MINUTES OF THE REGULAR SCHEDULED MEETING
OF THE EMERALD BOARD OF COMMISSIONERS
TUESDAY, JULY 13, 2004 6:00 P.M. – TOWN HALL

The regular monthly meeting of the Emerald Isle Board of Commissioners was called to order by Mayor Pro-Tem Floyd Messer at 6:00 P.M.

Motion was made by Commissioner Isenhour to excuse the absence of Mayor Art Schools who was out of town.  The Board voted unanimously 5-0 in favor.  Motion carried.

Present for the meeting:  Mayor Pro-Tem Floyd Messer, Commissioners Nita Hedreen, Robert Isenhour, Pat McElraft, and John Wootten.

Others present:  Town Attorney Richard Stanley, Town Manager Frank Rush, Town Clerk Rhonda Ferebee, Planning Director Kevin Reed, and Fire Chief Bill Walker.

After roll call all who were present recited the Pledge of Allegiance.

4.  ADOPTION OF AGENDA

Motion was made by Commissioner Wootten to amend the agenda by deleting Item #9 Ordinance Amending Chapter 16 – Storm Water Management – To Revise Requirements for Residential Construction (Commissioner Wootten stated he would like more time to review this ordinance in more detail with Planning Director Reed and Town Engineer Meshaw) and to then move Item #15 Bogue Sound Drive Canal Dredging – Phase II into that #9 spot. The Board voted unanimously 5-0 in favor.  Motion carried.

Town Manager Rush advised the Board that he had placed additional information at their places.  He noted there was additional information for Item #12 concerning the Coast Guard Road flood water project, and additional information for Item #17, a copy of CPE’s monthly report on the Bogue Inlet Project.

5.  PUBLIC ANNOUNCEMENTS

Mayor Pro-Tem Messer mentioned the following upcoming events and meetings:

• Beach Jive at Five – Thursday, July 15 at 5:30 pm – Western Ocean Regional Access
• Special Board Workshop Meeting – Beach Driving Regulations – Saturday, July 17 at 10 am – Town Hall
• Bicycle and Pedestrian Advisory Committee – Monday, July 19 at 6 pm – Rec Center
• Planning Board – Monday, July 26 at 6 pm – Town Hall

Mayor Pro-Tem Messer added that Ronnie Watson had asked for an announcement to be made that the Save Our Summers School program he had worked on so diligently had today passed the second reading, due for the third reading tomorrow, and if passed will go to the Senate for approval.

6.  CONSENT AGENDA

• Minutes – May 11, 2004 Regular Meeting
• Minutes – May 18, 2004 Special Meeting
• Minutes – May 20, 2004 Special Meeting
• Capital Project Ordinance Amendment – NC 58 Sidewalk Project
• Resolution Authorizing 120-Day Contract With Emerald Isle EMS
• Resolution Designating Town’s Agent for FEMA / NCEM Grant Application
• Tax Refunds / Releases

Motion was made by Commissioner McElraft to approve the Consent Agenda.  The Board voted unanimously 5-0 in favor.  Motion carried.

7.  PUBLIC COMMENT

Doje Marks, 134 Sandcastle Drive, commended Parks and Recreation Director Alesia Sanderson for her search and use of inmate labor for most particularly the sidewalk project, also she commended Town Manager Frank Rush and the Board for the foresight to recognize the importance of sidewalks for the safety of residents and visitors.  She urged the Board to continue the sidewalks as proposed by the Highway 58 Committee to go all the way to the bridge, and to insure that the bicycle path on the south side of Emerald Drive proceed as quickly as possible. 

8.  BOGUE INLET CHANNEL EROSION RESPONSE PROJECT

Town Manager Frank Rush presented the information to the Board concerning this item.  To follow is the explanation as provided in the memo from Mr. Rush to the Board for background:

The Board of Commissioners is schedule to consider three items pertaining to the Bogue Inlet Channel Erosion Response Project at the July 13 meeting.

Resolution of Intent to Condemn 1-Foot Strips of Land on Properties Adjacent to Bogue Inlet

The permits for the Bogue Inlet project will be conditioned upon the Town taking steps to insure that all newly accreted lands at The Point come under public ownership.  Town Attorney Richard Stanley has issued an opinion that all lands currently existing at The Point are owned by the State of North Carolina.

Under NC law, any new land that accretes naturally belongs to the adjacent upland property owner.  This means that the property owners directly on the main channel would own any new land that forms to the west after the project is completed.  As you know, we have been working with these property owners to voluntarily secure a 1 ft. strip of land directly adjacent to the channel so that any newly accreted land will belong to the Town of Emerald Isle when it forms.  The Town also agreed to return any newly accreted land that is consistent with the historical property boundaries to these property owners after it reforms, with the Town keeping everything else west of the historical property lines. 

The Town has secured the required deeds from 5 of the affected property owners.  The Town needs only two more deeds to insure that all newly accreted lands will belong to the Town.  These two properties are located at 105 Bogue Court and the land under the public right of way easement for Inlet Drive.  We are hopeful that we will receive these deeds voluntarily in the next few weeks, however, it may become necessary to condemn this 1 ft. strip in order to complete this process prior to the issuance of the required permits for the Bogue Inlet Channel Erosion Response Project later this summer. 

The attached resolution formally authorizes the condemnation of these properties, if necessary.  A copy of the official condemnation notice that will be mailed is attached for your information.   

Resolution of Intent to Condemn Oceanfront Easements

The Town is required to secure oceanfront easements from all oceanfront property owners in order to construct the Western Phase Beach Nourishment Project associated with the Bogue Inlet channel relocation.  The Town Attorney has been working diligently for the past several months to voluntarily acquire these easements from all oceanfront property owners between Santa Maria Drive (6800 block) and the western terminus of Emerald Isle, and the vast majority of these owners have provided these easements voluntarily.  Town Attorney Richard Stanley will provide an exact count of those obtained and those still outstanding at the July 13 meeting.

These oceanfront easements simply guarantee continued public access to the nourished beach and also allow construction equipment and piping to be on the beach.  We remain hopeful that we will be able to voluntarily secure the remaining easements, however, it may become necessary to condemn these oceanfront easements prior to the start of project construction in November. 

The attached resolution formally authorizes the condemnation of these properties, if necessary.  A copy of the official condemnation notice that will be mailed is attached for your information.   

Motion was made by Commissioner Isenhour to approve the Resolution of Intent to Condemn 1-Foot Strips of Land on (adding the word designated) Properties Adjacent to Bogue Inlet. 

Town Attorney Stanley explained that the resolution was a little more detailed than just the title.  He stated that they are authorizing the condemnation of the

1-foot which does not appear to be needed anymore because all the deeds have been received as of today, but the land under the Inlet Drive right-of-way easement that is more than just 1-foot, he wanted to report that today they were delivered deeds from the W. B. McLean interest, which only leaves the George Spell, and the Maynard Hicks interest in that right-of-way.  He added the Town is now part owner of the Inlet Drive right-of-way.

The Board voted unanimously 5-0 in favor.  Motion carried.

Motion was made by Commissioner McElraft to approve the Resolution of Intent to Condemn Oceanfront Easements.  The Board voted unanimously 5-0 in favor.  Motion carried.

Town Manager Frank Rush then discussed with the Board the final item for the Board’s consideration which concerned the Draft Project Monitoring and Mitigation Plan.  To follow in detail from Town Manager Rush’ memo to the Board for background:

Draft Project Monitoring and Mitigation Plan

As you know, the Town is anticipating the issuance of required State and Federal permits for the Bogue Inlet project in August and September.  The vast majority of the issues associated with the project have been addressed, however, one key outstanding item is the Town’s monitoring and mitigation commitments.  The attached draft project “Monitoring and Mitigation Plan” outlines the Town’s tentative commitments for this project, and is presented for information purposes at the July 13 meeting.

The draft “Monitoring and Mitigation Plan” includes many of the same components explained to the Board at your special meeting in January at which you received an overview of the project.  The plan includes the following components:

• bird monitoring, salt marsh monitoring, and macroinvertebrate / infauna monitoring studies that will be completed for 3-4 years after project completion to document impacts associated with the project,
• aerial photography and mapping of submerged aquatic vegetation, shellfish, and salt marsh habitats at 18 month and potentially 36 month intervals after project completion,
• topographic and bathymetric surveys to examine changes in the channel, the inlet shoals, and on Bear Island after project completion,
• potential replacement of net losses of submerged aquatic vegetation, shellfish, and salt marsh habitats,
• potential relocation of the oceanfront visitor facilities at Hammocks Beach State Park or nourishment of the beach in this area if the structures become threatened by erosion caused by the project,
• future nourishment of the western Emerald Isle shoreline,
• the implementation of the previously discussed Waterbird Management Plan, or some variation thereof, and
• a research study to learn more about coquina clams to possibly speed recovery of these organisms on the beach after nourishment projects.

The total cost of the various monitoring and mitigation commitments in the plan is $872,212.  The Board should note that $313,442 of this cost is included in the Town’s existing contract with Coastal Planning & Engineering, and an additional $75,000 (associated with the coquina clam study) will hopefully be redirected from the Town’s additional biological monitoring commitments associated with previous beach nourishment projects.  The remaining $483,770 cost would be borne by the Town over the next 3-4 years.  The Board should note that the Town currently has a budget of $200,000 established for these activities, thus the implementation of this plan will require the identification of an additional $283,770 over the next 3-4 years.  The most likely source of funding for this additional cost is the projected surplus in the Beach Nourishment Debt Service / Reserve Fund. 

The entire plan is attached, and you can review the details in that plan.  I do want to highlight three key issues here, however. 

1.  The draft plan indicates that the Town will commit to either relocate the new oceanfront visitor facilities

at Hammocks Beach State Park if beach erosion results in the mean high water mark encroaching to within 20 feet of these structures, and the erosion is deemed to be caused by effects from the Town’s project.  These new facilities were completed within the past year at a cost of approximately $1.2 million, and consist of nearly 5,000 square feet of indoor and outdoor facilities.  The plan indicates that this commitment will be valid for a 5-year period, and that project impacts would be re-evaluated if a hurricane comes within 150 miles of Bogue Inlet. 

This is a potentially very expensive commitment for the Town to make, however, detailed research and analysis suggests that the risks are minimal.  These facilities are currently located approximately 300 feet from the mean high water mark.  This area would have to experience approximately 280 feet of erosion over the next five years, and be associated with the Town’s project, in order for the Town’s commitments to be triggered.  Additionally, the oceanfront shoreline on Bear Island is predicted to accrete if the channel is relocated to the west as planned.  Continued erosion is predicted on Bear Island if the channel continues to move eastward, thus the Town’s project should have a beneficial effect on Bear Island.  Finally, the most landward shoreline position in front of the visitor facilities on Bear Island was recorded in 1938, and that position was approximately 70 feet seaward of the visitor facilities.

I have enclosed aerial photos and maps indicating the historical positions of the main inlet channel and the Bear Island shorelines since 1938 for your information.  The Town’s project involves relocating the main channel to a position similar to the position it occupied in the late 1970s and early 1980s, and the attached photos and maps indicate that the Bear Island shoreline position was actually slightly further seaward at that time. 

I have asked Tom Jarrett, Coastal Planning & Engineering (CPE), to attend the meeting to briefly discuss this issue with the Board.

2.  The draft plan indicates that the Town will replace any documented net losses of submerged aquatic vegetation, shellfish habitat, and salt marsh that occur as a result of the project after a 3-year period.  The plan earmarks a total of $75,000 for these restoration efforts, however, I am highly uncertain as to the sufficiency of that funding level. 

This is a potentially expensive commitment for the Town to make, however, the EIS does not predict any significant net losses of these habitats.  Our general consensus (CPE and mine) is that any habitat losses in one area will be offset by habitat gains in another area, and that everything should balance out.  However, I did want to make sure that the Board was aware of this commitment.  The various resource agencies have insisted on some sort of replacement commitment throughout the EIS process.

Tom Jarrett will also be available to address this issue at the July 13 meeting.

3.  The EIS does predict oceanfront erosion in western Emerald Isle from Lands End west to The Point.  The eastward orientation of the existing channel has acted as a sort of natural jetty, and has caused the wide oceanfront beach that currently exists in this area.  With the relocation of the channel to the west, this effect will be greatly lessened and oceanfront erosion is anticipated as this material migrates west and gradually fills in the current channel.

The good news is that this erosion is not expected to threaten any existing homes in western Emerald Isle due to the presence of the existing wide beach.  I have attached aerial photos and maps that indicate the historical shoreline position in this area.  As you will see, the most landward (worst case) shoreline position documented is still seaward of the existing homes in this area.  The late 1970s and early 1980s shoreline position is still well seaward of the existing homes in this area. 

The plan does indicate that the Town will pursue three mitigation activities to combat this expected erosion.  First, the oceanfront nourishment area associated with the Bogue Inlet project has been shifted further west to the Lands End clubhouse area (it was originally planned to stop at the Lands End / Spinnakers’ Reach boundary) to partially offset some of the expected erosion.  Second, the Town will continue to work with the Corps of Engineers to encourage the placement of AIWW spoil material on the ocean beach in front of Wyndtree, Point Emerald Villas, and western Lands End, as has occurred periodically in the past.  Third, the areas east of the Lands End clubhouse will be eligible for nourishment under the 50-year Shore Protection Project.  Material placed as part of the 50-year Shore Protection Project is also expected to migrate west over time, hopefully serving as a “feeder” for points west.

Tom Jarrett will also be available to address this issue at the July 13 meeting.

I am seeking the Board’s general concurrence with the draft “Monitoring and Mitigation Plan” at the July 13 meeting so that I can advise the permitting agencies that the Town is comfortable with these commitments.  The Board should note, however, that this plan is not finalized, and is still subject to further amendments and possible additional commitments by the permitting agencies.  Additionally, we continue to work through some legal issues associated with the Waterbird Management Plan, and that plan is expected to change.  I do not expect those changes to significantly affect the Town’s cost, however, and I will certainly keep the Board informed of our progress on that issue.

Mr. Rush did want to make the Board and community aware that they have made a commitment that if the relocation of the inlet channel project causes erosion on the front beach at Bear Island, such that the shoreline comes within 20 feet of their new bathhouse and visitor center, the Town would be responsible for either moving that structure at our cost, or possibly nourishing the beach in that area at our cost.  He noted that this was a concern discussed repeatedly during the project delivery team process, and was obviously a big concern for Hammocks Beach State Park.  Mr. Rush said Tom Jarrett with Coastal Planning and Engineering (CPE) was in attendance tonight to discuss with the Board what they think will happen once the channel is relocated, adding that the good news was that in its current path, as it continues to migrate to the east, the inlet channel seems to be more erosion on Bear Island, and when they move the channel back to a central location between the two islands we are expecting accretion on Bear Island.  Mr. Rush noted that it was a big risk in terms of the financial impact if mother nature did something completely different than what our engineers expect, however all the science leave them to believe that this is a minimal risk for the Town.  The commitment in the plan would be valid for five years, including a statement that if a hurricane passes within 150 miles of Bogue Inlet there would be a re-evaluation of exactly what impacts were related to the hurricane, and what impacts were related to the Towns project. 

Commissioner Isenhour asked who would do the re-evaluation.  Mr. Rush said he felt it would be a joint discussion between the Corps of Engineers, the Town and any of the affected agencies, Hammocks Beach as well.  

Commissioner McElraft asked Tom Jarrett, Coastal Planning and Engineering (CPE) how proof would be determined that the Town caused erosion at Hammocks Beach.

Tom Jarrett, CPE, said he felt what the Town was committing to was based on the historic shoreline behavior. 

Mr. Rush noted one other potentially expensive commitment was that at 18 months they would undertake aerial photography of the habitats in the inlet area, and if according to this plan, there is a 15% net change in the habitats of salt marsh, shellfish habitat, and submerged aquatic vegetation this would trigger an additional aerial photography event at a 36 month period after the project is completed, along with some groundtruthing.  This is something they were required to do as part of the EIS process.  Mr. Rush noted this plan does set aside $75,000 for future mitigation activities, only if necessary.  Mr. Rush said that EIS does not predict any significant impacts on these habitats.  

Mr. Rush said that it may be to the Town’s benefit to perform aerial photography on a more frequent basis than just 18 and 36 months.  It may be helpful to every six months obtain aerial photography to document the whole state of the inlet complex so that if there are challenges down the road that the Town’s project has somehow caused harm, they would have a good historical record to defend or explain ourselves to any allegations.  This is something not in the plan but may be added at a later date. 

Mr. Rush added they are also expecting some erosion on the western end of Emerald Isle, from the area of Spinnakers Reach/Lands End boundary back toward the Point.  He said the good news was that this is an area that has accreted significantly over time.  He noted they had made three commitments in this plan to mitigate these effects – 1) they have shifted the western taper of the nourishment piece of this project, originally to stop at the boundary between Lands End and Spinnakers Reach, now shifted to the Lands End Clubhouse, another 2,000 linear feet; 2) they will continue to work with Corps of Engineers to put Intracoastal Waterway spoils in front of Point Emerald Villas and Lands End; 3) the 50-year shore protection project – if they secure authorization and funding, would theoretically nourish the area up to the Lands End / Point Emerald Villas area boundary. 

Tom Jarrett, CPE, then presented a PowerPoint presentation to the Board discussing and showing historic changes of both Emerald Isle and Bear Island. 

Commissioner McElraft asked who would make the decision as to whether there is impact to the marshlands or not enough recovery.  Mr. Jarrett said that the primary permitting agency for the project on the federal side is the Corps of Engineers, but they would not make the decision alone, but would do it in concert with the state agencies. 

Commissioner McElraft asked Mr. Jarrett what would happen in the event of a hurricane.  Mr. Jarrett said this was another reason to do the aerial photography as mentioned by Mr. Rush.  Mr. Jarrett said if you have a pre-project survey (photographs) it would be a good idea to get a pre-hurricane season aerial photography sometime in May or early June.  He said they expect that most of the changes in the inlet will occur quickly in the first 3-6 months.  He said if you do a general six month coverage of aerial photography, not detailed, but a general overflight, you would have some documentation of the changes that occur, and could put a time and space reference to what has happened. 

Mr. Rush advised the Board that the total cost of the commitments in this plan is just over $872,000.  He noted that of that $872,000 the Town has either already incurred or has already earmarked funds to cover $313,000 of that expense. He said $75,000 of that expense they expect to recover because Corps of Engineers is relaxing the biological monitoring commitments on the front beach and the borrow areas for the previous nourishment projects.  The balance approximately $484,000 would be new commitments for the post-project monitoring, setting aside the $75,000 for habitat placement.  This doesn’t include anything they may have to do at Hammocks Beach.  Mr. Rush said they have a budget right now of $200,000, so this plan exceeds that budget by about $284,000, which is money, they will need to identify over the next three years, as a worse case plan, in order to honor the commitments in this plan.  Mr. Rush said this is not something that needed to be done right now, or before the project occurs, but he wanted for the Board to know was something they would need to work on.

Mr. Rush, in a response to a question from Commissioner Isenhour concerning habitat that might be destroyed being offset by habitat created somewhere else, said that the plan is structured to look at the net effect, so if there were negative impacts in one area, but positive impacts in another area they would be looking for credit for that. 

Commissioner McElraft made mention of CHPP’s, referencing an upcoming meeting in Jacksonville on Monday at 7:00, one in Beaufort, Wednesday at 7:00 and recommended the public attend to hear their plans, noting the huge impacts on coastal development, mining for sand for beach nourishment.  She asked that a link be established on the town website.   

Commissioner Wootten pointed out that a lot of the money to be spent in the bird monitoring area is really research money for these agencies to learn more about their business.  He felt the agencies were using this opportunity to get more funding for their own research. 

The general consensus of the Board was that they concurred with the draft “Monitoring and Mitigation Plan” for the Bogue Inlet project. 

Commissioner McElraft stated that she objected to the money they were having to spend, adding she felt we were being held hostage, but she knew we had to do what they tell us to do or the project won’t be completed. 

(REMOVED ORIGINAL ITEM 9 ORDINANCE AMENDING CHAPTER 16 – STORMWATER MANAGEMENT – TO REVISE REQUIREMENTS FOR RESIDENTIAL CONSTRUCTION AND REPLACED WITH ITEM 15 – BOGUE SOUND DRIVE CANAL DREDGING – PHASE II AS APPROVED WITH THE ADOPTION OF THE AGENDA)

9.  BOGUE SOUND DRIVE CANAL DREDGING – PHASE II

Town Manager Frank Rush said that the Board is asked to consider a resolution authorizing a $96,000 grant application to the North Carolina Division of Water Resources to dredge the entire canal adjacent to Bogue Sound Drive.  This would be Phase II of a project, Phase I being completed earlier this year.  He noted this grant if awarded would be matched with $24,000 in local funds, the total estimated cost of the project being $120,000.  Mr. Rush said the length of the canal was approximately 2800 linear feet, the depth is currently 1-2 feet at mean low water, and the proposal would be to take the canal down to a 4 foot depth at low water.  Mr. Rush said the Division of Water Resources has an annual grant program to fund these types of projects.  Mr. Rush stated that grant awards are expected to be announced in March 2005, and there is a permit condition on the project that only allows dredging to occur in the winter.  He said if they receive a grant in March 2005, the construction would take place in the fall/winter 2005/06.

Mr. Rush mentioned the local match of $24,000.  He said this proposed project primarily benefits residents along that canal on Bogue Sound Drive.  Mr. Rush said his recommendation to the Board would be to secure the local match from the property owners, benefiting most directly from the project.  He added there was no legal mechanism for the Town to create a special tax district or levy an assessment on those property owners, and he encouraged them to seek voluntary contributions and remit the $24,000 local match to the Town.  It was also recommended by Mr. Rush that they not accept the grant until that cash contribution was made to the Town.  Mr. Rush did also point out that there is a local bill being considered at the legislature now that would allow Ocean Isle Beach to assess canal front property owners, and he had requested from Scott Thomas and Jean Preston to have Emerald Isle added to that bill. 

Tom Hoover, 5314 Bogue Sound Drive, said he felt as with any project you may have a few homeowners who would not want to contribute.  He felt the first thing the Town may want to do is put a letter out asking residents if they wanted to participate or not.  He said he had received positive comments from residents, but felt the Town may want to receive feedback before they proceed. 

Mr. Rush said the idea was to go ahead and apply for the grant at this time, expect the grant award to be announced in March 2005, and he recommended that the Board not accept the grant until they receive $24,000 local match provided by the residents, basically an 8 month time period for the residents to gather that local match and make it available to the Town.  Mr. Rush added that he hoped that in early March the Town would receive a letter that they have been awarded the grant, and that the residents would be prepared to hand over $24,000 in order for the Town to accept the grant, deposit the money, and continue to move forward with the project.  He envisioned it such that the neighborhood would take the initiative to secure those donations, and hold onto those funds, and then if the Town is successful in receiving the grant they would then remit to the Town, if unsuccessful they would return the money to the residents. 

Commissioner Wootten said that the only decision that needed to be made tonight was to apply for the grant. 

Art Daniel, 5128 Bogue Sound Drive, said the original developer dredged the channel at the west end.  He said the developer did not dredge a channel on the east end.  Mr. Daniel said an additional benefit they will have other than navigability improvement would be to have safe and clean water in the sound and the canal, providing enough tide change for the canal to purge itself.  He said they had discussed the canalfront owners paying $1,000 as a contribution for getting this done.  He said the Town of Emerald Isle has two easements to the canal so he felt when the time comes to put up the money he said they would expect the Town to put up money for the easements.  He added that one of the things the Town named in the other project was an access to the canal, which meant an access to the sound.  He asked that the Town apply for the grant.  

Motion was made by Commissioner Wootten to approve the Resolution Authorizing a Water Resources Development Grant Application for Phase II of the Bogue Sound Drive Canal Dredging Project.  The Board voted unanimously 5-0 in favor.  Motion carried. 

10.  COMMERCIAL REVIEW – BOARDWALK RV PARK EXPANSION

Kevin Reed Planning Director presented information to the Board concerning this item.  Mr. Reed said that a request had been submitted by John McLean for commercial review for the proposed expansion of the Boardwalk RV Park.  Mr. Reed said this request involved the demolition of the Beach Club building, the construction of 15 additional RV spaces, the construction of bath house facilities and the installation of the necessary infrastructure to serve the expanded park.  He said the request was submitted to the Technical Review Committee (TRC) at its meeting held in early April, and the subsequent review by the Planning Board on April 28, 2004.  The Planning Board voted unanimously to recommend to the Town Board of Commissioners that the proposed expansion be approved subject to four conditions:

1.)     Stormwater plan must be reviewed for compliance with the Town’s

Stormwater regulations

2.)     Approval for the expansion of the public water system

3.)     Issuance of required CAMA Major Permit

4.)     Approval from the Carteret County Health Department for the septic systems

Mr. Reed noted that conditions 1 and 2 had been met by the applicant, and they were in the process of obtaining both the required CAMA Major Permit and Health Department approval.  The applicant is requesting at this time that the Board of Commissioner consider granting approval of the commercial review of this expansion subject to the aforementioned conditions.  Mr. Reed pointed out   by overhead presentation the subject area.  Mr. Reed said subsequent to the TRC review, and the Planning Board making a recommendation, it was discovered that the proposed T-turnaround, while it adequately addresses public safety concerns does not meet the technical requirements of the ordinance. There is a required 60 foot diameter of a turnaround, therefore at this time that an additional condition would need to be placed on the fact that the proposed expansion of the road to the south would be connected across the existing RV space shown as Lot 36.  This lot would no longer provide an RV space but would provide a connection from the proposed expansion of the road to the south to the road immediately to the east, which would satisfy all the requirements then of the design standards as set forth in the Town Code for RV parks. 

Commissioner Wootten referenced information in their packets which discusses the possibility of amending an ordinance to deal with this turnaround issue.  Commissioner Wootten said that if Lot 36 becomes a roadway you’ve solved the problem.  Mr. Reed said this was correct but subsequently what the applicant would like to have after the commercial review is approved is a change to the Town Code that basically would set forth that any dead end has to be designed in order to meet public safety concerns and requirements of Emerald, rather than just a blanket 60 foot diameter circle.  He said if this plan is approved, he at least has what is needed to make financial commitments relative to this project, and more importantly a subsequent amendment is in place that allows this design to be approved rather than a connection through Lot 36, then he would amend his plan and preserve the RV space on Lot 36. 

Mr. Reed said they would like approval tonight to go ahead and obliterate space 36 and connect the road through, by doing so they would meet the technical requirements of the ordinance which is all that would be approved tonight.

Town Manager Rush added that the applicant is certainly aware that if the ordinance is never changed then he must live with the configuration as presented. 

John McLean stated that the reason they came to the Board tonight was because they would like to order the bathhouses the next day, dealing with a certain lead time, and they would like to begin demolition in September. 

Motion was made by Commissioner McElraft to approve the plans for the Boardwalk RV Park Expansion, contingent upon the issuance of required CAMA and County wastewater permits consistent with the plans presented, and also contingent upon the elimination of RV space 36 and connection of the RV park roadways.  The Board voted unanimously 5-0 in favor.  Motion carried.

The Board directed that the Planning Board address the turnaround issue for a potential amendment.  Mr. Reed said he would have this on the July agenda for the Planning Board to begin discussions of a potential amendment to Section 19-225 paragraph (i).

11.  RESOLUTION ADOPTING REVISED EMERGENCY OPERATIONS PLAN

Fire Chief Bill Walker summarized the revised Emergency Operations Plan (EOP) for the Board.  Mr. Walker said he tries to revise this plan every 4-5 years to keep it current, changing and updating the information as needed.  He said one of the major things he tried to do in this revision was to change from Destructive Weather Policy or Hurricane Policy, into an Emergency Operations Plan.  He noted the biggest difference with this plan is that it can be adopted to any emergency that may come up whether a hurricane, snowstorm, airplane crash, etc. (A copy of the Emergency Operations Plan is attached to, and incorporated into these minutes).

Following discussion by the Board motion was made by Commissioner Wootten to approve the Resolution Adopting the Revised Emergency Operations Plan.  The Board voted unanimously 5-0 in favor.  Motion carried.

12.  RESOLUTION AUTHORIZING CONSTRUCTION CONTRACT – COAST GUARD ROAD FLOOD WATER PROJECT PHASE I

Town Manager Frank Rush advised the Board that at the bid opening for this project they received three bids, unfortunately all three bids came in significantly over budget and over the engineers original estimate.  Mr. Rush stated the original estimate provided by the engineer was just over $328,000, the low bidder was $632,000, nearly 100% larger than the estimate.  Mr. Rush provided the Board with a summary sheet that included his recommendations to the Board, which would be to reject all bids and provide direction on how to proceed with the project.  Mr. Rush also included a spread sheet that shows the bids and actual components of the bids. 

Tim Reid, Moffatt & Nichol, addressed the Board answering questions concerning the reasons for the higher bids.  Mr. Reid said he had spoken with contractors and suppliers to figure out the differences.  He felt there were either some misunderstandings in the specs and plans, or there was opportunity cost added.  Mr. Reid said there had been increases in materials, and described in detail the primary differences. 

Commissioner Wootten expressed his concern that they had paid Moffatt & Nichol to provide a cost estimate, which was six weeks old, and inside of two days from opening bids, the estimate had gone up $100,000, and they are ready to revise the plans after talking to contractors.  Commissioner Wootten said he was not interested in spending a lot of money to have them redesign now to turn around and do this again. 

Mr. Reid said that this was all part of the bid process and he didn’t see where the Town had to pay anything.  Mr. Reid said that when he called to get quotes, they send you what they have in their books at the time. 

Commissioner Isenhour asked if he was correct in his understanding that Mr. Reid would rework this with no cost to the Town.  Mr. Reid said that was correct, they are looking at re-bidding on the project later in the year.

Mr. Reid discussed the various options and alternatives for re-bidding the project with the Board. 

Commissioner McElraft suggested to Mr. Reid that in the future his firm should try to get prices from those who might actually do the bidding.  She felt it did no good for a town to get bids that are low if they are not going to be doing the work.  Commissioner McElraft said this has thrown the whole project off because it is 100% higher than anticipated.  She said they want to help with the stormwater problems, but with 100% increase, and this is only one portion, which is just to test to see if pumping the groundwater will work. 

Potential Options on How to Proceed (from Town Manager Rush’ summary):

a)     Continue discussions with contractors to identify potential cost reductions.

b)     Consider alternative exterior appearance for pump stations.

c)      Consider splitting project into 3 projects (receiving site work, pump stations, piping).

d)     Consider re-bidding project in late fall (fall/winter timeframe may provide more competitive construction environment)

1. Re-bid project as currently designed, and hope for more competitive bids.  This reflects continued commitment to groundwater approach.
2. Amend project design to also utilize surface water approach, and bid project as currently designed with surface water approach as an alternate bid.  This would allow accurate comparison of costs of groundwater approach, and could be balanced against permitting concerns and future phase concerns.  Could construct surface water pond on Town lot at Deer Horn Drive.
3. Amend project design to eliminate Fawn Drive pump location, or include Fawn Drive as an alternate.  Current design includes placement of groundwater pipe at location across the Town lot at Deer Horn Drive within – 200 feet of Fawn Drive pump.  Surface water design would likely involve pond on Town lot within – 200 feet of Fawn Drive.

Commissioner Wootten asked Mr. Reid about the tentative schedule for the re-bid.  Mr. Reid responded that they would probably bid in November, so that basically they could sign-up and be on board for December, January, February, months when there is not a lot going on.  Mr. Reid added the system would not be installed before this hurricane season anyway. 

Mr. Reid asked that the Board let them work with the contractors, finding out what items they could change and save money, outlining the bid options. 

Mr. Rush said they would then plan on a late fall bid process again, and hope to come back to the Board with a contract perhaps at the November or December meeting.

Motion was made by Commissioner McElraft to reject the bids.  The Board voted unanimously 5-0 in favor.  Motion carried.

Mayor Pro-Tem Messer called for a brief recess at 8:20 pm.

Mayor Pro-Tem Messer called the meeting back to order at 8:28 pm.

13.  DISCUSSION – POTENTIAL USE OF DOE DRIVE EMERGENCY VEHICLE RAMP FOR GENERAL BEACH VEHICLE ACCESS

Mr. Rush noted that at the end of the May 11 regular meeting Commissioner Wootten asked that we investigate the possibility of opening up the existing emergency ramp at Doe Drive for general beach vehicle access.  Mr. Rush said he had done research on this issue, and with Town Attorney Stanley’s help there were two issues that would need to be addressed if the decision is made to pursue that.  Mr. Rush said he was advised by the North Carolina Division of Coastal Management that a new CAMA permit would be needed in order to use that access for general beach vehicle access.  He said previously the permit was conditioned on it being an emergency access only.  Mr. Rush said this process could be completed in less than 30 days, requiring notification to adjacent property owners, and then Division of Coastal Management would consider the Town’s request, the overall public benefit, the impact on the beach, as well as the neighboring properties concerns in making their decision.  Mr. Rush said he would like to get direction from the Board to apply for this permit. 

Mr. Rush said the other issue is there is currently 20 feet of easement at that location between Sea Dunes and Deer Horn Dunes Subdivision, and according to Attorney Stanley’s research 10 feet of the access is dedicated for public usage on the Sea Dunes Subdivision side, 10 feet on the Deer Horn Dunes side is actually dedicated for the use of the property owners within Deer Horn Dunes Subdivision, thus technically not open for general public access.  Mr. Rush felt we would need the entire 20 feet allocated for public access if we were to use it for general beach vehicle access.  The two options to do that would be to 1) secure permission from all property owners within Deer Horn Dunes, or 2) another option would be to condemn the use of the easement for public access in the Deer Horn Dunes section. 

Mr. Rush provided maps for the Board in their packets showing the locations of the existing beach vehicle access ramps.  Mr. Rush pointed out the long stretch of five miles from the Blackskimmer access to the Point for those who want to access that part of the island.  Previously, before the erosion there was the ramp at the Point which has now been closed for several years. 

Commissioner McElraft asked if the road that is there now was in the middle of the 20 feet.  Mr. Rush said a survey would have to be done to formally delineate the location.  Mr. Rush said it may be possible to structure it so that it was only on the 10 foot side that is dedicated as a public access.  

Commissioner Wootten said he brought this up because this had been one of the recommendations of the beach committee in the year 2000, to open up another ramp at the western end of the Town.  He noted they started in the year 2000 and decided to just do the emergency ramp.  He said most people going on the beach to fish head to the Point, and the more they could do to keep the vehicles from going under the pier or the western access the better off we are. 

There was discussion by the Board, and Town Attorney of their concerns and questions about this issue.

Sally Waters, commented to Commissioner Wootten that she was on the beach driving committee and that this was not part of their decision, she added when this was proposed as an access they were reassured that this would remain an emergency vehicle access.  She had strong opposition with it being in that area with small narrow roads.  She was a concerned about this and felt there would be a lot of opposition, and was unfair.

Commissioner Wootten responded that the committee did make a recommendation to open a ramp in the western end.   He said when they looked at this in the year 2000 this was the only location where it was feasible to put a ramp. 

The general consensus of the Board was to direct Town Manager Rush to have a survey prepared for further review.

14.  LAND ACQUISITION – SOUNDSIDE PARCEL, 6700 BLOCK OF EMERALD DRIVE

Frank Rush Town Manager discussed this item with the Board.  The following information is provided as background as detailed in Mr. Rush’ memo to the Board:

The 8-acre tract is located on the east side of Chapel By The Sea, and includes approximately 4 acres of upland area and 4 acres of coastal marsh.  The tract includes approximately 100 feet of frontage along Emerald Drive, and approximately 400 feet of frontage along Bogue Sound.  A map delineating the approximate boundaries of the tract is attached for your information.  The Board should note that the exact boundaries have not yet been formally delineated, however, the attached map is representative of the concept discussed by the current owner, the prospective new owners, Chapel By The Sea representatives, and the Town.   

Of the approximately 4 acres of upland area, approximately 1.25 acres is believed to be the site of an old landfill.  A map delineating the approximate boundaries of the landfill area is attached.  This old landfill was apparently used by the Town of Emerald Isle and other public and private entities in the past for disposal of  solid waste.  Research indicates that the landfill has not been used for solid waste disposal for at least 30 years, however, the site was apparently used to burn vegetative and C&D debris after the March 1993 storm.  According to Town Attorney Richard Stanley and staff at the NC Division of Solid Waste Management, the Town is at least partially liable for potential damages and cleanup expenses regardless of the ownership status of this tract (due to the fact that the Town disposed of solid waste in the old landfill).

The current owner of this tract of land has offered to donate this tract for the future development of a soundside park facility.  In light of the Town’s liability regardless of ownership, and the potential for a future park facility, the Board is asked to consider this land donation at the July 13 meeting.  I have discussed this old landfill site with the NC Division of Solid Waste Management, and current staff indicated that there are no known problems with this site nor do they expect to issue any mandatory cleanup notices in the foreseeable future.  Regardless, there is still considerable potential liability associated with this site.  Town Attorney Richard Stanley does not recommend that the Town of Emerald Isle hold title to this land, as that action would increase the Town’s liability.  Instead, the Town Attorney has recommended that the Town establish a non-profit corporation to hold title to this land and be responsible for managing any future park facilities.  This action would keep the Town of Emerald Isle out of the chain of title, and the Town’s liability would remain the same regardless of whether the current owner retains ownership or the non-profit corporation takes ownership.

As indicated on the attached map, the conceptual plan for the acquisition of this tract involves the prospective new owners (the Farrington brothers), the Chapel By The Sea, and the new non-profit corporation.  The 8-acre tract is part of a larger approximately 27-acre tract of land that encompasses the entire length of Shell Cove subdivision (Scotch Bonnet, Coquinna, Periwinkle) on the north side of Emerald Drive.  Chapel By The Sea currently owns two tracts, one that is approximately 1 acre on which the church building is located, and the other that is approximately 1/3 of an acre, located west of the church building.  According to the conceptual plan, the Chapel By The Sea would convey their 1/3-acre tract to the Farringtons and the Farringtons would convey a similar-sized tract on the east side of the church building to the Chapel By The Sea.  The new non-profit corporation would receive the remaining 8-acre tract described above.  The 8-acre tract would be conveyed to the non-profit corporation by the current owner, Paxon Holz, prior to the conveyance of the larger tract to the Farringtons and the land swap between the Farringtons and the Chapel By The Sea. 

At this time, there are no specific park development plans for the 8-acre tract, however, we have discussed several potential park components.  Any future park components would likely be funded with grant revenues or annual contributions as funds are available.  Potential park amenities that appear to be feasible include ballfields, a picnic shelter, a bathhouse, and a public water access pier.  Based on discussions with the NC Division of Solid Waste Management and the NC Division of Coastal Management, there should not be any significant issues associated with using the land over the old landfill for a ballfield or parking area.  There should also not be any prohibition on bringing additional fill into the upland portion of the 8-acre tract.  Because the 8-acre tract is located adjacent to Outstanding Resource Waters, there will be a maximum impervious surface limitation of 25%, however, I don’t envision any park development plans that would exceed this threshold.  The portion of the 8-acre tract closest to Emerald Drive should be suitable for the installation of an on-site wastewater system if a bathhouse facility is installed.  Based on discussions with the NC Division of Coastal Management, it is highly unlikely that permits would be granted to construct a public boat launching facility at this site.     

The three specific items for the Board to consider that are associated with this land acquisition are as follows:

Discussion – Long Term Lease Agreement with Chapel By The Sea for Parking Area

The Chapel By The Sea hopes to add an additional 5,000 square feet to its existing facility, however, they have been unable to proceed any further due to the fact that they do not currently have sufficient land to meet the Town’s parking requirements.  The current owner, Paxon Holz, indicated her desire to insure that any plan for conveying this land include provisions to help the church meet its parking needs. 

I have discussed this issue with Paxon Holz, the Farringtons, and the Chapel By The Sea, and I believe we have reached a tentative agreement whereby the new non-profit corporation would lease sufficient land for the church’s parking needs to the Chapel By The Sea for a minimal sum (perhaps $1 per year).  The term of the lease would be for many years (perhaps 50 or 99 years), and the lease would allow Chapel By The Sea to construct a parking area on a portion of the 8-acre tract.  In exchange, the parking area would also serve the patrons of the future parks and recreation facilities on the 8-acre tract. 

At this time, we are uncertain exactly how much land area will be necessary for the parking area, however, I believe that the 8-acre tract can accommodate both the church’s needs and the potential future park facilities (ballfields, public water access pier, bathhouse, etc.) without much difficulty.  We are also uncertain as to what surface the new parking area will consist of – a simple delineated grassy area, asphalt, gravel, or some combination thereof.

The Board is asked to discuss this issue and indicate its general concurrence with this approach.  If the Board concurs with this approach, we will work with the Chapel By The Sea to draft a formal long-term lease agreement to present to the new non-profit corporation’s Board of Directors at a future meeting.       

Resolution Authorizing Creation of Emerald Isle Parks and Recreation Association, Inc.

The attached resolution authorizes the Town Attorney and the Town Manager to file all necessary documents to create the Emerald Isle Parks and Recreation Association, Inc.  This new corporation would be a non-profit corporation, and would exist to hold title to lands donated for parks and recreation facilities in Emerald Isle and to manage these facilities. 

The resolution calls for a 3-member Board of Directors to be appointed by the Board of Commissioners to serve staggered 3-year terms.  If the Board approves the attached resolution, we will file the necessary documents to create the corporation, and then ask the Board of Commissioners to appoint the Board of Directors for the non-profit corporation at the August meeting.

Resolution of Intent for Emerald Isle Parks and Recreation Association, Inc. to Acquire Soundside Parcel, 6700 Block of Emerald Drive

The attached resolution expresses the Board of Commissioners’ intention for the new Emerald Isle Parks and Recreation Association, Inc. to accept the donation of the 8-acre tract, and to utilize that land for future parks and recreation purposes in Emerald Isle.  It is anticipated that the Board would appoint the 3-member Board of Directors at the August 10 Town meeting, and that the new corporation would accept title to the 8-acre tract on August 11 or 12, in conjunction with the closing date for the rest of the 27-acre tract.

Following discussion the Board indicated their concurrence with the concept for long-term lease agreement between Chapel By The Sea and new non-profit corporation for church parking needs.

Motion was made by Commissioner Wootten to approve the Resolution Authorizing Creation of Emerald Isle Parks and Recreation Association, Inc.  The Board voted unanimously 5-0 in favor.  Motion carried.

Motion was made by Commissioner Isenhour to approve the Resolution of Intent for Emerald Isle Parks and Recreation Association, Inc. to Acquire Soundside Parcel, 6700 Block of Emerald Drive.  The Board voted unanimously 5-0 in favor.  Motion carried.

16.  RESOLUTION AUTHORIZING BOND ANTICIPATION NOTES (RENEWAL)

Town Manager Frank Rush stated that this is another renewal of the short term financing for the beach nourishment project.  He said they will sell $3.1 million to payoff the old $3.1 million, and of course they retire the full $3.1 million when they sell the bonds later this fall for the Bogue Inlet project. 

Motion was made by Commissioner McElraft to approve the Resolution Authorizing Bond Anticipation Notes.  The Board voted unanimously 5-0 in favor.  Motion carried.

17.  COMMENTS FROM TOWN CLERK, TOWN ATTORNEY, AND TOWN MANAGER

Town Clerk had no comments.

Town Attorney had no comments.

Town Manager Frank Rush mentioned the discussions lately concerning golf carts, noting the Town of Whispering Pines had secured local legislation to allow golf carts on public streets, asking the Board to give this some thought if it was something they wished to pursue.

18.  COMMENTS FROM BOARD OF COMMISSIONERS AND MAYOR

Commissioner Hedreen, McElraft, Wootten, and Mayor Pro-Tem Messer had no comments.

Commissioner Isenhour expressed his thank you to the Town and friends on behalf of his wife Mary Wolff for the goodwill wishes during her recent operation.

19.  ADJOURN

Motion was made by Commissioner Isenhour to adjourn.  The Board voted unanimously 5-0 in favor.  Motion carried.

The meeting adjourned at 9:05 pm.

Respectfully submitted:

Rhonda C. Ferebee
Town Clerk