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Special Meeting
Monday, May 11, 1992 - - 7:30 pm

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Present: Mayor Patricia S. Ticer, Vice Mayor William C. Cleveland, Members of Council Kerry J. Donley, T. Michael Jackson, Redella S. Pepper, Lonnie C. Rich, and David G. Speck.

Absent: None.

Also Present: Mrs. Lawson, City Manager; Mr. Sunderland, City Attorney; Ms. Evans, Assistant City Manager; Ms. Steele, Deputy City Manager; Mr. Brannan, Assistant City Manager; Mr. Gitajn, Director of Financial and Information Services; Mr. Platky, Director of Management and Budget, and staff; Ms. Marczak, Deputy Director, Management and Budget; Mr. O'Kane, Director of Transportation and Environmental Services; Ms. Spears, Deputy Director, Transportation and Environmental Services; Mr. Cyphers, Director of Human Services; Mr. Fertig, Director of Personnel Services; Mr. Schott, Director of General Services; Mr. Sanderson, Director of Real Estate Assessments; Ms. Page-Smith, Deputy Director, Real Estate Assessments; Mr. Neckel, Director of Finance; Mr. Clark, Treasurer; Mr. Cole, Director of Management Information Services; Ms. Boyd, Director of Citizen Assistance; Mr. Kauffman, Director of Recreation, Parks and Cultural Activities; Dr. Clairborn, Director of Mental Health/Mental Retardation/Substance Abuse; Ms. Plitt, Director of Library; Mr. Lynn, Director of Planning and Community Development; Ms. Federico, Director of Historic Alexandria; Ms. Davis, Director of Housing; Ms. Chis, Director of Division of Social Services; Mr. Powers, Director of Division of Economic Opportunities; Ms. Sillex, Division Chief, Personnel Services; Mr. Looney, Division Chief, Office of Housing; Ms. Beidler, Registrar of Voters; Dr. Masem, Superintendent of Schools; Fire Chief Beam; Police Chief Samarra; Sheriff Dunning; and Sergeant Clancey, Police Department.

Recorded by: Beverly I. Jett, CMC, City Clerk and Clerk of Council.


It was noted that there was a Work Session to go through the City Manager's Final FY 1993 Add/Delete List at 6:30 p.m. in the Council Chamber. The Members of City Council went through the add/delete list and made comments. The City Manager participated in the discussion.

(A copy of Budget Memo #52: Final FY 1993 Add/Delete List dated 5/8/92, is on file in the office of the City Clerk and Clerk of Council and incorporated herewith as part of the record by reference.)

The Meeting was called to order by Mayor Ticer, and the City Clerk called the Roll; all Members of Council were present.

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(It was noted that a Notice of this Special Meeting had been previously served upon each Member of Council, pursuant to a provision of the City Charter, a copy of the Notice certified by each Member of Council being on file in the office of the City Clerk and Clerk of Council.)

2. Consideration of the Adoption of the Proposed Annual Operating Budget for FY 1992-93 (including Schools) and the Capital Improvements Program for FY 1993-98. (#2 3/30/92)

(A copy of communications received on this item are on file in the office of the City Clerk and Clerk of Council, marked collectively as Exhibit No. 1 of Item No. 2; 5/11/92, and is incorporated herewith as part of this record by reference.)

Councilman Donley stated that Council received a notice tonight alleging that he has a conflict of interest in participating in the consideration of and the vote on the City's Annual Budget. Although his status as an employee of Crestar Bank has certainly not changed in the last four years, this allegation has been made. He has sought the advice of counsel and would like to ask to hear from Philip Sunderland, City Attorney, regarding his status in considering the proposals that are before the Council tonight.

The City Attorney stated that he talked with John Kloch, Commonwealth's Attorney, this afternoon on this conflict issue. Both Mr. Kloch and himself have responsibility for looking into conflict of interest matters and allegations. Essentially, the issue here or the contention here is that Mr. Donley, by virtue of his employment with Crestar, has a conflict in voting in anyway on the budget. That alleged conflict arises because Crestar now manages some of the reserves in the City; and therefore, to that end, Mr. Donley has what is called a personal interest in what happens to Crestar by virtue of his employment with Crestar. The argument goes that any vote by Council which affects, benefits or harms Crestar proposes an impermissible conflict for Mr. Donley. The contention, he believes and Mr. Kloch believes for a couple of reasons, is really without merit and that is what they have told Mr. Donley.

The first reason, he thinks the primary reason, is that the contract which now exists between Crestar and the City, pursuant to which Crestar manages the reserve funds of the City, expires at the end of August. It only has, therefore, an eight-week life, after the beginning of this fiscal year; and therefore, any vote of tonight affecting the reserve, will not have any effect on that contract because any dollars voted with respect to the reserve tonight would not be removed from the reserve fund until late in Fiscal [Year] 1993. It is not all, it is really speculative whether Mr. Donley, better yet, Crestar Bank, is going to again get the contract to manage the City's reserves. The contract is now going out on bid. We expect a number of banks to bid for the contract and Crestar could very well end up not managing any reserves effective September 1 of this year. So to the extent that the contention as to the conflict arises from the contract between Crestar and the City because that contract is going to end, there simply is not any conflict in his view and in Mr. Kloch's view. Any conflict that Mr. Donley has in voting on the budget or on matters in the budget that may affect the reserve account there just is no issue and no problem at all.







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Councilman Donley added that in the course of his employment with Crestar Bank he does not have any responsibilities relating to the management of City funds, nor is he responsible for the overall City relationship with Crestar Bank. In addition, he derives no compensation due to the fact that Crestar Bank manages the City's account, nor is he involved with the procurement of banking services from the City on behalf of Crestar Bank. It is totally removed from, at least in his view, the scope of his employment with Crestar.

The City Attorney stated that when the contract pursuant to which the City allows a bank to manage its funds, when that contract comes before Council, Mr. Donley steps aside to the degree that Crestar is a potential bidder or potential recipient of that contract. In other words, the way the conflict of interest act reads this issue is at the contract stage of business, not at the budget-setting stage. To hold it otherwise, Mr. Donley or anybody else whose employer was affected in any remote way by a budget decision would not be able to participate at all in any budget deliberation. The conflict of interest act simply does not go that far.

The Mayor stated that was a very clear and ample discussion of the issue.

A. City Manager's Proposed FY 1993 Operating Budget

Councilman Donley stated in order to move things along and try to provide some particular order he moved the following:

WHEREUPON, a motion was made by Councilman Donley, seconded by Councilman Speck, that Council adopt the Manager's proposed budget with the inclusion of items 1 through 9 on the add/delete list which are revenue revisions, with also the inclusion of item 32 which is a reduction in the proposed City appropriation to schools to reflect increased State aid, and #3 that the Council considers within this motion a three-month phase out of $80 estimated from the average cost of condominiums of $238,560 to be paid for or offset by these same revenue estimates and revenue revisions [Item 38, Option 3]. The following items are included in this motion:
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6. Increase in estimated real estate recordation tax revenue

Account 010009-6806 add $ 53,000
C2. OTHER EXPENDITURE ADJUSTMENTS

32. City Appropriation to the Schools

(a) Approve a reduction of $425,024 in the Proposed City appropriation to the Schools to reflect increased State aid:

delete $425,024

(b) Approve the transfer of $2,162,000 from a non-departmental account to the Schools budget to fund in-step increases ($1,662,000) and a 15 percent increase in the employer contribution for health insurance ($500,000) for a total appropriation to the Schools of $66,393,492.

38. Condominium Refuse Rebate Phase-Out Options

OPTION 3: Three-month phase-out at $80 estimated average annual cost to condominiums add $238,560

Councilman Donley stated that the notion of this motion is to put something on the table, the adds and deletes then would be considered within the context of this motion as the main motion and the adds and deletes would be considered amendments to the main motion.

The Mayor stated that we need to ask if there are amendments to this motion or is there discussion on this motion.

B. REVENUE ADJUSTMENTS (continued)

10. Increase the business license tax rate for business, personal and repairs services from $0.35 per $100 of gross receipts to $0.36 per $100 of gross receipts, which is the maximum allowable under State Code

Account 010009 add $ 82,750

Council Member Rich requested that Item 10 be deferred until Council gets to the subject of the tax rate because he does not intend to move to increase the business tax or the utility tax unless there is at least a penny drop in the tax rate.





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Mr. Gitajn stated that it is his understanding what we adopt tonight technically are the tax rate ordinances and all of the adds and deletes are items that you consider in an effort to arrive at a tax rate. The tax rate is the culmination of the add/delete process.

The City Attorney stated that at the end of the evening tonight we have to know on one hand what all of the projected revenues are, what your expenditures are, and to derive from that what primarily your real estate and personal property tax rates are going to be. In other words, the business license tax and indeed the utility tax, all of those are going to have to be decided prior to getting to the bottom line of the evening. You ultimately are going to have to set the real estate and the real property tax rates. So, whether you take Items 10 and 11 and other revenue increases, you can take them now or take them later. You have to take them and decide on them before you get to the bottom line tonight.

Councilman Jackson stated if what Council Member Rich is attempting to determine is what the projected tax rate would be at a certain point during this evening's proceedings, because if he understands him correctly, it is not his purpose to ask for tax increases. He wants to know if there is going to be a reduction in the real estate property tax rate.

Council Member Rich explained for everybody's understanding, that one of the things that is going to be considered and decided in the course of the evening is whether or not the City is going to adopt a trash fee. It is his opinion if Council does that, Council ought to offset it with at least some sort of fairly substantial cut in the tax rate. It is his opinion that cutting a penny on the tax rate combined with the assessments will give the residential homeowner who will be subjected to the trash fee some relief. If we cut a penny off of the tax rate, the commercial side will get about $500,000. These two packages together are about $450,000. That is the theory and what needs to be sorted out. He has no intention of proposing to increase these two taxes in the amount of $450,000 if we are not going to cut the tax rate a penny.

Councilman Jackson stated that what Council needs at some point prior to when Council gets the official mathematical computation on the agenda, we need a mathematical computation to find out whether or not we are going to increase these items.

Mayor Ticer stated that she understands what Council Member Rich is saying but she does not agree because the business community during this recession has been very hard hit. She personally does not want to give them the hit.

Councilman Speck stated although he is supportive of the effort to lower the tax rate, he really does not agree with the linkage issue. Council should look at the tax rate as a separate issue.

NOTE: Later in the meeting, it was decided that no action be taken on this item.

11. Increase the consumer utility tax rate for commercial consumers of electricity and natural gas from 8.5 percent to 10 percent of the total monthly bill

Account 010009 add $371,600

Council Member Rich requested that this item be deferred until later in the meeting.


NOTE: Later in the meeting, it was decided that no action be taken on this item.

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12. Increase cigarette tax by 5 cents, from $0.15 per pack to $0.20 per pack.

General Discussion. The Members of City Council participated in the discussion of this item.

WHEREUPON, upon motion by Council Member Rich, seconded by Councilwoman Pepper and carried unanimously, City Council increased the cigarette tax by 5 cents to generate an estimated $235,000. The voting was as follows:

Rich "aye" Cleveland "aye"
Pepper "aye" Donley "aye"
Ticer "aye" Jackson "aye"
Speck "aye"

13. Increase trash charge by $1.00 for each additional bag beyond super can capacity

Council Member Rich requested that this item be deferred until later in the meeting.

NOTE: Later in the meeting, it was decided that no action be taken on this item.

14. Establish a per item fee for special solid waste pick-ups.

OPTION 2: Establish a $25 per item fee for special solid waste pick-ups.

General Discussion. Members of Council participated in the discussion of this item. Councilman Speck requested that the staff monitor it closely for compliance.

WHEREUPON, upon motion by Council Member Rich, seconded by Councilman Jackson and carried on a vote of 4-to-3, City Council established a $25 per item fee for white goods special solid waste pick-ups. The voting was as follows:

Rich "aye" Cleveland "no"
Jackson "aye" Donley "aye"
Ticer "no" Pepper "no"
Speck "aye"

15. Increase all impound fees by 100 percent (double all fees) General Discussion. Members of Council participated in the discussion. Mr. O'Kane, Director of Transportation and Environmental Services, and Ms. Spears, Deputy Director of Transportation and Environmental Services, answered questions. Mr. Platky, Director of Management and Budget, and Mr. Gitajn, Director of Financial and Information Services, participated in the discussion.

The City Attorney stated that this is not a tax. This is a user charge. As a result, the charge really is not to exceed the cost that the City incurs in providing the service because if it is a tax, we can do that. If it is a service, we cannot.




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Donley "aye" Cleveland "aye"
Speck "aye" Jackson "aye"
Ticer "aye" Pepper "aye"


WHEREUPON, upon motion by Council Member Rich, seconded by Councilman Speck and carried on a vote of 4-to-3, City Council eliminated City funding by the amount of $60,527 for FY 93 for the King/Quaker/Braddock Road interchange. The voting was as follows:

Rich "aye" Cleveland "aye"
Speck "aye" Donley "no"
Ticer "no" Jackson "aye"
Pepper "no"

Councilman Speck spoke to item (e) under Option 2 with respect to the Barrett Library that he does not want it to be misconstrued that failure to address this issue specifically suggests that Council is fully supportive to the more expensive renovation. He does not think there is any question that there is a need for extensive renovation to that facility. He does think that there continues to be questions about what level of renovation. He intends to ask at the next legislative meeting that Council consider some additional study of the scope of that project to be certain that we have committed our capital funds properly. He hopes Council will continue to study the level of renovations which will take place there and be satisfied that we have done the best job on approving that budget.

It was noted that OPTION 3 was deleted and no action was necessary.

24. Increase the fare for the DOT Paratransit program by 25 cents, from $1.25 to $1.50 per trip to help offset program expenditures. delete $ 10,000

WHEREUPON, upon motion by Council Member Rich, seconded by Councilman Donley and carried unanimously, City Council increased the DOT Paratransit fare from $1.25 to $1.50. The voting was as follows:

Rich "aye" Cleveland "aye"
Donley "aye" Jackson "aye"
Ticer "aye" Pepper "aye"
Speck "aye"

25. Increase library fines as follows: from 5 cents per day for children's books to 10 cents per day, and from 10 cents per day for adults' books to help offset program expenditures. delete $ 75,000

WHEREUPON, upon motion by Council Member Rich, seconded by Councilman Donley and carried unanimously, City Council increased the library fines from 5 cents per day for children's books to 10 cents per day, and from 10 cents per day to 25 cents per day for adults' books to help offset program expenditures. The voting was as follows:

Rich "aye" Cleveland "aye"
Donley "aye" Jackson "aye"
Ticer "aye" Pepper "aye"
Speck "aye"

There was discussion on the motion. Mr. Platky, Director of Management and Budget, participated in the discussion.

26. Reduce the City contribution to the Alexandria Animal Welfare League to fund this program at the FY 1992 level.

WHEREUPON, a motion was made by Council Member Rich to reduce the City contribution to the Alexandria Animal Welfare League by $11,966; which motion FAILED for lack of a second.


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27. This item was withdrawn.

28. Reduce the Law Library budget. delete $ 15,000

WHEREUPON, upon motion by Council Member Rich, seconded simultaneously by Councilmen Jackson and Speck and carried unanimously, City Council reduced the Law Library budget by $15,000. The voting was as follows:

Rich "aye" Ticer "aye"
Jackson "aye" Cleveland "aye"
Speck "aye" Donley "aye"
Pepper "aye"

29. Reduce Human Services Contribution budget designated for "other".
delete $3,500

WHEREUPON, upon motion by Council Member Rich, seconded by Councilwoman Pepper and carried unanimously, City Council reduced the Human Services Contribution budget by $3,500 designated for "other". The voting was as follows:

Rich "aye" Cleveland "aye"
Pepper "aye" Donley "aye"
Ticer "aye" Jackson "aye"
Speck "aye"

30. Reduce expenditures for the motor pool fleet by eliminating the City
Council pool car. delete $ 10,000

WHEREUPON, upon motion by Council Member Rich, seconded by Councilman Donley and carried unanimously, City Council reduced the number of cars in the motor pool by eliminating one car, the City Council pool car. The voting was as follows:

Rich "aye" Cleveland "aye"
Donley "aye" Jackson "aye"
Ticer "aye" Pepper "aye"
Speck "aye"

31. Reduce expenditures in the Registrar of Voters budget to reflect the retirement of the former Elections Administrator. delete $ 22,897

WHEREUPON, upon motion by Council Member Rich, seconded by Councilwoman Pepper and carried unanimously, City Council reduced the Registrar of Voters budget by $22,897. The voting was as follows:

Rich "aye" Cleveland "aye"
Pepper "aye" Donley "aye"
Ticer "aye" Jackson "aye"
Speck "aye"

32. (a) and (b) included in main motion. (Members of City Council spoke to (b).)
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NOTE: ITEMS 33 AND 34 WERE COMBINED AS ONE ITEM AS FOLLOWS:

33. & 34. Reduce the Schools administrative budget by $77,610 and increase instructional budget by $77,610 for 2 full-day kindergarten classes.

(admin.) delete $ 77,610
(instruction) add $ 77,610

WHEREUPON, a motion was made by Council Member Rich, seconded by Councilman Donley, that City Council reduce the school administration budget by $77,610 and at the same time added $77,610 to the instruction account, hopefully for 2 all-day kindergarten classes.

There was discussion on the motion. Members of City Council participated in the discussion.

THEREUPON, a substitute motion was made by Councilwoman Pepper, seconded by Councilman Speck to leave the $100,000 in the school administrative budget and that we add the 2 full-day kindergarten classes for $77,610.

Councilman Speck seconded the motion but requested that the motion be clarified.

Point of Order was raised by Councilman Donley. He does not believe the motion as per Council's resolution identifies the source of funding for the increased appropriation.

Councilwoman Pepper suggested perhaps there is. She asked Mr. Gitajn if we would have $77,610 available from what we have approved so far.

Mr. Gitajn responded as of this moment we have a general fund budget of $229,455,399 which would call for a general fund appropriation from fund balance of $9,534,950 which is approximately $1,000,000 less than the revised appropriation from fund balance as per revenue estimates 1 through 9. So, it would appear that there are monies sufficient to fund this item.

Point of Order was raised by Councilman Donley that his understanding would be that the motion would identify the $77,610 as an appropriation from the fund balance. Is that correct? Would the maker of the motion restate her motion in a more specific manner. Right now it is totally open-ended.

Councilwoman Pepper suggested that it come from the $235,000 from the cigarette tax which she voted in favor and be applied to that.
Vice Mayor Cleveland seconded Councilwoman Pepper's motion which now reads:

THEREUPON, a substitute motion was made by Councilwoman Pepper, seconded by Vice Mayor Cleveland to leave the $100,000 in the school administration budget and that we add $77,610 for 2 full-day kindergarten classes to come from the $235,000 from the cigarette tax; which motion FAILED on a vote of 3 "ayes" to 4 "noes". The voting was as follows:

Pepper "aye" Donley "no"
Cleveland "aye" Jackson "no"
Ticer "aye" Rich "no"
Speck "no"

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AT THIS POINT, Council returned to the main motion made by Council Member Rich, seconded by Councilman Donley and carried on a vote of 5-to-2, City Council reduced the school administration budget by $77,610 and at the same time added $77,610 to the instruction account, hopefully, for 2 all-day kindergarten classes. The voting was as follows:

Rich "aye" Cleveland "no"
Donley "aye" Jackson "aye"
Ticer "no" Pepper "aye"
Speck "aye"

35. Add funding for a one-time grant to Hopkins House for the purchase of a mobile AIDS testing and counseling unit. (Reduction in internal service fund. No net General Fund increase.]

(A copy of the verbatim transcript for this item is on file in the office of the City Clerk and Clerk of Council and incorporated herewith as part of this record by reference.)

WHEREUPON, upon motion by Councilman Donley, seconded by Councilman Jackson and carried on a vote of 6-to-0, City Council reduced the number of City vans to be purchased from 5 to 4 for the purposes of our budget and would like one of the vans to go to Hopkins House, unless we are successful to identify non-city budget funds to purchase that one. The voting was as follows:
Jackson "aye" Pepper "aye"
Ticer "aye" Rich "aye"
Speck out of room

36. Add funding for Carpenter's Shelter Restricted to Repayment of Debt. Carpenter's Shelter add $ 15,000 Council Budget delete $ 15,000

(A copy of the verbatim transcript for this item is on file in the office of the City Clerk and Clerk of Council and is incorporated herewith as part of this record by reference.)

WHEREUPON, upon motion by Councilman Donley, seconded by Councilman Speck and carried on a vote of 6-to-1, City Council expended $15,000 to the Carpenter's Shelter for the express purpose of reduction in its outstanding debt and that we correspondingly reduce the non-personnel budget for City Council by that same amount [$15,000]. The voting was as follows:

Donley "aye" Cleveland "aye"
Speck "aye" Jackson "aye"
Ticer "aye" Pepper "no"
Rich "aye"

THEREUPON, a motion was made by Councilwoman Pepper to add the full amount that they would need, I guess at this point $11,818, to be taken again as part of the cigarette tax we voted on earlier, for the Carpenter's Shelter to help them with the retirement of its debt; which motion FAILED for lack of a second.







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37. Delete the proposed user charge for trash collection and disposal and restore the condominium refuse rebate at the current rate of $61.47

Expenditures add $ 733,214 Revenues delete $2,700,000

WHEREUPON, a motion was made by Councilwoman Pepper, seconded by Vice Mayor Cleveland to vote in concept to see if she has support for a trash collection using our present system whereby the bill for the trash collection and disposal is included in the property taxes.

Councilman Speck stated to call it a concept is out of order unless there is a corresponding revenue source that is part of that motion.

Councilwoman Pepper stated that this would be at a tax rate of $1.08 if we had to use all 3 1/2 cents to increase the tax rate. It would be a tax rate of $1.08. The 1992 tax bill on the average single-family home would decrease by $17 from $1,458 to $2,441. This, of course, came about because of the fact that there is a reduction in the assessed value of our homes, a decline by 3.9% and a tax bill therefore, decrease by $96.

Councilman Speck requested that Councilwoman Pepper restate the motion properly or it is out of order.

Councilwoman Pepper moved that the motion is to add $733,214 for a trash rebate fee and $2,700,000 for the pick-up of trash for the single-family homeowners and that it be offset by a 3 1/2 cent increase in taxes.

Vice Mayor Cleveland withdrew his second; therefore, Councilwoman Pepper's motion FAILED for lack of a second.

WHEREUPON, a motion was made by Vice Mayor Cleveland that the City not do renovation on the Queen Street Library, just doing what is necessary in the way of putting on a new roof that is needed, also putting in a new heating system that is needed, that way it would not be a renovation and by not doing a renovation it would not take as much money like the $3,000,000 for the full proposal or the $2,000,000 for the part proposal, saving some money on that end, he believes that he would have the money to get this proposal through; which motion FAILED for lack of a second.

THEREUPON, a motion was made by Councilman Jackson, seconded by Council Member Rich, that City Council move to freeze the in-step that has been proposed in the Manager's budget which would free approximately 3.6 million dollars and in return for that add the $733,214 for the condominium rebates and the 2.7 million dollars for the single-family homeowner trash user fee; which motion FAILED on a vote of 2 "ayes" to 5 "noes". The voting was as follows:

Jackson "aye" Cleveland "no"
Rich "aye" Donley "no"
Ticer "no" Pepper "no"
Speck "no"

38. OPTION 3 included in main motion.







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39. Add funding for comprehensive services for at-risk children, designated in contingent reserves.

WHEREUPON, a motion was made by Council Member Rich, seconded by Councilman Jackson, that City Council set aside $1,000,000 in contingent reserves for the children's fund.

Point of Order was raised by Councilman Donley to where the funds are coming.

Council Member Rich stated that right now we are about a million dollars ahead from where we started.

Councilman Donley stated that basically if he understands the motion, Council Member Rich is requesting that it come out of the reserve fund. Is that correct? Which will require five votes.

Council Member Rich stated he felt that some of that is in reserves. Some of it is not. $717,000 is not in the reserves as that money has been designated tonight.

WHEREUPON, upon motion by Council Member Rich, seconded by Councilman Jackson and carried unanimously, City Council amended the motion to appropriate $717,000, placing it in contingent reserves for the children's fund, the source of those funds would be the cigarette tax, the white goods fees, the impound fees, the library fines, the increase in DOT Paratransit fee, the law library, the pool car and the appropriation of the Registrar. The voting was as follows:

Rich "aye" Cleveland "aye"
Jackson "aye" Donley "aye"
Ticer "aye" Rich "aye"
Speck "aye"

D. Whereupon, at 9:45 p.m., City Council recessed to enable staff to complete necessary calculations and to come back to Council.

Thereupon, at 10:10 p.m., City Council reconvened the meeting and the following transpired:

Mr. Gitajn explained that as the budget now stands, Council would be adopting a General Fund Budget in the amount of $230,172,399 with an appropriation from General Fund Balance of $10,251,950. That assumes the current tax rate of $1.045 and all of the items approved up to this point stand. It is his understanding that Council may wish to consider revisiting items 10, 11, 13, and 22.

Council Member Rich requested that Council still defer action on this until after we have dealt with the merit step increases.

AT THIS POINT, Council took Item 22. C2. OTHER EXPENDITURE ADJUSTMENTS.

WHEREUPON, a motion was made by Council Member Rich, seconded by Councilman Jackson to adopt item C which would convert pay scales from 5% to a 2.5% and add two steps at the end.

There was discussion on the motion by Members of City Council.



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Councilman Donley requested that the City Manager prepare a report regarding step increases; our ability to fund step increases; comparing them to other jurisdictions, step increase percentages, as he does not know that everybody has a 5 percent automatic go-to step; and to explore possibilities about varying these steps according to job tenure or performance rating. He would also like her to comment on the 5 percent step in light of recent inflationary figures. We should review and revisit the salary schedules. He is concerned about the same situation which occurred that caused the previous salary schedule to become somewhat antiquated. In fact, a large, a vast majority of employees went back into longevity. He is concerned that the same would be true in the coming years if you don't address particular issues regarding the salary schedule as it stands right now. He would like the City Manager to explore and report back to Council at a time that is sufficient for the Manager to conduct such a survey and/or investigation, but do so in a context that would give the Council enough time to weigh options that might be presented in the upcoming budget.

AFTER CONSIDERABLE DISCUSSION, Council returned to the motion made by Council Member Rich, seconded by Councilman Jackson to adopt item C which would convert pay scales from 5 percent to 2.5 percent and add two steps at the end; which motion FAILED on 2 "ayes" to 5 "noes". The voting was as follows:

Rich "aye" Cleveland "no"
Jackson "aye" Donley "no"
Ticer "no" Pepper "no"
Speck "no"

Mayor Ticer stated that Item 22 remains on the floor as part of the original motion.

WHEREUPON, a motion was made by Council Member Rich that Council cut the tax rate by one cent and that we take it out of the undesignated fund balance; which motion FAILED for lack of a second.

WHEREUPON, upon motion by Councilman Donley, seconded by Councilman Speck and carried on a vote of 5-to-2, City Council returned to the main motion which is the adoption of the Manager's proposed budget, as amended by the Council, to include for purposes of the amount of money to be appropriated to the school board comes in these amounts: construction $59,356,709; that amount includes $77,610 theoretically for 2 all-day kindergartens; the next category is administration/health and attendance, the amount there is $5,553,026 and that excludes the $77,610 for administration; the next category is transportation and this is $2,479,593; next is operations/maintenance and that is $8,529,478; next is non-instructional operation of $682,920; next item is debt service, transfers, and other uses of funds of $486,425; next item is non-city grants and other monies, $5,823,408; and the last item is the CIP budget of $3,000,000.

Councilman Donley and Councilman Speck accepted the change in language introduced by Council Member Rich. There was considerable discussion by Members of City Council. Vice Mayor Cleveland and Councilman Jackson explained their reasoning for voting against the FY 1993 proposed budget as amended.

The voting was as follows:

Donley "aye" Cleveland "no"
Speck "aye" Jackson "no"
Ticer "aye" Pepper "aye"
Rich "aye"

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E. APPROPRIATION FROM FUND BALANCE
F. ADOPTION OF THE FY 1993 GENERAL FUND BUDGET AS AMENDED WHEREUPON, upon motion by Councilman Donley, seconded by Councilman Speck and carried on a vote of 5-to-2, City Council adopted the FY 1993 General Fund budget as amended in the following amounts: $230,172,399; appropriation from the General Fund Balance of $10,251,950; a tax rate on real property of $1.045. [Personal property tax rate remained at $4.75]. The voting was as follows:

Donley "aye" Cleveland "no"
Speck "aye" Jackson "no"
Ticer "aye" Pepper "aye"
Rich "aye"

G. ADOPTION OF THE FY 1993 TO FY 1998 CAPITAL IMPROVEMENT PROGRAM

WHEREUPON, upon motion by Councilman Donley, seconded by Councilman Speck and carried unanimously, City Council adopted the FY 1993 to FY 1998 Capital Improvement budget as amended by Council in Item 23, Section C. The voting was as follows:

Donley "aye" Cleveland "aye"
Speck "aye" Jackson "aye"
Ticer "aye" Pepper "aye"
Rich "aye"

3. Consideration of the Adoption of the Proposed Community Development Block Grant Program for FY 1992-93. (#3 3/30/92)

(A copy of the City Manager's memorandum dated 3/25/92, is on file in the office of the City Clerk and Clerk of Council, marked Exhibit No. 1 of Item No. 3; 5/11/92, and is incorporated herewith as part of this record by reference.)

WHEREUPON, upon motion by Councilwoman Pepper, seconded simultaneously by Councilmen Jackson and Donley and carried unanimously, City Council approved the City Manager's recommendation as follows: (1) approved the Proposed Statement of Community Development Objectives and Projected Use of Funds for the 18th Year Community Development Block Grant Program for submission to the U.S. Department of Housing and Urban Development (HUD) and (2) approved the Proposed Statement inclusive of the following transfers of up to $221,101 in CDBG funds from FY 1992 into the 18th Year CDBG Program, with the understanding that such transfers will be made on or after July 1, 1992. The document will then be submitted to HUD as the City's Final Statement, which must be received by HUD no later than May 31, 1992.

TRANSFER FROM: AMOUNT: TRANSFER TO: AMOUNT:

Homeownership Assistance $6,050 HOME Administration $6,550
Federal Applications\
Public Information 500
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TRANSFER FROM: AMOUNT: TRANSFER TO: AMOUNT:

Federal Applications\ Blighting Influences $77,744
Public Information $ 631
Fair Housing Testing 4,551
Single Family Relocation 8,135
Operation Match 14,432
Program Administration 37,609
Commercial Revitalization 12,386

TOTAL FROM: $77,744

TRANSFER FROM: AMOUNT: TRANSFER TO: AMOUNT:

Commercial Revitalization $48,154 Home Rehab Loan $136,807
Low/Mod Income Housing 88,653

TOTAL FROM: $136,807

The voting was as follows:

Pepper "aye" Ticer "aye"
Jackson "aye" Cleveland "aye"
Donley "aye" Rich "aye"
Speck "aye"

4. Second Reading and Final Passage of AN ORDINANCE to establish the tax rates to be levied for calendar year 1992 as follows: (1) all real estate located within the territorial boundaries of the city, to be taxed at a rate of $1.095 on each $100.00 of assessed value; (2) all motor vehicles, trucks, taxicabs, motorcycles, campers and other recreational vehicles, boats, trailers, and semi-trailers owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs for taxation in the city to be taxed at the rate of $4.75 on each $100.00 of assessed value; (3) all tangible personal property, other than mobile homes, automobiles, trucks, antique motor vehicles, taxicabs, motor vehicles with specially designed equipment for use by the handicapped, motorcycles, campers and other recreational vehicles, boats and trailers, that is owned or held by residents or citizens of the city and located within the territorial boundaries of the city or otherwise has a situs within the city, to be taxed at the rate of $4.75 on each $100.00 of assessed value; (4) all machinery and tools used in a mining or a manufacturing business, to be taxed at the rate of $4.50 on each $100.00 of assessed value; (5) all mobile homes owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs in the city subject to taxation, to be taxed at the rate of $1.095 on each $100.00 of assessed value; (6) all antique motor vehicles owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs for taxation in the city to be taxed at the rate of $0.01 on each $100.00 of assessed value; and (7) all motor vehicles with specially designed equipment for use by the handicapped to be taxed at the rate of $3.55 per $100 of assessed value. (#4 3/30/92; #24 3/24/92)







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WHEREUPON, upon motion by Councilman Donley, seconded by Councilwoman Pepper and carried on a unanimous ROLL-CALL vote, City Council finally passed the ordinance upon its Second Reading with the following amendment to Section 3-2-181 deleting the rate of $1.095 and inserting $1.045 tax rate on real property for $100 of assessed value and in Section 3-2-223 in line 8 of the section, again to remove $1.095 and insert $1.045 which would be the tax rate on each $100 of assessed value of real property. The voting was as follows:

Donley "aye" Cleveland "aye"
Pepper "aye" Jackson "aye"
Ticer "aye" Rich "aye"
Speck "aye"

Councilman Jackson stated that the above motion brings Council from policy implementing into the real mechanics of government and it would serve no useful purpose for him to vote in the negative on these mechancial questions.

The ordinance finally passed as amended reads as follows:
ORDINANCE NO. 3568
AN ORDINANCE to amend and reordain Section 3-2-181 (LEVIED; AMOUNT), of Division 1 (REAL ESTATE), and Sections 3-2-221 (LEVIED ON TANGIBLE PERSONAL PROPERTY OTHER THAN MOBILE HOMES, AUTOMOBILES, TRUCKS, ANTIQUE MOTOR VEHICLES, TAXICABS, MOTOR VEHICLES WITH SPECIALLY DESIGNED EQUIPMENT FOR USE BY THE HANDICAPPED, MOTORCYCLES, CAMPERS AND OTHER RECREATIONAL VEHICLES, BOATS AND TRAILERS; AMOUNT), 3-2-221.1 (LEVIED ON ANTIQUE MOTOR VEHICLES; AMOUNT), 3-2-222 (LEVIED ON MACHINERY AND TOOLS USED IN MINING OR MANUFACTURING BUSINESS; AMOUNT), 3-2-223 (TAX LEVIED ON MOBILE HOMES; AMOUNT), 3-2-224 (TAX ON AUTOMOBILES, TRUCKS, TAXICABS, MOTORCYCLES, CAMPERS AND OTHER RECREATIONAL VEHICLES, BOATS AND TRAILERS--LEVIED; AMOUNT) and 3-2-224.1 (TAX ON MOTOR VEHICLES WITH SPECIALLY DESIGNED EQUIPMENT FOR USE BY THE HANDICAPPED), of Division 3 (TANGIBLE PERSONAL PROPERTY AND MACHINERY AND TOOLS) , Article M (LEVY AND COLLECTION OF PROPERTY TAXES), Chapter 2 (TAXATION), Title 3 (FINANCE, TAXATION AND PROCUREMENT) of The Code of the City of Alexandria, Virginia, 1981, as amended.
THE CITY COUNCIL OF ALEXANDRIA HEREBY ORDAINS:

Section 1. That Section 3-2-181 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:

Sec. 3-2-181 Levied; amount.

There shall be levied and collected for the calendar year 1992 on all real estate located within the territorial boundaries of the city and subject to taxation for city purposes under the constitution and laws of this state and city a tax of $1.045 on each $100 of the assessed value thereof, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 2. That Section 3-2-221 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:

Sec. 3-2-221 Levied on tangible personal property other than mobile homes, automobiles, trucks, antique motor vehicles, taxicabs, motor vehicles with specially designed equipment for use by the handicapped, motorcycles, campers and other recreational vehicles, boats and trailers; amount.


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There shall be levied and collected for the calendar year 1992 on all tangible personal property, other than mobile homes, automobiles, trucks, antique motor vehicles, taxicabs, motor vehicles with specially designed equipment for use by the handicapped, motorcycles, campers and other recreational vehicles, and boats and trailers, owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs within the city and subject to taxation for city purposes under the constitution and laws of this state and city, a tax of $4.75 on every $100 of assessed value, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 3. That Section 3-2-221.1 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:

Sec. 3-2-221.1 Levied on antique motor vehicles; amount.

There shall be levied and collected for the calendar year 1992 on all antique motor vehicles owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs within the city and subject to taxation for city purposes under the constitution and laws of this state and city, a tax of $0.01 on each $100 of assessed value, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 4. That Section 3-2-222 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:

Sec. 3-2-222 Levied on machinery and tools used in mining or manufacturing
business; amount.

There shall be levied and collected for the calendar year 1992 on all machinery and tools used in a mining or manufacturing business taxable on capital and subject to taxation for city purposes under the constitution and laws of this state and city, a tax of $4.50 on each $100 of assessed value thereof, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 5. That Section 3-2-223 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:

Sec. 3-2-223 Tax levied on mobile homes; amount.

There shall be levied and collected for the calendar year 1992 on all vehicles without motor power, used or designed to be used as mobile homes as defined in section 46.2-100 of the Code of Virginia, owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs within the city and subject to taxation for city purposes under the constitution and laws of this state and city, a tax of $1.045 on each $100 of assessed value thereof, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 6. That Section 3-2-224 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:




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Sec. 3-2-224 Tax on automobiles, trucks, taxicabs, motorcycles, campers and other recreational vehicles, boats and trailers--levied; amount.

There shall be levied and collected for the calendar year 1992 on all automobiles, trucks, taxicabs, motorcycles, campers and other recreational vehicles, boats and trailers owned or held by residents or citizens of the city or located within the territorial boundaries of the city or otherwise having a situs for taxation in the city, a tax of $4.75 on every $100 of assessed value, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 7. That Section 3-2-224.1 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended and reordained to read as follows:

Sec. 3-2-224.1 Tax on motor vehicles with specially designed equipment for use by the handicapped.

There shall be levied and collected for the calendar year 1992 on all motor vehicles which are equipped with specially designed equipment for use by the handicapped and which are owned or held by residents or citizens of the city or are located within the territorial boundaries of the city or otherwise have a situs for taxation in the city, a tax of $3.55 on every $100 of assessed value, for the support of the city government, for the payment of principal and interest of the city debt and for other municipal expenses and purposes.

Section 8. That this ordinance shall become effective upon the date and at the time of its final passage.
Introduction: 3/24/92
First Reading: 3/24/92
Publication: 3/26/92; 3/27/92
Public Hearing: 3/30/92
Second Reading: 5/11/92
Final Passage: 5/11/92

5. Second Reading and Final Passage of AN ORDINANCE to levy a tax at a rate of $0.25 per telephone line per month on the consumers of telephone services in the city to recover the capital, installation and maintenance costs associated with the city's enhanced 911 emergency telephone system. (#5 3/30/92; #25 3/24/92)

WHEREUPON, upon motion by Councilman Donley, seconded by Councilwoman Pepper and carried on a unanimous ROLL-CALL vote, the above ordinance was finally passed upon its Second Reading. The voting was as follows:

Donley "aye" Cleveland "aye"
Pepper "aye" Jackson "aye"
Ticer "aye" Rich "aye" Speck "aye"







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The ordinance finally passed reads as follows:
ORDINANCE NO. 3569

AN ORDINANCE to add a new Article U (ENHANCED EMERGENCY TELEPHONE SERVICE, E-911, TAX) to Chapter 2 (TAXATION), Title 3 (FINANCE, TAXATION AND PROCUREMENT) of The Code of the City of Alexandria, Virginia, 1981, as amended.
THE CITY COUNCIL OF ALEXANDRIA HEREBY ORDAINS:

Section 1. That a new Article U is hereby added to Chapter 2, Title 3 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same is hereby enacted to read as follows:
ARTICLE U
Enhanced Emergency Telephone Service, E-911, Tax

Sec. 3-2-366 Definitions.

The following words and phrases, when used in this article, shall have the following meaning:

(i) E-911 system. A telephone service which utilizes a computerized system to route automatically emergency telephone calls made within the city and placed by dialing the digits "911", to the proper public safety answering point. The city's E-911 system includes selective routing of telephone calls, automatic telephone number identification, and automatic location identification performed by computers and other ancillary control center communications equipment.

(ii) Local telephone service. Switched local exchange access service.

(iii) Public safety-agency. The functional components of the city's police and fire departments which provide police, firefighting, medical and other emergency services, as well as any private entities which provide such services on a voluntary basis.

(iv) Public safety answering.point. A communications facility operated on a twenty-four hour basis which first receives E-911 calls from persons in the city and which may, as appropriate, directly dispatch public safety services or extend, transfer or relay E-911 calls to appropriate public safety agencies.

(v) Person. Natural persons, partnerships, associations, corporations, firms and any combination thereof.

(vi) Purchaser. Every person who purchases local telephone service.

(vii) Seller. Every person who sells or furnishes local telephone service.

(viii) Telephone line. Each access line from every purchaser to a local telephone service.







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Sec. 3-2-367 Tax rate and levy.

There is hereby levied and imposed upon every purchaser of local telephone service a tax in the amount of 25 cents per telephone line per month. This tax shall be paid by the purchaser to the seller of the local telephone service that is provided to the purchaser, and shall be paid by the due date specified in the seller's billing statement to the purchaser. The United States of America, the Commonwealth of Virginia, and the political subdivisions and boards, commissions and other instrumentalities thereof are exempted from the payment of the tax levied and imposed by this article.

Sec. 3-2-368 Duties of seller.

(a) It shall be the duty of every seller to bill and collect from all purchasers the tax imposed by this article. The seller shall bill the tax imposed by this article monthly as part of the billing for the local telephone service provided to purchasers. The taxes collected during each calendar month shall be reported and paid by each seller to the city's director of finance by the fifteenth day of the second calendar month immediately thereafter, together with the name and address of any purchaser who has refused or failed to pay the tax.

(b) Every seller shall keep complete records showing all purchases of local telephone service in the city, which records shall show the price charged against each purchaser with respect to each purchase, the date thereof, the date of payment thereof and the amount of tax imposed by this article, and such records shall be kept open for inspection by the director of finance or other authorized agent of the city.

Sec. 3-2-369 Penalties and interest.

(a) If a seller required to collect taxes, or a purchaser required to pay taxes, pursuant to this section fails or refuses to remit, pay or report the taxes collected or due within the time and in the amount specified by this section, there shall be added to such delinquent remittance or tax a penalty of ten percent of the remittance or tax due.

(b) In addition to all penalties, interest at the rate of ten percent per annum shall be charged on all taxes and penalties not remitted by a seller or paid by a purchaser when due. Interest shall begin to accrue on the first day following the day on which remittance of taxes was due to the director of finance or on which the payment of taxes was due to the seller.

Sec. 3-2-370 Violation of article.

Any purchaser or seller violating the provisions of this article, and any officer, agent or employee of any seller violating the provisions of this article, shall be deemed guilty of a class 4 misdemeanor. Each failure, refusal, neglect or violation and each day's continuance thereof shall constitute a separate offense. A conviction for violation of this article shall not relieve any person from the payment, collection and remittance of the tax as provided in this article.

Sec. 3-2-371. Compensation to seller.

The seller shall be compensated for accounting for and remitting to the city the tax imposed by this article by three (3) percent of the amount of tax due and paid to the city and shall be taken as a deduction from the payment of the tax otherwise to be made to the city.



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Section 2. That this ordinance shall be deemed to be enacted on the date of its final passage, but shall not be effective until 60 days subsequent to the provision of written notice by certified mail from the city clerk to the registered agents of the seller telephone companies and other persons required to collect the taxes imposed by the ordinance.
Introduction: 4/25/92
First Reading: 4/25/92
Publication: 3/26/92; 3/27/92
Public Hearing: 3/30/92
Second Reading: 5/11/92
Final Passage: 5/11/92

6. Second Reading and Final Passage of AN ORDINANCE to establish a new trash collection program within the city, to define the required and permissive users of the program, to impose a user fee each year by resolution and to provide for the implementation and enforcement of the program. (#6 3/30/92; #26 3/24/92)

WHEREUPON, upon motion by Councilman Donley, seconded by Councilwoman Pepper and carried on a vote of 5-to-2, City Council finally passed the ordinance upon its Second Reading with the following change in Section 7 in the last line of the proposed ordinance, that the ordinance shall become effective on July 1, 1992. The voting was as follows:

Donley "aye" Cleveland "no"
Pepper "aye" Jackson "no"
Ticer "aye" Rich "aye"
Speck "aye"

The ordinance finally passed as amended reads as follows:
ORDINANCE NO. 3570

AN ORDINANCE to amend Section 5-1-2 (DEFINITIONS) of Article A (GENERAL PROVISIONS), to amend and reordain Sections 5-1-31 (COLLECTION BY CITY GENERALLY), 5-1-33 (COLLECTION BY PRIVATE COLLECTORS) and 5-1-34 (COLLECTION OF CITY CHARGES; BILLING), of Article C (SOLID WASTE COLLECTION GENERALLY), to amend and reordain subsection (g) of Section 5-1-41 (COLLECTION BY CITY) of Article D (SOLID WASTE COLLECTION REGULATIONS), and to amend and reordain Section 5-1-83 (DUTY OF OWNERS AND OCCUPANTS TO COMPLY WITH ARTICLE, ETC.) of Article G (MISCELLANEOUS PROVISIONS), all of Chapter 1 (SOLID WASTE CONTROL), Title 5 (TRANSPORTATION AND ENVIRONMENTAL SERVICES) of The Code of the City of Alexandria, 1981, as amended.
THE CITY COUNCIL OF ALEXANDRIA HEREBY ORDAINS:

Section 1. That Section 5-1-2 of The Code of the City of Alexandria, Virginia, 1981, as amended, be and the same hereby is amended by amending subsection (12) and by adding new subsections (12a) and (12b), to read as follows:

Sec. 5-1-2 Definitions.





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(12) Recyclable materials. For purposes of this chapter, recyclable materials shall consist of newspapers, magazines and similar printed materials.

(12a) Required user. The owner of any required user property.

(12b) Required user property. Any single family, two family or row dwelling, or any building or structure used solely for residential purposes and containing four or fewer dwelling units, that is located within the city, excluding ade to the city.

Section 2. That this ordinance shall be deemed to be enacted on the date of its final passage, but shall not be effective until 60 days subsequent to the provision of written notice by certified mail from the city clerk to the registered agents of the seller telephone companies and other persons required to collect the taxes imposed by the ordinance.

Introduction: 4/25/92
First Reading: 4/25/92
Publication: 3/26/92; 3/27/92
Public Hearing: 3/30/92
Second Reading: 5/11/92
Final Passage: 5/11/92

THERE BEING NO FURTHER BUSINESS TO BE CONSIDERED, upon motion by Councilman Donley, seconded by Vice Mayor Cleveland and carried unanimously, at 11:00 p.m., the Special Meeting of May 11, 1992, was adjourned. The voting was as follows:

Donley "aye" Jackson "aye"
Cleveland "aye" Pepper "aye"
Ticer "aye" Rich "aye"
Speck "aye"


ATTEST:


_____________________________
Beverly I. Jett, CMC City Clerk







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This docket is subject to change.

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Full-text copies of ordinances, resolutions, and agenda items are available in the Office of the City Clerk and Clerk of the Council.
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Individuals with disabilities who require assistance or special arrangements to participate in the City Council meeting may call the City Clerk and Clerk of Council's Office at 838-4500 (TTY/TDD 838-5056). We request that you provide a 48-hour notice so that the proper arrangements may be made.
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