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Friday, April 22, 2011

Newsletter about the City Council meeting of April 19, 2011

This newsletter is about the Hickory City Council meeting that I attended this past week. City council meetings are held on the first and third Tuesdays of each Month in the Council Chambers of the Julian Whitener building.

At right of this page under Main Information links is an Hickory's City Website link. If you click on that link, it takes you to our city’s website, at the left of the page you will see the Agenda's and Minutes link you need to click. This will give you a choice of PDF files to upcoming and previous meetings.

You will find historic Agenda and Minutes links. Agendas show what is on the docket for the meeting of that date. The Minutes is an actual summary of the proceedings of the meeting of that date.

Here is a summary of the agenda of the 4/19/2011 meeting. There were a couple of important items that were discussed at this meeting and the details are listed further below:

Please remember that pressing Ctrl and + will magnify the text and page and pressing Ctrl and - will make the text and page smaller. This will help the readability for those with smaller screens and/or eye difficulties.

Invocation by Rev. David E. Roberts of Morningstar First Baptist Church


Special Presentations:
A. Proclamation Presented to Michael Blackburn, CEO of Frye Regional Medical Center in Honor of the Centennial Celebration of Frye Regional Medical Center and Dr. Glenn Raymer Frye - Mayor Wright recognized the CEO of Glenn R. Frye Regional Medical Center Michael Blackburn.

Whereas Frye Regional Medical Center marks its 100th year in 2011, celebrating a century of fulfilling its mission of mercy and healing to the people of the City of Hickory and beyond; whereas Frye has devoted itself to have preserved the history of the hospital through the publication of “Exceptional Care, A Century Strong” an illustrated history book and companion history exhibit at the Hickory History Center. The City of Hickory and its residents join Frye in the celebration, because it has been made possible only through a close collaboration between the hospital and the people of Hickory; whereas the success of the hospital in its earliest day was due in large part to the entrepreneurial spirit of its founder, Dr. Jacob Shuford, and his successor Dr. Glenn Frye; whereas, Dr. Frye was born April 29, 1894 (117 years ago). Demonstrating leadership skills in his days in Hickory, while a student at Lenoir College, upon completion of his studies at the University of North Carolina and the prestigious Jefferson Medical School in Philadelphia, Dr. Frye returned to Hickory August 21, 1922 and practiced medicine for more than 51 years until his death in 1973; whereas Dr. Frye served as a model of community and civic service through his involvement as a physician, as a Rotarian, and a trustee of Lenoir-Rhyne College and as a devoted husband and father in the years of service provided by Dr. Frye led to the renaming of the hospital in 1974. Whereas the hospital honors Dr. Frye's legacy through its commitment to excellence as evidenced by its recognition as the number one Hospital in North Carolina in 2011 for cardiac surgery by Health Grades an independent ranking organization; whereas Frye provides millions of dollars annually in charity care, discounts for the uninsured, to numerous local charities consistent with the example set by Dr. Frye; therefore on the behalf of the Hickory City Council and all of the residents of Hickory. I am proud to proclaim April 29, 2011 as Frye Day in the City of Hickory.

Mr. Blackburn next made a few comments thanking the City and Community. He stated that there was a legacy of support and promotion for each other and that the City has given unwavering encouragement to Frye as it has expanded and improved to meet the needs of the patients. He talked about the relationships that the hospital has with the fire and police departments. He stated that Frye could not be the safe environment that it is without their support. Frye has over 1,600 employees, 350 doctors and hundreds of vendors, suppliers and affiliated contractors. Frye is a major employer and creates economic energy in support of Hickory. Frye has provided over $30 million of charity care for patients and supports the community’s local governments paying over $3 million annually in taxes. He talked about all of the former doctors, nurses and clinicians of the past who provide exceptional care; a century strong as a career, a way of life, and culture of caring that lives on.

The Mayor stated that sometimes it's just nice to be reminded of what corporate Hickory does for some of us, and it is good to have a private hospital as well as a not-for-profit hospital. They compete in many ways, and they cooperate in many more ways. We have tremendous quality of care and together they have attracted tremendous physicians to this area.

The Hound likes the city to be proud of an institution that has had an indelible impact most everyone's life in the area. Most of us have utilized its services, had family members who had to stay there, and had family work there. The City is right to honor this landmark and be proud of what it has been and is and the impact it plays within our lives.

B. Announcement by Doug McClew, Rally Coordinator that the 2011 NC State H.O.G. Rally Event Will Be Held in Hickory on August 18 - 20, 2011 - Doug McClew the rally coordinator made the presentation for the Harley Owners Group. This entity was started in 1983. The term came from the racing circuit in which winners of contests were given a pig. In 1983, the group had 33,000 members and now there are 1.2 million members worldwide. There are 5,000 members right here in North Carolina. He wants the community to understand that this is in no way a Myrtle Beach or Daytona Spring break event. The average age of this group is 42 years old, and they are all working professionals.

In December 2009, a local group started to talk about having the event in this area. They won the right to hold the event here in June of 2010. This rally is run like a business. All of the contracts have been done, except for the airport. The motorcycles will be allowed to ride on the airport runway at unlimited speed. This has not been done at any other rally. That is one of the great draws to th9is event. He stated that there are a lot of contracts involved.

He showed the Logos and talked about the activities of the event and why people would want to come here -- the weather, the mountains, the events, the destinations and the ability to make new friends. Registration will open on Thursday, August 11, 2011 and the event will officially begin on August 13. There will be various rides through the hilly terrain around this area. There will be a welcoming party at Blue Ridge Harley-Davidson here in Hickory. There will be various events and games held during this rally. There will also be a dinner dance. There'll be vendors, games, and recognition. That is part of what this event is about.
What will this mean Hickory? They estimate that 2,500 people will show up to the event. A rally held in Mt. Airy, in 2009, had participants spending around $750 per day. This is estimated to bring about $6.5 million into the local economy. They expect to fill all 2,100 hotel rooms in the area.

What can the public do? He wants the public to help with public relations on the event. He stated that the Chamber of Commerce has already agreed to start putting it in their newsletter. It will be in the papers and there will be all kinds of radio interviews and such to let the City know that they are here to have a good time, but they are not here to be crazy. He wants the public to attend the rally. There are just certain portions of the rally that are closed. There will be lots of vendors and food.

The Hound thinks this is a good event for the city, because it brings people (and their dollars) from all over the country  to spend money here. This is a value event. We certainly need more of these types of events.


Consent Agenda:


A. Voluntary Contiguous Annexation of the Property of Glenda Presnell Located at 3630 16th Street, NE (Authorize Public Hearing for May 3, 2011)

B. Call for Public Hearing to Consider Entering Into an Economic Development Incentive Agreement With Turbocoating Corp USA In The Form of a Grant Based Upon Seventy- Five Percent of Ad Valorem Taxes and the Creation of 80 New Jobs (Authorize Public Hearing for May 3, 2011)

C. Certificate of Sufficiency and Preliminary Resolution Relative to Street Improvements Along a Portion of 5th Street, SE – No. 01-11 (Authorize Public Hearing for May 17, 2011)

D. Proclamation Declaring May 5, 2011 as “National Day of Prayer” in the City of Hickory

E. Request From the National Day of Prayer of Hickory Committee for Use of Union Square for the National Day of Prayer Event on May 5, 2011 from 9:00 a.m. to 2:00 p.m.

F. Proclamation Declaring the Week of May 1 – 7, 2011 as “Municipal Clerks Week” in the City of Hickory

G. Approval to Award a Community Appearance Landscape Grant to Jack Sipe Construction Co. for Non-Residential Property Located at 844 Highland Avenue, SE in the Amount of $2,500.00 - The subject property is owned by Jack Sipe Construction Co. and it is their desire to improve the visual appearance of the property by planting new trees, shrubbery and improving landscaping on the property. The cost of the improvements is estimated to be $6,300.00. On March 28, 2011 the Community Appearance Commission unanimously voted to recommend funding in the amount of $2,500.00.

H. Citizens’ Advisory Committee Recommendations for Assistance Through the City of Hickory’s Housing Programs - Mr. Boyd Barker of 1134 13th Avenue, NE is being recommended for approval for assistance under the City’s First-time Homebuyer’s Program for an amount not to exceed $6,500.00. Funds are budgeted through the City’s former Rental Rehabilitation Program income received in FY 2009 and/or program income received through the City’s Community Development Block Grant Program. The Citizens’ Advisory Committee recommends approval.

Budget Ordinance Amendment -
1. To budget a $200 International Council donation in the International Council line item. This donation will be used to conduct the 2011 International Springfest event.
2. To budget $4,700 of Parks and Recreation donations in the Parks and Recreation Departmental Supplies line item. These donations are designated for the Unifour Senior Games which is coordinated by the City of Hickory's Park and Recreation Department. Donations include Bayada Nurses ($150), Kingston Residence of Hickory, LLC ($300), Gorham, Crone, Green & Steele, LLP ($250), Humana ($1,000), Catawba Valley Medical Center ($1,000), Tenent ($1,000) and Western Piedmont Council of Governments ($1,000). These funds will be used to conduct the 2011 Unifour Senior Games.
3. To transfer $2,022 from the Hickory Police Department Uniforms line item to the Bureau of Justice (BJA) grant project Uniforms line item. The cost of purchased Vests exceeded the approved price therefore an amendment is necessary to cover the overage.

Informational Items:
A. Report of Mayor Wright’s Travel to Meet With Representatives and Lobbyists in Washington, DC on April 7, 2011; airfare - $713.90; per diem - $25.50
B. Report of Alderman Guess’s Travel to Meet With Representatives and Lobbyists in Washington, DC on April 7, 2011; airfare - $713.90; per diem - $25.50
C. Attendance by Mayor Wright to the NCLM Regional Legislative Meeting Held in Newton, NC on April 14, 2011; registration - $20.00

New Business - Departmental Reports
1. Quarterly Financial Report - Warren Wood delivered this presentation This is nine months into the budgeting process. He stated that when looking at last year’s budget compared to this year’s that he believed that we would see good news. Through the first nine months of the year, the City is less than 1% below budgeted revenues compared to the 5-year trend (80.85% vs 81.82), last year at this time the City was 4% below the 5 year average. He believes the cuts that were made were pretty much what were needed to get the budget back on track. They are above the 75% revenue at this point of the year (75%), because most tax revenue comes in in December, January, and February. Expenses in the General fund are slightly ahead, but mostly in line. Revenues are $5.9 million over expenditures, the five year average is $6.6, but it is $400,000 better than last year. Monies spent on the Clement Blvd project account for being below the 5 year average. Without those project dollars the 5 year average would be right in line. Warren states that he runs a model and he believes the City will be putting a couple hundred thousand dollars in the bank at the end of the year. Last year the City ran a $600,000 deficit in the General Fund Balance.

Looking at the water-sewer fund, he stated that he is very pleased with how the water and sewer numbers have held up. The projections are fairing better than the General Fund and running ahead of the 5 year average as far as revenues go. The City has received 69% of budgeted revenues while the 5 year average is 68% at this point of the year. April may and June are big water usage months. The City has had expense of 65.5% compared to the 5-year trend of a little over 60%. A lot of money has been moved into capital reserves (revenues over expenses). The numbers are in line.

Warren went back into the issue of Property Tax Assessment values and people challenging assessed values. The City will lose $78 million in value, which will equate to $380,000 in revenue. Alderman Seaver asked about the business versus citizen side. Warren stated that in Catawba County the residential side saw a $42 million gain in assessed value. The decrease in value came from the Commercial side. The percentage of collection is down ever so slightly.

The most concerning issue is the lack of construction activity. He also talked about problems with the losses of revenue from loss from lack of new equipment and depreciation of existing equipment. The last time we went through a recession we saw a drop in the tax base between 2003 and 2005, if the trend holds true it will effect future budgets. Only 20 building permits have been issued thus far this year compared to 25 last year (July to March). 64 were issued in 2005-2006 in the same time period. Warren stated that there is instability in our Property Tax Revenues.

Warren next moved into Sales tax Revenues and stated that we have seen improvement there. There has been some growth from tax revenues of 3%. He stated that there has also been improvement in the employment picture.

The Hound is glad to see that the city has control of its finances. As always we must appreciate the work of the financial team at  the City. The only thing I question is the rosy scenario related to sales taxes. If one realizes that inflation has caused prices to rise, then surely one can extrapolate that the taxes associated those products will also rise. By all accounts, except the thoughts of the Federal government, inflation is rising between 8 and 10% currently and rose around 5% in 2010. That means if you see a 3% rise in sales tax, then you actually see no growth, because you lose it through the devaluation of dollars. I see this all the time. people are spending the same amount as last year, but trying to stretch the money more. People are stretched. They aren't going to expand their consumption, so there isn't going to be any increase in government revenues until the business model is addressed. It would be interesting to cost out revenues, expenses, and budgetary numbers versus inflation to see where we truly stand. 


2. Project Update and Approval of Change Orders No. 1 and No. 2 to the Midasco Inc. Contract for the Traffic Signal Upgrade Project in the Amount of $79,435.00 - The North Carolina Department of Transportation (NCDOT) has approved both Change Order No. 1 for $58,200,00 and Change No. 2 for $21,235.00, totaling $79,435.00 regarding the Traffic Signal Upgrade Project. Midasco Inc. is the contractor for this project. Change Order No. 1 is for the site license of the City intersection and Change Order No. 2 is for field ether net switches. This project is paid for utilizing 100% of Federal/State Congestion Mitigation Air Quality funds and has been approved by the NCDOT. No City of Hickory funds are required. - Chuck Hansen made the presentation. The signal timing project will help 155 signals out of the 196 signalized intersection in Hickory. The goal is to be completed by August. This is construction mitigation – air quality money.


3. Presentation by Hickory Police Chief Adkins Regarding the Success of the Catawba County Gang Initiative (CCGI) and the Recent “Call In” Held on March 3, 2011 - CCGI is a collaboration of all nine Catawba County Law Enforcement Agencies to create an environment that helps reduce gang/group related violence and crime. A “Call-in” is a notification meeting for seasoned offenders identified with a history of gang/group related violence and crime where service providers, faith-based leaders and members of the criminal justice system give a concise message to those offenders that violence and crime will not be tolerated in our community. The funding to launch this comprehensive strategy was provided by the North Carolina Governor’s Crime Commission. Chief Tom Adkins made the presentation.

The Purpose
1) Identify gang and grew violent crime offenders
2) place offenders and their associates on notice about the countywide initiative
3) Direct offenders who want to change their lives to community resources
4) Aggressively respond to acts of violent crime against our citizens and community
5) Tenaciously prosecute continued offenders in state and federal court
6) Continue our community partnerships and effort to reduce violent acts, while improving the quality of life


Chief Adkins mentioned a program, such as this, that is being coordinated in High Point, North Carolina and has been utilized in several other large cities. The High Point program is used as an interdiction method to stop drug trafficking. Hickory’s Project is directed towards gang activity, violent activities towards other persons, but from what he stated the two programs sound very similar. The goal is to stop criminal activity and give those who are participating in such illegal activity a chance to reform themselves before having to seek harsher remedies against these people.



On March 3, 2011, all nine law enforcement department heads came to Hickory to the Council Chambers; including the assistant district attorney, the chief probation officer of the district, agents from the DEA and FBI, and the US District Attorney's Office was represented. The Law Enforcement message was sent to those who participated in gang activity and were invited to attend. Law enforcement officials stated that they have these crimes that are occurring in this community and they are going to stop tonight. Law enforcement is going to work together as a county and community to prosecute people who participate in these illegal activities.

After the statements were made, it was explained that there are resources available to help these people. Hank Guess represented the elected officials of Catawba County and made a statement. Rev. Anthony Spearman made a faith-based presentation to the group. And Chris Johnson of the young men of integrity, made a presentation in which he stated that they could help with drug addiction problems and with anger management issues, but the offenders have to reach out to the organizations for them to help.

Addie Shuford spoke to the participants about the loss of her son to a homicide/act of violence a few years ago. She also had another son who is spending time in prison as a result of drug activity. She told the participants that they had three options. You can continue to offend and be locked up, you can risk your life and be killed, or you can change your life around.

There were 17 people that were invited. Out of the 17, 14 showed up. Chief Adkins mentioned the violent of offenders and some of the crimes that they have been charged with or committed and their past histories. All of these 17 people were on probation at the time that they were invited. One man showed up late and he was refused admission. Chief Adkins stated that if you cannot change your life by showing up on time, then obviously you are not ready for this program.

The Catawba County Sheriff's Department brought a metal detector to ensure that there would be safety. The participants were also patted down. They wanted to be sure that to keep safety amongst these people who might belong to different gangs and they weren’t sure how they would react. After an hour and a half briefing, five people stayed behind and they completed registrations. The next day two more offenders had shown up. As of today, three of the 14 men are attending the Young Men of Integrity program. What they wanted do is get the message out that there are options. And these people can change their lifestyles. The goal is to reduce violence in Catawba County.

The Hound likes this effort and believes that this effort to be upfront with people completely out of control, who are involved in the something wreckless,leaves no excuses. This is a positive way to approach a problem that might not be as bad here as elsewhere, but do we want to let it grow. This is the right way to do things.

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