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University City is the only entity that has made a commitment for its portion of the <br />installation. <br /> Mr. Crow stated that he was unsure of how the Collaborative was created, why <br />University City is the only funding source and who would be receiving the funds. Ms. <br />Riganti stated that one component of the EDRST fund is to perform studies and activities <br />that will generate economic development benefits and the study indicates that the <br />installation of fiber on Olive Boulevard will assist in the generation of funds. She stated <br />that this phase is a precursor to the actual construction and development of the project <br />and if Council elects to do so, then the project will move to implementation. She stated <br />that the project has received a letter of endorsement from the Chamber of Commerce, <br />and the concept is supported by the Regional Chamber as well as other entities. <br /> Mr. Crow stated that he really does not see a lot of problems with the budget, and <br />while he does not want to hold things up for $45,000, but the Collaborative just doesn’t <br />seem to quite fit. Ms. Riganti stated that the application as originally submitted had one <br />scope of work and staff felt that it needed to be revised in order for the work to be more <br />beneficial to the community. She stated that staff would be closely monitoring the use of <br />the funds to ensure that it adheres to the intended purpose. Mr. Crow asked if there was <br />a mechanism in place that will allow the City to receive regular updates. City Manager <br />Walker stated that updates would be provided to Council on a quarterly basis. <br /> <br />Dr. Carr stated that there are many good things in the budget however her primary <br />problem is that the firefighters were not included in Cost of Living Adjustment (COLA). <br />She stated that her assumption is that this is a result of the City’s inability to reach an <br />agreement with the Union, which then led to the $60,000 surplus that is found in the <br />budget. <br /> Dr. Carr stated that her specific concern with respect to the EDRST funding the <br />Collaborative and Mr. David Sandel is the fact that this is a no-bid project. She stated <br />that while it is very possible that the City would have reached the same end result, the <br />process would have appeared to be more cohesive if an RFQ had been issued and the <br />normal process had been followed. She stated that she had also conducted research on <br />other cities that have invested in high speed internet and determined that Chattanooga <br />had received roughly 200 million dollars from a Federal grant to initiate their project and <br />that Olive Boulevard already has fiber which was installed by AT&T. Dr. Carr stated that <br />while she has some uncertainties about the context of this particular contract she does <br />believe that high speed internet will be a valuable asset and therefore it would be foolish <br />to say that University City does not need it. <br /> Dr. Carr then noted several minor budget concerns: <br /> <br /> The $30,000 increase in legal fees <br /> <br /> The increase in salary for the City Clerk <br />Dr. Carr stated that she would like to see all of the City’s employees treated fairly, and her <br />belief is that all salary increases should be based on merit, unless there is a change in the <br />parameter of an employee’s job duties. In spite of her concerns, she stated that this <br />appears to be a budget that basically supports the operations of the City and she would <br />be voting in favor of its approval. <br /> <br />City Manager Walker stated that there were a couple of points that he wished to clarify. <br />Number one, with respect to the cost of living adjustment. During negotiations firefighters <br />had been offered the same two-percent cost of living increase that was offered to all other <br />City employees. He stated that the firefighters’ union rejected the increase and given the <br />agreement that the City has with the Union, the City is not in the position to make a <br />unilateral decision on this increase. Number two, with respect to legal fees, he stated that <br /> <br />