MINUTES
WATAUGA COUNTY BOARD OF COMMISSIONERS
TUESDAY, OCTOBER 17, 2017
The Watauga County Board of Commissioners held a regular meeting, as scheduled, on Tuesday, October 17, 2017, at 5:30 P.M. in the Commissioners' Board Room of the Watauga County Administration Building, Boone, North Carolina.
PRESENT: John Welch, Chairman
Billy Kennedy, Vice-Chairman
Jimmy Hodges, Commissioner
Larry Turnbow, Commissioner
Anthony di Santi, County Attorney
Deron Geouque, County Manager
Anita J. Fogle, Clerk to the Board
[Clerk’s Note: Commissioner Yates was not present due to a prior commitment.]
Chairman Welch called the meeting to order at 5:30 P.M.
Commissioner Hodges opened with a prayer and Commissioner Turnbow led the Pledge of Allegiance.
Approval of Minutes
Chairman Welch called for additions and/or corrections to the October 3, 2017, regular meeting and closed session minutes.
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to approve the October 3, 2017, regular meeting minutes as presented.
VOTE: Aye-3(Welch, Kennedy, Turnbow)
Nay-0
Absent-1(Yates)
Abstain-1(Hodges)
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to approve the October 3, 2017, closed session minutes as presented.
VOTE: Aye-3(Welch, Kennedy, Turnbow)
Nay-0
Absent-1(Yates)
Abstain-1(Hodges)
Approval of Agenda
Chairman Welch called for additions and/or corrections to the October 17, 2017, agenda.
County Manager Geouque requested to add the following items to the agenda: Consideration of a bid award request for an excavator for the Sanitation Department and two change orders for the Health Department Building Renovation Project. The County Manager will present Mr. Marsh’s items as he is not available for the meeting.
Commissioner Hodges, seconded by Vice-Chairman Kennedy, moved to approve the October 17, 2017, agenda as amended.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Watauga Medics Matters
A. Services Update
Mr. Craig Sullivan, Watauga Medics, reviewed the most recent quarterly report for Watauga Medics and gave an update regarding the impact of the new ambulance base located in the western end of the County. Mr. Sullivan also discussed a plan for placement of an ambulance crew at the Blowing Rock Fire Station beginning in January 2018 with a trial run in November or December. This report was for information only and, therefore, no action was taken.
B. Ambulance Services Contract Renewal
Mr. Sullivan presented proposed Ambulance Franchise Agreement amendments which includes an additional twelve (12) hour crew, the waiving of the CPI escalator for 2018, and extends the contract to expire on December 31, 2025. North Carolina General Statute 153A-46 requires a grant, renewal, extension, or amendment of any franchise to be passed at two regular meetings of the Board of Commissioners before it may be adopted.
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to approve the proposed Ambulance Franchise Agreement with Watauga Medics contingent upon a second ratifying vote at the next meeting on November 21, 2017.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Soil and Water Funding Acceptance Request
County Manager Geouque presented the 2017-2020 Watauga Soil and Water Conservation District technical assistance grant which funds a portion of the Soil and Water Conservation Tech position. The grant is for $28,487 and is budgeted in the Fiscal Year 2017-2018 budget.
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to accept the grant as presented by the County Manager.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Project on Aging Annual Report
Ms. Angie Boitnotte, Project on Aging (POA) Director, submitted the Fiscal Year 2017 Annual Comprehensive Evaluation of POA’s operations and policies as required by the NC Division of Health Service Regulation.
Vice-Chairman Kennedy, seconded by Commissioner Hodges, moved to accept the Project on Aging Annual Report as presented by Ms. Boitnotte.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Communications and Emergency Services Matters
A. Proposed Radio Equipment Purchase
Mr. Jeff Virginia, Director of Communications and Emergency Services, requested to purchase new control radios for the communications center. The current radios have reached their end-of-life and are in need of replacement. The radios are utilized to communicate with Watauga Medics and the Sheriff’s Office. In addition, the backup radio consolette has reached its end-of-life also. The unit is used to communicate with all emergency services. Three (3) Viper consolettes are also in need of replacement. The total cost of the replacements is $66,636 of which $5,628.25 is eligible for reimbursement through 911 funds. Funds are budgeted and included in the Fiscal Year 2018 Budget.
Vice-Chairman Kennedy, seconded by Commissioner Hodges, moved to authorize the purchase of the detailed equipment from Motorola Solutions in the amount of $66,636 as requested.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
B. Proposed CodeRed Emergency Notification Network Contract
Mr. Virginia stated that Communications and Emergency Services staff has compared the following emergency notification systems for services, costs, and ease of use: CodeRed, Hyper Reach, and Everbridge. Watauga County has used CodeRed for several years but was researching for a more user friendly program. After review staff has determined that staying with CodeRed for an additional year and utilizing online training that is included in their package would be the best option. Watauga County has a large up to date data base with CodeRed that would be hard to duplicate if a different company was chosen. Therefore, staff recommends a contract with CodeRed for one year in the amount of $9,500 and includes 75,000 minutes. Adequate funds are available in the Fiscal Year 2017-2018 budget.
Vice-Chairman Kennedy, seconded by Commissioner Hodges, moved to approve the continuation of contracting with CodeRed for the County’s telephone notification system in the amount of $9,500 for 75,000 minutes.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Sanitation Bid Award Request for Excavator
Mr. J. V. Potter, Operations Services Manager, presented the following bids for a new excavator:
|
Bidder |
Amount |
|
May Heavy Equipment |
$137,989.00 |
|
Ascendum Volvo |
$139,591.00 |
|
Hill’s Machinery |
$143,975.00 |
|
Carolina Tractor |
$157,024.75 |
|
James River |
$162,750.00 |
Mr. Potter recommended accepting the low bid from May Heavy Equipment in the amount of $137,989.00. Funds are budgeted for the purchase.
Commissioner Turnbow, seconded by Vice-Chairman Kennedy, moved to award the bid for the new excavator to May Heavy Equipment in the amount of $137,989 as presented by Mr. Potter.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Maintenance Matters
A. Bid Award Request for Installation of Warehouse Ceiling at Winklers Creek Facility
County Manager Geouque presented the following bids for the replacement of the grid work and ceiling tiles at the Winklers Creek Facility in the new shop area:
|
Bidder |
Amount |
|
Northwest Drywall Company |
$20,884 |
|
ES Dockery |
$21,725 |
|
Mullins Co. |
$23,650 |
|
James Lawrence Construction |
No bid |
|
Shields |
No bid |
|
Bonitz |
No bid |
|
Warco |
No bid |
The current tiles are 20 plus years old and heavily soiled and damaged. Seven vendors were solicited and three bids were received. The lowest responsive bidder is Northwest Drywall Company in the amount of $20,884.
Commissioner Hodges, seconded by Commissioner Turnbow, moved to award the bid to Northwest Drywall Company in the amount of $20,884.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
B. Proposed Health Department Building Renovation Change Orders # 1 and # 2
County Manager Geouque presented two Change Orders from VPC Builders for the Health Department building renovation project. Change Order # 1 proposes to add fourteen calendar days to the contract due to a delay in the issuance of the contract. Change Order # 2 proposed to add $2,913.30 for an upgrade to carpet tiles rather than broadloom carpet. Change Order # 2 will be paid out of the $20,000 project contingency.
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to approve Change Orders # 1 and # 2 with VPC Builders for the Health Department Building renovation project.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Tax Matters
A. Monthly Collections Report
Tax Administrator, Mr. Larry Warren, presented the Tax Collections Report for the month of September 2017. This report was presented for information only and, therefore, no action was required.
B. Refunds and Releases
Mr. Warren presented the Refunds and Releases Report for September 2017 for Board approval:
TO BE TYPED IN MINUTE BOOK
Commissioner Hodges, seconded by Vice-Chairman Kennedy, moved to approve the Refunds and Releases Report for September 2017, as presented.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Finance Matters
A. Budget Amendments
Ms. Margaret Pierce, Finance Director, reviewed the following budget amendments:
|
Account # |
Description |
Debit |
Credit |
|
103980-398121 |
Transfer from Capital Projects Fund |
|
$820,000 |
|
105911-470029 |
Mobile Units |
$309,000 |
|
|
105911-470030 |
Sealant to WHS Track |
$35,000 |
|
|
105911-470050 |
Technology/Computers |
$211,000 |
|
|
105911-470025 |
Classroom/Computers |
$100,000 |
|
|
105911-470026 |
Vehicle Replacements |
$165,000 |
|
|
213991-399101 |
Fund Balance Appropriation |
|
$820,000 |
|
219800-498010 |
Transfer to General Fund |
$820,000 |
|
|
|
|
|
|
|
The amendment allocated funds from the Capital Improvement Plan set aside funds for projects as requested by the Watauga County School System. |
|||
|
|
|||
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to approve the budget amendments as presented by Ms. Pierce.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
B. Proposed Inmate Catastrophic Insurance Contract
Ms. Margaret Pierce, Finance Director, presented a contract renewal with Insurance Management Consultants for catastrophic insurance for inmates housed in the County jail. The insurance shields the County from large medical claims that occur while inmates are being housed in the Watauga County Jail. The proposed contract with Insurance Management Consultants, Inc. for catastrophic insurance coverage is in the amount of $30,640.68 with a $10,000 deductible. This is a $2,432 increase from last year’s renewal. Adequate funds are available to cover the contracted cost.
Commissioner Turnbow, seconded by Vice-Chairman Kennedy, moved to renew the contract with Insurance Management Consultants, Inc. in the amount of $30,640.68.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
C. Proposed Telephone Equipment Upgrade
Ms. Pierce presented the following bids for telephone equipment upgrades for the Law Enforcement Center Complex:
|
|
AT&T |
Skyline |
|
Equipment |
$18,299.69 |
$29,741.00 |
|
Installation |
$8,320.67 |
$3,800.00 |
|
Total |
$26,620.36 |
$33,541.00 |
|
|
|
|
|
Annual Maintenance |
$1,516.44 |
$4,188.00 |
Funds are earmarked in Fiscal Year 2018 for the replacement of the telephone equipment. Staff recommends the low bid from AT&T in the amount of $26,620.36 with an annual maintenance fee of $1,516.44.
Commissioner Turnbow, seconded by Commissioner Hodges, moved to approve AT&T’s proposal in the amount of $26,620.36 for the equipment and $1,516.44 for annual maintenance.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Miscellaneous Administrative Matters
A. Out-of-State Travel Request
County Manager Geouque requested approval for Finance Director, Margaret Pierce, to travel out-of-state to Charleston, South Carolina, for a comprehensive audited financial reporting training. The training would be beneficial in the preparation and compilation of the County’s audit. The training was not available in-state through the Institute of Government.
Commissioner Turnbow, seconded by Commissioner Hodges, moved to approve the out-of-state travel request as presented.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
B. November Meeting Schedule
County Manager Geouque stated that voting will be occurring on November 7, 2017, which is a regular Board meeting date. Therefore, the Board of Elections requires the use of the Board Room as it is an official polling place. Historically, November is a month with very few agenda items. Staff recommends canceling the November 7, 2017, meeting due to the Board of Elections requiring the use of the Board room. The November 21, 2017, meeting will be adequate to address County business.
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to cancel the November 7, 2017, Board of Commissioners meeting.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
C. Recommended Contract Awards for Employee Medical, Dental, and Life Insurance
County Manager Geouque stated that renewal rates have been received for medical, dental, and life insurance benefits. The renewal rate received from BCBS for medical insurance is a 3% increase. The initial increase provided was 15%. Further analysis of additional claims was provided allowing for the 12% reduction. Staff received two additional quotes from United HealthCare and Cigna.
United Healthcare submitted a zero percent (0%) increase with no changes to the current plan. While this is a strong quote staff has some concerns. First, there are potential network issues regarding United Healthcare. The county has utilized both BCBS and CIGNA networks and has found them to be comparable. Second, potential discounts for services and prescriptions may not be as good with United Healthcare as BCBS and CIGNA. Lastly, based on the County’s current claims the concern is that the quote may not accurately reflect claims experience and thus the potential for a significant increase next year.
CIGNA submitted a 4.9% increase with no plan changes but a fundamental change in the distribution of savings. CIGNA submitted a level funding quote which is an intermediate stage between fully-insured and self-insured. The proposal provides fixed monthly costs like a fully-insured plan, more detailed claims information to make better decisions and assist in renewal negotiations, and the ability to share 50/50 in savings if claims are less than expected. Over the past several years staff has analyzed plans, claims, data, and funding methods for providing the most cost effective solution for health insurance for employees. The County has had success in rate increases with a fully-insured plan; however, staff believes the long term solution is a self-insured plan. A self-insured plan allows the County to save the profit margin that an insurance company adds to its premium for a fully-insured plan.
BCBS does not offer level funding and their primary focus is the fully-insured market. Based on the quotes received staff would recommend CIGNA’s proposal as there is an opportunity to reduce the proposed 4.9% increase to the 3% BCBS proposal or lower and this would be the first step towards a self-insured plan without having to make the full commitment.
Dental insurance premiums were received with Delta Dental (current provider) submitting the best option. Delta Dental provided a three percent (3%) increase over current rates with a three percent (3%) rate cap for the following year. Life insurance premiums through Symetra Financial will remain unchanged due to the current rate lock.
Staff recommends CIGNA’s Level Funding plan for the County’s medical plan with a 4.9% increase and for the County to fund $1,000 into each employee’s HSA account. Staff further recommends Delta Dental with a three percent (3%) increase and a three percent (3%) rate cap for the following year. Adequate funds have been budgeted to cover the renewal rates. Board action is required.
Commissioner Turnbow, seconded by Commissioner Hodges, moved to approve CIGNA’s Level Funding plan for the County’s medical plan with a 4.9% increase and for the County to fund $1,000 into each employee’s HSA account.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to approve Delta Dental with a three percent (3%) increase and a three percent (3%) rate cap for the following year.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
D. Boards and Commissions
County Manager Geouque presented the following for consideration:
Watauga County Board of Adjustment
The terms of Bill Ragan, Baxter Palmer and Todd Rice expire in November. All three are willing to continue to serve if reappointed. NC Statutes require a representative (resident) of each zoned area in counties that have partial-county zoning such as Watauga. Mr. Rice represents the Valle Crucis Historic District, which is a small area with limited population, therefore small pool of potential representatives. Mr. Palmer is the alternate member and is the representative of the Foscoe-Grandfather zoned area. Mr. Ragan resides in the Howard Creek Watershed, which is not a zoned area in the traditional sense, but since the watershed ordinance was adopted under zoning authority, the County has attempted to appoint residents of those areas when possible. The Pond Creek (Beech Mountain) Watershed Ordinance was not adopted under zoning authority as it is not large enough to qualify for partial-county zoning. Adam Rhyne resides in the South Fork New River/Winkler Creek/Middle Fork watershed (the boundaries adjoin and form one larger watershed-regulated area). David Hill and Charles Phillips are at-large members. Those 3 terms are not expiring this year. The new South Fork New River Watershed for the new Boone water intake does not have a representative.
The above were first readings and, therefore, no actions were taken at this time.
E. Announcements
County Manager Geouque announced the following:
· The Grand Re-Opening for the Watauga County License Plate Agency is October 20, 2017, from 12:00 to 2:00 P.M. at 274 Winkler’s Creek Road, Boone.
· The Military Officers Association of America (MOAA) will hold their 11th Annual Veteran’s Day Ceremony at Boone Mall on Saturday, November 11, 2017. The Watauga Community Band will begin playing at 10:30 A.M. and the program will begin at 11:00 A.M. The Colors will be posted by the Watauga High School Marine Corps JROTC.
Public Comment
There was no public comment.
Closed Session
At 6:49 P.M., Vice-Chairman Kennedy, seconded by Commissioner Hodges, moved to enter Closed Session to discuss Attorney/Client Matters, per G. S. 143-318.11(a)(3).
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to resume the open meeting at 7:39 P.M.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
Adjourn
Vice-Chairman Kennedy, seconded by Commissioner Turnbow, moved to adjourn the meeting at 7:39 P.M.
VOTE: Aye-4(Welch, Kennedy, Hodges, Turnbow)
Nay-0
Absent-1(Yates)
John Welch, Chairman
ATTEST:
Anita J. Fogle, Clerk to the Board