Town of Holly Springs
Board of Commissioners Regular Meeting
Monday, Jan. 8, 2001
(Regular Meeting Rescheduled from Jan. 2, 2001)

MINUTES

The Holly Springs Town Board of Commissioners met in regular session on Monday, Jan. 8, 2001 in the Town Board meeting chambers, located in Town Hall, 128 S. Main St. Mayor Pro Tem and Acting Mayor Hank Dickson presided, calling the meeting to order at 7:30 p.m. A quorum was established as five commissioners were present as the meeting opened. The meeting was held on Monday, Jan. 8, 2001 in lieu of Tuesday, Jan. 2, 2001 in light of holiday office hours.

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

Board Members Absent: : Mayor Gerald W. Holleman, who had resigned from his position, effective 5 p.m. Thursday, Jan. 4, 2001.

Staff Members Present: : Richard B. Self, town manager; Barbara Pearson, attorney, sitting in for the Town Attorney; Ernest C. Pearson, town attorney (arrived at 8:15 p.m.); Joni Powell, town clerk (recording the minutes); Cecil Parker, chief of public safety; Gina Bobber, planning director; Len Bradley, director of parks and recreation; Stephanie Sudano, director of engineering; Drew Holland, interim finance officer; and Jennifer Carr, director of economic development.

2 and 3. The pledge of allegiance was recited, and the meeting opened with an invocation by Rev. Don Brown of the Village Church of Holly Springs.

At this time, Acting Mayor Hank Dickson announced publicly that Mayor Gerald W. Holleman had resigned from his position with the issuance of a memo on Thursday, Jan. 4, 2001. Mayor Pro Tem thanked Holleman for his service. The text of the memo body follows for the record:

"Colleagues:

A wise person once told me, "When you serve in political office for any length of time and feel yourself turning bitter, it is best for you and for those you serve to leave office." I find myself at that stage in my political career; therefore, I respectfully submit my resignation, effective at 5 p.m. Thursday, Jan. 4, 2001.

I have thoroughly enjoyed seeing the Town of Holly Springs grow over the past 17 years. I have seen much progress and much change, and I have few regrets. I am disappointed that the Downtown Center that is envisioned has not yet begun to take shape, and I must admit that this is one of the factors for my decision. My hope for Holly Springs is that one day this will become a reality.

In parting, I urge you to recognize that the staff of the Town of Holly Springs is made up of knowledgeable professionals who have dedicated their careers to public service. I am proud of the staff that has been assembled, and I urge you to work in cooperation with them for the continued betterment of the Town of Holly Springs.

Thanks largely to the hard work and dedication of the town staff, the Town is in the soundest financial condition it has been in in the 17 years I have had the pleasure of being mayor. I am comfortable in leaving the Town organization at this time and am confident the Town is well on its way to a bright future.

As for my own future, I have always believed that any one who desires to own a home should have that opportunity. This has always been a special interest of mine, and I intend to redirect my time and energy to projects that promote affordable housing.

I thank each of you for your input and support over the years and I wish you the best as you work to shape this Town. I will be glad to assist you in any way I can, just give me a call at home.

- GWH"

4. Agenda Adjustment - TThe Jan. 8, 2001 meeting agenda was adopted with changes, if any, as listed below.

Motion Made By: Atwell
Motion Seconded By: Schifano
Vote: Unanimous.
Items Added to Agenda: : A Closed Session to discuss a personnel matter relating to the Town Manager; to discuss personnel; appointments to the in-town alternate positions that exist on the Holly Springs Board of Adjustment was added to Unfinished Business.
Consent Agenda Items Moved to New Business: : Action on adoption of an amended and updated personnel policy was deferred until commissioners have had more time to read the document.
Other Changes: None.

5. Public Hearing: Ordinance 00-01 - Ms. Bobber explained that, in November, staff presented a status report on the effectiveness of the Weekend Directional Sign Ordinance. At that time, she reported that the major area of difficulty with enforcement of the ordinance was the required 10-foot setback from the edge of pavement, due to severe restrictions at several major intersections. Discussion was held on various enforcement issues, and it was determined that a reduction in the required setback would be appropriate, she said.

The proposed amendment to the zoning ordinance reduces the setback to five feet from the edge of pavement, she said. The ordinance was reviewed by the Planning Board and was well-received, Ms. Bobber reported. She added that the Planning Board and staff recommend adoption of the ordinance.

With that explanation completed, Mayor Dickson opened the public hearing. There being no comments, the public hearing was closed.

6a. Ordinance 01-02, AOL-Time Warner Franchise - Mr. Dave Permar addressed the Board, giving background on the process of the negotiating team. He said the model franchise ordinance before the Board this evening is being presented to all Triangle J Council of Governments members and it is very much like the franchise ordinance adopted by the City of Raleigh.

Mr. Permar outlined the highlights of the model ordinance. He said the franchise ordinance provides for a 10-year term and a 5% franchise fee for the Town; it requires the cable television company to serve the entire town, subject to a 30-homes-per-mile provision; it references customer service standards; it provides for up to six PEG access public channels phased in between now and Jan. 2003; and the Town can decide whether to impose a PEG capital charge of 18 cents per subscriber per month; however, that money can only be used for capital expenses like equipment (no funding for operations).

Mr. Permar said the model franchise ordinance represents considerable give-and-take on the part of both parties and is a good final product following years of negotiating.

Mr. Permar reported that Mr. Self has met with Brad Phillips of Time Warner to speak in terms of equipping the Board Meeting Chambers with broadcast equipment and government channel features for the Town in exchange for additional concessions. He summarized that the changes to the model ordinance would be that Time Warner receives a 15-year term and additional language that would require other cable television companies that come into town to be required to have a phased and reasonable build-out. In essence, any television cable company that ventures in to serve Holly Springs would have to serve the entire town as Time Warner is being required to do.

Mr. Permar said he estimated that Time Warner would have to provide between $50,000 and $75,000 plus head-end equipment with no increase in cable bills in order to provide the Town what the Town Manager is requesting.

Commissioner Sack pointed out that he felt the phased PEG language needs to be adjusted to between 1 and 7 and 8 and15, if the Town goes to a 15-year franchise.

Commissioner Schifano said he had serious concerns about the build-out provision Time Warner is requesting. He said it may thwart competition and didn't know if it would be worth the amount of money that Time Warner may be offering.

During this open discussion, the Board invited the public to feel free to comment and ask questions. No comments or questions were offered.

No action taken.

6b. Audit Report - Chris Abbott of Duke & Abbott CPAs presented the annual audit report and management letter concerning FY 1999-2000 financial operations. The auditor gave the Town mostly favorable comments and offered suggestions for improvement.

Mr. Abbott commended the Town for being able to contribute about $912,000 into the General Fund Fund Balance.

Action: The Board approved a motion to accept the annual audit report and management letter.
Motion By: Schifano
Second By: Womble
Vote: Unanimous
A copy of the management letter is incorporated into these minutes as addendum pages.

7a. Ordinance 01-01 - The Board approved a motion to adopt Ordinance 01-01 reducing the required distance of weekend directional signs from the edge of pavement from 10 feet to 5 feet.

Motion By: Atwell
Second By: Schifano
Vote: Unanimous

7b. Ordinance 01-02 - - Mayor Dickson provided a first reading of proposed Ordinance 01-02, a cable television franchise ordinance for AOL-Time Warner. Commissioner Schifano said he still has reservations about suggested changes to the model ordinance, particularly because of the build-out provision that might thwart a cable company from coming in with intentions of serving only the industrial park, for instance.

Action: The Board approved a motion to approve the first reading of Ordinance 01-02 as presented and to defer action on any proposed verbiage changes until Jan. 16, 2001 when more information could be provided as to the cost of equipping the Town with broadcast capabilities.
Motion By: Schifano
Second By: Atwell
Vote: Unanimous

7c. CCGC Appointment - On nomination by Commissioner Atwell, the Board approved a motion to appoint Keri Jackowski of Holly Springs to the Commercial Corridor Growth Committee to replace Christine Anderson who can no longer serve.

Motion By: Schifano
Second By: Sack
Vote: Unanimous

7d. Board of Adjustment Appointment - Mayor Dickson advised that he had talked to some of those who had applied for the Planning Board and had determined that one applicant, Mark Fowle, was interested in serving on the Board of Adjustments as an alternate, if needed. He nominated Mark Fowle to the position.

Action: The Board approved a motion to appoint Mark Fowle to the Board of Adjustments as an in-town alternate to serve out the unexpired term of Lesli Doares, who was recently moved to a full-time position
Motion By: Schifano
Second By: Atwell
Vote:Unanimous

8. Consent Agenda - All remaining items on the Consent Agenda were approved following a motion by Commissioner Sack; a second by Commissioner Atwell; and a unanimous vote. The following actions were approved:

8a.. Rezoning Petition 00-REZ-15 requesting C-1 zoning classification for property located at the intersection of Holly Springs Road and Sunset Lake Road.
8b.. Resolution 01-01 amending Resolution 00-25 adopted Nov. 7, 2000 to allow successors so titled or his assigns or those assigned by his successors so titled" to process paperwork regarding grant funds in the absence of former Mayor Holleman.
A copy of Resolution 01-01 is incorporated into these minutes as an addendum page.
8c. A budget amendment in the amount of $3,150 to accept and assign funds from a grant award from the North Carolina League of Municipalities for the administering of an employee assistance program.
A copy of the budget amendment is incorporated into these minutes as an addendum page.
8d. A policy proposed by the Town Manager addressing vehicles and drivers of the home fleet system.
A copy of this policy is incorporated into these minutes as addendum pages.
8e. Personnel Policy -- action was deferred in Agenda Adjustment].
8f. The regular meeting schedule for Calendar Year 2001.

9. Public Comment - At this time, a 15-minute time period was offered for citizens to provide comments on any variety of topics not on the night's agenda. The following comment was offered:

Don Baxter, 701 Bahama Ct. - Mr. Baxter addressed the Board regarding the Town's sign ordinance. He questioned why the Town has an application fee for businesses because, obviously, a business is going to have a sign. He said he didn't think business should be penalized or have to get permission to have signs.

He said if the intent is to regulate, then that could be taken care of prior to issuance of a Certificate of Occupancy. He asked the Board to take that under consideration.

10. Other Business -

10a. Town Board Vacancy -- The Board directed that the Town advertise the vacancy and accept applications from interested citizens. The Board set a deadline of 8 a.m. Jan. 16 for applications to be returned to Town Hall so that they can be compiled and made available to Board members by noon that day. The Board intends to make a decision that evening, if feasible.

10b. Stafford Land Company Invoices - Mr. Self advised the Board that developer Bob Stafford questions the accuracy and/or appropriateness of some outstanding invoices on file with the Finance Office. Mr. Stafford is asking that the invoices be "written off." Mr. Stafford maintains that there is uncertainty regarding the invoices, which amount to less than $1,500. Mayor Dickson explained that the invoices are unrelated, but are nevertheless tied to, whether or not a project planned for downtown by Mr. Stafford will be built. In the end, the Board agreed that the invoices could be written off in order to get the project cleared.

Action: : The Board approved a motion to write off outstanding invoices purportedly owed the Town by Bob Stafford.
Motion By: Sack
Second By: Schifano
Vote: Unanimous

11. Town Manager's Reports - None.

12. Closed Session - The Board approved a motion to recess for 10 minutes before reconvening and entering Closed Session for the purpose of discussing a personnel matter relating to the Town Manager and to hold discussions with legal counsel.

Motion By: Schifano
Second By: Atwell
Vote: Unanimous

General Account of Closed Session - Jan. 8, 2001

The Board discussed with the Town Manager certain job performance issues. The Board also received information from the Town Attorney regarding a number of active legal cases involving the Town. No action was taken in Closed Session.
- End of General Account

Mayor's Seat -- On return to Open Session, the Board agreed by consensus to discuss one additional topic, that of the mayoral seat vacancy. Acting Mayor Dickson suggested that the Board appoint senior Board member Parrish Womble to the mayor's chair to fulfill the unexpired term of former Mayor Holleman, who resigned the position on Jan. 4, 2001. The terms of Womble and Holleman have the same expiration date, December 2001.

Mayor Womble said he would accept the nomination. There were no other nominations

Action: The Board approved a motion to appoint senior Board Member Parrish Womble as Mayor of Holly Springs by acclamation.
Motion By: Sack
Second By: Schifano
Vote: Unanimous

13. Adjournment - TThere being no further business for the evening, the Jan. 8, 2001 meeting of the Holly Springs Board of Commissioners was adjourned following a motion by Commissioner Sack, a second by Commissioner Schifano, and a unanimous vote.

Respectfully Submitted on Tuesday, March 20, 2001,


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