HomeMy WebLinkAboutMinutes - 19740722" ~ 398
commissioner Richard E. Whiffed stated that he agreed with Commissioner
Flora Garrett and that he would like £or the County Attorney to review the
questions. Further discussion ensued between Mr. Wallace, Mayor Lee and
Members of the Board.
Commissioner Flora Garrett moved to amend her original motion by specifi-
cally that the answer to these questions be presented no later than July 22nd
to the Consumers Utility Corporation. Commissioner Richard E. Whitted agreed
to this amendment. The Chairman called for a vote on the motion and the amended
motion. All members voted aye. Chairman Walker then declared the motion passed.
Mayor Lee requested that the Towns of Chapel Hill and Carrboro be allowed
to submit question four (4) to the Attorney General themselves. The Board
agreed to Mayor Lee's request.
There being no further business to come before the Board the meeting was
adjourned. ~
C. Norman Walker, Chairman
Betty June Hayes, Clerk
Approved
MINUTES OF THE ORANGE COUNTY
BOARD OF' COMMISSIONERS
July 22, 1974
The Board of Commissioners of Orange County met on Monday, July 22, 1974,
at 8 P.M. in the Commissioners Room of the Courthouse in Hillsborough, North
Carolina.
Members Present: Chairman C. Norman Walker, and Commissioners Henry 5.
Walker, Flora Garrett, Richard E. Whitted, and Melvin Whitfield.
Members Absent: None.
Chairman Walker announced that this was a continuation of a special meeting
that had been called for Friday, July 12, 1974, at the request of James C.
Wallace of Chapel Hill.
Chairman Walker inquired if anyone was present to speak in behalf •of the
Consumer Utility Corporation. Na one appeared.
S. M. Gatos, County Administrator, presented the following Memorandum:
"MEMORANDUM OF A TELEPHONE CONVERSATION HELD BETWEEN HONORAHL£ JOE TALLEY,
REPRESENTING CONSUMERS UTILITIES ANI] MYSELF, JULY 22, 1974.
Sohn McKee contacted Joe Talley dozing the past week advising
him to expect a telephone call from Mr. Lucius Cheshire, Orange
County Attorney, concerning several questions posed by Mr. James Wallace.
Mr. McKee also called Mx. Cheshire and asked him to discuss these
questions with Mr. Talley. Mr. Cheshire called Mr. Talley who was
out of town at that time and subsequently wrote him concerning these
questions. Mr .. Cheshire is out of town until Wednesday of this week.
Mr. Talley advised me that the question raised by Mr. Wallace
have previously been zaised as part of a seven page letter to the
Church Commission which Mr. Talley's firm has answered.
The Church Commission has transferred the entire file including
these questions and their answer to the Utilities Commission for a
hearing as required by the statute directing disposal of the University
Utilities. A hearing on this file is expected in early August. At
this hearing these questions as well as others will be fully explored.
Consumers Utilities has in fact held conferences with Mr. Lake at I
which these questions were discussed in the past few weeks.
Mr. Talley is requesting the Board of Commissioners not to
submit these questions to the Attorney Generals Office at this time
since they are questions taken out of context from a much larger
question that will be fully explored before the Utilities Commission
in early August. In the meantime he and Mr. Cheshire will be able to
meet and prepare a formal response to the questions Mr. Wallace has
raised.
It is ASz. Talley's intention to respond to you concerning these
questions before the Utilities Commission hearing."
399
Mr. Wallace stated that he had raised the questions primarily for the protection
of the Board and that he felt the Hoard should proceed to secure answers to the
questions that he presented to them on July 12th. He then proceeded to discuss
the legal technicalities involved as to the county's participation in the joint
venture and the establishment of the Consumer Utility Corporation. Discussion
ensued between Joe Nassif, George Hogan, Bill Ray, and Members of the Haaxd.
Mr. Wallace then requested permission to add Part B to question five (S).
Part B read as follows: "Is the Consumer Utilities Corporation, as now
organized, qualified or has it already qualified under the Internal Revenue
code to-issue bonds; the interest on which is exempt from the Federal Income
Tax? ~~
~ Commissioner Melvin Whitfield stated that he felt the County needed to look
_ after the matter of whether the County is legal in what we are doing.
Commissioner Henry 5. Walker stated that he felt to secure a ruling from
the Attorney General's Office might strengthen the position of the county.
• Commissioner Flora Garrett stated that she felt some misunderstanding
about the meeting had arisen as the firm of Tally, Tally & Bouknight did intend
to reply to the questions submitted by the Board. Discussion ensued.
Mr. Wallace stated that he was again requesting the Board to take action on
his previous request to seek an opinion from the Attorney General's Office on
the five (5) questions That he presented to the Board on Friday, July 12, 1974.
Commissioner Flora Garrett stated that she feels that the action of the Hoard
is perfectly legal from the data that she ahs in her files. Further discussion
ensued.
Upon motion of Commissioner Melvin Whitfield, seconded by Commissioner Henry
S. Walker, it was moved, that the Board sent particularly the first four (Q)
question to the Attorney General's Office fox an answer as soon as possible
and to freeze the County money that had been allocated to 'the Consumer Utilities
Corporation until an answer is received from the Attorney General's Office.
Commissionex Melvin Whitfield amended his original motion to include that
question:#5 as presented by Mr. Wallace on July 12 be included with the
other questions that are to be submitted to the Attorney General's Office.
Commissioner Henry S. Walker agreed to the amendment to Commissioner Melvin
Whitfield's original motion.
Chairman Walker Called for a vote on the motion. Commissioners Norman Walker,
i Henry S. Walker and Melvin Whitfield voted aye. Commissionexs_.Flora ~arxett and
Richard E. Whitted voted nay. Chairman Walker then declared the motion passed.
Thexe being no furthex business to come before the Board the meeting was
adjourned.
~~~
C. Norman Walker, Chairman
Betty June Hayes, Clerk
Approved