June 4, 2001

The Town Council of the Town of Easton met today at 7:00 P.M. The meeting was called to order by the President of the Council, Mr. Willey, with the following members present: Mr. Ford, Mr. Jensen, Mr. Reed, and Ms. Jackson-Amis. Also attending the meeting were Mayor C. Eugene Butler, Chief of Police G. Harvey, Town Engineer Mr. Glass, Town Attorney Chris Kehoe, Assistant Town Engineer Mr. Gruber, Town Planner Mr. Hamilton, and Administrative Support Supervisor Rich Warfield.

Ms. Jackson-Amis opened the meeting with prayer. She also led those present in the Pledge of Allegiance.

Mr. Reed made a motion to approve the minutes of the meeting held on May 21, 2001, with a correction to the Police Board, seconded by Mr. Jensen, and carried unanimously.

Mr. Tim Dills was present to address the council regarding a discussion at the previous meeting. He stated that he would like to apologize to the Mayor and Council for his comments during the last council meeting regarding the Mayor’s proposal to create a new town staff position.

Ms. Joyce DeLaurentis and Ms. Ginger Howell were present to address the council regarding the Community Legacy program. Ms. Howell stated that she understood that there has been discussion in the town to appoint or at least talk with an ad hoc citizen committee to proceed in the submission of the application. She went on to say that she would like to help.

Ms. DeLaurentis stated that she wanted to reiterate what Ms. Howell had said and would like to help get the ball rolling as well.

Mr. Ford asked for the current status on selecting individuals to work on the project.

Mayor Butler stated that at the time, he did have some names, but he and Assistant Town Planner Mr. Thomas were working on forming a group of individuals who would participate in the project. The council would be informed of the individuals at a later date and approval would be sought.

Mr. Willey brought forth a memo from Mayor Butler requesting approval for appointments to the Waterfowl Festival Commission.

Mr. Reed made a motion to approve Mr. H. Mac Brittingham and Ms. Anastasia Wright’s appointment to the Waterfowl Festival Commission, seconded by Mr. Ford and carried unanimously.

Town Engineer Mr. Tim Glass was present to discuss the contract for the proposed sanitary sewer renovations to the Robert F. Potter Public Works Building. Mr. Glass discussed the details of the project. He stated that the time has come to upgrade the septic system that currently serves the Public Works facility.

Mr. Ford made a motion to allow the Public Works department to award the bid for the upgrading of the septic system at the Public Works building to Ferguson Trenching, seconded by Mr. Reed and carried unanimously.

Mr. Willey brought a memo to the floor from the Town Clerk Robert Karge regarding a parking request by the Tidewater Inn.

Mr. Ed Slavinski, General Manager of the Tidewater Inn was present to address the council regarding the request. He stated that the Tidewater Inn will be hosting a tour involving a group of high-level officials who enjoy collecting museum type vehicles. The tour will begin on Tuesday, June 13, 2001 and will end on Thursday, June 15, 2001. The problem is that the bellmen at the Tidewater Inn cannot park the vehicles; therefore he would like permission to park the vehicles in the parking lot next to the Tidewater between the Kitchen and the Gold Room off of Harrison St.

Mr. Jensen asked if Mr. Slavinski had spoken with the any of the business owners whose customers may use the parking lot.

Mr. Slavinski stated that he had not spoken with anyone. He stated that the Tidewater Inn would pay for the parking spaces by check for all three days.

Mr. Willey asked if there were any concerns from the Police Department.

Chief Harvey stated that preliminary discussion had been held regarding the parking situations, and there were no problems.

Mr. Ford made a motion to grant permission to Mr. Slavinski and the Tidewater Inn to do as requested, seconded by Mr. Reed and carried unanimously.

Mr. Willey brought forth Resolution No. 5736 authorizing the council’s attendance at the 2001 MML Convention.

Mr. Reed made a motion to approve Resolution No. 5736, seconded by Mr. Jensen and carried unanimously following a roll call vote.

Mr. Willey asked if there was anything from the Fire Department.

Third Lieutenant Mr. Barry Slaughter from the Easton Volunteer Fire Department was present to give a report. Mr. Slaughter stated that during the month of May there were a total of 62 calls, 30 in town, and 32 out of town; with a total of 948 personnel responding to the calls at 646.4 hours spent. He went on to say that the Fire Department would like to welcome the new members to the council for the year, and hoped everyone could continue to work together. Mr. Slaughter stated that he would also like to invite the council to the Ocean City Fireman’s Convention the week of June 17 through the 23^rd.

At approximately 7:15 P.M., the President of the Council opened the Public Hearing for consideration of the fiscal year 2001-2002 Budget and Constant Yield Tax Rate.

Mayor Butler introduced the Budget and Resolution in the following manner:

I am pleased to present a balanced budget to the Town Council for your consideration. The proposed General Fund budget totals $9,775,808 which is 17.6% (or $1,463,255) larger than last year. This amount is based on the best and most reasonable estimates currently available for expected funding.

This budget funds all required Town of Easton activities to serve the citizens of the Town at continuing high levels.

I sincerely regret the need to propose that the tax rate increase from the current $0.40 per $100.00 of assessed valuation to $0.44 per $100.00 of assessed valuation. The State of Maryland has changed the assessed valuation method and last year's tax rate of $1.00 per $100.00 of assessed valuation to the current $0.40 per $100.00 of assessed valuation. This change did not cause the taxes to change, only how the taxes are calculated. The Town of Easton has been fortunate to avoid a tax rate increase since 1954. Given the demand for services, and the cost to provide those services, I do not see any way to avoid proposing this increase.

As you can see from this slide, the priority of the Town of Easton's proposed operational spending is for Public Safety in the amount of $3,828,925 or 39.17% of the General Fund Budget. The primary duty of any government is the protection of its citizens and this is reflected in our proposed budget. The next area of priority in the operational spending is the Public Works Department in the amount of $2,203,003 or 22.54% of the General Fund Budget. As you will see later, this amount increases substantially when Capital Expenditures are included.

A discount of 2% has been allowed for real estate tax payments made by July 31 and 1% if paid by August 31. This compares favorably to the 1% discount allowed by Talbot County for taxes paid to them by July 31.

A brief word is in order about the Constant Yield Tax Rate, which is also a subject of this Public Hearing. Plainly speaking, Maryland law defines the Constant Yield Tax Rate as the tax rate which should be charged reflecting the increases in assessments to provide the same total tax dollars. This year the Constant Yield Tax Rate as calculated by the State is $0.39 per $100.00 of assessed valuation. It would be unreasonable to decrease our current $0.40 per $100.00 of assessed valuation when this spending plan to meet demands for services requires a rate of $0.44 per $100.00 of assessed valuation.

The priorities clearly indicated by this budget are:

1. Public Safety
2. Public Works and maintenance of our infrastructure.

These two items consume 76% of the total budget.

This budget recognizes that our most valuable resource is our personnel. As you can see, of our entire proposed General Fund budget of $9,775,808, fully 42% is allocated for salaries, 16% is allocated for benefits for a total of 58% for personnel. Other operational costs account for the remainder of 42%.

When viewed from a program perspective, Public Safety comprises 39% and makes up the single largest expenditure of funds. This is made up of the Police Department at $3,388,650 (an increase of 19%) and the Fire Department at $193,138 as well as other functions such as Crossing Guards and Protective inspections of both new buildings and rental buildings.

Public Works is the next largest area of expenditure at $2,202,003 or 22.5% of the General Fund Budget. This amount will provide the appropriate level of service and maintenance of our infrastructure.

Town of Easton Tax Revenues and other sources are not unlimited. There were approximately $3.3 million more in requests than available funds. Obviously every request could not be funded since there are only so many dollars to go around. I have tried to look at these requests from the overall perspective and have worked with the department managers to focus on the expenditures, which are necessary. In order to balance these needs versus available revenue, proposed tax increases and proposed borrowing make up the difference.

As you can see, taxes comprise 65% of the Total General Fund Budget as proposed. Debt Proceeds equal 11%.

Public Works and Public Safety each comprise 39% of Total Capital Expenditures. The Fire Department will be the largest recipient of the Public Safety Capital Funding with a total of $644,279 or 75% of that spending. This includes a much needed sub-station and a replacement fire truck.

Of the $856,830 allocated to the Public Works Department for Capital Expenditures, major street upgrades and work on a new Public Works Administration Building take the largest portion.

The Council has conducted budget workshops with the various departments and myself. Following the conclusion of tonight's Public Hearing, changes desired by the Town Council will be incorporated into an Amended Budget Resolution No. 5735.

The Amended Budget Resolution must be passed at the next Town Council meeting on June 19.

Thank you all for your assistance in the preparation of this budget. Working with the Department Managers and the Town Council on the development of this budget in a true cooperative manner has again been a pleasure for me.

Mr. Butler asked the Council for approval on this budget.

Mr. Willey asked if there were any questions from the Council before this was opened for public comment.

Mr. Ford applauded the Mayor’s political courage in suggesting a tax increase. He also expressed his support in the Mayor's budget, which takes a look at the overall salary structure for the town employees and the need to make sure the town remains competitive. Mr. Ford stated that the difficult part in this budget is whether the salary rate increases proposed in the various areas are appropriate, and whether they warrant the size increase in the taxes. He stated that he would be interested in any input from any source in that regard.

Mr. Willey asked if there were any other comments.

Mr. Jensen asked if there was a way that the people in town could see a more detailed picture, so that they might give us any input.

Mr. Butler stated that they could stop by the town office and get a run down of this and dig into it further.

Ms. Jackson-Amis echoed Mr. Ford’s comments with respect to the disparity of the salary in some of the municipal offerings and would like to have some kind of understanding about the discrepancies in the numbers. She felt as though there should be a little more equality across the board.

Mr. Willey opened the floor for public comments from the audience regarding the budget.

Mr. Willey introduced Resolution No. 5735 and Ordinance No. 430.

The Town Attorney instructed the President of the Council that since it is the budget resolution and budget ordinance, a motion and second from a member of the council was necessary.

Mr. Ford made a motion that the resolution for the budget be introduced for first reading tonight. Mr. Jensen seconded the motion and was carried unanimously.

Mr. Willey asked if there was anything else from the Mayor or any other comments for the Mayor. There were none. The President of the Council asked Chief Harvey if he had anything to bring forward.

Chief Harvey stated that he had several different requests. The Murdoch Gardens requested road closure and sidewalk closure for some of June 8 through June 10, for repairs on the building.

Mr. Ford made a motion to approve the request and asked the Chief to assign one of our officers to make sure it is a safe situation for the pedestrians and vehicular traffic. Mr. Jensen seconded the motion, carried unanimously.

Chief Harvey introduced a request from Talbot County Young Fathers for a Father's Day celebration for Saturday, June 16, from 1:00 p.m. to 6:00 p.m. at Moton Park next to the swimming pool pavilion and cookout area. Chief Harvey stated that they are estimating to have about fifty to a hundred participants and a DJ with a speaker system. Chief Harvey recommended approval.

Mr. Reed made a motion to approve the request. Ms. Jackson-Amis seconded the motion, carried unanimously.

Chief Harvey introduced a request for Saturday, August 4, for 10:00 a.m. until 11:30 a.m. for a World Walk for Breastfeeding 2001. He stated that they will use the same route as last year which was from Hanson Street and a left on Brookletts Avenue and a right on Washington Street, then right on Goldsborough Street, then right on Harrison Street, and back on Brookletts Avenue ending back at Idlewild Park. They are expecting 120 participants and will either have a DJ or a live radio broadcast. The walk is from 10:00 a.m. to 11:30 a.m. and the event is from 7:00 a.m. to 2:00 p.m.

Mr. Ford made a motion for approval, seconded by Mr. Reed and carried unanimously.

Chief Harvey introduced a request from Ms. Barbara Ellen Shelke for Saturday, October 13 through October 14, for Arts Marketplace at the Academy of the Arts Museum, 106 South Street. Chief Harvey stated that it will require street closure. Chief Harvey stated that they are requesting drive by surveillance around the Academy Waterfowl Building. He stated it will require them putting a stage onto the street in front on the arts building. They are also requesting an easement of No Parking or two hour restricted parking be lifted from Thursday, October 11 through Sunday, October 14 for the area around the Academy. Also, a need for no parking to be posted in front of the Academy on South Street Thursday and Friday. The police department recommended approval.

Mr. Jensen made a motion to approve the request seconded by Mr. Ford and carried unanimously.

Chief Harvey introduced the requests that was tabled at the last Council meeting regarding the lunchtime concerts at Thompson Park from Easton Welcome and Resource Center. He stated that they are requesting concerts on Fridays 12:00 p.m. to 1:00 p.m., on July 6, July 13, July 20, July 27, August 3, August 10, August 17, August 24, and August 31. He stated that fifty to one hundred people are expected and they will have a small portable amplifier.

Mr. Ford moved for approval with the stipulation that if members of the adjacent commercial buildings request the volume request be turned down, that that request be honored. Mr. Jensen seconded the motion, carried unanimously.

Mr. Willey introduced the Public Hearing at 7:45 p.m. for Easton Utilities to present information regarding the Cable Television rate revisions.

Mr. Grunden explained the presentation briefly and discussed the information such as slides, press releases, and other information that was presented to the Council. He introduced Mr. George Roberts, the Financial Manager for Easton Utilities.

Mr. Roberts explained the functions of Easton Utilities and Cable Televisions. He stated that they are requesting a rate increase due to the higher programming fees charged by their suppliers and the additional sixteen channels they will offering. They also have debt service that is associated with the 4.8 million build out that they had just completed for the complete rebuild of the system with HFC (Hi-bred Fiber Coax Cable). He explained the programming fees and how they are determined. Mr. Roberts presented a Power Point Presentation along with his discussion. Mr. Roberts stated that the new channels added include two channels to Tier I, and fourteen satellite channels to Tier 2. The overall revenue increase requested of 9.77% is total aggregate annual revenue of approximately $216,000.00. They are proposing to increase the Tier I monthly rate by $1.05 per month. They are proposing to increase the Tier 2 monthly rate by $3.35 per month. They are also proposing to increase HBO, Showtime, or Cinemax by $1.00. He stated that they have a new premium channel, which is Starz/Encore, which is a combined Premium Channel offered at a discounted rate of $10.95. He then compared their rates against other companies (Charter and Comcast). He stated that the increases requested are the level of the additional revenues required in order to meet the cost. Mr. Roberts asked for questions or comments.

There were none.

Mr. Grunden requested a formal resolution at the next Council meeting.

At 7:58 P.M., the President of the Council, Mr. Willey closed the Public Hearing.

The President of the Council opened the floor for discussion regarding the proposed Human Relations Commission, which has been tabled for a couple of weeks due to the election and other things that have been scheduled. The President of the Council asked the Town Attorney to let them know where they are on this.

The Town Attorney stated that the last time this matter came before the council, it involved a discussion with regard to the issue of whether or not the proposed Human Relations Commission could validly be granted by the Council the power to issue subpoenas. Mr. Kehoe stated that the issue has never really been resolved in terms of where the Council wants to go with that. Outside of that issue, he explained that Ms. Jackson-Amis and he met before the election and in fact before the last presentation to the Council about other issues about the Human Relations Commission. He stated that he was regretful to say that he took it upon himself to prepare some legislation for consideration that he would introduce at the next meeting. He stated that it will not address the issue of the subpoena power but it will handle or address things like the number of the commissioners, etc.

Mr. Willey stated that he thought his last comment at the last session was, that regardless whether they go with the subpoenas powers or they back this with the Town of Easton, however they decide to do this, that there are a certain number of issues that have been resolved so that they can go ahead and get started. One was setting up the commission and one was the scope of it. The President of the Council asked Mr. Kehoe if he would proposed legislation prepared for the next meeting.

Mr. Kehoe stated that he would have something for the Council’s consideration for the next meeting.

Ms. Jackson-Amis stated that she thought they were at a different position as of the last meeting. She stated that as a result of where she understood they were, names had been submitted to the Town Clerk and the Mayor have received those names of people who are interested in being a part of the commission. She expressed concern that on the one hand many of us understood that the commission in its formation was going forward. She stated the issue of the subpoena power was supposed to resolved from a legal standpoint and whether or not they would be able to have that same power that had been granted in other jurisdictions. She stated that she thinks there should be clarifications for the public as to whether or not our understanding was that there was consensus to go ahead with developing a commission. Ms. Jackson-Amis stated that if we are departing from that, it is not good for the public or the Council. Ms. Jackson-Amis stated that the only thing disagreed at the last meeting, was the subpoena power. She suggested another legal opinion.

Mr. Ford stated that he has very serious concerns whether subpoena power is a good idea to the point where he cannot support it. He stated that he feels it has the potential to create a divisive entity within the Town instead of something that can work with the Council and the community for positive results.

Mr. Jensen stated that he does not understand fully what this Commission is doing. Mr. Jensen stated that he would like to know what the scope of this Commission is, what the procedures are, what the by-laws are going to look like, before a healthy discussion can be held about the subpoena power. He stated that he hopes that everyone will be able to bring him up to speed regarding previous discussions.

Ms. Jackson-Amis asked for a timetable.

The Town Attorney stated that if the Council would like another legal opinion, it could be sought while the drafting of the legislation. Mr. Kehoe suggested Mr. Kurt Fisher at Piper & Marbury.

Mr. Kehoe stated that he will prepare proposed legislation for the upcoming meeting for consideration.

Mr. Glass discussed a wastewater treatment facility tour and stated that he will be in contact regarding a date.

The Town Planner addressed the Council regarding growth allocation issues. He passed out information regarding proposed developments and building parcels ready for approved construction. Mr. Hamilton discussed potential units in developments that could possibly be built and sold. He stated that there are approximately 1,716 lots close to being on line and ready to go.

Mr. Jensen asked the Town Planner to guess how many people are within each house. The Town Planner stated that the average household size according to the most recent census is 2.42 for owner occupied and 2 for a rental unit.

The Town Planner stated that it will take several years to build out these developments.

Mr. Jensen asked if there is any information regarding what this kind of development does to the market for existing homes in town, not necessarily the historic homes but the homes built in the 50’s.

Mr. Tim Dills, 9780 Leeds Landing Road asked the Town Planner what the available lots were six years ago. The Town Planner stated that he could not recall off the top of his head. Mr. Dills asked if the figure was approximately 200 homes. The Town Planner stated that it is quoted in the Comprehensive Plan. The Town Planner stated that he is seeing the cost of the housing and the value of housing in Easton going up which means that the people buying houses in Easton are at a different income level or they are paying more and suffering somewhere else. Mr. Dills stated that the point he wanted to make is that there is the potential because of the scale of somebody like a Pulte coming in and having 400 lots available to them, that the potential is there for highly accelerated growth and population.

Ms. Margaret Roe, 29339 Corbin Parkway, stated that one thing that she comprehended from what the Town Planner said is that there are 1700 lots in the town approved for building at the rate of permits talked about and even at an accelerated rate, the town doesn’t need to annex anything for ten years. She stated that the town is in good shape and everyone needs to keep it in mind.

Ms. Libby Dawkins, 11 N. Thoroughgood Lane, stated that she would like to direct her comments to Mr. Jensen regarding what effects the value of old Easton. She stated that more than anything else, she thinks it is safety and where children can be raised. Ms. Dawkins stated that people want safety, clean air and clean water, the basics.

Mr. Jenkins thanked Ms. Dawkins for her comments and stated that his neighbors feel the same way.

The Town Attorney asked for an Executive Session with the Council regarding real estate.

The Town Attorney urged everyone to look at the statistical abstract of the census with regard to the population and the diversity of the community.

Mr. Jensen asked to clarify his views which were made during the Cooke’s Hope public hearing. He stated when asked to grant a PUD, one of the Findings of Fact is whether or not the PUD increases the cohesiveness of Easton and this is something he takes real seriously. Mr. Jensen stated that to get philosophical about it, way back, Plato felt that this is one of the most important functions of a government was to make sure that things are cohesive. Mr. Jensen stated that he agrees with this because everyone lives in this town together and everyone needs to help each other out and if we have fireman going to Cooke’s Hope, people should be able to ride their bikes in Cooke’s Hope. Mr. Jensen stated that he was very pleased with some of the things the developer said and hopes that things can be worked out during the PUD process.

Ms. Jackson-Amis stated she would like to ask for consideration for families with large families or those not able to afford the fee for the George P. Murphy swimming pool. She stated that perhaps some mechanism can be developed to identify those families that need assistance.

The Town Attorney stated that the pool is owned and operated by Talbot County Parks and Recreation. Mr. Kehoe stated that perhaps the Town could send a letter to the County Council asking for consideration for a reduced rate or a scholarship program such as the YMCA has done with a similar program.

The President of the Council reminded the Council that there is a scheduled workshop tomorrow night at 6:00 P.M. Mr. Willey reviewed the Council’s calendar.

The President of the Council asked if there was anything else to come before the Council.

Ms. Carolyn Jaffe, August Street, stated that another piece of the puzzle might be a chronology of annexations to the Town of Easton. She stated that she does not recall annexations as being the topic at every other Town Council meeting when she started coming to meetings on a regular basis.

At 8:39 P.M., Mr. Ford motioned for the Council to convene into Executive Session, seconded by Mr. Jensen and carried unanimously.

At 8:59 P.M., the President of the Council asked if there was anything else to bring before the Council.

There being no additional business, the President of the Council adjourned the regularly scheduled meeting at 9:00 P.M.