HomeMy WebLinkAboutORD-2009-042 - Central Recreation Repairs Capital Project Ordinancec~R~_aoog-d~~-
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REVISED 6/15/09
Incorporating Attachment 2-dd
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: June 16, 2009
Action Age da
Item No. ~ - o~ - ~
SUBJECT: Capital Project Ordinance Amendments
DEPARTMENT: Financial Services PUBLIC HEARING: (Y/N} No
ATTACHMENT(S):
1) Addendum to Abstract- Detail F~cplanation
2) Project Ordinances
3) County Procedures for Monitoring Capital
Project Funds (Draft)
INFORMATION CONTACT:
Gary Humphreys (919) 245-2453
PURPOSE: To approve amendments to capital project ordinances far projects which exceed the
current project ordinance appropriations and to make other corrections to the capital project ordinances
as described.
BACKGROUND: At the February 3, 2009 meeting the Board of County Commissioners approved the
County Manager's two year plan to address additional funding needs of the School and County Capital
Project Funds. The Board approved the appropriafion of $3.5 million from fund balance of the General
Fund for transfer to the School Capital Project Fund and County Capital, Project Fund at the March 17,
2009 meeting. Additwnally the Board approved the appropriation of the remaining funds in the School
Capital Reserve Fund for transfer to the School Capital Project Fund to meet additional funding needs of
those projects.
As called for in the plan, the appropriation of the remaining $2.4 million from fund balance to be
transfer-ed from the General Fund to the Capital Project fund will be presented for Board action in FY
2009-10. Any additional project ordinance amendments needed to correct various conditions will also be
brought forward for approval as well as further actions to Gose project ordinances for those projects
which are completed.
On May 19, 2009 staff presented the first set of amended project ordinances to the Board for approval.
There were several questions concerning the projects as listed and staff was directed to bring the
amended ordinances back at a later date. The projects listed in this abstract need to have corrective
action taken before the end of the fiscal year and may not have been on the May 19"' agenda. Some of
the projects presented on May 19~' are not as time sensitive or need more research and will be brought
back for approval at a future board meeting.
Projects listed in Section 1 and 2 of this abstract exceed their current project ordinance appropriation.
The purpose of the attached capital project ordinances is to appropriate additional funds and, in some
cases, dose the project by July 1, 2009 if there is no continued activity antidpated. This action is
required to bring these project ordinances into compliance with state law before the end of the fiscal
year.
The purpose of the capital project amendments presented under Section 3 is to reflect the April issuance
of alternative financing instead of 2001 Bond Funds to pay for these projects. The total appropriation for
these projects remains the same. Amendments to Southern Community Park and West 10 Soccer are
also included to 're~haracterize' the source of funds as 2001 Bond Funds with na change in the total
appropriation for either project.
Attachment 1 provides explanatory information related to each of the project ordinances being amended
under Section 1 and 2. Attachment 2 contains the project ordinances themselves. The project
ordinances show aH of the revenue currently appropriated, changes to the revenue being appropriated in
the amendment and the total revenue appropriation as amended. This is followed by each of the
expenditure lines for the capital project, the expenditure {fines being amended and the total expenditures
as amended.
Draft procedures for monitoring the Capital Projects Funds and appropriate action to manage project
appropriations are provided in Attachment 3 as requested by the Board.
Section 1: School Capital Project Fund Projects Over Budget -The following schedule summarizes
the capital project ordinance amendments to address those projects in the School Capital Project Fund
where expenditures have exceeded the approved budget.
The Carrboro High School and Morris Grove Projects are still active projects and sales tax
reimbursement to date for these two projects exceeds the budgeted amount by $382,600. At the request
of the Chapel Hill Carrboro School System, staff has included the appropriation of $382,600 in additional
sales tax reimbursement revenue to enable payment of additional project costs.
CHCSS staff has also requested the balance of the Mobile Classroom project budget be moved to the
Carrboro High School Project because the mobile unit purchased for the school was charged to the
Carrboro High School Project: .
Capital Project Ordinance Revenue Amount Expenditures Amount
Orange Countv Schools
2a Pathwa Elements 1997 Bonds ; 115,513 Construction ; 33,661
State Bonds (; 37,409)
Approp. Fund Bal (; 254,530)
Tr. From School
Ca Ital Reserve Fd ; 210,087
2b Playground Protective
Surfaces Transferfrom Gen Fd ; 13,974 Surfacing ; 13,974
Chagel Hill-Carrboro Schools
2c Smith Middle SCh Cam us School Impact Fees ; 385,474 Construction ; 395,474
2d Carrboro HI h School Sales Tax Refmb. 5257,600 Construction ;915,544
2e
Mobile Classroom Transfer from Gen Fd.
Transfer from Gen Fd (;1,173,144)
:274,200
Other
(;110,000
2f
Morris Grove Elements
Sales Tau Refmb.
5125,000 Modular urchase
Construction ;164,200
5725,000
Fund Total (;621,635) (5621.635)
Section 2: County Capital Project Fund Projects Over Budget- The following schedule summarizes
the amendments to capital project ordinances to address those projects in the County Capital Project
Fund where expenditures have exceeded the approved budget.
Capital Project Ordinance Revenue Amount Expenditures Amount
2 Durham Tech Comm. Coll a Interest Earnin s S 20,020 Parking Lot ; 20,020
2h Oran a Enter rises Transfer from Gen Fund ; 2,379 Construction ; 2,379
2i CNG Fillip Station Transfer from Gen Fund ; 18,548 Construction = 3,725
Clean Cities Coalition
Grant 1177
' From Other Project ;15,000)
2 Efland Cheeks Park 2001 Bonds i 111,636 Construction ;112,196
1997 Bonds ~p
2k Little River Natural Area Park Clean Water Grant S 118.050 Land ;128,918
DOnatbns i 4,750 Laws House 14,344
Contrib. from Durham $11 Egg
1997 Bonds 18,766
21 McGowan Creek Preserve Transfer from Gen Fund ; 38,426 Land S 38,426
2m Seven Mile Creek Preserve Transfer from Gen Fund i 359,826 Land S 359,826
2n S its lex Transfer from Gen Fund S 36,874 Contract Services S 36,874
20 New Hope Creek Preserve Contrib. Triangle Land
Conservanc :34,459 Professbnal Service = 8,895
Erwin Trace i 6,167
Penny Property i 19,397
2p Greenwa s Develo ment 2001 Bonds (5575,000) Transfer to other prof 51,000,000)
Transfer from other proj (;425,000) Constnrction ;783,426
2/3rds Bonds S33 426 Payment to Carrboro 5750,000)
2 Homestead Commun' Ctr Transfer from other prof $60 000 Sewer Connection ;17,634
2/3Ms Bonds 177,634
2r Central Recn3ation Re irs 2/3rds Bonds ;111,060 Transfer to otMr prof S60 000
Construction (551,060)
2s Debt issuance Costs/transfers Interest on Invest. 51,890,000 Trans to Gen Fun 57,720,000
Debt Issuance Costs 1170,000
2t Se our Senior Center Transfer from Gen Fund ;7,271 E uipment ;7,271
2u Animal Services Facili Transfer from Gen Fund $65 287 Construction $65 287
2v Justice Center Facili Transfer from Gen Fund $341 142 Professional Svcs $341,142
~ Cent Oran a Sr CtNS its lex Transfer from Gen Fund ;280,533 Construction 5280,533
Fund Total 52,275,400 ;2,275,400
Section 3: Appropriation of Funds from April Alternative Financing -The schedule below
summarizes project ordinances with funds budgeted from altemative financing issued April 2009 and
adjusts 2001 Bond Fund amounts which have been replaced by the alternative financing. "Transfer from
other projects" is being re-characterized in keeping with best practices to show the type of revenue. The
Twin Creeks and West 10 Soccer transfers came from the Soccer Super Fund, the Southern Park
transfer came from the Greenways project and the Northern Human Service Center Park transfer came
from the Homestead Aquatics Project.
Capital Project Ordinance Revenue Amount Expenditures Amount
2X Twin Creeks Park T,pns~ tram other Prof
6s5o 000
2001 Bonds (5350,000)
Aitemative Financing :1,000,000
2y Homestead A uatics 2001 Bonds 5500,000) contribution to Chapei Hiii 13,175,000
Aitematiw Financing 5500,000 pransfer to other (63,175,000)
~ Southern Park Trensfa' from other prof 6925,000
2001 Bonds 6925,000
2aa Cedar Grov NoiiumSveCtrPark Transfw from other 6500,000
Alternative Fhutncing 6500,000
2bb Fairview Park Alternathro Financing 6700,000
' 2001 Bonds (6700,000
2CC West 1l} Soccer Transfer from other prof (61,350,000)
2001 Bonds =1,350,000
2dd Lands a AltArnattve Financing 62,800,000 Land 32,800,000
Fund Total 52,800,000 6z,eo0,00g
FINANCIAL IMPACT: The financial impact of the recommended action is discussed in the background.
RECOMMENDATION{S): The County Manager recommends the Board of County Commissioners
approve these amended capital proSeot ordinances.
Addendum to Capital Project Ordinances abstract
1) School Capital Projects Fund
Orange County Schools
Pathways Elementary -Over budget $33,661. This over budget condition was present in the
amounts converted to the Munis financial system in FY2003. The construction line item exceeds
budget The original project ordinance uses $254,530 fund balance as a source of revenue which
is not available. The amendment modifies appropriated revenue sources to reflect those
revenues made available to the project and amends the ordinance to appropriate $210,087 of
School Capital Reserve Funds made available to the fund.
Playground .Protective Services -Over. budget $13,974: This over budget condition was
present in the amounts converted to the Munis financial system in FY2003. The resurfacing line
item exceeds budget Sufficient funds from transfer from General Fund had been allocated to the
project to cover the expenditures. The project ordinance amendment appropriates those funds.
As there is no further project acctivity the project ordinance also closes this project effective July 1,
2009.
Chapel Hill-Carrboro Schoofs
Smith Middle School Campus -Over budget $395,474. An over budget condition was present
in the amounts converted to the MUMS financial system in FY2003 which increased by a small
amount due to expenditures in the first part of FY2004. The construction line item is over budget
Sufficient funds from Impact Fees had been allocated to cover the expenditures. This ordinance
amendment appropriates those funds. As there is no further project activity the project ordinance
also closes this project effective July 1, 2009.
Carrboro High School -Over budget $12,197. We have been meeting with the CCHS staff to
reconcile capital project budgets overall. In Fiscal Year 2007/08 a capital project ordinance was
adopted for this project appropriating $1,447,344 to be transferred from the General Fund. These
funds however were already budgeted in the project as part of a CIP ordinance adopted in June
of 2005 for $4,342,000 to be transferred from the General Fund over three years. After
eliminating this duplication the project is slightly over budget, however there are still outstanding
payments to the contractors which are being reviewed. There is an excess of Sales Tax
Reimbursement of $382,600 between this project and the Moms Grove Elementary School
project that has not been appropriated. CCHS staff has requested that we appropriate all of the
additional Sates Tax funds to the Carrbo~ro High School project less $125,000 which they wish to
budget for the Moms Grove Elementary School Project Modular units for Carrboro High School
were purchased from the Carrboro High School project, however CCHS reflected them as coming
from the Mobile Units project They have requested that we move the remaining balance of
$274,200 from the Mobile Units Project to the Carrboro High School Project
Morris Grove Elementary School -Over budget $23,585. This project is still ongoing. The
School system has funds in their budget for this project however this appropriation of Sales Tax
Reimbursement is needed to cover payments the County has made for this project and provide
additional funds needed by the project
6
2) County Capital Projects Fund
DTCCC -Over budget $20,021. Durham Technical Community College was reimbursed in March
2008 for expenditures related to a planned parking lot. These expenditures were to funded by a
transportation grant which had not been budgeted. The County did not receive the grant. This
amendment appropriates available intenrst earnings from the County Capital Project Fund for the
parking lot reimbursement. As there is no further project activity the project ordinance also closes
this project effective July 1, 2009.
CNG Filling Station -Over budget $3,725. The construction tine item is over budget due to lab
work done at the end of the project. Funds budgeted to be received as a transfer from another
project in the amount of $15,000 did not occur. This amendment appropriates funds transferred
from the General Fund to cover the overage and revenue shortfall. As there is no further project
activity the project ordinance also closes this project effective July 1, 2009.
Efland Cheeks Park -Over budget $112,196. This over budget condition was present in the
amounts converted to the Munis financial system in FY2003. Additional Project budget and
activity occurred subsequent to conversion through project completion in June 2006 however the
project ended in an over budget condition. 1997 Bond and 2001 Bond Funds allocated to the
project are appropriated to cover the over expenditure. As there is no further project activity the
project ordinance also closes this project effective July 1, 2009.
Little River Natural Area Park -Over budget $165,262. This over budget condition was present
in the amounts converted to the Munis financial system in FY2003. Expenditures for land brought
forward in 2003 exceeded budget. There have been additional appropriations and activity related
to project development however and over budget condition remains. There has been no project
activity since in June of 2006. Funds allocated to the project are appropriated to cover the over
expenditure. As there is no further project activity the project ordinance also closes this project
effective July 1, 2009.
McGowan Creek -Over budget $38,425. This over budget condition was present in the amounts
converted to the Munis financial system in FY2003. There has been no project ac#ivity since that
time. Available transfer from General Fund previously allocated to project is appropriated to cover
the over expenditure. As there is no further project activity the project ordinance also closes this
project effective July 1, 2009.
Seven~Mile Creek Preserve -Over budget $359,826. This over budget condition was present in
the amounts converted to the Munis financial system in FY2003. Land expenditures brought
forward in 2003 exceeded budget. Additional payments for the land continued until June 2006
increasing the over budget condition. Additional Payment in Lieu funds available in the County
Capital Project Fund an: appropriated to cover the over expenditure. As there is no further project
activity the project ordinance also Goses this project effective July 1, 2009.
Saortsplex -Over budget $36,874. Professional Services line item is exceeded budget as a
result of expenditures against purchase orders which occurred in April and May of 2007. No
project activity since the end of FY 2007. As there is no further project activity the project
ordinance also closes this project effective July 1, 2009.
New Hoae Creek Preserve -Over budget $34,458. This project has exceeded budget as a
result of the cost of acquiring the Erwin Trace property exceeding budget and the acquisition of
the Penny Property which was not budgeted and the cost of professional services.
7
Debt issuance Costs and Transfers -Over budget $1,250,318. This project is used to
record revenue from interest earnings, the County Capital Project Funds share of debt issuance
and ongoing debt related costs such as trustee fees and arbitrage calculation costs. This project
is also where Capital funds are recorded that have not yet been allocated to a project. There has
not been a budget in this project in the past. This project ordinance appropriates revenue from
interest earnings funds to cover the past expenditures and transfers and provides additional
funding to cover transfers to the General Fund for debt service and expenditures related to debt
issuance costs through FY2009-10.
Robert and Pearl Seymour Center Over budget $7,271. This project exceeded budget due to
expenditures on art for the facility which was not budgeted and expenditures on equipment in
excess of budget This project ordinance appropriates funds transferred from the General Fund
for these expenditures.
Animal Services Center ,Over budget $65,287. Significant additional cost for rock excavation
was incurred to construct sewer service for the facility. The original contract included a rock
allowance, which was exceeded by approximately $100,000. The project budget was unable to
absorb the full amount of this expense.
Justice Center -Over budget $341,142. Areas of verified unanticipated expense:
• Asbestos abatement in the old portion of the building was more extensive than
anticipated and exceeded the budgeted cost by approximately $76,000. The areas of
asbestos removal were hidden and were revealed only after planned demolition.
• Regulatory issues associated with bringing the existing building into code compliance on
ingress/egress will total an estimated $200,000 by the conclusion of the renovation. This
work was not identified during plan review and has only recently been brought forward
as an issue by building inspectors.
The third area contributing to the deficiency of the Justice Center balance is the uncertainty
regarding some accounting entries that were posted before the new financial package (MUNIS)
was implemented in 2003. Old records have yet to be located to substantiate the amounts
included in the entries. Staff will continue to pursue resolution to this issue.
Senior Center/S4ortsalex -Over budget $280,532. The Board approved a $377,000 change
order to the Central Orange/Sportsplex construction project for replacement of Dectron units at
the Sportsplex: These units are critical to the maintenance of an acceptable air quality level in
the pool area and were failing to the point closing the pool was a possibility. Availability of funds
was available within the Sportsplex Enterprise fund to reimburse this expense. However, toward
the end of the construction period the Spottsplex membership waned, partly because of the
construction project, partly because of the economy and reimbursement to the construction
project expense was not possible. The construction project could absorb approximately $97,000
of the Dectron expense, but the additional amount is required to bring the project into balance.
No additional operational subsidy has been required since the Sportsplex re-opened in their
expanded space.
37
Capital Proiect Monitoring and Administration Procedures
I. Capital Proiect Ordinances
Abstracts for the adoption of Capital Project Ordinances will clearly explain the
purpose of the Capital Project, anticipated timeframe for the project, the revenue
sources funding the project 'and the anticipated timing for receiving those
revenue sources. Abstracts for Amendments to existing Capital Project
Ordinances shall clearly state the reason for the amendment.
Project Ordinances wilt be balanced as to revenue and expenditures.
>~- :,
:5
When funding is being moved from one project to::`another project the term
"Transfer to other. Project" and "Transfer from othe. ;P'r'oject" will not be used in
Capital Project Ordinances to identify the Source of Reven~le~,in a project or the
use of funds. This type of account will not us'in MUNIS.~~'-~'he original source
of funds (ex. 2001 Bond Funds, Alternatix__ financing, Transfe_General Fund)
will be maintained in order to properly id and track the type of~.funds being
used. This will also eliminate the use o sfers wit„irn the same end which is
.>~;~:
not in accordance with Generally Accepted Aocou `tjng Principles (GAAP).
~.
I1. Contracts related to Capital F~roiec :'~,_
Departments should not proceed with a c~ _:rtal fro a until a Capital Project
Ordinance is approved<~iich, providad . ate ndtng to proceed.
Contracts related': `. capital projects wfa'a, are brought to the Board of County
~.
Commissioners a ~ approva v~-ill be revs ed by the Financial Services Budget
Office to determin ~: ~:#her - ~, rtentl ~capital Project Ordinance in place to
totally fun.,. ah _ cont f suffic~~~inds are not currently appropriated a
Capita '~ ajec ~ rd'nan _ pr Amendment will be brought forward to fund the
contract the tim,,,con ra+~t is presented to the Board for approval
Department`s- will be r"~` nsible for reviewing the information and financial
The Financial Services Department will review the Capital Project Funds
quarterly. Project budgets in Munis will be reviewed by the Budget Office to
insure that they agree with adopted ordinances and that budgeted project
revenue and expenditures are equal. The projects will also be reviewed for
indications of problems such as budgeted revenue which has not been received
activity on t unis s , em related to their capital projects on a regular basis.
Any potential ro I ~ ~ identified or questionable transactions should be
addressed on a pro. ctive basis. This would include such items as anticipated
revenue that is not showing on MUNIS as being received, transactions on Munis
for which there are questions, or project budget amounts which do not appear to
agree with approved Project Ordinances.
38
or potential over-budget conditions. Indicated problems will be discussed with the
responsible department to determine any action that is needed and who is
responsible for taking the action.
IV. Closing Caaitai Proiect Ordinances
Capital Project Ordinances are considered to be for the life of the project.
Projects should be closed out in as soon as possible once the project is
completed. For audit and financial reporting purposes Capital Project
Ordinances and activity have to remain in the financial records till the fiscal year
is closed if any activity has taken place during a fiscal year~:_
Active Capital Projects Ordinances will be revie
Department after the completion of each fiscal
made in consultation with the responsible Depart
will be any further activity beyond the end of the f
Those capital projects that will have noj firthei
Board of County Commissioner for closur`~~`of. the
Capital Projects Ordinances which have c
amendments wilt be amended t~~ hose prior
completed. ,.
V. Use of Capital Proiect
Capital Project fundin`'sl
would be startu hosts
replacements ( fs, IiV,
projects however rt .final c
Note;-~nese gwaenr~es area
at a~"nrement about ch th
the de n~j~n of start-u :: ,. s
b~l=~-the Financial Services
i"~;=/, defermination will be
t or~}S'~chool System if there
year rebated to the project.
ra~~
vity will be brought to the
tat Project Ordinance.
funding through annual
ding for which activity is
be used~for""~ capital ~i"firposes. Exceptions to this
~ted winew schools. Renovation and major
~n be indluded within the definition of capital
~maintena ~+ce expenditures are not.
..
a discussed with the school system staff to arrive
~as what should be purchased from capital funds,
view processes and project closure.
UIQIO -~~o5'U`~2
!!~~ ~" ~ ~
25
Attachment 2r
Central Recreation Repairs
Capital Project Ordinance
Be it ordained by the Orange County Board of County Commissioners that pursuant to Section
13.2 of Chapter 159 of the General Statutes of North Carolina, the following capital project
ordinance is hereby adopted.
Section 1. The project authorized provides funds for Repairs to various Park Facilities. This
amendment records the transfer of 2/3rds Bond Funds to the Homestead
Community Center Project and the Greenways Project.
Section 2. The officers of the County are hereby directed to proceed with the project within the
total budget contained herein. This project ordnance records the transfer of 2/3rds
Bond Funds to the Greenways Project.
Section 3. The following revenue is anticipated to complete this project.
FY 2007108 Amendment FY2008109
2l3 Net Debt Bonds $535,000 $111,060 $523,940
Total $635,000 $111,060 $523,940
Section 4. The following amount is appropriated for this project.
FY 2007/08 Amendment FY2008/09
Design $65,000 $65,000
Construction 510,000 $51,060 458,940
Transfer To Other Pro'ects 60 000 $60,000 0
5635,000 ($111,060) $523,940
Section 5. This ordinance supersedes any previous Capital Project Ordinances for this project.
Section 6. This ordinance shall remain in effect the Board of County Commissioners takes
action to amend the. ordinance or close the project ordinance upon completion of
the project.
Adopted this 16~' day of June 2009.
004 ~ aoo4 - ~~ z-
~BProv~~f-!o -! 4 - a. o ° 4
-a-~.
Commissioner Jacobs asked that the Register of Deeds be invited.
Lucinda Munger said that she would be invited after the initial meeting.
Commissioner Jacobs made reference to the third page, Organization
and Administration, and part of the discussion is going to be the pros and cons of
different organizational structures. Lucinda Munger said that this will be part of
the discussion process.
PUBLIC COMMENT:
Elizabeth Read, Executive Director of the Alliance for Historic
Hillsborough, said that they are in full support of exploring the future of the
Heritage Center. She said that the agenda item abstract stated that the Heritage
Center was not a core function of the library. She said that they believe that it is
premature to remove the Heritage Center discussion out from under the umbrella
of the library system before the work group meets. They are willing to discuss
the pros and cons of all possible options.
A motion was made by Commissioner Gordon, seconded by
Commissioner Hemminger to adopt the proposed Charge and Composition of
the Heritage Center Work Group with an understanding that this action does not
obligate the County to assume ownership or financial support of such an
enterprise.
Commissioner Jacobs thanked staff for thorough information and for
inviting partners from Chapel Hill.
Commissioner Nelson said that he hoped this group will be open to all
ideas, a standalone center or part of the library. He thinks that this would get off
the ground quicker as a standalone non-profit.
VOTE: UNANIMOUS
e. Capital Proiect Ordinance Amendments
The Board considered approving amendments to capital project
ordinances for projects which exceed the current project ordinance
appropriations and to make other corrections to the capital project ordinances as
described.
Laura Blackmon made reference to the pink sheets which included a
revised abstract (rose sheet) incorporating the CHCCS Capital Project Ordinance
(light pink sheet -Attachment 2-d) and Lands Legacy Capital Project Ordinance
(Attachment 2-dd- rose sheet). She said that Commissioner Gordon had asked
that the Lands Legacy Capital Project Ordinance be added for consideration for
the additional funding from the alternative financing that was approved in April.
Financial Services Director Gary Humphreys said that the rose sheets
revised abstract and Attachment 2-dd) are revised because there were some
typographical errors and other minor changes. He said that the main purposes
of the capital project ordinances, sections 1 and 2, are to cover projects that
need additional money because they were over budget.
Commissioner Hemminger said that there is still disagreement with the
school system about some of these numbers. She said that it is time to close the
accounts out.
Gary Humphreys said that the numbers of the sales tax were discussed
with the school board and there was agreement.
Commissioner Gordon said that she wrote two memos that she wants to
enter into the record. She said that she talked with Laura Blackmon about the
possible motion that has to do with a substitution of alternative financing for
certain projects. Because of that discussion, she changed the second bullet of
the motion. The two memos are included below. The first memo is shown as
submitted by Commissioner Gordon. The second memo shows what
Commissioner Gordon wrote in regular type, with comments given by Gary
Humphreys in italics.
MEMORANDUM
To: BOCC and Manager
From: Alice Gordon
Subject: 2001 Bonds and Item 6-2e
Date: June 16, 2009
Copies to Frank Clifton, Greg Wilder, Donna Baker, Gary Humphreys, Donna
Coffey, David Stancil, John Roberts
I have two points to make about the 2001 bonds in this memorandum. They are
related to item 6-2e, Capital Project Ordinance Amendments, on tonight's
agenda.
(1) To follow up on a question asked by Commissioner Yuhasz, I believe that the
BOCC should make a formal statement acknowledging the substitution of
alternative financing for approved 2001 bond financing. Perhaps something like
the following would be appropriate:
The Board of County Commissioners (BOCC) has authorized the substitution of
alternative financing for certain projects approved by the voters in the 2001 bond
referendum. However, if in the future it is more advantageous to issue the
remaining $2.7 million debt as general obligation bonds, the County will have the
ability to do that if the action is first approved by the BOCC.
(2) I believe that if the voters approved a certain dollar amount for a project, we
should keep our commitment to them and appropriate that amount to that project
rather than some other project.
In at least one capital project ordinance under 6-2e that does not seem to be the
case.
For Attachment 2j - Efland Cheeks Park:
Sec. 3 -The amendment shows an additional $111,636 from the 2001 bonds,
over and above the $250,000 already shown for 2001 bonds. However, the 2001
bond amount for this project was $250,000 (according to the original bond
brochure). Therefore why are we allocating more 2001 bond funds, and which
2001 bond project may be therefore losing funds?
For your information, I have attached the 2001 Bond brochure, which gives the
amount and purpose for each of the projects. The SUMMARY of all the projects
is given on the LAST PAGE of the attachment, on the stand alone information
sheet.
Attachment: 2001 Bond Brochure and a stand alone Information Sheet.
The brochure was 11 x 17. The inside, which was one large page, has been cut
in half to print.
MEMORANDUM
To: BOCC and Manager
From: Alice Gordon
Re: Questions and Comments from Alice Gordon Concerning
Agenda Item 6-2e -Capital Project Ordinance Amendments
Date: June 16, 2009
Here are the questions and comments I will be making with respect to item 6-2e
CAPITAL PROJECT ORDINANCE AMENDMENTS
A. Section 1 -School Capital Project Fund Projects Over Budget
Att. 2b - Playground Protective Surfaces
Sec. 1 states the revenue is from Schools PAYG, but Sec. 3 shows transfers
from the General Fund. Please explain.
Att. 2d -Chapel Hill Carrboro High School System Capital Project Ordinance
Sec. 4 -There is no dollar amount entered for FY 2008-09 for Construction.
Attachment 2d fixes this.
B. Section 2 -County Capital Project Fund Projects Over Budget
Att. 2g -Durham Technical Community College
Sec. 1 -Were the grant funds that were not available CMAQ funds? If so, we
need to make sure that they will not be available in the future.
Even if the funds come to Orange County, it is too late, because it cannot be
reimbursed.
Sec. 6 -Until we are clear about which grant funds were not available, and
whether they will still be forthcoming, we should NOT CLOSE the project.
Att. 2j - Efland Cheeks Park (Already noted by me previously)
Sec. 3 -The amendment shows an additional $111,636 from the 2001 bonds,
over and above the $250,000 already shown for 2001 bonds. However, the 2001
bonds for this project were $250,000 (according to the original bond brochure).
Therefore why are we allocating more 2001 bond funds, and which 2001 bond
project is therefore losing funds?
Gary Humphreys' answer was no and that this was interest money.
Sec. 6 - As long as questions about the 2001 bond allocations remain, we should
NOT CLOSE this project.
Att. 2n -Sportsplex
Sec. 1 states that funds are for the Justice Center additions, but this is the
Sportsplex project.
Sec. 4 -What are the "Swimming Pool Contrib"?
Att. 2p -Greenways
Sections 1, 3, and 4 are not clear to me with respect to the transfer of 2001 bond
funds. Please explain the actions taken and the reasons for those actions.
A capital project ordinance was adopted June 2007 authorizing these transfers.
The funds are transferred to those projects for the purpose of paying for
greenways in these parks.
Att. 2u -Animal Services Facility
Sec. 3 and Sec. 4
Why does this project use FY2008-09 and FY2009-10 dates when most of the
other projects use the dates one year earlier, namely, FY2007-08 and FY2008-
09? Shouldn't this project also have the earlier dates, especially as we are
making the two amendments in FY2008-09 to update the projects for this fiscal
year?
There is a capital project ordinance that was adopted on June 2, 2009 that
showed the 2008-09 balance, and appropriated sales tax reimbursement, which
will be received in 2009-10.
Att. 2v -Justice Center
Sec. 3 and Sec.4 -Same question about the dates as for the Animal Services
Facility.
There is a capital project ordinance that was adopted on June 2, 2009 that
showed the 2008-09 balance, and appropriated sales tax reimbursement, which
will be received in 2009-10.
C. Section 3 -Appropriation of Funds from April Alternative Financing
Att. 2z -Southern Community Park
Sec. 3 -The revenue amounts stated here should be reconciled with
amendments shown for the Greenways project, as appropriate.
It is in agreement, and the amendment is to correct the source of funds so that it
shows that it was 2001 bonds.
Att. 2aa -Cedar Grove Park
Sec. 3 -Shouldn't the $500,000 revenue "from other projects" be revenue from
"2001 bonds?
!n previous capital project ordinances, it is shown that transfer from other
projects in this ordinance eliminates that. The alternative financing replaces the
2001 bond funding that was to be used for this project.
GENERAL COMMENTS
A. Comments on capital ordinances in Sections 1, 2, 3 of the agenda materials
1. Correct any typos in the text of the ordinances.
2. Adopt a standard format for all capital project ordinances.
3. Make sure that for all capital project ordinances where it is applicable, the
following sentence, or similar wording, is included in Section 1:
"Alternate financing has been issued in place of 2001 bond funds."
B. Comments on the proposed Capital Project Monitoring and Administrative
Procedures
Follow all of the procedures in Section 1 and apply them to the ordinances being
considered, with particular attention to eliminating the use of the terms "Transfer
to Other Project" and Transfer from Other Project"
POSSIBLE MOTION -
1.Approve the amended capital project ordinances, as revised by the
Commissioners during their discussion. This means that it is the capital project
ordinances themselves that are being approved, and not the text explaining the
ordinances in other parts of the agenda materials.
2. Approve the following statement with respect to the relationship of the 2001
bonds and alternative financing:
The Board of County Commissioners (BOCC) has authorized the substitution of
alternative financing for certain projects approved by the voters in the 2001 bond
referendum. In the future the remaining $2.7 million debt may be issued as
general obligation bonds, or as alternative financing.
3. Provide to the BOCC in the fall, preferably in September 2009, a status report
on the 2001 bond projects, including the amount of 2001 bond funds (or
substituted alternative financing) that was spent on each project.
4. Adopt the "Capital Project Monitoring and Administrative Procedures" in
principle and provide the two school systems with an opportunity to comment.
TWO ADDITIONAL POINTS
Commissioner Gordon made two additional points about the capital project
ordinances.
A. The Lands Legacy capital project ordinance was added to the agenda.
Commissioner Gordon noted that the Lands Legacy capital project ordinance
was added to the agenda for this item, and therefore that ordinance should be
included in the ones that are approved.
See the dark pink sheet that had the revised agenda item along with the
ordinance.
B. Gary Humphreys provided answers to questions in the second memo (6-2e).
Commissioner Gordon also noted that the Commissioners received an email
from Gary Humphreys giving answers to questions in her second memo, and
she read some of the answers into the record.
Commissioner Jacobs said that at the meeting in May he raised a
question about the School Capital Reserve Fund, which Gary Humphreys was
not clear about -what it was, where the money came from, and what its original
purpose had been.
Gary Humphreys said it has been budgeted for construction and a lot of
other different purposes in the past. Some of it was transferred back to the
general fund.
Commissioner Jacobs asked for staff to go through and find when the
fund was started and history and how it was used and if it is necessary in 2009-
10.
A motion was made by Commissioner Gordon, seconded by
Commissioner Nelson to:
1. Approve the amended capital project ordinances, as revised by the
Commissioners during their discussion. This means that it is the capital project
ordinances themselves that are being approved, and not the text explaining the
ordinances in other parts of the agenda materials.
2. Approve the following statement with respect to the relationship of the 2001
bonds and alternative financing:
The Board of County Commissioners (BOCC) has authorized the substitution of
alternative financing for certain projects approved by the voters in the 2001 bond
referendum. In the future the remaining $2.7 million debt may be issued as
general obligation bonds, or as alternative financing.
3. Provide to the BOCC in the fall, preferably in September 2009, a status report
on the 2001 bond projects, including the amount of 2001 bond funds (or
substituted alternative financing) that was spent on each project.
4. Adopt the "Capital Project Monitoring and Administrative Procedures" in
principle and provide the two school systems with an opportunity to comment.
5. Direct staff to make a report on the School Capital Reserve Fund, including a
definition of what it is and the history of its use.
VOTE: UNANIMOUS
Commissioner Pelissier said that some of the issues raised by
Commissioner Gordon show that the Board needs to get the history of
ordinances in the future so that they can be tracked.
Laura Blackmon said that the Interim Manager has recommended that
ordinances and resolutions be numbered for future tracking purposes.
7. Reports: NONE
8. Board Comments
Commissioner Jacobs made reference to his memorandum regarding
presentation at the NCACC Convention. He is requesting Board support for an
effort to work with staff to do a presentation on the Orange County sustainability
Efforts at the NCACC Convention.
TO: Orange County Board of Commissioners
FROM: Barry Jacobs
RE: Presentation at NCACC Convention
I request Board support for an effort to share information about Orange
County's sustainability efforts at August's NCACC convention. We have been
invited to make a presentation that encourages others to use innovative
approaches to promoting sustainability. The subject matter tentatively
suggested would include practices used in construction of new buildings,
including schools; our Environmental Responsibility goals; and the County's C&D
recycling ordinance and electronics recycling.
This would require participation by staff members from Purchasing
(Asset Management), ERCD, Solid Waste, and perhaps the Manager's Office, at
least to provide information and guidance and perhaps to participate in the
presentation. I will gladly take responsibility for organizing this effort.
The BOCC Chair and Interim Manager will be kept informed as
discussions proceed. I trust that comment from BOCC members would be
solicited once an initial approach was chosen.
A motion was made by Commissioner Jacobs, seconded by
Commissioner Nelson to approve the above process.
VOTE: UNANIMOUS
Commissioner Jacobs congratulated Jon Wilner, who just stepped down
as ArtsCenter Director. He suggested doing a resolution this summer in
appreciation because he has been an advocate for the arts in Orange County.
Commissioner Pelissier said that at the HSAC's last two meetings, they
discussed their role and she shared with them that one of the Board's priorities
was to review the functions of all advisory boards. She said that some of the
members wanted to know if they should wait for the Board of Commissioners'
direction about the role.
r~.6/~ d
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: May 19, 2009
Action Agenda
Item No. ~~
SUBJECT: Capital Project Ordinance Amendments
DEPARTMENT: Financial Services
PUBLIC HEARING: (Y/N) No
ATTACHMENT(S):
School Capital Projects Fund Detail
Project Ordinances
INFORMATION CONTACT:
Name, Phone Number
Gary Humphreys (919) 245-2453
Donna Coffey (919) 245-2151
PURPOSE: To approve amended capital project ordinances appropriating additional funds for School
Capital Projects which are over budget and making various corrections to County Capital Project
ordinances.
BACKGROUND: At their February 3, 2009 meeting the Board of County Commissioners approved
the County Manager's two year plan to address additional funding needs of the School and County
Capital Project Funds. Approval of these amended capital project ordinances will make the necessary
corrections for this FY 2008-09. A similar action will be presented for Board action in FY 2009-10.
1) Projects Over budget -The following project ordinances address the capital projects in the School
Capital Project Fund where expenditures have exceeded the approved budget. See Attachment 1
for detailed information about the four projects listed below. With the exception of the transfer from
School Capital Reserve Fund in Project 1, the revenue for each of the projects listed below was
allocated to cover expenditures in prior fiscal years but the funds were not appropriated.
Capital Project Ordinance Revenue Amount Expenditures Amount
Orans~e County Schools
1 Pathwa s Elements 1997 Bonds ; 115,513 Construction ; 33,661
" State Bonds (; 37,409)
" Approp.Fund Bal
(; 254,530)
" Tr From School
Ca ital Reservs Fd
; 210,087
2 Playground Protective Surfaces Transfer from Gen Fd ; 13,974 Surfacing ; 13,974
Chapel Hill-Carrboro Schools
3 Smith Middle SCh Cam us School Impact Fees ; 395,474 Construction ; 395,474
4 Indoor Air Quali 2001 Bond Funds 51,215,111 ;1.215,111
Fund Total ;1,658,220 ;1,658,220
2
2) Correction of Funding Source -The County Capital Project Fund project ordinances listed
below correct the method used to move funds from one project to another. In past years funds
have been moved from one project to another by intrafund transfers. This is not "best practice° in
the accounting industry and should not be done for the following reasons:
1) Transfers are only to be used for budgeted movements between funds, not for budgeted
movements within the same fund. The use of transfers within the same fund will result in an
inflated figure for both the budgeted amount of money and the actual amount of money in the
fund.
2) The use of transfers between projects can obscure the actual source of funds being used to
pay for any one project, thus making it difficult to track and properly account for the use of
restricted fund sources such as debt financing and grants.
The best practice is to reduce the funding source of the project from which funds are being moved.
Conversely the project receiving additional funding will show an increase in its fund source. In the
chart below, projects with the same number followed by a letter indicate those projects in which funds
were first reduced (project "A°) and then increased (project "B°), thus correcting the inappropriate
"transfer" between projects.
The current Project Ordinance budgets for Homestead Aquatics and Southern Park are also out of
balance by offsetting amounts. Project ordinances 8A and 8D correct those balances.
The Twin Creeks (Moniese Nomp) Park Project Ordinance 6C, Lands Legacy Project Ordinance 86
and Northern Human Service Center (now Cedar Grove) Park Ordinance 8C are being amended to
align revenues with expenditures by including the remaining funding from the April 2009 Alternative
Financing and future financing.
In addition, Central Recreation Repairs Ordinance 5A is being reduced by $51,060 to provide funding
needed to cover over expended budgets in the Greenways Development project and Homestead
Community Center project.
Capital Project Ordinance Account
(r) revenue (e) expense Amount
debit Account
(r) revenue (e) expense Amount
credit
5A Central Recreation Re airs (r) 2/3rds Bonds 5111,060 (e) rranster to other proj ;60,000
" (e) Construction ;51,060
SB Homestead Commun' Ctr (r) Transfer from other proj ;60,000 (r) 2l3rds Bonds ;77,634
"~. (e) Sewer Connection ;17,634
6A Soccer Su rfund (r) 2001 Bonds ;2,000,000 (e) Transfer to other proj ;2,000,000
6B West Ten Soccer Com lex (r) Transfer from other proj ;1,350,000 (r) 2001 Bonds ;1,350,000
6C Twin Creeks Park (r) transfer from other proj ;650,000 (r) Alternative Financing ;1,000,000
" (r) 2001 Bonds ;350,000
7 Greenwa s Develo ment (r) 2001 Bonds ;575,000 (e) Transfer to other proj ;1,000,000
" (r) transfer from other proj 5425,000 (r) 2/3rds Bonds ;33,426
" " (e) Construction x33,426
8A Homestead A uatics (e) Contribution to Ch Hill 52,809,508 (e} Transfer to other proj ;3,175,000
" (r) 2001 Bonds ;500,000 (r) Alternative Financing 5500,000
86 Lands Le ac (r Transfer from other proj ;1,750,000 (r) 2001 Bonds ;1,635,364
" " (e) Land 8 Associated Fees ;2,825,300 (e) Millhouse Rd Property ;300
" (e) Blackwood Property ;1,268,116 (e} Other ;1,408,897
(e) Lewis Heartleaf Presve 61,145 (r) Alternative Financing ;2,800,000
8C Northern Human Svc Ctr Park r Transfer from other ro ;500 000 (r) Alternative Financing ;500,000
8~ Southern Park (r) transfer from other proj ;925,000 ((r) 2001 Bonds ;925,000
" " (e) Contribution to Ch Hill ;365,492
9 Bolin Creek Greenwa (r) Transfer from other proj ;75,000 ((r) 2001 Bonds ;75,000
Fund Total ;16,591,681 ;16,591,681
3
3) Project Budgets Out of Balance -The County Capital Project Fund project ordinances listed
below are out of balance, meaning the budgeted revenue for the project does not equal the budgeted
expenditure. In addition, the Capital Project Fund budget as a whole is $1,000 out of balance.
Project Ordinance 11A will balance both the projects and the fund.
Project Ordinance 10A: Equipment and Vehicles closes old activity prior to the current fiscal year.
Acquisition of vehicles is now being financed on a pay as you go basis in the General Fund.
Project Ordinance10B: Conservation Easements also realigns line item budgets within the Ordinance
to cover expenditures in those line items.
Project Ordinance 11A: Debt Issuance Costs and Transfers appropriates revenue from interest
earning funds to cover past expenditures. It also provides additional funding for future expenditures
related to debt issuance costs and transfers to the General Fund for debt service. There have been
no appropriations in this project prior to now.
Capital Project Ordinance Account
(r) revenue (e) expense Amount
debit Account
(r) revenue (e) expense Amount
credit
10A E ui ment and Vehicles (r) NC DOT Funds E634,800.27 (e)Animal Control Veh $76,862.00
" " (r) USDOJ Funds !38,574.00 (e)Inform Tech Vehicles $22,600.00
" (0 Equipment Flnancing 53,415,031.00 a Bld 8s Grnds Veh $163,425.00
" " (r) From General Fund 5615,927.48 a Motor Pool Vehicles $302,458.00
" " (r) From other Project 5559,000.00 (e)San'rtation Equipment $168 524.00
" " (e)Sanitation Vehicles $391,775.00
~` (e)Trans to General Fnd $100,000.00
" (e) Unallocated $73,114.00
« ~~ (e) Social Services Veh $16,275.00
`< (e) Health Admin Veh $77,135.00
~~ (e) Dental Health Equip $82 506.00
« <' (e)Env Health Equip $18,000.00
" " (e) Personal H1th Equip $9,037.00
« , " (e) OrangePubTransVeh $276,874.31
" " (e)Recreation&Pks Eqp $87,389.00
" (e) Recreation8<Pks Veh $137,564.00
~` « (e)Little River Park Eqp $32,794.00
« ~ (e) Little River Park Veh $32,000.00
« (e) ERCD Vehicles $46 828.00
« ~ (e)Planning Vehicles $56,000.00
~~ (e)Sheriff Equipment $164,162.00
(e) Sheriff Vehicles 51,319,934.50
« <~ (e)Emerg Mgt Equip $291,468.87
« ~~ (e) Emerg Mgt Vehicles 51,393,626.07
10B Conservation Easements (r) From other project 577,019 a Unallocated $86,813
e Tate Easement $1,050
" e Sh Easement 51,000
" e Peele Easement 184,763
11A Debtlssuance
Costsltransfers
{e) Trans to Gen Fun
$2,200,000
(r) Interest on invest
$2,499,000
" e Debt Related Costs 5300 000
~. ~~
Fund Total 57,927184.75 57,926,164.75
FINANCIAL IMPACT: The financial impact of the recommended action is discussed in the background.
RECOMMENDATIONS-: The County Manager recommends the Board of County Commissioners
approve these capital project ordinances for FY 2008-09.
9
Central Recreation Repairs
Capital Project Ordinance
Be it ordained by the Orange County Board of County Commissioners that pursuant to Section
13.2 of Chapter 159 of the General Statutes of North Carolina, the following capital project
ordinance is hereby adopted.
Section 1. The project authorized provides funds for Repairs to various Park Facilities. This
amendment records the transfer of 2l3rds Bond Funds to the Homestead
Community Center Project and the Greenways Project.
Section 2. The officers of the County are hereby directed to proceed with the project within the
total budget contained herein. This project ordnance records the transfer of 2/3rds
Bond Funds to the Greenways Project.
Section 3. The following revenue is anticipated to complete this project.
FY 2007/08 Amendment FY2008/09
2/3 Net Debt Bonds $635,000 $111,060 $523,940
Total $635,000 $111,060 $523,940
Section 4. The following amount is appropriated for this project.
FY 2007/08 Amendment FY2008/09
Design $65,000 $65,000
Construction 510,000 $51,060 458,940
Transfer To Other Pro'ects 60,000 $60,000 0
$635,000 ($111,060) $523,940
Section 5. This ordinance supersedes any previous Capital Project Ordinances for this project.
Section 6. This ordinance shall remain in effect the Board of County Commissioners takes
action to amend the ordinance or close the project ordinance upon completion of
the project.
Adopted this 19~h day of May 2009.
~~-a9
~c
Laura Blackmon made reference to the list of tiers for monthly bills. This is a four-year
program. She said that the proposal for the Board is to monitor the first and second year to see
the impact on the neighborhoods and then reevaluate where they are.
Commissioner Pelissier asked if there is capacity in these funds for additional people.
Kevin Lindley said that the Town of Hillsborough has also agreed to let Efland customers use
part of the water assistance fund.
Commissioner Yuhasz asked that notice of these programs go out with the shut-off
notice.
A motion was made by Commissioner Yuhasz, seconded by Commissioner Hemminger
to implement an information and referral process to alert all Efland Sewer customers on how to
access Emergency Assistance programs administered by both Social Services and OCIM,
including that funding by the Town, to help eligible households pay their utility bills and monitor
and assess the demand for Emergency Assistance caused by increased sewer rates during the
first year (FY 2009-10) and use those findings to formulate recommendations to the Board
about future levels of assistance that may be necessary.
VOTE: UNANIMOUS
c. Capital Project Ordinances Amendments
The Board considered approving amended capital project ordinances appropriating
additional funds for School Capital Projects which are over budget and making various
corrections to County Capital Project ordinances.
Laura Blackmon said that last fall the staff brought forward some issues with the School
Capital Projects and the County Capital Projects. Finance has been itemizing the differences
that resulted in the staff asking for some fund balance in order to set this right.
Financial Services Director Gary Humphreys said that these are not all of the
amendments the Board of County Commissioners will see and the items have been organized
in groups. The first group is for the schools. He said that with the exception of the one on
Pathways Elementary, all of the funds were allocated to the projects but not reflected
necessarily in the budget. He said that the budget amounts are not significantly out of line with
what the schools show as their budgets.
Commissioner Hemminger verified that this had no negative impact on the schools and
is a matter of cleaning up the books.
Discussion ensued about why this is being done.
Gary Humphreys said that this involves eliminating the existing revenue source and
replacing it with the appropriate revenue source.
Commissioner Gordon said that you really cannot tell what has happened by reading
this document. She said that she would like to see the overall picture and complete prcject
ordinances. She is concerned about this because project ordinances are what implement
projects. She also wants to make sure that all stakeholders, such as the schools, department
directors, etc., are involved in reviewing these changes.
Laura Blackmon said that the project ordinances should list all of the revenues, etc., and
the Board should have all of the information it needs.
Laura Blackmon said that bond money should be spent right away and not nine years
later and Commissioner Gordon agreed.
Commissioner Yuhasz said that he would like to see the original project ordinances
because it would make a lot more sense to him. He asked that the staff bring a random sample
of these.
Chair Foushee said that it would be important for the public to know what measures
have been put in place to make sure this does not happen again. Gary Humphreys said that it
would be a matter of reviewing these on a constant basis.
Laura Blackmon pointed out that there was a lot of confusion during the conversion to
MUNIS. The project ordinances should be closed out when the projects are completed, and
this has not been happening in a timely manner.
Commissioner Jacobs asked what percentage of the 2001 bond money had not been
spent. Gary Humphreys said that the only thing left is what was authorized for the alternative
financing which was substituted for the bond money. More than 90% of it has been spent. The
majority of what is left is in Lands Legacy and Parks and Recreation.
Commissioner Jacobs said that he is not in favor of spending bond money just for the
sake of saying that it was spent. Most of it has been committed. He is tired of this
conversation. Also, regarding the $600,000 for the Soccer Superfund, the Board has asked the
Manager to meet with Chapel Hill and Carrboro and figure out a plan for spending that money.
Laura Blackmon said that she could report back on this in June.
Commissioner Jacobs made reference to the School Capital Reserve Fund and said
that the reason it was spent was because Governor Easley took more than $2 million from the
County during the budget process and there was money that could be reassigned. He said that
if this was replenished, he does not think that the Board of County Commissioners was aware
of it, and if it is something else, he would like to know what it is. Also, the Board appropriated
money from the Commissioners' Contingency toward paying for a position earlier, and he asked
for the minutes from last year's budget, and then $25,000 was put in the Commissioners'
Contingency for the Attorney search. This money should not have been in the Commissioners'
Contingency, yet there was still $40,000 in the Commissioners' Contingency, which was only
$40,000 to begin with. He said that something is not tracking.
Chair Foushee said that it would seem that an appropriate motion would be to approve
the capital project ordinance amendments that are included in the packet:
- Pathways Elementary -Orange County Schools Capital Project Ordinance'
- Playground Protective Services - OCS Capital Project Ordinance
- Smith Middle School Campus -CHCCS Capital Project Ordinance
- Indoor Air Quality -CHCCS Capital Project Ordinance
- Central Recreation Repairs -Capital Project Ordinance
- Homestead Community Center Capital Project Ordinance
- Soccer Superfund Capital Project Ordinance
- West Ten Soccer Complex Capital Project Ordinance
- Twin Creeks Park Capital Project Ordinance
- Greenways Development Capital Project Ordinance
- Homestead Aquatic Center Capital Project Ordinance
- Lands Legacy Capital Project Ordinance
- Northern Human Services Center Park Capital Project Ordinance
- Southern Community Park Capital Project Ordinance
- Bolin Creek Greenway Capital Project Ordinance
- Equipment and Vehicles Capital Project Ordinance
- Conservation Easements Capital Project Ordinance
- Debt Issuance Costs/Transfers Capital Project Ordinance
A motion as made by Commissioner Hemminger, seconded by Chair Foushee to accept
the ordinance amendments as stated above as long as there is no direct cost back to the
General Fund or Fund Balance.
Commissioner Yuhasz said that he will vote for this, but he would still like to see some
samples of what these look like after adopted. The Board agreed.
Commissioner Gordon said that she would like to urge the Board to vote against this
since it is not just a clean up of the accounts and the Board should get a complete explanation.
VOTE: Ayes, 3; Nays, 3(Commissioner Gordon, Commissioner Pelissier, and Commissioner
Jacobs)
MOTION FAILED
Laura Blackmon said that the staff would bring it back and include samples in the next
agenda.
Commissioner Jacobs made reference to the bonds and said that he has asked for
several years for information. The voters were promised in 2001 that the bonds would result in
no more than aseven-cent property tax increase. He has asked for this repeatedly and the
Board has never gotten it.
d. Process for Evaluating Town Site Suggested For Transfer Station
The Board considered a possible solid waste transfer station location on Millhouse
Road as suggested by the Town of Chapel Hill at the Board of County Commissioners work
session on May 14, 2009 and reviewed the process in relation to on-going investigation of Site
056.
Solid Waste Director Gayle Wilson said that at the May 14, 2009 meeting, Chapel Hill
Mayor Kevin Foy brought up a site on Millhouse Road as a possible site for a transfer station. It
was not a formal offer, but on the table for discussion. He said that the purpose of this item
was for the Board to give direction to the staff about this site. It is his understanding that if the
Board chooses to proceed to evaluate this site; it would be done on a parallel track with the
Howell property. Information could be brought back by June 16th. However, it is likely that the
wetlands recommendation on the Howell site would not be ready for the June 16th meeting.
Staff would like to bring this back at the August 18th meeting.
The Manager's recommendation is that the Board:
-Direct staff to conduct a preliminary evaluation of the Town site and report findings at
the June 16th BOCC meeting;
-Confirm staff will continue the COE wetlands determination of Site 056 and to return at
the August 18th BOCC meeting with the results, including the Planning Department
decision on the enhanced environmental assessment of the site; and
- Consider a final decision on the location of the transfer station at the August 18th
BOCC meeting.
PUBLIC COMMENT:
Charles Viles, Vice President of the Board of Directors of Emerson Waldorf School,
read a letter.
"Dear Board of County Commissioners,
As Vice President of the Emerson Waldorf School, I am writing to you today to express
our deep concern regarding recent developments in the site selection process for the proposed
Waste Transfer Station. Through media reports and communications with our neighbors, we
have learned that a 32-acre site immediately adjacent to our school is under some level of
discussion.
Now in our 25th year, Emerson is the academic home for 265 students from pre-k
through High School, ages 3 to 18. The vast majority of these children reside in Orange
County, Carrboro, or Chapel Hill. Our core and overriding mission is the education of children
using a curriculum and educational philosophy that is grounded equally in academics, art,