Glass City Jungle

Shultz, Steel, Waniewski, Webb, Brown, Collins, Craig, McNamara and Sarantou were present when it began, I’m doing things a bit differently as I will provide notes of any discussion but I’m also providing the name of the legislation and the summary & background information to provide more details on the items before Council. Each new title is in bold for those of you interested in skimming the items.

Expenditure to American Water Works Association (AWWA) for 2009 dues, $10,865 Water Operating Fund First Reading

Authorizing the expenditure of $10,865 from the Water Operating Fund to provide payment of the City of Toledo Department of Public Utilities’ Dues for 2009 to the American Water Works Association (AWWA); and declaring an emergency.

SUMMARY & BACKGROUND:
The American Water Works Association is an international nonprofit and educational society, which advances public health, safety and welfare by uniting the efforts of the full spectrum of the water community. This ordinance authorizes payment of the 2009 dues for the Department of Public Utilities. Funds are provided in the 2009 Operating Budget for this payment.

Shultz asked how many years they have belonged, it was stated as long as Dave Leffler can remember.

Service contract with Getinge USA for laboratory autoclaves at Water Treatment, $10,598 Water Operating Fund First Reading

Authorizing the expenditure of $10,598 from the Water Operating Fund for the cost of a service contract for the laboratory autoclaves at the Water Treatment Plant located at 600 Collins Park Ave., Toledo, Ohio; authorizing the Mayor and Commissioner of Purchases and Supplies to waive the competitive bidding requirements and enter into contract with Getinge USA, Inc.; and declaring an emergency.

SUMMARY & BACKGROUND:
The laboratory at the Collins Park Water Treatment Plant operates two (2) sterilizing autoclaves in order to comply with the EPA regulations for bacteria testing of the potable water. Getinge USA, Inc. is the original equipment manufacturer of this equipment and the annual service contract covers preventative maintenance and emergency repair service calls, including travel and all parts. This past year, the Division realized savings of well over $10,000 by having the service contract in place. Dave Leffler also stated $20,000 worth of repairs were done last year.

Res. – Support Port Authority’s application for CORF funds for cleanup of Beazer property, 2563 Front SEP

Authorizing the City of Toledo to support the Toledo-Lucas County Port Authority’s effort to file a grant application to the Ohio Department of Development Clean Ohio Revitalization Fund Program for the environmental cleanup of the former Beazer property located at 2563 Front Street; and declaring an emergency.

SUMMARY & BACKGROUND:
The State of Ohio Department of Development provides financial assistance to local governments for the purpose of addressing local needs. One of the programs is the Clean Ohio Revitalization Fund, which provides grants for redeveloping brownfield sites. The Toledo-Lucas County Port Authority is participating in this program to receive financial assistance for the site located at 2563 Front Street in Toledo. The Port Authority is working to perform the environmental cleanup of this 32-acre site for industrial and commercial reuse. The Port Authority is submitting a Clean Ohio Revitalization Fund application requesting up to $2,000,000 to complete the environmental cleanup needed prior to redevelopment of the site. The Council of the City of Toledo supports the Port Authority’s effort to submit this grant application as the local legislative body in which the property is located.

Accept U.S. EPA grant for environmental site assessments and cleanup planning, $400,000 SEP

Authorizing the Mayor to enter into and execute necessary agreements with the United States Environmental Protection Agency for a Brownfield Hazardous Substance and Petroleum Assessment Grant to be used for Phase I and Phase II environmental site assessments and cleanup planning; authorizing the Mayor accept, deposit, appropriate and expend $400,000 from the Operation Grants Fund; and declaring an emergency.

SUMMARY & BACKGROUND:
On November 14, 2008, the City of Toledo submitted a Brownfield Hazardous Substance and Petroleum Assessment Grant Proposal to the United States Environmental Protection Agency totaling $400,000. On May 8, 2009 the City of Toledo was invited to enter into a cooperative agreement with the United States Environmental Protection Agency (U.S. EPA) in the amount of $400,000 to be used to fund Phase I and Phase II environmental site assessments and cleanup planning with companies that have U. S. EPA approved Quality Assurance Project Plans.

Dave Leffler said the City can use this money for environmental studies, there is no required matching funds in response to a question by Collins. Craig asked if there were any sites identified, Joel Mazur stated Summit Street Corridor, north of Cherry Street and the Swan Creek revitalization project but they are not limited to just those two projects.

Accept U.S. EPA grant for environmental cleanup of Acme Power Plant at 1401 Front St., $200,000 Nothing was stated as to first reading, SEP or committee.

Authorizing the Mayor to enter into and execute necessary agreements with the United States Environmental Protection Agency for a Brownfield Hazardous Substance Cleanup Grant to fund the environmental cleanup of the former Acme Power Plant located at 1401 Front Street; authorizing the Mayor to accept, deposit, appropriate and expend $200,000 from the Operation Grants Fund; and declaring an emergency.

SUMMARY & BACKGROUND:
On November 14, 2008, the City of Toledo submitted a Brownfield Hazardous Substance Cleanup Grant Proposal to the United States Environmental Protection Agency totaling $200,000. On May 8, 2009 the City of Toledo was invited to enter into a cooperative agreement with the United States Environmental Protection Agency (U.S. EPA) in the amount of $200,000 to be used to fund the environmental cleanup of the former Acme Power Plant located at 1401 Front Street.

Shultz asked if there was a required match, Joel Mazur stated there was a required $40,000 match and the funding for that was set aside, they are using grant money from Ohio to match this. Shultz said had the original agreement been followed the site would have been cleaned before then. Webb wanted to know any and all grants and city moneys as far as matches or otherwise, the scope of the complete project and a briefing on the Acme power plant in writing. Shultz stated she also wanted to know when we took title and how much money was involved, she stated we originally stated we would not take title until the property was environmentally clean, she wants to know how and when the original agreement was amended.

Appropriation for engineering & planning by Tetra Tech of Municipal Solar Field, $110,000 Water Improvement Fund to Committee

Authorizing the appropriation and expenditure of an amount not to exceed $110,000 from the Water Improvement Fund for the purpose of planning and engineering a Municipal Solar Field; further authorizing and directing the Mayor and Commissioner of Purchases and Supplies to enter into an agreement with Tetra Tech, the low bidder, for the planning and engineering for a Municipal Solar Field; and declaring an emergency.

SUMMARY & BACKGROUND:
Ordinance 44-09 was approved to appropriate $65,000 for the purpose of planning and engineering a Municipal Solar Field; an additional $110,000 is needed to move forward with planning and engineering on the project. This ordinance authorizes additional funding to be appropriated from the Water Improvement Fund.

The Municipal Solar Field project is energy-related, would create local jobs, save on utility costs and potentially use locally manufactured solar panels. By completing the planning and engineering for the project immediately, the City of Toledo may be able to make the project eligible to receive federal funds.

Agreement with Lake Twp., Wood County, Ohio for JEDD at Metcalf Field property SEP

An Ordinance authorizing the Mayor to enter into an agreement with the Board of Township Trustees of the Township of Lake, Wood County, Ohio to create a Joint Economic Development District located at the Metcalf Field property owned by the City of Toledo in Lake Township; and declaring an emergency.

SUMMARY & BACKGROUND:
The Township of Lake (“Township”) and the city of Toledo (“Toledo”) have negotiated and intend to enter into a Lake Township-City of Toledo Joint Economic Development District (the “District”) in accordance with Section 715.72 to 715.83 of the Revised Code for their mutual benefit and for the benefit of their residents and of the State of Ohio (the “State”). The Toledo-Lucas County Port Authority is the sole business located within the District and has consented to its inclusion in the District.

The Lake Township Board of Trustees held a public hearing to discuss the proposed contract on April 7, 2009 and afterwards voted unanimously on June 2, 2009 to enter into the agreement. State law requires that the City of Toledo adopt an ordinance authorizing the Mayor to enter into the proposed JEDD agreement.

Paul Syring was there to present the legislation. No one attended the public hearing that was held by the City.

Repeal Ord. 99-04 which conveyed 9 parcels to NorthRiver Development Corp. SEP

Repealing Ordinance No. 99-04 authorizing the Mayor to execute needed instruments for conveyance of nine (9) parcels of real estate to NorthRiver Development Corporation; and declaring an emergency.

SUMMARY & BACKGROUND:
The City of Toledo operates a Land Reutilization Program pursuant to Section 187.19(a) of the Toledo Municipal Code which authorizes the Director of Development to accept nonproductive land and dispose of same pursuant to Chapter 5722 of the Ohio Revised Code. The department oversees the review and processing of parcels within this program. Ordinance No. 99-04 passed by Toledo City Council on February 24, 2004, authorized the sale of nine parcels of real estate to NorthRiver Development Corporation for proposed new housing. The transfer never occurred and NorthRiver now only has interest in one of the nine parcels. Sale of that parcel will be the subject of a companion ordinance.

Jeanette Morrel from the City of Toledo Real Estate Division presented the legislation. McNamara said he talked with the executive from North River, he recommended SEP for this item and the next one.

Landbanking Sale – 1323 N. Michigan St. to NorthRiver Development Corp. for new housing, $150 SEP

Authorizing the Mayor to execute needed instruments for the sale and conveyance of city-owned real estate, located at 2430 Chase, Toledo, Ohio, to Rick A. Searcy: and declaring an emergency.

SUMMARY & BACKGROUND:
The City operates a Land Reutilization Program pursuant to Section 187.19(a) of the Toledo Municipal Code which authorizes the Director of Neighborhoods to accept nonproductive land and dispose of same pursuant to Chapter 5722 of the Ohio Revised Code. The Real Estate Division of the Department of Development oversees the sales and review of parcels within this program. Rick A. Searcy the adjacent residential property owner, wishes to acquire the City-owned vacant lot at 2430 Chase for yard expansion and maintenance. The property will be combined with the adjacent improved parcel to create one taxable parcel. The property will be sold for One Hundred Fifty Dollars.

Landbanking Sale – 2430 Chase to Rick Searcy for yard expansion, $150 SEP

Authorizing the Mayor to execute needed instruments for the sale and conveyance of city-owned real estate, located at 2430 Chase, Toledo, Ohio, to Rick A. Searcy: and declaring an emergency.

SUMMARY & BACKGROUND:
The City operates a Land Reutilization Program pursuant to Section 187.19(a) of the Toledo Municipal Code which authorizes the Director of Neighborhoods to accept nonproductive land and dispose of same pursuant to Chapter 5722 of the Ohio Revised Code. The Real Estate Division of the Department of Development oversees the sales and review of parcels within this program. Rick A. Searcy the adjacent residential property owner, wishes to acquire the City-owned vacant lot at 2430 Chase for yard expansion and maintenance. The property will be combined with the adjacent improved parcel to create one taxable parcel. The property will be sold for One Hundred Fifty Dollars.

Easement to Columbia Gas in Int’l Park & Marina District in exchange for property in Promenade Pk SEP

Authorizing the Mayor to execute needed instruments for the granting of pipeline Easements to Columbia Gas of Ohio on portions of real property owned by the City of Toledo and located within International Park and the Marina District; authorizing the acceptance of property located on the west side of the river in Promenade Park from Columbia Gas of Ohio in exchange for said easements; and declaring an emergency.

SUMMARY & BACKGROUND:
The City of Toledo presently holds title to property at the Marina District and at International Park that is subject of a fully constructed, relocated and upgraded 20” Columbia Gas pipeline. This Ordinance is necessary to finalize the granting of easements to Columbia Gas in exchange for Columbia Gas providing the City of Toledo title to property on the west side of the river (site of a vacated/abandoned Columbia Gas facility). Property to be accepted is zoned POS and has been maintained under a lease from Columbia Gas as part of Promenade Park.

In exchange for land to put a 20 inch pipe in they (Columbia Gas) is going to deed property to the City at Promenade Park.

Appropriation for ERP project, $1,656,275 CIP Fund SEP is listed on the track list but this was assigned to IT committee at Shultz’s request

Authorizing the Mayor and Commissioner of Purchases and Supplies to appropriate, expend and enter into agreements with vendors in an amount not to exceed $1,656,275 for the purchase of hardware, software, implementation, project management, personnel costs and support services for the ERP project; appropriating and expending $1,656,275 from the approved 2009 Capital Improvement Fund; authorizing various adjustments and transfers of expense; and declaring an emergency.

SUMMARY & BACKGROUND:
Ordinance Nos. 267-08, 382-08, 580-08, 581-08 and 604-08 authorized the purchase and installation of SAP software for the city’s Enterprise Resource Planning (ERP) project along with the hiring of a project manager to oversee the work. Part of the funding for the ERP project also is budgeted in the approved 2009 Capital Improvement Program. This ordinance authorizes the appropriation and expenditure of $1,656,275 for the remaining expenses of the ERP project.

Waniewski asked if this was it for the ERP project, the total cost was 12.6 million dollars. Collins urged Council to listen to the committee reports from today on this project. He said some revealing issues were brought out and they should look at the material and look at the risk they are going to take the next 5 months during the implementation. Shultz said she has watchdogged this for 14 years and she wants to see this working but we are going to lose some experienced people, the best system in the world isn’t any good if people don’t use it.

Designating the area within the corporate limits of the City as a Recovery Zone for Stimulus Act bonds First Reading

SUMMARY & BACKGROUND:
The federal American Recovery and Reinvestment Tax Act of 2009 (the “Stimulus Act”) provides federal income tax incentives for obligations issued to finance expenditures for purposes of promoting development or other economic activity in a “recovery zone” (“Recovery Zone Economic Development Bonds”) and obligations issued to finance the construction, reconstruction, renovation or acquisition of recovery zone property to be used in a qualified business in the recovery zone (“Recovery Zone Facility Bonds”).

Pursuant to the Stimulus Act the City has received an allocation of the national Recovery Zone Economic Development Bond limitation in the amount of $17,975,000 and an allocation of the national Recovery Zone Facility Bond limitation in the amount of $26,963,000 (collectively, the “Allocations”), which Allocations are based on the proportion that the City’s employment decline bears to the aggregate of the 2008 employment declines for all the counties and certain large municipalities in the State.

The Stimulus Act provides that 95% of the net proceeds of Recovery Zone Facility Bonds must be used to finance recovery zone property that was constructed, reconstructed, renovated, or acquired for purchase after the date on which the designation of the applicable recovery zone went into effect.

The Stimulus Act further provides that 100% of the available project proceeds of Recovery Zone Economic Development Bonds must be used to finance expenditures made for a qualified economic development purpose within the applicable recovery zone.

The Stimulus Act further provides that Recovery Zone Economic Development Bonds and Recovery Zone Facility Bonds issued pursuant to the Allocations must be issued before January 1, 2011.

Given the current high rates of poverty, unemployment and home foreclosures and general distress in the City, this Council has determined to act immediately to designate the area within the corporate limits of the City as a recovery zone for purposes of the Stimulus Act so as to encourage and support economic development activities within the entire City and to enable the City to fully utilize its allocations for issuing Recovery Zone Economic Development Bonds and Recovery Zone Facility Bonds.

Fran Song presented the legislation, she said the rebate received from the government saves us interest. It is not new money. Shultz asked about our debt limits, Song said they are adjusting their debt so that they are not over the 90% limit, they have nothing more available than they are currently using. Collins questioned the adjusting the debt limit, Song said they have always been way under the limit but since the income tax is lower, they are restructuring their debt so the payments are lower. Sarantou wanted to know the previous interest rate and the new ones and wanted to know interest rate – she estimates on streets they’d save over 465,000 in savings for the 8 million in bonds. The refuse trucks also qualify, the savings would be $240,000. Song said the interest rate could be similar but they get a 35% rebate. Waniewski asked for clarification on what was stated.

Issue Bonds – Refund 1999 street improvements, $2,230,000 First Reading

Providing for the issuance and sale of bonds in a maximum aggregate principal amount of $2,230,000 for the purpose of refunding at a lower interest cost the $2,150,000 of the City’s outstanding Street Improvement Bonds, Series 1999, that are stated to mature on or after December 1, 2010, and were issued as a part of a consolidated issue of Various Purpose Improvement Bonds, Series 1999, dated as of July 15, 1999; authorizing and directing the call for redemption on December 1, 2010, of all of the refunded bonds; authorizing the execution and delivery of a Bond Registrar Agreement and a Bond Purchase Agreement with respect to the refunding bonds and an Escrow Agreement with respect to the refunding of the refunded bonds; and declaring an emergency.

SUMMARY & BACKGROUND:
This is one of a series of ordinances that authorize the issuance of general obligation bonds that the City plans to sell in August 2009.

This ordinance authorizes the sale of up to $2,230,000 of bonds to refund $2,150,000 of outstanding bonds issued for street improvement projects in 1999. With the issuance of the bonds authorized by this ordinance and the retirement of the prior bonds, the City’s outstanding debt may be increased by up to $80,000; however, the bonds authorized by this ordinance will be sold only if interest rates available on the sale date will provide satisfactory debt service savings to the City, over and above all additional expenses of sale of the bonds and the refunding of the prior bonds.

Sarantou asked for a list of all of the bonds that could qualify for a re-finance.

Issue Bonds – 40 automated refuse trucks, $12,200,000 First Reading

Providing for the issuance and sale of bonds in a maximum aggregate principal amount of $12,200,000 to provide funds to pay costs of acquiring truck cabs and chassis, packers and related appurtenances and equipment for use by the City’s Department of Public Service in the collection, recycling and transportation of solid waste; and declaring an emergency.

SUMMARY & BACKGROUND:
This is one of a series of ordinances that authorize the issuance of general obligation bonds that the City plans to sell in August 2009. The amount received from the sale of the bonds authorized by this ordinance will be used to pay costs of acquiring truck cabs and chassis, packers and related appurtenances and equipment for use by the City’s Department of Public Service in the collection, recycling and transportation of solid waste. The amount of the City’s outstanding debt will be increased by $12,200,000 by the issuance of these bonds. They will be subject to legal debt limits and reduce the City’s legal borrowing capacity.

Issue Bonds – MLK Bridge, $10,000,000 First Reading

Providing for the issuance and sale of bonds in a maximum aggregate principal amount of $10,000,000 to provide funds to pay costs of improving the Martin Luther King Bridge in the City by rehabilitating, reconstructing and replacing the bascule lift spans and the bascule piers, installing new mechanical and electrical control systems, and relocating and reconstructing the operator towers, in each case together with the necessary appurtenances and work incidental thereto; and declaring an emergency.

SUMMARY & BACKGROUND:
This is one of a series of ordinances that authorize the issuance of general obligation bonds that the City plans to sell in August 2009. The amount received from the sale of the bonds authorized by this ordinance will be used, together with other funds, to retire a prior bridge improvement note maturing on October 22, 2009. With the issuance of these bonds and the retirement of the prior note, the City’s outstanding debt will be unchanged. There will be no negative impact on debt limits.

Issue Bonds – 2009 street improvements, $8,000,000 First Reading

Providing for the issuance and sale of bonds in a maximum aggregate principal amount of $8,000,000 to provide funds to pay costs of improving certain designated streets in the City’s street system, in cooperation with the Department of Transportation of the State of Ohio and otherwise, by constructing, reconstructing and rehabilitating the pavement base, bridges, curbs, drainage improvements, driveway approaches, pedestrian ramps and sidewalks, widening, adjusting radius cutbacks, manholes and catch basins, preparing the surface and surfacing and resurfacing, where necessary, in each case together with the necessary appurtenances and work incidental thereto, and acquiring real estate and interests in real estate in connection therewith; and declaring an emergency.

SUMMARY & BACKGROUND:
This is one of a series of ordinances that authorize the issuance of general obligation bonds that the City plans to sell in August 2009.

This ordinance authorizes the sale of up to $8,000,000 of bonds to provide approved debt funding for portions of the street paving, street resurfacing and sidewalk improvement projects included in the City’s 2009 Capital Improvement Program. The amount of the City’s outstanding debt will be increased by up to $8,000,000 by the issuance of these bonds. These bonds will be subject to legal debt limits and reduce the City’s legal borrowing capacity.

Issue Bonds – Blackstone Dr. improvements, $115,000 First Reading

Providing for the issuance and sale of bonds in a maximum aggregate principal amount of $115,000 to provide funds to pay costs of improving Blackstone Drive from Homer Avenue to Manhattan Boulevard by grading, draining, curbing and paving; and declaring an emergency.

SUMMARY & BACKGROUND:
This is one of a series of ordinances that authorize the issuance of general obligation bonds that the City plans to sell in August 2009. The amount received from the sale of the bonds authorized by this ordinance will be used, together with other funds, to retire a prior Blackstone Drive improvement note maturing on October 22, 2009. With the issuance of these bonds and the retirement of the prior note, the City’s outstanding debt will be unchanged. There will be no negative impact on debt limits.