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HomeMy WebLinkAbout1985-07-16 Minutes1 (9 MINUTES OF A MEETING OF THE BOARD OF DIRECTORS A regular meeting of the Fayetteville City Board of Directors was held on Tuesday, July 16, 1985 in the Board Room of City Hall, 113 West Mountain Street, Fayetteville, Arkansas. PRESENT: Assistant Mayor Johnson; Directors Bumpass, Hess, Lancaster and Martin; City Manager Grimes, Assistant City Manager McWethy, City Attorney McCord, City Clerk Kennedy; members of the press and audience ABSENT: Mayor Noland and Director Orton CALL TO ORDER In the absence of Mayor Noland, Assistant Mayor Johnson called the meeting to order at 7:30 P.M., with five Directors present, and asked for a moment of respectful silence. EXCHANGE STUDENTS 198.1 Johnson introduced exchange students from Belfast, Ireland -- David Larmour, age 13, and Joseph McBrinn, age 14 -- who are spending the summer with a Fayetteville family thiough "The Children's Committee", a program aimed at bringing Northern Ireland children together for a summer in the United States in an atmosphere of peace and tolerance. Johnson presented proclamations to Larmour and McBrinn, declaring them as "honorary citizens of Fayetteville" and presented them both with an official "key to the city". MUTUAL AID 198.2 The Board considered approval of the form of a Mutual Aid agreement between the City of Fayetteville and interested rural volunteer fire departments. 198.3 Johnson pointed out the proposed changes to the form already used by the city for mutual aid fire protection agreements with other cities: 198.4 Page 1, Paragraphs 1 & 2: "corporate" would read "service area" 198.5 Page 1, Paragraph 4: "cities" would read "jurisdiction" 198.6 Signature lines would reflect the name of the volunteer fire department 5 199 July 16, 1985 Director Bumpass, seconded by Martin, made a motion to approve the 199.1 contract form as amended. Director Johnson asked the Board whether they wished to consider author- izing the City.Manager or Fire Chief to execute such contracts, or whether the contracts should come before the Board for approval. The City Attorney stated that Board approval of the form of the contract would be authorization for the Mayor to execute the contracts without additional Board action. McCord added that, should additional entities be proposed, other than those already discussed, these ought to be Q specifically approved by the Board. Upon roll call, the motion passed, 5-0, with Noland and Orton absent. c RESOLUTION NO.65-85 APPEARS ON PAGE BOOK }{XII 182 OF ORDINANCE & RESOLUTION SANITATION CONTRACT Johnson reported that Northwest Arkansas Waste Management had asked that their request, for a two-year private collector's contract, be tabled pending a meeting with the City Manager. Director Bumpass, seconded by Martin, made a motion to table. Upon roll call, the motion passed, 5-0. SIDEWALK WAIVER/ZION ROAD • The Board considered a request from Fletcher Darby for a waiver of the literal requirements of the Master Sidewalk Plan. Johnson explained that Darby had built a house on the north side of Zion Road in 1983 and, through some miscommunication with his builder, believed that the Board had waived the sidewalk requirement. Fletcher Darby was present and told the Board he could not afford to build a sidewalk. Darby offered to give the city a 30 -foot easement if they would build the sidewalk at city expense. Darby explained that his deed shows his property line to be the center of the street. Grimes clarified that, if a 30 -foot easement were dedicated to the city, it would only take about ten feet of Darby's property. It was also clarified that the sidewalk would be built when the street is improved. Bumpass recommended the city accept Darby's proposal in lieu of a Bill of Assurance. Director Lancaster asked how Darby had been able to occupy the house without having built a sidewalk or having entered into a Bill of Assur- ance. Johnson explained that a building permit allows two years to complete construction and when Darby's permit expired, the staff realized 199 2 199.3 199.4 199.5 199.6 199.7 199.8 200 200.1 '200.2 200.3 200.4 July 16, 1985 that the Bill of Assurance had not been signed by Darby and that a Certificate of Occupancy had never been issued. Director Bumpass, seconded by Martin, made a motion to accept Darby's proposal. The City Attorney explained the office, he would prepare that, if Darby would bring his deed to an easement. Upon roll call, the motion passed, 5-0. 200.5 Director Bumpass noted that there have been several instances in the recent past where construction projects have taken two years to complete. Bumpass stated that, although this is lawful according to the ordinance, he thought most construction should take a much shorter period of time to complete. Bumpass suggested a shorter time period be established, such as nine months, with an opportunity for an administrative time extension -- so that the status of building permits can be reviewed sooner than two years from the time they are issued. City Manager Don Grimes pointed out that a two year period is sometimes needed in the case of an owner -built home which is constructed as time permits. 200.6 Director Lancaster stated he thought only the Board could grant a The City Attorney explained that Bills off-site improvements for a large scale must have Board approval; but that the that a sidewalk Bill of Assurance may sidewalk Bill of Assurance. of Assurance to guarantee development or a subdivision Code of Ordinances provides be granted administratively. 200.7 Director Hess pointed out that the Planning Office does require a $50 deposit with a building permit, which cannot be refunded until a Certificate of Occupancy is issued. Hess commented that this procedure does provide some control. 1 200.8 At the request of Director Bumpass, it was agreed that the City Manager would review .this issue and report back to the Board. FINANCE COMMITTEE REPORT 200.9 Director Martin, Chairman of the Board Finance Committee, reported on that committee's meeting of June 28, 1985. BUDGET ADJUSTMENTS AS OF APRIL, 1985 200.10 Martin reported that the staff requested approval of approximately ,$49,000 in budget adjustments as of April, 1985 and that the staff was asked to find $32,000 of that request from the existing budget, leaving total budget adjustments of $18,000 which could not be offset. • July 16, 1985 Martin noted that the purchase of a crash fire truck for the Airport in the amount of $184,000 will be more than offset by an FAA grant. Director Martin, seconded by Hess, made a motion to approve the budget adjustments as of April, 1985. Upon roll call, the motion passed, 5-0. RESOLUTION NO. 66-85 APPEARS ON PAGE 185 OF ORDINANCE & RESOLUTION BOOK XXII OTHER BUDGET ADJUSTMENTS Martin reported on the committee's recommendations regarding other budget adjustment requests: 1. The Municipal Court was asked to provide further information on its request for funds to attend a probation school. 2. Approval was recommended regarding the request for budget adjustments for water, sewer and street improvements in the Industrial Park -- with the understanding that those funds would be returned to the city when property is sold in the Industrial Park. 3. The only other budget adjustment recommended for approval, with no offsetting adjustment, was for a sign for the white hangar at the Airport, which the committee felt was justifiable. Director Martin, seconded by Hess, made a motion to approve the other budget adjustments. Upon roll call, the motion passed, 5-0. SOLID WASTE FACILITY BONDS Martin reported that, in a lengthy session, the Finance Committee reviewed the financial aspects of the Resource Recovery Facility bonds but made no recommendation at that time. Martin explained that, since the proposed facility is such a major, long-term, financial commitment for the city, the Board of Directors has not yet formed a conclusive opinion -- and will not until mid-August when all seven Board members can be present. Johnson explained that only five Directors were present at the Finance Committee meeting because Mayor Noland and Director Orton are on vacation, but that this issue will be considered again at the August 20 Board meeting. Johnson also welcomed comments from citizens who are interested in the project. 201 201.1 201.2 201.3 201.4 201.5 201.6 201.7 201.8 201.9 202 202.1 202.2 July 16, 1985 Director Bumpass pointed out that the project is not mandated by any regulatory agency and that part of it involves an opportunity to work in cooperation with the University of Arkansas -- he invited citizens to contact the City Manager or any City Directors with their feedback. Director Hess remarked that this project will directly affect the citizens in terms of increased water and sewer bills. Director Lancaster asked that the City Manager "keep an eye on expenses" in connection with this project between now and August 20th. BILL OF ASSURANCE/ABUNDANT LIFE TABERNACLE - 202.3 The Board considered a request by Dr. J. W. Maddox, on behalf of the Abundant Life Tabernacle, for approval of a Bill of Assurance to guarantee the installation of street improvements to Porter Road. Johnson explained that the request was heaid by the Planning Commission on July 8 and a recommendation to approve was passed by a vote of 4-1. 202.4 Dr. Maddox commented that, since in the near future work is projected to be done to Porter Road, it would be in his and the city's best interests to hold off on installation of the improvements at this time. 202.5 Director Bumpass, seconded by Martin, made a motion to accept a Bill of Assurance that improvements be made at the Call of the city. Upon roll call, the motion passed, 5-0. SALEM ROAD WIDENING 202.6 The Board considered a request from the Street Superintendent and City Manager for authorization to participate in the costs of widening Salem Road, south of Mount Comfort. 202.7 Director Bumpass suggested the Street Committee analyze this request in terms of the Public Works budget. City Manager Grimes pointed out that a developer on the south end has started a project, so that there are some time constraints. Bumpass commented that he was not convinced it was necessary to make such a large expenditure to widen Salem Road to four lanes when it will connect to a two-lane road -- but that he would be in favor of the road being extended between Highway 16 and Mount Comfort Road, which might require some contribution on the part of the city for a bridge to connect two subdivisions. 202.8 Director Johnson remarkedthat widening. the road to four lanes would almost make it a race track, in light of the fact that there are about 40 homes between Segments 3 and 1. July 16, 1985 Engineer Ervan'Wimberly, in answer to a question from Director Johnson, explained that in the past the city has participated in costs in connection with major bridges -- that the total estimated costs for this bridge would be $60,000 for two lanes or $75,000 for four lanes. Director Martin, with Hess concurring, expressed a preference for 203.2 spending money on the bridge rather than on widening the road to four lanes. 203 203.1 In answer to a question from Johnson, Wimberly explained the schedule proposed for the extension of Salem Road from Mt. Comfort Road to Highway 16 West: Segment 1 - From Highway 16 through Phase 1 and 2 of Walnut Grove Addition with a total length of 3050 feet - now under contract. Segment 2 - Phase 3 of Walnut Grove Addition with a total length of 550 feet - to be constructed within the next year or two. Segment 3 - Future development area of both additions with total length of 1080 _feet and including a bridge across Hamestring Creek - indefinite, as lot sales occur. - Segment 4 - Phase 1 of Michelle Addition with a length of 1720 feet - under design and to be under construction before the end of this summer. Director Martin, seconded by Hess, made a motion that the city not proceed with the four-laning of Salem Road at this point in time. Upon roll call, the motion passed, 5-0. Ervan Wimberly asked that the Board be aware of the conditions under which the Planning Commission approved the Michelle Addition on Mt. Comfort Road. Johnson explained that the Planning Commission decided that Lots 1 through 16 and Lot 87 be done away with, so that no lots would front on Mt. Comfort Road and thus the developer would not share in the cost of improvements, other than right-of-way dedication. Wimberly explained that the lot layout of the subdivision will be rearranged. • 16 WEST DRAINAGE City Manager Don Grimes recommended that the proposed plan for the installation of storm drainage facilities in the Highway 16 West area be referred to the Street Committee, which originally requested a report on this plan. 203.3 203.4 203.5 203.6 203.7 203.8 203.9 203.10 04 204.1 July 16, 1985 Director Bumpass, seconded by Hess, made a motion to refer this item to the Street Committee. 204.2 Director Martin remarked that this project should be brought up at budget time, unless there are strong, compelling reasons for it to be done at this time. 204.3 Upon roll call, the motion passed, 5-0. HIGHWAY 265/16 INTERSECTION 204.4 Johnson introduced a request by Director Orton that the Board indicate its desire to see a study initiated regarding the relocation on the city's Master Street Plan, of the intersection of Highways 16 East and 265 South. 204.5 Director Bumpass noted that this had been discussed by the Board in the past and he asked what steps would need to be taken in order to initiate such a study. City Manager Grimes explained the issue would have to go before the Planning Commission, the Technical Advisory Committee, the Regional Planning Commission's Policy Committee, and then back to the Board of Directors. Grimes stated he agreed with the idea of relocation because of the crossing hazards to children from Happy Hollow School. Director Bumpass stated he thought the 'relocation of the intersection would give relief to the high traffic area of Dockery, Cherry, Ray, Lee, and Helen Streets. 204.6 Director Martin remarked that he did not wish to make a decision on this issue in light of the small amount of information which had been provided. '204.7 Richard Seddon, resident on Happy Hollow Road, commented that Happy Hollow Road, on the Master Street Plan, appears to bisect his property right down the middle. Seddon stated that in 1972 he voiced his objections to the Board, that the road not go through his property. Seddon added that he was recently informed by the Arkansas Historic Preservation Program that his property will be nominated to the National Register of Historic Places. near the end .of this year. Seddon presented a letter from the Arkansas Historic Preservation Program to the City Clerk. 204.8 Director Hess pointed out the Board's action would only be to indicate a desire to initiate a study concerning possible relocation. 204.9 City Manager Grimes noted that this request originated from a Director, and he asked the Board to let the staff know what further information they wish to have on this item. Director Martin suggested the request should be tabled until Director Orton can be present. 205 July 16, 1985 Director Martin, seconded by Lancaster, made a motion to table the 205.1 request. Director Lancaster asked the City Manager to contact the Highway Department regarding a proposed relocation. Director Johnson asked Grimes for a list of procedures for changing the Masai, Plan. 205.2 L Upon roll call, the motion passed, 5-0. 205.3 H 0 ALLEY CLOSING Director Bumpass requested the City Manager provide the Directors 205.4 Q with a written explanation regarding the ordinance to abandon and vacate a 10' north/south alley between Rockwood Trail and Rebecca, east of Fallin Avenue. Bumpass noted that only three Directors were able to be present when the Board toured this location. Director Bumpass, seconded by Lancaster, made a motion to table this 205.5 item. Upon roll call, the motion passed, 5-0. NOMINATING COMMITTEE APPOINTMENT Johnson reported that the Nominating Committee had no recommendation at this time regarding an appointment of a person to fill an unexpired term on the Fayetteville Planning Commission. LIEN/620 SOUTH LOCUST Johnson introduced an ordinance imposing a lien on property located at 620 South Locust, for costs incurred by the city in razing and removing an unsafe structure previously located thereon. City, Attorney McCord explained that the property owner was sent a bill for costs and did not pay -the bill. McCord read the ordinance for the first time. Director Bumpass, seconded by Hess, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 5-0. The ordinance was read for the second time. Director Bumpass, seconded by Hess, made a motion to further suspend the rules and place the ordinance on third and final reading. Upon roll call, the motion passed, 5-0. The ordinance was read for the third time. In answer to a question from Director Bumpass, the City Attorney explained the demolition was done by a private contractor and the owner was charged the amount billed by the contractor. 205.6 205.7 205.8 205.9 206 July 16, 1985 206.1 Director'Bumpass, seconded by Bess, made a motion to pass the ordinance imposing a lien for costs incurred by the City of Fayetteville in razing and removing an unsafe structure. Upon roll call, the ordinance passed, 5-0. ORDINANCE NO. 3100 APPEARS ON PAGE BOOK XX II OF ORDINANCE & RESOLUTION EXTRA HOLIDAY PAY 206.2 Director Martin, Chairman of the Board Finance Committee, presented a report regarding the payment of extra holiday pay for emergency services employees for 1985. 206.3 Martin reported that, on June 28, the committee considered the question of extra holiday pay as recommended in the PARA study of last year -- part pay and part time off. Martin explained that the Police and Fire Chiefs later pointed out it would be difficult, with present staffing, to allow the staff to take time off; and they recommended that pay be granted in lieu of time off. Martin reported the committee recommended that budget adjustments totalling $12,032 for the Police Department and $9,360 for the Fire Department be approved. Martin pointed out that, if the adjustments are riot made and employees are given time off, other officers would have to work overtime and that expense would be greater than the amount of the budget adjustments. Martin reported also that the committee has asked the Chiefs to study this question and to report back to the Finance Committee as to what arrangements could be made to provide a reasonable amount of time off within scheduling capabilities. 206.4 It was clarified that holiday pay would be at the rate of "straight time" and overtime pay would be at the rate of "time and one-half". 206.5 Director Martin, seconded by Bumpass, made a motion to approve the recommendation -of the Finance Committee. Upon roll call, the motion passed, 5-0. RESOLUTION NO.67-85APPEARS.ON PAGE 205 OF ORDINANCE & RESOLUTION BOOK xXII 206.6 Johnson asked the City Manager if each of the employees had been given a summary of their holiday pay from the Personnel Officer. Finance Director Linebaugh responded that the Personnel Office had been working on the preparation of that information but came to a stopping point when new information became available regarding the effect of the Fair Labor Standards Act. July 16, 1985 INVESTMENT POLICY Director Martin reported for the Finance Committee regarding changes in the city's investment policy. Martin explained that problems had recently been encountered in the city's short-term investment policy. Martin explained that, in view of certain losses on some bank investment portfolios, the banks are facing widespread requests by all governmental institutions to pledge securities behind temporary investments. Martin explained that as a result of this, the'banks are running out of securities which can be pledged and the city's Finance Director was forced to 0 consider investments which, although reliable, had considerably lower yields than Certificates of Deposit. Martin reported that the Finance C Director and the Finance Committee has recommended that the staff Q be authorized to purchase federal funds without going out on a bidding basis to the banks. Martin added that banks, on short term investments, can lose interest in the bidding process. Martin, seconded by Bumpass, made a motion that the Finance Director be permitted to purchase federal funds from local banking institutions or others without going out on a bid basis. Director Bumpass asked if the staff could operate through a brokerage firm and Finance Director Linebaugh explained that the city's current policy states that investments must be made with local institutions. Martin noted that Linebaugh would be investigating this question and will bring a recommendation on that issue to the Finance Committee. Upon roll call, the motion passed, 5-0. CEMS PERSONAL COMPUTER SYSTEM Director Martin reported for the Finance Committee regarding a request for an addition of $3,567 to the budget subsidy of the Central Emergency Medical Services, to allow the purchase of a personal computer system. Martin explained CEMS had originally requested this amount be included in their budget but the Finance Committee asked them at that time to explore other, less-expensive, alternatives. CEMS came back to the Finance Committee with the report that they still felt their original request would give them the most return for their money. Martin explained the amount would supplement approximately $3,500 CEMS already has budgeted for the purchase. Martin reported the committee felt the request was justified and recommended approval, with the stipulation that, if CEMS no longer has a need for the use of the computer, it would revert to the city's use. Director Johnson added that CEMS has also been able to raise $5,065 to purchase software. Director Martin, seconded by Hess, made a motion to approve the request for an addition of $3,567 to the LEMS budget for the purchase of a personal computer system. Upon roll call, the motion passed, 5-0. 207 207.1 207.2 207.3 207.4 207.5 207.6 208 July 16, 1985 RESOLUTION NO.68-85 APPEARS ON PAGE 206- OF ORDINANCE & RESOLUTION BOOK XXZI FULL-TIME SIDEWALK INSPECTOR 208.1 Director Martin presented a report from the Finance Committee regarding its recommendation that the Inspection Department's sidewalk inspector be made a full-time position for the months of July and August, 1985. Martin explained this request was made by the Inspection Superintendent in response to a mandate by the Arkansas State Plumbing Department that the University of Arkansas (beginning in June of 1985) have plumbing inspections. Martin further explained that the staff wishes to transfer some of the duties for inspecting unsightly property from a full-time inspector (who is licensed to do plumbing inspections) to the sidewalk inspector, in order to free up the licensed inspector to conduct the U of A's plumbing inspections. 208.2 Director Martin, seconded by Hess, made a motion to approve the request. 208.3 Finance Director Linebaugh pointed out that, with this change in status from 20 hours per week to 40 hours per week, the sidewalk inspector's full-time status would be that of a temporary employee not entitled to benefits of permanent, full-time employment. 208.4 In answer to a question from Director Johnson, Inspection Superintendent Freeman Wood explained that, after discussions with the U of A Physical Plant Superintendent, the amount of inspections anticipated to be processed for the U of A is unknown at this time. Wood told Johnson that inspections would be made for all construction at the U of A after June 1, 1985. Wood also told Johnson that, as of September 1, the sidewalk inspector's status would revert back to 20 hours per week sidewalk inspection only. 208.5 Johnson stated she could not see approving the request when the scope of the job is unknown, and she asked what the sidewalk inspector would be doing until such time as the U of A inspections begin. Wood responded that there were enough inspections of unsightly property to keep two inspectors busy. 208.6 Upon roll call, the motion passed, 4-1, with Johnson voting in the minority. RESOLUTION NO.69-85APPEARS ON PAGE 207 OF ORDINANCE & RESOLUTION BOOK XXII 208.7 Director Johnson asked under whose name violation notices would be sent out to property owners with overgrown lots. City Manager Grimes explained that normally such notices are sent by the Inspection Department. July 16, 1985 ADVERTISING & PROMOTION COMMISSION PROJECT Director Martin reported for the Finance Committee regarding its recom- mendation to authorize additional funds to the Advertising and Promotion Commission for a Convention/Visitors Project. Martinreported that, at the request of the Board, the Advertising and Promotion Commission made a presentation at the June 28th committee meeting, to ask for W funding for the establishment of a Convention/Visitors Division of the Fayetteville Chamber of Commerce. Martin explained the project 7-1 is to be a joint funding venture between the City, the Fayetteville 0 Chamber of Commerce and the University of Arkansas -- with its purpose being to advertise and promote conventions. and tourism in the city. Martin added that the venture is eventually expected to be funded Q in part by brokerage fees which local hotels and motels would pay on bookings. As background, Martin explained that the city's Advertising and Promotion Fund was established in 1977 when the Hotel/Motel/Restaurant Tax was levied in anticipation of the construction of the Continuing Education Center -- that until the facility was built, the excess taxes were contributed to the Advertising and Promotion Fund. Martin explained that when the Center was built in 1979, no additional funds were placed in the Fund, which dwindled down to about $60,000 in 1983. In December of 1983, the Board allocated $60,000 per year, for three years, from excess H/M/R taxes for advertising and promotion in the city. Starting after the last $60,000 allocation in 1986, Martin said the Fund is expected to be depleted -- so that, in order for the advertising and promotion activities to continue at their present level, the Finance Department has projected it would require a minimum of $100,000 per year, beginning in 1987. Martin reported that it is projected that the H/M/R Tax will generate more funds than originally expected -- at the end of 1985, the H/M/R excess, other than "a modest amount for advertising", will amount to approximately $900,000. Martin stated it is also projected that the Arts Center -project will have available to it an average of $287,000 per year for the next ten years if it is given all the H/M/R tax excess, except for $100,000 proposed to be given to the Advertising and Promotion Fund. Martin reported that the Finance Committee decided a two-year commitment of an additional $40,000 per year for the Convention/Visitors Division was appropriate and was a good investment; that the Finance Committee recommended the allocation with the following stipulations: (1) that control of the project be left with the Advertising and Promotion Commission; (2) that the Commission enter into an agreement with the hospitality industry before the funds are spent; and (3) that the Commission add a University representative to its membership. • 209 209.1 209.2 209.3 209.4 210 July 16, 1985 210.1 Director Martin, seconded by Bumpass, made a motion to approve the recommendation of the committee. 210.2 Director Johnson noted that, by 1995, it is projected that the total amount of funds available for the Arts Center project will $3,787,000. 210.3 Director Bumpass, a member of the Commission, commented that this will be "money well spent" and an opportunity to develop a program that will expand the city's tourism base. Bumpass stated he thought that "this is one part of city government where we can advertise and actually get a return on our investment". Bumpass added that the Commission has discussed meeting on a more regular basis. 210.4 Upon roll call, the motion passed, 5-0. 210.5 City Attorney McCord stated he would draft a contract between the city and the Fayetteville Chamber of Commerce; and a brokerage contract with the hospitality industry for review and approval by the Board of Directors. McCord added that the contract would contain a provision that the administration of the contract would be by the existing Commission and a representative of the University to be appointed by the President. 210.6 Director Lancaster stated he thought it was agreed representative would be in an advisory capacity be a voting member of the Commission. Director that, since the University is making a financial Division, they ought to have a vote. Director thought the University representative should have the impact on the Continuing Education Center. that the University only and would not Martin pointed out contribution to the Johnson stated she a vote because of 210.7 The City Attorney stated he would prepare a contract approval at an August meeting. for the Board's WATER LINE OVERSIZING/SASSAFRASS HILL ROAD 210.8 The Board considered a request by the Water and Sewer Superintendent for authorization to oversize (to six inches) a proposed water line on Sassafrass Road. Johnson reported that the staff's recommendation is that the bid be awarded to the low bidder, Don Mitchell Construction Company, for $7,470 -- with the cost to the city being $4,067.50. 210.9 Director Hess made a motion to recommend the award of bid to Don Mitchell Construction Company. 210.10 In answer to questions from Director Bumpass, Water and Sewer Superin- tendent Don Bunn stated only two or three residents would tie on to this line; that a 6" line would serve hundreds of residents and the life of the line would range from 30 to 50 years. Bunn explained that a 6" line was installed on Sassafrass Road about ten years ago • rl 10 0 actQ July 16, 1985 and the staff felt it was in the best interest of the system as a whole to keep to a 6" line. Bumpass commented that a great. deal of money has been invested in the overbuilding of water lines in the growth areas and that perhaps there will never be enough population in those areas to justify the oversizing of lines. Bunn explained that the extension of a 2" line for more than a mile or two does not provide adequate service. In answer to a question from Director Lancaster, Bunn stated this request had not been presented to the Water and Sewer Committee. Director Martin seconded the motion. Upon roll call, the motion passed, 4-1, with Bumpass voting in the minority. Director Johnson, seconded by Martin, made a motion to pass a resolution authorizing the award of bid to Don Mitchell Construction Company. Upon roll call, the motion passed, 5-0. RESOLUTION NO. 70-85 APPEARS ON PAGE 208 OF ORDINANCE & RESOLUTION BOOK kxii SEWER REHAB PROJECT The Board considered a request by the. Water & Sewer Superintendent for authorization to waive the Professional Services Selection Policy, for engineering services in connection with a sewer rehabilitation project. Johnson noted that the staff's recommendation is that McGoodwin, Williams and Yates be retained for the project. Bunn explained that McGoodwin, Williams and Yates conducted a Demonstration Sewer Rehabilitation Project for the city in 1982, and he and the Water and Sewer Committee recommends this firm because they did an excellent job on the demonstration project and because of their involvement in the original plans and specifications of the rehab project. Director Lancaster made a motion to approve the recoendation. Bunn added that the request for waiver of the policy is conditioned upon the negotiation of a favorable contract with the firm. 'In answer to a question from Director Bumpass, Bunn told the Board the range of anticipated engineering fees would be about 15% of total construction costs which are estimated to be about $850,000, including the preparation of plans and specs, construction management and monitoring prior to and after the construction project. Bunn pointed out some revision and updating of the plans (which are five years old) would be necessary. 211 211.2 211.3 211.4 211.5 211.6 211.7 211.8 211.9 212 212.1 July 16, 1985 Director Johnson requested that the contract contain a provision for a time schedule with a penalty for violation thereof, since the city is under an Order from the Department of Pollution Control and Ecology. 212.2 Director Martin asked Bunn if he thought retaining McGoodwin, Williams and Yates would result in a lower cost than if the city were to follow its Professional Services Policy. Bunn responded that the city would be better off if it were to go out for proposals and it received a lower bid from a firm with better qualifications -- but he stated it was his opinion the city would not gain anything by following the policy on this project. In answer to a question from Bumpass, Bunn stated that, in the proposal process, every firm would have the benefit of available data on the project so far. Bumpass commented that, although McGoodwin, Williams and Yates may have the best proposal and the best price, he felt the city's responsibility should be to the taxpayers and not to "a particular allegiance or intangible feeling that we might have for any of our professional consultants". 212.3 Director Bumpass, seconded by Johnson, made a motion to go out for proposals. 212.4 Bunn pointed out that it may be as late as the first meeting in September before this issue comes before the Board again, as firms need about three weeks to formulate proposals. Bunn explained that construction must start next Spring. 212.5 Upon roll call, the motion passed, 5-0. CHANGE ORDER 114/SEWER PLANT CONTRACT 212.6 The Board considered a request by the Water & Sewer Superintendent for authorization of Change Order #4 to the city's sewer plant construction contract. Don Bunn noted this change order includes the addition of the belt press. 212.7 Director Lancaster, seconded by Bumpass, made a motion to approve the Change Order as recommended by the Water and Sewer Committee. 212.8 Dennis Sandretto, Project Manager for CH2M Hill, explained that, following negotiations with the contractor, Olsen Construction Company, CH2M Hill's recommendation was to add a Jones Belt Filter Press with a • new conveyor; and to delete the Sludge Storage Reservoir -- for the reason that they view the reservoir as redundant, because of the 15 days of sludge storage in the plant and the sludge application site. Sandretto added that their analysis shows that, in the last thirty years of record, there would have been about three days during which more than 15 days of storage would have been needed. Sandretto noted there were differences between CH2M Hill's and Olsen's cost estimates in connection with the Sludge Storage Reservoir, part of which was July 16, 1985 caused by Olsen's original plant bid. Sandretto explained the Water and Sewer Committee decided to recommend retaining the Sludge Storage Reservoir because of the added flexibility it would give the city. Director Johnson asked if the State had eliminated their requirement for the sludge storage. Sandretto responded that the State gave "concep- tual approval" to making a trade between the thirty -day Sludge Storage Reservoir and the Belt Filter Press, and would need to review Change Order #4. Sandretto pointed out that the addition of the Belt Filter Press, over and above the Sludge Storage Reservoir, will be 100% city - funded. In answer to Director Hess, Sandretto noted that, although CH2M Hill's estimate of deductive costs may be too high, he felt that the con- tractor's estimate may be too low. Upon loll call, the motion passed, 5-0. 213.4 RESOLUTION NO. 71-85 APPEARS ON PAGE 264 OF ORDINANCE & RESOLUTION BOOK XXII 213 213.1 213.2 213.3 BID WAIVER/STREET REPAIR The Board considered a request by the Water & Sewer Superintendent for_ authorization to waive formal bidding requirements for the repair of a street; and for a budget adjustment to pay for the project. Johnson explained the repair includes a 16" water line which ruptured under a paved street at the Northwest Arkansas Mall. The initial estimate for repair at the time the damage occurred was $5,000, but the actual costs were $16,225. The City Attorney read, for the first time, an ordinance to waive the bidding requirements. Director Bumpass, seconded by Johnson, made a motion to suspend the rules and place the ordinance on second reading. Upon roll call, the motion passed, 5-0. The ordinance was read for the second time. 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, 5-0. The ordinance was read for the third time. Director Bumpass pointed out that two estimates were submitted for the repair, from the only two qualified contractors with an $8,000 variation in price. Bumpass explained the Board was voting on the lower estimate, rather than going out for bids. Upon roll call, the ordinance passed, 5-0.. ORDINANCE NO. 3101 APPEARS ON PAGE 1, 8 OF ORDINANCE & RESOLUTION BOOK X X II 213.5 213.6 213.7 213.8 214 214.1 a July 16, 1985 It was clarified that the request for budget adjustment was approved in an earlier agenda item along with other budget adjustments. 214.2 *THE MEETING RECESSED AT ABOUT 9:54 P.M. AND RECONVENED AT 10:00 P.M.* BID AWARD //632/PROPERTY INSURANCE 214.3, The Board considered the award of Bid 11632 for property insurance. Finance Director Scott Linebaugh reported that Consultant Bob Hall was asked to contact national firms to obtain quotes (in addition to those already received). Linebaugh reported that one national firm stated the quotes we already had were extremely good and the other national firm submitted a quote for $6,000-$8,000 less than those quotes we already had (although it did not cover the short -rate penalty). Linebaugh reported that Hall recommends changing from the current $1,000 deductible to a $50,000 deductible and accepting the terms presented in the Finance Committee meeting, with the new premium being $57,012. In answer to a question from Director Martin, Linebaugh reported the premium quoted for renewal of the $1,000 deductible policy would be $67,872. 214.4 Director Martin, seconded by Hess, made a motion to approve the renewal of the city.'s property insurance policy, with a $50,000 deductible at a premium of $57,012. 214.5 In answer to a question from Director Johnson, Hall clarified that the total $72,968 bid received from McCartney Faucette included a $67,872 premium to cover buildings and contents, with the additional amount covering boiler and machinery coverage, and computer coverage (items for which a larger deductible was not available). Hall clarified also that the actual amount of premium would be $57,012 plus the difference between $67,872 and $72,968. 214.6 Director Martin asked Hall to comment on the, fact that one reason given for the increase in the city's auto insurance premium is our adverse loss experience -- yet rates have been increased on the city's property insurance when there have been no losses in ten years. Hall responded that the insurance company which held the city's property insurance sent the city a 30 -day cancellation notice, not because of losses, but with the explanation that they were withdrawing from the market. Hall explained that the company which held the city's auto insurance also sent a 30 -day cancellation notice before renewal date. Hall noted that the city went out for bids on the auto insurance and only one commercial auto bid was received. 214.7 In answer to questions from Bumpass, Hall explained that the $50,000 deductible would not be cumulative but would be charged per occurence. Hall commented that he did not think the $50,000 deductible would O c Q July 16, 1985 be cost-effective and he recommended the city stay with the $1,000 deductible coverage. Hall added that total blanket coverage on buildings and contents would be $17,500,000. Director Martin withdrew his motion, stating he thought the city "had its back to the insurance wall" -- and with only one bid submitted, it is not known whether that company is being fair. Hall reassured the Board that although bids are submitted from local agents, they represent national companies. In answer to was $11,652. there is an no losses. Director Hess, Hall stated the city's premium last year Hess commented that "something doesn't make sense" when increase from that amount to $63,222, with ten years of Hall explained that although it may have been well -needed when a law was passed in Arkansas requiring municipalities and governmental units to bid their insurance every two or three years, it is now hurting companies which feel they can't recover their losses when policies are re -bid and a company loses the bid. Director Lancaster, seconded by Martin, made a motion to approve the property insurance with a $1,000 deductible, and to continue to shop at a later date. Upon ioll call, the motion passed, 5-0. BID AWARD 11633/VEHICLE LIABILITY INSURANCE The Board considered the award of Bid 11633 for vehicle liability insurance. Finance Director Linebaugh reported that the city's current vehicle liability insurance was reviewed at a Finance Committee meeting and comprehensive coverage has increased from a $1,800 premium to a $21,200 premium. Linebaugh reported that the Municipal League's insurance program was reviewed by him and coverage would be on a $25,000/$50,000/$15,000 basis. Linebaugh explained this coverage is lower because State law covers anything above those amounts under "tort immunity". Linebaugh reported the Municipal League's loss ratio to date is 17% for the physical policy and 29% for the liability policy - and they've achieved 50% growth in the program since 1985. Linebaugh reported the city's vehicle liability costs would be $80 per vehicle, which would amount to $17,200; and vehicle collision and comprehensive coverage would amount to $36,111.99 (with a $50 deductible). Linebaugh noted the Municipal League total coverage amount is $53,000 and the only bid received (with comprehensive dropped) was for $44,705. Linebaugh pointed out that the League has one type of coverage only, with no uninsured motorists coverage. Linebaugh also noted that, although the city would be covered under tort immunity for amounts above the 215 215.1 215.2 215.3 215.4 215.5 215.6 215.7 215.8 216 216.1 July 16, 1985 Municipal League's range of coverage, insurance agents have stated employees driving city vehicles could be subject to lawsuits for amounts above the range of coverage. Linebaugh reported that Hall recommends awarding the bid to Renner and Company. 216.2 Director Martin, seconded by Lancaster, made a motion to award Bid #633 to Renner and Company, for $44,705. Upon roll call, the motion passed, 5-0. BID AWARD 11634/PUBLIC OFFICIAL & POLICE PROFESSIONAL LIABILITY INSURANCE 216.3 The Board considered the award of Bid 11634 for public. official and police professional liability insurance. 216.4 Linebaugh reported this insurance policy was discussed at the Finance Committee meeting and the Municipal League's policy was reviewed. Linebaugh reported that Hall feels the. League's $200,000 limit was not adequate - and noted that the League only has $700,000 of assets in their fund for this insurance. Hall recommended the bid be awarded to Markel Service, Inc. 216.5 Director Lancaster, seconded by Martin, made a motion to award Bid #634 to Markel Service, Inc., for $33,930. Upon roll call, the motion passed, 5-0. 216.6 Director Martin asked that renewals for next year be considered 60 to 90 days prior to expiration. Linebaugh pointed out that it is a statewide problem now that bidders have begun to state they will not submit bids because municipalities are going out for bids every year. 216.7 Director Johnson asked the City Manager to investigate the number of vehicles being covered - she commented that cost savings might be realized if some vehicles were eliminated. 216.8 Director Hess stressed the need for the institution of an auto safety program. City Manager Grimes reported that such a program is now underway. 216.9 In answer to a question from Director Johnson, Budget Coordinator Judy Huffaker stated that requests for budget adjustments on the insurance bids will come back to the Board at a later date. DIRECT TELEPHONE LEASES AT AIRPORT 216.10 Director Lancaster presented a report from the Board Airport Committee regarding the renewal of direct -dial telephone leases with the Hilton Hotel and the Best Western Inn. Lancaster reported that these leases July 16, 1985 have been renewed annually. Speaking on behalf of the Airport staff, Ede Hogue explained that direct -dial telephone space rents for $20 per month if the lessee is also leasing advertising space at $80 per month. Hogue pointed out that the rates have not increased. Director Hess, seconded by Bumpass, made a motion to approve the renewal .of direct dial telephone leases at the Airport. Upon roll call, the motion passed, 5-0. r1 RESOLUTION NO. 72-85 APPEARS ON PAGE 2664 OF ORDINANCE & RESOLUTION Q BOOK xxII NORTHWEST AIR LEASES The Board considered a recommendation from the Airport Committee to approve the renewal of Northwest Air's hangar and terminal building leases. Director Johnson noted the hangar lease rental is $500 per month and the terminal lease rental is $100 per month. Ede Hogue explained, in response to a. question from Director Bumpass, that there is no long-term amortization on the hangar lease. The City Attorney explained that the hangar will be paid off when occupancy is sufficient to generate revenues, at which time a bond buyer may be convinced that debt service can be met from project revenues. McCord added that the Airport Committee was trying to generate competition at the Airport now so that rentals will be sufficient enough to sell bonds. 217 217.1 217.2 217.3 217.4 Director Bumpass, seconded by Hess, made a motion to approve renewal 217.5 of the leases. Upon roll call, the motion passed, 5-0. RESOLUTION NO. 73-85 APPEARS ON PAGE 280 OF ORDINANCE E. RESOLUTION BOOK xxii REPUBLIC PARKING LEASE RENEWAL Ede Hogue reported on behalf of the Airport Committee regarding the approval of Republic Parking's proposal to renew the present lease agreement for an additional five years. Hogue explained the present lease, which expires in September, contains an option for the city to renew for an additional five years. Hogue asked that the new lease contain a provision wherein rentals would be based on a percentage scale, where the city would receive 50% of their gross, up to $100,000 in revenue. Hogue reported revenue for the past couple of years has been around $60,000 per year. Hogue also asked that the performance bond be decreased from $100,000 to $10,000, stating that $100,000 is excessive for the size of their operation. Hogue noted that average revenue due the city monthly is around $3500. Hogue also pointed 217.6 218 July 16, 1985 218.1 out the lease contains a 30 -day cancellation clause. In answer to a question from Director Bumpass, Hogue explained that, although an audit has not been required, Republic Parking is required annually to present a certified statement and a monthly statement of gross revenues. Hogue stated if the city were to go out for bids for a new parking lot operator, she didn't think the city would receive in excess of $30,000 per year from the parking lot. 218.2 Director Lancaster noted the Airport Committee recommends approval of the lease and Lancaster, seconded by Martin, made a motion to approve the renewal of the lease with Republic Parking for an additional five years. Upon roll call, the motion passed, 5-0. RESOLUTION NO.74-854PPEARS ON PAGE 293 OF ORDINANCE & RESOLUTION BOOK XXII 218.3 Director Bumpass asked that the,Finance Department provide some support to the Airport staff regarding conducting a "hands-on audit", such as a simple car count -- Bumpass stated he did not like the idea of accepting figures which are not certified under oath or submitted to a state agency. Hogue stated airport staff would discuss this question with the Finance Director. AIRPORT RESTAURANT LEASE 218.4 The Board considered a recommendation from the Board Airport Committee for approval to advertise for bids for the Airport Restaurant; and to strike the words "fast foods" from the lease. 218.5 Ede Hogue noted the lease would expire in December of 1985. Hogue explained that eliminating the words "fast foods" from the lease would allow the opportunity for a restaurant operator to offer more than just "fast foods". 218.6 Director Hess, seconded by Bumpass, made a motion to approve advertisement for bids for the Airport Restaurant; and to strike the words "fast foods" from the lease. 218.7 Hogue explained, in answer to a question from Bumpass, that base rent is "8% of gross, not to be less than $1700 per month". Hogue stated this has increased each year, based upon the Consumer Price Index. Hogue added that the city receives, as verification of the restaurant's gross sales, a copy of their sales tax report. Hogue, in answer to Bumpass, stated the city pays the utilities for the restaurant. 218.8 Upon roll call, the motion passed, 5-0. July 16, 1985 AIRWAYS FREIGHT LEASE RENEWAL The Board considered a recommendation from the Airport Committee regarding the renewal of Airways Freight's lease. Hogue explained that Airways Freight is also known under the name of Edd Caudle. Hogue stated the recommendation is that there be no rental increase for this tenant, the only freight operator at the Airport. Hogue explained that the tenant owns the building and only pays rent for the space where the building is located. Hogue noted th'e lease contains an option which 7.4 states that, if the city were to build a freight facility at the Airport © at any time during the term of the lease, the lease would terminate and the city would provide space for the operator in the new facility. cDirector Bumpass, seconded by Hess, made a motion to approve the lease as recommended. Upon roll call, the motion passed, 5-0. RESOLUTION N0. 75-85 APPEARS ON PAGE 304" OF ORDINANCE & RESOLUTION BOOK XXII ATLANTIC SOUTHEAST AIRLINES LEASE AGREEMENT The Board considered a recommendation from the Airport Committee regarding the request of Atlantic Southeast Airlines to change the terms of their lease agreement, guaranteeing all rentals and charges for a period of one year. Director Bumpass commented he would prefer a three—year guarantee, with a minimum increase. Hogue stated the staff did not wish to limit themselves in negotiations with airlines, because they are the largest source of revenue for the operation of the Airport. Hogue pointed out that, according to FAA regulations, the city must give the same lease to all the airlines. Hogue explained that other airlines have a clause in their leases which states "...if you discontinue service to Fayetteville this lease can be terminated..." Hogue explained that, initially, there was a misunderstanding in that ASA thought "a three—year commitment" was a three—year lease, until they were presented with our lease which had an expiration date of 1996 and a three—year guarantee. Hogue added that ASA objected to the three—year guarantee being combined with no ceiling on rate increases. Hogue also noted ASA has agreed to the- $18 per square foot rental which was in effect at the time they signed their lease. Director Hess, seconded by Bumpass, made a motion to approve the request. Upon roll call, the motion passed, 5-0. RESOLUTION NO. 76-85 APPEARS ON PAGE 308 OF ORDINANCE & RESOLUTION BOOK xxII 219 219.1 219.2 219.3 219.4 219.5 220 July 16, 1985 AIRPORT IMPROVEMENT PROJECTS 220.1 Director Lancaster presented a recommendation from the Board Airport Committee regarding authorization to submit two applications for airport improvement projects for federal funding (terminal apron expansion ' and runway and taxiway overlay; and the acquisition of three acres adjacent to the south end of the airport). Lancaster stated an offsetting budget adjustment was found for this purpose. 220.2 Director Lancaster, seconded by Hess, made a motion to approve the recommendation of the Airport Committee. 220.3 Johnson noted that the application for the taxiway overlay and expansion application will be for $1,084,660; and the other application will be for about $66,000 for the acquisition. It was pointed out that these projects would be 90% federally funded, and Hogue explained that, on a one-year grant, the State would participate 5% up to $30,000; and that if this becomes a multi-year grant, there is the potential of receiving that twice. Hogue also noted that the submission of the application for the terminal apron expansion and runway taxiway overlay is at the request of the FAA. 220.4 Upon roll call, the motion passed, 5-0. STRUCTURAL SYSTEMS BONUS 220.5 The Board considered a request for a budget adjustment for the payment to Structural Systems, Inc. of an early completion bonus, for the Aero -Tech Maintenance Hangar, in the amount of $6,075. 220.6 Director Bumpass asked if the city would recover the cost of the bonus payment through rental payments by this tenant. Airport Manager Dale Frederick commented that he did not know of any direct way to recoup this cost from any tenant at the Airport; but that hopefully this won't happen again in the future. 220.7 Director Lancaster explained that the contract contained a clause which provided for a bonus payment if construction was completed before the termination date of the contract -- and a penalty if construction ran beyond the termination date. Lancaster noted that the original request for the bonus payment contained too many rainy days and the contractor agreed to eliminate 11 of the days. Frederick explained that the city had an incentive to include the bonus provision in the contract because of an interest in seeing the building completed as soon as possible. 9?1 July 16, 1985 Director Martin commented that the contractor did a good job in negotiating 221.1 the contract and in completing construction of the building. Martin noted that the city should give credit for bad weather days in assessing a penalty, but not in assessing a bonus -- when in fact the actual completion date fell after the penalty date. Director Lancaster, seconded by Martin, made a motion to approve the 221.2 request. Upon roll call, the motion passed, 5-0. RESOLUTION NO. 78-85 APPEARS ON PAGE 324 OF ORDINANCE & RESOLUTION BOOK XXII AIRPORT CONTRACT AMENDMENT The Board considered a recommendation from the Airport Committee regarding an amendment to a contract for engineering services with McClelland Consulting Engineers, Inc., in order to comply with an FAA requirement for full-time resident construction observation, and to modify the contract for the taxiway runway lighting systems and the electrical manhole and duct extensions. Director Bumpass, seconded by Martin,made a motion to approve the amendment to the contract for engineering services with McClelland Consulting Engineers, Inc., as recommended by the Airport Committee. Upon roll call, the motion passed, 5-0. RESOLUTION NO. 79-85 APPEARS ON PAGE 325 OF ORDINANCE & RESOLUTION BOOK XXII AIRPORT LANDING & SPACE FEES Director Lancaster presented a report from the Airport Committee regarding approval of the changing of fees charged to airlines for landing and the use of exclusive and non-exclusive space -- for a decrease from $18.21 to $12.00 for exclusive space; from $6.43 to $6.00 for non- exclusive space; and from $.45 to $.40 for landing fees. Lancaster explained the Airport Committee does not consider this a subsidy because they feel they let certain fees "get out of line", compared to fees charged both locally and in Fort Smith, Little Rock, Joplin and Tulsa. Lancaster noted the adjustment in feesis made in an attempt to be competitive with the other airports. Director Lancaster, seconded by Martin, made a motion to approve the recommendation of the Airport Committee that the fees be changed. Director Bumpass voiced his disapproval, commenting that this change was a subsidy. Bumpass stated he felt the city had a policy that 221.3 221.4 • 221.5 221.6 221.7 221.8 ?22 July 16, 1985 222.1 the airport would pay for itself. Bumpass remarked that rents being paid are "a minute fraction" of total revenues, that tenants have negotiated the city into giving up the idea of "cost of service" or general recovery on the investment. Bumpass remarked that "it was very risky business" for the city to have built the maintenance hangar when it didn't recover its costs, something Bumpass stated isn't done in any other part of city government. 222.2 Director Martin stated he normally would be a great proponent of the idea of city facilities bearing their cost of service but, in this situation, it was "a symbolic action" which was a statement to new airlines that the Fayetteville airport is in competition with other facilities in the region. Martin commented that a "cost of service" base of pricing only works in a monopoly situation, not when there is competition. Martin commented that the city should operate the airport as a business, not on the basis of "what is the least or most we can do" to keep the carriers at the airport. 222.3 Director Hess asked the Airport Manager if he estimated the existing pricing structure to be unjust. Frederick stated that, according to a survey just completed and based on complaints from airlines, Fayetteville's fees are the "next highest in the system". Frederick commented though that it was common knowledge that the fees being paid are a very small percentage of operating expenses. Frederick stated he thought the adjustment will be "a shot of encouragement" to the airlines to add more service, to reduce their fares, and increase boardings. 222.4 Upon roll call, the motion passed, 5-0. BID AWARD/RE-ROOF CENTRAL FIRE STATION 222.5 The Board considered the award of Bid 11635 for re -roofing the Central Fire Station. Johnson reported the low bidder was Franklin and Son for $12,760 and- that $14,000 has been budgeted for this work. 222.6 Director Hess, seconded by Martin, made a motion to award Bid #635 to Franklin and Son. Upon roll call, the motion passed, 5-0. BID AWARD/IRRIGATION SYSTEM 222.7 The Board considered the award of Bid 11637 for an irrigation system for the Lake Fayetteville ballfields. Johnson reported the low bid was submitted by Revelle Irrigation System, for $8,953.12. 222.8 Director Bumpass, seconded by Hess, made a motion to award Bid #637 to the low bidder. Upon roll call, the motion passed, 5-0. • • July 16, 1985 ACCESS ROADWAY/GREGORY PARK 223 The Board considered a resolution authorizing the Mayor and City Clerk 223.1 to execute a contract for engineering services with McClelland Consulting Engineers, for the design of an access roadway through Gregory Park. Director Bumpass, seconded by Hess, made a motion to authorize the 223.2 LO Mayor and City Clerk to execute a contract for engineering services with McClelland Consulting Engineers for the design of an access roadway H through Gregory Paik. 0 1-3 Johnson noted that the city's professional selection policy was followed 223.3 a in this case, with the fee to be $8,500. Upon roll call, the motion passed, 5-0. 223.4 Director Johnson pointed out to the engineer that, at the last Board meeting, Director Lancaster asked that -a look be taken at the turn lane at the intersection of Sycamore and College. RESOLUTION NO. 79A-85 APPEARS ON PAGE 331 OF ORDINANCE & RESOLUTION BOOK XXTT OTHER BUSINESS STATE BIDDING REQUIREMENTS RE INSURANCE Director Hess commented on what he thought was a lack of justification for the State to require municipalities to bid out insurance on a yearly basis. Hess stated he thought this was costing this city and other cities a lot of money. Hess proposed the Board pass a resolution to be sent to the Arkansas Municipal League for them to investigate legislative action to repeal the laws concerning this requirement. Director Johnson pointed out that the Municipal League has already held the meeting at which they approve resolutions for the coming year. Johnson suggested directly contacting legislators in the event that there might be another special legislative session. Director Martin suggested that, before sending out a resolution, the staff develop some research on the background of this requirement; and with the insurance consultant, develop some arguments on why this requirement is hurting the city. "EL CHICO" SIGN Director Bumpass asked for an explanation regarding the "El Chico Restaurant" sign, commenting that the sign is too big. The City Attorney explained that the sign is in compliance with the Sign Ordinance, in that a lease has been executed for property which abuts a controlled access highway. McCord noted the sign is smaller than the 200 square feet of display surface .area which is permitted. Director Bumpass 223.5 223.6 223.7 223.8 223.9 224 224.1 July 16, 1985 commented that, although the sign is technically legal, it is out of character. McCord pointed out it is a policy decision for the Board to make as to whether signs that large should be permitted adjacent to controlled access highways. 224.2 Director Martin pointed out that the owner was told by the Sign Inspector that the proposed sign was legal before it was purchased; and that city officials told the owner if the property were to abut a controlled access highway he could install the sign. 224.3 Director Bumpass noted that the Minutes of the June 18 Board meeting reflect a request for a variance for a 243 -square -foot, 35 -foot tall sign. Assistant City Manager McWethy clarified that the sign which actually was installed measured 156 square feet, and 30 feet tall. 224.4 Bumpass stated he thought that all other signs along the highway were limited to 75 square feet. McCord pointed out that limitation is imposed on property which does not abut a controlled access highway. City Manager Grimes pointed out that at least two of the signs on the opposite side of Highway 71 are probably as large as the "El Chico" sign. Director Johnson remarked that those signs were granted by variance. 224.5 With the City Attorney stating it was his opinion that the sign was in compliance with the Ordinance, Director Bumpass argued that the sign was installed prior to the time the lease was executed; and he stated the Board didn't have the opportunity to decide whether or not to grant a variance for this sign. The City Attorney clarified that a request for a variance for a 243 -square -foot sign was heard by the Board and denied on June 18; that subsequently the staff allowed a 156 -square -foot sign to be installed in compliance with the ordinance, which allows up to 200 square feet. McCord added that the discussion has made clear the fact that the staff will no longer approve a sign where the boundary lines of the property do not actually abut the controlled access highway. 224.6 Bumpass noted that a second car dealership sign has been installed adjacent to the Cadillac dealership and he asked the City Manager to look into whether a permit was issued for that sign. PEDESTRIAN CROSSING PHASE/LAFAYETTE 6 COLLEGE 224.7 Johnson announced that the pedestrian crossing phase for the signal at Lafayette and College was approved by the Highway Department and will be bid out with other lights on College. MINUTES 224.8 The Minutes of the June 18, 1985 meeting were approved. • July 16, 1985 ADJOURNMENT With no further business before the Board, the meeting was adjourned at about 11:38 P.M. 2nr