Watauga County, NC

MINUTES

WATAUGA COUNTY BOARD OF COMMISSIONERS

TUESDAY, NOVEMBER 16, 2010

The Watauga County Board of Commissioners held a regular meeting on Tuesday, November 16, 2010, at 6:00 P.M. in the Commissioners’ Board Room of the Watauga County Administration Building.

PRESENT: Jim Deal, Chairman

John Cooper, Commissioner

Tim Futrelle, Commissioner

Winston Kinsey, Commissioner

Anthony di Santi, County Attorney

Robert E. Nelson, Jr., County Manager

Deron Geouque, Deputy County Manager

Anita J. Fogle, Clerk to the Board

[Clerk’s Note: Commissioner Futrelle arrived at 6:13 P.M. due to a previous commitment and Vice-Chairman Winkler was at an out-of-town meeting accepting an award on behalf of the Board of Commissioners.]

Chairman Deal called the meeting to order at 6:01 P.M., welcoming those in attendance.

Chairman Deal opened the meeting with a prayer.

APPROVAL OF MINUTES

Chairman Deal called for additions and/or corrections to the November 1, 2010, regular meeting and closed session minutes.

Commissioner Cooper, seconded by Commissioner Kinsey, moved to approve the November 1, 2010, regular meeting minutes as presented.

VOTE: Aye-3(Deal, Cooper, Kinsey)

Nay-0

Absent-2(Winkler, Futrelle)

By consensus, the Board tabled action on the closed session minutes until after closed session to allow for a correction to be noted in the minutes.

APPROVAL OF AGENDA

Chairman Deal called for additions and/or corrections to the November 16, 2010, agenda.

County Manger Nelson stated that Mr. Mike Kesterson with Barnhill/Vannoy was present to present Sections A & B under New High School Matters. The County Manager also stated that the Change Order in Section C under New High School Matters was #50 not #49 as originally listed.

Commissioner Cooper, seconded by Commissioner Kinsey, moved to approve the November 16, 2010, agenda as amended.

VOTE: Aye-3(Deal, Cooper, Kinsey)

Nay-0

Absent-2(Winkler, Futrelle)

PUBLIC HEARING TO ALLOW CITIZEN COMMENT ON PROPOSED AMENDMENTS TO THE WATAUGA COUNTY VOLUNTARY FARMLAND PRESERVATION ORDINANCE

Chairman Deal declared the public hearing open at 6:04 P.M. to allow for comment on proposed amendments to the Watauga County Voluntary Farmland Preservation Ordinance.

Chairman Deal stated that the amendments included allowing automatic renewal of membership every ten years; however, the option for withdrawal was available at any time.

There being no public comment, Chairman Deal declared the public hearing closed at 6:06 P.M.

Commissioner Kinsey, seconded by Commissioner Cooper, moved to adopt the amended Watauga County Voluntary Farmland Preservation Ordinance as presented.

VOTE: Aye-3(Deal, Cooper, Kinsey)

Nay-0

Absent-2(Winkler, Futrelle)

NEW HIGH SCHOOL MATTERS

A. Status Report – Mr. Mike Kesterson, with Barnhill/Vannoy, stated that closing documentation was in progress regarding the new high school construction project, including submission for LEED certification. Once the LEED certification documents were submitted, it would take approximately six to eight months to complete the review prior to receiving a designation. Mr. Kesterson stated the date of December 31, 2010, was the goal for final closeout of the new high school construction project and completion of the remaining punch list items.

This report was given for information only and, therefore, no action was required.

B. Change Order Requests - #’s 45R, 46R, & 48R – Mr. Kesterson presented Change Orders #’s 45R, 46R, & 48R. Change Order #45R canceled Change Order # 45 which was a $20,000 credit for phones that were covered by the School Board in their FF&E Budget. The credit had been used in Change Orders # 46R and # 48R. Change Orders # 46 and # 48 consisted of several items each that were either requested by the School Board or required by the Town of Boone to substantially finish the project and to obtain the occupancy permit. During the close-out process with the Town of Boone, several additional items were required and added to the project. The revised Change Orders detailed all of the items that were addressed. The net effect was an addition of $50,301.98 in the two revised Change Orders.

Commissioner Cooper, seconded by Commissioner Kinsey, moved to approve Change Order Requests #’s 45R, 46R, and 48R for the New High School Project as presented by Mr. Kesterson.

VOTE: Aye-3(Deal, Cooper, Kinsey)

Nay-0

Absent-2(Winkler, Futrelle)

C. School Board Request for Future Change Order # 50 and FF&E Purchases – County Manager Nelson stated that Dr. Hemric, Watauga County School Superintendant, had forwarded a letter from the School Board which requested approval of a future Change Order to be numbered 50 and to complete the Furniture, Fixtures, and Equipment (FF&E), purchases by the school personnel. Future Change Order # 50 was for approximately $125,000 in additional scope items to be identified by the School Board.

The School Board also requested that $31,022.81 in remaining FF&E purchases be expended on items as listed with any unused balance to go towards the completion of the Presentation-Collaboration Spaces (PCS) for their Global Learning Center.

Commissioner Futrelle, seconded by Commissioner Cooper, moved to approve future Change Order # 50 as presented by the County Manager.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

Commissioner Futrelle, seconded by Commissioner Cooper, moved to approve the School Board’s request to expend $31,022.81 on additional Furniture, Fixtures, and Equipment (FF&E) purchases with any unused balance to be expended on Presentation-Collaboration Spaces for their Global Learning Center.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

FINANCE MATTERS

A. Budget Amendments – Ms. Margaret Pierce, Finance Director, presented the following budget amendments for Board approval:

Account # Description Debit Credit

133594-349909 NC Lottery Funds $75,300

135912-435940 Bethel School Carpets/Tiles Replacement $20,500

135912-435941 Bethel School Restroom Renovation $4,000

135912-435947 Cafeteria Upgrades $23,500

135912-435948 Blowing Rock Boiler Replacement $25,000

135912-435949 Blowing Rock Sidewalk Construct $800

135912-435950 Hardin Park Windows Replacement $1,500

433839-389100 NC Lottery Funds $350,000

435911-459100 WHS Turf for Soccer/Lacrosse Field $350,000

The amendment, which was approved at the September 21, 2010, Board meeting, recognized the award of the NC Lottery funds applied for by the Watauga County Board of Education. The State approved the applications in September and October.

Account # Description Debit Credit

219800-498010 Transfer to the General Fund $100,000

213991-399101 Fund Balance Appropriation $100,000

103980-398121 Transfer from Capital Reserve $100,000

104287-457001 Capital Outlay-Land Improvements $100,000

The amendment recognized the transfer of funds from the Capital Reserve Fund per the joint agreement approved at the March 26, 2010, Board meeting to fund a portion of the construction costs of the bathroom facility at the Brookshire Park soccer fields.

Account # Description Debit Credit

103300-343303 NC DENR, Adopt-A-Trail Grant $5,000

104288-457001 Rocky Knob Trial Construction $5,000

The amendment recognized grant funding from the NC Department of Environment and Natural Resources Adopt-A-Trail program for Rocky Knob trail development.

Commissioner Cooper, seconded by Commissioner Futrelle, moved to approve the budget amendments as presented by Ms. Pierce.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

B. Solid Waste Trash Truck Financing Bid Award – Ms. Pierce stated that, at a previous meeting, the purchase of a trash truck for the Sanitation Department had been approved and authorization was given to obtain financing quotes. The following were received:

Institution Rate Loan Fee

BB&T Governmental Finance 1.98% zero

Community One Bank 6.55% $500

High Country Bank 4.7% $340

RBC Centura Bank 2.38% $200

Based on the interest rate and loan fees, Ms. Pierce recommended accepting BB&T’s proposal at 1.98% with no loan fees. Ms. Pierce also requested authorization to work with BB&T to finalize the details of the agreement to best meet the County’s needs. A resolution was included which approved the financing terms.

Commissioner Kinsey, seconded by Commissioner Cooper, moved to award financing of the new trash truck for the Sanitation Department to BB&T at an interest rate of 1.98% with no loan fees and to accept the financing terms by adopting the resolution as presented.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

C. Inmate Medical Insurance Proposal – Ms. Pierce recommended the renewal of the existing carrier, Willis of North Carolina, Inc., for inmate medical insurance by choosing Option 1 of the following:

Coverage Basis Option 1 Option 2 Option 3

Limit of Coverage Per Inmate: $250,000 $250,000 $250,000

Specific Deductible Per Inmate: $10,000 $15,000 $20,000

Current Inmate Population: 85 85 85

Rate Per Inmate, Per Month $31.35 $28.61 $26.40

Total Estimated Annual Premium $31,977 $29,182 $26,928

Ms. Pierce stated that funds were budgeted for this expenditure and the renewal rate was $2,257 less than the previous premium.

Commissioner Cooper, seconded by Commissioner Futrelle, moved to approve the renewal of inmate medical insurance coverage with Willis of North Carolina, Inc., choosing Option # 1, as presented by Ms. Pierce.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

D. Presentation of Smoky Mountain Center LME Quarterly Financial Report – Ms. Pierce presented Smoky Mountain’s Quarterly Report as required by Statute.

This report was for information only and, therefore, no action was required.

BROOKSHIRE PARK GREENWAY EXTENSION STATUS REPORT

Mr. Joe Furman gave a status report on the Brookshire Park Greenway Extension project. Mr. Furman stated that most permits had been issued; however, the County had requested that the Town of Boone waive their $1,100 zoning permit fee for the project as approximately two-thirds of the Greenway construction was to be located within City limits. Since all permits were not in hand and due to the trout moratorium, Mr. Furman stated that implementation of construction was to be delayed until early spring of 2011. The project was to be completed with the County’s forces.

This report was given for information only and, therefore, no action was required.

WATAUGA MEDICAL CENTER LEASE AMENDMENT REQUEST

Chairman Deal stated that the Watauga Medical Center Board of Trustees had requested an amendment (4^th Amendment to Lease Agreement) to the lease with the County for Watauga Medical Center. The Watauga Medical Center Board planned to issue $34,000,000 in bonds to refinance existing debt in order to obtain a consistent interest rate for the life of the debt. The Local Government Commission (LGC) and the North Carolina Medical Commission recommended a modification to Section 5 in the current lease agreement between Watauga County and Watauga Medical Center. Chairman Deal stated that, in the event the Medical Center defaulted on their bonds and the County chose to take possession of the property, the County also had to assume any outstanding debt at that time.

Commissioner Kinsey, seconded by Commissioner Cooper, moved to approve the 4^th Amendment to Lease Agreement for Watauga Medical Center’s lease with the County as presented.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

MISCELLANEOUS ADMINISTRATIVE MATTERS

A. Proposed Rural Center Grant Agreement Amendment # 2 for the Boone/Blowing Rock Interconnect Project – The County Manager stated that after meeting with representatives from the Rural Center regarding the pass-through grant that the County received to assist Boone and Blowing Rock with the construction of their water interconnect project, the Rural Center recommended an amended reporting schedule. The project was currently scheduled to terminate December 31, 2010. Amendment # 2 set the termination date for the project as March 31, 2011, as recommended by the Rural Center. This was to allow ample time for the project to be entirely completed; all invoices and payout applications processed; and the required close-out documents to be submitted.

Commissioner Futrelle, seconded by Commissioner Cooper, moved to approve Rural Center Grant Amendment # 2 for the Boone/Blowing Rock Interconnect Project as presented by the County Manager.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

B. Update on the AT&T Cell Tower Request – County Manager Nelson stated that immediately after the last Board meeting, the County received notice from the Parks and Recreation Trust Fund (PARTF) that they did approve of the location of an AT&T cell tower on the BREMCO tower system which was located on the County-owned Darnell property which was recently purchased, in part with PARTF funds, for Rocky Knob Park.

The County Manager stated that AT&T had also agreed to the recommendations that were forwarded to them on behalf of the Board, consisting of a ten-year lease in place of the requested thirty-year lease; inclusion of a CPI escalator; and removal of all debris.

County Attorney di Santi stated that the County had to advertise the intent to lease the property prior to execution of an agreement.

The County Manager also presented drafts of a Utility Easement; a Transmission Line and Pole Attachment Easement; and a Communication Facility Easement Agreement. The first two easements were to be with BREMCO and the third was to be with AT&T.

Commissioner Futrelle, seconded by Commissioner Cooper, moved to state the Board’s intent to enter into a 10-year lease agreement which was to allow for the location of AT&T communication equipment on BREMCO utility poles located on County-owned property and to direct staff to advertise the Board’s intent of such with finalization of the process to be conducted at the December 6, 2010, Board meeting.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

C. Proposed Contract Renewal with Watauga County Emergency and Rescue Squad, Inc. – County Manager Nelson presented a proposed two-year extension of a recently expired Mutual Aid Agreement between Watauga County and the Watauga County Emergency and Rescue Squad, Inc. The extension was proposed with no changes from the current agreement.

Commissioner Cooper, seconded by Commissioner Kinsey, moved to approve the renewal of the Mutual Aid Agreement between Watauga County and the Watauga County Emergency and Rescue Squad, Inc., as presented by the County Manager.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

D. Proposed Interlocal Agreement for a Group Self-Insurance Fund for Risk Sharing or Group Purchase of Coverage – County Manager Nelson presented a proposed Interlocal Agreement between all the parties who joined together as members of the North Carolina Association of County Commissioners Risk Management Agency which was known as the Risk Pool. Joining the Risk Pool enabled Watauga County to pool the retention of risks, liabilities or payments, and allowed for the group purchase of insurance coverage pursuant to the provisions in the General Statutes. The County Manager also presented a resolution which, if adopted, entered the County into the Interlocal Agreement joining the Risk Pool.

Commissioner Kinsey, seconded by Commissioner Cooper, moved to adopt the resolution and approve entering into the Interlocal Agreement joining the North Carolina Association of County Commissioners’ Risk Pool.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

E. Boards and Commissions – County Manager Nelson stated that the Town of Boone had nominated Franklin W. “West” Eppley and David Koppenhaver for reappointment to serve as their representatives on the Watauga County Recreation Commission. The Town of Boone had three positions to fill and planned to forward a third recommendation in the near future.

County Manager Nelson also stated that Mabel School had nominated Bill Hollingsworth for reappointment to serve as their representative on the Watauga County Recreation Commission.

Commissioner Futrelle, seconded by Commissioner Cooper, moved to waive the second readings and reappoint Franklin W. “West” Eppley and David Koppenhaver as Town of Boone representatives; and Bill Hollingsworth as the Mabel School Representative to the Watauga County Recreation Commission.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

County Manager Nelson stated that a vacancy continued to exist on the Caldwell Community College Board of Trustees due to the untimely death of Bill Miller and recommendations to fill this position had not been received. The term was set to expire June 2013.

Commissioner Cooper, seconded by Commissioner Futrelle, moved to waive the second reading and appoint William R. Winkler, III, to fill an un-expired term on the Caldwell Community College Board of Trustees.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

County Manager Nelson stated that the Watauga Community Housing Trust Board had recommended the following for appointment to their Board: Lynne Mason, representing the Town of Boone; Wilma McDaniel, representing the Northwestern Regional Housing Authority; Amy Crabble, representing Appalachian Regional Healthcare; Deborah Miller, representing the Board of Education; John Earwood, representing Appalachian State University; Chris Coley, representing the Avery/Watauga Association of Realtors; and Buck Wellborn, representing the High Country Home Builders Association. The Trust also recommended that Chelsea Garrett, Joe Furman, and Scott Eggers, be reappointed to the Board as well.

County Manager Nelson stated that the Trust was to forward a recommendation to represent W.A.M.Y. Community Action in the near future.

Commissioner Kinsey, seconded by Commissioner Futrelle, moved to waive the second reading and appoint Lynne Mason, Wilma McDaniel, Amy Crabble, Deborah Miller, John Earwood, Chris Coley, and Buck Wellborn; and reappoint Joe Furman, Chelsea Garrett, and Scott Eggers to the Watauga Community Housing Trust Board.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

County Manager Nelson stated that William R. Winkler, III, was nominated by the Library Board to be appointed to fill un-expired terms on both the Watauga County Library Board and the Appalachian Regional Library Board. Both terms were set to expire August 2012.

Commissioner Cooper, seconded by Commissioner Futrelle, moved to waive the second readings and appoint William R. Winkler, III, to fill an un-expired term on the Watauga County Library Board and appoint William R. Winkler, III, to fill an un-expired term on the Appalachian Regional Library Board.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

The North Carolina Association of County Commissioners has discontinued their Legislative Liaison Program and, therefore, an appointment to that Board is no longer needed. Commissioner Kinsey served as Watauga County’s Liaison for 2009-2010.

F. Announcements – County Manager Nelson presented the Watauga County Comprehensive Transportation Plan Steering Committee’s meeting schedule.

County Manager Nelson announced that the Board was invited to a ceremony for the new North Carolina Historical Marker in honor of Stanley Harris, Sr. on Saturday, November 20 at 11:30 A.M. The ceremony was to be held near the intersection of Poplar Grove Connector and West King Street.

County Manager Nelson announced that Watauga County Board of Education was holding a reception in honor of outgoing and newly elected members of their Board. The reception was scheduled for Monday, November 22, from 3:30 P.M. to 5:30 P.M. in the Board Room of the Gragg Education Center with brief remarks to be given at 5:00 P.M.

PUBLIC COMMENT

There was no public comment; however, Commissioners Cooper and Kinsey both shared appreciation for fellow Board members, the County Attorney, staff, and citizens during their tenure as Commissioners.

Chairman Deal commended Vice-Chairman Winkler, Commissioner Cooper, and Commissioner Kinsey upon their accomplishments as Commissioners for the past several years.

CLOSED SESSION

At 6:51 P.M., Commissioner Cooper, seconded by Commissioner Futrelle, moved to enter Closed Session to discuss Attorney/Client Matters, per G. S. 143-318.11(a)(3); Personnel Matters, per G. S. 143-318.11(a)6); and Land Acquisition, per G. S. 143-318.11(a)(5)(i).

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

Commissioner Cooper, seconded by Commissioner Futrelle, moved to resume the open meeting at 7:04 P.M.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

ACTION AFTER CLOSED SESSION

Request to Use Gymnasium at the Old High School

Chairman Deal stated that the High School softball and baseball teams had requested use of the gymnasium at the Old High School for practice during the winter months as the construction of their indoor practice facility was not complete. If approved, maintenance from December 2010 through April 2011 was to cost approximately $28,718.

Commissioner Cooper, seconded by Commissioner Futrelle, moved to authorize the High School softball and baseball teams to use the gymnasium and fields at the old Watauga High School for baseball and softball practice from December 2010 through April 2011 with funds for maintenance fees to be allocated from the County’s Contingency Fund.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

Closed Session Minutes

Chairman Deal had requested one amendment to the closed session minutes during closed session.

Commissioner Futrelle, seconded by Commissioner Cooper, moved to approve the November 1, 2010, closed session minutes as amended.

VOTE: Aye-4(Deal, Cooper, Futrelle, Kinsey)

Nay-0

Absent-1(Winkler)

[Clerk’s Note: The Board had one additional item to discuss in closed session which Chairman Deal was not to participate in due to a conflict of interest; therefore, Chairman Deal left the meeting at 7:06 P.M. and the Board moved to re-enter closed session. Commissioner Cooper served the role of Chairman in the absence of the Chairman and Vice-Chairman.]

ADDITIONAL CLOSED SESSION ITEM

At 7:06 P.M., Commissioner Futrelle, seconded by Commissioner Cooper, moved to enter Closed Session to discuss Land Acquisition, per G. S. 143-318.11(a)(5)(i).

VOTE: Aye-3(Cooper, Futrelle, Kinsey)

Nay-0

Absent-2(Deal, Winkler)

Commissioner Futrelle, seconded by Commissioner Kinsey, moved to resume the open meeting at 7:15 P.M.

VOTE: Aye-3(Cooper, Futrelle, Kinsey)

Nay-0

Absent-2(Deal, Winkler)

ADJOURN

Acting Chairman Cooper adjourned the meeting at 7:15 P.M.

Jim Deal, Chairman

ATTEST:

Anita J. Fogle, Clerk to the Board