PRESENT: Mayor David P. Helms; Eugene Hendrick, Suzanne Jennings, Herbert Clay, Mel Leaman, Ken Heath, Mark Warren and Dr. James Gates, Council Members; Town Manager John E. B. Clark, Jr.; Town Engineer/Assistant Town Manager Cecil Hicks; Police Sergeant Andrew Moss; Town Attorney Mark Fenyk; Purchasing Agent Billy Hamm; Deputy Town Clerk/Deputy Director of Finance Susan Clark, Marion Planning Commission Members: Cameron Wolfe, Jim Barker, Alice Freeman.

INVOCATION/PLEDGE TO THE FLAG: Mr. Warren rendered the invocation. Mayor Helms led the Pledge to the Flag.

VISITORS: Tom Evans, Don Jones, Alan Jones, Laura Sturgill, Gul Khattak, Jeff Spickard, David Fields

MINUTES: Upon motion of Mr. Heath, seconded by Mr. Clay, and vote of 7 AYES and 0 NOES, the meeting held 12/4/06 were approved as written and distributed and upon motion of Mrs. Jennings, seconded by Mr. Heath, and vote of 7 AYES and 0 NOES the meeting held 12/14/06 were approved as written and distributed. Messrs Hendrick, Clay, Leaman, Warren, Heath, Dr. Gates and Ms. Jennings voted affirmatively.

PUBLIC HEARING -ORDINANCE CHANGE OF WATER SERVICE CHARGE FEES-TOWN OF MARION CODE OF ORDINANCES SECTION 78-42: The proposed change would remove the service charge fee of $5.00 for each cut off or cut on of water service (due to disconnection from unpaid bill or delinquent bill) to “a fee periodically set by Town Council”. The proposed new fee would be $15.00 for each cut off or cut on of water service. There was no public comment. Upon motion of Mr. Heath, seconded by Mrs. Jennings, and vote of 7 AYES and 0 NOES, Council approved new fee for water service charge ($15.00 for each cut of or cut on of water service).

JOINT PUBLIC HEARING-REQUEST TO REZONE A PARCEL OF PROPERTY 171-71-1A and 171-71-1D LOCATED BEHIND WENDY’S ON NORTH MAIN STREET-DON JONES: The request is to rezone property from R-2 to Commercial General for the development of a hotel on the property. Ms. Sturgill explained that the potential buyer would like to construct a Holiday Inn Express Hotel with 79 units and have submitted a preliminary site plan. Mr. Hicks stated that the area is primarily commercial and this seems to be the best use for the property. The developer will be responsible for extending Windy Drive and utility lines under VDOT specifications to his property. Vice-Chairman Wolfe opened the public hearing. There was no public comment. Mr. Khattak, developer, stated that the plans are to open for business by May 1, 2008. Mr. Wolfe is involved in the design of the project; therefore, Planning Commission does not have a voting quorum. Upon motion of Mr. Leaman, seconded by Mr. Warren and vote of 7 AYES and 0 NOES, Council approved request to rezone property at North Main Street parcel 171-71-1A and 171-71-1D from R-2 to Commercial General.

SALARY ADJUSTMENT APPEAL-ROBERT NIEHOFF: Upon motion of Mr. Leaman, seconded by Mrs. Jennings, and vote of 7 AYES and 0 NOES, this item will be discussed in Closed Session.

WTP PROJECT-ANALYSIS ON REVENUE AND ESTIMATED EXPENDITURES: Mr. Clark presented Council with an estimate of revenues and expenditures for the project. Expenditures are estimated to be $2,024,378 and revenues $2,118,172. Mr. Clark added that the $2,118,172 revenue figure includes a $100,000. grant/loan from Mt. Rogers Planning District Commission that was spent in April, 2005.

ACCOUNTS: Upon motion Mr. Warren, seconded by Mrs. Jennings, and vote of 7 AYES and 0 NOES, the accounts were approved for payment in the amount of $895,478.02. Messrs Hendrick, Warren, Leaman, Clay, Heath, Dr. Gates and Mrs. Jennings voted affirmatively.

INVESTMENTS: Mr. Clay moved that the Investment Report be approved as presented. Mr. Leaman seconded the motion. Council approved the same unanimously. Messrs Hendrick, Heath, Clay, Leaman, Warren, Dr. Gates and Mrs. Jennings voted affirmatively.

LEE STREET PROJECT CHANGE ORDERS: Mr. Hicks explained the change orders for the Lee Street Project to Council as follows:
Change Order #1-Sprint phone line buried-Could not get across the street at designated point due to elevation of fiber optic line. $6,000.00
Change Order #2-Curb & gutter at Hardees and houses across from Hardees. $13,777.20
Change Order #3-Install additional storm drain manhole due to conflict with underground water line. $3,800.00
Change Order #4-Sub-footing concrete-50 yards of concrete installed to both sides of the stream. $10,200.00
Change Order #5-Stone base, course asphalt and surface wearing asphalt-due to street being damaged by installation of water line and curb and guttering. $54,800.20

Change Order #6-Turn down slab under sidewalk-due to elevation change made to the bridge. $2,097.00
Total Change Orders $90,674.40
Upon motion of Dr. Gates, seconded by Mrs. Jennings and vote of 7 AYES and 0 NOES, council approved the Change Orders.

RECEPTION AT GENERAL FRANCIS MARION HOTEL FOR PROPOSED TOURISM AUTHORITY-DECEMBER 20, 2006 FROM 5:30 TO 7:30PM: Mayor Helms reminded Council of the reception.

DEDICATION CEREMONY FOR MR. SAM BURKETT-LEE STREET BRIDGE ON DECEMBER 28, 2006 AT 2:00PM IN THE TOWN COUNCIL CHAMBERS: Mayor Helms encouraged all Council members to attend.

LINCOLN FAMILY REAL ESTATE PROPERTY: Mr. Fields asked why this item had been removed from the agenda. Mr. Warren stated that Council is waiting on information from the family. Upon motion of Mr. Warren, seconded by Mrs. Jennings and vote of 7 AYES and 0 NOES, this item was continued until further information can be obtained.

TOURISM COMMITTEE-KIOSK PROGRAM AT HUNGRY MOTHER STATE PARK: Dr. Gates stated that the committee met with Amy Atwood. Mrs. Atwood will obtain more information about costs and report back to Dr. Gates and Mr. Heath. Upon motion of Mr. Heath, seconded by Mrs. Jennings and vote of 7 AYES and 0 NOES, this item was referred to the Budget Committee for consideration in the 2007-08 Budget.

REAL ESTATE COMMITTEE-APPALACHIAN SPIRIT GALLERY AT OLD PD BUILDING: Mr. Warren reported that lease negotiations are in progress with the stipulation that the Town would upgrade the electrical lines and obtain bids for a heat pump to be installed. Mr. Hendrick added that utilities should be added to the lease negotiations. Mr. Warren moved that a three year lease be extended to the Gallery, Mrs. Jennings seconded the motion and Council approved with a vote of 7 AYES and 0 NOES.

FINANCE COMMITTEE-SONG OF THE MOUNTAINS: Upon motion of Mrs. Jennings, seconded by Mr. Leaman and a vote of 7 AYES and 0 NOES, this item was continued.

INSURANCE COMMITTEE-SPECIAL TACTICAL OPERATION: Upon motion of Mr. Hendrick, seconded by Mrs. Jennings and vote of 7 AYES and 0 NOES, this item was continued.

LAND GRANT PROGRAM: Mr. Heath explained Governor Kaine’s Land Grant Program. VLCF Grants are used to acquire and protect special lands in the following categories: open space and parks, historic areas, farm and forestry and natural areas. The grants require a minimum of a 50 percent match, so awarding the entire grant round in approved projects will represent at least $10 million in public and private money going to land conservation across the state.

MARION DOWNTOWN! AND VIRGINIA TOURISM CORPORATION: Mr. Heath stated that Marion Downtown and Virginia Tourism Corp. will be coordinating to list Marion Businesses on the Virginia Tourism Website.

PEDESTRIAN CROSSWALK SIGNS: Mr. Hendrick expressed thanks to the Town of Marion and Dan Kegley for the installation of these signs on Main Street.

LINCOLN THEATRE-GLEN MILLER ORCHESTRA: Mrs. Jennings stated that this was a successful event with over 360 people in attendance.

WATER TANKS-MARION CORRECTIONS: Mr. Clay questioned when the water tanks were declared surplus property by the Town of Marion. Upon motion of Mr. Hendrick, seconded by Mr. Leaman and vote of 7 AYES and 0 NOES, this item was referred to the Ordinance Committee.

LEGLISLATIVE DAY: Mayor Helms reminded Council that Legislative Day is February 1, 2007. Those planning to attend must contact the Clerks office so that appropriate registrations and reservations may be secured.

MEMORIAL DAY PARADE-VFW: Mayor Helms informed Council of the Parade and added that a meeting will be held in January for public input.

CHANGE OF TOWN COUNCIL MEETING: Mayor Helms stated that January 2, 2007 will be the next Council meeting, due to the holiday on January 1.

Mayor Helms thanked Council for their service this year and wished all a Merry Christmas and a Happy New Year.

STP PROPERTY LEASE: Mr. Clark stated that one bid had been submitted to lease the property at the Sewer Treatment Plant for grazing purposes by Mr. Larry Bowman. Upon motion of Warren, seconded by Heath and vote of 7 AYES and 0 NOES, Mr. Bowman will lease the property for three years at $100.00 per year.

CLOSED SESSION: Pursuant to Code of Virginia, as amended, Section 2.2-3711(A1) and upon motion of Mr. Hendrick, seconded by Mr. Heath and vote of 7 AYES and 0 NOES, Town Council entered in to Closed Session for the purpose of discussing salary adjustment Sewer Treatment Plant employee. Mr. Hendrick moved that Town Council return to Open Session and that it be known that only those matters legally exempted from Open Session and identified in the motion were discussed during Closed Session. The motion was seconded by Mr. Heath and carried by vote of 7 AYES and 0 NOES. The Deputy Clerk polled the Council Members. Messrs Hendrick, Heath, Leaman, Clay, Warren, Dr. Gates and Mrs. Jennings voted affirmatively.

SEWER TREATMENT PLANT EMPLOYEE REQUEST FOR SALARY ADJUSTMENT: Upon motion Mr. Leaman, seconded by Dr. Gates and vote of 4 AYES and 3 NOES (Heath, Jennings, Warren), Council denied request of employee seeking salary adjustment and Town Manager will issue a letter to the employee according to the Town of Marion Personnel Manual.

Upon motion, duly seconded, and vote of 7 AYES and 0 NOES, the meeting was adjourned.