HomeMy WebLinkAboutMay 20 2014 Regular Minutes New CountyABC Board
Meeting Minutes
May 20, 2014
I. Call to order;
Chairman Cedric Dickerson called to order the regular meeting of the New Hanover
County Alcoholic Beverage Control Board at 8:30am on May 20,2014 at the New
Hanover County Government Center Finance Suite#500, 230 Government Center Drive,
Wilmington, NC.
IL Roil call
Carol Martin, Board Secretary, conducted a roll call. The following Members of the
Board were present:
Cedric Dickerson, Chairman
Augustus C. Everett, Jr., Member
David Matthews, Member
t
. her�...- in attendance ter :
Dan Sykes, Chief Executive Officer
Gary Cain, Acting Assistant Chief Executive Officer
Carol Martin, Board Secretary
Wanda Copley, Legal Counsel
Avril Finder, Ex-Officio Member
Colonel Arch Jones, NHC Sheriffs Department
Ashley Withers, Star News Reporter
Jonathan Spiers, Port City Daily News Reporter
Ray Brown,Manager, ABC Store 102
,Absent with notice:
Robert W. Martenis, Vice Chairman
Thomas Wolfe, Member
Charles Roney, LSD Associates, LTD Principal
III. a r fllct of Interest Bonin-
Mr. Dickerson verbally confirmed that the Board members had read the following
ethics reminder:
"In accordance with General Statute 18B-201, it is the duty of every Board
member to avoid both conflicts of interest and appearances of f conflicts.
Does any member have any known conflict of interest or appearance of
conflict with respect to any matters coning ,efore the Board today? If so,
please identify the conflict or appearance of conflict and refrain,,Born any
undue participation in theparticular matter involved. "
Let it be recorded that no conflicts were identified by any Board member regarding this
Board meeting.
W. Approval minutes from last meeting
Mr. Dickerson presented the minutes from the last Regular Meeting of April 15,2014.
Mr. Everett made the motion to approve the minutes as written, Mr. Matthews
1. 1Page
the summer as well.
Mr, Dickerson and Mr. Sykes briefly discussed their April 30, 2014 "round table"with
James C. "Jim" Gardner—Chairman of the North Carolina Alcoholic Beverage
Control Commission, and six other ABC Board Chairs and their ABC General
Managers.
Mr. Dickerson discussed Gov. Pat McCrory signing an executive order at East
Carolina University on May 13, 2014 that creates a multi-agency task force
aimed at reducing substance abuse and underage drinking. The Governor's
Substance Abuse and Underage Drinking Prevention and Treatment Task Force
will build on statewide prevention, treatment and enforcement initiatives
implemented by the Alcohol Beverage Control (ABC) Commission, Alcohol
Law Enforcement (ALB) Division, the Department of Health and Human
Services (DHHS) and the University of North Carolina (UNC) System. Mr.
Dickerson surmised that such a concentrated effort at educating the young
university students of potential dangers of alcohol could result like tobacco
education has over the last twenty years.
b) Mr. Sykes presented the Board with Financial Statements for April, 2014. Mr. Sykes
reported that for the month, the Actual-to-Budget comparison showed Gross Sales
were better than projected by $201k(7.07%); and Income from Operations was better
than budget by $85k ( For the year, Income from Operations exceeded
budget by $622k (16.53%), and Change in Net Position before Distributions
exceeded budget by $747k ( The "Restricted Net Position. a ysixs"details
the New ABC Comps_contractually committed dollars set aside in the approved
$4.5m Restricted Net Position, the amounts paid to date, and the balance due on each
contract as of the Net Position date. The rounded balance of Restricted Net Position at
April 30, 2014 was $2m.
c) Mr. Sykes presented the Board with his Financial Projections thru Year-End(as ,f
5/15/2014) for discussion purposes. Actual financial figures are shown for the fiscal
year's first ten months, and budgeted financial figures are shown for the last two
months. Based on the current year end projections it appears that Gross Sales will
exceed the budget by about $634k, and that Operating Income should be better than
budget by over$606k.
d) The Board was apprised of two (2)updates:
1) Mr. Cain presented a brief summary of the New ABC Complex progress for the
past 30 days(as of 05/12/14):
• Bordeaux Construction reports that the project i
b) Mr. Sykes presented the Board with the second FY2013-14 Administrative Budget
Amendment. Five budgeted general ledger line items necessitated clean-up adjustments.
Mr. Matthews made the motion to approve the budget amendment request for FY2 1 -14
to shift funds to and from the budget's built-in Miscellaneous Contingency balance. Mr.
Everett seconded the motion, and all approved. These adjustments will be recorded in the
General Ledger in May, 2014, and will affect May and June budget to actual financial
statements.
c) Mr. Sykes presented the Board with his annual general review of the Board's NC GS
18B-805 "Distribution Laws Relating to Net Profits before Distributions" for Board
knowledge. Mr. Sykes recommended that no additional funds be restricted at this time for
Capital Improvements, or otherwise. Mr. Matthews made the motion to not restrict
additional funds at this time. Mr. Everett seconded the motion, and all approved.
d) Mr. Sykes presented the Board with Mr. Cain's May 8, 2014 request for approval
for two major"Owner Responsibility" expenditures for the ABC Complex. The two
items were:
• Low Voltage Data Cabling by Peerless Communication quoted as
$10,187.00, and
• Security and Surveillance Systems by Hooks Burglar& Fire Alarm
Company, Inc., quoted as $39,000.00.
These two items needed to be installed earlier than expected to keep the construction
project on time. Via e-mail notification, Mr. Matthews, Mr. Martenis and Mr. Dickerson
authorized the Chair to approve the items prior to the regular Board meeting, and no
dissenting a-mails were received. Mr. Matthews made the motion to ratify the Chair's
actions to proceed with bid acceptance, and to execute the contracts for Low Voltage
Data Cabling up to $11,000 and Security and Surveillance Equipment up to $40,000.
Mr. Everett seconded the motion and all approved.
e) Mr. Sykes apprised the Board that having properly advertised and held the
public meeting,the FY2014-15 Budget should be finalized ed by June 30, 2014 at the latest.
Mr. Matthews made the motion to adopt the FY2014-15 Budget Document as presented.
Mr. Everett seconded the motion, and all approved. Ms. Martin will distribute the
adopted FY2014-15 Budget Document to both the NC ABC Commission and the New
Hanover County Board of County Commissioners.
f The Board discussed the immediate need for a member to step in as Acting Vice
Chairman as Mr. Martenis convalesces. Mr. Everett agreed to fill in as Acting Vice
Chairman for the interim period. Mr. Matthews made the motion to accept the Acting
Vice Chairman Everett. Mr. Everett seconded, and all approved. Mr. Dickerson asked
Mr. Sykes to draft a letter to the appointing authority asking them to allow Mr. Matthews
to serve as a Board Member until the end of September,201 as his service term
would have expired on June 30th. This request was necessitated because Mr. Matthews
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