November 1, 2021 - 10:00 AM - County Board of Commissioners Meeting Minutes

10 447 Meeting of the Johnston County Board of Commissioners November 1 , 2021 10 00 am The Johnston County Board of Commissioners met in regular session Monday , November 1 , 2021 , at 10 00 am in the Commissioners Meeting Room , Johnston County Courthouse Annex , Smithfield , North Carolina The following members were present Present Chairman Chad M Stewart , Vice Chairman Larry Wood , Tony Braswell , Ted G Godwin , Patrick E Harris , RS “ Butch ” Lawter , Jr , and Fred J Smith , Jr Absent None Also Present County Manager Rick J Hester , Clerk to the Board Paula G Woodard , Finance Officer and Deputy County Manager J Chad McLamb , County Attorney Jennifer J Slusser , and Paralegal Deputy Clerk Dana Cuddington Chairman Chad M Stewart called the meeting to order at 10 00 am Commissioner Ted G Godwin opened the meeting with a prayer The Pledge of Allegiance to the American Flag was led by the American Legion Post 71 Clayton The Board was asked to remember Veteran Sam Robinson who prior to his recent passing , had been Johnston County’s oldest veteran 1 Veterans Services Office – Proclamation for Veterans Day 2021 Veterans Services Officer Robert Boyette requested the Board to adopt a proclamation for Veterans Day 2021 Chairman Chad M Stewart read the Proclamation aloud Upon a motion by Commissioner Tony Braswell , seconded by Commissioner Larry Wood , and carried unanimously , the Board adopted the following proclamation PROCLAMATION VETERANS DAY - 2021 th WHEREAS , for decades America has paused on the 11 of November , the anniversary of the armistice that concluded World War I , to remember and to honor our veterans of military service in proud and grateful recognition of the hardships and sacrifices by the millions of men and women who have defended our land in war and in peace ; and WHEREAS , the freedoms we enjoy have been purchased and maintained at a high price , as Americans have been willing , throughout our history , to fight and die to preserve their individual rights as guaranteed in the United States Constitution and the Bill of Rights ; and WHEREAS , Americans owe a great debt to all those who have served in defense of this nation throughout the generations ; for their sacrifices , often resulting in permanent injury or death , which have preserved our unique form of government dedicated to human rights and respect for the individual , and preserved our freedoms and promise of liberty as an example for oppressed persons of the world ; and WHEREAS , in honor of these dedicated men and women , we pledge our continued defense of our nation so that their sacrifice will stand before the entire world as a tribute to the spirit and determination of a people dedicated to the principle of freedom and democracy NOW , THEREFORE , the Johnston County Board of Commissioners does hereby proclaim November 11 , 2021 , as “ Veterans ’ Day ” in Johnston County , and urge our citizens to commend its observance st Proclaimed this the 1 day of November , 2021 2 Approval Discussion of Agenda Upon a motion by Commissioner Butch Lawter , seconded by Commissioner Larry Wood , and carried by unanimous vote , the Board approved the agenda as presented Page448 November 1 , 2021 – 10 00 am Continued 3 Consent Agenda Items Upon a motion by Commissioner Larry Wood , seconded by Commissioner Ted G Godwin , and carried by unanimous vote , the Board approved the consent agenda items as follows A Approval of Minutes – October 4 , 2021 , 10 00 am and 6 00 pm B Moccasin Creek Service District Board Appointment – Pine Level Representation The Board reappointed Mr Jeff Holt to represent Pine Level on the Moccasin Creek Service District Board for a term to expire on October 31 , 2023 and granted Mr Holt a waiver in the length of service policy C Tax Releases & Refunds – 09 15 2021 – 10 15 2021 Motor Vehicle Release Refund Report Year Bill # Acct # Name Tran Type Paid 2021 2109 - 649100 2108 - 671667 HAMMOND , ROBERT SHAWN Overpayment 10282 2021 2109 - 649102 2104 - 671670 SHELL , ANTHONY FRANKLIN Overpayment 10636 Real Personal Property Releases TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 9 29 2021 1 36 34 PM dwoodward2 2021 - 38005 2000230315 BUCKHORN BRANCH PARK 4,97262 DEVELOPERS , LLC 9 29 2021 1 38 20 PM dwoodward2 2021 - 49194 2000230315 BUCKHORN BRANCH PARK 4,97974 DEVELOPERS , LLC 9 29 2021 1 40 06 PM dwoodward2 2021 - 17534 2000234716 BUCKHORN BRANCH PARK 2,99343 DEVELOPERS , LLC 9 29 2021 3 43 02 PM ALassiter 2021 - 69889 2000052579 NEAL , WILLIAM T 10754 9 30 2021 12 59 37 PM ALassiter 2021 - 27242 2000098077 DAVIS , MICHAEL PAUL 18067 9 30 2021 2 57 26 PM ALassiter 2021 - 113322 2000212524 BRANSTAR TRANSPORTATION LLC 63342 10 1 2021 11 29 03 AM ALassiter 2021 - 30231 2000190128 DUNRY PIEDMONT CORP 29779 10 1 2021 3 47 13 PM ALassiter 2019 - 114358 2000214455 RAMIREZ , SARA 10955 10 6 2021 9 23 43 AM ALassiter 2021 - 202971 2000220959 OCM AVIATION LLC 26939 10 6 2021 11 52 13 AM cfutch 2020 - 47693 2000039569 INDUSTRIAL ELECT SVC INC 14700 10 14 2021 9 39 29 AM ALassiter 2021 - 203673 2000196613 MCCOY - LANIER , LAURA E 24014 Real Personal Property Refunds TRANS DATE TIME USER YR BILL # ACCT # TAXPAYER NAME AMOUNT 9 20 2021 3 03 26 PM LOCKBOX 2021 - 27671 25273625 DICKINSON , ELEANOR GWYNN 23398 9 23 2021 2 37 38 PM LOCKBOX 2021 - 104174 2000234119 CTHF , LLC 3,71709 9 24 2021 12 35 08 PM ajsoutherland 2021 - 67721 2000191702 MOORE , JEREMY WADE 10627 9 24 2021 2 42 31 PM LOCKBOX 2021 - 24450 2000163344 CREECH , ERNEST M 12000 9 29 2021 7 56 27 AM tcronan 2021 - 83136 2000168347 ROBERTS , JOHNNIE H JR 23034 9 30 2021 2 45 49 PM LOCKBOX 2020 - 108824 2000203902 INDUSTRIAL SYSTEMS 16018 INTEGRATION INC 9 30 2021 2 45 49 PM LOCKBOX 2021 - 107044 2000190075 RRT INVESTMENTS , LLC 1,51829 10 1 2021 12 00 17 PM ajsoutherland 2020 - 29399 2000044431 DUPREE , JAMES MACK 18718 10 1 2021 2 44 49 PM LOCKBOX 2021 - 105178 2000220012 IVEY , RICHARD EUGENE JR 22051 10 4 2021 11 16 06 AM jmorrow 2021 - 32683 2000124863 FERNANDEZ , EDWARD 19000 10 4 2021 2 30 41 PM awestbrook 2021 - 31846 2000107997 SCRATCH LAND COMPANY LLC 45622 10 4 2021 3 01 48 PM LOCKBOX 2021 - 19523 2000185864 J & N DEVELOPERS LLC 46900 10 4 2021 3 22 24 PM ajsoutherland 2021 - 66145 2000135394 MIDIRI , DAVID ANTHONY 26219 10 6 2021 11 55 12 AM cfutch 2020 - 47693 2000039569 INDUSTRIAL ELECT SVC INC 15331 10 6 2021 4 15 36 PM ajsoutherland 2021 - 7669 2000085288 BARNES , MARY SUSAN 10000 10 7 2021 2 40 23 PM ajsoutherland 2021 - 272 2000179690 894 GRACE ROAD LLC 48982Page449 November 1 , 2021 – 10 00 am Continued 10 7 2021 3 27 13 PM LOCKBOX 2021 - 32635 2000144407 FEREZ , NICHOLAS J 1,33712 10 7 2021 3 27 13 PM LOCKBOX 2020 - 39301 2000071961 GUTOWSKI , MICHAEL E 5,26874 10 7 2021 3 27 13 PM LOCKBOX 2021 - 19520 2000185864 J & N DEVELOPERS LLC 33500 10 7 2021 4 05 45 PM jevans 2021 - 39301 2000071961 GUTOWSKI , MICHAEL E 11795 10 12 2021 10 36 25 AM Jodee 2021 - 3129 2000206027 ANDERSON , DEBORA JENKINS 53600 Langdon 10 12 2021 3 20 46 PM LOCKBOX 2021 - 48230 2000087429 JAMES THURMAN & MARGARET 75005 PAINTER DAVIS REVOCABLE L 10 15 2021 12 27 01 PM Jodee 2021 - 49221 2000201434 JOHNS , KENNETH LLOYD 42580 Langdon 10 15 2021 1 52 27 PM Jodee 2020 - 65043 2000147444 MCLAMB , KEVIN PHILLIP 17661 Langdon 10 15 2021 2 54 58 PM LOCKBOX 2021 - 2022 2000155955 ALLEN , MAVIS J 6,16562 10 15 2021 2 54 58 PM LOCKBOX 2021 - 47704 2000171769 J & J FLOWERS FINCH INC 34318 North Carolina Vehicle Tax System - Pending Refund Report – September 2021 100 + Payee Name Bill # Transaction Refund Total Change # Reason DIAZ , LUIS 0062702922 153293088 Military 24571 ALEJANDRO 3113 27684 MCLEAN , 0062969030 306585788 Situs error 000 REGINALD 33058 PHILBERT 6960 11019 37117 PETERSON , 0061266173 151867362 Adjustment 10948 EDWIN ODELL 1152 JR 12100 SALAZAR RUIZ , 0062977540 305896644 Situs error 000 MOISES 25454 3126 8485 30813 THOMPSON , 0058051320 153379084 Adjustment 19929 FELTON 6006 GLENN 25935 THOMPSON , 0058051590 153379092 Adjustment 13067 FELTON 3938 GLENN 17005 TUCKER , 0061569533 152183044 Military 25089 JESSICA LEE 1980 27069 WEST , WILLIE 0062450714 152817000 Adjustment 11704 ANDERSON JR 1078 12782 WEST , WILLIE 0062450750 152817002 Adjustment 27229 ANDERSON JR 4103 31332Page450 November 1 , 2021 – 10 00 am Continued 4 COVID - 19 & Emergency Rental Assistance Program Updates COVID - 19 Health Director Dr Marilyn Pearson thanked Chairman Chad M Stewart for all his support to the Health Department over the years Dr Pearson shared a handout with the Board highlighting the cases as of the end of last week She stated the number of positive cases for Johnston County now totals over 32,216 as of November 1 , 2021 and as of last Friday , there were 30 hospitalizations and 342 deaths Dr Pearson indicated that there have been 238 074 reinfections and breakthroughs of 905 28 She stated the 14 - day positivity rate has decreased to 54 Dr Pearson stated testing continues across the County and 55 of the eligible population have been fully vaccinated Dr Pearson stated boosters are being administered , and there were 1,200 Moderna and J & J vaccines administered last week She stated the CDC is expected to approve vaccines for ages 5 - 11 this week and that there are around 20,000 children in Johnston County eligible for the vaccine Dr Pearson indicated that once the vaccines are approved coordination could begin for the Johnston County Health Department to hold a clinic Dr Pearson stated individuals are encouraged to get tested if they are symptomatic or have had close contact with someone with COVID - 19 She stated monoclonal antibody treatment is available for positive individuals to prevent hospitalizations and to save lives Commissioner Ted G Godwin stated that he and his spouse were at a clinic last week to receive the booster shot and he was encouraged by the number of citizens waiting to receive their vaccine At the inquiry of Commissioner Butch Lawter , Dr Pearson stated that when reviewing the predictive model there are indicators that there could be a small peak , but there are some counties in North Carolina in the yellow and orange range which means cases are going down and she is hopeful that will continue ERA Program Finance Director and Deputy County Manager Chad McLamb provided an update to the Board on the Emergency Rental Assistance ERA Program Funds Mr McLamb reported that to date , approximately 26 million in assistance has gone out He noted the average daily amount being sent out is around 30,000 and so far , 825 families have received assistance Mr McLamb stated applications are continuing to come in every day and staff has been working with the County’s consultant , Yardi , to keep up with the requests Mr McLamb stated everyone is working well together and many people are receiving the needed assistance Commissioner Patrick E Harris asked if the citizens ’ questions are being answered in a timely manner by Yardi Mr McLamb responded that Yardi is being responsive and meeting the reporting requirements He stated the process is working well 5 Public Comments Mr Ken Taylor , Clayton , stated that over the past couple of months pipe has been accumulating on Gordon Road for a water main project and he noticed that the pipe has “ Made in the USA ” stamped on it , which he is glad to see Mr Taylor further informed the Board regarding a recent article he read about contentious school board meetings in Minnesota Mr Taylor stated that the school board arbitrarily required that citizens give their address when speaking and he asked that the Johnston Board of Commissioners reconsider this policy for the safety of citizens Mr Taylor stated that he was aware it is sometimes required at zoning hearings , but he suggested a sign - up sheet may be more discreet Chairman Chad M Stewart stated that this matter was addressed at the last meeting when another citizen had requested the Board to consider the matter Chairman Stewart stated while the address of speakers is required for quasi - judicial hearings of the Board , going forward for public comment , it is acceptable for citizens to provide just the general town or township in which they live Mr Taylor thanked Chairman Stewart for his service to the County and wished him well in the future PagePage pageNumber5451 November 1 , 2021 – 10 00 am Continued 6 Public Hearing – Proposed Economic Development Incentive Grant Advertised – The News & Observer , The Johnstonian News and The News in Review – October 20 , 2021 Chairman Chad M Stewart opened the public hearing Economic Development Director Chris Johnson stated last month he reported that Johnston County has achieved over 3 billion in economic development announcements , which have created thousands of jobs He stated all of this has all been made possible because of the leadership that current and former Boards have provided through a green tape pro - business approach Mr Johnson stated today’s incentive grant proposal is for AdvanceTec’s desire to build a state - of - the - art manufacturing facility on US Hwy 70 Business in the ETJ of Smithfield Mr Johnson stated the company plans to construct a 40,000 square foot manufacturing complex for their own needs , but also partner with Johnston County in the newly created spec building lease program by constructing an additional 70,000 square feet of space that can be marketed to future employers considering Johnston County Mr Johnson stated the project has an investment of over 10 million and will add 25 new jobs at an average annual salary of over 125,000 , which is almost triple Johnston County’s average annual salary Mr Johnson stated as with all incentive grant proposals , it comes at no risk to the taxpayers , and only from the company’s own investment Mr Johnson stated if required benchmarks in the agreement are not met , then no incentive is given Mr Johnson stated this proposal has been vetted and approved by the Economic Development Advisory Board and evaluated by Dr Mike Walden , retired Economic Development Professor and Economist with North Carolina State University Mr Johnson asked the Board to consider the incentive grant for AdvanceTec as well as the memorandum of understanding for the spec building project He stated AdvanceTec is a locally owned small business out of Richmond , Virginia and they could have settled anywhere in North Carolina or in Richmond , but they chose Johnston County Commissioner Ted G Godwin asked for clarification of the total building space Mr Johnson explained the building will be close to 100,000 square feet with AdvanceTec taking 40,000 square feet and the remaining 70,000 square feet being marketed through the County’s new spec building lease program Mr Johnson stated he is hopeful that the additional space will attract future opportunities for the County and noted that five projects have been declined just in the last month due to lack of ready space County Attorney Jennifer Slusser presented a Resolution and terms for the proposed economic development incentive grant along with Memorandum of Understanding for the additional building space to be used in the spec building program Ms Slusser explained that the factors to be considered when evaluating the incentive grant proposal are job creation , capital investment , competition , and if the project diversifies the economy Ms Slusser stated the incentive proposal is for a 10 million investment to construct approximately 100,000 square feet of Class A manufacturing space off US Hwy 70 in the Wilson’s Mills Township and Town of Smithfield ETJ She stated the project will serve as a catalyst for development at that particular US Hwy 70 corridor Ms Slusser reported the company is committing to not less than 20 full - time jobs with an average annual salary of 100,000 She stated the project is to be completed by December 31 , 2022 , and the job creation by December 31 , 2023 Ms Slusser stated the grant would be annual cash payments for five years beginning March 15 , 2023 and continuing through March 15 , 2027 and measured as 50 of the ad valorem taxes paid by the company during the investment period Ms Slusser stated AdvanceTec has agreed to make all the capital investments by December 31 , 2022 , attain employment goals by December 31 , 2023 , and provide a certification of the investments that are reviewed by the Economic Development Office , the County Attorney , and the Johnston County Tax Office Ms Slusser reviewed the following conditions of the incentive grant with the Board , as follows • AdvanceTEC and any Affiliate are then current in the payments of all taxes , charges , and fees of every nature owed by them to the County ; • All taxes , charges , and fees of every nature owed to the County for the Project Site and all assets located at the Project Site are in a current payment status by whoever payable ; • There is no current appeal pending regarding the valuation of property at the Project Site in which case any Grant payment will be held in abeyance pending final resolution of the appeal ;PagePage pageNumber6452 November 1 , 2021 – 10 00 am Continued • No violation of any other obligations of AdvanceTEC or any Affiliate to the County , including conformity with all County ordinances and regulations and any laws , orders or regulations that the County is obligated to enforce against AdvanceTEC or an Affiliate on behalf of another body of government , has occurred and not been cured ; and • Each of AdvanceTEC and any Affiliate has complied with its other obligations and duties to the County as set forth herein The payment of all taxes and other sums due the County for the Eligible Investments is a material condition of eligibility for a Grant in any year during the term of this Agreement and shall not be construed as implying or suggesting that the County is reimbursing to AdvanceTEC any or all ad valorem tax collected from AdvanceTEC or an Affiliate Ms Slusser further presented the terms within the Memorandum of Understanding for the spec building program as follows 1 AdvanceTEC agrees to contribute the land for the construction of the Spec Building and agrees to enter into necessary agreements for developing and constructing the Spec Building on Site as shown on Exhibits A and B The building to be constructed is more particularly described on Exhibit C 2 AdvanceTEC will cause the construction of a 98,280 square foot building on Site , to its completion AdvanceTEC shall secure all financing for the construction of the Spec Building and will be wholly responsible for all costs associated with site development and the Spec Building 3 AdvanceTEC will use its best efforts to cause said building to be completed to its finished state of completion on or before December 31 , 2022 4 AdvanceTEC will remain the owner of the building until it finds an end user , either by sale or lease AdvanceTEC will use its best efforts to find an end user who will provide a significant number of jobs paying at or above county average wage Prior to entry of a lease sales agreement with an end user , AdvanceTEC will provide County with information regarding the end user including the anticipated number of jobs that will be created , average wage , and trade of business 5 Once the building is complete and a certificate of occupancy is issued , County will enter into a lease agreement with AdvanceTEC for 68,88631 square feet + - of Spec Building space with parking on Site The terms of the lease will be detailed in the lease agreement , with rent not to exceed 11,48105 per month or up to 137,77262 per year , for not more than twenty - four months after completion of the Spec Building In the event the lease is terminated early due to a lease or sale to a new end user , the obligation to pay rent shall cease and any rent prepaid shall be reimbursed to County by AdvanceTec 6 County may use the Spec Building space it leases for any public purposes as may be allowable by law County intends to use the Spec Building space it leases to market the County as a whole and entice new businesses to come to Johnston County or expand existing businesses in Johnston County New or expanded business will help to increase the tax base and allow more job opportunities for citizens County intends to conduct site visits and events at the Site showcasing the opportunities businesses and industry have to locate to County 7 This agreement is governed by and shall be construed in accordance with the laws of the State of North Carolina ; venue of any action shall be in the general courts of justice in Johnston County 8 This Memorandum of Understanding shall terminate if an end user of the Spec Building at Site is found before the parties enter into a lease agreement , if the building is not constructed to full occupancy , or when the lease terminates Ms Slusser recapped her remarks by stating the project will provide for job creation , in this case not less than 20 employees , with an average annual salary of 100,000 and the Walden Report indicates the private sector direct and indirect job creation would be 55 new jobs Ms Slusser stated the Walden Report further indicates a private sector annual operating impact with direct , indirect , and induced impacts from development estimated at 159 million Ms Slusser stated the Board must also determine if there is a “ but for ” in a competitive situation and this project was competitive with the County competing with several locations in various states She stated the project meets all the County’s incentive policies and the hearing was properly noticed Ms Slusser stated a written agreement would govern the requirements of all parties and would be attached to the resolution if adopted Ms Slusser stated diversification of the economy along with job creation and increasing the tax base is an indicator of net public benefit arising from an incentive She stated diversification of the economy refers to significant impacts on sectors of the economy or making a locationPagePage pageNumber7453 November 1 , 2021 – 10 00 am Continued attractive for additional development which is all addressed in the Walden Report Ms Slusser stated more importantly , having spec ready space available to attract new businesses and finding an end user that will bring jobs to the County meets this purpose She offered to answer any questions Mr Johnson readdressed the Board and stated AdvanceTec works with pharmaceutical companies and builds clean rooms Mr Johnson said that Johnston County has formed a great relationship with AdvanceTec and he looks forward to continue working with them Mr Bryan Phelan , Managing Partner and Director of Customers for AdvanceTec , stated this was a competitive evaluation and the company is fortunate to serve world - class customers throughout the United States and they are hopeful to expand that business outside of the United States Mr Phelan introduced Drew Fischer , Director of Operations - South , and John Burton , Founder Owner and Director of Technology He stated AdvanceTec has served Novo Nordisk and Grifols in the past and this facility would allow the company to differentiate themselves in the marketplace and serve the biotech community here in the region as well as outside North Carolina Mr Phelan stated the project was competitive , he has enjoyed working with Mr Johnson and Ms Slusser , and he asked the Board to look upon this project favorably Chairman Chad M Stewart thanked AdvanceTec for their investment in Johnston County Chairman Stewart called for anyone else in the audience that wished to comment to come forward There being no citizen comments , he called for any final comments or questions by Commissioners Upon a question by Commissioner Ted G Godwin , Ms Slusser stated in this situation , the commitments all stay with AdvanceTec and no incentives would be paid to any other party other than AdvanceTec under this agreement Commissioner Butch Lawter stated that the Board is familiar with incentive grants , but this is the first time the Board has considered a Memorandum of Understanding for a lease agreement for spec space He asked for clarification on the lease rate for the spec space Mr Johnson stated that the Memorandum of Understanding was originally based on a 3 lease rate as was discussed during budget adoption ; however , the Economic Development Advisory Board recommended a 2 lease rate since an incentive grant was also being offered to the company Mr Johnson stated AdvanceTec is aware and understands the terms Mr Johnson stated until a tenant is found , the County would pay just over 11,000 a month Mr Johnson said Johnston County has been competing against Wilson , Chatham , and Lee Counties and he is hopeful that this new spec building program tool will bring and keep high paying jobs in Johnston County Mr Johnson stated since the pandemic began , Johnston County has turned away over 60 projects due to the lack of ready building space Commissioner Godwin commended Mr Johnson and the company for this project and its innovative approach Commissioner Lawter stated at budget time , there was discussion about increasing the tools , and he is glad to see this added Upon a motion by Commissioner Tony Braswell , seconded by Commissioner Ted G Godwin , and carried unanimously , the Board adopted the following resolution approving the Economic Development Incentive Grant Agreement and the Memorandum of Understanding between the County and AdvanceTec RESOLUTION OF THE JOHNSTON COUNTY BOARD OF COMMISSIONERS AUTHORIZING INCENTIVES FOR ECONOMIC DEVELOPMENT WHEREAS , the County seeks to promote economic growth and development within its jurisdiction and the social and economic improvement of its citizens , and desires to accelerate the quality and quantity of economic growth and employment opportunities in its jurisdiction by encouraging business enterprises satisfying the aforementioned public purposes and thereby reduce physical , economic and social distress resulting from unemployment and under employments existing in its jurisdiction ; WHEREAS , while Johnston County offers many advantages as a business destination , it suffers from a shortage of ready - to - go industrial , assembly , manufacturing , distribution and warehouse space and has developed a Speculative Building Assistance Program to promote economic growth and development opportunities ;PagePage pageNumber8454 November 1 , 2021 – 10 00 am Continued WHEREAS , the County is in discussions with AdvanceTec , LLC the “ Company ” to induce the Company to locate a new manufacturing warehouse facility the “ Facility ” which will produce a variety of clean room and integration products for biopharmaceutical facilities and to build out additional Class A speculative building space for additional assembly , manufacturing and distribution purposes on a Project Site west of the Town of Smithfield in the Wilsons Mills Township of Johnston County , which is an area strategically important to the County and a valuable asset enhancing the County’s economic development efforts ; WHEREAS , the Company proposes to develop and build a 98,280 square foot building and develop , build , equip , and occupy 32,48856 square feet of the building for its clean room and integration products while offering an additional 68,88631 square feet for the County’s Speculative Building Assistance Program , worth th approximately ten million and 00 100 dollars 10,000,00000 The Board proposes to offer additional Incentives through a lease of 68,88631 square feet of speculative space in the newly constructed building ; WHEREAS , North Carolina General Statute 158 - 71 a authorizes the County to make appropriations for economic development purposes which will increase the population , taxable property , employment , industrial output or business prospects of the County ; WHEREAS , the Board has determined that granting incentives the “ Incentives ” to the Company in exchange for the commitment of the Company to locate , develop and build out the manufacturing and warehouse facility with additional Class A speculative building space on the Project Site in Johnston County would be beneficial to the County’s efforts to increase economic opportunities for its residents , its population , ad valorem tax revenues and sales tax revenues , and enhance and improve business prospects in general , including the creation of a substantial number of jobs ; WHEREAS , the Board has received and reviewed a proposed Economic Development Incentive Agreement between the County and the Company the “ Agreement ” and the proposed Memorandum of Understanding “ MOU ” between the County and Company providing for the County’s granting the Incentives to the Company in consideration of the Company’s commitments set forth in the Agreement and MOU ; 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 manufacturing facility with additional speculative building space in Johnston County NOW THEREFORE , the Board 1 Determines and concludes a that granting the Incentives in exchange for the commitment of the Company to proceed with the development and buildout of the 98,280 square foot Facility on the Project Site would be beneficial to the County’s efforts to increase overall economic opportunities for , and improve the general welfare of , its residents and increase its population , ad valorem tax revenues , sales tax revenues and business prospects in general and result in the creation of a number of new well - paying jobs in the County , b that , in particular , the development of the Facility at the Project Site in accordance with the provisions of the Plans , Agreement , and MOU would significantly accelerate the economic development and have a positive catalytic effect on economic development throughout the County , and c that the benefits described above accruing to the County will outweigh the cost of the Incentives granted hereunder , creating a net public benefit ; and 2 In consideration for the commitment by the Company to proceed with the development and buildout of the Facility on the Project Site in accordance with the terms set forth in the Plans , Agreement and Memorandum of Understanding , authorizes the Chairman of the Board and , alternatively , the County Manager , subject to compliance with any pre - audit requirements under the Local Government Budget and Fiscal Control Act , to enter into and execute the Agreement , MOU and any other necessary documents including leases , on behalf of the County for the County to grant Incentives on terms not materially inconsistent with the Agreement as set forth on Exhibit A and the MOU set forth on Exhibit B , both attached hereto and incorporated herein by reference 3 The Agreement shall be construed as a continuing contract in accordance with North Carolina General Statutes § 153A - 13 Adopted this the 1st day of November , 2021 PagePage pageNumber9455 November 1 , 2021 – 10 00 am Continued 7 Public Utilities – 210 Wastewater Treatment Facility – Construction Contract Award and Budget Revision Utilities Director Chandra Farmer thanked Chairman Chad M Stewart for his service to the County and his support to the Utilities Department Ms Farmer reported the County received bids on October 7 , 2021 , for construction of the 210 Wastewater Treatment Facility Ms Farmer stated the proposed project is included in the County’s previously approved Water and Sewer Capital Improvements Plan and required for additional wastewater treatment capacity within the County’s system She recalled that the Board of Commissioners accepted a loan offer on June 21 , 2021 , for the project in the amount of 83,351,54200 Ms Farmer reported the County received four 4 bids , as follows Ms Farmer stated Adams Robinson Enterprises , Inc of Dayton , OH submitted the lowest responsive base bid in the amount of 69,131,00050 She noted the bid form included several options for deductive and additive alternates Ms Farmer reported Adams Robinson Enterprises , Inc is properly licensed and experienced in the type of construction involved and appears to have the financial , labor and equipment resources required to complete the construction within the stipulated contract completion time She presented the previously approved and proposed project budget , as follows Existing Proposed Construction 32,930,00000 68,754,00000 Contingency 1,882,93100 3,437,77000 Tech Services Engineering Survey GeoTech Construct Admin 4,532,06900 9,097,94800 Easements 65,00000 75,00000 Loan Closing 783,00000 1,667,03000 Nitrogen Acquisition Phillips Plating 500,00000 490,00000 Total Project Cost 40,693,00000 83,521,74800 Funding for the proposed project is as follows Transfer from Other Sewer Funds proposed from SDF Reserve 1,543,00000 2,157,03000 State Clean Water Loan 11 , 20 years 39,150,00000 83,351,54200 Total Project Funds 40,693,00000 85,508,57200 Ms Farmer stated staff recommends award of the 210 Wastewater Treatment Facility project to Adams Robinson Enterprises , Inc in the amount of 68,754,00000 based on base bid with item A - 3 deduct and adoption of the award resolution contingent upon funding agency approval , approval of the revised project budget , and adoption of the Capital Project Ordinance Ms Farmer said the loan amount will be increased to 92 million There will be a 30 million project deficit She said that staff recommends in the spring , through the Division of Water Infrastructure , applying for more ARPA funds If the County does not secure that , staff can utilize the County’s existing ARPA funds to complete this project , but the goal is to obtain funding through the State so the County can stretch the existing ARPA funding as much as possible Commissioner Ted G Godwin asked if the loan commitment from the State is modified , how does it affect the interest rate Ms Farmer responded that typically the rate remains the same She stated the rate is 11 for 20 years and a revised loan offer will come back to the Board Page0456 November 1 , 2021 – 10 00 am Continued Commissioner Butch Lawter stated the original budget was 33 million and he asked for clarification on the differences Ms Farmer stated the initial loan offer from the State was for 30 million and the County accepted that loan offer and applied it towards the project at that time She added the budget was not revised at that time ; however , staff was aware that the project was going to be larger , but felt that the budget could be revised as funds became available She stated the initial loan was accepted so engineering , design , and other technical aspects of the project could begin Motion Commissioner Fred J Smith , Jr moved the Board award the 210 Wastewater Treatment Facility project to Adams Robinson Enterprises , Inc in the amount of 68,754,00000 based on base bid with item A - 3 deduct ; adopt the award resolution contingent upon funding agency approval ; approve the revised project budget ; and adopt the Capital Project Ordinance Commissioner Ted G Godwin seconded the motion Discussion Upon further questions by Commissioner Lawter , Ms Farmer explained that there is currently a limitation with nitrogen credits ; therefore , the actual capacity will increase a net of 2 million gallons per day She stated once additional nitrogen is secured , the capacity could be further increased Commissioner Lawter commented that considering the future wastewater needs and requests from the municipalities and others , a net of 2 million gallons per day will not get very far Commissioner Lawter spoke on the need to continue with smart planning for the future Ms Farmer agreed and stated the Capital Improvements Plan does take the future into account and staff will be evaluating options for adding additional capacity Commissioner Godwin stated of the four bidders , three are from North Carolina He stated the low bid is considerably lower and asked if there were concerns about this bid as compared to the other three Ms Farmer stated staff has no concerns and the bidder has assured staff that everything is accurate with their bid Ms Farmer stated this would be the first project with Adams Robinson Enterprises , Inc but they had good references and there was a prequalification process Vote The motion carried unanimously RESOLUTION OF TENTATIVE AWARD WHEREAS , Johnston County , North Carolina has received bids , pursuant to duly advertisement notice therefore , for construction of the 210 Wastewater Treatment Facility , and WHEREAS , the Department of Public Utilities has reviewed the bids for the 210 Wastewater Treatment Facility project ; and WHEREAS , Adams Robinson Enterprises , Inc was the lowest bidder for the 210 Wastewater Treatment Facility Project , in the total base bid amount of 69,131,00000 and the total base bid with deduct alternative A - 3 in the amount of 68,754,00000 ; and WHEREAS , the Director of Utilities recommends TENTATIVE AWARD to the lowest bidder NOW , THEREFORE , BE IT RESOLVED that TENTATIVE AWARD is made to the lowest bidder in the Total Bid Amount of 68,754,00000 Name of Contractor Amount Adams Robinson Enterprises , Inc 68,754,00000 BE IT FURTHER RESOLVED that such TENTATIVE AWARD be contingent upon the approval of the North Carolina Department of Environmental Quality This is 1st day of November , 2021 CAPITAL PROJECT ORDINANCE FOR THE JOHNSTON COUNTY 210 WASTEWATER TREATMENT FACILILTY 40 MILLION GALLONS PER DAY EXPANSION PROJECTPage1457 November 1 , 2021 – 10 00 am Continued BE IT RESOLVED by the Board of Commissioners the “ Board ” of the County of Johnston , North Carolina the “ County ” , that pursuant to Section 132 of Chapter 159 of the General Statutes of North Carolina , the following capital project ordinance is hereby adopted , as amended Section 1 The project authorized is the Johnston County 210 Wastewater Treatment Facility 40 MGD Expansion Project the “ Project ” The Project is to be financed by a Clean Water State Revolving Fund Loan and an appropriation from the County Sewer Fund “ Fund 68 ” Section 2 The officers of the County are hereby directed to proceed with the capital Project within the terms of the State Clean Water Revolving Fund Loan offer and the budget contained herein Section 3 The following amounts are appropriated for the Project Technical Services 9,097,948 Construction 70,740,824 Easements 75,000 Nitrogen Acquisition 490,000 Contingency 3,437,770 Loan Closing 1,667,030 Total 85,508,572 Section 4 The following revenues are anticipated to be available to complete this Project State Clean Water Revolving Fund Loan 83,351,542 Fund 68 Appropriation 2,157,030 Total 85,508,572 Section 5 The Director of Finance is hereby directed to maintain within the Capital Project Fund sufficient specific detailed accounting records to satisfy the requirements of the North Carolina Department of Environmental Quality and the terms of the State Clean Water Revolving Fund Loan shall be met Section 6 Funds may be advanced from Fund 68 for the purpose of making payments as due Reimbursement requests should be made to the North Carolina Department of Environmental Quality in an orderly and timely manner Section 7 The Director of Finance is hereby directed to report annually on the financial status of each Project element in Section 3 and the total revenue received Section 8 Copies of this capital project ordinance shall be furnished to the Clerk to the Board of Commissioners , the Budget Officer and the Director of Finance for direction in carrying out this Project st Amended this 1 day of November , 2021 8 Public Utilities – Ingrams Township Water District – Hydraulic Improvements Construction Contract Award and Budget Revision Upon a motion by Commissioner Larry Wood , seconded by Commissioner Patrick E Harris , and carried unanimously , the Board voted to sit as the Ingrams Township Water District Utilities Director Chandra Farmer reported the County received bids on October 7 , 2021 , for the Ingrams Township Water District 2018 - 2019 Hydraulic Improvements project She stated the proposed project is included in the County’s previously approved Water and Sewer Capital Improvements Plan , and the Ingrams Township Water District Board accepted a loan offer for the project on May 4 , 2020 Ms Farmer stated the County received seven 7 bids , as follows Page2458 November 1 , 2021 – 10 00 am Continued Ms Farmer reported that Ralph Hodge Construction Co of Wilson , NC submitted the lowest responsive bid in the amount of 2,535,56350 She stated Ralph Hodge Construction Company is properly licensed and experienced in the type of construction involved and appears to have the financial , labor and equipment resources required to complete the construction within the stipulated contract completion time Ms Farmer presented the previously approved and proposed project budget Existing Proposed Construction 2,442,00000 2,535,56400 Contingency 188,91000 126,78000 Tech Services Engineering Survey GeoTech Construct Admin 222,78500 221,20000 Easements 96,30500 108,00000 Loan Closing 59,00000 59,00000 Total Project Cost 3,009,00000 3,050,54400 Funding for the proposed project is as follows Water District Fund Balance 59,00000 100,54400 State Reserve Project Loan 142 , 20 years 2,950,00000 2,950,00000 Total Project Funds 3,009,00000 3,050,00000 Ms Farmer stated staff recommends award of the Ingrams Township Water District 2018 - 2019 Hydraulic Improvements project to Ralph Hodge Construction Co in the amount of 2,535,56350 and adoption of the award resolution contingent upon funding agency approval , approval of the revised project budget , and adoption of the Capital Project Ordinance Upon a motion by Commissioner Butch Lawter , seconded by Commissioner Patrick E Harris , and carried unanimously , the Board awarded the Ingrams Township Water District 2018 - 2019 Hydraulic Improvements project to Ralph Hodge Construction Co in the amount of 2,535,56350 ; adopted the following award resolution contingent upon funding agency approval ; approved the revised project budget ; and adopted the following Capital Project Ordinance RESOLUTION OF TENTATIVE AWARD WHEREAS , the Ingrams Township Water District in Johnston County , North Carolina has received bids , pursuant to duly advertisement notice therefore , for construction of the Ingrams Township Water District 2018 - 2019 Hydraulic Improvements project ; and WHEREAS , Johnston County Public Utilities has reviewed the bids ; and WHEREAS , Ralph Hodge Construction Co of Wilson , NC was the lowest bidder for the Ingrams Township Water District 2018 - 2019 Hydraulic Improvements project , in the total bid amount of 2,535,56350 ; and WHEREAS , Johnston County Public Utilities recommends TENTATIVE AWARD to the lowest bidder NOW , THEREFORE , BE IT RESOLVED that TENTATIVE AWARD is made to the lowest bidder in the Total Bid Amount of 2,535,56350 BE IT FURTHER RESOLVED that such TENTATIVE AWARD be contingent upon the approval of the North Carolina Department of Environmental Quality This is 1st day of November , 2021 CAPITAL PROJECT ORDINANCE FOR THE INGRAMS TOWNSHIP WATER DISTRICT 2018 - 2019 HYDRAULIC IMPROVEMENTS PROJECT BE IT RESOLVED by the Board of Commissioners the “ Board ” of the County of Johnston , North Carolina the “ County ” , sitting as the governing body of the Ingrams Township Water District the “ District ” , that pursuant to Section 132 of Chapter 159 of the General Statutes of North Carolina , the following capital project ordinance is hereby adopted Section 1 The project authorized is the Ingrams Township Water District 2018 - 2019 Hydraulic Improvements Project the “ Project ” The Project includes approximately 13,500 linear feet of 16 - inch water main along US 301 and piping connection modifications in the vicinity of the Jones Brothers Tank , and is to be financed by a State Water Infrastructure Authority State Reserve Project Loan and an appropriation from the Water District Operating Fund “ Fund 69 ” Section 2 The officers of the District are hereby directed to proceed with the capital Project within the terms of the State Reserve Project Loan offer and the budget contained herein Section 3 The following amounts are appropriated for the Project Page3459 November 1 , 2021 – 10 00 am Continued Technical Services 221,200 Easement Preparation and Acquisition 108,000 Construction 2,535,564 Contingency 126,780 Loan Closing 59,000 Total 3,050,544 Section 4 The following revenues are anticipated to be available to complete this Project State Reserve Project Loan 2,950,000 Fund 69 Appropriation 100,544 Total 3,050,544 Section 5 The Director of Finance is hereby directed to maintain within the Capital Project Fund sufficient specific detailed accounting records to satisfy the requirements of the North Carolina Department of Environmental Quality and the terms of the State Reserve Project Loan shall be met Section 6 Funds may be advanced from Fund 69 for the purpose of making payments as due Reimbursement requests should be made to the North Carolina Department of Environmental Quality in an orderly and timely manner Section 7 The Director of Finance is hereby directed to report annually on the financial status of each Project element in Section 3 and the total revenue received Section 8 Copies of this capital project ordinance shall be furnished to the Clerk to the Board of Commissioners , the Budget Officer and the Director of Finance for direction in carrying out this Project Amended this 1st day of November , 2021 Upon a motion by Commissioner Larry Wood , seconded by Commissioner Patrick E Harris , and carried unanimously , the Board voted to adjourn as the Ingrams Township Water District and resume regular session as the Johnston County Board of Commissioners 9 Budget Revisions Commissioner Tony Braswell moved , seconded by Commissioner Fred J Smith , Jr , and carried by unanimous vote , that the Board approve the following budget revisions Sheriff REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 51001400 Travel 97330 10 51001700 Vehicles 6,52356 10 51004300 Special Services 2000 10 51007414 Capital Outlay – Sheriff 15,75498 TOTAL NET EXPENDITURES 23,27184 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 510032106 Controlled Substance Tax 67998 10 510032509 Insurance Recovery 5,56856 10 510033099 Miscellaneous Revenue 99330 10 510035104 Sheriff Fees 95500 10 510036119 Sale of Assets 15,07500 TOTAL NET REVENUE 23,27184 Social Services REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION EXPENDITURE INCREASE DECREASE Page4460 November 1 , 2021 – 10 00 am Continued 10 61001400 Travel 1500 10 61001410 Employee Training 1,16400 10 61001900 General Assistance 64440 10 61004515 Program Expense 71708 10 61401902 State County General Assistance 11,06700 10 61401905 IV - E Foster Care 21844 10 61401906 State Foster Care 2,48567 10 61451905 IV - E Foster Care 1,11794 10 61451906 State Foster Care 53405 TOTAL NET EXPENDITURES 17,96358 REQUESTED CHANGE FUND BUDGET CODE LINE ITEM CLASSIFICATION REVENUE INCREASE DECREASE 10 610034123 Social Services Administration 17,96358 TOTAL NET REVENUE 17,96358 10 Delinquent Tax Collection Report Tax Administrator Jocelyn Andrews thanked Chairman Chad M Stewart for his years of service to Johnston County and wished him well on his future endeavors She reported on the collection of delinquent taxes for the month of September 2021 , as follows Enforced Collections September 2021 YTD 21 22 Wage Garnishments 22 73 Bank Attachments 18 76 Levies 0 0 Foreclosures Complaints Filed September 2021 0 Pending 9 Dollars Collected September 2021 0 Sale Date No sale scheduled at this time Levy Amount and Collections to Date 2021 Real and Personal Levy 2020 Real and Personal Levy As of September 30 , 2021 As of September 30 , 2020 156,862,10990 Levy 150,843,50694 Levy 20,258,76416 Payments 17,901,26635 Payments 136,603,34574 Balance 132,942,24059 Balance 1292 Collected 1187 Collected + 105 RMV – NCVTS Collections September 2021 September 2020 1,563,27730 1,562,45341 YTD 20 21 - 5,081,87363 YTD 19 20 - 4,555,99893 11 Manager Reports and Comments None 12 Board Reports and Comments A Comments from Commissioner Ted G Godwin Commissioner Ted G Godwin recalled an item from the October 4 , 2021 meeting , regarding the Option to Purchase for property Cox Property identified as Parcel ID Numbers 15L11014 , 15L11014F , 15L11014G , and 15L11014E Commissioner Godwin commented that at that meeting , it seemed that the Board wasPage5461 November 1 , 2021 – 10 00 am Continued searching for a use of that property and he invited citizens to contact him with suggestions on how that property might be used th Commissioner Godwin also noted that next Wednesday , November 10 will mark the anniversary of the United States Marine Corps B County Commissioner District 3 Vacancy Chairman Chad M Stewart stated with his resignation becoming effective at the end of November in order to begin a new career opportunity , the Board would need to begin the process of filling the District 3 vacancy At the request of Chairman Stewart , County Attorney Jennifer Slusser briefly outlined the requirements under the applicable North Carolina General Statute for filling the vacancy She noted the statute does not specify how the Board must fill the vacancy , only that the Board must consult with the appropriate political party , which in this case is the Republican Party , and that the individual to be appointed must reside within the same district being vacated Ms Slusser clarified that the statute does not require the Board to agree with the Republican Party , but only to consult with them as the final appointment rests with the Board of Commissioners Following discussion by the Board , it was the consensus of the Board to utilize the application process used in the past to begin immediately with a closing date to receive applications of Monday , November 8 , 2021 Further , Commissioners Larry Wood , Fred J Smith , Jr , and Ted G Godwin volunteered to review any applications received and then consult with representatives from the Republican Party Ms Slusser stated she would work with the Clerk to the Board to begin working on the application and have it available first thing tomorrow morning Ms Slusser stated staff would post a notice on the County’s website as well as social media to generate interest and notify the public 13 Closed Session – NCGS 14331811 a 3 – Attorney - Client Privilege , NCGS 14331811 a 4 – Economic Development , and NCGS 14331811 a 5 – Acquisition of Property Upon a motion by Commissioner Fred J Smith , Jr , seconded by Commissioner Patrick E Harris , and carried by unanimous vote , the Board recessed regular session to sit in closed session for the purposes of consulting with an attorney employed by the Board in order to preserve the attorney - client privilege pursuant to North Carolina General Statute 143 - 31811 a 3 ; to discuss 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 by the Board Commissioner Larry Wood moved the Board adjourn closed session and resume regular session Commissioner Patrick E Harris seconded the motion , which carried by unanimous vote There being no further business , Commissioner Larry Wood moved the Board adjourn Commissioner Tony Braswell seconded the motion , which carried by unanimous vote The meeting adjourned at 12 15 pm Chad M Stewart , Chairman Paula G Woodard , Clerk to the BoardPage