City ofl Mount Airy Regular Board Meeting January 4, 2024 6:00 pm  Council Chamber Municipal Building 300 South Main Street Mount. Airy, N.C.  Thisl Meeting willl be held in the Council Chamber of thel Mount Airy Municipal Building and also virtually by viewing through the htps./mountairy.wehx.com/moumin/pp/MTID-m7lded5lePeladheillea646429402a using password COMA if prompted. You may also view this meeting via Facebook Live by connecting to the City's Facebook page The City ofl Mount Airy, NC. Tol listen in by phone, call 1-408-418-9388 using access code 234 659 99082 ifp prompted. Links willl be posted on www.mountairyorg the day of the meeting.  following' WebEx link:  AGENDA  Welcome and Call to Order. Invocation... Pledge of Allegiance.  Mayor Cawley Mayor Cawley Everyone  Items for Discussion and Possible Action  1.) APPROVAL OF AGENDA:  2.)  CONSENT AGENDA: The consent agenda is comprised of matters of routine business that do not require discussion by the Board. Items included on this agenda are indicated with an asterisk (*) and will all be considered with one motion by the Board. Should a Board member wish to remove an item from the consent b) **Resolution Making Tourism Development Authority. Appointment: Resolution No. 2024-041 c) **Budget Ordinance Amendment for Surry Orthopedic Endowment Grant: Ordinance No. 2024-021  agenda, that item will be considered ini its listed place on the agenda. a) **Approval of November 16, 2023. Regular Meeting Minutes  3.) SPECIAL RECOGNITIONS: 4.) PUBLIC HEARINGS: 5.) PRESENTATIONS: 6.) PUBLIC FORUM:  a) b) a)  City Employee Anniversary Recognitions Mount Airy High School Football Team Disposition of Property for Economic Development (Spencer's Mill Redevelopment Project) and. Amending Development Agreement with Proposed Hotel Developer  7.)  ORGANIZATIONAL MATTERS:  8.) ITEMS REMOVED FROM CONSENT AGENDA:  9.) NEW: BUSINESS:  a) Resolution-Dispoation of Real Property for Future Economic Development and Amending Development b) Resolution Accepting Golden Leaf Foundation Grant-Westwood. Industrial park Site Development:  Agreement: Resolution No. 2024-042 Resolution No. 2024-043  10.) OTHER BUSINESS: 11.) REMARKS BY OFFICIALS:  a. City Council b. City Manager C. City Attorney  12.) CLARIFICATION/REBUTTAL BY MAYOR. AND CITY COUNCIL:    13.) CLOSED SESSION: a) 14.) ADJOURNMENT:  Pursuant to NCGS 143-318.11()(6 Personnel    MOUNT AIRY, NORTH CAROLINA REGULAR MEETING MINUTES November 16, 2023  MEMBERS PRESENT: Mayor Jon Cawley, Commissioners Chad Hutchens, Tom Koch, Marie  Wood, Deborah Cochran, and Phil Thacker.  Mayor Cawley welcomed everyone and called the meeting to order.  APPROVALOF AGENDA: CONSENT AGENDA:  On motion by Commissioner Koch and passed unanimously, the agenda was approved.  On motion by Commissioner Thacker and passed unanimously, the following items were  approved by way of Consent Agenda:  a) APPROVALOF OCTOBER 5, 2023 REGULAR MEETING MINUTES  b) RESOLUTION 2024-031-BOARD TO ACCEPT CERTIFICATE OF SUFFICIENCY FOR PETITION: TO ANNEX PROPERTY: LOCATED AT118 HIGHLAND DRIVE:  RESOLUTION NUMBER 2024-031  CERTIFICATE OF SUFFICIENCY  For  Petition of Annexation of118 Highland Drive 602U-14-23-6132) To the Board of Commissioners of the City of Mount Airy, North Carolina:  IMelissa N. Brame, City Clerk, do hereby certify that IH have investigated the petition attached hereto and have found as a fact that said petition is signed by all owners of real property lying in the area described therein, in accordance with G.S. 160A-31.  In witness whereof, I have hereunto set my hand and affixed the seal of the City of  Mount Airy, this the 9th day of November, 2023.  (end of consent agenda) SPECIAL RECOGNITION:  a) Mount Airy High School Girls Tennis Team-1A Dual Team State Championship: Mayor Cawley read and presented a Proclamation to Coach Luke Graham and the Mount Airy High School Girls Tennis Team Proclaiming November 17, 2023 as Granite Bears Ladies Tennis Team Day in Mount Airy. The Board congratulated the team for their 3rd  consecutive 2023 NCHSAA 1A Dual-Team State Championship. a) Proposed Miscellaneous Zoning Ordinance. Amendments:  PUBLCHEARIN6S:  1    Andy Goodall Planning Department Director reviewed the proposed amendments. The Reducing the size ofthe Historic Preservation Commission from nine to seven members; -Amending the downtown off-street parking exemption and requiring certain uses to provide Adding/amending maximum height requirements for the B-1 and B-4zoning districts  amendments include the following:  Adding special requirement for Building Supply Dealers;  off-street parking;  -Adding requirements for window signage; Mayor Cawley declared the publie hearing open.  Gene Rees (city resident): Thanked the Planning Department for the proposed amendments. He suggested the Board consider to set the limit to zero rather than three to take away the exemption for below three units for the MSD Parking Requirements. He would appreciate more oversight and requiring a developer of one or two residential units to be required to go through the same process as someone who is putting in six or twenty. He feels it is in the downtown merchant's best interest to have high level control of the development process. There are parking issues already due to having a lot of! businesses downtown. Seeing no other speakers, Mayor Cawley declared the public hearing closed. b) Request to Annex and Rezone Property Located at 118 Highland Drive:  Jeannie Studnicki reviewed the request to rezone 118 Highland Drive. Mr. David Francis petitioned the City to annex and rezone a 0.43-acre parcel located at 118 Highland Drive from R-L (Residential Limited-Surry County) to B-4 (Highway Business District-Mount Airy). The intention for this lot is to build an auto detail shop. The Planning Board voted Mayor Cawley declared the publie hearing open. Seeing no speakers, Mayor Cawley declared  unanimously in favor of the request. the public hearing closed. PUBLIC FORUM:  Mayor Cawley declared the public forum open for comments.  Vicky Holcomb, 122 Anna Way (city resident): Spoke about the difficulty of turning onto Country Club Road from Anna Way due to vehicles being parked on the concrete pad at the corner of the intersection. The view of traffic from Anna Way is hampered by the parked vehicles. The owners of the property currently park three cars, a large business trailer and two pickup trucks at their home. A car and a truck have been parked consistently on this pad. The City trimmed some trees to assist with the view of traffic on the right but it didn't help. In late summer of 2023 "NNo Parking" was painted on the pad by the City. It did not help with the view to the left due to two vehicles still being parked on the pad. After one owner contacted some residents on Anna Way, they began parking cars in their yard after they had received a letter from the city explaining the changes that had to be made. She is speaking on behalf of several residents of Anna Way. This intersection is very dangerous as stated by the Mount Airy coding enforcement office and the Chief of Police. Postal employees have also shared the same concerns. In conclusion, she requests with no malice or anger, for  the City to deny this appeal.  2    Alan Bagshaw, 1022 North Main Street (city resident): Spoke in regards to the homelessness situation. There have been arrests of some homeless people and they are already out-what purpose did this serve. There were no services provided to the person-nothing was given to them to help seek assistance. Offering them assistance without knowing what assistance there is, is like putting out a fire with the wrong extinguisher. Hei isn't the expert and should not try to be the expert putting out fires. There are people trained to do this. Why do the commissioners or mayor think they are experts in mental health, drug abuse, and homeless services? The real experts have been saying there is a storm coming for years but nobody listened to them and they are still not listening. Arresting these people will not help the situation at all. If the City wants to make a change, get outside the box. Quit letting slum lords take advantage of people. Get some kind of skill building downtown. Help people realize they may have something to wake up to each morning instead of being stuck. Make choices that support all people, not just the ones who can advocate for themselves. On al local news station, it was stated that sometimes Veterans struggle because of what they have seen. They need medical and emotional attention. He doesn't know anything sadder than a homeless veteran and what is even worse is a homeless veteran that was arrested because he Robin Martin, (Case Manager for Shepherd's House) 204 Sam Scott Road, Pinnacle NC (non- city resident): Spoke about the article in the newspaper as well as the previous Board meeting. She is disturbed by what she is hearing. It started out as concerns about crimes being committed and all agreed that anyone that committed a crime should be locked up and pay the consequences. Now, she feels like the homeless population is being targeted by the City. The City can't go out and hand them a card of resources at the first meeting and expect immediate changes. Trust has to be earned and getting to know them and see what is going on with them to be able to help. Some are not mentally capable to make decisions. They should be given opportunities to change and better their lives. The Shepherd's House has made a dent in the homeless population in the last five years. Since the outreach last November, they have changed some lives. She invites everyone to volunteer at the shelter and hear what they do and see the process. It takes more than one meeting to change the Maximus Bowman 549 East Pine Street (non-city resident): Spoke about the needs of a crosswalk from downtown to Riverside Park. Also, the City needs better ramps and kayak Dakota Smith (non-city resident): Wanted to bring the ordinance amendment for primitive campgrounds back to the table. At the previous meetings this was discussed, he wasn't sure of the right time to speak and didn't know the right time to stand up and negotiate. He has heard negative comments about this item. He wants to present the positive side ofit to help Anna Kriska, 706 Arch Street (city resident): Spoke in favor and support of Dakota Smith and his request to locate an RV and primitive campground on his property in city limits. There are some technical requirements for zoning concerning acreage to have a campground. She works at Thirsty Souls and a lot of people have brought up wishing there were campgrounds closer to downtown. She believes that if this is done right and tied in with  didn'ttake the services that they thought he needed.  lives of these people.  accesses.  the community grow bringing in different things and different people.  3    Riverside Park and kayaking, it would bring more diverse people and visitors who would use the trail, kayaks, and parks. Mount Airy needs to highlight its natural amenities. She understands there are technical and social issues that are blocking his process. She feels Mr. Tina Finney, Dobson NC (non-city resident): Spoke about the homelessness situation. Was excited about the Mayor starting a Homeless Task Force. Spends a lot of time in Mount Airy and noticed over the last five years the homelessness had grown because of the drug epidemic. She became a member of the task force with two meetings being held and a lot of people came with the attitude to help. The local paper had an article stating that the task force had come up with the resource cards to hand out. She feels the cards are a waste of paper and they need to take a deeper approach in thinking outside the box. A lot of people grew up with drug abuse and don't know how to handle it. When being on drugs for a long period of time, then you have the mental health issues not being able to work or function. People need to humble themselves and work together to help those who are homeless by  Smith is well equipped to handle it.  digging al little deeper.  Seeing no other speakers, Mayor Cawley declared the Public Forum closed.  NEW BUSINESS:  a) Ordinance to Amend City of] Mount Airy Zoning Ordinance-Ordinanee 2024-009: This ordinance amends the Zoning Ordinance to include: 1-reduction of the Historic Preservation Commission from nine to seven members; 2-add special requirements for building supply dealers; 3-amend downtown off-street parking exemption and require certain uses to provide off-street parking; 4-add requirements for window signage; and 5-add and On motion by Commissioner Koch and passed unanimously, the Board voted to discuss these Article V-Schedule of District Regulations (Historic Preservation Commission): On motion by Commissioner Koch and passed unanimously, Article V-Schedule of District  amend maximum height requirements for B-1 and B-4 zoning districts.  amendments on an individual basis.  Regulations was approved per Ordinance 2024-009. Article VI-Table of Permitted and Special Uses: Special Uses was approved per Ordinance 2024-009. Article VIII-Off Street Parking and Loading:  On motion by Commissioner Koch and passed unanimously, Article VI- Table of Permitted and  Andy Goodall explained this item further. There was much discussion among the Board of Commissioners. Andy doesn't recommend the Board of Commissioners to table this item-he recommends approval as written and then Planning staff, along with the Planning Board, to bring this back to the Board with updated amendments once there is more conversation and recommendations. He feels this would be a great discussion during the City Board Retreat.  4    Commissioner Wood made a motion to approve Article VIII-Off-Street Parking and Loading  and it was passed by a three to two vote: Vote Aye: Commissioners Wood, Cochran, and Hutchens Vote Nay: Commissioners Koch and Thacker  Article. IX-Signs:  On motion by Commissioner Hutchens and passed unanimously, Article IX-Signs was  approved per Ordinance 2024-009.  Article VII-Schedule of Area, Yard and Height Requirements: Yard, and Height Requirements was approved per Ordinance 2024-009.  On motion by Commissioner Thacker and passed unanimously, Article VII-Schedule of Area,  Statement of Consistency:  On motion by Commissioner Thacker and passed unanimously, the following Statement of Consisteney was adopted: "That it is consistent with the comprehensive plan's goal of establishing suitable land development patterns that complement the character of the city.  These amendments are also reasonable and in the public'sinterest."  ORDINANCE VUMBER 2024-009:  On motion by Commissioner Cochran and passed unanimously, Ordinance 2024-009 was  approved:  ORDINANCE NUMBER 2024-009  ORDINANCE TO AMEND THE CITY OF MOUNT AIRY ZONING ORDINANCE  (Miseellaneous Amendments)  NOW, THEREFORE, BE IT ORDAINED by the City of Mount Airy Board of  Commissioners that the following Statement of Consistency is hereby adopted:  Statement of Consisteney:  "That it is consistent with the comprehensive plan's goal of establishing suitable land development patterns that complement the character of the city. The amendments are BE IT FURTHER ORDAINED that the City of Mount Airy Zoning Ordinance be amended  reasonable and in the public's interest."  as follows (in bold):  Article V-s Schedule of] District Regulations  5.3.C Historic Landmarks and Preservation Overlay District  In addition to the standards and requirements of the underlying principal or conditional district, historic landmarks and preservation district property shall  comply with the following requirements: 1. Historic Preservation Commission  Whereas the heritage of Mount Airy is a valued asset and an essential ingredient of this community's health, safety, and general welfare, the  5    Historic Preservation Commission, in accordance with NCGS 160D-303; 941, ish hereby established to exercise all duties and responsibilities and possess the authorities described herein. The Historic Preservation Commission shall consist of seven (7) nine-(9) members appointed by the City Board of  Commissioners. A. Tenure  Members of the Commission shall serve consecutive terms of three (3) years. Initially, two (2) three(3) members shall be appointed for one (1) year, two (2) three-(3) members for two (2) years, and three (3) members for three (3) years. Thereafter, all appointments shall be for a term of three (3) years. A member may be reappointed for three (3)  terms.  Article VI- Table of Permitted and Special Uses  R- R R- R= R- B B B- B B M-  USETYPES  SR 1 X 10  20 15 8 6  Building supply dealer SR 10 Building Supply Dealer  X  X  A. Minimum lot size shall be three (3) acres.  B. No principal buildings or accessory structures shall be located within fifty (50") feet of C. The loading/unloading of delivery vehicles within a street right-of-way is expressly D. A detailed site plan prepared by a licensed surveyor or engineer shall be provided illustrating all on-site buildings, parking spaces, outdoor storage areas, landscaping  any property line. prohibited.  requirements, loading docks and loading/unloading diagrams. E. See Section 10.6.C: for sereening requirements for outdoor storage areas.  Article VITI-Off-Street Parking and Loading 8.1 Off-Street Parking Requirements  With the exception of Section 8.6, ayinth-MimipaiselS-wi-Pas) there shall be provided at the time of the erection of any building, or at the time any principal building is enlarged or increased in capacity by adding dwelling units, guest rooms, seats, or floor area; or before conversion from one (1) type of use or occupancy to another, permanent off-street parking space in the amount specified by this section. Such parking spaces may be provided in a parking  garage or parking lot constructed in accordance with Section 8.2.  6    8.6 Municipal Service District Parking Requirements  A. Uses in the Municipal Service District, with the exception of the following shall  be exempt from the minimum parking requirements:  1. Assembly Uses (I.e. Assembly Halls, Auditoriums, Churches and similar uses) 2. Lodging (I.e. Bed and Breakfast Inns, Motel & Hotels and similar uses)  3. Schools (Public or Private)  4. Residential (3 or more units per building)  B. In lieu of on-site parking, a public and/or private parking agreement meeting the standards set forth in this Article shall be registered with the Planning & Development Department prior to thei issuance ofa Zoning Clearance. Permit.  Article IX-Signs 9.4.G.7 Window Signs 1. Where Permitted  Window signs shall be permitted to be displayed in association with any non- residential use in any zoning district subject to such additional limitations and Non-residential uses may display signs on windows, doors or window coverings No more than forty (40%) percent of any single window or door shall be obstructed Signs on blinds, shades, curtains or other window coverings shall be considered a window sign subject to Section 9.4.G.7. Materials used to block views into a building under renovation (I.e. brown paper, ete.) are not considered to be a window sign. One (1) internaly-lluminate. or exposed neon "Open' sign shall be permitted per non-residential use and shall be limited to four (4ft2) square feet. No other  conditions as included herein. 2. Permitted Sign Location 3. Permitted Sign Area bys signage. 4. Window Coverings  located on the street level floor of a building frontage.  5. Illumination  window signs shall bei illuminated.  Article VII Schedule of Area, Yard and Height Requirements  Minimum Square Feet LotArea Square Feet for One( (1) Dwelling unit 20,000* 15,000  per Dwelling LotWidth: at Unitfor more than One (1) Dwelling Unit 10,000 N/A  Side Street Setback in Feet 20 20  the Building Detinition) 80 80  Front  Side  Rear Setbackin Feet 10 10  Maximum Heightin! Feet  District  Line In Feet Setback Setback (See LotWidth inl Feet in! Feet  R-20 R-15  30 30  10 10  35 35 7    R-8 R-6 R-6Two family R-6Multi- family R-4 R-4Two family R-4 Multi family R-4 Office B1 B-2 B3 B4 B5 M-1 Conditional Uses  8,000 6,000 9,000 6,000 9,000 6,000  N/A 4,500 4,500 4,500 4,500 N/A  70 60 70 60 70 60  15 15 20 15 20 15 4024 35 35 25 404 -5  10 5 10 5 10 5 37 10 205.7 10 -3 5  15 15 20 15 20 15 3024 25 25 15 304 -5  10 10 15 10 15 10 -2 20 20 20 -2,3 -5  35 35 50 35 50 50 80 ? 35 3550  See SR7- - Multi-Family Dwelling  See SR7 Multi-Famiy Dwelling  -5  5  5  -5  *If public water and sewer are available. Ifr not available, minimum lot sizei is 30,000 square feet. 1. Where municipal water ors seweri is not available, lot sizes shall be as required by thel Health Department 4. From centerline of street or center of proposed: major thoroughfare, as per plan adopted by City and NCDOT 5. Special uses shall follow the area, yard andl height requirements of the underlying zoning classifications 6.1 Required if ani interior line within ai multi-parcel development of atl least 10 acres 7.lfaperipheral or corner. lot ont the perimeter of the development or subdivision  2. See SR 71 for Multi-Family Dwelling  3. None required, buti if provided, each sidey yard shall be at least 4 in width  BE IT FURTHER ORDAINED this ordinance shall become effective upon approval.  Approved and adopted this the 16th day of November, 2023.  b) Ordinance 2024-010-Ordinance to Annex Property Located at 118 Highland Drive:  ORDINANCE NUMBER 2024-010  ANORDINANCE TO EXTEND THE CORPORATE LIMITS OF THE CITY OF MOUNT AIRY, NORTH CAROLINA  WHEREAS, the City Board of Commissioners has been petitioned under G.S. 160A- WHEREAS, the City of Mount Airy has, by resolution, directed the City Clerk to  31, as amended, to annex the area described below (Parcel 5020-14-23-6132); and  investigate the sufficiency oft the petition; and  8    WHEREAS, the City Clerk has certified the sufficiency of the petition and a public hearing on the question of this annexation was held at the Mount Airy Municipal Building at  6:00 pm on November 16, 2023, after due notice by publication; and  WHEREAS, the City of Mount Airy finds the petition meets the requirements of the Section 1. By virtue of the authority granted by G.S. 160A-31, the following described  City of Mount Airy, North Carolina, that:  territory is hereby annexed and made part of the City of Mount Airy effective  immediately:  (Description of Real Property)  Lots 11 and 12, Section E, Banner-Lovill property as surveyed and platted by W.C. Trenti in July 1945 and recorded in Plat Book 3, page 64 oft the Surry County Registry said Plat being a revision of Plat Book 1, page 220 oft the Surry County Registry. See also Deed Book 155, page 437; 216 Deed Book, at page4s 129. and 416; Deed Book 256, page 182, Deed Book 416, page 1167; and Deed Book 427, page 1209, all Surry County Registry. This is the same property described in the deed dated 9 February 1988 and recorded 111 February 1988 in Deed Book 455, page 287 in the Office of the Register of Deeds of Surry County, NC. Address: This is vacant property located on the west side of Maple Drive, Mount Airy, NC  Reference: Record Book 455, page 287 Tax Identification No. 5021-14-23-6132  27030  For further reference, see Deed Book 1846 at Pages 291-293. Also reference Record Book 455  at page 287.  (Known as 118 Highland Drive)  Section 2. Upon and after the effective date, the above described territory and its citizens  and property shall be subject to all debts, laws, ordinances and regulations in force in the City of Mount Airy and shall be entitled in the same privileges and benefits as other parts of the City of Mount Airy. Said territory shall be  subject to municipal taxes according to G.S. 160A-58.10.  Section 3. The subject parcel has direct access to public water; however, public sewer  would have to be extended (by developer) approximately three-hundred feet to serve the parcel. Alternatively, the Public Works Department has permitted use of current septic system. Fire, Police, and Garbage Services can be  provided to the parcel.  Section 4. The Mayor of the City of Mount Airy shall cause to be recorded in the office of  the Register of Deeds of Surry County, and in the office of the Secretary of State at Raleigh, North Carolina, an accurate map of the annexed territory, described in Section 1 above, together with a duly certified copy of this ordinance. Such a map shall also be delivered to the Surry County Board of  Elections, as required by G.S. 163-288.1.  Section 5. This ordinance shall become effective upon approval.  9    Approved and adopted this the 16th day of November, 2023.  c) Ordinance 2024-011-Ordinanee to Rezone Property Located at 118 Highland Drive: On motion by Commissioner Hutchens and passed unanimously, the following Statement of  Consisteney was adopted:  STATEMENT OF CONSISTENCY  "The proposed rezoning is consistent with the future land use (Medium Intensity) recommendation in the City of Mount Airy Comprehensive Plan. The request is also On motion by Commissioner Cochran and passed unanimously, Ordinance 2024-011 was  reasonable and in the public'sinterest."  approved.  ORDINANCE NUMBER 2024-011  AN ORDINANCE TO REZONE PROPERTY INTO THE CORPORATELIMIS OF  THE CITY OF MOUNT AIRY, NORTH CAROLINA  WHEREAS, the City of Mount Airy Board of Commissioners has received a request from David and Joy Francis to rezone a 0.43-acre parcel located at 118 Highland Drive, Tax ID Number 5020-14-23-6132, from RL (Residential Limited) to B-4 (Highway Business); and WHEREAS, the City of Mount Airy Planning Board has reviewed the petition and recommended the request to the Board of Commissioners for their consideration and  approval; and  WHEREAS, the Board of Commissioners of the City of Mount Airy adopted a resolution directing that a public hearing be conducted on the 16th day of November, 2023;  and  WHEREAS, the Board of Commissioners, having conducted the public hearing and reviewed the recommendations of the Planning Board, concur that the property herein  described be rezoned and adopt the following Statement of Consistency:  STATEMENT OF CONSISTENCY  "The proposed rezoning is consistent with the future land use (Medium Intensity) recommendation in the City of Mount Airy Comprehensive Plan. The request is also  reasonable and in the publicsinterest."  NOW, THEREFORE BE IT ORDAINED by the City of Mount Airy Board of Commissioners that this 0.43-acre parcel shown on the attached Exhibit A identified as 118 Highland Drive, Tax ID Number 5020-14-23-6132, be rezoned from RL (Residential  Limited) to B-4(Highway Business). amended to reflect this change.  BE IT FURTHER ORDAINED that the Zoning Map of the City of Mount Airy be  10    Approved and adopted this the 16th day of] November, 2023.  REMARKS BY OFFICIALS:  Commissioner Cochran: Attended the Airport Authority meeting as well as the Veterans Day Commissioner Wood: She doesn't feel like she nor any other Commissioner want to be disrespectful and sound heartless because of the homeless situation. This is a difficult situation for everyone and she wants to work as a unit with these organizations for ideas on Commissioner Hutchens: Disheartened that the City denied a permit for the Shepherd's House to do their person in time count, which is a federal count on homeless, on the greenway. The justification was because the city had banned the homeless individuals from city property and arrested them for trespassing on city property, therefore the permit couldn't be issued. This should not keep Shepherd's House from having this event. This problem is not going away. Giving Shepherd's House a permit would had been a great opportunity to work together. They wanted to use the greenway to have a better chance with the individuals meeting them where they are. There weren'tany issues with last year's event. Commissioner Koch: Mount Airy is a small town with 10,000 population-one hundred and fifty homeless people in Mount Airy is the same as 150,000 homeless in New York City, which is overwhelming. There are more than four times the homeless people in Mount Airy than police officers. He agrees with Commissioner Hutchens-looking for help. This is a problem that they need to do something about. He welcomes any organization who wants to Darren Lewis: Concerning Mr. Bowman's request during the Public Forum, Riverside Drive isal DOT maintained road and the City is working with the DOT for a potential crosswalk at Riverside Drive and even some stop lights to help with traffic. They have talked about the section of the greenway across from Millennium Charter Academy with the large volume during opening and closing of school times. They are working with Surry County Parks and Concerning the Shepherd's House permit denial, there is a process to go through for permits. Ifitis a Parks and Recreation facility, it goes to the Parks and Recreation Department checking the availability of the facility at the parks and greenway. Then the organization contacts the Police Department and they speak to the organization asking what is needed for the event. This year, it was discussed at length and staff did not feel that for this year the greenway was the place to have this event due to the current homeless situation. That area and the population is what Mount Airy is having issues with people sleeping under the bridges and on the greenway. Inviting other people to that area would increase the issue. That set of restrooms is a problem with needles being in trash cans and on the floor and not being safe for City employees or visitors. City staff removed three sites last week with lots of needles in those areas along the greenway with private property being damaged. This is part ofthe reason it was denied-not because people had been banned from the property. He spoke with the Shepherd's House this week giving them more information that this would be looked at annually as they do for all permits going through the process. There are different places in the community to look at to hopefully approve next year. One of the better places for these individuals to go is around the Shepherd's House, where the services are being  ceremony.  Commissioner Thacker: No comments.  how to help. They all need to work together as a unit.  help.  Recreation with kayak access hoping to get a place at Carter Street.  offered.  11    Hugh Campbell: No comments. the NCDOT-not the City.  Mayor Cawley: Reiterated to the public-a state road that runs through town is controlled by These are issues that no one want to deal with and yet, the Board and City staff have to. The Anna Way situation is just as important as anything else because it puts people at risk. He pulled out from Anna Way and was almost hit. The cars were parked in the grass not on the pavement. That experience changed his mind. Sometimes when things have been that way for 40 years people say that it must be okay. They are going to use that same logic to work on the homeless issue. Any criticism he has received from his point of view, he will own and will try to be more understanding. A lot of times, it seems that people dig in on the side and then try to convince that their side is the best. There is no one size fits all in this situation. The City is not chasing after the homeless. He doesn't know the best way to handle but is open to learn. He will volunteer at the Shepherd's House and will continue to try to help  people. CLOSEDSESSION: session. OPENSESSION:  a) Pursuant tol NCES1-36.118)6) Attorney-Client Privilege:  On motion by Commissioner Cochran and passed unanimously, the Board entered into closed  On motion by Commissioner Koch and passed unanimously, the Board entered back into open Commissioner Koch made a motion to proceed with the removal of the conerete/asphalt pad at the property on the corner of Anna Way and Country Club Road as well as look into putting a  session and took the following action:  mirror up for safety purposes. ADJOURNMENT:  On motion by Commissioner Koch and passed unanimously, the meeting was adjourned.  Approved and adopted this the 4th day of January, 2024.  Jon Cawley, Mayor  ATTEST:  Melissa N. Brame, City Clerk  12    RESOLUTION NUMBER 2024-041  RESOLUTION! MAKING! TOURISM DEVELOPMENT AUTHORITY APPOINTMENT  WHEREAS, there are several appointments to the Tourism Development Authority WHEREAS, Dawn Wallace is no longer eligible for reappointment to the Tourism Development Authority; therefore, it is recommended that Lenise Lynch be appointed for a  that expire January 15, 2024; and  three (3): year term; and  WHEREAS, Julie Perkins is no longer eligible for reappointment to the Tourism Development Authority; therefore, it is recommended that Catrina Alexander be appointed  for a three (3) year term; and serve a one (1) year term; and  WHEREAS, it is recommended that Commissioner Phil Thacker be appointed to WHEREAS, it is recommended that Pam Stone, Finance Director for the City of NOW, THEREFORE BE IT RESOLVED BY THE CITY OF MOUNT AIRY Section 1. Lenise Lynch is hereby appointed to Category #2 (Experience in the  Mount Airy be appointed to serve a one (1): year term:  BOARD OF COMMISSIONERS MEETING IN OPEN SESSION THAT:  promotion of travel and tourism) of the Tourism Development Authority fora a  three (3) year term expiring January 15, 2027.  Section 2. Catrina Alexander is hereby appointed to Category #3 (Member of Mount Airy  Chamber of Commerce, Selected by Mount Airy Chamber of Commerce) of the Tourism Development Authority for a three (3) year term expiring January  15,2027.  Section 3. Commissioner Thacker is hereby appointed to Category #4 (Member of the  City of Mount Airy Board of Commissioners) of the Tourism Development of Mount Airy-ex-officio, non-voting member) of the Tourism Development  Authority for a one (1) year term expiring January 15, 2025.  Section 4. Pam Stone is hereby reappointed to Category #5 (Finance Officer of the City  Authority for a one (1) year term expiring January 15, 2025.  Section 5. This resolution shall become effective upon approval. Approved and adopted this the 4th day of. January, 2024.  Jon Cawley, Mayor  ATTEST:  Melissa N. Brame, City Clerk    ORDINANCE! NUMBER 2024-021 BUDGETORDINANCE. AMENDMENT  WHEREAS the City ofl Mount Airy adopted the 2023-24 budget on. June 1, 2023; AND WHEREAS the City of Mount Airy has received a funds from the Surry Orthopedic Endowment a component fund of the North Carolina Community AND WHEREAS it is necessary to amend the budget ordinance in order to appropriate these funds in order to purchase safety vests and road signs for youth hikes, crossings and AND WHEREAS General Statute 159-15 of the North Carolina Government Fiscal NOW, THEREFORE, be it ordained that authorization is hereby given to make the  Foundation;  fun runs;  Control Act provides authority to amend a current municipal budget;  following adjustments:  Increase (Decrease) 1,500 1,500 1,500 1,500  Section 1. General Fund Appropriations Parks and Recreation  Section 2. General Fund Revenue Estimates Miscellaneous Revenue  Adopted this 4th day of. January, 2024.  Mayor Attested:  City Clerk    CITY EMPLOYEE RECOGNITIONS  Name: Dustin Smith Alyssa Martin German Macedo Morales  Job'7 Title: Fire Dept. Lieutenant School Resource Officer-Police Dept. Waste Water Treatment Plant Operator 5 years  Years of Service: 10 years 5 years    RESOLUTIONNUMBER 2024-039  RESOLUTION: SETTING Al PUBLICI HEARING: FOR DISPOSITION OF REALI PROPERTY FOR  FUTURE ECONOMICDEVELOPMENTand AMENDING DEVELOPMENT AGREEMENT Aj portion of 3141 Franklin Street  WHEREAS, North Carolina General Statute S 158-7.1 authorizes a unit of local government to undertake an economic development project by conveying real property to a  company; and  WHEREAS, Article VIII of the Charter of the City of Mount Airy provides that in the disposition of property, the Board may, upon the affirmative vote of at least four (4) members, publicly or privately sell, lease, rent, exchange or otherwise convey, or cause to be publicly or privately sold, leased, rented, exchanged or otherwise conveyed, any property, real or personal or any interest in such property, belonging to the City. The Board may sell, exchange, or otherwise transfer the interest in real property to any purchaser subject to such covenants, conditions and restrictions as the Board may deem to be in the public interest. The provisions of Article 12 of Chapter 160A of the General Statutes do not apply to the disposition of property pursuant to  Article VIII; and  WHEREAS, following a period of advertisement and a public hearing, the City of Mount Airy previously acquired that certain real property located at 3141 Franklin Street (PIN 5020-15- 64-6707), some or all of which is legally described in Record Book 1840, Page 0444 in the office of the Surry County Register of Deeds (the "Slate Property"). The purpose of acquiring the said  Slate. Property was for economic development; and  WHEREAS, the City of Mount Airy has previously entered into that certain Amended and Restated Development Agreement with Sunhouse Properties concerning the development of ak boutique hotel and related facilities upon a portion of the former Spencer's Property; and  WHEREAS, the City of Mount Airy proposes to convey to Sunhouse a portion of the Slate Property containing approximately 3,000 square feet along its northern and eastern perimeter. Sunhouse has requested the additional property to locate its dumpster pad and to remove an existing retaining wall abutting the Spencer's Property. If approved, the area under consideration would be conveyed subject to thet terms oft the Development Agreement:  NOW,THEREFORE BE ITI RESOLVED BYTHE CITY OF MOUNT AIRY BOARD  OF COMMISSIONERS MEETING IN OPEN SESSIONTHAT: hear public comments on the above: mention request.  Section 1. That a public hearing be scheduled for Thursday, January 4, 2024 at 6:00 pm to  Section 2.  That notice of the public hearing shall be published in the Mount Airy News, a  newspaper having general circulation in the City of Mount Airy, at least ten (10) days prior to the  date of the public hearing.    Section 3. This resolution shall become effective upon approval. Approved and adopted this the 21st day ofI December, 2023.  068  JonCawley, Mayor  ATTEST: lelissaN. Brame, Allpk  Wisape Clerk City  FEB. >*< 25, 1885 >* CAROL    LEGAL NOTICE OF PUBLIC HEARING The City of Mount Airy entered into a development agreement with Sunhouse Hospitality for the construction of a boutique hotel at the Spencer's Mill property. The City proposes to amend the development agreement with Sunhouse Hospitality concerning the de- velopment ofs said hotel. The City also recently acquired cer- tain real property. at314 Franklin Street, Mount Airyf for the purpose ofe economic de- velopment. The City proposes to convey to Sunhouse Hospi- tality ap portion of said property containing approximately: 3,000 square feet alongi its northern and eastern perimeter for the location ofi its dumpster pad andi removal of an existing re- taining wall abutting the Spencer's Property. The Board of Commissioners of the City of Mount Airy will hold ap public! hearing on the proposed disposition of said real property and amending the development. agreement with Sunhouse Hospitality con- cerning the dévelopment ofa boutique hotel and relatedf fa- cilities upon a portion of the Spencer's Mill properly. The public hearing willl bet held at the Regular Meeting oft the Board at 6:00 pm on. January 4,2024. All interested persons are invited to attend and pres- ent their views. Publish: 12-23-23 209375    RESOLUTION NUMBER 2024-042  RESOLUTION FOR DISPOSITION OF REAL: PROPERTY FOR FUTURE ECONOMIC  DEVELOPMENT: and AMENDING DEVELOPMENT AGREEMENT Aj portion of314 Franklin Street  WHEREAS, North Carolina General Statute $ 158-7.1 authorizes a unit of local government to undertake an economic development project by conveying real property to a  company; and  WHEREAS, Article VIII of the Charter of the City of Mount Airy provides that in the disposition of property, the Board may, upon the affirmative vote of at least four (4) members, publicly or privately sell, lease, rent, exchange or otherwise convey, or cause to be publicly or privately sold, leased, rented, exchanged or otherwise conveyed, any property, real or personal or any interest in such property, belonging to the City. The Board may sell, exchange, or otherwise transfer the interest in real property to any purchaser subject to such covenants, conditions and restrictions as the Board may deem to be in the public interest. The provisions of Article 12 of Chapter 160A of the General Statutes do not apply to the disposition of property pursuant to  Article VIII; and  WHEREAS, following a period of advertisement and a public hearing, the City of Mount Airy previously acquired that certain real property located at 314 Franklin Street (PIN 5020-15- 64-6707), some or all of which is legally described in Record Book 1840, Page 0444 in the office of the Surry County Register of Deeds (the "Slate Property"). The purpose of acquiring the said  Slate Property was for economic development; and  WHEREAS, the City of Mount Airy has previously entered into that certain Amended and Restated Development Agreement with Sunhouse Properties concerning the development of ab boutique. hotel and related facilities upon a portion of the former Spencer's Property; and  WHEREAS, the City of Mount Airy proposes to convey to Sunhouse a portion of the Slate Property containing approximately 3,000 square feet along its northern and eastern perimeter. Sunhouse has requested the additional property to locate its dumpster pad and to remove an existing retaining wall abutting the Spencer's Property. If approved, the area under consideration would be conveyed subject to the terms of the Development Agreement:  NOW,THEREFORE BEI ITI RESOLVED BYTHEC CITY OF MOUNT. AIRY BOARD  OF COMMISSIONERS MEETING IN OPEN SESSION THAT:  Section 1. The City of Mount Airy does hereby convey to Sunhouse Hospitality a portion of  the property located at 314 Franklin Street (PIN 5020-15-64-6707), containing approximately 3,000 square feet along its northern and eastern perimeter. An illustration of the area in question has been accepted by the Board, subject to a final survey in substantial conformity therewith which shall be approved by the  Manager and City Attorney confirming the metes and bounds.    Section 2. The City of Mount Airy does hereby approve the area under consideration to be  conveyed subject to the terms of the Development Agreement. The Board of Commissioners does hereby authorize the Mayor to execute all documentation relating to the above perreview and approval by the City Attorney.  Section 3. This resolution shalll become effective upon approval. Approved and adopted this the 4th day ofJ January, 2024.  Jon Cawley, Mayor  ATTEST:  Melissa N. Brame, City Clerk    RESOLUTION NUMBER 2024-043  RESOLUTION ACCEPTINGG GOLDEN LEAFI FOUNDATIONCRANT WESTWOODINDUSTRIALPARK SITEDEVELOPMENT  WHEREAS, the City of Mount Airy applied for and has been awarded a Golden Leaf Foundation Grant in the amount of $1,500,000.00 for the Westwood Industrial Park Site  Development Project; and  WHEREAS, this grant award will provide funding for the clearing, grading, and other site WHEREAS, the City anticipates that completion of this project will result in approximately 200 jobs over two-phases with an average wage of $45,000 and $75 million in  preparation ofa a 16-acre City-owned lot in the Westwood Industrial Park; and  private capital investment:  NOW, THEREFORE BE IT RESOLVED BYTHE CITY OF MOUNT AIRY BOARD  OF COMMISSIONERS MEETING IN OPEN SESSION' THAT:  Section 1. The Board of Commissioners does hereby accept the Golden Leaf Foundation  Grant in the amount of $1,500,000 for the Westwood Industrial Park Site  Development Project.  Section 2. The Board of Commissioners does hereby authorize the Mayor to execute said  Grantee Acknowledge and Agreement between the City of Mount Airy and The Golden Leaf Foundation per review and approval by the City Attorney.  Section 3.  This resolution shall become effective upon approval.  Approved and adopted this the 4th day ofJanuary, 2024.  Jon Cawley, Mayor  ATTEST:  Melissa N. Brame, City Clerk    The Golden LEAF Foundation ("Golden LEAF") GRANTEE ACKNOWLEDGMENT AND AGREEMENT  1, Grantee: 2. Number & Title: 3. Purpose of Grant: Amount of Grant; . Award Date:  City of Mount. Airy  G20A080312/Weswed Industriall Park Site Development  This award provides funding to the City of Mount Airy for clearing, grading, and other sitc  preparation ofa 16-acre lot in the Westwood Industrial. Park. The city anticipates that completion of the project will result in 200j jobs over twoj phases with average annual wages ofs $45,000, and. $751 million inj private capital investment.  $1,500,000.00 2023-12-07  . Special Terms and Conditions Applicable to Grant:  a) Thei term oft the grant is 181 months, commencing on the. Award Date. Golden LEAF may extend the term of the Grant. All project-related expenses must bci incurred during the term of the grant. Thep provisions ofthis Grantee Acknowledgment and Agreement (this "Agreement") that by their nature extend beyond the term  of the grant will survive the end of the term of the grant. b) Site preparation activities must be approved by Golden LEAF in advance.  7. Standard conditions on the relcase of grant funds:  a) Relcase of grant funds is contingent on Grantee atterding a Golden. LEAF grants management workshop or participating in satisfactory discussions with Golden LEAF staff to gain training in the management of b) Release of funds is contingent on Grantee returning a fully executed copy of this Agreement no later than forty-five. (45) days after the Award Date, unless Golden LEAF agrees to extend the deadline for its c) Relcase of funds is contingent on Golden LEAF's approval of activitics and outcomes that will be used to monitor and assess Grantee's implementation of the project. Unless otherwise directed by Golden LEAF, Grantee must: submit proposed outcomes and: actiyities for approval within forly-five(45) days oft the. Award d) Relcase of funds is contingent on the Grantee submitting a project budget for approval by Golden LEAF. The project budget must bc submitted for approval within. forty-five (45) days of the Award Date unless Golden LEAF agrees to extend the deadline. Unless otherwise approved, the project budget must be If the approved project budget includes funds from other sources that are required for project implementation, Golden LEAF grant funds will not be released until Grantee demonstrates that it has Golden LEAF grant funds may notl be used for acquisition ofi interests in real property or for costs of grant g) Ifthe Grantee fails to comply with its obligations under this Agreement, no further grant funds will be released unless such oncomplance is resolved to the satisfaction ofGolden) LEAF.  Golden LEAF grants and reporting requirements.  submission. Date,  submitted on Golden LEAF form(s). secured those funds. administration.  8. Confirmation of Eligiblity/Pemmisibic use of Funds: The Grantee confirms: (I) that the Internal Revenue Service has determined that the Grantee is. an organization described in Section 501(c) (3) oft the Internal Revenue Code of 1986, as amended, and that such determination has not been revoked, or (2) that the Granteei isaf federal, state, orl local govemmental unit. Grantee agrecs to notify Golden LEAF promptly ift the Grantee's tax-exempt: status. is revoked or modified in any way. The Grantee agrees that it will use the funds from this grant only for charitable, educational, or scientific purposes within the meaning of Section 501(c)(3) oft the Code, and that it will not use thè funds from this grant in any way that would resulti in or give rise toj private inurement ori impermissible private benefit. The Grantee agrees that no funds from this grant willl be used to carry on propaganda or otherwise to: attempt toi influence legislation, toi influence the outcome of    any public election, or to carry on directly ori indirectly any voter registration drive. Ifgrant funds are used to pay fors sales tax for which the Grantee reccives a refund, Grantee will use the refund for expenses that are consistent with the purpose oft the grant and permissible undert this Agreement. Unless otherwise agreed by Golden LEAF in writing, noj portion of the Grantee'sr rights or obligations under this Agreement may be transferred or assigned to: any other entity. 9. Compliance with laws/liens: The Grantee is in material compliance with all federal, state, county, and local laws, regulations, and orders that are applicable to the Grantec, and the Grantee has timely filed with the proper govemmental authorities all statements and reports required. by the laws, regulations, and orders to which the Grantee is subject. There is no litigation, claim, action, suit, proceeding or governmental: investigation pending against the Grantee, and therei is no pending or (to the Grantee'sknowledge) threatened litigation, claim, action, suit, proceeding or governmentali investigation against the Grantee that could reasonably be expected tol have a material adverse effect upont the Grantee's ability to carry out this grant in: accordance withi its terms. The Grantee has timely paid allj judgments, claims, andf federal, state, andl local taxes payable by the Grantce the non- payment of which might result in al lien on any. of the Grantec's assets or might otherwise adversely affect the Grantee'sability to carry out this grant in accordance withi its terms. 10. Conflict ofi interest: In comection with the project funded by Golden LEAF, no employee, officer, director, volunteer, or agent of the Grantee shall engage in any activity thati involves a conflict of interest or that would appear to a reasonable person toi inyolve: ac conflict ofi interest. Without limiting thef foregoingi principle, except as described below, in connection with implementation of the project funded by Golden LEAF, Grantee shall not procure goods or services from any Interested Person or from any individual or entity with which any Interested Person has a financial interest or from any family member of an Interested Person, nor shall Grantee use Golden LEAF grant funds to provide goods, servicès, or compensation (other than customary and reasonable wages and1 benefits) to any Interested! Person ort to any family member ofan Interested Person. "Interested Person" includes officers and directors of the Grantec, and employees of the Grantee with authority to procure goods ors services for the Grantee related to the project funded by Golden. LEAF. For purposes of this section, family members shall include: (I) spouse, (2). ancestor, (3) brother, (4) half-brother, (5) sister, (6) half- sister, (7) child (whether by birth or by adoption), (8) grandchild, (9) great grandchild, or (10) spouse oft brother, half- brother, sister, half-sister, child, grandchild, or great grandchild. An Interested Person has a financial interest if the Interested. Person has, directly ori indirectly, through business, investment, or family: a) an ownership ori investment interest ina any entity withy whichi the Grantee has a transaction ora arrangement; b)ac compensation arrangement with the Grantee or with any entity or individual with which the Grantee has a transaction or arrangement; or c) a potential ownership or inyestment interest in, or compensation arrangement with, any entity or individual with which the Grantee is negotiatinga transaction or arrangement, Compensation includes direct andi indirect remuneration as well as gifts or favors that are not insubstantial. An Interested Person must inform the Grantee of the Interested Person's financial interest upon becoming aware. that the Grantee is considering procuring goods or services from, any individual or entity with which any Interested Person has a financial interest. The foregoing notwithstanding, ifafter exercising due diligence, the governing board or committee oft the Grantee determines that the Grantee is not reasonably ablet tos secure: a more advantageous transaction or arrangement from an individual or entity with which an Interested Person does not have a financial interest, the governing board or committee shall determine by a majority vote oft the disinterested directors whether the transaction or arrangement is in the Grantee's besti interest, for its own benefit, and whether it is fair and reasonable. In conformity with the above determination the Grantee shall make its decision as to whether to enter into the transaction or arrangement and shalll keep written records of the meeting at which that decision was made. The Grantee shalli inform alll Interested Persons of the requirements set forth in this section. If the requirements set forth in this section conflict with any statute or regulation applicable to the Grantce, the statute or regulation shall control. Ifthe Grantee has a conflicts ofi interest policy orsimilar policy that providesn more stringent restrictions andj protections than thosei in this section, the Grantee may comply with its policy rather than the policy contained herein. Thé Grantee may request that the President of the Foundation approve a conflict of interest. policy that varies from the requirements of this section. This section does. not alter the requirement that Grantce may not use the funds from this grant in any way that would' result in or give rise to priyate I1. Pocturement/Dispoation: All goods or services acquired using Golden LEAF grant funds must be reasonably necessary toi implement the project funded. All procurement transactions involving the use of Golden LEAF grant funds willl be conducted to provide, to the extent possible and reasonable, free and open competition among suppliers. The Grantee should use reasonable efforts to procure goods and services from local businesses, small businesses, minority-owned firms, and women'sbusiness: enterprises. The Grantee will seek competitive offers where possible and reasonable to obtain the best possible quality at the best possible price. Some form of cost or price analysis shall be made and documented in connection with every individual procurement in excess of $1,000.00. Price analysis may be accomplished in various  inurement or impermissible private benefit.  2    ways, including the comparison of price, quotations or market prices, including discounts. For any single procurement of$100,000.00 ori more, Grantec will use a compelitive bid process that is designed to attract a reasonable number of responsive bidders. The requirements of thel bidj process may vary depending on the value oft the procurement. When evaluating bids received, the Grantee isi not required tot taket thel lowest pricei ifother factors are reasonably important tot the Grantee; however, the bases for evaluation and selection should be listedi in the procurement documents and there should be an objective method for the decision made by the Grantee. The decision should be documented in writing. If the Grantce is subject tos statutory ori regulatory procurement requirements, those requirements supersede thiss section. The. Grantee may request that the President of Golden LEAF approve the Grantce's use ofa procurement policy that varics from the requirements of this section. If equipment purchased by the Grantec using Golden LEAF funds is no longer needed or used for the project. funded, the Grantee may donate the equipment to a North Carolina governmental entity or al North Carolina organization recognized as an organization described under Section 501(c)(3) of the Internal Revénue Code. In making such a donation, the Grantee must comply with statutory or regulatory requirements that apply to the Grantee, must use. reasonable efforts to ensure thatt the cquipment is used for purposes consistent with this grant, andi must document and retain records evidencing the donation in accordance with the terms and condition oft this Agreement. 12. Project and budget modification: The Grantee willi immediately notify Golden! LEAF of anything that may materially: affcct the Grantee's: ability to perform the project funded. Ifthe Grantee proposes to modify the budget, the objectives, or any other feafure of the project funded, the Grantee shall not encumber or expend any funds from this grant for such purposes unless and until Golden LEAF has approved such proposed modifications. in writing. Morcover, no further payments shall be made tot the Grantee in connection with the project funded unless and until Golden LEAF has approved such proposed modifications in writing, which may be a communication sent through Golden LEAF's grants 13. Use of grant funds/rescission: and termination of grants: The Grantee accepts and will retain full control oft the disposition oft funds awarded to the Grantee by Golden LEAF under this grant and accepts and will retain full responsibility for compliance with the terms and conditions oft the grant. Grant funds shall be utilized exclusively for the) purposes set forth above. Ift the Grantee breaches any of the covenants or agreements contained in this Agreement, uses grant funds for purposes other than those set out above, or any oft ther representations and warranties made by the Grantee are untrue ast to amaterial fact, the Grantec agrees to repay to Golden LEAF the full amount of this grant. Any condition, purpose, term or provision in Golden LEAF's resolution approving funding, in this Agreement, ori in the budget or other forms approved by Goldenl LEAF shall take precedence over any çonflicting provision int the Grantee's: application. Grantee shall not use grant funds for any purpose not included in the Grantee's application for funding unless specifically approved by Golden LEAF. Ift therei isa a conflict between the purpose of the grant and use of grant funds described in this Agreement 14. The Grantee acknowledges receipt of Golden LEAF's policy regarding termination and rescission of grants, which policy isincorporatedi int this Agréement byr reference: andi isi intended to supplement but not replace orl limit the rights andr remedies ofGolden LEAF set forth elsewhere int this Agreement. The Grantee acknowledges that Golden LEAF may, fromt timet to- time, amend its policy regarding termination andi rescission of grants, andt the Grantee acknowledges that the Grantec will 15. Release of Funds: Unless otherwise agreed by Golden LEAF, up to twenty percent (20%) of funds may be released in advance after all conditions on the release of funds are satisfied. Funds may be relcased in additional advances of up to twenty percent (20%) of the grant amount upon receipt of evidence satisfactory to Golden LEAF that funds previously released havel been properly cxpended and accounted: for. Funds may also be released on a reimbursement basis, in which case payments may be made in an amount equal to or up to eighty percent (80%) of the grant amount upon receipt of evidence satisfactory to Golden LEAF that funds have been. properly expended and accounted for. Unless otherwise approved by" the President ofGolden LEAF, a sum equal to twenty percent (20%) oft the total amount oft the grant will be retained by Golden LEAF until the Grantee completes its obligations under this grant, including submission of a satisfactory final report on the project funded. This final twenty percent (20%) retained by Golden LEAF shall be paid to the Grantee on a reimbursement basis. Ifthe grant is conditional or contingent, all conditions and contingencies must be met before any payment willl be made. Eachi request forj payment shall be submitted through Golden LEAF"s online grants management systemi int accordance withi instruction provided by Golden) LEAF, unless otherwise directed! by Goldenl LEAF. Payment should not be requested until the Grantee has need for actual expenditures of the funds. The Grantee should  management: system to the Grantee,  and the Grantec's application for funding, this Agreement will control.  bes subject to the policy as amended.  request payment at least thirty (30) days prior toi its desired payment date.  3    16, Reporting: The Grantee agrees to submit a progress report to Golden LEAF twice each year, to be received by Golden LEAF six months from the date of award and every six months thercafter unless sone other schedule is approved by Golden LEAF. The Grantce agrees to submit a final Progress Report for receipt by Golden LEAF within sixty (60) days after the completion of all obligations for the project funded or the end date, whichever comes first. The Grantee may be required to report results and accomplishments 10 Golden LEAF for aj period beyond the grant term that is reasonably necessary to èvaluate the outcomes of the grant. Report forms may be found on Golden LEAF's website, wrwgolenlearorg-The Grantee will submit reports through GoldenLEAP'sonline, grants management system following in accordance with instructions provided by Golden LEAF, unless otherwisé directed by Golden LEAF. The Grantec will furnish additional or further reports ift requested by Golden LEAF on forms and following in accordance with processes 17. Records: The Grantee agrees 10 maintain full, accuratc, and verifiable financial records, supporting documents, and all other pertinent data for the project funded in such a manner so as to identify and document clearly the activities and outcomes of the project funded and the expenditure of Golden LEAF grant funds. Financial records regarding Golden LEAF's grant shall be maintained ins sucha a wayt that they can be reported: separately from monetary contributions, or other révenue sources of the Grantee. The Grantce agrees to retain all financial and programmatic records, supporting documents, and all other pertinent records related to the project funded for aj period of five (5): years from the end ofthe grant term. In the event such records are audited, all projeci records shall be retained beyond such five-year period until all audit. findings havel been resolved. The Grantée: shall provide to Golden) LEAF copies of all financial and other records requested by Golden LEAF and: shall make available to Golden LEAF, or Golden LEAF's designated representative, all of the Grantée's records that relate to the grant, and shall allow Golden LEAF or Golden LEAF's representative to: audit, examine and copy any data, documents, proceedings, records and notes of activity relating to the- grant, Access to these records shall be allowed upon request at any time during normal business. hours and as often as Golden LEAF or its  prescribed by Golden LEAF.  representative: may deem necessary. The Grantee may! be subjcct to audit by the State Auditor.  18. This Section 18i is applicable ift the following blank is marked:  Staff Initials & date:  Intellectual property/new developments: In consideration ofi its receipt of funds granted by Golden LEAF, the Grantec agrees that during the course oft the project funded by the grant, the Grantee, and any, recipient of grant funds, will promptly disclose to Golden LEAF any improvements, inventions, developments, discoverics. innovations, systems. techniques, idcas, processes, programs, and other things, whether patentable or unpatentable, that result from any work performed by orf for the Grantee in connection with the project funded, or byi individuals whose worki is funded by the grant (the' "New Developments"). Ifd the Grantee provides to Golden LEAF a copy of any Invention Disclosure Reports it receives from Grantee employces that report making inventions under this. Agreement, then the Grantce willl bc deemed tol have satisfied The Grantee agrees that it, and any recipient off grant funds; shall take all reasonably appropriate actions to assure that the New Developments shall be and remain the sole and exclusive property of the Grantee. In the event that the interests of the public would bes served by commercialization of the New Developments, the Grantee agrees to usei ils best reasonable efforts to pursue the commercialization of: any such New Developments in a manner that will serve the interests of the public, including but not limited to the transfer, assignment or liçensing of such New Developments; provided, however, that the Grantec, and any recipient of grant funds, shall not transfer, assign or liçense such New Developments inj part or Any revenue generated as a result of transferring, assigning, or licensing New Developments will be managed by the Grantee in: accordance with its published patcnt, copyright and technology transfer procedures, ifany, andi in the absence of such procedures such revenue will be managed by the Grantec in accordance with procedures approved by Golden LEAF. Such procedures typically will prioritize the distribution of revenues to insure that the Grantee first honors its obligation toi its inventors: and then to cover its own out-of-pocket expenses as necessary to protect its intellectual property. The Grantee and Golden LEAF further agree that should there be any revenue generated greater than that necessary to mcet the obligations of the preçeding paragraph ("Net Revenue"), the Net Revenue shall be managed by the Grantec as a) 15% of the Net Revenue will be retained by the Grantee as a fee for the management and distribution of  the disclosure requirement int the preceding sentence.  in whole without first having obtained the written consent of Golden LEAF.  follows:  4    funds as required under this Agreement.  b) 30% oft the remaining Net Revenue. willl be. paid to Golden LEAF, procedures referenced. in thej preceding paragraph above.  c) 70% of the remaining Net Revenue. will' be retained by the Grantee and used in accordance with the.  The Grantee's obligations pursuant to this Section will continue beyond the expiration oft thef funding period. 19. Independent entity: The Grantee acknowledges and agrees thatt the Grantee is an entity independent: from Golden) LEAF, is not an agent of Golden LEAF, andi is not authorized tol bind Golden LEAF to any agreement of payment for goods or services. The Grantee is responsible for payment of all its expenses, including rent, office expenses and all forms of compensation to employees. Its shall provide workers compensation insurance to the extent required for its operations and shall accept. full responsibility for payments of unemployment compensation, social security, income taxes and any other charges, taxes or payroll deductions required by law' in connection with its operations, for itself and its employees. All expenses incurred by the Grantee are the sole responsibility of the Grantee, and Golden LEAF shall not be liable for the 20. Non-discrimination: The Grantee shall not discriminate by reason of age, race, ethnicity, religion, color, sex, parental status, national origin, genetic information, political affiliation, protected veteran status, or disability, or any other legally 21. Publicity: All publicity. and printed materials regarding projects or açtivities supported in whole or in part by this grant should contain the following language: "This project received support from the Golden LEAF Foundation." The Golden. LEAF logo is to be displayed in all of the Grantee's publicity and printed materials relating to this grant. The Golden LEAF Brand and. Publicity Guide can be accessed at mvselemeforhrnlamemhic-use. For assistance withy publicity, including review ofa all press releases, please contact Golden! LEAFS affacwsasolemlsten,. 22. Authority to execute/Necessary Approvais Obtained: The individual signing below certifies their authority toe execute this Agreement on behalf of the Grantee andt that the Grantéc has received any third-party approval that may be required prior to entering this Agreement. By executing this Agreement, the Grartee, toi induce Golden LEAF to make this grant, makes each of the representations set forth hercinabove and certifies that each of such representations is true, accurate and  payment of any obligations incurred in the performance of thej project funded.  protected status, in connection with the actiyities ofa project funded by Golden LEAF,  complete as oft the date hereof.