City Council regular meeting — April 11, 2023

Background:

• The Water Resources Department submitted an application to NC-Department of Environmental Quality
• Division of Water Infrastructure in the Spring of 2022 for funding of a pre-construction study.
• The City/department was awarded a $400,000 APRA grant to fund said study.
• Climate change has produced unusual effects on the quality of raw water available at both the Burnett and Bee Tree Reservoirs.
• Changes in raw water quality can happen quickly during significant weather events.
• The NC Public Water Supply has encouraged all direct filter treatment plants to investigate improvements that would help meet EPA and State Dept. of Environmental Quality rules and regulations.
• North Fork and Wm. DeBruhl are both direct filtration water treatment plants.
• Although a budget amendment in the amount of $400,000 to accept grant funding from the NC Department of Environmental Quality
• Division of Water Infrastructure was approved on October 23, 2022, the requirements of the award state that the City Council needs to approve a resolution that specifically addresses the grant.

Vendor Outreach Efforts:

• n/a Committee(s):
• n/a Pro(s):
• Acceptance of the grant will provide a cost savings that can be used to accomplish other scheduled improvement projects.
• Study will provide guidance on further optimizing current techniques for the treatment process.
• Study will provide guidance documents to assist staff with real-time decision making when raw water quality is low.
• Study will investigate treatment alternatives and recommend two for further consideration and pilot-study.
• All data, recommendations, and guidance would assist the plants in complying with future State and EPA regulations. Con(s):
• Without conducting this study the City / Water Resources risks having to temporarily close a treatment plant during significant low raw water quality.
• Limiting production due to significant low raw water quality may require unplanned mandatory water conservation measures for our customers.

Fiscal Impact:

• The cost of the study, estimated to be $407,695 will primarily be funded via a grant awarded by NCDEQ-Division of Water Infrastructure (utilizing state ARPA funds).
• Grant funding totals $400,000, and the remaining $7,695 has been identified within the current Water Resources capital budget.

Background:

• Climate change has produced unusual effects on the quality of raw water available at both the Burnett and Bee Tree Reservoirs.
• Changes in raw water quality can happen quickly during significant weather events.
• The NC Public Water Supply has encouraged all direct filter treatment plants to investigate improvements that would help meet EPA and State Department of Environmental Quality rules and regulations
• North Fork and Wm. DeBruhl are both direct filtration water treatment plants.

Vendor Outreach Efforts:

• A qualifications based selection process was used.
• Three (3) consulting firms submitted Statements of Qualifications for the North Fork & Wm. DeBruhl Treatment Study and Plant Improvements (298-WTPTreatmentStudyFY23).
• After evaluation of the Statements of Qualification, review of references and past projects, CDM Smith was the firm selected due to their expertise in areas of water treatment plant construction and upgrades. Committee(s):
• n/a Pro(s):
• Study will provide guidance on further optimizing current techniques for the treatment process.
• Study will provide guidance documents to assist staff with real-time decision making when raw water quality is low.
• Study will investigate treatment alternatives and recommend two for further consideration and pilot-study.
• All data, recommendations, and guidance would assist the plants in achieving future State and EPA regulations. Con(s):
• Without conducting this study the City / Water Resources risks having to temporarily close a treatment plant during significant low raw water quality.
• Limiting production due to significant low raw water quality may require unplanned mandatory water conservation measures for our customers.

Fiscal Impact:

• The cost of the study, estimated to be $447,695 which contains a $40,000 contingency, will primarily be funded via a grant awarded by NCDEQ-Division of Water Infrastructure (utilizing state ARPA funds).
• Grant funding totals $400,000, and the remaining $47,695 has been identified within the current Water Resources capital budget.

Background:

• The Mellon Foundation has invited the City to apply for up to $3,000,000 in grant funds from their Monuments Project Initiative; the grant deadline is April 27, 2023.
• The grantor requested the City and County partner on three work areas (outlined below) identified by the community in the Pack Square Plaza Visioning Project community engagement process.
• The target public release date to start review of the plan is April 17, 2023; Council consideration to adopt is targeted for June 27, 2023.
• Grant funds would be used to:
• Design and engineer 100% construction drawings for the former Vance Monument site and the surrounding plaza;
• Design and construct a gateway corridor on S.Market Street to connect Pack Square and The Block;
• Improve and expand programming, education and training that result in more diverse and inclusive historical narratives (primarily led by Buncombe County).
• Grant awards will be announced in June 2023; the term of the grant is approximately two years. Committee(s):
• Asheville Downtown Commission
• March 10, 2023
• Unanimous support
• Planning & Economic Development Committee of City Council
• March 13, 2023
• Unanimous support (2-0) to apply for grant Pro(s):
• Provides an alternative revenue source for City activities
• Supports the City’s ability to implement plans in a timely manner Con(s):
• None

Fiscal Impact:

• If awarded, the grant will fund design costs for future capital projects. Although funding for construction of these projects has not been identified, staff will work to assess City funding capacity and identify other funding opportunities as part of capital budget development.
• Future construction funding from the Mellon Foundation is possible.
• Matching funds are not required for this grant.

Background:

• The City’s Fire Department identified one (1) 1992 International Fire Pumper Truck; and the Stormwater Division of the Public Works Department identified one (1) 2006 Sterling Vac-Con Truck as surplus personal property, with no anticipation of future utilization by the City.
• Both vehicles are expected to sell for more than $30,000 each.
• All bids are solicited through GovDeals online auction.
• Pursuant to N.C.G.S. §160A-266, the Sale and Disposal of Personal Property valued at $30,000 or more must be approved by the City Council.
• The City’s Purchasing Manager has authority to dispose of personal property valued at less than $30,000 by private negotiation and sale.

Vendor Outreach Efforts:

• Not Applicable Committee(s):
• None Pro(s):
• Prudent asset management
• Space utilization eliminates the need to store large, unused equipment
• Competitive process yielded market price Con(s):

None Fiscal Impact:

• The vehicles are fully depreciated.
• The General Fund will recognize the revenue from the sale of the Fire Truck; and the Stormwater Enterprise Fund will recognize the revenue from the sale of the Vacuum Truck.
• Estimated revenue from the sale of fixed assets is already included in the adopted budget.

Background:

• The main scope of the project is the resurfacing of 14 street segments on 13 streets for a total of 6.0 miles. Also included will be repairs to the concrete sidewalk and ADA improvements.
• An inventory of the streets was provided.
• The contract was advertised on February 6, 2023 and bids were opened on March 2, 2023.
• The following bids were received: Tarheel Paving and Asphalt, Inc. of Hendersonville, NC $2,329,446.76 French Broad Paving, Inc. of Marshall, NC $2,415,082.75 JLS Company, LLC of Skyland, NC $3,170,754.10 Bryant’s Land and Developments Industries, Inc. of Burnsville, NC $3,469,462.58 Rogers Group of Nashville, TN $5,186,539.61
• The contract is expected to be available on May 1, 2023, and the contractor has until December 15, 2023 to complete the work.

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.
• Staff also checked the NC Historically Underutilized Business and NCDOT MWBE databases for potential contractors.
• Only one company from an identified disparity group (Black American) was found in the ten-county area and staff directly contacted that company.
• The company did not submit a bid.
• Two women-owned businesses were also directly contacted and one submitted a bid.
• Two woman-owned companies will be operating as subcontractors on the project. The two WBE companies are Appalachian Paving and Concrete of Swannanoa, NC, and New Dimensions of Fletcher, NC.
• Tarheel Paving anticipates expending 18.0 percent of the total dollar amount of the contract with these companies. Committee(s): None Pro(s):
• The award of this contract will resurface 6.0 miles of City streets. Con(s):
• This construction work, although performed via a contractor, will also use City staff administrative time to ensure the work is properly performed.

Fiscal Impact:

• Funding for this contract was previously budgeted and is available in the General Capital Projects Fund.

Background:

• The Tempie Avery Montford Community Center has a failing boiler that is well beyond its useful life expectancy and needs to be replaced.
• The existing gas boiler will be replaced with two modern, efficient boilers that will provide reliable and consistent service to the facility
• The City advertised Bid 298-CP23-B2205-BID for the Tempie Avery Montford Center Boiler Replacement on February 8, 2023.
• Bids were received on March 14, 2023 from the following:
• Bolton Construction and Service of WNC, Inc: $117,775 base bid plus Alternates 1 & 2a
• Haynes Industrial: $165,794 base bid plus Alternates 1 & 2a
• Pyatt Heating and Air: $145,279 base bid plus Alternates 1 & 2a
• Bolton Construction and Service of WNC, Inc.was determined to be the lowest responsive and responsible bidder.
• Recommendation of award to Bolton Construction and Service of WNC, Inc. is for the base bid of $115,075; Bid Alternate #1 in the amount of $0.00; and Bid Alternate #2a in the amount of $2,700.

Vendor Outreach Efforts:

• Staff performed outreach to minority owned businesses through solicitation processes which include posting on the State’s Interactive Purchasing System and requiring prime contractors to reach out to Minority-Owned Business Enterprise (MBE) service providers for subcontracted services.
• Bolton Construction and Service of WNC, Inc is not a Minority-Owned Business Enterprise.
• No MBE firms submitted bids with this prime contractor.
• Outreach documentation was reviewed by City staff to confirm compliance with the City’s Business Inclusion Policy. Committee(s):
• None Pro(s):
• The bid is under budget. The pre-bid engineer’s estimate was $140,000.
• Maintenance time and expense will be greatly reduced with the installation of the new boilers.
• The new equipment is cleaner and more energy efficient than the existing boiler.
• The new dual boiler system allows for one unit to be serviced while the other continues to provide heat to the facility. Con(s):
• While more efficient, the new gas boilers are still fossil-fuel dependent.
• An analysis of gas versus electric systems found a fully electric HVAC system at this facility to be cost prohibitive.

Fiscal Impact:

• Funding for this contract was previously budgeted and is available in the General Capital Projects Fund.

147(f) OF THE INTERNAL REVENUE CODE Background:

• The Asheville Housing Authority was created by the City of Asheville in 1940 in accordance with Chapter 157 of the NC General Statutes.
• It is a public body and is independent from the City with its own powers as outlined in North Carolina General Statute Chapter 157.
• The Housing Authority is governed by a Board of Commissioners, consisting of 7 members, who serve for a 4 year term and are appointed by the Mayor of the City of Asheville.
• The Internal Revenue Service requires that any bonds issued by the Housing Authority for developments such as the one described herein, have the financing plan approved by the City Council, following a public hearing with respect to such plan.
• Laurel Wood VOA Affordable Housing , LLC (the “Borrower”) has requested that the Asheville Housing Authority (the “Issuer”) issue up to $11,855,000 in multifamily housing revenue bonds for the acquisition and rehabilitation of a 51-unit affordable rental development for seniors known as Laurel Wood Apartments and the construction of 54 additional, affordable units on the site to become part of Laurel Wood Apartments located at 650 Caribou Road in Asheville, a 14.72 acre parcel identified as PIN 9657-10-3768 in the Buncombe County Registry.
• The existing 51 units are all one-bedroom and are located within one building that was built in 1999.
• The 54 new units will be located in a new building to be constructed on site and will include 42 one-bedroom units and 12 two-bedroom units.
• All 105 units in the development will be rent and income restricted at 40,50,60 and 80% of area median income.
• The new affordability period will be at least 30 years.
• The property has been well maintained and managed by National Housing Corporation “NHC” (a wholly owned subsidiary of Volunteers of America National Services “VOANS”); the new owner will be a subsidiary of VOANS.
• Construction is scheduled to commence in July 2023 and has an expected completion date of December 2024.
• Staff notes that approval does not obligate the City in any way to issue or pay for the bonds, or for any debt taken on by the developer.
• The Asheville City Council previously approved a $1.5 million Housing Trust Fund loan with 2% interest deferred for a period of 30 years for this project at their September 27, 2022 meeting.

Council Goals:

• Quality Affordable Housing Pro(s):
• 51 units of affordable senior housing will be preserved and renovated and 54 additional affordable senior housing units will be constructed.
• The new affordability period will be at least 30 years. Con(s):
• None.

Fiscal Impact:

• This action requires no City resources and has no fiscal impact.

This item was removed from consideration at this meeting in order for it to be reviewed by the Multimodal Transportation Commission. Mayor Manheimer asked for public comments on any item on the Consent Agenda, but received none. Mayor Manheimer said that members of Council have been previously furnished with a copy of the resolutions and ordinances on the Consent Agenda and they would not be read.

This item was removed from consideration at this meeting in order for it to be reviewed by the Multimodal Transportation Commission. Mayor Manheimer asked for public comments on any item on the Consent Agenda, but received none. Mayor Manheimer said that members of Council have been previously furnished with a copy of the resolutions and ordinances on the Consent Agenda and they would not be read.

Principal Planner Will Palmquist said that this is the consideration of an ordinance to approve an annexation agreement between the City of Asheville and Town of Woodfin designating three non-contiguous parcels desiring to annex into Woodfin as not subject to annexation by the City of Asheville. This public hearing was advertised on March 31, 2023. Background:

• The Town of Woodfin has received a petition from property owner, Deva Bhumi, LLC, to voluntarily annex a 96.15 acre +/- property located at 810 Elk Mountain Scenic Highway (1 parcel) and 99999 Mundy Cove Road (2 parcels) identified in the Buncombe County tax records respectively as PINs #9751-97-3287, 9751-97-3475, and 9751-97-5245, all of which are non-contiguous to the primary corporate limits of both Asheville and Woodfin (the “Property”).
• This Property is adjacent to the Sourwood Inn property, for which an Annexation Agreement was approved in November 2022. Deva Bhumi, LLC is now the owner of that property as well.
• N.C. Gen. Stat. sec 160A-58.1 permits a city/town to annex a non-contiguous area; however, if the area is closer to the primary corporate limits of another city/town than it is to the corporate limits of the city/town that is being asked to annex, then there must be an annexation agreement between the two municipalities which states that the city/town whose corporate limit is closer, will not seek to annex this area.
• It has been determined that the property for which annexation is requested is closer to the primary corporate limits of the City of Asheville than it is to the primary corporate limits of the Town of Woodfin, and therefore, the two municipalities would need to enter into an Annexation Agreement before Woodfin could consider the requested annexation.
• N.C. Gen. Stat. sec. 160A-58.23 authorizes cities/towns to enter into Annexation Agreements as long as they are of reasonable duration not to exceed 20 years and they are approved by ordinance of the governing board of each municipality.
• The State Legislature repealed the ability of municipalities to involuntarily annex in 2011, so the City does not have the ability to annex this property involuntarily.
• However, voluntary annexation (request by a property owner to be annexed) is still permissible and the process for voluntary annexation of noncontiguous areas remains unchanged and requires an annexation agreement. Committee(s):
• None Pro(s):
• The Annexation Agreement between the City and the Town of Woodfin would allow Woodfin to annex the non-contiguous Property as requested by the property owner.
• The request to enter into an annexation agreement is a necessary step in order to be responsive to the petitioner’s request for voluntary annexation. Con(s):
• None noted.

Fiscal Impact:

• This action requires no City resources and has no fiscal impact. Mr. Palmquist reviewed the location and imagery maps. Some background information includes: (1) The Town of Woodfin has received a petition from property owner, Deva Bhumi, LLC, to voluntarily annex a 96.15 acre +/- property, located at 810 Elk Mountain Scenic Highway (1 parcel) and 99999 Mundy Cove Road (2 parcels); (2) The Property is adjacent to the Sourwood Inn property, for which an Annexation Agreement was approved by City Council in November 2022. Deva Bhumi, LLC is now the owner of that property; (3) The property is non-contiguous to the primary corporate limits of both Asheville and Woodfin; (4) N.C. Gen. Stat. sec 160A-58.1 permits a city/town to annex a non-contiguous area; however, if the area is closer to the primary corporate limits of another city/town than it is to the corporate limits of the city/town that is being asked to annex, then there must be an annexation agreement between the two municipalities which states that the city/town whose corporate limit is closer, will not seek to annex this area; (5) It has been determined that the property for which annexation is requested is closer to the primary corporate limits of the City of Asheville than it is to the primary corporate limits of the Town of Woodfin, and therefore, the two municipalities would need to enter into an annexation agreement before Woodfin could consider the requested annexation; (6) N.C. Gen. Stat. Sec. 160A-58.23 authorizes cities/towns to enter into annexation agreements as long as they are of reasonable duration not to exceed 20 years and they are approved by ordinance of the governing board of each municipality; (7) The State Legislature repealed the ability of municipalities to involuntarily annex in 2011, so the City does not have the ability to annex this property involuntarily; and (8) However, voluntary annexation (request by a property owner to be annexed) is still permissible and the process for voluntary annexation of non-contiguous areas remains unchanged and requires an annexation agreement. The pros are that the annexation agreement between the City and the Town of Woodfin would allow Woodfin to annex the non-contiguous property as requested by the property owner; and the request to enter into an annexation agreement is a necessary step in order to be responsive to the petitioner’s request for voluntary annexation. Staff recommends Council adopt an ordinance approving an annexation agreement with the Town of Woodfin designating the 96.15 +/- acre Property as described herein, a non-contiguous area, as not subject to annexation by the City of Asheville. Mayor Manheimer opened the public hearing at 6:04 p.m., and when no one spoke, she closed the public hearing at 6:04 p.m. Mayor Manheimer said that members of Council have been previously furnished with a copy of the ordinance and it would not be read.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Alcoholic Beverage Control Board. Sharon West has resigned as a member of the Alcoholic Beverage Control Board, thus leaving an unexpired term until November 13, 2023. The following individuals applied for the vacancy: David Angelus, Clifford Feingold, William Kop, Charles Triber and Reah Lidowski. The Chair of the Alcoholic Beverage Control Board recommended, and the Boards & Commissions Committee concur, to appoint Charles Triber.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing members to the Audit Committee. Amy Kemp (CPA seat) resigned as a member of the Audit Committee, thus leaving an unexpired term until May 1, 2024. In addition, the term of W. Scott Powell expires on May 1, 2023. The following individuals applied for the vacancy: Nate Hathaway, Simon Lee Karpen and Sandra Frempong. The staff of the Audit Committee recommended, and the Boards & Commissions Committee concurred, to appoint Nate Hathaway and Sandra Frempong.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Civil Service Board, which has no term limits. The term of Carol Goins, as a member of the Civil Service Board, expires on May 21, 2023. No individual applied for the vacancy. The Boards & Commissions Committee recommended reappointing Carol Goins.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing members to the Mountain Community Capital Fund. The terms of Dee Williams and Carl Alguire, as members on the Mountain Community Capital Fund, expired on April 1, 2023. The following individual applied for the vacancy: John Appleby. Staff liaison to the Mountain Community Capital Fund recommended, and the Boards & Commissions Committee concur, to appoint John Appleby and reappoint Mr. Alguire.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Neighborhood Advisory Committee. Lucious Wilson has resigned as the 28806/28728 representative on the Neighborhood Advisory Committee, thus leaving an unexpired term until July 1, 2025. The following individual was the only one who applied for the 28806/28728 zip code: Moira Balangue. The Chair of the Neighborhood Advisory Committee Committee recommended, and the Boards & Commissions Committee concur, to appoint Moira Balangue.