Call to Order/Invocation
The Town Council of the Town of Belhaven met in regular session on Monday, April 18, 2005 at 7:30 P.M. in the Council Chambers at Town Hall. Dr. Charles O. Boyette, Mayor called the meeting to order with the following Council members present: Walt Allen, Albert Baker, Cynthia M. Heath, James B. Hodges and Linda E. Wilkerson were present. Councilman/Mayor Pro-Tem George R. Ebron, Jr. was not present at the meeting. Town Manager Tim M. Johnson, Town Attorney Keith B. Mason and Town Clerk Marie J. Adams were also present. Mayor Boyette gave the invocation.

Public Hearing #1 on CDBG-ED Application
Mayor Boyette introduced the public hearing for the Community Development Block Grant – Economic Development (CDBG-ED) application for the purpose of extending water and sewer into the extra-territorial jurisdiction on 264 Business. The purpose of the extension of the water and sewer infrastructure would be to provide services for the proposed Panelized Housing business. Mayor Boyette introduced Mr. Kevin Burch, Engineer for the project. Mr. Burch stated that the amount of the grant application was $265,000 for extension of infrastructure.

Call to Order – CDBG-ED Public Hearing
Mayor Boyette called the public hearing for the CDBG-ED grant application to order at 7:32 P.M. Mayor Boyette recognized Mr. Jules Purvis of 371 Lamont Street. Mr. Purvis questioned would there be any electric infrastructure improvements. Town Manager Johnson stated that the overall system could take the electric load but a transformer bank would have to be built. Mr. Purvis also questioned whether any expense would be the town’s responsibility should the panelized housing grant not be awarded. Mr. Burch explained that the CDBG-ED grant has to be a pass through grant through a unit of local government.

Mr. Bob Holz, resident of 443 E. Water Street asked if the additional vehicular traffic had been considered with the additional employment proposed on 264 Business. Mayor Boyette stated that the vehicular traffic should not be a problem.

There being no further comments, Mayor Boyette declared the public hearing closed at 7:40 P.M.

Public Hearing – Emergency Service Center – Funding Provided by USDA-RD
Mayor Boyette introduced the public hearing for the United States Department of Agriculture-Rural Development (USDA-RD) Emergency Services Center application for funding. Mayor Boyette stated that the Police Department and Fire and EMS facilities were in need of replacement. Mayor Boyette elaborated that the Police Department offices had been flooded many times and were in dire need of another facility. Mayor Boyette explained that the Fire and EMS building was not adequate for the department. Mayor Boyette stated that Mr. Wayne “Doug” Causey with USDA-RD was present to answer any questions concerning the town’s application for funding. Mayor Boyette stated that the town was applying for a $300,000 grant and the balance ($1.5 million) of the cost for the Emergency Services Center as a loan.

Call to Order – Public Hearing USDA-RD Emergency Services Center
Mayor Boyette called the public hearing for the USDA-RD Emergency Services Center to order at 7:42 P.M. Mayor Boyette recognized Mr. Bob Holz, resident of 443 E. Water Street, suggested that needed the developers of the waterfront be approached for any assistance. Town Manager Johnson stated that after the building is completed it would need to be furnished and that assistance in furnishing and equipment would be encouraged. Mayor Boyette stated that this same subject was addressed at one of the Beaufort County Committee of 100 meetings. Mr. Bob Holz also suggested that Homeland Security be contacted for funds. Mr. Jesse Taylor, resident of 655 E. Water Street and Secretary/Treasurer of the Belhaven Volunteer Fire Department, stated that Homeland Security funds/grants had been reviewed but really do not apply to areas this small as they serve the metropolitan areas. Town Manager Johnson stated that should any other funds be applied for and received then the funding through USDA-RD would be reduced by whatever amount that other federal agencies submitted. There being no further comments, Mayor Boyette adjourned the public hearing at 7:40 P.M.

Approval of Minutes – Regular and Closed Session – March 21, 2005
Mayor Boyette announced that the minutes of the regular and closed session of the Belhaven Town Council for March 21, 2005 were open for review and approval. There being no corrections to the minutes, Councilman Baker made the motion to approve the minutes as written. Councilwoman Heath seconded the motion which carried unanimously, 4 to 0.

Daniel “Danny” Gray Adams, Sr. – Retirement Recognition 34.5 Years
Mayor Boyette stated that the Mayor and Town Council wanted to recognize a special employee and volunteer of the community for 34 ½ years. Mayor Boyette stated that Danny began his ranks as an employee in the water and sewer department and was later named the Superintendent of Water and Sewer and that over the years he had worked in every facet of the public works department at one time or another, as he was always willing to assist his co-worker. Mayor Boyette also stated that Danny has served many years on the Belhaven Volunteer Fire and Rescue. Mr. Jesse Taylor, Secretary-Treasurer for the Volunteer Fire and EMS stated that before pagers came into existence that Danny and his wife Brenda, dispatched calls from their home on CB Channel 9. Mayor Boyette asked Mr. Danny Adams to come forward as he read his retirement plaque.

Insert: Plaque on File

Mr. Adams thanked the Manager, Mayor and Council for working with him during his employment. Town Manager Johnson stated that Danny may be called back in from time to time as his expertise would be valuable. Mr. Walt Allen, jokingly stated that the town would have to call Danny back in to work, as he had buried all those water and sewer lines and nobody knew their location.

Public Hearing (the second) Date for CDBG-ED – May 2, 2005
Mayor Boyette stated that the Council needed to set a date for the second of two required public hearings for the town’s application of the Community Development Block Grant – Economic Development (CDBG-ED) for the infrastructure extension for the proposed panelized housing project. Councilman Hodges made the motion to set the 2nd of two required public hearings for the CDBG-ED grant application of $265,000 for May 2, 2005 at 7:30 P.M. Councilman Baker seconded the motion which carried unanimously, 4 to 0.

Emergency Services Center Resolution with USDA-RD
Mayor Boyette stated that before the Council made the necessary motion to proceed with grant and loan applications with USDA-RD for the Emergency Service Center, he wanted to inform the public as to the impact that USDA has had on the Belhaven Community. Mayor Boyette summarized the projects either funded or granted by USDA as the $3.4 million dollar reverse osmosis water plant; Totsland Daycare, Wilkinson Center and Pungo District Hospital renovations. Mayor Boyette praised what USDA has done to enhance our community and quality of life.

Mayor Boyette then recognized Mr. Doug Causey with USDA-RD. Mr. Causey stated that the town was applying for a $1.5 million loan and a $300,000 grant for the construction of an Emergency Services Center to house the police department and the fire and rescue department. Mr. Causey explained that the repayment scheduled was not to exceed 30 years and the loan resolution stated at 4.25% interest rate.

Mayor Boyette stated that in order to apply for funding (loan and grant) that the Council needed to adopt the Letter of Conditions and Resolution of Intent. Mayor Boyette read the following Resolution of Intent. Councilman Hodges made the motion to adopt the resolution of intent and the Letter of Conditions. Councilwoman Heath seconded the motion which carried unanimously. The motion carried 4 to 0.

USDA – RD RESOLUTION OF INTENT
EMERGENCY SERVICES CENTER

BE IT RESOLVED: That the Town of Belhaven Town Council does hereby accept the conditions set forth in the Letter of Conditions dated April 18, 2005, and Form RD 1942-47, Loan Resolution, dated April 18, 2005, and;

That the Town of Belhaven Town Council approves as shown on Form RD 442-7, Operating Budget, the proposed operating budget for the loan; and

That the Mayor and Town Clerk be authorized to execute all forms necessary to obtain a loan from the USDA Rural Development including, but no limited to the following forms:

Form RD 1942-46 Letter of Intent to Meet Conditions
Form RD 1942-47 Loan Resolution (Public Bodies)
Form RD 3570-3 Community Facilities Grant Agreement
Form RD 442-7 Operating Budget
Form RD 1940-1 Request for Obligation of Funds
Form RD 400-1 Equal Opportunity Agreement
Form RD 400-4 Assurance Agreement
Form RD 1910-11 Applicant Certification Federal Collection Policies for Consumer or Commercial Debts
Form AD-1048 Certification concerning Debarment, etc.
Primary Covered Transactions
Form AD-1049 Certification Regarding Drug-Free Workplace
RD Instruction 1940-Q Certification for Contracts, Grants and Loans

That the Town of Belhaven Town Council elects to have the interest rate charged by Rural Development to be the lower of the rate in effect at either the time of loan approval or loan closing; and,

That if the interest rate charged by Rural Development should be changed between this date and the date of actual loan approval, the Mayor and Town Clerk be authorized to execute new forms reflecting the current interest rate and revised payments as required by Rural Development; and,

That this resolution become part of the official minutes of the Town Council meeting held on April 18, 2004.

Adopted this 18th day of April, 2005.
Dr. Charles O. Boyette, Mayor

ATTEST:
Marie J. Adams, CMC
Town Clerk

April 18, 2005

Mr. Wayne D. Causey, RDM
USDA Rural Development
403 Government Circle
Greenville, NC 27834

Subject: Town of Belhaven

Dear Mr. Causey:

This letter is to serve as certification that the Town of Belhaven meets the requirements of the following:

a. Compliance with special laws and regulations
b. State Pollution Control or Environmental Protection Agency Standards
c. Consistency with other developmental plans
d. Civil Rights Act of 1964
e. Title IX of the Education Amendment of 1972
f. Section 504 of the Rehabilitation Act for 1973
g. Age Discrimination Act of 1975
h. Compliance with OMB Circular A-133

If any information is needed, please do not hesitate to contact the Department.

Sincerely,
Dr. Charles O. Boyette, Mayor
Town of Belhaven

Weather Station Information Presentation – Mr. Vann Latham
Mayor Boyette stated that Mr. Vann Latham a resident of Greenville, Belhaven native who contacted him by letter concerning the placement of a weather station in Belhaven. Mayor Boyette asked Mr. Latham for his presentation. Mr. Latham stated that he had researched information on equipment to start a weather station and wanted assistance as to how the information could be forwarded to the public. Mr. Latham stated that he would fund the cost of the equipment. Mr. Latham stated that he contacted Belhaven Cable concerning publishing the weather station information on cable and was told it would be too expensive. Mayor Boyette questioned the number of man hours to operate the weather station. Mr. Latham stated he did not know. Mayor Boyette recognized Mr. Jesse Taylor, resident who is employed with the Department of Transportation (DOT) – Ferries Division. Mr. Taylor stated that DOT had a weather station at the Bayview Ferry and that no man hours were needed for the operation as it empties gauges and prints information automatically. Mr. Holz questioned what information would the proposed weather station provide that the local weather stations could not. Mr. Latham stated that it would provide weather information from where it was set up, right in Belhaven and that he would like to see the station include tidal information.

The Mayor and Council thanked Mr. Latham for his presentation and stated that they would review his request.

Powell Bill Street Paving Contract Award for 2005
Mayor Boyette stated that the town had held a bid opening on March 23, 2005 at 2:00 P.M. for the Powell Bill Street Paving Contract. Mayor Boyette stated that the following bids were received:

Coastal Carolina Division of APAC $48,376
PO Box 399
Kinston, NC 28502

Greenville Paving $43,082


S. T. Wooten Corporation $39,933.80
PO Box 13097
New Bern, NC 28561-3097

Mayor Boyette asked for a motion. Councilman Baker made the motion to award the paving contract to S. T. Wooten of New Bern, NC for the estimated price of $39,933.80.
Councilwoman Heath seconded the motion which carried unanimously, 4 to 0.

Belhaven Alumni Request
Mayor Boyette stated that Ms. Alma Marie Whitaker, Vice-President of Belhaven Alumni, had contacted the Town Council for Town assistance for their annual alumni weekend (Mother’s Day Weekend May 6-8, 2005). Mayor Boyette recognized Ms. Whitaker. Ms. Whitaker asked that the Town allow the closing of a portion of Railroad Street between Bay and Pantego Streets, and that a portion of Pantego Street be between King and Haslin Street be closed on Saturday, May 7 and asked for use of some of the town property, including Northside Park and land area adjacent the Multi-Purpose Building. Town Manager Johnson stated that the Police Department has patrolled the area last year and had closed a portion of the street, the same as requested this year and that little or no problems stemmed from the celebration. Following some discussion,
Councilman Hodges made the motion to authorize the closing of Railroad Street, between Bay and Pantego Street, and a portion of Pantego Street between King and Haslin Street on May 7, 2005 between the hours of 10 A.M. through 4 P.M.; and that the Alumni Club be allowed use of Town property including Northside Park and the land surrounding the Multi-Purpose Building for their festivities. Councilwoman Wilkerson seconded the motion which carried unanimously, 4 to 0.

Electric Rate Increase – Effective with June 2005 Bill
Mayor Boyette stated that the Town had received an increase in power a little more than 1% in March, which the Town absorbed. Mayor Boyette stated that the town was notified of an additional increase effective May 1, 2005 of 5.1% which raises the costs of purchased power by 6.1% in less than three months. Town Manager Johnson explained that the Town could not absorb the 5.1% increase and recommended a 4.2% increase effective with the May billing which would get to customers in their June 1, 2005 bill. Town Manager Johnson explained that with this increase the town would basically break-even within $100 with no additional excess revenues coming to the Town. Town Manager Johnson explained that with the rise in coal and fuel costs this increase was not a surprise. Mr. Jesse Taylor, questioned if this increase in electric rates with such a tight margin would affect taxes. Town Manager Johnson stated no, that the Town had adopted a rate stabilization policy to keep from subsidizing different departments from the electric revenues. Mr. Jules Purvis questioned if there would be any end to get out of the electric purchasing contracts with ElectriCities. Town Manager Johnson stated no, that the contract was in effect until 2026.

Following some discussion, Councilman Hodges reluctantly made the motion to increase the electric rates across the board by 4.2% effective with the May billing cycle, which is delivered to customers on June 1, 2005. Councilwoman Wilkerson seconded the motion which carried unanimously, 4 to 0.

Councilwoman Heath stated that a consumer informational fair was imperative with this rate increase and suggested that flyers, handouts, etc. be available for customers. The remainder of the Council members agreed.

Mayor’s Comments
Mayor Boyette informed the public that the $65,000 contingency monies which the Council approved to loan CDBH at the last Council meeting was not needed, so therefore there was no transaction of funds. Mayor Boyette stated that the Department of Transportation was three years behind in proposed bridge repair/replacement; Mayor Boyette added that the widening of 264 from Douglas Cross Roads to Belhaven was unfunded and removed from the TIP listing.

Town Manager’s Report
Town Manager Johnson stated that he had a need to hold closed session according to guidelines in GS 143,318.11(6).

Citizens Comments
Mayor Boyette recognized Mrs. Ellen Allen a resident of 519 E. Water Street. Mrs. Allen complained of the standing of water in her yard since the street department laid a new sidewalk. There was some discussion concerning the complaint and Town Manager Johnson stated that he would review the area of concern. Mrs. Allen also requested that another drainage problem was at the Mrs. Lyndell Wahab residence at 651 E. Water Street and asked for the review of that area. The consensus of the Council was for Town Manager Johnson to review these areas of concern and bring back information at the next Council meeting.

Convene Into Closed Session – GS 143.318.11(6)
There being no further comments from the public, Mayor Boyette made the motion to convene in closed session. Councilwoman Heath seconded the motion which carried unanimously. The meeting convened into closed session at 9:17 P.M.

Reconvene Into Regular Session
There being no further business for closed session, Councilman Baker made the motion to reconvene into regular session, Councilman Hodges seconded the motion which carried unanimously, 4 to 0. The meeting reconvened at 9:28 P.M.

Purchase of New Vehicle for the Manager’s Use
Mayor Boyette stated that the Council deliberated the purchase of a new vehicle for the Manager’s use or the implementation of a car allowance. Mayor Boyette stated that the reason for this decision was that the vehicle, which was for the town manager’s use, was totaled while parked across from the Municipal Building. Councilwoman Wilkerson made the motion for the Town Manager to replace the totaled vehicle. Councilwoman Heath seconded the motion which carried 3 to 1 with Councilman Baker voting against the motion.

Adjournment
There being no further business, Councilwoman Wilkerson made the motion to adjourn. Councilwoman Heath seconded the motion which carried unanimously, 4 to 0. The meeting adjourned at 9:28 P.M