SUMMARY OF MINUTES OF A BUSINESS MEETING

OF THE CHAPEL HILL TOWN COUNCIL

MONDAY, APRIL 9, 2001, AT 7:00 P.M.

Mayor Rosemary Waldorf called the meeting to order at 7:00 p.m.

Council members present were Flicka Bateman, Joyce Brown, Pat Evans, Kevin Foy, Lee Pavão, Bill Strom, Jim Ward, and Edith Wiggins.

Staff members present were Town Manager Cal Horton, Assistant Town Managers Sonna Loewenthal and Florentine Miller, Town Attorney Ralph Karpinos, Assistant to the Manager Bill Stockard, Finance Director Jim Baker, Public Works Director Bruce Heflin, Internal Services Superintendent Bill Terry, Information Technology Manager Bob Avery, Planning Director Roger Waldon, Senior Long Range Planning Coordinator Christ Berndt, Principle Planner Gene Poveromo, Public Works Sanitation Superintendent Harv Howard, Assistant Finance Director Kay Johnson, and Town Clerk Joyce Smith.

Item 1—Ceremonies: None

Item 2 - Public Hearings: Consideration of Proposed Method

for Financing Land Purchase for a Municipal Public Works Site

Town Manager Cal Horton explained that the Public Works Department’s lease at the Horace Williams tract would run out on December 31, 2006. He said that the Town had begun negotiating with persons in the northern part of Town who own the right to purchase a private property.

Finance Director Jim Baker outlined the installment contract that the staff recommends for purchase of this property. He explained that the resolution proposed for adoption would declare the proposed financing contract to be a necessary and expedient method to finance the purchase and would authorize him and the Town Attorney to file an application with the Local Government Commission for approval of this project and the proposed financing.

Mr. Baker proposed an installment contract with maturity of ten years. He said that the Town could borrow as much as $900,000 at an interest rate of five percent, using even principle payments and declining interest payments, with a payment of $135,000 in the first year. Payments would then decline by $4,500 each year until maturity, Mr. Baker said.

Mr. Baker outlined the costs of this purchase: $789,200 for the land, $80,000 for the contract purchased from a development company, and $7,000 for an agent. He explained that the Town would solicit proposals for the financing contract from various financial institutions and would bring those back on April 23^rd for the Council’s concurrence. Mr. Baker noted that the Local Government Commission was scheduled to hear the Town’s proposal on May 7, 2001.

Council Member Bateman asked the staff to comment on the buffering that would be provided at the site. Mr. Horton replied that one reason they need to purchase so much land is to provide extensive buffering. Ms. Loewenthal concurred that the estimate of land needed was based on having significant buffers around all sides as well as buffering of streams and Resource Conservation Districts (RCD). Council Member Bateman asked for an idea of what “significant buffering” would entail. Ms. Loewenthal replied that the staff was not far enough into the process to describe that.

Council Member Brown commented that those who live in the targeted neighborhood have come before the Council so often regarding other issues that they must feel very discouraged. She explained that she had voted against the Comprehensive Plan for a number of reasons, one of which was that this designation was put into it “at the very last minute” and had not gone through the usual process. She stated that she had voted against this siting when the Council had first discussed it and would vote against it again tonight.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBERS STROM, TO ADOPT R-1. THE MOTION WAS ADOPTED 8-1, WITH COUNCIL MEMBERS BATEMAN, EVANS, FOY, PAVÃO, STROM, WARD AND WIGGINS VOTING AYE, AND COUNCIL MEMBER BROWN VOTING NAY.

A RESOLUTION AUTHORIZING THE FILING OF AN APPLICATION FOR APPROVAL OF A FINANCING AGREEMENT AUTHORIZED BY NORTH CAROLINA GENERAL STATUTE 160A-20 (2001-04-09/R-1)

WHEREAS, the Town of Chapel Hill, North Carolina desires to purchase land in an amount not to exceed $900,000 to be used primarily as a Public Works operations center to better serve the citizens of the Town; and

WHEREAS, the Town desires to finance the Project by the use of an installment contract authorized under North Carolina General Statute 160A, Article3, Section 20; and

WHEREAS, findings of fact by the governing body must be presented to enable the North Carolina Local Government Commission to make its findings of fact set forth in North Carolina General Statute 159, Article 8, Section 151 prior to approval of the proposed contract;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council, meeting in a regular session on the 9^th day of April, 2001, makes the following findings of fact;

The proposed contract is necessary and expedient in order to take advantage of an opportunity to complete the purchase of available land for a Public Works site in a timely manner.

2. The proposed contract is preferable to a bond issue for the same purpose because timing is of the essence in order to complete the purchase contract by June 9, 2001, and the amount of $900,000 is more than can be prudently raised from currently available appropriations, unappropriated fund balances, and non-voted bonds in a timely manner.

3. The cost of financing under the proposed contract is expected to be approximately the same as the cost of issuing general obligation bonds.

4. The sums to fall due under the contract are found to be adequate and not excessive for the proposed purpose.

5. The debt management policies of the Town are found to have been carried out in strict compliance with applicable law and will be continued in the future.

6. The increase in taxes necessary to meet the sums to fall due under the proposed contract is estimated to be .4 cents per $100 valuation and is not deemed to be excessive.

7. The Town is not in default in any of its debt service obligations.

8. The attorney for the Town has rendered an opinion that the proposed Project is authorized by law and is a purpose for which public funds may be expended pursuant to the Constitution and laws of North Carolina.

NOW, THEREFORE, BE IT FURTHER RESOLVED that the Manager, Finance Director, and Attorney are hereby authorized to act on behalf of the Town in filing an application with the North Carolina Local Government Commission for approval of the Project and the proposed financing contract and actions not inconsistent with this resolution.

This the 9^th day of April, 2001.

Item 3 - Petitions by Citizens and Announcements by Council Members

3a. Petitions by citizens on items not on the agenda.

3a(1). Neil Pedersen, Superintendent, Chapel Hill-Carrboro City Schools: request to waive fees for next two planned elementary schools and consideration of process to accommodate future school construction fee waivers.

Mayor Waldorf noted Mr. Pedersen’s written petition in the Council’s packet and explained that it had been sent to Chapel Hill, OWASA and Carrboro. She said that the petition asks the Town to waive the fees for construction on the next two planned elementary schools. Mayor Waldorf clarified with Mr. Horton that there was no other pending school site in the Town’s jurisdiction. She pointed out that the Council could receive and refer the petition, or it could decide to waive the fees for the Meadowmont School. Mayor Waldorf added that Council members probably would have to take another action to initiate conversations for devising that system.

Council Member Evans, after ascertaining that the School System had paid the fees for the Smith School, suggested referring this item to the Manager.

Council Member Foy said that he wanted to know how much money was involved before making this decision. He pointed out that this would be a subsidy to the schools.

MAYOR PRO TEM PAVÃO MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO RECEIVE AND REFER THE PETITION. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

Mayor Waldorf commented that she hoped the Town would be able to waive the fees.

3a(2). Eleanor Howe, a member of the Transportation Board, requesting input from the Council on transit issues relating to the proposed Orange County satellite campus of Durham Technical Community College.

Ms. Howe reported that the Board had voted unanimously on April 3^rd to ask the Council to open discussions with Orange County regarding the siting of the Durham Technical Community College satellite campus for Orange County, specifically with regard to public transportation issues. Ms. Howe pointed out that the majority of enrollees on the main campus come from Chapel Hill and Carrboro. She emphasized the need for some “public transportation input” from the Town of Chapel Hill.

COUNCIL MEMBER STROM MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO RECEIVE AND REFER THE PETITION. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

3b. Petitions by citizens on items on the agenda.

3b(1). Scott Radway: Horace Williams Development Plan. Mr. Radway stated that the air traffic at Horace Williams will be greater over time than the roadways can handle. A number of people in the immediate area were being affected by currently expanding airport operation, which now includes jets, he said. Mr. Radway stated that the University’s current plan brings to question many issues about safety. He said that a number of uses that the University is planning could be on the Federal Aviation Administration’s (FAA) “risk zone” list of activities located near airports. Mr. Radway provided that list to the Town Council.

3b(2). Thomas Murphy: Horace Williams Airport operations. Dr. Murphy also argued that the University’s plans strongly suggest that traffic will increase at the Horace Williams Airport, particularly jet traffic. He referred to the FAA’s set of guidelines for land use near airports and showed a diagram of accident rates. Mr. Murphy explained that the guidelines call for no residences in zone five, which extends for 1,000 feet lateral. He said that the University’s current plan appears to place residences in that zone.

Dr. Murphy pointed out that the FAA recommends no special use functions (churches, schools, etc.) in zones five and six, for which it recommends less than one residence per 2.5 acres of urban use. He stressed that if the University knowingly places its employees and residents in harm’s way it would be adding to the liability it already carries in connection with the Airport. Dr. Murphy pointed out that the University is asking the Town to share in this liability for air traffic hazard by asking it to change zoning and make other accommodations to the planned development. He noted that any liability taken on must be underwritten by Chapel Hill taxpayers, and by the State, even if there is no increase in air traffic beyond current levels.

COUNCIL MEMBER WARD MOVED, SECONDED BY COUNCIL MEMBER FOY, TO RECEIVE AND REFER THE PETITION TO THE TOWN MANAGER, THE TOWN/GOWN COMMITTEE, AND THE TOWN OF CARRBORO. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

Mayor Waldorf suggested that the petitioners send a copy of their information to Chancellor Moeser at the University.

3b(3). Billie Guthrie: Club Nova, funding request. Ms. Guthrie explained that Club Nova is a psychiatric rehabilitation program that serves adults ages 18 and older. She read a petition for funding which described Club Nova and its goal to reintegrate people with schizophrenia, bi-polar illness, and major depression back into society with meaningful lives. She described a plan for a Club Nova thrift shop, and requested a one-time grant of $10,000 for start-up costs including renovation to bring the shop up to code. Ms. Guthrie explained that this would likely leverage $10,000 from national sources. She said that she had been told it was essential to have local support in order to get federal funding.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER WARD, TO RECEIVE AND REFER THE PETITION. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

3b(4). David Holmes: Recycling. Mr. Holmes, representing Earth First and Student Environmental Action Coalition, read a letter that argued that people would recycle for incentives. He said that there was a lack of recycling incentives in Town, and asked the Council to make an effort to enforce commercial recycling and to hold commercial establishments responsible for using the free service that is available. Mr. Holmes asked for a reassessment of the recycling program. He added that students would like to be involved with enforcing mandatory commercial recycling.

COUNCIL MEMBER STROM MOVED TO RECEIVE AND REFER, WITH AN OPTION FOR MANDATORY RECYCLING TO COME BACK IN THIS BUDGET CYCLE.

Council Member Brown recommended that Mr. Holmes also take his petition to Orange County, since they are the jurisdiction with responsibility for recycling. She asked Mr. Horton to address the motion in view of that. Mr. Horton replied that the Town would need to work with Orange County to establish mandatory recycling within the present structure. He noted that the Council could do something outside the present structure, but that the Town did not have resources to do that at the present time.

Council Member Foy asked if the ban on cardboard was a Town ordinance. Mr. Horton explained that the ban at the landfill was enforced by the landfill operator.

Council Member Brown pointed out that the cardboard ban had been instituted when the three governing bodies were working together. She said that she would like to have them work together again and asked if this could be incorporated into the “pay-as-you-throw” request that the Town had made to the County. Mr. Horton recommended submitting that as a separate request.

Council Member Strom argued that if the Town was going to be restructuring its non-residential pick-up then he would like to see a regulation where an establishment agrees to recycle in exchange for that one free pick-up. He recommended devising that or some other creative method through which the Town could foster more recycling. Council Member Strom suggested that the Council ask the Manager to come back with an option that would increase recycling in the commercial structure when it reworks the fee structure. Mr. Horton replied that this request had been made earlier and that the staff did intend to comment on it. He added, though, that he did not think the Town could enforce “mandatory” recycling without County assistance.

COUNCIL MEMBER FOY SECONDED THE MOTION. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

Mr. Holmes said that Orange County officials had suggested that he come before the Council. Mayor Waldorf urged him to make the same request before the County Commissioners, since they run the recycling program and are responsible for that budget.

3b(4). Wachovia Bank at Meadowmont, request for expedited review. There was no onepresent to speak on this petition. Mayor Waldorf suggested that the Council receive and refer.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO RECEIVE AND REFER THE PETITION. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

3c. Announcements by Council members.

3c(1). Mayor pro tem Pavão: Visit from representative of our Sister City, Saratov. Mayor pro tem Pavão read a letter from the Mayor of Saratov thanking the Council, on behalf of Saratov’s citizens, for welcoming and arranging a tour for their official group. The letter asked that the two towns continue the “fruitful cooperation and mutual understanding in the fields of trade, economics, science, technology, culture and humanitarian aid.” It also asked Mayor Waldorf to visit Saratov and the surrounding region. The letter was signed by the Mayor of Saratov. Mayor pro tem Pavão also displayed a crystal goblet, which was made in Saratov and presented as a gift to Chapel Hill.

3c(2). Council Member Foy: Visit regarding Weaver Dairy Road widening. Council Member Foy reported that a committee—which included Council Members Ward, Strom, Brown and himself—had met with State Transportation Secretary Tibbitt and the State Transportation Board Chairman Galion to discuss the Town’s concerns about the widening of Weaver Dairy Road. Council Member Foy said that the committee had outlined the underpinnings of the Comprehensive Plan explained why the Town had decided in favor of three lanes rather than four. He said that the Department of Transportation (DOT) officials had been “cordial and gracious,” but had reiterated some of their concerns. Council Member Foy predicted that the Town probably will hear from DOT in a couple of weeks.

Council Member Bateman asked if it had been conveyed to DOT that six people had voted against the four-lane road. Council Member Foy replied that it had been explained that this was the sentiment of the Council without getting into a discussion of how the Council vote had been split. He added that the Town Manager and Town Engineer had accompanied the committee and had provided help with explaining the Town’s position.

Item 4 - Consent Agenda

Council Member Evans amended 4e (R-7) to say Raleigh Road rather than South Road.

Because of a letter from the Chapel Hill/Carrboro Residents Council, Council Member Wiggins pulled 4d to be rescheduled for another meeting.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER WARD, TO ADOPT R-2, WITH R-7 AMENDED AND 4d REMOVED. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION ADOPTING VARIOUS RESOLUTIONS AND ORDINANCES (2001-

04-09/R-2)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby adopts the following resolutions and ordinances as submitted by the Town Manager in regard to the following:

a.	Donation of Property in the Dry Creek Greenway Corridor (R-3).
b.	Authorization of Financial Support to North Carolina City and County Management Association for Civic Education Project (R-4); (O-1).
c.	Request for Legislation on Towing Cars from Private Lots (R-5).
e.	Resolution Regarding Funding for Stormwater Grates on State Roads (R-7).
f.	Resolution Referring the Preliminary Report on the Capital Improvements Program to Advisory Boards (R-8).
g.	Resolution Authorizing the Manager to Enter Into Negotiations with The Peoples Channel (R-9).

This the 9^th day of April, 2001.

A RESOLUTION ACCEPTING THE DONATION OF APPROXIMATELY 2,073 SQUARE FEET OF PROPERTY IN THE DRY CREEK GREENWAY CORRIDOR (2001-04-09/R-3)

WHEREAS, Sterling Apartments LLC have offered to donate approximately 2,073 square feet of property to the Town; and

WHEREAS, the offered property would allow expansion of the Dry Creek greenway corridor and open space;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby accepts the donation of approximately 2,073 square feet of property, described in Orange County Deed Book 1740, Page 357, from Sterling Apartments LLC.

This the 9^th day of April, 2001.

A RESOLUTION AUTHORIZING A $250 CONTRIBUTION TO THE CIVIC EDUCATION PROJECT FUND OF THE NORTH CAROLINA CITY AND COUNTY MANAGEMENT ASSOCIATION (2001-04-09/R-4)

WHEREAS, the North Carolina City and County Management Association has asked North Carolina communities to support its Civic Education Project; and

WHEREAS, the Civic Education Project provides local government educational materials to teachers; and

WHEREAS, the Town of Chapel Hill’s population bracket places it in the requested category of $250;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes a $250 contribution to the Civic Education Project Fund of the North Carolina City and County Management Association.

This the 9^th day of April, 2001.

AN ORDINANCE TO AMEND “THE ORDINANCE CONCERNING APPROPRIATIONS AND THE RAISING OF REVENUE FOR THE FISCAL YEAR BEGINNING JULY 1, 2000(2001-04-09/O-1)

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, 2000” as duly adopted on June 26, 2000, be and the same is hereby amended as follows:

ARTICLE I

Current Revised

APPROPRIATIONS Budget Increase Decrease Budget

Non-departmental

Contingency 34,677 250 34,427

GENERAL FUND

Manager/Clerk 911,008 250 911,258

This the 9^th day of April, 2001.

A RESOLUTION REQUESTING THAT THE TOWN OF CHAPEL HILL BE ADDED TO PROPOSED LEGISLATION AUTHORIZING ORDINANCES TO REQUIRE PRE-TOWING NOTICES BEFORE A MOTOR VEHICLE MAY BE TOWED FROM A PRIVATE LOT (2001-04-09/R-5)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby requests the Orange County Legislative Delegation to seek to have Chapel Hill added to proposed House Bill 651 pertaining to requiring pre-towing notices before a motor vehicle may be towed from a private lot.

This the 9^th day of April, 2001.

A RESOLUTION DIRECTING THE TOWN MANAGER TO APPLY FOR INTERGOVERNMENTAL FUNDS TO RAISE STORMWATER GRATES ALONG THREE STATE ROADS IN CHAPEL HILL (2001-04-09/R-7)

WHEREAS, the Bicycle and Pedestrian Advisory Board has petitioned the Town of Chapel Hill to seek assistance from the North Carolina Department of Transportation to raise stormwater grates along three State roads in Chapel Hill; and

WHEREAS, State funding sources possibly available for such work include the Bicycle Section of the Transportation Improvement Program and Direct Allocation Funds;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council herewith directs the Town Manager to apply for funding from the Bicycle Section Transportation Improvement Program of the North Carolina Department of Transportation to raise stormwater grates along Airport Road, Estes Drive and Raleigh Road.

This the 9^th day of April, 2001.

A RESOLUTION REFERRING THE PRELIMINARY REPORT ON THE CAPITAL IMPROVEMENTS PROGRAM (2001-04-09/R-8)

WHEREAS, the Council of the Town of Chapel Hill has received a Preliminary Report on developing a 2001-2016 Capital Improvements Program;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby refers the Preliminary Report for comment and recommendations to the following advisory boards:

· Bicycle and Pedestrian Advisory Board;

· Community Design Commission;

· Greenways Commission;

· Historic District Commission;

· Housing and Community Development Advisory Board;

· Library Board;

· Parks and Recreation Commission;

· Planning Board; and

· Transportation Board.

BE IT FURTHER RESOLVED that the Council requests that the advisory boards complete their review and recommendations for consideration at the Council Public Hearing on Wednesday, May 9, 2001, regarding the Budget and Capital Improvements Program.

This the 9^th day of April, 2001.

A RESOLUTION AUTHORIZING THE TOWN MANAGER TO ENTER INTO NEGOTIATIONS WITH THE PEOPLES CHANNEL, INC., TO RENEW A PERFORMANCE AGREEMENT FOR PROVISION OF COMMUNITY ACCESS TELEVISION, AND TO EXECUTE AN AGREEMENT THAT WILL BE SUBSTANTIALLY CONSISTENT WITH THE CURRENT AGREEMENT (2001-04-09/R-9)

WHEREAS, The Peoples Channel, Inc., is a non-profit corporation organized by area citizens to provide community access television in Chapel Hill; and

WHEREAS, The Peoples Channel’s existing performance agreement is up for review by the Town and possible renewal; and

WHEREAS, the existing performance agreement does not require further review by the Council, thus giving the Council the option to authorize the Manager to address renewal provisions;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Town Manager to enter into negotiations with The Peoples Channel, Inc., to renew a performance agreement for provision of community access television and to execute an agreement that will be substantially consistent with the current agreement.

This the 9^th day of April, 2001.

Item 5 - Information Items

Council Member Bateman pulled 5a.

Mayor Waldorf pulled 5b.

5b. Mayor Waldorf noted that 5b was a letter from Robert Dowling, of OCHC, in which he responded to the Council’s request for his opinion about whether a small percentage of Erwin Road open space might be suitable for affordable housing. Mayor Waldorf asked the Council to merely receive the letter and not act because some neighbors had expressed concerns about it.

Item 6 - Response to Manager’s Comments on Citizens’

Technology Committee Technology Plan Proposal

Alan Rimer, representing the Citizens’ Technology Committee, read highlights from the Committee’s report. He explained that the Committee was made up of a diverse group of citizens from private industry, local school system, UNC, and Orange County government. The mission tonight, he said, was to highlight priorities, to emphasize support for the Manager’s technology goals, and to urge the Council to focus on the benefits of technological improvements.

Mr. Rimer said that the report focused on seven major areas:

· Formation of an Information Technology (IT) Group

· Network infrastructure

· Web site development

· Geographic information systems (GIS)

· Library services

· Records management

· Radio communications

He explained that the Manager had addressed the Committee’s recommendations, but at a minimum level.

Mr. Rimer pointed out that having GIS capability would provide the Town with real time answers to questions—such as what would a three-lane Weaver Dairy Road look like as opposed to a four-lane. He pointed out that full-access GIS would offer the Council, citizens, and staff graphic views of land issues and Town facility locations. Mr. Rimer noted that it would be a more efficient process and would allow better-informed decisions.

Mr. Rimer listed the advantages to having a well-designed web site. He outlined an action plan, which would go beyond the Manager’s recommendation and create and IT Department this fiscal year.

Mayor Waldorf thanked Mr. Rimer. She said that she wished the Town had the revenue sources to do all that the Committee had recommended as soon as possible.

Council Member Foy asked if the three things the Committee wanted the Council to do were in priority order. Mr. Rimer replied that all three were in the order of importance but that the IT development as a department was critical.

Council Member Wiggins commented that the Town must at some point decide to take this seriously by tying it to a tax increase or insisting on reallocation of current resources. She said that the Council will have to give direction on that and then leave it up to the Manager to look for ways to recapture those resources.

Council Member Ward expressed concerns about leaving some people behind. He noted that training at the Town Library would not be easily accessible to everybody.

Council Member Strom emphasized the need for a tandem growth in the Town’s ability to educate all of its citizens, perhaps through community centers and so forth. Mr. Rimer explained that the Committee planned to look into outreach through community centers and the Senior Center. He added that the user-friendly kiosk that would be “rolled out again.”

Council Member Strom asked for a clear explanation of the County’s GIS. He also asked for an accounting of the money that the Town spends each year for over-flights, photographs and its GIS system. Council Member Strom requested information on ways of getting more efficiency through cooperating and coordinating those efforts with Orange County. Mr. Horton replied that the Town uses the County’s system as the basic framework for the Town’s system and cooperates with the County on the aerial flights, which are not taken every year. He agreed, though, to explain this in detail when the item comes back.

COUNCIL MEMBER FOY MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO RECEIVE AND REFER THE RECOMMENDATIONS, TO COME BACK DURING BUDGET CONSIDERATIONS. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

Item 7 - Issues Related to University Development

7a. Development Plans and Draft Statement to the University.

Mayor Waldorf explained that this is a statement of principles that she and her committee would like the Town to forward to the University regarding future University development. She pointed out that the letter proposed a new zone for the main campus as well as a set of statements about fiscal equity principles. Mayor Waldorf noted that the letter also included some comments on Chancellor Moeser’s March 7^th letter. She said that minor changes had been made from the document that the Council had seen on March 26^th, and noted a few suggestions from Council Member Brown, which she suggested incorporating into the document. Mayor Waldorf emphasized that the Council members must approve the proposals tonight if they want the Town part of the Town/Gown Committee report forwarded to the University for discussion at the April 18^th meeting.

Mayor Waldorf noted that Joan Bartel had left a letter for the Council.

Cliff Heindel expressed concern about the University’s reputation being damaged by Representative Walter Dalton’s bill to the legislature last week. He suggested that the University ask Mr. Dalton to withdraw this bill since it could lead to a misinterpretation of the University’s expansion.

Margaret Heath recalled the University-sponsored Peace Vigils of the past in Chapel Hill and expressed disappointment over the University’s present “might makes right” approach to its expansion in Town. She commended the Mayor and Council for supporting neighborhoods close to campus and asked if there was more the Town could do to help people and protect trees in those areas. Regarding the Horace Williams Tract, Ms. Heath commented that bulldozing the forest to build a school would be a great loss, if that is the plan. She said that there was an unfilled central role in this process for someone whose heart and mind is attuned to conservation.

Elaine Barney, representing the Greater Westwood, Westside, and Mason Farm Whitehead Neighborhood Association, read part of a response to Mayor Waldorf’s March 26^th proposal. It said that residents support all that is included in the letter’s attachment one, except bullet #9, which they ask to have reworded to specifically include residential properties. Ms. Barney thanked Planning Director Roger Waldon for his help, and quoted from the Association’s position paper, which had been presented on March 26^th regarding the destruction of neighborhoods adjacent to the University. The paper had suggested that the balance tip in favor of protection and preservation when issues such as this come before the Town Council, she said.

Diana Steele read a list of suggestions from the Neighborhood Association:

· The development plan for the perimeter area should go before the Town Council rather than the Planning Board to allow for full involvement of elected officials and additional citizen input at public hearings.

· The time limits for completion of the plan should be established, after which another plan must be submitted and approved.

· Periodic reviews on the progress to date should be considered.

· The plan review process should include residents from the adjacent neighborhoods, using notification processes similar to those for zoning change notification but with a wider radius.

· Review individual buildings on the edges of campus adjacent to the residential neighborhoods with the residents involved in the process.

· The new OI-4 zone should start at the UNC property line rather than at the edge of the OI-3 zone, which is located in the center of South Columbia Street.

· A landscaped buffer zone of 150 feet should be established at the start of the University’s property with no new buildings or parking allowed on it. This should be followed by a transition zone of 150 feet, which should be compatible with the adjacent residential zones.

· Sound abatement techniques should be incorporated into all new buildings.

· Special attention should be given to lighting to prevent light pollution at night.

· Good stormwater management practices should be in place to prevent run-off into the neighborhood properties.

Kimberly Brewer strongly endorsed the Town’s proposals to the University. She described them as thoughtful and constructive.

Council Member Brown noted her changes, which she said would help preserve and protect existing Chapel Hill neighborhoods.

Council Member Ward proposed a friendly amendment to change the wording regarding stormwater runoff in the third bullet on page 14 to “are reduced” rather than “do not worsen.”

Mayor Waldorf expressed appreciation for the solidarity of the Council and the support of the citizens on this issue.

COUNCIL MEMBER STROM MOVED, SECONDED BY COUNCIL MEMBER BATEMAN, TO ADOPT R-10, TO INCLUDE WRITTEN COMMENTS FROM COUNCIL MEMBER BROWN AND FROM CITIZENS BEING REFERRED TO TOWN/GOWN COMMITTEE, AS AMENDED BY COUNCIL MEMBER WARD REGARDING THE THIRD BULLET ON PAGE 14. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION AUTHORIZING TRANSMITTAL OF A “STATEMENT TO THE UNIVERSITY” (2001-04-09/R-10)

WHEREAS, the Town of Chapel Hill and the University of North Carolina at Chapel Hill have identified area of mutual interest and concern that warrant discussion; and

WHEREAS, the Mayor of Chapel Hill has appointed a Mayor’s Committee to enter into discussions with University officials; and

WHEREAS, as a result of initial discussions, Chancellor James Moeser prepared and sent to Mayor Rosemary Waldorf a statement of University interests on March 7, 2001; and

WHEREAS, the Chapel Hill Town Council has reviewed that letter and a set of documents called, “Statement to the University” and has made certain amendments there to as discussed and agreed upon at the Council meeting of April 9, 2001;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town Council authorizes the Mayor of Chapel Hill to transmit the “Statement to the University” to University officials for continuing discussion.

This the 9^th day of April, 2001.

7b. Comments on the Horace Williams Plan.

MAYOR PRO TEM PAVÃO MOVED, SECONDED BY COUNCIL MEMBER STROM, TO ADOPT R-11. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION TRANSMITTING COUNCIL COMMENTS REGARDING DEVELOPMENT OF THE HORACE WILLIAMS PROPERTY (2001-04-09/R-11)

WHEREAS, the University of North Carolina at Chapel Hill has indicated its intent to develop property known as the Horace Williams Tract; and

WHEREAS, University officials presented a draft plan for the Horace Williams property to the Town Council; and

WHEREAS, development of this property will be accompanied by significant impacts on the surrounding community; and

WHEREAS, the Chapel Hill Town Council discussed the potential development of this property on March 26, 2001;

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the attached Compilation of Concerns, Questions, and Interests, dated April 9, 2001, represents comments that have been expressed by members of the Chapel Hill Town Council, and that the Council asks the University to consider these concerns and questions as planning for this property continues.

BE IT FURTHER RESOLVED that the Council requests the Town Manager to transmit the attached list of comments to the University, along with a copy of this resolution.

This the 9^th day of April, 2001.

7c. Response to Petition from Sierra Club regarding University Development.

Dan Coleman, representing the Sierra Club, expressed appreciation for the Town Council’s commitment to the principles that the Sierra Club promotes. He added the commitment must go beyond that which the Comprehensive Plan has to these ideas to one which takes the form of specific standards, implementation plans to meet those standards, benchmarks for measuring the success of meeting the standards, and contingency plans for what to do if the standard is not met.

Council Member Foy recommended that the Council keep the Sierra Club’s petition and the Town’s response. He pointed out that something along the lines of performance-based standards had been envisioned.

COUNCIL MEMBERS AGREED BY CONSENSUS TO RECEIVE AND REFER ALL COMMENTS.

Item 8 - Issues Related to Annexation

Senior Long Range Planning Coordinator Chris Berndt explained that the staff had prepared various ordinances and resolutions on two areas for annexation. Regarding Notting Hill, she recommended that the Council adopt R-12, which would amend the service report for the area, including the legal definition of “contiguity to the Town limits,” and some minor changes in revenue estimates. Ms. Berndt recommended that the Council adopt O-2, annexing the area effective June 30^th.

Regarding Southern Village, Ms. Berndt explained that significant issues had been brought up at the public hearing on March 19^th. She stated that attachment #3 was the staff’s detailed response to a Council question on whether to delay the annexation for a year. Ms. Berndt said that the staff had concluded that there would be no fiscal advantage to postponing the effective date. She noted that a property owner had asked the Town not to annex the two westernmost parcels, and explained that the staff had recommended continuing with the original proposal but deleting those two lots from the area.

Ms. Berndt pointed out that the staff had also proposed to amend the service report for that area to reflect an increase in one of the cost estimates and to adjust the calculation if the two western lots were taken out. She displayed the adjusted revenue and expenditure costs, which showed a negative $9,546 in the first year but close to breaking even in the second year. In summary, she said, the staff was recommending that the Council adopt R-13b and O-3b, effective June 30, 2001.

8a. Proposed Annexation Area 1: The Notting Hill Area.

COUNCIL MEMBER WIGGINS MOVED, SECONDED BY COUNCIL MEMBER FOY, TO ADOPT R-12. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION TO AMEND THE SERVICE REPORT, APPROVED ON JANUARY 22, 2001, FOR ANNEXATION AREA 1 (NOTTING HILL AREA)(2001-04-09/R-12)

BE IT RESOLVED by the Council of the Town of Chapel Hill as follows:

SECTION 1

That pursuant to Subsection 160A-48(b) of the General Statutes, the annexation area is required to be contiguous to the Town of Chapel Hill on more than one-eighth (12.5%) of its boundary and no part of the area shall be within the boundary of another municipality.

Section II.A (General Description of Area) of the Service Report, in part, is hereby amended to read:

“The boundary of the total area to be annexed has 17,485 linear feet, of which 14,085 feet abut the present Town primary corporate limits. Thus, 80.6% of the boundary of the annexation area is contiguous to the present Town primary corporate limits.”

SECTION 2

Section II.D.2 (Character of the Area) of the Service Report is hereby amended to read:

“Over one-eighth (12.5%) of the aggregate external boundary of the area under consideration coincides with the existing Town limits. As noted above, 80.6% of the annexation area boundary is contiguous with the present Town primary corporate limits.”

SECTION 3

Table 2 of Appendix E of the Service Report is hereby amended to read as shown in Attachment 2 to the Memorandum for Annexation Ordinance for Area 1 (Notting Hill), dated April 9, 2001.

SECTION 4

That a copy of this resolution shall be filed with the Town Clerk.

This the 9^th day of April, 2001.

COUNCIL MEMBER WIGGINS MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADOPT O-2. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

AN ORDINANCE TO EXTEND THE CORPORATE LIMITS OF THE TOWN OF CHAPEL HILL, UNDER THE AUTHORITY GRANTED BY PART 3, ARTICLE 4A, CHAPTER 160A OF THE GENERAL STATUTES OF NORTH CAROLINA (2001-04-09/O-2)

WHEREAS, all of the prerequisites to adoption of this ordinance prescribed in Part 3, Article 4A, Chapter 160A of the General Statutes of North Carolina, have been met; and

WHEREAS, the Council of the Town of Chapel Hill has taken into full consideration the statements presented at the Public Hearing held on the 19th day of March, 2001, on the question of this annexation; and

WHEREAS, the Council of the Town of Chapel Hill has concluded and hereby declares that annexation of the area described herein is necessary to the orderly growth and development of the Town of Chapel Hill;

NOW, THEREFORE, BE IT ORDAINED by the Council of the Town of Chapel Hill as follows:

SECTION I

From and after 11:59 p.m. on the 30th day of June, 2001, the effective date of this annexation, the following territory shall be annexed to and become a part of the Town of Chapel Hill, and the corporate limits of the Town of Chapel Hill shall on said 30th day of June, 2001, be extended to include said territory more particularly described as follows:

Annexation Area 1: This area is located northeast of the present Town limits and consists of land located east of Erwin Road and north of Sage Road, and includes the Notting Hill Apartments, the Chapel Hill Bible Church (presently under construction), the approved Providence Glen Condominium development, one residence along Erwin Road and several undeveloped parcels along Interstate 40. This area is further described as:

All that certain tract or parcel of land lying, situated and being in Chapel Hill Township, Orange County, North Carolina, being more particularly described as follows:

Being all the area in Orange County, Chapel Hill Township as depicted on Tax Map 26: Parcels # 16, 17, 17K, 17L, 17M, 18, 36, 36A, 36B, 36D, 51; and Tax Map 160: Parcel # 17A and being described as follows:

Beginning at a point at the intersection of the southern right-of-way of Interstate 40, and Eastern right-of-way of Erwin Road, (AKA: Mt. Moriah Church Road; see NCDOT BOM 1 Pg 99; project # 8.1457902) said point being on the existing Chapel Hill Corporate Limits Line and also being the northernmost corner of Parcel # 36B Tax Map 26; thence from said point of beginning and departing from the existing Chapel Hill Corporate Limits Line and proceeding with the common line of the southern right-of-way of Interstate-40 and the northern line of Parcels # 36B, 36A, 16, and 17 in a southeasterly direction approximately 3,372 feet to a point. (See: Attachment “A”) said point being at the southeastern corner of Parcel # 17, a 17.05 acre tract on the southwest side of Interstate-40 (see: DB 2147 Pg 271-273 tract one) and being a point on the existing Chapel Hill Corporate Limits Line; thence proceeding along said Corporate Limits Line in a westerly direction with the common lines of N/F Eastowne Office Park (PB 73 Pg 142) and Eastowne Hills (PB 33 Pg 133) and southern line of Parcels # 17, 51 and the eastern line of Parcel # 17K (Tax Map 26) to a point, said point being the southwestern corner of Parcel # 17K and the southwestern corner of Lot #1 (Tax Map 26A) of Eastowne Hills; thence continuing along said existing Corporate Limits Line in a southeasterly direction with the aforementioned Lot #1 (see PB 77 Pg 31) to the western right-of-way of Providence Road; thence with the right-of-way of Providence Road in a southerly direction to the intersection point with the northern right-of-way of Eastowne Drive; thence in a southwesterly direction and with the right-of-way of Eastowne Drive, crossing Sterling Drive, to a point, said point being the right-of-way intersection of Eastowne Drive and the southern right-of-way of Sterling Drive (see: PB 77 Pg 31); thence continuing along said Chapel Hill Corporate Limits Line and with the southern right-of-way of Sterling Drive in a northwesterly direction to a point: said point being on an arc and being the common corner with Parcel # 17L (Tax Map 26) on said right-of -way; the easternmost corner of Parcel # 17L; thence with the southeastern line of Parcel # 17L and being the common property line with Parcel # 17A around an arc (see: P.B. 77, Pg. 31) to a point; thence leaving said arc and in a southeasterly direction to a point; said point being the northeastern corner of the N/F William Birch property (D.B. 218, Pg. 188) (TMBL 7.27.B.1) and the southeastern most corner of Parcel # 17L; thence continuing along the existing Chapel Hill Corporate Limits Line and with the N/F William Birch northern line, and being the southern line of Parcel # 17L in a westerly direction to a point, said point being the southwestern most corner of Parcel # 17L; thence in a northerly direction and crossing the right-of-way of Sterling Drive to a point. (see: PB 84 Pg 122) said point being the northeastern most corner of Parcel # 46: Tax Map 26; thence in a northwesterly direction to the eastern right-of-way of Erwin Road (aka: Mt. Moriah Church Road); said point being the southwestern most corner of Parcel # 18; thence proceeding along said Corporate Limits Line in a northerly direction and with the eastern right-of-way of Erwin Road to a point; said point being the northwestern most corner of Parcel # 18, Tax Map 26 and the southeastern most corner of Englewood Subdivision (see: PB 77 Pg 78) (Tax Map 160); thence with the southern line of Englewood Subdivision and the northern line of Parcel # 18 in a easterly direction to a point; said point being the southeastern corner of Lot 47, Tax Map 160; thence turning in a northerly direction and with the eastern most line of Englewood Subdivision and with the western line of Parcel # 17A, Tax Map 160, to a point on the southern property line of Parcel # 16, Tax Map 26: said point also being the common corner of Parcel # 45 and Parcel # 17A, Tax Map 160; thence continuing along the existing Chapel Hill Corporate Limits Line in a westerly direction with the southern line of Parcel # 16 and the northern line of Parcel # 45 to a point. Said point being the southwestern most corner of Parcel # 16; thence turning in a northerly direction and with the common line of said Parcel # 45 and Parcel # 16 to a point on the southern property line of Parcel # 36D (Tax Map 26); thence with the southern line of Parcels # 36D and 36A (see PB 86 Pg 171) and in a westerly direction to the eastern right-of-way of Erwin Road; thence continuing along said existing Chapel Hill Corporate Limits Line in a northeasterly direction with the eastern right-of-way of Erwin Road and the western line of Parcels #36A, 36 and 36B (Tax Map 26) to a point at the intersection with the southern right-of-way of Interstate 40,said point being the place and point of beginning.

All referenced deeds, plats, tax maps, parcel numbers, and supporting attachments are hereby incorporated by reference. Said documents are a matter of public record and on file at the Orange County Registrars Office.

SECTION II

The Council of the Town of Chapel Hill does hereby specifically find and declare that the above described territory meets the requirements of G.S. 160A-48, in that:

1. The area is contiguous to the Town limits.

2. Over one-eighth (12.5%) of the aggregate external boundary of the area under consideration coincides with the existing Town limits. The boundary of the total area to be annexed has 17,485 linear feet, of which 14,085 feet abut the present Town primary corporate limits. Thus, 80.6% of the boundary of the annexation area is contiguous to the present Town primary corporate limits.

3. None of the area is within the boundary of an incorporated municipality.

4. Recorded property lines and streets have been used in fixing the proposed municipal boundaries resulting from this annexation.

5. With a population density of 3.13 persons/acre, Area 1 qualifies for annexation as an area developed for urban purposes under G.S. 160A-48(c)(1).

SECTION III

It is the purpose and intent of the Town of Chapel Hill to provide services to the area being annexed under this ordinance, as set forth in the report of plans for services approved by the Council of the Town of Chapel Hill on the 22^nd day of January, 2001, and amended on April 9, 2001, and filed in the office of the Clerk for public inspection.

Such services will include:

1. Refuse collection as described in said report.

2. Maintenance and repair of any publicly-maintained streets or streets that are built or improved to Town of Chapel Hill standards for acceptance into the Town-maintained street system, and other street maintenance services as described in the report.

3. Police protection including periodic patrols, crime prevention investigation of crimes, enforcement of ordinances and statutes and other police services as described in the report.

4. Fire protection, including suppression, preventive inspections, and code enforcement as described in the report.

5. Extension of water and sewer lines under financing policies of the Orange Water and Sewer Authority (OWASA) and the Town of Chapel Hill, as described in the report.

6. Parks and recreation, library, housing and construction code enforcement, zoning and planning, public transportation and other services as described more fully in the report.

SECTION IV

The Council of the Town of Chapel Hill does hereby specifically find and declare that public water trunk lines and sewer outfall lines are already extended into the annexation area, and no requests for water and sewer extensions in the annexation area have been received under G.S. 160A-47, so that no additional extensions of water or sewer extensions will be necessary under G.S. 160A-47 on the effective date of annexation prescribed in Section I above. Property owners may have public water and sewer lines extended within the annexation area in accord with extension and financing policies of the Orange Water and Sewer Authority (OWASA) and the Town of Chapel Hill.

SECTION V

From and after the effective date of this annexation, the territory annexed and its citizens and property shall be subject to all debts, laws, ordinances and regulations in force in the Town of Chapel Hill, and shall be entitled to the same privileges and benefits as other parts of the Town of Chapel Hill.

SECTION VI

The newly annexed territory described hereinabove shall be subject to the Town of Chapel Hill taxes according to G.S. 160A-58.10.

SECTION VII

The Mayor of the Town of Chapel Hill shall cause an accurate map of the annexed territory described in Section I hereof, together with a duly certified copy of this ordinance, to be recorded in the Office of the Register of Deeds of Orange County, and in the Office of the Secretary of State in Raleigh. Such a map shall also be delivered to the Orange County Board of Elections as required by G.S. 163-288.1.

This the 9^th day of April, 2001.

8b. Proposed Annexation Area 2: The Southern Village Area.

Council Member Evans asked why the full cost of the fire station had been allocated to Southern Village since the Town had decided to build that even if they did not annex Southern Village. She asked why $135,000 of bus service to Meadowmont had been proposed as a cost to Southern Village. And, she asked if the Town really would be spending $170,000 on street repair at this relatively new community, and why there is $100,000 for street lighting, which she thought the developer had already provided.

Ms. Berndt explained that moving from one level of service to another means assigning the full cost of that incremental change to the event that triggered it, which in this case would was the annexation of Southern Village. Mr. Horton stated that Southern Village tips the Town over the edge in a number of cost areas. He said that the Town will have to incur these costs in order to provide the same service to Southern Village that it does everywhere else in Town. Mr. Horton pointed out that the Town would have to serve Meadowmont next year anyway, and is fortunate that there will be funds available to help pay those costs. He explained that this also applied to Council Member Evans’s other questions.

Council Member Evans remarked that these costs would be put on the shoulders of the annexation of Southern Village. Mr. Horton replied that this is just the way it is.

MAYOR PRO TEM PAVÃO MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADOPT R-13B. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION TO AMEND THE SERVICE REPORT, APPROVED ON JANUARY 22, 2001, FOR ANNEXATION AREA 2 (SOUTHERN VILLAGE AREA) (2001-04-09/R-13b)

BE IT RESOLVED by the Council of the Town of Chapel Hill as follows:

SECTION 1

That Tables 1 and 2 of Appendix E of the Service Report are hereby amended to read as shown in Attachment 4 to the Memorandum for Annexation Ordinance for Area 2 (Southern Village Area), dated April 9, 2001.

SECTION 2

Section II.A (General Description of Area) of the Service Report, in part, is hereby amended to read:

“The boundary of the total area to be annexed has 21,578 linear feet, of which 5,763 feet abut the present Town primary corporate limits. Thus, 26.7% of the boundary of the annexation area is contiguous to the present Town primary corporate limits.”

SECTION 3

Section II.D.2 (Character of the Area) of the Service Report is hereby amended to read:

“Over one-eighth (12.5%) of the aggregate external boundary of the area under consideration coincides with the existing Town limits. As noted above, 26.7% of the annexation area boundary is contiguous with the present Town primary corporate limits.”

SECTION 4

That a copy of this resolution shall be filed with the Town Clerk.

This the 9^th day of April, 2001.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER WARD, TO ADOPT O-3B. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

AN ORDINANCE TO EXTEND THE CORPORATE LIMITS OF THE TOWN OF CHAPEL HILL, UNDER THE AUTHORITY GRANTED BY PART 3, ARTICLE 4A, CHAPTER 160A OF THE GENERAL STATUTES OF NORTH CAROLINA (2000-04-09/O-3b)

WHEREAS, all of the prerequisites to adoption of this ordinance prescribed in Part 3, Article 4A, Chapter 160A of the General Statutes of North Carolina, have been met; and

NOW, THEREFORE, BE IT ORDAINED by the Council of the Town of Chapel Hill as follows:

SECTION I

Annexation Area 2: This area (the Southern Village Area) consists of land that is generally located south of Town, primarily located west of US Highway 15-501. The area includes the Southern Village development, Town-owned land for a future community park, Town-owned land for a fire station and open space, and Phase II of the Hundred Oaks development. This area is further described as:

All that certain tract or parcel of land lying, situated and being in Chapel Hill Township, Orange County, North Carolina, being more particularly described as follows:

Being all the area in Orange County, Chapel Hill Township as depicted on Tax Map 126, Block A, Lots 4, 4R, 4M, 4H, 4U, 4P, 4N, 4J, 5, 6, 6A, 7, 8, 9, 10, 21, 22, 23 and 62; Tax Map 126, Block B, Lot 9; Tax Maps 126D, 126E, 126H, 126F, 126P, 126G 126M and 126N all Lots; Tax Map 128, Block A, Lots 31 and 31A; and being more particularly described as follows:

Beginning at the southernmost point of Lot 31A, Tax Map 128,: Block A; said point also being on the western right-of-way of Hwy. 15-501, thence with the western line of Lot 31A and with the eastern lines of lots 2E, 2, 2C, 2D and 2B, Tax Map 128, Block A: in a northerly direction approximately 1,379.8’ to the southern right-of-way of SR 1962 (Dogwood Acres Drive); thence continuing in a northerly direction and with the common line of Tax Map 126, Block A, Lot 31 and Lots 4L and 4D, Tax Map 126, Block A: approximately 652.2’, crossing Dogwood Acres Drive, a 50’ right-of-way, to the northwestern corner of Lot 31, Tax Map 128, Block A; also being the southwestern most corner of Lot 4J, Tax Map 126, Block A; thence with the western line of Lot 4J in a northerly direction and along the eastern line of lots 4A and 4C, Tax Map 126, Block A; and lots 5 and 4, Tax Map 125, Block E; approximately 776.4’ to a turn in the line; thence in a northwesterly direction and with the eastern line of Dogwood Acres subdivision and being the common line between Tax Maps 126, 126H, 126M and Tax Map 124, and crossing Carlton Drive, a 60’ right-of-way, (see: PB 11, Pg. 24) approximately 2084.7’ to a turn in the line, the southeastern corner of Lot 3, Tax Map 126, Block A; thence turning to a northerly direction and with the eastern line of Lot 3, Tax Map 126, Block A and the eastern line of Lot 8A, Tax Map 122, Block B: and being the common line with Lot 813, Tax Map 126M; Lot 4, Tax Map 126, Block A; and Tax Map 126M, Lot 784: approximately 2,034.7’ to the southeastern corner of Lot 13, Block B, Tax Map 122; thence proceeding approximately 475’ with the eastern line of Lot 13 and Lot 14, Block B, Tax Map 122 and the western line of aforementioned Lot 784, in a northern direction to the northeastern corner of said Lot 13(see: DB 179 Pg. 588 and crossing over a portion of Lot 12, Block B, Tax Map 122 ( 30’ right-of-way of Williams Drive) to the northeastern most corner of said Lot 14, said point also being the northwestern corner of Lot 784, Tax Map 126M (also see: PB 72 Pg. 50 Cobble Ridge Subdivision); and on the existing Chapel Hill Corporate Limits Line; thence proceeding along said Corporate Limits Line and with the northern line of said Lot 784 and Lot 14, Tax Map 126P, and crossing Highgrove Drive (a 60’ right-of way) and with the southern line of Cobble Ridge Subdivision and Culbreth Subdivision (see: PB 82 Pg. 13), and with said Corporate Limits Line in a easterly direction approximately 1,368.0’ to a point said point being the northeastern corner of Lot 14, Tax Map 126P; thence turning in a southerly direction and proceeding with said Corporate Limits Line and the westernmost line of Culbreth Middle School, Lot 8D, Block B, Tax Map 122 approximately 446’ to a point; thence turning in a southeasterly direction and with the Culbreth School line and being the common line with Lot 62, Tax Map 126, Block A: approximately 1199.9’ to a point; thence turning to the northeast and with the Culbreth School line and being the common line with Lot 62, Tax Map 126, Block A: approximately 185.2’ to a point, said point being the southwestern most corner of Culbreth Park Subdivision (see: PB 55 Pg. 61); thence in a southeasterly direction and proceeding along said existing Corporate Limits Line and with the southern line of Lot 8M, Block B, Tax Map 122 and Culbreth Park Subdivision, and the northern line of aforementioned Lot 62 and Lots 4U and 4P, Block A, Tax Map 126: approximately 1330.6’ to the western right-of-way of Hwy. 15-501; thence proceeding with said Corporate Limits Line and crossing Hwy. 15-501 and proceeding with the northern line of Lot 4H, Block A, Tax Map 126 in a southeasterly direction approximately 1203.2’ to a point on the old Bennett Road northern right-of-way line (see: PB 72 Pg. 163 & 164 of Hundred Oaks Subdivision): thence following the old northern right-of-way of said road in a easterly direction approximately 239.0’ to its intersection with the western right-of-way of Mt. Carmel Church Road (SR 1008); thence in a southerly direction, crossing Bennett Road right-of-way and along with the western right-of-way line of Mt. Carmel Church Road approximately 650.2’ to the eastern most corner of Lot 9, Block B, Tax Map 126; said point being the northern most corner of Lot 1, Tax Map 126, Block B; thence departing from said Corporate Limits Line and following the southeastern most line of Lot 9 and in a southwesterly direction with the northwestern line of Lot 1 approximately 440.5’ to a point, said point being the southernmost corner of said Lot 9, Block B, Tax Map 126; thence turning in a northwesterly direction and with the southwestern line of said Lot 9, also being the northernmost line of Lot 2, Block B, Tax Map 126: approximately 707’ to point on the southern line of Lot 21, Block A, Tax Map 126; thence with the southern line of said Lot 21 and with the common line of Lot 2, Block B, Tax Map 126 in a southwesterly direction approximately 828.9’ to the eastern right-of-way of Hwy. 15-501; thence with the eastern right-of-way of Hwy 15-501 and in a south-southwesterly direction and along the common line with Lots 2, 8, 8A, 10, 7, 12 and 5, Block B, Tax Map 126; and Lots 1A, 43, 42, 41A, 41, 40A, 37A, 38A and 38B, Block B, Tax Map 128; and Lots 1, 21A, Block A, Tax Map 121; approximately 6,025’ to a point; said point being jointly the southwestern corner of Lot 37A and northernmost corner of Lot 38, Block B, Tax Map 128 with the eastern right-of-way of Hwy 15-501; thence crossing Hwy 15-501 and in a northerly direction approximately 110’ to the place and point of beginning. All referenced deeds, plats, tax maps, parcel numbers, and supporting attachments are hereby incorporated by reference.

SECTION II

The Council of the Town of Chapel Hill does hereby specifically find and declare that the above described territory meets the requirements of G.S. 160A-48, in that:

1. The area is contiguous to the Town limits.

2. Over one-eighth (12.5%) of the aggregate external boundary of the area under consideration coincides with the existing Town limits. The boundary of the total area to be annexed has 21,578 linear feet, of which 5,763 feet abut the present Town primary corporate limits. Thus, 26.7% of the boundary of the annexation area is contiguous to the present Town primary corporate limits.

3. None of the area is within the boundary of an incorporated municipality.

4. Recorded property lines and streets have been used in fixing the proposed municipal boundaries resulting from this annexation.

5. With a population density of 5.48 persons/acre, Area 2 qualifies for annexation as an area developed for urban purposes under G.S. 160A-48(c)(1).

SECTION III

It is the purpose and intent of the Town of Chapel Hill to provide services to the area being annexed under this ordinance, as set forth in the report of plans for services approved by the Council of the Town of Chapel Hill on the 22^nd day of January, 2001, and as amended April 9, 2001, and filed in the office of the Clerk for public inspection.

Such services will include:

1. Refuse collection as described in said report.

3. Police protection including periodic patrols, crime prevention investigation of crimes, enforcement of ordinances and statutes and other police services as described in the report.

4. Fire protection, including suppression, preventive inspections, and code enforcement as described in the report.

5. Extension of water and sewer lines under financing policies of the Orange Water and Sewer Authority (OWASA) and the Town of Chapel Hill, as described in the report.

6. Parks and recreation, library, housing and construction code enforcement, zoning and planning, public transportation and other services as described more fully in the report.

SECTION IV

G.S. 160A-47, so that no additional extensions of water or sewer extensions will be necessary under G.S. 160A-47 on the effective date of annexation prescribed in Section I above. Property owners may have public water and sewer lines extended within the annexation area in accord with extension and financing policies of the Orange Water and Sewer Authority (OWASA) and the Town of Chapel Hill.

SECTION V

SECTION VI

The newly annexed territory described hereinabove shall be subject to the Town of Chapel Hill taxes according to G.S. 160A-58.10.

SECTION VII

This the 9^th day of April, 2001.

Item 9 - Crosland Apartments at Meadowmont:

Application for Special Use Permit Modification

Planning Director Roger Waldon explained that modifying the Special Use Permit (SUP) would be for the purpose of keeping trees rather than cutting them down. He said that the staff had recommended approval.

Roger Lewis, with Crosland Properties, said that R-14a would be the correct resolution for this matter because it results in a much better use of the land, buffers the apartments effectively from NC 54, and avoids a pathway which would be redundant to the 10-foot bike trail.

Council Member Ward asked to see a picture of the section of trail that would require a swath through the buffer. Mr. Waldon showed an aerial photograph. Council Member Ward suggested leaving the western part of the path, adding that a retaining wall would require removing only about a third of the width of trees that an earlier illustration had implied. Mr. Waldon clarified Council Member Ward’s suggestion on the aerial photograph.

Mr. Lewis said that a secondary trail within 100+ feet of, and adjacent to, the existing trail would not add significantly to the experience but would involve considerable clearing. He said that it would be redundant and would require a considerable amount of clearing whether it’s wide, medium or narrow. Mr. Lewis argued that the path would not be justified by the gain in utility.

COUNCIL MEMBER EVANS MOVED, SECONDED BY COUNCIL MEMBER BATEMAN, TO CLOSE THE PUBLIC HEARING. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

COUNCIL MEMBER EVANS MOVED R-14a, SECONDED BY MAYOR PRO TEM PAVÃO.

Council Member Ward continued to urge for the path.

Council Member Strom asked Council Member Ward to be more specific about the type of path he envisioned. Mr. Horton pointed out that the more informal the path the less harm it would do in the area. He added that the Town could figure out some way to resolve the grade problem at the exit point.

Council Member Ward suggested as a friendly amendment to include a five-foot, meandering path made of natural materials.

Council Member Evans asked where the destination would be. Council Member Ward replied that the eastern terminus would be the playground and the western terminus would be the sidewalk that parallels Meadowmont Lane. Council Member Evans asked why it would not curve up to the apartments if the purpose is to serve them. Council Member Ward said it should connect to Meadowmont Lane because it might serve the village there.

Council Member Evans did not accept the amendment.

Council Member Brown asked what trees would be lost. Mr. Lewis replied that select hand clearing of pines would have to be done. He added that the path would have to be about 10 feet wide to allow a vehicle to come in and lay down natural material. Council Member Brown asked if the area is too thick for people to walk through now. Mr. Lewis replied that it was not easy to meander through in its current condition.

Council Member Ward said that he did not support a 10-foot clearing. He argued that this would not need to be done to lay material down because that could be done by hand.

COUNCIL MEMBER WARD MOVED, SECONDED BY COUNCIL MEMBER FOY, A SUBSTITUTE MOTION TO AMEND R-14A TO INCLUDE A NATURAL MATERIALS MEANDERING FIVE-FOOT PATH ON THE WESTERN HALF OF THE LAND FROM THE PLAYGROUND TO THE SIDEWALK ON THE EASTERN EDGE OF MEADOWMONT LANE. THE MOTION FAILED (3-6), WITH COUNCIL MEMBERS WARD, FOY AND STROM VOTING AYE AND COUNCIL MEMBERS BATEMAN, BROWN, PAVÃO, WALDORF, EVANS, AND COUNCIL MEMBER WIGGINS VOTING NAY.

THE COUNCIL RETURNED TO THE MAIN MOTION. THE MAIN MOTION WAS ADOPTED 8-1, WITH COUNCIL MEMBERS BATEMAN, BROWN, EVANS, FOY, PAVÃO, STROM AND WIGGINS VOTING AYE, AND COUNCIL MEMBER WARD VOTING NAY.

A RESOLUTION APPROVING A SPECIAL USE PERMIT MODIFICATION APPLICATION FOR THE CROSLANDS APARTMENTS AT MEADOWMONT (SUP 52..6) (2001-04-09/R- 14a)

BE IT RESOLVED by the Council of the Town of Chapel Hill that it finds that the Special Use Permit Modification application proposed by Crosland Apartments, on property identified as Chapel Hill Township Tax Map 52, part of Lot 6 and Durham Township Tax Map 479 Block 1, Lot 6, if developed according to the Tree Buffer Exhibit prepared for Crosland Apartments of Meadowmont Apartments dated February 9, 2001 and the conditions listed below, would:

1. Be located, designed, and proposed to be operated so as to maintain or promote the public health, safety, and general welfare;

2. Comply with all required regulations and standards of the Development Ordinance, including all applicable provisions of Articles 12, 13, and 14, and with all other applicable regulations, with the modifications listed below;

3. Be located, designed, and proposed to be operated so as to maintain or enhance the value of contiguous property; and

4. Conform with the general plans for the physical development of the Town as embodied in the Development Ordinance and in the Comprehensive Plan.

BE IT FURTHER RESOLVED that these findings are conditioned on the following:

Stipulations Specific to the Development

1. Relationship to the 1997 Special Use Permit: That this approval authorizes:

· Number of Dwelling Units: 258

· Maximum Floor Area: 266,349 square feet

· Minimum Open Space: 685,651 square feet

· Minimum Livability Space: 439,520 square feet

· Number of Buildings: 20 buildings plus four garages

· Number of Parking Spaces: 487

This authorization is intended to be in addition to the terms of the Town Council’s July 3, 1997 Special Use Permit document for Meadowmont Apartment, Crosland Properties, recorded in Book 1922, Page 487 at the Orange County Registrar of Deeds Office and Book 2646, Page 422 at the Durham County Registrar of Deeds Office.

That the terms of the 1997 adopted Special Use Permit shall apply unless modified or superseded by those stipulations below:

2. Improved Walking Path: That the improved 5-foot wide walking path, located within the NC Highway 54 buffer and shown on the 1997 approved Special Use Permit Plans, shall not be constructed.

3. Preservation of Existing Vegetation: That the existing areas of vegetation within the NC Highway 54, buffer, as shown on the Tree Buffer Exhibit prepared for Crosland Apartments of Meadowmont Apartments dated February 9, 2001, shall be preserved.

4. Meadow Restoration: Restoration of the meadow within the NC Highway 54 buffer is no longer required.

Stipulations Related To Landscaping

5. Existing Path between NC Highway 54 and Play Area: That the existing area of cleared vegetation, between the woodchip play area and the NC Highway 54 pedestrian/bike trail be landscaped, as determined necessary by the Town Manager.

6. NC Highway 54 Buffer: That the applicant provides supplemental landscaping, as determined necessary by the Town Manager, in the buffer area between the apartments and NC Highway 54.

7. Landscape Plan: That a detailed landscape plan and landscape maintenance plan be reviewed and approved by the Town Manager prior to the issuance of a Zoning Compliance Permit.

Miscellaneous Stipulations

8. Phasing Plan: That the applicant submit a revised phasing plan for review and approval by the Town Manager.

9. Detailed Plans: That final detailed site plans, grading plans, landscape plans are approved by the Town Manager, and that such plans conform to the plans approved by this application and demonstrates compliance with all applicable conditions and the design standards of the Development Ordinance and the Design Manual.

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

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

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby approves the Special Use Permit Modification application for Crosland Apartments at Meadowmont.

This the 9^th day of April, 2001.

Item 10 - Sage Road Offices:

Special Use Permit and Zoning Atlas Amendment

Council Member Bateman asked to be recused because her tutoring practice takes clients from Chapel Hill Pediatric Psychology, which will be housed in this building. She leftthe meeting at 9:10 p.m.

Mr. Waldon noted that this area was designated for office use on the Comprehensive Plan. On that basis, he said, the staff had recommended at the public hearing that the Council favorably act on the request for rezoning. Mr. Waldon said that the site plan had two buildings at the intersection of Erwin and Sage Roads. He explained that the main issue of disagreement at the public hearing had been over whether the point of access should be restricted to right in/right out or be full service access. Mr. Waldon stated that the staff had changed its recommendation to full service access.

Dawn Heric, representing the John R. McAdams Company, expressed appreciation for the staff’s efforts to resolve the issue of driveway access. She said that the applicant had agreed to pay $430 for the re-timing of certain traffic lights. She noted that the applicant was still at odds with the staff over the buffer—the staff asked that the applicant preserve a certain amount of the external buffer and the applicant sees replanting as a better solution. Ms. Heric noted the “very conservative” estimate of $70,000 for two retaining walls, which she said did not seem justified to preserve loblolly pines. Noting that the concern seemed to be over erosion control, Ms. Heric introduced two speakers to address that concern.

Project Manager Bill Derks explained that the site flows from both sides to drainage in the middle. He said that the erosion control plan included a silt fence with silt fence outlets to accommodate large storms. Mr. Derks showed where silt fence baffling would be installed as a secondary protective device. He said that buffers would be on the uphill side along Sterling Drive and Sage Road and that erosion control measures would not significantly change that site design.

David Lent-Bews, with Resolute Building Company, said that the engineer and developer had asked his firm to suggest ways to provide additional means of erosion control protection. Noting that the power line easement had already been cleared and maintained by Duke Power, Mr. Lent-Bews said that it seemed easy to install check dams or silt fence in case the erosion control methods approved by Orange County should fail. He added that installing swells or check dams with minimal disturbance of existing grading would be easily engineered and relatively failsafe.

COUNCIL MEMBER WIGGINS MOVED, SECONDED BY COUNCIL MEMBER EVANS, TO ADJOURN THE PUBLIC HEARING. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

COUNCIL MEMBER FOY MOVED, SECONDED BY MAYOR PRO TEM PAVÃO, TO ADOPT O-4. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

AN ORDINANCE AMENDING THE CHAPEL HILL ZONING ATLAS FOR THE SAGE ROAD OFFICES DEVELOPMENT (Chapel Hill Tax Map Number 27, Block B, Lot 7D)

(2001-04-09/O-4)

WHEREAS, the Council of the Town of Chapel Hill has considered the application of John McAdams Company, Inc., to amend the Zoning Atlas to rezone property described below from Residential-2 (R-2) and Residential-4 (R-4) to Office / Institutional-1-Conditional (OI-1-C) zoning, and finds that the amendment is warranted, in order to achieve the purposes of the Comprehensive Plan;

NOW, THEREFORE, BE IT ORDAINED by the Council of the Town of Chapel Hill that the Chapel Hill Zoning Atlas be amended as follows:

SECTION I

That the portion of the site identified as now or formerly Chapel Hill Township Tax Map 27, Block B, Lot 7D, that is currently zoned Residential-2 (R-2), located south of Old Sterling Road and east of Sage Road, shall be rezoned to Office / Institutional-1-Conditional (OI-1-C) zoning.

That the portion of the site identified as now or formerly Chapel Hill Township Tax Map 27, Block B, Lot 7D, that is currently zoned Residential-4 (R-4), located south of Old Sterling Road and east of Sage Road, shall be rezoned to Office / Institutional-1-Conditional (OI-1-C) zoning.

The description of the portions of this site to be rezoned is indicated on the attached map.

SECTION II

That all ordinances and portions of ordinances in conflict herewith are hereby repealed.

This the 9^th day of April, 2001.

Council Member Strom said that he did not agree with the idea of replanting the buffer.

Council Member Evans asked if the applicant could plant other kinds of trees, such as dogwoods, when the pines die. Mr. Waldon replied that they could.

COUNCIL MEMBER STROM MOVED, SECONDED BY COUNCIL MEMBER FOY, TO ADOPT R-16A. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION APPROVING AN APPLICATION FOR A SPECIAL USE PERMIT FOR SAGE ROAD OFFICES (2001-04-09/R-16a)

BE IT RESOLVED by the Council of the Town of Chapel Hill that it finds that the Special Use Permit application proposed by John R. McAdams Company, Inc., on property identified as Chapel Hill Township Tax Map 27, Block B, Lot 7D (PIN# 9890506255), if developed according to the site plan prepared on June 28, 2000, and revised on January 26, 2001, and conditions listed below, would:

1. Be located, designed, and proposed to be operated so as to maintain or promote the public health, safety, and general welfare;

2. Comply with all required regulations and standards of the Development Ordinance, including all applicable provisions of Articles 12, 13, and 14, and with all other applicable regulations;

3. Be located, designed, and proposed to be operated so as to maintain or enhance the value of contiguous property; and

4. Conform with the general plans for the physical development of the Town as embodied in the Development Ordinance and in the Comprehensive Plan.

BE IT FURTHER RESOLVED that the Town Council hereby approves the application for a Special Use Permit for Sage Road Offices in accordance with the plans listed above and with the conditions listed below:

Stipulations Specific to the Development

1. That construction begin by April 9, 2003 (two years from the date of Council approval) and be completed by April 9, 2004 (three years from the date of Council approval).

2. Land Use Intensity: This Special Use Permit authorizes construction of 2 office buildings, consisting of a total of 62,000 square feet of floor area, specified as follows:

Total # of Buildings: 2

Maximum Floor Area Total: 62,000 s.f.

Maximum Clinic Floor Area: 42,000 s.f.

Maximum # of Parking Spaces: 238

Minimum # of Bicycle Parking Spaces: 24

Minimum Outdoor Space (s.f.): 232,758 s.f.

Minimum Livability Space (s.f.): 138,510 s.f.

3. Subdivision Requirements: That this development (Chapel Hill Township Tax Map 27, Block B, Lot 7D), if proposed to be divided as a minor subdivision, shall be required to create easements and/or maintenance agreement(s) for cross-access, detention pond(s), and heavy-duty pavement, subject to the approval of the Town Manager with the recordation of the minor subdivision. The recorded maintenance agreement(s) shall be cross-referenced on the minor subdivision plat.

Stipulations Related to Required Improvements

4. Town Standards: That all streets, parking lots, drive aisles and sidewalks associated with this development shall be constructed to Town standards.

5. Vehicular Connection to the South: A vehicular connection shall be constructed to the southern property line as identified on the approved plan. In addition, an access easement shall be recorded authorizing cross-access for the future development of the adjacent lot to the south.

6. Old Sterling Drive Sidewalk: That a 5’ sidewalk, built to Town standards, be installed on the south side of the development’s Old Sterling Drive frontage.

7. Sage Road Sidewalk: That the parts of Sage Road frontage sidewalk in disrepair shall be replaced.

8. Parking Lot Pedestrian Striping: That parking lot striping between pedestrian connections internal to the site shall be provided.

9. Old Sterling Drive/Sage Road Crosswalk: That the applicant shall provide pedestrian crosswalk striping across Old Sterling Drive at the intersection of Sage Road.

10. Signal Retiming: That the applicant shall provide a fee of $3,400 for the purpose of retiming four signals on Fordham Boulevard, southeast of the Sage Road intersection.

11. Traffic Signal Payment-in-Lieu: That the applicant provide a proportional payment in-lieu for installation of a traffic signal at the Sage Road/Erwin Road intersection, not to exceed $1,800. This payment amount is based on the proportional 3% traffic impact of the proposed development at the Sage Road / Erwin Road intersection at peak hour, as applied to the estimated cost of a traffic signal. The impact fee formula is as follows: proportion of traffic impact x estimated signal cost = impact fee (3% x $60,000 = $1,800). The payment shall be refunded, if unused, 5 years from the date of the last Certificate of Occupancy issuance.

12. Parking Spaces: That the applicant shall provide no more than 238 parking spaces, including no more than 50 compact-sized parking spaces.

13. Bicycle Parking: That the applicant shall provide a total of 24 covered, illuminated, and secure bicycle parking spaces. One bicycle parking area, must be provided near the front entrances of Buildings 1 and 2, with 12-spaces each.

14. Shower and Locker Facilities: That shower and locker facilities shall be provided in each new building.

Stipulations Related to Landscape Elements

15. Landscape Plan Approval: That a detailed Landscape Plan and Landscape Maintenance Plan shall be approved by the Town Manager prior to issuance of a Zoning Compliance Permit.

16. Landscape Protection Plan: That a detailed Landscape Protection Plan, clearly indicating which rare and specimen trees will be removed and preserved and including Town standard landscaping protection notes, shall be approved by the Town Manager prior to issuance of a Zoning Compliance Permit.

17. Landscape Bufferyards: That the following landscape bufferyards shall be provided, and that if any existing vegetation is to be used to satisfy the buffer requirement, the vegetation shall be protected by fencing from adjacent construction:

18. Undisturbed Landscape Buffers: The portion of the western Sage Road Buffer with pine and cedar trees located between Sage Road and the parking lot shall remain undisturbed. In addition, a portion of the northern Old Sterling Drive buffer with pine and cedar trees located between Old Sterling Drive and the parking lot shall remain undisturbed.

19. Off-Site Grading: That an off-site temporary easement authorizing grading and landscaping shall be obtained from the adjacent property owner for work along the southern property line.

20. Slopes in Buffer Areas: That all newly graded landscape buffer areas shall not exceed a 3:1 slope.

21. Buffer Plantings: That all canopy trees installed in graded buffer areas shall be a minimum of 3” – 3½“ caliper when installed. Also, all small trees installed in graded buffer areas shall be a minimum of 8 feet in height.

22. Parking Lot Plantings: That all parking lot shade trees used to demonstrate compliance with the 35% parking lot shading requirement, shall be a minimum of 3” - 3½“ in caliper when installed.

23. Planting Strips: That five-foot wide planting strips shall be provided between parking areas and each building.

Stipulations Related to Utilities

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

25. Utility Lines: That all utility lines, other than 3-phase electric power distribution lines, shall be underground.

Stipulations Related to Fire Protection/Fire Safety

26. 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.

27. Sprinkler System: That the buildings shall have a sprinkler system in accordance with Town Code, which shall be approved by the Town Manager.

28. Fire Department Connections: That fire hydrants must be no more than 50 feet from fire department connections and that fire connections must be located on street side of buildings in visible, accessible locations.

Stipulations Related to Refuse and Recycling Collection

29. Solid Waste Management Plan: That a Solid Waste Management Plan, including provisions for recycling and for the management and minimizing of construction debris, shall be approved by the Town Manager prior to issuance of a Zoning Compliance Permit.

30. Heavy-Duty Paving: That all drive aisles that provide access to the compactors, dumpsters or recycling facilities, be constructed with heavy-duty pavement.

31. Pre-construction Conference: That the applicant will hold a pre-construction conference with Orange County Solid Waste staff prior to any construction activity on the site. A note indicating such shall be included on final plans.

Miscellaneous Stipulations

32. Community Design Commission Approval: That the Community Design Commission shall approve the building elevations and the lighting plan for the site, prior to the issuance of a Zoning Compliance Permit.

33. Stormwater Management Plan: That a Stormwater Management Plan be approved by the Town Manager prior to issuance of a Zoning Compliance Permit. Based on a 25-year storm, the post-development stormwater run-off rate shall not exceed the pre-development rate.

34. Stormwater Detention: That stormwater detention facility ownership and maintenance responsibilities be held in common between property owners, if a commercial subdivision is approved.

35. Bio-Retention: That a bio-retention area(s) be incorporated into the site plan, subject to approved by the Town Manager, prior to issuance of a Zoning Compliance Permit.

36. Certificates of Occupancy: That no Certificates of Occupancy shall be issued until all required public improvements are complete, and that a note to this effect shall be placed on the final plat.

That if the Town Manager approves a phasing plan, no Certificates of Occupancy shall be issued for a phase until all required public improvements for that phase are complete; no Building Permits for any phase shall be issued until all public improvements required in previous phases are completed to a point adjacent to the new phase, and that a note to this effect shall be placed on the final plat.

37. Transportation Management Plan: That a Transportation Management Plan be approved by the Town Manager prior to issuance of a Zoning Compliance Permit. This plan shall be updated and approved annually by the Town Manager. The required components of the Transportation Management Plan shall include:

a. Provision for designation of a Transportation Coordinator;

b. Provisions for an annual Transportation Survey and Annual Report to the Town Manager;

c. Quantifiable traffic reduction goals and objectives;

d. Ridesharing incentives; and

e. Public transit incentives.

Furthermore, the applicant is encouraged to enter into shared parking agreements, for employees, with adjacent churches that may have excess parking capacity during regular business hours at Sage Road Offices.

38. Detailed Plans: That the final detailed site plan, grading plan, utility/lighting plans, stormwater management plan (with hydraulic calculations), and landscape plans shall be approved by the Town Manager prior to issuance of a Zoning Compliance Permit, and that such plans shall conform to the plans approved by this application and demonstrate compliance with all applicable conditions and design standards of the Development Ordinance and Design Manual.

39. Erosion Control: That a soil erosion and sedimentation control plan, including provisions for maintenance of facilities and modification of the plan if necessary, be approved by the Orange County Erosion Control Officer, and that a copy of the approval be provided to the Town Manager prior to the issuance of a Zoning Compliance Permit.

40. Open Burning: That no open burning shall be permitted during the construction of this development.

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

42. Construction Sign Required: That the applicant post a construction sign that lists the property owner’s representative, with a telephone number; the contractor’s representative, with a telephone number; and a telephone number for regulatory information at the time of issuance of a Zoning Compliance Permit. The construction sign may have a maximum of 16 square feet of display area and may not exceed 6 feet in height. The sign shall be non-illuminated, and shall consist of light letters on a dark background.

43. Plant Rescue: That the applicant is encouraged to conduct a “plant rescue” for this site, after the issuance of a Zoning Compliance Permit and prior to the start of construction.

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

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

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby approves the application for a Special Use Permit for Sage Road Offices.

This the 9^th day of April, 2001.

Item 11 - Options for Adjustment of the Privilege License

Assistant Finance Director Kay Johnson described this as “a gross receipts proposal in reverse.” She said that any business could opt to pay the maximum $75 fee with no report of gross receipts required. She said that a smaller business would pay $25-$50 based on a gross receipts report. Ms. Johnson explained that this proposal allows for some forgiveness of the maximum amount fee for the smaller businesses and eases the reporting requirement on the larger businesses.

Robert Humphreys stated that the Downtown Commission wanted to thank the Mayor and Town Council for listening to the many business representatives who had spoken on this issue two weeks ago and for tailoring the options along more equitable lines. Mr. Humphreys commented that the businesses favor a flat rate, as is being proposed in option #2, or keeping it at $50. He also thanked the Council for not supporting the total elimination of trash pick-up, but cautioned them about reducing commercial pick-up system-wide. Mr. Humphreys said that once a week pick-up makes sense for some family homes but not for the commercial dumpsters in Chapel Hill. He predicted that the problems resulting from reducing service would outweigh the hoped-for additional revenue that the Town might realize.

Mr. Humphreys stated that the current level of recycling services available to the commercial sector discourages any serious effort to reduce waste. To reduce pick-up based on anticipated recycling would not be practical, he said. Mr. Humphreys suggested that the most equitable way for the Town to increase revenue would be through a property tax increase to all taxpayers rather than increasing fees to select classes of taxpayers.

Aaron Nelson, Executive Director of the Chapel Hill/Carrboro Chamber of Commerce, read his letter thanking Mayor Waldorf, the Council and the staff for listening and for creating a well-reasoned list of options. He said that the Chamber fully endorsed option three, which he described as a flexible and reasonable response and a fair compromise to the issues raised by Chamber members and other businesses in the community.

Council Member Bateman returned at 9:25 p.m.

Mayor Waldorf asked Town Attorney Ralph Karpinos about procedure. Mr. Karpinos explained that adopting option three would mean passing O-5. He said that R-16.1 would direct the Manager to prepare the other options in ordinance forms.

MAYOR PRO TEM PAVÃO MOVED O-5, AND COUNCIL MEMBER STROM SECONDED THE MOTION.

Council Member Evans proposed raising the $500 fee for Section 10-18.28 on page 27 (which is escort service) to $1,000 for each location. She also asked that massage parlors be incorporated into the ordinance at the fee of $1,000 for their privilege license. Mr. Horton clarified that there is a difference between licensed and unlicensed massage “therapists.” Council Member Evans said that she was proposing this for the unlicensed variety. Mr. Karpinos said that he would like an opportunity to look at this proposal before the Council considers it.

Council Member Strom, the seconder, did not accept this as a friendly amendment. Mayor pro tem Pavão said that he had thought it was a friendly amendment but did not want to delay the vote.

THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

AN ORDINANCE AMENDING CHAPTER 10 OF THE TOWN CODE OF ORDINANCES INCORPORATING ADJUSTMENTS (underlined) TO PRIVILEGE LICENSE TAXES (2001-04-09/O-5)

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

Section I. Chapter 10, Article I, is hereby revised to read as follows:

“ARTICLE I. IN GENERAL
__________

Sec. 10-1. Definitions.

Wherever in this chapter, the words defined or construed in this section are used, they shall, unless the context requires otherwise, be deemed to have the following meanings:

Agent. The person having the agency for the manufacturer, producer or distributor.

Business. Any business, trade, occupation, profession, avocation or calling of any kind, subject, by the provisions of this chapter to a license tax.

Engaged in the business. Engaged in the business as owner or operator.

Fiscal year. The period beginning with the first day of July and ending with the thirtieth day of June next following.

Gross Receipts. All earnings, receipts, fees, commissions, broker's charges, rentals and income whatsoever arising from or growing out of the conduct of the business, occupation or profession licensed under this chapter during the license tax year immediately preceding the license tax year for which the tax is being computed, without any deduction whatsoever, unless otherwise expressly provided.

Person. Any person, firm, partnership, company or corporation.

Quarter. Any three (3) consecutive months.

Sec. 10-2. Exemptions from chapter—Generally.

The license taxes levied by this chapter shall not apply to any business operated by any strictly religious or charitable organization when the gross income or proceeds of such business are for the exclusive benefit of such organization.

Except as herein provided or as provided by state law or in the schedule of license taxes hereinafter set forth, there shall be no exemption of any person from the payment of the license taxes levied by this chapter.

Sec. 10-3. Same--Exempted persons must secure license.

Every person engaging in any business upon which there is levied a license tax by this chapter, but which person is, by some provisions of this chapter exempt from the payment of such license tax, shall, nevertheless, secure from the town revenue collector a license to engage in such business, which license shall show upon its face that the licensee is exempt from the payment of the license tax and shall cite the section of this chapter which is the authority therefore.

Sec. 10-4. Effect of chapter on authority of council.

Nothing contained in this chapter shall be construed to prevent the mayor and council from imposing from time to time, as they may see fit, such license taxes as are not specifically herein defined, or from increasing or decreasing the amount of any special license tax, or from prohibiting or regulating the business or acts licensed, and all licenses are granted subject to the provisions of existing ordinances and those hereafter enacted.

The adoption of the schedule of license taxes shall not limit the power of the mayor and council to increase or decrease any of such license taxes, to levy a license tax upon any business not included therein, nor to make any other change with respect to such license taxes.

Sec. 10-5. License tax levied.

In addition to the tax on property, as otherwise provided for, and under the power and authority conferred in the laws of North Carolina, there shall be levied and collected annually, or oftener, where provided for, a privilegelicensetax on trades, professions, agencies, business operations, exhibitions, circuses and all subjects authorized to be licensed. Such tax applies to all businesses performing significant business activity within the town, including businesses that have an office outside the town but whose agents enter the town for business activity. Such tax shall be levied by ordinance adopted by the town council from year to year, and nothing in this Code or the ordinance adopting this Code shall be deemed to affect the validity of any such ordinance, and all such ordinances are hereby recognized as continuing in force to the same extent as if set out at length herein.

Sec. 10-5.1. Schedule A Businesses – businesses exempt from paying privilege license taxes

The following are types of businesses that exempted from paying Town privilege license taxes by the North Carolina General Statutes:

Alcoholic Beverage Businesses: Malt beverage, brewery; Unfortified wines, winery; Fortified wines, winery

Amusements - Motion pictures: manufacture, sale, lease, furnishing, and distribution

Dealers in Various Types of Merchandise: Automatic machines; Burglar alarms, dealers; Household appliances dealers (those involved in the sale of refrigerators, washing machines, and vacuum cleaners); Office equipment dealers (those involved in the sale of cash registers, typewriters, adding or bookkeeping machines, billing machines, check protectors, addressograph machines, duplicating machines, card punching, assorting, and tabulating machines)

Occupations and Professions Subject to Licensing Boards: Accountants; Architects; Attorneys; Auctioneers; Chiropodists; Chiropractors; Dentists; Embalmers; Engineers, professional; Healers, professional (this includes all licenses, doctors, nurses, physical therapists, licensed massage therapists, and all other LICENSED health professionals); Land surveyors; Landscape architects; Massage therapists; Morticians; Ophthalmologists; Opticians; Optometrists; Osteopaths; Pest control applicators; Photographers; Physicians; Private detectives; Real estate agents; Real estate appraisers; Surgeons; Veterinarians

Utilities: Bus companies; Telephone companies; Trucking companies licensed by the state

Other Businesses and Occupations: Banks; Bondsmen; Cooperative-marketing associations Corporations (domestic and foreign, that are separate legal entities from the companies that they run); Insurance companies; Motor fuel, wholesale sale or distribution; Productions credit associations; Savings and loan associations; Soft drinks (manufacture, production, bottling, and/or distribution); Vending machines, including weighing machines

The following are additional types of businesses that are exempt from paying Town of Chapel Hill privilege license taxes:

Camps (residential and/or day) of a religious, educational, civic, or athletic nature – any business operating a youth residential and/or day camp of a religious, educational, civic, or athletic nature is exempt from paying Town of Chapel Hill privilege license taxes for this aspect of the business;

Day Care Centers – any business or non-profit agency administering or managing a day care, nursery, after-school care, or kindergarten is exempt from paying Town of Chapel Hill privilege license taxes for this aspect of the business.

Companies involved in multiple types of businesses must pay a privilege license for each type of business the company conducts. A company may be exempt for one aspect of their business but have to pay the tax for another aspect of their business.

Sec. 10-5.2. Schedule B Businesses – privilege license tax limits mandated by the state

Schedule B Businesses are businesses for which the taxes towns can collect from privilege licenses are limited by the State of North Carolina. These businesses include: ABC off-site beer Sales, ABC off-site wine sales, ABC on-site beer Sales, ABC on-site wine sales, automobile dealers, barber shops, beauty salons, bicycle dealers, bowling alleys, campgrounds, chain stores, check-cashing businesses, circus/ animal shows, collection agencies, contractors, dances, dry cleaners, electricians, electronic sales, elevator/ sprinkler installers, emigrant agents, employment agents, entertainments, firearms dealers, flea market operators, flea market vendors, funeral homes, heating contractors, hotels, ice cream manufacturers, ice cream retailers, itinerant merchants, laundries/ laundromats, loan agencies, motorcycle dealers, movie rentals/sales, movie theaters, music machines, outdoor advertising, outdoor theaters, pawnbrokers, peddlers, piano sales, pinball machines, plumbers, pool tables, restaurants, service stations, specialty markets, sundries, telegraph companies, tobacco warehouses, trailer parks, undertakers, video games, weapons dealers, and wholesale auto supply stores.

Descriptions of these businesses and the tax schedule for these Schedule B businesses are included in Sec. 10-30 – Sec. 10-33 of this code.

Sec. 10-5.3. Schedule C Businesses – non-schedule B businesses that are charged a flat rate determined by Council

Schedule C Businesses are those businesses that are not limited by the State’s Schedule B, and are not charged privilege license taxes based on gross receipts (Schedule D). Instead, these businesses are charged a flat tax determined by Council.

a. Escort Services - $500.00

b. Fortune Tellers - $500.00

c. Mechanical Contractors/ repairmen - $50.00

d. Taxicabs - $25.00 per vehicle

Descriptions of these businesses and the tax schedule for these Schedule C businesses are included with the descriptions and tax schedule for Schedule B businesses in Sec. 10-30 – Sec. 10-33 of this code.

Sec. 10-5.4. Schedule D Businesses – all non-schedule A, B, or C businesses are included in schedule D and pay privilege license taxes based on their gross receipts

All businesses not specifically listed in Schedules A, B, or C of this section will fall under the miscellaneous category of Schedule D. The rate for the privilege license tax for any Schedule D business will be based on the gross receipts of the business. The privilege license tax for a particular Schedule D business is based on the following table:

Gross Receipts Tax

$0 – 50,000 $25.00

$50,001 – 100,000 $50.00

over $100,000 $75.00

Sec. 10-5.5. Computation of tax based on gross receipts.

Whenever this article levies a privilege license tax computed on the basis of gross receipts, gross receipts means the amount reported as gross receipts on a business' state income tax return or on the federal income tax return filed with the state income tax return if the state return does not separately state gross receipts for the most recently completed tax year. It shall be the duty of a person applying for the license to render to the revenue collector or his designee a sworn statement of such gross receipts during the preceding year.

If a business has not been in operation long enough for the information required in subsection (a) of this section to be available, the revenue collector shall estimate gross receipts for the business on the basis of gross receipts of comparable businesses or any other information the revenue collector considers useful. On or before July 31 immediately after the license year, each licensee who paid the tax for the past license year based on estimated gross receipts shall submit to the revenue collector a sworn final report showing the amount of gross receipts for the license year.

If the amount shown is more than the estimated gross receipts, the licensee shall pay the amount of the additional tax that would have been due had the estimate been accurate. If the payment shown is less than the estimated gross receipts, the town shall refund to the licensee the difference between the actual tax paid and the amount of tax that would have been due had the estimate been accurate.

If a business conducts multiple business activities, with some falling under Schedule B or C (both with flat taxes) and others falling under Schedule D (gross receipts), the business may either:

Purchase several licenses based on the various methods outlined; or

Purchase one privilege license based on the total gross receipts of all business activities.

It will be the decision of the business to choose the second option, the first option being the default. The licensee, however, may be subject to additional license taxes that the state authorizes the town to levy, depending on the licensee's business, and for which a separate license must be purchased.

All affidavits or other proof of gross receipts furnished to the revenue collector or his designee pursuant to subsection (b) of this section shall remain privileged and confidential and shall not be disclosed.

Sec. 10-6. License prerequisite to conduct of business.

It shall be unlawful for any person or his agent or servant to engage in or carry on a business in the town for which there is required a license, without first having paid the license tax and obtained the license. For the purpose of this section, the opening of a place of business, or offering to sell, followed by a single sale or the doing of any act or thing in furtherance of the business shall be construed to be engaging in or carrying on such business.

Sec. 10-7. Separate license required for each business.

The payment of any particular tax imposed by this chapter shall not relieve the person paying the same from the payment of any other tax imposed by this chapter for any other business he may carry on, unless so provided by the section imposing such tax, it being the intent of this chapter that license taxes prescribed by various sections or subsections of this chapter applicable to any business shall be cumulative except where otherwise specifically provided.

Sec. 10-8. License required for every place of business.

A license issued for the privilege of conducting a business is only valid for the business conducted at the place and by the licensee named therein. Every person doing business in more than one factory, mill, warehouse, store, stall or stand, or other place of business, shall secure a separate license for each such place of business, unless such places of business are contiguous to each other, communicate directly with and open into each other, and are operated as a unit. If the business is moved or if the licensee sells to another, then a new license is necessary, unless a special permit to continue business under the original license is obtained from the town council.

Sec. 10-9. License application.

Every application for a license required by this chapter shall be made in writing to the town revenue collector upon a form or forms to be provided by the revenue collector. Such application shall be signed either by the applicant or by his agent.

Sec. 10-10. Information required of license applicant.

Every applicant for a license required by this chapter shall furnish to the town revenue collector the following information:

Complete and exact name under which the business is proposed to be operated, the business address, and business phone number.

If the business is proposed to be operated by an individual under any assumed name, the name of such individual, ~~and~~ his home address, and home phone number.

If the business is a partnership, the name, ~~and~~ home address, and home phone number of each partner.

If the business is a corporation, the name ~~and~~ home address, and home phone number of the president and of the secretary of the corporation, and the location of the principal office.

Nature of the business for which license is desired.

Proposed location.

And, in addition to the foregoing, the applicant shall furnish to the town revenue collector such other information as may be required by the town revenue collector in order to enable him to determine the proper classification of the applicant and the appropriate license tax.

Sec. 10-11. Compliance with conditions precedent required for license issuance.

The town revenue collector shall not issue any license when the application therefore is disapproved by the town council or by any town official in any case where the approval of the council or official is required precedent to the issuance such license; nor shall the town revenue collector issue any license until the applicant therefore has performed or complied with any and every condition precedent prescribed by any provision or provisions of this chapter, including the execution and delivery of any bond required.

Sec. 10-12. License term, expiration; proration of tax.

All taxes provided for in this chapter shall be for twelve (12) months, unless otherwise specified, and shall so remain for each year hereafter until changed by the town council. All the licenses provided for shall date from the 1st day of July of each and every year and shall expire on the 30th day of June of each year; provided, that where the license is issued after January 1st, then the licensee shall be required to pay one-half (¹/₂) the tax prescribed, except where otherwise specifically provided for.

Sec. 10-12.1. Business within an annexed area.

In the event the Town limits shall be extended to include any business, trade or profession that was outside the Town limits on July 1 of any license tax year, such business, trade or profession shall become liable for the payment of privilege license taxes upon the date of its annexation into the corporate limits. All the licenses provided for shall date from the 1st day of July of each and every year and shall expire on the 30th day of June of each year; provided, that where the license is issued after January 1st, then the licensee shall be required to pay one-half (¹/₂) the tax prescribed, except where otherwise specifically provided for.

Sec. 10-13. Display of license.

Every license must be kept prominently displayed at the place of business of the licensee named in the license, or, if the licensee has no fixed place of business, such licensee must keep the same wherever such business is being operated and where it can be inspected at any time by the proper official.

Every vehicle required to be licensed shall display on such vehicle the license tag issued by the town.

Sec. 10-14. Transferability of license.

All licenses granted under this chapter shall be a personal privilege and shall not be transferable.

Sec. 10-15. Abatement of tax.

No license tax shall be abated nor shall any refund of any part thereof be made, in any case where the licensee discontinues his business before the end of the period for which such license was issued.

Sec. 10-16. Replacement of lost or destroyed license or license tag.

Upon satisfactory evidence that any licensee has lost any license or license tag issued to him, or that the same has been destroyed, the town revenue collector may issue to him a duplicate thereof upon payment of a tax of one dollar ($1.00).

Sec. 10-17. New license required when business is changed so as to subject it to payment of additional license tax.

Where the amount of license tax is determined by certain factors existent at the time such license tax is due, or issued, and, after the issuance of such license, the licensee proposes to change such factors so that his business will be subject, under the provisions of this chapter, to a greater license tax, he shall, before making such change, deliver his license to the town revenue collector together with a written and signed statement as to the nature of such proposed change, and shall pay to the town revenue collector the proper additional license tax. The town revenue collector shall thereupon cancel the old license and shall issue to the licensee a new and appropriate license.

Sec. 10-18. Revocation of licenses by council.

Any license issued by the revenue collector may be revoked by the town council upon the finding by the council that the licensee has willfully or persistently violated any ordinance of the town, or any laws of the state, or that such licensee is conducting his business in a fraudulent or unlawful manner or is abusing his license. If it shall be made to appear to the town council that any business licensed with the approval of the council, as hereinbefore provided, has become, because of its location, the character of its management, or the nature or method of operation, or for any such reason, is about to become dangerous to the morals, health or general welfare of the town, or a nuisance of any kind, the town council shall cause a written notice to be served upon the proprietor, manager, or any person who may be in charge of the operation of such business, that a public hearing will be held by the council to determine whether or not the license issued therefore shall be revoked, and such notice shall state the time and place fixed for such hearing. At the time and place so fixed or at such subsequent time as may be then fixed by the council shall proceed to hear the charges made against the licensee and his defense against the same and if the council shall find that such business has become or is about to become dangerous to the morals, health, or general welfare of the town, or a nuisance of any kind, it shall forthwith revoke the license therefore.

Sec. 10-18.1. Special provisions relating to licenses for establishments holding ABC permits.

Authority to deny ABC permit. Pursuant to N.C.G.S. Sec. 105-113.71, the town council may refuse to issue an annual local license, or renewal thereof, for the operation of an establishment required to receive an alcohol beverage privilege license from the town if the council finds that the applicant committed any act or permitted any activity in the preceding year that would be grounds for suspension or revocation of the applicant's permit under the provisions of North Carolina General Statute 18B-104.

Applications to be considered by town manager. Initial applications for a town-issued alcohol beverage privilege license shall be submitted to the town revenue collector for evaluation by the town manager and the manager's designee(s). Specifically, but without limitation, the revenue collector shall refer all such applications and all annual license renewals to the police, fire, and inspections departments.

If none of the three (3) departments recommends the license be denied and no other information is received by town manager indicating grounds for the manager to consider denial, the revenue collector shall issue the license upon payment of the annual license tax.

If any one (1) of the three departments recommends that denial of said application be considered, the matter shall be referred to the town manager, who shall review the recommendations of the three (3) departments and any other relevant information received by the manager.

If the manager determines that there is not sufficient reason to consider denial or non-renewal of an application, he shall issue his determination and direct that the license be issued.

If the manager determines that there is sufficient reason to consider denial or non-renewal of an application on grounds provided for in paragraph (a) above, the manager shall refer the application to the town council for its consideration at the next regular meeting of the council.

Consideration by town council. Upon receiving a recommendation from the town manager that an application for an alcohol beverage privilege license or renewal be denied, before considering whether to deny the license, the council shall give the applicant an opportunity to appear at a hearing before the council and to offer evidence. Any hearing held under the provisions of this section shall be upon at least ten (10) days' notice to the applicant. All persons who present evidence at such a hearing shall be sworn and parties shall have the right to cross-examine witnesses.

Process following council hearing. At the conclusion of the hearing the council shall make written findings of fact based on the evidence presented at the hearing. If the council finds that the application should be issued, it shall direct the manager to issue the requested license. If the council finds that the license should be denied, it shall enter its decision.

Appeal to superior court. The applicant may appeal the denial of a license to the Orange County Superior Court, by an action in the nature of certiorari, if notice of appeal is given within ten (10) days of the denial.

Manager to establish administrative policies. The town manager shall establish any administrative policies and application forms necessary to implement this section.

Sec. 10-19. Procedure on license revocation; refund.

Whenever any license is revoked by the town council under the provisions of sections 10-18 or 10-18.1, the town ~~finance director~~ revenue collector shall, upon application of the person whose license has been revoked, and without further authority from the council, refund to such person the pro rata part of the license tax paid by such person, the amount thereof to be determined, however, on the basis of the number of complete quarters of the fiscal year remaining.

Sec. 10-20. Payment of additional tax where license tax increased.

In any case where any license tax is increased, any licensee affected by such increase shall, within thirty (30) days after such increase becomes effective, deliver to the town revenue collector his license together with the additional tax required, whereupon the town revenue collector shall issue a new and appropriate license to such licensee. Upon the failure of such licensee to pay such additional license tax within said thirty (30) day period, the town revenue collector shall immediately, and without further authority from the council, revoke the license of theretofore issued to such licensee, and shall immediately mail to the licensee written notice of such revocation.

Sec. 10-21. Operating without a franchise or license unlawful.

Operating without a license. Operating a business without a valid, current license required under this chapter, or operating a business after a license issued under this chapter has been revoked is unlawful.

Late payment. Each license tax provided for by this chapter, shall be increased five (5) per cent for each month or fraction thereof during which such license tax remains unpaid after it becomes due and payable.

~~Sec. 10-22. Enforcement.~~

The provisions of this article may be enforced by injunctive remedy and/or the imposition of a civil penalty of fifty dollars ($50.00) as provided by law. Violation of this article shall constitute a misdemeanor. Each day or operation in violation of this article shall constitute a separate civil and/or criminal offense.

Sec. 10-23. Slaughterhouses prohibited; killing beef, sheep, etc., for sale in town prohibited.

No person shall keep or establish a butcher pen or slaughterhouse within the corporate limits of the town or shall kill or have killed therein, for sale within the corporate limits any beef, sheep, goats, hogs or other such animals.

Sec. 10-24. Shooting galleries prohibited.

No shooting galleries shall be allowed in the town.

Sec. 10-25. Operation of certain enterprises prohibited without obtaining a franchise; continuance in operation after expiration of franchise.

From and after the effective date of this section [December 18, 1972], no person shall operate an enterprise as designated by General Statutes, Section 160A-311, or operate a telephone system within the town without first obtaining a franchise from the town, nor shall any person continue to operate such enterprise after the expiration of such franchise, except as provided by law.

Secs. 10-26--~~10-34~~. 10-29 Reserved.”

Section II. Chapter 10 is hereby revised by adding a new Article 1A to read as follows:

“ARTICLE IA LICENSES FOR SPECIFIC BUSINESSES

__________

Sec. 10-1A.01. Alcoholic beverages—Retail.

Every person engaged in the business of selling at retail within the corporate limits of the town malt beverages, including beer, as defined in North Carolina General Statutes Section 105-113.68 shall pay a license tax of:

On-premises, per annum . . . $ 15.00

Off-premises, per annum . . . 5.00

Every person engaged in the business of selling at retail within the corporate limits of the town unfortified wine, as defined in North Carolina General Statutes Section 105-113.68 shall pay a license tax of:

On-premises, per annum . . . $ 15.00

Off-premises, per annum . . . 10.00

The privilege license tax for retailers of fortified wines shall be the same as for retailers of unfortified wines; retailers of both unfortified and fortified wine shall pay only the license tax rate applicable to unfortified wine.

(d) The rate of license tax levied under this section shall be for the first license issued to one (1) person; for each additional license issued to one (1) person an additional tax of ten (10) percent of the base tax shall be levied, such increase to apply progressively for each additional license issued to one (1) person.

Sec. 10-1A.02. Same--Wholesalers.

Every person engaged in the business of dealing in or selling at wholesale beer, lager beer, ale, porter, and other brewed or fermented beverages, unfortified wines or fortified wines, with a place of business located within the corporate limits of the town, shall pay the following tax:

Beer, lager beer, ale, porter, per annum . . . $ 37.50

Fortified wines, unfortified wines, per annum . . . 37.50

License to sell at wholesale all of the above-mentioned beverages or any of them, per annum . . . 62.50

Sec. 10-1A.03. Amusements not otherwise taxed.

Every person engaged in the business of giving, offering, or managing any form of entertainment or amusement not otherwise taxed or specifically exempted, for which an admission is charged, shall pay an annual license tax for each room, hall, tent or other place where such admission charges are made of twenty-five dollars ($25.00). Every person offering or managing any dance or athletic contest of any kind, except high school and elementary school athletic contests, for which an admission tax in excess of fifty cents ($0.50) is charged, shall pay an annual license tax of two dollars and fifty cents ($2.50) for each location where such charges are made.

All exhibitions, performances, and entertainments, except as in this Code expressly mentioned as not exempt, produced by local talent exclusively, and for the benefit of religious, charitable, benevolent, or educational purposes, and where no compensation is paid to such local talents shall be exempt from a license tax.

Sec. 10-1A.04. Same--Bagatelle tables, merry-go-rounds, etc.

Every person engaged in the operation of a bagatelle table, merry-go-round or other riding device, hobby horse, switch-back railway, shooting gallery, swimming pool, skating rink, other amusements of a like kind, or a place for other games or play with or without name (unless used solely and exclusively for private amusement or exercise), at a permanent location shall pay for each subject enumerated an annual license tax of twenty-five dollars ($25.00).

Subsection (a) does not apply to bowling alleys and music machines.

Sec. 10-1A.05. Same--Billiard and pool tables.

Every person who shall rent, maintain, or own a building wherein there is a table or tables at which billiards or pool is played, whether operated by a slot or otherwise, shall pay an annual license tax for each location of twenty-five dollars ($25.00).

Subsection (a) does not apply to fraternal organizations having a national charter, American Legion posts, or posts or other local organizations of other veterans' organizations chartered by Congress or organized and operating on a statewide or nation-wide basis, Young Men's Christian Associations, and Young Women's Christian Associations.

Sec. 10-1A.06. Same--Bowling alleys.

Every person who shall rent, maintain, or own a building wherein, or any premises on which, there is a bowling alley or alleys of like kind shall pay an annual license tax for each alley kept or operated of ten dollars ($10.00).

Subsection (a) does not apply to fraternal organizations having a national charter, American Legion posts, Young Men's Christian Associations, and Young Women's Christian Associations.

Sec. 10.1A.07. Same--Carnival companies, etc.

Every person engaged in the business of a carnival company or a show of like kind, moving picture and vaudeville shows, museums, and menageries, merry-go-rounds, Ferris wheels, riding devices, and other like amusements, and enterprises, conducted for profit, under the same general management, or an aggregate of shows, amusements, eating places, riding devices, or any of them operating together on the same lot or contiguous lots or streets, traveling from place to place, whether owned and operated by separate persons or not, filling week-stand engagements, or giving week-stand exhibitions, under canvas or not, shall pay for each week or part of a week, a license tax of one hundred fifty dollars ($150.00); provided:

When a person, firm or corporation exhibits only riding devices, or riding devices along with two (2) or less concession stands which are not a part of, nor used in connection with any carnival company, the tax shall be five dollars ($5.00) per week for each such riding device or concession stand.

Except for the operation of two (2) or less concession stands as authorized above, it shall be unlawful under this section for the owners or operators of riding devices to operate or cause to be operated, any show, game, stand or other attraction whatsoever.

No person, firm, or corporation, nor any aggregation of same, giving such shows, exhibitions or performances, shall be relieved from the payment of the tax levied in subsection (a), regardless of whether or not the state or any subdivision thereof derives a benefit from the same. No carnival operating or giving performances or exhibitions in connection with any fair shall be relieved from the payment of the tax levied in subsection (a). It is the intent and purpose of this section that every person who is engaged in the giving of such shows, exhibitions, performances, or amusements, whether the whole or a part of the proceeds are for charitable, benevolent, educational, or other purposes whatsoever, shall pay the license taxes provided for in subsection (a).

Sec. 10-1A.08. Same--Circuses, menageries, wild west, dog and/or pony shows, etc.

Every person engaged in the business of exhibiting performances, such as a circus, menagerie, wild west show, dog or pony show, or any other show, exhibition or performance similar thereto, not taxed in other sections of this chapter, shall pay for each day or part of a day a license tax of twenty-five dollars ($25.00).

The provisions of this section, or any other section of this Code, shall not be construed to allow without the payment of the tax imposed in this section, any exhibition or performance described in this section, for charitable, benevolent, educational, or any other purpose whatsoever, by any person who is engaged in giving such exhibitions or performances, no matter what terms of contract may be entered into or under what auspices such exhibitions or performances are given. It is the intent and purpose of this section that every person who is engaged in the business of giving such exhibitions or performances, whether a part or all of the proceeds are for charitable, benevolent, educational, or other purposes or not, shall pay the license tax imposed in this section.

In lieu of the tax levied in section 13-102 of this Code, each circus, or other form of amusement taxed under this section, advertising by means of outdoor advertising shall pay a tax of fifty dollars ($50.00) for the privilege of advertising in this manner. This tax is in addition to the other taxes levied in this section.

Sec. 10-1A.09. Same--Electronic video games.

Every person engaged in the business of owning or operating machines that play electronic video games where a coin or other thing of value is deposited in the machine shall pay an annual license tax for each machine of five dollars ($5.00).

The applicant for license under this section shall, in making application for license, specify the serial number of the video machine or machines proposed to be operated. The license shall not, under any condition, be transferable to any other video machine. The revenue collector may seize any machine not licensed in accordance with this section and may hold the machine until it is duly licensed.

Sec. 10-1A.10. Same--Moving picture shows.

Every person engaged in the business of operating a moving picture show shall pay an annual license tax of two hundred dollars ($200.00) per screening room. Such businesses that operate three (3) days or less per week shall pay an annual license tax of one hundred dollars ($100.00) per screening room.

Sec. 10-1A.11. Same--Outdoor theaters.

Every person engaged in the business of operating an outdoor or drive-in moving picture show or places where vaudeville exhibitions or performances are given for compensation shall pay an annual license tax of one hundred dollars ($100.00).

Sec. 10-1A.12. Same--Selling, leasing or furnishing videos.

Every person engaged in the business of selling, leasing, furnishing or distributing movies, including videos, for use in places where no admission fee is charged shall pay an annual license tax of twenty-five dollars ($25.00) for each location.

Sec. 10-1A.13. Automobile dealers.

Every person engaged in the business of retail selling of motor vehicles, trailers, semi trailers shall pay a license tax of twenty-five dollars ($25.00) per annum for each location where such business is carried on.

If any business taxed under this section is of a seasonal, temporary, transient, or itinerant nature, it must pay a license tax of three hundred dollars on each location.

Sec. 10-1A.14. Automobile supply and service stations.

Every person engaged in the business of servicing, storing, painting, repairing, welding, or upholstering of motor vehicles, trailers, semi trailers, or engaged in the business of retail selling or delivering of any tires, tools, batteries, electrical equipment, automotive accessories, including radios designed for exclusive use in automobiles, or supplies, motor fuels or lubricants, or any such commodities, shall pay a license tax of twelve dollars and fifty cents ($12.50) per annum for each location where such business is carried on.

Every person engaged in the business of buying, selling, distributing, exchanging, or delivering automotive accessories, including radios designed for exclusive use in automobiles, parts, tires, tools, batteries, or other automotive equipment or supplies or any of such commodities at wholesale shall pay an annual license tax for each location where such business is carried on of thirty-seven dollars and fifty cents ($37.50). Any person engaged in the business enumerated in this section and having no located place of business, but selling to retail dealers by use of some form of vehicle, shall pay an annual license tax for each vehicle used in carrying on such business of twenty-five dollars ($25.00). For the purpose of this subsection, "wholesale" shall apply to manufacturers, jobbers and such others who sell to retail dealers, except manufacturers of batteries. No additional license tax under this subsection shall be levied upon or collected from any employee, agent, or salesman whose employer or principal has paid the tax for each location levied in this subsection.

No person, firm, or corporation paying the wholesaler's tax as levied in subsection (b) hereof shall be required to pay any additional tax under subsection (a).

Every person engaged in the business of buying, selling, distributing, servicing, storing, or exchanging motor vehicles, trailers, semi trailers, tires, tools, batteries, electrical equipment, lubricants, or automotive equipment, including radios designed for exclusive use in automobiles, and supplies shall pay an annual license tax for each location where such business is carried on of twenty-five dollars ($25.00). Persons dealing in secondhand or used motor vehicles exclusively shall be liable for the tax unless such business is of a seasonal, temporary, transient, or itinerant nature, in which event the tax shall be three hundred dollars ($300.00) for each location where such business is carried on. Any person who deals exclusively in motor fuels and lubricants and has paid the license tax levied under subsection (a) of this section shall not be subject to any license tax under subsections (b) and (c) of this section. A person, firm or corporation licensed under this subsection is not required to be licensed under subsection (a) or (b). No additional license tax under this subsection shall be levied upon or collected from any employee or salesman whose employer has paid the tax levied in this subsection; nor shall the tax apply to dealers in semi trailers weighing not more than five hundred (500) pounds and carrying not more than a one-thousand-pound load, and to be towed by passenger cars, nor to dealers in four-wheel, farm-type wagons equipped with rubber tires and designed to be pulled or towed by passenger cars or farm tractors. Premises on which cars are stored or sold when owned or operated by a licensed car dealer under the same name shall not be deemed as a separate place of business.

Sec. 10-1A.15. Barbershops, beauty shops, etc.

Every person engaged in the business of conducting a barbershop, beauty shop or parlor, or other shop of like kind shall pay an annual license tax for each barber, manicurist, cosmetologist, beautician, or operator in a beauty parlor, or other shop of like kind in any office, hotel, or other place of two dollars and fifty cents ($2.50).

Sec. 10-1A.16. Bicycle dealers.

Any person engaged in the business of buying or selling bicycles, supplies, and accessories shall pay an annual license tax of twenty-five dollars ($25.00).

Sec. 10-1A.17. Branch or chain stores.

Every person engaged in the business of operating or maintaining, under the same general management, supervision, or ownership, two (2) or more stores, or mercantile establishments where goods, wares or merchandise are sold or offered for sale, or from which such goods, wares or merchandise are sold or distributed at wholesale or retail, or controls by lease, either as lessor or lessee, or by contract, the manner in which any such store or stores are operated, or the kinds, character, or brands of merchandise which are sold therein, shall be deemed a branch or chain store operator, and shall pay an annual license tax on each and every store of fifty dollars ($50.00), except that the store in which the principal office is located shall not be taxed under this section.

The term "chain store," as used in this section, shall include stores operated under separate charters of incorporation, if there is common ownership of a majority of stock in such separately incorporated companies, or if there is similarity of name of such separately incorporated companies, or if such separately incorporated companies have the benefit in whole or in part of group purchase of merchandise, or of common management. In like manner the term "chain store" shall apply to any group of stores where a majority of interest is owned by an individual or partnership.

This section shall not apply to:

Businesses that operate a single franchise where the varieties of goods sold are controlled by contract, but the ownership of each store is separate.

Retail stores of nonprofit organizations engaged exclusively in the sale of merchandise processed by handicapped persons employed.

Manufacturers, retail or wholesale dealers solely by reason of sale of fertilizers, farm chemicals, soil preparents or seeds.

Retail outlets owned and operated by wholesale bakeries at a location separate and apart from the wholesale bakery under the same ownership, management and control of the wholesale bakery and used solely as outlets for the disposition at retail surplus or broken products of the wholesale bakery operating same and which do not deal in any other products and where the operation of such stores is only incidental to the operation of the wholesale bakery, such stores being commonly known as bakery thrift stores.

Retail or wholesale dealers in motor vehicles and automotive equipment and supply dealers at wholesale who are not liable for tax hereunder on account of the sale of other merchandise.

Sec. 10-1A.18. Campgrounds, Trailer Courts, Tent Camping, etc.

Every person engaged in the business of operating a campground, trailer park, tent camping area, or similar place for profit, advertising in any manner for transient patronage, or soliciting such business, regardless of whether the rental to patrons is on a daily, weekly, biweekly, or monthly basis, shall pay an annual license tax of twelve dollars and fifty cents ($12.50) for each location.

Sec. 10-1A.19. Check cashing business

Every person engaged in the business cashing checks, drafts, or money orders for a fee shall pay an annual tax of one hundred dollars ($100.00) for each location. Banks, savings institutions, credit unions, farm credit systems, and businesses principally engaged in the retail sale of goods or services are exempt from the taxes levied in this section.

Sec. 10-1A.20. Collection agencies.

Every person engaged in the business of collecting, for a profit, claims, accounts, bills, notes, or other money obligations for others, and of rendering an account for same, shall be deemed a collection agency, and shall pay an annual license tax of one hundred dollars ($100.00).

Subsection (a) does not apply to a regularly licensed practicing attorney at law.

Sec. 10-1A.21. Contractors and construction companies—Generally.

Every person who has obtained a current state contractor's license under section 105-54 of the North Carolina General Statutes and who for a fixed price, commission, fee, or wage, offers or bids to construct within the town any building, highway, street, sidewalk, bridge, culvert, sewer or water system, reservoir or dam, hydraulic or power plant, transmission line, tower, dock, wharf, excavation, grading, or other improvement or structure, or any part thereof, shall pay an annual license tax of ten dollars ($10.00).

No employee or subcontractor of any person, who has paid the tax provided for in subsection (a), shall be required to pay the license tax provided for in subsection (a) while so employed by such person.

This section shall not apply to plumbers, heating contractors or electricians.

Sec. 10-1A.22. Same--Plumbers, heating contractors, and electricians.

Every person engaged in the business of a plumber, installing plumbing fixtures, piping or equipment, steam or gas fitter, or installing hot-air heating system, or installing electrical equipment, or offering to perform such services, shall pay an annual license tax of fifty dollars ($50.00). Any person engaged exclusively in the businesses enumerated in and licensed under this section shall not be liable for the tax on contractors, construction companies, installers of elevators and automatic sprinkler systems, and persons repairing elevators and automatic sprinkler systems.

With respect to electricians and electrical contractors, a license procured under this section shall cover the installation of electrical equipment, fixtures and wiring in or upon the consumer's premises, or on the "customer's side" of the point of delivery of electric service, but shall not cover the installation of or service to transmission or distribution lines or work in the "distributor's side" of the point of delivery of electric service. With respect to plumbers and plumbing contractors, a license procured under this section shall cover plumbing work and plumbing installation in buildings and upon the premises upon which the buildings are situated and up to the connection with the sewer or water mains, but shall not cover the construction of or work upon water or sewer systems or mains.

Sec. 10-1A.23. Same--Installing elevators and automatic sprinkler systems.

Every person engaged in the business of selling or installing elevators or automatic sprinkler systems shall pay an annual license tax of one hundred dollars ($100.00). No person who does not maintain an established place of business in the town shall be liable for the tax levied under this section, nor shall the tax apply to plumbers, heating contractors, and electricians.

Sec. 10-1A.24. Same – Mechanical contractors, repairmen

Every person engaged in the business of repairing and/ or servicing mechanical equipment (excluding any businesses specifically listed in this other parts of this section) shall pay an annual license tax of fifty dollars ($50.00).

Sec. 10-1A.25. Same--Miscellaneous.

Every person engaged in the business of construction or engaged in the business as a building contractor, (who is not licensed by the state as a building contractor) tree service contractor, sign contractor, painting and wallpaper contractor, awning installer, sheet metal contractor, tinning contractor, roofing contractor, ventilation contractor, wrecking or house moving contractor, or insulation contractor shall pay an annual license tax of fifty dollars ($50.00).

Sec. 10-1A.26. Dry Cleaners, pressing clubs, and hat blockers.

Every person engaging in the business of operating a dry cleaning, pressing or hat blocking business shall, for each place of business, pay an annual license tax of fifty dollars ($50.00).

If a place of business solicits outside the county where the place of business is located, the license tax shall be one hundred dollars ($100.00).

Every person engaged in the business of soliciting dry cleaning or pressing work to be done by a place of business that is not liable for a state license tax shall pay a tax of one hundred dollars ($100.00). The holder of a soliciting license shall carry the license in the cab of any vehicle used in soliciting in this town.

Definitions.

Dry cleaning, pressing or hat blocking business. A place of business where the service of dry cleaning, wet cleaning incidental to dry cleaning, spotting, pressing, finishing, or reblocking hats, garments, or wearing apparel of any kind is performed or accepted to be performed but where the actual dry cleaning or pressing is not performed on the premises.

Place of business. A fixed place at which a business is maintained.

Soliciting. Accepting an article or a garment to be dry cleaned or pressed by taking physical possession of the article or garment.

This section does not apply to any bona fide student of any college or university in this town operating a pressing or dry cleaning business at the college or university during the school term of the college or university.

Sec. 10-1A.27. Emigrant and employment agents.

Every person, either as agent or principal, engaged in the business of soliciting, hiring, or contracting with laborers, male or female, for employment out of the state shall pay an annual license tax of one hundred dollars ($100.00).

Every person who engages in the business of securing employment for a person or persons and charging therefore a fee, commission, or other compensation, shall pay an annual license tax of one hundred dollars ($100.00).

This section shall not apply to any employment agency operated by the federal government, the state, any county or municipality, or whose sole business is procuring employees for work in the production and harvesting of farm crops within the state. Under this section the tax on any employment agency whose sole business is the placement of teachers or other school employees and which has been approved by the state superintendent of public instruction shall be fifty dollars ($50.00). The tax on employment agencies where the sole business is the placement of domestic servants or unregistered nurses for employment within the state shall be fifty dollars ($50.00).

Sec. 10-1A.28. Escort Service

Every person engaged in the legitimate of providing companionship to individuals for a fee shall pay an annual tax of five hundred dollars ($500.00) for each location.

Sec. 10-1A.29. Exhibition shows.

Every person using a location for the purposes of promoting the display or sale of merchandise, wares or other tangible items in connection with an exhibition show shall pay for each such exhibition show a license fee per week or fraction thereof of two hundred dollars ($200.00).

However, when an exhibition of arts, crafts or other items of merchandise is totally sponsored by a nonprofit organization conducting the exhibition show for charitable, cultural, religious or civic purposes, and no person or corporation outside of the organization is hired or engaged to promote such exhibition for a fee or percentage, and there is no buying, selling, trading or taking of orders for future delivery, the organization shall pay a license tax of ten dollars ($10.00) per week or fraction thereof. However, when an exhibition of arts, crafts or other items of merchandise is totally sponsored by a nonprofit organization conducting the exhibition show for charitable, cultural, religious or civic purposes, and no person or corporation outside of the organization is hired or engaged to promote such exhibition for a fee or percentage, and there is any buying, selling, trading or taking of orders for future delivery, the organization shall pay a license tax of fifty dollars ($50.00) per week or fraction thereof.

Where a group of exhibitors place merchandise in the same location under one (1) general management or promoter, the total tax prescribed by this section shall be due from the manager or promoter and each such exhibitor shall be exempt from this or any other privilege license tax. Any other exemptions provided for by this article shall not apply to the license required by this section.

In this section "exhibition show" means an exhibition or show where merchandise, wares or other tangible items are displayed for show and/or sale either out-of-doors or in a building occupied in whole or part for a period not to exceed one (1) week.

Sec. 10-1A.30. Fortune Tellers

Every person engaging in the business of telling or pretending to tell fortunes, practice the art of palmistry, clairvoyance, and other crafts of a similar nature for a reward shall pay an annual tax of five hundred dollars ($500.00) for each location.

Sec. 10-1A.31. Hotels, motels, boardinghouses, roominghouses, tourist homes and tourist courts.

Every person engaged in the business of operating any hotel, motel, boardinghouse, roominghouse, tourist home, tourist court or similar place advertising in any manner for transient patronage shall pay an annual license tax thereon of one dollar ($1.00) per room; provided, however, the license tax shall not be less than twenty-five dollars ($25.00).

The lobby, club room, office, dining room, kitchen and rooms occupied by the owner or lessee of the premises, or members of his family, for his or their personal or private use, shall not be counted when calculating the number of rooms for the basis of the license tax.

The tax provided for in this section shall apply whether the charges are made at daily, weekly, biweekly or monthly rate; such tax shall also apply as to any particular room whether or not such room is occupied by a permanent guest.

The tax herein levied shall be in addition to any tax levied for the sale of prepared food.

Numbering of rooms. Each sleeping room or living room unit in the businesses subject to this section shall be numbered or designated in a plain, conspicuous manner. Such number or designation shall be placed on the outside of the outer door of each sleeping room or living room unit, and no two (2) units shall bear the same number.

Guest register. Every person engaged in the business subject to this section, shall at all times keep and maintain therein a guest register in which shall be inscribed the true name and home address of each person renting said room or unit, as well as such person's vehicle description and license plate information. Such register shall be signed by the person renting said room or unit or someone signing by his authority.

The proprietor of such business shall write opposite such name so registered, the number of each room or unit assigned to and occupied by such guest, together with the date when such room or unit is rented. No person shall be allowed to occupy any room or unit in said establishment until all of the aforementioned entries have been made in such register.

The register required by this section shall be maintained by the proprietor of said business for one year of the date of rental, and subject to inspection at any reasonable time by any law-enforcement officer with territorial jurisdiction while in the performance of his duties or by an official of the fire prevention bureau of the town.

The guest vehicle parking area of any business licensed under this section shall be accessible at all times to any public safety officer in the performance of his duties.

Penalty. Any violation of subsections (e) through (g) of this section shall be a misdemeanor, punishable by imprisonment up to thirty (30) days, or a fine of up to one hundred dollars ($100.00), in the discretion of the court.

Sec. 10-1A.32. Ice cream manufacturers, dealers, etc.

Every person engaged in the business of manufacturing or distributing ice cream at wholesale shall pay for each factory or place where manufactured or stored for distribution the following base tax:

Where the machine or the equipment unit used is of the continuous freezer type the rate of tax shall be $0.375 per gallon capacity based on the rated capacity in gallons per hour according to the manufacturer's rating of such freezer or freezers, but in no case shall the tax be less than twelve dollars and fifty cents ($12.50) per annum for any freezer or freezers used.

Where the machine or equipment unit used is not of the continuous freezer type the rate of tax shall be one dollar and twenty-five cents ($1.25) per gallon capacity for the freezer or freezers used, but in no case shall the tax be less than twelve dollars and fifty cents ($12.50) per annum for any freezer or freezers used.

The revenue collector shall have the right to check the correctness or accuracy of any such manufacturer's rating herein referred to and to levy the tax herein authorized on the basis of such determined capacity. Where no standard freezer equipment with manufacturer's capacity rating is used, a tax of twelve dollars and fifty cents ($12.50) shall apply. The license tax herein shall not apply to any farmer who manufactures and sells only the products of his own cows.

Every person selling or delivering ice cream on which the tax has not been paid under the provisions of this section shall pay an annual license tax of twenty-five dollars ($25.00) per truck, automobile or vehicle. The license shall be posted in the cab of the truck, automobile or other vehicle.

For the purpose of this section the words "ice cream" shall apply to ice cream, frozen custards, sherbets, water ices, or similar frozen products.

Ice Cream - Retail : Every retail dealer selling at retail ice cream purchased from a manufacturer or other than a manufacturer who has paid the tax imposed in subsection (a) or (b) of this section or a manufacturer using counter freezer equipment and selling ice cream at retail only shall pay an annual license tax of two dollars and fifty cents ($2.50).

Sec. 10-1A.33. Laundries.

Every person engaged in the business of operating a laundry, including wet or damp wash laundries and businesses known as " launderettes," "launderalls" and similar type businesses, where steam, electritown, or other power is used, or who engages in the business of supplying or renting clean linen or towels or wearing apparel, shall pay an annual license tax of fifty dollars ($50.00).

If a place of business solicits outside the county where the place of business is located, the license tax is one hundred dollars ($100.00).

Every person engaged in the business of soliciting laundry work to be done by a laundry or plant

that has not paid a state license tax shall pay an annual tax of one hundred dollars ($100.00) and shall carry the license in the cab of any vehicle used in soliciting in this town.

Sec. 10-1A.34. Loan agencies or brokers.

Every person engaged in the regular business of making loans or lending money, accepting liens on, or contracts of assignment of, salaries or wages, or any part thereof, or other security or evidence of debt for repayment of such loans in installment payments or otherwise, and maintaining in connection with same any office or other location or established place for the conduct, negotiation, or transaction of such business or advertising or soliciting such business in any manner whatsoever, shall be deemed a loan agency, and shall pay an annual license tax of one hundred dollars ($100.00).

Subsection (a) does not apply to:

Banks, industrial banks, trust companies, building and loan associations, cooperative credit unions.

Installment paper dealers.

The business of negotiating loans on real estate, nor to pawnbrokers lending or advancing money on specific articles of personal property.

Subsection (a) does apply to:

Those persons operating what are commonly known as loan companies or finance companies and whose business is as hereinbefore described.

Those persons pursuing the business of lending money and taking as security for the payment of such loan and interest an assignment of wages or an assignment of wages with power of attorney to collect same, or other order or chattel mortgage or bill of sale upon households or kitchen furniture.

Sec. 10-1A.35. Miscellaneous

Every person engaged in a non-exempt business for which a specific tax is listed in this section specifically for that type of business shall pay an annual tax based on the gross receipts of said business and based on the following schedule:

Gross Receipts Tax

$0 – 50,000 $25.00

$50,001 – 100,000 $50.00

over $100,000 $75.00

Sec. 10-1A.36. Motorcycle dealers.

Every person engaged in the business of buying, selling, distributing, or exchanging motorcycles or motorcycle supplies, or any of such commodities shall pay an annual license tax for each location where such business is carried on of twelve dollars and fifty cents ($12.50).

A motorcycle dealer paying the license tax under this section may buy, sell, or deal in bicycles and bicycle supplies without the payment of an additional license tax. No additional license tax shall be levied upon or collected from any employee or salesman whose employer has paid the tax levied in this section.

Sec. 10-1A.37. Music machines.

Every person engaged in the business of operating, maintaining, or placing on location any machine or machines which plays records, or produces music, shall pay an annual license tax for each machine of five dollars ($5.00).

The applicant for a license under this section shall, in making application for license, specify the serial number of the machine or machines proposed to be operated, together with a description of the service offered for sale thereby, and the amounts of deposit required by or in connection with the operation of such machine or machines. The license shall carry the serial number to correspond with that on the application, and no such license shall under any condition be transferable to any other machines. It shall be the duty of the person in whose place of business the machine is operated or located to see that the proper license is attached in a conspicuous place on the machine before its operation shall commence.

Sec. 10-1A.38. Outdoor advertising.

Every person who is engaged in the business of outdoor advertising by placing, erecting, or maintaining one (1) or more outdoor advertising signs or structures of any nature by means of signboards, poster boards, or printed bulletins, or other painted matter, or any outdoor advertising devices, erected upon the grounds, walls or roofs of buildings shall pay an annual license tax of thirty-five dollars ($35.00).

The tax levied in this section shall not apply to regularly licensed motion picture theaters upon any advertising signs, structures, boards, bulletins, or other devices erected by or placed by the theater upon property which the theater has secured by permission of the owner.

Every person who places, erects or maintains one (1) or more outdoor advertising signs, structures, boards, bulletins or devices as specified in this section shall be deemed to be engaged in the business of outdoor advertising.

Every person maintaining signboards, poster boards, printed bulletins, or other outdoor advertisements of any nature shall have imprinted on the same the name of such person, firm, or corporation in sufficient size to be plainly visible and permanently affixed thereto.

The following signs and announcements are exempted from the provisions of this section:

Signs upon property advertising the business conducted thereon.

Notices or advertisements erected by public authority or required by law in any legal proceedings.

Any sign containing sixty (60) square feet or less bearing an announcement of the town advertising itself; provided, the same is maintained at public expense.

No tax shall be levied under this section against any person painting, posting or otherwise displaying signs or panels advertising his or its own business containing twelve (12) square feet or less of advertising surface; provided, that this exemption shall not apply if the signs or panels are displayed in more than five (5) counties.

Sec. 10-1A.39. Pawnbrokers.

Every person engaged in and conducting the business of lending or advancing money or other things of value for a profit, and taking as a pledge for such loan specific articles of personal property, to be forfeited if payment is not made within a definite time shall be deemed a pawnbroker, and shall pay an annual license tax of one hundred dollars ($100.00).

Sec. 10-1A.40. Peddlers and itinerant merchants.

Peddlers. Every person engaged in business or employed as a peddler shall obtain a license for the privilege of peddling goods and shall pay a tax for the license in the amount specified in this section. A peddler is a person who travels from place to place with an inventory of goods, who sells the goods at retail or offers the goods for sale at retail, and who delivers the identical goods he carries with him. A peddler who travels from place to place on foot shall pay a tax of ten dollars ($10.00). A peddler who travels from place to place by vehicle shall pay a tax of twenty-five dollars ($25.00).

Itinerant merchant. Every person engaged in business as an itinerant merchant shall obtain a license for the privilege of engaging in business and shall pay a tax for the license of one hundred dollars ($100.00). An itinerant merchant is a merchant, other than a merchant with an established retail store in the town, who transports an inventory of goods to a building, vacant lot, or other location in the town and who, at that location, displays the goods for sale and sells the goods at retail or offers the goods for sale at retail. A merchant who sells goods, other than farm products, for less than six (6) consecutive months is considered an itinerant merchant unless he stops selling goods in the town because of his death or disablement, the insolvency of his business, or the destruction of his inventory by fire or other catastrophe.

Exemptions. This section does not apply to the following:

Peddler or itinerant merchant who:

Sells farm or nursery products produced by him;

Sells crafts or goods made by him or his own household personal property.

Is a nonprofit charitable, educational, religious, scientific, or civic organization.

Sells printed material, wood for fuel, ice, seafood, meat, poultry, livestock, eggs, dairy products, bread, cakes, or pies.

Is an authorized automobile dealer licensed pursuant to Chapter 20 of the General Statutes.

A peddler who maintains a fixed, permanent location from which he makes at least ninety (90) percent of his sales, but who sells some goods in the town of his fixed location by peddling.

Itinerant merchant who:

Locates at a farmers market.

Is a part of an agricultural fair which is licensed by the commissioner of agriculture pursuant to

General Statutes 106-520.3.

Sells goods at an auction conducted by an auctioneer licensed pursuant to Chapter 85B of the General Statutes.

A peddler who complies with the requirements of General Statutes 25A-38 through General Statutes 25A-42 or who complies with the requirements of General Statutes 14-401.13.

Person defined. As used in this section, "person" has the same meaning as in General Statutes 105-164.3(11).

Special exemption from tax. The board of county commissioners of any county in this state, upon proper application, may exempt from the annual license tax levied upon peddlers and itinerant merchants in this section, disabled veterans of World War I, World War II, the Korean Conflict and Vietnam War who have been bona fide residents of this state for twelve (12) or more months continuously and widows with dependent children; and who so exempt, the board of county commissioners shall furnish such person or persons with a certificate of exemption and such certificate shall entitle the holder thereof to sell within the limits of the town without payment of any license tax to the town.

Display and possession of license and identification. An itinerant merchant shall keep the license required by this section conspicuously and prominently displayed so as to be visible for inspection by patrons of the itinerant merchant at the place or locations at which the goods are to be sold or offered for sale. A peddler shall have a license required by this section with him at all times he offers goods for sale and must produce them upon the request of any customer, state or local revenue or law enforcement agent.

Upon the request of any customer, state or local revenue or law enforcement agent, a peddler or itinerant merchant shall provide its name and permanent address. If the peddler or itinerant merchant is not a corporation, he shall, upon the request of any customer, state or local revenue or law enforcement agent, provide a valid drivers license, a special identification card issued under General Statutes 20-37.7, Military Identification, or a passport bearing a physical description of the person named reasonably describing the peddler or itinerant merchant. If the peddler or itinerant merchant is a corporation, it shall, upon the request of any customer, state or local revenue or law enforcement agent, give the name and registered agent of the corporation and the address of the registered office of the corporation, as filed with the North Carolina Secretary of State.

Permission of property owner. An itinerant merchant or a peddler who travels from place to place by vehicle, in addition to other requirements of this section, shall obtain a written statement, signed by the owner or lessee of any property upon which the itinerant merchant or peddler offers goods for sale giving the owners or lessees permission to offer goods for sale upon the property of the owner or lessee, the location of the premises for which the permission is granted, and the dates during which the permission is valid. Further, such statements shall be conspicuously and prominently displayed, so as to be visible for inspection by patrons of the itinerant merchant or peddler, at the places or locations at which the goods are to be sold or offered for sale.

Sec. 10-1A.41. Pianos, organs, victrolas, records, radios, accessories.

Every person engaged in the business of selling, offering or ordering for sale, repairing or servicing any tape players, tape cartridges designed for use in tape players, pianos, organs, graphophones, victrolas, or other instruments using discs or cylinder records, or the sale of records for either or all of these instruments, television sets, television accessories and repair parts, radios or radio accessories and repair parts, including radios designed for exclusive use in automobiles, shall pay an annual license tax of five dollars ($5.00); provided, that persons licensed under this section shall not be required to procure a license for automobiles and service stations by reason of being engaged in the business of selling, installing, or servicing automobile radios.

Any person applying for and obtaining a license under this section may employ traveling representatives or agents, but such traveling agents or representatives shall pay a license tax of five dollars ($5.00).

Sec. 10-1A.42. Restaurants.

Every person engaged in the business of operating a restaurant, cafe, cafeteria, hotel with dining service on the European plan, drugstore, or other place where prepared food is sold, shall pay an annual license tax of:

Eighty-five dollars ($85.00) for a business that has seating for at least five (5) customers; or

Twenty-five dollars ($25.00) for a business that has a seating capacity for four (4) customers or less.

Subsection (a) shall not apply to industrial plants maintaining a nonprofit restaurant, cafe, or cafeteria solely for the convenience of its employees.

This section does not apply to the privilege of operating vending machines or the sale of any commodity through such machines licensed under North Carolina General Statutes section 105-65.1 and required by such section to pay a tax.

Sec. 10-1A.43. Security dealers.

Every person engaged in the business of dealing in securities, as defined in North Carolina Securities Act [G.S. Ch. 78A] and who maintains a place for or engages in the business of buying or selling shares of stock in any corporation, bonds, or any other securities on commission or brokerage, shall pay an annual license tax based upon the annual gross receipts of the services provided by such business according to the following schedule:

Gross Receipts Tax

$0 – 50,000 $25.00

$50,001 – 100,000 $50.00

over $100,000 $75.00

Sec. 10-1A.44. Service establishments and businesses.

Every person engaged in the business of rendering or furnishing personal, financial, industrial, commercial, or home services to others for compensation and not otherwise specifically taxed under this chapter and not exempt from taxation for license tax purposes by the statutes of the state, shall procure a license for the privilege of engaging in such business in this town and shall pay for each store or place of business operated by him an annual tax based upon the annual gross receipts of the services provided by such business according to the following schedule:

Gross Receipts Tax

$0 – 50,000 $25.00

$50,001 – 100,000 $50.00

over $100,000 $75.00

Sec. 10-1A.45. Solicitors.

Every person who travels from place to place taking or offering to take orders for the sale of goods for future delivery or for personal services to be performed in the future, regardless of whether samples are displayed or money is collected in advance, and every person who uses or occupies any building or premises for the sole purpose of taking or offering to take orders for the sale of goods for future delivery or for personal services to be performed in the future, regardless of whether samples are displayed or money is collected in advance, shall pay a license tax as follows:

Gross Receipts Tax

$0 – 50,000 $25.00

$50,001 – 100,000 $50.00

over $100,000 $75.00

The license tax levied in this section shall not apply to any solicitor engaged in interstate commerce, but such solicitor shall secure a license appropriately marked to show such an exemption.

Sec. 10-1A.46. Specialty market operator.

Every person using a location for the purpose of promoting the display or sale of merchandise, wares or other tangible items in connection with a specialty market as defined in N.C.G.S. 105-53 shall pay an annual license tax of two hundred dollars ($200.00).

Where a group of exhibitors places merchandise in the same location under one general manager or promoter, the total tax prescribed by this section shall be due from the manager or promoter and all others shall be exempt from this privilege license tax.

An itinerant merchant's license is not required to engage in, the business of a vendor at a location licensed as a specialty market under this section or a specialty market that is exempt from the license requirements because the specialty market operator is the state or a unit of local government.

Display and possession of licenses and identification. A specialty market operator shall have the license required by this section available for inspection during all times the specialty market is open and must produce it upon request of any customer, state and/or local revenue or law enforcement officer or agent.

Upon the request of any customer, state and/or local revenue or law enforcement agent, a specialty market operator shall provide its name and permanent address. If the specialty market operator is not a corporation, he shall, upon the request of any customer, state and/or local revenue or law enforcement officer or agent, provide a valid drivers license, a special identification card issued under G.S. Section 20-37.7, military identification, or a passport bearing a physical description of the person named reasonably describing the specialty market operator. If the specialty market operator is a corporation, it shall, upon the request of any customer, state and/or local revenue or law enforcement officer or agent, give name and registered agent of the corporation and the address of the registered office of the corporation as filed with the North Carolina Secretary of State.

Specialty market registration list. A specialty market operator shall maintain a daily registration list of all vendors selling or offering goods for sale at the specialty market. This registration list shall clearly and legibly show each vendor's name and permanent address. The specialty market operator shall require each vendor to exhibit a valid town privilege license for visual inspection by the specialty market operator at the time of registration, and shall require each vendor to keep the license conspicuously and prominently displayed so as to be visible for inspection by patrons of the vendor at the places or locations at which the goods are sold or offered for sale. Each daily registration list maintained pursuant to this section shall be retained by the specialty market operator for no less than two (2) years and shall, at any time, be made available upon request to any state or local revenue or law enforcement officer or agent.

Sec. 10-1A.47. Specialty market vendor.

A specialty market vendor is a person who transports an inventory of goods to a specialty market licensed under Section 13.111.1(a) of this Code and who, at that location displays the goods for sale and sells the goods or offers the goods for sale. A specialty market vendor shall pay an annual license tax of twenty-five dollars ($25.00).

A specialty market vendor shall keep the license required by this section conspicuously and prominently displayed so as to be visible for inspection by patrons of the vendor at the place or locations at which the goods are to be sold or offered for sale. A specialty market vendor shall have a license required by this section with him at all times he offers goods for sale and must produce them upon request of any customer, state or local revenue or law enforcement agent.

Upon the request of any customer, state or local revenue or law enforcement agent, a specialty market vendor shall provide its name and permanent address. If the vendor is not a corporation, he shall, upon the request of any customer, state or local revenue or law enforcement agent, provide a valid drivers license, a special identification card issued under General Statute Section 20-37.7, military identification, or a passport bearing a physical description of the person named reasonably describing the specialty market vendor. If the vendor is a corporation, it shall, upon the request of any customer, state or local revenue or law enforcement agent, give the name and registered agent of the corporation and the address of the registered office of the corporation, as filed with the North Carolina Secretary of State.

Sec. 10-1A.48. Sundries including sandwiches, soft drinks and tobaccos.

Every person engaged in any or all of the following businesses shall pay a license tax of four dollars ($4.00) per annum:

The sale of sandwiches in drugstores, service stations or any other stands or places not licensed and taxed as a restaurant under section 13-107.

The operation of a soda fountain or soft drink stand.

The retailing or jobbing of cigarettes, cigars, chewing tobacco, snuff or any other tobacco products.

Subsection (a) does not apply where sundries are dispensed through vending machines.

Sec. 10-1A.49. Taxicabs.

Every person engaged in the business of keeping or operating taxicabs for hire shall pay an annual license tax for each taxicab of twenty-five dollars ($25.00).

Sec. 10-1A.50. Tobacco warehouses.

Every person engaged in the business of operating a warehouse for the sale of leaf tobacco upon commission shall pay an annual license tax for each warehouse of fifty dollars ($50.00).

Sec. 10-1A.51. Undertakers and retail dealers in coffins.

Every person engaged in the business of burying the dead, or in the retail sale of coffins shall pay an annual license tax of fifty dollars ($50.00). This section does not apply to a cabinetmaker (who is not an undertaker) who makes coffins to order.

Sec. 10-1A.52. Telegraph companies.

Every telegraph company engaged in business within the town shall pay an annual license tax of fifty dollars ($50.00).

Sec. 10-1A.53. Weapons dealers.

Every person who is engaged in the business of keeping in stock, selling, or offering for sale any of the articles or commodities enumerated in this section shall pay a license tax as follows:

Firearms other than antique firearms, fifty dollars ($50.00).

For bowie knives, dirks, daggers, leaded canes, iron or metallic knuckles, or articles of like kind, two hundred dollars ($200.00).

For blank cartridge pistols, fifty dollars ($50.00).

If such person deals only in metallic cartridges, five dollars ($5.00).”

Section III. Chapter 10 is hereby revised by adding a new Article 1B to read as follows:

“ARTICLE IB. ENFORCEMENT AND INVESTIGATIVE PROCEDURES
__________

Sec. 10-1B.01 Penalty for providing false information.

Any person who willfully makes a false statement on a license application shall be guilty of a misdemeanor and, upon conviction, shall be fined or imprisoned in the discretion of the court and any fine shall be in addition to the amount of the tax.

Sec. 10-1B.02. Withholding information.

The revenue collector will automatically deny the license application of any business that withholds relevant information on the license application. If the business refuses to supply the required information, the business will be considered to be operating without a license and will be subject to prosecution and revocation of other licenses and permits which require a valid privilege

Sec. 10-1B.03. Enforcement.

Sec. 10-1B.04. Investigative powers of revenue collector.

The town revenue collector or designee may examine the books, papers and records of any licensee in order to ascertain the amount of license tax due under the provisions of this article.

Each licensee shall give to revenue collector the means, facilities and opportunity for the making of such examination and investigation.

The revenue collector or designee is hereby authorized to examine any person under oath concerning the matters set forth in this section, and to this end he may compel the production of books, papers, records, and the attendance of all persons before him, whether as parties or as witnesses whom he believes to have knowledge of the matters set forth in this section, to the extent that any officer empowered to administer oaths in this state is permitted to cause such coercion.

Each person who conducts a business taxed under this article shall keep all records and books necessary to compute the tax liability. If a person fails to keep books and records as required, the revenue collector shall make a determination of that person's tax liability from the information available.

Each person who conducts business in the town shall permit the revenue collector or designee to inspect the business premises during normal business hours to determine the nature of the business conducted there and to examine the books and records to determine the nature and amount of business transacted.

Sec. 10-1B.05. Notice of deficiency.

If the revenue collector determines that a person has not paid the full amount of tax due under this article, either for the current license year or for a prior license year, the revenue collector shall give the person written notice of the deficiency, in accordance with section 9-57. The notice of deficiency shall specify the following:

The total amount of tax due;

The section of this article upon which the tax is based;

The amount of tax paid;

Any interest due;

The balance owed;

The manner and time period in which the person may respond to the notice of the deficiency; and

The consequences of failing to respond as specified.

Sec. 10-1B.06. Conference.

The person receiving notice of the privilege license tax deficiency may, within ten days after the day on which notice is served, request a conference in writing. The request shall specify the person's objections to the notice of deficiency. By way of illustration but not limitation, the person who receives notice of a deficiency may object on the following grounds:

The tax due has already been paid;

The revenue collector miscalculated the amount of tax due;

The revenue collector based his calculations on incorrect or insufficient information concerning either the nature or the amount of business conducted; or

The revenue collector based the determination on an erroneous interpretation of a section of this article that establishes a category of business subject to a particular tax.

If the taxpayer requests a conference, the revenue collector shall not proceed to collect the privilege license tax deficiency until hearing the taxpayer's objections and determining that the deficiency should become final.

Sec. 10-1B.07. Information obtained by revenue collector confidential.

Any information gained by the town revenue collector as a result of any investigations, hearings, etc., as required or authorized by this article, shall be confidential, except for official purposes and except in accordance with proper judicial order or as otherwise provided by law, and it shall be unlawful to divulge such information; provided, however the town revenue collector may disclose to the state commissioner of revenue, or his duly authorized agent all such information and right to inspect any of the books and records of the town revenue collector if the commissioner grants to the town revenue collector the reciprocal right to obtain information from the files and records of the state department of revenue and maintains the privileged character of the information so furnished him.

Sec. 10-1B.08. Amount of tax disputed.

If disputes arise over the amount of the privilege license tax the revenue collector determines to be due, the applicant may either refuse to pay and request a conference with the finance director to discuss the determination or pay the amount and request a conference to discuss the right to a refund. If a conference is requested, the revenue collector shall arrange it within a reasonable time.

Sec. 10-1B.09. Finality of deficiency determination.

If the taxpayer fails to request a conference under section 10-22.03, the privilege license tax deficiency becomes final and the revenue collector shall proceed to collect the deficiency.

Sec. 10-1B.10. Procedure for providing notice to applicant or licensee.

Whenever this article requires the revenue collector to give a written statement or notice to an applicant or a licensee, the revenue collector may do so in one of the following ways:

By personally delivering the statement or notice to the applicant or licensee;

By mailing the statement or notice by registered or certified mail and returning the receipt requested to the address specified for that purpose in the license application; or

By causing the statement or notice to be served on the applicant or licensee in accordance with the procedures for service of process under rule 4, state Rules of Civil Procedure.

Sec. 10-1B.11. Enforcement and collection of deficiency.

The revenue collector may use any of the following methods to collect a privilege license tax deficiency:

Criminal prosecution in accordance with section;

Equitable relief - the town may seek an injunction against any person who conducts a business in violation of Article 1, 1A or 1B of this Chapter.

The remedies of levy, sale, attachment and garnishment in accordance with G.S. 160A-207; or (4) The remedies of levy and sale of real and personal property of the taxpayer within the town in accordance with the provisions of G.S. 105-109.

Any person who commences or continues to conduct a business taxed under this article without payment of the tax is liable for the additional tax of five percent every 30 days as imposed by G.S. 105-109.

Sec. 10-1B.12. Penalties

Penalty. It shall be a misdemeanor, punishable by imprisonment up to thirty (30) days, a fine of up to two hundred dollars ($200.00), or both for a person to:

Fail to obtain a license as required by Section10-1A.40, 10-1A.46, 10-1A.47

Knowingly give false information in the application process for a license or when registering pursuant to section 13-111.1(e).

If a person, as an itinerant merchant, fails to display the license as required by this section, or if the person, as a peddler, fails to produce the license required by this section, or if the person required to do so, fails to comply with subsection (g). Whenever satisfactory evidence shall be presented in any court of the fact that a license was required by this section and such license was not displayed or produced as required by this section or that permission was required by this section and was not displayed, the peddler or itinerant merchant shall be found not guilty of that violation, provided he produces in court a valid license or valid permission which had been issued prior to the time he was charged with such violation.

Fail to provide name, address, or identification upon request as required by this section, or provide false information in response to such a request.”

Section 4. This ordinance shall become effective upon adoption.

This the 9^th day of April, 2001.

Item 12 - Extension of Time for Development Ordinance:

Due Diligence/Good Faith Standards

Mr. Karpinos explained that there had been a question about whether the Council could reword the language, “due diligence/good faith” that would make developers more responsive to adjoining property owners during the course of development. He explained that there might be a way to have the consultant draft some language in the proposed development ordinance that would address the accountability of developers. Another issue, Mr. Karpinos said, was about developing a process to explain to neighbors who they need to call regarding an issue at a construction site that does not appear to be in conformance with what they think to be good construction practices or the terms of the permit.

Council Member Evans asked if the Town could request that the applicant rather than the Town assume the mailing cost of providing information to the neighbors. Mr. Karpinos replied that the information provided would be the Town’s information, such as who to call. He said that the developer could provide the stamped envelopes, but the Town would be the source of information. Council Member Evans explained that she had not wanted the Town to also be the source of funding.

Council Member Strom said this was a reasonable approach to making citizens more informed and to broadening the Town’s definition of “good faith.” He added that the resolution would empower neighbors to know how to respond to some tough situations.

COUNCIL MEMBER STROM MOVED, SECONDED BY COUNCIL MEMBER FOY, TO ADOPT R-17. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

A RESOLUTION REFERRING ATTORNEY’S REPORT OF APRIL 9, 2001, TO CONSULTANT FOR PREPARATION OF LANGUAGE TO BE CONSIDERED IN NEW DEVELOPMENT ORDINANCE (2001-04-09/R-17)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council refers the Town Attorney’s report of April 9, 2001, on good faith and due diligence to the Town’s consultant working on a revision to the Development Ordinance for consideration in preparing a recommendation to the Town Council.

BE IT FURTHER RESOLVED that the Manager is requested to provide information to owners of contiguous property to development regarding how to contact Town staff with questions about that development.

This the 9^th day of April, 2001.

Item 13 - Petitions

Council Member Ward petitioned the Council to ask the Town Manager to have staff liaisons to citizen advisory boards report on how those advisory board’s recommendations had been acted upon by the Town Council. He pointed out that such feedback would let citizens know whether they are being heard or not. Council Member Evans noted that the Planning staff already does this with the Planning Board.

COUNCIL MEMBER WARD MOVED, SECONDED BY COUNCIL MEMBER PAVÃO, TO ASK THE TOWN MANAGER TO HAVE STAFF LIAISONS TO CITIZEN ADVISORY BOARDS REPORT ON HOW THE ADVISORY BOARD RECOMMENDATIONS WERE ACTED UPON BY THE TOWN COUNCIL. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

Item 14 - Reserved for Discussion of Consent Agenda Items if Necessary

5a. Council Member Bateman explained that the Human Services Advisory Board had asked that the Town increase the allocation that they could give to petitioning agencies by $18,000. She asked that that request become part of the Council’s budget discussion.

In that connection, Mayor Waldorf asked that the Council also talk about the request from El Centro Latino at an upcoming budget work session.

Council Member Bateman pointed out that sometimes the Council refers agencies to the Human Services Advisory Board and sometimes it does not. Mr. Horton commented that the staff had not made a change in the Human Services Advisory Board amount because of Council instructions, but had listed their request and noted it as a difference that was not included. He added that the staff had done the same thing with El Centro Latino and with Club Nova, thinking that the Council would want to talk about those petitions at some point in the budget process.

Mr. Horton agreed that it was unclear whether the Council wanted these new requests referred to the Human Services Advisory Board or not. Mayor Waldorf suggested referring the new requests to the Human Services Advisory Board. Council members agreed by consensus.

COUNCIL MEMBER BROWN MOVED, SECONDED BY COUNCIL MEMBER WARD, TO REFER REQUESTS FROM CLUB NOVA AND EL CENTRO LATINO TO THE MANAGER AND FOR CONSIDERATION BY THE HUMAN SERVICES ADVISORY BOARD. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).

5b. Mayor Waldorf commented that she had hoped there would be a way to enable Fireplace Editions to move from Carrboro to Gateway Commons. She said that she had pulled the item even though the staff was firmly of the opinion that giving the Manager that much latitude would not be a good idea. Mayor Waldorf asked if anyone had any other ideas for ways to adjust the commercial and office square footage amounts. Council Member Evans suggested flex space, which she described as a wise way to go.

Mr. Waldon explained that the Manager’s flexibility had already been used in this case on a previous occasion. He added that increasing the Manager’s flexibility from a five to a ten percent increase over what the Council had approved still would not accomplish what this merchant wanted. Mr. Waldon suggested that Fireplace Editions bring a modification of the Special Use Permit to the Council.

Council Member Evans asked how much the modification would cost. Mr. Horton replied that it would be the base cost, which he thought was about $5,000. Council Member Foy noted that there is flexibility in the ordinance. He added that the goal was to encourage a mix of uses and that changing the Manager’s flexibility would lead to erosion of that goal.

Council Member Bateman suggested building in a certain percentage of flex space. Mr. Waldon replied that one reservation is that commercial space is more valuable than office space in terms of rents. With flex space, he said, everything between office and retail would go retail because that is more lucrative.

Mayor Waldorf pointed out that it would take about six to nine months to modify the SUP, if the owner of the building were inclined to put up the $5,000.

The meeting adjourned at 9:53 p. m.