HomeMy WebLinkAboutMinutes - 20030513:~PPRO~%ED 08/19/2003
MINUTES
ORANGE COUNTY BOARD OF COMMISSIONERS
BUDGET WORK SESSION
May 13, 2443
7:34 p.m.
The Orange County Board of Commissioners met for a Budget Work Session on
Tuesday, May 13, 2003 at 7:30 p.m. in the Southern Human Services Center in Chapel
Hill, North Carolina.
COUNTY COMMISSIONERS PRESENT: Chair Margaret W. Brown, Moses Carey,
Jr., Alice M. Gordon, Stephen Halkiotis and Barry Jacobs
COUNTY ATTORNEYS PRESENT: Geoffrey Gledhill and S. Sean Borhanian
COUNTY STAFF PRESENT: County Manager John M. Link, Jr., Assistant County
Managers Rod Visser and Gwen Harvey, and Clerk to the Baard Donna S. Baker (All
other staff members will be identified appropriately below}
NOTE: ALL DOCUMENTS REFERRED TO IN THESE MINUTES ARE IN THE
PERMANENT AGENDA FILE IN THE CLERK'S OFFICE.
1. Letter of Support for Orange Enterprises Grant Application
John Link referred to Orange Enterprises submitting an application for a grant to
address youth with developmental disabilities. He wauld like Orange County to send a
letter of support by May 16t" because the grant application is due May 19t". The staff is
recommending that the County Commissioners support this letter.
A motion was made by Commissioner Jacobs, seconded by Commissioner
Gardon to endorse writing a letter of suppart far the Orange Enterprises grant application
and to direct staff to work with the Chair to provide a letter of support to Orange
Enterprises by May 16, 2403.
VOTE: UNANIMOUS
Cammissianer Carey asked if this was a new praject or an existing praject for the
grant and John Link said that he thought it may allow them to provide an enhancement
but he is not sure. Commissioner Carey would like to know mare.
Commissioner Jacobs asked for a copy of the grant application.
John Link said that each Commissioner received a draft of the proposed budget
work session schedule in order to address all budget decisions and resolve these by
June 23~d
Chair Brown made reference to June 16t" and a possible decision on the third
high school by this date. She said that she and Commissioner Gordon did not agree on
that date. Commissioner Gordon wanted it moved up to June 10t" but Chair Brown
wants to keep on the 16t" so she can hear all of the budget issues first.
Commissioner Halkiotis said that he would support Commissioner Jacobs'
request and look at taking the money for the meritorious service awards and use it
towards moving the employees up to a housing wage. He said that he has never been
an advocate of the meritorious service awards. He said that the Sheriff expects his
employees to live in Orange County and even $800 a month is difficult for some
employees.
Commissioner Carey said that the County should set an example and pay a
living wage that allows the staff to live in Orange County.
Elaine Holmes said that there are 200 employees below the two-bedroom rate
and 66 below the one bedroom rate.
Commissioner Jacobs would like to look at alternatives to catch everybody up to
the housing wage within two years.
Chair Brown asked about the compression of the pay plan and Elaine Holmes
said that if the minimum wage was increased to a certain level then there are issues in
terms of employee and supervisory relationships.
Steve Condrey said that you could do this in increments and you would not have
to compress all salaries.
Commissioner Carey said that we should move in this direction in principle and
keep an eye on the compression issue.
Chair Brown said that she would like to understand the $27,000 living wage for a
one-bedroom apartment. This is assuming that the person is not married and they are
paying the absolute maximum rent that the County has. She said that this does not
necessarily show what is going on in the community. She asked if the 66 employees
would mainly be in the Sheriff's Department. Elaine Holmes said that the 66 employees
involve those throughout the County -convenience center operators, office assistants,
custodians, nursing assistants, etc.
Elaine Holmes will bring back some options about the housing wage.
Commissioner Gordon asked about a revenue neutral way of doing this pay plan.
For example, instead of giving an increase of 2.5% at four and seven years of service,
give 2% at five and ten years of service. There might be some money left over to bring
the 66 employees up to a housing wage.
Commissioner Gordon made reference to the stepless schedule and said that we
should do it for a while and not change it in two years.
Commissioner Gordon made reference to the analyses on the gender and race
equity and there is a significant difference in the sense that females get paid less than
males and whites get paid less than non-whites. She would like to keep tabs on this.
Steve Condrey said that we could look at this internally but overall there are no
systematic biases to the pay plan. Also, he said that he agrees about the stepless
salary schedule. Secondly, he would keep the 2.5°~ increase because it would help the
compression.
Chair Brown asked if adoption would be far two years far the pay plan. Elaine
Holmes said that the proposal is for the Board to adopt the classifications, the salary
grades, the stepless salary schedule, and the salary administration to move people up to
the new minimum, and grant the first 2.5°l0. On the other service-based increases, they
are proposing that the Board express its intent to came back and do it at the
recommended dates.
Chair Brown asked if the COLA would ever be a part of this. Steve Condrey said
that each year the scales should rise and the employees' salaries should also rise by the
same amount. The performance increases should be on top of this.
what he can see because there is so much uncertainty. He does not want to raise any
expectations by promising something that he cannot deliver.
Commissioner Carey said that he agrees with the uncertainty and he is
committed to implementing Phase I.
John Link said that on June 16t", the staff would project for the Board how to
accomplish the housing issue effective July 1St if the Board wishes.
A motion was made by Commissioner Halkiatis, seconded by Commissioner
Carey to authorize Phase I implementation salary administration effective April 14, 2003
as follows:
Authorize increasing the salaries of employees in permanent positions whose
salaries are below the new salary range minimum for the new salary grade
assigned to his or her position to the new salary range minimum.
In addition, for those employees in permanent positions as of April 14, 2003,
grant a 2.5 percent service-based salary increase.
VOTE: UNANIMOUS
The staff will come back with scenarios for addressing the hauling wage issue
on June 16tH
3. Emergency Medical Services Transportation -Service Delivery Change
Jahn Link said that the County would assume responsibility for the transportation
function services for EMS. This was formally supported by the rescue squad. The
rescue squad is having a hard time finding volunteers and has to rely on paid staff and it
will be more cast effective to bring it in-house.
Assistant County Manager Rod Visser said that this is a service delivery change
only. He made reference to the letter from the rescue squad, which indicated that they
could na longer do this and the status quo was not an option. The County's transition
team {includes Nick Waters, Elaine Holmes, Donna Dean, Pam Jones, etc.) has been
working to make this transition smooth. They are recommending that the County take
this over as of June 30, 2003, which is a pay period beginning date and the permanent
employees with the squad can transition over to the County at that time. He gave the
specifics of the transition plan far employees. The permanent positions will come an
gradually with temporary employees as needed. There will be a recruitment process for
the permanent employees. There are seven full-time employees that work for the squad
and they are going through the application process. In terms of cost, they will start out
gradually with the permanent positions and then will come back with more formal options
next week.
John Link added that the management and staff and Board of County
Commissioners would need to decide how many permanent staff would be needed for
this change in service delivery. We will need to use temporary staff at first but the
transition will be the Board of County Commissioners' good judgement on what type of
services it wants to provide.
EMS Director Nick Waters said that this squad has provided a valuable service
over time but the use of volunteers has not been operationally sound for the squad this
past year. He echoed that to bring this back in-house is the best option.
Commissioner Halkiotis said that it is more difficult to attract volunteer firefighters
lately and the day is coming that the mare the County is growing and the less volunteer
firefighters you have, the more dangerous it is. He hopes that we list the number of paid
Commissioner Jacobs said that this statement of why the County is taking this
responsibility aver is worthy of inclusion for tax inserts. Also, he thinks that it is one of
the premises upon which Craig Benedict is building the comprehensive land use plan in
that we should concentrate the services and not have them sprawled all over the
County. He said that it would be goad to look comprehensively at the EMS. He asked if
there was a culture of volunteers that could be kept in the mix. Nick Waters said yes but
the system will not be driven by the volunteers, but by the full and temporary staff. The
volunteers will be used as needed.
Commissioner Jacobs said that he did not want to be in a position to say that we
did not need volunteers. He made reference to new fire stations being built and
stationing emergency vehicles by building in a bay for ambulances. Nick Waters said
that they did talk with the people from the new Eno fire department and they were very
receptive.
Commissioner Gordon asked if this could be added to the comprehensive report
on EMS -adding bays for ambulances.
Chair Brown asked about the level of service and if it was connected with the
communication plan. Nick Waters said all that is inclusive. Chair Brown asked that this
be included in the report.
Nick Waters said that the volunteers are so important and that there are 200
special events that request outside EMS service in Orange County annually. He said
that they depend heavily on volunteers all year long.
John Link said that the staff would proceed and he proposes to have this as a
topic for the meeting on June 12tH
A motion was made by Commissioner Gordan, seconded by Commissioner
Jacobs to adjourn the meeting at 9:30 p.m.
VOTE: UNANIMOUS
Margaret Brown, Chair
Donna S. Baker
Clerk to the Board
2. Employee Classification and Pay Study Implementation
John Link thanked Steve Condrey, who has worked as a consultant on the
classification and pay study. He also thanked Personnel Director Elaine Holmes and her
staff.
Steve Condrey said that they worked on the project for 18 months and this will
help the County become more competitive in the labor market.
Personnel Director Elaine Holmes gave the PowerPoint presentation. She went
through the history of the implementation of the study. The Board agreed to implement
Phase I at its February 24th work session. Elements that were discussed to be included
in Phase I include an increase in the salaries of employees who fall below the new range
up to the new minimum, and a 2.5°~ service based increase to current employees. The
study results are provided in the report by the consultant.
In summary, Elaine Holmes said that she believes this is an excellent study and it
achieves the objectives that the Board set out to achieve.
The Manager recommends pursuance of a phased-in implementation approach.
Phase I will include implementation of the new jab classifications and the new stepless
salary schedule, increase of salaries below the new minimum up to the new minimum,
and granting the first 2.5°~ service-based increase. As for fiscal years 2003-04 and
2004-05, the recommendation is that the Board express its intent to grant the second
2.5% service based increase effective April 26, 2004 for employees with four or more
years of service; and express its intent to grant a third 2.5% service-based increase
effective July 1, 2004 to those employees with seven or more years service. The costs
of the implementation are within the $1.2 million guideline. She made reference to page
13 of the abstract and explained the rainbow chart.
Elaine Holmes said that this study represents an investment in the County's work
force that will have benefits to the County for years to come.
Several clarifying questions from Commissioner Gordon were answered by
Elaine Holmes.
Commissioner Gordon asked about the years of service and why we were going
to recognize employees at four and seven years. Steve Condrey said that he wanted to
make the break at the seven-year level because if someone is with the company for
seven years, then they are probably going to be a long-term employee.
Commissioner Carey asked for a reminder on what was done for the County
employees last year and Elaine Holmes said that there was a 2.5% cost of living
increase and the in-range salary increase amount was set at 2.5°lo and the meritorious
service awards were funded.
Commissioner Jacobs made reference to the green sheet regarding the housing
wage. He said that they have tried to address the lowest paid employees. Also,
regarding Sheriff's deputies, the County requires them to live in Orange County but they
were not being paid enough to match the housing living wage. He wanted to put forward
to try to phase in getting all employees up to a housing wage. He would like to look at
some creative ways without spending more money to fold this in and make the
statement to employees that we da want them to live in this community. He asked how
the Board felt about this.
Commissioner Halkiotis asked Elaine Holmes to refresh his memory on the
estimated cost of atwo-bedroom apartment rental in Orange County. Elaine Holmes
said that the estimated cost to move the minimum County salary up to the two-bedroom
rental was $715.00. The fair market rental for atwo-bedroom apartment is $800 a
month.
Commissioner Gordon asked about the total percentage to bring employees to
the minimum and the 2.5°~ increase. Elaine Holmes said that the total value of the
package as a percent for permanent employees is 7.84% over the 27 months.
John Link said that the staff would come back in the fall and address this issue of
a housing wage analysis and review the pay plan.
Commissioner Jacobs said that he would like to see the alternatives before the
fall and would not like to wait six months.
Jahn Link said that he feels strongly about implementing Phase I. He said that
within the next month, he could find the money to pursue the housing wage within the
next two phases.
Commissioner Carey suggested that the Board proceed with Phase I now and
then gets the information for the housing issue as soon as possible.
Chair Brown suggested including the compression piece also.
Commissioner Halkiotis said that he is committed to this proposal but it depends
on what happens in Raleigh and the revenue picture with the State. There might be
some more "sneak attacks." He asked what would happen if something came up again
with the State budget and revenue to the County is decreased again.
John Link said that if something happens then we would regroup and have to
either postpone ar decrease this or other issues. The good news is that the State
cannot take the half-cent away. The biggest driver of the budget is the schools. He said
that his budget would address the new students that are coming in both systems and
maybe go beyond that. The next largest area of the budget is human services and it
does not look like the State is going to increase the Medicaid program and the County's
increase is going to be less than $200,000. The County does have a social safety net
and will have it again next year. He agreed with Commissioner Halkiotis that something
could happen, but at this time it does not look like anything catastrophic would happen.
Commissioner Halkiotis said that he wants to support this pay plan but the
County Commissioners do not control what goes on in the State capitol.
Commissioner Jacobs agreed with Commissioner Halkiotis. He wants to
proceed cautiously and he does not want to get rid of the social safety net.
Commissioner Gordon said that her feeling is that the Board is supportive of
Phase I. She said that no matter when the Board decides this it would be retroactive to
April 14tH
Commissioner Carey said that it creates anxiety in the staff when the Board says
that it is going to do something and then it decides to wait a few weeks to do it. It always
raises the possibility that the County Commissioners may change their minds.
Chair Brown said that she does not have a problem with adopting steps 1-4.
Jahn Link said that it is extremely important to address this tonight and Phases II
and I II will depend on the budget, but the Board needs to send a message to the staff
and pursue Phase I.
Steve Condrey said that Phase I targets the money where the County
Commissioners want it to be and it raises the lower positions up and it raises the salaries
of all employees. It would strengthen employee morale.
Chair Brown said that the other option is to not adopt it tonight and use it in the
bigger budget picture and perhaps cut back on the percentage increase.
Commissioner Jacobs said that what he means is that he would like to
incorporate into this some addressing of the hauling wage. He asked Elaine Holmes far
same permutations of how to build that in. If we go ahead with Phase I, then he still has
a question about whether or not we can incorporate it into the first phase if we have
already adopted the first phase. Secondly, he is hesitant to promise too much beyond
staff under each volunteer fire department in the budget this year. He asked that the
budget presentation include, under each volunteer fire department, the number of paid
staff that is with them and what it would look like if the volunteer fire departments had to
go strictly paid staff.
John Link said that two or three increases in the fire districts are directly
attributable to adding more permanent staff.
Commissioner Carey verified that there would need to be 24 paid full-time
permanent staff to have a 24/7-service level. He asked about the recommendation for
June 30t" and Rod Visser said it is to add up to eight permanent full-time employees.
Commissioner Jacobs asked if these positions were incorporated into the
classification and pay study and Elaine Holmes said no.
Rod Uisser said that the money would be what the County would have paid to the
rescue squad and additional money would include approximately $30,000-50,000.
Commissioner Jacobs asked about the private, non-emergency transportation.
Rod Uisser that our non-emergency transportation services are provided within the
County only by those entities that are franchised. The strategic plan was focused on the
patient outcome as the main measure.
Jahn Link said that the performance level of the present providers has been
checkered. He would prefer the County's staff to address this personnel need.
Rod Visser answered some clarifying questions of the County Commissioners
about the proposal.
Commissioner Gordon asked how volunteers would work into this. John Link
said that the volunteers do not work into this in terms of guaranteeing 2417 transportation
responses. The volunteers can help the community with special events and specialized
rescue.
Commissioner Halkiotis said that it is really important to put this all in a chart for
the County Commissioners to see the whole revenue picture. He asked about the
revenues generated by this service and how other counties are doing this. He agrees
that we should have paid professional staff providing the service. He said that the
building on New Hope Church Road would have to be expanded because there is not
enough roam for training.
Commissioner Carey asked about the implications of capital facilities from this
conversion. Rod Visser said that in the short term it would not be much money. The two
existing squad buildings would be used -the one on Churton Street and the one by the
old Carrboro Farmer's Market. If this does not work out, then the ambulances could be
staged at other County facilities. In the long term, there are implications for the EMS
and public safety functions.
Chair Brown asked about ambulance services and if it was theoretically possible
for the County to have its own ambulances. Nick Waters said yes and that it used to be
that way. Chair Brown would like a comprehensive look at EMS and the pros and cons
of what is happening now.
Chair Brown asked about the different levels of services the County has and all
of the components and how and when we maintain it. She would like this brought back
to the Board. She said that the municipalities do not think about this service that the
County provides and she would like to speak to that issue with the municipalities -what
is involved and why the County is making this transition. This is the cost of growth that
no one wants to deal with. She would like aone-page statement to address this with the
municipalities.
The Board agreed to the staff bringing back a comprehensive report on EMS
service in the County.