CITY OF EAST PROVIDENCE

RHODE ISLAND

JOURNAL OF REGULAR COUNCIL MEETING

June 17, 2014

Council Chambers, City Hall, 145 Taunton Avenue, East Providence, RI 02914

7:00 P.M. Executive Session - Claims Room, 101

7:30 P.M. Open Session

 

Present:  Mayor Briden

Assistant Mayor Rose

Councilwoman Capobianco

Councilman Cunha

Councilwoman Rossi

Acting City Manager Paul Lemont

Solicitor Timothy Chapman

Deputy Clerk June Lundstrom

 

 

 

I.                   EXECUTIVE SESSION

The City Council of the City of East Providence will meet in Executive Session pursuant to RI General Laws § 42-46-5 (a) (2)

 

A.    New Claims

 

1.      Nationwide Insurance

a/s/o George Henderson

2.      Nikida Robinson

3.      Harold W. Rose

 

B.     Miscellaneous – Sewer Abatements

1.      Greta Gustafson

2.      Lynn Hosford

3.      Albertina Silva

 

II.                CALL TO ORDER

 

III.             SALUTE TO THE FLAG

 

IV.             TO APPROVE THE CONSENT CALENDAR

All items under “CONSENT CALENDAR” are considered to be of a routine and noncontroversial nature by the City Council and will be enacted by one motion.  There will be no separate discussion on these items unless a Council member so requests, in which event, the item will be removed from the “CONSENT CALENDAR” and will be considered in its normal sequence on the docket.

 

A. Letters

1.  Resolution Town of Warren in support of continued funding of the Municipal Road and Bridge Revolving Fund.

 

B. Cancelation/Abatements

Year	Amount
2013	$821.28
2014	$46,831.46
Total	$47,652.74

 

C. Council Journals

            1.  Executive Session April 1, 2014

            2.  Executive Session June 3, 2-14

3. Special Meeting May 12, 2014

4. Special Meeting – Hearing May 12, 2014

 

A motion to approve the Consent Calendar is made by Assistant Mayor Rose, seconded by Councilwoman Rossi and on a roll call vote it is unanimous. 

 

V.                PUBLIC COMMENT

A.    Candy Seel - Puppies and Politics

B.     Ed Lynch – Greenwood Avenue Bridge

 

VI.             APPOINTMENTS

 

A.    Juvenile Hearing Board (by Councilman Cunha)

Andrea Pascoa, 152 Summit Street (02914)

A motion to approve the Appointment is made by Councilman Cunha, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

 

B.     Juvenile Hearing Board (by Mayor Briden)

 

Christine Jackson, 228 Thatcher Street (02916)

 

A motion to approve the Appointment is made by Assistant Mayor Rose, seconded by Councilman Cunha and on a roll call vote it is unanimous. 

 

VII.          LICENSES NOT REQUIRING PUBLIC HEARING

 

A.    Hawker

1.      Lamo Group, LLC, Larry E. Gailloux, 160 Rounds Avenue, Apartment 3, Providence (02907)

 

A motion to approve the license is made by Assistant Mayor Rose, seconded by Councilwoman Capobianco and on a roll call vote it is unanimous. 

 

                       

B.     Holiday Sales

1.      The Perfect Puppy, Inc., 1235 Wampanoag Trail (02915), Scott Bergantino, 20 Britto Lane, Scituate (02857)

 

Mayor Briden requests a legal opinion from the Solicitor.  The Solicitor states that he feels the situation should remain status quo as they are in pending federal litigation.  Therefore, the license should be voted upon to approve. 

 

A motion to approve the license is made by Councilman Cunha, seconded by Councilwoman Capobianco and on a roll call vote the motion passes with Assistant Mayor Rose and Councilwoman Rossi voting Nay. 

 

VIII.       PUBLIC HEARING – ORDINANCES FINAL PASSAGE

 

A.    An ordinance amending Alcohol Violation Penalties and Responsible Beverage Service Training.

 

AN ORDINANCE IN AMENDMENT OF CHAPTER 9 OF THE REVISED ORDINANCES OF THE CITY OF EAST PROVIDENCE, RHODE ISLAND, 1998, AS AMENDED, ENTITLED “MISCELLANEOUS OFFENSES.”

SECTION I.  Chapter 9 of the Revised Ordinances of the City of East Providence, Rhode Island 1998, as amended, entitled “Miscellaneous Offenses is amended by adding thereto the following:

 

Sec. 9-1.2.  Responsible Beverage Service Training.

 

A.)  Every East Providence alcohol license holder shall ensure that:

 

1.   At the time of time of issuance or renewal of all Class A, B, C and D alcohol

licenses, or whenever there is a change of a license from one holder to another, the alcohol license holder, anyone serving in a supervisory capacity, employees involved with the sale or service of alcohol, individuals required to check ID’s and valet staff shall have been certified in an alcohol server training program that has been approved by the Department of Behavioral Healthcare, Developmental Disabilities and Hospitals within 60 days of being hired.  At the time of issuance or renewal of a Class A license, only the alcohol license holder, anyone serving in a supervisory capacity and cashiers are required to be trained.

 

2.   Licensees shall require employees described in subparagraph (A) (1) hereof to be

recertified every three (3) years. 

 

3.   As a condition of an alcohol license renewal, each alcohol license holder must

submit to the City Clerk, information verifying that all persons described in paragraph (A) (1) hereof and employed by the alcohol license holder for more than sixty  days (60) have completed a state certified Alcohol Server Training program as defined herein within the last three (3) years.  In the event that an establishment has a staff turnover of more than five employees who sell or serve alcohol as described in paragraph (A) (1), this information will need to be resubmitted.  Failure of the alcohol license holder to comply with this section may result in a suspension or non-issuance of a license until proof of certification is provided. 

 

4.   All persons who have completed a state certified Alcohol Server Training as

required must have their valid server permits on the premises when engaged in the sale or service of alcoholic beverages. Failure to have a valid server permit on the premises will not constitute a violation, as long as proof of a valid permit is provided within 10 days.

B.)  Any alcohol license holder who violates or fails to comply with any provision of the

Responsible Beverage Service Training Ordinance shall be subjected to the following graduated penalties in accordance with state law by the East Providence City Council sitting as the licensing commission:

 

1.   An initial written warning for a first violation or noncompliance. 

2.   An additional written warning for a second violation (within 3 years of the first

violation).

3.   A fine not to exceed $250 for a third violation (within 3 years of the second violation).

4.   License suspension for subsequent violations. 

 

C.)  Any server who violates or fails to comply with any provision of the Responsible

Beverage Service Training Ordinance shall be subjected to the following graduated penalties in accordance with state law by the East Providence Municipal Court:

 

1.   An initial written warning for a first violation or noncompliance. 

2.   An additional written warning for a second violations (within 3 years of the first

violation).

3.   Loss of certification for third violation (within three years of the first and second

violations).

 

D.)  Failure to have a valid server permit on the person of an individual required to be

certified hereunder shall not constitute a violation, provided, proof of a valid permit is provided to the City Clerk’s office within (10) days of the request. 

 

E.)   All fines collected by Municipal Court or the East Providence City Council sitting as the licensing commission hereunder shall be paid to the City of East Providence. 

 

SECTION II.  This ordinance shall take effect upon its second passage and all ordinances or parts of ordinances inconsistent herewith are hereby repealed.

 

Requested By:  Councilwoman Capobianco

Assistant Mayor Rose states that corrections were requested by Council and are present in the ordinance. 

A motion to approve the ordinance for final passage is made by, seconded by on a roll call vote it is unanimous. 

 

Mayor Briden requests that the Block Parties under Communications be moved to this location on the docket and unanimous consent is granted.

 

A.    Communications

1.       Leeann Dias, 57 Tryon Avenue requesting to address the Council regarding permission for the 14^th Annual Neighborhood Block Party, Saturday, July 19, blocking Tryon Avenue at the corner of Gibbs Street and the corner of Merchant Street and that Estelle Street be blocked at Ferris Avenue. 

Assistant Mayor Rose states this block party has taken place for 14 years with no issues and has always been a very good event for all concerned. 

A motion to approve the block party is made by Assistant Mayor Rose, seconded by Councilwoman Capobianco and on a roll call vote it is unanimous. 

 

2.       Richard Costa, 17 Jackson Avenue (02915) requesting to address the Council regarding a Block Party to be held on July 4, blocking a portion of Jackson Avenue. 

 

Mr. Costa is not present.

 

Mayor Briden requests the ordinances for first passage be moved to this location on the docket and unanimous consent is granted. 

 

B.     Introduction of Ordinances

1. ADOPTING AN AMENDED EAST PROVIDENCE WATERFRONT SPECIAL DEVELOPMENT DISTRICT TAX INCREMENT FINANCING PLAN (THE “AMENDED PROJECT PLAN”) AND AUTHORIZING THE ISSUANCE OF BONDS TO FINANCE CERTAIN PUBLIC INFRASTRUCTURE AND PUBLIC IMPROVEMENTS NECESSARY IN CONNECTION WITH THE KETTLE POINT PROJECT

WHEREAS, by Ordinance No. 516 adopted October 5, 2010 and October 19, 2010 (the “2010 Redevelopment Ordinance”), the City Council adopted and approved the East Providence Waterfront Special Development District Plan (the “Redevelopment Plan”) and designated the area within the City described in the Redevelopment Plan as the East Providence Waterfront Special Development District as a redevelopment area (the "Redevelopment Area") pursuant to chapters 31-33 of title 45 of the Rhode Island General Laws, the Redevelopment Act of 1956 (the "Redevelopment Act"); and

WHEREAS, pursuant to the 2010 Redevelopment Ordinance, the City Council approved the East Providence Special Waterfront Development District Tax Increment Financing (TIF) Project Plan (the “Project Plan”) which designates several Special Development Sub-districts, including the Kettle Point Special Development Sub-district (the “Project Area”); and

WHEREAS, upon recommendation of the East Providence Waterfront Special Development District Commission (the "Waterfront Commission") the City Council approved Amendment No. 1 to the TIF Project Plan (as amended, the “Amended Project Plan”), by Ordinance No. 578   duly passed by the City Council on May 21, 2013 and June 4, 2013 (the “2013 Redevelopment Ordinance”), based upon the City’s findings, among other things, that the projects, facilities, programs and other assistance described in the Amended Project Plan are needed and in the public interest; and

WHEREAS, it is the purpose and intent of the City Council to facilitate redevelopment of the Redevelopment Area to accommodate the City’s redevelopment initiatives; and

WHEREAS, pursuant to the Redevelopment Act and chapter 33.2 of title 45 of the Rhode Island General Laws (the "Tax Increment Financing Act") the City desires to raise funds for such redevelopment by the issuance of tax increment financing bonds of the City or other bonds secured by a tax increment pledge ("TIF Bonds"); and

WHEREAS, the Tax Increment Financing Act requires as conditions precedent to the creation of a tax increment, that the City Council adopt a redevelopment plan and a project plan, including the designation of a tax increment area and the calculation of the tax increment to be derived from taxes levied on real and personal property situated in or otherwise assignable for purposes of property taxation in the tax increment area; and

WHEREAS, the City Council is required by the Redevelopment Act to make certain findings, determinations and declarations in connection with the adoption of a redevelopment plan and a project plan; and

WHEREAS, Kettle Point, LLC has changed its name to Kettle Point LLC ("KP LLC") and KP LLC continues to be the designated developer of certain land located in the Kettle Point Special Development Sub-district and KP LLC anticipates that it will develop a residential project in the Kettle Point Special Development Sub-district and incur capital expenditures of approximately $86,000,000 for such development (the “Kettle Point Project”); and

WHEREAS, in response to market conditions, KP LLC intends to change the number of condominiums and luxury apartments in the development and has requested other concessions from the City; and

WHEREAS the East Providence Waterfront Commission has recommended that the City Council approve Amendment No. 2 to the Project Plan dated as of June 15, 2014 which amends the Project Plan consistent with improvements now contemplated by KP LLC for the Project Area;

WHEREAS, pursuant to the Tax Increment Financing Act, the City shall designate a portion of the tax increment resulting from the Kettle Point Project for the benefit of certain projects described in the Redevelopment Plan and the Project Plan, including the infrastructure and public improvements contemplated by the Kettle Point Project (the “TIF Projects”); and

WHEREAS, the City wishes to provide authorization, subject to Section 8 hereof, for the issuance of special obligation bonds and/or bond anticipation notes pursuant to the Tax Increment Financing Act in an aggregate amount not to exceed $10,600,000 to finance and refinance the TIF Projects related to the Kettle Point Project; and

WHEREAS, TIF Bonds will be payable solely from "project revenues" as defined in the Tax Increment Financing Act; and

WHEREAS, project revenues will include tax increments, bond proceeds and special assessments; and 

WHEREAS, it is intended that special assessments will be properly imposed on land and improvements comprising the Kettle Point Project and serve as additional security for the TIF Bonds issued for the benefit of the Kettle Point Project, such special assessments to be paid over the term of any TIF Bonds issued for the benefit of the Kettle Point Project; and

WHEREAS, the tax increment revenues will be a credit to the payment of special assessments, all as provided in the Assessment Plan as approved by the Waterfront Commission, and further described herein; and

WHEREAS, project revenues do not include general funds of the City;

WHEREAS, the TIF Bonds will be special obligations of the City payable solely from project revenues; and

WHEREAS, the City wishes to amend the Project Plan to permit the development of the Kettle Point area by KP LLC, and approve the special assessment in the District as approved by Waterfront Commission for the purposes set forth above.

NOW THEREFORE, the City Council of the City of East Providence hereby makes the following findings, determinations and declarations with regard to the East Providence Waterfront Special Development District Tax Increment Financing Plan, including Amendment Nos. 1 and 2 (as so amended, the “Amended Project Plan”), which findings are required by Sections 45-32-13 through 45-32-18, Section 45-32-20 and Section 45‑33.2‑4(1) and (5) of the Rhode Island General Laws:

1.         The Redevelopment Plan and the Amended Project Plan are feasible and conform to the comprehensive plan for the City of East Providence, and if carried out would promote the public health, safety, morals and welfare of the community, and would effectuate the purposes of the Redevelopment Act.

2.         The source of funds for carrying out the TIF Projects as provided in the Redevelopment Plan and the Amended Project Plan shall be proceeds from the sale of TIF Bonds issued by the City of East Providence and any other legally available revenues contemplated by the Redevelopment Plan and Project Plan.

3.         The Redevelopment Plan does not directly result in changes to streets except for the extension and construction of a portion of Waterfront Drive, the entrance features at Lyon Avenue, the construction of Kettle Point Loop Road, the construction of the road extending to the new parking area for the East Bay Bike path, the relocation of existing curb cuts on Veterans Memorial Parkway and internal roads within the Kettle Point Project.

4.         The Redevelopment Plan and Amended Project Plan do not presently provide for acquisition by the City of property by negotiation or by eminent domain.

5.         The Redevelopment Plan contemplates financial aid from the federal government.

6.         The Redevelopment Plan provides for the retention of controls and the establishment of any restrictions or covenants which may run with the real property sold, leased, or otherwise disposed of for private or public use as are necessary to effectuate the purposes of the Redevelopment Act.

7.         The findings of fact regarding “blighted and substandard conditions” set forth in the Redevelopment Plan are hereby accepted.  Based on those findings of fact, the Redevelopment Area is hereby found to be a "blighted and substandard area" as that term is defined in Section 45-31-8 of the Redevelopment Act and requires clearance, re-planning, redevelopment, rehabilitation and improvement.

8.         That the Project Area would not by private enterprise alone, and without either governmental subsidy or the exercise of governmental powers, be developed or revitalized in a manner so as to prevent, arrest, or alleviate the spread of blight or decay.

9.         That the Amended Project Plan will afford maximum opportunity to privately financed development or revitalization consistent with the sound needs of the City as a whole.

10.       The facilities and other assistance are needed and that the financing of the project in accordance with the Amended Project Plan is in the public interest.

11.       There is not within the City an adequate supply of low rent housing for persons or families of low income available for rents they can afford to pay, the rents which those persons or families can afford to pay would not warrant private enterprise providing housing for them, and the financing of public improvements in accordance with the Amended Project Plan is in the public interest.

12.       The City Council intends that the Project Area be redeveloped in accordance with the City’s Redevelopment Plan and Comprehensive Plan and intends that such redevelopment promote the health, safety and welfare of the City.

13.       Unemployment or the threat of unemployment exists in the City, and it is expected that the Amended Project Plan will create approximately 10 permanent and 757 temporary full-time equivalents jobs.  It is expected that wages and benefits from such job will be comparable to current market rates resulting in increased personal income tax for the State of Rhode Island.

NOW THEREFORE, the City of East Providence ordains as follows:

SECTION 1.  The Kettle Point Special Development Sub-district is designated as a project area for the purposes of the Tax Increment Financing Act. The Redevelopment Plan is the official redevelopment plan for the Project Area. The Amended Project Plan, incorporated herein by reference, is adopted and approved as a project plan pursuant to chapter 45-33.2 of title 45 of the Rhode Island General Laws.  The public improvements shall be in the Project Area, and shall be identified as "Kettle Point TIF Project Number 2013-1."

SECTION 2.  There is hereby authorized, subject to Section 8 hereof, the issuance of special obligation bonds and/or bond anticipation notes pursuant to the Tax Increment Financing Act in an aggregate outstanding amount not to exceed $10,600,000 to finance the TIF Projects contained in the Amended Project Plan relating to the Kettle Point Project (the “Bonds”).

SECTION 3.  The Bonds shall be issued for the purpose of carrying out any project or projects described in the Amended Project Plan including the TIF Projects.  Without limiting the generality of the foregoing the Bonds shall be issued for TIF Project costs, which may include interest prior to and during the carrying out of any such project and for a reasonable time thereafter, such costs, reimbursements and reserves as may be required by any agreement or arrangement securing the Bonds, and all other expenses with respect thereto, including, without limitation, reimbursement of expenses previously paid from any other source, incidental to planning, carrying out and financing any such project.

SECTION 4.  The Bonds shall be payable solely from "project revenues" including tax increment as defined in the Tax Increment Financing Act and shall not be deemed to be a pledge of the faith and credit or the taxing power of the  City.

SECTION 5.  The City hereby pledges not more than 70% of the tax increment resulting from the Project Area to the repayment of the Bonds.  Notwithstanding anything contained herein to the contrary, the debt service on the Bonds shall not exceed 60% of the estimated tax increment supporting the Bonds.

SECTION 6.  Each of the Bonds shall recite on its face that it is a special obligation bond or bond anticipation note, as the case may be, payable solely from "project revenues" as defined in the Tax Increment Financing Act pledged for its repayment.

SECTION 7.  The Bonds shall be dated and may be made redeemable before maturity with or without premium.  The Bonds may be issued in one or more series.   The Authorized Officers defined below shall determine the terms, details and manner of sale and other conditions of the Bonds and the security structure therefor for each issue of Bonds in accordance with the Tax Increment Financing Act and the Amended Project Plan, including the manner in which tax increment received and to be received under the Tax Increment Financing Act and the Amended Project Plan and other "project revenues" under the Act shall be escrowed, pledged or otherwise used to secure any such Bonds issue, and shall also determine the date or dates of the Bonds, their denomination or denominations, the place or places of payment of the principal and interest thereon, which may be at any bank or trust company within or without the state, their interest rate or rates, maturity or maturities, redemption privileges, if any, and the form and other details of the Bonds.

SECTION 8.   The City Manager and the Director of Finance (the “Authorized Officers”), in consultation with the City Solicitor, are authorized to negotiate and determine the terms and provisions of such documents required for the sale and issuance of the Bonds and the documents required to complete the TIF Projects described in the Amended Project Plan, including a Development Agreement and other necessary documents and certificates, and such Authorized Officers, acting jointly, are hereby authorized to execute and deliver such documents. 

SECTION 9.   The Authorized Officers are authorized to prepare and deliver an Official Statement or Preliminary Limited Offering Memorandum, if required, in connection with the sale of the Bonds, and the Mayor and the Director of Finance are authorized to execute and deliver the Official Statement or Preliminary Limited Offering Memorandum, a Trust Indenture, a Series Indenture and a Bond Purchase Agreement consistent with the terms and conditions determined by the Authorized Officers in accordance with Section 7.

SECTION 10.  The Bonds shall be signed by the Director of Finance, shall be countersigned by the Mayor, either manually or by facsimile, and shall bear the seal of the City or a facsimile thereof. 

SECTION 11.  In case any officer whose signature or a facsimile of whose signature shall appear on any Bonds shall cease to be an officer before the delivery thereof, such signature or facsimile thereof shall nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office until the delivery.

SECTION 12.  The City may sell the Bonds in such manner, either at limited public or private sale, and for such price, as the Authorized Officers may determine will best effect the purposes of this ordinance and the Tax Increment Financing Act.

SECTION 13.  Notwithstanding any provisions of any general or special law to the contrary, Bonds issued under the Tax Increment Financing Act and hereunder may provide for annual or more frequent installments of principal in equal, diminishing, or increasing amounts, with the first installment of principal to be due at any time within five (5) years from the date of the issuance of the bonds and the last installment of principal to be due not later than twenty-five (25) years from the date of the issuance of the Bonds.

SECTION 14.  The Mayor and the Director of Finance are authorized to execute and deliver a Continuing Disclosure Certificate in connection with the Bonds, in such form as shall be deemed advisable by the Authorized Officers.  The City hereby covenants and agrees that it will comply with and carry out all of the provisions of the Continuing Disclosure Certificate, as it may be amended from time to time.  Notwithstanding any other provision of this Ordinance or the bonds or bond anticipation notes, failure of the City to comply with any Continuing Disclosure Certificate shall not be considered an event of default under such bonds or bond anticipation notes; however, any bondholder or note holder may take such actions as may be necessary and appropriate, including seeking mandate or specific performance by court order, to cause the City to comply with its obligations under this Section and under each Continuing Disclosure Certificate.

SECTION 15.  From and after the issuance of the Bonds, the Authorized Officers, acting jointly, and the Mayor are authorized to execute and deliver other documents, certificates, agreements and amendments thereto, in furtherance of the development of the TIF Projects in such forms as said officers deem advisable, consistent with the best interests of the City, the execution and delivery thereof by such Authorized Officers to be conclusive evidence of such approval.

SECTION 16.  The City Council hereby accepts and approves the Kettle Point City of East Providence, Rhode Island East Providence Waterfront Special Development District Commission Assessment Plan (the "Assessment Plan") as heretofore adopted by the Waterfront Commission in accordance with chapter 345 of the Public Laws of 2003.

SECTION 17.  The execution and delivery of an Assessment Pledge Agreement are hereby authorized.  The Authorized Officers, acting jointly, and the Mayor are hereby authorized to execute, acknowledge, and deliver the Assessment Pledge Agreement in such form as may be approved by said Authorized Officers, the execution and delivery thereof by such Authorized Officers to be conclusive evidence of such approval.

SECTION 18.  This ordinance shall take effect upon its second passage and all ordinances and parts of ordinances inconsistent herewith are hereby repealed.

Requested by:  Councilwoman Rossi

Director of Planning Jeanne Boyle is called to the podium to provide background on the need for the amendment. 

 A motion to approve the ordinance for first passage is made by Assistant Mayor Rose, seconded by Councilwoman Rossi and on a roll call vote it is unanimous. 

 

2.      ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION REFUNDING BONDS

WHEREAS, the City of East Providence (the "City") has previously issued its [$5,095,000 General Obligation Bonds dated June 15, 1999, its $4,860,000 General Obligation Bonds dated May 15, 2000, its $5,130,000 General Obligation Bonds dated May 15, 2001, its $9,000,000 General Obligation Bonds dated May 15, 2003, and its $9,000,000 General Obligation Bonds dated May 15, 2004 (collectively, the "Prior Bonds"); and

WHEREAS, the City desires to issue general obligation refunding bonds (the "Refunding Bonds") to refund all or any part of the Prior Bonds in order to take advantage of the lower interest rates which currently are prevailing;

WHEREAS, the City intends to issue the refunding bonds provided the present value savings is at least equal to 3% of $16,335,073, the current outstanding debt service, including principal and interest.

The Council of the City of East Providence hereby ordains:

SECTION 1.  Pursuant to Rhode Island General Laws Section 45-12-5.2 the City is authorized to issue Refunding Bonds of the City in an amount necessary to refund all or a portion of the Prior Bonds and to provide for any principal of, redemption premium, and interest on the Prior Bonds coming due on or prior to the date on which the Prior Bonds are to be redeemed, and costs of issuance of the Refunding Bonds.  Such authorization is contingent upon obtaining the present value savings levels set forth above in the third Whereas clause.

SECTION 2.  The issuance of the Refunding Bonds will result in a financial benefit to the City.

SECTION 3.  The manner of sale, amount, denominations, maturities, conversion or registration privileges, interest rates, medium of payment, and other terms, conditions and details of the Refunding Bonds authorized herein may be fixed by the officers authorized to sign the Refunding Bonds.

SECTION 4.  The City Council hereby authorizes the Director of Finance and the Mayor acting on behalf of the City, to issue the Refunding Bonds for the purposes set forth in this Ordinance and to take all actions as they deem necessary to effect the issuance of the Refunding Bonds.  The Refunding Bonds shall be issued by the City under its corporate name and seal or facsimile of such seal.  The Refunding Bonds shall be signed by the manual or facsimile signature of the Director of Finance and the Mayor.

SECTION 5.  The Director of Finance and the Mayor are hereby authorized to issue the Refunding Bonds and deliver them to the purchaser and said officers are hereby authorized and instructed to take all actions, on behalf of the City, necessary to ensure that interest on the Refunding Bonds will be excludable from gross income from federal income tax purposes and to refrain from all actions which would cause interest on the Refunding Bonds to become subject to federal income taxes.

SECTION 6.  The Director of Finance and the Mayor are authorized to take all actions necessary to comply with federal tax and securities laws including Rule 15c2-12 of the Securities and Exchange Commission (the "Rule") and to execute and deliver a Continuing Disclosure Certificate in connection with the Refunding Bonds in the form as shall be deemed advisable by the Director of Finance and the Mayor in order to comply with the Rule.  The City hereby covenants and agrees that it will comply with and carry out all of the provisions of the Continuing Disclosure Certificate, as it may be amended from time to time.  Notwithstanding any other provision of this Ordinance or the Refunding Bonds, failure of the City to comply with the Continuing Disclosure Certificate shall not be considered an event of default; however, any bondholder may take such actions as may be necessary and appropriate, including seeking mandate or specific performance by court order, to cause the City to comply with its obligations under this Section and under the Continuing Disclosure Certificate.      

SECTION 9.  This Ordinance shall take effect upon its passage. 

                                                          

Requested By:  Director of Finance

Director of Finance Moore is called to the podium to explain the need for the ordinance.  The savings will be about $1 million dollars in the first year.  Mr. Luba is called to the podium and agrees this is a great savings for the City.  The City Manager also agrees. 

A motion to approve the ordinance for first passage is made by Councilwoman Rossi, seconded by Councilwoman Capobianco and on a roll call vote it is unanimous. 

 

IX.             NEW BUSINESS

 

C.    City Managers Report (by Acting City Manager, Paul Lemont)

1.      Approval to Remove from City Property Sale List:

 

a.      Union Primary

 

A motion to approve is made by Councilwoman Rossi, seconded by Assistant Mayor Rose and on a roll call vote the motion passes 4-1 with Mayor Briden voting Nay stating that he feels this item should be proceeded by more discussion. 

 

2.      Roof Repairs

a.      Weaver Library

 

b.      Council Chambers

 

c.       Apron at High School

 

The total of the three roofs from the lowest bidder WPI Construction Co. is $198,000 this will be done with money that was set aside already for this purpose. 

 

A motion to approve all three roof repairs is made by Assistant Mayor Rose, seconded by Councilwoman Rossi and on a roll call vote it is unanimous. 

 

The City Manager made an announcement that Sunday there will be an open house for Fire Station #4 at 1:00PM and the public is invited to attend. 

 

3.      FY 2013 Audit Report - given by the auditors – Parmelee Poirier & Associates, LLP

A power point is provided by the Auditors. 

Mayor Briden asks for a summary of the past year and what could the Finance Director pinpoint as the best thing that transpired. 

Finance Director Moore stated it would be the new finance system.  In the past bills were not paid on time, they were hand typed and went through a 6 person process causing delays and missing information now the system is timely and efficient as well as cost saving. 

Director Moore also stated that there is an approximate $3.5 million surplus in the City and $2.5 million in the schools. 

Councilwoman Rossi asked how much was unencumbered.  Director Moore stated about $1 million.

Mayor Briden thanked Director Moore for the good job and all of his hard and successful work over the last year. 

Assistant Mayor Rose added that in the two terms he has served the City used to be in much worse shape with a $7 million deficit and a bond rating decrease and to see this is such a joy.  He thanked all the City employees who have worked so hard.  He added, that the Google money and the pension fund were all added benefits and the City is going in the right direction and has a bright future ahead. 

Councilwoman Rossi asked the City Manager when the budget process would begin.  The City Manager stated he would be meeting with Department Heads to work on individual budgets over the next few weeks. 

Councilwoman Rossi stated she would like to be heavily involved. 

The City Manager stated that his process follows the Charter where he provides a budget to Council and then Council review and hold public hearings and in the end the final budget is adopted after it's all hashed out but that he would be meeting with the Department Heads alone with the Finance Director as that is what the City Manager is hired to do. 

Discussion ensued and the Council requested as much time as possible for the review process.  Councilwoman Rossi requested that back up for everything be included so that it could be properly looked through. 

 

D.    Reports of Other City Officials

1.      Claims Committee Report (by City Solicitor Timothy Chapman)

 

A motion to approve the Claims Committee Report is made by Councilwoman Rossi, seconded by Councilman Cunha and on a roll call vote it is unanimous.

 

2.      Request for Handicap Parking 82 Oak Avenue (on Willow Avenue) (by Director of Public Works Stephen Coutu)

 

A motion to approve the handicap parking sign for is approved by Councilwoman Rossi, seconded by Councilwoman Capobianco and on a roll call vote it is unanimous. 

 

E.     Council Members

 

1.      Report on June 16, 2014 Council Meeting Workshop on Charter Amendment Issues at Hassenfeld Center For Public Leadership at Bryant University

 

The Mayor requested to pass on this item.

 

2.      Update on Water Quality Test (by Assistant Mayor Rose)

 

Director Coutu is called to the podium to update the Council on the water quality tests which were requested to be sent to two different labs.  The tests from May were sent to ESS Lab and the Department of Health Lab some counts were 25% - 30% different.  This was explained as a variation which can take place normally due to different processes in the testing practice. 

The Council requested copies of the tests and Director Coutu stated he would supply these. 

 

 

3.      $19.1 Million Dollar Water Project (by Assistant Mayor Rose)

 

Assistant Mayor Rose asked to defer this item.

 

 

4.      Privacy Rights (by Assistant Mayor Rose)

 

Assistant Mayor Rose asked to defer this item.

 

 

5.      Keeping the Council Informed (by Assistant Mayor Rose)

 

Assistant Mayor Rose asked to defer this item.

 

 

6.      Welcome Business (by Councilwoman Capobianco)

 

Councilwoman Capobianco asked to defer this item.

 

7.      Ground City Program (by Councilman Cunha)

 

 

Councilman Cunha asked how the Ground City Program was progressing.  Director Coutu stated that they were approved up to 6 hires for seasonal help.  Two had already begun work and the other 4 would be hired shortly. Their primary jobs are grass cutting, weed cutting, trash pickup, island maintenance and general park grounds keeping.  They will also fill in for regular staff during vacation season.  Discussion ensued regarding the maintenance and lack thereof on State owned island and streets and particularly under the Rebello Bridge/Tunnel.  Councilman Cunha asked the City stay on top of the State to get islands and bridges cleaned up. 

 

8.      Taunton Avenue Light (by Councilman Cunha)

 

 

Councilman Cunha requested a traffic study for a possible light on Taunton Avenue at the intersection of Commercial Way.  There have been a number of accidents and complaints.  Both Jeanne Boyle Director of Planning and Joseph Tavares Chief of Police spoke about previous discussions with the State regarding a middle lane for left turns similar to what is now on Mineral Spring Avenue.  Director Coutu stated the City Council can also send items to the State Traffic Commission to review.  All the City officials stated they would speak with the State to resume the discussion of the traffic situation on the road and report back to Council. 

 

9.      Summit Street (by Councilman Cunha)

 

Councilman Cunha called Director Coutu to the podium to discuss the traffic study for Summit Street which is being used a regular cut through every day to 195 and is causing a very dangerous situation for residents.  Director Coutu stated he agreed but to make the street a one way will only push the traffic to the next streets over.  He suggested that there be increased signage directing people to use Waterfront Drive instead of the residential streets as a cut through.  He added that they would begin speaking with the State about this diversion of traffic. 

 

 

10.  School Funding (by Councilwoman Rossi and Assistant Mayor Rose)

This item was deferred.

11.  Clarification of Charter Amendment regarding Four Year Terms for Council and School Committee. (by Councilwoman Rossi)

Councilwoman Rossi requested this item be deferred.

12.  Bank Owned and Abandoned Properties (by Councilwoman Rossi)

Councilwoman Rossi stated the City was not ready with an update yet and deferred the item.

13.  Council on the Arts (by Councilwoman Rossi)

The Arts Council will hold its first meeting Friday night at the American Legion Post 10 on Willett Avenue at 6:30pm anyone wishing to learn more about the new Arts Council should attend the meeting and anyone is invited to attend. 

 

F.     Report of School Committee Liaison

1.      Parking Issues at the Schools (by School Committee Liaison Tony Fereirra)

 

School Committee Member Fereirra spoke regarding traffic plans for both Orlo School and Kent Heights School that he states have been in discussion for over a year.  This is a serious problem that must be addressed. 

Assistant Mayor Rose spoke regarding Kent Heights stating that this was only being discussed this summer and was in the process of being addressed and on time for the start of school.  Adding he was not aware of the Orlo School traffic issue.  Other Council members indicated they were not aware either.  Director Coutu spoke and stated that there was an issue but when discussions had taken place the School Administration decided not to take action at this time.  The Council agreed this should be looked at again and for Director Coutu to go back to the administration and explain the traffic issues that need to be addressed. 

Discussion ensued about Whiteneckt Elementary School and the cost overrun. 

 

X.                ADJOURNMENT

 

A motion to adjourn is made by Assistant Mayor Rose, seconded by Councilwoman Rossi and on a roll call vote it is unanimous. 

 

Approved By Council:  July 15, 2014

Attest:  _________________

                   City Clerk