Town Council Minutes Morehead City, North Carolina  Tuesday,June: 11,2024  The Honorable Council ofthe Town ofMorehead City held its Regular monthly meeting on Tuesday, June 11,2024, int the Council Chambers at City Hall located at 1100 Bridges Street,  Morehead City, North Carolina, COUNCIL PRESENT:  Mayor Gerald A. Jones, Jr.; Councilmembers Richard Abell, Lee Councilmember Ballou was absent due to volunteering for thel Big City Attorney Derek Taylor, City Manager Chris Turner, Finance Director/Assistant City Manager Jewel Lasater, Public Services Director/Assistant City Manager Daniel Williams, Police Chief Bryan Dixon, Deputy Police Chief September Tuttle, Planning and Inspections Director Sandi Watkins, Human Resources Director Leesa Jensen, Fire-EMS Chief Courtney Wade, Deputy Fire-EMS ChiefKane Johnson, Assistant Chief/EMS Coordinator Kelly Urban, Parks and Recreation Director Jessica Mayo, Grant Manager Kelli Jones, Public Information Officer Anna Smith, and Maceo Donald of the Carteret County News-Times, Kathryn Metts and Leah Hardesty ofDowntown Morehead City Inc., Sean Brennan, Lisa Camp, Chris Cates, Ron Cullipher, Charles Dumke, Holly Fletcher, Steven Hoper, Hunter Howell, Matt Johnson, Alyse Kelly, Carol Lubniewski, Gloria McCarther, Chris Monteleon, Dorothy Najarian, Samuel Ramos, Eric Remington, Ruth. Ann Sluss, William and Kathy Thomas, Diana Tootle, Patick Tyson, John Wade, Terry Wetherington, and Jan Willis.  Stiles, William Taylor, and Harvey Walker. Rock Blue Marlin Tournament.  STAFF PRESENT:  City Clerk Cathy Campbell.  OTHERS PRESENT:  Mayor. Jones called the Regular meeting ofthel Morehead City Town Council to order at 5:30 p.m. with a quorum present. Councilmember Stiles gave the invocation and Mayor Jones  led the pledge of allegiance.  Mayor Jones shared that the Big Rock Blue Marlin Tournament is underway on the Morehead City waterfront and live updates are provided on their website www.the bigrock.com.  He commended the many volunteers that support the tournament.  CONSENT AGENDA ITEMS  Morehead City Town Council Regular Meeting June 11,2024  1    Mayor Jones asked ift the Council desired to make any changes to the Consent Agenda. The Consent Agenda generally consists of housekeeping items that have been previously discussed and recommended by the Council Committees for Council consideration.  Seeing that the Morehead City Chapter of the Antique Auto Club of America were in attendance, who's event authorizing resolution was included on the consent agenda, MayorJones  recognized their passion and commitment.  Hearing no requests, Councilmember Taylor made a motion to adopt the Consent Agenda as presented. Councilmember Stiles seconded and the motion was carried  unanimously. (4-0)  Included within the Consent Agenda were the following approvals:  A. Approve the minutes oft the May 7,2 2024, Town Council Budget Workshop Meeting #1 B. Approve the minutes oft the May 14, 2024, Town Council Budget Workshop Meeting #2 C. Approve the minutes oft the May 14, 2024, Regular Town Council Meeting as presented. D. Approve the minutes oft the May 28, 2024, Town Council Budget Workshop Meeting #3  as presented. as presented.  as presented.  E. Accept the Finance Director and Tax Collection Report as presented.  F. Accept the Notice of Ad Valorem Tax Overpayments in the amount of $2,855.27 for the G. Approve the Requests for Refunds of Overpayment of Ad Valorem Taxes in the amount H. Accept Emergency Contingency Budget Amendment Report as presented and  month ofl May 2024, as presented. of$474.75 for May 2024, as presented.  recommended by the Finance and. Administration Committee.  I.  Adopt Resolution 2024-R-32, authorizing increase in Micro-Purchase Thresholds as presented and recommended by the Finance and Administration Committee. (Required Adopt Resolution 2024-R-36, accepting the October 12, 2009, Retention and Disposition Schedule for Public Library Records as provided by the North Carolina Department of Natural and Cultural Resources for Local Government Agencies as presented and  annual renewal)  J.  recommended by the Finance and Administration Committee.  Morehead City Town Council Regular Meeting June 11,2024  2    K. Approve the proposed Memorandum of Interlocal Agreement with Carteret County to provide ad valorem property tax billing and collection services as imposed by the Town for tax year 2024, and: for each successive future year, ifa annually renewed, as presented L. Adopt Resolution 2024-R-27, directing the Clerk to investigate aj petition received under NCGS 160A-31 for annexation ofa non-contiguous area located at 5535 Highway 70. M. Adopt Resolution 2024-R-28, setting the date ofa public hearing to considera adoption of Ordinance 2024-0-0 06, approving annexation ofthe property identified as 5535 Hwy 70  and recommended by the Finance and Administration Committee.  pursuant to NCGS 160A-31, as amended.  N. Adopt Ordinance 2024-0-09, amending Chapter 8. Businesses and Business Regulations, Article III. Peddler and Itinerant Merchant Permits of the Code of Ordinances to clarify regulations pertaining to solid waste fees fori itinerant merchants. O. Approve proceeding with an application fort the FY2024 Port Security Grant Program via the Department of Homeland Security, administered by FEMA, in the amount of $316,030.00, with a required local match of$79,007.50 for the procurement of Modular Vehicle Barricade and Trailer Systems to be used for the implementation and  mobilization of barriers for purposes of city security.  P. Adopt Resolution 2024-R-34, endorsing the Antique. Auto Club of America - Morehead City Chapter Antique Auto Show, and authorizing action necessary for the events to be held October 19, 2024, as presented and recommended by the Parks and Recreation Adopt Resolution 2024-R-35, endorsing the Morehead City Open King Mackerel Tournament, and authorizing action necessary for the events to be held October 9-13, 2024, on the Morehead City waterfront as presented and recommended by the Parks and The above ordinances are filed in Ordinance Book #9; Resolutions are attached to and made a  Committee.  Recreation Committee.  part ofthe minutes herein. PUBLICE HEARINGS  Consider Adoption ofFY2024-2025 Annual Budget Ordinance 2024-15.1, Governmental Capital Project Fund Budget Ordinance Amendment 2024-15.2, Water & Sewer Capital Project Fund Budget Ordinance Amendment 2024-15.3, and Solid Waste Capital Project Budget Ordinance. Amendment 2024-15.4, Effective. July 1, 2024 and thel FY2024-2025 Fee  Schedule as Presented  Morehead City Town Council Regular Meeting June 11,2024  3    Mayor. Jones opened the public hearing to consider thej proposed Town ofMorehead City FY2024-2025 Annual Budget Ordinances and called on City Manager Chris Turner to provide as summary ofthe budget. Mr. Turner stated that the balanced budget totals $35,035,870, with a General Fund budget of $22,905,189, a Water and Sewer Fund budget of$10,588,080, and a Sanitation Fund budget of$1,542,601. The budget contains a $0.03 property tax increase which brings the combined tax rate to $0.41, and a 3.5% utility rate increase. This is the first tax  increase presented in the last four (4) years.  Inaccordance with North Carolina General Statute 159-12(a) and Section 4.27ofSession Law 2020-3, the proposed budget fort the fiscal year beginning July 1,2024, was made available for public inspection on the City's website and at the City Clerk's office. Notice of this Public Hearing was published in The Carteret News-Times on Sunday, May 19, 2024, and posted on  the bulletin boards in City Hall.  Mayor Jones opened the public hearing and invited anyone wishing to make comments  in support ofc or in opposition to the proposed budget to come forward.  PUBLIC COMMENTS  Seeing that there were no comments, Mayor. Jones closed the public hearing. Councilmember Stiles stated that at the last three (3) budget meetings the City Manager and Staff presented an argument that one of the primary reasons for the tax increase is because our neighboring municipalities have raised their tax rates over the last four (4) years, and numbers regarding these increases were presented erroneously. He stated that the Town of Newport's FY2023-2024 tax rate was $0.545 and the Town of Beaufort's was $0.46. He said that Beaufort's rate has been at $0.46 for the last four (4) years, but Mr. Turner reported that the Town of Morehead City was the only municipality within the county that has not raised their taxes over the last four (4) fiscal years, and the' Town of Beaufort has adopted the FY2024-2025  budget with no tax increase.  Being advised that the budget and fee schedule could be adopted under a single motion, Councilmember Taylor made al motion to adopt the FY2024-2025 Annual Budget Ordinance V215..Covermmental Capital Project Fund Budget Ordinance Amendment 2024-15.2, Water & Sewer Capital Project Fund Budget Ordinance Amendment 2024-15.3.and Solid Waste Capital Project Budget Ordinance. Amendment 2024-15.4,and toa adopt thel FY2024- 2025 Fee Schedule as presented, effective July 1,2024. Councilmember Abell seconded. Councilmember Stiles stated that he expressed his full support for the tax increase during the May 31,2024, budget meeting; however, he was no longercomfortable supporting the budget after learning that some of the information presented was erroneous without receiving more factual information and feels the Council should explore other options to remain at the $0.38 tax  rate.  Morehead City Town Council Regular Meeting June 11,2024  4    Councilmember Taylor stated that he has a great amount of confidence in City Staffand its financial leadership. The City has a history of making decisions that not only address the needs oft the day, but also toj prepare for the future. He stated that everyone, including the City, is feeling the impact ofinflation and noted that the City has $331 million in infrastructure projects either underway or beginning in the near future. Some of these projects are funded by grants; however, in many cases, the City is only refunded the cost after having paid for the project, or portions thereof. He stated that it is important to pass the budget to ensure the City is fiscally sound. He also shared that' Tyndall Lewis, a local engineer, conducted a study several years ago and determined that the City needed to increase water and sewer rates annually by three (3) percent in order to have funds available to maintain, upgrade, and replace equipment and infrastructure as needed, but the practice was discontinued. Mr. Tyndall recently conducted another study and found the same to still be true and recommended that the practice of annual increases be reinstated. Councilmember Taylor stated that the proposed increases are fair, reasonable, and equitable, and therefore, he recommended adopting the budget as presented. Councilmember. Abell agreed, saying, "The City is digging al hole by noti increasing taxes Councilmember Stiles agreed that everyone is experiencing the result ofinflation and felt ity was unfair to burden the taxpayers to a greater degree by raising taxes. He noted that Finance Director/Assistant City Manager Jewel Lasater reported that the City would not realize the impact of the re-evaluation until 2026, but, said the County has committed to the re-evaluation in2 2025; therefore, he felt strongly that the City should wait another year in expectation ofthe re-evaluation. Councilmember Stiles then asked Mr. Turner to confirm that the Local Government Commission (LGC) requires that the that the City maintain a General Fund balance of 50% of the City's total expenditures. Mr. Turner corrected him saying that the LGC recommends, not requires, a 50% minimum. Councilmember Stiles challenged Mr. Turner's report saying that his research showed that the LGC only requires between 10-15%. Mr. Turner stated that his research was incorrect, for which Councilmember Stiles asked for documentation  and it needs to start making a way out ofit."  backing his claim.  Councilmember Taylor stated that there has been no objection to the tax increase, and he believed it to be because the public understands that the City needs to keep up with inflation. Councimember Stiles suggested that there has been no opposition because many oft the citizens do not know that the City is proposing a tax increase because some cannot attend the meetings, some do not read the newspaper, and there are a lot ofuninformed citizens. Councilmember Abell stated that such is not the fault ofthis Council, but the fault of the individuals themselves. He added that he is aware that not everyone can attend the meetings, but the meeting minutes are available and a record of what is discussed is reported in the newspaper and on the newspapers website, with most ofit being accessible for free. He was unsure how every citizen  could be reached without staff going door-to-door to notify them.  Atthist time, Mayor. Jones called for a vote ont the motion: made by Councimemberlaylor to adopt the FY2024-2025 Annual Budget Ordinance 2024-15.1, Governmental Capital  Morehead City Town Council Regular Meeting June 11,2024  5    Project Fund Budget Ordinance Amendment 2024-15.2, Water & Sewer Capital Project Fund Budget Ordinance Amendment 2024-15.3, and Solid Waste Capital Project Budget Ordinance Amendment 2024-15.4, and to adopt the FY2024-2025 Fee Schedule as presented, effective July 1,2024. Councilmember Abell seconded the motion, and the motion Ordinances 2024-15.1, 2024-15.2, 2024-15.3, and 2024-15.4 are. filed in Ordinance Book #9 Consider Adoption of Ordinance 2023-0-07 Approving the Rezoning of 301 Highway 24 (PIN #635615741744000) from CH-CZ (Highway Commercial - Conditional Zoning) District to RMI-CZ(Residential Multifamily- Conditional Zoning) District, to Amend the RMF-CL Zoning District for an Adjacent Unaddressed Parcel (PIN #635615740798000), and to Revise the Approved Site Plan and Conditions to Allow for a Proposed 118 Unit Multifamily Development, and Resolution 2024-R-29 of Plan Consistency in Accordance  was carried by majority vote. (3-1; Stiles was opposed, Ballou was absent) and FY2024-2025 Fee Schedule is onf file in the City Clerk's office.  with NCGS 160D-605 for Map Amendment.  Mayor. Jones opened the public hearing and called upon Planning Director Sandi Watkins to make her report. Ms. Watkins stated that a request was submitted by The Cullipher Group, P.A, on behalf of applicant Caviness and Cates Communities and property owners B & D. Real Estate Company of Morehead, LLC and Bluestone Limited, LLC, to rezone 301 Highway 24 (Tax PIN 635615741744000) from CH-CZ (Highway Commercial - Conditional Zoning) District to RMF-CZ( (Residential Mulifamly-Conditional Zoning) District, to amend the RMF- CZ zoning district for an adjacent unaddressed parcel (Tax PIN #635615740798000) revising the previously approved site plan and conditions, to approve an alternate landscape plan, and to approve the sketch plan for the proposed townhouse development The townhouse development is proposed to include 118 multifamily units on the 23.6 acres that includes both parcels. The  units are proposed to be two (2) stories with three (3) bedrooms.  The Planning Board conducted a technical review of the multifamily site plan and landscape plan at its May 21, 2024, meeting and unanimously agreed to recommend approval with conditions as specified in the Planning Board Report included in the meeting packet. The conditions were accepted by the applicant. Sally Lumpkin made the motion and Curtis Oden  seconded.  Surrounding land use includes single-family residential to the east, west, and south, and commercial across Highway 24 to the north. The current property zoning includes RMF-CZ on the west side and CH-CZ on the east side of the property. Surrounding zoning includes CH to the north and R20 to the east, west, and south. The property is located within the Southwest Neighborhood planning area, and it is classified as Mixed-Use Center on the Future Land Use map. The Planning Board conducted a review of relevant land use policies and provided a draft reasonableness and land use consistency statement based upon its evaluation, which was included in the meeting packet. The current conditional zoning is for an assisted living facility  Morehead City Town Council Regular Meeting June 11,2024  6    on the western portion oft the property and for marine-related retail and wholesaling businesses  on the eastern portion oft the property.  The sketch plan includes thel Multifamily site plan requirements for lot coverage, lots size, open space, height, setbacks, andj parking. All were evaluated by thel Planning Board and appear tor meet requirements. The sketch and site plan were reviewed by the Fire, Public Services, and Planning Departments. The Planning Board unanimously approved the site plan, proposed landscaping plans, and recommended approval of the rezoning and sketch plan, which must be  approved by City Council.  Regarding the landscaping, the applicant proposed to provide the required 10 foot landscaping strip along Highway 24, a two and one (2.5) half foot landscape strip along drive aisles, and to provide interior parking area plantings. The applicant further proposed and received Planning Board approval to alter required landscaping by providing a two (2) foot tall berm on the east side of the project, eliminating the fence adjacent to the adjoining properties where a fence already exists and leaving some areas along the western property line in their natural state. This elimination of the fence was proposed based on comments received during  the community meeting,  The applicants held a community meeting on April 11, 2024, with 11 individuals in attendance. A report ofthe meeting was included in the meeting, packet as well as copies oft the traffic impact analysis, and an appraisal report. The community meeting report and the traffic impact analysis were also available to the Planning Board. The appraisal report indicates that the appraiser believes the proposed townhome will not negatively impact the surrounding property  values and isi inl harmony with the surrounding land uses.  State approvals will be requested at the next stage of development prior to preliminary plat submission, to include stormwater, sedimentation and erosion control, NCDOT, and. Army Corps of Engineers. Uses on the property will be limited to dwelling, multifamily, customary accessory uses, and: signage. Thea applicant could maken minor changestoa an approyedconditional zoning district provided that they do not change the use, increase intensity oft the development, result in a 10% or greater increase in ground coverage, reduce the open space or screening, change vehicular access, or alter the imposed conditions. Such changes must be approved by the  Town Council.  The. Applicant has agreed to the following conditions for approval:  1. An maximum number of1181 residential multifamily units are permitted. 2. Uses are limited to: "Dwelling, multifamily", "Accessory building/use",and 4. A developer requested condition regarding side setbacks between buildings.  signage.  3. Approval contingent upon receipt ofa lighting plan. 5. Requirement for the developer to install a lift station.  Morehead City Town Council Regular Meeting June 11,2024  7    6. As stipulation that any repair oft the driveways required due to the need for the City to access water or sewer infrastructure will not be completed by the City. 7. A requirement for State Stormwater, Sedimentation and Erosion Control, Army Corps of] Engineers, and state water/sewer system approvals to be submitted 8. Requirement for encroachment agreements and easements for the proposed 9. Condition that the developer install gravity sewer along the entire frontage of In accordance with NCGS 160D-601, this public hearing was advertised in The Carteret News Times, oncej per week for two (2) successive weeks on Sundays, May 26 and. June 2, 2024. Notices were also posted on thej property as well as the City's website and on the bulletin boards  prior to submission ofthe preliminary plat.  sidewalk.  the property at the developer's expense.  at City Hall. In addition, notices were: mailed to abutting property owners.  Att this time, Mayor Jones invited those who wished to speak in favor of or in opposition  tot the proposed. zoning amendment to come forward.  PUBLIC COMMENTS  Ron Cullipher, The Cullipher Group: Mr. Cullipher stated that he is the project engineer representing Caviness and Cates Communities. He began by thanking the Planning Board and staff forl helping them work through thej process on this] project. Because ofthel history ofthis property, they held a community meeting at Carteret Community College Culinary School to address any questions or concerns the community might have. The meeting was sparsely attended but very cordial. The Developers obtained a traffic analysis and an appraisal.  Mr. Cullipher reported that the residential multifamily zoning allows 13 units per acre. The current proposal offers five (5) units per acre resulting in ai much lower density than would result from other allowable developments. He advised that] Developer Chris Cates, Attorney Eric Remington, and Appraiser Hunter Howell were also present to answer questions.  Councilmember Stiles asked ifthis property fell under the Army Corp of] Engineers' or Coastal Area Management Act's (CAMA) jurisdiction. Mr. Cullipher explained that both agencies have areas ofjurisdiction fort this project, and there ist no proposed impact on thei natural wetlands, and a permit has been obtained for the area where the roadway will be accessed. Councilmember Taylor, adding the total of 118 units for this project plus the 83 units approved for the Spooner's Cove development on Bryan Street would add a total of221 units, resulting in approximately 400 additional vehicles to the traffic on Highway 24 and asked ifany conversation had been initiated with the North Carolina Department ofTransportation (NCDOT) about a reduction in speed or advancing the superstreet project. Mr. Cullipher stated that they had spoken with NCDOT representatives, but City Staff has not heard back from them. He  Morehead City Town Council Regular Meeting June 11,2024  8    shared that most oft the concerns raised during the community meeting were in regard to traffic and the speed limit along that portion of Highway 24. Mr. Cullipher stated that he and the developers agree with ai reduction in the speed limit; however, it is his understanding that such request must be made by the City and he asked the Town Council to support it. Mr. Turner was  asked to add this request tot the next Committee meeting.  Chris Cates, 639 Executive Place: Mr. Cates stated that Caviness Cates was formed in 1998 and have been building singlei familyl homes and multi-family townhomes foro over 25 years. He noted that they own and manage most of the townhomes they have built. Mr. Cates stated that they go to great lengths when designing properties to determine what the potential buyer would want. He agreed that the comments during the committee meeting were related to the  Highway 24 speed limit.  Eric Remington, Attorney with Ward and Smith, PA, New Bern, NC: Mr. Remington also commended the Planning Staff stating that the materials provided for this hearing are some oft the best hel has seen, and the information has been presented very well. He asked that they be given the opportunity to respond to any opposition raised during the hearing. Seeing that no one else was coming forward to speak, Mayor. Jones closed publicl hearing. Councilmember Abell also commended the Planning Staff, stating that this has been one oft the most thorough packages he has seen since joining the Town Council. He shared that he attended the community meeting and confirmed that the speed limit was the greatest concern. Councilmember Taylor, as chair of the Planning Committee, made a motion to adopt Ordinance 2024-0-07 approving the rezoning of301] Highway24(PINH635615741744000) from CH-CZ (Highway Commercial - Conditional Zoning) District to RMF-CZ (Residential Multifamily Conditional Zoning) District, to amend the RMF-CZ Zoning District for an adjacent unaddressed parcel (PIN #63561574079800. and to revise the approved site plan and conditions to allow for a proposed 118 unit Multifamily Development, and Resolution 2024-R-29 of Plan Consistency indicating that we find the map amendment generally consistent with the most recently adopted Comprehensive Land Use Plan and that such a map change is reasonable in accordance with N.C.G.S.1 160D-605 for Map Amendment. Councilmember Abell seconded and the motion was carried  unanimously. (4-0)  Noticing that the ordinance number was not included in the motion, Attorney Taylor Ordinance 2023-0-07 is filed in Ordinance Book #9; Resolution 2024-R-29 is attached. to and Consider Adoption of Ordinance 2023-0-08, Approving the Rezoning of: a Portion of an Unaddressed Parcell Located Between Arthur. Farm Road and Old Airport Road (Taxl PIN  clarified that the authorizing ordinance number was 2024-0-07.  made a part of the minutes herein.  Morehead City Town Councill Regular Meeting June 11,2024  9    635607684363000) From R15M (Single-Family Residential - Manufactured Home) District to CH-CZ (Highway Commercial = Conditional Zoning) District, and Resolution 2024-R-30 of Plan Consistency in Accordance with NCGS 160D-605 for Map Amendment Mayor. Jones opened the public hearing and called upon. Planning Director Sandi Watkins tor make her report. Ms. Watkins reported that a request was submitted by Arendell Engineers, on behalf of applicant Lampe Management Group and property owners Lavonne Jones and Renee Henderson, to rezone aj portion oft the extraterritorial, jurisdiction (ETJ) parcel containing 12.91 acres located between Arthur Farm Road and Old Airport Road (Tax PIN 63560768436300) from R15M (Single-Family Residential- Manufactured Home). District to CH-CZ (Highway Commercial - Conditional Zoning) District. Surrounding zoning includes R15M, CH, and Industrial to the north across the railroad right-of-way. Surrounding land use includes single-family residences, manufactured homes, a church, a storage facility, retail, and other non-residential uses. The property is located within the Southwest Neighborhood planning area and is classified as both Mixed-Use Center and Neighborhood Residential on the Future Land Use map. Ms. Watkins advised that ifthei rezoning request isa approved, an additional public hearing would be required following this hearing to amend the future land use map. Ms. Watkins reported that the site plan denotes the portion of the property proposed to beu used as a self-service storage facility. The site plan has been evaluated for general compliance to include parking, landscaping, and setbacks and has been reviewed by Fire, Public Services, and Planning. Any development on the site would be evaluated based upon the use and development standards for the: zoning classification at the time of development. The uses would be limited to those uses allowed in the CH District for any CH-CZ zoned areas and R15M for  the remaining R15M: zoned area.  As a condition of approval, the applicant has agreed to two (2) conditions: 1) to limit potential uses to those allowed within the CH District with the exception of adult establishment, automobile service station, bar/cocktail lounge, bus terminal, private club or lodge, dry cleaning/laundry establishment, outdoor vending self-service machine, gas stations, tattoos and body piercing establishments, and taxi stands, and 2) that Staffv will receivei the! State Stormwater, Sedimentation, and Erosion Control and NCDOT approvals before issuing the building permit. Minor changes to an approved conditional zoning district may be made provided they do not  result in a qualifying major change.  Thel Planning Board discussed the request at its May 21,2024, meeting and unanimously agreed to recommend approval oft the rezoning request with conditions as well as an amendment tot thel Land Use Map to designate the entire property as Mixed-Use Center. The conditions were accepted by the applicant. Matt Johnson made the motion and Curtis Oden seconded. The reasonableness and land use consistency was reviewed by the Planning Board and a statement  oftheir evaluation was included in the meeting packet.  Morehead City Town Council Regular Meeting June 11,2024  10    In accordance with NCGS 160D-601,1 this public hearing was advertised in The Carteret News Times, once per week for two (2) successive weeks on Sundays, May 26 and. Jun 2, 2024. Notices were also posted on the property as well as the City's website and on the bulletin boards at City Hall. In addition, written notices were mailed to the abutting property owners.  Mayor Jones invited those who wished to speak in favor of or in opposition to the  proposed zoning amendment to come forward. PUBLIC COMMENTS  Terry Wetherington, New Bern, NC: Mr. Wetherington stated that he was representing Ample Storage. He shared that Ample Storage has been in business for 40 years and has been operating in Morehead City for the last five (5) years. He stated that their current location maintains between 95-98% occupancy, The proposed facility will be a completely enclosed facility that will be gated with one (1) way in and one (1) way out and will be designed so that all loading/unloading takes place on1 the back side ofthe property. He stated that there would be minimal traffic on Arthur Farm Road as it would be limited only to those coming in to load or unload. All other business would be conducted at their office, which is accessed from the highway. Mr. Wetherington explained that the excluded uses were agreed upon to protect the residential properties, knowing that the remaining parcels would either be developed residential or sold for the same purpose. He added that the plans were shared with all abutting property owners, which relieved their fears and resulted in their agreement of the proposal. Mr. Wetherington closed stating that they plan to improve the drainage issues along Arthur Farm  Road by piping the runoffinto their retention pond.  John Wade, Arendell Engineers: Mr. Wade, engineer on the project, stated that there will be two (2)commercial lots on the western side oft thej property adjacent to Old Airport Road, with no specific plans for these lots at this time. They plan to locate the: future stormwater pond on the northern portion and the stormwater system will be built tol handle these commercial lots and such will be considered as part of the permitting process. Mr. Wade stated that if the rezoning is approved, it is likely that they would request annexation of the two (2) commercial  lots.  Attorney' Taylor clarified Ms. Watkins comments explaining that any use) permitted under the conditional zoning that are not listed in thej proposed conditions, will be permissible, and the Town Council should consider those remaining uses when making its decision. He also advised that this is the time for the Town Council to bring forward any other items they would like to  discuss or consider  Seeing that there was no one else wishing to speak, Mayor Jones closed public hearing. Councilmember Abell made a motion to adopt 2024-0-08, approving the rezoning of a portion of an unaddressed parcel located between Arthur Farm Road and Old Airport Road (Tax PIN #635607684363000 from R15M (Single-Family Residential  Morehead City Town Council Regular Meeting June 11,2024  11    Manufactured Home) District to CH-CZ (Highway Commercial = Conditional Zoning) District, and Resolution 2024-R-30 of Plan Consistency indicating that we find the map amendment generally consistent with the most recently adopted Comprehensive Land Use Plan and that such a map change is reasonable in accordance with N.C.G.S. 160D-605 for Map Amendment. Councilmember Stiles seconded and the motion was carried unanimously.  (4-0)  Mr. Wetherington addressed the Town Council stating that they should bej proud oftheir Planning Staff because it is rare to experience staff answering phones and answering questions. Mayor Jones assured him that the Town Council is proud of their staff and thanked him for Ordinance 2023-0-08 is filed in Ordinance Book #9; Resolution 2024-R-30 is attached to and Consider Adoption ofl Resolution 2024-R-31, Authorizing an Amendment to thel Morehead City Plan 2032 Comprehensive Land Use Plan to Amend a Portion of an Unaddressed Parcel Located Between Arthur Farm Road and Old Airport Road (PIN 635607684363000) From Both Neighborhood Residential and Mixed-Use Center tol Mixed  noticing their commitment. made aj part of the minutes herein.  Use Center in Full  Planning and Inspections Director Sandi Watkins stated that in light oft the last rezoning approval, the Town Council is asked to considerad corresponding Comprehensive Land Use Plan amendment. The Land Use Plan currently shows the unaddressed 12.91 acre parcel located between Arthur Farm Road and Old Airport Road (more specifically identified as Tax PIN 635607684363000) with a split classification of Neighborhood Residential and Mixed Use Center. The Town of Morehead City desires to amend the Comprehensive Land Use Plan changing this parcel tol Mixed Use Centeri in full. She noted that a portion of the parcel that was not included in the rezoning request would remain Neighborhood Residential.  As stated previously, the Planning Board unanimously approved recommendation ofthis Comprehensive Land Use Plan amendment and the Future Land Use Map finding the request to bec consistent with thei rezoning request. In addition, Staffnotified the Coastal Area Management Act (CAMA) District Planner in accordance with CAMA land use plan amendment  requirements.  In accordance with NCGS 160D-601, this public hearing was advertised in The Carteret News Times, once per week fort two (2): successive weeks on Sundays, May 26 and. June 2, 2024. Notices were also posted on the property as well as the City's website. and on thel bulletin boards at City Hall. In addition, written notices were mailed to the abutting property owners.  At this time, Mayor Jones opened the public hearing, inviting those who wished to speak in: favor of ori in opposition to the Comprehensive Land Use Plan amendment to come forward.  Morehead City Town Council Regular Meeting June 11,2024  12    PUBLIC COMMENTS  Seeing no one was coming forward to speak, Mayor. Jones closed public hearing. Councilmember Stiles made a motion to adopt Resolution 2024RJlauthorizing an amendment to the Morehead City Plan 2032 Comprehensive Land Use Plan to amend a portion of an unaddressed parcel located between Arthur Farm Road and Old Airport Road (PIN #635607684363000 from both Neighborhood Residential and Mixed-Use Center to Mixed Use Center in full. Councilmember Abell seconded and the motion was  carried unanimously. (4-0)  Resolution 2024-R-31 is attached. to andi made a part of the minutes herein.  NEW BUSINESS  Discuss Adoption of Ordinance 2024-0-10, Adding Article X. "Abandoned and Derelict Vessels, Mooring, Anchoring, Discharging in City Waters" to Chapter 30. "Traffic: and  Motor Vehicles," ofthe Town of Morehead City Code ofOrdinances  City Manager Chris Turner advised that the State General Assembly in their most recent session passed legislation that gives the City authorization to clear its waterways of abandoned and derelict vessels. The City has chosen to establish an ordinance that will address additional concerns and set stricter timelines for clearing the waterways, and Ordinance 2024-0-10 is presented in consideration of adding Article X, entitled"Abandoned and Derelict Vessels, Mooring, Anchoring, Discharging in City Waters," under Chapter 30 "Traffic and Motor Vehicles" of the Town of Morehead City's Code of Ordinances. Mr. Turner commended City Attorney Derek Taylor and Finance Director/Assistant City Manager Jewel Lasater for their hard work in bringing this ordinance draft forward.  Ini regard to the physical component of removing and disposing oft these vessels, Mr. Turner said that thel North Carolina Coastal Federation will coverthe costs with fundsallotted  to that agency. The funds are expected to continue through 2028.  Mr. Turner advised that this discussion would serve as the first reading of Ordinance 2024-0-10. Due to its criminal component, a second reading will be held during the July 9, 2024, Town Council meeting pursuant to NCGS 160A-75. He further advised that the ordinance was reviewed by several board committees and all agreed to send it forward to the  Town Council.  City Attorney Derek Taylor reported that there are two (2) aspects to this ordinance. The first is to clear the waterways and the second is to address issues of nuisance such as vessels drifting into the channel, becoming a threat during storms, and discharging of waste into public waters. The method for addressing these within the ordinance is very similar to  that used for abandoned roadway vehicles. Morehead City" Town Council Regular Meeting June 11,2024  13    Councilmember Abell asked about how many derelict vessels are currently in the Morehead City waterways. Mr. Turner stated that there are: seven (7)ore eight (8) derelict vessels and about one-half have been tagged. The number of abandoned vessels changes daily. He specified that the Morehead City harbor is not a harbor of refuge. Attorney Taylor explained that the City has used a variety ofn methods to address these vessels in the past including a felony littering charge, but the ordinance provides a very clear method with entorcement authority. Mr. Turner stated that the United States Coast Guard (USCG), North Carolina Wildlife Resources Commission (NCWRC), and National Oceanic and Atmospheric Administration (NOAA) have been very supportive in thej process of developing the ordinance and management procedures. He noted that the USCG does not have authority over such vessels as might be expected; they can only respond to situations with life safety concerns. The USCG has expressed  appreciation for the action the City is taking.  Ini response to questions, Attorney Taylor explained that no action could be taken at this time due to the requirement to hold a second reading. Adoption would be considered att the. July 9, 2024, Town Council meeting. All charges filed under this ordinance will be misdemeanor Consider Repeal thel May 14, 2024, Disaster Recovery Monitoring Services Bid Award, and Award the Disaster Recovery Monitoring Services Bid to' Thompson Consulting  charges.  Services (Primary) and DebrisTech (Secondary)  Public Services Director/Assistant City Manager Daniel Williams appeared before the Town Council to report that an error was made in the calculation of the Disaster Recovery Monitoring Services bid tabulation resulting in the award being made in error to TetraTech as the secondary provider. Mr. Williams shared that he had contacted both TetraTech and DebrisTech, and both were agreeable to the award change. A secondary vendor isar requirement  for Federal Emergency Management Act (FEMA)reimbursement.  Mr. Williams then asked the Town Council to repeal the Disaster Recovery Monitoring Services bid award made at the May 14, 2024, to Thompson Consulting Services (primary) and TetraTech (secondary) and thereafter, award the bid to Thompson Consulting Services as the  primary provider and DebrisTech as the secondary provider.  Councilmember Walker made a motion to repeal the Disaster Recovery  Monitoring Services bid award made at the May 14, 2024, Town Council meeting, to Thompson Consulting Services as the primary provider and TetraTech as the secondary provider, and to award the bid to' Thompson Consulting Services as the primary provider and DebrisTech as the secondary provider. Councilmember Taylor seconded and the motion  was carried unanimously. (4-0)  Morehead City Town Council Regular Meeting June 11,2024  14    Consider. Award of] Design-Build Contract for the Parks and Recreation Center  Renovation Project  Mr. Williams reported that the bid selection team invited four (4) design-build firms for interviews regarding the Parks and Recreation Center Renovation Project from the list of qualified applicants. Those interviewed were Hudson Brothers Construction and Coastal Architecture, T.A. Loving Company and CPL Architects, Clancy & Theys Construction and BMH Architects, and Daniels & Daniels Construction and Oakley Collier Architects.  The Team determined that Daniels & Daniels Construction and Oakley Collier Architects were thel best choice for this project; therefore, Mr. Williams asked the Town Council to award the Design-Build contract for the Parks and Recreation Center Renovation Project as recommended. This will allow for contract negotiations. Mr. Williams explained that this action does not have ai fiscal impact. Ifawarded, he will negotiate with Daniels & Daniels Construction and Oakley Collier. Architects for design pricing and bring the design contract back to the Town  Council: for approval.  Councilmember Walker made a motion to award the Design-Build bid for the Parks and Recreation Center Renovation Project to Daniels & Daniels Construction and Oakley Collier Architects. Councilmember Stiles seconded and the motion was carried unanimously. Consider Approval ofTwo Encroachment Agreements Seeking Pier. Access Over, Across,  (4-0)  and Upon an Undeveloped, Platted Portion of Avery Street  Mr. Williams presented two (2) encroachment agreements drafted for consideration of requests submitted by Keith and Marueen DeWolf of 1407 Avery Street (PIN 638614425733000). and Thomas J Johnson, LLC, owners of 1400 and 1402 Bay Street (PIN 5638614426601000 and 638614426723000 respectively) to construct piers/docks over, across and upon an undeveloped, platted portion of Avery Street lying between their property and Calico Creek. This portion of Avery Street is located at the easternmost end oft the street that runs into the waters of Calico Creek. Mr. Williams explained that the encroachment will allow  the street to: remain open for future needs.  Councilmember Walker made a motion to approve the encroachment agreements providing non-exclusive rights to encroach upon and use the unimproved, platted portion of Avery Street adjoining the northern property lines of 1407 Avery Street (PIN 638614425733000 owned by Keith and Marueen DeWolf, and 1400 and 1402 Bay Street (PIN#s 638614426601000 and 638614426723000 respectively) owned by Thomas J. Johnson, LLC. Councilmember Taylor seconded and the motion was carried unanimously. (4-  0)  Governing Body Appointments: Planning Board Morehead City Town Council Regular Meeting June 11, 2024  15    Planning Director Sandi Watkins appeared before the Town Council to report that the Planning Board extraterritorial jurisdiction (ETJ) seat currently held by Ronetta Gaskill will expire on August 15, 2024, and that Ms. Gaskill is not eligible for reappointment due to having served three (3) consecutive three (3) year terms. The Town Council was asked to select an applicant from the pool of candidates to recommend to the Carteret County Board of Commissioners for appointment. The City received five (5) applications from individuals seeking appointment for an ETJ seat. Ms. Watkins provided a brief review of each applicant  stating the following:  1. Daniel Fischler, ai financial advisor, lives in the Pine Bluff subdivision on the sound side of Brandywine Bay and served on the Carteret Community College Foundation Board and Lookout Rotary. His application was submitted in August 2023. 2. N. Claye Frank, Jr., retired, lives in the Phillips Landing subdivision and has served on several voluntary boards including the Pitt County-Greenville Board of Adjustment and the Pitt-Greenville Chamber of Commerce. His application was 3. David Heuring, a licensed architect, adjunct engineering instructor, and contractor, lives in the South Spooners Creek subdivision. His application was originally 4. Elizabeth) New, who worked inl higher education student services, lives in thel Hedrick Estates subdivision, and has served as a volunteer for the Downtown Morehead City Revitalization and Carteret Community College. Her application was submitted in 5. Reggie Cannon, a contractor, lives in the Hedrick Estates subdivision and has served on1 two (2) architectural boards. His application was submitted inl February 2023. Ms. Watkins presented the member and applicant location map, noting the residential Following a silent vote, Mayor Jones announced that Daniel Fischler was selected for recommendation toi the Carteret County Board ofCommissioners toi fill the expiring ETJ seat for athree (3) year term beginning August 15,2 2024 and expiring on August 15, 2027. The vote is  submitted in October 2022.  submitted in September 2020 and again in May 2022.  May 2024.  location of each applicant.  available for review in the City Clerk's Office upon request.  CITY MANAGERS REPORT  Mr. Turner commended Ms. Lasater, her staff, and all department heads, stating that they are the City's experts and have done an amazingj job on behalfofthe city inj preparing the budget. He also thanked the Town Council for their many questions and robust discussion regarding the same. Mr. Turner strongly disagreed with Councilmember Stiles earlier statements and  Morehead City Town Council Regular Meeting June 11,2024  16    cautioned that the data Councilmember Stiles presented does noti include the district tax, and that  he willl help him to understand where his calculation error may be found. CITIZEN RAQUESINICOMMENIS (3 Minute Time Limit)  Patrick Tyson, 105 Tree Fern Road: Mr. Tyson, President ofMorehead City Antique Auto Club, thanked the Town Council for allowing their event to be held on the Morehead City waterfront. He stated that they hope to do the same every year. He extended special thanks to Police Captain Tim Guthrie and Special Events Officer Victoria Veith for their help in  scheduling the event.  Chris Monteleon, 11061 N. 6th Street: Mr. Monteleon asked the' Town Council to clarify as statement that may have been misunderstood regarding meeting attendance, noting that many veterans are unablet to attend city meetings, and asked Mayor Jones to clarify that Morehead City and the Town Council are veteran: friendly, and that there was no intent to disrespect our veterans.  COUNCIL COMMENTS  Councilmember Walker stated that no one wanted to raise taxes but it was his opinion Councilmember Stiles asked Councilmember Abell ifl his proposal to rename the bridge extending from Morehead City to Radio Island was vetted in the Public Safety Committee meeting as requested. Councilmember Abell stated that the meeting was not scheduled to be held until Thursday, June 13, 2024. Councilmember Stiles noted that Mr. Turner has communicated well with him since being sworn and that they have enjoyed a good working relationship. He then stated that Mr. Turner is scheduled for a merit raise on July 1,2024, and alleged that the Town Council had failed toi initiate his annual evaluation on April 30, 2024, or 60 days in advance oft the end of the fiscal year, as stipulated in his contract. Councilmember  that it needed to be done, and he thanked everyone for coming.  Stiles asked the Town Council toi initiate the evaluation.  Councilmember Taylor thanked everyone for attending and agreed that he does not like toi increase taxes, but believed it is necessary. He noted that both derelict boats and cars sitting around town are tainting the image ofthe city and asked stafft to look into how the cars could be addressed as well. Mr. Turner stated that there are elements within the ordinance to manage such vehicles and these will be addressed as part oft the UDO Rewrite project.  Councilmember Abell thanked everyone for coming, and commended Mr. Turner and staff for their work in developing the budget and for taking the time to educate him about the  budget.  Mayor Jones shared that the City has always embraced its veterans noting the two (2) events scheduled annualytohonor veterans, the Memorial Day Ceremony at Bayview Cemetery and the Veterans Day Parade. He commended veterans for their volunteerism, saying that they  Morehead City Town Council Regular Meeting June 11,2024  17    are often the most active volunteer group and that after retirement, they tend to volunteer to a greater extent. Mayor Jones also pointed out that the Council's monthly meetings begin with the Pledge of Allegiance in honor ofour country and the veterans who served to protect it.  ADJOURNMENT  There being no other business to discuss, -  the meeting at 7:03  p.m.  GerldJonesJ41 Mayor  e  Attest:  Catiy CanpbdQ Cathy Campbell, City dlerk  Morehead City Town Council Regular Meeting June 11,2024  18