January 2, 2018 - 10:00 AM - County Board of Commissioners Meeting Minutes

10 56 Meeting of the Johnston County Board of Commissioners January 2 , 2018 10 00 am The Johnston County Board of Commissioners met in regular session Tuesday , January 2 , 2018 at 10 00 am in the Commissioners Meeting Room , Johnston County Courthouse Annex , Smithfield , North Carolina The following members were present Present Chairman Jeffrey P Carver , Vice Chairman Ted G Godwin , Cookie Pope , Allen L Mims , Jr , Chad M Stewart , Larry Wood , and Lee Jackson Absent None Also Present County Manager Rick J Hester , Clerk to the Board Paula G Woodard , Finance Officer and Assistant County Manager J Chad McLamb , County Attorney Jennifer J Slusser , and Paralegal Deputy Clerk to the Board Dana Cuddington Chairman Jeffrey P Carver called the meeting to order at 10 00 am Commissioner Ted G Godwin opened the meeting with a prayer The Johnston County Veterans Services Advisory Board led those in attendance in the Pledge of Allegiance to the American Flag 1 Approval Discussion of Agenda Upon a motion by Commissioner Chad M Stewart , seconded by Commissioner Cookie Pope , and carried by unanimous vote , the Board approved the agenda as presented 2 Consent Agenda Items Upon a motion by Commissioner Cookie Pope , seconded by Commissioner Allen L Mims , Jr , and carried by unanimous vote , the Board approved the consent agenda items as follows A Approval of Minutes – December 4 , 2017 10 00 am and 6 00 pm B Department of Transportation – Additions to System The Board concurred with the Department of Transportation’s recommendation to add the following roads to the State Maintained System Mary Ellen Way – Dowdy Estates – Cleveland Township Rocky Creek Lane – Pebble Creek Subdivision – Elevation Township C Town of Clayton – Appointments to Clayton Planning Board Per the request of the Town of Clayton , the Board made the following appointments representing the ETJ area of the Town Clayton Planning Board Marty Bizzell , 1026 Brookhill Drive , Clayton term expiring 12 31 2020 Frank Price , 107 Stone Lane , Clayton term expiring 12 31 2020 D Department of Social Services – Request to Surplus Vehicles The Board declared the following two vehicles surplus and approved for them to be sold at an upcoming auction to be scheduled by the Johnston County Sheriff’s Office at a later date 2010 Ford Crown Victoria Serial No 2FABP7BV0AX138717 Mileage 123,375 2007 Ford Crown Victoria Serial No 2FAFP71WX7X142648 Mileage 146,555 E Tax Releases & Refunds – 11 16 2017 – 12 15 2017Page57 January 2 , 2018 – 10 00 am Continued Motor Vehicle Release Refund Report Year Bill # Acct # Name Tran Type Paid 2017 1712 - 649015 1711 - 671571 SMALLS , ROBERT DEWITT Release 11688 2017 1712 - 649016 1711 - 671571 SMALLS , ROBERT DEWITT Overpayment 10600 Real Personal Property Releases TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 11 17 2017 10 49 40 AM cfutch 2017 - 77391 2000159837 JACKSON , SUSAN 73017 11 20 2017 4 26 21 PM dwoodward2 2017 - 201310 2000177069 KENNETH A TALTON TRUST 23310 11 20 2017 4 27 00 PM dwoodward2 2017 - 201309 2000177069 KENNETH A TALTON TRUST 23310 11 20 2017 4 27 47 PM dwoodward2 2017 - 201308 2000177069 KENNETH A TALTON TRUST 23310 11 20 2017 4 28 25 PM dwoodward2 2017 - 201307 2000177069 KENNETH A TALTON TRUST 23051 11 29 2017 12 22 50 PM dwoodward2 2017 - 99018 2000168280 APOLINAR , CAMILO 1,15447 11 29 2017 12 25 00 PM dwoodward2 2017 - 64435 2000193838 HALL , DENNIS RAY JR 1,18155 11 29 2017 12 27 51 PM dwoodward2 2017 - 101212 2000053651 HALL , DENNIS RAY JR 1,21814 11 29 2017 12 30 06 PM dwoodward2 2017 - 84130 2000129177 HALL , DENNIS RAY JR 19289 11 29 2017 3 23 20 PM cfutch 2017 - 69617 2000161344 BAUMGARTNER , JEFFERY A 45671 11 29 2017 4 18 14 PM ALassiter 2017 - 104914 2000097534 HULL , PHYLLIS 1,00982 12 1 2017 3 49 01 PM dwoodward2 2017 - 19747 2000102724 KIRKWOOD BUILDERS INC 1,04400 12 8 2017 2 54 57 PM ALassiter 2017 - 108059 2000199828 EXCEED AVIATION LL 2,85865 12 14 2017 2 36 01 PM dwoodward2 2017 - 74192 2000075954 HUFF , RONINA J 47362 12 15 2017 2 15 49 PM dwoodward2 2017 - 201724 2000032180 EDGERTON , PRISCILLA ANNE G 47714 12 15 2017 2 16 24 PM dwoodward2 2017 - 201725 2000032180 EDGERTON , PRISCILLA ANNE G 47714 12 15 2017 2 16 53 PM dwoodward2 2017 - 201726 2000032180 EDGERTON , PRISCILLA ANNE G 47714 12 15 2017 2 17 23 PM dwoodward2 2017 - 201727 2000032180 EDGERTON , PRISCILLA ANNE G 47714 Real Personal Property Refunds TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 11 16 2017 2 49 25 PM jmorrow 2017 - 97337 2000179775 WHITE , WILLIAM P 38525 11 17 2017 10 49 51 AM cfutch 2017 - 77391 2000159837 JACKSON , SUSAN 73017 11 17 2017 12 54 23 PM LRTA 2017 - 84583 2000114978 BRANNOCK , CAROL A 1,35063 11 17 2017 2 28 13 PM LOCKBOX 2017 - 46407 2000189129 SB BUILDING INC 74390 11 22 2017 2 49 11 PM cfutch 2017 - 47582 2000082185 ROBINSON , KATRINA S 77224 11 27 2017 12 34 10 PM SECU 2017 - 82221 2000155955 ALLEN , MAVIS J 14663 11 27 2017 12 34 10 PM SECU 2017 - 59807 2000192679 CASEY , JEREMY DUANE 65224 11 27 2017 12 34 10 PM SECU 2017 - 37498 2000193807 DUBOSE , ANTHONY 87713 11 27 2017 12 34 10 PM SECU 2017 - 67677 2000062885 HALES , HERBERT L II 57184 11 27 2017 12 34 10 PM SECU 2017 - 81087 2000027697 HOBBS , TERRY R 1,49145 11 27 2017 12 34 10 PM SECU 2017 - 76797 2000194867 ONEAL , DONNA 1,28859 11 27 2017 12 34 10 PM SECU 2017 - 106494 2000184273 RIVERS EDGE CONSTRUCTION 31038 INC 11 27 2017 12 34 10 PM SECU 2017 - 75037 2000179586 RUSSELL , CARL PATRICK 62000 11 27 2017 12 34 10 PM SECU 2017 - 56202 2000059647 WILLIAMS , JERRY L 2,09741 11 27 2017 2 10 25 PM LGFCU 2017 - 100821 2000032528 LEE , TILGHMAN JUNIOR 24500 11 27 2017 2 10 25 PM LGFCU 2017 - 89437 2000150583 MEASLES , VIOLET L 1,05604 11 27 2017 2 33 08 PM LOCKBOX 2017 - 17225 2000098983 LEE , JASPER P JR 93317 11 28 2017 2 33 22 PM LOCKBOX 2017 - 104588 2000155273 MARKET STREET INVESTMENTS 29723 11 29 2017 12 38 10 PM jmorrow 2017 - 47426 2000173374 ASCO BUILDERS INC NC CORP 39900 11 29 2017 12 44 39 PM jmorrow 2017 - 95872 2000092868 ASCO BUILDERS INC 39900 11 29 2017 12 45 58 PM jmorrow 2017 - 64161 2000092868 ASCO BUILDERS INC 1,01483 11 29 2017 3 23 32 PM cfutch 2017 - 201715 2000161344 BAUMGARTNER , JEFFERY A 31706 11 30 2017 2 52 57 PM LOCKBOX 2017 - 8229 2000135009 CROSSWIND CUSTOM HOMES INC 52200 11 30 2017 2 52 57 PM LOCKBOX 2011 - 73047 2000094623 REVILLE , MICHAEL 1,11925 11 30 2017 2 55 11 PM cfutch 2017 - 40623 2000160790 REVILLE , MICHAEL B 11835 12 1 2017 2 37 48 PM LOCKBOX 2017 - 107956 2000097534 HULL , PHYLLIS 40497Page58 January 2 , 2018 – 10 00 am Continued 12 4 2017 3 45 20 PM awestbrook 2017 - 38113 2000152642 STEPHEN DOUGLAS I 13,41319 IRRVOCABLE TRUST 12 4 2017 3 47 34 PM awestbrook 2017 - 63370 2000153591 CENTRAL CAROLINA REALITY INC 12300 12 5 2017 2 44 50 PM LOCKBOX 2017 - 70076 2000037365 OLIVER , PATRICIA 32679 12 5 2017 2 44 50 PM LOCKBOX 2017 - 45589 2000127087 RAPALJE , KARLA RAE 2,18178 12 6 2017 3 04 08 PM LOCKBOX 2017 - 99725 2000187383 KEENAN , CHARLES PATRICK JR 63298 12 6 2017 3 19 23 PM awestbrook 2017 - 56363 2000173230 BOLING PROPERTY LLC 76207 12 7 2017 2 09 39 PM jmorrow 2017 - 95313 2000048298 ONEAL REVIVALS INC 13330 12 8 2017 2 23 49 PM LOCKBOX 2017 - 7986 2000193126 BAREFOOT , JOHN C 57639 12 8 2017 2 23 49 PM LOCKBOX 2016 - 85428 81071145 SNIPES , ELAINE GUNTER 54905 12 11 2017 8 51 39 AM awestbrook 2017 - 8273 2000194148 CALATLANTIC GROUP , INC 34000 12 11 2017 9 24 08 AM jmorrow 2017 - 17788 2000194247 QUAD LUTZ , LLC 23000 12 11 2017 10 02 05 AM awestbrook 2017 - 34948 2000040847 OATES , CHARLIE 1,04990 12 11 2017 3 02 05 PM LOCKBOX 2017 - 74624 2000183925 LASKY , EDWARD N 2,89006 12 11 2017 3 30 44 PM awestbrook 2017 - 49481 2000170807 PATTERSON , CLYDE L 18569 12 12 2017 1 18 52 PM awestbrook 2017 - 79320 2000078290 DWB PROPERTIES LLC 20715 12 12 2017 2 25 33 PM LOCKBOX 2017 - 5843 2000015137 BENSON , WALTER LEE 81046 12 12 2017 2 25 33 PM LOCKBOX 2017 - 21676 2000073575 GOODFELLAS PIZZERIA INC 64852 12 12 2017 2 25 33 PM LOCKBOX 2017 - 59091 45586900 JOHNSON , JERRY WAYNE 19421 12 12 2017 2 25 33 PM LOCKBOX 2017 - 60319 2000174556 KIVEL , SEAN P 1,19464 12 13 2017 2 30 43 PM jmorrow 2017 - 100600 2000165094 RRT DEVELOPMENT LLC 14483 12 13 2017 2 33 22 PM jmorrow 2017 - 18334 2000165094 RRT DEVELOPMENT LLC 11713 12 13 2017 2 35 03 PM jmorrow 2017 - 48775 2000156367 TWC & ASSOCIATES LLC 58652 12 14 2017 2 22 38 PM LOCKBOX 2017 - 44588 2000107029 HICKLING , THOMAS L 47094 12 15 2017 8 45 24 AM jmorrow 2017 - 57640 30273991 FLOWERS , REBECCA D 34000 12 15 2017 2 28 10 PM LOCKBOX 2017 - 39199 51765065 LANGSTON , MORGAN DANIEL 13809 North Carolina Vehicle Tax System - Pending Refund Report – November 2017 100 + Payee Name Bill # Transaction Refund Total Change # Reason STALLINGS , 0039835848 77536312 Adjustment 6474 RAYFORD 4731 LEE JR 11205 December 19 , 2017 This is to certify that , as authorized by the Board of Commissioners on December 11 , 2000 , I have approved the following tax releases and refunds under 100 , as recommended by the County Tax Administrator , Sheila Garner A complete record of this information is on file in the County Finance Office Totals from 11 15 17 to 12 15 17 Tax refunds - Personal Real Property 61471 Tax releases - Personal Real Property 19411 Motor Vehicle releases refunds 7238 Recommended by Tax Administrator Sheila Garner Approved by Finance Director J Chad McLamb 3 Public Comments A New Benson Mayor Newly elected Benson Mayor Jerry Medlin introduced himself to the Board Mayor Medlin stated he has had the chance to speak with a few of the Commissioners and he would like to keep that dialogue open in the future by meeting on a regular basis Mayor Medlin stated he looks forward to working with the Commissioners The Board welcomed Mayor Medlin to the meeting and congratulated him on his recent election B Citizen Comments – Ken Taylor Ken Taylor , 1755 Gordon Road , Clayton , addressed the Board regarding the Solid Waste Department Mr Taylor reported on a situation recently whereby he intended to dispose of some old furniture at the County Landfill ; however , upon calling the Landfill to see if they were open , he was informed by the Landfill attendantPage59 January 2 , 2018 – 10 00 am Continued that he could dispose of the furniture at one of the convenience center sites if he had a decal Mr Taylor stated he informed the attendant that he has a decal on his car , but not the truck that he would be hauling the furniture in Mr Taylor reported the attendant told him to drive his car to the convenience center site and have the truck follow , explain the situation to the convenience center site attendant , and he would then be allowed to dispose of the furniture at the convenience center Mr Taylor stated he did as instructed by the attendant but later received a solid waste violation notice in the mail Mr Taylor stated after talking with Solid Waste Director Rick Proctor about the incident , Mr Proctor stated he would make sure that all attendants were properly informed regarding the correct policies and procedures in that Mr Taylor should have disposed of the furniture at the Landfill as he originally intended Mr Taylor asked the Board of Commissioners to consider implementing something that would allow citizens who purchase a decal to also receive one - time passes or cards that could be used on temporary vehicles noting there are times when the vehicle that has the decal could be in the shop or in his case , his decal is on his car but he was using a truck to dispose of the furniture The Board thanked Mr Taylor for his comments C Marty Clayton – Duke Energy Commissioner Cookie Pope recognized Marty Clayton with Duke Energy in the audience and asked about power outage issues in her area over the weekend Mr Clayton stated he is aware that there were some outages over the weekend and stated it was not a capacity issue , but rather equipment related issues due to the extreme cold temperatures 4 Public Hearing – Economic Development Incentive Grant Advertised – The Smithfield Herald – December 20 , 2017 Note The Town of Smithfield also held a special meeting public hearing simultaneously with the Board of Commissioners as is reflected in these minutes Smithfield Mayor Andy Moore called the Town of Smithfield’s special meeting to order and thanked the Board for working with the Town on the joint public hearing Chairman Jeffrey P Carver opened the County’s public hearing for the purposes of receiving public comment on a proposed economic development incentive grant agreement The Smithfield Town Council opened their public hearing Chairman Carver called on Johnston County Economic Development Director Chris Johnson to review the project summary with the Board Mr Johnson explained the project is an expansion that consists of a new manufacturing facility of approximately 30,000 square feet for molding of thermoset composites compounds , with full support including finishing , subassembly , and tooling by Penn Compression Moulding in Smithfield He stated the project will be developed on the company’s existing property located 309 Component Drive in the Town of Smithfield with a net new capital investment of 25 million and 30 net new full - time employees with an entry level salary of 25,000 with benefits He continued the company has proposed the expansion in exchange for certain economic incentives in the form of annual cash grants paid from general County funds over the next three years based on 50 of the ad valorem taxes for the net new investment Mr Johnson stated the County believes this project will help stimulate the local economy , result in new taxable capital investments in real and personal property , and the creation by the company of a substantial number of new , permanent jobs in the County Mr Johnson reported that staff and the Johnston County Economic Development Advisory Board request the Board of Commissioners to approve the granting of these incentives to the company in exchange for the company’s commitments to 1 operate the expanded facilities , 2 create 30 new , permanent full - time jobs and 3 invest 25 million in net new taxable real and business personal property additions that will return property tax revenues substantially in excess of the County’s investment PagePage pageNumber560 January 2 , 2018 – 10 00 am Continued Mr Johnson recognized Johnston County Economic Development Advisory Board Members Perry Harris and Mike Fleming in the audience and thanked them for their assistance with the project He introduced Tim Kerigan , Economic Development Liaison for the Town of Smithfield , to speak on behalf of the Town Mr Kerigan thanked Mr Johnson noting that they work closely on many projects throughout the year and he appreciates the partnership with the County He also thanked Mike Fleming for his advice and support to the Town Mr Kerigan stated the Town has been planning for development and growth and they welcome businesses that find value in Smithfield Mr Kerigan stated the Town is pleased that Penn Compression has chosen Smithfield for the expansion in such a competitive environment He noted the Town’s grant , just like the County’s , will be based on the net new investment and staff recommends approval President & CEO Daniel Leslie , Penn Compression Moulding , stated the expansion was a big decision and will be the largest investment in the history of their company He thanked everyone for their assistance in helping the company to make this decision to expand at the Smithfield location Mr Leslie reported they have been in business for almost 40 years and they appreciate the support from the County and the Town Chairman Carver asked if there was anyone in the audience that wished to speak There being no further comments , Chairman Carver closed the County’s public hearing The Smithfield Town Council closed their public hearing Commissioner Allen L Mims , Jr moved the Board adopt the following resolution for the economic development incentive grant between the County and Penn Compression Moulding Commissioner Cookie Pope seconded the motion which carried by unanimous vote RESOLUTION OF THE JOHNSTON COUNTY BOARD OF COMMISSIONERS AUTHORIZING INCENTIVES FOR ECONOMIC DEVELOPMENT WHEREAS , Penn Compression Moulding , Inc the Company has planned to expand its industrial and commercial operations Facility in the County in exchange for the grant by the County of certain economic incentives set forth below and in the Project Summary attached to this resolution the Incentives ; WHEREAS , North Carolina General Statute 158 - 71 a authorizes the County to make appropriations to aid and encourage the location of manufacturing enterprises , industrial and commercial plants within the County and other purposes which will increase the population , taxable property and business prospects of the County ; and WHEREAS , the Board has determined that granting the Incentives in exchange for the commitment of the Company to expand and operate the Facility in Johnston County would be beneficial to the County’s efforts to increase economic opportunities for its residents , its population , ad valorem tax revenues , sales tax revenues , and business prospects in general , including the creation of a substantial number of jobs ; and WHEREAS , the Board has , pursuant to the notice and hearing requirements of North Carolina General Statute 158 - 71 , held a public hearing to consider whether to grant the Incentives in exchange for the commitment of the Company to locate and operate the Facility in Johnston County on terms not materially inconsistent with the Project Summary attached to this resolution the Summary ; NOW THEREFORE , the Board Authorizes the Chairman of the Board and , alternatively , the County Manager , to enter into an economic development agreement on behalf of the County for the County to grant Incentives on terms not materially inconsistent with the Summary in exchange for the commitment by the Company to 1 invest 25 Million Dollars 2,500,000 in real and personal property for the construction and outfitting of the Facility , 2 employ approximately 30 new full - time workers to operate the Facility , and 3 operate the Facility and employ that number of full - time workers to do so for a term not less than three 3 years nd Adopted this the 2 day of January , 2018 PROJECT SUMMARY COMPANY – COUNTY January 2018 ? Schedule Grant Year 1 – 2020 Grant Year 2 – 2021 Grant Year 3 - 2022 ? The ProjectPagePage pageNumber661 January 2 , 2018 – 10 00 am Continued o The Project consists of a new manufacturing facility of approximately 30,000 square feet for molding of thermoset composites compounds , with full support including finishing , subassembly , and tooling The Project will be developed on the company’s existing property located 309 Component Drive in the Town of Smithfield , Johnston County , North Carolina with a total investment of 25 million The company expects the project to require the creation of 30 net new jobs ? Investment by Company o Net New Capital Investment for the Project of 25 million o 30 net new full - time employees hired for the Project with an entry level salary of 25,000 with benefits o Retention of those facility improvements , business property and net new jobs counts through Grant Year 3 ? Other Incentives for Completion and Operation of Investment by Company o Payment and performance of incentives by County are conditional on Company not being in default of any obligation to County , including the taxes and contracts o Company to begin its receipt of monetary incentives in Grant Year 1 o Incentives for investment in business property are cash payments for 3 years equivalent to 390 per 1,000 in assessed value of business property on January 1 of the year immediately preceding Grant Year 1 o Incentives for investment in real property improvements are cash payments for 3 years equivalent to 390 per 1,000 in assessed value of improvements on January 1 of the year immediately preceding Grant Year 1 ? Incentives for investment in business property and real property will be adjusted for then - current economic trends in Johnson County , correlated dollar for dollar to changes in the County’s ad valorem tax rate Following action by the Board of Commissioners , the Smithfield Town Council took action on their respective resolution and then adjourned their special meeting 5 “ State of the County ” Address by Chairman Jeffrey P Carver Chairman Jeffrey P Carver presented the following “ State of the County ” address 2018 State of the County Address Johnston County , North Carolina Good morning and thank you all for being here today It is an honor for me to take a few minutes to present the annual State of the County address I would like to first thank my fellow Board Members for all you do every day to help make our County great I want to also thank you for asking Commissioner Godwin and me to serve as your Chair and Vice Chair for another year These are positions that we don’t take lightly 2017 was a great year A few of the many highlights from this past year include ? The County received a clean financial audit report for Fiscal Year 2015 - 2016 This is very important for many reasons The County collects and spends taxpayer dollars and we take that charge very serious always remembering that it is not the County’s money It is the taxpayers ’ money ? The County , working in partnership with the Johnston County Board of Education , agreed to borrow 30 million for repairs and renovations for some of the older schools in the County We recognize that it is just as important to maintain and renovate existing schools as it is to build new facilities ? Swift Creek Middle School opened This school was part of the 2013 bond referendums that were passed by a 72 approval rate by voters ? The County continued to take advantage of low interest rates to refinance existing debt Over the years , we are proud to say that this practice has resulted in millions of dollars in interest expense savings ? The County continues to stay aggressive recruiting new industry and encouraging our existing industries to grow The Board has approved no - risk incentive grants to attract these opportunities as inPagePage pageNumber762 January 2 , 2018 – 10 00 am Continued most cases , they are competitively sought both nationally and internationally We also believe the quality of life and ready workforce here in Johnston County plays a significant role in those decisions th ? The Board adopted the current Fiscal Year 2017 - 2018 budget with no tax rate increase for the 14 consecutive year During the most recent budget process , the Board dedicated funds from the County’s allocation for increased teacher supplements ? The Board held a public hearing for citizens to provide feedback about the future location of a much needed detention center Most of the discussion during that hearing centered around the question of locating the detention center downtown or just outside of Smithfield There were 13 speakers that night and the opinions were mixed The Board appreciates the feedback we received and we are getting close to a decision on a location ? The Board understands the seriousness of opioid use and supported the Johnston County Health Department’s Leadership Forum on Opioid Abuse ? The Board adopted a 20 year 333 million Public Utilities Capital Improvements Plan for water , wastewater and reclaimed water programs ? The Board approved an option agreement for the former Kmart building in Smithfield to be considered as possible future DSS office space That process is now in the due diligence stage to evaluate if the project will be affordable ? The Board authorized the County Manager to send a non - binding letter of intent to Alliance Behavioral Health , subject to negotiations of a mutually acceptable agreement Behavioral Health is very important and everyone can be assured that whatever final decision is made , Johnston County citizens will always come first In looking ahead to 2018 , this Board will continue to focus on job growth We appreciate and thank every employer in our County for their commitment and investment We all know there is nothing more important to someone than a paycheck and those payroll dollars float through our local economy several times We will continue to be aggressive with industry recruitment and expansion st The Board looks forward to an upcoming joint meeting with the Board of Education on February 1 to receive updates on their capital needs This information will be considered as we determine what the County can afford in a November 2018 bond referendum We will also be working closely with Johnston Community College during this process as they continue to have many needs The Board will be having our annual spring work session to help chart the course for the next several years The Fiscal Year 2018 - 2019 budget process begins soon and we look forward to making this upcoming th budget the 15 consecutive year without raising the tax rate I will continue to challenge the County Manager to bring the Board a proposed budget that takes care of business in the most efficient and effective way In closing , our future is bright We are so fortunate to live in a county that is so dynamic Yes , we have challenges , but I can assure everyone there are many counties in our State that would love to be facing our challenges The year 2018 and beyond will be great years for Johnston County Thank you , Jeffrey P Carver , Chairman Johnston County Board of Commissioners 2018 6 Presentation of Audit Report for Year Ending June 30 , 2017 Alan Thompson , with Thompson , Price , Scott , Adams & Co PA , presented the audit report for the fiscal year ending June 30 , 2017 Mr Thompson stated his firm issued an unmodified report or “ clean report ” and there were no significant audit findings He continued that no difficulties were encountered while performing the audit , there were no uncorrected misstatements , there were no disagreements with management , management did provide a representation letter , and management did not consult with any outside auditors Mr PagePage pageNumber863 January 2 , 2018 – 10 00 am Continued Thompson continued his presentation by reviewing a summary of the financial information with the Board from 2013 to 2017 , as follows Mr Thompson congratulated and commended the Board and staff for their sound financial management and spoke on how it favorably impacts the County’s bond rating which in turn saves taxpayer money Mr Thompson also took a moment to commend the Johnston County Tax Department on the outstanding tax collection rate as well as the citizens of Johnston County for paying their taxes on time He continued with his presentation by reviewing the following information PagePage pageNumber964 January 2 , 2018 – 10 00 am ContinuedPage065 January 2 , 2018 – 10 00 am ContinuedPage166 January 2 , 2018 – 10 00 am ContinuedPage267 January 2 , 2018 – 10 00 am Continued Mr Thompson offered to answer any questions The Board briefly discussed the bond rating and what could be done to improve the rating Chairman Jeffrey P Carver stated during the bond rating agency visits , that is always a topic of discussion ChairmanPage368 January 2 , 2018 – 10 00 am Continued Carver also spoke on the importance of a good fund balance , recalling a number of years ago during the recession when the County had to use the fund balance to meet the budget Chairman Carver stated even though the fund balance looks like a big number , he cautioned it can go away very quickly Commissioner Ted G Godwin moved the Board accept the audit as presented for fiscal year ending June 30 , 2017 Commissioner Allen L Mims , Jr seconded the motion , which carried by unanimous vote 7 50 - 210 Fire Department – Resolution for Tax Exempt Loan Status Chairman Jeffrey P Carver recused himself from the discussion and vote on this item as well as the next item related to a tax exempt loan resolution for the Bentonville Fire Department and turned the meeting over to Vice Chairman Ted G Godwin Finance Director and Assistant County Manager Chad McLamb stated at the October 2 , 2017 meeting , the Board of Commissioners adopted a resolution approving tax exempt loan status for the 50 - 210 Fire Department so they could borrow up to 167,000 from First Citizens Bank at an interest rate of 214 for five years to purchase a 2018 Ford F550 4x4 Mini Rescue Truck Mr McLamb reported since that time , the County has been notified that the Fire Department should have held their own public hearing prior to bringing the request to the County Commissioners He stated the 50 - 210 Fire Department has held their required public hearing and provided the appropriate documentation to the Finance Department Mr McLamb requested the Board to adopt another resolution approving the tax exempt loan status At the inquiry of Commissioner Chad M Stewart , Mr McLamb stated there are no changes in the interest rate or other terms Commissioner Chad M Stewart moved the Board adopt the following resolution approving tax exempt loan status for the 50 - 210 Fire Department Commissioner Cookie Pope seconded the motion which carried by unanimous vote with Chairman Jeffrey P Carver abstaining NOW , THEREFORE , BE IT HEREBY RESOLVED , that the Board of Commissioners of Johnston County , North Carolina , does hereby approve a tax - exempt loan to the 50 - 210 Community Fire Department , Inc the “ VFD ” , from First Citizens Bank & Trust Company in an amount up to 167,00000 for the purchase of a 2018 Ford F550 4x4 Mini Rescue Truck RESOLVED , FURTHER , that the approval of the loan to the VFD set forth above is given solely for purposes of the public approval requirements for tax - exempt financing applicable to the VFD because of Section 150 e 3 and Section 147 f of the Internal Revenue Code of 1986 , as amended , and such approval does not obligate the County or its Board of Commissioners in any way regarding repayment of the debt Duly certified by the execution hereof and the placement hereon of the seal of said nd county , this 2 day of January , 2018 8 Bentonville Fire Department – Resolution for Tax Exempt Loan Status Finance Director and Assistant County Manager Chad McLamb stated at the November 6 , 2017 meeting , the Board of Commissioners adopted a resolution approving tax exempt loan status for the Bentonville Volunteer Fire Department so they could borrow up to 100,000 from First Citizens Bank for the purchase of a 2017 Freightliner E - One 1500 1000 Pumper Tanker at an interest rate of 245 with a 10 year term Mr McLamb reported since that time , the County has been notified that the Fire Department should have held their own public hearing prior to bringing the request to the County Commissioners He stated the Bentonville Fire Department has held their required public hearing at the fire station and he requested the Commissioners to adopt another resolution approving the tax exempt loan status Commissioner Chad M Stewart moved the Board adopt the following resolution approving tax exempt loan status for the Bentonville Fire Department Commissioner Cookie Pope seconded the motion which carried by unanimous vote with Chairman Jeffrey P Carver abstaining NOW , THEREFORE , BE IT HEREBY RESOLVED , that the Board of Commissioners of Johnston County , North Carolina , does hereby approve a tax - exempt loan to the Bentonville Volunteer Fire Department , Inc the “ VFD ” , from First Citizens Bank & Trust Company in anPage469 January 2 , 2018 – 10 00 am Continued amount up to 100,00000 for the purchase of a 2017 Freightliner E - One 1500 1000 Pumper Tanker RESOLVED , FURTHER , that the approval of the loan to the VFD set forth above is given solely for purposes of the public approval requirements for tax - exempt financing applicable to the VFD because of Section 150 e 3 and Section 147 f of the Internal Revenue Code of 1986 , as amended , and such approval does not obligate the County or its Board of Commissioners in any way regarding repayment of the debt Duly certified by the execution hereof and the placement hereon of the seal of said nd county , this 2 day of January , 2018 Vice Chairman Godwin turned the meeting back over to Chairman Carver 9 Budget Revisions At the request of Finance Director and Assistant County Manager Chad McLamb , Commissioner Ted G Godwin moved the Board approve the following budget revisions , seconded by Commissioner Cookie Pope , and carried by unanimous vote Library REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 18 44507100 Capital Improvement 13,43600 TOTAL NET EXPENDITURES 13,43600 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 18 445033418 Capital Improvement 13,43600 TOTAL NET REVENUE 13,43600 Sheriff REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 51001700 Vehicles 1,42500 10 51003100 Fuels 1819 10 51004300 Special Services 2,27500 10 51007414 Capital Outlay – Sheriff 1,95000 TOTAL NET EXPENDITURES 5,66819 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 510033099 Miscellaneous Revenue 3,71819 10 510036119 Sale of Assets 1,95000 TOTAL NET REVENUE 5,66819 Social Services REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61001110 Postage 375 10 61001400 Travel 56196 10 61003211 Verifications 10500 10 61004515 Program Expense 1,82950 10 61054500 Contract Services 60986 10 61401902 State County General Assistance 7,78299 10 61401906 State Foster Care 19350 10 61451906 State Foster Care 19350 TOTAL NET EXPENDITURES 11,28006Page570 January 2 , 2018 – 10 00 am Continued REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 610034123 Social Services Administration 11,28006 TOTAL NET REVENUE 11,28006 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61204502 Adult Day Care 20,08300 TOTAL NET EXPENDITURES 20,08300 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 612034126 Triangle J Block Grant Aging 20,08300 TOTAL NET REVENUE 20,08300 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61204504 Home Delivered Meals 120,40900 TOTAL NET EXPENDITURES 120,40900 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 612034126 Triangle J Block Grant Aging 120,40900 TOTAL NET REVENUE 120,40900 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61204500 Contract Services 107,19100 TOTAL NET EXPENDITURES 107,19100 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 612034126 Triangle J Block Grant Aging 107,19100 TOTAL NET REVENUE 107,19100 Tax Administration REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 25 62504500 Contract Services – Electronic CAMA Sketch 54,19600 Data Pictometry TOTAL NET EXPENDITURES 54,19600 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 25 625033990 Fund Balance Appropriated 54,19600 TOTAL NET REVENUE 54,19600 10 Delinquent Tax Collection Report Tax Administrator Sheila Garner reported on the collection of delinquent taxes for the month of December 2017 She presented the following information Enforced Collections December 2017 YTD Wage Garnishments 0 57 Bank Attachments 0 86 Levys 0 0Page671 January 2 , 2018 – 10 00 am Continued Foreclosures Complaints Filed December 2017 0 19 Pending Dollars Collected December 2017 000 As of December 31 , 2017 , the Tax Department has collected 7677 of the real and personal levy for 2017 There is no foreclosure sale scheduled at this time The registered motor vehicle collections for December 2017 are 1,009,99808 and YTD 17 18 is 6,778,02184 Ms Garner reported the 2018 Tax Listing Forms were mailed December 28 , 2017 and January 5 , 2018 is the last day to pay the 2017 tax bills without interest Commissioner Lee Jackson thanked the Tax Office for offering the business personal property listing system on - line and spoke on the convenience of the system Ms Garner asked Mr Jackson if he had any feedback as to how they could improve the system to please share that with her 11 Manager Reports and Comments None 12 Board Reports and Comments A Solid Waste Disposal Commissioner Ted G Godwin stated Mr Ken Taylor brought up an interesting point during the Public Comment section of the meeting regarding solid waste disposal Commissioner Godwin stated when the Board raised the decal fee approximately 1 ½ years ago , he thought that action also included the intent to discuss a more permanent resolution of that program and he feels it may be something the Board needs to discuss again B Recognition of the Finance Department Commissioner Cookie Pope commended Finance Director Chad McLamb and the Finance staff for their excellent work as was evident by the audit report 13 Closed Session – NCGS 14331811 a 5 – Acquisition of Property and NCGS 14331811 a 4 – Economic Development Upon a motion by Commissioner Ted G Godwin , seconded by Commissioner Cookie Pope , and carried by unanimous vote , the Board recessed regular session to sit in closed session for the purposes of discussing matters relating to the location or expansion of industries or other businesses in the area , pursuant to North Carolina General Statute 143 - 31811 a 4 and to establish or instruct staff concerning the negotiation of the price and terms of a contract concerning the acquisition of real property , pursuant to North Carolina General Statute 143 - 31811 a 5 No action was taken Commissioner Chad M Stewart moved the Board adjourn closed session and resume regular session Commissioner Larry Wood seconded the motion , which carried by unanimous vote There being no further business , Commissioner Larry Wood moved the Board adjourn Commissioner Chad M Stewart seconded the motion , which carried by unanimous vote The meeting adjourned at 11 10 am ____________________________ Jeffrey P Carver , Chairman Paula G Woodard , Clerk to the BoardPage