Town of Holly Springs

Board of Commissioners Regular Meeting

Tuesday, April 18, 2000

MINUTES

The Holly Springs Town Board of Commissioners met in regular session on Tuesday, April 18, 2000 in the Town Board meeting chambers, located in Town Hall, 128 S. Main St. Mayor Gerald W. Holleman presided, calling the meeting to order at 7:30 p.m. A quorum was established as the mayor and four board members were present as the meeting opened.

Board Members Present: Commissioners Tim Sack, John Schifano, Parrish Womble and Hank Dickson and Mayor Holleman.

Board Members Absent: Commissioner Peter Atwell.

Staff Members Present: Richard B. Self, town manager; Ernest C. Pearson, town attorney; Joni Powell, town clerk (recording the minutes); Stephanie Sudano, director of engineering; and Cecil Parker, chief of public safety.

2 and 3. The pledge of allegiance was recited, and the meeting opened with a moment of silent meditation.

4. Agenda Adjustment – The April 18, 2000 meeting agenda was adopted with changes, if any, as listed below.

Motion Made By: Sack

Motion Seconded By: Dickson

Vote: Unanimous.

Items Added to Agenda: Consideration of the Windcrest Farms PUD Preliminary Plan was added to New Business. A Closed Session to discuss acquisition of real property was added as Item No. 10. No others.

Consent Agenda Items Moved to New Business: None.

5a. Harnett Water Line Funding -- Mr. Jackie McLamb of Rural Economic and Community Development (formerly FmHA) addressed the Board with several USDA documents that need to be processed for the financing of the Harnett County water capacity and elevated storage project. The Town plans to participate in a waterline installation project connecting Holly Springs to the Harnett County water treatment plant on the Cape Fear River in Lillington. Fuquay-Varina also is a participant in this project. The cost of this project to the Town of Holly Springs will be approximately $8,100,000. Last summer, voters approved an $8.1 million bond referendum to fund the project; however, a loan for only $6.682 million is needed as the Town has secured a grant that will cover the balance. Security for this low-interest loan from USDA will be general obligation bonds, Mr. McLamb said.

Mr. McLamb detailed each of the forms.

At the end of the presentation, he asked the Board to adopt Resolution 00-06, a loan resolution and its associated USDA Rural Development forms, and the letter of conditions on the loan. The resolution is an official USDA Loan Resolution that commits the Town to adoption of all documents in the packet. Additionally, the resolution designates the Town Clerk and Mayor to execute documents on behalf of the Town. The letter of conditions are the first few pages of the packet, and it sets out the terms of the loan.

Action: Resolution 00-06, a USDA loan resolution committing the Town to adoption and execution of all forms necessary to obtain a loan from the USDA Rural Development, Rural Utility Service, was adopted, including but not limited to the following forms:

Form RD 1942-46 Letter of Intent To Meet Conditions

RUS Bulletin 1780-27 Loan Resolution

Form RD 442-7 Operating Budget for Water and Sewer

Form RD 1940-1 Request for Obligation of Funds

Form RD 400-1 Equal Opportunity Agreement

Form RD 400-4 Assurance Agreement

Form RD 1910-11 Applicant Certification Federal Collection Policies For Consumer or Commercial Debts

Form RD 1047 Certification Regarding Debarment, Suspension and other Responsibility Matters – Primary Covered Transactions

RD Instruction 1940-Q Certification for Contracts, Grants and Loans

Motion By: Womble

Second By: Sack

Vote: Unanimous (4-0)

A copy of Resolution 00-06 and associated forms are incorporated into these minutes as addendum pages.

5b. Alltel Request – Mrs. Sudano explained that Alltel has requested permission to lease space on the Town’s existing elevated storage tank on Lee Street. Staff has met with Alltel regarding the project, and has gone over the Town’s requirements, including a draft lease agreement, she said.

In summary, Mrs. Sudano said, the Town will receive $24,000 annually for leasing the space. It is staff’s suggestion that these funds be placed into an account and accumulated to cover the ongoing costs of inspections and maintenance of the Town’s elevated tanks and tank sites. She added that, under Town code, an individual site plan will be submitted to the Town for administrative approval. She said Alltel’s facilities would be required to meet all Town codes as well as staff review recommendations.

Katherine Wilkerson, an attorney representing Alltel, addressed the Board. Ms. Wilkerson showed the Board members a photo simulation of how the equipment would appear. She said it would serve the area and would eliminate the need for construction of another transmission tower

Commissioner Schifano asked if this would be an exclusive lease agreement. Mrs. Sudano said that it would not.

Action: A lease agreement giving Alltel permission to place antenna equipment on the Town’s Lee Street water tank in exchange for $24,000 annually in rent was approved, contingent upon Alltel’s meeting all other conditions for the approval of the co-location.

Motion By: Sack

Second By: Dickson

Vote: Unanimous

A copy of the draft lease agreement is incorporated into these minutes as addendum pages. An original of the final will be on file in the Town Engineer’s office.

5c. and 5d. Resolution 00-07 and Budget Amendment – Mr. Self presented a proposed resolution approving financing terms with BB&T for the purchase of six Jeeps for the Public Safety Department. Cost of the six vehicles and a emergency call recording device will be the loan amount of $171,724 with an interest rate on the three-year loan not to exceed 5.28%.

BB&T offered the lower rate of the proposals received, Mr. Self said.

A budget ordinance amendment to take in the installment financing proceeds and assign them to the appropriate Town budget accounts so that the purchase can be made also was presented.

Commissioner Schifano suggested taking the old cars and using them as decoys.

Action #1: Resolution 00-07 approving Branch Banking and Trust financing terms on a loan amount of $171,724 for three years at an annual interest rate of no more than 5.28% was adopted

Motion By: Womble

Second By: Schifano

Vote: Unanimous

A copy of Resolution 00-07 is incorporated into these minutes as addendum pages.

Action #2: A budget ordinance amendment in the amount of $171,724 assigning installment financing proceeds to appropriate capital outlay accounts in the Public Safety budget was adopted.

Motion By: Dickson

Second By: Womble

Vote: Unanimous

A copy of the budget amendment is incorporated into these minutes as an addendum page.

5e. Windcrest Farms – Mr. Self reminded the Board that at its April 4 meeting, concerns were raised about street intra-connectivity (or lack of) on the Windcrest Farms preliminary plan. Mrs. Sudano explained that since, developers had met with engineering and planning staff and had addressed the street connectivity issue by looping some of the proposed cul-de-sacs into a more traditional street layout on the plans. She added that she also has met with the engineer on the project regarding drainage concerns.

Action: To approve preliminary plans for Windcrest Farms Planned Unit Development. Motion By: Womble

Second By: Sack

Vote: Unanimous

6. Consent Agenda -- At this time, Mr. Pearson asked that the April 4 minutes be removed from the Consent Agenda and that action to approve be deferred until he has a chance to review them further. All remaining items on the Consent Agenda were approved following a motion by Commissioner Sack, a second by Commissioner Schifano and a unanimous vote. The motion affected the following actions:

6a. Joint Meeting – 7:30 p.m. Monday, May 8 was confirmed as the meeting time and date of a joint session among the Board of Commissioners, the Board of Adjustments and the Planning Board.

6b. No Parking Signs – The Board authorized the reduction in the number of the No Parking signs posted on Cayman Avenue in front of Sonic.

6c. Minutes – Minutes of the Board’s meetings held March 7 and continued on March 16 and March 21 were approved.

7. Public Comments – At this time, a 15-minute period was provided for citizens to address the Board on any variety of issues not listed on the night’s agenda. The following citizens were heard:

Julie Keeler, 517 Cayman Ave. – Mrs. Keeler addressed the Board, asking if there would be discussion with Sonic regarding dying landscaping and litter in the retention pond.

Commissioner Sack said he had talked with the manager of Sonic, who said he was planning to replace much of he dying landscaping after an Easter Egg hunt was concluded on Saturday. The restaurant manager had told Commissioner Sack that he wanted to wait until after the event because the egg hunt would disrupt new plantings.

Mr. Self reported that he had called the Sonic manager regarding litter and weeds in the retention pond. Mr. Self said the restaurant manager assured him that the grass would be mowed and litter removed.

Mrs. Keeler then spoke to the issue of the South Wake Landfill. She said citizen groups understand that Wake County is now required only to accomplish the deficiencies in its permit application before possibly being issued a permit to construct and operate. She said Residents Against the Landfill and the Citizens Action Committee are asking for a response from the Town Board in writing by its next meting to the following suggestions/requests:

1. That a task force be assigned to follow landfill developments and report on them.

2. That the Town Board meet jointly with the county commissioners and discuss the current status and then ongoing joint meetings and report to citizens the results.

3. That legal support be provided to the legal teams opposing the permit.

Mayor Holleman said there has been ongoing and continuous cooperation between the Town Attorney’s office and that of those representing citizens. Mr. Pearson agreed and said that his office would continue to lend cooperation.

4. That Town financial support be given to RAL to meet legal expenses.

5. That communication regarding the landfill issue between the Town and residents be improved.

Commissioner Sack asked how much financial support did the RAL have in mind.

Mrs. Keeler said that the group has raised $30,000 and would like to see the Town match those funds.

No action taken.

8. Other Business -- At this time, the Board, by consensus, deliberated upon the following additional items of business:

8a. CP&L – Mayor Holleman said he felt that the Town Board should consider at its next meeting an up or down vote on the proposed increased storage of spent fuel rods at Shearon Harris.

8b. Joint Meeting – Commissioner Schifano said he felt that the Town should request a joint meeting with the Wake County Board of Commissioners and try to come up with a solution to the landfill problem. Mayor Holleman said a letter requesting a joint meeting with Wake County Board of Commissioners would be issued.

9. Manager’s Reports: Mr. Self reported that the Town of Holly Springs reached a 69% response rate to the recent United States Census. He urged those who did not respond to do so in order for a complete count.

Mr. Self called the Board’s attention to information provided in their packets on a resident’s concern over a greenway behind his property.

Mr. Self introduced Ms. Gina Bobber, who will begin duties as Planning and Zoning Director of the Town of Holly Springs on April 25.

No action.

10. Closed Session – Mr. Self requested that the Board enter into Closed Session for the purpose of discussing potential acquisition of real property and to hold discussions with the Town Attorney protected by the attorney-client privilege. Commissioner Schifano moved that the Board enter Closed Session for these purposes. Commissioner Womble seconded the motion, which carried unanimously. No action was taken in Closed Session.

General Account of Closed Session -- April 18, 2000

The Board and legal counsel discussed the possibility of the Town’s acquiring about 115 acres of property, located off New Hill Road. Mr. Self reported that a property owner has offered the property to the Town for free in 22 months as long as the demolition landfill could stay open that much longer to accept disposal materials. The Board held much discussion on this topic. Direction was given that a development plan for the property be devised to provide an example of how the property would be useful to the Town.

The Board then discussed the recent landfill permit decision with the Town Attorney. Direction was given that the Town attempt to intervene to Superior Court and to continue support of the attorneys representing RAL.

– End of General Account

On return to Open Session:

Commissioner Womble moved that the Board reenter Open Session. Commissioner Dickson seconded the motion, which carried unanimously.

11. Adjournment – There being no further business for the evening, the April 18, 2000 meeting of the Holly Springs Board of Commissioners was adjourned at 10:20 p.m. following a motion by Commissioner Sack, a second by Commissioner Womble, and a unanimous vote.

Respectfully Submitted on Tuesday, May 2, 2000,

______________________________

Joni Powell, CMC

Town Clerk

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