MINUTES OF A REGULAR MEETING OF THE MAYOR AND COUNCIL OF

THE TOWN OF CHAPEL HILL, MONDAY, APRIL 22, 1996 AT 7:00 P.M.

Mayor Waldorf called the meeting to order. Council Members in attendance were Julie Andresen, Joyce Brown, Joe Capowski, Mark Chilton, Pat Evans, Richard Franck and Lee Pavão. Council Member Barbara Powell was absent excused. Also in attendance were Town Manager Cal Horton, Assistant Town Managers Sonna Loewenthal and Florentine Miller, Finance Director James Baker, Planning Director Roger Waldon and Town Attorney Ralph Karpinos.

Item 1 Ceremonies

Mayor Waldorf presented a plaque of appreciation to Police Lieutenant Wilbert J. "Bucky" Simmons, recognizing his twenty-five years of service in the Town's Police Department. Mayor Waldorf noted that police work required sacrifices from police officers themselves and their family members.

Mayor Waldorf noted that for the eleventh year in a row, the Town's Finance Department had received the Government Finance Officers Association (GFOA) award for Excellence in Financial Reporting. Mr. Baker thanked Accounting Manager Kay Johnson and former Finance Department employee Jeanne Erwin for their roles in preparing the reports for which the award was presented. Mayor Waldorf said the Town had also received an award from GFOA for excellence in budget presentation. This award is presented to very few local governments in the country. Mr. Baker thanked all of the Town staff responsible for preparing the budget document.

Mayor Waldorf noted that Josh Gurlitz was very actively involved in a number of community planning and other activities.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADOPT RESOLUTION 0.1, RECOGNIZING MR. JOSH GURLITZ FOR RECEIPT OF THE CITIZEN PLANNER AWARD FROM THE NC CHAPTER OF THE AMERICAN PLANNING ASSOCIATION. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION OF CONGRATULATIONS TO JOSH GURLITZ FOR WINNING THE CITIZEN PLANNER AWARD OF THE NORTH CAROLINA AMERICAN PLANNING ASSOCIATION (96-4-22/R-0.1)

WHEREAS, the North Carolina Chapter of the American Planning Association selected Josh Gurlitz as the recipient of the 1996 Citizen Planner award; and

WHEREAS, in order to qualify for this honor, Josh Gurlitz contributed to the civic life and the built environment of Chapel Hill for more than 20 years; and

WHEREAS, Josh Gurlitz has given his time and talents to promote historic preservation, downtown revitalization, good design, and social justice; and

WHEREAS, the North Carolina American Planning Association has presented a plaque to Josh Gurlitz commemorating his award;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council congratulates Josh Gurlitz for winning this award and thanks Josh Gurlitz for his outstanding service as a citizen planner.

This the 22nd day of April, 1996.

Mr. Gurlitz said he was very happy to receive the award. He said there were many hard working people in the Town. He also thanked the Council for the providing many opportunities for citizen input in various processes and projects.

Noting that Council Member Powell was at home recovering after a recent hospitalization, Mayor Waldorf said the Council hoped that Ms. Powell would be able to attend Council meetings again in the near future.

Item 3 Petitions

Noting that the Chapel Hill Historical Society was currently subletting a portion of the Town's former library building, Margie Pfaff said the Society was somewhat concerned about the fact that the day care center which formerly served as the building's main tenant had recently moved out. Stating that the Society currently paid $50 per month to defray a portion of utility-related expenses, Ms. Pfaff said the Society hoped to make arrangements with the Museum Committee, the building's future tenant, to continue to use a portion of the library building.

COUNCIL MEMBER BROWN MOVED, SECONDED BY COUNCIL MEMBER CHILTON, TO RECEIVE AND REFER MS. PFAFF'S PETITION.

Council Member Pavão indicated that the Museum Board had indicated its intention to allow the Chapel Hill Historical Society to continue its tenancy, pending the Museum's move into the building. Council Member Brown noted that the Historical Society would continue as a tenant at will.

THE MOTION TO REFER WAS ADOPTED UNANIMOUSLY (8-0).

COUNCIL MEMBER PAVÃO MOVED, SECONDED BY COUNCIL MEMBER CHILTON, TO RECEIVE AND REFER A PETITION FROM MS. DANA BROWER REGARDING EZ-RIDER AND SHARED RIDE SERVICE. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Kiki Dunton requested that the Council adopt a resolution requiring the purchase of recycled paper with a minimum of twenty percent post-consumer content by the end of 1996 and thirty percent by the end of 1998.

COUNCIL MEMBER BROWN MOVED, SECONDED BY COUNCIL MEMBER CHILTON, TO RECEIVE AND REFER MS. DUNTON'S PETITION. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Andrew McKenzie said he was concerned that there had recently been a number of violent incidents on West Rosemary Street. He requested that the Town consider assigning additional police foot patrols and take steps to beautify the area.

COUNCIL MEMBER EVANS MOVED RECEIPT AND REFERRAL OF THE ITEM.

Council Member Andresen inquired who Mr. McKenzie was representing. Mr. McKenzie said he was representing himself and his fiancee, the co-owner of Henry's Bistro.

COUNCIL MEMBER CAPOWSKI SECONDED THE MOTION.

Council Member Capowski said he would be interested in seeing a compilation of recent crime statistics for West Rosemary Street. Mr. McKenzie said he had recently received such a list from the Town's Police Department. Mayor Waldorf suggested that the matter of allocation of resources could possibly be discussed as a part of the budget process.

THE MOTION TO REFER WAS ADOPTED UNANIMOUSLY (8-0).

Laurie Sellers requested that the Council refer a petition to Town staff from her husband and herself regarding the abandonment of an easement on their property in the Tandler subdivision.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO RECEIVE AND REFER MS. SELLERS' PETITION. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Council Member Brown requested that staff follow up on a recent letter from residents of the Cameron Avenue area, regarding illegally parked automobiles.

Council Member Brown also said that at a meeting earlier today in Raleigh, she was surprised to find out that the Town had rejected funding for the installation of bicycle racks on buses. She requested a report from the Town Manager on this matter.

Stating that the University's Board of Trustees was looking into the possibility of increasing the size of the undergraduate student body, Council Member Capowski said that such a change could have a profound impact on housing, parking of automobiles and other infrastructure. He requested that Mayor Waldorf write a letter to Chancellor Hooker and the Board of Trustees, requesting opportunities for the Town's involvement as this process unfolded. Hearing no objection from Council Members, Mayor Waldorf said she would do so.

Council Member Capowski requested that Town staff coordinate with NC Department of Transportation (NCDOT) staff to ensure that special attention was paid to resurfacing of the right hand side of the road, in order to ensure the safety of bicyclists. Noting that Town staff had no direct control over NCDOT projects, Mr. Horton said staff would do its best in this regard.

Council Member Andresen said she hoped to receive some Council and staff support in drafting a resolution and agenda item for the Council's May 13th meeting regarding capital financing of school projects, including long-term bonds. Mayor Waldorf said the Council could have a general discussion of the matter on May 13th. Council Member Evans asked whether or not Council Member Andresen had spoken to School Board members and County Commissioners on this matter. Council Member Andresen said yes, noting that her concern was the adequacy of long-term school financing. Council Member Capowski said given the innate complexity of the matter, he could not imagine how the Council could deal with this matter with any level of competence. Mayor Waldorf said the Council consensus appeared to be that this item be included on the May 13th agenda.

Council Member Pavão noted that in reviewing the Windsor Park Cluster Subdivision application, the Appearance Commission and Design Review Board had suggested the development of a mini-corridor study for Airport Road. Council Member Andresen said although she was not sure of specific details, she thought this was an excellent idea. She inquired whether the Council could discuss this matter at another meeting. Council Member Pavão said yes.

Council Member Brown said she would like to see work on a broad proposal, including opportunities for area citizens to be involved in such a process. Council Member Pavão suggested that the Council ask the Design Review Board/Appearance Commission to develop more detail about the proposed corridor study. Noting that much of the area was already planned, Mayor Waldorf said it might be helpful to look at the big picture of existing and proposed roadway networks and developments along the NC 86 corridor. Council Member Evans suggested that the matter of bicycle and pedestrian linkages in the area also needed to be examined. Council Member Andresen said although she was comfortable with Council Member Pavão's proposal, she was not comfortable with endorsing specifics this evening. Mayor Waldorf inquired whether Council Member Pavão was suggesting referral of the matter to staff for comments. Council Member Pavão said he was suggesting referral to the Appearance Commission/Design Review Board to clarify the scope of the proposed corridor study.

COUNCIL MEMBER PAVÃO MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO REFER THE MATTER TO THE MANAGER AND THE APPEARANCE COMMISSION/DESIGN REVIEW BOARD TO PROVIDE GUIDANCE TO THE COUNCIL ON WHAT KIND OF LIMITED CORRIDOR STUDY MIGHT BE HELPFUL. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Item 4.1 Consent Agenda

Council Member Brown requested removal of item h for discussion. Council Member Andresen requested removal of item j for discussion.

COUNCIL MEMBER FRANCK MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ADOPT THE CONSENT AGENDA, EXCEPTING ITEMS H AND J. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION ADOPTING VARIOUS RESOLUTIONS AND ORDINANCES

(96-4-22/R-1)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby adopts the following minutes, resolutions and ordinances as submitted by the Town Manager (excepting item h and j) in regard to the following:

a. Minutes of February 26, March 13, 18, 19, 25, 27 & 29.

b. Confirmation of Ward Street paving assessment roll (R-2a and b).

c. Deleted.

d. Setting date for Assembly of Governments meeting (May 30th) (R-4).

e. Temporary use of up to ten Town buses by the Atlanta Olympics Committee.

f. Acquisition of the Wilson property (R-6, O-1).

g. Application for traffic enforcement grant (R-7).

h. Authorizing changes in agreements with Culbreth Park homeowners regarding resale of home (response to proposal from Orange Community Housing Corp.) (R-8).

i. Final terms of bond sales (R-9 and R-10).

j. Referral of materials to Landfill Owners Group (R-11). Council Member Evans.

k. Scheduling work session on growth management initiative options (Suggested date: June 5th) (R-11.1).

A RESOLUTION ACCEPTING DONATION OF LAND TO THE TOWN BETWEEN ESTES DRIVE EXTENSION AND THE ELKIN HILLS NEIGHBORHOOD

(96-4-22/R-2a)

WHEREAS, Mr. Frank Umstead has offered to donate land to the Town in the area east of Estes Drive Extension and west of the Elkin Hills neighborhood; and

WHEREAS, said land functions as a buffer between Estes Drive Extension and the Elkin Hills neighborhood; and

WHEREAS, a portion of said land fronts on Ward Street for which paving assessments are being prepared;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council herewith accepts the land donation from Mr. Frank Umstead, subject to recording of a plat delineating said land being donated.

BE IT FURTHER RESOLVED that the Council releases Mr. Frank Umstead from Ward Street paving assessments for property fronting on Ward Street that is donated to the Town by recorded plat as noted above.

This the 22nd day of April, 1996.

A RESOLUTION CONFIRMING THE ASSESSMENT ROLL FOR IMPROVEMENTS ON WARD STREET (96-4-22/R-2b)

BE IT RESOLVED by Council of the Town of Chapel Hill that the Council hereby confirms the following as the final assessment roll for improvements on Ward Street in accord with North Carolina General Statutes 160A-228:

TAX MAP

AND LOT

NAME AND ADDRESS

FRONT

FOOTAGE

ASSESSMENT

31.B.10

Wilbert T. & Alva Lloyd

800 Ward Street

Chapel Hill, NC 27514

160'

$753.70

31.B.11

Charles L. & Hui S. Taylor

804 Ward Street

Chapel Hill, NC 27514

75'

353.30

31.B.12

Kevin Shawn O'Donnell

808 Ward Street

Chapel Hill, NC 27514

75'

353.30

31.B.13

Gladyne C. Weisenstein

417 Ironwoods Drive

Chapel Hill, NC 27514

75'

353.30

31.B.14

Cheryl Lynn Brooks

812 Ward Street

Chapel Hill, NC 27514

75'

353.30

31.B.15

Christopher D./Stephanie D. Burgess

820 Ward Street

Chapel Hill, NC 27514

75'

353.30

31.B.16

Margaret L. Morse

824 Ward Street

Chapel Hill, NC 27516

70.5'

332.10

31.B.16A

Bruce and Donna Browning

822 Ward Street

Chapel Hill, NC 27516

75'

353.30

31.B.1

Elizabeth Jane Russell

832 Ward Street

Chapel Hill, NC 27514

11'

51.82

31.A.3

Nancy L. Humphreys

801 Ward Street

Chapel Hill, NC 27514

125'

588.83

31.A.2

Charles L. Edmonds

919 Glenrose Drive

Durham, NC 27703

125'

588.83

31.A.1

Sarah E. Tillman

809 Ward Street

Chapel Hill, NC 27514

125'

588.83

30..5

Town of Chapel Hill

316.5'

1,490.91

Barclay Road Intersection - Town of Chapel Hill

40'

188.42

TOWN OF CHAPEL HILL - 50% SHARE $6,703.17

TOTAL $13,406.41

NOTE: The assessment amounts were calculated using a cost of $4.71061 per linear foot.

A RESOLUTION CONCURRING IN A PROPOSED JOINT MEETING DATE

(96-4-22/R-4)

BE IT RESOLVED by the Chapel Hill Town Council that the Council hereby concurs with the proposal for an intergovernmental meeting at 7 pm on May 30, 1996 at A.L. Stanback School, or such other location as may be selected by Orange County, for purposes set forth in a letter dated March 26, 1996 from the Chair of the Board of Commissioners of Orange County.

This the 22nd day of April, 1996.

A RESOLUTION AUTHORIZING THE MANAGER TO ENTER INTO AN AGREEMENT WITH THE ATLANTA COMMITTEE FOR THE OLYMPIC GAMES FOR THE USE OF UP TO 10 BUSES (96-4-22/R-5)

WHEREAS, The Atlanta Committee for the Olympic Games has requested the use of Town buses for transportation during the Olympic Games.; and

WHEREAS, The Atlanta Committee for the Olympic Games has agreed to bear all cost for pick-up, delivery, operation and maintenance for the use of Town buses; and

WHEREAS, The Atlanta Committee for the Olympic Games has agreed to indemnify and hold the Town harmless from any loss or damage resulting from such use of Town buses; and,

WHEREAS, The Town has a sufficient number of buses to honor this request and meet all scheduled public transit service;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town Manager is hereby authorized to execute an agreement with the Atlanta Committee for the Olympic Games for the use of up to 10 Chapel Hill Transit buses, subject to approval of form by the Town Attorney.

This the 22nd day of April, 1996.

A RESOLUTION AUTHORIZING THE CHAPEL HILL TOWN COUNCIL TO AUTHORIZE THE CHAPEL HILL TOWN MANAGER TO UTILIZE THE LANDFILL RESERVE FUND - RESERVE FOR ACQUISITIONS, TO PURCHASE THE PROPERTY KNOWN AS THE WILSON PROPERTY (CHAPEL HILL TOWNSHIP, TAX MAP 7, BLOCK 18, LOT 27C) (96-4-22/R-6)

WHEREAS, the Landfill Owners Group has been approached by the owners of a 4.05 acre parcel that adjoins the current landfill on Eubanks Road; and

WHEREAS, the Landfill Owners Group would have an interest in obtaining this property in order to expand the current minimal buffer area; and

WHEREAS, there is a preliminary conditional agreement that the purchase price will be $6,000 per acre, with the total to be determined by a survey prior to closing;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that it authorizes, subject to concurrence by the Town of Carrboro Board of Aldermen and the Orange County Board of Commissioners, the Chapel Hill Town Manager to use Landfill Land Reserve Funds to purchase the property known as the Wilson property at a cost of $6,000 per acre.

This the 22nd day of April, 1996.

A RESOLUTION REGARDING AN APPLICATION TO THE GOVERNOR'S HIGHWAY SAFETY PROGRAM FOR A GRANT TO CONTINUE THE TRAFFIC SAFETY PROGRAM (96-4-22/R-7)

WHEREAS, the Town Council of the Town of Chapel Hill, herein called the "Applicant" has thoroughly considered the problem, addressed in the application entitled CHAPEL HILL HIGHWAY EDUCATION AND ENFORCEMENT TEAM described in the application submitted March 29, 1996; and

WHEREAS, under the terms of Public Law 89-564 as amended, the United States of America has authorized the Department of Transportation, through the North Carolina Governor's Highway Safety Program, to make federal contracts to assist local governments in the improvement of highway safety;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill in open meeting assembled in the Town of Chapel Hill, North Carolina, as follows:

1. That the project referenced above is in the best interest of the Applicant and the general public.

2. That Rosemary Waldorf, Mayor, be authorized to file, in behalf of the Applicant, an application in the form prescribed by the Governor's Highway Safety Program for federal funding in the amount of $111,744 to be made to the Applicant to assist in defraying the cost of the project described in the contract application.

3. That the Applicant will, as part of 1996-97 budget deliberations, consider formally appropriating the cash contribution of $42,614.75 as required by the project.

4. That the Project Director designated in the application form shall furnish or make arrangement for other appropriate persons to furnish such information, data, documents and reports pertaining to the project, if approved, as may be required by the Governor's Highway Safety Program.

5. That certified copies of this resolution be included as part of the application referenced above.

6. That this resolution shall take effect immediately upon its adoption.

Year Principal Amount Interest Rate

1997 $ 360,000 4.60 %

1998 365,000 4.60

1999 360,000 4.60

2000 555,000 4.60

2001 545,000 4.60

2002 540,000 4.60

2003 555,000 4.60

2004 865,000 4.60

2005 870,000 4.60

2006 1,380,000 4.60

2007 795,000 4.60

The provisions of the Council's resolution adopted on March 25, 1996 respecting principal payments are deemed amended to reflect the foregoing schedule of principal payments.

2. The Official Statement dated March 22, 1996 setting forth financial and statistical data in connection with the offering of the Bonds, which was circulated with the Notice of Sale thereof, and the Final Official Statement dated April 2, 1996, are hereby approved. In connection with this approval, the Town Council of the Issuer has examined copies of the Official Statement and has, to the extent and in the manner it has deemed necessary, discussed the contents thereof with officers of the administration of the Issuer. The Town Council of the Issuer does hereby recite that, upon its examination and discussions, nothing has come to its attention which would lead it to believe that said Official Statement or said Final Official Statement contains any untrue statement of a material fact or omits to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading, provided that the Council makes no recitation with respect to consideration of information supplied by, or which should have been supplied by, the successful bidder for the Bonds.

3. The Issuer hereby undertakes, for the benefit of the beneficial owners of the Bonds, to provide continuing disclosure, as follows:

(a) by not later than seven months from the end of each fiscal year of the Issuer, commencing with the fiscal year ending June 30, 1996, to each nationally recognized municipal securities information repository ("NRMSIR") and to the state information depository for the State of North Carolina ("SID"), if any, audited financial statements of the Issuer for such fiscal year, if available, prepared in accordance with Section 159-34 of the General Statutes of North Carolina, as it may be amended from time to time, or any successor statute, or if such audited financial statements of the Issuer are not available by seven months from the end of such fiscal year, unaudited financial statements of the Issuer for such fiscal year to be replaced subsequently by audited financial statements of the Issuer to be delivered within 15 days after such audited financial statements become available for distribution;

(b) by not later than seven months from the end of each fiscal year of the Issuer, commencing with the fiscal year ending June 30, 1996, to each NRMSIR, and to the SID, if any, (i) the financial and statistical data as of a date not earlier than the end of the preceding fiscal year for the type of information included under the heading "The Town - Debt Information and - Tax Information" in the Official Statement relating to the bonds and (ii) the combined budget of the Issuer for the current fiscal year, to the extent such items are not included in the audited financial statements referred to in (a) above;

(c) in a timely manner, to each NRMSIR or to the Municipal Securities Rulemaking Board ("MSRB"), and to the SID, if any, notice of any of the following events with respect to the Bonds, if material:

(1) principal and interest payment delinquencies;

(2) non-payment related defaults;

(3) unscheduled draws on debt service reserves reflecting financial difficulties;

(4) unscheduled draws on credit enhancements reflecting financial difficulties;

(5) substitution of credit or liquidity providers, or their failure to perform;

(6) adverse tax opinions or events affecting the tax-exempt status of the Bonds;

(7) modification to the rights of securities holders;

(8) Bond calls;

(9) defeasances;

(10) release, substitution or sale of property securing repayment of the Bonds;

(11) rating changes; and

(d) in a timely manner, to each NRMSIR or to the MSRB, and to the SID, if any, notice of a failure of the Issuer to provide required annual financial information described in (a) or (b) above on or before the date specified.

If the Issuer fails to comply with the undertaking described above, any beneficial owner of the Bonds may take action to protect and enforce the rights of all beneficial owners with respect to such undertaking, including an action for specific performance; provided, however, that failure to comply with such undertaking shall not be an event of default and shall not result in any acceleration of payment of the Bonds. All actions shall be instituted, had and maintained in the manner provided in this paragraph for the benefit of all beneficial owners of the Bonds.

The Issuer reserves the right to modify from time to time the information to be provided to the extent necessary or appropriate in judgment of the Issuer, provided that any such modification will done in a manner consistent with Rule 15c2-12 issued under the Securities Exchange Act of 1934, as it may be amended from time to time ("Rule 15c2-12"), and provided further that:

(a) any such modification may only be made in connection with a change in circumstances that arises from a change in legal requirements, change in law, or change in the identity, nature, or status of the Issuer;

(b) the information to be provided, as modified, would have complied with the requirements of Rule 15c2-12 issued under the Securities Exchange Act of 1934 ("Rule 15c2-12") as of the date of the Official Statement relating to the Bonds, after taking into account any amendments or interpretations of Rule 15c2-12, as well as any changes in circumstances; and

(c) any such modification does not materially impair the interests of the beneficial owners, as determined either by parties unaffiliated with the Issuer (such as bond counsel), or by the approving vote of the registered owners of a majority in principal amount of the Bonds pursuant to the terms of this Resolution, as it may be amended from time to time, at the time of the amendment.

Any annual financial information containing modified operating data or financial information shall explain, in narrative form, the reasons for the modification and the impact of the change in the type of operating data or financial information being provided.

The provisions of this Section 3 shall terminate upon payment, or provisions having been made for payment in a manner consistent with Rule 15c2-12, in full of the principal of and interest on all of the Bonds.

The provisions regarding continuing disclosure contained in section 11 of the Council's resolution adopted on March 25, 1996 authorizing the issuance of the Bonds are deemed amended to reflect the provisions of this section 3.

4. The Mayor, the Town Manager, the Finance Director and other officers of the Issuer are hereby authorized and directed to take all other actions necessary in connection with the sale and issuance of the Bonds and the effectuation of the purposes for which the Bonds are being issued.

5. This resolution shall become effective upon its adoption.

This the 22nd day of April, 1996.

A RESOLUTION APPROVING THE SALE OF $1.8 MILLION PARKS AND RECREATION BONDS (96-4-22/R-10)

WHEREAS, the Local Government Commission of North Carolina has informed the Town Council of the sale of the $1,800,000 Town of Chapel Hill Parks and Recreational Facilities Bonds, Series 1996, dated April 1, 1996 (the "Bonds"), and that the contract of sale contemplates that the Bonds shall be payable and bear interest as hereinafter provided; and

WHEREAS, the proceeds of the Bonds will be used, together with other available funds, to pay capital costs of improving parks and recreation facilities; and

WHEREAS, the Town Council of the Issuer desires to take such actions as are necessary to approve the terms of such sale, to approve the official statement and final official statement circulated in connection therewith and to authorize and/or confirm such other documents and actions contemplated by such sale;

NOW, THEREFORE, BE IT RESOLVED by the Town Council of the Issuer, as follows:

1. The Town Council approves the sale of the Bonds to Craigie, Incorporated at a price of $1,800,000. The Bonds shall mature on April 1 in the years and principal amounts and bear interest from their date payable on October 1, 1996 and semi-annually thereafter on April 1 and October 1 at the rates per annum, as follows:

Year Principal Amount Interest Rate

1998 $100,000 4.80%

1999 100,000 4.80

2000 100,000 4.80

2001 100,000 4.80

2002 100,000 4.80

2003 100,000 4.80

2004 100,000 4.80

2005 100,000 4.80

2006 100,000 4.80

2007 100,000 4.80

2008 100,000 4.80

2009 100,000 4.90

2010 100,000 5.10

2011 100,000 5.25

2012 100,000 5.40

2013 100,000 5.50

2014 100,000 5.50

2015 100,000 5.50

2. The Official Statement dated March 22, 1996 setting forth financial and statistical data in connection with the offering of the Bonds, which was circulated with the Notice of Sale thereof, and the Final Official Statement dated April 2, 1996, are hereby approved. In connection with this approval, the Town Council of the Issuer has examined copies of the Official Statement and the Final Official Statement and has, to the extent and in the manner it has deemed necessary, discussed the contents thereof with officers of the administration of the Issuer. The Town Council of the Issuer does hereby recite that, upon its examination and discussions, nothing has come to its attention which would lead it to believe that said Official Statement or said Final Official Statement contains any untrue statement of a material fact or omits to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading, provided that the Council makes no recitation with respect to consideration of information supplied by, or which should have been supplied by, the successful bidder for the Bonds.

3. The Issuer hereby undertakes, for the benefit of the beneficial owners of the Bonds, to provide continuing disclosure, as follows:

(c) in a timely manner, to each NRMSIR or to the Municipal Securities Rulemaking Board ("MSRB"), and to the SID, if any, notice of any of the following events with respect to the Bonds, if material:

(1) principal and interest payment delinquencies;

(2) non-payment related defaults;

(3) unscheduled draws on debt service reserves reflecting financial difficulties;

(4) unscheduled draws on credit enhancements reflecting financial difficulties;

(5) substitution of credit or liquidity providers, or their failure to perform;

(6) adverse tax opinions or events affecting the tax-exempt status of the Bonds;

(7) modification to the rights of securities holders;

(8) Bond calls;

(9) defeasances;

(10) release, substitution or sale of property securing repayment of the Bonds;

(11) rating changes; and

The provisions regarding continuing disclosure contained in section 12 of the Council's resolution adopted on March 25, 1996 authorizing the issuance of the Bonds are deemed amended to reflect the provisions of this section 3.

5. This resolution shall become effective upon its adoption.

This the 22nd day of April, 1996.

A RESOLUTION SCHEDULING A WORK SESSION ON GROWTH MANAGEMENT ISSUES (96-4-22/R-11.1)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby schedules a work session on growth management issues at 6:00 p.m. on June 5, 1996 in the Council Chamber.

This the 22nd day of April, 1996.

Item 4.2 Information Reports

Council Member Capowski requested removal of item d for discussion. Noting the broad and important nature of this item, Mayor Waldorf suggested that this item could be discussed at a budget work session or regular meeting. Council Member Capowski suggested discussing the item at a Council meeting in near the future. The Council agreed to include the item on the agenda of the April 29th work session.

Item 5 Nominations to Boards and Commissions

Human Services Advisory Board

COUNCIL MEMBER ANDRESEN MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO NOMINATE ALL APPLICANTS FOR APPOINTMENT CONSIDERATION TO THE HUMAN SERVICES ADVISORY BOARD. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Personnel Appeals Committee

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO NOMINATE ALL APPLICANTS FOR APPOINTMENT CONSIDERATION TO THE PERSONNEL APPEALS COMMITTEE. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Public Arts Commission

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO NOMINATE ALL APPLICANTS FOR APPOINTMENT CONSIDERATION TO THE PUBLIC ARTS COMMISSION. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Mayor Waldorf noted that the Council would be making appointments to vacancies on a number of boards and commissions for terms of office having an expiration date of June 30, 1996.

Item 6 Sustainability Study

Council Member Brown noted that students from Professor David Brower's class had recently completed work on an extensive report on sustainability indicators.

Christine Robinson, a second year graduate student in the UNC Department of Urban and Regional Planning, introduced her colleagues in attendance this evening who had assisted in preparing the report. Ms. Robinson said the group of students had recently received the best new project award from the American Planning Association. She said the principal objective of sustainable development was to meet the needs of the present without compromising the needs of those in the future. Ms. Robinson said that there appeared to be technological problems with the group's computer emulation equipment. Mayor Waldorf suggested that the Council discuss the budget matter and come back to Ms. Robinson for the balance of the presentation on sustainability.

Item 7 Recommended 1996-97 Budget

Mr. Horton presented a summary overview of the proposed budget, noting that no change in the number of positions was proposed. He briefly reviewed key proposed changes in the budget, including improvements in the Town's computerization and reducing groundskeeping services in public housing communities from five to four days per week. Mr. Horton said he was recommending funding totalling $520,000 for capital improvements during the next fiscal year. Noting the potential vulnerability of the Town's fire protection funding from the State of North Carolina, Mr. Horton urged the Council to keep an eye on this matter.

Mr. Horton said that principally due to decreases in federal transit subsidies, he was recommending a half cent property tax increase in the Transportation Fund. He expressed hope that the State of North Carolina would also provide additional transit funding. Turning to the Landfill Fund, Mr. Horton noted that the Landfill Owners Group had not made recommendations to the Council about service levels or tipping fees. Mr. Horton said that he and the Town staff looked forward to working with the Council on development of the budget document.

Mayor Waldorf suggested that the Council return to the sustainability item.

Sustainability Indicators

Christine Robinson said many communities were in process of addressing sustainability concerns as means of realizing: economic prosperity, healthy living environments, conserving nature, achieving justice, human dignity, and civic engagement and providing equal access to lifelong learning opportunities. Ms. Robinson said that the sustainability indicators were focused on measuring trends, evaluating economic activity, measuring progress over time and stimulating dialogue. Ms. Robinson said that she and her colleagues recommended continuation of the work of the Sustainability Committee to further define sustainability-related visions and goals for the community.

Council Member Brown thanked Ms. Robinson and her colleagues for doing a very good job of putting together and presenting the report. Council Member Franck said he thought the report was an excellent one with many good ideas. Noting that some of the indicators were focused on the greater Chapel Hill region, by way of example, Council Member Evans noted that the Chapel Hill-Carrboro School District's focus was different from those of the Towns of Chapel Hill and Carrboro.

Council Member Brown expressed appreciation to all members of the Sustainability Committee, including neighborhood representative Nate Davis and Orange County Greens representative Dirk Spruyt, whom she noted as being in attendance this evening.

Stating that it was fascinating to read the ninety-seven indicators in the report, Council Member Capowski said the Council needed to have a discussion about the possible investment of Town resources in sustainability-related matters. Council Member Brown said no specific commitment of funds was being sought at the present. Council Member Pavão said the next phase was for the Sustainability Committee to determine what was most important and to guide the Town in examining these matters more closely.

Council Member Andresen said although the steps laid out were rational ones, she did not think they went far enough. Stating that elected leaders were supposed to grapple with hard community decisions on financial and other matters, Council Member Andresen suggested that the Council have a follow-up discussion in the future.

Stating that sustainability was an important topic to further examine, Council Member Chilton said that the Sustainability Committee's proposal was a reasonable one.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER FRANCK, TO ADOPT RESOLUTION 12.

Council Member Evans said it was important to branch out and get more people involved in the process in order to achieve widespread community support for sustainability. Council Member Brown stated that this objective was inherent in the proposed resolution. Council Member Pavão said that point number two of the proposed resolution stipulated that it was up to the Council, in consultation with community residents, to determine what funds would be expended relative to sustainability objectives. Mayor Waldorf inquired whether the proposed resolution had immediate cost implications. Council Member Pavão said there were none other than staff time. He noted that Professor Brower and his students were willing to help with the project.

Council Member Capowski suggested a minor amendment to the resolution. The motioner and seconder concurred with the proposed change.

Mayor Waldorf suggested the possibility of referring the report to staff for comments. Council Member Franck said he thought staff might have a difficult time narrowing down the indicators.

Council Member Andresen said it was important to have specific, concrete proposals about possible Town actions and a proposed timeframe. Council Member Pavão said the proposed timeframe could be about one year. Council Member Brown said that a tremendous amount of work would be involved in a Town staff review of each indicator. Mayor Waldorf said it appeared that she was the sole Council Member favoring staff comment on the matter. Council Member Evans said she also would be happy to receive staff comment on this matter.

RESOLUTION 12, AS AMENDED, WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION REGARDING THE TOWN COUNCIL'S SUSTAINABILITY COMMITTEE (96-4-22/R-12)

BE IT RESOLVED by the Chapel Hill Town Council:

1. That the Council directs the Manager to seek applications from citizens to serve on the Sustainability Committee.

2. That the Council requests that the Sustainability Committee propose to the Council a process for doing these tasks:

a. Prioritize the indicators developed by the class of UNC students led by David Brower.

b. Develop a data base where possible including costs of developing the data base.

c. Make specific recommendations for ways to use indicators of sustainability

3. That the Council intends to appoint additional citizens to serve on the Committee, with specific number of appointments to be determined after applications are received.

4. That the Council requests that Mayor pro tem Brown and Council Member Pavão, in consultation with the Sustainability Committee, make recommendations for appointing additional citizens to the Committee.

This the 22nd day of April, 1996.

Item 7b Recommended CDBG Program & Related Items

Long-Range Planning Coordinator Chris Berndt presented an overview of community development and housing related budget matters. She stated that the Housing and Community Development Advisory Board recommended approval of the proposed program funding levels. Council Member Andresen inquired whether the Board had discussed what would happen if no program funding was received. Ms. Berndt said the Board had recommended two funding level alternatives for community development programs. Council Member Chilton commended the staff for its work on the HOME Consortium matter.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ADOPT RESOLUTION 13.

Lei Knight said she was excited that funding was recommended for some of the Interfaith Council's (IFC) programs. Ms. Knight also requested that the Council consider providing additional funding for IFC programs targeting homeless and substance addicted persons.

Council Member Evans inquired about a statement on page six which appeared to indicate the community development funds were limited to use in the Pine Knolls and public housing neighborhoods. She inquired whether or not the funds could be used to construct sidewalks in the Midway area. Ms. Berndt said other parts of the community, such as the Midway area, were eligible for program funding, possibly for sidewalk projects. Council Member Evans said she favored having the flexibility to do these types of projects.

RESOLUTION 13 WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION APPROVING RECOMMENDATION OF THE 1996-97 COMMUNITY DEVELOPMENT PLAN (96-4-22/R-13)

WHEREAS, the Council of the Town of Chapel Hill held two public hearings to receive ideas from citizens about how Community Development Block Grant funds could be spent in 1996-97;

NOW, THEREFORE, BE IT RESOLVED that based on the Town's allocation of Community Development funds, the Town Council approves the following alternative 1996-97 one-year Community Development Plan and three-year plan for action:

One-Year Plan Main Proposal Alternative Proposal

Rehabilitation of Public Housing $350,000 $167,000

Neighborhood Revitalization $ 45,000 $ 0

Community Services $ 20,000 $ 0

General Administration $ 53,000 $ 40,000

$468,000 $207,000

Three-Year Plan 1996-97 1997-98 1998-99

Public Housing Renovation $350,000 $350,000 $350,000

Neighborhood Revitalization $ 45,000 $ 45,000 $ 45,000

Community Service $ 20,000 $ 20,000 $ 20,000

General Administration $ 53,000 $ 53,000 $ 53,000

$468,000 $468,000 $468,000

BE IT FURTHER RESOLVED that the Council recommends that any additional grant funds the Town may receive from the Department of Housing and Urban Development be added to the rehabilitation of public housing activity.

BE IT FURTHER RESOLVED that the Council authorizes this plan to be incorporated into the Consolidated Plan developed with Orange County, Hillsborough, and Carrboro for submission to the U. S. Department of Housing and Urban Development on May 15, 1996.

This the 22nd day of April, 1996.

Noting that she was very supportive of the concept of a land trust as a means of keeping housing affordable, Council Member Brown requested staff comment on this matter. Mr. Horton said Donna Dyer of the Orange Community Housing Corporation was in process of putting together a proposal including donated services relative to a land trust. Council Member Brown said she looked forward to receiving the proposal.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ADOPT RESOLUTION 14. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION APPROVING THE ACTIVITIES OF THE 1996-97 HOME PROGRAM (96-4-22/R-14)

WHEREAS, the Council of the Town of Chapel Hill held two public hearings to receive citizens comments and proposals regarding the use of $612,500 of federal HOME funds;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council approves the following activities to be carried out by the members of the Orange County HOME Consortium:

Activity Amount

1. Transitional Housing $336,600

2. Site Improvements $110,000

3. Acquisition $125,000

4. Administration $ 40,900

$612,500

BE IT FURTHER RESOLVED that the Council authorizes this plan to be incorporated into the Consolidated Plan developed with Orange County, Hillsborough and Carrboro for submission to the U.S. Department of Housing and Urban Development.

This the 22nd day of April, 1996.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ADOPT RESOLUTION 15. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION AUTHORIZING THE SUBMISSION OF THE 1996-97 ANNUAL UPDATE TO THE 1995-2000 CONSOLIDATED PLAN (96-4-22/R-15)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Manager to submit the 1996-97 annual update to the 1995 - 2000 Consolidated Plan to the U. S. Department of Housing and Urban Development for the 1996-97 Community Development Program and the 1996-97 HOME Program; including all understandings, assurances, and certifications required therein, for a program of either $468,000 or $207,000 of Community Development funds and $612,500 of HOME Program funds by May 15,1996.

BE IT FURTHER RESOLVED that the Manager is hereby designated as the authorized representative of the Town to act in connection with submission of a Consolidated Plan to provide such additional information as may be required.

This the 22nd day of April, 1996.

Item 8 Windsor Park Cluster Subdivision Preliminary Plat Request

Planning Director Roger Waldon noted that a public hearing on this matter had been held in March. He briefly reviewed key issues from the hearing, including the coordination of roadway improvements along the NC 86 corridor. Mr. Waldon noted that if NCDOT ran behind schedule with the improvements, the applicant would be required to complete them. He stated that the developer was not particularly comfortable with this arrangement. Mr. Waldon also said that the Council had earlier adopted a motion for a regional street and roadway plan. He noted that staff had placed a resolution at the Council's table this evening, regarding the possible future installation of a traffic signal at Stateside Drive.

Pat Cabarga, 107 Stateside Drive, said the back of her property adjoined the area proposed for the beginning of an earthen dam. She expressed concern that there was not much information about how the proposed dam would be maintained in the future. Ms. Cabarga requested that the developer be required to put in writing the specific steps which would be taken to protect existing properties around the dam, during construction of the dam and home sites. Ms. Cabarga also inquired whether or not the homeowners association of the proposed subdivision would be liable for damage to properties.

Flicka Bateman, 106 Stateside Drive, said the existing two lane portion of NC 86 would not be safe until the widening of NC 86 was completed. Noting that legal constraints did not permit delaying projects on NC 86 until the widening was completed, Ms. Bateman inquired whether or not there were any legal approaches to slow down the development process. Ms. Bateman expressed appreciation to the Mayor and Council Members for their attention to the need for a traffic signal at NC 86 and Stateside Drive. She urged the Council to do all it could to help in this regard.

Linda Norlint, a resident of the Timberlyne neighborhood, inquired why a stubout was needed one hundred and fifty feet from the end of Butternut Circle. She noted that the applicant was working with the applicant to preserve the interests of neighbors. Council Member Andresen inquired why Kingston Drive was being emphasized to handle traffic, rather than Westminster Drive or other existing roadways. Mr. Waldon said when the proposal for the Estates subdivision was received, these matters would be specifically addressed.

Council Member Capowski inquired about the next proposed median cut along NC 86 after Stateside Drive. Mr. Waldon said Weaver Dairy Road. Council Member Capowski asked how the residents of the Windsor Park neighborhood could access the downtown area. Mr. Waldon said some options would be to use Kingston, Banks and Westminster Drive and NC 86. Council Member Capowski asked whether the Estates subdivision consisted mostly of apartments. Mr. Waldon said the proposed development included apartments and other uses. He added that the proposed dam and lake would be the responsibility of the homeowners association, with specific duties and responsibilities to be determined in the future.

Council Member Andresen inquired about the possibility of requiring the developer to furnish a bond as a means of surety. Mr. Horton said it would perhaps be useful to hear from the Town Attorney or the applicant regarding the posting of a bond.

Phil Szostak, the applicant, said construction of the pond would be phased to provide the best possible protection of downstream developments and would be built to State standards. Mr. Szostak said that he did not feel that bonding of the facility was necessary, given its small size and the protective measures in place. Council Member Andresen inquired what would happen if problems occurred after the subdivision was built out. Mr. Szostak said if there were insufficient funds to maintain the dam, it could be breached and the area seeded. Council Member Andresen also said she had water quality concerns. Mr. Szostak said that the proposed system would allow sediment from stormwater to settle and would be the most effective means to assure good water quality.

Council Member Brown inquired whether or not the applicant had supplied the Town with drainage plan information, as required by Section 17.13.2 (d) of the Town's Development Ordinance. Mr. Szostak said no, stating that such a plan was required later in the process, prior to the issuance of a permit. Mr. Horton said this item would be reviewed by engineering staff before signing of subdivision plats. Council Member Brown inquired about the possibility of incorporating erosion control and drainage design details into the proposed stipulations. Mr. Horton said it was somewhat difficult to incorporate such details into the stipulations. Mr. Waldon stated that the applicant had already provided much of the general detail referenced by Council Member Brown. He added that more technical information was reviewed in the final plan stage. Stating that drainage and flooding related concerns were serious matters, Council Member Brown suggested that the Council needed to pay greater attention to stormwater management matters earlier in the review process.

Council Member Franck inquired about the scope and level of detail of drainage information provided by the applicant. Mr. Waldon said the information provided was of a general nature. Mr. Horton stated that applicants were not asked to provide detailed engineering information upfront. He added that plats were not approved until engineering standards were satisfactorily met.

Noting that it was not intended as a reflection on any individual, Council Member Brown expressed concern that the Council did not have enough information to make good decisions. She said the Council needed to do something about this matter. Mr. Szostak said the final engineering schematic for storm drainage locations and easements was pending final approval. Stating that his comments were not a reflection on the applicant's proposal, Council Member Franck said he thought that the issue needed to be examined in the future. Council Member Brown suggested that language be drafted to get the desired stormwater protections. Mayor Waldorf said she did not understand how the Council was equipped to judge the adequacy of such technical matters. Council Member Brown said she was suggesting possibly sending the matter back to staff for drafting of more protective language in the Development Ordinance.

Council Member Franck asked whether the Town could potentially open itself up to legal challenges if the original language concerning cross-sections was used. Mr. Karpinos said the answer was yes, and that this analysis was based on case law.

Denny Delind said he shared the concerns of his neighbors about roadway plans. Mr. Delind said Triangle Nature Conservancy staff were interested in the establishment of a greenway in the area.

Norman Rosen, President of the Timberlyne Neighborhood Association, said rather than going up NC 86 to Weaver Dairy Road, many drivers would choose to access the downtown area using Kingston Drive and Piney Mountain Road. Mr. Rosen urged the Council to consider options which would keep traffic off Kingston Drive. He also stated that the Timberlyne Neighborhood Association would be petitioning the Council in the future to request a median break on NC 86 at Westminster Drive.

Pat Carpenter expressed concern that safe and efficient movement of local traffic, especially along Kingston Drive, might prove difficult, given development proposals along the NC 86 corridor. Stating that she had formerly resided at 107 Stateside Drive, Ms. Cabarga's home, Ms. Carpenter said her former property had experienced stormwater-related flooding on several occasions.

Michael Brough, the applicant's legal representative, asked that the Council not send the matter back to staff for further investigation. Stating that his client was taking steps beyond existing ordinance requirements and that maintenance requirements would be handled by professional staff as technical matters, Mr. Brough requested that Council act on Mr. Szostak's request this evening.

Stating that she appreciated Mr. Brough's concerns, Council Member Brown moved, seconded by Council Member Franck, to recess the hearing to May 13th.

Council Member Franck requested that staff ensure that conditions of subsection 17.13.2 (d) had been met by the applicant.

Council Member Andresen said approval of the proposal would mean adding traffic from another development to a dangerous section of NC 86. She stated that there were a number of stormwater problems in the Town. Council Member Andresen also said she favored looking at traffic planning along the NC 86 corridor in the near future.

Noting that roadway options to reach the downtown area from the proposed subdivision were quite convoluted, Council Member Capowski inquired what protections there were in the ordinance to ensure that traffic could not attempt to make left turns from Stateside Drive on to NC 86. Stating that he had some concerns about the proposed Windsor Park development, Council Member Capowski said he was more concerned about the proposed larger and denser Estates subdivision. Noting that the Council had the final approval on both of these proposals, Mr. Waldon said it would be sheer speculation to comment on how drivers might attempt to access the downtown area. In the event that the Council chose to recess the hearing to May 13th, Council Member Capowski requested that staff address traffic-related matters, including left turns from Stateside Drive on to NC 86.

Noting that all roads within the proposed cluster subdivision were twenty-seven feet wide with curb and guttering, Council Member Evans asked that the applicant address the idea of providing sidewalks on both sides of connector roads.

Council Member Chilton requested a brief review of items for staff follow-up. Council Member Franck said he was asking staff to determine whether conditions of subsection 17.13.2 (d) of the Development Ordinance, concerning a drainage plan as part of the preliminary plat, had been met.

Mayor Waldorf said she would vote against the motion, believing the Council was getting into a role customarily carried out by the Town's Engineering Department.

Council Member Chilton said also he was sympathetic with the Mayor's outlook, he would vote for it due to concerns about ponding and drainage. Council Member Franck said he had heard Mr. Waldon testify that not all the required information had been submitted by the applicant.

THE MOTION TO RECESS THE HEARING TO MAY 13TH WAS APPROVED BY A VOTE OF 5-3, WITH COUNCIL MEMBERS ANDRESEN, BROWN, CAPOWSKI, CHILTON AND FRANCK VOTING AYE AND MAYOR WALDORF AND COUNCIL MEMBERS EVANS AND PAVÃO VOTING NO.

Mayor Waldorf noted that the hearing would be continued to the Council's May 13th agenda.

Item 9 Hargraves Gymnasium Request for Special Use Permit

Planning Director Roger Waldon said staff continued to recommend adoption of Resolution A, approving the request with conditions.

Mary Ann Gross, President of the Chapel Hill-Carrboro League of Women Voters, said the League had consistently supported the availability of adequate recreational facilities. Ms. Gross said that the League encouraged the Council to fully fund the proposed facility. She also stated that the League favored joint recreational facilities whenever possible and would take this message to the Orange County Board of Commissioners.

Mayor Waldorf noted that there were no other speakers on this item.

COUNCIL MEMBER PAVÃO MOVED, SECONDED BY COUNCIL MEMBER FRANCK, TO CLOSE THE PUBLIC HEARING. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

COUNCIL MEMBER PAVÃO MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADOPT RESOLUTION 17A.

Council Member Evans inquired about the flexibility to "do the project right", if the Orange County Commissioners were willing to provide a portion of project funding. Mr. Horton said if the plan before the Council were carried out in full, it would provide for a fully configured facility.

RESOLUTION 17A WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION APPROVING AN APPLICATION FOR A SPECIAL USE PERMIT MODIFICATION FOR THE HARGRAVES PARK GYMNASIUM (SUP-MOD 85.A.1)

(96-4-22/R-17a)

BE IT RESOLVED by the Council of the Town of Chapel Hill that it finds that the Special Use Permit Modification application, proposed by the Town of Chapel Hill on property identified as Chapel Hill Township Tax Map 85, Block A, Lot 1, if developed according to the site plan dated December 12, 1995 and revised February 8, 1996 and the conditions listed below, would:

Stipulations Specific to the Development

1. That construction begin by April 22, 1998 (two years from the date of Council approval) and be completed by April 22, 1999 (three years from the date of Council approval).

2. Bike Racks: That the applicant provide bicycle racks in front of the gymnasium adjacent to the new parking lot on Roberson Street.

Stipulations Related to State and Federal Governments Approvals

3. Approval of Encroachment Agreements: That any required State permits or encroachment agreements be approved and copies of the approved permits and agreements be submitted to the Town of Chapel Hill prior to the issuance of a Zoning Compliance Permit.

Stipulations Related to Landscape Elements

4. Landscape Plan Approval:

a) That a detailed landscape plan, landscape maintenance plan, and lighting plan be approved by the Appearance Commission prior to issuance of a Zoning Compliance Permit.

b) That a Planting Plan for the landscape buffer yards adjacent to the new construction be approved by the Appearance Commission prior to issuance of a Zoning Compliance Permit. The Planting Plan should take into consideration both the Town's standard buffer requirements and security considerations.

5. Landscape Protection Plan: That a Landscape Protection Plan be approved by the Town Manager prior to issuance of a Zoning Compliance Permit.

Stipulations Related to Building Elevations

6. Building Elevation Approval: That detailed building elevations be approved by the Appearance Commission prior to issuance of a Zoning Compliance Permit.

Miscellaneous Stipulations

7. Fire Flow: That a fire flow report prepared by a registered professional engineer, showing that flows meet the minimum requirements of the Design Manual, be approved by the Town Manager prior to issuance of a Zoning Compliance Permit.

8. Utility/Lighting Plan Approval: That the final utility and lighting plan be approved by Orange Water and Sewer Authority, Duke Power, Public Service Company, Bell South, and the Town Manager before issuance of a Zoning Compliance Permit.

9. Solid Waste Management Plan: That a detailed solid waste management plan, be approved by the Town Manager prior to the issuance of a Zoning Compliance Permit.

10. Detailed Plans: That final detailed site plan, grading plan, utility/lighting plans, Stormwater Management Plan (with hydraulic calculations), before issuance of a Zoning Compliance Permit, and that such plans conform to the plans approved by this application and demonstrate compliance with all applicable conditions and the design standards of the Development Ordinance and the Design Manual.

11. Erosion Control: That a soil erosion and sedimentation control plan be approved by the Orange County Erosion Control Officer and the Town Manager before issuance of a Zoning Compliance Permit.

12. Silt Control: That the applicant take appropriate measures to prevent and remove the deposit of wet or dry silt on adjacent paved roadways.

13. Continued Validity: That continued validity and effectiveness of this approval is expressly conditioned on the continued compliance with the plans and conditions listed above.

14. Non-severability: If any of the above conditions is held to be invalid, approval in its entirety shall be void.

BE IT FURTHER RESOLVED that the Town Council hereby approves the application for a Special Use Permit for the Hargraves Park Gymnasium in accordance with the plans and conditions listed above.

This the 22nd day of April, 1996.

Parks and Recreation Director Michael Loveman said that a total of $1,035,000 had been allocated for design and construction of the project. Mr. Loveman said that the building would be fully air-conditioned and hours of operation and staffing levels had yet to be determined. He added that although the extension of a fire lane to Mitchell Lane had been investigated, it was not cost effective.

George Smart, the project architect, said that the Appearance Commission and Design Review Board had reviewed the building's site elevations and recommended making the proposed building more contextual with the existing building.

Council Member Capowski inquired whether or not the term "multi-purpose room" referred to a meeting room. Mr. Smart said this was correct.

COUNCIL MEMBER FRANCK MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ADOPT RESOLUTION 18.

Noting the possibility of a $80,000 to $100,000 shortfall relative to funding of the project, Council Member Capowski said it was important to find some way to fully fund the project. Mr. Horton said Town staff was investigating the possibility of Orange County funding a portion of the project. Council Member Capowski asked whether or not there were other possible funding sources. Mr. Horton said sacrificing some small capital projects was another option.

RESOLUTION 18 WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION AUTHORIZING THE MANAGER TO PROCEED WITH THE DEVELOPMENT OF CONSTRUCTION DOCUMENTS AND A BIDDING PROCESS FOR THE HARGRAVES GYMNASIUM (96-4-22/R-18)

BE IT RESOLVED by the Council of the Town of Chapel Hill that it authorizes the Manager to proceed with development of construction documents, to apply for all needed permits, and to seek bids for construction of the Hargraves Gymnasium.

This the 22nd day of April, 1996.

Item 10 Public Housing Organizational Matters

Mr. Horton said that this evening's presentation was the first follow-up report on the matter. Assistant Town Manager Florentine Miller highlighted keypoints of the follow-up report and recommendations, including reorganization of the Housing Department and Housing and Community Development Advisory Board. Ms. Miller also said that staff recommended adoption of Resolution 19.

Expressing thanks for the staff's report, Council Member Andresen requested that staff draft a timeline of proposed follow-up actions. Mayor Waldorf inquired whether it was possible and reasonable to develop such a timeline. Ms. Miller said yes. Mr. Horton said although many of the items could be addressed by the Fall of this year, some items could take three or four years to address all matters.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ADOPT RESOLUTION 19.

Mayor Waldorf stated that good screening policies were needed for public housing communities. She also suggested that staff investigate the possibility of establishing escrow accounts for residents who wished to save for downpayments for houses.

Joanne Shirer thanked the Council and staff for all of their hard work and efforts to improve public housing. Mayor Waldorf thanked Ms. Shirer for all of her hard work.

RESOLUTION 19 WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION REFERRING TO THE CHAPEL HILL-CARRBORO RESIDENTS' COUNCIL, THE HOUSING AND COMMUNITY DEVELOPMENT ADVISORY BOARD AND PUBLIC HOUSING RESIDENTS A REPORT REGARDING SERVICES TO PUBLIC HOUSING NEIGHBORHOODS (96-4-22/R-19)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council refers the Town Manager's report of April 22, 1996, to the Housing and Community Development Advisory Board, Residents' Council and other interested public housing residents for comments to the Council no later than June 3, 1996 and if practical by the time of the Council's public hearing at 7:00 p.m. on Wednesday, May 15, regarding the Town's proposed 1996-97 budget.

This the 22nd day of April, 1996.

Item 11 Greenway Matters

Dry Creek Greenway Trail

Parks and Recreation Director Mike Loveman said that staff was requesting Council authorization to establish an advisory committee for the proposed Dry Creek greenway project. He stated that staff recommended adoption of Resolutions 20a and b. Council Member Andresen inquired whether or not it was most efficient to hire a consultant for this project. Mr. Loveman said the consultant could gather base information from citizens and would have sufficient technical expertise to respond to citizen concerns.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER FRANCK, TO ADOPT RESOLUTION 20A.

Mayor Waldorf said she shared Council Member Andresen's concerns about spending $20,000 for consulting services and planning of the trail. Council Member Pavão inquired whether or not a concept plan for Upper Booker Creek Trail had been developed. Mr. Loveman said that this conceptual plan had been approved. Council Member Chilton said he thought the Council should approve the proposed resolution.

RESOLUTION 20A WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION AUTHORIZING THE MANAGER TO USE UP TO $25,000 OF ALREADY ALLOCATED CAPITAL IMPROVEMENTS PROGRAM FUNDS FOR THE DRY CREEK TRAIL PROJECT (96-4-22/R-20a)

WHEREAS, the Council allocated $50,000 of FY 1995-96 Capital Improvements Program funds to the greenway program; and

WHEREAS, the Greenways Commission has recommended that $25,000 of that money be used to develop a conceptual plan for the proposed Dry Creek Trail project; and

WHEREAS, the Town has acquired a significant portion of the proposed trail corridor;

NOW THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby authorizes the Manager to spend up to $25,000 of Capital Improvements Program funds already allocated to the greenways program for the Dry Creek Trail project.

This the 22nd day of April 1996.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER PAVÃO TO ADOPT RESOLUTION 20B AS AMENDED.

A RESOLUTION AUTHORIZING THE ESTABLISHMENT OF A TEMPORARY DRY CREEK TRAIL ADVISORY COMMITTEE (96-4-22/R-20b)

WHEREAS, the proposed Dry Creek Trail could serve the recreation and transportation needs of a diverse segment of the Chapel Hill community; and

WHEREAS, the proposed Dry Creek Trail could be located adjacent to the East Chapel Hill High School, established homes and potential home sites in several neighborhoods, and businesses; and

WHEREAS, the Town has an interest in assuring that the proposed trail would be developed to a scale and intensity consistent with the neighborhoods through which it would be built; and

WHEREAS, a committee of neighbors and citizens could provide valuable advice in the design of such a trail;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby authorizes the establishment of a temporary eleven member committee consisting of two members of the Greenways Commission, one member of the Chapel Hill-Carrboro School system representing the East Chapel Hill High School, two at-large citizens, one member representing the New Hope Creek Corridor committee and five persons living adjacent to the proposed trail corridor.

BE IT FURTHER RESOLVED that the Dry Creek Advisory Committee is established for the purpose of advising the staff and the Council on the location of the proposed trail, the type of trail surface to be utilized, the extent of landscaping to be planted, the types and numbers of trail amenities to be installed, and the management of the trail.

BE IT FURTHER RESOLVED that the Dry Creek Advisory Committee shall be disbanded after Council's consideration of the Dry Creek Trail conceptual plan.

This the 22nd day of April 1996.

Revision of Greenways Task Force Report

Mr. Loveman said this resolution involved the possible allocation of up to $25,000 for updating the Town's Greenways report in order to prevent conflicting plans with other governmental agencies.

Council Member Andresen suggested deferral of this item until after the Greenways Commission met jointly with the Council on May 6th. Mayor Waldorf expressed her concurrence with this suggestion. Council Member Franck inquired whether or not such a delay would be problematic. Mr. Horton said it was not problematic to postpone the matter until after the May 6th work session. Council Member Franck noted that the project possibly involved spending money now in order to save money in the future.

Mr. Horton said the plan would help to decide what the Town may wish to construct in terms of future Greenways. Council Member Franck said he was willing to wait to discuss the matter with the Greenways Commission. Council Member Evans suggested that a graduate student might be interested in undertaking this project as part of their degree program.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO TABLE THE MATTER UNTIL AFTER THE MAY 6TH BUDGET WORK SESSION. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Discussion Items from Consent Agenda

Culbreth Park

Council Member Brown inquired about the possibility of the Town making Town and other employees in the community aware of the availability of affordable housing programs such as Culbreth Park. Mayor Waldorf inquired whether or not this was possible. Mr. Horton said it was possible to do so.

Stating that it appeared that there was not sufficient motivation for sellers to voluntarily sign on with Orange Community Housing Corporation, Council Member Capowski inquired about the possibility of offering second mortgages at attractive interest rates. Mr. Karpinos said it was not possible to change unilaterally the terms under which the houses were purchased. Council Member Capowski inquired what convinced staff that the proposal was going to work. Mr. Horton noted that the program was a voluntary arrangement which might or might not work.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADOPT RESOLUTION 8. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION AUTHORIZING THE MANAGER TO CONTRACT WITH THE ORANGE COMMUNITY HOUSING CORPORATION TO IMPLEMENT A VOLUNTARY MARKETING PROGRAM WITH CULBRETH PARK AND TANDLER HOMEOWNERS (96-4-22/R-8)

WHEREAS, the Town has made commitments to the promotion of low- and moderate-income housing opportunities, in the form of statements in its Comprehensive Plan, and its allocation of General Fund revenues to low-income housing initiatives; and

WHEREAS, the Town has received a proposal from the Orange Community Housing Corporation that would assist in marketing Culbreth Park and Tandler houses to lower-income families;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Manager to contract with the Orange Community Housing Corporation to implement a voluntary program that would enable Culbreth Park and Tandler owners to list their homes with Orange Community Housing Corporation.

BE IT FURTHER RESOLVED that the Council of the Town of Chapel Hill authorizes the Manager to amend the Town's existing Performance Agreement with the Orange Community Housing Corporation to include this new program.

This the 22nd day of April, 1996.

Carolina Energy Project

Council Member Andresen said it was important to respect the process which was already in place. Mayor Waldorf inquired whether alternate technologies could be investigated in a parallel fashion. Council Member Andresen said she believed that it was better for the Council to be clear about what it had in mind, namely a brief assessment in a short period of time. Council Member Chilton asked whether Council Member Andresen was asking for an initial investigation. Council Member Andresen said this was correct. Council Member Evans requested that the Landfill Owners Group (LOG) address the matter. Council Member Chilton said the matter could be taken forward to the LOG. Mayor Waldorf inquired about a reasonable timeframe for the LOG to examine the matter. Council Member Chilton said the matter could attempt to examine the matter by July 1st. Council Member Brown said the Council's LOG representatives could report back to the Council by July 1st if it were not possible to examine the matter by that time.

COUNCIL MEMBER ANDRESEN MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADOPT RESOLUTION 11, AS AMENDED. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

A RESOLUTION REFERRING INFORMATION FROM VEDCO ABOUT ITS CAROLINA ENERGY PROJECT AND BCH ENERGY PROJECT (96-4-22/R-11)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council refers to the Landfill Owners Group information about VEDCO's Carolina Energy Project and BCH Energy Project and requests an initial investigation by the Landfill Owners Group by July 1st, 1996.

This the 22nd day of April, 1996.

Bond Projects

Noting that his request for bond project options had been limited to parks and open space matters, Council Member Capowski suggested discussing the matter on the May 13th agenda. Mayor Waldorf said the matter could be discussed at the April 29th budget work session. Stating that he had served on the 1986 bond related committee, Council Member Capowski said although it did not matter whether the item was placed on the April 29th or May 13th Council agenda, it was important to discuss the matter in the near future. Council Member Andresen said she liked the idea of discussing the matter at a budget work session.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO SCHEDULE A DISCUSSION OF THE MATTER AT THE COUNCIL'S APRIL 29TH BUDGET WORK SESSION. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

The meeting concluded at 10:57 p.m.