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City Council Meeting Minutes - 4/20/09

 COMMON COUNCIL

 APRIL 20, 2009      7:00 P.M.

 

THE PLEDGE OF ALLEGIANCE WAS GIVEN BY ALL IN ATTENDANCE.

PRAYER WAS GIVEN BY PASTOR ROBERT PAVEY, MT. ZION WESLEYAN CHURCH.

 
ROLL CALL:

SANDY YORK                                              PRESENT                  

ANGIE GOODMAN                                      PRESENT

JAMES KIDD                                                 PRESENT

MARY MALONE                                           PRESENT

MARK KOGER                                              PRESENT                                     

VAUGHN REID                                              PRESENT

RICHARD HAHN                                           PRESENT`

 

MINUTES OF THE FORMER MEETING WERE APPROVED.

 

MAYOR SMALL READ A PROCLAMATION, PROCLAIMING APRIL 22, 2009,

AS "EARTH DAY" IN THE CITY OF NEW CASTLE, INDIANA.

 

 

RESOLUTION: 
AUTHORIZING THE TEMPORARY TRANSFER OF FUNDS FOR THE TRANSPORTATION DEPARTMENT FROM THE CEMETERY PERPETUAL MAINTENANCE FUND WAS READ BY SANDY YORK.

PRESIDENT YORK MOVED TO PASS THIS RESOLUTION.   COUNCILMAN HAHN: SECOND

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

 

 

ORDINANCE #3569-
AN ORDINANCE AMENDING ORDINANCE #3449 WAS READ IN FULL ON FIRST READING BY SANDY YORK.

PRESIDENT YORK MOVED TO PASS ORDINANCE #3569 ON FIRST READING.   COUNCILADY GOODMAN: SECOND

DISCUSSION:  COUNCILMAN REID ASKED IF CURRENTLY ALL REVENUES ARE GOING INTO THE GENERAL FUND.

     ATTORNEY COPENHAVER SAID NO, INTO THE PARK NON-REVERTING FUND.

COUNCILMAN REID ASKED IF THERE WAS ANY PROVISION IN THE NON-REVERTING FUND TO PREVENT THAT MONEY FROM BEING USED FOR THE MAINTENANCE OF THE POOL?

     ATTORNEY COPENHAVER SAID NO, BUT IT CAN BE USED FOR OTHER THINGS.  HE SAID THIS BOND WAS ESTABLISHED AFTER THAT FOR THE SOLE PURPOSE FOR MAINTAINING THE POOL.  THIS WOULD ADD CASH FLOW TO THE MAINTENANCE OF THE POOL, WHERE NOW IT IS GOING INTO THE PARK NON-REVERTING.  HE SAID THIS IS A SISTER ORDINANCE TO THE OTHER THE COUNCIL HAS.  BOTH NEED TO BE DEALT WITH AT THE SAME TIME.

      COUNCILMAN REID SAID THAT IT LOOKS LIKE 20% OF THOSE FUNDS INTO THE PARK NON-REVERTING.  AND THE OTHER TO THE GENERAL FUND.

      ATTORNEY COPENHAVER SAID, IT WILL REMOVE THE POOL ADMISSIONS AND CONCESSIONS FROM THAT.  SO, 80% OF THE POOL'S ADMISSIONS AND CONCESSIONS WILL GO TO THE GENERAL FUND.  80% OF YOUR OTHER PARK FEES WILL GO INTO THE GENERAL FUND.  THE PARK NON-REVERTING FUND WILL GET 20% OF YOUR MOWING COSTS, YOUR PRIMARY ONE.  WE DON'T HAVE ANY OTHER FEES.  RIGHT NOW, 80% OF MOWING WILL GO INTO THE GENERAL FUND, IF YOU PASS THESE TWO ORDINANCES.  100% IS GOING INTO THE PARK NON-REVERTING AS OF NOW.  WE ARE TRYING TO PUT THE MONEY WHERE IT BELONGS AND THE LARGEST PERCENT SHOULD GO TO THE GENERAL FUND TO PAY FOR SALARIES OF THE LIFE GUARDS AND MOWING EXPENSES SO THAT FUND NEEDED TO BE REIMBURSED.

      COUNCILMAN REID ASKED IF THERE WAS ANYTHING CURRENTLY THAT WOULD PREVENT THE PARK NON-REVERTING FUND, LIKE HAVING A LUMP SUM WITHDRAWN AT THE END OF THE SEASON TO PAY FOR LIFEGUARDS SALARIES AND THOSE KINDS OF THINGS.

      ATTORNEY COPENHAVER SAID IT COULD ONLY BE USED FOR CAPITAL.  THAT IS SPECIFICALLY SET OUT IN THE ORDINANCE.  IT IS FOR CAPITAL AND MAINTENANCE IN THE PARK.  POSSIBLY, IT COULD BE USED FOR A LARGE MOWER, A CAPITAL INVESTMENT.

 

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

 

ORDINANCE #3570-
AN ORDINANCE AMENDING ORDINANCE #3309 WAS READ IN FULL ON FIRST READING BY SANDY YORK.

PRESIDENT YORK MOVED TO PASS THIS ORDINANCE.   COUNCILADY MALONE: SECOND.

    DISCUSSION:  20% OF REVENUES TO PARK NON-REVERTING FUND (#3309), THE PROVISIONS OF THIS ORDINANCE, NOT AMENDED, SHALL REMAIN IN FULL FORCE AND EFFECT.

     COUNCILMAN REID ASKED HOW MUCH MONEY WAS IN THE PARK NON-REVERTING FUND.

CLERK-TREASURER LAVARNWAY STATED AS OF TODAY, THERE IS $25,921.91.  THE GENERAL FUND BORROWED $30,000.00 AT THE BEGINNING OF THE YEAR.  HE ASKED HOW MUCH IS SPENT FOR CAPITAL IMPROVEMENTS AT THE PARK IN A YEAR. 
     BUD AYERS GAVE THE ANSWER OF $15,000 TO $20,000.

     COUNCILMAN REID SAID THE REASON HE ASKED THESE QUESTIONS WERE:

1.       THIS ORDINANCE AND THE PREVIOUS ORDINANCE MAKE SENSE.  HIS CONCERN WAS THAT WE NOT, AND HE SAID HE KNEW THE MONEY WAS NEEDED IN THE GENERAL FUND, BUT TO SEE US CUT OFF THE CAPITAL FUNDING, AS TO IF SOMETHING IS NEEDED, THERE IS NO MONEY THERE.  HE SAID HE BROUGHT THIS UP FOR DISCUSSION.
COUNCILMAN KOGER SAID YOU CAN ALWAYS TRANSFER OUT OF THE REVERTING FUND INTO ANOTHER FUND.  IS THAT RIGHT?
ATTORNEY COPENHAVER SAID YOU CAN ALWAYS APPROPRIATE FUNDS. 

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

 

COUNCIL REPORTS:

COUNCILMAN REID ASKED ABOUT THE CHILDREN AT PLAY SIGNS AT THE CALVARY BAPTIST CHURCH.  HE DIDN'T THINK THEY HAD BEEN PUT UP YET.

      STREET COMMISSIONER CROSS SAID, YES, THEY HAD BEEN.  THEY ARE UNDER THE SPEED SIGNS.

 

MAYOR SMALL SAID HE HAD AN ANNOUNCEMENT TO MAKE.  HE SAID THEY WE ANTICIPATING THIS YEAR, THAT OUR BUDGET, BY THE STATE WOULD BE CUT $500,000.00.  THE BAD NEWS WOULD BE THAT IT WOULD BE CUT $600,000.00.  WE RECEIVED WORD FRIDAY AFTERNOON THAT OUR 2009 BUDGET IS GOING TO BE CUT $1,532,000.00 THIS IS PROBABLY THE MOST SERIOUS FINANCIAL THING THAT HAS HAPPENED IN THE CITY OF NEW CASTLE IN MANY, MANY YEARS.  HE SAID WE HAVE SOME HARD TIMES AHEAD OF US AND WE WILL HAVE TO WITH DILIGENCE AND PRAYERFULLY, HOW WE ARE GOING TO ACCOMPLISH THIS BUDGET.   FOR COMPARISON, BACK IN 2002, THE CITY BUDGET WAS AROUND $16.2 MILLION DOLLARS.  ALTHOUGH, MAYOR BOLES DID NOT SPEND THAT AMOUNT.  HE SPENT LESS THAN THAT.  ENTERING INTO THIS PAST YEAR, YEAR 2008, WE HAD A BUDGET OF 15.9 MILLION THAT HAD TO BE REDUCED IN THE LAST FEW MONTHS TO 15.6 MILLION.  WE STARTED OUT THIS YEAR, 2009, WITH A BUDGET OF 15.1 MILLION AND THE STATE HAS NOW CUT US BACK TO 13.6 MILLION.  A CUT OF $1,532,000.00.  BEAR WITH US. WE HAVE A LOT TO DO.

      COUNCILMAN REID ASKED IF THE CITY COULD STILL AFFORD THE BONDS.

      MAYOR SMALL SAID THE BONDS DON'T COME OUT OF THIS.  HE SAID THEIR MAJOR CONCERN HERE IS THE GENERAL FUND, MVH AND TRANSPORTATION.  THAT IS WHERE THE MAJOR CUTS ARE TO TAKE PLACE.  WE NOW KNOW WHAT THE L R & S IS AND THE C C D.  THE L R & S IS $134,000.00 AND C C D IS $217,000.00.

      COUNCILMAN REID SAID THAT IS AN INCREASE OVER 2008.  HE ASKED IF THERE WAS AN OPTION OF GOING FOR MORE C C D MONEY NEXT YEAR.

      MAYOR SMALL SAID THAT C C D IS AT 5 CENTS AND WILL AUTOMATICALLY GO BACK TO 1 CENT AND WE GO FROM THERE.

      COUNCILMAN KOGER ASKED ABOUT LOIT BILL PASS, WOULD THAT HELP US ALSO?   WOULD IT HELP?

      ATTORNEY COPENHAVER SAID YES, AS MUCH AS WE WOULD LIKE FOR IT TO HELP.  IT WOULD PROVIDE FUNDS FOR LAW ENFORCEMENT, WHICH WOULD FREE UP MONEY FOR OTHER THINGS.  HE SAID THERE IS NO QUESTION IF YOU FOLLOW THE LAST FOUR OR FIVE YEARS, THE STATE IS PUSHING US AWAY FROM THE PROPERTY TAX, TOWARDS INCOME TAX AND SALES TAX, WHICH THEY HAVEN'T GIVEN US THE RIGHT TO ADOPT YET.`  THAT IS WHAT THEY WANT US TO GO TO.

      COUNCILMAN REID SAID HE HAD A QUESTION.  IF WE IMPLEMENTED BOTH SIDES OF LOIT, EMERGENCY SERVICES PART WOULD BE AN INCREASE AND THE OFF SET THAT GIVES THE CREDITS,  THE CREDITS MAY NOT, BECAUSE THE WAY THE PROPERTY IS SET UP, WE MAY END UP GETTING A NET GAIN OF ZERO OR CLOSE TO IT, MAYBE EVEN A LOSS.

      ATTORNEY COPENHAVER SAID YOU ARE LOOKING AT TAXES IN A DIFFERENT WAY, AND THEY AREN'T POPULAR

 

PRESIDENT YORK MOVED FOR ADJOURNMENT

COUNCILADY GOODMAN: SECOND