Present were: Mayor Dave Hood, Commissioners Jeffrey J. Boyle, Thelma Irvin, Frank
Gillooly, Carl G. Persis, City Manager Eugene Miller, City Attorney Randy Hayes, and
Veronica Patterson, City Clerk.
Item #1 - Call to Order
Mayor Hood called the meeting to order at 7:00 PM.
Item #2 - Invocation
The invocation was given by Reverend Chris Akers, First United Methodist Church of
Ormond Beach
Item #3 - Pledge of Allegiance
Mayor Hood led in the Pledge of Allegiance.
Item #4- Audience Remarks
Fireworks
Mr. Don Bostrum, 274 Cumberland Avenue, stated he was under the impression
the issue of having fireworks at the Fall Festival would be discussed at this meeting, but
it is not on the agenda. He asked the status of this discussion.
Mr. Eugene Miller, City Manager, stated this item will be on the August 11th
agenda. He explained that when the City Commission meetings are held on consecutive weeks,
there are only two (2) days between the Tuesday night Commission meeting and the Thursday
when items must be forwarded for processing in the City Commission packets, thus leaving
insufficient time to prepare staff reports or any other information.
Prayer Before City Commission Meetings
Mr. Morris Levy, 40 Whippoorwill Lane, indicated that the community is made up of
people with a variety of beliefs, some other than Christianity. He recommended opening the
Commission meeting with a silent prayer.
Office Supply Stores in Ormond Beach
Ms. Jackie Taylor, owner and operator of Volusia Office Supply, 38 West
Granada Boulevard, stated that at the June 16th City Commission meeting,
Commissioner Persis indicated that Ormond Beach did not have an office supply store. She
stated she would like to cordially invite Commissioner Persis to come to her store which
has been in Ormond Beach since 1962, and pointed out that Eisenhauer Office Supply has
been in Ormond Beach for 12 years.
Condemned Signs
Mr. Jim Powers, 3 Santa Lucia, stated the Building Department condemned seven (7)
burned signs after the fires. He reported according to the Highway Beautification Act of
1965, those signs cannot be rebuilt. Mr. Powers stated the Building Department put
out a stop work order which the owner ignored. He advised the owner is claiming arson
burned the signs, and they are building in defiance of the stop work order to have the
issue settled in court. He stated the claim of arson would have to be proved before they
are justified for rebuilding in defiance of the stop work order; therefore, he recommended
addressing this issue more aggressively.
Mr. Todd Herget, Chief Building Official, acknowledged that staff did issue a stop
work order, and it was defied. He stated the Code allows the City to give citations, with
the authority to remove the signs after thirty day. Mr. Herget stated the Code will
be followed to the letter.
Replanting Trees Along US#1
Ms. Mercedes McCallen, 40 Longfellow Circle, Vice-President for Citizens for
Ormond Beach, suggested a pursuit for the newly formed Environmental Advisory Board might
be a contingency plan to revegetate some of the burned timber along US #1 north of
the bridge over the Tomoka River. She recommended Laurel Oak and Long Leaf Pine be planted
due to their fast growing capabilities.
Goldy Property
Ms. McCallen questioned the status of the application to the Florida Communities
Trust regarding the Goldy property.
Mr. Tom Lipps, Assistant to the City Manager, stated the application is being
processed. He stated the goal was to put the property into public ownership.
Mr. Lipps explained the application has triggered interest on the part of the State
of Florida to directly acquire the property; therefore, if the State buys the property,
the same purpose would be accomplished in a straight forward process.
Ms. McCallen stated the appraised value was $250,000, and if the owner asked for
more than the State is willing to pay, there would still be a funding problem; whereby,
Mr. Lipps stated that if the City or the State purchased the land, it would be funded
by P2000 funds, where an appraisal would have to be done to establish the price, which
would be the same whether through the City or State.
Ms. McCallen explained the funds that exist in the Water Management District
Permit were to be set aside for the boundary of the Tomoka River. She stated she was
informed these funds were spent outside the boundary of the Tomoka Basin; therefore, if
funds are short, it may be possible to acquire the $300,000 the Water Management District
was to spend in the Tomoka Basin.
Mayor Hood asked Mr. Lipps to look into the matter and inform
Ms. McCallen of his findings; whereby, Mr. Lipps stated this issue has been
pursued, but they have not yet received an answer.
Item #5 - Consent Agenda
Mayor Hood advised that 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 questions
or wished to discuss any one or more of the items separately.
Commissioner Boyle and Commissioner Gillooly asked that Item No. 5(F) be discussed
separately.
Commissioner Persis moved, seconded by Commissioner Gillooly, for approval of the
Consent Agenda minus Item No. 5(F).
| Call Vote: |
Commissioner Boyle |
yes |
|
Commissioner Irvin |
yes |
|
Commissioner Gillooly |
yes |
|
Commissioner Persis |
yes |
| carried. |
Mayor Hood |
yes |
Item #5(F) - Outdoor Fish Smoking Operation
Commissioner Boyle asked if there was an ongoing investigation of this complaint;
whereas, Mr. Todd Herget, Chief Building Official, stated there is an ongoing
investigation by Police and Code Enforcement. Mr. Herget stated Officer Rumery
canvassed the neighborhood to discuss the situation with the neighbors. Commissioner Boyle
asked if any City employee observed the offensive burning while it was ongoing, to which
Mr. Herget replied they did not. Mr. Herget advised he had given the police
dispatch phone number to Ms. Share to inform the Police so they can witness any
incident.
Commissioner Boyle questioned if the recent prohibitions on open burning should apply
to this situation; whereby, Mr. Randal Hayes, City Attorney, stated he does not
believe this would apply, but he would check to be sure.
Mayor Hood stated any open burning or grills are banned; whereby, Mr. Hayes
stated if it were open burning, it would apply, but if it were in a grill, it would not.
Police Chief Larry Mathieson advised that officers visited the residence of the
person smoking the fish. He stated the situation has been turned over to the Health
Department, but as far as he can judge at this point, there is no illegal activity.
Chief Mathieson stated Officer Rumery will try to meet with the complainants and
the property owner to try to come to a reasonable resolution through a mediation process.
Commissioner Boyle stated that if this were a code violation, by the time the process
has been completed, 60 to 75 days would have elapsed. Mr. Herget stated it would
depend on when the next board meeting is held, which meetings are held on the fourth
Monday of each month, and how long the board allows for compliance.
Mr. Ray Dunnigan, 1318 Overbrook Drive, stated the stench of this fish
cleaning permeates the Northbrook area, and the scraps that are being washed off the
cutting board may ultimately result in a health hazard. Mr. Dunnigan also expressed
concern regarding property values. He stated if there is no code to address this issue,
the homeowners ask the City Commission to undertake the necessary action to help alleviate
this problem.
Mayor Hood indicated Chief Mathieson will try to work out an amicable
solution, and failing that, it is to be brought back to the City Commission for review.
Ms. Betty Taylor, 1319 Overbrook Drive, reported this problem has existed for
eight weeks. She stated every weekend the smell is overpowering.
Commissioner Gillooly stated he has spent hours on the telephone with various residents
in this area and assured them that the Commission does not feel this is a small matter. He
stated the Commission will do all that is possible to remedy the situation.
Ms. Tina Share, 1317 Overbrook Drive, stated the agenda indicates a complaint
about a business; however, she and her neighbors do not maintain this is a business, but
the obnoxious odor emanating from a residence. She quoted from The Trails Homeowners
Association Covenant, "No noxious or offensive activity shall be carried on or
suffered to exist upon any lot, nor shall anything be done or permitted to exist on any
lot that may be or eminently become an annoyance or public or private nuisance."
Ms. Share
stated for the City to ask the residents to form a homeowners association does not solve
the problem; therefore, the protection of the City with a similar rule is requested.
Mayor Hood stated Chief Mathieson will supply a report for the Commission to
deal with this at the next meeting.
Item #6(A) - "Indian Springs" Subdivision
ORDINANCE NO. 98 - 29
An ordinance approving the final plat of "Indian Springs" subdivision;
establishing conditions and expiration dates of approvals; authorizing the placement of
official traffic control devices; SETTING FORTH AN EFFECTIVE DATE.
Commissioner Persis moved, seconded by Commissioner Gillooly, for approval of
Ordinance No. 98-29, on first reading, as read by title only.
| Call Vote: |
Commissioner Irvin |
yes |
|
Commissioner Gillooly |
yes |
|
Commissioner Persis |
yes |
|
Commissioner Boyle |
yes |
| carried. |
Mayor Hood |
yes |
Item #6(B) - Environmental Advisory Board
ORDINANCE NO. 98 - 30
AN ORDINANCE amending Chapter 2, Administra-tion, Article VI, Boards, Commissions,
Committees and Other Agencies, Division 2, enumerated, of the City of Ormond Beach,
Florida, Code of Ordinances by adding thereto a new section establishing an Environmental
Advisory Board; providing composition and qualifica-tions of members, terms of office,
compensa-tion, procedures for conducting business, powers and duties; REPEALING ALL
INCONSISTENT ORDINANCES OR PARTS THEREOF; SETTING FORTH AN EFFECTIVE DATE.
Commissioner Boyle moved, seconded by Commissioner Irvin, for approval of
Ordinance No. 98-30, on first reading, as read by title only.
Commissioner Gillooly moved, seconded by Commissioner Irvin, to amend the appointing
of the Board members from a zone basis to an at large basis and to have the Board report
directly to the City Commission.
Commissioner Persis stated he is pro-environment, but anti-bureaucracy. He stated the
"Indian Springs" issue which the Commission just approved is evidence that the
current system is working. Commissioner Persis pointed out that of the 33 questions asked
by the Site Plan Review Committee and the Planning Board on that subdivision, 17 were
environmentally related. He stated the people appointed to the current boards are
environmentally sensitive and are doing a good job, and creating an environmental advisory
board may be insulting to the existing board members. Commissioner Persis conceded there
have been some slips, but there have been many more victories. He suggested that since all
the boards are scheduled to sunset December 31, 1998, now would be the time to take a
close look at each of the boards, see how they interact with one another, and charge them
and staff to do those things they are charged to do. Commissioner Persis explained that
after the six (6) month period, it can be determined if these boards should continue or
new boards need be added.
Commissioner Boyle stated that although Mr. Miller has cautioned the Commission
not to have boards with overlapping responsibilities, he deems this to be not as great a
problem as having gaps in responsibilities. He stated in the packet, Mr. Miller named
three (3) boards with environmental responsibilities: the Quality of Life Board, the
Development Review Board, and the Planning Board. Commissioner Boyle explained that the
Quality of Life Board was informed by staff that they are not to deal with environmental
issues. He stated at the last meeting, the Mayor stated the Planning Board needs to be
more proactive on environmental matters; yet at the last Planning Board meeting, Planning
Board member Joseph Thompson, as well as the other board members, objected because
their understanding is the Planning Board is to be reactive and only deal with what staff
gives them to deal with. He indicated if the Development Review Board were canvassed, they
would probably give the same answer. Commissioner Boyle stated staff has considerable
control of the existing boards, and the direction has been clear. He stated the prior
Environmental Advisory Board functioned very nicely for years with public support and
acceptance.
Commissioner Boyle agreed with Commissioner Persis that staff prepared a thorough
report on the "Indian Springs" project, but named issues which would be suitable
for an environmental advisory board, such as Lisa Lake, off-site mitigation as in the
Office Depot project, and brush fire prevention issues. Commissioner Boyle stated that at
the last meeting he thought a clear direction was articulated by three Commissioners. He
reported citizens want to have input and advise the Commission, and the Commission does
not have to accept that advice since they have the final authority.
Mr. Miller agreed the goal is for the betterment of the community from the
environmental perspective, but this should be accomplished in the most effective manner
possible. He stated this is the time to take a broad, long-term view of the community.
Mr. Miller indicated that as a City Manager, he has seen boards succeed and fail, and
he cautioned the Commission to avoid duplication of responsibilities.
Mayor Hood stated there is no argument that the issue of environmental protection
is paramount; the difference is who would most effectively relate to those issues. He
stated he believes the problem of certain issues "falling through the cracks"
will be exacerbated by creating a new board because three (3) boards exist presently with
some environmental responsibility. Mayor Hood indicated the number of boards involved
should be lessened, not increased, and the Planning Board should be tasked to focus on
visioning and offer the environmental policies the City should adopt.
Commissioner Gillooly state the Development Review Board and Planning Board are usually
site specific and do not do much visioning. He stated an environmental advisory board
would act like a "think tank," and he does not anticipate any conflict with the
other boards.
Mayor Hood stated the reason for consolidating the boards in the first place is
because Doug Thomas and Fred Costello had made the point that they didn’t
have enough time to do the visioning work the community demanded, and for that reason the
Development Review Board was created to handle site specific issues.
Mr. Doug Thomas, 132 Riverbluff Drive, stated that when the Environmental
Advisory Board existed, there were problems as to whether the Environmental Advisory Board
had to answer to the Planning Board or who they were to answer to, and it was not a good
situation. He agreed this is why the Development Review Board was created to handle the
site specific issues, and the Planning Board was to do the visioning.
Commissioner Gillooly pointed out that this visioning is not occurring. Mayor Hood
stated that the Planning Board may not be managing their agenda properly; whereby,
Commissioner Gillooly replied that staff sets that agenda. Mayor Hood stated that he
is hearing from Mr. Miller that staff understands that the agenda needs to insure a
visioning process as opposed to a detailed, site specific process. Mr. Lipps
indicated that, clearly, if something is referred to any board, it will be on that
board’s agenda. He pointed out that anything that involves a Land Development Code
Amendment must go to the Planning Board, and this would continue with or without the
creation of an environmental advisory board. Mayor Hood asked why the environmental
issues could not be addressed by the Planning Board; whereby, Commissioner Gillooly
replied they do not have time to handle these kinds of issues and continue to do what they
are doing now.
Mr. Miller recommended tabling this issue for a work session and stressed the
importance of refining the legislation before voting on it.
| Call Vote to Amend: |
Commissioner Gillooly |
yes |
|
Commissioner Persis |
no |
|
Commissioner Boyle |
yes |
|
Commissioner Irvin |
yes |
| carried. |
Mayor Hood |
no |
| Call Vote on Underlying Motion: |
Commissioner Persis |
no |
|
Commissioner Boyle |
yes |
|
Commissioner Irvin |
yes |
|
Commissioner Gillooly |
yes |
| carried. |
Mayor Hood |
no |
Item #7 - Adopting Proposed Millage Rate
RESOLUTION NO. 98 - 125
A RESOLUTION adopting proposed millage rates for the 1998-99 fiscal year; establishing
the date, time, and place for a public hearing on the proposed millage rates and tentative
budget; directing communications; expressing legislative intent; SETTING FORTH AN
EFFECTIVE DATE.
Commissioner Persis moved for approval of Resolution No. 98-125, with a tax
increase rate of 3.2556 mills and a rolled back rate of 9.95 mills, which includes the
tennis facility improvements, the interior office renovations at the Nova Recreation
Center, and the public art and sculpture, as well as the six (6) additional firefighter
positions.
The motion died for lack of a second.
Commissioner Gillooly moved, seconded by Commissioner Irvin, for approval of
Resolution No. 98-125, with a tax increase of 8.5 mills, which would include the six
(6) additional firefighter positions, 10.3 new positions, and all personnel placed on a
step increase plan with a millage rate of 3.1433 mills and an 8.56% increase over
rollback.
Commissioner Gillooly indicated this increase would mean an increase of $20 per year
for a home valued at $100,000 and using the Homestead Exemption.
Commissioner Persis asked Mr. Bob Bentkofsky, Budget Manager, to explain the
difference between the two motions. Mr. Bentkofsky replied there is a lower tax rate
with Commissioner Gillooly’s motion which will be produced by appropriating more fund
balance in the budget. Commissioner Persis explained that the same will be accomplished
with either motion, but more will be taken from the reserve fund in Commissioner
Gillooly’s motion than in his motion.
Commissioner Boyle thanked Mr. Bentkofsky and staff and stated he believes the
City is in a sound financial position because of their recommendations. He stated the
budget revisions provide four (4) great things for Ormond Beach: capital improvements for
recreation, increased fire protection with the third man per engine company for six (6)
positions, investments in economic development at the Airport, and pay increases for City
employees. Commissioner Boyle explained that the Mayor opposes the City employee increases
on principal, as he explained at the City Commission workshop held before this meeting.
Commissioner Boyle stated that a lesson he has learned with the controversy over the
firefighter increases was that public damage occurs when the elected body is not unified
on money and taxes. Commissioner Boyle stated he thinks it is critical the City Commission
take a unified position, and the Mayor is the leader and spokesperson who is expected to
build consensus and not distance himself from it. He stated he is willing to join a
consensus, but will not be part of any consensus on spending taxes that does not include
the Mayor.
Mayor Hood indicated he will repeat his reason, for the public, for his
opposition. He stated in December, there was a great urgency to get an 18.9% across the
board pay increase for the firefighters. Mayor Hood stated this issue has nothing to
do with the firefighters’ ability, because they clearly are valuable and deserve to
be paid correctly and well. He stated that because of the 18.9% increase, the costs for
paying all the other employees had to be increased. Mayor Hood stated it was
recommended to fund this out of contingency reserves which is an absolute violation of all
logical accounting rules and reasonable management principals, and this is what he
opposes. He indicated he knew this would increase taxes and stated his concern for the
lower income families. Mayor Hood stated the Commission has increased the cost of
government irresponsibly, since there is no additional benefit to the City for these
funds. He indicated the problem is not simply this year, for the problem becomes
compounded. Mayor Hood stated this is an exceptionally good year financial, but the
economy cannot continue to stay at the present rate, and at some point the tax increase
will have to be in the double digits. He reported there are only two (2)
options—either raise the taxes or cut programs. Mayor Hood indicated the only
reason he would raise the tax rate is for the purpose of covering the three-man engines
that Chief Baker has recommended. He stated he also argued when the budget was raised for
the City Attorney and for the Ames House renovation, and when money is wasted, that is
where the credibility in the community gets attacked, not because the Commission disagrees
on tax increases.
Commissioner Gillooly stated Mayor Hood had used the word "waste" which
is a matter of interpretation. He stated firefighters were making $7 an hour to start and
others received no substantial raise four (4) to five (5) years prior, which is where the
18.9% increase came in. Commissioner Gillooly stated he had promised he would not be part
of any tax increase caused by the firefighters raise, and this salary increase is not
creating the tax increase—the extra money is coming from the reserve. He agreed it is
not prudent to take from reserves, but this reserve was achieved by taking the third man
off the truck, which was a very ill conceived plan.
Mayor Hood stated the savings did not come from going from three-man to two-man
trucks; the bulk was saved from outstanding efforts of staff relating to risk management,
contracting out and competitive bidding. Mayor Hood stated that the statement that
firefighters are making $7 an hour is distorting the facts since the average salary was
$35,800 at the time of the increase. He stated with the shifts of 24 hours on and 38 hours
off, the hourly rate is not properly reflective of their salary. Mayor Hood stated
other than Daytona Beach, Ormond Beach is below every other governmental entity on
turnover; therefore, the salary must be adequate because Ormond Beach has first-rate
staff. He advised that if a fair wage increase were given to all the employees of five
(5%) to six (6%) percent, there would be no reason to raise taxes.
Commissioner Gillooly agreed Ormond Beach attracts quality people, and there is little
turnover because they know they will get a good livable wage. He stated it would be
interesting to note what percentage of the total salary budget was paid to firefighters
over the last five (5) years.
Commissioner Boyle submitted that the increase given was a value judgment as to what
was fair. He stated agreement with Commissioner Gillooly in that the focus has been on the
18.9% when the hourly rate is important and lower than almost anywhere outside Volusia
County. He pointed out that the Fire Department has had 44 firefighters for the past five
(5) years during a period when the population has increased by 4,000 and the commercial
and industrial development has also increased greatly. Commissioner Boyle stated this
Commission voted $50,000 a year for the medians on Nova Road to I-95; and during the
course of the negotiation with USAL, a $150,000 parking lot, and $50,000 security fencing
and additional funds for land clearing was approved. He contended these expenses would
have accomplished this raise and the raise for all the other employees.
Mayor Hood explained it is different when you pay an hourly rated for someone who
works an 8 to 12 hour shift, than for a 24 hours shift, when for part of that shift the
employees are sleeping or doing things other than firefighting. He stated except for Fire
Lieutenant, the actual pay annually was first, second or third in the County.
With reference to the funds expended relative to USAL, Mayor Hood stated USAL is a
quality employer bringing 120-170 value added jobs, and the City of Ormond Beach will make
$256,000 from the deal. He stated the Commission had from Thursday until Tuesday to
examine the USAL contract, and nothing but positive things were said at the meeting where
it was approved. Mayor Hood agreed the median was a judgment call, but he objected to
the continuing comments on the USAL contract.
Commissioner Irvin expressed her opinion that this budget is one of the most important
issues facing the City Commission, and she agreed that there should be a consensus. She
stated she hopes the issue of the firefighters’ increase can be ended tonight and the
budget finalized. Commissioner Irvin advised these issues should have been worked out at
the workshop without bringing them into this meeting. She stated she feels that the
Commission could bring a proposal to the citizens which would please them and for which
they would gladly agree will improve the quality of life for Ormond Beach residents.
Commissioner Irvin pointed out that although the population has increased by 4,000, the
police force has not increased for the last four (4) to five (5) years, and these
considerations were figured into the budget.
Commissioner Persis stated that Ormond Beach collected an additional unexpected
$400,000 which will help with expenses; but if salaries are increased, it must be paid for
and the City Commission must have the political courage to defend its actions. He stated
the department heads put together a fair budget with a lot of good things in it, and he
will defend it.
Commissioner Gillooly pointed out that the reserve is very healthy. He noted Ormond
Beach has a 15% reserve, which is the same percentage used by many municipalities, but
Ormond Beach also has almost $500,000 in addition to that 15%, which is where the money
for the raises has been found.
| Call Vote: |
Commissioner Boyle |
no |
|
Commissioner Irvin |
yes |
|
Commissioner Gillooly |
yes |
|
Commissioner Persis |
yes |
| carried. |
Mayor Hood |
no |
Item #8(A) - Florida League of Cities Annual Conference
Commissioner Boyle moved, seconded by Commissioner Irvin, to nominate Commissioner
Persis as the City of Ormond Beach voting delegate to the Florida League of Cities Annual
Conference.
| Call Vote: |
Commissioner Irvin |
yes |
|
Commissioner Gillooly |
yes |
|
Commissioner Persis |
yes |
|
Commissioner Boyle |
yes |
| carried. |
Mayor Hood |
yes |
Item #8(B) - Airport Advisory Board
Commissioner Boyle moved, seconded by Commissioner Gillooly, to establish a five
member citizen Airport Advisory Board with one citizen at large appointed by the Mayor,
four appointed at large by each Commissioner, meeting bi-monthly or as needed, and all
other tasks and requirements of the previous board are to apply.
Commissioner Gillooly recommended the Board be formed tonight, but implementation be
suspended for some period of time.
Ms. Kathy Tomlinson, 1860 Old Tomoka Road, owner of a business at Ormond Beach
Airport, stated her business is already regulated by the NTSB, the DOT, the FAA, the FCC,
Volusia County, and within Ormond Beach they deal with the Planning Board, the Site Plan
Review Board, the Airport Manager, the City Manager and the City Attorney.
Ms. Tomlinson indicated she does not see a need for an advisory board to add another
level of regulation.
Mr. Greg Schamaun related he is employed at the Ormond Beach Airport and is a long
time resident, and the original idea of an airport advisory board was to gain knowledge
from those knowledgeable regarding aviation. He stated that later, it was determined the
board should be comprised of people who don’t know about aviation, assuming that if
experts were needed, they could be obtained. He questioned how members could advise on
issues they don’t know anything about. Mr. Schamaun stated that negates the need
for the board. He stated Mr. Baughman has done an excellent job. He indicated a board
is not needed, but if a board were created, it should be comprised of members who are
knowledgeable about airport operations.
Mr. Dick Porter, Endeavor Air, stated Mr. Baughman is one of the finest
airport managers Ormond Beach has had who gave above and beyond his responsibilities
during the recent fires. He indicated the City needs to support Mr. Baughman, and
give him the authority he needs to fulfill his responsibilities. He stated an advisory
board is nothing but a stumbling block to the performance of Mr. Baughman’s
duties. Mr. Porter stated the people on the board would be pilots who would have no
interest in the businesses at the airport. He explained Ormond Beach Airport has the
capability of becoming a corporate Mecca under Mr. Baughman’s leadership.
Mr. Jack Arrants stated he has been the owner of 50% of the Ormond Beach
Airport since 1984, and it is his feeling airport advisory boards are people with
divergent views meeting to argue, and nothing is accomplished. He stated if
Mr. Baughman has the authority, he can accomplish a lot; therefore, he opposed the
creation of an advisory board.
Mr. Stephen Searle, 3949 Tano Drive, indicated the reason the Airport
Advisory Board was removed was because it was time to move on, and he concurs the
responsibility should be given to the Airport Manager not a board.
Commissioner Boyle stated that while he respects the opinions of the people who spoke,
the City wants to encourage citizen participation, and he pointed out that since 1979, the
FAA has recommended citizen airport advisory boards for cities the size of Ormond Beach.
Commissioner Boyle listed areas in which he believes a board would be helpful: issues
regarding the fixed base operators at the Airport when USAL arrives; the impact created by
corporate jets; new fixed base operators that were recently approved; the wildfire issues;
and single issue questions such as the tie down problem which was recently brought to the
Commission.
Commissioner Boyle stated Mr. Miller defends his personal decision to agree to the
clause in the lease agreement that promised the seat to USAL and that he would agree to 50
seats if the right projects of the right magnitude and economic benefits were to occur. He
stated only the City Commission creates boards, dissolves boards, and makes appointments
to advisor boards, yet the City Manager, in effect, made a permanent appointment if this
board were ever established without any input from the Commission or information to the
Commission. He quoted clause 4.214 "in the event the City creates an advisory board
which is made up of airport tenants and City staff, the airship tenant shall have a voting
seat on such board." Commissioner Boyle indicated the language is quite clear in
stating "tenants and City staff," but no mention is made of a citizen board.
Commissioner Boyle asked the City Manager to invite Mr. G. Larry Sims,
the attorney representing Ormond Beach on the airship deal, to this meeting. He stated the
first reference to this issue was in the May 28, 1997, fax from
Mr. Paul Woessner of USAL to Mr. Miller, and the language only referenced a
board made up of Airport tenants and City staff. Commissioner Boyle asked Mr. Sims if
the intent was broad or narrow as outlined by the applicant. Mr. Sims replied the
tenant was quite interested in participating in any kind of board that would offer advice
and recommendations to the City Commission, understanding that the Commission would have
the final decision-making authority. He stated this company had experiences in Germany and
other locations where governmental entities took actions which impacted their business,
that USAL thought would not have been taken place if all the information had been
available to the governmental entity. Mr. Sims stated there was no discussion
limiting this board to tenants or citizens, but USAL wanted to be a part of any advisory
board since their operation could be affected. Commissioner Boyle questioned the statement
"this right would not come into effect if the law at the time forbids such
appointments to such a board." He asked if this is not an indication that USAL
realized that it would be "a stretch" to be guaranteed a seat on any board that
might be created. Mr. Sims explained that Ormond Beach’s former City Attorney,
Fred Disselkoen, was of the opinion that it was difficult to foresee the future;
therefore, he was reluctant to commit to something that would not take into account future
governmental activities, particularly the FAA. He stated that sentence was in the first
draft, but removed from the final draft, and he pointed out that this would be just an
advisory board with no binding authority on the City Commission. He indicated the language
was also confusing. Mr. Sims advised this issue was a real "deal killer"
type issue to them.
Mayor Hood explained this wording was originally mentioned so that if the FAA had
some specific prohibition to it, it would be dealt with; but Mr. Ted Kramer
determined the FAA had no prohibition, hence there was no need nor desire to continue with
that particular provision within the lease.
Commissioner Boyle asked if USAL ever incorporated in Florida, and if it were
necessary for them to do so. Mr. Sims replied it is not necessary for them to
incorporate in Florida, and USAL currently is incorporated in Delaware. He stated they do
have to qualify to do business in Florida with the Secretary of State, which they have
done. Commissioner Boyle stated Section 47 of the FAA requirements indicates
there must be 75% domestic ownership of foreign aircraft companies, and he asked if that
applied in this case and if there is a need for a domestic partner. Mr. Sims stated
that question is not in his area of expertise.
Commissioner Boyle asked if Mr. Sims is still representing the City with this
lease. Mr. Sims responded that he thought his representation had been concluded
because he was informed he would work through the execution of the lease; however, since
then, he has received letters from Mr. Hayes, City Attorney, and his services have
been reinstated. Commissioner Boyle informed Mr. Sims that a member of his law
firm sued the City this year, and he asked if this would be a conflict of interest.
Mr. Sims indicated that he did not know the suit was being filed until after the
execution of the lease; therefore, he felt his representation was concluded at that time.
He stated that since the City had continued his services, Mr. Hubka notified all
parties that he is withdrawing from his suit against the City, and no action on that suit
has taken place to date. Commissioner Boyle expressed his appreciation for
Mr. Sims’ cooperation.
Commissioner Boyle repeated the lease language is very precise, and USAL was not
promised a seat on a citizen advisory board; therefore, he advocated, as previously moved,
to establish a citizen airport advisory board. He pointed out that if any representative
of USAL becomes an Ormond Beach resident, any Commissioner may appoint that person to the
board.
Mayor Hood stated it is extremely important to note that the only citizens who
spoke tonight told the Commission they do not need nor want an airport advisory board, and
these are the people who have a vested in the Airport. He stated that when the board
existed, in a two-year period there were only eight (8) meetings and three (3) lasted no
more than 10 minutes, which speaks volumes on the need. He stated the reason the board was
disbanded is because the board, itself, requested it be disband, and he sees no compelling
reason to have another layer of bureaucracy that has to be staffed by City staff.
Mayor Hood pointed out that Mr. Baughman indicated he will have periodic
meetings with those who have a vested interest in the Airport, or anyone from the public,
to obtain input. He stated Ormond Beach has first rate staff, and the best thing is to let
them do their job.
Mayor Hood stated the issue of USAL being continually raised is appalling in that
this contract took long hours of negotiation and they are giving value added jobs to the
community. He stated there was no doubt in anyone’s mind who attended the
negotiations about the interpretation of the lease regarding a seat on an advisory board.
He stated this is a legitimate request, and there is an obligation to deal in good faith.
Mayor Hood stated a continuing seat on a board is not unprecedented, and he pointed
out that Ormond Beach Youth Baseball, an independent corporation, sits on the Recreation
Advisory Board. He stated that if the City wants economic development, it must stop making
it difficult for people to do business; and if someone signs a contract and brings jobs,
it does nothing to create trust and good faith if the Commission tries to figure out how
to keep them from doing what was clearly intended. Mayor Hood asked Commissioner
Boyle to move to reconsider and cancel the deal, or stop complaining about it.
Commissioner Boyle stated this clause is not a loophole, but contains precise
language. He stated the question is not if Ormond Beach wants economic development, but if
Ormond Beach wants economic development that bypasses the government process. He stated
good faith is a value judgment. Commissioner Boyle stated that in reading the
documents that weren’t copied to him during the negotiation process and how things
were added after the letter of intent was signed, he would question the good faith on the
part of USAL.
Mayor Hood stated he negotiates multi-million dollar contracts for a living, and
these deals take a lot of time to build trust and to understand what each party needs to
accomplish. He stated that although there were misunderstandings, time was spent to work
the problems out, and USAL did nothing that could be construed as bad faith.
Mayor Hood reiterated this board would be advisory only and "not a big
deal"; whereby, Commissioner Gillooly stated that if it is "not a big
deal," why it should be a deal breaker. Mayor Hood asked Mr. Woessner if he
felt this action would be considered a breach of good faith.
Mr. Paul Woessner, representing USAL, explained a 30-year lease with two (2)
30-year extensions was negotiated, and USAL wants to make a "forever" commitment
to Ormond Beach. He indicated USAL is asking for a voice, and the other operators would,
also, probably want a voice in what happens at the Airport.
Commissioner Ervin asked when Mr. Woessner expected the project to be
finalized in Ormond Beach. Mr. Woessner replied he will leave Friday for Germany with
a contractor, and he expected to put the project out for bid by July 25th. He stated
that depending on the permitting process, they are hoping to stay on the same construction
schedule as the City’s road and utility extension. He stated USAL will construct a
manufacturing facility as well as an operations company. Mr. Woessner advised each
airship requires approximately 25 specially trained employees, and USAL is working with
Embry Riddle Aeronautical University on the pilot and mechanic’s side of the
business.
Commissioner Boyle asked if it would not satisfy the good faith requirement if the
Mayor or a Commissioner appoints a USAL representative to an airport advisory board.
Mr. Woessner advised this would not satisfy the intent, because in future years this
Commission will be replaced, and they may not appoint a representative. He reiterated that
USAL wants to be seen as a "forever" partner and neighbor in Ormond Beach.
Commissioner Boyle stated by listening to those who spoke, the previous board had a
minimal role, and he questioned if USAL wouldn’t be better off working directly with
Mr. Baughman or appearing before this Commission. Mr. Woessner clarified that he
agrees the board is not needed, but should it be established, USAL wants to be a part of
it. He stated USAL is a German company with German investments, but has made a conscious
decision to be an Ormond Beach airship company with American employees.
Mayor Hood stated one of the impressive things about USAL is that it has all
long-term employees.
Commissioner Persis stated this is a first-class company, and Ormond Beach is glad to
have USAL in Ormond Beach. He opposed the constant "nit picking" regarding the
contract.
Commissioner Irvin explained she originally suggested the establishment of an airport
advisory board since every city she has ever lived in that had an airport had an airport
advisory board, and she still sees the need for such a board. Commissioner Irvin stated if
an airport advisory board had existed during negotiations, this problem tonight may have
been prevented because the City Commission would have known what was going on. She stated
there are many underlining problems dealing with incentives and other issues, and the
entire Commission should have been informed step by step by someone regarding the deal.
Commissioner Irvin stated that when a mistake is made, you do what you can do and you must
move on. She stated Ormond Beach has agreed, by mistake, to put a non-citizen on an
advisory board as an incentive. Commissioner Irvin recommended working with the Airport
Manager and all the tenants at the Airport and follow the City Manager recommendation, but
at the end of 1998, review the situation, and if at that time there is a need for a board,
then go further.
| Call Vote: |
Commissioner Gillooly |
yes |
|
Commissioner Persis |
no |
|
Commissioner Boyle |
yes |
|
Commissioner Irvin |
no |
| failed. |
Mayor Hood |
no |
Mr. Miller stated he personally takes the responsibility for
recommending, after lengthy negotiations, the intent to place a USAL representative on an
advisory board if it were established. He emphasized this was clearly his intent and the
intent of staff long before Mayor Hood got involved in direct negotiations.
Mr. Miller stated incentives are not under his authority to commit, but were
brought to the City Commission as a routine process. He emphasized that negotiations must
be done in a private atmosphere. Mr. Miller stated if the City wants to be active in
economic development, these types of issues will be repeated, and negotiations defy coming
back in a public meeting to present each item. He asked for a degree of trust in the
Economic Development/Airport Manager and in himself in dealing with these issues.
Mr. Miller agreed to allow more time to review a project.
Mayor Hood requested that dealing with these economic development issues be placed
on the next agenda.
Item #8(C) - Continuation of Audience Comments at End of Agenda
Mayor Hood stated most of the items brought up at the end of the meeting are
things that should have been brought up in the Audience Remarks section, and he does not
believe any great purpose has been served by allowing these comments at the end of the
meeting.
Commissioner Boyle stated he believes the more citizen involvement, the better.
Mayor Hood asked to have an agreement that anyone who speaks on something not
spoken of after Audience Remarks, will be precluded from talking on that subject.
Commissioner Persis moved to discontinue the policy of allowing audience comments at
the end of the meeting. Mayor Hood passed the gavel to Vice-Mayor Gillooly to second
the motion.
| Call Vote: |
Commissioner Persis |
yes |
|
Commissioner Boyle |
no |
|
Commissioner Irvin |
no |
|
Commissioner Gillooly |
no |
| failed. |
Mayor Hood |
yes |
Mayor Hood stated topics not brought up in the meeting will not be
allowed to be discussed in this section.
Item #9 - Audience Comments On Agenda Items
Commission Action
Mr. Frank Henry, 193 Bosarvey Drive, stated that after a decision is made by
the Commission on an issue, it should be dropped and the Commission move on. He expressed
disappointment with the appearance of hostility among the Commission.
Commissioner Gillooly stated he has no rancor or bitterness toward anyone who argues or
votes against him and he is sure each Commissioner and the Mayor tries to do the best they
can for the citizens in the community.
Airport Advisory Board
Mr. G.G. Galloway, 121 Sawtooth Lane, President of the Board of Realtors,
Commercial Salesmen of the Year for the past three (3) years, stated it takes years to
work on a commercial deal, and confidentiality and trust in negotiations are extremely
important. He stated only one person can negotiate a contract. Mr. Galloway stated
Ormond Beach’s largest export is its children who move out of the community. He
stated economic development is needed, and he indicated approximately 68% to 72% of the
taxes come from the residential side while 32% or 28% from the commercial side, which
should be reversed. Mr. Galloway stated without economic development, there will be
no other choice but to increase taxes. He stated that with the fires, Ormond Beach has
proven it can work together, but there is a need to put emphasis on value added jobs.
Item #10 - Reports, Suggestions, Requests
Lisa Lake
Commissioner Boyle stated it had been his understanding that this item was tabled to
this meeting, yet it is not on the agenda. He asked if it will be discussed at the next
meeting.
Mr. Miller explained that when there are meetings two (2) consecutive weeks, there
are only two (2) days to get the agenda information out to the Commission, which does not
allow enough time to obtain needed information. He requested, as a standard practice, when
this situation arises, to allow staff additional time to get the information needed.
Workshop Materials
Commissioner Boyle requested placing an item on the next agenda to make a policy
regarding providing workshop materials to the Commission two (2) to three (3) days in
advance of the workshop.
Mayor Hood asked that this be placed on the next agenda.
Invocation
Commissioner Boyle thanked Mr. Levy for bringing his comments regarding the
invocation to the Commission’s attention. He stated a number of citizens have
complained privately to him on this issue, and he asked to place it on an agenda for
discussion.
Mayor Hood requested the City Clerk to ask the clergy to have a non-denominational
closing to the invocations in order to be sensitive to the views of all citizens.
Economic Development Summit
Commissioner Boyle stated he submitted a three (3) page response to the Economic
Development Summit and a chronology of the USAL deal, noting specific issues he had
difficulty with in the deal. He asked that this be made part of the public record. He
stated no one on the Commission opposes good economic development, and he agreed some
negotiations need to be conducted in secrecy; however, if the Charter appears to preclude
a member of the Commission from negotiating a deal, this could create a problem. He stated
the Commission should set parameters on incentives, which would not inhibit the
negotiation process. He also stated the City Manager should not be giving permanent
citizen board appointments, which should be the responsibility of the Commission alone.
Working Together
Commissioner Irvin stated that during the recent fire emergency, the government and
staff worked smoothly and effectively on a common goal, to preserve lives and property.
She stated that the lesson should have been learned that if all work together in a
cooperative and civil manner, a better job can be done serving the City of Ormond Beach.
Airport Advisory Board
Commissioner Gillooly informed Mr. Woessner he wanted to see USAL established in
Ormond Beach as much as anyone because of the economic incentives, the jobs, and because
he believes they will be good neighbors. He pointed out there is a philosophical issue
involved, which had nothing to do with USAL itself. Commissioner Gillooly stated he wanted
the airport advisory board to support Mr. Baughman, not to act as a roadblock.
Commissioner Persis wished Mr. Woessner a good trip and stated he is looking
forward to his report on his return. He thanked the people who spoke on this issue for
their input.
Millage Rate
Commissioner Persis stated he was puzzled regarding Commissioner Boyle’s vote. He
stated he voted against the firefighter’s contract, but he voted for the taxes to pay
the firefighters, while Commissioner Boyle voted for the contract, yet against raising
taxes to pay for it. Commissioner Persis stated it could be said the increase in taxes
will pay for things other than the raise, but this is just semantics since more money is
needed to do all the things needed. He stated he hopes the firefighter, the airport
advisory board, or USAL issues will not be discussed again.
Governor’s Reception
Mr. Miller stated on behalf of the Governor, he invited the Mayor, City
Commissioners, Chief Baker, and Chief Mathieson to Riverbend Church tomorrow at
10:00 a.m. to honor the people behind the scenes and the citizens involved in the
recent fire emergency.
Item #14 - Close The Meeting
The meeting was adjourned at 9:40 PM.
