Minutes 9/9/2009 7:00:00 AM

PUBLIC COMMENT
There was none.

MONDAY MORNING GROUP UPDATE

Ken Tsuchiyama reported that a recent Peace in the Parks program went well. The Monday Morning Group is focused on coordinating people with needs and services already in the community, rather than developing new things. They are working with the Community Coalition Against Violence and trying not to duplicate efforts. It has been a violent summer from the standpoint of shootings, but only one event was associated with someone with gang affiliation, but it was not a gang related shooting. He reported that the group is developing long term relationships with service providers so that coordination occurs naturally. Hands On Battle Creek and the Coordinating Council are providing information on services. Comm. Godfrey asked how morale is among neighborhoods where shootings are occurring. Mr. Tsuchiyama said he believes residents are frustrated that there are still shootings, but they are pleased they aren't gang related. He said there is recognition of a domestic aspect to the violence, boyfriends and girlfriends, etc. There are segments of the community that find this more acceptable, which is not something Mr. Tsuchiyama agrees with. He observed that the perception of danger is higher from gang related activity. Comm. Thompson commented that Mac McCullough of the Battle Creek Enquirer has been working on publishing information on the topic for the community. She asked if there were stimulus dollars available for youth programming. Mr. Tsuchiyama responded that the dollars were for youth employment and that the programs may not have been as successful as hoped due to a lengthy application process. He said he wasn't sure if the application process was a federal requirement or whether it could be modified by Michigan Works. Mayor Behnke commented that Kalamazoo observed the same issues with the application process.

INDUSTRIAL PARK UPDATE - USO, YOROZU

Ken Tsuchiyama reported that Yorozu is scheduled to close its plant and move operations to Tennessee, however the company is still viewing it as a temporary closure. He said they hope to reopen in 2-3 years depending on how the auto industry rebounds. He said he is guardedly optimistic that other companies in the industrial fort will remain stable. Comm. Godfrey stated that Yorozu was an abated project when they came to Battle Creek and asked if we were working with them to recover tax money from the abated years. Mr. Tsuchiyama said most of the personal property equipment will stay in Battle Creek and that law allows for idled equipment to be taxed at a lower rate. He said the City is working with the company on taxing issues. On one hand, he doesn't want the City to be harmed and on the other he doesn't want the company in a situation to have to permanently close the plant. Comm. Simmons said a message was forwarded to commissioners about the solar panel market collapsing world wide. He asked if United Solar Panel has updated their status. Mr. Tsuchiyama said there was a meeting with United Solar Panel in Lansing including representatives from the Michigan Economic Development Corporation, Battle Creek Unlimited and Mr. Jim Ritsema on behalf of the City. United Solar has not abandoned their plans to open a plant in Battle Creek, but they are still working through some issues. Comm. Godfrey asked if United Solar and Yorozu were to abandon their plants, would we aggressively go after taxes. Mr. Tsuchiyama said there is a development agreement in place with United Solar that clarifies expectations and outlines a process for this. On Yorozu, he said, if there were a permanent closure, the City would be more aggressive in pursuing abated taxes. Comm. Hersha asked if there was a time limit. Mr. Tsuchiyama said we could take a harder stance right now, but that the City wants the company to want to come back. Comm. Yankama agrees with Mr. Tsuchiyama on this strategy.

BUDGET STATUS

Jim Ritsema said the City is in a holding pattern, waiting to see what the State does with its budget. It appears the worst case is the Senate's original budget proposal, which cuts close to $1 million in state shared revenue to the City. The state has a deadline of September 30 to adopt a budget without shutting down the government. City income tax revenues are about where they were at this time last year. He said that is a volatile tax, so things could get worse, but he is encouraged that revenues are not down currently. Property tax revenues are not a concern for the current budget, but signs for next year are not good. Sales data from the county show we may need to lower our tax base, although numbers are not firm yet. He said a projected increase of 1% was discussed during the budget process, but if the tax base goes down as a result of sales data, there could be no growth in property tax revenue. This is compared to previous trends of 3% increases which the City depends on to balance rising costs. Next year also will have an increased Police and Fire millage levy, due to actuarial expenses, that could influence the overall tax levy. The scenario will play out in the coming budget process. Ritsema said tax appeals are also increasing for businesses. The entire Beckley Corridor is under appeal and, due to the economy, their appeal cases may be stronger. He said he continues to keep an eye on things, and that a mid-year City budget adjustment looks certain but details are not known yet.

STATUS REPORT FROM CITY ATTORNEY EVALUATION COMMITTEE

Comm. Hersha reported that the committee has been working with the City Attorney in a deliberate manner to determine a fresh way to evaluate that position. He congratulated and thanked the City Attorney for her work in looking at this process. The Committee meets Oct 6, prior to the Commission meeting, with the intent to distribute forms. Eileen Wicklund said she will bring the forms and information on goals for the Commission that evening. Hersha said he will be asking commissioners for feedback on the form and process after the process. Comm. Godfrey asked if the process will be available for this commission. Hersha affirmed. Comm. Thompson asked who will be the reviewers. Hersha said all commissioners.

CONSOLIDATED DISPATCH UPDATE

Ken Tsuchiyama said construction bids for the new consolidated dispatch building have come in to the County $200,000 lower than estimated. The lowered cost could be a result of the down economy and also conservative cost estimates made two years ago. He said construction will begin soon. The plan is to complete construction in January and have the consolidated center in operation by March 2010. There are some agreements that have to be entered into between the Dispatch Authority and the City, in respect to the equipment purchased from Motorola and some finance aspects. Mr. Tsuchiyama said the City had offered to finance the capital improvements and the Dispatch Authority appears interested in this approach. Agreements are currently being drafted and should come to the commission for action in the next 30-45 days. He said efforts have begun for labor negotiations with employees at the City and in Marshall and are planned to be completed in the next couple of months. Comm. Godfrey asked about equipment. Ken Tsuchiyama explained that the city can't turn its Motorola lease over to another party, so the intent will be to sublease to the County. The intent will be for the Authority to assume the debt.

Comm. Simmons asked the Mayor if he could give an environmental update. He said Waste Management has asked the City to support Senate Bill 725 regarding land fill changes. The bill would allow Waste Management to put yard waste into landfills in order to harvest methane and resell it to Consumers Energy. He said he intends to take this to the Environmental Advisory Committee. He said he can see pros and cons on both sides. If there does not seem to be consensus among the committee members, he may bring it to the Commission for consideration. Comm. Godfrey asked what the implications would be for customers and whether residents would pay for yard waste to be picked up and then turned into a billable commodity for Waste Management. Comm. Simmons said there are many questions to be asked and answered before the City could give support. Mayor Behnke asked Comm. Simmons to include all commissioners' emails when discussing with the Environmental Policy Committee. Ken Tsuchiyama said he expects Waste Management hasn't worked through all of the implications for customers but are trying to create opportunities at a broad policy level. Comm. Simmons said there is a concern about filling up land fills with biodegradable waste.

DOWNTOWN QUIET ZONE UPDATE
Ken Tsuchiyama said this topic has been of interest particularly to the McCamly Plaza Hotel, due to comments from guests staying on the side of the hotel near the train tracks. The City has done some preliminary research and he believes there are nine crossings that should be included. The City has contacted a company that has expertise with quiet zone feasibility analysis and requested a price. This study would be required to provide justification for creating the quiet zones. He estimated the cost for the analysis to be $7,000-$9,000 and he recommends we pursue this as it is conducive to the plans for downtown development. Comm. Thompson said the newspaper reported hefty cost estimates for implementation and what is involved. Mr. Tsuchiyama said the estimates are a per crossing basis and may include installation of special cross arms and other safety features that can vary by crossing. Comm. Godfrey asked if stimulus money is available. Mr. Tsuchiyama said we don't know at this point. Comm. Godfrey said at a recent Downtown Partnership meeting Dwight Butt said there was a substantial loss to local hospitality tax attributed directly to train noise. he was surprised at the high loss figure Mr. Butt reported due to this issue. Comm. Hersha said this could affect plans for downtown residential efforts as well. Comm. Thompson said she'd be interested in knowing the cost for the immediate vicinity around the hotel and a separate cost per mile going out. Mr. Tsuchiyama said the approach to quieting the train warnings seems to be the most sensible approach to the concerns as other strategies could be more expensive and difficult. Comm. Yankama said the City could consider a high powered light affect that would alert the city when a train is coming.

Ken Tsuchiyama said the City has received a complaint about deer eating ornamental plants in the City. He said the City does not have authority over those issues and sought suggestions from the Michigan Department of Environmental Quality, which advised that City ordinances may be amended to allow hunting in the city limits. Comm. Simmons asked if hunting is allowed in agriculturally zoned areas and if not, could we amend that ordinance to allow hunting in rural areas of the city especially in the southwest. He said he has observed an increase in population of deer in the city. Comm. Thompson said to review bow hunting options as well. Comm. Yankama asked if the City would be liable for accidents if shooting would be allowed. Eileen Wicklund said no.

ADJOURNMENT
The meeting was adjourned at 7:50 a.m.

	Meeting Type:	Workshop
	Meeting Date:	Wed September 09, 2009 07:00 AM
	Location:	Commission Chambers City Hall
	Chair:	Mark Behnke - Mayor
	Prepared By:	Michelle Reen - Deputy City Clerk

Comm. Sofia left the meeting at 7:25

Attendance Committee Members:	Attendance Staff:
John Godfrey City Commissioner Ryan Hersha City Commissioner Chris Simmons City Commissioner Mark Behnke Mayor Sherry Sofia City Commissioner Diane Thompson City Commissioner Andrew Yankama City Commissioner	Reen, Michelle - Deputy City Clerk Ritsema, James - Assistant City Manager/Finance Director Tsuchiyama, Ken - City Manager Wicklund, Eileen - City Attorney
Absent:
Susan Baldwin City Commissioner Tony Walker Vice Mayor