May 4, 2020 Commission Meeting

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[0:00] Good evening and a late to welcome everyone into our meeting this evening. I hope that you and your family, friends and neighbors are staying safe and helping each other out as best as you can. We will now begin the Monday May 4, 2020 meeting of the city commission. Thank you.
[0:24] Thank you. Before we start our reminder during the public hearing and public input portions of the meeting attendees will be allowed to speak by using the razor hand feature.
[0:33] If you join the meeting by phone, you'll raise your hand by pressing star 9.
[0:38] If you join by computer, tablet, zoom out.
[0:41] You'll raise your hand by clicking on the raised hand icon at the bottom of your screen.
[0:47] So the May 4, 2020 meeting will come to order and we'll start with roll call.
[0:53] questioner
[0:57] DACA?
[0:57] Here?
[0:59] Here?
[1:01] Runner?
[1:02] Here?
[1:03] Heliger?
[1:04] Here?
[1:05] Drawer?
[1:06] Here?
[1:08] Does Magin?
[1:10] Here?
[1:10] Cummins?
[1:12] Here?
[1:13] Morris?
[1:14] Here.
[1:15] Madam Mayor.
[1:17] Present.
[1:31] Next are items on tonight's consent agenda, which will be minutes, city commission minutes,
[1:37] for 6.20 and 4.20.20 recommendation approved.
[1:41] Accounts and claims, city manager presenting accounts and claims in the amount of $717,498.45
[1:48] in investments in wire transfers in the amount of $1,120,826.77 for $27,220.
[1:57] In accounts and claims in the amount of $222,960.21 in investments in wire transfers in the
[2:05] amount of $2 million, $400,000, $386.46 by a 420 recommendation approved.
[2:12] Parallel City Manager presenting payroll in the amount of $918,281.69 for a 3020 recommendation approved.
[2:22] Reports of Officers 1, City Manager recommending 1-year renewal agreement with Michigan Municipal
[2:28] Risk Management Authority, Livonia Michigan, for the City's self insurance and risk management
[2:33] services in the amount of $508,690 less than that asset distribution of $461,883 for a total premium
[2:44] amount of $120,120,807 plus $250,000 last fund payment recommendation approve.
[2:55] Number two, commission is a whole resolution recommending contract number 2020-0283
[3:01] with Michigan Department of Transportation to secure an engineering consultant for the runway rehabilitation surface treatment project at the estimated city's portion of $1,750 recommendation approve.
[3:14] And number three, commission is the whole resolution, pledging limited tax full faith and credit in support of Brownfield authority tax increment refinding bonds recommendation approves.
[3:31] Do any members of the commission wish to make a change to the consent agenda?
[3:40] Seeing none, is there a motion to allow public input on the consent agenda?
[3:47] Commissioner Dacquick.
[3:49] Move to allow for public input on the consent agenda.
[3:51] Thank you.
[3:52] If anyone listening wishes to have an item removed from the consent agenda, please use the
[3:57] raise your hand feature.
[3:58] Once called upon, please state your name and address for the record and the item you wish
[4:01] to have considered on the regular agenda.
[4:14] Hello, everyone.
[4:15] Alex, do we have a nickname, South Area resolution three please.
[4:18] Thank you.
[4:24] Anybody else?
[4:29] Seeing none? Is there a motion? I'll make consent agenda.
[4:38] Commissioner Dacquet. Move to approve the consent agenda. Thank you.
[4:48] So roll call on the approval. Commissioner Dacquet. Yes.
[4:52] Yes.
[4:52] Riva?
[4:53] Yes.
[4:54] Runner?
[4:55] Yes.
[4:56] Hillary Kerr?
[4:57] Yes.
[4:58] Gerard?
[5:00] Yes.
[5:01] Ms. Magia?
[5:02] Yes.
[5:03] Clements?
[5:04] Yes.
[5:06] Morris.
[5:07] Yes.
[5:08] Yes.
[5:15] Okay.
[5:15] The next door business is presentations.
[5:17] This evening we have a presentation regarding the 2021 drinking water revolving fund projects.
[5:25] plan by Mr. Marty Jerse. If you give us one second, we're going to start sharing his slides.
[5:34] Hey, and Marty.
[5:36] Good evening, everybody.
[5:39] Hold on one second. I can barely hear you, Marty. Can you try again?
[5:43] How's this?
[5:44] There you go. Thank you.
[5:45] Yeah, no problem.
[5:47] Just let me know if I tend to fade out. I'll read just.
[5:49] Yep.
[5:50] I hope everybody's doing well and change the difficult times what I bring
[5:57] before you tonight is a public hearing of a project planned for a 20-21
[6:04] resolving drinking water resolving fund roll of the codes that don't know it
[6:10] go ahead and change the climate.
[6:20] We change it. There we go. Thank you. So for those of you
[6:24] I don't know what the drinking water is. It is a low-interest zone that was
[6:31] put forth by the cow eagle to help municipalities, water suppliers to meet their
[6:41] requirements of the State Freaking Water Act.
[6:44] Marty, you're saved now just a little bit.
[6:46] Yep, all right. There we go. Yep, much better.
[6:48] Okay. Thank you. This loan was put together in 1997 and then as provided over $1 billion
[7:00] worth of loans, or several of them to us who also have a grand chain to it.
[7:12] Thank you. So part of the each requirement of the loan application is having a public
[7:19] during which this is. And in the requirements we have to buy the description of the water quality
[7:27] needs and alternatives for our system. The description of recommended alternatives with the cost,
[7:34] discussion of project financing, and the description of social environment impacts.
[7:40] And we have put together a packet, submitted it to EGLE, which by the way I just
[7:45] to see the e-mail today from David Worthingson, praising how well it was put together.
[7:52] This quote was actually one of the best hit ever.
[7:55] So, my thank you to everybody involved in throwing that project plan together and getting
[8:00] it submitted.
[8:01] Go ahead and change, please.
[8:05] Okay.
[8:05] So, the project overview, construction would start in 2021, if we go ahead and move forward
[8:13] this and the plan is to even further reduce the leg components in our water
[8:18] system and to help us meet the Michigan dual leg hopper rules. By doing this we
[8:24] would add on an additional 250 individual city and or public side service
[8:29] time at various locations throughout the city. In addition to that we would add on
[8:34] another 500 hydro-estivations throughout the city to help us determine our
[8:40] inventory and the play material of our unknown servicers and find out whether
[8:46] which they need to replace, or not, and change, please.
[8:52] This is just an overview of some of the project sites, as you can see, we decided
[8:59] this time around to do more individual streets. We are now trading on a lot of
[9:08] the super long services, such as Green Avenue, where the water main goes down the middle
[9:14] of the Boulevard, and we have anywhere from 100 to 200 foot services on either side of
[9:20] the Boulevard.
[9:21] I believe another one is Livingston Avenue there, which is in equation, where the services
[9:26] are very long, and various other locations throughout the city.
[9:32] Like I said, we've tried to target this time around some of the very, very long services
[9:36] which would provide an even higher risk of contamination
[9:43] other than the short drive service.
[9:46] So in change.
[9:50] The estimated cost of this project is just over $2 million.
[9:54] And again, like I said, it includes 250 services
[9:59] and 500 high-go estimations along with it.
[10:03] This was spread out over 20 years.
[10:05] and after this, full rounds will probably have to look for other ways to come up with
[10:15] the sample in three days.
[10:24] So the testing rate for our customers right now, range anywhere from 2180 for residential
[10:31] all the way up to 33 if they have a 1-inch meter.
[10:35] The customer service charge goes by the five meter.
[10:40] The water rate for usage is 393 for PDC, 148 gallons, and also our customers pay a monthly
[11:01] The proposed change of charges, like I said, the monthly water charge by a meter will
[11:10] remain unchanged.
[11:11] The proposal has been caught or increased due to the challenge with zero.
[11:16] Monthly let it be.
[11:17] It's three of two dollars.
[11:19] You'll remain unchanged.
[11:21] And the $2 let it hurt.
[11:23] That abatement.
[11:25] And we're trying to create three hundred forty one thousand dollars.
[11:28] Three years.
[11:28] It's not the real coverage.
[11:30] It's the principle.
[11:30] And it's.
[11:32] Our current work goes into the policy ordinance.
[11:36] Currently, the residential use is approximately seven.
[11:39] CCS for months, which is up late to an average monthly water bill of 51 to 51 dollars.
[11:48] The proposed project plan will not increase the average monthly water bill.
[11:54] Also, that does equate to approximately $1.68 per day for reliable drinking water.
[12:03] Go ahead.
[12:11] As you can see throughout the time period, total savings of the life of loan would be just over $300,000.
[12:21] Not to mention that there is a possibility with the work flow of up to 20% loan prohibition on that.
[12:30] That won't be decided until the loan gets approved and everything like that.
[12:36] And if that weren't for no, it would be interesting if there is any bill.
[12:43] So the
[12:47] social environment will impact a bit.
[12:51] Memo traffic impacts.
[12:53] Obviously, when we're going down the road, I think we tend to try to fix certain roads.
[13:00] There'll be something to be used when the construction company is on this road, environmental impact, very little.
[13:09] The forest water rate is increased due to this project, zero, temporary increases.
[13:17] You're fading out just a little bit. There you go.
[13:20] All right, my hand keeps fading away from them.
[13:23] I'm sorry.
[13:24] Try not to touch the base thing, you know.
[13:26] Great. Okay, so zero rate increase due to this proposed pilot's project
[13:32] plans. Temporary increase in construction related jobs in Bay City, and
[13:38] obviously the next two are most important to us, the tech public health by
[13:42] removing that components from drinking water, and maintaining the consumer
[13:46] confidence in operating our 18 water systems.
[13:58] I thought that was it, so I'll be
[14:00] We have to go take any questions if there are any.
[14:03] All right.
[14:04] Thanks.
[14:05] All right.
[14:06] Thank you, Marty.
[14:14] Mr. Dreyer.
[14:17] Yeah.
[14:18] Mr. Jewish quick question.
[14:20] I might have asked this before on that cost per replacement.
[14:23] It showed but estimate about $7,000 per.
[14:27] Is that is that a bid projected price or have we gotten bid yet?
[14:32] Or that's what they're been running?
[14:34] We have not gotten it right to get that projected right that includes restoration.
[14:41] Okay, that includes the restoration. All right.
[14:44] Okay, because I thought I seen the listing of other things, the restoration was on top of that.
[14:49] So that that's inclusive is what you're saying.
[14:52] Yeah.
[14:53] Okay, thank you. That's all I have.
[14:56] Thank you. Anybody else?
[15:02] All right, Marty, it looks like you're off the hook. Thank you very much. All right. Thank you, everybody. Be safe.
[15:13] Next order of business calls for recess to discuss items on the informal agenda. Commissioner DACA. Are there any items? No, there are not. Thank you. Thank you.
[15:24] Next order of business calls for public hearing. This is the opportunity for citizens to address the commission regarding the 2021 drinking water revolving fund project plan. Is there a motion to allow for public hearing number one?
[15:40] Commissioner Girard.
[15:42] Move to allow for public hearing number one.
[15:45] Thank you.
[15:46] If anyone wishes to address the commission regarding public hearing item number one,
[15:49] please use the raise your hand feature.
[15:51] Once called upon, please state your name and address for the record.
[15:54] And under the rules of the city commission, every speaker will be allowed to speak for no more than five minutes.
[16:02] Alex.
[16:08] I'm glad that they're going to start working on full straights at a time instead of just
[16:12] splotching throughout neighborhoods and leaving the gravel caps on the replacement lines because that was
[16:19] something that I know a lot of people weren't really fond of previously with the lab replacement lines.
[16:25] I didn't see it in the packet when I looked through but I might have just overlooked it for the rebate,
[16:31] 20% rebate that was mentioned, if those details could be outlined into how the city actually
[16:38] would qualify for that, just so we could see it, that'd be great.
[16:43] That's all I have for that, and other questions were answered.
[16:46] So thank you.
[16:49] Thank you.
[16:50] Anybody else for public hearing number one?
[17:00] Seeing none, the next sort of business calls for public input.
[17:02] This is the opportunity for citizens to address the commission regarding any item remaining
[17:06] on the agenda or any other matter.
[17:08] is there a motion to allow for public input?
[17:13] Commissioner Dacquet?
[17:14] We'll give you a law for public input.
[17:16] Thank you.
[17:19] If anyone wishes to address the commission, please use the raise your hand feature.
[17:23] Once called upon, please state your name and address for the record.
[17:26] Under the rules of the city commission, every speaker will be allowed to speak for no more than five minutes.
[17:38] I know a big shocker.
[17:39] Alex Ditchman and South theory.
[17:42] As for the resolution, I can only pull it off to make sure everyone's on the record
[17:46] for their position on the security of the vote.
[17:50] I'm not there to make a policy yell or anything for this.
[17:53] I just want this on the record
[17:54] for that big of a balance security for the city.
[17:58] I know I was able to contact Tim in public works
[18:04] for the brush pickup because originally,
[18:06] I remember seeing that they were going to do that
[18:08] over a couple of days in the first of May
[18:11] and well, I'm not that far from the south side
[18:13] of the south end of the west side of the city limits
[18:16] and my crush wasn't picked up yet, but I got a nice response from them about how it could take
[18:24] a couple of weeks to complete. And also I am making another plea is we're only one meeting away
[18:29] from the initial budget location or budget notification that I since it is a taxpayer budget, I am looking
[18:37] for oversight for taxpayers again. So that's all I have for today. So thank you everyone.
[18:44] Thank you.
[18:47] Anybody else wishing to speak?
[18:53] All right.
[18:53] Staying none.
[18:54] We're back in the regular order of business.
[18:57] So the next item on the agenda is resolution number one.
[19:00] Commission has a whole resolution regarding the loan application to the state of Michigan,
[19:04] Department of Environmental Quality, Drinking Water Revolving Fund for capital improvements to the water distribution system owned and operated by the city of a city recommendation approved.
[19:13] Thank you.
[19:14] Is there a motion?
[19:24] Commissioner Brunner.
[19:25] Move to approve.
[19:27] Thank you. Is there any discussion?
[19:34] Commissioner Brunner, do you also have discussion?
[19:41] I do not.
[19:43] Okay, thank you.
[19:48] I'll call the roll on the motion to approve.
[19:50] Commissioner Rivera?
[19:52] Yes.
[19:53] Brunner?
[19:57] Yes.
[19:58] Thank you.
[19:59] Hello, Clerk.
[20:01] Can you repeat that for me, Commissioner Rehlecker?
[20:05] Yes.
[20:06] Thank you.
[20:06] Gerard?
[20:07] Yes.
[20:08] Yes.
[20:08] Ms. Magiun.
[20:10] Yes.
[20:11] Clements.
[20:12] Yes.
[20:13] Fourth.
[20:15] Yes.
[20:16] In Docket.
[20:17] Yes.
[20:18] Eight yes.
[20:20] Okay.
[20:23] Okay.
[20:24] The next item is resolution number three.
[20:26] Commission has a whole resolution regarding the refunding bonds.
[20:30] Is there a motion?
[20:36] Commissioner Docket.
[20:37] Move to approve.
[20:39] Thank you.
[20:40] Any discussion?
[20:45] Commissioner Gerard.
[20:47] Yes, through the chair. Could you just do a brief overview of what is actually
[20:53] transacting with this? All right, so let me see.
[21:02] See, are you there? Yes, I am. Here we go.
[21:07] Okay, so just a brief overview. So the city commission had previously approved up to 23 million
[21:16] dollars in debt for the Uptown project. So we had the issuance of the bonds and at the lowest
[21:25] cost financing, the City Commission had to pledge their full faith and credit for the payment of
[21:31] the bonds. So in 2013, the Brownfield Redevelopment Authority issued a $9.2 million bond and then they
[21:43] did an additional $7, little over $7,000,000 in
[21:49] 2014. So there was some binding authorities still left out there and so we needed to do
[21:57] another issuance, which the Brown Food Authority did in April 16. It has two resolutions.
[22:06] The first one was to authorize the issuance of an additional $6.7 million for the development
[22:11] a phase two and that was the remaining 23 that was already approved back in 2013 or somewhere in
[22:21] that area. So this was just using up the additional space that we had to approve the additional
[22:29] funding of those bonds. And then the second resolution that the Brownfield Authority approved was an
[22:36] $18 million bond, which it would advance the refund of original $9.2 in the $7 million bond debt.
[22:48] So all in all, we are just going up to our binding capacity that was already approved
[22:55] and which the Brownfield Redevelopment Authority approved as well.
[23:00] So the part that, so why are we refunding because we're
[23:06] So I think George, if George is on the line we can get him to comment on the
[23:11] refund of it. And I know he is, I saw he was on the attendees list, TJ.
[23:22] Yeah, he should be available now. Okay, George.
[23:41] George.
[23:43] Yes, I am.
[23:44] Yes, did you hear the question, George, about the refunding?
[23:48] Yes.
[23:52] Basically, the rates have come down significantly. And even though the new bonds,
[24:01] at least the refunding bonds, would be considered taxable, there is still very, very significant
[24:08] savings compared to the original issuance. We're looking at over $2.3 million decrease in
[24:15] debt service for the 2013 bond, and then an additional $409,000 in debt service reductions
[24:28] for the 2014 bond. So all in all, we would be saving somewhere around $2.6 million in
[24:37] that service between now and 2043.
[24:42] All right, so ultimately we're sailing money by doing this right now.
[24:49] Very significant dollars. Yes. Okay. That's why I need to know. Thank you very much.
[24:55] Okay. You're welcome.
[25:01] Is that all commissioner? Yep. I'm all set. Thank you. Okay. Thank you.
[25:05] I believe commissioner docket. I'm all set. Actually. Thank you. All right.
[25:12] Okay, any other discussion?
[25:17] Okay, seeing none, I'm going to call the motion,
[25:19] or the role on the motion to approve.
[25:22] Commissioner Brunner?
[25:23] Yes.
[25:24] Hiliker?
[25:26] Yes.
[25:27] Gerard?
[25:28] Yes.
[25:29] Ms. Magin?
[25:30] Yes.
[25:31] Clements?
[25:32] Yes.
[25:33] Of course.
[25:35] Yes.
[25:36] Okay.
[25:37] Yes.
[25:38] Perfect.
[25:39] Yes.
[25:40] Yes.
[25:41] So that is approved.
[25:42] that completes all items on tonight's agenda, so we are adjourned.