City Council regular meeting — May 14, 2024

Background:

• UNCA’s Campus Police have expressed a desire to extend their jurisdiction beyond the campus borders, primarily to allow them to patrol and enforce North Carolina law at apartment complexes close to campus primarily occupied by students. This would reduce pressure on the APD to respond to calls in this area.
• Under North Carolina law, the Board of Trustees of any constituent institution of The University of North Carolina, may enter into joint agreements with the governing board of any municipality to extend the law enforcement authority of campus police officers into any or all of the municipality's jurisdiction and to determine the circumstances in which this extension of authority may be granted.
• UNCA’s Board of Trustees has passed a resolution authorizing the extension.

Vendor Outreach Efforts:

• N/A Committee(s):
• Environment & Safety Committee
• April 23, 2024
• 3-0 approval Pro(s):
• Continued partnership with the University provides an opportunity to provide extended police service to the surrounding area of the University.
• University officers can provide police assistance to the Asheville Police Department outside of its regular jurisdictional boundaries. Con(s):

None Fiscal Impact:

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

Mayor Manheimer said that the public hearing on this matter was held on April 23, 2024, and no further public comment will be taken. Assistant City Manager Ben Woody briefly reviewed the following staff report for the first reading of an ordinance creating a Downtown Asheville Business Improvement District. “Background:

• The City Council is authorized to establish a Municipal Service District, also known as a “Business Improvement District” (hereinafter referred to as a “BID”) pursuant to N. C. Gen. Stat. 160A-537.
• A BID is utilized in order to finance, provide, or maintain, within the defined district, certain services, facilities, or functions in addition to, or to a greater extent, than those already provided to the entire City.
• A BID may only be established upon a finding by the City Council that the proposed district is in need of one or more of the services, facilities, or functions, as authorized by N.C. Gen. Stat. 160A-536, to a demonstrably greater extent than the remainder of the city.
• North Carolina law requires the City Council to hold a public hearing on the BID, and provide a report containing (1) a map of the proposed district, showing its proposed boundaries; (2) a statement showing that the proposed district meets the legal standards; and (3) a plan for providing in the district one or more of the services listed in N. C. Gen. Stat. 160A-536.
• In Spring 2023, the Asheville Area Chamber of Commerce (Chamber) began working with downtown stakeholders to address their concerns around services, safety, and cleanliness.
• The Chamber contracted with Progressive Urban Management Associates (P.U.M.A.) to conduct a BID Feasibility Study and to prepare the required BID Operational Plan Report for Downtown Asheville.
• On March 21, 2024, the Chamber submitted the BID Operational Plan Report to the City, and public notice has been provided to all property owners within the proposed BID that the report is available for public inspection for a period of four weeks, and that a public hearing on the BID will be conducted on April 23, 2024.
• The City Council held a public hearing on April 23, 2024. At that meeting, over 60 people spoke at hearing on this matter.
• The BID must be voted upon twice by the City Council. The first reading will occur on May 14, 2024, and the second and final reading is scheduled for June 11, 2024.
• The initial Ordinance to be considered by Council will be limited to establishing the BID, and setting the applicable BID tax rate. The governance structure for the BID may be determined separately, even at a later date but prior to the implementation of BID service delivery.

Vendor Outreach Efforts:

• n/a Committee(s):
• Downtown Commission: 3/22/2024 received presentation.
• Downtown Commission: 4/26/2024
• a motion to recommend support of City Council implementing the BID map and tax district as currently proposed with conditions specific to BID implementation failed 4-4. The following were conditions included in the motion:
• Additional public input on the Request for Proposals (RFP).
• Consider the Downtown Commission as a body for review of the RFP and assisting City Council as desired.
• Consider an open board application process (similar to how the City handles boards and commissions).
• Require a community-wide annual survey to be included in the annual report to ensure greater input on what is prioritized.
• Establish and clarify the training requirements for ambassadors/agents.
• Provide clarity and definitions on the use of arms and level of authority for ambassadors/agents.
• Consider additional programs such as community responders. Pro(s):
• A BID would provide additional funding to meet the demonstrably greater need for certain services, facilities, and functions within the downtown district. Con(s):
• The BID levies an additional property tax upon downtown property owners, and the effect of this may be passed on to tenants and customers.

Fiscal Impact:

• The proposed annual assessment rate is 0.0919 per $100 of taxable value (example: property with taxable value of $500,000 has an annual BID assessment of $459.50).
• The BID proposed services and annual budget include:
• Safety and Hospitality Services: $700,000
• Enhanced Cleaning Services: $300,000
• Contingency: $100,000
• BID Management and Administration: $150,000
• Total BID Budget: $1,250,000” Mr. Woody then said that Business Improvement Districts, also known as municipal service districts, are utilized to provide certain services to an area of the city to a demonstrably greater extent than otherwise provided to the remainder of the city. Municipal service districts are fairly common in North Carolina, with a current total of 66 within the state, providing a range of services that include safety and supplemental cleaning performed by ambassador programs, beautification and placemaking, economic development marketing and branding, and capital projects to name a few. He said that on March 21 of this year, the Asheville Area Chamber of Commerce submitted a BID Operational Plan Report to the city to address stakeholder concerns with services, safety and cleanliness, and to begin the process of Council consideration for the establishment of a downtown BID. The BID operational plan report is provided in the Office of the City Clerk and also as an attachment to the staff report. The City Council held a required public hearing on April 23, during which more than 60 people spoke at the hearing. Under North Carolina law, the BID must be voted on twice by City Council. The first reading is at this meeting, and if the ordinance passes by a majority vote of Council, the second reading will be held on June 11. The ordinance under consideration at this meeting is limited to establishing the BID boundary and setting the applicable BID tax rate for Fiscal Year 2025. A map of the proposed BID boundaries and the ordinance creating a downtown BID is an attachment to the staff report. The Council will have the opportunity to determine governance structure separately at a later date, prior to implementation of BID service delivery. Again, what is before City Council at this meeting is the ordinance that establishes the BID boundary and tax rate, which are based on the Operational Plan Report on file in the City Clerk’s Office and as an attachment to the staff report. City Attorney Branham said that per state law, the proposed ordinance will only establish the bid, by defining the boundaries and setting the initial tax rate. Any additional elements, such as the governance structure, can be dealt with at a later date. There was considerable discussion regarding a possible resolution giving staff direction on what to include in the RFP, if the ordinance creating the district is adopted. The Operational Plan Report developed in March, may need to be updated. The resolution could provide clear direction on the governance structure (including designation of seats and how those seats would be filled), how the BID is managed and by whom; and training criteria for ambassadors. Mayor Manheimer said that at the second reading on June 11, the proposed resolution would be voted on, noting that each of the resolution elements could be voted on separately. She encouraged Council and the community to reach out and give their input. In response to Councilwoman Turner, Mr. Woody also pointed out that we have an internal Downtown Management Task Force and the BID is a topic they talk about regularly. Staff generally supports the BID and are prepared to partner with the group. This is a tool to enhance certain services in a geographic area. If the ordinance passes, state law requires that there be another round of public engagement prior to issuance of the RFP to make sure that we are enhancing the services that truly affect the needs of the property owners and stakeholders in that effort. Councilwoman Roney said “Downtown is our heart, the engine that pumps resources into the whole body of the city, but a heart is only as healthy as a whole body
• and our issues are connected, just like a healthy body requires a healthy heart. We have serious issues facing our whole City, we need to match the right tools to the issue at hand, and today we’re only looking at a BID for the Downtown neighborhood, so I’m going to focus my concern and my position there. The NC school of government notes that cities typically use a BID to “revitalize” or “aggressively market its Downtown Area.” This BID proposal has been organized by our local Chamber of Commerce– it’s focused on “safe and clean services” and compares itself to a mall. Since the issues it purports to address are safety and cleanliness, I’m not going to focus on my issues with details like governance structure, but on these two issues–safe and clean. Issue #1 (brought a screw from home toolbox): Enhanced Safety & Hospitality. True solution: Partner with the County to expand community paramedicine with uniquely-qualified behavioral health and peer support specialists. Start with a dedicated unit for Downtown and plan to grow the program city-wide. Expensive, wrong tool: Uniformed, on-street “ambassadors” that wear yellow vests and don’t have the right tools and training for the serious issues of behavior health, substance use, and homelessness crisis. Issue #2: Enhanced Maintenance. True Solution: Secure living wages for city public works and sanitation staff so they can afford to live in our community, consider a dedicated group for Downtown that prioritizes partnerships. Wrong, expensive tool as pulled from the BID website: New, additional staff for sidewalk sweeping, spot cleaning, litter removal, and landscaping. It’s extra expensive because this BID uses third-party management instead of the City providing services in house. Zoom out: Who pays and who benefits? We’re looking at four tax increases in two years
• BID, Bonds, County tax revaluation, and pending City tax increase to address the issue that our expenses are outpacing our revenue–it’s coming this year or next. Deeply-concerned that investing in the wrong tools by raising taxes for a BID will disproportionately burden commercial and residential renters while we still don’t have the right tools for the issues facing our community. We’re dipping into our fund balance savings this year, so staff vacancies and ensuring base-level services will continue to be an issue while this BID appears to limit the City from identifying resources for living wages. We’ll be right back here next year with the same or worse issues but without the right tool. But we'll have tied up our resources in taxing Downtown while leaving a gap, and I'm not okay with that. That's why I'm not supporting the BID as it's drafted today." Councilwoman Ullman, along with Councilwoman Turner, said that the BID will come to City Council every year to set the tax rate, and if it is determined the BID is not working, it can be dissolved by zeroing out the tax. Councilwoman Roney noted that Council has received a petition with over 900 signatures outlining some concerns. For her, what she heard in the conversation today was that this could support entrepreneurs, she was not sure how entrepreneurs will be able to afford the increased rent with the BID. She was worried about the privatization aspect because she heard they don’t want change, they want local businesses and want to support local, but the chains will be the only businesses that can afford to be in our downtown if there is a BID. Mayor Manheimer said that members of Council have previously received 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 African American Heritage Commission.. Sherree Lucas and Diamond Sloan Couch have resigned as members of the African American Heritage Commission, thus leaving two unexpired terms

• July 1, 2024, and July 1, 2025. The following individual applied for the vacancy: Alfred Green The Chair of the African American Heritage Commission recommended, and the Boards & Commissions Committee concurred, to appoint Alfred Green and to re-advertise for the other vacant seat.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Human Relations Commission.. The terms of Harvey Dean Harold, Nnweyna Smith and Alma Atkins, as members of the Human Relations Commission, expire on June 1, 2024. In addition, Jack Hoda has resigned as a member of the Human Relations Commission, thus leaving an unexpired term until June 1, 2025. Also, Candace Blanchard has resigned, thus leaving an unexpired term until June 1, 2025. The following individuals applied for the vacancies: Carl Falconer, Alena Klimas, Bethany Vance, Danie Johnson and Willa Grant. The Chair of the Human Relations Commission recommended, and the Boards & Commissions Committee concurred (not by majority), to reappoint Harvey Harold, Nnweyna Smith, Alma Atkins; appoint Carl Falconer and Bethany Vance.

Background:

• Mills River Water Treatment Plan Miscellaneous Plant Improvements (Rehabilitation) project
• Phase 2
• Aspects of the project include: additional off-stream storage; third wastewater lagoon; additional finished water storage; replacement of several bulk chemical storage tanks and associated equipment; replacement of filter controls; replacement of mixers, flocculators, and various transferring pumps; and updating all lighting for more energy efficiency
• The City applied for an ARPA construction grant through the North Carolina Department of Environmental Quality
• Division of Infrastructure during the Spring 2022 application process.
• The City was notified in the Fall of 2022 that the request was accepted and could receive $5,000,000.
• The City has completed all intermediate steps in the grant process.
• The next step requires the City Council to pass a resolution officially accepting the funding.
• The additional debt needed has been included in rate modeling for the Water Fund. Vendor Outreach Efforts: n/a Committee(s):
• n/a Pro(s):
• Acceptance will allow for other capital improvements projects to proceed. Con(s):
• n/a

Fiscal Impact:

• This grant was previously budgeted in the Water Resources Capital Projects Fund.

Background:

• The scope of work for this project includes the installation of approximately 6,650 LF of 12-inch ductile iron pipe and other miscellaneous water system components including service connections and other appurtenances located along McDowell St and Short McDowell St between Southside Ave and Meadow Road.
• The proposed project will replace existing cast iron water lines installed in the late 40’s and early 50’s, which have been identified as a need through a prioritization and master planning process, due to age, pipe failures and future water capacity needs.
• On February 21, 2024, the Water Resources Department (WRD) issued an advertisement for bids for WDP-1 Phase 2: McDowell Street Water System Improvements project.
• In response to the advertisement for bids, the WRD received two (2) bids on March 28, 2024, but bids were not opened because NC General Statute requires a minimum of three (3) bids in response to an initial formal bid advertisement.
• On April 1, 2024, the Water Resources Department (WRD) issued an advertisement for rebids for WDP-1 Phase 2: McDowell Street Water System Improvements project.
• The Water Resources Department requests authorization to contract with Hyatt Pipeline, LLC for the bid amount of $4,299,510.00 plus a 10% contingency in the amount of $429,951.00, for a total amount not to exceed $4,729,461.00 for a term through project completion.

Vendor Outreach Efforts:

• Staff performed outreach to minority- and women-owned businesses through the 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.
• In response to the advertisement for rebids, the WRD received two (2) bids on April 11, 2024. Companies responding were: 1. Hyatt Pipeline, LLC: Canton, NC
• $4,299,510.00 2. T.P. Howard Plumbing Company, Inc.: Fairview, NC
• $5,400,000.00
• Following an audit of the bids by City staff and the project engineers, MCGill & Associates, Hyatt Pipeline, LLC was selected as the lowest responsible, responsive bidder.
• No MWBE firms submitted bids as the prime contractor. Committee(s):
• Not applicable. Pro(s):
• This project is aligned with the City's and the Water Resources Department's goal of continued investment and improvement of the City’s water system through capital improvement projects, in order to provide safe and reliable service. Con(s):
• None.

Fiscal Impact:

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

Principal Planner Will Palmquist said that this is the consideration of an ordinance to rezone 1310 Fanning Bridge Road from Industrial District

• Conditional Zone to Industrial District. This public hearing was advertised on May 3 and 10, 2024. Project Location and

Contacts:

• The rezoning petition consists of one property totalling 27.75 acres and located at 1310 Fanning Bridge Rd (PIN 9643-71-7559)
• Owner: Minkles LLC Summary of

Petition:

• The applicant requests a rezoning of one property to the Industrial (IND) District.
• The subject property is the site of a warehouse/distribution facility for Electrolux, a home appliance manufacturer.
• The property is currently zoned Industrial
• Conditional Zone (IND-CZ).
• The conditional zoning of the property, per Ord. No. 4035, was adopted on November 22, 2011 and rezoned the property from Industrial (IND) to Industrial
• Conditional Zone (IND-CZ) for the purpose of constructing a significant expansion of the existing building on-site.
• The proposed expansion did not take place and is not being considered at this time. The applicant has recently applied for a Level I site plan review for a new truck court and loading bay at the north end of the property, which is incompatible with the existing conditional zoning on the property. Therefore, the applicant is seeking a rezoning to the general use Industrial district in order to proceed with the proposed project.
• The subject property is designated “Industrial/Manufacturing” on the city’s Future Land Use (FLU) Map. A change to the FLU Map is not required.

Comprehensive Plan Consistency:

• The proposed rezoning supports a number of goals in the Living Asheville Comprehensive Plan including:
• Encourage Responsible Growth
• by ensuring that new development has the appropriate infrastructure to support it.
• Facilitate Real Estate Development that Maximizes Public Benefit
• by establishing accessible and well-connected commercial nodes consistent with strategies outlined in the plan’s growth areas.
• The proposed development is compatible with the Future Land Use designation of “Industrial/Manufacturing” which is proposed, in part, as “typically found on larger tracts of land with good access to transportation systems that are served by other needed utilities. Industrial and manufacturing areas are an important economic sector to the city.” (p. 344).
• Industrial (IND) is cited as an appropriate zoning district within the Industrial/Manufacturing Future Land Use category.

Compatibility Analysis:

• The purpose of the Industrial (IND) zoning district is, “to reserve land for existing and future industrial activities and for land uses that support industrial activities” [UDO Sec. 7-8-22(a)].
• The proposed rezoning petition is compatible with most of the surrounding land uses, including:
• The Asheville Regional Airport to the west of the site.
• The WNC Agricultural Center directly to the south of the site.
• Commercial, retail, and lodging uses to the north of the site along Airport Rd.
• Single-family residential uses further to the east of the site across Interstate-26. Committee(s):
• Planning & Zoning Commission (PZC)
• April 3, 2024
• Approved (Vote 6:0) Pro(s):
• Provides greater flexibility for improvements and future operations of the existing warehouse/distribution use on-site, in conformity with the general use Industrial district. Con(s):
• None identified.

Staff Recommendation:

• Staff recommends approval of this rezoning request based on the reasons stated above. Mr. Palmquist reviewed the existing and proposed zoning, the aerial imagery and the future land use map. He said that the Planning & Zoning Commission voted unanimously to approve the project with the condition. He explained that the purpose of the Industrial (IND) zoning district is, “to reserve land for existing and future industrial activities and for land uses that support industrial activities” [UDO Sec. 7-8-22(a)]. It is compatible with most of the surrounding land uses, including: (1) The Asheville Regional Airport to the west of the site; (2) The WNC Agricultural Center directly to the south of the site; (3) Commercial, retail, and lodging uses to the north of the site along Airport Road; and (4) Single-family residential uses further to the east of the site across Interstate-26. He then explained how the project was consistent with the Living Asheville Comprehensive Plan. He said that staff concurs with the Planning & Zoning Commission and recommends approval of the proposed rezoning. In response to Councilwoman Roney, Mr. Palmquist said that the Hotel Overlay District (lodging portion) does not cover this parcel. Mayor Manheimer opened the public hearing at 6:42 p.m., and when no one spoke, she closed the public hearing at 6:42 p.m. Mayor Manheimer said that members of Council have previously received 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 Community Reparations Commission.. Joyce Harrison resigned as a member on the Community Reparations Commission. Staff of the Community Reparations Commission recommended, and the Boards & Commissions Committee concur, to appoint alternate Tiffany De’Bellott (currently alternate member). Staff does not recommend replacing the alternate member as it is too far into the reparations process.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Human Relations Commission.. The terms of Harvey Dean Harold, Nnweyna Smith and Alma Atkins, as members of the Human Relations Commission, expire on June 1, 2024. In addition, Jack Hoda has resigned as a member of the Human Relations Commission, thus leaving an unexpired term until June 1, 2025. Also, Candace Blanchard has resigned, thus leaving an unexpired term until June 1, 2025. The following individuals applied for the vacancies: Carl Falconer, Alena Klimas, Bethany Vance, Danie Johnson and Willa Grant. The Chair of the Human Relations Commission recommended, and the Boards & Commissions Committee concurred (not by majority), to reappoint Harvey Harold, Nnweyna Smith, Alma Atkins; appoint Carl Falconer and Bethany Vance.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Human Relations Commission.. The terms of Harvey Dean Harold, Nnweyna Smith and Alma Atkins, as members of the Human Relations Commission, expire on June 1, 2024. In addition, Jack Hoda has resigned as a member of the Human Relations Commission, thus leaving an unexpired term until June 1, 2025. Also, Candace Blanchard has resigned, thus leaving an unexpired term until June 1, 2025. The following individuals applied for the vacancies: Carl Falconer, Alena Klimas, Bethany Vance, Danie Johnson and Willa Grant. The Chair of the Human Relations Commission recommended, and the Boards & Commissions Committee concurred (not by majority), to reappoint Harvey Harold, Nnweyna Smith, Alma Atkins; appoint Carl Falconer and Bethany Vance.

Vice-Mayor Kilgore, Chair of the Boards & Commissions Committee, said that this is the consideration of appointing a member to the Neighborhood Advisory Committee. Michael Fulbright has resigned as a member of the Neighborhood Advisory Committee (28801 representative), thus leaving an unexpired term until July 1, 2024. The following individual applied for the vacancy: Charles Crowell The Chair of the Neighborhood Advisory Committee recommended, and the Boards & Commissions Committee concurred, to appoint Charles Crowell..