City Council Minutes

Councilmember Thomas Swigart called the meeting to order at 7:30 p.m. in the Northville City Hall Council Chambers, 215 West Main Street, Northville, Michigan.

Present: Mayor Christopher Johnson (arrived 7:40 p.m.), Councilmembers Kevin Hartshorne, Jerome Mittman, and Thomas Swigart

Absent: Mayor ProTem Carolann Ayers (excused)

Also Present: City Manager Gary Word, Assistant City Manager/Finance Director Nicolette Bateson, DPW Director James Gallogly, Deputy City Clerk Carol Kasprowicz, Fire Chief James Allen, DDA Director Lori Ward, Parks and Recreation Director Traci Sincock, Parks Superintendent Jeff Moon, and one citizen.

Citizen Comments: None

Motion Mittman, seconded by Hartshorne to approve the agenda as presented. Motion carried unanimously.

The Parks and Recreation Department had budgeted $25,000 in the FY05 budget toward the purchase of an F-250 truck. The truck and accessories desired is available through the Macomb County Cooperative Purchase Program for $19,980 through April 27, 2004. The only requirement at this time is a letter of intent to purchase. The purchase would not be finalized until after July 1, 2004, and can be cancelled prior to delivery of the vehicle.

Motion Mittman, seconded by Hartshorne to approve the purchase of a 2004 F-250 truck for the Parks and Recreation Department from Signature Ford in the amount of $19,980 using the Macomb County Cooperative Purchase Program and authorize staff to issue a letter of intent to purchase the truck with the understanding that delivery of the vehicle will not occur until after July 1, 2004. Motion carried unanimously.

Downtown Development Authority: Projected revenue for FY05 is approximately $1,025,000. Significant expenditures planned for FY05 included the creation of a business recruitment package, downtown parking signage, and a contribution toward a sculpture to be placed in the Main – Hutton park. The capital improvements scheduled for FY05 included planning and design studies to facilitate the solicitation of grants for downtown streetscape design. The projected FY05 reserve balance for future parking expansion is $1,005,000.

Council Comments: Concern was expressed over business turnover in the downtown and the perception that the City is in a "reactive" role. A suggestion was made to divert the funds from planning and design studies to revisit the Gibbs/Green report and past parking studies. Staff stated that tentative plans have been made to have Bob Gibbs at a special meeting with the DDA to review the study in light of present conditions. Frustration was expressed at the difficulties encountered in gathering community input regarding downtown projects, and reversing the opinion that plans are formulated without public input.

Downtown Development Authority Debt Service Fund: This budget item reflects payment of debt service for the construction of two parking decks and one surface parking lot.

Refuse & Recycling Fund: There is no increase in residential or commercial rates for FY05. However, a 4% rate adjustment is projected for the residential refuse program in FY06.

Water& Sewer Fund: Effective July 1, 2004, water rates charged to the City of Northville from the City of Detroit will increase 2.1% and the sewer rates charged from Wayne County will increase 3.05%. However, due to the City’s decreasing debt load, programmed system improvements, and controlled water loss, the impact of the suppliers’ rate increases are minimized. Accordingly, it was proposed that rates would not be adjusted for FY05. However, it was proposed that the dual meter sewer rate be increased by 6% or from $1.55 per unit to $1.64 per unit. The service charge was proposed to increase from $5.12 per bi-monthly billing to $5.32, an increase of 4%.

No major capital improvements are planned for FY05 except for spot sewer repairs.

It was noted that funds are being put aside for the City’s share of the construction of a court-ordered wastewater capacity control system. Staff has estimated the City’s share to be at least $500,000. As of FY05, $225,000 will have been set aside for this project.

Equipment Fund: This fund provides for the maintenance, repair, and replacement of City-owned equipment. The proposed FY05 budget includes the purchase of two pickup trucks, a tractor backhoe, and a snow plow truck. Additionally, the roof on the existing DPW office and the fence along Gerald Avenue is to be replaced.

- As requested, Staff composed a list of possible opportunities or reversals that might affect the budget as presented. The items listed were increased legal fees, further decreases in State Shared revenue, further reductions in personal property tax revenue, labor negotiations, mandates from Wayne County regarding sewer capacity issues, outcome of dispatch operation decisions, timing of new development construction, potential parking expansion program, and racino legislation.

- For the past several years, in addition to the budget, a list has been presented with items that have been cut from departmental requests to facilitate the balancing of the budget. The "cut" list was reviewed and it was noted that the DPW plowing and hauling of snow from the downtown parking lots was to be funded through the DDA budget. There were no additional revisions to the "cut" list.

- Further discussion took place regarding possible future sources of revenue for the Parks and Recreation budget.

- An update was requested of the Street, Drainage and Sidewalk Plan with regard to scheduling and projected costs.

Staff was complimented on the detail, clarity, completeness, and timeliness of the budget.

There being no further business to come before Council, the meeting was adjourned.

Respectfully submitted,

Carol T. Kasprowicz, Deputy City Clerk