March 3, 2008
Work Session
Present at the meeting were: Mayor Bertrand, Councilors McCue, Lafleur, Remillard, Poulin Goudreau, Evans and Donovan. Staff members present were: Blandine Shallow, Patrick MacQueen, Michael Perreault, Pamela Laflamme; Cathy Bogle Shields and Gloria Paradise were in attendance from the Community Development Finance Authority. Tim Cayer, Tom Sutton, media and public were also present.
Ward IV Vacancy
Mayor Bertrand reported that there was some question about whether Mr. Sutton, a school district employee, can serve on the City Council and the city attorney has indicated it is permissible. Mr. MacQueen noted that the school board is the governing body and employer of Mr. Sutton.
Councilor McCue noted that, in the interest of full disclosure, Tim Cayer is a client of his law practice and he would leave it up to the Council to decide whether he should recuse himself. Councilor Donovan moved to request that Councilor McCue recuse himself from the process of interviewing and selecting a Ward IV Council member; Councilor Goudreau seconded and the motion carried
Tim Cayer. Mayor Bertrand introduced Mr. Cayer by stating that he was a candidate for the Ward IV position and has attended meetings. Councilor Remillard confirmed that Mr. Cayer has been living in Berlin since September of 2005 and he expects to stay long term. To Councilor Donovan’s question regarding where Berlin will be ten years from now, Mr. Cayer indicated that a lot will depend on the actions of this Mayor and Council. The community needs to think positive and encourage development as a recreation area. He added that if the Council should see fit to go in another direction, he would work to achieve goals set forth by the Council.
Councilor Goudreau asked where Mr. Cayer stands on the issues of the mill property and casino. Mr. Cayer responded that he does not want the mill site to remain the way it is and if the consensus of the community is to embrace business on that site, he would work with them to go in that direction. He added that he would not want to encourage a law suit by restricting property rights. He supports gambling in general and what we have generating revenue in the State is not working. Councilor Goudreau acknowledged that Mr. Cayer has attended several meetings and asked what he would have done differently? In his response, Mr. Cayer stated that he walks away from every meeting with thoughts and there are instances where he would have contributed to the discussion but he did not have anything he would have
changed. He stated that he is seeing a real difference in the approach and attitudes of the body in wanting to be a team
Councilor Lafleur asked Mr. Cayer how he feels about the schools and how the city could improve the retention of students after they graduate. Mr. Cayer noted that the Council has done a tremendous job of maintaining standards through difficult financial years. In his business, he talks to a lot of high school students and it is usually the ones who are the outdoorsy type who want to stay.
Mayor Bertrand asked what is the biggest obstacle to Mr. Cayer’s vision for the future? Mr. Cayer indicated that getting the community to get involved and getting them behind whatever happens is the biggest challenge.
Tom Sutton. Mr. Sutton indicated that he has been a resident of Berlin for the last three years. He works for the School Department as a bus maintenance person, and driver. Councilor Donovan asked for Mr. Sutton’s vision of Berlin over the next ten years. He established that his vision includes the biomass plant near the treatment plant that would get truckers and loggers on the road to keep people here. Berlin needs the chance to grow in any way it can. He is in favor of a casino because they pay a lot of taxes and add revenue. A casino would get shops, hotels and tourists to the community. He agrees with the goal to clean the city of dilapidated buildings and the need for productive people in the city.
Councilor Lafleur asked for Mr. Sutton’s position on the school and how the city could improve the retention of students after they graduate. Mr. Sutton noted that it is a great group of people who work for the Berlin School Department, from teachers to bus drivers. Offering better employment and better pay would serve to retain students in the area.
Councilor Goudreau asked if there would be a conflict in the budget process and how Mr. Sutton would deal with it. He replied that he would give input but would abstain from voting. He would have an insight could contribute to the discussion. Mayor Bertrand asked what the biggest obstacle is to Mr. Sutton’s vision for the future. Mr. Sutton stated that there are no obstacles; nothing that can’t be done. He said that more community involvement could do wondrous things.
In the vote that followed, Mr. Cayer was elected by Council members to fill the open seat in Ward IV, by a vote of six to one with Councilor McCue having recused himself.
CDBG Funding - Cathy Bogle Shields, CDFA Director
Cathy Bogle Shields, CDFA Director and Gloria Paradise were in attendance to talk about Community Development Block Grant funding. Housing and Urban Development (HUD) is the granting agency for CDBG which has two main goals: decent, affordable housing and jobs that pay well and have benefits. 70% of the State’s dollars go to five entitlement cities and that leaves the remaining 30% for small cities and towns. Councilor Donovan asked where the line is for entitlement. Ms. Bogle Shields stated that it is 50,000 population or more.
Councilor Donovan expressed frustration that CDBG is designed to address specific needs and the City of Berlin has many of those needs and the rules don’t allow grant money for demolition. Ms. Bogle Shields noted that the appropriation comes to states from HUD. Applicants for CDBG funding have to be municipalities and projects are based on how many people will be housed and how many will be employed. The program can help with housing, public facilities, and economic development. There is also a small emergency fund and a feasibility grant program with a ceiling of $12,000.
Councilor Donovan reasoned that Berlin’s biggest issue is housing. The population rules that guide CDBG have been waived in the past to help the water department. We now need the policies to be adjusted again to meet the needs of the community.
Ms. Bogle Shields maintained that HUD does not support demo for demos sake; but they will support demolition with something replacing the demo. Getting a waiver does not mean sure funding but simply allows the project to come into a competitive round.
Mr. MacQueen noted that Berlin has a surplus of buildings and in order to lift values, we have to take away housing and not replace it. Ms. Bogle Shields suggested creating a fund and capitalizing with tax credits to do neighborhood strategies. We have to use the system we have to start and then change the rules over time. She encouraged the City to get an application in.
Sewer Rate Discussion
Mayor Bertrand acknowledged the presentation last week requesting that the sewer rate be set at $7.01. Councilor Goudreau asked if there is the potential of reducing the Sewer Department budget by $74,000 rather than raising the rate. Mr. MacQueen rationalized that the budget request covers the existing year’s budget and a small part of debt service. Mayor Bertrand stated that on the average residential home, it would be a $30 increase. Councilor Lafleur stated that he is a proponent of raising the rate to meet the needs rather than holding back and then creating a spike in the rate. Councilor McCue confirmed that the new Federal prison contributing to the sewer budget in 2010 or 2011 will relieve some of the financial burden. Mr. MacQueen added that until we get to that point,
the fund will see difficulty.
Request by LGC to Participate in Retirement Litigation
Mayor Bertrand related that the city has been asked by the Local Government Center to participate in a legal challenge to the mandate of funding the underfunded portion of retirement for its employees. Councilor McCue theorized that the omnibus bill in the Legislature now deals with a lot of this problem. He was not clear that litigation is necessary and acknowledged being very nervous about the scope of this litigation and its potential for dragging out a long way. Councilor Goudreau voiced that $2,300 is little money to spend to potentially save $900,000. Councilor Donovan noted that we need to get involved to have a voice. Councilor Donovan moved to get the city involved in potential litigation recommended by the Local Government Center regarding retirement and to charge the legal line item;
Councilor Goudreau seconded and the motion carried. Councilor Evans voted against.
Route 110 Phase II Historical Funding
Mr. MacQueen commented that the action needed here would be to authorize signing the agreement and recognize that there would be $64,000 in next year’s budget for the historical study. Councilor Donovan moved to make the commitment to sign an agreement with NHDOT and recognize that $64,000 from next year’s budget will be needed for the historical study; Councilor Lafleur seconded and the motion carried.
Mr. MacQueen introduced Michael Perreault, Public Works Director.
Respectfully Submitted,
Susan Tremblay
Administrative Assistant
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