City Council regular meeting — December 8, 2020

Background:

• On September 25, 2020, I spoke with a gentleman who wished to make a private donation from a trust set up in his sister’s name (Trina Mullen Fund for Pritchard Park of The Community Foundation of Western North Carolina) to help improve officer morale.
• We discussed several possible uses for this money by the Police Department.
• He decided he would like the money to go toward tactical/de-escalation training for the officers, a desire voiced by personnel who attended the listening sessions with local community consultants and staff.
• A donation was recorded on November 2nd in the amount of $20,000. Included with the check was a letter specifying that any portion of the funds not used for the purpose for which it has been approved must be returned to the foundation.
• APD is requesting the ability to use the aforementioned donations to help fund the cost of additional non-budgeted training for our officers. Committee(s):
• n/a Pro(s):
• Police officers should demonstrate the highest levels of professionalism, patience, and tolerance, in the execution of their duties.
• To ensure this is done consistently, law enforcement officers need training programs that provide verbal and physical tools to achieve these goals, while simultaneously reducing risk to the officers and those they serve. Con(s):

None Fiscal Impact:

• There is no impact to APD’s budget, nor a matching requirement for the donation. In response to Vice-Mayor Smith’s question about under what circumstances can the City accept donations, City Manager Campbell cited some examples, but said that she will provide more information in a memorandum to Council. Councilwoman Roney appreciated the spirit of neighbors partnering with the City.

Mayor Manheimer said that this public hearing was held on November 10, 2020, and due to recent legislation regarding remote meetings, the public hearing comment period remained open for 24 hours after the public hearing. Hearing no more public comment, Mayor Manheimer closed the public hearing and said that members of Council have previously received a copy of the resolution and it would not be read.

Vice-Mayor Smith, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing members to the Human Relations Commission. Pearl DeBellott resigned as a member of the Human Relations Commission, whose term expired on June 1, 2020. Zakiya Bell-Rogers, Nicole Townsend, Isaiah Greene and Daniele Martin have resigned as members of the Human Relations Commission, thus leaving unexpired terms until June 1, 2021. In addition, the terms of Mychal Bacoate and Patrick Conant expired on June 1, 2020. The following individuals applied for the vacancy: Susy Chandler, Melissa Ray, Sam Franklin, Bernie Lee Miller, Veronica Colt, Alexandra DiSclarfani, Britni Worley, Ricky McGrath, Emma Nichole Worthy, Will Overfelt, Melanie Noyes, Tim Collins, Alfred D. Green, Daniel Young and Brandon Oliver. On September 22, 2020, and October 27, 2020, at the recommendation of the Human Relations Commission, it was the consensus of City Council to allow the Commission time to interview applicants and make a recommendation. On December 8, 2020, the Boards & Commissions Committee recommended to postpone appointments to allow the Boards & Commissions Committee further review of the applications. However, Councilwoman Roney, liaison for the Commission, put forth the names of Veronica Colt, Will Overfelt, Alfred Green and Brandon Oliver to be appointed to the Commission in order for the Commission to maintain a quorum. Councilwoman Roney to (1) appoint Will Overfelt, Brandon Oliver and Alfred Green as members of the Human Relations Commission to each serve a two-year term respectively, terms to expire June 1, 2022, or until their successor has been appointed; and (2) appoint Veronica Colt as a member of the Human Relations Commission to serve the unexpired term of Mr. Greene, term to expire June 1, 2021, or until her successor has been appointed. This motion was seconded by Councilwoman Mosley and carried on a 6-1 vote, with Councilwoman Wisler voting “no.”

Summary: City Council formal meetings are the 2nd and 4th Tuesdays of each month. The following meetings are cancelled: July 13, 2021; August 10, 2021; November 23, 2021; and December 28, 2021.

Background:

• On October 27, 2020, City Council adopted the Asheville Business Inclusion (ABI) Policy. The ABI Policy replaced and expanded the previous Minority Business Plan.
• The adoption of the ABI Policy necessitated updates and revisions to the Procurement, Surplus, Purchasing & Contracting Policy.
• These changes included guidance to staff to follow the ABI policy regarding Minority and Women-Owned Business Enterprise (MWBE) outreach in their procurement efforts.
• The Procurement Policy had not been substantially updated since 2012.
• This policy will become effective on January 1, 2021, in order to coincide with the effective date of the ABI policy.
• This policy governs how all procurements for purchases and contracts are handled, as well as the disposal of surplus City personal property.
• Amendments and updates to the “Purchasing and Contracting Policy” are as follows:
• The title was updated to “Procurement, Surplus, Purchasing, & Contracting Policy” in order to encompass all areas governed by the policy;
• References to the ABI policy were included, specifically in regards MWBE outreach, which is required per the ABI policy;
• General update to ensure policy is up to date with the North Caorlina General Statutes;
• Procedures were removed from the policy and will be placed in separate document;
• Addition of a conflicts of interest section for staff who participate in city procurement and contracting; and
• A general reorganization of the policy for readability. Committee(s):
• None Pro(s):
• Provides necessary updates and revision to a policy that was adopted in 2012
• Ensures the City of Asheville is consistent with State, Federal, and other City policies
• Promotes competitive procurement
• Supports implementation of the Asheville Business Inclusion Policy Con(s):
• None.

Fiscal Impact:

• None.

Background:

• The City’s Capital Projects Department has a sidewalk installation project planned along Onteora Boulevard.
• The City has obtained all required easements needed to complete this sidewalk project except for one along the edge of real property located at 117 Onteora Boulevard.
• The property at 117 Onteora Boulevard was owned by Margetta Deese who passed away in 2016.
• The City has made repeated attempts to identify Ms. Deese’s potential heirs or personal representatives regarding the needed easement, but has received no response.
• The easement needed at 117 Onteora Boulevard is immediately adjacent to the City’s right of way and is entirely within an unbuildable setback.
• As such, the City’s condemnation of the needed easement will only minimally impact the subject property’s value. Committee(s):
• None Pro(s):
• Will facilitate the completion of a needed sidewalk construction project and safeguard the project schedule. Con(s):
• Will result in the commencement of an eminent domain action against the owner.

Fiscal Impact:

• The expected value of the needed easement is less than $3,000 which is included in the project budget for the subject construction project.

Background:

• In 2001, the Asheville City Council approved Triton PCS Wireless to install a concealed telecommunications tower and a concrete equipment shelter at 300 Merrimon.
• T-Mobile South LLC currently occupies the tower that is located atop a six story brick stairwell adjacent to the historic fire house at 300 Merrimon Avenue.
• T-Mobile’s existing agreement with the City is set to expire and they have requested a renewal of 5 years with an additional 5 year renewal.
• T-Mobile lease rate is currently $30,000 with an escalation of 3%.
• T-Mobile has agreed to a new base rate of $35,000 with the 3% escalation applied at the end of every lease year.
• Staff is currently reviewing options for sale or reuse of the historic firehouse and tower at 300 Merrimon.
• Preserving the historical character of the property is central in this consideration.
• Staff intends to present recommendations to City Council regarding the overall sale or use of the property in 2021.
• If Council were to consider a future sale of this property, the lease would be transferable to a new owner.
• During this time, staff recommends maximizing the value of the telecom tower by extending the license agreement that is currently active with T-Mobile for equipment on the telecom tower. Committee(s):
• None Pro(s):
• The presence of T-Mobile on the tower increases the value of this asset and provides revenue to the City. Con(s):
• None.

Fiscal Impact:

• The City’s General Fund will receive approximately $2,920 per month or $35,000 per year in revenue during the first year of the new lease.

Background:

• The Asheville Police Department (APD) is nearing the end of our initial 5 year agreement with Axon for our Body Worn Camera/Taser program.
• Axon has offered us reduced pricing to renew if we can finalize the agreement by 12/31/2020.
• Axon has structured their quote in such a way that year one costs will remain the same as our prior agreement as they understand we have not budgeted for any increase for FY21.
• Our current contract isn’t expiring until July 2021 (FY22) so we would have budgeted the increase for next fiscal year. However, since Axon prices change every new calendar year in January, they’ve offered us to renew early (with credits for current contract paid but unused service time) to secure the current pricing structure.
• The additional amount we would have paid in year one has been subsequently spread out over the remaining four years of the agreement.
• The total cost of continuing our agreement for another 5 years is $1,862,664.90.

Vendor Outreach Efforts:

• Axon is our current vendor for the body camera/taser program and utilizes pricing per the OMNIA Cooperative Contract.
• Due to pricing from a cooperative contract, no outreach to minority and women owned business was conducted. Committee(s):
• None Pro(s):
• Increase safety by continuing to provide equipment beneficial to officers and the public
• Strengthen agency accountability and transparency to the public
• Reduce complaints and resolve officer involved incidents
• Identify and correct potential internal agency problems
• Benefit public safety by accurately documenting officer interactions and evidence collection
• Used in policy compliance checks such as consent search interactions and documentation
• Compliance with National best practices of using a BWC platform to document officer interactions Con(s):
• Increase in cost, as expected, from our original 5 year agreement

Fiscal Impact:

• No impact in the current fiscal year as Axon has calculated the year one payment amount to be $214,008.90, which is already included in the adopted Police Department budget.
• Years two through five will see an increase from $221,244 per year to $412,164 per year.
• If we had not frozen year one pricing, this five year agreement would have been $372,532.98 per year.
• The total obligation in either scenario is $1,862,664.90 over the 5 years of the agreement.

Background:

• The original North Fork Dam and Spillway did not meet current regulations to ensure the integrity of the dam during a probable maximum precipitation event (greatest amount of precipitation for a given duration of time).
• In 2006, Water Resources implemented the Flood Operations Plan in an effort to meet these requirements.
• In addition, Water Resources took further action to meet N.C. Dam Safety requirements.
• In 2015, Schnabel Engineering was selected through a qualification-based selection process for the final design, bidding, and construction oversight for the North Fork Auxiliary Spillway and Dam Improvements project.
• Construction began in November 2017 for the 26 month contract.
• Requesting a change order for $197,398 will bring the engineering costs for this project to a total of $4,547,568.
• Several factors have impacted the project including extending construction oversight and administrative activities, increasing public communication efforts, and additional design services. More specifically:
• Heavy and frequent precipitation events in 2018, late 2019, and 2020 impacted activities associated with the critical path (schedule).
• Additional design work associated with providing temporary raw water pumping into the treatment process.
• Loss of electricity to the temporary pumping system created additional design work. It became necessary to develop two back-up plans to ensure power.
• Administrative work to cover additional Request for Information (RFI) and Submittals, Construction Oversight, and progress meetings.
• Development and implementation of the end of project communication plan.

Vendor Outreach Efforts:

• Not applicable, change to an existing contract Committee(s):
• None. Pro(s):
• This project is aligned with the City and the Water Resources Department goal of continued investment and improvement of the City’s water system through Capital Improvement Projects to provide safe and reliable service. Con(s):
• Although unavoidable, the cost of the project Increased.

Fiscal Impact:

• The funding needed for the professional services agreement is currently allocated within the Water Resources Capital Improvements Project Fund in the North Fork WTP Dam/Tunnel Repairs Project.

Background:

• This contract has been in place since August 11, 2017, for the service & maintenance of the Chiller unit at the Harrah’s Cherokee Center.
• The contract is a service contract.
• Daikin Applied Americas, Inc. performs preventative maintenance for the chiller.
• The contract includes 40 hours of repair if something brakes.
• The City is responsible for parts.
• This one year extension is the final extension opportunity for the current contract.
• This contract previously did not require City Council authorization as the contract amount totaled $75,090.
• The final year extension increased the total contract amount above the $90,000 threshold requiring Council approval.

Vendor Outreach Efforts:

• When initially contracted, staff performed an informal bidding process which included outreach to Minority & Women-Owned Business Enterprise (MWBE) service providers for services. No MWBE service providers responded. Committee(s):
• None Pro(s):
• Improves the venue’s ability to host a wider range of events.
• Reduced energy consumption with well maintained equipment with intelligent controls. Con(s):
• None.

Fiscal Impact:

• Funds are budgeted within the Harrah’s Cherokee Center’s contracted services account ($26,772).

Background:

• On November 20, 2020, FBRMPO issued a call for projects for the Federal Transit Administration annual recurring Section 5310 and JARC (Section 5307) grant funds.
• The deadline to submit both grants is December 31, 2020.
• Section 5310 funding is used for improving mobility for seniors and individuals with disabilities.
• The City uses Section 5310 funds to pay for a portion of the City’s existing paratransit service.
• The City is going to apply for $166,832 in Federal funds.
• The match for these funds is 20%, or $41,708, for a total project cost of $208,540.
• JARC (Section 5307) funds are used to fund a portion of the operating costs of Route 170, which operates fixed-route service from downtown Asheville to the Town of Black Mountain.
• The City is going to apply for $231,558 in Federal funds, which is 50% of the total cost to operate Route 170.
• The match for JARC funds is 50%, so the City’s contribution to the total cost is also $231,558.
• The City is the designated recipient for the region and oversees and administers the grants after they are awarded to subrecipients by the FBRMPO.
• The City receives a 10% administrative fee for this effort. Committee(s):
• None. Pro(s):
• The funds help offset the annual operating cost of paratransit and Route 170 fixed-route services.
• The City receives 10% in administrative fees to oversee both programs. Con(s):
• The City is responsible for the local matches.
• If funds are not awarded, it will significantly impact funding for transit operations and affect the quality of services provided.

Fiscal Impact:

• The local match will be included in the proposed FY 21-22 operating budget.

Background:

• N.C. Gen. Stat. § 160A-299 grants cities the authority to permanently close streets and alleys.
• Fifty-Five South Market, LLC has petitioned for this closure. They are the owners of the property known as 55 S. Market St., PIN# 9648-59-0637.
• The right-of-way is a former City of Asheville street.
• This closure will not impede any future use of this right-of-way.
• This closure allows maximum land use potential for further development complying with Living Asheville
• A Comprehensive Plan for our Future. This area will be used as the means of egress from the building to the public sidewalk as required by fire code.
• This closure allows for the life safety stairs to the public way to remain as constructed. Committee(s):
• Multimodal Transportation Committee
• October 28, 2020: Recommended closing the right-of-way by unanimous vote. Pro(s):
• The closure would allow for more efficient use of the existing adjacent property.
• Meets Council’s goals to promote sustainable high density infill growth that makes efficient use of existing resources. Con(s):
• None noted.

Fiscal Impact:

• There will be no fiscal impact related to this closure.

Background:

• N.C. Gen. Stat. § 160A-299 grants cities the authority to permanently close streets and alleys.
• Youngblood and Sarah Haske have petitioned to close this right-of-way.
• They are the owners of 137 Houston Street, PIN #s 9639-90-3085 and 9639-90-3979.
• The Haskes have agreed to grant the City of Asheville an 11.5-foot easement from the new right-of-way line into the property.
• This easement will be for future sidewalk, water, and stormwater projects.
• This closure allows maximum land use potential for further development complying with Living Asheville
• A Comprehensive Plan for our Future. Current plan is to recombine the two properties. Future use would be to add an auxiliary dwelling unit; however, no plans prepared at this time.
• This closure will allow for the recombination of parcels while removing the excess unused portion of right of way from the parcels. Committee(s):
• Multimodal Transportation Committee
• October 28, 2020: unanimously supported the closure of the right-of- way with the condition of an 11.5’ easement remaining for future City of Asheville use. Pro(s):
• The closure would allow for more efficient use of the existing adjacent properties.
• Meets Council’s goals to promote sustainable high density infill growth that makes efficient use of existing resources. Con(s):
• None noted.

Fiscal Impact:

• There will be no fiscal impact related to this closure.

Background:

• N.C. Gen. Stat. § 160A-299 grants cities the authority to permanently close streets and alleys.
• Meinch Construction, Inc. has petitioned to close this right-of-way. They are the owners of 99999 Trade St, PIN # 9638-98-2756. Joining this petition are Butler and Celeste Wiltse. They are the owners of 28 Trade St., PIN # 9638-98-3860.
• This closure allows maximum land use potential for further development complying with Living Asheville
• A Comprehensive Plan for our Future.
• This closure allows for the development of 99999 Trade St by providing more room for construction by adjusting the property lines.
• The right-of-way is needed to provide the required screening in the back of the property for 4 residential units that will front on Roberts Street. Committee(s):
• Multimodal Transportation Committee
• October 28, 2020: Supported closing the right-of-way by unanimous vote. Pro(s):
• The closure would allow for more efficient use of the existing adjacent properties.
• Meets Council’s goals to promote sustainable high density infill growth that makes efficient use of existing resources. Con(s):
• None noted.

Fiscal Impact:

• There will be no fiscal impact related to this closure.

Council Goal:

• Financially Resilient City Committee(s):
• None Pro(s):
• Lower interest and unused fee expense. Con(s):

None Fiscal Impact:

• At current rates and debt balances, the annual cost savings from the rate modification is roughly sixty thousand dollars ($60,000).
• As the City continues to draw down on the Bond, the interest savings from the modification will increase.
• Following City Council approval, the rate modification will go into effect in early January, 2021.

Background:

• In addition to the parking citation management contract, Passport Labs currently serves the City of Asheville by providing an app that allows parkers to pay for parking on their mobile device through a separate contract.
• These are two separate contracts with Passport.
• The City of Asheville entered into a contract with Passport Labs, Inc. on October 1, 2017 for parking citation management services.
• The original contract expired on September 30, 2020, and did not include any provisions for renewals.
• Passport Labs, Inc. has continued to provide the City services upon the expiration of the initial contract term until present.
• The requested contract extension through February 28, 2021, allows City staff additional time to complete negotiations with the vendor for a new service agreement.
• The new service agreement will utilize a cooperative purchasing agreement, and is expected to result in a reduction in the cost of services given an identical scope of work to the current contract.
• The services provided by Passport Labs, Inc. are integral to Parking Services Division operations.

Vendor Outreach Efforts:

• N/A
• This is a current contract. Committee(s):
• None Pro(s):
• Enables the City to continue using an existing agreement which allows for the efficient management of City-operated parking spaces. Con(s):

None Fiscal Impact:

• The requested contract extension does not increase the current amount of the contract.

Background:

• North Carolina law allows any community college in North Carolina that has a law enforcement agency to enter into a joint agreement with the governing board of a municipality where the college is located in order to expand the community college’s law enforcement jurisdiction.
• AB-Tech has requested that the City and Buncombe County amend its current agreement to allow the AB-Tech police to exercise jurisdiction on the property of the Allied Health Building and the Smith-McDowell House, which are both on or immediately adjacent to AB-Tech’s campus. Pro(s):
• Will provide a law enforcement partner with authority necessary to effectively carry out its duties. Con(s):

None Fiscal Impact:

• None.

Background:

• In March 2019, the City and other regional transit providers applied for a total of $332,174 in FY 2018 Section 5310 Federal Transit grant funds from the French Broad River Metropolitan Planning Organization (FBRMPO).
• These funds are recurring annual funds and are used by the City and subrecipients for paratransit and other transit services for seniors and people with disabilities.
• In January 2020, the requested funds were awarded and budgeted by City Council.
• Recently, the Federal Transit Administration Region IV Office notified the City that an additional $520 in FY 2018 Section 5310 funds was available and should be added to the grant award and that the FBRMPO should determine how to distribute the extra funds although it is a very small amount.
• In September 2020, the FBRMPO determined that the $520 should be divided equally among the City, Buncombe County, and Henderson County.
• The budget amendment will provide expenditure authorization for the remaining amount of $520, for a total of $332,694 and will ratify the original resolution approving the funds. Committee(s):
• None Pro(s):
• Uses all available Section 5310 Federal Transit funds allocated in FY 2018.
• The funds help seniors and people with disabilities. Con(s):

None Fiscal Impact:

• $520 will be added to the Transit Operating and Multi-Year Funds. No additional City match is required.

Background:

• Responder Support Services currently provides embedded behavioral health support to Fire and Police Departments two (2) days per week for each department.
• The need by Fire and Police for behavioral health support has steadily increased in the last several months.
• Fire Chief and Police Chief have requested embedded support four (4) days per week for each department.
• Increased behavioral health support to Public Safety employees is critical to maintain the health and wellbeing of these employees in order to provide service to the community.

Vendor Outreach Efforts:

• Current vendor for embedded behavioral health support is Responder Support Services,

Background:

• This contract includes provisions for: o pressure washing of City-owned sidewalks in the Central Business District (CBD); o weed control on City-owned sidewalks and curb lines; o general cleanup services to remove loose litter and debris from City-owned sidewalks; and o cleaning of City-owned garbage and recycle cans.
• The CBD is divided into two zones
• Zone A and Zone B.
• Specifically, Zone A will be pressure washed six times in one year; and Zone B will be pressure washed two times.
• The contractor will provide weed control on an as-needed basis and patrol daily for loose litter and debris.
• Garbage and recycling cans will be cleaned four times per year.
• The Request for Proposals (RFP) was advertised on October 10, 2020, and bids were opened on November 5, 2020.
• The following five bids were received: WNC Landscaping, LLC of Cedar Mountain, NC $132,503 TruBlue Services, LLC of Easley, SC $137,593 MsLean of Arden, NC $146,996 PD Rivers of Hemingway, SC $158,035 B.H. Graning Landscapes, Inc of Sylva, NC $185,808
• The lowest, responsive bid was determined by the base bid.
• The contract also requested prices for extra services to be provided by the lowest responsive bidder if the prices fit into the City’s budget.
• These services include two additional washing cycles of Zone A, daily loose debris pickup, and garbage can cleaning.
• This accounts for the difference in the base bid price and the contract amount.
• This contract will commence at the completion of the current contract.
• The contract is for one year, but does provide for two 1-year extensions if the contractor and City agree.
• The contract will start on January 8, 2021.

Vendor Outreach Efforts:

• Staff performed outreach to minority- and women-owned businesses through solicitation processes, which include posting on the State’s Interactive Purchasing System and requiring prime contractors to reach out to Minority & Women-Owned Business Enterprise (MWBE) service providers for subcontracted services.
• One minority-owned business enterprise submitted a bid to be the prime contractor on the project. This bidder was the 3rd lowest bidder and will not be awarded the contract. Committee(s):
• None Pro(s):
• Will increase the cleaning frequency of the most heavily used areas of the CBD.
• Will provide for the cleaning of City-owned garbage and recycling cans which are a source of complaint. Con(s):
• Pressure washing can cause short disruptions for pedestrian traffic.

Fiscal Impact:

• Funding for this contract is allocated in the FY 2020-21 Public Works Department Budget.

Action(s) Requested: Authorization for City Manager’s execution of an agreement with RRI West Management, LLC (Red Roof Inn) to extend provision of 60 rooms for the emergency homeless COVID-19 shelter through February 8, 2021. Background:

• On May 12, 2020, Council ratified the City Manager’s execution of agreements with Red Roof Inn, Inc., Homeward Bound of Western North Carolina, and Axis Security for operations of a COVID-19 motel-based non-congregate emergency homeless shelter for persons experiencing unsheltered homelessness and at significant risk of contracting COVID-19 because of age and/or underlying chronic health concerns.
• On October 27, 2020, Council authorized the City Manager to execute extensions of the existing agreements with Red Roof Inn, Inc., Homeward Bound of Western North Carolina, and Axis Security for a 90-day period through February 8, 2021.
• Corporate restructuring at Red Roof Inn has placed the Asheville Red Roof Inn property under the direction of a different management division operating under a different company within their organization, RRI West Management, LLC.
• Therefore, an agreement with the new corporate entity is now required.
• RRI West Management, LLC has agreed to honor all the terms and conditions in the original agreement made with Red Roof Inn, Inc. executed in May 2020. Committee(s):
• None Pro(s):
• Continues the successful operation of the existing expanded COVID-19 homeless shelter.
• Allows for additional time to effect housing placement for shelter occupants.
• Addresses public health and safety.
• Non-congregate motel shelter, essential operations, and security costs are eligible for FEMA reimbursement. Con(s):
• Potential damages incurred at the motel are not eligible for reimbursement from FEMA.

Fiscal Impact:

• The additional $274,536 in funding requested for an additional 90-day period through February 8, 2021 was previously approved by Council via Budget Ordinance Amendment 4833 on October 27, 2020.
• No additional funding is being requested.
• Staff anticipates full FEMA reimbursement for these expenses. Motion(s):
• Motion to adopt a resolution to authorize the City Manager’s execution of a Memorandum of Understanding with RRI West Management, LLC to provide 60 rooms from November 9, 2020, through February 8, 2021 at the Red Roof Inn Asheville at a cost not to exceed $274,536.

Background:

• To improve efficiency, it is recommended that the City Council consider delegating authority to the City Manager to acquire interests in real property on behalf of the City up to the amount of $90,000 under certain circumstances.
• This delegation would be consistent with the City’s contracting process, where the City Manager has already received a delegation of authority to execute contracts for goods and services on behalf of the City up to $90,000.
• If approved, the Manager would be authorized to acquire interests in real property when the following additional two conditions are met:
• The City’s Chief Financial Officer confirms that sufficient funds are available to pay for the cost of the real property interest, and
• The City Attorney’s Office has reviewed and approved the form of the documents by which the real property interest is acquired.
• Due to the $90,000 cap, this authority will most commonly be used to acquire easements or segments of right-of-way in conjunction with City projects.
• For purposes of clarity, the proposed Resolution will further ratify all previous easement acquisitions. Committee(s):
• None Pro(s):
• Will allow the City to more quickly and efficiently obtain easements or other minor property interests when necessary to complete City projects, including capital projects. Con(s):

None Fiscal Impact:

• No direct impact.

Background:

• At the beginning of the COVID-19 pandemic, State and Local emergency declarations required that certain non-essential businesses close in order to curb the spread of the disease.
• As businesses have been allowed to re-open, State and Local emergency declarations have required that some operate at reduced capacities, typically expressed as a certain percentage of their maximum occupancy under the North Carolina Fire Prevention Code.
• In the course of preparing to enforce occupancy limitations set forth in State and Local emergency declarations, City staff has identified a need to amend the penalties it imposes for violations of the occupancy limits under the North Carolina Fire Prevention Code.
• As revised, a first violation of the occupancy limits of the North Carolina Fire Prevention Code would be punishable by a warning and/or a $50 fine, a second by a $100 fine, and third or subsequent violations punishable by a $500 fine and/or by the Fire Marshal ordering the evacuation of a building, premise, or portion thereof to abate the overcrowded condition. Committee(s):
• None Pro(s):
• Allows for escalating penalties based on repeated violations of the North Carolina Fire Prevention Code. Con(s):
• None noted.

Fiscal Impact:

• None; any fines imposed would be paid to the school system pursuant to Article IX Section 7 of the North Carolina Constitution.

Mr. Paul D’Angelo, Community Development Program Manager said that this is the consideration of a request by Bryson Investment Group LLC to utilize a Housing Trust Fund Loan of $1.2M to construct 12 affordable single family condominiums on property located at Arline Henry Way in West Asheville. Background:

• The Bryson Investment Group LLC, consisting of Kyle Henry and Tyler San Souci, Local Developers, has proposed the development of 12 single family condominiums available to be sold to individuals and families at or below 80% of the Area Median Income (AMI) on a 0.5 acre parcel to be constructed on Arline Henry Way (PIN #9638-52-5112) in the City of Asheville.
• All 12 homes are intended to be at one and two bedrooms
• six
• one Bedrooms at 803 sq. ft. and six
• two bedrooms at 979 sq. ft.
• In 2017, this lot was purchased by Ground Floor Properties, consisting of Kyle Henry, Tyler San Souci & Aaron Palmer, to be developed in partnership with the Bryson Investment Group LLC.
• Plans were submitted to the City of Asheville to develop 12 condominiums on this site the end of September 2020.
• Due to the size of this development, it does not require zoning approval by City Council.
• Water and sewer is available on the property.

Proposal:

• The developer seeks a loan of $1,200,000 from the City’s Housing Trust Fund (HTF).
• Bryson needs this funding, $100,000 per home, to construct the homes for a total of 12 single family condominiums.
• The construction will be a modular build with a partnership with Cardinal Homes out of Virginia.
• Bryson / Ground Floor Properties is committing the property, estimated at $450,000, as collateral.
• Bryson proposes to borrow $1.2M over a period not to exceed 18 months at 1% annual interest rate, with no payments due until the sale of each home or 24 months, whichever comes first.
• Units will be made available to qualified affordable individuals and families with a sale price of approximately $199,000 for the 1 bedrooms and $239,000 for the 2 bedrooms, a sales figure that falls within the pricing for individuals and families at an annual 80% AMI.
• The developer, with staff assistance, will attempt to find buyers below 80% AMI that can qualify for these 12 homes with the help of local or national Down Payment Assistance Programs.
• The homes will come with a deed restriction of affordability for 10 years, meaning if the home is sold within that time period, the owner will sell it to another income qualified family at or below 80% AMI.
• Please note
• if approved, this project will be subject to the City's underwriting process and further due diligence.
• Additional documents will be required and verified prior to loan closing.
• No loans will be disbursed until all requirements are met. Committee(s):
• HCD
• November 17, 2020
• 2-1 approval to move to City Council with Councilwoman Young voting no/not recommending to move to Council. Pro(s):
• The project produces 12 homes for individuals and families at or below 80% AMI at a location ½ mile from Haywood Road in West Asheville, with good access to transit and essential services.
• The Bryson Investment Group is a local developer with over 10 years of experience building in the Asheville Market.
• Working with Bryson demonstrates the City of Asheville’s commitment to working with more developers, including for-profit developers and infill developers, to be a part of the solution to affordable housing, both rental and homeownership.
• Affordable homes sold to individuals or families at or below 80% AMI at a sales price that better aligns with the incomes and wages produced in Asheville allows residents to have an opportunity to build wealth with homeownership.
• HTF loans for homeownership allow the funds to be paid back much quicker, at either the sale of the home, or a limited time period like two years. Con(s):
• Loan amount per unit is above the Housing Trust Policy’s recommendation of $20,000 per unit.
• The affordability period is only 10 years.
• Loan amount requests a 1% interest rate, which is less than the Housing Trust Fund Policy’s recommendation of 2% interest on all loans except those given special terms.

Fiscal Impact:

• Approval of this loan request will leave approximately $600,000 remaining in the HTF for future loans. Mr. D'Angelo explained what 80% Area Median Income is and the several categories of individuals who would qualify for this housing project. Mr. Aaron Palmer, real estate broker and part of the development team, said that Pineview Place is an affordable housing project that will provide home ownership to the people who need it the most. The target population is to provide a home ownership opportunity to individuals and families that are at 80% of the Area Median Income. This will be modular construction, which means a quick build time with the ability to provide home ownership within 6 months of beginning construction. Kituwah Manufacturing, the modular company, is owned by the Cherokee Nation out of Cherokee, N.C. The main focus of Kituwah Manufacturing (d/b/a Cardinal Homes) is to provide affordable housing for their tribe’s elders and others in the community who need it most. Mr. Kyle Henry, general contractor, showed a sketch of a classic Montford style home, with a new age west Asheville flair. This project is a true infill development and conforms to development services of the zoning ordinance. He then explained the floor plans. Mr. Palmer said that the project is centrally located only ½ mile to Haywood Road, less than a mile walk to Carrier Park and less than ½ mile walk to a public bus line on Hanover Street. They have listened to the community regarding traffic; additioning additional land; the style of building design (working closely with the Development Services Department); curb appeal to have a landscaping buffer; and condo setup to include a low monthly fee that covers items such as water, sewer and maintenance of the property. He explained the build time is expected to be 4-6 months. The proposed payback at the sale of each unit will be at a predetermined amount. The 18 month loan is with a 24 month payback period at the maximum timeframe. In summary, they are targeting 80% AMI; deed restricted for up to 10 years at 80% AMI; one bedroom price is $199,000; two bedroom price is $239,000; down payment assistance potentially provided by the City of Asheville along with other bank and mortgage lenders; local mortgage lenders such as Prime Mortgage can help provide financing; local outreach with other local organizations such as Mountain Housing Opportunities, OnTrack and Asheville-Buncombe Community Land Trust; and commitment to working closely with Community Development Division. It is their hope to provide this type of project on other infill parcels in the City of Asheville in order to provide affordable housing to the community with the 5-50 Program, which is their goal to provide 50 similar homes over the next 5 years. Mr. D’Angelo responded to several questions/comments from Council, some being, but are not limited to: are any of our old Housing Trust Fund loans being repaid back and are there update to the Housing Trust Fund figures at the City Council Housing & Community Development Committee meetings; distinguish the difference between when there is City-owned land for affordable housing vs. dealing with private developers; can the City’s Down Payment Assistance Program help people get into these units; is the City working with the developer to partner with other organizations that have down payment assistance programs, i.e., Habitat, Mountain Housing Opportunities, Asheville-Buncombe Community Land Trust; are condo fees taken into account in the price of the units; and can we connect the City’s Minority Business Program Manager with the developer. From advanced live call-ins, 6 individuals spoke regarding this item, some comments being, but are not limited to: concern that the City is loaning money to developers who will make money off a project when we should put money towards free housing for homeless; how does the City determine who gets a Housing Trust Fund loan; is there a way to guarantee people of color are invited and helped to get into these units; assessment of equity should be included in all staff reports; equity can’t be achieved until there are structures in place to address the inequities in our community; this should be reviewed by the Office of Inclusion; period of affordability should be extended more than 10 years; and no sign of reparations in the loan or the project. Mr. D’Angelo responded to Councilwoman Kilgore when she asked if the project affordability could be in perpetuity. In response to Councilwoman Turner if in the future we might match the interest rate with the number of years in the loan, Mr. D’Angelo said that the Housing Trust Fund policy is beginning to be updated and once complete, it will come to Council for approval. Mayor Manheimer said that members of Council have been previously furnished with a copy of the resolution and it would not be read.

Vice-Mayor Smith, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing members to the Homeless Initiative Advisory Committee (HIAC). The terms of Charles Rosenblum, Elvia Diaz and James Hartye expired on November 1, 2020. The following individuals applied for the vacancy: Laura Kirby, John Magee, Sara Coplai, Jason Desai and Sarah Rick. Boards & Commissions Committee recommended reappointing Elvia Diaz (homeless or formerly homeless representative) and appointing Sara Coplai and Jason Desai.

Vice-Mayor Smith, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing members to the Multimodal Transportation Commission. Kim Roney (transit representative) has resigned as a member of the Multimodal Transportation Commission, thus leaving an unexpired term until July 1, 2021. David Nutter (greenway representative) and Lisbeth Medlock (transit representative) have resigned, thus leaving two unexpired terms until July 1, 2022. In addition, the terms of Rich Lee (at-large representative), and Patricia Katz (at-large representative) expired on July 1, 2020. The following individuals applied for the vacancy: Sandy Aldridge, Kristen Goldsmith, John Bausone, Marty Shults, Michael G. Waddle, Lydia Buehrer, Joseph Chester, Maggie Ullman and Bill Loftis. On August 25, 2020, it was the recommendation of the Chair of the Multimodal Transportation Commission, recommendation of the Boards & Commissions Committee, and consensus of Council to re-advertise for the vacancies. On September 22, 2020, at the recommendation of the Multimodal Transportation Commission, it was the consensus of City Council to readvertise and allow the Commission time to review applications and make a recommendation. The Multimodal Transportation Commission recommended, and the Boards & Commissions Committee concurred, to reappoint Patricia Katz (at-large representative); appoint John Bausone and Michael Waddle as transit representatives; appoint Lydia Buehrer as a greenway representative; and readvertise for the at-large representative.

Vice-Mayor Smith, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Neighborhood Advisory Committee. The terms of Philip Lenowitz (28804 representative) and Barber Melton (28805 representative) expired on July 1, 2020. The following individuals applied for the vacancy: Damita Jo Wilder, Bonnie Snyder Hanrick, Sharon Sumrall and Peter Abzug. On September 22, 2020, and October 27, 2020, at the recommendation of the Neighborhood Advisory Committee, it was the consensus of City Council to readvertise for the 28804 and 28805 seats. Because no one was eligible for the 28804 seat, the Neighborhood Advisory Committee, and the Boards & Commissions Committee recommended appointing Sharon Sumrall (28805 representative) and re-advertising for the 28804 seat.