CITY OF SALISBURY, MARYLAND

CITY COUNCIL MEETING MINUTES JULY 12, 1999 MEETING #13

PRESENT

Mayor Barrie P. Tilghman
Council President Robert Cannon
Council Vice President Frank Himelright
Councilwoman Lavonzella Siggers
Councilman Palmer Gillis
Councilman James Ireton

IN ATTENDANCE

CONVENING - APPROVAL OF MINUTES JUNE 28, 1999

The Mayor and 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 Cannon called the meeting to order.

On a motion by Mr. Himelright and seconded by Mr. Gillis, the minutes of June 28, 1999 were approved. All voted in favor with the exception of Ms. Siggers who did not vote.

ORDINANCE NO. 1727 - 2ND READING - AMENDING THE CABLE TV ORDINANCE TO REDUCE THE FRANCHISE FEE

Executive Officer John Pick presented Ordinance No. 1727 which amends section 5.22.270 of the Salisbury Municipal Code by reducing the fee paid on gross revenues by cable television operators from five per cent to four per cent. The ordinance will take effect with bills rendered on or after September 1, 1999. Mr. Himelright motioned and Mr. Ireton seconded to approve Ordinance No. 1727 to bring it on the floor for discussion.

Mr. Chuck Whitmore inquired if a date had been set for Comcast to supply Internet and telephone service. Mr. Pick noted he would review the provisions of the cable franchise ordinance as it pertains to Internet access.

Ms. Siggers expressed that she was not in agreement with the reduction of the franchise fee as it offers no significant benefit for the public. In Ms. Siggers opinion, it was more of a hindrance for the residents and she hoped the franchise fee would not continue to be reduced in the future.

With no further discussion, all voted in favor of Ordinance No. 1727 for second reading with the exception of Ms. Siggers who voted nay.

ORDINANCE NO. 1728 - 2ND READING - PLACING A MORATORIUM ON GROUP DOMICILIARY CARE FACILITIES

Ordinance No. 1728, as highlighted by City Solicitor Paul Wilber, suspends the issuance of zoning certificates, building permits and certificates of occupancy for group domiciliary care facilities which in whole or in part are directed toward the provision of residential services to persons who have been convicted of crimes. It also provides that such facilities shall not be permitted under the zoning code for a six-month period to allow study and revision of the definition of group domiciliary care facilities under Section 17.04.120 of the Salisbury Municipal Code, to resolve any constitutional issues and to ensure safe and effective management of such group domiciliary care facilities.

Mr. Ireton motioned and Mr. Himelright seconded to approve Ordinance No. 1728 to bring it on the floor for discussion. Ms. Siggers reiterated her opposition to the moratorium. She perceived it as an opportunity to shut down the Harvest House of Hope project.

Mr. Cannon was impressed with Harvest House of Hope's presentation last week. He emphasized that this ordinance was not directed against them, but an opportunity to review a statute that was brought to Council's attention as being vague and ambiguous with respect to group domiciliary care facilities. Mr. Gillis agreed that Council received an impressive presentation on the project. Nevertheless, he supported the moratorium.

Mayor Tilghman noted there had been several requests/inquiries similar to this project. She felt it was appropriate for Council to take a look at the zoning for these facilities and make any necessary changes.

Those residents who spoke against the moratorium offered the following: 1) not necessary to have a moratorium while a review was being done; 2) Newtown was an appropriate site for a rehabilitation program for ex-offenders; and 3) Witness International could provide services which the State, County and City could not do. Mr. Robert Miller asked Council to suggest a place for the project if it wasn't acceptable in the City of Salisbury or Wicomico County.

Residents who supported the moratorium believed the Halfway House project: 1) posed an increased risk to the personal safety of residents; 2) possible decrease in property values; 3) would not enhance the quality of life in our neighborhoods; and 4) would have a negative impact on the John B. Parsons Home.

Ordinance No. 1728 for second reading passed on a 4-1 vote (Messrs. Cannon, Gillis, Himelright and Ireton voting in favor and Ms. Siggers voting nay).

RESOLUTION NO. 646 - RUARK PROPERTY DE-ANNEXATION

Mr. Himelright motioned and Mr. Ireton seconded to approve Resolution No. 646 to bring it on the floor for discussion. City Solicitor Paul Wilber presented Resolution No. 646, a resolution proposing to de-annex the property known as the "Canal Park Drive - Ruark Property Annexation. This resolution was tabled at a prior City Council meeting and since that time Council expressed concerns with allowing de-annexations. Mr. Wilber recommended that Council continue to table the resolution and allow a consent decree to be entered by the Wicomico County Circuit Court. The City, Canal Woods Associations and Tom Ruark would agree to the filing of a lawsuit which at the same time would be accompanied by a consent decree. The consent decree must be agreed upon by all three parties in which they agree that the first and second annexation resolutions are null and void. Council will be provided a copy of the consent decree before it is given to the judge.

Mr. Cannon questioned who exactly was Canal Woods in this issue (i.e., majority or minority of Canal Woods) and if we were disenfranchising some peoples' rights. He also felt the road issue should be addressed and resolved as to whether Ruark has access to the road. Mr. Ireton agreed that the road issue needed to be resolved.

Ms. Siggers felt that a policy needed to be established considering the potential of de-annexations in the future or even having another situation similar to this one. Mr. Cannon pointed out that City policy has been not to permit de-annexation, but this was an unusual circumstance.

Mr. Robert Taylor believed the second annexation was still binding. However, one of the reasons he felt Council should table this issue was because discussion has largely been outside of regular Council meetings. Mr. Taylor asked that further discussion be held during regular Council meetings even if in litigation so it is on the public record before any decision is made.

Ms. Siggers motioned to table Resolution No. 646. Mr. Ireton seconded and the motion to table passed unanimously.

RESOLUTION NO. 657 - ACCEPTING THE MARINA RESTAURANT BID

Resolution No. 657, as introduced by City Solicitor Paul Wilber, is a resolution accepting a proposal from Frank B. Hanna, Sr. for the purchase of City property located on the north side of the Wicomico River and east of and adjacent to the Port of Salisbury Marina, containing approximately 44,700 square feet. Mr. Hanna's bid was the minimum bid price of $100,000. Coupled with the proposal is the signing of a disposition contract (included with Resolution No. 658) with Mr. Hanna covering such items as parking, boat slips, dock bar, riverfront walkway, left turn on Route 50, outdoor events, etc.

Ms. Siggers motioned and Mr. Ireton seconded to approve Resolution No. 657 to bring it on the floor for discussion. Mr. Himelright asked that the paragraph in item #2 of Mr. John Long's letter (attorney representing Frank Hanna) referencing water sports facilities not be included. Mr. Wilber advised, however, that any operation would have to be within existing laws.

Ms. Siggers thought the marina deal was rather excessive. Mr. Hanna was purchasing the property for $100,000 and the City was giving him 22 boat slips, 114 parking spaces and 60 additional parking spaces, as well as a sidewalk from the Bridge Tender's building to the marina. Mr. Gillis commented that this was the same deal as a year ago except that the purchase price is $25,000 less.

After further discussion, Resolution No. 657 passed unanimously.

RESOLUTION NO. 658 - ACCEPTING THE DISPOSITION AGREEMENT FOR THE MARINA RESTAURANT PROPERTY

Mr. Himelright motioned and Mr. Ireton seconded to approve Resolution No. 658 to bring it on the floor for discussion. City Solicitor Paul Wilber gave an overview of Resolution No. 658 which accepts a disposition contract between the City and Frank B. Hanna, Sr. setting forth the terms and conditions of the purchase and construction of a restaurant on the north side of the Wicomico River and east side of and adjacent to the Port of Salisbury Marina.

Mr. Gillis requested that the contract include a provision to ensure the City has access to replace the tie backs as discussed in the previous negotiations. Mr. Wilber will discuss the appropriate language with Public Works Director Wil Elliott.

After further discussion, Mr. Ireton motioned and Mr. Himelright seconded to amend Resolution No. 658 to incorporate Mr. John Long's request of July 9, 1999 relating to Item 2.5, Boat Slips - T Pier, paragraphs #1 and #2 (copy made a part of these minutes), and to include language addressing access to replace the tie backs. All voted in favor of the amendment with the exception of Ms. Siggers who did not vote.

On the vote to approve Resolution No. 658, as amended, all voted in favor with the exception of Ms. Siggers who abstained. Ms. Siggers abstained because she felt the property was virtually given away.

RESOLUTION NO. 659 - GRANTING TAX DEFERRAL TO PHASE III OF GATEWAY VILLAGE HOUSING PROJECT

Mr. Himelright motioned and Mr. Ireton seconded to approve Resolution No. 659 to bring it on the floor for discussion. Mr. Gillis noted he would be abstaining from voting on this issue. Executive Officer John Pick presented Resolution No. 659 as a resolution granting a tax deferral for the third phase of Gateway Village senior housing project. Gateway Village III Limited Partnership proposes to acquire, construct and operate a rental housing project for senior citizens containing approximately 36 units.

In response to Ms. Siggers' query, Mr. Pick related that Council would have the ability to approve a transfer if the business changed hands as long as the project continues to be a benefit to moderate or low income seniors. A provision is included that the deferred and accrued taxes will be recaptured and immediately due and payable and no further deferral will be allowed in the event that the project is sold, transferred or not operated to provide housing for senior citizens of moderate or low income in accordance with the guidelines of the Department of Housing and Community Development.

With no further discussion, all voted in favor of Resolution No. 659 with the exception of Mr. Gillis who abstained.

PUBLIC HEARING - COMCAST RATE FILING

City Solicitor Paul Wilber advised that there was no need for a public hearing since Comcast only plans an increase in the second tier which the City has no control over. However, later in the year Comcast will probably ask for a rate increase in basic services. At that time, the City would probably issue a Tolling Order to allow time for a review.

AWARD OF BIDS

The following items were presented for approval by Executive Officer John Pick:

1. Declaration of Surplus . . . . . . . . . . . . . . . . .-0-
2. Professional Services - Bond Issue (301-1701-515.33-02)
Piper & Marbury . . . . . . . . . . . . . . . . . $23,371.89

Mr. Himelright motioned and Mr. Ireton seconded to approve the above items to bring them on the floor for discussion. Mr. Gillis requested that the Miles & Stockbridge bill be brought back to Council at the next meeting for consideration under the Award of Bids. Mr. Himelright asked that the research be done first. The consensus of Council was to bring it back at the next Council meeting provided further research was completed.

With no further discussion, the above two items were unanimously approved.

MAYOR'S COMMENTS

Mayor Tilghman commented on the following issues: 1) Lt. Governor to visit Salisbury on August 2, 1999; 2) election as member-at-large to the Maryland Municipal League Board of Directors; 3) Public Works Director to meet with SSU to work out the details on a new dormitory that will be leased to the University; and 4) Major Webster to begin soon as the new police chief.

COUNCIL PRESIDENT'S COMMENTS

Council President Cannon commented on the Mayor's programming on Access 26 regarding the City's adopted budget for the coming year. Mr. Cannon thought the Mayor and Council should have done this together. Mayor Tilghman noted that this programming was a follow-up to her original budget input meeting in February and was taped last week. It was a summary of the items which were passed using the same format as last February.

Mr. Cannon complimented the Executive Officer and the City Clerk for ensuring the air conditioning was on in Council Chambers and Room 302 (in case of going into closed session) during their work session on Wednesday, July 7, 1999. The work session was held despite the city offices being closed in anticipation of rolling blackouts due to the 90 degree plus heat.

Mr. Cannon gave a brief overview of the items to be discussed at future work sessions.

PUBLIC COMMENTS

Mr. Leon Johnson, owner of property in the Quiet Acres area, requested an opportunity to tie into the City's sewer system. Ms. Siggers noted this had been discussed with her. A meeting had been scheduled for July 7, 1999, but since the City offices were closed that day, another meeting will be rescheduled with the Public Works Director.

Mr. Jack Powell presented a letter to Mayor Tilghman requesting that the Planning and Zoning Commission meetings be held during the evening hours. A request was made to Council President Cannon last November, but to date he had not received a response from the Council. Planning and Zoning Director Kris Hughes acknowledged that several responses were sent to Mr. Powell from the Planning Commission Chairman, the old County Council and the new County Council. Because the meetings are five or six hours in length, they have been held for many years at 1:30 p.m. In Mr. Hughes' opinion, the practicality of disrupting a schedule that is set for the businesses to be able to respond as part of the development review process could be disruptive to the efficiency of that system. It would also become a very expensive venture for the City and County to pay for staff resources if the meetings were always held at night. Mayor Tilghman commented that she would be happy to meet with the Planning & Zoning staff to come up with ideas which might better accommodate the public's desire. Mr. Powell further related that a large section of the working population could not serve on committees because they meet during the day.

Mr. Robert Miller asked for a channel of communication so that Witness International will know the status of the issue of group domiciliary care facilities. Mr. Cannon advised Mr. Miller to contact the Executive Officer or the City Clerk.

In response to Mr. Robert Taylor's inquiry, Mr. Cannon related that LGIT denied the request to pay for removing a tree. The monies that were transferred from the Mayor's Contingency Fund to the Tree Removal Fund were put back into surplus. BHZ Director Bill Holland reported that the claimant had the tree removed on her own.

Mr. Richard Insley, in regards to the marina restaurant project, commented that the City had to do something to induce development in that area. It's a big risk for a developer when investing $1 to $2 million.

Ms. Siggers commended Mayor Tilghman on her election to the Maryland Municipal League Board of Directors. Ms. Siggers related that, while she was in support of a restaurant on the marina, she chose to abstain on the disposition contract because she believed the City was overcompensating to acquire the restaurant on the marina and there were certain areas she could not accept. However, she hoped the restaurant was successful for Mr. Hanna and commended the Council for moving forward with the project.

Mr. Kenneth Holland requested that a drop box be provided to pay water bills after hours. Finance Director Roger Baskerville reported that the City had a drop box for years, but it was closed because skateboarders were using it as a urinal.

With no further discussion, the meeting adjourned at 8:53 p.m.

City Clerk

Council President