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HomeMy WebLinkAboutMinutes 09-08-2011 APPROVED 10/18/2011 MINUTES ORANGE COUNTY BOARD OF COMMISSIONERS REGULAR MEETING September 8, 2011 7:00 p.m. The Orange County Board of Commissioners met in regular session on Tuesday, September 8, 2011 at 7:00 p.m. at the DSS Offices, Hillsborough Commons in Hillsborough, N.C. COUNTY COMMISSIONERS PRESENT: Chair Bernadette Pelissier and Commissioners Valerie P. Foushee, Alice M. Gordon, Pam Hemminger, Barry Jacobs, and Steve Yuhasz COUNTY COMMISSIONERS ABSENT: Earl McKee COUNTY ATTORNEYS PRESENT: John Roberts COUNTY STAFF PRESENT: County Manager Frank Clifton, Assistant County Manager and Gwen Harvey, and Clerk to the Board Donna S. Baker (All other staff inembers will be identified appropriately below) 1. Additions or Chanqes to the Aqenda The Chair went through the items at the County Commissioners' places: - White sheet— Item 5g - additional information for Easements Pertaining to County Owned Real Property at 112 and 118 North Churton Street. - Blue sheet— replacement for item 8-b, Employee Health Insurance and Other Benefits for 2012. - Pink- additional information for Item 8-c-Bid Award: Link Center Geothermal HVAC and Approval of Budget Amendment# 1-B - White sheet- hand out for Item 9-a - Economic Development Potential and One-Quarter ���4) Cent Sales Tax Educational Material Report Chair Pelissier said that there would be a public announcement. Dottie Schmitt introduced the new Economic Development Director, Steve Brantley. He is a Durham native and a UNC graduate. He was able to bring $800 million worth of investment and 1,600 jobs to Durham County. He comes highly recommended by the former director, Gary Shope. Steve Brantley thanked them for this opportunity and he anticipates that he will have things to learn, and he wants to start meeting people. Frank Clifton said that the County did a thorough search for this position. There were 44 applicants from 18 states. Chair Pelissier said that Commissioner McKee was out of the state tonight and would be unable to attend the meeting. 2. Public Comments a. Matters not on the Printed Aqenda NONE b. Matters on the Printed Aqenda (These matters were considered when the Board addressed that item on the agenda below.) 3. Petitions by Board Members (Three Minute Limit Per Commissioner) NONE 4. Proclamations/ Resolutions/ Special Presentations a. Oranqe County Arts Grant Recipients The Board considered presenting checks to local artists and nonprofit organizations receiving Orange County Arts Grants. Martha Shannon, staff support for the Arts Commission, presented this item. Sprinq 2011 Grant Recipients: Attendees: ArtsCenter Julie Tomkovick Cameron Park Elementary School Laura Casey Chapel Hill-Carrboro Children's Museum (dba Kidzu Children's Museum) Lisa Van Deman Deep Dish Theater Company NOT AVAILABLE TONIGHT Door to Door of UNC Health Care Peter Kramer EI Centro Hispano NOT AVAILABLE TONIGHT Ephesus Road Elementary School PTA Nicole Kushner Estes Hills Elementary School NOT AVAILABLE TONIGHT Franklin Street Arts Collective (dba FRANK Gallery) Gordon Jameson Grady A. Brown Elementary School PTA Rachel Monschein Kathleen Hannan NOT AVAILABLE TONIGHT Hillsborough Arts Council John Delconte McDougle Elementary School PTA NOT AVAILABLE TONIGHT Music Maker Relief Foundation Corinne Everett Belch North Carolina Arts in Action Lisa Van Deman Preservation Society of Chapel Hill Tama Hochbaum Town of Carrboro Recreation & Parks NOT AVAILABLE TONIGHT Barbara Tyroler Barbara Tyroler Jan-Ru Wan NOT AVAILABLE TONIGHT b. Oranqe County Preparedness Month Proclamation The Board considered proclaiming September 2011 as Orange County Preparedness Month and authorizing the Chair to sign the proclamation. Dorothy Cilenti, Interim Health Director, presented this item. Emergency Services Preparedness Director Darshan Patel read the proclamation. PROCLAMATION TO RECOGNIZE SEPTEMBER 2011 AS ORANGE COUNTY PREPAREDNESS MONTH WHEREAS, the month of September is recognized nationally as Preparedness Month by the President of the United States and the Federal Emergency Management Agency to raise awareness of the importance of emergency preparedness; and WHEREAS, Healthy Carolinians of Orange County's 2011 Community Health Assessment revealed that only 49% of residents surveyed had a basic emergency supply kit and only 31% of those with a kit had supplies for one to three days; and WHEREAS, most Community Health Assessment survey respondents either felt that there was little need for an emergency supply kit or that they could grab essential items from around the house when needed; and WHEREAS, the State of North Carolina experienced the largest tornado outbreak in state history in April 2011, which resulted in multiple deaths (24 total) and reportable injuries (133 total); structure damage; power outages; and approval of over$20 million in federal disaster assistance for homeowners and renters; and WHEREAS, the month of September has traditionally been a period of high hurricane and tropical storm activity for the State of North Carolina; and WHEREAS, Orange County has a strong emergency response system that includes emergency services, public health, social services, fire, technical rescue, law enforcement, UNC Health Care, The American Red Cross, animal protection, and resident volunteer groups; and WHEREAS, multiple agencies within Orange County partner to educate the general public, businesses, faith-based communities, and community-based organizations about the importance of emergency preparedness; and WHEREAS, multiple agencies within Orange County work in partnership and individually to respond to and recover from local emergencies; and WHEREAS, proclaiming September as Orange County Preparedness Month will bring more attention to the need for individual and family preparedness among Orange County residents, and information provided during the month of September about emergency preparedness will be beneficial throughout the year; NOW, THEREFORE, be it recognized that the Orange County Board of Commissioners do hereby proclaim September 2011 as Orange County Preparedness Month. This the 8th day of September 2011. A motion was made by Commissioner Jacobs, seconded by Commissioner Hemminger to approve proclaiming September 2011 as Orange County Preparedness Month and authorize the Chair to sign the proclamation. VOTE: UNANIMOUS Commissioner Jacobs said that Orange County was concerned when there was a proposal to add a second nuclear reactor at Shearon Harris, and the Board went all the way to the Atomic Energy Licensing Commission to conversations at the U. S. Court of Appeals in Washington, D. C. In 2006, at Triangle J Council of Governments, after a '/4 inch of snow or ice paralyzed Raleigh, the County Commissioners asked representatives at Progress Energy to come and talk about emergency preparedness and evacuation plans and to consider expanding the ten-mile radius that they had planned for. The Emergency Services Directors have been working on a more robust plan for where people could go and how Orange County can be included. He said that, after waiting for six and a half years for a response from Progress Energy, Triangle J Council of Governments is going to invite them back since the U. S. Government is now recommending in Japan that they use a 50-mile evacuation radius. Triangle J wants to reengage the discussion. 5. Consent Aqenda A motion was made by Commissioner Foushee, seconded by Commissioner Hemminger to approve those items on the consent agenda as stated below: a. Minutes The Board approved the minutes from May 10 and June 9 and 14, 2011 as submitted by the Clerk to the Board. b. Appointments — None c. Jail Inspection Report The Board received the jail inspection report for July 14, 2011 from the North Carolina Department of Health and Human Services. d. Impact Fee Reimbursement Request— Habitat for Humanity This item was removed and placed at the end of the consent agenda for separate consideration. e. Authorization to Provide Employee Paycards The Board approved the County participating in the Skylight Paycard Program and authorized the Manager to sign the contract on behalf of the Board. f. Interqovernmental Aqreements The Board approved various intergovernmental agreements and authorized the Manager to sign. g_ Easements Pertaininq to County Owned Real Property at 112 and 118 North Churton Street The Board approved granting the easements in principal; directed staff to work with SunTrust Bank to develop easement agreement language that protects the County's interests; and authorized the Chair to execute the easement documents addressing the County's interests. VOTE ON CONSENT AGENDA: UNANIMOUS 6. ITEMS REMOVED FROM THE CONSENT AGENDA: d. Impact Fee Reimbursement Request— Habitat for Humanity The Board considered an impact fee reimbursement request from Habitat for Humanity of Orange County, NC, Inc. for$53,312 for seven (7) homes recently constructed in the County. Commissioner Jacobs said that the Board had a conversation about developing a policy regarding reimbursements to non-profits of impact fees and it was supposed to go to the Affordable Housing Advisory Board and then back to the Board. He asked for an update on this. Frank Clifton said that the allocation for this item is within the budgets for this fiscal year. The efforts on the impact fees are continuing, but there has not been a formalized discussion yet. A motion was made by Commissioner Jacobs, seconded by Commissioner Hemminger to approve $53,312 for impact fee reimbursement to Habitat for Humanity of Orange County, NC, Inc. 7. Public Hearinqs-NONE 8. Reqular Aqenda a. Resolution Authorizinq Application to the Local Government Commission to Issue Up to $42.5 Million in Limited Obliqation Refundinq Bonds The Board considered approving a resolution authorizing application to the Local Government Commission (LGC) to issue up to $42.5 million in Limited Obligation Refunding bonds to refund the 2007 Certificates of Participation. Financial Services Director Clarence Grier said that last fall there was an opportunity to refund some debt to the County but the interest rates were not good, so they did not go through with it. The rates have improved and this item is to continue with this process. He said that they had been working with different companies on this debt refunding. It will save about $1.7 million in total debt service, with an average savings in debt service of slightly over $107,000 a year. He said that he recently received the County's bond ratings, and all of them were reaffirmed. All of the ratings are positive (AAA and AA+). He said that there is some additional debt that would provide some flexibility and he would like to amend the resolution to add $2.5 million more debt to retire, making a total of $45 million. He asked the Board to approve the resolution authorizing staff to proceed with the application. Commissioner Hemminger thanked Clarence Grier for finding better interest rates for the county. Resolution Providing Final Approval of Terms and Documents For County's 2011 Installment Refinancing Transaction WHEREAS -- The Board of Commissioners of Orange County, North Carolina, has previously determined to refinance certain existing County installment financings, most particularly a 2007 installment financing with SunTrust Leasing Corporation. This refinancing will take the form of a new installment financing pursuant to the authority of Section 160A-20 of the General Statutes and will include the use of limited obligation bonds, which represent interests in the installment payments to be made by the County. The County's Finance Officer has made available to this Board the draft documents listed on Exhibit A (the "Documents"), and a draft of an official statement providing for the disclosure of information to prospective investors in the County's financing obligations. All of these items relate to the County's carrying out the financing plan. BE IT THEREFORE RESOLVED by the Board of Commissioners of Orange County, North Carolina, as follows: 1. Determination To Proceed with Project-- The Board confirms its decision to carry out the proposed refinancing. The County will refinance the 2007 SunTrust financing, along with any other financings the Finance Officer may designate. 2. Approval of Documents; Direction To Execute Documents -- The Board approves the forms of the Documents submitted to this meeting. The Board authorizes and directs the Board's Chair and the County Manager, or either of them, to execute and deliver those Documents to which the County is a party. The Documents in their respective final forms must be in substantially the forms presented, with such changes as the Chair or the County Manager may approve. The execution and delivery of any Document by an authorized County officer will be conclusive evidence of such officer's approval of any such changes. The Documents in final form, however, must provide for the principal amount of limited obligation bonds to not exceed $45,000,000 and a financing term not to extend beyond December 31, 2027. The collateral pledged to the repayment of the County's obligations under the Documents may include any portion, or all, of the collateral pledged to the repayment of obligations that are refinanced. The amount financed under the Documents may include amounts to pay financing expenses and other necessary and incidental costs. 3. Approval of Official Statement—The Board approves the draft official statement submitted to this meeting as the form of the preliminary official statement pursuant to which the contemplated limited obligation bonds will be offered for sale. The preliminary official statement as distributed to prospective investors must be in substantially the form presented, with such changes as the Finance Officer may approve. The Board directs the Finance Officer, after the sale of the bonds, to complete and otherwise prepare the preliminary official statement as an official statement in final form. The Board approves and appoints BB&T Capital Markets (a division of Scott & Stringfellow, LLC) and Wells Fargo Securities as the underwriters of the bonds. The Board authorizes and approves the use of the preliminary official statement and final official statement by the underwriters in connection with the sale of the bonds. The Board acknowledges that it is the County's responsibility, and ultimately the Board's responsibility, to ensure that the Official Statement in its final form neither contains an untrue statement of a material fact nor omits to state a material fact required to be included therein for the purpose for which such Official Statement is to be used or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading. By the adoption of this resolution, the Board members approve the Official Statement as materially correct and complete, and further acknowledge and accept their own responsibility for causing the County to fulfill these responsibilities for the Official Statement. 4. Authorization To Refinance Obligations with Existing Lenders —The Board understands that for certain of the County's outstanding installment financing obligations, it may be in the County's best interest to modify the existing agreements with the current lenders, instead of refinancing those obligations through the issuance of the limited obligation bonds. The Finance Officer, and all other County officers and representatives, are authorized and directed to take all appropriate action to carry out such modifications and refinancing with the existing lenders. 5. Authorization to County Manager and Finance Officer To Complete Closing —The County Manager, the Finance Officer and all other County officers and employees are authorized and directed to take all proper steps to complete the financing in accordance with the terms of this resolution. The Board authorizes and directs the Finance Officer to hold executed copies of all financing documents authorized or permitted by this resolution in escrow on the County's behalf until the conditions for their delivery have been completed to such officer's satisfaction, and thereupon to release the executed copies of such documents for delivery to the appropriate persons or organizations. Without limiting the generality of the foregoing, the Board specifically authorizes the Finance Officer (a) to approve any additional agreements appropriate to carry out the plan of financing contemplated by this resolution, including agreements for the custody or investment of bond proceeds and agreements for appropriate professional services, and (b) to approve changes to any documents or closing certifications previously signed by County officers or employees, provided that such changes do not conflict with this resolution or substantially alter the intent from that expressed in the form originally signed. The Finance Officer's authorization of the release of any such document for delivery will constitute conclusive evidence of such officer's approval of any such changes. In addition, the Finance Officer is authorized and directed to take all appropriate steps for the efficient and convenient carrying out of the County's on-going responsibilities with respect to the bonds. This authorization includes, without limitation, contracting with third parties for reports and calculations that may be required under the bonds, this resolution or otherwise with respect to the bonds. 6. Miscellaneous Provisions -- All County officers and employees are authorized and directed to take all such further action as they may consider necessary or desirable in furtherance of the purposes of this resolution. All such prior actions of County officers and employees are ratified, approved and confirmed. Upon the absence, unavailability or refusal to act of the County Manager, the Board's Chair or the Finance Officer, any other of such officers may assume any responsibility or carry out any function assigned in this resolution. In addition, upon the unavailability of the Chair or the Clerk, respectively, any of the rights or responsibilities directed to such officers may be carried out or exercised by the Vice Chair or any Deputy or Assistant Clerk. All other Board proceedings, or parts thereof, in conflict with this resolution are repealed, to the extent of the conflict. This resolution takes effect immediately. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Exhibit A -- Draft Documents (a) A draft dated August 22, 2011, of an Installment Financing Contract to be dated on or about September 1, 2011 (the "Financing Contract"), between the County and Orange County Public Facilities Company (the "Company), providing for the advance of funds to the County for the County to refinance other financing obligations, and further providing for the County's obligation to repay the amounts advanced. (b) A draft dated August 22, 2011, of a Deed of Trust and Security Agreement to be dated on or about September 1, 2011, from the County to a deed of trust trustee for the Company's benefit, providing for a security interest in certain County property (including Morris Grove Elementary School and the 2007 County Justice Facility improvements) to secure the County's obligations under the Financing Contract. (c) A draft dated August 22, 2011, of a Trust Agreement to be dated on or about September 1, 2011, between the Company and a Trustee, providing for the issuance of limited obligation bonds to generate funds for the advance to the County under the Financing Contract. The bonds are payable from amounts paid by the County under the Financing Contract. (d) A draft of a Bond Purchase Agreement to be dated on or about September 1, 2011, providing for the underwriters' obligations to purchase the bonds. The Bond Purchase Agreement includes a Letter of Representation to be delivered by the County. The final form of this Agreement will set out the final principal amount, principal payment schedule and interest rates for the bonds. * * * * * * * * * * * * * * * * * I certify as follows: that the foregoing resolution was properly adopted at a meeting of the Board of Commissioners of Orange County, North Carolina; that such meeting was properly called and held on September 8, 2011; that a quorum was present and acting throughout such meeting; and that such resolution has not been modified or amended, and remains in full effect as of today. A motion was made by Commissioner Hemminger, seconded by Commissioner Foushee to approve the amended resolution authorizing application to the Local Government Commission (LGC) to issue up to $45 million in Limited Obligation Refunding bonds to refund the 2007 Certificates of Participation. VOTE: UNANIMOUS b. Employee Health Insurance and Other Benefits for 2012 The Board considered the County Manager's recommendations for employee health insurance and other benefits for the 2012 calendar year. Interim Human Resources Director Katherine Cathey made a PowerPoint presentation. Employee Health Insurance and Other Benefits for 2012 September 8, 2011 Background - Staff provided information relating to employee benefits in the Manager's recommended budget for FY 2011-12 and at May, June and August work sessions. - Health Insurance ■ Funding for up to a 15% (approximately $550,000) health insurance premium increase. ■ Initial proposals from 3 major insurance carriers and several firm renewal options developed by Mark III, HR staff and UnitedHealthcare have been considered - Other Employee Benefits ■ Flexible Compensation Plan ■ Dentallnsurance ■ Vision Coverage Other Benefits - Dentallnsurance o Replace the Orange County Table of Allowances with the maximum payable amounts reimbursed by Delta Dental. - Flexible Compensation Plan (FSA) o Align the FSA Plan Year with the calendar year, and o Reduce the grace period in the current plan year to one month, for employees electing a Health Savings Account. - Vision Benefits o Authorize employee payroll deductions for the Community Eye Care vision plan. - Community Home Trust (CHT) Participation o Authorize the County Attorney to develop a two-year Memorandum of Understanding between the County and CHT and authorize the County Manager to sign the agreement. Health Insurance Renewal Goals - Meet the FY 2011-12 budget - Minimize impact on employees with and without dependents - Offer employees a choice of two plans - Enable the County to pay the same individual and dependent share regardless of plans, and - Minimize future increases so health insurance can remain sustainable and provide continuity of coverage. Next Steps th - September 8 — BOCC considers and approves the 2012 Employee Benefits Package th - September 9 — HR Staff begins education process for employees and retirees th - October 10 — Open enrollment begins th th - October 10 — 14 — Mark III and HR Staff holds numerous open enrollment meetings St - October 21 — Internet enrollment closes MARK III Presentation: Mark Browder from Mark III made a PowerPoint presentation. 2012 Renewal Options After going through an extensive bid process, United Healthcare provided the most competitive responses for Orange County. O The renewal options include: O Option 1 — HMO and POS plans that closely reflects the current benefits with an 18% increase. O Option 2 — HMO plan that closely reflects the current benefits and an HSA plan that is a 16% increase. O Option 3 — POS and HSA dual option for a 5% increase. O Option 4 — POS and HSA dual option for a 8.6% increase. Tables with detailed amounts for various amounts of coverage are incorporated by reference and are located in the Clerk to the Board's permanent agenda files. Recommendations: • Approve the renewal of the fully-insured health insurance plans with UnitedHealthcare, choosing Option 3 or Option 4; • Authorize the County Manager to sign a contract with UnitedHealthcare, following review by the County Attorney and Human Resources staff; • Replace the entire Orange County Table of Allowances with the maximum payable amounts reimbursed by Delta Dental; • Align the Flexible Compensation Plan Year with the calendar year; • Reduce the grace period allowed to incur medical expenses in the current plan year to one month, ending December 31, 2011, for employees electing a Health Savings Account, effective January 1, 2012; • Authorize employee payroll deductions for the Community Eye Care vision plan; and • Authorize the County Attorney to develop a two year Memorandum of Understanding between the County and Community Home Trust and authorize the County Manager to sign the agreement. Commissioner Gordon made reference to the Points of Service Plan, for out-of-network claims. She asked about the coinsurance limits for all Point of Service Plans and if United Healthcare would pay 60% and the insured would pay 40%. Mark Browder said yes. The only thing that would be the same would be the ER co-pay. It is 60% for out-of-network services. He reminded everyone that 99.9% of all claims go in as in-network claims. Commissioner Gordon said that the County has set aside $550,000 for a 15% increase in health insurance. She asked about the base for the numbers of each option. Frank Clifton said that they budgeted for about a 15% increase in costs before they even received any quotes from the vendors. The reality is that this will be a substantial portion of the County's budget and this will have to be monitored continuously. Commissioner Hemminger said that, in looking at what the County currently has, most employees have picked the HMO, and out of the 800+ employees, 350 use the spouse, child or children. Her first concern is trying to balance out what works best for the County budget. Her second biggest concern is adequate coverage and benefits for all employees. Her third concern is that the employees are getting hit again in the pocket on their paycheck due to increased insurance rates. She asked which plan would work best for an employee that has a catastrophic illness. Mark Browder said that, in looking at Option 4, the Point of Service plan would be better financially than the HSA for an individual. If a family is involved and more than one member has a significant event, the HSA would be better because the deductible is not multiplied by each family member. Commissioner Hemminger asked if the calculations were based on how much it would cost the County by guesstimating the numbers of people that would pick the POS versus the HSA and Mark Browder said no, that the participation was left exactly as it is today. The assumption is that there would be similar distribution. Commissioner Gordon said that she found the most helpful table to be on page 9 of the blue abstract ("Employee Health Insurance and Other Benefits for 2012") Commissioner Jacobs said that his preference would be that the County would make an affirmative statement that it would actively investigate self insurance over the next year. He asked the staff to come and talk to the Board in the spring on the pros and cons of self insurance. Frank Clifton said that this could be part of the motion made. Mark Browder said that self insurance is best when it is economically a better deal for the County. The County is better off right now in being fully insured because of the aggressive rating models with the NCACC. Commissioner Gordon said that her thought is that she wanted to do what is best for the employees, and if the County is moving toward sustainability, Option 4 is overall better for the employees. The County has not given any pay raises and this concerns her. Chair Pelissier said that she hoped there are the resources for Human Resources to sit down with individual employees and discuss and explain the options proposed. Katherine Cathey said that this would be available to employees. A motion was made by Commissioner Hemminger, seconded by Commissioner Yuhasz to recommend Option 3 (because of the out-of-pocket expenses on a monthly basis to the employees, and because there is almost a safety net with the HSA), and look at it again after the six-month period and compare it to being self-insured. VOTE: Ayes, 3; Nays, 3 (Commissioner Foushee , Commissioner Gordon, Commissioner Jacobs) The motion failed. A motion was made by Commissioner Gordon, seconded by Commissioner Foushee to approve Option 4. VOTE: Ayes, 4; Nays, 2 (Commissioner Hemminger and Commissioner Jacobs) Commissioner Jacobs asked if this included the investigation of self insurance and Commissioner Gordon said that she just moved Option 4. A motion was made by Commissioner Jacobs, seconded by Commissioner Hemminger to actively investigate self insurance and that staff come back to the Board with an educational analysis of what would be involved and how to move in that direction. VOTE: UNANIMOUS A motion was made by Commissioner Foushee, seconded by Commissioner Hemminger approve the remaining recommendations: - Replace the entire Orange County Table of Allowances with the maximum payable amounts reimbursed by Delta Dental; - Align the Flexible Compensation Plan Year with the calendar year; - Reduce the grace period allowed to incur medical expenses in the current plan year to one month, ending December 31, 2011, for employees electing a Health Savings Account, effective January 1, 2012; and - Authorize employee payroll deductions for the Community Eye Care vision plan. VOTE: UNANIMOUS c. Bid Award: Link Center Geothermal HVAC and Approval of Budqet Amendment # 1-B The Board considered awarding the bid and approving a construction contract to Warren Hay Mechanical, Hillsborough, NC, in the amount of $679,326 for the installation of geothermal HVAC system a John M. Link, Jr. Government Services Center to replace the existing system and authorize the Chair to sign subject to final review by the County Attorney. Asset Management Services Director Pam Jones said that the Board authorized the staff on May 17th to move forward with this project and to receive bids. The County received five bids and the abstract includes the bid tabulation. The bids ranged from $1,073,700 to $773,626. Of those bids, the lowest responsible bidder was Warren Hay Mechanical. Staff looked at a value engineering package, which further reduced the bid amount without changing anything substantial. This is above the cost estimates and staff is recommending moving forward with a budget amendment in the amount of $192,243. The project is expected to begin October 1St and should be finished by the end of March. The staff update is shown below: Proposed Geothermal Wells at Link Government Services Center- Update DEAPR staff examined the plans for the proposed geothermal wells at the Link Government Services Center as part of Asset Management Services' capital building project pre- development design and regulatory review process. After conducting the appropriate due diligence it is staff's opinion that a cultural and archaeological survey of the property is not warranted at this time. A detailed cultural and archaeological survey of the surrounding property will be needed, however, when the geothermal well system is linked to other government buildings in the area, as contemplated in the larger community geothermal system that may involve the Jail, the Old Courthouse, Government Services Annex, and Court Street Annex. It is staff's understanding that the total area that will be disturbed by this initial phase of the project is approximately 16,000 square feet, and virtually all of that area is now paved. Early maps of the area show no structures in the area of disturbance. Moreover, the Link Center property received considerable grading during its construction in 1992 and is not likely to contain significant archaeological resources. DEAPR conferred with the Office of State Archaeology (OSA) for review and guidance on this project. The OSA staff recommended examining topographic maps, historic Hillsborough maps, and the findings from a previous archaeological investigation prior to an expansion of the nearby Justice Facility. After reviewing the findings the Deputy State Archaeologist determined that the location for the proposed geothermal wells appears to have been too disturbed during previous construction to have the potential to contain significant archaeological resources. She advised that further archaeological investigations are not recommended for this project, but agreed that a survey of the surrounding properties should be conducted prior to linking the geothermal well system to other buildings in the area. DEAPR shared its findings and the recommendations of the Office of State Archaeology with the Orange County Historic Preservation Commission. The consensus of that group was that no survey of the property would be warranted until further ground-disturbing activities are needed to connect the geothermal wells to other government buildings. DEAPR shared its findings and the recommendations of the Office of State Archaeology with the Town of Hillsborough's Historic District Commission (HDC). The HDC reviewed the project plans and asked questions following a presentation by the project contractor. The HDC was satisfied that no archaeological survey was necessary and issued the County a Certificate of Appropriateness for the project. Had early maps revealed the presence of structures in the area of disturbance, staff would have recommended conducting a Phase I cultural resources survey and/or having a qualified archaeologist' on site to monitor the drilling process. DEAPR received a precursory estimate of $6,000 - $11,000 to monitor the drilling process from Legacy Research Associates—the archaeological firm that surveyed the Justice Facility expansion project. DEAPR does not, however, feel that expenditure of funds is justified given what we know about this project. DEAPR would rather spend funds on a survey of the surrounding properties should the project result in the need for ground disturbance for tying in other buildings to this geothermal well project. Commissioner Jacobs asked when the County Commissioners would get to tour the new justice facility. Pam Jones said that she would speak to the judge again. There was something set up and then it got cancelled. Commissioner Jacobs said that he thought that during the CIP discussions, the County Commissioners talked about investing in the Link Center and whether there could be a phased approach to using a meeting room where it was planned before. He asked what happened to this. Pam Jones said that the Board asked them to put the meeting room on hold and it is on hold for the time being. There was not consensus to move forward with phasing in this room. Commissioner Yuhasz said that he also recollected the same as Commissioner Jacobs about the phased in plan, but it was not possible. He reiterated that this project does not need to fall too far down the CIP. Commissioner Hemminger asked about the system and why it is so expensive. Pam Jones explained that this is a large and old building and they have run out of band-aids to hold the existing system together. It is a 1992 system and has aged out. The direction from the Board is to look at sustainability first. There is an eight-year payback for the 10% up front. She said that a geothermal system should be the standard because there it is a 50-year system. She commended the County Commissioners for taking the long-view. Commissioner Hemminger said that she wanted to get this explanation on record for the citizens to hear so that they understand. Frank Clifton said that about $180,000 of this project is being paid for with a federal energy grant. A motion was made by Commissioner Hemminger, seconded by Commissioner Jacobs to approve awarding the bid and approving a construction contract to Warren Hay Mechanical, Hillsborough, NC, in the amount of $679,326 for the installation of geothermal HVAC system at John M. Link, Jr. Government Services Center to replace the existing system and authorize the Chair to sign subject to final review by the County Attorney. John Roberts said that this agenda item has a sample contract, but he has some concerns about this particular contract. He said that the motion needs to authorize the Chair to sign the contract contingent upon successful negotiation of the contract with the contractor, rather than subject to Attorney review, contingent upon successful negotiation of the contract with the contractor. This is bullet#3. Frank Clifton said that there are some related issues with the contractor that need to be addressed, so he concurred with the Attorney. Commissioner Hemminger and Commissioner Jacobs accepted the amended motion. VOTE: UNANIMOUS 9. Reports a. Economic Development Potential and One-Quarter ('/4) Cent Sales Tax Educational Material Report The Board received a report from Planning and Economic Development staff and consultant Obrien/Atkins Associates on economic development potential and One-Quarter (1/4) Cent Sales Tax educational material. Frank Clifton said that this project was initiated by Gary Shope before he left. Dottie Schmitt has picked this up. Planning and Inspections Director Craig Benedict presented this item. He introduced Jay Smith with Obrien/Atkins and Dottie Schmitt with Economic Development. He said that he and Gary Shope put together some ideas about how to talk about development and bring a visual to the plan. The thought was that a consultant (Obrien/Atkins) could help in this process. Jay Smith from Obrian/Atkins said that they did a site analysis so that they understand where they can plan. Economic Development Potential And One Quarter Cent Sales Tax Educational Material Report Planning and Economic Development Departments And Obrien/Atkins Associates, PA Outline of Presentation Draft for Input 1. Introduction (Planning) 2. Planning Study (O'Brien/Atkins) 3. Economic Development Tools (Economic Development) 4. Wrap Up Discussion (Manager) Introduction - Comprehensive Plan - Land Use Location - Zoning Application - Master Concept Planning (Hypothetical) - Development Potential Planning Process - Site analysis - Regulatory review - Concept diagrams - Develop Alternatives - Final Concept Plan Pictorial slides— focus areas A, B, and C. (These include I-85/I-40 Buckhorn Area, Ben Wilson Road, Bowman Road, and West Ten Road) Economic Development Tools - Inventory of `Shovel Ready' Sites o Location on Transportation Corridor o Backbone Infrastructure (Water and Sewer, Roads, Broadband) o Focus on EDDs o Move Beyond `Elimination Round' - Market Inventory to Targeted Businesses - Options for Expansions - Loans and Assistance for Business Desired Outcome - Quality development - Retail options - Entrepreneurship growth - Economic diversity - Job creation/talent recruitment - `Ripple Effect' - Increase opportunities for our community Craig Benedict then went through some story boards for public information. Frank Clifton said that this is all a culmination of the efforts of this Board and Boards past, with the establishment of economic development districts, etc. There are many more steps to be taken. This process will also be presented to the City of Mebane because it will be providing the utility infrastructure. Commissioner Jacobs made reference to the transition residential in this area and said that where there is going to be water and sewer would be a good place to have affordable housing units that is cost effective to provide. Assistant County Manager Gwen Harvey gave a brief overview of the public campaign for the '/4-cent sales tax referendum. She presented the print ad that is at their places. She provided information about the overall education campaign. The staff has been working with Sheer Associates in Chapel Hill as the consulting agent and marketing partner in being able to create elements of the entire campaign. There will be posters, fliers, talking points, letters to the editor, updated website, etc. and these are ready to be put into motion. There will also be information available at every back to school event. There will also be backpack stuffers for K- middle school at least in the CHCCS. This has not been verified in the OCS. There is also a PSA video. The County listservs will also be used to give information related to this. Many staff and Board members are already meeting with community groups to educate the public on this proposed tax. The employees are also encouraged to become engaged in this effort. She showed a YouTube clip on the '/4 cents sales tax campaign to the Board of County Commissioners. Since this video debuted a week ago, there have been close to 200 hits on YouTube. Commissioner Gordon said that this is a very effective video, but the flyer does not mention that the tax will generate about $2.5million. Commissioner Hemminger said that she liked this very much. She said that citizens are asking a lot of questions but there is still some confusion about the economic development part. The perception is that it is only for the County's three economic development districts. She wants it to be made clear that it will be used for economic development all through the County. Gwen Harvey said that they are aware of this concern and are trying to work with the municipalities on this assumption. Commissioner Jacobs said that someone sent him an article from the Chapelboro website previewing that the County Commissioners were going to talk about this, and the story had two factual mistakes in it, including that it was only $2.3 million. He suggested that the County correct these kinds of mistakes quickly. Commissioner Jacobs said that some statistics that would be useful on the education would be the percentage of sales revenue from Orange County residents is spent outside of Orange County and what percentage of Orange County residents work outside of Orange County. Commissioner Jacobs said that he still does not think they have explained well enough how much has been cut within Orange County government and the school systems. It is important to help people realize that the County has not been raising taxes and has been cutting expenses. 10. County Manaqer's Report NONE 11. County Attorney's Report Commissioner Gordon said that at the County Commissioners' places was information about 112 and 118 N. Churton Street and some easements on these properties. She said that it should be highlighted that both of these buildings, if this all goes through as planned, will have parking spaces. John Roberts said that these buildings are back up for sale and they will have parking spaces. John Roberts made reference to the go-live date for the republication of their ordinances of September 8th. This was supposed to be ready today and it is not ready due to the personnel ordinances. The hope is that it will be ready the first of October. 12. Appointments -NONE 13. Board Comments (Three Minute Time Limit Per Commissioner) Commissioner Hemminger said that the Community Home Trust is having a fundraiser on September 9th at the Greenbridge from 7pm-10pm. Commissioner Hemminger asked all of her colleagues to be involved in speaking on behalf of the sales tax educational campaign. Commissioner Hemminger said that the UNRBA has been busy and she will bring back reports to the County Commissioners. Commissioner Jacobs said that on September 11th at 10:00 a.m. there will be a memorial ceremony outside the Sheriff's Department. There will also be an event at 9:45 a.m. in Chapel Hill. There were some memorial trees planted in remembrance of 9/11 outside of the Whitted Building. There is some discussion about cutting them down for parking purposes. He wants to hear back about this. Commissioner Gordon said that at the last Transportation Advisory Committee meeting of the Durham-Chapel Hill-Carrboro MPO, there were a couple of items she wanted to highlight. One had to do with the locally preferred alternative and when it would be chosen. The group decided that this would not be done until November, so it will not happen before the election. The other issue is the closure of Pickett Road in Orange County. After discussion, the TAC decided that the MPO needed more information. She said that the big news on the transportation front is the alternatives analysis which both Triangle Transit and the TAC have been discussing. This analysis includes which mode of transportation will be used in the three counties — Orange, Durham, and Wake. It also includes which alignment will be utilized, and where the stations will be located. Information on the alternative analysis can be found at www.ourtransitfuture.com. She said that she sent an email with links to this information. Commissioner Yuhasz said that the Board of Health had second interviews with two finalists for Director candidates last week and he believes that a decision is imminent. Commissioner Foushee said that she attended a meeting of the Wildlife Resources Commission in Graham last night to support citizens who wanted to share their concerns with the Commission regarding dog deer hunting in Orange County and the efforts to ban that activity. The authority to redraw those lines lies with the General Assembly, but it was helpful for the new Commission members to hear the process that the County has gone through and to understand that those citizens still have great concerns about their safety. One of the things that was brought forward was an emphasis on new legislation that requires permission from property owners for hunters to do this on their land. This item will be heard next month at a BOCC meeting. Chair Pelissier encouraged her peers to consider volunteering for Project Connect, which is an event sponsored by the Partnership to End Homelessness. It is a one day event where individuals who are homeless or near homeless can come and receive health services, job location services, etc. This is a very educational experience. It will be October 13tn between 9:00 a.m. and 3:30 p.m. at the Hargraves Community Center. Chair Pelissier said that there was an email from the Master Aging Plan Steering Committee asking for a volunteer from the Board of County Commissioners to participate and give some feedback as they develop their master aging plan. There are four meetings between September and April. She said that she would be glad to volunteer if no one else is interested. The Board agreed to allow Chair Pelissier to volunteer for this. 14. Information Items • August 23, 2011 BOCC Meeting Follow-up Actions List 15. Closed Session-NONE 16. Adjournment A motion was made by Commissioner Hemminger, seconded by Commissioner Jacobs to adjourn the meeting at 9:35 p.m. VOTE: UNANIMOUS Bernadette Pelissier, Chair Donna S. Baker, CMC Clerk to the Board