HomeMy WebLinkAbout2004-08-10 Finance Committee Minutes ,
FINANCE COMMITTEE
� August 2, 2004
Minutes
� Councilor Attendance: Farrington, Palmer, D'Errico, Gratwick, Tremble
Staff Attendance: Little, Pellegrino, Mitchell, Caruso, Moore, Enman,
McKay, Heitmann, Martzial
� Others: Bangor Symphony Orchestra Representatives
� 1. Executive Session — 1 M.R.S.A. Section 405 (6) (E) — Workers
Compensation Settlement
� A motion was made and seconded to go into Executive Session.
A motion was made and seconded to go out of Executive Session.
� 2. Open Session — Recommendation on Workers Compensation Settlement
A motion was made and seconded to approve staff's recommendation.
� 3. Consent Agenda
' A motion was made and seconded to approve the Consent Agenda.
' a. Quitclaim Deed — McKinnon — Center Street Property
b. Quitclaim Deed —Thomas — 296 French Street
c. Update on Cues Inc., Workout Agreement
� 4. Bids/Purchasing
� a. Fairway Mower — Golf Course — Hammond Tractor - $25,518
Palmer asked if there is a buyback associated with the purchase.
Pellegrino said no, indicating that this piece of equipment has a long
� life expectancy. Enman said the mowers last an average of 6-8 years.
The current mowers are in the 1i-12 year range. Each winter, the
mowers are maintained with new bushings, seals, etc. to extend the
� life of the vehicle. The item is included in the current budget, and the
Hammond Tractor bid came in approximately $10,000 under budget.
A motion was made and seconded to approve staff's recommendation.
� b. Upgrade Pump Drives and Controls — WWTP — Larkin Enterprises -
' $178,800
Pellegrino indicated that there were originally 5-6 parties interested in
� this project, but only one bid was received. The bid has been
reviewed by the City's consultants, and they have concluded that
Larkin's bid price is reasonable. Moore indicated the budgeted amount
� was $225,000. The current drive parts will be obsolete next year and
will need to be replaced. Gratwick asked about the expertise and
'
,
track record of Larkin. Moore said Larkin has extensive experience
with instrumentation in the areas of power plants to wastewater �
treatments to water treatment plants. Both Moore and the City's
consultant were satisfied. Gratwick asked about recourse if the City is
not satisfied. Pellegrino said there is always a retainage amount, �
which will not be released until the City is satisfied with the working
performance of the equipment. There also is a warranty period. A
motion was made and seconded to approve staff's recommendation. �
The item will go to full Council for final approval.
c. Training — Citywide — Safety Communications Corp - $21,345 '
Pellegrino indicated there are a number of training requirements for ,
the various City departments. BIA had gone out for a request for
quotes. Because it was over $10,000, it requires Finance Committee
approval. Mitchell said that as a result of recent environmental issues �
there are some issues that need to be addressed for basic oil spills,
HAZWOPER (hazardous materials/emergency response training), and
confined space entry. Such training requires a high level of expertise. �
The City currently has some outdated written programs that need to
be updated to meet improved standards. In response to Tremble,
Mitchell said that a confined space is any area that would have a ,
limited means of egress and could involve some type of engulfinent or
hazardous atmosphere; i.e., a trench, a vault, a manhole. Mitchell ,
said the item in question is an initial training session to bring
employees up to speed followed by annual refresher training. D'Errico
asked if the training could be shared with the Air Guard. Mitchell said �
the Air Guard has been approached, and there are areas the Guard
would consider but other areas they would prefer to provide their
own. Gratwick asked why, and Mitchell indicated it would be due to �
liability issues. The training has to be done on actual sites, which
would mean that City employees would be entering into confined
spaces of the Air Guard. Gratwick asked if specifics could be worked �
out on sharing training with the Guard. Mitchell said the training is
specific to the confined space so that the responder has to train with
the City employees in City locations. Mitchell indicated that part of �
the process is to complete an inventory of confined spaces by
Department. D'Errico asked if this would become an Airport budget '
item in subsequent years. Mitchell said that some dollars would come
from his budget. Barrett said the Fire Department has separately
trained for confined space rescue. The Air Guard has its own fire �
department and their primary responders would be the Guard. The
City would only become involved under the mutual aid agreement.
The subject training on the agenda is for those employees who enter �
into confined spaces. Barrett said the Air Guard has most likely
performed this training but could perhaps join together for update
training. Gratwick stressed the importance of working toward �
combined training in other areas. Refresher training can be done in-
,
, house. The initial training is more difficult and requires expertise.
' D'Errico confirmed that the Council has recently approved a position
for environmental compliance and assumed that this position would
be responsible for managing the training. Tremble questioned the
� three bids received and asked if the bid award could be split between
the three bidders resulting in a savings for approximately $2,000.
Mitchell said he would have to check with Rod Madden at BIA, who
1 had acquired the bids. Tremble suggested postponing action until
that time. Given the City's scrutiny by EPA, Mitchell felt it should not
be delayed long. Barrett said the bid could be awarded as
, recommended with a caveat that if it could not be split it would be
awarded to Safety Communications Corp. A motion was made and
, seconded to approve the City Manager's recommendation. Gratwick
talked about relying on references for performance of the bidders.
Mitchell said they have to comply with the OSHA standards in order to
� train. Safety Communications does training for the Air Guard and
comes highly recommended. For future bids, Farrington suggested
that staff check with bidders to see if services can be split. Farrington
, repeated the motion made by the City Manager to have staff check
into sptitting the bid award. The motion received an unanimous vote
from the Committee:
' S. Review of RFP Process
' Council Chair Tremble had requested that the Finance Committee review
the current request for proposals process used by the City, particularly in
' situations where the City is offering land for development. During the
recent discussions regarding Union Place, concerns were raised by both
proposers and members of Council regarding the up-front costs associated
� with meeting the requirements of the RFP. He suggested that
consideration be given to simplifying the initial stage of proposal
submission to reduce the cost burden and make it easier for more parties
� to express interest and to participate in the process, especially for
development proposals. In the Union Place RFP process, Tremble said
that one interested developer had invested $3-4,000. Barrett said there
� are ways the process could be made simpler. One would be instead of
going through an RFP process for development proposals, the City could
do a Request for Qualifications and Concepts. McKay said one of the
' reasons the City goes through the RFP process is to give everyone a fair
and equal opportunity to submit proposals. The nature of the RFP varies
� dependent upon the development and site. He stressed that a base line of
information is necessary in order for the City to assess proposals.
McKay provided a listing of necessary information for RFPs: 1) the
� developer; 2) the proposed development; 3) development schedule; 4)
the developers experience and qualifications; 5) estimate of the
development cost; 6) financial capacity of the developer to carry out the
� development; 7) a development concept; 8) assessment of the public
benefit from the project; 9) compensation offered to the City for the
�
development site; 10) developer's request for financial assistance from the ,
City; 11) the City needs to make sure the developer can meet certain City �
site specific requirements. As an example, he reviewed developer
information received from Bob Baldacci and Fred Foresley. Regarding the
waterfront project, McKay said the Ciry did go through the Request for ,
Qualifications and Concept process. The City reviewed all submittals and
then selected a group of developers from whom they wouid like
development proposals submitted. The RFP set forth criteria that the City ,
would use to evaluate all proposals. Regarding the Union Place proposal,
McKay said more information may have been required due to the size of
the project and it is location on an important corner of the City. A very 1
similar RFP was issued for the Essex Street Naval Reserve site. Farrington I
had previously met with McKay and had asked for a list of staff
requirements prior to approving tentative developer status. The above ,
listing was in response to Farrington's request. D'Errico felt step 9 should
be eliminated. He did agree with a two step process —the request for �
qualifications and concept and then a detailed RFP. Tremble agreed with
D'Errico. Tremble talked of removing 7 and 9. Gratwick asked about the
phase 1 and phase 2 of the RFP process. McKay said typically a phase 1 ,
would be a request for qualifications and phase 2 would be submitting a
proposal in a requested format. Barrett said the two step process would
be acceptable with the caveat that it does depend upon the site to be ,
developed. Gratwick asked how the City issues RFP. First, the City issues
marketing materials. Then the RFP is sent to known developers, members
of the Maine Real Estate Development Association, builders, architects, �
engineers, doctors, etc. Martrial said that the City sent out 50-55 for the
Union Place project. Gratwick agreed in making the progress as simple as '
possible. He spoke about not having architectural drawings as part of the
initial submittal. McKay said that some architectural firms provide the
service pro bono in anticipation of being selected as the architectural firm �
for the project. Palmer supported the two-tier process. Phase 1 should
be very simpie with low or no cost involved. Developers should know up
front what costs are involved with submitting a response to RFPs. �
Farrington felt that design is important in the initial stages. The amount
of compensation offered to the City is important as well. With the
Baldacci/Foresley proposal, Farrington asked McKay how many of the 10 �
points were included in this proposal. McKay said all. Farrington said that
it has been suggested that numbers 7 and 9 be eliminated. Farrington
said he assumed that any candidate could be considered during the first ,
phase and a competitor would be chosen at the end of the second phase.
Tremble said he envisioned that a developer could be chosen in the first
phase. Palmer asked about #10. McKay said there may be specific �
criteria for specific projects. Under question 7, McKay said the City could
ask for the basic information, evaluate the proposals received, and then �
select 2-3 for interview and request more information at that time. In
summary, Farrington indicated that there has been some concern with the
full 10 items as staff as listed in tier 1. Palmer said it is important to know �
the municipality in which the developer resides and works. Gratwick said
�
, staff could put together a draft of what has been discussed at the
' committee level and perhaps run it by some developers for their input.
Tremble agreed. Palmer also asked that the process be very clear about
deadlines. Farrington indicated that items 11 and 1Z had been added to
' the list, residence and working location of developer and the more specific
deadline information. D'Errico said he still feels that item 9 should not be
in tier 1 or tier 2, especially the second part of 9. Tremble agreed.
' Farrington went on record as saying that it is important to know if a
developer is going to require financial assistance and, all things being
equal, a developer requiring it is not as desirable as a developer not
� requiring it. Barrett said most of this comes out in the negotiating phase.
Gratwick said he is not concerned by the financial assistance aspect as
' most individuals know it is available. Pellegrino suggested that staff come
back to the committee with a draft regarding the two-tier process; i.e.
what it should look like, what it should contain, and the reasons why. A
' motion was made and seconded to request staff to come back to the
committee with a draft two-tiered breakdown of the RFP process.
, 6. Request for Funding — Bangor Symphony Orchestra
Representatives of the Bangor Symphony Orchestra presented their
� request for $30,000 in funding in support of Back to the River: A Musical
Celebration of Bangor's Roots. Little said the Symphony has requested
' $30,000 ($25,000 in cash and $5,000 for in-kind services) from the City to
help pay for a free world premiere at Bass Park this fall which will be the
beginning of tour planned up and down the Penobscot River next year.
' The Symphony has been selected as Maine's representative in the
Continental Harmony Project of the American Composers Forum that
provided the BSO a grant that allowed them an in-residence composer.
� The Premier will be free of charge to attendees and the total cost is
approximately $60,000. The non-profit funding request form was signed
by three Councilors, which brought it to the Committee level for discussion
� and recommendation. The recommendation of the Finance Department
staff is that, based upon the City's support of past programs and the
recent budget process, the funding level be somewhat less than the
� $30,000. Little said there was $5,000 budgeted by the Council specifically
for reduced rates at Bass Park or for other City departments that need to
use Bass Park. Any other amounts would be taken from the undesignated
' fund balance. Tremble was supportive of some level of City participation
from the undesignated fund balance and the marketing budget. Gratwick
� asked about the free tickets as opposed to some free tickets and others
for sale. Palmer asked how many Bangor participants would be in the
program and what are outside areas doing in terms of participating in the
, funding.
Susan Jonason and Sandra Leonard were in attendance and described the
' program. $45,000 has been raised from the National Endowment from
the Arts and from two foundations. Half of that amount is for the Bangor
�
World Premier and half is for the other regions where the event will be ,
held. The premier will feature music written specifically for Bangor ,
entitled Symphony No.4, The Penobscot River. The Symphony wants the
concert to be free. Leonard, a BSO Board member, said the BSO is the
oldest, continuously operating community orchestra in the country. It was ,
organized in 1896 and has been self-sustaining. The Premier is a
celebration of Bangor for its citizenry. In response to Palmer, Leonard said
the World Premier at Bangor Auditorium will be for 3,500 seats. In ,
response to Palmer, Jonason said many groups would be involved
including Bangor Symphony with 80-90 players, Universiry of Maine
Singers, Bangor High School chorus making up 200 voices. Also the '
Robinson Ballet will be involved. When the Premier is taken to Millinocket
and Bucksport,"there will be several hundred served. With the composer �
in residence in Bangor for five weeks during the coming school year, there
will be many Bangor students served. Gratwick is appreciative of the
BSO's independence and the potential of the Premier. By granting a �
lesser amount, Gratwick expressed it in no way reflected on the excellence
of the project. Jonason said they are looking to the business community
and have made 16 requests to date hoping to raise another $10,000. ,
The BSO is also working on a fundraising effort. In response to Gratwick,
Jonason said that without City support the concert would not be free.
Farrington talked about the bucket brigade such as used at the Folk �
Festival. Tremble agreed with Gratwick's earlier comments that this is a
difficult time with the pending tax cap proposal. Tremble made a motion
to waive the $5,000 Auditorium rental fee for the Premier. The motion '
was seconded by Palmer. Tremble asked for the balance of the
undesignated fund balance reserve. Little said the current balance is a '
little over $3.5M and $1.175M was taken out during the budget process.
Barrett recalled that the City was within $350,000 of having allocated all
of the undesignated fund balance that was available for expenditure. Due �
to the City's policy, a certain amount has to remain in the fund. Tremble
asked about marketing dollars in Economic Development. Barrett said
that $77,500 was budgeted in marketing and broken out for a variety of ,
needs. Palmer expressed concern about the City Manager's involvement
in the discussion due to his membership on the BSO Board. Barrett
indicated that is correct and he only entered the discussion to clarify the �
financial numbers. Tremble made a motion to support the Premier project
with $15,000 to come out of existing line items in the budget such as
marketing. Gratwick questioned the process. He liked Tremble's motion ,
but feels it needs to be balanced against other requirements and needs of
the City. Gratwick said he would want to know where the dollars would �
come from within the City's budget and what the trade-off will be. He
suggested the item be postponed to the next Finance Committee meeting.
Palmer seconded Tremble's motion. D'Errico asked if the BSO had �
received any fixed numbers in terms of fundraising from the community.
Jonason said they have received a $Z,000 sponsorship. D'Errico asked if
the Chamber of Commerce members are involved and about the �
availability of Airport marketing funds. Palmer shared Gratwick's concerns
�
,
but is comfortable with the $15,000 and looking to other funding from the
' Airport. As an example, he stated that part of the Committee's challenge
in dealing with the request is that $15,000 would represent property taxes
on 7-8 homes in Bangor. Gratwick asked the BSO representatives if a
� two-week wait would hinder the project. Palmer seconded Gratwick's
motion to postpone the item. Tremble suggested the item be tabled for a
week and be part of the Council's pre-meeting schedule on August 9rn
' Gratwick wanted to be sure it is discussed at a public meeting. Regarding
procedure, Barrett clarified the item will require Council action and will
, require an order authorizing the payment for the rent and an order or
appropriation resolve for the actual funding. Unless a recommendation is
made at tonighYs meeting, it would not be on the counci� agenda until
, August 23. Gratwick made a motion that the item be tabled to one-week
hence for a pre-meeting of the Council on August 9 and then to the full
Council on August 23. Palmer seconded the motion. The motion
� unanimously passed.
'
,
'
�
�
�
,
'
'
�
1
�