HomeMy WebLinkAbout10.06.2008• •
COUNCIL WORK SESSION
October 6. 2008
5:00 p.m.
Council Chambers
Members present: Mayor Hurley, Cole, Getty, Hart, Greenwood, Steve Schmitt, Welper, Reggie
Schmitt.
Moved by Reggie Schmitt, seconded by Cole that the Agenda, as proposed, be approved. Ayes:
Seven. Motion carried.
The purpose of the work session was to discuss rebate of permit fees for commercial/retail
businesses and rental property damaged in the 2008 Flood and tornado. Mayor Hurley noted that
the council passed a resolution on a 4 to 3 vote establishing a policy of 100 percent rebate of
building, plumbing, electrical and heating permit fees for owner/occupied resident property
damaged in the 2008 Flood. Mayor Hurley reported he has had a few calls from businesses
asking what about rebating the permit fees for businesses that had damage during the floods.
Mayor Hurley noted he is not asking council to amend or reconsider the previous resolution, but
asking council to consider a separate resolution which would include businesses and rental
property. Mayor Hurley commented that he thought the previous resolution granting 100 percent
rebate on building and mechanical permit fees was too wide.
Councilperson Cole commented that she was absent the night of the vote on the resolution, but it
is her understanding that Councilperson Getty amended the motion on the floor to give 100
percent rebate not only on building permit fees but also plumbing, electrical and heating permit
fees.
Mayor Hurley noted that the call he received regarding tornado damage was for property on
Wagner Road with $60,000.00 damage. Councilperson Getty stated he thought the damage was
to two buildings on the property and not the house.
Mayor Hurley stated that the business owners say that they provide jobs, payroll and pay taxes
and landlords say they provide safe havens.
Councilperson Steve Schmitt stated he thought the council members who voted against the
rebate resolution did so because of budgetary reasons, and he asked if we are talking about
doubling the figures. Mayor Hurley stated that people can say we are receiving extra revenue,
but the city would not have been sending staff out for those inspections. We also did a lot of free
emergency work getting people back in their homes. Mayor Hurley noted that rebating these
fees would mean a loss of revenue.
Lou Cutwright, Building Official/Maintenance Administrator, reported he does not have figures
for businesses because the Building Department did not designate in the commercial permit
system whether it was flood related because he did not think council was going to rebate those
fees. Mr. Cutwright noted that on a $100,000 permit, the city would lose around $950.00 in
revenue.
Mayor Hurley stated he is administratively torn regarding rebate of the business permit fees. The
city helped the homeowners, but we made everyone else make up for that. The businesses are
just saying what's good for the goose is good for the gander.
Mr. Cutwright noted that today a person from Sumner Street requested a refund on a permit for
replacement of a roof. Mr. Cutwright asked how do we decide how much of the fee is flood
damaged repair. Mayor Hurley noted that the resolution does say the rebate is only for that
portion damaged by the flood.
Councilperson Getty asked if the building inspectors meet with the fire inspectors, and stated he
finds it hard to believe that the inspectors don't know which repairs are flood related. Mr.
Cutwright noted that the property is inspected, but the inspector does not see if the damage
corresponds to the permit.
Council Work Session
October 6, 2008
Page 2
Councilperson Getty stated that he feels that all flood related and tornado related permit fees for
commercial, rental and rental businesses should be rebated.
Councilperson Welper asked if we would rebate permit fees for the next tornado, or the next
disaster and where do we stop. Councilperson Welper noted he voted no for the first resolution
because he feels it is the council's job to reduce taxes, and when we give away services we are
raising taxes because we are not conducting business as usual.
Councilperson Steve Schmitt stated he owns a downtown business and has income property and
is not in favor of rebating permit fees for either of them. Councilperson Steve Schmitt stated the
reason he voted for the permit fee rebate for homeowners was because the flood was a once in a
lifetime occurrence, and most of these folks were in no position to pay. Councilperson Steve
Schmitt stated that he thinks typically business and income property owners have the opportunity
to recoup those costs over time. Councilperson Steve Schmitt asked that if the city opens these
gates, where do we stop as we have tornados and floods every year.
Councilperson Greenwood stated there is a minority of citizens who focus on taxes, but the
majority want to be treated fairly and have good quality of life. They want the council to be
good stewards of their money. Councilperson Greenwood stated he is in favor of some kind of
help to the businesses. He would like to cover the city's expenses and not refund the power
room permits and to make it equitable for everyone instead of focusing on one group.
Councilperson Reggie Schmitt stated he was against the first resolution to rebate permit fees for
the property owners because of budget reasons, and he does not favor rebate of permit fees for
business/commercial and rental property.
Councilperson Hart commented he would favor some rebate for commercial/retail property but
probably not 100 percent.
Councilperson Greenwood noted that the Governor now has in place the Jumpstart Program.
Mayor Hurley noted that there are three council members opposed, three council members in
favor and one councilmember is neutral on rebating permit fees for commercial/retail and rental
property. Mayor Hurley stated that he would suggest that if a council member has four votes in
favor of the rebate of permit fees for commercial/retail and rental property that they should place
a resolution on the council agenda. At this point, Mayor Hurley stated he would go no further.
With no further business before the council, it was moved by Steve Schmitt, seconded by Welper
that the meeting be adjourned at 5:21 p.m. Ayes: Seven. Motion carried.
Nancy Eckert
City Clerk
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