CITY OF ROCKY RIVER

JANUARY 22, 2008

The Committee-of-the-Whole was called to order by Mr. Moran, President of Council, at 8:00 p.m.

Council Members Present: Mr. Hunt, Mr. Shepherd, Mr. Mylen, Mr. Furry,

Ms. Arabian, Mr. Long, Mr. Moran

Administration: Mayor Bobst, Mr. Linden, Mr. Koran, Mr. Patterson

Law Director: Mr. Bemer

Press: Mr. Saylor

The meeting was opened with the Pledge of Allegiance.

ECONOMIC AND COMMUNITY DEVELOPMENT DIRECTOR'S REPORT:

Development Code Update: Mr. Koran began by noting that this proposed update is a direct recommendation from the Master Plan which has been brought to the forefront by the Mayor and the Law Director. In May, a request for proposals was issued to 14 top Ohio consultants which do this type of work, and in June, four proposals were received. Mr. Koran, the Mayor, the Law Director, and Building Commissioner reviewed those proposals and came to a consensus on the two top consultants. The Administration met with each of them and the unanimous recommendation was the hiring of D.B. Hartt, a planning specialist who was the consultant chosen by NOACA to study the impact of the Avon interchange. He also worked for the City of Lakewood in their West End blight analysis. This is a large project which will require a great deal of work by the consultant, the BZA, the Planning Commission, the Administration and City Council because about 100 pages of the Codified Ordinances will be rewritten. Copies of the proposal will be distributed to Council members.

Heritage Home Loan Program (HHLP): Mr. Koran gave some background on the program which began in Rocky River in 2002, funded by the Cuyahoga County Treasurer's Office and administered by the Cleveland Restoration Society (CRS). On this evening's agenda is an ordinance authorizing payment of $5600 to the Society to pay for this program. He distributed the 2006 and 2007 activity in the program as reported by the HHLP. Statistics are given for three areas: technical assistance, signed loans and pending loans. One of the most significant values to the program in addition to the actual loans is the technical assistance, which is free to residents. For homes 50 years or older, low-interest loans are available from the Treasurer's Office with the assistance of the CRS. They will give advice on repairs to maintain the historical character of the home and recommend contractors who do this type of work. In 2006, the program was more active, perhaps because of economic conditions. Since 2002, another program, HELP, was opened by the Treasurer's Office. This program helps homeowners with low-cost loans regardless of the age of the home. The original cost of the HHLP was $5000 in 2002, and it has risen slightly to $5600 this year.

•Mr. Furry asked about loan limitations, which were determined to be $150,000 for HHLP and $250,000 for HELP.
•The Mayor noted that current economics may encourage investment in home improvement, and because the HHLP is a restoration program and not a preservation program, it can be flexible and provide a great amount of aid to residents.

Detroit Road Streetscape Project: This is also a recommendation from the Master Plan report and the Task Force. City Architecture was hired in August 2007 to improve the Detroit Road area and continue streetscape improvements made in the last two years. Mr. Volpe and an assistant looked at Old Detroit Road and Detroit Road and prepared a Power Point presentation which shows many downtown areas in other cities and then shows the Detroit Road areas of Rocky River. A meeting has been scheduled for 9:00 a.m. on Wednesday, January 30 at the Don Umerley Civic Center for stakeholders, who are primarily property owners in the area, and Mr. Koran encouraged Council members to attend. Mr. Volpe will make the presentation and seek input from property owners and tenants on what they would like to see in the area. To make the area unified and cohesive, City Architecture will be asked to make recommendations after receiving input from the stakeholders.

Center Ridge Road Corporate Corridor Project: This project, in its infancy, is a revival of meetings convened in 2006 and 2007 of office property owners on Center Ridge with Council members, Chamber members and others to brainstorm solutions to the vacancy situation of Center Ridge Road office buildings. The Mayor would like to invigorate this group and has asked Mr. Koran to compile a list of businesses on Center Ridge. About 400 have been identified and verification is now under way. The idea is to determine the types of businesses which occupy these buildings and to encourage clustering or complementary uses and in the process, increase the occupancy in the buildings. Mr. Koran noted that conditions have improved; he cited the Plaza West Building which now has only 7000 s.f. of available space in a 57,000 s.f. building.

Historic Districts: the Cuyahoga County Department of Development and the County Planning Commission have identified two historic districts in Rocky River which are eligible for the National Register. Mr. Koran said that this was significant because in order to be eligible for the National Register, a district must be 50 years or older and must be historically significant in the community. The two areas are Old Detroit commercial area and the residential area north of Detroit Road to Lake Erie from the Lakewood line to the Bay Village line.

The options for City action are:

•No action
•Creation of a local historic district, acknowledging the historic nature of the district.
•The most intensive is to make application to the Department of the Interior to create a National Register District, as has been done in Chagrin Falls, for instance. One benefit of this is that properties in the district are eligible for certain historic preservation tax credits. For example, if the owner of the old City Hall were to renovate the property, the amount spent could be used as a credit on income tax. There is no City incentive or benefit, but the private sector can benefit significantly. Mr. Koran will meet with Carol Poh, an expert in historic preservation in Cuyahoga County for decades, on Thursday. Her area of expertise is to write applications to the Department of the Interior for National Register designations.

Mr. Furry asked about restrictions imposed upon properties on the National Register, such as the use of specific materials original to the period during which the house was built. Mr. Koran responded that those restrictions apply only to the use of Federal funds to renovate the structure. He said that Federal funds may not be used to demolish the structure and if those funds are used to renovate the structure, guidelines provided by the 106 Historic Preservation Act must be observed. In Rocky River, Federal funds have not been used for renovation, so homeowners in the district can do as they wish with their properties within City guidelines. He further explained that the City can also create development restrictions within the district to regulate renovations or development if it wishes.

Mr. Shepherd asked about the tax credit and if it would impact City income tax receipts. Mr. Koran said that it was only for the Federal tax. Mr. Mylen noted that there are no credits for deductions on City income tax.

Mr. Mylen asked if signage would be changed in the district if it is placed on the National Register. Mr. Koran said that the City may do so, if it wishes, but just because a district is created, there are no new rules unless they are created by the City. Mr. Mylen asked if this may help to market the City. Mr. Koran acknowledged that it has been proven that historic buildings or a National Register District will improve property values over time. The City could create signage if it wishes, but it is not mandated.

Mr. Koran proceeded to his Development Report.

Beachcliff Market Square: As Council members know, Liberty Book Store, Chico's and Black House White Market closed after the holidays. The Liberty company went out of business several months ago. The other two closings were a corporate decision; sales were good but not good enough to keep the stores open, particularly with their Crocker Park stores so near. Last Thursday, about 10 executives from Madison-Marquette flew in and spent the day looking at the project. Mr. Koran reported that the property is wholly owned by the owner of Madison-Marquette, and he is committed to its success. They have immediately authorized the buildout of the empty storefronts, creating white boxes and new storefronts which will change the look of the center. Their impression is that the esthetics must be improved and a way to increase the street presence and the visibility from Detroit must be found. New signage is necessary, both for the Center and individual stores. A new sign package will be submitted to the City to change the look. The other major problem is parking. Even with these closed stores, it is difficult to find a parking space and this discourages potential tenants. A tentative agreement has been struck to share parking with the church next door; the site of Taylor Motors will be immediately paved and the acquisition of adjacent properties will be pursued for additional parking. National City Bank is moving to Hollywood Video's current location, so the exit drive-through and that side of the theater building will be reworked. Pedestrian linkages from Detroit Road to the stores will be created and women's services will be the focus. Mr. Koran emphasized that Madison-Marquette is committed to improve the property. The three stores which closed are less than 15,000 s.f. in total. This is not a huge amount, but the perception may be harmful. In surveying owners and managers of Beachcliff stores, he found that business is good. The problems are parking and signage. Renewed energy is being put into leasing and remodeling stores.

•Mr. Moran asked how much space is currently available there. Mr. Koran responded that roughly 40,000 s.f. of space is available. The Center is 100,000 s.f. In comparison, Crocker Park is 600,000 s.f. of retail, and 1.7 million s.f. total, including the Promenade.

Rockport Shopping Center: Council members were given a site plan showing the proposed redevelopment of Rockport. Mr. Koran is in constant contact with Dennis Fisher of Wald-Fisher which owns this property. The site plan is a project of Goodman Real Estate and shows that where Target is now, five 25,000 to 30,000 s.f. stores are proposed; all the buildings east of Target will be demolished (theater, Family Toy, Best Cuts, etc.). Wald-Fisher is talking to potential tenants, one of which is a grocery store. Target will probably buy out their 17-year lease on the property which will provide Wald-Fisher with funding and the City will no longer have to deal with Target. Goodman Real Estate is well-respected and has done many projects, having done, for example, Avon Commons and others. Mr. Koran is optimistic that tenants will be procured and that demolition will begin soon.

•Mr. Moran asked about current tenants, Huntington and Performance Bike. Mr. Koran said that those tenants will all be encouraged to stay. Only the buildings are shown on the plan.

In other news of the City:

•Lakewood Hospital has opened an office with three doctors at Beachcliff.
•A wine bar is open at Treats on Linda St.
•On Old Detroit, new stores include Paper Trail, Style Mutt, Amy's Shoes.
•Great Scott's has opened his expansion on Wooster Road
•The most significant, Lowe's is open.
•Two new establishments will be the Fire House, a wine bar in Old City Hall and Sweet Melissa's which will take Max's location. The owner was a managing partner of Brio Tuscan Grill who was a chef and has impressive credentials. The restaurant should be complete by the middle of April.

Beachcliff Row shows no progress and no change since Mr. Koran's last report. Grandview on River Oaks has been revisited by Mr. Chandler, but he is struggling. The progress has been slow.

•Mr. Long asked about the interior of the building, since construction has been delayed. Mr. Koran said that Commissioner Beirne and structural engineers and mold experts have inspected the building and pronounced it sound. Fortunately, the summer was dry and repairs were made promptly. The timeline has been upset by Mr. Chandler's financial problems.

Hamlets West is almost complete and Hamlets East is going well with no problems. Joe's Deli will be expanding. Currently it has a liquor license and news of a significant expansion will probably be forthcoming this year. Concerning River Oaks, Mr. Koran understands that they are halfway to their goal of donations from members.

Finally, Mr. Koran commented on the material distributed to Council members regarding a summary of income tax collections for the past four to five years. He said that, in his opinion, income tax collections are the best indicator of the economic health of a City. In 2007, Rocky River's income tax rose $655,000 from 2006. That is good news, particularly considering that Target moved out. The main source of revenue remains very strong, and this is good news for our City.

•Mr. Moran thanked the Economic and Community Development Director for his report and reminded Council members that he is always available for future questions.

MAYOR'S REPORT:

On Friday, February 15, a planned shutdown of the WWTP will occur in order to make electrical repairs necessitated by a tree falling on the substation. CEI will make the repairs and a backup generator will be operational during the period. Further, the EPA has been notified.

There was an article in Thursday's Plain Dealer regarding a fire and explosion problem being experienced with the AT&T boxes. The Mayor contacted Kevin Lynch, the City's liaison with AT&T, asking him to forward information about the problem being caused by faulty batteries. The company has hired an independent contractor to replace the batteries, including those in Rocky River. He emphasized that safety is their top priority. The Mayor has asked for a written statement regarding the issue and the problem and on installations going forward, the Administration will be certain that the battery issue is addressed.

On Thursday, the Mayor will meet with Christy Bykowski, the representative from Cox Communications. The Mayor has been notified that Cox will seek a statewide franchise agreement as AT&T did. The City's contract with Cox will expire at the end of the year, and the Mayor is anxious to hear what these changes will mean, particularly to the schools which are dependent upon Cox for technology and equipment services. Cox has stated that they are committed to education and do not anticipate any immediate changes in what is provided to the schools.

The Mayor then recognized Director Michael Patterson who announced this morning that the Don Umerley Civic Center has won an award of Outstanding from the Ohio Parks and Recreation Association. The Mayor commended the director and his staff for the achievement.

In other Civic Center news, Monday's attendance was 778 members with 100 additional paid attendees. For the weekend, Friday through Monday, more than 4000 individuals participated in programming, birthday parties and all the other activities. Also, over the weekend, over 700 individuals participated in a skating event.

The Mayor then requested an Executive Session to discuss two matters under Article X, Section 6, Subsection 1 of the Charter, an appointment issue and a compensation issue, and a third matter under Article X, Section 6, Subsection 2, the purchase of property for public purpose.

MOTION:

Moved by Mr. Moran, seconded by Mr. Furry, that, at the request of the Mayor, an Executive Session be held prior to the termination of tonight's meeting to discuss two matters under Article X, Section 6, Subsection 1 of the Charter and one matter under Article X, Section 6, Subsection 2.

Vote: Hunt - aye Shepherd - aye Mylen - aye Furry - aye

Arabian: aye Long - aye Moran - aye

7 ayes 0 nays PASSED

Mr. Patterson then came forward and explained that although the Outstanding rating from the Ohio Parks and Recreation Association was a second place award, it was a nice accompaniment to the first place Superior rating awarded when the building opened in 2001.

Regarding Ordinance No. 10-08, the Recreation Department is requesting three changes to the Civic Center fee ordinance.

•The first is the addition of a summer only fee of $75 for full-time college students; the annual fee is $150. This question was raised because of the large participation of college students over Christmas break. The new fee would cover May through September which would apply most students' schedules from May through August or June through September.

•The second change authorizes a resident rate for full-time or part-time City employees and family members who are non-residents. Part-time employees must average 10 hours per week to qualify and employees of the Municipal Court and the WWTP are included. This policy is in line with the policies of other area recreation centers.

•The most important change is the Wellness Program (Rock Well) which would be only for full-time employees. Through points awarded for participation in fitness and health programs, full-time employees (but not family members) can earn points to reduce the costs of membership renewal up to 100%. Fitness Manager Michelle Riegler will be responsible for the program and for recording usage. In order to qualify for free or reduced cost memberships, employees must use the facility regularly, and it is hoped that they will derive healthy benefits from these activities.

Ms. Arabian commented that she attended the last meeting of the Parks and Recreation Commission and noted that many a great deal is happening in the Recreation Department. At the meeting, she learned that in order to qualify for a free membership, an employee would have to use the facility an average of three times per week during the year. Further, even with all the programming scheduled, only four class sessions had to be cancelled for lack of enrollment.

Mr. Patterson added that a goal will be to set up classes during lunch hours and after work to appeal to employees.

Mr. Mylen asked if this program will impact health care rates. The Mayor said that in the future, the City hopes to see results in lower health costs, but that could be some time away. She added, however, that she believes that this is the right thing to do for employees. She complimented Mr. Patterson and Michelle Riegler who put the program together. It also addresses the issue of employees who are not residents, but who still want to use the Civic Center.

Mr. Moran commented that large corporations are beginning to see the benefits of wellness programs and to realize that the costs for healthy employees are far less and unhealthy employees are expensive.

Mr. Hunt asked if there is sufficient time to publicize this rate for college students before the summer session. Mr. Patterson said that there is plenty of time as the brochure will not be published until March.

UNFINISHED BUSINESS:

Amended Ordinance No. 100-07: Mr. Shepherd explained that this ordinance will amend the Code to include right of way legislation. He has discussed it with the Law Director who has received input from utilities. The Building Department and the Law Department are reviewing the responses to see if any amendments are required. This ordinance will be held until the review is concluded.

Ordinance No. 116-07: Mr. Long indicated that the Planning Commission has recommended this rezoning, and minutes from their meeting have been approved. As 20 days' notice is required by the Charter, the date of the public hearing was set for February 19.

Ordinance No. 2-08: Mr. Long commented that Mr. Koran had reviewed the essentials of this ordinance, explaining that it is a contract with D.B. Hartt to revise the Development Code. The full proposal will be distributed and if there are no objections, Mr. Long said that he plans to move for passage next Monday. (Consent Agenda)

Ordinance No. 3-08: Mr. Long noted that Mr. Koran had also discussed this ordinance which renews the Heritage Home Loan Program. The Mayor reiterated that this is an extremely useful tool for the Building Department. When talking to residents, both the HELP program and the HHLP can aid residents with maintenance and renovation issues. She feels that there will be even greater utilization in 2008. She said that the Administration would track the number of improvements made under the program. (Consent Agenda)

Ordinance No. 4-08: Mr. Moran called upon Councilman Hunt to discuss this contract with Community Challenge. This ordinance would continue the program through next year at an administrative cost of $43,500 which has been the cost for the last two years. Community Challenge does a great job providing services to the City regarding alcohol and drug prevention, education, support and referral services. Mr. Moran asked if there will be an opportunity for a presentation from Community Challenge. Mr. Hunt will make that invitation. Mr. Moran commented that a presentation will help Council members better understand the City's investment.

Ordinance No. 5-08: Mr. Mylen explained that two vehicles will be purchased under this ordinance. At last week's meeting, Mr. Linden indicated that by purchasing these trucks before February 29, a total of $12,000 will be saved. (Consent Agenda)

Ordinance No. 6-08: The truck bodies purchased under this ordinance are related to the chassis above. (Consent Agenda)

Ordinance No. 7-08: Finance Chairman Moran noted that this ordinance adjusts the sewer rates paid to the City of Lakewood. The waste from 109 homes in the Valley View district go through Lakewood, and Rocky River is obligated to pay for the services provided. (Consent Agenda)

Ordinance No. 8-08: According to information received from Director Thomas, these payments to the Cleveland Water Department cover fees for water meter readings and fire hydrant water required by Rocky River. This bill must be paid, and further, there is no increase in rates over last year. Mr. Thomas noted that the per account charge remains the same, but the amount of the bill can vary by the number of accounts. (Consent Agenda)

Ordinance No. 9-08: Mr. Moran advised that this ordinance creates a fund for the monies raised for the Sewer Rehabilitation Fund which is the $25 per quarter increase on the sewer bill. It is hoped that it will generate about $700,000 and will be directed into this specific fund which will be used only for maintenance and replacement of sewers. This ordinance will establish the fund before the first billing. (Consent Agenda)

NEW BUSINESS:

Ordinance No. 10-08: Ms. Arabian indicated that this ordinance has been reviewed by Director Patterson earlier in the evening. The college summer fee of $75 is a wonderful opportunity for college students. The employee rate and wellness program have also been discussed. (Consent Agenda)

Ordinances No. 11-08 and Ordinance No. 12-08: Mr. Hunt noted that both of these ordinances are housekeeping type ordinances passed yearly to be certain that contractors are on hand for emergency sewer repairs and to continue the televising program, a part of the sewer rehabilitation program in Ordinance No. 12-08. Mr. Linden explained that the ordinance for sewer repairs was created because of the paving program. Before paving, sewers are televised and any emergency repairs are made before paving. During the August 7 rainstorm which caused flooding on Argyle and Buckingham, for example, sewers were videoed which revealed a 100' length of pipe which had collapsed. With the emergency sewer repair ordinance, the job was completed within 24 hours. More televising will be done this year because of the emphasis on sewers. (Consent Agenda for both)

Ordinance No. 13-08: Mr. Moran observed that this ordinance authorizes audit services, and Ordinance No. 14-08 authorizes accounting services for the City and the WWTP. The Mayor commented that the City has used this firm before and has been pleased with its work. Mr. Moran asked about last year's cost. Mr. Thomas said that it was about $29,000 for the audit services; there has been little change in accounting services this year. (Consent Agenda)

Ordinance No. 14-08: See discussion for Ordinance No. 13-08. (Consent Agenda)

Ordinance No. 15-08: Mr. Furry indicated that this is an annual ordinance to purchase the approximately 20,000 pounds of cationic polymer used every year to process sludge. For the last ten years, it has been $1.25 per pound to $1.66, and this year, it has gone down to $1.42. (Consent Agenda)

MISCELLANEOUS BUSINESS:

Ms. Arabian announced that a high school student, Elizabeth, from Mr. Schuler's 11^th grade government class was in attendance. Mr. Moran thanked her for attending and offered help, if requested, or answers to any questions she might have.

Mr. Hunt has received a communication from Eamon Lynch of Kenwood Avenue regarding concern over teenage drinking and alternative forms of entertainment. (Exhibit "A") Ms. Arabian noted that at the meeting of the Parks and Recreation Commission, it was announced that information regarding the Teen Lounge will be displayed on a Facebook page. The Mayor added that a number of youth from the community are being recruited to help determine the type and time of programming for the Teen Lounge.

Mr. Moran noted that an e-mail had been sent to him, to Mr. Furry and Mr. Long regarding a situation on Center Ridge Road which will be investigated. Mr. Long added that this was a request for repaving Center Ridge from Spencer to the Westlake line.

Mayor Bobst indicated that a publication of the National Parks and Recreation Association contains an article about dog parks called "Dog Fight". It reviews several dog parks and the challenges across the country, including the Lakewood-Rocky River issue. Copies will be disseminated in packets.

Further, a response was drafted to Mr. Ginnetti regarding the library sign. Law Director Bemer and Commissioner Beirne reviewed the library's submission to be sure it was placed in accordance with the plans as well as Code Chapter 1163 and a response was sent to Mr. Ginnetti with copies to Councilman Mylen and Library Director Lonsak.

COMMITTEE REPORTS:

Parks and Recreation Committee: Ms. Arabian indicated that much of what occurred at the meeting of the Commission has already been discussed. She mentioned, however, that the area's new minor league hockey team, the Monsters, came to practice in the City's rink and attracted an audience of 400. Following, they signed autographs and skated with youngsters present. The ice rink will also host a Fireside Chat with Mitch Korn of another hockey team, the Predators.

As there was no further business by members of Council, members adjourned to the Executive Session at 9:37. Mr. Moran announced that there would be no further discussion following the Executive Session.

The meeting was adjourned at 10:36 p.m. following the Executive Session.

________________________________ ______________________________

James W. Moran Misao Kurokawa

President of Council Clerk of Council