HomeMy WebLinkAboutPH 2 CD BLOCK GRANT 11-02-92PUBLIC HEARING N0. 2
ALI EN DA/ _ 11-2-92
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inter-Com
DATE: NOVEMBER 21 1992 -
TO: WILLIAM A. HUSTON, CITY MANAGER
FROM: COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: 1993-94 PROPOSED USE OF COMMUNITY DEVELOPMENT BLOCK GRANT
FUNDS (19TH YEAR APPLICATION)
RECOMMENDATION
It is recommended that the City Council adopt Resolution No. 92-134
approving the 1993-94 application for the proposed use of Community
Development Block Grant (CDBG) funds.
BACKGROUND
For the past 18 years, federally funded Community Development Block
Grant (CDBG) monies have been available to local jurisdictions to
assist in the elimination of urban blight. The primary objective
that must be met for all CDBG programs is the development of viable
urban. communities. including the provision of decent housing and a
suitable living environment, and expanding the potential for
economic opportunity, principally for persons of low and moderate
income.
CDBG funds continue to be affected by requirements contained in the
federal Housing and Communities Act of 1974. Activities that can
be carried out with Community Development Block Grant funds
include, but are not limited to: acquisition of real property,
relocation and demolition, rehabilitation of residential and non-
residential structures, construction of public facilities and
improvements such as water and sewer facilities, streets and
neighborhood centers and the conversion of schools for eligible
purposes. In addition, Block Grant funds maybe used to pay for
public services within certain very restrictive limits, and for
activities relating to energy resources. Ten percent (100) of
total grant proceeds may be used for general program planning.
The County of Orange has recently solicited funding applications
for the City's future participation in the Community Development
Block Grant (CDBG) Program for fiscal year 1993-94 (Program Year
XIX) . Prior to the submittal of that application, the City must
obtain citizen input through an informal citizen participation
meeting and a public hearing, with final approval given by the City
Council.
William A. Huston
Re: 1993-94 CDBG Funds
Page 2
November 2, 1992
For smaller cities, federal CDBG funds are typically applied for
and received through the County of Orange. Funding is allocated to
participating cities based upon need and population. The City of
Tustin has historically received annual funding averaging $100,000.
However, once a city has a population of 50,000 or more it can
become an "entitlement city", receiving funds directly from the
federal government. Staff has learned that once entitled, Tustin
can expect between $300,000 to $600,000 in annual Block Grant
funding.
The recently released 1990 Census of Housing and Population
indicates that at the time the census was taken, Tustin had a
population of 50,689. Staff recently sent the federal government
a letter of interest in becoming an entitlement city for the 1994-
95 CDBG funding year. Therefore, 1993-94 (Year 19) is the last
year Tustin will participate in the County program, and we
anticipate that funds allotted to us by the County will be limited
in Fiscal Year 1993-94.
CITY OF TUSTIN - PROGRAM PARTICIPATION
The City of Tustin is fortunate that it does not exhibit the degree
of slum and/or blighted conditions which can exist within an urban
environment, such as that found in some of the nation's inner
cities. However, for the purposes of obtaining valuable CDBG
funding source, Tustin has previously determined and designated
that area of the community which meets minimum federal and state
definitions of slum and blight. See Exhibit 1. In order to
allocate funds outside of the specific CDBG target area, it must be
shown that a concentration of low or moderate income households
exists elsewhere.
City of Tustin participation in the CDBG program has occurred since
its initiation in 1975 (with one 3 year period when no application
was transmitted to the County per Council policy), and has been
primarily focused upon residential rehabilitation and capital
improvement projects. A summary of performance data on all
projects undertaken over the last several years is attached. See
Exhibit 2.
The following list includes potential projects for the 1993-94
(Year 19) grant application as suggested by City departments:
1. Graffiti Removal
The use of CDBG funds for the removal of graffiti on private
property at no cost to the property owner ($45,000).
William A. Huston
Re: 1993-94 CDBG Funds
Page 3
November 2, 1992
2. Code Enforcement for Southwest Target Area
The use of CDBG funds for a full-time salaried position (with
benefits) for the enforcement of zoning, building and City
code violations in the Southwest neighborhood ($50,000).
3. Commercial Rehabilitation
The use of CDBG funds to continue to offer grants and rebates
to businesses in the First Street, Old Town areas, and
Southwest Neighborhood for minor exterior repairs,
beautification and, seismic reinforcement ($25j,000).
3. Public Facilities and Improvements
Southwest Target Area - The use of CDBG funds for
sidewalk, driveway apron, and curb and gutter repair and
reconstruction within three specific Community
Improvement Target* Areas (Exhibit 6). The project would
also involve parkway improvements including street tree
replacement (Estimated costs: Target Area "A", $50,000;
Target Area"B", $50,000; Target Area "C", $250,000).
Handicapped Access - The use of CDBG funds to make
improvements to public facilities and buildings to
achieve compliance with the Americans with Disabilities
Act ($45r000).
San Juan Street - between Newport Avenue and Orange
Street. This project will consist of the construction of
curb and gutter, sidewalks, driveway aprons, street
paving and the installation of street lights. These
improvements will also provide street widening,
controlled roadway drainage and improved pedestrian
safety ($65,900).
Walnut Street - between Newport Avenue and Orange Street.
This project will consist of the construction of curb and
gutter, sidewalks, driveway aprons, street paving and the
installation of street lights. These improvements will
provide street widening, controlled roadway drainage and
improved pedestrian safety ($65,400).
C Street - northerly of Mitchell Avenue. This project
will consist of the reconstruction of deteriorated street
pavement, curbs and gutters, sidewalks and the
installation of new street lighting. In addition to the
above improvements, a storm drain system will be
William A. Huston
Re: 1993-94 CDBG Funds
Page 4
November 2, 1992
installed to improve roadway drainage conditions
($91,400).
° Penyertree Park - The Use of CDBG funds for demolition of
the existing restroom building and construction of a new
400 -square foot restroom facility ($105,000)
Frontier Park - The use of CDBG funds for demolition of
the existing restroom building and construction of a new
400 -square foot restroom facility ($105,000).
CITIZEN PARTICIPATION
Each jurisdiction participating in the CDBG program must inform
residents of its intent to submit an application for CDBG funds,
and provide the opportunity for public input prior to preparation
of the application. This is accomplished through what is called a
Citizen Participation Committee (CPC) meeting. Although an
informal meeting, the CPC meeting date and time was noticed in the
local newspaper. In addition, personal invitations were mailed to
members of all City Boards and Commissions. See Exhibits 3 and 4.
The staff of the Community Development Department held a CPC
meeting on October 22, 1992. An attendance list is attached
(Exhibit 5). The participants were asked to accomplish the
following three tasks:
1. Provide input on a number of potential CDBG projects
suggested by City staff;
2. Suggest additional potential projects for Council
consideration;
3. Prioritize all projects proposed for CDBG funding during
Year 19.
The Citizen Participation Committee suggested the following
programs be added to the application:
1. "A" and "B" Street resurfacing between First Street and Irvine
Boulevard.
The Public Works Department has informed us that the "A"
Street project is listed in the 1994-95 Capital Improvement
budget (Project #38) and the "B" Street project is in the
1995-96 budget (Project #40). Since General funds are
budgeted for the projects, it seems unlikely that CDBG funds
would be approved for this purpose.
William A. Huston
Re: 1993-94 CDBG Funds
Page 5
November 2, 1992
2. Acguisition and development of new parks in the Southwest
Target Area.
The current freeway widening projects have caused the loss of
Utt Park in the Southwest neighborhood. Therefore, the
citizens suggested the purchase of land for parks and the
funding of improvements to existing parks, especially in the
Southwest target area. Projects such as the "McFadden Park-
ette" and other mini parks were also discussed.
The Community services Department states that through the
Environmental Enhancement and Mitigation Program (EEMP),
administered by the State Department of Natural Resources,
money is available for the mitigation of impacts caused by
transportation projects, over and above mitigation required by
CEQA and NEPA. . It is likely that the acquisition and
development of a park in the Southwest neighborhood is a
viable use of those EEMP funds.
According to the Community services Department, a neighborhood
park should be a minimum of two acres to achieve a reasonable
cost effectiveness. Recent land sales in Tustin indicate that
the cost of improved land is an average of $22 per square
foot. Therefore, it is estimated that the cost of a two -acre
park site in the Southwest Target Area would be approximately
$1,9166,640 (43,560 -square feet X 2 X $22). Improvements,
such as playground equipment and ball courts, restrooms and
landscaping, and maintenance would be additional costs. While
park projects can be phased over several years, the proposal
does not seem to be a feasible use of Block Grant monies. A
park acquisition and development project could entail
tremendous cost above and beyond that typically available
through CDBG funds.
The Mcfadden Park-ette site is an approximately one -half -acre
site dedicated to Tustin as a result of the freeway widening
project. The existing grass and trees on the parcel are
currently maintained by the City. According to the Community
Services Department, a private service organization has
expressed interest in providing funding for modest
improvements for the site, such as picnic tables, benches and
trash receptacles. City crews will install the improvements
after receiving the funds from the service organization.
For the reasons stated above, a request for significant CDBG
funds for park acquisition and development does not seem
likely (actual project costs unknown).
William A. Huston
Re: 1993-94 CDBG Funds
Page 6
November 2, 1992
3. Landscaping of Remnant Caltrans Properties Adjacent to
Freeways
The freeway widening projects have left many remnant
properties adjacent to the freeway right-of-ways owned by
Caltrans. The citizens recommended using CDBG monies to
landscape those parcels. The Public Works Department states
there are already plans to landscape City -owned public right-
of-ways adjacent to the freeways after the completion of the
roadway construction. obtaining the necessary approvals to
landscape and maintain property owned by the State or private
individuals could,be extremely difficult and time consuming.
Further, such a project would incur on-going landscape
maintenance costs which might not be funded by CDBG monies in
future years. This project could entail costs above and
beyond the funds typically available through the Community
Development Block Grant program (actual project cost
unknown).
4. Community Gardens Program
This project would fund the costs associated with establishing
and maintaining community gardens on vacant lots in the CDBG
project area where senior citizens and others could grow, for
their own use, small quantities of fruit, vegetables and
flowers. Block Grant funds are proposed to fund rent or lease
payments for the land, water service and maintenance as
required (cost unknown). The suggestion of a Community or
Public Gardens program is an innovative one. However, it may
be difficult to limit use of such gardens to low and moderate
income residents or those living in the CDBG project area.
Further, funds may be available from other sources. In
addition, no specific sites have been studied or selected for
the proposal. Staff feels it may be possible to develop a
nearly self-sustaining independent program where nominal user
fees significantly off -set the costs of a non-CDBG funded
program. Due to the short time frame for the CDBG
application, it seems appropriate to allow staff to evaluate
alternatives to the suggestion and resolve issues and
questions raised in regard to this worthwhile program.
The Citizen Participation Committee also recommended the following
priority for those CDBG projects that have been determined eligible
and feasible:
1. Graffiti Removal
2. Code Enforcement for Southwest Target Area
3. Commercial Rehabilitation
William A. Huston
Re: 1993-94 CDBG Funds
Page 7
November 21 1992
4. Southwest Target Area - public improvements
5. Southwest Target Area - park development
6. Handicapped Access to Public Facilities
7. Peppertree Park Restroom
8. Frontier Park Restroom
9. All and "B" Streets
10. San Juan Street
11. Walnut Street
12. "C" Street
13. Landscaping of Remnant Caltrans Parcels
14. Community Gardens
CONCLUSION
Generally, staff and the Citizen Participation Committee agree on
the prioritizing of the various projects suggested.
In light of the success of the graffiti removal program, staff
recommends that funding for this program be the first priority.
Other top priorities focus on code enforcement and public
improvements in the Southwest Target Area. Since the beginning of
the year, Community Development Department staff have opened more
than 800 code enforcement violations, citywide. The highest
concentration of reported violations is in the southwest
neighborhood, an area within the CDBG project area. In addition,
the Community Improvement Partnership Program has suggested
proactive enforcement in that area. It seems appropriate to
request funding of a code enforcement position to work solely in
that area of greatest need. It is also recommended that funding
for the City's successful Commercial Rehabilitation Program be
ranked toward the top of the list.
Based on the above analysis, staff recommends that Council support
the following list of prioritized projects for this year's CDBG
application:
Project
1. Graffiti Removal
2.
Dollar Requests
Code Enforcement for Southwest Target Area
(position and benefits)
$45,000
50,000
3. Commercial Rehabilitation 25,000
William A. Huston
Re: 1993-94 CDBG Funds
Page 8
November 2, 1992
4. Public Facilities and Improvements
° Southwest Target Area (Community
Improvement Partnership Program) repair
of sidewalks, curbs, gutters, driveway
aprons and some parkway improvements 50,000
Handicapped Access to public facilities
(ADA compliance) 45,000
° San Juan Street widening between Orange
Street and New Avenue 65,900
Walnut Street widening between Orange
Street and Newport Avenue 65,400
"C" Street reconstruction north of
Mitchell Avenue 911,400
° Peppertree Park Restroom demolition and
reconstruction 105,000
° Frontier Park Restroom demolition and
reconstruction 105,000
Resolution No. 92-134 has been prepared for Council action. Staff
will be available during the public hearing to answer questions
about the above listed recommendations.
Faula kin Christine A. Shing ton,
AGsocia a Planner Assistant City Mana%er
PR:CAS:19thyear.ccr
Attachments: Resolution No. 92-134
Exhibit 1 - CDBG Target Areas
Exhibit 2 - Project Status Report
Exhibit 3 - Personal Invitations
Exhibit 4 - List of CPC Invitees
Exhibit 5 - CPC Attendance List
Exhibit 6 - Southwest Neighborhood Vicinity Map and
CIPP Target Areas
CDBG TARGET AREAS
• Low/Moderate income. Housing &
• Slum/Blight
TUSTIN
Housinfl/Community Development ENVIRONMENTAL MANAGEMENT AGENCY N
EXHIBIT 1
CITY OF TUSTIN
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
EXHIBIT 2
Balance/
Project Year
Description
Amount
Status
1st Year (1975-76)
E1
Camino Real Study and
Street Improvements
$
38,960.00
Completed
2nd Year (1976-77)
Various Public Improvements
$100,709.00
Completed
Projects
8th Year (1982--83)
1.
Residential Rehab. Prog.
$
50,000.00
Completed
2.
Storm brain Installation
$
50,000.00
Completed
9th Year (1983-84)
1.
Residential Rehab. Prog.
$
75,000.00
Completed
2.
Street Improvements for
South "B" Street/Mitchell
$
75,000.00
Completed
Special Jobs Bill
Street Improvements for South
"B"
Street/Mitchell
$
65,000.00
Completed
10th Year (1984-85)
1.
Residential Rehab. Prog.
$
25,000.00
Completed
2.
Street Improvements for South
"B" Street/Mitchell Area
$
60,000.00
Completed
11th Year (1985-86)
1.
Residential Rehab. Prog.
$
50,000.00
Completed
2.
Street Improvements for South
"B" Street/Mitchell Area
$
60,000.00
Completed
3.
Street Improvements for
Annexation 135 Area
$114,696.78
Completed
12th Year (1986-87)
1.
Residential Rehab. Prog.
$
85,000.00
Completed
2.
Multi -Service Senior
Center_
$
20,000.00
Completed
13th Year (1987-88)
1.
Residential Rehab. Prog.
$
40,000.00
Completed
2.
Public Facilities for
Annexation 135 area
$
50,000.00
Completed
3.
Senior Citizen Community
Center
$
15,000.00
Completed
EXHIBIT 2
—^ommunity Development Block Grant Program
Page two
PR:kd\cdbg#l.rpt
10-12-92
EXHIBIT 2 CONTINUED
Balance/
Project Year
Description
Amount
Status
14th Year (1988-89)
1.
Residential Rehab. Prog.
$
40,000.00
Completed
2.
Multi -Service Senior Center
$
25,000.00
Completed
Re -programmed to Orange St.
3.
Orange Street Area
Public Facilities
$
25,000.00
Completed
4.
Commercial Rehab. Prog.
$
20,000.00
$ 81846.50
Re -programmed to Graffiti
Removal
15th Year (1989-90)
1.
Residential Rehab.
$
50,000.00
Completed
2.
Commercial Rehab.
$
20,000.00
$ 488.00
3.
Orange Street Area
Public Facilities
$
45,000.00
Completed
16th Year (1990-91)
1.
Residential Rehab. Prog.
$
65,000.00
$21,156.01
2.
Orange Street Improvements
$
40,000.00
Completed
17th Year (1991-92)
1.
Rehab. of Private Property
$
80,000.00
Contract
Pending
2.
Commercial Rehab.
$
20,000.00
Contract
Pending
18th Year (1992-93)
1.
Rehab. of Private Property
$
50,000.00
Contract
Pending
2.
Commerical Rehab.
$
12,500.00
Contract
Pending
3.
Graffiti Removal
$
25,000.00
Contract
Pending
4.
HOME Prograin
$120,000.00
Contract
Pending
PR:kd\cdbg#l.rpt
10-12-92
EXHIBIT 2 CONTINUED
T y
Community Development Department
October 91 1992
City Of Tustin
15222 Del Amo Avenue
Tustin, CA 92680
(714) 544-8890
FAX (714) 832-0825
RE: CITIZEN PARTICIPATION MEETING FOR HCDBG YEAR 19 APPLICATION
Dear Community Leader:
The time has approached for the City of Tustin to begin preparation
of its Housing and Community Development Block Grant (CDBG)
application for Year 19. The purpose of this letter is to invite
you to participate in a Citizen Participation Meeting to provide
you, and other Tustin citizens,the opportunity to identify and
prioritize projects for potential CDBG funding in Fiscal Year
1993-94.
The Housing and Community Act of 1974, as amended, created the
Community Development Block Grant program to return federal funds
to local communities for the purpose of developing viable urban
communities by providing adequate housing and. a, suitable living
environment and by expanding economic opportunities, specifically
for low and moderate income persons. Grants are awarded to
communities to carry out a wide range of community development
activities directed toward neighborhood revitalization, economic
development, and the provision of improved community facilities and
services. The City of Tustin is a non -entitlement city (through at
least fiscal year 92-93) and as a result receives its monies from
the County of Orange Housing and Community Development Department
which actually determines the approved grant amounts on a year to
year basis.
Communities are permitted to develop their own programs and funding
priorities as long as the17 meet one of the three national
objectives. In other words, the programs must give maximum
priority to activities which either benefit low and moderate income
persons, or aid in the eliminaticn of slur and blight. In
addition, projects may be carried out which the City certifies are
designed to meet other community development needs having a
particular urgency due to existing hazardous health or safety
conditions.
Activities that can be carried out with Community Development Block
Grant funds include, but are not limited to: acquisition of real
property, relocation and demolition, rehabilitation of residential
and non-residential structures, construction of public facilities
and improvements, such as water and sewer facilities, streets and
neighborhood centers and the conversion of schools for eligible
purposes. In addition, Block Grant funds may be used to pay for
EXHIBIT 3
Re: HCDBG Year 19 Application
October 91 1992
Page 2
public services within certain very restrictive limits, and for
activities relating to energy resources. Funds over the last
several year have been relatively limited. In program Year 18, the
City received funding for projects such as graffiti removal, and
commercial property and housing rehabilitation. A list of projects
funded during previous years is enclosed; see Attachment I.
The Citizen Participation Meeting has been scheduled for Thursday,
October 22, 1992, from 4:00 to 5:00 p.m. at the Community
Development Department conference room, 15222 Del Amo Avenue,
Tustin, California. Please plan to attend:
Should you have any questions regarding this matter, please contact
Paula Rankin of my staff at (714) 544-8890, extension 252.
Thank you for your assistance in this matter.
Very.Truly Yours,
Christine A. Sh' eton
Assistant City Manager
CAS:D0:kd\citipar.y19
EXHIBIT 3 CONT.
MAILING LIST
CITIZEN PARTICIPATION MEETING FOR THE
HOUSING AND COMMUNITY DEVELOPMENT
BLOCK GRANT YEAR +9 APPLICATION
Planning Commission:
Alden L. Baker - Chairman
John Norman Butler
Marjorie Kasalek
William Stracker
Kathy Weil
Parks &--Recreation-Commission
James Kane - Chairman
Lois Carr
Sam Randall
Margarete Thompson
Chris Cormack
Tracy Allyn Worley
Joseph G. Dias
Cultural Resources Advisory Committee
John Sauers - Chairman
Richard Vining - Vice Chairman
Robert Edgell
Jeff Thompson
Brent Ferdig
Senior Advisory Board
Lloyd Ebel
Ken Hoesterey
Ruby May
Janet Schwartz
Margarete Thompson
Tustin Chamber of Commerce
Dave McEvoy
DO:kd\blkgrnt.lst
EXHIBIT 4
CITIZEN PARTICIPATION MEETING
COMMUNITY DEVELOPMENT BLOCK GRANT - YEAR 19
OCTOBER 22, 1992
G:\shared\docs\paula\cdbg#4.mem
EXHIBIT 5
Meeting
Attendance
Marge Kasalek
2352
Caper Tree Drive
Joe Dias
14902
Foxcroft Road
Lloyd T. Ebel
1522
Copperfield Drive
John Sauers
515 So.
Pacific
Richard Vining
400 W. Main Street
Al Baker
13511
Farmington Road
Bill Stracker
13062
Cortina
Rita Westfield
City
staff
Dana Ogdon
City
staff
Paula Rankin
City
staff
G:\shared\docs\paula\cdbg#4.mem
EXHIBIT 5
Vicinity Map
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EXHIBIT 6
i
Community 1111provement Program, .'arget Area
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EXHIBIT 6 CONT.
1
2 RESOLUTION NO. 92-134
3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, APPROVING THE CITY'S 1993-94
4 APPLICATION FOR HOUSING AND COMMUNITY DEVELOPMENT
FUNDS AND AUTHORIZING SUBMISSION OF SUCH APPLICATION
5 TO THE COUNTY OF ORANGE.
G WHEREAS, under the Housing and Community Development Act of
7 1974, as amended, Federal assistance may be provided for the
support of community development activities which are directed
8 toward certain specific objectives as set forth in the Act; and
9 WHEREAS, citizens were furnished with information
concerning the CDBG Program, the range of eligible activities,
10 and the proposed use of funds through a Citizen Participation
workshop held on October 22, 1992; and
11
WHEREAS, a staff report has been prepared recommending
12 proposed projects for the City's participation in the 1993-94
CDBG Year 19 Program.
13
WHEREAS a public hearing to obtain the views of citizens
14 on community development and housing needs was held by the City
Council on November 2, 1992
15
NOW THEREFORE BE IT RESOLVED, the City Council of the City
16 of Tustin resolves as follows:
17 Section 1: The City of Tustin's 1993-94 application for
Housing and community Development Block Grant funds, and the
18 proposed use of funds is hereby approved in the order of
prioritization identified by Council at their hearing of
19 November 20, 1992.
20 Section 2: Staff is hereby directed to prepare and submit
an application reflecting Council's desires and direction for
21 the City's participation in year 19.
22 Section 3: The City Manager of the City of Tustin or his
designated representative is authorized to execute such
23 documents, certifications, contracts, or other instruments as
may be required to carry out the City's Community Development
24 Block Grant Program.
25-3 Section 4: The City Clerk shall certify to the adoption of
this Resolution and shall file a copy of said application with
26 the minutes of this City Council meeting.
27
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5
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Resolution No. 92-134
Page 2
PASSED and ADOPTED by the City Council of Tustin this 2nd day of
November, 1992.
LESLIE ANNE PONTIOUS
Mayor
MARY E. WYNN
City Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
CERTIFICATION FOR RESOLUTION NO. 92-134
MARY E. WYNN, City Clerk and ex -officio Clerk of the City
Council of the City of Tustin, California, does hereby certify
that the whole number of the members of the City Council of the
City of Tustin is five; that the above and foregoing Resolution
No. 92-134 was duly adopted at a regular meeting of the City
Council held on the 2nd day of November, 1992, by the following
vote:
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
COUNCILMEMBER ABSENT:
Mary E. Wynn, City Clerk
PR:kd\92-134.res