MINUTES
COUNCIL OF COLUMBUS, GEORGIA
WORKSESSION
AUGUST 30, 2011
The regular weekly meeting of the Council of Columbus, Georgia was called
to order at 9:00 A.M., Tuesday, August 30, 2011, on the Plaza Level of the
Government Center, Columbus, Georgia. Honorable Teresa Pike Tomlinson, Mayor,
and Evelyn Turner Pugh, Mayor Pro Tem, presiding.
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PRESENT: Present other than Mayor Tomlinson and Mayor Pro Tem EvelynTurner Pugh
were Councilors R. Gary Allen, Mike Baker, Jerry Barnes, Glenn Davis, Berry H.
Henderson, Bruce Huff, Charles E. McDaniel, Jr., and Judy Thomas . City Manager
Isaiah Hugley, City Attorney Clifton Fay, Clerk of Council Tiny B. Washington
and Deputy Clerk of Council Sandra Davis were also present.
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ABSENT: Councilor Evelyn Woodson was absent.
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INVOCATION: Offered by Reverend Ernestine Mathis, Pastor - Unitarian
Universalist Fellowship of North Columbus.
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PLEDGE: Led by Mayor Tomlinson.
NOTE: See below for the Pledge from the students of Eagle Ridge
Elementary
School that arrived later in the meeting.
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COUNCILOR WOODSON?S ABSENCE:
Mayor Tomlinson said that Councilor Woodson has been quiet ill and said
that she has been ill for some time now. She said she has phenomena and
larnagylis and is down and out. She said she would ask us all to think of her
in this prayer today and pray that she recovers stronger than ever.
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DEATH OF MRS. FRANCIS STEED:
Councilor McDaniel said that Mrs. Francis Steed died on last week and said
she was the heart and soul of that division, which she really loved. He said
that she had worked for the Animal Control Division for approximately 25 years.
He said he would like to call for a resolution expressing the Council?s
condolences.
Mayor Tomlinson said that we have a motion by Councilor McDaniel to call
for a resolution to honor Mrs. Steed and a second by Councilor Barnes and said
all in favor; which carried unanimously by those eight members of Council
present at the time, with Councilor Huff being absent for this vote and
Councilor Woodson being absent from the meeting.
CONSENT AGENDA:
THE FOLLOWING ORDINANCE WAS SUBMITTED AND EXPLAINED BY CITY ATTORNEY FAY
AND ADOPTED BY THE COUNCIL ON SECOND READING:__________________________________
An Ordinance (11-45) - Amending the Columbus Code by deleting Section
13-113 (a) in its entirety and substituting a new Sub-Section defining weeds;
and for other purposes. Councilor Henderson moved the adoption of the
ordinance. Seconded by Councilor Allen and carried unanimously by those eight
members of Council present at the time, with Councilor Huff being absent for
this vote and Councilor Woodson being absent from the meeting.
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THE FOLLOWING NEW ZONING PETITION, RECOMMENDED FOR APPROVAL BY BOTH THE
PLANNING ADVISORY COMMISSION AND THE PLANNING DEPARTMENT WAS SUBMITTED AND AN
ORDINANCE AND PUBLIC HEARING WAS CALLED FOR BY COUNCILOR MCDANIEL:________
Petition submitted by Wynning Properties, LLC, to rezone 1.65 acres of
property located at 1660-1716 Elvan Avenue from SFR3 (Single Family Residential
3) to RMF1 (Residential Multi-Family 1). (17-A-11-Wynning Properties, LLC)
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EXECUTIVE SESSION:
City Attorney Fay said we need a short executive session after today?s
meeting to discuss a personnel matter.
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WORK SESSION:
MUSCOGEE MANOR BOND ISSUE GUARANTEE REQUEST:
Mr. Frank Morast, Administrator of the Muscogee Manor came forward and
made a presentation regarding their request for a bond issue for Muscogee Manor
Nursing facility. He said he would like to thank everyone for their time and he
appreciates the due diligence that everyone ahs given in this process.
He said they have been located on Manor Road off of Schatulga Road since
their inception and have done quiet well. He said many years ago in their
long-range plans, they purchased approximately 28 acres of property at the
north-east intersection of the Williams Road for the purpose of future
relocating their facility. He said they have continued to strengthen their
financial position.
He said they are planning on building a 242-bed skilled nursing facility
at that intersection. He said this new facility will be built embracing the new
property reimbursement system for nursing homes by the State of Georgia called
?Fair Rental Value System.? He said it has just been implemented; and it was a
methodology to properly reimburse skilled nursing facilities for property. He
said at their current location when it was implemented, their daily
reimbursement for patient per day went from approximately $5.00 per day to
$9.00 per day. He said the reason it went up is because they have taken very
good care of their current location. He said under that fair rental value
system based on the property they have purchased, the expected amount of
construction costs and the amount of capital that have put into the building
under furniture, fixture and equipment budget, they will be looking at
approximately $25.00 per patient day for property reimbursement. He said with
the growth in property reimbursement, with the past operating profits of the
center, they feel that there will not be much risk in doing a bond issue;
especially if you would look at their reserves and see even if there are
several years of not being able to meet it they will be able to pay that out of
pocket, whether they set up a bond reserve fund or not; whatever will suit the
Columbus Consolidated Government.
Mr. Morast said in additional to that there is what he considered several
hundred thousand dollars worth of discrepancies in their financials that would
be above and beyond the first fact sheet that was submitted to the City. He
said for many years they have average a capital budget of over $200,000.
After the conclusion of his presentation, Mr. Morast then responded to
several questions of members of the Council. Members of the Council also
expressed some comments regarding this request.
City Manager Hugley then pointed out the following facts with regards to
this request of Muscogee Manor?s request.
Columbus Consolidated Government Bond Ratings
Moody?s ?Aa2?
Standard & Poor?s ?AA+?
Total net debt applicable to the limit as a percentage of debt limit = 0.00%
Note: Columbus Building Authority Lease Revenue Bonds do not apply to the
legal debt margin
Under the state finance law, the Columbus Consolidated Government?s general
obligation debt should not exceed 10% of the total assessed property value.
2010 Limit = $452,809,780
Current General Obligation Bonds = $0
According to our financial adviser, Robert Morrison, Government Funding
Advisory Associates, the guarantee of this bond issue is not expected to have a
negative impact on Columbus?s credit rating or the proposed 2nd phase bond
issue in 2012.
On August 5, 2011, Standard & Poor?s Ratings Services lowered its long-term
rating on the sovereign debt of the United States of America to ?AA+?. This
action has not affected the Columbus Consolidated Government?s credit rating.
CCG Statement of Net Assets as of June 30, 2010, Hospital Authority of Columbus
(Muscogee Manor) had Unrestricted Net Assets of $13.57 million with a strong
cash position and no long-term debt.
After City Manager Hugley concluded his comments, he then read the caption
of the Resolution, which is outlined below and said that we would be bringing
back this resolution on the second Tuesday of the month for the Council?s
action:
A RESOLUTION OF THE HOSPITAL AUTHORITY OF COLUMBUS, GEORGIA (THE
?AUTHORITY?) REQUESTING THAT THE COUNCIL OF COLUMBUS, GEORGIA (THE ?COUNCIL?),
THE GOVERNING BODY OF THE CONSOLIDATED GOVERNMENT OF COLUMBUS, GEORGIA
(?COLUMBUS?) ENTER INTO AN INTERGOVERNMENTAL CONTRACT WITH THE AUTHORITY TO
PROVIDE ADDITIONAL SECURITY FOR THE PAYMENT OF THE AUTHORITY?S REVENUE
ANTICIPATION CERTIFICATES, SERIES 2011, THE PROCEEDS FROM WHICH SHALL BE USED
TO ACQUIRE, CONSTRUCT AND EQUIP A NEW MUSCOGEE MANOR AND REHABILITATION CENTER
TO BE OWNED AND OPERATED BY THE AUTHORITY; TO DECLARE THE OFFICIAL INTENT OF
THE AUTHORITY TO ISSUE SAID SERIES 2011 CERTIFICATES; TO AUTHORIZE THE
PREPARATION AND DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT AND TO
AUTHORIZE THE EXECUTION OF A FINAL OFFICIAL STATEMENT; TO AUTHORIZE THE PROPER
OFFICERS AND AGENTS TO PREPARE AND EXECUTE VARIOUS DOCUMENTS RELATING TO THE
ISSUANCE OF SAID SERIES 2011 CERTIFICATES; AND FOR OTHER PURPOSES.
City Attorney Fay said we will have the resolution listed on Agenda for
the September 13th meeting for this $35 million bond project, which will be a
formal bond resolution. He said they will coordinate that with Attorney Mize
and get it on the Council table.
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PLEDGE: With those students of Eagle Ridge Elementary School now being
present in the Council Chambers, Mayor Tomlinson called them forward to recite
the pledge.
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COLUMBUS LAND BANK AUTHORITY:
Mr. Justin Krieg, Chairman of the Land Bank Authority said since they have
had about 10 months now since the board has been re-activated, they wanted to
come before the Council to give you an update as to where their actions have
been lately. He said he has included some information, which gives a basic
overview of who we are as a Land Bank and how we operation.
He said the Columbus Land Bank Authority has not been active for a few
years now; however, said we had a group of concerned citizens, the Mayor being
one of them that wanted to find ways to best address vacant and abandoned
properties in our city and improve our community. He said through these
investigations, they found that the Land Bank was a good option for local
governments to take advantage of to compabate the issue of abandoned and vacant
property. He said the Mayor & Council has appointed four new board members,
which are dictated by State Statue.
Mr. Krieg then went into much detail outlining the information submitted
to the Council, as outlined below as to what the specific responsibility of the
Land Bank Authority is.
What is the Land Bank Authority?
The Columbus Land Bank Authority (CLBA) is organized under the laws of the
State of Georgia for the public purpose of returning non-tax generating
properties to a productive use. The CLBA is formed through an ordinance of the
Columbus Consolidated Government.
The Land Bank Authority was created to acquire tax delinquent property,
extinguish taxes owed on the property, and convey the property to an
appropriate entity pursuant to state law. In fulfilling its purpose, the Land
Bank Authority may extinguish all or part of the delinquent taxes that are owed
to the City. The Authority may also request that School Board taxes be
forgiven and that the City may waive any special assessments that may exist on
a property.
The Authority cannot extinguish any other liens against property such as water
or sewer bills or liens, journeyman?s liens or mechanics man?s liens. Federal
tax liens cannot be waived.
What is the objective of the Land Bank Authority?
The objective of the Land Bank Authority is to work in a collaborative
effort with the Columbus Consolidated Government in the implementation of
community and economic development; specifically providing lad to be used in
the production of housing and creation of jobs for low to moderate income
citizens through residential, commercial and industrial development.
How is property acquired by the Land Bank Authority?
Property may be acquired in several ways:
1. Property may be acquired in Target Areas identified for redevelopment by the
City, County, or Developer (Non-profit or Private).
2. Property may be donated from a tax delinquent owner or developer.
3. Property may be purchased from a tax delinquent owner or developer.
4. Property may be conveyed by the Columbus Consolidated Government in
connection with a tax foreclosure.
5. Property may be bid upon by the Land Bank Authority at a tax foreclosure.
6. The Land Bank Authority may request a judicial foreclosure (as approved by
City Council) on property that is tax delinquent for a period of at least 12
months and then bid on the property at the foreclosure.
How does the Land Bank Authority dispose of property?
The Land Bank Authority must identify a responsible developer for the
property. First preference is given to non-profit developers of affordable
housing. Preference is as follows:
1. Non-profit entities for production or rehabilitation of housing for low
income citizens.
2. Other entities for production or rehabilitation of housing for low income
citizens.
3. Community improvement projects.
4. For profit and commercial developers.
How does the Land Bank Authority forgive taxes?
The Columbus Land Bank Authority receives a Developer?s Package which
outlines the proposed development project. The Land Bank Authority will review
the package to ensure that the proposed project meets the criteria for
development and that the project is the best possible use of the property. The
Land Bank Authority Chairman then makes a recommendation to the Board of
Directors.
The proposed development is recommended to the Board of Directors and once
approved:
1. The Delinquent taxes are forgiven and the property is conveyed to the
developer by Resolution.
2. An agreement for Sale & Disposition of Land is signed by the Land Bank
Authority and the Developer. This legal agreement defines the terms and
condition of the development project.
3. The Authority has the discretion to determine this time period for
commencement of rehabilitation or construction up to thirty-six (36) months
from the signing of the Agreement. The developer becomes responsible for
property and payment of property taxes upon conveyance of the property to the
developer.
4. The project must be completed within twelve (12) months from the date that
construction commences.
5. Once the development project is complete the Land Bank Authority will issue
a Certificate of Completion.
6. If the development is not completed according to the Agreement within the
specified time period, the property will revert back to the Land Bank Authority
and the property taxes will be reinstated.
The Columbus Land Bank Authority (CLBA) meets the first Wednesday of each
month. Please contact Mark McCollum, Department of Community Reinvestment,
706-653-4613, to verify the date and time of the Board Meetings. Prior to
petitioning the Board for properties, Developers must submit all the required
information that follows.
Developer?s Submission Packet
Land Bank Authority Petitioning Requirements
The packet must include the following information:
Developer Profile
Developers must provide a profile of their organization when petitioning a
property to the Land Bank Authority for the first time. This profile should
provide development experience as well as a summary of the organization?s
mission.
Development Proposal
Developers must submit a development proposal specifying the proposed type of
development as well as the estimated ground breaking and construction time.
Funding Commitment Letter
Developers must have their funding secured before petitioning property to the
LBA Board. Developers must provide a funding commitment letter describing how
the proposed project will be funded. Support documentation such as a financial
report or a grant commitment letter must be attached to this information.
Development Cost Estimate
Developers must estimate the total cost of the development, of which includes
the purchase price, site development costs, legal costs, and construction
costs. Please use the attached ?Development Cost Estimate Worksheet? to
calculate the total development cost.
Property Photographs
Five copies of a color photographs depicting the properties in question must be
included in the Board Request Packet. Each picture must be labeled with the
property address and date taken.
Title Report
An examination of the title to the property must be conducted prior to Board
Consideration.
If you have any questions concerning the above requirements, please contact the
Columbus Land Bank Authority. We will be happy to meet with you prior to your
submitting the package and assist you in preparing a petition for forgiveness
of delinquent property taxes.
After highlighting the information regarding the Land Bank Authority, Mr.
Krieg said the problem that they have is when they want to get property through
a tax foreclosure process that you don?t really have the ability to take
advantage of. He said it is something through State Legislation that the Land
Bank Authorities are granted the authority to practice what is called End Ram
Tax Foreclosure. He said the tax foreclosure process right now is a
non-judicial process and it takes a lot of time and there are a lot of
notifications required by law. He said thee is also a 12-month period right of
redemption for anybody that has interest in the property. He said once you go
through the foreclosure process, anyone who has a significant interest in the
property can grab that piece of property. He said you are never the complete
owner of the property until that 12-month period has expired.
Mr. Krieg then went into some details in explaining the difference in the
non judicial foreclosure process that the City has now and the End Rem
Foreclosure process that the Land Bank Authority is able to do with your
blessing is significantly shorten that notification period. He said it is
really going after property that has sat vacant for a number of years.
After the conclusion of his presentation, Mr. Krieg then responded to
questions of members of the Council.
Mayor Tomlinson also responded to a question of Councilor Davis with
respect to the $50,000 funding that was budgeted for the Land Bank Authority.
She said the Land Bank Authorities do end up paying for themselves.
She said if Mr. Krieg is serious about this End Rem Foreclosure proposal,
he needs to get it in writing and get it before them so that they can begin to
review it and ask questions.
City Attorney Fay said they have look at one draft of the End Rem
Foreclosure amendment and said he would be glad to coordinate that with Mr.
Krieg and other interested parties, Mr. Henson who wants to have a dynamic
working Land Bank. He said the nice thing about a Land Bank is that you are not
limited to one Enterprise Zone, one particular area of time, but said it can be
used countywide, but said one of the problems is going to be funding;
hopefully, some of the CDBG money can be used as a seed for this effort. He
said he will be happy to work with Mr. Krieg and others on getting an ordinance
on the table after the Council has had an opportunity to look at everything.
After further discussion on this subject matter, Councilor Allen said he
would like for the City Manager and the staff to get together with our legal
staff to do some research and determine whether or not we can maximize the
stimulus funding we receive; and possible use them for our Land Bank Authority.
Mayor Tomlinson said she would also ask to see if we can determine whether
or not other communities have used such funding for their Land Bank
Authorities.
After more than an hour of discussion on this matter, this presentation was
concluded.
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MAYOJ PROJECTS UPDATE:
Deputy City Manager Arrington then came forward and gave an update on each
of these projects, which are outlined below.
6th Avenue Flood Abatement
Rails to Trails- Fall Line Trace
Oxbow Meadows Park
Recycling/Sustainability Center
Citizens Service Center
Veterans Parkway Streetscape
14th Street Pedestrian Bridge
Transportation Projects (local)
Transportation Projects (DOT)
Projects completed in 2011
Mr. Arrington pointed out that a summary of each of these projects were
provided to each of the members of the Council in their Agenda packets.
Deputy City Manager Arrington said additional funds will be spent above
what has been budgeted for these projects.
Mr. Arrington responded to several questions of Mayor Pro Tem Turner Pugh
and other members of the Council with respect to the change in the completion
dates for some of the projects outlined in the list.
Mayor Pro Tem Turner Pugh said with respect to transportation projects, in
the future whenever dates of proposed completion for these projects changes,
let?s make sure that our staff goes back and inform the public of the new
proposed dates, as well as to inform them of why the changes have been made.
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STIMULUS UPDATE:
Deputy City Manager Lisa Goodwin also came forward and gave an update on
the Stimulus projects.
Various Projects
?METRA $2.7M
?Workforce Investment Act
? $3M
?Homeless Prevention and Rapid Re-Housing
?$740,907
?Neighborhood Revitalization:
?$484,489
Sheriff?s Office
?$44,175
?Victim Witness $40,000
?Court Related Activities
?$666,990
?Circuit Wide Grant
?$267,000
Transportation Projects
$2.4M
Veterans? Parkway
$3.35M
Transportation Projects I-185 @ Victory Dr. Gateway Improvement
$2M
Additional Projects
?Intelligent Transportation System
?$1.8M
?EECBG Project
?$1.8M
?Columbus-Phenix City MPO
?$6.6M (14th Street Bridge)
(Gateway Project)
(Veterans Parkway)
Total Economic Stimulus/ARRA Funds Confirmed $20,148,469
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EXECUTIVE SESSION:
Regarding an earlier request of City Attorney Fay to go into an executive
session to discuss a personnel matter, Mayor Pro Tem Turner Pugh made a motion
to allow the Council to go into executive session to discuss a personnel
matter. Seconded by Councilor Thomas and carried unanimously by those nine
members of Council present for this meeting, with Councilor Woodson being
absent.
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At 11:23 a.m. the meeting was called back to order at which time Mayor
Tomlinson pointed out that the Council met in an executive session, but there
was no votes taken.
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With there being no other business to come before this Council, Councilor
Barnes then made a motion to adjourn. Seconded by Councilor Allen and carried
unanimously by those nine members of Council present, with Councilor Woodson
being absent and the time being 11:26 a.m.
Tiny B. Washington, CMC
Clerk of Council
Council of Columbus, Georgia
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