Loading...
HomeMy WebLinkAboutMinutes 05-27-2010 APPROVED 6/15/2010 MINUTES ORANGE COUNTY BOARD OF COMMISSIONERS BUDGET WORK SESSION May 27, 2010 7:00 p.m. The Orange County Board of Commissioners met for a budget work session on Thursday, May 27, 2010 at 7:00 p.m. at the Southern Human Services Center in Chapel Hill, N.C. COUNTY COMMISSIONERS PRESENT: Chair Valerie P. Foushee, and Commissioners Alice Gordon, Pam Hemminger, Barry Jacobs, Mike Nelson, Bernadette Pelissier, and Steve Yuhasz COUNTY COMMISSIONERS ABSENT: COUNTY ATTORNEYS PRESENT: COUNTY STAFF PRESENT: County Manager Frank Clifton and Clerk to the Board Donna S. Baker (All other staff inembers will be identified appropriately below). 1. Durham Technical Community College Orange County Schools Chapel Hill Carrboro City Schools • Durham Tech Dr. Bill Ingram, President of Durham Technical Community College, thanked the County Commissioners and said that they appreciate the support in the past. He said that the budget for DTCC this year in Orange County reflects no increase. He discussed some of the programs that are offered at the Orange County Durham Tech campus. The campus just celebrated its second anniversary and it continues to have steady growth. This campus has served about 10,000 students in the past two years. In the coming year, there will be some significant new activity at this campus. He said that the newest credit program at Durham Tech will be housed at the Orange County Campus. This program will be Sustainable Technologies. This program will prepare students to install, repair, and monitor solar energy panels and also provide training in conducting energy audits. Last week, Durham Tech received a $250,000 grant from Duke Energy to provide equipment for this program. There will also be programs offered at the Orange County campus that prepare students for work in Health Technologies. Beginning in the fall, there will be a certificate program in Workplace Spanish Interpretation for Healthcare Professionals. There will also be a sign language program for individuals working in health care. There have been discussions with UNC Hospital about short-term and long-term needs as it develops a new facility in this community. The University Transfer program has also grown a lot. Dr. Ingram introduced Carlo Robustelli, who is the new Director for the Orange County Campus. He thanked the County Commissioners for their support. • Orange County Schools Superintendent Patrick Rhodes said that the school board would like the County Commissioners to support the County Manager's Recommended budget, which is to maintain the same per-pupil allocation as last year. Commissioner Jacobs asked about the letter regarding lottery proceeds. Patrick Rhodes said that he signed a letter requesting that lottery proceeds not be held for a year, but be distributed. Frank Clifton said that the County Commissioners will be recommending after the budget is adopted to allow the schools to spend the lottery proceeds as they become available. • Chapel Hill Carrboro City Schools Michael Kelley, Chair of the CHCCS Board, summarized the handout, shown below: TO: Orange County Board of Commissioners Orange County Manager FROM: Michael Kelley, Board Chair Neil G. Pedersen, Superintendent RE: Budget Work Session on May 27tn DATE: May 27, 2010 Since we already had an opportunity to present our budget request to the County Commissioners at the Joint Meeting on April 27th, we would like to take this opportunity to respond to the County Manager's recommended budget. Local Operating Budget Although the Manager did not support the $62 increase in the per-pupil appropriation that our School Board requested, we are relatively pleased that his recommendation maintains the per- pupil appropriation and applies it to the 279 additional students expected in the two school districts next year. This will leave a shortfall in our local operating budget request of $732,840 that is attributable primarily to rate increases for the employer's share of retirement system contributions and health insurance. We believe that it's reasonable to expect us to make budget reductions of this magnitude in light of the County's financial challenges. State Budget Unfortunately, we are faced with reductions not only at the local level but at the state level as well. Under the Governor's recommendation, we stand to lose $2 million from our anticipated state appropriation. Under the Senate proposal, we would lose approximately $1.1 million. We are still analyzing the House's budget proposal, but at first glance it appears to be very similar to the Senate's budget except that it diverts some excess lottery revenues. Reduction in Pay as you go funding At its meeting on May 20th, the School Board did express concern that, under the Manager's recommendation, the operating budget was being supported by a major reduction in our Capital Pay-as-you-go budget. This has two negative implications. One concern is that this is a one- year fix that uses capital funds to support the operating budget. Presumably, this is not an approach that will be used every year; therefore, at some point there will need to be a "correction" when the County will need to identify additional funding to support the current operating budget. Perhaps, this is a risk that is worth taking at this time with the hope that revenues will rebound as the economy recovers in future years, but we should acknowledge that this may be more of a delaying tactic than a solution. Most economists are predicting that this will be a very slow recovery and that it will take several more years for our state and local revenues to match those that were generated before the recession began. The second concern is the impact this will have on our capital budget. The Manager's recommendation reduces our capital budget by approximately $1.1 million. This results in our being able to fund from the pay-as-you-go budget only our technology projects ($1.5 million), many of which are multi-year commitments, and rental of facilities ($100,000). This projection is based on the assumption that we will enter into a three-year lease-purchase agreement for $450,000 worth of computers, which will reduce our upfront costs next year by $300,000. Altogether, this loss of funding would result in approximately $800,000 worth of CIP school construction projects being delayed. Greater Flexibility on Budgeting of Lottery Revenues We had budgeted $1.3 million in lottery revenues for the balance of our 2010-2011 Board approved CIP. The shortfall in the Manager's pay-as-you-go recommendation could be made up by a relaxation of the County's policy to budget lottery funds a fully year in arrears. It is estimated that by the end of the 4th quarter (June 30, 2010) we will have accumulated $1.7 million in lottery revenues. If we were allowed to expend all of these funds and revenues from the first two quarters of the 2010-11 fiscal year once they have been received, we could complete all of the projects that we had included in our 2010-11 CIP. Basically, we're asking that the Commissioners revise their policy to allow for the budgeting and expenditure of lottery funds once they are received. We should point out that even though we may be able to fund all of the projects in our CIP for 2010-11, these projects come nowhere close to meeting all of our capital needs. Each year we schedule the highest priority projects for completion, but the bulk of the projects are delayed to future years or are labeled as "unfunded." In recent years we are falling farther and farther behind in the maintenance of our facilities and in staying on schedule to construct new schools. The number of square feet in our facilities and number of acres on our sites have grown considerably while the projected revenues available for the CIP steadily decreases, in large part due to the decline in sales tax and the elimination of the state's Public School Building Fund. Qualified School Construction Bonds We will be applying for Qualified School Construction Bonds (QSCB) to finance the McDougle Elementary and Middle School roof replacement project. The budget for this project is $3 million. Only $85,000 is budgeted in 2010-11 for investigatory and design work. Consequently, receipt of the QSCB will have a minimal effect in 2010-11 but will help us to balance our CIP projects during the next three years by spreading the cost out over 12-15 years. The first payment would not be due until 2011-12, which the County Manager has indicated will be acceptable in terms of indicated will be acceptable in terms of the County's debt limit. While our initial application focuses on the McDougle roof, we anticipate another allocation being made to us similar to last year. We would apply for other CIP roofing and paving projects in the second round of applications. With both applications, we intend to apply for approximately $5 million in QSCBs for this year. We will need the signature of the Chair of the County Commissioners on our application, acknowledging that she is aware of the application. If we are successful, we will need to return to the Commissioners to seek approval for the sale of the bonds and a project ordinance. Elementary No. 11 We would not want this QSCB to negatively impact our ability to construct Elementary#11. With the Commissioners not having yet taken any actions to provide funding for the school's construction, Elementary 11's opening date has been delayed by at least three years. It would be helpful if the County staff could clarify when the County will be in a position to construct Elementary 11. This depends upon freeing up additional debt capacity and identifying funds to finance the construction of the school. We understand that the Commissioners will revisit the status of Elementary 11 next fall. Summary of CIP Concerns In summary, with the cooperation of the County Manager and Commissioners, we believe that we can address the capital projects that are currently included in our CIP for 2010-11. This will allow us to meet some of the most urgent health and safety capital needs, but it will continue to delay other much-needed capital projects. In the long run, we are extremely concerned that the County will continue to fall farther and farther behind on providing funding that will allow us to address the maintenance and construction needs of the school district. The 30% decrease in sales tax receipts over the last three years does not bode well for a healthy revenue stream to support the CIP. Frank Clifton said that in both school systems, they did talk about the qualified school construction bonds. If the funds are received and if the Board of County Commissioners authorizes it, there would not be any debt incurred this year. Commissioner Hemminger asked the school systems to help support the '/4-cent sales tax if the Board of County Commissioners decided to move forward with this option. 2. Fee Schedule Frank Clifton said that the Board of County Commissioners asked to review fees every year. Paul Laughton made reference to Appendix B, page 39 of the budget document, and said that any change would be highlighted. He went through all of the changes. The footnotes that explain the reasoning behind the increases are on page 66. There are changes in the Department on Aging, Library, ERCD, Parks and Recreation, Efland Sewer, Animal Services, Environmental Health, Personal Health, and Solid Waste. Commissioner Jacobs made reference to the Department on Aging, page 39, Senior Program Classes, and why they are only trying to recover a small percentage of the administrative costs. Paul Laughton said that the range is going from 10% to 25%. There was no one from the Department on Aging present, and staff will bring an answer at another time. Frank Clifton said that this is for programs that have private instructor taught classes. Commissioner Hemminger asked if there was ever a consideration to look at any of the fees that are over 10 years old that have not changed, such as photocopying fees that go back to the 1980's. Paul Laughton said that they can footnote those and in the past they looked specifically at program and services fees instead of the type of fees she is mentioning. Frank Clifton said that some of that relates to how much it actually costs to do those things. Commissioner Hemminger requested that the staff look at any fees that are 10 years old or over. She also suggested adding a "last reviewed" date if the fees have already been reviewed. Commissioner Gordon supported this. Commissioner Jacobs pointed out that the gun permit fees were last approved in 1982. He agreed with adding a "last reviewed" column. Frank Clifton said that a column could also be added to show how many times a fee is implemented. Commissioner Pelissier agreed with the previous comments and thanked the staff for preparing this schedule. She said that, instead of making a footnote that a fee has been reviewed, it might be more useful to have a footnote as to why something has not been raised because some fees are related to costs and some are administrative fees. Frank Clifton said that staff looked at cost recovery in all fees. The goal was to focus on things where there were a lot of costs involved. Commissioner Jacobs asked clarifying questions about the Efland Sewer fees. Planning Director Craig Benedict said that the goal is to standardize the language between Hillsborough, Mebane, and OWASA. Commissioner Jacobs made reference to page 65 and the non-schedule pickup and asked which was correct, and Solid Waste Director Gayle Wilson said that $35 to $40 is correct. The $35 to $50 is incorrect. Commissioner Hemminger asked about the public use of facilities and Frank Clifton said that staff would come back with this information. The staff is looking at the usage now and also researching what others entities are doing. 3. County Departments Paul Laughton said that he and Michael Talbert will go by the list and hit the highlights of the budget drivers for each department. • Register of Deeds - Section 30 Paul Laughton said that the total expenditures have been reduced by $102,000 and they have eliminated two vacant Deputy Register of Deeds Lead Worker positions. The department also reduced non-permanent personnel and generated some savings of about $6,500 from reclassifying a Deputy Register of Deeds Lead Worker to a Deputy Register of Deeds II position. Also, on page 30-1, the revenues are projected to increase by $150,000. Frank Clifton pointed out that there will be a new Register of Deeds this year as the current one will be retiring. Commissioner Yuhasz said that all new documents are scanned and put online going forward, but the older documents are not being done. He suggested that there should be some back-scanning for at least four years back. Commissioner Jacobs said that page 30-2 says that this is the goal for this fiscal year. Paul Laughton said that there are some non-permanent temp funds to help with the back- scanning. Commissioner Jacobs suggested that if the revenue in the Register of Deeds department is exceeded, then the excess could go toward back-scanning. Commissioner Pelissier asked if the e-recording of documents would save a tremendous amount of time and if this is a common practice. Joyce Pearson said that some counties do this, but not many. She said that in the beginning, it would take more staff time. • Department on Aging Michael Talbert said that this department is going through changes with the upcoming retirement of Jerry Passmore. The budget is just short of $1.5 million, which is a reduction of $150,000. There are some service delivery changes, reduction in administration and operating expenses, elimination of evening and weekend senior center hours, reduction in postage for The Senior Times, reduction for Elder Care, and discontinuing of the telephone reassurance program. Frank Clifton said that the evening hour issue has been addressed by both Friends' groups, who have raised their own funds to keep the evening hours. Also, transportation has been separated out and this will now fall under Planning. Kathie Kearns from the Department on Aging was available to answer questions. Commissioner Jacobs made reference to page 3-5 and the Farmer's Market Outreach Program and asked if this included multiple farmers' markets and it was answered that it is. Commissioner Jacobs asked more clarifying questions, which were answered by Kathie Kearns. Commissioner Jacobs made reference to page 3-12 and the Facility Use Policy. He said that this has been promised the Board of County Commissioners for about two years and he would like to get this policy. If this policy would cover the costs, then it should definitely be done. • Animal Services - Section 4 Paul Laughton reviewed the changes in services. There will be a reduction in the overall budget of $113,000 this year. This includes the elimination of a vacant Administrative Assistant I position. There are also reductions in the in-house sterilization, non-pertinent and seasonal staffing, vet services, healthcare supplies, animal supplies, and medical supplies. The revenues are increasing by approximately $120,000 as a result of the animal tax, pet registration, and the sterilization fee. Commissioner Jacobs made reference to page 4-4 and the placement rate. He congratulated the department on this increase. Commissioner Jacobs made reference to page 4-6 and suggested looking into an amnesty program to get more people into the program. Commissioner Jacobs made reference to page 4-7 and asked about the protocols for wildlife and dead deer responses. Animal Services Director Bob Marotto said that they restrict services to health and safety of animals and they refer other calls to wildlife organizations, pest control companies, or wildlife rehabilitators. With respect to deceased animals, the Animal Services Department does not remove them, but refers to the Department of Transportation or Public Works. Commissioner Jacobs said that a citizen called him to complain that the County was doing away with the low-cost rabies clinics and it was answered that the fee has been increased and the program still exists. Bob Marotto said that the department will now be doing sterilization in-house. • Child Support Enforcement— Section 8 Paul Laughton reviewed the changes in services. There is an increase of about $38,000 in this department. This department is being budgeted at 100% salaries. That, combined with the retirement rate going up from 4.89% to 6.43%, has an impact on the budget. There were some reductions in non-permanent personnel and several operational line items. There is also an increase in revenue because of a revised indirect cost allocation plan. Frank Clifton said that this department is now in rental space and staff is looking at a place in an office building as an option to relocate. The lease runs out in December. Getting rid of the lease would reduce expenses about $55,000. • Cooperative Extension — Section 9 Interim Cooperative Extension Director Joey Knight said that this budget has a decrease of about $63,000. This budget proposes elimination of the breastfeeding program, which includes the Community Health Aide position, which will be reassigned to a similarly skilled vacant position within the County. The impact on salary and benefits is a reduction of about $42,000. Also, as of January 1, 2011, all positions within Cooperative Extension will become State employees and will be budgeted as a contract personnel line item. Joey Knight said that the breastfeeding program definitely needs to be taken over by the Health Department or another agency because the employee that is there now has trained about 250 Hispanic mothers per year in breastfeeding. Discussion ensued about the arrangement of County/State employment. Commissioner Jacobs said that the County Commissioners received an email from someone at Piedmont Health Services explaining why the breastfeeding program is irreplaceable. There was also an email from Alice Pettit, who used to be in Cooperative Extension, saying the same thing. Before he is ready to eliminate this, he would like to let the Health Director see those emails and have her address whether this service is going to be replaced. Commissioner Jacobs said that he would like to see the actual dollar amounts that are cut for a service throughout the budget, specifically. • Economic Development (Section 14-1), Visitors Bureau, and the Arts Commission (Section 36) Michael Talbert said that the Economic Development arm is seeing a reduction in the budget of $131,000. This is coming from reduction of general operating expenses, reduction in membership dues and subscriptions, reduction in advertising efforts, and reductions in communications to corporations. The largest part of the reduction is the transfer of the Arts Commission from Economic Development to the Visitor's Bureau. In the Visitor's Bureau, there are some significant changes with delivery of service. The budget is being reduced with decreases in mailings and an increased use of electronic communications, general operating reductions such as reduced subscriptions, and a reduction in a local art grant contribution. The Arts Commission is seeing reductions of about $149,000 from reduced mailings, reductions in advertising and promotions, and reduction in convention and trade shows. There will be one new position for the Arts Commission for about $80,286. The operating capital is not funded and the occupancy tax is expected to bring in about $840,000. The budgeted allocation from the Town of Chapel Hill is $150,000. Commissioner Jacobs asked if a letter was ever sent to Chapel Hill about the occupancy tax and Clerk to the Board Donna Baker said that it was mailed yesterday and the copies are in the various packets this week. Commissioner Jacobs made reference to page 36-2 and the last section, which says, "expand sales department", but the sales position was eliminated last month. He asked how the sales department would be expanded. Economic Development Director Brad Broadwell said that he does not know if this should be altered in the notes. His understanding was that the sales person was being taken away and the outside sales source in Washington D. C. was also being taken out of the budget. He does not know anything about outside sales except what is happening with the staff. Commissioner Jacobs made reference to page 36-3 and the hits on the OCAC website. He asked why it had decreased so much in 2009-2010. Brad Broadwell said that this is because of lack of travel due to the economy. Commissioner Jacobs said that the Manager had mentioned moving $200,000+ out of the fund balance, but it is not in the budget document. He would like to track this and discuss it. He would like to leave the Arts whole even if it is going to be moved. Frank Clifton said that they did move the total function of the Arts, but the State grant money is not being shown. Commissioner Jacobs asked about the local matches and Frank Clifton said that they would be in the Tourism Fund. Commissioner Jacobs said that they County Commissioners have heard a lot from the arts community and this is a good move. He suggested that it might be a good idea to have some kind of stated relationship between the Visitor's Bureau and the Arts Commission. There needs to be some surety that goes along with this change. Frank Clifton said that he moved the Arts Commission because of a funding function and a supervisory function. He said that the Board of County Commissioners set up the advisory boards and agreements. As far as he is concerned, the Arts Commission and the Tourism Board can both function as they already do. Commissioner Jacobs said that if there is `x' money going from the reserve of the Visitor's Bureau to Economic Development, he would like some recommendation from the Economic Development Director as to how this would be applied to Economic Development. Brad Broadwell said that he would provide this to the County Commissioners. Commissioner Yuhasz said that the County is in need of increasing economic development and they need to see how they can fund this department more rather than cutting services. • Department of Environment, Agriculture, Parks and Recreation (DEAPR) Michael Talbert said that these three divisions have a total budget of about $2.5 million. There are also a number of cuts. The funding for the Triangle Land Conservancy has been eliminated. There has been a reduction in personnel, mainly temporary, reduced travel and training, reduced hardcopies and mailings, reduced use of staff vehicles, and reduced operating expenses such as subscriptions and computer needs. In Soil and Water, there are similar reductions for travel, conferences, and training; operating expenses; and educational materials. In the service delivery for the Parks and Recreation division, there are similar eliminations, but it also includes two positions — a Park Conservation Technician I and an Administrative Assistant II. With the staff reductions, they are also decreasing the level of park maintenance. There are also reductions in operating expenses and travel in those areas. Regarding capital projects, the total reductions are proposed to be $800,000 for this department. Commissioner Jacobs made reference to page 17-8 and Environmental Education. He asked why the Eno River Association and the schools were not listed here, because they both do environmental education. Dave Stancil said that there is a series of internal working teams and this is referencing the fact that there is a working team that is trying to consolidate so that there is no duplication. Commissioner Jacobs made reference to page 17-10, and the last item of Fiscal Year Objectives, and said that the Manager is proposing cutting funding for the Hillsborough Youth Athletic Association by more than half. He said that an organization like this depends on corporate sponsorships to keep it afloat. Now it is proposed that the County go into competition with HYAA to try and get sponsorships. He said that this sounds like the County is trying to make it more difficult for a non-profit that provides recreation to survive. Frank Clifton said that staff is working with those agencies to foster partnerships and on the contribution side for HYAA, they looked at all core and safety net functions, and athletics is not a core or safety net function. Lori Taft said that team sponsorship is not a new initiative, but it has been done in the past. Commissioner Hemminger said that she disagrees with giving money to one individual sport, and this group has had issues with being inclusive of all children. HYAA offers scholarships, but cannot prove that it has given any. She said that if the County is not willing to do it for all recreation activities (soccer, lacrosse, basketball, etc), she has a problem doing it for this one group. Chair Foushee said that she has raised that same sentiment for three years running. Commissioner Hemminger asked about the opening of Fairview Park at the same time as reducing park maintenance. Dave Stancil said that they have been talking about that and are making plans to make this work. Lori Taft said that she has been looking at all services and is trying to cut in all areas (less mowing, less fertilizing, etc.). She anticipates being able to open Fairview Park with little additional trouble. The plan is to have a contribution from the Town of Hillsborough. The plan is to have the park open by the first of September. Frank Clifton said that he hopes the Board of County Commissioners understands that if they are cutting the budget, then they will be cutting services. Commissioner Pelissier made reference to page 17-8, Outcome Measures, and said that she was surprised that the estimates for this fiscal year are higher for participants. She asked how this was being accomplished. Lori Taft said that they have increased maximum enrollment in individual classes, which ends up being mostly profit. The other factor is that there are more waiting lists and these are inexpensive activities. • Health — Section 20 Paul Laughton reviewed the service changes. The total expenditures are increasing approximately $40,000, but cuts have been made. The salaries are budgeting at 100% and the retirement rate increase is about $250,000 in increases. There was an elimination of a vacant Social Worker II position, two non-mandated Community Social Services Tech positions (reassigned to mandated functions), another Community Social Services Tech position (also eliminates the maternal outreach program). Also, eight FTE positions were reassigned from Central Division to Personal Health Division. In Environmental Health, there will be two positions held vacant for six months. There were also operating expenses reductions. On page 20-11, revenues are decreasing about $140,000 due to a 4.5% in the dental reimbursement rates and loss of revenue because of the eliminated positions. Commissioner Jacobs asked Health Director Rosemary Summers to respond to the Manager's email questions and she said that she would send those responses in writing. Commissioner Jacobs made reference to page 20-8 and said that the County Commissioners heard from a Board of Health member about the gross inadequacies in restaurant inspections and Rosemary Summers said that this year there was a vacancy in the department for an entire year. They are just now starting the recruitment process for this. How the rate comes up depends on how quickly the position can be hired. Commissioner Jacobs made reference to page 20-11 and asked why the septic tank manufacturer yard inspection was going from $100 to $200. Rosemary Summers said that the program was started about five years ago to make septic installations on-site more efficient. When the septic tank is put in, the in-ground stress testing does not have to be done before the hole is closed because of this. This saves the contractors time in the ground and also saves repeat visits out to the site. The septic yards pay the County for a staff inember coming out to certify. Commissioner Jacobs said that he thought that the County had decided in the past to provide primary care over and beyond what was required of them. He asked how much of the primary care that is being provided is optional. Rosemary Summers said that all of the primary care is optional. They provide primary care only to women and children and do not provide it to all adults. The clients must be registered health department patients already. Commissioner Hemminger asked about the delaying of the replacement of the dental clinic. Rosemary Summers said that this is not included in this budget. The department is using the cost settlement funds to pay for the renovation of the space. Also, the department is not buying any new equipment. Also, this past year they got a lot of funds for H1 N1 from the federal government. This money was used to replace some dental equipment. She said that she would rather cut equipment than people. Commissioner Pelissier asked about the service impact on pregnant women and newborns and Rosemary Summers said that they will be receiving fewer services. The reductions in the maternal care coordination and outreach program are a direct result of reductions in Medicaid reimbursement. This means that all of the social workers that take care of at-risk pregnant women have larger case loads and make fewer home visits. The prenatal clients have doubled at both clinics. This is not a primary care service, but it is a regular health department clinical service. The WIC program is the only federal program that has received increases in the allotment to serve women and children. Piedmont Health operates this program in all of their counties. Piedmont Health has free space at the Whitted Center to see those patients. Piedmont also provides breastfeeding support. Commissioner Jacobs asked about the funding for the school health nurses and Rosemary Summers said that the goal was to have a school nurse in every school in Orange County. She gave a brief history of this process. The Health Department's responsibility is to coordinate the school nursing function. They all report to the school system, all of the funding goes to the school systems, and there is a collaborative relationship, but there is no funding in the Health Department for school health. The Community Health Services Supervisor works with both systems to develop the school health policies and the Medical Director provides oversight for both programs. This arrangement has worked out well. • Library Services — Section 24 Frank Clifton said that there are two sections - the Library budget and contributions to other libraries. The total budget is just under$1.4 million. The budget has been reduced by about $266,000. The biggest contribution is to the Chapel Hill Library of $249,000 (same as last year). The Cedar Grove branch will be closed beginning August 1 st, transferring materials, computers, and staff to the main library branch. The Cybrary in Carrboro will be eliminating one position and reducing operating hours from 44 to 20 per week. This will be done in coordination with the McDougle branch so that Monday-Friday there will be services in Carrboro at two different locations. Regarding the Carrboro branch, there is a reduction in non-permanent personnel, a reduction in the materials purchased, and reductions in administrative support. Regarding the main branch, there is a reduction of $166,000. There are reductions in non-permanent personnel, reductions in materials purchased, reduction in support for staff (travel, training, printing, and mileage), and reduction in maintenance and repairs. Commissioner Nelson said that there are charts in here with data about circulation but nothing about Cedar Grove. Library Services Director Lucinda Munger said that it is in the green handout and includes a history of usage since its inception. Frank Clifton said that one of the issues of the Cedar Grove library is one of security since two people are needed there at one time. Commissioner Nelson said that they worked very hard to get library services in the rural areas, but in closing this branch, it means that libraries will most likely not come back to the rural areas in the future. He said that there were conversations about co-locating libraries with the schools at one time. He suggested restarting these conversations. Lucinda Munger said that this was a very painful decision for her to close this branch. She plans to explore other ways to serve these areas. Commissioner Jacobs said that he thinks Pathways Elementary is designed similar to the way they use McDougle for a library. This is a little closer to the northern part of the County than the main branch library. It is designed so that people can get into the library when the school is closed. He said that there are stores in the rural areas that could be used as electronic libraries in order to keep a presence in these communities. Commissioner Jacobs made reference to the two Carrboro libraries and said that there are disproportionate cuts between these and the main library. Lucinda Munger said that the budgets are structured very differently. The main library had to take the largest hit because she zeroed in on operations. • Orange Public Transportation (OPT) -Section 27 Michael Talbert said OPT is in the process of being transferred over to Planning and Inspections. OPT services are more popular and the usage is up a little bit. About 60% of the budget still comes from state and federal money. The budget is being reduced by $81,653. All of this is in personnel services. An Administrative II position is being eliminated (April 2010). There is a recommendation of the elimination of a vacant OPT Driver position. There was an agreement to keep the retiring director's position vacant for the next six months. Frank Clifton said that there was discussion about contracting for transit services with Chapel Hill Transit or Triangle Transit. He said that the availability for the $10 tag fee is out there and this would generate about $1 million a year. Commissioner Gordon reminded the Board that when they were given the financial model for the county transit plan, it included the %2-cent sales tax and this $10 vehicle registration fee. It is important to have a transit plan before the Board enacts the fee. Commissioner Jacobs said that the Board has not agreed to the $10 tag fee. Frank Clifton said that it is the Board's option to enact the fee at any time. Jerry Passmore said that July 1St will be the transfer of this department. He said that it is logical to go to the Planning Department. He said that the operation will not change, but the reporting function will be under the Planning Department. • Planning and Inspections — Section 29 - (including Efland Sewer) Michael Talbert said that there are changes in service delivery with a reduction of $185,750. A couple of Planner II positions are being eliminated (April 2010). There is also elimination of a vacant Code Compliance Officer. This department has been under constant reorganization and reclassification. Most of the reductions are personnel related. • Solid Waste (Section 33) Michael Talbert said that Solid Waste has an Enterprise Fund that is self-supporting. There are several changes. Sanitation is being moved out of the General Fund and back to Solid Waste. There is a recommendation of limiting funding for capital operations (new transfer station) and other capital equipment that was proposed by the department. Some fees and services are being reallocated. The total reduction of the budget is $1.1 million. Frank Clifton said that staff is intensely looking at the landfill program and the process since the County will most likely be transferring its waste to Durham County. Commissioner Jacobs said that there were some questions about the 3R fee and how it is applied. He asked if this could be defined for the Board in writing. • Board of County Commissioners Commissioner Hemminger asked about the Clerk's funds for continued education for certification and if it was in the budget and Donna Baker said yes. • County Manager(Section 11) The total expenditure is decreasing by about $70,000, which includes reassignment of two Administrative Assistants to the Manager positions and a Civil Rights Specialist position to other County departments. There are also reductions in departmental supplies and in personal mileage and operations. Commissioner Jacobs asked about cutting travel and Frank Clifton did not answer that question. Frank Clifton said that there will be minimal staffing and there will be times when calls will be forwarded elsewhere. • Financial Services (Section 18) There is an expenditure decrease of around $3,000. There will be a six-month hiring delay of the Financial Services Coordinator position that will become vacant June 30th and the current vacant position of the Budget and Management Analyst position. With no further items to discuss, a motion was made by Commissioner Hemminger, seconded by Commissioner Jacobs to adjourn the meeting at 10:18 p.m. VOTE: UNANIMOUS Valerie Foushee, Chair Donna S. Baker, CMC Clerk to the Board