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04-14-1986 - Special/Workshop u Q CITY COUNCIL OF EDGEWATER SPECIAL MEETING AND WORKSHOP APRIL 14, 1986 MINUTES Mayor Baugh called the meeting to order at 3:00 P.M. in the Community Center. He stated the items on the agenda were: Purchase of Bell property; signing of mylar for Cherokee Ridge; and new wellfield considerations. ROLL CALL Mayor Earl Baugh Councilman Louis Rotundo Councilman Russell Prater Councilman Neil Asting Present Present Present Present Councilman James Inman City Attorney Jose'Alvarez City Clerk Connie Martinez Chief Lawrence Schumaker Present Present Present Excused Also present were: Mr. Terry Wadsworth, Utilities Superintendent; Mr. Jerry Volkmann and Mr. Frank Marshall and Ms. Laurie Archer of Dyer, Riddle, Mills & Precourt, Inc./Marshall, Engineers; Mr. John Wilbur as a representative for the Bell property; and Mr. John Massey as a representative of the Cherokee Ridge Subdivision. Mayor Baugh requested a motion to recess the Council meeting and go into the Workshop. Councilman Asting so moved. Councilman Inman seconded the motion. Motion CARRIED 5-0. Councilman Asting moved that they move up items 2 and 3 and discuss the purchase of the Bell property as the last item. City Attorney Alvarez stated he has some City business to attend to and will have to leave soon. Councilman Asting agreed it would stay as listed on the agenda. Purchase of Bell property - City Attorney Alvarez stated the property is available and Council is aware of the potential uses and it has dual access from Carol Ann Drive and from the empty lot in Wildwood into Wildwood Sub- division. He pointed out it was before the Parks and Recreation Board for their consideration. Councilman Asting noted the Council expressed its intent to purchase and the financing is to be considered now and they could select the method of payment. Mayor Baugh made Council aware that the property at the truss plant is not included in this plan. Councilman Asting said those arrangements would have to be made later. City Attorney Alvarez stated that James Bell holds the mortgage for the property where the truss plant is located and Mr. Wilbur agreed. Councilman Asting said he'd like the City to own that also. Councilman Inman noted the April 11 letter states the three proposals are at 8% interest and asked if it's APR, rule of 78, or plain interest. Mr. Wilbur replied that since it's the City, he'll hold the mortgage until the 1st of November for simple 8% interest. Councilman Asting pointed out that it's indicated that only item 3 is acceptable. Mr. Wilbur said it's with $45,000 down and the balance due the 1st of November. Mayor Baugh asked if this was negotiated and City Clerk Martinez replied that only item 3 would be acceptable to him and she wanted Council to be aware there were three options made to him. Councilman Asting noted it's well below the appraised value. There was a discussion of the appraisals received and City Attorney Alvarez pointed out they used the services of Charles Armstrong and Haywood Paxton, with Mr. Armstrong's appraisal at $127,800 and Mr. Paxton's appraisal at $119,000. City Attorney Alvarez displayed a survey done by Dan Cory which outlined just where the property is located, and that the 1.64 acres is the truss company. He then showed on the wall map where the lot is located that will be deeded to the City. o o Purchase of Bell property (Continued) - City Clerk Martinez stated that the purchase price is $99,700 because of the discounts. Councilman Asting said it's a prime piece of property that the City can use for recreational purposes and perhaps the truss plant property could be purchased later for a City facility, such as a Police station, or some other City facility. Mayor Baugh said it will alleviate some of the problems in Wildwood to get the proper ditches and another entrance into Wildwood, which they need. City Attorney Alvarez stated a property owner offered that if the City works with him, he'll work with the City, along with another owner, to have covered drainage from one of the canals across the property to another piece of property to the shell pit area. Councilman Rotundo expressed his concern that the City would get it for a park and they'd get flooded as the corner was underwater in the last storm, and asked if it will drain when they put in the drainage. Mayor Baugh said there was no water on Carol Ann Drive. Councilman Prater said the lumber was floating at Carol Ann Drive. Councilman Rotundo said he'd be in favor of it if he knew it could be drained off. City Clerk Martinez stated the front part is the lowest and the back is higher and slopes to Park Avenue. Councilman Asting said he thinks it will solve the problem in Wildwood, or at least relieve a lot of the water problems that occur there, and it will provide recreational facilities. City Attorney Alvarez said in the 100 year flood plain it shows 80% is zoned C. Mr. Frank Marshall, City Engineer, said that C is high. City Attorney Alvarez noted that 20% is A, which would include the pond. City Attorney Alvarez submitted the original appraisals to City Clerk/Administrator Martinez for the City's records. Councilman Rotundo moved to go out of the Workshop and go into the regular meeting. Councilman Prater seconded the motion. Motion CARRIED 5-0. Purchase of Bell property - Councilman Asting noted only one proposal is offered, item 3, and he moved that they purchase this land for recreational purposes, using recreational funds. Councilman Rotundo seconded the motion. Councilman Prater asked how the General fund will enter into it and City Clerk Martinez pointed out that the motion is to use recreational funds only. Mayor Baugh asked the balance in recreation and City Clerk Martinez said it's $171,000. Councilman Rotundo asked if they could give him $50,000 instead of $45,000 down. There was a discussion about the interest that would be earned versus spent. City Clerk Martinez said the man has a problem with accepting too much cash. Mr. Wilbur stated he'll agree to the $50,000. City Attorney Alvarez stated that if recreational funds are used, it can only be used for recreational purposes, and if in the future the Council decided to put the property to a different use, they'd have to reimburse the fund, plus interest. He added that the purchase will be contingent upon titling the City of that one lot in Wildwood and for that and the deed which isn't recorded, pending Council's decision. Mayor Baugh suggested they amend the motion to say to purchase the property pending the approval of that lot and access to Carol Ann Drive. City Attorney Alvarez said if there's any problem with any of these, he'll come back to Council. Mayor Baugh said if they couldn't get the lot then it would go down the drain for the easement and access to Carol Ann Drive. City Attorney Alvarez suggested Council needs some engineering aspect of it in terms of drainage if it enters in the picture. Councilman Asting asked if the money could be jointly used from recreational and general funds and City Attorney Alvarez said it's a possibility and part could be used for recreational purposes and part by the City for other purposes besides recreation. Councilman Asting said if they put it for recreation, they'd need to provide drainage for that property besides for Wildwood and City Attorney Alvarez agreed. Mayor Baugh suggested the motion and second be withdrawn to be restated to include pending the easement being recorded and access to Carol Ann Drive to be included in that. Councilman Asting withdrew his motion and Councilman Rotundo withdrew his second. -2- Council Special Meeting & Workshop Minutes April 14, 1986 Q o Purchase of Bell property (Continued) - Councilman Asting moved to purchase the property pending the recording of the deeds for lot 164 in Wildwood and the access to Carol Ann Drive. Councilman Rotundo seconded the motion. Councilman Asting asked if the titles were searched and City Attorney Alvarez replied no, and they've only discussed general business terms and there's no reason to spend time and money until Council makes the decision on the concept, and between now and closing this could be done. Councilman Asting asked if the motion should including the titles and City Attorney Alvarez said that will be standard and will come back to Council. City Attorney Alvarez pointed out the mineral rights have been thrown in. Mr. Wilbur asked if they'll go to contract with these stipulations and City Attorney Alvarez said the understanding is to take the two deeds and record them and then they go to contract, subject to title and insurance, and surveys up to date, which is standard. Motion CARRIED 5-0. Mayor Baugh pointed out it was suggested to put $50,000 down and asked if they want to use recreational funds or that and general funds. Councilman Asting suggested they use recreational and general so any work would benefit Wildwood or other City property. Mayor Baugh noted that proposal #2 is 75-25% which would give them 1/4 of the property to do what they want to with for City purposes and 75% for recreational. City Clerk Martinez pointed out it needs to be recalculated. Mayor Baugh suggested they go with proposal #2 with the funding to be $50,000 at closing. Councilman Asting moved to go with proposal #2. Councilman Prater seconded the motion. Motion CARRIED 5-0. There was a discussion about the percentage to be applied to each fund and Mayor Baugh stated it would be 75% for recreational and 25% general fund. No Council member expressed an objection to these terms. City Attorney Alvarez asked Mr. Wilbur if mineral rights are included and Mr. Wilbur agreed they are. City Attorney Alvarez asked if there's a separate charge and Mr. Wilbur replied no. City Attorney Alvarez said they'll be looking at the possibility of purchase of the property at the truss plant. Mr. Wilbur noted that mineral rights are in the abstract. Signing of mylar for Cherokee Ridge - Mayor Baugh stated there's a memo from Planning and Zoning Board and their Chairman signed it and it's at Council level for action. Councilman Asting moved to authorize the Mayor to sign the mylar for the Cherokee Ridge Subdivision. Councilman Prater seconded the motion. Motion CARRIED 5-0. Mayor Baugh called a brief recess at 3:42 P.M. to sign the mylar. City Attorney Alvarez left the meeting during this recess. Mayor Baugh called the meeting back to order at 3:46 P.M. New wellfield considerations - Mr. Jerry Volkmann stated they had problems when drilling #3 and #4 wells and there's a change order for the Meridith Corporation. He noted that wells #1 and #2 were drilled and aquifer tests performed and they were both extremely good wells with about twice the yield. He said St. Johns River Management gave them permission to go with wells #3 and #4 and they seated a 10" casing and did the borehole and then hit unconsolidated shell making the borehold impossible to keep open. Ms. Laurie Archer was introduced as the hydrogeolgist. Mr. Volkmann said they shut down operations for that day and returned the next day to find the 10" casing had sunk 2! feet, and a sinkhole was opening up around the well casing. He said Ms. Archer confirmed what was happening and Meridith was advised to get their rig out. He added the drilling rods came out and the equipment was taken from the site. He displayed pictures of the two wells. He said they went on to well #4 and the contractor said he'd never encountered the problem in this area and they suggested slip casing inside the other casing, but there's no guarantee it would work. -3- Council Special Meeting & Workshop Minutes April 14, 1986 o Q New wellfield considerations (Continued) - Mr. Volkmann said well #4 was set and they started the borehole and they had beach sand and it wouldn't come out the way it was. He said Meridith had stopped their drilling operations again and said they couldn't drill through the unconsolidated material and they again talked about slip casing, with no guarantee it would work, or of the volume they would have if it did work. Mr. Volkmann said they're recommending they abandon the two wells and plug them and cut them off below the ground and move eastward to well#l. He said they'd met with Mr. McCaskill who agreed to give them a site 500 feet from well#l and they have the contractor on standby and if the change order is approved, they can start drilling on the site beginning the next morning. He stated he'd requested they remove the equipment from the site due to possible vandalism. He noted that Mr. McCaskill withheld one site pending confirmation with his engineers but he doesn't have any doubt they'll get it where they want it. Mr. Volkmann added that Mr. McCaskill wants to develop on his property and there are stipulations in designing the well heads as he wants them concealed at the front part of the property. He noted they'll landscape it and there would be no noise and no pollution. Mr. Volkmann said they're recommending to move 500 feet from well #1 and to start the drilling operation immediately and as soon as the casing is seated and they're through the 250 foot level, they'll do the aquifer draw down test, and if it's okay, he'll go back to Mr. McCaskill and ask for the release of the additional wellsite. He noted that he wrote to St. Johns to let them know about the situation and the moving of the wellsite eastward and he doesn't see any problem with meeting the deadline with this move. There was a discussion about the numbering of the wells and the proposed locations. Mr. Wadsworth noted that Mr. McCaskill's engineers said there wasn't a problem in granting the City the other wellsite but they want to see how this one turns out. Councilman Asting noted this is a financial gain and Mr. Wadsworth agreed. Mr. Volkmann reviewed the totals of the proposed changes, noting the change order total is $16,850 but they'll save an estimated cost of $43,800 due to the 20" ductile iron pipe with the difference in distance, so the net savings to the City would be $26,950. Councilman Asting moved to authorize the change order to become effective immediately. Councilman Prater seconded the motion. Councilman Asting asked if they'll start the next morning and Mr. Volkmann replied yes. Motion CARRIED 5-0. There was a general discussion about how the equipment was removed from the prior site, and the plugging of the wells. Mayor Baugh requested a motion to adjourn. Councilman Asting so moved. Councilman Rotundo seconded the motion. Meeting was adjourned at 4:00 P.M. Minutes submitted by: -p Lura Sue Koser ~ CITY CLERK ' ~ Approved this dl day ~ (?~198~. MA OR ( I o NCILMAN - ZO E WO 7r~,~t:o~ COUNCILMAN ONE TH E ~~ -d~CIW-L &L-~ COUNCILMAN - ZONE FOUR / ATTEST: -4- Council Special Meeting & Workshop Minutes April 14, 1986