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HomeMy WebLinkAbout2011-04-04 Regular Meeting NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32 REGULAR MEETING,APRIL 4,2011 PAGE 157 ASSEMBLY The New Hanover County Board of Commissioners met in Regular Session on Monday, April 4, 2011, at 6:00 p.m. in the Assembly Room of the New Hanover County Courthouse, 24 North Third Street, Wilmington,NC. Members present were: Chairman Jonathan Barfield, Jr.; Vice-Chairman Jason R. Thompson; Commissioner Ted Davis, Jr.; Commissioner Richard G. Catlin; County Attorney Wanda M. Copley; Clerk to the Board Sheila L. Schuh and County Manager Bruce T. Shell. Commissioner Brian M.Berger arrived at 6:04 p.m. Chairman Barfield called the meeting to order and welcomed everyone present. INVOCATION AND PLEDGE OF ALLEGIANCE Pastor Joseph Garnett,Freedom's Way Ministries,Inc,provided the invocation. Vice-Chairman Thompson led the audience in the Pledge of Allegiance to the Flag. APPROVAL OF CONSENT AGENDA Chairman Barfield asked if any member of the Board would like to remove or discuss any item on the Consent Agenda. Hearing no comments, Chairman Barfield called for a motion to approve the items on the Consent Agenda. Motion: Commissioner Catlin MOVED, SECONDED by Vice-Chairman Thompson, to approve the Consent Agenda as presented. Upon vote, the MOTION CARRIED 4 TO 0. Commissioner Berger arrived after the vote was taken. CONSENT AGENDA Approval of Minutes—Governing Body The Commissioners approved the minutes as presented by the Clerk to the Board. Special Meeting held on March 5,2011 Closed Session Meeting held on March 5,2011 Work Session Meeting held on March 10,2011 Agenda Review Meeting held on March 10, 2011 Regular Meeting held on March 14,2011 Appointment of Patricia O. Kusek as the Joint Member with the City of Wilmington to Serve on the Cape Fear Public Utility Authority—Governing Body The Commissioners approved the nomination of Patricia O. Kusek as the joint member with the City of Wilmington to serve on the Cape Fear Public Utility Authority with the term to expire on June 30,2014. Authorization for the Senior Resource Center to Submit a Grant Application to the North Carolina Department of Transportation—Parks,Gardens and Senior Resource Center The Commissioners authorized the Senior Resource Center to submit a grant application to the North Carolina Department of Transportation (Section 5310) in the amount of$125,000. If awarded, the funds will be used to provide transportation services for 160 elderly and disabled persons who are currently on the waiting list. The Federal portion of the grant is $100,000, the State provides a 10% match of $12,500, and the County is responsible for the remaining 10%match of$12,500. The County match will come from the Transportation Escrow Account in the Senior Resource Center budget. Acceptance of 2010 Grant Award from the Port Security Grant Program and Adoption of Budget Ordinance Amendment 11-204—Sheriffs Office The Commissioners, on behalf of the Sheriffs Office, accepted grant funds from the Port Security Grant Program in the amount of$585,351 and adopted Budget Ordinance Amendment 11-204. The funds will be used to purchase two boats and related equipment. No local match is required. A copy of the budget ordinance amendment is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXXIV,Page 5.1. Acceptance of 2010 Grant Award from the Port Security Grant Program and Adoption of Budget Ordinance Amendment 11-203—Sheriffs Office The Commissioners, on behalf of the Sheriffs Office, accepted grant funds from the Port Security Grant Program in the amount of$70,000 and adopted Budget Ordinance Amendment 11-203. The funds will be used to purchase Search and Rescue Team medical and surveillance equipment. No local match is required. A copy of the budget ordinance amendment is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXXIV,Page 5.2. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32 REGULAR MEETING,APRIL 4,2011 PAGE 158 Acceptance of New Hanover County and New Hanover County Fire District Tax Collection Reports — Tax Department The Commissioners accepted the following Tax Collection Reports as of February 28, 2011: New Hanover County Fire District New Hanover County Copies of the Tax Collection Reports are hereby incorporated as a part of the minutes and are contained in Exhibit Book XXXIV,Page 5.3. Adoption of Budget Ordinance Amendments—Budget Department The Commissioners adopted the following Budget Ordinance Amendments for fiscal year ending June 30, 2011: 11-193 - Social Services 11-209-Emergency Management 2011-41 - Sheriff's Office 2011-42- Sheriff's Office Copies of the budget ordinance amendments are hereby incorporated as part of the minutes and are contained in Exhibit Book XXXIV,Page 5.4. REGULAR ITEMS OF BUSINESS RECOGNITION OF INAUGURAL CITIZENS ACADEMY CLASS The Board recognized the following persons that completed the inaugural Citizens Academy class and presented them with certificate of completion: Latoya Dean Patricia Matson Lenwood"Bo"Dean Joseph Palank Beverly Delahunty Margie Parker Charles Deslaurier Earla Pope Anna Erwin James Pope Gerald Farrell Emma Saunders John Frye David Spetrino Fred Gainey Lois Taylor Natasha Jones Barbara Walker Jackson Jordan Myrna Wexler Michelle Li Owen Wexler ADOPTION OF PROCLAMATION RECOGNIZING APRIL 2011 AS NATIONAL COUNTY GOVERNMENT MONTH IN NEW HANOVER COUNTY Veteran Services Director Ellis Pinder presented the request for the Board's consideration to proclaim April 2011 as National County Government Month in New Hanover County and was present to receive the proclamation. The theme of the observance is"Serving Our Veterans, Armed Forces, and Their Families." New Hanover County government provides many services for veterans and their families including a Veterans Service Office, Veterans tax exemption,and health services. Commissioner Catlin read the proclamation into the record. Motion: Commissioner Berger MOVED, SECONDED by Vice-Chairman Thompson, to adopt the proclamation recognizing April 2011 as National County Government Month in New Hanover County. Upon vote, the MOTION CARRIED UNANIMOUSLY. A copy of the proclamation is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXXIV,Page 5.5. ADOPTION OF PROCLAMATION RECOGNIZING APRIL 2011 AS SEXUAL ASSAULT AWARENESS MONTH IN NEW HANOVER COUNTY Coastal Horizons, Inc. submitted the request for the Board's consideration to proclaim April 2011 as Sexual Assault Awareness Month in New Hanover County. Coastal Horizons staff was present to receive the proclamation. Chairman Barfield read the proclamation into the record and moved for adoption. Motion: Chairman Barfield MOVED, SECONDED by Vice-Chairman Thompson, to adopt the proclamation recognizing April 2011 as Sexual Assault Awareness Month in New Hanover County. Upon vote, the MOTION CARRIED UNANIMOUSLY. A copy of the proclamation is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXXIV,Page 5.6. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32 REGULAR MEETING,APRIL 4,2011 PAGE 159 ADOPTION OF PROCLAMATION RECOGNIZING APRIL 2011 AS CHILD ABUSE PREVENTION MONTH IN NEW HANOVER COUNTY Department of Social Services Director LaVaughn Nesmith and Assistant Director Wanda Marino submitted the request for the Board's consideration to proclaim April 2011 as Child Ahuse Prevention Month in New Hanover County and were present to receive the proclamation. Commissioner Davis read the proclamation into the record and moved for adoption. Motion: Commissioner Davis MOVED, SECONDED by Vice-Chairman Thompson, to adopt the proclamation recognizing April 2011 as Child Ahuse Prevention Month in New Hanover County. Upon vote, the MOTION CARRIED UNANIMOUSLY. A copy of the proclamation is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXXIV,Page 5.7. ADOPTION OF PROCLAMATION RECOGNIZING APRIL 10-16, 2011 AS NATIONAL TELECOMMUNICATORS WEEK IN NEW HANOVER COUNTY AND PRESENTATION OF MARY ANTLEY TELECOMMUNICATOR OF THE YEAR AWARD Emergency Management and 911 Communications Director Warren Lee presented the request for the Board's consideration to proclaim April 10-16, 2011 as National Telecommunicators Week in New Hanover County and was present to receive the proclamation. Commissioner Catlin read the proclamation into the record and moved for adoption. Motion: Commissioner Catlin MOVED, SECONDED by Vice-Chairman Thompson, to adopt the proclamation recognizing April 10-16, 2011as National Telecommunicators Week in New Hanover County. Upon vote, the MOTION CARRIED UNANIMOUSLY. Chairman Barfield and the Board presented the 2011 Mary Antley Telecommunicator of the Year Award to Janica Banker with C Squad. Ms.Banker was present to receive her award. A copy of the proclamation is hereby incorporated as part of the minutes and is contained in Exhibit Book XXXIV,Page 5.8. ADOPTION OF PROCLAMATIONS RECOGNIZING APRIL 16-30, 2011 AS SPRING LITTER SWEEP TIME IN NEW HANOVER COUNTY AND APRIL 2011 AS GREAT AMERICAN CLEANUP MONTH IN NEW HANOVER COUNTY Keep America Beautiful of New Hanover County Coordinator Jennifer O'Keefe presented the request for the Board's consideration to proclaim April 16-30, 2011 as Spring Litter Sweep in New Hanover County and April 2011 as Great American Cleanup Month in New Hanover County and was present to receive the proclamations. Commissioner Berger read the Spring Litter Sweep proclamation into the record and moved for adoption. Motion: Commissioner Berger MOVED, SECONDED by Vice-Chairman Thompson, to adopt the proclamation recognizing April 16-30, 2011 as Spring Litter Sweep Time in New Hanover County. Upon vote, the MOTION CARRIED UNANIMOUSLY. Commissioner Berger read the Great American Cleanup Month proclamation into the record and moved for adoption. Motion: Commissioner Berger MOVED, SECONDED by Vice-Chairman Thompson, to adopt the proclamation recognizing April 2011 as Great American Cleanup Month in New Hanover County. Upon vote, the MOTION CARRIED UNANIMOUSLY. Copies of the proclamations are hereby incorporated as part of the minutes and are contained in Exhibit Book XXXIV,Page 5.9. PUBLIC HEARING AND ACCEPTANCE OF 2010 NORTH CAROLINA SMALL CITIES COMMUNITY DEVELOPMENT BLOCK AWARD AND ADOPTION OF CAPITAL PROJECT ORDINANCE AND BUDGET ORDINANCE AMENDMENT 2011-45 Chairman Barfield reported that the Board is being requested to consider the acceptance of the 2010 North Carolina Small Cities Community Development Block Grant Program—Economic Recovery Grant Award and hold the required Public Hearing. Chairman Barfield requested a motion to open the Public Hearing to receive comments on the award of an Economic Recovery Grant from the North Carolina Department of Commerce, Community Investment and Assistance Office in the amount of$500,000. Motion: Vice-Chairman Thompson MOVED, SECONDED by Commissioner Catlin,to open the Public Hearing to receive comments on the award of an Economic Recovery Grant from the North Carolina Department of Commerce, Community Investment and Assistance Office in the amount of$500,000. Upon vote, the MOTION CARRIED UNANIMOUSLY. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32 REGULAR MEETING,APRIL 4,2011 PAGE 160 Community Development Planner Wanda Coston reported that New Hanover County has been awarded an Economic Recovery grant from the North Carolina Department of Commerce, Community Investment and Assistance Office in the amount of$500,000. The proposed project will involve the demolition and clearance of three houses, the reconstruction of three houses and the rehabilitation of two houses, all of which are occupied by five very low income homeowners. This is the second grant that the County has received in the past year, with the previous grant in the amount of$400,000. Hearing no public comments, Chairman Barfield requested a motion to close the Public Hearing. Motion: Commissioner Thompson MOVED, SECONDED by Commissioner Catlin,to close the Public Hearing to receive comments on the award of an Economic Recovery grant from the North Carolina Department of Commerce, Community Investment and Assistance Office in the amount of$500,000. Upon vote, the MOTION CARRIED UNANIMOUSLY. Chairman Barfield requested direction from the Board. Motion: Commissioner Catlin MOVED, SECONDED by Vice-Chairman Thompson, to accept the 2010 North Carolina Small Cities Community Development Block Award, adopt the Capital Project Ordinance and Budget Ordinance Amendment 2011-45, and authorize the Chairman and staff to execute the appropriate documentation as presented. Upon vote,the MOTION CARRIED UNANIMOUSLY A copy of the capital project ordinance and the budget ordinance amendment is hereby incorporated as part of the minutes and is contained in Exhibit Book XXXIV,Page 5.10. BREAK Chairman Barfield called for a break from 6:50 p.m.until 7:05 p.m. APPROVAL TO IMMEDIATELY LAY-UP WASTEC AND REVIEW FUTURE OPTIONS ON MAY 16, 2011 County Manager Bruce Shell reported that the Board of Commissioners requested an independent assessment of work needed to refurbish WASTEC. The County contracted with HDR Engineering. HDR Engineering Vice-President Donald J. Castro presented the following information: • Scope and Purpose of Report: • Perform a facility walk-through • Review performance data • Identify equipment/facility repair or replacement to achieve 90%availability • Develop an opinion of probable cost for five year period • Provide recommendation for implementation approach • Performance Summary: • Industry Norm—85-92%plant availability(annually) • Calendar Year 2010 WASTEC: • Unit 1—33.7% • Unit 2—69.9% • Unit 3 —49.0% • 2010 Unscheduled Shutdowns: • Boiler tube failures—31 events • CO excursions—28 events • Grate problems—18 events • Residue generation rate: • 40%by weight of processed weight;industry norm is 25-30% • Power generation rate: • Approximately 200 Kilowatt hour per ton which is 50%of industry norm • Condition Assessment: • General facility repairs—roof, siding,tipping floor rehab, general site • Boilers — NDT testing; refractory & tube, grates, superheaters, economizers, sootblowers repair/replacement;combustion optimization • Cranes—inspection&repairs • Ash Handling Systems—conditioner system upgrades,bunker repairs,dump valve replacement • Emissions Control Systems—SDA inspections&repairs,fabric filter repairs/replacement • Stack—inspection,repairs,coatings • Balance of Plant Systems—T/G inspections&cleaning,water treatment assessment, electrical power systems review and replacement,transformer and distribution evaluation and upgrade • Opinion of Cost of Repairs/Replacements: • Major refurbishments over five-year period(Table 1): • Year 1—$8,495,000 • Year 2—$2,080,000 • Year 3—$2,230,000 • Year 4—$1,150,000 NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32 REGULAR MEETING,APRIL 4,2011 PAGE 161 • Year 5—$3,120,000 • Total in the amount of$17,075,000+$2 million in one-time event soft costs • All major refurbishments in Year 1 (Table 2): • Year 1—$11,820,000 • Year 2— $855,000 • Year 3— $1,440,000 • Year 4— $1,210,000 • Year 5— $2,790,000 • Total in the amount of$18,115,000+$2 million in one-time event soft costs • Implementation Plan: • Sequenced Shutdown-approximately 24 months to complete upgrade(Table 1) • Full Plant Shutdown-approximately 18 months to complete upgrade(Table 2) In response to Board questions, County Manager Bruce Shell reported that the County has subsidized the Emergency Management Enterprise Fund in the amount of$4.2 million, and as reported, the facility is not running to full capacity. The cost to run WASTEC is approximately$500,000 per month. Mr. Shell presented the following recommendation: • Lay-up WASTEC immediately: • Substantial debt owed to general fund • $4.2 million as of 6/30/10 • FY 11 operating loss will add to debt • Under any retrofit scenario,minimum of four months shutdown to perform work • $3.9 million per year average"net revenue" ($55.65 per ton tip fee) • Minimal short term impact to Landfill capacity • WASTEC currently operating at approximately 40% • 70,600 tons per year additional to Landfill • 38 employees laid off; recommending 6 weeks of severance pay in the amount of$172,000;potentially 26 weeks of unemployment in the amount of$500,000 • Lay-up timeline: • April 5,2011 - initiate boilers shut down • April 6,2011 -stop accepting waste at WASTEC • April 7,2011 -Begin truck and haul of waste from WASTEC tip floor • May 5, 2011—lay-up complete • Exercise 18 month retrofit option: • Significant long term value in dual assets • Suspend operations;rehab all three boilers at once • Inefficient to operate/sequentially rehab boilers • Bulk of time spent for project planning and procurement and boiler 3 overhaul(ten months) • Will provide greater certainty about costs • Impact of rehab: • $13.9 million debt-$1.3 million per year debt service(COPS) • $1.5 million on-going capital investment per year at WASTEC (above routine maintenance and repair costs) • Facility at 85%availability(150,000 tons throughput) • Electric sales of$1.4 million per year($46/megawatts hours)vs. $510,000 currently • Next steps: • Develop comprehensive execution plan to address the following: • Source funding(public and/or private) • Renovation oversight(NHC or outsourced) • Operation(NHC or outsourced) • Procurement process/timing • May 12ffi work session to review prior to May 16, 2011 Commissioner Catlin stated that the revenue from power generation is important and it is in the best interest of the County to get legislation classifying waste-to-energy as renewable energy. He endorsed the Solid Waste Advisory Board's recommendations and encouraged the Board to review the recommendations. The Board held a discussion concerning the need to fund the expense of opening up Cell 6E at the Landfill in the next fiscal year budget. In response to Board questions, Environmental Management Director John Hubbard reported that the permits will remain valid indefinitely as long as the fees are paid and the permits are kept updated. Based on a five year estimate,the County will lose approximately 50%of Landfill volume or one-half year for every year WASTEC is laid-up. Chairman Barfield voiced his concern that previous Board's did not support increasing the tip fee to ensure that WASTEC operated as a true enterprise fund. The Board has a responsibility to maintain the County's NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 32 REGULAR MEETING,APRIL 4,2011 PAGE 162 infrastructure. He stated that he is in favor of keeping WASTEC open during the repair process as there is only a six months difference in the two scenarios presented. In response to Board questions, Mr. Shell reported that the tip fee required to support WASTEC would be in the range of$70. General Statutes does not allow the County to make money on solid waste; so once the General Fund has been paid back,the County would need to lower the tip fee to sustain the expenses. Commissioner Catlin stated that he sees that there are two decisions before the Board: one is the immediate decision of whether or not to continue operating WASTEC at a loss and the other is to determine the future of WASTEC which will need to be at a future meeting once business plan options are available for the Board's consideration. Hearing no further discussion, Chairman Barfield requested direction from the Board. Motion: Commissioner Catlin MOVED, SECONDED by Commissioner Berger, to lay-up WASTEC immediately as recommended by the County Manager and to direct staff to bring business plan options for WASTEC for the Board's consideration at their May 16, 2011 meeting. Upon vote, the MOTION CARRIED 4 TO 1. Chairman Barfield voted in opposition. A copy of the report New Hanover County WTE Assessment Report by HDR Engineering is available for review in the County Manager's office. PUBLIC COMMENTS ON NON-AGENDA ITEMS Chairman Barfield announced that time had been reserved to allow the public to present an item that was not listed on the regular agenda. The following citizens offered comments: Claud "Buck" O'Shields, 102 Partridge Road, voiced his concern that there is a need for better communication on the county parks programs. He requested the Board meet with the stakeholders of the park facilities to include the operators of the programs,Parks Advisory Board, staff, and school system on future fees and use. Vice-Chairman Thompson reported that he serves as the Board's representative on the Parks Advisory Board and that numerous workshops and stakeholder meetings have been held during the past two years to solicit input from the public. Chuck Dorman, 113 Redwood Court, requested the Board consider supporting the privatization of the Alcohol Beverage Control. The current process is in place solely for the State's tax base and is not benefitting the business owners and/or citizens. FOREIGN TRADE ZONE PROJECT UPDATE Commissioner Catlin presented an update for the Board's information on the formation of a Foreign Trade Zone. The Federal program, which is delegated to the State Department of Commerce, establishes a zone that allows manufacturing and import/export businesses to delay paying duty tax on their products until they leave the designated zone. The Port currently has Foreign Trade Zone designation and the Airport Industrial Park, which consists of 140 acres and has water and sewer available,is being considered to be incorporated into that zone. There will be little cost to extend the zone,mostly paperwork. Staff is currently exploring the best way to move forward. ADJOURNMENT There being no further business, Chairman Barfield adjourned the meeting at 8:38 p.m. Respectfully submitted, Sheila L. Schult Clerk to the Board Please note that the above minutes are not a verbatim record of the New Hanover County Board of Commissioners meeting. The entire proceedings are available for review and check-out at all New Hanover County Libraries and on www.nhcgov.com/NHCLive or www.nhcgov.com/pgges.BOC/ashy