City of Frederick Mayor & City Council Workshop: November 20, 2024

The Mayor and City Council of Frederick met on November 20, 2024, at 3:00 PM in City Hall for a workshop. The meeting included a proclamation for GIS Day, routine approvals, and two major discussion items: a proposed five-year water and sewer rate structure and proposed revisions to the structure of the City Council. All votes were unanimous (4-0), with Councilmember Shackelford absent.

Presentations

• Geographic Information Systems (GIS) Day Proclamation: Mayor O'Connor proclaimed November 20, 2024, as GIS Day in Frederick, recognizing the value of GIS technology for decision-making, public safety, transportation, and transparent governance. GIS staff Kim Parr, Bill, and Matt accepted the proclamation.

Consent Calendar

• Minutes Approval: The minutes of October 9, 16, and 23, 2024, were approved by a 4-0 vote each.
• Release of Surety: Approved the release of a $5,517.68 bond posted by Hood College for on-site afforestation related to a residence hall project (4-0).
• Special Ordinances: Approved three budget amendments (all 4-0):
  • Special Ordinance 24-29: Amendment to FY 2025 budget for a State Homeland Security Subgrant from the Maryland Department of Emergency Management.
  • Special Ordinance 24-30: Amendment to FY 2025 General Fund Budget for an Energy Efficiency Conservation Block Grant from the U.S. Department of Energy.
  • Special Ordinance 24-31: Amendment to FY 2025 Budget for a HUD Comprehensive Housing Counseling Grant.

Discussion Items

Water and Sewer Rate Study (FY 2026–2030)

• Presenter: Lacey Gordon (Budget Manager), Mike Maker (NewGen Strategies), and Katie Barkthal (Director of Budget and Administration) presented the results of a comprehensive rate study. The study recommended a 3% annual increase in water and sewer rates for each of the next five fiscal years (FY 2026–2030) to cover operating expenses, debt service, capital projects, and reserve targets (90 days of operating expenses and a repair/replacement reserve).
• Impact Fees: Staff recommended maintaining current water ($7,200) and sewer ($6,300) impact fees per single-family dwelling, with annual increases tied to CPI.
• Council Questions:
  • Councilmember Kazemchak asked about the impact of including debt service in the enterprise fund and whether removing it could lower rates. Staff clarified that debt service is a necessary component and that moving it to the general fund would reduce general fund debt capacity.
  • Councilmember Russell asked whether increasing impact fees could provide rate relief to existing customers. The consultant explained that impact fees are based on capacity costs, not directly linked to rate revenue.
• Next Step: The item will be scheduled for a public hearing; no vote was taken at the workshop.

Proposed Revisions to City Council Structure

• Presenter: Chief of Staff Guy (last name not given) and Legislative Assistant Claire Jackson presented a draft memo outlining a new structure for the legislative branch, including roles for a Council President and Vice President, standing committees, and standard legislative processes.
• Key Discussion Points:
  • Councilmember Russell expressed concern about the phrase "evaluating the performance of city services and programs," arguing it could blur legislative and executive functions. He preferred language about "evaluating the efficacy of city policies." Councilmember Nash supported the original wording as a broad authority for oversight.
  • Councilmember Kazemchak questioned how the structure would be codified (likely as amendments to the Rules of Procedure).
  • Councilmember McShane raised issues about committee composition, the role of the Vice President, and the grouping of policy areas (e.g., combining housing, health, and public safety). He advocated for more public input before adoption.
  • Councilmember Nash proposed moving forward with a resolution at the December 5, 2024, meeting, while Councilmember McShane preferred delaying committee structure decisions for the next council term.
  • Staff noted that the draft is flexible; the Council President would assign committees and legislation, but several members requested adding language that the President act "in collaboration with the Vice President" for committee assignments and agenda-setting.
• Outcome: Staff will incorporate feedback (e.g., clarifying the Vice President’s role to preside over meetings in the President’s absence, adding collaboration language) and prepare a resolution for the December 5, 2024, City Council meeting.

Key Outcomes

• Minutes and Business Meeting Items: Approved unanimously (4-0).
• Water/Sewer Rate Study: Directed to proceed to a public hearing; no final vote.
• Council Structure Revisions: Staff to draft a resolution for adoption on December 5, 2024, incorporating feedback from the workshop.
• Councilmember Comments: Councilmember Nash commended the Housing and Human Services Department for the annual turkey distribution at Harry Grove Stadium, noting the integration of social services.

The meeting adjourned without further business.