PRESENT
Council President Carolyn Hall
Council Vice President Robert Cannon *
Councilwoman Lavonzella Siggers**
Councilman Palmer Gillis
Councilman Frank Himelright
* arrived 7:03 p.m. ** left 9:15 p.m.
The Salisbury City Council met in regular session at 7:00 p.m. in Council Chambers. The Lord's Prayer was repeated and the Pledge of Allegiance was recited. Council President Hall called the meeting to order.
On a motion by Mr. Himelright and seconded by Mr. Cannon, the minutes of April 13, 1998 were unanimously approved.
Mr. Cannon motioned and Mr. Himelright seconded to approve Ordinance No. 1686 to bring it on the floor for discussion. Ordinance No. 1686, as highlighted by City Solicitor Robert Eaton, amends the Fiscal Year 1998 budget by accepting a $1,000 donation from the Mallard Landing Retirement Community. The funds will be used for protective vests for the Salisbury Police Department.
Mr. Himelright thought this was a good idea and suggested that more civic clubs should do the same thing. Ms. Siggers questioned how the Police Department became the recipient of this donation. Chief Dykes explained that the department solicits through grant applications. In this case, however, the Mallard Landing community came forward with a donation. No soliciting was done for this donation. It was simply a gift from the community.
Mrs. Hall reported that the parent company of Mallard Landing gives donations for special projects (usually public safety) in many communities to motivate other organizations in the community.
With no further discussion, Ordinance No. 1686 passed unanimously.
Mr. Himelright motioned and Mr. Cannon seconded to approve Resolution No. 601 to bring it on the floor for discussion. Ms. Dana Simson, Mr. John Orth and Mr. Phillip Widdowson, counsel for Ms. Simson and Mr. Orth, joined Council for discussion.
City Solicitor Robert Eaton introduced Resolution No. 601 which accepts a Disposition Agreement between the City and the developer for the purchase of the Franklin Hotel and the adjoining lot for $70,000. Resolution No. 601 was tabled at the last meeting so that Ms. Simson and Mr. Orth would have sufficient time to meet with their attorney. Mr. Eaton reviewed the Resolution and the Disposition Agreement and pointed out the suggested changes from the previous meeting. The following summarizes the discussion and the items agreed upon.
Assignment
Ms. Simson previously requested to change the name of the purchaser to Dana Simson and John Orth
instead of Dana Simson, t/a Chesapeake East Company.
AGREED TO: Purchaser will be Dana Simson and John Orth.
1.
Mr. Eaton suggested adding the following language after the word attached in line 8: or such other uses
as the City may approve in writing.
AGREED TO: Add language in line 8 after the word attached: or such other uses as the City approves in writing.
1.1
Mr. Orth requested to insert reference to the language included on page IB-6 of the bid package
regarding environmental contamination (no known environmental hazards, including the existence of
underground storage tanks). He asked that this be referred to as part of the "as is" description.
Mr. Gillis mentioned that all of them know the boiler has asbestos surrounding it, so Council couldn't agree to something they already know exists. Public Works Director Wil Elliott noted that testing for lead based paint has not been done so "as is" condition accepts that. Ms. Simson and Mr. Orth were agreeable. Their concern pertained to the underground tanks. Mr. Orth requested to change the word land to property on line 5 in order to be consistent throughout the document.
AGREED TO: Change the word land to property in line 5; insert language from the bid package in regard to the City's environmental knowledge; insert wording that the City believes there may be lead based paint and the City will acknowledge the asbestos around the boiler.
1.2
Mr. Eaton suggested adding language to protect the purchasers rights in the event the property should
burn down before settlement. The purchasers rights would only be to receive their deposit.
AGREED TO: Insert language to reflect that if the building burns down prior to the purchasers taking title, they would have the right to have their deposit returned to them.
1.3
AGREED TO: As discussed at the last meeting, the paragraph should read: Simson agrees that the City
shall not perform any further environmental assessments and the City will not be held liable and assumes
no responsibility for any remediation procedures.
1.3.1
AGREED TO: As discussed at the last meeting, first sentence to read: Simson may perform any
reasonably required preconstruction engineering tests and environmental assessments.
1.4 A and B Indemnity
Mr. Orth requested to insert on the 7th line the word originating after substances and the word caused
after property or. He had no problem cleaning up a problem originating on their property, but did not
want to take care of a problem which originates elsewhere.
AGREED TO: Mr. Eaton, along with Ms. Simson, Mr. Orth and their attorney, will work out the parameters of the wording to include language that reflects a problem coming from a third party with the City still being protected.
1.4 D Indemnity
AGREED TO: As discussed at the last meeting, delete the following: together with interest from the date
of expenditure at a rate of 12%.
2.2 Amount for Renovations
AGREED TO: Paragraph to read: Simson will spend the sum of One Hundred Eighty Thousand Dollars
($180,000) on renovation of the building within the time period of spring of 1999 as set forth in the
Proposal for the property, Exhibit B attached hereto and made a part hereof.
3.
AGREED TO: Add the following language at the end of the paragraph: or such other uses as the City
approves in writing and shall not unreasonably withhold.
Exhibit D
AGREED TO: Change settlement: May 1 - July 1, 1998
Change renovations begin: June/August 1998
Add at the end of the paragraph for the upstairs renovations: not to exceed
12/31/99
Council discussed the following additional requests made by Ms. Simson and Mr. Orth:
1. Assistance with locating any existing blueprints or any drawings for the Franklin Hotel. Mr.
Gillis mentioned he had a copy of the Delmarva Business League's drawings.
AGREED TO: City will use its best efforts in securing any of its plans.
2. No requirement to pave parcel P2.
Ms. Simson advised Council of her landscaping and ornamental fence plans for the area.
Planning and Zoning Director Kris Hughes related that there are requirements for a paved
parking area for commercial establishments. Mr. Gillis opined that they should be exempt from
this requirement because the property is in the Central City Business District. The business would
only need an area for loading and unloading. Ms. Siggers noted that parking is available in the
area.
AGREED TO: Delete this item from their request.
3. Lot directly across Main Street be maintained as open space or as attractively landscaped parking.
AGREED TO: Council could not commit to this request.
4. Permitted to have outdoor events as allowed by law.
AGREED TO: Council agreed with events as permitted by law.
5. City waive building permit fees with respect to the renovations.
AGREED TO: Council related this could not be done for a business that operated for profit.
6. Allow freight and delivery vehicles access to the property via Lake Street in perpetuity.
AGREED TO: Council agreed to work with them to ensure access via Lake Street, but they could not guarantee that it would be a road in perpetuity.
7. Parking blocks (bumpers) on the parking lot to remain on the property.
AGREED TO: Council agreed, but this item will not be a part of the Disposition Agreement.
8. City to use its best efforts to request the State to allow a left turn on to Lake Street from Rt. 50 West.
AGREED TO: Council agreed.
9. Permission to locate a sign at the current Port of Salisbury sign on Rt. 50 at their expense.
AGREED TO: Council agreed and requested that Simson and Orth coordinate their sign with Frank Hanna.
10. Resolution of support for State loan application.
AGREED TO: Council agreed, but does not need to be included in the Disposition Agreement.
11. Resolution of support to obtain funding from Downtown Salisbury's Revolving Loan Fund.
AGREED TO: Council agreed, but does not need to be in Disposition Agreement.
12. Council to acknowledge that the property is in the Enterprise Zone.
AGREED TO: Council stipulated that the property is in the Enterprise Zone and they can apply through the normal process.
13. Sewer and water tap ins to be expanded to the property.
AGREED TO: Council related that water and sewer is already in front of the building.
Mr. Cannon motioned and Mr. Himelright seconded to amend Resolution No. 601 to incorporate the changes as agreed upon. Mr. Gillis raised a concern that after the terms of the plan were fulfilled, the building could be demolished. He suggested adding a covenant providing that the building would not be demolished for a certain number of years. Mr. Eaton suggested adding an additional item to include that the building will not be torn down without written City approval.
Mr. Cannon amended his motion to add that the building will not be demolished without written City approval. Mr. Himelright seconded the amended motion. All voted in favor of the amendments with the exception of Mr. Gillis who abstained.
Ms. Siggers pointed out that she previously voted against accepting the bid for the Franklin Hotel. However, in clarifying this with Mr. Eaton, it did not mean she could not vote in favor of the Disposition Agreement. While she did not agree with the sale of the building for that price, she welcomed Ms. Simson and Mr. Orth to the community - a friendly community that wants to see productivity and revitalization in the area.
With no further discussion, all voted in favor of Resolution No. 601, as amended, with the exception of Mr. Gillis who abstained.
Mr. Himelright motioned and Mr. Cannon seconded to approve Resolution No. 597 to bring it on the floor for discussion. Public Works Director Wil Elliott, Mr. John Seipp, counsel for Silicato/Wood Partnership, Dennis Silicato, representating Silicato/Wood, and Mr. Jerry Friedel, representative from Davis, Bowen & Friedel, joined Council for discussion. City Solicitor Robert Eaton swore in the witnesses wishing to testify.
Mr. Eaton acknowledged that the public hearing for this annexation was advertised four times in The Daily Times as required. If Council approved the Resolution, the annexation becomes effective upon the expiration of 45 days. The area to be annexed is located on the westerly side of U.S. Rt. 13 and is zoned General Commercial in the County. In the Metro Core Comprehensive Plan, the area is zoned General Commercial, but is zoned Industrial in the County's Comprehensive Plan. The City believes there was a change and mistake, and that the Comprehensive Plan calling for Industrial use is incorrect and should be General Commercial. Mr. Eaton requested that the entire packet in Council's Briefing Book, which includes the zoning information, be made a part of the record.
Mr. Elliott reviewed Exhibit B - Conditions of Annexation and Exhibit C - Outline of Services and Facilities. The additional storm water going into Leonard Mill Branch will be controlled by discharge. A project is currently funded to complete a loop coming across Rt. 13 from Home Depot which will facilitate increased water flow and hydrant pressure.
Mr. Eaton suggested adding to the Conditions of Annexation, Item B.5 Zoning, the following: In addition, a Comprehensive Development Plan for the site shall be submitted to the Planning Commission for their review and approval.
Mr. Friedel addressed the following issues:
1. Water looping was important for better fire protection on the north end.
2. Jurisdiction - The entire parcel is to be annexed, however, they want to reserve the ability to utilize the stormwater management facility in back of Super Fresh which is under the jurisdiction of the County. The jurisdiction of discharging would remain with the County.
3. Service Area Assessments - Mr. Friedel asked that, during the 45 day period before becoming effective, the City advise in writing of any service area assessments that apply to this property.
4. Comprehensive Development Plan - Mr. Friedel requested that the Comprehensive Development Plan to be presented to the Planning Commission be brought in as a Phased Comprehensive Development Plan (concept of outparcels be independent). Mr. Hughes indicated that when Silicato/Wood came in with their plan for the first phase, they would also need a conceptual plan for the remaining phases.
5. Mr. Friedel pointed out that there may need to be some special negotiations in the event a mutual agreement is reached on putting in a roadway or interconnection with the County's Tourist Center. Mr. Hughes felt it would be inappropriate for Council to act on this request at this time.
6. Change in character or mistake in zoning - The westerly side of the Rt. 13 corridor has been developed General Commercial. A portion of the property is in the Paleo Channel boundaries so it would be a mistake to develop this land as Light Industrial. If left as Light Industrial it would be isolated and basically unusable for any reasonable purpose.
Mrs. Hall requested that the Planning & Zoning Director prepare a Finding of Fact supporting the change in zoning to include with the Resolution. After further discussion, Mr. Himelright motioned and Mr. Cannon seconded to amend Resolution No. 597 to include the Finding of Fact as part of the Resolution and to include on Exhibit B, item B5, the language - In addition, a Comprehensive Development Plan shall be submitted to the Planning & Zoning Commission for their review and approval. Mr. Gillis disclosed he had done business with Silicato/Wood, but he did not believe it would impact his ability to make a fair and impartial decision. The vote was unanimous approving the amendments. All voted in favor of Resolution No. 601 as amended. However, since the public did not have an opportunity to speak, Mr. Himelright withdrew his motion and Mr. Cannon withdrew his second to listen to the comments. The vote was unanimous. Mr. Eaton swore in the additional witnesses wishing to testify.
Mr. George Moore voiced his opposition to the wetlands being annexed into the City limits and was concerned with City limits being on both sides of his property. He target practices on his property, which abuts the wetlands, and was concerned that the City would have a problem with that. Chief Dykes stated there shouldn't be a problem if they aren't shooting onto the property. Mrs. Hall noted that by including the wetlands portion in the annexation makes it contiguous to other County property owners who may at some point want to be annexed into the City. Mr. Moore was informed that he could not be forced to annex into the City by Maryland law.
Mr. George Broughton was concerned with roadways being built around this area without the property owners knowledge. Mr. Broughton was directed to speak with the Director of Planning and Zoning on this issue. Mr. Broughton was against any new opening to the Silicato development in the northern corner. Mr. Gillis reported that the only access being proposed was the entrance at Dagsboro Road.
Mr. Himelright motioned to amend Resolution No. 597 to include the Finding of Fact as part of the Resolution and to include on Exhibit B, item B5, the language - In addition, a Comprehensive Development Plan shall be submitted to the Planning & Zoning Commission for their review and approval. Mr. Cannon seconded and the vote was unanimous. Resolution No. 597, as amended, passed unanimously.
Public Works Director Wil Elliott introduced the proposed annexation of property owned by Donald Williams located on the north side of Onley Road and opposite Perry Drive. A portion of Onley Road will have to be included as part of the annexation to make it contiguous to the City. A zoning classification of R-5A Residential has been requested with plans to develop a residential development containing 22 townhouse type apartment units for rent. Each unit is expected to contain 1,240 sq. ft. of living space. Impact on water and sewer is expected to be 5,300 gallons per day. Stormwater will be managed on site and discharged into the existing County facility running in Onley Road and through the site.
Mr. Cannon voiced concern with this type of units being in an area with single-family homes and inquired as to the current County zoning. He felt a policy should be developed which would make new construction comparable or compatible with the existing housing in the area. He opined that rental units could be destructive to single-family residents.
Mr. Elliott did not have the current zoning available, but in the future would include this information. Mr. Himelright expressed concern with units being built for college students and disregarding the neighbors. Mrs. Hall noted that Seagull Village has been a very successful development with no problems.
Mr. Gillis agreed with Mr. Cannon and Mr. Himelright. He questioned if access to Onley Road could be denied and instead use the private road on the north side of the property (Christensen Lane) as an access to S. Division Street.
Deputy Fire Chief Tom Lewis was not in favor of denying access to Onley Road. Emergency vehicles would need access and the hydrant is located on the corner of Onley Road and Perry Drive. Mr. Gillis suggested, as a condition of the annexation, that Christensen Lane be extended to a paved 24 ft. wide, 2-way road and install a hydrant. He could not support the annexation if all the traffic dumped onto Onley Road. To ease Mr. Himelright's concern, he suggested screening this development from the neighborhood. Mrs. Hall suggested having a one-way entrance from Onley Road, but exit onto Christensen Lane.
Mr. Himelright thought it looked like we were creating another pocket and the other residents in the area did not want to be annexed. Ms. Siggers suggested tabling this issue and place it on a work session to work out all the concerns. Mr. Williams informed Council he was willing to come to a work session. In the meantime, he will check with Buzz Christensen to see if he is willing to have this development exit onto Christensen Lane. This issue will be discussed in an upcoming Council work session.
Mr. Jerry Friedel, representing Davis, Bowen & Friedel, Ms. Ann Murray Grimm, representing Deaf Independent Living, and Mr. Bill Stacey, representing Peninsula Health Group, joined Council for discussion.
Public Works Director Wil Elliott introduced Peninsula Health Group and Deaf Independent Living Associates request to annex their property (4.90 acres) into the City. As part of the annexation, a portion of Snow Hill Road will have to be included in the annexation to make it contiguous to the City limits. The owners requested a General Commercial zoning classification. Peninsula Health Group plans to build a 5,000 sq. ft. surgery center and 4,500 sq. ft. for offices. Deaf Independent Living Associates plans to construct a 6,000 sq. ft. building to house their offices and serve as a community center for deaf and hard of hearing citizens. The impact on water and sewer will be approximately 6,600 gallons per day. Stormwater will be managed on site.
Mr. Himelright expressed the same concern he had with the Onley Road annexation request - creating pockets. Mrs. Hall felt we were bringing more property into the City which reduces the size of the enclave. Mr. Gillis noted that the developer would be paying for the water and sewer extension.
After further discussion, there was a favorable consensus of Council to proceed with the annexation process.
Executive Officer John Pick introduced Salisbury Engineering's Manufacturing Tax Exemption Request. Salisbury Engineering asked for an exemption from taxation on manufacturing equipment purchased in calendar year 1996. Finance Director Roger Baskerville had recommended that a five year exemption be granted beginning with tax year July 1, 1997 to June 30, 1998.
Mr. Himelright motioned to table the request since Mr. Baskerville was not present to answer Council's questions. Ms. Siggers seconded the motion. All voted in favor to table the manufacturing tax exemption request for Salisbury Engineering with the exception of Mr. Gillis who voted nay.
The following item was presented for approval by Purchasing Director Carol Turner, C.P.M., CPPB:
1. Fume Hood for FOG Testing - WWTP
(601-4110-532.70-30: Unbudgeted)
Methods Automation, Inc. . . . . . . . . . . . . . . . .$2,119.90
On a motion by Ms. Siggers and seconded by Mr. Gillis, the above item was unanimously approved.
Mr. Pat Hannon commented on a citizen's concern with the Lloyd, Hanson, Monticello and Hanover Street area. He referred to a 32,000 sq. ft. property in the R-10 District which contained two dwellings and now have three other houses under construction. He did not believe one of the houses conformed with setback requirements. In regards to the Williams property-Onley Road annexation, he hoped Council thought clearly on what direction they wanted to go. He also complimented the police department for their quick response to a burglary at his house.
With no further business, the meeting adjourned at 9:52 p.m.