March 18 2014 Regular Minutes NewHanover C Board
Meeting Minutes
March 18, 2014
I. Call to order
Chairman Cedric Dickerson called to order the regular meeting of the New Hanover County
Alcoholic Beverage Control Board at : can on March 18,2014 at the General Office; 523 S. 1 7th
Street, Wilmington, NC.
IL Roll call
Carol Martin, Board Secretary, conducted a roll call. The following Members of the Board were
present:
Cedric Dickerson, Chairman.
Robert W. Martenis, Vice Chairman
Thomas Wolfe, Member
Augustus C. Everett, Jr., Member
David Matthews, Member
Others in attendance were:
Dan Sykes, Chief Executive Officer
Gary Cain, Acting Assistant Chief Executive Officer
Carol Martin, Board Secretary
Wanda Copley, Legal Counsel
Avril Finder, Ex-Officio Member
Colonel Arch Jones, NI-IC Sheriffs Department
Sarah Murphy, WWAY News rs Reporter
Jonathan Spiers,Port City Daily News Reporter
Charles Hill, Acting Retail &LBD Operations Manager
Roy Stokley, Assistant Store Manager, Store 106
State Representative Susi H. Hamilton
Taylor B. Simms, LS3P Associates,LTD Senior Associate&Project Manager
Charles Blanton, Carolina Place/Ardmore Neighborhood Association President
Wilmington Police Officer Brandon Reece
III. onfli t o Inter s Reminder
r
Mr. Dickerson verbally confirmed that the Board members had read the following ethics
reminder:
"In accordance with General Statute 18B-201, it is the duty of every Board member to avoid
both conflicts of interest and appearances of conflicts. Does any member have any known
conflict of interest or appearance of conflict with respect to any matters coming before the
Board today If so,please identify the conflict or appearance of conflict and of ain fror
any undue participa for in the particular matter involved. "
Let it be recorded that no conflicts were identified by any Board member regarding this Board meeting.
v. A royal o rn n s Ro n last meetin
Mr. Dickerson presented the minutes from the last Regular Meeting of February 18,2014. Mr.
Martenis made the motion to approve the minutes as written, Mr. Everett seconded, all approved.
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Administrative Report 2d. in the written agenda titled Legislative. or-ma ion–Rep. Hami on was
presented next—not in the same sequence as the printed agenda:
Ms. Hamilton presented the Board with her General Assembly of North Carolina Session 2013 Bill
Draft 2013-ML-188B [v.9] ( entitled "AN ACT TO AUTHORIZE THE ALCOHOLIC
BEVERAGE CONTROL COMMISSION TO ISSUE CERTAIN PERMITS TO PUBS". Ms.
Hamilton presented the Board with her proposed changes to G.S. §18-B-1000. Her intent is to apprise
the local Board before her proposed legislation is presented in Raleigh. Ms. Hamilton adds `pubs
those organized and operated as for-profit and with fewer than 150 persons" to the product club law
definitions list concerning establishments. Ms. Hamilton stated that the bill will be presented when the
short session begins on May 14th, 2014 and that it has to be a state-wide bill.
V. Approval of proposed agenda
No changes were made to the prepared agenda as written,except to move Ms.Hamilton's scheduled
presentation up. Mr. Martenis made the motion to accept the proposed meeting agenda, Mr.
Everett seconded, and all approved.
VI. service Awards & Other Recogniti9m
Mr. Sykes introduced Mr. Roy "Pat" Stokley to the Board. Mr. Stokley ley has served the Board for
nearly twelve years. Mr. Sykes noted that Mr. Stokley y is a very valuable member of the Board's
store management team, and presented him with a framed ten-year service certificate.
Mr. Sykes apprised the Board that Mr. Matthew's second term of service is due to expire on June
30th, 2014. Mr. Matthew's did not elect to renew his service. Ms. Martin will advise Ms. Sheila
Schutt, Clerk to the Board of New Hanover County Commissioners so that proper notifications can
be made for a new appointment.
VII, Administrative Reports
a) ABC Law Enforcement Officer's Unit Monthly (ALE) Report for February was presented by Col.
Jones. Officers performed the following activities for the month of February, 2014:
*509 Store Visits
*278 Bank Deposits
Changed Deposits
*6 Video Investigations
Charges
29 Arrests
*9 Searches
~Cited 2 "Unauthorized Possession" ABC Law Violations
*Cited 1 "Other Alcohol" ABC Law Violations
Cited 1 "Manufacture/Sell/Deliver, Trafficking" Controlled-Substance Violation
=Cited 3 "Possession" Controlled-Substance Violations
`Cited 2 "Paraphernalia" Controlled-Substance Violations
= Cited 11. 'Traffic" Other Offenses
*Cited 3 "Criminal" Other Offenses
Assisted 9 ABC Law Agencies
Mage
`Assisted 8 Controlled Substance Agencies
*Assisted 2 Other Agencies
'Performed 60 Business Inspections
Noted 2 Miscellaneous Violations Submitted
'Performed 45 Business Compliance Checks
*Completed 30 Training Hours
b) Mr. Sykes presented the Board with Financial Statements for February, 2014. Mr. Sykes reported
that for the month, the Actual-0-Budget comparison showed Gross Sales were better than projected
by $227k(9.95%); and Income from Operations was better than budget by $123k (46.86%). For
the year, Income from Operations exceeded budget by $473k (15.35%), and Change in Net Position
before Distributions exceeded budget by almost $616k ((43.60%). The "Restricted Net Position
Analysis" details the New ABC Complex's contractually committed dollars set aside in the approved
$4.5m Restricted Net Position, the amounts paid to date, and the balance due on each contract as of the
Net Position date. The rounded balance of Restricted Net Position at February 28, 2014 was $3.4m.
c) The Board was apprised of two (2) updates:
1) Mr. Cain made a brief summary of the New ABC Complex progress for the past 30 days (as of
03/06/14):
Bordeaux Construction reports that the project is 38% complete
• Previous piping issues have been addressed and a new drainage design has been
implemented
• Regarding property perimeter fencing, Mr. Cain reports that our neighbor has
agreed to let us tie into their fence at the rear of the warehouse. Mr. Kemp
Burpeau,Deputy County Attorney will look into the need for a maintenance
agreement regarding the shared fence section
• Owner Supplied Items remain on schedule:
• Toilet Accessories Coastal Chemical has been in contact with LS3P
regarding these, and suggests use of non-recessed wall mounted accessories for
soap, paper towels, and toilet paper
▪ Low Voltage Cabling and Security, Surveillance—Mr. Cain has made
contact with four (4) companies that are interested in bidding on low voltage
cabling. An RFP(Request for Proposals) will be advertised by March 31, 2014
• Office Furniture—Mr. Cain has been in contact with three furniture supply
companies, and an RFP will be advertised by May 31, 2014
• Shelving and Carton Flow Racking—Mr. Cain stated that several contacts
have been made in this area, and an RFP will be advertised by August 11, 2014.
Mr. Sykes suggested that the advertising date for this RFP be moved up
considerably, to allow for time and completion.
Mr. Cain made available a lobby photo slide show demonstrating the current construction progress.
2) Regarding the Board's Employee Classification and Compensation Study, the Evergreen, LLC
final report to Mr. Sykes is expected by 5:00pm Wednesday, March 19, 2014.
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VIII. New Business
a) Mr. Sykes recapitulated the February,2014 Board meeting discussion regarding the General Statutes
that govern the distribution of profits for Alcohol Law Enforcement and the provision that authorizes local
ABC Boards to contract for local law enforcement. At the February meeting the Board generally agreed to
delay decisions on the three law enforcement contracts in effect until the March Board meeting.
Mr. Sykes stated that the Board contracts with the Sheriff's Department to provide four local ABC
officers (and an extra officer as needed during absence of an assigned officer),plus their supervisor, Col.
Jones. The FY2013-14 amount for this first contract was $300k. For FY2014-15, the request from the
Sheriffs Department is for two percent more, or$306k plus up to $25k for a replacement vehicle used
exclusively for ABC Board business.
Mr. Sykes stated that the Board contracts with the Wilmington Police Department for two Police
officers designated as Local ABC Officers. The Inter local Agreement was made and entered into May 25,
2011, automatically renews annually, and the annual cost of the contract to the Board is $1.
Mr. Sykes stated that the Board currently provides $180k to the NHC Sheriffs Department for three
deputies. These three ABC Board funded deputi
Administrative Manager; Purchasing &Logistics Operations Manager, and Retail
Operations Manager. Mr. Martenis made the motion to approve the Board's review of the current Plan
with no specific changes. Mr. Everett seconded the motion, and all approved.
d) Mr. Sykes apprised the Board of the need of repair or replacement of the exterior`ABC" sign
over the 17th Street retail store. The current lights are inoperable. LS3P Associates,LTD is currently
assisting staff regarding design for a new sign with `ABC Spirits" to be used after the buildi