05/06/1998 Meeting Minutes - Laserfiche WebLink

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Council Minutes of 5/6/98 ,,~, n. Ordinance 98-51 involves a cost sharing plan with the City of Fairview Park. The committee will defer a recommendation on this ordinance pending additional information from the Finance Director. Ordinance 98-51 will be considered again at a future Finance Committee meeting. Mrs. Kasler, member of the Finance Committee, made a minority report: 1) Ordinance 98-48 deals with the issuance and sale of notes for two projects: one, for further improvement and renovation to old Town Hall; two, for the removal and replacement of underground storage tanks. She voted against the passage of this ordinance in committee; however, her reasoning was not related to the projects to be performed. In fact, she is in favor of both projects, old Town Hall, which is partially funded by grant money, and the storage tank removal and replacement, which is in response to a federal mandate. Mrs. Kasler is opposed to the form of the ordinance, which is a single ordinance which incorporates two dissimilar projects. In Ordinance 98-48, two unrelated projects appear in the same borrowing. If this ordinance passes as written, the money for old Town Hall, approximately $110,000, and the money for the storage tanks, approximately $154,000, will be lumped together in one fund and money feasibly can be moved between two unrelated projects without Council approval. For example, if the actual cost of the storage tank project is less than the projected $154,000, the surplus money can be transferred to increase renovations at old Town Hall by administrative action. Changes in the scope of a project, and therefore changes in the manner of which funds are spent, can occur without Councilmanic action. This scenario is an example of a concern she has expressed in the recent past regarding procedures which allow spending without specific Council review and approval. An additional concern is that the ordinance is in conflict with Article IV, Section 11 of the Charter of the City of North Olmsted. This issue will be discussed with the Law Director further. In the meantime, she will continue to request that two separate note ordinances be created for these two projects, pursuant to the Charter and in the best interests of Council's obligation to the citizens of the city with regard to monitoring spending. She asked that Council members consider this proposal. Mr. O'Grady replied that this issue was brought up in a meeting earlier this day and was reviewed by the Law Director. The Law Director saw no objection to the ordinance as it stands. Bond counsel has recommended that the two projects are related due to the fact that they are both on the same site. Further, there is an issue of additional cost should there be two separate notes. The majority of Council looked at this as unprudent to spend additional funds on two different notes. Mr. Miller asked Finance Director Copfer to find out from bond counsel, in writing, what the additional cost would be for two separate notes. Mrs. Copfer replied that she has discussed this with bond counsel but will get the information in writing. Mrs. Kasler wished to clarify one statement she made about unrelated projects. Her interpretation of unrelated may be coming from a different perspective than bond counsel's interpretation in preparing the notes for the purpose of borrowing. To her, °``~ unrelated is when you are refurbishing old Town Hall in concert with another project 4