The City of New Castle, Indiana

 COMMON COUNCIL

 JANUARY 20, 2009           7:00 P.M.

 

THE PLEDGE OF ALLEGIANCE WAS GIVEN BY ALL IN ATTENDANCE.

PRAYER WAS GIVEN BY REV. KEITH KINCADE, PASTOR OF THE FIRST CHRISTIAN CHURCH.

 

ROLL CALL:

SANDY YORK                                              PRESENT                  

ANGIE GOODMAN                                      PRESENT

JAMES KIDD                                                 PRESENT

MARY MALONE                                           PRESENT

MARK KOGER                                              PRESENT                                     

VAUGHN REID                                              PRESENT

RICHARD HAHN                                           ABSENT

 

 

MAYOR SMALL ANNOUNCED THAT THE GEO GROUP HAS GIVEN $1,500.00, TO THE CITY OF NEW CASTLE, TO BE USED TOWARDS THE MAXWELL PARK. 

 

MAYOR SMALL ALSO COMMENDED THE PUBLIC SAFETY PEOPLE WHO HAVE BEEN GETTING GOOD PUBLICITY FOR HEROIC ACTS PERFORMED. 

          A GENTLEMAN FELL THROUGH THE ICE ON SUMMIT LAKE AND ALSO A HUSKY HAD FALLEN IN A WEEK EARLIER FOR A PRACTICE. FOR THE HUSKY RESCUE, RON HUFFMAN AND CHRIS McCARTT, FIREMAN FROM NEW CASTLE THAT PARTICIPATED ALONG WITH THE VOLUNTEER FIRE DEPARTMENT FROM MOORELAND.   THE SUMMIT LAKE RESCUE, RESCUING A GENTLMAN THAT HAD BEEN IN THE FREEZING WATER FOR ONE HOUR AND A HALF,  HIS LIFE WAS SAVED  BY THE MOUNT SUMMIT VOLUNTEER FIRE DEPARTMENT, WITH THE MOORELAND VOLUNTEER FIRE DEPARTMENT AND FROM NEW CASTLE, FIRE CHIEF JEFF MURRAY, ASSISTANT CHIEF CHRIS McCARTT, FIRST CLASS FIREMAN TIM WELCH, FIRST CLASS FIREMAN DAVID SCARETTE WHO IS WORKING WITH THE EMT PROGRAM AND PARAMEDIC CHRIS HARTGROVE.  MAYOR SMALL THANKED THEM AND A ROUND OF APPLAUSE WAS GIVEN BY ALL THAT WERE PRESENT.

 

          COUNCILMAN REID SAID THAT A LOT OF PROPLE THINK THAT THE PURPOSE OF THE IURC IS TO KEEP RATES LOW.  HE SAID THAT WAS NOT THE PURPOSE OF THE IURC, IT IS TO KEEP THE UTILITY SOLVENT.  THERE IS A DIFFERENCE.  HE SAID HE HAD READ LETTERS FROM THE IURC, CHASTISING THE CITY FOR WAITING SO LONG TO INCREASE THE RATES.  THAT IS WHAT LED TO HAVING THE LEGISLATURE IN THE LAST ORDINANCE, FOR US TO GO BACK AND LOOK AT THIS EVERY FOUR YEARS.  HE SAID THAT GIVEN THE HISTORY THAT NEW CASTLE HAS HAD, WITH NOT WANTING TO RAISE UTILITY RATES, THAT PUTS THE UTILITIES AT RISK OF GOING BANKRUPT, HE THOUGHT IT WOULD BE BEST THAT THE CITY OF NEW CASTLE WITHDRAW FROM THE IURC.

          FORMER MAYOR SHERMAN BOLES APPEARED BEFORE THE COUNCIL STATING THAT THE IURC IS AN EXPENSIVE DEAD WEIGHT.  HE SAID AS WHAT COUNCILMAN REID INDICATED, THE IURC SENT LETTERS, BUT THEY DO NOT HAVE ANY AUTHORITY.  HE SAID THAT HE HAS HEARD SEVERAL TIMES, ABOUT NOT RAISING RATES.  HE SAID DURING HIS ADMINISTRATION, THERE WAS ABOUT SEVEN MILLION DOLLARS IN THE BANK AND HE DIDN'T FEEL AS THOUGH THERE WAS AN INCREASE NEEDED AT THAT TIME.  HE SAID HE WAS THE ONE THAT WENT FOR THE LONG TIME AND DID NOT ASK FOR AN INCREASE.  HE SAID THAT IF A LOT OF ORGANIZATIONS SUCH AS IURC WERE ELIMINATED, GOVERNMENT WOULD BE MUCH BETTER OFF FINANCIALLY.  THERE IS NO ADVANTAGE TO THE IURC.

          MAYOR SMALL SAID THAT MANY SMALLER CITIES HAVE PULLED OUT OF THE IURC.

 

 

PRESIDENT SANDY YORK MOVED TO ACCEPT THE MEMBERSHIP AS PRESENTED FOR THE HISTORICAL PRESERVATION COMMISSION.  COUNCILADY GOODMAN: SECOND.

ROLL CALL VOTE:  SIX VOTES AYE.                          ACCEPTED.

 

 

          DISCUSSION:  THE STORM WATER LOANED THE GENERAL FUND ONE MILLION DOLLARS IN 2008, WITH THE UNDERSTANDING THE LOAN WOULD BE PAID BACK WITHIN 30 DAYS AFTER THE CITY RECEIVED ITS TAX DISTRIBUTION IN DECEMBER.  THE CITY IS REQUESTING TO BORROW ONE AND ONE HALF MILLION FROM THE STORM WATER, PAYING BACK THE MILLION STILL OWNED, LEAVING ONE HALF MILLION,  WHICH WILL BE USED UNTIL THE TAX DISTRIBUTION IS RECEIVED IN DECEMBER, 2009.

          CITY ACCOUNTANT CUPP SAID THAT THE CITY WAS ASKING FOR A TEMPORARY LOAN FROM A BANK IN THE AMOUNT OF THREE MILLION DOLLARS.  WE DO PAY INTEREST ON THIS LOAN.  IF WE GET A LOAN FROM WASTE WATER, WE DO NOT PAY INTEREST.  WE WILL ONLY USE WHAT WE NEED OF EITHER LOAN UNTIL WE RECEIVE TAX MONIES WHICH WE HAVE NO IDEA WHEN THAT WILL BE.  WE DID NOT RECEIVE OUR JUNE TAX MONIES UNTIL THE END OF SEPTEMBER IN 2008.

          COUNCILMAN REID SAID, SO WE ARE NOT EVER PAYING BACK. WE ARE JUST REBORROWING IT EVERY YEAR.  WE ARE RUNNING THE STORM UTILITY A MILLION, A MILLION AND A HALF, NEXT YEAR, MAYBE TWO MILLION AND NOT PAYING IT BACK UNTIL THE NEXT YEAR.  THEN WE TURN AROUND AND BORROW THAT MUCH AGAIN AND MORE.

          ACCOUNTANT CUPP SAID WE WON'T HAVE THE TWO LOANS AT THE SAME TIME.  WE WILL USE OFF OF THE STORM WATER LOAN AS LONG AS POSSIBLE WITHOUT GETTING ANY MONEY FROM THE BANK.

          COUNCILMAN KIDD ASKED IF WE WERE HAVING TO BORROW MONEY BECAUSE WE ARE NOT GETTING OUR DRAWS ON TIME.

          ACCOUNTANT CUPP SAID THAT WAS PART OF IT BUT THAT OUR LEVY IS SO RESTRICTED NOW THAT WE CAN'T ASK FOR MORE. WE ARE COLLECTING ALL THE PROPERTY TAXES.  WE DON'T HAVE CASH IN THE BANK ANYMORE.

           MAYOR SMALL SAID THAT THE C ITY HAS CUT THE BUDGET DOWN FIFTEEN MILLION.  WE WERE SHORT TWO HUNDRED AND THIRTY SIX THOUSAND IN PROPERTY TAXES THAT WE WERE ASSURED BY THE STATE THAT WE WOULD BE GETTING IN DECEMBER, BUT NEVER GOT.  WE ARE GOING TO HAVE TO REVISIT OUR BUDGET TO MAKE FURTHER CUTS IN THE NEXT SEVERAL MONTHS.

           ATTTORNEY COPENHAVER SAID THAT THERE HAVE BEEN TWO PIECES OF LEGISLATION THAT HAS BEEN PASSED IN THE LAST FIVE YEARS THAT HAVE ROBBED NOT ONLY NEW CASTLE, BUT MOST COMMUNITIES THAT HAVE AN OPERATING BALANCE.  SENATE BILL 1, ABOUT FOUR YEARS AGO AND THEN HOUSE BILL 1001, IN THE LAST TWO YEARS.  ON TOP OF THAT, THE REASSESSMENT WHICH RESULTS IN YOU NOT GETTING YOUR DRAWS UNTIL IN AUGUST OR SEPTEMBER.  THAT COMPLICATES IT EVEN MORE.  THE TOOLS THAT YOU HAVE AVAILABLE TO YOU TO RAISE REVENUE,  COUPLED WITH THE RESTRICTIONS THAT ARE PLACED UPON THOSE TOOLS, UNLESS WE COME UP WITH MORE TOOLS, TO RAISE REVENUES, YOU ARE GOING TO FACE THIS EVERY YEAR.  YOU PREPARE BALANCED BUDGETS EACH YEAR, BUT WHAT WE ARE FINDING IS IN AN ECONOMIC RECESSION, YOUR TAXES AREN'TCOMIN IN AS PROJECTED.  SO, NOT ONLY NOW, ARE YOU RESTRICTED ON YOUR LEVIES, AND ON THE AMOUNT OF YOUR OPERATING BALANCES THAT YOU COULD RUN OVER, THE SALES TAX IS NOT COMING IN THE WAY IT IS SUPPOSE TO, THE INCOME TAX IS OFF FROM WHAT IT IS SUPPOSE TO AND PEOPLE ARE NOT PAYING THEIR PROPERTY TAXES.  SO, WHEN YOU PROJECT TO GET X AND YOU GET Y, WHICH IS LESS THAN WHAT YOU BALANCE YOUR BUDGET ON, THAT HURTS YOU MORE.

YOU SAVE TAXPAYER'S MONEY WHEN YOU CAN BORROW FROM STORM WATER AND PAY NO INTEREST.  YOU WON'T BE ABLE TO BORROW ONE OF THESE DAYS BECAUSE WE WILL BE IN THE MIDST OF SEPARATING OUR STORM WATER FROM THE SANITARY SEWER ONCE THE LONG TERM CONTROL PLAN IS APPROVED, THEN WE WILL HAVE TO IMPLEMENT THE CONSTRUCTION PROJECTS.  THE EPA HAS GIVEN NO TIME SCHEDULE ON WHEN THE LONG TERM CONTROL WILL BEGIN.

          COUNCILMAN REID SAID IF THE BORROWING EVERY YEAR CONTINUES, WE ARE GOING TO BE IN REAL TROUBLE.

          PRESIDENT YORK SAID WE ARE DIGGING OURSELVES INTO A HOLE. WE MUST DRAW A LINE AND SAY THIS IS IT.  WE CANNIOT KEEP BORROWING FROM THE STORM WATER FUND BECAUSE THESE PROJECTS ARE GOING TO BE HERE BEFORE YOU KNOW IT.  SHE SAID SHE HAD RESERVATIONS TONIGHT ON THIS.  SHE SAID WE MAY NOT HAVE A CHOICE TONIGHT, BUT WE CAN IN THE FUTURE.

          ATTORNEY COPENHAVER SAID THAT THE CITY FOR MANY YEARS WAS ABLE TO END THE YEAR WITH ENOUGH MONEY IN THE BANK TO PAY THE BILLS UNTIL THE FIRST DRAW.  THEN THROUGH A GENIUS, THE STATE LEGISLATURE DECIDED THAT IF YOU HAD ENOUGH IN THE BANK TO PAY YOUR BILLS UNTIL THE FIRST DRAW, WE ARE GOING TO PASS A PIECE OF LEGISTATION THAT SAYS YOU HAVEN'T REDUCED YOUR LEVY.  YOU HAVE TO REDUCE THE AMOUNT OF TAXES YOU RAISE BECAUSE YOU ARE RAISING MORE TAXES THAN WHAT YOU NEED.  WHAT THAT DID WAS, IT REWARDED COMMUNITIES THAT WERE NOT CONSERVATIVE.  IT HURT COMMUNITIES LIKE NEW CASTLE WHERE YOU HAD A MAYOR AND CITY COUNCIL THAT WERE PHYSCIALLY PRUDENT.  SO THEY FORCED THE CITY TO USE UP THOSE RESERVES.  THEN THEY PASSED HOUSE BILL 1001, CAPPING THE REVENUES AND INCREASE THE HOMESTEAD CREDIT, THE HOMEOWNERS CREDIT, AND GIVE BACK SO YOU CAN'T EVEN RAISE ENOUGH MONEY TO FUND YOUR BUDGET.  THE STATE HAS DONE A DISSERVICE.  WHAT THEY WANT YOU TO DO, CHANGE YOUR WAY YOU RAISE YOUR REVENUES.  THEY WANT YOU TO GO TO INCOME TAXES AND THOSE KINDS OF THINGS AND FORCE YOU TO DO THINGS DIFFERENTLY.

          COUNCILMAN REID SAID THAT SENATE BILL 1 SAID, IT HAD BEEN DETERMINED BY THE STATE THAT IT WAS CHEAPER FOR THE TAX PAYERS  FOR A MUNICIPAL BODY TO TAKE OUT SHORT TERM LOANS TO PAY FOR OPERATING EXPENSES AND PAY THOSE BACK WHEN YOU RECEIVE YOUR DRAW, THAN IT WAS TO HAVE THAT MONEY UP FRONT.  THAT WAS MORE MONEY THAN WAS NEEDED.  THERE WAS ROOM TO PAY THE INTERST AND BASICALLY KEEP A LINE OF CREDIT GOING WITH CITY GOVERNMENT.

          COUNCILMAN REID SAID HE THOUGHT IT WOULD BE BETTER TO BORROW FROM THE BANK THAN FROM OURSELVES.  WE WOULD NOT BE DIGGING OUR UTILITIES IN A DEEPER HOLE BUT WE ARE PAYING INTEREST BACK TO THE BANK WHICH LEAVES THE CITY WITH LESS MONEY.

          FORMER MAYOR BOLES STATED THAT HE HEARD THAT WE BORROW MONEY FROM STORMWATER AND DON'T PAY INTEREST.  ISN'T IT DRAWING INTEREST?  HE SAID HIS BUDGETS WERE ALWAYS MADE ON THE WORSE SCENARIO.  YOU REALLY DON'T KNOW WHAT KIND OF WEATHER OR FIRE OVERTIME.  THE KEY IS, DON'T SPEND IT ALL AT THE END OF THE YEAR.  TURN IT BACK OVER TO THE NEXT YEAR.  GUESS YOU CAN'T DO THAT NOW.

 

ROLL CALL VOTE:    FIVE AYES.             ONE NAY (REID).   PASSED AND ORDERED.

 

COUNCILMAN KIDD: SECOND.

          DISCUSSION:  HOW BURIAL HOURS ON SATURDAYS CAN BE CHANGED.  CHARGE

OUTSIDERS OF NEW CASTLE MORE TO BE BURIED AND A SURCHARGE.  MAYBE GIVE A BABY GRAVE A FULL GRAVE BECAUSE IT WOULD BE CHEAPER TO DIG.  FREE SPACE BURIALS. 

ATTORNEY COPENHAVER STATED THAT THIS IS WHERE YOU ARE BUYING A PROPERTY RIGHT AND WE ARE SELLING AND MARKETING.  HE SAID FROM A LEGAL POINT; APPROACH THIS AS YOU WOULD A UTILITY.  SOMETHING THAT WOULD STAND ALONE.  A LOT OF CEMETERIES ARE PRIVATE AND DON'T GET TAX DOLLARS.  VIEW THIS AS WHAT THE SERVICE COSTS AND WHAT SHOULD YOU CHARGE SO THAT EVENTUALLY SOMEDAY INTEREST COULD BE DRAWN FROM THAT FUND THAT WOULD HELP WITH THE MAINTENANCE OF THE CEMETERY.  SOMEDAY THE CEMETERY SHOULD BECOME A SELF SUSTAINING ENTITY BECAUSE LOOK AT WHO YOU ARE COMPETEING WITH.  WITH PRIVATE COMPANIES THAT MAKE MONEY, SOME FOR PROFIT COMPANIES.

          COUNCILMAN REID SAID THE LOT PRICE COULD STAY THE SAME BUT SOMEONE

LIVING OUT OF THE CITY, DIES SOMEWHERE ELSE, SHOULD PAY MORE FOR OPENING AND CLOSING.

 

 

          DISCUSSION:  MAYOR SMALL SAID THAT IF WE WANT TO OPEN THE POOL THIS YEAR, WE HAVE NO CHOICE BUT TO PAY MORE FOR QUALIFIED LIFE GUARDS.  THE RAISE WOULD BE FOR WHAT THEY HAD TO PAY FOR THEIR CERTIFICATION.  IF THIS DOES NOT PASS, WE WILL BE FORCED INTO HIRING LIFE GUARDS WITHOUT GIVING ANY CONSIDERATION TO THEIR CERTIFICATIONS THAT THEY HAD TO PAY.

          COUNCILMAN REID SAID HE KNEW THAT AFSCME HAS A PARITY WAGE CLAUSE

IN IT.  HE SAID HE KNEW THE CITY HAD SENT AFSCME A LETTER LAST FRIDAY REQUIRING THAT NEGOTIATIONS BE OPENED OR THEY WOULD RULE THE AFSCME CONTRACT INVALID.  THERE ARE ISSUES THAT WILL HAVE AN IMPACT ON THIS.

          ATTORNEY COPENHAVER SAID HE DID WRITE THE LETTER AND IT WAS SENT TO THE DISTRICT REP IN INDIANAPOLIS.  WHAT HE CHOSE TO DO WITH IT, WAS UP TO HIM.  THE CITY WOULD NOT HAVE THE AUTHORITY TO DECLARE A CONTRACT INVALID.  THAT WOULD HAVE TO BE DONE BY COURT.  THE LETTER SUGGESTED WAS RATHER THAN START A COSTLY COURT PROCEEDING, WHICH COULD TAKE A LOT OF TIME AND EXPENSE, BOTH SIDES WOULD BE BETTER SERVED BY GOING BACK TO THE BARGAINING TABLE AND TRY TO RESOLVE SOME OF THE PROBLEMS THAT  #1- ARE APPARENT IN THE CONTRACT AND #2 ARE CAUSED BY WHAT YOU TALKED ABOUT IN GREAT LENGTH TONIGHT, WITH THE HARD ECONOMIC TIMES THE CITY IS FACING. 

          ATTORNEY COPENHAVER WILL PREPARE A LEGAL OPINION LETTER ON THE PARITY CLAUSE IN THE AFSCME CONTRACT. BOTH SIDES OF THE ISSUE WILL BE IN THIS LETTER.  HOPEFULLY, THIS CAN BE RESOLVED AT THE BARGAINING TABLE AND NOT GO TO COURT.

          PRESIDENT SANDY YORK MOVED TO POSTPONE THIS ORDINANCE UNTIL PENDING CLARIFICATION.      COUNCILADY GOODMAN: SECOND.      ROLL CALL VOTE: SIX VOTES AYE.               POSTPONED.

 

         DISCUSSION:  CLERK-TREASURER LAVARNWAY EXPLAINED HOW THE LOAN WILL BE OBTAINED, FROM THE LOWEST INTEREST FINANCIAL INSTITUTION, ALL DOCUMENTS WILL BE SIGNED BY THE MAYOR AND CLERK TREASURER.  A REPORT CAN BE GIVEN TO THE COUNCIL ON A MONTHLY BASIS, SHOWING JUST HOW THE MONEY IS RECEIVED (ONLY AS NEEDED) AND HOW IT IS DISBURSED IN THE GENERAL FUND.

          ATTORNEY COPENHAVER STATED THAT THE STATUTE THAT IS CITED HERE, THAT ALLOWS FOR THIS METHOD OF BORROWING, IT USED TO BE FOR ONLY ONE YEAR.  NOW IT IS FIVE YEARS. HE SAID HE HAS ALWAYS KEPT IT AT ONE YEAR BECAUSE OF THE REASONS DISCUSSED HERE.  TO FORCE US, TO REPAY ON AN ANNUAL BASIS, AND NOT BUILD UP THAT DEBT UP TO A POINT WHERE YOU WOULD HAVE TO TAKE OUT A GENERAL REVENUE BOND TO PAY IT BACK.

ACTUALLY, YOU HAVE BEEN MORE PHYSCIALLY PRUDENT THAN YOU HAVE TO BE.  HE SAID HE DIDN'T KNOW OF ANY STATUTORY PROCEEDINGS THAT WOULD GIVE YOU A NOTICE OF WHEN IT IS PAID BACK.  JUST MAKE A POINT ON YOUR AGENDA TO BRING UP AT THE END OF THE YEAR. 

          PRESIDENT YORK SAID THE COUNCIL HAD DECIDED TO MEET QUARTERLY TO GO OVER THE BUDGET AND STAY ON TOP OF THIS.

          COUNCILMAN REID SAID, IN THE MONTH THAT THE MONEY IS BORROWED ON A TAX WARRANT, ON MONEY PAID BACK TO THE TAX WARRANT, THERE SHOULD BE A NOTE ADDED TO THE REPORT THAT IS GIVEN TO INFORM THE COUNCIL OF WHEN THE TRANSACTION IS DONE.     

ROLL CALL VOTE:  SIX VOTES AYE.                       PASSED AND ORDERED.

 

COUNCIL REPORTS:

PRESIDENT YORK GAVE A LISTING OF ALL COUNCIL COMMITTEES TO THE COUNCIL.  SHE ANNOUNCED THAT ALL COUNCIL MEMBERS WOULD BE ON THE BUDGET COMMITTEE THIS YEAR.

 

COUNCILADY GOODMAN ASKED FOR FLASHING LIGHTS TO BE INSTALLED AT CHURCH AND MAIN STREETS AND AT CHURCH AND 14^TH STREET.  BUILDING INSPECTOR RIGGS WILL SEE THAT THE FLASHING LIGHTS ARE INSTALLED.

 

COUNCILMAN REID SAID HE HAD A CONCERN ABOUT THE NEW TRASH PICKUP.  THE CITY HAS AN ORDINANCE THAT STATES THE CITIZENS ARE ALLOWED TO PUT OUT TRASH UP TO 8:00 A.M. ON THE DAY OF TRASH PICKUP.  HE THOUGHT THE CITY MIGHT BE IN VIOLATION BY BEGINNING TO HAVE PICKUP AT THE EARLIER HOUR.  ALSO, THERE IS A NOISE ORDINANCE WHICH PROVIDES A PROHIBITION BEFORE 8:00 A.M. FOR NOISEY TRUCKS, TRASH TRUCKS IN PARTICULAIR.  THE CITY COULD BE IN VIOLATION OF THIS ORDINANCE.  HE SAID HE THINKS BECAUSE OF IT BEING DARK, SOME TRASH MIGHT BE MISSED.  PREVIOUSLY, THE TRASH TRUCKS STARTED AFTER THE SCHOOL BUSES HAD DELIVERED THE CHILDREN TO SCHOOL.  IN THE SUMMER IT WOULD NOT BE AN ISSUE BUT WHEN THE WEATHER IS BAD, AND THE TRASH TRUCKS HAVE TO BE IN THE MIDDLE OF THE ROAD AT TIMES,  HE WONDERED IF A SAFETY HAZZARD HAS BEEN CREATED.  HIS OTHER CONCERN WAS THE DUMPING OF THE TRASH AT THE STREET DEPARTMENT.  HE SAID HE CHECKED THIS OUT HIMSELF AND IT LOOKED AS IF FOUR OR FIVE PACKERS PILED UP THE TRASH.  HE SAID HE WANTED TO MAKE SURE IT DOESN'T HAPPEN AGAIN.  THE CITY COULD GET FINED.

          STREET COMMISSIONER CROSS SAID IT WAS DUE TO TRUCKS BEING DOWN AND IT WILL NOT HAPPEN AGAIN.

          MAYOR SMALL SAID THAT THE CITY'S REPRESENTATION ON THE BOARD, TWO VOTES OUT OF THIRTY, WE DON'T HAVE MUCH PULL.  HE SAID HE WAS ONE OF SEVEN ON THE EXECUTIVE BOARD.

          COUNCILMAN KOGER ASKED IF WE WOULD CONTINUE TO GO TO THESE MEETINGS IF WE ARE PULLING OUR MONEY OUT.

          MAYOR SMALL SAID WE ARE ON THEIR BOARD AND HE WOULD CONTINUE TO GO UNTIL SUCH TIME THAT THEY TELL HIM HE IS NO LONGER A BOARD MEMBER.  HE SAID IF WE GAVE THE MONEY BACK TO THE EDC, WE WOULD BE SURRENDERING ALL THE HORSEPOWER THAT WE ARE DEVELOPING, STRICTLY WITH THE CITIZENS OF NEW CASTLE.  A LOT OF PEOPLE ARE GETTING INVOLVED IN THIS ECONOMIC DEVELOPMENT REPRESENTING THE PEOPLE WHO HAVE ELECTED US.  WE WOULD THEN BE HANDING OUR FATE, ECONOMICALLY, TO SOMEBODY ELSES HAND THAT IS NOT RESPONSIBLE TO THE ELECTORATE  THAT WAS ONE OF THE DRIVING FORCES IN DOING THIS.

          COUNCILMAN REID SAID THERE HAS BEEN SOME GOOD POSITIVE IN THE DOWNTOWN AREA, BUT HE THOUGHT IT WAS IMPORTANT THAT THE CITY CONTINUE IN THE EDC.  HE HOPED THE CITY COULD PARTICIPATE FINANCIALLY.  HOWEVER, HE SAID IT WAS NOT HIS DECISION, THAT WAS AN EXECUTIVE BRANCH DECISION.    WE MIGHT WORK INTERNALLY  FOR A WHILE LONGER BEFORE AND MAKE THE EDC MORE RESPONSIVE TO WHAT WE THINK IT SHOULD BE BEFORE  WE PULL OUT AND SAY IT IS A LOST CAUSE.

          MAYOR SMALL SAID THAT NO ONE IS SAYING IT IS A LOST CAUSE.  WE ARE PROPOSING AN ALLIANCE OF EQUALS.  OTHER COUNTIES ARE SUCCESSFUL DOING THAT.  IT IS WORTH TRYING FOR A YEAR AND SEE HOW IT SETTLES DOWN.  WE HAVE TRIED TO BE VERY COOPERATIVE WITH ALL, AND WE HAVE BEEN.  PEOPLE WHO SPEAK TO THE NEWSPAPER SAY THAT THERE IS NO COOPERATION BETWEEN THE COUNTY AND THE CITY.  THAT IS NOT TRUE.  WE HAVE AN EXCELLENT RELATIONSHIP WITH THE COUNTY.  THE COUNTY GOVERNMENT.  THERE IS A COUNTY DIRECTOR OF ECONOMIC DEVELOPMENT, PENNY YORK, JUST AS WE HAVE THE CITYS ECONOMIC DEVELOPMENT DIRECTOR, JENNA DAVIS.  WE HAVE TOTAL HARMONY THERE.  TO TRY TO INFER THAT WE HAVE SPLIT FROM THE COUNTY, WE HAVE NOT.  WE ARE PROBABLY TIGHTER NOW THAN ANY PAST ADMINISTRATION HAS BEEN.  WITHIN THE LAST YEAR, HE SAID HE HAD BEEN IN COUNTY MEETINGS OR INSIDE THE COURT HOUSE, TALKING TO COUNTY OFFICIALS PROBABLY MORE THAN HIS PREDECESSORS COMBINED.  WE HAVE A GOOD WORKING RELATIONSHIP.  HE SAID HE REALIZED THAT THE CITY DID CAUSE A MAJOR PROBLEM TO THE EDC.  WE WANT TO WORK WITH THE EDC.  THEY DON'T WANT TO WORK WITH US, UNLESS WE FUND THEM.  THERE ARE PRECONDITIONS ON THEIR COOPERATION.  THERE ARE NO PRECONDITIONS WITH US.  HE ASKED THAT THEY GIVE THIS A YEAR'S TRY, SEE HOW IT WORKS AND THE IDEAS WE HAVE.  YOU WILL SEE MAJOR CHANGES.  THE ELECTORATE WILL SEE WE ARE REALLY WORKING FOR THE CITIZENS.

 

 

 DEPARTMENT HEAD:

 

FIRE CHIEF MURRAY ADDRESSED THE COUNCIL AND MAYOR AND DISCUSSED A MATTER THAT HE AND COUNCILMAN REID HAD DISCUSSED TWO WEEKS AGO.  HE SAID THIS IS A FOLLOWUP.  THE ISO, THE INSURANCE SERVICE OFFICE THAT DOES SURVEYS ON FIRE DEPARTMENTS TO MAKE SURE THAT THERE IS APPROPRIATE PROTECTION FOR THE NEED IN THE COMMUNITY.  THEY WERE HERE AND THE SCORING WAS, DISPATCH 10%, THE FIRE DEPARTMENT 50% AND THE WATER DEPARTMENT 40%.  IT WILL TAKE 180 DAYS BEFORE WE GET AN OFFICIAL STATEMENT.  THE LAST SURVEY WAS DONE IN 1995 AND MANY THINGS HAVE IMPROVED.  HE SAID HE HAD NO DOUBT THAT THEY WILL STAY AT A RATING OF 5.