HomeMy WebLinkAbout2014-03-24 Regular Meeting
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 33
REGULAR MEETING, MARCH 24, 2014 PAGE 43
ASSEMBLY
The New Hanover County Board of Commissioners met in Regular Session on Monday, March 24, 2014,
at 9:00 a.m. in the Assembly Room of the New Hanover County Courthouse, 24 North Third Street, Wilmington,
NC.
Members present:Chairman Woody White; Vice-Chair Beth Dawson; Commissioner Jonathan Barfield,
Jr.; and Commissioner Thomas Wolfe. Commissioner Brian M. Berger was absent.
Staff present: County Attorney Wanda M. Copley; County Manager Chris Coudriet; and Clerk to the
Board Sheila L. Schult.
NON-SECTARIAN INVOCATION AND PLEDGE OF ALLEGIANCE
Reverend Father Jon Emanuelson, Saint Nicholas Greek Orthodox Church, provided the invocation and
Vice-Chair Dawson led the audience in the Pledge of Allegiance to the Flag.
APPROVAL OF CONSENT AGENDA
Chairman White asked if any member of the Board would like to remove or discuss any item on the
Consent Agenda.
Hearing no comments, Chairman White requested a motion to approve the Consent Agenda.
Motion:
Commissioner Wolfe MOVED, SECONDED by Commissioner Barfield, to approve the Consent Agenda
as presented. Upon vote, the MOTION CARRIED 4 TO 0.
CONSENT AGENDA
Approval of Minutes – Governing Body
The Commissioners approved the minutes from the following meetings as presented by the Clerk to the
Board:
Agenda Review Meeting held on March 6, 2014
Regular Meeting held on March 10, 2014
Ratification of Proclamation to Recognize March 2014 as Poverty Awareness Month in New Hanover County
– Governing Body
The Commissioners ratified the proclamation recognizing March 2014 as Poverty Awareness Month in
New Hanover County. On behalf of the Board, Commissioner Barfield presented the proclamation at a conference
on March 19, 2014.
A copy of the proclamation is hereby incorporated as part of the minutes and is contained in Exhibit Book
XXXVIII, Page 6.1.
Adoption of Resolution Authorizing the Submission of a Grant Application to Become a Partner in the
"Watch for Me NC" Campaign – Planning Department
The Commissioners adopted the resolution authorizing the Planning Department to submit a grant
application to the North Carolina Department of Transportation's “Watch for Me NC” campaign. If awarded, the
County will partner with the New Hanover County Sheriff's Office to serve as the lead applicant for the City of
Wilmington, UNCW, Wrightsville Beach and any other incorporated jurisdictions in the County who agree to
participate, to obtain assistance from the “Watch for Me NC” Campaign. Law enforcement officers would receive
training on relevant bicycle and pedestrian laws and receive educational campaign materials which are provided at
no cost to the campaign partners.
A copy of the resolution is hereby incorporated as part of the minutes and is contained in Exhibit Book
XXXVIII, Page 6.2.
Adoption of Budget Ordinance Amendments – Budget Department
The Commissioners adopted the following Budget Ordinance Amendments for fiscal year ending June 30,
2014:
14-058 - Fire Services
14-060 - Vehicle Management
14-061 - DSS
14-062 - DSS
14-064 - Sheriff
14-065 - Sheriff
14-066 - Environmental Management
14-067 - Environmental Management
Copies of the budget ordinance amendments are hereby incorporated as part of the minutes and are
contained in Exhibit Book XXXVIII, Page 6.3.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 33
REGULAR MEETING, MARCH 24, 2014 PAGE 44
REGULAR ITEMS OF BUSINESS
ADOPTION OF RESOLUTION FOR NEGOTIATION OF AN INSTALLMENT FINANCING
CONTRACT NOT TO EXCEED $20,000,000 AND DIRECTING THE PUBLICATION OF THE
RESPECTIVE NOTICE
Finance Director Lisa Wurtzbacher provided the following information:
• Capital Projects:
• Renovations of the administrative building at 320 Chestnut Street
• Total estimated project cost of $10 million
• Bid opening March 27, 2014
• Improvements to Cobb Annex judicial building
• Total estimated project cost of $4 million
• Bidders have been pre-qualified and bids to be opened April 29th
• Airport rental car service center
• Total estimated project cost of $4.5 million
• Construction started and estimated completion is April 2014
• Limited obligation bonds
• Debt Instrument:
• Limited Obligation Bonds:
• Tax-exempt: 320 Chestnut Street Renovations & Cobb Annex Improvements
• Taxable: Airport rental service center
• Term:
• Tax-exempt: 20 years
• Taxable: 15 years
• Interest cost at 3.4%
• Airport Authority repays County for this portion of the debt
• Estimated Debt Service Payment:
• 320 Chestnut Street renovations – average payment $682,895
• Cobb Annex renovations – average payment $273,293
• Airport Rental Car Service Center – average payment $384,956
• Total Estimated Average Debt Service Payment – $1,341,144
• Impact on Debt Management Limits:
• Average increase in debt service – estimated amount $1,341,144; no impact in Fiscal Year
2014; debt service does not begin until Fiscal Year 2015
• Impact on debt per capita – estimated amount 94; 2014 - 1,906
• Impact on debt to assessed value – estimated amount - .07%; 2014 projected 1.39%
• Impact on debt service to operational expenditures – estimated amount - .34%; no impact in
Fiscal Year 2014; debt service does not begin until Fiscal Year 2015
Staff requests that the Board adopt the resolution directing staff to proceed and negotiate a Contract for a
principal amount not to exceed $20,000,000, for the financing of the projects; file with the Local Government
Commission an application for its approval of the Contract and all relevant transactions contemplated; retain the
assistance of Parker Poe Adams & Bernstein LLP, Raleigh, North Carolina, as bond counsel; and conduct the public
hearing at the Board’s April 7, 2014 meeting at 6:00 p.m.
After a brief question and answer period, hearing no further comments, Chairman White requested
direction from the Board.
Motion:
Commissioner Barfield MOVED, SECONDED by Commissioner Wolfe, to adopt the resolution FOR
NEGOTIATION OF AN INSTALLMENT FINANCING CONTRACT NOT TO EXCEED $20,000,000 AND
DIRECTING THE PUBLICATION OF THE RESPECTIVE NOTICE as presented. Upon vote, the MOTION
CARRIED 4 TO 0.
A copy of the resolution is hereby incorporated as part of the minutes and is contained in Exhibit Book
XXXVIII, Page 6.4.
PUBLIC HEARING AND ADOPTION OF RESOLUTION APPROVING AN INDUSTRIAL
INVESTMENT GRANT
Chairman White reported that before the Board is a resolution authorizing an economic incentive grant
pursuant to G.S. 158-7.1 on a proposed industrial investment grant to Fortron Industries, LLC, or its parent
company, Ticona, LLC. The source of funding for the grant will be from the General Fund of the County. The
proposed amount of the grant is up to $100,000 per year for a total of five years (not to exceed $500,000).
The purpose of the grant is to assist Fortron Industries, LLC to expand its industrial facility in New
Hanover County, NC, fund capital improvements and retain and potentially expand high quality, well-paying job
opportunities. The grant appropriation would be subject to the sitting Board of Commissioners.
Chairman White opened the Public Hearing to receive comments regarding the execution and delivery of
the documents in the Resolution.
The following comment was received:
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 33
REGULAR MEETING, MARCH 24, 2014 PAGE 45
Wilmington Business Development Chief Executive Officer Scott Satterfield provided an overview of the
request for the County to partner with Fortron Industries, LLC in the form of an incentive grant to expand its
industrial facility to fund capital improvements and retain and potentially expand high quality, well-paying job
opportunities. The incentive grant is in the amount up to $100,000 per year for a total of five years and not to
exceed $500,000 and is subject to the appropriation of the then-sitting Board of Commissioners. The appropriation
is subject to the investment of at least $50 million in capital improvement (building, equipment, and fixtures) at its
facility and retaining the sixty existing jobs and potentially expanding additional high quality, well-paying job
opportunities all in New Hanover County.
Hearing no further comments, Chairman White closed the Public Hearing and requested direction from the
Board.
In response to Board questions, concerning what the consequences would be if Fortron made other business
choices midstream of the contract such as shutting down or downsizing, County Attorney Wanda Copley reported
that such provisions can be placed in the contract and are monitored. County Manager Chris Coudriet reported that
over the course of the ten years, the net increase in terms of ad valorem taxes to the County is in the amount of
$766,000; that is after the Board has paid out ostensibly the $500,000 economic incentive over five years which
amounts to a significant increase to the tax base itself.
Motion:
Commissioner Wolfe MOVED, SECONDED by Commissioner Barfield, to adopt the resolution
approving an industrial investment grant to Fortron Industries, LLC for the expansion of its industrial facility as
presented. Upon vote, the MOTION CARRIED 4 TO 0.
A copy of the resolution is hereby incorporated as part of the minutes and is contained in Exhibit Book
XXXVIII, Page 6.5.
NEW HANOVER COUNTY RISK MANAGEMENT ADVISORY COMMITTEE ANNUAL UPDATE
Risk Manager and New Hanover County Risk Management Advisory Committee Chairman Jennifer
Stancil presented the annual update highlighting the following:
The Risk Management Department is responsible for developing and implementing strategies that will
reduce our risk of loss. The department tries to minimize the risk and most importantly prevent the
loss.
Besides providing services to New Hanover County they also provide services to the City of
Wilmington, Cape Fear Community College, Cape Fear Public Transportation Authority/WAVE
Transit, Cape Fear Public Utility Authority, CoastalCare, New Hanover County Airport Authority,
New Hanover County ABC Board, New Hanover County Board of Education, and New Hanover
County Soil and Water Conservation.
All entities receiving services pay a service fee which funds approximately 65% of Risk
Management’s operating budget. By pooling resources, the department is able to provide economical
risk management for each entity and a unified front to the citizens they serve.
The Risk Management Advisory Committee plays a vital role in that success. Committee members
offer advice and consultation to help us provide a program. There are four members who have
backgrounds in claims management, insurance brokerage, workers compensation, and insurance law.
In an effort to find potential/exiting coverage gaps that need to be addressed and prevent further risk of
loss, the Committee meets quarterly to discuss the insurance programs in place for each entity. Areas
addressed include insurance proposals, claims activity and the operations of the entities.
The Risk Management Department negotiates insurance policy terms and reviews each policy to verify
they contain the needed coverage. One of the benefits of buying the insurance policies, is we gain
access to the loss control of the insurance companies that represent us and each entity. Insurance
companies are invited to inspect properties and if issues are discovered, the department handles
resolving the issue.
First priority is to prevent accidents from occurring but the insurance policies provide a loss stop gap
when an accident occurs. The Risk Management Department follows the claim from beginning to end,
working with the claimants and entities it represents.
In closing, Ms. Stancil stated that the goal of the Risk Management Advisory Committee and the
department is to protect our financial stability but more importantly the direct impact on the citizens of the county.
After a brief question and answer period, Chairman White thanked Ms. Stancil for the update.
ADOPTION OF BUDGET ORDINANCE AMENDMENT 14-059 APPROVING THE CAROLINA BEACH
INLET FOURTH QUARTER DREDGING
Shore Protection Manager Layton Bedsole reported that he was bringing to the Board for consideration the
request for maintenance dredging for the Carolina Beach Inlet. In the Fiscal Year 2014 budget the remaining
Federal funds from Hurricane Sandy and the balance of the remaining state and local funds were used to maintain
Carolina Beach Inlet with the hope of stretching the dollars for the entire year. As of January 2014, the United
States Army Corps of Engineers (USACE) had $150,000 of these combined funds remaining with that amount being
depleted with the scheduled dredging in March leaving no dredging funds available for the last quarter of Fiscal
Year 2014.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 33
REGULAR MEETING, MARCH 24, 2014 PAGE 46
The USACE has provided an estimate for the fourth quarter maintenance dredging in the amount of
$206,900; the costs would be split evenly between the County and the NC Division of Water Resources with each
paying $103,450.
To date the following appropriations have been approved:
Carolina Beach - $13,758.85
Kure Beach - $2,275.90
Wrightsville Beach - $2,275.90
Current total appropriations in the amount of $18,310.65
The Wilmington City Council will be considering the request for an appropriation at their next meeting.
For the Board’s consideration is Budget Ordinance Amendment 14-059 in the amount of $78,312 to cover
the County’s portion of the scheduled dredging of the Carolina Beach Inlet. Depending on the decision by the
Wilmington City Council, staff may return with an additional budget ordinance amendment request for the Board’s
consideration.
In response to Board questions, Mr. Bedsole reported on the percentage of funding that was approved in
2012 and that he was confident that the 50/50 State/Local funding will continue for the next fiscal year. He
continued reporting on the need to keep the inlet open highlighting the ecological and economic benefits and
impacts.
Hearing no further questions or comments, Chairman White requested direction from the Board.
Motion:
Commissioner Wolfe MOVED, SECONDED by Commissioner Barfield, to adopt Budget Ordinance
Amendment 14-059 in the amount of $78,312 as presented. Upon vote, the MOTION CARRIED 4 TO 0.
A copy of the budget ordinance amendment is hereby incorporated as part of the minutes and is contained
in Exhibit Book XXXVIII, Page 6.6.
APPOINTMENTS TO THE COMPREHENSIVE PLAN POLICY RECOMMENDATION COMMITTEE
Chairman White reported that the Board is being requested to make six at-large appointments to the
Comprehensive Plan Policy Recommendation Committee. Thirty applications have been received. It is anticipated
that the committee will meet three times beginning in the fall of 2014.
Commissioner Wolfe nominated Henry A. Adams, Jeff Bellows, Daniel E. Dawson, David Kellam and
Stephanie Duea Smith for appointment.
Commissioner Barfield nominated Kayne Darrell for appointment.
Vice-Chair Dawson nominated Donald E. Harris for appointment.
Commissioner Barfield voiced his concern about the spouse of a Commissioner serving as a member of this
committee when the Board of Commissioners would be making policy decisions based on this Committee’s
recommendations.
In response to a question on whether Vice-Chair Dawson should be recused from voting on whether to
appoint her spouse, County Attorney Copley advised that the State’s general statutes addresses criminal intent and as
long as there is no economic benefit, there would be no wrong doing.
Vote Results:
The Board voted 4 to 0 to appoint Henry A. Adams to an at-large position on the Comprehensive
Plan Policy Recommendation Committee.
Vote Results:
The Board voted 4 to 0 to appoint Jeff Bellows to an at-large position on the Comprehensive Plan
Policy Recommendation Committee.
Vote Results:
The Board voted 3 to 1 to appoint Daniel E. Dawson to an at-large position on the Comprehensive
Plan Policy Recommendation Committee. Chairman White, Vice-Chair Dawson and Commissioner Wolfe voted in
favor of the appointment.
Vote Results:
The Board voted 4 to 0 to appoint David Kellam to an at-large position on the Comprehensive Plan
Policy Recommendation Committee.
Vote Results:
The Board voted 4 to 0 to appoint Stephanie Duea Smith to an at-large position on the
Comprehensive Plan Policy Recommendation Committee.
Vote Results:
The Board voted 1 to 3 to appoint Kayne Darrel to an at-large position on the Comprehensive Plan
Policy Recommendation Committee. Commissioner Barfield voted in favor of the appointment.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 33
REGULAR MEETING, MARCH 24, 2014 PAGE 47
Vote Results:
The Board voted 3 to 1 to appoint Donald E. Harris to an at-large position on the Comprehensive
Plan Policy Recommendation Committee. Chairman White, Vice-Chair Dawson and Commissioner Wolfe voted in
favor of the appointment.
Henry A. Adams, Jeff Bellows, Daniel E. Dawson, Donald E. Harris, David Kellam, and Stephanie Duea
Smith were appointed to at-large positions on the Comprehensive Plan Policy Recommendation Committee.
COMMITTEE APPOINTMENTS
Adult Care Home Community Advisory Committee
Chairman White reported that vacancies exist on the Adult Care Home Community Advisory Committee
with one applicant eligible for reappointment and one new application having been received.
Commissioner Barfield nominated Sandra Oglesby for reappointment and Shirley T. Fowler for
appointment. The nominations were seconded by Vice-Chair Dawson.
Vote Results:
The Board voted 4 to 0 to reappoint Sandra Oglesby to a three-year term on the Adult Care Home
Community Advisory Committee with the term expiring on March 31, 2017 and appoint Shirley T. Fowler to a one-
year term on the Adult Care Home Community Advisory Committee with the term expiring on March 31, 2015.
Nursing Home Community Advisory Committee
Chairman White reported that up to four vacancies exist on the Nursing Home Community Advisory
Committee with one applicant eligible for reappointment and two new applications having been received.
Vice-Chair Dawson nominated Andrea Kelly for reappointment and Elizabeth Desmond and Phyllis Meole
for appointment. The nominations were seconded by Commissioner Wolfe.
Vote Results:
The Board voted 4 to 0 to reappoint Andrea Kelly to a three-year term on the Nursing Home
Community Advisory Committee with the term expiring on March 31, 2017 and appoint Elizabeth Desmond and
Phyllis Meole to one-year terms on the Nursing Home Community Advisory Committee with the terms expiring on
March 31, 2015.
Zoning Board of Adjustment
Chairman White reported that one vacancy of an unexpired term exists for an Alternate Member on the
Zoning Board of Adjustment with four applications having been received.
Commissioner Wolfe nominated Henry A. Adams for appointment. No second was received.
Commissioner Barfield nominated Paul J. Stavovy for appointment. The nomination was seconded by
Vice-Chair Dawson.
Vote Results:
The Board voted 3 to 1 to appoint Henry A. Adams to an unexpired term on the Zoning Board of
Adjustment as an Alternate Member with the term expiring on December 1, 2016. Chairman White, Vice-Chair
Dawson and Commissioner Wolfe voted in favor of the appointment.
PUBLIC COMMENTS ON NON-AGENDA ITEMS
Chairman White reported that no one had signed up to speak on non-agenda items.
ADJOURNMENT
Hearing no further business, Chairman White adjourned the meeting at 9:51 a.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-line at www.nhcgov.com.