Minutes for July 28, 2026, City Council Meeting

July 23, 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 Sage Turner; Councilwoman Maggie Ullman; City Manager DK Wesley; City Attorney Brad Branham; and City Clerk Magdalen Burleson

Absent

Councilwoman Sheneika Smith

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 12:15 p.m., Mayor Manheimer adjourned the agenda briefing worksession.

July 28, 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; City Manager DK Wesley; City Attorney Brad Branham; and City Clerk Magdalen Burleson

Absent

Councilwoman Maggie Ullman

Pledge Of Allegiance

Mayor Manheimer led City Council in the Pledge of Allegiance.

Mayor Manheimer read a statement regarding Chamber decorum.

Mayor Manheimer commented on our community which is grieving from the double homicide.  No one should accept this in their community and we will continue to work in partnership with people to receive education, support, health care, and housing to be successful in life and have the greatest amount of opportunity.  

I.  Proclamations:

II.  Consent Agenda:

At the request of Councilwoman Roney, Consent Agenda “I” was removed from the Consent Agenda for discussion and/or an individual vote.

A. Approval of the combined minutes of the special meeting held on July 15, 2026; the agenda briefing worksession held on June 18, 2026, and the formal meeting held on June 23, 2026

B. Resolution Number 26-148 - Resolution authorizing an amendment to the Community Development Block Grant - Disaster Recovery subrecipient Agreement between the City of Asheville and the State of North Carolina Department of Commerce for the Renew NC Single-Family Housing Program to increase the total funding allocation from $3,000,000 to $22,200,000 - Resolution Book No. 46 - Page 412

C. Resolution Number 26-149 - Resolution authorizing the City Manager to enter into a Municipal Agreement with the N.C. Dept. of Transportation (NCDOT) for the waterline relocation cost reimbursement associated with NCDOT I-2513 AC Connector Projects (I-240 and I-26 between the I-40 / I-240 interchange and I-26 Exit 2) - Resolution Book No. 46 - Page 414

D. Resolution Number 26-150 - Resolution authorizing the City Manager to execute a contract with Austin Construction Co. for demolition of damaged facilities within the French Broad Riverfront Park; further authorizing the City Manager to execute any change order that may arise during the project up to the contingency amount - - Resolution Book No. 46 - Page 415

Ordinance Number 5241 - Budget amendment to  account for the federal and state funds the City will receive for the demolition within the French Broad Riverfront Park - Ordinance Book No. 37 - Page 60

E. Resolution Number 26-151 - Resolution authorizing the City Manager to enter into a donation agreement  to accept  a one-time donation in the amount of $13,000 from the Preservation Society of Asheville and Buncombe County to fund the repair and improvement of the City Hall Chimes - Resolution Book No. 46 - Page 416

Ordinance Number 5242 - Budget amendment to fund repair and improvement of the City Hall Chimes - Ordinance Book No. 37 - Page 61

F. Resolution Number 26-152 - Resolution authorizing the City Manager to amend the design contract with Progressive Architecture Engineering, P.C., for the Walton Street Park Improvement project; 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 417

G. Resolution Number 26-153 - Resolution authorizing the City Manager to enter into a design contract with Clark Nexsen a division of JMT, for the Linwood Crump Shiloh Community Center and Tempie Avery Community Center Improvement project; 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 418

H. Resolution Number 26-154 - Resolution authorizing the City Manager to ally and accept the 2025 Bulletproof Vest Partnership Grant from the United States Department of Justice - Resolution Book No. 46 - Page 419

Ordinance Number 5243 - Budget amendment to accept 2025 Bulletproof Vest Partnership Grant - Ordinance Book No. 37 - Page 62

Councilwoman Roney said that bulletproof vests are necessary equipment for our police department and we have always had the funding to purchase them. We still have budget priority and transparency issues. This year, she is voting to approve the grant because it is important to show that we are using every available opportunity to minimize the burden of property taxes on our residents. The City of Asheville still has budget, overtime, and serious public safety issues that require us to ensure we’re sending the right responder with the right tools and training during the serious issues our community faces around mental and behavioral health, substance use, and violence prevention. Not 2-4 people on staff, but an Office of Community Safety that matches the demand of our community needs.

I. Resolution authorizing the City Manager to accept the 2026 High Intensity Drug Trafficking Areas (HIDTA) Grant on behalf of the Asheville HIDTA branch and authorize the City Manager to execute all documents associated with the grant - Resolution Book No. 46 - Page 420

Budget amendment in the City’s Special Revenue Fund for the 2026 High Intensity Drug Trafficking Areas Grant - Ordinance Book No. 37 - Page 63

These items were removed from the Consent Agenda for discussion and/or individual votes.

J. Ordinance Number 5245 - Ordinance amending Chapter 15, Solid Waste Management, of the Code of Ordinances, to include nuisance motor vehicles as litter and align the City’s definition of litter with NC General Statute, effective upon adoption - Ordinance Book No. 37 - Page 64

K. Resolution Number 26-156 - Resolution authorizing the City Manager to submit a grant application in partnership with Buncombe County  to the North Carolina Department of Environmental Quality for a Multifamily Recycling Grant from the Solid Waste Management Outreach Program - Resolution Book No. 46 - Page 421

  1. Evaluate the City of Asheville’s existing solid waste management system and provide short- and long-term recommendations to improve and enhance the efficiency and quality of the system and increase waste reduction and diversion; and
  2. Improve and expand core services; and
  3. Implement waste reduction programs to meet Council’s goal of reducing municipal solid waste by 50% by 2035 (Resolution 14-27). 

L. Resolution Number 26-157 - Resolution authorizing the City Manager to execute a Municipal Agreement with the North Carolina Department of Transportation for the Inspection of Bridges on the Municipal Street System - Resolution Book No. 46 - Page 422

M. Resolution Number 26-158 - Resolution authorizing the City Manager to convey a portion of City-owned property located at 55 Hunt Hill Place to KL Training Solutions for the installation of a module school building - Resolution Book No. 46 - Page 423

N. Motion approving the Board of Alcoholic Beverage Control’s Travel Policy adopted January 26, 2016

Each year the N.C. ABC Commission, in compliance with Chapter 18-B700, Article 7, g (2), requires its 167 ABC boards to get annual approval of board travel policies from their appointing authorities.  Section g (2) of 18B-700 states, “The local board shall annually provide the appointing authority’s written confirmation of such approval…”.  The ABC Board approved the current policy on January 26, 2016.  In 2025, the ABC Board incorporated all the elements to changes in the City’s Travel Policy, and we made no changes to the current policy.

The ABC Board formally requests the City of Asheville’s written confirmation of the Asheville Board of Alcoholic Control Travel Policy.

O. Resolution Number 26-159 - Resolution appointing Bobby Smith as a member to the People and Environment Helene Recovery Board - Resolution Book No. 46 - Page 425

P. Monthly municipal property tax refunds or releases per North Carolina General Statute section 105-381

Mayor Manheimer asked for public comments on any item on the Consent Agenda, but received none.

Councilwoman Turner moved for the adoption of the Consent Agenda with the deletion of Consent Agenda Item “I”.  This motion was seconded by Vice-Mayor Mosley and carried unanimously.

Items Removed From The Consent Agenda For Individual Votes

I. Resolution Number 26-155 - Resolution authorizing the City Manager to accept the 2026 High Intensity Drug Trafficking Areas (HIDTA) Grant on behalf of the Asheville HIDTA branch and authorize the City Manager to execute all documents associated with the grant - Resolution Book No. 46 - Page 420

Ordinance Number 5244 - Budget amendment in the City’s Special Revenue Fund for the 2026 High Intensity Drug Trafficking Areas Grant - Ordinance Book No. 37 - Page 63

is eligible to manage this grant totaling $160,904.00.

Councilwoman Roney said that the ACLU has warned against HIDTA grants as continued funding for the failed war on drugs and unconstitutional, warrantless searches.

Our community expects proactive, relational responses to safety issues, violence prevention, and living wages so first responders including law enforcement can afford to live in the communities they serve. We know detectives have to do the work downstream, responding when violence and crime have already happened. But the City of Asheville has an opportunity to go upstream, to prevent crime and violence if we make it a budget priority. We have failed to do that. Recent budget cuts have included: strategic partnership funds for youth programming and weekend hours at recreational facilities, and community investments for violence prevention proven to work. She believed our staff have the resources and vision to get us moving in the right direction with Council support, until then, she will continue to use the lever she has  for accountability and that includes her vote on budget items like this.

Mayor Manheimer, along with Councilman Hess, spoke in support of this HIDTA grant.

Councilman Hess moved to adopt a resolution to accept the HIDTA grant on behalf of the Asheville HIDTA branch and authorize the City Manager to execute all documents associated with the grant; and adopt a budget amendment in the City’s Special Revenue Fund in the amount of $160,904.00.  This motion was seconded by Vice-Mayor Mosley and carried on a 5-1 vote, with Councilwoman Roney voting “no.”

III.   Presentations & Reports:

A. Manager’s Report - Draft Network of Asheville Rides Transit Comprehensive Operations Analysis

Director of Transportation Ashley Haire said that the direction from City Council in November of 2025 was to design a draft network with a shift towards ridership - current network:  50% overage, 50% ridership; draft network:  40% coverage, 60% ridership.  Also the direction was to prioritize coverage in areas with many low-income persons.  She then went through the network review timeline, noting after City Council consideration of the final plan for approval on August 25, that the earliest implementation of the final revised network could occur sometime in Fiscal Year 2028 (July 2027 or later).  

Assistant Director of Transportation Jessica Morriss reviewed the map of the existing network and the draft network.  Benefits of the draft network include (1) better schedules - route modified to improve on-time performance; (2) timed transfers at Asheville Rides Transit (ART) station - better synching of route arrivals and departures at transit center; and (3) higher frequency - Hillcrest, River Arts District, Patton Avenue, Biltmore/McDowell, and Hendersonville Road.  Tradeoffs of the draft network include the removal of coverage - Beaverdam; Grove Park Inn; Social Security Office; Kenilworth; MAHEC; outlets / Brevard Road south of Shelburne Road / Transformation Village; and West Haywood, between Brevard and Patton.  

With the draft network, she reviewed the pros and cons of the proximity to transit (within ½ mile).  The pros being (1) increases the number of people within ½ mile of frequent service (15-minute and 30-minute); and (2) eliminates 90-minute service.  A cons is that there is a slight increase to the number of people not within ½ mile of transit.  She then reviewed the change in job access - within 45 minutes using ART, the average resident can reach +10% jobs; the average low-income resident can reach +15% jobs; and the average household without a car can reach +11% jobs.  This 45-minute period includes all travel time from the front door to destination.  

She explained the draft network for Housing Authority properties is as follows:  (1) 15-Minute service (new) - Hillcrest, Maple Crest, and Aston Towers (via Hilliard); (2) 30-Minute service (same) - Pisgah View, Bartlett Arms, Erskine, Livingston, Walton, and Asheville Terrace; and (3) 60-Minute service (same) - Deaverview, and Klondyke.  

She then showed charts of the survey responses.  She outlined how the draft network was in alignment with other City policies.  She then reviewed the draft network 6-question survey.  What they heard regarding positive comments about the draft network are increased frequency and reduced wait times; increase in access; improved on-time performance and reliability; and timed transfers at the ART Transit Center.  Concerns expressed were loss of access to outlet mall / Brevard Road / Transformational Village; MAHEC; Social Security Office; West Haywood; and Omni Grove Park Inn.  

Staff is not asking for action today, but presented three options for consideration (1) Option 1 - Approve the draft network as proposed (staff recommendation); (2) Option 2 - Approve draft network with modifications to preserve access to any/all of: (a)  outlet mall / Brevard Road / Transformational Village (40 average daily riders); (b) MAHEC (11 average daily riders); (c) Social Security Office (8 average daily riders); or (d) West Haywood (34 average daily riders); and (3) Option 3 - maintain the current ART transit network.  

She said that staff’s recommendation is option 1 - to approve the draft network as proposed.  Staff’s recommendation is based on the following:  (1) overall improvements to system reliability, on-time performance, and transfers - enhancing customer experience; (2) expanded job access and overall access for lower income communities; (3) maintains and/or improves service to Housing Authority communities; (4) no more 90-minute routes and improved frequencies in higher-growth areas; and (5) supports Comprehensive Plan, Affordable Housing Plan, Missing Middle Study, Sustainability, and Economic Development goals.

She said that the Planning, Economic Development & Environment Committee (PEDE) did not make any specific recommendations or suggest any modifications regarding the proposed Draft Network.  PEDE requested staff bring the presentation to Council July 28 for further discussion.  PEDE also recommended that any Council decision on the Draft Network at the August meeting also include consideration of a resolution directing the City Manager to secure additional sustainable source(s) of funding for transit.

She said that staff will work with Jarrett Walker to prepare the Final Network Plan based upon the feedback provided by City Council at the meeting today.  Council will continue discussions with impacted groups/stakeholders.  On August 25, City Council will consider approval of Final Network Plan for approval and consideration of a resolution directing the City Manager to investigate additional sustainable source(s) of funding for transit. 

Throughout her presentation, Assistant Director of Transportation Jessica Morriss, along with Ricky Angueira, Principal of Jarrett Walker & Associates, responded to various questions/comments from Council, some being, but are not limited to: while our intention on the changes to the HACA communities are good, HACA residents are opposed to the changes; discussion regarding the survey not being statistically significant, noting that staff does surveys because it’s one of the data points we use to make a recommendation; need for more insight on why the city needs transit, i.e., reduction in traffic, etc.; assuming Mountain Mobility paratransit will continue on the routes we’ve cut;  can we get that in writing that we’re not going to lose the Americans with Disabilities accessible commutes when we cut the fixed route; need more information on how the City will budget for paratransit; what does it look like for us to press pause and see what Buncombe County’s study illuminates; advertising with sliders or audio advertising on buses; continue to seek solutions to make transit better, i.e., Asheville Transit Authority, work with the County, and more information on paratransit; request bus schedule when Code Purple is in effect; need to re-negotiate our partnerships with the Grove Park Inn and MAHEC; what is the drawback for having one big bus loop around the City; and suggestion to continue talks with MAHEC since they stopped their shuttle service when the City started providing a route to MAHEC.

Councilwoman Roney said that she had an update on the letter from local businesses back in November in support of frequency, but that was before the study was complete, survey was complete, or draft network plans were available. This week, she heard from a number of businesses on why they wish to be removed from the letter due to their concerns: that transit improvements and frequency are needed, but the news of the cuts to service and/or need for more information changed their position. Of the 31 businesses who originally signed, 11 businesses have signaled their request to be removed from the list, including those who asked their names to be removed from support: Chai Pani, Crucible, Ben’s Tune Up, Penny Cup, Anoche, and Olde London Road.  

Councilwoman Roney felt that we need more funding because our community really needs coverage and frequency, i.e., Transformation village on W2 - shelter for women and children, code-purple; health providers (MAHEC, only dialysis in the city limits, and social security); and hotel workers on W2 and our Passport Program partner Grove park that pays into our system - which is such a missed opportunity to engage and deepen funding partnerships.  She felt that Option 4 would be to adopt the coverage map.  The South Asheville frequency has been long-advocated and awaited. Timing efficiencies in the coverage map are adoptable, but pulling the thread in the direction of minor frequency upgrades within our existing budget risks existing riders accessing transit for work.

In response to Mayor Manheimer, Ms. Morriss said that the County is doing a study of their fixed routes but she didn’t know their timeline.

Discussion occurred regarding coverage cost to the 4 proposed service cuts (outlet/Brevard Road/Transformation Village; MAHEC; Social Security Office; and West Haywood, between Brevard and Patton); and the need for more robust private partnerships in our community, noting that each route backed back will have a separate tradeoff.

At 6:16 p.m. Mayor Manheimer called an emergency recess due to tornado recess, and at 7:04 p.m., Mayor Manheimer reconvened the meeting.

Thirteen individuals spoke in opposition or postponement of the draft network proposed by staff.

Four individuals spoke in support of the draft network proposed by staff.

Mayor Manheimer explained how it is incredibly difficult to get transit funding.  We will continue to explore a ¼ sales tax on transit, but it must be a County-wide referendum, so we will continue to work with the County on a strategy for a campaign to get buy-in from the voters in the County.  

When Councilwoman Roney was interested in seeing variable fixed routes, City Manager Wesley said she didn’t know how long it would take to provide that information.

Each Council member expressed their thoughts on the three options provided by staff on the draft network and their thoughts on adding in any of the proposed service cuts.

IV.   Public Hearings:

A. Public hearing to consider amending the conditional zoning of 301 E. Chestnut Street for the purpose of amending project conditions

Ordinance Number 5246 - Ordinance to amend the conditional zoning of 301 E. Chestnut Street - Ordinance Book No. 37 - Page 67

Principal Planner Will Palmquist said that this is the consideration to amend the conditional zoning of 301 E. Chestnut Street for the purpose of amending project conditions.  This public hearing was advertised on July 17 and 24 2026.

From staff report:

Summary of Petition:

Staff Recommendation:

Consistency with the Comprehensive Plan and Other Plans:

Living Asheville Comprehensive Plan (2018)

Compatibility Analysis:

Mr. Palmquist reviewed the existing and proposed zoning, the aerial imagery and the future land use map.  Regarding the background, (1) The existing conditional zoning ordinance (2018), and prior ordinance (2006), permitted the use of the site for a 16-room hotel; (2) The applicant is requesting an amendment to the existing conditional zoning on the site to allow for additional uses in conjunction with the existing hotel and restaurant uses; (3) There are no planned additions or expansions of the existing structure; and () All other relevant conditions from the existing conditional zoning are included in the new project conditions, including those relating to off-street parking, sidewalks, and landscaping.  The Project Conditions would allow for these land uses: A 16-guestroom hotel; Eating/drinking establishments; Dwelling units; Retail sales; Barber shops & beauty salons; and Special functions or events not to exceed 75 persons no more than four times per month.  The Planning & Zoning Commission voted unanimously to approve the project.  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 conditional zoning amendment.

Mayor Manheimer opened the public hearing at 8:36 p.m.

Ann McDonald said that she shares a driveway with the Princess Anne Hotel and adding more businesses downstairs at the hotel will require more parking.  The area streets are already congested with traffic.

Mayor Manheimer closed the public hearing at 8:39 p.m.

Councilwoman Turner moved to approve the conditional zoning request for the property located at 301 E. Chestnut St, zoned Institutional - Conditional Zone (INST-CZ), 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) Incentivizes redevelopment, especially mixed-use development that may contain housing, within identified transit-supportive centers; 2) Promotes adaptive reuse as a means of conserving materials, history, and embodied energy in buildings; and, 3) Encourages planning strategies that support the development of locally-focused neighborhood amenities, including restaurants, pubs, and other neighborhood services.  

This motion was seconded by Vice-Mayor Mosley and carried unanimously.

B. Public hearing to conditionally rezone 3862 Sweeten Creek Road from RM-16 Residential Multi-Family High Density to Residential Expansion - Conditional Zone.  

Ordinance Number 5247 - Ordinance to conditionally rezone 3862 Sweeten Creek Road from RM-16 Residential Multi-Family High Density to Residential Expansion - Conditional Zone - Ordinance Book No. 37 - Page 72

Planner III Sam Starr-Baum said that this is the consideration to conditionally rezone 3862 Sweeten Creek Road from RM-16 Residential Multi-Family High Density to Residential Expansion - Conditional Zone.  This public hearing was advertised on July 17 and 24 2026.

Project Site

Overall Project Proposal

Technical Modifications

Site Layout and Design

Access, Sidewalks and Parking

Landscaping / Open Space / Tree Canopy

Consistency with the Comprehensive Plan and Other Plans:

Living Asheville Comprehensive Plan (2018)

Compatibility Analysis:

Staff Recommendation:

Committee(s):

Mr. Starr-Baum reviewed the existing and proposed zoning, the aerial imagery and the future land use map.  He then reviewed the site plan, along with elevation drawings.  Regarding the project conditions, affordable housing is included in the Project:  all units (100%) will be designated affordable for a minimum of 20 years; and all units (100%) will be designated affordable to those earning 80% or less of Area Median Income (AMI) as established by HUD.  The Project includes technical modifications: (1) 6’ wide sidewalk with 8’ wide utility strip along the Sweeten Creek Road (US 25A) frontage. A sidewalk easement within the site frontage will be provided as needed; (2) 6’ wide minimum sidewalk internally to the site; and (3) Street trees along Sweeten Creek Road (US 25A) to be planted up to 40’ from the existing entry to avoid conflict with site visibility triangles.

He said that the applicant will lower the parking spaces to approximately 1.25 spaces per unit.  He said the Technical Review Committee approved the project with conditions.  The Planning & Zoning Commission voted 6-1 to approve the project.  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 conditional zoning.

Mr. Jesse Swords, attorney representing the applicant, said that future solar will depend on whether the funding is available.  They are preserving quite a bit of the  tree canopy.  He said that where their development is located on Sweeten Creek Road, their traffic may use other roads when entering and exiting their development.  He urged Council to support this conditional zoning.

In response to City Attorney Branham, Mr. Swords agreed to amend the condition that the project will comply with parking space requirements of Section 7-11-2 of the UDO, but shall have no more than 180 total spaces.

A representative from the civil engineering firm said that the development is at 15% of the minimum open space requirements.  

Mayor Manheimer opened the public hearing at 8:55 p.m.

Five individuals spoke in opposition to the conditional zoning mainly due to already congested traffic on Sweeten Creek Road, inadequate downstream stormwater management, and strain on existing infrastructure.

Mayor Manheimer closed the public hearing at 9:16 p.m.

Councilwoman Roney said that she has been consistent in voting for Sweeten Creek Road projects for so long, and she voted against some housing on this corridor because it’s at a tipping point.  She knew that housing like this would come and it preserves our tree canopy and it is affordable and supports workforce housing.  She knew it would be hard to support because we haven’t invested in the road that the State maintains.  She does have the same infrastructure concerns as she always has with Sweeten Creek Road; however, she also knows that we need this housing.

Councilwoman Turner agreed that we all love to fix the traffic on Sweeten Creek Road, but we also need affordable housing.

In response to Councilman Hess, a representative of the applicant said that they are a non-profit organization and their business model is to keep the units affordable for 40 years.

Councilwoman Smith moved to approve the conditional zoning request for the property located at 3862 Sweeten Creek Rd from Residential Multi-family High Density (RM-16) to Residential Expansion - Conditional Zone (RES EXP-CZ), and amending Condition 6 on Exhibit E to read as follows: "The Project will comply with parking space requirements of Section 7-11-2 of the UDO, but shall have no more than 180 total spaces.”; and finding 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) Prioritizes greater densities of development overall, throughout the city as appropriate; and 2) Increases the supply of housing, including affordable housing, in proximity to schools, transit and parks.  This motion was seconded by Councilwoman Turner and carried unanimously.

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

Ordinance Number 5248 - Ordinance to rezone 3 S. Tunnel Road from Urban Place to Regional Business - Ordinance Book No. 37 - Page 81

_____ Planner Vaidila Satvika said that this is the consideration to rezone 3 S. Tunnel Road from Urban Place to Regional Business.  This public hearing was advertised on June 12 and 19, 2026.  On June 23, 2026, this public hearing was continued to this date at the applicant’s request.

Summary of Petition:

Staff Recommendation:

Inconsistency with the Comprehensive Plan:



Image showing a before and after condition of a mall area where the before shows large parking areas and single story buildings while the after demonstrates a more interconnected grid of streets, mixed-use buildings, and street trees that support a walkable environment.

Compatibility Analysis:

Pro(s):

Con(s):

UDO District Comparison:

UDO Provision

Urban Place Form District (UP) - Existing

Regional Business (RB) - Proposed

Allowed uses:

  • Multi-Family
  • Limited public, institutional, and recreational uses
  • Office
  • Retail
  • Limited/restricted heavy equipment, motor vehicle, industrial uses
  • Multi-Family
  • Single-Family Detached
  • Limited public, institutional, and recreational uses
  • Office
  • Retail
  • Heavy equipment, motor vehicle, some industrial uses

Lot Size Minimum:

Min. 5,000 s.f.

None

Lot Width Minimum:

Min. 50’

Min. 100’

Building Height:

Max. 55-75’

Max. 80’

Building Setbacks:

Front: 0’, Side: 5’ min, Rear: 0’ min

Front: 35’, Side: None, Rear: 10’ min

Parking

Min: None
Max: Various, dependent on use

Min: None
Max: Various, dependent on use

Drive Thrus

Limited to one lane behind building

Permitted/unrestricted

Form Standards

Block dimensions, Build-to zone, Street-facing building length, Blank wall maximum distance, Interior sidewalks with trees, etc.

None.

Mr. Satvika reviewed the existing and proposed zoning, the aerial imagery and the future land use map.  He showed the street view of the property and said the parcel size is 40.88 acres.  Regarding the future land use designation, Town Center is described, in part, as “areas that are able to support strong growth as Asheville’s population continues to increase in the future…” and “ These areas include commercial areas with large surface parking fields, such as Asheville Mall and the Asheville Outlets. In these areas, residential uses are currently not a common component but should be a focus of future redevelopment in order to create vibrant town centers with various housing types and options…” It is a one-story mall structure and parking built in 1973 (Class C Commercial), totalling approximately 198,000 square feet (4.5 acres), and valued by tax assessment at approximately $91 Million.  The applicant is Asheville Mall Capital Holding LLC.  The Planning & Zoning Commission voted 4-3 to deny the project.  He then reviewed the zoning district comparison chart.  A pro is that it could be argued that any rezonings leading to property investment may be good for the city, at least in the short term, due to added tax revenue and the provision of updated goods and services.  Cons include (1) The proposed rezoning is inconsistent with Comprehensive Plan goals and the aims of the Urban Place Form District (UP); (2) Development not aligned with city plans would diminish the potential for realization of goals especially concerning given the site's scale and strategic location; (3) The rezoning would remove the mixed-use requirement, potentially leading more inefficient development without the provision of housing along a transit corridor; and (4) Eliminating UP requirements would perpetuate the negative impacts of suburban sprawl, such as reducing walkability and increasing the urban heat island effect. Regarding the compatibility analysis, the purpose of the Urban Place Form District (UP) district is, “to implement transit-supportive land use recommendations as proposed in Living Asheville, the city's comprehensive plan.”.

The proposed rezoning is incompatible with both the 2021 zoning map updates and the Comprehensive Plan’s vision for Town Centers. Specifically, it fails to advance the goal of transforming these larger, underutilized lots into higher-density, mixed-use centers.  By not supporting the intended secondary downtown model—which emphasizes increased housing variety, human-scaled design, transit support, and an interconnected, gridded street network—the proposal conflicts with the City’s established growth plan. He then explained how the proposed rezoning conflicts with the following goals in Living Asheville Comprehensive Plan (2018).  The proposed project does not: (1) Encourage Responsible Growth; (2) Increase Mixed Use Development Along Transit Corridors; (3) Promote Great Architecture and Urban Design to Enhance Placemaking; and (4) Make Streets More Walkable, Comfortable and Connected.  He said that staff concurs with the Planning & Zoning Commission and recommends denial of the proposed rezoning.

Throughout the discussion, Mr. Satvika and others responded to various questions/comments from Council, some being, but are not limited to:  what are the uses allowed in both districts, is there any mixed unit developments in Urban Place District; explanation of the lawsuit filed by Ingles which resulted in them not being subject to this zoning restriction; what other areas in the City has the Urban Place designation; confirmation that the applicant does not want to go through a conditional zoning process; suggestion that the Urban Place designation might be prohibiting development; should we wait until the Unified Development Ordinance re-write to make changes to the Urban Place District;

Councilwoman Roney said that when she went to the Mall it was busy and there were several local businesses located in the Mall.  She felt it’s a mistake not to have housing located on that property, and it does seem to her like we are downzoning this property.

Mr. Jesse M. Swords, attorney representing the applicant, said that they can do multiple drive-thrus by right now.  He explained how the developer wants to activate the sea of asphalt and the Urban Place zoning makes that unworkable.  They are asking that the property be rezoned back to the original Regional Business District.  He reviewed the current zoning map, along with a map of the preferred growth scenario.  He quoted Gerald Green from September 28, 2021, as saying “The challenge is how to get from the current reality of existing development patterns to the vision that the Urban Place Form District implements.  The draft ordinance does not address this challenge.  It attempts to move the development pattern from the current suburban standard to a highly urban standard in one giant step, irrespective of market forces, site constraints, and impacts on surrounding uses.”  “[Urban Place] will serve to stifle development rather than promote it.” He showed information regarding the street connectivity, along with a map of existing and proposed zoning review.  Section 7-7-8 (b) of the Code of Ordinances says “conditional zoning is available to any of the general zoning classifications enumerated in this chapter, except for those that require a master plan as part of the application…”  Back on September 28, 2021, Wyatt Stevens said “I suspect many folks would like to see these centers redeveloped, especially Innsbruck, with new buildings, new landscaping, new sidewalks - all of which would be required under the current zoning.  But a mandate which fails to take into account the characteristics of these sites, and attempts to require private property owners to build something they don’t want and that won’t work is doomed to fail.”  He urged Council to grant the rezoning.

Councilwoman Turner said that they put a lot of work into conditional zonings to get the right development on a parcel and agreed with Councilwoman Roney that this  feels like downzoning.  She felt this is a pivotal piece of property.

Mayor Manheimer opened the public hearing at 9:58 p.m.

David Nutter spoke in support of the rezoning as the Mall is deteriorating.

Mayor Manheimer closed the public hearing at 10:00 p.m.

Councilwoman Roney moved to deny the rezoning request for the property located at 3 South Tunnel Road from Urban Place Form District (UP) to Regional Business (RB) and find that the request is unreasonable, is not in the public interest, is not consistent with the city’s comprehensive plan and does not meet the development needs of the community in that the request: 1) Proposes a zoning district that differs from the vision outlined in the City’s comprehensive plan, and 2) Does not fully reflect the community's goal of transitioning this key growth area into a more walkable, transit-friendly neighborhood with a mix of housing and businesses.  This motion was seconded by Councilwoman Turner and failed on a 2-4 vote, with Mayor Manheimer, Vice-Mayor Mosley, Councilman Hess and Councilwoman Smith voting “no.”

Vice-Mayor Mosley  moved to approve the rezoning request for the property located at 3 South Tunnel Road from Urban Place Form District (UP) to Regional Business (RB) 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) May bring investment and any associated goods or services to the Asheville Mall and South Tunnel Road community–a targeted area for growth–to bolster economic activity; and (2) Has the potential to bring jobs and goods or services to a corridor supported by transit, thereby leveraging the City’s transit investments to increase mobility. This motion was seconded by Councilman Hess and carried on a 4-2 vote, with Councilwoman Roney and Councilwoman Turner voting “no.”

V. Unfinished Business:

VI.  New Business:

A. Resolution Number 26-160 - Resolution approving the Home Repair Policy, and allocate $3 million of 2024 Affordable Housing Bond funds for the Home Repair Program -  Resolution Book No. 46 - Page 426

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

resolution approving the Home Repair Policy, and allocate $3 million of 2024 Affordable

Housing Bond funds for the Home Repair Program.

Background:

Key Policy Components:

The Home Repair Policy was written with an emphasis on preventing displacement and addressing the most vulnerable households, while remaining flexible to ensure the program reaches as many households as possible.  

Project Timeline:        

Affordable Housing Advisory Committee Review

Note:  All but the final recommendation have been incorporated into the final proposed policy 

Recommended City Investment:  Staff recommends investing $3 million in bond funds for the Home Repair program.

Review of 2024 Affordable Housing Bond Investment

Program/Project

Amount

Previously Allocated

Date of Council Allocation

WNC Affordable Housing Loan Fund

 $10 million

Sept 9, 2025

319 Biltmore - Phase I

  $1.5 million

June 24, 2025

Oak Hill Development

  $1.6 million

June 23, 2026

Home Repair Allocation, if approved

   $3 million

July 28, 2026

Total Allocated to Date

$16.1 million

2024 Bond Funding Amount Remaining

$3.9 million

Available HTF balance (non-bond funds)

$1.1 million

Analysis Summary:

Committee(s):  

Fiscal Impact:  

Ms. Vrtunski provided the following key takeaways from her presentation:  (1) Staff and

the Affordable Housing Advisory Committee have been working towards a Home Repair

policy since December, 2025; (2) The policy was created with an eye towards simplicity

and flexibility; (3) Home Repair is one of the Anti-Displacement strategies outlined in the

Affordable Housing Plan and is part of the Anti-Displacement Affordable Housing

(ADAH) project;; (4) Affordable Housing Advisory Committee (AHAC) made their

recommendations at their May 14, 2026 meeting and (5) Staff is recommending adoption

of the Home Repair Policy and an allocation of $3 million for home repair out of the 2024

Bond Funds.  

She provided the home repair background as follows:  (1) Anti-Displacement Strategy

- Home repair was identified in the Affordable Housing Plan as a key strategy to help

combat displacement in vulnerable neighborhoods; (2) TS Helene Response

Deployed - $1.465M of returned bond funds quickly for storm-related repairs. 52 households served: 40% at or below 30% AMI; 40% at  31% - 50% AMI; and 20% at 51% - 80% AMI; and (3) Policy Development - The Affordable Housing Advisory Committee convened to develop a home repair policy, using data, provider feedback, and peer program analysis to form recommendations.

She then reviewed the policy requirements and priorities as follows:

Baseline Requirements

Program Priorities

🗹    Household income must be  80% AMI

🎯  Low-income  60% AMI

🗹   Principal residence occupancy, with no other residences owned (Listing on heirs property will not disqualify applicant).

🎯  Vulnerable populations: Seniors, families with children, persons with disabilities.

🗹   Five-year residency requirement. Exemptions may be granted for TS Helene damage.

🎯  Long-term homeowners facing involuntary displacement

🗹  Property tax value capped at $1 million.

🎯  Geography:  Neighborhoods identified as vulnerable to displacement.

Ms. Vrtunski then outlined the eligible activities - Health, safety, and critical repair needs; Accessibility modifications, (ramps, grab bars, etc); Weatherization and energy-efficiency improvements; Manufactured housing units are eligible; and Emergency repairs when necessary (for immediate health or safety concerns).  Ineligible activities include:  Repairs to non-primary residences or homes outside of city limits; Cosmetic improvements or upgrades that are not required to meet habitability; New construction of additional dwelling units; Reimbursement for work performed prior to approval; and Homeowner labor costs or sweat-equity reimbursement.

The following are assistance terms:  (1) The maximum assistance available per home is $40,000; (2) Awards up to $25,000 will be provided as grants; (3) Awards over $25,000 will be structured as 0% interest, deferred, forgivable loans for repairs of $25,000 or more, up to $40,000; (4) Loans will be forgiven in full if the homeowner remains in the home for 5 years after project completion - loan amount to be reduced by 20% per year until fully forgiven in year 5; and (5) The forgivable loan may be transferred to a new and verified income-qualified household, including income-qualified family members.

Regarding the home repair policy timeline, the release of call for proposals is in August, 2026; and the selection process is in the August-September timeframe.

The Affordable Housing Advisory Committee (AHAC) held 3 meetings (December 2025 to March 2026) to learn about, gather data on, and reflect on home repair programs. On May 14, AHAC met to discuss a draft policy brought forward by Affordable Housing staff.  The Committee recommended several changes: Lengthening the lien period for forgivable loans to 5 years; Making the forgiveness period occur over time (20% forgiveness each year); Capping the value of homes at $1 million; Enabling waivers of the home occupancy period of 5 years in cases of storm damage; and Moving the priority for Homes occupied by seniors, families with children, or persons with disabilities to a requirement.  Note:  All but the final recommendation have been incorporated into the final proposed policy  

She reviewed the 2024 Affordable Housing Bond investment:

Program/Project

Amount Previously Allocated

Date of Council Allocation

WNC Affordable Housing Loan Fund

$10 million

 September 8, 2025

319 Biltmore - Phase I

$ 1.5 million

 June 24, 2025

Oak Hill Development

$1.6 million

 June 23, 2026

Home Repair Allocation, if approved

$3 million

 July 28, 2026

Total Allocated to Date

$16.1 million

2024 Bond Funding Amount Remaining

$3.9 million

Available HTF balance (non-bond funds)

$1.1 million


The analysis summary is that available data and estimates show a strong need for home repairs for lower-income homeowners:  (1) The AHAC  heard data gathered from tax records indicating that up to 4,000 homes may need repairs (including home ownership and rental units); (2) The 2024 Housing Needs Assessment estimated that approximately 20% of homeowners in the city limits are cost-burdened (2023).  Cost-burdened homeowners are less likely to be able to keep their homes in good repair; and (3) The 2024 Housing Needs Assessment also showed that 57% of homeowners live in homes built before 1970.   The City has also invested $177,000 of steady-state CDBG funds in urgent home repair with Habitat.  The City’s past $1.465 investment in home repair was made in 2 grants to ARCHR - The two grants served a total of 52 families with repair projects averaging $25,355 per household; and Of those 52 households, 21 households (40%) were at or below 30% of area median income (AMI); 21 households (40%) had incomes between 31% and 50% AMI, and 10 households (20%) had incomes between 51% and 80% AMI; With a $3 million investment, 68-108 homes could be repaired, depending on repair costs.  More households could be assisted depending on project costs; and Bond funds are an ideal source for smaller-scope home repairs because they do not have the same requirements as federal funds.

Staff recommends the adoption of the Home Repair policy; approving a $3 million allocation from the Affordable Housing Bond funds for the Home Repair Program.

Ms. Vrtunski responded to Councilwoman Turner when she asked about capping the value of homes at $1 million.

When Mayor Manheimer asked for public comments, none were received.

Councilwoman Roney moved to approve the Home Repair Policy and allocate $3 million of the Affordable Housing Bond dollars to home repair.  This motion was seconded by Councilwoman Turner and carried unanimously.

B.  Resolution Number 26-161 - Resolution supporting a comprehensive approach to minimizing displacement, supporting stability in neighborhoods adversely affected by and sensitive to local government action, private development, gentrification, and housing affordability - Resolution Book No. 46 - Page 431

Assistant City Manager Ben Woody said that this is the consideration of a resolution

supporting a comprehensive approach to minimizing displacement, supporting stability in

neighborhoods adversely affected by and sensitive to local government action, private

development, gentrification, and housing affordability.  

Background:

Mr. Woody provided the resolution timeline, along with the resolution outline as follows:

(1) Commitment to neighborhood stability: protect neighborhoods from displacement

and support residents who wish to remain in their homes; (3) Addressing past harms:

acknowledge the substantial harm caused to some individuals and neighborhoods

through actions such as redlining, urban renewal, zoning actions, and the lack of

protections in the face of development pressures that lead to displacement; (3)

Data-drive framework: use objective data to identify areas most vulnerable to

displacement and to guide mitigation solutions; (4) Comprehensive policy integration:

assess existing housing tools, explore new policy-based protections, and incorporate

anti-displacement measures into planning, zoning, and development review processes;

and (5) Community focused engagement: prioritize community engagement and

evaluation with particular attention to populations most vulnerable to displacement,

including renters, low-income residents, and homeowners on fixed incomes.  He said the

draft resolution was developed based on ADAH stakeholder engagement, examples

from other cities, and review of the Missing Middle and Affordable Housing plans.  The

Framework Development was to identify areas particularly sensitive to displacement

and loss of neighborhood identity as a result of past harms and development pressures.

The operational assessment is to assess City tools and programs, while identifying

additional strategies to strengthen anti-displacement protections.


Vice-Mayor Mosley said that the Legacy Neighborhood Coalition felt that there weren't sufficient measurable outcomes, so she suggested language be included in the resolution
that the development of the organization's strategic plan including measurable milestones, expected outcomes, and a reporting structure.

Three individuals spoke in support of the anti-displacement resolution, with one comment noting the lack of a timeline for implementation.

Vice-Mayor Mosley moved to adopt a resolution supporting a comprehensive approach to minimizing displacement and supporting stability in neighborhoods and directing the City Manager to develop a framework to identify those areas within the city which are particularly sensitive to displacement and loss of neighborhood identity and to design a strategy and operational improvements to balance the need for additional housing options while protecting those communities most at risk of displacement, and to incorporate the directions of this resolution into the development of the organization's strategic plan including measurable milestones, expected outcomes, and a reporting structure.  This motion was seconded by Councilwoman Roney and carried unanimously.

VII.  Informal Discussion And Public Comment:

Individuals spoke to City Council about various matters, some being, but are not limited to:  parking concerns on private property; and concerns over the renovations of the ballfield and playground at Weaver Park.

VIII.  Adjournment:

Mayor Manheimer adjourned the meeting at 10:54 p.m.

_____________________________

Esther E. Manheimer, Mayor

_____________________________

Magdalen Burleson, City Clerk

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