October 7, 2002

CITY OF MASON COUNCIL CHAMBERS

201 W. ASH ST., MASON, MICHIGAN

MASON CITY COUNCIL MINUTES

October 7, 2002

The meeting was called to order at 7:30 p.m. by Mayor Whipple.

Present: Council Members: Clark, Soule, Naeyaert, Preadmore, Helbig, Whipple

Absent: Council Members: Howe

Also present: Martin Colburn, City Administrator

Kathy Revels, Finance Director/Treasurer

Council Member Clark led in the Pledge of Allegiance and offered the invocation.

APPROVAL OF MINUTES - HEARING OF APPEAL MEETING: September 16, 2002

The Hearing of Appeal Minutes of September 16, 2002 were approved as written.

APPROVAL OF MINUTES - REGULAR COUNCIL MEETING: September 16, 2002

Discussion was held on corrections to the Minutes of September 16, 2002.

Motion by Preadmore, supported by Naeyaert,

To correct the citations on Resolution No. 2002-42 and defer approval to the next regular meeting.

VOTE: Yes (6) Clark, Soule, Naeyaert, Preadmore, Helbig, Whipple

No (0)

MOTION CARRIED

APPROVAL OF BILLS

Motion by Preadmore, supported by Naeyaert,

To approve the payment of the bills in the amount of $199,158.36 as submitted.

VOTE: Yes (6) Clark, Soule, Naeyaert, Preadmore, Helbig, Whipple

No (0)

MOTION CARRIED

PEOPLE FROM THE FLOOR

Elaine Ferris, Friends of the Mason Library President, asked that funds be incorporated into the future budget planning for renovation of the library.

REGULAR BUSINESS

Public Hearing - Housing Rehabilitation Grant Application to MSHDA

Mayor Whipple opened the public hearing at 7:44 p.m.

DDA Executive Director Birdsall commented that the Downtown Development Authority is very happy about the grant program.

Bruce Johnston commented that the grant is for $200,000 for two years for a total of $400,000.

As there were no further comments Mayor Whipple closed the public hearing at 7:46 p.m.

Resolution No. 2002-45 - Cars-tu-GO Appeal to City Council

Discussion was held on the language of Resolution No. 2002-45. Under BE IT FURTHER RESOLVED, change show to shows, and strike without difficulty and insert and the use.

Resolution No. 2002-45 was introduced by Clark and seconded by Soule.

CITY OF MASON

CITY COUNCIL RESOLUTION 2002-45

CARS-TU-GO APPEAL TO CITY COUNCIL OF PLANNING

COMMISSION DENIAL OF SPECIAL USE PERMIT

October 7, 2002

WHEREAS, on August 13, 2002 the Mason Planning Commission denied a Special Use Permit to re-establish a used car sales business, Cars-tu-GO at 321 North Cedar Street; and

WHEREAS, at the Council meeting of September 3, 2002 City Council reviewed a letter of appeal submitted by appellant Jim Hyde and property owner Art Good regarding the denial by the Planning Commission; and

WHEREAS, on September 3, 2002 the City Council determined that the appellants have standing in accordance with Section 7.3.3 of the Zoning Ordinance and scheduled an appeal hearing which was conducted on September 16, 2002, at 6:30 P.M.; and

WHEREAS, in accordance with Section 7.3.6 (C) of the Zoning Ordinance, the City Council shall reverse or modify a decision of the Planning Commission only if substantial rights of the appellant have been prejudiced;

NOW, THEREFORE BE IT RESOLVED that the Mason City Council does hereby reverse the decision of the Planning Commission, and approves the issuance of a Special Use Permit to the appellants to place a used car sales business at 321 North Cedar Street. This decision is based on the City Council findings that substantial rights of the appellant have been prejudiced because of the following:

• The Planning Commission acted in excess of its authority granted by the zoning ordinance.

C The decision was not supported by competent, material and substantial evidence on the record as a whole.

C The Planning Commission’s action constituted a clearly unwarranted or unreasonable exercise of discretion.

BE IT FURTHER RESOLVED that the City Council’s findings are based on facts that the proposed use is a use permitted by Special Use Permit, and that the record shows that appellants seek to reestablish the use that was previously conducted at the premises under a Special Use Permit, now expired, and the use, is without harm to the abutting property owners and community. The Special Use Permit is granted subject to the below listed conditions to insure that public services and facilities affected by the proposed use, will be capable of accommodating the increased service and facility loads caused by the use. They are also designed to protect the health, safety, and welfare, as well as the social and economic well-being of those who will use the land or engage in the activity under consideration, residents and landowners immediately adjacent to the proposed land use or activity, and the community as a whole.

Specific conditions required are as follows:

• That the number of vehicle parking spaces and vehicles be limited to no more than thirty vehicles.

• No parking of vehicles are allowed in-between the storage facility area. These are identified on the site plan

as parking spaces 19, 20, 21, 22, 23, 24.

• Signage at this location shall comply with the city sign ordinance.

YES (6) Clark, Soule, Naeyaert, Preadmore, Helbig, Whipple

NO (0)

CLERK’S CERTIFICATION: I hereby certify that the foregoing is a true and accurate copy of a resolution adopted by the City Council at its regular meeting held Monday, October 7, 2002, the original of which is part of the Council’s minutes.

_______________________

Martin A. Colburn, Clerk

City of Mason

Ingham County, Michigan

Resolution No. 2002-46 - Liquor License Recommendation

Mayor Whipple invited DDA Executive Director Birdsall to comment on the DDA recommendation. Mr. Birdsall commented on the reasons, as indicated in the letter he submitted, why the DDA feels it is appropriate to support the liquor license application of Mike’s Firehouse Grill. In addition he added that there have been attempts to redevelop the old fire station property. In August 2002, the proposal of Mike’s Firehouse Grill was selected.

Ms. Sandy Liang, Representative of Imperial Garden, was asked to explain why the liquor license that was established for that property did not transfer when the business was purchased. Ms. Liang indicated that the proprietor was interested only in a license for beer and wine.

Council Member Clark asked owner Mike Homan questions about his proposed business. In response, Mr. Homan indicated that 12% of sales would be from alcohol, and that the only way his business would survive is with a liquor license. When asked if the 2000 census numbers had not changed, making a liquor license available, would he be pursuing a business venture in Mason, and Mr. Homan stated that he would not. Mr. Homan indicated that he was aware of the available license in Leslie Township, however he did not attempt to purchase it. Council Member Clark stated that from the responses of Mr. Homan, he would favor recommending the liquor license going to Imperial Garden because they made an investment in their business and a commitment to the community and did not ask the city for anything. He could not endorse a business proposing to come to town with a “gimme” attitude. Mayor Whipple indicated that the DDA invited Mike’s Firehouse Grill and the city is offering a free liquor license. Imperial Garden had a liquor license assigned to the property and they didn’t buy it, however they are now asking for the free one. Discussion followed on resort licenses that would accommodate the need for Imperial Garden.

Resolution No. 2002-46 was introduced by Soule and seconded by Preadmore.

STATE OF MICHIGAN

DEPARTMENT OF CONSUMER & INDUSTRY SERVICES

LIQUOR CONTROL COMMISSION

RESOLUTION 2002-46

At a REGULAR meeting of the MASON CITY COUNCIL

called to order by MAYOR WHIPPLE on October 7, 2002 at___7:30__________P.M.

The following resolution was offered:

Moved by SOULE and supported by PREADMORE

That the request from MIKE’S FIREHOUSE GRILL, INC. for a new full year Class C license to be located at 447 South Jefferson, Mason, Michigan 48854, Ingham County

be considered for APPROVAL ABOVE ALL OTHERS:

APPROVAL DISAPPROVAL

Yeas:Naeyaert, Soule, Preadmore, Yeas:______________________

Helbig, Whipple

Nays: Clark Nays:______________________

Absent: Howe Absent:_____________________

It is the consensus of this legislative body that the application be:

RECOMMENDED __________________________________ for issuance

State of Michigan

County of___Ingham

I hereby certify that the foregoing is a true and complete copy of a resolution offered and

adopted by the MASON CITY COUNCIL at a Regular

meeting held on 10/07/02

(Date)

SEAL

(Signed) __________ ______________________

201 West Ash Street, Mason, MI 48854

Resolution No. 2002-47 - Supplemental Resolution for Sidewalk Special Assessment Bonds

Finance Director/Treasurer Revels indicated that the supplemental resolution for sidewalk special assessment bonds were negotiated rather than advertised for bid. It is a resolution necessary through the rules of issuing municipal bonds.

Resolution No. 2002-47 was introduced by Clark and supported by Soule.

CITY OF MASON

CITY COUNCIL RESOLUTION NO. 2002-47

SUPPLEMENTAL RESOLUTION FOR SIDEWALK SPECIAL ASSESSMENT BONDS

October 7, 2002

City of Mason, Ingham County, Michigan (the “City”).

A regular meeting of the City Council of the City was held in the City Council Chambers, 201 West Ash Street, Mason, Michigan, on Monday, the 7th day of October, 2002, at 7:30 o’clock, p.m.

The meeting was called to order at 7:30 o’clock, p.m. by Mayor Whipple.

Present: Council Members - Clark, Naeyaert, Soule, Preadmore, Helbig, Whipple

Absent: Council Members - Howe

The following resolution was offered by Council Member Clark and supported by Council Member Soule:

WHEREAS, the City Council has previously determined to borrow the sum of not to exceed Sixty-Five Thousand Dollars ($65,000) to finance a portion of the cost of the certain sidewalk and driveway improvements (the “Improvements”) in the Sidewalk and Driveway Special Assessment District - S.A. 2002-1 and the Sidewalk and Driveway Special Assessment District - S.A. 2002-2 (the “Special Assessment Districts”); and

WHEREAS, the City Council now desires to confirm and ratify certain details regarding the issuance of special assessment bonds to finance a portion of the cost of the Improvements.

NOW, THEREFORE, BE IT RESOLVED THAT:

1. The special assessment bonds shall be issued in the amount of Fifty Thousand Dollars ($50,000) in anticipation of the collection of a like amount of the unpaid installments from the Special Assessments. Said issue shall consist of fully registered bonds of the denomination of One Thousand Dollars ($1,000) each, or multiples thereof, not to exceed the maximum amount of principal due in any maturity year, numbered in direct order of issue from 1 upwards, dated date of delivery, and payable serially on May 1 of each year, as follows:

_____Date______________________________Amount________

2003 $14,000

2004 16,000

2005 20,000

2. Said special assessment bonds shall be designated as Sidewalk Improvement Special Assessment Bonds, Series 2002 (Limited Tax-General Obligation) (the "Bond" or "Bonds"), and shall bear interest at a rate of three percent (3%) per annum, payable on May 1, 2003, and semiannually thereafter on the first day of November and May of each year.

3. The negotiated bid of Dart bank, Mason, Michigan, for the purchase of not to exceed $50,000 of the Bonds of the City, is accepted.

4. The City’s Mayor, City Administrator, Finance Director/Treasurer, or a designee thereof, are hereby authorized to adjust the maturity schedule and/or reduce the principal amount of the borrowing in accordance with the amount of any prepayments received by the City with respect to the Special Assessments.

5. The City Council hereby ratifies and approves the actions of the Finance Director/Treasurer negotiating the sale of the Bonds to a local financial institution. The City Council authorizes the negotiation of the sale of the Bonds based upon the relatively small principal amount of the bond issue, being less than $100,000, and the realization of issuance cost savings by negotiating the sale of the Bonds, as the City will not be required to incur expenses such as the publication of a notice of sale and fees associated with the services of the Municipal Advisory Council.

6. The City hereby designates the Bonds of this issue as "qualified tax-exempt obligations" for purposes of deduction of interest expense by financial institutions under the provisions of the Internal Revenue Code of 1986, as amended. The City further covenants to comply with existing provisions of the Internal Revenue Code of 1986, as amended, necessary to maintain the exclusion of interest on the Bonds from gross income.

7. All resolutions and parts of resolutions insofar as they conflict with the provisions of this resolution be, and the same are, hereby rescinded.

Yeas: Council Members - Clark, Naeyaert, Soule, Preadmore, Helbig, Whipple

Nays: Council Members - None

Absent: Council Members - Howe

Resolution declared adopted.

___________________________

Martin A. Colburn, City Clerk

City of Mason City of Mason

STATE OF MICHIGAN )

COUNTY OF INGHAM )^ss

I, the undersigned, the duly qualified clerk of the City of Mason, Ingham County, Michigan, DO HEREBY CERTIFY that the foregoing is a true and complete copy of the proceedings taken by the City Council at a regular meeting held on the 7th day of October, 2002.

IN WITNESS WHEREOF, I have hereunto affixed my official signature this 7th day of October, 2002.

___________________________

Martin A. Colburn, City Clerk

City of Mason

Request - Waiver of Fee for Variance Request - Mark Cummings, 227 E. Oak Street

Mayor Whipple indicated that Mr. Mark Cummings of 227 E. Oak Street is requesting a waiver of fees for a variance request to the ZBA. This is the result of a Zoning Board decision on an appeal by the neighbor to Mr. Cummings, Bonita Brody, that the city incorrectly approved the building permit that was requested by Mr. Cummings some time ago for a garage and that it violates the setback requirements of the old Zoning Ordinance for the rear yard. The ZBA found that the appeal was upheld on that one issue, so it makes his garage nonconforming. If he is granted a variance by the ZBA it will become conforming. Mr. Cummings has done everything he was supposed to do and was given a Certificate of Occupancy by the building department.

Motion by Clark, supported by Preadmore,

To waive the fee for a variance to the ZBA for Mr. Mark Cummings of 227 E. Oak Street.

VOTE: Yes (6) Helbig, Clark, Howe, Soule, Preadmore, Whipple

No (0)

MOTION CARRIED

UNFINISHED BUSINESS

C None

NEW BUSINESS

Council Member Clark asked the City Attorney to further research and help Imperial Garden obtain the liquor license they need. He thanked DPW Director Dean for efficiently and effectively handling the issue of an Eugenia Drive resident, that felt their issue was handled satisfactorily. It was discussed to have the Traffic Commission make a recommendation for the traffic light and subsequent traffic concerns at Cedar and Columbia.

Mayor Whipple gave an account on the annual National Fallen Firefighters Memorial Weekend held in Washington D.C. this year. He, Chief Scutt, and six other firefighters attended as well as the Pelton family in honor of Past Fire Chief Jim Pelton.