Town Council Special Meeting Summary - June 05, 2023

The Lake Lure Town Council held a special meeting on Monday, June 5, 2023 at 2:00 p.m. at the Lake Lure Municipal Center (Town Hall).  The Public was invited to attend. The following is a summary of the meeting for those who could not be present. You may download a copy of the meeting packet for further details.  Please note that this is a summary and not formal minutes.  Minutes from this meeting will be included in the following month's meeting packet for the Regular Town Council Meeting.  

I. Call to Order: Mayor Carol Pritchett called the meeting to order.

II. Agenda Adoption: The meeting agenda was approved as written.

III. Review and Discuss Updated GMP: Project Manager Mike Dydula provided an overview of the proposal from Rubu Collins, which was included in the meeting packet. Brian Houston, an engineer with LaBella Associates was dialed into the meeting via Teams to answer any questions. 

• Mr. Dydula advised that Ruby-Collins updated the guaranteed maximum price (GMP) based with the knowledge that the Town will not be able to utilize the reservoir drain valves during the upcoming lake drawdown period and therefore the lake cannot be lowered down by 20 feet.
• The revised thought process here is to analyze the "what-if" to complete Sunset Cove 100% at the 8-foot drawdown level in the winter of 2023-2024.
• The approach would be to bring on a pipe crew to install the north side of the cove and then use a port-a-dam with the bore to finish the south side of the cove with the boring pipes.
• The Ruby-Collins GMP includes the completion of borings in Sunset Cove with the possible installation of sewer pipes.
• There are 108 working days in this plan, not counting weekends and holidays.
• Overall work completed will be based on the lake drawdown schedule. 
• Town Council discussed the possible options for the work to be completed during the next drawdown.  
• The preference discussed was to install the GLS sewer pipes and laterals in the boring pipes that are already in place. 
• Depending on how long the sewer pipe installation takes, additional boring pipes could also be installed, depending on how much time is left in the drawdown.
• The pipes could be installed in those properties where the boats would not have to be removed. 

IV. Discuss Drawdown Schedule: At the May 24th works session meeting, Council concluded that the drawdown schedule discussion be tabled until the updated GMP was available. Based on the updated GMP, Council discuss drawdown schedule options with teh consensus to begin the drawdown on 11/1/23. It has been recommended by staff to allow for a five-month drawdown period to ensure that maximum work is completed. Council plans to confirm the drawdown schedule at the June 13th Regular Town Council meeting.

V. Discuss Appraisal of Town Property Behind the Arcade Building and ABC Store Property Market Rent Study Report Findings: Per direction from Council, Town staff has been working with Miles Hamrick Appraisal Services, Inc. to conduct an appraisal of the Town property located behind the Arcade Building and to conduct a market rent study for the former ABC Store property.

• Town Manager Hank Perkins advised that Mr. Hamrick completed the market rent study and prepared an in-depth report for the Town.
• The overall conclusion in regard to the market rent study is that the ABC Store property should be leased for about $1,995 per month.
• Mr. Hamrick will also be providing the Town with a results in regard to the appraisal of the property located behind the Arcade Building.
• This property would be appraised for something similar to a 
• The purpose of this Market Rent Study is to estimate the proposed market rent of the fee simple interest in the property.
• The intended use of the Market Rent Study is to assist in lease negotiation and financial decisions of the property.
• The intended user(s) of this report are the listed clients only and their legal representatives.
• The Market Rent Study conforms to the Uniform Standards of Professional Practice (USPAP), dated January 1, 2020, Standards 1 and 2-2(a).
• Supporting documentation concerning the data, reasoning, and analysis is retained in the appraiser's file.
• The depth of discussion contained in this report is specific to the needs of the client and for the intended use stated.
• The appraiser is not responsible for unauthorized use of this report.
• The conclusion is that as of the effective date of the Market Rent Study, 04/17/2023, the market rental rate of the fee simple interest for the subject “vanilla shell” is $8.00 (rounded) per square foot, per year ($23,944.00 per year).
• Terms range from 2 to 5 years with 6% to 10% rental increases per renewal period based on economic conditions.
• The lease rate is based on a gross rental basis and assumes that the tenant will pay the rental rate, utilities and any required interior/exterior upfits for specific business uses.
• The landlord will be responsible for operational expenses (including taxes and insurance), structure and parking repairs/upkeep.
• Town Council thinks the property is worth twice as much per month. 
• It was recommended that the property be made curb appeal ready and market it as soon as possible. 
• One idea that was discussed was to offer the space as a rental property as we do with the Gazebo. It was discussed that 40-50 people could use the space at one time.
• Town Council asked that the Public Works Assessment be received by the Regular Town Council Meeting. 

VI. Discuss Parks and Recreation Trust Fund (PARTF) / Boys Camp Road: Town Manager Hank Perkins explained that recent findings in regarding to the guidelines of Parks and Recreation Trust Fund (PARTF) grants. 

• Town staff conducted research to ensure that all PARTF guidelines are being met for all Town projects.
• In 2019, the Town received a PARTF grant for acquisition of the Boys Camp Road property.
• At the time of award, the Town had no plans to place a cell tower on that property.
• Town staff found that cell towers are prohibited by PARTF guidelines for land acquisition.
• Due to the necessity to construct the planned cell tower, Town staff has been advised to initiate the process to get a conversion approved so another Town property of the same size can be identified and substituted for the Boys Camp Road property.
• A conversion request has been submitted and other similarly sized property owned by the Town will be substituted.
• We may need a survey conducted but Town Council gave Mr. Perkins permission to proceed without holding this project up any further. 
• On a related topic, we have been told that we were awarded the new grant funding for the Morse Park project. We are awaiting a contact for this project.  
• Town Council recommended that a grant point of contact be names to review all grant contract to ensure the Town follows the guidelines.

VII. Adjournment: The meeting was adjourned.