May 19, 2003

A regular meeting of the City Council was held on Monday, May 19, 2003, at 7:00 p.m. in the Council Chambers of City Hall. Mayor Black presided. The Pledge of Allegiance to the Flag was recited in unison.

Council members present:	Drummond Black, Mary Currie, Daryl Griggs, Marty Wazbinski
Council members absent:	Hollis McKeag (excused)

MINUTES

Approval of the minutes of the May 12, 2003 regular meeting was offered by Council Member Griggs and seconded by Council Member Currie. (Motion adopted.)

2003 MAKE MIDLAND BEAUTIFUL POSTERS

Jan Yuergens, Administrative Assistant for Public Services, on behalf of the Beautification Advisory Committee of the Parks and Recreation Commission, introduced Maureen Donker and Bernadette VanSlyck, co-chairs of the “2003 Make Midland Beautiful Program”. Twenty-two elementary and middle school children were present and recognized for their works of art that depict, from their perspective, what makes Midland beautiful. Mayor Black, with assistance from co-chairs Donker and VanSlyck, recognized each child.

WORLD NO TOBACCO DAY

Selina Tisdale, Community Relations Coordinator, introduced Susan Dusseau from Midland Community Cancer Services. Ms. Dusseau requested Council proclaim May 31, 2003 as World No Tobacco Day. The following resolution was then offered by Council Member Wazbinski and seconded by Council Member Griggs:

RESOLVED, that the Mayor is authorized to issue the attached proclamation designating May 31, 2003, as World No Tobacco Day in Midland. (Motion adopted.) Mayor Black presented Ms. Dusseau with the proclamation.

ZONING PETITION NO. 500

Jon Lynch, Assistant City Manager and Director of Planning and Community Development, presented information on Zoning Petition No. 500 – rezoning property west of the intersection of Jefferson Avenue and Wackerly Street from Office-Service 2 to Business B-1. Mr. Lynch indicated the Planning Commission recommended denial of the petition. In Mr. Lynch’s letter to Council he indicated a majority of the Planning Commission felt the requested rezoning change would not be keeping with the established master plan and could allow the introduction of undesirable land uses into the area. The Planning Department determined at least 20% of the owners land within 100 feet of the proposed rezoning have submitted letters of objection. In accord with Section 25.1(d) of the Zoning Ordinance a 4/5 vote of the City Council is required to approve the rezoning. A public hearing opened at 7:31 p.m. Sheila Messler speaking on behalf of the petitioner Todd Bennett, indicated the petitioner intended to house offices and various other stores in the building. Ms. Messler urged Council to approve the request. The hearing closed at 7:42 p.m. During Council discussions, Council Member Currie indicated she would vote against the rezoning, citing concerns over the future of the area and the type of establishments that could be brought in under a Business B-1 zoning. Council Member Wazbinski indicated he would also vote against the rezoning, indicating concern over a buffer area. Mayor Black indicated he would vote against the rezoning, indicating the Master Plan opposes this use in this area. Council Member Griggs indicated he would support the rezoning as submitted. The following ordinance amendment was then offered by Council Member Currie and seconded by Council Member Griggs:

ORDINANCE NO. ______

AN ORDINANCE TO AMEND ORDINANCE NO. 727, BEING AN ORDINANCE TO REGULATE AND RESTRICT THE LOCATION OF TRADES AND INDUSTRIES AND THE LOCATION OF BUILDINGS DESIGNED FOR SPECIFIC USES, TO REGULATE AND LIMIT THE HEIGHT AND BULK OF BUILDINGS HEREAFTER ERECTED OR ALTERED, TO REGULATE AND DETERMINE THE AREA OF YARDS, COURTS, AND OTHER OPEN SPACES SURROUNDING BUILDINGS, TO REGULATE AND LIMIT THE DENSITY OF POPULATION, AND FOR SAID PURPOSES, TO DIVIDE THE CITY INTO DISTRICTS AND PRESCRIBE PENALTIES FOR THE VIOLATION OF ITS PROVISIONS BY AMENDING THE ZONING MAP TO PROVIDE A BUSINESS B-1 WHERE AN OFFICE SERVICE 2 ZONING PRESENTLY EXISTS.

The City of Midland Ordains:

Section 1. That the Zoning Map of Ordinance No. 727, being the Zoning Ordinance of the City of Midland, is hereby amended as follows:

COMMENCING 482 FEET WEST OF THE NORTHEAST SECTION CORNER OF SECTION 4, T14N-R2E, CITY OF MIDLAND, MIDLAND COUNTY, MICHIGAN; THENCE SOUTH 264 FEET; THENCE WEST 165 FEET; THENCE SOUTH 196.78 FEET; THENCE NORTHWESTERLY 269.29 FEET; THENCE NORTH 251.77 FEET; THENCE EAST 370 FEET TO THE POINT OF BEGINNING.

be, and the same is hereby changed to Business B-1.

Section 2. All Ordinances or parts of Ordinances in conflict herewith are hereby repealed only to the extent necessary to give this Ordinance full force and effect.

Section 3. This Ordinance shall take effect upon publication. (Ordinance denied. Yeas: Griggs Nays: Black, Currie, Wazbinski)

PUBLIC COMMENTS

No comments were made.

2003-04 CITY OF MIDLAND BUDGET

Robert Fisher, Director of Fiscal Services, gave an overview of the proposed 2003-04 Budget. The original proposed budget submitted on April 14, 2003, proposed a total City tax of 13.01 mills. Included in the 13.01 millage rate was a 25% funding increase in premiums for employee health insurance costs, staff was notified prior to May 5^th that the actual increase would be 16.5%, decreasing the City tax rate to 12.90 mills. Mr. Fisher, upon Council request, presented a report on the effect on the tax rate if proposed storm sewer improvements were to be financed over a longer period of time by issuing limited tax general obligation bonds. The report compared tax rates on a pay-as-you-go basis over 2 years, a 10-year bond issue or a 20-year bond issue. For discussion purposes Mayor Black suggested looking at the 10-year bond issue that would reduce the millage now but would increase the amount of money needed to repay the bond. Council Member Wazbinski indicated he was comfortable with the 12.90 proposed tax millage rate and Council Member Currie indicated she had received no comments from residents regarding the tax rate. The following resolution was then offered by Council Member Currie and seconded by Council Member Wazbinski:

WHEREAS, a public hearing on the 2003-2004 budget was held on Monday, May 12, 2003, at 7:00 p.m., in accord with Section 11.4 of the Charter of the City of Midland and State of Michigan Act 5, Public Acts of 1982, as amended; and

WHEREAS, MCL 211.44 permits local governments which administer property taxes to impose a Property Tax Administration Fee not to exceed one percent (1%) on taxes payable before February 15 of the succeeding year; and

WHEREAS, Section 12.17 of the Charter of the City of Midland requires the City Treasurer to add a four percent (4%) collection fee to all City taxes paid after the 15th day of September; and

WHEREAS, pursuant to MCL 211.44, as amended, the governing body must approve by resolution or ordinance an authorization for the imposition of a property tax administration fee, collection fee or any type of late penalty charge; and

WHEREAS, it is the desire of the governing body of the City of Midland to authorize the imposition of a one percent (1%) tax administration fee and a four percent (4%) late penalty collection fee to all applicable taxes levied by all taxing units and payable to the City of Midland; and

WHEREAS, the taxable value of real and personal property in the City of Midland has been determined to be $2,393,841,600 plus $74,619,650 of value on the Industrial Facilities Tax Roll; now therefore

RESOLVED, that the budget of the City of Midland for the fiscal year beginning July 1, 2003 and ending June 30, 2004 is hereby determined and adopted as follows:

GENERAL FUND
Sources of Funds:
Taxes	$30,119,500
State funds	3,818,000
Other revenues	5,629,970
Fund balance	(1,298,711)
Total Sources of Funds	$38,268,759
Appropriations:
General programs	$31,744,103
Capital improvement	450,334
Transfers to other funds	5,724,322
Contingencies	350,000
Total Appropriations	$38,268,759
MAJOR STREET FUND
Sources of Funds:
State gas and weight tax	$2,550,000
Other revenues	809,589
Fund balance	180,413
Total Sources of Funds	$3,540,002
Appropriations:
Street maintenance	$ 1,449,427
Street construction	1,381,000
Transfers to other funds	689,575
Contingencies	20,000
Total Appropriations	$ 3,540,002
LOCAL STREET FUND
Sources of Funds:
State gas and weight tax	$ 700,000
Other revenues	831,000
Transfers from other funds	600,000
Fund balance	72,838
Total Sources of Funds	$2,203,838
Appropriations:
Street maintenance	$ 1,052,475
Street construction	945,000
Transfers to other funds	186,363
Contingencies	20,000
Total Appropriations	$ 2,203,838
GRACE A. DOW LIBRARY FUND
Sources of Funds:
Operating revenues	$ 330,652
State funds	60,000
Other revenues	263,000
Transfers from other funds	2,787,162
Total Sources of Funds	$ 3,440,814
Appropriations:
Operating expenditures	$ 3,381,314
Capital expenditures	59,500
Total Appropriations	$ 3,440,814

COMMUNITY DEVELOPMENT
BLOCK GRANT FUND
Sources of Funds:
Federal grants	$ 511,085
Program income	180,000
Fund balance	(81,327)
Total Appropriations	$ 609,758
Appropriations:
Residential home rehabs	$ 300,808
Other expenditures	298,950
Contingencies	10,000
Total Appropriations	$ 609,758
CABLE COMMUNICATIONS FUND
Sources of Funds:
Operating revenues	$ 491,250
Other revenues	5,952
Fund balance	(17,494)
Total Sources of Funds	$ 479,708
Appropriations:
Operating expenditures	$ 412,208
Capital expenditures	55,500
Contingencies	12,000
Total Appropriations	$ 479,708
DOWNTOWN DEVELOPMENT
AUTHORITY FUND
Sources of Funds:
Property taxes	$ 409,000
Other revenues	30,000
Fund balance	(62,853)
Total Sources of Funds	$ 376,147
Appropriations:
Operating expenditures	$ 167,230
Transfers to other funds	193,917
Contingencies	15,000
Total Appropriations	$ 376,147
DEBT SERVICE FUND
Sources of Funds:
Property taxes	$ 1,579,815
Other revenues	199,610
Total Sources of Funds	$1,779,425
Appropriations:
Other expenditures	$ 1,779,425
DDA DEBT SERVICE FUND
Sources of Funds:
Transfers from other funds	$ 163,917
Appropriations:
Bond principal	$ 135,000
Bond interest	27,742
Other expenditures	1,175
Total Appropriations	$ 163,917
SANITARY LANDFILL FUND
Sources of Funds:
Operating revenue	$ 2,748,875
Other revenue	45,621
Working capital	(537,085)
Total Sources of Funds	$ 2,257,411

Appropriations:
Operating expenses	$ 1,716,998
Other expenses	129,221
Capital expenses	361,192
Contingencies	50,000
Total Appropriations	$ 2,257,411
WASHINGTON WOODS FUND
Sources of Funds:
Operating revenues	$ 1,131,570
Other revenues	20,176
Working capital	(13,807)
Total Sources of Funds	$ 1,137,939
Appropriations:
Operating expenses	$ 1,033,639
Other expenses	93,300
Capital expenses	1,000
Contingencies	10,000
Total Appropriations	$ 1,137,939
RIVERSIDE PLACE FUND
Sources of Funds:
Operating revenues	$ 911,142
Other revenues	56,253
Working capital	55,140
Total Sources of Funds	$ 1,022,535
Appropriations:
Operating expenses	$ 920,003
Other expenses	70,732
Capital expenses	21,800
Contingencies	10,000
Total Appropriations	$ 1,022,535
GOLF COURSE FUND
Sources of Funds:
Operating revenues	$1,042,800
Other revenues	12,574
Working capital	(29,380)
Total Sources of Funds	$1,025,994
Appropriations:
Operating expenses	$ 973,744
Capital expenses	42,250
Contingencies	10,000
Total Appropriations	$1,025,994
PARKING FUND
Sources of Funds:
Operating revenues	$ 86,809
Other revenues	1,572
Transfers from other funds	30,000
Working capital	57,564
Total Sources of Funds	$ 175,945
Appropriations:
Operating expenses	$ 175,945
TRANSPORTATION (DIAL-A-RIDE)
FUND
Sources of Funds:
Operating revenues	$ 857,178
Transfers from other funds	509,450
Total Sources of Funds	$ 1,366,628
Appropriations:

Operating expenses	$ 1,273,880
Other expenses	67,748
Capital expenses	15,000
Contingencies	10,000
Total Appropriations	$ 1,366,628
WASTEWATER FUND
Sources of Funds:
Operating revenues	$ 4,237,100
Other revenues	1,863,235
Bond proceeds	400,000
Working capital	(174,071)
Total Sources of Funds	$ 6,326,264
Appropriations:
Operating expenses	$ 2,897,537
Other expenses	194,127
Interest expense	903,600
Capital expenses	663,500
Retirement of debt	1,655,000
Contingencies	12,500
Total Appropriations	$ 6,326,264
WATER FUND
Sources of Funds:
Operating revenues	$ 8,192,204
Contractual revenue	1,199,086
Other revenues	203,792
Working capital	1,687,749
Total Sources of Funds	$11,282,831
Appropriations
Operating expenses	$ 5,431,088
Other expenses	313,151
Interest expense	927,504
Capital expenses	2,509,460
Retirement of debt	2,001,628
Contingencies	100,000
Total Appropriations	$ 11,282,831
STORMWATER MANAGEMENT FUND
Sources of Funds:
Operating revenues	$ 19,000
Other revenues	4,500
Transfer from other funds	2,350,038
Fund balance	(22,208)
Total Sources of Funds	$ 2,351,330
Appropriations:
Operating expenses	$ 756,330
Capital expenses	1,570,000
Contingencies	25,000
Total Appropriations	$ 2,351,330
DATA PROCESSING OPERATIONS
Sources of Funds:
Operating revenues	$ 857,820
Other revenues	11,259
Working capital	178,957
Total Sources of Funds	$ 1,048,036
Appropriations:
Operating expenses	$ 951,536
Other expenses	21,500
Capital expenses	50,000
Contingencies	25,000
Total Appropriations	$ 1,048,036
DATA PROCESSING RENTAL FUND
Sources of Funds:
Operating revenues	$ 10,000
Other revenues	10,603
Working capital	295,197
Total Sources of Funds	$ 315,800
Appropriations:
Operating expenses	$ 115,800
Capital expenses	200,000
Total Appropriations	$ 315,800
EQUIPMENT REVOLVING FUND
Sources of Funds:
Operating revenues	$ 3,142,420
Other revenues	137,113
Working capital	431,597
Total Sources of Funds	$ 3,711,130
Appropriations:
Operating expenses	$ 2,146,738
Other expenses	132,092
Capital expenses	1,407,300
Contingencies	25,000
Total Appropriations	$ 3,711,130
SERVICE CENTER RENTAL FUND
Sources of Funds:
Operating revenues	$ 190,000
Other revenue	9,133
Working capital	20,858
Total Sources of Funds	$ 219,991
Appropriations:
Operating expenses	$ 169,991
Capital expenses	40,000
Contingencies	10,000
Total Appropriations	$ 219,991
HEALTH CARE PLAN FUND
Sources of Funds:
Operating revenues	$ 1,025,000
Other revenues	100,000
Working capital	(1,125,000)
Total Sources of Funds	$ 0
Appropriations:
Operating expenses	$ 0
PROPERTY AND LIABILITY
INSURANCE FUND
Sources of Funds:
Operating revenues	$ 938,764
Working capital	41,440
Total Sources of Funds	$ 980,204
Appropriations:
Operating expenses	$ 980,204
; and

RESOLVED FURTHER, that the City Assessor is hereby authorized and instructed to levy 10.13 mills for operations, 2.13 mills for tax appeal contingency reserve and 0.64 mills for general obligation debt, a total of 12.90 mills, on the Taxable Value of the various classes of property in the City of Midland on the 2003 City tax roll, in accordance with provisions of Act 114, Public Acts of 1979; and

RESOLVED FURTHER, that in accordance with the recommendation of the Downtown Development Authority, the City Assessor is hereby authorized and instructed to levy an additional 2.00 mills for operations on the Taxable Value of the various classes of property on the 2003 City tax roll in the Downtown Development District; and

RESOLVED FURTHER, that in accordance with MCL 211.44 the City Assessor is hereby authorized and instructed to impose a tax administration fee of one percent (1%) on all applicable taxes levied on both the Summer and Winter property tax bills, to offset costs incurred by the City of Midland in assessing property values, collecting property tax levies and in the review and appeal processes; and

RESOLVED FURTHER, that the City Treasurer is hereby authorized and instructed to add to all taxes paid after the legal due dates of September 15 and February 14 (or the next business day if those dates fall on a holiday or weekend) a four percent (4%) late penalty collection fee, said collection fee to be calculated on the base tax plus the one percent (1%) tax administration fee; and

RESOLVED FURTHER, that all property tax revenues resulting from said 2.13 mill tax appeal contingency levy shall be placed in a Tax Appeal Contingency Reserve within the General Fund, shall be restricted solely for adjustments resulting from the major tax appeals of Midland Cogeneration Venture, The Dow Chemical Company, and the Dow Corning Corporation for 1997 and subsequent years, and shall be accumulated until final disposition of said tax appeals occurs, whereupon any unused funds in said Reserve shall be returned to City taxpayers through a future millage reduction. (Motion adopted.)

SITE PLAN NO. 226 – THE COURTS OF JOSEPH’S RUN

Jon Lynch, Assistant City Manager and Director of Planning and Community Development, presented information on Site Plan No. 226 for The Courts of Joseph’s Run. Mr. Lynch indicated the Planning Commission recommended denial of Site Plan No. 226. Mr. Lynch submitted a letter to Council setting forth the reasons for denial of the site plan. The Planning Commission failed to recommend approval of the plan on the basis that 1) vehicular circulation would impose an unnecessary burden on the adjacent public street 2) on site screening would not provide sufficient protection of neighboring properties, and 3) placement of structures on the site would be detrimental to the surrounding neighborhood. In response to the Planning Commissions findings the developer submitted a revised site plan on May 8^th, which was presented to City Council on May 19^th. The site plan calls for an 18-site single-family unit site condominium project on the north side of Joseph Drive, north of the Village of Joseph’s Run. The development, as proposed, would consist of three private cul-de-sacs running north from Joseph Drive, each serving as access for six sites. Jerome Schafer, 2750 E. Mier, spoke on behalf of the petitioner F/A Pnacek, LTD. Mr. Schafer indicated the original site plan was revised to have a 15’ side setback instead of a 7’ set back and the petitioners would be willing to accept a 25’ wide roadway with parking on one side instead of parking on both sides. He indicated trash would be placed at the curb. Units will range from 1500 square foot to 1700 square foot. Mayor Black questioned whether the developer would be building on sites or selling sites. Mr. Schafer indicated that it could be either. Mr. Schafer indicated they did not anticipate placing street lighting but felt light fixtures on units would be enough illumination, he also indicated that screening was not in the plan. Mark Rapanos, 3702 Oakbrook Drive, opposed the site plan indicating the size of the structures would be detrimental to other neighbors. John Rapanos, 1012 W. Sugnet Road, commented the site plan called for side yards of units to face back yards of houses on Oakbrook, opposed the plan to light streets by using house lights, felt the side yards backing up to back yards was a violation of the zoning ordinance, felt traffic would be a problem and urged Council to reject the plan. Mike Pnacek, one of the family members involved in F/A Pnacek, LTD stated if necessary they could build units on 60’ lots with drives running out to Joseph Drive. Michael Lauerson, Oakbrook Drive, opposed the site plan, citing traffic issues. John Rapanos, 1012 W. Sugnet, indicated again that Council should deny the plan and send it back to the Planning Commission. After comments Council discussed the issue and set forth its reasons and conditions as follows:

a) Council Member Griggs

1) Side placement of structures backing up to back yards of existing development in the surrounding neighborhood would be detrimental to the character of the neighborhood.

2) Exterior house lights would be inadequate and would be parallel to lots on Oakbrook

3) Would like to see screening adjacent to Oakbrook lots – lacks provision for screening.

b) Council Member Black

1) Would like to see a fence 6’ high.

c) Council Member Currie

1) Inadequate lighting.

2) Would like screening all the way down the back of property abutting Oakbrook property.

3) Service drive to control volumes of vehicular traffic, felt plan was inadequate for flow of vehicular traffic off Joseph Drive.

d) Council Member Wazbinski

1) Provide service drive to control vehicular traffic.

2) Place screening adjacent to back yards of houses on Oakbrook Drive.

After citing the above findings, Council indicated the following conditions, in addition to the conditions already recommended by the Planning Commission, would need to be in place. Conditions stated are in compliance with Section 25.4(d) of the City of Midland Zoning Ordinacne:

1) On-site landscaping or screening must provide protection to neighboring properties from detrimental features of the development. Clerk’s note: Meeting this condition would comply with Section 25.3(e) of the Zoning Ordinance – Screening would provide protection from illuminating sources – vehicular lights, house lights.

2) Parking restrictions one side only. Clerk’s note: Placement of this restriction would comply with Section 25(4)(1) provisions for vehicular loading, unloading and parking, and for vehicular and pedestrian circulation on the site and onto adjacent public streets and ways shall not create hazards to the land, or will impose a significant burden upon public facilities which could be avoided by modification in the plan.

After citing the above conditions, Council placed the item before the Clerk for written inclusion into the minutes. The following resolution was then offered by Council Member Currie and seconded by Council Member Wazbinski:

WHEREAS, the City Council has received the recommendation of the City Planning Commission for denial of Site Plan No. 226, the request of F/A Pnacek, LTD for construction of 18 site condominiums off of Joseph Drive east of Jefferson Avenue; and

WHEREAS, the City Council has reviewed the proposed Site Plan No. 226 in accord with the provisions set forth in Sections 25.3 and 25.4 of the Zoning Ordinance of the City of Midland; now therefore

RESOLVED, that the City Council does hereby approve Site Plan No. 226, date stamped May 8, 2003, contingent upon the following:

1. Following construction utility easements and a detention pond location easement shall be provided.

2. Site lighting will not cast illumination off site.

3. Storm water retention plans shall be reviewed and approved by the City of Midland Engineering Department.

4. Sidewalk shall be installed during 2004 construction year and the developer shall provide a financial guarantee in an amount equal to the cost of installation valid until November 1, 2005.

5. Screening shall be provided along the north property line.

(Motion denied. Yeas: Black, Wazbinski Nays: Currie, Griggs)

ANNEXATION OF PROPERTY ON JEFFERSON ROAD FROM LARKIN TWP

The following resolution was offered by Council Member Griggs and seconded by Council Member Currie:

RESOLVED, that the City Council of the City of Midland herewith approves the annexation of the following described properties to the City of Midland:

THE SOUTH ½ OF THE NORTHEAST ¼ OF SECTION 33, TOWN 15 NORTH, RANGE 2 EAST, LARKIN TOWNSHIP, MIDLAND COUNTY, MICHIGAN, EXCEPT BEGINNING AT THE NORTHEAST CORNER OF THE SOUTH ½ OF THE NORTHEAST ¼ OF SECTION 33, THEN WEST 528 FEET, THEN SOUTH 165 FEET; THEN EAST 528 FEET; THEN NORTH 165 FEET TO THE PLACE OF BEGINNING; AND EXCEPT COMMENCING AT A POINT 600 FEET NORTH OF THE EAST ¼ CORNER OF SECTION 33, T15N, R2E, THEN NORTH 290 FEET ALONG THE EAST SECTION LINE; THEN WEST 450 FEET; THEN SOUTH 290 FEET; THEN EAST 450 FEET TO THE PLACE OF BEGINNING.

pursuant to Section 9(8) of Public Act 279 of the State of Michigan of 1909, as amended {MSA 5.2088; MCLA 117.9} as a result of a similar petition filed both with the City of Midland and the Township of Larkin, by the property owners which hold 100 percent of the record legal title to said property, and upon which no qualified electors, other than the petitioners, presently reside, with said annexation to the City of Midland to be accomplished upon the passage of a similar resolution by the Township Board of the Township of Larkin; and

RESOLVED FURTHER, that the Planning Department shall forward a copy of this resolution to the Office of the Great Seal in the Secretary of State’s Office, and the City Clerk shall forward a copy to the Midland County Clerk. (Motion adopted.)

2003 DILLOWAY & GEORGE STREET RECONSTRUCTION; CONTRACT NO. 9

The following resolution was offered by Council Member Griggs and seconded by Council Member Currie:

WHEREAS, sealed proposals have been advertised and received in accord with Article II of Chapter 2 of the Midland Code of Ordinances for the narrowing of George Street at the Midland Community Center and the widening of Dilloway Drive on both sides of Eastman Avenue and replacement of the water main on Dilloway Drive east of Eastman; and

WHEREAS, funding for this project is provided by the Major Street Fund (03/04), Local Street Fund (02/03 and 03/04) and Water Fund (03/04); now therefore

RESOLVED, that the low sealed proposal submitted by Johnston Contracting of Midland, Michigan, for the "2003 Dilloway & George Street Reconstruction; Contract No. 9", in the indicated amount of $120,703.00, based upon City estimated quantities is hereby accepted and the Mayor and the City Clerk are authorized to execute a contract therefore in accord with the proposal and the City's specifications; and

RESOLVED FURTHER, that the City Manager has the authority to approve change orders modifying or altering this contract in an aggregate amount not to exceed $20,000. (Motion adopted.)

PURCHASE – BIOSOLIDS FOR WASTEWATER

The following resolution was offered by Council Member Griggs and seconded by Council Member Currie:

WHEREAS, in 1985, the City began utilizing the biosolids disposal technique of Land Application as the most cost effective and environmentally sound alternative available; and

WHEREAS, sealed bids for the contract of Wastewater - Land Application of Biosolids, Bid No. 2665, for a three-year period July 1, 2003 to June 30, 2006, have been advertised and received in accord with Section 2-18 of the Midland Code of Ordinances; and

WHEREAS, sufficient funds will be made available in the 2003/04 Wastewater Sludge Hauling account; now therefore

RESOLVED, that the low sealed proposal submitted by Biotech Agronomics of Honor, Michigan for the indicated price per gallon of biosolids of $0.0234 for up to 3,000,000 gallons per year, at a total annual amount of $70,200, is hereby accepted and purchase orders are authorized; and

RESOLVED FURTHER, that the City Manager is authorized to approve change orders modifying or altering the purchase orders in an amount not to exceed $10,000 in each of the agreements. (Motion adopted.)

PURCHASE – COMPOST SCREENER FOR LANDFILL

The following resolution was offered by Council Member Griggs and seconded by Council Member Currie:

WHEREAS, sealed bids (Bid No. 2660) have been advertised and received in accord with Article II of Chapter 2 of the Midland Code of Ordinances for the purchase of a Compost Screener for the City of Midland Sanitary Landfill; and

WHEREAS, funding is provided by the 2002/03 Sanitary Landfill Fund Capital Equipment account; now therefore

RESOLVED, that the sealed bid submitted by Erin Systems of Portland, Maine, for the indicated amount of $114,400 is hereby accepted and a purchase order is authorized. (Motion adopted.)

IFT REQUEST FROM DOW CORNING CORP

The following resolution was offered by Council Member Griggs and seconded by Council Member Currie:

RESOLVED, that an application dated May 9, 2003 was received May 9, 2003 from the Dow Corning Corporation with supporting data pursuant to Public Act 198 of the Public Acts of the State of Michigan of 1974, as amended, for an industrial facilities exemption certificate within the Dow Corning Corporation Industrial Development District relating to new facilities for building improvements, machinery and equipment with the facility intended to provide for an increase in the manufacturing capacity of a silicone product used primarily in the personal care industry and will reuse approximately 4300 square feet of processing space, install equipment specific to the production of silicone fluid as well as install equipment to aid in the recovery of waste in the amount of $3,400,000 relating to new facility approval to allow further expansion in the Dow Corning Corporation Industrial Development District is hereby acknowledged received and ordered placed on file in the City Clerk's office; and

RESOLVED FURTHER, a hearing shall be held before the City Council on Monday, June 9, 2003, at 7:00 p.m., in the Council Chambers at City Hall, 333 W. Ellsworth Street, Midland, Michigan, for the purpose of affording the applicant, the City Assessor and representatives of the affected taxing units an opportunity for a hearing on the application and the City Clerk shall provide written notice thereof in accordance with Section 5 of Public Act 198. (Motion adopted.)

Being no further business the meeting adjourned at 9:27 p.m.

______________________________________

Penny K. Kovacevich, City Clerk