Loading...
Minutes 02-08 and 02-09-2019 Budget Planning Retreat7 MINUTES CITY OF DUNN DUNN, NORTH CAROLINA The City Council of the City of Dunn held its Budget Planning Retreat on Friday, February 8, 2019 from 8:00 a.m. to 5:00 p.m. and Saturday, February 9, 2019 from 8:00 a.m. to 12:00 noon at the Marriott Grande Dunes Resort in Myrtle Beach, SC. Present was Mayor Oscar N. Harris, Council Members Buddy Maness, Dr. Gwen McNeill, Billy Tart, Chuck Turnage and Dr. David L. Bradham. Absent: Mayor Pro Tem Frank McLean Also present was City Manager Steven Neuschafer, Assistant to the City Manager Mathew Boone, Public Utilities Director Heather Adams, Interim Public Works Director Vince Washington, Chief Building Inspector Steven King, Chief of Police Chuck West, Parks and Recreation Director Brian McNeill, Human Resources Director Anne Thompson, Librarian Mike Williams, Community Planner Tasha McDowell, Attorney Tilghman Pope, and City Clerk Tammy Williams. Also present were Lisa Farmer with The Daily Record, Mike Goliber and Randy McNeill with Davis Martin Powell Inc. and Facilitator Matt Zapp. CALL TO ORDER AND WELCOME Mayor Harris opened the meeting at 8:00 a.m. on Friday, February 8, 2019 and gave the invocation. Afterwards, the Pledge of Allegiance was recited. Opening Remarks were given by Mayor Harris and City Manager Neuschafer. Mr. Neuschafer introduced the Facilitator for the Budget Planning Retreat and turned the Planning Session over to Facilitator Matt Zapp. REVIEW OF ACCOMPLISHMENTS/PROJECTS IN PROGRESS Mid — Year Financial Report Fiscal Year 2018-2019 City Manager Neuscbafer presented the Mid -Year Financial Report for period ending December 31, 2018: $2,432,977 in cash in the General Fund and $2,586,557 in the Water- Sewer Fund Property Tax collections through December were $2,471,579 or 64.55% of budget. Sales Tax Revenue is $697,931 or 32.16% of budget — benchmark is 33.33% of budget. Utilities Sales Tax is $350,982 or 49.33% of budget — benchmark is 50% of budget. Building Permit Fees were $40,553 or 54.07% of budget. Water and Sewer Revenues were $2,497,38lor 52.25% of budget. Expenditures were 48.92% of budget in the general fund and 44.83% of budget in the water and sewer fund. The impact of the 24" water intake pipe repair is not reflected in these numbers. _ Mr. Neuschafer highlighted that the General Fund Balance has continued to grow but we have seen a lot more fluctuation in the Water and Sewer Fund, which has been impacted by recent emergency repairs. Outstanding items include: Paving needs (Powell Bill funding does not meet street maintenance needs); USDA Car and Truck loans, FEMA Reimbursements from Hurricane damage and Finance Director Vacancy. Priorities include increasing revenues for the Sewer Fund to make it self-sufficient and the City's Paving Needs Department Goals and Priorities Library - Librarian Williams presented update on the City of Dunn Library. The Harnett County Public Library consolidation concept was to fully fund the Library system in five years but the County Commissioners felt that the municipalities should continue to contribute some funding and continue to own the facilities. According to the Per Capita Contribution Formula, the City would still contribute over $100,000 per year with a savings of over $166,000. The County's plan is for this to take effect as of July 1, 2019. Mayor Harris added that the Harnett County Mayors Association has put this consolidation on hold due to it not meeting the expectations of full funding as in other areas of the County. He further stated that he had concerns that need to be worked out before the consolidation could move forward. Council Member Tumage asked that the Council be kept informed on this issue. After discussion, it was decided to look at April as a possible time to have further information shared with Council. Police Department — Chief West presented update on the Dunn Police Department. Highlights and Priorities include attaining CALEA International Accreditation, Diversity recruitment program efforts, making needed improvements to the Department's Firing Range; Community Enhancement Team to include incorporating Code Enforcement/Nuisance Abatement under the supervision of the Police Department, adding a Dunn Citizens Police Academy, and providing a Safe Internet Purchase Exchange location. The meeting was recessed for a break at 10:08 a.m. and reconvened at 10:21 a.m. Planning and Inspections — Chief Building Inspector King gave an update on the Planning and Inspections Department. Currently there are two fulltime vacant positions — Planner and Code Enforcement Officer. Goals for 2019 are to increase enforcement of the Minimum Housing Code and the Non -Residential Maintenance Code as well as stay on schedule for Fire Prevention Inspections of businesses. Council Member Tart felt there is some confusion with businesses understanding the difference between the Dunn Emergency Services inspections and the Code Enforcement Fire Prevention inspections. Parks and Recreation — Parks and Recreation Director McNeill gave an update on the City's Parks and Recreation Department. Looking at adding Pickle ball for adults and seniors in the spring of 2019. Reported on successes with All- Star Teams including the IOUnder Angels winning the World Series. Tart Park Renovation is set to kick off this spring with completion by the fall of 2020 — Funds from PARTF Grant - $350,000; NC State Grant - $500,000 with $825,000 budgeted from the City. Future Goals are to update Codrington Park and add a Dog Park adjacent to the Dunn -Erwin Trail. Questions arose concerning the location of the dog park — should it be more central for citizens or closer to the Interstate. City Manager Neuschafer added they are looking at expanding the area at the Trail to a multi -use area with Dog Park and green space for the local community. Discussion followed on making sure that cost are being covered for out of town players and tournaments that use the Park facilities. Public Works — Interim Public Works Director Washington presented update on the City of Dunn Public Works Department. Mr. Washington expressed a need for additional manpower in summer hours to increase response time and he shared that safety is a priority for him. Highlights included Sidewalk improvements and Johnson Street Bridge Repair. Paving/Re-Surfacing and Pothole Repairs are a priority for the department. Different methods of patching such as fill like at City Parking Lot and loose gravel repair like DOT uses were discussed to extend temporary repairs. He also shared that Public Works is working on Ditch Maintenance including removal of rotten or diseased trees and replacing with new trees to help with damage control. Mayor Harris added that the City needs to encourage downtown merchants to sweep, clean and maintain the area in front of their properties. Public Utilities — Public Utilities Director Adams provided an update on the City of Dunn Water and Sewer System including the Asset Inventory and Assessment Distribution System Mapping Project, Advanced Metering Infrastructure and the Wastewater Treatment Plant Aeration Project. She discussed the need for maintenance and repair of the aging infrastructure; need for new water tank along with needed upgrades for water and wastewater treatment plants. Goals include to install security cameras and keycard entry for safety of employees and equipment, efforts to reduce inflow and infiltration and planning for annual preventative maintenance to include Valve Exercising Program. Randy McNeill, Engineer with DMP presented proposed projects for Water and Sewer to include: - Abandon Section of 14" Water Line from Bruce Drive to Hwy 421 with proposed budget of $468,000. - Storm Piping System Improvements to include Divine Street, Tyler Park, Bay Street, Broad Street Junction Box Renovations, Westhaven and spring 2019 Paving Program Storm Items — all 6 areas budget at $1,437,000. - Sewer System Rehabilitations — Rehab areas have been divided into four phases — Phase 1 - $2,985,000 with total for all phases at $13,139.000. Looking at Grant -Loan funding to reduce annual debt service — start phases over time to stagger debt and implement sewer rate increases to generate revenue to finance increased debt service. Discussed the need for communication strategy on these projects — investment over spending, savings over time and increased customer reliability. The Council needs to be informed on these projects so that they can communicate effectively with their constituents. Downtown Development — Community Planner McDowell provided an update on the Downtown Main Street Program — Dunn joined the program in 2017 as a Downtown Associate Community. Plans are to obtain Main Street status within the next three years. She updated on activities/events and future objectives. The meeting was recessed for lunch at 12:05 p.m. and reconvened at 12:55 p.m. PLANNING AND GOAL SETTING Brain Storming Session Thinking back over thepastyear, what is the one thing thatyou are mostproud of? Somethingyou did or someone else accomplished to benefit the community. Accomplishments within recent oast - Parks and Recreation Advisory Board engagement - Weedy Lots initiative/collection process - City Website Enhancements — More informative - Emergency Response action of the Dunn Police Department and Dunn Emergency Services during neighborhood gas leak - Improvements in Police Department — CALEA Accreditation Process - Improved traffic initiatives in the residential neighborhoods (LED Stop Signs) - Public/Private Partnerships: Betsy Johnson Hospital, Dunn Community Development Corporation, Dunn PAL, Dunn Area Tourism Authority, Dunn, Area Chamber of Commerce, Dunn Downtown Development Corporation, General William C. Lee Airborne Museum, Dunn Area History Museum, Dunn United Ministerial Association as well as others. - Multi -agency engagement with NC DOT that resulted in adjustments that were made to the I-95 interchange improvement plan for the benefit of the City. - Grants received for Tart Park and especially the $500,000 grant from the NC Legislature via Representative David Lewis - Focus on Code Enforcement efforts to include Non -Residential Ordinance - AMI Water System Meters - Commercial Incentive Plan developed with Harnett County What are the key issues, trends and challenges that the City should keep in mind as you plan for the coming year(s)? - Develop a Prioritization List: Outline strategy and financing options, allocating responsibility to include schedule and completion date — hold departments and council accountable — may need additional work sessions. - Consider a Vision Setting Process — Partnership with the Chamber - Need to handle the City's Infrastructure Needs - Increase Engagement on Improvements needed with the Harnett County Schools in Dunn Area - Public Relations and Communication; better educate the public on issues, challenges —Email List, Social Media - Commercial/Economic Development — Commercial Property Inventory/Improvements — Strategy for economic development What are you hearing from the people we serve? The taxpayers of the City of Dunn (business and residential)? - Why can't we have movies, restaurants, etc.? - Drainage problems from storm water — need for run-off improvements - Need to attract better paying jobs - The need for pothole repairs - Quality of the Harnett County Schools - Rental Housing/Dilapidated Housing Issues - Residential Speed Limit needs to be reduced - High Speed Internet (Broadband) - Paving Demands on Municipalities - Council Members referenced lists presented from the Chamber of Commerce - larger employers, Campbell University and real estate agents. Council Member Maness added in order to meet their expectations, the cost involved could mean a tax rate increase. - The need for increased funding (increased taxes or fees) is needed at this point as the City has increased efficiencies and cut expenses as much as possible. Previously Identified Areas for Discussion Finance — Interim Deputy Finance Officer/Assistant to the City Manager Boone presented report on the Water and Sewer Fund. - Grant opportunities increase with increased water and sewer rates - Large scale emergency repairs are taking the place of planned budgeted projects - Water revenues are currently supplementing the sewer fund - Sewer Fund is operating at about a $500,000 average deficit per year - Rate analysis presented: Increasing rates by 25%, which will still keep us competitive with our neighboring communities. This would increase revenue in the sewer fund by almost $500,000, which is almost a breakeven point. The Council will still need to continue incremental increases in order to build a reserve fund. - Larger bulk users will increase at a different level, in order to stay competitive with other communities and in line with increasing cost. - Options are to continue to increase water and sewer rates; General Obligation Bonds; Revenue Bonds; or Include Depreciation in the rate structure. - Decision is needed by the Council if we are going to break the sewer fund's dependency on the water fund. Communication to educate the public was again stressed as a priority. - $2.5 million Aeration Project debt service is also in the works and will need to be considered at budget time. After discussion, a tentative consensus was reached by the Council on the Sewer Rate Increase Concept as presented; however, they did direct staff to give a succinct overview for the Council to review for the decision making process. The meeting was recessed at 2:58 p.m. for a break and reconvened at 3:14 p.m. DMP — Stream Assessment and Rehabilitation — Randy McNeill presented the need to Assess and Rehab sections of Juniper Creek and Stoney Run. The First Step is to conduct an existing conditions assessment with a budget of $30,000 to get the project started. This is probably a multi-million dollar need so the plan is to identify funding sources to help finance projects. City Manager Neuschafer added that FEMA wants to know that there is continual maintenance before they will reimburse municipalities for damage during major storms. Corps of Engineer is a possible resource for assistance in this project. DMP will need to submit a detailed proposal for the Council to review. City Manager Neuschafer shared needs and ideas with the Council to get their input. Communications/Technology — Website/Social Media/Paperless Agendas — Website is out of date and needs to be updated. Social Media is a new endeavor for the City and needs to be relevant and accurate for each department's page. There were mixed feelings on the paperless agenda and funding for laptops. ADA Transition Plan — This is a time sensitive and unfunded mandated requirement in order to qualify for future federal funds. This will include either hiring an agency or allocating staff resources to developing a plan. Impact Fees Study — In order for fees to be collected, a municipality must complete an impact fees study. The cost of the study will be around $20,000, costing more than one year of revenues. Staff feels that the study is not worth the expense but instead the impact fees could be a detriment to new business locating within the City limits, with some businesses even negotiating to waive impact fees when locating in municipalities. The Study will need to be updated periodically. After discussion, consensus was to defer to later time. Storm Water Fee Study — Study is needed to determine avenue to generate additional revenue for storm water work. The study would determine the rate per unit for a house or business. Non -profits or larger units cannot be exempt. Currently, the flat rate charged brings enough funds to service a $1 million debt. This would be another fee based on usage and the funds could be used to prevent urban flooding. The estimated cost for a study is 530,000 to $40,000. The current storm water fee, which is a flat fee, generates approximately $120,000 per year. After discussion, consensus was to get proposals for Study. Paving —Projects are out to bid currently. City Manager Neuschafer reviewed the areas identified for the initial paving projects along with the alternates. Discussion followed on holding companies liable for large trucks destroying city streets. Mr. Neuschafer confirmed that this is considered normal wear and tear and streets are supposed to meet certain standards to handle these larger trucks. Road repairs will still continue beyond the paving projects. Paving Projects will take place every two years and will include identified streets on the agreed upon priority list. )0 Trash Service — Front Pickup — Republic Services needs to begin front pickup on main roads instead of in the alleyways due to the design of their new trucks. After discussion, consensus from the Council was to move front trash pick-up and to expand policy to leaf pickup, etc., which will also help with maintenance of alleyways. Closing/Improving Alleys (Right of Ways) — Deferred to a later time. Review — City -owned Properties — City Manager Neuschafer expressed the need to update the Public Works facility and at some point, City Hall. It has been approved to consolidate Parks and Recreation offices into the Vyas Center and for the Community Center to be used for meetings only. Plans are to incorporate Parks and Recreation renovations into the 2019-2020 FY budget. Combining Board of Adjustments/Planning Board or Changing Duties — City Manager Neuschafer shared that the City is having issues with having enough board members for the Board of Adjustments and a BOA is a requirement of the General Statutes. Some communities are increasing responsibility and authority while other communities are combining with the Planning Board. The Planning Board would only meet as the Board of Adjustments when needed. It has currently been over two years since the Board of Adjustments met. Some towns have turned Quasi-judicial issues over to the Board of Adjustments and it would not go to the Council. After discussion, consensus was to begin the process of writing the ordinance to combine the BOA/Plauning Board. The meeting was recessed at 4:52 p.m. CALL TO ORDER AND WELCOME Mayor Harris opened the meeting at 8:05 a.m. on Saturday, February 9, 2019 and gave the invocation. Afterwards, the Pledge of Allegiance was recited. Comments and Priorities —Mayor and Council Facilitator Matt Zapp led the discussion related to the Mayor and Council's Top Take-aways from Friday. Priorities identified by the Council from Friday's session: Paving Needs versus Resources Available Need for increased Sewer Rates — deficit in the Sewer Fund Need for Better Communication/Transparency Age of City's Infrastructure Importance of effective Code Enforcement Combination of Board of Adjustments and Planning Board Need for City Visioning Process Mayor Harris appreciated the engagement of the Council during Friday's session. Review and Set Priorities Facilitator Matt Zapp led the discussion to set the priorities for the Fiscal Year 2019/2020 and beyond. Priorities were identified as the following: Paving — continue working on the paving needs and communicate the plan with the public. Currently $800,000 project out for rebid and we are hoping for a completion date of July 2019 with next $800,000 paving project set for Fall of 2020. Communication Efforts — Need to tell the City's story — Promotion of the City, its projects and efforts — Web, Print, Social Media, etc. After discussion, Council Members felt a staff person is needed for Public Relations/Communications and creation of position and funding needs to be considered as part of the 2019-2020 FY budget. Infrastructure Issues — Water and Sewer — Need to isolate the Emergency Repair costs without pushing off the preventive maintenance repairs. Currently, if emergency repairs happen, it puts off all the preventive maintenance items due to budget restraints. The need to Budget and plan for contingency and preventive maintenance are priorities. Top Projects at this point is inflow and infiltration, Aeration Project and the 14" line Repair. Parks and Recreation — Complete $1.5 million Tart Park Project (Disc Golf, Renovating 4 ball fields, Central Control Tower, Soccer Field, Fitness Stations and update and extension of walking trail) with the need to solicit additional private donations. Project to begin May 2019 and be completed by December 2020. Codrington Park will need to be a focus after the completion of the Tart Park Project. Dog Park at the Dunn -Erwin Trail with Green Space (Passive Park) — City Manager Neuschafer suggested planting flowers, Dog Park, gravel parking lot could be done rather inexpensively with some possible donations and volunteer work. This would be a good stop for travelers but it is focused on our citizens. After discussion, consensus was to begin process on Passive Park before the end of the current year working within current budget and time permitting. Council Member Turnage recommended that this project could be used as training opportunities. Continue focus on Downtown Dunn, working with partners to achieve Main Street Status. Storm Water Study is a priority — Stream Assessment and Rehabilitation as presented by DMP Meeting was recessed for a break at 9:58 a.m. and reconvened at 10:13 a.m. 11 The Council agreed that there is Value in a Visioning Process/Long Range Plan or Roadmap for the next Decade for the City of Dunn. Committee to include Mayor Harris, City Manager Neuschafer, Council Members Bradham and McNeill and City Clerk was assigned to meet with the Chamber to establish dialogue on the process with the Chamber. The Clerk will share information with other Council Members via Email and Memos. Any proposals will be presented at a Special Called Meeting or Regular Council Meeting. Discussion followed on 36 -Month Long Range Goals and Objectives. Staying engaged with NC DOT on the Interstate 95 widening project and process was identified as priority. City Manager Neuschafer expressed the need for the City to coordinate with NC DOT to add items to those projects as they are working in our area such as underground power lines and utilities, pedestrian and bicycle access, beautification efforts. The City needs to hold NC DOT to high standards on the quality of the work they do in the City of Dunn and the way it looks. The City will also look at partnering with DOT on the I95 project to upgrade infrastructure, which will include presenting MOU's with NC DOT to the Council for approval. v Mayor Harris distributed update from NC DOT on the Interstate 95 Widening Project. The project has been delayed and several items requested from City and its partners have been added to the project such as the roundabouts instead of just stop signs at Exit 72. Reviewed the proposed Budget Schedule for 2019-2020. Summary of the Retreat Events: Council would like to receive briefing slides in advance. Council felt staff was well prepared. Thoughts were that this was one of the most productive retreats ever, great engagement, found lots of value in staff being in attendance, having an outside facilitator and having the planning session offsite which decreased distractions and increased individual focus. Council Member Turnage shared his concerns in reference to voter apathy and countywide priority list not being inclusive of municipalities. With no objections, Mayor Harris recessed the meeting with prayer at 11:49 a.m. for Council to enter into a brief Closed Session to consult with the Attorney to protect the attomey-client privilege, with no action to be taken. The meeting was reconvened and with no further business, a motion was made by Council Member McNeill and seconded by Council Member Tart to adjourn the meeting at 12:30 p.m. Motion unanimously approved. �G\TY OF�G.: ........... y ' �. GpRPORgTF.2 Attest: SEAL ' ?O .......... �PZ N CARO:``• Tamrhy Willi City Clerk 0 - rear N. Hams Mayor