Demorest City Council Regular Session Tuesday, January 2, 2024.7 7:00P.M.  Demorest Municipal Conference Center . 250 Alabama St Demorest, GA. 30535  Shawn Allen, Councilman Donnie Bennett, Councilman Jerry Harkness, Mayor Jimmy Davis, Councilman  Andrew Ferguson, Councilman Megan Chastain, City Clerk Thomas Mitchell, City Attorney Mark Musselwhite, City Manager  The January 2, 2024 Demorest Regular Session was held ini the Demorest Municipal Conference Center  located at 250 Alabama Street.  1. INVOCATION  Mayor Harkness opened the meeting by leading in prayer.  2. CALLTO ORDER  Mayor Harkness called the meeting to order at 7:15 p.m.  3. APPROVAL OF AGENDA  Mayor Harkness called for any modifications to the agenda. Councilman Allen requested to move agenda item 10. CONSIDERATION OF ADOPTING NEW WATER/SEWER RATE: STRUCTURE up toi item 8 on the agenda. Mayor Harkness called for a motion to accept the agenda as amended. A motion was made by Councilman Allen to approve the agenda as amended and was seconded by Councilman ACTION: The motion to approve the agenda as amended was unanimously approved (4-0). 4. APPEARANCE & PUBLICCOMMENT (please limit your comment to 2 minutes)  Ferguson.  There were none.  5. APPROVAL OF MINUTES: December 12  Mayor Harkness asked Council to review the minutes and make a motion. Councilman Allen requested that .CONSDERARONOEGANNAGETRUCEQUOIS and 2-ADOPPONOFWAIERSEWERRAS STRUCTURE on the Regular Session minutes be deleted. A motion to approve the minutes as amended was made by Councilman Allen and was seconded by Councilman Ferguson. ACTION: The motion to approve the minutes as amended was unanimously approved (4-0).  1IPage    6. COUNCIL REAPPOINTMENTS Finance- Councilman Allen Police and Fire - Councilman Davis Mayor Pro Tem - Councilman Bennett seconded by Councilman Davis.  Mayor Harkness assigned the below appointments:  Water, Streets and Sewer - Councilman Bennett and Councilman Ferguson  A motion to approve the council appointments as assigned was made by Councilman Allen and was ACTION: The motion to approve the council appointments as assigned was unanimously approved (4-0).  7. ANNUAL REAPPOINTMENTS A. City Manager- Mark Musselwhite B. City Clerk - Megan Chastain C. Public' Works Director - Bryan Popham D. Police Chief- - Robin Krockum E. Fire Chief - Unknown at this time F.N Magistrate Judge - Robert Sneed G. City Engineer- = Engineer Management Inc. H. City Attorney- - Thomas Mitchell I.City Accountant - Ed K. Burton, LLC  Mayor Harkness called for a motion to accept the reappointments above in one motion. A motion was made by Councilman Allen for a roll call vote and was seconded by Councilman Bennett. Pert the list ACTION: The motion to approve the annual reappointments in a roll call vote as listed above was  above, each Councilman voted yes. unanimously approved (4-0).  8. - CONSIDERATION OF ADOPTING NEW WATER/SEWER RATE STRUCTURE  Fletcher Holliday with EMI announced that recently EMI had evaluated the city's water and sewer rates asi it related to the 2024 budget and after the initial preliminary evaluation to balance the budget, they (EMI) had recommended a 14% increase to water and sewer rates. After completing the more exhaustive evaluation of the cities expense as it relates to revenue and toi include the debt service coverage ratio that is required by GEFA with the city's water and sewer loans as well as other funding opportunities we have with GEFA, the report shows the city would need to increase the water and sewer rates by 18% as opposed to 14%. Fletcher presented the water rates if the city adopted the new 18% increase. Mayor Harkness called for a motion. A motion was made by Councilman Bennett to follow the recommendations oft the City Engineer to adopt the new rates presented effective February ACTION: The motion to follow the recommendations oft the City Engineer to adopt the new rates  1, 2024 and was seconded by Councilman Ferguson.  presented effective February 1, 2024 was unanimously approved (4-0).  2Page    9. CONSIDERATION OF INSURANCE PROPOSALS  After the discussion during the Work Session, Mr. Musselwhite is recommending the city switch from Cigna to Aetna ini the amount of $31,772.21 which will result in a 10% decrease. The switch will be effective February 1, 2024. Ar motion was made by Councilman Allen to switch the employee insurance ACTION: The. motion to. switch the employee insurance plan to Aetna effective February. 1, 2024 was  plan to Aetna effective February 1, 2024 and was seconded by Councilman Davis.  unanimously approved (4-0).  10.CONSIDERATION OF WORKER'S COMP PROPOSALS  Mr. Musselwhite presented three proposals during the Work Session which were Travelers in the amount of $70,782, Apex Insurance Agency in the amount of $49,820 and Key Risk Insurance in the amount of $56,841. Mr. Musselwhite recommends the city switch from Travelers to Apex Insurance Agency. Mayor Harkness called for a motion. A motion was made by Councilman Allen to accept the Apex Insurance Agency proposal ini the amount of $49,820 effective February 4, 2024 and was ACTION: The motion to accept the Apex Insurance Agency, proposal in the amount of $49,820 effective  seconded by Councilman Ferguson.  February 4, 2024 was unanimously approved (4-0). 11.CONSIDERATION OF HISTORICAL SOCIETY LEASE  After the discussion made during the Work Session, the changes to be made to the presented Historical Society lease are as follows: Change the rent from monthly to yearly. It will specify that the lease premises will be no more than one classroom and that the landlord can require a 30 days' notice that they move to another similar classroom in the space. Mr. Mitchell proposed that ifthere are any expenses to move to another room that it would be the Historical Society's responsibility or give them the opportunity to terminate the lease within 15 days' notice if they do not want to move. Mayor Harkness called for a motion. A motion was made by Councilman Bennett to accept the modified lease with the changes Mr. Mitchell set forth and was seconded by Councilman Ferguson. ACTION: The motion to accept the modified lease with the changes Mr. Mitchell setj forth was  unanimously approved (4-0).  12.CONSIDERATION OF FACILITY AGREEMENT  Mayor Harkness called for a motion to accept the lease presented striking gymnasium. A motion was made by Councilman Allen and was seconded by Councilman Davis. Mrs. Chastain questioned ift the agreement was intended for employees as well and Mayor Harkness indicated that employees were exempt and asked for Councils opinion. Councilman Allen indicated that it was the City Managers ACTION: The motion to accept the lease presented. striking gymnasium was unanimously approved (4-  discretion. 0).  3Page    13.DISCUSSION OF FY 2024 LMIG  Mayor Harkness stated the 2024 LMIG funds would be used on Alabama Street, Georgia Street and Arizonia/Stone Street. A motion was made by Councilman Allen to approve the LMIG project on Alabama Street, Georgia Street and Arizonia/Stone Street and to allow Mayor Harkness to sign. The ACTION: The motion to approve the LMIG project on Alabama Street, Georgia Street and Arizonia/Stone  motion was seconded by Councilman Ferguson.  Street and to allow Mayor Harkness to sign was unanimously approved (4-0).  14.MANAGERS REPORT & REVIEW OF FINANCIALS  Mr. Musselwhite made a report to Mayor and Council that included the following:  Update on lease for old City Hall  Update on new garbage truck. Mr. Musselwhite stated we will be holding off on purchasing due Ask for council thoughts on July 4th music and fireworks. Mayor Harkness requested the council too communicate with Mr. Musselwhite over the next couple of days via email to discuss their  toi finances.  thoughts and opinions. Update on Land Use Update in handrail Update on Post Office Update on PU/Farmhouse lease Areview of the November financials  Areview oft the Water Department, Fire Department, Police Department and WWTP monthly  report  15.APPEARANCE & PUBLIC COMMENT (please limit your comment to 2 minutes) 16.CONSIDERATION OF MOTION TO ENTER INTO EXECUTIVE SESSION (if needed)  No comments were made.  Amotion was made by Councilman Bennett and was seconded by Councilman Ferguson to adjourn and reconvene in Executive Session for the purpose of discussion of personnel. This portion oft the Work  Session adjourned at 7:57 p.m.  An motion was made by Councilman Davis and was seconded by Councilman Allen to come out of Executive Session and reconvene in' Work. Session. The motion was unanimously carried, and the Work  Session reconvened at 8:34 p.m.  4Page    17.MOTION TO ADJOURN  Ar motion to adjourn was made by Councilman Davis and was seconded by Councilman Bennett. The  motion was unanimously approved. Then meetingdjourned at 8:35 p.m.  Mayor  SEAL)  Ho  Demorest City Clerk    5/Page