THE REGULAR MEETING OF THE PORT HURON CITY COUNCIL - FEBRUARY 8, 2010

The regular meeting of the Port Huron was held on Monday, February 8, 2010 at the Municipal Office Center in Port Huron at 7:00 p.m.

Two council members were absent tonight - Jim Fisher and Sherry Archibald. The first order of business was the approval of the last minutes from the meeting of January 25, 2010.

Before the meeting started, Mayor Pauline Repp announced that Resolution #6 was to be removed from the agenda. This resolution was in regards to vacating Alley #185 and Alley #188 rights-of-way in the area bounded by Elmwood Street, Harker Street, 10th Avenue and Elk Street right-of-way without the reservation of full-width public utility easements. The Mayor did not explain why this was removed.

A presentation of the DVD on Chilly Fest made by the students from RESA was presented by Lee Ann Peart, Program Director of Downtown Port Huron, Inc. Ms. Peart introduced the students who had worked on the DVD and their instructors and asked them to come down to the front when the video was shown so the audience could see who they were. The video showed clips from the Silver Sticks hockey tournament at McMorran arena as well as the sled dog demonstrations, horse and wagon rides, bands in the Big Igloo and much more. The World Series on Ice snow mobile races were included on this video, showing the speed and excitement of these drag races on ice. The students did an excellent job and were applauded for their fine work.

A Public Hearing was held to hear public comments on the proposed 2010 Annual Action Plan. The first to stand up and speak was Jenny McCready, the Executive Director of Safe Horizons. She asked that the city include Safe Horizons in the CDBGs. She stated that she was aware that the city had removed them from receiving funds from this and she knew that in order to receive these funds, the city had to submit an exhaustive plan that includes help for homelessness. She pointed out that the plan the city has now does not include anything concerning the homeless. In the last 2 years Port Huron's homeless population has increased 25%. They have very few places they can cut from their budget at Safe Horizons and yet the need is going up. She also pointed out that they are asking for less than 2% of the CDGB funds. She said they were lucky to get some Federal money recently. MISHDA has helped as well but they have received word that this will decrease in the future. She hoped the city would reconsider their decision and include Safe Horizons in the plan.

Ken Harris of Port Huron said he had a number of issues to address concerning this. He had noticed the administrative fees have soared more than 20% over the last year. He felt this was exorbitant. He was happy that the Port Huron Pride program showed that demolition of 12 homes was slated to happen. He felt this was awesome. He had noticed some language concerning the Port Huron Pride code enforcement. He felt it singled out specific neighborhoods and felt it really should be city wide.

Melinda Johnson, Executive Director of the Community Action Agency who also sits on the board of Safe Horizons, said that she works closely with them through her position at CAA. She has seen how they work closely with their clients to try to help them move into a more productive life, and help them not feel so lost. The shelter helps people find the helpful services they need and helps them figure out the bureaucracy that comes with these services.

Rick Garcia, the Executive Director of the United Way said he supports Safe Horizons. He said our population is under insured and not much help is available. He stated that Safe Horizons is vital to our community.

Ernest Worth, Development Director of Blue Water Habitat for Humanity, thanked the city for their help in the past, they've built over 12 homes. Right now they have 8 families qualifying for the homes and they have a couple of structures they've been able to rehab. He hoped the city would continue their support of Blue Water Habitat for Humanity.

Pam Wall, a County Commissioner and board member of Safe Horizons, reiterated what has been said so far. She has seen a long history of support from the city and Safe Horizons has been there for the residents of the city as well. She said it was needed more now than ever. She said that 4 or 5 years ago a committee was formed to look at homelessness. Port Huron was very active with this and she hoped to continue the work.

After all the people had had a chance to speak, Mayor Repp acknowledged there had been some questions along with Mr. Harris' question about administrative fees for the CDBG funds. She asked the Kim Harmer, department head of the Planning Department explain that. Ms. Harmer since 1984, when the city began receiving these grants, they were taking 12 to 20% for administrative fees to support the staff working on this. The big difference between this year and last is most of the money went into the CSO project last year. This year, with all the foreclosures and vacant houses, they will need to double up the work load on existing staff as they will lose one more staff member soon.

There was a second public hearing to hear comments concerning liquor licenses delinquent in payment of taxes, utility payments and/or income tax reporting/payments. City Clerk, Sue Child, stated that since this agenda was written, there were 4 delinquent establishments. The Mayor asked for comments concerning this and no one from the audience or council had any.

At this time the Mayor opened the floor for public audience.

Ken Harris stated that he was a member of the Quality of Life Commission. He said it was important to note that about 500 people got surveys in the mail this past week. He asked those people to not disregard them. He said it would help the commission a lot if they filled them in and sent them back as soon as possible.

Mike McCauley, owner and operator of Freighter Fries, the french fry wagon on the Thomas Edison Parkway, spoke in regards to the passing of the First and Second reading of the ordinance that had to do with Peddlers, Solicitors, Transient Merchants and Vendors. Since Mr. McCauley is the first vendor to be on the parkway, he was concerned that the city administration was trying to move his wagon away from the spot he had. He pointed out that the city had spent $17,000 to put the electricity and water in to the spot he had been placed by the city. He felt it was a huge waste of tax payer dollars to move him, which is what he felt this ordinance could allow the city to do.

Trina Avedisian of Port Huron, spoke in support of Mr. McCauley. She also said that she had had an email earlier in the day from the city manager, who had stated that extensive conversations had been held with the community about the vendor wagon. She had no recollection of these conversations and wanted clarification on when those happened and what was said. She also felt that the language in the part of the ordinance allowed the city manager or his appointee the ability to make new rules on the fly. The word promulgate was used and she wanted to know what that meant.

At this time, the Mayor closed Public Audience and read the Consent Agenda for the publics benefit.

Resolution #2 reappointed Richard Engle to the Downtown Development Authority for a term to expire February 9, 2014.

Resolution #4 was to confirm and declare a single lot special assessment in the total amount of $360.24 for special trash pickup.

Ordinance #1 was a third and final reading about an ordinance to repeal in its entirety Chapter 26, Flood Damage Prevention, of the Code of Ordinances of the City of Port Huron for the purpose of adopting a new Chapter 26, Flood-plain Management Provisions of the State Construction Code, to comply with the Federal Emergency Management Agency's National Flood Insurance Program's applicable statutory and regulatory requirements.

Ordinance #2 as a third and final reading of an ordinance to amend Chapter 30, Land Divisions and Subdivisions, Article II, Subdivisions, Division 3., Design Standards of the Code of Ordinances of the City of Port Huron for the purpose of updating references to regulatory agencies and documents.

Next up . . . From the City Manager
#1 recommending that the proposal from Scotty's Potty's for a five year period to provide portable restrooms on a unit price basis in various City parks be accepted.

Council member Alan Lewandowski asked how many porta-potties does this buy.

Chief Eick said 25 units during peek season in 16 locations.

Council member Lewandowski asked if Boat Night was included in this.

Chief Eick said that it was.

Mayor Pro-tem Steve Miller said that he noticed the plan was projected out 5 years and he wondered why this was done. Was it a better advantage for the city?

Chief Eick said that this allowed the contractor to plan how many unites they will need for the season. Given the unknown in the economy, it's hard to say but he felt it was advantageous to the city.

The council voted and it passed unanimously.

#2 A recommendation that the bid of Watson Brothers in the amount of $739,000.00 for Wastewater Treatment Plant blowers and diffusers phase II be accepted.

Mayor Pro-tem Miller felt it was a win/win for all.

The council voted on it and it passed unanimously.

$3 A recommendation that the bid of Transformer Inspection Retrofill Corp., in the amount of $46,550.00 for the replacement of two transformers at the Water Filtration Plant be accepted.

There was no discussion and the council passed it unanimously.

#4 Transmitting the Quarterly Financial Report for the six-month period ending December 31, 2009.

City Finance Director John Ogden gave a brief overview on this. He said that this report was able to compare to prior years and to review trends. He said the dominate trends show how the economy is affecting the city. Income tax is down about $300,000, State revenue sharing is down about $400,000. Expenditures are up about 2% from last year but they are still under budget. Water revenues are down but the expenditures on the utility side are down as well. The Water Street Marina was sold so there is no more operating expenses for the city there.

Council member Lewandowski congratulated the city staff on keep things under budget.

The council voted on it and it passed with Council member Brian Moeller voting no.

Resolutions
#1 Authorized payments from attachments 1-1 through 1-15 (which can be found on the city website under the city council link. It is found under agenda documents for the agenda of 2-8-2010).

It was voted on and passed unanimously.

#3 Approving the modifications to the original agreement dated September 28, 2009 with Automotive Properties of New York, L.L.C. (a/k/a SMW Automotive), to provide for a "land contract" purchase of the industrial building and land located at 2347 Dove Street.

There was no discussion and it was voted on and approved unanimously.

#5. Vacating the Popular Street right-of-way in the area bounded by Elmwood Street, Harker Street, 10th Avenue and the Elk Street right-of-way with the reservation of a full-width public utility easement.

There was no discussion and it was voted on and approved unanimously.

At this time Council member Moeller said he had a motion that he knew was highly irregular but it had come to his attention over the weekend and he wanted to put it on the table. He motioned to have $5 million transferred from Chase to Citizens First bank and have the city manager meet with the FDIC and CEO of the bank to see how we can save our community bank. He stated he felt it was important to show faith in our community bank. This would also be a show of support for local jobs.

Mayor Pro-tem Miller liked the concept but wanted to know if this move would disrupt any funding at the city.

Finance Director Ogden said this was a low-interest bearing account created by the FDIC and the last he read the program was to last through June 30th. The city would have the money earning some interest and it was completely insured. He said that he was not sure this would assist the bank.

Mayor Pro-tem Miller asked if there was any risk to the people's money.

Mr. Ogden said as long as it was insured there was no risk. At this point June 30th is when that would end.

Council member Moeller hoped the city manager would report back before June 30th.

Mr. Ogden did say that everything the city has at Citizens First (which amounted to $2.6 million) was fully insured.

Council member Moeller asked if all the cities other accounts were insured at other banks.

Mr. Ogden said no, they were not.

Mayor Repp said she did not like this being sprung on them at the last minute and wanted it written out and added to the agenda of the Special Meeting of February 15th. She asked if Council member Moeller would wait until then.

Council member Moeller said he would not. He said it was important to move on this now because they needed to show the community the city has faith in their local bank. He also stated that he had had some conversation about this with City Manager Brown during the day so it wasn't that he was springing it on him.

Mayor Pro-tem asked if Mr. Brown had any concerns about this.

Mr. Brown said no, he did not.

It was voted on and passed.

Ordinances:
#3 The First and Second reading of an ordinance to amend Chapter 12, Businesses, Article X, Peddlers/Solicitors, Transient Merchants or Vendors of the Code of Ordinances of the City of Port Huron for the purpose of clarifying business activities.

Mayor Pro-tem Miller asked that city clerk Child clarify what this ordinance would cover to address Mr. McCauley's concerns as to how it would affect his business.

Ms. Child stated that it just talked more about Peddlers, changing some language like removable carts to moveable carts, and making sure all licenses were displayed in a prominent place, as well as all signs being attached to the moveable carts.

Mayor Pro-tem Miller asked if this explained things well enough to Mr. McCauley and Mr. McCauley said it did.

The council voted on it and it failed with Council members Moeller and Lewandowski voting no. Because there were only 5 members of the council in attendance, it only required 2 no votes to have it fail.

The Mayor read the Miscellaneous Announcements before the meeting ended.

February 9th the Charter Commission would be meeting at 7 p.m. in room 408 of the Municipal Office Center.
February 23rd the Charter Commission has scheduled a public hearing to receive input/comments on the tentatively approved revisions of the Charter. The meeting will be held at 7 p.m. in the Public Meeting Room at the Municipal Office Center. Tentatively approved Charter copies can be found online at http://www.porthuron.org/content.aspx?Pageid=43 under the link Click Here. They can also be viewed at the City Clerks office.
April 1st census questionnaires will be mailed in the next few weeks and must be returned by April 1. Participation counts. Federal funds are awarded to states and local communities based on census data received.

The meeting was adjourned.

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