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July 10, 2009:  Minutes of Special City Council -- Ahearn and Activities Committee, 2006
In light of some comments made during the July 6 city council meeting, I am posting a copy of the minutes of the Special City Council Meeting of  August 10, 2006 regarding Matt Ahearn's walking out of city hall with a check which basically liquidated the Activities Committee account.    A stop order was issued on the check, but there is no doubt that Mr. Ahearn had the check in his pocket and walked out of city hall with it.   This action seems to have been taken in direct response to a motion, which passed at the August 7 City Council meeting, that all committees post their meetings and submit minutes to Council.   Ahearn and Frederick voted no.

These minutes were e-mailed to me by City Clerk Mary Kotowski in response to an e-mail I had sent her.  I had attempted to find a synopsis of this meeting on the city web page and was unable to do so.  I have copied and pasted this from her  e-mail response of Thursday, July 9.

MINUTES OF THE
ST. CLAIR SHORES CITY SPECIAL MEETING
CITY OF ST. CLAIR SHORES
27600 JEFFERSON CIRCLE DRIVE
ST. CLAIR SHORES, MI  48081

Thursday, August 10, 2006

PRESENT:
Mayor                                             Robert A. Hison
Council Members                        Matthew S. Ahearn
                                                 Ronald J. Frederick
                                             Beverly A. McFadyen
                                             Mark J. Moffitt
                                             Erin A. Stahl
                                             Kip C. Walby
ALSO PRESENT:                                    
City Manager                                         Kenneth R. Podolski
City Clerk                                         Mary A. Kotowski
Deputy Clerk                                        Catherine Garnham
Finance Director / Treasurer                              Timothy Haney
City Attorney                                         Robert D. Ihrie

CALL TO ORDER
Mayor Hison called the meeting to order at 7:00 p.m.  City Clerk Mary Kotowski called the roll and a quorum was present.  The Pledge of Allegiance was recited by all.

REVIEW POLICIES AND PROCEDURES OF ACTIVITIES COMMITTEE     

Mayor Hison asked the two council people who called the meeting, Councilmen Moffitt and Walby, to present the reasons for the meeting.

Councilman Walby stated that the Activities Committee does good things.  The Council Sub-Committee on Boards, Commissions and Committees has inquired whether all City boards, commissions and committees are following the procedures set forth in the City’s policy.  The Activities Committee should post their meetings and have them open to the public.  Funds from the City’s account for the Activities Committee were liquidated and the fund balance was taken down to zero on Monday, August 7, 2006.  Councilmen Walby and Moffitt met with City Manager Podolski on Tuesday, August 8, 2006 to discuss the issue.  

This account contained $38,000.  A member of the Activities Committee came in and asked for funds to liquidate that account verbally, with no invoice or written information.  A check was issued for the account balance of $25,000.  A stop payment order was placed on the check until Council could review the issue of policies and procedures.

A letter dated August 7, 2006 from City Attorney Ihrie stated, “Its appointment as a committee of the City was the result of a request by the Committee itself, in its effort to establish a financial oversight mechanism so as to maintain a high standard of integrity with respect to the accounting of monies that would flow in to and out of the Committee.”  Mr. Walby does not consider a verbal request with no invoice or written documentation to be a high standard of oversight.  Council bears the brunt of any citizen questions about the Activities Committee, such as when fireworks were not held several years ago.   He requested that Council freeze the account for 30 days to review the policies and procedures of the Activities Committee.

At Monday’s City Council meeting, it was reported that a council member said that with four votes we could remove the Activities Committee.  Mr. Walby said that he had stated that at the Sub-Committee meeting.  He believes they should comply with the City policy.

Mayor Hison stated that at the request of the Sub-Committee, the City Clerk sent a letter to Activities Committee members requesting that they complete an application to put on file as do all other committees, boards and commissions, in order to determine whether they had continued interest in serving on the committee.  This is the same information that is kept on all other committees.  At the August 7, 2006 Council meeting, a motion was passed that all committees post their meetings and submit minutes to Council.  The Sub-Committee on Boards, Committees and Commissions was established five or six years ago, and at that time the policy was put into place that all boards and commissions keep minutes in order to keep Council informed.  It appears as though the Activities Committee does not want to do that.  Council members want to be involved and share in activities, promote events, or have special meetings to help committees.  The funds in the account belong to the citizens of St. Clair Shores, and are from fund raising, to be used for events.  Council feels very strongly that there needs to be communication, which is why they are asking committees to provide information.  The minutes would be part of the consent agenda, and just received and filed the same as all other board and commission minutes.  

Mayor Hison stated that it was a surprise to him that the funds were depleted, and he still does not understand it.  We are all trying to work together.  Political or not, we are all elected officials.  We work for the same purpose, for the residents and business people of the City.  We have different roles, but our goal is to work together, and if we cannot we have some problems.


The Activities Committee raises the money to put on events free of charge.  The events will always be free of charge.  That is what the committee was founded on 20 years ago.  It is the residents’ money, but is not the City’s money.  Council should not be able to tell the Activities Committee who they can make purchases from.  The committee is concerned about politics and how they are going, and it is not good.  They looked at other entities, and want to set up their own account as some others do.  

Councilman Ahearn stated that he was going to bring a deposit slip and account information to the City as soon as the account was opened.  As far as complying with the Council’s requirement for all boards, committees and commissions to provide minutes, he (Ahearn) told Councilman Walby at the last Council meeting that he would have to get back to the Activities Committee about complying with minutes.  After 20 years of everything going the same way, all of a sudden there is a problem.  The committee wants to protect the money they raised so that when they want to put on an activity for the residents, the money will be there.

Councilman Ahearn stated that the Attorney’s letter said the Activities Committee should have minutes, but did not need open meetings since they are not spending tax payers’ money.  They are not going to be rebels.  They want to protect what generous people donate to the Activities Committee, not to the City, for activities in the City.  It could have been done a lot better and smoother, and it is ridiculous that they are here tonight.  Phone calls could have handled it.  

Councilman Ahearn stated that he did not get contacted by other Council members, even though he is co-chair of the Activities Committee.  That would be communication, and it should not have gotten this bad.  He was authorized by the committee to withdraw the money.  Mr. Ahearn asked for the Finance Director’s opinion.

Finance Director Tim Haney stated that the City has always operated as those funds belong to the Activities Committee.  

Councilman Ahearn stated that with the authorization of committee, they want to open their own account like other entities in the City, and watch their own account.  Now the City wants to freeze their account for 30 days.  They are still trying to put on an event.  The Activities Committee works hard for the money, it has worked for 20 years and every year it gets better.  They could make it better by removing politics.  The committee would have its own account, which will be monitored, and it would take liability off City of St. Clair Shores.  It is a liability for the City to have the Activities Committee money in City account.  The City asks employees to do more when staff is reduced by attrition.  Why do we need to take their time, when the committee can open its own account and not have to use City employees?

Mayor Hison questioned the statement that it is time to remove the money like other committees.  What other committees?  Mr. Ahearn stated that other committees did not remove funds, but other entities like the Symphony and Parade Council do not have accounts with the City and they have fund raisers.  The Cultural Committee has its own account.  The Activities Committee is trying to run more efficiently, and it is not efficient to ask a third party to cut a check.  The committee wants to be removed from politics, and do their job, which is to bring residents the best activities they can.  

Mayor Hison stated that the Lake St. Clair Symphony, the Parade Council, the Cultural Committee, and the Carnival all have their own accounts.  However, none of those are boards, commissions or committees of the City, or are on the City’s list.  They are not part of the boards and commissions policy.  The City has never asked for their meetings or minutes because they are not part of the policy.

Mayor Hison stated that no one is trying to take away money from anybody.  Until after the Monday meeting, he had no idea what took place during the day.  No one informed the Mayor.

Mayor Hison stated that it would not be stealing, and it appears to be the opposite.  The money was taken out of the fund to move somewhere else, and the check was put in suspension so that Council could understand all about it.  Mayor Hison stated that he was not trying to say anyone is doing anything out of order, and that there are two sides to everything.  

Councilman Frederick stated that he had voted no as well on Monday.  Mr. Frederick stated that it was because it would be a change in policy for all the boards, commissions and committees in the book to be subject to an open meetings policy.  Mr. Frederick stated that in 1986 he was on the Activities Committee, and participated in their first fund raiser.  When the committee was formed 20 years ago, the economy was similar to now.  At that time there were no concerts, no fireworks, no family movies, and no Halloween event.  The express purpose of the group was to give this to the residents.  The reputation of the group is impeccable.  The committee also does things that residents do not know about.  They assist people in need, just like Cops for Kids, and do not mention any names.  They help the Special Needs Committee at their spaghetti dinners.  Over the last 10 years, the Activities Committee has raised about $100,000 for special needs and about $18,000 for Cops for Kids.  Residents think the City Council organizes the activities.  The Council should all try to get along and do things together.  When you have a group that does good things for the City, there is no need to get in their way.  Mr. Frederick stated that on Tuesday he had called Ted Wahby to ask when the Activities Committee was started, what the intention was.  Mr. Wahby had said that it was to have people in St. Clair Shores feel good about living in the shores, and to feel good about doing things for free.  The committee was started separately from politics.  The committee does very noticeable events, and if politics were involved, it would inhibit their ability to do things.

Sometime between 1986 and now the Activities Committee was added to the book of boards and commissions.  Mr. Frederick stated that in his Investigation, he found that the reason it was added to the book was that former City Manager Mark Wollenweber thought the committee did a great job and deserved recognition.  Maybe it is time to take it out of the book.

Councilwoman McFadyen asked for clarification on Mr. Walby’s statement of the total money in the account for the Activities Committee.  He had said it was $38,000, and was now talking about $25,000 to liquidate the account.  Mr. Walby stated that the City had added $9,600 from cell tower money which brought the total up to $45,000.  A check for $20,000 had been written to Great Lakes Fire Works, which brought the account balance down to $25,000.

Councilwoman McFadyen stated that on Monday night when she had voted yes, she was under a misapprehension, and stands corrected.  Ms. McFadyen stated that she found out why the Activities Committee was listed by the Mayor and Council as a City committee.  At that time Council was in accord with it.  Ms. Wolny asked for the money to be put in a City account.  Mr. Haney stated that the money was put into a City account so that it could be accounted for so there would be no accusation of malfeasance.

Councilwoman McFadyen stated that she had attended all of the Activities Committee events.  Ms. McFadyen stated that if the committee wants to continue, they have two choices.  They can dissolve the committee and go out on their own, or be governed as a board and commission and report to City Council.

Councilwoman Stahl stated that almost a year ago she had asked about the minutes of the Activities Committee.  The Council gets minutes from every board and commission so they have an update of what is going on in the City.  At that time, she was told that no minutes were filed because it was a volunteer committee, like Kiwanis, and was in the book of boards and commissions for reference.  If the Activities Committee is a volunteer group as was said, and deposits funds with the City, it is governed by the City’s rules.  If it were a charitable group, it would have to be registered as a 501(c) and file forms with the IRS.

Councilwoman Stahl quoted an IRS procedure, which stated that if an organization is accountable to one or more governmental units, they have to follow the Open Meetings Act.  The requirements are very simple; post the meetings and take minutes, and meetings are open to the public.  Ms. Stahl also stated that in her reading of the IRS rules it indicates that if an organization is dissolved, its assets will be distributed to one or more governmental units.  Once the money is contributed to a fund, it is under protection from IRS reporting.  If the Activities Committee decides to dissolve, the money has to be distributed to a governmental unit.  

Councilman Ahearn stated that if the Activities Committee had to fill out a couple of pieces of paper, they would be willing to fill them out and sent them to the IRS.  

Councilman Moffitt stated that he did not disagree with the comments by Mr. Ahearn and Mr. Frederick.  There is no question about how the committee was started or whether it does a great job.  The question started when he asked the City Attorney if proper procedure was being followed.  The City has 34 boards, and he would like to keep them all open.  Mr. Moffitt asked why the committee does not want to have an open meeting.

Councilman Ahearn stated that the committee never said they did not want to.  Mr. Moffitt stated that Mr. Ahearn had refused and said he was going to the board.  Mr. Moffitt stated that it is not a question of whether they want to do it, it is proper procedure.  The question is whether the Activities Committee is following the procedures that are set.  No one is questioning whether the committee is doing good things; it is a question of whether the committee is following proper procedure.  It seemed obvious from the Sub-Committee meeting and Monday night that they do not want to do that.

Councilman Moffitt stated that City Attorney Ihrie’s investigation was about whether the City was doing things properly.  That is why we are here.  It is not a question of the City Council taking away the Activities Committee’s money.  It keeps getting turned into that.  No one said a bad word about the Activities Committee.  The question is whether this committee is following proper procedures.  It is not about the people, but the structure of the committee.    

Mayor Hison asked Mr. Ihrie to review the request, what it was for and who he discussed it with.

Mr. Ihrie stated that five or six weeks ago, Mr. Moffitt asked if the Activities Committee was supposed to submit minutes and have open meetings.  Mr. Ihrie said that he talked to a number of people, including Mr. Haney, Mr. Ahearn, Ms. Wolny, and others.  He researched the law, gave an opinion orally and then, as requested, in writing.  Mr. Ihrie stated that is was his opinion that the Activities Committee is not subject to the Open Meetings Act.  However, it is subject to the City of St. Clair Shores Boards and Commissions Policy.  That policy pertains to all boards and committees, whether or not they are subject to the Open Meetings Act.  The policy states that all boards must submit minutes.  Since the language of the policy does not state that they are subject to open meetings, meeting need not be open to the public.  Monday’s motion made it so all boards, commissions and committees be subject to having open meetings.  The policy was changed by a vote of the Council.  

Mayor Hison asked Mr. Ihrie to confirm whether in the request nothing was asked about money, but strictly about open meetings scheduling and minutes.  Mr. Ihrie stated that that was correct.

Councilman Frederick stated that he applauded Mr. Moffitt’s efforts with Kiwanis and the Harper Cruise, because he knows how hard the group works.  Mr. Frederick stated that the intent of the inquiry may not have been about the money, but that it would make the Activities Committee feel better if Council agreed that they would not shift the money to the general fund, or deny the group access to the money.  He asked if Council singled out this committee for various reasons.  With as many committees the City has, not every committee follows the policy to the letter at this time.  The group might agree that they would supply minutes, but sometimes a lot happens quickly, over the telephone, or in small groups.  The key thing is the chemistry of the group, which is more important than money or minutes.  The group is self-appointed, not appointed by Council.  On other boards and commissions, the Sub-Committee submits names and then the Council votes them on to committees.  This could be a problem for the Activities Committee.  Mr. Frederick stated that he is most concerned that the group grows and continues for the next 20 years to help residents.

Councilwoman Stahl answered the statement that people might perceive the Sub-Committee on Boards and Commissions to be more political now because of the three council members on the sub-committee.  Anyone can apply to serve on the City’s boards and commissions.  The City Clerk provides their applications to the Sub-Committee.  There is an open interview process.  Ms. Stahl stated that since she has been at school, Mr. Ahearn has become a voting member at the last three meetings.  

Mayor Hison stated that the Sub-Committee was established many years ago to prevent one person from making those decisions.  Committee members alternate.  There are more opportunities and more people volunteer because they were asked.  All the people who apply are excellent and willing to give their time.  The Council does not want to lose resources the City has.  They try to keep on top of the status of the boards to keep them full.

Councilman Walby stated that he has not seen an opinion from Plante & Moran, but his understanding is that the Activities Committee money has always been commingled with the general fund.  City council has always approved checks for the Activities Committee in the normal procedure.  This ($25,000) was ten times the amount that had ever been requested before.  

Mayor Hison stated that Council held this meeting so that they could obtain information.  It was not the intent that all the information would be here, because the questions had not been asked.  Applications for boards and commissions were sent out to the Activities Committee members on August 2nd, and he was not sure if any had been returned.  The Council wants to see if the current members are interested in continuing.  Plante & Moran may possibly have a way to set up the account better than it is now.  An additional report from Mr. Ihrie’s office would help, as he covered a lot of ground and asked a lot of questions.  If there are minutes, policies and procedures will be documented.

No one is trying to stop any activities in the City.  The City has a lot of things that it can do and will do.  The committee does a lot of the activities, and that is what it is for.  In 1985 was the Public Relations Committee.  It is just different people saying different things, and if the Council wants to keep going forward, the members are going to work it out so that there are seven people on this board that agree and can go forward.  Asking questions should not be taken as a challenge.  If this is right, nothing will change.  If there are any issues, there will be amendments.  There is not anyone anywhere in the City that wants (the activities) to stop.  The Council will come to a consensus that is the best for the residents and the businesses of St. Clair Shores.  In a study or special meeting, the Council does not make motions; they make recommendations.  The Council Sub-Committee on Boards and Commissions requested that the City Clerk receive the applications from the Activities Committee.  The applications are very generic.  Maybe one of the members would like to serve on an additional committee because they are dedicated to the City.

Mayor Hison requested a written report from Plante & Moran on this issue and a report from Mr. Ihrie on conversations that have taken place with people about activities committee.  The boards and commissions book did not just come from Council, but also from staff.  It was a team effort to put it together.  It is also a handbook for new people who have no idea about committees, but want to know and be part of it.  It is just a reference.

The letter sent by Mary Kotowski, City Clerk, requested that the applications be submitted by September 1, 2006.  The applications will provide information.  This is not a political situation at all.  Each person wants to do the right thing.  The Council will come up with a solution to some of the questions that were out there.  

Councilman Frederick stated that it is based on policies and how they grow and change.  Policies could be different for different committees based on how they function.  The Activities Committee could probably supply minutes and post meetings.  He stated that he hoped the money would be available immediately so the group can continue with their next event.  Mr. Frederick suggested that there could be a policy change, that since the Activities Committee is self-appointed; they could submit future candidates to Council.  It is an important aspect for this group because of how they have functioned in the past.  

Mayor Hison stated that this was not the time to take action.  He would like to investigate, and consider what Mr. Frederick just said as part of future discussion.  

Councilman Frederick asked if the money would be available tomorrow.  Mayor Hison said no.  The Council needs the applications, a report from Plante & Moran, and the report from Mr. Ihrie.  The Council could call another special meeting if the information becomes available.

Councilwoman Stahl requested a ruling from Plante & Moran or Mr. Ihrie on the IRS rule on the committee separating from the City.

Councilman Ahearn stated that it is not what is being asked, but how.  This is the first time it has been asked in a decent manner.  It is outrageous that the money is being locked up when the Activities Committee is trying to plan an event for October.  They need to go forward, whether it is tomorrow, next week, or in two weeks.  Since the money was raised by the group, it is not right that the Council can say that they cannot use it for 30 days, or even two days.  Stopping the check is okay, but at least put the money back in the account so they can use it.

Mayor Hison stated that it is not going to change anything because it is in the account; it was never released.  Mr. Ahearn asked if there was going to be a Halloween event or Winter Fest.  

Councilman Frederick asked if there are other groups that have events, such as the Cultural Committee Art Fair, is the City locking up their funds.  Mayor Hison stated that this only has to do with this particular committee.  

Councilwoman Stahl mentioned that there is just a stop payment on the check for $25,000; the account has not been frozen. It appeared as if the committee was liquidating it, and there were comments that the committee wanted to separate from City.  

Councilman Moffitt stated that this did not have to do with whether they can write check, but whether they are posting meetings or writing minutes.  

Mayor Hison stated that on or before September 1, 2006 the Council needs the answers to their requests. On or before that date, the Council can call a special meeting if necessary.

Mayor Hison opened up the floor to public comments.

2.     PUBLIC COMMENTS

Karen Wlodeck - 27725 Glenwood.   Ms. Wlodeck apologized for her outburst earlier in the meeting.  She stated that she had been watching the meeting at home, and was embarrassed for first time in 43 years that she was a St. Clair Shores resident.  She said that the Council needs to act as a group, and show families and residents that they are working for them.  The Council members need to pull it together, learn how to talk to each other and communicate.  

Joseph Backus – 21904 Grand Lake.  He stated that no one here hates the Activities Committee.  He asked if the check that was issued was a City check from the City of St. Clair Shores.  Mayor Hison replied yes.  Mr. Backus said the check should have been issued in the name of the Activities Committee, not in somebody’s name.  Mayor Hison clarified that the check had not been made out in someone’s name; it was made out to the Activities Committee.

Mike McCain – 27924 Glenwood.  He stated that he was a volunteer for the fireworks.  He understood the Activities Committee organization, and just wants things to run smoothly.  He said that when volunteering, he just does what needs to be done.  If he had to come in for an interview, he would no longer volunteer.  He stated that there was so much going on and more important issues, such as roads.  There is so much more that the Council could focus on, instead of sitting there playing games.  It is hard to get volunteers, and the Activities Committee has put a group together that is huge.  Why turn anyone away?  Take all the volunteers you can get and let them all work together.  Do not make it more complicated.

Kathy Scruggs – 22807 Amherst.  Stated that she was confused about the whole issue, and appreciated the fact that the meeting was called.  Monday’s meeting was confusing.  Mr. Ahearn already had plans.  Was the Activities Committee a committee sanctioned by the mayor and council?  Mayor Hison replied yes.  She asked if the Mayor and Council could dissolve the Activities Committee and let them go off and do whatever they want.  She was concerned about what is happening in Council.  The City created this committee, the City can destroy this committee if that is what the committee wishes.  It might solve the issues.

Robert Soulliere – 23200 Westbury.  Stated he sat on council for 12 years.  He asked why this issue was not brought up at budget time.  All the City is, is a bank to this group.  He asked when the boards and commissions policy was created.  Mayor Hison replied in 2000.  Mr. Soulliere stated that a lot of old time members of boards and commissions do not have applications on file.  If they are reappointed, all they are sent is a letter from the City Clerk’s department.  Why not do that for the Activities Committee?  Mayor Hison replied that on August 2, the City Clerk sent out letters to all the Activities Committee members on the list to determine if they were still interested.  Mr. Soulliere asked if the letter requested an application or just interest in being reappointed.  Mayor Hison replied that they were sent an application.  Mr. Soulliere stated that there could be 12 people that just like to work on any one activity, and they might not be on the list.  Mr. Soulliere then asked if the check that was written a legal check.  Mr. Ihrie stated that no laws were broken.  Mayor Hison stated that he did not even know that the check was written until after the Monday meeting.  Mr. Soulliere stated that there were 1,000 houses for sale in St. Clair Shores, crime seems to be on the rise, the tax base has to be going down with house prices reduced, and he does not want to see that in the City, and this issue was ridiculous in his estimation.

Bill Cudney - 23008 Avon. Mr. Cudney asked if the Activities Committee money is in the general fund, how does everybody know how much money is in the fund.  Mayor Hison stated that was why the Council is asking the auditor to look into it.  The Activities Committee has never said they are short money.

Jim Goodfellow - 22476 Lakeland. – Mr. Goodfellow stated that this should all have been done privately.  He asked if a double signature was required on the check to the Activities Committee.  City Manager Podolski stated that the City Manager and City Clerk both sign on all checks.  Mr. Goodfellow stated that there is a very divided Council, but they should get on with City business.  It is difficult to remain neutral, but you have to.  Council can put their differences in the past and get on with business for the City.

George Munger – 23451 Joy. Mr. Munger stated that we all have something better to do that this.  As of 6 p.m. tonight, the City has an application on the website for boards and committees, and the Activities Committee is not even on it.  How do residents know about the Activities Committee?  Mr. Munger stated he had served on the Communication Commission, which was paid.  Mayor Hison stated that only certain commissions get paid, not committees.  Mr. Munger stated that he did not know if all of these were paid, or just a few of them.  Mayor Hison stated that people get informed when they come for an interview.  Mr. Munger asked why the Activities Committee was not added to the application when the boards and commissions book was made.  Mayor Hison stated that it has been a self appointing committee.  Mr. Munger asked why the members of the Activities Committee did not receive an application when the book was made, or for reappointment.  Mayor Hison stated that the City is working on better tracking of boards and commissions.  Mr. Munger stated that everybody wants to do what is right for the City.  He hopes the issue does get resolved, and the boards follow proper procedure.

George Recor – 31651 Couchez.  Mr. Recor stated that the Activities Committee does a lot of good.  Can they write a check now that you have said there is a 30 day hold?  Mayor Hison stated that the $25,000 is on hold.  Any request needs to be made so that the City can see what is being requested so that someone does not come up with a large check request again.  The City Manager should be advising all of Council on the list of expenditures that is distributed every two weeks.  Mr. Recor asked if the Activities Committee has to pay a bill tomorrow, how long it will take.  Mayor Hison stated that it depends on what it is for, and if it is an invoice, when it is due.  

Peter Walby – 23079 Englehardt.  Mr. Walby stated that he appreciated the detailed information brought out, including the IRS information from Councilwoman Stahl, and the information about the account itself.  He stated that the issue is about minutes being published as well as providing an open meeting.  He stated that he knew very few people on the Activities Committee and some only because they are on the boards and commissions list.  Mr. Walby asked if there was a check amount limit.  City Manager Podolski stated that in this case, there was not.  On other accounts, checks are held until Council takes action at a public meeting.  Generally if a check was requested by the Activities Committee, it was written that day.  Mr. Walby asked if every check has to go through approval process, except for this committee.  City Manager Podolski said yes.  Councilman Walby stated that up to now all checks have been approved.  Mr. Peter Walby stated that Councilman Walby said the account had grown to $45,000 due to $9,600 from cellular towers.  Mayor Hison stated that the cellular tower revenue was partially allocated in the budget for the Activities Committee to put on events.  Cellular tower revenue is also allocated to the Parks and Recreation department.  Mr. Peter Walby asked if the cellular tower money was given to St. Clair Shores by a cellular company.  Mayor Hison stated that there were contracts between cellular companies and the City for cellular towers.  

Bill Miller - 23318 Glenbrook.  Mr. Miller asked if he did not fill out an application and he is currently on the Activities Committee, would he be eliminated from that committee.  Mayor Hison stated that that is not the intention.  Mr. Miller asked what would happen if he forgot to fill out an application.  Mayor Hison stated that the City would contact you again.  He said if you do not respond, it may be because you do not want to continue on the committee. Mr. Miller stated that there was a rat problem on his street.  A resident called the City, and someone told them to keep it to themselves, because the City does not have any money.  Mayor Hison stated that if anyone calls the City Manager or City staff, the complaint will be investigated.  City Manager Podolski stated that there is not enough money to bait the whole City, but the City would investigate all complaints.

Kristine Backus - 21904 Grand Lake.  She stated that she was a newer resident.  Ms. Backus said she was concerned that when she donated money for things, that the City knows where it is going.  She stated that it was a great community, especially Memorial Park.  She is glad things are being cleared up.

Elizabeth Munger – 23451 Joy.  Ms. Munger stated that she volunteers on many committees.  The Activities Committee does not do this for recognition.  When people say how great the City is in reference to a special event, it hurts the committee members.  The committee is on the defense.  The City needs to make people want to come here, and the Council needs to work as a group.

Jack Downey - 20100 Rosedale.  Mr. Downey said hats off to Councilman Walby, Councilman Moffitt and Mayor Hison for looking into this issue.  He complimented the Activities Committee on doing a wonderful job.  Mr. Downey said this issue is just a bubble in the balloon.  Since the last election, there has been nothing but chaos on Council.  If you settle this, there will always be another issue.  The Council is doing a good job.

Duane Michno – 20913 Ardmore Park.   Mr. Michno stated that the Nautical Mile Merchants also have a fireworks show.  It is a lot of hard work.  The Nautical Mile Merchants try to showcase the City.  Certain people want to come off as a splinter group.  The check could have been requested, and because it was not, there is an appearance of trickery.  Council meetings have a combative attitude and show disrespect; the Council needs to respect one another.  St. Clair Shores is a wonderful city.  It should not have come this far.  Make if right from now on.  The situation can get better through teamwork, and if people work within the system.  There are so many advantages to working with the City.  Mr. Michno thanked City Manager Podolski and Parks & Recreation Director Esler for using teamwork to get things done, especially the fireworks.  To remove the Activities Committee from the City would cause too much red tape.    

Jack Doerr – 22407 Bayview.   Mr. Doerr thanked the Activities Committee for doing a wonderful job in past years.  To cut them off from funds is a disgrace.  Hold the check for a large amount, but the City could set up a petty cash fund for emergencies so they do not have to wait two weeks.  They have done a wonderful job in the past and will do a wonderful job in the future.  A petty cash fund would keep things going until the situation gets resolved.  He stated he was a little bit disgusted with Council, and that they need to work together.


Adjournment

Motion by Wahby, seconded by Moffitt, to adjourn the meeting at 9:38 pm.

Ayes:      all (7)

(THE PRECEDING MINUTES ARE A SYNOPSIS OF A CITY COUNCIL MEETING AND DO NOT REPRESENT A VERBATIM RECORD)



________________________________                    ________________________________
ROBERT A. HISON                              MARY A. KOTOWSKI
Mayor                                        City Clerk




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