Regular Council Meeting Minutes Council Chambers of Municipal Complex ALEXANDER CITY ALABAMA 281 James D. Nabors Drive Monday, May 6, 2024 Meeting at 5:30 p.m. CALLTO ORDER THE PRE-COUNCIL MEETING: Council President Colvin called the Pre-Council Meeting to order at 5:30 p.m. on Monday, May 6, 2024, in the Council Chambers Individuals present included: Mayor Baird, Romy Stamps, Finance Director; Piper Barnett, Administrative Assistant; Police Captain McKinney; Brittany Shores, Mayor's soffice; Sasha Stewart, Purchasing Agent; Drew Meacham, Public Works Director; Amanda Thomas, Community Development Director; Christy Clayton, IT department; Aaron Gortney, Code Enforcement Officer; Jay Taylor, Building official. Others present included: Mrs. Keel, Minister Alice Hall, Teresa Moten, Sandra Fuller, Jim & Louse Duffy and others. The media ofthe Municipal Complex. All councilors were recorded as being present. was represented by the Outlook. Councilor Keel stated that agenda item #1 is a required annual report. Sasha reported that there were three (3) bidders with Pennsylvania Transformer Technology Jay Taylor, building official, reported that agenda item #3 addresses multiple properties that are in need of condemnation and is requesting a public hearing to address each of these CALLTO ORDER THE REGULAR COUNCIL: MEETING: Council President Colvin called the Council Meeting to order at 5:34 p.m. on Monday, May 6, 2024, in the Council Minister Alice Hall led the invocation. Councilor Tapley led the Pledge of Allegiance to the APPROVAL OF MINUTES: Work Session and Regular City Council meeting April 15, 2024. Councilor Tapley made a motion to approve the minutes as written, and Council President Pro Tempore Hardy seconded the motion. There being no discussion, the minutes were adopted (6- APPROVAL OF THE. AGENDA: Regular City Council meeting May 6, 2024. Councilor Tapley made a motion to approve the agenda as presented, and Council President Pro Tempore being the lowest responsible bidder. properties. Chambers ofthe Municipal Complex. American Flag. 0). Hardy seconded the motion. The agenda was approved (6-0). 1 REPORTS FROM STANDING COMMITTEES: Council President Colvin reported that the Finance and Revenue departments are doing a Councilor Eric Brown reported that the Fire and Police departments have job openings. Councilor Chris Brown reported that the golf course is financially ahead oft this time last year. Youth cheerleading is open for registration as well as swimming lessons and you can sign up at acpr.recdesk.com. Thanks to the water department for assisting in getting the city pool ready for the summer. Airport construction on the apron has started and will be completed in Council President Pro Tempore Hardy thanked the brush crew for picking up debris Councilor Tapley reported that the library will be holding drawing classes May 8th and 15th Council President Colvin called a Public Hearing for May 20th at 5:30 p.m. to discuss great job. Councilor Keel stated that all utilities are being provided and serviced. phases with phase 1B to begin Thursday, May 9. throughout the city in a timely manner. and encouraged registration. council district line revisions. Public comment is requested. REPORTS FROM SPECIAL COMMITTEES: PUBLICHEARING: None REPORT ON STATUS OF CITY FINANCES: Romy presented three options (as attached) for refinancing the Municipal Complex. She would like to see this presented at the next City Council meeting. PROCLAMATIONE None UNFINISHED BUSINESS: None NEW: BUSINESS: 1.RESOLUTION: To. Authorize the Mayor to Execute the 2024 Municipal Water Pollution Prevention Report for the Sugar Creek Waste Water and Coley Creek Treatment Facilities. Councilor Tapley made a motion to adopt the resolution as written. Council President Pro Tempore Hardy seconded the motion. There being no discussion, the resolution was adopted (Sponsored By: Councilor Keel) RESOLUTION BOOK 2024-38 with the following roll call vote: YEAS: NAYS: TAPLEY, HARDY, E. BROWN, COLVIN, C. BROWN, KEEL 6 NONE 0 2 ABSTAINED: ABSENT: NONE NONE o o 2. RESOLUTION: To. Award Bid No. 24-13 to Pennsylvania Transformer Technology, Inc. for Two (2)3-PH Power Transformers 15/20/25 MVA ata a Cost not to Exceed $1,533,898.00. Councilor' Tapley made a motion to adopt the resolution as written. Council President Pro Tempore Hardy seconded the motion. Councilor Tapley commended Sasha for her efforts in bidding out these items and getting the best price. There being no further discussion, the (Sponsored By: Councilor Keel) RESOLUTION BOOK 2024 -39 resolution was adopted with the following roll call vote: YEAS: NAYS: ABSTAINED: ABSENT: TAPLEY, HARDY, E. BROWN, COLVIN, C. BROWN, KEEL 6 NONE NONE NONE o o o 3. RESOLUTION: To Set a Public Hearing for Fiscal Year 2024 Condemnation Proposals. Councilor Tapley made a motion to adopt the resolution as written. Council President Pro Tempore Hardy seconded the motion. Councilor Tapley thanked Jay Taylor and Aaron Gortney for their work in identifying these properties. There being no further discussion, the resolution (Sponsored By: Mayor Baird) RESOLUTION BOOK 2024 -4 40 was adopted with the following roll call vote: YEAS: NAYS: ABSTAINED: ABSENT: TAPLEY, HARDY, E. BROWN, COLVIN, C. BROWN, KEEL 6 NONE NONE NONE o o o FUBLICCOMMENIS (3 minutes per speaker): COMMENTS FROM THE: MAYOR: Thanks to Amanda for her efforts in the condemnation process. Please pray for Dana Fuller as she did not receive good reports on her recent biopsy. COMMENTS FROM THE FINANCE DIRECTOR: None COMMENTS FROM THE CITY CLERK: There will be a Special Called Meeting Thursday, May 9 at 4:30 p.m. for interviews for a vacancy on the Board of Education. Our next Work Session and City Council meetings will be held Monday, May 20, 2024at4 4:30and 5:30 p.m. Happy Birthday tomorrow to Councilor Tapley. COMMENTS FROM THE COUNCIL: Councilor Tapley thanked everyone for coming and further asked for prayers for Dana. 3 Council President Pro Tempore Hardy thanked everyone for theirattendance. He commended thei mayor and Finance department on the refinance deals that havel been presented. Councilor Eric Brown thanked everyone: for coming out and gave a briefupdate from the Tourism Board and encouraged everyone to check out moeplor-alemarincm. Councilor Chris Brown thanked everyone for coming out. for Dana and her family and all oft those that are sick and shut in. Councilor Keel thanked everyone for coming out and those watching live. He asked for prayers Council President Colvin thanked everyone for coming out and being involved. She asked for continued prayers for the governmental body and the city staff. She asked for prayers for Dana. ADJOURN: There being no: further business to come before the council, Councilor Tapley made a motion to adjourn, and Council President Pro Tempore Hardy seconded the motion. All were: in favor (6-0). The meeting adjourned at 5:51 p.m. APPROVED: FOR PUBLICRELEASE PUBLICRELEASE Council President METHOD OF DELIVERY: May 10, 2024 for review. OTHER: City Clerk The draft minutes were e-mailed to the mayor, city council members and the city attorney on ATTACHMENTS: Agenda 2. Sign - in sheet 1. 3. Municipal Complex Refinance options 4 Regular Council Meeting Agenda Council Chambers of Municipal Complex Monday, May 6, 2024 - Meeting at 5:30 p.m. 281James D. Nabors Drive ALEXANDER CITY ALABAMA Call to Order: Council President Colvin Opening Prayer: Minister Alice Hall Pledge of Allegiance: Councilor' Tapley Roll Call: Approval of Minutes: April 15, 2024 Work Session April 15, 2024 Regular Meeting Approval of Agenda: May 6, 2024 Reports from Council on Standing Committees: Finance Committee: Council President Colvin Public Safety Committee: Councilor Eric Brown Utilities Committee: Councilor Keel Parks and Recreation: Councilor Chris Brown Buildings and Properties: Councilor Tapley Public Works Committee: Council President Pro Tempore Hardy Weu will be holding a Public Hearing here in the City Council chambers on Monday, May 20, 2024 at5:30 p.m. to discuss district line revisions and accept any public input. Reports from Special Committees: Public Hearing: None Report on Status of City Finances: Discussion of Municipal Complex financing options Proclamation: None Unfinished Business: None New Business: 1.1 RESOLUTION: To. Authorize the Mayor to Execute the 2024 Municipal Water Pollution Prevention Report for the Sugar Creek Waste Water and Coley Creek Treatment Facilities. (Sponsored By: Councilor Keel) 2. RESOLUTION: To. Award Bid No. 24-13 to Pennsylvania Transformer Technology, Inc. for Two (2)3-PH Power Transformers 15/20/25 MVAa at a Cost not to Exceed $1,533,898.00. (Sponsored By: 3. RESOLUTION: To Set a Public Hearing for Fiscal Year 2024 Condemnation Proposals. Councilor Keel) (Sponsored By: Mayor Baird) address for the record. Comments from the Mayor: Comments from the Finance Director: Comments from the City Clerk: Comments from the Council: Executive Session: Adjournment: Public Comments (3 minutes per speaker): Please step to the podium and state your name and We will have a Special Called meeting Thursday, May 9 for BOEinterviews The next Work Session and City Council meetings are scheduled for Monday, May 20th, 2024 at 4:30 and 5:30 p.m. Municipal Complex Refinance Options Current Payment $49,396.22 Central State bank Interest Rate Amortization Payment Total payments: 2.71% 15 years ($52,043.26) ($9,367,787.34) Notes:- Depository yrelationship-, $6,537,000 minimum continuing balance Valley Bank Option 1 Interest Rate Amortization Payment Total payments: Option 2 Interest Rate Amortization Payment Total payments: Notes:- Five-year balloon 5.97% 15 years ($64,772.38) $11,659,028.53) 5.97% 20years ($54,964.24) $13,191,417.90) CENTRAL STATE BANK FDIC February 16th, 2024 To: City of Alexander City, Alabama they potential Lender /Warrantholder. GENERAL LOAN INFORMATION Borrower: Loan Amount: Lender Security: Loan Type: Loan Term: Loan Amortization: Tax-Exempt Fixed Rate: Loan Fees: Re: Loan Proposal - Refinance of General Obligation Warrant 2019 We are pleased to provide this proposal for your consideration ast the potential Borrower and Central State Bank, City of Alexander City, Alabama $7,730,000* 15 years 15years 2.71%** None AG General Obligation Warrant of the City of Alexander City, Alabama Fully amortizing term loan facility *The approximate principal balance due on 04/01/2024 **Subject to increase upon a determination of taxability PARTICULAR COVENANTS OF THE CITY Agreement not to Encumber. The City shall not, without they prior written consent of the Lender: (a) create, incur, assume or suffer to exist any mortgage, lien, or security interest on the Municipal Complex, other than Permitted Encumbrances; or (b)s sell, convey, or otherwise dispose of, any of the City's rights, titles andi interests in and to the Financial Statements. The City will furnish its financial statements to the Lender on an annual basis, commencing with the financial statements for the fiscal year ended September 30, 2024, and willi in good faith endeavor to provide such financial statements within 180 days (but in no event later than 270 days) of the end of each fiscal Depository Relationship. The City shalle establish a Depository Account(s) with the Lender containing at least 85% (eighty-five) of the principal amount of the Warrant then outstanding. The City and the Lender shall agree upona calendar day of they year to test this covenant before funding of the Warrant, provided, in no event shall this covenant bet tested moret than one time in any calendar year. The City and the Lender agree that the interest rate paid byt the Lender on amounts in the Depository Account shall not exceed 31 (thirty-one)! basis points, unless otherwise agreed in writing between the City andt the Lender. A good faith attempt to maintain the depository balances so required can be considered abiding by the covenant. AD Depository Account(s) can be anyt type of checking, savings, money market, or certificate of deposit account offered by the Lender and transactional in nature for operational purposes at the City's discretion. No holds, pledges or encumbrances or limitations will be Municipal Complex for sol long as the Warrant is deemed outstanding. year of the City. placed on al Depository Account(s) of the City by thel Lender. CENTRAL STATE BANK FDIC Compliance with the Internal Revenue Code. (a) The City covenants and agrees that it will, to the extent permitted byl law, comply with the provisions of the Internal Revenue Code of 1986, as amended (the "Internal Revenue Code") that constitute conditions to or requirements for the exclusion of the interest income on the Warrant from the gross income of the recipients thereof for federal income tax purposes pursuant to the provisions of Section 103 of thel Internal Revenue Code. (b) The City will designate the Warrant asa "qualified tax- exempt obligation" for purposes of paragraph (b)(3)(A) of Section 265 of the Internal Revenue Code. All loans are subject to underwriting and must receive approval prior to funding of the loan. To close the loan, certain conditions must be met including, but not limited to: Satisfactory Underwriting Analysis No adverse change has occurred in Borrower creditworthiness or repayment ability No substantial change has occurred in market conditions or Lender's ability to lend Sincerely, Mitt Schroeder Chief Executive Officer Central State Bank TRAL ANK Valley April 26, 2024 The City of Alexander City 281. James D.1 Nabors Drive Alexander City, AL35010 RE: The Refinance of the Series 2019 General Obligation Warrant Sct forth bclowi isap preliminary outline oft terms that may be appropriate for your request. This is nota al loan commitment or an agreement ofa any kind by Valley National Bank ("VNB"). Neither this term sheet nor any other discussions between uss shalli imply any obligation on the part of VNB to continue to discuss or enter into any future agreement with respect to any financing. Notwithstanding the cxchange oft term shects such as this onc, or corrcspondence or discussions rclating to financing, whether or not containing expressions suggesting an: agreement or understanding, nos such commitment ora agreement will exist unless andi until itis embodied ina a formal document and executed specifically as: al loan commitment or other agreement by ans authorized officer ofVNB. This term shccti ist transmitted CONFIDENTIALLY for the sole use oft thei individual(s) and entitics shown above, andit may not be forwarded or disclosed to others without the express consent of VNB. Borrower: Purpose: Loan: Term: Amortization: Interest: The City of Alexander City "The City" To refinance the Series 2019 General Obligation Warrant $7,690,518 601 months Option 1: 180 months with monthly principal andi interest payments Option 2: 240: months with monthly principal andi interest payments The bank qualified tax-exempt equivalent of the U.S. 5-year treasury rate + 127 basis points fixed for the term of the loan determined at closing. Today's bank qualified tax- The fixed rate is quoted as of04/26/2024 and: subject tor market fluctuation. The rate will Thel Borrower willl be responsible fort the payment ofall costs associated with the closing of this loan including, but not limited to, Borrower and Lender legal fees, third party reports, and any required recording fees orl loan document preparation fees. General Obligation of the City of Alexander City for which the full faith and credit of exempt rate would equate to 5.97%. be fixed two weeks prior to closing. Fees: Security: the City is irrevocably pledged. Prepayment Penalty: None. Other Terms: Warrant Fund: The City will continue to maintain the Warrant Fund as described in the Financial Statements: The City will work toj provide Audited Financial Statements on: an annual basis within 180 days of fiscal year end, but in no event later than 270 days. The City will also provide: any other financial information, unaudited or otherwisc, as original Series 2019 Agreement available when requested. - Depository Relationship: Upon issuance of the refinance, the City will maintain a depository relationship with the Warrant holder containing as of April 1 of any particular year at least the then outstanding principal amount of the Warrant. This is a non-binding term sheet and does not constitute a commitment to lend by Valley National Bank. Valley National Bank willl have no obligation toj provide the credit facility contemplated by this term sheet until a separate written: agreement designated as a commitment, letteri is executed by an authorized: representativeofVNB: and accepted Please indicate your desire to! have Valley National Bank further consider your request fora credit facility by signing Isincerely appreciate the opportunity to present you. with this term sheet and look forward to working with you on thist transaction. Ifyoul have: any questions or concerns regarding the content oft thist term sheet, please feel freet tos give inv writing byt the Borrower. this letter where indicated below and by returning this letter. mez acall at 256-794-2994 FOR PUBLIC RELEASE ACCEPTANCE OF TERM SHEET YOUR SIGNATURE BELOW INDICATES YOUR. ACCEPTANCE OFT THE PROPOSED: TERMS AND CONDITIONS TOI BE INCLUDED IN. ALOAN. "BORROWER" By: Printed: Its: City of Alexander City Banking Statement Balances ALEXANDER CITY Balances As Of 4/30/2024 Truist Bank BB&T- Economic Devel River Bank Municipal Court Collect Municipal Court Cash Bond Acct Clearing Account ACRIP ACPR/Sportplex Imagination Station SRF Clean Water Sewer Capital Improvement SRF Wicker Point Valley Bank #75 School Acct #10 Operating Reserves Utility Deposit Utility Collection 4Cent Gas Tax Golf Course Airport Operations Sales & Use Tax Ala Trust Fund Water Capital Improvement General Operating Rebuild Alabama CD Wells Fargo WF General Fund State Gasoline Fund Payroll Account 2 Motor Vehicle Tax 97,441.19 308,150.69 99,832.65 880,937.51 2,224,091.67 323,308.18 96,245.79 1,065,541.39 507,046.13 7,801.60 204,785.73 1,362,575.36 983,768.45 9,278,050.39 209,924.82 447,479.74 98,954.38 2,318,567.68 284,468.37 746,072.84 6,669,651.66 470,378.47 1,500,000.00 2,006,086.81 730,557.35 464,532.66 184,980.09 $33.571.231.60 Total Balance @ period end City of Alexander City, Alabama City Council Public Comments Agenda Item: Public Comments (3 minutes per Speaker) Date & Time: May 6, 2023 at 5:30 pm Public Comments before the City Council are an opportunity for citizens to express their views. ANYONE WISHING TO SPEAK MUST SIGN-IN Print Name Address or District 8 9 10 11 12