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HomeMy WebLinkAbout1984-03-20 MinutesMINUTES OF A MEETING OF THE BOARD OF DIRECTORS A meeting of the Fayetteville City Board of Directors was held on Tuesday, March 20, 1984 at 7:30 P.M. in Room 107 of the Continuing Education Center, Center Street and East Avenue, Fayetteville, Arkansas. inPRESENT: Mayor Noland; Directors Lancaster, Osborne, Orton, Sharp, Bumpass and Johnson; City Manager Grimes, City N Attorney McCord, Assistant City Manager McWethy and W City Clerk Kennedy CO Q CALL TO ORDER Mayor Noland called the meeting to order and asked for a moment of respectful silence. BUTTERFIELD TRAIL BONDS Mayor Noland introduced an ordinance amending the ordinance which created the Fayetteville Public Facilities Board, so that revenue bonds may be issued to finance the proposed Butterfield Trail Village, Inc. The Mayor stated some amendments have been suggested to the original ordinance which was passed in November, 1978. The City Attorney explained that the City Board created the Fayetteville Public Facilities Board in November, 1978 and authorized it to issue tax exempt revenue bonds to finance single family residents with low interest rate mortgages. He stated that three years later the enabling ordinance was amended to authorize the issuance of health care revenue bonds as well. McCord explained the original ordinance required Board approval for housing bonds, but the amendatory ordinance did not require Board approval for health care bonds. He stated the Butterfield Trail Project (approved by the Public Facilities Board last August) contains both health care and housing facilities for elderly persons, and the developers' bond attorneys are requesting that the ordinance be amended to indicate the City Board's policy regarding the issuance of these type bonds. McCord stated the ordinance he proposes could allow the City Board to retain control and require express approval of this type bond by the City Board as well as the Public Facilities Board. He said also the purpose of the ordinance is to remove any amibiguity so that bond attorneys can issue an unqualified opinion so this project can "proceed to market". 1 1.1 1.2 2.1 2.2 3-20-84 Director Orton asked if it would cause a hardship to the project if the City Board were to amend the ordinance to require City Board approval. The City Attorney stated it would not and noted also the enabling statute allows the City Board to place limitations on the authority of the Board to issue bonds; that one possibility would be to provide that the bonds for this type project would be issued upon adoption of a resolution by the Public Facilities Board, and ratification of that resolution by the City Board. Director Orton, seconded by Bumpass, made a motion to adopt the amendment, as proposed. McCord explained this action would require an amendment to the second sentence in Section 3 of the ordinance. McCord stated the other proposed amendments do not lessen the control of the City Board over the issuance of these type bonds, but merely enables the issuance of an unqualified bond opinion. Director Bumpass asked why Section 4 stipulates only "owner -occupied housing". McCord explained Section 4 of the original ordinance addressed very specific details to be worked out by underwriters and approved by the Public Facilities Board; that if the Board wishes to retain control over those specifics, that authority is implicitly there by having the requirement for ratification of the resolution. 2.3 The City Attorney read the ordinance for the first time. Mayor Noland, seconded by Johnson, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the second time. At the request of Director Osborne, the City Attorney read Section 3 again. Director Bumpass, seconded by Johnson, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the final time. 2.4 In answer to a question from Director Lancaster, the City Attorney stated, if the project is structured as tax-exempt, there will be a payment in lieu of taxes agreement but he understands that the project will not be tax-exempt and will be owned by a non-profit corporation. McCord explained such agreements provide that the borrower will pay the same amount, in payment in lieu of taxes, as if actual ad valorem taxes had been paid. 2.5 Director Sharp asked if Butterfield Trail's recreation facilities would be open to the public. Truman Yancey stated those facilities would only be open to residents and their guests. Director Sharp noted the Minutes of the Parks and Recreation Advisory Board meeting show they recommend waiving the Green Space requirement because of those facilities. City Attorney McCord stated the ordinance requires Planning Commission approval of any waiver. 1 1 1 3-20-84 Director Osborne stated the use of language such as "bona fide non-profit corporation" is ambiguous because private nightclubs, for example, are non—profit corporations. The City Attorney pointed out the bonds are specifically authorized for the purpose of residential housing and health care facilities for elderly persons. Osborne stated he is still concerned, even though there is no liability on the part of the City of Fayetteville. He asked if the Public Facilities Board had looked "in depth" at the financial aspects or the marketability of the bonds. Phil Taylor, speaking for the Public Facilities Board, stated they looked at the financial feasibility aspect and that there is a substantial list of people who have demonstrated an interest in the project and who have made deposits; he stated he could not answer the question regarding marketability of the bonds; but that the Public Facilities Board has been convinced that the project will fulfill a need in the community. Director Lancaster asked how other facilities of this type have been financed. Taylor stated financing has come from both churches and other non—profit organizations, as well as from the private sector. Director Osborne asked if the City still followed a procedure such as one which was used in the past to formulate guidelines for approval of such bonds. The City Attorney pointed out the City Board, by creating the Public Facilities Board, has delegated statutory authority to the Public Facilities Board to determine whether there is a public need in the city for the type of project being proposed for tax—exempt financing. The City Attorney recited an excerpt from the determination made by the General Assembly when it enacted the law which authorizes these type bonds. Mayor Noland asked about the criteria used by the Public Facilities Board in reviewing these requests. Phil Taylor noted that financial feasibility is a big question, although they did not conduct an independent study; another question they ask is if this project could be undertaken by someone else in the private sector and this, he stated, did not seem likely. 003 ( 3.1 3.2 3.3 .,3.4 :3.5 A citizen in the audience addressed the Board, stating that since 3.6 the holder of the bonds pays no tax on the interest collected, this indirectly is a cost to taxpayers. Upon roll call, the ordinance passed, 7-0. Director Osborne, seconded by Johnson, made a motion to pass the emergency clause. Upon roll call, the motion passed, 7-0. ..13. 7 3-20-84 4.1 The City Attorney explained the Public Facilities Board will have to adopt a resolution authorizing the issuance of the bonds, which must then be ratified by the City Board. ORDINANCE NO. 2991 APPEARS ON PAGE // 3 OF ORDINANCE & RESOLUTION BOOK X Vi ACT 9 BONDS 4.2 Mayor Noland introduced a resolution authorizing a Memorandum of Intent regarding the issuance of $500,000 in Act 9 Industrial Development Revenue Bonds for the construction of a manufacturing, distribution and warehouse facility on North Shiloh Drive. 4.3 The City Attorney stated he provided the developer with a copy of Resolution 6-81, which outlines information needed to consider such requests; that he also has prepared a standard Memorandum of Intent. 4.4 The Mayor read from the request letter how the project would meet requirements as set forth in Resolution 6-81: 4.5 1) Project will furnish permanent employment for twelve people initially and up to 50%, more in one to two years. 2) We can furnish financial statements that reflect our financial responsibility. 3) This will bring a manufacturing, distributing and warehousing operation into the city that is not presently here. 4) The nature of this project is such that it will definitely provide economic stimulation for Fayetteville. 5) This is not a retail business and most of the revenue developed will come from outside this area. 4.6 Mayor Noland stated he though each of these items sets forth answers to the criteria used by the Board in evaluating such requests. 4.7 Sterling Anders explained the industry would consist primarily of wholesale distribution of sporting goods, such as screen printing. The City Attorney stated, if the project were tax-exempt, there would be a payment in lieu of taxes. 4.8 Director Osborne, seconded by Johnson, made a motion to pass the reso- lution. The City Attorney explained that Act 9 Bonds are issued by the City Board, not the Fayetteville Public Facilities Board; that 1 3-20-84 this resolution would only be a preliminary step and the developers mast bring back concrete information reflecting their financial stability, before adoption of a bond ordinance. RESOLUTION NO. 38-84 APPEARS ON PAGE BOOK om GM OF ORDINANCE & RESOLUTION EASEMENT VACATION/N.W. ARKANSAS PLAZA Mayor Noland introduced a request for the vacating of a utility easement in the Northwest Arkansas Plaza, in connection with the expansion of the Dillard's Department Store. The Mayor explained this vacation would be contingent upon telephone company approval which has not yet been received. Engineer John Quinn explained they are waiting on receipt of the Bell Telephone Company's release which will come from their Little Rock office. The City Attorney stated if the easement vacation is approved, an ordinance must be adopted which would not become effective, in the absence of an emergency clause, until thirty-one days from the date of publication --so the City would not publish the ordinance until the release is received. The City Attorney read the ordinance for the first time. Director Osborne, seconded by Johnson, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the second time. Director Osborne, seconded by Johnson, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the third and final time. The Mayor asked if anyone in the audience wished to state objections to this ordinance. There was no response. Upon roll call, the ordinance passed, 7-0. ORDINANCE NO. 2992 APPEARS ON PAGE 11019, OF ORDINANCE & RESOLUTION BOOK N0. )(v[i1 SIGN APPEAL/SUN TREE HEALTH FOODS, INC. Mayor Noland introduced an appeal from the literal provisions of the Sign Ordinance submitted by Sun Tree Health Foods, Inc., located at 1242 North College Avenue in a C-2, Thoroughfare Commercial, district. The Mayor explained the petitioner requests permission to leave an 5.1 5.2 "5.3 5.4 0.04S. 3-20-84 6.1 existing 18 -square -foot free-standing sign at an 11'6" setback from Abshier Drive right-of-way; that a free-standing sign of this size requires a 19' setback unless the Board determines that strict enforcement would be unreasonable. 6.2 In answer to questions from Director Orton, petitioner Doris Smith explained the sign had been taken down accidentally by her landlord at the time he demolished the Colonial Village Shopping Center sign. Smith stated there are five other health food establishments in Fayette- ville and that Wal-Mart and some grocery stores also have begun to market health food products, so that competition is keen. She explained her store cannot be seen easily from Highway 71 or from the side street, Abshier Drive, so she must be able to use the sign to attract new customers. Smith pointed out that the proposed location does not violate the Ordinance on Highway 71, but only on Abshier Drive; that although the sign would be 11'6" back from the right-of-way, since the right-of-way is 50 feet wide and the pavement only 25 feet wide, her sign would actually be 24 feet from the edge of the street. 6.3 In answer to a question from Director Lancaster, Smith explained it would not be easy for her to re -install the sign in a conforming location because the posts for the sign are permanently set in concrete and the parking has been arranged around the location of the posts. 6.4 Director Orton brought out the fact that there could be a joint identifi- cation sign on the site. The Sign Inspector, Bert Rakes, confirmed this fact but stated there had been no request for such a sign from any of the businesses, even though the non -conforming sign for Colonial Village Shopping Center was taken down. Rakes also stated this free- standing sign, if approved, would then be the only sign allowed on the site. 6.5 Mayor Noland asked how large a sign is permitted at an 11 1/2 foot setback, and Bert Rakes replied no sign would be permitted at that setback. 6.6 Director Johnson expressed her concern that approval of this variance would preclude other Colonial Village merchants from having any sign. Doris Smith noted "L.J.'s" has said they do not wish to have a sign. Smith stated there were four or five other businesses. Director Johnson suggested letters be submitted from other businesses indicating they have no desire for a sign. 6.7 Director Sharp, seconded by Bumpass, made a motion to table the appeal until letters are obtained by the petitioner, stating the other businesses have no desire for a sign. 1 1 1 3-20-84 Director Bumpass suggested there be some documentation obtained from the landlord as to the petitioner's rights to use of the posts, or whether an easement may be granted to allow her to have another post. Director Orton suggested the motion should include the petitioner determining if it is possible for her to place a conforming sign on that property. Director Johnson stated the only sign she would be satisfied with on that property would be a joint identification sign. Doris Smith stated she thought that would be somewhat discriminating against a small business versus a large business (the shopping center) who both pay the appropriate taxes to the City. Upon roll call, the motion passed, 6-1, with Lancaster voting against the motion (stating he voted "no" because he was not sure what was being voted). Mayor Noland stated the intent of the motion is for Doris Smith to take a petition to the other businesses in the shopping center, asking that they sign a statement that they do not wish to have a joint identification sign, secondly, that the petitioner talk to her landlord about where he would permit her to place a conforming sign; and that the landlord also be contacted regarding the joint identification sign. Director Osborne asked, if the petitioner is granted the variance at a future meeting, would the variance be for her sign and her business only and, in the event she moved the business, would the variance not apply to her business. The City Attorney explained the Board can impose such a condition, where the variance would be restricted to the business and would not "run with the land". The City Attorney stated variances are granted because of "practical difficulties unique to the property". GREENLAND FIRE CONTRACT Mayor Noland introduced a resolution authorizing the renewal of a contract for fire protection services between the City of Fayetteville and Greenland. • o&Ore 7.1 :7.2 47.3 7.4 :7.5 Director Osborne, seconded by Orton, made a motion to pass the resolution. .7.6 Finance Director Scott Linebaugh requested the term of the contract be changed to end on May 31 in order that it be in line with other fire contracts. Linebaugh explained the contract currently runs from January through December. Linebaugh stated the City of Greenland has been contacted on this matter. 7.7 008 3-20-84 8.1 Upon roll call, the motion passed, 7-0. RESOLUTION NO. 39-84 APPEARS ON PAGE 25'1 '1 OF ORDINANCE & RESOLUTION BOOK pi/Ili BID AWARD/AIRPORT IMPROVEMENTS 3.2 Mayor Noland introduced a bid for the construction of aprons on the east and west side of the airport, a "stub" taxiway, and lighting for the east side apron. The Mayor explained this is a joint venture by the FAA and the City of Fayetteville. 8.3 Director Lancaster, speaking for the Airport Committee, stated the committee has met on this matter and there was some concern over the fact that there was only one bid, among other things. Lancaster reported there has been a meeting with the Airport Committee, the engineer and the City Manager and it was decided, if bids were sought again, they would receive a worse bid, so the Airport Committee does recommend the bid be awarded to McClinton- Anchor, the only bidder. 3.4 It was confirmed that the expense of this project is included in the Airport budget. 8.5 Director Lancaster, seconded by Osborne, made a motion to award the bid to McClinton -Anchor. Upon roll call, the motion passed, 7-0. AUTOMATED FLIGHT SERVICE STATION 8.6 Mayor Noland introduced a request from the Airport Manager for author- ization to submit a "best and final offer" to the Federal Aviation Administration regarding the construction of a 10,000 square -foot Automated Flight Service Station, which the Mayor stated should employ as many as 40 technicians. The Mayor stated the proposal, as approved by the Airport Committee, calls for a rental fee of $4.00 per square foot per year. 8.7 Director Sharp asked if the City described the building in its offer and Airport Manager Ede Hogue stated the FAA has its specifications for the building, and the City submitted a floor plan in its original proposal which is included in their solicitation for offers. Hogue stated some of the area must be restricted to FAA specifications but some of it can vary from what they prescribe. Hogue estimated the structure to cost around $500,000.00 for 10,000 square feet. 1 1 1 3-20-84 Director Osborne stated he had a copy of the letter which sets forth the proposed offer; that the letter was signed by him, since Mayor Noland was out of town on the day it needed to be mailed. Hogue explained the letter was due in Fort Worth on Friday, March 23. Osborne asked that a copy of the letter be attached to the minutes to make sure that that specific letter is approved by the Board. Director Orton asked if the stated price "is set forever" and Director Osborne said it is based on a year-to-year lease. Hogue explained it is a 20 -year commitment but the federal government can only lease for a one-year period at a time; that there will be 20 one-year options for renewal. Hogue stated many sites across the county for other stations are renting for $1.00 per square foot per year, that many communities look upon the station as an asset. Director Johnson, seconded by Orton, made a motion to authorize the submitted "best and final offer" to the FAA for the automated flight service station. Upon roll call, the motion passed, 7-0. AIRPORT LEASE AGREEMENTS Mayor Noland introduced approval of renewals of lease agreement between the City and the Mountain Inn and Holiday Inn, for advertising display space at the Airport Terminal Building. Director Osborne, seconded by Bumpass, made a motion to authorize the execution of the lease agreements. Upon roll call, the motion passed, 7-0. RESOLUTION NO. 40-84 APPEARS ON PAGE d R% OF ORDINANCE & RESOLUTION BOOK you ALLEY CLOSING REQUEST Mayor Noland introduced further consideration of a request that the Board close and vacate a north -south alley running north from Caraway Street, between Leverett and Storer; and an east -west alley running west from Leverett, between Caraway and Cleveland. The Mayor noted this request was tabled at the last Board meeting until adjacent property owners could be notified, which the Mayor stated has now been done. The Mayor stated a letter had been received from one property owner who objects because of certain access that goes with her property. 9.1 9.2 9.3 9.4 9.5 9.6 010 3-20-84 10.1 Mr. Fetter addressed the Board, stating he owns property to the south (across Caraway Street) and was never notified. He stated the proposed construction of 20 units "is going to cause a mess", that closing the alley would probably "mess up" the concrete driveway used by the property owner to the west. 10.2 10.3 Director Johnson, seconded by Bumpass, made a motion that neither alley be vacated and closed. Assistant City Manager McWethy stated the petitioner has indicated he could not be present at this meeting. Mayor Noland pointed out the petitioner had stated at the last meeting it didn't make any difference to him whether or not the alleys were closed. Director Osborne noted the petitioner had stated the Street Superintendent had asked him to make this request. 10.4 Upon roll call, the motion passed, 7-0. 10.5 10.6 10.7 10.8 10.9 10.10 10.11 NOMINATING COMMITTEE REPORT Director Johnson reported the Nominating Committee has made the following recommendations: Civil Service Commission Northwest Arkansas Resource Recovery Authority Northwest Arkansas Chief Elected Official Council Fayetteville City Board George T. Williams (to fill the unexpired term of William Martin ending April 1, 1987) Marion Orton Ernest Lancaster Bill Martin (to fill vacancy left by Rick Osborne beginning April 3, 1984 and ending December 31, 1986) Director Johnson stated a concensus of opinion could not be reached an filling the vacancy on the Planning Commission at this time. Director Johnson, seconded by Bumpass, made a motion to approve the recommendations of the Nominating Committee. Upon roll call, the motion passed, 7-0. 1 1 1 3-20-84 SIGN APPEAL/FIRST SOUTH FEDERAL SAVINGS & LOAN Mayor Noland introduced further consideration of an appeal from the 11.1 literal provisions of the Sign Ordinance for First South Federal Savings and Loan Association located at 19 East Dickson Street. The Mayor /^ explained the Board voted 3-3 to deny the petition at the last meeting, taJ with Director Johnson absent, and the motion was tabled until Director Johnson could be present to vote. r• - WDJ Director Sharp stated at the last meeting the Board discussed limiting 11.2 CO the variance to two years, and he asked the Mayor if this had been included in the actual motion. Director Osborne stated the petitioner has told him he would be willing to take down the sign on Dickson Street if the Board would allow him to have a sign similar to the law office across the street. Bert Rakes stated the sign across the street is approximately three square feet in size, not six square feet as he stated at the last meeting. Director Bumpass asked if there was anyone present to represent the petitioner and when it was determined there was not, Bumpass,made a motion to table the appeal "until they show some interest". There was no second to that motion. Director Sharp, seconded by Orton, made a motion to grant permission to erect a three square foot sign for two years and that the petitioner remove the wall sign on the Dickson Street side. It was agreed that the sign on the alley side would remain. Director Sharp stated the setback should be whatever it is for the sign across the street. Director Osborne made a motion to amend the motion to allow a sign measuring 3' x 3', or six square feet. There was no second to that motion. Director Johnson made a motion to amend the motion to stipulate a setback of 19 feet. Director Sharp seconded that motion. 11.3 11.4 11.5 11.6 11.7 Upon roll call, Director Sharp's motion with the amendment to stipulate 11.8 a 19 foot setback was passed, 5-2, with Directors Bumpass and Osborne voting against the motion. Director Johnson suggested the Sign Ordinance should be amended to address small signs in R-0, Residential Office, districts. Director Orton suggested there should only be a small, low, single sign allowed for businesses in an R-0 district. 11.9 12 3-20-84 12.1 Director Johnson asked Bert Rakes about informational signs such as the small ones in First South's parking lot. Rakes explained there are at least 200 of these type signs in Fayetteville which are non- conforming He stated he is in the process of preparing information for the Board to make a determination as to what should be allowed in regards to these type signs. He said, as of now, informational and directional signs are exempt from permit McCord suggested the ordinance should be clarified or amended with regard to free-standing signs in an R-0 district and perhaps this can be considered at the same time as the informational/directional signs are considered by the Board. 12.2 12.3 12.4 12.5 12.6 12.7 ELEVATOR MAINTENANCE CONTRACT Mayor Noland introduced consideration of approval of a maintenance contract with Dover Elevator Company for the elevator in the renovated City Hall. The Mayor stated that, under the terms of this five-year contract, Dover would maintain the City Hall elevator for a monthly fee of $203 with an annual escalator clause reflecting increases paid to "elevator examiners in the locality". Director Osborne asked that information be provided on the hourly rate, service call fee, or any other charges which could be imposed, stating "$203 a month is a lot of money". Osborne suggested the City might study what charges have been incurred for breakdowns by others who have similar elevator contracts. Director Orton suggested the City research what other businesses in town do for maintenance on their elevators. A representative of Dover Elevator Company addressed the Board. He stated the contract he submitted has a one-year warranty with one year of free service. He said if the City were to sign a contract now the price can be "locked in" and the City would save money, because there will be a labor rate in June or July. Director Osborne asked if the City Attorney had reviewed the contract and McCord stated he had, at the request of the Assistant City Manager. McCord stated the contract provides for an escalator based upon the hourly rate charged to operators. McCord stated it would be better to have a one-year contract and negotiate the rate at the end of the year, or to have some price index not dictated by the other contracting party. Director Lancaster, seconded by Bumpass, made a motion that the request be tabled until information is gathered as suggested by Director Orton. 1 3-20-84 13 Director Osborne asked that the Finance Department analyze the contract 13.1 to make sure it is in the City's best interests. The City Attorney suggested Dover Elevator be contacted regarding their position as far as a one-year contract to be re -negotiated annually, or tying the escalator to the consumer price index. The representative from Dover Elevator stated they will not write 13.2 a one year contract, that five years is their minimum. He stated W they have maintenance contracts with the Hilton, with Washington Regional m Medical Center and with the University of Arkansas. • Upon roll call, the motion passed, 7-0. 13.3 MASTER STREET PLAN WAIVER Mayor Noland introduced a request for a waiver of the Master Street Plan requirements regarding the dedication of street right-of-way in connection with a lot split located on Cleveland Street at Sunset. Director Osborne, seconded by Orton, made a motion to approve the waiver. Mayor Noland stated the Planning Commission minutes show approval of the waiver. Upon roll call, the motion passed, 7-0. SIDEWALK INSTALLATION EXTENSION Mayor Noland introduced a request for a one-year extension in the requirement to install sidewalks in Westwood Subdivision. The Mayor explained the extension is being requested because construction has not progressed as rapidly as expected. Director Osborne, seconded by Bumpass, made a motion to approve the extension. A resident of the subdivision addressed the Board, stating he and other residents of the subdivision would like some clarification regarding this request. Director Osborne explained the City Code requires that a sidewalk be constructed by the owner within five years from the date of plat approval. The spokesman for the residents asked what owners were making this request. Mayor Noland told the residents seven lots are owned by Lincoln Securities, one lot is owned by First National Bank and three lots are owned by Rudy Hatcher. The Mayor 13.4 13.5 13.6 13.7 13.8 14 3-20-84 14.1 explained there is a problem with building a sidewalk for a vacant lot, because the location for the driveway (and the curb cut) is unknown, and that when construction takes place later, the sidewalk can be damaged by the concrete trucks or may have to be re -built. 14.2 Osborne stated the intent of his motion would be for the sidewalk to be built at the time the house is built, but no later than one year. Director Bumpass pointed out, when a building permit is issued to construct a house on one of those lots, a sidewalk must be constructed at the time the house is completed. The City Attorney stated the requirement in the City Code is that the sidewalk must be installed no later than the time the driveway for the lot is installed. 14.3 One resident pointed out that at the time the five years ran out, there was no action on the part of the City to make the owners comply with the requirement. Director Lancaster asked if the requirement to install sidewalks would be imposed after the one year extension expires, whether or not the lots are vacant. 14.4 It was noted that 11 months have already passed since the five year period ran out, so that there actually needed to be a two-year extension granted. Director Osborne agreed to amend his motion to make the extension effective until May 8, 1985. 14.5 Upon roll call, the motion passed, 7-0. BUDGET ADJUSTMENTS 14.6 Mayor Noland introduced a request by the Finance Department for budget adjustments in the Airport, Water & Sewer, and General Fund budgets; and a request for a waiver of the competitive bidding requirements for the purchase of certain telephone system expansion items. The Mayor noted a list of these items are included in the agenda. 14.7 Director Bumpass asked for the rationale behind the conversion of one pick-up truck to L.P. Gas. Purchasing Officer Mackey explained it would be less expensive to operate, being $.63 per gallon. He said that CH2M Hill and the Pollution Control Plant Operator had recently purchased an off road fork lift and decided to convert it to L.P. gas, as it operates much cleaner and the engine lasts much longer. He stated it was true that this conversion is more effective when done on a new vehicle. 1 1 1 015 3-20-84 Director Osborne, seconded by Johnson, made a motion to approve the 15.1 budget adjustments. Upon roll call, the motion passed, 7-0. RESOLUTION N0. 41-84 APPEARS ON PAGE e%/ OF ORDINANCE & RESOLUTION BOOK XI/U1 The City Attorney read the ordinance for the first time to waive the 15.2 competitive bidding requirements for the purchase of the telephone expansion items. In answer to Director Johnson, Finance Director Linebaugh stated the telephones have not already been purchased. Director Johnson asked if the new phones would be "Razorback Red". Linebaugh stated two of the phones would be beige, but the others would be "Razorback Red" to match the rest of the City phones. Director Johnson asked Linebaugh to check with the Interior Design Consultant before purchasing red phones. 15.3 Director Osborne, seconded by Noland, made a motion to suspend the 15.4 rules and place the ordinance on second reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the second time. Director Osborne, seconded by Johnson, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the third and final time. Upon roll call, the ordinance passed, 7-0. ORDINANCE NO. 2993 APPEARS ON PAGE y44 OF ORDINANCE & RESOLUTION BOOK XV (i l BAD CHECK PENALTY Mayor Noland introduced a request by the Finance Department for an 15.5 ordinance increasing the penalty for checks returned due to insufficient funds. The City Attorney read the ordinance for the first time. Director Osborne, seconded by Bumpass, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the second time. Director Johnson, seconded by Noland, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the third and final time. 15.6 016 3-20-84 16.1 Finance Director Linebaugh explained the current penalty is $5.00 for the first check, and $10 for the second check, $10 being the highest penalty amount. Linebaugh stated these checks can range from $15 to $600. The City Attorney stated the penalty is not required to be imposed the first time a hot check is received --that the penalty is aimed at repeat offenders. Linebaugh stated the office feels, if there is a substantial penalty, the repeat offenders will stop writing bad checks. The other problem, according to Linebaugh, has been the low penalty has caused HMR accounts to purposely bounce checks so they can have the use of the money for another month. Lancaster asked what would be done to a repeat offender who cannot pay the $50 fine. Linebaugh stated, in the case of a water bill, water can be turned off, but for others, the case can be turned over to the Prosecutor. The City Attorney explained a time limit has not been addressed because it would create an accounting problem. 16.2 Director Osborne suggested the ordinance should perhaps authorize the penalty to be imposed by "the finance director or his designee", since the intent is also to impose the penalty for bad checks received by the Municipal Court. 16.3 The City Attorney suggested wording can be used such as "...If any person makes payment to the City of Fayetteville or the Municipal Court..." and "the finance director or municipal judge is authorized to impose the following civil penalty..." 16.4 Director Osborne, seconded by ordinance to reflect the change amendment passed, 7-0. Director and Municipal Judge be given a c roll call, the ordinance passed, Bumpass, made a motion to amend the as suggested. Upon roll call, the Osborne asked that the City Prosecutor opy of the amended ordinance. Upon 7-0. ORDINANCE NO. 2994 APPEARS ON PAGE W5 BOOK )(VIII OF ORDINANCE & RESOLUTION BID WAIVER/"TRANSYT" PANEL 16.5 Mayor Noland introduced an ordinance waiving competitive bidding require- ments and retroactively authorizing the purchase of a "TRANSYT" traffic signal control cabinet panel, to replace one damaged in a January 20 traffic accident. Mayor Noland stated the panel apparently was damaged to the extent it was put out of commission completely. 16.6 The City Attorney read the ordinance for the first time. Director Osborne, seconded by Bumpass, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion 1 1 1 3-20-84 passed, 7-0. The City Attorney read the ordinance for the second time. Director Johnson, seconded by Bumpass, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the third and final time. CO 111 Director Bumpass suggested the Board might authorize the City Attorney to seek restitution for the damage costs. Mayor Noland stated it was his understanding the investigating officer at the accident site W was not able to establish who was at fault. Director Osborne, seconded CO by Bumpass, made a motion that the City Attorney be authorized to Q follow up on who is at fault for the damage costs. Upon roll call, the motion passed, 7-0. 17 17.1 17.2 Upon roll call, the ordinance passed, 7-0. 17.3 ORDINANCE NO. 2995 APPEARS ON PAGE 4471L, OF ORDINANCE & RESOLUTION BOOK Wit BID AWARD/AIRPORT SEWER LINES Mayor Noland introduced an award of bid for the extension of sewer 17.4 lines at the Fayetteville Airport. The Mayor stated the recommendation is to award to the low bidder, Decco Contractors, in the amount of $13,612.50 for the installation of 1,050 linear feet of 8" clay pipe sewer lines. Mayor Noland, seconded by Bumpass, made a motion to award the bid 17.5 to the low bidder. Upon roll call, the motion passed, 7-0. OTHER BUSINESS Comments from Mayor Noland Mayor Noland expressed appreciation on behalf of the City and thanked 17.6 the staff of the Continuing Education Center for their cooperation and assistance during the time the City has used the CEC to hold the Board meetings. 18 3-20-84 Pollution Control & Ecology Meeting 18.1 Director Orton announced a Pollution Control and Ecology meeting will be held at 9:00 A.M. on Friday, March 23, 1984 at the Pollution Control and Ecology headquarters at 8001 National Drive in Little Rock. Mayor Noland stated this will be the last official State meeting on water quality standards. SCAN/Children's House 18.2 Director Johnson, referring to the letter of response from SCAN/Children's House, noted since a metal building seems to cost considerably less, she thought the Board should proceed with this possibility. Director Osborne suggested the Board visit the New School which is housed in a metal building and talk with Director Bill Mandrell. Vacation of Elm Street Right -of -Way 18.3 City Manager Grimes introduced a request for the vacation of Elm Street right-of-way east of Chestnut Avenue (between Chestnut Avenue and Birch Avenue). Grimes explained that some years ago, Elm Street right- of-way to the west of the Chestnut Avenue was vacated, and at that time the City required the dedication of 80 feet of right-of-way along the south border of the University property. Grimes stated this is shown as an arterial street an the Master Street Plan. Grimes noted that the request has been approved by Plat Review Committee and he recommended the vacation extend to the west right-of-way line of Birch Avenue, so that the property owner to the east of Birch Avenue may retain access to his property should he decide to develop it in the future. 18.4 Director Lancaster asked about the direction of the 80 foot right-of-way south of the University farm, as it would relate to the Mayes property. Mr. Grimes stated that right-of-way would swing south of the Mayes home and shop, and that construction is at present only a long-range plan. Director Orton asked if this location could be viewed during the next Board tour. City Manager Grimes stated the Planning Commission has already approved the request and the contractor making the request had asked that the Board consider the request today. 1 1 1 3-20-84 Steve DeNoon, representing Lindsey Construction Company, addressed the Board, stating they cannot obtain a building permit until the Board takes action on their request. The City Attorney read the ordinance for the first time. Director Johnson, seconded by Bumpass, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the second time. Director Johnson, seconded by Bumpass, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the third and final time. Mayor Noland asked how much of Chestnut Avenue would be paved after the development is approved. DeNoon stated Chestnut would be paved up to the northwest corner of the property. Upon roll call, the ordinance passed, 7-0. ORDINANCE NO. 2996 APPEARS ON PAGE 445 OF ORDINANCE & RESOLUTION BOOK XVII f Green Space Requirement/Butterfield Trail Village Director Sharp noted that the Parks and Recreation Advisory Board minutes show a vote to waive the Green Space requirement for Butterfield Trail Village, which would amount to about $21,000.00. Sharp stated the City Attorney has said the Green Space ordinance delegates that decision to the Planning Commission; Sharp asked Board members if they feel that decision should be delegated to the Planning Commission. Director Sharp stated he would rather the City Board make the decision. Director Johnson expressed reservations about the Parks and Recreation Board waiving the requirement. City Attorney McCord stated he planned to prepare a memo to the Board as soon as possible regarding this issue, that he feels the waiver provision needs to be revised to provide a different criteria than the "unjust hardship" which is the standard on bulk and area variances. McCord suggested the Board might wish to repeal the present waiver provision, until a'final decision can be made. McCord stated the original ordinance did not have a waiver provision. The City Attorney read, for the first time, an ordinance to delete Paragraph 7 (the waiver provision) of the Parks Ordinance. Director Osborne, seconded by Bumpass, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the second 019 19.1 19.2 19.3 19.4 19.5 020 3-20-84 20.1 time. Director Osborne, seconded by Bumpass, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 7-0. The City Attorney read the ordinance for the third and final time. 20.2 Mayor Noland pointed out this action could be temporary or could "last forever". Upon roll call, the ordinance passed, 7-0. ORDINANCE NO. 2997 APPEARS ON PAGE yz OF ORDINANCE & RESOLUTION BOOK XVI/1 20.3 In answer to questions from Director Orton regarding whether waiver provisions should be required, the City Attorney stated there may be situations when a subdivider should be entitled to a waiver, but that "undue hardship" may not be the proper standard. Warner Amex Cable Service 20.4 Mayor Noland stated he and other Directors have received calls and letters from citizens who have complaints or questions regarding Warner Cable's present selection of channels. Mayor Noland asked the Directors if they feel it appropriate to ask Hank Sheraw to come to the next Board meeting to respond to questions from citizens regarding the dropping and adding of certain channels. 20.5 Director Osborne made a motion this item be placed on the agenda of the April 16 Board meeting. 20.6 Director Orton urged citizens to call in and ask questions on Hank Sheraw's monthly program which is televised the third Monday of each month from 8:30 to 9:00. Director Orton also suggested the Board should write letters to Warner Cable and to Congressman Hammerschmidt. 20.7 Director Johnson stated she thought it incumbent upon the City Board to decide what the citizens of Fayetteville are requesting in a cable system and to require Warner Cable to have answers to citizens' questions. Johnson stated she thinks Warner Cable is "impelled to provide a quality receiving level" as part of the franchise agreement. 20.8 Director Osborne stated some letters he has received ask about why Fayetteville does not receive a Little Rock channel. Osborne stated the answer to that question four years ago was "the FCC won't let us". The City Attorney suggested the next agenda include pertinent excerpts from the ad hoc cable television committee report submitted within the last two years, which addressed that issue. 1 1 1 21 3-20-84 After further discussion, it was agreed the problem should be addressed 21.1 on the next agenda. CCO Air Traffic Control Tower Resolution ID Mayor Noland introduced a resolution of appreciation from the Fayetteville 21.2 Board of Directors to Congressman John Paul Hammerschmidt and Senator LiJ David Pryor for their assistance in locating the Air Traffic Control M Tower at the Fayetteville Municipal Airport. Director Bumpass, seconded by Johnson, made a motion to pass a resolution. Mayor Noland stated he had written both legislators letters of thanks. Upon roll call, the motion passed, 7-0. RESOLUTION NO. 42-84 APPEARS ON PAGE 47 OF ORDINANCE & RESOLUTION BOOK Will Records Destruction 21.3 City Attorney McCord introduced a resolution authorizing the destruction 21.4 of certain Inspection Department records which have been microfilmed. Director Bumpass, seconded by Johnson, made a motion to approve the resolution. Upon roll call, the motion passed, 7-0. RESOLUTION NO. 43-84 APPEARS ON PAGE 2gbs/ OF ORDINANCE & RESOLUTION BOOK i(,ffl MINUTES The following corrections were made to the Minutes of the March 6, 1984 Board of Directors meeting: 343.7 "...gives them the right to place streets..." should be changed to read "...gives telephone companies the right to place their facilities..." 346.1 "...held at the CEC from outside the region." should be changed to read "...held in their community facilities which attract visitors from outside the region." 21.5 21.6 21.7 21.8 With those corrections, the Minutes were approved as distributed. 21.9, 22 3-20-84 Citizen Comments 22.1 William Giese, resident living on Zion Road, addressed the Board. Referring to "the recent problem with the City Shop", Giese stated he spent 15 years as a maintenance superintendent and when he attended an auction four years ago at the City Shop "it was the most disgusting thing I had ever seen, outside of the County Shop". He stated he recommended to the Board three years ago that they set up a group of retired people with experience in the field, to study the problem. He said he hoped the City wouldn't correct the problem with money --that there's an opportunity for the problems to be corrected while saving money in doing so. Giese stated very few weeks go by that he doesn't see a City employee "sitting around"; that he has seen three men in a pickup go out to paint a fireplug. Giese stated, if he had the time, he would start calling Board members every time he sees employees parked in his area for hours at a time. Executive Session 22.2 Mayor Noland stated there was a request that the Board meet in "Executive Session" to discuss the City Shop problem. 22.3 Director Osborne, seconded by Bumpass, made a motion that the Board adjourn to executive session. Upon roll call, the motion passed, 7-0. ADJOURNMENT 22.4 The meeting was adjourned at 10:10 P.M. 1 1 • 10 N CO PAYE TTEVILLE, -An ICALTO- AIRPORT DEPARTMENT P. O. DRAWER F March 19, 1984 Q Mlr. Milton J. Palle, ASW -56A Federal Aviation Administration P.O. Box 1689 Fort Worth, Texas 76101 Re: Automated Flight Service Station Arkansas Flight Plan Area Dear Mr. Palla: 15011521-4750 72701 The City of Fayetteville is pleased to present to the Federal Aviation Administration (FAA) a "Best and Final Offer" regarding the construction of the Automated Flight Service Station (AFSS) for the Arkansas Flight Plan Area on Drake Field at the rate of $4.00 per square foot per year. The -excess cost poor square foot will be financed with City sales tax revenues. We pro]ect that the economic impact frau the location of an AFSS in our ccnnunity will result in sufficient, a•riitional sales tax revenue to finance the local cost of this facility. The City of Fayetteville is very much intoo,•ested in seeing the AFSS located on Drake Field. The site selected for the AFSS is on the east side of the airport. Deveiopent of the east side began in 1983. With the location of the AFSS in Fayetteville, the FAA would have a model complex in northwest Arkansas. The FSS will be located next to the new Air Traffic Control Tower and Base Building scheduled to be under construction by July 1984. I would like to clarify the original offer submitted Decanter 30, 1983, regarding maintenance on the building, parking areas, the access road, and the grounds. The City, as Lessor, will provide the necessary maintenance cn the building and othar areas mentioned above due to normal wear and tear, but not due to negligence of the Lessee. 23 24. Page 2 of 2 As we have previously stated, Fayetteville has much to offer to the personnel of the AFSS, including: 1. The University of Arkansas. 2. The public school system, if not the best, is ranked at the top. 3. There are three (3) well-equipped, well staffed hospitals, with a fourth (4th) specializing in psychiatric care. 4. There is an adequate supply of houses and apartments in a variety of styles and price ranges. Fayetteville and the entire northwest Arkansas region has experienced dramatic growth in the past decade. The exceptional quality of life here and available resources have made Fayetteville attractive to people and businesses from all over the country The City of Fayetteville appreciates the opportunity to submit a "Best and Final Offer" to the FAA regarding the AFSS to be located in Arkansas. We strongly believe that it is in the best interest of the community and the Federal Aviation Administration to locate the Automated Flight Service Station here. We remain open to further discussion relating to any aspect of our "Best and Final Offer". If you have any questions concerning Fayetteville's proposal, please contact Ede Hogue, Airport Manager, at (501) 521-4750. Looking forward to hearing frau you, I remain, Sinely yours, Richard P. Osborne Assistant .9avor RPO/eph 1 1