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HomeMy WebLinkAbout2021-06-07 Regular Meeting NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 107 ASSEMBLY The New Hanover County Board of Commissioners met in Regular Session on June 7, 2021, at 4:00 p.m. in the Assembly Room of the New Hanover County Courthouse, 24 North Third Street, Wilmington, North Carolina. Members present: Chair Julia Olson-Boseman; Vice-Chair Deb Hays; Commissioner Jonathan Barfield, Jr.; Commissioner Bill Rivenbark; and Commissioner Rob Zapple. Staff present: County Manager Chris Coudriet; County Attorney Wanda M. Copley; and Clerk to the Board Kymberleigh G. Crowell. INVOCATION AND PLEDGE OF ALLEGIANCE Reverend Shawn Blackwelder, St. Paul’s United Methodist Church, provided the invocation and Vice-Chair Hays led the audience in the Pledge of Allegiance to the Flag. APPROVAL TO MODIFY THE JUNE 7, 2021 AGENDA Chair Olson-Boseman stated that Regular Agenda Item #15 Public Hearing – Economic Development and Economic Incentives Appropriations needs to be handled before Regular Agenda Item #14 Public Hearing on the FY 2021-2022 Recommended Budget. She asked for direction from the Board. Motion: Chair Olson-Boseman MOVED, SECONDED by Commissioner Barfield to modify the June 7, 2021 agenda in order for Regular Agenda Item #15 Public Hearing – Economic Development and Economic Incentives Appropriations to be handled before Regular Agenda Item #14 Public Hearing on the FY 2021-2022 Recommended Budget. Upon vote, the MOTION CARRIED UNANIMOUSLY. APPROVAL OF CONSENT AGENDA Chair Olson-Boseman requested a motion to approve the Consent Agenda as presented. Motion: Commissioner Barfield MOVED, SECONDED by Chair Olson-Boseman, to approve the items on the Consent Agenda as presented. Upon vote, the MOTION CARRIED UNANIMOUSLY. CONSENT AGENDA Approval of Minutes – Governing Body The Commissioners approved the minutes of the Regular Meeting held on May 17, 2021. Approval to Amend the 2021 Schedule of Agenda Review and Regular Board of Commissioners Meetings for July – Governing Body The Commissioners approved the amendment of the 2021 Schedule of Agenda Review and Regular Board of Commissioners Meetings for July to move the Agenda Review slated for July 8, 2021 at 4:00 p.m. to July 7, 2021 at 4:00 p.m. and the Regular Meeting for July 12, 2021 at 4:00 p.m. to July 13, 2021 at 9:00 a.m. A copy of the amended schedule is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.1. Adoption of State Road Resolutions – Governing Body The Commissioners approved the following resolutions in support of adding the roads to the state system:  McGinnis Lane and Pine Hollow Drive located within the Belle Meade Planation subdivision (from city limits to Johnson Farms subdivision limits) in New Hanover County (Division File No: 1270-N)  Royal Fern Road, Hollandale Court, Yucca Lane, Penny Royal Lane, and Catamaran Drive located within the River Oaks subdivision in New Hanover County (Division File No: 1283-N)  Waterstone Drive for the Porters Neck Elementary School located in New Hanover County (Division File No: 1286-N)  Cloverland Way, Goodwood Way, and Trumpet Vine Way located within the Johnson Farms subdivision at Henderson Parke in New Hanover County (Division File No: 1290-N)  Acres Drive located within the Parkwood Extension subdivision in New Hanover County (Division File No: 1291-N) Copies of the resolutions are hereby incorporated as part of the minutes and are contained in Exhibit Book XLIII, Page 6.2. Approval to Award Bid for Purchase of Amphibious Low Ground Pressure Utility Vehicle – Engineering The Commissioners approved the amphibious low ground pressure utility vehicle purchase by Stormwater Services in the amount of $95,406.55. Adoption of a Resolution for the Approval of Exchange of Equipment with Duplin County Sheriff's Department – Fire Services The Commissioners approved the resolution allowing for the exchange of equipment between County Fire Rescue and Duplin County Sheriff's Department. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 108 A copy of the resolution is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.3. Adoption of National Men's Health Month Proclamation – Health and Human Services The Commissioners adopted a proclamation proclaiming June 2021 as National Men’s Health Month in New Hanover County. A copy of the proclamation is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.4. Approval of Six Donations for Accession into the Museum’s Permanent Collection – Museum The Commissioners accepted six donations of regional artifacts into the Cape Fear Museum's Permanent Collection. Adoption to Amend County Code, Chapter 41, "Parks and Recreation" – Parks The Commissioners adopted the amendments to the existing County Code, Chapter 41, Parks and Recreation to include the department designation as Parks and Gardens throughout as well as the clarification of language allowing for the ejection and ban of persons in violation of the chapter (Sec. 41-4). In addition, clarification of citation and civil penalties and appeals have been provided in Sections 41-4(b) and 41-5(b). A copy of the amended ordinance is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.5. Approval of April 2021 Tax Collection Reports – Tax The Commissioners accepted the tax collection reports of New Hanover County, New Hanover County Fire District, and New Hanover County Debt Service as of April 2021. Copies of the tax collection reports are hereby incorporated as part of the minutes and are contained in Exhibit Book XLIII, Page 6.6. Adoption of a Resolution to Award Installment Financing for Stormwater Equipment – Finance The Commissioners adopted a resolution to award installment financing for stormwater equipment. A copy of the resolution is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.7. Adoption of Budget Amendments – Budget The Commissioners adopted budget amendment 21-075 for the Special Purpose Fund and budget amendment 21-081 for Health and Human Services. Copies of the budget amendments are hereby incorporated as part of the minutes and are contained in Exhibit Book XLIII, Page 6.8. REGULAR ITEMS OF BUSINESS CONSIDERATION AND ADOPTION OF A RESOLUTION TO RECOGNIZE AND CONGRATULATE JOHN T. HOGGARD HIGH SCHOOL AS THE 2021 NORTH CAROLINA 4A SOFTBALL STATE CHAMPIONS Chair Olson-Boseman, on behalf of the Board, congratulated the John T. Hoggard High School softball team for winning the 2021 North Carolina 4A softball championship. She read the resolution into the record and asked for direction from the Board. Motion: Chair Olson-Boseman MOVED, SECONDED by Commissioner Rivenbark, to adopt the resolution recognizing and congratulating the John T. Hoggard High School Softball Team for winning the 2021 North Carolina 4A Softball State Championship. Upon vote, the MOTION CARRIED UNANIMOUSLY. The Board presented the resolution to the team and congratulated them on their achievement. A copy of the resolution is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.9. CONSIDERATION AND ADOPTION OF THE JUNETEENTH PROCLAMATION Bernice Johnson, member of the New Hanover County Commission on African American History, Heritage, and Culture read the proclamation into the record and provided a brief update on the committee’s activities. Hearing no discussion, Chair Olson-Boseman asked for direction from the Board. Motion: Commissioner Barfield MOVED, SECONDED by Vice-Chair Hays, to adopt the Juneteenth Proclamation. Upon vote, the MOTION CARRIED UNANIMOUSLY. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 109 A copy of the proclamation is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.10. PUBLIC HEARING AND APPROVAL OF THE ECONOMIC DEVELOPMENT AND ECONOMIC INCENTIVE APPROPRIATIONS FOR FISCAL YEAR 2021-2022 Chair Olson-Boseman opened the public hearing to receive comments on appropriations and expenditures for economic development. The source of funding for these appropriations and expenditures will be from the General Fund. The purposes of economic development and economic incentive agreements are to increase the population, taxable property, agricultural industries, employment, industrial output, or business prospects for New Hanover County. The economic development expenditures that follow have been recommended for appropriation in the Fiscal Year 2021-2022 (FY21-22) budget and are under consideration for adoption. The public is invited to comment on the following appropriations and expenditures as shown on the screen: Economic Development Agencies/Organizations These appropriations will be funded from General Fund revenues of the County. Organization Amount Description of Activities/Expense Arts Council of Wilmington & New $45,000 Support arts-driven economic development activities to Hanover County increase attendance and encourage increased spending in the local economy Cape Fear Resource Conservation and $4,500 Assess drainage for stormwater systems and watersheds to Development implement projects that support communities, businesses, and natural resources Cape Fear Council of Governments $25,000 An alliance of service providers, local government agencies Continuum of Care for Homelessness and other public interests whose common goal is the reduction and ultimate elimination of homelessness Cucalorus Film Foundation $25,000 Support seasonal staff for the Cucalorus Film Festival (Film, Stage, Connect) events which encourage visitor/tourist attendance and encourage increased spending in the local economy Foreign Trade Promotion Council $2,500 Uses its members’ expertise to assist New Hanover County small, midsize, and large corporations to expand global sales and thereby offer sustainable good paying jobs Friends of Fort Fisher $4,550 Support programs, lectures, reenactments, and activities for local, regional, state, and national visitors at the Fort Fisher State Historical site Genesis Block Labs, LLC $25,000 Assist with funding New Hanover County businesses participating in their accelerator program Highway 17 Transportation Association $3,250 Work regularly with the NC General Assembly, the Board of in NC, Inc. Transportation and NC DOT leadership to make prioritization and funding for rural, eastern projects more equitable Southeastern Economic Development $18,240 Assist with project development necessary for the solicitation Commission of grant funding from the Economic Development Administration The Southeastern Partnership, Inc. $20,000 Provide the regional and targeted industry specific marketing and conduct familiarization events Wilmington Business Development $258,600 Provide recruitment/assistance for business expansion and/or relocation efforts Wilmington Chamber of Commerce $181,000 Business retention, expansion, and recruitment Wilmington Downtown, Inc. $90,000 Provide activities to increase the number of businesses, jobs, and tax base in Wilmington’s Urban Core Wilmington Regional Film Commission $133,692 Promote/assist TV and film production activities to drive local entertainment business growth, support local production infrastructure and businesses Wilmington Symphony Orchestra $5,000 Provide symphonic music and music education programs through performance opportunities for regional musicians and for the community’s youth YWCA of the Lower Cape Fear $40,090 Empower young women, eliminating barriers, and provide resources that allow them to become full participants in the economic mainstream of the community Previously Approved Contractual Incentive Payments The following is an incentive payment that was previously board approved as outlined in the incentive agreement contract to be paid upon the company meeting specified investment/job requirements: National Gypsum, up to $70,000. This appropriation will be funded from General Fund revenues of the County. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 110 County Manager Coudriet stated that since advertising the hearing, there have been two changes that were made with Board consensus. The appropriation amounts for Wilmington Business Development (WBD) and Wilmington Downtown, Inc. (WDI) were increased. Chair Olson-Boseman thanked County Manager Coudriet for the update and stated that the Board would now receive public comments. Scott Satterfield, WBD CEO, expressed appreciation for the Board’s support and stated that WBD is the contractual economic development service provider for New Hanover and Pender counties and the City of Wilmington to help the dedicated efforts towards economic development. Significant results have been achieved despite Covid-19 and other headwinds. WBD has been able to influence directly and indirectly over $100 million of new capital investment and 635 jobs for southeastern North Carolina. Those have included, but are not limited to, announcements by Polyhose, Coastal Beverage, South Tech Systems, Pender Commerce Partners, Pacon Manufacturing, as well as the acquisitions of Port Logistics Center and the Cape Fear Industrial Complex. As it relates to current activity, the Wilmington Trade Center along Highway 421 in New Hanover County is part of an ongoing product development initiative of WBD in partnership with Edgewater Ventures and McKinley Builders. It is a three- story building, class A industrial development that will total over 425,000 square feet upon completion. The initial building will be 157,000 square feet, with a projected delivery in the fall of 2021. This product will provide a best-in- class option for luring new project recruitment efforts on a regional basis, help with existing industry growth, and attracting the needed clients to the area. Warehouse distribution, light manufacturing, as well as an array of new manufacturing projects for today's modern economy are being targeted. The momentum has continued along Highway 421 because of the County's commitment to water and sewer on that corridor. With that investment, growth has been seen and there are now over 100 business operating along the corridor. Also, Pacon Manufacturing recently announced a 100,000 square foot expansion into New Hanover County, off Carolina Beach Road, where the company will be doing some of its processes and distribution. This is a great opportunity for this region. Tracey and Girard Newkirk, founders of Genesis Block, expressed appreciation to the Board for its support and provided the following information about the service they are providing:  Back on the Block Minority Accelerator:  Goal of the accelerator is to provide entrepreneurship training, mentoring, networking, collaboration opportunities, and access to capital  Tied to the three-year Cape Fear Build the Block plan  120 companies graduate the accelerator program  400 jobs  $15 million in economic activity  Genesis Block Metrics:  First cohort completed with Graduation ceremony on May 27, 2021  Currently all nine companies are engaged in the MWBE certification process with the expectation they will complete by end of 2021 pending approval process  Genesis Block accelerator companies’ revenue increases range from 27% increase to 500% increase with the average revenue increase being over 70%  Genesis Block companies have, collectively, added seven new employees since January 2021  Genesis Block 2021 Accomplishments:  Graduated nine companies from Back on the Block minority accelerator (new cohort starts June 7, 2021)  Graduated six companies from Jumpstart Academy (nine new companies start this summer)  Hosted 28 events with over 650 attendees and over 4,500 virtual viewers  Over 80 companies and business organizations are in the Genesis Block community  Provides business development services for over 40 companies in the Cape Fear region  Five new businesses formed  72% of companies are women owned  68% of companies black owned  Stars from the Accelerator Program:  Health Begins from Within LLC:  Health Begins from Within LLC helps relax, reset, and recharge offering convenient stress relief products and services  Located in Blue Moon Gift Shops  91% increase in revenue since joining the Genesis Block ecosystem and accelerator  Business is expanding to become a Himalayan salt distributor with logistics in New Hanover County  Poseidon Elite Athletics:  Poseidon Elite Athletics is an elite youth training organization providing customized athletic training programs and mentoring for youth ages 6-18  In January 2021 had eight clients at the start of the accelerator  As of June 2021, have 51 clients and is having to turn away clients  Over 500% increase in sales revenue  Expanding program to underserved communities in Greater Wilmington area  Get That Deed LLC: NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 111  Educational platform that in 18 months creates first time homebuyers  Winner of 2021 Minority Accelerator Demo Day  Closed and converted 89 families to first time homeowners through program (over $20 million dollars in real estate value)  Has hired four new employees and is expanding real estate footprint throughout the Cape Fear region  Jones Sunset Sauce LLC:  Jones Sunset Sauce LLC is a tomato-based sauce company that has become a local hit  Increased customer base by 74% over the last 30 days  Expanded production capacity by 500% with new co-packing partner and revenue has increased 300% year over year  Product is on shelves in four stores locally in New Hanover and Pender counties and is negotiating with distribution partner to expand into larger food chains including Lowes Foods (10 store test)  Accelerator Graduation Demo Day Huge Success:  Nine companies graduated from the accelerator  Over 120 registered guests, Chef Keith Rhodes Keynote Speaker and Frances Weller was emcee  Event was covered by WECT and WWAY  Next cohort will graduate in October 2021  What’s Next:  Next group of companies starts on Monday, June 7, 2021  Continue to expand economic development partnership with New Hanover County to advance entrepreneurship in minority communities and fill gaps in the ecosystem Natalie English, Wilmington Chamber of Commerce (Chamber) President and CEO, stated that she appreciates the opportunity to speak about a new idea regarding the economic development ecosystem. This community has long made investments in an organization that provides fantastic economic development services in the community. WBD invests significant time and effort to attract and retain businesses in the community, and with the transition in leadership at Wilmington Downtown, Inc. (WDI), there is excitement about what will come with that investment for businesses specifically located downtown. Traditionally, the Chamber's role in economic development has been that of policymaker and advocate, to ensure there is a product that economic developers can sell. During and after hurricanes and a pandemic, the Chamber staff worked closely with the County Strategy Office to assess the needs of businesses as they try to recover from those disasters. It became clear that what was needed was a more formal business retention and expansion (BRE) program in the community. WDI does that downtown and WBD does it with the larger employers in the community, which provides proof that BRE efforts are critical to retaining and aiding in the expansion of current businesses. The ecosystem continues to improve as Genesis Block joins the Center for Innovation in Entrepreneurship (CIE) to foster the creation of businesses. The Small Business Center at Cape Fear Community College (CFCC) and the Small Business and Technology Development Center (SBTDC) at UNC-Wilmington (UNCW), also play a vital role in helping small businesses grow, when those businesses know about their services. Another issue highlighted by the pandemic, is the gap in how this community attracts small business investments. As people are considering where they live and work, many are choosing this type of community over metropolitan areas. This is an opportunity to benefit, not only from those who can remote work here, but also from them bringing businesses and the jobs with them. Currently, no one in this community is focused on that work. This investment would include hiring an experienced economic developer to manage the attraction, retention, and expansion of small businesses in the community in partnership with WBD, WDI, Genesis Block, CIE, SBC, and SBTDC. The proposal also includes the purchase of proven BRE software to manage the data collected on visits, which will enable the Chamber to respond to trends and to react accordingly. The Chamber will use the current Choose Cape Fear website to make sure businesses can find the resources that they need. This work will make the economic development ecosystem even stronger as the Chamber builds upon these existing partnerships. It will present a seamless front door to business growth in the community. It is what businesspeople are looking for, a quick answer to the need they have so they can focus on business growth. That is what the Chamber wants as a community: a focus on business growth that leads to more jobs for the citizens. Holly Childs, WDI President and CEO, expressed appreciation for the Board’s support and presented the following information on WDI:  WDI Mission and Initiatives:  Mission: To promote the economic growth and development of downtown Wilmington  New Programs and initiatives:  Developing and strengthening partnerships  Attracting new jobs and investment  Expansion of existing services  Initiating projects and programs  Developing and Strengthening Partnerships:  Economic development partners: NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 112  WDI role and partnerships:  WDI has a critical role to play in the region: growing the business and residential base of the City’s core.  WDI knows that economic development is a team sport, and to be successful, there is a need to develop meaningful, collaborative relationship with its valued partners.  Attracting New Jobs and Investment:  Expansion of Existing Services:  Initiating Projects and Programs: NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 113 In response to Board questions, Ms. Childs confirmed that WDI does have its focus set on a downtown grocery store. She and her team are getting helpful feedback, talking with national retailers, and working with local groups that are trying to start up grocers downtown. In terms of working with full-service grocers, she thinks it is going to be learning about what they need in terms of zoning and permitting as well as speeding up that process. She thinks downtown is in a good position to bring in a full-service grocer, but it is a necessity to see what the companies need to make it happen downtown. Hearing no further discussion, Chair Olson-Boseman asked for direction from the Board on the economic development and economic incentives appropriations. Motion: Commissioner Barfield MOVED, SECONDED by Commissioner Zapple, to approve the economic development appropriations and expenditures based on the finding that the appropriations and expenditures will increase the population, taxable property, agricultural industries, employment, industrial output, or business prospects of the County. Upon vote, the MOTION PASSED UNANIMOUSLY. Chair Olson-Boseman stated that staff is directed to do any and all things necessary to finalize the economic incentive appropriations and expenditures. PUBLIC HEARING ON THE FISCAL YEAR 2021-2022 RECOMMENDED BUDGET AND ADOPTION OF THE FISCAL YEAR 2021-2022 BUDGET ORDINANCE Chair Olson-Boseman opened the public hearing stating that pursuant to NCGS 159-12(b), before adopting the budget ordinance, the Board shall hold a public hearing at which time any persons who wish to be heard on the budget may appear. This public hearing on the FY 2021-2022 Recommended Budget meets these requirements. County Manager Coudriet presented the following updated information concerning the FY 2021-2022 Recommended Budget:  Overview of Adjustments to the FY 2021-2022 Recommended Budget:  Non-County Agency Contributions:  Human services  Economic development  Other General Fund Modifications:  Park Resource Officers  Sheriff’s Office  Reallocation of expenses and revenue adjustments  Non-County Agencies:  Economic Development:  General Fund:  Reallocation of Reserve Funds and Revenue Adjustments NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 114  Reduce existing administrative reserve funds ($82,897) for increased non-county agency contributions  Appropriate loan proceeds ($588,740) and increase Medicaid hold harmless ($485,642) for General Fund adjustments  Next Steps:  Budget adoption required by July 1, 2021 Chair Olson-Boseman stated that the Board would now receive public comments. New Hanover County Schools Dr. Charles Foust, Superintendent of New Hanover County Schools (NHCS), thanked the Board for the work it has done in collaboration with NHCS throughout this year. It has been a tough year and NHCS is hopeful that things will be different next school year. He reiterated appreciation for the County’s work with preschools and to ensure that students are first. Based on his conversations with the Board that has always been the conversation, “what are we going to do with our kids?” It did not matter about the zip code, but was “what are we going to do with our kids and how can we help to get there?” He further expressed appreciation for the Board’s support of the NHCS budget proposal, including increasing teacher pay to be first in the state. It will help with recruiting efforts. It is all about the students, which is what he has always stated. He also knows it to be true that the Commissioners’ hearts are about the kids and making sure that students are getting what they need. That means recruiting the best, taking care of them, and making sure that NHCS’ educational resources are the best for the students. He also expressed appreciation for the restoration of capital to $3.7 million, which when combined with lottery funding, will be used to improve the safety, and facilities repairs. He thanked the Board and County staff for collaborating with the NHCS Board of Education and staff to work on these issues and looks forward to continuing to work together. Cape Fear Community College Jim Morton, President of Cape Fear Community College (CFCC), thanked the Board for its support of CFCC throughout the year. CFCC did very well during Covid-19 compared to other colleges across the state and nation. Across the nation, community colleges fell about 10% in enrollment and across the state it was off about 6.8%. Last summer, CFCC ended up being up nine percent compared to the previous summer and fall enrollment was up one percent. This summer, CFCC started off its summer session up two percent over last summer and the fall projections are currently up by six percent. Since becoming president in 2018, CFCC has moved from being the seventh largest community college in North Carolina to being the fifth largest and it never closed during Covid-19. First responders continue to be trained in-person, and CFCC faculty and staff have done an amazing job keeping students engaged through new technology, and students have been successful in the classroom. As to CFCC’s budget, he appreciates the Board’s support. This year’s operational budget is less than it was in 2016 and the organization has done a great job of trying to control expenses through efficiencies. As for programs, headway is being made with new apprenticeship opportunities for students in welding, HVAC, electrical, etc. CFCC remains nimble, flexible, and able to respond to the needs of business and industry. He thanked the CFCC faculty and staff for their hard work and dedication throughout the year. CFCC has the opportunity with state funds to provide coverage of tuition and fees for any eligible 2021 high school graduating senior who enrolls in the fall of this year at CFCC. Typically, the grant eligibility is for a family of four with an adjusted gross income of less than $90,000. The student could receive up to $700 – $2,800 per year for two years. Again, it is for an eligible senior graduating this year, will be applicable for the next two years, and the money does not have to be repaid. More information is available at https://cfcc.edu/ncgrant. Currently, CFCC is seeing about 31% of the students graduating from NHCS that do not have a plan, in Pender County it is 41%, so this is a huge opportunity to help those students develop a plan. In response to Board questions, Mr. Morton stated that over the past two and a half years CFCC has th graduated 341 people from the lineman program and on June 8 the largest class of 48 will be graduating. It is a ten- week program. Placement rate into jobs is typically 90% and most graduates leave with two to three job offers. If they start off in an apprenticeship at Duke, River City, or MasTec the pay range is $18 – $22 per hour. Typically, after completing the two-year apprenticeship program, the national average salary is $70,000. If they want to pursue storms and travel, they can easily make $100,000. Other Agencies/Individuals Comments Poonam Kahlon, representing Castle Branch, thanked the Board for considering the professional readiness program as part of the budget. Creating opportunities for talented individuals early in their journey is really a key step for nurturing local talent and uplifting this community. Castle Branch is excited to introduce the professional readiness program in partnership with the County, Cape Fear Future Foundation, and CFCC. The program is carefully designed to strengthen this community's talent pipeline and to bridge the equity gap while doing so. It will help create a pathway to empower and uplift the participants and this community. Many individuals in the community face systemic barriers to obtain career stability. Castle Branch is thrilled to be part of the solution. It will help the participants find and maintain a solid pathway to a career they are passionate about. The program will allow Castle Branch to help participants create a clear pathway that will accompany them through their journey in their professional life and help them chart their own unique course. In each year of the proposed four-year pilot ten new participants start the program and have a unique opportunity to learn, explore career paths, gain experience, and receive mentorship while they are working towards an associate degree at CFCC. She reiterated appreciation for the Board considering the program for investment and working to help the whole community grow stronger. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 115 Henry Morz, resident of Rock Creek Circle and representing Cape Fear Pickleball Club (CFPC), thanked the Board for the opportunity to speak for the CFPC members who are in support of CFPC’s goal to get funding for pickleball courts. Pickleball is not only a great aerobic sport but it has created a positive social environment for players. One drawback to the sport in this County which hinders it from continued growth is the lack of permanent pickleball courts. There are only six permanent pickleball courts in the entire County with 242,000 residents. In June 2020, CFPC created a committee to address the issue and reached out to the Parks and Gardens department to assess the steps to help CFPC meet its goal of more permanent pickleball courts. While attending a Parks and Gardens meeting where the 2021 budget was being reviewed, discussion was held that there were tennis courts that could be converted in Arrowhead Park. However due to Covid-19, spending had been put on hold in 2021. There was also discussion about the possibility of using those funds to convert three of the nine tennis courts at Veterans Park in instead of Arrowhead Park to permanent pickleball courts. After pursuing that option, CFPC was told it was not workable. The CFPC committee continued to follow up with the department to determine if any funding could be freed up to convert the Arrowhead Park courts. On March 3, 2021, CFPC President Kevin Chandler and he made a presentation to the Parks and Recreation Advisory Board. The vision included the Arrowhead Park court conversion, and in addition, creating a 12-court facility to enhance CFPC’s ability to draw players to tournaments here in the area. This also would create financial opportunities for hotels, restaurants, etc. in the area. On April 12, 2021, CFPC was informed that the Arrowhead Park conversion was in the proposed 2021 budget. Upon review of the recommended budget, CFPC was disappointed to learn that pickleball was left out. Kevin Chandler, resident of Steeplechase Road and representing CFPC, stated he was speaking on behalf of CFPC’s 375 members as well as the hundreds of other area pickleball players that are not club members. Given the explosive growth of the sport and the projected participation increase in the County over the next several years, there is currently a severe shortage of pickleball courts within the County. There are only six in the entire County at Northern Regional Park. While they are fine courts, it is a long drive to get to them as many of the County’s pickleball players drive as much as 45 minutes from Carolina and Kure beaches to use them. Courts are needed closer to the southern end of the County. CFPC had worked out an agreement with the Parks and Gardens department to transform during the next fiscal year the very underutilized tennis courts at Arrowhead Park into six permanent pickleball courts. While not CFPC’s first choice, the proposal was accepted as a reasonable compromise and now the project has been dropped from next year's budget. CFPC has been working respectfully and diligently for years, through what it thought were the appropriate channels to make the establishment of more permanent public pickleball courts a reality. It was surprising to find out this is not the case. CFPC is here to express its extreme frustration of this development and to beseech the Board to include funding in the upcoming budget to make pickleball courts at Arrowhead Park a reality. The amount of money required is quite small, only around $50,000. It is felt to be a reasonable request and the Board is being asked to do everything it can to make it happen. Mr. Chandler expressed appreciation for the Board’s consideration of the request. Natalie English, Chamber President and CEO, stated that as an advocate for the business community, it is her job to ensure that the cost of doing business is kept at a level that makes the community attractive. It is also her job to advocate for investments in infrastructure needed for businesses to be competitive in this community. The top infrastructure concern right now for business leaders here and across the country is access to the talent needed to be successful. The proposed budget addresses ways to better develop the workforce that the County's businesses need. The budget invests in a multi-year pilot apprenticeship program with Castle Branch, which will invest in ten New Hanover County high school students each year who will transition into a multi-year work community college program. The pilot program could lead to additional business apprenticeship programs that will build the future workforce. Increased investments in CFCC and the public schools are critical to build a talent pipeline for current and future businesses. Investment in economic development ecosystems aimed at economic growth and opportunities for citizens will aid in the continued recovery from hurricanes and the pandemic. The pandemic relief included in the budget will aid in continued recovery. The grant program to support leisure and childcare businesses, which have been hardest hit, is critical to the community's tourism related economy. The investments in nonprofit organizations and job training programs in the community will also support that continued recovery. She knows concerns are being expressed about the proposed tax rate, especially in light of the endowment that was created because of the sale of New Hanover Regional Medical Center to Novant Health. Contrary to popular belief, the endowment funds cannot be spent on County expenditures. That was known when the Board voted to sell the hospital. The endowment is intended to make investments in this community that will transform the community for generations. If we are to continue working to attract businesses and the needed workforce, investments must be made in infrastructure, education, and worker training. Those investments are needed to accommodate the population growth that is known to be coming and warrant the consideration of the higher than neutral tax rate. A quick review of tax rates in other growing areas in North Carolina illustrate that New Hanover County’s rate will remain lower than the others. The rates will also remain competitive with the County’s comparable communities such as Asheville, North Carolina; Roanoke, Virginia; Chattanooga, Tennessee; and Pensacola, Florida. She believes that the investments proposed by the county manager are ones that advance the County's vision towards a vibrant, prosperous, diverse coastal community that is committed to building a sustainable future for the future generations as well as the Chamber's vision to promote prosperity in the community by cultivating business growth. John Smist, ACCESS of Wilmington Executive Director, thanked the Board for including ACCESS of Wilmington in the FY 2021-2022 budget. Access of Wilmington helps serve the fitness needs for people with disabilities, not just physically, but with intellectual disabilities. Over the past year, it has had some difficulties being able to reach people. Zoom was utilized during the pandemic, but now everything is being done on the field. He also thanked the Board for the opportunity to speak, invited the Commissioners to see what the organization does, and looks forward to possibly more future endeavors with the County. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 116 Ted Davis, Jr., resident of East Creeks Edge Drive and NC Representative, stated he is attending today not as a member of the North Carolina legislature, but as a New Hanover County citizen and taxpayer. In view of the property revaluation, the revenue neutral tax rate would be 42.5 cents per $100 value, and what is being proposed is a tax rate of 47.5 cents, which is a five-cent increase. If one cent on the tax base is presently worth $4.7 million, that is an increase in tax revenue of $23.5 million. Why is the tax rate above revenue neutral necessary to cover that $23.5 million, especially when there are other sources of funding available? The County has a fund balance of approximately $60 million, and that is 18+%, which is more than double the eight percent required by the state. The County has a revenue stabilization fund of $300 million that will be earning interest thereon. The County has over a billion dollars in the sale of a hospital that will be earning interest thereon. The Board created the oversight committee for those funds, it chose the members of that committee, and it can certainly get appropriations from those funds to offset county government expenses. In addition, in looking at the $11 million in the budget for the local teachers’ supplements, NHCS has a fund balance of approximately $18 million and has federal ARP funds of over $50 million that are not appropriated and have few restrictions. There is absolutely no reason why these funds cannot be used and would prevent any tax increase above a revenue neutral budget. He is presently in his ninth year in the state house and has never voted for a tax increase. In fact, the Republican majority has voted to decrease both personal taxes and corporate taxes. Finally, a real rub in the budget is the proposed salary increase for the Board. Especially after increases in the value of taxpayers’ property due to revaluation, this is like putting salt on a wound. His annual salary when he was appointed to the state house in 2012 was $13,950.96. Nine years later, it is still the same. Plus, unlike the County Commissioners, being Raleigh prevented him from being able to go to work locally to earn an income. He asked that each Commissioner seriously consider what he has said, step back, and work on a revenue neutral budget that will not include any tax increase, nor a salary increase. Paige Freeman, resident of North Fifth Avenue, stated that she is a long-time County and City of Wilmington resident who tries to stay active and informed in her community. To put it simply, this is not the time for a tax increase. People are just now crawling their way out of a serious depression of about a year and a half. Local individually owned businesses have been crushed and gone under. It is egregious to raise taxes at this time. Eleanor Shakar, resident of Rabbit Run, thanked CFCC for all it has done in the community. She does think CFCC is a valuable resource. CFCC has one of the top nursing programs in the state and should be commended for that. Also, her daughter took the EMT prep class and was able to take it in-person, which was very valuable to her and others in the program. She hopes that all the CFCC classes will be able to in-person because for her daughter it was a valuable experience. She is also here to ask that the Board reconsider the tax increase of five cents. She is afraid that after living here for almost 25 years, what is being done is something unprecedented here in this County. What about only increasing it by 2.5, 2.25 or 2 cents, and see how it works. Yes, the revaluations came back, and she is sure most people's properties increased in value, but that does not mean that the Board should take advantage of its citizens because that happened. Most times when this occurs the increase is revenue neutral, and she would ask that that Board consider at least going revenue neutral or to a less than five cent increase. Additionally, she also would like to reiterate the fact that due to Covid-19, rising gas prices, commodities, supply chain, and the current hurricane season, the citizens really need to be thought of. That is why each County Commissioner took their position, because they cared about the citizens of this County. Some of the citizens still have not recovered from Hurricane Florence and it is a sad state. She hopes the Board will think about these issues. Susan Kreamer, resident of South Moorings Drive, thanked the Board for its time and effort spent on County issues. She read every page of the budget and what popped out on three different pages were the diversity and equity coordinator and diversity and equity specialist positions, at $63,000 and $83,000. She would like to know what those job descriptions are exactly. The Diversity and Equity department budget ranges from $11,650 to $437,189 in the recommended budget. She is concerned as to why we need this diversity in education, especially when critical race theory in schools is being fought nationwide. While she respects teachers, she feels the $9,000 supplement for teachers should go to each police officer. Thomas Simpson, resident of Hooker Road, stated he has lived in Wilmington for 15 years and is an economist. He would like to underscore the remarks made by Representative Davis. It should be recognized that the proposed property tax is, on average, going to be a 12% increase for homeowners in the County. It is a substantial increase. A lot of the money is going to education and for many that might seem where it is needed most. However, he thinks that what is being dealt with is an education model that has failed many students, particularly those who live in lower income zip codes. He does not see much evidence in the recommended budget that there is a sincere effort to help those young people and give them the same chance as so many of the County’s residents. Other communities around the country have recognized this problem. Many are addressing it by developing experiments, using creativity to create a better model, and some models seem to be very promising. It is incumbent on the Board to provide true reform to provides educational opportunities and a level playing field for all young people. Steven Morrissey, resident of Forest Lagoon Place, stated he has been a County taxpayer since 2002, a resident since 2004, and until June 18th, a member and former chair of the New Hanover County Parks and Recreation Advisory Board. He wants to address the $50,000 budget item for pickleball courts at Arrowhead Park, which was taken out of the FY 2021-2022 capital budget plan. He sent the Board an email last week outlining his disappointment in trying to get this budget line item over the goal line. While his dream of having several dedicated pickleball courts close to every house and apartment in the County may not occur for Arrowhead Park this year, it needs to be recognized that there is a new game in town with community benefits far past the field of sport. For the pickleball community at-large the dream is real, the vision is clear, and the quest for more dedicated courts in this NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 117 County which will continue each year for the foreseeable future. There are 41 tennis courts in town and only six dedicated pickleball courts so there is a lot of work to do. Nick Craig, resident of Gordon Woods Road, stated he is a 24-year-old homeowner in the County. When he gets paid every two weeks, he manages his budget at home and cannot spend more than he makes. It is called going in debt and does not work. What is being taught to young people that want to get involved in government is that when more money is needed just pin it on the taxpayers. It is absurd and ridiculous after 14-plus months of government shutting down businesses, and not allowing people to do commerce the way that they want to live their lives. The fact that the Board is looking at raising, on average, tax rates of 12% on County property owners is ridiculous and makes absolutely no sense. It sets up Wilmington to not be financially sustainable in the future. Harry Knight, representing Intracoastal Realty, stated that he is a County resident, a former employee of the nuclear industry and during his career he managed a budget that is four times the size of the County budget on two continents and in three countries. If he had presented a budget as is presented on the County website, he would have been fired on the spot for two specific and provable reasons. First, it is incomplete and second, it is not accurate in showing where all the money goes. There is $45 million coming to the County this year from federal stimulus and nowhere in the budget is that accounted for. At the end of the day, the $45 million is still taxpayer money, it is still being spent here in this County and the budget should include it. The budget should show which line items it is going to and how that affects each line item moving forward. It is also not easy to see in the budget what the changes are from last year to this year. If he just read the top line of it, he would say that the public safety office is being defunded by 30%, which is what the budget shows by the line items. He knows the Board is not doing that, but that means the money is going someplace else. The money is being moved around and it is hard for the citizens to see where it goes. The Board is asking for more than a 10% increase in the taxes, and it has $45 million on top of that to spend in the County this year. That is a massive increase in spending and a massive increase in revenue. It is ultimately the citizens’ money. He asked that the Board put a stay on approving the budget and at a minimum, have staff prepare a budget where it can be reasonably seen what the budget was last year, what the budget is going to be this year, and comparable line items, fully inclusive, including the $45 million. He understands there are strings that go with the $45 million and that the County cannot spend it on whatever it wants, but large parts can be spent on things critical to the County. A lot of time is spent on education here and you will not find a person more in favor of increasing education than him. He is a poor West Virginia farm boy and education is how he was able to make that statement. Hearing no further comments, Chair Olson-Boseman closed the public hearing and asked for direction from the Board on the Fiscal Year 2021-2022 Budget Ordinance. Commissioner Barfield stated that he appreciated the comments made during the public hearing with all th the needs in the community. This is his 13 year on the Board, and he has maintained the same pace. His yes is always a yes and his no is always a no. He is not one to hold his finger up, wet it, and see where the wind is blowing and pick a vote based on how the wind is blowing. In the game of golf, you may have a lot of wind where you are, but it may not be blowing by the greens or it may be swirling at the greens, so it is important to make an informed th decision as you pass budgets. This is this 13 budget that he has worked on as a County Commissioner. He did not vote on the first budget he sat in on. The Board at that time elected not to increase revenue, but instead, reduced positions, furloughed county employees, have reductions in force, etc. Those were things that he did not think were right to do and it put the burden of county government on the back of the county employees, so he voted against that budget. In 2011, as Board chair he led the County in its first strategic planning session. He was amazed at the time that the County had not had a plan done in over 17 years. In his opinion, how does a county government run without visioning document and a plan to get from point a to point b, other than telling the county manager to bring forth a budget with no tax increase. A consultant was hired help figure out what a plan looked like for the entire County. Now, when looking at the budget everything spent is tied to a strategic plan and is something that many may not understand, but it is what guides this County. One of those great pillars of that plan was to have economic development, public safety, and a strong education system. Those are things where a lot of the money goes. As to what former commissioner Ted Davis said, it is like pouring salt in the wound, but he finds that salt heals wounds. It does not always hurt, sometimes salt heals things. As he looks at what is being proposed in increasing teacher supplement to make them number one in the state, he reflects on being a product of the NHCS system. He grew up in this community and his dad served as a county commissioner as well. As such, he understands the importance of providing for all citizens and he represents not only tax homeowners, but everyone that lives in this community. That means those that pay rent, those that would like to own something, and all the children in the community. The County Commissioners represent all of them, not just homeowners. He commends the speaker who bought a home at the age of 24 and for having the insight to make a good investment within himself and his community. All have enjoyed a strong fund balance which has allowed this County to be one of the few in the state to maintain not one, but two triple A bond ratings. He believes there are only four or five counties in the state that have that and only a handful in the country that have two triple A bond ratings. It was mentioned that the County’s fund balance is above 16%. Several years ago, the County developed a fund balance policy, which helps to maintain a minimum of 18% and a maximum of 21% within the County’s fund balance. By maintaining that policy, the rating agencies maintain the County’s triple A bond ratings. A couple of years ago the tax rate was reduced it came right before Hurricane Florence hit. The County had to dip into the fund balance to make things work because the citizens in this community, when a storm comes, the first thing they want is the storm debris picked up. Citizens will not hesitate to let you know that either, but it takes money to do that, and money does not appear unless there is money saved up within the fund balance to do those things. He looked at Pender County when Hurricane Dorian hit, and how it did not have the resources, due to the fund balance being so low, to immediately pick up storm debris. Debris NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 118 had to be piled up in various places, and finally that County told citizens to bring their debris to a location and it found a way to pick up the debris. Not in New Hanover County. Every resident in New Hanover County was accounted for as it mobilized the needed services. That was not done just with Hurricane Dorian, but also after Matthew, Florence, etc; every hurricane prior to that as well because the County has maintained strong financial acumen. Commissioner Barfield further commended the county manager, chief financial officer, and budget officer for having the foresight to not only look at where the County is today, but to also plan for where the County wants to be in future. As to the recommended pay increase for the Board, the Commissioners have not taken a pay increase since he has been on the Board for the past 13 years. He commends those that will have the fortitude to never take a pay increase in this position, but most people, even those that are retired, are looking for their cost-of-living adjustment (COLA) to be increased every year so they can keep up with the cost of living within this community. He has no problem saying that he would indeed support increasing the Board’s stipend to even where Brunswick County is, which much higher than this County. He is looking forward to further partnering with the school system to make sure that the teachers are highly paid, the Sheriff's Office to make sure that the law enforcement is top within the County, economic development partners to make sure that the County can continue to increase job opportunities here and recruit more industry, with CFCC to provide more innovative ways to increase job opportunities for young people in this community and the entire region, and with a strong focus on housing affordability. One challenge that we truly face here is the ability for young people, in today's market to buy a house. There is a tremendous need here to make sure that when young people graduate from CFCC or UNCW, they can afford to buy a home and live and work in the community that they live in. Commissioner Rivenbark stated that the County has schoolteachers that cannot afford to live here because they are not paid enough and have to live in either Pender or Brunswick County. There are police and firefighters who have to work part-time jobs in addition to their full-time jobs to make ends meet. The County is trying to figure out how to get workforce housing, there are people living in the woods, and people that are hungry. He is not embarrassed about what the County is trying to do to address these issues and is proud of what it is doing for the teachers. He wants to help the police, firefighters, and everyone else get better. Vice-Chair Hays thanked the staff and the Commissioners for the hard work that has been put into the budget over the past several months. She looks at the budget as an investment. An investment in everyone’s future, in the County's future, and she 100% agrees with Commissioner Barfield, the Board represents everybody, from the youngest child to the oldest adult. There is something for everybody in this budget. She is proud of the master aging plan that the County has put forth. She also believes wholeheartedly in education and investing in education, Jim Morton and CFCC’s vision, and in the first responders and investing in them. The County has a detailed plan for its American Rescue Plan (ARP) money that is outside of the budget and has been posted on the website, and she would be happy to share that with anybody and it is detailed. She believes in the vision of the community’s education leaders and in accountability. The one thing she believes in is not necessarily having teachers be the number one paid in the state, but she believes in the proficiency of the schools, teachers, and students, but putting students first. They are coming out of Covid-19 and are dealing with a lot of issues. She believes in the need to make sure that every single student regardless of their economic background, where they live, what their families do, that each one has the same right to a complete and have a total education and that they hit that 90% proficiency across the board. That is her goal and what she is looking at, it is about the students, and she believes it can be accomplished. Vice-Chair Hays further stated that she believes in a lot of the items that are in the budget, not all, but most. She believes the budget needs to be done without imposing it on the property owners. She believes there are funds available that can be reviewed, diligent work done to put a plan together to bring it forward, and to make it work for everybody so that is a win for the County’s investments, children, teachers, first responders, and an investment and win for the property owners, and for all the citizens. She is concerned that teacher pay is being raised on the one hand and higher property taxes is being taken out of the other hand. She believes that defeats the purpose. She is also concerned about the affordable housing detriment if property taxes continue to be raised. That continues to defeat and lower the ability to provide for true workforce housing, affordable housing for all. The definition of affordable housing is 30% of a person’s net income and there are a lot of people that are spending way more than that on their housing. It also raises rents. She is concerned about the County’s seniors and people on fixed incomes. She has many e-mails from people concerned that their property taxes are going to price them out of their homes, or they are going to have to choose between their medicines and paying their taxes. That is a concern for her. She would like to ask the Board to take the next couple of weeks, not vote on the budget tonight, to look at some of the additional funding sources that can be pulled from and put together the win-win package that she knows can be done. The County has the ARP funds, fund balance, the ADM rate for the schools can be discussed, some of the efforts with NHCS can be combined as it is also getting ARP funds, and increasing the sales tax revenue can be looked at. The Board can look at all combinations, so the property owners are not impacted. Commissioner Zapple expressed appreciation to County staff for their work on the budget and the Commissioners for their ideas. He has worked on the Board for seven years and many of the ideas, projects, and initiatives that it has tried to get off the ground for the past seven years have not been able to happen. To finally be able to put together what he believes is an excellent budget, with the focus on education and making the teachers number one in the state is more importantly providing them the respect they have needed. For too many years there have been deferments of making major investments into the public school system as well as the community college and it is now happening in the budget. However, he believes all of what has been asked for and discussed can be done with the resources that the County already has at hand. Working in partnership with NHCS, between the CARES Act and ARP money that the school system is receiving and with the County’s own fund balance, while it must be NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 119 protected but it can be used. There is money from the sale of the hospital and the revenue stabilization fund of over $300 million. All of these, including the County’s own ARP money, have restrictions and conditions behind them. Yet he also knows in talking with staff there are ways to account for and to move money that gives the County the amount needed to be able to lower that tax rate and so that some of these decisions can be pushed out, financially, until the next revaluation when it is known things will have changed. As a data fact, a year ago when the CFO discussed the sales tax revenue with the Board, he said expectations had to be lowered due to coming into what turned out to be a horrible pandemic and knowing that the sales tax was going to fall off the cliff. Fortunately, the County did not go as low as he thought it would. Instead, what has happened is that it has increased steadily, as was seen by the end of the year and into this year. The sale tax revenues continue to go up and provides another source of income. Again, a little bit can be taken from each pot of money that has been talked about to be able to address the five cents above revenue neutral tax rate, so the entire burden is not placed on the property owners. There will be a tax increase and hopefully a small one, but he thinks that the County can do better and knows with the Board’s leadership and in working with staff a way can be found. Several paths have already been developed, the Board just needs to come to consensus on what the County can do and work with its partners in the education world and certainly with the money that the County already has. Commissioner Zapple further stated that besides the major investments in public education, there are also investments in public health and safety, fire services, and economic development. All these things have been in the County’s grasp and it is ready to run with them now. However, a bit more work needs to be done to not increase the taxes and he knows it can be done. As to hurricane preparedness, in looking at the budget there are tremendous investments on making this County more prepared and resilient. Debris will be picked up much better than Brunswick and Pender counties because this County has prepared for it and will continue to do so with the investments made in this budget. The County will not drop down below its 18% fund balance because it is known that is what protects triple A bond rating. All of this is possible, but more work needs to be done to not lay this entirely on the backs of the property owners. Finally, as to the earlier comments about law enforcement he thinks that is an interpretation issue. In this budget, the Sheriff’s Office is being supported greater than he ever remembers being done over the past seven years with needed replacement of vehicles, 13 positions, and finally the drug lab that has been promised for three years. Again, this Board fully supports law enforcement. Hearing no further discussion, Chair Olson-Boseman stated she would make a motion to adopt the FY 2021- 2022 Budget Ordinance to include $1.2 million American Rescue Plan funds to be directed to New Hanover County Schools for transportation needs and afterschool programs. Motion: Chair Olson-Boseman MOVED, SECONDED by Commissioner Barfield to adopt the Fiscal Year 2021-2022 Budget Ordinance to include $1.2 million American Rescue Plan funds to be directed to New Hanover County Schools for transportation needs and afterschool programs. Chair Olson-Boseman stated she does not think there is anything more important in this next year than educating our children. This past year has been horrific. She is sorry people do not agree with that, but she is not going to apologize for the budget, for what is being done for education. During a recent end of school year event that she and Commissioner Rivenbark participated in, they were absolutely stunned by the poverty that exists. As such, she does not think there is anything more important and asked Dr. Foust what could be done for the kids because if they do not have food to eat, how are they going to be educated, noting that they probably do not have internet at home and possibly not even electricity. It is known that the key time is between 3:00 p.m. and 5:00 p.m. when there is the most worry about kids getting in trouble. There is a need to get kids off the streets and give them the resources that they need. In asking Dr. Foust about this, she learned what is needed is after school transportation that goes later into the night so kids can go to CFCC to get to tutoring, stay later to work wok with tutors at the schools as well, and this will allow for every child to have the same opportunity to learn. Vice-Chair Hays stated she that she wants to reiterate that she thinks that all are very invested in the education for youth, especially post-Covid and want to make sure that there is equity, across the board, for all students to learn and to really become proficient. However, she believes that there is a way to do so without impacting the private property owners. She would like to make a substitute motion to delay the vote until the June nd 22 meeting and during that time take a look at all of the variety of funding sources, ARP funds from both the school and the County, fund balances, ADM rates, sales tax revenue, combinations of a variety of those and really come forward with the opportunity to do all of these great things, and invest in this community, the students, and first responders without making an imposition on the citizens. Hearing no further discussion, Chair Olson-Boseman asked for direction from the Board on the substitute motion on the floor. nd Substitute Motion: Vice-Chair Hays MOVED, SECONDED by Commissioner Zapple to delay vote until the June 22 meeting and during that time take a look at all of the variety of funding sources, ARP funds from both the school and the County, fund balances, ADM rates, sales tax revenue, combinations of a variety of those and really come forward with the opportunity to do all of these great things, and invest in this community, the students, and first responders without making an imposition on the citizens. Commissioner Barfield stated that he appreciates Vice-Chair Hays’ comments but feels that is what has th been done for the last three or four months now. As he previously stated, this is his 13 budget and he understands the process very well, and again, this is what have been done for the last several months. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 120 Hearing no further discussion, Chair Olson-Boseman called for a vote on the substitute motion on the floor. Upon vote, the MOTION FAILED 2 TO 3. Chair Olson-Boseman, Commissioner Barfield, and Commissioner Rivenbark dissenting. Chair Olson-Boseman asked for direction from the Board on the original motion on the floor. Upon vote, the MOTION CARRIED 3 TO 2. Vice-Chair Hays and Commissioner Zapple dissenting. Copies of the budget ordinance and capital improvement plan are hereby incorporated as part of the minutes and are contained in Exhibit Book XLIII, Page 6.11. BREAK: Chair Olson-Boseman called for a break from 5:41 p.m. to 5:50 p.m. CONSIDERATION AND ADOPTION OF THE REVISED STORMWATER ORDINANCE County Engineer Jim Iannucci stated the stormwater ordinance was adopted on September 5, 2000. There have been amendments since then, changes in the permitting process, and there is now the newly adopted stormwater services program which was approved on December 16, 2019 and went into effect July 1, 2020. To include all the changes and to set the ordinance into the Unified Development Ordinance (UDO) format the Board is being asked to adopt it as presented. If adopted, it will then be presented to the Planning Board for approval to be incorporated into the UDO, along with the revised design manual that will be brought back before this Board for approval. The ordinance incorporates the County taking over maintenance of stormwater conveyances, carry drainage and runoff across the County, which could be pipe systems, ditches, and natural creeks. The fees for the stormwater services program were delayed from being collected during FY 2020-2021 to FY 2021-2022. However, the department did almost $4 million worth of emergency watershed protection work, which removed hurricane debris, sediment, vegetative debris, and there are still ongoing projects through a grant program to be completed. Postcards were sent last week to every property owner in the unincorporated County that provides information about the stormwater services program. People can call to ask questions and there will be a virtual rd public meeting on June 23 to hold a question-and-answer session about the program. The work has been ongoing through grant funds and the fees started with the assistance of the ARP funds, so what is being presented to the Board is a more simplified ordinance that will allow the ability to do the stormwater and permitting process but also account for the stormwater services program. Citizens will begin to see doorhangers in their area if work is to be done with easements. If authorization is needed beyond their properties, staff will obtain that, but again the work has already begun with inspectors in the field doing the pre-planning work. There are also employees currently being hired and equipment being purchased as the plan is to start doing maintenance July 1, 2021. Commissioner Barfield commended Mr. Iannucci for his efforts. He is thankful that the County is providing a mechanism to help decrease flooding and provide development to take place. At the appropriate time he would move to adopt the revised stormwater ordinance to be included in the UDO. In response to Board questions, Mr. Iannucci confirmed that section 7.11 of the ordinance does address change of ownership authorization for stormwater control facilities falling within and not falling within communal areas of development. The system must be certified, so there would be an application submitted to have that transfer of ownership done and that is a program that certain stakeholders, like the homebuilders’ association, have requested be investigated and there is also some state legislation addressing it. There will be ongoing discussions about that and if some of the language is incorporated when this ordinance is moved to being merged into the UDO, it would be brought back to this Board for consideration. He further confirmed the program is to maintain the drainage flow across the County. There are some permitted systems, retention systems, which catch water off the impervious surface that was a requirement for a development to be built. It will still be the permit owner’s responsibility to maintain those systems. The other part of the public nuisance is undeveloped parcels which do not contribute a fee and those owners will have to continue maintenance of those properties until they are developed. Hearing no further comments, Chair Olson-Boseman asked for direction from the Board. Motion: Commissioner Barfield MOVED, SECONDED by Vice-Chair Hays to adopt the revised stormwater ordinance to be included in the Unified Development Ordinance. Upon vote, the MOTION PASSED UNANIMOUSLY. A copy of the stormwater ordinance is hereby incorporated as part of the minutes and is contained in Exhibit Book XLIII, Page 6.12. PUBLIC HEARING AND APPROVAL OF A REQUEST BY DESIGN SOLUTIONS ON BEHALF OF THE PROPERTY OWNER, TF HOLDINGS, LIMITED PARTNERSHIP, TO REZONE APPROXIMATELY 7.59 ACRES OF LAND LOCATED AT 3001 BLUE CLAY ROAD FROM R-20, RESIDENTIAL-20 ZONING DISTRICT, TO (CZD) R-5, CONDITIONAL RESIDENTIAL MODERATE- HIGH DENSITY DISTRICT, IN ORDER TO CONSTRUCT A 50-UNIT TOWNHOME DEVELOPMENT (Z21-06) Chair Olson-Boseman opened the public hearing and requested staff to make the presentation. Senior Planner Brad Schuler presented the request by Design Solutions on behalf of the property owner, TF Holdings, Limited Partnership, to rezone approximately 7.59 acres of land located at 3001 Blue Clay Road from R-20, Residential-20 District, to (CZD) R-5, Conditional Residential Moderate-High Density District, in order to construct a NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 121 50-unit townhome development. The property is located on Blue Clay Road, west of the North Kerr Industrial Park and south of the Rachel’s Place subdivision and is currently undeveloped. Under the current zoning, a performance residential development would be permitted up to 14 dwelling units on the site. The R-20 district in this area was established in the mid-1970s. At that time, public utilities were limited in the unincorporated sections of the County, and therefore these areas were zoned for lower density housing that would be served by private well and septic. Mr. Schuler reviewed photos of adjacent homes within in the R-20 district along Holland Drive and Long Leaf Drive. The lots in these areas are generally around a half-acre in size, with some larger lots ranging up to about one acre in size. Since that time, water and sewer services have now become available making smaller lots and higher densities possible. The Rachel’s Place subdivision located north of the site was rezoned to a conditional R-10 district in 2016. The lots in that subdivision are around 7,000 - 8,000 square feet in area and consist of a mixture of one- and two-story homes. The R-5 zoning district is one of the newer districts which was established in 2019. This district is intended to provide for attached housing units like townhomes and duplexes. While it does allow for more density than the traditional residential districts, it does not permit any multi-family housing like the typical three-story apartment building. The existing townhomes in Marsh Oaks and Plantation Village would be examples of the type of development envisioned for said district. Mr. Schuler then reviewed the proposed concept plan for the property. In addition to accessing Blue Clay Road, the proposed streets within the development would connect to the Rachel’s Place subdivision to the north and Holland Drive to the west. The interconnected street network of the adjacent neighborhoods allows access to Castle Hayne Road from the subject site. The proposal would allow for a 50-unit townhome development. The maximum height of the buildings in the proposed R-5 district is limited to 40 feet, which is the same height standard applied to the adjoining R-10 and R-20 districts. The proposed development is estimated to generate about 25 to 30 trips during peak hours, which is an increase of about 10-20 trips than if the site was developed as a typical single-family subdivision under the existing zoning. The estimated traffic generated from the site is under the 100 peak hour threshold that triggers the ordinance requirement for a traffic impact analysis. There is one North Carolina Department of Transportation (NCDOT) project planned for the area that will make improvements to Castle Hayne Road and will begin after 2029. In the surrounding area, there are six residential developments either under construction or being reviewed by the Technical Review Committee (TRC) with about 550 homes left to be constructed. As for schools, based on a generalized historic generation rate, staff would estimate that the increase in homes would result in approximately 11 students, eight additional students than would be generated under the current zoning. However, over the past few years, staff has seen a decline in the number of students generated by new development. Student numbers remained relatively stable between 2015 and 2020, while during the same time, over 14,000 new residential units were permitted across the County. The recent facility needs survey that has been prepared by NHCS staff indicates that, based on student growth projections and school capacity data, along with planned facility upgrades and changes to student enrollment patterns, there will be adequate capacity district wide over the next five years. The proposal is also consistent with the County’s goal of providing for complete communities. Specifically, the proposed development will increase the housing diversity of the area and it is near the Wrightsboro commercial node. As for compatibility, the property is located on a minor arterial street with available capacity. It also abuts industrial zoning to the south and east. There have also been recent rezonings in the area that have increased density of nearby properties along Blue Clay Road. The 2016 Comprehensive Plan classifies the site as Community Mixed Use. Overall, the proposal is generally consistent with the recommended densities for this area and will help provide a transition between the existing single-family housing to the west and the industrial zoning to the east. In addition, the proposal supports the County’s goal of providing for a range of housing types. The Planning Board considered this application at its May 6, 2021 meeting and recommended approval of the application (6-0) finding the application to be consistent with the purposes and intent of the Comprehensive Plan because the proposed density is in line with those recommended for the Community Mixed Use Place type, and the project will provide an appropriate transition between a major road corridor with industrial development and existing low-density housing. The Planning Board also found approval of the rezoning request is reasonable and in the public interest because the proposal supports the County’s goals of providing for a range of housing types and opportunities for households of varied sizes and income levels. Chair Olson-Boseman thanked Mr. Schuler for the presentation and invited the applicant to make remarks. Cindee Wolf with Design Solutions, on behalf of the property owner, TF Holdings, Limited Partnership, the parcel is sandwiched between the R-10 district and the recent Rachael's Place development to the north and industrial uses to the south and across Blue Clay Road, the railroad, and then the R-20 that the subject site is still part of. As the Community Mixed Use place type focuses on transitioning uses and densities, the R-20 district was appropriate at the time and there has been a change in better development opportunities now that public water and sanitary sewer are available in the area. In 2019 the petition then was for a conventional rezoning. At that time, the owners had no plan of what they wanted, and the whole purpose of the conditional district is intended to give neighbors more surety in what will develop. This petition is by a residential developer, ready to move forward, and limited to a plan and appropriate conditions of approval. That is the purpose of the conditional district, to ensure that the development will conform to the County's adopted plans and appropriately address any impacts that might be generated. The property owner is aware the subject site is in the airport's transition zone. It has been discussed, NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 122 they have no opposition from the airport, but it is known that there are some additional regulations as part of the construction process. Ms. Wolf reviewed the petition noting that as a conventional R-20, it could have been developed up to 14 units but by the County’s performance standards, those units could be 14 singles, or even a three-story apartment building with 14 units. As pointed out by Mr. Schuler that as an R-5 with the conditional district, they are limited to the same height, characteristics of all the neighborhoods around them and are not allowed to have any attached housing beyond the four units in a row. There are two existing rights-of-way stubbed to the property, interconnectivity stipulate, which has been abided by, including off-site construction that would fill in the unimproved gap of Long Leaf Drive, between the property boundary and Holland Drive. The pavement for Rachael’s Place connection is already in place. The single-family residences will be attached in groups of threes and fours each with a one-car garage, some end units will also be able to have an option for two cars. All driveways have room for parking two cars abreast, and the depth is more than sufficient distance not to block the sidewalks. Guest parking is included around the community. Sidewalks will be installed on both sides of the main right-of-way that traverses through the project and then, internal to the project, there will be a connective loop with crosswalks. Buffering will be required because these are attached units along the northern and western boundaries abutting those detached homes. That will be accomplished by a combination of solid fence and plantings to separate the uses and visually screen the two housing products. The site naturally drains towards Blue Clay Road, and the stormwater management will be handled with a pond along the Blue Clay frontage, like the way the Rachael’s Place pond is. There were some improvements made to that drainage system on the back part of Rachael's Place and the entire area. One matter that arose in conversation was that there is an existing drainage way, and its current condition is shallow and wide, in an area that water flows. Her client will address that as normal bypass drainage and the plan is to relocate it along the property boundary where they can now provide a public easement for offsite drainage through a property, and it will fall into the County's new stormwater program. Ms. Wolf then provided an overview of the concept for the architecture noting that it has not yet been completed. The units are defined as attached single family residences and are constructed for individual ownership. To address some comments made during the community information meeting, the Long Leaf Acres right-of-way was stubbed to subject property in 1959. There is a gap in the connection and the interconnectivity, and the developer as part of this petition is willing to abide by the condition that he needs to pave it out from her client’s property line to Holland Drive where it provides that connectivity. That said, there has been a creep of use from adjacent properties. This developer is committing those costs for the improvements. There will be a roll type curb at the edges, so if the two sites that will become corner properties desire to do so, they can always get a driveway on to it very easily with the roll type curb. There will not need to be any type of curb cuts or anything. Residents on Long Leaf Acres and Laurel Drive spoke at the meeting about increased traffic on those roads. That comes primarily from the uses. The traffic engineers’ statistics for single family homes generally generate more trips than this type of housing style, which is a townhome, has more retirees, more non-family type users. She and her client do not believe that traffic will be an issue, however, the interconnectivity always seems to be an issue for older neighborhoods. She would venture connection as noted on the site plan, in addition to what Mr. Schuler showed that will give access from Castle Hayne, whether it be Holland Drive or from Sheridan to Long Leaf Acres will be more accommodating and safer for people in those neighborhoods than now. Existing residents often voice their opposition to new communities based on their desire to preserve their quiet family neighborhoods. The residents along Holland Drive made those same statements when Rachael's Place development was approved and it is why the new projects come with sidewalks, drainage facilities, and upgraded construction. She is sure that the residents of this neighborhood, if approved, will feel the same way about their families, privacy and neighborhoods as the neighborhoods surrounding them and will be equally as proud. Ms. Wolf concluded her presentation stating that all have become more aware that the need for more housing in the area is a mandate to address the influx of new citizens in the County. Increased density improves form and function of underutilized sites and good for economic development and increased tax base. This proposal provides an orderly transition between the lower density residential areas and the Wrightsboro Acres neighborhood and the industrial development that is across the road. Growth should be accommodated with a variety of housing types. She hopes the Board will concur with both staff and the Planning Board recommendations that this request is consistent, it is reasonable, and in the public interest. In response to questions, Ms. Wolf stated that it would not have been the responsibility for the developer to put in the connection to Long Leaf Drive. As with Blue Bonnet and Rachael's Place to the north, they have recently paved all the way to the property line. That is the common practice now required for a new development that has stubbed rights-of-way to adjacent properties. Back in 1959 nobody was there, no one needed it, and no one did it. NCDOT only maintains Long Leaf Drive over to Holland Drive. As part of the petition, her client has committed to paying for and connecting that pavement from where they will take it to their property line, all the way over to Holland Drive. That will go through the County process and then to NCDOT for approval. The roads have to be built to state standards whether they are taken over by NCDOT. The hope would be that NCDOT, because this will be a through road between two NCDOT roads, being Holland Drive and Blue Clay Road, will be willing to accept it as a dedicated public right-of-way and be publicly maintained. However, NCDOT cannot be depended on to accept all the new roads that are being built as they are dependent on location and connection. Rachel’s Place has all private roads and NCDOT did not take those roads. The project will not impede a nice smooth transition, it would be nice to have it as a NCDOT street, but she cannot commit to it. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 123 Commissioner Barfield stated that he does not have concerns about traffic with this project. He knows the area very well and the project will be a benefit for the people living in the older neighborhoods to get to Blue Clay Road. He would not drive all through the neighborhoods to get the Castle Hayne Road when there is a signalized light within short proximity. He also thinks the connectivity is good. Chair Olson-Boseman announced that one person signed up to speak in opposition and no one signed up to speak in favor to the request. She invited the person to make remarks. Jennifer Dalton, representing Wrightsboro Acres and a resident of Long Leaf Drive, spoke in opposition to the request stating that the biggest concerns for those she is speaking on behalf of are traffic and drainage. As to the traffic concerns, Holland Drive, Long Leaf Drive, and Laurel Drive essentially make up Wrightsboro Acres and it is felt the traffic study was woefully underutilizing Blue Clay Road and Castle Hayne Road. The neighborhood sees a lot of cut through traffic and while it is a NCDOT road, it is not well maintained. There is also concern that the hazards will be increasing because as it is currently insulated from a lot of traffic, it does get used for recreational/pedestrian purposes. The site is already connected to Blue Clay Road which is heavily utilized by law enforcement, first responders, and the public. As such, vehicles will come over to the light, cut onto Blue Clay Road which puts a driver right at this new neighborhood. The neighborhood is proposed to connect to Rachael's Place so if people wanted to come out to Long Leaf and drive through Rachael's Place to do so, it could be done. That is one main reason there is a preference to not see the stub used as a connection between the neighborhoods. Regarding concerns about drainage, Holland Drive backs up to the site and the existing drainage ditch was installed by the Trask family and the ditches on Kerr Avenue were also connected to the ditches in the neighborhood and Wrightsboro Acres. That does lead to water ponding behind people's homes on Holland Drive and does cause drainage problems throughout that section of the road. The drainage ditch is currently not maintained and is full of trees, underbrush, and scrub brush. The concerns are that the issues will be exacerbated by the development. The development of Rachael’s Place did not solve any drainage problems. Additionally, Rachael's Place has stated that they are having to pay for the installation of french drains and drainage solutions, because water is ponding badly in their backyards and not running off. The residents of that neighborhood feel they were disenfranchised by the Planning Board because their concerns about the drainage issues were ignored and did not attend the meeting about this project. It is hard for people to understand that is not the end of the argument. The area proposed for the development has a high clay content, backs up to an area on Holland Drive that already has drainage problems and Rachael's Place is having drainage problems. It is not clear how this proposed development will now solve all the drainage problems. She also finds it interesting that Rachel’s Place was designed by Ms. Wolf’s firm and built by TF Holdings and the people living in that neighborhood are not happy with Ms. Wolf’s firm or the developer. Chair Olson-Boseman stated that applicant and opposition would each have five minutes for rebuttal. In applicant rebuttal, Ms. Wolf stated regarding the interconnectivity if anyone is traveling south from the community of the potential project, there would be no reason to go left to where they would have to make a left- hand turn on to Castle Hayne Road. Again, on the flip side, those people can get out to Blue Clay Road and not have to turn left either. She thinks interconnectivity is a good thing for the community and people just hate to hear anything about it. The new streets do have this and because it is an R-5, if approved, the street that will go through will be required to have a sidewalk on both sides. Hopefully, people in the neighborhoods will walk on those sidewalks and do so more safely than in their own neighborhoods right now. It is not believed that traffic going west is going to be the issue just because of this project. Residents of Rachel’s Place attended the Planning Board meeting voicing their issues with their neighborhood. However, that was not what the purpose of the meeting was, but she wanted to do her homework because she knew it would arise during the public information efforts. Some stated that they were told nothing was ever going to happen in the farm field. She believes that what was said was because lots 43-49 were backed up to a permanent open space, that nothing would ever happen in that open space and that is correct. It is a drainage easement; it will be permanent open space. However, all know that property beyond the existing farm field, has always been under different ownership. Its current limitation is the permitted uses in the zoning district, which include not only homes, but kennels and indoor/outdoor recreation facilities, etc. as it sits now. There were no promises that should have been made that nothing would happen on this site. The roads stubbed to Blue Bonnet have always there. It is already paved and there is not a whole lot of surprise that when a plat is recorded it can be seen on the plat that the road is stubbed. Regarding the drainage issues in Rachel's Place, although they are very much of concern, the proposed development does not have any effect on them. The water from the surfaces on this project, all have to be directed to the pond which is up at Blue Clay Road. The drainage swale that is at the back that drains the properties along New Holland Drive, is not well maintained and is not deep enough. All those things will have to happen for the construction to begin and will be addressed during at the detailed design and permitting stage by the engineers. She reiterated, it is considered drainage over the subject property and will have to be addressed and provide public easements for that to go by. As far as the drainage issues in Rachael's Place, it is a development that is not yet entirely complete. The County holds over a $100,000 bond, which is normal, to allow phases of development to be recorded and lots sold in large communities like Rachel's Place. The developer and his engineer received a punch list about a month and a half ago of deficiencies and some of them have been addressed in the past two weeks. The recent rains held things down last week as far as improvements. The final connection to the big field is also a necessary improvement and is imminent. At that time, the final lift of pavement will be applied to all those roads which in fact leave them in prime condition after the construction traffic is over. The site contractor has been addressing this little by little, but the developer’s engineer has to provide the professional certification of the pond NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 124 and the entire drainage system. There is motivation for a developer to turn over the roads and stormwater permits to the homeowners’ association. A large community like this takes time and it begs some patience from the new residents. She knows they are anxious, and those problems are being addressed, but some of the issues are also the responsibility of some of those residents. In response to Board questions, Mr. Iannucci stated regarding the soil condition there is blue clay soil and things of that nature, so soil type would have to be considered pre- and post-development. As a subdivision or other type of development is built, soil type has to be looked at and brought into account in the current condition and then after it is built upon. To drain all the impervious surface from this development to the pond sometimes fill needs to be brought for that land to be able to drain to that pond. It cannot be drained into a ditch or off site. It has to go to the pond and sometimes grading is necessary to make that work. Blue clay soil is a poorly drained soil. Rachel’s Place does have a County stormwater permit, but it has not been certified by the engineer due a punch list that his chief engineer is working through with the development engineer. There were some deficiencies, there were some drainage things in backyards, but again that is not from impervious surface. The system carries from the road, but that system has not been certified by the engineer as being complete. He has not seen a drainage plan for the proposed project, but the developer does have to do preliminaries to show that there will be a pond and what is being considered for offsite drainage. Engineered stormwater plans are not required at this point. In response to further Board questions, Ms. Wolfe explained that unless there is a need to redirect water in a totally different way it is better to leave the ditches open air. The open-air ditches hold more water and traverse it just as well. For this project, the ditches would be open air. In opposition rebuttal, Ms. Dalton stated that the issues seen with Rachel’s Place would be synonymous to the problems that Wrightsboro Acres will see. Open air ditches are fine until water is no longer moving. It is something to consider as this is a very high-density development in a seven-acre area. When there is poor drainage, it will exacerbate issues and make things worse. As to stubbing the road over, in some ways it feels like people who do not live here yet have more rights than the people that do live here. While she realizes the County is growing and will continue to grow, she would like to see the growth accommodate the existing uses of the already established neighborhoods. She also realizes the fact an R-20 neighborhood is bringing in as much tax revenue as the newer developments, but people do live here. They would like to maintain use of their neighborhoods as much as possible. While she is not personally against the new development, she is against the traffic. Rachel’s Place has not been stubbed over yet, but those residents do realize when done, it will case some issues. It is also believed that connecting Blue Clay Road to Castle Hayne Road through there is going to cause many to not be able to use the neighborhood like they traditionally have. Chair Olson-Boseman closed the public hearing and opened the floor to Board discussion. Hearing no further discussion, Chair Olson-Boseman asked for direction from the Board. Motion: Commissioner Barfield MOVED, SECONDED by Chair Olson-Boseman, to approve the proposed rezoning to a Conditional R-5 district. The Board finds it to be consistent with the purposes and intent of the Comprehensive Plan because the proposed density is in line with those recommended for the Community Mixed Use Place type, and the project will provide an appropriate transition between a major road corridor with industrial development and existing low-density housing. The Board also finds approval of the rezoning request is reasonable and in the public interest because the proposal supports the County’s goals of providing for a range of housing types and opportunities for households of different sizes and income levels. In response to Board questions, Colin Tarrant, Planning Board member, confirmed that this matter was passed and that he was present during the previous time that it was brought before the Planning Board on the straight rezoning request. Several people from Rachel’s Place were present to speak specifically regarding traffic as well as the drainage issues that were discussed tonight. He thinks the Planning Board’s discussion pertained to the fact that it was focusing specifically on the fact that the project before it was not Rachael's Place. The members did understand and were sympathetic to the flooding and drainage issues that Rachael's Place has, but it tried to draw a line between that neighborhood and this specific project. The Planning Board also agreed with similar comments made during this meeting such as the interconnectivity issues being a positive. While it cannot be predicted what will happen exactly once built out, the Planning Board believed it would have a positive impact and ultimately, that outweighed some of the negatives that were heard. Again, the focus was on what was before the Planning Board during that meeting, and it did find the fact that it was a conditional rezoning request important as opposed to the straight rezoning that was before it previously. When moving from R-20 to an R-5, it was felt that being able to give those neighbors an opportunity to see what was going to go in next to them, especially with the increase in density to that level was a huge positive. The Planning Board was impressed with it, thought it worked, and liked the transitional aspects of it. In response to further Board questions, Mr. Iannucci stated as discussed earlier the stormwater permit needs to be certified but there are corrections that need to be done. Until those are done, the developer cannot turn the permit over. One of the things that will be done under the new current stormwater project is giving the new neighborhoods a discount on the stormwater fee to have a functioning system. If the system did not function and the developer runs afoul with their permit, their residents would lose that and that is going to be the instigation to correct it. There is no time limit to make the correction. He does not know how many people are in Rachel’s Place at this point but knows is it well built out. NEW HANOVER COUNTY BOARD OF COMMISSIONERS BOOK 35 REGULAR MEETING, JUNE 7, 2021 PAGE 125 In response to additional Board questions, Ms. Wolfe stated that the developer of Rachel’s Place is the same developer for this project. However, there is $100,000 bond in place and the punch for Rachel’s Place is not abnormal for a project of that size. The drainage problems are in backyards, and as Mr. Iannucci also pointed out, the system itself appears to work. Again, there is a punch list to make sure that it works even better, and it becomes certified. Certification is close, from her understanding, but installing plants and putting in grass in the backyards because of the blue clay are also the responsibility of the people living there. While it is the same developer, the assurance that this project will be handled just the same is that there is bonding that the County is holding. The developer has done a lot of the work that is already included in that $100,000 bond. If he does not get it certified, it cannot be turned over and if it cannot be turned over, he cannot get the $100,000 back. There are checks and balances for these types of things and a project of this size, nothing has been abnormally timed. Commissioner Barfield stated that it is important to focus on the proposed project being considered and not litigating Rachel’s Place as it has already been dealt with. A similar issue occurred with Anchor’s Bend several years ago and having the bond money in place made certain things happen, so he understands that aspect of things. Hearing no further discussion, Chair Olson-Boseman asked for a vote on the motion on the floor. Upon vote, the MOTION CARRIED UNANIMOUSLY. A copy of AN ORDINANCE OF THE COUNTY OF NEW HANOVER AMENDING THE ZONING MAP OF AREA AR OF NEW HANOVER COUNTY, NORTH CAROLINA, ADOPTED OCTOBER 4, 1976 is hereby incorporated as part of the minutes and is contained in Zoning Book II, Section 10A, Page 46. APPOINTMENT OF VOTING DELEGATE TO THE NACO 2021 ANNUAL CONFERENCE Commissioner Zapple nominated Commissioner Barfield for appointment as the voting delegate to the NACo 2021 Annual Conference. Hearing no further nominations, Chair Olson-Boseman asked for direction from the Board on the nomination on the floor. Motion: Commissioner Zapple MOVED, SECONDED by Vice-Chair Hays, to appoint Commissioner Barfield to be the voting delegate to the NACo 2021 Annual Conference. Upon vote, the MOTION CARRIED UNANIMOUSLY. PUBLIC COMMENT ON NON-AGENDA ITEMS Chair Olson-Boseman stated that no one signed up to speak on non-agenda items. ADDITIONAL AGENDA ITEMS OF BUSINESS There were no additional items of business. ADJOURNMENT There being no further business, Chair Olson-Boseman adjourned the meeting at 6:50 p.m. Respectfully submitted, Kymberleigh G. Crowell Clerk to the Board Please note that the above minutes are not a verbatim record of the New Hanover County Board of Commissioners meeting. The entire proceedings are available online at www.nhcgov.com.