HomeMy WebLinkAboutMN-CC-2010-11-03COMMON COUNCIL PROCEEDINGS
CITY OF ITHACA, NEW YORK
Regular Meeting 6:00 p.m. November 3, 2010
PRESENT:
Mayor Peterson
Alderpersons (10) Coles, Dotson, Rosario, Clairborne, McCollister, Zumoff, Rooker,
Myrick, Cogan, Mohlenhoff
OTHERS PRESENT:
City Clerk – Conley Holcomb
City Attorney – Hoffman
City Controller – Thayer
Planning & Development Director – Cornish
Community Development Director – Bohn
Superintendent of Public Works – Gray
Youth Council Program Leader - Handy
PLEDGE OF ALLEGIANCE:
Mayor Peterson led all present in the Pledge of Allegiance to the American Flag.
ADDITIONS TO OR DELETIONS FROM THE AGENDA:
Planning & Economic Development Committee:
Alderperson Dotson requested the addition of a verbal report of the East State/Martin
Luther King Street / Seneca Way re-zoning proposal.
Mayor’s Appointments:
Mayor Peterson requested the addition of appointments to the Youth Council.
Report of the City Attorney:
Mayor Peterson requested the addition of a Motion to Enter into Executive Session to
discuss pending litigation (First Energy Corp vs. City of Ithaca), and potential litigation.
No Council member objected to adding these items to the agenda.
PROCLAMATIONS/AWARDS:
Mayor Peterson proclaimed the week of November 8-13, 2010 as “Love those Letters –
ABC” week in the City of Ithaca. “Love those Letters” is a collaborative effort between
the Ithaca City School District and the Family Reading Partnership to encourage
children to learn and embrace letters and words, and foster a love for reading.
Mayor Peterson announced that Alderperson Eric Rosario had been selected as one of
40 elected officials across the country to celebrate National Hispanic Heritage Month at
the home of Vice President of the United States Joseph Biden and Dr. Jill Biden on
October 14, 2010. The Mayor noted what a special honor this was for Alderperson
Rosario, the City of Ithaca, and the Latino community.
SPECIAL ORDER OF BUSINESS:
4.1 A Public Hearing to Consider the 2011 Mayor’s Recommended Budget
Resolution to Open Public Hearing:
By Alderperson Myrick: Seconded by Alderperson Coles
RESOLVED, That the Public Hearing to Consider the 2011 Mayor’s Recommended
Budget be declared open.
Carried (9-0)
Alderperson Clairborne absent from vote
No one appeared to address Council.
Resolution to Close Public Hearing:
By Alderperson Myrick: Seconded by Alderperson Dotson
RESOLVED, That the Public Hearing to Consider the 2011 Mayor’s Recommended
Budget be declared closed.
Carried (9-0)
Alderperson Clairborne absent from vote
November 3, 2010
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SPECIAL PRESENTATIONS BEFORE COUNCIL:
Larry Roberts, Chair, Disability Advisory Council (DAC) read a Resolution adopted by
the DAC in support of the Commons Redesign Project. He noted that the Resolution
passed with the opposition of 1 member.
Mr. Roberts reported that the DAC hosted a successful public hearing on pedestrian
issues earlier today. He noted that there were not many attendees; however, a number
of people submitted comments electronically. He thanked the staff of the City Clerk’s
Office, Engineering Division and the Information Technology Department for their
assistance with this hearing.
Alderperson Clairborne arrived at 6:30 p.m.
PETITIONS AND HEARINGS OF PERSONS BEFORE COUNCIL:
Fay Gougakis, City of Ithaca, urged Council to consider a ban on hydrofracking in the
City of Ithaca. She acknowledged Mayor Peterson’s appointment to the EPA Local
Government Advisory Committee, and noted how appropriate it is to have her represent
the City.
Tomo Shabata, addressed Council to discuss issues of organized perjury and stalking.
Joel Harlan, Town of Newfield, addressed Council regarding the integration of students
from fraternities to the Collegetown neighborhoods. He further voiced his support for
the Collegetown Terrace apartment project.
PRIVILEGE OF THE FLOOR – COMMON COUNCIL AND THE MAYOR:
Alderperson Myrick responded to comments made about fraternities and the party
culture, noting that the Cornell University Interfraternity Council put several policies in
place, under the leadership of Eddie Rooker, that encourage responsible party practices
such as limiting the number of parties a fraternity can hold each year and GPA
requirements to host a party.
Mayor Peterson reported that the Acting / Alternate Acting Mayor proposition passed at
the November 2, 2010 General Election. She voiced her concern that there were only
approximately 3,000 votes when the other races had many more votes cast. She noted
that there were differences in how the polling places explained, or did not explain, how
the proposition was on the backside of the ballot.
Alderperson Cogan commented on the importance of educating people on how to vote
and what to look for. Alderperson Dotson noted that there were similar problems in
other voting districts as well.
CONSENT AGENDA ITEMS:
City Administration Committee:
8.1 Establishment of Standard Workday as Required by New York State
Retirement System - Resolution
By Alderperson Mohlenhoff: Seconded by Alderperson Rosario
WHEREAS, the New York State Retirement System requires that the standard workday
be established for all positions in City government for the purpose of determining
reportable days worked, and
WHEREAS, a Recreation Program Leader position has been amended since Common
Council last updated the standard workday designations, now, therefore, be it
RESOLVED, That Common Council hereby establishes the following standard workday
for the sole purpose of determining days worked reportable to the New York State and
Local Employees’ Retirement System for the position indicated:
Six (6) hour workday; Thirty (30) hour workweek
Recreation Program Leader 1
Carried Unanimously
November 3, 2010
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PLANNING & ECONOMIC DEVELOPMENT COMMITTEE:
9.1 Cayuga Green Project, Approval of 2nd Extension of Purchase and Sale
Contract for Parcel ‘D’ – Resolution
By Alderperson Dotson: Seconded by Alderperson McCollister
WHEREAS, Cayuga Green II, LLC, has requested an 18-month extension of the
purchase and sale contract for parcel ‘D’ (tax parcel #81.-2-4) - the site of its proposed
rental housing project to be located adjacent to the Cayuga Street Parking Garage - in
order to provide time to secure project financing through the HUD 221(d)4 Insured
Mortgage Financing program, and
WHEREAS, the Ithaca Urban Renewal Agency (IURA) and the City previously amended
the original, 2007 purchase and sale contract, in 2009, to allow construction of either
rental housing units or for-sale units and to extend the term by 12 months, to June 30,
2010, in response to the developer’s difficulty in securing project financing for residential
condominiums, and
WHEREAS, the commercial credit market for loans to construct new mid-rise housing
has been extremely tight for several years and remains extremely limited, and
WHEREAS, the principals of Cayuga Green II, LLC, have recently utilized the U.S.
Department of Housing & Urban Development’s (HUD’s) 221(d)4 mortgage insurance
program to secure financing from a HUD-approved private lender for a multi-family
rental housing project in Ohio, and
WHEREAS, through the HUD 221(d)4 program, the Federal Home Administration
provides mortgage insurance to HUD-approved lenders of funds to for-profit or not-for-
profit borrowers that are developing multi-family rental housing, and
WHEREAS, the HUD 221(d)4 program requires federal prevailing wages to be paid on
all construction work associated with such loans, and
WHEREAS, a HUD 221(d)4 review and approval process requires submission of
detailed construction plans and specifications, cost details, and a market study and
marketing plan, and takes 9 to 12 months to complete, if all information is in order, and
WHEREAS, a HUD 221(d)4 mortgage insurance application process requires
documentation of fee simple ownership or control of the project site, and
WHEREAS, Cayuga Green II, LLC, has been pursuing HUD 221(d)4 approval for
several months and is awaiting an invitation to submit a “firm commitment” application,
and
WHEREAS, initial plans to build the project adjoining the Cayuga Garage have been
modified so as to provide a 10-foot horizontal separation distance between the
buildings, in order to avoid the need for retrofits to the Cayuga Garage to meet New
York State Building Code requirements regarding wall openings and fire egress routes
at the Garage, and
WHEREAS, Cayuga Green II, LLC, has submitted revised, preliminary plans for
construction of a 7-story, 39-unit rental housing project at parcel ‘D’ that are consistent
with the original design goals for the Cayuga Green project, and
WHEREAS, Cayuga Green II, LLC, seeks no property tax abatements for this project,
and
WHEREAS, the Ithaca Urban Renewal Agency (IURA) wishes to facilitate the
construction of additional housing units in downtown Ithaca that will expand the range of
housing opportunities and increase the property tax base; and
November 3, 2010
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WHEREAS, on September 23, 2010, the IURA approved the following amendments to
the purchase and sale contract for parcel ‘D’ of the Cayuga Green project, subject to
City of Ithaca Common Council approval:
1. Extend the developer’s deadlines to secure project financing and issuance
of a building permit to December 31, 2011;
2. Reduce the size of the parcel to be conveyed by approximately 2,000
square feet, in accordance with a lot adjustment plan shown on a “boundary map” for
the premises prepared by T.G. Miller PC, as revised through January 22, 2010, for the
purpose of providing a 10’ fire separation distance between buildings, thereby avoiding
the need for retrofits to the Cayuga Garage to meet NYS Building Code requirements;
and
WHEREAS, notwithstanding this reduction in the size of the property to be conveyed,
the proposed, amended purchase and sale agreement does not call for any
proportionate reduction in the purchase price, thus increasing the per-square-foot price,
which could be deemed to be consideration for the extension of time to complete the
purchase, and
WHEREAS, under §507 of Article 15 of General Municipal Law, the IURA’s proposed
disposition of real property requires Common Council approval following a public
hearing, and
WHEREAS, a public hearing on the proposed property disposition was held before the
Planning & Economic Development Committee of the Common Council on October 20,
2010, and
WHEREAS, the purchase and sale contract for parcel ‘D’ and site plan review for the
proposed housing project at parcel ‘D’ were the subject of environmental reviews under
the City Environmental Quality Review Ordinance (CEQRO) pursuant to which the lead
agency issued a negative declaration that the implementation of the action as proposed
will not result in any significant adverse environmental impacts, and
WHEREAS, the proposed, amended purchase and sale contract for parcel ‘D’ and the
proposed re-design of the building are no less protective of the environment than the
previously-approved contract and site plan, therefore requiring no additional
environmental review; now, therefore, be it
RESOLVED, That the City of Ithaca Common Council hereby approves the IURA-
proposed amendments to the purchase and sale contract with Cayuga Green II, LLC,
for sale of parcel ‘D’ of the Cayuga Green project (tax parcel # 81.-2-4), which
amendments extend the developer’s remaining deadlines in said agreement until
December 31, 2011, and reduce the size of the parcel to be conveyed by approximately
2,000 square feet.
Carried Unanimously
CDB-60 Zoning Proposal
Alderperson Dotson reported that the Planning and Economic Development Committee
did not adopt a proposal to re-zone the Challenge Industries site from B-4 to CBD-60
due to concerns expressed by the Planning & Development Board and neighbors
regarding the impact the change in building height would have on the bordering historic
district.
CITY ADMINISTRATION COMMITTEE:
10.1 Adoption of 2011 Budget - Resolution
By Alderperson Coles: Seconded by Alderperson Clairborne
WHEREAS, this Common Council is now considering adoption of the Amended
Executive Budget for 2011 as approved by the Committee of the Whole, and
November 3, 2010
5
WHEREAS, it is the consensus of this Common Council that the total appropriations
and estimated revenues, as set forth in said Amended Executive Budget for 2011 and
as those amounts may be altered by action of this Common Council at its November 3,
2010 meeting, are adequate for the operation of the City during 2011, now, therefore be
it
RESOLVED, That this Common Council accepts and approves said Amended
Executive Budget for 2011, together with any additional changes made in said budget at
Council's November 3, 2010 meeting as the City of Ithaca Budget for 2011, in the total
amount of $59,898,044, and be it further
RESOLVED, That the following sections of the 2011 Budget be approved:
A) General Fund Appropriations
B) Water Fund Appropriations
C) Sewer Fund Appropriations
D) Solid Waste Fund Appropriations
E) General Fund Revenues
F) Water Fund Revenues
G) Sewer Fund Revenues
H) Solid Waste Fund Revenues
I) Debt Retirement Schedule
J) Capital Projects
K) Schedule of Salaries and Positions - General Fund
L) Schedule of Salaries and Positions - Water & Sewer Fund
M) Schedule of Salaries and Positions - Solid Waste Fund
N) Authorized Equipment - General Fund
O) Authorized Equipment - Water Fund
P) Authorized Equipment - Sewer Fund
Q) Authorized Equipment - Solid Waste Fund
City Controller Thayer reported that he’s been monitoring the budget figures very
closely and based on the information available as of today, he recommends that the
projected parking revenues be reduced by $50,000 due to current revenue activity and
the recent move of Tetra Tech to outside of the City.
To adjust that figure without adding to the property tax burden, City Controller Thayer
recommended that the revenue account for mortgage tax payments be increased by
$50,000. He stated that he is comfortable with this change based on recent payments
from Tompkins County.
Amending Resolution:
By Alderperson Coles: Seconded by Alderperson Dotson
RESOLVED, That the following changes be made to the Amended Executive Budget for
2011:
Decrease Parking Revenues -$50,000
Increase Mortgage Tax Revenues +$50,000
Carried Unanimously
Main Motion as Amended:
A vote on the Main Motion as Amended resulted as follows:
Carried Unanimously
10.2 Adoption of 2011 Tax Rate - Resolution
By Alderperson Coles: Seconded by Alderperson Myrick
WHEREAS, the 2011 City of Ithaca Budget was approved, adopted, and confirmed in
the total amount of $59,898,044 on November 3, 2010, in accordance with a detailed
Budget on file in the Office of the City Controller, and
WHEREAS, available and estimated revenues total $41,053,819 leaving $18,844,225
as the amount to be raised by taxation, and
November 3, 2010
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WHEREAS, the Assessment Roll for 2011 certified and filed by the Assessment
Department of Tompkins County, has been footed and approved and shows the total
net taxable valuation as $1,492,021,006, and
WHEREAS, under Charter provisions, the tax limit for City purposes amounts to
$28,483,967 for 2011; now, therefore, be it
RESOLVED, That the tax rate for general purposes, for the fiscal year 2011, be, and
the same hereby is, established and fixed at $12.63 per $1,000 of taxable valuation as
shown, certified and extended against the respective properties on the 2011, Tax Roll,
thereby making a total tax levy, as near as may be, of $18,844,225, and be it further
RESOLVED, That the amount of said tax levy be spread, and the same hereby is levied
upon and against the respective properties as shown on said City Tax Roll, in
accordance with their respective net taxable valuation, at the rate of $12.63 per $1,000
of such taxable valuation, and be it further
RESOLVED, That the City Chamberlain be, and hereby is, directed to extend and
apportion the City Tax as above, and that upon the completion of the extension of said
Roll, the City Clerk shall prepare a warrant on the City Chamberlain for the collection of
said levy; and the Mayor and the City Clerk hereby are authorized and directed to sign
and affix the corporate seal to such warrant and forthwith to file the same with said Tax
Roll with the City Chamberlain, and be it further
RESOLVED, That upon the execution and filing of said warrant and Tax Roll with the
City Chamberlain, the amounts of the City Tax set opposite each and every property
shall hereby become liens, due, payable and collectible in accordance with provisions of
the City Charter and other laws applicable thereto, and be it further
RESOLVED, That the total sum of $59,898,044 be appropriated in accordance with the
Budget adopted to the respective Boards, Offices, and Departments of the City, for the
purposes respectively set forth therein. The 2011 Assessment Roll has been completed
and approved by the Assessment Department of Tompkins County and resulted in the
following valuation:
Total Value of Real Property $3,853,045,567
Less: Value of Exempt Property $2,390,663,500
$1,462,382,067
Plus: Value of Special Franchises $ 29,638,939
Net Value of Taxable Property $1,492,021,006
Alderperson Clairborne stated that he supports the budget as it stands; however, he
acknowledged that residents are very concerned about the property tax rates in the
City. He further noted that it is great to be able to keep the tax levy and tax rate
increases low but increased fees offset those savings for many property owners.
Alderperson Coles stated that although she objects to a particular item in the capital
project budget, she will support the overall City budget. She further stated that she was
happy that layoffs were not needed and that the City will be able to provide the same
level of service to the public.
Alderperson Mohlenhoff stated that it was difficult to make informed decisions regarding
the budget due to the layout of the information; however, she wanted to acknowledge
the tremendous amount of work that the Controller’s Office did and she thanked the
Department Heads for their work as well.
Mayor Peterson stated that she hoped the “user friendly” budget format would make the
budget easier for residents to understand. Alderperson Clairborne noted that there is
still confusion in the community about why the City spends money on major purchases
(projects, equipment) versus using it to support the services that residents use.
November 3, 2010
7
Mayor Peterson noted that conversations have already taken place regarding the
creation of a working group that will review personnel issues for 2011. She noted that
2011 will be a very difficult year and if the economy does not recover to a satisfactory
level, the City may need to consider reducing hours, furloughs, or layoffs. She would
like to set up processes in advance to prepare for that possibility.
Alderperson Rosario stated that he was glad to hear about the pending working group
as the proportion of the budget that involves personnel can’t be ignored. He further
noted that the Capital Project Working Group worked to share an increased level of
information about the capital budget; however, he feels that budget work should start
earlier in the year and cited the Commons Project as an example. Alderperson Coles
voiced concern about how information such as cost estimates become available at
certain times and not others, citing the figures that were given for surface treatments for
the Commons. She stated that this type of information sharing needs to be more
consistent.
A vote on the Resolution resulted as follows:
Carried Unanimously (11-0)
Mayor Peterson voting Aye
10.3 Adoption of 2011 Ithaca Area Wastewater Treatment Plant Budget -
Resolution
By Alderperson Coles: Seconded by Alderperson Zumoff
WHEREAS, this Common Council is now considering adoption of the Amended Joint
Activity Fund Budget for 2011 as approved by the Committee of the Whole, and
WHEREAS, it is the consensus of this Common Council that the total appropriations
and estimated revenues, as set forth in said Amended Joint Activity Fund Budget for
2011 and as those amounts may be altered by action of the Common Council at its
November 3, 2010 meeting, are adequate for the operation of the Ithaca Area
Wastewater Treatment Plant during 2011; now, therefore, be it
RESOLVED, That this Common Council accepts and approves said Amended Joint
Activity Fund Budget for 2011, together with any additional changes made in said
budget at Council’s November 3, 2010 meeting, as the Ithaca Area Wastewater
Treatment Plant Joint Activity Fund Budget for 2011, in the total amount of $3,738,060,
and be it further
RESOLVED, That the following sections of the 2011 Ithaca Area Wastewater Treatment
Plant Joint Activity Fund Budget be approved:
A. Joint Activity Fund Appropriations
B. Joint Activity Fund Revenues
C. Schedule of Salaries and Positions – Joint Activity Fund
D. Authorized Equipment – Joint Activity Fund
Carried Unanimously
10.4 Common Council – Direction to Board of Public Works Regarding Parking
Revenue - Resolution
By Alderperson Coles: Seconded by Alderperson Dotson
WHEREAS, as part of the 2011 Adopted City of Ithaca Budget, Common Council
approved $2,075,000 in parking revenue from all services, garages and meters, and
WHEREAS, the Mayor and Controller recommended eliminating the first hour free in
City garages, which in conjunction with other rate changes would translate to
approximately $200,000 in parking garage revenue for 2011, and
WHEREAS, Common Council, during the 2011 budget discussions, voted to direct the
Board of Public Works (BPW) to develop parking rates that would produce the needed
$200,000 without the elimination of the first hour free; now, therefore be it
November 3, 2010
8
RESOLVED, That Common Council hereby directs the BPW to develop parking rates
and efficiencies for 2011 that would produce the needed $2,075,000 in parking
revenues without the elimination of the first hour free in downtown City garages, and be
it further
RESOLVED, That the BPW said planned parking changes need to be completed by
December 22, 2010 for implementation on January 1, 2011, and be it further
RESOLVED, That if the above deadline of December 22, 2010 is not met, Common
Council will develop the parking rates to meet the revenues by its January 5, 2011
meeting.
Discussion followed on the floor with Mayor Peterson requesting that the parking
revenue amounts in the 1st Whereas clause and the 1st Resolved clause be changed to
$2,025,000 to reflect the changes just made to the City budget.
Alderperson Myrick noted that he believes that the Resolution is too restrictive in the
direction being given to the Board of Public Works and suggested the following
amended language:
Amending Resolution
By Alderperson Myrick: Seconded by Alderperson Rosario
RESOLVED, That the 3rd Whereas clause be amended to read as follows:
“WHEREAS, Common Council, during the 2011 budget discussions, voted to direct the
Board of Public Works (BPW) to develop parking rates that would produce the needed
$200,000 without necessarily eliminating the first hour of free parking in downtown
garages; now, therefore be it “, and, be it further
RESOLVED, That the 1st Resolved clause be amended to read as follows:
“RESOLVED, That Common Council hereby directs the BPW to develop parking rates
and efficiencies for 2011 that would produce the needed $2,025,000 in parking
revenues, and be it further”
Alderperson Mohlenhoff stated that she supports this amendment as she thought that a
lot of creative ideas were shared at the budget meetings and she would not like the
Board’s discussion on various options to be restricted.
A vote on the Amending Resolution resulted as follows:
Ayes (9) Coles, Dotson, Clairborne, McCollister, Zumoff, Myrick,
Rooker, Mohlenhoff, Cogan
Nays (1) Rosario
Carried
City Attorney Hoffman stated that he would like the wording of the last Resolved clause
clarified.
Amending Resolution
By Alderperson Coles: Seconded by Alderperson Clairborne
RESOLVED, That the 2nd Whereas clause be amended to read as follows:
“WHEREAS, the Mayor and Controller recommended eliminating the first hour free in
City garages, which in conjunction with other rate changes would translate to an
increase of approximately $200,000 in parking garage revenue for 2011, and” and, be it
further
RESOLVED, That the 3rd Resolved clause be amended to read as follows:
“RESOLVED, That if the above directive is not satisfied by December 22, 2010,
Common Council will develop the parking rates to meet the revenues by its January 5,
2011 meeting.”
Carried Unanimously
Main Motion as Amended
A vote on the Main Motion as Amended resulted as follows:
Carried Unanimously
November 3, 2010
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City Controller’s Report
City Controller Thayer expressed his thanks to the Mayor, Department Heads, and
Common Council for their work and dedication to the budget process. He noted that
next year will be very difficult as the budget is tight and discussions may have to be held
concerning a reduction in services and personnel. He stated that the cooperation of
staff will be critical during these difficult times. He further discussed the challenges that
lay ahead such as a possible future property tax cap, and increased pension and health
insurance costs.
Alderperson Rosario noted that the 2011 budget does include 1 layoff related to a
service that will no longer be provided.
Alderperson Coles stressed the importance of the work that is being done by the
Vacancy Review Committee and the savings that have been realized as a result. She
noted that the thorough reviews of staff positions will be a long-term effort.
REPORT OF SPECIAL COMMITTEES:
Charter & Code Review Working Group
Alderperson Cogan reported that a concept memo has been distributed to Council
members regarding the Committee’s proposal to re-organize and condense the Charter
to increase the efficiency, effectiveness, inclusiveness and transparency of City
government. He explained that the Committee’s initial focus has been on the Human
Resources related topics. Currently there are redundancies, contradictions, and
information that is located in multiple sections. Some of the information in the Charter
would be more appropriately placed in a companion document such as a policy manual.
Alderperson Cogan asked Council members to review the concept memo and notify him
if there are any concerns as the next step of the working group will be to draft legislation
to implement these changes. The legislation will be brought to the City Administration
Committee and Common Council for adoption.
Mayor Peterson extended her thanks to Deputy Human Resources Director Valerie Saul
for the incredible amount of work that she has put into this project.
Shade Tree Advisory Committee
Alderperson McCollister reported that the Committee has been discussing how to
mitigate the issue of starlings roosting in the locust trees on the Commons. They have
agreed to place DEC approved mylar strips in the tree canopies in the Spring when
roosting patterns are formed.
She further reported on the Emerald Ash Borer infestation that is killing ash trees. She
explained that these beetles have been found in Tompkins County and there is a
chemical that can be applied to the base of trees to protect them. The Forestry Crew
will be working to apply this chemical before any city trees are damaged. Of the 13,000
trees in the City’s tree inventory, 500 of them are ash trees.
Yard Waste Ad-hoc Committee
Alderperson Dotson reported that the new yard waste regulations went into effect on
Monday, November 1, 2010.
Tompkins County Industrial Development Agency
Alderperson Cogan reported that the IDA is considering a Payment in Lieu of Taxes
(PILOT) increment financing agreement with BJ’s Wholesale Warehouse. This proposal
would direct the property taxes generated by BJ’s to financing new housing units. He
stated that the conversation is on-going and public input is being sought. Each taxing
authority would have to approve this proposal for it to become effective.
November 3, 2010
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MAYOR’S APPOINTMENTS:
14.1 Ithaca Landmarks Preservation Commission:
By Alderperson McCollister: Seconded by Alderperson Myrick
RESOLVED, That Michael McGandy be appointed to the Ithaca Landmarks
Preservation Commission to replace Sylvia Sheret-Newman with a term to expire
December 31, 2013.
Carried Unanimously
14.2 Appointments – Reappointments to City of Ithaca Youth Council
By Alderperson Myrick: Seconded by Alderperson Clairborne
RESOLVED, That Brenda Imo be appointed to the Youth Council to fill a vacancy with a
term to expire August 31, 2012, and be it further
RESOLVED, That Phillip Cornelius be appointed to the Youth Council to fill a vacancy
with a term to expire August 31, 2012, and be it further
RESOLVED, That Phoebe Parrish, be appointed to the Youth Council to fill a vacancy
with a term to expire August 31, 2011, and be it further
RESOLVED, That Kelvin Kim be reappointed to the Youth Council with a term to expire
August 31, 2012, and be it further
RESOLVED, That Cody Austern-Aceto be reappointed to the Youth Council with a term
to expire December 31, 2012.
Carried Unanimously
14.3 Appointment to Tompkins Consolidated Area Transit Board - Resolution
By Alderperson Cogan: Seconded by Alderperson Coles
RESOLVED, That Alderperson Jennifer Dotson be reappointed to the Tompkins
Consolidated Area Transit Board with a term to expire December 31, 2013.
Carried Unanimously
Mayor Peterson noted that a list of vacancies for all city boards and committees has
been distributed to Council members. She asked for their assistance in generating
names of people who may be willing to fill those vacancies.
REPORT OF CITY ATTORNEY:
City Attorney Hoffman reported on three new lawsuits that have been filed against the
City:
(1) First filed as a Notice of Claim – bicycle accident on the Clinton Street Bridge.
The bridge was wet and the rider slipped and experienced facial injuries. The
City’s insurance carrier is expected to defend this case.
(2) First filed as a Notice of Claim – Sewer back-up into an occupied building in
Cornell Heights. The City’s insurance carrier is expected to defend this case.
(3) Filed in City Court – a City employee subject to a disciplinary action is suing for
wages not received during this action.
Motion to Enter into Executive Session:
By Alderperson Dotson: Seconded by Alderperson Cogan
RESOLVED, That Common Council enter into Executive Session to discuss pending
litigation, First Energy Corp, and possible litigation.
Carried Unanimously
Reconvene:
Common Council reconvened into Regular Session with no formal action taken.
November 3, 2010
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17.1 Approval of Proposed Settlement of First Energy v. City of Ithaca -
Resolution
By Alderperson Cogan: Seconded by Alderperson Myrick
WHEREAS, in 2009, the City of Ithaca was named as a third-party defendant in a
lawsuit initially involving First Energy Corp. and New York State Electric & Gas Corp.
(NYSEG), regarding liability for the cost of remediation of contamination at a property in
the City of Ithaca referred to as the First Street Site, which is now the location of the
Ithaca Area Wastewater Treatment Facility (IAWTF); and
WHEREAS, in that lawsuit as against the City, First Energy seeks contribution from the
City, under the federal Comprehensive Environmental Response, Compensation and
Recovery Act (CERCLA – a strict liability statute) for any financial liability First Energy
may be found by the Court to have, for said contamination and remediation; and
WHEREAS, the site in question was the location, from approximately 1929 until 1934, of
a manufactured gas plant operated by NYSEG and/or First Energy, and a by-product of
such gas manufacture is coal tar, now known to be a hazardous substance; and
WHEREAS, the City obtained the site in question from NYSEG in 1959, and, in the
1980s, in collaboration with others, constructed the IAWTF there; and
WHEREAS, during excavation for said construction, large quantities of coal tar and coal
tar-contaminated soil were discovered below the ground, and were treated in
accordance with instructions from NYSEG and the NYS Department of Environmental
Conservation, including storage on-site for over 10 years prior to removal and disposal
by NYSEG; and
WHEREAS, the City retained special counsel to provide a defense in this matter,
namely, the law office of Menter, Rudin & Trivelpiece, of Syracuse, New York; and
WHEREAS, a motion for summary judgment dismissing the case against the City was
recently denied by the United States District Court, on the grounds that there were
questions of fact as to whether the construction of the IAWTF and the treatment of the
contamination discovered during that process in some way exacerbated the
contamination; and
WHEREAS, special counsel, in consultation with the Mayor and other City and IAWTF
representatives, has negotiated a proposed settlement of this matter, which settlement
is recommended by special counsel and the City Attorney, in order to limit the City’s
legal costs and to avoid the risks and unknowns of trial (and potential appeals); now
therefore be it
RESOLVED, That the Common Council hereby approves of the settlement of the case
of First Energy v. the City of Ithaca, et al, as against the City, provided such settlement
shall include the following terms: payment of $200,000 to First Energy, by or through
the City, in 10 equal, annual payments of $20,000 each (i.e., with no interest), together
with a release by First Energy of the City (and the owners of the IAWTF) from any and
all further liability for the contamination or remediation of the First Street Site; and be it
further
RESOLVED, That the Common Council hereby authorizes the Mayor, upon the advice
of the City Attorney, to execute all agreements and other documents necessary to
implement the settlement referenced herein; and be it further
RESOLVED, That the above-described payments shall be made from the appropriate
account(s) of the IAWTF, according to the terms of the “Agreement As to Legal Defense
Costs and Damages (if any) Associated with a Lawsuit Against the City of Ithaca
Regarding the Ithaca Area Wastewater Treatment Facility Site” executed by the Mayor
on December 9, 2009.
Carried Unanimously
November 3, 2010
12
MINUTES FROM PREVIOUS MEETINGS:
18.1 Approval of the October 6, 2010 Regular Common Council Meeting Minutes
– Resolution
By Alderperson Zumoff: Seconded by Alderperson Myrick
RESOLVED, That the minutes of the October 6, 2010 Regular Common Council
meeting be approved as published.
Carried Unanimously
ADJOURNMENT:
On a motion the meeting adjourned at 9:00 p.m.
______________________________ _______________________________
Julie Conley Holcomb, CMC Carolyn K. Peterson,
City Clerk Mayor