0812201474
MINUTES
CITY OF DUNN
DUNN, NORTH CAROLINA
The City Council of the City of Dunn held a Regular Meeting on Tuesday, August 12, 2014, at 7:00
p.m. in the Dunn Municipal Building. Present was Mayor Oscar N. Harris, Mayor Pro Tern Buddy
Maness, Council Members N. Carnell Robinson, Frank McLean, Billy Tart, Chuck Turnage and
Billy Barfield. Also present was City Manager Ronnie Autry, Assistant City Manager Steven
Neuschafer, Finance Director Drew Holland, Public Works Director Billy Addison, Public Utilities
Director Dean Gaster, Chief Building Inspector Steven King, Planning Director Samantha
Wullenwaber, Police Chief Jimmy Pope, Human Resources Director Anne Thompson, Recreation
Director Perry Hudson, Librarian Mike Williams, City Engineer Michael Goliber, City Attorney P.
Tilghman Pope, Administrative Support Specialist Melissa Dudley and Daily Record Reporter
Keilah Goff.
Absent: City Clerk Debra West
INVOCATION
Mayor Harris opened the meeting at 7:00 p.m. and asked Police Chaplain Reverend Dennis Manuel, to give
the invocation. Afterwards, the Pledge of Allegiance was repeated.
AGENDA ADJUSTMENT AND APPROVAL
Motion by Mayor Pro Tern Buddy Maness and seconded by Council Member Billy Barfield to adopt the
August 12, 2014 meeting agenda with changes, if any, as listed below.
Items Added to the Agenda:
• Authorization for Community Service Contribution to Friends of the Howard House FY 14 -15
Agenda Items Removed:
• none
Motion unanimously approved.
PRESENTATIONS
Proclamation Presentation -
Midway Raiders Baseball -
NCHSAA 2 -A Championship
Mayor Harris, Manager Autry and Recreation Director Hudson presented a Proclamation to the Midway
High School Raiders Baseball Team in recognition of winning the State 2 -A Baseball Championship on
June 7, 2014. A copy of Proclamation. (P2014 -15) recognizing the Midway High School Raiders Baseball
Team is incorporated into these minutes as Attachment #1.
PUBLIC COMMENT PERIOD
Mayor Harris opened the floor for a (30) minute public comment period.
Mr. James Clark, 611 N. Wilson Avenue, Dunn, NC asked about the status of the Harnett Training School
Campus Senior Apartments Project. Mayor Harris responded that the public comment period is not for
questions and answers but he would answer this question by saying that it is still a work in progress.
Mayor Harris recessed the Council meeting and opened Public Hearings at 7:15 pm.
PUBLIC HEARINGS
USDA Loan Application
Purchase of Police Vehicles
Mayor Harris stated that the public has been notified that the Dunn City Council will receive comments
concerning the City's desire to secure a loan from the United States Department of Agriculture, Rural
Development to obtain sufficient funds to secure a loan and grant for the purchase of six (6) vehicles for the
Police Department.
He stated that the public hearing is the opportunity for the Council to hear comments and opinions from the
public to include any party for or against the proposed loan application.
The public hearing was duly advertised on July 29, 2014.
Mayor Harris asked if there was anyone present who wished to speak for or against this loan application.
Mr. Rossie Bullock, USDA Area Director, addressed the key items within the Letter of Conditions. The
Letter of Conditions describes the financing in the amount of $137,000 at an interest rate of 4% over a
period of seven (7) years and a grant in the amount of $23,000 to purchase six (6) police vehicles. The
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current interest rate of 4% will be fixed; however, if the interest rates drop between now and the time of
loan closing, the City of Dunn would receive the benefit of the lower rate.
Mr. Bullock explained that if the Council accepts the Letter of Conditions and the funding that is presented,
he would ask that they allow the Mayor and Clerk to execute all necessary documents in order to secure the
benefit of this funding.
Hearing no further comments, Mayor Harris closed the public hearing.
Demolition of House
1100 N. Layton Avenue
PIN #1517- 704935.000
Mayor Harris stated that the public has been notified that oral and written comments will be heard and
received concerning the demolition of the dwelling owned by James H. Leggett, Jr. and wife, Vivian M.
Leggett and located at 1100 N. Layton Avenue.
The public hearing was duly advertised on July 25, 2014 and August 1, 2014.
Mayor Harris asked if there was anyone present who wished to speak for or against the proposed
demolition.
Mr. James Leggett, owner of the property, stated that he had talked to the Building Inspector before
beginning any work on this house but then his brother Reno died and three months later in April, he woke
up to a fire in his house. He stated that he is going to fix this house but he is more thankful to still be here.
He took money from his retirement account to begin repairing the house but he had to use it for a son that
will start college next week. He is slowly taking money to try to complete the repairs. He stated that the
only thing that burned in the house was some sheetrock and the side of the house. He does home repairs
for a living. It is taking more money and time to tear out and haul materials to the landfill. He's worked
hard for his house and doesn't want to lose it. Presently, he's staying in his daddy's rental house while he
repairs this house. He's talked with Inspector King and explained what has been going on. He needs more
time to repair this house.
Mayor Harris asked Chief Building Inspector King to address this matter. Mr. King stated that this house
burned on April 11, 2014 and the process is to usually condemn a house that has been burned. The hearing
with Mr. Leggett was held by telephone and he was given 60 days which have expired. Mr. Leggett has
done some clean-up; he has not purchased a permit to do the repairs. Mr. King explained that he only has
authority to grant him 60 days; however if the Council grants him an extension, he will support that. Mr.
King stated that with an additional 60 days, Mr. Leggett could make progress.
Mayor Hams asked if there was further comment from the public.
Mr. James Clark, 611 N. Wilson Avenue, Dunn, stated that he would want the same courtesy to be afforded
him and asked that Mr. Leggett be given more time.
Hearing no further comments, Mayor Harris closed the public hearings and reconvened the regular meeting
at 7:24 p.m.
Minutes — Council considered approval of minutes of the July 8, 2014 City Council meeting
Monthly Performance Status Report-HTC — Council considered approval of Status Report for the month of
July, 2014 for the NC Catalyst Grant 12 -C -2476 — Harnett Training School Apartments Project.
Budget Amendments - Council considered approval of Budget Amendments #1 & 2. A copy of BA #1 & 2
is incorporated into these minutes as Attachment #2.
Destruction of Municipal Records - Council considered approving the destruction of Finance Department
records which have exceeded the required retention time pursuant to the Municipal Disposition Schedule.
A list of those records that have exceeded the required retention schedule and approved for destruction is
incorporated into these minutes as Attachment #3.
Motion by Council Member Barfield and seconded by Council Member McLean to approve all consent
items. Motion unanimously approved.
ITEMS FOR DECISION
Consideration to Adopt a Resolution and
Accept the Letter of Conditions for
USDA Loan/Grant Application —
Police Vehicles
The Council is being asked to accept a loan offer not to exceed $137,000 and a grant not to exceed $23,000
from the USDA for the purpose of purchasing six (6) Police Vehicles in FY 2014 -15.
City Manager Autry explained that the City obtained a similar loan/grant last year and this does allow the
grant to fund one car at no cost to the City. The debt service payment will begin in FY 2015 -16.
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Motion by Council Member Robinson and seconded by Mayor Pro Tem Maness to adopt the Resolution
and authorize the Mayor to execute documents associated with the USDA loan/grant application. Motion
unanimously approved. A copy of the USDA Resolution (R2014 -14) is incorporated into these minutes as
Attachment #4.
Consideration of Ordinance to
Demolish House -
1100 N. Layton Avenue
PIN #1517 -70- 4935.000
Mayor Harris stated that Chief Building Inspector Steven King has conducted an inspection at 1100 N.
Layton Avenue and based upon his observations and due to the house being burned on April 8, 2014, the
structure failed to comply with the minimum standards of fitness established by the minimum housing code
of the City of Dunn. The Building Inspector also found the dwelling dangerous or prejudicial to the public
health or public safety and is a nuisance in violation of G. S. § 160A -193.
The owner of the property has failed to comply with the Building Inspector's order and according to
N.C.G.S. § 160A -443, the City Council has the power to proceed with demolition of this property.
Council Member Robinson asked Mr. Leggett if he felt that 60 days would be adequate time to make the
repairs. Mr. Leggett responded he would put his best effort forward.
Motion by Council Member Robinson and seconded by Council Member Barfield to table this matter for
60 days. (PIN #1517 -70- 4935.000). Motion unanimously approved.
Memorandum of Understanding between
The City of Dunn and Love's Travel Stops —
Sewer Improvements
With no objections from the City Council, Mayor Harris deferred action on this matter until the September
Council meeting due to ongoing negotiations between all affected parties.
Award Bid —
Love's Travel Stops
Sewer Improvements
With no objections from the City Council, Mayor Harris deferred action on this matter until the September
Council meeting due to ongoing negotiations between all affected parties.
Trustee's Cancellation for the
Deed of Trust —
307 E. Harnett Street
Attorney Pope explained that the City Council is being asked to release the lien in the amount of
$18,500.00 for the property located at 307 E. Harnett Street and owned by the heirs of Novella P. Rawlings.
This particular property was rehabilitated in 1998 under the Small Cities Community Development Block
Grant Program administered by the State of North Carolina, Department of Commerce, Division of
Community Assistance and is recorded in Harnett County at Book 1309, Page 769, dated November 13,
1998.
The terms of the loan have been satisfied and therefore, the Council is being asked to authorize the Mayor
to execute the Notice of Satisfaction of Deed of Trust.
Motion by Council Member Robinson and seconded by Council Member Tart to authorize Mayor Harris to
execute the Notice of Satisfaction of Deed of Trust for Novella P. Rawlings, 307 E. Harnett Street. Motion
unanimously approved. A copy of the Notice of Satisfaction of Deed of Trust is incorporated into these
minutes as Attachment #5.
Capital Project Ordinance -
Dunn City Hall & Harnett Training School
Renovations
City Manager Autry explained that this ordinance will need Council approval so that the budget for this
project can be established for accounting purposes. The capital project ordinance will take the place of an
annual budget ordinance, because it is not part of the City's recurring operations and expenditures and will
continue for the life of the project.
This project is related to improvements to City Hall & Harnett Training School.
This project will be paid through installment financing. An interest only payment will be made in fiscal
year 15 -16. The first annual debt payment will be made in fiscal year 16 -17 and will be reflected in the
General Fund operating budget.
Motion by Mayor Pro Tern Maness and seconded by Council Member McLean to adopt the Capital Project
Ordinance for the "Dunn City Hall & Harnett Training School Renovations ". Motion unanimously
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approved. A copy of Capital Project Ordinance (02014 -13) for "Dunn City Hall & Harnett Training
School Renovations" is incorporated into these minutes as Attachment #6
Authorization to Replace
Clarifier at Wastewater Treatment
Plant and Approve Budget Amendment #3
Manager Autry explained that replacement of all components of a clarifier at the Wastewater Treatment
Plant was scheduled for this past fiscal year but was delayed and removed from the FY 14 -15 budget due to
budget constraints. It was discussed during the budget work sessions that if the clarifier deteriorated
further, we would recommend replacement with funds from the Enterprise Fund Surplus. If approved, this
project should be complete by November, 2014.
An appropriation of $112,500 is requested from the Enterprise Fund Balance.
Motion by Council Member Barfield and seconded by Council Member Robinson to approve replacement
of components in the clarifier in the amount of $112,500 and approve Budget Amendment #3. Motion
unanimously approved. A copy of Budget Amendment #3 is incorporated into these minutes as
Attachment V.
Resolution for Approving the
2012 Dunn Local Water Supply Plan
Manager Autry stated that the 2012 Dunn Local Water Supply Plan must be adopted by the City Council
and a copy of the signed resolution must be submitted to Linwood Peele, Chief of the Water Supply
Planning Section of the North Carolina Department of Environment and Natural Resources, Division of
Water Resources to be compliant with the requirements of N.C.G.S. 143 - 355(1).
Mr. Autry explained that the 2012 LWSP was submitted to the Water Supply Planning Section of the North
Carolina Department of Environment and Natural Resources, Division of Water Resource in the early part
of 2013 for review. In June 2014, the plan was reviewed by Mr. Vardry Austin and comments and
questions were sent to the City of Dunn for response. After addressing all comments and questions and
submitting requested data, the 2012 Dunn Local Water Supply Plan is deemed to meet minimum criteria
established in N.C.G.S. 143 - 355(1).
Motion by Council Member Tart and seconded by Council Member McLean to adopt the Resolution
Approving the 2012 Dunn Local Water Supply Plan. Motion unanimously approved. A copy of
Resolution (R2014 -15) approving the 2012 Dunn Local Water Supply Plan is incorporated into these
minutes as Attachment #8.
Amendment to the Water Purchase Contract
Between the City of Dunn and the
Town of Falcon
Manager Autry stated that the Council is being asked to amend the Water Purchase Contract made on the
6'h day of September, 1990 between the City of Dunn and the Town of Falcon to reflect a minimum
quarterly usage of not less than 7.2 million gallons, or approximately 80,000 gallons per day. The issue of
stipulating minimum usages within water contracts was discussed by the City Council during the FY 2014-
2015 budget work sessions.
Motion by Council Member McLean and seconded by Council Member Barfield to adopt the Amendment
to the Signed Agreement made on the 6" day of September, 1990 between the City of Dunn and the Town
of Falcon. Motion unanimously approved. A copy of the Amendment to the Water Purchase Contract
between the City of Dunn and the Town of Falcon is incorporated into these minutes as Attachment #9.
Mayor Harris explained that this will bring the Town of Falcon in line with guaranteeing a minimum usage
in their water contract which will result in a lower government bulk rate charge of $2 per 1,000 /gallons.
For informational purposes, Manager Autry advised the Council that he has been contacted by Sampson
County after they received a water bill with the new government bulk rate of $4 per 1000 /gallons to users
that do not guarantee a minimum usage in their water contract. A meeting will be held immediately.
Consideration of Community Service Contribution to
Dunn United Ministerial Association (DUMA)
Manager Autry stated that a letter has been received from Mr. Charles Carpenter, Treasurer for the Dunn
United Ministerial Association, officially requested a donation from the City of Dunn to financially assist
the association in acquiring a 501 (c) (3) classification to continue their work in helping residents in the
community.
The Council was provided with a DUMA -Food Pantry Expense Report from November '13 — February '14
(Setup). Mayor Hams read from the report the cumulative total expense grand total (Setup) _ $52,964.75.
From the period of March — July 2014, they received contributions of $15,674.58. From March — July
2014, food pantry expenses totaled $15,561.49. Mayor Harris stated that the pantry serves (2) days per
month, is well - manned and is a great program in our community.
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Mayor Pro Tom Maness asked Manager Autry how much money was budgeted for community service for
this budget year. Manager Autry responded that if approved, this contribution will be paid from excess
monies in the FY 13 -14 budget. Funds are available but none are specifically budgeted for community
contributions and requests are considered as received.
It is proposed to take $7,500.00 from FY 13 -14 budget.
Motion by Council Member Robinson and seconded by Council Member Barfield to authorize a
community service contribution to DUMA in the amount of $7,500.00 from FY 13 -14.
Council Member Robinson commented that DUMA has served the community and helped many families
for many years.
Mayor Pro Tern Maness asked if this will be an annual contribution request. Mayor Harris responded that
this is a specific request for establishing their 501 (c) (3) status and any future requests for contributions
would come before the Council.
Motion unanimously approved.
Authorization for Community Service Contribution
To Friends of Howard House — FY 14 -15
Mayor Harris explained that the Friends of the Howard House officially requested a donation of $5,000 to
help make their final payment for the restoration project of the Howard House. The City of Dunn has
provided funding to the Friends of the Howard House in the past.
Motion by Council Member Turnage and seconded by Council Member Barfield to authorize a community
service contribution to the Friends of the Howard House in the amount of $5,000. Motion unanimously
approved.
Temporary Blocking of Streets —
6th Annual Kellie's Krew 5K Run
A request has been received from Kim Schmidlin, on behalf of The Kellie's Krew 5K Run Team, to close
portions of certain streets within the City of Dunn as indicated on the attached map on Saturday, August 23,
2014 from approximately 6:00 am until 1:00 pm.
This event will start and end at the General Lee Museum.
Motion by Council Member McLean and seconded by Council Member Barfield to approve the temporary
street closing as requested by Kim Schmidlin, to hold The 6t' Annual Kellie's Krew 5K Run. Motion
unanimously approved.
Temporary Blocking of Street —
E. Cole Street from N. Clinton Avenue to
N. Wilson Avenue
City Manager Autry explained that this is a normal request that was received on August 5, 2014 from Mr.
Tony McDuffre requesting the closing of E. Cole Street from N. Clinton Avenue to N. Wilson Avenue on
Saturday, August 30, 2014 from 12:00 noon — 9:00 pm to hold a family reunion.
Motion by Council Member Robinson and seconded by Council Member Barfield to approve the temporary
street closing as requested by Mr. Tony McDuffie, to hold a family reunion. Motion unanimously
approved.
ITEM FOR DISCUSSION
AND /OR DECISION
Financial Report
Finance Director Drew Holland provided the following financial report for the period ending June 30,
2014:
• As of June 30, 2014, the City had $23M cash in the General Fund and $1.7M in the Water -Sewer
Fund. In June o£2013 the City had $2.9M in the General Fund and $1.6M in the Water -Sewer
Fund.
• Investment earnings are in the .10 % -.08% range.
• Building permit fees were $155,604 or 282.91% of budget. Benchmark for this month is 100°% of
budget.
• Water and sewer revenues were $4,456,150 or 96.87% of budget. Benchmark for this month is
100% of budget.
• Average fuel cost in June for unleaded was $2.83 per gallon and diesel was $2.99 per gallon. The
City budgeted $3.15 per gallon.
• Sales tax revenue through May, 2014 was $1,212,063 or 87.20% of budget. Benchmark for this
month is 91.66% of budget. Estimate for June, 2014 is $1,329,596 or 95.65% of budget.
• Expenditures were 93.59% of budget in the General Fund and 93.60% of budget in the Water and
Sewer fund. The benchmark for this period is 100% of budget.
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Mayor Harris asked Finance Director Holland to make a comparison between the budgets for June 30, 2014
and June 30, 2015 for any recommendation of changes to the Council so they will know if they are on
target for 2015.
Mayor Harris asked Mr. Holland to provide the Council with cautions and alerts in future financial reports
in order to keep the Council in line.
Motion by Council Member Tart and seconded by Council Member McLean to accept the Financial
Report. Motion unanimously approved.
ADMINISTRATIVE REPORTS
Motion by Mayor Pro Tem Maness and seconded by Council Member Barfield to accept the Administrative
Reports. Motion unanimously approved.
ANNOUNCEMENTS
The following announcements and/or comments were made.
Mayor Harris:
➢ City offices will be closed on Monday, September 1, 2014 in observance of Labor Day.
➢ The next regular City Council meeting is scheduled for Tuesday, September 9, 2014 at 7:00 pm.
Mayor Pro -Tem Maness will be presiding since Mayor Harris will be on his journey to visit
Normandy.
➢ Recognized Executive Vice President Tammy Williams of the Chamber of Commerce for
attending the meeting tonight.
Mayor Harris thanked the Department Heads for bringing expenditures under budget for this past year. He
thanked the Recreation Department and Recreation Director Perry Hudson for the wonderful state
tournament games that were hosted in Dunn.
Council Member Barfield:
➢ Complaints received about recycle cans and trash cans being left by the street at the apartment
complex on N. Orange Avenue. Manager Autry explained that this matter has been addressed.
Closed Session
8:03 pm — Motion by Council Member Tart and seconded by Council Member Robinson to enter Closed
Session in accordance with N.C.G.S. 143- 318.1l(a)(3) to protect the attorney- client privilege regarding the
pending lawsuit between the City of Dunn and Burney and Burney Construction Company. Motion
unanimously approved.
8:33 pm — Motion was made by Mayor Pro Tem Maness and seconded by Council Member Tumage to end
the Closed Session. Motion unanimously approved.
Motion by Mayor Pro Tem Maness and seconded by Council Member Turnage to approve the minutes of
the Closed Session as prepared by City Attorney Pope. Motion unanimously approved.
With no further business to discuss, a motion was made by Council Member Barfield and seconded by
Council Member McLean to adjourn the meeting at 8:34 pm. Motion unanimously approved.
*Minutes typed by City Clerk Debra G. West D
Os arN. Harris ,
Mayor
Attest: 9
Lcy Debra G'. West
City Clerk
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