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HomeMy WebLinkAbout10-29-03 Budget & Administration Committee Meeting Agenda BUDGET AND ADMINISTRATION COMMITTEE OCTOBER 29, 2003 FOLLOWING 7 : 00 P.M. BUDGET MEETING COMMON COUNCIL CHAMBERS AGENDA Statements from the Public Amendments to Tonight' s Agenda A. DPW/IAWWTP 1 . Request to Approve Standardization on Gas Cleaning System - Resolution (10 min. ) B. Mayor 1 . Request Authorization of Memorandum of Understanding between the City and Tompkins County on Dispatch Services - Resolution (15 min. ) 2 . An Ordinance to Provide for an Access Oversight Committee to Oversee Pegasys (15 min. ) 3 . An Ordinance to Amend Chapter 317 Vehicles, Removal of, of the City of Ithaca Municipal Code (10 min. ) 4 . A Local Law Allowing Tax Exemption for Capital Improvements to Residential Buildings Pursuant to Real Property Tax Law 421-f (20 min. ) 5 . An Ordinance to Amend the Telecommunications Ordinance (5 min. ) 6 . Fee Increases - Discussion/Possible Resolution (15 min. ) C. Finance/Controller 1 . A Resolution of the City of Ithaca, Providing for executions of an agreement for natural gas supply pursuant to public bid conducted by the Municipal Electric and Gas Alliance as the Consultant of the City of Ithaca (5 min. ) 2 . Request to Approve Settlement and Release Agreement with NYSEG - Resolution (5 min . ) (OVER) j \ BUDGET AND ADMINISTRATION COMMITTEE MEETING OCTOBER 29, 2003 Page 2 D. Reports 1 . Mayor' s Report 2 . Approval of September 24 , 2003 minutes 3 . Council Members' Announcements 4 . Controller' s Report 5 . Next Month' s Meeting: Nov. 17, 18, 20, or 21, 20032 DPW/IAWWTP - Request to Approve Standardization on Gas Cleaning System WHEREAS, the IAWWTP wishes to purchase a Sanitaire Hydrochloric Acid (HCL) gas cleaning system to be used as a preventative maintenance measure for the plant' s activated sludge treatment process, and WHEREAS, traditional cleaning methods are both manually intensive and dangerous to personnel who must handle and maintain hazardous solutions of liquid acid, and WHEREAS, the traditional cleaning method is costly from an operation and maintenance perspective, and WHEREAS, the Sanitaire system is a safe, cost-efficient system, and WHEREAS, staff has determined that the Sanitaire system is the preferred cleaning process for the IAWWTF, and WHEREAS, Koester Associates, Inc . is the sole source supplier and installer of this equipment, and WHEREAS, it is deemed in the best interest of the City for reasons of efficiency and economy to approve such standardization as more fully spelled out in the following items : (a) The Sanitaire gas cleaning system is a safe, cost- efficient in-situ process; (b) The process eliminates direct handling of hazardous chemicals, the lengthy removal and inspection process required under liquid cleaning, and the need to de- water the system; (c) Regular use of the system promotes optimum oxygen transfer efficiency and minimizes energy consumption; (d) The sole provider and installer of this equipment is Koester Associates, Inc . ; (e) Koester Associates, Inc. ' s proposal for services includes a complete system upgrade, initial cleaning, and training of plant personnel at a total cost of $86, 400; now, therefore, be it RESOLVED, That pursuant to Section 103 , Subdivision 5 of the General Municipal Law of the State of New York, this Common Council hereby authorizes the standardization of the Sanitaire In-place Gas Cleaning System as the type of gas cleaning system to be used at the IAWWTP facility. z003 By Aeration Process Cleaning System Upgrade Executive Summary The IAWWTF wishes to purchase a Sanitaire Hydrochloric Acid(HCL)gas cleaning system to be used as a preventative maintenance measure for the plant's activated sludge treatment process. At its most basic level, activated sludge commingles existing biological microorganisms with that of the organic matter in wastewater. An adequate oxygen supply is necessary to promote growth and the resultant metabolic reactions required to deplete the waste. Air is supplied through a system of fine pore ceramic diffuser heads which are located at the bottom of each of the four treatment plant tanks. There are precisely 5300 ceramic heads overall that make up the activated sludge system. Over time,the heads become fouled with slime and other built-up deposits,plugging orifices and ultimately reducing system efficiency. This has a significant impact on the biology of the system and plant operations must work harder to compensate for the decrease in oxygen transfer,consequently increasing energy costs. Traditional cleaning methods are both manually intensive and dangerous to personnel who must handle and maintain hazardous solutions of liquid acid. First,the treatment tanks are taken off-line and may be down a month or more while each ceramic head is removed and inspected. Many of the heads and their corresponding gaskets become damaged during this process and need to be replaced. The heads are immersed in a muriatic acid solution and must typically be scrubbed to ensure that all foreign matter is removed. Overall,the procedure is costly from an operation and maintenance perspective. The Sanitaire system is a safe, cost efficient in-situ gas cleaning process which is designed to be used at regular intervals by plant personnel. It is a simple operation that introduces HCL gas through the air supply which permeates through the fine pores in the ceramic heads. The process eliminates direct handling of hazardous chemicals, the lengthy removal and inspection process required under liquid cleaning, and the need to dewater the system. The manufacturer ensures restoration of the diffusers to like new condition in as little as 30 minutes. Regular use of the system promotes optimum oxygen transfer efficiency which helps to maximize microbial growth and to minimize energy consumption. In as much as Koester Associates is the sole source supplier and installer of this equipment, it would be necessary to standardize the product for direct purchase. Their latest proposal for services includes a complete system upgrade, initial cleaning, and training of plant personnel. Parts are warranted to be free from defects in materials and workmanship for a period of one year after installation. The cost of a four tank cleaning system including labor is$86,400. Koester Associates, Inc. Water & Wastewater Treatment and Transfer Equipment mom MANUFACTURERS' REPRESENTATIVES July 14, 2003 Mr. Ron Denmark Ithaca Area WWTP 525 Third Street Ithaca, NY 1.4850 Subj: Gas Cleaning Update Dear Ron, Bill told nee of his recent visit and indicated that you would like to receive a revised gas-cleaning proposal. Attached is a copy of our original 2/6/02 letter with specifications. From my records you have four (4) tanks each with 1325 diffusers as well as 1260 empty diffuser holders. Each tank includes four grids and each grid has a 6" 0 stainless steel drop leg. To ensure leak free gas cleaning, it is recommended that the gaskets, stainless steel orifice bolts, stainless steel orifice plugs, bolt washers, and bolt gasket be changed. The upgrade would also include installation of monel tubing and stainless steel valve at the top of each drop pipe, where the gas is injected. The estimated equipment cost for the upgrade including the Sanitaire gas cleaning license fee for each tank is $15,400 (total of $61,600 for all four). If we assume 0.15 Ibs of HCL gas per diffuser this would require 200 Ibs of gas per tank (3.3 - 60 lb cylinders) for a total of $1,600 per tank. We simply charge an hourly rate for our service technician to perform the cleaning. I would estimate your cleaning to take 8 hours per tank including travel time. If we did more than one tank at a time that estimate would be reduced. Bottom line, the total equipment cost to upgrade each of your aeration tanks to gas cleaning including the first cleaning is $17,600 each tank (total $70,400) . Labor to perform the upgrade is estimated at $4,500/tank, bringing the total project cost for all four tanks to $86,400. RR#5 Box 620, Suite 7, Madison Blvd., Canastota, NY 13032 (315) 697-3800 Fax (315) 697-3888 Ron, I hope this is helpful and it you are considering upgrade to gas cleaning, I will schedule a time to come down and go through cost versus payback, installation, etc. in detail. While I can not seem to find the work up sheets (probably on a the back of a bar napkin) that I did with Gary, the upgrade did seem to make sense and had a fairly reasonable payback. Thank you. Sincerely, I Mark Koester President MK/rg N:VdarWs Projecls11thaca\Ron DEnmark-Gas Cleaning Information&Pricing Update.doc . . a r. 4 t t y . AL ._.. r eramic �. t San 0 SANITAIRE® System Performance Compatible Aeration Systems Sanitaire's patented In-Place Gas Cleaning The Sanitaire In-Place Gas Cleaning Process performs System is a preventative maintenance process designed most effectively with the SANITAIRE ceramic disc fine bubble to be used regularly by plant staff. The system works aeration system. most effectively when used at regular intervals to remove Sanitaire's ceramic disc diffuser incorporates a uniquely foulant accumulation on ceramic disc diffusers. Elevated contoured disc diffuser design that promotes dependable, system back pressure values,visual observation of surface uniform air distribution. The diffuser design also uses a patterns or decreased blower efficiencies determine threaded retainer ring/holder concept that ensures an cleaning requirements. When these D�wEkt C-to r Ed C �� PFt"he C , , airtight seal between the diffuser and conditions are apparent,a cleaning top mounted O-ring gasket,thereby W agent such as anhydrous(HG)gas is dh eliminating potential leaks,even after introduced into the aeration grid. This is o years of operation. The combination of these ,wD�W..Wvie accomplished by injecting the gas into the ures ensures that the cleaning gas will permeate drop pipe that conveys the process air to the diffusers. ouled ceram ic pores with the process air. Flat The HCI gas is soluble in water. The gas permeates diffuser designs have poor air distribution and channel through the pores of the ceramic diffuser with the process air. gasket seals that are prone to leakage. These deficiencies At the air/water interface within the diffuser,it combines with allow the cleaning gas to escape through air leaks without water to form concentrated hydrochloric acid. The unique penetrating the fouled pores of the diffuser. Sanitaire cleaning process ensures that the most concentrated Sanitaire's sales and engineering teams can draw acid forms within the pores of the diffuser where the fouling upon years of collective experience to determine if the In- is most severe. It also provides for continuous replenishment Place Gas Geaning System is right for your application. of the acid during the cleaning procedure.The resultant The engineers can also design a diffused aeration system hydrochloric acid mixture reacts with and dissolves soluble tailored to your specific application. Gall Sanitaire,the minerals that form precipitants in the diffuser.Attached leader in aeration system solutions for more details. biological foulants are also removed by the localized depression of the pH at the diffuser surface. This combined cleaning Sanitaire 9333 N. 49th Street action typically restores the porous ceramic diffusers to like- Brown Deer, WI 53223 USA Tel 414 365 2200 new conditions in less than thirty minutes without the need Fax 414 365 2210 www.sanitaire.com to drain the tank or interrupt the biological treatment process. The time proven Sanitaire process does not harm the Sanitaire microbial population of the basin or change the pH of the ITT Industries activated sludge system. Engineered for life US PATENTS#4,889,620,#5,328,601,#6,200,468,#6,475,395 0 SANITAIRE® Technology You Can Count On SANITAIRE®is the trade name recognized throughout the wastewater treatment industry for quality products and advanced technology. The In-Place Gas Cleaning System is recognized world wide for its ability to dean porous ceramic fine bubble diffusers in-place,efficiently and without interruption to the process or dewatering of aeration tanks. The patented In-Place Gas Cleaning System was developed by Sanitaire in response to a need within the wastewater treatment industry to reduce the maintenance costs associated with the manual cleaning of fine bubble diffusers. System Benefits Regular use of the In44ace Gas Cleaning System: • Minimizes the amount of foulant accumulation on diffusers • Prevents the loss of oxygen transfer efficiency due to fouled diffusers • Maintains pressure drop at near new condition • Reduces electrical energy costs The bottom line benefits include significant power savings,elimination of plant downtime and reduced maintenance cost with this efficient cleaning process. Gas Cleaning System For Ceramic Fine Bubble Aeration HMGZ Flow ao�v nM HCI Gas °" 2**Fbw Cleaning °'��^`t a sw Schematic * „ %WWOM syst” km� System Advantages • Cleans porous ceramic diffusers in-place without dewatering the aeration tank • Eliminates the need for operator to enter confined spaces for labor intensive manual cleaning • Performs without interrupting the treatment process or reducing treatment capacity • Cleans porous ceramic discs that are fouled or scaled with acid soluble precipitates such as carbonate scale build up • Reduces diffuser dynamic wet pressure(DWP)of diffusers that are fouled or scaled to like new condition • Restores oxygen transfer efficiency to like new condition • Reduces blower back pressure,discharge volume and electrical energy costs • Cleaning time is a fraction of the manual time required for cleaning diffusers • Over 250 installations with over 1 million diffusers licensed to use the process Integrated System The In-Place Gas Cleaning System is an integrated system design that includes: • Diffuser dynamic wet pressure(DWP)measurement • Diffuser air flow measurement • Precise metering of cleaning gas to process air volume in order to achieve the proper mole ratios for cost effective cleaning • Corrosion resistant gas feed panel,piping,valves and controls • Nitrogen purge feature • Interlocking control circuit logic with mechanical fail safe backups for operator and equipment safety • Factory personnel system check-out,testing and start-up in the field • Classroom training and hands on demonstration of equipment for plant operators by factory trained engineers Curve During Cleaning 2< Start HCl Gas Q-2.77 SCRAO(fuser 2° 1116 12 8 Ceramic disc diffusers before(left)and 0 10 zo 30 40 50 (Minutes) after 70 tens after(right)In-Place Gas Cleaning e �KOESTER ASSOCIATES Fax=3156973888 Oct 27 2003 11=16 P.01 FAX TRANSMI el v, 2 : rg ;1 I� L J K = 1 . Fax(315)697-3888 Phone(315)897-3800 RR#5 Box 620,Suite.7, Madison Blvd., C onastota, NY 13032 info0koesterassoclattes.60m.- Date: October 27, 2003 From: Mark Koester This fax contains ( ( ) pages, including this page. — cc: File Name: Scott Gibson Company: Ithaca Public WorksMater& Sewer Fax Number: 607-277-5026 Subj: Ithaca WWTP Sanitalre=-Gas Cleaning Scott, -in follow-up to your conversation with John O'Connell last week, this fax is to confirm that Koester Associates, Inc, is the sole-source supplier of the gas cleaning services and equipment in New York State. The gas cleaning process is propriety and is patent-protected by Sanitaire Water Pollution Control Corporation . We are under exclusive contract with Sanitaire to supply the gas cleaning equipment and services in NYS. Scott, I hope this is helpful and if you have any questions, please do not hesitate to call. Thank you. Sincerely, U"4t'a�i H--W*t'o Pfa*1sU1hecMftc 1 GIbeon Prot 1427-09.doo Supplying Full Service to the Water and Wastewater Industry Mayor - Authorization of Memorandum of Understanding between the City and Tompkins County on Dispatch Services WHEREAS, the City of Ithaca and Tompkins County are seeking a consolidation of the separate dispatch units into a single unit to promote greater efficiency and improve the dispatch services to the residents of the City and County, and WHEREAS, the City and County staff have developed the attached agreement starting in July 2004 and continuing thereafter to consolidate the dispatch operations; now, therefore, be it RESOLVED, That Common Council hereby authorizes the Mayor to sign the attached Memorandum of Understanding regarding the consolidation of City and County dispatch services effective July 1, 2004 . ADM03-1017 MEMO OF UNDERSTANDING Date: 10/23/03 This is an agreement between the City of Ithaca, a municipal corporation with offices at 108 East Green Street, Ithaca, NY 14850 and the County of Tompkins, a municipal corporation with offices at 125 East Court Street, Ithaca,NY 14850. WHEREAS, the City currently operates an emergency dispatch unit in the City of Ithaca, and WHEREAS, the County currently operates a dispatching operation serving the residents of the County, and WHEREAS, the County is in the process of constructing a new facility that will house the emergency dispatch personnel, and serve as the County's Emergency Operation Center, and WHEREAS, the City and the County believe that the consolidation of the separate dispatch units into a single unit will promote efficiency and serve the public interest and safety of the residents of the City of Ithaca and Tompkins County it is agreed as follows: 1. On July 1, 2004, the County will provide dispatch service for the City of Ithaca Police Department and the City will cease the provision of said services. 2. (a.) Throughout the term of this agreement, the cost to the City will be the annual salary and benefits for five dispatchers. For the purposes of this contract, the salary and benefits will be negotiated between the County and the City, as outlined herein. (b.) The payments shall be made as follows: (i) In Year One through Year Five, the City shall pay to the County an amount of $147,000 per year in Year Two through Year Five for four (4) dispatchers; Year One will be pro-rated from the date of commencement, for$73,500. (ii) At the end of Year Five the City shall make a balloon payment to the County. The amount of the balloon payment shall be $287,195 as partial reimbursement for the cost of a fifth dispatcher. (iii) Beginning in Year Six the City shall pay to the County $180,000 per year for five (5) dispatchers. (iv) For purposes of this subsection, Year One shall begin on July 1, 2004 and end on December 31, 2004. Year Two shall begin on January 1 of the following year and 1 ADM03-1017 end December 31 of the same year. Years Three and beyond shall coincide with the following calendar years. PAYMENT SCHEDULE DATE DISPATCHERS ANNUAL PAYMENT TO COUNTY FROM CITY Year l: 7/1/04- 4 $73,500 12/31/04 Year 2: 1/l/05- 4 $147,000 12/31/05 Year 3: 1/1/06- 4 $147,000 12/31/06 Year 4: 1/1/07- 4 $147,000 12/31/07 Year 5: 1/l/08- 4 $147,000 12/31/08 12/31/08 1 $287,195: Cost of 1 dispatcher at the County rate Balloon with fringes for 5 years at Year 1 rate Payment 1/1/09 - 5 $180,000: Payment for 5 dispatchers on-going term 3. The County shall deduct the annual amount due from the sales tax payments that would otherwise be paid to the City. Such sales tax payment agreement shall be amended to reflect the amounts outlined within this Memo of Understanding. 4. The County will be responsible for the hiring, training and supervision of all dispatchers employed by the County. 5. The term of this agreement shall begin on July 1, 2004 and continue each year thereafter. The City shall give to the County one (1) year written notice of termination. If the City terminates this agreement, the City agrees to reimburse the County $100,000 for the County's capital expenditures related to the additional consoles purchased to accommodate the additional staff. 2 ADM03-1017 6. Nothing in this agreement shall prevent the County from subcontracting dispatching services or working with another government entity to provide such services. Such subcontracting or agreements shall not excuse the City's obligations as specified herein. 7. All notices hereunder shall be deemed sufficient and properly given if in writing and delivered in person or by United States Mail to the following: (a) To the County: County Administrator, 125 East Court Street, Ithaca,NY 14850 (b) To the City: Mayor, City of Ithaca, 108 East Green Street, Ithaca,NY 14850 and City Clerk, City of Ithaca, 108 East Green Street, Ithaca, NY 14850 8. This constitutes the entire agreement of the parties and all prior negotiations,proposals and agreements are merged herein and superseded by this Agreement. It is the intent of this agreement to consider City employees holding City dispatcher positions for employment under the County's reinstatement rule when the County fills the Emergency Services Dispatcher positions in 2003-2004. 9. If any clause or provision of this Agreement shall be ruled invalid by any court of competent jurisdiction, the invalidity shall not affect the validity of the remaining provisions of the Agreement. 10. This Agreement may be executed in counterparts, each of which shall be regarded as an original for all purposes. City of Ithaca County of Tompkins Mayor Alan Cohen Stephen Whicher, County Administrator Date: Date: 3 An Ordinance to Provide for an Access Oversight Committee to oversee Pegasys WHEREAS, the City of Ithaca and Time Warner Entertainment- Advance/Newhouse Partnership ("Time Warner") entered into a franchise renewal agreement dated January 30, 2003, and WHEREAS, said franchise renewal agreement provides for an Access Oversight Committee to approve the timing, use, and amount of PEG access equipment and to make rules concerning access to the Pegasys studio and equipment, now therefore ORDINANCE 2003 - BE IT ORDAINED AND ENACTED by the Common Council of the City of Ithaca, New York, as follows: Section 1. There shall be a new Chapter 18 added to the Code of the City of Ithaca which shall be entitled "Pegasys Access Oversight Committee" and may be cited as "Access Oversight Committee." Section 2. Membership. A. The Access Oversight Committee shall have five (5) voting members, three (3) from the City of Ithaca of which one shall be a member of Common Council; one (1) from the Town of Ithaca and one (1) from Cayuga Heights. The Mayor shall appoint the members of the Access Oversight Committee subject to the approval of Common Council. The Town of Ithaca and Cayuga Heights shall recommend to the Mayor individuals from their respective municipalities for appointment to the,,,{ ;() Committee. A representative of Time Warner shall serve as a non-voting, ex-officio member of the Committee. B. Should another municipality or municipalities become Participating Municipalities in the future, then such municipality or municipalities shall be entitled to recommend one individual from their municipality for appointment to the Access Oversight Committee. However, at such time, the City of Ithaca shall be . entitled to appoint an additional member or members of the Access Oversight,.,, Committee such that in no event shall the proportion of membership of the City of Ithaca fall below fifty-one (51%) percent. Section 3. Terms; officers and meetings; minutes. A. Members of the Access Oversight Committee shall be appointed for a term of three (3) years, except that of the initial appointments, two shall expire on Decen�}��, 31, 2004, two shall expire on December 31, 2005, and one shall expire on December 31,2006. ,;1 ,,, i to the B. The committee will meet on an as needed basis. At the first meeting of.each year, the Access Oversight Committee shall elect a Chairperson, a Vice-Chairperson and a Secretary and shall adopt a meeting time. C. Copies of the minutes of each meeting shall be transmitted to the Mayor and t rtx rs<�n the Common Council. Section 4. Duties and responsibilities. A. The Access Oversight Committee shall approve the timing, use and amount of PEG access equipment and facilities to be acquired each year over the term of the franchise between the City and Time Warner. B. The Access Oversight Committee may make rules for public access (but not for educational or government access) to assure the availability of the studio and portable equipment on a non-discriminatory basis. The rules will deal with issues such as who can use the access equipment, what are the procedures for signing up for studio space and equipment, and how are schedules for cablecasting established. C. Consistent with staff and available funding, the Access Oversight Committee may adopt business hours for the Access studio provided that, in addition to other live programming, live programming will be accommodated between the hours of 11 pm to 12 midnight at a minimum of two evenings per week, as needed, to accommodate safe harbor programming. D. The Access Oversight Committee shall establish a usage fee for each separate use of access equipment and/or facilities to access users who do not reside in Participating Municipalities. Such fees shall be disbursed for PEG purposes at the discretion of the Committee. ,,;,,,i,,,t E. The Access Oversight Committee shall review annual reports on the provision of equipment, facilities and funds provided by Time Warner access staff and present a report to Common Council on said reports. The Access Oversight. ,t Committee may review Time Warner records and records of access providers;,;,{ regarding the use of funds described in said reports. F. The Access Oversight Committee shall review and monitor all access;policies, rules, procedures, facilities and equipment, studio hours and staffing levels. Access Oversight Committee approval shall be required annually for the purchase of. equipment, the studio hours available to access users, staffing level, budget and access rules. G. By May 31 of each calendar year, the Access Oversight Committee shall provide the Mayor and the Common Council of the City of Ithaca, the Supervisor of the Town of Ithaca and Mayor of Cayuga.Heights with a recommended annual,,,�,, budget for equipment and facilities for the following year such that the Participating Municipalities may meet their obligation to provide Time Warner with an annual budget for public, educational and governmental access operations, which budget is due by June 30 of each calendar year. Section 5. Effective Date. This Ordinance shall take effect immediately in accordance with law upon ;t publication of a notice as provided in the Ithaca City Charter. A An Ordinance to Amend Chapter 317 of the City of Ithaca Municipal Code entitled "Vehicles, Removal of'. ORDINANCE 2003- BE IT ORDAINED AND ENACTED by the Common Council of the City of Ithaca, New York, as follows: Section 1. Section 317-1 entitled "Definitions" is hereby amended to include the following language: ABANDONED VEHICLE—A vehicle that has been left unattended, and has not moved in 72 hours on any public street, highway or parking facility. Section 2. Section 317-6 entitled "Authority of Police Department and Department of Public Works to impound and remove vehicles" is hereby amended to read as follows: B. When any vehicle is found unattended on any highway, public parking lot or private property within the city where said vehicle constitutes an obstruction to traffic, a safety hazard, has been left unattended and has not moved in 72 hours, or obstructs ingress to and egress from private property. G. Posted signage indicating that parking is not permitted, and meeting the following requirements: (1) The signage must be prominently placed and be [GGAtiRUGU61y1 maintained for 24 hours prior to the towing or removal of the vehicle from the premises. Section 3. Section 317-7 entitled "Procedure for towing ordered by the Ithaca Police Department" is hereby amended to read as follows: A. abandonment eF ether non emeFgeRGy situations. All a#empts to E;entaGt. ] [8}A. Selection of a towing company. Section 4. Section 317-10 entitled "Procedures for failure to plea or respond to parking violation notices" is hereby amended to read as follows: D. Whenever a person has failed to respond to at least five separate notices of violation for separate parking violations, the city may send to the owner of the motor vehicle by [seftified] mail a notice to the effect that such person has failed to respond to at least five separate notices of violation for separate parking violations and that the owner's vehicle is subject to being impounded and/or being immobilized. Upon the mailing of such [seed] letter, the owner of the vehicle shall immediately be responsible for the cost of sending such notice, including administrative overhead. The owner shall have 10 days from the date of mailing of such [sed ied] letter to respond to the notices of violation. If the owner does not respond to all the notices of violation within said ten-day period, and thereafter the vehicle is found unattended, parked upon a street or any city-owned property or property under the jurisdiction or control of the city, the vehicle may be impounded by or under the direction of an officer or designated employee of the Police Department giving authorization to a commercial towing or wrecker service to tow the vehicle and store it in a safe place until claimed by the owner; or, it may be immobilized by or under the direction of an officer or designated employee of the Police Department in such a manner as to prevent its operation. Section 5. Effective Date This Ordinance shall take effect immediately and in accordance with law upon publication of notice as provided in the Ithaca City Charter. A Local Law Allowing Tax Exemption For Capital Improvements to Residential Buildings Pursuant to Real Property Tax Law 421-f Whereas, due to a combination of rising property assessments and rising taxes at the city, county and school district levels, homeowners are less likely to reinvestment in their homes at this time, and Whereas, it is found that giving homeowners a tax incentive when they add onto and improve their homes is in the best interest of the City as it improves the City's overall tax base, improves the aesthetic and physical attributes of the City and instills in residents pride of ownership and pride in their neighborhoods, and Whereas, it is found that such a tax incentive would provide a boost to the construction industry, resulting in the hiring of workers and the purchase of materials resulting in increased sales tax revenue, and Whereas, the new law gives homeowners whose improvements adds between $5,000 and $80,000 of assessed value to their home a full tax exemption of their City taxes on the increased assessment for a full year after construction and taxes would be phased in over an eight year period, in the ninth year, the property owner(s) will begin to pay taxes on the full assessed value of the property, and Whereas, the City will encourage the County and the Ithaca City School District to adopt a similar tax exemption, and Whereas, the City's intent is to allow such tax exemption only to persons who legally improve their properties and comply with all building codes and permit processes, now therefore Local Law No. 3 of the Year 2003 BE IT ENACTED by the Common Council of the City of Ithaca as follows: Section 1. Chapter 300 of the City of Ithaca Municipal Code is hereby amended to add a new Article VI that will read as follows: § 300-27 Legislative Intent and Purposes The purpose of this Article is to grant a partial exemption from taxation for capital improvements to residential buildings within the City of Ithaca as authorized by Section 421-f of the Real Property Law. 'Residential building' shall mean any building designed and occupied exclusively for residential purposes by not more than two (2) families. §307-28 Exemption Granted Residential buildings reconstructed, altered or improved with proper building permits and inspection subsequent to the effective date of this Local Law shall be exempt from taxation and special ad valorem levies to the extent provided herein. Such properties shall be exempt from taxation for capital improvements for a period of one (1) year to the extent that one hundred per centum (100%) of the increase in assessed value thereof attributable to reconstruction, alteration or improvement and for an additional period of seven (7) years; provided, however, that the extent of such exemption shall be decreased by twelve and one half percent (12.5%) of the initial exemption each year during each additional period; provided that such exemption shall be limited to eighty thousand dollars ($80,000) in increased market value, or such other sum less than eighty thousand dollars ($80,000) but not less than five thousand dollars ($5,000) of the property attributable to such reconstruction, alteration or improvement. §300-29 Terms and Conditions The following terms and conditions shall be applied in the implementation of this Article: (1) No such exemption shall be granted for reconstruction, alteration or improvements unless such reconstruction, alteration or improvement was commenced subsequent to the effective date of this local law, and (2) No such exemption shall be granted for reconstruction, alteration or improvements unless the greater portion, as so determined by square footage, of the building reconstructed, altered or improved is at least five years old, and (3) The cost of the reconstruction, alteration or improvement must exceed three thousand dollars ($3,000), and (4) For purpose of this section, the terms reconstruction, alteration and improvement shall not include ordinary maintenance and repairs, and (5) The exemption provisions of this Article shall not apply to swimming pools, detached garage structures, or any other accessory structures to the primary residential structure, and (6) In the event that a building granted an exemption pursuant to this Article ceases to be used exclusively for residential purposes or title thereto is transferred to a person or entity other than the heirs or distributees of the owner, the exemption granted pursuant to this Article shall cease, and (7) Such exemption shall be granted only upon application by the owner of such building on a form prescribed by the state board to the Tompkins County Department of Assessment. Section 2. This local law shall take effect immediately upon filing with the Secretary of State of the State of New York and the Tompkins County Department of Assessment. An Ordinance to Amend Article II "Telecommunications" of Chapter 152, entitled "Communications Technology" of the Code of the City of Ithaca. WHEREAS,the Common Council adopted a Telecommunications Ordinance on November 6, 2002 which provides for the regulation of Telecommunications Services within the City of Ithaca, and WHEREAS, the Telecommunications Ordinance provides for the payment of franchise fees to the City of Ithaca, and WHEREAS, since adoption of the Telecommunications Ordinance, certain high schools and universities have applied to the City for a franchise to provide Telecommunications Services to their faculty, staff and students, and WHEREAS, it is not the intention of the City to require approved schools, colleges and universities to pay franchise fees, now therefore ORDINANCE 2003 - BE IT ORDAINED AND ENACTED by the Common Council of the City of Ithaca, New York, as follows: Section 1. Section 152-32 of the Telecommunications Ordinance, entitled"Definitions; word usage" shall be amended to include the following definitions: EDUCATIONAL INSTITUTION - Any school, including the primary and secondary grades, as well as including all public,private, and parochial institutions, which educate students through a corporate dissemination of knowledge. This definition does not mean any privately-run day care facilities where there is no required academic coursework, personal tutorials, nor any other quasi-educational entity,which has been given neither legal authority to educate students, nor has gained any color of authority by holding itself out as a disseminator of knowledge to students. INSTITUTE OF HIGHER LEARNING- Any college, university, or analogous educational entity,which has the authority to confer degrees that indicate a proficiency in the fields taught by the college,university, or analogous educational entity. This definition, however, does not include any public or private pre-school, day-care facility, primary, or secondary school. Section 2. The definition of"Franchise Fee" in section 152-32 of the Telecommunications Ordinance, entitled"Definitions; word usage" shall be amended as follows: FRANCHISE FEE—The percentage, as specified by this article, of the grantee's gross annual revenues payable in exchange for the rights granted pursuant to this article and the New language underlined. K:\DUNN\Telecommunications\TelecomOrdinance AmendExemptSchools.doc franchise. Educational Institutions and Institutes of Higher Learning shall be exempt from the payment of franchise fees. Section 3. Section 152-34.E(l) of the Telecommunications Ordinance, entitled "Franchise fees and in-kind compensation" shall be amended as follows: E. Franchise fees and in-kind compensation. (1) Franchise fee and linear foot fee. (a) Franchisee,with the exception of Educational Institutions and Institutes of Higher Learnim shall pay to the City a franchise fee of 5%of gross annual revenues during the period of its operation under the franchise,pursuant to the provisions of this article. (b) As compensation for the use of the public right-of-way for a telecommunications system solely providing long-distance network service and/or private service, franchisee, with the exception of Educational Institutions and Institutes of Higher Learning, shall pay to the City a linear foot fee of$1 per linear foot of aerial cable installed in the public right-of-way for the aerial facilities and shall pay to the City a linear foot fee of$4 per linear foot of underground (standard four-inch) conduit or cable installed in the public right-of-way for the facilities annually during the period of its operation under the franchise for the first three years of the franchise. Thereafter, the franchisee shall pay the fee of$1 per linear foot of aerial installation or$4 per linear foot of underground installation, plus an annual increase for inflation. Such inflation increase shall be based upon the regional consumer price index (CPI)published by the U.S. Department of Commerce for those years. (c) The franchisee shall promptly notify the City of any changes in the telecommunications system or services which would change the basis on which the fee to the City is calculated. Section 4. Effective Date. This Ordinance shall take effect immediately in accordance with law upon publication of a notice as provided in the Ithaca City Charter. New language underlined. K:\DUNN\Telecommunications\TelecomOrdinance AmendExemptSchools.doc Mortgage Recording Tax Principles: 1. All of the .25 MRT collected is to be considered county funds dedicated to TCAT. 2. All partners will contribute equally to TCAT operating and capital expenses, exclusive of any funds TCAT uses to repay funds used from the"pool". 3. The surplus above the county's share can be used to create a"pool" for TCAT. Ca. What is the proper level of reserve? i. Minimum 60-90 days of operating budget. b. What can reserve be used for? �^ i. Cash flow needs, c. TCAT has to restore any reserve funds used through the same means that TCAT would use to fund any other expense. �i Finance/Controller - Request to Approve Settlement and Release Agreement with New York State Electric & Gas Corporation WHEREAS, the New York State Public Service Commission instituted formal proceedings to consider the past billings and other issues, claims or disputes in connection with the rendition of street lighting services by New York State Electric & Gas Corporation ("NYSEG" ) ; and WHEREAS, the City of Ithaca intervened in such proceedings; and WHEREAS, the City of Ithaca engaged Computel Consultants ("Computel" ) to represent the City of Ithaca in such proceedings and negotiate on its behalf in regard to all issues, claims or disputes pertaining to street lighting services rendered by NYSEG to the City of Ithaca, including, but not limited to, its past NYSEG street lighting bills; and WHEREAS, negotiations between NYSEG and Computel have resulted in a settlement and release agreement between NYSEG and the City of Ithaca; and WHEREAS, Computel has recommended the acceptance of such settlement and release agreement; NOW THEREFORE BE IT RESOLVED, that the Mayor is authorized and directed to execute a settlement and release agreement with and to deliver the same to NYSEG. The settlement and release agreement is an accord and satisfaction for all issues, claims or disputes pertaining to street lighting services rendered by NYSEG to the City of Ithaca for the period set forth in the settlement and release agreement . COMPUTEL CONSULTANTS P.O. Box 35 • Earlville, New York 13332 • (800) 724-9859 • Fax (315) 691-4311 October 17, 2003 Mr. Steven Thayer {� U • f City of Ithaca J I� 108 East Green Street Ithaca,New York 14850 Dear Mr. Thayer: As you know, we've been representing your interests in PSC proceedings looking into NYSEG street lighting issues. We are pleased to announce that we've reached what we believe to be a very fair"global" settlement for the 67 municipalities we represent. We're recommending that all municipalities accept the settlement. The cash settlement amount for the City of Ithaca is $40,000 and resolves all past billing disputes through July 31, 2000. This time frame was suggested by NYSEG and roughly coincides with the date they completed their internal street light account reviews and reconciliations. This means that there will be a second phase of these proceedings in which we'll look at the billing for your account(s) from July 31, 2000 to present. Depending on the outcome of that review, you may be entitled to additional refund amounts. In addition to several specific issues that pertained only to certain municipalities, a central point of concern for all of our clients was the accuracy of NYSEG's billing data. The PSC ruled that the methodology used by NYSEG to reconcile accounts was inadequate. However, due to the lack of 1990's billing records and the questionable accuracy of existing records, it would have been impossible to reconstruct past bills and arrive at a"mathematically correct" resolution. This settlement will refund much more money than could otherwise have been proven using available documentation. In order to receive your refund please do the following: • Review the enclosed Settlement and Release Agreement (2 originals). • In accordance with applicable Municipal Law, pass a Municipal Board Resolution (see enclosed attachment A)that accepts the settlement and authorizes a municipal official to sign the release. • Return both signed, original settlement agreements and the certified Resolution to our office. Upon receipt of your executed settlement documents, we will submit the paperwork to NYSEG and arrange for the return of one fully executed original settlement release document and the distribution of funds. The sooner we receive your settlement documents, the sooner we can arrange for the release of your refund. Therefore,please contact us as soon as possible with any questions or concerns you may have. Sincerely, ichael Caton Partner encl: SETTLEMENT AND RELEASE AGREEMENT This SETTLEMENT AND RELEASE AGREEMENT ("Settlement Agreement") is entered into and made effective as of the day of , 2003, by and between NEW YORK STATE ELECTRIC & GAS CORPORATION ("NYSEG") and the City of Ithaca, New York ("CUSTOMER") (hereinafter sometimes referred to as "Party" or "Parties"). WHEREAS, NYSEG provides or has provided street lighting services under Commission approved tariffs ("Street Lighting Tariffs") to the Customer; and WHEREAS, the Customer has intervened or caused its duly authorized representative, Computel Consultants ("Computel"), to intervene on its behalf in Case No. 00-E-0105, Case No. 00-E-0106, Case No. 02-E-1060 and Case No. 02-E-1061, proceedings instituted by the Public Service Commission of the State of New York (the "PSC") which were initiated to consider various disputes, claims, complaints and other issues relating to street lighting, including, but not limited to, data disputes, cross-account netting, interest rate, backbilling and refunds, if any, for all street lighting customers (hereinafter, collectively referred to as "claims"); and WHEREAS, NYSEG and the Customer had claims against each other, whether informally or before the PSC in the above-referenced proceedings or otherwise; and WHEREAS, NYSEG and Computel have met and discussed all of the claims between the Parties, including those related to equipment, facilities, past invoices and charges to the Customer, pertaining to the street lighting services rendered to the Customer; WHEREAS, the Parties have agreed to settle, release and discontinue all claims that have or could have been raised in connection with street lighting service; NOW, THEREFORE, in consideration of the mutual agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto, intending to be legally bound hereby, agree as follows: 1. NYSEG agrees to pay, and Customer agrees to accept forty thousand dollars ($40,000), inclusive of interest, as an accord and satisfaction of any and all claims that have been made or could have been made in connection with street lighting services provided by NYSEG to the Customer from the commencement of such services through and including July 31, 2000. Such payment shall be made by NYSEG to Computel upon receipt of this executed Settlement Agreement and accompanying certified municipal resolutions, substantially in the form of Attachment A, attached hereto and incorporated herein, authorizing execution and delivery of this Settlement Agreement from the Customer, and Computel shall remit such amount to Customer within thirty (30) days of receipt of payment from NYSEG. 2. Each of NYSEG and the Customer (each such releasing Party being hereinafter referred to as the "Releasor"), HEREBY RELEASES AND FOREVER DISCHARGES the other Releasor, and any and all of the other Releasor's present, former and future directors, officers, trustees, lenders, representatives, employees, attorneys, advisors, agents, stockholders, partners, members, affiliates, predecessors, legal representatives, successors and assigns (each such released person being hereinafter referred to as a "Released Person"), from any and all claims, actions, complaints, causes of action, judgments, liens, sums, costs, liabilities, obligations, damages, debts, demands, proceedings or suits (collectively, "Claims"), at law or in equity, known or unknown, suspected or unsuspected, accrued or unaccrued, liquidated or unliquidated, fixed, contingent, direct, derivative or indirect, consequential, for lost profits or business or economic loss, or otherwise, whether at common law, equitable, or statutory, whether in court, arbitration or other forum, whether based on contract, tort or other cause of action or theory that the Releasor ever had, now has, or hereafter can, shall or may have, arising by reason or in respect of any act, omission, cause, matter or thing whatsoever, whether known or unknown, out of or related to each Releasor's obligations related to or in connection with street lighting services provided by NYSEG to the Customer from the commencement of such services through and including July 31, 2000. 3. Customer agrees that it will not file or cause others to file any complaint, make any claim for, participate in any action, suit or proceeding or pursue any remedy arising out of, related to or in connection with any street lighting dispute, claim, complaint or issue where such dispute, complaint, claim, issue or remedy would apply to or include any period prior to July 31, 2000. 4. Customer hereby waives its right and the right to cause others to seek a Commission decision or otherwise appeal, litigate or participate in any dispute, claim, complaint or issue raised or which could have been raised in the above-referenced street lighting proceedings instituted by the Commission by the Customer or any other customer, municipality or entity. Nothing contained in this paragraph 4, however, is intended and does not prevent NYSEG from appealing, litigating, or otherwise pursuing any other action or right in connection with any dispute, claim, complaint or any other issue against another customer, municipality or entity other than the Customer. 5. The Customer hereby waives its right and the right to cause others to commence or participate in any action, suit or proceeding and to receive any payments or other relief that may be available to the Customer as a result of any statements, findings, determinations, rulings or orders issued in or in connection with Case Nos. 00-E-0105 et al., In the Matter of the Rules and Regulations of the Public Service Commission, Contained in 16 NYCRR, in Relation to Complaint Procedures —Appeal by New York State Electric & Gas Corporation of the Informal Decision in Favor of the Town of Ithaca filed in C 26358, or any other proceeding related to street lighting services rendered by NYSEG to the Customer from the commencement of such services through and including July 31, 2000. Notwithstanding the foregoing, except as otherwise provided in this Settlement Agreement, nothing contained herein shall preclude or compromise any rights that NYSEG or the Customer may have under the applicable filed tariffs relating to street lighting services rendered by NYSEG to Customer in connection with any dispute, claim, complaint or issue arising in and relating to periods commencing after July 31, 2000. Additionally, the Parties agree that the Customer is not waiving its right to receive any payments provided under this Settlement Agreement or to participate in Case No. 02-E-1061, which case was instituted by the PSC to consider prospective revisions to the tariffs and procedures of NYSEG with respect to street lighting services. 6. Except as required by law, regulation, order of governmental authority (including, but not limited to, public access to records maintained by public entities, any filings required by the Securities and Exchange Commission, Federal Energy Regulatory Commission or the PSC), order of a court, or upon written consent of the other Parties, NYSEG and the Customer, and their respective agents, employees, officers, directors and attorneys, shall keep and maintain confidential this Settlement Agreement and all information obtained by it and its agents, employees, officers, directors and attorneys relating to the terms of this Settlement Agreement; provided, however, that the terms of this Settlement Agreement may be disclosed (i) to the extent that it was, or becomes through no breach of the disclosing Party's obligations hereunder, known to the public, (ii) to the extent that the other Party shall have consented in writing prior to any such disclosure and (iii) by NYSEG to any governmental authority exercising jurisdiction over NYSEG or this Settlement Agreement; row, further, that in connection with any disclosure to the PSC, NYSEG shall request the PSC to protect the confidentiality of the confidential or proprietary portions of this Settlement Agreement from further disclosure by the PSC, through protective order or other measures authorized by the PSC, and the Customer shall take reasonable steps to support such efforts. 7. NYSEG and the Customer each hereby represent and warrant to the other that: (a) Each is an entity duly organized, validly existing and in good standing under the laws of its jurisdiction of organization. (b) Each has full power and authority to carry on its business as now being conducted and to enter into this Settlement Agreement. The execution, delivery and the performance of this Settlement Agreement have been duly authorized by all necessary action and do not and will not contravene its organizational documents or corporate or municipal policies or conflict with, result in a breach of, or entitle either Party (with due notice or lapse of time or both) to terminate, accelerate or declare a default under, any agreement or instrument to which it is a Party or by which it is bound. The execution, delivery and performance by each Party of this Settlement Agreement will not result in any violation by such Party of any law, any order or any court or other agency of government, rule or regulation applicable to such Party. Neither Party is subject to or bound by, any judgment, injunction or decree of any court or other governmental or municipal authority which may restrict or interfere with the performance of this Settlement Agreement. (c) Each Party has (i) read and fully understands this Settlement Agreement, and (ii) consulted with counsel to the extent deemed necessary prior to the execution and delivery of this Settlement Agreement by such Party. 8. This Settlement Agreement shall be governed by and construed in accordance with the laws of the State of New York, without reference to its principles of conflicts of law. 9. This Settlement Agreement may be executed in any number of counterparts, all of which taken together shall constitute one and the same instrument. 10. This Settlement Agreement may not be amended, supplemented or otherwise modified, and no provision of this Settlement Agreement may be waived, except by a written instrument signed by each of the Parties hereto. 11. This Settlement Agreement shall be binding upon, and inure to the benefit of, each of the Parties hereto and its predecessors in interest, successors and assigns. Notwithstanding the first sentence of this paragraph 11, neither Party may assign or transfer any of its rights or obligations under this Settlement Agreement without the prior written consent of the other Party. 12. All notices and other communications under this Settlement Agreement shall be in writing and may be sent by telecopier or generally accepted electronic means, a nationally recognized overnight courier service, first class mail or hand delivered, addressed as follows: IF TO NYSEG: IF TO CUSTOMER Notices: Notices: New York State Electric & Gas Corporation Corporate Drive Kirkwood Industrial Park Binghamton, New York 13902 Attn: Corporate Marketing & Sales David Gridley Phone: Phone: (607) 762-4262 Fax: Fax: (607) 762-8402 With a copy to: William J. Cronin, Esq. Huber Lawrence & Abell 605 Third Avenue New York, New York 10158 Phone: (212) 455-5506 Fax: (212) 661-5759 13. This Settlement Agreement constitutes the entire agreement of the Parties in connection with street lighting services provided by NYSEG to the Customer and in connection with all claims that have been raised by Customer relating to street lighting services provided. by NYSEG to Customer from the commencement of such services through and including July 31, 2000. Any prior communications by the Parties, whether written or oral, pertaining to or made in connection with this Settlement Agreement shall have no binding force and effect. 14. No provision of this Settlement Agreement shall be deemed waived by either Party unless in writing signed by the Party granting the waiver. 15. Notwithstanding any provision that could be construed to the contrary herein, neither Party shall in any event be liable for any indirect, punitive, exemplary, incidental or consequential damages under or in connection with such Party's performance of this Settlement Agreement or any of the transactions contemplated hereby or thereby. 16. This agreement is a negotiated settlement agreement, and the resolution of the issues or the manner in which such issues were resolved shall have no precedential effect with respect to any future issues relating to street lighting services. Neither this Settlement Agreement nor anything contained herein, nor any action taken by the Parties in performance of their obligations hereunder, shall be construed as evidence of the validity of any claim asserted by any Party, nor an admission of the same by any Party. IN WITNESS WHEREOF, each of the undersigned has caused this Settlement Agreement to be duly executed by its duly authorized representatives on and as of the date first above written. NEW YORK STATE ELECTRIC & GAS CORPORATION By: Name: Title: City of Ithaca By: Name: Title: 6-11 Finance/Controller - A Resolution of the City of Ithaca, Providing for executions of an agreement for natural gas supply pursuant to public bid conducted by the Municipal Electric and Gas Alliance as the Consultant of the City of Ithaca The Common Council of the City of Ithaca hereby resolves as follows : That the office of the Mayor is hereby authorized and directed to execute and deliver to the NYSEG Solutions Inc . an Agreement for natural gas supply service, a copy of which is attached hereto and made a part hereof, and be it further RESOLVED, That the conditions, price, duration and term, purpose and objective, manner and extent of payments, organizational structure and manner in which personal property shall be acquired, managed and disposed of, are set forth in the attached Agreement, and be it further RESOLVED, That the City of Ithaca may participate in the cooperative agreements to procure services and products described in such Agreement, and that the Mayor is hereby authorized and directed to execute such agreements whenever necessary and appropriate. I G/CJ:)/LGG.:i G4:Z)J bG f b,74J3 JU WJ.LLIkIl MALLll-r, riiVC GL !� NATURAL GAS SALES AGRE MENT Subject to the terms and conditions set b1h on the face and reverse side of this dowment,NYSE Sol utiona, Inc.fSeller'),a New York Cotpo*on,and Ctty of Ithaca (Buyen,a municipal corporation On gtate) New York _ [Insert legal type of business-corporabon,pm&*rWP,sole PmPd@b(sNA efr~),hereby as follows: x Price: $27,6619 oer dth from November 1,2003 tfxough Octobe,31, 2004 and$1.75 per dlh plus NYMEX and losses from November 1,2004 through October 31,2W5. Buyi w shall retain the right to trigger a fixed price for the remaining term of this agrearnent. Term: November 1,2003 to October 31,2005 Natural Gas Delhrery Interconnection between Buyers local utility company and the interstate pipeline designated by Buyers local Polm(s): utility company Witti the execution of this Natural Gas Sales Agreement, Buyer agrees to submit copies of the wo most recent local utility company teas bills for each meter at Buyer's Facifity(m),and a copy of Buyers Tax Exemption Certificate,if applicabi _ Buyer further agrees to execute all agreements and documents required by Buyer's local utility company which Seller is not authorized to a on behalf of Buyer. Executed and Agreed to this 14 th day of October ,2003 : lure Sigrature Type or print row-. Atari J Cohen Charles J. Schaft Title: Mayor Director ReWl Pricing Billing Nana City of Ithaca NIA Billing Street Address: 108 E Green St 81 State Street Billing City,State,Zip Itlaac+:t,NY 14850 Binghamton,NY 13901 County Tompkins Broome Telephone: W—W 607-274-6577 (900)567-6520 Fax 607-272-7348 (607)721-1719 Ac=mbng Contact: Scott Andrew N/A Bank Name: Tompkins Trust Company M&T Bank of NY ABA#: 022000046 Account#: various 017371477 Fedora!Tax ID: 15-6000407 16-1554150 Duns#: 02-780-7523 24 Hour Contact Name: Gas Control 24 Hour Contact Phone: (713)498-2967 24 Hour Fax Number. (713)626.2604 10/14/03 TUE 09:54 ITX/RX NO 64461 0 002 1 V(UJ/ LCIV.J VY.JJ VV(VJJYJ JV Y/1 LLt MI'1 YVI"ILL luf\ I !"IVL - NATURAL GAS SALES AG MENT Name Add esss Loc4 l!tlW Company Act 11 9 of MONs 1)Gary or Iowa See Attached NYSE4 064301801970000 2) 07430 00405007 3) 07430'700335006 4) 17430'801379019 5) 16430'700040003 6) 17430 800240006 7) 15430 700600006 8) 15430 700430008 9) 86430 301040009 10) 401820008 11) 17 800060008 12) 17 1801360002 13) 61 170005 14) 1400195019 15) 1400216011 16) 9i4#MMM 17) 1 1701160001 18) 1 1700070002 19) 20) 21) 22) 23) 24) 25) 26) 27) 28) 10/14/03 TUE 09.54 [TX/RX NO 64461 003 10/14/2003 City of Ithaca- NYSEG Solutions Account Numbers 2003 11:12 AM _NYSEG Solutions Account# LDC Account# Address I 2000137 914300600320005 Fire Dept 965 Danby Road 2000138 104301701160001 Fire Dept 309 College Ave No. 9 2000139 154301700600006 Fire Dept 310 West Green St. -Central 2000140 614300800170005 IFD West Hill-Station 6 2000142 154301700430008 IPD/Court- 120 E. Clinton St 2000143 064301801970000 City Hall- 108 E. Green St. 2000144 174301801379019 DPW-Willow Ave Garage 2000145 164301700040003 Youth Bureau 1 James L Gibbs Drive 2000146 074301700335006 Youth Bureau -Cass Park 2000147 174301800240006 GIAC -318 N.Albany St. 2000148 864301301040009 400 N.Albany St. 2000149 544301400216011 Golf Course Maint Bldg Pier Rd Shop 2000150 844301401820008 DPW 305 S Plain St. SS Comm Center 2000151 534301400195019 Water/Sewer 600 First St 2000152 174301800060008 Water/Sewer 510 First St 2000154 074301700405007 Cliff Street/Vinegar Hill Tank 2000155 154301700070002 (Water/Sewer Filter Plant 202 Water St 2000156 174301801350002 IAWWTP-525 Third St. City of Ithaca The Power of Partners MUNICIPAL ELECTRIC&GAS ALLIANCE A Local Development Corporation P.O. Box 88 • Ithaca,New York 14851 Phone: 1-866-320-MEGA(6342) http://www.megaenergy.org DATE: September 29,2003 TO: Municipal Electric and Gas Alliance Participants—MUNICIPAL CUSTOMERS SUBJECT: Natural Gas Bid Endorsement FOR EWgEDIATE ACTION We are pleased to announce that the Municipal Electric and Gas Alliance (MEGA) has designated NYSEG Solutions, Inc. (NSI) of Binghamton, NY, as its "preferred supplier" for natural gas sales to Alliance participants for the coming two years. The bid we have accepted from NSI for the coming two years promises price stability to our participants. In September,MEGA concluded a competitive bid process, in conformance with public bidding requirements. NSI submitted the low qualified bid, and we are confident the pricing approach we recommend will help you to control your energy budget in the coming term. This letter is to describe NSI offer. Enclosed is an agreement for you to execute with NSI. If you are already an NSI customer through MEGA, your existing agreement expires within a few weeks, so the time to act on this proposal is now. For new MEGA participants not already with NSI,please review the agreement promptly,to take best advantage of NSI's bid proposal. Here are the key elements and the choices you have: Fixed or Variable In NSI's offer, you will note that you have two pricing options to choose from, both of which are acceptable to MEGA: a variable price option and a fixed price option. We recommend the fixed price option for the November 1,2003 through October 31,2004 period,based on today's market conditions,for participants in MEGA,especially municipalities who have budgets to consider and those who do not want to risk potentially very high prices this winter. If prices decline significantly during these first 12 months after you have locked in,you have the option of re-locking at the lower price for the final 12 months (i.e. November 1, 2004 through October 31,2005 period) of the agreement. Therefore, even though you may lock in now (which is recommended) your price can only go down from there,not up. If and when market conditions warrant re-locking your price,we will so advise you, and you will be able to readily obtain a new price for your gas commodity service. Commodity Price Set Daily Your price for the commodity portion of your service will be set on the day you execute your agreement with NSI. If you must approve the contract at a coming board meeting, please be aware that the final pricing will not be set until the day your agreement is actually executed. This has been industry practice for some time, and our MEGA customers have handled this smoothly in the past. Supplier's Fixed Basis Our award and recommendation of NSI is based upon their bid for a second component of your gas supply service, the supplier's "fixed basis," i.e. their charge for getting natural gas to your "city gate" from the market hub in NSI's bid was about 30 cents per dekathenn below the next bidder. NSI's bid price will remain in effect for contracts executed prior to November 1,2003. After November 1, the basis price may vary slightly from the bid,based on market conditions. NSI's bid price of$1.76/dekatherm for most MEGA customers is below the previous contract's basis of $2.09,reflecting the growing buying strength of MEGA. Again, your prompt action on the NSI offer will assure price stability for your gas service for the coming two years,with the possibility that if market prices retreat,you will be able to lock in even lower rates. Billing: You will receive a separate bill from NSI for gas supply. NYSEG will bill you for delivery. We hope that before long, State Public Service Commission rules will allow for a single,unified billing system. Term: If you accept the agreement with NSI, you will be committed to NSI's gas supply service and receive attendant savings for two years beginning on your next meter read date and lasting into your meter reading of October 2005. Before the agreement is up in October 2005,the Alliance will again procure a new gas supply arrangement. No interruption: The transition from utility or supplier service to NSI will be seamless. How we chose NYSEG Solutions,Inc. NSI was chosen after a competitive bidding process in which several suppliers were solicited, and two bids were submitted. NSI's was satisfactory, and the company's financial and other background, as well as its experience serving MEGA customers over five years,allows us to confidently recommend them to you. What you should do now We recommend that you sign the NSI agreement after selecting the pricing option you pre fer. We are pleased that with the growing strength of the Alliance, we have been able to attract competitors wishing to serve our participants. If you agree to NSI's offer, then all you need to do is execute and return the agreement to NSI. Municipalities may have to approve an enabling resolution. Past Savings Most customers will find that commodity prices have risen significantly since 2001, the last time MEGA offers were extended. The result has been that customers who chose a fixed price in late 2001 have saved significantly since that time, compared to market prices. See NSI's letter for details. While today's market prices are higher, securing a fixed price today will assure that you are in a good position to weather any volatility this winter. Your purchasing power, added with that of dozens of municipalities, six counties and hundreds of non-municipal customers,has given us a strong position in the marketplace.We look forward to continuing to bring you savings through the Alliance's programs. If you have any questions about this offer or the Alliance program, please feel free to contact our consultants, Gordon Boyd and Gene Salerni, at 518-580-9244. You can also contact NSI's customer service staff at the telephone numbers shown in their letter. Sin rely, Stuart W. Stein,President Executive Director Member Counties:Broome, Cortland, Otsego, Schuyler, Tioga, Tompkins afof� 2053 FA Q, &7h--0 D-r", t.7�..5 - C,4 L�' (ID i n 166, 0-1J 7C Violation City of Ithaca Cornell Ithaca College No Parking Zone $15 $25 $30 Fire Hydrant, Fire Lane $20 $50 $40 Handicap Space $80,$105,$130 $50 $100 Violation of Posted Regulation,Truck $15 $25 $35 Zone, Taxi Stand, Bus Stop, School Zone Parkin; on Yard/ grounds $20,$30,$50 $40 Parking sidewalk, & between curb and $15 $40 walk Overtime on meter $10 $12 Permit Violation (Overnight Ramp, $15 $25 $20 Parking Lot, etc) Parked the wrong way $10 $50 Taking up 2 spaces $25 Blocking the flow of traffic/ Double Park $15 $35 Private Property $15 Blocking a Driveway $20 Overnight Odd/Even $10 Within 20' of Crosswalk $20 Revenue increases Prohibited Zone fines FY02 - 6762 tickets issued $10 increase in fine - $67,620 bW Carousel fee 25¢ increase per ride - $5000 R43 Tree permit fee 100 permits at $30 - $3000 Parking tickets FY02 - 19250 tickets issued $5 increase for 'second' offenses (15,000) - $75,000 (includes odd-even, overtime for meters and zones) ,v CITY OF ITHACA--UNRESTRICTED/RESTRICTED CONTINGENCY ACCOUNT SUMMARY 2003 A1990 UNRESTRICTED CONTINGENCY BALANCE UNRESTRICTED CONTINGENCY 10/29/03 $70.618.00 RESTRICTED CONTINGENCY Salary Increase for Management near retirement Council $3,741.00 Funds for Clerks Office Stipends for new records positions Council $0.00 Funds for layoffs related to 2003 Budget to 2/1/03 Council $34,569.00 Council $0.00 Council $0.00 Council $0.00 Council $0.00 Work Environment Task Force Po100900 A1430-5700 Council $18,400.00 BALANCE RESTRICTED CONTINGENCY 10/29/03 BALANCE UNRESTRICTED/RESTRICTED CONTINGENCY 10/29/03 $127.328.00 Nov COUNCIL POSSIBLE RESOLUTIONS: Salary increase and title reclassification for Principal Account Clerk HR item $1,310.00 $0.00 $0.00 $0.00 $0.00 $0.00 _ $0.00 0.00 QO Balance Unrestricted Contingency after Nov Possible Resolutions CITY OF ITHACA--UNRESTRICTED/RESTRICTED CONTINGENCY ACCOUNT ACTIVITY 2003 10/29/2003 COUNCIL j TYPE OF CONTINGENCY I _ ACCOUNT MONTH AMOUNT F CONTINGENCY TITLE DESCRIPTION TRANSFERRED TO Jan-03 No Activity Feb-03 No Activity Mar-03 No Activity Apr-03 $3,439.00 UNRESTRICTED To fund repairs to the Alex Haley Pool A7311-5476-1102 $0.00 UNRESTRICTED $0.00 UNRESTRICTED May-03 $3,000.00 UNRESTRICTED To fund citizen Pruners for 2003 A7111-5435 $0.00 $0.00 Jun-03 $1,375.00 RESTRICTED CC To fund stipend for new information management specialist sitions/clerks office A1316-5110 $0.00 Jul-03 No Activity $0.00 $0.00 Aug-03 $7,150.00 UNRESTRICTED To fund stand pipe repair at Dryden Rd Garage A5654-5480 $0.00 $0.00 $0.00 $0.00 $0.00 Sep-03 $4,000.00 RESTRICTED Council To fund Work Environment Task Force intem to work on projects A1430-5120 $1,259.00 RESTRICTED Council To fund Dep Police Chief Barnes salary increase before retirement A3120-5105 Oct-03 $5,793.00 UNRESTRICTED To fund salary increases for engineers A1490-5110 Nov-03 $0.00 UNRESTRICTED $0.00 RESTRICTED Council $0.00 RESTRICTED $0.00 RESTRICTED Council $0.00 $0.00 _ Dec-03 $0.00 RESTRICTED Council $0.00 RESTRICTED Council $0.00 SUMMARY AMOUNT UNRESTRICTED CONTINGENCY $19,382.00 RESTRICTED CONTINGENCY 6 634.00 TOTAL Amendment to Personnel Roster - City Controller' s Office WHEREAS, the Payroll Coordinator retired in December 2000 , and WHEREAS, the position of Payroll Coordinator was downgraded to Principal Account Clerk to allow for the training and development of another employee into the role, and WHEREAS, the training process has been completed and the incumbent has assumed the full responsibilities of the Payroll Coordinator position, and WHEREAS, the Civil Service Commission approved the reclassification of the position of Principal Account Clerk to Payroll Coordinator on September 4 , 2003 , to reflect the permanent and material change in the duties of the position; now, therefore, be it RESOLVED, That the personnel roster of the City Controller' s Office be amended as follows : Add: One (1) Payroll Coordinator (Confidential Compensation Plan, Grade 3) Delete : One (1) Principal Account Clerk (CSEA Administrative Unit, Grade 9) and be it further RESOLVED, That the reclassification includes an eight percent salary increase to a new 2003 annual salary of $24 , 302 retroactive to April 10, 2003 , and be it further RESOLVED, That the payroll adjustment needed of $1, 310 . 32 shall be derived by the transfer of funds from account A1990 Unrestricted Contingency to account A1315-5110 Staff Salaries .