FRUITA CITY COUNCIL REGULAR MEETING SEPTEMBER 20, :00 PM

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1 Fruita City Council Minutes 1 FRUITA CITY COUNCIL REGULAR MEETING SEPTEMBER 20, :00 PM 1. CALL TO ORDER AND ROLL CALL The regular meeting of the Fruita City Council was called to order by Mayor Adams at 7:00 PM. Council members present Ken Dodgion, Dave Karisny Mel Mulder and Bill Tallon. Councilman Kohls and Councilwoman Merling were excused absent. 2. INVOCATION AND PLEDGE OF ALLEGIANCE The invocation was given by Councilman Dodgion and the Pledge of Allegiance was led by Councilman Karisny. 3. AGENDA - ADOPT AMEND COUNCILMAN KARISNY MOVED TO ADOPT THE AGENDA AS AMENDED DELTETING ITEM 4 A PRESENTATION OF THE BANGS CANYON RECREATIONAL SITE. COUNCILMAN MULDER SECONDED THE MOTION 4. PROCLAMATIONS AND PRESENTATIONS Deleted 5. PUBLIC PARTICIPATION There were none 6. LIQUOR LICENSE A. THE CHINESE TEA HOUSE - HOTEL/RESTAURANT LIQUOR LICENSE RENEWAL City Clerk, Margaret Steelman stated that the Hotel/Restaurant Liquor License is up for renwal and their current license expires October 25, Mrs. Steelman stated that the City Clerks office has no TIPS certificates on file but there is a class scheduled for October 15, 2005 and this restaurant will be notified so they may attend Councilman Karisny inquired if they will attend TIPS training as employees should be trained. Mr. Jon Sy, owner of the Tea House stated that attending the classes are very difficult to do. Councilman Karisny stated that typically the Council requires TIPS training and asked if the renewal could be based on the Tea House attending TIPS training. City Manger Clint Kinney stated that in order for the Council to deny the renewal, they would have to find a reason why and then schedule a hearing Mayor Adams stated that the Council could make it contingent upon renewal in the motion. Mr. Sy stated that he will try to get to the TIPS training on October 15, 2005 but business is very bad right now and it s hard for him to afford to let people go.

2 Fruita City Council Minutes 2 COUNCILMAN DODGION MOVED TO RENEW THE HOTEL/RESTAURANT LIQUOR LICENSE WITH THE UNDERSTANDING THE MR. SY WILL ATTEND THE TIPS TRAINING OCTOBER 15, COUNCILMAN MULDER SECONDED THE MOTION. 7. PUBLIC HEARINGS There were none. 8. COUNCIL REPORTS AND ACTIONS A. COUNCIL REPORTS COUNCILMAN DODGION Councilman Dodgion stated that they have not had a Police Commission for several weeks but with the new appointments being made there will be a meeting tomorrow night. COUNCILMAN TALLON Councilman Tallon stated that the Blue Dot Car Club chose not to sponsor the Mike the Headless Chicken show next year COUNCILMAN MULDER. Councilman Mulder stated that in the City Manager s memo there were some questions that needed to be answered. Councilman Mulder confirmed that the Elected officials dinner in Palisade was canceled and noted that Circle Park was completed because of the sewer break last week. Councilman Mulder also stated that he would like more time and information regarding the Dinosaur Museum. Councilman Tallon also concurred that he would like more information regarding the Dinosaur COUNCILMAN KARISNY Councilman Karisny stated that would also like to have more information and discussion regarding the Dinosaur Museum. Councilman Karisny stated that the Set Back issues also need further discussion. Councilman Karisny stated that in the Daily Sentinel was an article that the Gary Refinery has plans to start the clean up process and would like to have more information to give the public on how the clean up will take place and there will be some type of smell and the Council should be informed should the public inquire. MAYOR ADAMS Mayor Adams stated that the Mulberry parking lot will done in time for Fall festival. Mayor Adams further stated that he would like for not only the Council but Staff to attend the Boards and Commissions dinner Thursday night. B. BOARDS AND COMMISSIONS APPOINTMENTS Mayor Adams stated that he recommends appointments of the following individuals: Reappoint Ernest Griffiths to the Police Commission for a 3 year term in which his term will expire

3 Fruita City Council Minutes 3 August 2008 Appoint Mr. Jim Bosworth to the Police Commission for a 3 year term to fill the vacant seat of MR. Charles Gunn. Mr. Gunns Term expired in June of 2005 there for Mr. Bosworth term will expire in September of 2008 Reappoint Mike Van Dahm to the Parks and Recreation Board for a 2 year term in which his term will expire September Reappoint Sally D Agostino to the Tourism Board for a 3 year term in which her term will expire August 2008 Appoint Ms Kate Miller to the Tourism Advisory Board for a 3 year term to fill the vacant seat in which her term will expire September Appoint Ms. Kathryn Ireland to the Tree Board for a 3 year term to fill the vacant seta in which her term will expire September Appoint Mr. Fred Oppenheim to the Senior Advisory Task Force in for a 3 year term in which his term will expire September COUNCILMAN DODGION MOVED TO APPOINT THE INDIVIDUALS RECOMMENDED BY MAYOR ADAMS TO THE VARIOUS BOARDS AND COMMISSIONS. COUNCILMAN DODGION SECONDED THE MOTION. THERE WERE 4 YES VOTES. Councilman Tallon stated that it is fantastic to get people with experience and expertise to volunteer for these boards. 9. CONSENT AGENDA A. APPROVAL OF COUNCIL MINUTES OF SEPTEMBER 6, 2005 REGULAR MEETING B. RESOLUTION FINAL RELEASE OF THE SUBDIVISION IMPROVEMENTS AGREEMENT AND GUARANTEE OF PUBLIC IMPROVEMENTS FOR WILDWOOD ACRES FILING 1 TO RELEASE THE FINAL 10% OF THE FUNDING GUARANTEE RETAINED FOR 1 YEAR FROM AUGUST 1, 2004 COUNCILMAN MULDER MOVED TO APPROVE THE CONSENT AGENDA AS PRESENTED. COUNCILMAN DODGION SECONDED THE MOTION. THERE WERE 4 YES VOTES 10. ADMINISTRATIVE AGENDA

4 Fruita City Council Minutes 4 A. CITY CLERK i) PRESENTATION OF AUDIT OF THE 2004 FINANCIAL STATEMENTS FOR THE CITY OF FRUITA. Margie Bochman, Senior Partner, with Chadwick and Steinchener and Davis presented the Council with the results of their audit of the 2004 Financial Statementst. Ms. Bochman explained the auditors role. They review the financial statements for preparation in accordance with generally accepted accounting principals. They plan and perform procedures of the financial records of the City to obtain reasonable assurance that the financial statements are free of material misstatement. This provides a reasonable basis for their opinion. In their opinion the financial statements are fairly stated in all material respects. The audit checks for compliance with significant account policies. There were no accounting estimates used in preparation of the financial statements. There was no adjustments to the financial statements as a result of their review. Nor did they encounter any audit difficulties. The requirements of GASB 34 which is a new reporting model were implemented. The new model includes a Management s Discussions and Analysis, a new Statement of Net Assets for Governmental Funds and a Schedule of Activities. One of the primary components of GASB 34 is the inclusion of general fixed assets and long-term debt in the governmental statements. Councilman Karisny inquired asked about the impacts of the new reporting model on staff time and effort. Margaret Steelman stated that the first year of implementation is the most difficult. Additional time is required due to reporting of the infrastructure but its impact should be minimal after the initial implementation. Mayor Adams thanked Ms. Bochman and appreciates the work they did for the City of Fruita. Councilman Mulder stated that in regards to the comments in the reports it shows that Mrs. Steelman and Mr. Kinney and their employees do a really good job. COUNCILMAN DODGION MOVED TO ACCEPT THE AUDITOR S REPORT AND APPROVE THE FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDIGN DECEMBER 31, COUNCILMAN MULDER SECONDED THE MOTION. ii) AUGUST 2005 FINANCIAL REPORTS City Clerk/Finance Director Margaret Steelman stated that the General Fund revenues are at 80% of the budget. Mrs. Steelman stated that the Sales tax revenue received in September for July sales are down.40% for the month and are up 10.25% for the year. Use tax revenues on motor vehicles are up 8.35% for the month and up 20.68% year to date over Use tax revenues collected on building material are up 11% for August and up 4% for the year. Mrs. Steelman stated that the 2005 Budget was conservative for these revenues and the actual amount received to date is $412,344 or 137% of the budgeted amount. Councilman Karsiny stated that it is very interesting to the watch the use tax. COUNCILMAN MULDER MOVED TO APPROVE THE AUGUST 2005

5 Fruita City Council Minutes 5 FINANCIAL REPORTS AS PRESENTED. COUNCILMAN TALLON SECONDED THE MOTION. iii) LIABILITY INSURANCE QUOTE ACCEPTANCE City Clerk, Margaret Steelman stated that the City has received quotes from CIRSA for renewal of the insurance coverage which ranges for $48,353 to $70,222 based on the deductible. Mrs. Steelman stated that City has not had any significant losses in the last five years. In addition to the standard liability coverage, CIRSA also provides optional coverage for Medical Payments Coverage which makes payments of up $5,000 per occurrence for any medical expenses incurred by a third party arising out of the operation of the city or on City property regardless of fault. Mrs. Steelman stated that the city is still responsible for payment of the deductible amount. Mrs. Steelman stated that she is recommending that they decline this coverage. Mrs. Steelman stated that she recommends the quote for liability, auto and property insurance for $64,102 with deductibles of $2,500 for auto and property coverage and $10,000 for liability coverage and to decline the optional premises medical payment coverage plan. Mrs. Steelman stated that the City also received a quote for CIRSA for renewal of the workers compensation insurance coverage which ranges from $70,160 to $75,214 based on the deductible and with the recommended deductible of $500, the 2006 premium is $71,845. Mrs. Steelman stated that recommends acceptance of the quote for workers compensation insurance with a $500 deductible. COUNCILMAN MULDER MOVED TO ACCEPT THE QUOTE FOR LIABILITY, AUTO AND PROPERTY INSURANCE FROM CIRSA IN THE AMOUNT OF $64,102 WITH A DEDUCTIBLE OF $10,000 FOR LIABILITY AND AUTO LIABILITY, AND $2,500 FOR AUTO PHYSICAL DAMAGE AND PROPERTY LOSS AND TO DECLINE THE OPTIONAL PREMISES MEDICAL PAYMENTS COVERAGE PLAN AND TO ACCEPT THE UNINSURED/UNDER-INSURED MOTORISTS PROTECTION COVERAGE. COUNCILMAN DODGION SECONDED THE MOTION. COUNCILMAN MULDER MOVED TO ACCEPT THE QUOTE FOR WORKERS COMPENSATION INSURANCE COVERAGE IN THE AMOUNT OF $71,845 WITH A DEDUCTIBLE OF $500. COUNCILMAN DODGION SECONDED THE MOTION. With no further business to come before the Council the meeting was adjourned at 7:59 PM Respectfully Submitted, Michelle Hopkins, Deputy City Clerk

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