2007-10-24 Special Meeting
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 31
SPECIAL MEETING, OCTOBER 24, 2007 PAGE 223
ASSEMBLY
The New Hanover County Board of Commissioners met for a Special Meeting with the Cape Fear Public
Utility Authority Board and the Wilmington City Council on Wednesday, October 24, 2007, at 11:00 a.m. in the
Human Resources Training Center, New Hanover County Government Center, 230 Government Center Drive, Suite
135, Wilmington, North Carolina.
Members present were: New Hanover County Board of Commissioners Chairman/Cape Fear Public Utility
Authority Elected Official Member William A. Caster; New Hanover County Board of Commissioners Vice-
Chairman/Cape Fear Public Utility Authority Elected Official Member Robert G. Greer; Commissioner Ted Davis,
Jr.; Commissioner William A. Kopp, Jr.; Commissioner Nancy H. Pritchett; County Manager Bruce T. Shell;
County Attorney Wanda M. Copley and Clerk to the Board Sheila L. Schult.
Others present were: City of Wilmington Mayor Bill Saffo; City of Wilmington Mayor Pro Tem/Cape Fear
Public Utility Authority Elected Official Member Jim Quinn; City of Wilmington Council Member Lethia Hankins;
City of Wilmington Council Member Laura Padgett; City of Wilmington Council Member Earl Sheridan; City of
Wilmington/Cape Fear Public Utility Authority Elected Official Member Jason Thompson; Cape Fear Public Utility
Authority Chairman Matt Hunter; Cape Fear Public Utility Authority Vice-Chairman Gene Renzaglia; Cape Fear
Public Utility Authority Secretary Steve Thomas; Cape Fear Public Utility Authority Member John Andrews; Cape
Fear Public Utility Authority Member Kathryn Johnston; and Cape Fear Public Utility Authority Member Burrows
Smith.
Cape Fear Public Utility Authority Member Charles Wells and City of Wilmington Council Member Pat
Delair were absent.
Cape Fear Public Utility Authority Chairman Matt Hunter called the Cape Fear Public Utility Authority
Board to order, welcomed those present, and announced that the purpose of the meeting is to present an update on
the actions and progress of transition. The Authority members introduced themselves.
New Hanover County Board of Commissioners Chairman Caster and City of Wilmington Mayor Saffo
called their respective Boards to order.
General Manager Search Chairman Gene Renzaglia presented an overview of the process used to narrow
down the search for the General Manager position. The Executive Committee interviewed two well qualified
candidates and is in contract negotiations with the primary candidate. Due to confidentiality reasons, the name
cannot be released, but the candidate has over twenty-five years of experience dealing with water and sewer issues
and public utilities. The Authority is hoping to have the General Manager in place within the next two to three
weeks.
Seven positions have been identified for the direct reports to the General Manager including a Chief
Operating Officer, Deputy General Manager, Chief Finance Officer, Chief Engineer and Human Resource Director.
The screening process will be the same as for the General Manager position with the difference being that the
General Manager will be included in the interviewing process once in place. The Authority is hoping to have these
positions filled by early to mid December 2007.
Information Technology Chairman Gene Renzaglia presented an overview of the Information Technology
Application that is being considered for the Authority. The software system being considered is SunGard and will
be capable of integrating all departments and their necessary functions. The Authority is hoping to have the
software installed and operational by March 2008.
Human Resources Chairwoman Kathryn Johnston presented an overview of the process being used to
compile the benefits and compensation package that will be offered to Authority employees. The Human Resources
Committee is currently assembling the following information:
?
Creating job descriptions
?
Setting pay scales
?
Drafting policies and procedures
?
Creating an organizational chart
?
Compiling the benefits package
Offering a fair and reasonable benefits/salary package is a high priority to the Human Resources
Committee.
Secretary Steve Thomas presented the Critical Path Method spreadsheet stating that the schedule lists the
timeline for over 280 critical tasks that need to be completed by the projected take over date of July 1, 2008. To
date, they are on schedule.
Chairman Hunter reported that Treasurer Charles Wells could not be present but that the Authority
members appreciate the interim funding that has been provided. He stated that the City Council and Board of
Commissioners will be approached with an additional funding request before the end of the year.
City of Wilmington Manager Sterling Cheatham stated that he was available to answer any questions.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 31
SPECIAL MEETING, OCTOBER 24, 2007 PAGE 224
New Hanover County Manager Bruce Shell stated that he was also available to answer any questions. He
reported that New Hanover County is serving as the Authority?s Fiscal Agent. Of the $1.8 million appropriated by
the City Council and Board of Commissioners, to date, $382,000 in receipts has been processed.
QUESTION AND ANSWER PERIOD
Chairman Hunter announced that the Authority Board members were available to respond to questions.
In response to questions by Councilman Earl Sheridan, various Authority Board members provided an
overview of the process that was used to identify the direct report positions and the process that is being used to
advertise future Authority positions to current City and County employees. The transition of current City and
County employees to Authority employees is a high priority to the Board.
In response to questions by Councilwoman Lethia Hankins, Chairman Hunter reported on the input the
Authority Board has received from consultant Municipal & Financial Services Group, Citizen Advisory Board, the
Wilmington City Council, New Hanover County Board of Commissioners, and from employee groups from both the
City and County.
Councilwoman Laura Padgett voiced concern about future capacity management issues, environmental
concerns, conservation rates, proposed rate schedule, and the defined area that the Authority will serve stating that
she would like to see these issues addressed in the Interlocal Agreement.
Chairman Hunter stated that these issues have not been discussed in depth by the Authority as they are
currently focusing on the hiring of the General Manager and the seven direct reports. Once the top management is
in place, those issues will be addressed. Although those issues can be addressed in the Interlocal Agreement, not all
the details of those issues can be addressed.
Cape Fear Public Utility Authority Member John Andrews reported that once the Authority?s Chief
Engineer is in place, many of Councilwoman Padgett?s concerns will be addressed.
In response to questions by Mayor Saffo, Ed Donahue, Municipal & Financial Services Group, reported
that his staff is currently reviewing and updating the water master plan, integrating the City and County sewer
master plans, and reviewing and conducting a rate study. Preliminary reports will be forthcoming.
The Authority also has had discussions with Interim Attorney Bill Lynch that there needs to be provisions
included in the Interlocal Agreement for coordination of development and capacity between the three entities.
Interim Authority Attorney Bill Lynch stated that he is currently reviewing the Interlocal Agreement with
the purpose of the document to be an instrument for future coordination and cooperation and to be mutually
acceptable to all three entities.
New Hanover County Commissioner Nancy Pritchett stated that she shares Councilwoman Padgett?s
concern of protecting the environment but that people may differ on the way to go about achieving that goal. The
Interlocal Agreement needs to include the concept of environmental protection but not get into the details of how it
is achieved.
City of Wilmington Council Member Jason Thompson and City Wilmington Council Member Jim Quinn
stated their desire to see the Interlocal Agreement be approved by the Wilmington City Council and Board of
Commissioners in November 2007.
City of Wilmington Councilman Sheridan and City of Wilmington Councilwoman Padgett voiced their
concern that the Interlocal Agreement should be approved before proceeding further.
Chairman Hunter reported that it is necessary to get the organization in place, including the Interlocal
Agreement, before the plan can be implemented and progress monitored.
Board of Commissioner Chairman Caster stated that it was necessary to proceed with the organizational
structure of the Authority and he encouraged the City of Wilmington to proceed with approving the Interlocal
Agreement.
After brief discussion, the consensus of the Authority Board is that a level of trust is necessary for the
Authority to succeed. What is in the best interest of the residents is the highest priority and they are committed to
work to that end.
In response to questions by New Hanover County Commissioner Ted Davis, Chairman Hunter stated that
all meetings have been open to the public, but as of yet, the beach communities have not been a part of any
discussions.
Board of Commissioner Chairman Caster stated that the beach communities may become a part of the
Authority in the future, but not at this time.
Councilwoman Padgett stated that she shares Councilman Sheridan?s concern that the Interlocal Agreement
will contain policies and procedures on how issues will be addressed.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 31
SPECIAL MEETING, OCTOBER 24, 2007 PAGE 225
Vice-Chairman Greer stated that he shares Ms. Padgett?s concern that the right thing is done but urged that
the Interlocal Agreement should not be so restrictive as to tie the hands of the Authority in allowing them to do what
they think is right to be successful.
ADJOURNMENT
Hearing no further questions, Chairman Hunter requested a motion to adjourn.
Motion
: Cape Fear Public Utility Authority Elected Official Member William A. Caster MOVED, SECONDED by
Cape Fear Public Utility Authority Elected Official Member Robert G. Greer, to adjourn the meeting. Upon vote,
the MOTION CARRIED UNANIMOUSLY.
Chairman Caster, City of Wilmington Mayor Saffo, and Cape Fear Public Utility Chairman Matt Hunter
adjourned their respective Boards at 12:10 p.m.
Respectfully submitted,
Sheila L. Schult
Clerk to the Board