Thursday, September 5, 2019

Council Mulls Trash Bids, Pension Hikes, Storm Damage Costs and Allowing Drinking at Carousel



There's a lot to cover from last night's borough council work session so try to keep up.

First up, the thing most of you probably care about the most.

Mascaro Wins Trash Bids, Again

Judging by the results revealed last night by Pottstown Borough Manager Justin Keller, it looks like the borough's current trash hauler will also be the borough's new trash hauler, at least for the next three years.

And we'll all be paying at least $41 more per year for the pleasure.

Despite early interest from several area haulers, only two firms bid on the new trash pick-up contract for the borough, J.P Mascaro and Sons and Waste Management.

Red Mascaro trash bins seem likely to remain
a familiar sight in Pottstown.
Keller said the bid included lots of options, such as a three-year contract for a five-year one, with added bulk pick-up provisions as well as provisions for penalty for missed pick-ups, the most frequent complaint against Mascaro.

Escalating fines will punish the hauler until they can go six months without a missed pick-up complaint, he said.

According to the figures he cited, a three-year contract with Mascaro and weekly pick-up of one bulk item will cost a household $10.32 more per quarter, or $41.28 per year, the lowest price.

A five-year pact would raise the price by 10.60 per quarter or $42.40 per year.

The Waste Management bids for a three-year contract with weekly bulk pick-up would increase the quarterly bill for a household by $11.91 per quarter, or $47.64 a year. The price would jump by $12.12 per quarter, or $48.48 per year, for the five-year contract.

Councilman Joe Kirkland questioned whether council is required to take the lowest bidder. "The difference between bidders is only about $1 per quarter, and considering the complaints we get" about Mascaro.

Borough Solicitor Charles D. Garner Jr. said state law requires governments to award the contract to the lowest bidder to avoid favoritism and to provide the most savings possible to the public.

J.P. Mascaro III was in the audience and told council that 2019 had been one of the most difficult for
JP Mascaro III addresses borough council Wednesday night.
trash haulers, due larger to a labor shortage.

Last year, the firm went so far as to set up an employment center on High Street to try to recruit more workers.

"We serve more than 100 municipalities and we've had problems with three or four and Pottstown is one of those," Mascaro said. "But we're committed to Pottstown. We're committed to getting things back on track."

Responding to Kirkland's observation about the difference in price, he noted "that difference may seem small, but it adds up to more than $1 million over the course of the contract."

Borough Council President Dan Weand suggested council members read up on all the new provisions and penalties contained in the new contract and Keller said the staff will have a recommendation for council at the Monday meeting, although voting need not occur until the October meeting.

Pension Hikes

Perhaps of less direct interest to residents but maybe just as important in terms of recurring costs, are the looming increase in the minimum payments the borough must make the police non-uniform pension funds.

Borough Manager Justin Keller said the increase for police pensions is $263,055, bringing the borough's total annual payment to $1,784,671.

The increase for the non-uniform pension funds is higher, $415,220, although the total payment is $1,320,150 is lower.

Keller said there are two primary causes for the increase. The first and less significant was an increase in the "mortality tables," which is what actuaries use to predict how long a pensioner will live. The new tables are built specifically for municipal employees.

The bigger impact all had to do with timing. Although Keller said the two pension funds, which are invested in a variety of stocks, bonds and funds "have done well on the investor front," the Dec. 31, 2018 date when the state took the "snapshot" of how those funds were doing was a date that the stock market "was at an all-time low."

So although the funds look much better than they did on the "snapshot" date, that's the one that counts and taxpayers will have to pony up the extra money to satisfy what the actuaries say the fund needs to meet its obligations.

July 11 Storm Impacts

Borough Manager Justin Keller had good news and bad news regarding the flooding that swept through the borough on July 11.

The good news is for homeowners and businesses that were damaged by the flood. Because damage in Berks County passed a state threshold, damages in adjacent counties are eligible for low-interest loans to pay for repairs.

Keller said an official announcement is expected shortly. Here's video of his report.



Damage to baseball backstops in Memorial Park.
The bad news is for damage to borough property. He said a state threshold of $19 million in damage needed to be passed for government aid to be available and because of the extremely localized nature of that flood along Manatawny Creek "we're not close to meeting that threshold, so it looks like we're not going to get any aid for those damages."

He said the damage in Pottstown, largely in Memorial Park and College Drive, adds up to "just over $1 million."

Council Vice President Carol Kulp, who reports from the borough's infrastructure committee, said the College Drive repairs are complete but repairs to the baseball fields in Memorial Park will cost about $60,000.

The damaged pedestrian bridge in Memorial Park.
Even more expensive and the borough's "biggest challenge," said Keller, is the damage to the pedestrian bridge over Manatawny Creek. Cost for replacement or repair is estimated to be in the area of $400,000.

"Our best path forward, so as not to- burden borough taxpayers any further is to seek grants" from two state agencies, the Department of Conservation and Natural Resources and the Department of Community and Economic Development, both of which have provided grant money to the park in the past.

"But the earliest grant applications are open is in the spring, with grant notifications not coming until fall of 202 and construction not beginning until 2021," Keller said, "just to manage expectations about that."

(I claim six minutes in the betting pool for how long it takes the well-informed commenters on The Mercury Facebook page to make a remark about how the money spent on bike lanes could have been used to fix the bridge.)

In the meantime, Keller said letters are being issued to PennDOT and Norfolk Southern reminding them of their responsibility to clean up debris that is snagged on the abutments of their bridges over the Manatawny and downstream from the park.

Floodwaters fill the collapsed arch behind a home in the first block
of Walnut Street during the July 11 storm.
"There's no indication that caused this most recent flooding but the most recent flooding did carry a lot of debris downstream, so we want to make sure that's cleaned up by those responsible," he said.

One bright spot is Montgomery County's decision to add Pottstown's crumbling storm arches to its "hazard mitigation plan."

The primary benefit of that, Keller said, is it opens up alternative avenues of funding to "help get those arches repaired and maintained."

One of those collapsed arches behind a home on Walnut Street, filled with water during the flood and was eroded even further.

Drinking at the Carousel

A public hearing on moving a liquor license from Lower Gwynedd to Pottstown was the door opening on a conversation about plans being proposed by the Carousel at Pottstown.

Karen Lovette and Steve Cavallo of Gilbertsville sample local wine
at the 2018 Carousel of Flavor.
There were no public objections at the hearing but at least three council members expressed concerns about allowing liquor to be served regularly at the facility.

The borough owns both the carousel building and the adjacent Manatawny Green mini-golf course, both of which are now operated by the non-profit carousel organization.

Adam Sager, who spoke for the carousel, said the plans include renovating the building to make room for a restaurant that can serve alcohol in addition to food.

Currently, the organization has what is called "an entertainment license," which allows the private parties hosted there to bring alcohol.

Additionally, many of the carousel's own events, like the annual Carousel of Flavor restaurant festival, serve beer and wine.

Beer has been served at the Carousel of Flavor for years. These folks
seem to be enjoying themselves at the 2018 event.
Councilman Joe Kirkland said he has concerns about allowing drinking so close to the mini-golf
course, "where children are playing."

Sager, an attorney on High Street and carousel board member, said the legal agreement with the restaurant would indemnify the borough and the carousel from any lawsuits and the restaurant would be responsible for not serving intoxicated customers.

Council Vice President Carol Kulp said having alcohol and "a carousel that spins in the same place is a recipe for disaster. I don't feel alcohol and the carousel is a good mix."

Sager replied between the group's own events and private events, alcohol has been served at more than 100 events and "we've  never had anyone get sick, public disruption or had to call the police."

"I think this is a terrific idea," said Mayor Stephanie Henrick. "They're no-t asking to do- anything they're no-t already doing."

Sager pointed to the success of The Alley on High Street where food, beer and vodka are all served
Adam Sager addresses council Wednesday night.
along with music and people bring their children and their dogs and it has been remarkably successful.

"Give us a chance, just like you gave everybody else a chance. You allowed an alleyway to change into fun area where people can enjoy a good night," Sager said, pointing out what the carousel wants to do is no different from chains like Dave and Brusters, where alcohol is served and sports activities.
Councilman Ryan Procsal said he has visited The Alley often with his two children "and there has never been a problem."

"The carousel is supposed to be for kids, not for drinking," said Councilwoman Rita Paez.

Borough Solicitor Charles Garner Jr. said council's role in the proposal will be complex.

First, he said, voting to allow the liquor license into the borough does not give the carousel permission to begin to serve it in the building.

To allow the restaurant, the lease with the carousel will have to be altered; because it owns the building council will have to specifically allow alcohol to be served there in a restaurant setting. Further, in addition to voting on whether to allow the changes, as council would on an development, as the building owner it must also approve those changes with a greater level of control than it would normally have.

And with that, there was other stuff, but you've probably stopped reading by now, so let's just go to the Tweets:

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