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HomeMy WebLinkAbout01112007Specialcmc~ $E ~T HOME OF PELICAN ISLAND SEBASTIAN CITY COUNCIL MINUTES THURSDAY, JANUARY 11, 2007 - 6:00 P.M. CONTINUATION OF REGULAR MEETING FROM WEDNESDAY JANUARY 10, 2007 CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA Mayor Burkeen called the Continuation Meeting to order at 6:00 p.m. 2. The Pledge of Allegiance was led by Mr. Neglia 3. ROLL CALL City Council Present: Mayor Brian Burkeen Council Member Andrea Coy Council Member Sal Neglia Council Member AI Paternoster Staff Present: City Manager, AI Minner City Attorney, Rich Stringer City Clerk, Sally Maio Airport Director, Joseph Griffin City Engineer, Dave Fisher Finance Director, Shai Francis Growth Management Director, Rebecca Grohall Interim Public Works Director, Jerry Converse Stormwater Superintendent, Tim Walker Police Lieutenant, Greg Witt MIS Systems Analyst, Barbara Brooke A MOTION was made by Ms. Coy with a SECOND by Mr. Neglia to add an item to "Discuss Conduct at Meetings" failed on a voice vote of 3-1. (Paternoster-nay) (addition of items requires unanimous vote in accordance with procedures Resolution No. R-06- 26) Continuation of 1-10-07 Council Meeting January 11, 2007 Page Two ITEMS NOT ADDRESSED ON JANUARY 10, 2007 11. OLD BUSINESS 06.094 A. Conlon Landscaping Ditch/Swale Maintenance Agreement -Reallocate $89,690 ~s3-2os from Stormwater Pest/Weed Control Line Item and $12,258 from General Fund Contingency and Approve Second Year Contract Amendment Option for a Total of $376 948 Available to Conlon -Tabled Until January 10~' For Further Cost Breakdown Information (Cit~r Manager Transmittal 1/2/07, Analysis, Conlon Letter, City Manager Memo 12/14/06, Previous Backup from 12/13/06 Agenda) The City Manager presented staff report as set out in the agenda packet and recommended approval of the second year option contract with Mr. Conlon. Mr. Paternoster asked if the $376,948 will be for ditch and ROW mowing and if we would have to use any city personnel. The City Manager said the amount was intended to cover the cost for Conlon and it is possible that based on complaints that City personnel might have to be used, and the cost would then be charged out to stormwater. Mr. Neglia said he was concerned with the savings of time in renewing this contract rather than going out to bid. In response to Mayor Burkeen, the City Manager said some City personnel are being used to play catch up in the south area. He said he is fairly confident that Mr. Conlon's crews can do the job and do three cuts, depending on weather of course. Mr. Neglia asked if we are compensated by Mr. Conlon when we go in and the City Manager said if the City crew needs to do the work Mr. Conlon is not paid. Mr. Conlon said it is his plan not to use City staff, and complete north of 512 in 30 days, but the south end is more intense and requires a different approach and may take two months, so a full cycle will take about 90 days, and he only bills for what his crews do. Mr. Conlon said he carries insurance and the total cost will cover his work. He said the cost does not include hauling the debris away, that in the bid process 56 additional ditches were discovered, fast growth may precipitate the need for four cuts in the future, and some sections have to be done by hand. He said he has experimented with many different types of tractors and have found that clearing by hand is the best method at this time. The City Manager said we do not anticipate clearing away debris because most of the debris is gone but the number is still in the budget although not anticipated to be needed. He pointed out page 206 that shows a map of six sections of the City with specific charges for each of the section. He said as we get into the budget year we need to talk about a fourth cut. 2 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Three Louise Kautenberg, Sebastian, said her ditch was cut once in twelve years before Mr. Conlon got here and commended the City for the ditch maintenance program. Todd Klitinic, 1274 Barber Street, Sebastian, said his ditch was only mowed once in eight months by City crews. The City Manager said in the first year, the City had to catch up and get the hardwood and peppers out and now that is done, Conlon can begin to do routine clearing. Damien Gilliams, 1623 US 1, Sebastian, asked what the fee would be if he used City crews. The City Manager said the price is per sector and for any work the City had to do, the fee to Mr. Conlon would be pro-rated. Eugene Wolff, Wimbow Drive, suggested for the fourth mow, using an ultralow volume oil- less spray with micronear knapsack to get into small areas. On MOTION by Mr. Neglia and SECOND by Ms. Coy, the Conlon second year contract in the amount of $376,948 with reallocation of $89,690 from stormwater and $12,258 from general fund contingency was approved on a roll call vote of 4-0. 06.008 B. Award Bid for Unit Price Contract for Quarter Round Swale Improvements and 2o7-2s3 Defective Driveway Culvert Replacement Proiect as Specified by City to Timothy Rose Contracting Inc. of Vero Beach with Final Total Contract Not to Exceed $800,000 -Tabled to January 10th meeting for Corrected Bid Information (City Manager Transmittal 1/4/07, City Engineer Memo, 12/13/06 Transmittal, Proposed Agreement, Maps) The City Manager reiterated his recommendation in the agenda packet and said he did not have a recommendation tonight and would leave it to Council. Ms. Coy she was inclined to go with Timothy Rose because she believed that the City Manager would take care of the issues referenced in his references. The City Engineer he did not think there is any question that references for Tim Rose are in some cases problematic, and for Sunshine they are stellar. He said the City is strong enough to control the contractor and get more for our money, however, if this did not come to pass, the City could lose time in a rebid. He said he was confident we could manage the contract as long as we have the ability to terminate for cause, which needs to be spelled out very clearly in the contract. In response to Mayor Burkeen, the City Manager said a long term problem would be that you lose time if you have to tear out quarter round if it becomes necessary, and this would occur in small areas at a time and would be discovered almost immediately. He said City staff did the quarter round that is currently installed. The City Engineer said there is no obligation to use Rose for the driveway culvert replacement. 3 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Four Mayor Burkeen clarified that if we went with the higher bidder we may not inconvenience a homeowner if the project is done right the first time. Mr. Neglia said he was concerned for using Rose in case he walked off the job and left work undone that it would cost us more for City crews to come in and it is possible that the higher bidder would not want to come in and take over later on. The City Engineer said there is a clause that the City retains 10% until the job is completed. Mr. Paternoster read Rose's references as set out in the agenda packet. He said he had not received very good recommendations about this contractor, nor had the City Attorney or City Engineer. He said he had also asked for reconsideration on the Rose sidewalk contract based on his own investigation, noting there were drug problems with Mr. Rose's business, and the fact that the City Manager told him that there is a 70% chance the City would have a problem with Mr. Rose. He said this is too high for us to take a chance. Eugene Wolff, Wimbrow Drive, Sebastian, thanked Mr. Paternoster and said at a later date Sunshine's prices may not be the same but they are willing to stay at the same bid price now. John Oakes, Sebastian, asked why the City Manager felt comfortable with a 30% chance and perhaps there is a logical explanation. The City Manager said his guess is a shot in the dark, that this time we have someone on staff who will be watching, and that the City can service 47 additional homes if the low bidder is chosen. Joe Scozzari asked on the long term, do we know what type of concrete he will be using and is there a density chart. The City Engineer said there may be options for others to do the driveways and there would be independent testing. AI Manzi, Sebastian, asked if the whole City will be quarter piped and the Mayor said we would be doing portions of the City. He applauded everyone for having a nicer meeting tonight than last night, said swales are being filled in from new construction amongst older development, and asked why we are not insisting on silt fences and seeding on new construction. He was told silt fences are required. Damien Gilliams, Sebastian, asked how thick the concrete is on the driveways. The City Engineer said it must meet City code and will be subject to independent testing. On MOTION by Mr. Neglia and SECOND by Mr. Paternoster, the Timothy Rose contract was denied on a roll call of 3-1. (Coy -nay) On MOTION by Mr. Paternosteer and SECOND by Mr. Neglia, the contract with Sunshine was approved with a roll call of 4-0. 4 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Five 06.105 C. Reconsider Tim Rose Sidewalk Contract (City Manager Transmittal 1/4/07, (City 2s5-32s Manager Transmittal, Colored Maps Inserted in Packet) Mr. Paternoster said for the same reasons as in the quarter round issue, he would like to reconsider the Tim Rose sidewalk contract, and would rather use Jack Regan who last night got the annual sidewalk contract. The City Manager said while we were looking at sidewalks it was decided it was best to do sidewalk/swale work as speed and put in quarter round at the same time. He explained that if the existing Regan contract is used, with added sod cost, the existing ditch work will have to be eliminated. He said the areas that can be done this way are Main Street, North Barber, Laconia, Periwinkle, and Bevan, with asix-inch sidewalk, and our crews would go in and put in some road crossings. He read the options as set out in the agenda packet and recommended using Regan concrete contract with existing contractors for sidewalk/swales and sacrifice drainage areas or re-bid the project. The City Manager said Regan would lay sidewalk, form it up; the City would put in culvert, Regan would edge the side and our contractor would put in matching sod. The City Manager said this does internally bring in more work on staff. Damien Gilliams asked if we looked into any matching grants. The City Attorney stated the motion if Council is inclined to agree with the City Manager's recommendation as follows: "Move to reconsider the prior award of contract to Timothy Rose, in its place reject all bids and direct staff to reformulate project using our perpetual contractors." On MOTION by Ms. Coy and SECOND by Mr. Neglia the motion was approved as stated by the City Attorney on a roll call vote of 4-0. The Mayor called for a break and upon return all members were present. 06.180 D. Award of Contract for Thermoplastic Striping of Periwinkle Drive from Barber Street 327 to Bridge in the Amount of $17,000 -Tabled Until January 10~' Meeting For More Information And Justification For Using Thermoplastic Rather Than Paint (City Manager Transmittal 1/3/07) The City Engineer said his analysis resulted in a recommendation for thermoplastic striping. Mr. Paternoster asked where the City has placed thermoplastic and the City Engineer stated to his knowledge, only Louisiana Avenue. Mr. Paternoster said there are different grades of paint with glass beading for reflection. 5 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Six Mr. Paternoster stated not knowing details in thickness, one component vs. two component, the City could take the savings and apply paint to Easy Street and see how Louisiana Avenue holds up with thermoplastic. Louise Kautenberg, stated she needs assistance driving at night since she has aged, and in the dark of night you can see thermoplastic striping that was used five to seven years ago on her street. Julie Scozzari, Thornhill Lane, said she agreed with Mr. Paternoster and said there are some areas where thermoplastic striping has come up on CR 510, and said she noticed there are reflectors on Tulip and suggested we could use reflectors with the paint. On a MOTION by Ms. Coy with a SECOND by Mr. Neglia, the award of the contract for thermoplastic in the amount of $17,000.00 failed with a roll call of 2-2. (Ms. Coy, Mr. Neglia-aye) (Mr. Paternoster, Mr. Burkeen-nay) In response to Mr. Paternoster, the City Engineer stated the cost of thermoplastic is $3.95 per linear foot, and one coat of paint is $1.63 linear foot. He pointed out this item would be $17,000 for eight-tenths of a mile and to do all of Sebastian it would be $600,000 and to paint Sebastian, it would be $40,000. On MOTION by Mr. Paternoster with a SECOND by Mr. Burkeen painting the lines on Periwinkle Drive failed with a vote of 2-2. (Mr. Paternoster, Mr. Burkeen-aye) (Ms. Coy, Mr. Neglia-nay) 06.167 E. Backout Parking for Indian River Drive -Requested to Be Brought Back by Mayor 329-334 Burkeen at 12/13/06 Meeting (GMD Memo 11/2/06, P & Z Minutes 2/16/02) The City Manager gave brief synopsis. Mayor Burkeen said he had been in many areas that allow backout parking and would like to look at options and will bring them back. Damien Gilliams, 1623 US 1, said the Planning & Zoning Commission made a motion to give staff ninety days to develop a revised parking ordinance with thirty day updates presented to commissioners and he said this never took place. He said backout parking makes people slow down, and said the Redevelopment district needs to be redeveloped and nothing is being done. 06.143 F. Airport Facilities Rental Bid Protest (City Manager Transmittal, Please Bring 335 Information Previously Distributed by City Manager on 1/2/07) The City Manager reiterated his summary as set out in the agenda packet, and requested direction on how to proceed. 6 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Seven The Airport Director said he had received correspondence yesterday and provided it to Council from the Florida Dept. of Transportation (FDOT). He explained when the City receives a 50-50 grant from FDOT, the administration building is considered airport development and the general rule is that fair market value should be utilized for leased property. In response to Mayor Burkeen, the City Manager said the Joint Participation Agreement (JPA) was given as an economic development grant, and in the end, the City participated more because there were add-ons, so about 65% of the funds came. from the City and 35% came from FDOT, though the original agreement was a 50-50 economic development grant. The City Manager said from his perspective it was a City building, because the City makes lease payments and FDOT prefers aviation businesses and fair market value leases. He stated Issott was a higher lease amount and aviation-use which FDOT took note of. He said the City would have been hard pressed to explain why the low bidder (J-Med) was granted instead of Issott. The City Manager said bottom line is, if the City can show $8 square foot is market value, FDOT is going to ask why did it go to the low bidder when Issott is higher and aviation-based. He stated if it went to the non-aviation low bidder, FDOT could ask for an $800,000 check from the City for grant reimbursement. The City Manager stated options: 1. Continue lease procedure with low bidder, see litigation and problems with FDOT 2. Grant to higher bidder 3. Reject all bids and start from scratch, which is staffs recommendation. The Airport Director said if you consider what is fair market value you have to consider what is your market, willing seller-able buyer, and you have only received two bids, fair market would be around $8.00. He pointed out official appraisals may be sought, but if no one else comes in, fair market will still be $8.00 a square foot. The City Attorney asked if FDOT is going to follow FAA rules, and request fair market value for non-aviation but not necessarily fair market for aviation use. The Airport Director said this is a quasi-gray area. He explained he submitted all paperwork indicating prices and had a conversation with FDOT pointing out aviation pluses. FDOT gave their position which is included in the paperwork submitted to Council. He stated because it is considered an airport building and if only two people are interested, that determines the market. 7 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Eight Mayor Burkeen asked the City Attorney if we knew that we were going to lease this to the highest bidder at the time of grant application. The City Attorney said at that time only city personnel were going to use the building, both airport and otherwise, which concerned him. He explained in general, an FAA non-aviation lease must be fair market value and aviation not necessarily so; and FDOT is looking for fair market value because of the grant. The Airport Director explained generally speaking, the FAA is more interested in infrastructure and the FDOT is more interested in economic development. Mayor Burkeen asked the City Attorney what his concerns were and he stated the motion happened at the end of the night and was rushed through. The Mayor asked why he waited until tonight to express his concerns and the City Attorney explained this was his first chance. The Mayor asked if J-Med has entered into an agreement. The Airport Director said there have been negotiations, but no lease has been drawn up. In response to Mr. Paternoster, the City Manager said the RFP was not put out with a number because the City wanted to see what we would get, in this process we were seeking money and we didn't put in a number for fear it would be too high or too low and we could then determine what was best for the City. He said most airport facilities lease out to golf courses, and other land and perhaps hangar space but not administration buildings. He said he had recommended rejecting the bids and starting a new process. The City Manager said FDOT was contacted before the RFP was put out. The City Manager said the FDOT's relationship with the City governs the building and the City went over their contribution with the 50-50 grant; and the City had planned to square up with the FAA requirements governing the property by renting to administration staff at $15.00 square foot with a credit for funds contributed to construction, but it was too high and when City personnel didn't move in, a can of worms opened. Mr. Paternoster asked the City Manager about Issott's tiered proposal. He responded that in discussion with Mr. Issott, it was a tiered proposal and when he first looked at the RFP he mistook a 5 for a 0 and upon further review Issott turned out higher. Mr. Neglia said Rebecca Menardi from FDOT suggests the City do appraisals for aviation property and he suggested the two received were not professional appraisals. Mr. Neglia said he thought we should use qualified appraisers and Ms. Menardi's letter states fair market return should be guaranteed. The Airport Director said he is also confused because of the unique situation whereby a dollar amount per square foot for commercial real estate in an airport commercial corridor is unique. He said the RFP was not meant to be ambiguous but only two bids responded indicating the market. Mr. Neglia said he was concerned about litigation with Issott. 8 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Nine Ms. Coy said it was the 11th hour at the time of the J-Med lease approval and she does not know if anyone was to blame and indeed Mr. Paternoster did make a recommendation to table. She said the minute Council was done with the meeting she wondered what did they do and called the City Manager, City Attorney and Airport Director stating that she wanted to reconsider this. She said haste and Council's desire to do the right thing just didn't work. She said another option is to go back to the original recommendation and reject the bids and start again and make sure we do it right. She said perhaps there should be a bottom line to give them a starting line, and certainly the highest bidder has the right to protest. The City Attorney said bidding out real estate is not the best way to get your best price, and stated that the original recommendation was to go out and retain a broker, and property should be matched to a need. Ms. Coy asked how much a broker would cost. Mr. Griffin stated his experience is a 10% commission. The City Manager pointed out the broker's fee would be more than offset if the estimated market prices were received. Ms. Coy recommended we go back to the original process. Mr. Paternoster asked how we avoid litigation from J-Med which was approved for the lease, and the City Attorney responded that J-Med is aware of a protest and when an RFP is approved in the first go round, a person is selected to negotiate with and at the end the negotiator would be directed to make a lease agreement, but this did not happen, so the City was protected. The City Attorney said the staff recommendation was to reject all bids but the first motion was made to give to the high bidder and then the motion was changed to honor the bid process and award to J-Med. As your Attorney, if Council is determined to take certain actions, the last thing he should do is point out on the record that something happened that should not have happened which would subject each councilman to liability. He said council's intention with the motions seemed clear and did not want to subject them to personal liability. Mr. Paternoster noted the RFP states the City reserves the right to reject all proposals but without a bottom line it is not fair to the people who submit a proposal and suggested the City test the market and reject what is not desirable. The City Attorney repeated when dealing with property, RFP is generally not the way to go. The Airport Director said we notified Mr. Ahlersmeyer, Vice President, J-Med of the FDOT correspondence so he was aware of the protest and advised him the City did not want to put his business at risk. The City Attorney stated Mr. Ahlersmeyer indicated his existing business was not at risk. Mayor Burkeen asked the City Attorney how could he not tell Council they were not meeting grant requirements and that he would have expected someone to advise Council. The City Attorney said beyond any grant requirements, under general law that Council has always operated under, the City would be required go with best offer unless there was some reason to not do so, since no reason was given as to why the motion 9 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Ten changed he did not want to call down council publicly and would wait until after the meeting to find out the reasons. John Oakes, Sebastian said Council just made a mistake, Mr. Paternoster tried to table the item, and this is how business works, and what the City Manager did was reasonable and said the issue is the City wants to put the right tenant in there, and you cannot say that the market is based on two bids received on one particular day. He said this is a unique place and you can get more money but not if you are in a hurry and it would have been best if this was tabled. Mr. Oakes said the City Manager made a good decision when he proposed the bids be rejected, he did what is fiscally prudent for the City, and said this is the process, and all candidates knew that any and all RFPs could be rejected, and at the least, the issue should have been tabled. He said he appreciated the demeanor of this meeting, and concluded that a motion should be made to bring this back to the Council for discussion and not only include who will award the lease, but also a timeframe Council wants see tenant there and this will eliminate any doubt as to the impropriety of the selection and he encouraged Council to stay with oversight of the business of the City. Joe Scozzari noted that Mr. Issott had talked about planes and jobs and bringing more people into town, recommended putting this out to bid again, and maybe the City Manager can tell us what the third party might want to give you. He suggested getting a grant and putting up another building. Louise Kautenberg, gave a definition for fair market value and said to obtain it is to expose it to the open market, and encouraged the City to work with a broker because the broker pays all fees. She left with a quote, "I always did the best I knew how, and when I knew better, I did better." Dale Simchick, Easy Street, Sebastian, said we should put the past behind and determine whether the building is commercial rental vs. aviation rental and what will be offered. She said there are set municipal practices for renting municipal space and not to go with a broker. Marc Issott, Treasure Coast, said he has been trying to get a business at this airport since 2003, and asked is there a place for Treasure Coast Academy in Sebastian. Mr. Issott said both the City and his business are trying to provide a service that is needed and not available for the pilots and their planes. Damien Gilliams, Sebastian, said if he was the CEO of this corporation heads would roll, and this is an embarrassment to the Council, that there should be procedures in place, that there should have been appraisals before the RFP went out, and explained how the property should have been brokered. 10 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Eleven The City Manager said he had provided all his information on the project to all of Council at the request of Mayor Burkeen, and it was noted that the information was scanned into Laserfiche and is on-line for the public. Mr. Gilliams suggested doing an appraisal and rebidding only to the two parties; wondered why someone would contact a broker for an appraisal. He asked what the two real estate agents thought the rental price would be. The City Manager replied Sebastian Realty quoted $15-18 a square foot; Pruitt Real Estate said $18.50-19.50 a square foot. Jerry Ahlersmeyer, J-Med, said it is amazing that a phone call six months ago came to this, said he was concerned with the process when he was here which he did not think was fair, and ironically we are coming back to the City Manager's recommendation to reject and re-bid the lease for a reason other than the process of how this happened. He said he met with the Airport Director and then with the City Attorney and was informed by them about the FDOT issue. He said he contacted FDOT and Ms. Menardi states it is considered an airport building. He said their recommendation is to reject the bids, get an appraisal, decide what business to allow and bid it out at fair market value. Beth Mitchell, Executive Director of the Sebastian River Area Chamber, said the third party, Mr. LoPresti, contacted the Chamber in January 2005 at the request of Mr. McCollum. Mr. Ahlersmeyer said Mr. McCollum will state that discussion did include the building. The City Manager said J-Med contacted the City when they were looking for land at the Airport. Mr. Ahlersmeyer said Mr. McCollum actually advised him to contact the City. Eugene Wolff said he is baffled that Dale Simchick stated this is not a free market and it is in fact free market. He said he was also taken aback by the basic lack of knowledge of Ms. Coy in regard to property issues. Ms. Coy said she asks questions when she is uninformed. Ms. Coy made a MOTION with a SECOND by Mr. Paternoster to return to original decision which was to reject both bids and obtain appraisals for fair market value. Mr. Paternoster asked that FAA & FDOT review the RFP before it is put back out but the City Attorney asked whether Council wanted to see that fair market value first, and Ms. Coy and Mr. Paternoster agreed to re-bid at a later time and not add that to the motion. The motion passed with a roll call of 4-0. The Mayor called for a recess at 9:53 p.m. and everyone returned at 9:58 p.m. 11 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Twelve 12. NEW BUSINESS 07.015 B. Gary Scott Field at BSSC -Requested by Mayor Burkeen on 12/13/06 (Ms. Hill's 392-393 Note 12/13/06 Minutes Excerpt) Mary Hill said Gary Scott has been involved since the late 1980's with boys and girls in youth football, making sure all kids had transportation, uniforms, Gatorade and the opportunity to participate. She said he has recently suffered strokes and this would be a nice way to honor him. In response to the Mayor requesting the process for this, the City Attorney said it would be the will of Council. On a MOTION by Ms. Coy, with a SECOND by Mr. Neglia, the BSSC football field would be named the "Gary Scott" field with a voice vote of 4-0. 07.014 A. Contract Award for Construction of Twin Ditches Capital Improvement Project to 337-390 Master Excavators Inc. in the Amount of $897,133.50 in Accordance with Approved Plans and Specifications (City Engineering Transmittal, CDM Letter, Draft Contract) The City Manager explained the project which is coming in lower, allowing additional monies for the Collier Creek project. On a MOTION by Mr. Neglia, with a SECOND by Mr. Paternoster, the contract was approved with a roll call vote of 4-0. 13. CITY ATTORNEY MATTERS 06.196 A. Discussion of Signs in Council Chambers -Never Addressed on 12/13/06 (No Backu The City Attorney said due to a recent problem with a sign during live broadcast it would be wise to restrict all signs in chambers during live broadcast. Mr. Paternoster asked if this would include shirts and the City Attorney said not necessarily, but obscenity could be covered in the resolution to be brought back. 06.096 B. Code Enforcement Magistrate -Direction on Process (No Backup) The City Attorney stated he has distributed the 22 applications and asked for direction. Ms. Coy asked if the ranking would be private or public. Mr. Paternoster pointed out some are coming from far distance and have many requests and he asked if Human Resources should knock down the applications to something within the City's range. The Mayor said a short list would be beneficial. The City Manager said Human Resources would pick the top ten and have Council rank their preference. 12 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Thirteen 14. CITY MANAGER MATTERS The City Manager mentioned: - grant funding - he put together list of past grant awards for last three years (see attached) - flagpole issue - it would be CRA issue and will report back - distributed Collier Creek update last night - Easy Street did not get CDBG funded -plans to get back to re-nourishment process which will be less expensive - Chamber of Commerce insurance coverage has been dropped so they have requested they be put onto our liability coverage policy and they will pay the cost - he said he is authorized to spend this amount but he wanted to receive Council's approval Mr. Paternoster said we have a 50 year lease with the Chamber and read from the lease language regarding insurance. He clarified that the insurance expired on the 7th of January and the City Attorney said the lack of insurance puts the Chamber in default. Mr. Paternoster said his concern was that the Chamber has undergone some problems due to hurricanes and put in a claim for $100,000 and future claims could place our insurance in jeopardy or increase our insurance. He said he wondered if the Chamber could obtain casualty insurance with the restructured building, and suggested renegotiating the lease on an annual basis until such time as they were able to get casualty insurance on their own. He said his effort is to keep citizens from being harmed. Mr. Neglia agreed with negotiating annually for now. With the time being 10:30 p.m., a MOTION was made by Mr. Neglia, with a SECOND by Ms. Coy, to extend the meeting until Council matters are finished with a voice vote 4-0. Ms. Coy said the agreement between the City and the Chamber was made for the long term so they could make over $300,000 worth of improvements to the City's building, not costing the City any money, and expressed concern whether the issue is providing insurance or is the issue is that Council just wants to get them out of the building and she said the City should honor their commitment. She said if we put them on a year to year lease they can't honor their rebuilding commitment. She suggested bringing it up on an annual basis to check to see if they have been able to get insurance. Mr. Neglia asked if another contract may be drawn up so the Chamber will be in good standing. The City Attorney explained an event of default has occurred and they would not be in breach until the City notifies them. Mayor Burkeen said if they weren't in the building we would still have to insure it and said he has no problem extending the coverage until they get their own. Ms. Coy made a MOTION to add this to the agenda for action, with a SECOND by Mr. Burkeen on a voice vote of 3-1. (Mr. Paternoster-nay) The motion fails due to the unanimous vote requirement. 13 r- Continuation of 1-10-07 Council Meeting January 11, 2007 Page Thirteen The City Attorney explained it is within the City Manager's spending authority to add this to the City's insurance policy, and the contract would remain in effect with no notice of default. The City Manager sought Council's approval of this or putting it on the next agenda for notice of default and further action. It was Council's consensus to have him add it to the City's policy and make it an agenda item at the next meeting. Mr. Paternoster asked the City Attorney if Council wishes to have this checked into before moving to do anything and the building can still be insured. The. City Attorney said it is within the City Manager's authority to add the building to the City's policy but he did not feel it appropriate to do that without the authority of Council because there is still a lease issue, it merely protects the building until it is agendized. It was the consensus of Council to cover the building and place the lease on the next agenda for consideration. 15. CITY CLERK MATTERS Reported that election qualifying begins tomorrow and ends on January 26 and there are three candidates who have pre-qualified. She stated the Chamber would like to have a forum and it will be on a future agenda for approval. 16. CITY COUNCIL MATTERS A. Mayor Burkeen 07.017 i. Replace Former Council Member McCollum's Positions on County & 3s4 Regional Boards (List) Mayor Burkeen said the alternate members will cover Mr. McCollum's vacancies and his alternate positions will remain vacant until March. 07.017 ii. Assign Council Attendance for Indian River County Commission Meetings ass Calendar Mr. Neglia offered to take January, the Mayor offered to take February and Mr. Paternoster agreed to take March. Mr. Scozzari apologized for his behavior the previous night and expected the same, and for the record, he stated that he was asked to sue the City by the City Manager and City Attorney. 14 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Fifteen B. Ms~Coy 07.018 i. Sebastian Harbor (No Backup) Ms. Coy reported on the Land Acquisition Committee's vote to purchase the Sebastian Harbor property and said a letter is being sent to the County Commission with a strong recommendation not to extend Fleming Street though the property. Mayor Burkeen said he would like to get information from MPO about Fleming Street extension. The City Attorney said he did not believe the Commission had unilateral authority to reverse an MPO decision. Mr. Neglia suggested putting it on a future agenda for public input. Ms. Coy said she would like us to return to a pledge of civility and pointed out the plaque on the Chamber wall and read it and recommended we adopt it. She asked how many times we have to warn people about personal attacks and practice common decency. She asked that this item be placed on the 24~' agenda. She recommended the City hire an outside attorney to represent us on the pending lawsuit and said the City is foolish to speak to Mr. Scozzari until he files his suit. She said our City Attorney, City Manager, her, Mr. Neglia, and many other City workers are being lambasted and slandered on a regular basis. Mayor Burkeen said many people threaten to sue and suggested the City wait to see if he actually files suit, however, he is not saying we do not have to protect our City employees. The City Attorney said the City is under threat of lawsuit, but no suit at this time. Mr. Paternoster asked if legal papers have been filed indicating that Mr. Scozzari has made charges, and whether an attorney was needed. The City Attorney said not from a defensive standpoint, but he thought Ms. Coy is affirmatively trying to stop what is happening. Ms. Coy said she thinks it is a shame that we have allowed slanderous, libel statements about charter officers, Council Members and City staff. Ms. Coy stated civility needs to be practiced amongst Council Members too. C. Mr. Paternoster 398-405 i. Amendment 6 to Florida Constitution to Increase Maximum Additional Homestead for Low Income Seniors from $25,000 to $50,000 -Effective January 1, 2007 (Vote Smart Summary, 0-04-02, SB452) Mr. Paternoster suggested adding this to the next agenda on 1/24/07. 15 Continuation of 1-10-07 Council Meeting January 11, 2007 Page Sixteen D. Mr. Neglia Mr. Neglia asked about the progress at the Yacht Club. The City Manager stated it should be done late April into May. The Growth Management Director will be a report to Council in the future. He hoped some of the schools may be used for youth recreation to deter the presence of gangs. He wished everyone a happy new year. 17. Being 11:00 p.m. with no motion to continue, the meeting adjourned. Approved at the ~~ ~U Regular City Council meeting. Brian S. Burkeen, Mayor A ~~~_ A. Maio,~IfIMC -City Clerk 16