May 7, 2007 - 10:00 AM - County Board of Commissioners Meeting Minutes

10 167 Meeting of the Johnston County Board of Commissioners May 7 , 2007 10 00 am The Johnston County Board of Commissioners met in regular session Monday , May 7 , 2007 at 10 00 am in the Commissioners Meeting Room , Johnston County Courthouse Annex , Smithfield , North Carolina The following members were present Present Cookie Pope , Chairman , Wade M Stewart , Vice Chairman , Allen L Mims , Jr , Jeffrey P Carver , W Ray Woodall , DeVan Barbour and Tony Braswell Absent None Also Present Rick J Hester , County Manager , Paula G Woodard , Clerk to the Board , John R Massey , Finance Officer , J Mark Payne , County Attorney , and Deva C Holt , Deputy Clerk Chairman Pope called the meeting to order at 10 00 am Commissioner Allen L Mims , Jr led those in attendance in the pledge of allegiance to the American flag Commissioner W Ray Woodall opened the meeting with a prayer 1 Appointment of Clerk to the Board Upon a motion by Commissioner DeVan Barbour , seconded by Commissioner W Ray Woodall and carried by unanimous vote , the Board appointed Paula G Woodard as Clerk to the Board 2 Minutes Approved Upon a motion by Commissioner W Ray Woodall , seconded by Commissioner Jeffrey P Carver and carried by unanimous vote , the Board approved the minutes for the April 2 , 2007 10 00 am and 6 00 pm board meetings as presented 3 Public Comments A Request for Extension from the Blue Ribbon Committee on Growth and Finance Sammy Jackson , Co - Chair of the Blue Ribbon Committee on Growth and Finance requested the Board of Commissioners extend the deadline that was given to the Committee to return findings on their review of the Growth Management Plan for Johnston County Mr Jackson noted the committee’s original deadline was June 1 , 2007 ; however , due to the amount of work involved and the number of people on the committee , they are requesting the deadline be extended to September 30 , 2007 It was the unanimous consent of the Board to grant the Blue Ribbon Committee this request 4 Requests for Fireworks Displays Commissioner W Ray Woodall moved the Board approve the following requests for fireworks displays according to NCGS § 14 - 410 , 14 - 415 and Chapter 20 of the Standard Fire Prevention Code , along with the necessary permits from the applicable Inspections Department , and authorize the Chairman to approve future similar requests Commissioner DeVan Barbour seconded the motion , which carried by unanimous vote th Benson Parks & Recreation Department – Wednesday , July 4 at McLamb - Tart Road , Benson th Town of Pine Level – Wednesday , July 4 at Sam Godwin Recreation Park 5 Juvenile Crime Prevention Council – Requests 2007 – 2008 Budget Approval The Honorable Judge Addie Rawls , Juvenile Crime Prevention Council JCPC Chairperson , presented to the Board the Council’s proposed budget for FY 2007 - 08 and requested its approval She noted the State’s allocation will remain the same as last fiscal year at approximately 251,465 , and the JCPC is requesting 37,000 from the County for the upcoming year , which is also the same as last year Ms Rawls further informed the Board that the Council will not be funding any new programs next fiscal year She stated that there are many other new prevention programs seeking funding and the JCPC has established a separate committee to possibly explore whether or not they can embrace those programs and try to find other funds to support them The Council is looking to partner with other agencies such as Johnston County Mental Health to perhaps assist them with these new programs Page168 May 7 , 2007 – 10 00 am Continued In response to a question from Chairman Cookie Pope as to the overall success of the Council’s work , Ms Rawls stated that the structure of the JCPC is great in its collaboration efforts with Johnston County Mental Health , the Johnston County Department of Social Services , and all the other Boards and agencies they work with She noted all the programs are functioning at maximum capacity After further discussion , Chairman Pope stated the Board appreciates the efforts of the Juvenile Crime Prevention Council Ms Rawls informed the Board that the Council will most likely appear before the Board again in the fall with a presentation for the Commissioners Commissioner DeVan Barbour stated he appreciated the proposed budget remaining the same as last year and moved the Board approve the Juvenile Crime Prevention Council’s proposed budget for FY 2007 - 08 Commissioner Jeffrey P Carver seconded the motion , which carried by unanimous vote 6 Call for Public Hearing – Proposed County Budget for FY 2007 - 08 Upon a motion by Commissioner Allen L Mims , Jr , seconded by Commissioner Tony Braswell and carried by unanimous vote , the Board scheduled a public hearing for the June 4 , 2007 10 00 am meeting on the County Manager’s proposed budget for FY 2007 - 08 7 Princeton Fire Department Request for Franchise – Second Vote Chairman Cookie Pope stated that at the April 2 , 2007 meeting , the Board gave an initial vote of approval on the franchise request for the Princeton Fire Department to provide vehicle extrication services She noted a second vote is required at this meeting and called on Johnston County Director of Emergency Services Dewayne West to further explain Mr West informed the Board that nothing has changed on this request since the April 2 , 2007 meeting and the process now requires the second vote Upon a motion by Commissioner Tony Braswell , seconded by Commissioner Allen L Mims , Jr and carried by unanimous vote , the Board approved , by second vote , the franchise request for the Princeton Fire Department to provide vehicle extrication services 8 Assistant EMS Medical Director – Recommendation of Appointment Emergency Services Director Dewayne West informed the Board that the North Carolina Office of Emergency Medical Services requires the appointment of an Assistant EMS Medical Director He noted Dr Frank Conn has been serving in this capacity , but has not been officially appointed Mr West requested the Board officially appoint Dr Conn as the Assistant EMS Medical Director He also noted that Dr Ben Winter is currently the appointed EMS Medical Director but will be leaving soon to assume a position in Lee County Mr West reported that at a later date , he may be coming back before the Board to request Dr Conn be appointed as the EMS Medical Director Upon a motion by Commissioner Jeffrey P Carver , seconded by Commissioner Allen L Mims , Jr and carried by unanimous vote , the Board appointed Dr Frank Conn as Assistant EMS Medical Director Discussion Concerning the Recent Scrap Yard Fire At this point , Mr West took the opportunity to update the Board on the recent scrap yard fire that had occurred in Smithfield Mr West reported this was a tremendous effort with help from approximately 15 fire departments as well as assistance from Johnston County Public Utilities with the water supply , the Sheriff’s Department , Emergency Services personnel , and the Johnston County Building & Maintenance Department He also noted he was pleased to see County Manager Rick Hester as well as a couple of Commissioners were on the scene during the fire and he appreciated the support In response to a question by Chairman Cookie Pope regarding prevention measures for the future , Mr West reported they do not have the details worked out yet ; however , they are evaluating a number of options for prevention The company itself is looking at the issues related to the fire and trying to determine what they can do in the future to prevent another situation Chairman Pope stated the Board appreciated the efforts of Mr West and all who were involved in the scrap yard fire situation Page169 May 7 , 2007 – 10 00 am Continued 9 Surplus Vehicles and Equipment Chairman Cookie Pope asked the Board to review and decide upon the following requests to surplus vehicles and equipment in one motion Emergency Services – Surplus Vehicle 1995 Chevy Suburban VIN # GNFK16K0SJ409364 Mileage 135,950 Public Utilities – Surplus Vehicles and Equipment 1988 Mack Tandem Axle Truck VIN # 1M2K171C5JM001271 Mileage 424,036 1995 Ford Service Body Truck VIN # 1FDLF47F9SEA84477 Mileage 175,074 1998 Chevrolet Pickup Truck VIN # 1GCGC24RXWZ245855 Mileage 108,901 1999 Chevrolet Pickup Truck VIN # 1GCGC24R9YR126021 Mileage 140,553 1999 Chevrolet S - 10 Truck VIN # 1GCCS14X1XK192371 Mileage 92,490 1980 Cummins Generator VIN # HC90057 - 385 Clark Fork Lift No VIN # on machine Purchased from State Surplus prior to 1988 Social Services – Surplus Vehicles 1995 Ford F - 150 Truck VIN # 1FTEF14NXSNB60165 Mileage 138,754 1995 Ford Van VIN # 2B5WB35ZDSK529651 Mileage 73,437 In addition , Social Services requested the Board approve the following vehicle to be removed from surplus status and transferred to the Department of Social Services The vehicle was declared surplus by the Board during the April 2 , 2007 meeting at the request of Animal Services 2001 F - 150 Ford VIN # 3FTRF17W51MA65995 Mileage 175,474 Commissioner Allen L Mims , Jr reported he had questions regarding the Social Services request to remove a vehicle from surplus status that had recently belonged to Animal Services containing higher mileage than a vehicle Social Services was requesting to surplus County Manager Rick Hester reported Social Services Director Earl Marett would be arriving soon to explain this request Commissioner DeVan Barbour called on the Public Utilities staff present to answer questions regarding their request to surplus vehicles with what seemed like lower mileage Assistant Utilities Director Haywood Phthisic reported these vehicles have reached the end of their life cycle and they are now costing more money to maintain than their actual value He stated that they typically start their trucks with a “ heavy work cycle ” for the first three to four years and then they are moved to a lesser duty status thereafter for about two or three more years , until finally they become more of a maintenance issue rather than a useful piece of equipment In response to a question by Commissioner Mims inquiring if these vehicles have already been replaced with this year’s budget funds , Mr Phthisic stated they had In response to concerns from Commissioners Woodall and Barbour , Mr Phthisic noted that the Chevrolet S - 10 trucks are primarily route trucks , but they are becoming problematic and more expensive to maintain since they are no longer being made by GMC Commissioner Barbour stated that he would like to get as much life out of these trucks as possible before they are transferred to surplus status Chairman Pope stated the Board would consider the surplus requests after Earl Marett arrived and explained the Social Services items 10 Budget Amendments Chairman Cookie Pope called on Director of Finance John Massey to answer any questions the Board had concerning the budget amendments In response to a question from Commissioner Jeffrey P Carver related to the fire district taxes , Mr Massey reported it is difficult to project these amounts when you do the budget several months in advance of June He has tried to project what will be received and disbursed to these districts from now until the end of June so the budget will not be overspent at the end of the year Page170 May 7 , 2007 – 10 00 am Continued Following further discussion , Commissioner Allen L Mims , Jr moved the Board approve the following budget amendments Commissioner Jeffrey P Carver seconded the motion , which carried by unanimous vote District Taxes FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 50 66006010 Archer Lodge Fire District 58,00000 50 66006011 Banner Fire District 31,00000 50 66006012 Beulah Fire District 13,00000 50 66006013 Bentonville Fire District 13,00000 50 66006014 Blackmon’s X Roads Fire District 3,50000 50 66006015 Boon Hill Fire District 2,50000 50 66006016 Brogden Fire District 1,00000 50 66006018 Corinth Holder Fire District 48,00000 50 66006019 Meadow Fire District 10,00000 50 66006021 50 - 210 Fire District 25,00000 50 66006024 Mclemore Fire District 9,00000 50 66006027 O’Neals Fire District 7,00000 50 66006028 Pine Level Fire District 19,00000 50 66006029 Selma Fire District 6,50000 50 66006031 Smithfield Fire District 21,00000 50 66006032 Strickland X Roads Fire District 1,00000 50 66006033 Thanksgiving Fire District 28,00000 50 66006034 West Johnston Fire District 7,00000 50 66006035 Wilson’s Mills Fire District 42,00000 50 66006036 Wynn Fire District 2,00000 NET EXPENDITURES 347,50000 FUND BUDGET LINE ITEM REQUESTED CODE CLASSIFICATION REVENUE CHANGE INCREASE DECREASE 50 660031201 Archer Lodge Fire District 58,00000 50 660031202 Banner Fire District 31,00000 50 660031203 Beulah Fire District 13,00000 50 660031204 Bentonville Fire District 13,00000 50 660031205 Blackmon’s X Roads Fire District 3,50000 50 660031206 Boon Hill Fire District 2,50000 50 660031207 Brogden Fire District 1,00000 50 660031209 Corinth Holder Fire District 48,00000 50 660031210 Meadow Fire District 10,00000 50 660031212 50 - 210 Fire District 25,00000 50 660031215 Mclemore Fire District 9,00000 50 660031218 O’Neals Fire District 7,00000 50 660031219 Pine Level Fire District 19,00000 50 660031220 Selma Fire District 6,50000 50 660031222 Smithfield Fire District 21,00000 50 660031223 Strickland X Roads Fire District 1,00000 50 660031224 Thanksgiving Fire District 28,00000 50 660031225 West Johnston Fire District 7,00000 50 660031226 Wilson’s Mills Fire District 42,00000 50 660031227 Wynn Fire District 2,00000 TOTAL NET REVENUE 347,50000 Motor Vehicle Taxes FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE PagePage pageNumber5171 May 7 , 2007 – 10 00 am Continued 55 66506010 Archer Lodge Fire District 12,00000 55 66506012 Beulah Fire District 2,00000 55 66506014 Blackmon’s X Roads Fire District 2,00000 55 66506015 Boon Hill Fire District 2,00000 55 66506017 Claytex Fire District 8,00000 55 66506018 Corinth Holder Fire District 2,00000 55 66506020 Elevation Fire District 1,00000 55 66506024 Mclemore Fire District 7,00000 55 66506027 O’Neals Fire District 2,00000 55 66506028 Pine Level Fire District 2,00000 55 66506030 Shoeheel Fire District 2,00000 55 66506031 Smithfield Fire District 3,00000 55 66506034 West Johnston Fire District 2,00000 55 66506035 Wilson’s Mills Fire District 8,00000 55 66506040 Town of Kenly 7,00000 55 66506041 Town of Selma 30,00000 55 66506042 Town of Clayton 70,00000 55 66506043 Town of Benson 5,00000 55 66506050 Town of Wilson’s Mills 17,00000 NET EXPENDITURES 184,00000 FUND BUDGET LINE ITEM REQUESTED CODE CLASSIFICATION REVENUE CHANGE INCREASE DECREASE 55 665031201 Archer Lodge Fire District 12,00000 55 665031203 Beulah Fire District 2,00000 55 665031205 Blackmon’s X Roads Fire District 2,00000 55 665031206 Boon Hill Fire District 2,00000 55 665031208 Claytex Fire District 8,00000 55 665031209 Corinth Holder Fire District 2,00000 55 665031211 Elevation Fire District 1,00000 55 665031215 Mclemore Fire District 7,00000 55 665031218 O’Neals Fire District 2,00000 55 665031219 Pine Level Fire District 2,00000 55 665031221 Shoeheel Fire District 2,00000 55 665031222 Smithfield Fire District 3,00000 55 665031225 West Johnston Fire District 2,00000 55 665031226 Wilson’s Mills Fire District 8,00000 55 665031330 Town of Benson 5,00000 55 665031331 Town of Clayton 70,00000 55 665031333 Town of Kenly 7,00000 55 665031337 Town of Selma 30,00000 55 665031342 Town of Wilson’s Mills 17,00000 TOTAL NET REVENUE 184,00000 Emergency Services BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 53251422 Critical Infrastructure Grant 45,72300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 10 532534144 EM Revenue 45,72300 Health BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 59603310 Medical Supplies 4,21500 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 10 596034155 Division of Public Health Family Planning 4,21500 Industrial Development Infrastructure BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE PagePage pageNumber6172 May 7 , 2007 – 10 00 am Continued 21 56017368 Novo Nordisk 125,00000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 21 560135134 NC Dept of Commerce 125,00000 Social Services BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61004586 Smart Start Day Care Expense 44,50000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 10 610034119 Child Day Care 44,50000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61000200 Salaries & Wages 40,00000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 10 610034123 Social Services Administration 40,00000 FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 10 61054500 Contract Services 79400 10 61304502 Adult Day Care 13000 10 61204516 In Home Aides – DSS 7700 10 61001100 Telephone 56000 10 61003200 Office Supplies 1000 10 61001400 Travel 5600 10 61401906 State Foster Care 1,11400 10 61304519 CCDF Child Care 8300 10 61354523 Contract & Program Expense 69800 10 61003330 Foster Care Clothing 63600 10 61401902 State County Special Assistance 57100 10 61451906 State Foster Care 1400 TOTAL NET EXPENDITURES 4,74300 FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION REVENUE INCREASE DECREASE 10 610034123 Social Services Administration 4,74300 4,74300 TOTAL NET REVENUE Public Utilities BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 208521 0406 Technical Services 75,00000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 208521 37925 Transfer from Fund 67 75,00000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 85991800 Construction of Project 250,00000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE PagePage pageNumber7173 May 7 , 2007 – 10 00 am Continued 20 859937925 Transfer from Other Funds 250,00000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 84057406 Contingency 16,30300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 840533704 Sales Tax Revenue 16,30300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 84917406 Contingency 10,77200 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 849133704 Sales Tax Revenue 10,77200 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 84927406 Contingency 12,92000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 849233704 Sales Tax Revenue 12,92000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 84937406 Contingency 23,66100 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 849333704 Sales Tax Revenue 23,66100 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 84947406 Contingency 5,56500 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 849433704 Sales Tax Revenue 5,56500 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 84961800 Construction 18,63800 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 849633704 Sales Tax Revenue 18,63800 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 85287406 Contingency 2,36300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 852833704 Sales Tax Revenue 2,36300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE PagePage pageNumber8174 May 7 , 2007 – 10 00 am Continued 20 85647406 Contingency 8,48300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 856433704 Sales Tax Revenue 8,48300 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 85861800 Construction 95,70700 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 858633099 Miscellaneous Revenue 95,70700 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 20 85871800 Construction 5,10700 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 20 858733099 Miscellaneous Revenue 5,10700 Elevation Water District – Budget Amendment Upon a motion by Commissioner Jeffrey P Carver , seconded by Commissioner W Ray Woodall and carried by unanimous vote , the Board recessed regular session to sit as the Elevation Water District Board Sitting as the Elevation Water District Board Finance Director John Massey informed the Board that the budget amendments being considered today for the water districts were the result of additional revenues received from sales tax and investment income He stated that this money needed to be budgeted so it can be used for other projects in the water districts Director of Utilities & Engineering Tim Broome , PE further explained to the Board that these monies will be transferred into Fund 69 where they can be utilized at a later date for additional water line extensions He noted they have a priority list with line extension projects that they are trying to address and the Utilities Department will be coming back to the Board at a later date to request approval on water line extensions and looping line projects in all the districts Chairman Cookie Pope asked at what time the Board could expect these additional water line extension projects to begin Mr Broome responded they are taking bids on one such project today that will be coming before the Board in June for approval and a looping lines project is scheduled for next fiscal year The Utilities Department is also planning for more projects next spring In response to discussion and questions from Commissioner Wade M Stewart regarding exactly how the money will be spent , Mr Broome replied the money will be used for the additional water line extensions as well as other improvements to deliver the water to the districts However , he did clarify that the money will only be spent for water related projects to serve the people in the water districts Upon further discussion , Commissioner Wade M Stewart moved the Board approve the following budget amendment for the Elevation Water District Commissioner W Ray Woodall seconded the motion , which carried by unanimous vote Elevation Water District FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE PagePage pageNumber9175 May 7 , 2007 – 10 00 am Continued 51 86555597 Interest on Bonds 4,37500 51 86550400 Legal & Professional 800 51 86550406 Technical Service 16,51200 51 86551800 Construction of Project 17,50000 51 86551802 Service Meters 9000 51 86555599 Easements 21300 51 86556100 Administrative Costs 7400 51 86557400 Capital Outlay 31,22700 51 86558104 Capacity Fee 94,26100 51 86557406 Contingency Construction 169,65000 51 86559023 Transfer to Other Funds – Fund 69 246,47100 TOTAL NET EXPENDITURES 109,83300 FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION REVENUE INCREASE DECREASE 51 865537900 Investment Income 78,87300 51 865536169 Water Tap Fees 30,96000 109,83300 TOTAL NET REVENUE Upon a motion by Commissioner Wade M Stewart , seconded by Commissioner DeVan Barbour and carried by unanimous vote , the Board adjourned as the Elevation Water District Board , and regular session was resumed Meadow Water District – Budget Amendment Upon a motion by Commissioner DeVan Barbour , seconded by Commissioner Wade M Stewart , and carried by unanimous vote , the Board recessed regular session to sit as the Meadow Water District Board Sitting as the Meadow Water District Board Commissioner DeVan Barbour moved the Board approve the following budget amendment for the Meadow Water District Commissioner W Ray Woodall seconded the motion , which carried by unanimous vote Meadow Water District FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 49 86507406 Contingency Construction 30,36800 49 86508104 Capacity Fee 3,18600 49 86506100 Administrative Cost 4,08800 49 86500400 Legal & Professional 9,55200 49 86500406 Technical Services 89000 49 86501800 Construction 2,93600 49 86501802 Service Meters 57700 49 86505597 Interest on Bonds 204,06800 49 86505599 Easements 2,14100 49 86509023 Transfer to Other Funds – Fund 69 287,86400 TOTAL NET EXPENDITURES 50,47800 FUND BUDGET LINE ITEM REQUESTED CHANGE CODE CLASSIFICATION REVENUE INCREASE DECREASE 49 865037900 Investment Income 13,02300 49 865036169 Water Tap Fees 37,45500 50,47800 TOTAL NET REVENUEPage0176 May 7 , 2007 – 10 00 am Continued Upon a motion by Commissioner W Ray Woodall , seconded by Commissioner Jeffrey P Carver and carried by unanimous vote , the Board adjourned as the Meadow Water District Board , and regular session was resumed O’Neals Water District – Budget Amendment Upon a motion by Commissioner W Ray Woodall , seconded by Commissioner Jeffrey P Carver , and carried by unanimous vote , the Board recessed regular session to sit as the O’Neals Water District Board Sitting as the O’Neals Water District Board Commissioner Tony Braswell moved the Board approve the following budget amendment for the O’Neals Water District Commissioner W Ray Woodall seconded the motion , which carried by unanimous vote O’Neals Water District BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION EXPENDITURE INCREASE DECREASE 72 86470406 Technical Services 147,45000 BUDGET LINE ITEM REQUESTED CHANGE FUND CODE CLASSIFICATION REVENUE INCREASE DECREASE 72 864736169 Water Tap Fees 147,45000 Upon a motion by Commissioner W Ray Woodall , seconded by Commissioner Tony Braswell and carried by unanimous vote , the Board adjourned as the O’Neals Water District Board , and regular session was resumed Chairman Cookie Pope now requested the Board return to the discussion concerning surplus vehicles and equipment , item # 9 County Manager Rick Hester called on Social Services Director Earl Marett who had arrived to explain his request for the surplus vehicle that recently belonged to Animal Services Mr Marett reported the vehicles Social Services is asking to surplus are constantly breaking down and needing repairs He noted that he had examined a vehicle recently sent to surplus from Animal Services and had spoken with Animal Services Director Ernie Wilkinson Upon a concern from Commissioner Allen L Mims , Jr regarding the surplus vehicle from Animal Services , Mr Marett reported they had determined that the truck was in better condition than some of the current Social Services vehicles and they would like to have it Commissioner Mims asked Mr Marett if they had money available to repair the Animal Services surplus vehicle if it experienced problems Mr Marett reported that some funds are available , but felt this vehicle would not cause as many problems as the ones they were asking to surplus Decision on Item # 9 – Surplus Vehicles and Equipment Emergency Services – Surplus Vehicle 1995 Chevy Suburban VIN # GNFK16K0SJ409364 Mileage 135,950 Public Utilities – Surplus Vehicles and Equipment 1988 Mack Tandem Axle Truck VIN # 1M2K171C5JM001271 Mileage 424,036 1995 Ford Service Body Truck VIN # 1FDLF47F9SEA84477 Mileage 175,074 1998 Chevrolet Pickup Truck VIN # 1GCGC24RXWZ245855 Mileage 108,901 1999 Chevrolet Pickup Truck VIN # 1GCGC24R9YR126021 Mileage 140,553 1999 Chevrolet S - 10 Truck VIN # 1GCCS14X1XK192371 Mileage 92,490 1980 Cummins Generator VIN # HC90057 - 385 Clark Fork Lift No VIN # on machine Purchased from State Surplus prior to 1988 Page1177 May 7 , 2007 – 10 00 am Continued Social Services – Surplus Vehicles 1995 Ford F - 150 Truck VIN # 1FTEF14NXSNB60165 Mileage 138,754 1995 Ford Van VIN # 2B5WB35ZDSK529651 Mileage 73,437 Upon a motion by Commissioner Allen L Mims , Jr , seconded by Commissioner Jeffrey P Carver , and carried by unanimous vote , the Board declared the above listed vehicles and equipment surplus and authorized they be sold at the next surplus auction Further , the motion stated for the following vehicle to be removed from surplus status and transferred to the Social Services Department 2001 F - 150 Ford VIN # 3FTRF17W51MA65995 Mileage 175,474 11 Appointments Upon a motion by Commissioner Allen L Mims , Jr , seconded by Commissioner Jeffrey P Carver and carried by unanimous vote , the Board made the following appointments and granted waivers for length of service where needed , except for the Planning Board appointments which was discussed as a separate action A 50 - 210 Fire Protection District Commission – Reappointed James M Parrish and Sidney E Sauls for two year terms to expire on May 31 , 2009 , and waived the length of service policy for Mr Parrish B Johnston County Criminal Justice Advisory Board - Appointed Charles Bowen to represent a Chief of City Police position for a two year term to expire on December 31 , 2009 C Library Board of Trustees – Reappointed Michael Creech for a three year term to expire on May 31 , 2010 D Nursing Home Adult Care Home Community Advisory Board – Reappointed Martin L Pfinsgraff and Brenda Shaw for three year terms to expire on May 31 , 2010 E Smithfield Fire Protection District Commission – Appointed Mike Whitley for a two year term to expire on April 30 , 2009 F Thanksgiving Fire Protection District Commission – Reappointed Kenneth Phillips for a two year term to expire on April 30 , 2009 and waived the length of service policy Johnston County Planning Board Appointment Chairman Cookie Pope stated that Allan DeLaine and Bradley Schulz have applied for reappointment as well as Jimmy Barbour and Jeff Hines have applied for appointment She noted there are three positions open with one of those filling an unexpired term ending January 31 , 2008 Commissioner Allen L Mims , Jr reported that he serves as ex - officio on the Planning Board and stated that both Mr DeLaine and Mr Schulz have been excellent members with good attendance He also noted that Mr Schulz is the current Vice Chair of the Planning Board He recommended the Board reappoint them as members Regarding the unexpired term , Commissioner Mims stated if the Board were to appoint Jimmy Barbour then he would most likely have to abstain from voting on many occasions since he often brings personal applications before the Planning Board for review Commissioner Mims pointed out that Jeff Hines lives in the Benson area and this would help to spread out the representation across the County among the Planning Board membership , which is something the Planning Board encourages Upon further discussion , Commissioner Allen L Mims , Jr moved the Board reappoint Allan DeLaine and Bradley Schulz for three year terms to expire on May 31 , 2010 and Jeff Hines appointed to fill the unexpired term ending January 31 , 2008 The motion was seconded by Commissioner Jeffrey P Carver and carried by unanimous vote Commissioner Wade M Stewart instructed the Clerk that going forward , it would help to provide the Commissioners with a synopsis of the appointees being considered each month He requested the summary include the general rules and function of the Boards as well as the number of terms the person up for reappointment has served It was the unanimous consent of the Board that this would help the Commissioners in the future as they review the appointments Page2178 May 7 , 2007 – 10 00 am Continued 12 Public Utilities – Capital Improvements for Water Supply System Tim Broome , PE , Director of Utilities & Engineering , addressed the Board concerning capital improvements for the water supply system Mr Broome stated that on March 13 , 2007 , USDA - Rural Development presented offers for long - term , low interest loans to seven of the County’s water districts The loans will be used by the districts for the purchase of water capacity from the County The district and loan amount for each are as follows Cleveland 3,750,000 McGee’s Crossroads 1,750,000 Archer Lodge 750,000 Hopewell - Pisgah 625,000 Little Creek 625,000 Wilson’s Mills 500,000 Clayton 250,000 TOTAL 8,250,000 Mr Broome asked for the Board’s approval of a capital expenditure plan in the amount of 8,250,000 , which is focused mainly on expanding the prime water supply , a continuing need of the County The program includes expanding the Water Treatment Plant , the purchase of bulk water supply capacity from Harnett County , and the construction of booster pump stations to import water from Harnett County as well as from the sanitary districts in Wayne County Mr Broome stated that of the 8,250,000 staff is suggesting 350,000 be allocated for small diameter water line extensions He asked the Board to consider these recommendations for approval and noted the funds are not available yet ; however , expenditures will be made over a period of 2 ½ years The Board’s approval will allow the Utilities staff to begin the engineering and design so they can move on with the prime water supply expansion as soon as possible Following is a summary of recommended expenditures of the water supply capacity sales funds st 1 Priority – Prime Water Supply 1 Expand the County’s 100 mgd water treatment 2,050,000 plant to its ultimate capacity of 120 mgd 2 Purchase 20 mgd in bulk supply capacity from 3,850,000 the Harnett County system under the previously approved interlocal agreement 3 Construct two 2 booster pump stations for 350,000 transfer of the Harnett County supply into Johnston County 4 Purchase the abandoned quarry site 1,300,000 on Little River in Princeton , a key component of the long - term supply plan Subtotal 7,550,000 nd 2 Priority – Maintain Improve Distribution Water Quality 1 Construct two 2 booster pump stations and 350,000 limited pipeline improvements to import chlorinated water from sanitary districts in Wayne County into the southeast portion of the County system during the warm season rd 3 Priority – Pipeline Extensions 1 Install multiple small diameter pipeline extensions 350,000 in the seven water districts to serve citizens currently without service Total Capital Program 8,250,000 Following is the proposed USDA Water District Loan Funded Capital Program 1 Water Treatment Plant Expansion a Clari - Cone No 7 800,000 b Replace one 1 raw water pump 150,000 new 200 HP vs existing 100 HP Page3179 May 7 , 2007 – 10 00 am Continued c High service pump , new electrical service , 800,000 and parallel generator set d Replace expand chemical feed equipment 300,000 Subtotal No 1 2,050,000 2 Purchase small quarry site 1,300,000 3 Purchase Harnett County bulk capacity 3,850,000 4 NC210 booster pump station for Harnett 250,000 County supply 5 West Elevation booster pump station 100,000 for Harnett County supply 6 Southwestern Wayne Sanitary District 150,000 booster pump station 7 Northwestern Wayne Sanitary District 200,000 booster pump station 8 Small diameter water main extensions in 350,000 seven water districts TOTAL 8,250,000 Chairman Cookie Pope inquired as to how many small diameter water lines could be installed with 350,000 Mr Broome stated if this plan were approved , then not only would they be using this 350,000 expenditure , but they would be using other fund balances available in Fund 69 He assured the Board they will spend much more than 350,000 on those water line extension projects In response to a question from Commissioner Allen L Mims , Jr , Mr Broome stated that all of the 8,250,000 except the 350,000 would be used to expand the plant , buy capacity in the Harnett County plant , and build booster stations necessary to import the water in from Harnett and Wayne Counties Upon further discussion , and a motion made by Commissioner Wade M Stewart , seconded by Commissioner W Ray Woodall and carried by unanimous vote , the Board approved the capital expenditure plan for the County’s water supply system 13 Public Utilities – Proposed Bulk Water Supply Agreement with Fork Township Sanitary District Tim Broome , PE , Director of Utilities & Engineering , stated that items # 13 and # 14 are bulk water supply agreements with the Fork Township Sanitary District and also with the Southwestern Wayne Sanitary District He stated that in March 2007 , the Board approved an agreement for purchasing water during seasonally warm weather from the Northwestern Wayne Sanitary District in Nahunta through a connection on NC Hwy 222 That connection was one of a three - point strategy to bring water into the County along with water from the Fork Township Sanitary District at Princeton and the Southwestern Wayne Sanitary District at Bentonville , with the objective of having chlorinated well water with low disinfection byproducts formation potential These connections would be able to serve all water districts on the southeast side of Interstate 95 during warm weather with chlorinated water He stated that these districts have high water age due to long detention times and during warm weather the Utilities Staff must perform an inordinate amount of line flushing to keep the water fresh These agreements will improve the quality of the water and save money in the long term The terms of the agreements are essentially equal to the agreement with Northwestern Wayne Sanitary District in March Upon a motion by Commissioner Wade M Stewart , seconded by Commissioner Jeffrey P Carver and carried by unanimous vote , the Board approved the following bulk water supply agreement with the Fork Township Sanitary District Bulk Water Supply Agreement with Fork Township Sanitary District THIS AGREEMENT is made and entered into this the day of , 2007 , by and between Fork Township Sanitary District , a body politic and corporate , organized and existing under the laws of the State of North Carolina hereinafter referred to as “ FTSD ” and Johnston County , a body politic and corporate , organized and existing under the laws of the State of North Carolina hereinafter referred to as “ Johnston County ” WITNESSETH WHEREAS , FTSD operates and manages water supply and water distribution facilities located within its boundaries ; and WHEREAS , Johnston County operates and manages water supply and water distribution facilities and systems located within its boundaries ; and WHEREAS , Johnston County desires to acquire a supplemental supply of potable water from FTSD during the period May through October each year commencing with 2007 through 2017 ; andPage4180 May 7 , 2007 – 10 00 am Continued WHEREAS , FTSD desires to acquire a supplemental supply of potable water from Johnston County during the period November through April each year commencing with 2007 through 2018 ; and WHEREAS , FTSD desires to reserve a bulk water supply in Johnston County’s next new or expanded water treatment plant ; and WHEREAS , the parties recognize that water and its treatment is an important issue concerning long - term environmental soundness and that there exists a limited and finite capacity to supply , treat and distribute potable water ; and WHEREAS , to provide the best long - term approach to ensure environmental soundness , Johnston County and FTSD have developed regional approaches to supplying and distributing potable water and are operating and managing facilities for water supply , treatment and distribution on a regional basis ; and WHEREAS , Johnston County and FTSD recognize that a regional approach to supplying and distributing potable water improves each system’s capacity to serve its citizens resulting in increased growth and economic opportunities ; and WHEREAS , in order to transport potable water between the FTSD and Johnston County water systems new water mains and appurtenant facilities must be constructed ; and WHEREAS , FTSD and Johnston County have reached an agreement for providing and maintaining water supply and transmission facilities and the purchase of potable water described herein and the parties desire to set forth the terms and conditions of this agreement NOW , THEREFORE , in consideration of the mutual benefits , representations , and Agreements contained herein and for good and valuable consideration , the receipt and sufficiency of which are hereby acknowledged , the parties agree , each with the other , as follows I Purpose The Purpose of this agreement is to set forth the understandings and agreements of the parties regarding a the allocation of capacity in the next new or expanded Johnston County Water Treatment Facility and water transmission facilities ; and b the purchase of potable water by Johnston County from FTSD , and c the purchase of potable water by FTSD from Johnston County , and d the allocation of costs associated with construction of improvements required to implement the provisions of this Agreement , including but not limited to legal , engineering , land acquisition , design , and construction costs and other related matters II FTSD is to Design and Construct Facilities for the Sale and or Purchase of up to 150,000 gpd for the Next Ten Years FTSD shall cause its transmission system to be upgraded , expanded and or enlarged so as to enable a quantity of water in the total amount of one hundred fifty thousand 150,000 gallons per day to be transported to one point of delivery on US 70 near the County line at a reasonable constant pressure calculated at a hydraulic gradient equal to approximately 250 feet 1929 NGVD from FTSD’s respective supply mains and the water quality shall meet state and federal regulations A booster pump station including metering facilities will be designed and constructed by Johnston County pursuant to this Agreement at the existing master meter assembly site located on US 70 near the Wayne County – Johnston County line III Johnston County is to Design and Construct a New or Expanded Water Treatment Facility Johnston County shall cause its water supply and transmission system to be upgraded , expanded and or enlarged so as to enable a quantity of water in the total amount of three hundred thousand gallons per day 03 MGD to be transported to one point of delivery near the Wayne County - Johnston County line on US 70 at a reasonable constant pressure calculated at a hydraulic gradient equal to approximately 300 feet 1929 NGVD from Johnston County’s respective supply mains and the water quality shall meet state and federal regulations Said point of delivery may be revised by mutual agreement between FTSD and Johnston County IV Expansion Requirements Determined The extent of the necessary upgrading , expansion and or enlargement of the facilities of FTSD shall be made by FTSD in consultation with consulting engineers employed by FTSD for the purpose of designing its system and facilities The extent of the necessary upgrading , expansion and or enlargement of the facilities of Johnston County shall be made by Johnston County on consultation with consulting engineers employed by Johnston County for the purpose of designing its system and facilities V Payment of Capital Cost for Purchase Sale of 150,000 gpd FTSD agrees to pay the costs of water lines in Wayne County , including legal , engineering , land acquisition , design and construction costs FTSD agrees to pay the costs of water lines in Johnston County on the FTSD side of the existing master meter assembly constructed by Johnston County on US 70 near the Wayne County - Johnston County line Johnston County agrees to pay the costs of water lines in Johnston County , including legal , engineering , land acquisition , design and construction costs Johnston County agrees to design and construct the booster pump station required to purchase water from FTSD Johnston County agrees to pay the cost of the portion of the booster pump station , including meter , meter vault , and altitude valve which is for the benefit of Johnston County and FTSD agrees to pay the portion of the cost of the booster pump station , including meter , meter vault , and altitude valve , which is for the benefit of FTSD Johnston County shall provide a budget to FTSD for its approval indicating FTSD’s portion , if any , of costs associated with the booster pump station which are for the benefit of FTSD VI Allocation of Capacity in Johnston County’s Water Treatment Facility FTSD shall be allocated capacity in the amount of three hundred thousand gallons per day in a new or expanded Johnston County Water Treatment Facility anticipated to be in operation on or about 2017 , but not later than 2022 In the event the new or expanded Johnston County Water Treatment Facility is not operational on or before 2017 , then Johnston County shall allocate not less than 015 MGD capacity from its existing system to FTSD for the period up to 2022 when the full 030 MGD capacity shall be allocated The cost of the portion of the expansion of the current Water Treatment Facility or newly constructed Water Treatment Facility which is to be allocated exclusively to FTSD shall be paid by FTSD to Johnston County as set forth herein Such costs shall include reasonable administrative costs of Johnston County , costs of engineering and design , construction , and attorneys ’ fees Such amount of the costs of the expansion to be paid by FTSD shall be due and payable to Johnston County as follows Page5181 May 7 , 2007 – 10 00 am Continued a Ten percent 10 thereof shall be due and payable within twenty 20 days after the award of the construction contract for construction of the Water Treatment Plant expansion or new Johnston County Water Treatment Plant b Thereafter , FTSD shall pay its proportionate share of each invoice within twenty 20 days after the date Johnston County sends notice of the invoice to FTSD , until such time as FTSD has paid its total proportionate share of the cost of expansion Johnston County shall provide written notice to FTSD at such time engineering design services are authorized for the new or expanded water treatment plant to include an estimate of the cost FTSD shall acknowledge receipt of said notice , and either verify or decline participation Johnston County shall be responsible for the cost of the transmission main s within Johnston County required to deliver water from the Water Treatment Facility to the existing master meter assembly on US 70 near the Wayne County - Johnston County line The transmission line shall be capable of a peak rate of delivery of no less than 45 MGD FTSD shall be responsible for the costs of the transmission main within Wayne County For purposes of this Agreement it is assumed the source of the 030 MGD capacity allocated by Johnston County to FTSD will be in a new or expanded Johnston County Water Treatment Plant In the event Johnston County does not expand or construct a new water treatment plant then Johnston County may obtain the additional 030 MGD capacity allocated to FTSD by a bulk allocation purchase from any other supply source s available to Johnston County or utilize existing Johnston County water capacity In the event Johnston County acquires the 030 MGD capacity allocated to FTSD from a bulk allocation purchase then FTSD’s cost for the 030 MGD allocated capacity shall be determined by multiplying the per million gallon cost of the County’s bulk allocation purchase by a factor of 030 In the event Johnston County provides the 030 MGD capacity allocated to FTSD from existing Johnston County water capacity then FTSD’s cost for the 030 MGD allocated capacity shall be determined by multiplying the per million gallon cost of Johnston County’s most recently constructed water treatment plant or plant upgrade , adjusted for inflation and depreciation if over two years old , by a factor of 030 Johnston County shall provide written notice to FTSD at such time the County negotiates future bulk allocation purchases and provide FTSD the opportunity to participate in the bulk allocation purchase , subject to the terms and conditions of this Agreement In the event FTSD declines to participate in the bulk allocation purchase FTSD shall retain the right , as provided in this Agreement , to participate in Johnston County’s next new or expanded water treatment plant at such time Johnston County constructs a new or expanded water treatment plant VII Pumping Costs Johnston County shall be responsible for all electrical costs of the booster pump station constructed by Johnston County required to pump water from the FTSD water system VIII Conveyance of Water Supply Capacity Johnston County may not convey to another water purveyor outside Johnston County any part of its allocation of water supply capacity without the express , written authority of FTSD Said authority shall not be unreasonably withheld FTSD may not convey to another water purveyor outside Wayne County any part of its allocation of water supply capacity without the express , written authority of Johnston County IX Ownership of Water Treatment Facility It is understood that Johnston County shall own and operate the water treatment facility and any expansions , upgrades , enlargements , or additions to the facility and FTSD shall have no right , title or interest in or to the facility , except as to the rights to allocated capacity in the water plant , the water lines , and pumping facilities as set forth in this Agreement X Quality of Design and Construction The water supply infrastructure and facilities described in this Agreement shall be designed by a duly licensed engineer All construction provided herein shall be performed by licensed and qualified utility contractors in accordance with the plans and specifications and in a good and workmanlike manner XI Purchase of Potable Water FTSD agrees to sell and Johnston County agrees to purchase potable treated water meeting applicable purity standards of the Division of Health Services , Department of Environmental Natural Resources of the State of North Carolina , in such quantities as may be required by Johnston County up to 150,000 gpd during the period May through October commencing in 2007 through the year 2017 Johnston County agrees to sell and FTSD agrees to purchase potable treated water meeting applicable purity standards referenced above , in such quantities as may be required by FTSD up to 150,000 gpd during the period November through April commencing in 2007 through the year 2018 In the event either party desires to purchase water over and above 150,000 gpd the selling party , at its determination , can agree to sell any amounts over and above 150,000 gpd at its discretion but shall be under no obligation to do so FTSD agrees to purchase not less than the following daily volumes pursuant to its 030 MGD allocation in the Johnston County Water Treatment Facility a One year following FTSD’s purchase of a permanent water supply allocation from Johnston County – 100 MGD b Three years following FTSD’s purchase of permanent water supply allocation from Johnston County – 125 MGD c Five years following FTSD’s purchase of a permanent water supply allocation from Johnston County – 150 MGD In the event FTSD desires to purchase more than 030 MGD then Johnston County , at its determination , may sell any amounts over and above 030 MGD at its discretion but shall be under no obligation to do so XII Revenues Upon completion of the connecting mains and booster pumping station FTSD and or Johnston County shall collect revenues and charges from and relating to the bulk sale of potable water in accordance with minimum usage and time frames as noted in Section XI herein above Page6182 May 7 , 2007 – 10 00 am Continued XIII Delivery and Billing for Service a All water furnished under this Agreement shall be metered at the existing metering point on US 70 near the Wayne County – Johnston County line and said metering point shall be maintained and replaced when needed by Johnston County Johnston County shall perform calibration testing from time to time and provide the results to FTSD within ten 10 days of receiving testing results Johnston County shall provide FTSD complete access to the metering point , including the right to install supervisory control and data acquisition equipment at the metering station b The meters serving Johnston County and FTSD shall be read on a monthly basis by the party selling water c If the selling party is unable to read meter s for any reason , the use may be estimated on the basis of usage during the preceding billing period for which readings were obtained Bills rendered on the basis of such estimates shall be as valid as if made from actual meter readings , and appropriate adjustment of the bill shall be made at the first actual reading of the meter subsequent to the date of estimated usage d The term “ month ” or “ monthly ” refers to the interval s transpiring between the previous meter reading date and the current meter reading date , and bills shall be rendered accordingly e Monthly bills for water services shall be rendered as computed by multiplying the flow of water expressed in thousand K gallons , by the rate per thousand K gallons The rate per thousand K gallons is the generally applicable aggregate bulk rate as subject to and governed by the Ordinances adopted by Johnston County for its Public Utilities Department and all fees , charges and or costs related to the same are controlled thereby and subject to change Said rates are determined by the Johnston County Board of Commissioners Johnston County shall charge FTSD the same unit rate for water supply as all other Johnston County bulk customers The current applicable bulk rate for water is approximately 180 per thousand gallons of water used per month FTSD shall charge Johnston County the same rate as specified by Johnston County to be charged FTSD th f All billings shall be made by the tenth 10 day of each month and paid within thirty 30 days of the billing date A late payment charge of one percent 1 per month shall be applicable to all bills not paid within thirty 30 days of the billing date XIV Other Service FTSD may allow other users to be served by the water distribution facilities described in this Agreement provided that it does not materially impair FTSD’s ability to serve Johnston County XV Connection and Water Transportation FTSD and Johnston County shall have , without charge , the right to connect , interconnect and transport through the water production and distribution systems as described in this Agreement with any other water production and distribution system it desires provided that it does not materially impair either party’s ability to serve each other XVI Continuance of Service FTSD and Johnston County shall use reasonable diligence to provide uninterrupted water production and distribution services Neither party shall be liable to each other or to any consumer purchasing service for damage s for failure in , temporary interruptions to , or temporary suspension of water production or distribution service , so long as such failure , interruption or suspension is not caused by willful conduct on the part of either party Both parties reserve the right to suspend service , without liability on its part , at such time and for such period and in such manner as it may deem necessary for the purpose of making adjustments to , changes in , or repairs to the infrastructure and facilities for which it is responsible , provided that both parties shall make reasonable efforts to minimize any suspension of service Each party guarantees that the other party will be given the same priority for service as all other bulk rate customers Both parties recognize and agree FTSD’s source of water is derived , in part , from wells within the bedrock aquifer and that water quality and or quantity from wells utilizing the bedrock aquifer may change with little or no notice It is further recognized and agreed that FTSD’s ability to provide Johnston County with up to 150,000 gpd commencing in 2007 and continuing through 2017 is dependent upon the continued successful operation of FTSD’s wells utilizing the bedrock aquifer and FTSD and Johnston County hereby agree that FTSD shall have the right , at FTSD’s discretion , to suspend the sale of water , in such quantities as determined by FTSD , to Johnston County in order to protect the integrity of the FTSD water system and operate in full and complete compliance with the rules and laws of the State of North Carolina In the event FTSD curtails or suspends the sale of water to Johnston County then Johnston County at its discretion , shall have the right to curtail or suspend the sale of water to FTSD in the same amount for the same duration In the event FTSD curtails or suspends the sale of water to Johnston County it shall have no effect on FTSD’s right to purchase capacity , as described in this agreement , in Johnston County’s new or expanded water treatment facility XVII Waiver and Indemnity a To the fullest extent allowed by law , FTSD assumes responsibility for and shall hold harmless , defend and indemnify Johnston County against all liability , claims , judgments , losses , costs , and expenses including reasonable attorneys fees , for any injury , loss , or damage to persons or property including fines by any Federal or State agency and also including personal injury or property damage on account of , or in any way arising out of , the design , construction , maintenance and operation of water utility infrastructure owned by FTSD b To the fullest extent allowed by law , Johnston County assumes responsibility for and shall hold harmless , defend and indemnify FTSD against all liability , claims , judgments , losses , costs , and expenses including reasonable attorneys fees for any injury , loss , or damage to persons or property , including fines by any Federal or State agency , and also including personal injury or property damage on account of , or in any way arising out of the design , construction , maintenance and operation of water utility infrastructure owned by Johnston County Page7183 May 7 , 2007 – 10 00 am Continued c Neither party shall be responsible to indemnify the other against any claim , damage or loss for bodily injury or property damage to the extent that such damages are caused by the negligence of the other party or its agents , employees , contractors or other representatives Each party shall notify the other in writing of any claim for indemnification hereunder , and shall describe in such notice the nature and cause of the claim The party against whom the claim is asserted shall be allowed a reasonable time and opportunity to cure , mitigate , defined and otherwise address the claim XVIII Transfer or Assignment The covenants and agreements contained in this Agreement are specifically binding on the parties hereto , and may not be transferred or assigned to any other party or parties without the express written consent of the other party , which consent shall not be unreasonably withheld XIX Mediation Any claim , dispute or other matter in question arising out of or related to this Agreement shall be subject to mediation as a condition precedent to the institution of legal or equitable proceedings by either party The Parties agree that the mediation will be conducted and governed by the North Carolina Rules Implementing Statewide Mediated Settlement Conferences in Superior Court Civil Actions , and NGGS Sect 7A - 381 c except as specifically provided otherwise herein The parties shall share the mediator’s fee and any filing fees equally The mediation shall be held in Wayne County , unless another location is mutually agreed upon Agreements reached in mediation shall be enforceable as settlement agreements in any court having jurisdiction thereof XX Governing Law This Agreement shall be governed by the laws of the State of North Carolina XXI Entire Agreement This Agreement represents the entire and integrated agreement between FTSD and Johnston County and supersedes all prior negotiations , representations or agreements , either written or oral This Agreement may only be amended by written instrument signed by FTSD and Johnston County XXII No Third Party Beneficiaries Nothing contained in this Agreement shall create a contractual relationship with or cause of action in favor of a third party against FTSD or Johnston County XXIII Severance Clause In the event any provision of this Agreement is adjudged to be not enforceable or found invalid , such provision shall be stricken and the remaining provisions shall be valid and enforceable XXIV Term of Agreement The term of this Agreement shall be for fifty 50 years , and thereafter may be renewed or extended for such additional term or terms as may be agreed upon XXV Notices All notices or other communications which shall be made pursuant hereto shall be in writing and shall be deemed to be given and received a when hand delivered to the address stated below , b three 3 days after being mailed to the address stated below , postage prepaid by certified or registered mail of the United States , return receipt requested to the address set forth below TO County of Johnston PO Box 1049 Smithfield , NC 27577 Attn County Manager TO Fork Township Sanitary District PO Box 1515 Goldsboro , NC 27533 Attn District Manager Either party to this Agreement may change its designated person or designated address at any time and from time to time by giving notice of such change to the other 14 Public Utilities – Proposed Bulk Water Supply Agreement with Southwestern Wayne Sanitary District Upon a motion by Commissioner DeVan Barbour , seconded by Commissioner Jeffrey P Carver and carried by unanimous vote , the Board approved the following bulk water supply agreement with the Southwestern Wayne Sanitary District Bulk Water Supply Agreement with Southwestern Wayne Sanitary District THIS AGREEMENT is made and entered into this the day of , 2007 , by and between Southwestern Wayne Sanitary District , a body politic and corporate , organized and existing under the laws of the State of North Carolina hereinafter referred to as “ SWWSD ” and Johnston County , a body politic and corporate , organized and existing under the laws of the State of North Carolina hereinafter referred to as “ Johnston County ” WITNESSETH WHEREAS , SWWSD operates and manages water supply and water distribution facilities located within its boundaries ; and WHEREAS , Johnston County operates and manages water supply and water distribution facilities and systems located within its boundaries ; and WHEREAS , Johnston County des