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Minutes 08-13-201934 MINUTES CITY OF DUNN DUNN, NORTH CAROLINA The City Council of the City of Dunn held a Regular Meeting on Tuesday, August 13, 2019 at 7:00 p.m. in the Dunn Municipal Building. Present: Mayor Oscar N. Harris, Mayor Pro Tem Frank McLean, Council Members Buddy Maness, Dr. Gwen McNeill, Billy Tart, Chuck Turnage and Dr. David L. Bradham. Also present: City Manager Steven Neuschafer, Assistant City Manager Mathew Boone, Finance Director Jim Roberts, Public Utilities Director Heather Adams, Public Works Director Vince Washington, Planning Director George Adler, Chief Building Inspector Steven King, Chief of Police Chuck West, Parks and Recreation Director Brian McNeill, Human Resources Director Anne Thompson, Librarian Mike Williams, Community Planner Tasha McDowell, Administrative Support Specialist Connie Jernigan, Attorney Tilghman Pope, and City Clerk Tammy Williams. Guests recognized by Mayor Harris: Emily Weaver with The Daily Record, from Boy Scout Troop 711: Leaders Rob Jones and Lee Honeycutt with scouts: Jonathan Honeycutt, Matthew Jones, Cade Ouber, Nicholas Siff entes and Brady Wilson INVOCATION Mayor Harris opened the meeting at 7:00 p.m. and Rev. Randy Beasley, Pastor at Lee's Grove Pentecostal Freewill Baptist Church gave the invocation. Afterwards, the Pledge of Allegiance was recited. AGENDA ADJUSTMENT AND APPROVAL Motion by Council Member Turnage and second by Mayor Pro Tem McLean to adopt the August 13, 2019 meeting agenda with changes as listed below. Agenda Items Added: • Consent Item: Resolution to declare City owned personal property surplus and disposition of that property • Item for Discussion: Alley Assessment by the City Manager and staff as discussed at the Planning Retreat Motion unanimously approved. PRESENTATIONS: Mark B. Johnson, County Commissioner Mayor Harris made a special presentation to Mark Johnson, who was recently appointed to the Board of Commissioners to replace the late Abe Elmore. Johnson was presented a framed newspaper article announcing his appointment and a framed "Order of the Long Leaf Pine." Many of his family and friends, including his wife, Ruby and son, Matthew Johnson were in attendance as well as members of the Hamett County Board of Commissioners: Chairman Gordon Springle and Commissioner Howard Penny as well as Coley Price, Assistant County Manager. Employee Introductions The following employees were introduced to the Council: Administration - Angela M. (Angie) Wilkins, Custodian; Finance - Kayley B. Hawley, Finance/Customer Service Representative; Police Officers - Christopher M. Eason, Justin T. Jones, Cory A Sellew and Animal Control Manager - Courtney R. Hayter; Parks and Recreation - Kenneth P. (Ken) Stephenson, Maintenance Worker Mayor Harris recessed the meeting for a short break and reconvened the meeting at 7:23 p.m. PUBLIC COMMENT PERIOD The Public Comment Period was opened by Mayor Harris at 7:23 p.m. Having no comments, the Public Comment period was closed. Mayor Harris recessed the meeting to begin Public Hearings. PUBLIC HEARINGS: Closing of Public Streets — 200 block of East Best St and portion of Wilson Avenue Mayor Harris opened the public hearing at 7:23 p.m. The public has been notified that oral and written comments will be heard and received concerning the request to permanently close the public street at the 200 block of East Best Street on the west side of South Clinton Avenue and South Wilson Avenue between South Clinton Avenue, CSX Railroad, Cooke Street and Yam Street. The Resolution of Intent was adopted at the July Council meeting setting the date for the Public Hearing for August 13, 2019. The public hearing was duly advertised on July 16, 23, 30 and August 6, 2019. Hearing no comments, the public hearing was closed. A copy of the legal notice is incorporated into these minutes as Attachment #1. Rezoning Request RZ-04-19; Jason Carpenter Rentals LLC, 17 J and J Lane, PIN# 1526-04-7459.0000 Mayor Harris opened the public hearing at 7:25 p.m. The public has been notified that oral and written comments will be heard and received concerning the request by Jason Carpenter Rentals, LLC to rezone approximately 1.56+/ - acres, located at 17 J and J Lane. The parcel is currently zoned C-3: Highway Commercial District and is proposed to be rezoned to I-10: Restricted Industrial District. The public hearing was duly advertised on July 16, July 23, and July 30, 2019. Hearing no comments, the public hearing was closed. A copy of the legal notice is incorporated into these minutes as Attachment #2. Mayor Harris reconvened the Council meeting at 7:27 p.m. CONSENT ITEMS: Council considered approval of the minutes of June 28, 2019 Special Called Meeting. 35 Council considered approval of the minutes of July 9, 2019 City Council Meeting. Consideration of Resolution declaring certain property surplus and authorizing disposition — score boards. A copy of the Resolution (R?019-17) is incorporated into these minutes as Attachment #3. Temporary Blocking of Streets — Dunn Crime Stoppers' Dunn Public Safety Day CDBG Quarterly Report Budget Amendment #1 — Mayor's FY 2018-2019 Salary to a Special Project Fund - A copy ofBA-1 is incorporated into these minutes as Attachment #4. Consideration of Resolution declaring certain property surplus and authorizing disposition - A copy of the Resolution (82019-18) is incorporated into these minutes as Attachment #5. Motion by Council Member Maness and second by Council Member Bradham to approve all consent items. Motion unanimously approved. ITEMS FOR DISCUSSION AND/OR DECISION: Consideration of Fixing Date of Public Hearing on Question of Annexation ANX-01-19 Request to approve a resolution fixing date of Public Hearing as September 10, 2019 for voluntary contiguous annexation petition ANX-01-19; +/-18.96 acres at 1001 Meadowlark Rd, owned by John A. Willoughby Jr. and Clarice Willoughby. The property is identified by the Harnett County Registry as PIN #1517-65-0443.000. At the July meeting, the Council adopted a Resolution Directing the Clerk to Investigate a Voluntary Annexation Petition for ANX-01-19. The Clerk has certified the sufficiency of the petition and has provided a copy of same. Motion was made by Council Member Turnage and second by Council Member Maness to adopt the Resolution Fixing Date of Public Hearing as September 10, 2019 for Voluntary Contiguous Annexation Petition ANX-01-19. Motion unanimously approved. A copy of the Resolution (R2019-19) is incorporated into these minutes as Attachment #6. Resolution and Order to Close Public Streets - 200 block of East Best St and portion of Wilson Avenue To consider Resolution and Order to Close the Public Street at the 200 block of E Best Street on the west side of S Clinton Avenue; and S Wilson Avenue between S Clinton Avenue, CSX Railroad, Cooke Street, and Yam Street as requested by petition from Marc Phillips representing Dunn Commerce Park. Resolution of Intent was approved at the Dunn City Council meeting on July 9, 2019 and Public Hearing was held on August 13, 2019 and was duly advertised on July 16, 23, 30, and August 6, 2019. Motion by Council Member Tart and second by Council Member Tumage to approve the Resolution and Order to Close the Public Street at the 200 block of East Best Street on the west side of South Clinton Avenue; and South Wilson Avenue between South Clinton Avenue, CSX Railroad, Cooke Street, and Yam Street. Motion unanimously approved. A copy of the Resolution (R2019-20) is incorporated into these minutes as Attachment 47. Consideration of Ordinance to Demolish —1004 S King Ave Chief Building Inspector King presented to Council that an inspection at 1004 S King Avenue found the structure in a deteriorated condition that does not meet the requirements of the City of Dunn Minimum Housing Code (MHC). The Chief Building Inspector also found the property dangerous or prejudicial to the public health or public safety and is a nuisance in violation of N.C.G.S. § 160A-193. The owner of the property has failed to comply with the Chief Building Inspector's order and the ordinance adopted by City Council on June 12, 2018 to bring the structure on the property into compliance with the City of Dunn MHC and pursuant to N.C.G.S. §160A-443 within twelve (12) months. At last inspection on July 31, 2019, there had been no notable repairs or no permits have been applied for or issued. King did make the Council aware that the statutes have changed and if the Council adopts an ordinance to have the dwelling at 1004 S. King Ave. demolished, there will be an additional ninety (90) day time period pursuant to N.C.G.S. §160A-443. After the 90 days, if the structure has not been brought up to City of Dunn MHC, then it can be demolished. After discussion, motion by Council Member Turnage and second by Council Member Bradham to adopt the Ordinance authorizing the Chief Building Inspector to demolish structure located at 1004 S. King Ave., (PIN# 1516- 35-6103.000) after ninety (90) day time period pursuant to N.C.G.S. §160A-441, ET SEQ. Motion unanimously approved. A copy of the Ordinance (02019-07) is incorporated into these minutes as Attachment #8. Consideration of Ordinance to Demolish —103 E Bay St Chief Building Inspector King presented to Council that an inspection at 103 E. Bay Street found the structure in a deteriorated condition that does not meet the requirements of the City of Duan MHC. The Chief Building Inspector also found the property dangerous or prejudicial to the public health or public safety and is a nuisance in violation of N.C.G.S. §160A-193. The owner of the property has failed to comply with the Chief Building Inspector's order and the ordinance adopted by City Council on July 10, 2018 to bring the structure on the property into compliance with the City of Dunn MHC and pursuant to N.C.G.S. § 160A-443 within twelve (12) months. 36 The twelve (12) month time period has expired with no notable repairs being made to the property and is now at the City Council's discretion to adopt an ordinance to have the dwelling at 103 E. Bay St. demolished after a ninety (90) day time period expires pursuant to N.C.G.S. § 160A-443. Motion by Council Member Maness and second by Council Member McNeill to adopt the Ordinance authorizing the Chief Building Inspector to demolish structure located at 103 E. Bay Street, (PIN# 1516-55-3875.000) after ninety (90) day time period pursuant to N.C.G.S. § 160A-441, ET SEQ. Motion unanimously approved. A copy of the Ordinance (02019-08) is incorporated into these minutes as Attachment #9. Resolution adopting tentative Bid Award for the Black River WWTP Aeration Project Public Utilities Director Adams and Engineer Michael Goliber with Davis Martin Powell presented recommendation for Council to tentatively award a contract to low bidder, Laughlin -Sutton Construction for the Black River W WTP Aeration System Replacement Project in the amount of $2,649,400 contingent upon the review and concurrence of the Division of Water Infrastructure. The low bid submitted by Laughlin -Sutton was higher than the estimated construction cost. Davis -Martin -Powell & Associates has worked with staff to identify possible changes to the project to reduce cost. The project included Bid Item A.2 Clarifier Distribution Modifications at a cost of $350,000. By eliminating this component, the overall project cost reduces to $3,173,300. The City originally applied for a $2,500,000 State Revolving Fund Loan and since the project is over the estimated budget, the funding agency (NCDEQ/Division of Water Infrastructure) has indicated that the City's loan could be increased to $2,750,000 without going through the application process again. The City's approved budget included $458,400 in local funds to be used for the project. The additional $250,000 in loan and eliminating the clarifier modification would allow the project to move forward. The State Revolving Fund Loan is a 0% interest for 20 years. The $2,750,000 loan would have an annual payment of $137,500. Debt Service is expected to begin fiscal year 2020-2021. After discussion, motion by Council Member Maness and second by Council Member Turnage to adopt a resolution tentatively awarding a contract to Laughlin -Sutton Construction in the amount of $2,649,000 for all work except item A.2 in the base bid for the Black River Wastewater Treatment Plant Aeration System Replacement Project, contingent upon the review and concurrence of the Division of Water Infrastructure's approval to increase the loan from $2,500,000 to $2,750,000. Motion unanimously approved. A copy of the Resolution (R2019-21) is incorporated into these minutes as Attachment 910. Consideration of Tart Park Bids The City was awarded a PARTF Grant and State Grant Aid to assist with funding for the Tart Park renovation. Once construction plans were completed the project went out for bid with a due date of April 16, 2019. After receiving no bids, the project was up for rebid with a due date of May 16, 2019. Again receiving no bids the project was bided out a third time in which three bids were received on June 20, 2019. Bids received were from M&E Contracting, Bridgepoint Civil and Stewart Group. After tabulations, Bridgepoint Civil was the lowest bid at $2,497,400 leaving the City with the additional expense of $2.5 million. City Manager Neuschafer shared that the recommendation of Parks and Recreation Director McNeill, and himself, is to reject all bids and see how the project can be broken down into phases for rebid and to do some work in house. The City may also need to look at reducing the scope of the project with the current bidding environment. After discussion, the staff was asked to study the issue and bring back a recommendation to the Council. Council Member Tumage further requested that McNeill provide a breakdown by season of participation rates over time to show that the numbers support the investment. Motion by Council Member Turnage and second by Council Member McNeill that due to increased cost and upon City Manager Neuschafer and Recreation Director McNeill's recommendation, for the city to reject all bids and for the project to be broken into smaller phases for rebid, removing non -grant required items and items which can be constructed by City staff, and that staff present recommended action at the next Council meeting. Motion unanimously approved. Rezoning Request RZ-04-19; C-3 to I-10, Jason Carpenter Rentals LLC, 17 J and J Lane, PIN# 1526-04- 7459.0000 Request to rezone one parcel totaling 1.56+1- acres located at 17 J and J Lane. The property is zoned C-3: Highway Commercial District and is proposed to be rezoned to I-10: Restricted Industrial District. The Planning Board met on July 23, 2019 to review the request and ask for comments from the public. The planning board voted unanimously to approve. Motion by Council Member Tart and second by Council Member Tumage to approve rezoning request RZ-04-19 to rezone one parcel totaling 1.56+1- acres, located at 17 J and J Lane from C-3: Highway Commercial District to I-10: Restricted Industrial District. Motion unanimously approved. Acceptance of Drinking Water State Revolving Funds for the 14 inch water line abandonment and upsizing the water line on East Wake St. The City applied for State Revolving Funds from the State Water hifrastructure Authority for the purpose of funding the replacement of aged water distribution infrastructure in two areas within the City (Dunn -Erwin Road area and E. Wake Street). The City has been notified that the project is eligible to receive funding based on the application that was submitted. Public Utilities Director Adams shared that the 14 -inch water line was abandoned from the Dunn Water Plant to the Black River Bridge on Dunn -Erwin Rd several years ago. However, the remaining section of 14 -inch water line pipe is still active. The proposed project would begin near the intersection of Bruce Drive to just south of the intersection of S. Wayne Avenue and W. Cumberland Street. Plans are to abandon the 14 -inch line and install 6 -inch and 8 -inch pipe in order to serve the affected areas. The new lines will be installed within the City's right of way. 37 The second part of the project abandons an existing 2 -inch water line along E. Wake from Carolina Drive to E. Johnson St. and replaces with a 6 -inch water line for the purpose of meeting current design standards and providing fire flow. This would also include installing fire hydrants on the new water line. The eligible loan amount is $875,750 with a 20 -year term and maximum interest rate of 1.89%. Debt service is predicted to begin in fiscal year 2021-2022. The debt service is estimated to be approximately $61,000/year. Motion by Council Member Bradham and second by Council Member McNeill to accept the Drinking Water State Revolving Fund Loan in the amount of $875,750 and proceed in accordance with the schedule that is outlined in the Division of Water Infrastructure's Letter of Intent to Fund, with all being contingent upon the review and concurrence of the Local Government Commission. Motion unanimously approved. Consider Change of October Regular Schedule Council Meeting Due to the City election being held on October 8, 2019, the Council considered changing the October regular schedule meeting from October 8, 2019 to October 15, 2019. Motion by Council Member Tumage and second by Council Member McNeill to reschedule the October 8, 2019 Regular City Council meeting date to Tuesday, October 15, 2019. Motion unanimously approved. Leaf Vacuum Truck After researching different options for leaf collection equipment, the City Manager, Public Works Director and Finance Director recommended the City diversify in size of equipment. The City currently has a 2005 Freightliner leaf vacuum (all -in -one) truck, which has been repaired several times, and is approaching the end of its service life. It is staffs recommendation to purchase a smaller pull behind unit and defer purchase of a new all -in -one truck. Having multiple pieces of equipment will allow collection operations in different areas at the same time, increasing service to the residents according to City Manager Neuschafer. After this purchase, the City will have the option to dispatch either piece of equipment, depending on the situation. If approved, the Finance Director will seek quotes for the financing and return that selection for Council at the September Meeting. The equipment is in stock and the total cost will not exceed $90,000. After discussion, motion by Council Member Maness and second by Council Member McNeill to authorize the Finance Director to solicit bids on financing up to $90,000 for the purchase of a pull behind leaf collection machine and collection box to fit an existing fleet vehicle. Motion unanimously approved. Award CDBG Neighborhood Revitalization Project Legal Service Contract City Manager Neuschafer presented request to award the CDBG Neighborhood Revitalization Project Legal Service contract to Pope Law Group, PA in the amount of $650 title search per house and a $250 hourly rate for other legal services with execution subject to NC Department of Commerce approval. The City advertised for legal services proposals on May 20, 2019 with proposals due on June 3, 2019. Since only one proposal was received, the re - advertisement for proposals ran on June 13, 2019 with proposals due by July 5, 2019. No additional proposals were received so the proposal from Pope Law Group was opened, reviewed and ranked. Motion by Council Member Maness and second by Council Member Turnage to award the CDBG Neighborhood Revitalization Project Legal Service contract to Pope Law Group, PA in the amount of $650 title search per house and a $250 hourly rate for other legal services with execution subject to NC Department of Commerce approval. Motion unanimously approved. Authorization of Additional Paving City Manager Neuschafer requested authorization for additional paving due to the dire pavement conditions on the Cascade Circle and Covington Lane. The City has done some patching on these streets two years ago but not in the cul-de-sac areas. The conditions of the roadbed require the removal of the existing base material and placement of new stone prior to the installation of 2 inches of new asphalt. Testing of the cul-de-sacs show existing pavement as thin as 1 inch. The informal bids received thus far show that the total work will be less than $60,000 and this can be paid out of the current fiscal year budget for street resurfacing. No other projects on the priority list will fit into the budget. After discussion, motion by Council Member Tart and second by Mayor Pro Tem McLean to authorize City Manager Neuschafer to award bids to reconstruct the Cul-de-sac areas of both Cascade Circle and Covington Lane and to use the City Public Works Department as much as possible to maximize cost savings for the paving project. Motion unanimously approved. Sewer Betterment Jonesboro Road (I-95 Project) Public Utilities Director Adams and Engineer Goliber presented recommendation for the City to agree to a sewer line upgrade along Jonesboro Road from Cooper Street to Lane Road during the time that the NC Department of Transportation (NC DOT) constructs a new private pump station at Sadler's Travel Plaza and extends a force main along Jonesboro Road as part of the I-95 widening project. The construction of a sewer pump station and force main, which will connect to the City's existing sewer system near Cooper Street and Jonesboro Road, will replace an existing private sewer pump station and force main (Sadler Travel Plaza) that is in conflict with the I-95 roadway improvements. Two design options have been presented by NC DOT's design engineer. Option #1: NC DOT will pay for the utility project as a result of widening I-95 at no cost to the City 38 Option #2: Betterment to the City as proposed by NC DOT. As the City plans for future growth along the Jonesboro/195 Corridor, the opportunity to upgrade a portion of the force main to gravity (approximately 2,220 linear feet) from Cooper Street to Lane Road would be most economical during NC DOT's project. Once the utility project is complete, the City would own the sewer lines that are constructed in the public right of way along Jonesboro Road. The total cost to the City is estimated at $116,000. The City would be expected to pay the difference between the betterment design/construction cost and NC DOT's minimum design/construction cost for the utility project. If the City declined the betterment option, a future gravity project along this same route is expected to cost in excess of $500,000. The anticipated let date for this phase of the NC DOT project is July 2020. Much discussion followed concerning the possibility that actual cost could be significantly more than the estimated cost, due to bid issues such as the City is currently experiencing. After discussion, motion by Council Member Maness and second by Council Member Tart to move forward with option #2 and authorize City Manager Neuschafer to direct NC Department of Transportation's design engineer to move forward with a design that includes a betterment to the City's sewer system along Jonesboro Road and furthermore direct the City Manager to budget for the project in fiscal year 2020-2021. Motion unanimously approved. Consideration of Environmental Enhancement Grant Proposal Resolution City Manager Neuschafer requested the Council consider a Letter of Intent be sent to apply for an Environmental Enhancement Grant through the North Carolina Attorney General's Office. The grant would be used to establish a nature park to include Hannah's Pond and the Stoney Run corridor connecting Highway 301 to hiterstate 95. Wetland Solutions LLC is prepared to work with the City and lead on design, communication with property owners and formulation of the application. To proceed with application for the grant, a Letter of Intent is needed from the City by August 19, 2019. The deadline for Grant Proposals is September 24, 2019. Neuschafer felt that a work session would need to be scheduled so that Wetland Solutions LLC could expand on the scope of work planned. After discussion, motion by Mayor Pro Tem McLean and second by Council Member Tart to approve a Letter of Intent to apply for an Environmental Enhancement Grant for the purpose of a nature park in the City of Dunn. Motion unanimously approved. Alley Assessment by the City Manager and Staff as discussed at the Planning Retreat Council Member Turnage requested that the staff perform an alley assessment of all alleys in the City of Dunn. After discussion, motion by Council Member Tumage and second by Council Member Maness for the City Manager and staff to conduct an assessment of all commercial and residential alleys in the City of Dunn by December 31, 2019 for the purpose to access the current status: to determine infrastructure that city is responsible for; determine if the alley is being used for access and if some alleys or portions should be closed and turned over to the property owners to assume maintenance; and to determine City's maintenance requirements for those to remain open. Motion unanimously approved. Financial Report/Assessments Update Finance Director Roberts provided the following financial report for the period ending July 31, 2019: • $3,982,853 cash in the General Fund and $2,329,518 in the Water -Sewer Fund. Through July of 2018, the City had $3,122,691 in the General Fund and $2,275,751 in the Water and Sewer Fund. • Property Tax Collections - $6,700 for FY2019-2020. Estimate for the year is $3,750,000. • Sales Tax Revenue has not been reported for July as of this date. Budget is set at $2,212,000. • Utilities Sales Tax report for the last quarter is due by August 15, 2019. Budget is $747,000. • Building Permit Fees for July were $9,662 or 12% of budget. Our budget for the year is $80,000. • Water and Sewer Revenues - $534,216 or 9.6% of budget. Budget for year is $5,593,000. Income for month was $113,466 more than last year, which is a 27% increase. • Expenditures are at $711,985 or 6.13% of budget in the general fund. The Water and Sewer fund has spent $317,958 or 5.12% of budget. The benchmark for this period is 8.3% of budget. He also presented the Liens and Assessments Update. Discussion followed on the lack of activity in collections over the past year on liens and assessments. Council Member Maness requested a report of those top receivables be given to the Council with an update on the status of those accounts. Motion by Council Member McNeill and second by Council Member Tart to acknowledge receipt of the Financial Report and Assessments Update. Motion carried unanimously. ADMINISTRATIVE REPORTS Reports received: Communications/Public Information, Planning and Inspections Report, Public Works Report, Public Utilities Report, Parks and Recreation Report, Library Report and Police Report. Motion by Council Member Maness and second by Council Member McNeill to acknowledge receipt of Administrative Reports. Motion unanimously approved. City Manager's Report City Manager Neuschafer reported to the Council that the City did receive a Golden Leaf Grant in the amount of $142,500 under the 2018 Hurricane Florence Disaster Recovery Act for Assessment of Inflow and Infiltration of sewer infrastructure. He will have additional information at the September Council meeting. 39 ANNOUNCEMENTS/INFORMATION Mayor Harris announced upcoming events and activities. Council Member McNeill reported that she received a Thank You note from Wilkins Cemetery Committee for the non-profit allocation. Proclamation presented to Carolyn McDougal on her 70" Birthday. A copy of the proclamation (P2019-12) is incorporated into these minutes as Attachment 911. A motion was made by Council Member McNeill and second by Mayor Pro Tem McLean to enter closed session in accordance to [N.C.G.S. 143-318.1l(a)(4)] to discuss matters relating to the location or expansion of business in the area served by this body. The Closed Session ended and with no further business to discuss, a motion was made by Council Member Bradham and second by Council Member Tart to adjourn the meeting at 9:15 p.m. Motion unanimously approved. �G,TY' 0F!""' �,ORPOf; qT ?Z M Attest: "s Z'•. SEAL 71 Ctit/ f M1,%`ih ..l -dam L/11 �4. 1� v:�l /1-`v<✓'".�t.-.-'� Tammy Williams City Clerk i f (car N. Harris Mayor