Minutes for June 23, 2026, City Council Meeting

June 18, 2026, Agenda Briefing Worksession - 11:00 a.m.

Present

Mayor Esther E. Manheimer, Presiding; Vice-Mayor S. Antanette Mosley; Councilman Bo Hess; Councilwoman Kim Roney; Councilwoman Sheneika Smith; Councilwoman Sage Turner; Councilwoman Maggie Ullman; City Manager DK Wesley; Deputy City Attorney Jannice Ashley; and City Clerk Magdalen Burleson

Summary

City Council held an agenda briefing worksession to discuss the upcoming and future agenda items.  In addition, City Council reviewed upcoming City Council committees that will be taking place during the next two weeks.  

Discussion occurred on the following other issues and updates:  

At 12:54 p.m., Mayor Manheimer adjourned the agenda briefing worksession.

June 23, 2026 - Regular City Council Formal Meeting - 5:00 p.m

Present

Mayor Esther E. Manheimer, Presiding; Vice-Mayor S. Antanette Mosley; Councilman Bo Hess; Councilwoman Kim Roney; Councilwoman Sheneika Smith; Councilwoman Sage Turner; Councilwoman Maggie Ullman; City Manager DK Wesley; City Attorney Brad Branham; and City Clerk Magdalen Burleson

Pledge Of Allegiance

Mayor Manheimer led City Council in the Pledge of Allegiance.

Mayor Manheimer read a statement regarding Chamber decorum.

I.  Proclamations:

Mayor Manheimer read the proclamation proclaiming July 2026, as "Asheville Parks and Recreation Month " in the City of Asheville.  She presented the proclamation to Parks & Recreation Director D. Tyrell McGirt, and others, who thanked City Council for this recognition.  Ms. Gladys Drey was also introduced as the 2nd place winner in the 2026 art budget cover book contest!

II.  Consent Agenda:

A. Approval of the combined minutes of the agenda briefing worksession held on June 4, 2026, and the formal meeting held on June 9, 2026

B. Resolution Number 26-116 - Resolution authorizing the City Manager to enter into a three-year contract with ESRI, Inc. for GIS software, support, and licensing - Resolution Book No. 46 - Page 367

C. Ordinance Number 5228 - Budget amendment from Buncombe County for annual Historic Resources program funding allocation - Ordinance Book No. 37 - Page 42

D. Resolution Number 26-117 - Resolution authorizing the City Manager to sign an amendment to the Regional Air Quality Program Interlocal Agreement with Buncombe County to amend termination provisions - Resolution Book No. 46 - Page 368

E. Resolution Number 26-118 - Resolution to permit the possession and consumption of malt beverages and/or unfortified wine at the Independence Day Block Party on July 4, 2026 - Resolution Book No. 46 - Page 369

Resolution Number 26-119 - Resolution to permit the possession and consumption of malt beverages and/or unfortified wine at the Boomtown Arts & Heritage FestAVL on September 4-6, 2026 - Resolution Book No. 46 - Page 372

Resolution Number 26-120 - Resolution to permit the possession and consumption of malt beverages and/or unfortified wine at the Blue Ridge Pride Festival on September 26, 2026 - Resolution Book No. 46 - Page 375

Resolution Number 26-121 - Resolution to permit the possession and consumption of malt beverages and/or unfortified wine at the Surreal Sirkus Arts festival on October 24, 2026 - Resolution Book No. 46 - Page 378

Resolution Number 26-122 - Resolution to permit the possession and consumption of malt beverages and/or unfortified wine at Asheville Veganfest on October 25, 2026 - Resolution Book No. 46 - Page 381

F. Ordinance Number - 5229 - Budget amendment in the City’s Internal Services Funds to allocate insurance recovery revenue received in Fiscal Year 2025-26 to fund health insurance and workers’ compensation claims expenses- Ordinance Book No. 37 - Page 43

G. Ordinance Number - 5230 - Budget Amendment to the Fiscal Year 2025-26 Water Resources Fund budget, in the amount of $16 Million, to account for the refunding of debt -  Ordinance Book No. 37 - Page 44

H. Resolution Number 26-123 - Resolution authorizing the City Manager to execute a contract amendment with Carolina 1926 LLC d/b/a Carolina Cat for rental equipment utilized by various departments - Resolution Book No. 46 - Page 384

I. Resolution Number 26-124 - Resolution authorizing the City Manager to execute a contract amendment with Herc Rentals Inc. for rental equipment utilized by various departments - Resolution Book No. 46 - Page 385

J. Resolution Number 26-125 - Resolution authorizing the City Manager to enter into a contract with B. Allen Construction, Inc. for site work necessary to allow construction of a temporary skating rink; and further authorizing the City Manager to execute any change orders that may arise during the project up to the contingency amount - Resolution Book No. 46 - Page 386

Ordinance Number 5231- Budget amendment to transfer Community Development Block Grant (CDBG) funds from the CDBG Fund to the General Capital Projects Fund for the construction of a temporary skating rink -  Ordinance Book No. 37 - Page 45

K. Resolution Number 26-126 - Resolution authorizing the City Manager to execute an amendment to the Construction Manager at Risk contract with Frank L. Blum Construction Company for the Guaranteed Maximum Price for construction of the Municipal Building Capital Repairs and Restoration project - Resolution Book No. 46 - Page 387

L. Resolution Number 26-127 - Resolution authorizing the City Manager to execute a contract amendment with Terracon Consultants, Inc. for additional professional services on the Municipal Building Capital Repairs & Restoration project - Resolution Book No. 46 - Page 388

M. Resolution Number 26-128 - Resolution authorizing the City Manager to enter into a professional services contract with Perkins + Will North Carolina Inc., for the Eagle and South Market Street Enhancement Design Services - Resolution Book No. 46 - Page 389

N .Resolution Number 26-129 -  Resolution authorizing the City Manager to enter into a contract with Batson-Cook Construction and Sizemore Group for the 179 S Charlotte Street Upfit - Resolution Book No. 46 - Page 390

O. Resolution Number 26-130 - Resolution authorizing the City Manager to approve Cooperative Contracts for Axon Fleet purchases for new vehicle upfits, utilizing the pricing offered through the active Charlotte Cooperative Purchasing Alliance,  OMNIA or Sourcewell Cooperative - Resolution Book No. 46 - Page 391

P. Resolution Number 26 -131 - Resolution authorizing the City Manager to enter into a mutual aid agreement for fire protection services with Buncombe County - Resolution Book No. 46 - Page 392

Q. Resolution Number 26-132- Resolution authorizing the City Manager to apply to the North Carolina Department of Environmental Quality Blueprint Project for grant funding in the amount of up to $1 million for the Burton Street Neighborhood Stormwater Improvements Project; to accept said grant if awarded, and execute all necessary grant agreements and documents upon award - Resolution Book No. 46 - Page 393

R. Resolution Number 26-133 - Resolution authorizing the City Manager to enter into a contract with  ECS Southeast LLC for Tropical Storm Helene design and engineering services for one of three City-wide Landslide recovery projects (Project A) for landslides that impacted City infrastructure; and further authorizing the City Manager to execute any change orders that may arise during the project up to the contingency amount  - Resolution Book No. 47 - Page 394

Ordinance Number 5232 - Budget Amendment for Tropical Storm Helene design services with  ECS Southeast LLC for one of three City-wide recovery Landslide projects, to add federal and state funds to the General Capital Projects Fund - Ordinance Book No. 37 - Page 46

S. Resolution Number 26-134 - Resolution authorizing the City Manager to enter into a contract with Kimley-Horn & Associates, Inc.for Tropical Storm Helene design and engineering services for one of three City-wide Landslide recovery projects (Project B) for landslides that impacted City infrastructure; and further authorizing the City Manager to execute any change orders that may arise during the project up to the contingency amount  - Resolution Book No. 47 - Page 395

Ordinance Number 5233 - Budget Amendment for Tropical Storm Helene design services with Kimley-Horn & Associates, Inc. for one of three City-wide recovery Landslide projects, to add federal and state funds to the General Capital Projects Fund - Ordinance Book No. 37 - Page 47

T. Resolution Number 26-135 - Resolution authorizing the City Manager to enter into a contract with Catawba Valley Engineering and Testing, PC for Tropical Storm Helene design and engineering services for one of three City-wide Landslide recovery projects (Project C) for landslides that impacted City infrastructure; and further authorizing the City Manager to execute any change orders that may arise during the project up to the contingency amount  - Resolution Book No. 47 - Page 396

Ordinance Number 5234 - Budget Amendment for Tropical Storm Helene design services with Catawba Valley Engineering and Testing, PC for one of three City-wide recovery Landslide projects, to add federal and state funds to the General Capital Projects Fund - Ordinance Book No. 37 - Page 48

U. Resolution Number 26-136 - Resolution authorizing the City Manager to enter into a contract with Rummel, Klepper & Kahl, LLP for Tropical Storm Helene design and engineering  services for City-wide roadway and sidewalk repairs;  and further authorizing the City Manager to execute any change orders that may arise during the project up to the contingency amount - Resolution Book No. 46 - Page 397

Ordinance Number 5235 - Budget Amendment forTropical Storm Helene design services with Rummel, Klepper & Kahl, LLP  for City-wide roadway and sidewalk Repairs to add federal and state funds to the General Capital Projects Fund - Ordinance Book No. 37 - Page 49

V. Resolution Number 26-137 - Resolution authorizing the City Manager to enter into a contract with HDR Engineering Inc. of the Carolinas for the Fiscal Year 2026 Design Curb Ramps for Resurfacing  Project - Resolution Book No. 46 - Page 398

W. Resolution Number 26-138 - Resolution authorizing the City Manager to amend a contract with Hagerty Consulting, Inc. for recovery management services from Tropical Storm Helene - Resolution Book No. 36 - Page 399

Ordinance Number 5236 - Budget Amendment to fund the Hagerty Consulting Inc. contract amendment from Tropical Storm Helene - Ordinance Book No. 37 - Page 50

X.  Resolution Number 26-139  - Resolution in support of the Leonard Antonelli, Jacob Hill and Alex Rozos Bicycle Safety Zone Act of 2025 (“Lennie’s Law”) - Resolution Book No. 46 - Page 400

Mayor Manheimer read the following resolution:  Whereas, the City of Asheville is committed to promoting the safety, health, and well-being of all residents and visitors, including those who utilize public roadways for cycling and other forms of active transportation; and Whereas, Western North Carolina is home to a vibrant and growing cycling community, with many roadways—particularly in and around Asheville —serving as popular and heavily trafficked cycling routes; and Whereas, on July 1, 2025, Leonard Antonelli (“Lennie”, age 27) and Jacob Hill (“Jake”, age 32) were tragically killed, while Griffin Tichenor was injured, when a commercial vehicle crossed the center line and struck them during a weekly group cycling ride near Asheville, North Carolina; and Whereas, on July 18, 2024,  Alex Rozos,age 26, died after being hit while riding on Swannanoa River Road near the intersection with South Tunnel Road; and Whereas, this tragic crash underscores the urgent need for enhanced roadway safety measures to protect cyclists and prevent future loss of life; and Whereas, the proposed Leonard Antonelli, Jacob Hill and Alex Rozos Bicycle Safety Zone Act of 2025, also known as “Lennie’s Law,” seeks to establish designated Bicycle Safety Zones on popular cycling routes across North Carolina, where stricter enforcement of posted speed limits and increased penalties for violations would apply; and Whereas, “Lennie’s Law” proposes a practical, cost-effective approach—modeled after school zone safety measures—that is non-invasive to private property owners and existing roadways, including the installation of clear signage designating bicycle safety zones to increase driver awareness and accountability; and Whereas, data consistently identify excessive speed as a leading contributing factor in vehicle-cyclist collisions, and enhanced enforcement mechanisms can play a critical role in reducing such crashes; and Whereas, local leaders and advocates have expressed support for the concept of bicyclist safety zones as a proactive step toward improving roadway safety; and Whereas, regional partners, including the French Broad Metropolitan Planning Organization and the North Carolina Department of Transportation, are actively evaluating strategies to improve safety along key corridors further demonstrating the need for coordinated action; and Whereas, the City of Asheville recognizes that safer roadways benefit all users, including motorists, cyclists, and pedestrians, and contribute to a more livable, connected, and resilient community; Now, therefore, be it resolved by the City Council of the City of Asheville that:  (1) The City of Asheville formally expresses its strong support for the establishment of a law that increases awareness and consequences for speeding on designated roadways that meet prescribed criteria for bicycle safety; (2) The City supports collaboration with state and regional agencies to identify and designate appropriate Bicycle Safety Zones within and near Asheville, based on data, community input, and demonstrated need; (3) The City encourages the North Carolina General Assembly to adopt this legislation to enhance cyclist safety through the establishment of Bicycle Safety Zones and increased penalties for speeding violations within those zones; and (4) The City honors the memory of Leonard Antonelli, Jacob Hill and Alex Rozos and recognizes this legislation as a meaningful step toward preventing future tragedies.

Maddie Barondeau, fiancee of Leonard Antonelli, and Adam Smith, friend of Leonard Antonelli, shared their story of the crash and thanked City Council for their support of “Lenny’s Law” and to do whatever they can to help with road safety.

Councilwoman Roney moved for the adoption of the Consent Agenda.  This motion was seconded by Councilwoman Ullman and carried unanimously.

III.   Presentations & Reports:  None.

IV.   Public Hearings:

A. Public hearing to rezone 99999 Deaverview Road from RM-8 Residential Multi-Family Medium Density to RM-16 Residential Multi-Family High Density.

Ordinance No. 5237- Ordinance to rezone 99999 Deaverview Road from RM-8 Residential Multi-Family Medium Density to RM-16 Residential Multi-Family High Density - Ordinance Book No. 37 - Page 51

Principal Planner Will Palmquist said that this is the consideration to rezone  99999 Deaverview Road from RM-8 Residential Multi-Family Medium Density to RM-16 Residential Multi-Family High Density.  This public hearing was advertised on June 12 and 19, 2026.

Project Location and Contacts:

Summary of Petition:

Staff Recommendation:

Consistency with the Comprehensive Plan and Other Plans:

Living Asheville Comprehensive Plan (2018)

Compatibility Analysis:

Committee(s):

Pro(s):

Con(s):

UDO District Comparison:

UDO Provision

Residential Multi-Family Medium Density (RM-8) - Existing

Residential Multi-Family High Density (RM-16) - Proposed

Allowed uses:

  • Multi-Family
  • Single-Family Detached
  • Duplex
  • Townhouse
  • Accessory Dwelling Unit
  • Cottage Development
  • Limited public, institutional, and recreational uses
  • Multi-Family
  • Single-Family Detached
  • Duplex
  • Townhouse
  • Accessory Dwelling Unit
  • Cottage Development
  • Limited public, institutional, and recreational uses

Density:

2 units for first 4,000 SF lot area and an additional unit for each additional 1,000 SF of lot area

2 units for first 2,500 SF lot area and an additional unit for each additional 1,000 SF of lot area

Lot Size Minimum:

Min. 4,000 s.f.

Min. 2,500 s.f.

Lot Width Minimum:

Min. 40’

Min. 40’

Building Height:

Max. 40’

Max. 40’

Building Setbacks:

Front: 15’, Side: 6’ min, Rear: 15’ min

Front: 15’, Side: 6’ min, Rear: 15’ min

Parking

Standard (1 per unit typically)

Standard (1 per unit typically)

Mr. Palmquist reviewed the existing and proposed zoning, the aerial imagery and the future land use map.  The Planning & Zoning Commission voted unanimously to approve the project.  He then reviewed the zoning district comparison chart, along with the pros for the rezoning.  He then explained how the project was consistent with the Living Asheville Comprehensive Plan.  He said that staff concurs with the Planning & Zoning Commission and recommends approval of the proposed rezoning.

Mr. Palmquist responded to Councilwoman Turner when she asked if we have any responsibility for access.

Mayor Manheimer opened the public hearing at 5:39 p.m., and when no one spoke, she closed the public hearing at 5:39 p.m.

Councilwoman Ullman moved to approve the rezoning request for the property located at 99999 Deaverview Rd from Residential Multi-Family Medium Density (RM-8) to Residential Multi-Family High Density (RM-16) and find that the request is reasonable, is in the public interest, is consistent with the city’s comprehensive plan and meets the development needs of the community in that the request: 1) Promotes zoning policies to encourage more housing; and, 2) Supports contextually appropriate infill development and a variety of housing types. This motion was seconded by Councilman Hess and carried unanimously.

B. Public hearing to rezone 3 S. Tunnel Road from Urban Place to Regional Business.  

At the applicant’s request, Councilwoman Turner moved to continue this public hearing until July 28, 2026.  This motion was seconded by Councilman Hess and carried unanimously.

C. Public hearing on moratorium on new data center development.

Ordinance Number 5238 - Moratorium for New Data Center Development - Ordinance Book No. 37 - Page 55

Assistant Planning & Urban Design Director Chris Collins said that this is a public hearing and consideration of an ordinance for a moratorium on new data center development.  This public hearing was advertised on June 12 and 19, 2026.

Mr. Collins said that the following are the key takeaways from his presentation:  (1) Data Centers have been shown to produce intensive impacts on local electric and water utilities and may pose significant impacts to neighboring properties; (2) The City currently lacks a definition for this land use as well as concrete policies, strategies and tools to effectively manage the impacts of these uses; (3) Lack of direction resulting in uncertainty for developers, staff and community members; and (4) The City needs sufficient time to study this land use and zone for it appropriately.

He said the need for the moratorium is (1) to effectively respond and provide some level of certainty and to determine locations and special standards for this use, City needs to create a land use definition, enhance its land use policies, tools and strategies to better regulate this land use; and (2) consideration of new data center development applications should be suspended to provide the time needed to determine impacts and remedies.  This moratorium would apply to any new development, use, or change of use that would reasonably fall under NAICS Code 518210 (Data Processing, Hosting, and Related Services), or any facility functionally equivalent to such uses.  This moratorium would not apply to data processing equipment or server rooms that are clearly incidental and subordinate to a permitted principal use so long as such data processing activities are not offered as a primary service to off-site users.

City Attorney Branham said the North Carolina law allows cities such Asheville to place a temporary moratorium on certain development approvals required by law.  They must have a valid purpose, and definition of the affected approvals. The duration must be reasonable, and may not exceed time needed to address the issue. Alternative courses of action are inadequate. The ordinance must show the City's remediation schedule/actions.  The purpose of our moratorium is to allow for development of regulations for this particular land use in order to mitigate unforeseen and disproportionate negative impacts of data centers.  The U.S. Supreme Court has suggested durations over a year will warrant skepticism.  Planning & Urban Design staff propose a 4 phased approach resulting in new regulations for review and consideration by City Council and its advisory boards and committees.  The process is that (1) Initial review by the City Council PEDE Committee; Legal notices have already been published; (2) Required City Council public hearing already published); (3) Required City Council public hearing -  June 23; (4) Council may act to adopt the ordinance at the same meeting; and (5) If adopted, it would be effective immediately.  

City Attorney Branham said that the legal summary is (1) The City may impose a moratorium on data center development; (2) Duration should be 1 year or less; (3) Council must conduct a public hearing, and adopt an ordinance; (4) Time to be used to develop a policy for future data center applications; and (5) Any data center with a pre-existing vested right will be unaffected.  

Mr. Collins then reviewed the planned actions for Phase 1 - research and development; Phase 2 - selected engagement; Phase 3 - ordinance drafting; and Phase 4 - hearing and adoption.

When Councilwoman Roney said as noted in Planning, Economic Development and Environment Committee, the list in the NAICS code 518210 includes virtual currency mining a/k/a cryptocurrency in its list of 32 uses, she wanted to have staff confirm on the record in this meeting that we’re including the full list including cryptocurrency mining.  Mr. Collins replied that is correct.  

Councilwoman Roney appreciated staff responding to issues with demand on electric and water infrastructure, heat and land use priorities. As she noted in Planning, Economic Development and Environment Committee, her research on this shows the need subject matter experts in baseline measurements for noise, not just dbA but also dBC (measurement of vibrations) and dBG or infrasound–sound waves below 20 hZ that may not be audible to humans but can have health impacts like nausea and headaches for those who live and work in close proximity.  Right now, the County regulations only measures up to 55 dba.  She realized we will get in the weeds during the moratorium, but wanted to ensure that noise is on the record for this meeting in addition to electricity, water, and heat.

Mayor Manheimer opened the public hearing at 5:53 p.m.

Five individuals spoke in support of the moratorium on new data centers.

One individual felt that the moratorium is a long time to close the door negotiations for real money and community benefits to help our community.

Councilwoman Turner said she was interested in learning more about micro-nodes and whether we will allow them.

Mayor Manheimer spoke in support of the moratorium, noting that the cost of building a new plant is extremely expensive and borne by the taxpayers.  She felt the time will allow us to put in measures to address our concerns and time for the state legislature to consider some changes to make the environment in North Carolina better.

Mayor Manheimer closed the public hearing at 6:10 p.m.

Councilwoman Turner moved to adopt an ordinance enacting a one-year development moratorium on data centers, as the City currently lacks a definition for or proper land use regulation for data centers, has exhausted other options for regulating data centers and the one-year time period is needed in order for the City to formulate and draft proper land use definitions and regulations for the use.  This motion was seconded by Councilwoman Roney and carried unanimously.

V. Unfinished Business:

A. Resolution Number 26-140 - Resolution authorizing a Substantial AmendmenT

to the Community Development Block Grant - Disaster Recovery (CDBG-DR)

Action Plan to reallocate $19,200,000 in CDBG-DR funding to the CDBG-DR

Single-Family Home Repair Program, amending the CDBG-DR Affordable

Multi-Family Housing Construction Program budget to $18,800,000 and the

Infrastructure budget to $115,000,000, bringing the Single-Family Home Repair

Program's budget total to $22,200,000 - Resolution Book No. 37 - Page 402

Mayor Manheimer said that this public hearing was held on June 9 2026, and no

further public comment would be accepted.

Recovery Coordinator Bridget Herring said that this is consideration of a resolution

authorizing a Substantial Amendment to the Community Development Block Grant -

Disaster Recovery (CDBG-DR) Action Plan to reallocate $19,200,000 in CDBG-DR

funding to the CDBG-DR Single-Family Home Repair Program, amending the CDBG-DR

Affordable Multi-Family Housing Construction Program budget to $18,800,000 and the

Infrastructure budget to $115,000,000, bringing the Single-Family Home Repair

Program's budget total to $22,200,000.

From staff report:

AMI Range

Household Criteria

Program Phase & Priority

Household Count

0–60% AMI

Child, Elderly, or Disabled

Phase 1/Priority 1

87

0–60% AMI

Other Eligible Households

Phase 1/Priority 2

21

60–80% AMI

Child, Elderly, or Disabled

Phase 2/Priority 1

6

60–80% AMI

No Child, Elderly, or Disabled

Phase 2/Priority 2

3

81–120% AMI

Child, Elderly, or Disabled

Phase 4/Priority 1

30

Under Review

Pending Final Determination

TBD

5

Committee(s):

Ms. Herring reviewed the timeline of this substantial amendment.  The public input

summary was (1) Overall support to fund single family home repair, infrastructure

projects and new multi-family development; (2) Opposition to utilizing CDBG-DR funds

for single family home repair; (3) Concern over CDBG-DR and Renew NC requirements

that result in more costly home repairs; (4) Concern about housing availability for

displaced residents; (5) Concern over moving funds that are already secured to fulfill

other needs; and (6) Preference to utilize CDBG-DR funds for multi-family development.

Recovery Boards input is as follows:  (1) June 3, 2026 – Housing Recovery Board:

Reviewed proposed $9.2M reallocation from the Affordable Multi-Family Construction

Program to Single-Family Home Repair Program (a) Motion not to support reallocation

passed 6–4; and (b) Board unanimously recommended pursuing state-level CDBG-DR

housing recovery funds to support eligible households and reduce pressure on City

funds; and (2) June 23, 2026 – Infrastructure Recovery Board: Reviewed proposed

$10M reallocation from the Infrastructure Program to Single-Family Home Repair

Program - Motion to support reallocation ended in a tie 5-5.

Regarding the Single Family Home Repair, (1) Estimated $32M gap in single-family

home construction costs due to Helene; (2) Without additional CDBG-DR funding, many

RenewNC applicants may not receive support through a City-funded program; and (3)

$3 million for home repair from 2024 Affordable Housing Bond insufficient to serve

added demand from Helene.  See chart below:

Prioritization of Eligible Applicants

AMI Range

Household Criteria

Program Phase & Priority

Household Count

0–60% AMI

Child, Elderly, or Disabled

Phase 1/Priority 1

87

0–60% AMI

Other Eligible Households

Phase 1/Priority 2

21

60–80% AMI

Child, Elderly, or Disabled

Phase 2/Priority 1

6

60–80% AMI

No Child, Elderly, or Disabled

Phase 2/Priority 2

3

81–120% AMI

Child, Elderly, or Disabled

Phase 4/Priority 1

30

Under Review

Pending Final Determination

TBD

5

Total

152

Regarding Multi-Family Housing, (1) Refined staff’s original substantial amendment

recommendation to expand support for affordable multi-family housing; (2) Allocated

additional CDBG-DR funding to shovel-ready multi-family projects in response to

demonstrated demand beyond the City issued $10M Notice of Funding Opportunity

(NOFO); and (3) City Council approved $17,890,000 to support development of 331

affordable housing units - District East Commons: 93 units; 319 Biltmore Ave (B): 112

units; and Terrace at River Hills: 126 units.

Regarding infrastructure, (1) City pursuing multiple funding sources to strengthen water

system resilience; and (2) Progress Indicators Include: (a) $10M NC DEQ State

Revolving Fund loan secured for North Fork infrastructure project;; (b) $260M NCEM

Hazard Mitigation Grant application submitted to FEMA (April 2026); first phase

estimated at $10M; and (c) Permanent pretreatment system at DeBruhl Water Treatment

Plant deemed eligible for FEMA Public Assistance, currently estimated at $25M.

She said that regarding the state partnership and collaboration, (1) Collaboration with

RenewNC to provide additional support to program participants through program

improvements, information sharing while balancing privacy protections and resource

sharing; (2) Collaboration with GrowNC and Governor Stein’s office to lobby Federal

partners for additional funding and educate funding partners on unmet need in Asheville

and WNC; (3) Direct advocacy with FEMA and Federal Delegation to advance obligation

of funds through the FEMA Public Assistance program and private property acquisitions

through HMGP; (4) Coordinated conversations with NCEM to improve competitiveness

of City’s applications and move to FEMA Region 4 for review; (5) Funding opportunities

through State grants: (a) Small Business Infrastructure Grant - $2.4 Million for Biltmore

Village Sidewalks; and (b) Helene Local Government Capital Grants Program - $2.5 for

Recreation Park Reconstruction; and (6) Coordination of Federal Dignitary visits to raise

awareness and knowledge of Asheville’s specific recovery needs.

Ms. Herring then reviewed the following proposed action regarding the reallocation of

CDBG-DR resources:

CDBG-DR Program

Original Allocation

Change

Amended Allocation

Housing: State of North Carolina Reconstruction and Rehabilitation (R&R) Program

$     3,000,000

  • $19,200,000

$   22,200,000

Housing: Affordable Multi-Family Construction Program*

$   28,000,000

  •    $9,200,000

$   18,800,000

Infrastructure

$ 125,000,000

  •  $10,000,000

$ 115,000,000

CouncilwomanTurner moved to authorize the City Manager to submit an amendment to the CDBG-DR Action Plan to reallocate $19,200,000 to the Single Family Reconstruction with $9,200,000 from the Multi-Family Housing Construction Program and $10,000,000 from the Infrastructure Program, update the Unmet Needs Assessment and mitigation needs assessment to reflect new data. This motion was seconded by Vice-Mayor Mosley and carried on a 6-1 vote, with Councilman Hess voting “no.”

VI.  New Business:

A. Resolution Number 26-141 - Resolution authorizing the City Manager to enter into a Development and Sales Agreement with 29 Oak Hill LLC for sale city-owned property and the development of 42 affordable townhomes for home ownership at 29 Oak Hill Drive and allocate $1.6 million of 2024 Affordable Housing Bond funds for a construction loan and down payment assistance -  Resolution Book No. 46 - Page 404

Ordinance Number 5239 - Budget amendment to transfer $1,600,000 from the General Capital Projects Fund to the Housing Trust Fund for 29 Oak Hill LLC - Ordinance Book No. 37 - Page 58

Affordable Housing Officer Sasha Vrtunski said that this is the consideration of a

resolution authorizing the City Manager to enter into a Development and Sales

Agreement with 29 Oak Hill LLC for sale of city-owned property and the development of

42 affordable townhomes for home ownership at 29 Oak Hill Drive and allocate $1.6

million of 2024 Affordable Housing Bond funds for a construction loan and down

payment assistance; and adoption of a budget amendment to transfer $1,600,000 from

the General Capital Projects Fund to the Housing Trust Fund.

From staff report:

Oak Hill Proposal Summary:

Project Timeline:        

Neighborhood Concerns

Phasing of Units by Income:

Phase 1

Phase 2

Phase 3

Phase 4

Phase 5

Phase 6

Total

At or Below

80% AMI Units

4

0

4

0

2

0

10

100% AMI Units

0

4

0

4

0

2

10

110% AMI Units

4

4

4

4

4

2

22

Total Units

8

8

8

8

6

4

42

City Investment Cycle:

Analysis Summary:

Committee(s):  

Fiscal Impact:  

Ms. Vrtunski said the following are the key takeaways from her presentation (1) staff is

bringing forward a development deal for City-owned property at 29 Oak Hill in West

Asheville; (2) after a Request for Proposals (RFP) process, the City selected partnership

of Eden Rock Enterprises and Dr. Stephen Martin to develop the site; (3) the proposed

project would build 42 townhomes on City property affordable to households at or below

80% to 110% AMI; and (4) in addition to the land, the City would loan $1.6 million to the

developer for construction, and $750,000 would stay in the development for down

payment assistance in the form of silent second mortgages.  She then used maps to

review the property location.

Regarding the background (1) as part of the 2016 affordable housing bond initiative, the

City embarked on developing City-owned land for affordable housing; (2) in 2018, the

City of Asheville acquired 29 Oak Hill for $ 450,000 with Affordable Housing Bond

dollars; (3) the property is 3.72 acres and is located off New Leicester Highway,

approximately 0.6 miles north of the Patton Avenue/New Leicester Highway intersection

(PIN #9629-90-2093); (4) in June 2023, the City convened a meeting with the Oak Hill

neighborhood.  At that meeting, staff shared information about the City’s property at 29

Oak Hill Drive; (5) staff heard from neighbors that they are concerned about

development on the site.  Increased traffic was the most emphasized concern, as there

is already substantial cut-through traffic in the neighborhood.  Since that meeting, the

City has added speed humps to Oak Hill Drive to slow traffic; (6) the site's zoning is

RM-16, which allows for more units and multifamily units; (7) the site was previously

used as a lot for towed cars and as a dumping ground for large tree stumps and other

natural materials; (8) the City completed geotechnical analysis and soil testing on the

site. Due to soil debris, it is not financially feasible to build larger, multi-story structures

on the site. The property is better suited to single-family homes, duplexes, townhomes,

or mobile homes; (9) in the June 2025, the City released a RFP for a developer to build

housing with a minimum percentage of affordable units, in accordance with our Policies

for Implementing Affordable Housing on City-Owned Land; (10) Three proposals were

submitted - the selection process resulted in a partnership with Eden Rock Builders,

which has also purchased land at 67 Oak Hill Drive; (11) in September 2025, staff

presented a plan for Affordable Housing Bond funding that included approximately $1.5

million for the development at Oak Hill; (12) the developer acquired 67 Oak Hill in 2025,

which created an opportunity for a greater number of homes (70 units on both parcels);

and (13) the City signed a Letter of Intent with 29 Oak Hill, LLC in April 2026, and

continued negotiations with the developer.

Ms. Vrtunski then reviewed the Oak Hill proposal summary as follows: (1) The project

will have 42 townhomes on the City-owned land (a) 10 homes affordable to households

at or below 80% AMI; (b) 10 homes affordable to households at or below 100% AMI; and

(c) 22  homes affordable to households at or below 110% AMI; (2) Townhomes will be 3

bedroom units, approximately 1200 sf; (3) The affordability period will be 20 years,

ensured by deed restrictions that run with the land; (4) The land will be sold to the

developer for a nominal price ($1.00); (5) A Housing Trust Fund loan for $1.6 million for

the construction of the homes, which will be paid back at the end of each phase of

development, and re-loaned for the next set of homes; (6) At the end of construction on

29 Oak Hill, the City will be paid back $850,000 and $750,000 will be used for down

payment assistance; (7) Down payment assistance:  $50,000 of City funds per

household at or below 80% AMI; $25,000 of City funds per household at or below 100%

AMI; Repayment will occur at sale with shared appreciation, so the City can help the

next homeowner with those repaid funds; and It is anticipated that home buyers will

need additional assistance with home purchases.  Down payment assistance could

come from banks or other sources; (8) The developer will also build 28 market-rate

townhomes on 67 Oak Hill, which is not a part of this affordable housing deal; and (9)

The development will be united as 1 development (affordable and market-rate homes),

with streets built to City standards. She then reviewed the site plan.

The following is the project timeline:

Phase

Timeline/Target

Key Outcome

Approval Process

June – Sept 2026

Securing zoning and technical approvals to start construction.

Site Work and Infrastructure

Fall-Winter 2026

Site prep and infrastructure installation.

Vertical Build

Late 2026 – 2028

6-phase rollout of 42 homes.

Full Completion

30 Months

Delivery of all 42 mixed-income units.

The following is the phasing of units by income:

Phase

1

Phase

2

Phase

3

Phase

4

Phase

5

Phase

 6

Total

 ≤ 80% AMI

4

0

4

0

2

0

10

 ≤ 100% AMI

0

4

0

4

0

2

10

 ≤ 110% AMI

4

4

4

4

4

2

22

 Total Units

8

8

8

8

6

4

42

The last chart Ms. Vrtunski reviewed was the sales price and down payment assistance

shown below:

Units

Area

Median Income

Construction Cost

Max Mortgage (for AMIs)

Estimated Sales Price*  

Gap for down payment assistance

10

≤ 80%

$300,000

$255,461

$325,000

$80,000

10

≤ 100%

$300,000

$352,955

$355,000

$25,000**

22

≤ 110%

$300,000

$398,261

$378,000

$0.00

*    Sales prices may change based on construction costs

**   Gap also includes closing costs.  City will fund $50,000 for 80% AMI units and $25,0000 on 100% AMI  units.  Down payment assistance only be what is needed by the household to purchase the house.

She said the following are neighborhood concerns:  (1) approximately 25 people

attended the Neighborhood Meeting in May; (2) the main concerns expressed were

about current and future car traffic.  The neighborhood experiences a lot of cut-through

traffic from drivers heading to the Emma community, or looping around to go east on

Patton Avenue or north on North Louisiana Avenue; (3) staff is working on some basic

traffic analysis and will be able to weigh in through the Technical Review process; and

(4) the additional connectivity through the site will mean that new residents of this project

are highly unlikely to use the most trafficked part of Oak Hill Drive, where residents have

experienced significant negative effects from cut-through traffic.

The analysis summary is as follows:  (1) the City will gain 42 new affordable housing

units for 20 years; (2) the "silent second" loans (down payment assistance) and deed

restrictions will ensure that City investments stays bound to the homes, or returns to the

Housing Trust Fund upon resale; (3) approval of the proposal will allow the developer to

proceed with the Conditional Zoning process this summer (2026) and begin construction

this fall; (4) staff has worked with an experienced consultant who has confirmed this is

an advantageous deal for the City and the community; (5) the proposal aligns with other

current projects regarding subsidies and costs; and (6) homeownership for

moderate-income households is very difficult to accomplish and this project is a timely

opportunity for the City to develop its land.

Staff’s recommendation is (1) approval of the sale of City-owned land for 20 affordable

townhomes for households at or below 80% and at or below 100% of the Area Median

Income and 22 townhomes affordable to households at or below 110% of the Area

Median Income; and (2) the approval of a $1.6 million Housing Trust Fund loan using

2024 Affordable Housing bond dollars for construction and down payment assistance for

the project.  

The Housing and Community Development met on June 16, 2026.  The committee discussed a desire to make some townhomes available to households at or below 60% AMI.  A substantial amount of down payment assistance would be required to fund the gap with current interest rates.  Several ideas were floated for exploration:  Housing Authority vouchers for home ownership, lower interest rates, and smaller unit footprints.  The suggested motion was amended to potentially expand the project's affordability levels to include 60% AMI units (exact wording below).  The Committee voted: 3-0 in favor. The motion voted on by HCD was “move to recommend that the Asheville City Council authorize the City Manager to negotiate and enter into a Development and Sale Agreement with 29 Oak Hill LLC for the development of the City’s property at 29 Oak Hill Drive, to include 20 townhome units affordable for 20 years to households earning 60% to 100% of Area Median Income, and 22 units affordable to households at 110% of AMI.   Additionally, we recommend that City Council approve a $1.6 million construction loan to 29 Oak Hill LLC, a portion of which will convert to down payment assistance at the sale of the homes for 60% to 100% AMI.”  Staff is working with the developer to explore options to achieve greater affordability and will report the options to Council on June 23.

When Councilwoman Smith asked if this land is seen as a Brownfield, could

they apply to the State’s Brownfield Redevelopment Program to be able to help with the

affordability.  Ms. Vrtunski said that she did discuss that with the engineers, but she

knows it’s a very long drawn out process.

In response to Councilwoman Turner, Ms. Vrtunski said that we have $551,000 invested

in the land.

In response to Mayor Manheimer, Ms. Vrtunski said that if there is any change, i.e.,

costs, it will come back to City Council, and since this will also come back to City Council

for a conditional zoning request, that can also be addressed at that time, along with

traffic information.

Councilwoman Turner hoped the developer will be able to work in some 60% AMI units.

Three individuals spoke in opposition to this development due to the current and future vehicle traffic with cut-through and speeding through the neighborhood.

 

Councilwoman Roney said that since she and Councilwoman Turner are members of the Metropolitan Planning Organization, she felt they could reach out to them about the N.C. Dept. of Transportation corridors and help residents understand where residents should be directing their energy regarding concerns.  

Ms. Vrtunski said that she has met with the City’s Transportation Engineer regarding the list of concerns sent by the neighborhood to see what safety data we can gather to help make an argument to the state about traffic, and the need for a traffic light.

Councilwoman Ullman moved to authorize the City Manager to negotiate and enter into a Development and Sale Agreement with 29 Oak Hill LLC for the sale and development of the City’s property at 29 Oak Hill Drive, to include 10 townhome units affordable to households earning at or below 80% AMI, 10 townhome units affordable to households at or below 100% of AMI, and 22 units affordable to households at or below 110% of AMI where all units will be affordable for a period of 20 years.   Additionally, the City Council approves a $1.6 million construction loan to 29 Oak Hill LLC, a portion of which will convert to down payment assistance at the sale of the homes at or below 80% and at or below 100% AMI; and adoption of a budget amendment to transfer $1,600,000 from the General Capital Projects Fund to the Housing Trust Fund.  This motion was seconded by Councilwoman Turner and carried unanimously.

B. Boards & Commissions

Due to no applications received for the Asheville-Buncombe Riverfront Commission and the Board of Electrical Examiners, it was the consensus of Council for the City Clerk to re-advertise for the vacancies.

Regarding the Neighborhood Advisory Committee, it was the consensus of Council to delay appointment.

Resolution Number 26-142 - Resolution appointing a member to the African American Heritage Commission - Resolution Book No. 46 - Page 406

Vice-Mayor Mosley said that this is the consideration of appointing a member to the African American Heritage Commission.  

The term of ShaLinda Pruitt will expire on July 1, 2026.  

The following individuals applied for the vacancies:  Jackson Daniel Courson, Kimberly D. Jackson and Bobby Smith.

Staff recommends Bobby Smith for appointment.  The Vice-Chair did not provide a recommendation.

Councilwoman Roney moved to appoint Bobby Smith to a term lasting until June 30, 2027, or until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.   This motion was seconded by Councilman Hess and carried unanimously.

Resolution Number 26-143 - Resolution appointing a member to the Buncombe County Tourism Development Authority - Resolution Book No. 46 - Page 407

Vice-Mayor Mosley said that this is the consideration of appointing a member to the Buncombe County Tourism Development Authority (TDA).

The term of Lucious Wilson (restaurant owner, owner of a brewery, distillery, or winery open for tours or tastings, or executive director of a ticketed arts organization) expires August 31, 2026.  

Two individuals applied for the vacancy, but both were ineligible.

The TDA Board Development Committee recommended Lucious Wilson for reappointment.

Councilwoman Ullman moved to reappoint Lucious Wilson (restaurant owner, owner of a brewery, distillery, or winery open for tours or tastings, or executive director of a ticketed arts organization) ) to a full three-year term, term lasting until August 31, 2029, or until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.  This motion was seconded by Councilwoman Smith and carried unanimously.

Resolution Number 26-144 - Resolution appointing a member to the Design Review Committee - Resolution Book No. 46 - Page 408

Vice-Mayor Mosley said that this is the consideration of appointing a member to the Design Review Committee..

Christine Roush (at-large representative) resigned thus leaving an unexpired term until June 30, 2027.  

The following individuals applied for the vacancies:  Robert Brown, Shawn Patrick Escobar, Emile Rose McKakin, Kelsey Morrow, Julie O’Dwyer, Cassidy Santander, Cecilia Smith and Justin Roberto Thorn.

Chair of the Design Review Committee believes the board could benefit from more landscape/site expertise, stating that the board has general users and real estate/developer voices. His recommendations, in ranked order, are: Justin Roberto Thorn (landscape, works for CDC); Shawn Patrick Escobar (lots of traffic, civil, site review); and Mrs. Kelsey Morrow (planning, form design, etc.).  Staff agree with the chair’s recommendations, saying it would be appropriate to include another architect on the committee given that the design guidelines, as currently written, are very focused on building architecture. They also suggest that having at least one female or non-male member on the committee would be an important consideration to show closer representation of City demographics. Suggest adding Emili McMakin, Julie O'Dwyer, and Cecilia Smith to the list of names being considered.

Councilwoman Turner moved to appoint Justin Roberto Thorn (at-large representative) to fill the vacancy left by Christine Roush, with a term lasting until June 30, 2027, or until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.   This motion was seconded by Councilman Hess and carried unanimously.

Resolution Number 26-145 - Resolution appointing a member to the Greater Asheville Regional Airport Authority - Resolution Book No. 46 - Page 409

Vice-Mayor Mosley said that this is the consideration of appointing a member to the Asheville Regional Airport Authority.

The term of Brad Galbraith will expire on July 1, 2026.  

The following individuals applied for the vacancies:  Douglas James Enevoldsen, Lawrence F.J. Keating and Shantelle Simpson.

Staff and Chair recommend Dr. Shantelle Simpson for appointment.

Councilwoman Roney moved to appoint Dr. Shantelle Simpson to a term lasting until July 1, 2026, and then a full four-year term, term lasting until July 1, 2030, or until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.   This motion was seconded by Councilwoman Turner and carried unanimously.

Resolution Number 26-146 - Resolution appointing members to the Historic Resources Commission - Resolution Book No. 46 - Page 410

Vice-Mayor Mosley said that this is the consideration of appointing members to the Historic Resources Commission.

Amy Gharst has resigned thus leaving an unexpired term until July 1, 2028.  In addition, the terms of Leslie Humphrey and Will Hornaday’s terms expire July 1, 2026.  

The following individuals applied for the vacancies:  William E. Kirby, William Margulis, Jane Mathews, Richard Mattson and Antonio Prieto.

Chair and staff recommend  Leslie Humphrey for reappointment and recommend Antonio Prieto, Jane Mathews, and Richard Mattson equally for the other two current vacancies.

Councilwoman Ullman moved to reappoint Leslie Humphrey to serve a three-year term, term lasting until July 1, 2029, or until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.   This motion was seconded by Councilwoman Turner and carried unanimously.

Councilman Hess moved to appoint (1) Jane Mathews to fill the vacancy left by Amy Gharst, with a term lasting until July 1, 2028; and (2) appoint Richard Mattson to serve a three-year term, term lasting until July 1, 2029.  All appointments are until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.   This motion was seconded by Councilwoman Smith and carried unanimously.

Resolution Number 26-147 - Resolution appointing members to the Planning & Zoning Commission - Resolution Book No. 46 - Page 411

Vice-Mayor Mosley said that this is the consideration of appointing members to the Planning & Zoning Commission..

The terms of Jane Bell, Jonathan Anzollitto and Lindsay Broughel expire on August 14, 2026.  

The following individuals applied for the vacancies:  Jayne Benjamin Alenier, Liz Avery, Randall Barnett, Brandon Bryant, Scott Burroughs, Mike Thomas Carpenter, Joseph John Chesler, Seth Armstrong Connelly, Will Deter, Matthew Doran, Jason Hambley, Evar Hecht, Christopher Horton, Julie O’Dwyer, Evan Patrick Quirk-Garvan, Micah Rogers, David Russell, Robert Sack, Jo Sesodia, Michael Speciale and Kyle Turner.

Chair and staff recommend Jonathan Anzollitto, Jane Bell, and Lindsay Broughel for reappointment.

Councilwoman Turner moved to reappoint Jane Bell, Jonathan Anzollitto and Lindsay Broughel to each serve a three-year term, terms lasting until August 14, 2029, or until a successor has been appointed or unless modified by Council action.  Notwithstanding the foregoing, all members shall serve at the pleasure of Council, and may be removed at any time with or without cause.   This motion was seconded by Councilwoman Roney and carried unanimously.

VII.  Informal Discussion And Public Comment:

Ms. Christina Dupuch thanked City Council for the designated site for the pickleball courts and offered their partnership services.

VIII.  Adjournment:

Mayor Manheimer adjourned the meeting at 7:20 p.m.

_______________________________

Esther E. Manheimer, Mayor

_______________________________

Magdalen Burleson, City Clerk

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