1. Board of Commissioners (BOC)

MINUTES TOWN OF PITTSBORO BOARD OF COMMISSIONERS MONDAY, SEPTEMBER 23, 2019 REGULAR MEETING 7:00 PM Mayor Cindy S. Perry called the meeting to order and asked for a moment of silence. PLEDGE OF ALLEGIANCE Commissioner Farrell led the Pledge of Allegiance. ATTENDANCE Members present: Mayor Cindy S. Perry, Mayor Pro Tern Pamela Baldwin, Commissioner John Bonitz, Jay Farrell, Michael Fiacco and Bett Wilson Foley. Staff present: Manager Bryan Gruesbeck, Clerk Alice F. Lloyd, Attorney Paul S. Messick, Jr., Chief of Police Percy T. Crutchfield, Planning Director Jeff Jones, Planner II Victoria Bailiff, Engineer Elizabeth Goodson and Water Treatment ORC Adam Pickett. Motion made by Commissioner Fiacco seconded by Commissioner Foley to approve the regular agenda as submitted. Vote Aye-5 Nay-0 CONSENT AGENDA The following corrections were made to the September 9, 2019 minutes: Page 2: EDC: Change "PBO" to "PBA" Triangle J Council of Governments: Change "5 p" to "5 pm" Page 3: Fifth Sentence: Delete "Jay Feaster" replace with "John J. Priester". Motion made by Commissioner Fiacco seconded by Commissioner Baldwin to approve the consent as submitted with the corrections to the September 9, 2019 minutes listed above. The Consent Agenda contains the following items: 1. Approve Minutes of the September 9, 2019 meeting. (with corrections above) 2. Accept FY 2019-2020 Financial Report as of August 31, 2019. 3. Approve Resolution to Temporarily Close Masonic Street for Masonic Lodge Columbus Day Festival. Vote Aye-5 Nay-0 September 23, 2019 Minutes Page 1 A RESOLUTION TO TEMPORARILY CLOSE MASONIC STREET IS RECORDED IN THE BOOK OF RESOLUTIONS NUMBER ONE, PAGE 185 PUBLIC HEARING Motion was made by Commissioner Baldwin seconded by Commissioner Fiocco to go into public hearing. Vote Aye-5 Nay-0 ZONING TEXT AMENDMENT (ZTA-2019-04) PLANNED UNIT DEVELOPMENTS Planner II Victoria Bailiff reported that Dan Morse is requesting an amendment to Article 5 of the Pittsboro Zoning Ordinance, specifically section 5.3.3.38, subsections C and D. The special use permit requirements for Planned Unit Developments are contained in Section 5.3.3.38; the proposed amendments to this section would change density regulations for PUDs in the R-15 zoning district and the configuration of the recreation space within PUDs in any zoning district. The requested changes to Subsection C would include the addition of the following highlighted text: The maximum number of dwelling units per gross acre shall be no greater than that permitted in the underlying zoning district in which the proposed PUD is located except, that in the R-12 and R-10 zoning districts, the maximum number of dwelling units in a P UD shall not exceed twelve units per gross acre. In the R-15 zoning district, the maximum number of dwelling units in a PUD shall not exceed eight units per gross acre. In Subsection D, the applicant is requesting that the highlighted text be removed from the ordinance: Play areas shall be provided for all residential building groups with over jive units and shall contain a minimum of 56 square feet per unit with each play area not to exceed 4,000 square feet. PUBLIC COMMENTS: None Motion made by Commissioner Fiocco seconded by Commissioner Foley to go out of public hearing. Vote Aye-5 Nay-0 REGULAR MEETING AGENDA CITIZENS' MATTERS Mark Barroso - 110 Persimmon Hill Road, Pittsboro - spoke to the Board about the large Confederate Flag on 64 East that you encounter when you come into Pittsboro. He stated the September 23, 2019 Minutes Page 2  flag represents different things for different people. He stated he know the flag is on private property, but if it is violating an ordinance it should be made to comply. Elizabeth Haddix stated she came earlier to sign up herself and Stephanie Terry, she asked the Mayor if she could add Stephanie to the list of speakers. Ms. Haddix said she sent the Board a letter today requesting that the Town Ordinances be enforced regarding flags in public right of ways. Ms. Haddix went over information in her letter which can be found at: https://pittsboronc.gov/index.asp?Type=B BASIC&SEC={9FB4E92E-2F63-433 l-A87D- 02EC88CB5567}&DE={ 851B2147-2064-4776-9C96-103D91F1D536} (Elizabeth Haddix comments) Stephanie Terry stated she is new to Chatham County- she lives off Mays Chapel Road. She is concerned about the flags that she see when she comes into town and that her child and grandchildren see to and from school. She has a problem with what's happening in Chatham County right now. Feel threaten by people putting flags in the ground and carrying weapons. They are going to organize about this because it is not okay. Mayor Perry advised the speakers the Board heard their concerns and they will be examined closely by the Board with the Town Attorney. COMMISSIONER/MANAGER UPDATES Manager Gruesbeck went over updates that were included in the agenda packet. They can be found at: https://pittsboronc.gov/index.asp?Type=B BASIC&SEC={9FB4E92E-2F63-4331- A87D-02EC88CB5567}&DE={851B2147-2064-4776-9C96-103D91FlD536} (Updates 9.23.19) r Manager Gruesbeck stated that Duke Energy have agreed to work on the lighting issue on 87. He reported that the hydrants with the bags on them have been repaired. Commissioner Fiocco thanked him for both. Mayor Updates - Mayor Perry reminded everyone that the County Fair starts Thursday-Sunday. If you are submitting items for the exhibits they will receive them on Wednesday before the fair opens on Thursday. • Mayor Perry stated she met with NC Women group and they have five interns that are doing their Senior Projects on Matters on Women in Pittsboro and Chatham County, they will be doing a series of interviews in the community. (Commissioner Baldwin, Ms. Goodson will be contacted) • Attended New Mormon Temple in Apex. • Received a letter from Richard Burr in response to a letter from the Board regarding taking parents away from their children - the letter did not report anything satisfactory. • EDC - Commissioner Fiocco stated EDC is revisiting their Strategic Plan and hope to have it completed by the end of the year. • RPO • Fairground Association - Commissioner Baldwin reitereated the Chatham County Fair begins on Thursday. • PBA/Downtown - Commissioner Fiocco said that Pepperfest was a huge success. September 23, 2019 Minutes Page 3  • Triangle J Council of Governments - Commissioner Baldwin reminded everyone that the Triangle J regional summit will be held at the Chatham County Agricultural & Convention Center on October 10, 2019 from 8 am to 5 pm. It is hosted by Chatham County. • Main Street • Climate Change - Commissioner Bonitz stated the Electric Vehicle showing at Pepperfest was well received. • Human Relations Committee • Chatham County Arts Council - Commissioner Foley reminded everyone that the Arts Council Annual Fundraiser is Sunday in the Beverage District from 5-8. Commissioner Farrell stated he attended the Parks and Recreation Meeting where they elected new officers, discussed expanding the Kiwanis Park they also discussed much needed updates at the Community Houses. OLD BUSINESS WATER PRESENTATION FROM DR. HEATHER STAPLETON Mayor Perry stated that Dr. Heather Stapleton with Duke University is in attendance to make a presentation on the chemicals found in Pittsboro drinking water. Mayor Perry stated that Dr. DetlefKnappe of NC State, Linda Culpepper, NCDEQ and Beth of the Board of Health are in attendance tonight. Dr. Stapleton said Duke University is working in collaboration with NC State and Dr. Detlef Knappe on this matter. After questions, Mayor Perry stated Pittsboro is one of the first Municipalities to notify customers of the pollutants in the drinking water. She asked for a copy of tonight's presentation to place on the Town's website to continue the education of all ofus. Dr. Stapleton agreed to send it. PowerPoint Presentation can be found at: https://pittsboronc.gov/index.asp?Type=B BASIC&SEC={9FB4E92E-2F63-4331-A87D- 02EC88CB5567}&DE={851B2147-2064-4776-9C96-l 03D91 FlD536} (Pittsboro 092319) EG-GILERO CDBG LOAN AGREEMENT Attorney Messick referenced a memo from him that was in the agenda packet. The memo is below: As you may recall, the Board previously approved a draft Loan Agreement with Gilero LLC for the Town's CDBG reuse project in connection with the property located at 158 Credle Street. That agreement required the company to provide security for the "loan" passing through the Town in the form of an irrevocable letter of credit in the amount of $300,000.00. The company has learned that a LOC will cost a substantial amount of its funds which could otherwise be used for the building's up-fit. September 23, 2019 Minutes Pa ge 4  The standard form of collateral for such CDBG transactions is a deed of trust creating a lien upon the property being refurbished. In this instance Gilero borrowed money to finance a portion of the purchase price of the property. The existing loan is secured by a first deed of trust and therefore a deed of trust to secure the town would have to be in a subordinate position. From a standard lender's perspective, a first lien is better than a second. In this case, however, the fair market value of the property substantially exceeds the current debt owed. There is more than $300,000.00 is equity and that will increase as work progresses. Gilero would like to offer the second lien deed of trust as collateral instead of the Letter of Credit. The CDBG loan funds will be disbursed to the Company as work progresses and may not have to be repaid and will be forgiven under certain conditions related to job creation. The CDBG grant requires the Town as the recipient as follows: "In the event of a finding by the recipient or by DOC that a participating private entity has failed to fulfill its responsibilities under the project application and any legally binding commitment between a participating private entity and the recipient (the "LBC"), including the responsibilities to create and/or retain jobs and invest private funds, the recipient shall promptly exercise its rights and remedies to require repayment of CDBG funds, or to assess such other penalty as provided by the LBC and applicable state and federal laws." With a deed of trust as collateral, the town could initiate foreclosure in the event of default. With a letter of credit, the issuing bank would be notified of the default and the credit would be paid to the town. Any funds collected would be remitted to the State upon default. The town is not I obligated to repay any funds not collected, but it must "promptly exercise its rights." While a second deed of trust is technically less secure than a first lien, under the circumstance of this project the risk to the town is minimal. If the Board approves the substitution of collateral, the Loan Agreement will be revised accordingly. After discussion a motion was made by Commissioner Fiocco seconded by Commissioner Bonitz to direct the Town Attorney to modify the CDBG Loan Agreement with EG-Gilero for a Deed of Trust. Vote Aye-5 Nay-0 NEW BUSINESS SEWER ALLOCATION REQUEST- CP SECTION 5.1 SUB NORTH & SUB WEST Engineer Elizabeth Goodson handed out a Sewer Allocation Guideline Policy that she has been working on for the board to review. She stated they would discuss it at another meeting. Engineer Elizabeth Goodson went over the memorandum included in the agenda packet: Background The town has received a request for sewer allocation for the subdivision plans Chatham Park Section 5.1 Sub West and Sub North. This request was previously made at the time of subdivision plan approval however due to the amount of sewer available to allocate not accommodating the requested amount at that time, the Board granted a portion of the request. September 23, 2019 Minutes Page 5 Since that time Chatham Park was granted a sewer flow reduction for residential homes and through re-evaluation of the need for these residential subdivision phases, a reduced amount of sewer is needed. The applicant is requesting the remainder of sewer needed for the residential lots approved at this time. This request includes both CP Section 5 .1 Sub West and CP Section 5.1 Sub North. At the May 13, 2019 meeting, the board made the decision to allow allocation request to go up to 110% of the town's available sewer capacity at the WWTP. This request is within that threshold. Summary of the Town's WWTP Sewer Flow and Allocation as of May 1, 2019: WWTP Permitted Flow Capacity Flow Plant State Threshold 750,000 GPD (GPO) Capacity Limit Percentage Annual Average (updated to 502,942 67% 80% Rule 2018) Permitted not yet Tributary 113,040 15% NIA Total Paper Flow 615,982 82% 100% Allocations Approved not yet Permitted: 127,469 GPD Remaining Capacity in Plant (up to 110%): 81,600 GPD approximately (Town allocation request have now exceeded the 80% & 90% thresholds, per the Board direction at 5/13/19, allocations will be allowed up to 110% with the understanding that permits are signed on a first come, first serve basis) Current Requests for consideration September 23, 2019 - 5880 GPD 1. The town has received a request for sewer allocation for the subdivision plans Chatham Park Section 5.1 Sub West and Sub North for 5880 gpd. Current Queue of upcoming project requests - for information only: It is important to note that the following projects have submitted allocation request with their projects in addition to the one under consideration at this meeting. These pending request total approximately 411,000 GPD of additional flow: Date Allocation Name of Project Sewer Flow Status of Project Request Received Requested 12/11/18, CP: Mosaic A 47,610 GPD * Master Plan Approved, Site Plan Revised Info Submitted, Anticipated Board mtg later provided with Site in 2019 Plan 7/22/19 * Request matches the Site plan and phasing/or the first portion ofArea A construction. 12/21/18 Dancy 4,320 GPD Currently out of cycle Subdivision 3/14/19 Roberts Run Sub. 6,840 GPD Currently out of cycle 5/14/19 Roberson Walk 317,000 GPD MUPD under review, Anticipated BOC Revised 5/20/19 MUPD (former * later in 2019 Pittsboro Place) September 23, 2019 Minutes Page 6  *Phasing ofproject, sewer expansion and additional capacity needed are being discussed along with timing of phased requests. 6/24/19 Griffin Farms 35,640 GPD Project Under Review Townhomes *Request associated with initial phase. In addition, staff recommends reserving approximately 2000 GPD for the future Town Hall. Staff Recommendations: Recommend approval for the request for sewer allocation for the subdivision plans Chatham Park Section 5.1 Sub West and Sub North in the amount of 5880 GPO. After questions a motion was made by Commissioner Fiocco seconded by Commissioner Foley to approve the request for sewer allocation for the subdivision plans Chatham Park Section 5.1 Sub West and Sub North in the amount of 5,880 gpd. Vote Aye-5 Nay-0 BOARD DIRECTIVES 1. Reusable Grocery Bags - Mayor Perry stated that she and Manager Gruesbeck are working on this and are going to have bags to give out at the Street Fair. 2. Water Quality Task Force - Mayor Perry stated that the next Mayor, Jim Nass thinks it would be helpful for him coming in to have a Water Quality Task Force. The Board was in agreement that this group be formed. Mr. Nass has asked that she head up the group. Mayor Perry asked that the board members give her names of people to serve on the task force. Attorney Messick asked about preparing a document detailing duties, etc. of the task force and asked that she head the Task Force. ADDITIONAL UPDATES AND REPORTS COMMISSIONER CONCERNS Commissioner Bonitz stated he know we are working on the water capacity in the future. He wants some options, on paper (including working with Chatham County) for diluting the pollutants in our water supply. Mayor Perry asked Ms. Goodson if she could get that information. Ms. Goodson stated she is working on getting it as soon as she can. Commissioner Fiocco commented on the lighting around the traffic circle on 87 and thanked Manager Gruesbeck for the hydrant repair. Manager Gruesbeck stated the town has installed locked boxes on the outlets downtown to help with the problem we have been having with the lights being out on the trees. Commissioner Foley stated she helped and older couple that was walking downtown recently and she realized the condition of our sidewalks. September 23, 2019 Minutes Page 7 Mayor Perry thanked Chief Crutchfield and the Police Department for their professionalism and for keeping us safe over the last several weeks. Commissioner Foley stated there has been several positive comments on Facebook praising the police department also. CLOSED SESSION Motion made by Commissioner Baldwin seconded by Commissioner Fiocco to go into closed session pursuant to NCGS 143-318.11 (a)(3) & NCGS 143-318.ll(a)(S) to consult with the Town Attorney regarding pending litigation and property purchase. Vote Aye-5 Nay-0 Motion made by Commissioner Farrell seconded by Commissioner Foley to go out of closed sess10n. Vote Aye-5 Nay-0 ADJOURNMENT Motion made by Commissioner Farrell seconded by Commissioner Baldwin to adjourn at 9:30 pm. Vote Aye-5 Nay-0 ~ d~ Pamela.Baldwin, Mayor Pro Tern ATTEST: 4~~~4tfL Town Clerk September 23, 2019 Minutes Page 8