CITY OF
SOUTH LYON
REGULAR CITY COUNCIL
MEETING
October 8, 2007
Mayor
Doyle called the meeting to order at 7:30 p.m.
Mayor Doyle led those
present in the Pledge of Allegiance to the Flag
PRESENT:
Mayor Doyle
Council Members:
Kivell, Kopkowski, Maida, Morelli, Rodman and Wedell
Attorney Lee
City Clerk/Treasurer Zemke
Department Heads: Collins
and Martin
ABSENT:
City Manager Cook
APPROVAL OF MINUTES:
CM 10-1-07- APPROVAL OF
MINUTES – SEPTEMBER 24, 2007
Motion by
Kivell, supported by Wedell
To approve the
minutes of the regular meeting of September 24, 2007 as written
VOTE:
MOTION CARRIED UNANIMOUSLY
APPROVAL OF MONTHLY
BILLS:
Councilman Kivell questioned the payment to Brien’s Services to replace 4 dead
trees. Mayor Doyle asked that an
explanation be provided at the next meeting.
Council Member Maida questioned a number of checks for tax overpayments.
City Clerk/Treasurer Zemke stated that this is not uncommon.
From time to time, especially at the end of the tax season, we will have,
for example, a mortgage company and a title company pay the same parcel or
simply pay the wrong amount.
CM 10-2-07- APPROVAL OF
MONTHLY BILLS
Motion by Rodman,
supported by Morelli
To approve the
monthly bills as presented
VOTE:
MOTION CARRIED UNANIMOUSLY
APPROVAL OF AGENDA
CM 10-3-07 – APPROVAL OF
AGENDA
Motion by
Kivell, supported by Maida
To approve
the agenda as presented
VOTE:
MOTION CARRIED UNANIMOUSLY
CITIZENS SUGGESTIONS:
Mr. Tedd Wallace of 115 Elm
Place stated that there have been letters to the editor recently regarding South
Lyon East High School not having a homecoming parade.
He stated that he did approach Dr. Pearson of the South Lyon Schools who
indicated that they never made a request for that. He wanted to pass that
information along and indicate that it has nothing to do with the City and
exhonerate Chief Collins because it was made to sound that he was one to blame.
Mr. Jeff Potter of 1099
Stable Lane and County Commissioner stated that the County recently adopted
their budget for the year. He discussed the process that Lansing used to arrive
at their budget on the last day that they legally could.
He stated that it is a matter of consensus in Oakland County at least,
among both the democrat and republican officials that we are not being well
served by our State especially given the budget crisis we are in.
They have, in his opinion, done quite badly with a combination of service
cuts and tax increase. This keeps
people from looking at Michigan as a good place to be.
He further discussed the County budget including retirement benefits and
health care coverage. He further
discussed some of the issues that the State will be looking at including
additional tax on telephone lines for monies for the State Police.
He stated that the County has been focusing resources on finding new ways
to save money. He stated that they
recently sent out a County survey which was sent to everyone who is registered
to vote.
Mr. Potter stated that on a
personal note, some may have heard that he went to his doctor earlier in the
summer, luckily he found a lump in his neck.
He is currently taking treatment at the University of Michigan Cancer
Center five days per week. He
values his job and would like everyone to know that this might affect his
ability to communicate for a short period of time.
There is an election next year, some of this will fall inconveniently in
the middle of that. He would like
people to know that he will make his private judgment as to whether he will be
able to continue in his job, but he does not expect any problems.
He may miss a couple of meetings and may have to back off on the extras
that he does from time to time. He
stated that he is not asking for any favors or any consideration that he would
not get from a normal employer. He
stated that he is dedicated to this job and cares about it tremendously.
He retired, in part, to spend more time with his County Commissioner job.
He would ask for support both politically and as a human being.
Mayor Doyle stated that on
behalf of the Council, we are all thinking about him and know that he will
approach this the same way he approaches everything, with professionalism.
Councilman Kivell stated that Mr. Potter has always been the biggest advocate
for this area at any level of government and fully expects that will continue.
OLD BUSINESS:
1.
Audit Presentation- FY 06-07 for the period ending 6/30/07 by Plante & Moran
Mr. Les Pulver, Audit
Partner, Brian Camiller, Senior Manager and Andy Emdeck, In-field Supervisor
were present representing Plante & Moran.
Mr. Pulver stated that the City once again has received an Unqualified
Opinion, which is the highest form of assurance you can get.
Because the City collects taxpayers money, it has a fiduciary
responsibility to its taxpayers. As
a result, State Law requires governments to have an independent audit.
They audit the work of the staff, the City Manager, City Treasurer and
finance on behalf of the citizens of South Lyon.
If that was a grade on a report card, it would be an A.
The financial statements are complete, accurate and done in accordance
with Generally Accepted Accounting Principles.
Mr. Brian Camiller reviewed
the Management Letter. He stated
this is the auditors opportunity to discuss certain issues with Council such as
things going on in Lansing that affect the City, suggestions they have to make
about operations and give the City a “pat on the back”.
The City’s records are in excellent condition.
The General Fund was able to increase it’s fund balance by approximately
$200,000. The City has done an
excellent job living within its means and providing a high level of service at a
reasonable cost. Also, in this
letter they have discussed some new auditing standards.
Over the last five years, the profession has changed and continues to
change. This year there have been
two new audit standards. One does
not affect the City a great deal, it is more internal.
The second is called SAS 112, which requires them to inform Council more
information about the quality and thoroughness of the record keeping.
The City’s financial records are in better shape than any time during his
nine years of doing the audit. SAS
112 is much more strict than in the past. The items they need to communicate
now, may not have been brought up before because it was not required and it was
not considered significant enough.
They need to bring one item to Council’s attention.
They have changed the language.
In the past, anything over a certain level was called a reportable
condition. They have changed the
standard and language and now it is called a significant deficiency.
The terminology sounds a lot worse than reportable conditions.
They know of one significant deficiency which has existed for many years.
The Capital Asset record keeping has required the auditors to assist.
They have always helped close the books on Capital Assets and make a few
journal entries. The records
continue to be in excellent shape and have required fewer auditor entries than
in the past. Next year there will
be another eight Auditing Standards that need to be implemented that will not
affect the day to day operations of the City, but rather how they do the audit.
They will handle that with the Finance Department.
He stated that they have one suggestion
for the City. The Water and Sewer
rates currently do not create enough of a positive cash flow in order to fund
operations. The past three years,
the water and sewer fund has had an operating loss.
The quality of the Water Department and the level of service they provide
continues to be at an all time high.
The rates need to be reviewed periodically and in this case, it does
warrant rates going up. The rates
were increased in the last year, but need to be reviewed again and another
adjustment is required in order for the water and sewer system to break even.
He stated that they would be more than happy to help in that process.
He stated that they have provided some additional information about
things going on in Lansing including property taxes, revenue sharing, etc.
With all of the recent talk about the State’s budget, the City continues
to have an outstanding financial position.
Had the State shut down, it would not have affected the City.
The City has the means to keep running and keep operations without
cutting services.
Mr. Andy Emdeck provided
graphs showing four years of Governmental Activities including revenue trend,
expense trend, General Fund revenue and general fund expenditure.
Mr. Camiller provided a graph of the comparison of General Fund balance
since 1998. He discussed Water and
Sewer Fund Activity, and property tax composition.
Finally, he discussed statistical information for all funds.
He stated that we talk a lot about the General Fund and Water and Sewer.
He stated that this graph shows all of the money that comes through City
Hall during the year including the funds we collect for other governmental
entities. All total, the City of
South Lyon is responsible for collecting and managing $39 million per year.
He stated that they are happy to report that once again, it has been a
very good year for the City from a financial aspect.
Mr. Les Pulver stated that
Lansing is having problems and you hear about a lot of communities where they
are having substantial problems.
The fact that the City of South Lyon has added $200,000 to the fund balance is
quite an accomplishment. The City
has lived within its means and spent a little less than what you have brought in
with the exception of the water fund which needs to be looked at.
The water fund lives within its budget, but over time the rates fell
behind and need to be caught up. Because of planning and foresight, the City has
fund balance to weather a storm. He
stated that if Council has questions after tonight, the City Manager can always
contact them and they will do their best to answer them.
Councilman Wedell stated
that in the Management Letter, it discusses the new cable franchise legislation.
He asked if we received any money for that in the last fiscal year.
Mr. Camiller stated that he does believe that it did come in early June,
but would have to double check that.
Councilman Morelli asked
when they say we get a grade A, is that for making sure everything is done
right, everything is clear and done in a timely fashion.
Is that for the way we keep the books and not what is in them.
Mr. Camiller stated that the Unqualified Opinion covers the contents of
the financial statements. It does
not make judgment as to how the statements are prepared or internal controls.
The fact that we only had one significant deficiency, compared to other
communities of this size is very good.
He stated that it is not uncommon to have five, six or eight.
This one area is something they have worked with staff on over the years,
and every year it gets better. He
stated that Lori Mosier is a very good bookkeeper and they are very happy to
work with her. Mr. Pulver stated
that the City of South Lyon is in very good financial position, but that is not
why the City got an A. You can be
in terrible financial condition and still get an A.
It is the integrity of the accounting records, the completeness and
format of the financial report.
Council Member Maida stated
that in talking with various communities at the MML Conference who are
experiencing financial difficulty, we are very fortunate and should be very
proud.
Councilman Kivell stated
that he was very happy to see the new audit standard.
He stated that the auditors are obligated to inform Council about any
misgivings with the way our operation is working instead of relying on it coming
through the chain. They are
directly informed. Mr. Camiller
stated that they have always been required to report any items that were of
certain importance. The new
standards require them to report even more.
Mr. Pulver stated that if any item were significant enough, they would
put them in writing to the City Council.
If they were clerical or administrative, they would talk with the City
Manager. He stated that the CPA
profession has had some notable failures in recent years with Enron and
Worldcom. He further discussed
those issues. He stated that
because the profession dropped the ball very publicly, the profession has
tightened up the standards.
Councilman Rodman asked if
the shortcomings within the Water Department revenue versus operation costs or
were there some unforeseen budget items that needed to be taken care of.
Superintendent Martin stated that we like to not look at our rates as
compared to other communities, but rather what it takes to run our department.
What has hurt us over the last few years is that building is down and tap
fees are down, which has restricted us.
Discussion was held on energy costs being a major factor.
Superintendent Martin stated that his utility line item currently is
$280,000, which at one time was $125,000.
Discussion was held on the need to review the water and sewer rates
annually.
Mayor Doyle stated that we
are in good shape. The department
heads have done a great job in putting together a decent budget, living within
the means and planning for the future.
2.
Second Reading- Ordinance increasing fees for violations- Section 2-246
Attorney Lee stated that
this is the same amendment as what was approved for first reading.
Councilman Kivell stated
that the on-set of this was to be a determent to people playing the system and
not following ordinance. He does
not think that this moves us toward resolving that problem.
The same activity will take place regardless of the additional penalty.
He stated that the ZBA needs to be more vigilant in justifying both
denials and approvals of variances.
That will take us farther in trying to resolve this problem.
In the event that they are unable or unwilling to make those decisions,
Council has to call them on it and put it in the hands of the Court as opposed
to allowing the activity to continue.
Councilman Morelli stated
that he believes that this is a good thing and wishes it could be more, but
understands that we cannot exceed the maximum of $500.
He does agree with what Councilman Kivell is saying, however zoning is
only one of the three items within this amendment.
CM 10-4-07 – SECOND
READING AND ADOPTION – AMENDMENT TO SECTION 2-246
Motion by
Morelli, supported by Wedell
That this be the
second reading and adoption of an amendment to the City Code, Section 2-246 –
Fines for
violations (see attached amendment as part of these minutes)
VOTE:
MOTION CARRIED (2 opposed)
NEW BUSINESS:
1.
Property & Liability Insurance Renewal- MML for the period 10/14/07- 10/14/08
Mayor Doyle stated that this
is a request to renew our property and liability insurance for the period
October 14, 2007 through October 14, 2008.
There is a savings of approximately $5,700 over last year.
Councilman Kivell questioned
the separation of the one fire truck versus all of the other fire vehicles.
He stated that we have to approve this regardless of the questions.
Discussion was held on asking the City Manager for further clarification.
CM 10-5-07 – APPROVAL OF
PROPERTY & LIABILITY INSURANCE RENEWAL – MML
Motion by
Kivell, supported by Morelli
To approve the
renewal of the property and liability insurance through the Michigan Municipal
League in
the amount of $130,885 for
the period October 14, 2007 through October 14, 2008
VOTE:
MOTION CARRIED UNANIMOUSLY
2.
Washburn School Proclamation Request from the Historic Commission
Mayor Doyle stated that this
is a request from the Historic Commission to proclaim October 14th as
Washburn School Day.
CM
10-6-07 –WASHBURN SCHOOLHOUSE PROCLAMATION
Motion by
Wedell, supported by Kopkowski
Whereas one room
schoolhouses have been the backbone of the education system in Michigan….
Whereas The Washburn School
is celebrating its 100th year anniversary….
Whereas The Washburn School
has served the South Lyon Community for 47 years as a school, 30 years as a
residence and then a house of worship and the last 23 years as a historical
educational tool for the children and adults of the South Lyon community……
Whereas the South Lyon Area
Historical Society is holding a Homecoming Reunion and Celebration on October
14, 2007 at 2:00 pm at said Washburn School located in the Witch’s Hat Historic
Village…..
Whereas everyone from
everywhere who has ever attended a one room schoolhouse (or has ever wanted to)
is welcome to join in celebrating this momentous occasion….
Be it known to all persons
that we declare October 14, 2007 as Washburn School Day in the City of South
Lyon.
VOTE:
MOTION CARRIED UNANIMOUSLY
3.
Purchase Vehicle Lift
Superintendent Martin stated
that this has been in the works since the completion of the wastewater plant.
He stated that the city garage currently maintains 70 pieces of equipment
many of which are large. This lift
is MIOSHA approved. We budgeted
$10,000 for this purpose with the low bid coming in at $7,575.
Council Member Maida thanked
Superintendent Martin for the thorough information and coming in under budget.
Superintendent Martin stated that Doug Buers, the City Mechanic knew
about the equipment and who to contact to come in with these bids.
CM 10-7-07 – APPROVAL OF
LOW BID – VEHICLE LIFT
Motion by
Rodman, supported by Kivell
To approve the
low bid and purchase of a 12,000 lb heavy duty vehicle lift from Allied
Corporation in the
amount of $7,575
VOTE:
MOTION CARRIED UNANIMOUSLY
4.
Halloween Hours- 10/31/07- 6-8pm
Chief Collins stated that
last November following the one hour trick or treat time for Halloween, some
residents expressed a desire to extend the trick or treat period to two hours.
He does not have a problem and does see some benefit in doing that.
He would recommend establishing the trick or treat hours as 6-8 p.m.
Discussion was held on trick or treat times in the past.
Chief Collins stated that it had been 6:30 to 7:30 p.m.
Councilman Wedell stated
that he typically is still getting home from work at 6 p.m.
He asked if most of the traffic is done by that time.
Chief Collins stated that it is not totally done.
He stated that the reason why he is suggesting 6 p.m. is because it
typically is not dark at that time and parents with the smaller children will
take them out first and the rest of the kids wait until dark anyway.
Councilman Kivell stated
that he does like the idea of giving people a bigger window to participate.
He stated that this does not obligate anyone to continue.
When they are done, they can simply turn their light off.
CM 10-8-07 – HALLOWEEN
TRICK OR TREAT HOURS
Motion by Kopkowski,
supported by Maida
To establish
Trick or Treat time as 6:00 p.m. to 8:00 p.m. on October 31st
VOTE:
MOTION CARRIED UNANIMOUSLY
COUNCIL COMMENTS
Council Member Maida thanked
Superintendent Martin for the recent tour of the Wastewater Plant.
It is something that everyone should have the opportunity to do.
Council Member Maida stated
that she wanted to mention the Things to Remember event at St. Joseph.
It was a great success.
Council Member Maida stated
that Pumpkinfest was a great success and invited Tamara Ward to discuss what
took place.
Tamara Ward of the Chamber
of Commerce stated that they had over $28,000 in sponsorships from the
community. They opened Pumpkinfest
Friday night at Kent Lake Elementary with a 23 foot inflatable movie screen and
350 people in attendance. They had
over 140 runners for the Pumpkinfest Run which took place without incident.
They are very grateful to the Police Department for their coordination.
The parade went off without a hitch with over 90 units and 1600
participants. At the festival, they
had 115 food and craft vendors with over 30 non-profit organizations
participating. Downtown Saturday
night was great fun and had great community response.
The local merchants were very pleased with the turn out.
They want to thank the DDA for their sponsorship of this first event.
They also want to thank the South Lyon Recreation Authority and Steve
Lackey who generously shared resources.
The closing day of the Pumpkinfest, they had a great turn out for the dog
show and a very large turn-out for the pie eating contents.
She stated that she would like to thank the sponsors as well as all of
the volunteers, the DDA, the Police Department and the Department of Public
Works for all of their hard work.
Councilman Wedell stated
that he had opportunity to participate in the parade with the American Legion.
He would like to thank the community for the reception they gave the
Legioneers and the VFW.
Councilman Wedell stated
that Mr. Wallace did bring up the letters to the editor questioning whether it
would be possible for East High to have a Homecoming Parade.
He stated that he does understand that there is no issue, and he is happy
to hear that.
Councilman Rodman stated
that he would like to thank the public for coming out for Pumpkinfest and making
it the event that it was.
Council Member Kopkowski
stated that the whole Pumpkinfest was great.
She stated that she likes the sponsorship by the DDA of the Saturday
night music and would like to see that more often.
It helps merchants and she heard a lot of positive things about the
event.
Councilman Kivell stated
that Pumpkinfest was terrific; everyone looked like they were having a great
time. The Saturday night event was
so great, especially for the first version.
He stated that he can see some things that could improve it, but for the
first time, it was wonderful. There
were people of all ages enjoying themselves.
He looks forward to that next year, and as Council Member Kopkowski
mentioned, he would like to see more of that type of activity throughout the
year.
Mayor Doyle stated he would
like all of Council to do their best to be here for the next meeting.
The City Manager’s Evaluation has been put off several times, and would
like it on the next agenda regardless of any absences.
Mayor Doyle stated that in
the packet was a letter from Vilican Leman regarding the proposed Meijers store
in Lyon Township. He stated that he
was at a meeting last week with over 100 people there voicing their concern
regarding the plan. He stated that
they are proposing a 200,000 square foot facility, which is simply bad for this
area as far as the location. Even
though it is in Lyon Township, it will impact us.
We need to keep on top of it.
Attorney Lee stated that it is not within our jurisdiction.
We can certainly express ourselves about the negative impact that we
think it will bring to our City.
CM 10-9-07 – ADJOURNMENT
Motion by
Morelli, supported by Kivell
To adjourn the meeting at
8:50 p.m.
VOTE:
MOTION CARRIED UNANIMOUSLY
Respectfully Submitted,
_
___________________________
_______________________________
John
Doyle, Jr.
Julie C. Zemke
Mayor
City Clerk/Treasurer