1998-08-17 Regular Meeting
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 630
ASSEMBLY
The New Hanover County Board of Commissioners met in Regular Session on Monday,
August 17, 1998, at 9:00 a.m. in the New Hanover County Courthouse Assembly Room, 24 North
Third Street, Wilmington, North Carolina.
Members present were: Commissioner Buzz Birzenieks; Commissioner Ted Davis, Jr.; Vice-
Chairman Robert G. Greer; Chairman William A. Caster; County Manager, Allen O’Neal; County
Attorney, Wanda M. Copley; and Clerk to the Board, Lucie F. Harrell.
Commissioner Howell was absent.
INVOCATION AND PLEDGE OF ALLEGIANCE
Deputy County Manager, Andrew J. Atkinson, gave the invocation.
Commissioner Birzenieks led the audience in the Pledge of Allegiance to the Flag.
NON-AGENDA ITEMS
Chairman Caster announced that time had been reserved to allow the public to present an item
that was not listed on the Regular Agenda or comment on an item that was listed on the Consent
Agenda. He requested all persons speaking to limit their remarks to three minutes.
No items or comments were received.
APPROVAL OF CONSENT AGENDA
Vice-Chairman Greer recommended discussion of Items 10, 11, and 12. He requested removal
of Item 13 for further discussion at the regular meeting of September 8, 1998.
Motion:
Commissioner Birzenieks MOVED, SECONDED by Vice-Chairman Greer to remove
Consent Agenda Items 10, 11, and 12 for further discussion, and to withdraw Item 13 from the
Consent Agenda with review of this item on September 8, 1998. Upon vote, the MOTION
CARRIED UNANIMOUSLY.
Approval of Minutes
The Commissioners approved the following sets of minutes as presented by the Clerk to the
Board:
Regular MeetingJuly 13, 1998
Special MeetingJune 29, 1998
Special MeetingJuly 28, 1998
Work SessionJuly 27, 1998
Release of Value - Tax Department
The Commissioners released the following certification penalty since the taxpayer listed on
time in another county:
Robert Irwin Snyder$100
The Commissioners granted the following Senior Citizen/Disability Exclusion Applications.
Letters explaining the late filing are available in the Tax Department upon request.
David Geneva Age$20,000
Helen M. Bowen$20,000
Doris M. Coty$20,000
The Commissioners approved the following delinquent application for exemption from the
property tax for the following organization. The application and letter explaining the late filing are
available in the Tax Department upon request.
Winter Park Baptist ChurchRO5519-027-004-00
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 631
Acceptance of Tax Collection Reports Through July 31, 1998
The Commissioners accepted the following Tax Collection Reports through July 31, 1998 as
presented by the Collector of Revenue, Patricia J. Raynor:
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 XXIV, Page 28.
Approval of New Deputy Position in the Sheriff’s Department to Assist with ABC Activities
and Approval of Associated Budget Amendment #99-0016
The Commissioners approved an additional Deputy position, and the associated budget
amendment, in the Sheriff’s Department to assist with ABC activities. The additional officer was
needed due to the increase in the number of Liquor-by-the-Drink outlets from 45 to 196 since 1996.
New Hanover County receives approximately $100,000 per year from the ABC Board for law
enforcement activities.
Budget Amendment #99-0016 - Finance & Sheriff/Administration
DebitCredit
Finance
ABC - Distribution of Profits$12,767
Sheriff/Administration
ABC Fees$14,000
Salary and Wages$18,128
FICA 1,387
Retirement - LGERS 897
Retirement -401K 906
Medical Insurance 2,949
Departmental Supplies 2,500
Adoption of Resolution to Dispose of Minolta Copier from the Information Technology
Department as a Trade-in on the Purchase of a Digital Printer/Copier
The Commissioners adopted a resolution to dispose of a Minolta copier from the Information
Technology Department as a $1,200 trade-in on the purchase of a new digital printer/copier by the
Xerox Corporation.
A copy of the resolution is hereby incorporated as a part of the minutes and is contained in
Exhibit Book XXIV, Page 28.
Approval of Contract for Professional Services with the University of North Carolina at
Wilmington (UNCW) for Continuation of the Tidal Creek Water Quality Studies
The Commissioners approved a contract with UNCW for continuation of the water quality
studies in the major estuarine creeks. The study will focus on the following items: (1) develop an
understanding of water quality in the tidal creeks; (2) identify sources of pollution; and (3) provide
recommendations for management strategies. Studies were initiated in 1993 to provide objective,
scientific data that can be used in development of the Land Use Plan Update, watershed management
plans, and mitigation efforts. The study has already provided important data that has been used to
begin pollution mitigation efforts on Futch Creek, Howe Creek, and Hewlett’s Creek.
The County Manager was authorized to execute the necessary contract documents.
Adoption of Resolution for Establishment of a Fund Balance Policy - Finance Department
The Commissioners adopted a resolution to charge the Finance Director with the following
duties: (1) maintain an available fund balance in the General Fund in an amount no less than 8 percent
(or one month) of General Fund budget at the end of each fiscal year; and (2) formally
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 632
establish the goal of maintaining an available fund balance in the General Fund in an amount of 16.67
percent (two months) of the General Fund budget at the end of each fiscal year. The independent
auditor for the County shall monitor the County’s compliance with the established Fund Balance
Policy.
A copy of the resolution is hereby incorporated as a part of the minutes and is contained in
Exhibit Book XXIV, Page 28.
Authorization for Cape Fear Museum to Dispose of Deaccessioned Objects Through an
Auction Sale
The Commissioners authorized the disposal of deaccessioned objects as presented on the list
submitted by the Cape Fear Museum. The County Manager was authorized to execute the necessary
contracts and agreements.
Approval of Budget Amendment #99-0012 - Fire Services/Fire Departments
The Commissioners approved the following budget amendment to fund a confined space
rescue team to be operated by the County Fire Service. A number of industries joined in a private-
public venture to fund the team with the primary coordinator being Rick Trotta, an employee with
Takeda Chemical. This team will allow the County Fire Service to perform technical confined space
rescue in regulated confined spaces such as tanks, underground vaults, etc. A majority of the funding
will come from the industries who will receive the most benefits from the program. Very little
funding will be provided by New Hanover County.
Budget Amendment #99-0012 - Fire Services/Fire Departments
DebitCredit
Contributions $22,000
Fire Fighting Supplies $10,000
Capital Equipment 12,000
Purpose:
To budget contributions for confined space rescue project.
APPROVAL OF CONSENT AGENDA ITEMS 10 AND 11, Budget Amendment #99-0018 and
Budget Amendment #99-0019 - Various Departments
Chairman Greer requested an explanation of the difference between Budget Amendment 10
and 11.
Deputy County Manager Atkinson explained the purpose of Budget Amendment 10 was to
rollover FY 1997-98 expenditures that were not paid during that year into the FY 1998-99 Budget.
Budget Amendment 11 represents outstanding purchase orders that were issued but not
expended as of June 30, 1998. A budget amendment is needed to budget appropriated fund balance
in the FY 1998-99 Budget.
Motion:
Vice-Chairman Greer MOVED, SECONDED by Commissioner Birzenieks to approve
Budget Amendment #99-0018 and #99-0019. Upon vote, the MOTION CARRIED by a 4-0 vote.
Budget Amendment #99-0018 - Various
DebitCredit
General Fund
Appropriated Fund Balance $601,196
Information Technology
Capital Outlay$ 25,000
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 633
(Budget Amendment #99-0018 continued)Debit Credit
Vehicle Management
Other Improvements$ 3,800
Property Management
Building$ 80,000
Board of Elections
Capital Outlay - Equipment$265,000
Clerk of Court
Maintenance and Repair$ 1,000
Miscellaneous 1,000
Capital Outlay - Equipment 3,700
Emergency Management
Contracted Services$ 23,760
Emergency Medical Services
Insurance$ 37,131
Inspections
Maintenance and Repair-Equipment$ 20,000
Health/Administration
Building$ 13,050
DSS Administration
Capital Outlay$ 25,000
Good Friends
Assistance Payments$ 11,985
Parks
Other Improvements$ 90,770
Fire Service District
Appropriated Fund Balance$122,550
Fire Departments
Ogden Volunteer Fire Department$ 77,500
Other Improvements 12,050
Motor Vehicle Purchases 33,000
Environmental Management Fund
Appropriated Fund Balance$470,000
Landfill Operations
Contracted Services$230,000
Other Improvements 25,000
Capital Outlay - Equipment 80,000
WASTEC/Administration
Other Improvements$ 75,000
Capital Outlay 60,000
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 634
Water and Sewer Fund
Appropriated Fund Balance $ 20,875
Water and Sewer Finance
Contracted Services $ 5,875
Water and Sewer Engineering
Motor Vehicle Purchases $ 15,000
Purpose:
To rollover the following expenditures from FY 1997-98 to FY 1998-99:
General Fund:
Information Technology - copier/fax, scanner printers for Lotus Notes system
Vehicle Management - upgrade of generator and transformer
Property Management - storage building
Board of Elections - automation of voting process
Clerk of Court - to refurbish the Jury Room
Emergency Management - to contract for emergency generators
Emergency Medical Services - insurance
Inspections - modems for automated system
Health/Administration - ramp
DSS - Good Friends Program and Project Integrity
Parks - Castle Hayne Park $80,000 and Hugh MacRae Nature Trail $10,770
Fire Service District:
Fire Departments - Ogden substation, $77,500; renovations to existing Ogden Station, $12,050; and
purchase of service truck for Wrightsboro, $33,000.
Landfill Operations:
Contracted Services - engineering design services for closure of Cell 3B,
$120,000; design work for Cell 5, $110,000 (contract approved by the Board on 7/13/98); Other,
improvements - installation of scales to be coordinated with the development of a
construction/demolition processing facility, $25,000; Capital Outlay, irrigation system $15,000 and
rapid sand filter, $65,000.
WASTEC/Administration:
Other Improvements - CEMDAS system replacement $65,000
(monitors gas exhaust for pollutants) and skiphoist braking system for No. 3 boiler, $10,000; Capital
Outlay - activated carbon system (Boiler No. 3), $50,000 and public address systems, $10,000.
Water and Sewer District
Water and Sewer Finance - HTE accounts receivable system
Water and Sewer Engineering - Truck
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 635
Budget Amendment #99-0019 - Various
DebitCredit
General Fund:
Appropriated Fund Balance$1,023,232
Commissioners’ Office:
Departmental Supplies$ 550
Finance Department:
Department Supplies$ 775
Contracted Services 11,572
Capital Outlay - Equipment 11,763
Information Technology:
Departmental Supplies$ 28,931
Capital Outlay - Equipment 11,250
Tax:
Contracted Services$ 20,000
Board of Elections:
Other Improvements$ 1,310
Property Management:
Contracted Services$ 30,176
M&R - Buildings and Grounds 12,087
Engineering:
Contracted Services$ 9,101
Sheriff/Administration:
Travel, Meetings & Schools$ 15,600
Sheriff/911:
Contracted Services$ 5,000
Sheriff/Jail:
Capital Outlay - Equipment$ 15,772
Emergency Services/Hurricane Expense:
Contracted Services$ 66,610
M & R - Equipment$ 47,861
Emergency Services:
Capital Outlay - Equipment$ 144,258
Courts:
Capital Outlay - Equipment$ 43,279
Inspections:
Contracted Services$ 2,411
Capital Outlay - Equipment 80,227
Planning:
Contracted Services$ 71,549
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 636
Debit Credit
Cooperative Extension Service:
Other Improvements$ 3,038
Capital Outlay - Equipment 16,934
Health/Environmental:
Departmental Supplies$ 264
Health/Vector Control:
Motor Vehicle Purchases$ 28,015
Health/Administration:
Departmental Supplies$ 3,725
Building 59,720
DSS/Administration:
Contracted Services$ 30,000
Other Improvements 96,600
Capital Outlay - Equipment 24,473
Library:
Contracted Services$ 2,943
Parks:
Contracted Services$ 3,000
Other Improvements 61,275
Motor Vehicle Purchases 46,049
Museum:
Departmental Supplies$ 5,739
Other Improvements 2,475
Capital Outlay - Equipment 9,000
Fire Service District:
Fire Departments:
Appropriated Fund Balance$141,236
Fire Operations:
Safety Equipment$ 6,691
Fire Departments:
Motor Vehicle Purchases$ 134,545
Environmental Management Fund:
Landfill Operations:
Appropriated Fund Balance$310,356
Contracted Services$ 1,250
WASTEC/Administration:
Contracted Services$ 16,134
Other Improvements 4,900
Capital Outlay - Equipment 165,313
WASTEC/Maintenance:
M&R - Equipment$ 115,609
Recycling:
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 637
Capital Outlay - Equipment$ 7,150
Water and Sewer Fund:
Sewer Operating Fund:
Appropriated Fund Balance $182,718
Water & Sewer Finance:
Contracted Services$ 7,658
Water & Sewer Engineering:
Contracted Services$ 35,061
Departmental Supplies 915
Capital Outlay - Equipment 18,068
Motor Vehicle Purchases 121,016
Purpose:
To budget appropriated fund balance for outstanding purchase orders as of June 30, 1998.
The amounts should be added to each appropriation as it appears in the budget ordinance in order
to account for the payment against the fiscal year in which it is paid (adopted in the budget ordinances
for FY 1998-99 dated June.)
APPROVAL OF CONSENT AGENDA ITEM 12, REAPPOINTMENT OF ANTHONY W.
RAYNOR TO SERVE AS THE EMS REPRESENTATIVE ON THE CHILD FATALITY
PRESENTATION TEAM
Vice-Chairman Greer spoke on the recent transfer of the EMS service to New Hanover
Regional Center and he asked if the Board had authority to appoint an EMS representative since this
agency was no longer a County Department.
Ms. Janet McCumbee, a Child Health Director, advised that the Supervisor of EMS at New
Hanover Regional Medical Center had recommended reappointment of Mr. Raynor to serve on the
Child Fatality Team. However, to comply with State Statutes governing the appointment process,
the County Commissioners are required to make this particular appointment.
Motion:
Vice-Chairman Greer MOVED, SECONDED by Commissioner Birzenieks to reappoint
Anthony W. Raynor to serve as the EMS representative on the Child Fatality Prevention Team. Upon
vote, the MOTION CARRIED by a 4 to 0 vote.
RETIREMENT PLAQUE TO BE FORWARDED TO MS. DOROTHY C. GILLIS
County Manager O’Neal announced that Ms. Dorothy C. Gillis, a Clerical Specialist in the
New Hanover County Health Department, was unable to attend the meeting to receiver her retirement
plaque because of an illness in the family. He informed the Board that the Human Resources
Department would be sure she received the plaque.
PRESENTATION OF NEW HANOVER COUNTY SERVICE AWARDS
County Manager O’Neal requested the following persons to step forward to receive services
awards:
Dorothy S. Myers, WASTEC5 years service
Johnny L. Cain, N. C. Cooperative Extension5 years service
Marilyn Roberts, Health Department5 years service
Jamie R. Richter, Social Services5 years service
Octavia M. Spicer, Social Services5 years service
Jeanie L. Wade, Social Services5 years service
Michael S. Winbar, Human Resources10 years service
Arthur T. Wilkinson, Property Management10 years service
Marie Y. Clarkson, Property Management10 years service
Grady Hobbs, Inspections Department10 years service
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 638
David Wittenberg, Property Management10 years service
Peggy Foose, Social Services10 years service
Diane Holmes, Social Services10 years service
Vickey Jacobs, Social Services10 years service
LaWanda Jenkins, Social Services10 years service
Angela Lewis, Social Services10 years service
Judy Martin, Social Services10 years service
Loretta Murphy, Social Services10 years service
Jerome James, WASTEC15 years service
Roosevelt Sidberry, WASTEC15 years service
Bonnie L. Smithdeal, Social Services15 years service
Jean Middleton, Aging Department15 years service
Audrey W. Burgess, Property Management15 years service
Barbara Berkemeier, Health Department20 years service
F. W. Morris, Social Services20 years service
Patricia J. Raynor, Tax Department25 years service
Elizabeth Summey, Health Department30 years service
Chairman Caster, on behalf of the Board, presented service awards to each employee and he
expressed appreciation to them for their years of dedicated service.
PRESENTATION OF “CERTIFICATE OF ACHIEVEMENT FOR EXCELLENCE IN
FINANCIAL REPORTING” TO THE FINANCE DEPARTMENT
County Manager O’Neal advised this was the 17th consecutive year that the Finance
Department has received this award. He requested the Finance Director and Staff to step forward
to receive the award.
Chairman Caster, on behalf of the Board, presented the Certificate of Achievement for
Excellence in Financial Reporting to Finance Director, Bruce Shell, and employees in the Finance
Department. He complimented the Finance Department for bringing this honor to New Hanover
County.
A round of applause was given to the employees.
PRESENTATION ON BUSINESS INCUBATOR PROGRAM
Ms. Jackie Peoples, Executive Director of the Wilmington/New Hanover Community
Development Corporation (CDC), reported this agency has operated two projects for the past four
years, the Wilmington Business Center located in the Hilton Industrial Park, 511 Cornelius Harnett
Drive, and an affordable housing program.
The Wilmington Business Center, consisting of 18,000 square feet, began as the area’s first
incubator in 1992-1993 with funding received from the federal government in the amount of
$397,750 and additional funds raised by the group in the amount of $365,000. During this period of
time, the incubator has been responsible for assisting and launching 34 new businesses which have
provided 80 full-time permanent jobs. More than 50% of the new jobs have been filled by low income
persons.
The CDC Board feels another incubator would be beneficial to the area. If the Fox Holsum
Bakery building located at 13th and Meares Streets can be purchased to house a second incubator,
it is felt that businesses can be launched with more jobs created for low income persons. The CDC
has submitted federal and state grant applications in the amount of $700,000 ($500,000 federal and
$200,000 state) that should be awarded to the agency.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 639
The Fox Holsum Bakery building is located between two public housing developments:
Hillcrest and Houston Moore Terrace. A primary difficulty for low income persons needing to work
has been transportation. If the second incubator could be located in this building, a substantial
number of jobs could be provided to low income persons from surrounding housing projects within
walking distance.
The City of Wilmington has appropriated funding in the amount of $150,000. New Hanover
County is being requested to match this contribution. With a total sum of $1,000,000, the CDC will
be able to purchase the Holsum Bakery building at a cost of $575,000. Renovations and repairs are
expected to total $300,000 to $400,000.
In closing, Ms. Peoples, stated the purpose for establishing an incubator is twofold: (1) to
provide employment opportunities for low income persons and (2) to assist entrepreneurs with
starting new businesses. If the Fox Holsum Bakery building is purchased, there will be no walls inside
the facility. An open space concept will provide an opportunity for entrepreneurs to share desks and
stations to reduce the monthly rental to $75 per month during the first six months of business. The
CDC Board believes this incubator can be successful, and financial support from New Hanover
County in the amount of $150,000 will make this project become a reality.
Chairman Caster asked if the money contributed by the City was from a grant. Ms. Peoples
responded the money was from a community development block grant in the amount of $50,000 over
a three-year period.
Commissioner Davis asked if any positive response to the grant applications had been received
by CDC, and if the grants are awarded, will the funding be over a three-year period.
Ms. Peoples responded the grant awards should be favorable because the Wilmington
Business Center has been successful in launching new businesses and creating jobs for low income
persons. All funding received is distributed over a three-year period.
Discussion followed on community development block grant funding received by New
Hanover County. County Manager O’Neal advised the unincorporated county receives a small
amount of entitlement funding through community development block grant funding based upon
population, income, and housing. If the Board decides to approve the funding request for CDC, the
money should be appropriated from the general fund.
Consensus:
After discussion of more time to review funding sources, it was the consensus of the
Board to direct the County Manager to prepare a report on funding options and place this item on
the agenda for September 8, 1998.
ITEM WITHDRAWN SINCE MR. ROBERT C. MASSENGILL WAS NOT PRESENT TO
DISCUSS CONCERNS ABOUT THE WATER AND SEWER BILLING PROCEDURE ON
RENTAL PROPERTY
County Manager O’Neal informed the Board that Mr. Massengill was not present. He
encouraged the Board to allow the water and sewer billing procedure to remain in place to avoid
time-consuming policies that will have to be implemented by the Finance Department.
No action was taken.
CONSIDERATION OF RESOLUTION TO OPPOSE RELOCATION OF HIGH POINT
TREATMENT PLANT DISCHARGE
Mr. Kurt Taube, Executive Director of the Lower Cape Fear Water and Sewer Authority,
requested the Board of County Commissioners to adopt a resolution opposing the relocation of a
treatment plant discharge that would negatively impact waters below Randleman Lake on the Deep
River in Randolph County because of the following reasons:
?
Too much phosphorus in the discharge route if the location is moved.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 640
?
The EPA recommends that a lake-wide average of chlorophyll at concentration of less than
25 ug/1 and cholorphyll at a concentration of less than 15 ug/1 at the water supply intake be
attained. Modeling studies show that Randleman Lake will meet these goals.
?
Moving the High Point Treatment Plant discharge around Randleman Lake is estimated to
cost $28.8 million.
Vice-Chairman Greer asked if this was political question.
Mr. Taube advised this was a political issue; however, the water quality in the Cape Fear
River must be protected downstream.
Motion:
Commissioner Birzenieks MOVED, SECONDED by Vice-Chairman Greer to adopt the
resolution opposing the relocation of the High Point Wastewater Treatment Plant discharge from
Richland Creek in Guilford County. Upon vote, the MOTION CARRIED by 4 to 0.
A copy of the resolution is hereby incorporated as a part of the minutes and is contained in
Exhibit Book XXIV, Page 28.
DISCUSSION OF POSSIBLE ACQUISITION OF LOTS IN GREENVIEW RANCHES
Background information on the acquisition of lots without clear titles in Greenview Ranches
was presented by Vice-Chairman Greer. A large portion of the lots are useless because they cannot
be sold without a clear title. Since there is a need to find tracts of land to construct schools and
parks, discussion has been held on condemning these lots and paying a fair price to the property
owners.
County Attorney Copley spoke on the time involved with trying to contact 350 property
owners that live across the country. A suggestion was made to divide the property into sections, so
the Legal Department could begin the arduous task of title searches, locating heirs, and
condemnations. The first step would be to write letters to the property owners to see if they are
interested in voluntarily selling their property. The next step would be to perform an environmental
assessment. Finally, a person would be needed to serve as the negotiator for the price of the lots.
County Attorney Copley advised that Deputy County Manager Atkinson had graciously
volunteered to serve as the negotiator.
A lengthy discussion followed on the use of the property. County Manager O’Neal advised
the property would be ideal for development of a joint park/school complex in the northern end of
the county. The Eaton Elementary School is full, and this area continues to grow. With the size of
the property, a smaller version of the Pilot’s Ridge school/park complex could be developed. Also,
the land could be used to serve as a large conservation area for future well fields.
Mr. Eddie Anderson, Director of School Facilities, spoke on the growth in the Murrayville
Road area, and he advised new schools will be needed in the northern part of the county. He offered
to discuss this issue with the Superintendent of Schools and the Board of Education.
County Manager O’Neal recommended calling a meeting between administrative officials of
the County, New Hanover County School System, and N. C. Department of Transportation to
determine if the land can be used for a school site.
Chairman Caster asked if anyone from the public would like to comment.
Mr. Michael Allen, Pastor of the Middle Sound Community Church, reported the church was
looking at the possibility of obtaining Lot 63 at the corner of Plantation and Deerfield Roads in
Greenview Ranches. He informed the Board that he and his wife owned the lot, and the church was
interested in constructing a new church on the site. If the County decides to use or develop the
property in the back of Greenview Ranches, this action would benefit the entire neighborhood by
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 641
providing access to the remaining properties. However, recent discussion about condemning vacant
lots is of great concern to him and other property owners.
Mr. Reggie Lewis, representing the residents of Greenview Ranches, asked if the County
plans to condemn property with existing homes that persons have lived in for 15 years.
Vice-Chairman Greer advised the intent was not to displace any homeowners. With the
shortage of land in New Hanover County, this unused property would be an ideal way to provide a
school site or park for this area of the county.
County Attorney Copley assured the residents of Greenview Ranches that no existing homes
would be condemned if the County decides to purchase the land.
Mr. Phil Triece, owner of Triece & Company, cautioned the Board about contacting existing
property owners before a wetlands study has been performed. He suggested identifying the usable
areas before proceeding with contacting property owners.
Consensus:
After further discussion, it was the consensus of the Board for the County Manager to
meet with members of the School Administrative Staff, the County Attorney, the County Parks
Director, and the County Engineer to discuss the possible use of lots in Greenview Ranches. A report
is to be prepared and presented to the Board at a later date.
DISSOLUTION OF THE NORTHCHASE DRAINAGE BOARD
County Engineer, Wyatt Blanchard, reported on March 10, 1997, the Board of County
Commissioners appointed a Drainage Board pursuant to NCGS 156-32 in response to homeowners
that were experiencing drainage problems in NorthChase. He advised this Board had completed its
task and was no longer needed.
Motion:
Vice-Chairman Greer MOVED, SECONDED by Commissioner Birzenieks to dissolve the
NorthChase Drainage Board. Upon vote, the MOTION CARRIED by a 4 to 0 vote.
REAPPOINTMENT OF PATRICIA J. RAYNOR AS TAX COLLECTOR OF REVENUE
FOR NEW HANOVER COUNTY
County Manager O’Neal reported pursuant to NCGS 105-349, the Board of County
Commissioners must reappoint the Tax Collector of Revenue.
Motion:
Vice-Chairman Greer MOVED, SECONDED by Commissioner Birzenieks to reappoint
Patricia J. Raynor to serve as Tax Collector of Revenue for New Hanover County for a period of one
year. Upon vote, the MOTION CARRIED by a 4 to 0 vote.
ACCEPTANCE OF COLLECTION SETTLEMENT AND CHARGES OF 1998 LEVY
Tax Administrator, Roland Register, reported pursuant to NCGS 105-347 and 105-349, the
Settlement of the 1997 Levy and Charges for 1998 must be made by the Board of County
Commissioners.
Motion:
Commissioner Birzenieks MOVED, SECONDED by Vice-Chairman Greer to accept the
1997 Collection Settlement, and charge Patricia J. Raynor as the Collector of Revenue with the
collection of the 1998 levy. Upon vote, the MOTION CARRIED by a 4 to 0 vote.
Vice-Chairman Greer expressed appreciation to Ms. Raynor and staff for the outstanding job
performed in collecting taxes.
A copy of the Charge Order and Collection Settlement Reports are hereby incorporated as
a part of the minutes and are contained in Exhibit Book XXIV, Page 28.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 642
COMMITTEE APPOINTMENTS
Reappointment of Carl Ricky Glover to Serve on the New Hanover County Board of
Mechanical Examiners
Chairman Caster announced there was one vacancy on the Board of Mechanical Examiners.
He advised that one application had been received in the name of Mr. Carl Ricky Glover, who desires
to be reappointed.
Motion:
Vice-Chairman Greer MOVED, SECONDED by Commissioner Birzenieks to reappoint
Carl Ricky Glover to serve a two-year term on the Board of Mechanical Examiners. The term will
expire August 31, 2000. Upon vote, the MOTION CARRIED by a 4 to 0 vote.
Appointment of Trude Rennick to Serve an Unexpired Term on the Commission for Women
Chairman Caster announced that Rosemarie Gabriele had resigned from the Commission for
Women. One application has been received to fill the unexpired term in the name of Trude Rennick.
Motion:
Vice-Chairman Greer MOVED, SECONDED by Commissioner Birzenieks to appoint
Trude Rennick to fill the unexpired term of Rosemarie Gabriele to expire May 31, 1999. Upon vote,
the MOTION CARRIED by a 4 to 0 vote.
Appointment to Joanne Nottingham to Fill the Unexpired Term on the Cape Fear Museum
Board of Trustees
Chairman Caster announced that Dr. John Haley had resigned from the Museum Board of
Trustees. He advised that seven applications had been received to fill the unexpired term.
Commissioner Davis advised that Mr. Allen Strange requested that his application be removed
from consideration because he has become involved with other activities. Commissioner Davis also
requested the Board to postpone this appointment until the next meeting in order to allow a very
qualified person to apply.
After discussion of whether the Clerk would have to re-advertise the vacancy, Vice-Chairman
Greer said he felt the Board should move forward with selecting a candidate from the persons who
have applied. He commented on the need to appoint a minority representative to serve on the
Museum Board of Trustees, and he informed the Board that Joanne Nottingham, a professor at
UNCW, was a very qualified candidate.
Chairman Caster opened the floor to receive nominations.
Vice-Chairman Greer nominated Joanne Nottingham. The nomination was seconded by
Chairman Caster.
There being no further nominations, Chairman Caster declared the nominations closed.
Vote:
Upon vote, the Board voted 3 to 1 to appoint Joanne Nottingham to fill the unexpired term
on the Cape Fear Museum Board of Trustees. The term will expire June 30, 2000.
Commissioner Davis voted in opposition.
Reappointment of Ed Higgins and Wanda Coston to Serve on the Wilmington Housing
Finance and Development, Inc. Board of Directors
Chairman Caster reported that Ed Higgins and Wanda Coston were eligible to be reappointed
to serve on the Wilmington Housing Finance and Development, Inc. Board. Both applicants desire
to be reappointed.
Motion:
Commissioner Birzenieks MOVED, SECONDED by Vice-Chairman Greer to reappoint
Ed Higgins and Wanda Coston to serve on the Wilmington Housing Finance and Development, Inc.
Board of Directors for a 3 year term to expire July 1, 2001. Upon vote, the MOTION CARRIED
by a 4 to 0 vote.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 643
BREAK
Chairman Caster called a break from 10:20 a.m. until 10:40 a.m.
ADDITIONAL ITEMS
Discussion of North Carolina Land Trust
Chairman Caster informed the Board that last Tuesday, Attorney Camilla Herlevich, spoke
at the Rotary Club about the N. C. Coastal Land Trust. Since he needed to learn more about the
preservation of valuable natural resources through this agency, he asked Ms. Herlevich to meet with
me to further discuss the program. He invited the other Commissioners interested in this program
to attend the meeting once a date and time have been established.
County Manager O’Neal suggested holding a Work Session to discuss the application
forwarded to the N. C. Clean Water Management Trust Fund for the potential purchase of Airlie
Gardens. Since a staff meeting will be held on September 3, 1998, the Work Session could be
scheduled at 10:00 a.m.
Consensus:
It was the consensus of the Board to scheduled a Work Session on September 3, 1998,
at 10:00 a.m.
Discussion of Public Notice for the Joint Meeting Between the City and County Scheduled for
August 18, 1998
Chairman Caster reported that discussion had occurred with Mayor Hicks during the past
week about the wording in the public notice for the joint City/County meeting to be held on August
18, 1998, at 4:30 p.m. in the City Hall First Floor Conference Room.
Chairman Caster said after reading the minutes of the joint meeting held on July 28, 1998, he
determined the purpose of the meeting should be to consider the joint acquisition of Cape Fear
Utilities, Inc. and Quality Water Supplies, Inc. water systems and the formation of a unified water and
sewer utility. Mayor Hicks felt the purpose of the meeting should be to discuss the water systems.
The Board agreed with Chairman Caster and noted that unification of water and sewer
services would be discussed at the meeting.
CONSIDERATION OF OFFER TO PURCHASE CAPE FEAR UTILITIES, INC. AND
QUALITY WATER SYSTEMS, INC.
Mr. Ken Shanklin, the attorney representing Cape Fear Utilities, Inc. and Quality Water
Systems, Inc., requested the Board to adopt the resolution in the agenda packet for the County to
proceed with a formal offer to purchase the stock of Cape Fear Utilities, Inc. and Quality Water
Supplies, Inc.
The resolution is needed to transfer the stock to the trust. An application must be filed with
the N. C. Utilities Commission. Once the transfer of the stock and trust is approved by the
Commission, the trust will appoint an independent trustee to negotiate the contract to sell the system.
The trustee will be Mr. Gary Trawick, a former Superior Court Judge.
Attorney Shanklin offered to answer any questions about the contract.
Commissioner Davis expressed concerning for proceeding with an offer before the joint
meeting was held between the City and County. He asked if the offer could be changed at a later
date.
Attorney Shanklin advised the trustee would be responsible for negotiating and accepting the
offer. All parties involved recognize the appraisal must justify the price. At this point, the County
is making a proposal to allow the attorneys to move forward with preparing the documentation
necessary to file the application with the Utilities Commission. Once approval is received from the
Utilities Commission, the stock will be transferred into the trust, which is an irrevocable act. The
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 644
trustee then becomes responsible for carrying out all duties designated. The final call will be made
by the trustee. IRS is in the process of changing regulations regarding establishment of this type of
trust, and once their final regulations are published, there will be a 30 day period to finalize the
contract.
Commissioner Davis, again, expressed concern for proceeding with an offer before meeting
with the City Council. He asked the County Attorney if action can be taken at the joint meeting
scheduled with the City of Wilmington.
County Attorney Copley responded that action can be taken at a Special Meeting. She
advised the City has concern for the price being offered, which could create a problem with jointly
adopting a resolution to purchase the water systems.
Commissioner Birzenieks asked if the County could adopt the resolution after the joint
meeting with the City in case no agreement can be reached.
Chairman Caster suggested recessing this meeting and continuing it after the joint meeting
with the City of Wilmington.
Attorney Shanklin advised he would be present at the joint meeting scheduled on Tuesday,
August 18, 1998.
Chairman Caster asked Attorney Shanklin if the City and County decide to jointly purchase
the systems, what actions will be required.
Attorney Shanklin responded the resolution would have to be amended to show that both
governmental entities are purchasing the water systems.
Chairman Caster asked Attorney Shanklin if the City should decide to join in the purchase
within the next week, would this be a problem.
Attorney Shanklin responded the City can become a joint partner a week later without any
problem. However, a resolution with an offer to acquire the water systems at a stipulated price is
needed to begin the process of forming the trust. Approval must be received from the Utilities
Commission, the assets of the company that will not be sold must be removed, and core entities that
will constitute the assets must be developed and placed into the trust. These transactions will require
at least 30 days.
Chairman Caster commented on Paragraph N which states the County’s obligation to
purchase is expressly contingent upon an evaluation by Hartman & Associates, Inc. supporting the
valuation of $22,000,000, and he asked what will occur if this appraisal does not support the figures
presented by Dawson Engineering.
Attorney Shanklin responded by this time the trust will be created; therefore, the trustee will
have to negotiate the final sale price.
Commissioner Davis asked what would occur if the appraisal price by Hartman & Associates,
Inc. was higher than $22,000,000.
Attorney Shanklin responded the $22,000,000 would remain as offered. The owners are not
interested in receiving more money for the system. They desire to establish the trust so contributions
can be made to various entities in the community.
A lengthy discussion was held on both trusts having to suffer adverse income tax
consequences. Attorney Shanklin advised both the trust and entity purchasing the system will have
to comply to the private letter of ruling request to avoid the imposition of income tax. Regardless
of what happens in the future, the County will receive the $10 million.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 645
Further discussion was held on the list of assets that will have to be removed from the trust.
Vice-Chairman Greer requested an explanation on the assets that are not listed but are being
removed.
Attorney Shanklin stated he would be glad to provide the Commissioners with a copy of the
documents that will be filed with the Utilities Commission. This list will show all assets that are being
removed from the corporation.
Vice-Chairman Greer asked if the County would need any of the assets that are going to be
removed from the corporation to operate the water systems.
Attorney Shanklin responded the Masonboro Utilities promissory note, cash on hand, a
promissory note for the sale of old sewer equipment, and tracts of land titled in Cape Fear Utilities
will be removed from the corporation. For example, the 27-acre tract in Millbrook Subdivision that
was used as the old sewer plant will be removed from the corporation. All of the assets removed
were not included in the Dawson Engineering appraisal.
Commissioner Davis requested a list of the assets that will be removed from the corporation
before the joint meeting with the City Council.
Attorney Shanklin responded that a list would be provided tomorrow morning.
Vice-Chairman Greer encouraged the Board to render a decision after the meeting with the
City if an agreement cannot be reached.
A recommendation was made by County Attorney Copley to recess the meeting and continue
the meeting to August 18, 1998 after the joint meeting with the City of Wilmington.
MEETING CONVENED FROM REGULAR SESSION TO HOLD A MEETING OF THE
NEW HANOVER COUNTY WATER AND SEWER DISTRICT
Chairman Caster convened from Regular Session at 11:34 a.m. to hold a meeting of the Water
and Sewer District.
Chairman Caster reconvened to Regular Session at 11:45 a.m.
ADDITIONAL ITEMS - COUNTY COMMISSIONERS
Report on Activities of New Hanover Regional Medical Center
Commissioner Birzenieks, the Board’s representative on the New Hanover Regional Medical
Center Board of Trustees, reported the Executive Finance Committee will vote on the proposed
budget for the hospital within the next week. Copies of the proposed budget will be presented to the
Board of County Commissioners. The Commissioners were requested to review the document and
contact him about any concerns. He reported the Chairman of the Executive Finance Committee
would make a presentation on the budget at the September 8, 1998 meeting.
Commissioner Birzenieks informed the Board that tomorrow morning there will be a meeting
among hospital representatives, the County Attorney, and County Finance Director to discuss the
acquisition of Cape Fear Memorial Hospital. The purpose of the meeting is to be sure that ownership
issues are properly addressed and the bond financing options are understood. He recommended
holding a Work Session with the New Hanover Regional Medical Center Board of Trustees to discuss
the acquisition. The Commissioners concurred with the recommendation.
Commissioner Birzenieks advised that he would be meeting with the External Affairs
Committee today to develop a strategy to better publicize the persons serving on the Medical Center
Board of Trustees. He asked if the Commissioners concurred with this recommendation.
The Commissioners concurred with the recommendation.
NEW HANOVER COUNTY BOARD OF COMMISSIONERSBOOK 26
REGULAR MEETING, AUGUST 17, 1998PAGE 646
Installation of Vice-Chairman Greer as President of the N. C. Association of County
Commissioners
Vice-Chairman Greer expressed appreciation to the members of the Board and Administrative
Staff for the support demonstrated at the Annual Conference held in Charlotte, North Carolina, when
he was installed President of the N. C. Association of County Commissioners.
Commissioner Birzenieks congratulated Vice-Chairman Greer for bringing this honor to New
Hanover County, and he stated the event was enjoyed by all.
Reminder of Visit by Secretary of Transportation E. Norris Tolson
Chairman Caster reminded the Board of the visit and lunch scheduled for Secretary Tolson
on Friday, August 21, 1998, at 12:00 noon in the Assembly Room of the New Hanover County
Courthouse.
ADDITIONAL ITEMS - COUNTY MANAGER
Discussion of Rezoning Library Site on the Military Cut-Off Road
County Manager O’Neal informed the Board that in order to rezone the library site on
Military Cut-Off Road, the Board would have to direct staff to prepare a rezoning petition.
Consensus:
After discussion, it was the consensus of the Board to direct the County Manager to
place this item on the agenda for September 8, 1998.
MEETING RECESSED TO BE CONTINUED ON AUGUST 18, 1998
Chairman Caster requested a motion to recess the meeting until August 18, 1998, after the
joint meeting with the City Council.
Motion:
Commissioner Birzenieks MOVED, SECONDED by Vice-Chairman Greer to recess the
meeting until Tuesday, August 18, 1998, after the joint meeting with the City Council to act on
Regular Agenda Item 14. Upon vote, the MOTION CARRIED 4 to 0.
Chairman Caster recessed the meeting at 12:25 p.m.
Respectfully submitted,
Lucie F. Harrell
Clerk to the Board