Mike Hamp, City Manager James Shaw, Deputy City Manager Todd Patrick, City Attorney Julia Bortle, Clerk of Council Michael Wilhelm, Police Chief
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1 Council for the City of Waynesboro, Virginia, held a on Monday, November 24, 2014, at 7 : 00 P.M. in the Council Chambers of the Charles T. Yancey Municipal Building, 503 West Main Street, Waynesboro, Virginia, with Mayor Allen presiding and calling the meeting to order: PRESENT: Council Members: Bruce Allen, Mayor Tim Williams, Vice Mayor Frank Lucente, Councilman Jeff Freeman, Councilman Pete Marks, Councilman Staff: Guests: Mike Hamp, City Manager James Shaw, Deputy City Manager Todd Patrick, City Attorney Julia Bortle, Clerk of Council Michael Wilhelm, Police Chief Ms. Karen Hurt, Waynesboro Senior Center Director Ms. Janice Gentry, SAW Regional Virginia Program for Aging Services Director ABSENT: None OPENING REMARKS: Mayor Allen opened the meeting and asked Mr. Hamp to lead everyone in the Pledge of Allegiance. Mr. Freeman congratulated the Waynesboro High School football team and their coach on their continued success. He also reminded everyone that his next meet-and-greet with the public is on Monday, December 1 from 9:00 a.m. to 10:00 a.m. at Cracker Barrel and at 7:00 p.m. at the Public Library. CONSENT AGENDA: Mr. Lucente moved to adopt the Consent Agenda as presented. Having been seconded and with no objections, the Consent Agenda was adopted with affirmative votes from Council members Allen, Williams, Lucente, Freeman and Marks: a) Minutes : Consider adopting the minutes from the November 10, 2014, and dispense with the reading of the minutes. b) Whitebridge Road Rezoning, Preliminary Plat, and Conditional Use Permit: Second consideration/adoption of an ordinance approving a request from J. Scott Hudson, owner, for a 24- lot townhouse subdivision on the properties (City Tax Map No D1, B, and 24-1-B) on the south side of Whitebridge Road between its intersection with Guildford Lane and the CSX railroad, in Waynesboro, VA.( ) c) Public Works Paving: Second consideration/adoption of an ordinance appropriating $483,240 from the VDOT restricted funds reserve to the General Fund for additional paving expenditures. ( ) 1
2 d) Schools Return of Funds : Second consideration/adoption of an ordinance appropriating a transfer from the School Operating Fund reserve to the General Fund in the amount of $10,000 for unspent funds from ordinance , which were to be used to fund a school facility study. ( ) e) Schools Westwood Hill School Sink Hole Repair Reimbursement : Second consideration/adoption of an ordinance appropriating $47,484 from the General Fund School Facility Maintenance Reserve, for transfer to the School Funds, to reimburse the School Funds for expenditures incurred for the repair of a sink hole at Westwood Hill Elementary School. ( ) f) Shenandoah Valley Regional Animal Shelter : Second consideration/adoption of an ordinance appropriating the transfer of $54,000 from the General Fund Governmental Facility Maintenance Reserve, to the Shenandoah Valley Animal Service Center Fund, to provide for Waynesboro s share of funding for expansion and renovations at the Regional Animal Shelter. ( ) g) Social Services Personnel Expenditures : Second consideration/adoption of an ordinance appropriating a transfer of $29,752 from General Fund Unassigned Fund Balance to the Virginia Public Assistance Fund to provide additional funding for Department of Social Services personnel expenditures. ( ) h) Personal Property Tax Reimbursement : Consider approving a request from the Commissioner of the Revenue to refund $ plus interest to a taxpayer for 2013 personal property taxes paid in error. SECOND CONSIDERATION HEALTH INSURANCE PLAN ORDINANCE: The SAW (Staunton-Augusta-Waynesboro) Consortium is working through alternatives regarding the implementation of the City s group health insurance plan. One option would be to provide a consortium-wide trust self-insured benefit plan and the other option is to provide a self-insured plan by individual entity, which would involve the City of Waynesboro government operation and the Waynesboro Public Schools. The proposed ordinance authorizes either course of action, and a t this point, the City will be taking the latter course of action. With Mr. Freeman seconding the motion to adopt the ordinance, the ordinance was adopted with a roll call vote as follows: Mayor Allen, aye; Vice Mayor Williams, ye; Mr. Lucente, aye; Mr. Freeman, aye; and Mr. Marks, aye. ( ) ORDINANCE PROVIDING FOR THE ADOPTION OF A SELF-INSURANCE PLAN TO PROVIDE HEALTH INSURANCE WHEREAS, the County of Augusta, Augusta County Schools, City of Staunton, City of Staunton Schools, City of Waynesboro, Waynesboro Public Schools, and Augusta County Service Authority are local governments and political subdivisions of the Commonwealth of Virginia (individually Covered Employer and collectively Covered Employers ); WHEREAS, the Covered Employers are each authorized by law to provide health insurance to their respective officers and employees; WHEREAS, generally, when multiple employers provide health insurance to the employers employees on a group basis, it is called a multiple employer welfare arrangement ( MEWA ); 2
3 WHEREAS, generally, MEWAs are subject to state insurance law requirements; WHEREAS, by opinion dated October 5, 2012, the Attorney General of Virginia advised in an official advisory opinion ( Opinion ) that the Covered Employers are authorized by law to enter an agreement to exercise power jointly and create a self-funded trust fund ( Trust ) to provide health insurance to their officers and employees, provided that the agreement complies with the terms of Virginia law, including Virginia Code et seq.; WHEREAS, the Covered Employers, which have been and are members of a regional, cooperative healthcare consortium known as the SAW Consortium ( Consortium ), believe that a self-funded health insurance plan and related creation of the Trust will offer advantages to Consortium members, and intended to jointly adopt a plan ( SAW Consortium Health Plan ); WHEREAS, soon after receiving the Opinion, the Bureau of Insurance, a division of the Virginia State Corporation Commission ( Bureau ), informed the Consortium that the SAW Consortium Health Plan and the Trust are not considered a MEWA and are not subject to state insurance law requirements ( MEWA Status ); WHEREAS, the Bureau recently notified the Consortium that the Bureau is reconsidering its decision regarding the MEWA Status of the SAW Consortium Health Plan and the Trust; WHEREAS, the Bureau recently requested, and the Consortium provided, a letter providing the basis upon which Consortium believes that the SAW Consortium Health Plan and the Trust do not qualify as a MEWA ( Letter ); WHEREAS, it is in the Covered Employers collective best interest to be prepared with two options, while it awaits a response from the Bureau regarding the MEWA Status; WHEREAS, the Covered Employers intend to proceed with Option A if the Bureau informs the Consortium that the SAW Consortium Health Plan and the Trust do not qualify as a MEWA and are not subject to state insurance law requirements; WHEREAS, under Option A, the Covered Employers intend to jointly enter into an agreement to create the Trust, to be managed by a Board of Trustees ( Board ) with each Covered Employer to appoint a representative to serve as trustee to the Board; WHEREAS, under Option A, each Covered Employer intends, as a member of the Consortium, to jointly adopt the SAW Consortium Health Plan to provide health insurance to the officers and employees of the Covered Employers; WHEREAS, the Covered Employers intend to proceed with Option B if the Bureau informs the Consortium that the SAW Consortium Health Plan and the Trust do qualify as a MEWA and are subject to state insurance law requirements; WHEREAS, under Option B, each Covered Employer intends to separately adopt its own self-funded plan to provide health insurance to its own employees; WHEREAS, under Option B, the Covered Employers intend to share certain costs of administration of each Covered Employer s self-funded health plan, with the details of such cost-sharing to be determined by the Consortium; and WHEREAS, these recitals are an integral part of this ordinance. 3
4 NOW, THEREFORE, BE IT ORDAINED BY CITY COUNCIL OF WAYNESBORO, VIRGINIA, as follows: Section 1. Authorizations for Option A. Should the Bureau find that the SAW Consortium Health Plan and the Trust do not qualify as a MEWA and are not subject to state insurance law requirements, the City of Waynesboro is hereby authorized to proceed with Option A, which includes: Authorization to enter into Trust Agreement. City of Waynesboro is hereby authorized to jointly enter into an agreement with the other Covered Employers to create the Trust. Authorization to adopt Health Insurance Plan. City of Waynesboro is hereby authorized, as a member of the Consortium, to jointly adopt a plan to provide health insurance to the officers and employees of the Covered Employers. Further Joint Action. City of Waynesboro hereby authorizes the City Manager or such other designee to take such further actions, including joint actions pursuant to the provisions of Virginia Code , upon advice of legal counsel, to implement the provisions and intent of this ordinance. Section 2. Authorizations for Option B. S hould the Bureau find that the SAW Consortium Health Plan and the Trust do qualify as a MEWA and are subject to state insurance law requirements, City of Waynesboro is hereby authorized to proceed with Option B, which includes: Authorization to adopt Health Insurance Plan. City of Waynesboro is hereby authorized to separately adopt a self-funded plan to provide health insurance to the officers and employees of the City of Waynesboro; Authorization to enter into Agreement to Share Administration Costs. City of Waynesboro is hereby authorized, as a member of the Consortium, to enter into an agreement to share certain costs involved in the administration of the self-funded health plans maintained by the Covered Employers; Further Action. The City Council hereby authorizes the City Manager or such other designee to take such further actions, upon advice of legal counsel, to implement the provisions and intent of this ordinance. Section 3. Effective Date. This ordinance shall take effect immediately. [Clerk s note: Ordinance title amended to reflect self-insurance plan to provide health insurance.] ********* PUBLIC HEARING - CLOSE AND VACATE UNDEVELOPED ALLEY SOUTH RIVER DEVELOPMENT : The South River Development Corporation, a division of the Redevelopment and Housing Authority, proposed the closure and vacation of a 10-foot undeveloped alley located between lots 14 and 16 in Block 2, said lots fronting on Beta Street (City Tax Map and ) for the purpose of developing both lots for single-family homes with private utilities to be installed in the unimproved alley. The viewers ascertained that no inconvenience would result to the adjoining property owners or to the public. 4
5 A public hearing was opened at 7:06 p.m. David Collins, land surveyor, 1188 Berry Hill Road, Nellysford : was present as agent for the South River Development, stating houses are currently being built on the two lots, and as stated, utilities will be installed on the undeveloped alley that would serve the two houses. With no questions from Council and no other speakers signed up, the public hearing was closed at 7:08 p.m. Mr. Lucente moved to introduce an ordinance CLOSING AND VACATING AN UNIMPROVED ALLEY BETWEEN LOT 14 AND LOT 16, BLOCK 2, FISHBURNE ADDITION TO BASIC CITY, SOUTH OF BETA STREET AND NORTH OF AN IMPROVED 20-FOOT ALLEY AT THE REAR OF THE SAID LOTS, WAYNESBORO, VIRGINIA. Having been properly introduced, this ordinance will be considered again at the December 8, SENIOR CENTER PROGRAMS AND ACTIVITIES : As the Council representative to the Waynesboro Senior Center and the Program for Aging Services, Mr. Marks asked representatives of the Senior Center to address Council and the public, to review the services offered by the Senior Center and their activities and future plans. The presentation included the center s location, their funding sources ( federal, state, and local government along with foundation grants, and donations ), health and wellness programs, transportation services, and counseling. Their mission is to provide nutrition, wellness programs, and a place for social and civic engagement. They provide transportation to the center, and in 2015 they will begin a service that transports citizens from the Dooms/Crimora and the Sherando/Lyndhurst areas. In answer to Mr. Lucente s question, they serve approximately 75 citizens a week. They serve some through their programs and others by providing information and volunteerism. Mr. Freeman asked if lowering the age for serving citizens would help increase attendance, and he was told that the majority of funding comes from the Older Americans Act, a federal mandate that area agencies exist specifically for age 60 and older. State and federal funding cannot be used to serve anyone under the age of 60, so additional sources would have to be found to serve a younger segment. There is no cost to access the Senior Center. VPAS serves all of Planning District 6 (Harrisonburg/Rockingham to Bath/Highland, Augusta County, and Buena Vista, Lexington, Rockbridge). SOUTH BAYARD AVENUE BRIDGE REPLACEMENT : While the South Bayard Bridge only serves a few properties, it is the only unencumbered means of access to the City street system for those properties. T he City Manager will seek solutions to provide alternate street access for these properties. It is the understanding of City staff that Revenue Sharing funds could be applied to those solutions, if necessary. In the event that funds prove not to be necessary, staff would request that VDOT de-allocate funds. Absent a better access solution, the City would undertake bridge work to avert its failure. The estimates for rehabilitation or repair have ranged from $900,000 to $990,000. S taff recommend ed to request up to $495,000 in VDOT funds to be matched with City funds of up to $495,000. Final applications are due to VDOT by December 1, 2014 and must be accompanied by an adopted resolution affirming the application. 5
6 Council was originally provided a proposed resolution that included a paragraph that would authorize the City Manager to execute project agreement documents with VDOT. Council preferred to hear from staff prior to an executed agreement; therefore, that paragraph was deleted and Council is asked to adopt a revised resolution. As staff works with Engineering, they will alert Council to the course that they intend to follow. Mr. Lucente moved to adopt a resolution to submit an application to the Virginia Department of Transportation requesting an allocation of Revenue Sharing Funds in an amount up to $495,000 with the understanding that the City must provide a dollar for dollar match to any funds requested for reimbursement. Having been seconded and with no objections, the resolution was adopted with affirmative votes from Council members Allen, Williams, Lucente, Freeman, and Marks. VIRGINIA DEPARTMENT OF TRANSPORTATION FISCAL YEAR REVENUE SHARING PROGRAM REHABILITATION/REPLACEMENT OF SOUTH BAYARD AVENUE BRIDGE (R14-32) At a regularly scheduled meeting of the City Council of the City of Waynesboro, Virginia held on November 24, 2014 on a motion by Mr. Lucente, seconded by Vice Mayor Williams, the following resolution was adopted by a vote of 5 to 0. WHEREAS, the City Council of the City of Waynesboro, Virginia desires to submit an application for an allocation of funds of up to $495,000 through the Virginia Department of Transportation Fiscal Year , Revenue Sharing Program; and, WHEREAS, $495,000 of these funds are requested to fund the rehabilitation or replacement of the South Bayard Avenue Bridge; and, NOW, THEREFORE, BE IT RESOLVED THAT: The City Council of the City of Waynesboro, Virginia hereby supports this application for an allocatio n of $495,000 through the Virginia Department of Transportation Fiscal Year Revenue Sharing Program. CITY WATER SERVICE EXTENSION : A prospective purchaser of an unaddressed Augusta County property on Maryland Avenue has requested City water and sewer service to the acre parcel known as County Tax Map #68A This property does not lie in an area covered by the City/Augusta County Service Authority (ACSA) interjurisdictional agreement. If the request is approved, the applicant wou ld be required to enter into a contract for services. Mr. Lucente moved to authorize the extension of City water service beyond City limits to an unaddressed property located on Maryland Avenue in Augusta County. Having been seconded and with no objections, a resolution was adopted with affirmative votes from Council members Allen, Williams, Lucente, Freeman, and Harris. RESOLUTION (R14-33) BE IT RESOLVED by the Council of the City of Waynesboro, Virginia, t hat at the time of the adoption of this resolution, the Council has determined that there is sufficient surplus water and sewer capacity in the City s water and sewer systems; 6
7 AND BE IT FURTHER RESOLVED by the Council that the City Manager is authorized to execute an agreement with Ginger Houchens concerning the provision of water and sewer facilities to a acre parcel located on Maryland Avenue. ORDINANCES: Parks and Recreation Donation : This was the first year that the Parks and Recreation Department undertook coordination of the Tour De Valley 100 mile bicycle tour. Mr. Freeman moved to introduce an ordinance APPROPRIATING A PORTION OF THE NET POSITIVE VARIANCE GENERATED BY THE 2014 TOUR DE VALLEY BIKE TOUR, IN THE AMOUNT OF $1,000 TO THE GENERAL FUND, FOR A DONATION TO THE MICHAEL WOODWARD SCHOLARSHIP FUND AT FISHBURNE MILITARY SCHOOL in recognition of the School s support and volunteerism at the event. Having been properly introduced, this ordinance will be considered again at the December 8, Economic Development Exit 96 Contribution : Vice Mayor Williams moved to introduce an ordinance APPROPRIATING A $2,500 RENTAL PAYMENT RECEIVED FOR USE OF LAND AT THE E XIT 96 B USINESS P ARK PROPERTY, TO THE G ENERAL F UND, FOR A CONTRIBUTION TO THE W AYNESBORO E CONOMIC D EVELOPMENT A UTHORITY TO BE USED FOR MISCELLANEOUS EXPENDITURES RELATED TO DEVELOPMENT OF THE E XIT 96 B USINESS P ARK. Having been properly introduced, this ordinance will be considered again at the December 8, Schools Verizon Wireless : Mr. Marks moved to introduce an ordinance A PPROPRIATING A ONE-TIME LUMP SUM PAYMENT FROM V ERIZON W IRELESS, IN THE AMOUNT OF $35,000, TO THE S CHOOL F UNDS FOR DISTRICT WIDE FISCAL SERVICES PURCHASED SERVICES. Having been properly introduced, this ordinance will be considered again at the December 8, Schools Waynesboro Lions Club Donation : Vice Mayor Williams moved to introduce an ordinance APPROPRIATING A DONATION FROM THE WAYNESBORO LIONS CLUB, IN THE AMOUNT OF $4,000, TO THE SCHOOLS FUNDS, FOR THE PURCHASE OF CLASSROOM INSTRUCTIONAL MATERIALS AND SUPPLIES. Having been properly introduced, this ordinance will be considered again at the December 8, CITIZEN COMMENT PERIOD: With no one signed up to speak, the meeting continued. COMMUNICATION, CORRESPONDENCE, AND CALENDAR: Turkey Trot : The YMCA will conduct their annual Turkey Trot and Gobbler on the Greenway events on Thanksgiving Day, November 27, The Police Department and Public Works Department will lend their support, and a portion of Arch Avenue will be closed from Market to Wayne around the start of the event. With no further ma t ters to discuss, the meeting was adjourned at 7: 35 p.m. on a motion by Vice Mayor Williams. 7
8 ******* Julia Bortle, CMC, Clerk of Council Bruce E. Allen, Mayor 8
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