1996-05-20 Regular Meeting
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 380
ASSEMBLY
The New Hanover County Board of Commissioners met in Regular
Session on Monday, May 20, 1996, 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; William E. Sisson, Jr.; 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.
Chairman Greer called the meeting to order and welcomed
everyone present.
INVOCATION AND PLEDGE OF ALLEGIANCE TO THE FLAG
Reverend W.M. Wooten, Pastor of First Pentecostal Holiness
Church, gave the invocation.
Vice-Chairman Mathews led the audience in the Pledge of
Allegiance to the Flag.
NON-AGENDA ITEMS
Chairman Greer announced that three minutes had been reserved
to allow anyone from the public to introduce an item not listed on
the Regular Agenda or comment on an item listed on the Consent
Agenda. He asked if anyone present would like to speak, and he
requested all persons to limit their remarks to three minutes.
No items or comments were presented.
APPROVAL OF CONSENT AGENDA
Commissioner Barone commented on Consent Agenda Item #12 and
requested an explanation of how the property at 11th and Rankin
Streets would be conveyed to Wilmington Housing Finance and
Development, Inc.
County Manager O'Neal advised that New Hanover County would
convey the property to Wilmington Housing Finance and Development,
Inc., who in turn will work with first-time buyers of lower income
families to obtain financing through local banks for the purchase
of a home. This type of arrangement provides housing to lower
income families as well as places the property back on the tax
rolls.
Commissioner Caster commented on Consent Agenda Item #16 and
inquired as to whether the revised By-Laws had been approved by the
New Hanover County Board of Fire Commissioners.
Commissioner Sisson, the Board's representative on the Fire
Commission, responded that the revised By-Laws had received a
unanimous vote by the Board of Fire Commissioners.
Motion: Commissioner Caster MOVED, SECONDED by Commissioner Sisson
to approve the items on the Consent Agenda as presented. Upon
vote, the MOTION CARRIED UNANIMOUSLY.
CONSENT AGENDA
Approval of Minutes
The Commissioners approved the minutes of the Special Meeting
held with Wilmington City Council on May 3, 1996, as presented by
the Clerk to the Board.
Adoption of Resolution Relative to Funding Travel Activities of
Athletic, Cultural and Social Organizations
The Commissioners adopted a resolution prohibiting the use of
public monies to fund travel activities of any athletic, cultural
or social organization.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 381
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 17.
Adoption of Resolution Approving the Sale of Surplus Radar Units to
West Chatham Warning Devices
The Commissioners adopted a resolution approving the sale of
four (4) surplus radar units in the amount of $700 to West Chatham
Warning Devices pursuant to N.C.G.S. 160A-267. The radar units
have been owned by the Sheriff's Department for at least ten years
and have become inoperable.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 17.
Authorization to File the FY 1996-97 Criminal Justice Partnership
Program Grant Application
The Commissioners approved the filing of a grant application
for the 1996-97 Criminal Justice Partnership Program in the amount
of $155,836 and authorized acceptance of the grant award by the
authorizing official, Deputy County Manager, Andrew J. Atkinson.
No County match is required.
Approval of Filing HIV/STD Prevention Project Grant Application and
Authorization for Acceptance of Grant if Awarded
The Commissioners approved the filing of the HIV/STD
Prevention Project grant application in the amount of $50,000 and
authorized acceptance of the grant, if awarded. No County match is
required, and approximately 50% of the program will concentrate on
individualized HIV prevention case-management by providing enhanced
education and counseling for specific populations outlined in the
proposal.
Approval of Contract Agreement #96-0418 Between Cape Fear Museum
Associates, Inc. and New Hanover County Regarding Revenue-Sharing
and Audit Requirements
The Commissioners approved an agreement between Cape Fear
Museum Associates, Inc. and New Hanover County regarding revenue-
sharing and audit requirements. The agreement has been in
existence since 1992 and calls for Cape Fear Museum Associates,
Inc. to be audited every two years. This allows Cape Fear
Associates, Inc. to recoup one-third of the admission fees and one-
sixth of the program fees collected by the County. In exchange,
employees who manage programming and volunteer recruitment and
placement for the museum are provided by Cape Fear Museum
Associates, Inc. This agreement has been beneficial to both the
Museum and the County.
A copy of the agreement is on file in the Legal Department.
Adoption of Resolution Directing the Tax Assessor and Tax Collector
Not to Bill or Collect Tax Accounts in the Amount of One Dollar or
Less
The Commissioners adopted a resolution directing the Tax
Assessor and Tax Collector not to bill or collect tax accounts in
the amount of one dollar or less as outlined in N.C.G.S. 105-
321(f). These taxes will not be collectible and will not be a lien
on the taxpayer's real property. The County will save
approximately $600 annually by not billing these tax accounts.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 17.
Tax Appeal for Release of 1995 Late Listing Penalty for CTI of
North Carolina, Inc.
The Commissioners denied the tax appeal submitted by CTI of
North Carolina, Inc. and upheld the 1995 late listing penalty as
recommended by the Tax Collector in order to provide for
uniformity.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 382
Acceptance of Tax Collection Reports through April 30, 1996
The Commissioners accepted the following Tax Collection
reports through April 30, 1996, as submitted by the Collector of
Revenue:
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 XXIII, Page 17.
Release of Values - Tax Department
The Commissioners released certification penalties for the
following taxpayers since this was their first offense:
Braxton, James Roy Jr.$100
Russ, Sara Holland$100
Zoubek, Robert Alan$100
The Commissioners approved the delinquent application for
exemption from property tax for the following organization. Upon
request, the application and letter explaining the late filing are
available in the Tax Department.
Wilmington/New Hanover County RO4805-021-001-000
Development Corporation
Adoption of Ordinance Rescinding the Current Customer Service
Standards and Accepting the Newly Updated Time Warner Cable
Customer Standards
The Commissioners adopted an ordinance rescinding the current
customer service standards and accepting the newly updated Time
Warner Cable customer standards. These standards incorporated the
current operating environments for cable telecommunication
providers. Consumer protection remains among the single most
important role for local government during the ensuing competitive
era.
A copy of the ordinance is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 17.
Conveyance of Vacant Tract to Wilmington Housing Finance and
Development, Inc. Without Compensation, Pursuant to N.C.G.S.Section
160A-274
The Commissioners approved the conveyance of Tax Parcel
#RO4814-012-014-000 to Wilmington Housing and Finance Development,
Inc. without compensation pursuant to N.C.G.S. Section 160A-274.
The parcel is located at 11th and Rankin Streets across from the
Old James Walker Hospital. Wilmington Housing and Finance
Development, Inc. will locate a home on the tract for a first-time
buyer with a modest income.
A copy of the order conveying the property is on file in the
Legal Department.
Adoption of a Resolution to Add a Road to the State Highway System
The Commissioners adopted a resolution adding the following
road to the State Highway System:
Maypop Court in River Oaks Subdivision
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 17.
Approval of New Civil Engineer Position - Engineering Department
The Commissioners approved a new Civil Engineer position for
the Engineering Department and authorized the County Engineer to
proceed with advertising the position so the job can be filled by
early July. This position will greatly assist the Engineering
Department in expediting projects which are now being delayed
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 383
because of heavy workloads due to continued development activities
in the County.
Approval of Consolidated Contract Between the North Carolina
Department of Environment, Health, and Natural Resources and the
New Hanover County Health Department
The Commissioners approved a contract between the North
Carolina Department of Environment, Health, and Natural Resources
and the New Hanover County Health Department. The contract sets
forth the terms and conditions applicable for public health
activities provided through the Health Department for which the
department receives state funding. The amount of funding for FY
1996-97 is $2,249,199 with $1,548,694 through State Grants and
$701,225 through Title XIX Medicaid earnings.
Approval of Revised By-Laws for the New Hanover County Board of
Fire Commissioners
The Commissioners approved the revised by-laws of the New
Hanover County Board of Fire Commissioners.
A copy of the by-laws are on file in the Clerk's office.
Approval of Budget Amendment #96-0202 - CBA Agencies
The Commissioners approved the following Budget Amendment:
#96-0202 Additional State CBA Grant Funding
CBA AgenciesDebitCredit
CBA Grants $500
Non-Secure Detention Program $500
Purpose:To budget additional State CBA grant funding for the Non-
Secure Detention Program.
Approval of Budget Amendment #96-0208 - Department of Aging
The Commissioners approved the following Budget Amendment:
#96-0208 Aging
DebitCredit
Aging/Senior Center
Title III-F Health Grant $5,160
Aging/Senior Center
Title III-F Grant Expenses$5,160
Purpose:To reduce budget to actual amount of Title III-F Health
Grant funds available for FY 1995/96 to the Department of Aging.
ACTION DEFERRED ON THE INTERLOCAL AGREEMENT RELATING TO THE SUMMER
TRADITIONS PROGRAM BETWEEN THE CITY OF WILMINGTON, NEW HANOVER
COUNTY, AND THE NEW HANOVER COUNTY COOPERATIVE EXTENSION SERVICE
County Manager O'Neal presented an interlocal agreement for
the Summer Traditions Program between the City of Wilmington, New
Hanover County, and the New Hanover County Cooperative Extension
Service for the operation of a summer day program for school age
children, including children with special needs. No County match
is required.
Chairman Greer expressed concern for approving an agreement of
this type without time to review the document.
County Attorney Copley advised that the agreement was
delivered to the Legal Department on mid-day Friday by the
Assistant City Attorney because the program was to start at the
beginning of June. At that time, the Assistant City Attorney was
informed that the Board was opposed to approving additional items
without time to review the document.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 384
Chairman Greer recommended placing this item on the June 3,
1996, agenda with an explanation of the cost to the County and the
location of the facility to house the program that will be provided
by the County. He stressed the importance of receiving information
of this type in advance before being asked to approve the document.
Ms. Arleta Oldfield, System Manager of the N. C. Cooperative
Extension Service, advised she was not aware the Assistant City
Attorney had presented the agreement for approval at this meeting.
She advised that the program was a collaborative effort between the
County School System, Cooperative Extension, and the City of
Wilmington for the provision of a summer day program for school age
children including children with special needs. A school building
will house the program, and the $51,500 grant funding will be used
as seed money to fund the program this year with the fees collected
from the parents being deposited and used to provide the program
for next year. She advised that the City would like to see the
program continued regardless of whether the Cooperative Extension
Service was involved with the program.
Consensus: After further discussion of time needed to review the
agreement, it was the consensus of the Board to place this item on
the June 3, 1996, agenda.
PRESENTATION OF NEW HANOVER COUNTY SERVICE AWARDS
County Manager O'Neal requested the following employees to
step forward to receive service awards:
Name Years of Service
Sheila A. Jamerson, Health Department 5
Elizabeth R. Rauth, Health Department 5
Sherlyn H. Grantham, Social Services 5
Susan J. Jaindl, Budget Department and Finance 10
Carolyn A. Johnson, Tax Department10
Kellie P. Daughtry, Health Department10
Delisa B. Lloyd, Health Department10
Paula S. Jenkins, Health Department10
Linda Bohn, Social Services10
Wilma G. Daniels, Social Services10
Elizabeth S. Holland, Social Services10
Ruby M. Holiday, Register of Deeds15
Chairman Greer, on behalf of the Board, presented the service
awards and congratulated each employee for their years of dedicated
service to New Hanover County.
PRESENTATION OF THE "DISTINGUISHED BUDGET PRESENTATION AWARD" TO
THE BUDGET DEPARTMENT FOR FISCAL YEAR BEGINNING JULY 1, 1995
Chairman Greer announced that notification had been received
from the Government Finance Officers' Association of the United
States and Canada that New Hanover County has qualified to receive
the "Distinguished Budget Award" for the fifth consecutive year.
Chairman Greer recognized and presented a plaque to the Budget
Director, Cam Griffin, for receiving this honor, and he expressed
appreciation to the Budget Department for the outstanding job
performed in preparing annual budgets.
RECOGNITION OF NEW HANOVER COUNTY EMPLOYEES
County Manager O'Neal requested the following new employees to
stand and be recognized:
Francine Thornton, Water & Sewer Finance
Susan Brittan, Health Department
Barbara Shell, Health Department
Greg Kennedy, Aging Department
Gary Faircloth, Inspections Department
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 385
Tom Watson, Inspections Department
Wanda Noe, Inspections Department
Charles Owens, Property Management
Larry Bullock, Property Management
Tom Nolan, Tax Department
Bruce Williams, Cooperative Extension Service
Chairman Greer, on behalf of the Board, welcomed the new
employees to New Hanover County and wished them well in their new
positions.
CONSIDERATION OF NAMING A STREET AT LANEY HIGH SCHOOL AFTER DANNY
PENCE
Chairman Greer reported that N. C. State Trooper, Thomas L.
Pearce, had requested naming the private road accessing Laney High
School from North College Road after Danny Pence, the exceptional
student that was kidnapped and brutally murdered approximately a
year ago. He advised that the proposed road naming had received
approval from the Board of Education and the Principal of Laney
High School.
Motion: Commissioner Sisson MOVED, SECONDED by Vice-Chairman
Mathews to proceed with the necessary action to name the private
street accessing Laney High School from North College Road to
"Danny Pence Drive". Upon vote, the MOTION CARRIED UNANIMOUSLY.
N. C. State Trooper Pearce expressed appreciation to the Board
for naming the private road after Danny Pence who, in his opinion,
was deserving of this special recognition.
PRESENTATION OF THE COUNTY MANAGER'S FISCAL YEAR 1996-97
RECOMMENDED BUDGET
County Manager O'Neal advised that Staff was requested by the
Board to prepare the FY 1996-97 Budget without a tax increase;
however, due to the debt service on the school bonds, the
recommended budget has been prepared with a one-cent tax increase.
At the beginning of the budget process, Staff began with a
fourteen-cent increase, but through the efforts of the Budget
Department and department heads, this figure was reduced to one
cent.
The proposed one-cent tax increase will fund approximately
one-half of the increased debt service for the schools. An amount
of $3,507,112 will be appropriated from the Fund Balance out of
which $2,361,000 will be appropriated to the schools and
approximately $1,000,000 appropriated to the Department of Social
Services. The decision to use a portion of the Fund Balance for
the FY 1996-97 Budget will not jeopardize the financial condition
of New Hanover County.
The budget was prepared under a cloud of uncertainty because
of concern for Welfare Reform and its impact upon the County, the
proposed annexation of 27.5 square miles by the City, redistricting
of schools, and unprecedented growth.
The following key issues were presented:
Public Schools: The Board of Education's total budget request
was $38,021,370 (current expenses of $30,492,792 and capital
outlay of $7,528,578). This is an increase of 45 percent over
the budgeted amount for the current year.
The proposed budget recommends an increase of $3,243,916, or
13 percent, as the General Fund transfer to the schools. The
General Fund transfer and increase in the one-half cent sales
tax revenue will increase the current budget for Schools by
$1,985,368, or 8 percent. This funding will be used as
follows: (1) $764,387 for new schools; (2) $300,000 for the
legislated salary increase for teachers; and (3) $920,981 for
school maintenance.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 386
The $2.9 million recommended for capital will fund a
significant amount of the capital request for Schools. Land
for a new high school is not included; however, if the land
can be financed over a period of time, funding for the first
year's debt service could come from the recommended capital
amount, the fund balance, or an increase in the proposed tax
rate by one-half cent. A full year's debt service would not
impact the budget until FY 1997-98.
While the needs for Schools are great, they cannot be
addressed in one year because fully funding these requests
would have increased the tax rate by 14.5 cents. It should be
noted that $1,141,353 was added to the School Budget during
the current fiscal year to help offset additional costs
related to the new elementary schools. Also, the General Fund
transfer to the Public Schools Fund has increased at an
average rate of 10.4 percent over the last five years, while
the General Fund budget has increased at a lower average rate
of 8.6 percent.
Cape Fear Community College: The budget request submitted by
Cape Fear Community College was fully funded at $517,214
representing a 34 percent increase. This increase will be
used for the following purposes: (1) to address deferred
maintenance needs of existing college buildings; (2) meet the
requirements of federal, state, and local laws regarding
safety and disabled accessibility; (3) renovating existing
facilities to relocate various college departments; and (4)
funding for additional construction costs. In addition,
$154,500 is budgeted to fund the increased debt service on the
1994 Cape Fear Community College bonds.
New County Government Positions: There were 40 new positions
requested with 20 positions recommended as follows:
Sheriff's Department: There are six positions recommended in
the Sheriff's Department. Two deputies will be assigned to
the Department of Social Services Child Support Program with
the cost offset by increased program revenue generated by
enhanced collections. Two deputies will be assigned to the
Southeastern Center for Mental Health at the Crisis Center.
The concept of the Crisis Center was presented and approved
during the current fiscal year with the understanding that the
number of hours spent by law enforcement officers in hospital
emergency rooms because of substance abuse clients would be
greatly reduced. Two clerical positions will be assigned to
the Magistrate and the Court, which will provide essential
clerical support as well as enhance compliance with the
Structured Sentencing Law.
Commissioner Sisson noted that the deputies being assigned to
the Crisis Center would benefit law enforcement officials in Pender
and Brunswick counties as well as the City of Wilmington;
therefore, interlocal agreements should be pursued with these
entities proportional to the use based on past experience in order
for the County to receive some compensation for providing the
facility.
County Manager O'Neal advised that New Hanover County does
receive some compensation from Brunswick and Pender counties.
After further discussion, the County Manager was directed to
pursue interlocal agreements with Brunswick County, Pender County,
and the City of Wilmington for some form of compensation to the
County for use of the Crisis Center.
Inspections Department: Three new positions have been
recommended for the Inspections Department to handle continued
growth and development in construction activities.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 387
Cooperative Extension Service: One clerical position has been
recommended for the Cooperative Extension Service to assist
with increased demands.
Engineering Department: One Civil Engineer position has been
recommended in the Engineering Department to assist with the
sewer system expansion and improvements.
Health Department: An Ombudsman position for the Health
Department has been recommended to monitor care given to the
frail and elderly living in nursing and rest homes.
Parks Department: Two new Groundskeepers positions have been
recommended for the Parks Department due to expansion in the
number of parks. One new position will be phased in over a
period of six months.
Animal Control Center: One Animal Control Officer has been
recommended to assist with the growing population of animals
and complaints received about neighbors' pets.
Tax Department: A long-time temporary position in the Tax
Department will become a full-time position to provide greater
continuity in the department.
One Plumber Position has been recommended to be shared by
Property Management, Parks, and the Engineering Departments.
Emergency Management Department: The clerical position that
assists the Fire Administrator is being changed from part-time
to full-time as the Administrator's activities increase.
There is a corresponding decrease from full-time to part-time
of a clerical position in Emergency Management since this
department will no longer be the County's liaison with the
Board of Fire Commissioners. Five positions will be
transferred from the Inspections Department to the Fire
Services Administration Department.
Human Resources Department: The part-time floater position in
the Human Resources Department is being increased to full-time
to better serve requests from the various departments for
assistance. This will be more cost-effective than using
contracted services.
Merit Program and Pay Plan Adjustment: An amount of
$1,538,745 is recommended for continuation of the merit
program and pay plan adjustment for deserving employees to be
disbursed as follows: two percent for the merit program and
three percent for the pay plan adjustment schedule.
Medical Insurance: In an effort to manage the dramatic
increase in health insurance, a fully insured Point of Service
Plan (MedPoint) is being offered to the employees for FY 1996-
97. The MedPoint plan incorporates a true managed care
component through in-network services, with an opportunity for
the subscriber to select out-of-network providers.
Human Services: County dollars for human services programs
continue to increase, but at a lower rate than in the recent
past.
Department of Social Services: County funding for the
Department of Social Services will increase by $842,900, or 8
percent, primarily due to an increase in the County's share
for Medicaid. County funding for AFDC and Food Stamps have
actually decreased, because of increased employment
opportunities provided by the building boom and increased
support enforcement efforts. Human services funding levels
will remain in a state of flux until a decision is made on
Welfare Reform.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 388
Southeastern Center: Funding for the Southeastern Center is
recommended at $1,022,699, representing an increase of
$204,567 or 25 percent. The increase will fund a Crisis
Center that will provide non-medical services to substance
abuse clients currently being seen in the hospital emergency
rooms. This will eliminate the staff hours that area law
enforcement officers are required to wait for individuals with
substance abuse problems and alleviate congestion in the
hospital emergency rooms. The Sheriff's Department will be
reimbursed for the two new deputy positions recommended in the
budget to staff the Crisis Center. Also, there will be a
continuation of the $66,000 contribution from the ABC five-
cents bottle tax.
Department of Aging: Recommended funding for the Department
of Aging will increase by $31,246 representing a 6 percent
increase over FY 1995-96. The Department was designated as
the Lead Agency in providing care services to senior adults.
By contracting with Well Care & Nursing Service and Elderhaus,
261 adults were provided with in-home aide services and adult
day care.
Commissioner Barone inquired as to whether figures were
available to reflect the amount of money saved in the County's
share for Medicaid versus the cost of paying for in-home services?
County Manager O'Neal advised that New Hanover County pays
approximately $5,160 per year, per patient as its Medicaid share
for persons placed in nursing homes; therefore, in-home services
would cost much less. He noted that no cost analysis had been made
over the past three years; therefore, he would prefer to prepare
the figures before stating an exact amount.
Public Safety: The Sheriff's budget will experience a small
increase. Four of the recommended new positions will be
offset by revenues generated in that department. There will
be no funds budgeted for new vehicles since vehicles were
purchased at a discount in the Spring of 1995; however,
funding for vehicles will have to be included in future
budgets.
The Computer Aided Dispatch System in the 911 Center will be
fully operational by the beginning of FY 1996-97. There are
some on-going services for maintenance and rental costs that
could be funded by the 911 Surcharge; however, the Board
previously decided that no 911 Surcharge funds could be used
to fund expenditures that are not one-time in nature.
The new Emergency Operations Center should be fully
operational early in the next fiscal year.
The Emergency Medical Services Department has been decreased
by two rescue technician positions. The City of Wilmington or
Ogden-New Hanover Volunteer Rescue Squad will provide crash
rescue extraction services for the County on a contractual
basis. The replacement of equipment and vehicles is part of
a planned cycle to keep equipment in current and safe working
order.
Additional fees generated by the increased workload in the
Inspections Department continue to be used to fund additional
positions and automation of services.
Cultural and Recreation: An amount of $300,000 is included in
the recommended budget for transfer to capital projects. This
funding could be used to purchase and start design work on a
library in the Castle Hayne area (an interest expressed by the
Board). An amount of $82,712 is included in the Library's
Automation System. This system will reduce maintenance costs,
improve performance, and allow access to the CD-ROM network
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 389
and Internet. There is also an increase of $74,437 budgeted
in the funding for books, which will fund the book budget at
$3.50 per capita (up from $3.00 per capita).
The Cape Fear Museum will continue the revenue producing
Dinamation Exhibit through the first months of the fiscal year
and feature the photomicroscopy exhibit.
The Parks Department is continuing the development of the
Ogden and Castle Hayne Parks. An amount of $500,000 is
recommended for continuation of work on the Ogden Park and
$68,000 for continuing development of the Castle Hayne Park.
Economic and Physical Development: The Planning Department
will continue to maintain the GIS system. The updating for
the orthophoto digitization effort continues with the
assistance of the Tax and MIS Departments. This system will
be a great asset in the revaluation process, which will form
the basis of the FY 1997-98 Budget.
Outside Agencies: The Human Services Allocation Advisory
Committee formulated the funding recommendations for the
outside human services agencies. The recommendations are
within the total dollar amount allocated to these agencies in
the current year, although there may be changes among
individual agencies.
REVENUE: There is an increase of $2,469,600, or 5 percent, in
the ad valorem taxes due to the increased tax base and
continuation of the excellent collection rate. An increase in
the tax base of one cent will generate revenue in the amount
of $882,000, which will cover one-half of the increased debt
service on the school bonds for FY 1996-97.
The increased revenue in the one-cent sales tax over FY 1995-
96 is estimated to be $500,000, or 4 percent. It is estimated
that the FY 1995-96 projection will be very close to the
actual amount received.
ENVIRONMENTAL MANAGEMENT FUND: The Environmental Management
Fund is balanced based upon the assumptions that the tipping
fee will increase from $30 per ton to $32 per ton and that
189,000 tons of solid waste will be received. A transfer of
$2,793,686 from the General Fund is required to balance the
fund. The flow control legislation was defeated at the
Federal level, and there is concern that increasing the tip
fee by more than $2 will cause the haulers to transport trash
out of the County. Discussions continue on options for
reducing this transfer in future budgets. Continuation of
General Fund transfers will be required unless bold steps are
taken to make be fund self-sufficient.
EMERGENCY TELEPHONE SYSTEM FUND: There are no expenditures
budgeted for this fund. Funds will be appropriated as needed
and available through the budget amendment process. There are
on-going 911 system maintenance costs that could be funded by
the 911-Surcharge; however, funds are not budgeted from the
surcharge at this time.
WATER AND SEWER DISTRICT: The Water and Sewer District
continues to receive the undesignated portion of the County's
two one-half cent sales taxes, enabling it to set a limited
amount aside for future capital projects. The recent increase
in impact fees will help ensure that funding will be available
for continued expansion of the sewer system. Consideration
should be given in the next year to raising user fees to
offset reliance on the sales tax and cover increasing
operations and maintenance costs. It should be noted that
available sales tax revenue will likely decrease in the future
due to the impact of annexation. Currently, financing is
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 390
planned for a $12 million wastewater treatment plant, the
Ogden interceptor, and the NorthChase interceptor.
Negotiations with the City of Wilmington may reduce the cost
of the wastewater treatment plant if the County and City move
toward expanding and upgrading the City's existing treatment
plant. Also, pressure to expand the County's water system may
increase.
Two studies are funded at the direction of the District Board
to monitor the effects of growth on the area. One study will
result in a comprehensive drainage management plan for an
estuarine creek. The study may recommend drainage
improvements, design standards, and regulations or some other
management tool. The District is continuing an on-going
groundwater study that will show the groundwater location,
amount available, and water quality.
FIRE SERVICE DISTRICT: The recommended budget for the Fire
Service District maintains the current tax rate of 2.5 cents.
The Board of Fire Commissioners requested that the tax rate be
increased to 5 cents to fund fire suppression along the
Highway 421 North Industrial Corridor. No tax increase is
recommended; however, $2,000,000 will be appropriated from the
Fire Service Fund Balance with placement of $1,861,453 in an
administrative reserve to fund some major improvements
requested by the Board of Fire Commissioners. A Fire Services
Administrator has been hired, and the current tax rate and
appropriation of the Fund Balance will allow the Fire Service
District to move forward in the next fiscal year. Also, the
City's annexation plan will impact the Fire Service District
making it prudent to maintain the current tax rate until
annexation has taken place. A penny on the tax rate in the
Fire Service District generates about $496,000.
CAPITAL PROJECTS: There is a great deal of concern about the
infrastructure of the County not growing sufficiently to
support the rapid growth that is taking place. Infrastructure
needs and capital needs are very expensive and cannot be
supported without a greater increase in the tax rate. There
is $300,000 budgeted for transfer to capital projects. This
funding could be used to purchase land and start the design
process for a library in the Castle Hayne area.
FUTURE CONCERNS: The annexation planned by the City of
Wilmington will significantly affect future budgets. The
evolving capital needs of the County must be addressed in a
responsible and timely manner in order to provide services and
adequate infrastructure to meet projected growth. Welfare
Reform efforts at the Federal and State levels will impact
County budgets and its citizens as well as the challenge of
disposing of solid waste in an environmentally and
economically responsible manner.
Charts were presented on New Hanover County expenditures and
revenues. Chairman Greer inquired as to the funding differences in
expenditures from the last fiscal year?
Budget Director, Cam Griffin, responded that expenditures
continue to increase for human services and the schools with a
decrease in expenditures for the general government.
Chairman Greer asked if human services expenditures increased
more than expenditures for the schools?
Budget Director Griffin explained that expenditures for human
services and schools decrease and increase without one totally
outweighing the other; however, the revenue percentage for both
entities remained approximately the same.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 391
Chairman Greer asked if the $2,000,000 appropriated from the
Fire Service District fund balance would create a sizable increase
in the tax rate next year, and if these funds would be used for a
one-time expenditure, or would it become an on-going expenditure?
Budget Director Griffin commented on the unknowns about the
fire service because of the City's annexation plan and stated the
fire tax may increase next year; however, allowing the current tax
rate to remain in place for FY 1996-97 would not cause the tax rate
to increase more than normal for FY 1997-98. The use of the
$2,000,000 appropriation from the Fire Service fund balance will
depend on the plan designed to provide fire service to the Highway
421 North Industrial Corridor, which will be a one-time
appropriation for the capital project; however, if fire fighters
have to be paid, this will become an on-going expenditure.
County Manager O'Neal reported the fund balance appropriation
will be used to lay the foundation for the creation of the staffing
process to provide fire service to the Highway 421 North Industrial
Corridor, which will become an on-going expense. However, the tax
rate for the Fire Service District is much lower than in other
counties.
Commissioner Barone inquired as to whether the $1,000,000 for
the Department of Social Services was due to the County's share for
Medicaid?
County Manager O'Neal responded that $833,000 of the increase
for the Department of Social Services was for Medicaid.
Commissioner Barone noted that Medicaid costs have increased
over $1,000,000 for the last three budget years; however, there
appears to be a small decrease this year. She commented on the in-
home services being provided by various agencies, such as
Elderhaus, and requested a report reflecting the amount of money
being saved in the County's Medicaid share through the provision of
these services, particularly for Elderhaus since the County just
approved a $200,000 funding commitment for expansion of this
facility. She stressed the importance of keeping the public
informed about why the County is using these agencies to provide
in-home services.
Budget Director Griffin responded that she would be glad to
furnish those figures and reported the major reason for the
increase in Medicaid was because of the coverage change in the
eligibility criteria for Medicaid.
County Manager O'Neal agreed and reported the increase in the
aging population along with the change in the eligibility criteria
had increased the cost of Medicaid reimbursement for the County.
Commissioner Barone stressed the importance of the
Commissioners being advised about any legislation that expanded the
Medicaid eligibility criteria so the Board can seek relief on the
federal level from the congressional delegation. She requested the
County Manager to keep the Board informed in the future and forward
a report to her on this recently enacted legislation.
Consensus: After discussion of the need to schedule another Budget
Work Session before the June 3, 1996, Public Hearing on the FY
1996-97 Budget, it was the consensus of the Board to schedule a
Budget Work Session on September 30, 1996, following the Staff
Meeting in Room 501 of the New Hanover County Administration
Building, 320 Chestnut Street, Wilmington, North Carolina.
Discussion was held on the information to be discussed at the
Budget Work Session. Commissioner Barone suggested discussion of
the proposed funding for outside agencies comparing the requests in
FY 1995-96 to the proposed funding for FY 1996-97.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 392
Chairman Greer requested figures on the amount of revenue
generated from a $1.00 tip fee.
Commissioner Barone requested further review of the
Environmental Management Budget.
Vice-Chairman Mathews commented on the need for a Public
Information Officer and stated he would be in favor of increasing
the Administration Budget to include this position as well as a
central information number without the use of phone mail to handle
public inquires.
County Manager O'Neal advised that he would prepare a report
on the costs of hiring a Public Information Officer and installing
a central telephone number for discussion of this topic at the
Budget Work Session on May 30, 1996.
Vice-Chairman Mathews commented on the Dinamation Exhibit at
the Cape Fear Museum and reported he read in the paper that the fee
had been increased from $3.00 to $5.00. He expressed concern for
charging $5.00, which in his opinion, was too much and would keep
many people from seeing the exhibit.
County Manager O'Neal advised that the fee increase would be
only for the period of time that the Dinamation Exhibit was on
display. He explained that when the Board approved the agreement
with the Museum for the Dinamation Exhibit, the fee increase was
part of the agreement.
Commissioner Barone reported there should be scheduled free
days for the public and she requested the Manager to check into
this matter and report back to the Board.
BREAK
Chairman Greer called a break from 10:40 A.M. until 10:55 A.M.
DISCUSSION OF LAND ACQUISITION FOR CONSTRUCTION OF A MIDDLE/HIGH
SCHOOL COMPLEX
County Manager O'Neal reported Mr. George W. Hance, Jr.,
Assistant Superintendent of Schools, made a presentation on three
possible sites for the construction of a Middle/High School
Complex. The Board deferred action on selecting a site until
further evaluation could be made on one of the three sites and
action had been taken by the Board of Education as to the preferred
site.
Mr. Hance reported the Board of Education met on May 8, 1996,
and selected the Efird parcel (Site #1) after a review of the three
sites, which included the information presented to the Board of
County Commissioners by Mr. Phil Triece relative to the Sobol
parcel (Site #2). The additional information on the Sobol site did
not change the rating of the land. The Efird site was recommended
because of its location with excellent road frontage, access to
utilities, and its shape and depth. The Sobol site did not
increase in its rating because water was not available to the
parcel of land.
Vice-Chairman Mathews asked Mr. Hance if any power lines
crossed or bordered the Efird site?
Mr. Hance stated to the best of his knowledge, no power lines
crossed or bordered the Efird Site.
Commissioner Sisson asked Mr. Hance if he had seen the
pictures of the Efird site that show the power lines and
transmission poles?
Mr. Hance stated he had not seen the pictures. After seeing
the pictures, Mr. Hance asked Mr. Phil Triece if the pictures were
taken on the Efird Site?
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 393
Mr. Triece responded that the pictures were taken on the Efird
site. The representative from Carolina Power & Light Company
informed him that two of the transmission poles were located on the
Efird property, and he stated this representative was present and
would be glad to testify as to the location of the poles on the
site. Mr. Triece stated this information was presented to Mr.
Hance and the Board of Education prior to the meeting held on May
8, 1996.
Mr. Hance stated he did not recall this information being
presented.
Vice-Chairman Mathews asked if the recommendation by the
consultant to locate the school complex further down Carolina Beach
Road was considered by the Board of Education when selecting the
Efird site?
Mr. Hance responded the Sobol site was a better location for
a new high school according to the consultant; however, the lack of
water availability to this site was the major concern discussed by
the Board of Education.
Commissioner Sisson asked if the power transmission poles
would change the rating of the Efird site?
Mr. Hance responded that the school complex could be located
on the Efird site with no buildings placed near the power poles.
He referenced the costs involved and problems that could be
experienced with trying to provide water and an access road to the
Sobol site and stated this was why the Efird site was preferred.
He, also, advised the Board that a wetlands determination by the
Corps of Engineers had not been made on the Sobol site.
Commissioner Barone inquired as to whether a wetlands
determination had been made on the Efird site?
Mr. Hance responded that a wetlands determination had been
made on the Efird Site.
Commissioner Barone requested Mr. Triece to address the water
issue.
Mr. Triece reported the nearest water source to the Sobol site
was 1,300 linear feet. To run a ten to twelve inch water line
2,000 linear feet into the site would cost approximately $64,000.
The location of the auditorium in the final design plan will
determine if additional water capacity will be required.
Currently, Cape Fear Utilities is in the final stages of
negotiation with the City of Wilmington for the purchase of its
water system. Once the City purchases the system, the water
pressure will be sufficient. If this sale does not occur, an
elevated storage tank could be constructed to provide sufficient
water capacity to the site at a cost of $125,000 depending on the
size.
Discussion was held on the price of the Sobol property. Mr.
Triece reported the asking price of the property is $3,750,000 with
an additional $64,000 for installing a ten to twelve inch water
line. If an elevated storage tank has to be constructed or placed
on the site, this cost would have to be added to the figure.
Mr. Hance reported once the water line is installed, the water
capacity problem will not be resolved because the School System
cannot be responsible for maintenance and operation of the elevated
water storage tank.
Mr. Triece advised that the School System would not be
responsible for maintaining an elevated water tank under any type
of agreement.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 394
Commissioner Barone commented on the new elementary school
being constructed near the Efird site and asked if the Board of
Education had any concern about placing an elementary school near
a middle/high school complex because of the age difference in the
children.
Mr. Hance responded that this issue was discussed by the Board
of Education; however, the elementary school would be separated
from the high school by the middle school. He advised that many
school complexes comprising of an elementary school, middle school,
and high school are being constructed on one site throughout the
country.
Commissioner Barone commented on the number of buses that
would be located at the proposed complex and asked if the buses
would be used by the different age groups?
Mr. Hance reported the buses would not be shared. The
elementary school would have a separate parking lot for buses and
a joint parking lot would be used for the middle school and high
school. Also, vehicular and bus traffic would be separated.
Mr. Triece reported the rights-of-way on the Sobol property
had been addressed, and he advised the Board that Dr. Sobol had
agreed to dedicate the easements. Also, at the last meeting,
discussion was held on access from the Efird site to George
Anderson Drive with the Board being informed there would be no
access because the land was now reserved for construction of
apartments. As the complex is currently designed, both accesses
will be within a short distance of each other, which will create a
tremendous amount of traffic accessing the Efird site during school
hours on Carolina Beach Road. The Sobol site does allow for better
accessibility with less traffic in the area. Also, the consultant
hired for redistricting has recommended selecting a site further
south on Carolina Beach Road in order to better accommodate the new
district lines. He requested the Board to consider these factors
before deciding on the Efird site.
Commissioner Barone stated if more schools were privatized and
tax credits or tax vouchers were issued, the County would not have
to construct new schools.
Mr. Charles M. Lineberry, Jr., a member of the Board of
Education, expressed appreciation to Mr. Triece for the excellent
information furnished on the Sobol property. He reported the Board
of Education did receive a report reflecting a criteria rating for
the three sites. The Sobol site was given the highest rating on
location; however, due to the lack of water availability, the need
to build 6,000 feet of road to access the site, and one
intersection for all the traffic generated by the school complex
was the reason why the Board of Education decided on the Efird
site. Even though the Sobol property was less expensive per acre,
the costs involved with providing water at a sufficient pressure
and building a road to the site, would end up costing almost the
same as the Efird property. With all of these factors considered,
the Board of Education felt it would be a better use of the
taxpayers dollars to spend the money for the Efird site, which is
better suited today as opposed to waiting two years to see if the
Cape Fear Utilities water system will be purchased by the City or
an elevated water storage tank will be needed.
County Manager O'Neal reported the Assistant County Manager,
Dave Weaver, had visited both sites and would like to comment on
the wetlands regulations and permits.
Assistant County Manager Weaver advised that one specific
difference between the Efird and Sobol sites was that the Corps of
Engineers had signed off on a map of the Efird site identifying the
exact location of wetlands, which will not interfere with placement
of the school complex on this site. The Sobol property does not
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 395
have this type of analysis. After walking around the Sobol
property, he feels that as much as 50% of the property could be
classified as wetlands. To receive a wetlands determination by the
Corps of Engineers will take approximately six months.
Commissioner Caster expressed concern for the cost per acre on
either site and asked if negotiations had occurred?
Mr. Hance responded that no negotiations had occurred and
stated appraisals of the site should occur first before trying to
negotiate a purchase price.
Commissioner Caster commented on the conditions listed in the
letter forwarded by Mr. Hance and requested an explanation.
Mr. Hance responded any offer of purchase would be contingent
upon the following conditions:
(1)Approval of Wetlands Study by the Corps of Engineers
(2)Soil Boring Analysis to a depth of at least 15 feet acceptable
to the School System and the County.
(3)Appraisals suitable to the School System and the County.
(4)An Environmental Assessment satisfactory to the School System
and the County.
Vice-Chairman Mathews inquired as to whether the action taken
by the Board of Education was a regular item on the agenda?
Mr. Lineberry responded that this matter was presented as an
additional item.
Vice-Chairman Mathews expressed concern for an item of this
significance being considered as an additional item and voted on
without all members of the Board of Education being present.
Commissioner Barone reported there were only five members of
the Board of Education present at that meeting.
Motion: After discussion of the excellent presentations on the
Efird and Sobol sites, Commissioner Sisson MOVED to purchase the
Efird site for the proposed school complex.
Chairman Greer asked Commissioner Sisson if he would like to
include a dollar amount or not to exceed figure in the motion.
Commissioner Caster recommended placing a figure of $42,500
per acre for the purchase of the Efird site contingent upon the
conditions outlined by Mr. Hance.
Amended Motion: Commissioner Sisson AMENDED THE MOTION, SECONDED
by Commissioner Caster to purchase the Efird site for the proposed
school complex at $42,500 per acre instead of the requested $45,000
per acre contingent upon approval of a Wetlands Study by the Corps
of Engineers; a Soil Boring Analysis to a depth of at least 15 feet
acceptable to the School System and the County; appraisals suitable
to the School System and the County; and an Environmental
Assessment satisfactory to the School System and the County. If
the price offer is not satisfactory, this matter can be revisited
at a future date. Upon vote, the MOTION CARRIED AS FOLLOWS:
Voting Aye: Commissioner Caster
Commissioner Sisson
Vice-Chairman Mathews
Chairman Greer
Voting Nay: Commissioner Barone
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 396
STATUS REPORT ON ACTIVITIES OF THE I-40 ASSOCIATION
Mr. Dana E. Page, Chairman of the New Hanover County Chapter
of the I-40 Association, presented the following status report on
the I-40 Association.
The I-40 Association is a unique organization which uses the
talents and resources of individual volunteers, private industry,
and local governments to carry out the recommendations of the I-40
Study. The Association utilizes volunteers in lieu of paid staff
to carry out economic development along the I-40 corridor. A
brochure explaining the purpose of the I-40 Association has been
prepared at no cost through assistance from the Carolina Power &
Light Company.
The first annual meeting and combination trade show were held
in April, 1995, with Commissioner Barone speaking at the meeting.
The trade show was opened to the nine counties along the corridor,
and the State Ports Authority had a booth as well as many other
area businesses. City Manager, Mary Gornto, Councilmember Laura
Padgett, and Carolina Beach Mayor Anthony Loreti were among many of
the officials that attended the meeting and trade show. Secretary
of Transportation, Garland Garrett, Jr., presented the Governor's
Transportation 2001 Plan followed by a period of questions and
answers. The Brunswick County Board of Commissioners presented a
resolution to the I-40 Association requesting support of the timely
construction of the Brunswick County portion of the I-40 Bypass
from US Highway 421 to US Highway 17 South and opposing any delay
of the said project as proposed in the Governor's Transportation
2001 Plan. Brunswick County has a high rate of unemployment due to
the lack of industry and commerce in the area. Completion of the
Wilmington Bypass would serve as a catalyst for the location of
major industry into that area.
After the annual meeting, a Rural Economic Reinvestment
Demonstration Program was started to establish a self-sustaining,
long-term public-private partnership to plan, implement, and
finance comprehensive local programs to create new and expanded
economic opportunities for corridor residents. Currently, there is
a partnership with the Rural Center in Raleigh, North Carolina, to
work with 85 rural counties throughout the State to develop public-
private partnerships.
The Association is currently working with the State
Legislature during the Short Session to establish a State Economic
Investment District. The plan would be coordinated with Welfare
Reform to use the federal block grant funding to initiate local
economic reinvestment plans. If the federal block grant is
enacted, the I-40 Association hopes to invest resources received
from the grant to create economic opportunities in local economic
development programs. Eligible programs would be water and sewer
facilities, basic industrial buildings, industrial parks, natural
gas lines, community college training facilities, rail, public
buildings, and other items.
Discussion was held on the last time the local I-40 Chapter
met. Mr. Page responded the last meeting was held in December
1995. The next meeting was not scheduled until September 1996 in
order to allow time for the Association to lobby the N. C.
Legislature to establish a State Economic Investment District
during the Short Session.
Commissioner Barone asked if the lobbying efforts were on-
going.
Mr. Page responded that the lobbying efforts were on-going,
and he reported on the number of legislatures that have become
involved in the process.
Chairman Greer advised that one member of the local committee
had resigned feeling that this was an unstructured, unaccountable
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 397
committee that would not accomplish anything worthwhile with or
without his participation. He requested Mr. Page to comment on
these remarks.
Mr. Page stated this person resigned because he had a
difference of opinion from the other members.
Chairman Greer commented on confusing the State I-40
Association with the local I-40 Chapter, and he inquired as to the
number of members present at the last meeting.
Mr. Page responded no one attended the meeting at that time;
however, he was contacted by the members about their non-
attendance.
Chairman Greer stated he felt that Mr. Page had a strong
personality and had not involved the members of the local committee
in the entire I-40 process. He expressed concern for this non-
involvement and requested direction from the Board of County
Commissioners.
Commissioner Sisson commented on the need for the local I-40
Committee to have purpose and made the following recommendations:
(1)Better coordination with the other economic development groups
in the region, specifically the Council of Governments, and
other active groups in New Hanover and Pender counties. A
report should be prepared to show proof that this coordination
has occurred.
(2)A review and study of whether a local committee is needed
versus appointing two representatives to attend the I-40
Association meetings held in Kenansville provided that New
Hanover County is not obligated in any manner.
(3)A report on the various lobbying efforts occurring in Raleigh
with the State Legislature.
Mr. Page responded most of the counties have two
representatives that attend meetings in Kenansville, North
Carolina. New Hanover County is unique because of the
establishment of a local committee; therefore, only two meetings
are held throughout the year. If the Board desires for the local
committee to meet more frequently, he will be glad to proceed in
that direction.
Commissioner Barone explained that New Hanover County is more
progressive than the surrounding counties; however, involvement by
the County assists the other counties in many ways. Since New
Hanover County is part of the I-40 corridor, it is important for
the County to be involved because of regionalism.
Chairman Greer recommended more involvement of the local
members when making decisions and informing the Board of County
Commissioners before taking a position on any item.
Motion: Commissioner Sisson MOVED, SECONDED by Vice-Chairman
Mathews to increase the involvement of the local I-40 Committee
members; require periodic reports on lobbying efforts at the State
level as well as other positions being considered by the
Association; require reports on coordination among existing
economic development groups, such as the Committee of 100 and the
local Council of Governments; and present another status report to
the Board of County Commissioners on October 21, 1996. Upon vote,
the MOTION CARRIED UNANIMOUSLY.
CONSIDERATION OF COASTAL RESOURCES COMMISSION SOLICITATIONS FOR
NOMINATIONS
Chairman Greer announced there were vacancies on the Coastal
Resources Commission and requested the members of the Board to
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 398
solicit persons interested in serving on the commission.
Consensus: After discussion of the appointment process, it was the
consensus of the Board for each Commissioner to recruit nominees
with those applications being forwarded to the Office of the
Governor for consideration.
CONSIDERATION OF AGREEMENT WITH SIGMA RECYCLING, LLC FOR RIPARIAN
CORRIDOR ENCROACHMENT
Attorney Gregory A. Losee, representing Sigma Recycling, LLC,
reported he was present to answer any questions about the agreement
presented at the meeting held on May 6, 1996. He presented a
drawing of the area outlining the channel line where the vessel
would be berthed and reported the immediate need for the County's
property had been alleviated because the company had made better
use of its present property. However, Sigma Recycling, LLC would
like for the County's property to be considered as a contingency in
case the property is needed at a future date.
Commissioner Barone inquired as to the length of time that
would be involved if a vessel was berthed and encroached on the
County's property.
Attorney Losee responded the abatement process takes ten to
twelve weeks with the dismantling process requiring another ten to
twelve weeks.
Vice-Chairman Mathews inquired as to whether Sigma had a
problem with providing a surety bond.
Attorney Losee responded there would be no problem with
issuing a surety bond.
Commissioner Sisson commented on hearing that one of the major
partners of Sigma Recycling, LLC was no longer with the company and
he asked if this was correct? He, also, expressed concern for
bonding a holding company without knowing the partners of the group
or corporations involved?
Attorney Losee responded that one individual was looking for
another opportunity; however, he was not a principal financial
backer of the company, only an operator. Sigma Recycling, LLC is
a member-managed limited liability company comprised of two
members, the Delaware Limited Partnerships with the financial
principals operating out of New York as shown in the State of
Delaware's public records. As to a Letter of Credit, he did not
feel the principals in New York would have a problem with issuing
this type of document. The financial stability of the company is
excellent.
Commissioner Sisson inquired as to the amount of time that
would be involved with enforcement of a surety bond through the
court system if the County had to go through several holding groups
to receive the money?
Attorney Losee responded that such a document could be
prepared to avoid any problems with enforcing a surety bond.
Commissioner Sisson commented on the removal of hazardous
materials and inquired as to whether the bunkers on the vessels had
been emptied before being docked?
Attorney Losee responded that the U. S. Navy is responsible
for removing hazardous materials before the vessels are received by
Sigma. The residual in the pipes and tanks are cleaned by Sigma
through a Coast Guard approved firm for removal of oily waste.
Also, the vessels are insured against the possibility of a release
occurring.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 399
Commissioner Sisson reported when the U.S.S. North Carolina
was berthed in Wilmington and the Liberty vessels were dismantled,
the bunkers were not empty.
Attorney Losee responded these regulations have been revised
and the Navy is removing the materials.
County Attorney Copley recommended a Letter of Credit in lieu
of a surety bond because of past difficulties in collecting these
bonds. The Board was requested to place a dollar figure on the
Letter of Credit with approval contingent upon receipt of all
requisite insurance certificates as part of the agreement.
Commissioner Sisson recommended requesting the County Attorney
to check with other jurisdictions throughout the country where this
type of activity has occurred in order to assign a figure to the
Letter of Credit before taking any action.
Commissioner Caster commented on the poor record of this
company and recommended taking no action at this meeting. During
this period of time, the County Attorney can work with Attorney
Losee in drafting an agreement that will fully protect the County
through a Letter of Credit as well as address any other areas of
concern.
County Attorney Copley reported for clarification of the
remarks received, she understands that the agreement is not being
approved at this time; however, if the space is needed at a future
date, an agreement will be prepared and considered by the Board at
that time. During this period, the Legal Department will draft an
agreement to require a Letter of Credit at a designated dollar
amount as well as place a term on the length of time that the
vessel can be berthed on County owned property.
The Board agreed with the statements made by the County
Attorney.
CONSIDERATION OF BUDGET AMENDMENT #96-0213 AND CONTRACT TO CONVEY
THE PORTER'S NECK SUBSTATION TO CO-OWNERSHIP BETWEEN NEW HANOVER
COUNTY AND THE OGDEN VOLUNTEER FIRE DEPARTMENT
County Attorney Copley advised that an agreement had been
reached that was satisfactory to the County and the Ogden Volunteer
Fire Department. In Section 8 of the agreement, the Ogden
Volunteer Fire Department has agreed to amend the 125% to 100%
relative to the parties' ownership if the agreement is terminated.
Motion: Commissioner Sisson, MOVED, SECONDED by Commissioner
Barone to approve the contract as amended and the associated Budget
Amendment as listed below. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
Fire District/Fire Department
Debit Credit
Fire District/Fire Departments
Appropriated Fund Balance $17,500
Ogden Volunteer Fire Department $17,500
Purpose: To appropriate $17,500 of the Fire District Fund Balance
for additional funding for the Porters Neck Substation since
$60,000 was included in the FY 1995-96 Budget. The contract to
convey the substation will create a co-ownership between New
Hanover County and the Ogden Volunteer Fire Department.
A copy of the contract is on file in the Legal Department.
BREAK
Chairman Greer called a break from 11:37 A.M. until 11:48 A.M.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 400
PUBLIC HEARING TO CONSIDER THE ADOPTION OF RESOLUTIONS FOR THE
ISSUANCE OF HOSPITAL REVENUE BONDS IN AN AGGREGATE PRINCIPAL AMOUNT
NOT TO EXCEED $66,000,000 FOR IMPROVEMENTS TO NEW HANOVER REGIONAL
MEDICAL CENTER
Chairman Greer advised that a Public Hearing was required to
consider the issuance by the County of its hospital revenues in an
aggregate principal amount not to exceed $66,000,000 for the
following purposes:
(A)Financing, or reimbursing New Hanover Regional Medical Center,
a North Carolina non-profit corporation, for financing a
portion of the costs of the construction of a new Oncology
Center, Clinical Laboratory, and Outpatient Clinic building
with a connecting concourse to the Medical Center; the
renovation and addition of public area; the renovation of the
Emergency Department and the Pediatrics unit; the purchase of
furnishings to be added to the new building; the upgrade and
installation of communication and information services; the
construction of a Cardiac Surgery Recovery Unit; and the
relocation of the heliport and the construction of the East
Parking area.
(B)Paying a portion of the interest accruing on the bonds.
(C)Paying certain expenses in connection with the authorization
and issuance of the bonds.
The project will be located at New Hanover Regional Medical
Center, 2131 South 17th Street, Wilmington, North Carolina 28401.
The hospital is owned by the County and operated by the
Corporation.
Chairman Greer called for a motion to proceed to hold a Public
Hearing on the project and the issuance of hospital revenue bonds
to finance the project.
Motion: Commissioner Caster MOVED, SECONDED by Commissioner Sisson
to open the Public Hearing. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
Chairman Greer inquired as to whether anyone present would
like to step forward to comment on the proposed project and
issuance of hospital revenue bonds?
No comments were received from the public.
Chairman Greer called for a motion to close the Public
Hearing.
Motion: Commissioner Sisson MOVED, SECONDED by Commissioner Caster
to close the Public Hearing. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
Commissioner Sisson commented on previous concerns about the
Oncology Center and stated after discussions with members of the
Medical Community, Commissioner Caster, and members of the Hospital
Board of Trustees, these concerns had been assuaged. He emphasized
the importance of on-going dialogue between the Hospital Board of
Trustees and the Board of County Commissioners to avoid
misunderstandings about major issues.
Vice-Chairman Mathews agreed, and he expressed concern for the
Hospital Board of Trustees taking action on a major issue when
Commissioner Caster, the Board's representative, was not able to
attend the meeting. According to Commissioner Caster, he had
notified the Trustees that he could not attend and the meeting was
held with a decision rendered that created a great deal of
controversy throughout the community.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 401
Commissioner Caster agreed with Vice-Chairman Mathews and
reported he found out late in the process about the meeting
scheduled to consider the salary increase for the President of New
Hanover Regional Center. At that time, he wrote a letter
approximately three days in advance of the meeting informing the
Hospital Trustees he would not be able to attend. He commented on
the various committees within the Hospital Board of Trustees that
spend hours of time addressing an issue before being presented to
the full board. He assured the Commissioners and general public
that no rubber stamping occurs on issues addressed by the Hospital
Board of Trustees. He apologized for not having a mechanism in
place to better communicate with the Board of County Commissioners
and recommended focusing on better communication between the two
boards in the future.
Vice-Chairman Mathews, again, reiterated the importance of the
representative of the Board of County Commissioners being present
when action is being considered on a key issue. He stated, this
procedure should apply to all boards, not just the Hospital Board
of Trustees.
Chairman Greer called for a motion to approve the project and
the issuance of the revenue bonds.
Motion: Commissioner Caster MOVED, SECONDED by Vice-Chairman
Mathews to approve the project and issuance of revenue bonds. Upon
vote, the MOTION CARRIED UNANIMOUSLY.
Chairman Greer advised that the next order of business was to
consider and take action on the resolution directing the filing of
an application with the Local Government Commission for approval of
the issuance of the bonds and hiring of bond counsel and
underwriters for the financing.
Motion: Chairman Greer introduced and read a resolution of the
County of New Hanover, North Carolina directing the filing of an
application with the Local Government Commission for approval of
the issuance of hospital revenue bonds and MOVED TO ADOPT THE
RESOLUTION with an effective date of May 20, 1996. The MOTION WAS
SECONDED by Commissioner Sisson. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 18.
Chairman Greer advised that the next order of business was to
consider and take action on a series resolution providing for the
issuance of the bonds in the principal amount not exceeding
$66,000,000, including approvals respecting an amendment to a lease
agreement, an official statement and bond purchase agreement and
providing for other matters in connection therewith. The Series
Resolution delegates to the Finance Director of the County the
authority to determine certain terms of the bonds subject to
limitations set forth in the Bond Order adopted on October 6, 1993,
and such Series Resolution.
Motion: Chairman Greer introduced and read the Series Resolution
entitled "SERIES RESOLUTION AUTHORIZING AND APPROVING THE ISSUANCE
AND SALE OF NOT EXCEEDING $66,000,000 AGGREGATE PRINCIPAL AMOUNT OF
THE COUNTY OF NEW HANOVER, NORTH CAROLINA HOSPITAL REVENUE BONDS
(NEW HANOVER REGIONAL MEDICAL CENTER PROJECT) SERIES 1996, TO
PROVIDE FUNDS TO ACQUIRE, CONSTRUCT AND EQUIP IMPROVEMENTS TO THE
HEALTH CARE FACILITIES OWNED BY THE COUNTY, AND AUTHORIZING AND
APPROVING THE FORM AND TERMS OF THE OFFICIAL STATEMENT AND THE BOND
PURCHASE AGREEMENT AND THE EXECUTION AND DELIVERY OF THE OFFICIAL
STATEMENT, A FIRST AMENDMENT TO THE LEASE AGREEMENT AND THE BOND
PURCHASE AGREEMENT AND THE DISTRIBUTION AND USE OF THE PRELIMINARY
OFFICIAL STATEMENT, THE OFFICIAL STATEMENT AND THE BOND ORDER IN
CONNECTION WITH THE PUBLIC OFFERING OF THE BONDS. CHAIRMAN GREER
MOVED TO ADOPT THE SERIES RESOLUTION AS READ. THE MOTION WAS
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 402
SECONDED BY COMMISSIONER CASTER. UPON VOTE, THE MOTION CARRIED
UNANIMOUSLY.
Commissioner Sisson reported the bonds are fully insured and
the County will not be responsible for paying the bonds if some
type of catastrophe should occur.
Deputy County Manager, Andrew J. Atkinson, advised that
revenue bonds pledge the net revenues of New Hanover Regional
Medical Center, not the full faith and credit of New Hanover
County.
A copy of the resolution is hereby incorporated as a part of
the minutes and is contained in Exhibit Book XXIII, Page 18.
DISCONTINUANCE OF POLICY PERMITTING PUBLIC USE OF THE ASSEMBLY ROOM
IN THE NEW HANOVER COUNTY COURTHOUSE
Motion: Commissioner Mathews MOVED to discontinue use of the
Assembly Room by the general public. Commissioner Barone SECONDED
THE MOTION.
Commissioner Caster commented on the Courthouse being a public
building and expressed concern for not allowing the Assembly Room
to be used by the public for weddings and other social events. He
recommended appropriating money for repair of the room when
necessary.
Commissioner Barone commented on the cost involved with
refinishing the floor, readjusting the sound system, and the staff
time required for scheduling public events. She advised that
$1,375 had been collected in fees this year and reported this
amount of money would not begin to repair the damages that have
occurred while renting the Assembly Room.
Upon vote, the MOTION CARRIED AS FOLLOWS:
Voting Aye: Commissioner Barone
Commissioner Sisson
Vice-Chairman Mathews
Chairman Greer
Voting Nay: Commissioner Caster
COMMITTEE APPOINTMENTS
Appointment of James E. Moore, Jr. to serve on the Wilmington/New
Hanover County Insurance Advisory Committee
Chairman Greer advised there was one vacancy on the
Wilmington/New Hanover County Insurance Advisory Committee with
only one application received in the name of James E. Moore, Jr.,
who would like to be reappointed to serve another three-year term.
Motion: Commissioner Barone MOVED, SECONDED by Commissioner Caster
to reappoint Mr. James E. Moore, Jr., to serve a three-year term on
the Wilmington/New Hanover County Insurance Advisory Committee with
the term to expire June 8, 1999. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
MEETING CONVENED FROM REGULAR SESSION TO HOLD A MEETING OF THE NEW
HANOVER COUNTY WATER & SEWER DISTRICT
Chairman Greer convened from Regular Session at 12:50 P.M.
until 1:30 P.M. to hold a meeting of the New Hanover County Water
and Sewer District.
ADDITIONAL ITEMS
Discussion of Legion Stadium
County Manager O'Neal commented on the Legion Stadium
Committee and reported an agreement had been reached with the
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 403
recommendation being presented by the City Attorney to the City
Council on Tuesday, May 21, 1996. The agreement will be between
the City of Wilmington and New Hanover County. A Legion Stadium
Commission will be re-established with two representatives from the
City Council, two representatives from the Board of County
Commissioners, two representatives from the schools, and one member
from the Friends of Legion Stadium, Inc. The main objective of the
Commission will be to make recommendations for the operation and
usage of the facility as well as the future ownership of Legion
Stadium. The schools will be the priority user of Legion Stadium
without a fee charged, and the City will operate and maintain the
facility through input from the Legion Stadium Commission. The
County will contribute funding in a matching cost arrangement as
recommended by the Legion Stadium Commission with approval by the
Board of County Commissioners and City Council. The Board was
requested to approve the concept of this agreement.
Motion: Commissioner Sisson MOVED, SECONDED by Commissioner Caster
to approve the concept as outlined by the County Manager. Upon
vote, the MOTION CARRIED UNANIMOUSLY.
Discussion of Human Services Allocation Advisory Committee
Chairman Greer advised that a letter had been received about
Ms. Phyllis Roebuck serving on the Human Services Allocation
Advisory Committee and her ability to be objective when deciding on
CBA funding since she is a Juvenile Courts Counselor. He noted
that Ms. Roebuck has been very dedicated while serving on the
committee, but stated a conflict of interest could exist. He
requested direction from the Board.
Commissioner Barone commented on this being the first
complaint received and stated she would hesitate to make a decision
based on one letter.
Further discussion was held on the number of members serving
on the Human Services Allocation Committee who have served more
than two terms. Commissioner Sisson recommended more frequent
rotation of members that serve on the committee.
Consensus: After further discussion, it was the consensus of the
Board to request Staff to check into the complaint received as well
as the number of members who have served more than two terms and
report back to the Board.
Discussion of Participating in Hosting the North Carolina Board of
Transportation Meeting to be Held in Wilmington During September,
1996
Chairman Greer announced that the Chamber of Commerce and City
of Wilmington were involved with hosting the N. C. Board of
Transportation meeting to be held in Wilmington in September, 1996.
He advised that New Hanover County has been invited to participate
in hosting the meeting, and he requested direction from the Board.
Motion: Commissioner Barone MOVED, SECONDED by Commissioner Sisson
to participate with the City of Wilmington and Chamber of Commerce
in hosting the September meeting of the North Carolina Board of
Transportation. Upon vote, the MOTION CARRIED UNANIMOUSLY.
Report on Attending the Fullbright Program at UNCW
Commissioner Caster reported on attending the Fullbright
Program presented by a professor at UNCW about beach erosion. He
stated the slide presentation was excellent and informative, and he
asked if the Board would like to schedule a Work Session to see the
program.
After discussion, the County Manager was requested to place
this slide presentation on a future agenda and work with UNCW in
scheduling the event.
NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 25
REGULAR MEETING, MAY 20, 1996PAGE 404
Discussion of Item 5 in the Legislative Packet Forwarded to the
Local Legislative Delegation
Commissioner Caster expressed concern for Item 5 which places
a $3.00 surcharge on residential insurance policies and a $6.00
surcharge on commercial policies for supplemental funding of State
and Emergency Management agencies. He requested the Board to
withdraw this item from the legislative packet.
County Attorney Copley reported the bill was being considered
as a state-wide bill.
County Manager O'Neal explained that a portion of the proceeds
would be transferred into a trust fund to be used to supplement the
State when a disaster occurs. A majority of these funds would be
used to assist homeowners and business owners to recover from a
hurricane or any other natural disaster. A small amount of the
proceeds would be used to fund emergency management departments
throughout the state.
Motion: Commissioner Caster MOVED, SECONDED by Commissioner Barone
to withdraw the proposed bill until further information is provided
to justify support of the bill. The County Attorney was requested
to write a letter to the local legislative delegation informing
them that New Hanover County desires to withhold its support of the
bill at this time. Upon vote, the MOTION CARRIED UNANIMOUSLY.
CLOSED SESSION
County Attorney Copley requested a Closed Session in
accordance with NCGS 143-318.11A-3 for the purpose of giving
instructions to the attorney concerning the handling or settlement
of a claim, judicial action, or administrative procedure. She
requested the Board to allow the Human Resources Director, Andre'
Mallette, to attend the Closed Session.
Motion: Commissioner Barone MOVED, SECONDED by Commissioner Caster
to hold a Closed Session as requested by the County Attorney. Upon
vote, the MOTION CARRIED UNANIMOUSLY.
Chairman Greer convened from Regular Session to Closed Session
at 2:05 P.M.
Motion: Commissioner Caster MOVED, SECONDED by Commissioner Barone
to reconvene to Regular Session. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
Chairman Greer reconvened to Regular Session at 2:28 P.M. He
reported that no action was taken in the Closed Session.
ADJOURNMENT
Chairman Greer adjourned the meeting at 2:29 P.M. and
announced that after lunch a Work Session would be held in Room 501
of the County Administration Building, 320 Chestnut Street
Wilmington, North Carolina to hear a presentation on the Internet
System.
Respectfully submitted,
Lucie F. Harrell
Clerk to the Board