Board of Directors

MINUTES BOARD OF DIRECTORS MEETING NOVEMBER 20, 2006, AT 7:00 P.M. The regular meeting of the Board of Directors was held on Monday, November 20, 2006, at 7:00 p.m., Board Chambers, City Hall, with Mayor Mike Bush presiding. The invocation was given by Ms. Barbara Cooper, 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, Steve Smith, Carroll Weatherford, Bill Edwards, Tom Daniel, and Mike Bush, total 7. 2 Approval of Agenda A motion was made by Director Edwards, duly seconded by Director Smith, that the agenda be approved; and upon voice vote, the motion unanimously carried. 3 Approval of Minutes of November 6, 2006 Board Meeting A motion was made by Director Daniel, duly seconded by Director Maruthur, that the minutes of the November 6, 2006 Board Meeting be approved; and upon voice vote, the motion unanimously carried. 4 Recognition of Guests Mayor Bush recognized Mr. Doug Arnold, representing Friends of the Parks and Fifty for the Future, who stated that Friends of the Parks was organized to help with the maintenance and development of the city parks; but their emphasis has always been on the Hot Springs Creek Greenway. He reported they have been working for the last several years trying to acquire land and right-of-way for the continuation and completion of that project. They have also contributed funds to that project over the last few months in the amount of over $40,000. Earlier this year, they approached Fifty for the Future and asked for a donation to help with this effort, and Fifty for the Future contributed in excess of $16,000 for engineering and construction for subsequent development of the Greenway. He expressed appreciation to the Board for its support. CONSENT AGENDA The Consent Agenda consisted of the following: 5 Public Safety Report (November 9, 2006). 6 Proposed Resolution No. R-06-351 Extending a Letter of Engagement with Morgan Keegan for the Provision of Financial Advisory Services. 7 Proposed Resolution No. RB06-352 Extending an Agreement with Jordan, Woosley, Crone and Keaton, Ltd. for Audit Services for the City of Hot Springs, Arkansas. 8 Proposed Resolution No. R-06-353 Extending an Agreement with Regions Bank for the Provision of Certain Banking Services. 9 Proposed Resolution No. R-06-354 Appointing David Seaman to the Central Business Improvement District No. 2 Board of Commissioners. 10 Proposed Resolution No. R-06-355 Appointing Erik de Renouard to the Central Business Improvement District No. 3 Board of Commissioners. 11 Proposed Resolution No. R-06-356 Repealing Resolution No. 6381 (Awarding a Contract to Larson, Burns and Smith for Kimery Park Expansion Conceptual Plan and Economic Impact Report). 12 Proposed Resolution No. R-06-357 Authorizing the Filing of an Application for a Growth Award and Tree City USA Recertification by the National Arbor Day Foundation. Board of Directors Meeting 2 November 20, 2006 at 7:00 P.M. 13 Proposed Resolution No. R-06-358 Accepting a Donation from Friends of the Parks for the Hot Springs Creek Greenway; and Appropriating Said Donation. 14 Proposed Resolution No. R-06-359 Approving a Reimbursement Agreement with the Advertising and Promotion Commission for Two Electronic Marquee Signs. 15 Proposed Resolution No. R-06-360 Levying Zero Mills of Ad Valorem Taxes for the Purpose of Paying Policemen=s Pensions. 16 Proposed Resolution No. R-06-361 Levying Zero Mills of Ad Valorem Taxes for the Purpose of Paying Firemen=s Pensions. 17 Proposed Resolution No. R-06-362 Levying Zero Mills of Ad Valorem Taxes for the General Fund. 18 Proposed Resolution No. R-06-363 Awarding a Contract to Boyles Construction for the Southwest Wastewater Treatment Plant Force Main and Lift Stations. 19 Proposed Resolution No. R-06-364 Awarding a Contract to Coakley Construction for the Wastewater Line Improvements/24-Inch Line Replacement, Phase I; and Approving a Budget Transfer. 20 Proposed Resolution No. R-06-365 Authorizing the City=s Engineering Division to Establish a Stormwater Certification Program and Charge a Fee for Such a Program. 21 Proposed Resolution No. R-06-366 Consenting to a Lease Agreement Between Garland County Economic Development Corporation and Stanley Associates, Inc. for Certain City-Owned Property Within Hot Springs Office and Technology Park. A motion was made by Director Daniel, duly seconded by Director Edwards, that the Consent Agenda be approved; and upon roll call, the following voted Aaye@: Board of Directors Meeting 3 November 20, 2006 at 7:00 P.M. Directors Maruthur, Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 7; motion unanimously carried. NEW BUSINESS 22 Proposed Resolution No. R-06-367 A resolution entitled, AA RESOLUTION APPROVING A REVISED SITE PLAN FOR THE PEAKS APARTMENTS LOCATED IN THE 400 BLOCK OF LAKE HAMILTON DRIVE,@was taken from the agenda and read by title only. (Appeal) A motion was made by Director Jones, duly seconded by Director Weatherford, that the resolution be adopted as read. Upon discussion, Mr. Brian Reis, attorney representing the Peaks Limited Partnership, the developer, stated this proposed development fits within the Comprehensive Plan of the City and is a very good transition between a residential and commercial area. He commented on two separate occasions, the City staff has recommended approval, as well as the Planning Commission. He noted it has been reviewed by various branches of the City and the County, including Fire, Sanitation, Utilities, and Parks. He pointed out this is a multi-million dollar project that will be a capital investment for the community and will create jobs and generate spending. He said they want to be a part of the City and are anxious to annex this property. He explained this project will provide affordable housing and will be done in a quality environment. He added they want to build this project as it is shown and are present tonight under Article II Site Plan approval, which is for developments of more than one building. He noted they receive financial assistance from the federal government for this project; the land has been purchased; and the funding is in place. He stated if they are unable to build this project as shown, then they have no choice but to do something else in a way that they can get it accomplished. He asked that the Board consider the many other projects in the same neighborhood that have been approved in the past. From the traffic studies that have been prepared, the traffic on Lakeland Drive is three times heavier than on Lake Hamilton Drive. He mentioned that the City has approved Lakeland Habor for 48 units on Lakeland Drive, Lakeland Bay for 60 units on Lakeland Drive, and Blue Lake Lodge on Chambers Point. The traffic study that has been done shows that even if this project is developed as proposed, the traffic will still be at the lowest, flowing form on the rating charts. He said there were some safety concerns from the public at the Planning Commission, and he has begun compiling statistics for other collector roads in the County; and some of those statistics may be of interest Board of Directors Meeting 4 November 20, 2006 at 7:00 P.M. compared to other collector roads in the County. He reported the traffic and traffic accidents on this road are insignificant and are less than Treasure Isle Road, Thornton Ferry Road, Majestic Lodge Road, Section Line Road, Quapaw, and Peninsula Drive. He added the traffic on this road in inconsequential, and the statistics from the City and County bear that out. He noted that some of the people in opposition will criticize them because they first presented a plan at the Planning Commission for 48 units and then came to the Board and asked the Board to approve a larger project. He explained there are two interrelated companies: (1) one company owns 4+ acres, and another company owns 14 + acres; but they are asking for approval of this 4+ acres. When they went to the Planning Commission the first time, the public asked what they were going to do with the other 14 acres; and they were criticized and were told they were not informing everyone what their plans were. He said they were asked to provide documents that showed the entire tract of real estate, which they did. He advised that they are only seeking approval tonight for this development on just over 4 acres, which is a related company that owns the property next door. He added that in the future that company would like to develop that property, but there are no plans for it at the present time nor is there any funding for it. When they came to the Board and showed the entire 19+ acres as developed, they showed alternate access in the event that it was all developed. If in the future the balance of that property is ever developed, Mr. Reis said there will have to be alternate access to it, and they are committed to that. Mr. Q. Byrum Hurst, Jr. stated he is not speaking as an attorney but as a homeowner since he lives on Lake Hamilton Drive. He said that Mr. Reis is correct in that property owners in this area have had a difficult time following exactly what they wanted to develop since it has been changed and modified. He pointed out that Lake Hamilton Drive is very narrow; and in times past, it appears that sometimes commercial developers and commercial development get ahead of the infrastructure. He commented if the developers from Little Rock and North Little Rock want to make money on Garland County property, that is fine; but the first thing that needs to happen is the infrastructure; and Lake Hamilton Drive, in this instance, needs to be made safe. Once that occurs, then they should present their project. He pointed out in this instance, there a small, narrow road and the large project; and they want the Board to approve the project and then they will improve the road. He said they need to be told, as they have been by the Planning Commission, the road needs to be improved and then present a plan of a multi-million dollar housing project. He urged the Board to deny this project. Mr. Bill Randel, 416 Lake Hamilton Drive, said on two separate occasions, the Planning Commission has denied this request. He stressed that safety is an issue that Board of Directors Meeting 5 November 20, 2006 at 7:00 P.M. needs to be addressed. He noted one of the changes made by the developer was they would give an easement to the City and widen the road so that the total width would be 70 feet. Also, they would install sidewalks, and curbs and gutters; and because of their interest in the other 14 acres, they agreed to do the same for that. He commented they are going to spend money to widen that particular section of Lake Hamilton Drive, which will create a bigger problem. He pointed out just before Lake Hamilton Drive, traveling east, it intersects with Lakeland Drive; and there is a large curve. To make it more dangerous as motorists approach it, they top a small hill and then come down hill and get into that curve. He said if they widen that first area of Lake Hamilton Drive, starting at the Mall Cinema, motorists will increase their speed. Currently, the speed limit there is 20 mph, which is difficult to enforce. He mentioned they have been to the County to ask for relief on that, and their response was that the City was going to annex this property anyway, and they are not concerned with it. He pointed out that widening of this section of Lake Hamilton Drive appears to be a positive action but is actually going to make Lake Hamilton Drive much more dangerous. He stated in these apartments, there will be families with children, more people on that curve, as well as school buses, which will be more dangerous than it is today. He asked that the Board deny this because of safety on Lake Hamilton Drive. He also requested that the Board consider placing a condition that if this development moves forward, that not only that one small section of Lake Hamilton Drive be widened, but they provide the necessary means to widen it from the Mall Cinema all the way to Lake Hamilton Drive. If not, the taxpayers will have to. He noted these traffic studies were done at a time when there were no visitors and were done in the off-season and on a weekday. He stated if time were spent on Lake Hamilton from June to August and on Lake Hamilton Drive and Lakeland Drive, the traffic study done at that time would be a fairly large multiple of what there is today. Mr. Arby Smith, 9800 Maumelle Boulevard, North Little Rock, said they have proposed to address concerns by making those improvements (70 foot from where their property lies all the way up the Cinema at the Mall); and between the different groups, they can do that. He explained they do not own the land in the other direction. Regarding the school buses, he stated they already travel that road, and they have discussed working with the school districts in getting them to turn into the complex and have a turnaround to pick up the children. Therefore, he believes it would be safer than it is now. He mentioned there are school buses that travel those roads at the present time. Mr. Jim Watkins, 496 Lake Hamilton Drive, commented that he stopped at the Village Square in the 200 block of Lakeland Drive, which is a nice, new complex, and Board of Directors Meeting 6 November 20, 2006 at 7:00 P.M. talked to the management. He was informed there are 216 units, but there are 32 vacancies. He stated this means there is not a shortage of apartments in this area. He said his main concern is the traffic on Lake Hamilton Drive, which includes bike riders, cars, pedestrians, and emergency vehicles. He commented if this project is approved, it will have a large impact on Lake Hamilton Drive; and ultimately the streets will have to be widened from one end to the other but will have to go farther than that. He mentioned there has been discussion about Lakeland Drive to the Mall Cinema, and the streets will have to be widened, sidewalks installed, street lights, and curbs and gutters. He stressed these improvements should be part of the development costs and should be completed prior to construction and paid for by the developer. Ms. Danielle Nall, 9800 Maumelle Boulevard, North Little Rock, Arkansas, said there is a need for affordable housing in Hot Springs; and their financing is already approved. She added there are independent, third-party companies that have performed market studies which state there is definitely a need for affordable housing in Hot Springs. Also, many new jobs are coming into Hot Springs that are in the income level that will suit this apartment complex. She noted at the last meeting of the Planning Commission, there was an objection by some of the public, as well as a couple of Planning Commissioners. It was mentioned that the objection was more to apartments, and they might be alright with this if it were a 48-unit housing subdivision. She noted the traffic concerns were expressed, and the traffic study expert stated that residential homes would typically create more traffic than an apartment unit. She pointed out that she did not know if it was an objection to apartments or actually a safety concern. Mr. Brian Edwards, Edwards Engineering, 9802 Maumelle Boulevard, North Little Rock, Arkansas, stated that his company prepared the site plans for this project representing The Peaks Limited Partnership. He said comments have been made by the public that this keeps changing. He noted this is his fourth meeting on this project, and all of the changes have been made in an attempt to meet all of the City=s requirements while trying to address the public=s concerns to the best of their ability within the limits of the development. He added that one of the changes was adding the 30 feet of additional right-of-way but was not recommended in the traffic study that was performed. Also, there was no recommendation to make any improvements to Lake Hamilton Drive, but the developer addressed issues as far as safety in walking along the north side of Lake Hamilton Drive by dedicating an additional 30-foot of right-of-way, installing sidewalks, curbs and gutters, drainage facilities, and an acceleration lane. He said Mr. Ernie Peters is the only traffic expert he has heard at the four meetings; and based upon his recommendations, the street is safe with the additional 48 units. He added the Planning Commission denied the request on two occasions; and on both of Board of Directors Meeting 7 November 20, 2006 at 7:00 P.M. those occasions, it has been against staff recommendation. He pointed out that the City Engineer has looked at this, as well as the sanitation staff, drainage staff, environmental staff, and those who are trained and qualified to look at these issues. Also, an individual at the Planning Commission meeting asked if this site meets the requirements for development of site approval; and Deputy City Manager Lance Hudnell, who was also serving as Acting Planning and Development Director at that time, had stated that they had met all of the City requirements for site plan approval. Ms. Doss Skallerup, 322 Lake Hamilton Drive, pointed out there has been comments made in regard to vacancies on Lakeland Drive and questioned what would happen to the City and rent houses. She noted that many elderly people do not believe in stocks and bonds and purchase rent houses to help provide for their old age; but if those rent houses are empty, they have no income. Also, if the houses are empty, they become dilapidated and can become inhabited by drug dealers. She stated when she moved to Hot Springs, Highway 7 South was woods and hills but is now cement and flat land. She added this property is still wooded, and some of the trees are over 100 years old; but the developers do not plan on working around any of the hills or woods and are going to tear it down, which is not progress. She commented that the Legislature has passed a law against the taking of private property for private development, but they are not taking their property but are going to take away the value of their property. She questioned why there is a Planning Commission if the Board does not take its recommendation. Mr. Ernie Peters, with Peters and Associates Engineers, 234 Valley Club Circle, Little Rock, Arkansas, stated there was a comment that the traffic volumes they counted are lighter than what they are during the summer months, which he does not deny. However, at the time they were engaged to conduct this work, it was past the June to August busy time around the lake; but they counted their first opportunity after school started and after Labor Day. Therefore, it includes all of the school traffic that is in the mix. The traffic volumes on Lake Hamilton Drive, although it is narrow and is proposed to be improved, are very low for this classification of roadway. He stated this is a major collector street and is the type of street by the City=s classification that is intended to carry high volumes of traffic. At the present time, the volumes are only in the 800 to 900 vehicles per day range, which is very low. He said a roadway of this classification can normally be expected to carry 5,000 or more vehicles per day. In terms of the additional traffic that this 48-unit residential, multi-family development would generate, would be about 325 vehicles per day, bringing the total on the highest volume section of roadway to only 1,027 vehicles per day, which is only about 20 percent of what would be considered a normal volume on this classification of roadway. He said the ordinary procedure for requiring improvements is that there be some reasonable cause for the Board of Directors Meeting 8 November 20, 2006 at 7:00 P.M. requirement for improvements; and in this case, the developer has not been required to make the improvements that have been proposed but rather he has initiated this offer. It is more than adequate in terms of mitigating any impact this development causes; and from a traffic standpoint, he does not see the numbers bear out that there is any kind of traffic problem associated with this development. Mr. Keith Richardson, 9800 Maumelle Boulevard, North Little Rock, Arkansas, said in regard to the Village Apartments having the 30 plus vacancies, they did a market study before they chose to come to Hot Springs. The market study beared out about a 95 plus percent occupancy throughout the City. He said they feel the reason for the vacancies are they just came on line within the last month or two and will probably fill up within the next few months. Also, regarding the possibility of individual=s property values being lowered because of the apartment complex, he noted they are going to spend around $5 million on the property, which is a first-class development. He said they do all brick construction; there will be a brick fence, a nice swimming pool, a fitness center, and a great management staff who oversees the property. Therefore, they believe that it will improve the value of the area. He advised that they purchased the other 15 acres to vest in another property in the future and would not do anything on the 42 acres that would bring down the value on the additional property they are going to develop. Director Maruthur questioned his position in this project, and Mr. Richardson stated that he is the consultant for The Peaks Apartments. Director Maruthur asked what percentage of this will be affordable housing, and Mr. Richardson advised that it is 80 percent affordable and 20 percent market rate. He added this means that 38 units will be affordable, and 10 units will be market rate. Director Maruthur asked how he felt about widening or extending the Lake Hamilton Drive to Lakeland Drive, and Mr. Richardson replied that their budget could not handle that stretch of land. He added that the estimates from engineering is approximately $250,000 from the point they are proposing to the Mall and that is pushing their limit to do anything farther. Also, they do not own the land from there back to Lakeland Drive. Director Maruthur asked if the last section of property they purchased was before or after the recommendation by the Planning Commission. Mr. Richardson replied that from the beginning when they originally found the tract of land, they, as consultants only needed five acres for The Peaks Development. However, they felt so strongly in the tract of land and since the property owner was not willing to split the property, he and his partner decided to buy the additional land in one of their companies and hold it for future development. Board of Directors Meeting 9 November 20, 2006 at 7:00 P.M.  Director Smith questioned the monthly rental on these affordable units, and Mr. Richardson advised that the one bedroom rents for $395, two-bedroom would be $495, and the three bedroom would be $530, which are on the affordable side. The market rate of those same mix on the one-bedroom would be $495, two-bedroom would be $575, and three-bedroom would be $690. Director Jones asked if they will do Section 8 when speaking of affordable housing, and Mr. Richardson replied that they do not. Director Jones commented there will be people working in the $30,000 to $35,000 range who will not be able to afford $395 a month for affordable housing. She stated they are building these apartments for the baby-boomers and believes that concerns the homeowners when he says affordable housing. She added that it has people thinking someone who makes $15,000 or $20,000 a year will be able to move into their neighborhood, but that is not wanted with the people who live in that area. She said $395 affordable housing will now be for baby-boomers. Mr. Richardson replied when he refers to affordable housing, it is more than the workforce housing. He noted firemen, police officers, managers who work at Wal-Mart and some of the manufacturing plants, etc. will be the tenants they will have. He advised for every tenant that moves in, they have to meet two criteria: (1) there will be a criminal background check on every person who applies for an apartment. If they have any kind of criminal conviction, they are denied; and (2) there is also a credit check. He said they are very selective in the type of tenants that come to their properties. He stated they have their own management company that oversees these and have a vested interest in it. He commented they feel that management is a key to any property being well-maintained on a long-term basis. Director Jones asked if children are accepted, and Mr. Richardson said that they would. At this time, City Attorney Brian Albright then read the conditions set out in the resolution. Director Maruthur stated in regard to Article II of the Subdivision Code, '16-4-12, General Purpose and Review Guidelines, she called the City Attorney regarding this; and the reason this site plan is before the Board from the County is only because they are doing multiple buildings. She stated if the Board denies this, they do not have to go to Planning and Zoning and can develop a single building in that same area. Also, they do not have to have all of the amenities that they are offering. She said a Ano@ vote means if they own this property, they can do whatever they want, and one structure would take this development out of the City=s hands totally. However, with the site plan, the City knows what they are going to do. She mentioned that she has not been Board of Directors Meeting 10 November 20, 2006 at 7:00 P.M. pleased about the traffic impact because she does not feel it is complete. She pointed out the single-family, detached housing trip generation that Mr. Peters did not do is not in there versus the apartments and that comes out of the Institute of Traffic Engineers. However, if the Board does not approve this, they can come back and do another development, such as one large building; and there is nothing the City can do about it. Director Daniel said his only concern is that the City extends an open invitation to all the property owners in that area to be residents of the City, but there has not been anyone step forward wanting to voluntarily annex and receive the benefits from the City. He emphasized they want the City=s help but do not want to be part of the City. Mr. Randel, 416 Lake Hamilton Drive, said it was his understanding when they first came to the Board, The Peaks Limited and the 42 acres and possibly the 14 acres were requesting at that time to be annexed into the City. City Attorney Brian Albright explained it is his understanding that they are prepared to file a petition for annexation into the City for this entire 19 plus acres but have no incentive to do so at the present time because there is no approval of their site plan. Mr. Randel said it was his understanding when they came before the Board in September that Mr. Reis had filed the papers with Mr. Albright for annexation. Mr. Reis explained when they first appeared before the Board, in cooperation with the City Attorney=s Office, they drafted a Pre-Annexation Agreement. That agreement had two components: (1) they would get approval of their site plan; and (2) if they did, they would annex into the City. He said they would sign that Pre-Annexation Agreement at the present time; but as the City Attorney pointed out, they have no incentive to ask to annex until their site plan is approved. Mr. Randel said he assumed that had already taken place, and the development was going to be annexed into the City because it was discussed at that meeting that as a part of the City, their willingness to comply with the city building codes, etc. He commented it concerns him if the Board does not approve this, then they will make it one large building; and there is nothing the City can do. He stated that Director Daniel made some comments at the September meeting regarding annexation and protection, which prompted him to make some calls to the City and inquire about annexation but found that because he was not contiguous, he could not request to be annexed. However, he would if he could. Board of Directors Meeting 11 November 20, 2006 at 7:00 P.M.  Director Daniel asked if he was across the street, and Mr. Randel said that he is but not across the street from the four acres. Director Daniel questioned asked why they do not want to live in the City, and Mr. Randel said that he does not to want to make any statement that would lead the Board to presume that he speaks for the residents along Lake Hamilton Drive. He asked why the City has not tried to annex this property, and Mr. Daniel replied that the City has. Mr. Randel asked if it would make any difference if they were in the City limits, and City Attorney Brian Albright said he is not going to speak to any kind of vote. However, the primary difference in being in the City and not being in the City is when they are in the City and there is property being developed within the City, then there is zoning authority over that piece of property and not just subdivision approval. In this case where there are numerous homes side-by-side in the County on the water and someone were to try to develop that property, the City would not have the ability to protect from the standpoint of zoning. All the City would be able to do is approve or disapprove a site plan; and as Director Maruthur indicated even in that type of situation, if it is single building, then the City really does not have much to say about it. He added that the Pre-Annexation Agreement stated they would annex if their site plan were approved. Mr. David Campbell, 345 Columbia Hills, a member of the Planning Commission, said if this is passed, he would like to see the condition that they leave the road at 18 feet because if that road is widened out, then it will narrow down to 18 feet. He said that the gentleman with the project had mentioned about seven collector streets in Hot Springs, and all seven of those streets are twice as wide as Lake Hamilton Drive. Mayor Bush asked if that was why he voted against it at the Planning Commission meeting, and Mr. Campbell said it was. He added there will be a false sense of security, and there are many visitors who travel down that road during the summer; and now they have to drive slow. Director Daniel said he believes the City would place proper signage in this area, and City Manager Kent Myers advised that signage would be installed. Director Maruthur asked if an amendment could be placed on the resolution that would require a Pre-Annexation Agreement; and City Attorney Brian Albright advised at the time this discussion was held in September, he was not aware of a prior case that Board of Directors Meeting 12 November 20, 2006 at 7:00 P.M. had been resolved via a Consent Order between the City and certain residents outside of the City concerning Pre-Annexation Agreements. He said his position on whether the City should engage in Pre-Annexation Agreements is much different now than it was then because he was not aware of the 1994 Consent Order that exists. Director Maruthur asked if the City could get a commitment from the developer, and Mr. Brian Reis stated they brought a signed Pre-Annexation Agreement to the last meeting; but after looking closer at the law, it was determined that the City did not have the authority to enter into the agreement. He advised that they are committed to the City and will file a petition for voluntary annexation. Director Maruthur asked that such a commitment be made from the developer, and Mr. Keith Richardson replied they will give the City a commitment that they will annex the property into the City. Mayor Bush then called for a vote on the motion to adopt the resolution; 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. 23 Proposed Resolution No. R-06-368 A resolution entitled, AA RESOLUTION EXTENDING AN AGREEMENT WITH BENCHES ETC. INC. FOR THE PLACEMENT OF PUBLIC BENCHES BEARING ADVERTISING WITHIN THE CITY,@ was taken from the agenda and read by title only. A motion was made by Director Edwards, duly seconded by Director Daniel, that the resolution be adopted as read. Upon discussion, Deputy City Manager Lance Hudnell explained the City is in the middle of a multi-year contract with Benches Etc. for the placement of public rest benches around the City, including but not exclusive to bus stops. The current contract began two years ago and extends through December 31, 2009, and is subject to annual approval by the Board. He said it represents about $22,000 in revenue to the City, and the contractor is totally responsible for administration of the program. He also has to provide the benches, sell the ads, and maintain the area around the benches. If there is any damage to one of the benches, the City calls the contractor; and he removes the bench and replaces it with a new one. He reported there has been some discussion about the bus stops, and the contractor places a tag on those stating they are not bus Board of Directors Meeting 13 November 20, 2006 at 7:00 P.M. stops. He stated the benefit to the contractor is the revenue from providing the ads. Currently there are about 125 benches in the community. Mayor Bush then called for a vote on the motion to adopt the resolution; and upon roll call, the following voted Aaye@: Directors Jones, Smith, Weatherford, Edwards, Daniel, and Bush, total 6. Voting Ano@: Director Maruthur; motion carried. Whereupon the resolution was declared adopted. 24 Proposed Ordinance No. O-06-100 An ordinance entitled, AAN ORDINANCE AUTHORIZING THE HOT SPRINGS POLICE DEPARTMENT TO CHARGE A FALSE ALARM FEE; REPEALING ORDINANCE NO. 4983; AND FOR OTHER PURPOSES,@ 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 Jones, 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. 25 Proposed Ordinance No. O-06-101 An ordinance entitled, AAN ORDINANCE APPROVING A SHORT-TERM FINANCING AGREEMENT WITH REGIONS BANK FOR THE PURCHASE OF POLICE AUTOMOBILES; AND FOR OTHER PURPOSES,@ was taken from the agenda for consideration. A motion was made by Director Weatherford, duly seconded by Director Smith, 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 Smith, that the ordinance be passed as read. Board of Directors Meeting 14 November 20, 2006 at 7:00 P.M.  Upon discussion, Director Edwards questioned the advantage of this financing to the City; and Finance Director Dorethea Yates explained in going through the budget this last year in preparation of the 2007 budget, staff realized there were still some vehicles that the City was in the process of purchasing for the 2006 budget and felt that by paying for those vehicles over a five-year period, as opposed to paying for them all in 2006, would be a benefit to the Police Fund and would not use all of their cash-flow reserves in 2006. 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. 26 Proposed Ordinance No. O-06-102 An ordinance entitled, AAN ORDINANCE AMENDING 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 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 Weatherford, duly seconded by Director Daniel, that the ordinance be passed as read. In response to Director Edwards, Deputy City Manager Lance Hudnell advised that Mr. David Johnston, Hot Springs Taxi, is requesting for two increases in the rates. The first is for the additional-person charge and increases from $1 to $1.50. With regard to special fares, which are basically during the Oaklawn Season, they increase from $3 to $4 and from $4 to $5. He stated this received a do pass recommendation from the Transportation Advisory Committee. 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. Board of Directors Meeting 15 November 20, 2006 at 7:00 P.M.  OTHER BUSINESS 27 Board of Directors Items Director Jones said that she will serve the citizens of Hot Springs to the best of her ability. She announced that Dougie Jones Production has done a gospel tape and will have a signing at Webb Center on Friday night. They hope to do at least 2,000; and if they can, then it will be in the stores. Her pastor, Steve Lake, along with Pastor Jones and Sarah and Michael Smith, are on the tape. She announced that the ice skating rink will open on Friday. Director Maruthur introduced Mr. Terry Holstine, 111 Harrell Street, who stated that he has been in the HOME Program and recently had his home redone and thanked the Board, Mr. Nelson Self, CDBG Coordinator, and the City for an excellent job getting the work done. He said he has been looking into other programs, such as the ADFA Program for funding. He added that he has seen these programs work; and once the work is done, there will be people from different areas seeing the progress that has been made. He mentioned that the Park Avenue area has hidden potential and is the entrance to the City. He stated it dictates the scenic nature of what is coming through to the City. He noted that he has repainted his home and done what he could to make it look beautiful. Also, he has become actively involved in the community and hopes he can do something in the Park Avenue area to make it more beautiful and an extension of downtown. Director Daniel announced that the 4th annual chili cook-off will be held tomorrow afternoon at 4 p.m., Exchange Street Parking Plaza, with 28 teams participating; and tickets are $3. At 6 p.m., Mayor Bush will turn on the lights, which will light up Arlington Lawn, the Exchange Street Parking Plaza, Hill Wheatley Plaza, and the tree in the fountain at Whittington. Director Edwards expressed appreciation for the citizens who voted for him in the recent election. Director Weatherford thanked the Mayor and all of the Directors who came out for Hanamaki visitors the last two weeks. Mayor Bush expressed appreciation to the citizens who supported him in the election. Board of Directors Meeting 16 November 20, 2006 at 7:00 P.M.  Director Maruthur wished Mr. Nelson Self, CDBG Administrator, a speedy recovery. 28 City Manager=s Report City Manager Kent Myers gave the following report: 1. He wished everyone a Happy Thanksgiving. He reported the Board met today for two hours with the Legislative Delegation and had a positive exchange of information with Senator Terry Smith and State Representatives. Following that, there was a budget work session. 2. The budget meeting from tonight will continue next Tuesday, November 28, immediately following the agenda meeting. 3. The Christmas Parade is scheduled for Thursday, November 30, at 6:30 p.m., starting at Whittington Avenue traveling downtown to Orange Street. All parade entries are requested to bring cans of food, as well as citizens in the community. This year the Rotary Club will be collecting the food and distributing it to Samaritan Ministries, which is in the process of creating a new homeless shelter. 4. Mr. Terry Holstine reported on the housing rehabilitation project, which has been a major success in the community for several years; and the City is in the process of revamping that program. For example, considering lowering the cap for single-family rehab. After the budget process is completed, there will be a briefing with the Board, Planning and Development Director Kathy Sellman, and her staff, who will be reporting some changes they are going to recommend to the housing rehab program during the coming year. 5. On the Consent Agenda, the Board appointed Mr. David Seaman to Central Business Improvement District No. 2 Board of Commissioners and Eric deRenoaurd to the Central Business Improvement District No. 3 Board of Commissioners; the Board levied zero mills property tax for next year. He noted it is becoming more difficult to operate the City without a property tax, and the City will be looking at some changes at that in the future. 29 ADJOURNMENT Board of Directors Meeting 17 November 20, 2006 at 7:00 P.M.  There being no further business to come before the Board, the meeting adjourned at 8:25 p.m., to meet again on Monday, December 4, 2006, at 7:00 p.m. ATTEST:_ _____________________ APPROVED:__________________ Lance Hudnell, City Clerk Mike Bush, Mayor Board of Directors Meeting 18 November 20, 2006 at 7:00 P.M.