SUMMARY MINUTES OF A WORK SESSION
OF THE CHAPEL HILL TOWN COUNCIL
Friday, February 28, 2003, at 12:00 Noon
Mayor pro tem Pat Evans called the meeting to order at 12:00 noon.
Council members present were Flicka Bateman, Ed Harrison, Mark Kleinschmidt, Bill Strom, Dorothy Verkerk, Jim Ward, and Edith Wiggins.
Mayor Kevin Foy arrived at 12:45 p.m.
Staff members present were Town Manager Cal Horton, Assistant Town Manager Florentine Miller, Town Attorney Ralph Karpinos, Assistant to the Manager Bill Stockard, Public Works Director Bruce Heflin, Urban Forrester Curtis Brooks, Transportation Director Mary Lou Kuschatka, Parking Services Superintendent Brenda Jones, Parks and Recreation Director Kathryn Spatz, Assistant Parks and Recreation Director Bill Webster, Library Director Kathy Thompson. Assistant Library Director Mark Bayles, Housing Director Tina Vaughn, Assistant Housing Director Glenn Davis, Assistant to the Attorney Toni Pendergraph, Engineering Director George Small, Inspections Director Lance Norris, Assistant Inspections Director Bobby Pettiford, Human Resources Director Pam Eastwood, Assistant Human Resources Director Anissa Graham-Davis, Field Operations Superintendent Richard Terrell, Internal Services Superintendent Bill Terry, and Town Clerk Joyce Smith.
Item 1 - Public Works Department
Public Works Director Bruce Heflin described the December 2002 ice storm as a defining feature for the Public Works Department, with expenses expected to exceed $1 million. He said that the Federal Emergency Management Agency (FEMA) would not reimburse the Town for an estimated $30,000 in stream clearing, but he hoped to reverse that decision on appeal. Mr. Heflin noted that the ice storm had been a major disruption of other Department work.
Mr. Heflin presented a preliminary budget request of $10,630,000, commenting that the amount did not differ much from last year. He listed the Department's various divisions, which include Management and Support Services, Field Operations (including traffic, construction, streets, right-of-way/drainage programs), Internal Services (including fleet and building maintenance), Landscape, and Solid Waste Services. Mr. Heflin described each one in detail, outlining the various services under each division.
Mr. Heflin pointed out that a 5% reduction in the Public Works budget would total $531,500, adding that such a cut could not be made without seriously reducing services. The only thing the Department could eliminate to meet that overall number would be commercial garbage collection, he said. Mr. Heflin explained that eliminating commercial garbage collection would save more that $700,000 in the first year and about $520,000 each year thereafter. He recommended keeping the employees, however, which would yield reductions of $647,000 in the first year and $387,000 in subsequent years.
Council Member Verkerk asked if the Town staff might phase out some of its expensive sport utility vehicles (SUV’s). Mr. Horton explained that those using SUVs were primarily inspectors and engineers who go into areas where there are no established streets. The SUVs are also used in ice and snow conditions, he said. Mr. Horton added that the Town had intentionally reduced its SUVs to the number needed and would not likely expand that fleet.
Council Member Wiggins determined that storm debris would be collected as part of normal weekly debris collection. Mr. Heflin remarked that some of it might be picked up by a contractor, but that it would all be picked up.
Council Member Ward asked if collecting vegetative debris biweekly rather than weekly would achieve savings. He also asked if it would make sense to chip debris on site and make it available to homeowners rather than taking it to the landfill.
Council Member Ward asked if the Interfaith Council (IFC) building would qualify for grant funding. Mr. Horton replied that he was not aware of any funding for which it would qualify. He said the Town could probably use Community Development (CD) funds for that building, but had not considered doing that in the past because of the many demands on that relatively low level of funding. Council Member Ward emphasized that the IFC building was an historic one. Mr. Horton stated it might be possible to find “pork barrel” funds at the federal or State level.
Council Member Ward asked for more information on why a fire training facility would be a good investment. Mr. Horton agreed to have the Fire Chief prepare a response.
Council Member Strom asked if the Town could do anything about street maintenance, such as letting the Legislature know that the Town is looking at a 12% increase in costs and asking for some assistance. Mr. Horton replied that the Town's total street maintenance costs greatly exceed Powell Bill funds, noting that the Town also maintains associated systems. Mr. Horton stated, however, that Council Member Strom was correct to suggest seeking a greater share of funding.
Council Member Strom asked what the Council could do to help obtain funds. Mr. Horton replied that Council members already had helped by making it clear to the legislative delegation that the Town needs additional funding flexibility. He said the Council could adopt a resolution supporting preservation of the fuel tax funding and suggesting that additional funding be provided. Mr. Horton offered to draft such a resolution if Council members so wished. Council Member Strom asked for a resolution on the following Monday to move the Council in that direction. Mr. Horton replied that he would draft the resolution as soon as possible. Council Member Strom noted, however, that he was only one Council member making this request.
Council Member Strom asked Mr. Heflin to comment on the Town's relationship with private contractors regarding streetscape construction. Mr. Heflin deferred to Urban Forester Curtis Brooks, who commented that using subcontractors to supplement Town work had been successful. He said the first complete contracted job was at Orange Skills Development Center. Mr. Brooks explained that this had been an Orange County contract and the end product had been adequate. He noted, though, that the process had been troublesome and the project had not been as successful as the work the Town does in-house.
Council Member Harrison inquired about the Town's schedule for sweeping streets. Field Operations Superintendent Richard Terrell explained that the Town had recently added a second sweeper. The objective is to sweep the Downtown twice each week, major streets once weekly, and residential streets once every six weeks, he said. Mr. Heflin pointed out that the street sweeper was a high-maintenance piece of machinery which experiences much down time. Council Member Harrison pointed out that sweeping streets benefits water quality. He also remarked that trucks driving around looking for debris were burning up a fair amount of fuel, adding that just as much might be accomplished with less frequency.
Council Member Bateman pointed out that the Public Works Department was requesting about $17,000 more than last year. She asked how much more it would cost to have all that they wanted. Mr. Heflin replied that an additional crew would cost about $110,000. He said the Department was developing an add list but did not yet have the final number of additions.
Mayor pro tem Evans asked if landscape firms had been taking their own waste to the landfill. Mr. Heflin replied that the Public Works Department gives contractors permits and allows them to rent dumpsters in the names of residents. He pointed out that it was virtually impossible to distinguish between yard waste placed at a curb by a contractor from that placed there by an individual. Mayor pro tem Evans asked if the Town had notified landscapers to haul the waste away. Mr. Horton explained that the property owner makes the decision of whether to pay the extra fee or not. He said he did not think there was an enforceable and fair way to require contractors to haul debris away.
Council Member Bateman commented that she would not support pushing this issue because yard waste collection is a service that goes to all taxpayers.
Mayor pro tem Evans asked if FEMA would pay for some of the ongoing cleanup. Mr. Heflin replied that FEMA would not pay for collections beyond a certain point. He expected that the Town would not be reimbursed for a portion of that, he said, adding that it might be years before some people would remove damaged trees. Mr. Heflin said the project runs through June 4, 2003, and the Town would need fairly compelling reasons to ask for an extension.
Mayor pro tem Evans verified that the Town had garbage trucks that could navigate alleys at Southern Village. Mr. Heflin commented that Public Works had been working with the Town Attorney to resolve an issue with Southern Village homeowners regarding condition and upkeep of those alleys. Mayor pro tem Evans ascertained that the "stormceptor," for storage and slow release of water, would need to be maintained and monitored.
Council Member Wiggins noted that Orange County generates revenue at the landfill by accepting mulch, processing it, and selling it back to customers, including the Town.
Council Member Ward inquired about the Town chipper, and Mr. Heflin replied that he would bring back a report on that. Mr. Heflin questioned whether the Town should chip waste Town-wide, noting that mulch needs to season and the Public Works site has limited space to store it. Council Member Ward explained that he had meant to suggest chipping it where you find it and leaving it there. Mr. Heflin agreed to bring back information on that.
Council Member Strom commented that reducing trash collection was a viable option and asked Mr. Horton to keep that in the mix of items to be considered.
Mayor pro tem Evans argued that commercial businesses in Town pay taxes as well, and are entitled to services such as trash collection. She cautioned Council members to consider the unintended consequences of eliminating such services.
Mayor Kevin Foy arrived at 12:45 p.m.
Item 2 - Transportation Department
Mr. Horton introduced Transportation Director Mary Lou Kuschatka and Parking Services Superintendent Brenda Jones. He noted that these two operations had been combined and that Transportation had become a $10 million project because of its success in providing services. Mr. Horton pointed out that parking was now available in downtown Chapel Hill, and proposed that much of that was due to the Town's fare free bus service.
Ms. Kuschatka displayed slides showing the Town's new buses. She pointed out that the Town had increased its fleet by 26 full size buses in the last year. Ms. Kuschatka then reviewed the key transit services, which are:
· Fixed Route Transit Service (22 Routes)
· EZ-Rider Services for Mobility Impaired
· Shared Ride Services, Feeder Service
-Supplements Fixed Route and EZ-Rider Services
· Tarheel Express Service
-Park/Ride Shuttle for Special Events
Ms. Kuschatka noted the change from 451 hours of service per day in August 2001, to 556 hours per day in August 2002. She stated that the Town had been operating many more vehicles on more routes since fare free service began. Ms. Kuschatka displayed a graph illustrating the change in ridership from about 3 million in 2001 to 4.3 million in 2002 and displayed a graph showing a month-by-month comparison of ridership between 2001 and 2002. She presented a chart comparing expenses and showing the increases in personnel, insurance, and the reserve for pay adjustment.
Ms. Kuschatka said that the capital reserve amount was up because the Transportation Department had put a portion of the local share cost away to replace all the vehicles. The Department had also put money toward the transit portion of the Town Operations Center, she said. Ms. Kuschatka explained that she anticipated securing State funding, noting that the local portion would be 10%. She displayed a revenue chart that included federal and State operating assistance to Chapel Hill. She pointed out that Chapel Hill provides 24% of the resources needed to run the system. Carrboro provides 8%, UNC provides 41%, and federal and State operating assistance is 24%, she said. Ms. Kuschatka estimated that the Tarheel Express revenue would be $286,000. She pointed out that the Town also makes some money with the park and ride lots.
Council Member Verkerk asked why Carrboro's share was so low. Ms. Kuschatka explained that each share is based on population. Carrboro's population is 17,000, she said, with Chapel Hill's and the University’s populations being 52,000 and 39,000, respectively. The University pays in full for all of its routes, Ms. Kuschatka explained, and federal and State money drops Carrboro's share down to 8% rather than 16%.
Council Member Kleinschmidt commented that Carrboro's contribution seemed extraordinarily low for the high level of service they receive. Mr. Horton suggested that Assistant Town Manager Flo Miller address the negotiations that the Town has gone through to get to this point.
Ms. Miller agreed that Carrboro has a relatively high level of service. This is partly due to the way the bus routes are formed and the history of that, she said. Ms. Miller stated that the population-based formula was working. There are ongoing discussions regarding who will pay for additional service when it is asked for, she said, adding that the partners were continuing to look at that. Ms. Miller pointed out that the amount paid seems too low to some and too high to others.
Ms. Kuschatka explained that Chapel Hill's revenue was made up of a transportation tax and the $5.00 on vehicles that are registered in the Chapel Hill/Carrboro area. She pointed out that this budget would require additional revenue on the Chapel Hill portion.
Ms. Kuschatka listed the key parking services:
· Operate off-street parking facilities
-James Wallace Parking Deck
-Lots 2, 3, 4, 5 and 6
· Provide on-street metered parking
181 meters in Town Center, 309 throughout Town
· Continue parking enforcement activities
-Monitor metered parking
-Control no parking zones
-Patrol residential permit zones
Ms. Kuschatka noted that the Department had instituted a grace period last year for expiration of time on parking meters. This had been very well received in Town, she said, and the Department was receiving fewer complaints about expired parking meters. Ms. Kuschatka agreed with Mr. Horton's statement that fare free buses had resulted in available downtown parking during daytime hours.
Council Member Kleinschmidt commented that there could be several other reasons for the vacant spaces downtown, such as vacant commercial space, depressed economy, and competition from Southpoint Mall, for example. He wondered if the case could really be made that more parking had resulted from fare free bus service. Mr. Horton pointed out that there had been times in the past when buildings were empty and the economy was depressed and there were no empty spaces in the parking deck at lunchtime. He maintained the view that available parking was the result of the things the Council had done.
Mayor Foy pointed out that private operators of downtown parking lots agree with Mr. Horton's assessment.
Mayor pro tem Evans wondered if the Town might have raised parking deck fees too high. She suggested that Ms. Jones explore whether the Town would receive more income with a lower rate.
Council Member Wiggins asked how increasing the fee on the Tarheel Express had affected ridership. Ms. Kuschatka replied that it was hard to determine whether ridership was affected by that or by basketball volatility. She noted that ridership had not been affected during the football season, but added this was very difficult to analyze.
Council Member Wiggins praised the success of the Tarheel Express, commenting that citizens really appreciate it. She asked if the $5.00 fee was the right amount for that service. Ms. Kuschatka replied that $5.00 guarantees that the service is self-supporting and that the Town will come out slightly ahead at the end of the season.
Mayor Foy asked how Tarheel Express had been working out in conjunction with extended hours. Ms. Kuschatka replied that there had been difficulty with the 7:00 p.m. ballgames because people then start gathering in parking lots during peak hours. The Town is very challenged, she said, to get seven or eight buses out at the beginning of the event. Mayor Foy asked if the Department had received complaints concerning that. Ms. Kuschatka replied that there had been complaints surrounding the first game, but the situation had improved since then.
Council Member Verkerk asked how rising gas prices might affect the Department. Ms. Kuschatka replied that her budget was built on $1.05 per gallon. Mr. Horton added that he probably would recommend something higher than that.
Council Member Verkerk inquired about weekend evening buses. Ms. Kuschatka described that program as being off to a slow start with 30 riders at most. She noted that these buses had been a student initiative and that there were six weeks remaining in that contract.
Mayor pro tem Evans praised Ms. Kuschatka for successfully advertising the fare free buses.
Mr. Horton asked Ms. Jones to report on the re-layout of Parking Lot 5 using new technology. Ms. Jones reported that the total cost of installing two solar-powered credit card pay stations at Lot 5 would be $32,732 for the first year, adding that various options determine the cost. She explained that one machine can accept parking tickets and another has audio voice instructions and can load time back on the smart card.
Mayor pro tem Evans asked when the machines could be installed. Ms. Jones replied that it would take three to eight weeks from order to installation.
Council Member Strom noted that the Schlumberger (pay-on-foot system with capability to accept credit cards) does not require a telephone connection. Ms. Jones explained that the machines come with online or offline credit card processing and that installing a wireless modem would cost about $995.
Council Member Strom asked if there was an application where people could pay and display on the street. Ms. Jones replied that the Town would need 22 stations to replace on-street meters in the downtown area. This would cost about $230,000, she said. Mr. Horton pointed out that replacing street meters probably was not feasible now since the Town had drawn down the parking funds substantially. He noted that the program would not generate a predictable large increase in revenue. Mr. Horton suggested converting Lot 5, gaining experience from that, and then considering other changes.
Council Member Strom asked about the possibility of a hybrid, using the meters in Lots 2 and 3. Mr. Horton agreed to check into that.
Council Member Kleinschmidt asked if the Town had looked into making leased spaces not used at night available for public parking. Ms. Jones replied that the machines could be programmed to allow that.
Council Member Kleinschmidt inquired about leased lots on West Franklin Street. Ms. Jones explained that the Town was currently leasing eight spaces to individuals. But there had been complaints from others that the rate was too high, she said.
In response to a question from Mayor pro tem Evans, Ms. Jones said the Town probably would generate more income by reducing the rate from $80 to $50 and leasing the 12 remaining spaces.
Council Member Harrison asked Ms. Kuschatka if she planned to bring a recommendation for eliminating a half-time marketing position. Ms. Kuschatka replied that she would do so because of more pressing needs. Even with the increase in the number of buses, routes and hours, she said, the Department had not increased its maintenance staff. Ms. Kuschatka explained that she had been working with a consultant to determine Department needs and would come back to the Council with a report and a request for maintenance personnel.
Council Member Harrison said it looked as though it would be more cost-effective to have more drivers than to continue paying overtime. Ms. Kuschatka agreed, adding that she was working with a consultant on that issue as well. She would come back with a report and a suggestion to exchange some of the overtime for driver positions, she said.
Mayor Foy inquired about rules for retiring buses. Ms. Kuschatka explained that if the vehicle sells for $5,000 or less then the Town keeps it. If it sells for more than $5,000, then 80% must go to the federal government, she said. Finance Director Jim Baker recalled that the Town had in the past sold about $200,000 worth of buses and given 80% of the proceeds to the federal government. But the Town got that money back through other grants, he pointed out.
Mayor Foy, noting that the Town might not want to give up all 13 buses, inquired about refurbishing them. Ms. Kuschatka described these as some of the best buses in the industry. She explained that they could be refurbish back to a new condition for about one-half to two-thirds of the cost of new buses. Ms. Kuschatka pointed out that the buses would have to be equipped with wheelchair lifts, since they are the only ones in the fleet without them. Mr. Horton explained that the Town would receive grant funding to replace buses, and proposed that it would be better to go a head and replace them. He mentioned that the Town did not have the maintenance staff to keep buses running for 15 years. It is absolutely essential to find money for additional mechanic positions in this budget, Mr. Horton said.
Council Member Strom inquired about leasing old buses to another city. Ms. Kuschatka replied that this was a viable alternative, noting that she had received calls from both Greensboro and Raleigh regarding the Town's used buses. She agreed to consider doing that with the retiring 13 buses.
Council Member Kleinschmidt described the Transportation Department as a jewel in the crown of Chapel Hill, and thanked Ms. Kuschatka for her hard work.
Mr. Horton noted that the Town has had difficulty filling the assistant director position. He said that Ms. Kuschatka was swamped with work and that he had dispatched his own assistant, Bill Stockard, to work with her half time.
Item 3 - Parks and Recreation Department
Parks and Recreation Director Kathryn Spatz explained that the classic model for a parks and recreation department has three key components: preservation of open space, active improved space for athletic events, and special community events. She listed the Town's key facilities: 14 parks, 2 swimming pools, 2 community centers, 3 gymnasiums, a skateboard park/batting cage facility, a dog park, outdoor gardens, athletic fields, tennis/volleyball/basketball courts, an extensive trail network, and numerous open space areas.
Ms. Spatz proposed moving funding from the temporary salary for the Outreach/At-Risk Youth Specialist position at the Hargraves Center into a permanent part-time position to oversee the after school program, the summer camp, and anything else at Hargraves. She stated that consistency and stability was essential when working with at-risk youth.
Ms. Spatz said that the Community Center had no more programming space and that it was virtually impossible to keep the building maintained. She explained that the Parks and Recreation Department now has the ability to register people for activities online from other Town sites.
Ms. Spatz noted the increasing demand for field and facility space. She commented on the difficulty of protecting Town resources when so many groups constantly use them. Ms. Spatz explained that her Department would be doing more intensive conduct training. Regarding the Special Olympics Program, she noted that Chapel Hill's volunteers do things that every other jurisdiction pays people to do.
Ms. Spatz pointed out that both Southern Community Park and the Aquatic Center projects will be time-consuming. She expressed enthusiasm for the sculpture garden, the greenways projects, and land acquisition. Ms. Spatz proposed two additions to the budget: an estimated $20,000 for the Fourth of July Celebration with fireworks at Kenan Stadium, and $2,300 for a 5% increase in funding for the Chapel Hill Senior Center.
Ms. Spatz explained that the Department tries to recoup 10% of direct costs with most of its programs. Therefore, it would not do any good to cut most adult programs, she said. Ms. Spatz explained that the Parks and Recreation Department does not recoup a significant amount of revenue from the summer day camp and the after school programs at Hargraves and at Street Scene. Options for saving 5% would be to shut down facilities for a certain period of time each week, she said, but pointed out that the choices a town makes for parks and recreation define its values more than with other departments.
Mayor Foy commented that he regretted cutting the Fourth of July Celebration last year, and asked Council members and staff to give serious consideration to funding that again.
Council Member Ward determined that the Lincoln Center would not be available for the pottery programs in 2007. He asked when the Community Center at Homestead would be up and running. Assistant Parks and Recreation Director Bill Webster replied that this would depend in part on how the relationship between the County and Town works out. He predicted that it would be four to five years before the project got underway. Council Member Ward asked Mr. Webster to bring back a ballpark figure on whether that space could be used for the pottery program.
Council Member Bateman cautioned against compromising the Town's commitment for that space in order to accommodate the pottery program. She asked if anyone had looked into her suggestion to consider using a mobile unit for pottery. Mr. Horton replied that one of the difficulties would be getting water and sewer to a mobile unit. He added that mobile units are not inexpensive and questioned where the Town could put it. Council Member Bateman pointed out that schools had managed to get water and sewer to mobile units. She said that there was space for one behind the Community Center.
Council Member Bateman asked if any thought had been given to providing extra parking at the Community Center. Mr. Webster replied that there were parking spaces in back that were not utilized. He said the Department intended to put up signs telling people that there was parking available back there. Council Member Bateman described the current situation as very inconvenient and potentially dangerous.
Council Member Harrison underscored a comment that Ms. Spatz had made about nothing her Department does being required by law. He agreed with Mayor Foy's recommendation to hold the Fourth of July Celebration this year. Council Member Harrison mentioned a field in Burlington Park on Ephesus Church Road that was being destroyed by soccer use. He asked if this was happening to other neighborhood parks as well. Mr. Webster explained that the primary users of that Burlington Park field were members of the Latino community who do not lease Town facilities. That is one of the few, flat, grassy areas that the Town has, Mr. Webster said, adding that this probably will be an ongoing problem until the Town can offer other areas.
Mayor pro tem Evans encouraged the Department to start a drop-in program at the new Rashkis Gym. She also recommended posting promotional material on buses and at kiosks.
Mayor pro tem Evans asked how many people attend the Teen Center. Ms. Spatz replied that there was a regular group of about 25, and Mayor pro tem Evans requested more information on that.
Council Member Verkerk determined that the Town’s nature programs and workshops were self-sustaining.
Council Member Ward inquired about using the basement of the Chapel Hill Museum for the pottery program. Mr. Horton agreed to check on the specifics of the Town's lease with the Museum. He pointed out that there might be a problem with parking. But the primary impediment, Mr. Horton said, might be the terms of the lease. Council Member Ward suggested framing the inquiry so that the Museum would see the pottery program as an enhancement. Mr. Horton replied that the Museum might have to evict the Historical Society with whom it has a sublease.
Council Member Bateman ask Ms. Spatz to state the Department's vision at some point, including who they want to target, who is under-served, and how much it would cost to achieve that vision. She stressed that she would like to see the Department serve people with disabilities at all points of the spectrum.
Council Member Strom asked if there was anything else the Council could do to get the next significant greenways project underway. Mr. Webster replied that there was no major project in the pipeline. He said anything the Council could do through the TIP process would help. Mr. Webster explained that the Department would be contacting the North Carolina Department of Transportation (NCDOT) Bicycle and Pedestrian Division about getting a $300,000 or lower project funded. He said the County has $1 million earmarked for a greenways project in Chapel Hill, but that discussion had not yet begun. Mr. Webster added that there was no other significant funding except for the study for Morgan Creek Trail.
Mayor Foy said he thought the Town had received about $400,000 for Morgan Creek. Mr. Webster replied that the Town had received a grant for about $80,000 to start the planning process, which they had done. The Department had applied for another grant, he said, but the amount they had for matching funds would not elevate the grant for a logical first phase, so it ended. Mr. Webster noted that payment-in-lieu from Southern Village and Culbreth Ridge could also be used.
Council Member Strom urged the Department to do what it could with existing resources so that they have something to present to voters. Mr. Webster pointed out that the concept plan would have been completed this summer, but added the State will be restudying the Morgan Creek basin and developing a new floodway model, so the Town will have to wait for that before modeling bridges. Mr. Horton pointed out that the Town had been urging the State for a decade to conduct this remodeling and would not want to interfere with that.
Mayor pro tem Evans asked about the Clean Water Trust Fund and the Linear Grant. Mr. Webster replied that there was $200,000 from the Clean Water Trust Fund, which was being used to purchase 17 acres north of I-40. He said that a separate grant of enhancement money from NCDOT was being used for the Linear Park.
Council Member Harrison asked if the funds from NCDOT would be for a specific project or a set of projects. Mr. Webster replied that the two projects that could actually be accomplished with that money were along Dry Creek and a segment of the Rail Trail. The $300,000 that is available through that office might cover the entire project, he said.
Council Member Harrison inquired about small strategic pieces of trail that ought to be paid by the NCDOT's program. He noted that NCDOT money was slow in coming, adding that he preferred not using CIP funds for those. Mr. Webster replied that the discussion with NCDOT would address those that are most fundable from their perspective. He noted that NCDOT has a $300,000 single project limit and that anything larger had to come out of the TIP.
Mayor Foy asked if the greenway on the Town Operations Center concept plan would be funded out of the Town Operations Center budget. Mr. Horton replied that he did not think there would be funds to build that right away. Mayor Foy pointed out that it could be put on the overall project development plan, and Mr. Horton agreed.
Mayor Foy recommended making a decision on Bolin and Morgan Creeks. He stated that he thought it was settled that bond money would go toward Bolin Creek and that the Town needed to find other money for Morgan Creek.
Mr. Horton replied that the Town had intended to develop Morgan Creek in partnership with Carrboro, but the two governing bodies had not discussed this and Carrboro seems to favor developing Bolin Creek. He recommended that the Council and the Carrboro Board of Aldermen discuss the issue. Mayor Foy suggested creating a timeline and working backward to figure out what the Town needed to do. Mr. Horton noted that one of the Council's goals was to figure out the long range funding of greenways projects. Mr. Webster pointed out that the Intergovernmental Park Work Group was scheduled to start meeting on March 27, 2003. The County had originally intended that to be the place to start these discussions, he said.
Council Member Strom agreed with Mayor Foy's suggestion to create a realistic timetable with a price tag attached for completing the Town's section of Morgan Creek and participating in the Bolin Creek project. He stressed that greenways were remarkably important and that they define how the community views itself.
Item 4 - Library
Mr. Horton stated that Library Director Kathy Thompson had been working with her staff, the Library Board of Trustees, and the Town Technology Committee to develop a recommendation to bring back to the Council for consideration. He remarked that Ms. Thompson was fortunate to have two master plans in place, and was also very challenged by that.
Ms. Thompson explained that all of the Library's projects were tied to the mission statement that the Council had adopted in 2002. The first mission is to provide current recreational reading, listening, and viewing of materials that are based on contemporary cultures and trends, she said. Ms. Thompson stated that people appreciate what the Library offers, noting that about 755,000 materials had been checked out last year. The second goal, she said, is to provide general information, good responses to reference questions, and specialized subscription reference services that staff members guide patrons through. Ms. Thompson said last year, the staff answered more than 100,000 reference questions. She explained that the third mission is to provide information and programs for lifelong learning. Ms. Thompson explained that the Library targets children for this third mission, adding that children's circulation had increased by 8% this year.
Ms. Thompson said all of the Library's programs were going well. The in-house Internet stations were in continuous use, she said, noting that it was not uncommon for all 20 pagers to be out a given time with two people waiting for each Internet station. Ms. Thompson explained that remote access was a significant improvement because it means less traffic in the building itself. She explained that the Library was at the end of a six-year planning process, and the issue now is how to meet the community's service needs without overtaxing the Town coffers.
Under key services and programs that could be improved, Ms. Thompson noted that public demand for the Internet stations exceeds the number of available machines. She added that the Library has nine stations and should have at least 19 based on the State's recommended formula for population. Ms. Thompson reported that public demand for children's programs was outpacing the Library's ability to deliver and that they were considering moving the children's area to a larger space. She said that the online catalogue allows only eight simultaneous users, noting that 110 people in one hour could not get on during a recent snowstorm. Ms. Thompson explained that the Library was requesting $19,500 from Library Gift Funds to provide unlimited simultaneous access to the Library catalogue.
Ms. Thompson pointed out that the Library web page could be more informative, interactive and user friendly. She recommended adding a part-time person to do timely web updates and some technology troubleshooting for equipment and hardware. Ms. Thompson displayed slides of the Library's web page and examples of how it could be enhanced and improved, pointing out that upgrades require a person to implement them.
Council Member Bateman inquired about accommodations for Spanish-speaking patrons. Ms. Thompson explained that the Library leases foreign language books to augment its collection. There are more Asian patrons in Chapel Hill than Spanish-speaking ones, she said, but the Spanish collection contains several hundred titles. Council Member Bateman described attracting Spanish-speaking patrons as a chicken and egg situation and encouraged Ms. Thompson to increase the Spanish collection.
Council Member Verkerk asked whether the Library would acquire paper or online journals. Ms. Thompson replied that many journals are geared toward academic libraries and that the Town tries not to duplicate what the University carries. She said that the Library was exploring adding online database subscriptions that would allow people to access information from home. Remote access costs about a third more than in-house use, she said, predicting that it will become the basic library service of the future.
Council Member Verkerk asked how far the Town would go toward research and reference and away from lending and reading. Ms. Thompson explained that the Town wanted to make a commitment to certain reference materials. They had been careful ever since Chapel Hill first had a public library, she said, to identify collection needs in terms of what is a general collection. Ms. Thompson noted that the University provides very specific research information. The Public Library does not go beyond a certain level of research depth, she said.
Council Member Ward inquired about opportunities to share webmaster technology with other Departments. Mr. Horton replied that one of the Technology Department's recommendations for funding would allow the Town to better meet the maintenance requirements for the Town's website. He added, however, that Ms. Thompson had made a convincing argument that the Library's needs were specific, quantifiable, and different from the general needs. Ms. Thompson pointed out that there are constant changes of programs, printer jams, changing websites, and so forth, that the Library must contend with. She noted that the long-range technology plan calls for one technology manager and two full-time library assistants. Knowing that it is a tough year for the Town, she said, she hoped to get a 12-1/2-hour person to offset some of Mr. Bayles' responsibilities.
Council Member Ward expressed concern that the Town was not addressing the inherent technological divide that grows wider as it provides more online services. He asked about outreach and/or remote stations. Ms. Thompson noted that the Library's fourth mission is to provide instruction in finding, evaluating, and using electronic information resources. She said that she and Mr. Horton had discussed opening the computer lab between eight and ten o'clock in the morning for training of Town staff. As they improve and develop better trainers, she explained, they could open it up for citizens as well. Ms. Thompson pointed out that many libraries offer classes in software programs and she had discussed restructuring Library space to accommodate that.
Council Member Ward asked what the Library was doing for citizens who do not understand computers. Ms. Thompson replied that it was doing nothing for that population. Mayor Foy commented that the Skills Development Center could address that. Mr. Horton said that it seemed logical to him that the Library would become a place where citizens could get training. He mentioned that tutoring had been going on at the Hargraves Center for a couple of years. Mr. Horton explained that if the Library could get a sufficient number of machines he would recommend dedicating time to introducing people to computer use. Ms. Thompson added that wireless technology would enable people to take laptops downstairs for classes, and perhaps even to other Town locations.
Mayor pro tem Evans commented that there was a huge need and demand for education. She stated that classes at the Senior Center fill up within the first hour. Mayor pro tem Evans described the Library as one of the outstanding operations in Chapel Hill, adding that this would be a good time for a Library bond.
Council Member Harrison stated that Ms. Thompson's request was more modest and more immediately justifiable than the Library Board's requests had been. He agreed with the proposal to consider a bond for some of these recommended improvements. Council Member Harrison asked what level of support the Library Board asks of the County Commissioners. Mr. Horton replied that the Library would present data showing the disparity between contributions to the Chapel Hill Library and the other library in the County.
Mayor Foy noted that the Library generates revenues from various sources. He verified that the requested cost estimate from the General Fund is $1.5 million if one subtracts revenues. Mayor Foy inquired about the Library Gift Fund budget. Ms. Thompson explained that the Finance Department transfers monies from the Gift Fund into the Operating Fund for the Library each year. She said $9,000 is the amount that has been transferred to date, but it will be $95,000 by the end of the year. Mayor Foy verified that $540,000 was the total amount of the fund, and that $95,000 was applied from that fund last year through the discretion of the Council.
Item 5-Housing Department
Mr. Horton explained that the Housing Department must submit its budget to the federal government by April 1 each year, so the Council had already looked at Housing Director Tina Vaughn's budget. Ms. Vaughn pointed out that she had given the Council a handout that included an occupancy report, a report on the status of the current waiting list, a report of the various rent ranges, and an overall summary of the self-sufficiency programs. She noted that the Council had copies of the Department's new informational brochure and its calendar. Ms. Vaughn pointed out that there were no proposed increases in operations, services, or positions in her 2003-2004 budget. She said the federal government assistance would be 90% of the maximum. This feels like good news, Ms. Vaughn said, since they had expected assistance to be only 70%. She stated that projected expenditures were approximately $1,600,000, noting that this was a $45,000 increase from the current year's budget, most of which will include salary increases. Ms. Vaughn estimated about $410,000 in rental revenues and about $39,000 in other income. She said the Department expected to receive about $972,000 from the federal government.
Ms. Vaughn explained that the Housing Department would need to use about $236,000 of reserve funds to meet expenses. By doing that, she said, they will have about $230,000 in reserve next year. Based on Department of Housing and Urban Development (HUD) guidelines, they ought to have about $300,000 in reserves, said Ms. Vaughn, noting that they will be a little short. She added that the Department needs a maintenance facility and expects that to come to fruition with the new Town Operations Center.
Regarding programs that are going well, Ms. Vaughn said that almost everything they do is going well. As far as where they could improve, she explained that they struggle to get residents out to community meetings. Ms. Vaughn said that HUD realizes this problem and had begun a program called "resident participation." She explained that her Department awards door prizes, provides snacks, and offers to pick people up and take them to meetings, but only three people came to the last meeting.
Council Member Strom confirmed that the revenue figure shown on the chart assumes a 10% cut from HUD.
Mayor pro tem Evans noted that the Council had established a policy of trying to move people toward self-sufficiency. She asked if progress was being made with that. For example, are people who grew up in public housing moving away or coming back, she asked. Ms. Vaughn replied that they were coming back. This is related to the cost of rental housing in Orange County, she said, explaining that people who work at service jobs at the Hospital and University cannot afford anything else.
Mayor pro tem Evans remarked that people are also comfortable in public housing because that is where they grew up. Ms. Vaughn agreed, and Mr. Horton emphasized that Chapel Hill's public housing is exceptionally well-maintained. Mayor pro tem Evans agreed that huge strides had been made since she first came on the Council. She requested numbers on how many come back because of the interest in providing "workforce housing" in the community. Ms. Vaughn offered to submit that information with her budget.
Council Member Bateman noted that the Council never has as many questions for Ms. Vaughn because her budget comes from somewhere else and the Council is not trying to whittle it down. Mr. Horton added that the Town does provide more than $100,000 from the General Fund through the Public Works operation. The Housing Department pays about $30,000 for service, he said, but agreed that the Town would be in a tough situation without federal funding.
Item 6 - Legal Department
Town Attorney Ralph Karpinos described his budget as being straightforward, with personnel and operating expenses, and a line item for outside professional services. He noted that his budget also contains library upkeep (principally software for the computer research service), subscriptions to legal journals, and online legal research service. Mr. Karpinos said the budget was stabilized where it has been for the last few years.
Council Member Harrison asked what is meant by "the office can do more to promote its preventative services role". Mr. Karpinos replied that a major role for attorneys is to come in after a problem has occurred and help determine responsibility. His office, since it is in-house and works with the staff on a day-to-day basis, is more able to help staff avoid situations, he said. Mr. Karpinos stated that he would like to let people know that the Attorney's office is available for consultation and to encourage them to contact the Town while work is going on.
Council Member Ward wondered if the Council could institutionalize that rather than expecting the Attorney to be asked. Mr. Karpinos replied that he and the Manager would work on developing better lines of communication with staff. He might just show up periodically, he said, and have more contact with staff members on a day-to-day basis. Council Member Ward suggested perhaps communicating via a website.
Council Member Bateman asked Mr. Karpinos to elaborate on the legal professional services related to rental licensing. Mr. Karpinos replied that substantial legal expenditures related to rental licensing (projected at about $10,000) are necessary to maintain the Housing Department's program would first come out of that budget. Council Member Bateman asked what kind of legal expenditures he was talking about. Mr. Karpinos explained that pursuing the collection of license fees could involve going to court and there might be cases of violations of regulations that the Town will uncover through the licensing process. He noted that this was a new program and the Town was not sure what issues might come up.
Council Member Bateman commented that the Rental Licensing Program merely standardizes and codifies what has already been Town statute. Mr. Karpinos replied that one of the purposes of the program was to educate residents of rental housing about the various Town regulations, and explained that there might be additional code violations brought to the attention of the staff. Those would have to be pursued, he said, and corrective action would have to be required of those housing units. Mr. Karpinos noted that one of the objectives of having the program was to try to bring below standard housing up to standard. There might be a need for legal services to assist in correcting those problems, he said.
Council Member Wiggins recalled that Mr. Karpinos had wanted funding for legal fees included in the initial budget and that the Council had thought it was a bit high and premature. She said she assumed, therefore, that this request to fund legal services was based on some experience with it so far. Mr. Karpinos replied that the Inspections Department had brought people in the door and had gotten them licensed. If they start to hear from residents about problems then there might be some expense as well, he pointed out. When the Town goes around the community and tries to determine if there is rental property out there that has not yet been licensed, Mr. Karpinos said, the Town might have to pursue those as well.
In response to a question from Council Member Wiggins, Mr. Horton explained that the Police Attorney works under the supervision of the Police Chief and is hired under the authority of the Town Manager. He said he requires the Police Attorney to coordinate her work with the Town Attorney, and she does legal work under Mr. Karpinos's general supervision. Mr. Karpinos added that the Police Attorney sometimes uses his library resources and that they do research for each other.
Item 7 - Mayor/Council/Manager/Clerk
Town Clerk Joyce Smith noted that there was an increase in the personnel budget and a decrease in the operations budget of the Mayor's Office. The increase was due to the recent change in status of the Mayor's assistant, she said, and the 17% decrease was due to a decrease in postage and supply line items. Ms. Smith explained that the Council's budget reflected an increase of 4-1/2% due to an increase in dues this year based on revised census figures. There is a decrease of about 2% in the Manager's office operations budget, she said. Ms. Smith explained that this was due to a reduction in payments to personnel agencies and a reduction in postage costs. She stated that the Manager's overall budget shows a decrease of .15%, which is just under the 0% goal.
Ms. Smith said that coordination of the Town's emergency response services was going well, as was its ability to fill requests for information and its management of daily operations. She listed public information services, marketing of Town services, and service evaluations as areas that could be improved. Under potential additions in the Manager's Office, Ms. Smith listed a slight increase in business meetings and training line items for local travel. She noted staff had not requested reimbursement for local travel in the past, but explained that the recent increase in gasoline costs had lead to requests for mileage reimbursement. Ms. Smith also requested an additional $1,000 to replenish the supply of Town employee recognition items. She noted a 4% potential reduction in the Manager's overall budget request as outlined in the materials provided to the Council.
Ms. Smith reported that the Clerk's office had a decrease in operations of 15%. This was because of a 50% decrease in postage, a reduction in maintenance and repair of equipment, and a transfer of funds for the minutes stenographer from the operations budget to the personnel budget, she said. Under services going well, Ms. Smith listed preparation of minutes, noting that the time to prepare a draft had been cut from two weeks to ten days. Ms. Smith pointed out that changes to the Code of Ordinances were available within 48 hours and that Council packets were being delivered on time, except when there is a large volume. The service that could be improved, she said, was providing agenda items and attachments on the website by Thursday afternoon.
Ms. Smith explained that the Clerk's Office was having some difficulty meeting its four-hour turnaround goal when responding to requests for information. She explained that her staff resources were stretched with only four people working in the office. Ms. Smith requested a slight increase in the business meetings and training account for computer training and travel reimbursement to staff. She also asked that the Council increase her Administrative Clerk's hours from ten to twenty per week. There are frequent requests for minutes, she said, and her office is attempting to scan and post them to the website back to at least the 1970s. Ms. Smith suggested paying for the additional Administrative Clerk's hours by making the cuts indicated in her report. She thanked the Council for her staff's pay increases, adding that this had done much for staff morale and outlook for the future.
Mayor Foy commended Ms. Smith for the ways in which she had economized. He then introduced a memo from the Council Committee on Communications (consisting of Council Members Wiggins, Strom, Verkerk, and Foy) regarding the Council's goals with regard to public information. The Committee had met with Cary's Public Information Officer Susan Moran, he said, and Ms. Moran had helped clarify how Chapel Hill might benefit by having a public information officer.
Council Member Wiggins pointed out that public information, marketing of Town services, and services evaluation had been listed under "things that could be improved" in the Manager's budget. A public information officer could handle all of those, she said, expressing particular interest in having someone to conduct surveys and polls of citizen satisfaction. Council Member Wiggins predicted that the Town would benefit enormously by such a specialist and recommended that other Council members talk with Ms. Moran about what she does for the Town of Cary. Mayor Foy pointed out that the Committee had not discussed this with the Manager yet, but they wanted to introduce the idea early rather than too late. Council Member Wiggins pointed out that public information officers work for managers, not for elected officials.
Council Member Kleinschmidt suggested moving funding from areas that already were performing some of these duties rather than merely funding a brand new position.
Council Member Harrison remarked on a recent incident where the news media reported on a resolution adopted by the Council, but did not report on the amendment made by the Council during the meeting. He commented that he had talked to Ms. Smith after reading the article, and she had recorded the correct language for the amendment. Council Member Harrison said that the reporter had not bothered to check his facts with the Town Clerk before publishing the article. He recommended that the Mayor, or someone, restate resolutions so that reporters are clear on what actions the Council is taking.
Council Member Bateman expressed resistance to the idea of "spinning" what the Council had done.
Council Member Harrison emphasized that he was only suggesting that the resolution and any amendments be stated clearly.
Mayor Foy stated that if the Town's goal is to have informed and involved citizens then it needs to have an ongoing, neutral communications outreach program. He emphasized that this would not mean a spin on what the Council does, emphasizing that the Committee wants something more sophisticated than that. He mentioned that Cary does a customer satisfaction survey every couple of years to measure the sentiment of the community and to make adjustments. Mayor Foy stated that media relations would be part of that. He added that Ms. Moran had said that Chapel Hill has a bad reputation with the media.
Council Member Verkerk clarified that Ms. Moran had said they had "no relationship" with the media.
Council Member Wiggins stated that working with the media was not Ms. Moran's major task, however. She suggested that Council members arrange to meet with Ms. Moran rather than having the Committee summarize what she had said.
Council Member Wiggins remarked that managers sometimes have to be persuaded to take on this type of employee. Mr. Horton said that he was not reluctant and had subtly been lobbying for this for years. He said he had talked with Mayor Foy a little about the idea and had proposed something more aggressive than $20,000 in this year's budget. Mr. Horton stated that he was mainly interested in civic education issues, such as letting citizens know about work that will take place in their communities. He said, however, that he was disappointed in Ms. Moran's comment that Chapel Hill had no relationship with the media. He wondered if she had talked with reporters and/or radio stations that routinely cover the Town. Council Member Wiggins explained that Ms. Moran had mentioned the News and Observer and the Chapel Hill News.
Mayor Foy added that this had not been discussed much and that Committee members were not clear about whom Ms. Moran had talked to.
Council Member Wiggins said Ms. Moran had discussed organizing neighborhood blocks as a way of disseminating information. This ensures that a broader section of Town understands what is going on, she said.
Mayor pro tem Evans verified that bus drivers get employee recognition items from the Manager whenever the Council receives a copy of their letter of commendation. She established that the Clerk's Office keeps the Code of Ordinances updated, and that travel costs were in the Council's operations budget, under the business meetings and training line item at $1,925 each.
Council Member Wiggins asked the Manager if he planned to put something in the budget to reimburse staff when they use their own cars. Mr. Horton pointed out that Ms. Smith's preliminary report was not a budget recommendation and that he had not yet considered that. Council Member Wiggins asked if there was a policy in place to pay employees when they use their own vehicles. Ms. Smith replied that there was, but that employees had not requested reimbursement in the past. She was getting requests now because of increasing gas prices, she said, adding that she had been reimbursing those employees. Ms. Smith expressed concern that the money would not be there next year if gas prices remained high, prompting more requests for mileage reimbursement from employees.
Council Member Kleinschmidt determined that the Town's mileage reimbursement had decreased from 36.5 cents to 36 cents while the State had increased theirs form 26 cents to 30 cents. Ms. Smith said that the Town uses the IRS guide and that the Finance Department pays close attention to that.
Council Member Ward expressed support for hiring a Town communications specialist and for Council Member Kleinschmidt's recommendation to try and use existing funds for that. Council Member Ward pointed out that this would be useful because a large segment of the population does not participate in Town government. He expressed interest in hearing from Susan Moran about what she was doing for Cary.
Council Member Verkerk reminded Council members that Energy Consultant David Konkle from Ann Arbor would be coming to Chapel Hill on March 19, 2003. She suggested that all of the Town's department heads meet with him. Council Member Verkerk pointed out that the Town must first determine its emissions output to establish a base from which to measure improvement. She wondered if they should reserve money for that. Mr. Horton replied that now was the right time to do so and thanked Council Member Verkerk for bringing it to his attention.
Council Member Wiggins asked if the Town had instituted a practice for raising Council members’ salaries along with the rest of the staff, or should they address that separately. Mr. Horton replied that the Council had adjusted Council pay in the last budget. He did not think they had set a policy for future adjustments, he said.
Council Member Strom said that he thought the Council had indexed Council compensation to the CPI. Mr. Horton offered to check on that, adding that he did not think there had been a final action.
Council Member Ward asked the staff to provide the Council with the minutes of the meeting at which that discussion had taken place. Ms. Smith stated she would provide the Council with the minutes of that discussion.
Item 8 - Engineering Department
Engineering Director George Small explained that his Department's mission was to apply technical expertise and guidance in areas that allow them to create safe, effective and efficient facilities, and infrastructure and services. Mr. Small listed the Engineering Department's five key objectives:
· To provide timely, consistent, thorough reviews and construction supervision of both public and private development projects (special focus: administration and implementation of new Land Use Management Ordinance regulations).
· To administer a comprehensive Stormwater Management Program which addresses community stormwater quantity and quality issues (special focus: develop and implement a local Stormwater Utility).
· To manage, operate, and maintain a computerized traffic signal system in Chapel Hill and Carrboro. (Special Focus: Coordination of feasibility study for traffic signal system upgrade project.)
· To expand and improve in-house land surveying and engineering design services necessary for developing Town improvement projects. (special focus: improve and expand computer-aided design and drafting capabilities).
· To develop, coordinate, and manage a comprehensive Town-wide Geographic Information System (special focus: incorporate new aerial photography data into G.I.S. map streams and drainage infrastructure Town-wide).
Mr. Small outlined the Department's key services:
· Manage the Stormwater Management program for the Town and provide Stormwater Management Engineering services.
· Operate and manage the computerized traffic signal system in Chapel Hill and Carrboro. Provision of comprehensive traffic engineering services.
· Develop and administer the Geographic Information System (G.I.S.) and associated data-sharing network. Provision of comprehensive G.I.S. training and services.
· Provide comprehensive and timely review of development and redevelopment proposals.
· Provide land-surveying services including boundary, construction, and as-built surveys in addition to land records research.
· Provide engineering design services and construction supervision on capital improvement projects and associated public infrastructure improvements.
Mr. Small explained that Department revenues come from the Town of Carrboro, engineering permits, sale of internment rights at the cemetery, engineering software, and revenue in lieu of traffic signals. He projected that revenues would be about the same, but noted that there might be a reduction for engineering construction permits due to uncertainty about the Land Use Management Ordinance (LUMO) and the economy. Mr. Small identified the primary budget item as Personnel. He said that operating costs should be similar to last year. Mr. Small mentioned pressure in the development review arena, noting that the Traffic Engineer was nearly overwhelmed. He requested help with the development review staff and a technician to assist the Traffic Engineer. Mr. Small stated that the only practical means to achieve a 5% reduction in his Department's budget would be to reduce paid hours for some full-time positions.
Council Member Harrison expressed concern that the Engineering and Planning Departments would be too far away from each other when the new Town Operations Center was built. Mr. Horton said he hoped that much of the review work will be done on screen by then rather than at a drawing board with a hard copy document. As a practical necessity, Mr. Horton said, space will have to be created in the Town Hall building because other functions, particularly Information Technology, are taking up more space. The Engineering Department might manage the stormwater management facility, he pointed out, adding that it would be best, in that case, to locate it at the Town Operations Center.
Council Member Harrison expressed concern about citizen access to the Engineering Department. Mr. Horton remarked that decisions were nowhere near final. It might turn out that those providing direct public service would be located in Town Hall, he said. Mr. Horton noted that the Town has many different organizational forms to consider.
Council Member Strom asked Mr. Small about redesign of the Design Manual. Mr. Small explained that a committee would present information on that in the spring. He pointed out that the Department had tried twice before to revise the Design Manual, but there is more energy for doing it this year than ever before.
Council Member Strom asked how adding a development review technician can be reconciled with the prediction that applications will be down. Mr. Small said that they would use contract employees rather than hiring additional staff until the Town better understands the kinds of questions and situations that will come up under the new ordinance. Mr. Small pointed out that there might be less new development until the economy picks up. There is work that had been platted over the past few years that has just not been done, he said, adding that doing this work is as intense as they thought it would be. Mr. Small commented that the learning curve was so long it could not justify using contract employees.
Mr. Small explained that he had meant that contract employees in the Planning Department could relieve regular planners of some tasks so they could do things related to the LUMO. There are many things associated with the Planning Department that contract employees could do, he said, but pointed out that the Engineering Department is in a different situation.
Mayor Foy asked why fees to Carrboro do not increase. Mr. Small replied that they started out at what the Department thought was a fair price, based in part on how much time it takes to do the work. He noted that costs, time and the number of sites inspected had not increased significantly. Mayor Foy remarked that "everything goes up," and Mr. Horton agreed that these fees would go up as well.
Item 9-Inspections Department
Inspections Director Lance Norris explained that his Department enforces the N.C. Building Codes, Chapel Hill Code of Ordinances, Minimum Housing Code, Rental Licensing Program, and the Land Use Management Ordinance. He predicted that permit revenue would be affected by the updated building code and the LUMO. Mr. Norris noted that the Department had not issued any new, single-family home permits in 30 days. There had been some reductions in expenses, he said, so the $684,049 request is lower than last year.
Under key services going well, Mr. Norris listed an increase in sign inspections. He pointed out that 99% of inspections were being completed within one working day. Mr. Norris also noted an increase in enforcement of the Minimum Housing Code and of zoning violations. Under items that could be improved, he listed rental licensing, explaining that data from Orange County had resulted in 200 notices being sent out incorrectly, which affected 995 units. Mr. Norris said that the Inspections Department had been analyzing the data that caused the errors to determine how to correct the problem. He reported that the Department was conducting Town-wide field evaluations in an effort to refine data and to contact those who had not been notified. He said those field evaluations, the research of property ownership, and the additional mailings should be completed by March 15, 2003.
Mr. Norris said the Building Code Effectiveness Grading Schedule (BCEGS) could be improved. He added that the Inspections Department has a Class 4 Building Code Effectiveness Grade for residential, commercial, and industrial property, and the Manager had challenged him to drop that to a Class 3. To achieve that goal, Mr. Norris said the Inspections Department would develop and implement a detailed plan review and field inspections checklists, and a system to perform field evaluations for quality assurance. He said they would also continue to increase staff hours dedicated to public awareness programs. In addition, Mr. Norris said, the Department will continue to increase training hours for inspection staff.
Mr. Norris said that a 5% total budget reduction would amount to $34,000. He explained that reducing the Department's budget by that amount would require the elimination of two part-time positions, including an Administrative Clerk and the Apprentice Program. Mr. Norris presented arguments for maintaining both positions.
Mayor pro tem Evans asked if anyone from the Department talks to realtors and/or reviews real estate ads to monitor whether houses sold have several apartments in them. Mr. Norris replied that they cross-track to verify that people have what they claim they have and pay for.
Mayor pro tem Evans noted that the Council has in the past stipulated landscaping that either disappeared or was replaced by something else, and asked if the Department inspects this. Mr. Horton replied that there was no systematic program in place to monitor such requirements, acknowledging that some areas probably drop off Town radar. He explained that neighbors often let the Town know when this has happened. Mr. Horton encouraged Council members to pass such complaints on to Mr. Norris.
Council Member Wiggins asked Mr. Horton if he planned to avoid a tax increase through the 5% reductions in department budgets. Mr. Horton replied that identifying a 5% cut forces department heads to identify programs to sacrifice if something must be sacrificed. Based on his and other managers' experiences, he said, this is the most effective method for knowing where to look but it does not mean that the Town will make those cuts.
Council Member Wiggins asked Mr. Horton if he would prepare a budget reflecting no tax increase and some alternatives to that. Mr. Horton replied that he would provide a base budget with no changes that will reflect grants that the Council makes which it does not have to make. He would then qualify items that he thinks the Council needs to consider putting in, including compensation adjustments, additions to the Capital Improvements Program (CIP), and so forth. Mr. Horton explained that another list would include items listed as enhancements and would recommend reductions to achieve those. If the Council then wants to pursue reductions, Mr. Horton said, he would work with the departments from the lists that they made as a starting point.
Council Member Bateman asked how increasing the staff's work week from 37.5 hours to 40 hours would affect the budget. Mr. Horton explained that Chapel Hill already makes pay adjustments that reflect fewer hours worked. There are very few people in this building who actually work only 37.5 hours, he said. Mr. Horton pointed out that the Town uses a system based on hourly rates. If everyone could work only 40 hours a week they would be delighted to do so, he said.
Council Member Strom commented that it has been a long time since anyone had stopped him on the street to complain about having to wait for an inspection. He described the 99% figure as very impressive.
Regarding Rental Licensing, Mr. Norris noted that the Department had not had to take enforcement action against anyone yet. Everyone whom they had billed correctly had paid, he said, adding that many people had come in and reported that they had more rental units. Mr. Norris noted, however, that issues might come up when inspectors actually get out and start riding around.
Council Member Ward suggested that "community watch" programs might help gather information. Mr. Norris remarked that televising meetings was useful as well.
Item 10 - Human Resources Department
Human Resources Director Pam Eastwood stated that her Department was stable without much turnover. In the past, she said, the Human Resources Department had been perceived as reactive rather than proactive, and recommended that her staff reach out to employees in the coming year. Ms. Eastwood pointed out that her Department could provide information most effectively through use of technology, adding that she has frequent conversations with Information Technology Director Bob Avery about ways to do that. She pointed out that Human Resources is loading information into the Town website. Ms. Eastwood predicted that her Department would be much more exciting and visible to employees in the future.
Ms. Eastwood said that the key services provided by the Human Resources Department were:
· Benefits administration and education for active and retired employees
· Service awards and recognition for long-term and retiring employees
· New Employee Orientation, payroll entry, and employee records management
· Staff assistance to the new Employee Forum group (and other efforts in follow-up to the McKoy Work Environment/Diversity study)
· Guidance on selection and promotion processes
· Development and maintenance of competitive pay and benefits programs.
Ms. Eastwood explained that she had moved things around to make the original budget and the requested budget essentially equal. She noted that the $14,000 increase in Personnel costs was based on pay increases from last year, as well as unfunded health insurance increases and some retiree health coverage.
Regarding things that are going well, Ms. Eastwood mentioned that the Town Classification and Pay Plan implemented in Fiscal 2000 would continue. She noted that there would be ongoing refinement of pay and benefits competitiveness in the region. Ms. Eastwood also proposed adjustments aimed at assuring effective recruitment and retention of employees and maintenance of the Town's low turnover rate, and stated that Employee Recognition Programs would continue. The Department would invite program evaluation and employee input, she said, to assure that programs are aligned with Town goals and philosophies. Ms. Eastwood said the new Employee Forum group will be asked to be a part of this planning.
Concerning things that could be improved, Ms. Eastwood said that the Department needs to centralize the OSHA/Workers’ Compensation/Safety programs. These programs were decentralized in 2002, she said, pointing out that the change did not achieve acceptable results. Ms. Eastwood explained that the Town's Workers’ Compensation premiums have never been as high as its claims. She added that premiums were expected to increase 15% this year, to $980,000.
Mayor Foy asked Ms. Eastwood to clarify her statement that premiums have never been as high as claims. Ms. Eastwood deferred to Finance Director Jim Baker, who explained that over the last five years a greater amount has been paid out in claims than the Town has paid in premiums. Mayor Foy said that he thought going to curbside would lead to a reduction in claims. Ms. Eastwood replied that Workers’ Compensation claims had dropped dramatically in Public Works and said ninety percent of claims come from the Fire, Police, Public Works and Transportation Departments. She pointed out that the Town was still looking at a significant amount of money even though claims have diminished in Public Works.
Ms. Eastwood added that the League of Municipalities representative for the Workers’ Compensation program had said that Chapel Hill was their largest and worst customer. There are many ways in which the Town could improve the programs and probably reduce costs, she said. Ms. Eastwood noted that the Department has hired a contractor to help get these programs under control, but it requires two full-time employees. She proposed the following means of funding a new Occupational Health and Safety Officer and an Administrative Clerk:
· Reduce the current Employment Coordinator to half time and reclassify to Human Resources Specialist at grade 33 effective July 1, 2003.
· Reduce the current Employee Relations and Training Officer to half time and reclassify to Human Resources Specialist at grade 33 effective July 1, 2003.
Ms. Eastwood said that substantial shifts in workload and volume over the past several years in both positions have been identified and analyzed. These changes justify the reduction of both positions to half time without adverse effect on work results, she said. Ms. Eastwood noted that the recommendation is to reduce hours on two positions that are now filled. She acknowledged that this would have a negative impact on both employees, and stated that she did not make the recommendation lightly. Ms. Eastwood stressed, however, that she could not identify any other way to accomplish the goals and meet the requirements.
Ms. Eastwood referred to the Health Information Portability and Accountability Act (HIPPA) regulations, which address electronic transfer of information and protection of private information. She explained that implementing these would require serious changes in record keeping and security, but pointed out that there are serious fines and sanctions for not carrying this legislation out. Ms. Eastwood noted that this is new work for which she hopes to use the staff's skills and abilities.
Mayor Foy complimented Ms. Eastwood for bringing forward what seemed to be a painful decision for her. He noted that the Council had requested these kinds of reorganizations and they realize how it will affect people who work for the Town.
Council Member Verkerk commented that Ms. Eastwood and Town Clerk Joyce Smith were the only two department heads who actually figured this out for the Council, and thanked them both for doing so.
The meeting adjourned at 5:20 p.m.