020107 Council Meeting
January 7, 2002
The regular scheduled meeting of Mayor and Council was held at Smyrna City Hall. The meeting was
called to order by presiding officer Mayor A. Max Bacon at 7:30 o’clock p.m. All council members were
present. Also present were Interim City Administrator Chris Corey, City Clerk Kellie Barber, City
Attorney Scott Cochran, and representatives of the press.
st
Invocation was given by Dr. Steven Kimmel of 1 Baptist Church of Smyrna, followed by the pledge to the
flag.
CITIZENS INPUT:
Mayor Bacon recognized Mr. Bill Lnenicka of the Veterans’ Memorial Association who discussed the
groundbreaking ceremony scheduled for January 12 as well as general information about the progress of
the Veterans’ Memorial project, including the availability of pavers to veterans of all conflicts. Mr.
Lnenicka introduced COL Ron Davis, U.S. Army (retired), who furnished details regarding the planned
groundbreaking ceremony.
Mayor Bacon recognized Ms. Martha Hendricks who expressed appreciation to Detective Jeter and other
members of the Smyrna Police Department for the courtesy and professionalism shown to her in connection
with a theft complaint last December 7.
PUBLIC HEARINGS:
(A) Privileged License Request for a Retail Pouring (Liquor, Beer and Wine) License for EL Reventon
Restaurant, Bar and Grill 3282 South Cobb Drive, new application.
Mr. Corey stated that El Reventon Restaurant Bar and Grill has submitted an application for a retail
pouring license for liquor, beer and wine with Maria S. Diaz as the registered agent. Mayor Bacon stated
that this is a public hearing and asked for public comment. There was none.
Council Member Hawkins asked Ms. Diaz if she had ever had a pouring license or experience in an
establishment where alcohol was served and was answered in the negative. Council Member Hawkins
asked Ms. Diaz if she had had training in this field and she answered no. Council Member Hawkins asked
if any such training was in progress and was answered that steps were being taken to provide training and
that a training program is in place. Council Member Hawkins asked Ms. Diaz if she had read the pertinent
ordinance and she responded in the affirmative. Council Member Hawkins pointed out that the City’s
ordinance may differ from similar ordinances in other jurisdictions. Council Member Hawkins asked Ms.
Diaz if she can abide by the ordinance and if she will actually be on the premises and was answered in the
affirmative by persons identified as the owners. The owners were identified as Lillian Diaz, sister of the
applicant, and a Mr. Cardenas. Council Member Hawkins stated that servers will be required to undergo
fingerprinting and that a background check on the applicant disclosed no issues that would preclude
issuance of a pouring license. Council Member Scoggins asked if live music would be performed on the
premises and Mr. Cardenas advised that some live music was planned for Sundays but that there are no
plans for dancing.
Council Member Hawkins made a motion to approve the retail pouring license for El Reventon restaurant,
and the motion was seconded by Council Member Scoggins. Motion was approved 7-0.
(B) Extension of Apartment Moratorium from January 3, 2002 until July 3, 2002.
Mr. Corey stated the six-month extension of the apartment moratorium, which the City has had in place for
a number of years, is in keeping with the Comprehensive Plan objective of trying to maintain a proper
balance of residencies in the City of Smyrna and that the existing apartment moratorium expires on January
3, 2002. Mayor Bacon stated this is a public hearing and asked for public comment. There was none.
Council Member Newcomb advised that some years back a study was made by John Moeller and Rich
Gordon regarding housing in the City and it was determined that Smyrna’s population density was high and
that the number of persons living in rental property was disproportionately large and that steps were needed
to help maintain a proper balance. Council Member Newcomb cited the results of a recent census to
underscore the need for continuing the moratorium. Council Member Newcomb confirmed with City Clerk
Kellie Barber that the proposed extension had been appropriately advertised.
Council Member Newcomb made a motion to approve extension of the apartment moratorium until July 3,
2002, and the motion was seconded by Jim Hawkins. Motion was approved 7-0.
(C) Privileged License Request – Pawnbroker’s License – Titlewave #3 of Georgia, Inc. – 4499 South
Cobb Drive, Suite 1 – New Application
Mr. Corey stated Titlewave #3 has submitted an application for a pawnbroker’s license with Christopher M.
Quigley as the registered agent. Mr. Corey advised Mr. Quigley has been given a copy of the Pawnbrokers
Ordinance, and the Business License Officer has gone over the guidelines with him and he has indicated
that he will follow the City’s ordinances if he is granted the license. Mayor Bacon stated this is a public
hearing and asked for public comment. Several persons came forward and were sworn in for comment.
January 7, 2002
2
Council Member Lnenicka asked Mr. Quigley to provide the audience with some information concerning
the business. Mr. Quigley stated he has eighteen months experience in this business and that he has been in
the Atlanta area since August. Mr. Quigley said he has one office in Fulton County and another in
Gwinnett County. Mr. Quigley explained that his business involves making short-term loans with vehicle
titles as collateral. Council Member Lnenicka asked if there were other business locations and Mr. Quigley
replied that an application had been filed for another location in Jonesboro. Council Member Lnenicka
asked if the business stored repossessed vehicles at the business sites and Mr. Quigley explained that
repossessions were done by another entity and that no vehicles would be kept at the proposed site. Mayor
Bacon asked if any other pawn activity would take place at the proposed site and Mr. Quigley answered
that only title pawns are made, his places of business are configured like an office rather than like a
conventional pawn shop and that they are usually about a thousand square feet in size. Mr. Quigley
furnished those present with photographs of one of his other existing offices. Mayor Bacon asked about the
terms of the loans made using a vehicle with a value of $12,000 as an example. Mr. Quigley advised that
loans were based on a percentage of a vehicle’s value and that as a matter of policy no loans exceeding
$3,000 are made. Mayor Bacon asked what happens in cases of loan default and Mr. Quigley explained
that collection activity would result in cases where borrowers fail to perform on the loan as agreed. Mr.
Quigley’s attorney explained that under State law pawnbrokers are permitted to charge interest at a
particular level and that the rate charged by Titlewave is about half the allowable limit.
Mayor Bacon invited those persons previously sworn in for comment to come forward to express their
views. Melrose Barnes (phonetic), a resident of the Oakdale community, stated that many residents of the
affected area have lived there for decades and that there are many new residents coming in. She
characterized the area as unique with homes selling in the $300,000 to $2,000,000 range. Ms. Barnes
expressed the view that this type of business does not fit the ambience of the area, that it is unlikely that
many residents would need the type of service provided by the applicant, and that it would be a detriment
to property values. She stated the business is already in operation with a lighted sign and people on the
premises thereby violating citizens’ rights and “thumbing their noses” at the City’s regulations and so does
not deserve to be a part of the community or the City. Ms. Barnes said the application is an “affront” to the
“neighborhood and to the rule of law.” Ms. Barnes stated that the applicant’s conduct suggests they believe
they are “above the law” and concluded by asking the Council to deny the application. Mayor Bacon asked
Ms. Barnes for additional details concerning her allegation of the business presently operating and she
reiterated details of the sign and people on the premises but could not recall what was written on the sign.
Ashton Luke (phonetic), a board member of the Fox Chapel Homeowners’ Association, stated her
residence is not within the corporate limits of the City but is in close proximity to the affected area. Ms.
Luke said that the Oakdale area is a family-oriented community not appropriate for a pawn business and
that this type of business could be detrimental to property values. She concluded by asking the Council to
deny the application. Albert Park, residing at 1859 Fox Chapel, stated he moved from Atlanta because of
various problems he experienced there and believes the presence of a pawn shop could contribute to the
creation of the types of conditions he found objectionable in Atlanta. He said he does not want this pawn
business near his residence and may leave this area if this kind of business operates there. Sara
Matamarone (phonetic), treasurer of the Ivy Glen Homeowners’ Association (IGHOA) and a resident of
that community, stated she represents the IGHOA in expressing opposition to the application because of
potential negative impact to property values and to the character of the neighborhood and asked Council to
deny the application. Councilman Hawkins asked Ms. Matamarone if she passes by the affected area on a
regular basis and was answered in the affirmative. Council Member Hawkins asked her if she observed a
sign at the subject location advertising the public hearing and was answered in the negative. Milton Pond
(phonetic), residing at Unit Six (phonetic), expressed opposition to the application. He expressed the view
that there is no need for that type of business in that area and that the presence of a pawn shop creates an
impression of instability that could prevent new business development. He said an internet inquiry
disclosed data indicating most clients of pawnbrokers live within a one to two mile radius of the business
and presented illustrations of the communities near the proposed business site which he believes shows the
lack of need for a pawn business in the area. He concluded by asking the Council to deny the application.
Mayor Bacon asked the applicant if the business was already in operation without necessary permits and
the applicant answered no. Mayor Bacon asked the speaker to clarify his identity and he said he was
Jimmy Gulley, Chief Operating Officer for Titlewave. Mr. Gulley said that he is a homeowner and that
he “would definitely feel the same” regarding the types of concerns some of the citizens expressed. He said
that Titlewave is set up more like a finance company and can operate under the Georgia Industrial Loan
Act and that purchase of a small charter bank in Swainsboro is being considered. He said he has
encountered licensing issues in Dekalb County and that fifty-two locations are planned for the greater
Atlanta area. He advised that his business does not take collateral goods but rather aircraft, trailers and
automobiles and that lending decisions are based on collateralization and employment residency. He
referred to citizen comments to the effect that there are already enough pawn businesses in the area and
acknowledged that this is correct and that this is a main determining factor for locations for Titlewave
offices. Mr. Gulley said that the Georgia pawn statute allows pawnbrokers to charge interest of up to 25%
per month or 300% annually but that Titlewave charges about one-third of that amount. He said that most
pawn customers in the area have annual incomes averaging around $30,000 to $35,000 with some as high
as $72,000 annually. Mr. Gulley expressed the view that his business is being judged by other pawn
businesses that people have seen and he said this is understandable and that when friends ask him if he
operates a pawn business he sometimes finds himself “hiding from the answer” because of misconceptions
that exist about this kind of business. He invited everyone to come see the office themselves and advised
that a $26,000,000 line of credit has been secured to finance the expansion of the business. He said he
plans to become “that icon and that staple” and that customer service is a high priority of his. Mr. Gulley
stated he does not charge interest rates as high as those charged by similar operations and that during a
recent sixty day period he made $290,000 worth of loans and he attributes the expansion to the manner in
January 7, 2002
3
which business is conducted. Mr. Gulley acknowledged that there is one neon sign forming the word
“open” at the proposed business site but stated that it has not been switched on and that business is not
presently being conducted. He also said that two employees are at the location processing titles and
security lien work and the office has a payroll of about $1,200 per week. Mayor Bacon asked Mr. Gulley if
he should not obtain necessary permits before office space is leased and Mr. Gulley said that his financing
arrangements are based on the opening of four offices each month, his attorney had started the licensing
process and that he has moved forward. Mayor Bacon asked if the building lease was not contingent upon
successful completion of the licensing process and Mr. Gulley responded that it is and explained he uses a
contractor from the Brunswick and Savannah area and he wanted to keep them occupied through the last
fiscal quarter of the previous year. Mr. Gulley advised he has made obligations for $65,000 in rent over a
three year period to the management company that owns the subject office space and has spent about
$30,000 for improvements. Mr. Gulley expressed the view that his offices compare very favorably to those
of similar operations and he encouraged the council members to observe any of his business locations. He
stated that by the end of February he will have eight offices open and that seven will be operating. Mr.
Gulley said if he cannot obtain a privileged license, he might be able to get a Georgia Industrial Loan Act
(GILA) license and operate as a finance company; he said such a move might help, and if he owned a
$300,000 house he would not want to have to look at a nearby title pawn location. Mayor Bacon said some
people may have driven by the location and observed people there and Mr. Gulley explained that he is
using that location as a general purpose office. Council Member Lnenicka asked Mr. Gulley about his
previous statement that he is COO until January 31 and what will happen after that date. Mr. Gulley
explained he is moving forward with another company and that Titlewave will be involved in a “credit card
expansion” and also referred to a possible bank acquisition and the fact that his involvement with aircraft
and home mortgages will provide a full range of financial services. He explained that it is the intention of
some of the principals involved in some of the businesses he is associated with to put him in charge of
another entity. Council Member Lnenicka asked Mr. Gulley about building permits for the site
improvements and Mr. Gulley explained this is handled by the construction department but he is sure that it
was attended to. Council Member Lnenicka asked Mr. Gulley about signs and sign permits and Mr. Gulley
responded that his contract stipulations require the contractor to attend to necessary permits and again
stated he is certain that proper arrangements were made. Council Member Lnenicka referred to a
communication he recalled seeing about a sign at the subject location without a permit. Mr. Gulley stated
he has noticed “ a breakdown in communication between the city government and ourselves” and cited this
as a reason for the hearing being postponed until January 7 and said he was unfamiliar with the questions
about the sign but would check into the matter. Council Member Lnenicka asked Mr. Gulley to provide
additional details concerning the possibility he had previously mentioned about the office operating as a
different type of financial entity and Mr. Gulley said he could obtain a GILA license from the State
insurance commissioner and provided some background about another financial operation. City Attorney
Cochran asked Mr. Gulley if the business was organized under pawnshop laws because of the 300%
interest rate ceiling, even if the rates actually charged were about one-third of the maximum allowed, and
Mr. Gulley responded in the affirmative. City Attorney Cochran asked Mr. Gulley if the GILA provisions
limited the maximum allowable interest rate to sixty percent and Mr. Gulley answered yes but
acknowledged that some application fees bridge the gap between rates allowed under pawnshop regulations
and those allowed by GILA guidelines. City Attorney Cochran asked Mr. Gulley if the business he planned
to operate in the City, regardless of whether or not it was organized under pawnshop guidelines or GILA
guidelines, would charge interest rates in the sixty percent range and Mr. Gulley answered in the
affirmative.
Mayor Bacon asked if anyone present had additional questions or comments. An unidentified male asked if
he had understood correctly that the expected clientele of the business are people with annual salary ranges
from $30,000 to $70,000 and Mayor Bacon replied he thought it was something similar to that. The citizen
wanted to know if this clientele would include people presently experiencing unemployment and other
difficulties. Mr. Gulley explained that not everyone has a favorable credit rating and that the type of
business he operates provides an alternative for people who need loans and may not be able to obtain them
from more conventional sources and he provided some statistics.
Council Member Hawkins asked City Clerk Kellie Barber if advertising and placement of signs at the
affected location were required in connection with the privileged license process and Ms. Barber responded
that sign placement was required and, because advertising is arranged by the respective departments, she
could not confirm that advertising had been done. Council Member Hawkins asked Council Member
Lnenicka if advertising had been done in connection with the application and Council Member Lnenicka
replied he was unfamiliar with the details. Council Member Hawkins asked the audience if they had seen
any pertinent advertising or signs and several persons said no. Council Member Hawkins asked how they
had known about the hearing and some responded “word of mouth” and “e-mails.”
Council Member Lnenicka thanked the applicant and the residents for their testimony and stated he had
some concerns about the business license that has been applied for, whether or not it should be organized
under pawnshop guidelines or bank statutes, and the pawnshop ordinance. Council Member Lnenicka
made a motion to deny the privileged license application and Council Member Cramer seconded the
motion. Council Member Hawkins stated he would oppose the motion because the applicant plans to put
the business in an appropriately zoned area and seems to have met most of the general requirements; he
added that a number of similar establishments already exist in the general area and he does not believe this
application can be viewed differently. Council Member Newcomb stated he supports the motion; he
explained the ordinance specifies that it is a privileged license and not guaranteed and that a public hearing
is required to elicit views from the citizenry and that their concerns about potential impact of a proposed
business on the affected vicinity should be taken into consideration. Council Member Hawkins made
reference to a zoning matter on Collier Road that was approved about one year ago and stated that,
January 7, 2002
4
substantial public opposition notwithstanding, the zoning was approved. Council Member Scoggins stated
he will support the motion but expressed concerns about uncertainty regarding placement of an appropriate
sign at the subject location before the hearing and whether or not this application was being treated the
same as others. Motion was approved 6-1.
FORMAL BUSINESS:
(A) Ordinance Amendment—Soil Erosion and Sedimentation Control—Article II, Section 46-33 C
(15)
Mr. Corey stated that proposal is to amend Ordinance Amendment Article II, Section 46-3 C (15). The
amendment would change the stream bank buffer from twenty-five feet to fifty feet with minor earthwork
activities by individual property owners not expected to be affected. Council Member Scoggins made a
motion to table the ordinance until the January 22, 2002 council meeting. Council Member Cramer
seconded the motion. Motion was approved 7-0.
(B) Appointments to Planning and Zoning Board – Wards 2 & 3
Council Member Newcomb made a motion to re-appoint Andrea Blustein as the Ward 2 representative on
the Planning and Zoning Board and the motion was seconded by Council Member Pritchett. Motion was
approved 7-0.
Council Member Scoggins made a motion to re-appoint R. J. McCurry as the Ward 3 representative on the
Planning and Zoning Board and the motion was seconded by Council Member Pritchett. Motion was
approved 7-0.
(C) Water Rate Increase from Cobb County - Marietta Water Authority
Mr. Corey stated that Cobb County - Marietta Water Authority has notified all customers of a 2% water
rate increase effective January 1, 2002. The Authority’s rate will increase from .97/1,000 gallons to
.99/1,000 gallons.
Council Member Hawkins stated that a letter from Roy Fowler’s office dated December 17 was sent to
Mayor Bacon advising that the cost of water will increase from 97 cents per 1,000 gallons to 99 cents per
1,000 gallons effective January 1, 2002 and that the Finance and Administration Committee had
determined that this cost should be passed on to the end users. Council Member Hawkins made a motion to
approve passing the water rate increase on to City water customers effective February 1, 2002 and the
motion was seconded by Council Member Newcomb. Council Member Scoggins stated that water rates
continue to increase but the public should know that the City has no alternative to passing the increases
along to City water customers. Motion was approved 7-0.
COMMERCIAL BUILDING PERMITS:
(A) Building 1 – 1850 Freeman Parkway
Council Member Wood stated the applicant meets all zoning requirements and made a motion to approve
the commercial building permit for Building 1at 1850 Freeman Parkway. Council Member Lnenicka
seconded the motion. Motion was approved 7-0.
(B) Building 2 – 1860 Freeman Parkway
Council Member Wood stated the applicant meets all zoning requirements and made a motion to approve
the commercial building permit for Building 2 at 1860 Freeman Parkway. Council Member Lnenicka
seconded the motion. Motion was approved 7-0.
(C) Bruster’s Ice Cream- 2420 Cobb Parkway
Council Member Pritchett made a motion to approve the commercial building permit for Bruster’s Ice
Cream at 2420 Cobb Parkway. Council Member Lnenicka seconded the motion. Motion was approved 7-
0.
(D) Pizza Hut – 1780 East/West Connector
Council Member Lnenicka made a motion to approve the commercial building permit for Pizza Hut at 1780
East/West Connector. Council Member Wood seconded the motion. Motion was approved 7-0.
(E) UCB, Inc. – 2100 Windy Hill Road
Council Member Scoggins made a motion to approve t5he commercial building permit for UCB, Inc. at
2100 Windy Hill Road. The motion was seconded by Council Member Wood. Motion was approved 7-0.
BID AWARDS:
(A) Award of Bid Number 2-009 22 Passenger Shuttle Bus
January 7, 2002
5
Mr. Corey stated three sealed bids and two alternate bids were received on Wednesday, November 8, 2001.
After evaluating the bids, a visit was made to each of the bidders by Steve Ciaccio, Director of Parks and
Recreation, Patty Bacon, Senior Program Coordinator, Mark Brugh, Garage Superintendent, and Jack
Millet, Purchasing manager. It was determined by the Committee that the two lower bidders did not
comply with the specifications for the bus. It was further agreed that three items should be added to the bid
which were not in the original specifications. Mr. Corey added that the bid was issued to replace the aging
shuttle bus that is currently in use for the Senior Citizen Program.
Council Member Wood reported the expected cost of the vehicle is $61,912.40 which includes three items
added to the original specifications and that funding would be available through the Community
Development Block Grant program. Council Member Wood made a motion to approve the award of the
bid to Huntleigh Bus Company in the amount of $61,912.40. The motion was seconded by Council
Member Lnenicka. Council Member Scoggins asked if the Huntleigh Bus Company was a local vendor
and was advised they are located in Forest Park. Motion was approved 7-0.
CONSENT AGENDA:
(A) Approval of December 17, 2001, Minutes
(B) Approval to Use Council Chambers on January 12, 2002 for the Veterans’ Memorial
Groundbreaking Ceremony in case of inclement weather
(C) Approval of Advertising for Charter Amendment – Redistricting Plan of the Seven Wards of the
City of Smyrna
(D) Approval of Authorization for Filing of Civil Action against Cobb County – Marietta Water
Authority and Cobb County regarding Water Service Issues
(E)* Approval of Authorization to Surplus a 1992 Model 22-Passenger Champion Bus which is no
longer in use
*Council Member Wood made a motion to suspend the rules to add an item “E” to the agenda and
the motion was seconded by Council Member Cramer. Motion was approved 7-0.
Council Member Wood made a motion to add agenda item E, approval of authorization to surplus a 1992
model Champion 2-pasenger bus which is no longer in use and Council Member Cramer seconded the
motion. Motion was approved 7-0.
Council Member Wood made a motion to approve the consent agenda, and the motion was seconded by
Council Member Cramer. Motion was approved 7-0.
COMMITTEE REPORTS:
Council Member Pritchett stated 2001 was a challenge for everyone and she expressed the hope that 2002
will be a better year. She concluded by wishing everyone a Happy New Year.
Council Member Newcomb advised he was glad to see vegetation in place at Linear Park on Spring Road.
He advised it was ten years ago to the day when he attended his first council meeting as a Council Member.
He said he wanted the residents of Ward 2 to know it is a pleasure and an honor to serve them and to know
that he takes his responsibility seriously and he enjoys the work he does for the City.
Council Member Scoggins expressed his appreciation to the employees of the Public Works Department
for their hard work during the holidays, often in inclement weather, and said he would like to commend
Public Works Director Scott Stokes for his efforts. He concluded by saying he looks forward to serving the
citizens in 2002.
Council Member Hawkins said he wanted to remind members of the Forest Hills Homeowners Association
that their annual meeting will be held next Monday night in the council chambers. He said that last year
had not been a particularly good year for the entire country and that he hopes this year will be better. He
concluded by expressing his appreciation to the citizens of Ward 4 for their support during the last twenty-
four years.
Council Member Cramer stated that, like Council Member Newcomb, he has been a Council Member for
ten years and he has enjoyed the experience and considers his service to the City a pleasure and an honor.
He expressed appreciation to Ron Davis and Bill Lnenicka for coming to the meeting to encourage people
to come to the groundbreaking ceremony for the Veterans’ Memorial.
Council Member Lnenicka said that he hopes this year will be better than the previous year and expressed
his gratitude for the fact that his father had come through recent surgery and is doing well. He recognized
Smyrna residents Karen Parham for carrying the Olympic torch during part of its relay and Dr. Eugene
Williams who recently received the Distinguished Flying Cross for service during WWII. Council Member
Lnenicka stated that he and City Attorney Cochran had reviewed the information they received regarding
the privileged license application for Titlewave #3 of Georgia, Inc. and said the application and hearing had
been advertised on December 28 and again on January 4. He concluded by wishing everyone a Happy New
Year.
January 7, 2002
6
Council Member Wood expressed the view that 2002 will be a good year for Smyrna and that the City has
many good people to work with including citizens and volunteers. He made reference to the commercial
building activity already planned this year which he considers favorable to the community. Council
Member Wood concluded by saying he has enjoyed the time he has worked for the City and looks forward
to 2002 and beyond.
Mayor Bacon stated he would try to arrange for representatives from some of the local schools to be at the
January 22 council meeting for their input.
ADJOURNMENT
With no further business, the meeting adjourned at 9:10p.m.
A. MAX BACON, MAYOR KELLIE M. BARBER, CITY CLERK
MELLENY PRITCHETT, WARD 1 RON NEWCOMB, WARD 2
BILL SCOGGINS, WARD 3 JAMES M. HAWKINS, WARD 4
JACK CRAMER, WARD 5 WADE S. LNENICKA, WARD 6
______________________________
CHARLES PETE WOOD, WARD 7