SUMMARY MINUTES OF A PUBLIC FORUM AND HEARING
OF THE CHAPEL HILL TOWN COUNCIL
WEDNESDAY, MARCH 24, 2004 AT 7:00 P.M.
Mayor Kevin Foy called the meeting to order at 7:00 p.m.
Council members present were Sally Greene, Ed Harrison, Cam Hill, Mark Kleinschmidt, Bill Strom, Dorothy Verkerk, Jim Ward, and Edith Wiggins.
Staff members present were Town Manager Cal Horton, Deputy Town Manager Florentine Miller, Assistant Town Manager Bruce Heflin, Town Attorney Ralph Karpinos, Interim Finance Director Kay Johnson, Assistant to the Mayor Emily Dickens, Housing Director Tina Vaughn, Principal Community Development Planner Loryn Barnes, Senior Long Range Planning Coordinator Chris Berndt, Engineering Director George Small, Stormwater Engineer Fred Royal, and Town Clerk Joyce Smith.
Item 1 - Legislative and Policy Issues
a. Public Forum and Discussion of Legislative Requests:
Town Attorney Ralph Karpinos explained that this process had begun earlier in the year with a public forum. At that forum, citizens and Council members had an opportunity to identify matters that might be possible legislative issues for the Council to consider this year, he said. Mr. Karpinos noted that the Council had also had a meeting with the local legislative delegation and had discussed some of these issues with them.
Mr. Karpinos explained that the list before the Council included issues that Council members and citizens had identified as matters for consideration by the Council. These are items for which the Town might request local or State-wide legislation in the upcoming session of the General Assembly, he said. Mr. Karpinos pointed out that there were limitations on the types of legislation that could be introduced in a short-session and a process that must be followed when introducing legislation. He said that he would bring a report back to Council members, who would then have an opportunity to adopt an agenda and forward its request for local or State-wide legislation to the local legislators.
Mayor Foy read Legislative Requests1-10 aloud and invited public comment.
(1) A bill to authorize a local public campaign financing program.
(2) A bill to authorize the expenditure of open space bond funds outside of the Town’s extra-territorial jurisdiction.
(3) A bill to authorize transfer of development rights into the Town’s urban area in association with conservation easements purchased in rural areas of Orange County.
(4) A bill to allow the Town to enact zoning regulations pertaining to the ratio of bedrooms to bathrooms in residential development.
(5) A bill to extend the time period, established by local act last year, that a special use permit development can be delayed if the property has been identified as a potential school site.
(6) Enhanced financial support for the provision of Town fire protection services on the campus of the University of North Carolina at Chapel Hill.
(7) Bills pertaining to local and regional transportation organizational and funding issues.
(8) A bill to request that the North Carolina General Assembly Repeal the So-Called “Defense of Marriage Act.”
(9) Funding Mechanism to Convert Overhead Power Distribution Lines to Underground.
(10) A bill to expand the Homestead Exemption.
Chapel Hill resident Stephanie Kilpatrick expressed support for Request 8, commenting that non-discrimination is a value that transcends religious differences. All people want to be treated equally in spite of their differences, she said, adding that this cannot happen as long as there is discrimination against same-sex marriages. Ms. Kilpatrick noted that some people are opposed to racism or alcoholism. But we do not take away those people's right to get married, she pointed out. Ms. Kilpatrick stated that discrimination against same-sex couples should not be tolerated anywhere in America, especially not in Chapel Hill. One reason why she is proud to live in Chapel Hill is because it is progressive, she said. Ms. Kilpatrick urged the Town Council to continue to set an example as a town that strives for social justice and equality.
Chapel Hill resident Anne Bleyman remarked that Request 8 concerned the Town's ability to recognize commitment and love. The current law diminishes everyone by making second class citizens out of some Town residents, she said. Ms. Bleyman pointed out that granting marriage rights to same-sex couples does not require a religious ceremony. Repealing the law would still leave people free to make their own judgments as to what makes a marriage under the tenants of their faith, she said. Ms. Bleyman said that this item had been brought forward properly and for the good of Chapel Hill and its citizens. Even though the law does not affect her personally, she said, she did not think it was fair to deny same-sex couples the protection that all other Chapel Hill families enjoy. Ms. Bleyman asked Council members to request that the General Assembly repeal the "Defense of Marriage Act."
Richard Edens, a pastor at United Church of Chapel Hill, said that marriage provides shared values, a collective humility, and a common language. He asked he wanted to add his voice to those who were asking the Town Council to add recognition of marriage equality to the legislative agenda. Pastor Edens acknowledged that this was a personal issue of justice for members of his congregation who want to be recognized as a family. They can be recognized as an economic unit by going through a complicated set of codicils and contracts, he said, but that is less than the recognition of marriage.
Pastor Edens stated that one did not have to fully understand or agree with same-sex relationships to understand the value of family in establishing a stable and a desirable community. Every major religious denomination had been discussing sexuality for more than 20 years, he pointed out. Pastor Edens noted that individual Christian congregations - including the United Church of Christ, Episcopal, Methodist, Baptist, Disciple, Lutheran, and Presbyterian -had all participated in same-sex ceremonies. Some unions had been called marriages, he said, but until recently most have been called holy unions or holy covenants. So, said Pastor Edens, there are families who are recognized as families by their faith communities, their extended families, and their friendship networks, but not by the State.
"To what do the children of these unrecognized families belong," Pastor Edens asked? "Are they the product of an economic unit, or the children of a family?" He argued that all people should be allowed to share in the joy of marriage and be able to "identify, as a marriage, the relationship that is giving them life, creating companionship, nurturing children, up-building the larger community, and providing legal recognition that they are a family." Pastor Edens urged Council members to place marriage equality on their legislative agenda.
Esther Bridges told Council members that she had grown up believing that she would be married to a man when she became an adult. She believes that all people should be equal, she said, but she thinks that marriage is a sacred union between a man and a woman. Ms. Bridges stated that others have a right to choose a different kind of union. In fact, most of her friends in school were gay, she said, and she loved them dearly. But, Ms Bridges explained, she just did not believe that their union should be called the same thing as hers and her husband's is called. She proposed that perhaps another name should be given to same-sex unions.
With regard to Request 1, Chapel Hill resident Will Raymond asked that the Council also request the right to have an additional campaign finance report covering campaign contributions that come in during the last two weeks of October. During a recent, post-election reporting period, the great majority of one candidate's donations had come from out-of-town developers, he said. Mr. Raymond argued that the electorate would have been aware of that in the final weeks of this campaign if another reporting period had been wedged in. The public would have known that the candidate had received $3,000 from these contributors, he said, and that would have been raised as an issue, he said. Mr. Raymond asked Council members to consider asking legislators to add one additional reporting period for the next election.
Melissa Weiss explained that today was a special day for her because she had legally taken her partner's name. Legislative Request #8 was important to them, she said, explaining that they had been together for four years and had recently become married in Canada. Ms. Weiss told Council members that her partner, who works for the Chapel Hill-Carrboro Public School System, had recently filed to have her covered under State health insurance. The State had refused, she explained, despite a letter from the School System explaining Chapel Hill's non-discrimination policy. Ms. Weiss stressed that the "Defense of Marriage Act" in North Carolina has had a tremendous impact on same-sex couples. She expressed her support for repealing it.
Raleigh resident Christy Johnston said that the "Defense of Marriage Act" reminded her of discrimination against interracial couples at the turn of the 20th century. Repealing that would create a haven for same-sex couples in Chapel Hill and be a beacon for others to move to Chapel Hill and support the economy and the Town, she said. Ms. Johnston asked Council members to have the courage to stand up and say that the Town stands behind same-sex couples and recognizes them. This change will occur eventually, she said, and she urged the Council to be like those who took a stand against injustice in the 20th century.
Nick Eberlein expressed support for Request #8, stating that homosexuality is as significant as the color of a persons eyes and hair. "That's about how much control people have over being who they are," he said. Mr. Eberlein noted that Chapel Hill had taken steps to recognize domestic partnerships and suggested that, at the very least, the Council adopt the bill that recognizes marriage certificates from other jurisdictions. He pointed out that the Women's Movement and the Civil Rights Movement had started from people in their communities coming together at churches and in neighborhoods. Mr. Eberlein stated that there was support in Town for the Council to sponsor a bill asking the State legislature to repeal the "Defense of Marriage Act."
Precious-Jewel Zabriskie, Co-director of the North Carolina Lambda Youth Network, asked the Council to strive to repeal the "Defense of Marriage Act." At-risk youth want to know that they can be married when they grow up and that it will be recognized in this community, she said. Ms. Zabriskie explained that "being told you're an abomination, or an outcast, does not help their self-esteem when they already are dealing with issues in their schools and with their parents who do not accept them." She proposed that it was wrong for anyone who is not in that position to discriminate against someone who is. Ms. Zabriskie noted that being a lesbian and being black already had put her at a disadvantage. She did not want to be told that she cannot adopt her partner's child or cannot adopt a child of her own, she said. Ms. Zabriskie stressed the importance of allowing gay and lesbian youth to grow up believing that they have a future and that they have the right to be married.
Mayor Foy thanked the speakers for their comments and explained that the Council would take those remarks into consideration. The Council would then forward their requests to the Legislature and hope that the Legislature will take the appropriate action, said Mayor Foy.
b. Council Committee on Lobbying Follow-up Report.
Council Member Greene explained that Mr. Karpinos would propose a draft lobbyist registration ordinance, which would apply to commercial entities but not to State agencies. Then the Council Committee would confer with Mr. Karpinos and bring something forward to the full Council, she said. Council Member Greene noted that there were legal issues involved with imposing a lobbyist registration ordinance on a state agency.
Council Member Greene read from a written statement in which she reviewed the history of lobbying ordinances from the mid-1800s to the present, citing several legal decisions throughout those years. "The professional manufacturing of volunteer organizations" is now an $800 million industry, she said, adding that corporations have learned how effective it is to look like a grassroots movement, particularly on environmental issues. Council Member Greene cautioned that Chapel Hill appears to be an easy mark for lobbyists. The Town would be well served to be proactive on registration of paid lobbyists, she said. With regard to having the University register, Council Member Greene pointed out that the University of Wisconsin had done so voluntarily and that the State University of New York (SUNY) system had complied with a statewide registration requirement.
Mr. Karpinos explained that there were certain principles of law in North Carolina that indicate that the Town does not have the authority to enact a local ordinance that would require State agencies to register their lobbyists. He could find no authority in North Carolina that specifically mentions the ability to regulate lobbyists of State agencies, he said. However, he had found some law in both the Charter and the General Statutes that would support the Town enacting a local ordinance. Mr. Karpinos explained that he and the Council Committee had reviewed a number of ordinances from around the country. In most cases, they had found exceptions for state agencies, he said. Mr. Karpinos pointed out that those from the SUNY system in New York were complying with a state statute, not a local ordinance.
Mr. Karpinos told Council members that he and the Committee had discussed the fact that the original petition contained two parts: the lobbyist portion, and the suggestion about ethical guidelines. The Council had discussed the latter on March 22, he said, noting that they had discussed posting their calendars online as well as the burden of doing so. Mr. Karpinos noted that Council Member Greene had suggested enacting the lobbying ordinance and inviting the University to voluntarily comply. Another alternative might be to propose a lobbying ordinance for non-governmental officials and have the Council consider a set of guidelines that would have Council members report substantive conversations with University and other State officials, he said. So, Mr. Karpinos stated, the Committee was considering a lobbying ordinance and a set of guidelines, and probably would bring that back before the Council's summer break.
Mayor pro tem Wiggins asked if the ethical guidelines would address Council members’ conduct only as it relates to meetings or conversations with public officials. Or would it address other ethical aspects of the Council's behavior, she asked. Mr. Karpinos replied that he would start with the idea of documenting conversations. But he would take other issues into account if the Council wanted to include them in the guidelines, he said. Mayor pro tem Wiggins explained that the Committee had seen ethical guidelines from another municipality that she had particularly liked. Those had covered many other aspects of Council behavior, she said, but she could not remember which town they were from. Mr. Karpinos agreed to show what those possibilities would be in his report.
Mayor Foy stated that Mr. Karpinos would bring back a proposed ordinance as well as some proposed guidelines. Mr. Karpinos would confer with the Council Committee as necessary, said Mayor Foy.
Item 2 - Budget and Service Issues
a. Public Forum on Status of 2004-05 Budget Preparations, Preliminary Capital Improvements Program, Preliminary Grant Proposals, and Other Budget-Related Items.
Mayor Foy explained that this operating budget would carry the Town through the fiscal year beginning July 1, 2004. He said that the Council was soliciting comments tonight regarding the Capital Improvements Plan and other items having to do with budgetary impacts, such as grants that the Town receives and gives. Mayor Foy noted the Council was also asking for comments on the proposed stormwater utility that it is considering establishing in this fiscal year.
Mr. Horton noted that the Council had begun the budget process at its Council Retreat in January 2004, then held a public forum in February, and would have another public hearing in May as well as a series of budget work sessions. This is the middle of the process, he said and the Town already knows that there are many more requests than usual and more than there are funds to go around. In addition to tonight's presentations, there was about $450,000 for the Capital Fund Program for Public Housing Renovations and Resident Services, about $1 million in federal grants and $1 million in State grants for Transportation, and funds collected through the Downtown Tax District, noting that the Downtown Steering Committee would report to the Council at a later time on ways to use those funds for Downtown economic development.
(1) Status Report on Development of the 2004-05 Budget.
Interim Finance Director Kay Johnson, noting that this was a progress report and not a recommended budget, pointed out the key issues:
· Downtown Chapel Hill economic development
· Opportunities for the staff to meet the service needs of the community
· Challenges of debt service for both the Town Operations Center and the possibility of a General Obligation Bond issue.
· Competitive pay plan adjustments
· Increases in medical and workers compensation costs.
· Increases in operating costs.
· Slow pace of economic recovery in Orange County and statewide.
· Maintenance of fund balance.
With regard to the General Fund, Ms. Johnson said that current year estimates:
· Will provide estimated $926,000 rollover for next year.
· Significant elements-
FEMA reimbursement - $330,000
Expenditures lower than budget - $392,000
Ms. Johnson then noted the current estimates for the 2004-05 base budget:
Operating Revenues $39.2 million
Rollover-Regular $ 0.9 million
Council One-Time Use $ 0.5 million
$40.6 million
Expenditures $40.4 million
AVAILABLE $ 0.2 million
Included in this budget is the property tax base, showing an increase of approximately $100 million, Ms. Johnson said, where one cent would equal $442,000.
Major Revenues include (comparisons with 2003-04 original budget):
· Property Tax - Increase of $890,000
· Sales Tax - Decrease of $182,000
· Motor Fuel Tax (Powell Bill) - no change
· Franchise Tax - Decrease of $74,000
Base Expenditures:
· 3.1% Increase.
· Major factors
-Full year cost of 8 monthly pay increases ($160,000)
-Medical costs - 12% ($294,000)
-Workers’ Compensation - 23% (160,000)
-Vehicle replacement financing schedule cost increase ($150,000)
Major Priority/Additions:
· Competitive Pay Increases - $690,000
· Human service and other grants - $505,200
· Downtown economic development consultant - $266,000
· G. O. Debt payment - $202,500
· Department operating cost increases - $191,000
· Town Operation Cost site work - $150,000
Capital Improvements:
· Base - $561,000
Financing costs - current obligations
· Priority Level - $1.1 million
Ongoing maintenance and major capital repairs, including:
Community Center
Town Hall HVAC
Old Post Office
Bolinwood Drive Bridge
Transportation Fund/Key Issues:
· Level of State and federal operating assistance
· Increases in medical and workers' compensation
· Provision of adequate staffing for E-Z Rider service.
Transportation Fund Base Budget:
Revenues $10.8 million
Expenditures $11.0 million
Shortfall $ 0.2 million
Ms. Johnson explained that the Town would need an approximate .46 cent tax increase to continue the current level of service for the Transportation Fund.
Major Revenues for Transportation:
· Federal operating assistance $1.0 million
· State operating assistance $1.6 million
· University payments $4.5 million
· Carrboro payments $0.9 million
· Town share $2.4 million
Major Expenditures for Transportation:
· 2.3% Increase
· Major factors
Full year cost of 8 month pay increases ($50,000)
Medical and Workers' compensation ($152,000)
Transportation - Priority/Additions:
· Competitive pay increase - $190,000
· E-Z Rider staffing for persons with disabilities - $107,000.
Public Housing Fund:
· Budget adopted on March 1st for HUD
· Decrease in proposed federal subsidy
· Costs reduced by $7,000 from prior year
· Continued current level of service
Debt Service Fund, includes the cost of the Current General Obligation debt - $2.5 million
Parking Fund:
· On-Street Parking - No change in revenues
· Off-street Parking - $14,000 decrease
- Result of Fare free bus service and slower economic activity downtown
(2) Preliminary Report on the 2004-2019 Capital Improvements Program.
Mr. Horton stated that the staff had not receive feedback at this stage from the Town's advisory boards and commissions. He asked that the Council refer all comments to the Town boards.
Assistant Town Manager Bruce Heflin listed seven priorities for selecting Capital Improvements Program (CIP) projects:
1. Council-authorized contracts.
2. Projects that have a Council mandate.
3. Projects we have a legal requirement to perform or complete.
4. Projects that would repair or maintain existing Town facilities/infrastructure above and beyond ordinary maintenance.
5. Projects involving public safety.
6. Projects which are part of an adopted master plan.
7. Other projects.
Mr. Heflin noted the focus on the first year of the 15-year plan and said that this year's proposal included $1.6 million in the budget, with about $50,000 of previously identified CIP finds designated for debt service payments related to anticipated sidewalk bonds. Mr. Heflin listed the recommended projects as well as those that were underway and those that had been suggested. The staff was seeking public input tonight and was recommending adoption of Resolution R-1, which would refer the plan to the advisory boards, he said.
(3) Preliminary 2004-05 Community Development Plan.
Community Development Planner Loryn Barnes presented a breakdown of proposed allocations from the $711,000 in Community Development funds. The staff would return to the Council on April 26th and would then develop a consolidated plan to submit to the US Department of Housing and Urban Development (HUD) for 2004-05, she said. Ms. Barnes added that all of tonight's comments would be incorporated into that plan.
(4) Preliminary 2004-05 HOME Program Plan.
Ms. Barnes explained that HUD had awarded $739,050 this year to the Orange County HOME Consortium. This program requires a local match of about $166,286, she said, adding that Chapel Hill must contribute 41% of that, or $68,177. She proposed using the local Housing Loan Trust Fund for that match. Ms. Barnes mentioned the HOME program Review Committee and noted that Mayor pro tem Wiggins was the Town 's representative.
Ms. Barnes summarized the proposed use of 2004-2005 HOME Program funds, and noted that the Consortium had been awarded an additional $54,145 from the America Dream Down Payment Initiative. She proposed using those funds to set up a countywide second mortgage program. Ms. Barnes said that the staff would return to the Council on April 26th for final approval. This plan would also have to be approved by Orange County, Carrboro and Hillsborough, she said. Ms. Barnes told Council members that the Housing and Community Development Advisory Board had reviewed both proposals. Although they did not have a quorum at their last meeting, they had recommended approval of the plans as presented, she said.
b. Discussion of Stormwater Utility.
Engineering Director George Small reminded Council members that this was a response to questions and comments during a previous discussion of the stormwater utility. The Council seemed to have been asking for an alternative to what the Committee and consultant had recommended, he said, so the staff was presenting that tonight. Mr. Small noted key elements of the Manager's recommendation on page 3, and pointed out that the first item called for a master plan, which would include watersheds that would be studied in detail. The master plan would generate a detailed work plan that the staff and advisory board would bring forward, he explained.
Mr. Small stated that implementing a public education and involvement program early on would be critical to the success of the program. He suggested a $200,000 reserve for capital improvements projects and an emergency fund of $50,000. There was a 10% fund balance, he said, emphasizing the importance of keeping that intact. Mr. Small noted that the program recommends that $402,000 in "sunk costs" be reimbursed to the Town in the first year. And the staff had identified $750,000 in costs generally funded though the General Fund, he said, noting that those could go to the utility fund instead. Mr. Small suggested using a tiered fee rate that would not change every year.
Mayor pro tem Wiggins asked how the fee would be calculated. Mr. Small replied that it would be a monthly rate based on 2,000 square feet of impervious surface, with each additional 2,000 square feet being charged another rate unit of $4.03 per month. There would be no cap, he pointed out.
Council Member Ward clarified that it would be 2,000 square feet, or part thereof, and that 5,000 square feet would count as three units.
Mr. Small noted that the staff had not included any public streets, roads or alleys on the State or Town system. Those are really part of the drainage system, he said. He explained that the staff had deferred a decision on the amount that UNC would pay until the Town and UNC reached some agreement on a credit system. The staff was continuing to work with Orange County as a billing and collection source, he said. Mr. Small stressed that the key advantage would to get a stable source of revenue in this important area of public services. He hoped to come back in April with recommendations for a program and ordinance, he said.
ArtsCenter Board Chair Donald Boulton asked the Town Council to continue its support for the ArtsCenter. He thanked the Council for granting $20,000 for each of the last five years to help pay for the building, which the ArtsCenter now owns. He stated that a recent study had revealed that 34% of ArtsCenter participants and more than 50% of its school registrants come from Chapel Hill. This is nearly three times the number from any other municipality in the Triangle, he said. Mr. Boulton asked the Town Council to continue its assistance by including $20,000 in next year's budget for operations and programs.
Jerry Whortan, Executive Director of the Chapel Hill-Carrboro YMCA, thanked the staff and Council for proposing continued support for the YMCA's outreach after school program. He pointed out that the program offers children a wide variety of activities, including homework help and tutoring, in a fun and safe after school environment. These activities are wrapped around the YMCA's four core values of caring, honesty, respect, and responsibility, he said. Mr. Whortan stated that the YMCA staff and Board were committed to addressing community needs through this outreach program. They would be able to meet those needs head on with continued support form the Town, he said.
Council Member Kleinschmidt asked Mr. Whortan to explain the distinction between the Chapel Hill YMCA's policies and those of the Durham YMCA, where a controversy had arisen recently in the press regarding family memberships. Mr. Whortan replied that the Chapel Hill YMCA recognizes domestic partners as a unit in its membership. Council Member Kleinschmidt said that it was important for everyone to recognize that Chapel Hill's support for its local YMCA is different from the experience in Durham.
Council Member Verkerk asked how the YMCA program was paid for. Mr. Whortan replied that it is a combination of tuition, assistance from the Town and United Way, and donations. He noted that the children from the Pine Knolls and the South Estes communities were on full scholarship. Council Member Verkerk asked how the tuition compared to the Chapel Hill-Carrboro after school program run by the School System. Mr. Whortan replied that the YMCA's fees were slightly higher, but that the YMCA provides transportation. Council Member Verkerk asked why a parent would prefer to send his/her child to the YMCA program. Mr. Whortan mentioned the wide variety of programs that they offer, which include sports, swimming, cooking, and tutoring, to name a few. And, he added, the YMCA communicates with schools so that children are monitored in both places.
Council Member Greene pointed out that it is often not possible to get into the School System's after school program. People's names are put into a lottery the first year there, she said. Council Member Greene thanked Mr. Whortan for providing a "wonderful service," adding that there is not enough after school available in Chapel Hill.
Council Member Hill stressed that the YMCA brings your child home, which is something the School System does not do.
Alice Petitte, representing the NC Cooperative Extension Service in Orange County, told Council members about their "Orange on the Move Coalition," a program that promotes nutrition and physical activity for young people. More than 36% of 5-11 year-olds in Orange County were overweight or at risk for overweight, she said, and 43.4% of 14-18 year-olds were overweight. Ms. Petitte requested $13,700 from Community Development funds to develop a 10-week interdisciplinary program for youth and their parents or caregivers.
Ms. Petitte explained that the program would provide services from a variety of local health professionals and experts, some of whom are Coalition members. It would be aimed at a diverse group of overweight youth in the Chapel Hill area, including low-income and minority populations in the Chapel Hill-Carrboro School System, she said. Ms. Petitte explained that specific strategies would be used to target public housing and Latino communities. The program would include structured physical activity sessions, nutritional education, and an assessment of psycho-social strengths and barriers in the family. Ms. Petitte noted that the YMCA, a Coalition member, had offered the use of their facility. She asked the Council to join the fight against childhood obesity by contributing to this program and by spreading the word to children who need it most.
E. Megan Davidson, Board Vice Chair of the Orange County EMS and Rescue Squad, reviewed the Squad's history, composition and services. She asked the Town to assist in improving their response and support capability by donating $10,000 toward the purchase of a heavy rescue truck to be housed at their second station in Carrboro. Locating the truck at this sight would guarantee a timely response to emergency incidents in Chapel Hill and surrounding communities, she said. Ms. Davidson gave at total cost of $300,000.
Bob Schreiner, Board Chair of the Chapel Hill Public Library, spoke about using the $16.26 million bond authorization that had been passed in November 2003. The Board's recommendation was to use those funds for the largest expansion they can and in one construction project, he said. Mr. Schreiner outlined a plan to carry out architectural and engineering in 2004-2006 prior to beginning actual construction in 2006. This would all be achieved with bond money, he said. Then a one-time expansion of the collection in 2007-2008 would be accomplished with private donations and tax money, Mr. Schreiner explained.
Mr. Schreiner recommended that the Council appoint a committee to guide the architectural and design process along, as was done during the Library's former expansion. He asked Council members to consider appointing that group now, noting that there would be no funding associated with that. Mr. Schreiner pointed out that forming that Committee now would show citizens that the Town is moving forward with the bond recommendation that it made last November.
Karen DeHart, representing the NC High School Athletic Association, thanked the Town Council for its past support. This was the Association's 90th anniversary, she said, and they were facing a decision about whether or not to keep their events in Chapel Hill or take them to another city, such as Raleigh or Winston-Salem. Sports authorities in other cities would underwrite those events, she said, because they recognize the positive economic impact that such events bring. Ms. DeHart stated that the Association had received $89,000 from the Town over the last 13 years. But their expenses had totaled almost $500,000, she said.
Ms. DeHart pointed out that bringing visitors to the community had had an approximate $7 million impact on Chapel Hill. She asked the Town Council for its continued support and requested a possible increase. The Association was soliciting funds from businesses and other local entities so that they can keep their events in Chapel Hill, she explained. Ms. DeHart stated that the Association was partial to Chapel Hill but that some of its Board members were leaning toward other cities.
John Tyrrell, representing Habitat for Humanity, thanked the Council and staff for its ongoing support for Habitat and other affordable housing initiatives. He anticipated that Habitat's Sunrise Road project would cost about $500,000 over several years. Mr. Tyrell asked the Council and staff to consider funding some of Habitat's predevelopment costs from the Housing Loan Trust Fund or other sources that might be appropriately earmarked for that purpose. Habitat for Humanity looked forward to continuing to provide affordable housing, he said, adding that he hoped and believed their efforts would merit the Town's continued support.
Lucy Lewis, Executive Director with the Orange County Literacy Council, thanked the Council for supporting adult literacy. She thanked them in particular for providing Community Development Block Grant (CDBG) funding for the computer-based General Education Diploma (GED) programs that had been offered to residents of public housing and the Hargraves neighborhood. Ms. Lewis reported that significant progress had been made with those who had attended the programs, but that the Literacy Council had not been able to achieve the retention level they wanted with that population. Ms. Lewis told Council members that she would not ask for funds this year but would use contract money from last year. The Literacy Council hoped to get the program up and running again by late spring or early summer, she said.
Tracy Dudley, Chair of the Housing and Community Development Advisory Board, said that there had not been a quorum of Board members present at the previous night's meeting, but, with regard to the Capital Fund Program for Public Housing Renovations and Residents Services, those present had opted to reserve $3,000 for resident activities rather than having the $25,000 reserved for Residents Council activities. Ms. Dudley explained that the Board wanted residents to decide for themselves how to use those funds in conjunction with the Advisory Board and the Housing Department.
Ms. Dudley also remarked that the Hargraves Center had an exceptional after school program, which her daughter attends. She felt compelled to mention that, she said, in the context of the earlier conversation about the YMCA's and the School System's programs. Ms. Dudley asked that the Council not forget the Hargraves after school program.
Mayor Foy asked Ms. Dudley to elaborate on what she had said about Residents Council activities. Ms. Dudley replied that Capital Fund Program money had been set aside in the past for Residents Council activities. The Advisory Board had struggled for the three years that she had been on it with what those activities were and how they were being carried out, she said. Ms. Dudley explained that there was about $28,000 still unspent from last year's budget. She recommended that those funds not be allocated for the Residents Council and that a lesser amount be allotted for residents' services and activities. The Housing Department staff, residents themselves, and the Advisory Board would decide what activities those funds would be used for, she said.
Mayor Foy asked Ms. Dudley what she was recommending doing with the remaining $28,000 from last year. Ms. Dudley replied that a performance agreement would be presented to the Housing Department and the Community Development Advisory Board.
Council Member Greene, the Council's liaison to the Advisory Board, commented that not everyone on the Residents Council was a resident of public housing. Allotting funds to residents themselves would ensure that it would be more directly used to serve residents, she said.
Mayor pro tem Wiggins verified with Mr. Horton that the Town had provided money to the Residents Council through a performance agreement with them. She verified that it would be possible to take $3,000 and leave a reserve that would be allocated later by an action of the Advisory Board with advice from the staff. Ms. Dudley pointed out that this would be based on direct input from the residents. The current Residents Council was being operated by people who may not be residents of Public Housing, she said. Ms. Dudley told Council members that the Board was proposing that actual residents be allowed to say what they want to do and have done with those funds.
Mayor pro tem Wiggins asked why Ms. Dudley was requesting only $3,000. Ms. Dudley replied that the bulk of the money given to the Residents Council had gone toward salaries and stipends, with about 90% of it going to the director's salary. She did not think it was necessary to pay someone to do what the Housing staff already does, she said. Mr. Horton added that, based on what Ms. Dudley had reported, the Council might want to question whether or not there is a basis for continuing the Residents Council.
Mayor pro tem Wiggins noted that the situation with the Residents Council had been questionable for quite some time. Maybe this would be a chance to get funding to the residents via another vehicle, she pointed out. Mr. Horton agreed that the key point was to serve the residents and find a good vehicle for doing so.
Council Member Kleinschmidt asked whether it was necessary to have a Residents Council that the Town supports. Mr. Horton explained that the Residents Council had grown out of specific federal regulation requiring that residents have a greater voice in the administration of public housing programs. But the nature of those rules had changed, he said. Mr. Horton was not sure whether or not the Town was required to work with this particular organization. He offered to investigate that and come back with more information. Based on Ms. Dudley's and Council Member Greene's statements, Mr. Horton noted, it would be prudent to reserve funds to support resident activities and reserve judgement as to the organization that might be involved.
Mayor Foy described it as "curious" that the Residents Council was comprised of people who were not residents. He wondered if restructuring might be more useful to residents than abandoning the Residents Council. Mayor Foy stated that his experience with the Residents Council was that it could do some good. But he had not realized that it was no longer made up of residents, he said. Mr. Horton remarked that having staff and leadership who were not Public Housing residents would be egregiously inconsistent with the original idea of the Council.
Council Member Greene said that she had determined from the Advisory Board that the Residents Council had changed its bylaws. They had begun as public housing residents, but they changed the rules when they moved out of public housing, she said. Mr. Horton explained that the Residents Council was an independent 501(c)3 organization with a self-perpetuating board that is intentionally independent of the Town. Based on the information they have received this evening, though, the mission of that Board is not necessary being fulfilled, Mr. Horton said. He suggested that the Council be cautious about how it proceeds,. Mr. Horton added that his "tentative revised recommendation" was that funds be reserved until the staff and Housing Board devise a program that would be in the best interests of the community and Public Housing residents, and would meet the purpose of the law and the wishes of the Council.
Mayor pro tem Wiggins asked if the $28,000 would roll over if not spent by the end of this year. Mr. Horton replied that the funding would be available for Council use. It is not yet committed to the Residents Council because there is not yet a performance agreement, he said.
Council Member Kleinschmidt confirmed Mr. Horton that there would not be a reversion of funds.
Council Member Greene verified with Ms. Dudley that the Board wanted any excess funds to go toward renovations.
Housing Director Tina Vaughn stated that the Council did have the flexibility to reassign the $28,000 that was waiting for a possible performance agreement. If that agreement does not come to fruition, then she would amend the annual plan and the money could be used for renovations, Ms. Vaughn said.
Ms. Dudley stressed that the Advisory Board was not abandoning the residents by suggesting that there not be a Residents Council. She is a resident of public housing, she said, and she had not felt served by the Residents Council. Ms. Dudley stressed that she was requesting more direct input and availability for residents themselves. Unlike some other towns, residents of Chapel Hill public housing could always come directly to the Advisory Board or to the Town Council for anything that they need, she pointed out.
Jammie Haynes, representing the Chapel Hill Public Arts Commission, said that the Commission had worked hard, had done good work, and would continue to do good work. But they wanted to be the best Arts Commission around, a model for other cities to emulate, he said. Mr. Hayes stated that this would be an attainable goal with the Council's support. "When you do your budget deliberations, make my day," he said.
Robert Reda, representing Habitat for Humanity of Orange County, followed up on Mr. Tyrrell's comments. Mr. Reda thanked Council members for their support and asked them to follow the Manager's recommendations for Habitat funding for the upcoming year. He noted a recent editorial in the Chapel Hill News, which reported that the average cost of a single-family home in Orange County in 2003 had increased to $320,000. But the article had also stated that no new affordable housing had been created in 2003, he said, adding that this was incorrect. Habitat had built 13 homes in 2003 and was very proud of them, Mr. Reda said.
Habitat would be back next year asking for predevelopment and infrastructure funds for the Sunrise neighborhood, Mr. Reda remarked. He asked the Council to consider that and to build it into future budgets as much as possible. He added that Habitat could use assistance this year for predevelopment. This could come from the Housing Loan Trust Fund or from any other appropriate funding, Mr. Reda pointed out.
With regard to Section 1A on Page 3 (contribution from Carol Woods), Mayor Foy explained that he had met with the Carol Woods director and had discussed a possible agreement between Carol Woods and the Town that would stabilize this revenue source. Having it fluctuate in this fashion makes it difficult to plan, he said. Mr. Horton remarked that he had not included any revenues from Carol Woods in this budget report due to that lack of certainty and commitment.
Council Member Harrison praised Mr. Horton, Mr. Small, and Stormwater Engineer Fred Royal for the stormwater utility report, which he described as a very informative piece of work.
Mayor pro tem Wiggins told Council members that Habitat had applied for Community Development and HOME funds to help with their project on Sunrise Road. But it is not an eligible activity for those sources of funding, she explained.
Council Member Strom asked Mr. Horton when the Council was scheduled to have another work session on the general topic of the budget. Mr. Horton replied that the next session on March 30 was intended to begin a broad discussion of the budget. He explained that they would be hearing from the Orange Community Housing and Land Trust, the Downtown Commission, and the Visitors Bureau. They would be receiving reports on issues that they raised in prior budget discussions, but should be able to spend some time talking about the budget at that session, he said.
Council Member Strom requested that figures in the preliminary General Fund Budget update be organized in a way that the Council could grasp more easily. Mr. Horton noted that the bottom line on page 3 showed a total difference of $533,000. "That's it. When you take the negatives and the positives and add them all up, that's where we come out," he said. Looking at the expenditures on page four, the bottom line is $392,000, Mr. Horton explained, adding that those were the key summary numbers. He offered to answer questions about any aspect of the budget, but explained that the staff had showed it in tabular form so that the Council could see what is up, what is down, and what the effect is.
Council Member Strom said that he had talked with Ms. DeHart regarding the NC High School Athletic Association's multi-year agreements with other host cities. He suggested that the Council talk with other interested parties, such as UNC, Orange County, Carrboro, the Chamber of Commerce and the Visitor's Center, about entering into a longer-term commitment as a group with the Association. This could help further the goals of increasing the Town's profile, he said, by shoring up its identity as the hub for high school athletics as well as the Arts.
Mayor Foy agreed that hosting the Athletic Association was good for the Town's economy. He had contacted the Association's director to discuss how the Town might increase that as part of its economy, he explained.
Mayor pro tem Wiggins agreed, noting that towns were competing for athletic tournaments because they bring in revenue and do not put stress on schools and fire departments. Since the Association is already here and wants to stay, it would be a missed opportunity if the Town did not do what Council Member Strom had suggested, Mayor pro tem Wiggins said.
Mayor Foy pointed out that Chapel Hill was already seeing some erosion of games played in Town. Mr. Horton offered to work with members of Council to figure out who they might involve in the conversation and how they might leverage additional Town support. It would be useful to have Council members involved in that preliminary planning discussion, he pointed out.
Council Members Strom and Ward volunteered to participate. Council Member Ward remarked that he was glad to hear general support for keeping the Association in Town and agreed with the idea of trying to do so collaboratively.
Mayor pro tem Wiggins commented that high school kids and their parents were a nice group of visitors who do not “trash the Town” like some visitors do.
Council Member Harrison recommended finding out if the Chamber had made any progress in trying to develop a private sports authority on the model of Winston-Salem and Raleigh. He wondered what the budget impact was in those cities of having such an authority. Mr. Horton replied that he was convinced by his own observation that the Athletic Association's programs have an economic impact on the Town. There had been strong reports to that effect from businesses all over Town, he said. Council Member Harrison clarified that he had meant to determine if there was a line item in the budget for Winston-Salem or Raleigh that actually accounted for the sport authority. He was not talking about economic impact, he said.
Mayor Foy established that there was consensus on the Council for pursuing this approach. He recommended that the Manager pursue it in the way that makes the most sense in the context of the budget this year and in the broader context of the Town's economic development efforts. Mr. Horton suggested beginning that work with Mayor Foy, who could then suggest further guidance on how to work with the Council on it. Mayor Foy noted that Council Members Strom and Ward had indicated an interest. The Council could then figure out who else might be involved, he said.
Council Member Harrison repeated that he had not meant to determine whether the Association's events would have an economic impact. He had been wondering about the sports authorities’ place in the budget of each of those municipalities, he said. Council Member Harrison agreed that the change in the Town streets during an Athletic Association event was "remarkable."
With regard to upcoming budget sessions, Mayor Foy recalled that the Council had a work session last year with no presentations. He asked to have such a time set aside again this year and Council members agreed to schedule that. Mayor Foy also asked for a copy of Ms. Johnson's powerpoint presentation, which he characterized as a nice encapsulation and easy to read. Mr. Horton agreed to distribute copies to Council members.
Council Member Kleinschmidt ascertained from Mr. Karpinos that the legislative program would come back to the Council at the April 14th business meeting.
Mayor Foy asked if there would be an opportunity at that meeting for further public comment. Mr. Karpinos replied that it would not be a formal public hearing, but pointed out that the Council allows public comment on any agenda item at business meetings.
Council Member Verkerk announced that she and Council Member Ward had "witnessed a miracle today." The Homestead High School Safety Task Force had met with NCDOT, Chapel Hill, Carrboro, Orange County, the Chapel Hill-Carrboro School Board, Bicycle and Pedestrian Advisory Board, a private developer, and citizens from three neighborhoods, she said. Council Member Verkerk stated that there could be sidewalks as early as 2005 and five neighborhoods would go from no walk zones to walk zones. "And that makes me very happy," she said.
MAYOR PRO TEM WIGGINS MOVED, SECONDED BY COUNCIL MEMBER KLEINSCHMIDT, TO ADOPT R-1. THE MOTION WAS ADOPTED UNANIMOUSLY (9-0).
A RESOLUTION REFERRING THE PRELIMINARY REPORT ON THE CAPITAL IMPROVEMENTS PROGRAM (2004-03-24/R-1)
WHEREAS, the Council of the Town of Chapel Hill has received a Preliminary Report on developing a 2004-2019 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;
Chapel Hill Public Arts Commission;
Community Design Commission;
Greenways Commission;
Historic District Commission;
Housing and Community Development Advisory Board;
Library Board;
Parks and Recreation Commission;
Planning Board;
Technology Committee; 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 12, 2004, regarding the Budget and Capital Improvements Program.
This the 24th day of March, 2004.
The meeting adjourned at 9:38 p.m.