CITY OF SOUTH LYON

CITY OF SOUTH LYON

REGULAR CITY COUNCIL MEETING

October 9, 2006

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: Dryer, Kivell, Kopkowski, Maida, Morelli and Wedell

Attorney Lee

City Clerk/Treasurer Zemke

Department Heads: Collins, Martin & Renwick

ABSENT: City Manager Cook

APPROVAL OF MINUTES:

CM 10-1-06- APPROVAL OF MINUTES – SEPTEMBER 25, 2006

Motion by Dryer, supported by Wedell

To approve the minutes of the regular meeting of September 25, 2006 as written

VOTE: MOTION CARRIED UNANIMOUSLY

APPROVAL OF MONTHLY BILLS:

Discussion was held on various bills including Martin’s Hardware and South Lyon Lumber. It was requested that Council receive a breakdown of the invoice for Martin’s Hardware.

CM 10-2-06- APPROVAL OF MONTHLY BILLS

Motion by Kivell, supported by Kopkowski

To approve the monthly bills as presented

VOTE: MOTION CARRIED UNANIMOUSLY

APPROVAL OF AGENDA

Council Member Maida questioned whether an item should be placed on the agenda for discussion of the 2006 Concrete Street repair. Further discussion was held on putting that item on next meeting’s agenda.

Mayor Doyle stated that we have received a letter of resignation from the Parks and Recreation Commission from Maggie Kurtzwel and we have received an application from Robert McConnell to fill that vacancy. He stated that he would like that added to the agenda.

CM 10-3-06 – APPROVAL OF AGENDA

Motion by Kivell, supported by Maida

To approve the agenda as amended by adding New Business #2 for Acceptance of resignation and

appointment to the Parks and Recreation Commission

Council Member Kopkowski questioned whether the City Manager should be present for the audit presentation. Mayor Doyle stated that it is not necessary for the City Manager to be present. He stated that Lori Mosier, Bookkeeper as well as Les Pulver and his staff from Plante Moran are all present.

VOTE: MOTION CARRIED UNANIMOUSLY

CITIZENS SUGGESTIONS:

Jeff Potter of 1099 Stable Lane and County Commissioner provided an update on the County budget indicating that they have had no lay-offs, no tax increases and the budget integrity has been maintained. They have maintained the position that grant-funded positions should remain grant-funded. The Circuit Courts have come forward with a request for a new Circuit Court Judge. Three have been authorized by the State Court, and the County is looking at potentially funding one. He discussed the Wireless Oakland Project with the pilot project in Wixom. Because of some technical aspects, the deployment County-wide has been pushed back, but it still an on-going project. He discussed the beginnings of the New Hudson Downtown Development Authority project, which is funded through a partnership with Lyon Township and Oakland County to provide a gateway to both our communities. He thanked those who supported him in the primary election. He stated that he is here to represent the interests of the City and the entire district in the two years ahead if he is blessed to do so.

Mayor Doyle stated that he has received a number of calls and there has been a lot of talk about the Wireless Oakland project and asked if it is still moving forward and in good shape. Commissioner Potter stated that the reason for the delays is in part technological sufficiency, and this is based on a commercial model and one of promises that had been made when it started was that it was not going to cost taxpayers a dime. The roll-out will depend on, to some extent, level of subscribers. We are very early on in the process. They hope that this will inject some much needed competition. He stated that he will try to get some additional roll-out timeline information to Council at a future meeting.

Commissioner Potter discussed a joint project with Salem Township, which has been put on the “back burner” while we ascertain a response to a State grant that the City had inquired about for that project. These types of projects start with a good idea and create some “buzz”. We are looking at the right time to create a master plan that would involve the connection of Oakland and Washtenaw counties. The majority of these projects are funded through grant, set aside dollars from gas tax, not the taxpayers.

OLD BUSINESS:

Presentation of Audit, Plante & Moran for the period 7/1/05 to 6/30/06

Mr. Les Pulver, Audit Partner as well as Brian Camiller, Audit Manager and Andy Imdieke, Audit In-charge were present representing Plante & Moran. Mr. Pulver stated that they could not get this done without the help of the staff, Lori Mosier, Bookkeeper, the City Clerk/Treasurer and City Manager. He stated that the first few pages of the document is theirs, and the rest of it is the City’s financial statements, and although they have typed it and printed it, it is a representation of the City’s underlining accounting records, budget, general ledger, etc. The report letter is addressed to the members of the City Council, and although they work with the staff and administration, under State law and Auditing Standards, their responsibility is to the governing body, not to the administration. This year, as in the past, the City has received an Unqualified Opinion on the audit, which is the best report that the City can get from their auditors. The financial statements are complete and that they are accurate and done in accordance with the generally accepted accounting principals. This is not an automatic, there are a lot of governmental units that do not receive an unqualified opinion.

Mr. Imdieke reviewed the General Fund Revenues. He stated that there are four main sources of revenue with property taxes making up 64%, which is common with most cities and is exactly the same percent as last year. He further reviewed other sources of revenue. He reviewed the General Fund Revenue trend over the last five years. He stated that property taxes have increased slightly this year, but over the past several years, the overall millage rate has remained the same at 13.75 mills. One contributing factor for the raise in property tax revenue would be the increase in the City’s taxable value. The decrease in State and Federal sources is due to the decrease in State Shared Revenue. He reviewed the General Fund Expenditures, which is broken down into three major categories, public safety, general government and community services with public safety being the largest portion at 54%. This, like in other communities is usually the largest portion of the General Fund Expenditures. This is also exactly the same as last year. He reviewed the General Fund Expenditures Trend for the past five years. He stated that this has remained consistent over the last five years. In 2002, you will see “other”, which was a transfer from the General Fund to a Land Acquisition Fund. Other slight increases are due mainly to inflationary increases.

Mr. Brian Camiller discussed the Comparison of General Fund, Fund Balance over the last ten years. He stated that General Fund revenue exceeded expenditures by approximately $150,000. Overall fund balance is approximately 64% of the annual budget. Several other neighboring communities in and around the area would struggle to maintain 30%. The older, more established communities would struggle to have a positive fund balance. The fact that the City has 64% of the annual budget speaks very highly of City Management as far as budgetary discipline and long-term planning and foresight. It would be in the City’s best interest to keep doing what you are doing. He discussed the designated fund balance. At the beginning of the year, if you think that expenditures are going to exceed revenue for the year, you would designate a portion of that fund balance going forward. As times are getting tougher in Michigan, at the beginning of each budget year, a portion of that has been designated. That does not mean that expenditures will actually exceed revenue. Last year, we thought that $147,000 was going to be used out of fund balance, but as it turned out, revenues exceeded expenditures by $150,000. Again, this is due to budgetary discipline. Mr. Camiller discussed the composition of property taxes. He stated that 13.75 mills is the only portion that is the City’s, or for a homestead property only 36% of their total bill. For non-homestead, 24% would go to the City; the rest would go to the other jurisdictions. He stated that the City still has the option of raising the millage under operating millage, but the City has chosen not to while other cities would be at the maximum. He discussed the Water and Sewer Fund Activity. Working Capital is the difference between current assets and current liabilities or the ability to pay the bills as they come due. This year we do show a loss of Operating Income before depreciation. On a cash-flow basis, operations are actually losing approximately $250,000 per year. As mentioned in the Management letter, it may be time to review the rate structure, and maybe some changes are in order. He discussed restricted assets which is cash held for system improvements. Over the last few years, we have used some of this to do maintenance on the lines, etc. At the end of the year, $7.3 million remained.

Mr. Camiller stated that we have only discussed the General Fund and Water and Sewer fund, however it is much more complex than that. All total, City revenues are approximately $11 million for the year with an additional $27 million that comes through the City in the form of taxes for other governments. He further discussed the Management Letter. He stated that this letter is to point out if there are any problems, suggestions on ways of improving what the City is doing or any other operational matters. Over the last several years, they have not had any of these items to point out. They do make mention of the water and sewer rates and maybe some changes are in order. They also use the letter to point out certain things that are going on either at the County or State level. State Shared Revenues continues to be on the list. The way that State Shared Revenues is shared currently, that system “sunsets” in 2007. The statutory portion will not be guaranteed after that. We will still get the Constitutional piece, and unless they change the State Constitution, that is not going to go away. We do not know at this time whether the State will replace that statutory piece, but if they were not to, the City is only at risk of losing approximately $140,000. He further stated that as a result of having over $500,000 in Federal Revenue relating to the Wastewater Treatment Plant, they did perform an A1-33 or a Single Audit. When Federal Revenues exceed $500,000 that it is required. For the third year in a row, we have had no difficulty and found no problems.

Mr. Les Pulver discussed the positive fund balance. He stated that the City would be the envy of many communities. We have good financial management in the City which allows us to continue to provide the services without the feeling that the City’s back is against a wall.

Council Member Wedell stated that the last paragraph of the management letter with regards to the water and sewer rates, it indicates that the current rate structure does not appear to provide for future capital improvements, yet if we look at the Water and Sewer Enterprise fund, we can see a line item for depreciation, which seems to indicate plans for capital improvements. Mr. Pulver stated that the difference is that you are looking at the financial statement where the accounting principals require depreciation to be charged as an operating expense to reflect the wear and tear and deterioration of the infrastructure of the utility system. However, as near as they can determine, the rate structure does not include much of a factor for saving money for future replacement, but has been based on current operating costs, not taking into account for depreciation. Most communities do not fund all or part of depreciation. Most communities if they are going to put in new lines or a new plant, they are going to get bonds. Councilman Kivell discussed tap-in fees addressing capital improvement. Mr. Pulver stated that this is the $7 million +/- within the restricted assets. Therefore, a good portion of the tap-in fees have been set aside, but also the operating rates could be looked at from a cash-flow point of view.

Councilman Kivell asked how long will the single audit be required. Mr. Pulver stated that it is an annual determination. We have to look at how much federal revenue the City receives on an annual basis. The threshold is $500,000.

Councilman Morelli stated that last year the question was asked regarding whether legacy fees are looked at during audit and asked if this is something that we should be looking at. Attorney Lee stated that our cost for health care is a fixed amount. Mr. Pulver stated that many communities are tied into the legacy costs because they have made a commitment to health care after retirement. That is something that has grown substantially, more than people would have imagined when they granted the benefit. Accounting rules used to ignore it, but there is going to be a new accounting rule that will be phased in a couple of years where that will have to be measured. The City has not agreed to any amount of material legacy costs.

Councilman Dryer asked when the audit was complete. Mr. Pulver stated that the date the field work was complete is the date the report is dated, August 18^th. This would be the last date that they completed any substantial amount of auditing work. After that, they still have wrap-up or waiting for correspondence and then they send it over to the City Manager for review. Councilman Dryer asked when it was ready for presentation. Mr. Pulver, it would have been ready approximately a week ago. The City has chosen to include several pages within this document, which are not required for the City’s financial report. Pages 58-62, which is the statistical information. Because the City issued bonds a few years ago, the City agreed to a Continuing Disclosure requirement. Every year you need to update information that was in the bond offering documents and provide that to a group of repositories. Some communities provide that separate. This is something that does take time after the audit is completed. Councilman Dryer stated that they barely had a chance to look at this, and asked if there was support on demanding of the City Manager to only do this audit presentation three weeks after Council has seen it so that they have more time to look at it. Council Member Kopkowski stated that she would agree. This is a lot to look at in just three days. Further discussion was held on delaying the presentation until after Council has time to review the document. Mayor Doyle stated that he would support doing that as well. Councilman Kivell stated that Mr. Pulver has always been willing to come back at any subsequent meetings to address any further question.

Councilman Kivell asked what the typical expenditure proportion for public safety for other communities. Mr. Pulver stated that for most cities of small to medium size, it is generally over 50%. It is usually the most important and the most costly of all the departments of most cities. In some communities such as townships, it might be less due to some shared services. Typically, it could be from 45-65%. Further discussion was held on public safety services being a 24-hour per day service, etc.

Mayor Doyle thanked Mr. Pulver and his staff for their work and thanked Lori Mosier, Bookkeeper for her help in putting this together.

Community Development Block Grant Program – Planning Allocation - $39,448

Mayor Doyle stated that in the packet was a memo from the City Manager detailing the program year. This is informational. It is getting more and more challenging to execute this particular grant because of the area we can use the funds is just the northwest quadrant of the City, and a good portion of that is Colonial Acres, which is a private development so we cannot use the funds there. He stated that there have been some suggestions and asked that Council give it some thought as to what they would like to see. We can also defer these funds until the next program year.

The question was asked if the project was over the $39,448 if the City would have to make up those funds. It was stated that we would have to make up those funds unless the City wanted to defer the funds for a couple of years.

Discussion was held on other options that the funds could be used for other than sidewalks. It was requested that the City Manager provide the list of acceptable projects. Councilman Kivell stated the area we are dealing with still has a need for sidewalks, and we are bringing sidewalks on line every year.

Replacement of Rooftop heating and cooling unit – Ambulance quarters

Fire Chief Kaska stated that HVA has been remodeling the ambulance section of the building. While doing so, they requested that Lyon Mechanical check the rooftop unit, which is the original from when the building was built over 20 years ago. They found a crack and small hole in the heat exchanger. At that time, we did request three quotes for replacement of the unit. The low quote is from Faller Mechanical in the amount of $5,540.

Council Member Maida stated that on the quote from Kropf, they are indicating the use of a crane as well as a one year labor and parts warranty which is not included in the quote from Fallert. For the difference of $95, it would make more sense to go with someone offering warranties. She questioned whether Fallert simply failed to put that in their quote. Chief Kaska stated that he will check with them, but he is sure that they do offer the warranty. It would require a crane for the installation regardless of which company we selected. Councilman Kivell stated that typically, the manufacturer would offer the warranty for the equipment. He further stated that we have had discussions in the past about trying to use local vendors, and Fallert is local.

CM 10-4-06 – APPROVAL OF LOW QUOTE – ROOFTOP HEATING & COOLING UNIT

Motion by Kivell, supported by Kopkowski

To approve the quote from Fallert mechanical for the purchase and installation of a rooftop heating and

cooling unit for the ambulance quarters in the amount of $5,540

VOTE: MOTION CARRIED (1 OPPOSED)

Renewal: Michigan Municipal League – Liability and Property

Mayor Doyle stated that we have the premium breakdown for liability and property insurance.

Councilman Wedell stated that the church building at the Historic Village is not included in the breakdown. City Clerk/Treasurer Zemke stated that she would check into it.

Discussion was held on the excellent service we have received from the insurance company in the past. It was stated that the premium is actually $606 less than what we paid last year. It was stated that the cost is also based on the number of claims they experienced in the past year. Councilman Kivell further stated that we do not really have an alternative.

CM 10-5-06 – INSURACE RENEWAL – MML – LIABILITY AND PROPERTY

Motion by Kivell, supported by Dryer

To approve the insurance renewal with the MML Liability and Property Pool in the amount of $136,637

VOTE: MOTION CARRIED UNANIMOUSLY

NEW BUSINESS:

Detroit Edison vs. City of South Lyon – MTT Docket No. 0261913 – Agreement concerning acceptance of tax payment

Attorney Lee stated that the audit letter warns about the reduction that the City might have to suffer from the satisfaction of the Detroit Edison liability. However, due to the conservativeness of the City, we have not collected any money from Detroit Edison because we have a policy that we do not accept partial payments of taxes. Detroit Edison went to the Tax Tribunal and received a stay to preclude us from foreclosing on them while this lawsuit was pending. Detroit Edison sued almost every taxing authority in the State of Michigan claiming that the methodology used in determining the formulas for taxing personal property was over valued and they were entitled to a reduction. A settlement has been worked out between the Assessors that the Michigan Tax Tribunal will accept for the measure and tax of utility personal property. The agreement we have is our acceptance of that Consent Judgment. As a result the

City will receive $546,000, we will not be refunding. Of that amount, $240,000 +/- is ours, the balance will be spread out amongst the other taxing authorities for which we collect taxes.

The question was asked about the amount of penalty and interest if it were collected. Attorney Lee stated that he does not have that number, but that was waived as part of reaching the settlement agreement.

Councilman Dryer asked if Oakland County is going to demand any money for the legal work. Attorney Lee stated that the Tax Tribunal is generally a discussion among assessors, and attorneys do very little except to make sure they stay on track.

The question was asked what would happen if we did not approve this. Attorney Lee stated that we could go to a full trial in front of the Tax Tribunal and spend $200,000 +/- on experts.

CM 10-6-06 – ACCEPTANCE OF AGREEMENT – DETROIT EDISON VS. CITY OF SOUTH LYON

Motion by Dryer, supported by Morelli

To accept the Consent Judgment and Agreement Concerning Acceptance of Tax Payment with

regards to Detroit Edison Company vs. City of South Lyon

VOTE: MOTION CARRIED UNANIMOUSLY

Resignation from Parks and Recreation Commission & Appointment

Mayor Doyle stated that we have received a letter of resignation from Parks and Recreation from Maggie Kurtzweil who has been serving both on the Planning Commission and the Parks and Recreation until a replacement could be found to fill her position on the Parks and Recreation Commission. We need to accept that letter of resignation.

Councilman Dryer stated that he served on the Parks and Recreation with Maggie and she has been fabulous in that role.

CM 10-7-06 – ACCEPTANCE OF RESIGNATION – PARKS AND RECREATION COMMISSION

Motion by Dryer, supported by Morelli

To accept the resignation from the Parks and Recreation from Maggie Kurtzweil with thanks

VOTE: MOTION CARRIED UNANIMOUSLY

Mayor Doyle stated that on behalf of the City Council, he would like to thank Maggie for all the work she does for the City. She made a real difference to the Parks and Recreation.

Mayor Doyle stated that he has received a recommendation from Randy Cortright, Chairman of the Parks and Recreation Commission for the appointment of Robert McConnell to fill Maggie’s position.

Mr. McConnell stated that he lives at 1140 Vassar and has been a resident since 1997. He has three children and many people know him from the time he spends at McHattie Park. He stated that he is a business owner in the City of Wixom doing custom sheet metal fabrication and could bring to the Commission his knowledge of structure, etc.

Mayor Doyle stated that Mr. McConnell came highly recommended by both Maggie Kurtzweil and Randy Cortright. Over the years, the Parks and Recreation Commission has had a remarkable chemistry, and it has been very important to appoint the right people to keep that going.

CM 10-8-06 – APPOINTMENT TO PARKS AND RECREATION COMMISSION

Motion by Doyle, supported by Maida

To appoint Mr. Robert McConnell of 1140 Vassar to fill the vacancy on the Parks and Recreation

Commission

VOTE: MOTION CARRIED UNANIMOUSLY

COUNCIL COMMENTS:

Councilman Kivell stated that there is a phone and cable line that had been attached to the top of what had been a pole on the corner of Whipple and Warren and asked when those wires may be relocated. Mr. VanDeCreek stated that the pole is at the northwest corner of Warren and Whipple. Prior to them starting the project, there was a pole that was imbedded in the curb line. When they re-designed the intersection, they called for the pole to be relocated and coordinated with the utility companies to get those moved. Edison moved the large power lines. The lines that remain are Millennium cable and perhaps telephone or the schools fiber optic. It is not uncommon that once the primary power is moved, you have the secondary lines moved. It will be moved and pole removed. The project contract will not be closed out until that is fully relocated. Once the contract is signed, it becomes the contractor’s responsibility to make sure that the relocation is complete.

Councilman Kivell asked about the time line for paving. Mr. VanDeCreek stated that on the Whipple Street project, the first course did get down to accommodate the Homecoming and Pumpkinfest parades. The milling is scheduled for the local section on Tuesday. They do expect some base repair to occur along the edge of the road. The paving of the wearing course the whole length, the major and local sections is scheduled for this Friday with restoration immediately after. On Crest Lane, the sub-base has been repaired and all of the cuts of the damaged areas have been removed and squared up. The current sub-base adjacent to the existing road is approximately 1-1 ½ inches low. Tomorrow the leveling course will go down along with some driveway work and on Wednesday, the 2-inch cap is scheduled to occur. The Orchard Ridge CDBG project is well under way. All of the sidewalks are currently formed and the first pour is scheduled for tomorrow.

Councilman Kivell asked Chief Collins if he has been able to conduct the gap study on Nine Mile. Chief Collins stated that it is approximately 50% complete. As far as the speed study, the data has been gathered and it is in the analysis stage.

Council Member Kopkowski stated that we have talked about the list of roads previously and asked if she can receive a copy of the list. Superintendent Renwick stated that the City Manager has the list. Council Member Kopkowski stated that she has tried to get that list a couple of times and indicated that she will get a copy from the City Manager.

Councilman Dryer stated that during the Pumpkinfest Parade, he received a complaint that since we increased the speed limit on Nine Mile to 35 miles per hour, residents of Maple Creek are having a more difficult time getting across Nine Mile. There are some concerns from parents on the south side of Nine Mile about getting across. He stated that we need to step up our discussions about a crosswalk, etc.

Mayor Doyle stated that Pumpkinfest went wonderfully and thanked all of the volunteers that made it a success. He stated that he was lucky enough to be a judge at the dog show, and he received many compliments about the whole event.

Mayor Doyle stated that he has been requested to mention that the Census is going on right now. There are people going door-to-door right now and are simply requesting the names of the individuals living in the home. He stated that it will make a big difference for the City with funding opportunities, liquor license, etc. Furthermore, we do need some more volunteers. The pay is $9 per hour plus mileage and is a temporary assignment. Anyone interested should stop in and see Julie Zemke at City Hall.

Mayor Doyle stated that he wanted to point out a correction. In last week’s newspaper, there was an article that stated that Council had made a decision to increase water and sewer rates. We are in a discussion and there is a sense that there is a need to do something, but nothing has been done yet. The other point of the article that is misleading is that the City is in financial deficit. He stated that we have been funding operations of the new plant, but we are taking steps to address that.

Councilman Wedell stated that he would like to comment on the appointment process. He stated that it seems that when we accept a resignation and make an appointment all in the same meeting, we are limiting the opportunity for other people to apply and would hope that in the future we would allow some gap in time before the appointment is made. Parks and Rec Chairman Cortright stated that they have had some turn over on the Commission. They had a couple vacancies for about a year and they ended up having problems 2-3 meetings per year getting a quorum due to illness, work, etc. We were fortunate to fill those vacancies, but there is not a list of people volunteering for these commissions. Maggie actually helped out the commission by doing double duty until her replacement could be found. Discussion was held on possibly being more proactive in seeking volunteers for these positions. Mayor Doyle stated that we do have an application on our website, and he would encourage anyone interested to fill out the application and return it to the City Clerk’s office.

Council Member Maida stated that she would like to thank Jesse VanDeCreek for all of his help making sure that the roads were ready for the parade, etc. In fact, there was a trip hazard identified, and he got that taken care of. Also, thank you to Steve Renwick and the DPW for their work. The Pumpkinfest was a great success and she would like to thank the City of South Lyon, the businesses and the volunteers for the role that they played in making it a great success.

Councilman Morelli stated that at the MML meeting he attended, they discussed the cable franchise issues. He stated that they are fearful that communities are going to lose their franchise abilities. One thing they stressed was that every community should look at their right of way restrictions and ordinances. They indicated that most cities do not have any, and most of the restrictions are within the cable agreements. They stressed that all communities should look at this issue before these contracts may disappear. Attorney Lee stated that he has been in contact with the City’s Planner indicating that this would be a proper subject at the Planning Commission.

Councilman Morelli stated that to go on our website to look at our agendas and minutes through Internet Explorer, you can only get about ½ the information. If you go in through AOL, you can get more and questioned why that would be. City Clerk/Treasurer Zemke stated that actually, for approximately three weeks we have had difficulty with our webhost. Our site did go down for a period of time, and when they brought it back up there have been some issues and we have not been able to update it until today. In an effort to get today’s information out, we did get tonight’s agenda on the site. However, in the changes that took place, we lost everything from March until now. Those are being restored, but it will take time.

Councilman Morelli stated that on Whipple Street from Pontiac Trail to Hagadorn, there are two driveway approaches that are city-owned that are still asphalt, not concrete. He asked why they would not also be concrete. Furthermore, on the opposite side of the street, it looks like the approaches were put in wrong. He asked how the asphalt would be feathered to “nothing”. He asked if they were done appropriately or done wrong. It looks like the asphalt is going to go over the new curb. He stated that is not how asphalt is supposed to be layed.

Jesse VanDeCreek stated that the City’s policy is to replace driveways in kind. There was asphalt existing in those locations before so asphalt goes back. The question was asked about the ability to withstand. Mr. VanDeCreek stated that what they put in there was a six inch deep strength asphalt, therefore it would be sufficient for the fire trucks, etc.

Mr. VanDeCreek stated that with regard to the asphalt overlay of the road and how that will meld in with the driveway approaches, you do have a rolled curb or rolled lip across the approaches. The milling that is going to occur is going to take off 2 inches of the existing road on the inside. The contractor will apply a tack coat and a bond coat to the faces of the curb. Typically, the lip is a 1-inch lip on a type F-2 curb. We put in a 2-inch lip on a type F-2 curb so that when the 2 inches come up against it, it will bond to the face of it. Councilman Morelli stated that some of them look like a bigger roll, but some do not. Mr. VanDeCreek

stated that they probably are not all the same. It is a retrofit project. We do not have consistency on the street. The only way to have that consistency is to remove all the curb and gutter and reconstruct the whole road. This is a maintenance style project so we do not have the ability to re-straighten the entire road to achieve constant grade from one end to the other. The concern about the drainage that was brought up early on caused us to get into the topographical data in detail and is what allowed us to lower the structures on the south side of the road creating low spots mid way. You cannot carry storm water from Warren all the way to Hagadorn. The solution was to lower those catch basins and put in new storm drainage pipe and re-work the approaches the best we could to continue to maintain that grade. You will also see the milling tip toward the catch basins as we approach them and come out, again to make sure that we get the water off the road.

Councilman Morelli asked as years go by and asphalt wears, where it adheres to the cement as hairline cracks occur, where is the water going to go. If it goes under the concrete as it freezes and thaws will it not crack that. Mr. VanDeCreek stated that this could happen anywhere. He stated that by putting in a concrete curb as a sub-base through the approach, it will in the long term, effectively strengthen that cross section. He further explained that on a concrete roadway, when the roadway deteriorates, the first thing you see is a concrete repair. When that starts to fail, you go with an asphalt overlay. When that fails, everything comes up. It is set low right now. The curb is actually going to be overlaid with 2 inches of asphalt.

Councilman Morelli questioned what kind of warranty comes with this work. He stated that when you have snow blowers and plows going over these areas, it is going to chip. Mr. VanDeCreek stated that we have a one-year maintenance and guarantee bond on the project.

Councilman Morelli asked for another project that he could go out and view. Mr. VanDeCreek stated that he is not aware of another project that is in the same state of construction as we are. Mr. Morelli stated that he would like to see one that was completed a year or more ago. Mr. VanDeCreek stated that he would get that information back to Council.

CM 10-9-06 – ADJOURNMENT

Motion by Wedell, supported by Morelli

To adjourn the meeting at 9:04 p.m.

VOTE: MOTION CARRIED UNANIMOUSLY

Respectfully Submitted,

______________________________ _______________________________

John Doyle, Jr. Julie C. Zemke

Mayor City Clerk/Treasurer