February 22, 1995 - 4:00 PM - County Board of Commissioners Meeting Minutes (Special)

February 22, 1995The Johnston County Board of Commissioners met in special session Wednesday, February 22,1995, at 400pm in the Commissioners Room, Johnston County Courthouse Annex, Smithfield, North Carolina, with the followingmembers presentNorman C Denning, Chairman, John M Booker, Vice Chairman, James W Cash, Jerry F Wood, DDS,Eleanor N Creech, Cecil M Massengill, and Cookie PopeAbsent NoneAlso Present Richard B Self, County Manager, and Joyce H Ennis, Clerk to the BoardThe Chairman called the meeting to order and the following business was transacted1 School Capital Needs - Revenue SourcesKay Carroll, Chairman of the Board of Education, stated his board unanimously signed a resolution supportingthe Commissioners recent efforts to find ways to fund school capital needs He referred to the revenue producing localbills, which the Board sent to the General Assembly following the February 6th meeting He noted that no onewelcomes new taxes, however, in his opinion, the citizens of Johnston County recognize the urgent needs and willsupport these measuresChairman Norman C Denning voiced his appreciation for the cooperation between the two boards He agreedthat the idea of new taxes is unpleasant for everyone, but user type fees are preferable to increased ad valorem taxesHe noted Johnston County has one of the highest tax rates in the state and, in his opinion, raising property taxes is notan option; however, the County must find ways to build schools He pointed out that Representative Leo Daughtryhas asked to see individual support from the Board of Education and the Commissioners for these proposed billsCommissioner John M Booker pointed out the State and Federal governments have placed so many mandateson the County for local funding, the money is not available for building the schools this county needs He noted theamount of local match for Social Services programs continues to increase yearly, and in the past few years, the Statehas put more and more responsibility for prisoners on local government With much of the Countys tax revenue tiedup by these federal and state mandates, the Board has no choice but to look for other sources of revenue to buildschools He voiced his support for the local bills which were sent to the General AssemblyCommissioner Eleanor N Creech stated she, too, would support the bills noting this has not been an easydecision for the Commissioners She stressed that both boards will need to address ways to be more conservative inthe future, but the need for schools is an immediate need that must be addressed now She thanked the Board ofEducation for their support in this matter and noted she is encouraged by what these measures will hopefullyaccomplish for Johnston CountyCommissioner James W Cash stated that although no one likes taxes, he would support the local bills as ameans to provide additional sources of revenue to meet the School Boards needs He commented that if somethingis not done now, the County will have to face a greater strain on property taxes in the futureCommissioner Jerry F Wood pointed out that pay back on a bond issue sufficient to take care of these needswould require a 13 5 tax rate if property taxes were used He stated the County has no choice but to find other meansto raise the needed revenue He voiced his support of the local bills, which were sent to the General AssemblyCommissioner Cecil M Massengill emphasized that the Board has been faced with an agonizing problem Hestated he has visited the schools and the needs are real, and although he noted he still has questions about the totaldollars required, he wholeheartedly supports the local bills as presented to the General Assembly CommissionerMassengill stated, in his opinion, this is needed for the good of Johnston Countys children and the overall future ofthis CountyCommissioner Cookie Pope stated she believes the public is expecting all levels of government to makesubstantial cuts, and until the newly elected officials have an opportunity to study their budgets and makerecommendations, she could not support these methods to raise revenue She stated, in her opinion, it would be wrongto decide an issue like this without a vote of the public She noted she supports construction of schools, and afterstudying the budget and possible cuts, she could possibly support an 25 to 30 million bond issue, voted on by thepublic, with a land transfer tax to pay back the bondMr Carroll responded that he recognized Commissioner Popes concerns and agreed that everyone should lookfor ways to be more conservative, but stated that even major cuts would not solve the problems the County facesconcerning schools He noted he would not support a 30 million bond issue, as this, in his opinion, would be deceivingthe public into thinking the problem is not as serious as it is He urged the Board to consider the situation in its entiretyand make a commitment to tackle the entire problem1 •Chairman Denning responded that the pay -back on a bond is almost double the amount borrowed, and he,personally, could not support it He pointed out the proposed revenue bills would generate revenue as you need itwithout a costly pay -back Commissioner Creech agreed and noted that with small bond issues, before one bond is paidoff, another bond issue would be needed She stressed the need to look at the whole pictureCommissioner Cash commented that a small bond issue might be needed to provide initial money with usingrevenue realized from the local bills to pay back the bondCommissioner John M Booker voiced his respect for Commissioner Popes position and her wish to see thatboth boards strongly consider all opportunities to make needed cuts He noted, however, that this problem is large and,in his opinion, the Commissioners have no choice but to face the entire issue and deal with it the best way they canMr Carroll stressed that the School Board also has mandates from the State and Federal Governments thatlimit how their funds are spentFollowing further discussion Commissioner Jerry F Wood moved the Board adopt the following resolutionin support of the local bills which were sent to the General Assembly following the February 6, 1995 Board meetingCommissioner John M Booker seconded the motionResolutionWHEREAS, The Johnston County Board of Education has requested in excess of 110,000,000 in schoolcapital construction funding needs; andWHEREAS, The Johnston County Board of Education has stated that this capital construction requestrepresents an immediate and urgent need; andWHEREAS, The school population continues to grow at a rapid rate and classrooms must be provided; andWHEREAS, State and Federal mandates have continuously eroded the county revenues and tax base to thepoint that the Johnston County property tax rate is in the top fifteen percent in the state andcannot be increased to facilitate this school capital requestNOW THEREFORE BE IT RESOLVED that the Board of Commissioners respectfully request that theGeneral Assembly introduce and approve the following local revenue bills for Johnston County which werepreviously sent to the legislative delegation local option sales tax; land transfer tax; impact fee on newconstruction; and prepared food and beverage taxBE IT FURTHER RESOLVED that all revenue resulting from these bills will be dedicated to school capitalneeds, infrastructure to school facilities and debt service on the above two itemsAdopted this 22nd day of February, 1995The resolution was adopted by the following voteYes Norman C Denning, John M Booker, James W Cash, Jerry F Wood, Eleanor N Creech,and Cecil M MassengillNo Cookie Pope2 Citizen Comment - School SpendingJoey Jackson, resident of Kenly, stressed the need for their to be checks and balances in place toensure that any money allocated for schools is spent wiselyThere being no further business, Commissioner Jerry F Wood moved the Board adjournCommissioner John M Booker seconded the motion, which carried by unanimous voteDetailsAnnotationsEntry PropertiesModified11192013 123331 PMCreated4152003 101731 AMTemplateMinutesFieldsMinutes - TypeSpecialMinutes - Date2221995Book19