The City Council for the City of Crossville, Tennessee met in special session on Monday, March 28, 2011, at Crossville City Hall.

Roll Call. Present: Councilman Earl Dean, Councilman George Marlow, Mayor J. H. Graham, III, Mayor Pro-Tem Danny R. Wyatt. Absent/Excused: Councilman Boyd Wyatt, Sr. Others present were City Manager Curtis Adams, City Attorney Kenneth Chadwell, City Clerk Sally Oglesby, Karen Gibson, Andy Vaughn, Jeff Brown, Johnny Reeves, Fred Houston, Kim Chamberlin, Brian Templeton, David Beaty, Joe Miller, Mike Turner, Chris South, Jerry Garrison, Charles Loveday, Margie Buxbaum, David Beaty, Tim Begley, Scott Christian, Lou Morrison, Billy Martin, Jim Young, Steve Powell, and Gail Langen.

Mayor J. H. Graham, III was present and presiding. He called the meeting to order at 10:00 a.m.

ITEM #1 – CONSENT AGENDA

A motion was made by Councilman Earl Dean, seconded by Councilman Danny Wyatt, that all items on the consent agenda be approved as follows:

a) 2^nd Reading of Ordinance amending the FY10/11 budget for police vehicle in the amount of $26,000

b) 2^nd Reading of Ordinance amending the FY10/11 budget for drainage improvements in the amount of $45,000

c) 2^nd Reading of Ordinance amending the FY10/11 budget for caboose in the amount of $12,000

d) 2^nd Reading of Ordinance annexing 15.63 acres on Lantana Road/Jada Drive

e) 2^nd Reading of Ordinance annexing 27.17 acres on Hyder Ridge Rd. and E. First Street

f) 2^nd Reading of Ordinance amending §5-609(19) of the Crossville Municipal Code regarding sale of surplus property

g) 2^nd Reading of Ordinance amending §18-400 of the Crossville Municipal Code regarding cross connections, auxiliary intakes, etc.

h) Approval of temporary street closing of Cook Road from Stone Memorial High School to Stone Elementary from 7:00 a.m. – 9:30 a.m. on April 30 for Relay for Life 5K run/1 mile walk

Vote: Motion carried by unanimous roll call vote (summary: Yes = 4). Yes: Councilman Earl Dean, Councilman George Marlow, Mayor J. H. Graham, III, Mayor Pro-Tem Danny R. Wyatt. Absent: Councilman Boyd Wyatt, Sr.

ITEM #2 – MATTERS RELATIVE TO APPLICATION FOR WASTE INCINERATOR PERMIT

An application was presented from Envirosafe Mobile Incineration for a Waste Incinerator Permit. Their business is a mobile incinerator that will destroy drug evidence, firearms, case files, employee files, and other papers to meet security requirements for businesses and agencies. City Attorney Chadwell recommended approval based on his knowledge of the legal set up of the business. A certified receipt of destruction would be provided to the agency or business.

A motion was made by Mayor Graham, seconded by Councilman Marlow, that a Waste Incinerator Permit be approved for Envirosafe Mobile Incineration. Vote: Motion carried by unanimous roll call vote (summary: Yes = 4). Yes: Councilman Earl Dean, Councilman George Marlow, Mayor J. H. Graham, III, Mayor Pro-Tem Danny R. Wyatt. Absent: Councilman Boyd Wyatt, Sr.

ITEM #3 – MATTERS RELATIVE TO PURCHASE OF BUILDING

At the request of Mayor Graham, Mayor Pro-Tem Danny Wyatt and City Manager Curtis Adams met with the owners of the former Regions Bank (First National Bank) building located at 392 N. Main to determine the feasibility of purchasing the building for a new City Hall. The listing price for the building was $2,900,000 and contains approximately 34,000 square feet. The building and parking sit on two tax parcels. An additional parcel is located at the corner of Cother Street and Webb Ave. The owners offered the building and two lots for $2,000,000 and an additional price of $150,000 for the third parcel. Following negotiations, Mayor Pro-Tem Wyatt and City Manager Adams made a final offer of $1,900,000 for all three parcels and buildings, subject to approval of City Council. This offer was accepted. If purchased, it would be anticipated that all offices currently located in City Hall plus the Codes and Engineering Departments would be relocated to this building. The Police Department would move to the current City Hall building and the Fire Department would utilize the entire Public Safety Building.

Councilman Danny Wyatt reported that he had toured the building and found it to be well-built and geographically in a good location. With the need for more space for police and the ability to give the fire department more space, he was in favor of purchasing the building.

At the request of Councilman Marlow, an appraisal was presented that was prepared by Robert E. Patton, Jr. in 2008. The appraisal, which was prepared for Cumberland County Bank, was $2,000,000 and included all 3 parcels. All members of Council that were present were satisfied with the appraisal.

A proposal was presented from Upland Design Group for $25,000 to provide Phase One services, which include Existing Building Analysis, Programming, and Schematic Design to prepare the building for conversion to a City Hall. The Phase Two services for architectural/engineering services would be determined, and submitted for approval, after the scope of the project is known.

Mayor Graham pointed out that with 34,000 s.f., an excellent location, drive-thrus for the collection of water and sewer bills and taxes, and ample parking, the building was a good opportunity and value for the City as a new City Hall.

A motion was made by Councilman Wyatt, seconded by Councilman Dean, that the former Regions building (392 N. Main St.) and adjoining properties (Map 100N, Group B, Parcels 1, 2, and 19) be purchased from Halstead Properties for $1,900,000 and that a contract be authorized with Upland Design Group for Phase One services in the amount of $25,000. Vote: Motion carried by unanimous roll call vote (summary: Yes = 4). Yes: Councilman Earl Dean, Councilman George Marlow, Mayor J. H. Graham, III, Mayor Pro-Tem Danny R. Wyatt. Absent: Councilman Boyd Wyatt, Sr.

ITEM #4 – MATTERS RELATIVE TO BIDS ON REPAIRS TO MEADOW PARK LAKE DAM

Scott Christian reported that the funding had been finalized by Rural Development. They are providing $4,000,000 in loan funds and $1,000,000 in grant funds at an interest rate of 3.375%. The following items must be approved for this funding source:

Form RD-400-1 “Equal Opportunity Agreement”

Form RD 400-4 “Assurance Agreement”

Form RUS Bulletin 1780-27 “Loan Resolution”

Bids were received as follows:

Brayman Construction Company $4,482,965

Saxonburg, PA $ 85,000 Alternate #1

W.L. Hailey & Co., Inc. $6,096,610

Nashville, TN $ 37,000 Alternate #1

Mr. Christian reported that he had checked references on the low bidder and received excellent reports. They are entering into value engineering discussions with the contractor for some savings and will also be reviewing their company financials. Mayor Graham pointed out the difference of $1,000,000 between the bid and the engineer’s estimates. Because of the nature of the work, which consists of a lot of drilling and grouting, the quantities can vary significantly. The bids include a $125,000 discretionary allowance to address any unknowns that occur inside the dam during construction. There is also a $90,000 allowance for modification to the pier, dock, and breakwater. The Lake Commission has not yet decided on the modification they want to pursue; however, they are expected to cost $45,000-50,000. Preliminary discussions were held with Rural Development for additional funding and they are receptive to this; however, it may be premature to enter into those discussions. Rural Development will provide the interim financing. Mr. Christian recommended accepting the bid of $4,482,965, conditioned on concurrence by Rural Development, satisfactory review of the company financial statements, and subject to negotiations to reduce the contract amount.

Mr. Christian estimated the following time frame for the project:

April 1 - concurrence by Rural Development

April 15 - execution of contract by contractor and issuance of Notice to Proceed

Mid-May – completion of raw water line by W. L. Hailey

April 15, 2012 – Completion of project

The contractor is allowed a total of 120 days to keep the water at low pool, which is 10’ below the normal pool of Meadow Park Lake. This should provide approximately 5 months of water. On the raw water project, the contractor has started blasting and rock removal to construct the intake, which will take about 2 weeks.

Charles Loveday, Chair of the Lake Commission, reported to Council that they are working on the decision on the docks and piers and are expecting to hold special meetings so as not to hold up the project.

A motion was made by Councilman Earl Dean, seconded by Mayor J. H. Graham, III, that the low bid of Brayman Construction Corporation be accepted for repairs to Meadow Park Lake dam, contingent on approval by Rural Development, satisfactory review of the company financials, and value engineering negotiations, and that Form RD-400-1 “Equal Opportunity Agreement”, Form RD 400-4 “Assurance Agreement”, and Form RUS Bulletin 1780-27 “Loan Resolution” be approved. Vote: Motion carried by unanimous roll call vote (summary: Yes = 4). Yes: Councilman Earl Dean, Councilman George Marlow, Mayor J. H. Graham, III, Mayor Pro-Tem Danny R. Wyatt. Absent: Councilman Boyd Wyatt, Sr.

With no further business, the meeting was adjourned at 10:30 a.m.