0713201062
MINUTES
CITY OF DUNN
DUNN, NORTH CAROLINA
The City Council of the City of Dunn held a Regular Meeting on Tuesday, July 13, 2010, at 7:00 p.m.
in the Dunn Municipal Building. Present was Mayor Oscar N. Harris, Mayor Pro Tern N. Cornell
Robinson, Council Members Buddy Maness, Bryan Galbreath, Billy Tart, Chuck Turnage and Joey
Tart. Also present was City Manager Ronnie Autry, Finance Director Mark Stephens, Public Works
Director Billy Addison, Public Utilities Director Dean Gaster, Police Chief B.P. Jones, Planning
Director Steven Neuschafer, Chief Building Inspector Mike Blackmon, Librarian Mike Williams,
City Engineer Ed Powell, City Attorney P. Tilghman Pope, City Clerk Debra West, and Daily Record
Reporter Reece Murphy.
INVOCATION
Mayor Harris opened the meeting at 7:00 p.m. and asked Reverend Tim Rice of Glad Tidings Assemblies
of God Church to give the invocation. Afterwards, the Pledge of Allegiance was repeated.
AGENDA ADJUSTMENTAND APPROVAL
Motion by Mayor Pro Tem Robinson and seconded by Council Member Maness to adopt the July 13, 2010
meeting agenda with changes, if any, as listed below.
Items Added to the Agenda:
• Presentation Report by Police Chief Jones — Implementation of R -U -Okay Health Check
Program for Senior Citizens Who Live Alone
Agenda Items Removed:
• none
Motion unanimously approved.
PRESENTATION
Report by Police Chief Jones -
Implementation of R -U -Okay Health Check Program
for Senior Citizens Who Live Alone
Police Chief Jones stated that this program will allow the Police Department to check on senior citizens
who register for this program. This is a computerized program that will automatically call registered senior
citizens each morning. This system will call the number three times and if no one answers the phone, an
administrative assistant will personally call that number. If there is no answer, then an officer will be
dispatched to the residence. Seniors must complete an application available in the Police Department. This
program is available to seniors which reside in the City limits of Dunn.
Cindy Carter, Administrative Assistant, will monitor this program. She explained that all HIPAA
information on the application is kept confidential and the only information entered in the computer system
is a phone number.
PUBLIC COMMENT PERIOD
Mayor Harris opened the floor for a (30) minute public comment period.
Hearing no comments, the public comment period was closed.
CONSENTITEMS
Minutes — Council considered approval of minutes of the June 8, 2010 Council meeting.
Tax Releases/Refunds — Council considered approval of Tax Releases/Refunds #291 - #293. Copies of Tax
Releases /Refunds arefiled in the office of the Tax Collector.
Ratify termination of 2% Tax Discount — Council affirmed elimination of the 2% tax discount allowed for
payments received on or before August 31, 2010 as previously discussed and agreed upon during the FY
( ) 2010 -2011 budget work sessions.
Motion by Council Member Joey Tart and seconded by Mayor Pro Tern Robinson to approve all consent
items. Motion unanimously approved.
ITEMS FOR DECISION
Award Bid for Bank Financing
2010 Equipment
Manager Autry stated that a request for financing proposals was submitted to local financial institutions for
the financing of the following equipment approved for Fiscal Year 2010 -2011:
63
(6) Police Cars
Flail Mower
Principal $190,000
The debt service payments will begin in July 2011 with a five (5) year pay -back. Finance Director Mark
Stephens recommends award be granted to BB & T.
The proposals received are as follows
Financial Institution
Term
Rate
Origin. Cost Total Cost
BB & T
5 years
2.44%
- $204,131.45
RBC Bank
5 years
3.01%
$100 $207,596.05
Four Oaks Bank
5 years
3.24%
- $209,142.13
First Citizens
5 years
3.47%
$300 $210,171.29
New Century
5 years
4.32%
- $215,317.00
Motion by Mayor Pro Tem Robinson and seconded by Council Member Turnage to award bid for financing
to BB & T at a rate of 2.44 %. Motion unanimously approved.
Board Appointments
Planning Board (3 year term)
In -town Incumbent, Blaine Everhart is eligible to serve another term. In -town incumbent, Rick Lashmit
does not wish to serve another term. No applications have been received.
Motion by Council Member Turnage and seconded by Council Member Joey Tart to re- appoint Blaine
Everhart for in -town membership to the Planning Board with a term ending June 30, 2013. Motion
unanimously approved.
Board ofAdjushnent (3 year term)
In -town incumbents, Oscar McPherson and Joseph Miriello are eligible to serve another term. In -town
incumbent, Roy V. Tew, III does not wish to serve another term. No applications have been received.
Motion by Council Member Joey Tart and seconded by Mayor Pro Tem Robinson to re- appoint Oscar
McPherson and Joseph Miriello for in -town membership to the Board of Adjustment with a term ending
June 30, 2013. Motion unanimously approved.
ABC Board (3 year term)
Incumbent Helen Blue Alsphaugh has served one term and no applications have been received.
Motion by Council Member Galbreath and seconded by Council Member Joey Tart to re- appoint Helen
Blue Alsphaugh, to the ABC Board with a term ending June 30, 2013. Motion unanimously approved.
Library Board (3 year teen)
Incumbents Elizabeth Bynum and Virginia Marshall are eligible to serve another term. No applications
have been received.
Motion by Council Member Joey Tart and seconded by Council Member Turnage to re- appoint Elizabeth
Bynum and Virginia Marshall to the Library Board of Trustees with a term ending June 30, 2013. Motion
unanimously approved.
Recreation Commission (3 year term)
Incumbents Laronda Abney, Melinge Frazee and Whit Bradham are eligible to serve another term.
One application has been received from Ms. Brunell L. Williams of 113 Venus Drive, Dunn, NC.
Motion by Council Member Maness and seconded by Council Member Joey Tart to re- appoint Laronda
Abney, and Whit Bradham to the Recreation Commission with a term ending June 30, 2013. Motion
unanimously approved.
Motion by Mayor Pro Tem Robinson and seconded by Council Member Billy Tart to reappoint Melinge
Frazee to the Recreation Commission with a term ending June 30, 2013. Motion failed 3 -4.
Ayes Nays
Robinson Maness
Billy Tart Turnage
Joey Tart Galbreath
Mayor Harris
Motion by Council Member Galbreath and seconded by Council Member Turnage to appoint Ms. Brunell
Williams to the Recreation Commission with a term ending June 30, 2013. Motion unanimously
approved.
Dunn Housing Authority (Tenant Representative -1 year teen)
(Mayoral appointment)
Mayor Harris re- appointed Charles McNeill as tenant representative to the Dunn Housing Authority with a
term ending June 30, 2011.
64
ITEMS FOR DISCUSSION
AND /OR DECISION
Financial Report
Finance Director Mark Stephens provided the following financial update to the Council:
• The City as of May 31, 2010 had $2.6M cash in the General Fund and $1.8M cash in the
Water /Sewer Fund.
• Investment earnings are in the .35% - .20% range.
• Building Permit Fees were $71,544 or 110.07% of budget. The City should be at 91.67% of
budget.
• The Sales Tax Revenue for May was $930,353 or 65.52% of budget. The City should be at
75.00% of budget. The City is $134,000 behind in sales tax revenues.
• Water and sewer revenues were $3.7M or 91.21 % of budget. The City should be at 91.67% of
budget.
• Fuel cost per gallon was $2.16 in May.
• Property taxes collected as of May were 99.71% of budget. Same period last year, the City had
collected 99.52% of budget.
• Expenditures were 87.84% of budget in the general fund and 86.23 % in the water /sewer fund.
The benchmark for this period is 91.67 %.
ADMINISTRATIVE REPORTS
Motion by Council Member Billy Tart and seconded by Council Member Joey Tart to approve the
Administrative Reports. Motion unanimously approved.
ANNOUNCEMENTS
The following announcements and/or comments were made.
Mayor Harris:
➢ The City of Dunn will host the National PAL Basketball Tournament on Wednesday, July 21,
2010.
Mid - Carolina Council of Government meeting scheduled for Thursday, July 22, 2010 has been
cancelled.
Crime Stoppers National Night Out will be held on August 3, 2010 from 6 — 9 pm at Tart Park.
➢ The next City Council meeting is scheduled for Tuesday, August 10, 2010 at 7:00 pm.
Manager Autry:
➢ The National PAL Basketball Tournament has not been held for the past two years; however,
plans are to re -start the tournament this year. Teams will be limited and not as wide - spread as
originally thought.
Council Member Galbreath:
➢ Neighbors are not satisfied with the condition of a parcel of property located in the 600" block of
E. Vance Street. It contains a house which has been vacant for approximately five years and is not
secure. The yard has not been kept up and the City has been informed of this problem. Everyone
else in this neighborhood maintains their property.
➢ There are two parcels of vacant property in the 900 block of E. Divine Street with furniture
thrown outside the houses, on the porch and by the street.
➢ He asked that the Manager provide a plan of action by Friday of this week with regard to these
properties.
Closed Session
7:40 pm - Motion by Council Member Joey Tart and seconded by Council Member Maness to enter closed
session to consult with the City Attorney to protect the attorney client privilege. Motion unanimously
approved.
Mayor Harris announced that they anticipate taking action once the Council returns from closed session.
Closed session adjourned at 8:23 pm.
Motion by Council Member Joey Tart and seconded by Council Member Billy Tart to approve the minutes
of the closed session as recorded by City Attorney Pope. Motion unanimously approved.
Addition to Agenda:
Motion by Council Member Joey Tart and seconded by Council Member Turnage to amend the agenda by
adding the consideration of a contract by Davis - Martin- Powell & Associates for Downtown Dunn
Redevelopment Program. Motion unanimously approved.
Consideration of a Contract by
Davis - Martin- Powell & Associates for
Downtown Dunn Redevelopment Program
In referencing a proposal letter dated January 29, 2010 (revised), City Engineer Ed Powell stated that this
letter identifies the sequence of work that began in 2003 as the Downtown Dunn Redevelopment Program.
65
At that point and time, the previous Council authorized $100,000 to be spent to provide a survey of an
enlarged downtown area that would be considered for redevelopment. A target area was identified and is
now under construction. The preliminary design, detailed survey and target area have been completed.
Mr. Powell stated that in November, 2009, the USDA talked about the potential for funding. To qualify for
funding, the City must prepare a preliminary feasibility report of the whole area, submit a loan and grant
application and advance the plans from preliminary state to bid documents in accordance with their
requirements, specifications, technical and front end documents.
He added that in January, 2010, a letter from DMP was addressed to Manager Autry and it stated that in
order to progress from the preliminary stage to the final preliminary engineering report acceptable to
USDA and to develop final construction documents, an additional $116,000 for planning and final design
services would be required. An application has been submitted and reviewed by USDA and they are
prepared to make a grant and loan offer to the City of Dunn on August 10" after a public hearing is held on
the downtown redevelopment project. The grant/loan project would consist of a 2.6M loan and $400,000
grant and will include the following:
• $1,385,000 for street and sidewalk improvements
• $800,000 for placing overhead power lines underground
• $445,000 for a total new traffic signal system with mast posts to meet the theme of the Downtown
area
$370,000 for communications systems to be placed underground along with power wiring
The Downtown Dunn Development Corporation has agreed and has been in negotiations with the City for
their share of the funding of capital costs and amortization/future loan payments that would be the
responsibility of the City since the loan would be made to the City of Dunn.
Mr. Powell stated that the City has already awarded the sewer which is funded out of the 2009 Wastewater
System Improvements Project that is now under construction. Pricing is now being secured for the water
system which will enhance the undersized mains in the downtown area and provide adequate fire
protection; removing bad mains under roads being built. These projects will be completed by October -
November of this year. It is being proposed with the acceptance of the USDA loan/grant that the remaining
project will be bid so they can be given notice to proceed after the first of 2011 for completion before
Christmas of 2011.
Mayor Harris explained that the other two projects previously approved are water and sewer projects and
funding will come out of the water /sewer fund. This project is a general fund capital project in conjunction
with the Downtown Development Corporation with the City of Dunn being the host for this. Mayor Hands
asked Mr. Powell to explain why this matter was not on the posted agenda for tonight; adding that the
Council did not intentionally add it to the agenda at this late date.
Mr. Powell explained that initially when talks were held with USDA, they were informed that the review
process for this project would take approximately three (3) months, an additional six (6) months to get in
line for monies with the potential to acquire funding by the end of 2010 so that construction could begin in
early 2011. USDA contacted the City today and stated they are scheduled to make a loan and grant offer to
the City of Dunn no later than August 23, 2010 and advised that the City will be required to hold a public
hearing at the August Council meeting with attendance by USDA representatives. After satisfactory
completion of the public hearing, USDA will immediately make an offer of a $3M dollar combined
loan/grantprogram.
Mayor Harris entertained a motion to approve the contract.
Motion by Council Member Galbreath and seconded by Council Member Maness to approve the
engineering contract with Davis - Martin - Powell for the Downtown Dunn Redevelopment Program. Motion
unanimously approved. A copy of the contract between the City of Dunn and Davis - Martin- Powell &
Associates is incorporated into these minutes as Attachment #1.
City Attorney Pope advised that the City Clerk will advertise the public hearing to consider the USDA loan
for the August 10, 2010 Council meeting.
With no further business to discuss, a motion was made by Council Member Turnage and seconded by
Council Member Maness to adjourn the meeting at 8:35 p.m. Motion unanimously approved.
Attest:
` ,��nnirrr rr
�` C1TY O
7
AT /y CARO
L
N. Harris
Mayor
Debra G. West
City Clerk