alderman Zilly, second by Alderman Chapman, the ordinance lay over to the next council meeting to allow for the amendments to be included in the ordinance. Voice vote, motion carried. ORDINANCE - ABATING 60$ OF TIiE SPECIAL SERVICE AREA TAX PREVIOUSLY LEVIED IN THE CITY OF CANTON'S SPECIAL SERVICE AREA N0. SIX FOR FISCAL YEAR BEGINNING MAY l, 1986 AND ENDING APRIL 30, 1987 BY ORDINANCE NO. 1116. Second reading, read by title. Motion by Alderman Sarff, second by Alderman Bohler, the ordinance be placed on its passage. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. Ordinance being #1122. NEW BUSINESS: ORDINANCE - ABATING A PORTION OF A BO~ND LEVY FOR THE 1986 -1987 FISCAL YEAR ($1,650,000 PRINCIPAL AMOUNT SEWER BONDS, SERIES 1985.) First reading, read by title. Motion by Alderman Sarff, second by Alderman Workman, the ordinance be sent back to the Finance Committee on how to pay for the painting of the towers. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. ORDINANCE - AMENDING CHAPTER 4, TITLE 6, RELATING TO ANIMALS. First reading, read by title. 10~ CONTINUED November 18, 1986 RESOLUTION - AUTHORIZING AND ESTABLISHING AN AD HOC "AISTORICAL PRESERVATION AND DEVELOPMENT COMMISSION." FirSt reading, read in its entirety. Motion by Alderman Zilly, second by Alderman Chapman, the resolution be adopted. Roll call. AYES - Aldermen Kovachevich, Zilly, Steck, Sarff, Workman, Bohler, May, Chapman. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. Resolution being #1182. The partial appointments to the ad-hoc Historical Perservation and Development Committee are at the recommendation of the mayor and John Davis. They'l1 have no voting powers. Motion by Alderman Sarff, second by Alderman May, the appointments of John Davis Chairman - 2 years, Ross Gardiner - 1 year, Jim Elson - 2 year, Cliff Sagaser - 1 year, Marjorie Bordner - 2 year, David Nidiffer - 1 year, Robin Harrison Q - 2 year, Bill Phillips - 1 year, Liza Folley - 2 year, ~ Bonnie Slitz -1 year. ~ As advisory Tom Homer, Jim Malmgren, David Leezer, Robert = Rue and Mayor Edwards as ex-officio be confirmed. Voice vote, motion carried. ~ RESOLUTION - SETTING A PUBLIC HEARING ON THE QUESTION OF a A PROPOSED REDEVELOPMENT PLAN AND PROJECT AND PROPOSED DESIGNATION OF THE REDEVELOPMENT PROJECT AREA NUMBER THREE. First reading, read by title. Jim Malmgren City Attorney stated that final action could only be taken on December 30 or 31st. Mayor Edwards said instead of the sales tax dollars of 6~ which normally goes to Springfield, and the city gets l~, all of the sales tax being created on this project will go to the city. We commit those monies to help reduce the interest on the loan Mr. Palin will borrow to develop this area. This is something the state legislators put in for one year and one year only. This area is for the North Main Street Shopping Center of the Tempo store, Laundry mat, Sea Fare, Standard Gas Station. Motion by Alderman Sarff, second by Alderman Workman, the resolution be adopted. Roll call. AYES - Aldermen Chapman, May, Bohler, Workman, Sarff, Steck, Zilly, Kovachevich. NAYS - None. Motion carried. 8 AYES 0 NAYS 0 ABSENT. ~ RESOLUTION - STREET LIGHT 254 WEST LOCUST. First reading, read by title. Motion by Alderman Sarff, second by Alderman Bohler, the resolution be adopted. Discussion. Alderman Workman asked at whose suggestion? The city clerk said Pete Pohlman brought in the resolution at the request of Alderman May. Motion and second withdrawn. Motion by Alderman Sarff, second by Alderman Kovachevich, the resolution be sent to the Street Committee. Voice vote, motion carried. ADJOURNMENT: Motion by Alderman Kovachevich, second by Alderman Sarff, to adjourn. Voice vote, motion carried. Council adjourned at 9:47 p.m. CIT CLERK APPROVED. 4Z~ ~ ~ MAYOR