March 19, 2019 - 8:00 AM - County Board of Commissioners Meeting (Annual Work Session)

10 675 Meeting of the Johnston County Board of Commissioners March 19 , 2019 Special Meeting Annual Work Session The Johnston County Board of Commissioners met in special session Tuesday , March 19 , 2019 in the Conference Room of the Johnston Regional Airport , 3149 Swift Creek Road , Smithfield , North Carolina The following members were present Present Chairman Ted G Godwin , Vice Chairman Chad M Stewart , Jeffrey P Carver , Larry Wood , Tony Braswell , Patrick E Harris , and RS “ Butch ” Lawter , Jr Absent None Also Present Rick J Hester , County Manager , Paula G Woodard , Clerk to the Board , J Chad McLamb , Finance Director and Assistant County Manager , Tyson Radford , Assistant Finance Director , Martha Lasater , Debt Manager , Jennifer J Slusser , County Attorney , Dana Cuddington , Paralegal Deputy Clerk to the Board , and Facilitator Neil Emory with the North Carolina Association of County Commissioners Chairman Ted G Godwin called the meeting to order at 8 00 am and welcomed everyone Facilitator Neil Emory with the North Carolina Association of County Commissioners introduced himself to the Board and provided the Board with a brief overview on the Association of County Commissioners as well as the Association’s legislative goals 1 Financial Update – Davenport & Company , LLC Kyle Laux and Griffin Moore with Davenport & Company LLC presented the annual financial update , as follows , to the Board Background ? Johnston County managed its finances through the Great Recession and has continued its solid financial management over the last several years As a result , the County has been able to – Maintain and or enhance its Credit Ratings ; – Refinance outstanding debt for significant debt service savings ; – Maintain and build its very strong fund balances ; and – Maintain the County’s real estate tax rate ? The County has enjoyed seven straight fiscal years with a surplus in the General Fund FY 2012 - 2018 owing to strong management from the Board and Staff as well as improving economic conditions ? Recent economic development successes and announcements of upcoming economic development projects provide additional momentum to the County’s historically stable growth ? The County’s Credit Ratings are in the upper tiers of the rating categories The County’s strong financials and continued economic momentum will aid the County’s efforts to maintain and enhance these ratings ? In its capacity as Financial Advisor , Davenport continuously monitors the County’s outstanding debt portfolio for potential opportunities to reduce interest costs and refinance for savings ? Since 2010 , the County has saved roughly 318 million by strategically refinancing existing debt for savings Note This savings figure does not take into account the amount the County has saved in reduced new money borrowing costs by virtue of having achieved multiple credit rating upgrades ? This includes 10 separate transactions most recently a Spring 2017 LOBs Direct Bank Loan – 2010A GO Refunding ; 2010 LOB Refunding ; 2010B GO Refunding ; 2012 GO Refunding ; 2013 LOB Utility Refunding ; 2014 LOB Utility Refunding ; 2014 GO Refunding ; 2015 GO Refunding ; 2016 GO Refunding ; and 2017 LOB Refunding ? The County is entering its next phase of major Capital Funding Needs Page676 March 19 , 2019 – 2019 Annual Work Session – Continued – General County Projects Public Safety Center and Educations Projects Schools and JCC ; and – Major Capital Needs for the Utility Enterprise Funds ? In November 2018 , County voters approved a 76 million Bond Referendum for School and Community College projects 61 million for County Schools and 15 million for Johnston Community College ? The County’s preliminary Multi - Year Capital Plan calls for the November 2018 Referendum General Obligation Bonds to be issued in four 4 tranches via competitive sales in FY 2019 , 2020 , 2021 , and 2022 – The first tranche will be issued in the amount of 20 million in June 2019 FY 2019 ? The County’s Multi - Year Capital Plan also incorporates a Public Safety Center financing to be issued as early as FY 2020 in the amount of approximately 50 million ? As detailed in this presentation , the Referendum bonds and Public Safety Center financing are not expected to require an increase in the ad valorem tax rate Interest Rate Trends ? Interest rates for tax - exempt borrowing are at historically low levels This presents a favorable environment to lock in a long - term , fixed interest rate for new money financing ? It is impossible to predict how long rates will remain at these historically low levels ? Interest rates are capable of rising quickly , as evidenced by the roughly 100 basis point 1 jumps that occurred in 2013 and 2016 highlighted below Goals & Objectives ? Review the most recent available Rating Agency commentary and results with the Board ? Review the phases of preliminary Multi - Year Capital Planning with the Board , including planning for the upcoming Series 2019 GO bonds to be issued as the first phase of the November 2018 Referendum ? Provide suggestions as to ways that are directly within the County’s control to maintain , or possibly enhance , the County’s favorable standing with the Rating Agencies and the Credit Markets ? Provide an overview of the County utility enterprise funds , including historical financial performance and upcoming capital needs ? Discuss the importance of the “ self - supporting ” status of the County’s utility enterprise funds Page677 March 19 , 2019 – 2019 Annual Work Session – Continued History of Johnston County’s Credit Ratings ? The County’s general obligation credit ratings have been increasing steadily during the past decade ? Moody’s upgraded the County’s rating from “ Aa2 ” to “ Aa1 ” in 2016 ? Most recently , in 2017 , both Rating Agencies assigned a “ Stable Outlook ” to the County’s Credit Ratings of “ Aa1 ” Moody’s and “ AA + ” S & P ? The Stable Outlook typically means that the Rating Agency does not foresee a rating change in the next several years if the current trajectory in key rating criteria continues Page678 March 19 , 2019 – 2019 Annual Work Session – Continued Moody’s Commentary – June 2017 ? “ The Aa1 rating is based on [ the County’s ] diverse local economic base and integral position in the larger Triangle region economy poised for further growth , rebounding reserves , and a somewhat elevated yet manageable debt position ? The high level rating also reflects the lack of any potential risks posed by variable rate debt , derivatives , or pension pressures , as well as the strength of a prudent management team ” ? FACTORS THAT COULD LEAD TO AN UPGRADE – Achievement and maintenance of financial flexibility in line with higher rating categories – Strengthening of tax base and demographic profile to levels more consistent with highest rating categories ? FACTORS THAT COULD LEAD TO A DOWNGRADE – Significant erosion of the County’s tax base and or demographic profile – Deterioration of the County’s reserves and or liquidity – Increased debt burden ” S & P Commentary – June 2017 ? “ The ‘ AA + ’ GO rating reflects our opinion of the County’s – Adequate economy , with access to a broad and diverse metropolitan statistical area MSA ; – Very strong management with strong financial policies and practices under our financial management assessment FMA methodology ; – Strong budgetary performance , with operating surpluses in the general fund and at the total governmental fund level in fiscal 2016 ; – Very strong budgetary flexibility , with an available fund balance in fiscal 2016 at 24 of operating expenditures ; – Very strong liquidity , with total government available cash at 430 of total governmental fund expenditures and 25x governmental debt service , and access to external liquidity we consider strong ; – Adequate debt and contingent liability position , with debt service carrying charges at 175 of expenditures and net direct debt that is 1753 of total governmental fund revenue , as well as low overall net debt at less than 3 of market value and rapid amortization , with 659 of debt scheduled to be retired in 10 years ; and – Very strong institutional framework score ” ? “ The stable outlook reflects S & P Global Ratings ’ opinion that the County will maintain its strong financial performance and very strong reserves ” ? “ In addition , we believe the County’s very strong management practices , expected economic growth , and access to the Raleigh MSA provide additional rating stability ” ? “ We do not expect to change the rating within the two - year outlook period ” ? UPSIDE SCENARIO – “ With all other rating factors remaining stable , if economic indicators were to show sustained improvement to levels we consider commensurate with those of the County’s higher - rated peers , we could raise the ratings ” ? DOWNSIDE SCENARIO – “ If financial performance or reserves were to experience sustained deterioration , or if the debt and contingent liability profile were to experience sustained weakening , we could lower the ratings ” Fund Balance Trends th ? The County’s Available Fund Balance increased for the 7 consecutive year in FY 2018 This stable trend will further aid in maintaining the County’s very strong rating categories ? Preliminary estimates for FY 2019 look positive in terms of the ability to further add to Fund Balance PagePage pageNumber5679 March 19 , 2019 – 2019 Annual Work Session – Continued Comparative Fund Balance ? The graph below shows comparative data from Moody’s for available general fund balance versus revenues ? The graph shows medians for highly rated National counties , highly rated North Carolina counties , and the eight other North Carolina counties that share the County’s current rating of “ Aa1 ” PagePage pageNumber6680 March 19 , 2019 – 2019 Annual Work Session – Continued Comparative Per Capita Personal Income ? The graph below shows comparative data from Moody’s and the BEA for County Per Capita Personal Income ? Per Capita Personal Income is an important factor in the Rating Agencies ’ determination of a local government’s demographic economic strength Debt Capacity Update ? The amount of new debt the County can responsibly take on can be separated into two concepts – Debt Capacity ? The ability to incur additional indebtedness and maintain important financial ratios in - line with County policies and municipal “ Best Practices ” especially as it relates to the rating agencies – Debt Affordability ? The budgetary impact of funding payments on additional indebtedness Capital Planning Key Assumptions ? The County’s Fiscal Year 2019 General Fund Budget net of Fund Balance Appropriated of approximately 223 million is used as the base for purposes of projecting the Debt Service versus Expenditures ratio Future growth is assumed to equal 25 per year ? The County’s Fiscal Year 2018 Assessed Value of approximately 164 billion is used as the base for projecting the County’s Debt versus Assessed Value Ratio Future growth is assumed to equal 21 in every year except FY 2020 , which assumes 3 growth due to revaluation ? The County would maintain a 10 Year Payout Ratio of tax supported debt in compliance with its 50 policy ? The County’s capital planning assumes the County will Cash Fund Novo Nordisk Site Work Capital Expenditures of 12 million in FY 2020 , 12 million in FY 2021 , 600K in 2022 , and 500K in FY 2023 ? Adjustments for future revenues and ongoing expenses for debt service are as follows ? Additional Sales Tax Revenue 10 million beginning in FY 2020 ; ? Additional Revenues from Revaluation 30 million beginning in FY 2020PagePage pageNumber7681 March 19 , 2019 – 2019 Annual Work Session – Continued ? New Novo Nordisk Revenue 12 million in FY 2020 , 15 million in FY 2021 , and 23 million in FY 2022 and beyond ; ? Homebuilders Exemption Possible Veterans Exemption 300,000 loss of revenue beginning in FY 2020 ? Operational Expenses 15 million expense beginning in FY 2020 Ongoing Revenue Adjustments Debt Affordability - Cash Flow Impact of New Debt ? Includes the projected annual cash - flow impact of the – 20 million GO Bonds of the November 2018 Referendum issued in FY 2019 Phase 1 – 49 million LOBs issued to finance a Public Safety Center project in FY 2020 – 20 million GO Bonds of the November 2018 Referendum issued in FY 2020 Phase 2 – 18 million GO Bonds of the November 2018 Referendum issued in FY 2021 Phase 3 – 18 million GO Bonds of the November 2018 Referendum issued in FY 2022 Phase 4 Debt Capacity - Impact on New Debt on Policy RatiosPagePage pageNumber8682 March 19 , 2019 – 2019 Annual Work Session – Continued Utility Enterprise Funds ? The County owns and operates Water , Wastewater , and Solid Waste systems ? The County also serves water customers through Water Districts owned and operated by municipalities in the County Operations are accounted for through the Water District Operating Fund ? The County Water Fund , Water District Operating Fund , and Wastewater Fund are all self - supporting and do not rely on support from the General Fund Utility Capital Planning ? The County anticipates potential Utility Capital Needs of approximately 350 million over the next 20 years ? The County anticipates an increase in operational costs and the cost of debt service related to financing for new Capital Needs ? It is important for the County’s financial health and standing in the eyes of the National Credit Rating Agencies to maintain the “ self - supporting ” status of its utility funds o Relieves pressure on the County’s general tax revenues to fund other critical County - wide priorities education , public safety , etc o Self - Supporting Utility debt is not counted against the County’s Debt Policy Ratio limits This significantly enhances the County’s capacity to take on other critical capital projects ? County staff and Davenport have begun the process of developing a Multi - Year Financial plan for appropriate User Rates – including potential Rate Increases – over the next several fiscal years This planning work will also involve a consultant that specializes in Utility Rate Planning Summary ? Johnston County continues to grow economically as a result of favorable local and national economic conditions Demographic trends are expected to improve ? Strategic management has been a major factor in the County’s trend of positive rating results ? Interest rates remain favorable but are expected to trend upwards for potential upcoming and future borrowings ? Johnston County is expected to have major capital needs both for general County projects and for Utility Enterprise projects ? Johnston County is expected to have capacity for future debt issuance – Given the evolving nature of the economy and the fact that large capital projects take years to design , build , and construct , Davenport recommends an incremental approach to taking advantage of this expected capacity PagePage pageNumber9683 March 19 , 2019 – 2019 Annual Work Session – Continued – It is vitally important to maintain self - supporting utility enterprise funds in order to preserve debt capacity for general County projects Next Steps – 2019 GO Bonds ? Late March Early April - County staff and Davenport develop a credit package for the National Credit Rating Agencies ? Month of April May – Present credit package to National Credit Rating Agencies ? Month of May – Receive Credit Ratings ? Thursday , May 23 – Publish bond offering documents ? Tuesday , June 4 – Sell bonds in the public credit markets ? Thursday , June 20 – Close on the bonds Funds in hand The Board thanked Mr Laux and Mr Moore for the information and discussed the available fund balance and how the rating agencies view the fund balance when making their rating determinations Mr Laux stated it is important to think of the fund balance as a savings account versus using it to pay for services He continued that services should be covered with recurring revenues because once money is taken from the fund balance , it can be difficult to rebuild The Board also discussed capital needs for county government as well as ongoing educational construction needs and how all the projects can be funded County Manager Rick Hester reported that staff is in the process of working with Davenport to put together a five and ten year model in order to have something to work from over the next few years and will share that with the Board when it is completed The Board took a five minute recess 2 Public Utilities Update Public Utilities Director Chandra Farmer , PE , presented the following update to the Board Page0684 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage1685 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage2686 March 19 , 2019 – 2019 Annual Work Session – Continued The Board discussed with Ms Farmer how residential subdivisions affect the available wastewater treatment capacity versus industries Page3687 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage4688 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage5689 March 19 , 2019 – 2019 Annual Work Session – Continued The Board discussed water and wastewater capacity challenges with Ms Farmer along with future needed projects as outlined in the Capital Improvements Plan The Board also discussed future proposed rate increases that are included within the overall utilities model The Board took a five minute recess 3 Solid Waste Department Update and Decal Program Discussion Solid Waste Department Director Rick Proctor presented the following information to the Board Page6690 March 19 , 2019 – 2019 Annual Work Session – Continued Mr Proctor reviewed the current tipping fees with the Board and stated no changes are proposed for next fiscal year Page7691 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage8692 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage9693 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage0694 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage1695 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage2696 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage3697 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage4698 March 19 , 2019 – 2019 Annual Work Session – Continued The Board discussed the above fee comparison chart with Mr Proctor and how those programs operate within their respective counties Mr Proctor stated the fees in the comparison chart are added to the tax bills of those residents Facilitator Neil Emory reviewed with the Board Harnett County’s fee system and how their operation is managed Mr Proctor reviewed four funding options for the Board to consider as it relates to solid waste disposal as well as a solid waste comprehensive capital expenditure plan The Board also discussed roadside trash and the need to look at ways to help clean up the roadways Page5699 March 19 , 2019 – 2019 Annual Work Session – Continued Chairman Ted G Godwin stated Mr Proctor has offered the Board many options and a lot of information to consider and he suggested taking time to think it over and then discuss at a future regular meeting 4 Sales Tax Discussion Commissioner Tony Braswell stated he had asked for a discussion to be added to the agenda regarding an additional sales tax and noted that some years ago , the Board authorized a referendum for an additional ¼ cent sales tax ; however , it was voted down by the citizens at that time Commissioner Braswell continued that the reason he would like to discuss the matter again is because Johnston County has overwhelming debt for school construction and he would once again like for the Board to present the referendum to the citizens with the understanding that those funds would be dedicated to school construction Commissioner Braswell stated the Board keeps putting the burden of school construction funding on the property owners , and he believes the additional sales tax would be a fair tax that all would have to pay Commissioner Braswell noted the County does not receive the amount of lottery funds that it should be receiving and additional sources of revenue must be identified Chairman Ted G Godwin stated Commissioner Braswell makes a good point in that the burden would be spread among everyone if the referendum were to pass At the inquiry of Commissioner Butch Lawter , Assistant County Manager Finance Director Chad McLamb stated staff does not have a way to track where individuals spending money in the County are coming from Commissioner Larry Wood expressed concerns with adding another tax for people to pay when some of the school construction projects have come in over - budget and in some cases twice their original budgets Commissioner Patrick E Harris stated he believes the Board needs to have a better understanding as to the cost of school construction projects Commissioner Harris further stated that whether he is for or against Commissioner Braswell’s idea of an additional sales tax , he can agree that other sources of revenue must be explored Commissioner Chad M Stewart stated one advantage of having a referendum on an additional sales tax is that the citizens would be the ones voting on it and if they want it , then the referendum would pass Commissioner Lawter stated if a referendum were put to the citizens , then the Board would need to be very specific as to how the revenue would be spent At the request of Commissioner Jeffrey P Carver , County Manager Rick Hester stated he would look back and see exactly what was included in the referendum the last time the Board authorized for it to be put on the ballot and report back to the Board 5 Planning & Zoning Ordinance Updates Transportation Planning Planning Director Braston Newton stated as everyone is aware , growth affects all services of county government Mr Newton reported in 2018 there were 2,064 new residential building lots approved while there were 1,572 lots approved in 2017 He stated currently there are approximately 11,800 residential building lots available which excludes lots that have been recorded Mr Newton stated to date in 2019 , 322 new residential building lots have already been approved and there are 493 proposed lots to be considered by the Planning Board this month along with another 193 Planned Development that the Board of Commissioners will have to consider in two months Mr Newton stated the Planning Department gets many complaints about the pace that development is occurring and its associated impacts Mr Newton stated staff has looked into various options for the Board to consider regarding growth management and he presented and discussed the following with the Board ? Adjust all density calculations to a net usable land method ? Require minimum lot size … 30,000 sf Provides greater flexibility and affordability for septic system design and future repair ? Allow Planned Developments to cluster units with increased density while requiring greater percentage of open space Sewer is required to achieve greater net density to allow for clustering ? Decrease density and increase open space percentage in Environmental Sensitive Areas ESA , Water Supply - Watershed WSW , and Buckhorn Reservoir Protection Area Page6700 March 19 , 2019 – 2019 Annual Work Session – Continued ? Mandate attenuation of stormwater ? Re - draw Municipal Transition Districts MTD as needed to reflect the purpose and intent Current district boundaries approximately mimic the municipal 2 - mile ETJs Mr Newton stated when the municipalities expanded their extraterritorial jurisdiction ETJ areas in 2008 , it made the Municipal Transition Districts MTD almost obsolete He suggested the Board consider re - drawing those boundaries At the inquiry of Chairman Ted G Godwin , Mr Newton responded that one of the biggest impacts of a MTD is the availability of sewer He stated in the MTD areas , where sewer is available , according to the current policy a residential development can connect to sewer Mr Newton stated regarding the future , Johnston County will continue to grow because it is a very attractive county He stated the best approach is to put mechanisms in place that will manage the pace of that growth , but not stop it Page7701 March 19 , 2019 – 2019 Annual Work Session – Continued The Board recessed for lunch 6 Economic Development Update Economic Development Director Chris Johnson presented the following update to the Board Page8702 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage9703 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage0704 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage1705 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage2706 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage3707 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage4708 March 19 , 2019 – 2019 Annual Work Session – ContinuedPage5709 March 19 , 2019 – 2019 Annual Work Session – Continued Mr Johnson spoke on the Atlantic Coast Pipeline project , stating he hopes it will get back on track soon He asked the Board to consider , when the pipeline project is completed , that the tax revenues from that pipeline be earmarked towards economic development to be used to purchase land or extending infrastructure to make Johnston County more marketable Mr Johnson also spoke on the tier system structure and noted that while Johnston County is classified as a Tier 3 county , it really could be divided into two different tiers with parts of the County designated as Tier 1 Mr Johnson spoke on legislation that could help Johnston County regarding required thresholds within the tier designation system and he encouraged the Commissioners to reach out to the legislators The Board briefly discussed with Mr Johnson how other counties are able to build spec buildings for their economic development programs Mr Johnson noted that Wilson County is currently on their seventh spec building project ; however , he noted that Wilson County has also not had to build schools the way Johnston County has The Board thanked Mr Johnson for the update 7 Parks & Recreation Discussion County Manager Rick Hester reported there are eleven towns in Johnston County along with six or seven rural athletic associations , which provides recreational opportunities in some form or fashion Mr Hester continued that traditionally , the County has assisted those organizations with capital funding in two ways ; 1 through a County - wide bond referendum held in 2007 ; and 2 through the disbursement of recreation and open space funds that are collected from developers through residential development projects Mr Hester stated recently there have been discussions about putting together another disbursement of recreation and open space funds to help organizations with their ongoing capital needs and staff will be working on that Mr Hester stated he has also been meeting with Larry Bailey recently to get his thoughts and ideas as to how the County , as a whole , could best support recreation Mr Hester stated in his opinion , for the time being , he would recommend the County continue supporting recreational orgainzations by disbursing recreation and open space funds for capital projects Mr Hester stated the current organizations within the County do a great job with their own recreational programming because they know their communities best Mr Hester stated it is also his thought to look at contracting with someone perhaps on a part - time basis to help bring a focus to recreation as a whole He noted the Board will be considering a memorandum of agreement between the County and the NC State Parks to help continue the extension of the Mountains to Sea Trail Project at their April meeting Mr Hester also spoke on the recent community meetings at Cleveland High School to talk about a proposed parks and recreation service tax district that had been requested by members of the Cleveland Community Mr Hester stated the meetings were very well attended by approximately 1,000 people over the two nights Mr Hester stated staff is ready to hear how the Commissioners would like to proceed Chairman Ted G Godwin stated recreation has been on all of the Commissioners ’ minds due to the amount of feedback received from the citizens He also stated there has been a lot of feedback from the citizens within the Cleveland Community regarding the proposed parks and recreation service tax district and he stated he feels the Board needs to bring some type of resolution to that matter Commissioner Patrick E Harris agreed that the Board has received a great deal of feedback and he would like to explore the process of having someone help the County look at how to address recreation either onPage6710 March 19 , 2019 – 2019 Annual Work Session – Continued a part - time or full - time basis Commissioner Harris also spoke on the need to have a County - wide plan to help determine what is needed in the various parts of the County as well as provide a guide for how to proceed in the future Commissioner Harris also stated there needs to be more coordination for the use of existing school facilities for recreational purposes Commissioner Harris stated with regards to the proposed parks and recreation service tax district in the Cleveland Community , whether citizens spoke for or against the district at the community meetings , one thing was clear and that is the citizens wanted to be able to vote on the issue themselves Commissioner Harris suggested sending the matter back to the General Assembly and request legislation authorizing the County to hold a referendum Commissioner Harris spoke on the property located at the corner of Matthews Road and Polenta Road within the Cleveland Community which has been optioned by representatives from that community for recreational purposes and what could be done to help hold that land until a referendum could be held Commissioner Harris again reiterated the need for the County to have an overall plan to address recreation Commissioner Butch Lawter stated he has personally seen what recreation can do for the quality of life Commissioner Lawter commended the people within the Cleveland Community for starting the discussion ; however , he stated one of his concerns with creating a service tax district in the Cleveland Community is the possibility of other areas within the County then coming forward and asking for their own districts Commissioner Lawter stated if that were to happen , then the County could potentially end up with as many recreation districts as there are fire districts and he believes the Board should look at recreation for the County as a whole Commissioner Lawter spoke on the need to make sure that for whatever is done , it must be equitable for all citizens Commissioner Lawter agreed with the idea of contracting with someone to come in and look at recreation for the County Chairman Godwin stated he believes all the Commissioners have expressed a desire to address recreation within the County , and he agreed with Commissioner Lawter’s concern about creating individual districts Chairman Godwin stated everyone has their own unique ideas , but the Board needs to come to some kind of consensus that the County can build on Commissioner Tony Braswell thanked the people within the Cleveland Community for bringing this discussion to the forefront and he agreed with the need to have an overall plan for recreation throughout Johnston County Commissioner Braswell commended the individual organizations within the County for what they do , but he feels there is a need for parks throughout the County Commissioner Braswell spoke on the success of the recreation bond referendum in 2007 and stated he would like to see the County have another one Commissioner Braswell stated not only does recreation improve the quality of life , it improves the health of the citizens Commissioner Harris stated he thinks the Commissioners can all agree on the need to contract with someone to look at recreation for the County and for that person to create a plan Commissioner Harris asked in the meantime , what could be done to help the Cleveland Parks and Recreation Association hold the property located at the corner of Matthews Road and Polenta Road that has been identified for a park , noting there is a time limit on that option Commissioner Chad M Stewart asked if money from the recreation and open space fund could be used to help service debt on the property until a plan is put in place Mr Hester reported there is approximately 215,000 in the recreation and open space fund designated for the Cleveland High School District area Mr Hester noted that the Greater Cleveland Athletic Association GCAA has submitted a request for reimbursement in the amount of 50,000 for projects they have recently completed At the inquiry of Commissioner Jeffrey P Carver , Mr Hester stated the Board of Commissioners did not approve the projects that the GCAA is requesting reimbursement for and he believes there may have been some confusion or misunderstanding The Board discussed how to proceed and the pros and cons associated with land banking the property held in option by the Cleveland Parks and Recreation Association as well as how the recreation and open space funds designated for that community should be spent Chairman Godwin stated regardless of how everyone feels about whether or not a tax district should be created , the citizens in that community want to know when the Board will make a decision either way Page7711 March 19 , 2019 – 2019 Annual Work Session – Continued Commissioner Larry Wood questioned using recreation and open space funds towards the land at Matthews Road and Polenta Road when there are other capital needs in that area over the next couple of years At the inquiry of the Board , Mr Denton Lee stated he thinks that the GCAA applied for reimbursement from the recreation and open space funds because they did not think that the Commissioners would put any of those funds towards the land purchase The Board again discussed the proposed parks and recreation tax district and the feelings that citizens in that area just want to know whether or not a district will be created Motion not to go forward with a parks and recreation service tax district Commissioner Butch Lawter moved the Board not go forward with creating a parks and recreation service tax district in the McLemore Fire District Commissioner Larry Wood seconded the motion which carried by the following vote Ayes Commissioners Ted G Godwin , Jeffrey P Carver , Butch Lawter , and Larry Wood Nays Commissioners Chad M Stewart , Tony Braswell , and Patrick E Harris Consensus to contract with a Recreation Coordinator Following further discussion , it was the consensus of the Board for the County to contract with a Recreation Coordinator to look at recreational needs on a countywide basis Assistant County Manager Finance Director Chad McLamb stated funds for a Recreation Coordinator can be placed in the Fiscal Year 2019 - 2020 budget 8 ETJ Discussion Commissioner Butch Lawter stated he had asked to talk about an issue between the County and the Town of Clayton regarding what he believes was perhaps a lack of communication or misunderstanding regarding enforcement within the ETJ area of the Town Commissioner Lawter stated upon review of the situation he learned that there has been more work done by the Town of Clayton than perhaps everyone realizes Commissioner Lawter stated he would like to revisit the matter and possibly for the Board to consider rescinding the letter sent to the Town of Clayton in 2018 notifying them of the County’s intention to take back the two mile ETJ area Commissioner Lawter reported he has e - mailed information to the County Manager and County Attorney regarding the differences in between the County and the Town’s ordinances and he believes this is a matter of staff sitting down together and coming up with a way to handle situations of differing ordinance language The Board discussed the matter as well as the citizen complaint that brought about the action the Board took to send the notification letter to the Town of Clayton back in 2018 Motion to Rescind Clayton ETJ Letter Commissioner Chad M Stewart moved the Board rescind the letter dated August 13 , 2018 that was sent to the Town of Clayton notifying the Town of the County’s intention to rescind the extraterritorial jurisdiction granted to it by Johnston County on December 3 , 2007 Commissioner Butch Lawter seconded the motion Discussion Commissioner Jeffrey P Carver stated he feels the situation needs more discussion and a resolution before rescinding the letter because it could affect other ETJ matters Vote The motion failed by the following vote Ayes Commissioners Chad M Stewart and Butch Lawter Nays Commissioners Ted G Godwin , Jeffrey P Carver , Larry Wood , Tony Braswell , and Patrick E HarrisPage8712 March 19 , 2019 – 2019 Annual Work Session – Continued 9 Public Information Marketing Branding County Manager Rick Hester provided the Board with an update on what the County is doing in regards to social media and public information Mr Hester explained that several of the County’s Human Resources staff members are trained as Public Information Officers and they have done very well during times of emergency in the County’s Emergency Operations Center Mr Hester continued that the County has hired a Social Media Specialist within the Human Resources Department and he is aware that there has been discussion by Board Members to have that person focus more fully on social media Mr Hester stated the County has a Facebook page and has been posting information to that page Mr Hester stated with regards to marketing and branding , he has spoken with Donna Bailey - Taylor with the Visitors Bureau and they are willing to help with marketing and branding Commissioner Patrick E Harris spoke on what the Town of Clayton has done with marketing and social media and how they have hired someone who does nothing but market the Town of Clayton Commissioner Harris stated the County’s Human Resources PIO staff has done a fabulous job covering public information within the Emergency Operations Center , but that is not their primary job responsibility Commissioner Harris spoke on the benefits and importance of having someone focused solely on getting public information and marketing out to the citizens so they will be aware of what is happening within their County Commissioner Butch Lawter agreed with Commissioner Harris and stated the County has some social media platforms ; however , it is scattered and he feels there should be a focus to bring it all together Following discussion , there was a consensus for the County Manager to look at budgeting funds in the Fiscal Year 2019 - 2020 budget for a full - time Public Information Officer Social Media Coordinator 10 Closing Comments Next Steps Final Thoughts Chairman Ted G Godwin asked if there were any final thoughts or comments from the Commissioners Commissioner Tony Braswell stated he would like for the Board to discuss the possibility of having a Highway Safety Awareness Committee Commissioner Braswell spoke on the Hwy 70 Corridor Commission’s Safety Project and how the opening of that project has brought about unintended consequences for the rural connector roads Chairman Godwin stated he would talk with staff and Commissioner Braswell further regarding this issue There being no further business , upon a motion by Commissioner Jeffrey P Carver , seconded by Commissioner Larry Wood , and carried unanimously , the meeting adjourned at 2 35 pm Ted G Godwin , Chairman Paula G Woodard , Clerk to the BoardPage