TC Minutes 01-27-1987MINUTES OF THE REGULAR AVON TOWN COUNCIL
MEETING HELD JANUARY 27, 1987 - 7:30 P.M.
The regular meeting of the Town Council of the Town of Avon, Colorado
was held in the Municipal Building, 400 Benchmark Road, Avon,
Colorado, in the Council Chambers.
The meeting was called to order by Mayor Pro Tem Steve Miller at
7:53 p.m. A roll call was taken with Emilie Harrison, Clint Watkins,
Gloria McRory, Al Connell and Jerry Davis present. Mayor Allan
Nottingham was absent. Also present were Town Attorney John Dunn,
Town Manager Bill James, Director of Engineering/Community Development
Norm Wood, Director of Public Works, Parks and Recreation Larry
Brooks, Chief of Police Joe Olson, Planning Consultant Jim Lamont,
as well as, members of press and public.
The Mayor Pro Tem called for Citizen Input. There being no one
wishing to be heard, the Mayor Pro Tem closed the discussion.
The Town Attorney requested that Ordinance No. 87-1, Series of 1987,
be deferred until later in the meeting so that the he could review
documents that he had just received regarding the shopping center.
The Council agreed.
The Mayor Pro Tem proceeded.
First reading of Ordinance No. 87-2, Series of 1987, AN ORDINANCE
AUTHORIZING EXECUTION OF A CERTAIN EQUIPMENT LEASE AGREEMENT(police
cars).
Councilman Watkins moved approval of Ordinance No. 87-2, Series of
1987 on first reading. The motion was seconded by Councilman
Connell. The Mayor Pro Tem opened the meeting for discussion. The
Town Manager stated that he felt that this was somewhat of an
urgency. He stated that the police cars were being delivered the
first part of February and that the ordinance would have to be approved
before the cars could be delivered. Mr. James recommended that Council
go ahead and take action on the ordinance. He stated that there were
a couple of changes that needed to be made to the ordinance. He
stated that there were five leases, one for each car, so the ordinance
would have to be changed to read plural. The interest rate was
7.8%.
Joe Olson stated that after addendum I, add, "II,III,IV,V".
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Councilman Watkins amended his motion to include the changes.
Councilman Connell amended his second.
A roll call was taken with Emilie Harrison, Clint Watkins, Gloria
McRory, Al Connell and Jerry Davis voting aye. There were no nay
votes. The motion was unanimously carried.
First reading of ordinance No. 87-3, Series of 1987, AN ORDINANCE
AMENDING THE MUNICIPAL CODE OF THE TOWN OF AVON BY THE ADDITION OF
SECTIONS 9.12.050, 9.12.060 AND 9.12.070 AS IT PERTAINS TO FALSE
IDENTIFICATION, POSSESSION OF LIQUOR BY UNDER AGE PERSONS PROVIDING
PENALTIES FOR VIOLATION THEREOF.
Councilman Watkins moved approval of Ordinance No. 87-3, Series of
1987 on first reading. The motion was seconded by Councilman Connell.
Joe Olson stated that this ordinance was at the request of the
Council. It was felt that this matter was a weakness in the present
ordinance. This ordinance would now impose a penalty at the
Municipal Level for those under age who were attempting to purchase
alcohol.
There being no further discussion, a roll call was taken with Emilie
Harrison, Clint Watkins, Gloria McRory, Al Connell and Jerry Davis
voting aye. There were no nay votes. The motion was unanimously
carried.
First reading of Ordinance No. 87-4, Series of 1987, AN ORDINANCE
AMENDING THE MUNICIPAL CODE OF THE TOWN OF AVON BY THE ADDITION OF
SECTIONS 10.14.010 THROUGH 10.14.100 AS IT PERTAINS TO PARKING AND
IMPOUNDMENT OF VEHICLES.
Councilman Connell moved approval of Ordinance No. 87-4, Series of
1987 on first reading. The motion was seconded by Councilwoman
Harrison. The Mayor Pro Tem called for discussion.
Joe Olson stated that this ordinance would bring the Town in compliance
with the State Law, which had been changed last July regarding towing
of vehicles on private and public property.
After discussion the Mayor Pro Tem called for a roll call. Those
Councilmembers voting aye were: Emilie Harrison, Clint Watkins, Al
Connell, Gloria McRory and Jerry Davis. There were no nay votes.
The motion was unanimously carried.
First reading of Ordinance No. 87-5, Series of 1987, AN ORDINANCE
ANNEXING TO THE TOWN OF AVON A PARCEL OF LAND LOCATED IN SECTION 12,
T.5 SOUTH, RANGE 82W OF THE 6TH P.M., EAGLE COUNTY, COLORADO; AND
SETTING FORTH FINDINGS AND CONCLUSIONS AND OTHER DETAILS THERETO.
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Councilwoman Harrison moved approval of Ordinance No. 87-5, Series
of 1987 on first reading. The motion was seconded by Councilman
Watkins.
Norm Wood stated that with two previous meetings, there were concerns
expressed regarding the Annexation Agreement for the Stockyard Property.
He stated that a number of changes have been made in the agreement
in an attempt to address those concerns. The concerns are as follows:
1. Permitting minimum development. This phrase has been changed to
"permitting allowed land uses and development.
2. Paragraph 2.4 has been revised to provide for the dedication of
open space Tract at no cost to the Town prior to,or upon,acceptance of
constructed roadway for maintenance by the Town.
3. Paragraph 2.5 has been added to provide for the granting of a
25 foot wide easement along the westerly side of Lot 1 for the possible
future construction of Avon Road.
Mr. Wood stated that staff had reviewed the conceptual plan that was
prepared by Centennial Engineering for an Avon Road upgrade for a
separated grade crossing. Mr. Wood stated that after the review, they
had transposed the proposed Subdivision for the basis of that
agreement onto the plans.
Mr. Wood stated that it did appear that with the 25 foot setback
construction easement, that the widening could be accomplished in
accordance with the conceptual plans prepared by Centennial Engineering.
Mr. Wood recommended approval of the Annexation Agreement, and approval
of Ordinance No. 87-5 for the Annexation of the property.
Michael Blair, Planner and representing the applicant for the Nottingham
Ranch, approached the Council. He reviewed what the applicant was
proposing to do as it related to the road situation.
Councilman Watkins suggested that a construction easement agreement be
prepared. It was requested that in paragraph 2.5, the paragraph be
clarified. It was agreed that a time limit should be suggested before
the land would revert back to the owners of record of Lot 1.
The Town Attorney suggested that in paragraph 2.5, in the 11th line,
it should be changed to read,"that is not used".
Councilman Davis requested that the wordage be clarified on the 25 foot
setback and to clarify the time limit only on the construction access
easement. Mr. Wood stated that Tract A was based upon the access
permit that was approved by the Highway Department. He stated that, to
meet the Highway Department standards for that access, it would have
required another lane to the bridge and additional widening at the
railroad crossing. He stated that this present location was a
compromise that the applicant worked out with the Highway Department,
eliminating a crossing, until the road would be totally widened,to get
the bridge constructed, then the road would probably be moved to the
south of the property.
Councilman Watkins questioned the signage on the property. Mr. Blair
stated that those signs would be in regard to directional signs, such as,
street name signs, identification signs, such as, pointing out trails and
trailways. He stated that in any case, the signs would have to be approved
by the Town.
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The Mayor Pro Tem called for a roll call. Those Councilmembers voting
aye were Emilie Harrison, Clint Watkins, Gloria McRory, Al Connell
and Jerry Davis. There were no nay votes. The motion was unanimously
carried.
Second reading of Ordinance No. 87-1, Series of 1987, AN ORDINANCE
REPEALING ORDINANCE 86-19 AND AUTHORIZING THE OBLIGATION OF THE TOWN
OF AVON TO ACQUIRE A PORTION OF LOTS 23 AND 75, BLOCK 2, BENCHMARK
AT BEAVER CREEK SUBDIVISION, TOWN OF AVON, FOR THE USE BY THE TOWN
FOR PARKING PURPOSES.
This was a public hearing.
Councilman Davis moved approval of Ordinance No. 87-1, Series of
1987 on second reading. The motion was seconded by Councilman
Connell. The Mayor Pro Tem opened the meeting for public hearing.
There being no one wishing to be heard, the Mayor Pro Tem closed the
public hearing. The Town Attorney presented the Council with a
revised Ordinance 87-1 for the proposed shopping Center.
He then read the ordinance by title. Attached to the revised
ordinance was an agreement that incorporated some changes.
Mr. Dunn then reviewed some of the substantial changes with the Council.
The Town Attorney stated that some of the exhibits were missing, such
as, Exhibit A(boundary survey to show how the tracts would be
replatted); Exhibit D(agreement that the Town would sign to purchase
the parking lot area; Exhibit E(the site plan).
The developer requested that twenty two changes be made to the
agreement.
Lengthly discussion followed.
The parking lot of the shopping center was discussed.
Councilman Connell was concerned of the language in Section 7-C. He
stated that it referred to it as the developer would control taxpayer
paid parking.
The Town Attorney suggested a minimum number of parking spaces. He
stated that there were two motivations to that provision.
1. It was to satisfy Wal-Mart's parking requirements and in effect not
to obstruct the full use of the parking lot.
2. To allow the sale of the entire project after the bonds were paid.
He stated that after discussing that matter with Bond Counsel, it was
decided that it was unacceptable, and could not be entered into under
the Town's Charter. The Charter requires an election to sell property
that was used for governmental purposes.
He stated that the developer wanted the option to re-purchase the
parking lot so the Town could retrieve its investment back.
Mr. Dunn stated that Section 7-C has not been resolved. He stated that
he did have concern of the language of that section.
Councilman Connell stated that he could not support it. He stated that
if the parking was paid for by the general public, then the general
public should be the one controlling it, not the developer.
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Wayne Peterson, representing HSW, Investments, Inc., approached the
Council. Mr. Peterson stated that they agree in principle, the problem
was the language. He stated the reason for the re-purchase agreement
was; 1) that it allowed the Town to re-coop some of its investments
other than through the normal sales tax; 2)that it prevented any
future development on Tract A.
He stated that the reason it was important that in financing a project,
the lender would want to be satisfied, by the fact that they do not want
us to break any of the convenants with Wal-Mart. One of the convenants
with Wal-Mart was that the parking area remain as parking area as
shown on the site plan. If the Town, in five years, wanted to put
a building on the parking area, both the developer and the lender would
be in default of the Wal-Mart lease.
Councilman Connell did not feel comfortable with the developer telling
the Town what to do with the parking area.
The Town Attorney stated that the rest of the changes were reviewed
by him and that those changes have been incorporated in the agreement.
At that point, the Town Attorney summarized the above discussions.
1. Was the Council comfortable with the changes in the agreement.
2. What was to be done with the unresolved matters that were not done
at this point.
3. There was a change in respect to the square footage of the line
shops.
4. The cap of 12% interest rate on the bonds was removed.
5. They have advanced to the point of actually viewing the form of
the purchase agreement, but at this time the Council does not have
an Exhibit, which was to be executed and provided for that evening.
6. Did the Council feel comfortable with deleting the site plan and
leaving it to the Planning and Commission's process.
7. Did not arrive at a mutally satisfactory language dealing with
Tract A.
8. Have seen a check in the amount of $100,000. Have received a
Escrow Agreement which would place the $100,000 into the escrow account
of Bendelow, Dethman & Muse at the Chancery National Bank, and it
also provided that, the $100,000 would be delivered to the Town of
Avon upon execution of the agreement by all the parties.
He stated that the escrow would have a term through February 15, 1987,
and if the release of funds to the Town was not authorized by February
16, 1987, the escrow agent would be authorized to return the money
to the developer.
He stated that basically, another two weeks was needed by the developer.
Arnie Ray, representing Ross Consulting, approached the Council.
He stated that one of the points that he was concerned with was;
1)the history of what had happened in the last two weeks; 2)the changes
that were requested by the developer in the contract.
He stated that two weeks ago, there was a Developement Agreement on
the table, they had a representation to Wal-Mart that was deal, they
had a rental rate, which had been agreed to, they kept Bendelow in the
deal because of Wal-Mart's endorsement of that deal. Mr. Ray stated
now, Bendelow disappears, a new developer was in place, a re-negotiation
of a deal with Wal-Mart, and a re-negotiation with the Town of Avon.
He stated that they had a deal that the developer agreed to two weeks
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Mr. Ray stated that now, there seems to be twenty two changes in the
agreement that the developer would feel more comfortable with.
Councilman Davis had concern that two weeks ago the developer agreed
to,everything, and now they are before the Council with twenty two
changes in the agreement, and were requesting another two weeks to
perform. He stated what was the purpose of continuing if the things
are being changed all the time, and that the Council does not
particularly like anyway.
Bill James stated that he had conversed with Bendelow's attorney, and
that there was some discomfort between Avon and the developer, but at
the same time, there needed to be a firm financial commitment from
the developer at this time, and if the developer was requesting another
two weeks, then it would cost them money. There would be no refund,
no deposit. He stated that if the Council wanted to give the developer
another two weeks, the developer would be directed to put up $50,000
as risk, non-refundable. He stated that time was too valuable.
Wayne Peterson stated that his group has never defaulted on any loan,
on any lease agreement, or any contracts that they have entered into.
He stated that their group would like to do a deal with Avon, but
could not deposit $50,000 as risk at this time.
Steve Simanski, the second choice of developer, approached the Council.
He stated that what Mr. Peterson had presented to the Council was a
real part of the development business. He stated that whoever the
Council would choose, they would have to allow more than another two
weeks to perform. He stated that with his group's experience with
Wal-Mart and with City Market, they would'be willing to put up
$50,000 at risk. He stated that he could not promise that everything
would be accomplished in two weeks.
Scott Shenfeld approached the Council.
He stated that he was given a full finance package commitment from the
bank, and that his group was ready to move. He stated that he had
put up $75,000 before, and was willing to do it again.
Wayne Peterson stated that the last few hurdles was not unreasonable
for his group to ask, and he had hoped that Council would not hold that
against them. He stated that for the Council to award to another
developer without the same contingency would not be fair or reasonable.
Councilman Davis stated that Bendelow's group was Council's first
choice, and Council had made it very clear that the Town needed
performance, and the developer did not perform as the Council requested.
At that point the Council recessed at 10:17 p.m. and reconvened at
10:30 p.m.
The Town Attorney stated that the Council had two alternatives;
1. To agree to the acceptance of $100,000 deposit by way of the escrow
agreement which was submitted. He stated that if the Council had chosen
to pursue this alternative, his recommendation was to table Ordinance
No. 87-1 for a period of two weeks to permit finalization of the
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agreement and that at the same time accept the $100,000 in escrow.
2. To accept the offer of Palmer Development Company to place $50,000
at risk now, in consideration of them being accepted as the preferred
developer, and if this was the desire of the Council, his recommendation
was to.amend Ordinance No. 87-1 by the substitution of Palmer
Development Company for Edward M. Bendelow and HSW Investments, Inc.,
as the developer. If that motion passed, then table Ordinance No. 87-1
until the next regular meeting of the Town Council with instructions that
the ordinance be re-posted along with the agreement. He stated that
the original agreement that was submitted with ordinance 87-1 at the
last meeting should be used.
Councilman Connell moved to amend Ordinance No. 87-1 by the substitution
of Palmer Development Comany for Edward M. Bendelow and HSW
Investments, Inc. as the developer on the condition that $50,000 non-
refundable would be placed into an account tomorrow. The motion was
seconded by Councilwoman McRory and was unanimously carried.
Councilman Connell moved to table Ordinance No. 87-1 as amended until
the next regular meeting with instructions that the ordinance be
re-posted with the amended agreement. The motion was seconded by
Councilman Watkins and was unanimously carried.
Resolution No. 87-2, Series of 1987, A RESOLUTION APPROVING A SPECIAL
REVIEW USE FOR THE TRANSFER OF ONE RESIDENTIAL DEVELOPMENT RIGHT FROM
LOT 46, BLOCK 2, BENCHMARK AT BEAVER CREEK TO LOT 45, BLOCK 2,
BENCHMARK AT BEAVER CREEK.
Norm Wood stated that the owner of Falcon Pointe Lodge requested a
Special Review Use for the transfer of one development right from Lot 46,
Block 2, to Lot 45, Block 2. He stated that the additional Development
Right was needed to meet the development right requirement for the
remodeled Falcon Pointe Lodge project. He stated that the Town records
indicated that there were 30 residential development rights assigned to
Lot 45, and 32 residential development rights to Lot 46. This transfer
would even out the development rights on the two sites.
He stated that this development right was acquired through a foreclosure
on a portion of Lot 46, which includes the swimming pool recreation
facilities area, which amount to 25% of that lot.
A public hearing was held by the Planning and Zoning Commission and it
was determined that the owner did meet all the requirements and was
recommended Town Council approval.
Councilwoman Harrison moved approval of Resolution No. 87-2. The motion
was seconded by Councilman Connell and was unanimously carried.
Be it noted that a check in the amount of $67,000 for a 1% transfer
tax of the sale of Falcon Pointe to the time-sharing firm was presented
to the Town Manager.
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Resolution No. 8773, Series of 1987, A RESOLUTION APPROVING A SPECIAL
REVIEW USE FOR THE UPGRADE OF AN EXISTING 69KV TRANSMISSION LINE
ACROSS PORTIONS OF SECTION 1, SECTION 2 AND SECTION 12,T5S, R82W,
OF THE 6TH P.M., TOWN OF AVON, EAGLE COUNTY, COLORADO TO A 115KV
TRANSMISSION LINE.
Norm Wood stated that Holy Cross Electric Association applied for
a Special Review Use to the Planning and Zoning Commission for an
upgrade of an existing line and that that line was recommended for
approval, but was also subject to a condition that if there were
any changes that would result in the location or design that may
be required within the Town boundaries as a result of the Eagle
County review and approval process that it be resubmitted to the Town
of Avon for review and approval.
Mr. Wood stated that following todays hearing before the Eagle County
Commissioners, the Commissioners directed that this line be looked
at that was beyond the Town boundary. He stated that until that was
resolved, Holy Cross has requested that this item be tabled. This
matter should be clarified by the next meeting.
The Council requested that a representative be available at the next
meeting to address some concerns that the Council had.
Councilman Watkins moved to table Resolution No. 87-3. The motion was
seconded by Councilwoman Harrison and was unanimously carried.
The Town Attorney stated that the Town had been served with a Third
Party complaint on a law suit pending in the US District Court, which
has been pending since August. He stated that NOTICE was given to
CIRSA insurance carrier. There was a question as to whether CIRSA
would cover the claim. CIRSA is not a claims made coverage carrier,
but is a coverage of Errors and Omissions and damage occuring during
the policy.
Mr. Dunn felt that the occurance was when the suit was filed in Federal
Court against PPL by Magnet Bank, but CIRSA was not convenienced. He
then reviewed some of the history of PPL's claim with the Council.
He stated he would proceed, if that was the Council's desire, to
defend the Town and also defend Tyree and Associates, which were
acting as the Town's inspector. He stated that he would file a
Motion or answer of whatever seems appropriate on behalf of both the
Town and Tyree & Associates, and would seek to recover attorney fees.
Mr. Dunn stated that FSLIC's Motion to dismiss the whole suit would
be heard January 29, 1987.
Next on the agenda was an update report on the Singletree Golf Course.
The Town Manager stated that he had talked to the Town Manager of Vail,
Ron Phillips. He stated that basically, he would offer to the Town of
Avon, that if the Town wanted to participate in the debt service of the
Golf Course, $13.64 for a round. The Town could buy into this system
and reserve time, and not be treated the same as the Vail Lodging
Community. If there was profit shown on the Golf Course, then the
figure would be reduced accordingly. Mr. James stated that he would
look into other alternatives if the Council desired.
This matter would be discussed at a scheduled work session.
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The Town Manager reported on the Christie Lodge Bus Service. Mr. James
stated that he and Norm Wood met with the new management company of
Christie Lodge, as well as, the president of the Homeowners Association.
He stated that the Town was unable to discontinue the bus service
because of a 1984 settlement. He stated that in 1982 Christie Lodge
and Avon Center agreed to buy one small bus, and make a contribution
to the Town. Christie Lodge did not pay for the bus, therefore, John
Dunn took them to court and they reached a settlement, that in 1984
they would pay on a schedule for that bus over a five year period.
Included in that settlement agreement was a clause that stated that as
long as they made their payments on the small bus, that the Town of
Avon would be required to provide bus service.
He stated that after the meeting with the management company and the
president of the Home:own:e(r:sr Association, they were willing to work with
the Town and try to resolve a solution in helping to finance a bus
system for Avon. They were also willing to try to collect the past due
assessment accounts.
Discussion Followed.
The Council suggested to stop the bus service to the Christie Lodge and
to allow the Breech of Contract of the agreement. The Town Attorney
stated that he would look at that suggestion and come back with some
alternatives.
Council agreed that there should be some settlement in two weeks or
action would be taken based on the upcoming meeting in two weeks.
Next on the agenda was the discussion of the Nuclear Free Zone Issue.
Council directed that staff draft an ordinance and that it be placed
on the agenda for the next Council Meeting.
Western Vail Valley Association and the Town's support for 1987 was then
presented to the Council.
This again was tabled for further discussion at a scheduled work session.
Antenna Site Sub-License Agreement was then brought before the Council.
Joe Olson stated that Vail Communications had agreed to cooperate with
the Town of Avon in an attempt to gain a site within the Town of Avon
for the use of one antenna in exchange for two repeaters for the Town.
He stated that the Town would not be charged for tower rental.
There were a couple minor changes to the agreement.
Third paragraph, 4th line, after the word, "Agreement", change to read,
"the licensee by these presents does grant a license unto the
Sub-Licensee", change "towers" to "antennas". In Section 1.Use of Site.
The 17th line, change "tower" to , "towers". After discussion Councilman
Watkins moved approval and authorized the signing of the Antenna Site
License Agreement and the Antenna Site Sub-License Agreement with the
noted changes. The motion was seconded by Councilman Connell and was
unanimously carried.
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The Town Manager stated that they were experimenting a new revised bus
service of West Beaver Creek Boulevard. He stated that about every
forty five minutes, a large bus would run West Beaver Creek Boulevard
and pick up riders, and bus them directly to the base of the ski
area. He stated that in the afternoons, anybody boarding the Avon
Bus would be transported down West Beaver Creek Boulevard to accommodate
the skiers. There would be no transfer.
The Mayor Pro Tem stated that in regard to the Vail Valley Foundation,
he had been lobbied by some.of the lodging community to indicate that;
1)some literature had been circulated and that Avon was never mentioned
in the brochures, even though Avon was contributing to the Foundation;
2)that an assortment of lodging representatives have attempted to get
on the lodging committee, that have met numorous times to date in
reference to the 1989 World Cup Championships and they have not
been successful in getting on the committee.
Discussion followed. It was suggested to possibly have a representative
from the Foundation appear before the Council to discuss these
concerns.
No action was taken.
The Financial Matters were next presented to the Council.
Councilman Connell moved approval of the General Fund of Accounts
Payable for January 27, 1987. The motion was seconded by Councilwoman
Harrison and was unanimously carried.
Councilman Connell moved approval of the Transit Fund of Accounts
Payable for January 27, 1987. The motion was seconded by Councilman
Watkins and was unanimously carried.
Councilman Connell moved approval of the Reconciliation Sheet of
Accounts Payable for January 27, 1987. The motion was seconded by
Councilwoman Harrison and was unanimously carried.
The minutes of the January 13, 1987 Council Meeting was next presented
to the Council. Councilwoman McRory moved approval of the January 13th
minutes as presented. The motion was seconded by Councilman Connell
and was unanimously carried.
The Town Manger stated that he had received a call from Joe Macy,
Vail Planning and Technical. He stated that Mr.M-acy was asking if the
Town of Avon would send a letter to the Executive Director of Natural
Resources supporting Cloud Seeding. It was indicated that the snowfall
was below average. Mr. James stated that Mr. Macy was not asking for
contributions, but was asking for support of the State funding monies
for the project.
The Council had concerns and stated they felt that more study needed to
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be done in regard to side effects of the Cloud Seeding.
There being no further business to come before the Council, Councilman
Connell moved to adjourn. The motion was seconded by Councilwoman
Harrison. The meeting was adjourned by Mayor Pro Tem Miller at
11:50 p.m.
APPROVED:
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