MINUTES OF A PLANNING AND REPORTING SESSION OF THE MAYOR AND

COUNCIL OF THE TOWN OF CHAPEL HILL, NORTH CAROLINA, THURSDAY,

APRIL 7, 1993 AT 5:45 P.M.

Mayor Broun called the session to order at 5:57 p.m. Council Members in attendance were Julie Andresen, Barbara Booth Powell (arrived at 6:14 p.m.), Joyce Brown, Joe Capowski, Mark Chilton, Joe Herzenberg, Alan Rimer and Arthur Werner. Also in attendance were Town Manager Cal Horton, Assistant Town Managers Sonna Loewenthal and Florentine Miller, Parks and Recreation Director Michael Loveman and Town Attorney Ralph Karpinos.

Financial Update

Mr. Horton noted that Finance Director Jim Baker was unable to attend this evening's meeting since a member of his family was having surgery today. He also noted with sadness the death of Drew Davis, father of Inspections Director John Davis. Mr. Horton stated that Mr. Davis had died during a fire at his residence earlier in the day. Mayor Broun expressed the Council's condolences to Mr. Davis and the entire Davis family.

Mr. Horton noted that North Carolina League of Municipalities staff representative Lee Mandel would make a presentation to the Council on April 12th outlining the status of efforts to restore growth in the local portion of State-shared revenues. He noted that preliminary indications were that funds of $125,000 to $200,000 could possibly be restored to the Town, depending on the General Assembly's specific action. Mr. Horton added that the likelihood of receiving $175,000 to $200,000 was quite slim. He also noted that restoration of the funds could possibly occur prior to adoption of a final Town budget. Mr. Horton stated that current year revenues and expenditures were proceeding as anticipated.

Council Member Capowski inquired about the status of the Town's proposed legislative bills in the General Assembly. Mr. Horton stated that Senator Howard Lee had indicated that the Town's legislative requests had been introduced and draft bills prepared. Mr. Horton added that he had not had an opportunity to fully review the draft bills. Council Member Brown inquired about the last date for submitting proposed legislation. Mayor Broun said the deadline was April 1st.

Triangle Transit Authority--Fixed Guideway Study

Triangle Transit Authority Executive Director Jim Ritchey noted that regional transit service would be available beginning April 19th. He added that North Carolina Secretary of Transportation Sam Hunt would be the featured speaker at the opening ceremony to be held on April 15th. Mr. Ritchey said a total of four routes would operate, providing service from Cary, Durham, Raleigh and Chapel Hill to the Research Triangle Park. He provided an overview of the authority's four primary goals. Mr. Ritchey said the authority sought to run a fiscally sound, well-run enterprise, including completion of cash management and pay and classification plans. He also said the authority was seeking to develop a multi-modal transportation system including expansion of the Tri-a-Ride vanpooling program, the implementation of a comprehensive regional bus service and a planned fixed guideway system in the future. Mr. Ritchey stressed the importance of good marketing of public transportation systems. He noted the need to plan for change and challenges related to land-use plans and the proposed fixed-guideway system. Mr. Ritchey stated that a fixed transit guideway study outline was in process.

Council Member Andresen inquired how the current fixed guideway study differed from other similar studies. Mr. Ritchey stated that whereas previous studies had taken very broad outlooks about population densities, the current study would provide greater specificity on matters such as proposed locations of fixed guideway stations and whether or not a fixed guideway system made sense for the community. Council Member Andresen said she was comfortable with this approach. Council Member Andresen also noted the importance of being serious about the need to consider land-use policies relative to the proposed fixed-guideway system.

Council Member Capowski inquired about the daily ridership of the Green Line. Mr. Ritchey said approximately one hundred and twenty passengers per day patronized the Green Line. Council Member Capowski noted that a rail line connected Horace Williams Airport to the UNC campus. Council Member Werner inquired how the Green Line route was determined. Mr. Ritchey said the route had been determined by Triangle Transit Authority, Chapel Hill and Durham staff. Council Member Werner noted that in some parts of the Town, it would take as long to reach regional transportation stations as it would to drive to the Research Triangle Park. Noting that the General Counsel for the Triangle Transit Authority lived in the same area as Council Member Werner, Mr. Ritchey said the authority was attempting to address these concerns.

Council Member Werner emphasized the importance of obtaining agreement among local governments concerning routing of the proposed fixed guideway system and related land-use decisions. Mr. Ritchey said efforts were underway to develop consensus among governments in Wake, Durham and Orange counties. Noting that the region was a diverse one, he said it might be difficult to agree on all points related to the system's development. Council Member Werner said achieving consensus on general principles might be less difficult than achieving agreement on land-use policy decisions. Mr. Ritchey said possible development of the system would be a multi-stage process, with local governments being asked to adopt area plans around the proposed fixed guideway system. Council Member Werner said it would be useful for the transit authority to keep local governments apprised of the guideway system planning process. Mr. Ritchey noted that city, town and county planning staffs had actively participated in the system planning process. He added that area plans would be reevaluated in the future.

Council Member Rimer emphasized the importance of creativity and imagination in developing the fixed guideway system. He stated that local governments were clearly capable of utilizing this approach. Council Member Brown noted that system's guideway planning was often tied to desired destinations rather than population densities. Mr. Ritchey noted that the Triangle had many pedestrian-friendly very intensely developed areas. He stated that a number of officials would travel to Alexandria, Virginia and Baltimore, Maryland to view development and the transit systems in these communities. Mr. Ritchey noted that vast redevelopment of the King Street area in Alexandria was directly attributable to the area's mass transit system. He added that many apartment complexes along area corridors had sufficient population densities to initiate light rail system planning.

Noting that he had lived next to the King Street station at one time, Council Member Chilton said he found Mr. Ritchey's earlier analogy to King Street station very interesting. Council Member Chilton said the area in Alexandria was very beautiful and viable. He encouraged the Council to keep an open mind on the possibility of a fixed guideway transit for the Triangle area.

Council Member Capowski inquired whether the Triangle Transit Authority was considering providing regional transit service to special events such as the State Fair, Durham Bulls games and other special events. Mr. Ritchey said one of the authority's budget priorities in the next fiscal year was to add special event services. Council Member Andresen expressed appreciation to Mr. Ritchey for his status report on the authority's activities.

Parks and Recreation Department Budget and Activities

Parks and Recreation Director Michael Loveman presented an overview of the department's budget, fee structure and activities. He noted that a total of ten proposed major capital projects were outlined in the staff's report to the Council. Mr. Loveman noted that the department continued to review its program offerings and ways to attract more volunteers. He also noted that four departmental staff, Fred Battle, Leon Cotton, Nate Davis and Bill Webster, were in attendance to answer any questions from the Mayor and Council.

Council Member Powell inquired about the status of athletic fields and other needs at the Hargraves Center. Mr. Loveman said that a number of a improvements were needed at Hargraves Center. He noted that a handout from the Parks and Recreation Commission outlining the department's overall capital facility needs would be distributed later in the meeting. Mayor Broun inquired when improvements at Hargraves Center could be scheduled. Mr. Loveman stated that the improvements could be initiated once funding sources were identified.

Council Member Capowski requested additional information concerning apparent inconsistencies in the recovery of program fees. Mr. Loveman briefly reviewed fee recovery formulas, noting that contract employees were included in the calculations while full-time staff were not included. Mr. Horton added that while there was a ten percent overhead allowance in the cost recovery formula, it did not take into account capital or maintenance costs. Council Member Capowski expressed concern that a large portion of program costs were coming out of property taxes rather than user fees. Council Member Werner stated that recreation programs were one of the few Town services for which participants were charged an additional fee for program participation. Council Member Werner added that it was not reasonable to attempt to recover one hundred percent of recreation program fees.

Council Member Capowski said he had not seen an accounting of fees recovered. Council Member Werner noted that only direct costs were recovered. Mr. Loveman stated that an emphasis was placed on making fees affordable to possible program participants. Mr. Horton added that $528,000 of facility and administration costs were not recovered. He added that it would be necessary to raise fees significantly to recover all costs. Council Member Capowski inquired about the staff's logic for saying that youth programs should recover less than other types of programs. Mr. Loveman said the principal concern was the notion of affordability, especially for families having a number of children.

Council Member Brown requested additional information on the number and distribution method of the department's programming brochure. Mr. Loveman said approximately 22,000 brochures were printed three times per year, with 18,000 being distributed in a local newspaper. He added that the balance of brochures were distributed through area schools and Town offices. Council Member Brown inquired about the time and effort involved in printing brochures with and without advertisements. Mr. Loveman said it was likely that this was not cost-effective. Council Member Brown inquired about the status of the Bolin Creek greenway project. Mr. Horton said there was no way to be sure when the Orange Water and Sewer Authority would complete its work on the Bolin Creek interceptor. Council Member Andresen suggested that delays in construction might make it possible to link various phases of the greenway project.

Council Member Andresen inquired whether it was correct that continuation of the outdoor nature program was not recommended in the Manager's preliminary budget. Mr. Loveman said this was correct. Council Member Andresen inquired whether this staff now handled youth programs. Mr. Loveman said this was correct. Council Member Andresen inquired about the viability of charging a fee for use of the Community Center gymnasium. Mr. Loveman noted that participants in one program had voluntarily paid a twenty-five cent facility use fee at one time. Council Member Andresen asked whether there was any reason not to charge a use fee for Durham program participants. Mr. Loveman said it likely that the cost of administering the fee would exceed the amount of revenue collected.

Council Member Rimer noted that the preliminary budget proposal recommended the discontinuation of the Parks and Recreation Department's outdoor nature program. He requested a clarification of program expenses for the outdoor nature and youth programs. Mr. Loveman briefly reviewed expenses associated with the two programs. Noting that approximately $22,000 of the $35,000 nature program's cost was being used to fund youth programs, Council Member Rimer inquired about the remaining differential of $13,000. Mr. Horton said these resources had been reallocated in a thin layer across the department's programs. Mr. Horton said these funds could be reprogrammed as directed by the Council.

Council Member Rimer suggested that the staff explore the possibility that the school system was willing to change its policy concerning the distribution of brochures containing advertisements. Council Member Andresen expressed her concurrence with this approach. Council Member Werner said it was a shame that there was a waiting list for children to participate in the Town's youth baseball programs. He expressed interest in learning what percentage of youth program participants were County residents. Mr. Loveman said about ten percent of program participants resided outside Town limits. Council Member Capowski inquired whether Orange County's contribution of $67,000 per year for Town recreation programs should be more or less on the basis of equity. Mr. Loveman said the County's estimated share of program costs would be $167,000 based on participation by Carrboro residents. Council Member Herzenberg said although he supported this line of inquiry, a complicating factor was that a fair number of Town residents participated in Town of Carrboro recreation programs. Council Member Werner said he did not favor posting advertising signs on fences at Town recreational facilities. He noted that the Parks and Recreation Department used an extraordinary number of volunteers. Mr. Loveman said over four hundred volunteers worked in department programs throughout the year.

Council Member Brown inquired about the number of senior citizen fee waivers for aquatic programs. Mr. Loveman said he could provide this information in the near future. He noted that there was a general fee waiver program available to program participants on the basis of need. Council Member Powell inquired why an eight percent increase in aquatics program fees was recommended. Mr. Loveman said programming costs had risen by approximately eight percent. Council Member Powell inquired about the estimated increases in costs for individual participants. Mr. Loveman said fees of $1.75 per session would increase to $2.00 and $1.25 per session fees would increase to $1.50.

Mayor Broun said although the department's fee waiver policy was intended as a safety net, he feared that many people did not like to request such special treatment. He emphasized the importance of maintaining fees which were affordable to the majority of citizens. Mayor Broun also noted that concerns expressed by some citizens relative to facility maintenance at Hargraves Center needed careful examination. Noting the importance of equitable user fees, Council Member Capowski inquired whether staff examined the number of program participants from the Town and Orange County. Mr. Loveman said this information was requested on program registration forms. Noting that out-of-county residents could participate if programs had excess capacity, Council Member Capowski emphasized the importance of giving local residents first priority in all programs. Mr. Loveman said the department's fee policy gave priority to in-county and Town residents. Council Member Capowski inquired whether the Town would be better off to reject Orange County's $67,000 annual contribution in lieu of giving registration priority to Town residents. Mr. Loveman said he did not think so, noting that 10% of program participants were out-of-Town Orange County residents and an additional 10% were out-of-county residents.

Reports by and Discussion with Greenways and Parks and

Recreation Commissions

Mayor Broun requested that members of the Parks and Recreation and Greenways Commissions come forward to discuss items of mutual interest with the Council. Parks and Recreation Commission Chair Lee Pavao and Greenways Commission Chair Fred Meier introduced the members of their commissions in attendance.

Mr. Meier noted that the Town's master greenway plan was currently being reviewed for possible revisions. He added that the Commission was actively engaged in identifying potential properties and easements needed for Phase II of the Bolin Creek Greenway trail. Mr. Meier said that efforts to promote awareness of the importance of greenways were continuing. He also noted that the Commission had recently reviewed the proposed Eastowne master land-use plan modification. Mr. Meier reviewed the status of the Town's greenways system including Battle Branch, Tanyard Branch and the proposed Bolin Creek and Dry Creek trails.

Greenways Commission member Bitty Holton said the Commission had recently revised its definition of greenways to recognize that greenways were networks of natural spaces providing corridors to connect neighborhoods, parks and schools for pedestrians and non-motorized vehicles. Ms. Holton also read a poem emphasizing the importance of greenways to the community and its residents.

Mr. Meier provided an overview of the Bolin Creek greenway project. He noted that the Council had appointed residents from various neighborhoods to serve on Bolin Creek Greenway Advisory Committee. Mr. Meier said the committee hoped to present a proposed greenway trail route to the Council during the summer. He also briefly reviewed charts outlining funding proposals for various phases of the Bolin Creek greenway trail project.

Parks and Recreation Commission Chairperson Lee Pavao said the commission's primary concern was the need for on-going maintenance of existing parks and recreation facilities. Noting that users of some facilities felt overlooked, Mr. Pavao said he was pleased to hear that the Hargraves Center was a priority for many Council Members.

Parks and Recreation Commission member Jim Ward said the proposed Capital Improvements Program suffered from a chronic lack of annual dedicated funding for community centers and outside facilities. Mr. Ward said immediate needs totalled $113,000. He noted that the Commission's highest priority was initiating significant repairs at the Hargraves Center. Mr. Ward added that the Commission supported an annually funded small parks improvements line item in the budget as a means of taking care of the Town's assets. Council Member Capowski inquired how much the Commission was requesting for small improvements on an annual basis. Mr. Ward said $100,000 to $113,000 was being requested in the current year with annual funding of $50,000 being suggested for future years. He added that it did not seem appropriate to use bond money for facility maintenance. Mr. Pavao distributed a chart outlining suggested parks-related capital improvements.

Greenways Commission member Adrian Patillo provided an overview of funding for greenways projects including phase one of Bolin Creek trail and upgrading the Tanyard Branch trail. He also noted that funding was recommended for the first phase of the Morgan Creek trail and the completion of the Battle Branch trail.

Greenways Commission member Maggie Scarborough cited the need for a dedicated funding source for greenways trails. She noted that the Commission realized that General Assembly approval would be needed for a dedicated source such as land transfer fees. Ms. Scarborough inquired what the Commission could do to assist with the development of a proposal for a dedicated funding source. She thanked the Council for its support and concern.

Parks and Recreation Commission member Martin Feinstein noted that the need for Town parks facilities continued to expand. He added that there was a similar need for more maintenance of the Town's parks and recreation facilities.

Noting crowded office conditions at the Parks and Recreation Department's Plant Road offices, Fred Meier said the Greenways Commission fully supported the use of the library building for Parks and Recreation Department administrative offices. He added that offices at the library facility would give Parks and Recreation staff greater visibility and would be a nice tie-in to the Battle Branch greenways trail.

Council Member Andresen thanked the Greenways Commission for its work on identifying a dedicated funding source. She inquired about the possibility of enacting a real estate transfer tax for greenways programs. Mr. Horton noted that a real estate transfer tax had been enacted in a few other places around the nation. He added that statewide legislation would likely be needed for this type of new revenue source. Mr. Horton said the local legislative delegation had indicated that it would be a difficult year for local governments to receive any new taxation authority. Council Member Andresen inquired about the likelihood of the delegation introducing local legislation. Mayor Broun said this was unlikely. Council Member Werner said it was possible that the matter could be introduced during a future legislative session. Council Member Andresen emphasized the importance of dedicating funding sources for a specific purpose and setting the taxes at a reasonable level. Council Member Brown said it might be a good idea to initiate a lobbying group for establishing a dedicated funding source for greenways.

Mayor Broun inquired about the Parks and Recreation Commission's opinion on the matter of user fees. Mr. Pavao said the Commission was very concerned about maintaining reasonable user fees, especially for youth programs.

Council Member Capowski noted that greenways would be an especially valuable Town resource in the future. He inquired about the possible usage of Duke Power easements as greenways trails. Mr. Meier said a number of proposals in these types of easements had been proposed and evaluated. Mr. Pavao said a greenways system through the proposed Northern Community Park appeared to be feasible.

Council Member Capowski inquired about the estimated cost of renovating the Parks and Recreation offices on Plant Road. Mr. Loveman said this would cost approximately $35,000 to $40,000. Council Member Capowski inquired about estimated rental income from the library building. Assistant Town Manager Sonna Loewenthal said this would be in the range of $7 to $9 per square foot. Mr. Horton added that it was likely that the Town would be expected to pay for upfits and lease terms would likely be three to five years. Council Member Werner emphasized the importance of proper building maintenance. Mayor Broun thanked Mr. Pavao, Mr. Meier and the members of the Greenways and Parks and Recreation Commissions for their good work.

Update on Council Goals

Mr. Horton noted that the Council' goals had been adopted in mid-January. He added that there was a lot of progress to be made on many of the goals.

Other Matters from the Council

Council Member Andresen noted that OWASA had recently released its first FY 93-94 preliminary budget. She suggested that Mayor Broun write a letter to the OWASA Board of Directors express the Council's strong support for adjusting commercial sprinkler rates. Council Member Andresen stated that a recent article written by OWASA staff concerning sprinkler rates was not entirely objective. She also noted that a twenty percent increase in OWASA's operating budget was proposed. Council Member Andresen suggested that the Council hold a joint work session with all OWASA Board members during May to discuss OWASA's proposed budget. She expressed hope that the Town's OWASA appointees would not vote for the proposed budget. Mayor Broun said he would be happy to write a letter to OWASA outlining the Council's concerns about sprinkler fees. Council Member Werner noted that the Council had a formal position on the matter.

Council Member Herzenberg said he thought it was important that the Council had some objections concerning information on sprinkler fees in OWASA's newsletter. He inquired whether the OWASA Board authorized the article. Council Member Andresen said she did not know. Council Member Capowski expressed concern that the article completely ignored the public benefits of sprinkler systems. Noting that Orange County was embarking on a five-year water and sewer capital improvements program, Council Member Andresen said some improvements might be used to bail out failing septic systems. She added that funding new sewer lines would add to the imbalance of who was paying for and who was receiving service. Council Member Andresen suggested that a major study of the equity of local water and sewer service was needed. Council Member Brown asked whether the capital program included more than providing water and sewer service to the Efland area. Council Member Andresen said it was undetermined how the funds would be specifically allocated. Council Member Capowski asked when the OWASA budget item was scheduled on the agenda. Mr. Feller said he believed it was item number six on the agenda.

Council Member Capowski noted that a Police Computer Committee had been established.

Council Member Andresen said it would be useful for the Council to take leadership in inclusionary zoning matters. She suggested that the Council hold a meeting with developers and other interested parties on inclusionary zoning in the near future. Mayor Broun said this would be really useful. Council Member Brown expressed her concurrence.

Council Member Rimer noted that the Triangle J Council of Governments delegates had recently agreed to meet monthly rather than bi-monthly. He added that efforts were underway to combine the household hazardous waste program so that one contractor would be responsible for disposing of all wastes. Council Member Rimer also said he was very proud of the UNC Tarheels basketball team on the occasion of their NCAA National Championship.

Noting that a recent article in OWASA's newsletter had encouraged people not to pour hazardous waste into the sewer system, Council Member Werner stated that specific drop-off or disposal sites should have been denoted in the newsletter. He also noted that a Stormwater Management Committee meeting was underway this evening.

The session concluded at 8:47 p.m.