UTILITY COMMITTEE

The Utility Committee Meeting was held on July 28, 2008 at 5:00 p.m. with Chairman Ruane presiding. Members present were Mr. McGiffin and Mr. Snaman. Mrs. Williams and Mr. Cregar were absent. Council President Hogan was also present.

AGENDA ADDITIONS/DELETIONS

Mr. Snaman moved for approval of the agenda, seconded by Mr. McGiffin and unanimously carried.

Annexation Request - Property Located at 1156 South Governors Avenue, Consisting of 1.074^+/- Acres, Owned by Pilgrim Holiness Church and the Church of Christ, Inc.

Members were provided the Petition to Annex and Zone Property for property located at 1156 South Governors Avenue, consisting of 1.074^+/- acres, owned by Pilgrim Holiness Church and the Church of Christ, Inc.

Staff advised members that City utilities are already available to the property and that the cost-revenue analysis showed a negative cash flow to the City in the amount of approximately $20,158 over ten (10) years. Mrs. Townshend, Director of Planning and Inspections, indicated that the property is within the Category 1 Area of Annexation within the Comprehensive Plan, explaining that the property is an enclave; therefore, she stated that there is a benefit to the City for annexation of this property.

Responding to Mr. Snaman, Mrs. Townshend concurred that the revenue analysis was created for undeveloped parcels and that for properties such as this, the analysis is misleading since the only real “costs” would be for the difference in rates and the addition of providing sanitation service.

In response to Mr. Ruane, Mrs. Townshend indicated that she would clarify any non-conformance issues involving this property when this matter is presented to Council for consideration.

Mr. McGiffin moved to recommend adoption of a Resolution setting the annexation referendum for property located at 1156 South Governors Avenue, consisting of 1.074^+/- acres, owned by Pilgrim Holiness Church and the Church of Christ, Inc. (Attachment #1). The motion was seconded by Mr. Snaman and unanimously carried.

Annexation Request - Property Located at 1154 South Governors Avenue, Consisting of 1.313^+/- Acres, Owned by CGS, LLC

Members were provided the Petition to Annex and Zone Property for property located at 1154 South Governors Avenue, consisting of 1.313^+/- acres, owned by CGS, LLC.

Staff advised members that City utilities are already available to the property and that the cost-revenue analysis showed a negative cash flow to the City in the amount of approximately $43,174 over ten (10) years. Mrs. Townshend, Director of Planning and Inspections, indicated that the property is within the Category 1 Area of Annexation within the Comprehensive Plan, and as such, there is a benefit to the City for annexation of this property. She also advised members that this property will not be eligible for annexation unless the property located at 1156 South Governors Avenue is annexed (see item above).

Mrs. Townshend stated that there is expected revenue as a result of construction occurring on this property, as well as property taxes; therefore, staff could not determine why the revenue analysis showed a negative cash flow.

Mr. Snaman moved to recommend adoption of a Resolution setting the annexation referendum for property located at 1154 South Governors Avenue, consisting of 1.313^+/- acres, owned by CGS, LLC (Attachment #2). The motion was seconded by Mr. McGiffin and unanimously carried.

PACE/NAES Monthly Report (June)

Members were provided the PACE/NAES Monthly Reports for June 2008. Feeling that members should be provided a year-end summary and noting that there were no staff members of the Electric Department present, Mr. Ruane requested that this matter be deferred until the next meeting to allow staff the opportunity to provide such a summary.

Mr. McGiffin moved to defer this matter until the next meeting, with the understanding that staff is directed to summarize the yearly comparison of the data. The motion was seconded by Mr. Snaman and unanimously carried.

Mr. McGiffin moved for adjournment, seconded by Mr. Snaman and unanimously carried.

Meeting Adjourned at 5:24 P.M.

                                                                                    Respectfully submitted,

                                                                                    Eugene B. Ruane

                                                                                    Chairman

EBR/TM/jg

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Attachments

Attachment #1 - Annexation Resolution 2008-14 - 1156 South Governors Avenue

Attachment #2 - Annexation Resolution 2008-15 - 1154 South Governors Avenue