Flushing City Council

Minutes

April 28, 2008

 

 

A Regular Meeting of the Flushing City Council was called to order on Monday, April 28, 2008 at 7:30 p.m. by Mayor Janice L. Gensel, followed by the Pledge of Allegiance to the Flag and invocation.

 

Present:                                  Richard L. Bade

Mark F. Brock

                                                John C. Gault

Janice L. Gensel

Teresa K. Salem                                                                      

Michael T. Szukhent

 

Absent:                                   George G. Kozan

 

Others Present:                      Dennis J. Bow, City Manager

                                                Nancy G. Parks, City Clerk/Treasurer

                                                Edward G. Henneke, City Attorney

 

Excused Absence – Motion by Szukhent, seconded by Gault, to excuse the absence of Councilperson Kozan.

 

            Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

 

Addition to Agenda – Motion by Szukhent, seconded by Salem, to add under PRESENTATIONS, Law Day Proclamation.

 

Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

           

Approval of Agenda - Motion by Szukhent, seconded by Bade, to approve the April 28, 2008 agenda, as amended.

 

            Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

 

PRESENTATIONS:

 

The Mayor read a proclamation acknowledging Law Day.  The theme this year is “The Rule of Law:  Foundation for Communities of Opportunity and Equity.”

 

 

 

Flushing City Council

Minutes

April 28, 2008

 

Page Two

 

 

MEETING OPEN TO THE PUBLIC:

 

The following individuals addressed City Council:

 

            Elva Cook                                                       Bob Clement

1459 Flushing Road                                       257 Aberdeen Ct.

 

Consent Agenda - Motion by Szukhent, seconded by Salem, to approve City Council Minutes (March 24, 2008 Regular Meeting), City Council Minutes (March 27, 2008 Special Meeting), and April 28, 2008 Council Bills List.

 

            Yea:     Brock, Gault, Salem, Szukhent, Gensel

            Abstain:            Bade

Nay:     None

            Motion Carried.

 

REPORTS:

 

Fringe Benefit Modification - Motion by Bade, seconded by Gault, to adopt revisions to exempt employees’ fringe benefits.

 

The first revision provides for a fixed payment for employees hired after May 1, 2008 that elect not to accept the health care benefits that are provided to full-time employees.  The fixed payment, in the amount of $2,500.00, would be paid on a quarterly basis beginning on July 1st of 2008.

 

The second revision involves Article III under Retirement Benefits regarding the pension plan.

 

A Defined Contribution Plan is suggested to replace the Defined Benefit Plan due to anticipated changes to the method of establishing actuarial assumptions that affect the employer contribution percentage for the city’s Defined Benefit Plan.  The Defined Contribution Plan would apply to all employees hired on and after May 1st of this year.  That plan would set an 8% contribution rate by the city, in addition to 4% to be contributed by the employee.

 

SECTION H – HEALTH AND WELFARE

 

Effective August 1, 2008, the Employer shall provide and pay the premium for the Blue Care Network Health Insurance program as is currently offered through BCN.  This program will provide for maximum prescription co-pay for the employee and eligible family members of $10.00 for Generic drugs and $40.00 for Brand Name drugs.

Flushing City Council

Minutes

April 28, 2008

 

Page Three

 

 

2.      Eligible Employees shall have the option of maintaining Blue Cross and Blue Shield PPO coverage for employees that are willing to pay 50% of the cost difference between the cost of the BCN and the PPO.  This election will be effective August 1, 2008.  Thereafter, this election shall be made during the open enrollment period and such coverage will be subject to the regulations of the carrier.

 

3.      Retired Employees, their spouses, and eligible dependents (defined as those dependents that are entitled to health coverage according to the health insurance policy provisions by the insurance carrier) may continue, upon written request of the retiree, subject to all relevant eligibility and other restrictions of the insurance carrier, under the following conditions:  The paid premiums for the employee, spouse, and eligible dependents will be paid by the City if the retiree meets the eligibility requirements for pension plan vesting as determined by the MERS plan document.  Retiree’s duplicate insurance coverage will be reduced by the benefits provided from Medicare and/or Medicaid, or any other duplicate benefits which the retiree is eligible to receive through other employment.     

 

Employees electing to be covered by an insurance policy provided through their spouse’s employer may choose to be covered by the city’s insurance coverage at a later date, if that spousal insurance coverage is lost.

 

            Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

 

Introduction – Business Improvement District – In order to allow the city to promote the redevelopment of commercially zoned areas, administration has reviewed different types of Economic Development Authorities that will qualify for state grants, and provide a vehicle for commercial property owners to levy special assessments. 

 

After reviewing the ability of the different types of authorities that might be used to benefit the City of Flushing, a Business Improvement District (BID) appears to serve as the preferred method that will allow successful redevelopment efforts.  This type of district was established through an amendment to Public Act 120 of 1961, and will allow one (1) or more portions of the city to be included in a development district.  Through the BID, the city would be empowered to make several types of improvements and finance those improvements through grants, gifts, city funds, general obligation bonds, or by levying special assessments.

 

 

 

Flushing City Council

Minutes

April 28, 2008

 

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In order to establish a BID, a resolution would contain the boundaries of the district, the number of board members in the district, the signatures of property owners within the area, as well as a listing of all properties within the zone.  After a Petition is filed with the City Clerk, property owners would be notified of a public meeting regarding the establishment of the improvement zone.  A zone plan is then developed, identifying improvements that are requested by the property owners for submission to, and approval by, the City Council.  Once the zone plan is adopted, the property owners within the zone may vote to allow the items included in the zone plan to be completed. 

 

As the city has not had the capability, through an Authority, to deal with the economic redevelopment of certain areas within the downtown, or commercial district on East Pierson Road, administration is recommending that a BID be established to create a vehicle to promote a healthy retail environment in the city.  Comments were requested from the City Council prior to proceeding with these efforts.

 

Introduction – Sewer Plant Modifications - In 1988, significant modifications were made to update the city’s sewer plant, which included the addition of a new process called “sequential batch reacting.”  The costs of the improvements made in 1988 were approximately $8,000,000.00.  The bonds associated with those costs are due to expire, and be paid, in 2009. 

 

As the cash distribution for the old bonds expire, administration is attempting to find ways to upgrade and maintain the plant, and minimize the impact on sewer rates.  To this end, a request has been made for the city engineer to inspect several components of the plant, as well as the distribution system (sewer lines), to provide cost estimates that could be used as a basis for ensuring proper maintenance of this facility. 

 

There are several options that are currently under review to upgrade components of the plant and distribution system, as well as the costs associated with those improvements.

 

ITEMS FOR FUTURE PUBLIC HEARINGS:

 

Set Joint Meeting – Motion by Bade, seconded by Gault, to set a joint meeting between the Planning Commission and City Council for Monday, May 19, 2008 at 7:30 p.m. at City Hall, 725 E. Main Street, Flushing, Michigan 48433.

 

Yea:     Bade, Brock, Gault, Salem, Gensel

            Nay:     Szukhent

            Motion Carried.

Flushing City Council

Minutes

April 28, 2008

 

Page Five

 

 

Budget Public Hearing – Motion by Gault, seconded by Salem, to set a public hearing on the proposed 2008-2009 fiscal year budget for Monday, May 12, 2008 at 7:30 p.m. at City Hall, 725 E. Main Street, Flushing, Michigan 48433.

 

            Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

 

Closed Session:

 

Labor Negotiations – Motion by Szukhent, seconded by Bade, to go into closed session under the Open Meetings Act compiled laws 15.268(c), to consider negotiations on a collective bargaining agreement.

 

            Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

 

Adjourn:                      8:35 p.m.

 

Reconvene:                9:13 p.m.

 

Adjournment - Motion by Szukhent, seconded by Bade, to adjourn.

 

            Yea:     Bade, Brock, Gault, Salem, Szukhent, Gensel

            Nay:     None

            Motion Carried.

 

Adjourn:                      9:14 p.m.

 

 

 

_____________________________                         ______________________________

Janice L. Gensel, Mayor                                              Nancy G. Parks, City Clerk/Treasurer