1995-10-16 Regular Meeting
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 57
ASSEMBLY
The New Hanover County Board of Commissioners met in Regular
Session on Monday, October 16, 1995, at 9:00 A.M. in the Assembly
Room of the New Hanover County Courthouse, 24 North Third Street,
wilmington, North Carolina.
Members present were: Commissioners Sandra Barone; William A.
Caster; William E. Sisson, Jr.; vice-Chairman E. L. Mathews, Jr.;
Chairman Robert G. Greer; County Manager, Allen O'Neal; County
At torney, Wanda M. Copley; and Clerk to the Board, Lucie F.
Harrell.
Chairman Greer called the meeting to order and welcomed
everyone present.
INVOCATION AND PLEDGE OF ALLEGIANCE
Reverend Jay Young, Pastor of winter Park Pentecostal Holiness
Church, gave the invocation.
Commissioner Barone led the audience in the Pledge of
Allegiance to the Flag.
NON-AGENDA ITEMS
Chairman Greer inquired as to whether anyone in the audience
would like to present an item not listed on the Regular Agenda or
comment on an item listed on the Consent Agenda.
The following item was presented:
Promotion of Rabies Clinic
Ms. Donna Neal, Chairman of the Animal Control Advisory
Committee, reported on the danger of rabies reaching New Hanover
County and presented a map showing where active cases of rabies had
been found. She commented on the need to create a public awareness
of this disease and announced that a free Rabies Clinic was
scheduled for November 4, 1995, from 12:00 noon until 4:00 P.M. at
the Five Points Community Center, Red Cross and MacCrae Streets.
Ms. Neal presented a brochure on how to care for pets during
hurricanes and reported this document was being distributed to
local businesses and veterinarians to assist people in caring for
their pets during emergencies.
APPROVAL OF CONSENT AGENDA
Chairman Greer requested removal of Consent Agenda Item #8.
Commissioner Caster commented on Consent Agenda Item #3
regarding the contract with N. C. Correction Enterprises, Inc. for
inmate labor at WASTEC, and he requested an explanation as to how
the $60,000 would be expended.
County Manager O'Neal responded the $60,000 would be used to
pay for supervisory expenses, which is far less expensive than
having to hire persons to supervise the inmates.
Commissioner Caster commented on Consent Agenda Item #4, a
contract with Miller Excavation and Demolition for mulching of
storm debris and stumps received at the Landfill, and he inquired
as whether the County had an existing contract with this company?
County Manager O'Neal responded the County did not have an
existing contract with this company.
Motion: Commissioner Sisson MOVED, SECONDED by Vice-Chairman
Mathews to remove Consent Agenda Item #8 for further discussion and
approve the remaining items on the Consent Agenda as presented.
Upon vote, the MOTION CARRIED UNANIMOUSLY.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 58
CONSENT AGENDA
Approval of Minutes
The Commissioners approved the minutes of the Regular Meeting
of October 2, 1995, as presented by the Clerk to the Board.
Approval of 1996 Schedule for Regular Meetings of the New Hanover
County Board of Commissioners
The Commissioners approved the 1996 Schedule of the Regular
Meetings of the New Hanover County Board of Commissioners. The
schedule will be published in the Neighbors Section of the Star-
News.
Adoption of Resolution to Renew Contract #95-0100-A with N. C.
Correction Enterprises, Inc. for Use of Inmate Labor at WASTEC and
the New Hanover County Landfill
The Commissioners adopted a resolution to renew the contract
with N. C. Correction Enterprises, Inc. not to exceed $60,000 per
year for the use and supervision of inmate labor at WASTEC and the
Landfill. The Chairman was authorized to execute the necessary
contract documents.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 4.
A copy of the contract is on file in the Legal Department.
Award of Contract to Miller Excavation and Demolition for Mulching
of Storm Debris and Award of Contract to Wilmington Materials for
Processing Storm Related Debris - Environmental Management
The Commissioners awarded a contract to Miller Excavation and
Demolition for mulching of storm debris and stumps received at the
landfill. In the event there is no storm debris in FY 1995-96, the
company will grind stumps stockpiled at the Landfill at a rate of
$6.39 per ton for four-inch mulch. Authorization was given to
Staff to expend the $5,000 budgeted if there are no storms.
The Commissioners awarded a contract to wilmington Materials
for the processing of storm related debris on the wilmington
Materials property at a rate of $18.00 per ton for the grinding
service. This contract will be binding until June 30, 1996, but
not used unless the company is issued a notice to proceed.
The County Manager was authorized to execute the contract
documents.
Copies of the contracts are on file in the Legal Department.
Acceptance of Land Donation by B&D Development Corporation
The Commissioners accepted the Deed of Gift from B&D
Development Corporation for a parcel of land adjoining North Kerr
Avenue and the Airport. The tract is approximately 2.13 acres, and
after examination by the Department of Environmental Management, no
environmental concerns were found. The Airport Authority is
interested in obtaining the tract; however, for federal income tax
charitable contribution purposes, the County must first hold title
and then convey the land to the Airport Authority.
Authorization to File the FY 1996-97 Vector Control Grant with the
U. S. Army Corps of Engineers for Mosquito Control Activities
The Commissioners authorized the Health Department to file a
grant application in the amount of $73,000 to the U. S. Army Corps
of Engineers for the FY 1996-97 Vector Control Grant to be used for
mosquito control activities. The grant funds will be used for
salaries of the Vector Control Staff and equipment for the program.
Authorization to Submit a Grant Application to the N. C. Housing
Finance Agency Single Family Rehabilitation Program
The Commissioners authorized the Planning Department to submit
a grant application in the amount of $300,000 to the N. C. Housing
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 59
Finance Agency to assist 10 to 12 very low to low-income owner-
occupied households to rehabilitate their dwellings. The local
match would be from $60,000 to $72,000 and would come from the
General Fund Contingency.
Acceptance of "Poets In Person" Grant and Approval of Budget
Amendment #96-0051 - New Hanover County Public Library
The Commissioners accepted the "Poets In Person" grant awarded
by the American Library Association to the New Hanover County
Library in the amount of $1,050 to be used to provide a five-week
series of programs on contemporary poetry. The following Budget
Amendment was approved:
Budget Amendment #96-0051 - Library
Debit
Credit
Library
Poetry Grant
$1,050
Contracted Services
Books & Periodicals
$750
$300
Purpose: To budget the "Poetry in Person" grant awarded by the
American Library Association to the New Hanover County Library.
The grant application was approved by the Board of County
Commissioners on February 6, 1995.
Release of Value - Tax Department
The Commissioners approved property value adjustments to the
following taxpayers because of conditions that were brought to the
attention of the Tax Department. Backup information is available
in the Tax Department upon request.
Edward H. Chinnis, Jr.
John E. Noland
$ 2,360
$10,100
The Commissioners
penalties because the
listings on time:
released
taxpayers
the following
certified they
late listing
mailed their
Prime Equipment
James C. Stewart
$1,385.81
$ 5.69
Acceptance of Tax Collection Reports Through September 30, 1995
The Commissioners accepted the following Tax Collection
reports through September 30, 1995:
New Hanover County Tax Collections
New Hanover County Fire District Tax Collections
Copies of the reports are hereby incorporated as a part of the
minutes and are contained in Exhibit Book XXIII, Page 4.
Approval of Budget Amendment #96-0052 - Engineering Department
The Commissioners approved the following Budget Amendment:
#96-0052 - Fire District General Fund/Engineering Department
Debit
Credit
Fire District
Emergency Measures
Transfer to General Fund
$2,000
$2,000
General Fund/Enqineerinq Department
Transfer In (from Fire District)
Building
$2,000
$2,000
Purpose: Transfer of funds from the Fire District to the General
Fund/Engineering Department to fund a portion of the cost of the
building to be located at the new communication tower site.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 60
Approval of Budget Amendment #96-0059 - 800/MHZ Capital Project
#96-0059 - Fire Service District/800MHZ Capital Project
Debit
Credit
Fire Service District
Administrative Reserve
$57,570
Transfer to Capital Projects (800/MHZ)
$57,570
800/MHZ Capital Prolect
Transfer In (from Fire Service District)
$57,570
Rent
$57,570
Purpose: To budget additional funds for the 800/MHZ Capital
Project approved by the Board of Fire Commissioners on September
27, 1995.
Adoption of Resolutions to Add Roads to the State Highway System
The Commissioners adopted resolutions to add the following
roads to the State Highway System:
Archer Drive & Barlow Court in the Oxford Place Subdivision
Brandy Court
Copies of the resolutions are hereby incorporated as a part of
the minutes and are contained in Exhibit Book XXIII, Page 4.
APPROVAL OF CONSENT AGENDA ITEM #8, A RESOLUTION ESTABLISHING AN
OPTIONAL RELOCATION BENEFITS POLICY FOR NEW HANOVER COUNTY
Chairman Greer expressed concern for beginning the relocation
benefits and stated he felt the rehabilitation of dwellings was
appropriate, but he did not feel the County should become involved
with relocating persons.
County Manager 0' Neal reported homeowner relocations have
occurred in the past under the CDBG Program and advised that
occasionally, a home is found where it is not feasible to
rehabilitate the structure, whether being occupied by the homeowner
or tenant. When this situation occurs, any local government
receiving federal or state funds must comply to the federal Uniform
Relocation Act. Presently, the County has an opportunity to adopt
its own policy, which would be less expensive and less restrictive
than the federal relocation policy.
Staff Planner, Wanda Coston, reported when a home could not be
rehabilitated, the relocation of the homeowner or tenant was
usually a temporary situation; however, in some cases these people
had to be relocated permanently from the community if no viable
housing was available in the immediate area. She stated in
preparing the grant application, temporary relocation figures were
factored into the project and were part of the budget.
County Manager 0' Neal reported on the numerous problems
experienced by other counties with rehabilitation programs, and he
complimented Ms. Coston for the excellent manner in which she had
administered the programs with very few complaints.
Motion: Chairman Greer MOVED, SECONDED by Vice-Chairman Mathews to
adopt a resolution establishing an Optional Relocation Benefits
Policy for New Hanover County. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 4.
PRESENTATION OF SERVICE AWARDS
County Manager O'Neal requested the following employees to
step forward to receive Service Awards:
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 61
Name
Years of Service
Michael S. McCollum, Environmental Management 5
Catherine M. Jarrett, Department of Social Services 5
Cecilia N. Spry, Department of Social Services 5
Thurman Bass, Jr., Environmental Management 10
Mary F. Gaskin, Tax Department 20
Chairman Greer, on behalf of the Board, presented the service
awards and expressed appreciation to the employees for their years
of dedicated service to New Hanover County.
POSTPONEMENT OF AGENDA ITEM #2, FINDINGS ON THE RELOCATION OF THE
EMERGENCY MANAGEMENT DEPARTMENT AND EMERGENCY OPERATIONS CENTER
Chairman Greer reported the County Manager had postponed this
item until a later meeting.
DISCUSSION OF THE GOVERNOR'S "WORK FIRST" WELFARE REFORM PROGRAM
Discussion was held on the additional costs and
responsibilities that will be placed on counties if the Governor's
Work First Welfare Reform Program is enacted.
Director of Social Services, Wayne Morris, informed the Board
that if this program is enacted, the workload will greatly increase
because all participates will be required to work with monitoring
of individual job records, tracking of school attendance and
immunizations, provision of child care, and other items that have
not been defined in the Governor's Work First Welfare Reform
Program. He reported currently there are 2,158 AFDC adult clients
with 532 working clients. Based on the Work First criteria with a
caseload of this size, 941 of these clients will have to be brought
into the Work First Program. In the current JOBS Program there are
350 of these AFDC clients with another 75 teenage clients, who will
be dropped from the JOBS Program because of the Work First Program.
He reported the duties of the Department of Social Services will
double if the Governor's Work First Program is enacted.
Discussion was held on the waivers in the Work First Program
and concern was expressed about whether or not the paper flow and
record keeping process would be reduced. Deputy County Manager
Atkinson reported the Work First Program will reduce the benefits
to the clientele without streamlining the amount of monitoring and
paperwork which currently keeps the Social Workers from working in
the field with the clients.
Chairman Greer reported the County must be cognizant of the
fact that any federal regulations will be retroactive to October 1,
1995, which will create a problem with current budgets for the
fiscal year. Also, the County should not become the level of
government that will be responsible for picking up the additional
costs when state and federal Welfare Reform Programs are
implemented. He recommended informing the Governor, the local
legislative delegation, and the congressional delegation that
counties should not be responsible for the financial burden that
will be created by implementation of any state and federal Welfare
Reform Programs.
Deputy County Manager Atkinson reported on the time and effort
gi ven by the MIS Director and DSS Director in developing an
automated program to more efficiently process the numerous forms
required to meet state and federal regulations. He expressed
concern that these programs were not being considered under the
State's program.
A lengthy discussion was held on the importance of the state
and federal legislative representatives recognizing the tremendous
costs that could be placed on counties with the implementation of
Welfare Reform Programs. Commissioner Sisson recommended meeting
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 62
with the local legislative delegation and explaining the County's
concerns.
Consensus: After further discussion, it was the consensus of the
Board to request the County Manager to prepare a letter for the
Chairman's signature to Governor Hunt informing him about the
County's concern for the costs that could be placed on counties
throughout the State if the Work First Welfare Reform Program is
enacted. Also, the County Manager was requested to schedule a
meeting with the local legislators in the spring before the Short
Session of the General Assembly to discuss Welfare Reform and the
financial burden that could be placed on counties.
PRESENTATION OF FEASIBILITY STUDY FOR CONSTRUCTION OF A MATERIAL
RECOVERY FACILITY (MRF) - ENVIRONMENTAL MANAGEMENT
Director of Environmental Management, Ray Church, advised the
Board that the purpose of a Material Recovery Facility was to
reduce the wastestream by 20,000 tons through processed and
recycled materials as well as adhere to the State regulations
prohibiting the burning of steel or aluminum cans. Currently, the
City of wilmington, New Hanover County and beach communities are
processing only 3,300 tons per year of recycled materials. Once
the proposed facility is fully operational, it should process over
20,000 tons per year.
Director Church reported the facility would be funded from the
$1.4 million remaining from the 1993 Special Bond Issue and the
Material Recovery and Buy-back Facility would provide the following
benefits:
(1) Operate as a buy-back facility for all recyclable materials
brought to the facility from the general public and private
haulers.
(2) utilize employees of Keys to Industrial Training and Services,
Inc. to maintain and operate the facility on a long-term
basis.
(3) Provide the capability for all private haulers to compete for
and profit from commercial and curbside collection service by
providing equal access to a local market and processing
capability for recyclable materials.
(4) Reduce the initial capital expenses for the facility by
requesting proposals for lease/purchase arrangements through
a materials broker, which is a common practice.
(5) Identify potential long-term arrangements for material markets
to provide stability to the County recycling/waste management
program.
In summary, Director Church
provided the most economic and
recycling services.
reported
efficient
the public will be
means of providing
Director Church introduced Mr. Street Lee, a representative of
McKim & Creed, to report on the Construction and Demolition (C&D)
Facility Study.
The following goals of the Construction and Demolition
Facility study were presented:
(1) Identify the current C&D wastestream practices.
(2) Determine al ternati ves for handling the C&D waste through
recycling or reuse of the processed materials.
(3) Recommend a program for implementing a facility that would
handle this type of waste.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 63
Charts were presented on the C&D Facility life-cycle cost
estimates, revenue projections and costs for the integrated C&D/MRF
Facility. In summary, the study concluded that a C&D Facility
should be established at the WASTEC Facility because of the
economic benefits and the fact that wood wastes and other burnable
materials would be utilized as fuel for the incinerator.
Director Church requested the Commissioners to authorize Staff
to proceed with the following steps:
(1) The design, specifications, and bid documents for construction
of a building to house a Materials Recovery and Buy-back
Facility.
(2) Develop terms for a long-term agreement with Keys to
Industrial Training and Services, Inc. for the operation and
maintenance of the Facility.
(3 ) Receive Requests for Proposals for lease/purchase arrangements
for conveyor, sorting, and baling equipment from vendors.
(4) Receive Requests for Proposals for long-term marketing
arrangements for materials processed at the Facility.
Mr. W. C. Pridgen, Executive Director of Keys to Industrial
Training and Services, Inc., reported on the many benefits that
would be derived by utilizing the services of 20-25 vocational
rehabilitation clients of the Keys Program to maintain and operate
the Material Recovery and Buy-back Facility. He commented on the
money that would be saved by the County and stated the Keys Program
would, also, be greatly enhanced.
Discussion was held on why the Material Recovery Facility was
needed. Director Church reported the program would remove the non-
burnables and place burnables in the incinerator, which would
greatly increase the efficiency of WASTEC, provide for disposal of
182,000 tons of construction waste, and greatly reduce the
wastestream. The facility would be self-supporting and would not
cost the County money since funds are available from the 1993
Special Bond Issue.
Chairman Greer commented on disposal of construction and
demolition materials and asked if a plan could be worked out with
the contractors to separate the materials into two or three
containers? He reported this type of program would be much less
costly than spending $1.4 million for the proposed facility.
Director Church advised that this idea had been discussed and
educational programs had been provided to the contractors by the
Keep America Beautiful Agency. He informed the Board that
currently there was a program in place with a reduced tipping fee
to encourage the separation of materials; however, most of the
contractors still mix the loads.
Commissioner Sisson commented on the concept being an
excellent idea and stated since the County does not have a
mandatory trash collection system, he feels this program will
provide some form of curbside recycling pick-up to County residents
who want the service.
After further discussion, County Manager O'Neal recommended
scheduling a Work Session to thoroughly review the proposals
presented.
Commissioner Barone inquired as to why the County was
continuing to expand government? She also inquired as to why the
County was competing with the private sector, who has repeatedly
proven it could provide services at a lesser cost? She informed
the Board that the proposed concept would create a need for
additional labor, which will increase the cost of benefits through
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 64
medical insurance, retirement plans, and taxes. There will be
additional costs for buildings, equipment, insurance, storage,
disposal, and more management personnel will be needed to supervise
the Keys employees. She recommended bidding the project out to the
private sector with a Request for Proposals document being prepared
to require the companies responding to take all recyclables, not
just the items that are profit-oriented.
Commissioner Barone reported she ran for public office to be
sure that County Government was downsized, not expanded, and
stated, in her opinion, the proposal presented was ludicrous and
should be provided by the private sector, not the government.
Consensus: After further discussion, it was the consensus of the
Board to schedule a Work Session on November 2, 1995, at 10:00 A.M.
in Room 501 of the County Administration Building, to discuss the
proposed Material Recovery Facility.
BREAK
Chairman Greer called a break from 10:35 A.M. until 10:55 A.M.
APPROVAL OF REQUEST BY THE BOARD OF EDUCATION TO APPROPRIATE
ADDITIONAL FUNDS TO COMPLETE SCHOOL CONSTRUCTION PROJECTS AND
APPROVAL OF THE ASSOCIATED BUDGET AMENDMENT #96-19
Chairman of the Board of Education, Janice Cavenaugh,
commented on the letter written to the Board of County
Commissioners prior to the meeting and reported due to cost
overruns of $550,026 in school construction bids, the Commissioners
were being requested to reimburse the Public Schools' Fund Balance
by that amount plus $90,000 for connecting the Ogden Elementary
School to the County's sewer system. She reported quality items,
such as walkway covers, specified windows, and ceramic bathroom
fixtures had been eliminated in order to save money. She advised
that the Board of Education was concerned about the elimination of
these quality items but felt that further depletion of the fund
balance would place the school system at risk.
Commissioner Barone inquired as to whether flat roofs were
being used on the new school buildings?
Ms. Cavenaugh responded the pitch of the roofs had been scaled
down, but the Board of Education refused to use flat roofs.
Commissioner Barone inquired as to the current amount of the
fund balance?
Ms. Cavenaugh responded the current fund balance was
approximately $3,000,000 which was dangerously low.
Chairman Greer inquired as to whether the general fund was
used for the new administration office complex?
Ms. Cavenaugh responded the general fund had already been used
for the administration building and other needs.
Discussion was held on the amount of money in the account for
the schools. County Manager 0' Neal reported there was
approximately $2,200,000 in this account as of June 30, 1995.
vice-Chairman Mathews commented on the problems experienced in
the school restrooms with vandalism and reported the school system
must move forward with addressing this problem. He expressed
concern for constantly hearing that children were afraid to use the
bathrooms.
Ms. Cavenaugh reported the Board of Education has tried to
educate the children on having respect for the school facilities,
particularly the restrooms; however, vandalism was still occurring.
She reported without a complete monitoring system of the restrooms,
she felt this problem would continue.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 65
Discussion was held on replacing the quality items that had
been withdrawn from the construction projects in order to avoid
future maintenance problems in the new schools. County Manager
O'Neal reported the Public Schools' account had increased due to
additional sales tax revenue as a result of rapid growth in the
County, and he advised the Board that these funds had to be used
for school capital projects.
After further discussion of the funds needed to replace these
items, Ms. Cavenaugh reported that $1,141,353 would take care of
the construction cost overruns, connecting the sewer line to the
Ogden Elementary School, and replace the quality items that had
been eliminated from the construction plans.
Commissioner Barone inquired as to whether any maintenance
funds had been used to purchase towel bars, dispensers, and other
items?
Ms. Cavenaugh responded that funds had not been removed from
the maintenance account for those purposes.
Motion: Commissioner Caster MOVED, SECONDED by Commissioner Sisson
to approve a funding allocation of $1,141,353 to the schools to
provide funding to replace the quality items eliminated from the
contracts, connect the sewer line to the Ogden Elementary School,
and approve the associated Budget Amendment. Upon vote, the MOTION
CARRIED AS FOLLOWS:
voting Aye: Commissioner Caster
Commissioner Sisson
Vice-Chairman Mathews
Chairman Greer
voting Nay: Commissioner Barone
Budget Amendment #96-19 New Hanover County Schools Fund/Schools
Capital Projects Fund
Debit
Credit
New Hanover County Schools Fund
Appropriated Fund Balance
$1,141,353
Transfer to Other Funds
(to Fund 330/Schools Capital Projects)
$1,141,353
Schools Capital Prolects
Transfer In (from Fund 125/Schools)
$1,141,353
Capital Project Expense
$1,141,353
Purpose: To appropriate fund balance from New Hanover County
Schools' Fund for a transfer to the Schools Capital Projects Fund
for additional cost of capital projects.
ADOPTION OF RESOLUTION AUTHORIZING THE FILING OF AN APPLICATION
WITH THE NORTH CAROLINA LOCAL GOVERNMENT COMMISSION FOR APPROVAL OF
AN INSTALLMENT FINANCING AGREEMENT AUTHORIZED BY NORTH CAROLINA
GENERAL STATUTE 160A-20 FOR EXPANSION OF THE SOCIAL SERVICES
BUILDING
Chairman Greer opened the Public Hearing.
Finance Director, Bruce Shell, reported the Board had approved
installment financing for expansion of the Social Services
Building; however, in order to comply to the requirements of the
North Carolina Local Government Commission, according to N. C.
General Statute 160A-20, a Public Hearing must be held to allow the
public an opportunity to comment on the financing agreement. He
informed the Board he would be glad to answer any questions.
Chairman Greer inquired as to the number of years the project
would be financed?
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 66
Finance Director Shell responded the financing would be for a
term of four years. He reported when reviewing the existing debt
for the Law Enforcement Center and the Library, Staff felt it would
be beneficial to borrow enough money to payoff the remaining
balances on these projects at a lower interest rate, which will
save the County $37,000 in interest over the four-year period.
Discussion was held on Item #5 in the resolution. Chairman
Greer asked if one-half of a cent per $100 valuation would be
required?
Finance Director Shell responded this figure was used because
the N. C. Local Government Commission was reviewing the total
refinancing agreement; however, one-third of a cent per $100
valuation would be adequate.
County Manager O'Neal recommended changing this paragraph to
clearly state that no tax increase would be necessary.
Finance Director Shell responded this was a standard form;
however, he would be glad to check with the N. C. Local Government
Commission to see if the wording could be changed.
After further discussion of the wording in the resolution
being misleading, it was agreed to amend Item #5 to reflect a
change from the one-half of a cent per $100 valuation to one-third
of a cent per $100 valuation.
Chairman Greer inquired as to whether anyone from the public
would like to comment.
No remarks were received.
Chairman Greer closed the Public Hearing.
Motion: Vice-Chairman Mathews MOVED, SECONDED by Commissioner
Sisson to adopt the resolution with amending Item #5 from "one-half
to one-third of a cent per $100 valuation" if this change is
acceptable with the N. C. Local Government Commission. Upon vote,
the MOTION CARRIED AS FOLLOWS:
voting Aye: Commissioner Caster
Commissioner Sisson
Vice-Chairman Mathews
Chairman Greer
voting Nay: Commissioner Barone
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 4.
UPDATE ON THE JANUARY 1, 1997, PROPERTY TAX REVALUATION
Tax Administrator, Roland Register, informed the Board that
the 1997 Property Tax Revaluation will be a two-year process and
had already begun. Appraisers, wearing identification tags and
using County vehicles with decals on the side, will be going
through the various neighborhoods to determine the value of
properties. He reported State Law requires the revaluation every
eight years; however, New Hanover County opted to follow the
provision that allows the revaluation to be performed in shorter
intervals. He emphasized the importance of everyone understanding
that increasing values does not equate to increasing tax rates.
Tax Administrator Register presented the following key points
of the revaluation process:
(1) New values will go into effect January 1, 1997. This will
affect the tax rate to be set by June 30, 1997, and the tax
bills that will be mailed in August, 1997.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 67
(2) The purpose of the revaluation is not to raise taxes, but to
adjust assessed values as closely as possible to the current
market value.
(3) After the 1991 revaluation, the ratio of assessed values to
market values was 98.49%. In 1994, the ratio was down to
87.43% and in 1995, down to 84.99%. The revaluation is an
equitable way to value properties because the process removes
the high and low values back into the fair market value.
(4) It appears that values will increase in the following areas:
(a) properties on or near the water; (b) acreage that can be
immediately developed; and (c) improved commercial property on
Oleander Drive and Carolina Beach Road. Also, well-
established neighborhoods, such as Princess Place and the
downtown business district were already valued at 38% over the
assessed values.
(5) Computer modeling is being revised with cost data gathered and
developed. From this data, standards and rules are developed
which results into a computer model that can generate similar
values for similar types of structures.
In summary, the County has an excellent track record with
revaluations performed entirely by the County Staff. The informal
appeal process will occur after revaluation notices are mailed in
November, 1996, in order to provide adequate time for the property
owners to review the new values and discuss their concerns with the
Tax Department. If the property owner is not satisfied after an
informal appeal with the Tax Department, a formal hearing can be
scheduled with the County Commissioners sitting as the Board of
Equalization and Review to hear the appeal. If the property owner
is not satisfied with the decision rendered by the Board of
Equalization and Review, a formal hearing can be scheduled with the
N. C. Property Tax Commission. There have been very few formal
appeals. Of the appeals which were heard by the N. C. Property Tax
Commission or the N. C. Court of Appeals, all decisions rendered
have upheld the values determined by the County. The record
clearly shows that the "mass appraisal system" is a dependable
process.
vice-Chairman Mathews complimented the Tax Administrator and
Staff for the excellent manner in which the previous revaluation
was performed. He requested the Tax Administrator to use
additional phone lines during the upcoming process which in his
opinion, was most beneficial during the last revaluation.
Chairman Greer expressed appreciation to Tax Administrator
Register for an informative presentation.
TAX APPEAL BY DOUGLAS E. BYRUM ON VALUE OF 1995 CHEVY CAVALIER
Tax Administrator, Roland Register, introduced Mr. Douglas E.
Byrum and reported he was present to appeal the value placed on his
1995 Chevy Cavalier. He informed the Board that Mr. Byrum had paid
the taxes and fees as required by law.
Mr. Byrum reported the assessed value of his 1995 Chevy
Cavalier was placed at $15,200, which was totally illogical since
the sticker price on the vehicle was $14,620. After visiting the
Tax Department to find out how the tax value was determined, no
satisfactory answer was received. Later, he received a form letter
which reads as follows: "Value and conditions are determined as of
January 1..... .we do not consider the various options which mayor
may not be on the vehicle." Mr. Byrum strongly objected to the
method used to value new vehicles and stated the tax value of the
car should be the sticker price of $14,620 or the manufacturer's
suggested retail price of $12,465. He read the following sentence
from the same paragraph: "We adopt uniform guide values based on
the Vehicle Identification Number (VIN)." He, also, objected to
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 68
using this number as the basis for determining the tax value of the
car.
Mr. Byrum requested the Commissioners to review Exhibits, 1,
2, 3, 4, 5, 6, and 7 as presented in the agenda packet, and stated
the purpose of his appeal was to understand how the value was
determined on his new car.
Tax Administrator Register reported the form letter should not
have been given to Mr. Byrum without being customized to his
individual case.
Tax Administrator Register explained that the Appraisal Staff
works with the vendor (who values vehicles for 87 of the 100
counties in North Carolina) to obtain the manufacturer's
information before new cars are placed on the market. The vendor
reviews typically equipped cars, such as air-conditioning,
automatic transmission, radio, stereo, etc. with use of the Vehicle
Identification Number to ascertain the type of engine and model of
vehicle. He advised the Board that this system had worked well,
and reported when excessive errors are found, refund checks are
automatically mailed to the owners without requests having to be
made.
Tax Administrator Register reported in Mr. Byrum'S case, the
vehicle was valued "sight unseen" through mass appraisal at $15,200
in advance of the car being purchased. He reported Mr. Byrum paid
$14,620 for the car which is only a 4% deviation. The State Law
requires the appellant to prove that the County employed an
arbitrary or illegal method of appraisal in reaching the assessed
value, or that the County assigned a value that substantially
exceeded its true value in money as of January 1 for the year of
issue. The Tax Department applied a uniform value to the vehicle
in a manner that has a minor but reasonable deviation. From the
information presented by Mr. Byrum, the appellant has not proven
that the assessment was substantially greater than the true market
value, nor has he proven that the County used an arbitrary or
illegal method of appraisal. For these reasons, he would recommend
that the assessed value of $15,200 be upheld.
Discussion was held on the form letter and the options that
were not considered. Tax Administrator Register advised that the
intent of the form letter was to notify owners that the tax value
of new vehicles was based on typically equipped cars with no
consideration given as to options such as sunroofs, compact disc,
whitewall tires, etc.
Chairman Greer commented on the form letter being confusing
and requested the Tax Administrator to clarify the language because
it was misleading.
Tax Administrator Register reported he would be glad to change
the form letter.
Chairman Greer inquired as to why Tax Equity Consultant, Inc.
(TEC) did not use the sticker price for the value of the vehicle in
order to avoid errors in the assessment of new vehicles?
Tax Administrator Register responded there is no market
information on the sales price of new automobiles until a year
after the vehicles have been introduced; therefore, the tax
consultant must provide a uniform value in advance of the sales
price information being released that will be uniformly applied to
all new vehicles throughout the entire year.
Chairman Greer inquired as to whether applied values differ in
the various states and if the tax consultant works with values in
other states?
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 69
Tax Administrator Register reported that TEC applies its value
study only to North Carolina and does not operate outside the
state. He advised the NADA was not used because it requires
starting with a base price and adding options, which is not
compatible to the use of computers and would require four or five
additional employees. The County pays $7,000 for the consulting
service, which is less costly than hiring additional employees.
Chairman Greer commented on the value appraisal process being
as realistic as possible and stated, in his opinion, a new car
should be adjusted according to the bill of sale.
Tax Administrator Register responded if the County decided to
accept a 5% deviation, it would take two full-time employees to
determine if the variation was accurate. Also, if an individual
has a close relationship with a car dealer, frequently large
discounts are given to those individuals with other persons having
to pay the full price. In his opinion, applying a mass appraisal
approach as approved by the State is the most equitable way to
value new vehicles. In Mr. Byrum's case, a 4% deviation is not a
significant error.
Commissioner Sisson inquired as to what percentage would be
considered significant?
Tax Administrator Register responded over 10% as outlined by
the State.
vice-Chairman Mathews inquired as to the additional tax
assessed to Mr. Byrum with the 4% deviation?
Tax Administrator Register responded the additional tax was
$3.57.
Chairman Greer commented on the need to be as fair as possible
to the public and recommended that TEC use figures that reflect 4%
less instead of 4% higher on car values.
Tax Administrator Register advised the Board that counties
have a choice of three ranges, low, median, and high. New Hanover
County has always used the low percentage rate.
vice-Chairman Mathews asked Mr. Byrum if he was aware of the
additional tax due to the 4% deviation?
Mr. Byrum responded that he did inquire about the amount and
he was not aware that the additional tax was $3.57. He strongly
objected to the method of value applied and the rude manner in
which he was treated by the Tax Department when trying to find out
how the value was determined. He advised the Board that he was a
taxpayer and, in his opinion, to assess the value at $15,200 over
the sticker price of $14,620 was a ridiculous system.
Motion: Commissioner Sisson MOVED, SECONDED by Vice-Chairman
Mathews to uphold the assessed value of $15,200 for the 1995
Chevrolet Cavalier based upon the mass appraisal approach as
recommended by the Tax Administrator. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
Consensus: After further discussion, the Tax Administrator was
directed to change the language on the options in the form letter,
and authorize the Chairman to write a letter to the tax consultant
requesting an explanation of the method used for valuing new
vehicles as well as perform a review of the present value process
to provide the most equitable method of valuing vehicles.
BREAK
Chairman Greer called a break from 12:05 P.M. until 12:20 P.M.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 70
MEETING CONVENED FROM REGULAR SESSION TO HOLD A MEETING OF THE NEW
HANOVER COUNTY WATER & SEWER DISTRICT
Chairman Greer convened from Regular Session to hold a Regular
Meeting of the New Hanover County Water & Sewer District at 12:21
P.M.
Chairman Greer reconvened to Regular Session at 12:46 P.M.
ADDITIONAL ITEMS - COUNTY COMMISSIONERS
Discussion on Appointment of Members to Serve on the Partnership
for Children's Board of Directors - Smart Start
Commissioner Caster reported Mr. Mark Lanier, a Special
Assistant to the Chancellor at UNC-W, was no longer involved with
the Partnership for Children's Board of Directors. He requested
the County Manager to check into the process for appointing members
to serve on this Board, since the Commissioners agreed to make the
appointments.
County Manager O'Neal responded that he would check into the
matter and place this item on a future agenda.
Public Hearing to be Held by the School Capital Construction Study
Commission
Vice-Chairman Mathews announced the School Capital
Construction Study Commission will be holding Public Hearings
across the State and will be meeting in wilmington on November 30,
1995, beginning at 3:00 P.M. until 7:00 P.M. He inquired as to
whether any of the Commissioners were planning to attend.
County Manager O'Neal advised that he had scheduled a meeting
with Dr. Martin to discuss the school facilities needs in New
Hanover County and reported this item would be placed on the agenda
for discussion.
Discussion of the Site for the Ogden Volunteer Fire Department
Substation
vice-Chairman Mathews commented on the memorandum from the
County Attorney regarding the Deed of Trust and Promissory Note
offered by Attorney Tom Morgan, on behalf of the Ogden Volunteer
Fire Department, and reported he obj ected to this suggestion
because he felt the County should have j oint ownership of the
property.
County Attorney Copley reported as requested, she researched
the title to the property and found that Ogden Volunteer Fire
Department had paid $35,000 for the property and the title was
transferred on August 29, 1994.
Further discussion was held on the purchase of the property
and whether the funds to purchase the property were from District
funds allocated to the Ogden Volunteer Fire Department or from
private funds. Commissioner Sisson expressed concern for having no
control over situations of this type unless a uniform contract
policy is developed with the Volunteer Fire Departments. He
strongly supported j oint ownership and stated, if an agreement
cannot be reached, the County should search for another site.
Vice-Chairman Mathews commented on the need to provide more
fire protection to the area, and he urged the County to move
forward with the project.
Chairman Greer commented on the need to protect the County and
stated, in his opinion, the property should be joint ownership. He
suggested paying the Ogden Volunteer Fire Department $17,500 for
half ownership of the property.
County Attorney Copley responded she could notify Attorney
Morgan that the County is willing to pay the $60,000 already
committed plus $17,500 for joint ownership of the property.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 71
Consensus: After further discussion, it was the consensus of the
Board to direct the County Attorney to write Tom Morgan, the
attorney representing the Ogden Volunteer Fire Department, and
notify him that the County desires to have joint ownership of the
property and will reimburse the Ogden Volunteer Fire Department
half of the purchase price at $17,500 plus the original $60,000
commitment for construction of the building.
Discussion on Failure of the Telephone System
Vice-Chairman Mathews commented on the recent failure of the
phone system and requested an explanation as to why the system
failed and why the backup systems did not function.
County Manager O'Neal advised that the major component of the
computer driven system failed and the two backup systems did not
function. He advised that Carolina Telephone Company had been very
responsive in trying to correct the problem and stated as of today,
the public should not have a problem calling the various offices.
Vice-Chairman Mathews commented on the importance of having a
functioning backup system, particularly in the case of an
emergency, and requested a written explanation as to why the back-
up systems failed to function.
Discussion of Outdoor Burning in New Hanover County
Commissioner Sisson commented on attending a meeting at the
Department of Aging and reported he met a senior citizen who had
respiratory problems and was experiencing health problems because
of open burning on construction sites near his neighborhood. He
informed the Board that this person told him the materials were
being burned without anyone on site to monitor the fire.
Commissioner Sisson expressed concern for situations of this
type and reported as the County continues to grow with sites being
cleared for construction, he feels the outdoor burning policy
should be discussed as an agenda item at a regular meeting.
Discussion of Trunk Line Extensions South of Monkey Junction
Commissioner Sisson advised the Board that he was told by one
developer that the land south of Monkey Junction could be developed
with dry sewer and septic tank systems because the soil was sandy
and had excellent drainage. He commented on remarks made at the
recent Work Session regarding an application for a high density
project in this area, which requires the availability of sewer, and
expressed concern for the Commissioners not having enough control
over high density projects.
Commissioner Sisson advised that when he reviewed the items
heard by the Technical Review Committee on September 27, 1995,
three items were for high density development projects, one at 4.8
units per acre, one at 3.6 units per acre, and one at 3.7 units per
acre. All of the high density projects were in the residential
district, which in effect allows for a zoning change without
approval by the Board of County Commissioners. He commented on the
cooperative offer by the developers to participate in funding the
extension of trunk lines south of Monkey Junction but expressed
concern for uncontrolled growth in this part of the County without
more control over high density projects. He recommended placing an
item on a future agenda to amend the zoning Ordinance to provide
some form of control over these projects.
Adoption of Resolution Declaring the Result of the Special
Referendum Held on October 10, 1995, Regarding Consolidation of the
City of Wilmington and New Hanover County
Chairman Greer requested a motion to adopt the resolution
showing that out of 86,447 registered voters, 11,390 voted in favor
of consolidation and 15,935 voted in opposition to consolidation.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 72
Motion: Commissioner Sisson MOVED, SECONDED by Commissioner Barone
to adopt the resolution as presented. The floor was opened to
discussion.
Commissioner Sisson inquired as to what would happen if the
Board did not adopt the resolution?
County Attorney Copley reported under House Bill 1060, the
Board had no choice but to adopt the resolution.
Upon vote, the MOTION CARRIED UNANIMOUSLY.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 4.
Status Report on Policy Change in the Minor Permitting Process
Director of Inspections, Jay Graham, reported on the recent
change in the review policy for issuance of minor permits less than
$30,000, for small additions to homes. When reviewing the current
policy, it was found that key members of the management staff were
spending five to six hours per day assisting people walking into
the office and requesting a plan review for issuance of minor
permits. with a limited Inspection Staff, it was decided to
implement a policy that would require the permit to be filed in the
office by 10: 00 A.M. one morning with the review and approval
process being completed by 10:00 A.M. the next morning. This
change allows for more delegation of permit reviews by the members
of staff and provides more time for field inspections. Currently,
the policy change appears to be working satisfactorily for the
public as well as providing better time management for the members
of staff.
Chairman Greer commented on receiving one complaint under the
policy change and inquired as to whether complaints had been
received in the Inspections Department?
Inspections Director Graham responded that no complaints had
been received.
Commissioner Sisson reported he had received complaints from
persons with large proj ects who were having to wait for field
inspections because of the time involved with minor permits. He
stated, in his opinion, the policy change should better accommodate
the public and be more time efficient.
Commissioner Barone expressed concern for not being notified
in advance about the policy change and requested the Inspections
Director to advise the Board of any future changes in order to
properly respond to public inquiries.
Inspections Director Graham apologized for not notifying the
Board and reported he would be sure proper notification was given
in advance with any future changes.
Assistant County Manager, Dave Weaver, reported the
Inspections Director came to him about the change and apologized
for not notifying the Board.
MEETING CONVENED FROM REGULAR SESSION TO HOLD A CLOSED SESSION
County Attorney Copley requested a Closed Session pursuant to
N.C.G.S.143-318.11(4) relative to discussion of matters relating to
the location or expansion of industries or businesses in the areas
served by the public body.
Motion: Vice-Chairman Mathews MOVED, SECONDED by Commissioner
Caster to convene to Closed Session for the purpose of discussing
matters relating to the location or expansion of businesses in the
area. Upon vote, the MOTION CARRIED UNANIMOUSLY.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS
REGULAR MEETING, OCTOBER 16, 1995
BOOK 25
PAGE 73
Chairman Greer convened from Regular Session to Closed Session
at 1:14 P.M.
Chairman Greer reconvened to Regular Session from Closed
Session at 1:59 P.M. and reported no action was taken in the Closed
Session.
ADJOURNMENT
Chairman Greer adjourned the meeting at 2:00 P.M.
Respectfully submitted,
Lucie F. Harrell
Clerk to the Board