Annapolis City Council Meeting Summary - October 15, 2025

The Annapolis City Council convened to conduct business including a closed session on public safety appropriations, adoption of agenda changes, and approval of financial transactions. The meeting proceeded with significant deliberation on a capital project involving oil tank removal, the extension of a lease for the City Market House, and a legislative change to deferred capital facility charges for small developers. The session concluded with an update on city bond ratings and a discussion regarding orientation for incoming council members, followed by a ceremonial remark honoring a local historical figure.

Consent Calendar

• A motion to enter a closed session pursuant to Annotated Code of Maryland, General Provisions Article 3-3O-5 B, sections 10 and 7, regarding "Public Safety Appropriation" was unanimously approved (3 Aye).
• Approval of the Finance Committee meeting agenda for October 15, 2025, as written was unanimous.
• Approval of the minutes from the October 1, 2025, meeting was carried.

Public Comments & Testimony

• Public Remarks: A speaker opened the session with remarks regarding the dedication of a memorial to Congressman Mitchell, emphasizing his local connection to Annapolis and the historical collaboration between Mayor Pip Moyer and the Mitchell family during the civil rights era. The speaker expressed that the memorial's legacy is "intertwined with the very name of this building" and rooted in community values.

Discussion Items

• Fund Transfer 226 (FT 226): Captain Amy McGeth of the Annapolis Police Department explained that the "Police and Community Together" grant was not awarded for Fiscal Year 2026. Consequently, the Council agreed to de-appropriate the funds and absorb the cost (salaries) into the General Fund. Alderman Roman O'Neill requested clarity on the available balance in the line item; the Department responded that while there is a built-in vacancy savings of six positions, immediate precise figures were unavailable due to the early fiscal year.
• Fund Transfer 1226 (FT 1226): Council discussed the Annapolis County 911 grant, which was budgeted but is now receiving higher revenue than projected due to fee assessments on cell phone bills. The Council approved transferring the additional revenue to offset expenditures for salary and supplies directly related to 911 phone operations. The funds revert to the general fund contingency line item.
• Fund Transfer 526 (FT 526): The Department of Public Works reported the discovery of underground oil tanks in the right-of-way on 4th Street following emergency sinkhole repairs in 2025. The removal was required by the Maryland Department of the Environment (MDE) Oil Control Program. The item requested $600,000. Alderman Roman O'Neill expressed strong hesitation to reduce the "General Roads" budget by 20% to fund this environmental project, noting the impact on long-term road resurfacing.
  • Amendment: After discussion, a motion amended the request to draw $330,000 from the General Roads budget and $300,000 from the Capital Reserve (approx. $500,000 available balance) to fund the remaining portion. The amendment was carried, acknowledging the reserve is appropriate for such emergencies.
• Fund Transfer 1026 (FT 1026): Correction of an unrecorded expenditure for the Off-Street Parking project, reopening the account to pay expenses that had been inappropriately closed.
• Fund Transfer 826 (FT 826): Administrative transfer to recognize a four-year grant term previously budgeted but not yet recognized, allowing the City to offset expenditures with the new revenue.
• Fund Transfer 926 (FT 926): Receipt of returned funds ($3,940) from the Maryland Department of Emergency Management due to organizational restructuring. The funds will be allocated to OEM equipment for the "Prepare Annapolis" app ($2,900) and training/education ($1,040).
• Fund Transfer 1126 (FT 1126): Approval of a 50-50 matching grant from the MDE Waterway Improvement Grant to fund new items for the City's new fireboat. Chief Remally noted the custom boat is under construction with an anticipated delivery in late July or early August. The current boat remains in service.
• Lease Extension 03325 (Market House): Council discussed a revised lease agreement with the Market House operator. Key negotiated changes included increasing the security deposit to $15,000, raising basic rent to $11,000/month, and changing renewal terms from five years to a five-year initial term with options. Alderwoman Roman O'Neill and others expressed support for the new terms but raised concerns regarding a requirement for the tenant to invest $100,000. There was debate over whether this investment could be deducted from performance rent for capital improvements.
  • Clarification: Council members requested that the lease explicitly state the $100,000 investment requirement cannot be deducted from performance rent unless tied to city-agreed capital expenditures that benefit the city (e.g., public bathroom renovations). Assistant City Attorney Ashley Leonard agreed to draft language reflecting this guardrail to ensure the funds remain a true tenant obligation.
• Legislation 03725 (Capital Facilities Charges): Introduction of a change allowing the Director to defer payment of capital facility charges for small developments (six or fewer dwelling units) until after construction but before occupancy. The intent is to reduce borrowing costs for small developers without impacting residents, as the fees remain the developer's responsibility.

Key Outcomes

• FT 226: Motion to approve the transfer to absorb the unawarded grant cost carried unanimously.
• FT 1226: Motion to approve the transfer for the 911 grant carryover carried unanimously.
• FT 526: Motion to approve the amended transfer ($330k from Roads, $300k from Capital Reserve) for oil tank removal carried unanimously.
• FT 1026, 826, 926, 1126: Favorable recommendations granted unanimously for each respective transfer/legislation.
• 03325 (Market House Lease): Council gave a favorable recommendation contingent on legal clarification and amendment to the lease ensuring the $100,000 investment cannot be automatically deducted from performance rent unless tied to specific city-benefiting capital expenditures.
• 03725: Favorable recommendation granted unanimously for the deferred payment plan for small developments.
• Administrative: The Finance Director announced successful presentations to rating agencies (Moody's, etc.) in New York; reports and credit ratings are expected to be issued the week of November 1st. Council discussed the need for a coordinated orientation program for incoming council members. Note: The transcript ends abruptly during a public comment speech regarding Congressman Mitchell; no formal vote or summary of that specific remark's outcome is recorded in the source text.