June 27, 2016 - 8:15 AM - County Board of Commissioners Meeting Minutes (Special)

10 273 Meeting of the Johnston County Board of Commissioners June 27 , 2016 Special Meeting The Johnston County Board of Commissioners met in special session Monday , June 27 , 2016 at 8 15 am in the Commissioners Meeting Room , Johnston County Courthouse Annex , Smithfield , North Carolina The following members were present Present Chairman Tony Braswell , Vice Chairman DeVan Barbour , Cookie Pope , Allen L Mims , Jr , Jeffrey P Carver , Ted G Godwin , and Chad M Stewart 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 Tony Braswell called the meeting to order to consider the adoption of the FY 2016 - 2017 County budget and related matters 1 Budget Revisions At the request of Finance Director and Assistant County Manager Chad McLamb , Commissioner Allen L Mims , Jr moved the Board approve the following budget revisions , seconded by Commissioner Cookie Pope , and carried by unanimous vote Sheriff BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION EXPENDITURE CODE INCREASE DECREASE 51001700 Vehicles 1,35943 10 10 51004300 Special Services 36000 51007414 Capital Outlay – Sheriff 1,53670 10 TOTAL NET EXPENDITURES 3,25613 BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION REVENUE CODE INCREASE DECREASE 510032106 Controlled Substance Tax 1,53670 10 10 510033099 Miscellaneous Revenue 1,71943 TOTAL NET REVENUE 3,25613 LEO Separation Allowance BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION EXPENDITURE CODE INCREASE DECREASE 51100200 Salaries and Wages 28,00000 27 27 51100501 Social Security 2,30000 TOTAL NET EXPENDITURES 30,30000 BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION REVENUE CODE INCREASE DECREASE 511033990 Fund Balance Appropriated 30,30000 27 TOTAL NET REVENUE 30,30000 Library BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION EXPENDITURE CODE INCREASE DECREASE 44503324 LSTA Grants 27,54100 18 TOTAL NET EXPENDITURES 27,54100 BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION REVENUE CODE INCREASE DECREASE 445033424 LSTA Grants 27,54100 18 TOTAL NET REVENUE 27,54100Page274 June 27 , 2016 – 8 15 am Continued Social Services BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION EXPENDITURE CODE INCREASE DECREASE 61656155 Dedicated Trust Disb 43,00000 28 TOTAL NET EXPENDITURES 43,00000 BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION REVENUE CODE INCREASE DECREASE 616535137 Dedicated Trust Receipts 43,00000 28 TOTAL NET REVENUE 43,00000 Research Training Zone BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION EXPENDITURE CODE INCREASE DECREASE 46109078 Clayton Skills Training Center 200,00000 61 TOTAL NET EXPENDITURES 200,00000 BUDGET REQUESTED CHANGE FUND LINE ITEM CLASSIFICATION REVENUE CODE INCREASE DECREASE 461033110 Ad Valorem Taxes – Current 200,00000 61 TOTAL NET REVENUE 200,00000 2 Adoption of the Fiscal Year 2016 - 2017 County Budget Commissioner Ted G Godwin stated this year’s budget process has been lengthy and he appreciates staff’s efforts , especially County Manager Rick Hester , Finance Director and Assistant County Manager Chad McLamb , and his fellow Commissioners Motion to adopt the Fiscal Year 2016 - 2017 County Budget Commissioner Ted G Godwin moved the Board adopt the County Manager’s proposed Fiscal Year 2016 - 2017 Budget with the following revisions ? Add 15 million to Johnston County Schools with the understanding that 19 million of the Fiscal Year 2016 - 2017 County Current Expense appropriation is to be used for classroom teacher supplement increases ; ? Allocate 25,000 to Harbor , Inc ; ? Place 30,000 in reserve for the Dr Wade Atkinson Memorial Library and Community Center until a specific project budget is presented and approved by the Board of Commissioners ; ? Change Johnston County Arts Council appropriation from 3,000 to 5,000 ; ? Allocate 10,000 to the Smithfield Rescue Mission ; ? Place 25,000 in reserve for the Boys and Girls Club until more details are provided to the Board of Commissioners ; ? Allocate an additional 10,000 to the Public Library ; ? Allocate an additional 2,180 to the NC Forestry Service ; ? Allocate 34,000 towards the local match for the Johnston County Regional Airport grant ; and ? Approve 4 positions for EMS no impact on budget Commissioner Godwin stated with this motion , the final budget is 211 million with a projected fund balance percentage on June 30 , 2017 at 17 Page275 June 27 , 2016 – 8 15 am Continued Commissioner Jeffrey P Carver seconded the motion Discussion Commissioner DeVan Barbour thanked Commissioner Ted G Godwin for his work on the budget motion this year noting it can be a difficult process to work through Commissioner Barbour stated with regards to the appropriation for Johnston County Schools , he is glad to see that 19 million is to be used for classroom teacher supplements Commissioner Barbour spoke on the importance of the supplements stating that he wants to make it clear the 19 million is to be used for a 1 supplement for classroom teachers only and it was understood during the workgroup meetings with representatives from Johnston County Schools that the administrators could be looked at down the road Chairman Tony Braswell thanked Commissioners DeVan Barbour , Jeffrey P Carver , and Chad M Stewart for working together with representatives from Johnston County Schools on the budget to reach a satisfactory resolution to their budget allocation request Chairman Braswell stated he would encourage the Board of Education to reach down and find additional funds within their budget to put with the 19 million appropriation from the County for the classroom teacher supplements Commissioner Barbour reported in all the workgroup meetings , it was clear to the County staff that if the Board of Education wants to match some of the funds to increase the classroom teacher supplements , then they have the ability to do that which he also encourages them to consider Chairman Braswell thanked Mr Hester , Mr McLamb , and all the County Department Heads for working very hard for Johnston County There being no further discussion , the Chairman called for a vote on the motion Vote The motion to adopt the Fiscal Year 2016 - 2017 County Budget carried by unanimous vote The following budget ordinance for the Fiscal Year 2016 - 2017 was adopted BUDGET ORDINANCE FY 2016 - 2017 JOHNSTON COUNTY , NORTH CAROLINA BE IT ORDAINED by the Board of Commissioners of Johnston County , North Carolina SECTION I BUDGET ADOPTION There is hereby adopted the following Operating Budget for the County of Johnston for the Fiscal Year beginning July 1 , 2016 and ending June 30 , 2017 ; the same being adopted by fund and activity within each fund as listed GENERAL FUND EXPENDITURES GENERAL GOVERNMENT 18,855,214 PUBLIC SAFETY 34,053,512 PHYSICAL DEVELOPMENT 8,944,093 HUMAN SERVICES 49,269,013 EDUCATION 62,598,575 DEBT SERVICE 37,491,372 TOTAL 211,211,779 REVENUES CURRENT YEAR AD VALOREM TAX 120,240,966 SALES TAX 34,600,000 OTHER TAX REVENUES 2,306,000 STATE & FEDERAL 33,008,154 LICENSE , FEES , ETC 4,618,500 INVESTMENT INCOME 40,000 TRANSFER FROM OTHER FUNDS 2,000,000 FUND BALANCE APPROPRIATED 3,179,590Page276 June 27 , 2016 – 8 15 am Continued MENTAL HEALTH 0 NC EDUCATION LOTTERY 2,300,000 SALES AND SERVICE 8,918,569 TOTAL 211,211,779 TOURISM AUTHORITY EXPENDITURES 1,209,220 REVENUES OCCUPANCY TAX 1,178,000 INTEREST INCOME 500 MISCELLANEOUS INCOME 2,500 FUND BALANCE APPROPRIATED 23,220 REIMBURSEMENTS 5,000 TOTAL 1,209,220 REVALUATION FUND EXPENDITURES RESERVE FOR REVALUATION 340,000 REVENUES TRANSFER FROM GENERAL FUND 340,000 FUND BALANCE 0 TOTAL 340,000 SCHOOL BOND FUND EXPENDITURES TRANSFER TO GENERAL FUND 0 REVENUES INVESTMENT INCOME 0 INDUSTRIAL INFRASTRUCTURE FUND EXPENDITURES INDUSTRIAL DEVELOPMENT 4,270,200 REVENUES TRANSFER FROM GENERAL FUND 4,239,200 FUND BALANCE 31,000 TRANSFER FROM OTHER FUNDS 0 TOTAL 4,270,200 LEO SEPARATION FUND EXPENDITURES PROGRAM COST 214,000 REVENUES TRANSFER FROM GENERAL FUND 210,000 FUND BALANCE 4,000 TOTAL 214,000 HERITAGE COMMISSION FUND EXPENDITURES OPERATING EXPENSE 237,807 REVENUES TRANSFER FROM GENERAL FUND 145,388 OTHER REVENUES 92,419 TOTAL 237,807 SOCIAL SERVICE TRUST FUND EXPENDITURES PagePage pageNumber5277 June 27 , 2016 – 8 15 am Continued PROGRAM COST 235,000 REVENUES TRUST RECEIPTS 235,000 MENTAL HEALTH FUND EXPENDITURES OPERATION OF CENTER 3,019,424 REVENUES OTHER REVENUES 11,700 STATE GOVERNMENT 2,433,801 TRANSFER FROM GENERAL FUND 350,000 ABC - FIVE CENT PER BOTTLE TAX 45,000 ABC PROFITS 6,000 FEES AND CHARGES 0 INTEREST INCOME 300 FUND BALANCE 172,623 TOTAL 3,019,424 COMMUNICATION FUND EXPENDITURES E - 911 OPERATIONS 1,144,136 REVENUES ENHANCED 9 - 1 - 1 1,144,136 OTHER COLLECTIONS EXPENDITURES SPECIAL DISTRICT TAX 9,006,000 MOTOR VEHICLE TAX 12,833,300 MOCCASIN CREEK DISTRICT TAX 35,000 TOTAL 21,874,300 REVENUES SPECIAL DISTRICT TAX 9,006,000 MOTOR VEHICLE TAX 12,833,300 MOCCASIN CREEK DISTRICT TAX 35,000 TOTAL 21,874,300 RESEARCH TRAINING ZONE EXPENDITURES OPERATIONS 850,000 REVENUES SPECIAL DISTRICT TAX 565,000 TRANSFER FROM GENERAL FUND 285,000 TOTAL 850,000 AIRPORT AUTHORITY FUND EXPENDITURES OPERATIONS 2,010,087 CAPITAL COST 1,910,871 TOTAL 3,920,958 REVENUES FEDERAL GRANTS 1,674,423 FEES AND SERVICES 1,886,255 INVESTMENT INCOME 200 TRANSFER FROM GENERAL FUND 186,048PagePage pageNumber6278 June 27 , 2016 – 8 15 am Continued FUND BALANCE 174,032 TOTAL 3,920,958 HOUSING ASSISTANCE PAYMENT PROGRAM FUND EXPENDITURES PROGRAM COST 3,659,188 REVENUES FEDERAL GOVERNMENT HUD 3,658,852 INVESTMENT INCOME 336 TOTAL 3,659,188 WATER DISTRICTS EXPENDITURES DEBT SERVICE 4,160,626 OPERATIONS 7,298,292 TRANSFER TO OTHER FUNDS 1,498,082 TOTAL 12,957,000 REVENUES RETAIL WATER 5,500,000 MONTHLY BASE FEE 6,400,000 OTHER REVENUE 1,057,000 TOTAL 12,957,000 PUBLIC UTILITIES EXPENDITURES ADMINISTRATION 911,430 SOLID WASTE 7,296,673 WATER 9,113,491 WASTE WATER 6,021,189 TRANSFER TO GENERAL FUND 150,000 DEBT SERVICE - WATER 5,802,257 DEBT SERVICE - WASTEWATER 2,663,945 TOTAL 31,958,985 REVENUES ADMINISTRATION FEES 897,380 SOLID WASTE FEES 7,188,750 WATER FEES 13,436,960 WASTE WATER FEES 8,735,000 DISPOSAL TAX 60,000 FUND BALANCE - ADMINISTRATION 14,050 FUND BALANCE – SOLID WASTE 47,923 FUND BALANCE - WATER 55,706 FUND BALANCE - WASTEWATER 25,134 TRANSFER FROM GENERAL FUND – SOLID WASTE 0 TRANSFER - WATER 1,498,082 TOTAL 31,958,985 SECTION II There is hereby levied a Tax Rate of seventy - eight 78 cents per one hundred dollars valuation of property listed for taxes as of January 1 , 2016 This rate shall be levied entirely in the General Fund The Tax Rate is based on an estimated total valuation of property for the purposes of taxation of 15,605,000,000 and an estimated collection rate of 9982 SECTION III All fees , including Inspection Fees , Fire Code Fees , and Environmental Sanitarian Fees shall be collected as per schedule in the Clerks Office Planning and Zoning Fees and Public Utility Fees are adoptedPagePage pageNumber7279 June 27 , 2016 – 8 15 am Continued as recommended and are on file in the Clerks Office GIS fees are approved to recognize cost and may be amended as needed SECTION IV Landfill Tipping Fees shall be levied at a rate of 45 per ton including State surcharges for asbestos waste Landfill Tipping Fees shall be levied at a rate of 35 per ton for municipal solid waste generated in Johnston County The minimum fee for any vehicle shall be 5 A rate of four times the inside rate shall be levied for all solid waste generated outside of Johnston County Solid Waste assigned to the Sheriffs Department and Planning Department to enforce Solid Waste Laws , Rules and Regulations in Johnston County to ensure compliance with Senate Bill 111 The Landfill tipping fee for construction and demolition waste shall be 27 per ton The Landfill tipping fee for non - commercial yard wastes shall be 18 per ton or 8 per pickup size load An ineligible illegal tire disposal fee of 65 per ton shall be levied The corrugated cardboard disposal penalty shall be four times the tipping fee surcharge to a maximum amount of 300 SECTION V A fee of 100 per household shall be levied to all citizens in the county using the manned compaction sites and the landfill A vehicle identification sticker must be purchased prior to use of the sites in the County SECTION VI Salaries The following shall govern salary and wage compensation for Fiscal Year 2016 - 2017 A Pay Plan There is hereby adopted a pay plan which includes a 2 pay adjustment and up to 1 merit pay for FY 2016 - 2017 as well as funds for an internal compression study to be implemented on January 1 , 2017 SECTION VII The Budget Officer is hereby authorized to transfer appropriations within a fund as contained herein under the following conditions as specified in North Carolina General Statute 159 A The Budget Officer may transfer amounts between objects of expenditure within departments listed in this Ordinance without a report B The Budget Officer may transfer amounts up to 5,000 between departments of the same fund and reported as part of the monthly financial statements C The Budget Officer may not transfer amounts between funds nor from the Contingency Fund without prior Board Action SECTION VIII Restricted Revenues The Finance Officer is hereby directed to fund appropriations which have specified revenues prior to funding with General Fund monies This is to include but not limited to Fines and Forfeitures , ABC profits , Sales Tax , State and Federal Grants , and Forestry Revenues That a non - profit corporation be continued to issue obligations to finance the purchase and or construction of fixed assets to include but not limited to utility lines and buildings SECTION IX State designated Sales and Use Tax is hereby designated for the payment of debt for new and renovated schools School Debt Service is to be paid from the General Fund as directed by the independent auditors Fines and Forfeitures are deposited directly with the Board of Education by the Clerk of Court SECTION X Encumbrances All outstanding encumbrances from Prior Fiscal Years are to be carried forward to Fiscal Year 2016 - 2017 All Project Ordinance appropriations are continued Operating and Capital Funds for Johnston County Community College not expended at the end of the fiscal year shall be placed by JCCC in their Special Capital Outlay Account and used as match for State funds SECTION XI Budget Control The Board of Commissioners in approving the Budget , have utilized to the fullest extent possible its revenue sources Over collections of revenue or unanticipated revenue sources cannot be expected to materialize during the year It is therefore , of utmost importance , and the County Manager is hereby directed , to initiate steps to insure that the budget as fixed herein is complied with The County Manager is further directed where it appears that costs may possibly exceed budget appropriations , to first take steps to contain costs by any necessary methods including reductions in services , prior to requesting budget amendment action by the Board of Commissioners SECTION XII The Board of Commissioners hereby authorizes the Johnston County Tax Administrator to collect taxes for the Towns of Clayton , Smithfield , Four Oaks , Pine Level , Micro , Princeton , Wilson’s Mills , Whitley Heights Sanitary District , Moccasin Creek Service District and Smithfield Downtown Development District in compliance with the contracts adopted by the various governing boards A charge of two percent 2 of all taxes collected for the governmental units will be payable to Johnston County for said billing andPagePage pageNumber8280 June 27 , 2016 – 8 15 am Continued collection services Taxes for the Towns of Archer Lodge , Selma , Kenly , and Benson are collected by the Johnston County Tax Administrator also The charge of two and one half percent 2 ½ of all taxes collected will be payable to Johnston County for said billing and collection services SECTION XIII The Board of Commissioners hereby authorizes the Tax Administrator to bill and collect taxes for the Whitley Heights Sanitary District and for the Fire Departments listed below and to charge a uniform fee of two percent 2 of all taxes collected on their behalf Archer Lodge Fire District 7 cents Banner Fire District 9 cents Bentonville Fire District 8 cents Beulah Kenly Fire District 8 cents Boon Hill Princeton Fire District 5 cents Blackmons Crossroads Fire District 8 cents Brogden Fire District 8 cents Claytex 975 cents Corinth Holder Fire District 10 cents Elevation Fire District 10 cents McLemore - Cleveland Fire District 725 cents Meadow Fire District 7 cents Micro Fire District 10 cents Nahunta Fire District 6 cents Newton Grove Fire District 65 cents Oakland Fire District 7 cents ONeals - Antioch Fire District 8 cents PI - LE 8 cents Selma 10 cents Shoeheel 10 cents Smithfield 12 cents Strickland Crossroads Fire District 8 cents Thanksgiving 9 cents West Johnston Fire District 7 cents Wilsons Mills Fire District 6 cents Wynn Four Oaks Fire District 8 cents 50 - 210 Fire District 6 cents The above amounts are per one hundred dollar valuation of property listed for taxes as of January 1 , 2016 , located within these Special Fire Districts The Board of Commissioners hereby appropriates to the Special Fire Districts , sums collected for the use by the Special Fire Districts in such manner and for such expenditures as is permitted by law from the proceeds of the tax levy SECTION XIV The Board of Commissioners hereby authorizes the Tax Administrator to bill and collect taxes for the Research Training Zone District at a rate of eight cents per one hundred dollar valuation of property listed for taxes as of January 1 , 2016 , located within the district SECTION XV The Board of Commissioners hereby authorizes the Tax Administrator to bill and collect taxes for the Moccasin Creek Service District at a rate of one and one - half cents per one hundred dollar valuation of property listed for taxes as of January 1 , 2016 , located within the district th The ORDINANCE being duly passed and adopted this 27 day of June , 2016 JOHNSTON COUNTY BOARD OF COMMISSIONERS ______________________________________________ Tony Braswell , Chairman ________________________________________________ Paula G Woodard , Clerk to the BoardPagePage pageNumber9281 June 27 , 2016 – 8 15 am Continued There being no further business , Commissioner Cookie Pope moved the Board adjourn Commissioner Chad M Stewart seconded the motion , which carried by unanimous vote The meeting adjourned at 8 22 am Tony Braswell , Chairman Paula G Woodard , Clerk to the BoardPage