Board of Directors

MINUTES BOARD OF DIRECTORS MEETING AUGUST 4, 2003, AT 7:00 P.M. The regular meeting of the Board of Directors was held on Monday, August 4, 2003, at 7:00 p.m., Board Chambers, City Hall, with Mayor Mike Bush presiding. The invocation was given by Ms. Cheryl Batts, and Pledge of Allegiance to the Flag was led by Mayor Bush. Mayor Bush called the meeting to order at 7:00 p.m. 1 Roll Call Roll call was as follows: Present: Directors Peggy Maruthur, Elaine Jones, Carroll Weatherford, Bill Edwards, Bob Wheeler, and Mike Bush, total 6. Absent: Director Burt Newell. 2 Approval of Agenda A motion was made by Director Wheeler, duly seconded by Director Edwards, that the agenda be approved; and upon voice vote, the motion unanimously carried. 3 Approval of Minutes of July 21, 2003 Board Meeting A motion was made by Director Wheeler, duly seconded by Director Maruthur, that the minutes of the July 21, 2003 Board Meeting be approved; and upon voice vote, the motion unanimously carried. 4 Recognition of Guests No guests were present for recognition.  CONSENT AGENDA The Consent Agenda consisted of the following: 5 Public Safety Report (July 23, 2003). 6 Proposed Resolution No. R-03-184 Approving Certain Bid Awards (a) Uniform Service - Fleet Service, Parks, Sanitation, Traffic, and Utilities [annual supply contract awarded to Cintas]; and Intracity Transit [annual supply contract awarded to Ameripride]; (b) Structure Demolition - Code [awarded to Aces in the amount of $6,695, John T=s Excavation in the amount of $9,867, and Ervan Slaight in the amount of $11,680]. 7 Proposed Resolution No. R-03-185 Confirming the Appointment of Dan Bloch to the Advertising and Promotion Commission. (Removed from Consent Agenda for separate consideration) 8 Proposed Resolution No. R-03-186 Authorizing the Mayor and City Manage to Execute a Memorandum of Understanding between the City and the Arkansas Department of Parks and Tourism (Entergy Park). 9 Proposed Resolution No. R-03-187 Authorizing the Mayor to Execute Amendment No. 2 to the Contract with Carter and Burgess Engineering for Design of Compost Facility Improvements. 10 Proposed Resolution No. R-03-188 Approving Change Order No. 1 with Johnston Engineering, Inc. for Compost Facility Improvements. 11 Proposed Resolution No. R-03-189 Awarding a Contract for Engineering Services to B&F Engineering (MLK Expressway 20-Inch Water Main Project between Carpenter Dam Road and Malvern Avenue). Board of Directors Meeting 2 August 4, 2003 at 7:00 P.M. 12 Proposed Resolution No. R-03-190 Repealing Resolution No. 4647 (Establishing a Policy Regarding Appointments to Boards, Commissions and Committees). (Removed from Consent Agenda for separate consideration) 13 Proposed Resolution No. R-03-191 Declaring of Certain Real Property as Surplus and Authorizing the Sale Thereof (Vernel Street). 14 Proposed Resolution No. R-03-192 Authorizing the Mayor to Execute a Lease Agreement with Hot Springs Aviation, Inc. for Office Space in Hangar A-12. 15 Proposed Resolution No. R-03-193 Authorizing an Increase to the Contract with Ron Lutz to Conduct a Resurvey of Central Avenue. 16 Proposed Resolution No. R-03-194 Accepting a Grant from the Arkansas Historic Preservation Program for Completion of the Central Avenue Resurvey; Updating of Historic District Commission=s Design Guidelines; and Staff Training. A motion was made by Director Jones, duly seconded by Director Edwards, that the Consent Agenda be approved. Upon discussion, Director Weatherford requested that Item No. 12 (Proposed Resolution No. R-03-190 Repealing Resolution No. 4647 [Establishing a Policy Regarding Appointments to Boards, Commissions and Committees]) be removed from the Consent Agenda for separate discussion. City Manager Kent Myers reviewed the following items on the Consent Agenda: a resolution confirming the reappointment of Dan Bloch to the Advertising and Promotion Commission; approving a contract awarding engineering services to B&F Engineering in an amount not to exceed $40,000 for the MLK Expressway 20" water main, which is to be extended along the MLK Expressway from Carpenter Dam Road to Malvern Avenue. Regarding Item No. 7 (Resolution No. R-03-185 Confirming the Appointment of Dan Bloch to the Advertising and Promotion Commission), Director Weatherford questioned consideration of this resolution; and City Manager Kent Myers advised that according to City Attorney David White, there is no problem in proceeding with the appointment tonight. Director Weatherford pointed out that Mr. Bloch no longer works in the City, and City Attorney David White stated that is not relevant, Board of Directors Meeting 3 August 4, 2003 at 7:00 P.M. pointing out that according to A.C.A. '26-75-605(a)(1)], four members shall be owners or managers of businesses in the tourism industry; and the owner or manager shall reside in the levying city. Therefore, Mr. Bloch is the manager of a business in the tourism industry and resides within the City of Hot Springs. He stated that the General Assembly has not seen fit to make him have to run a business within the City. Also, it is his understanding Mr. Bloch will be operating a store in Little Rock for three months and then return to Hot Springs. He stressed that he has no problem with the appointment. Director Weatherford expressed concern with the appointment since Mr. Bloch is not working in Hot Springs. He added that the City does not appoint anyone who has a business in the County. City Attorney David White stated that what prohibits the County from having appointees is the second part of the ordinance, which sets out that the owner or manager shall reside in the levying city. Director Weatherford pointed out that he could live in the City and work in the County. Director Wheeler commented that he does not agree with someone serving on the Advertising and Promotion Commission and working in Little Rock. City Attorney David White stressed that the General Assembly provides for it. City Manager Kent Myers pointed out that according to City Attorney David White, legally there is no problem; but the Board needs to decide if that represents a problem from a community standpoint. At the request of Director Weatherford, this item will be further discussed under New Business. Mayor Bush then called for a vote on the motion to adopt the Consent Agenda, as amended; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. 21 Proposed Ordinance No. O-03-67 An ordinance entitled, AAN ORDINANCE AUTHORIZING THE ISSUANCE OF WATERWORKS REVENUE REFUNDING BONDS; PROVIDING FOR THE PAYMENT OF THE PRINCIPAL OF THE INTEREST ON THE BONDS; PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN EMERGENCY,@ was taken from the agenda for consideration. A motion was made by Director Edwards, duly seconded by Director Maruthur, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the Board of Directors Meeting 4 August 4, 2003 at 7:00 P.M. motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Wheeler, duly seconded by Director Maruthur, that the ordinance be passed as read. Upon discussion, Mr. Paul Young, with Morgan Keegan, advised this authorizes the issuance of bonds to refund some 1998 outstanding water bonds; and there has been a decrease in the rates, so the City is able to issue new bonds and save money. He added that the terms of the bonds are the same, and there is no new money. He circulated information showing a summary and details of the 1998 issue and the details of the new issue. He pointed out that the City is saving economically in today=s dollars $325,000. The future savings is over $450,000, which is net savings. The average annual savings is approximately $38,000. He added that Mr. Shepherd Russell, with the Friday Law firm, is also present to answer any questions. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. City Attorney David White then read the emergency clause; and a motion was then made by Director Jones, duly seconded by Director Maruthur, that the emergency clause be passed; and upon voice vote, the motion unanimously carried. 12 Proposed Resolution No. R-03-190 A resolution entitled, AA RESOLUTION REPEALING RESOLUTION NO. 4647 (ESTABLISHING POLICY REGARDING APPOINTMENTS TO BOARDS, COMMISSIONS AND COMMITTEES),@ was taken from the agenda and read by title only. A motion was made by Director Jones, duly seconded by Maruthur, that the resolution be adopted as read. Upon discussion, Director Weatherford said that he preferred the policy remain as it is and suggested that each Director search for citizens in their district who would like to serve. Director Maruthur stated she was not in favor of this policy when it was passed in 1998; and ideally, it is a good idea. However, City Manager Kent Myers has stated this policy has presented problems in filling vacancies on several committees. She pointed out that interested citizens have been unable to serve on advisory committees due to this policy, adding that it limits the scope. Board of Directors Meeting 5 August 4, 2003 at 7:00 P.M.  Director Jones said she has requested this change since citizens in District 2 many times are not included. She urged the Directors to ask qualified citizens to turn in applications and said she will find someone to submit an application. Director Edwards stated regardless of the district, if citizens want to serve and are qualified, they should be serving. Director Wheeler said he is not in favor of only a district but of the citizen who wants to work for the City. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Edwards, Maruthur, and Bush, total 3. Voting Ano@: Directors Weatherford, Wheeler, and Jones, total 3. Absent and not voting: Director Newell; motion failed. Whereupon the resolution was declared failed. City Manager Kent Myers stated that staff will need some additional involvement by the Directors and will contact the individual Directors when positions are open to submit a name from a district. 7 Proposed Resolution No. R-03-185 A resolution entitled, AA RESOLUTION CONFIRMING THE APPOINTMENT OF DAN BLOCH TO THE ADVERTISING AND PROMOTION COMMISSION,@ was taken from the agenda and read by title only. A motion was made by Director Edwards, duly seconded by Director Jones, that the resolution be adopted as read. Upon discussion, City Manager Kent Myers advised if the Board confirms the appointment of Dan Bloch, he will be reappointed. If the Board votes against the resolution, that appointment will be referred back to the Advertising and Promotion Commission to submit another name to the Board at a future meeting. Director Edwards reported that he had talked with Mr. Bloch today and was told that he would be in Little Rock for a short time. He said as soon as Mr. Bloch gets the problems solved in Little Rock, he will be back in Hot Springs full time; but he will be in Hot Springs every night and will not be staying in Little Rock. Board of Directors Meeting 6 August 4, 2003 at 7:00 P.M.  Director Weatherford pointed out that Mr. Bloch works out of town for someone else, and it may be a short time but may be longer. He questioned if the Board wants someone representing it on the Advertising and Promotion Commission that works out of town. He pointed out that Mr. Bloch is working in Little Rock, which pays no tax in Hot Springs. Director Jones said according to the law, it is legal; and she cannot vote against this. She stated that she serves on the Advertising and Promotion Commission and voted to accept Mr. Bloch because he was involved from the beginning on the Civic Center construction. Director Wheeler commented that he ran the campaign for the Civic Center, the expansion, and Horner Hall. He added that a member of the Commission must reside in the City and wants to be a part of it. He said that he cannot support an individual who will not be in Hot Springs even if it is for a short period of time, which is unknown. City Manager Kent Myers stated that Mr. Bloch lives in the City and will continue to reside in the City. He said it is his understanding is that he is going to commute to Little Rock. He recommended tabling the resolution and invite Mr. Bloch to attend the next Board Meeting to inform the Board of his plans. A motion was made by Director Maruthur, duly seconded by Director Jones, to table the resolution until the next meeting; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, and Bush, total 5. Voting Ano@: Director Wheeler. Absent and not voting: Director Newell; motion carried. PUBLIC HEARING 17 Public Hearing on Petition to Vacate a Portion of Abbott=s Drive This being the time and date set for a public hearing on a petition to vacate a portion of Abbott=s Drive, Mayor Bush declared the public hearing. There being no comments, Mayor Bush declared the public hearing closed. Board of Directors Meeting 7 August 4, 2003 at 7:00 P.M.  NEW BUSINESS 18 Proposed Ordinance No. O-03-66 An ordinance entitled, AAN ORDINANCE VACATING A PORTION OF ABBOTT=S DRIVE,@ was taken from the agenda for consideration. A motion was made by Director Edwards, duly seconded by Director Wheeler, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Jones, duly seconded by Director Edwards, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 19 Proposed Resolution No. R-03-195 A resolution entitled, AA RESOLUTION APPROVING AN APPLICATION FROM S.T.D. AMUSEMENTS, INC., D.B.A. NATIONAL PARK TOURS, FOR A SIGHTSEEING SERVICE OPERATING PERMIT,@ was taken from the agenda and read by title only. A motion was made by Director Wheeler, duly seconded by Director Edwards, that the resolution be adopted as read. Upon discussion, Mr. Don Roberts, applicant, said they have many requests for land only tours. As far as the sightseeing, they do not provide a land-only tour with the ducks and are proposing to use three vans. He explained that it will be similar to the duck as far as the sightseeing; and individuals will be taken on a pre-designated route, which is established. They have reviewed their cost of operations and have the rates in line with their duck business charges. As they reviewed the requirements set by the Transportation Advisory Committee and approved by the Board, they provided evidence to the committee which justified meeting those requirements. He said that Mr. Roger Gidddings has indicated if they desire to go into the National Park Service, he will issue them a permit. Mr. Bill Jameson, a member of the Transportation Advisory Committee, said he did not understand exactly what the committee was voting on and thought they were voting on whether he Board of Directors Meeting 8 August 4, 2003 at 7:00 P.M. was going to use ducks in the charter. Therefore, he voted incorrectly; however, he is neither for or against the permits. He added that he does not believe this would be in the benefit of Hot Springs. Mr. Steve Smith, Chairman of the Transportation Advisory Committee, reported the committee used the criteria provided in the Transportation Code to make its recommendation. He mentioned there was a public hearing, and the legal requirements were read into the minutes of the meeting, which provided information on which to base their decision. Mr. William Anderson, Outdoor Adventure Company, spoke against the resolution, stating that his opposition to Mr. Roberts is based upon three issues: (1) challenging his character as the sole owner/operator of the duck monopoly; (2) his mode of operation over the years with photographs showing illegal parking, illegal staging, and illegal loading; and (3) motive to obtain the permits for the exact number of vehicles that Mr. and Mrs. Anderson operate and to provide the exact kind of tours they have developed over the last 12 years, including the National Park and the Hot Springs Mountain Tour. He questioned the letter that was received from Mr. Ron Olson, Mr. Roberts= new partner, which describes all of the new tours they could offer that Mr. Anderson already provides. He said his information to Mr. Roberts comes from private knowledge they shared with Mr. Olson in confidence because he worked for them from September through April last year. He then gave a brief history of the past tours, such as the Gray Line Sightseeing and duck tours by Mr. Don Bridges. He said that his wife, Cindy, began a sightseeing tour company using passenger vans to take tours through the National Park and historic city. They came to the City 12 years ago and asked for permits and bought an 11-passenger van. He reported they recently invested $65,000 in a custom- built Ford passenger sightseeing bus from Federal Coach in Ft. Smith, which should prove their commitment to the Hot Springs tourist industry, the National Park, and the City. Director Maruthur asked if he was willing to submit the actual photos to the Board as a matter of record, and Mr. Anderson said that he was. Ms. Cindy Anderson stated that the duck company has attacked her company by stopping in the road attempting to get people=s attention and campaigning for free tours on the trolley. She pointed out that she is a promoter of Hot Springs and wants all businesses to do well but to have someone directly trying to attack her company is a question of their character. Director Maruthur said that the photos submitted represent violations and questioned the photo of a duck illegally loading in a loading zone by Chez Julie= Gifts. Mr. Roberts explained that the ducks at the bus stop were with permission from Deputy City Manager Lance Hudnell. He said that basically the merchants had asked them to unload there. Director Maruthur pointed out that even with permission to use the loading zone, by the nature of his duck, it extends into another zone. Mr. Board of Directors Meeting 9 August 4, 2003 at 7:00 P.M. Roberts replied they used the loading zone area last year until they had permission from Deputy City Manager Lance Hudnell because they could not get in and out due to the construction on the parking deck. Director Maruthur commented that on September 1, 2001, he has illegal staging on Exchange Street with a meter violation; on September 2, 2001, unloading in a loading zone, and pictures of illegal staging of ducks at the Visitors= Center; August 11, 2002, he pulls into fire plug area to load and unload; August 22, 2002, there is a photo of unloading in front of a fire plug. Mr. Roberts explained that the fire plug is located at the bus stop, and Deputy City Manager Lance Hudnell had given him permission to do that because of the construction work. As far as loading or unloading in a loading zone, he stated he only uses that when other places are filled. He said if he is doing that many violations without someone=s permission, he would have received a citation as often as the Police officers are in the downtown area. Director Maruthur stated that the Board is to uphold its ordinances and support policies that are passed. Mr. Roberts advised that Deputy City Manager Lance Hudnell called him and asked him not to use those spaces. He stated from that day forth, they have not used any space on Central Avenue other than the designated sightseeing spaces. He said they do not intend to use any other spaces and are not asking for any spaces to use their vans and will use the sightseeing spaces designated there. He explained that they promote the trolley and distribute brochures. Director Jones questioned if the duck business is so good why he wants to get into the buses and van business. Mr. Roberts explained there are people who do not want to take a water tour, and that would be the sightseeing portion of it. He has numerous requests to go to various places, and he can take them on a tour and drop them off; but he cannot go back and pick them up. With the vans, they would have enough capacity to carry one duck-load of people. He could go out and sign a charter contract with them. Then go out, pick them up, and bring them back. If they do not have a group booked on the duck that he is going to charter back, then he will use the vans to take them on a charter. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Director Wheeler. Voting Ano@: Directors Edwards, Weatherford, Jones, Maruthur, and Bush, total 5. Absent and not voting: Director Newell; motion failed. Whereupon the resolution was declared failed. Board of Directors Meeting 10 August 4, 2003 at 7:00 P.M. 20 Proposed Resolution No. R-03-196 A resolution entitled, AA RESOLUTION APPROVING AN APPLICATION FROM S.T.D. AMUSEMENTS, INC., D.B.A. NATIONAL PARK TOURS, FOR A CHARTER SERVICE OPERATING PERMIT,@ was taken from the agenda and read by title only. A motion was made by Director Wheeler, duly seconded by Director Maruthur, that the resolution be adopted as read. Upon discussion, Mr. Steve Smith stated there are no grounds to deny this permit but questioned Director Maruthur=s relationship with the Anderson=s, who rent from her on Prospect, and how that might have affected the recent vote. Director Maruthur replied that they rent from her, and it does not affect her vote and is not a conflict of interest. She said that her vote is based on what she read and is why she questioned the photos. Mr. Smith said he considered it a conflict of interest and asked that the Board reconsider it. He added that Mr. Roberts complied with all of the requirements, and there is a legal consequence. Director Jones asked if he was speaking as chairman of the committee, and Mr. Smith advised that he is speaking as an individual who has been in the tourism business for ten years. He said he was impartial, but he believes there is a conflict of interest. Director Maruthur asked City Attorney David White for an opinion on this issue and said if she should not vote, then she will abstain. City Attorney David White advised that he would leave it to her own conscience as to whether she thinks she has a conflict. He added if there is anything in regard to the relationship she has with any of the parties involved that would adversely affect her vote or cause her to vote one way or the other as opposed to the guidelines set out in the ordinance, then she should not vote. However, if she feels there is no conflict and can render an honest and evenhanded, fairminded vote, then she should vote. He mentioned that everyone in town has interest in some businesses, and it is impossible not to have dealings with business people in the community. He said the real issue is if Director Maruthur has an interest such that it would taint her vote. He advised if it does not and she can defend her vote based upon the ordinance, then she should vote. Director Wheeler said he owns property in the City and has no special interest, but he believes that competition is good for business and both companies are doing a good job. Board of Directors Meeting 11 August 4, 2003 at 7:00 P.M.  Director Maruthur asked if this is an objective or subjective vote. City Manager Kent Myers read part of the Transportation Code and suggested that the Board take into consideration the following factors: (1) the character, business and financial responsibility and experience of the applicant and the probability that if granted a permit or additional vehicle license, the applicant will operate his/her vehicle in accordance with the provisions of this ordinance. He explained this would be a subjective decision based upon what the testimony is tonight as to whether or not they will fulfill the requirements of the Transportation Code. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Director Wheeler. Voting Ano@: Directors Weatherford, Edwards, Maruthur, Jones, and Bush, total 5. Absent and not voting: Director Newell; motion failed. Whereupon the resolution was declared failed. 22 Proposed Ordinance No. O-03-68 An ordinance entitled, AAN ORDINANCE APPOINTING SUCCESSOR COMMISSIONER FOR THE EAST HOT SPRINGS MULTI-PURPOSE PROPERTY OWNERS= IMPROVEMENT DISTRICT NO. 98-1 OF THE CITY OF HOT SPRINGS, ARKANSAS; AND FOR OTHER PURPOSES,@ was taken from the agenda for consideration. A motion was made by Director Jones, duly seconded by Director Maruthur, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Edwards, duly seconded by Director Maruthur, that the ordinance be passed as read. Upon discussion, Director Edwards asked for an explanation of the ordinance; and Deputy City Manager Lance Hudnell explained this ordinance is a custodial item, noting that State law allows for the creation of property owner improvement districts, primarily for the purpose of financing development-type projects. This is a residential project consisting of two separate subdivisions. The original commissioners are appointed by the Board of Directors at the time the commission is formed. During the construction of the subdivision if a commissioner resigns, the remaining commissioners appoint the successor, which has happened in this case. Once the improvements are finished, then the law says that any further vacancies have to be filled by the Board of Directors upon recommendation from the remaining commissioners. A commissioner must be a property owner in this area. Therefore, the remaining commissioners have suggested this name as a property owner for the Board=s consideration. Otherwise, the Board is not involved in their activities. Board of Directors Meeting 12 August 4, 2003 at 7:00 P.M.  Director Maruthur said she received a few phone calls, and there were concerns this was connected to the 70 East Corridor, and Deputy City Manager Lance Hudnell advised that it is not in that area of the City. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 23 Proposed Ordinance No. O-03-69 An ordinance entitled, AAN ORDINANCE WAIVING THE REQUIREMENTS OF COMPETITIVE BIDDING FOR COMMUNICATIONS EQUIPMENT FOR THE HOT SPRINGS FIRE DEPARTMENT; AND FOR OTHER PURPOSES,@ was taken from the agenda for consideration. A motion was made by Director Wheeler, duly seconded by Director Maruthur, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Wheeler, duly seconded by Director Edwards, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 24 Proposed Ordinance No. O-03-70 An ordinance entitled, AAN ORDINANCE ACCEPTING A CERTAIN ALLEY AS A PUBLIC ALLEY (03002 ALY); AND FOR OTHER PURPOSES,@ was taken from the agenda for consideration. (Off Flint) A motion was made by Director Edwards, duly seconded by Director Jones, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Edwards, duly seconded by Director Maruthur, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Board of Directors Meeting 13 August 4, 2003 at 7:00 P.M. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 25 Proposed Ordinance No. O-03-71 An ordinance entitled, AAN ORDINANCE WAIVING THE REQUIREMENTS OF COMPETITIVE BIDDING FOR THE PROVISION OF INTERNET AUCTION/SALES SERVICES,@ was taken from the agenda for consideration. A motion was made by Director Wheeler, duly seconded by Director Edwards, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Maruthur, duly seconded by Director Edwards, that the ordinance be passed as read. Upon discussion, Director Maruthur requested that Mr. Greg Speas, Fleet Service Director, explain the ordinance. Mr. Speas advised that every year, the City sells surplus items; and there are some items that are specialty equipment. The City does not generate enough publicity or get enough people to attend the auction to actually to get a good price out of it. This will allow the City to put its items out for sale and on sites, such as E-Bay, which will reach millions of people and hopefully get some better cost out of the equipment, such as Harley Davidson=s, buses, and backhoes, etc. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 26 Proposed Ordinance No. O-03-72 An ordinance entitled, AAN ORDINANCE TO EXTEND A MANUFACTURED HOME OVERLAY DISTRICT TO INCLUDE A PARCEL OF REAL PROPERTY LOCATED ON THE NORTH SIDE OF THE 100 AND 200 BLOCKS OF TENNESSEE STREET,@ was taken from the agenda for consideration. Board of Directors Meeting 14 August 4, 2003 at 7:00 P.M.  A motion was made by Director Edwards, duly seconded by Director Maruthur, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Edwards, duly seconded by Director Jones, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 27 Proposed Ordinance No. O-03-73 An ordinance entitled, AAN ORDINANCE TO REZONE TO C-TR, COMMERCIAL TRANSITIONAL, TO INCLUDE A PORTION OF LOT 9, BLOCK D OF O=BRYAN ADDITION, LOCATED AT 233 VINEYARD STREET, A PARCEL OF REAL PROPERTY ZONED R-3, LOW DENSITY RESIDENTIAL,@ was taken from the agenda for consideration. A motion was made by Director Edwards, duly seconded by Director Wheeler, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Wheeler, duly seconded by Director Edwards, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Edwards, Wheeler, and Bush, total 5. Voting Ano@: Director Weatherford. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 28 Proposed Ordinance No. O-03-74 An ordinance entitled, AAN ORDINANCE TO REZONE TO C-2, GENERAL BUSINESS DISTRICT, TO INCLUDE APPROXIMATELY FIVE ACRES LOCATED IN THE 2900 BLOCK OF MALVERN AVENUE, A PARCEL OF REAL PROPERTY ZONED R-2, SUBURBAN RESIDENTIAL,@ was taken from the agenda for consideration. A motion was made by Director Wheeler, duly seconded by Director Edwards, that the rules be suspended and the ordinance be read for the first time by title only; and upon voice vote, the motion unanimously carried. The ordinance was then read for the first time by title only; and upon the question AShall the ordinance be passed as read?@ and upon motion of Director Edwards, duly seconded by Director Jones, that the ordinance be passed as read. Board of Directors Meeting 15 August 4, 2003 at 7:00 P.M.  Upon discussion, City Manager Kent Myers advised this is a commercial development at the corner of the MLK Expressway and Malvern Avenue and is the first project under the terms of the new Malvern Avenue Overlay District. It will be a high-quality project to fit in with the rest of the development along Malvern Avenue. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. Whereupon the ordinance was declared passed. 29 Out of State Travel to the National League of Cities Conference in Nashville, Tennessee for Directors Edwards, Jones, Weatherford, and City Manager Kent Myers A motion was made by Director Wheeler, duly seconded by Director Jones, that the out-of- state travel to the National League of Cities Conference in Nashville, Tennessee, on December 9-13, 2003, for Directors Edwards, Jones, Weatherford, and City Manager Kent Myers, be approved; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Weatherford, Edwards, Wheeler, and Bush, total 6. Absent and not voting: Director Newell; motion unanimously carried. OTHER BUSINESS 30 Board of Directors Items Director Jones announced that she welcomed the Church of God in Christ=s Convocation this week. Also, she welcomed the Southwest District Congress of Education, which is having its district meeting in Hot Springs at the Historic Roanoke Baptist Church where Reverend Massey is the pastor and president of that organization. She also reported that Ms. Sheila Beavers had a bone marrow transplant; and her sister, Cheryl Thornton, was the donor and are both in stable condition. Director Maruthur stated there is an account set up at Regions Bank for Paul Anthony Nagey (Acc. No. 81-45-230306). Director Edwards reported there are many people delinquent on their occupation tax and expressed appreciation to those who implemented collection by the Police Department. City Manager Kent Myers clarified that the police officers are not collecting the money but are issuing citations for Board of Directors Meeting 16 August 4, 2003 at 7:00 P.M. violation of the business ordinance regulations. He noted it will require the business to appear in court. 31 City Manager=s Report City Manager Kent Myers gave the following report: 1. On August 5, 2003, at 5:30 p.m., there will be a work session on the mid-year budget. Staff will bring back changes to the Board at the next regular meeting for approval. 2. There will be a special meeting of the Board on Wednesday, August 13, at 5:00 p.m., in order to finalize the bond financing for Magic Springs; and the voters approved the financing for the new roller coaster at Magic Springs. In order to take advantage of the favorable interest rates, the City needs to move forward on the Magic Springs bonds as soon as possible. 3. He and Parks and Recreation Director Jean Wallace will be making presentations during the next several weeks to over a dozen civic organizations and groups regarding the parks proposal that will be voted on August 26. If there are any other organizations that would like presentations, they may contact his office. 4. Tours are scheduled this week of the Humphrey=s Dairy property. Invitations were sent to the Board, the Advertising and Promotion Commission, and other civic leaders. 5. Last week, Directors Maruthur and Edwards, along with City staff attended a presentation by the City of North Little Rock on nuisance abatement. Police Chief Gary Ashcraft has held an internal meeting to begin compiling their plans to adopt some of the North Little Rock program. Staff will be bringing that to the Board at the next work session (in September) and outlining the steps that will be necessary to implement that program. New State law will allow the City to take some actions that it has not been able to do in the past. One of the key points in their presentation is the fact that when they go after these nuisances and shut them down, they receive media coverage, so the word spreads very rapidly that the City will not tolerate these kind of nuisances in the community. Regarding the occupation tax, Director Weatherford said he has a problem with the City doing business with anyone who is delinquent on their taxes. He pointed out that FYE, in the mall, which is delinquent, is selling tickets for the Tony Bennett Concert at the Civic Center. City Manager Kent Myers advised that is under the Advertising and Promotion Commission, which does its own purchasing; but he will advise Mr. Steve Arrison of the delinquency in their taxes. Board of Directors Meeting 17 August 4, 2003 at 7:00 P.M.  Director Weatherford questioned the recourse if they do not pay their occupation tax, and City Attorney David White advised there is a citation for everyday they are in violation. He said it is illegal under State law to operate a business within the City limits without having secured the license. If they do not have the license or it is not paid up-to-date, then they are subject to a fine and are subject to being closed down. City Manager Kent Myers pointed out that the citation is usually enough to get them to pay. He added that the citation has been very effective when a police officer shows up with the citation, and there are only a few businesses that will have to appear in court. Director Maruthur asked if that is the only cause for revocation of a license; and City Attorney David White advised that according to State law, it is the primary reason for revocation. Also, the City has a local ordinance that provides for revocation if a business is found by the Board to have created a nuisance or operated a nuisance. 32 ADJOURNMENT There being no further business to come before the Board, the meeting adjourned at 8:30 p.m., to meet again on Monday, August 18, 2003, at 7:00 p.m. ATTEST: _____________________ APPROVED:__________________ Lance Hudnell, City Clerk Mike Bush, Mayor Board of Directors Meeting 18 August 4, 2003 at 7:00 P.M.