CITY OF LANETT

REGULAR SCHEDULED COUNCIL MEETING

August 15, 2005

The City Council of the City of Lanett, Alabama, met in regular session on Monday, August 15, 2005, in the Council Chambers of the Lanett Municipal Complex at 6:00 P.M. The roll was taken and the following were found to be present: Councilmember Jamie Heard, Kyle McCoy, John Duskin, and Mike Yarbrough. Tony Malone was absent. Mayor Oscar Crawley was present and presided over the meeting.

Reverend Horace Blount said the invocation and led the pledge of allegiance.

Councilmember Duskin made the motion to adopt the prepared agenda. Councilmember McCoy seconded the motion. Motion unanimously passed.

Councilmember Yarbrough made the motion to dispense with reading and to adopt the minutes of the regular scheduled meeting of August 1, 2005. Councilmember McCoy seconded the motion. Motion unanimously carried.

Councilmember Heard had nothing this evening.

Councilmember McCoy read Resolution 08-05-02 Medical –Dental Self Insurance MCA Administrators.

The City of Lanett received a 16.48% increase from Blue Cross Blue Shield of Alabama, our current medical and dental insurers. MCA Administrators, A Managed Care of America, Inc. submitted a plan that will allow the city to become self-insured and save the city money long range. Councilmember McCoy made a motion to adopt Resolution 08-05-02 seconded by Councilmember Duskin and Councilmember Yarbrough. Motion was unanimously carried. McCoy said that in the work session went into great detail with City Manager Holley and along with the providers from MCA Administrators. Councilmember McCoy said this would be the best plan to provide better coverage than what the city has. Hopefully it will be a win-win situation.

Councilmember McCoy read Resolution 08-05-03 Corporate Authorization Resolution authorizing the Mayor, City Manager, City Treasurer and City Clerk to be able to sign legal documents, such as payroll checks and other checks. Councilmember McCoy made a motion to adopt Resolution 08-05-03 seconded by Councilmember Yarbrough. Councilmember Duskin asked about the two signatures required and if there is any stipulation. Councilmember McCoy said any two of the four listed would sign checks. City Manager Holley said the former resolution would remove the former mayor, city manager, and city clerk. Motion unanimously carried.

Councilmember Duskin read Resolution 08-05-04 Downtown Revitalization. The Alabama Community Development Block Grant Program has been established to assist local government in meeting community development and housing needs. The City of Lanett received assistance from ADECA under the Community Development Block Grant program for the purpose of developing a central business district revitalization plan. The City of Lanett has completed the Downtown Revitalization Plan for Old Lanett. Councilmember Duskin made a motion to adopt Resolution 08-05-04 seconded by Councilmember McCoy. Councilmember McCoy said this is a long time coming and is looking forward to the realization project. Councilmember McCoy wanted to thank Mayor Crawley and City Manager Holley for all your hard work. City Manager Holley says the final plans and changes to be noted by Mrs. Towry. The city has to have them in to the State of Alabama, by August 29, 2005. There will be a public hearing on August 23, 2005 at 1:00 P.M. Councilmember Yarbrough wanted to thank Mayor and City Manager. Motion unanimously carried.

Councilmember Yarbrough presented a certificate to School Resource Officer Carl Worthy for his work in the schools throughout the years and now is the Dare Instructor.

City Manager Holley made his comments and he wants to thank the mayor and council. This was the very first work session that the City Manager Holley has been in since coming to work with the city. City Manager Holley said that he had some good comments from the citizens of Lanett. City Manager Holley said there would be no council meeting on Monday, September 5, 2005, because it is Labor Day. The next council meeting will be September 19, 2005. City Manager Holley says that we want to keep you informed. The City still owes the State of Alabama about $34,000.00 and that will completely settle our judgment from our lawsuit on theWaste Treatment Plant. There will some tours of the Waste Treatment Plant. The city has a bond payment that is due September 1, 2005 in the amount of

$52,000.00. The City Manager Holley spoke to Harold Dunson on repairing the gas leak the City of Lanett has on Cherry drive.

The City Manager Holley wanted to bring to the Mayor and Council a motion to increase the service charge on return checks from $20.00 to $30.00. McCoy made a motion to raise the return check fee from $20.00 t0 $30.00 and Councilmember Yarbrough seconded the motion. Motion unanimously carried. City Manager Holley commented on how the return checks are coming. When you write a check on closed account, the city has a right to cut the customer off.

City Manager wants the Mayor and Council to give him the authority if needed on a line of credit with several banks. City Manager Holley talked to John Swain and he is our broker for Texican. Mr. Swain buys gas for the city and the city has a fifty- percent reserve in storage. City Manager Holley and City Clerk Deborah will be watching it pretty close.

City Manager Holley talked to the city Attorney Larry Nix and would like some directions from the Mayor and Council to prepare an ordinance for a half (½%) cent sales tax. The city really needs the money and the City of Valley is considering a one (1-%) cent sales tax. The city could finish several projects and this could be put in place by the new fiscal year. Councilmember McCoy said this is not a vote of the people of the City of Lanett. Councilmember McCoy said we should have a public forum to allow the citizens of Lanett to speak on this issue. City Manager Holley told the mayor and council that he would set up a public forum. Councilmember Yarbrough comments that the city has many serious issues that we are facing. The city employees have been let go and they have not had a raise in several years. City Manager Holley said the sales tax is higher in Opelika and Auburn, Alabama.

City Manager would like to present to the mayor and council a proposal or ordinance sort of comprehensive in nature. The city has already absorbed a four percent (4%) increase to the cost of electricity as of last October 1. The electrical rates have not gone up from Alabama Municipal Electrical Authority, which we purchase electricity from in 14 years. Alabama Municipal Electrical authority contract with Alabama Power and Sepa has run out and they have to renegotiate. The first time in 14 years they are going up a total of 8%, 4% last October, and 2 more percent this October 1 and another 2% following that. City Manager Holley proposed that the city go up a 6% on electrical rates, which includes our cost that will keep us where we are now. City Manager also proposed to do away with the percentage late fee and go to a $50.00 flat rate charge and along with that the city waive late charges one or two times in a year. City Manager Holley proposed to do away with deposits and charge a connection fee $300.00 to $350.00. The city would allow the customer to pay the fee in three months. City Manager recommends for the city to go up on reconnection fee from $50.00 to $100.00 to $150.00.

City Manager Holley met with the Hunt brothers from Mr. Greenjeans, which we already have a contract with for household garbage. The city’s brush truck has been out of service a little over two weeks and is pretty old. Mr. Bass provided the City Manager Holley with the amount that he picked up last year, which is 2,910 tons of garbage (5,821,000 pounds). Mr. Bass has already exceeded that amount this year and still has 2 months to go. Mr. Greenjeans proposed for $3.80 per resident and they would pick up all the brush, leaf cuttings and grass cuttings the same day they pickup garbage with another truck. Once a month they would come around and pick up old appliances. Mr. Greenjeans would put out a brochure, which would have the schedule and the customers would know when they would be picked up.

City Manager Holley commented on the Airport. Mr. Jimmy Scott, with Northstar Engineers met with City Manager Holley and Jerry Thrower. The City of Lanett already has a five-year capital improvement plan for the Lanett Municipal Airport and we have $382,000.00 sitting in the pot. We have almost got all of our properties worked out. City Manager Holley said the city could make our airport vital. Mr. Scott informed the city that the FFA participating in projects at 95% to 5% match. The State comes in and of the 5%, they will pick up 2-½% and the city would be left with 2-½% match. FFA is now participating in projects to do fuel sales, self-service fuels, additional terminal buildings and hanger projects. The City is at a good time and this would make our airport functional.

City Manager Holley comments on the animal control for the month of July 2005, is 36 dogs, 45 cats, and other animals are 5, which brings the total for the month of July 2005 to 86 pickup. There were a total of 71 animals turned over to the humane society.

Carl Bullard appeared before the council meeting to discuss the Utility Rate comparison. Several realities have made comments on how high the utility bills are in Lanett and that is why people do not move to Lanett. The rate comparison Carl Bullard did showed that the City of Lanett is not as high as some of the other cities.

City Manager made comments on the Council Chamber, how nice it looks. City Manager Holley wanted to thank Joe Daniel, City Clerk Deborah Daniel’s husband for the idea for the ceilings in the chamber, to fill in the cracks with sheet rock mud that was mixed with white paint. This will save the city money and we can use city employees to do the job.

David Pickard Head Basketball Coach appeared before the council meeting along with Principal Joan Gilbert, Superintendent Charles Looser, teacher Vickie Looser and high school coach Ronnie Sikes to present the School Resource Officer Carl Worthy with a Plaque from Lanett High School’s state basketball runner-up team from last season. Athletic Director/Head Football Coach Ronnie Sikes also thanked the mayor and council for providing what they needed for the banquet, traveling and other things.

Mayor Crawley thanked the Lanett City Board for the new Dare Car.

Mayor Crawly made a motion to adjourn.

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Oscar Crawley, Mayor

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Deborah Daniel, City Clerk