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02-05-2019 City Council Regular MeetingCITY COUNCIL REGULAR MEETING 300 WEST CROWELL STREET MONROE, NORTH CAROLINA 28112 FEBRUARY 5, 2018 — 6:00 P.M. AGENDA www.monroenc.org RECOGNITION 1. Proclamation observing Black History Month CONSENT AGENDA The City Council uses a Consent Agenda to consider items that are non -controversial and routine. The Consent Agenda is acted upon by one motion and vote of the Council. Items may be removed from the Consent Agenda and placed on the Regular Agenda at the request of a Council Member or Citizen with consent of Council. The Consent Agenda contains the following items: 2. Budget Amendments A. Police Department Donation from Have a Heart Foundation B. Police Department Donation from OMNOVA Solutions Foundation 3. Call for Public Hearings to be Held March 5, 2019 A. Historic Landmark Designation for "Ashcraft-Garren House" Located at 304 E. Houston Street B. Zoning Map Amendment Request to Rezone Property Located near Intersection of North Charlotte Avenue and Dickerson Boulevard from Conditional District "Dickerson Boulevard Residential" to Conditional District "Fraser Court" and Text Amendment Request to Amend Code of Ordinances — Title XV: Land Usage, Chapter 156: Zoning Code, Section 156.106 titled "Official Zoning Map" and Section 156.98 titled "Conditional Districts Established" C. Zoning Map Amendment Request to Rezone Property Located at 410 N. John Street from Residential High Density (R-10) to Conditional District "Cup Bearer Meal Center" and Text Amendment Request to Amend Code of Ordinances — Title XV: Land Usage, Chapter 156: Zoning Code, Section 156.106 titled "Official Zoning Map" and Section 156.98 titled "Conditional Districts Established" 4. Capital Project Budget Ordinance for Monroe Science Center Exhibit Project Fund 5. Charlotte -Monroe Executive Airport Corporate Airplane Storage Hangar A. Award of Stormwater Measures Installation Contract to Eagle Wood, Inc. B. City Manager to Execute Documents 6. Minutes and Reports A. Disbursement of Fiscal Year 2018-2019 City Council Discretionary Funds City Council Regular Meeting February 5, 2019 Page 57 A IM 1) Mayor Pro Tem Gary Anderson 2) Council Member Surluta Anthony 3) Mayor Bobby Kilgore 4) Council Member Franco McGee B. Financial Reports for January 2019 C. Minutes of Board of Adjustment Meeting of December 13, 2018 D. Minutes of Charlotte -Monroe Executive Airport Commission Meeting of October 8, 2018 E. Minutes of City Council Meetings of January 8, 2019 F. Minutes of Historic District Commission Meeting of December 10, 2018 G. Minutes of Monroe Tourism Development Authority Meeting of December 13, 2018 H. Minutes of Monroe -Union County Economic Development Board of Advisors Meeting of November 13, 2018 I. Minutes of Planning Board Meeting of November 7, 2018 J. Summary of Contracts Awarded, Change Orders Approved and Settlement of Claims 7. Municipal Solid Waste, Yard Debris, Recycles and Bulk Item Collection Request for Proposals 8. Resolution Authorizing City Manager to Approve North Carolina Department of Transportation Improvement Program Fiscal Year 2019-2025 Charlotte -Monroe Executive Airport Project Listing 9. Sidewalk Waiver Request by Union Power Cooperative (Moved to Regular Agenda as Item #12) 10. Tax Releases for December 2018 11. Water Resources Computerized Maintenance Management System A. Award of Contract to Lucity, Inc. B. City Manager to Execute Documents REGULAR AGENDA Public Hearings — Please adhere to the following guidelines: • Proceed to the podium, and state your name and address clearly; • Be concise; avoid repetition; limit comments to three (3) minutes or less; • Designate a spokesperson for large groups. 12. Sidewalk Waiver Request by Union Power Cooperative 13. Downtown Economic Incentive Grant to MBW Landlord, LLC for Piedmont Buggy Works (Tabled from December 4, 2018 and January 5, 2019 City Council Regular Meetings) A. Public Hearing B. Action — Resolution Awarding Incentive Grant City Council Regular Meeting February 5, 2019 Page 58 C. Action —Incentive Agreement D. Action Loan Agreement E. Action — Promissory Note F. Action — Budget Amendment 14. Level II Economic Development Incentive Grant to Duke Sandwich Productions, Inc. A. Public Hearing B. Action — Resolution Awarding Incentive Agreement C. Action — Incentive Agreement 15. Text Amendment Requests to Amend Code of Ordinances — Title XV: Land Usage, Chapter 152: Historic Properties, Section 152.057 titled "Action on an Application for a Certificate of Appropriateness" and Chapter 156: Zoning Code, Section 156.201 titled "Certificates of Appropriateness; Generally" A. Public Hearing B. Action — Resolution Approving Land Development Plan Compliance C. Action — Ordinance Amending Code of Ordinances — Chapter: 152, Section 152.057 titled "Action on an Application for a Certificate of Appropriateness" D. Action — Ordinance Amending Code of Ordinances — Chapter: 156, Section 156.201 titled "Certificates of Appropriateness; Generally" 16. Request by Union County to Designate Section of Existing US 74 Bypassed by Monroe Expressway as US 74 Business (Tabled from December 4, 2018 City Council Regular Meeting) 17. Health Plan and Cafeteria Plan for Fiscal Year 2019-2020 A. Renewal Expectations/Options of Health Plan and Cafeteria Plan B. Tucker Administrators to Administer Health Plan and Cafeteria Plan C. City Manager to Execute Documents 18. Public Comment Period A. Loretta Melancon A City Council Regular Meeting February 5, 2019 Page 59 A A City Council Regular Meeting February 5, 2019 Page 60 CITY OF MONROE CITY COUNCIL REGULAR MEETING FEBRUARY 5, 2019 MINUTES The City Council of the City of Monroe, North Carolina, met in Regular Session in the City Hall Council Chambers located at 300 West Crowell Street in Monroe, North Carolina at 6:00 p.m. on February 5, 2019 with Mayor Bobby Kilgore presiding. Present: Mayor Bobby Kilgore, Mayor Pro Tem Gary Anderson, Council Member Surluta Anthony, Council Member Marion Holloway, Council Member Billy Jordan, Council Member Lynn Keziah, Council Member Franco McGee, City Manager E.L. Faison, City Attorney S. Mujeeb Shah -Khan and City Clerk Bridgette H. Robinson. Absent: None. Visitors: David Fox, Don Donahue, Patrick Reilly, Cara Clapsaddle, Michele King, Phillip Sadler, Loretta Melancon, Lisa Stiwinter, Peter Cevallos, Chris Plate, Evan Mozingo, Ron Mahle, Sheri Laney, Debra C. Reed, Jim Loyd, Pete Hovanec, Ashley Britt, Keri Mendler, Bruce Bounds, Lisa Strickland, Brian Borne, Jennifer Smith, Ron Fowler and others. Mayor Kilgore called the City Council Regular Meeting of February 5, 2019 to order at 6:00 p.m. A quorum was present. RECOGNITION Item No. 1. Proclamation observing Black History Month. On behalf of Mayor Kilgore, Council Member Anthony read Proclamation P-2019-02 proclaiming and observing February 2019 as "Black History Month:" PROCLAMATION OBSERVING "BLACK HISTORY MONTH" FEBRUARY 2019 P-2019-02 WHEREAS, noted historian, Dr. Carter G. Woodson, announced the second week of February as "Negro History Week" in 1926 in order to increase public awareness and appreciation of the important role that African-Americans have played in shaping America's history; and WHEREAS, the United States government officially recognized Negro History Week in 1976 as part of the U.S. Bicentennial, expanding it to Black History Month; and City Council Regular Meeting February 5, 2019 Page 61 WHEREAS, America is a melting pot of cultures and ethnicities; all part of the "Land of the Free." Black History Month fosters cultural awareness and understanding, while encouraging education about contributions made by Americans of color; and WHEREAS, the omission of much of the history and contributions of African-Americans from textbooks and other literature has impeded awareness and appreciation; and WHEREAS, the celebration of Black History Month is a positive way of recognizing the culture and history of African-Americans as vital to the core beliefs and values of this society; and WHEREAS, the contributions of African-Americans have been vital to the growth and development of the City of Monroe. NOW, THEREFORE, I Bobby G. Kilgore, by the virtue of the authority vested in me as Mayor of the City of Monroe, do hereby proclaim and observe February 2018 as: "BLACK HISTORY MONTH" and encourage the local citizenry to participate in activities that foster awareness and appreciation of African-Americans' contributions to shaping the history of Monroe, Union County, North Carolina and America. IN WITNESS WHEREOF, I have hereunto set my hand and caused the Seal of the City of Monroe to be affixed this the 5t' day of February, 2019. CONSENT AGENDA Written background information was provided in advance in the Council Agenda Packets for each item on the Consent Agenda. Following review of the Consent Agenda, Council Member Keziah requested that Item No. 9 (Sidewalk Waiver Request by Union Power Cooperative) be removed from the Consent Agenda and placed on the Regular Agenda for discussion. One motion and vote was taken, which included approval of all items on the Consent Agenda, with the exception of Item No. 9 (Sidewalk Waiver Request by Union Power Cooperative). Item No. 2. Budget Amendments. A Police Department Donation from Have a Heart Foundation. Police Chief Bryan Gilliard advised by memorandum that the Police Department had received a $225 donation from Have a Heart Foundation to be used for the Monroe Police Explorer Program. Mr. Gilliard advised that due to the cancellation of the January 17, 2019 General Services Committee Meeting, the Chair approved moving this matter forward under the Consent section of the Agenda. Mr. Gilliard advised that it was the recommendation of Staff that Council adopt a Budget Amendment appropriating and designating the funds. Council Member Anthony moved to adopt Budget Amendment BA -2019-03: City Council Regular Meeting February 5, 2019 Page 62 BUDGET AMENDMENT BA -2019-03 1. Amendment necessary to designate and appropriate funds received from Have a Heart Foundation for the Monroe Police Explorer Program. General Fund: Revenue: Miscellaneous $225 Expenditure: Public Safety $225 Adopted this 51 day of February, 2019. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None B. Police Department Donation from OMNOVA Solutions Foundation. Police Chief Bryan Gilliard advised by memorandum that the Police Department had received a $1,500 donation from OMNOVA Solutions to be used for the GREAT and Eddie Eagle Gun Safe Programs. Mr. Gilliard advised that due to the cancellation of the January 17, 2019 General Services Committee Meeting, the Chair approved moving this matter forward under the Consent section of the Agenda. Mr. Gilliard advised that it was the recommendation of Staff that Council adopt a Budget Amendment appropriating and designating the funds. Council Member Anthony moved to adopt Budget Amendment BA -2019-04: BUDGET AMENDMENT BA -2019-04 1. Amendment necessary to designate and appropriate funds received from OMNOVA Solutions Foundation for youth programs. General Fund: Revenue: Miscellaneous $1,500 Expenditure: Public Safety $1,500 LAdopted this 51 day of February, 2019. City Council Regular Meeting February 5, 2019 Page 63 Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No 3 Call for Public Hearings to be Held March 5, 2019. A Historic Landmark Designation for "Ashcraft-Garren House" Located at 304 E. Houston Street. Planning and Development Director Lisa Stiwinter advised by memorandum that Staff had received a Historic Landmark Designation request by the Union County Historic Preservation Commission for the Ashcraft-Garren House located at 304 E. Houston Street. Ms. Stiwinter advised that this designation included the house and grounds and portions of the interior to include: the staircase, the mantels, the original tin roof, the original hardware, and the original wood floors. Ms. Stiwinter advised that it was the recommendation of Staff that Council call for a public hearing to be held March 5, 2019 to consider this request. Council Member Anthony moved to call for a public hearing to be held on March 5, 2019 at 6:00 p.m. to consider this request. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None B Zoning May Amendment Request to Rezone Property Located near Intersection of North Charlotte Avenue and Dickerson Boulevard from Conditional District "Dickerson Boulevard Residential" to Conditional District "Fraser Court" and Text Amendment Request to Amend Code of Ordinances — Title XV: Land Usage, Chapter 156: Zoning Code, Section 156.106 titled "Official Zoning Map" and Section 156.98 titled "Conditional Districts Established." Planning and Development Director Lisa Stiwinter advised by memorandum that (, Staff had received a zoning map request to rezone the property located near the corner of N. Charlotte Avenue and Dickerson Boulevard (tax parcel 09-264-023B) from Conditional District "Dickerson Boulevard Residential" to Conditional District "Fraser Court" and a zoning text amendment request to amend the Code of Ordinances — Title XV: Land Usage, Chapter 156: Zoning Code, Section 156.98 titled "Conditional Districts Established" and Section 156.106 titled "Official Zoning Map." Ms. Stiwinter advised that the rezoning was being requested in order to develop five multi -family apartments with 24 apartments each for a total of 120 units. Ms. Stiwinter advised that the matter was presented to the Planning Board on January 9, 2019. She advised that the project was scheduled for a public hearing to be held at the February 5, 2019 City Council Regular Meeting; however, the applicant requested to postpone his item to the March 5, 2019 City Council Regular Meeting to allow a meeting to be held with the North Carolina Department of Transportation regarding the traffic concerns raised by the neighbors. City Council Regular Meeting February 5, 2019 Page 64 Ms. Stiwinter advised that it was the recommendation of Staff that Council call for a public hearing (, to be held on March 5, 2019 to consider these requests. Council Member Anthony moved to call for a public hearing to be held on February 5, 2019 at 6:00 p.m. to consider these requests. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None C Zoning May Amendment Request to Rezone Property Located at 410 N. John Street from Residential High Density (R-10) to Conditional District "Cup Bearer Meal Center" and Text Amendment Request to Amend Code of Ordinances — Title XV: Land Usage, Chapter 156: Section 156.106 titled "Official Zoning Mad' and Zoning Code, Section 156.98 titled "Conditional Districts Established." Planning and Development Director Lisa Stiwinter advised by memorandum that Staff had received a zoning map request to rezone the property located at 410 N. John Street (tax parcel 09-228-136) from Residential High Density (R-10) to Conditional District "Cup Bearer Meal Center" and a text amendment request to amend the Code of Ordinances — Title XV: Land Usage, Chapter 156: Zoning Code, Section 156.98 titled "Conditional Districts Established" and Section 156.106 titled "Official Zoning Map." Ms. Stiwinter advised that the rezoning was being requested in order to utilize the property for a catering and meeting center Ms. Stiwinter advised that these requests were scheduled to be presented to the Planning Board on February 6, 2019. For timing and scheduling purposes, she advised that Staff was requesting that Council call for a public hearing to be held on March 5, 2019 to consider these requests. If these items do not move forward at the February 6, 2019 Planning Board Meeting, Ms. Stiwinter advised that Staff would not initiate the necessary steps to bring the requests before City Council on March 5, 2019. Council Member Anthony moved to call for a public hearing to be held on March 5, 2019 at 6:00 p.m. to consider these requests. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No 4 Capital Proiect Budget Ordinance for Monroe Science Center Exhibit Proiect Fund. Communications and Tourism Officer Pete Hovanec advised by memorandum that Staff was moving forward with the renovation and development of the 16,000 -square -foot Science Center facility at 316 E. Franklin Street. Mr. Hovanec advised that the architect had completed the overall design and Verner Johnson has been secured to assist in the exhibit design development. City Council Regular Meeting February 5, 2019 Page 65 Mr. Hovanec advised that Staff had received drawings and renderings regarding the Science Center and put the construction documents out to bid. He advised that HM Kern was awarded the project („ as the low bidder. Mr. Hovanec advised that construction had begun and the project was slated to take roughly 270 days to complete. Mr. Hovanec advised that Staff was working to develop the exhibit areas and raise the needed funds for the exhibit purchases. He advised that Staff had identified several exhibits that could be secured and be ready for installation over the next 12 months. Mr. Hovanec advised that the exhibits ranged from the topography box and electronic microscopes to gyroscopes and touchscreen anatomy tables. He advised that Staff would like to set up a project fund with $175,000 from the Occupancy Tax Fund to secure as many exhibits as possible as construction begins on the Science Center. Mr. Hovanec advised that the $175,000 would represent only a portion of the total costs for the exhibits and represents the first steps in securing the needed exhibits. He advised that additional corporate and private funds would be used to leverage this amount in the exhibit securing process. Mr. Hovanec advised that Staff presented this matter to the Tourism Development Authority on December 13, 2018. Mr. Hovanec advised that it was the recommendation of the Tourism Development Authority and Staff that Council adopt a Capital Project Budget Ordinance in the amount of $175,000 for securing exhibits for the Science Center. Council Member Anthony moved to adopt Capital Project Budget Ordinance BO -2019-02: CAPITAL PROJECT BUDGET ORDINANCE MONROE SCIENCE CENTER EXHIBIT PROJECT BO -2019-02 WHEREAS, City of Monroe, North Carolina (the "City") has purchased the property and roughly 16,224 -square foot brick structure located at 318 E. Franklin Street; and WHEREAS, it has been determined previously that a hands-on science and learning -themed facility will be an asset to the city and attract residents from surrounding areas by proving family opportunities in Monroe; and WHEREAS, the Monroe Science Center is currently under construction; and WHEREAS, an allocation is needed to secure the purchase of exhibits for the Monroe Science Center. NOW, THEREFORE, BE IT ORDAINED that the City Council of the City of Monroe transfers the following to capital project OT 1901 for Monroe Science Center Exhibits: Occupancy Tax Project Fund: Revenue: Appropriation of Fund Balance $175,000 Expense: City Council Regular Meeting February 5, 2019 Page 66 Project Costs $175,000 Adopted this 5t' day of February, 2019. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No 5. Charlotte -Monroe Executive Airport Corporate Airplane Storage Hangar. Charlotte -Monroe Executive Airport Manager Peter Cevallos advised by memorandum that the City contracted with KMD Construction to build a 10,000 square foot hangar at the Charlotte - Monroe Executive Airport which it would lease in its entirety to Aerowood Aviation for Cirrus Pilot Center services. Mr. Cevallos advised that construction of the hangar building was complete with only the installation of the stormwater measures pending. He advised that the original construction contract did not address stormwater measures as these measures were separately required by permit and not in the contractor's original scope of work. Mr. Cevallos advised that the Airport Engineers, Talbert, Bright, & Ellington (TBE), coordinated separately with the City's Stormwater Staff to ensure those design criteria requirements were met and subsequently sought prices from three different contractors to do the work. He advised that TBE recommended Eagle Wood, Inc. to complete the installation of the stormwater measures at a cost of $53,838. (Uwl Mr. Cevallos advised that the current construction budget had a remaining balance and TBE had determined the final expenditures and credits to the project budget which allowed the proposed contract price to fall within the remaining funds. Mr. Cevallos advised that this matter was presented to the Charlotte -Monroe Executive Airport Commission on January 14, 2019. Mr. Cevallos advised that it was the recommendation of the Charlotte -Monroe Executive Airport Commission and Staff that Council award the Stormwater Measures Installation contract to Eagle Wood, Inc. in the amount of $53,838 and authorize the City Manager to execute any and all necessary documents. A Award of Stormwater Measures Installation Contract to Eagle Wood, Inc. Council Member Anthony moved to award the Stormwater Measures Installation contract to Eagle Wood, Inc. in the amount of $53,838. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None City Council Regular Meeting February 5, 2019 Page 67 B. City Manager to Execute Documents. Council Member Anthony moved to authorize the City Manager to execute any and all necessary documents with regard to the contract for the (W Stormwater Measures Installation. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No. 6. Minutes and Reports. A. Disbursement of Fiscal Year 2018-2019 City Council Discretionary Funds. 1) Mayor Pro Tem Gary Anderson. City Clerk Bridgette Robinson advised by memorandum that Staff had received a request from Mayor Pro Tem Gary Anderson for disbursement of City Council Discretionary Funds to A Few Good Men Banquet (ticket) in the amount of $30. Disbursements for Mayor Pro Tem Anderson follow: Date Recipient Fiscal Im act Amount Balance 07/01/2018 Discretionary Allocation FY 2018-2019 07/01/2018 $3,000 07/06/2018 Monroe Police Department Explorer Post $500 $2,500 08/02/2018 Monroe Athletic Foundation $250 $2,250 08/16/2018 Monroe Deliverance Center $500 $1,750 08/16/2018 CATA PTSO $500 $1,250 09/06/2018 Union County Branch NAACP $30 $1,220 10/10/2018 Have a Heart Foundation of Union County $100 $1,120 10/10/2018 Tuming Point $200 $920 11/07/2018 The Shepherd's Place $150 $770 11/12/2018 Heart for Monroe $100 $670 11/29/2018 Union County Chamber of Commerce $55 $615 12/06/2018 Bridging of the Ga $150 $465 12/14/2021 Communi Shelter of Union County $100 $365 12/14/2018 Union County Dr. Martin Luther King, Jr. Organization $50 $315 01/25/2019 A Few Good Men $30 $285 As this item was for informational purposes only, no action was required from Council. 2) Council Member Surluta Anthony. City Clerk Bridgette Robinson advised by memorandum that Staff had received requests from Council Member Surluta Anthony for disbursement of City Council Discretionary Funds to A Few Good Men Banquet (ticket) in the amount of $30 and Rotary Club of Monroe in the amount of $200. Disbursements for Council Member Anthony follow: Date Recipient Fiscal Impact Amount Balance 07/01/2018 Discretionary Allocation FY 2018-2019 $3,000 City Council Regular Meeting February 5, 2019 Page 68 IM IM A Date Recipient Fiscal Impact Amount Balance 07/03/2018 Community Health Services of Union County, Inc. $500 $2,500 07/03/2018 Rotary Club of Monroe $600 $1,900 07/06/2018 Union County Community Shelter $150 $1,750 08/01/2018 Monroe High School Athletic Foundation $300 $1,450 09/06/2018 Christian Family Care Home $300 $1,150 09/06/2018 Union County Crisis Assistance Ministry $300 $850 09/06/2018 Union County Branch NAACP $30 $820 10/19/2018 Union County Crisis Assistance Minis $50 $770 11/07/2018 The Shepherd's Place $200 $570 11/26/2018 Rotary Club of Monroe $200 $370 12/17/2018 Dr. Martin Luther King, Jr. Prayer Breakfast $25 $345 12/17/2018 Union County Ministers Dr. Martin Luther King, Jr. Banquet $25 $320 01/25/2019 A Few Good Men $30 $290 01/25/2019 Rotary Club of Monroe $200 $90 As this item was for informational purposes only, no action was required from Council. 3) Mayor Bobby Kilgore. City Clerk Bridgette Robinson advised by memorandum that Staff had received a request from Mayor Bobby Kilgore for disbursement of City Council Discretionary Funds to A Few Good Men Banquet (ticket) in the amount of $30. Disbursements for Mayor Kilgore follow: Date Recipient Fiscal Im act Amount Balance 07/07/2018 Discretionary Allocation FY 2018-2019 $3,000 09/27/2018 Council on Aging in Union County $500 $2,500 09/27/2018 Monroe High School Athletic Foundation $250 $2,250 10/24/2018 Bridge to Recovery $250 $2,000 11/02/2018 Union County Chamber of Commerce $50 $1,950 11/07/2018 The Shepherd's Place $250 $1,700 12/03/2018 Union County Crisis Assistance Ministry $125 $1,575 12/21/2018 Union County Dr. Martin Luther King, Jr. Organization $25 $1,550 12/21/2018 Dr. Martin Luther King, Jr. Committee, Inc. $25 $1,525 01/25/2019 A Few Good Men $30 $1,495 As this item was for informational purposes only, no action was required from Council. 4) Council Member Franco McGee. City Clerk Bridgette Robinson advised by memorandum that Staff had received requests from Council Member Franco McGee for disbursement of City Council Discretionary Funds to Dr. Martin Luther King, Jr. Prayer Breakfast in the amount of $25, Union County Dr. Martin Luther King, Jr. Organization (banquet ticket) in the amount of $25, Parkwood High School Basketball Teams for a holiday meal in the amount of $190, Bridging the Gap Event in the amount of $250 and Grow Smart CLT (conference ticket) — Confronting Racial Equity: Lessons from Minneapolis in the amount of $10. Disbursements for Council Member McGee follow: City Council Regular Meeting February 5, 2019 Page 69 A Date 07/07/2018 Recipient Discretionary Allocation FY 2018-2019 Fiscal Impact Amount Balance $3,000 08/09/2018 Mirror Organization $150 $2,850 12/17/2018 Dr. Martin Luther King, Jr. Prayer Breakfast $25 $2,825 12/17/2018 Union County Dr. Martin Luther King, Jr. Organization $25 $2,800 12/21/2018 Parkwood High School Basketball Teams $190 $2,610 12/31/2018 Bridging the Gap Event $250 $2,360 01/09/2019 Grow Smart CLT $10 $2,350 As this item was for informational purposes only, no action was required from Council. B. Financial Reports for January 2019. Financial Reports for January 2019 were received as information by Council. C. Minutes of Board of Adjustment Meeting of December 13, 2018. Minutes of the Board of Adjustment Meeting of December 13, 2018 were received as information by Council. D. Minutes of Charlotte -Monroe Executive Airport Commission Meeting of October 8, 2018. Minutes of the Charlotte -Monroe Executive Airport Commission Meeting of October 8, 2018 were received as information by Council. E. Minutes of City Council Meetings of January 8, 2019. Council Member Anthony moved to (awo" approve the Minutes of the City Council Strategic and Regular Meetings of January 8, 2019. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None F. Minutes of Historic District Commission Meeting of December 10, 2018. Minutes of the Historic District Commission Meeting of December 10, 2018 were received as information by Council. G Minutes of Monroe Tourism Development Authority Meeting of December 13, 2018. Minutes of the Monroe Tourism Development Authority Meeting of December 13, 2018 were received as information by Council H Minutes of Monroe -Union County Economic Development Board of Advisors Meeting of November 13, 2018. Minutes of the Monroe -Union County Economic Development Board of Advisors Meeting of November 13, 2018 were received as information by Council. I. Minutes of Planning Board Meeting of November 7, 2018. Minutes of the Planning Board Meeting of November 7, 2018 were received as information by Council. City Council Regular Meeting February 5, 2019 Page 70 J. Summary of Contracts Awarded, Change Orders Approved and Settlement of Claims. City Manager E.L. Faison reported by memorandum the award of contracts pursuant to Ordinance fir, 0-2001-17, change orders approved pursuant to Resolution R-2000-76 and the settlement of claims pursuant to Ordinance 0-2008-50: A A (6w Date Name Purpose Fiscal Im act Fund Amount 12/14/2018 B & M Upholstery Afterschool bus benches Parking and *$1,473 Recreation 12/14/2018 CLD Services Electric meter accuracy Energy $20,000 testing Services 12/14/2018 Facility Systems Add transformer to shut down Facility *$1,233 Services, Inc. chiller when generator runs in Maintenance "Test" 12/14/2018 Waynco Roofing Monroe Aquatics and Fitness Parks and *$3,488 Center (MAFC) new roof Recreation s stem for stairwell area 12/18/2018 American Fence and Dickerson Park fence repairs Parks and $16,850 Supply Company and replacements due to Recreation Hurricane Florence damage 12/18/2018 Specialized Contract Claims administration and Human $13,000 Administrators service agreement Resources 12/19/2018 James E. Boyd Lake Monroe Inspector Water $7,200 Resources 12/19/2018 Robert Simpson Lake Twitty Inspector Water $7,200 Resources 12/21/2018 Valassis MAFC media and home Parks and $25,000 mailers Recreation 01/07/2019 Hilltop Fish Fare & Employee Service Awards Human *$2,869 Steakhouse Breakfast Resources 01/07/2019 Thinking Hats Utility Locate Ticket Energy $15,000 Technologies Management Solution Services [CO #1] development/implementation 01/08/2019 Aquatic Resource MAFC indoor pool sand and Parks and $9,682 Group lateral removal/ replacement Recreation 01/08/2019 ECS Southeast Monroe Industrial Park #3 Economic $27,625 environmental services Development 01/08/2019 Mulch Solutions, Parks Williams Athletic Parks and $29,360 LLC Complex erosion control and Recreation landscape services 01/10/2019 Johnson Controls City Hall alarm detection and Administration *$600 monitoring 01/10/2019 Walker & Whiteside Airfield NAVAIDS — inspect Airport *$2,000 and adjust PAPI aiming ole 1/15/2019 GTA Associates Engineering inspection and Water $40,135 [CO #1] testing services for Resources construction of improvements to solids handling, finished water storage, etc. and also Lake Lee debris boon City Council Regular Meeting February 5, 2019 Page 71 Date Name Purpose Fiscal Im act Fund Amount PD1902 07/27/2018 Energy Services 1/15/2019 Mistras Group, Inc. Liquefied Natural Gas Plant Energy $9,000 [CO #1] construction Services 01/15/2019 Ramsay Leimenstoll Historic District Design Planning and $25,000 Guidelines update Development 01/17/2019 Chain Reaction Center Theatre and Science Downtown *$4,550 Sewer back-up Studios Center fundraising campaign issues allegedly video 01/22/2019 Atlantic Emergency Pierce Arrow fire engine Fire $5,990 Solutions Fund of NC [CO #1] 01/22/2019 NEOGOV Online recruiting services Human $15,245 Resources 01/25/2019 Hydraulic On -Site Provide hydraulic hose Finance *$4,999 E ui ment Repair fabrication services as needed *Approved by Department Director ITotal $287,499 The settlement of claims through January 31, 2019 are as follows: Claim # Date Department Amount Reason Settled B PD1902 07/27/2018 Energy Services $1,049.21 City driver backed Interlocal into E. Simpson's Risk vehicle Financing Fund of NC PD1904 08/03/2018 Water Resources $3,282.60 Sewer back-up Interlocal (McNamara) issues allegedly Risk caused by City Financing Fund of NC This item was for informational purposes only; therefore, no action was required from Council. Item No. 7. Municipal Solid Waste, Yard Debris, Recycles and Bulk Item Collection Request for Proposals. Engineering Director Jim Loyd advised by memorandum that Staff was requested by the Public Enterprise Committee and approved by City Council on November 6, 2018 to advertise a Request for Proposals (RFP) from qualified vendors for solid waste services. Mr. Loyd advised that a package had been prepared for consideration by Council. He advised that the RFP established guidelines to identify the minimum level of service expected of the vendor for the solid waste contract. Mr. Loyd advised that a section was included in the RFP where the vendor could propose alternative plans or ideas as well as value-added services that they could provide. He advised that proposals were being requested for a five-year and eight-year contract term. Mr. Loyd advised that the selected contract term was then proposed to have three optional two-year renewals or an alternate term mutually agreed upon at time of renewal. Mr. Loyd advised that the vendors would be requested to provide proposals inclusive of the following services: City Council Regular Meeting February 5, 2019 Page 72 • Garbage, yard debris, and bulky collection for residents are to continue at once per week with recycling provided once every other week; • Garbage collection is to continue for commercial customers at once per week and recycling provided every other week; • Dumpster service for over 30 locations in Downtown Monroe and various City of Monroe facilities is to be provided; Back -door pickup is to be provided for residents who are unable to get their carts to the curb. Citizens are asked to provide a doctor's note to substantiate existence of a disability; • Community cleanup consisting of four Saturday community cleanup days per year that shall be treated as full service days; • Street -side solid waste collection for the City's Adopt -A -Street Program that consists of collecting bagged garbage; • Provide a flat rate for extra dumping of dumpsters and carts for Downtown events if requested by the City; • Solid waste and recycling collection in conjunction with the Air Show held Veterans Day weekend at the Charlotte Monroe Executive Airport; • Provide recycling collection to all schools within the City limits (currently 11 schools); • Garbage and recycling cart repair, replacement, delivery and storage of City -owned carts. • Baseline educational and promotional programs for solid waste and recycling; • Transition plan that provides a detailed outline of activity from date of award on June 4, 2019, leading up to the start date on October 1, 2019. (40", Regarding customer service, Mr. Loyd advised that the City would continue as being primarily responsible for these functions including informing residents of current services, receiving resident requests and directing resident complaints to the selected vendor. He advised that the selected company would also be responsible for serving as backup to the City as well. Mr. Loyd advised that currently, the majority of service calls were handled by the City with the designated route supervisor for the vendor and this was not expected to change. Mr. Loyd advised that as part of the contract, the vendor was responsible for providing tracking software. He advised that both the City and vendor would enter complaints and requests when received into the tracking software. As part of the submittal, Mr. Loyd advised that the vendor was required to submit an overview of their customer service program. Mr. Loyd advised that receipt of the RFPs are due on April 12, 2019 at 10:00 a.m. in the City Hall Conference Room. He advised that City Staff and the Public Enterprise Committee were proposing to select a minimum of two of the RFPs for further consideration by the Committee by April 26, 2019. Mr. Loyd advised that the recommended selection team included Assistant City Manager Brian Borne, Planning and Development Director Lisa Stiwinter, Solid Waste Coordinator Laurie Broome and Engineering Director Jim Loyd. Engineering Director. Mr. Loyd advised that the selected vendors would be allowed 30 minutes at the May 21, 2019 Public Enterprise Committee Meeting to present information highlighting their proposal as well as their company. Upon completion of the presentations, Mr. Loyd advised that it was proposed that City Council Regular Meeting February 5, 2019 Page 73 the Public Enterprise Committee finalize a recommendation to Council for the June 4, 2019 City Council Regular Meeting. Mr. Loyd provided the following summary of the various tasks and timeline for the RFP: TASK TIMELINE Public Enterprise Committee RFP Recommendation January 15, 2019 City Council RFP review and approval February 5, 2019 Advertise and Release RFP February 6, 2019 Pre -Bid meeting February 26, 2019 at 10:00 p.m. Questions regarding the RFP due March 14, 2019 at 5:00 p.m. RFP submittal deadline Aril 12, 2019 at 10:00 a.m. City Staff selects minimum of two proposers for further consideration April 26, 2019 Presentation to Public Enterprise Committee by a minimum of two proposers May 21, 2019 Contract approval; presentation to City Council by selected proposer June 4, 2019 90 -day notification to Waste Pro if required July 2, 2019 or earlier Contract negotiations/finalization June - September 2019 Transition Plan Presentation to City Council July 16, 2019 Contract start/First day of service October 1, 2019 Mr. Loyd advised that the proposed RFP for solid waste services was discussed at the January 15, 2019 Public Enterprise Committee Meeting. He advised that during the discussion, it was determined that Council Member/Chair Anthony and Committee Member Loretta Melancon would assist the selection committee in determining the vendors presenting to the Public Enterprise Committee at their meeting on May 21, 2019. Mr. Loyd advised that the Public Enterprise Committee directed Staff to proceed to Council for final approval of the RFP. Mr. Loyd advised that it was the recommendation of the Public Enterprise Committee and Staff that Council approve and authorize Staff to issue the RFP for solid waste services on February 6, 2019. Council Member Anthony moved to approve and authorize Staff to issue the Request for Proposals for solid waste services on February 6, 2019. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No 8 Resolution Authorizing City Manager to Approve North Carolina Department of Transportation Improvement Program Fiscal Year 2019-2025 Charlotte -Monroe Executive Airport Proiect Listing. Charlotte -Monroe Executive Airport Manager Peter Cevallos advised by memorandum that as an annual requirement, the North Carolina Department of City Council Regular Meeting February 5, 2019 Page 74 Transportation (NCDOT) requests airport sponsors to update their list of aviation projects for inclusion into the state's aviation planning system. Mr. Cevallos advised that this would allow the (, NCDOT staff to ensure the system was keeping up with air transportation demands and provided accountability for the necessary grant funding of Airport projects. Mr. Cevallos advised that in coordination with the Charlotte -Monroe Executive Airport's consultant and engineer of record, Talbert, Bright, & Ellington, the following project listing has been compiled showing the prioritization of Airport projects for the next seven years: Strengthen Runway to 95,000 DW; Strengthen Taxiways to 95,000 DW, Fillet Widening and Relocate Parallel Taxiway; Terminal Building Expansion; North Hangar Area Improvements - Phase IA; North Hangar Area Improvements - Phase IB; Land Acquisition — East Area; North Hangar Area Improvements - Phase 11; New Air Traffic Control Tower and Access Road; Land Acquisition — West Hangar Area; Land Acquisition and Design for Auto Parking Expansion; East Partial Parallel Taxiway; Land Acquisition — Runway 23 Protection Zone; North Hangar Area Improvements — Phase 111; Apron Rehabilitation (Areas D & E); and, North Hangar Area Improvements — Phase IV. Mr. Cevallos advised that these projects took into consideration both those demands on the runway and taxiway systems, and corresponding areas of facility development. With approval, he advised that the listing would update the current prioritization NCDOT staff had reflecting the Airport's immediate needs and direction of growth. Mr. Cevallos advised that utilizing this information, NCDOT staff prioritized the Airport's request for grant funding for Airport projects in the coming years. Due to the cancellation of the January 17, 2019 General Services Committee Meeting, the Chair approved moving this matter forward under the Consent section of the Agenda. Mr. Cevallos advised that it was the recommendation of Staff that Council adopt a Resolution granting authorization to the City Manager to approve the Airport's current determined list of capital improvements for Fiscal Year 2019-2025. He advised that if approved, this list would be submitted to NCDOT as the approved list for their use/reference. Council Member Anthony moved to adopt Resolution R-2019-06: RESOLUTION GRANTING AUTHORIZATION TO CITY MANAGER FOR APPROVAL OF FISCAL YEARS 2019-2025 TRANSPORTATION IMPROVEMENT PROGRAM PROJECT LISTING FOR CHARLOTTE-MONROE EXECUTIVE AIRPORT R-2019-06 WHEREAS, Charlotte -Monroe Executive Airport is a reliever airport in the State of North Carolina, and WHEREAS, the City of Monroe submits a Transportation Improvement Program project listing each year to assist the State of North Carolina's Division of Aviation prioritization and budgeting for the coming year's capital investments throughout the State, and City Council Regular Meeting February 5, 2019 Page 75 WHEREAS, the Transportation Improvement Program project listing is approved by the City Council each year, and WHEREAS, the City Council grants the City Manager the authority to approve the Transportation Improvement Program for Fiscal Years 2019-2025 after recommendation of staff and the General Services Committee. NOW, THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY OF MONROE that the City has the ability to arrange financing for any projects that may be approved for a grant in the Transportation Improvement Program. Adopted this 5th day of February 2019. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following (W votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No. 9. Sidewalk Waiver Request by Union Power Cooperative. Moved to Regular Agenda as Item # 12. Item No. 10. Tax Releases for December 2018. Finance Director Lisa Strickland advised by (4w" memorandum that the refunds and releases of taxes pursuant to North Carolina General Statute §105-381 for December 2018 were $59,463.24. Ms. Strickland advised to the total, $58,410.86 were late listing fees that were released upon the Assessor's review of the original listing forms and the remaining releases were created by a change or reduction in value for the City of Monroe by the Union County Tax Assessor. Ms. Strickland advised that the Union County Commissioners had previously approved these releases and Staff was now requesting that Council approve the tax releases for December 2018 in the amount of $59,463.24. Council Member Anthony moved to approve tax refunds and/or releases for December 2018 in the amount of $59,463.24. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No. 11. Water Resources Computerized Maintenance Management System. Water Resources Director Russ Colbath advised by memorandum that in July 2017, Council accepted an Asset Inventory and Assessment Grant from the North Carolina Department of Environmental Quality. Mr. Colbath advised that the grant provided a total of $300,000 in funds for the City's water and wastewater system. He advised that the required 10% match was also approved, giving a total project budget of $330,000. Mr. Colbath advised that the funds were being used to develop City Council Regular Meeting February 5, 2019 Page 76 LM a computerized maintenance management system that would allow the assessment and management of all water and wastewater assets. He advised that the system would also have a call center element to manage customer interface for water and sewer calls. Mr. Colbath advised that the benefits of this new system would include: elimination of stand- alone excel spreadsheets and/or databases that could be cumbersome and time consuming to track and keep updated; mobile field capability with real time connections to the City's system; full integration with the City's GIS system; reduction of paper -driven processes that lacked efficiency and integration; replacement of antiquated software used to manage assets at our treatment plants; and, completion of asset inventory for all electrical/mechanical assets including set-up of all preventative work orders. Mr. Colbath advised that Water Resources Staff, working with WK Dickson Engineers, consulted with Norma Houston at the UNC School of Government regarding a qualification based procurement process that would meet the AIA Grant requirements and North Carolina procurement law. He advised that in conjunction with the City's Information Technology Department, Staff performed a scored screening and assessment of vendors that could meet the desired project outcomes. Mr. Colbath advised that vendors were then ranked based on the scored outcomes and their ability to meet the project requirements. He advised that vendors were required to separate out the cost for software purchases from the cost of implementation and annual maintenance/support services, which are considered service contracts and were not subject to the procurement laws in North Carolina. With the purchase of software in all cases being less than $90,000, Mr. Colbath advised that the procurement fell under the informal bidding requirements and met the criteria of North Carolina General Statute Section 143-131 for the software purchase. He shared the following results: Com an Score Software Annual Support Implementation Lucity, Inc. 149 $78,500 $15,700 $77,638 City Works 148 $45,000 $45,000 $64,000 Dude Solutions 136 $12,923 $12,923 **$11,200 Sedaru 135 $27,046 $27,046 $83,500 MaintStar 97 $39,555 $29,550 $64,500 ** Implementation scope of work was too vague and introduced uncertainty. Based on qualifications and ability to meet project outcomes, with cost as a secondary consideration, Mr. Colbath advised that Lucity, Inc. was identified as the preferred vendor to complete the project. He advised that because the total implementing cost from Lucity, Inc. ($171,838) exceeded $100,000, the contract award was being presented to Council for approval. Mr. Colbath advised that other project costs utilizing grant funds that did not require Council actions were as follows: Grant Fees $4,500 WK Dickson Engineering — Vendor selection services $35,000 Madrid Maintenance Solutions — Treatment Plant Assets Confi . $38,450 Mobile Hardware/Tablets $18,000 City IT Server and License $7,100 City Council Regular Meeting February 5, 2019 Page 77 CCTV Assessment and Contingency $55,112 Sub Total $158,162 Total w/Luci $330,000 Mr. Colbath advised that Staff presented this item to the Public Enterprise Committee on January 15, 2019. Mr. Colbath advised that it was the recommendation of the Public Enterprise Committee and Staff that Council award the contract for the Water Resources Computerized Maintenance Management System to Lucity, Inc. in the amount of $171,838 and authorize the City Manager to execute any and all necessary documents. He advised that grant funds were available as noted. A. Award of Contract to Lucite, Inc. Council Member Anthony moved to award the contract for the Water Resources Computerized Maintenance Management System to Lucity, Inc. in the amount of $171,838. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None B. City Manager to Execute Documents. Council Member Anthony moved to authorize the City Manager to execute any and all necessary documents with regard to the contract for the (awe Computerized Maintenance Management System. Mayor Pro Tem Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None REGULAR AGENDA Item No. 12. Sidewalk Waiver Request by Union Power Cooperative. Engineering Director Jim Loyd advised that Staff had received a sidewalk waiver request from Union Power for their Campus Expansion. Mr. Loyd advised that the reasons stated for the request were liability concerns during snow and ice events and the lack of any nearby existing sidewalk. He advised that future construction of a Union County transmission water line along the property frontage was also cited as justification for the waiver. Mr. Loyd advised that the City's Standard Specifications and Detail Manual, Section 02.02.06 Sidewalk Requirements, required sidewalk to be provided along existing arterial and collector streets as a development requirement. He advised that the listing of streets was provided under Section 02.02.06 B of the Manual that was inclusive of Rocky River Road. Mr. Loyd advised that accordingly, sidewalk was required along Rocky River Road as part of Union Power Cooperative's campus expansion. City Council Regular Meeting February 5, 2019 Page 78 Mr. Loyd advised that the approved plans for the expansion included approximately 1,100 linear (AW feet of sidewalk along Rocky River Road. He advised that the surrounding area was a mix of residential and industrial uses with the Colonial Village neighborhood and Aeropointe Parkway (with sidewalk along both sides) located just 300 feet to the north. Mr. Loyd advised that the intent of the sidewalk policy outlined in the Detail Manual was to allow new development to share in the placement of sidewalk along major arterials and collector streets, providing for an alternative means of transportation other than motor vehicle. He advised that over time, this process would allow sections to be completed. Mr. Loyd advised that pedestrian friendliness correlated to the livability of the community. Mr. Loyd advised that the Comprehensive Transportation Plan developed with the Charlotte Regional Transportation Organization (CRTPO) also indicated that Monroe ultimately desired for Rocky River Road to be a four -lane facility inclusive of pedestrian facilities, bicycle lanes and sidewalk. He advised that the inclusion of sidewalks met the North Carolina Department of Transportation's Complete Streets Policy to consider and incorporate several modes of transportation when building new projects or making improvements to existing infrastructure. Mr. Loyd advised that existing sidewalk was taken into consideration during the development of State Transportation Improvement Program Projects and decreased the costs to the City for the completion of pedestrian facilities. With regard to the concern with needing to divert resources to clear sidewalk during a storm event, Mr. Loyd advised that with the exception of Downtown Monroe, sidewalks across the City were (4wel typically remedied by warmer weather conditions. He advised that resources were typically deployed by the City to clear the sidewalks in Downtown Monroe after a storm event due to the high volumes of pedestrian traffic in the area. Mr. Loyd advised that this matter was presented to the Public Enterprise Committee on January 15, 2019. Mr. Loyd advised that it was the recommendation of the Public Enterprise Committee and Staff that Council require sidewalk be installed along Rocky River Road as part of the Union Power Campus Expansion per the requirements of the Standard Specifications and Detail Manual and that Council deny the requested waiver. Council Member Keziah moved to approve the sidewalk waiver request by Union Power for their Campus Expansion located along Rocky River Road. Council Member Holloway seconded the motion, which passed with the following votes: AYES: Council Members Holloway, Jordan, Keziah, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: Council Members Anthony and McGee For future reference, Council Member Jordan stated that when an item had been presented to a Mayoral/Council Committee and placed on Council's Consent Agenda for consideration and was being removed from the Council Consent Agenda and being placed on Council's Regular Agenda City Council Regular Meeting February 5, 2019 Page 79 for discussion, he felt it would be helpful for the Committee Chair to share the discussion held at the Committee level surrounding that item. Cry Council Member/Public Enterprise Committee Chairman Anthony advised that the Committee did discuss this matter on January 15, 2019 and recommended that the sidewalk waiver request be denied thus requiring Union Power to install sidewalks in accordance with the City's Standard Specifications and Detail Manual. Item No. 13. Downtown Economic Incentive Grant to MBW Landlord, LLC (Rehab Development) for Piedmont Buggy Works (Tabled from December 4, 2018 and January 8, 2019 City Council Regular Meetings). Car A. Public Hearing. Mayor Kilgore opened the duly advertised public hearing. Assistant City Manager Brian Borne advised that this was a request to consider an incentive package proposal requested by MBW Landlord, LLC (Rehab Development) for the development of the Piedmont Buggy Factory property. Mr. Borne advised that since MBW Landlord, LLC acquired an option to purchase 514 Miller Street in August 2017, MBW Landlord, LLC and Level 2 Development (DC based project co- sponsor), have been working closely with City Staff, the Union County Historic Preservation Commission and Self Help (current property owner) to overcome obstacles associated with the Cue" redevelopment of the historic Piedmont Buggy Factory located along a major gateway into our Historic Downtown. He advised that milestones reached to date included: design and approval of the site plan and successful rezoning to permit the use of approximately 54 market-rate loft apartments; obtained Local Landmark Designation which will allow for a 50% permanent reduction in property taxes for as long as the project was redeveloped and maintained consistent with Union County Historic Preservation Commission's approval; and, prior to December 31, 2017 a one percent ownership entity of the property was created, by the developers, to preserve eligibility of the Federal Historic Rehabilitation Tax Credit program that was in place prior to the new, diminished Historic Tax Credit program created by the 2017 tax reform. Mr. Borne advised that the vision for"Piedmont Buggy Works" included: converting the existing building into approximately 54-unit market rate apartment complex that was an asset to economic development for Downtown,the City of Monroe and Union County; creating an inviting, aesthetic improvement to the Skyway Boulevard Gateway into Historic Downtown Monroe; acting as an anchor and catalyst for continued residential redevelopment consistent with the Downtown Master Plan; and, being a supportive neighbor to the Community Shelter of Union County being constructed directly across the street. Mr. Borne advised that the project was estimated to be an investment in excess of$9 million upon completion(with the assessed value of the investment being approximately$4.5 million when the property tax deferral was taken into account). He advised that the developer working closely with City Staff, the Union County Historic Preservation Commission and Self Help (current property owner) to overcome obstacles associated with the redevelopment of the historic Piedmont Buggy City Council Regular Meeting February 5,2019 Page 80 Factory located along a major gateway into our Historic Downtown have established an incentive package consisting of an interest free loan and a City incentive grant as outlined below: Coo 1. A $400,000 interest free loan to be provided by the City of Monroe to the development with no payments or due until approximately 84 months from the project commencement date. These funds would be paid back in one lump sum upon refinancing of the initial debt on the property upon the exit of the historic tax credit investors,both state and federal. All proceeds from the refinance would be due and payable to the City at that time. 2. A City incentive grant, not to exceed in total $221,870 or annually $22,187, for improvements to the property for a period of ten years beginning in Fiscal Year 2022 from the initial commencement of the project. The current property valuation was $540,000. The City's grant award to the development team was based on the assessed value of the improvements to the property that was the amount of assessed value above the base year value of$540,000. The City would use a grant factor of 5.08%. The grant amount was calculated by multiplying the current year's assessment, minus the base year's value and divided by the term of the grant. The grant factor can be changed annually by the City Council to retain the same percentage of grant to value. Prior to receiving any grant dollars, the development group must be in good standing with the City on its property taxes, utilities, and other fees due and owing to the City. Mr. Borne advised that it was the recommendation of the General Services Committee and Staff (0•0` that Council approve the incentive package, the interest-free loan and the Downtown incentive grant. Council Member Keziah asked for the total of the grant. Mr. Borne advised that there were two components, the loan was for $400,000 and the incentive grant was $221,870. Council Member Keziah stated that the loan had to be paid back but the incentive grant did not have to be paid back. Mr. Borne confirmed that was correct. He advised that the MBW Landlord, LLC (Rehab Development) Managing Partner, Patrick Reilly, was available to answer any questions. Council Member Jordan asked where the $400,000 would come from. Both Mr. Borne and Finance Director Lisa Strickland advised that the $400,000 would be from the General Fund Balance. Council Member Jordan asked if the City would be paid interest on the loan for the period of time the money was owed. Mr. Borne advised that this would be an interest-free loan and the loan would commence once the project began. He advised that the developer had until December 31, 2020 to begin the project. City Council Regular Meeting February 5,2019 Page 81 Mayor Kilgore asked what happened to the $400,000 if the developer did not begin by December 31, 2020. Mr. Borne advised that the City would not be committed to loaning the money or there could possibly be an extension if the developer so desired and Council obliged to request an extension. Mayor Kilgore asked what happened if the developer decided this was not a viable project and decided not to build it. Mr. Borne advised that if that were the case, there would be no loan to make. Once the project was started, Council Member Jordan asked when the $400,000 would be made available to the developer. Mr. Borne advised that the money would be made available at the commencement of the project. Council Member Jordan asked for the time period the developer had to repay the loan. Mr. Borne stated that there would be no payment due until 84 months and this would allow the tax credits to expire and provided an extra boost to help the project succeed. Council Member Jordan asked Mr. Borne to restate what the City would be doing in addition to the $400,000 on an annual basis. Mr.Borne advised that the City would be offering an incentive grant which totaled$221,870 which equates to no greater than $22,187 over ten years. Council Member Holloway asked if the loan would be secured by a Deed of Trust with the City holding first position. City Attorney Mujeeb Shah-Khan advised that the loan would be secured by a Deed of Trust but the City did not have a position of first or second on the mortgage. Council Member Anthony asked if the City did not have to require itself to be first or second position. City Attorney Shah-Khan stated that the City did not. He stated that the first position was typically taken by the banks. City Attorney Shah-Khan stated that the City could conceivably become second position if Council requested that but he felt the City would want to have the developer agree to a requirement for a second position. Mayor Kilgore stated if the City made the loan and after the project had been started,the developer decided that this was not a viable project and decided to pull out, the City would not get the ( F $400,000 until the first position mortgage holder received payment. City Council Regular Meeting February 5,2019 Page 82 Mr. Borne stated not on the City's loan. Mayor Kilgore asked how the City would get its $400,000 back. City Attorney Shah-Khan stated that if the project did not start there would be no loan. He advised that if the developer started and then abandoned the project, the City foreclosed on the Deed of Trust. Mayor Kilgore reiterated the fact that if the City loaned the developer$400,000, started the project and then decided to stop the project and walked off, the City was not first position holder and had to get in line to get behind everyone else to get repaid. He stated that the City had been there and done that before. Council Member Antony asked if the loan would be in increments. Mr. Borne advised that it would be a lump sum payment. Mr. Reilly stated that he would like to take the opportunity to address some of the questions posed by Council. He advised that this project was extraordinarily challenging from a financial standpoint. Mr. Reilly stated that in order to even get a lender to talk to them seriously about the project,they needed to have these types of financial incentives in place otherwise the numbers out there just would not work under any circumstances whatsoever. Mr. Reilly stated that he and his sponsor team were very experienced developers. He stated that they had done projects significantly larger than what was being presented tonight. Mr. Reilly stated that they would have to be able to provide their lender with a personal guarantee of their financial statement that they were going to know by the time they loaned them the first dollar, which they would have to have closed before they started the project,that this was a done deal and that they were not going to abandon the project. Mr. Reilly stated that they were going to close about a$4.7 million first position loan in order to do that and the lender was not just going to give them the money if they thought there was any chance they were going to walk away and not pay the loan back. Mr. Reilly stated that on any debt, the bank would be the first position holder. He advised that the City would be where the City was. Mr. Reilly stated that historically, the City would end up in second position but he would need to see the way the tax credit syndication documents looked. He advised that they could have the same thing where they had the personal guarantor team that was going to guarantee the bank debt would be on the debt that they were guaranteeing from the City which they never draw dollar one on until they had already closed the bank debt and the bank felt good about that. Mr. Reilly stated that there was chance for anything but the chances that they could ever get the project started and walk off with the City's $400,000 was very minuscule because they were already going to be in such debt to the bank first position holder. He advised that there would then be penalties on the tax credit syndication side. Mr. Reilly stated that the City's money would be City Council Regular Meeting February 5,2019 Page 83 extremely secure in a non-primary position of whatever that ends up with. He felt that there would be documents that provided those assurances. Mr. Reilly stated that the project was zoned for 56 market-rate apartments. He stated that they would be trying to drive people with disposable income very close to the downtown proximity so that they could help support the downtown businesses. Mr. Reilly stated that they had done this in a lot of other cities across North Carolina and neighboring states and they tried to create win- win-win situations for everyone involved. He stated that this would be a unique housing product that there would not be anything similar to it that he was aware of in the market right now in that it would have the nicest amenities and finishes of any type of rental houses that he was aware of anywhere close to downtown Monroe. He felt this project which would further allow employers in the area to attract additional quality workforce because they would have a quality place to move to and live in. Mr. Reilly advised that the project was wonderful and the bones of it were incredible. He stated that this was a very unique, impressive building and he felt that it was an underdeveloped gem of Union County and Monroe specifically. Mr. Reilly stated that the challenges were that the project was not right in downtown and they were going to have to overcome some obstacles with getting underwriting on the financing side from banks. He stated that the rent was going to be higher than what was being seen in the market today; however, that was typical of every project they had ever done and he was confident that (1.1 they would be able to get through that. Mr. Reilly stated that he and one of his partners had met with the Community Shelter of Union County Executive Director, talked through the concept and they were very comfortable that the use of the property as they saw it to be and the Community Shelter would be complimentary to one another and could make each property more unique and allowed to be enjoyed by the community at large. Mr. Reilly advised that if this matter was approved tonight, he would then begin a more comprehensive underwriting process with banks and potential tax credit investors who were also going to be flyspecking all these numbers very carefully and they would not be able to close their bank loan or syndication until everyone was completely comfortable with what they were doing. He was hopeful that this information would give the City a little bit of solace that there were going to be several other professionals that were going to be looking at this and making sure the numbers all add up and made sense. Council Member Anthony asked what the time line would look like. Mr. Reilly stated that as the documents indicated, they most likely would not be able to get started in 2019 until the Community Shelter was up and running and he was able to take lenders and his partners through it and everyone was comfortable that it was okay. He stated that the timeline from the point that they pulled the trigger to possibly get into construction was at least six months. Therefore, Mr. Reilly felt that most likely it would be sometime in early to late 2020. He stated that the total construction cycle for a project that had a lot of demo work would be about 18 months. City Council Regular Meeting February 5,2019 Page 84 Mr. Reilly stated that this was why they wanted a window of 24 months from the end of 2020 to the end of 2022 so they did not have to come back before Council and advise that they did not meet the timeline. He stated that he had never had to do that before and did not want to do that in Monroe. Council Member Keziah asked Mr. Reilly how much investment his group had involved in the project. As of today and not counting the dollar for any time he had spent on the project and donated time from one of his partners doing engineering work, Mr. Reilly stated that they were probably into it for$50,000. Council Member Holloway stated that one of the concerns was parking. He asked if they had been able to squeeze in some more parking spaces. Mr. Reilly stated that they had not squeezed in anymore parking spaces and he was not sure they would be able to get additional room. He stated that as long as they had the baseline of the spaces that they had and they got down to where they were coming to final drawings and somebody thought of a way to add more spaces, they certainly would. Mr. Reilly stated that was one of the reasons he backed down the unit count that was approved from 56 units to 54 units so as to not add undue stress on a parking situations. He stated that if they could come up with extras spaces and they could put in the whole 56 units they wanted to but they did not want to create a problem Coo' if they did not need too. Council Member Keziah asked how much parking would be available. Mr. Reilly felt that spaces were around the low 60s but felt City Staff could provide the definite number of spaces. Council Member Keziah asked how many units could be built based on that. Mr. Reilly stated that they got approved for 56 and he felt they could build 56 with the parking spaces but he backed down to 54 for the purposes of the proposal tonight. trir There being no other speakers, Mayor Kilgore closed the public hearing. B. Action—Resolution Awarding Incentive Grant. Council Member Anthony moved to adopt Resolution R-2019-08: RESOLUTION OF MONROE CITY COUNCIL TO AWARD A DOWNTOWN INCENTIVE TO MBW LANDLORD,LLC FOR PIEDMONT BUGGY WORKS R-2019-08 WHEREAS, MBW Landlord, LLC has applied for a Downtown Incentive Grant for residential housing;and, City Council Regular Meeting February 5,2019 Page 85 WHEREAS,the subject property,Piedmont Buggy Works,is located within the Downtown Master Plan study area and presents an opportunity to preserve historic fabric and enhance surrounding residential neighborhoods;and, WHEREAS, a public hearing was conducted by the City Council on February 5, 2019, at which hearing testimony was given by Brian J. Borne,Assistant City Manager; Director, Downtown Monroe for the City of Monroe, and company representative J. Patrick Reilly, Managing Partner; MBW Landlord, LLC and, WHEREAS,the City Council makes the following findings with respect to said application: 1. Five hundred fourteen(514)Miller Street,designated a Historic Landmark,is approximately 50,000 square feet of market rate residential apartments(approximately 54 units)and is within the Skyway Drive Gateway into Downtown Monroe. 2. The applicant proposes a residential apartment development in accordance with the Downtown Master Plan. 3. The renovations and improvements as proposed will have a significant effect on revitalization of the City's Central Business District as indicated in the Downtown Master Plan. 4. That the applicant meets all other applicable requirements set forth by the City Council. 5. The renovations and improvements to the above described property as proposed will (a) stimulate the local economy, (b)promote business, (c)preserve and reuse a historic landmark property,and L (d) result in additional residential housing units within close proximity to the Central Business District. WHEREAS, based on the above findings and other documentation in the file the City Council concludes that the applicant qualifies for the Program for an amount not to exceed$221,870 spread over a ten (10) year period based on the qualifying capital investment of MBW Landlord, LLC. With qualification for the incentive established and the economic benefits accrued to the City in the form of increased tax base and property value,downtown revitalization,and increased City utility revenues,the grant application should be approved subject to compliance with the Program and subject to appropriation; and, WHEREAS, the City of Monroe and MBW Landlord, LLC seek to enter into a Downtown Incentive Agreement under the terms and conditions stated therein. NOW,THEREFORE,BE IT RESOLVED THAT the incentive application of MBW Landlord, LLC for Downtown Incentive Grants Program is hereby approved pursuant to the terms and conditions set out in the attached Incentive Agreement, the Incentive Agreement with MBW Landlord, LLC is approved and the Mayor and other staff, as necessary, are authorized to execute any and all documents and instruments necessary to carry out said approval. The appropriation of any funds is reserved for future action consistent with the terms of the Incentive Agreement. Adopted this 5th day of February,2019. Mayor Pro Tern Anderson seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, City Council Regular Meeting February 5,2019 Page 86 McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None C. Action — Incentive Agreement. Mayor Pro Tern Anderson moved to approve the Incentive Agreement: INCENTIVE AGREEMENT This INCENTIVE AGREEMENT made and entered into this 5th day of February,2019 between MBW Landlord,LLC (the"Company")and the CITY OF MONROE(the"City"). WHEREAS,North Carolina General Statutes §158-7.1 authorizes a municipality to undertake an economic development project by extending assistance to a company as an incentive to cause the company to expand its operations thereby expanding the tax base of the City and providing jobs for its citizens;and WHEREAS,the Monroe City Council adopted a Downtown Incentive Grant Program to provide such assistance as an incentive for new investments in the Downtown,City of Monroe; and WHEREAS,the Piedmont Buggy Works property,a designated Historic Landmark,located along the Skyway Drive Gateway into Historic Downtown Monroe; and WHEREAS,the Company plans to acquire the Piedmont Buggy Works property and make certain improvements and renovations for an approximately 54-unit market-rate apartment complex;and Co" WHEREAS, the Company intends to use the federal historic tax credit program to rehabilitate real property at the Piedmont Buggy Works thereby investing approximately Nine Million Dollars ($9,000,000)in taxable capital improvements; and WHEREAS, such expansion of a business qualifies it for a Downtown Incentive Grant by the City, and the City Council of the City of Monroe, after public hearing, approved awarding up to a maximum amount of$221,870 to the Company over a ten (10) year period based on the qualifying capital investment of the Company;and WHEREAS,the Company and the City enter into this agreement to describe the incentives to be provided by the City in connection with the Company's investments and expansion of its operations in the City of Monroe. tosof NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants contained in this Agreement,the Parties agree as follows: 1. Capital Investments: The Company commits to investing approximately Nine Million Dollars ($9,000,000) in new taxable building improvements to an existing landmark property over a two (2)year period beginning not later than December 31,2020. Said improvements shall be made to the property as described herein. The Company shall provide the City with all necessary documentation and access to inspect improvements necessary to confirm compliance by the Company. If the Company fails to make the capital investments of approximately Nine Million Dollars($9,000,000)by December 31,2022,it will be ineligible to receive the incentive or annual grants described below. C City Council Regular Meeting February 5,2019 Page 87 2. Annual Grants: The City agrees to pay to the Company up to a maximum amount of Two Hundred Twenty-one Thousand,Eight Hundred Seventy Dollars($221,870)spread over a ten(10) year period beginning with City Fiscal Year 2022,but not beginning until the capital investments of Nine Million Dollars ($9,000,000) have been made and verified by the City. Each annual payment, not to exceed $22,187 annually, shall be appropriated by the Monroe City Council as part of its annual budget adoption process pursuant to the requirements of North Carolina law. The amount of each annual payment shall be based upon proof that the qualifying capital investments have been made by the Company during the preceding year. The current property valuation as of the date of this Agreement is $540,000. The City's grant award to the Company is based on the assessed value of the improvements to the property that is the amount of assessed value above the base year value of$540,000. The City will use a Grant Factor of 5.08%. The grant amount is calculated by multiplying the current year's assessment, minus the base year's value and divided by the term of the grant. The grant factor can be changed annually by the City Council to retain the same percentage of grant to value. Prior to receiving any grant dollars,the development group must be in good standing with the City on its property taxes,utilities, and other fees assessed by the City then due and owing. The incentive is not a rebate or refund of any property taxes and represents an appropriation permitted by North Carolina General Statutes Section 158-7.1. 3. Limitations: Any grants provided under this Agreement are subject to the Company meeting the minimum qualifications required by the City of Monroe Downtown Incentive Grant Program,the terms of which are incorporated herein by reference and upon the terms and conditions set out in attached Exhibit A which are incorporated herein. The minimum qualifications require capital expenditures by the Company with an ongoing presence in the City of Monroe which results in the associated additional investment as shown on the Union County tax records. In any year that the Company's capital expenditures fail to meet the minimum qualifications set out in the Downtown (hIrreIncentive Grant Program,the Company shall not be entitled to a grant payment for that year. 4. Assignments: No party shall sell or assign any interest in or obligation under this Agreement without the prior expressed written consent of all the parties. 5. Limitation of Obligation by the City: NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED OR INTERPRETED AS CREATING A PLEDGE OF THE FAITH AND CREDIT OF THE CITY WITHIN THE MEANING OF ANY CONSTITUTIONAL DEBT LIMITATION. No provision of this Agreement shall be construed or interpreted neither as delegating governmental powers nor as a donation or the lending of the credit of the City within the meaning of the North Carolina constitution. This Agreement shall not directly or indirectly or contingently obligate the City to make any payments beyond those appropriated in the City's sole discretion for any fiscal year in which this Agreement shall be in effect. No provision of this agreement shall be construed to pledge or create a lien on any class or source of the City's moneys, nor shall any provision of this Agreement restrict to any extent prohibited by law, any action or right of action on the part of any future City governing body. To the extent of any conflict between this paragraph and any other provision of this Agreement,this paragraph shall take priority. 6. Miscellaneous: A. This Agreement shall be governed by and interpreted by the laws of the State of North Carolina. B. Any Communication required or permitted by this Agreement must be in writing and shall be deemed given when delivered by hand for mailing first-class mail,postage paid,and addressed as follows: If to the Company: MBW Landlord, LLC City Council Regular Meeting February 5,2019 Page 88 8601 Six Forks Road, Suite#250 Raleigh,NC 27615 Attn: Mr.J. Patrick Reilly, Managing Partner If to the City: City of Monroe Post Office Box 69 Monroe,North Carolina 28111-0069 Attn: Mr. Brian Borne,Assistant City Manager C. If any provision of this Agreement shall be determined to be unenforceable, that provision shall be severable and shall not affect any other provision of this Agreement. D. This Agreement constitutes the entire agreement between the parties,and this Agreement shall not be changed or modified except in writing signed by all the parties. E. Subject to the specific provisions of this Agreement, this Agreement shall be binding upon and inure to the benefit of and be enforceable be the parties and their respective successors and assigns. F. E-Verify Requirement. The Company shall comply with the requirements of Article 2 of Chapter 64 of the General Statues. Further, if the Company utilizes a subcontractor, the Company shall require the subcontractor to comply with the requirements of Article 2 of Chapter 64 of the General Statutes. G. Iran Divestment Act Certification. The Company shall comply with the requirements of (600., N.C.G.S. 147-86.59. The Company certifies that,as of the date of this contract,it is not listed on the Final Divestment List created by the State Treasurer pursuant to N.C.G.S 147-86.58. Further,the Company shall not utilize any subcontractor found on the State Treasurer's Final Divestment List. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in their corporate names by their duly authorized officers,all as of the date first above written. Council Member Anthony seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, thor McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None D. Action—Loan Agreement. Mayor Pro Tem Anderson moved to approve the Loan Agreement: LOAN AGREEMENT This LOAN AGREEMENT made and entered into this 5th day of February, 2019 between MBW Landlord LLC (the"Company")and the CITY OF MONROE(the"City"). WHEREAS,North Carolina General Statutes §158-7.1 authorizes a municipality to undertake an economic development project by extending assistance to a company as an incentive to cause the company to expand its operations thereby expanding the tax base of the City and providing jobs for its citizens;and City Council Regular Meeting February 5,2019 Page 89 WHEREAS, the Monroe City Council adopted a Downtown Incentive Grant Program to provide Cov such assistance as an incentive for new investments in the Downtown,City of Monroe;and WHEREAS,the Piedmont Buggy Works property,a designated Historic Landmark,located along the Skyway Drive Gateway into Historic Downtown Monroe; and WHEREAS,the Company plans to acquire the Piedmont Buggy Works property and make certain improvements and renovations for an approximately 54-unit market-rate apartment complex; and WHEREAS,the Company intends to use the federal historic tax credit program to rehabilitate real property at the Piedmont Buggy Works thereby investing approximately Nine Million Dollars ($9,000,000)in taxable capital improvements;and WHEREAS,such expansion of a business qualifies it for a Downtown Incentive Grant by the City, and the City Council of the City of Monroe, after public hearing, approved awarding a loan of up to a maximum amount of$400,000(Four Hundred Thousand Dollars)to the Company under the terms and conditions stated herein based on the qualifying capital investment of the Company;and WHEREAS, the Company and the City enter into this agreement to describe the incentives to be provided by the City in connection with the Company's investments and renovation in the downtown area in City of Monroe. NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants contained in this Agreement,the Parties agree as follows: 1. Capital Investments: The Company commits to investing approximately Nine Million Dollars ($9,000,000), in new taxable building improvements to an existing landmark property over a two (2) year period beginning not later than December 31, 2020. Said improvements shall be made to the property as described herein. The Company shall provide the City with all necessary documentation and access to inspect improvements necessary to confirm compliance by the Company. 2. City Loan: The City agrees to loan the Company up to a maximum amount of Four Hundred Thousand Dollars ($400,000) within thirty (30) days following the Company's notification in writing to the City that it has commenced making improvements at the project site that represent the beginning of the investment of the$9,000,000 in taxable building improvements. 3. Company Loan Repayment: The loan shall have no interest and no payments due for seven(7) C years. These funds will be paid back in one lump sum upon refinancing of the initial debt on the property upon exit of the historic tax credit investors,both state and federal. All proceeds from the refinance will be due and payable to the City at that time. If for any reason proceeds are not available,the sponsorship team will be required to pay these funds directly. 4. Limitations: This loan is subject to the Company meeting the minimum qualifications required by the City of Monroe Downtown Incentive Grants Program (the terms of which are incorporated herein by reference)and upon the terms and conditions set out in the attached Exhibit A which are incorporated as fully set out herein. 5. Assignments: No party shall sell or assign any interest in or obligation under this Agreement without the prior expressed written consent of all the parties. 6. Limitation of Obligation by the City: NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED OR INTERPRETED AS CREATING A PLEDGE OF THE FAITH AND City Council Regular Meeting February 5,2019 Page 90 CREDIT OF THE CITY WITHIN THE MEANING OF ANY CONSTITUTIONAL DEBT LIMITATION. No provision of this Agreement shall be construed or interpreted neither as fir delegating governmental powers nor as a donation or the lending of the credit of the City within the meaning of the North Carolina constitution. This Agreement shall not directly or indirectly or contingently obligate the City to make any payments beyond those appropriated in the City's sole discretion for any fiscal year in which this Agreement shall be in effect. No provision of this agreement shall be construed to pledge or create a lien on any class or source of the City's moneys, nor shall any provision of this Agreement restrict to any extent prohibited by law, any action or right of action on the part of any future City governing body. To the extent of any conflict between this paragraph and any other provision of this Agreement,this paragraph shall take priority. 7. Miscellaneous: A. This Agreement shall be governed by and interpreted by the laws of the State of North Carolina. Cr B. Any Communication required or permitted by this Agreement must be in writing and shall be deemed given when delivered by hand for mailing first-class mail,postage paid,and addressed as follows: If to the Company: MBW Landlord, LLC 8601 Six Forks Road, Suite#250 Raleigh,NC 27615 Attn: Mr. J.Patrick Reilly,Managing Partner If to the City: City of Monroe Post Office Box 69 Monroe,North Carolina 28111-0069 Attn: Mr. Brian Borne,Assistant City Manager C. If any provision of this Agreement shall be determined to be unenforceable,that provision shall be severable and shall not affect any other provision of this Agreement. D. This Agreement constitutes the entire agreement between the parties,and this Agreement shall not be changed or modified except in writing signed by all the parties. E. Subject to the specific provisions of this Agreement,this Agreement shall be binding upon and inure to the benefit of and be enforceable be the parties and their respective successors and assigns. C F. E-Verify Requirement. The Company shall comply with the requirements of Article 2 of Chapter 64 of the General Statues. Further, if the Company utilizes a subcontractor, the Company shall require the subcontractor to comply with the requirements of Article 2 of Chapter 64 of the General Statutes. G. Iran Divestment Act Certification. The Company shall comply with the requirements of N.C.G.S. 147-86.59. The Company certifies that,as of the date of this contract,it is not listed on the Final Divestment List created by the State Treasurer pursuant to N.C.G.S 147-86.58. Further, the Company shall not utilize any subcontractor found on the State Treasurer's Final Divestment List. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in their corporate names by their duly authorized officers,all as of the date first above written. City Council Regular Meeting February 5,2019 Page 91 Council Member Anthony seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tern Anderson and Mayor Kilgore NAYS: None E. Action — Promissory Note. Mayor Pro Tern Anderson moved to approve the Promissory Note: PROMISSORY NOTE $400,000.00 Union County,North Carolina February 5,2019 FOR VALUE RECEIVED,the undersigned,MBW LANDLORD,LLC,a North Carolina limited liability company("Maker"),promises to pay to the order of THE CITY OF MONROE("Holder")at PO Box 69, Monroe,North Carolina 28111 -0069,or at such other place or to such other person as the Holder may, from time to time, designate in writing, the principal sum of FOUR HUNDRED THOUSAND AND 00/100 DOLLARS ($400,000)or so much as may be advanced from time-to-time. Interest shall be paid at the rate of zero percent(0%)per annum on the unpaid balance until paid. The principal shall be payable in one lump sum payment as follows: Maker shall make one lump sum payment of FOUR HUNDRED THOUSAND DOLLARS and 00/100($400,000)on the seventh(7th)anniversary of the date of this Promissory Note. This Note may be prepaid in whole or in part at any time without incurring penalty during the Loan Period. This Note is secured by a Deed of Trust, Security Agreement and Fixture Filing("Deed of Trust") of even date encumbering certain real and personal property located in Monroe, Union County,North Carolina(the"Mortgaged Property"). Maker shall use the proceeds of the loan evidenced by this Note solely for the commercial purposes of acquiring and rehabilitating the Mortgaged Property. If there is a default in the payment of any part of the principal due under this Note as the same becomes due and payable or if there is a default in the performance of any covenant, agreement or condition contained in the Deed of Trust, then, in any such event, the Holder shall have the option of declaring the entire unpaid principal balance of this Note immediately due and payable. If, after a default under this Note,it becomes necessary for Holder to place this Note in the hands of an attorney for collection,Maker agrees to pay reasonable attorneys'fees and all other costs that may be reasonably incurred by Holder in the collection of sums due under this Note,including any costs incurred by Holder in connection with the filing by Maker of a petition under the United States Bankruptcy Code. Monies received by Holder from any source for application toward payment of the obligations under this Note shall be applied to the principal. If any payment received by Holder under this Note is rescinded, avoided or for any reason returned by Holder because of any adverse claim or threatened action,the returned payment shall remain payable as an obligation of all persons liable under this Note as though such payment had not been made. City Council Regular Meeting February 5,2019 Page 92 Each Maker, guarantor, surety and endorser on this Note hereby waives grace, notice, protest, demand, presentment for payment and diligence in the collection of this Note and agrees that their respective liability for the payment of this Note shall not be affected or impaired by any release or change in the security or by any extension of time for the payment of all or any part of the principal due under this Note. Whenever used in this Note, the words "Maker" and "Holder" shall be deemed to include their respective heirs,personal representatives,successors and assigns. This Note shall be governed by and construed under the laws of the State of North Carolina without regard to that state's conflict of laws principles. In witness whereof the maker has hereunto set its hand and seal this day of 20 Council Member Anthonyseconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None F. Action—Budget Amendment. Mayor Pro Tern Anderson moved to adopt Budget Amendment BA-2019-06: (111.01 BUDGET AMENDMENT BA-2019-06 1. Amendment necessary to appropriate funds for Downtown Incentive Loan for the Buggy Factory. General Fund: Revenues: Appropriation of Fund Balance $400,000 Expenses: Transfer to Downtown Monroe Fund $400,000 Downtown Monroe Fund: Revenues: Transfer from General Fund $400,000 Expenses: Downtown Incentive Programs $400,000 Adopted this 5th day of February,2019. Council Member McGee seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tern Anderson and Mayor Kilgore NAYS: None City Council Regular Meeting February 5,2019 Page 93 Item No. 14. Level II Economic Development Incentive Grant to Duke Sandwich Productions, Inc. A. Public Hearing. Mayor Kilgore opened the duly advertised public hearing. Economic Development Projects Manager/Marketing Coordinator Evan Mozingo advised that this was a request to consider the award of a Level II Economic Development Incentive Grant to Duke Sandwich Productions, Inc. in an amount not to exceed $115,000 over a five-year period. Mr. Mozingo advised that Staff began discussions with Duke Sandwich Productions, Inc. (under code name Project GOLD) in December of 2018. Cor Mr. Mozingo advised that the project under consideration was a $5 million investment in new production equipment and related improvements to an existing facility in Sutton Park. He advised that Duke Sandwich Productions, Inc., currently had operations in Greenville and Easley, South Carolina where it produced a variety of private label salads,sauces,spreads and dips. Mr.Mozingo advised that the company was considering an unoccupied former food production facility at 2701 Simpson Street where it would produce similar products. If Monroe was selected, Mr. Mozingo advised that the project was expected to create 50 new jobs paying an average annual wage of approximately$35,000. Mr. Mozingo advised that Staff had reviewed the details of the project and recommend the award (titsi" of a Level II economic development incentive grant in an amount not to exceed $115,000 paid over a five-year period, as inducement to lure the potential investment. He also advised that the Monroe-Union County Economic Development Board of Advisors recommended at their January 15, 2019 Meeting that the project be brought to Council for consideration. Based on the level of capital investment, Mr. Mozingo advised that a Level II Economic Development Incentive Grant would be in an amount not to exceed $115,000 to be paid in five annual payments beginning in Fiscal Year 2022 based upon appraised value each year as appraised by the Union County Tax Administration office. He advised that the grant was based on the company's projected total investment of$5 million in new equipment, buildings, and machinery over the grant period, but not less than $2 million. Given its projected investment in the City of Monroe, Mr. Mozingo advised that the current tax rate and assuming a consistent assessed value with no depreciation, the company would pay estimated ad valorem taxes on the new taxable investment of$154,075 over the grant period. He advised that the actual tax revenue to the City would be based on the assessed value of the investment each year depending upon the depreciation schedule and timing of the investments. Mr.Mozingo advised that Staff had reviewed the details of the project and conducted a cost-benefit analysis that showed the project has a 2.68 to 1.0 ratio for the term of the grant and a 2.98 to 1.0 ratio for the life of the project. Mr. Mozingo advised that the Union County Board of Commissioners awarded a similar economic development grant on February 4, 2019. City Council Regular Meeting February 5,2019 Page 94 Mr. Mozingo advised that it was the recommendation of the Monroe-Union County Economic (lv Development Board of Advisors and Staff that Council award a Level II Economic Development Incentive Grant to Duke Sandwich Productions, Inc., in an amount not to exceed $115,000. Council Member Anthony asked what other cities were being considered. Duke Sandwich Productions, Inc. Chief Human Resources Officer Jesus Concepcion advised that they were only considering Monroe because the company's CEO went to a university here and he wanted to put roots in Monroe. Council Member Anthony asked if these were skilled jobs. for Mr. Concepcion advised that they would be skilled jobs. Council Member Holloway asked what name the product was sold under. Mr. Concepcion stated that they had their own brands; however, they also did brands for many other companies (i.e., Costco, Sam's). Council Member Anthony asked if their distribution was mainly to box stores. Mr. Concepcion stated that they served supermarkets,box stores and specialty stores. CP' There being no other speakers, Mayor Kilgore closed the public hearing. B. Action — Resolution Awarding Incentive Agreement. Council Member Keziah moved to adopt Resolution R-2019-07: RESOLUTION OF MONROE CITY COUNCIL TO AWARD LEVEL II ECONOMIC DEVELOPMENT INCENTIVE GRANT TO DUKE SANDWICH PRODUCTIONS,INC. R-2019-07 WHEREAS, the City of Monroe has adopted an Economic Development Grant Program, hereinafter"Program"; and, WHEREAS, Duke Sandwich Productions, Inc., has duly applied for a Level II incentive grant under said program; and, WHEREAS, a public hearing was conducted by the City Council on February 5, 2019 at which hearing testimony was given by Monroe-Union County Economic Development Executive Director Chris Plate and a company representative;and, WHEREAS,the City Council makes the following findings with respect to said application: 1. All facilities, if Monroe is the selected location, are proposed to be built and/or improved by the applicant on property currently within the corporate limits of the City of Monroe. City Council Regular Meeting February 5,2019 Page 95 2. The applicant will be the principal employer of persons with respect to the grant application under the Program. 3. The applicant is a manufacturing business, which will have a minimum new investment of $2,000,000 in new taxable machinery, equipment, and buildings which qualifies them for an economic development incentive grant. 4. No other grant from the Program has been awarded to the applicant for this project. 5. The applicant is not in the retail or the construction trade. 6. That the applicant meets all other applicable requirements of the Grant Program set forth by the City Council. WHEREAS, based on the above findings and other documentation in the file, the City Council concludes that the applicant qualifies for a Level II Grant under the Program for an amount not to exceed One Hundred Fifteen Thousand Dollars ($115,000.00)paid over a five-year grant period,beginning in Fiscal Year 2022. With qualification for the grant established and the economic benefits accrued to the City in the form of new employment, increased tax base and increased City utility revenues, the grant application should be approved subject to compliance with the Program and subject to appropriation; and, WHEREAS,the City of Monroe anticipates entering into an Economic Incentive Grant Agreement with Duke Sandwich Production, Inc., if Monroe is the selected location and pursuant to the City of Monroe Economic Incentive Grant Policy. NOW THEREFORE BE IT RESOLVED THAT the grant application of Duke Sandwich Productions, Inc., for a Level II Grant be approved subject to compliance with the requirements and provisions of the Program and subject to appropriation. Staff is hereby authorized to negotiate the Economic Incentive Grant Agreement and the Mayor is hereby authorized to execute on behalf of the City the Economic Incentive Grant Agreement with Duke Sandwich Production, Inc., under the terms stated above and pursuant to the City of Monroe Economic Incentive Grant Policy. Adopted this 5th day of February,2019. Council Member Anthony seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tern Anderson and Mayor Kilgore NAYS: None C. Action — Incentive Agreement. Council Member Keziah moved to approve the Incentive Agreement: INCENTIVE AGREEMENT This INCENTIVE AGREEMENT made and entered into this 5th day of February, 2019 between Dukes Sandwich Productions, Inc. (the"Company")and the CITY OF MONROE(the"City"). City Council Regular Meeting February 5,2019 Page 96 WHEREAS,North Carolina General Statutes §158-7.1 authorizes a municipality to undertake an economic development project by extending assistance to a company as an incentive to cause the company to expand its operations thereby expanding the tax base of the City and providing jobs for its �r citizens;and WHEREAS, the Monroe City Council adopted an Economic Development Incentive Grant Program to provide such assistance as an incentive for expanding business investments in the City of Monroe;and WHEREAS,the Company intends to make improvements to real property and purchase and install new manufacturing equipment at its facility in Monroe and thereby invest approximately Five Million Dollars ($5,000,000) in taxable capital improvements and equipment and anticipates retaining and/or creating jobs;and (irWHEREAS, such expansion of a business qualifies it for a Level II Economic Development Incentive Grant by the City,and the City Council of the City of Monroe,after public hearing,approved awarding up to a maximum amount of$115,000 to the Company over a five (5) year period based on the qualifying capital investment of the Company; and WHEREAS, the Company and the City enter into this agreement to describe the incentives to be provided by the City in connection with the Company's investments. NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants contained in this Agreement,the Parties agree as follows: 1. Capital Investments: The Company commits to investing approximately Five Million Dollars ($5,000,000),but no less than Two Million($2,000,000.00),in new taxable building improvements, machinery, and equipment over a five(5) year period beginning in 2019. Said improvements and new investment shall be located in the City of Monroe and will include the tax value of property relocated into the City as well as newly acquired property. The Company shall provide the City with all necessary documentation and access to inspect improvements necessary to confirm compliance by the Company prior to the City's annual appropriation of the grant. 2. Annual Grants: The City agrees to pay to the Company up to a maximum amount of One Hundred Fifteen Thousand Dollars ($115,000) spread over a five(5)year period beginning with City fiscal year 2022. Each annual payment shall be appropriated by the Monroe City Council as part of its annual budget adoption process pursuant to the requirements of North Carolina law. The amount of each annual payment shall be based upon proof that the qualifying capital investments have been made by the Company during the preceding year. 3. Limitations: Any grants provided under this Agreement are subject to the Company meeting the minimum qualifications required by the City of Monroe Economic Development Incentive Grant Program,the terms of which are incorporated herein by reference and upon the terms and conditions set out in attached Exhibit A which are incorporated herein. The minimum qualifications require capital expenditures by the Company with an ongoing presence in the City of Monroe which results in the associated additional investment as shown on the Union County tax records. In any year that the Company's capital expenditures fail to meet the minimum qualifications set out in the Economic Development Incentive Grant Program, the Company shall not be entitled to a grant payment for that year. 4. Assignments: No party shall sell or assign any interest in or obligation under this Agreement without the prior expressed written consent of all the parties. City Council Regular Meeting February 5,2019 Page 97 5. Limitation of Obligation by the City: NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED OR INTERPRETED AS CREATING A PLEDGE OF THE FAITH AND CREDIT OF THE CITY WITHIN THE MEANING OF ANY CONSTITUTIONAL DEBT LIMITATION. No provision of this Agreement shall be construed or interpreted neither as delegating governmental powers nor as a donation or the lending of the credit of the City within the meaning of the North Carolina constitution. This Agreement shall not directly or indirectly or contingently obligate the City to make any payments beyond those appropriated in the City's sole discretion for any fiscal year in which this Agreement shall be in effect. No provision of this agreement shall be construed to pledge or create a lien on any class or source of the City's moneys, nor shall any provision of this Agreement restrict to any extent prohibited by law, any action or right of action on the part of any future City governing body. To the extent of any conflict between this paragraph and any other provision of this Agreement,this paragraph shall take priority. 6. Miscellaneous: flw A. This Agreement shall be governed by and interpreted by the laws of the State of North Carolina. B. Any Communication required or permitted by this Agreement must be in writing and shall be deemed given when delivered by hand for mailing first-class mail,postage paid,and addressed as follows: If to the Company: Duke Sandwich Productions,Inc. 626 Congaree Road Greenville, South Carolina 29607 Attn: Andrew T. Smart,President/CEO If to the City: City of Monroe Post Office Box 69 Monroe,North Carolina 28111-0069 Attn: Mr. R.Christopher Plate,Executive Director of Monroe-Union County Economic Development C. If any provision of this Agreement shall be determined to be unenforceable,that provision shall be severable and shall not affect any other provision of this Agreement. D. This Agreement constitutes the entire agreement between the parties,and this Agreement shall not be changed or modified except in writing signed by all the parties. E. Subject to the specific provisions of this Agreement, this Agreement shall be binding upon and inure to the benefit of and be enforceable by the parties and their respective successors and assigns. F. E-Verify Requirement. The Company shall comply with the requirements of Article 2 of Chapter 64 of the General Statues. Further, if the Company utilizes a subcontractor, the Company shall require the subcontractor to comply with the requirements of Article 2 of Chapter 64 of the General Statutes. IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed in their corporate names by their duly authorized officers,all as of the date first above written. Council Member Anthony seconded the motion, which passed unanimously with the following votes: City Council Regular Meeting February 5,2019 Page 98 AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tern Anderson and Mayor Kilgore NAYS: None Item No. 15. Text Amendment Requests to Amend Code of Ordinances — Title XV: Land Usage, Chapter 152: Historic Properties, Section 152.057 titled "Action on an Application for a Certificate of Appropriateness" and Chapter 156: Zoning Code, Section 156.201 titled "Certificates of Appropriateness; Generally." A. Public Hearing. Mayor Kilgore opened the duly advertised public hearing. Planner Keri Mendler advised that this was a request to consider amending the Code of Ordinances —Title XV: Land Usage, Chapter 152: Historic Properties, Section 152.057 titled "Action on an Application for a Certificate of Appropriateness"and Chapter 156: Zoning Code, Section 156.201 titled"Certificates of Appropriateness; Generally." Ms.Mendler advised that the Ordinances provided time limits for the Historic District Commission to act on applications based on when they were filed. She advised that currently, the Ordinances provided the Commission 60 days from the day the application was filed to take action on the application. Ms. Mendler advised that if no final action was taken within this timeframe, the application was automatically approved. She advised that at times, the Commission needed to table a request to gather more information. Depending on when an application was filed, Ms. Mendler advised that it could be difficult to meet the 60-day deadline to take action. She advised that the Commission might not be able to gather the information they needed to make an informed decision, which might lead to a denial of the application due to the lack of information, meaning the applicant would have to refile an application for their proposal. Ms. Mendler advised that Section 152.057(C) currently, read as follows: "All applications for Certificates of Appropriateness shall be reviewed and acted upon within a reasonable time as defined by the rules of procedure, and not exceeding 60 days from the date the application is filed. As part of its review procedure, the Commission may view the premises and seek the advice of the Department of Cultural Resources or other such experts as it may deem necessary under the circumstances." Ms. Mendler advised that Section 156.201(I) currently,read as follows: "Time limit for action by commission. If the commission fails to take final action upon any application within 60 days after the complete application is submitted to the appropriate administrative official, the application shall be deemed to be approved." Ms. Mendler advised that North Carolina General Statute Section160A-400.9 stated: "All applications for certificates of appropriateness shall be reviewed and acted upon within a reasonable time, not to exceed 180 days from the date the application for a certificate of appropriateness is filed, as defined by the ordinance or the commission's rules of procedure." C City Council Regular Meeting February 5,2019 Page 99 Ms. Mendler advised that Staff presented this matter to the Planning Board on January 9, 2019. She advised that the Planning Board recommended approval of the requests with the recommendation that the time limit be increased to 90 days. There being no other speakers, Mayor Kilgore closed the public hearing. B. Action — Resolution Approving Land Development Plan Compliance. Council Member Anthony moved to adopt Resolution R-2019-04: RESOLUTION APPROVING LAND DEVELOPMENT PLAN COMPLIANCE TITLE XV: LAND USAGE,CHAPTER 152: HISTORIC PROPERTIES, SECTION 152.057 TITLED "ACTION ON AN APPLICATION FOR A CERTIFICATE OF APPROPRIATENESS"AND CHAPTER 156: ZONING CODE,SECTION 156.201 TITLED"CERTIFICATES OF APPROPRIATENESS; GENERALLY" R-2019-04 WHEREAS, in accordance with the provisions of North Carolina General Statute 160A-383, the City Council does hereby find and determine that the adoption of the zoning text amendment for sections 152.057 and 156.201 is consistent with the adopted Land Development Plan. The vision of The Land Development Plan is that Monroe will be a dynamic and progressive city that promotes growth that boosts our economy,protects our neighborhoods,and enhances our downtown. Our vibrant community will be a great place to live and work,highlighted by safe and attractive neighborhoods, quality parks and open spaces, and transportation options that make it easy to travel throughout the City. The proposed use is a reasonable use and in the public interest because by increasing the time in which the (lino" Historic District Commission has to act on applications,it allows them time to make informed decisions on preserving the Historic District neighborhood and the City's culture thereby working towards attractive neighborhoods. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Monroe adopts the Resolution Approving Land Development Plan Compliance for the amendment of sections 152.057 and 156.201 Adopted this 5th day of February,2019. Council Member Keziah seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None C. Action—Ordinance Amending Code of Ordinances—Chapter: 152,Section 152.057 titled "Action on an Application for a Certificate of Appropriateness." Council Member Anthony moved to adopt Ordinance 0-2019-04: ORDINANCE TO AMEND CITY OF MONROE CODE OF ORDINANCES TITLE XV: LAND USES CHAPTER 152: HISTORIC PROPERTIES 0-2019-04 City Council Regular Meeting February 5,2019 Page 100 Preamble Pursuant to authority conferred by Chapter 160A-381 of the North Carolina General Statutes,as amended and for the purpose of promoting the health, safety, morals, or general welfare of the inhabitants of the City by lessening congestion in and around the streets; securing safety; preventing the overcrowding of land; avoiding undue congestion; and facilitating the adequate provision of transportation, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF MONROE THAT TITLE XV, CHAPTER 152 HISTORIC PROPERTIES OF THE CITY OF MONROE CODE OF ORDINANCES BE AMENDED AS FOLLOWS: Section 1. Amend §152.057 (C)ACTION ON AN APPLICATION FOR A CERTIFICATE OF APPROPRIATENESS as follows: All applications for Certificates of Appropriateness shall be reviewed and acted upon within a reasonable time as defined by the rules of procedure, and not exceeding 90 days from the date the application is filed. As part of its review procedure,the Commission may view the premises and seek the advice of the Department of Cultural Resources or other such experts as it may deem necessary under the circumstances. Section 2. This Ordinance shall be effective upon adoption. Adopted this 5th day of February,2019. Council Member McGee seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None D. Action—Ordinance Amending Code of Ordinances—Chapter: 156,Section 156.201 titled "Certificates of Appropriateness; Generally." Council Member Anthony moved to adopt Ordinance 0-2019-05: ORDINANCE TO AMEND CITY OF MONROE CODE OF ORDINANCES TITLE XV: LAND USES CHAPTER 156: ZONING CODE 0-2019-05 Preamble Pursuant to authority conferred by Chapter 160A-381 of the North Carolina General Statutes,as amended and for the purpose of promoting the health, safety, morals, or general welfare of the inhabitants of the City by lessening congestion in and around the streets; securing safety; preventing the overcrowding of land; avoiding undue congestion; and facilitating the adequate provision of transportation, City Council Regular Meeting February 5,2019 Page 101 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF MONROE THAT TITLE XV, CHAPTER 156 ZONING CODE OF THE CITY OF MONROE CODE OF ORDINANCES BE AMENDED AS FOLLOWS: (110," Section 1. Amend §156.201 (I) CERTIFICATES OF APPROPRIATENESS; GENERALLY as follows: Time limit for action by commission. If the commission fails to take final action upon any application within 90 days after the complete application is submitted to the appropriate administrative official,the application shall be deemed to be approved. Section 2. This Ordinance shall be effective upon adoption. Adopted this 5th day of February,2019. tor Council Member McGee seconded the motion, which passed unanimouslywith the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No. 16. Request by Union County to Designate Section of Existing US 74 Bypassed by Monroe Expressway as US 74 Business (Tabled from December 4, 2018 City Council Regular Col Meeting). Engineering Director Jim Loyd advised that at the December 4, 2018 City Council Regular Meeting, information was presented regarding the proposal by Union County to designate the section of existing US 74 bypassed by the Monroe Expressway as US 74 Business. Mr. Loyd advised that the Monroe Expressway would in turn be designated as US 74 Toll in lieu of the current designation of US 74 Bypass Toll. He advised that this item was tabled to allow additional time to collect more information and coordinate with the affected municipalities, Union County and the Chamber to determine a consensus on the matter. Mr. Loyd advised that Council Member Lynn Keziah was selected to assist City Staff and Union County with this endeavor. He advised that a meeting was held on January 4, 2019 with Union County,Monroe,Wingate and Indian Trail in attendance along with the following people: Council Member Lynn Keziah, County Commissioner Richard Helms, Indian Trail Mayor Michael Alvarez and Union County Chamber of Commerce President Pat Kahle. Mr. Loyd advised that the group determined that a letter would be sent to the State Traffic Engineer and the Executive Director of the North Carolina Turnpike Authority requesting clarification on a number of items. He advised that the primary concerns that were addressed in the letter included: estimated costs for the signage; need for clarification from the Turnpike Authority that the blue destination signs would not be allowed on the expressway; overall process with obtaining the designation to Business; and, ability to install additional signage at either end to identify US 74 as the route to access the business on either end in lieu of the business designation. Mr. Loyd advised that on January 10, 2019, the Indian Trail Town Manager responded that "the Town was in full support of any "attraction signs"that could benefit our business community but City Council Regular Meeting February 5,2019 Page 102 our Town Council was not and still was not in support of the new designation for Highway 74 and its replacement cost. " He advised that without Indian Trail's support, it was doubtful that this matter can move forward. Mr. Loyd advised that the blue signage on the expressway and the"attraction signs"on either end were items that needed to be pursued. He advised that the next steps could be determined after a response was provided by the State Traffic Engineer and the Executive Director of the Turnpike Authority. Mr. Loyd advised that this item was for information purposes only and no action was required by Council at this time. He advised that additional information would be provided upon receiving the response by the State Traffic Engineer and the Director of the Turnpike Authority and after the referenced group of affected municipalities, Chamber of Commerce and Union County met to review and provide guidance. Item No. 17. Health Plan and Cafeteria Plan for Fiscal Year 2019-2020. Human Resources Director Debra Reed advised that this was a request to approve the Fiscal Year 2019-2020 Health and Cafeteria Plans and receive an executive summary of the Wellness Program by the Atrium HEALTH WORKS team. Mr. Mark Browder from Mark III stated that the proposal being recommended to remain with the current option for renewal paired with the Health Savings Account, which included contributing $750 annually to the proposed benefit plans. Mr. Browder advised that the option included claims funding, administrative expenses, stop loss insurance, clinic costs, wellness program, risk assessment and other costs associated with the operation of the City's plan. He advised that this amount had an increase in funding for the City of 5% but no increase for the employees. Mr. Browder advised that according to Finance, the increased contribution totaled $282,000 with $191,000 in the General Fund and $91,000 across all enterprise funds combined. Mr. David Fox from Atrium provided an overview of the Executive Summary for the Wellness Program noting that the participation rate was approximately 490 employees which was 7.9% increase from 2015 in the Wellness Program which showed commitment on the employee side. Ms. Reed stated that it was the recommendation of the City Manager that Council: approve the renewal expectations of the Health and Cafeteria Plans which included contributing$750 annually to the proposed benefit plans, claims funding, administrative expenses, stop loss insurance, clinic costs,wellness program,risk assessment and other costs associated with the operation of the City's plan; authorize Tucker Administrators to administer the City's Health Plan and Cafeteria Plan for Fiscal Year 20019-2020; and, authorize the City Manager to execute any and all necessary documents with regard to the City's Health Plan and Cafeteria Plan for Fiscal Year 2019-2020. A. _ Renewal Expectations/Options of Health Plan and Cafeteria Plan. Council Member Keziah moved to approve the renewal expectation of the Health Plan and Cafeteria Plan for Fiscal Year 2019-2020. Council Member Jordan seconded the motion, which passed unanimously with tritr the following votes: City Council Regular Meeting February 5,2019 Page 103 AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None B. Tucker Administrators to Administer Health Plan and Cafeteria Plan. Council Member Keziah moved to authorize Tucker Administrators to administer the City's Health Plan and Cafeteria Plan for Fiscal Year 2019-2020. Council Member McGee seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None C. City Manager to Execute Documents. Council Member Keziah moved to authorize the City Manager to execute any and all necessary documents with regard to the City's Health Plan and Cafeteria Plan for Fiscal Year 2019-2020. Council Member McGee seconded the motion, which passed unanimously with the following votes: AYES: Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore NAYS: None Item No. 18. Public Comment Period. A. Loretta Melancon. Ms. Loretta Melancon expressed great concern with the growing problem of illegal signs being placed throughout the City of Monroe and Union County. There being no further business, Council Member Keziah moved to adjourn the City Council Regular Meeting of February 5, 2019 at 7:15 p.m. Council Member Anthony seconded the motion, which passed unanimously with the following votes: AYES: NAYS: Attest: r WOP90 Council Members Anthony, Holloway, Jordan, Keziah, McGee, Mayor Pro Tem Anderson and Mayor Kilgore None Bobby G. TAgore, Mayor