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1994-08-22 Regular Meeting e - e ""III ,.MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 2 J.7 ASSEMBLY The New Hanover County Board of Commissioners met in Regular Session on Monday, August 22, 1994, at 9:00 A.M. in the Assembly Room of the New Hanover County Courthouse, 24 North Third Street, Wilmington, North Carolina. Members present were: Commissioners Sandra Barone; William A. Caster; Vice-Chairman E. L. Mathews, Jr.; Chairman Robert G. Greer; County Manager, Allen O'Neal; County Attorney, Wanda M. Copley; and Clerk to the Board, Lucie F. Harrell. commissioner William E. Sisson, Jr. was absent. Chairman Greer called the meeting to order and welcomed everyone present. INVOCATION AND PLEDGE OF ALLEGIANCE TO THE FLAG Dr. Ralph Holt, Pastor of Lake Forest Baptist Church, gave the invocation. commissioner Caster led the audience in the Pledge of Allegiance to the Flag. NON-AGENDA ITEMS Chairman Greer inquired as to whether anyone from the general public would like to present an item not listed on the Regular Agenda or comment on an item listed on the Consent Agenda. The following items were presented: Introduction of Jeff Raifsnider, District supervisor of the Soil and Water Conservation District Mr. Jeff Raifsnider, District Supervisor of the area Soil and Water Conservation District, introduced himself and stated he is the new director of the Soil & Conservation offices located in Wilmington and Burgaw, N. C. He urged the Commissioners to contact the Wilmington office if the agency can be of any assistance to the County. Di~cussion of Water & Sewer District 6o-Day Billing cycle Mr. Ray Anderson, a local landlord, expressed concern for the water and sewer 60-day billing cycle, and for the landlord being billed for water and sewer instead of the tenant or person using the utility. The length of the billing cycle has created a problem in the discovery of water leaks, and during a period of 60 days, he received a $400 bill because a tenant was not aware of a leak. The Commissioners were requested to change the current billing procedure. County Attorney Copley reported the reason for billing the property owner was to hold this person responsible for payment of the utility because of the frequent change in tenants and the cost involved with trying to find tenants living in other parts of the country. commissioner Barone reported this problem can be resolved by stipulating in the lease agreement between the landlord and tenant that the security deposit will not be refunded if all utility bills have not been paid. County Manager O'Neal reported when the County went into the sewer business there was a need to have control over how the sewer was regulated. without a water system, the only way to have control was through billing the landlord. since the County is in the water business, it may be time to review the regulations. Mr. Anderson suggested requiring the tenant to pay a deposit on the utility when connecting to the service. He, again, stated the landlord should not be held responsible for tenants that do not pay their bills. ...oil / , , MINUTES OF REGULAR MEETING, AUGUST 22, 3:994 ~. PAGE 238' After further discussion, the County Manager was requested to check into this matter and report back to the Board. Request for support of Grant Application being Submitted by The Bottom community Organization Ms. Nina Brown, a City Planner and a member of the Advisory Board for The Bottom Community Organization, requested the Commissioners to support the grant application being submitted by this organization to the N. C. Department of Human Resources to fund a Family Resource Center. The funding is part of the Governor's Crime Bill, and this is an excellent opportunity to work with a strong volunteer community group to fight crime in this area by converting the old Tiffany's Lounge into a neighborhood community center. The center will implement programs to provide education on neighborhood safety, Community Watch meetings, tutoring for children, parenting classes, adult education and physical fitness classes. Discussion was held on the use of funds. Ms. Brown reported a small portion of the $75,000 grant will be used to hire a part- time coordinator with volunteers used for staffing the center. The community feels a majority of the funds should be used for programs to provide the different classes that will be beneficial to the citizens living in the neighborhood. The renovation of this building into a family resource center will be a progressive step toward.the reduction of crime in the-community. County Manager O'Neal reported the City Council is very much in support of this program. Chairman Greer expressed ~ppreciation to Ms. Brown for her comments and reported this is an adqitional item that will be discussed after all regular agenda items have been completed. Removal of Item 2 From the Water and Sewer Agenda to the Regular Agenda Vice-Chairman Mathews requested removal of. Item 2 on the Water and Sewer Agenda to the Regular Agenda since the Grease Remova~ Ordinance is a part of the County Code and must be approved by the Board of County Commissioners, not the Water and Sewer District Board of Commissioners. Consensus: It was the consensus of the ~oard to remove Item 2 from the Water and Sewer Agenda to the Fegular Agenda. APPROVAL OF CONSENT AGENDA .Chairman Greer commented on his "no" vote on Page 228 and requested the Clerk to check the recorded tapes to see if the vote had been recorded correctly. He reported he thought he voted "yes" but was not sure and recom~ended approval of the minutes with the vote recorded as stated on the tape. Chairman Greer requested removal of Consent Agenda Item 5 for further discussion. commissioner Barone requested removal of Consent Agenda Item 13 for further discussion. Motion: Chairman Greer MOVED, SECONDED by Vice-Chairman Mathews to remove items 5 and 13 from the Consent Agenda and approve the remaining items as presented. upon vote, the MOTION CARRIED AS FOLLOWS: ' voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer I ~ Absent: commissioner Sisson " o o o ,," <: ,~"~1ff'~.:,~ ". ~ t.l:i~' '("~,'_,);,i!,, ~:~~\H(i~ '~'l'!,'~A":';^'::)~~r4;j.f~}1'1}~;?'''fl-C' '\:'l~\~'T~'~ lj1iI~~">.-~".,\' "':~~'r." " .t, n{"~~i.:;'1-tt')IJ.. ,.,. J 'l'i;'::.~:;'~"':,', "~X '{f.,~~~~,WYJ"l'Y:Aiif\;'if: *!}t~;.i:-'t:l!..*t~;{i~:<';.v.~~, .....~. '. :l?'l"o., ..{>I'l.. , , 'T. ., ~ ~ . ~ , ' \.,'.'"'!- MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 239 CONSENT AGENDA Approval of Minutes The Commissioners approved the minutes of the Regular Meeting of August 8, 1994, reflecting a "yes" vote by Chairman Greer on Page 228. e Award of Contract #95-0083 to McKim & Creed Engineers, P.A. for Engineering Services Related to Construction of a construction/Demolition Materials processing Center The Commissioners awarded a contract to McKim & Creed Engineers, P.A. in the amount of $54,200 for engineering services related to the construction of a Construction/Demolition Materials Processing Facility. The Chairman was authorized to execute the necessary contract documents. A copy of the contract is on file in the Legal Department. Approval of Change Orders for Additional Engineering Services by Post, Buckley, Schuh and Jernigan, Inc. - Environmental Management Department The Commissioners approved the following change orders for additional engineering services performed by Post, Buckley, Schuh and Jernigan, Inc.: Change Order 94-0245-01 - Landfill Transition Plan Change Order 91-0116-03 - Cell 4A Construction Change Order 93-0127-02 - Cell 3A Closure Change Order 94-0161-01 - Constructed Wetlands Net Request Payment to PBS&J ($4,276.00) 885.50 885.50 3.599.00 $1. 094.00 e Authorization to File state Aid to Public Libraries Grant Application The commissioners authorized the Library Director to file the 1994-95 State Aid to Public Libraries grant application. Two major requirements of the grant are a free public library service and maintaining local support. New Hanover County is eligible to receive a grant award in the amount of $137,462. Approval of Public Health Nurse I for New Hanover High School and Approval of Budget Amendment #95-0024 The Commissioners approved a Public Health Nurse I position to replace a temporary school nurse position at New Hanover High School and approve the associated Budget Amendment as listed below. Funding that was used for the temporary position and additional funds in the amount of $7,262 awarded through a contract between the School system and Health Department will pay for the full-time position. 94-0024 Health Department/School Health Debit Credit Health Department School Health Contribution from Schools $7,262 e Salaries & Wages ,FICA Retirement Medical Insurance '~imited Disability Insurance $3,727 $ 285 $ 459 $2,640 $ 151 Adoption of Resolutions Requesting the Addition of Roads to the state Highway System ~ The commissioners adopted resolutions requesting the addition of the following roads to the State Highway System: Bright Leaf Road in willowbrook Subdivision The Commons, sections 1-3 Huntington Forest, sections 3-6 ..... ~ ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 . PAGE 240 Copies of the resolutions are hereby incorporated as a part of the minutes and are contained in Exhibit Book XXII, Page 17. Approval of Tax Collection Reports Through July 31, 1994 The Commissioners approved the following Tax Collection Reports through July 31, 1994, as submitted by the Collector of Revenue: New Hanover County Tax Collections New Hanover County Fire District Tax Collections o Copies of the reports are hereby incorporated as a part of the minutes and are contained in Exhibit Book XXII, Page 17. Allocation of Additional Community Based Alternatives ICBA) Funding to Youth serving Agencies and Approval of Budget Amendment #95-0026 The Commissioners approved the following Budget Amendment to allocate the additional CBA funding received as a result of the Special Session of the General Assembly on crime: Budget Amendment #95-0026 Department of Social Services/Foster Care/CBA outside Agencies Debit Credit Department of social Services Foster Care CBA Grant $40,241 Contracted Services $40,241 CBA outside Aqencies CBA Grant $40,240 Juvenile Psychological Services Program Youth Connection Program child Advocacy Commission/Project First stop Juvenile Restitution Program $24,282 $10,000 $ 995 $ 4,963 o Adoption of Resolution Authorizing the Finance Office to Dispose of 20-Foot Simmons Sea-Skiff Through A Private Sale The Commissioners adopted a resolution authorizing the Finance Office to dispose of a 20-foot Simmons Sea-Skiff, which has been deaccessioned from the collection at the Cape Fear Museum, through a private sale to the Cape Fear Museum Associates, Inc. at a price of $500 pursuant to N.C.G.S. 16qA-267. A copy of the resolution is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXII, Page 17. Approval of Budget Amendment #95-04 - Solid Waste Construction Project - Environmental Management . The Commissioners approved the following Budget Amendment: 95-04 Solid Waste Construction Project Debit Credit Solid Waste Construction proiect Bond Proceeds $378,000 Solid Waste Construction proiect Capital Project Expense $378,000 Purpose: To increase the budget to the actual amount of bonds. o Approval of Budget Amendment #95-0023 - cooperative Extension The Commissioners approved the following Budget Amendment: 95-0023 - cooperative Extension 'Debit Credit Cooperative Extension COOP - Child Care Block Grant $'31,550 Cooperative Extension' Salaries $25,000 \. e e e , , i. h~'i,--~''''''t'r:,.", _ "~.(! ,\~'.~'~H'~ . }. i;'~: ; !>J:.L" ~,lo~._\j,zd...' 1.1i~ Jf;'," V",,: ......~'." -!jr"r'}- .,._' "I t ".ii. "': .;~~~~,.":,., r'~ """l ,.t~ '~ , '~1' Ni I' " , -. (.' f;; , , (;~ ' ~'/:i;'~"l,"\f"M},~I>) "1,,~..-",:,I,ri':,i:'!.\~.:l'.~->;. . 'f'<!~lr:j!.t~..rr ~,-~'~~'l< ','1;'1"'.";.- .,.-1, MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 241 (Budget Amendment #95-0023 continued) Debit Credit FICA Retirement Medical Insurance Travel Telephone Printing Departmental Supplies $ 1,925 $ 1,245 $ 580 $ 1,400 $ 200 $ 200 $ 1,000 Purpose: To budget unexpended grant funds for FY 1993-94. The grant was awarded and accepted in FY 1993-94; however, the Director of Cooperative Extension did not decide until FY 1994-95 to proceed with the project. Approval of Budget Amendment #95-0022 - Sheriff's Department The Commissioners approved the following Budget Amendment: 95-0022 - Sheriff's Department Credit Debit Sheriff's Department - Federal Forfeited Propertv Federal Forfeited Property $183,650 Controlled Substance Tax Controlled Substance Tax $ 62,307 proiect Interdiction Project Interdiction Grant $ 1,515 Federal Forfeited Property Beepers and Pagers Maintenance & Repair - Equipment Departmental Supplies Capital outlay Motor Vehicles $ 2,500 $ 500 $ 25,000 $ 97,225 $ 58,425 $ 10,000 $ 40,000 $ 12,307 $ 1,515 Controlled Substance Tax Departmental Supplies Capital Outlay Motor Vehicles proiect Interdiction Departmental Supplies Purpose: To budget unexpended federal forfeited property and controlled substance tax revenues, and to budget unexpended Project Interdiction grant funds from FY 1993-94. Approval of Budget Amendment #95-0021 - Emergency Management The Commissioners approved the following Budget Amendment: 95-0021 - Emergency Management Debit Credit Emerqency Manaqement HMTA Grant $2,252 Emerqency Manaqement Departmental Supplies capital Outlay $1,861 $ 391 Purpose: To budget unexpended grant funds from FY 1993-94. Approval of Budget Amendment #95-0020 - Health Department project Assist The commissioners approved the following Budget Amendment: ...... / ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 2.42 Budget Amendment #95-0020 - Health Department project Assist Debit Credit Health Department/Proiect Assist Project Assist Grant $17,347 commissioners Appropriated Fund Balance $ 3,623 Health Department/Proiect Assist Contract Services Printing Departmental Supplies Travel o $ 1,000 $ 3,000 $ 8,724 $ 1,000 Purpose: (1) To adjust budget to actual FY 1995 Allocation ($33,307 + $5,500 = $38,807). (2) To budget unexpended grant funds from FY 1993-94 ($15,540) . Approval of Budget Transportation The Commissioners Amendment #95-0019 Human Services approved the following Budget Amendment: 95-0019 Human Services Transportation Debit Credit Human Services Transportation TAP-Medicaid Transportation Assistance $ 693 $5,874 Human Services Transportation TAP-Medicaid Elderly Disabled $ 693 $3,587 $2,287 o Purpose: To adjust budget to actual FY 1995 Allocation ($34,376 E&D, $5,446 MTAP). To budget unexpended funds from FY 1993-94. Approval of Budget Amendment #95-0~18 Health Department Immunization Action Plan 0". The Commissioners approved the following Budget Amendment: 95-0018 - Health Department Immunization Action Plan Debit Credit Health Dept./lmmunization Action Plan lAP Grant $4,265 Health Dept./lmmunization Action Plan Departmental Supplies Travel $3,265 $1,000 Purpose: To bUdget unexpended grant funds from FY 1993-94. . Approval of Budget Amendment #95-0017 - Sheriff's Department - Federal Forfeited Property The Commissioners approved the following Budget Amendment: 95-0017 Sheriff's Department - Federal Forfeited Property o Debit Credit Sheriff's Dept./Federal Forfeited Propertv Federal "Forfeited Property $18,257 Sheriff's Dept./Federal Forfeited Propertv Depart~enta~ Supplies ,... .t~ ......... _ _ ;..... $18,257 ... \. e e e f .';'i';~ ,~. ";,,?}.'; .<~:~ t' 4" ""'II , 't .i;.~e" ,;. I.I' ;:,~" il.n' " ;r', ,~ MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 243 Purpose: To budget additional revenue received in FY 1994-95. Federal Forfeited Property revenues are budgeted as received and must be used for law enforcement activities as the Sheriff deems necessary. Approval of Budget Amendment #95-014 - Environmental Management (Recycling) The Commissioners approved the following Budget Amendment: 95-014 - Environmental Management (Recycling) Debit Credit Environmental Manaqement - Recyclinq U. S. Forest Service Grant $5,000 Departmental Supplies $5,000 Purpose: To establish budget for grant awarded to Environmental Management for the Pallet Composting Bin Project from the U. S. Forest Service. The application/grant was approved at the meeting of the Board of County Commissioners on June 20, 1994. The majority of the required match will come from another grant awarded from the Office of Waste Reduction ($4,667) for the same project. Approval of Budget Amendment #95-0016 - Planning The Commissioners approved the following Budget Amendment: 95-0016 Planning Credit Debit Planninq Rehabilitation Grant Other $68,200 $48,998 Planninq Administration General Contract $ 836 $116,362 Purpose: To rollover unexpended grant funds from FY 1993-94. To rollover unexpended County match from FY 1993-94. Approval of Budget Amendment #95-0027 - Environmental Management Landfill The Commissioners approved the following Budget Amendment: 95-0027 - Environmental Management Landfill Debit Credit Environmental Manaqement/Landfill CAMA Wetlands Grant $38,451 Environmental Manaqement/Landfill Advertising Contract Services Printing Travel Construction Capital Outlay Departmental Supplies $ $ $ $ 454 $20,000 $ 6,515 $ 7,323 1,800 1,759 600 Purpose: To rollover unexpended grant funds from FY 1993-94. APPROVAL OF CHANGE IN SERVICE PLAN FOR PHOTOCOPIERS FOR THE NEW HANOVER COUNTY LIBRARY AND APPROVAL OF BUDGET AMENDMENT #95-0028 - 'CONSENT AGENDA ITEM 5 Chairman Greer inquired as to why the proposal excluded the cost of the paper under the new contract? l~ County Manager O'Neal reported the purchase price of the paper was.considered in the cost and the revenue will exceed last year's .fig,ure. . :4: ~l . ~~'" . ..oil ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE.244 Motion: chairman Greer MOVED, SECONDED by Commissioner Caster to approve changing the service plan for photocopiers at the Library to the Danka ACCESS Plan as presented and approve the associated Budget Amendment as listed below. Upon vote, the MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer o Absent: commissioner Sisson Budget Amendment #95-0028 - Library Debit Credit Librarv Copy Fees Books Copy Expense $30,150 $18,225 $11,925 Purpose: To budget additional revenue from new copier plan. RATIFICATION OF RESOLUTION AND INTERLOCAL AGREEMENT WITH THE TOWN OF WRIGHTSVILLE BEACH - CONSENT AGENDA ITEM 15 Commissioner Barone commented on directing staff to provide the revised Wrightsville Beach ordinance before finally approving the Interlocal Agreement to address the Board's concerns about the County granting the necessary jurisdiction to the Town of Wrightsville Beach for enforcement of town swimming rules, and inquired as to why the revision was not included in the agenda packet? County Attorney Copley commented on confusion about the action taken by the Board of County Commissioners at the August 8, 1994, meeting and reported the Wrightsville Beach Town Manager advised the Board of a proposed change in the Wrightsville Beach Town Ordinance; however, since that meeting, the Board of Aldermen has not finally adopted the revised ordinance. o After discussion of ensuring that surfing will be allowed at the northern end of the beach, Commissioner Barone recommended adding the following verbiage (as underlined) to section 1 of the Resolution: 1. New Hanover County hereby adopts, for that portion of unincorporated New Hanover County situated to the north of the Town limits, those Town of Wrightsville Beach ordinances, rules, and regulations pertaining to swimming, as may be amended from time to time by the Board of Aldermen and approved by the Board of County Commissioners. Motion: After further discussion of not having a copy of the revised ordinance and the need to be sure surfing is allowed at the northern end of the beach, Commissioner Barone MOVED, SECONDED by Commissioner Caster to amend the resolution by adding the following words to the last sentence. of section 1: "and approved bY the Board of County Commissioners". Upon vote, the MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer o , .Absent: commissioner Sisson A copy of the revised resolution is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXII, Page 17. .. ' ~ . . A copy of the inteilocal agreement is on file ih the Legal Department. " , {:?}1HI,,~H:r~~k:i. '~';~,~1f~";.r:(~:ttf!/i~;'f- v'' - """"l " ~; ; , '., I. u!!:!.; " l ;,. ",1":'" , ;JJit;,~~.~~~~tf#~', itlf;\~~-r<'~ '"\ '. . I l., i ~ ~ " MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 245 PRESENTATION OF NEW HANOVER COUNTY EMPLOYEE SERVICE AWARDS County Manager O'Neal reported unfortunately only one employee scheduled to receive service awards could be present, and he requested this employee to step forward to receive a service award: Name Years of Service Audrey W. Johnson - Property Management 10 e Chairman Greer, on behalf of the Board, expressed appreciation to Ms. Johnson for her ten years of dedicated service to New Hanover County. ADOPTION OF RESOLUTION ACKNOWLEDGING ACHIEVEMENTS OF NEW HANOVER COUNTY TAX COLLECTION OFFICE Motion: Chairman Greer read the resolution and MOVED, SECONDED by Commissioner Barone to adopt the resolution recognizing the achievement of the Tax Collection Office for its excellent tax collection rate. Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner Sisson Chairman Greer, on behalf of the Board, presented the resolution to Ms. Patricia J. Raynor, the Tax Collector of Revenue, and her Staff. Appreciation was expressed for achieving a tax collection rate of 98.56% during the past year. e Ms. expressed Office. Raynor introduced appreciation for the the members of recognition Staff present and of the Collections " ACCEPTANCE OF THE 1993 TAX COLLECTION SETTLEMENT REPORTS AND REAPPOINTMENT OF MS. PATRICIA J. RAYNOR AS COLLECTOR OF REVENUE FOR FY 1994-95 AND CHARGE OF THE 1994 TAX LEVY Motion: Commissioner Barone MOVED, SECONDED by commissioner Caster to accept the 1993 Tax Collection Settlement Reports, reappoint Ms. Patricia J. Raynor as Collector of Revenue for FY 1994-95 and charge her with the 1994 tax levy. Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner Sisson e Copies of the 1993 Settlement of Tax Collections for New Hanover County and the New Hanover County Fire District are hereby incorporated as a part of the minutes and are contained in Exhibit B~ok XXII, Page 17. TAX APPEAL BY WOODMEN OF THE WORLD Tax Administrator, Roland Register, reported Woodmen of the World applied for exemption from property taxes on January 27, 19J4, for their land and building located at 204 North Kerr Avenue, including rental space and office furniture owned by the tenants. , After consulting with the Assistant County Attorney, Kemp Burpeau, who consulted with the Attorney General's office, it was concluded that Woodmen of the World did not qualify for exemption f~9m property taxes in North Carolina. This decision was reached ;be,9ause the recent legislation effective July 15, 1994, did not ,,' ....lIIII / / I , MINUTES OF REGULAR MEETING, AUGUST 22, 1994_. PAGE 246 expressly indicate that the legislation was retroactive; therefore, the Tax Office recommends that the 1994 exemption request-be denied based upon the following findings: 1. Woodmen of the World is not named specifically in the North Carolina General statutes. 2. Woodmen of the World is not charitable, educational, scientific, or literary. 3. Woodmen of the World is not significantly similar to a fraternal or civic order, or an organization operated for non- profit benevolent, patriotic, historical, charitable or civic purposes. The organization may be fraternal, but there is no significant indication that the organization is benevolent, historical, charitable, or civic. As for patriotic, the award of plaques and flags was deemed superficial and a meager part of the overall activities. It appears that any contributions of equipment (wheel chairs, crutches, etc.) was primarily to the benefit of its members, a violation of the non-profit charter which states, "no part of the net earnings of the organization shall enure to the benefit of its members or others." 4. The major activity of the organization, outside of the purpose to encourage the "family unit", appears to be their own insurance company, Woodmen of the World Life Insurance Society. 5. Every day use of the building is rental space for the business purpose of conducting business of the Life Insurance Company. Woodmen of the World claims that 25% of the building is used for conducting the life insurance business; however, after a conversation on August 10, 1994, Lennon Insurance now claims that 50% use of the building is for conducting life insurance business. Regardless of a qualifying exemption, a significant portion of the property and all personal property of the renter must be taxed. For 1995, the Board of County Commissioners will have to determine if the property is being primarily used for the Woodmen of the World Organization, or if the-property is being primarily used for an insurance agency. During a visit by an Appraisal Supervisor, it was found that the building was being primarily used by the insurance agency. Chairman Greer asked if the appellant would like to comment. The following remarks were received. Mr. Charles Lennon, Area Manager for the Woodmen of the World Life Insurance Society, expressed concern for all the items presented by the Tax Administrator. In his opinion when the Attorney General and Legal Department determined that Woodmen of the World was not legally tax exempt, all the pertinent facts had not been presented. Woodmen of the World Life Insurance society is a large life insurance agency located in Omaha, Nebraska. The Woodmen of the World Lodge 6, the owner of the property in question, is comprised of 1,100 New Hanover County citizens, whose sole purpose is for fraternal, charitable, non-profit, and patriotic activities in this area. Life insurance is not sold by the Lodge: A 1936 notice from IRS, marked Exhibit B, was presented which recognized the Woodmen of the World Life Insurance Society as a non-profit organization, tax exempt. A statement from IRS, marked Exhibit C, was presented which reflected that individual lodges were considered separately. The Commissioners were urged to consider these exhibits when rendering a decision. A copy of the deed was presented reflecting that the property is deeded to Lodge 6', Woodmen of the World, not the Woodmen of the World Life Insurance Society. The property is \. o o o :f~Q:i~:;>il1'~;;,lhlt!\t"'hf.;"'~ "'1 y~ ~I,;'f~}"~. ""'Il '.. ,~,t~~~~~_i,~\\,4 'l.~,-~t';,;;!:s.""<:j' .-:' MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 247 owned solely by Lodge 6 and can be sold without any prior approval by the Woodmen of the World Life Insurance society. e The Woodmen of the World Organization has been a non-profit benevolent, patriotic, historic and charitable organization for over a 100 years. Exhibit D was presented, which displayed the number of lodges in eastern North Carolina, including Lodge 6, and also reflected the types of projects sponsored by this organization. A list of the following projects was presented and emphasis was placed on the fact that funds used for these projects were from the fraternal dues collected from the lodge members: 1. The presentation Carolina to churches, non-profit groups. of 904 schools, flags in southeastern North fire departments, and other 2. The organization sponsored 438 Nursing Home projects in southeastern North Carolina. Lodge 6 conducted many of these projects. 3. Two-hundred and seventy donations were made by the lodges to the Children's Home Program. These funds were used to provide Christmas parties and gifts to the children in the homes throughout North Carolina. 4. The adult lodges, including Lodge 6, gave over $7,400 to victims of Hurricane Emily; $11,800 to the victims of the mid- west flood; and a $400 donation by Lodge 6 to the victims of the flood in Georgia. e Mr. Lennon read a list of agencies exempt from property taxes in the state statutes and quoted the following section: t".....similar fraternal or civic orders and organizations operated 'for non-profit, benevolent, parotic, historical, charitable, or civic purposes..." He stated, in his opinion, the Woodmen of the World Organization qualifies as, a tax exempt non~profit agency under this portion of the statute. As to the use of the office, Mr. Leonard explained that members of Lodge 6 own the property and use the building for meeting space. The Lodge has the right to rent a portion of space, b~ state statute, and'he rents office space as the Area Manager for Woodmen of the World Life Insurance Society. A map was presented showing the use of space rented. The insurance company rents 36.4% of space in the building with approximately 62% used by the lodge. The Lodge does qualify in 1994 for tax exempt status for the 62% used by Lodge 6 as outlined in House Bill 1725 and should not have to wait until 1995 to qualify since this organization has been tax exempt for 100 years. ......,. vice-Chairman Mathews requested Assistant County Attorney, Kemp Burpeau, to explain the portion of House Bill 1725 which references the use of the building being available to the general public. e Assistant County Attorney Burpeau reported this portion of the legislation was included to address some modest incidental use where there would be a particular function that may not be directly related to some benevolent acti vi ties. The General Assembly apparently did not want a small percentage of use to defeat the overall tax exemption. Vice-Chairman Mathews inquired as to whether this portion of the legislation applies to the 34.6% referenced by Mr. Lennon? Mr. Lennon stated the 62% used by the lodge and by the public should not jeopardize the non-exempt status. The percentage used by the Life Insurance Company should be taxed. ..... / ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 248 Assistant County Attorney Burpeau reported the use must be determined as to whether it is an on-going type of use or an incidental type of use. He explained that the Attorney General's ruling was based upon the fact that the Woodmen of the World Organization was not specifically listed with the other groups, such as the Knights of pythias, Loyal Order of Moose, or Odd Fellows, etc.; therefore, it was felt that this organization was of pr imary benef it to its members only, even though the Lodge did sponsor many useful and helpful social projects. o Chairman Greer requested an explanation of how the law has been changed for 1995? Tax Administrator Register explained that the Woodmen of the World Organization was referenced in the state statute for 1995, but this organization was not referenced in the state statute for 1994; therefore, the Attorney General ruled this organization did not qualify. Also, it is interesting to hear the lodge being defined as small when there is a membership of 1,100 members. As to the ownership of the building, the Tax Office recognizes the property is owned by the Woodmen of the World Organization. Mr. Lennon, the person representing this organization, is the indi vidual with the vested interest in the insurance company. When the Appraisal Supervisor visited the property and inquired as to the portion of the building being used by the insurance company, the receptionist responded that the entire building is used by the business including the kitchen, bathroom, entrance and access. During the visit, an individual came in to conduct insurance business and that person was carried to the large Assembly Hall to conduct the business. The Tax Office feels the substantial use of the building is for the insurance business five days a week and that a membership of 1,100 people could not meet in a building of this size. By Mr. Lennon's own admission, this lodge has experienced poor participation in the their projects; therefore, this.is.an insurance business operating in a building owned by a non-prOfit organization. o Mr. Lennon responded that the building is not there for the benefit of the insurance company. There are 1,100 members; however, not all meetings are attended by all members at one time. As to. his insurance business in Wilmington, he can rent office space.at any place in town; however, he has chosen to rent space in this building. As to the visit by the Tax Supervisor, the only person in the office was a new employee who may not have understood how the space is used. The Assembly Hall and kitchen are used by the Lodge. Also, decisions rendered by the Attorney General's office are based upon the information presented; therefore, if three people inquire about an item with the presentation of different information, three difference opinions will be rendered. The Commissioners were requested to exempt the Lodge from 1994 taxation. The Lodge is willing to pay taxes for the portion of the building that is rented to the insurance company. This is a charitable organization and should not be discredited. commissioner Caster commented on belonging to churches that have scrupulously avoided any type of business being conducted in the church to avoid any jeopardy of their tax exempt status, and he expressed surprise for the Lodge allowing any business to locate in the building. o Mr. Edward.C. McNair, a member of the Woodmen of the ,World Organization for 55 years, reported until the Lodge purchased the property, no problems were experienced. Also, while visiting the Lodge. frequently, he has never seen more than one or two people conducting insurance business, and this business was not conducted' in the Assembly Hall. As to 1,100 members, this has nothing to do with the tax appeal. The Commissioners were requested to grant the 1994 tax exempt status. ~ e e e ,;;{'i~f~i;J~};l~i ~:}~~:;'!~~::'i"'.i~~.~11}:~!:~,i' ""l ~Ji~I",ij:1t~:q~'~;~};-f ~W, JI3:j.~~'J'J)V~t ~'1 , _. ~"'lf~';~' MINUTES OF REGULAR MEETING, AUGUST '22, 1994 PAGE 249 County Attorney Copley asked if an insurance policy had to be purchased from the Woodmen of the World Life Insurance society in order to become a member of the Lodge? Mr. Lennon explained that every person who purchases a Woodmen of World Life Insurance policy becomes a member of a Woodmen of the World Lodge. The members become active by going to meetings and taking various pledges. There are only three counties in North Carolina that have questioned the legislative issue. When House Bill 1725 was enacted adding Woodmen of the World to the state statute, it would have been no problem for this action to have been retroacti ve to 1994; however, this was not requested in the legislation. Chairman Greer reported after hearing the evidence, it appears that the insurance business does use at least 50% of the space to conduct business including the entrance and access points; therefore, he feels 50% of the property should be taxed for 1994. Motion: Chairman Greer MOVED, SECONDED by commissioner Caster to assess taxes for 1994 on 50% of the property. Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: commissioner sisson BREAK Chairman Greer called a break from 10:18 A.M.until 10:36 A.M. DISCUSSION OF ITEM #10 ON THE CONSENT AGENDA - ALLOCATION OF ADDITIONAL COMMUNITY BASED ALTERNATIVES ICBA) FUNDING FOR YOUTH A~Ncr~ ) Mr. Michael Friend, Treatment Director with the Friends and Outpatient Treatment Center, reported the Friends Center has a program called Project Champ, which is coaching human beings about 'attitudes, motivations, and the purpose of life. The Center works with young adolescents that have become involved in dangerous cults. Unfortunately, there are cults in our area, and this is the only program that provides assistance to young adolescents. He urged the commissioners to consider funding this agency from the additional CBA funds that were received from the state. . , Chairman Greer explained that all programs providing services to the youth are eligible to receive CBA funds; however, funding requests must be submitted and reviewed by the Human Services Allocation Advisory Committee in order to be recommended for f~nding. ..,:' Mr. Friend reported he was aware of this procedure; however, he,would like for the Commissioners to reconsider this decision. , ' No action was taken. ADOPTION OF RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF $5,000,000 SCHOOL BOND ANTICIPATION NOTES ,,' Chairman Greer reported the Board is being requested to adopt a resolution authorizing the issuance and sale of $5,000,000 School "'Bo~d Anticipation Notes. He introduced the resolution and announced he would not read the entire document since the Commissioners were furnished a copy of the resolution in the agenda packet. .~'" '+ Motion: Chairman Greer MOVED, SECONDED by commissioner ~~bpt the bond resolution as introduced and presented. ,flle'MOTION CARRIED AS FOLLOWS: ~i' ". Barone to Upon vote; ..... / / MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 250 voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner sisson A copy of the resolution is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXII, Page 17. ACCEPTANCE OF CELLULAR EQUIPMENT AND AIR TIME FOR DAMAGE ASSESSMENT Director of Inspections, Sky Conklin, reported a project is underway to significantly re-engineer the manner in which the Inspections Department fulfills its public safety responsibilities. By equipping Inspections with very powerful lap top computers connected to the County's main frame by two-way radios, Inspectors will have the data and communication ability to function with very little time spent in the office. In private industry this is called the Mobile Office concept. To test and authenticate this concept, the County has purchased four lap top computers which are being loaded with programs relevant to code enforcement. Dur ing this process , it became apparent to Staff that an immediate and extremely beneficial use of lap top computers would be for damage assessment following a major disaster such as a hurricane. Currently, there is a tedious manual data collection process in the field followed by the time consuming job of filling out four forms per dwelling. with the use of the lap top computer, this manual process for data collection will be eliminated. while the lap top computer is an excellent mechanism for storing data, returning this information to the Emergency Operations Center requires an over-the-air link. Celluiar One, the County's cellular vendor has offered to provide, free of charge, the necessary equipment (cellular phones and data bridges). Also, Cellular One has offered to provide free of charge the air time required to send this data from the field units to the Emergency Operations Center. This offer is valid for the duration of damage assessment and includes the use of equipment and air time necessary for periodic readine'ss testing, Staff recommends acceptance of this offer for free equipment and free air. time during damage assessment. Discussion was held on the use and cost of the equipment after the damage assessment. Director Conklin reported there is no exact dollar figure for the use of the phones following damage assessment. Motion: Vice-Chairman Mathews MOVED, SECONDED by commissioner Caster to accept the offer from Cellular One for use of equipment and air time for the duration of damage assessment after a disaster or hurricane. Upon vote, the MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: commissioner Sisson MEETING CONVENED FROM REGULAR SESSION TO HOLD A REGULAR MEETING OF THE NEW HANOVER COUNTY WATER & SEWER DISTRICT . . Chairman Greer convened from Regular Session at 10:50 A.M. to hold.a meeting of the New Hanover County Water & Sewer District. ,. ... ~, - - . - ~ - Chairman Greer reconvened to Regular Session at 10:58 A.M. . STATUS REPORT ON THE NEW HANOVER COUNTY PARTNERSHIP FOR "CHILDREN Dr. Mark Lanier, Chairman of the New Hanover County Partnership. for Children, expressed appreciation' to' the \. o o o e e e '.":.,,~~,,;"'" ,"",1~1"q):;1;t"~";"~'1",""I:; ~ ^ ~k?L'~$:~~>>Pi;", ~~1\;~Jt.~< ~~..,;, MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 251 commissioners for appointment of Commissioner Caster county Manager, Andrew J. Atkinson, to serve on Partnership Board of Directors. and Deputy the local Dr. Lanier reported Smart Start is a State program that provides funds to develop a local plan to address local needs so that children, ages 0-5, in New Hanover County are healthy and ready to start school. There are over 7,000 children in this age group with over 50% of these children being eligible for Medicaid. The local non-profits and agencies providing services to these children have not failed; however, these agencies are operating at capacity and need new funds to improve the local community by working together to fill in the gaps. Many State funds are very specifically earmarked for services provided to these agencies, and funding from Smart Start will provide the funds necessary for these agencies to work together to provide these needed services. Smart start funds could be used to provide day care to all children, such as the children on the waiting list for day care subsidy. Funds could be used for health care needs, for children with special needs, transportation, or to increase the story hours at the Public Library. Again, Smart Start provides an opportunity locally for us to use our dollars that have been sent to Raleigh for the specific needs of New Hanover County. In 1993, the New Hanover County Partnership for Children developed a core membership of 150 individuals representing over 50 organizations and fostered communication between those members. A Needs Assessment was prepared and was part of the application submitted last year. The application this year will contain a Needs Assessment and an identification of the Partnership's commitment to address these needs. The application will not include specifics about where dollars will be appropriated. After funds have been received, a plan will be developed as to how the funds should be appropriated. The Board of Directors will determine how the funds will be used. The Board of Directors will include a County commissioner, the County Manager or Deputy County Manager, a representative of the local religious community; a representativ~ of a local foundation; directors of the Department of Social Services, Mental Health Agency, Health Department and other agencies involved; the Superintendent of Schools; the President of Cape 'Fear Community college; parents; business leaders; etc. as listed in the enabling legislation. In 1994, the local Partnership for Children formed its Board of Directors, elected off icers and committee chairpersons and established an Advisory Council. This structure will have to be amended to conform with the legislation enacted in 1994 because the G~neral Assembly amerided the act extensively to address the concerns expressed last year. For example, any home-centered services (which are not a part of the plans in most counties that were funded in 1993-94) will require the written, informed consent of the participating parents. Also, protection for private providers from reductions in the subsidized child day care rate was legislated. State funds were received to complete a more thorough assessment of the current and anticipated needs of local families and their children, which was coordinated by the Department of Social Services and the UNC-W Survey Research Laboratory. The Partnership has attended various workshops, and conferences focused 9n building collaborative community partnerships. On August 11, 1994, the application for 1994-95 was received by the Partnership and that information was forwarded immediately to the Board of County Commissioners. , ,~ Through various meetings, public forums, media, and contacts with the County commissioners, Board of Education, Board of 'Health, . ..... ~ / ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 252 Board of Social services and others, the Partnership will solicit broad input into the development of an application for funds for 1994-95. The Partnership will return to the Commissioners on September 6, 1994, with the hopes that all concerns have been addressed about the Smart Start Program. Dr. Lanier expressed appreciation for an opportunity to update the Commissioners on Smart Start and reported he would be glad to answer any questions. commissioner Barone commented on requesting Dr. Lanier to forward a copy of last year's application, and she inquired as to whether a copy had been found? Dr. Lanier responded that a copy of the last year's application will be forwarded to Commissioner Barone. commissioner Barone commented on the many new programs and services that will be funded by Smart Start and expressed concern for these programs being shifted to the County at a future date if the State decides to withdraw its funding. Dr. Lanier explained that he understood this concern; however, a positive point is that the State saw fit to place this funding in the Continuation Budget which means the funding will likely remain at its present level or be increased. The General Assembly and Governor have indicated their strong support of the program and the need to expand funds to the number of counties that are provided Smart Start dollars as well as expand the dollars going to the counties after they have been selected. Vice-Chairman Mathews inquired as to whether the local Board will have any voice in the curriculum of local programs? , Dr. Lanier reported the local Board will have almost complete control over the local plan as long as the activities are included in the intent of the legislation. The menu represents not just day care,. but various types of day care services; various types of health care services; social services, and library services. In essence, those funds can be channeled to any area that would benefit the 0-5 population in New Hanover County. Vice-Chairman Mathews inquired as to the number of members that will appointed to the local Board? Dr. Lanier reported 18-19 members will be appointed to serve 9n,the, local Board of Directors. commissioner Barone expressed concern for creating, another bureaucracy and asked if existing school buildings can be utilized for these programs? Dr. Lanier explained that Smart Start funds are not used for capital projects; therefore, existing facilities will be used for the delivery of services. As to a bureaucracy, this program is quite different from other State programs because in most cases a stand-alone organization has to be established; whereas, with Smart Start the Partnership Board of Directors will decide what elements to include, in the plan, and the funds will be channeled into the existing organizational structures, such as the Health Department, the Department of Social Services, the New Hanover county School System, etc. There is a cap on the amount of funds that can be used for administrative overhead. commissioner Barone inquired as to the'amount ,of the cap? Dr. Lanier reported the cap is either $100,000 or a percentage figure. ,,- \. o o o y..... ",",':fl";"'" "'~N."w "11"'1'. ,-,....".. ..,~"" ..... .' ,."; ,,!"1i..'''~1'i,~'~', It,l,~";i, 'f' ,,~_ > . '" ~~"I.ii"~" \ .. MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 253 commissioner Caster asked the following 'questions: 1. How was the group that met last week appointed? e Dr, Lanier explained that this was the initial volunteer group that was interested in children and their families. Periodic meetings were held to discuss the needs of children in New Hanover County and the types of needs that could be addressed with the type of funds that were being discussed in the General Assembly. Anyone attending these meetings became a member of the New Hanover County Partnership for Children. In January 1994, it was decided an organizational structure was needed to assume responsibility for calling the meetings and associated duties. Officers were' elected and committee chairpersons were appointed. 2. How was the Advisory Council appointed? Dr. Lanier reported these individuals were selected by recommendations from the membership and subsequent phone calls to persons willing to volunteer to serve. The Partnership Board of Directors and Advisory Council have met only one time because it was not known what changes would be made by the General Assembly during the Short Session. If the Partnership is fortunate enough to gain support from the Board of County Commissioners, submit an application and receive funding, the Board of Directors will have a year to develop a local plan for New Hanover County. 3. Did the Partnership receive funding in the amount of $15,000? If so, how was this money used? e Dr. Lanier reported the N. C. Department of Human Resources provided grant funds to county partnerships that applied for Smart Start and these funds were used to develop a Needs and Resources Assessment. The.; local Partnership submitted an application and received $15,515, and has not requested an allocation from the State; however, $7,500 of this amount was accounted for through the Cape Fear community Foundation. Only $3,000 has been expended of the $7,500, which was used to compile the Needs and Resources Assessment, Phase II. 4. will Smart Start presentations be made to the Board of Health and the schools? Dr. Lanier reported he will a'ppear before the Board of Health after Mr. John Coble has determined the best way to present the program. As to the schools, he is in the process of 'making this inquiry. 5. Has a Needs and Resources Assessment been prepared and published? Dr. Lanier reported a Needs and Resources Assessment has been prepared in a draft form. He offered to forward a copy to the Board of County Commissioners. 'e 6. Commissioner Caster commented on Page 3 of the application and riquested an explanation of seed money in this paragraph. Dr. Lanier reported the seed money will be used to find ways to better integrate services among the various agencies. 7. Were the local hospitals or the Board of Health asked to participate in the performance of the Needs and Resources Assessment? Dr. Lanier reported the Needs and Resources Assessment required surveys of several different groups including the directors from all the health care agencies. Therefore, the ~ / ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 ., PAGE 254, Health Director should have been included in the assessment. As to the hospital, he is not sure. 8. Who will appoint the remaining members to the local Board of Directors? Dr. Lanier reported the Partnership would welcome input from the Commissioners in the designated ex-officio (voting) representatives, such as religious leaders, family representatives, and others. The Partnership Board will have recommendations of people currently serving on the Board in some of the categories. 9. Who will appoint the business representatives? Dr. Lanier reported this will depend on the sequence of events. The new Chairman of the Board of Directors will probably make those appointments. This is an excellent question, and the answer is not clearly defined in the legislation. The initially appointed designated members, such as a County Commissioner, County Manager and/or his designee, Director of Health Department, Director of the Department of Social Services, etc., should be responsible for appointing the members of the local Board who are not appointed. 10. How will the salary increase for day care affect the cost of day care, and what impact working people who do not receive apy assistance? center employees will this have on type of public , Dr. Lanier reported the average salary for a full-time early childhood teacher in New Hanover County is $5.07 per hour, which is below the State wage of $5.64 per hour. The Smart Start Program will not mandate an increase in the hourly rate. If the local board should decide that day care providers needed assistance with training, this would be a way to address two issues: (1) improve the qualify of day care without increasing the salary rate directly; however, this may help the providers to move up within the day care career ladder and obtain better positions; and (2) if the waiting list for subsidized day care was eliminated, then each provider receiving SUbsidized day care would be in a position to.pay more to their workers and not be forced to charge any more to full paying parents. 11. What are in-home services? . . Dr. Lanier reported home-centered services are visits to the home to teach a mother about nutrition, provide literacy training to the mother, or teach the mother how to help tre child with education when entering school. Any services performed at the home are in-home services. Chairman Greer commented on the signature portion of the application which reads as follows: "My signature below indicates that I am committed to fulfilling the responsibilities summarized above and described in the. Smart Start request for application..." and expressed concern for signing a document when only one meeting has been held and all the members of the restructured local Board have not been appointed. .' Dr. Lanier reported the deadline for submission of the application is September 8, 1994. At a training conference, this matter was discussed and it was understood by the State Board that all members will not be appointed to the local boards by this date; therefore, signatures will be obtained from persons already appointed. .... . " . County application Manager O'Neal reported the 'difference in this and other grant applications is that most applications \. o o o .e e e "'\~~'if:;F' ~ 'f~,;~.i:~~,,'t{,. ;~,:'L 1.l.'1",r':' ~.\.%' MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 255 are for a pre-determined project or program and the grant funds awarded are used for that specific purpose. The 'Smart Start application will allow New Hanover County to become. eligible to receive funds with the local partnership board determining the use of funds as to local needs. Chairman Greer reported this is not what is written on the application. If he had been the County Commissioner appointed to serve on this local board, he would have a diff~cult time signing a document stating he is fully committed to the program without having any prior involvement in the program. Dr. Lanier reported, in a sense, the person executing the application is committing to a concept, not a specific plan as to how the funds will be used. Chairman Greer reported Smart Start was presented to the Board of County Commissioners last year and was not successful; however, the legislation has changed. The Commissioners are now being requested to support the local program, and in his opinion, it may have been better if the Board had not been asked to reconsider this request with the unsuccessful attempt made last year. Dr. Lanier reported the Partnership Board very much desires the support of the Board of County Commissioners and will accept the decision rendered. Commissioner Barone inquired as to whether a completed application will be received by the September 6, 1994 meeting? County Manager O'Neal reported this agenda for September 6,1994, and Dr. information as soon as possible. item will be placed on the Lanier will forward the Ms. Sarah Norris, the owner and director of Total Child Care, stressed the importance of seeing a situation instead of reading about it. She invited the Commissioners to reserve a half day to visit her facility as well as other day care centers throughout the county. She stated after visiting a few child day care centers, she feels the Commissioners would gain insight as to what is h?ppening with day care and the children in New Hanover County. 'Chairman Greer expressed appreciation for the invitation. Dr. Lanier announced a public forum will be held on August 25, 1994, at 7:00 P.M. in Cameron Hall Auditorium, Room 105, at the University of North Carolina at wilmington, for a review of the Needs and Resources Assessment and to obtain community input into the application process. The Commissioners were invited to attend. ~ .; Chairman Greer expressed appreciation to Dr. Lanier for the presentation. BREAK Chairman Greer called a break from 11:40 A.M. until 11:45 A.M. TAX APPEAL FOR COVENANT CHURCH Tax Administrator" Roland Register, reported the Covenant Church purchased the property in 1987 and failed to file for an application of exemption until October 17, 1990. North Carolina General Statutes allow the Board of County Commissioners to approve the delinquent application in the year the untimely application was filed. There are no legal provisions to exempt the years prior to the year of application. The church was notified on October 26, 1990 that 1988 and 1989 taxes remain valid. After discussion with the Legal Department, there is no legal basis to offer relief of either tax or interest for the petitioner'S failure to file a timely claim for the exemption. The Tax Department and Legal Department feel the 1988 and 1989 taxes should remain valid in order to comply with North Carolina Tax Law. ... / ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 256 Chairman Greer asked if the appellant would like to comment. The following remarks were received: Mr. Thomas C. Goolsby, the attorney representing the Covenant Church, apologized for being late due to a hearing in Federal Court and presented the following chronological background on the tax appeal for the Covenant Church. In October 1987, the Covenant Church purchased the church from the Born Again Baptist Church. On March 9, 1989, the Covenant Church received a letter from the Tax Administrator about past due taxes for 1988, in the amount of $1,360.23. On October 17, 1990, Reverend Finley, the pastor at that time, submitted an application for the property tax exemption. The application was later accepted by the Tax Office and the church received a property tax exemption. At this time, Reverend Finley requested forgiveness of the back tax assessment. On October 26, 1990, the Tax Administrator denied the exemption on back taxes citing N.C.G.S. 10S-282.1(b) and informed Reverend Finley he could seek an appeal. On November 21, 1990, Reverend Finley appealed the ruling and nothing was heard from the case until February 9, 1993, when the Tax Administrator forwarded a letter in response, three years later, to Reverend Finley's request stating it was unfortunate the letter had been misplaced and that the attorney was prepared to take action on the case. Attorney Goolsby reported the property has for many years been used as a church and exempt from property tax before the property was purchased by the Covenant Church. It was not listed at that time, and once it was discovered, the taxpayer asked for an appeal under N.C.G.S. 10S-282.1(c). The Tax Office is dealing with subsection (b) instead of Subsection (c) which reads as follows: "When an owner of property that may be eligible for an exemption or exclusion neither lists the property nor files an application for an exemption or exclusion, the assessor as appropriate shall proceed to discover the property. If upon appeal, the owner demonstrates that the property meets the conditions for exemption or exclusion, the body hearing the appeal may approve the exclusion or exemption." Attorney Goolsby reported property is automatically listed by New Hanover County; therefore, since the law does not address this matter, he would, argue the onerous is not on the property owner since the County performs the listing. This law, Subsection (c) has been established to allow the owner of the property (in this case the Covenant Church) to appeal to the Board of County Commissioners for failing to properly li~t or file for a tax exemption. Also, this law allows the Board of County Commissioners to forgive the back taxes and grant the property tax exemption to the Covenant Church. The law does not require punishment of a tax exempt church for a technical violation. The spirit of the law is not to tax churches. The Commissioners were requested to consider the tax appeal, grant a property tax exemption to the Convent Church, and forgive back taxes as allowed under Subsection(c). Tax Administrator Register reported after purchase of the property in 1987, the owners failed to file an application for exemption until October 17, 1990. Statutes allow the Board of County Commissioners to approve the delinquent application "in the vear the untimelY application is filed." . The church was approached several times about payment, of back taxes and the exemption; however, no response was received from Reverend Finley. A tax bill and'delinquent tax bill were maiTed to the church iri'1988 and Reverend Finley ignoreg the notic,es, 'and did not respond. In 1989, the attorney contacted Reverend Finley to notify him that legal action would be taken,' and,' 'again,' no resp.onse was, received. After' the Tax Office decided to move forward ,with'collection'of the unpaid taxes, 'the 'church filed an application' on October 17, 1990. In 1987, the'Gerieral Assembly "- o o o e e e ,.,""_....,..,. "".~~wt':'.'^. . .'1 ""II ~'i!U1~;I.~~".,'1. ~~,,;i<.llff MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 257 revised N.C.G.S. 105-282.1. The intent of this revision was to provide a window that would allow an individual a year to make a delinquent application with authorization for the Board of County Commissioners to rule on the application of taxes for that particular year. After review by the Legal Department and Tax Department, it is felt the Board has no legal provision to exempt the property retroactively, and the Machinery Act does not have a provision to forgive interest. commissioner Barone requested an explanation of Subsection C. Assistant County Attorney, Kemp Burpeau, reported the 1987 amendment did add the window of time; however, this was added after Subsection C as referenced by Attorney Goolsby. The Commissioners could have a potential liability if an exemption is granted. Mr. Goolsby reported the change occurred in Subsection A without a change in Subsection C; therefore, this section continues to stand on its own. In New Hanover County, property is automatically listed. Subsection C deals with the owner being required to list the property, which is not the case in this situation. The owner did not list the property and is seeking an exclusion. In his opinion, Subsection C does apply in this case, and the commissioners should apply the law. commissioner Caster inquired as to when Subsection C was enacted by the legislature? Attorney Goolsby reported this law has been on the books for many years. Tax Administrator Register reported Attorney Goolsby is referring to a discovery. In this case, there is no discovery. In prior court cases, it has been determined that a county has a right to expect taxes based on the value of property when the application or listing is made. It would be unfair to a county to have an open-ended situation where the county would expect to collect taxes on basic values in the files, and then allow individuals to file for exceptions, which would result in a loss of expected revenue for the county's budget. Attorney Goolsby emphasized the fact that the property was not listed by the taxpayer but by New Hanover County. The County accepted the tax exemption for the Covenant Church in 1990; therefore, the commissioners are being asked to accept the tax exemption for the previous years for property which has always been tax exempt. Discussion was held on the General Statutes not providing a Yegal means to offer relief of the taxes or interest in this case.' Chairman Greer and Commissioner Caster expressed regret for not being able to provide some form of relief, but also emphasized the :fact that the commissioners must comply to the law or they could be personally liable. ;,; ~ \ . . Ms. Bonnie Pack, a member of the Covenant Church, commented on th~ church being very small and stated a member of the church keeps the books and records. The er-ror was an honest mistake, and the amount of taxes due is $1,000 more than the present balance of the church'S checking account. " Reverend Jeff Kennedy, Pastor of the Covenant Church, commented on the appeal submitted by Reverend Finley, which was misplaced by the Tax Office, and inquired as to why the church .should pay interest for three years when the Tax Office did not -properly respond to the appeal. The property is tax exempt, and in 'nl's opinion the Woodmen of the World, Inc. pleaded a ,case of ~ex~mp~ion and some relief was granted to this organization. How ,cari,. the County commissioners charge a property tax on property "'owned by the church. He requested the Commissioners to provide s~~e type of relief under .Subsection C as presented by Attorney Goolsby. ... ( MINUTES OF REGULAR MEETING, AUGUST 22, 1994 . PAGE .258 County Attorney Copley reported the Commissioners the Collector of Revenue to work out a payment plan. for to assist with payment of the delinquent taxes. can direct the church Chairman Greer reported he would be in favor of requesting the Tax Collector to work out a plan and stated the members of the church must realize that by law, the County Commissioners cannot provide relief in this situation. Speaking for himself, he cannot and will not break the law. o Motion: Chairman Greer MOVED, SECONDED by Commissioner Caster to deny the appeal and uphold the recommendation of the Tax Administrator. The Collector of Revenue was requested to work out a payment plan with the Covenant Church for payment of the back taxes and interest. Upon vote, the MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Caster Vice-Chairman Mathews Chairman Greer Voting Nay: Commissioner Barone Absent: Commissioner Sisson COMMITTEE APPOINTMENTS Reappointment of Mr. Russell B. Long, Sr. and Mr. Harry Dorsey to Serve on the New Hanover County Board of Examiners of Electricians Chairman Greer reported two vacancies exist on the Board of Examiners of Electricians and no new applications have been received; however, Mr. Russell B. Long, Sr. and Mr. Harry Dorsey desire to be reappointed to serve another term. Motion: Chairman Greer MOVED, SECONDED by Commissioner Caster to reappoint Mr. Russell B. Long, Sr. and Mr. Harry Dorsey to serve two-year terms on the Board of Examiners of Electricians with the terms expiring September 2, 1996. Upon vote, the MOTION CARRIED AS FOLLOWS: o Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner Sisson Appointment of Ms. carolyn I. Lyons to Serve on the wilmington/New Hanover county Insurance Advisory Committee Chairman Greer reported one vacancy needs to be filled on the Insurance Advisory Committee. Only one application has been received in the name of Carolyn I. Lyons. Motion: Commissioner Caster MOVED, SECONDED by Vice-Chairman Mathews to appoint Ms. Carolyn I. Lyons to serve on the Wilmington/New Hanover County Insurance Advisory Committee for a three-year term to expire June 8, 1997. Upon vote, the MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer o 'Absent: commissioner Sisson Appointment to Library Advisory Board Chairman Greer reported four vacancies exist on the Library Advisory Board and six applications have been received. Two of the applicants, David Carnell and Joan A. Harrison, are eligible for reappointment and desire to be 'reappointed. \. ~~ ~ ~y~" '':'>'.ok:' MINUTES OF -REGULAR MEETING, AUGUST 22, 1994 PAGE 259 Motion: commissioner Caster MOVED, SECONDED by Vice-Chairman Mathews to reappoint Mr. David Carnell and Ms. Joan A. Harrison, to serve three-year terms on the Library Advisory Board with the terms to expire August 31, 1997. Upon vote, the MOTION CARRIED AS FOLLOWS: e voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: commissioner Sisson Chairman Greer opened the floor to receive nominations for the two remaining vacancies: commissioner Caster nominated Frank S. Conlon. Vice-Chairman Mathews seconded the nomination. Vote: Upon vote, the MOTION CARRIED AS FOLLOWS to appoint Frank S. Conlon to serve a three-year term on the Library Advisory Board. The term will expire August 31, 1997. Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner Sisson Vice-Chairman Mathews nominated Dorothy Manning. Commissioner Barone seconded the nomination. e Vote: Upon vote, the MOTION CARRIED AS FOLLOWS to appoint Dorothy Manning to serve a three-year term on the Library Advisory Board. The term will expire August 31, 1997. Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner Sisson APPOINTMENTS TO THE NEW HANOVER COUNTY CRIMINAL JUSTICE PARTNERSHIP ADVISORY BOARD County Manager O'Neal reported during the Short Session of the N. C. General Assembly, the State and County Criminal Justice Partnership Act was funded for the purpose of creating local advisory boards to develop community-based solutions to problems of rehabili tation and punishment for criminal offenders. The goals of the local Advisory Board are to develop programs that will reduce the number of probation revocations, reduce alcohol and drug dependency among offenders, and reduce the cost of incarceration now being paid by counties and the State of North Carolina. I' 'e As outlined in the legislation in the agenda packet, the Advisory Board must be composed of at least 10 members and no more t~an 20 composed of representatives from the various categories. let _, In order to move forward with preparing the grant application, -th~ commissioners ar8 being requested to make the following initial a~pointments with all appointments being made by September 6, 1994: " County Commissioner Andrew J. Atkinson, Deputy County Manager Ernest B. Fullwood, Senior Resident Judge Designee appointed by Judge Goodson of the District Jerry Spivey, District Attorney captain Steve smith, Sheriff's Department Court . 0 ... / ( MINUTES ,OF REGULAR MEETING, AUGUST 22, 1994.. ,PAGE ,,260 Major Ricky simpson, city of Wilmington Police Department Susan Hanson, Mental Health Betty Creech, Public Health Mary Kelly, Substance Abuse Chairman Greer inquired as would like to volunteer to Partnership Advisory Board. to whether a member of the Board serve on the Criminal Justice commissioner Barone volunteered to serve on the Advisory Board. o Motion: Chairman Greer MOVED, SECONDED by Commissioner Caster to appoint the following persons to serve on the Criminal Justice Partnership Advisory Board: commissioner Sandra Barone Andrew J. Atkinson, Deputy County Manager Ernest B. Fullwood, Senior Resident Judge of Superior Court Designee appointed by Judge Goodson of the District Court Jerry Spivey, District Attorney Captain Steve Smith, Sheriff's Designee Major Ricky Simpson, City of Wilmington Police Department Susan Hanson, Mental Health Betty Creech, Health Department Mary Kelly, Substance Abuse Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: Commissioner Sisson o SECOND READING OF THE GREASE REMOVAL ORDINANCE, CHAPTER 15, ARTICLE II, WASTE WATER COLLECTION AND TREATMENT, SECTION 15-43 OF THE NEW HANOVER COUNTY CODE Chairman Greer reported the first reading of the Grease Removal Ordinance was held during a Regular Meeting of the Water and Sewer District on August 8, 1994, and was not unanimously adopted; therefore, a second reading is required before final adoption of the ordinance. Also, since this ordinance is part of the County Code, the ordinance must be adopted by the New Hanover County Board of Commissioners. Chairman Greer explained that the ordinance is comprised of two major components: (1) the user will be allowed up to 90 days for removal of grease in lieu of 30 days; and (2) the user will be required to maintain written records of grease trap maintenance for two years. The user shall send a copy of the invoice for grease trap cleaning (or similar suitable records) each time the trap is cleaned to the County Engineer or his designee. commissioner Barone inquired as to how the public will be notified about the new ordinance? County Engineer, Wyatt Blanchard, reported staff has been working with restaurants in the County and will contact each restaurant individually if the ordinance is adopted. Also, a copy of the ordinance will be mailed to the restaurants. .. o commissioner Caster inquired as to the possibility of requiring the haulers to keep the records, which would reduce the amount of paperwork? County Engineer Blanchard responded that the records could be maintained by the haulers. ~ "'.~ """"Ill .::~~'~ "\.;"1;.'; MINUTES OF REGULAR MEETING, AUGUST 22, 1994 PAGE 261 commissioner Barone expressed concern to keep records and stated, in her responsibility of the restaurateur. for requiring the hauler opinion, this is the chairman Greer commented on the ordinance being beneficial, but stated until New Hanover County has a way to dispose of the grease, he cannot support the proposed ordinance. e commissioner Barone inquired as to whether staff has moved forward with trying to work out an agreement with the City of Wilmington for disposal of grease? County Engineer Blanchard reported staff is waiting to receive more information from McKim & Creedon the possibility of using one of the city's digesters. Once this information is received, hopefully an arrangement can be worked out with the city. Assistant County Manager, Dave Weaver, reported the solution to grease disposal is to carry the grease to Duplin County for disposal by McGill Inc. This will cost the restaurateur 75% more in fees; however, the gO-day period in lieu of 30 days will help to alleviate the additional cost. Currently, the haulers are still able to carry the grease outside the County for a land applied use. Discussion was held on the restaurateurs having to pay the additional cost for carrying the grease to Duplin County. Assistant County Manager Weaver explained that the cost projected is inclusive of transportation fees. A tanker truck will be stationed in the County with the haulers pumping out the grease traps and carrying the grease to the tanker. The County will then contract with a company to carry the grease to Duplin County. e Motion: After discussion, Commissioner Barone MOVED, SECONDED by Vice-Chairman Mathews to adopt t~e ordinance as presented. The floor was opened for discussion. Commissioner Caster inquired as to whether staff should check into the haulers maintaining the records to reduce the paper work. Chairman Greer responded that, in his opinion, this is the responsibility of the restaurants, not the haulers. He, again, expressed concern for adopting an ordinance without the County being able to dispose of the grease. Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Voting Nay: Chairman Greer Absent: Commissioner Sisson ~ A copy of the ordinance is hereby incorporated as a part of t~~ minutes and is contained in Exhibit Book XXII, Page 17. , Ie CONSIDERATION OF REQUEST FROM THE NEIGHBORHOOD-BASED FAMILY RESOURCE CENTER " Chairman Greer reported the Bottom Community Organization has requested the County Commissioners to endorse the filing of a grant application in the amount of $75,000 to the N. C. Department of ~-Humah Resources to fund a Family Resource Center. The Center will b~Wiocated in the old Tiffany's Lounge at the corner of 11th and orange Streets. No county funds will be required. l'''' t\ , County Manager O'Neal reported after discussion with the city ,Manager, the community has worked together and deve'loped the Bottom cb~unity Organization to help address crime problems in their ~:' ~." ....Ill I .~I~U~ES OF REGULAR MEETING, AUGUST 22, 1994 _ . PAGE .2,62, neighborhood. Award of grant funds will be very beneficial in helping this community to move forward with their efforts. Motion: Commissioner Barone MOVED, SECONDED by Vice-Chairman Mathews to authorize the Chairman to write a letter of endorsement for the grant application being submitted by the Bottom Community Organization, contingent upon the Cou~ty not being asked for funds at a later date. Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chatrman Greer o Absent: commissioner Sisson CONSIDERATION OF REQUEST FOR TWO DARE POSITIONS FOR THE MIDDLE SCHOOLS AND APPROVAL OF BUDGET AMENDMENT #95-0032 County Manager O'Neal reported the New Hanover County Schools have requested the Sheriff to provide two (2) DARE positions for the middle schools. The schools have stipulated that if the Sheriff's Department will cover the cost of two deputies for the 1994-95 school year, the School System will pick up the cost beginning with the 1995-96 school year. The expense involved with clothing and equipment for each officer is $30,037.80 and funding will come from federal forfeited property revenues. County Manager O'Neal stressed the importance of realizing that federal forfeiture funds cannpt be depended upon as a continuing source of revenue for funding these positions. The school system will pay for these positions next year; however, the funds used to pay for these positions will come from the County's appropriation to the schools, not from State funds. The positions are needed and the request should be approved, but the Commissioners should be aware of the funding source. o Motion: Vice-Chairman Mathews MOVED, SECONDED by Chairman Greer to approve the two (2) DARE positions for the middle schools for one year and approve following Budget Amendment: Budget Amendment 95-003? ,- Sheriff's Department Debit Credit Sheriff's Dept./Federal Forfeited Property Federal Forfeited Property $60,076 Sheriff's Dept./Administration Salaries FICA Retirement Medical Insurance 401K Uniforms $43,838 3,354 2,166 4,758 2,192 3,768 Upon vote, the MOTION CARRIED AS FOLLOWS: voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews C)lairman Greer o Absent: commissioner Sisson ADDITIONAL ITEMS - COUNTY COMMISSIONERS Adoption of Resolution to Declare August 30 and August 31, 1994 as "ADOPT-A-SEAT AT KENAN AUDITORIUM WEEK" in New Hanover county Motion: After reading of the resolution by Chairman Greer, Vice- Chairman Mathews MOVED, SECONDED by Commissioner Caster to adopt l e ;e 1- "II1II ~<t.II~~ " ; I I.; 'MINUTES OF REGULAR MEETING, AUGUSTe 22, 1994. PAGE 263 the resolution of support and declare the dates of August 30 and August 31, 1994, as "ADOPT-A-SEAT AT KENAN AUDITORIUM WEEK" in New Hanover County. Upon vote, the MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer Absent: commissioner Sisson A copy of the resolution is hereby incorporated as a part of the minutes and is contained in Exhibit Book XXII, Page 17. ADOPTION OF RESOLUTION ENDORSING THE SOUTHERN ALTERNATIVE OF THE US 17 WILMINGTON BYPASS Commissioner Barone reported that city Councilman, Mike Youngblood, a member of the Transportation Advisory committee, introduced a resolution requesting the city Council to endorse the Southern Alternative of the northern outer loop (the US 17 Wilmington Bypass). The city Council adopted the resolution, and she would like for the commissioners to consider adopting a similar resolution, as presented and proposed, in support of this alternative. Chairman Greer inquired as to the number of communities that will be affected by this route? .u.' County Manager O'Neal reported there will be approximately six homes affected with a very limited disturbance by the proposed r.9..ute. Commissioner Barone reported the N. C. Department of Transportation hired a consultant to meet with the homeowners in the areas that would be affected, and it was determined that the proposed route would have the least impact on the environment, the re~st impact on homes or businesses, and would be less costly than other routes. . ..t:' After discussion, it was the consensus of the Board to County Manager to place this item on agenda for 1994, with a map and presentation by the Planning Consensus: request the September 6, Director. EXECUTIVE SESSION County Attorney Copley requested the Executive Session to discuss a personnel 'litigation. Board to convene to matter and pending Motion: Caster to vote, the Vice-Chairman Mathews MOVED, SECONDED by Commissioner convene from Regular Session to Executive Session. Upon MOTION CARRIED AS FOLLOWS: Voting Aye: Commissioner Barone Commissioner Caster vice-Chairman Mathews Chairman Greer ,1 Absent: commissioner Sisson Chairman Greer convened from Regular Session to Executive Session at 12:43 P.M. Motion: Vice-Chairman Mathews MOVED, SECONDED by Commissioner Caster to reconvene to Regular Session. Upon vote, the MOTION CARRIED AS FOLLOWS: ~ / !I!,!:lU,T~!l,~ OF REGULAR MEETING, .l\UGUf!TI~2 2, 1994"" Voting Aye: Commissioner Barone Commissioner Caster Vice-Chairman Mathews Chairman Greer , 'PAGE\,2'6~4\'J , , Absent: commissioner sisson ADJOURNMENT Chairman Greer adjourned the meeting at 2:05 P.M. Respectfully submitted, ~~~~ Clerk to the Board .. , , jl>~ .... 'IIi".'" , . o ~p o o