MINUTES OF A MEETING OF THE MAYOR AND COUNCIL OF THE TOWN OF CHAPEL HILL, NORTH CAROLINA, MONDAY, AUGUST 26, 1996 AT 7 P.M.

Mayor Waldorf called the meeting to order. Council Members in attendance were Julie Andresen, Joyce Brown, Joe Capowski, Mark Chilton, Richard Franck and Lee Pavao. Council Member Pat Evans was absent excused. Also in attendance were Town Manager Cal Horton, Assistant Town Managers Sonna Loewenthal and Florentine Miller, Solid Waste Director Gayle Wilson and Town Attorney Ralph Karpinos.

Item 1 Ceremony

Mayor Waldorf requested that members of the family of the late Barbara Powell come forward to receive a resolution honoring Council Member Powell's service.

Mayor Waldorf read the following resolution:

A RESOLUTION HONORING AND COMMEMORATING MS. BARBARA BOOTH POWELL FOR HER SERVICE TO CHAPEL HILL, CARRBORO, ORANGE COUNTY AND THE STATE OF NORTH CAROLINA

WHEREAS, the late Ms. Barbara Booth Powell was a very distinguished citizen of and lifelong resident of Chapel Hill; and

WHEREAS, Barbara Booth Powell was an active community leader in Chapel Hill for many years and in many ways in addition to her service as a decision-maker in the Town government; and

WHEREAS, Ms. Powell graduated from Lincoln High School in 1955 and from North Carolina Central University in 1972 with a Bachelor of Arts degree in Sociology; and

WHEREAS, Ms. Powell served on the Parks and Recreation Commission, the Chapel Hill Charter Review Commission, the Housing and Community Development Advisory Board, and the Task Force on Violent Crime and Drug Abuse; and

WHEREAS, Barbara Powell chaired the Special Committee on Public Housing and Related Matters, which made recommendations to the Town Council for substantially strengthening the Town's services to and support of public housing residents; and

WHEREAS, Ms. Powell was a lifetime member of O'Bryant's Chapel African Methodist Episcopal Zion Church, and she served on the Church's Board of Trustees and was a member of the Missionary Society; and

WHEREAS, Barbara Powell served on the Board of Directors of the Village Companies Foundation, which supported community events and activities including the July Fourth celebrations; and

WHEREAS, Ms. Powell became a member of the Chapel Hill Town Council upon her unanimous appointment to the Council on November 9, 1992; she was elected to a full term on the Council in November, 1993; and she served on the Council until her passing from this life on July 7, 1996; and

WHEREAS, Barbara Powell served as the Chapel Hill-Carrboro City Schools' Home School Coordinator for two years and as Assistant Principal at Guy B. Phillips Junior High School for eight years; and

WHEREAS, Ms. Powell served in State government for 17 years including responsibilities as a Community Development Specialist starting in 1983 in the Office of Economic Opportunity in the Department of Natural Resources and Community Development and subsequently in the same office when it became part of the North Carolina Department of Human Resources; and

WHEREAS, Ms. Powell brought to the Council a strong sensitivity to the needs of low-income families and elderly citizens and to the need for courteous, fair and just treatment of citizens; and

WHEREAS, Barbara Powell had a special skill in summarizing issues and thereby assisting the Council in focussing on the key questions to be resolved to make decisions; and

WHEREAS, Barbara's wisdom, caring, compassion, warmth and humor are greatly missed by the Mayor and Town Council, the citizens and staff who had the opportunity to know and work with her;

NOW THEREFORE BE IT RESOLVED by the Mayor and Town Council of Chapel Hill that the Council hereby honors and commemorates the life and service of

MS. BARBARA BOOTH POWELL

to the citizens of Chapel Hill, Carrboro, Orange County and of the State of North Carolina.

This the 26th day of August, 1996.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER PAVAO TO ADOPT RESOLUTION 1. THE MOTION WAS ADOPTED UNANIMOUSLY (8-0).

Mayor Waldorf requested a moment of silence in honor of Ms. Powell.

Item 2 Process for Filling Vacant Town Council Seat

Mayor Waldorf presented a brief overview of the process for filling the vacant Town Council seat. She noted that persons wishing to apply for the vacancy needed to forward an originally signed letter to the Town indicating why there were applying as well as their qualifications and any additional supporting information. Mayor Waldorf said she was suggesting an application deadline of September 16th to receive applications. She added that if the Council wished to do so, nominations to fill the vacancy could be made at the Council's September 25th meeting. Mayor Waldorf stated that at subsequent regular or special meetings, the Council could make an appointment to fill the vacant seat. Council Member Andresen inquired about the possibility of the Council hearing from applicants at the beginning of the September 25th meeting or at a special Council meeting. Noting that the resolution contemplated hearing from the applicants on September 25th, Mayor Waldorf said one possibility would be to set a threshold for the number of applicants which might trigger the need for a special meeting.

Council Member Chilton suggested the possibility of starting the September 25th meeting earlier if the number of applicants warranted. Mayor Waldorf said the sentiment appeared to be that an earlier meeting time could be set for September 25th if a large number of applications were received.

COUNCIL MEMBER CAPOWSKI MOVED, SECONDED BY COUNCIL MEMBER FRANCK TO ADOPT RESOLUTION 2. THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

A RESOLUTION SETTING A DEADLINE FOR SUBMITTAL OF APPLICATIONS FOR A VACANT SEAT ON THE CHAPEL HILL TOWN COUNCIL AND INVITING APPLICANTS TO ATTEND THE SEPTEMBER 24^TH TOWN COUNCIL MEETING (96-26-8/R-2)

BE IT RESOLVED BY THE COUNCIL OF THE TOWN OF CHAPEL HILL that the Council sets September 16 at 5 p.m. as the deadline for filing applications by persons seeking to be appointed to the vacant seat on the Chapel Hill Town Council.

BE IT FURTHER RESOLVED that applicants for the vacant seat are invited to attend the September 24^th meeting of the Town Council and to make brief remarks regarding their interest in serving on the Town Council.

This the 26^th day of August, 1996.

Item 3 Petitions

Mary Brady read a petition from 139 residents of the Azalea and Bayberry Drive area to close the temporary access at Bayberry Drive east of Arboretum Drive. A copy of the petition is on file in the Town Clerk's Office.

COUNCIL MEMBER CAPOWSKI MOVED, SECONDED BY COUNCIL MEMBER PAVAO TO REFER THE MATTER TO THE MANAGER. THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

Council Member Capowski requested that the staff's follow-up report contain information about the effect of such a closure on emergency vehicle access. Mayor pro tem Brown inquired when the staff would bring this matter back to the Council. Noting the need to consult with public safety officials, engineers and State Department of Transportation staff, Mr. Horton said he could not provide an estimate at this time. Mr. Karpinos noted that closure of the street would require a public hearing in the future.

Karyn Traut, 400 Bayberry Drive, said that she and her husband had lived in this area since 1978. Ms. Traut said she believed that the temporary access to Arboretum Drive would be automatically closed when another connection was made to Rhododendron Drive, with Azalea and Bayberry Drives to serve as neighborhood, rather than connector, streets. Ms. Traut requested that the Council move ahead to close the temporary access across the Arboretum as soon as possible.

Expressing concern for the safety of children, David Lee, 327 Azalea Drive, requested the Council's assistance in controlling traffic along Bayberry and Azalea Drives. Rick Holloway likewise requested the Council's assistance in reducing traffic on these two roadways for safety reasons.

Council Member Andresen requested that the previous petitioners be informed when the item would come back before the Council. Mr. Horton said staff would do so.

Mayor Waldorf apologized for not recognizing Bill Geer with regard to the Azalea/Bayberry Drive petition. Bill Geer, a resident of Azalea Drive, said he was very surprised that the Council had decided at a recent meeting not to cut through Bayberry Drive, as recommended by the Planning Board and staff. Mr. Geer said traffic on Azalea Drive was very heavy, with some drivers using the road as a "speedway". He stated that there would be difficulties of major proportions in the future if nothing were done to address this matter.

Flicka Bateman, representing Citizens for Sewers, thanked the Council for approving subsidies to install sewer service in four unsewered neighborhoods. She also requested that the Council have an equitable, coherent and defensible policy for providing subsidies to neighborhoods in the Town for the provision of sewer services.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER BROWN, TO REFER THE MATTER TO THE MANAGER.

Council Member Andresen suggested that the Council hold a work session with OWASA to develop a united consensus on this matter, rather than referring the matter to the Manager. Mayor Waldorf noted that there was a motion on the floor to refer the matter to the Manager. Mr. Horton noted that there were three additional persons who wished to speak on the matter. Mayor Waldorf noted that there was Council consensus to hear from these speakers.

Lisa Stuckey, a member of Citizens for Sewers, expressed concern that OWASA appeared to be backing away from its $50 per line foot policy and that the Town appeared to have revised its sewer subsidy policy. Ms. Stuckey urged the Council to develop a formula which set a fair and predictable price for sewer service.

Kent Mullikin stated that approximately three hundred and seventy-four homes in the Town did not currently have sewer service. Mr. Mullikin also suggested that the Council and OWASA revisit the concept of basing individual sewer assessments on historical averages, adjusted for inflation.

Referencing public health concerns, Rick Edens urged the Council to work with OWASA to establish a fair and equitable system for providing sewer service to unsewered homes in the Town.

Thanking the Citizens for Sewers' speakers, Mayor Waldorf inquired whether or not there were any Council comments on the matter.

Referencing Council Member Andresen's earlier suggestion, Council Member Chilton said the Council could consider having a joint discussion in the future with the OWASA Board.

Mayor Waldorf inquired whether or not the motioner and seconder wished to withdraw their earlier motion. Council Member Brown suggested putting the motion on hold. Council Member Chilton said he was suggesting that the matter be referred to staff if the Council chose to have a work session with OWASA. Mayor Waldorf suggested that staff might reissue their July 1st memorandum on this topic to the Council. Council Member Brown said she would also welcome any new information or thoughts from the staff.

THE MOTION TO REFER THE MATTER TO STAFF WAS ADOPTED UNANIMOUSLY

(7-0).

Council Member Chilton inquired about the procedure for reconsideration of a previously adopted resolution. Mr. Karpinos said the Council could propose amendments to a previously adopted resolution at any time. Council Member Chilton inquired about the possibility of reconsidering the resolution adopted by the Council on July 1st regarding funding of the Morgan Creek sewer project. Mr. Karpinos said a Council Member could request modification of this policy.

Referencing the $15 "white goods" pick-up fee adopted by the Council about one year ago, Eric Plow requested that the Town either rescind the $15 pick-up fee or more vigorously enforce existing regulations regarding illegal littering.

COUNCIL MEMBER CAPOWSKI MOVED TO REFER THE MATTER TO STAFF.

Noting that the Council had previously deferred discussion on this policy, Council Member Capowski said he believed that the Council should take up this matter as a policy discussion in the near future.

COUNCIL MEMBER BROWN SECONDED THE MOTION.

Council Member Brown said she thought it was important for the staff to provide the Council with a detailed follow-up report regarding the matter referenced by Mr. Plow in his remarks.

Council Member Andresen said she also would support a change in the existing Town policy on this matter.

Noting that the Mayor's Office had received a number of complaints about the existing policy, Mayor Waldorf suggested that the staff prepare a follow-up report regarding this subject.

Council Member Andresen requested that the staff's follow-up report include information about the total amount of income generated during the last year by this fee.

THE MOTION TO REFER WAS ADOPTED UNANIMOUSLY (7-0).

Yoni Chapman, a UNC graduate student in history, requested the Council's assistance on behalf of Internationalist Books. Mr. Chapman said that Internationalist Books was a small community bookstore which had operated in the Town since 1983. He noted that the support of some of the University's professors in ordering special texts through Internationalist Books rather than UNC Student Stores was critical in the continued survival of the business. Mr. Chapman said that UNC Student Stores had inventoried the Internationalist Books store and ordered the same titles for sale at UNC Student Stores. He said it would be necessary for Internationalist Books to discontinue business if UNC Student Stores continued its current business practices. Mr. Chapman said that Internationalist Books was requesting the Council's assistance to work with the Consultation and Coordination Committee (CCC) to resolve this matter to the satisfaction of Internationalist Books.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER FRANCK, TO REFER THE MATTER TO THE COUNCIL'S CCC REPRESENTATIVES (MAYOR WALDORF AND COUNCIL MEMBER CAPOWSKI) FOR INCLUSION ON THE NEXT CCC AGENDA FOR DISCUSSION. THE MOTION WAS ADOPTED UNANIMOUSLY

(7-0).

The co-manager of Internationalist Books, read the following letter from UNC Associate Professor Don O'Nimi:

"I would like to register my support for Internationalist Books here in Chapel Hill which is now facing unfair and unethical competition from the UNC Student Stores on the UNC-Chapel Hill campus. Internationalist Books is more than a bookstore. It is a non-profit community resource that enriches and enlightens the public of Chapel Hill by providing space and an environment for members of the Chapel Hill community both on and off campus through its discussion groups, talks by distinguished visiting intellectuals and free Friday night films. For this reason and because of the quality service in textbook sales I have long supported it with my course textbooks orders. The recent onslaught by UNC Student Stores on Internationalist Books to me raises certain issues. First, if not in letter, certainly in act, it violates the spirit of the MSET act that states that support units should not compete directly with small private community enterprises without the same location and other taxpayer support advantages. Second, UNC Student Stores ordered books for my class without either my knowledge or my permission and if this is typical it appears that it's entire campaign against Internationalist Books seems to have been carried out in a mean-spirited and secretive manner. Finally, it strikes me that the text ordering department of UNC Student Stores does have a choice: to do the neighborly thing and not compete with this community bookstore and thus improve rather than worsen the relations between the University and the Chapel Hill community. Let both equity and good sense prevail. Donald M. O'Nimi, Associate Professor of Anthropology.”

David Hughes requested the Council's support and assistance in resolving a drainage problem that he had had for the last year from the Vernon Hills development project. Mr. Hughes showed a video of the effected area, stating that Robert Cook, the developer of Vernon Hills, said he had no responsibility in the matter because the Town had accepted his development proposal as submitted. Mr. Hughes said it was his understanding that there was a one year period during which developers would have to take appropriate corrective actions. Mr. Hughes requested the Council's assistance in satisfactorily resolving his concerns.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER FRANCK, TO RECEIVE AND REFER MR. HUGHES' PETITION.

Council Member Andresen requested that the staff's follow-up report contain information regarding the application of environmental regulations to single-family and other types of developments.

THE MOTION TO REFER WAS ADOPTED UNANIMOUSLY (7-0).

Council Member Brown said she had received notification from the State Division of Environmental Health and Natural Resources about a unit price matching voucher program being sponsored by the U.S. Environmental Protection Agency. Council Member Brown said she would pass these materials along to staff for preparation of a follow-up report at the Council's September 9th meeting.

Noting that Town transit service was being provided to the new high school on Weaver Dairy Road, but not to Chapel Hill High School off Seawell School Road, Council Member Franck requested the Council's adoption of the following resolution:

"The Town Council of the Town of Chapel Hill directs Town staff to arrange a meeting between the Chapel Hill-Carrboro City School Board and the Chapel Hill Town Council regarding provisions for public transportation to the Chapel Hill High School. The subject of this meeting would be to review changes necessary to implement such service for the 1997-98 school year."

Mayor Waldorf inquired whether there was a second to this motion.

Noting that he very much favored this proposal, Council Member Capowski said he did not believe that the Council should act on a petition on the same evening on which it was received. Council Member Capowski said he wished to make an alternative motion on the consent agenda of the Council's next regular meeting.

Expressing her support for school children riding on Town buses whenever possible, Council Member Andresen said she wondered whether or not it was necessary to have a joint School Board/Council meeting on this topic. Council Member Franck said he thought that the School Board was inclined to be a little more progressive than school administrators to move ahead on this item.

Mayor Waldorf said she thought that Chapel Hill-Carrboro Schools Superintendent Neil Pedersen was quite interested in moving ahead with this item.

Council Member Andresen said she would be supportive of a joint meeting if other areas of common interest could be explored as well at the joint meeting.

Mayor Waldorf suggested that she could speak to the Chairman of the School Board and the Manager could talk to the Schools Superintendent to feel out the best approach to proceeding. She inquired about the Council's pleasure in this matter. Council Member Franck suggested that a meeting with representatives from the Council and the School Board be set up in the near future. Mayor Waldorf expressed her concurrence with this suggestion.

COUNCIL MEMBER FRANCK MOVED, SECONDED BY COUNCIL MEMBER CAPOWSKI, FOR MAYOR WALDORF AND TOWN MANAGER HORTON TO ARRANGE WITH THE CHAPEL HILL-CARRBORO SCHOOL BOARD AND ADMINISTRATION TO SET UP A MEETING TO DISCUSS BUS TRANSPORTATION ALTERNATIVES TO CHAPEL HILL HIGH SCHOOL. THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

COUNCIL MEMBER FRANCK MOVED, SECONDED BY COUNCIL MEMBER CHILTON, FOR THE SEPTEMBER 30TH ASSEMBLY OF GOVERNMENTS MEETING ON SOLID WASTE MATTERS TO BE A FACILITATED MEETING.

Council Member Brown said that at the conclusion of the last Assembly of Governments meeting, there was an assurance that there would be a continuation of discussions regarding affordable housing and transportation matters at the start of the next Assembly of Governments meeting. Council Member Brown said she wanted to make sure that these issues were not bypassed and would be discussed again before the end of the year.

Council Member Andresen expressed her support for having a facilitated meeting on solid waste matters on September 30th.

Mayor Waldorf suggested the possibility of revisiting the northwest small area plan at the September 30th meeting. Council Member Brown said she thought it was important that the plan be seen in the context of the Greene tract. She also said that there were some issues which needed to be resolved before moving ahead with the northwest small area plan.

THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

Council Member Andresen said that a number of videotapes produced by the Environmental Protection Agency were available for Council Members to view relative to incineration.

Council Member Andresen suggested that the Council hold a work session in the future with members of the OWASA Board to provide policy guidance on water and sewer service issues, such as subsidies for new service and the extent of OWASA's water and sewer service boundary.

Mayor Waldorf said she agreed that the question of Town subsidies for water and sewer services needed to come back as a future agenda item. She also suggested that prior to calling a formal work session with OWASA, the Council should request additional information about what OWASA was currently doing and planning for the future. Council Member Andresen inquired whether Mayor Waldorf was suggesting an information gathering type of work session. Mayor Waldorf said this was correct.

COUNCIL MEMBER ANDRESEN MOVED, SECONDED BY COUNCIL MEMBER CAPOWSKI, FOR TOWN STAFF TO WORK WITH OWASA STAFF TO SCHEDULE A TIME FOR A JOINT WORK SESSION WITH THE OWASA BOARD.

Council Member Brown said she thought it would be a good idea to have Council Members develop lists of questions and critical issues which needed to be answered and addressed.

THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

Mayor Waldorf inquired whether or not there was Council consensus to move Items 9a and b (Habitat for Humanity related items) up to after the consent agenda. Hearing no objections, Mayor Waldorf said these items would be moved up on the agenda.

Council Member Andresen requested an update from staff about drug-related concerns in a neighborhood with some Habitat homes. Mr. Horton said he believed that the Habitat related concerns involved a dispute among neighbors rather than drug-related activity. Mr. Horton said he believed that Habitat for Humanity had worked with neighbors to resolve these concerns. Mayor Waldorf added that the Dispute Settlement Center was involved in resolving the dispute.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER BROWN,

TO ADOPT RESOLUTION 18. THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

A RESOLUTION AUTHORIZING AN AMENDMENT TO THE FEBRUARY 1, 1992 PERFORMANCE AGREEMENT BETWEEN THE TOWN OF CHAPEL HILL AND HABITAT FOR HUMANITY ORANGE COUNTY (96-8-26/R-18)

WHEREAS, the Town Council 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 by resolution 92-1-27/R-8 the Council authorized the sale of lots 4, 5, 12, 13, 21, 24, 33 and 34 in the Culbreth Park subdivision for $1 each to Habitat for Humanity for the purpose of building houses for eight low-income families;

WHEREAS, on February 1, 1992 the Town of Chapel Hill and Habitat for Humanity Orange County entered into a Performance Agreement for the construction of these eight houses in Culbreth Park; and

WHEREAS, on December 31, 1995, this Performance Agreement expired;

NOW THEREFORE BE IT RESOLVED, by the Town Council of the Town of Chapel Hill authorizes an amendment to the February 1, 1992 Performance Agreement between the Town of Chapel Hill and Habitat for Humanity Orange County and extends the time of completion until December 31, 1997.

BE IT FURTHER RESOLVED by the Town Council of the Town of Chapel Hill that the completion date for all six remaining units in the Culbreth Park subdivision is December 31, 1997; with the understanding that any lots undeveloped by December 31, 1997 be retained by the Town of Chapel Hill

BE IT FURTHER RESOLVED by the Council of the Town of Chapel that the Manager is authorized to execute an amended contract between the Town of Chapel Hill and Habitat for Humanity to incorporate these changes into the program..

This the 26th day of August, 1996.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER PAVAO, TO ADOPT RESOLUTION 19. THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

A RESOLUTION COMMITTING FUNDS TO HABITAT FOR HUMANITY FROM THE HOUSING LOAN TRUST FUND FOR SITE IMPROVEMENTS TO FIVE LOTS IN THE CULBRETH PARK SUBDIVISION (96-8-26/R-19)

WHEREAS, the Town Council 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, by Resolution 92-1-27/R-8, the Council authorized the sale of lots 4, 5, 12, 13, 21, 24, 33, and 34 in the Culbreth Park subdivision for $1 each to Habitat for Humanity for the purpose of building houses for eight low-income households; and

WHEREAS, on July 30, 1996, Habitat for Humanity requested a $40,000 short term construction loan from the Housing Loan Trust Fund for site improvements to five lots in Culbreth Park ($8,000 for each lot); and

NOW, THEREFORE, BE IT RESOLVED that the Council of the Town of Chapel Hill authorizes the use of $40,000 ($8,000 for each lot) from the Housing Loan Trust Fund for site improvements to five lots in the Culbreth Park subdivision.

BE IT FURTHER RESOLVED that this is a short term, no interest loan to be repaid to the Town of Chapel Hill upon sale of each of the units to a qualified low-income homebuyer; or if the homes are not sold, the construction loan would be due to the Town on December 31, 1997.

BE IT FURTHER RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Manager to execute a Performance Agreement between the Town of Chapel Hill and Habitat for Humanity to reflect terms discussed in this Memorandum.

This the 26th day of August, 1996.

Mayor Waldorf inquired whether any Council Members wished to remove items from the consent agenda for discussion. Council Member Capowski requested the removal of items o and q from the consent agenda. Council Member Franck requested the removal of item a.

Noting that representatives from the Chapel Hill Museum, Inc. were in attendance, Mayor Waldorf suggested that the Council take this matter up now rather than later in the meeting.

COUNCIL MEMBER PAVAO MOVED, SECONDED BY COUNCIL MEMBER FRANCK, TO ADOPT THE BALANCE OF THE CONSENT AGENDA (EXCEPTING ITEMS A, O AND Q). THE MOTION WAS ADOPTED UNANIMOUSLY (7-0).

A RESOLUTION ADOPTING VARIOUS RESOLUTIONS AND ORDINANCES

(96-8-26/R-3)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby adopts the following resolutions (excepting items b, c, and d, presented by the Mayor or Town Council members) in regard to the following:

a. Minutes of May 29, June5, 10, 12, 17, 24 and July 1.

b. Supporting La Fiesta del Pueblo on September 7 and 8 (R-4). Mayor Waldorf.

c. Appointment to Triangle Transit Authority Board of Directors (R-5). Mayor Waldorf.

d. Budget amendment for sustainablity study (O-1). Mayor pro tem Brown and Council Member Pavao.

e. Compactor bid award (R-6).

f. Rear-loading packer body bid award (R-7).

g. Budget amendment to reflect funding to support government access programming under new cable television franchise (O-2).

h. Project ordinance for 1996-97 transportation planning grant (O-3).

i. Budget amendment for settling claims regarding construction of the East Rosemary Street Parking Deck (O-4).

j. Surplus housing property list (R-8).

k. Rescheduling public hearing on stormwater impact statements (R-9).

l. Deleted.

m. Establishment of school speed zone for new high school on Weaver Dairy Road (O-6).

n. Changes to County-wide HOME program agreement (R-11).

o. Calendar of Council meetings through December 1997 and 1997 budget process and calendar (R-12).

p. Calling public hearing on September 9 regarding use of Community Development funds (R-13).

q. Authorizing lease with Chapel Hill Museum, Inc. (R-14).

r. Calling hearing on paving Lone Pine Road (R-15).

s. Parking restrictions on McDade Street (O-7).

This the 26th day of August, 1996.

A RESOLUTION IN SUPPORT OF THE THIRD LA FIESTA DEL PUEBLO IN CHAPEL HILL ON SEPTEMBER 7 AND 8, 1996 (96-8-26/R-4)

WHEREAS, about 150,000 Americans of Hispanic heritage live in North Carolina; and

WHEREAS, Hispanic Americans participate in all aspects of the economic, cultural and social life of the Chapel Hill community; and

WHEREAS, the Latin American community richly contributes to the cultural and social diversity which help make the Chapel Hill community an excellent place to live; and

WHEREAS, there is a need for a greater sense of community among all citizens including Latin American citizens, and for increased communication with health, social services and other community service agencies; and

WHEREAS, the Fiesta del Pueblo will include the North Carolina Hispanic soccer league finals, a coffee house, Latin American dances, music, foods, arts, crafts, sports, and children's games to be enjoyed by everyone who attends; and voter registration; and

WHEREAS, the first and second La Fiesta Del Pueblo festivals in Chapel Hill in 1994 and 1995 were very successful, attracting several thousand visitors;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby expresses its strong support of the third "La Fiesta del Pueblo" celebration at Chapel Hill High School on the weekend of September 7th and 8th, and encourages citizens to attend and participate in the festivities.

This the 26th day of August, 1996.

RESOLUCION AUSPICIANDO LA TERCERA LA FIESTA DEL PUEBLO EN CHAPEL HILL SEPTIEMBRE 7 Y 8, 1996 (96-8-26/R-4)

POR CUANTO, se estima que 150,000 ciudadanos de descendencia Hispana viven actualmente en Carolina del Norte; y

POR CUANTO, los Hispano-Americanos participan en todos los aspectos de la vida cultural, económica y social de la comunidad de Chapel Hill; y

POR CUANTO, la comunidad Latino Americana contribuye en gran medida a la diversidad cultural y social que ayuda a hacer de la comunidad de Chapel Hill un excelente lugar para vivir; y

POR CUANTO, existe la necesidad de un mayor sentido de comunidad en la ciudadanía, incluyendo a la ciudadanía Latino Americana, y de un incremento en la comunicación de esta con las agencias que prestan servicios sociales, de salud y otros; y

POR CUANTO, La Fiesta del Pueblo incluirá las finales de la Liga Hispana de Soccer además de bailes autóctonos, un cafe teatro, comida y música Latino Americana, arte, artesanía, deportes y juegos infantiles, de los que todos los que asistan podrán disfrutar; y registro de votantes; y

POR CUANTO, la primera y segunda La Fiesta del Pueblo 1994 y 1995 fueron un gran éxito que atrajo a varios miles de visitantes;

AHORA, POR LO TANTO, RESUELVASE por parte del Consejo de la La Municipalidad de Chapel Hill que este Consejo expresa su más fuerte apoyo a la celebración de la tercera "Fiesta del Pueblo", que se llevará a cabo en el Chapel Hill High School, durante el fin de semana del 7 y 8 de Septiembre, e invita a los ciudadanos a asistir y participar en las festividades.

En el dia 26 de Agosto, 1996.

A RESOLUTION APPOINTING A REPRESENTATIVE TO THE TRIANGLE TRANSIT AUTHORITY BOARD OF DIRECTORS (96-8-26/R-5)

WHERAS, Kenneth Broun, the Town’s representative to the Triangle Transit Authority Board of Directors has recently tendered his resignation; and

WHEREAS, Dr. Rachel Willis has expressed interest in serving as the Town’s representative on the Triangle Transit Authority Board of Directors;

NOW, THEREFORE, BE IT RESOLVED that the Chapel Hill Town Council appoints Dr. Rachel Willis as the Town’s representative on the Triangle Transit Authority Board of Directors, effective immediately.

This the 26th day of August, 1996

A RESOLUTION AWARDING A BID FOR THE PURCHASE OF ONE (1) LANDFILL COMPACTOR (96-8-26/R-6)

WHEREAS, the Town of Chapel Hill solicited formal bids by legal notice in The Chapel Hill News on July 3, 1996, in accordance with G.S. 143-129 for a Landfill Compactor, and

WHEREAS, the following bids were received and opened on July 24, 1996:

Vendor Unit Price Trade-In Net Cost

E. F. Craven Company $308,556 $ 53,052 $255,504

Gregory Poole Equip. Co. 414,969 20,000 394,969

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town accepts the bid of E. F. Craven Company in the amount of $255,504 for a Landfill Compactor in accordance with G. S. 143-129.

This the 26th day of August 1996.

A RESOLUTION ACCEPTING THE BID FOR THE PURCHASE OF A REAR-LOADING PACKER BODY (96-26-8/R-7)

WHEREAS, the Town of Chapel Hill has solicited formal bids by legal notice in The Chapel Hill News on July 19, 1996, in accordance with G. S. 143-129 for the purchase of one rear-loading packer body; and

WHEREAS, the following bids have been received and opened on August 6, 1996:

VENDOR COST

Amick Equipment Co., Inc. $31,258

Cavalier Equipment Corp. $32,455

Lodal-South, Inc. $32,041

Quality Equipment & Supply Co. $30,457

WHEREAS, as the bid from Quality Equipment & Supply Co. was found to be the lowest responsive to the specifications;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town accepts the lowest responsive bid of Quality Equipment & Supply Co.in the amount of $30,457.

This the 26th day of August 1996.

AN ORDINANCE TO AMEND THE ORDINANCE CONCERNING APPROPRIATIONS AND THE RAISING OF REVENUES FOR THE FISCAL YEAR BEGINNING JULY 1, 1996 AND ENDING JUNE 30, 1997 (96-8-26/O-2)

BE IT ORDAINED by the Council of the Town of Chapel Hill that the Budget Ordinance entitled "An Ordinance Concerning Appropriations and the Raising of Revenue for the Fiscal Year Beginning July 1, 1996" as duly adopted on June 10, 1996 be and the same is hereby amended as follows:

ARTICLE I

Current Revised

Budget Increase Decrease Budget

APPROPRIATIONS

GENERAL FUND

Town Manager and Clerk 780,921 60,000 840,921

ARTICLE II

REVENUES

GENERAL FUND

Grants 628,217 60,000 688,217

This the 26th day of August, 1996.

AN ORDINANCE TO ADOPT A GRANT PROJECT ORDINANCE FOR A TRANSIT PROJECT (96-8-26/O-3)

BE IT ORDAINED by the Council of the Town of Chapel Hill that, pursuant to Section 13.2 of Chapter 159 of the General Statutes of North Carolina, the following grant project ordinance is hereby adopted:

SECTION I

The project authorized is a Federal Transit Administration Planning Program grant (formerly Section 8), awarded through an agreement with the City of Durham. The project provides funds for transit planning activities.

SECTION II

The Manager of the Town of Chapel Hill is hereby directed to proceed with the implementation of the project within the terms of the grant agreement executed with the Federal Transit Administration, the North Carolina Department of Transportation, and the City of Durham and within the funds appropriated herein.

SECTION III

The following revenue is anticipated to be available to the Town to complete activities as outlined in the project application.

City of Durham (FTA & NCDOT) $30,357

Town of Chapel Hill (local match) 3,373

$33,730

SECTION IV

The following amounts are appropriated for the project:

Salaries - Full Time $16,670

Salaries - Part Time 8,311

Fringe Benefits 5,560

FICA 689

Travel 2,000

Supplies 500

$33,730

SECTION V

The Manager is directed to report annually on the financial status of the project in an informational section to be included in the Annual Report. He shall also keep the Council informed of any unusual occurrences.

SECTION VI

Copies of this project ordinance shall be entered into the Minutes of the Council and copies shall be filed within 5 days of adoption with the Manager, Finance Director and Town Clerk.

This the 26th day of August, 1996.

AN ORDINANCE TO AMEND “THE ORDINANCE CONCERNING APPROPRIATIONS AND THE RAISING OF REVENUE FOR THE FISCAL YEAR BEGINNING JULY 1, 1996 (96-8-26/O-4)

BE IT ORDAINED by the Council of the Town of Chapel Hill that the Budget Ordinance entitled “An Ordinance Concerning Appropriations and the Raising of Revenue of the Fiscal Year Beginning July 1, 1996 be the same is hereby amended as follows:

ARTICLE I

Revised

APPROPRIATIONS Current Budget Increase Decrease Budget

PARKING FACILITIES 905,872 600,000 1,505,872

FUND

CAPITAL IMPROVEMENTS

FUND 0 55,000 55,000

CAPTIAL RESERVE FUND 0 80,000 80,000

GENERAL FUND 0 300,000 300,000

Transfer to Parking

Facilities Fund

ARTICLE II

REVENUES

PARKING FACILITIES FUND

Fund Balance 0 165,000 165,000

Transfer from Capital

Improvements Fund 0 55,000 55,000

Transfer from Capital

Reserve Fund 0 80,000 80,000

Transfer from General

Fund 0 300,000 300,000

CAPITAL IMPROVEMENTS FUND

Fund Balance 196,000 55,000 251,000

CAPITAL RESERVE FUND

Fund Balance 300,000 80,000 380,000

GENERAL FUND

Fund Balance 800,000 300,000 1,000,000

This the 26^th day of August,1996

A RESOLUTION DECLARING 164 RANGES AND REFRIGERATORS TO BE SURPLUS AND AUTHORIZING AND DIRECTING THE DISPOSAL OF SAID PROPERTY IN ACCORDANCE WITH STATUTORY REQUIREMENTS (96-8-26/R-8)

WHEREAS, Article 12 of N.C. General Statutes 160A and Section 4:16 of the Charter of the Town of Chapel Hill authorizes the Town to dispose of surplus property; and

WHEREAS, the Town desires to dispose of certain items of personal property;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill:

1. That the following items of personal property are hereby declared surplus:

QUANTITY ITEM

88 Ranges

76 Refrigerators

2. That the Purchasing Agent of the Town of Chapel Hill shall be and is hereby authorized to dispose of this surplus personal property in accordance with statutory requirements.

3. That this property is to be disposed of by sealed bid. Any item not sold by sealed bid the Purchasing Agent is authorized to sale property by private negotiation, public auction or to an interested firm or individual, or other governmental units in conformity with N.C. General Statutes 160A-274.

4. That all items shall be sold on an "as is" and "where is" basis and the Town makes no guarantee of and assumes no responsibility for any of the items.

This the 26th day of August, 1996.

A RESOLUTION CALLING A PUBLIC HEARING ON MONDAY, SEPTEMBER 9, 1996 TO RECEIVE COMMENTS REGARDING A PROPOSAL TO REQUIRE SUBMITTAL OF A STORMWATER IMPACT STATEMENT AS PART OF ALL SPECIAL USE PERMIT AND MAJOR SUBDIVISION APPLICATIONS (96-08-26/R-9)

WHEREAS, a Stormwater Management Committee was established by the Town Council in 1992 to investigate and make recommendations regarding stormwater management issues affecting Chapel Hill; and

WHEREAS, the Committee presented its final report to the Town Council on November 8, 1994; and

WHEREAS, the Committee's final report contained a recommendation that the approval process for new development include submittal of a Stormwater Impact Statement; and

WHEREAS, guidelines have been developed which outline specific requirements for preparation of an acceptable Stormwater Impact Statement, and

WHEREAS, the Town Council realizes that requiring Stormwater Impact Statements would involve additional time and expense for preparation and review of said statements.

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council herewith calls a Public Hearing on Monday, September 9, 1996 to receive comments regarding a proposal to require a Stormwater Impact Statement as part of all Special Use Permit and major subdivision applications.

BE IT FURTHER RESOLVED that the Council herewith cancels a previously scheduled Public Hearing on November 18, 1996 regarding this matter.

This is the 26^th day of August, 1996.

AN ORDINANCE AMENDING CHAPTER 21 OF THE CODE OF ORDINANCES

(96-8-26/O- 6)

BE IT ORDAINED by the Council of the Town of Chapel Hill:

SECTION I

That Section 21-11 ( C ) of the Town Code of Ordinances, SCHOOL ZONES is hereby amended by inserting the following therein, in appropriate alphabetical order:

( C ) SCHOOL ZONES. Limits set pursuant to the following sections shall become effective when signs are erected giving notice of the school zone, the authorized speed limit of twenty-five (25) miles per hour, and the days and hours when the limit is effective:

(1) ( c ) Weaver Dairy Road from a point two hundred and forty (240') feet east of

Sunset Drive to a point one hundred (100') feet west of Muir Lane

SECTION II

These ordinances shall become effective upon adoption by the Town Council.

SECTION III

All ordinances or portions of ordinances in conflict herein are hereby repealed.

This the 26^th day of August, 1996.

A RESOLUTION AUTHORIZING THE MANAGER TO EXECUTE AN AGREEMENT WITH THE ORANGE COUNTY HOME CONSORTIUM (96-8-26/R-11)

WHEREAS, on July 6, 1992 the Council approved the participation of the Town of Chapel Hill in the Orange County HOME Consortium; and

WHEREAS, Chapel Hill, Carrboro, Hillsborough and Orange County are currently members of the Orange County HOME Consortium established on August 3, 1992; and

WHEREAS, the U.S. Department of Housing and Urban Development requires revisions to the Orange County HOME Consortium Agreement authorized by the Town Council on May 13, 1996;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Manager to execute an amended HOME Consortium Agreement, subject to approval as to form by the Town Attorney, as described in the attached memorandum of August 26, 1996; and authorizes the Manager to make minor modifications as may be required by the U.S. Department of Housing and Urban Development.

This the 26th day of August, 1996.

A RESOLUTION TO APPROVE A PROCESS TO AMEND THE 1996-97 COMMUNITY DEVELOPMENT PROGRAM (96-8-26/R-13)

WHEREAS, the Town has an ongoing interest in the promotion of Community Development activities in the Town of Chapel Hill; and

WHEREAS, the Town would use approximately $118,475 of unspent Community Development Block Grant funds from previous years and program income for alternate activities;

NOW, THEREFORE, BE IT RESOLVED that the Council of the Town of Chapel Hill schedules a public hearing for September 25, 1996 at 7:00 pm in the Council Chamber, Chapel Hill Town Hall, 306 North Columbia Street, to receive citizen comments on a proposed amendment to the 1996 -97 Community Development Block Grant program.

BE IT FURTHER RESOLVED that the Council adopt the following process to amend the

1996 - 97 Community Development Block Grant program:

* publish a notice in the Chapel Hill Herald to announce the time and date of the public hearing;

* take into account any citizen comments received at the September 25, 1996 public hearing while considering the proposed amendment; and

* publish a second notice in local newspapers that would include specific activities and dollar amounts of the proposed amendment; and

* review the amendment with the Housing and Community Development Advisory Board on September 24, 1996; and

* return to the Council on October 16, 1996 for final consideration of the amendment; and

* if approved, submit a revised 1996-97 Annual Update to the Consolidated Plan to the U.S. Department of Housing and Urban Development;

* begin a 30 day public comment period on September 6, 1996.

This the 26th day of August, 1996.

A RESOLUTION OF INTENT TO UNDERTAKE THE PAVING OF LONE PINE ROAD (96-8-26/R-15)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council intends to undertake a project for the paving and other improvements to Lone Pine Road.

1. The Town has received a petition for paving of Lone Pine Road, with limited curb and gutter, and the petition has been determined to be valid under G.S. 160A-217 (a); and

2. Lone Pine Road is comprised of approximately 524 linear feet of gravel road extending north from Tenney Circle; and

3. The Town would pave Lone Pine Road, with limited use of curb and gutter, and assess owners of property abutting the proposed improvements on a pro-rata front footage basis; and

4. The assessment amount will be 50% of the actual, total project cost upon completion (not including the cost of improvements made at street intersections), which costs could include design and construction, legal services, any interest charges, right-of-way acquisition, and publication expenses; and

5. Owners of assessed property shall have the option of paying the assessment in one cash payment within 30 days after publication of confirmation of the final assessment roll, or in not more than 10 annual installments, the first of which will be due and payable concurrently with property taxes, at an annual interest rate of 6%; and

6. The Council herewith calls a public hearing at 7:00 p.m. on Monday, November 18, 1996 in the Town Hall, 306 N. Columbia Street, to consider adoption of a resolution to undertake the above described project.

This is the 26^th day of August 1996.

AN ORDINANCE AMENDING CHAPTER 21 OF THE CODE OF ORDINANCES

(96-8-26/O-7)

BE IT ORDAINED by the Council of the Town of Chapel Hill:

SECTION I

That Section 21-27 of the Town Code of Ordinances, “No parking as to particular streets.” Is amended by inserting the following therein, in appropriate alphabetical order:

STREET SIDE FROM TO

McDade Street North Cotton Street Mitchell Lane

McDade Street North The centerline of A point 60 feet west of

Church Street the centerline of Church

Street

SECTION II

That Section 21-27.8 of the Town Code of Ordinances, “No parking anytime except by residential permit.” Is amended by inserting the following therein, in appropriate alphabetical order:

STREET SIDE FROM TO

McDade Street North A point 60 feet west Cotton Street

of the centerline of

Church Street

SECTION III

These ordinances shall become effective on September 23, 1996.

SECTION IV

All ordinances or portions of ordinances in conflict herein are hereby repealed.

This the 26^th day of August, 1996.

Mr. Horton said the proposed ten year lease before the Council for use of the former library building by the Chapel Hill Museum, Inc. was a cost-neutral agreement. Council Member Capowski inquired what would happen if the museum were not able to receive sufficient funding to be viable. He also inquired whether the proposed insurance policy would cover operating costs. Mr. Horton said if the Museum were unable to continue to meet all of the lease's conditions, he would bring this matter to the Council's attention and recommend that the property be repossessed or other appropriate action, depending upon the specifics involved.

Council Member Capowski inquired whether or not the insurance policy covered things such as utility bills. Mr. Horton said that the Chapel Hill Museum would be responsible for raising their own funds for utility expenses. He added that there was a provision in the proposed lease to require proofs of payment.

Council Member Capowski inquired about the extent of the Town's maximum exposure if the Chapel Hill Museum were unable to find adequate grants or funds. Mr. Horton said there would be little, if any, exposure, because the Town would seek to move toward repossession if the museum failed to meets its lease obligations. Mr. Horton also said he had confidence that the Museum Board would apprise the Town of any problems before they became major ones.

COUNCIL MEMBER CAPOWSKI MOVED, SECONDED BY COUNCIL MEMBER PAVAO, TO ADOPT RESOLUTION 14.

Council Member Andresen said she had some concerns about moving ahead with the proposed lease. Council Member Andresen also said she was not sure that the matter had gone forward in the most cost-effective manner possible.

RESOLUTION 14 WAS ADOPTED UNANIMOUSLY (7-0).

A RESOLUTION AUTHORIZING THE MANAGER TO ENTER INTO A TEN-YEAR LEASE WITH CHAPEL HILL MUSEUM, INCORPORATED FOR USE OF THE OLD LIBRARY FACILITY AT 523 E. FRANKLIN STREET, BASED ON COST NEUTRAL CONDITIONS PREVIOUSLY APPROVED BY THE COUNCIL. (96-26-8/R-14)

WHEREAS, the Council of the Town of Chapel Hill has agreed that a museum would be the preferred use of the former library building located at 523 E. Franklin Street after January 31, 1996; and

WHEREAS, the Council of the Town of Chapel Hill has directed the Town Manager to develop a plan which is cost neutral to the Town; and

WHEREAS, Chapel Hill Museum, Incorporated agrees to meet the responsibilities required by the Council of the Town of Chapel Hill including but not limited to: Town access to the property and documents to ascertain proper maintenance of the facility; subletting of the property with prior approval by the Town Manager; payment for all operations, maintenance and repairs costs; and purchase of adequate insurance coverage.

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town Council authorize the Town Manager to enter into a ten-year lease with the Chapel Hill Museum Inc. for use of the old library facility at 523 E. Franklin Street, in substantially the same form as the draft presented to the Council at its August 26, 1996 meeting.

This the 26th day of August, 1996

Item b was removed from the Information Reports portion of the agenda for discussion at the end of the meeting.

Item 5 Horace Williams and Mason Farm Properties

Mr. Horton presented a brief overview of the University's land planning process, noting that the goal for completing a final report to the Council on this matter was March 15, 1997.

Council Member Andresen inquired about the University's level of support and commitment to the overall process. Stating that the University had filed a valid protest petition relative to the rezoning of the Horace Williams property, Mayor Waldorf also said that University officials had written a number of letters indicating that they were pleased by the initiation of the work group process. Council Member Andresen said although it appeared that matters were moving ahead in a spirit of cooperation, there were no definite assurances.

Mayor Waldorf noted that the Council's agenda also included the potential appointment of eight members to a work group, including two Council Members, two Planning Board Members, two Planning Panel Members and two neighbors of the Horace Williams property.

Council Member Andresen noted that she had forwarded a list of potential appointees to the Council in an earlier memorandum. Mayor Waldorf noted that Alan Rimer was also interested in serving on the work group.

Council Member Franck suggested the possibility of replacing Dr. Whitehead's name with Alan Rimer's name since no one had been able to contact Dr. Whitehead. Council Member Andresen said Dr. Whitehead had expressed his willingness and desire to serve.

Stating that he had been a diligent and good member of the Planning Panel, Mayor Waldorf said she would support the appointment of Alan Rimer to the proposed group.

Council Member Andresen requested a clarification of Council Member Franck's suggestions. Council Member Franck said he was proposing that Alan Rimer could represent the Planning Panel, Scott Radway could represent the Planning Board and Diane Bloom could be a neighbor representative. Council Member Andresen said she did not think it was optimal to leave Dr. Whitehead out of the group of potential appointees. Council Member Brown said she thought that Dr. Whitehead would be a good addition to the proposed group. Noting that he would be willing to leave Dr. Whitehead's name in the pool, Council Member Franck said this would necessitate not having either Diane Bloom or Scott Radway serve on the group. Council Member Franck suggested not having Ms. Bloom serve on the group. Council Member Brown said she thought that Ms. Bloom had been a good spokesperson for the Planning Board relative to the Horace Williams and Mason Farm planning processes.

Council Member Chilton suggested a balloting process for appointments. Mayor Waldorf expressed her concurrence with this idea.

Council Member Capowski suggested that Council Member Andresen and himself serve as the Council's representatives to the group.

Council Member Chilton suggested that the Council Member's ballots designated which persons were under which specific category/designation (Planning Board, Planning Panel, Neighbor). Stating that he believed that there were too many Council Members up for consideration, Council Member Pavao withdrew his name from consideration as a Council representative. Council Member Andresen inquired whether the proposed Council Member alternates would be Council Members Capowski or Franck.

Town Clerk Peter Richardson announced that Planning Panel appointees were Jim Ward and Alan Rimer, neighborhood representatives were Dan Coleman and William Whitehead and one of the Planning Board representatives was Mary Reeb. He noted that the vote for the other Planning Board seat was split between Diane Bloom and Scott Radway. On a second vote, Ms. Bloom was appointed. Original voting ballots are on file in the Town Clerk's Office.

COUNCIL MEMBER PAVAO MOVED, SECONDED BY COUNCIL MEMBER CHILTON, TO APPOINT COUNCIL MEMBERS CAPOWSKI AND FRANCK. THE MOTION WAS ADOPTED BY A VOTE OF 6-1, WITH COUNCIL MEMBER ANDRESEN VOTING NO.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER BROWN, TO APPOINT COUNCIL MEMBERS ANDRESEN AND PAVAO TO THE WORK GROUP. THE MOTION FAILED BY A VOTE OF 4-3.

Council Member Franck requested that Council Member Capowski serve as the group's convener. There was concurrence by the Council and Council Member Capowski on this point.

Item 6 Landfill/Solid Waste Matters

Mr. Horton said some of the issues which the Council was wrestling with were the governance, organization and ownership of a landfill and the selection of a landfill site.

Noting that Town staff believed that the Town would be a logical single operator of the landfill, Mr. Horton said that any of the four local governments could own and operate a landfill facility. He also stated that there were two multiple owner option arrangements: one in which owners would have equal power and votes and one in which there would be proportionate votes depending on population, financial contribution, exposure or some collection of factors. Mr. Horton also said that without a decision on organizational matters, it would be very difficult to move ahead on the remaining issues such as the purchase of a landfill site.

He briefly reviewed the Council's overall options including not siting a new landfill facility in the community, initiating a new site search with new guidelines or endorsing the selection of site seventeen and encouraging the approval of this site by other local government bodies.

Mr. Horton also said it would be difficult to move ahead on the matter of setting and affirming a solid waste reduction goal since this would be tied to other potential collection bans.

Roger Barr said he thought the core issue facing the community was whether or not Orange County wished to build a landfill. Mr. Barr said that the proposed landfill facility near the intersection of Interstate 40 and NC 86 would be a large and ugly structure. Mr. Barr also said he thought it was a disservice to the community's residents that there was presently no year-by-year financial plan for the proposed landfill facility.

Noting that the original construction time estimate for a proposed landfill was sixty months, Council Member Capowski inquired whether this included time for litigation matters. Mr. Horton said this element was not included in the sixty month timeframe. He added that it would take an estimated ten years to make a new landfill facility fully operational.

Council Member Capowski inquired about the genesis of the fifty percent reduction goal. Council Member Chilton said this figure was a result of an ongoing study relative to solid waste matters. Council Member Capowski asked whether or not the fifty percent goal was a realistic one. Council Member Chilton said although the goal was an aggressive goal, it was nonetheless realistic as well.

Council Member Andresen inquired about the estimated costs to reach the fifty percent reduction goal. Solid Waste Director Gayle Wilson said new capital costs were estimated between $9 and $12 million, with on-going costs of between $6.4 and $6.7 million. Council Member Andresen inquired what compromised ongoing costs. Mr. Wilson said these were estimated annual operations and maintenance costs, based on a cost of $81 to $86 per ton. Council Member Andresen inquired whether this was an estimated tip fee. Noting that this would depend on how financing was handled, Mr. Wilson said he did not think that all financing would be tied to tipping fees. She inquired where other revenues could come from. Mr. Wilson said this was one of the major unresolved issues. He also said there would likely be a total restructuring of the tip fee and a range of potential funding mechanisms.

Council Member Andresen requested additional information about cost and waste volume estimates. Council Member Chilton said the proposed system had the potential to capture between 35% and 60% of the community's 88-89 base year trash production. He noted that the figures cited by Mr. Wilson in his earlier remarks were rough cost estimates. Council Member Andresen stated that the Council was being asked to make some big decisions on waste reduction goals. Council Member Chilton concurred.

Referencing a comparative waste reduction of 25% or 30%, Council Member Andresen inquired whether or not the Town was going to be spending more money to bury less refuse. Council Member Chilton said that the State's solid waste reduction goal was more aggressive than twenty-five percent. He added that the fifty percent reduction goal was realistic based on information provided by the solid waste study consultant.

Council Member Capowski noted that several years ago the Council faced the decision of whether or not to initiate a corrugated cardboard ban for residences at a cost of about $220 per ton. He inquired whether or not the fifty percent reduction goal was in a similar vein relative to diminishing returns on investment. Council Member Chilton said this goal was really just a result of adopting overall policies. He stated that there would be a relatively minor cost impact whether there was a 35% or 60% reduction goal. Council Member Chilton said there would be an impact on phasing, timing and the speed with which implementation of policies occurred.

Council Member Brown asked whether or not staff had more detailed information about tradeoffs between various levels of waste reduction goals and the processing and disposal of waste. Mr. Wilson said the planning numbers he cited earlier were based on multiple assumptions, including the use of new, rather than existing, equipment and other similar assumptions. He also stated that once a framework of a system was agreed upon by local governments, staff could revisit these assumptions and provide revised cost estimates. Mr. Wilson noted that in an integrated system all of the components were meshed to achieve maximum efficiencies. He also stated the proposal could potentially involve totally revisiting the way recyclables were handled in addition to some fairly aggressive waste reduction and waste prevention measures. Mr. Wilson said these overall costs would be less. Council Member Andresen inquired less than what. Mr. Wilson said less than the cost of an integrated system. Council Member Chilton noted that potential collection of corrugated cardboard from residences would be just one component of an integrated solid waste management system.

Council Member Brown inquired how staff had reached the conclusion that landfillng was a less expensive alternative. Council Member Brown said she had read the results of a four city study which found it was less costly to recycle than to landfill. Mr.Wilson said his conclusions were based on eighteen years experience of running landfills, collection programs and recycling programs. Mr. Wilson said this did not mean it was right to landfill just because of economic considerations.

Mr. Horton said it was the efficiency of processing which made a difference. He added that the layers of complication which came with more sophisticated approaches added expenses.

Council Member Brown inquired whether or not Mr. Wilson was including collection costs to go to the landfill in his assumptions. Mr. Wilson said he was referring to disposal. Mr. Wilson also said it was probably cheaper to simply collect all the garbage in one truck and take it to a point, than it is to run parallel systems, one for garbage and one for recyclables.

Council Member Franck said it would be foolish to think of the decisions purely on the basis of economics. He stated that the key was to handle wastes in a way which made sense and doing it in a way which preserved the resources of the planet without being too grandiose about it, without the need for siting a new landfill every twenty years.

Council Member Brown said although both environmental and economic considerations were important, the Council should be open to the idea of seeing how other communities in North Carolina had handled their waste reduction programs.

Mayor Waldorf said she would be interested in finding out about other community's successful waste reduction program as well as their program's dollar costs and how the programs were actually executed.

Council Member Capowski inquired whether or not it was correct that it would be better, more efficient, less expensive and with the same amount of recycling if citizens just threw their trash into their trash cans let a central facility do the sorting.

Mr. Wilson said no, noting that this would only be the least expensive approach if everything went to the landfill. He added that sorting mixed solid waste was a much more onerous process than sorting co-mingled recyclables. Mr. Wilson said that there were numerous health and safety issues related to a mixed waste materials process facility versus a co-mingled processing facility. Mr. Horton also stated that working conditions in mixed recovery processing facilities were awful.

Council Member Capowski asked whether or not the best place for sorting to take place was at individual's homes. Council Member Chilton said sorting at homes would only be to the extent of sorting recyclable materials from non-recyclable materials. He noted that presently the drivers of BFI recycling trucks sorted recyclables at curbside from individual blue recycling bins.

Mayor Waldorf inquired whether or not it would be necessary to buy a new fleet of collection trucks in order for the proposed new collection system to work. Noting that the Town did not currently own any recycling-type trucks, Council Member Chilton said it would be necessary to have a different type of truck than those currently used. He added that the proposed system contemplated a two truck system, with separate trash and recycling trucks.

Mr. Wilson said a small number of communities which collected garbage and recyclables at the same time using a two-body truck, with garbage collected on one side and recyclables on the other.

Mr. Wilson said he had some questions about the efficiency of these types of programs. He said that the two-truck system was probably the most efficient type of system.

Council Member Andresen asked whether the Town's existing trucks could be used for a "pay as you throw" system. Mr. Wilson said yes.

Council Member Chilton said there would not necessarily be as many drivers, routes or trucks required under a "pay as you throw" system.

Referencing his recent visit to VEDCO's facility in Fayetteville, Council Member Pavao inquired about the feasibility of having local transfer stations and a blue bag type collection system. Council Member Andresen inquired whether or not Council Member Pavao was talking about incineration supplemented by weigh stations and sorting. Council Member Pavao said this was correct. He note that presently it would be necessary to ship wastes to either Fayetteville or Wilson. Council Member Pavao said he was intrigued about separation possibilities at curbside with collections in one co-mingled truck. Mr. Wilson said it was certainly feasible to have a blue bag system or to devise a system which would fit around the VEDCO facility. He added that the VEDCO as currently designed had very limited recycling capabilities, currently about 6 1/2 to 7%. Mr. Wilson said he did not think that the VEDCO facility was capable of meeting a waste reduction goal in the forty to fifty percent range. He noted that in contracts with local governments, VEDCO only committed to a waste reduction goal of 12 1/2%. He added that VEDCO did not have the capability for handling loads of mixed recyclables.

Mr. Horton noted that VEDCO was generally in the business of providing a service of taking trash away and burning it as fuel. He also said that there was nothing to keep the Council, if it wished to do so, from pursuing a program under which it had a separate recycling program on the front end, so that recyclable materials would not be comingled with materials which would be incinerated.

Council Member Andresen asked whether or not the Council would be receiving a report on the possibility of doing front-end recycling in concert with VEDCO. Mr. Horton said the scope of such a report would be contingent, to an extent, on how the Town's landfill partners were interested in proceeding.

Noting that she had visited the VEDCO facility, Mayor Waldorf said that their contracts were longer term in duration (20 to 25 years) with a current tipping fee of $38 per ton. She added that this tipping fee was subject to adjustment on an annual basis.

Council Member Capowski asked whether or not it was correct that a new landfill site would still be needed even if a contract were entered into with VEDCO or another similar contractor. Mr. Horton said it would not be necessary to purchase a landfill site if an option were selected wherein another party processed all of the materials.

Council Member Capowski said it was very important to be extremely conservative in planning for the future, including having good contingency plans. Mr. Horton said it would be very difficult financially to both own a site for a landfill and to pay the costs of having someone else process everything and own a site for a transfer station.

Council Member Capowski inquired about the estimated cost of buying a landfill site versus the costs of preparing a site. Mr. Wilson said that generally speaking the cost of preparing a site would be less than the cost of purchasing a site. He stated that the cost of a site could range between $6 and $12 million, while preparing a site, including construction of ancilliary facilities, leachate handling and road construction would cost between $3 and $4 million.

Council Member Andresen said she was not ready to endorse incineration as an option for handling solid waste in Orange County. She also stated that local elected officials would be sticking their head in the sand not to investigate this option. She requested that elected official representatives on the Landfill Owners Group provide information on all alternatives so that elected officials could make an informed overall decision. Council Member Chilton said he would be pleased to provide such information. He inquired about the level of detail desired for options such as incineration. Council Member Chilton also said he would be pleased to bring this matter up at a future Landfill Owners Group meeting for further discussion.

Mr. Horton said he did not think that the option of incineration had ever been seriously reviewed.

Referencing the fifty percent waste reduction goal, Council Member Chilton said that the most burnable materials, those most desirable for an incinerator operator, would be part of the materials targeted for up-front recycling recovery. Council Member Andresen asked whether or not the Town would be charged less since VEDCO would be given less materials to burn. Council Member Chilton said VEDCO would charge more because the materials being sent to them could not be burned. Mr. Horton said he was not sure that VEDCO would be troubled if recyclables were pulled out of the loads sent to their facility. Council Member Pavao expressed his concurrence with this observation. Council Member Chilton said this did not make any kind of sense. Council Member Pavao said this was why the incineration option needed to be examined in greater detail, as suggested earlier by Council Member Andresen.

Council Member Andresen inquired how construction and demolition debris would fit into the integrated plan and the proposed waste reduction goals. Mr. Wilson said the construction/demolition material component of non-ash waste stream was about 33%. Stating that the VEDCO facility was not currently able to handle these types of waste, Mr. Wilson said it would be necessary to have a separate construction and demolition landfill if incineration were pursued as an option.

Excluding incineration-related options, Council Member Andresen inquired about alternate ways for handling construction and demolition debris. Mr. Wilson said staff was preparing a comprehensive report, for presentation at the October Landfill Owners Group meeting, outlining strategies for reducing construction and demolition wastes by 25% to 50%. Council Member Chilton noted that reduction in the percentage of construction and demolition debris were not included in the overall waste reduction goal.

Council Member Brown inquired whether or not staff had some interim figures relative to VEDCO which could be shared with the Council this evening. Mr. Wilson indicated that last week staff had received information that VEDCO would not be interested in short-term agreements. He said the minimum term contract that VEDCO was interested in entering into was twenty years. Mr. Horton said Town staff also felt that it would not make economic sense to have a short-term agreement. He said having a short-term agreement would mean losing the income stream which supported existing staff, equipment and other resources.

Council Member Brown noted that the Town had at least two, and possibly three, other governing body partners in this venture. She said it was very important to take into account the outlook of the other partners in the overall process. Council Member Chilton noted that Council Members Andresen and Pavao had raised a good point about getting additional information about options in order to make well-informed decisions.

Mayor Waldorf inquired whether or not it was correct that was not possible for staff to put together a detailed year-by-year financial analysis until the various local governing bodies made

more decisions. Mr. Wilson said it was very difficult to give precise estimates without final approval of a recommended site, detailed geotechnical information or other site specifics.

Saying she hoped that the Council would be able to talk about ownership issues this evening, Mayor Waldorf noted that the hour was late and the Council needed to act on agenda item number seven this evening in order to move forward with a possible bond referendum. Referencing a proposed cooperative ownership structure with an independent agency with equal representation from Chapel Hill, Carrboro, Orange County and Hillsborough, Mayor Waldorf asked whether there were any ratios of debt, risk and liability which would be assigned to constituent governments. Mr. Karpinos said this was would be a new agency with new legal authority and responsibilities, including the issuance of debt.

Mayor Waldorf asked whether or not there were any communities in North Carolina which had an independent intergovernmental agency which was responsible for developing, paying for and operating landfills and related waste disposal processes. She also inquired about funding mechanisms for operation of such an agency. Mr. Wilson said there was at least one in existence (the Coastal Regional Solid Waste Management Authority) with another one in the process of being formed. He stated that the existing agency oversaw an integrated system, landfilling, processing, and collection for a three county area. He noted that different arrangements had been made for collecting refuse and recyclables. He stated that the mix of revenues included funds from the tax base and from various fees.

Mr. Karpinos noted that once an agency operated a landfill, there were certain provisions under state and federal laws by which any party that brought trash to the landfill could be held accountable in the future if problems occurred.

Mayor Waldorf said she still had to be persuaded why a 2-2-2-2 organizational scheme would be fair to the Town and its residents. Council Member Chilton said representation on the proposed board proportionate to the amount of solid waste generated would be a really absurd system because it would legislatively reward entities for producing larger portions of waste.

Council Member Andresen said she favored starting with the idea that each entity would have equal representation, but that there could be weighted votes on some matters. She noted that the staff's memorandum made reference to the possibility of having an entity made up solely of the Town and Orange County. Council Member Andresen also expressed hope that the Council would be open to compromises in a mediated process.

Noting that he recognized these concerns, Council Member Chilton said these matters had been brought up in the initial round of negotiations relative to the possible organizational structure. He noted that under the terms of the proposed structure, three of four jurisdictions would have to be in complete agreement about any possible increase in tipping fees. Council Member Chilton said based on his two years experience on the Landfill Owners Group, it appeared that the Town of Hillsborough delegation was opposed to any increase in tipping fees. He stated that as a practical matter the only way for the tip fee to go up would be if both of the delegates from each of the three other governing boards agreed on a 6-2 super majority vote to significantly increase tipping fees. Responding to the question of why it was important to have equal voting representation, Council Member Chilton said this was a matter of fundamental trust and commitment of the governing entities by and to one another, with all four governing bodies coming to the table to work together on solid waste matters

Noting the importance of annual decisions on tipping fees by the four entities, Council Member Capowski said an much larger decision was whether and where to purchase property for a landfill. Council Member Chilton said the proposed board would not make a final decision on this matter without the Council having veto power over such a decision. Mayor Waldorf noted that under the cooperative structure, this decision could not be made now.

Stating that he shared some of Mayor Waldorf's concerns, Council Member Capowski said there had to be a good number of elected officials on the proposed board since taxes would be levied and some of the board's decisions would not be popular. He also said it was important for the body to recognize the matter of double taxation since the Town comprised 45% of the tax base and waste generation in Orange County. Council Member Capowski also said it was important for it to be recognized that the Town was a dozen times larger than the Town of Hillsborough.

Mayor Waldorf suggested that the Council attempt to wrap up its discussion in a few minutes. Mr. Horton noted that the Council had scheduled a public hearing on September 18th to discuss landfill matters, with the three key issues before the Council this evening serving as the prime emphasis of this meeting.

Council Member Brown noted that there were still a lot of difficult decisions to be made and ironed out. Council Member Brown said she was impressed with the staff report on reorganization and some of the recommended proposals. She suggested that some of these matters could be brought to the table for discussion at the Assembly of Governments meeting on September 30th. Council Member Brown also said it was important to begin diversifying the funding base relative to landfilling, so there was not a dependency on tipping fees for funding, possibly using a unit-based pricing system.

COUNCIL MEMBER CHILTON MOVED, SECONDED BY COUNCIL MEMBER ANDRESEN, TO ADOPT RESOLUTION 16.

Mayor Waldorf noted that this was a resolution authorizing the staff to file an application with the Local Government Commission so they could review and sign off on the Town's proposed bond issue. Mayor Waldorf said she had one proposed amendment on page nineteen of the memorandum regarding the $5 million of proposed bonds for Parks and Recreation facilities. She proposed the addition of point number one, "completion of planned improvements to the Hargraves Center" and renumbering items one and two to numbers two and three. Mayor Waldorf stated that there had been some concern in the community about the adequacy of funding to complete proposed improvements to the Hargraves Center.

THE MOTIONER AND SECONDER CONCURRED WITH THIS PROPOSED AMENDMENT. THE MOTION TO ADOPT RESOLUTION 16, INCLUDING A MODIFICATION TO PAGE NINETEEN OF THE SUPPORT MATERIALS, WAS ADOPTED UNANIMOUSLY (7-0).

A RESOLUTION AUTHORIZING AND DIRECTING THE FILING OF AN APPLICATION WITH THE LOCAL GOVERNMENT COMMISSION FOR APPROVAL OF THE ISSUANCE OF GENERAL OBLIGATION BONDS, AND DESIGNATING REPRESENTATIVES OF THE TOWN OF CHAPEL HILL TO FILE SUCH APPLICATION (96-8-26/R-16)

WHEREAS, the Council desires to pursue the possibility of issuing one or more issues of general obligation bonds of the town of Chapel hill, North Carolina in the aggregate principal amount not to exceed $13,500,000 (the “Bonds”); and

WHEREAS, the proceeds of the Bonds would be used to pay capital costs of the acquisition, construction, installation, renovation, expansion, reconstruction and equipping of certain public improvements in the following respective maximum amounts: $5,000,000 to pay capital costs of providing additional parks and recreation facilities; $3,000,000 to pay capital costs of acquiring real property in order to maintain, protect, limit the future use of or otherwise conserve open spaces and areas; $2,500,000 to pay capital costs of providing public works facilities, facilities and public vehicles for fire fighting and prevention, and providing facilities for law enforcement; and $3,000,000 to pay capital costs of construction, replacement and reconstruction of streets and sidewalk improvements; and

WHEREAS, notices of intent to file an application with the Local Government Commission of North Carolina to issue the Bonds has been published in a newspaper of general circulation in the Town of Chapel Hill, North Carolina at least ten (10) days prior to the date of this meeting; and

WHEREAS, the Council has reviewed a draft of the proposed Application for Approval of the Issuance of General Obligation Bonds.

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

Section 1. The form of the Application for Approval of the Issuance of General Obligation Bonds (the “Application”) to be filed with the Local Government Commission of North Carolina with respect to the Bonds is hereby approved and the Town Manager, the Finance Director and the Town Attorney of the Town of Chapel Hill are hereby authorized and directed to file the Application with the Local Government Commission as soon as practicable.

Section 2. The Town Manager, the Finance Director and the Town Attorney are hereby designated as the representatives of the Town of Chapel Hill for purposes of the Application and are hereby authorized and directed to take such other actions as they may deem appropriate to expedite approval of the Application by the Local Government Commission.

Section 3. This resolution shall taken effect upon its passage.

Section 4. A certified copy of this resolution shall be filed with the Local Government Commission.

This the 26^th day of August, 1996.

Mayor Waldorf said one of the things which concerned her about setting up an independent agency was the potential for heightening the cost of debt. She inquired whether or not anyone knew whether it was going to cost more to have debt entered into by an independent agency or if investors would look more favorably on the project, possibly at a lower interest rate, if it were run by the county.

Council Member Chilton said the Landfill Owners Group had consulted with Institute of Government staff on this matter and whether or not the county could find a way to issue the required bonds. He added that Institute of Government staff that regardless of who end up running the landfill, it would be possible to set the organization up so that one of the local governments was the borrowing agency for special obligation bonds to be issued by the county. He said this would leave open the possibility of taking advantage of the county's potentially somewhat lower bond rate. He also said that the proposed authority would not not be able to issue general obligation bonds on its own, because it would not have any taxation authority. Mayor Waldorf noted that it was very unlikely that citizens would be asked to vote for a general obligation bond for a landfill facility. Council Member Chilton concurred.

Mayor Waldorf said she did not think there were many places throughout the state in the process of developing landfills at present. Mayor Waldorf said she felt the need for more information about long-term costs of landfills. Council Member Andresen said a major reason why no one was constructing landfills in North Carolina was because there was a recent flow control decision by the Supreme Court which upheld the right of communities to ship their solid waste to other states.

Mayor Waldorf said her fundamental question was the recent experience of other communities relative to financing and operating costs of a landfill facility.

Council Member Andresen said she felt a little bit nervous about the fifty percent reduction goal, its cost implications and the degree to which citizens would be called upon to make a lot of sacrifices in order to attain these goals. She stated that the general proposal was to create an agency which would be structurally similar to the Orange Water and Sewer Authority. Council Member Andresen also expressed her support for recycling, but not to the extent being supported by the Landfill Owners Group members.

Noting that a number of good questions had been raised this evening, Council Member Chilton said his frustration regarding the overall process was that there were a lot of people to compromise with. He noted that although the three recommendations fit and worked together, it was possible to still revisit some of them.

He also said that there were a number of significant financial questions which needed to be addressed. Council Member Chilton noted that a rather complex set of compromises had been negotiated over a significant amount of time. He also stated that raising questions on some matters might, to some degree, alienate some of the Town's partners in the process. Mayor Waldorf requested specifics in this regard. Referencing the question of equal representation, Council Member Chilton said some parties felt very, very, very strongly about this item. He noted that some Council Members had similarly strong feelings on this same topic. Council Member Chilton said he did not believe that the whole thing would work without equal representation. Council Member Chilton also said he believed that reducing the fifty percent solid waste reduction goal would shake the very foundation of a lot of complex negotiations.

Council Member Brown said the proposed goal was a fifty percent waste reduction goal, rather than a fifty percent recycling goal. She noted that waste prevention measures, including public education and volume-based fees would involve some initial costs but would not have ongoing costs. Council Member Brown said it had been shown that volume-based fees actually caused people to reduce the amount of waste they generated. Council Member Brown also said she thought it was essential for the Town to have aggressive waste reduction goals. Noting that a number of details were unknown

Mayor Waldorf inquired whether the Council wished to have a three-fourths vote to deal with item number eight this evening.

COUNCIL MEMBER FRANCK MOVED, SECONDED BY COUNCIL MEMBER CAPOWSKI, TO ADJOURN THE MEETING.

Council Member Brown objected to the proposed motion. Mayor Waldorf noted that a three-quarters vote of the Council was needed to take up any new items after 10:30 p.m.

THE MOTION WAS ADOPTED BY A VOTE OF 6-1, WITH COUNCIL MEMBER BROWN VOTING NO.

Mayor Waldorf noted that items not completed this evening would be taken up at the Council's next regular business meeting. There was no need for a closed session.

The meeting adjourned at 10:44 p.m.