City considering payment change on theater
Two new department heads begin work

by Roger Bell
The Daily Herald Staff Writer
Published/Last Modified on Wednesday, December 2, 2009 1:23 PM EST

ROANOKE RAPIDS — The city is negotiating a new payment plan with the Bank of America to help ease the cash flow demands on Lafayette Gatling’s efforts to purchase the Roanoke Rapids Theatre.

Roger Bell | The Daily Herald Tuesday evening, Roanoke Rapids City Manager Paul Sabiston discussed his meeting with Bank of America regarding possible new terms for The Roanoke Rapids Theatre loan at the City Council’s work session.



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City Manager Paul Sabiston discussed his meetings with bank officials with the Roanoke Rapids City Council during a Tuesday evening work session.

The Council also welcomed two new members of the city’s management team — Planning Director Amanda Jarratt and Parks and Recreation Chief John Simeon.

Just retired Parks and Recreation Director Chris Wicker’s bid to become a consultant to the city was revived and this time won council approval.

Sabiston told the council he met with Bank of America on the city’s behalf to work out a more flexible payment schedule for the $21.5-million bond package used to build the Roanoke Rapids Theatre.

The idea is to create a restructured payment schedule without refinancing so the city could then turn around and offer the same flexible plan to Gatling, a Chicago-based businessman who signed a lease-purchase agreement for the theater last year.

Gatling has already paid the city $1,102,420.02 and has a $98,203.49 payment due in December.

Sabiston told Council the bank asked for a short-term business plan from the Gatlings in order to better understand the purpose of the request for extra time. The bank wants to determine what the Gatlings will do with the time. The city manager expects the Gatlings to produce the plan by mid-December.

Sabiston said once the business plan is in place and the city is convinced of its effectiveness, the city would be confident in continuing the negotiations with Bank America “seeking flexible terms we can then pass on.”

The bank is also requesting a letter of credit for the city in order to restructure the loan, which Sabiston said is required by the current bond agreement. He said the bank will try “as hard as they can to make sure the terms are the same” as the current loan, which would avoid additional interest payments for the city. Should a higher rate come out of this, Sabiston told Council he would seek an agreement where the Gatlings would pay the additional interest. The letter isn’t due until March of 2010.

The city manager said he was pleased with the meeting. “All in all it was a good meeting,” he said. “But I couldn’t tell you right now what the results will be.”

Councilman Ernest Bobbitt expressed concern over the possibility the bank might not offer the new terms, but Sabiston pointed out the city still has an existing agreement with the Gatlings, although Sabiston himself expressed some misgivings about the theater’s operations thus far.

“I personally have not been entirely satisfied with what they’ve produced there,” Sabiston said. “I think they need to produce more.”

However, the city manager also offered confidence in the Gatlings. “I think they’re doing their best and their interest is to succeed,” he said. “They’re doing their best and they’re making their payments.”

In addition to the report about the theater, the council also revisited the matter of hiring former Parks and Recreation Director Chris Wicker as a part-time employee for the city with his principal role being a grant writer. This measure was defeated at the Nov. 10 regular meeting, but Mayor Drewery Beale placed it back on the agenda.

“I respect the comments made at the meeting,” Beale said in reference to the November vote. “If the (city) department heads do the jobs they’re hired to do they won’t have time to (write grants) and meet their responsibilities.”

“In the last decade or even 20 years,” Sabiston told the council, “there are more grants available to local governments than ever before.” Sabiston went on to add Wicker is familiar with grant writing procedures and because he will be working with all city departments, Wicker would be in a position to find grant opportunities for one department while writing one for another.

The position for which Wicker would be hired pays $25 an hour with a maximum of 1,000 hours per year, plus mileage reimbursement for city-related travel. Sabiston clarified both parties could terminate the contract at any time — the first term is six months with renewals every year after — with the city only responsible for payment of any hourly work performed up until the date of termination.

Councilman Bobbitt, who voted against the measure in November, expressed misgivings this time as well. “My differences were not with any individual and certainly not with Chris,” he explained. “I’m still not satisfied with the status of the (Roanoke Rapids Theatre.) I think we need to watch our money. Money’s tight; I don’t know where it’s going to be coming from.”

In the end, Council hired Wicker. He’ll be eligible to begin work in January. Sabiston also put forth a proposed budget schedule for Fiscal Year 2010-11. The process begins Jan. 5 with periodic meetings until June 15.

In other business, Council welcomed the new planning director to her first work session and received the first report from Simeon in his new role as director of Parks and Recreation.

Public Works Director Richard Parnell told Council the inmate labor program, which began the week prior to Thanksgiving, has been going well. Four of the 10 inmates have been doing street cleanup for Public Works, the other six have been putting up fencing for the Parks and Recreation Department at Smith Park, with Long Park slated next.

Parnell also told council the Opportunity Clean Sweep measure has resulted in more than 1,000 violations and the city will be fully inspected by next week. “I hope council hasn’t been overwhelmed with phone calls about this,” Parnell said. He added 21 sheds had been demolished as a result of the measure and the city has disposed of 159.13 tons of debris at a cost of $7,528.44. Public Works also reported they have three trucks collecting leaves and are planning a fourth truck soon in order to complete leaf collection by Christmas. Parnell concluded by saying the North Carolina Department of Transportation would be painting the lines on parking spaces along Roanoke Avenue in January.

Police Chief Jeff Hinton reported his patrol units answered 2,389 calls in November and detectives had cleared 52 of the 118 cases they investigated during the month resulting in 51 charges. The department is also working with schools on recognizing gangs.

Fire Chief Gary Corbet told council November had been a slow month, “which for us is a good thing.” His department has focused on in-house training.

Parks and Recreation announced the Christmas on the Canal celebrations for Dec. 5 from 10 a.m. to 5 p.m., and had a reminder of the tree lighting ceremony for Dec. 3 in Veterans Memorial Park. The festivities begin at 6 p.m., with the tree lighting at 6:35 p.m.

Planning and Development reported issuing 19 building permits worth $2,805,124 and 77 other permits totaling $12,159.80.

Sabiston reported the Main Street Golden Leaf Grant Application is down to the final eight, with full applications due Jan. 4. The application for the Patterson property failed. Sabiston also made Council aware of the request by the Roanoke Avenue Business Alliance (RABA) for a Main Street director and when one is hired, be a city employee but only engage in Main Street business. RABA would pay the position’s salary, but the city would pay the benefits.

Councilman Carl Ferebee expressed the desire for more information on this idea. “I would need a whole lot more details on this before I could say yea or nay,” he said. “I can see some issues that would arise from that.” He cited the possibility that RABA could run out of money, which would put the city in a position to have to decide whether to take on the director’s salary or cut the position loose. Sabiston told Council he was not seeking action during this session but would investigate the costs associated with it and other details to present to council in the future.

After good news from Finance Director MeLinda Hite — the city’s revenues exceeded expenditures by $1.5-million in November, Human Resources Director Kathy Kearney reported the police department was down to two vacancies; they began the month with four. Kearney told Council she’s still working on the pay study for Public Works; she completed the November pay study for the police department that led to raises last month effective in 2010.

Councilman Bobbitt gave his thanks to city employees, stating they’d all “done a great job with what they had.” Councilman Ferebee invited incoming council members Greg Lawson and Suetta Scarbrough along with incoming Mayor Emery Doughtie to join him in touring the city in order to see what each district needs. Councilman Ed Deese pointed out this would be his final work session. “Mr. Mayor it’s been an honor to serve on this board with you as mayor,” Deese said.

Outgoing Mayor Drewery Beale concluded his final work session by passing on best wishes to the new council. “I wish the new council the best of luck,” Beale said. “And I’m sure they will act in the best interests of the city of Roanoke Rapids.”

Councilman Jon Baker was not present. He is recovering from back surgery and will miss the Dec. 8 regular meeting as well.

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