MINUTES
WATAUGA COUNTY BOARD OF COMMISSIONERS
TUESDAY, NOVEMBER 24, 2009
The Watauga County Board of Commissioners held a regular meeting on Tuesday, November 24, 2009, at 5:00 P.M. in the Commissioners’ Board Room of the Watauga County Administration Building.
PRESENT: Jim Deal, Chairman
William R. Winkler, III, Vice-Chairman
John Cooper, Commissioner
Tim Futrelle, Commissioner
Anthony di Santi, County Attorney
Robert E. Nelson, Jr., County Manager
Deron Geouque, Deputy County Manager
Anita J. Fogle, Clerk to the Board
Chairman Deal called the meeting to order at 5:00 P.M., welcoming those in attendance.
[Clerk’s Note: Commissioner Kinsey was unable to attend due to family illness.]
WORK SESSION TO REVIEW CAPITAL IMPROVEMENT PLAN
A work session was conducted to review the County’s Capital Improvement Plan (CIP). Deputy County Manager Geouque reviewed the current CIP and related issues. Deputy County Manager Geouque stated that, historically, general government funding for the CIP had surpassed education funding; however, in the current CIP, there were no funds budgeted for the general government section and $3,964,700 designated for high school debt service and $60,471 for Caldwell Community College & Technical Institute. The current state of CIP funding required future County projects (including the courthouse interior and exterior renovations; future County office building(s); a new recreation center; and economic development) to be postponed with timelines extended accordingly.
The Deputy County Manager stated that over $212,900 was allotted for the HVAC repair in the courthouse; and $350,000 was earmarked from the cultural and recreational category for the completion of the Brookshire Soccer Complex which left a balance of $570,190 for PARTF match and any future recreational needs. The Information Technology balance of $732,157 was set aside as a contingency for tax software conversion and future County needs. Amounts for Emergency Communications were also reviewed. East Annex renovations and future County building line items were for the long-term facilities plan for a new facility to be built at the Human Services Complex with some County operations being relocated there while vacated buildings were renovated. Deputy County Manager Geouque stated that staff recommended against reassigning funds in the CIP to other priorities at this time.
Deputy County Manager Geouque stated that the County’s capital reserve balance had an earmark of $180,759 for the School Board’s Capital Improvement Plan with no funding provided in the FY 2010 budget. The School Board was pursuing school construction bonds in the amount of $1,300,000 for IT and roofing needs. Also, no funds were currently identified to pay for the school construction bonds debt service or 10-year Capital Improvement Plan. Deputy County Manager Geouque stated that, if the existing high school did not sell, payment for additional debt service, in the event that the short-term loan be converted into long-term debt, was to be approximately $826,650 in FY 2011 and $3,227,289 in FY 2012. Also, Caldwell Community College & Technical Institute may request that the County restore their Capital Improvement Plan funding back to the $275,000 level which was for proposed future building.
Ms. Doris Isaacs, Finance Director, stated that it would be helpful for the School Board to update their Capital Improvement Plan, in light of the current economic conditions, to allow for more accurate fiscal planning.
County Manager Nelson recommended that a work session with the School Board be scheduled early in the budget preparation planning for the coming year.
Discussion followed regarding the possibility of constructing a new recreation facility, a project which had been considered for many years with a site already prepared adjacent to the new high school. Potential financing options were discussed including a combination of installment payments and Recovery Zone Bonds. The advantage to building the facility now was due to the low cost of building and the Recovery Zone Bonds that were available to help offset the cost of financing.
Mr. Joe Furman, Planning and Inspections/Economic Development Director, stated that a resolution was required to express interest in pursuing Recovery Zone Bonds. He also requested direction in the pursuit of the $6.7 million in Facility Bonds that were available.
By consensus, the Board agreed to direct staff to prepare documentation required to pursue the Recovery Zone Bonds and Facility Bonds for consideration at the December 7, 2009, Board meeting.
APPROVAL OF MINUTES
Chairman Deal called for additions and/or corrections to the November 2, 2009, regular meeting and closed session minutes.
Commissioner Cooper, seconded by Vice-Chairman Winkler, moved to approve the November 2, 2009, regular meeting minutes as presented.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
Commissioner Futrelle, seconded by Commissioner Cooper, moved to approve the November 2, 2009, closed session minutes as presented.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
APPROVAL OF AGENDA
Chairman Deal called for additions and/or corrections to the November 24, 2009, agenda.
County Manager Nelson requested the following additions: 8B) Request for the Designation of Firms for Technical Assistance in Developing an Energy Plan to Access U.S. Recovery Funds and 12D) Technical Correction to Motion from July 13, 2009, Board Meeting.
Vice-Chairman Winkler, seconded by Commissioner Cooper, moved to approve the November 24, 2009, agenda as amended.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
SMOKY MOUNTAIN CENTER REPORT
Ms. Suzie Long, Northern Regional Director, Smoky Mountain Center, presented a report on mental health services issues and introduced Ms. Christy Pruess who was to replace Ms. Long upon her retirement. Ms. Long stated that, in the 2009 session of the NC Legislature, the General Assembly took action which eliminated community support as a service that was funded under the NC Medicaid Plan as well as the state-funded Integrated Payment and Reporting System (IPRS) that provided state funds for indigent mental health and substance abuse citizens. Ms. Long then reviewed actions Smoky Mountain Center was taking, along with their network of providers, to respond to the challenging situation. Ms. Long also stated that, as some services provided were held harmless of the budget reductions, others were either reduced or eliminated.
The report was given for information only; therefore, no action was required.
FISCAL YEAR 2008/2009 AUDIT PRESENTATION
Ms. Kathy Brown, Accountant with Bryce Holder CPA, PA, presented the County’s Fiscal Year 2008/2009 audit. Ms. Brown reviewed the Management Discussion and Analysis Section as well as the Basic Financials. The general fund fund balance was reviewed. Ms. Brown noted that the overall tax collection rate was good and a growth in the tax base was noted.
This report was given for information only; therefore, no action was required.
FINANCE MATTERS
A. Presentation of Smoky Mountain Center Quarterly Financial Report – Ms. Isaacs stated that, by Statute, Smoky Mountain Center, the Local Management Entity (LME) for mental health services in Watauga County, was required to submit a Quarterly Report to the Board of Commissioners. Ms. Isaacs presented the report on behalf of the Smoky Mountain Center.
The report was given for information only and, therefore, no action was required.
B. Budget Amendments – Ms. Doris Isaacs, Finance Director, presented the following budget amendments for Board approval:
Account # Description Debit Credit
103586-323003 POA-ARRA $11,758
105550-422000 Food & Provisions $11,178
$11,758
The amendment recognized the award of ARRA funds for nutrition services for the Project on Aging. These funds will be used for home-delivered meals and congregate nutrition.
Account # Description Debit Credit
213991-399101 Fund Balance Approp. – New $212,900
219800-498010 Transfer to the General Fund $212,900
103980-398121 Transfer from Capital Reserve $212,900
104261-458000 Capital Outlay – Building Improvements $212,900
The amendment recognized the transfer of funds from the Capital Reserve Fund to the General Fund for the remainder of the funds needed to complete the Courthouse HVAC system renovation. Capital Reserve funds remaining from the Administration Building ($169,840), Courthouse Parking ($31,137) and the Courthouse Complex ($11,923) projects will be expended for the Courthouse HVAC project.
Account # Description Debit Credit
103991-399101 Fund Balance – Approp. – New $3,451,119
109800-498043 Transfer to Capital Projects Fund $3,451,119
213991-399101 Fund Balance – Approp. – New $1,548,881
219800-498043 Transfer to Capital Projects Fund $1,548,881
433980-398010 Transfer from the General Fund $3,451,119
433980-398121 Transfer from Capital Reserve Fund $3,451,119 $1,548,881
435911-451000 Capital Outlay – Furniture & Fixtures $5,000,000
The amendment transferred funds from the Capital Reserve Fund and the General Fund for the furniture and fixtures for the new high school.
Account # Description Debit Credit
143839-353100 Donations – Foster Children $546
143839-353102 Donations – Child Protective Services $300
145310-449902 Foster Children’s Fund $546
145310-449904 Child Protective Services $300
The amendment recognized September and October donations for the DSS discretionary funds.
Commissioner Cooper, seconded by Vice-Chairman Winkler, moved to approve the budget amendments as presented.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
[Clerk’s Note: The above amounts shown in strikethrough were inadvertently miscoded in the original submission. The corrected amounts are shown in bold..]
BID AWARDS REQUEST FOR LANDFILL GAS TO ENERGY PROJECT
Ms. Lisa Doty, Recycling Coordinator, presented proposals for the Landfill Gas to Energy Project in which she was given authority to develop a plan for electricity generation using the methane at the closed landfill. She was authorized to spend up to $200,000 from the Sanitation Department’s Retained Earnings Account.
Ms. Doty recommended contracting with the following:
Carlson Environmental Consultants, in the amount of $31,525, to install the gas pipeline (complete with a pressure valve.) Negotiations were conducted to obtain this price in that Carlson Environmental had installed the collection system and has an existing contract for monitoring and maintenance;
KSD Enterprises, in the amount of $83,940, to purchase and install generators. This price was based on negotiations with KSD Enterprises which was determined to be the best company suited for the County’s needs;
US Buildings, in the amount of $18,600, for the installation of a concrete pad and metal building to house the generators; and
Tucker Engineering in the amount of $31,403 for switchgear design and installation. Mr. Tucker came highly recommended with experience in such installations and was, therefore, determined to best meet the County’s needs for this project.
The total amount Ms. Doty requested for award was $165,468.
Ms. Doty stated that this project carried the potential to save the County in excess of $500,000 over a ten-year period.
County Manager Nelson stated that funds generated and saved from the project were to be was used for Sanitation Department operations.
Commissioner Futrelle, seconded by Vice-Chairman Winkler, moved to award bids as follows for the Landfill Gas to Energy Project: Carlson Environmental Consultants, firm of record, in the amount of $31,525, to install the gas pipeline with a pressure valve to the site; KSD Enterprises, which best met the County’s needs, in the amount of $83,940, to purchase and install generators; US Buildings, a local company, in the amount of $18,600, for the installation of a concrete pad and metal building to house the generators; and Tucker Engineering, which best met the County’s needs, in the amount of $31,403 for switchgear design and installation.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
REQUEST FOR THE DESIGNATION OF FIRMS FOR TECHNICAL ASSISTANCE IN DEVELOPING AN ENERGY PLAN TO ACCESS U.S. RECOVERY FUNDS
Ms. Doty stated that stimulus funding was available for the development of energy plans. The NC Energy Office designated 37 firms to provide technical assistance to local governments. Local governments could apply to the NC Energy Office to have the designated firms provide assistance with creating a strategic energy plan; responding to the project request for proposals (RFPs); performing preliminary and detailed energy surveys; and project measurement and verification. The fee for the technical services provided was to be paid by the Energy Office through ARRA funding. Government entities were required to submit a strategic energy plan with the RFP response to be considered for an award.
Ms. Doty requested authorization to submit an application and recommended that Appalachian State University, High Country Council of Governments, and Big Woods Energy Engineering be designated as the firms that were to provide assistance with the County’s plan. The information obtained from the energy audits performed was to be used in applying for grant funding.
Commissioner Cooper, seconded by Commissioner Futrelle, moved to authorize Ms. Doty to develop an overall strategic energy plan for Watauga County buildings and perform audits on the four largest County buildings; and designated Appalachian State University, High Country Council of Governments, and Big Woods Energy Engineering as firms to provide assistance in the development of the plan.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
PROPOSED SWIMMING POOL UPGRADES
Mr. Stephen Poulos, Parks and Recreation Director, presented a request to enter into a contract with Conner Construction Corporation, in the amount of $1,470, to install required pool upgrades to come into compliance with Federal Safety Standards. He also requested contracting with ChlorKing, Inc., in the amount of $28,158, to install a saline and carbon dioxide system that was to be more economical in maintaining the chemical levels in the pool’s water. An amount of up to $40,380 was available to complete the tasks; therefore, Mr. Poulos requested that an amount up to $40,380 be approved for the recommended upgrades to the pool in that the balance was to serve as a contingency in light of the potential to discover unknown issues during the installation process.
Mr. Poulos stated that the pool was to be closed for approximately one week while the upgrades were performed.
Vice-Chairman Winkler, seconded by Commissioner Cooper, moved to award an amount up to $40,380 to enter into a contract with Conner Construction Corporation for installation of required pool upgrades and ChlorKing, Inc., to install a saline and carbon dioxide system to the pool.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
PLANNING AND INSPECTIONS MATTERS
A. BREMCO Transmission Line Easement Request – Mr. Joe Furman presented a request from Blue Ridge Electric Membership Corporation (BREMCO) for an easement for the installation of a transmission line across the property located at Tweetsie Railroad and partly owned by the County. BREMCO was in the process of replacing and moving poles and lines that ran through the property. Mr. Furman stated Tweetsie was in favor of the easement and that a prior easement with BREMCO was to be abandoned upon approval of the current easement request.
Commissioner Cooper, seconded by Vice-Chairman Winkler, moved to approve the easement to BREMCO for the installation of a transmission line.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
B. Abandoned Manufactured Homes Grant Program Discussion – Mr. Furman reviewed the State Program to remediate abandoned manufactured mobile homes and application guidelines for grant funding of the program through the NC Department of Environment and Natural Resources, Division of Pollution Prevention and Environmental Assistance.
By consensus, the Board agreed to direct staff to prepare a plan for abandoned manufactured home remediation in Watauga County for future presentation to the Board.
NEW HIGH SCHOOL MATTERS
A. Construction Management Contingency Request # 48 – County Manager Nelson presented Construction Management Contingency Request # 48 in the amount of $8,803.21. The request was to cover the installation of structural steel to support the aluminum storefront at the front of the building that contains doors and windows. This support was deemed necessary for the structural integrity of the entrance.
Commissioner Futrelle, seconded by Commissioner Cooper, moved to approve Construction Management Contingency Request # 48 in the amount of $8,803.21 as presented by the County Manager.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
B. Design Change Report for Floor Coverings for New High School – County Manager Nelson presented a letter from the Watauga County Board of Education stating that their Board requested that vinyl tile flooring be installed throughout the high school in place of the previously planned polished concrete. Also, the School Board had approved the installation pattern. No additional costs were to be incurred.
The report was given for information only; therefore, no action was required.
MISCELLANEOUS ADMINISTRATIVE MATTERS
A. Proposed Department of Correction Lease – County Manager Nelson stated that one of the results of State budget cuts in FY 2010 was the cessation of payments from the Administrative Office of the Courts to the various counties for administrative space. Therefore, the North Carolina Department of Correction requested a three-year lease (from November 1, 2009 to October 31, 2012) for Probation and Parole office space with an annual payment to the County in the amount of $1.
Discussion was held regarding the length of the lease and the possible reinstatement of future State funding for administrative spaces.
Vice-Chairman Winkler, seconded by Commissioner Cooper, moved to approve the lease for a one-year term (ending October 31, 2010) with the North Carolina Department of Correction for Probation and Parole office space in the amount of an annual payment to the County of $1.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
B. Boards and Commissions – County Manager Nelson stated that Mr. Brent Graybeal requested an appointment be made to the Watauga County Board of Adjustment for a term that was to expire in November. Ms. Janet Miller, the current member, was willing to continue to serve if reappointed. The term was for three years.
Commissioner Cooper, seconded by Commissioner Futrelle, moved to reappoint Ms. Janet Miller for a three-year term to the Watauga County Board of Adjustment.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
County Manager Nelson stated that the Watauga Medical Center Board of Trustees had recommended the following for reappointment to their Board: Mr. Keith Tester, Ms. Margaret “Pinky” Hayden, and Mrs. Jan Winkler. Each appointment was for a three-year term beginning January 1, 2010, and ending December 31, 2012.
Commissioner Futrelle, seconded by Vice-Chairman Winkler, moved to reappoint Mr. Keith Tester, Ms. Margaret “Pinky” Hayden, and Mrs. Jan Winkler to the Watauga Medical Center Board of Trustees each for a three-year term beginning January 1, 2010, and ending December 31, 2012.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
County Manager Nelson stated that, at the last meeting, Vice-Chairman Winkler nominated Mr. Billy Martin as the Board’s representative to serve on the Northwest Regional Housing Authority’s Board. The appointment was for a five-year term to begin December 12, 2009, and end December 12, 2014.
Vice-Chairman Winkler, seconded by Commissioner Cooper, moved to appoint Mr. Billy Martin to the Northwest Housing Authority’s Board as Watauga County’s representative for a five-year term ending December 12, 2014.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
C. Announcements – County Manager Nelson announced that the County Christmas Luncheon was scheduled for Tuesday, December 15, 2009, from 12:00 P.M. to 2:00 P.M. at the Dan’l Boone Inn.
County Manager Nelson announced that the Watauga County Parks and Recreation Department had scheduled three community meetings to discuss residents’ needs and desires for future improvements and additions to recreational opportunities provided in the County. The dates and locations are as follows: Wednesday, December 2, 2009, 7 P.M., at Valle Crucis Elementary School Cafeteria; Monday, December 14, 2009, 7 P.M., at Parkway Elementary School Gym; and Thursday, December 17, 2009, 7 P.M., at Hardin Park Elementary School Gym.
County Manager Nelson announced that the Board had been invited to attend an Eagle Scout Court of Honor for William Brewster Laine and Isaac Bonner Million, members of the Boy Scouts of America Troop 100, on Sunday, December 6, 2009, 2:00 P.M., at the Boone United Methodist Church.
D. Technical Correction to Motion from July 13, 2009, Board Meeting – The following was an excerpt from the July 13, 2009, Board of County Commissioners’ meeting:
B. Bid Award Request for Agricultural and Farmland Protection Plan – Mr. Chatham proposed entering into a contract with Frontline Conservation Real Estate for the preparation of the County’s Agricultural and Farmland Protection Plan. This was to be funded through a grant from the North Carolina Department of Agriculture and Consumer Services which was previously announced. Mr. Chatham stated that the Plan was to, among other things, help find markets for local agriculture.
Commissioner Cooper, seconded by Commissioner Kinsey, moved to approve entering into a contract with Frontline Conservation Real Estate for the preparation of the County’s Agricultural and Farmland Protection Plan, contingent upon the County Attorney’s review of the contract document when presented.
VOTE: Aye-5
Nay-0
County Manager Nelson stated that, in the letter submitted with the bid proposal (which contained both Frontline Conservation Real Estate and Unique Places contact information), Unique Places was listed as the entity that would “work with the County Commissioners, Soil and Water Conservation District, and other project partners to develop an outstanding planning process and plan according to a mutually agreeable schedule.” On July 13, 2009, a motion was erroneously approved to enter into a contract with Frontline Conservation Real Estate. The motion should have been to approve entering into a contract with Unique Places, not Frontline Conservation Real Estate. (See minutes above.) The County has since entered into a contract with Unique Places.
County Manager Nelson stated that staff recommended the Board rescind the motion from the July 13, 2009, meeting and take action awarding the contract to Unique Places, as originally intended, retroactive to the date of July 13, 2009.
Commissioner Cooper, seconded by Commissioner Futrelle, moved to rescind the following motion from the July 13, 2009, Board meeting: “Commissioner Cooper, seconded by Commissioner Kinsey, moved to approve entering into a contract with Frontline Conservation Real Estate for the preparation of the County’s Agricultural and Farmland Protection Plan, contingent upon the County Attorney’s review of the contract document when presented.” and moved to approve entering into a contract with Unique Places for the preparation of the County’s Agricultural and Farmland Protection Plan, as reviewed by the County Attorney and retroactive to the date of July 13, 2009.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
PUBLIC COMMENT
There was no public comment; however, Commissioner Futrelle offered congratulations to Masters William Brewster Laine and Isaac Bonner Million upon their accomplishments in obtaining the designation of Eagle Scout.
CLOSED SESSION
At 6:58 P.M., Vice-Chairman Winkler, seconded by Commissioner Cooper, moved to enter Closed Session to discuss Attorney/Client Matters, per G. S. 143-318.11(a)(3); Land Acquisition, per G. S. 143-318.11(a)(5)(i); and Personnel Matters, per G. S. 143-318.11(a)(6).
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
Commissioner Futrelle, seconded by Commissioner Cooper, moved to resume the open meeting at 7:52 P.M.
VOTE: Aye-4(Deal, Winkler, Cooper, Futrelle)
Nay-0
Absent-1(Kinsey)
[Clerk’s note: Chairman Deal left the meeting at 7:52 P.M. and, therefore, did not participate in the discussion of or action on, the following items.
Upon Chairman Deal’s departure, Vice-Chairman Winkler presided over the meeting.]
ACTION AFTER CLOSED SESSION
A. Resolution for Financing – Darnell Property – A proposed resolution was presented approving financing terms with BB&T for a loan in the amount $495,000 at an interest rate of 2.97% for five-years, with the first year’s payment being $126,198. The Tourism Development Authority (TDA) had originally requested a six-year term; however, after discussion with the LGC, any term over five years required LGC approval.
Commissioner Cooper, seconded by Commissioner Futrelle, moved to adopt the resolution as presented.
VOTE: Aye-3(Winkler, Cooper, Futrelle)
Nay-0
Absent-2(Deal, Kinsey)
B. Poplar Cove Easement Request – Poplar Cove, LLC, had requested an easement for a minor intrusion onto County property located at the rear of the Human Services Complex. The easement was required to meet DOT and/or Town of Boone requirements for an affordable housing development.
Commissioner Cooper, seconded by Commissioner Futrelle, moved to grant the easement to Poplar Cove, LLC, as requested, with no further intrusion upon County property than as requested, in support of their planned affordable housing development.
VOTE: Aye-3(Winkler, Cooper, Futrelle)
Nay-0
Absent-2(Deal, Kinsey)
ADJOURN
Vice-Chairman Winkler adjourned the meeting at 7:54 P.M.
Jim Deal, Chairman
ATTEST:
Anita J. Fogle, Clerk to the Board