Wilmington City Council Meeting – March 3, 2026

The Wilmington City Council held its regular meeting on March 3, 2026, at 6:30 PM in City Hall, Skyline Center, with Mayor Pro-Tem Kevin Spears presiding in the absence of Mayor Saffo. Councilmembers David Joyner, Salette Andrews, J.C. Lyle, Cassidy Santaguida, and Chakema Clinton-Quintana were present. The meeting began with an invocation by Chaplain Joshua Lee and the Pledge of Allegiance. Key actions included approving a consent agenda, a controversial rezoning, reallocating $140,300 in ARPA funds, and approving $258,000 in loan forgiveness for affordable housing. The meeting adjourned at 8:50 PM after a closed session.

Consent Calendar

• C1. Approved the minutes of the Agenda Briefing meeting (February 16, 2026) and Regular meeting (February 17, 2026). (Passed 4-0)
• C2. Adopted a resolution accepting public streets and storm drainage facilities at Spicetree Drive and Maple Avenue. (Passed 4-0)

Public Comments & Testimony

• Gerald Smith (city resident) complimented the council, encouraged them to serve wholeheartedly, and expressed support for Councilmember Lyle.
• Dr. Jon V. Martell (MD, founder of Cape Fear Five Star Project) asserted that high-quality hospital care is critical infrastructure. He criticized Novant, which bought New Hanover Regional Medical Center five years ago, for failing to deliver on a promise of a top-10% hospital; the hospital currently has a two-star Medicare rating and a C on the Leapfrog patient safety dashboard. He urged council members to press Novant administrators for a plan to achieve a five-star hospital.

Discussion Items

Public Hearing – Rezoning at 5324 Wrightsville Avenue (PH1)

• Staff report (Zach Smith, Associate Planner): The 0.38-acre site currently contains a single-family dwelling with an ADU and is zoned R-15. The applicant seeks rezoning to R-5 (Conditional District) to subdivide the lot and build a new single-family home with an attached ADU in the front yard. Staff argued the proposal is inconsistent with the Create Wilmington Comprehensive Plan because the new structure would not follow the predominant setback along Wrightsville Avenue. Staff recommended denial.
• Applicant representation (Cindee Wolfe): The existing home (built 1954) is set back to allow garage access from Park Avenue. The applicant commits to saving large trees and positioning the new home close to the front setback, with side parking. Wolfe noted similar rezonings have occurred along the corridor and that the Planning Commission unanimously recommended approval. She argued a single-family home on a split lot will not harm the character.
• Council discussion: Councilmember Andrews inquired about the new unit’s size (total ~1,600 sq ft). Councilmember Santaguida asked about the predominant setback; staff stated most homes on Wrightsville Avenue are offset from the frontage. No public comments were submitted.
• Outcome: Motion to approve (Andrews, seconded by Joyner) passed 5-0. Second reading waived (Clinton-Quintana, seconded by Andrews) passed 6-0.

Ordinances – ARPA Fund Reallocation (O1a & O1b)

• Finance Director Martha Wayne presented a performance update on the Digital Divide project, part of the Community Vitality and Resilience ARPA allocation ($4.7 million of the city’s $25.9 million total). Key results:
  • Steigler EdTech: 800 applicants, 34 selected, 28 graduated and secured employment; some graduates required extended stipend support.
  • StepUp Wilmington: 73 participants, 70 completed (95.8%), 32 secured employment (20 full-time); the program was incorporated into StepUp’s ongoing offerings.
  • Cape Fear Collective: provided data tracking and employer coordination.
• Challenges: Market shifts, AI automation, increased competition, and difficulty securing firm hiring commitments. Partners expressed gratitude and noted the lessons learned.
• Reallocation request: O1a makes a supplemental appropriation of $140,300 to reallocate funds for overages on the Salvation Army Road project and other eligible expenses. O1b adds the same amount to the Salvation Army Roadway Reimbursement Contract.
• Council questions: Councilmember Lyle asked about differences among partners’ scopes. Councilmember Clinton-Quintana asked if leftover funds could go to StepUp Wilmington; staff responded that federal restrictions require alignment with the pre-December 31, 2024 scope. Councilmember Santaguida summarized the reallocation as appropriate.
• Outcome: Motion to approve O1a (Santaguida, seconded by Clinton-Quintana) passed 6-0. Second reading waived (Lyle, seconded by Joyner) passed 6-0. Motion to approve O1b (Santaguida, seconded by Clinton-Quintana) passed 5-0.

Resolution – Loan Forgiveness for James Walker Apartments (R1)

• Rachel Schuler, Director of Housing and Neighborhood Services, presented a request from Landmark Asset Services Inc. for $258,000 in debt forgiveness to help install a fire sprinkler system during the rehabilitation of James Walker Apartments, a 37-unit senior affordable housing property built in the 1920s.
• Sam Sari (Vice President, Landmark Asset Services) answered council questions:
  • Rent increases: one-bedroom units from $65 to $80 per month; two-bedroom units from $80 to $105. Rents had not been increased since 2023. Future increases will be limited to once per year (typical $15).
  • Relocation plan: residents will temporarily move to extended-stay hotels at Landmark’s expense (including moving, hotel, meal certificates). Unit turnover is expected to take no more than 30 days. Relocation is necessary due to lead-based paint and asbestos.
  • Resident feedback: initially not pleased with increases, but they recognize the investment (>$85,000 per unit) to improve quality and self-sufficiency.
• Council discussion: Councilmember Lyle asked about rent and relocation; Councilmember Spears asked about resident reaction. Staff recommended approval.
• Outcome: Motion to approve (Santaguida, seconded by Lyle) passed 6-0.

Key Outcomes

• Consent agenda approved unanimously (4-0).
• Rezoning (PH1) approved (5-0) with second reading waived (6-0).
• Ordinance O1a (ARPA supplemental appropriation) approved (6-0) with second reading waived (6-0).
• Resolution O1b (Salvation Army contract) approved (5-0).
• Resolution R1 (Landmark loan forgiveness) approved (6-0).
• Council voted unanimously to enter closed session to discuss privileged information, potential litigation, and public safety. After reconvening, no further action was reported. Meeting adjourned at 8:50 PM.