A Recess Meeting of the Mayor and Board of Aldermen of the City of Ocean Springs was called to order by Mayor Ainsworth at 6:00 p.m. on August 7, 2001, at City Hall in the City of Ocean Springs. Present were Aldermen Jalanivich, Lloyd, Cody, Carvin, Dalgo and Gill, City Attorney Oscar Jordan and City Clerk Adrienne Howell. Alderman McDonnell was absent

Alderman Cody gave the Invocation.

Mayor Ainsworth led the Pledge of Allegiance.

Approve Minutes of Recess Meeting of July 17, 2001

Pay Docket of Claims and spread docket summary upon the minutes:

(Docket Summary)

Accept Action Report

Adopt "General Depository Agreement – Municipalities" with BancorpSouth (certificates of deposit only) and authorize Mayor to sign on behalf of City:

(BancorpSouth Resolution)

Allow Purchasing Agent to attend MAGPPA 17^th Annual Conference in Biloxi on October 14-16, 2001, prepay $100.00 registration fee and pay all other reasonable and actual expenses

Accept assessment and homestead changes for June and July, 2001 as received from Jackson Co. and spread them upon the minutes:

(Assessment/Homestead Changes)

Schedule FYE 2002 Budget Hearing for 6:00 p.m. on Tuesday, September 4, 2001, and authorize publication of the public notice

Allow Fire Dept. personnel to attend Equipment Exhibit at International Fire Rescue Conference in New Orleans, LA, on August 24, 2001, as outlined in Fire Chief’s memo:

(Fire Conference)

Authorize City Engineer to send in Procurement and Request for Cash forms to Mississippi Dept. of Economic and Community Development for final payment ($5,000.00 - CAP Loan #0-282-CP-01) to Pittsburg Tank & Tower Co., Inc. regarding Civic Center and Halstead Tanks, but not to release retainage until completion of punch list items:

(Pittsburg Invoice)

Approve Pay Request No. 1 from Graham Construction Co. ($45,408.60) regarding Ocean Springs Drainage Improvements Project #00-282-PF-01:

(Graham Invoice)

Hire Louis Lee as Sewer Dept. Laborer, effective August 6, 2001, at Band 1/Step 1 ($7.35/hr.):

(Lee Hire Letter)

Pay invoice from Graham Construction Co., Inc. ($334.40 – retainage) regarding work performed on Churchill Dr.:

(Graham Invoice)

Pay invoice from Graham Construction Co., Inc. ($973.80 – retainage) regarding Lift Station 10 Bypass:

(Graham Invoice)

Accept Building Report for July 2001

Allow City Planner, and Alice Duckett, Henry Furr and any other member of the Historic Preservation Commission to attend Restoration & Renovation Exhibition and Conference in New Orleans on September 6-8, 2001, prepay $280.00 registration fee for each and pay all other reasonable and actual expenses

Approve Consent to Assignment with Eliska Wireless Ventures I, Inc. and authorize Mayor to execute document on behalf of City:

(Eliska Wireless Documents – formerly Digiph PCS)

Items b, e, k and o were removed from the Consent Agenda for further consideration.

Motion by Gill, seconded by Dalgo, to approve the Consent Agenda, excluding items b, e, k and o.

VOTING AYE Aldermen Jalanivich, Lloyd, Carvin, Dalgo and Gill

VOTING NAY Alderman Cody

ABSENT AND NOT VOTING Alderman McDonnell

(Promotional Funds Recommendation)

Motion by Cody, seconded by Carvin, to accept the City Clerk’s recommendation with regard to Community Promotion funds and spread it upon the Minutes.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Dalgo, seconded by Jalanivich, to include and add to the Promotional Funds Policy funding requests from all other organizations subsidized from the General Fund.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

(Solid Waste (garbage) Collection Fees)

Motion by Dalgo, seconded by Lloyd, to accept the City Clerk’s recommendation to increase the solid waste collection fee from $8.94 to $11.80 per month, effective October 2, 1001, and authorize her to publish notice of the increase as required.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

(Collection of City/School Taxes by Jackson Co. and Jackson Co. Board of Supervisors Resolution)

Motion by Jalanivich, seconded by Dalgo, to accept the City Clerk’s recommendation to contract with Jackson Co. for collection of Ocean Springs Municipal and School District taxes beginning with tax year 2001, authorize the City Attorney to draft the necessary Interlocal Governmental Agreement, and spread the resolution adopted by the Jackson Co. Board of Supervisors upon the minutes.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Dalgo, seconded by Cody, that in accordance with §21-27-61 of the Mississippi Code 1972 Annotated, to transfer $201,000 of surplus funds from the Utility Service Deposits Fund 408 to the General Fund 001 to cover operating expenses for the months of August and September 2001, with said funds to be repaid to the Utility Service Deposit Fund 408 from the General Fund 001 within fiscal year 2002 at zero percent interest.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

The City Clerk recommended the following measures be taken with regard to the budget and spending: stop spending; stop overtime; freeze travel requests; have the City Auditor to come in on Monday and determine the amount necessary to operate through January 2002; do not approve any additional projects, fees, services; have the City Attorney to draft the necessary paperwork to proceed with borrowing money on anticipation of taxes; and continue those items until such time as the City is financially strong and has a good operating capital.

MAIN MOTION by Dalgo, seconded by Carvin, to follow the recommendations outlined by the City Clerk and to empower the City Clerk and City Auditor to do everything necessary to keep the City afloat.

AMENDED MOTION by Carvin, seconded by Cody, to allow the Mayor and department heads to determine if overtime is necessary.

AMENDED MOTION VOTING AYE ALL

AMENDED MOTION VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

MAIN MOTION VOTING AYE ALL

MAIN MOTION VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

At this time discussion was held regarding items e, b, k and o of the Consent Agenda. Upon recommendation by the department heads, items e and o were with withdrawn. The following action was taken regarding item k:

Motion by Lloyd, seconded by Gill, to accept the Public Works Director’s recommendation to hire Louis Lee as Sewer Dept. Laborer, effective August 6, 2001, at $7.35 per hour.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

The following action was taken regarding item o of the Consent Agenda:

Motion by Dalgo, seconded by Gill, to approve the docket of claims.

VOTING AYE Aldermen Jalanivich, Lloyd, Carvin, Dalgo and Gill

VOTING NAY Alderman Cody

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Gill, seconded by Jalanivich, to authorize the Mayor to draft a letter to MDOT for a left turn signal on Highway 90 at Concrete Rd. turning south.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

(Coastal Piping Invoice – retainage – Cedar Point)

Motion by Lloyd, seconded by Cody, to authorize payment of $17,575.50 to Coastal Piping, Inc. regarding Ocean Springs Sewer Expansion Phase I, subject to the receipt of funds from the University of Southern Mississippi.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Alderman Dalgo reported that the Magnolia Bayou homeowners group had spent $3,500.00 to install a sprinkler system to maintain the entrance landscaping required by the subdivision regulations, but that there was no water line to the area.

Motion by Carvin, seconded by Gill, to authorize the Public Works Director to install a water line to the landscaped area at Magnolia Bayou Subdivision on the west side of Pabst Rd. and north side of Government St.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Dalgo, to authorize the Public Works Director to patch the potholes on Bechtel Blvd.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Dalgo, to recess the regular session and convene as the full Zoning and Adjustment Board.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Present were Review Section Committee members Angela Sanders and Keith Rhodes. Richard Schmidt, Ray Heddings and David LaPointe were absent.

(Jacobs Documents)

Motion by Dalgo, seconded by Jalanivich, to accept the recommendation to grant John Jacobs a 20% side yard variance for construction of a carport at 120 Linda Circle.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell and Members Schmidt, Heddings and LaPointe

Motion by Carvin, seconded by Dalgo, to adjourn as the full Zoning and Adjustment Board and resume the regular session.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Gill, to ratify the actions of the full Zoning and Adjustment Board.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Carvin, seconded by Gill, to begin the lot cleaning process regarding 432 Whispering Pine Dr. and schedule a hearing date.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

The City Planner reported that the property at 201 Barbara Circle had been cleaned.

Motion by Cody, seconded by Carvin, to discontinue the lot cleaning process regarding 201 Barbara Circle.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

ORDINANCE NO. 6 - 2001

AN AMENDMENT TO THE CODE OF ORDINANCES,

CITY OF OCEAN SPRINGS, REQUIRING STOP SIGNS

AT THE FOLLOWING INTERSECTION:

SIMON BOULEVARD AND LAFITTE AVENUE

Motion by Cody, seconded by Carvin, to adopt the above and foregoing Ordinance.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Jane Beaugez addressed the Board regarding Evergreen Cemetery. She asked for the benches to be put back at the pavilion, for improved cemetery maintenance and for a qualified person to review the cemetery and designate any areas on the slope that would be suitable for gravesites.

Motion by Cody, seconded by Gill, that the Public Works Director check into the cost of contracting out maintenance of the cemeteries to have the grass cut on a regular basis.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

The Boys & Girls Club request for a FYE 2002 budget appropriation was taken under advisement.

Motion by Dalgo, seconded by Cody, to authorize Aldermen Jalanivich and Gill to work with the Police Chief, Fire Chief, Walter T. Bolton Associates, AIA, and William V. Lack, Jr., AIA, to research grants and avenues for funding to construct a new police and fire safety complex, at no cost to the City at this stage.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Marion Wingo and Chris Vinsonhaler advised the Board that there was no longer an option to purchase the Fayard property on Front Beach and requested a work session with the Board in September to make a presentation regarding ideas for the property and funding.

Becky Gillette complained that information published in the latest water quality report was 3 to 4 years old and suggested the City look into the free programs available for more comprehensive water testing and offered her assistance.

Ross Dodds commented on the City’s expenses vs. revenues and asked where the additional revenue would come from.

Cheri Haneman asked if private funds could pay for the City Planner to attend the Historic Preservation Conference in New Orleans. The City Attorney advised that it would be a problem to do it through the City, however, if someone wanted to be that benevolent, he was sure the City Planner could get permission from the City to be off during that time to attend. The City Planner stated if he was able to go for one day, he would pay his own way, but he did not feel the City should reach out and ask for assistance from the citizens.

(Reflectech Invoice)

Motion by Jalanivich, seconded by Cody, to pay the invoice from Reflectech, Inc. in the amount of $78,797.50 regarding the Mary C. O’Keefe Center roof, subject to receipt of funds from the Ocean Springs School District.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Cody, to reappoint Curtis Marsh and Cal Grosscup to 4-year terms on the Building Board ending June 30, 2005.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Carvin, seconded by Cody, to dissolve the Civic Center Commission.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Carvin, to reappoint Madeline Power and Angela Sanders, and to appoint Bo Chambers to 4-year terms on the Election Commission ending June 30, 2005.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Carvin, to reappoint Wayne Anderson to a 3-year term on the Electrical Board ending June 30, 2004.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Carvin, to reappoint Ray Bellande, Betty Milsted and Dr. William Pontius to 4-year terms on the Historic Preservation Commission ending June 30, 2005.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Carvin, seconded by Gill, to appoint Kimberly Beaugez to a 4-year term on the Historic Preservation Commission ending June 30, 2005.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Cody, to reappoint Chet Butler to a 5-year term on the Library Board ending June 30, 2006.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Cody, to reappoint Jack Curl to a 3-year term on the Mechanical Board ending June 30, 2004.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Dalgo, to reappoint Ray Bellande and Heather Furr to 4-year terms on the Museum Commission ending June 30, 2005.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Dalgo, to reappoint Greg Baggett, Sr. and Mary Marr Beckman, and to appoint John Kelly to 3-year terms on the Planning Commission ending June 30, 2004.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Jalanivich, seconded by Cody, to reappoint Paul Campbell to a 3-year term on the Plumbing Board ending June 30, 2004.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Gill, to reappoint Frank Dulany, Mrs. C. B. Fulton and Billy Fulton to 1-year terms on the Taxi Board ending June 30, 2002.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Dalgo, to reappoint Keith Rhodes and Angela Sanders to 3-year terms on the Zoning and Adjustment Board ending June 30, 2004.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Dalgo, seconded by Jalanivich, to appoint Jim Williams to the Tree Committee to fill the unexpired term of Charles Schaffner.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

(Eco. Dev. Foundation Letter)

Motion by Jalanivich, seconded by Cody, to appoint Mayor Ainsworth to serve as the City’s representative on the Jackson Co. Economic Development Foundation Advisory Board.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Dalgo, to accept the Mayor’s resignation from the 911 Commission and appoint Alderman Jalanivich to fill his unexpired term.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Gill, to go into closed session to determine the necessity for an executive session.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Jalanivich, to go into executive session to discuss the Holliday Bill of Exceptions and potential litigation, and personnel within the City.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

The City Clerk announced to the audience that the Board had elected to go into executive session to discuss the Holliday Bill of Exceptions and potential litigation, and personnel within the City.

After approximately one hour the executive session ended.

Motion by Dalgo, seconded by Cody, to resume the regular session.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Cody, seconded by Dalgo, that the City Attorney defend the Holliday Bill of Exceptions and that he be authorized to associate counsel for research and briefing.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

Motion by Carvin, seconded by Cody, to recess until 6:00 p.m. on August 21, 2001.

VOTING AYE ALL

VOTING NAY NONE

ABSENT AND NOT VOTING Alderman McDonnell

______________________________ _____________________________

City Clerk Mayor

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Date Date