MARCH 11, 1997 7:00 PM

REGULAR CITY COMMISSION MEETING

HELD AT CITY HALL COMMISSION CHAMBERS

Present were: Mayor Dave Hood, Commissioners Jeffrey J. Boyle, David L. Schecter, Ed Kelley, Carl G. Persis, City Manager Eugene Miller, City Attorney Fred S. Disselkoen, and Veronica Patterson, City Clerk.

1) Meeting called to order by Mayor Hood.
2) Invocation given by Reverend Roy Weaver, Calvary Christian Center.
3) Pledge of Allegiance.
4) Approval of the Minutes of the March 4, 1997, meeting.

5) PRESENTATION: Introduction to City of Ormond Beach Web Site.

6) AUDIENCE REMARKS:

7) CONSENT AGENDA:

A) Resolution No. 97-36 accepting a bid to close the City’s Nova Road Class III landfill; rejecting all other bids; authorizing the execution of a contract and payment therefor; authorizing engineering and construction testing expenses; authorizing the execution of deductive Change Orders. (C.J. Langenfelder & Son, Inc. - $1,969,000.00)

B) Resolution No. 97-37 rejecting all proposals to provide stormwater ditch mowing maintenance services.

C) Resolution No. 97-38 rejecting all bids to provide road grading services; authorizing the purchase of a used road grader; declaring the existing road grader to be surplus and authorizing its disposition.

D) Resolution No. 97-39 accepting a bid, as corrected, to resurface certain streets and to construct parking facilities at the Ormond Beach Municipal Airport Recreation Complex; rejecting all other bids; authorizing the execution of a Change Order to resurface additional streets; establishing a contingency; authorizing engineering geotechnical testing, and miscellaneous expenses; further amending the 1996-97 Budget; authorizing the execution of a contract and payment therefor; authorizing reallocation of funds; authorizing the execution of subsequent Change Orders under certain conditions. (D&W Paving, Inc. - $846,787.00)

E) Resolution No. 97-40 approving the stormwater management projects for the City’s ten year Stormwater Management program; authorizing staff to proceed with the said projects.

F) Resolution No. 97-41 authorizing the execution of Change Order Number One (Final) to that contract authorized by Resolution No. 96-104, to increase the contract price by $7,350.00 to $103,475.00. (Jack Ethridge Tank Company - Elevated Water Storage Tank Renovation)

G) Resolution No. 97-42 authorizing the execution of Change Order Number One (Final) to that contract authorized by Resolution No. 96-248, to decrease the contract price by $100.00 to $40,350.00. (Saboungi Construction Company - Art Museum Roof and Wall Repair)

H) Resolution No. 97-43 authorizing the execution of Change Order Number Two (Final) to that contract authorized by Resolution No. 95-172, to decrease the City utilities portion of the contract price by $152,617.24 to $1,285,274.86 and to extend the contract time by 59 days. (RKT Contractors - Wilmette Avenue Utilities)

I) Resolution No. 97-44 authorizing the execution of a second amendment to the Ground Lease Agreement between the City and Riverbend Investment Group, Inc.

J) Resolutions approving submittal of transportation projects to the Metropolitan Planning Organization.

1) Resolution No. 97-45 expressing support for certain transportation projects to be placed in the 1999-2003 Fiscal Years’ Transportation Improvement Program Project Priority List; authorizing the City’s MPO representative and alternate representative to take action consistent herewith; authorizing transmittal.

2) Resolution No. 97-46 expressing support for certain transportation projects to be placed on the Transportation Improvement Program Project Priority List for Surface Transportation Program funding in the 2002-2003 Fiscal Year; authorizing the City’s MPO representative and alternate representative to take action consistent herewith; authorizing transmittal.

8) PUBLIC HEARINGS:

A) Ordinance No. 97-11 adopting certain amendments to the City of Ormond Beach Comprehensive Plan.

1) Future Land Use Map Amendments

a) Water Plant Expansion, designating 1.26 acres between Willow and Palm Places as Government/Institutional
b) Ramsey Terrace-State Road 40, 14.78 acres adjacent to Tomoka River to be designated as Rural Residential (RR) & Open Space/Conservation.

2) Cultural Affairs Element Amendment to delete Policy 1.3.6, requiring a cultural affairs impact fee.

3) Transportation Element Amendments

a) Policy 1.10.1, establishing concurrency management criteria under which a building permit may be issued.
b) Table 11 and Figures 11 and 11A, redesignating Wilmette Avenue east of Yonge Street as a minor collector.

4) Capital Improvements Element Amendments

a) Policy 1.3.2, revising current level-of-service standards for recreational facilities.
b) Policy 1.5.1, amending restrictions on public indebtedness.
c) Tables 36-a through 36-p, reflecting updated public improvements and capital projects.

5) Recreation/Open Space Element Amendments to Policies 1.1.1, 1.1.2, 1.1.3, and 1.1.4, deleting current level-of-service standards and establishing new standards based on National Recreation and Parks Association (NRPA) standards.

B) Ordinance No. 97-12 relative to size requirements for Conditional Use Permits; amending various sections of Article VI of the Land Development Code by repealing the requirement that certain development projects be processed as conditional use permit uses.

9) FIRST READING OF ORDINANCES:

A) Ordinance No. 97-13 relative to wetlands; amending Sections 12.11 and 13.01 of the Land Development Code to allow for greater wetlands impacts under certain conditions and to establish a Development Opportunity Fee.

B) Ordinance No. 97-14 relative to stormwater management; amending Section 22-158 of the Code of Ordinances by increasing the stormwater utility fee for a time certain; authorizing annual review and revision of stormwater management projects list; authorizing the use of designated revenues to implement those projects on the said list.

C) Ordinance No. 97-15 relative to purchasing; amending Section 2-300 of the Code of Ordinances by adding thereto a supplemental purchasing method to be utilized under specified circumstances; ratifying prior actions.

10) RESOLUTION No. 97-47 accepting a bid to construct certain improvements in "Fortunato Park"; rejecting all other bids; authorizing the execution of a contract and payment therefor.

11) DISCUSSION ITEMS:

A) Appeal by David Neubauer, Trustee, of Interpretation of Sections 14.09 and 14.12 of the Land Development Code, relating to Granada Plaza.

B) Request for approval of stripes on an ATM kiosk at Barnett Bank.

C) Request for assistance in reestablishing services previously provided by the Community Fund.

12) Reports, Suggestions, Requests: Mayor, City Commission, City Manager, City Attorney.

13) Close the meeting.


Item #1 - Call to Order

Mayor Hood called the meeting to order at 7:00 p.m.

Item #2 - Invocation

The invocation was given by Reverend Roy Weaver, Calvary Christian Center.

Item #3 - Pledge of Allegiance

Mayor Hood led in the Pledge of Allegiance.

Item #4 - Approval of Minutes

Mayor Hood advised the minutes of the March 4, 1997, meeting had been sent to the Commissioners for review and asked if there were any corrections, additions, or omissions.

Commissioner Schecter moved, seconded by Commissioner Kelley, to approve the minutes as submitted.

Item #5 - Presentation: Introduction to the City of Ormond Beach Web Site

Mr. Eugene Miller, City Manager, stated that the City Commission had directed staff to establish a web site on the Internet, and this has now been accomplished due to the efforts of Carl Krueger, Data Processing Manager, Jo-Anne Anderson, Support Services, and Ken White, the City’s computer expert who will make a short presentation.

Through a video presentation, Mr. Ken White explained that on August 20, 1996, the City Commission directed staff to establish a web site. He reported the City’s site is located at http://www.state.fl.us/ormond and was deployed on December 20, 1996. He noted there have been several hundred visitors to the site without advertisement, press releases, or other promotions. Mr. White explained the site contains a vision statement, City telephone directory, calendar of scheduled meetings, City Commission agendas and minutes, department and program descriptions, area map, employment opportunities, requests for proposal and specific bids, promotional material for the Business/Airpark, special announcements and hot links to the Casements and Police Department web sites. He provided a brief summary on the various pages and advised there is a feedback link where e-mail can be sent currently to either Mr. White or Ms. Anderson. Mr. White explained that the amount of time he utilizes to establish and maintain the web site is approximately five (5) hours per week, and Ms. Anderson’s time would approximate two (2) hours per week.

Commissioner Kelley questioned if the ad valorem tax rate is listed, and Mayor Hood suggested adding a cost/benefit sheet showing the cost of providing water, sewer, drainage, etc. as well as the water and sewer rates shown in comparison with other communities within Volusia County.

Mr. Miller advised this is a preliminary web site, and the City is trying to maintain the site with the existing personnel; however, this information can be considered for future expansion of the site, including information that explains who to contact for various types of permits, various violations of codes, etc. Mayor Hood asked if there was a time frame set as to when this would be accomplished. Mayor Hood requested that Mr. Miller present the Commission with a time frame at the next meeting as to when these pages can be added to the web site.

Item #6 - Audience Remarks

Wilmette Avenue and Main Trail Intersection
Ms. Gloria Kious, 931 Northbrook Drive, stated the opening of Wilmette Avenue gives access to most of the local merchants and recreational facilities used frequently by her and her family, but she sees the blockage of Main Trail as a major deterrent. She stated the Magic Forest playground has no suitable alternative entrance other than Main Trail. Ms. Kious stated she has no desire to travel through The Trails neighborhood because of the unusual traffic pattern. Ms. Kious stated the road is dangerous, and one accident has already occurred there. She stated her concern for the safety of the children on Lakebridge, which has become a shortcut for those trying to avoid the Wilmette/Nova intersection; and she stated she does not feel the people living on the Lakebridge side of Nova Road were adequately represented at the February 4th meeting. Ms. Kious asked the City Commission to readdress this issue and to vote to add it to the April 1st agenda. Mayor Hood agreed to place this item on the April 1st agenda with the understanding that the City Commission will discuss whether another public hearing is necessary.

Ms. Rita Press, 875 Wilmette Avenue, asked if Mayor Hood’s ruling means there will be open discussion at the April 1st meeting. Mayor Hood reiterated that since the public hearing has already occurred, this meeting would determine if another public hearing is necessary. Mayor Hood stated that at the previous public hearing regarding Wilmette and Main Trail, the City Commission decided to allow no through traffic at the intersection for a 90-day period.

Commissioners Persis and Kelley expressed concern that the April 1st discussion will be a public hearing before the public hearing, both allowing public input. Commissioner Boyle stated his agreement with Mayor Hood’s recommendation in that it would provide an opportunity to obtain further input from citizens who did not have the opportunity to be heard in February. Commissioner Persis reminded the Commission of its promise to try the traffic pattern as it is for a 90-day period and then revisit the issue; therefor, he advocated waiting the 90 days. Commissioner Schecter also advocated waiting 90 days as promised. Commissioner Schecter urged the residents at this meeting to contact The Trails Homeowner’s Association president as well as the Florida Department of Transportation (FDOT) staff before the meeting to ascertain why they took the positions they did.

Mr. Fred Disselkoen, City Attorney, stated the minutes from the February meeting indicate a period of 90 to 120 days after the traffic light is changed out for this review; whereby, Mr. Clay Ervin, Planning Director, stated the light should be changed by the end of this week, which would indicate a date of approximately July 1, or the first meeting in July. He reminded the Commission this period of time was to have monitored the number of traffic citations issued rather than any type of traffic monitoring. Mayor Hood agreed that no further expenditure for a traffic consultant needs to be made in that regard. Mr. Ervin questioned if any special notification would be required for the July 1st meeting; and Mayor Hood stated the normal public hearing notice is sufficient. Commissioner Schecter recommending contacting The Trails Homeowners’ Association to inform them of the meeting.

Ms. Press stated that when school ends at the end of May, many more children will be going to the Recreation Center, which will create further danger to the children.

Commissioner Schecter moved, seconded by Commissioner Persis, to postpone further discussion on this issue until the 90 days promised in the public hearing has passed, July 1, at which time a public hearing will be held.

Mayor Hood asked staff to place this item on the April 1, 1997, agenda for discussion.

Item #7 - Consent Agenda

Mayor Hood advised the action proposed to be taken for each item on the Consent Agenda is so stated on the agenda. He asked if any member of the Commission had any questions or wished to discuss any one or more of the items separately.

Mr. Disselkoen advised that item 7(A) must be continued until the April 1, 1997, meeting.

Commissioner Schecter moved, seconded by Commissioner Kelley, for approval of the Consent Agenda as submitted with the exception of item 7(A) which will be continued to April 1, 1997.

Item #8(A) - City of Ormond Beach Comprehensive Plan

Mr. Clay Ervin, Planning Director, explained this is the first Comprehensive Plan amendment for 1997. He advised staff transmitted the proposed amendments to the Department of Community Affairs (DCA), who returned their report report on March 6th. He stated DCA’s comments primarily regarded the Capital Improvements Element, and staff has responded to those concerns. He stated some concerns have been raised regarding the Future Land Use Element, specifically Item #8(A)(1)(b) relative to a 14.78 acre parcel located at SR40 and the Tomoka River annexed by a voluntary annexation agreement between the property owners and the City. He explained that when the property was annexed, the City tried to designate the entire parcel as Suburban Low Density; however, the Planning Board recommended an Environmental Open Space designation. He advised staff amended its staff report to change the western portion to Suburban Low Density and the eastern portion adjacent to the Tomoka River as Open Space Conservation. He advised that residents south of the property asked the Planning Board to recommend a lower density type development. Mr. Ervin stated the residents in Twin Rivers also opposed this type of development, thus the Planning Board recommended a Rural Residential land use, which was subsequently transmitted to DCA. Mr. Ervin stated Suburban Low Density may be the more opportune land use for this parcel because to the north of the tract there is an existing residential development with approximately three (3) units per acre; to the west is B-8 zoning; across the river is Volusia County where the owners have been attempting to change their property to Office Commercial; and across Booth Road are Halifax Medical Center and Calvary Assembly of God. Mr. Ervin pointed out there is a very small piece fronting State Road 40 which provides access for seven (7) parcels at the present time, and staff hoped to force a planned residential development where there would be limited access on State Road 40 to serve as a buffer between State Road 40 and the Rural Residential development to the south. He stated the main goal is to achieve an alternative land use designation to give the developer flexibility while limiting access to State Road 40 and providing a compact development consistent with the environmental constraints of the area. For these reasons, he stated staff is recommending Suburban Low Density Residential.

Mr. Stewart Ramsey, 25 Raintree Lane, representing the property owners, stated the Twin Rivers Development has about the same density that the developers plan for this parcel. He stated to the north is Tymber Creek, which is designated Medium Density Residential, and to the west are Suburban Low Density areas. Mr. Ramsey stated the rights of the property owners to sell this land for its true value have been taken away with the proposed designation. Mr. Ramsey pointed out that the five (5) acres closest to the river cannot be built on.

Mayor Hood asked Mr. Ervin how many houses could be built under the County jurisdiction versus the City jurisdiction, and Mr. Ervin responded that approximately seven (7) units for the total acreage could be allowed, but possibly more through the PRD process under the County. He stated that under the City’s Rural Residential designation, the developer cannot go above the seven (7) units.

Commissioner Boyle moved, seconded by Commissioner Persis, to close the public hearing on Item 8(A). The motion passed unanimously.

Commissioner Schecter moved, seconded by Commissioner Boyle, for approval of Ordinance No. 97-11, on first reading, as read by title only.

Commissioner Kelley moved to amend the motion to designate the Ramsey property as Suburban Low Density Residential. The motion failed for lack of a second.

Item #8(B) - Size Requirements for Conditional Use Permit

Mr. David Bates, 204 Ormond Parkway, spoke in opposition to removing the requirement of the Conditional Use Permit (CUP) stating it was originally included as a check on uncontrolled growth. If the Conditional Use Permit is no longer required, he stated, the public would no longer be notified of any proposed expansion; therefore, he requested that the City Commission not pass the proposed ordinance.

Ms. Lee Dunkel, 94 Ormond Parkway, requested that the City Commission not pass the proposed ordinance stating it is in the best interest of the homeowners and taxpayers for them to have knowledge of what is going to be built, its size, and when it is to be built.

Mr. Clay Ervin explained staff is not eliminating the Conditional Use Permit from the Land Development Code; however, the blanket requirement that any use that exceeds 10,000 square feet in all commercial zoning districts must go through the Conditional Use Permit process would be eliminated. Mr. Ervin explained that staff is working on changing the Code regarding those issues that do dictate the need for public hearings where there would be impact beyond the neighborhood to insure there would still be a need for a Conditional Use Permit. He reiterated Article III of the Land Development Code establishes criteria for Conditional Use Permits, and that is not being recommended for change.

Commissioner Schecter stated this ordinance came about because of the vacancies in the John’s Family Markets where the space exceeded 10,000 square feet and triggered the Conditional Use Permit process, thus leaving the buildings vacant for a number of months until the process was completed. He stated this standard is a burden on those businesses that already exist.

Commissioner Boyle stated he is in favor of continuing the permitting process as it exists, but he also expressed his confidence in the Planning staff. He stated that, although the process is time consuming, which cost developers extra dollars, there is an overriding need for public input from citizens.

Mr. Ervin stated that within B-1 zoning, Professional Office/Hospital, hospitals are allowed up to 30,000 square feet, but in other zoning districts that would trigger a Conditional Use Permit with the public hearing process. Mr. Ervin stated that if there is an existing CUP in place, those development orders are still in place whether this ordinance passes or not.

Commissioner Persis stated that the public wants to be informed and asked Mr. Ervin if they would be informed if this ordinance were to pass. Mr. Ervin stated that if a development is a permitted use, only staff reviews it to make sure it adheres to the code requirements. He advised that permitted uses do not go before the Development Review Board or require a public hearing.

Commissioner Kelley moved, seconded by Commissioner Schecter, to close the public hearing on Item 8(B). The motion passed unanimously.

Commissioner Schecter moved, seconded by Commissioner Kelley, for approval of Ordinance No. 97-12, on first reading, by title only.

Item # 9(A) - Wetlands

Commissioner Schecter moved, seconded by Commissioner Kelley, for approval of ordinance No. 97-13 on first reading, by title only.

Commissioner Boyle stated he is of the opinion that any development of wetlands is unsound. He stated mitigation results in a net reduction of wetlands, and he does not believe wetlands creation works in most cases. Commissioner Boyle stated his concern regarding hydrology in the future and pointed out these changes were applicant/developer driven and vehemently opposed by the citizens.

Commissioner Schecter spoke in favor of the ordinance pointing out that the ordinance deals only with property located within a planned industrial development or adjacent to the major thoroughfares; the mitigation allows the City to bank funds to buy larger areas of wetlands; and the Planning Board voted for approval.

Commissioner Persis asked how staff arrived at $3,890 as a cost per acre, and Mr. Ervin responded that this is a verbatim application of a Comprehensive Plan amendment previously approved. He explained staff used tax data to come up with the total value and divided it by total acreage. He clarified that staff is required to review this figure annually. Commissioner Persis stated he finds it difficult to place a value on something such as a wetland that can’t be replaced; whereby, Mr. Ervin stated that from an environmental community analysis, it would be better to have those smaller parcels put onto a larger parcel and made whole to serve a true ecosystem rather than having a series of postage stamp wetlands that are not being properly maintained and are impacted by the environment built around it. Mr. Ervin stated it would be up to the developer to prove a parcel is under five (5) acres, that it is isolated, part of a planned development, and along one of the major corridors in the City. Mr. Ervin stated he does not believe this ordinance compromises the environmental quality, but would better work toward ecosystem management rather than postage stamp wetlands. Commissioner Persis stated it comes down to whether the wetland is viable or not, and Commissioner Schecter reminded that Class 1 wetlands are excluded from this ordinance.

Mayor Hood stated nothing is served by trying to preserve these small isolated wetlands, and it is much better to invest money in larger tracts of wetlands that can be preserved. He stated there are only ten (10) acres in the entire City of Ormond Beach with wetlands that would be affected by this ordinance.

Item #9(B) - Stormwater Management Fee

Commissioner Schecter moved, seconded by Commissioner Kelley, for approval of Ordinance No. 97-14 on first reading, by title only.

Mr. Miller commended staff for the excellent job they accomplished by dovetailing the Stormwater Master Plan with the Pavement Master Plan. He advised that at the February 3rd Stormwater Management workshop there was a consensus to use the "pay-as-you-go" system to fund the more than $12 million in improvements. At that meeting Paul M. Lane, Finance Director, introduced an incremental fee increase from the $3.00 now being charged to $1.00 per year for three (3) years. Mr. Miller stated there was some discussion regarding the use of fees and ad valorem taxes to accomplish these projects. Mr. Miller stated it was determined that a significant number of properties that contribute to the stormwater problems in the City are not on the tax rolls and a considerable amount of the assessment base is undeveloped and, therefore, do not contribute to the stormwater problem causing an inequity if only taxes were increased. He stated last year the taxes were increased .5 mil, with a sunset, to make improvements to the street system and because of this, it is staff’s recommendation to strive for no tax increase this fall.

Commissioner Boyle stated that everyone agrees this is a problem that needs to be solved quickly; however, he noted the staff recommendation would double the current stormwater fee. He stated stormwater is a community problem requiring a government solution and revenue, and the ad valorem tax mechanism is the most equitable method for obtaining that revenue. He stated the fee proposal places the largest burden on the lower and middle income groups. Since Ormond Beach enjoys one of the lowest tax rates in Volusia County, even after the .5 mil levy for streets and roads, he suggested that, in addition to the current $3.00 stormwater fee, the other $3.00 needed be obtained through ad valorem taxes, giving equal weight to each revenue mechanism. Commissioner Boyle pointed out that stormwater fees allow the City to collect from tax-exempt churches, schools, hospitals, and government offices, while collecting nothing from owners of undeveloped property, and taxation of these entities would seem to contradict long standing principals of taxation in this country. He urged the Commission to remember that we are the same taxpayers who pay the bills for schools, hospitals and other government entities and our contributions support the churches, thus we end up paying, indirectly, twice for stormwater. He stated the .5 mil represents approximately a $12.00 per year tax increase on a home valued at $85,000 while the proposed stormwater fee would increase that same home an additional $12 in 1997, an additional $24.00 in 1998, an additional $36.00 for nine more years after that to the year 2008. Further, Commissioner Boyle stated that all homes valued at, above or below this $85,000 value would pay the same fees. He stated that under the proposed fee structure, large commercial properties would pay an equivalency charge of one additional stormwater fee for every 3,000 square feet of impervious surface area, which would be a fraction of the contribution that would be required by the ad valorem levy. Based on this fee structure, he stated, a business of 600 square feet in the downtown area would pay five (5) times as much for stormwater as Wal-Mart. He stated this 3,000 square foot equivalency formula also applies to large high-rise condominiums, such as the Heritage, which allows these homeowners to pay a fraction of the stormwater fee assessed to a single family home. Commissioner Boyle stressed the fairness and equity concerns and recommended removal of the $3.00 fee increase, keeping the present $3.00 stormwater fee, and increasing the millage by .5%.

Commissioner Boyle moved to amend the ordinance to eliminate Section C of the ordinance and substitute a .5 mil increase, with all the appropriate language, for the duration of the stormwater project. The amendment failed for lack of a second.

Commissioner Schecter stated that tonight is a historic evening in that, for the first time in the history of Ormond Beach, staff has put together a ten (10) year package for both pavement management and stormwater management which will address these problems that have existed for decades; and he considers this to be the single most important vote he has made since 1994. He stated the message to the public is "relief is on the way", which leaves the funding question. Commissioner Schecter proposed that instead of increasing fees or the millage rate, the current .5 mil increase be extended for an additional five (5) years rather than be sunset as proposed, and the .5 mils be applied to both road and stormwater projects. He stated under this method there would be no new taxes, no increased stormwater fees, and the money needed would be available for these projects.

Mr. Disselkoen advised that, since the Commission is not scheduled to discuss budget issues and any change in the millage would have to be addressed through the annual budget process, a continuation would be necessary until that time to consider this proposal.

Mr. Paul Lane, Finance Director stated this method might complete the projects two and one-half years earlier than the planned ten (10) year period; however, he could not state that the money would be available for these projects if the fees are not raised. He stated this method of funding would probably be sufficient if the fee were raised to $2.00 instead of the $3.00 and the .5 mil increased for an additional five (5) years.

Commissioner Kelley stated that if the stormwater were competing for the funds earmarked for the roads, the road projects would be delayed.

Commissioner Schecter requested this be addressed at the second reading and that staff come up with figures regarding the "mix" that would let the projects be completed in a timely manner and not hit the stormwater fee so much.

Commissioner Schecter moved to amend the Ordinance to continue the .5 mil ad valorem levy that was adopted for the road funds for an additional five (5) years and earmarked for these projects, with a sunset date. The amendment failed for lack of a second.

Commissioner Kelley stated that he agrees with Commissioner Schecter that this is a monumental issue in setting forth a plan for the stormwater problem, but he again cautioned the citizens that this will not solve all the drainage problems. He stated he supports staff’s recommendation and finds it to be fair and equitable. Commissioner Kelley stated he believes new housing causes less flooding problems then the old housing, because of the restrictions now placed on developers.

Commissioner Persis suggested raising the stormwater fee to $4.00 on May 1, 1997, with the remaining funds collected from ad valorem taxes. He stated the money needed would remain constant, but the millage rate should decrease each year with the increase in appraisals and property values. Commissioner Persis recommended starting with the $1 increase to begin the projects, and then have a commitment from the City Commission to fund it and figure out exactly what combination of ad valorem taxes and fee increase is needed at a later date.

Mr. Miller stated that in the case of the Pavement Management Plan, the City Commission committed to fund it through a .5 tax levy with a promised sunset date of five (5) years, and he cautioned the Commission to be sure there is funding available to complete the projects committed to by the Commission.

Mayor Hood stated that at the time he took office, the infrastructure, the water and sewer system, the economic development and the drainage had been neglected for many years; and because of this, the cost of fixing these problems will not be small. He stated that it was important that before this government could ask for an increase in fees or taxes to address these problems, it was important to have "operationally, put our house in order" so that it could be reasonably established that the funds collected would be spent as well as possible. He stated the last two (2) to three (3) years were spent doing this very thing, and the Commission has cut $3.5 million out of the operating budget over the last three (3) years. He stated the time has come to solve these problems, which all agree upon, thus leaving only the question of funding -- either ad valorem taxes or a fee system. Mayor Hood stated Ormond Beach’s ad valorem tax rate is in the bottom two (2) or three (3) of the municipalities in Volusia County; however, the utility fee is the best option, because it can be committed and would be less subject to politics. At the same time, he stated, the burden will be put on staff who will be responsible in the next ten (10) years to set specific goals to find grant programs, either through the federal or state government, to help supplement these monies, with the understanding that every time a grant is received, the program is to be accelerated so when these projects are completed, the fee will be sunsetted until we can go back to the $3 charge. Mayor Hood stated that within the next sixty (60) days the City Commission needs to set goals for staff to find grants and look into the issue that if operating savings are found, those monies be committed to streets and drainage to accelerate the projects and eliminate these fees as quickly as possible.

Commissioner Boyle stated he does not see a difference between the street problem and the stormwater problem; the ad valorem mechanism is universal and the most equitable; and the Commission will be in trouble when the people figure out that 2/3 to 3/4 will be paying twice the amount in fees that they would in ad valorem taxes.

Commissioner Schecter commended staff who has worked for two years in putting these projects together on a dovetailed list so the Commission can answer citizen questions regarding when these projects will be done ad at what cost.

Item #9(C) - Purchasing Methods

Commissioner Schecter moved, seconded by Commissioner Kelley, for approval of Ordinance No. 97-15 on first reading, by title only.

Item #10 - Improvements at Fortunato Park

Commissioner Schecter moved, seconded by Commissioner Boyle, for approval of Resolution No. 97-47 on first reading, as read by title only.

Mr. Miller stated that the City has saved in excess of $55,000 by rejecting the previous bid proposals and a commitment has been obtained for completion by July 1, 1997.

Commissioner Schecter commended staff for their quick and intensive work on this project and asked that progress reports be made available to the Commission.

Item #11(A) - Discussion - Granada Plaza Appeal

Mr. Ervin stated that in September, Granada Plaza came forward with a Planned Business Development for a T.G.I. Friday’s where the applicant proposed a modification to the exterior that required a change throughout the Center that consisted of red and white awnings, painting the existing green and blue to a red and terra-cotta color and changing the existing green roof tile to terra-cotta. He advised the intent of the Bovard/Granada Streetscape Overlay District is to provide design guidelines for private and public entities, to emphasize the Mediterranean design though low cost improvements including awnings and paint colors and encourage, wherever feasible, that the color must be consistent with the Streetscape color chart. He stated the key point being contested is Section 14.09 of the Land Development Code (LDC) where it states "It is the intent of this code that signage and awnings within shopping centers and industrial parks or any other development having more than one business, office or industrial use shall be harmoniously coordinated. To meet this objective a signage awning plan shall be submitted in conjunction with the site plan review, and this plan shall include the following … type of lighting, colors, materials, letters to be used on signs and awnings." In the PBD application, pursuant to staff comments, the Granada Plaza trustees agreed to change out the awnings throughout the shopping center and to change the roof tile colors and the accent colors on the building. He advised this was brought forward at the Development Review Board. He advised Section 14.09 of the LDC states "Awning colors and design shall be compatible with the color and design of the buildings. An awning shall be of a color selected from the Streetscape color chart or those listed in Section 14.12D.11 of the Code." He stated the applicant agreed to the change; whereby, staff processed the PBD and a site plan, and a building permit was issued. Mr. Ervin stated that in December Mr. Neubauer came in and stated they really didn’t mean to agree to these requirements and asked how to change them.

Mayor Hood asked if, at the Development Review Board, these conditions were understood for approval of the Friday’s Restaurant and if the conditions are included in the Development Order. Mr. Ervin answered affirmatively.

Mr. Disselkoen clarified that Mr. Ervin is making an interpretation that the Land Development Code does not allow the PBD to be amended, and Mr. Neubauer is appealing to the City Commission to reverse Mr. Ervin’s interpretation which would allow them to proceed with the processing of a PBD amendment. Mayor Hood stated the technical question is whether the Land Development Code mandates that there is no review of the PBD.

Mr. Ervin reiterated Section 14.09 emphasizes "harmoniously coordinated"; whereby, Commissioner Kelley stated that "harmoniously coordinated" is very subjective. Mr. Ervin stated that without the power to inform a developer a shopping center must be coordinated, staff will not be able to preserve the balance they have maintained to this point. He stated the code is very specific about this issue. Mr. Ervin stressed that while the developer is seeking a variance for Granada Plaza, this decision will apply Citywide.

Commissioner Boyle stated the colors have been in the Streetscape ordinance for over ten (10) years, and in his opinion, they simply have not worked. He expressed dissatisfaction that a commitment had been made by staff in June to alter the north entrance from A1A to the parking lot, which is more important to him than colors, since it involves a safety issue and nothing has been done about that issue. Commissioner Boyle stated he feels the most healthy business establishments in shopping centers are eclectic, and he urged the Commission to revisit the code to be more flexible to help fill the empty stores.

Commissioner Persis stated the Blockbuster shopping center is eclectic, and he asked if Friday’s was in violation of any codes at the present time. Mr. Ervin stated that if staff strictly adhered to the code, the modifications for T.G.I. Friday’s would not have been allowed; but to be developer friendly and insure that there would not be vacant stores, the developer was allowed to post a bond in the event the appeal is denied so that the City would have something to cover the costs to do the work required. He advised this would entail changing the blue/green awnings, repainting the roof tile, and changing the blue/green accents to a terra cotta or red color. Commissioner Persis stated his opinion that he liked the look of the shopping center, and the business seems to be doing well. He cautioned that if the language in the code is too restrictive and makes every shopping center look alike, this may not be what is really needed in every area of the City. Mr. Ervin stated this development is in the Granada Streetscape Overlay District which was specifically approved to have a harmonious appearance.

Mr. Miller stated the professional staff has made an interpretation of the Land Development Code; he has reviewed it and the City Attorney has also reviewed it, and both agree with staff. He emphasized that the interpretation is the issue before the Commission tonight, not what colors are best suited. He stated the City Commission has, in the past, encouraged staff to have flexibility instead of having details for every possible scenario, and he feels this is a perfect example where staff has giving an accurate opinion but has tried to work with the developers and has allowed the store to be occupied by a desirable tenant. Mr. Miller asked the City Commission to support staff’s position.

Commissioner Schecter asked if a compromise position can be reached which would not change the existing code, but would delay a decision until the Main Street organization comes before the Commission with new recommendations.

Mr. Ervin stated that, at the present time, the end cap at Granada Plaza is red and white, with the remainder of the shopping center blue and green. He stated his main concern is that the next tenant at the McCrory’s store may come in and put up an entirely different color scheme with the awning, building or roof type. Mr. Ervin stressed there needs to be continuity, harmonious use of colors, and the overall design needs to be maintained.

Mayor Hood stated his fundamental concern is that, if the City approves a project based upon representation of developers that they will do certain things, then those things should be done. He stated he is concerned by the precedent that would be set if this were approved.

Mr. Charles Lichtigman, a trustee of the Granada Plaza Shopping Center, stated that both he and staff were anxious to get a restaurant of the caliber of T.G.I. Friday’s in the community, and Friday’s was anxious to get the business started as well. Mr. Lichtigman stated staff did inform them that only certain colors would be approved; but they also knew that the Main Street organization was revisiting the issue of colors, and they were hopeful that there would be different Main Street criteria that could apply that would make for a "more realistic and aesthetically pleasing color scheme." He advised the last thing they wanted was to make the entire shopping center look like one large Fridays Restaurant or to agree to something tentatively. Mr. Lichtigman admitted the City was very cooperative, yet they depended on the Main Street organization to recommend "a more appealing design concept for the entire Main Street area."

Mr. Ervin stated that he was present at every meeting regarding this development, and that assumption was never made. He stated the City is in the process of changing the Land Development Code to revise the Streetscape color chart, but it was never represented that what was being proposed was allowed by right. He stated the City did not mandate that the entire shopping center look like Friday’s, or that the oval awnings be changed to the square Friday’s type awnings with the full red and white stripes, but that the blue and green be changed to red and white. He stated staff offered a change in the patterns to a reddish color and the roof to a terra cotta. He advised plans were submitted in July, 1996, which were incorporated into the PBD and the approved site plan that showed the red and white awnings and a terra cotta roof and accents, which were subsequently included in the DRB packet, the City Commission packet, the approved site plan and the building permit.

Commissioner Schecter asked when the developer would have to comply if the request is denied. Mr. Ervin advised staff would probably give them thirty (30) days to make the changes if the appeal is denied.

Commissioner Schecter moved to deny the appeal by Mr. Neubauer. The motion failed for lack of a second.

Commissioner Boyle moved, seconded by Commissioner Kelley, to grant the appeal by Mr. Neubauer.

Commissioner Kelley stated that a developer should fulfill his commitments, but he also noted that changes are about to be made to give more flexibility. Mr. Ervin stated that if the City Commission does not wish to maintain a harmonious appearance, the standards should be eliminated completely. He stated that the downtown has 85% occupancy, yet has most restrictive design criteria.

Mr. Disselkoen reiterated the issue is whether the Planning Director is correctly interpreting the Land Development Code as it exists, and the appellant has offered no argument to disagree with that position. He advised that, if the Commission does not agree with the provision, the proper mechanism is to affirm the termination, and then have the Planning Director revisit the code as it exists.

Commissioner Schecter stated that staff is entrusted with interpreting the Land Development Code every Thursday at the Site Plan Review meeting, making compromises and decisions. He agreed the issue is whether the Commission should amend or break the Land Development Code, and a support of the applicant’s appeal is in essence saying "we don’t trust staff’s interpretation". Commissioner Schecter encouraged the applicant to meet with the Main Street organization to develop something that is good for all. He also cautioned to being site selective in dealing with the Land Development Code.

Commissioner Boyle stated all he is asking is that staff be more flexible in interpreting the Code. He stated this is a Commission issue, and not a decision to be made by Main Street.

Commissioner Kelley reiterated that "harmoniously coordinated" is the issue, while is just a matter of interpretation; whereby, Mr. Ervin stated Webster’s definition of harmonious is congruous, blended into a whole. Mr. Ervin provided a video showing examples of shopping centers in the area that he believes are not harmonious, with different colors, building designs, and roof pitches.

Mr. David Neubauer, 487 John Anderson Drive, a trustee of the Weekie Watchie Lease Trust which owns Granada Plaza, expressed his appreciation to the City Commission and staff for accommodating certain requirements of the tenants, the Trust, and the City’s ordinances to allow T.G.I. Friday’s to locate in Ormond Beach. He stated the owners of the shopping center did consent to the colors in the development order, but he believes the existing colors work better than those that were agreed to. He stated he finds it inconceivable that there is no appeal to a development order once entered into.

Mr. Miller again reminded the Commission that this is an "at large" City issue, not just Main Street.

Commissioner Persis questioned if the appeal were denied and the developer changed the colors, if the developer may end up having to change the colors again to comply with the Main Street recommendations. Mr. Ervin stated Main Street had a design subcommittee who determined the color chart was too restrictive, to which staff agreed. He advised staff is changing the Streetscape colors though a proposed Land Development Code that has gone through the Planning Board and a first reading of the City Commission. He stated the answer to Commissioner Persis’ question is "no."

Item #11(B) - Barnett Bank ATM Kiosk Stripe
Mr. Ervin stated there was a misunderstanding between staff and the applicant regarding the appearance of the kiosk,where staff though the kiosk would contain the same colors as the building. The advised the applicant first appealed to the DRB, which gave Barnett Bank two (2) options--to either paint the building white to match the kiosk or paint the kiosk tan to match the building. Mr. Ervin stated this appeal is to approve the stripe on the kiosk. He stated that pursuant to Article 5.04 of the Land Development Code, stripes and geometric patterns are strictly prohibited unless they are associated with a unique architectural feature, and as such, the applicant may appeal to the City Commission. Mr. Ervin explained that because of the miscommunication, staff felt it fair to allow Barnett Bank to operate under a bond to cover expenses while the appeal is pending.

Mr. Kevin Trussell, Barnett Bank Inc. of Jacksonville, asked the Commission for permission to allow the kiosk to remain as it stands, stating the drawing submitted did show the stripe although it did not mention the colors the kiosk would be painted. Mr. Trussell brought a display of the corporate ATM network strategy showing the current kiosks standard throughout Florida and Georgia, with the green and white stripe design. Mr. Trussell explained that the banking business is moving toward self-service, with the ATM kiosks a key player in this change. He stated the marketing hinges on the ability of the customer to recognize the existence of the kiosk at any given location, and any attempt to alter the appearance would be to deny Barnett its corporate identity and hinder its ability to market its product. Mr. Trussell stated Barnett has made compromises which increased the cost of the landscaping and site work, increasing the cost for an additional $15,000 as well as removing signage to meet codes. He advised Barnett agreed to paint the main building white per the DRB option.

Mr. Jim White, Sr. Vice President, Marketing Section of the local affiliate of Barnett Bank, stated this particular ATM has been used in many offices. Mr. White pointed out that the kiosk is just a little bigger than a gas pump, and gas pumps are allowed to contain stripes on Granada Boulevard. Mr. White stated the distinctive white with green is an indication of a Barnett kiosk to Barnett customers as well as people visiting the area in need of an ATM, and the viability of the facility depends on the ATM. Mr. White requested the City Commission leave the ATM white and green, but advised they will go to the additional expense to paint the entire building white with a green accent stripe to tie in with the ATM.

Commissioner Schecter expressed disagreement with the colors of the kiosk and asked if Barnett would consider painting the kiosk beige to match the building, stating Barnett’s corporate color is green, not necessarily green and white. Mr. White stated that white is an approved color and reiterated that Barnett’s colors are green and white, not beige.

Mr. Disselkoen advised the DRB has already addressed the color issue, the only issue before the City Commission is whether to retain the stripe. Mr. Ervin agreed that white is an approved color and so is beige, the question is consistency.

Commissioner Persis strongly objected to the aesthetics of the kiosk as it is currently and pointed out the "Super Teller" sign is adequate for anyone to find it.

Commissioners Boyle and Kelley expressed support for Barnett’s petition.

Mayor Hood stated that if the standards are not upheld, they serve no purpose.

Commissioner Kelley moved, seconded by Commissioner Boyle, to accept the stripes on the Barnett Bank kiosk, as requested.

Item #11(C) - Reestablishing Services Previously Provided by the Community Fund
Pastor Joseph A. Maher, Holy Child Episcopal Church, asked the City to help reinstate the services provided by the Ormond Beach Community Fund.

Mr. Jack Miller stated the people involved with this project will be community people, mostly from the churches, but not limited to churches. He advised funding and volunteers will be provided by people in the churches, synagogues and other organizations in the City of Ormond Beach, and Halifax Urban Ministries will be asked to supply the structure needed. Mr. Miller commended the Commission for all they are doing to promote housing for the poor, and he asked that the group be allowed to use the building previously used by the Community Fund.

Commissioner Kelley recommended looking for another, more permanent, location rather than have them move in and then have to relocate again in six (6) months; whereby, Mayor Hood instructed staff to look for a more permanent location before the next meeting.

Mr. Miller expressed his support and requested a report be periodically made available regarding the successes achieved by this new group.

Commissioner Persis disagreed with waiting and stated the needs of the poor are too important to wait even to the April 1st meeting, especially since the people of Ormond Beach are used to this location.

Mayor Hood stated they would probably not be ready to start until after April 1st, and he asked staff to work with Mr. Jack Miller to find a permanent location to accomplish its goals.

Commissioner Schecter stated his concern is that the Commission has had prior requests for locations from other organizations who also do excellent work in the community such as the Historical Trust who deals not just with buildings, but helps the people of the City; and these requests were turned down. Commissioner Schecter asked if this group would be willing to work on a short-term lease agreement with a 90-day removal clause. Mr. Jack Miller stated they would accept anything the City is willing to provide.

Mayor Hood stated there is a major distinction between this organization and the Historical Trust, since the Historical Trust deals with buildings while this organization deals with people, their ability to eat, educate their children and keep them safe. Commissioner Schecter agrees there is a difference and supports the work of the Community Fund, but he reminded that there are many needy organizations who need help.

Father August Sorvillo, St. James Episcopal Church, stated that the City is paying $18,036 per year for the utilities on the Community Fund building; and as a part of their agreement, their organization would be willing to take on that cost. He stated that he would prefer to get into the building as soon as possible, even if they would have to relocate at a later date. Father Sorvillo stated that through the Community Fund they can make sure people who are really in need will be serviced and those who abuse the system will not.

Commissioner Boyle stated there is an unoccupied building available for use, and he would like to see this organization occupy it as soon as possible. He stated if something better is found later, they can relocate at that time.

Commissioner Boyle moved, seconded by Commissioner Persis, that the Reverend Maher’s organization be allowed to use the Community Fund building quickly, and if they need to move to another location in the future, it can be dealt with at that time.

Item #12- Reports, Suggestions, Requests
Request to Reopen Discussion Regarding Granada Plaza Appeal
Mr. Lichtigman stated that changing the awnings at Granada Plaza may be a decision the City may have problems with in the future, explaining the cost is not the issue since they need to be replaced in any event. Mr. Lichtigman asked if one of the Commissioners who voted "no" would vote to reconsider and table the appeal for three months until the new Streetscape plans are developed.

Commissioner Schecter moved, seconded by Commissioner Kelley, to reconsider the appeal of Granada Plaza.

Mr. Ervin stated the Land Development Code changes to the color chart which incorporated the advice given by the Main Street subcommittee have already been presented for approval on first reading.

Mr. Miller stated that, as City Manager, he strongly advises against approving this motion.

Mr. Ervin stated that, if the Commission wishes to give Mr. Lichtigman another chance to be heard, he suggested supporting staff on this appeal, then directing Mr. Lichtigman to request a Land Development Code change to alter these specific sections. This request would have to be processed through the Planning Board and the City Commission. He stated if the Commission feels a delay in making the changes at Granada Plaza is important, then it should direct staff to continue holding the bond until the Land Development Code amendment has been processed, which would be at least three and one-half (3 1/2) months.

Commissioner Schecter moved, seconded by Commissioner Boyle, to deny the appeal of Granada Plaza, to direct the applicant to initiate the desired Land Development Code changes through the Planning Board, and to hold the bonds regarding the changes to the awnings, roof tiles, etc., until that Land Development Code change has been considered.

Beach Access at Granada Boulevard and A1A
Commissioner Boyle stated he observed that last Sunday there were only eighteen (18) people on the beach in the entire stretch of beach between Oceanfront Park and Neptune, and there were a lot of cars parked at Neptune. He stated the cars accessing the beach from Granada Boulevard backed up from the toll booth onto A1A blocking the northbound lane on A1A. He suggested staff alert Volusia County of this problem.

Code Enforcement Update on North Yonge Street
Commissioner Boyle stated he has received six (6) calls from residents stating the code enforcement problem is still occurring on North Yonge Street, and he recommended a court injunction on the violator and the lien process be completed so the individual can be arrested or have one of his wreckers ceased, or both, to bring him into compliance.

Eastern Sector Police Station
Commissioner Schecter stated he had asked for an update on the Eastern Sector Police Station, but he has not received one to date. He again asked that this report be distributed to the Commission.

Wind Sign Requirements
Commissioner Schecter requested an item be placed on the agenda or information be given regarding wind sign requirements.

Summer Dress Code
Commissioner Kelley revisited the idea of casual summer dress code for both staff and the Commission.

W.D.L. Airpship, Inc.
Mayor Hood reported the City of Ormond Beach has signed a Letter of Intent with W.D.L.’s subsidiary, U.S. Airpships, to move their world headquarters from Düsseldorf, Germany, to Ormond Beach. Mayor Hood commended Ted Kramer, Eugene Miller, Fred Disselkoen, Drew Page, the Florida Department of Transportation, as well as the Volusia County Opportunity Fund for all their efforts in achieving this goal. He advised that W.D.L. will bring over 150 jobs, paying over $12 per hour as an average, to our City; and there is now a greater possibility that other German businesses will be more interested in relocating to Ormond Beach.

Item #13 - Close the Meeting

The meeting was adjourned at 10:10 p.m.

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