Board of Directors

MINUTES BOARD OF DIRECTORS MEETING FEBRUARY 21, 2005, AT 7:00 P.M The regular meeting of the Board of Directors was held on Monday, February 21, 2005, at 7:00 p.m., Board Chambers, City Hall, with Mayor Mike Bush presiding. The invocation was given by Mr. Jim Blanchet, and Pledge of Allegiance to the Flag was led by Mayor Bush. Mayor Bush called the meeting to order at 7:00 p.m. Roll Call Roll call was as follows: Present: Directors Peggy Maruthur, 1 Elaine Jones, Steve Smith, Carroll Weatherford, Bill Edwards, Tom Daniel, and Mike Bush, total 7. Approval of Agenda A motion was made by Director Edwards, duly seconded by 2 Director Jones, that the agenda be approved; and upon voice vote, the motion unanimously carried. Approval of Minutes of February 7, 2005 Board Meeting A motion was made by Director Smith, duly seconded by 3 Director Maruthur, that the minutes of the February 7, 2005 Board Meeting be approved; and upon voice vote, the motion unanimously carried. Recognition of Guests 4 No guests were present for recognition. Acknowledgment of Financial Statements for August through December 2004 Mayor Bush announced that the Financial 5 Statements for August through December 2004 are on file in the City Treasurer=s Office for review by the Board and the public. CONSENT AGENDA The Consent Agenda consisted of the following: 6 Public Safety Report (February 8, 2005). Proposed Resolution No. R-05-44 Approving Certain Bid Awards (a) Print Newsletter - Public Information [annual supply contract awarded to Kwik Print]; (b) Ballistic Vests - Police Department [annual supply contract awarded to Arkansas Police Supply]; (c) Liquid Asphalt - Public Works [annual 7 supply contract awarded to Koch Materials]; (d) Concrete Pipe - Public Works [annual supply contract awarded to Hanson Pipe]; (e) Cement/Concrete- Public Works [annual supply contract awarded to C. J. Horner as primary and Smith=s Ready Mix as secondary]; (f) Aggregates - Public Works [annual supply  contract awarded to John Jenkins, Spa City Gravel, and Granite Mountain]; (g) Construction Personnel and Equipment-Public Works/Utilities [annual supply contract awarded to Coakley Construction]; (h) Curb, Gutter, Sidewalk, and ADA Concrete Construction - Public Works [annual supply contract awarded to R. L. Hurst]; (I) Vehicle - Airport [state contract awarded to Little Rock Dodge in the amount of $14,185]; (j) Three trucks - Utilities [state contract awarded to North Point Ford in the amount of $37,788]; (k) Truck - Public Works/Traffic [state contract awarded to Landers Ford in the amount of $25,775]; (l) Reroof Cedar Street Wing - Public Works [awarded to Roberts- McNutt in the amount of $29,561]; and (m) Wireless Network System - Information Systems [awarded to FiveCom, LLC in the amount of $14,655.06]. Proposed Resolution No. R-05-45 Authorizing Revisions to the 8 2004 Budget. Proposed Resolution No. R-05-46 Approving Certain Revisions 9 to the Municipal Airport Property Management Policy; and Repealing Resolution Nos. 5441 and 5524. Proposed Resolution No. R-05-47 Approving the Extension of 10 Hot Springs Municipal Wastewater Service for the Plaza Shopping Center at Airport Road and Marion Anderson Road. Proposed Resolution No. R-05-48 Approving the Extension of 11 Hot Springs Municipal and Wastewater Service to Sugar Hill Subdivision. Proposed Resolution No. R-05-49 Approving the Extension of 12 Hot Springs Municipal Water and Wastewater Service to Audubon Place Subdivision. Proposed Resolution No. R-05-50 Awarding a Contract for the 13 Lakeshore Force Main Relocation Project to Coakley Construction Proposed Resolution No. R-05-51 Approving a Certain Street 14 Name (High Meadow Loop). Proposed Resolution No. R-05-52 Approving Certain Street Names (Arbor Gate Court and Willow Creek Court). A motion was made by Director Weatherford, duly seconded by Director 15 Edwards, that the Consent Agenda be approved; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried.  UNFINISHED BUSINESS Proposed Resolution No. R-05-43 A resolution entitled, AA RESOLUTION REQUESTING THAT THE 85th GENERAL ASSEMBLY SUPPORT AMENDMENT OF A.C.A. '14-61- 110 (ACT 907 OF 1989) BY PROVIDING OF COMPENSATION OF BOARD MEMBERS BY ORDINANCE,@ was taken from the agenda and read by title only. (Tabled February 7, 2005) A motion was made by Director Jones, duly seconded by Director Edwards, that the resolution be adopted as read. Upon discussion, Ms. Sherrie Bryce was recognized speaking in opposition to the resolution and questioned why the Directors are going to be paid. Director Daniel pointed out that the resolution is to contact the State Legislature and not for the Board to vote on the compensation. Director Maruthur commented that the resolution is asking for the General Assembly to consider the compensation. She noted that the Directors are not paid and are not provided with a telephone, office, storage area, computer access, or medical insurance. She stated this was presented to the voters and it was rejected. She wanted to make the record clear that the Board is not compensated for anything. She said her only problem is the out-of-pocket expenses that the Directors have to provide in may instances. She stated that she is going to recommend that 16 the Board consider reimbursement of out-of-pocket expenses. Mayor Bush said that he personally does not support this resolution. He added that in the 1980's, the citizens voted to change to the city manager form of government; and part of that was the Directors would not be compensated. Also, there was a vote by the citizens several years ago, which was 60-40 against compensation. Director Edwards pointed out that in many meetings some of the Directors have attended in other states and cities, they have found that Hot Springs is one of the few that is not compensated. City Manager Kent Myers explained if the resolution is approved, then the Board will be signifying to the General Assembly to support an amendment to A.C.A. '14-61- 110 to permit the setting of compensation and participation in group employee health insurance benefits by the Board of Directors. If the resolution passes, then the legislation would have to pass. If the legislation passes, then it would have to come back to the Board; and the Board would consider compensation at that time. Director Maruthur said that several years ago, this issue was considered; and the intent expressed was that anyone who wanted to serve on the Board was going to only serve for the intention of providing policy for the City and representing the constituents of their district. They did not want  people running for a position for a supplemental income or any other financial purpose. She stressed that the Directors do need to be reimbursed for out-of-pocket expenses. Mayor Bush then called for a vote on the motion to approve; and upon roll call, the following voted Aaye@: Director Jones. Voting Ano@: Directors Maruthur, Smith, Weatherford, Edwards, Daniel, and Bush, total 6; motion failed. Whereupon the resolution was declared failed NEW BUSINESS Proposed Ordinance No. O-05-18 An ordinance entitled, AAN ORDINANCE AMENDING ORDINANCE NO. 4405 REGULATING THE LOCATION OF SEXUALLY ORIENTED BUSINESSES; REPEALING CERTAIN ORDINANCES; 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 Jones, duly seconded by Director Edwards, that the ordinance be passed as read. Upon discussion, City Manager Kent Myers stated that the City has an existing ordinance regulating sexually oriented businesses that was passed in 1994. The current regulations specify that sexually oriented businesses have to be a certain distance from 17 educational facilities, churches, city parks and other similar facilities and also 400 feet from residential districts. Over the past five to ten years as the City developed, the amount of land area available for these sexually oriented businesses has decreased. Based upon recent court rulings, the City staff (Planning Department, City Manager=s Office and City Attorney=s Office) has determined that the City is running the risk of being sued if the City does not amend the ordinance at this time. By taking action tonight, the City is not encouraging these businesses but is taking a pro-active approach to avoid litigation. He said that in light of federal court rulings over the years, the City has to allow a certain amount of area within the city limits for sexually oriented businesses. Mr. Jerry Raetz, Planning and Development Director, advised that this amendment addresses the amount of land that is eligible for sexually oriented businesses. It would increase it from just a little over 4 percent that is available today to approximately 7.7 percent. This should allow for considerable expansion of the city limits through annexation, expansion of the city parks system, the public school systems and also for inclusion of several new religious institutions. It also removes a few of the areas that are eligible today as part of this ordinance. Most specifically, it protects the historic districts of the community. It also protects the intersection of Central and Ouachita and Market Streets and also along the Fountain Street area just off of Central Avenue. It better defines several of the areas for the buffer requirements. It also brings this particular code into concert with the present Zoning Code as far as enforcement and the permitting process for the establishment of any sexually oriented business. Director Smith asked that he explain the areas that are taken out of play by this ordinance, and Mr. Raetz advised that presently there is a small area in the center of the historic district at the intersection of Fountain Street and Central Avenue and is presently an eligible area. Also considerable amount of the properties along Fountain Street are an eligible area. The intersection in the vicinity of the Confederate Square, at the intersection of Central, Market and Ouachita, are three areas that have been excluded. Director Jones commented that District 2 has more areas than any other district, and Mr. Raetz replied that staff did not do any physical calculation by district when they were processing this. Director Jones pointed out there are many areas surrounding the historic district in District 2, and Mr. Raetz replied that this ordinance protects the historic district. Director Jones questioned why her district has more areas than any other district, and Mr. Raetz replied that was not a consideration. He added they did not go to electoral districts when they were re-doing this process. City Manager Kent Myers noted that one of the largest areas is on Airport Road. He added there is a large, manufacturing zoned area, which is one of the new areas that is available for these businesses. He stressed that staff did not calculate the land area by districts. In reply to Director Edwards, City Attorney David White advised that the Supreme Court has given First Amendment protection to adult sexually oriented businesses. Therefore, the City cannot regulate the content of the business; and the best the City can do is to try to regulate the location. Mr. Mickey Gates said that he lives outside the city limits; and at the present time, outside the city limits, there is a 2,000 foot buffer. He commented if the City starts annexing toward the County, the County will do everything to push back simply because the City is bringing them closer to their homes. He stated the four percent up to seven percent allows growth for the City to annex. Generally the areas the City is annexing are going to be industrial parks or home developments. He added the Fountain Lake and Cutter Morning Star districts are large parts of his district, and Spring Street and the Little Rock Highway corridor would be a prime object for this type of business. He mentioned that in the current form, there is nothing that would restrict a red light district from happening. He stressed that is a major concern and needs to be addressed before it is passed. He pointed out that his neighbors have lived on their property since it was homesteaded in the early 1900s by their grandparents, and they consider it historic. He asked that the Board reconsider that and find a way to get it closer to the five percent. Director Smith asked if the County has any plans, and Mr. Gates stated that currently they had been challenged that they were violating some civil rights; and they worked for a long time to find out if there was a five percent land mass. They finally went to pulling up tracts of land and knew in the middle of those tracts they could locate a business. He said that he has 3,000 of acres surrounding his house that is owned by Weyerhaeuser and is all purchasable land. He commented that he did not want their business in his neighborhood, but it is available according to County ordinance. Ms. Barbara Anable said she would like to address the issue of the National Park Service and the Historic District being exempt from having this type of business in their area. She said she lives off 70 West, and the entry to the City is the airport and also there will be people visiting the Clinton Retreat House. Mr. Andrew Clark, 112 Valley Forge, said his generation is growing up and having families and does not support expansion of sexually oriented businesses. He noted that he grew up in the Cutter Morning Star area, and he and his friends opposed that type of club activity in their area. Mr. Alan Clark, 112 Valley Forge, stated that he was a Justice of the Peace for District 1 from 1992 to 1996, which covers an area that he and Director Maruthur had in common. He said that he appreciates what Director Maruthur has done in the past few years in representing her district. He stated that his greatest concern is the Cutter Morning Star community (Spring Street and Highway 70 East) and in looking down Spring Street, there are residences and churches that will have no buffer zone. He said that it appears there are more in his area than should be and with no buffer zone and suggested tabling this ordinance until there can be more input from his community. Mr. Leo Echols, 219 Elliott Street, which is off Spring Street, said he does not want any changes made to the area where he lives or close to it. He said he has been trying to increase the value of his property and does not need it devaluated. He asked that the Board make an effort to consider their wishes because it is close to a number of homes. Director Daniel questioned if any of the property owners were eager to sell to any of these businesses. He said he was under the impression for them to locate there, they would have to find a piece of property that was available and could not just move in. City Attorney David White advised that was correct; and historically, they have all been located downtown. He noted that The Centerfold, on Highway 70 East, is the farthest out. He explained just because an area is zoned for it does not mean there is economically space available or even space available at all. Insofar as areas being available, many are not economically viable, and the City does not have to make them economically viable. He advised that the court has only said that the City has to make space available, but it does not have to guarantee anyone that it is a good space or that it is not already occupied or they can make money at it. He stated the courts have expressly rejected an argument made in some of the cases where sexually oriented business owners have argued there is space available, but it is not economically viable. He added there is no absolute maximum or minimum percentage- wise that the City has to offer, but most of the courts basically use the term five percent of the area in a given location. The City has tried to adhere to that; and by this amendment, the City is not doing anything new but simply adjusting it. He advised that the City is beginning to get squeezed to a legally precarious percentage, and it needs to make some adjustments so the City does not find itself in a position where at some point in time it does not have any space available. Director Maruthur said that years ago, the City amended the existing ordinance to extend the distance from churches, schools and parks; and the City has limited regulatory authority. She noted the City cannot zone them out but has to make a provision for them to be in a zone. She asked if the existing SOB=s are regulated under the ABC, and City Attorney David White advised that they are. He stated the ABC has passed its own regulation that they will not issue a liquor license to anyone who provides topless entertainment or sexually oriented businesses. In that regard, they intend to be private clubs where patrons can Abrown bag.@ Director Maruthur pointed out that the City is trying to protect the children and is the reason for distance regulations regarding churches, schools and parks. She asked if the City has the ability to make them smoke-free and have a smoke alarm in the Police Station so any violation would pull their permit. City Attorney David White advised that relying upon previous cases regarding smoking and some previous cases regarding mandatory seatbelt law, he would be inclined to think that the City could create a smoke-free environment but could not target SOB=s specifically. He noted that would probably create an  equal protection problem where the City is singling out somebody for disparate treatment with no rational basis. Director Maruthur commented that the City is saying this business cannot be 500 feet from a church, school or park; but she is looking for something that would discourage their existence and still provide for their operation according to the law. She said that is the reason she suggested smoke-free. City Attorney David White advised that the City could pass a smoke- free ordinance, but it is going to have to make it broader than simply SOB=s because it is clear that the City is targeting them which the Constitution of the United States will not permit. Director Maruthur said that she does not want to target them but thought the City could amend it and change their desire to be here. Director Jones pointed out that the City has a facility on Utility Court; and also her church in on Gaines Street with the side of her church facing Eureka Street. She asked if somebody wants to have a SOB business in that area, if the church would be buffered, and City Attorney David White advised that it would not. City Manager Kent Myers pointed out that even though these are allowable locations, they may not work for sexually oriented businesses. He stated that regarding Utility Court property, the City has no desire to sell that property to anyone who wants to run a sexually oriented business. He would hope that the Gaines Street Church would have no desire to sell to anybody that would open that type of business. He pointed out property owners still have rights to sell their property to anybody they desire. City Attorney David White pointed out that the City is under no obligation to create space that is economically viable, and all the City has to do is create space of approximately five percent within the limits wherein they could conceivably locate. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Director Edwards and Mayor Bush, total 2. Voting Ano@: Directors Maruthur, Jones, Smith, Weatherford, and Daniel, total 5; motion failed Whereupon the ordinance was declared failed. Proposed Ordinance No. O-05-19 An ordinance entitled, AAN ORDINANCE ACCEPTING THE ANNEXATION OF CERTAIN TERRITORY TO THE CITY OF HOT SPRINGS, ARKANSAS; MAKING SAME A PART OF THE CITY OF 18 HOT SPRINGS; AND ASSIGNING SAME TO A DISTRICT (RACHELWOOD SUBDIVISION),@ was taken from the agenda for consideration. 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 Weatherford, duly seconded by Director Edwards, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried. Whereupon the ordinance was declared passed. Proposed Ordinance No. O-05-20 An ordinance entitled, AAN ORDINANCE ACCEPTING THE ANNEXATION OF CERTAIN TERRITORY TO THE CITY OF HOT SPRINGS, ARKANSAS; MAKING SAME A PART OF THE CITY OF HOT SPRINGS; AND ASSIGNING SAME TO A DISTRICT (CANTERBURY HEIGHTS SUBDIVISION),@ was taken from the agenda for consideration. A motion was made by Director Weatherford, duly seconded by Director Edwards, that the rules be suspended and the ordinance be read for the first 19 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 Daniel, duly seconded by Director Maruthur, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried. Whereupon the ordinance was declared passed. Proposed Ordinance No. O-05-21 An ordinance entitled, AAN ORDINANCE AMENDING PARAGRAPH 33.2 (WAITING TIME) OF ARTICLE III (TAXICABS) OF THE HOT SPRINGS TRANSPORTATION CODE (ORDINANCE NO. 4571, AS AMENDED); AND FOR OTHER PURPOSES,@ was taken from the agenda for consideration. A motion was made by Director Daniel, duly seconded by Director Weatherford, that the rules be suspended and the ordinance be 20 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 Weatherford, duly seconded by Director Edwards, that the ordinance be passed as read; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried. Whereupon the ordinance was declared passed.  Proposed Ordinance No. O-05-22 An ordinance entitled, AAN ORDINANCE AMENDING THE HOT SPRINGS SOLID WASTE ORDINANCE (ORDINANCE NO. 4686, AS AMENDED) BY REVISING THE CAPS PROGRAM; AND FOR OTHER PURPOSES,@ was taken from the agenda for consideration. A motion was made by Director Weatherford, 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 Weatherford, that the ordinance be passed as read. Upon discussion, Mr. Bill Burrough, Sanitation Director, explained this ordinance serves two purposes: (1) housekeeping measure to provide a rate charge for commercial establishments for brush and small miscellaneous items that does not change the City=s practice but gets it back into the ordinance; and (2) this is a program to remove some of the items that are left on the 21 curb. Residents will leave items on the curb and either forget to call CAPS or just leave it there hoping it will disappear. If his department is sweeping an area and observes items left curbside for CAPS but not scheduled for collection, his department would like to leave a courteous letter or door knocker advising the residents to call the Sanitation office to get it scheduled. After seven days if they have not received a phone call or have it scheduled to be collected, the Sanitation Department has the opportunity to collect that waste and follow what the ordinance states as far as the charges. If the residents have never had a CAPS pickup during that year, it would be free of charge. However, if it is a second or more collection for that address, there would be a charge of $20, which will be billed on their water bill. He stressed he is not talking about going into people=s yards, but this is for waste that is placed on the public right-of-way for CAPS collection. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried. Whereupon the ordinance was declared passed. Proposed Resolution No. R-05-53 A resolution entitled, AA RESOLUTION AUTHORIZING PARTICIPATION BY THE CITY IN THE CBID NO. 3 PLAN OF IMPROVEMENTS,@ 22 was taken from the agenda and read by title only. A motion was made by Director Edwards, duly seconded by Director Maruthur, that the resolution be adopted as read. Upon discussion, Mr. Steve Mallett, Public Works Director, explained that several downtown business owners from Prospect Avenue down to Market and Ouachita have decided to extend the streetscape project with regard to street lamps, park benches, trees, etc. Last year, the district commissioners and architects bid that project; and it came in over budget twice. There were two choices: (1) do away with the project entirely; or (2) come to the Board and request that the City participate in the CBID No. 3 plan of improvements. One of the two issues he looked at was manpower and budget. They had a budget of $750,000 based on the numbers that he, the architect, and staff worked up. He said they feel it can be done material-wise within that $750,000 to provide a little contingency money in case some unforeseen circumstances arise. There is approximately $45,000 in contingency funds, and the City has already dedicated $38,000 in this year=s budget to go toward the project. He said he believes the City can do this within the four to six-month time frame for several reasons: (1) most of the store fronts are not quite as numerous as CBID No. 2.; (2) the men are more experienced because this is the same type work performed on the other district; (3) the equipment is more advanced; (4) the utilities have already been upgraded to the meter box, which was not the case in CBID No. 2.; and (5) there are only two electric services the City has to deal with. Whereas before, every building also had an electric service. Based on those factors, he believes the City has the capability of doing that in- house and being able to keep up with the high priority work and emergency work that arises. Any issue that comes up, which needs to be addressed by the Board or public, he will take care of those items as they arise. Director Daniel questioned how much is the City=s part, and Mr. Mallett replied that it is $38,000 actual money. Based on a four-month time frame, the estimated labor is approximately $265,000. With a six-month time frame, it is about $400,000 worth of labor. Director Daniel stated that in order to implement parking on the street, it would cost around $30,000 of which $15,000 would be from CBID No. 3; and the City=s part would be $15,000. Mr. Mallett replied that is a good estimate of the City=s labor amount to build the bump-outs and construct some of the drainage associated with on-street parking. Director Daniel said he mentioned it would not take away from any of the City=s current projects; but with these funds for this labor, it is not in the City=s budget ($265,000). City Manager Kent Myers replied that these are all personnel which are currently budgeted, and the City is not planning on adding any new personnel. Director Daniel asked if the City can afford this and not have any problem, and City Manager Kent Myers advised that it could. He added that Mr. Mallett is not requesting that the Board add funds to his budget for this project. Director Daniel expressed concern with the wording Ageneral contractor.@ He questioned the difference between project manager and general contractor. City Attorney David White advised that is a customary construction term. He noted if it is problematic, there should be something in writing that better defines it so the City knows exactly what it is and is not to do. He said he does not care for the term as he understands it from the construction trades, and it carries a connotation he does not think the City should be involved. City Manager Kent Myers explained that in the resolution, it uses the term project construction manager. He stated that possibly the word Acontractor@ was used in some of the staff reports, but the resolution defines that as a project construction manager. He said that it differs from a contractor who has to be certified by the State. Mr. Mallett said the City is acting as a project manager to coordinate the work downtown. Mr. Ray Owen, Jr. stated they are asking the City to do the same thing it did in CBID No. 2, which is to act as the project construction manager. He reported that in CBID No. 2, there were monies to be paid by the Advertising and Promotion Commission, but they could not do that because it was illegal. Therefore, the City actually paid in $250,000 toward the construction of the upstream (Prospect Avenue up to the fountain) area. He pointed out this does not request that kind of outright expenditure of funds except for the $38,000 the City has already committed to. Director Smith questioned if the storm drain materials were connected with the parking on the street. He said that he understood there would be a six-month experiment and asked if it would have to be torn out if it did not work. Mr. Mallett replied that the only wrecking out the City would have to do, if that were the case, would be the sidewalk bump-outs. He explained that he is situating the drainage so it will be in the street side curb and can remain. Director Maruthur asked how many years this has been in the works, and Mr. Ray Owen advised that the City approved it over two years ago as far as forming the actual district. He added the City Manager and his staff were involved with the merchants and business owners in that area for a period of time before that. Therefore, it is around a total of 3 to 3-1/2 years. He advised that some good financing bids were received from local banks. He talked to bond counsel today, and they can start the financing arrangements in the next couple of weeks. Director Maruthur asked if the City=s participation in CBID No. 3 is similar to the participation in CBID No. 1 and No. 2. Mr. Ray Owen explained that the City did not participate in CBID No. 1, which was Lindell Square. However, there was significant City participation in CBID No. 2. Director Maruthur asked who was paying for the improvement district, and Mr. Owen advised that the owners of the property are going to borrow $970,000 and are going to be assessed annually for a period of years until that debt is paid off. Mr. Steve Mallett advised there will be a monthly progress meeting with the downtown business owners; and he will keep them informed, as well as the Board, of any changes. Mr. Jean Silvey, owner of World Cargo at 714 Central, which is the beginning of CBID No. 3, stated he owns the building at the end called Windows to the World at 120 Ouachita. He added there was $800,000 allotted to go toward this, which was to be the projected cost. He stated that Mr. Owen, when he came up with contingency costs, came up with $970,000. He said he understood when the bids came in at $1.4 million and $1.2 million, this left them short on what was needed for the project. He pointed out that the downtown area has a lot of momentum going, and it is time to proceed with the project. Regarding the parking situation, he said there was a study done by professionals saying that the parking could happen, but he expressed concern for emergency vehicles. He urged the Board to proceed with the project. Mr. Bob Gartenberg, 120 Bafanridge, property owner downtown, expressed concern with the parking. He said it is important to have on-street parking again and cut the lanes down to two lanes. Mr. Bob Nagy, 2617 Middlebelt, West Bloomfield, Michigan, advised that he is purchasing one of Mr. Gartenberg=s property at 812 Central. He said that he supported the parking and pointed out that a traffic study was done by engineers and should go forward with the way it was presented by the engineers. Director Jones said she was concerned about the parking, but she is in favor of the project and will vote for it. Director Daniel asked if the old Penny=s building parking lot is used, and Mr. Nagy replied that it is open; and there is room for 50 cars. He explained that the concern is that Chapel Street at one time had traffic in both directions. At the present time, motorists cannot turn left onto Chapel Street. He asked if the City would look seriously at making traffic come and go on Chapel Street and making right and left-hand turns. Director Maruthur said in the original design for CBID No. 3, there were large planters and they were to serve as passive security because of all of the cars that have gone over the curbs and into the stores. She pointed out this would be like a natural, passive security. Ms. Wanda deRenouard stated that she recently purchased 831 Central and expressed concern with the walking pedestrians, especially during art walk. However, she is in favor of the project. Mr. Davis Tillman said the City=s support of this project will help complete the downtown area. He noted it will complement the improvements that are being done by the National Park Service with the bathhouses and proposed highway resurfacing. He asked that the Board support this project and complete it before the resurfacing of Central Avenue. Mr. David French reported that he is the architect on this project and a property owner at 825-827 Central. Mr. Rico Harris, architect, distributed a booklet to address the parking issue. He pointed out that he is more concerned with pedestrian safety and wanted the parallel parking back on the street. He explained that going northbound, it is one-lane traffic from Grand Avenue all the way through Market and in front of the Malco Theater. On the other side of the street, going south on Central, all the way from the fountain, it is two-lane traffic until the curve at the Goddard Hotel. That is where traffic transitions from two lanes back to one lane. If continuing south on Central, motorists have to merge from two lanes to one lane; and all they are doing is moving those transition points. They are moving the transition northbound from one lane to two lanes down to the Spring Street intersection. Under their proposal, traffic would continue to be one-lane northbound until the Spring Street intersection and then it goes to two lanes; and the same thing southbound. Instead of waiting until the Goddard Hotel to transition to merge from two lanes down to one lane, they are moving it back, which is a more logical place to merge, according to Peters and Associates, from two lanes to one lane and is at an intersection. He pointed out that is what they have done at Prospect. Director Weatherford said on the existing plan it shows there is a crosswalk at the Confederate Square; and on the plan, it looks as if it has been removed. Mr. Harris replied they are not taking it out. Director Weatherford asked if they are adding a crosswalk at Chapel going across Central, and Mr. Harris advised that they are. He added that is a crosswalk they have added mainly considering the Documentary Film Festival. Director Weatherford stated that it shows no parking on the proposed plan around the Confederate Square and asked if they are eliminating that. Mr. Harris advised that it is still there. City Manager Kent Myers asked if the crosswalk on Chapel has been approved, and Mr. French advised that they have already submitted their plans to the Arkansas State Highway and Transportation Department, and it has been approved. Director Daniel asked if it is going to be a raised crosswalk, and Mr. French advised that it was, but it is not anymore; none of them will be. Director Weatherford asked if they will be painted crosswalks, and Mr. Harris said that it will be the reflective white. Director Weatherford said they discussed in Mr. Owen=s office starting on Market Street and give a head start before the race meet is over. He asked how much of a problem it would be to not build the bump-outs but proceed with the parking on Central and paint them on there. City Manager Kent Myers advised that the City would like to do that but is concerned with the construction activity during the next four to six months that vehicles might be damaged if parking is allowed at this time. The plan is to put the parking in before the final punch-out list. Regarding the construction phasing, Mr. Steve Mallett reported that they plan on starting on the southern end. It extends down Market Street back to the east and extends down Ouachita to the west. By the time they get down to Central on each side, it should be near the end of the race season. They will progress on one side of the street toward Prospect and will not have both sides of the street disrupted at any time. They will provide temporary access with wooden bridges to allow the business owners to have access to their front door. Mayor Bush asked when they will start if this is approved tonight, and Mr. Mallet advised that the first order of business is to accept all of the bids that they have taken and will discuss that with French-Harris. Once all of the bids are accepted, City employees will be on site as early as two weeks. Director Jones questioned why the raised crosswalks were taken out, and Mr. Mallet explained that at Spring Street, it is a three-way intersection and raised crosswalks on each intersection. Then on the other side of the street by the store fronts, it would basically be curb level. Therefore, there would not be the natural roadway going through to drop off of so the State was somewhat concerned. He mentioned it has not officially been voted down but was just pulled out of the project. Director Smith questioned the possibility of putting in underground utilities, and Mr. Mallett replied that basically that is all being done. He added the only part that is not going to be done is the signal light at Bridge Street, and provisions are being made to come back and do that. The City has long-range plans to do that; but with the improvements that have been discussed, that will move up on the priority list because it will be the only thing that is not very attractive in that area and will try to get that in next year=s budget. They will make provisions as they go so they will not have to come back and tear up the sidewalk at a later date to get that installed. Mayor Bush then called for a vote on the motion to adopt; and upon roll call, the following voted Aaye@: Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried.  Whereupon the resolution was declared adopted. Note: Director Maruthur left the Board Chambers at 8:35 p.m. and was absent for the remainder of the meeting. Proposed Resolution No. R-05-54 A resolution entitled, AA RESOLUTION REVISING THE 2005 POLICE FUND BUDGET BY APPROPRIATING FUNDS FOR THE GARLAND COUNTY JUVENILE COURT CRISIS INTERVENTION PROGRAM,@ was taken from the agenda 23 and read by title only. A motion was made by Director Jones, duly seconded by Director Edwards, that the resolution be adopted as read; and upon roll call, the following voted Aaye@: Directors Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 6. Absent and not voting: Director Maruthur; motion carried. Whereupon the resolution was declared adopted. Other Business Board of Directors Items Director Edwards stated there are parking lots that do not display their permits and do not give tickets when they park a car. Also, they are not displaying the parking signs with the correct height of the numbers and parking for that day, and this needs to be corrected. City 24 Manager Kent Myers replied that staff will do an inspection of the area. Director Jones expressed appreciation to those who attended and celebrated Black History Month and thanked the City in assisting with the parade. Mayor Bush extended appreciation to Fire Chief Ed Davis for giving his five year old grandson a tour of the fire station. City Manager's Report City Manager Kent Myers gave the following report: 1. At the last meeting, there was a discussion regarding whether or not the City should continue operating the trolleys this year. Since that meeting, Director Daniel has met with Deputy City Manager Lance Hudnell; and there will be another public meeting to discuss some updated issues regarding the trolley. Deputy City Manager Lance Hudnell is working with Director Daniel to select a date and time for a 25 meeting that would involve the downtown merchants and interested parties. Before this is back before the Board, the City will solicit additional public input. He stated with a 30-minute head time, it will cost approximately $20,000 to run the trolleys this year. If the City were to purchase another trolley, that would be an additional $66,000. He said the City wants to get additional, public input before it comes back to the Board. 2. Updated information was distributed to the Board on Friday on the Code Compliance efforts related to several large buildings  near the downtown area (Darch, Knickerbocker, National Baptist Hotel, and Goddard Hotel). If there are any questions, the Directors may contact Mr. Jerry Raetz or his staff. 3. The Annual Appreciation Dinner for advisory boards and committees will be held tomorrow at 6:30 p.m., Hot Springs Civic and Convention Center. 4. Next Monday night, there will be a Board Work Session beginning at 5:00 p.m. to continue with the items that were postponed from the last work session. 5. On Monday, at 1:30 p.m. there will be the dedication of the Centennial Rotary Trailhead project across the street from Hollywood Park. This is a combined effort of the two Rotary Clubs that have contributed money for the restrooms. 6. The local legislative session will be in session on Friday, and there are a number of Bills that have been introduced that the Board has supported. If any of the Directors would like to attend, he will be leaving at 7:30 a.m. and returning around 12 noon. 7. There was a fire this afternoon which involved the composting operation. A load of hay was delivered from Oaklawn Park; and following the delivery, some of the compost hay caught on fire. He asked that Fire Chief Ed Davis give a report. Fire Chief Ed Davis reported that at 3:50 p.m., there was a fire at the compost pile at 320 Davidson Drive. Upon arrival, firefighters found about 40 thousand cubic feet of hay and animal refuse that had been piled up and began to catch on fire. He explained this occurs because of the weather change. Whenever there is hay and animal refuse that is piled up ten feet high in these large piles and the weather changes, it will spontaneously combust because of chemical reactions in the hay. A great effort was made by Utility crews and the ten firefighters, and they limited the spread to about 50 thousand cubic feet. There is about 300,000 to 400,000 cubic feet of compost material out there, and they were able to keep it out. At this time, they are in the process of overhauling it trying to limit the amount of smoke. ADJOURNMENT There being no further business to come 26 before the Board, the meeting adjourned at 8:45 p.m., to meet again on Monday, March 7, 2005, at 7:00 p.m.