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07-20-1977 - Recessed/Regular o o CITY COUNCIL OF THE CITY OF EDGEWATER RECESSED MEETING HELD July 20, 1977 Mayor ARmstrong called the recessed meeting of the City Council of the City of Edgewater, Florida, to order, Wednesday, July 20, 1977 at 10:00 A.M. ROLL CALL: Mayor Dana T. Armstrong Councilwoman Ryta F. Webber Councilman Walter B. Sikes Councilman Calvin R. Dietz City Attorney Judson Woods City Clerk Sue Blackwell Police Chief Earl Baugh Present Present Present Present Present Present Present Mayor Armstrong stated that the records should show that we have a Briley, Wild representative present, together with the news media. The first matter of business is to get along with the F.H.A. order of business. Mr. Drew stated that Mr. Eldridge will go over exactly what is needed to close the loan and he believes that we want to have a preapplication conference on the new loan that has been requested. Mr. Eldridge stated that the City has applied for a new loan in the amount of $184,000. Mr. Fernandez stated that the actual request was for $250,000, the $184,000 is other funds that are coming into this program. Mr. Eldridge stated that this was not clear to them, we can just change the figure. This is no problem. He explained that the form that was submitted was a preapplication and the figure can just be changed on the form when we finish our discussion. He asked if it is correct that the City is planning to go ahead with the Water Plant with some grant funds from E.D.A., plus an additional loan from them in the amount of $250,000, plus you are planning to use funds that will be left over out of the $700,000 also for Water Treatment Plant construction, to total about $600,000. ' It was stated to him that this is correct. Mr. Eldridge stated that he understands that there is a deadline that the City has to use the grant money from E.D.A. He asked what that deadline is? Mr. Fernandez stated that it is ninety days from the date that they give the grant offer. They are processing the applications now. Within those ninety days we have to advertise for bids and begin construction. Mr. Eldridge stated that the problem is that F.H.A. has a time schedule that is going to take longer than that. He explained the procedure that they have to go through. Mr. Fernandez asked if they could make a committment prior to following this procedure which will take four to five months? Mr. Eldridge stated that they can not. Mr. Fernandez asked about a grant then? ~ o Mr. Eldridge stated that they have the authority to make grants, the problem is that the City would have to qualify. He explained the rules for qualification. He said that they can not make a grant to an applicant if the water and sewer rates are as low or lower than similiar systems in the area. Edgewater has one of the lowest water and sewer rates that they have ever financed. Councilman Dietz stated that we have an adjustment coming up on that at our next meeting. It was the suggestion of our auditors that we make our rates up to par with all of the other surrounding Cities. He explained that this is a necessity in order to get this loan and also the maintenance costs have gone up so much we have no way out of it. Mr. Eldridge stated that they would consider a grant for the City on the information that they get. It wouldn't be available until October 1st unless there would be additional funds left over that other States haven't used. We should first know if the City would qualify, then we will call the national office and see if the funds would be available. A committment could not be made until this time. They will explore the possibility of a grant, based on your new rates. Mayor Armstrong explained that the rates have not been changed yet, the Public Hearing is scheduled for the 25th, and this is a proposed change. Mr. Eldridge stated that going back to the application, we have two requirements of the City. One being that the rates can't be lower than similiar facilities and the other one is that we have to follow your median income for a year. This was $5402. according to the 1970 census. He explained how they figure this median' income. The City Clerk brought in the paperwork in regard to and the letters from the auditors in regard to this. Mr. Eldridge. He stated that even with the increase the similiar facilities in the area. the proposed rate increase This was discussed with the rates are lower than Councilman Sikes stated that we have a retirement community and people who are on a limited income and some of the people could not pay a larger increase. Mayor Armstrong stated that at one time it was 50% of the population of Edge- water who were retired, limited income people, but more people have moved into Edgewater and these are working people. Mr. Eldridge stated that he would suggest that when you reapply for additional funds, request a grant also. Councilman Sikes stated that we don't want to do anything that will make us lose the grant of $144,000. Mr. Eldridge stated that they would analyze and process the application as soon as possible, but there is a time factor involved that they can't help. Councilman Sikes asked Mr. Fernandez if there is any way that we could go out for contract for certain portion of it that would take care of the money that we already have, and then go ahead and make application for this loan. Mr. Fernandez stated that this is the only way we could do it. Councilman Sikes stated to Mr. Eldridge that he knows he can not give a commit~- ment, but does he feel that we have a good application either for a grant or for a loan? Mr. Eldridge stated that he can not commit himself at all about a grant but for a loan, yes. It is an excellent idea to proceed with the money that you have, and let them go ahead and process a loan and possibly a grant. Mayor Armstrong suggested that it be set up in stages to cover a period of time to allow Mr. Eldridge to review subject to loan and also qualifying for some grant money. -2- o o Councilman Sikes stated that this will cost us quite a bit more money. Councilman Dietz asked Mr. Eldridge what would keep the City from going out to a bank and borrowing the money? Mr. Eldridge stated that this is in violation of their reauirements. Thev can't loan if you can secure a loan from a lending instit~tion. He addedv that they can't guarantee that they can make a loan until the bonds have been validated. Tape lB There was discussion with Mr. Fernandez about setting this up in stages and that it will cost the City more money to handle it this way. Councilman Sikes asked if it will take nine months from today to get the loan or grant, would we have enough money to carryon the work up to nine months? Mr. Fernandez stated that the City has about $350,000 of the $600,00 coming from sources other than Farmers Home, how long the $350,000 will last is what Mr. Sikes is asking. He would guess that it will take about twelve months to construct the new plant. He went on to say that if we could deliver funds from this operation in six months it would be no problem with the whole contract. The only problem he has is the City signing contracts for funds that aren't secured. There was discussion about what the phases would be. Mr. Eldridge stated that we should have the first phase which would be self supporting and in the event that something was to happen to the funds the City would still have a functioning Water Plant. Mr. Fernandez agreed with this and explained how it could be done. Councilwoman Webber asked if E.D.A. will go along with all of this? Mr. Fernandez stated that E.D.A. is saying that they will give us this much towards our project, they didn't seem to have any requirements as to whether you have a workable project or not. They are more interested in getting some jobs established. There was discussion again about figuring the median income, and about the water and sewer rates in Edgewater being lower than the other communities. Tape 2A Mr. Eldridge suggested that the City apply for a loan and a grant and let them analyze it and they will get back with the City as soon as they can. He handed out the forms that they need and explained exactly what else is needed. The attorney, the Council and Mr. Fernandez went over all of this paperwork with Mr. Eldridge. The City Clerk was given the paperwork necessary for her to complete and deliver to Mr. McGough. Mr. Eldridge stated that it will take approximately another hour for them to complete all the paperwork. Mayor Armstrong stated that we will go on to our other business so that we can get back to this. RESOLUTIONS: RES. NO. 726 A RESOLUTION FOR THE VOLUNTARY SUBMISSION TO THE VOLUSIA COUNCIL OF GOVERNMENTS (VCOG) OF PROPOSED COMPREHENSIVE PLANS OR ELEMENTS OR PORTION THEREOF THAT ARE PREPARED PURSUANT TO THE REQUIREMENTS OF CHAPTER 75-257, FLORIDA COMPREHENSIVE PLANNING ACT, REPEALING ALL RESOLUTIONS IN CONFLICT HEREWITH AND PROVIDING AN EFFECTIVE DATE. Attorney Woods read the Resolution in full. -3- o o Councilman Sikes made a motion that we adopt this Resolution, being seconded by Councilman Dietz. Upon roll call vote said motion CARRIED, 4-0. RES. NO. 727 A RESOLUTION APPOINTING CARL SHELL AS COUNCILMAN FOR ZONE 2 OF THE CITY OF EDGEWATER, FLORIDA TO SERVE THE UNEXPIRED TERM OF HENRY C. RIGGS, REPEALING ALL RESOLUTIONS IN CONFLICT HEREWITH AND PROVIDING AN EFFECTIVE DATE. Attorney Woods read the Resolution in full. Councilwoman Webber made a motion to adopt the Resolution, being seconded by Councilman Sikes. Upon roll call vote said motion CARRIED, 3-1. Mayor Armstrong voting NO. The City Clerk swore in Carl Shell as Councilman for Zone 2. Mr. Shell took his seat at the Council table. There was discussion about when the Council should start working on the budget. Mayor Armstrong stated that he would like to have an up to date Clerk's Cash Statement and a Budget report before he talks about a budget. It was decided that at our meeting Monday night another night will be set for this discussion. Mayor Armstrong asked what the item is about the Department of Control needs the Council's agreement on the date of the Landfill's closing? He explained that an ad went out in the paper as of when it was officially closed. The City Clerk stated that this is the letter that we have been discussing that Mr. McManamy is sending and before he sends the letter he wants the Council's concurrence on the dates. She explained that she was told that he wants the Council to agree to those dates that were in the memo that she gave the Council, except that the one date is changed from August 1st to the 15th. Mayor Armstrong stated that there is no way that we can cover ten acres with one foot of solid fill between now and August 1st, or even the 15th. Councilwoman Webber stated that this is just to cover the exposed waste. The City Clerk explained further what she was told about this. Councilman Dietz stated that we got a letter from them stating that we wouldn't have to make another test for years, what happened? The City Clerk stated that she will just write that the Council does not agree to this. Mayor Armstrong stated that we had a matter on the absentee voting from the Zoning Board. Mr. Mackie was given the floor. He explained the Massey request and the board's decision, which was to grant the variances. The City Clerk read the memo from the Zoning Board, and the affidavit signed by Mr. Taylor. She explained that all of the information and the tapes were taken to Mr. Taylor. He signed the affidavits and the absentee ballots. He did vote for the requests. -4- ~ o The City Clerk explained that Mr. Wiggins had a lot of tests taken at the hospital yesterday and they could not get through to him, however she did speak to him on the phone and he gave her his voice vote for the requests. Councilman Sikes said that he would like for our attorney to say that this is the right procedure to go through so that it will be on record. Attorney Woods stated that he concurs with the action, which he proposed to the Council due to illnesses of members on the board. Mayor Armstrong asked based on the data and recommendation of the board, what is the Council's pleasure? Councilman Sikes made a motion that we accept the recommendation of the Zoning Board pertaining to the requests made by Mrs. Massey, and that a copy of the Zoning change be sent to the other boards, and that we authorize the attorney to draw up the necessary Ordinance, being seconded by Councilwoman Webber. Upon roll call vote said motion CARRIED, 5-0. Mayor Armstrong stated that we went throught the same procedure in regard to Mr. Tucker's request. The City Clerk stated that Mr. Taylor voted no on this request, and Mr. Wiggins was in favor of it. Mr. Mackie read to the Council what happened in regard to this matter at their roard meeting. The board went along with this request. however the attorney will have to make a decision on whether they will have to have a Public Hearing because they do wish to change this to Light Industry. The City Clerk read a letter from Atlantic Machine asking that this request be granted. and stating that if Mr. Tucker was eve~ to move his garment factory from the building, they would not move their heavy equipment back into the building. The City Clerk also read a letter from Atlantic Machine to the neighboring buildings in regard to allowing Mr. Tucker to have this business in the building. which was signed by several business owners in the area. Mayor Armstrong went over the vote of the board members in regard to this request. You have three in favor of it and one not in favor of it. Tape 3A There was discussion among the Council, Mr. Mackie and Attorney Woods in regard to this matter. Attorney Woods stated that you will have to have a Public Hearing. and what it is going to take is a change in the permitted uses. and we need a suitable definition of Light Industry. Councilwoman Webber read from the Ordinance what is allowed under Light Industry. Mr. King spoke to the Council about this. He explained that he is willing to move his heavy industry out of the area in order to let this business go in. If this is not allowed. then his building will either remain empty or heavy industry will continue there. Councilman Dietz stated that he thinks that this business would be an asset to the area. Councilwoman Webber stated that she can't see where bringing manufacturing into an unaccepted area is progress. She thinks that it will be detrimental to the City. There is no such thing as spot zoning, if you permit it in this area we must extend it to the rest of the City and we will have all types of factories on our main thoroughfare. -5- o o Mr. Mackie stated that he would like to add that we have an Ordinance now that allows all of these to go into the 1- Industry. Attorney Woods stated that you will have to have a Public Hearing to change the permitted uses. Mr. King stated that you are going to lose forty different jobs in the City of Edgewater; the heavy industry is going to stay in the area and it is not going to benefit anybody. Councilwoman Webber stated that if we do put it in it will down grade the area. It was explained that we have a time element, the man has to move and if he does not get the use of the facilities here, he will take his business and the forty employees somewhere else. Mayor Armstrong said that he is satisfied that there are no objections from the abutting property owners, and he would have to assume even at the Public Hearing that the use of Light Industry if it was so subscribed with a limi- tation to it, it would be permitted. The time element is what we are up against. Hopefully we could table this until next week's meeting to give the attorney the opportunity to go over it and perhaps give us a solution. Councilman Sikes made a motion that our attorney will report back to us at the next meeting as far as the Tucker Manufacturing Company's request, being seconded by Councilman Dietz. Upon roll call vote said motion CARRIED, 5-0. Councilwoman Webber stated that she would like to add that she does not feel that the Mayor can speak for all of the people in that area, and she feels that the people should be apprised of it. In fact she feels that the whole City should be notified of it. ADJOURN~1ENT : Councilman Dietz made a motion to adjourn, being seconded by Councilman Sikes. Said motion CARRIED. MINUTES TAKEN BY: Sue Bl ackwell Debbie Sigler ATTEST: ~-i#J~/ ~/Herk zt:: Approved this J? day of August, 1977. '.';r~A"/ 9'a-7~~~'f;:?=- ~ / ~ ~ ~ ~~ :?-a4~~~~ J~~ Ma or ./ C), ~ / ' -iif,79- ~. ~~ e Coun lwoman /J C~A/~~/I ~ Councilman ....... $- -6-