Holly Springs Town Council

Regular Meeting

 

November 2, 2004

 

MINUTES

 

The Holly Springs Town Council met in regular session on Tuesday, November 2, 2004, in the Council Chambers of Holly Springs Town Hall, 128 S. Main Street.  Mayor Sears presided, calling the meeting to order at 7:06 p.m.  A quorum was established as the mayor and four council members were present as the meeting opened. 

 

Council Members Present:  Councilmen Ernie Pearson, Chet VanFossen, Peter Atwell and Hank Dickson and Mayor Sears.

 

Council Members Absent: Councilman Parrish Womble (arrived at 7:15 p.m.)

 

Staff Members Present: Carl G. Dean, town manager; Chuck Simmons, assistant town manager; John Schifano, town attorney; Joni Powell, town clerk, (recording the minutes); Wayne Wilhelm of the Public Works Department; Gina Bobber, director of planning and zoning; Scott Hammerbacher, planner II; Stephanie Sudano, director of engineering; Len Bradley, director of parks and recreation; Tamara Ward, public information officer; Luncie McNeil, director of public works; and Drew Holland, finance director.

 

2 and 3.  The pledge of allegiance was recited, and the meeting opened with an invocation by Kenneth George, pastor of The Church of God of Prophecy.

 

4.  Agenda Adjustment:   The Nov. 2, 2004 meeting agenda was adopted with changes, if any, as listed below.                        

            Motion By: Dickson

            Second By:  Atwell

Vote: Unanimous

            Items Added to the Agenda:  None.

            Consent Agenda Items Removed: None.

            Other Changes:  None.

 

5.   Public Hearing: Resolution 04-43 Selling Surplus Real Property - Mr. Schifano said that North Carolina law is fairly restrictive regarding the methods available to municipalities for disposing of surplus real property.  He said that the .17-acre tract owned by the Town, known as the Clothes Closet property, has been used by a local church for several years.  The neighboring property, the Fidelity Bank, has plans to expand its existing location, utilizing the property after demolishing the existing structure.

            Mr. Schifano said in order to enter into negotiations with only one entity, North Carolina’s economic development statute would need to be utilized. This statute requires a public hearing where the Town Council would find that the potential purchaser would stimulate the local economy, promote business, and create jobs above the average wage in town.

He said the bank proposes to purchase the property at full appraised value, paying all closing costs, with no additional consideration.  The request before the Council is to consider adoption of a resolution declaring the property surplus; stating that the Council has made the required findings in order to sell the property by negotiated sale; and authorizing the proper disposition of the property.

Mr. Randy Waller of The Fidelity Bank addressed the Council to provide information so that the Council could determine that the purchase would result in a stimulated economy and create jobs.  He described some of the preliminary plans of the bank to expand its existing location.

With that explanation completed, Mayor Sears opened the public hearing to accept input.  The following comments were recorded:  None.

There being no comments, the public hearing was closed.

Action:  Having found that if the Town were to sell its surplus real property to The Fidelity Bank, it would stimulate the local economy, promote business, and create jobs above the average wage in town, the Council approved a motion to adopt Resolution 04-43 declaring the Town’s real property located on Main Street and commonly known as The Clothes Closet (and formerly known as Town Hall) as surplus to the needs of the Town; and stating that the Council has made the required findings in order to sell the property by negotiated sale; and authorizing staff members to execute the proper disposition of the property by negotiated sale to The Fidelity Bank.

            Motion By:  Dickson

            Second By:  VanFossen

            Vote:  Unanimous

A copy of Resolution 04-43 is incorporated into these minutes as addendum pages.

 

6.  Planning Appreciation Week -  Ms. Bobber said the Town’s planning & zoning department has endorsed the American Institute of Certified Planners’ World Town Planning Day program for the past four years in recognition of the efforts of the Town of Holly Springs to protect and enhance the quality of life for our residents through proactive planning.  Each month, our appointed citizen committees of the Planning Board and the Board of Adjustment volunteer their time to assist staff and the Town Council in the review of proposed development within our Town.

At this time, Mayor Pro Tem Hank Dickson presented a mayoral proclamation declaring the week of Nov. 8 -12, 2004 as Planning Appreciation Week in Holly Springs to coincide with World Town Planning Day, which is celebrated annually on Nov. 8.

 

At this time, 7:15 p.m., Councilman Womble arrived.

 

7.  Consent Agenda:  All items on the Consent Agenda were approved following a motion by Councilman Atwell, a second by Councilman Womble and a unanimous vote.  The following actions were affected:

            7a.  Budget Amendment, $1,730The Council adopted an amendment to the FY 2004-05 budget in the amount of $1,730 to cover the cost of a damaged police vehicle.  A copy of the budget amendment is incorporated into these minutes as an addendum page.

            7b.  Budget Amendment, $24,500 – The Council adopted an amendment to the FY 2004-05 budget in the amount of $24,500 to cover contract change orders for the police station project.  A copy of the budget amendment is incorporated into these minutes as an addendum page.

 

8.  Annexation Ordinance A04-08 – Ms. Bobber explained that the Town held a public hearing Sept. 7, 2004 to receive input on the voluntary annexation of 2.5 acres located at 3732 Old Holly Springs - Apex Road.  The petition, she said, meets all the statutory requirements for annexation; however, the annexation agreement between the Town of Holly Springs and Apex requires that the Town notify the Town of Apex of any annexation petitions within the boundary of the line.

            Ms. Bobber said the annexation agreement between Holly Springs and Apex requires a 60-day notice period prior to the adoption of an annexation ordinance within the vicinity of the line.  Holly Springs notified Apex of the pending annexation and has received a written response from the Town of Apex requesting that Holly Springs honor the agreement and not consider the annexation of this property as Apex has determined that this parcel lies on the Apex side of the agreement line.

She said the Council approved a motion to allow the property owners to tie in to the Town of Holly Springs water line at in-town water rates immediately and to consider the question of annexation of their property at a later date.  Staff is working with the Robertses to provide water service to the residence.  The 60 days required by the annexation agreement has passed.

There was discussion of the annexation agreement.  Council concurred that it would be the right thing to do to annex this property as requested by the owner so that the extension of public water lines of the Town of Holly Springs could be justified.

Action:  The Council approved a motion to adopt Annexation Ordinance A04-08 annexing 2.5 acres owned by Edward D. and Debra H. Roberts, and more particularly described as Wake County Pin(s): 0740.03-02-0962, into the corporate limits of the Town of Holly Springs and a motion to set the zoning, pursuant to the Unified Development Ordinance, at Holly  Springs R-30.

            Motion By:  Atwell

            Second By:  Dickson

            Vote:  Unanimous

A copy of Annexation Ordinance A04-08 is incorporated into these minutes as addendum pages.

 

9a.  Policy Statement No. #P-24, Hydrant Access Procedures and Fees -  Mr. Wilhelm explained that the Town has 10 hydrant meters that are checked out by large-volume water customers to be used in measuring the water they purchase in bulk.  Bulk water customers are generally builders, contractors, street cleaning companies and power-washing companies.  Often, these customers check out the meters and keep them for months at a time as a matter of convenience; however, this presents the Town with the problem of not having a hydrant meter available for a new customer or having to track one down and having it returned.  For this bulk water sales service, the Town charges a $100 deposit, a $15 user fee and $7 per thousand gallons of water drawn from a hydrant as measured by the meter.

            Mr. Wilhelm said that the subject policy, if adopted, would establish a rental fee that may encourage users to return the hydrant meters more promptly.  The policy calls for a daily rental fee to be charged in accordance with the Town’s fee schedule (this year, that fee would be $20-per-day.) Or, a customer can choose to pay a monthly rental fee, to be charged in accordance with the Town’s fee schedule (this year, that fee would be $100 per month.)  The user (account fee) fee of $15 would still apply as would the cost of the water.

            He said that he hopes a rental fee that accumulates over time would encourage users to return the hydrant meters when not in use so that others could use them.  Also, from those who don't mind paying the monthly rent in order to keep the meters for months at a time, funds would be raised to purchase additional meters and to repair those that are damaged.

            Mr. Wilhelm said the proposed rental fees are in line with or less than fees charged in surrounding municipalities.

            In discussion, the Council determined that the suggested $100-per-month rental fee was too low and would not provide much of an incentive for prompt return of equipment.  Members agreed the fee should be increased to $300.

Action:  The Council approved a motion to adopt Policy Statement No. 24 establishing a procedure and rental fees for the use of hydrant meters, with an increase in the suggested monthly rental fee to $300.

            Motion By: Dickson

            Second By: Atwell

            Vote:  Unanimous

A copy of Policy Statement P-24 hydrant meters, as adopted, is incorporated into these minutes as addendum pages.

 

9b.  Policy Statements P-25 and P-26 Community Agency Grant Program Guidelines –  Ms. Powell said at the Council's Oct. 19th meeting, copies of the grant applications received were provided for review.  Also provided was a list of several suggested criteria that had been included in proposed policy statements to establish some guidelines for the Council to use in making awards and for recipients to use in spending and accounting for the funds received.

She said proposed Policy Statement No. 25 addresses the Council's evaluation of applications and enables the Council to provide fair and equitable consideration to applications.  Proposed Policy Statement No. 26, she said, which addresses how funds are to be used, would ensure that public funds are spent for a public purpose and that budget and fiscal control statutes requiring responsible accounting practices for public funds are followed.

She advised the Council that after the draft policies were included in agenda packets, another idea occurred to her.  She said the Council may want to consider adding to Policy Statement No. 25 a provision that an application screening committee be appointed each year to pre-screen the applications and make recommendations to the Council.  The committee, she suggested, could be made up of the mayor, a councilman and a town staff person.  Pre-screening by committee might prove to be less cumbersome, she said.

            In discussion, council agreed that a pre-screening committee should be formed and that the committee should be made up of the assistant town manager, the town clerk and the finance director.  In addition, the Council agreed that both policy statements should be amended to provide no more than 25% of an agency’s operating or project budget, rather than one-third as proposed.

            Councilman Womble questioned why the policies were being proposed and expressed concern that the policies should have been adopted prior to an agency’s applying for funding rather than after.

            Ms. Powell explained that, for that reason, the effective dates of the policy statements were proposed for the day following board action on the current applications and would apply in future years, but not necessarily to the current applications.

Action #1:  The Council approved a motion to adopt Policy Statement No. 25, as amended to provide for a pre-screening committee consisting of the assistant town manager, finance director and town clerk, and establishing guidelines for the Town Council to follow in evaluating grant applications in the Community Agency Grant Program including amendments to establish a target amount cap for funding of $2,500 and no more than 25% of an agency’s operating or project budget.

.

Motion By: Atwell

            Second By: Dickson

            Vote:  The motion carried following a 4-1 vote.  Councilmen Pearson, VanFossen, Atwell and Dickson voted for.  Councilman Womble voted against.

            A copy of Policy Statement No. 25, Grant Program Evaluation Criteria, as adopted, is incorporated into these minutes as addendum pages.

 

Action #2:  The Council approved a motion to adopt Policy Statement P-26, establishing eligibility requirements for application and rules for the expenditure of any funds awarded in the Community Agency Grant Program, including an amendment to establish a target amount cap for funding of $2,500 and no more than 25% of an agency’s operating or project budget.

            Motion By: Atwell

            Second By: Dickson

            Vote:  Unanimous

A copy of Policy Statement P-26, as adopted, is incorporated into these minutes as addendum pages.

 

9c.  Fall 2004 Community Agency Grant Applications – Ms. Powell reported that $32,500 is remaining in the line item for appropriations to community agencies.  As with any funds in the Town's budget, funds awarded from this line item must be used by the agencies requesting the money in ways that benefit the public or provide a service that the Town cannot or does not otherwise provide.  Funds cannot be used for the benefit of a single person or group of persons.  And the Council is not obligated to award all of the available money.

         With that explanation completed, Council began deliberations on each of eight applications for funding.  Applications were received from:  KidsVote, requesting $1,000; Holly Springs Woman’s Club, $2,500; Holly Springs Dance Company, $3,000; Holly Springs Chamber, $45,000 (with a provision that it could make do with $10,000); Wake Education Foundation, $5,000; Hope Line, $600; Holly Springs Assets Build Character, $5,000; and the Martin Luther King Jr. Committee, $9,500. (The Holly Springs Kiwanis Club also had requested $2,500 and was granted $2,500 on Oct. 19 in advance of the club’s Haunted Schoolhouse event in late October.)

         Below are key talking points made for each application:

         KidsVote:  Agency provides a community service directly to local children.

         Holly Springs Woman’s Club:  Agency provides community service directly to the community and has done so for several years.  Agency has a history of fund-raising and does not solely rely on contributions from the Town.

         Holly Springs Dance Company:  Agency provides a community service and raises its own funds. Another point of view was that a public purpose would be hard to define from a service standpoint.  Counterpoint is that the troupe is non-profit and performs in representation of Holly Springs.

            Holly Springs Chamber of Commerce:  Agency should receive financial support from the Town in addition to the funding the Town provides for the community celebrations and projects co-sponsored by the Chamber (i.e. SeptemberFest, Holly Days and the Chamber’s membership directory/phone book).  The inclination is to form a separate new line item for the support of the Chamber. Another inclination is to have separate line items for each Chamber community-wide project mentioned above.  A Memorandum of Understanding for allocation of funds might be advisable.  There needs to be a workshop discussion with the Chamber regarding some of these issues.

            Wake Education Foundation:  The Council does not agree with this agency’s position that seems to be at odds with the philosophy of “community schools,” favoring busing of children.  Council does not believe Foundation directly benefits the community.

            HopeLine:  Some on the Council said they do not know how much of a service is provided directly to Holly Springs.  Some on the Council feel the Town should provide very limited financial support, if any.

            Holly Springs Assets Build Character:  The Council is not certain this agency is still in operation since its original application in July 2004, how many members it has or how the agency intends to spend any funding that might be awarded.  Council also feels the agency has not strived to raise any of its own funds.

            Martin Luther King Jr. Committee:  Some on the Council feel this is a new agency with no proven track record.  Some on the Council feel this agency also should be willing to raise some of its own funds for its event, rather than requesting 100% funding from the Town.  Mayor Sears said there is a grass roots effort.  A representative of the committee explained that grant funding would be used to fund this year’s activities as well as serve as seed money for the future.  Funds would be spent on a speaker, advertising, a souvenir booklet, a reception and travel expenses for speaker, he said.  Council urged the group to seek in-kind contributions.  Council consensus was that the celebration would be a worthwhile project.  Councilman Pearson suggested money plus no-cost assistance, such as sound system and security.  He added that the committee should be able to raise money from the business community pretty easily in the future, too.

            Action #1:  The Council approved a motion to defer action on the Chamber of Commerce funding request until following a Nov. 10 workshop with the Chamber and some members of the Council to discuss the issues that arose during discussions.

            Motion:  Womble

            Second:  Pearson

            Vote:  Unanimous

 

Action #2:  After consideration of applications, the Council approved a motion to award Fall 2004 Community Agency Grants to the following applicants, distributed as follows:  Kids Vote, $750; Holly Springs Woman’s Club, $2,500; Holly Springs Dance Company, $3,000; Wake Education Foundation, $0; Hope Line, $250; Holly Springs Assets Build Character, $0; Martin Luther King Jr. Committee, $4,750 plus in-kind services from the town.

                Motion By: Pearson

            Second By: Womble

            Vote:  Unanimous

 

10. Public Comment: At this time, an opportunity was provided for members of the audience who had registered to speak to address the Council on any variety of topics not listed on the night’s agenda.  The following citizens were heard:  None.

                                   

11.  Other Business:  Council agreed to meet in a mini-retreat beginning at 4:30 p.m. Tuesday, Nov. 30, 2004.

 

12.  Manager’s Report: Mr. Dean advised Council that department heads will be meeting in staff retreat all day Nov. 9 at Bass Lake Park;  he called the Council’s attention to their invitation to an economic development department event for local businesses.

 

13. Closed Session:  None.

 

14.  Adjournment:  There being no further business for the evening, the November 2, 2004, meeting of the Holly Springs Town Council was adjourned following a motion by Councilman Dickson, a second by Councilman Atwell and a unanimous vote.

 

Respectfully Submitted on Tuesday, November 16, 2004.

                       

 

 

 _________________________________

Joni Powell, CMCTown Clerk

Addendum pages as referenced in these minutes follow and are a part of the official record