2026-11-05 - Council Committees Meeting

00:00and Storms, I'll recognize our finance

00:01director. Good morning.

00:02>> Good morning.

00:03>> I hope that you all are well.

00:04Um in a moment Jill Vang, uh she's a

00:07senior audit manager at Martin Storms

00:08and Associates, uh she'll be presenting

00:11our the results of our annual audit. Um

00:14Jill leads the team of auditors that

00:16conduct our annual audit. Um

00:19you know, we appreciate the the

00:20excellent work they do on behalf of the

00:21city, the professionalism they exhibit.

00:24Um and we've been been working with her

00:26for a number of years. Uh before that, I

00:29want to just touch on a couple of key

00:31points from the documentation I provided

00:33at the end of the presentation slides in

00:35your packets. Uh it's a memo

00:38um fund balance calculation and trending

00:41and a chart, which is going to show the

00:43increase

00:44in uh unassigned fund balance and total

00:46expenditures over a period of time.

00:49Um

00:50So, first off, um you know, just want to

00:52thank the finance department, um

00:54particularly Eric Creech, our assistant

00:55finance director, and Angie Hamilton or

00:57Angie Summerson, um our accounting

00:59operations manager, uh for the great

01:02work they do to to manage our daily

01:04accounting operations. Um

01:07And to

01:08um respond to the bulk of these audit

01:10requests annually. And the number of

01:12requests we we get grows substantially

01:15on an annual basis. Um

01:18In addition, thanks to all city staff,

01:20departmental leadership, mayor and city

01:22council um for the successful completion

01:25of another fiscal year um in which we

01:27were able to fund council and

01:29administration priorities, safeguard

01:31public assets, ensure fiscal

01:33responsibility and transparency, deliver

01:35quality public services, preserve the

01:37city's financial health, and improve

01:39pub- public service output.

01:41Um I want to start with the FPIC, the

01:44financial performance indicator of

01:46concern that's circulating its way

01:48around up there. Uh we've had this since

01:50fiscal year 2023 when the LGC

01:53implemented it. Um and basically what it

01:56is

01:57is um

01:59you know, our water and sewer condition

02:01of assets ratio, it's currently 0.26. It

02:04actually went down from 0.29 over the

02:06prior year. Um in 2023, the LGC added

02:10this requirement that a system's

02:11remaining useful life of assets should

02:14meet or exceed a 0.50 threshold. Um ours

02:17is under that threshold. This is not an

02:19audit finding. Um I'm simply required to

02:22present this to you annually so that you

02:24acknowledge that you've been informed

02:25about it and that we have a plan going

02:27forward to address it over a period of

02:29years. Um so I think we're hoping that

02:32this will go up a little bit next year

02:33because uh at the end of fiscal year

02:362026,

02:37we have about 11 to 12 million dollars

02:39in construction in progress for some of

02:41these larger capital projects including

02:43the Rain Tree Pump Station upgrade, um

02:45water line replacement projects, etc. So

02:48hopefully we'll see a little bit of

02:49progress next year on this.

02:51Um we have no audit findings uh again,

02:54which is a great accomplishment. Um the

02:57the absence of audit findings indicates

02:59no significant issues with our internal

03:01control framework, that public funds and

03:03resources are effectively and

03:05transparently reported and accounted,

03:07that adequate controls are in place to

03:09protect public resources from

03:11misappropriation and misuse,

03:13that our financial operations are

03:14effectively managed,

03:16that we have adequate policies,

03:18procedures, and safeguards in place to

03:20ensure operational efficiency and to

03:22prevent fraud, and that we're compliant

03:24with all legislative leg- legislative

03:26requirements and statutory regulations.

03:30Um so that's a a significant

03:32accomplishment. Um

03:35in an in addition to no findings, um

03:38we had a successful year overall. Uh I

03:40do want to touch on unassigned fund

03:42balance. As you can see, uh we did

03:44increase our unassigned fund balance in

03:46the general fund uh by approximately 1.3

03:49million dollars. It's now approximately

03:5123.6 million dollars. But it our uh

03:55percentage

03:57our our ratio of unassigned fund balance

03:59as a percentage of annual expenses

04:01actually decreased by about 2.8%

04:04down from 70.3

04:06to about 67.5%.

04:09Um, this marks the the sixth consecutive

04:12year that we've increased that amount,

04:14that nominal value of unassigned fund

04:16balance, uh, but it's the first first

04:18time since 2020 that the ratio has

04:21decreased.

04:22We will likely see this this trend

04:24continue, the decreasing ratio,

04:26until we begin again to balance our

04:28budgets without the use of unassigned

04:30fund balance.

04:31Um, to do so we'll need to substantially

04:33increase recurring revenue source

04:35sources such as property taxes and

04:38customer fees, but primarily property

04:40taxes.

04:42Um, and we need to limit fund balance

04:43spending as much as possible and only

04:46dedicate it to capital projects and

04:48things of that nature.

04:49Um,

04:50so our auditors have noted, as you'll

04:52see, um, that the continuation of using

04:54fund balance to offset losses or

04:57basically to plug a budget, um, could

04:59result in deterioration of the city's

05:01fund balance over a period of time.

05:03Um, the first step, since we're starting

05:05the budget process in 2028, is to ensure

05:07that we attempt to balance the 2028

05:09budget without the use of unassigned

05:11fund balance, or if not quite if we're

05:13not quite able to do that this year, um,

05:15get on a two-year

05:17plan to do that by possibly fiscal year

05:192029. As you know, there are a lot of

05:21variables in the air with with the

05:22revaluation again and the the state

05:24legislation, so I have to feel our way

05:26through those,

05:27um, but we do need to get back to a

05:29balanced budget. Um, as you'll recall in

05:312026, we appropriated $1.325 million in

05:35unassigned fund balance to balance the

05:37budget. That was simply to get us

05:39through to the revaluation year, which

05:41occurred but was rescinded by Senate

05:43Bill 889. Um, so postponing that again

05:46another year, but that could be hampered

05:48by House Bill 1089, which would limit

05:51the overall amount we could increase our

05:53tax levy from year to year. So,

05:55um, that has the uh

05:57the ballot referendum passed, but the

05:59constitutional amendment we do not have

06:00details on, but at some point they will

06:03levy a decision on on what that

06:05percentage increase can be annually. So,

06:07we'll address that as we go forward.

06:09Um

06:10And in 2027, just so you're aware, we

06:13did appropriate a little less than a

06:14million dollars in fund balance to

06:16balance the budget. Um our total fund

06:19balance appropriation was about 1.6

06:21million dollars higher. That's due to

06:23higher pay-as-you-go expenses

06:25uh and the 1 million dollar

06:26appropriation for the Palace Theatre

06:29renovation. Um so, that's what drove the

06:31unassigned fund balance appropriation

06:33much higher in 2027.

06:35Um funds will also be needed to

06:37supplement state grant funding

06:38unassigned fund balance um

06:40for the community development block

06:42grant neighborhood revitalization

06:44um Strickland Center and Carver Park

06:46capital project as well. So, keep that

06:47in mind. Um really good year in the

06:50water and sewer fund. Our unrestricted

06:52net position increased by approximately

06:542.45 million.

06:56Uh our water and sewer fund unrestricted

06:58cash and investments is now 132% of

07:01total net expenditures. That's up from

07:04111%,

07:05which means we have more than a full

07:07year, really a year and a third, of

07:09operational expenses held in retained

07:11earnings.

07:12Um only 16% or about 2 months is

07:15required by the LGC. So, we're in good

07:18position there.

07:19Um our water and sewer fund quick ratio

07:21is 4.8. It's up from 3.92

07:25and it exceeds the minimum requirement

07:27of one.

07:28The ratio measures the ability to pay

07:30the fund's short-term liabilities using

07:32liquid assets such as cash, investment

07:35securities, and accounts receivable.

07:37Um

07:39And as I've presented to you that we

07:41have the one financial performance

07:42indicator of concern in the water and

07:44sewer fund.

07:45Um

07:46So, um that's in a nutshell. Um just

07:49some of the things I wanted to touch on

07:50before Jill goes kind of deeper on all

07:52the the financials and statistics. Um do

07:55you have any questions for me at this

07:57point?

07:58Okay. At this time, I'll turn it over to

08:00Jill. Thank you.

08:01>> Thank you.

08:03>> Okay, Jill. You may go [snorts] ahead.

08:05>> Thank you.

08:11>> Is it ready for me?

08:12>> Yes, ma'am.

08:22>> Okay.

08:23Good morning. My name is Jill Bang.

08:26I'm from Knox and Associates and I'm

08:28here to present the 2026 audited

08:31financial statement results.

08:33Um the audit is completed. Um however,

08:36we are still waiting for the federal

08:38compliance supplements to be released.

08:40Um same like last year, there is a delay

08:42this year.

08:43Um once those are released, um we have

08:46to then compare it to um our testing. We

08:50have tested based on the final draft

08:52that was released, but we are not able

08:54to um release until the final version is

08:58released. So, once the final version's

09:00released, then we just need to compare

09:02to make sure there are no changes before

09:04we can finalize our audit and submit it

09:06to the LGC. So, that's where we stand

09:08right now. Um it's completed, but just

09:11waiting on the federal government to

09:13release the compliance supplements.

09:17I want to start off with some audit

09:19overview. Um this slide shows our

09:21responsibility as an auditors.

09:24Our responsibility is to obtain a

09:26reasonable assurance about whether the

09:28financial statements as a whole are free

09:30from material misstatements. And this is

09:32whether due to fraud or errors.

09:35And then to issue an auditor's report

09:37that includes our opinion.

09:40Reasonable assurance is a high-level

09:42assurance, but it is not absolute. And

09:45therefore, it is not a guarantee that

09:47although we are conducting our audit in

09:49accordance with generally accepted

09:51auditing standards

09:53and the

09:54um government auditing standards, it

09:56will not always detect material

09:58misstatement even when it exists.

10:01In conducting an audit under GAS and

10:04government auditing standards, we use

10:06professional judgment and maintain

10:08questioning mindset throughout the

10:10audit.

10:11We identify risk of material

10:12misstatements due to fraud or errors

10:15and perform procedures to address those

10:18risks by testing financial records and

10:20disclosures.

10:22We also understand relevant internal

10:24controls to plan the audit, but we do

10:26not provide an opinion on their

10:28effectiveness.

10:30We also evaluate accounting policies,

10:32significant estimates, and the overall

10:35presentation of the financial

10:37statements.

10:38And then we are required to communicate

10:40to those charged with governance

10:41significant audit findings and certain

10:44internal control matters that we have

10:46identified during the audit.

10:50This slide shows responsibilities of

10:53management.

10:54Management is responsible for the

10:57presentation and fair preparation and

11:00fair presentations of the financial

11:02statements in accordance with accounting

11:05principles generally accepted in the

11:06United States

11:08and for the design, implementation, and

11:10maintenance of internal controls

11:11relevant to the preparation of fair

11:13presentation of financial statements

11:15that are free from material

11:16misstatements, whether due to fraud or

11:19errors.

11:20Management is also responsible for

11:22compliance with applicable provisions of

11:24laws, regulations, contracts, and grant

11:27agreements, and other matters.

11:33Now, we're going to talk about audit

11:34highlights of your audit. Um we will

11:37issue an unmodified opinion, which is

11:40the best opinion that you can get, and

11:42that means that uh we can state without

11:45reservations that the financial

11:46statements are fairly presented in all

11:49material respects in conformity with

11:50GAAP.

11:52This year, we did test two major

11:54programs. Um one was state and one was

11:57federal. The state one was drinking

11:58water reserve and the wastewater reserve

12:00fund.

12:02And federal was the clean water state

12:05revolving fund.

12:06And we noted no audit findings during

12:09our audit.

12:14This slide shows um the classifications

12:17of fund balance.

12:19And there are five components of fund

12:21balance. The first one is non-spendable.

12:24The next one is restricted, and these

12:26are our third-party restrictions.

12:29The next one is committed,

12:31assigned, and unassigned. And unassigned

12:34is everything that's left over from all

12:36the other four classifications.

12:38And we're going to look on the next

12:40slide what your assigned fund balance

12:42is.

12:43And so this one shows your assigned fund

12:45balance over the past 3 years as it

12:47relates to your net expenditures.

12:49>> [clears throat]

12:50>> And net expenditures

12:51is defined on the slide as total

12:53expenditures plus transfers out less

12:56your deferred proceed I mean debt

12:58proceeds.

12:59So unassigned fund balance increased

13:02from 2025 to 2026 1.2 million from prior

13:06year.

13:07But then if we look at your

13:08expenditures, they have also increased

13:10and they've increased a little bit more

13:11by 3.2 million. So when we analyze your

13:15unassigned fund balance compared to your

13:17net expenditures

13:19as a percentage, that actually decreased

13:222.8

13:23percent 2.8 percent from last year.

13:27And then you can see um the line that is

13:31showing your um percentage of net

13:34expenditures as it went up last year,

13:36but it came back down.

13:42This is um a definition of the available

13:45fund balance. LGC looks at your

13:48available available fund balance

13:49percentage a little bit more. They use

13:51this to compare um

13:53>> [clears throat]

13:53>> you guys to other units, um

13:56and then they have their threshold of

13:58what they think their um available fund

14:01balance percentages should be.

14:03And so here with available fund balance,

14:07it starts off with total fund balance.

14:09They subtract out non-spendables, and

14:11non-spendables are usually the

14:12inventory, the prepaids um that are

14:15subtracted out. and then stable is a

14:17state stabilization by state statute is

14:19a calculation that they have, and it's

14:21usually your receivables and everything

14:23subtracted out, and then makes your

14:25available fund balance.

14:27And so, available fund balance, um, is a

14:29little bit different from your

14:31unassigned fund balance. Available fund

14:32balance still includes your

14:35restrictions, your commitments, um, and

14:38your assigned fund balance in there.

14:43So, this slide shows the available fund

14:45balance as a percentage of your net

14:46expenditures.

14:48In this one, you can see that the

14:50percentage did go up a little from prior

14:52year.

14:53Um, in uh FY26, the available fund

14:56balance as a percentage of net

14:58expenditures was at 86.3%.

15:01The LGC has a minimum threshold for this

15:04for municipalities with general fund

15:06expenditures greater than or equal to 10

15:09million,

15:10is set at 25%, and you guys are above

15:13that and meets that threshold. So, you

15:14guys are good there.

15:22This slide shows your general fund

15:24revenues and expenses comparing it from

15:262025 to 2026.

15:29Revenues increased 452,000,

15:32or about 1.2%.

15:35Expenses increased 2.1 million, or about

15:396.1%.

15:41And we're going to look at your top

15:43three revenues and your top three

15:45expenses in the next, uh, couple slides.

15:51Your top revenue, um, the first one is

15:53ad valorem taxes.

15:55And this one, that increased 54,000, or

15:59about 0.3%.

16:01So, very comparable to prior year.

16:06Other taxes, other taxes are your local

16:08option sales tax, occupancy tax, and

16:11some of your other smaller taxes are all

16:13grouped into here.

16:15And it increased 386,000,

16:18or 3.5%

16:19so very comparable to prior year as

16:21well.

16:26Sales and services

16:28increased 115,000

16:31or about 3.4%

16:34and so that's very comparable to prior

16:35year as well.

16:39Now for expenses, uh the first top

16:41expense is public safety.

16:44Public safety went up 1.7 million or

16:47about 11.6%

16:50and this was noted in the department uh

16:52the police department due to salary

16:55increases and it's part of a 3-year

16:57salary study and the cola increase

17:00as well as there were also um capital

17:02outlay expenditures in the public and in

17:05the police department that caused the

17:06increase.

17:11Public works department

17:141.2 million increase from prior year or

17:1616.7%

17:18and we saw this in the streets

17:20department for street lighting and

17:22capital outlay expenditures. Power bill

17:25had increased in paving costs

17:27and solid waste had some capital outlay

17:29expenditures increase from prior year.

17:36General government

17:38had a small decrease of 94,000 from last

17:41year 2.6%

17:43so that's still very comparable to prior

17:44year.

17:49Now for the water and sewer fund

17:52uh comparing some of the numbers to

17:54prior year, revenues increased 1.3

17:57million or about 8.4%

18:00and mostly due to rate increase in FY26

18:02and increase in um water usage as well.

18:06Expense increased 223,000

18:09or 1.5%

18:11so very comparable to prior year.

18:13Unrestricted cash increased 3 million or

18:1619.1%

18:18and that's uh due to increases in net

18:20cash provided by operating. So, less um

18:24more revenues and expenses didn't really

18:27go up that much. So, it kind of helped

18:28with having more cash on hand.

18:31And water uh

18:33the unrestricted net position

18:36increased 2.5 million or 15.2%

18:40and um same thing just overall increases

18:43in revenue less expenditures

18:45um and so overall increase in your net

18:47position caused [clears throat] the

18:48increasing unrestricted net position.

18:54The quick ratio for your water and sewer

18:55fund um

18:56the LGC also has a financial indicator

18:59for this. Their financial indicator um

19:02they're concerned with anything less

19:04than one.

19:05And [clears throat] the city's

19:08um quick ratio at

19:11uh for fiscal year 2016 was at 4.75.

19:14So, the city has met that uh threshold

19:17that the LGC has set for the quick

19:19ratio.

19:23Now, we're going to look at some other

19:25financial um key indicators and these

19:27are

19:29on the data the LGC's data input report.

19:33So, as part of the audit, we also

19:34complete this um data input report for

19:37the LGC and analyzes data's financial

19:41indicators

19:42um and then there's some where if you

19:44don't meet their thresholds, then they

19:45pop them out as negative indicators and

19:48the um local government has to respond

19:50back to the LGC just to um tell them

19:54your corrective action of how you plan

19:56to get your um percentages up.

19:59The city did not meet one of the ratio

20:02and it was the water and sewer capital

20:04asset condition ratio. And this is the

20:06same ratio um that you guys have been

20:09getting for the past couple years ever

20:11since they started having financial

20:13indicators on the data input sheet.

20:16This year, the city's result was at

20:1825.7%

20:20and the LGC has a minimum threshold of

20:2250%

20:24and so they're saying that if there is a

20:28percentage less than 50% that it may

20:30signal the need to replace the assets in

20:32the near future. And I know that you

20:34guys are working on it. You guys have

20:36some in construction in progress that's

20:39getting ready to be completed.

20:42I think it's going to take a little bit

20:43more to get from that 25% to that 50%

20:47and so within 60 days of not this

20:50presentation but then the board's

20:52presentation on November 16th, the LGC

20:54will require for you guys to send a

20:59letter to them talking about how you

21:01guys plan to correct this in the future.

21:04And the correspondence must be signed by

21:06board members, city manager and finance

21:08director.

21:09>> [clears throat]

21:13>> I'm going to look at some positive

21:14performance indicators.

21:16The audit will be submitted to the LGC

21:19on time. Currently, the due date is

21:21December 31st. However, this could

21:24change depending on when the federal

21:27compliance supplements will be released

21:29and that will

21:31the LGC will put something out when it

21:33comes when the federal supplements are

21:35released. So, I have no issues with that

21:38that you guys will be submitted on time

21:39because you guys are completed and just

21:41waiting for that. There are no current

21:43year findings.

21:44As we discussed earlier, the available

21:46fund balance as a percentage was at 86.3

21:49which is above the LGC's minimum of 25%.

21:53The quick ratio again, we mentioned that

21:55earlier was at 4.75 which is above the

21:58minimum

22:00of 1% and the city's also met the water

22:02and sewer operating net income and cash

22:05to expense ratio as well.

22:09And I just want to thank you guys for

22:11allowing us to serve as your auditors

22:12and I want to thank Thomas and the

22:14finance staff. They're great to work

22:17with, I'm very responsive and we enjoy

22:20working with them every

22:21year.

22:22And then I if there are any questions, I

22:24can take that at this time.

22:28>> I think we're good. Thank you so much.

22:30We appreciate it.

22:31>> Thank you.

22:31>> Thank you, Julie. I have no questions.

22:33Have a good day.

22:35>> Thank you.

22:36Bye.

22:37>> I think we should clap for Thomas.

22:38>> Yeah, Thomas, thank you.

22:39>> uh

22:40>> [applause]

22:41>> Thomas does want to provide one

22:42explanation on one of the points.

22:43>> Sure.

22:44>> I did want to

22:45check up for Chief Carter back here.

22:48>> [laughter]

22:48>> Sounded pretty gloomy, but um basically

22:51that's a bit of a mirage in the police

22:52department as far as the overall

22:54increase in expenses. Um

22:57we had to implement the RMS system in

22:59fiscal year 26, so you're seeing the

23:01first year cost of about $260,000 in as

23:05an expense there. And also the total

23:08total multi-year contractual cost, which

23:11is like a 5-year contract for a total of

23:13660,000. That's not an actual cost that

23:17money goes out the door on, um but we

23:19have to show that for compliance with

23:21GASB 96 for um subscription-based

23:24information technology arrangements. So,

23:26we're capitalizing that expense. And and

23:28that's included in there as well. So,

23:30the numbers are not quite as bad as it

23:32sounds. I did want to show you one thing

23:34I forgot to mention.

23:37>> [laughter]

23:38>> Um

23:39it you know, we do need to be a a little

23:40bit cautious here about um the total

23:43expenses going up so significantly. Um

23:46and this is a primary the primary cost

23:49drivers um are a number of things.

23:51Obviously, the 3% cost-of-living

23:53adjustment, um the continuous salary

23:56study implementation through fiscal year

23:582028

23:59um adds a lot to the payroll costs. Um

24:02we also have the 12 new positions in

24:04fiscal year 26. About half of that cost

24:06we'll see in 26 and about half the cost

24:09in 27 just by the way the way that those

24:11were phased in at the half-year point.

24:14Um but those are your primary cost

24:16drivers from a payroll perspective. Um

24:18and you know, the the uh salary study

24:20runs through 2028, so we're going to see

24:22we'll see these costs in 27 and and and

24:25probably in 2028 as well. Um and we had

24:28some cybersecurity costs at the end of

24:29the end of the year as well um as a

24:31result of the cyber security incident um

24:34to protect our system and upgrade. Um,

24:36so we had about uh

24:38390 almost $400,000 in costs associated

24:41with that as well. So, there were a

24:43number of things that may have been

24:44outliers in the cost in 2026 that you

24:47see. Um, but this chart does give you a

24:50general idea of just how much, you know,

24:52our expenses went up 3.2 million and we

24:54added 1.2 million to fund balance. So,

24:57this is the first year where where that

24:59increase in expenses has outpaced the

25:02increase in unassigned fund balance, the

25:03first year that I've been here. So, just

25:05wanted you to to be aware of that. Thank

25:07you, too.

25:07>> Thank you very much.

25:08>> Thank you, Thomas.

25:11>> All right. Uh item number three is

25:13public hearing for economic development

25:15project uh Bagel. I'll recognize our

25:17deputy city manager.

25:19>> Sir,

25:20um I've just consulted with Wendy. You

25:21guys have already called for the public

25:22hearing. This is a just a placeholder

25:24that you will

25:25um

25:26have it on the agenda for the briefing

25:27meeting.

25:28And call for it for the following

25:29meeting.

25:30>> Got you.

25:31>> So, no action needed. Just it's

25:33placeholder.

25:33>> Perfect.

25:35>> [clears throat]

25:35>> All right. Uh item number four is

25:37approval of the extension uh

25:39for aquatic contract. I'll recognize our

25:42uh Parks and Rec Director.

25:48>> Good morning, everybody.

25:50So, I bring I'm bringing to y'all the uh

25:52for consideration an extension of the

25:54Aquatech contract, which is going to

25:56save us money or at least hold money.

25:59Um, we were under contract for 3 years

26:02and then we were given the opportunity

26:04with Aquatech to extend through the 2027

26:06season at the current rate that we were

26:08in 2026. Uh we always do a post meeting

26:12um with the company and we met with our

26:13COO and he talked about all the

26:15different contracts that they're

26:16managing and we'll be interested in

26:18continuing to keep our rate the exact

26:21same for an additional 2 more years. Um,

26:23so this would keep the 2026 rate all the

26:26way through the summer of 2029. Um,

26:29which uh is a great deal for us to

26:32continue. Usually, it's a

26:34a sequential increase per our contracts

26:37each three each year for 3 years, but

26:40we're going to be able to hold that 2026

26:42rate all the way through the summer of

26:432029. Um, and he said they don't usually

26:46do that, which we appreciate, but um, he

26:49said their partnership and our

26:51partnership is strong and he would

26:53like to consider that if we would. So,

26:55that's what we're bringing today.

26:56>> Thank you, Corey. That's great.

26:57>> Okay.

26:58>> And you all are happy it works well for

26:59you.

27:00>> Yeah, we had a great meeting with them.

27:02We talked about some of the in-trainings

27:03and things that they're going to expand

27:05upon.

27:06Um, and they continue to we've never had

27:09a day where we weren't worried about a

27:11lifeguard showing up.

27:13Um, and they do a great job managing

27:14some of the clarity and things of the

27:15pools, obviously all the chemicals.

27:17Um, so it's a good partnership and it's

27:18continuing to get stronger. They've

27:20talked about some junior lifeguard

27:22trainings

27:23with our local youth to get them

27:25involved, which then helps supplement

27:28staffing. Um, so we had a really

27:30positive meeting with Evander Davis and

27:33and Molly who oversee this division and

27:35um,

27:36they've got some really good ideas for

27:37the next couple summers too with the

27:39company. So, it's working really well.

27:41>> Great.

27:41>> Good deal.

27:42All right. Thank you. So, we'll

27:44Yes, sir. We'll need them.

27:46>> Second.

27:47>> Thank you.

27:48That's been moved to briefing.

27:51Item number five is consideration of

27:52adoption of the revised personnel policy

27:54appendix A.

27:56Um, I'll

27:57recognize our

27:58Okay.

28:01>> Um, during our salary study discussions,

28:03we're doing a 3-year study. This is the

28:05year three that we started studying as

28:08our staff review the meeting here in

28:10which is position description,

28:12qualifications that they submit to PTRC

28:14to evaluate year three study

28:15participants.

28:17Um, we've had some individual concerns

28:19within other departments that are not

28:21being studied this year saying, "Hey,

28:23we're experiencing some compression."

28:25And so, as we dug into the

28:26compression-related concerns, something

28:29became it was revealed to us that when

28:31our appendix A was evaluated by PTRC

28:34through the last salary study for year

28:36one and also year two.

28:38One of those unintended consequences

28:40were that

28:41they increased salaries to get them to

28:43100% but didn't take into consideration

28:46that at the 5 or 6-month period you get

28:48a 5% increase as a probationary

28:50increase. Therefore, putting folks at

28:53105% of the market, not necessarily at

28:55100% of the market, which was the intent

28:57of the on the salary study.

28:59In consultation with PTRC, Michael and I

29:02had a meeting with Matt Reese to talk

29:04through how can we remedy this

29:07short-term, how we stop the bleed now,

29:09and then long-term. So, at least in the

29:11interim, our goal was to bring Appendix

29:14A back to you guys with a 5% reduction

29:16for every starting salary in the

29:18Appendix A.

29:19And basically, what that means is the

29:21new starting salary will be 5% below the

29:24Appendix A that was adopted in July.

29:26However, after they complete their

29:286-month [clears throat] probationary

29:29period, they'll go back to 100% of the

29:32market, thereby still being a

29:34competitive salary, still having

29:36recruitment and retention opportunities

29:38because we're [snorts] still at 100% of

29:39the market.

29:41And what we're finding is most of our

29:42starting salaries are at or above some

29:45of our comparable cities. And so, one of

29:47the immediate remedies for us was to

29:50reduce all starting salaries by 5%

29:53and then

29:55establish the new Appendix A as that.

29:57Secondarily, long-term, we need to have

30:00conversations with PTRC how do we modify

30:03the existing compression because we have

30:05a little bit in year one salary study, a

30:07little bit in year two, and we expect

30:09them to address it in year three so that

30:12there will be some modifications. Can we

30:14fix it entirely? Most likely not. When

30:17we originally did our year one full

30:20employee classification study 3 years

30:23ago,

30:24that total was going to be in excess of

30:26$3 million to fix all compression, get

30:28to the market, and so that's why we did

30:311 year at what we could afford and then

30:33incrementally did 3 additional years

30:36so we could get to 100% of market. We're

30:38now seeing a market kind of curve out

30:41that it's not as volatile as it was

30:42before, and so we're seeing you know,

30:44pay raises not go up as as increases as

30:47much as they have. And then lastly, you

30:49guys have been kind enough to give

30:51larger than normal COLAs in the 3% range

30:54to help us offset

30:58the market to kind of keep us

31:00comparable. So, what we're requesting

31:02today, and at least here in the entry

31:03questions we have two,

31:05is to adopt the Appendix A as stated at

31:075% below what was adopted in July, and

31:09moving forward that will be the new

31:11starting salary.

31:13>> Questions?

31:16>> I'm imagining that's pretty common to

31:18have a probationary starting and then

31:21bumps up. Do you think you'll have any

31:22trouble communicating that with

31:23recruitment or

31:25>> It can impact

31:27recruitment overall because that is

31:31um

31:32Yeah, it impacts the starting rate for

31:34everyone.

31:35Um of course, there's not taking away

31:36any opportunities for growth for

31:38internal existing employees. You got the

31:415% once you've been here 6 months that

31:43he mentioned.

31:45If you're promoted, you get another 5%

31:47or you are moved up to the lowest rate

31:51in the new pay range. But nine times out

31:53of 10 we're giving the 5%. Um then you

31:56have educational incentives. You also

31:59have certifications that you can get

32:01compensated for, so it doesn't take that

32:03away. But yes, it impacts not only

32:07recruiting but retention and the morale.

32:10So, it's something that we do have to

32:11address. We initially addressed it by

32:14allowing the Appendix A to only progress

32:17at half the rate or 50% of the rate of

32:19the COLA, but we're still encountering

32:22this compression and it's to the point

32:23we can't ignore it across the board.

32:26>> All right. Thank you.

32:28>> Thank you.

32:29>> There are not any other If there's no

32:31other questions, then I'll ask for a

32:32motion to move to approve them.

32:33>> So moved.

32:34>> Second.

32:35>> All right. Thank you.

32:37>> Thank you.

32:38>> Item number is discussion of Brownsville

32:40program application for our site B site.

32:45>> So, I would ask if we could suspend this

32:47for just a moment

32:48>> Sure.

32:48>> and progress to the additions and

32:50updates and I can give you an update

32:52um the strategic plan itself because

32:54Michael needs to present the Brownsville

32:57program as he is working on it.

32:58>> Got you.

32:59>> I do it this way all the

33:00time.

33:01>> Okay.

33:01>> Um but I said if we got to that point

33:03>> Just Okay, that's fine. We can put a pin

33:04in it.

33:05>> If you're okay with that.

33:06>> Yeah, of course. That's fine.

33:08>> Um so, what you're seeing before you now

33:10is um the strategic plan. It's mostly

33:13recently revised. We've met with every

33:16single department and went over our

33:18previous strategic plan and they've

33:20given updates to the plan.

33:23So, now we're in a position where we can

33:24post this strategic plan publicly and

33:27re-adopt it after 3 years. The last one

33:29was in 2023. This is the 2026 plan. And

33:32so, I kind of want to go through the

33:34strategic plan and kind of show you the

33:36inner workings of it, how you can access

33:38it, and um answer questions for members

33:41of the public. What we hope this does is

33:43provide the additional transparency that

33:45our public expects. So, they can see

33:47exactly what things are going on in the

33:49city. Often times, if you don't tell

33:52your story people will tell your story

33:54for you. You don't believe me, go to

33:55social media and everybody has an

33:57opinion about what we're doing.

33:59Um this gives one single picture that

34:01provides an accurate picture among every

34:04department across the city. So, this is

34:06a um it can be printed. It's close to

34:08400 pages. If we decide to print it, we

34:10chose not to. Um so, if you need a

34:14printed copy, I'm happy to do the full

34:15plan. If you want the condensed plan, we

34:17can do it as well, but it's always

34:18available, accessible, um and very easy

34:21to navigate on this platform.

34:23Uh

34:24one thing I will show you is that on

34:26ClearGov's plan, we'll have a

34:28Thomasville page that we can publicize

34:31and it gives all of our data. It gives a

34:33democratic demographic snapshot of our

34:35community, where our home values are,

34:37where our medium household income is.

34:39This is data that they've aggregated um

34:42to help us show a picture of what

34:44Thomasville is. Our revenue and

34:46expenditures dating back pre-2011,

34:49I believe. Uh demographics. And there's

34:52no debt listed on here, but I'll I'll

34:53give you time to peruse over that as you

34:55have time. Um as we look at the actual

34:57strategic plan itself, um there's an

35:00introduction letter from the manager and

35:02myself here that talks about what the

35:04strategic plan is, what it's not. Um

35:07there is a demographic page in here that

35:09connects back to the data provided by

35:11ClearGov.

35:15We got your pictures in here so folks

35:16know who you are um and what your roles

35:19are within the city.

35:22Also leadership team.

35:25Organizational structure.

35:27The planning process that went into

35:29developing the strategic plan. We talk

35:31about how we met with council and

35:33established the next portion which was

35:35the mission, visions, and values for our

35:37community to determine, you know, the

35:39guiding post that directs us in

35:42everything uh city related.

35:47We reviewed the previous SWOT analysis

35:50that was done last January with city

35:51council and that data's all uh mapped

35:54out here.

35:55And that became the guidance for when we

35:58met with departments to set strategic

36:00priorities and then develop our plan

36:03accordingly.

36:08Our strategic priorities remain the same

36:09as published on all of our publications,

36:12our signs, uh but again sustainable

36:15growth and development, infrastructure

36:17renewal, economic development, community

36:19safety and well-being, environmental

36:21stewardship, effective governance and

36:23leadership.

36:25I think this is important for us to

36:26publish this information for folks to

36:28see it. So, not only do they see what

36:30your priorities are, but they can also

36:32hold us accountable for those same

36:34priorities. Um I had a community member

36:36reach out and say, "Hey, you know, I

36:38think it's important for you to know

36:40something." What do you got? Well,

36:41environmental stewardship's one of your

36:43six city strategic priorities. I'm like,

36:45yeah. And they said, have you considered

36:46recycling at some of your public events?

36:48And I'm like, no, that's a great idea.

36:50Thanks for holding us accountable.

36:51That's something we can incorporate. And

36:53so, it's a it's a two-way street. It

36:55opens a dialogue between us and the

36:56community to ensure that we're providing

36:58the level of services that you expect us

37:00to

37:01and then they can also again hold us

37:02accountable and say, you said this was

37:04important to you, but what are you doing

37:06to accomplish those goals?

37:07Innovative growth and development or

37:09sustainable growth and development is

37:10another one of those areas where we said

37:12we will do these things and we are doing

37:14that in the the variety of tech

37:16innovation that we're rolling out. And

37:18so, it's a way for the public to see

37:20what you said is important and how we

37:22plan to do it.

37:24Um this is a live snapshot from this

37:27point forward where it says plan status

37:29and progress. And so, what you'll see is

37:31that the plan officially kicked off in

37:33July where we started moving forward

37:36with our objectives and our strategic

37:38initiatives to carry out those

37:40objectives. And so, now department

37:42managers have their own established

37:44portion of the strategic plan where they

37:46set up what their objectives were going

37:47to be, how they were going to carry out

37:49their objectives. And I'll show you what

37:50that looks like. What initiatives did it

37:52take to carry out that objective? And

37:54we've tried to keep it in manageable

37:56chunks. You can see overall there's

37:59close to 300 initiatives initiatives

38:01there. There's 37 future initiatives.

38:04249 of those are on track. We have eight

38:07that have already been completed this

38:08year. One is minor disruption and one

38:10not started. And so, that can be a

38:12variety of reasons, but the goal in each

38:15individual department is not only to to

38:16track the initiatives. So, when you have

38:19a goal, you say, we want to better

38:21communicate with the public. That's a

38:23goal. For us, a strategic initiative is

38:26how do you carry out that goal? You

38:28could have 10 strategic initiatives to

38:30carry out this goal with better

38:32communication to the public. An example

38:34of that might be, we want to communicate

38:36with our public better, so we're going

38:38to include a statement in their water

38:40bill. Um we're going to use the five

38:41lines and the characters available in

38:43the water bill to communicate with them.

38:45Um we met with Sam Oshinski in emergency

38:47management last yesterday about pushing

38:49notifications out to the public using

38:52um, Genesis as a way to say, "Hey, your

38:54water bill's overdue."

38:56Um, and set up payment plans and that

38:57sort of thing. So, there's

38:59different initiatives that we want to

39:00set up to accomplish that goal. So, when

39:03you see the goal overall the strategic

39:05initiatives completed, it might mean

39:07that it completed that one initiative,

39:09but there's other initiatives tied to

39:11that goal.

39:13You guys have questions so far?

39:15>> [cough]

39:17>> Um, so we use the balanced scorecard

39:19perspective um, to develop the strategic

39:22plan. And basically what this balanced

39:23scorecard perspective is is when you

39:25look on the left side here, it means

39:27that if you're hitting all of the

39:28targets on your scorecard, much like a

39:31uh,

39:32you know, a baseball team, football

39:33team, you're balancing the card. If we

39:35were to put all of our money into

39:37learning and growth, then we're leaving

39:39out customer, stakeholder, financial,

39:41and learning internal business

39:42processes. And so, what we've done is

39:44said, "Okay, as you're establishing your

39:46objectives,

39:48we need to put some in each category."

39:50Okay, so each department has objectives

39:52in each category.

39:54So, customer and stakeholder uh, is our

39:56first category and that's how we serve

39:58our customers and anything related to

40:00the services we're going to provide for

40:02them.

40:03Financial

40:05uh, is how we're spending our money. And

40:07so again, we can track projects and say,

40:10"When are the RMS systems going to be

40:12put in?" And we put it on there as an

40:13objective. And as we're going through

40:15the implementation process, you'll see

40:17the line start climbing as they make

40:20progress until it reaches completion.

40:23Internal and business processes is how

40:25we manage things internally. Could be

40:28the strategic plan. Um, it could be how

40:30you operate day-to-day within inside of

40:32your department. And the last is

40:34learning and growth. We felt it's

40:35important for our staff to continue

40:36learning, uh, growing, getting

40:38certifications, improving the services

40:40and efficiency. And so, we want them to

40:43balance the scorecard.

40:45Um,

40:46as we go into the different ones, you

40:48can kind of see

40:50the different objectives. And there's a

40:52whole host of them. What we wanted to do

40:54is put this in front of you, give you

40:56enough time, couple months to review it,

40:59and then we can adopt it and publicize

41:01it. And then as we move into our

41:02strategic planning sessions in January

41:04and forward,

41:06again, work through if there's things

41:07that need to be added or changed. But we

41:09also have the framework by which we're

41:11going to operate on now. More

41:13importantly, because the staff have

41:15worked so hard and put the data in here,

41:17they have start dates, end dates,

41:19regular check-in schedules. It sends

41:21them emails and says, "Hey, it's due for

41:23check-in. Can you please check in?" And

41:25so it it also gives us a dashboard so we

41:27can see what initiatives are behind. And

41:30so Michael and I can get a better

41:31picture of the city. Often times you get

41:33a weekly update. The weekly update

41:35targets one or two departments. Normally

41:36that's the departments that are

41:37reporting stuff back to us. A lot of

41:39times other departments get left out.

41:41This gives us a dashboard to see, okay,

41:43what can we highlight in other

41:44departments so everybody gets the

41:46spotlight. They can understand where

41:48we're at across the city because there's

41:49so many great initiatives that if we

41:51don't ever tell our story, someone else

41:54will try to tell it for us.

41:56So, let me go back to some of the

41:57initiatives. So, this initiative for

42:00customer stakeholders deliver reliable,

42:02responsive, and user-focused radio

42:04services that support safe fire, police,

42:06and city operations.

42:08I know this is something that Sam was

42:10working on because he manages the radio

42:12systems. And then he has each of his

42:13initiatives laid out below it. Collect

42:16informal feedback from police, fire,

42:18Guilford Metro, and key city users to on

42:20recurring radio issues and service

42:22needs.

42:24Prioritize critical public safety radio

42:26issues and communicate repair status

42:28and estimate a resolution time to

42:30affected users and supervisors. So, I

42:31can click on that and I can see in this

42:33particular initiative he's made 25%

42:36progress. It is on track. It was last

42:39dated September the 28th, and he's

42:41updating fire station alerting to allow

42:43Randolph County 911 to page into

42:45Thomasville. And so you can kind of get

42:47a feel for

42:49projects that each individual

42:50department's working on. Um and some of

42:52it's cross departmental. So, if if

42:54improving commercial customer

42:56communication is important for uh

42:58billing and collection, most likely it's

43:00important for other departments, too.

43:02So, you'll see other departments tag on

43:04initiatives for that objective.

43:07This one in particular, uh you can see

43:0950% progress, it's on track. Uh he's got

43:11a radio service log, um established on

43:14SharePoint so they can track

43:16this data. And so, again, everything

43:18we're doing now is in in

43:21you probably can imagine that Michael

43:22and I go from one proverbial fire to the

43:25next. And so, this is an effort for us

43:28to try to be more strategic and lay out

43:30and say, "Oh, this is what's important

43:31to council. This is what's depart-

43:33important to departments, and how do we

43:35achieve that? Is this a 1-year, 3-year,

43:37or 5-year goal?" And it gives the

43:39departments, again, the opportunity to

43:40track their progress, but more

43:42importantly, now that they've done the

43:44legwork and they've done hard work and

43:46heavy lifting, put the start dates, end

43:48dates, next year, we can clone the plan,

43:51all this data stays there, and they can

43:53modify accordingly. So, it's a a plan

43:55that once it's established, um it

43:57continues and moves forward. And it

44:00sends updates to the departments to say,

44:02"Hey, it's time to check in on this

44:03alert." And so, they don't forget, and

44:05we don't have a lot of initiatives that

44:07look like they're missed.

44:08The um

44:10implementation process we're going to

44:11spell it out how it's working. Um

44:14performance management and

44:15accountability.

44:16Um and then annual review and updates.

44:18We talk about how it's important for us

44:19to continue doing progress updates. This

44:21is not a a static non-mobile dust bunny

44:24on a shelf. This is something we use on

44:26a daily basis to

44:28um to look at and say, "Where are we at?

44:29How are we coming along with each

44:31individual project or initiative?"

44:34So, questions you guys may have

44:38about the strategic plan itself.

44:42>> Questions? Turn

44:43>> I have a question, but I I got to say

44:52>> No questions, but I want to tell you

44:54guys, y'all make us look good.

44:58>> [laughter]

45:00>> This is This This is great. This is

45:02awesome for the

45:04for us and also for our residents.

45:07>> Definitely, and

45:08adding to Councilwoman Seller Sanders,

45:11remember when we were talking about this

45:12last year and so to see the actual data

45:14to be able to implement it now is super

45:16exciting cuz you know, often times

45:18strategic plans can be like you said a

45:19little bit dormant, but this is a living

45:21breathing document that allows for us to

45:23really be accountable and also our

45:24community to hold us accountable. So, I

45:26love to see this and I'm excited for us

45:28to keep need to keep moving forward so

45:30that we're being really transparent with

45:32what we're trying to do.

45:35>> Thank you for that.

45:36Our goal with this is to give you a

45:38couple months to settle in on it, read

45:39it, review it. If you see things that

45:41you're like, I think we should add other

45:42things, those are topics for the future

45:44strategic planning session, but at least

45:46now, you're going to know where we're at

45:48citywide across all departments. Um, I

45:51encourage you to access it digitally. I

45:53know it's a lot of folks won't have

45:55printed copies, but this is because it's

45:56a living breathing document, when a

45:58department manager goes in today and

46:00updates it, it reflects live inside of

46:02this document. So, I want to make sure

46:03you're getting the most latest greatest

46:05up-to-date information.

46:08Good deal. Thank you. Appreciate it.

46:10Yep.

46:11Good deal.

46:12Yeah, you're welcome. Any other

46:13additions from

46:15you, Eddie?

46:16No, [snorts] sir. Okay. I do have one,

46:18um

46:20Wendy and I have been emailing about you

46:22know, last month we appointed one member

46:24to historic preservation and one

46:26as the alternate. We can actually make

46:29the alternate a full-time member as

46:31well. So, if you all are okay with that,

46:33we'll cuz there was another seat we we

46:35just somebody hadn't sent in their

46:36information yet. So, um I'll we'll just

46:39make that motion to make that person a

46:41full-fledged member versus an alternate.

46:43>> Okay.

46:44>> Okay.

46:46Would that get us full on historic

46:47preservation?

46:48>> That will put us full without an

46:50alternate. We'll need an alternate.

46:51Yeah. Yeah. Perfect, Tommy.

46:54Good.

46:56All right. [snorts]

46:57Um

46:59we will jump back out We'll give Michael

47:01just a second to get settled, but we'll

47:02jump back to the discussion of the

47:04Brownsville program application for site

47:06plan plant B.

47:10>> Welcome.

47:10>> Good morning.

47:44>> How was the audit?

47:46>> It was great. It was perfect.

47:47>> See what happens when you're out here?

47:50>> Don't Just don't make that up.

47:57>> All right.

47:57Uh Brownfields program. So

47:59>> Can you put on your mic, please?

48:01>> No.

48:03Um

48:05a couple of years ago

48:08for those

48:10that

48:10are new to council, probably almost all

48:13of you were not on council when we

48:15started talking about this.

48:17Um

48:18the city through a series of of

48:21transfers of property and trying to get

48:23plant A Excuse me, plant B cleaned up,

48:27um

48:27ended up

48:29acquiring plant B

48:32uh on Fisher Ferry. And uh the state

48:35granted us a 400,000

48:38grant to tear down that building through

48:40some sort of

48:42um

48:43direct grant program.

48:46Um which we did. Uh we own the property.

48:50The um

48:53there are contaminants on that site. Um

48:57I I

48:58don't speak uh chemical analysis, so I

49:02can't tell you exactly what they all

49:03are.

49:04They're in the package that I that I

49:06gave you.

49:07Um

49:08so

49:09whoever owns that property potentially

49:12has responsibility for that property.

49:14But there's a program called the

49:16Brownfield program. It's been around for

49:18I don't know, 30, 40 years now

49:21that allows for a owner that did not

49:26create the problem

49:28to seek protection

49:31under a Brownfield agreement with the

49:33state

49:35and by extension with the federal

49:37government.

49:38That will basically give us some

49:40liability protections if there's any any

49:44contaminant issues. That

49:47and what it what the agreement is is

49:51that we agree

49:52that we're going to be responsible

49:55for not disturbing that

49:59waste

50:00and creating a bigger problem,

50:02basically. Um and that if we redevelop

50:06the property that we redevelop it with

50:09state responsibility

50:12overseeing it to make sure that we

50:15do whatever we need to do to protect the

50:18environment, protect the people. Um so

50:21we started down the process of the

50:23Brownfield agreement a couple of years

50:25ago. Um it was um

50:30for numerous reasons it it basically

50:32just got off of our plate. Uh and we got

50:35to the point where we were ready to move

50:38forward on the agreement. Uh but we just

50:40never did.

50:41Uh so in order to restart that effort,

50:46uh I need you to approve this agreement.

50:50Um then there'll be a public comment

50:52period for at least 30 days.

50:55We'll make we'll do a public notice in

50:58the paper and on our Facebook page. We

51:00also have to notify [snorts]

51:02property owners that are surrounding the

51:04area uh to give them an opportunity to

51:07comment.

51:08We don't necessarily have to hold a

51:10public hearing. It's just a public

51:12comment period.

51:14Then when they get that information

51:17back, they being the state uh DEQ get

51:20that information back, they'll determine

51:22whether we need to also hold a public

51:24hearing or not. Uh but they make that

51:27decision. We don't make that decision.

51:30Then if the if everything looks good,

51:32the comments don't affect any of the

51:35what we're proposing and and how we're

51:37going through the process, um then we'll

51:41uh

51:42enter into what we'll file

51:45deeds that will run with the land

51:48uh that lock in this brownfields

51:50agreement and put it on notice we we it

51:53actually gets filed in the register of

51:55deeds that this is a brownfield

51:57property, things of that nature.

52:00Because the site is in a 100-year flood

52:05plain, most of the property is

52:09essentially unbuildable. Um so it is

52:13what we have determined is

52:15it really is best for some sort of

52:16parkland. Um

52:18and so that's what we tell the state

52:21that we're we potentially are going to

52:22use it for.

52:24But we're under no requirement to do

52:27anything with the property, you know,

52:29but if we're going to develop it,

52:32then the expectation it was to be

52:34developed in some form of parkland. Um

52:37it could be natural area, it could be,

52:39you know, other, it could be courts, it

52:41could be things of that nature, as long

52:43as we address the waste that's there

52:46and either remove it or cap it,

52:50depending on what's the best way to go

52:53uh with with concrete asphalt or or new

52:56clean dirt, whatever it may be.

52:59It also, by going in the brownfields

53:02program, it also gives us the

53:03opportunity potentially apply for

53:06federal or state grants that would help

53:08with that cleanup. Um so that we could

53:12actually use the property and and get

53:14some grant funds that are not available

53:16to us if we're not in the program.

53:18>> [snorts]

53:18>> My recommendation is that you go through

53:21the process cuz we want the legal

53:23protection um of the brownfield

53:26agreement. Uh

53:28It it doesn't guarantee uh that that

53:31we're absolutely uh protected, but uh it

53:36gives us a much stronger leg if we ever

53:38were to get sued by somebody over this

53:41uh property. And it would be sued over

53:44the property because of the

53:45environmental concern. Um and uh

53:49So that's that's the process.

53:52Like I said, we we are no obligation to

53:55start a redevelopment project on that

53:57property or do anything to it other than

54:00continue to use it way the way we are

54:01now, which is basically a storage area

54:05for debris um

54:07for during storms or leaf time, you

54:10know, where we need a place to dump

54:12>> Would the

54:13widening or the straightening [snorts]

54:14of Fisher Ferry affect any of that?

54:16>> So the area that is in the right-of-way

54:19of Fisher Ferry, one of the reasons why

54:21we delayed this project was to get that

54:24figured out with the state. And they've

54:26now purchased that right-of-way from us.

54:29So we are we're finished with that and

54:31that land area is not in the brownfield

54:34agreement. Uh

54:36so they are responsible for it. Right,

54:38so NCDOT is responsible for it. Now some

54:40of that land potentially comes back to

54:42us once they're finished construction

54:44and we'll we have to look at that at

54:46that point whether to then do it a a a

54:49revised agreement and bring that land in

54:51or just stays out of the agreement. But

54:53that becomes that all that right-of-way

54:55currently is now DOT's problem.

54:58And they will probably have to do

55:00certain

55:01uh

55:02uh

55:03efforts to clean that land.

55:07Yes, it seems to be. I have had no

55:09updates

55:10on that project.

55:12I don't know

55:15I don't know if the reason why the state

55:18has not started actual construction on

55:20that project is due to they just can't

55:23settle this one site with the railroad

55:27or that there are multiple sites across

55:30the state that DOT and the railroad are

55:32negotiating and they don't want to

55:34negotiate just one of those. They're

55:36they're trying to take care of all of

55:38them. I don't know what what the hold up

55:40is. Clearly it's it doesn't seem to be a

55:43It's certainly not a priority for the

55:45railroad even if it's a DOT priority.

55:51Yeah. So

55:53that So that's what this agreement is

55:54about

55:55and I just need obviously council to

55:58approve the agreement

56:00so that we can move forward.

56:02>> I appreciate this, Michael, especially

56:03the proactiveness on this agreement. I

56:05remember we were talking about how

56:07expensive it would be to redevelop this.

56:09So especially hearing the possibility of

56:11us being able to get some of those state

56:13or federal grants to be able to help

56:14with the cleanup is really amazing to

56:16hear. So I I'm really thankful for you

56:18to doing some of this research.

56:21>> I know several years ago when we talked

56:22about this there was some question to

56:25the

56:26the brown's

56:28brown's field pot of money that was

56:30empty at one point. I'm assuming funds

56:32have been

56:33redistributed to

56:35>> You never know

56:37the

56:38the funding comes

56:39>> off my mind.

56:41The

56:42the money comes from federal money that

56:44are comes to the EPA.

56:47Usually brownfield funding

56:49does get funded every so often with a

56:51big chunk of money because

56:54a lot of it gets used for economic

56:55development purposes. And so you clean

56:58up a site

56:59and it can be turned in back into viable

57:02land and and be done. Ours is a little

57:06different because it's it's not going to

57:09go that route most likely.

57:11Um or at least a very small piece of it

57:12could, but anything else would would

57:14most likely be parkland. We can change

57:17that. We we can renegotiate with the

57:19state, but you know, because so much of

57:21it is 100-year flood plain, I just don't

57:24see us going that route. Um if anything,

57:27I would see us going

57:29Yeah, and you know, something with

57:31stormwater protections for those cuz

57:34that's North Hamby Creek, and it does

57:36flood at times. So, it would be there

57:38may be ways to to create watershed ponds

57:42and things of that nature, return some

57:43nature to the middle of the city. Um so,

57:47um you know, but that's I I

57:49I'm not I'm not suggesting that that's

57:52next year's project. That's We've got a

57:54lot of other things that we're working

57:55on, so.

57:57>> Good deal. All right, so

57:58>> we'll find us a grant, so it'll be good.

58:00>> Are you Are you going to bring Do you

58:02need us to go ahead and move this? Okay,

58:04yeah.

58:05If I can have a motion to move that to

58:06receipt.

58:06>> Motion to move that to receipt.

58:08>> Second.

58:08>> All right, good deal. Any other

58:10additions or updates?

58:11>> Uh

58:12I have I do have a request from you all

58:14Mhm. to you all.

58:16Um

58:17I am still working on

58:19finding a

58:26Take

58:28Take a card and pass it to those.

58:32Did you get the ace of diamonds?

58:35>> There you go.

58:36>> So, I'm I'm still working on

58:38uh

58:39making contact with

58:41a company that would

58:43a consultant that would come in and do

58:44some sort of retreat work with the

58:46council. Um

58:48and

58:49one of the things I wanted to ask you a

58:52few questions. I'd like you to write

58:54down your answers, not discuss the

58:56answers, not share your answers.

58:58But I'm trying to gather information

59:01about what you are perceiving the

59:05purpose of

59:07meeting with with a consultant, uh

59:10Yeah.

59:11trainer, um

59:13communication specialist, whatever

59:15whatever

59:16I don't know what you're going to say.

59:18Um so that we can

59:20find the right company to to do that

59:22work, uh the the right consultant.

59:25Um

59:26and so these are the This is first

59:29question for you.

59:30Okay?

59:31Try not to cheat.

59:32These are your answers. You don't even

59:34have to put your name on this, although

59:36probably good to figure out who wrote

59:37it. It's not critical.

59:40Is

59:42do you want to actually go through this

59:45process? You personally, do you want to

59:48go through a process that you meet with

59:51as a group, you're meeting with a

59:53a person or persons that will walk you

59:56through

59:58whatever it is that the next questions

1:00:00are going to be? Are you willing to put

1:00:02that effort into that type of meeting?

1:00:08And that's really just a yes or no type

1:00:10type question.

1:00:15You want to get that answer?

1:00:21Next question.

1:00:23List List up to three things

1:00:27that you want to get out of that

1:00:29meeting.

1:00:31So that we can figure out what is it

1:00:33that the majority of people want to

1:00:35accomplish

1:00:37in that meeting. Up to three, you don't

1:00:39have to put three.

1:01:57>> And if you finish that question, the

1:01:58hardest question of all,

1:02:02what day of the week or day versus

1:02:05evening

1:02:07would you want to meet? I would expect a

1:02:10two to three hour

1:02:13meeting.

1:02:17Day, evening, weekend.

1:02:20>> You're trying to do this before January?

1:02:22>> I'm trying to do it before January.

1:02:39>> [clears throat]

1:02:41>> Those are the three questions, so

1:02:43whenever you're finished,

1:02:44you can slide all the cards back to me

1:02:47and we'll review them and

1:02:48see what we learn from it.

1:03:09Just write.

1:03:22>> Thank you very much.

1:03:23All right, so we already went over the

1:03:25update on the park.

1:03:27Did you want to do an update on the

1:03:29Strickland

1:03:30>> I would like we talked about the table

1:03:32we can do an update on Strickland too if

1:03:34you like.

1:03:34>> Okay, what about Central?

1:03:37>> No.

1:03:37>> Okay.

1:03:38>> I can give

1:03:38>> You want to give

1:03:39>> Yeah, sure.

1:03:39>> two two minutes?

1:03:40>> Yeah, fair enough.

1:03:43This will take place in my recreation

1:03:45report here in committee.

1:03:47>> [laughter]

1:03:48>> There you go.

1:03:49>> Yes, so two obviously we have two

1:03:51ongoing projects.

1:03:53We'll start with Central Rec. The first

1:03:55thing on Central Recreation Center is it

1:03:57went to bid, opened bids on Monday and

1:03:59only one bid arrived. When that happens

1:04:01for a project,

1:04:03we're able to we're going to rebid

1:04:06and then hopefully have more response.

1:04:08We had 11

1:04:10interested parties.

1:04:12So we expected three to arrive, but

1:04:15everyone says they won't jobs and things

1:04:17of that nature and then when these

1:04:19things happen that sometimes it doesn't

1:04:20go the way you plan.

1:04:22By state statute we have to go back out

1:04:23for 2 weeks. With that said, then we can

1:04:26have one responsive bidder on that

1:04:29project. Hopefully they would be in

1:04:31line, but the city could still we've

1:04:33been discussing with our

1:04:35purchasing officer what we do.

1:04:38And if we don't

1:04:39have a responsive bidder within the

1:04:42budget that's set for the grant money

1:04:43and everything of that nature, we would

1:04:46be able to potentially go out and seek

1:04:48just a pickleball installer, price that

1:04:50out, and then concrete installers and

1:04:52concrete companies

1:04:54to piecemeal the project to complete it

1:04:57for the Central Recreation campus.

1:05:00So with that said,

1:05:03it's not the end of the world. Sometimes

1:05:05that happens. I know that Daryl's and

1:05:06others have faced it with bidding. You

1:05:08expect to get three, but we're going to

1:05:09follow the state statutes to do it

1:05:10correctly for the Central Rec project.

1:05:12So

1:05:13that's where that one is. Strickland

1:05:15Senior project, there were some things

1:05:17that needed to be added within the

1:05:18contract. Not anything adjusting the

1:05:20pricing, but added for CDBG requirements

1:05:23within the requirements of the grant um

1:05:25from

1:05:26um HUD and in the North Carolina

1:05:29Department of Commerce. Um those have

1:05:30been added within um to make sure that

1:05:32we're in line with the bidding process

1:05:35with our administration for that

1:05:36project. Um right now on site, there's

1:05:39environmental review occurring.

1:05:41Um that is a requirement of the HUD and

1:05:45requirement of um some of the federal

1:05:47funding. Um so that is occurring now

1:05:50through PTRC managing that with McGill.

1:05:53That will now be able to move forward

1:05:57and release With that happening, we're

1:05:59able to begin some of the administrative

1:06:00functions uh for the project. Um with

1:06:03the project budget, there were some

1:06:05local dollars that were applied to the

1:06:06project. That allows us to use those to

1:06:09move forward to get to the big pot to

1:06:12get reimbursement rolling. Obviously,

1:06:14we're under a big time crunch, so we

1:06:15want to continue that process as quick

1:06:17as possible. Um but we have surveyors

1:06:20and folks already set up to get on site

1:06:23to keep that project rolling.

1:06:24>> So we're still on track?

1:06:25>> Right now. We need to get moving. Um

1:06:27it's a tight track and it'll continue to

1:06:29be a tight track.

1:06:30>> we see as soon as the money.

1:06:31>> Right. And so our goal is to continue to

1:06:33get to um

1:06:35what you all have before you in

1:06:37September showed an April contract

1:06:40initiative for the Strickland Center.

1:06:42That's been pushed to a February

1:06:44contract to help us get to the spring to

1:06:47really break ground and continue to

1:06:48expend funds that way we're able to be

1:06:50reimbursed for funds. Um so some of

1:06:52those things we talked about on our rec

1:06:54committee. Um once we get a

1:06:58GC under contract, you get a pay app and

1:07:00things of that nature that will show

1:07:01some of the ways the funds are being

1:07:02expended. Um hopefully, we don't have to

1:07:05get to reasoning with the state of see

1:07:08we're going to spend all your funds that

1:07:10have been provided, but those are ways

1:07:11that we think that if we can get moving,

1:07:14some of our heavier pay apps are usually

1:07:16at the beginning of projects. Our

1:07:18largest pay apps for this facility were

1:07:20during the initial phases of the

1:07:22construction, so we hope to pay that

1:07:24down as we move forward. And again, it's

1:07:26three pots really. Um it's a fiscal year

1:07:2920 grant, a fiscal year 21 grant, and

1:07:33then local funds. And so, the fiscal

1:07:35year 20 grant are the ones that have to

1:07:36be expended the quickest. Fiscal year 21

1:07:39can be expended over time. It's not a

1:07:4127, it's a 28. Uh and then obviously,

1:07:44you have the autonomy um with the local

1:07:46funding. So, um

1:07:48it's moving. Um but it it's There's a

1:07:51lot of moving parts to it as well. So,

1:07:54um we've already gotten some of the

1:07:56things blocked off for the site because

1:07:58we do expect when it comes time for

1:08:00construction, the way that the nature of

1:08:02that site and the way it's set up, the

1:08:04park will be closed. So, uh it it would

1:08:06be something where there we're not going

1:08:08to try to rent the building and then

1:08:09keep an access into the space. Um we're

1:08:11trying to make sure that it's closed off

1:08:14and able to to move forward.

1:08:16[clears throat]

1:08:17>> Good deal.

1:08:18>> Yep. Thank you.

1:08:19>> Cool. Thank you.

1:08:20>> Thank you.

1:08:20>> Thank you.

1:08:21>> Appreciate it.

1:08:22>> So, we'll jump down to committee

1:08:23reports. Corey covered most of

1:08:25recreation that we had the other day. He

1:08:26also passed out the flyer that's got

1:08:28some of the dates for the senior club.

1:08:30>> Yes.

1:08:30>> That you all are invited to for their

1:08:33>> the Thanksgiving lunch says 12:30. It is

1:08:3612:00. Molly accidentally put 12:00 on

1:08:39her calendar, so the seniors think it's

1:08:4112:00.

1:08:42>> Got to go with it.

1:08:43>> So, we're going with it.

1:08:44>> That's right.

1:08:45There you go.

1:08:47Yep. The only other um Lake Tomahawk

1:08:49Commission met last night. Um

1:08:51I believe the only thing handled was the

1:08:53election of the officers we do every uh

1:08:56year. Um Scott was reelected as chair of

1:08:59that committee and Guy Cormon is as vice

1:09:02chair. Morgan, anything else that um I

1:09:05short meeting.

1:09:06Um so, that's all I have. Um Erica,

1:09:09anything from your

1:09:10committee? Okay. I I will say on on

1:09:13behalf of beautification, they are hard

1:09:14at work uh putting the Christmas

1:09:16decorations uh in in the windows

1:09:19downtown. That's a long process for them

1:09:21and and light up the holidays will be

1:09:23here before we know it. So, they're

1:09:25they're doing a good job with that.

1:09:26Lisa?

1:09:28Nothing? Okay. Thanks.

1:09:30>> We've got some pop-up shops downtown.

1:09:32Everybody go visit them. They're really

1:09:33cool and it's exciting to see some

1:09:35movement there. Pace has been working

1:09:37hard. I've been an absentee

1:09:39uh member and I appreciate y'all's

1:09:41patience.

1:09:42And the semester's almost over.

1:09:44>> Thank you. Mr. Mayor?

1:09:46>> Um

1:09:47Housing Authority, no meeting, so no

1:09:49report at this time.

1:09:50>> Okay. Thank you.

1:09:52Doug?

1:09:52>> Uh we haven't had a meeting. Uh we have

1:09:54one scheduled coming up, but we haven't

1:09:55had one here recently.

1:09:57>> Okay.

1:09:59>> Uh Murder and Mayhem was uh rescheduled

1:10:02or canceled. And a lot of folks on

1:10:03social media were really looking forward

1:10:04to that, so it was really good to see so

1:10:06many in the community were really

1:10:07looking forward to that this year. Uh

1:10:08but hopefully the rain will keep us uh

1:10:11for next year.

1:10:13>> Dana?

1:10:14>> Tourism, um

1:10:16gearing up for the Christmas parade, so

1:10:18everybody get your entries in, sign up

1:10:20for the Christmas parade and we'll see

1:10:23you then.

1:10:23>> There you go. All right, good deal.

1:10:26Anything else for personnel finance?

1:10:29All right, then I will ask for motion to

1:10:30adjourn.

1:10:31>> Motion to adjourn.

1:10:33>> Second.

1:10:33>> Thank you. We're adjourned.

1:10:55>> Hey, I would like to call to order the

1:10:58Public Safety Committee meeting.

1:11:00Uh our first order of minute of

1:11:04our first

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