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Monday, May 20, 2019

Council Chambers 5:00 pm Agenda

Although Council committee meetings are open to the public, public comment is not permitted at Council Committee of the Whole meetings. However, citizens are encouraged to attend and observe the meetings. Comment from citizens or professionals during the meeting may be solicited on agenda topics via invitation by the President of Council. All electronic recording devices must be located behind the podium area in Council Chambers and located at the entry door in all other meeting rooms and offices, as per Bill No.27-2012. I. Skateboard Park Presentation II. Interim Auditor Interviews – summary of interview attached III. Review Finance Reports (15 mins)

• Review Expenditures/Revenues – Executive Summary • Review Bank Statement Activity • Review Transfers not requiring Council approval • Review Investments (March, June, Sept, Dec) • Review Salary Cap Info – 2018 v 2019 • Review list of unfilled positions • 2018 Per Capita collection update

o Info Keystone uses to determine billing o Info provided by the City and Berks EIT

• 2018 BPT collection update

CITY COUNCIL

Committee of the Whole

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o Info Keystone uses to establish billing o Info provided by the City and Berks EIT o Number of bills sent by Keystone

Follow Up Issues • Breakout on the Building Trades permits by property type – residential and

commercial. • $2M Budget Gap in EMS

IV. Litigation Update – Executive Session – 30 minutes V. Executive Session re contracts and litigation VI. Adjourn

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SUMMARY

April 15, 2019 5:00 P.M.

COUNCIL MEMBERS PRESENT: S. Marmarou, B. Twyman, D. Reed, M. Goodman-Hinnershitz, J. Cepeda-Freytiz, L. Sihelnik, J. Waltman OTHERS PRESENT: L. Kelleher, T. Anewalt, F. Lachat, P. Sleppy, W. Stoudt, J. Kelly, A. Dominguez, R. Johnson The Committee of the Whole meeting was called to order at 5:05 pm by Mr. Waltman. I. Interim Auditor Interview Mr. Waltman invited Mr. Anewalt to make introductory remarks. Mr. Anewalt stated that he has resided in Reading for 11 years. He stated that he originally resided in the Lehigh area where he practiced law for approximately 40 years. He explained that he and his wife relocated to Reading as it is midway between Lancaster where his wife is employed and Lehigh were he had been employed. He stated that he recently did a career reassessment and decided to step away from representing multiple Lehigh municipalities and attending their evening meetings due to the 1+ hour commute home after the meeting adjourned. Mr. Anewalt stated that while he does not have an accounting background, he does have great familiarity with municipal operations due to his 40 years representing multiple municipalities. He stated that he reviewed the work performed by the Allentown elected Controller and found great differences in the way the Allentown and Reading fiscal watchdogs perform. He noted that the Allentown Controller approaches the position on a more-or-less part-time capacity with a fulltime assistant who performs

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the audits and other day-to-day functions. He expressed the belief that the Controller or Auditor position is important as it is independent of the executive and legislative branches of government and acts to oversee and protect the use of taxpayer dollars. Annmarie Wolfe interrupted with a question and Mr. Waltman reminded her that she is welcome to listen but that public comment is not permitted during working sessions. Mr. Anewalt stated that he became interested in applying for the Interim Auditor position while hearing a discussion about the opening at a community group meeting. He stated that he intends to approach the position in a part-time capacity that would allow him time to servicing his current law clients. Mr. Anewalt stated that if appointed he would first become acquainted with his staff and their functions and procedures and work to improve the functionality of the office. He expressed the belief that currently the office spends most of their time performing duplicative bookkeeping tasks related to reviewing financial records. He noted that the Allentown Controller performs departmental operational audits to assure that taxpayer funded operations are efficiently and properly performed. He expressed the belief that the Reading Auditor’s office is underutilized and needs to expand their operation and function. Mr. Anewalt stated that he is interested in filling the interim position only and he is not interested in running for the elected position. He stated that he would approach the interim position in a part-time capacity so he can continue his local law practice. He noted that leaving his municipal representation in the Lehigh area has relieved a heavy burden from his schedule and he looks forward to working two miles from his home. He expressed the belief that with fulltime staff he can perform the required functions in approximately 20-30 hours per week. Mr. Deming and Mr. Pottiger arrived. Mr. Anewalt stated that he would report the findings of his departmental operational audits to the administration and Council verbally and in writing. Mr. Anewalt stated that he has no problem attending evening meetings, as he is a City resident and City Hall is in close proximity to his home. He stated that he sees the role

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of the Auditor as one that acts as an independent fiscal watchdog and provides information to the legislative and executive branches of government. Mr. Waltman stated that he is concerned that having the position filled in a part-time capacity will prevent the hands-on performance of the responsibilities of the position. Mr. Anewalt replied that he carefully reviewed the Allentown model, comparing the responsibilities of both positions. He noted that while the responsibilities are very similar, Allentown places some additional responsibilities on the elected Controller. He added that Allentown has a larger population, size, and operational budget compared to Reading and the Allentown elected Controller is able to perform the responsibilities of the position in a part-time capacity with the aid of staff. Mr. Anewalt stated that if appointed his goal is to leave with a much improved and better functioning office for the next person elected to fill this role. Council thanked Mr. Anewalt for applying and coming in for the interview. Ms. Sihlenik asked Mr. Kelly if he has followed up on his suggestion to perform additional outreach to identify additional applicants. Mr. Kelly stated that he and his HR staff have not performed the outreach yet but they would begin working to identify additional applicants. Mr. Waltman noted that Council will discuss the interview with the applicant interviewed this evening at the April 22nd COW, in the meantime any additional applications should be forwarded to the Council Office. Mr. Deming promised to make the requested outreach a priority. II. Finance Reports Mr. Pottiger distributed a report on cash assets and investments, comparing the first quarter of 2018 and 2019 and he reviewed the report with Council. He noted that a few areas need further review and he would report back. He stated that while there is cash available, money has been allocated to various project funds to safeguard them. Mr. Twyman inquired why the City does not invest more of its available cash to generate interest income. Mr. Kelly responded that there are limits on the investment of taxpayer funding.

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Ms. Goodman-Hinnershitz reminded Council that the Parking Authority Chair has not responded to the letter sent on March 6, 2019 requesting a meeting. She stressed the need to work with the RPA to develop a new lease agreement and address the annual RPA contribution to the City. After discussion, Mr. Waltman asked Mr. Deming to discuss this issue with the Mayor and ask if he would assist in making the arrangements for the meeting with the RPA. Mr. Deming noted the need for the meeting to be properly advertised. Ms. Kelleher stated that Council offered meeting dates during Council COWs or scheduled Parking Authority meetings so additional advertising would not be required. Mr. Waltman asked Mr. Lachat to reach out to Mr. Boyer, RPA Solicitor, to discuss the need for these two boards to meet. Ms. Goodman-Hinnershitz inquired about the type of financial reports Council would like to receive from Administrative Services. Mr. Waltman requested an Income and Balance Sheets with an executive summary. There was a discussion on the roadblocks to complete the many projects funded such as the sidewalk/curb repair, blighted property remediation and street paving. Council agreed on the need for the administration to develop timelines and programs and guidelines for the use of these allocated funds. Mr. Kelly noted the City’s strong financial position and the need to balance the use of cash on hand, as Reading remains in the State Act 47 program. Ms. Goodman-Hinnershitz asked Mr. Twyman to report on what he learned at the last Rec Commission meeting. Mr. Twyman stated that he learned that the mayor asked the Rec Commission to look at reusing the 9th and Marion (Hampden) Fire Station as a rec center, as he does not want to demolish this building when the new fire station is built. Mr. Johnson confirmed that the rec center would replace the playground where the new fire station is planned.

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Mr. Deming confirmed that the mayor wants to retain this building and repurpose it as a rec center. Mr. Deming and Mr. Kelly reported that they recently had a phone conversation with Keystone Collection. Keystone mailed out 50,000 Per Capita bills, 26,000 delinquent notices and 9,000 certified delinquent notices. Mr. Kelly stated that in 2018 Keystone mailed out 55,000 Per Capita bills then worked to refine the database, removing those who have moved, etc. and lowered the number of those billed to 50,000. Ms. Goodman-Hinnershitz stated that at the Act 47 meeting last week a retired postal employee stated that the Per Capita bills are mailed 3rd class with no forwarding address, which stops the bill from going to a taxpayer’s new address. Mr. Deming stated that he would correct this problem. Mr. Kelly stated that data sharing between Berks EIT, the City and Keystone needs improvement. Mr. Kelly stated that there is no update on the Business Privilege Tax collection at this time. Mr. Pottiger stated that he would distribute a Revenue and Expense report on April 22nd. Mr. Kelly suggested sending Council a budget overview that compares the budget projections to actual expenditures. He stated that Accounting will work to improve their financial reporting. Ms. Goodman-Hinnershitz questioned if the Open Gov data on the City’s website has been updated. She stated that the availability of this public information provided true transparency. Mr. Kelly estimated that the database could be updated in June-July of this year. III. Executive Session Mr. Waltman announced the need for an executive session on personnel matters at 6:15 pm. All exited the meeting except for the seven members of Council, Mr. Lachat, and Ms. Kelleher.

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A second executive began at 6:55 pm with the same attendees on litigation and contracts. The session concluded at approximately 7:25 pm and the meeting adjourned.

Respectfully Submitted by Linda A. Kelleher, CMC, City Clerk

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Drafted by: Deputy City Clerk Sponsored by/Referred by: Reading for 100/Environmental Advisory Council

R E S O L U T I O N NO.__________________

Committing the City of Reading to the Development and Implementation of a Renewable Energy Plan to

transition to 100% Clean and Renewable Energy WHEREAS, climate change poses a long-term threat to the well-being of communities including the City of Reading, and more frequent extreme disruptive weather associated with the use of fossil fuels presents immediate risks; and

WHEREAS, climate change impacts will test our infrastructure, emergency and social services; impact our access to food, water, and energy supplies, and heighten disruption of services, commerce and quality of life; and

WHEREAS, the 2015 United Nation Climate Change Conference in Paris resulted in a consensus of all 195 countries to limit the increase in global average temperatures to well below 2 degrees Celsius, ensure that greenhouse gas emissions will not exceed sinks (total carbon capture) by the second half of this century and become carbon neutral between 2050 and 2100; and

WHEREAS, the internationally agreed upon goals can be met based upon existing and new national, state, and local initiatives that can collectively reduce climate disruption and help minimize the impact of extreme weather on our communities; and

WHEREAS, a renewable energy initiative can produce energy cost savings for residents and local businesses while stimulating new economic activity and jobs in the City of Reading and providing life-protecting benefits for everyone; and

WHEREAS, on June 12, 2017, City Council included Reading among the thousands of cities across the nation pledging to “take actions and adopt policies that are designed to reduce the carbon footprint of the City of Reading and its contribution to climate change, in the collaborative spirit of the Paris Agreement to share responsibility for the safety and economic prosperity of our citizens today and for generations to come” (Resolution 55-2017).

THE COUNCIL OF THE CITY OF READING HEREBY RESOLVES AS FOLLOWS:

(1) The City of Reading is joining other leading towns and cities in the national movement to

transition to 100% clean and renewable energy community-wide and establishes the following renewable energy goals:

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a. For municipal owned facilities and equipment one hundred percent (100%) clean, renewable electricity by 2030 and 100% clean, renewable energy for heat and transportation by 2040;

b. for Community-wide one hundred percent (100%) clean, renewable electricity supply by 2035; and

c. Community-wide one hundred percent (100%) clean, renewable energy in all energy-use sectors including transportation by 2050.

(2) The City of Reading will define clean, renewable energy as energy generated from renewable sources such as wind, solar, small hydro, tidal, fuel cells, and geothermal with locally produced and distributed energy prioritized whenever feasible for the many advantages it provides to the community.

(3) To meet this goal, the City commits to the following steps in the process of its transition to clean, renewable electricity and energy for municipal uses:

a) Quantify the City’s use of electricity (including clean, renewable electricity, as defined above), natural gas, fuel oil, vehicle fuels, and other energy sources over the past three years and annually thereafter for all City-owned facilities and equipment; and

b) Draft, adopt, and commit to fund, Municipal Energy Master Plan to transition City facilities to 100% clean, renewable electricity by 2030 and equipment to 100% clean, renewable energy by 2040. The plan should identify multiple options to fund and achieve these goals, including estimates of the financial cost.

(4) Furthermore, to achieve a community-wide target for 100% clean, renewable energy, the City will produce, through partnership with the Reading community, a Clean Energy Plan by July 2020. The Plan will be produced with the following considerations:

c) Priority will be given to the lowest cost measures to meet energy needs including efficiency, weatherization, cogeneration, smart technology, other measures to reduce energy consumption, and programs that create an energy-saving culture in Reading; and

d) The City will seek to collaborate with surrounding communities to share best practices and seek partnerships on implementation pathways where beneficial; and

e) The Plan will include interim milestones, equity metrics, estimated financial impacts, financing mechanisms, and the percentage of clean, renewable energy that shall be generated locally; and

f) The City will ensure that the benefits of a clean, renewable energy transition include low-income and historically marginalized residents; and

g) The public will have opportunities and be encouraged to participate in the process for planning and implementation.

Passed Council ___________________, 2019

_________________________________ Council President

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Attest: ____________________________ City Clerk

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ARTICLE IV Managing Director

§ 401. Appointment; qualification; compensation.

(a) Within 90 days of taking office, the Mayor, with the approval of City Council, shall appoint a Managing Director for an indefinite term, subject to at least a biennial review, and fix the Managing Director's compensation. The Managing Director need not be a resident of the City at the time of appointment, but after appointment shall reside in the City. The Managing Director shall establish such City residency within 12 months of being appointed.

(b) Any candidate for Managing Director shall:

(1) Have a Master's degree in public administration, business administration, or its equivalent and have at least three years' experience at an executive or administrative level; or

(2) Have a Bachelor's degree in public administration, or its equivalent, and have at least five years of experience at an executive or administrative level.

(c) City Council may, by ordinance, establish additional qualifications for the position of Managing Director, prior to advertisement for the hiring of the Managing Director.

(d) In the event that the position of Managing Director cannot be filled by the Mayor, the Mayor may appoint a Temporary Managing Director for a period of time not to exceed 90 days. During this period of time, the Mayor shall continue to use all available means to fill the position.

(e) In the event the Mayor has not filled the position of Managing Director within 180 days of taking office, City Council shall, within 90 days thereafter, hire a Managing Director. Any person hired by City Council shall hold the qualifications for said position prescribed by this Charter. The Mayor shall not have the power of veto over any candidate hired by City Council in accordance with the provisions of this Charter.

§ 402. Approval by Council.

(a) City Council approval shall be necessary for the hiring of the Managing Director appointed by the Mayor. Such approval shall be made within 30 days from the date of the appointment. If no action is taken by City Council within such period, the approval of the hiring of the candidate shall be automatic.

§ 403. Vacancy.

(a) If the position of Managing Director becomes vacant at any time, the provisions of § 401 shall apply to the hiring of a replacement.

§ 404. Removal.

(a) The Managing Director may be removed from office by the Mayor at any time, without cause.

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(b) At least 15 days prior to the removal from office, the Mayor shall notify the Managing Director and City Council in writing of such removal.

(c) Council may, by ordinance, remove the Managing Director from office for failure to hold the qualifications set forth in § 401 or for violation of any of the prohibitions set forth in § 405.

§ 405. Prohibitions.

(a) The Managing Director shall devote full time to the office; shall hold no elective public office; shall hold no other City office or City employment for which any compensation is paid or received; and shall hold no office in any political party or organization.

(b) A Managing Director who has a financial interest, direct or indirect, or by reason of ownership of stock, in any corporation, in any sale of land with the City or, in any contract with the City, shall immediately make known that interest to Council. A Managing Director who wilfully conceals such an interest shall be guilty of malfeasance in office. Violation of this section with the knowledge expressed or implied of the person or corporation contracting with or making a sale to the City shall render the contract or sale voidable by the City.

(c) The Managing Director shall refrain from participating in the debate and discussion of policy by City Council unless authorized by the Mayor, but may respond to inquiries on any matter under consideration.

§ 406. Powers and duties.

The Managing Director shall be the chief administrative officer of the City, responsible to the Mayor for the administration of all City affairs placed in the Managing Director's charge pursuant to this Charter. In addition to other powers and duties prescribed by this Charter, the Managing Director shall:

(1) Execute and enforce the provisions of this Charter and all ordinances, resolutions, and motions of City Council;

(2) Supervise the administration of all departments, offices, and agencies of the City, as directed by the Mayor, except as otherwise provided by this Charter or by law; [Amended at the November 2014 General Election]

(3) Appoint, suspend, or remove any City employee, except as otherwise provided by this Charter or by law;

(4) Prepare and submit to the Mayor on an annual basis a five-year financial plan and a budget.

(5) Supervise and direct the negotiation and administration of any collective bargaining agreements with City employees;

(6) Submit to the Mayor a complete report of the finances and administrative activities of the City within 30 days of the end of each fiscal year;

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(7) Assure that the laws of the commonwealth relating to the affairs and government of the City are faithfully executed and enforced;

(8) Present to the Mayor from time to time such information concerning the business and affairs of the City as the Managing Director may deem necessary, or as City Council by motion may request; and recommend such measures for legislative action as are believed to be in the best interests of the City; and

(9) Perform such other duties as are specified in this Charter or may be required by the Mayor or City Council.

Charter Advisory Opinion #21

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Charter Advisory Opinion #22

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Charter Advisory Opinion #38

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