HomeMy WebLinkAboutMinutes - 20060518APPROVED 8/22/2006
MINUTES
ORANGE COUNTY BOARD OF COMMISSIONERS
WORK SESSION
MAY 18, 2006
7:30 p.m.
The Orange County Board of Commissioners met for a budget work session on
Thursday, May 18, 2006 at 7:30 p.m. at the Southern Human Services Center in Chapel
Hill, North Carolina.
COUNTY COMMISSIONERS PRESENT: Chair Barry Jacobs and Commissioners
Alice M. Gordon, Steve Halkiotis (arrived at 8:08), and Moses Carey, Jr.
COUNTY COMMISSIONERS ABSENT: Valerie P. Faushee (out of town)
COUNTY ATTORNEY PRESENT: Geoffrey Gledhill
COUNTY STAFF PRESENT: County Manager John M. Link, Jr., Assistant County
Manager Rod Visser and Deputy Clerk to the Board David Hunt (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.
The Chair called the meeting to order at 7:37 p.m. He asked that an item be
added, Draft Timetable for the County Manager's Search Process. The Board agreed.
1. Draft Timeline for Manager's Search Process
The Chair reviewed the items related to this. He said that he and Commissioner
Carey discussed the process today and the notion that they should pin dawn a date with
Mr. Mercer so that he could make a proposal to the County Cammissianers about the
handling of the candidate when they come here (i.e., interaction with the public, tests or
exercises, etc.).
Commissioner Carey said that the final decision on the process would require Mr.
Mercer to meet with the County Commissioners. The final decision related to the
interview process could be made as late as July 27tH
Chair Jacobs noted that Mr. Mercer would be making a progress report in written
form on June 22"d. The County Commissioners could ask Mr. Mercer to provide a
proposal in writing no later than June 22"d and then it could be finalized.
Commissioner Gordon would like to see the process earlier. Chair Jacobs said
that he would call Mr. Mercer tomorrow about coming on May 30tH
Commissioner Carey said that a meeting with the mental health people has been
scheduled on May 30tH at 4:00 p.m. in Raleigh. He is not sure he can be here for a
meeting in between that meeting and the public hearing that evening.
Chair Jacobs suggested additional language on page two of the abstract under
Approval of Recruitment Documents by BOCC (by email} "may require a meeting with
The Mercer Group" The Board agreed.
2. 2006-07 Maior Budget Drivers
a. Debt Service
b. School Fundina
John Link said that they are focusing tonight on the expenditure side of the
budget and not the revenue side. He said that most of the projects were discussed,
anticipated, and approved by the voters of Orange County in previous bond votes. The
blue sheet, item #1, includes construction of Carrboro High School, Gravelly Hill Middle
School, and the two senior centers at a cast of $29 million. To pay the debt on this
amount of money will cost $2.2 million, which is almost two cents on the tax rate. Item
#2 includes alternative financing issued during 2005-06 such as Animal Services Facility,
CHCCS renovations, conservation easements, County equipment and vehicles,
Meadowlands Annex, OCS Gravelly Hill Middle School {construction overruns and
County share of water and sewer), Seymour Senior Center, and Sportsplex. The total
for schools and County is $24.8 million, and the debt impact is $2 million. Item #3 is the
anticipated alternative financing in fiscal year 2006-07. This includes cast overruns for
Carrboro High School, CHCCS Elementary #10, CHCCS renovations, Justice Facility
construction and new Courthouse renovations, and Orange County Satellite campus of
Durham Technical Community College (Orange County share of construction). The total
of this is $38.5 million and the impact this coming year is $738,940. The actual impact in
terms of payments for all three items is $3.7 million. This is on line 1 on the yellow
sheet, which is the Net Increase in Debt Service for County and School Projects.
Commissioner Gordon asked about the anticipated alternative financing and if
this was the total amount for Elementary #10. Donna Dean-Coffey said that this amount
was included in the 2001 bond referendum. There have been no discussions about the
total casts since the bids have come in. Commissioner Gordon said that a decision
needs to be made soon. She said that it would need to be funded this year.
John Link said that Elementary #10 could not be funded this year because the
County is close to its debt ceiling. It may be possible to pursue a timetable whereby the
school system can begin the project. Finance Director Ken Chavious said that the
issuance of debt depends on the construction and the cash flow schedule, and it can be
split over fiscal year periods.
Commissioner Carey said that he recalls that the items already on the debt
issuance schedule get the County pretty close to the cap. Donna Dean-Coffey said that
in 2008-2009 it goes down slightly and in 2009-2010 it goes down further.
Rod Visser showed a chart of debt service.
The projection calls for opening of Elementary #10 in 2007, but realistically it will
be 2008-2009. Chair Jacobs said that the budget drivers include money for planning
Elementary #10.
Commissioner Gordon made reference to the April 10t" agenda, item 10-a, which
was the SAPFO Technical Advisory Committee Report, and that the projected
overcapacity at the elementary level in CHCCS during 2007-08 may lead to suspension
of the issuance of CAPS until Elementary #10 opens. She said that if it is not funded,
then the SAPFO will kick in and certificates to build will not be issued until the school
opens. She thinks that, besides the planning, the Board should think about haw to
address this. She asked to flag this for discussion.
Commissioner Carey said that if this bumps the County up against the debt limit,
there is no room to add anything. He thinks that the $12.8 million should be enough to
get started.
Chair Jacobs said that the $12.8 million was the agreed cost for an elementary
school, which is why they are reviewing construction standards because construction
costs have jumped up almost 50°~.
CommissionerHalkiotis arrived at S:OS p. m.
John Link said that one option is that the Caunty and the school system could
engage in a process where some part of the schools' pay-as-you-go funding goes
toward the school and then it is reimbursed when the County is able to borrow additional
funding. The Caunty has done this at least once or twice.
John Link made reference to item #2 on the yellow sheet and said that, as of
tonight, his budget proposal would be to raise the per-pupil by $161, which will allow the
County to address the 8% salary increase far both school systems. This increase would
result in an additional $2.7 million for CHCCS and $1.06 million for OCS. This would not
address the money far the continuation of budget amount that was funded from the fund
balance in this year, which is $422,401, nor does it address the startup casts far Gravelly
Hill Middle School. He made reference to line 7 and said that he is also proposing that
the County pick up the cost of two new School Resource Officers far Gravelly Hill Middle
School. He is also recommending that the County assume the costs of School
Resource Officers for bath school systems at a cost of $700,000. This is $350,000 that
could go for startup casts for Gravelly Hill. He said that a lot of the startup costs are for
equipment, so the OCS could spend recurring capital to address some of the startup
casts.
Regarding fair funding for schools, he has increased the per pupil by $161, which
is 3 cents on the tax rate.
Commissioner Gordon asked about School Resource Officers and if the
$700,000 was in addition to what the County is already doing. Rod Visser said that this
is a ballpark estimate to cover all of the existing SROs. They are meeting with the
Superintendents tomorrow and will get a better figure then.
Commissioner Halkiotis said that he is troubled by the $700,000 far SROs. He
thinks that it should be better than ballpark and his concern is that it is closer to
$900,000. He wants to know exactly how many SROs are in both school systems and
their current salaries.
Chair Jacobs said that the County Commissioners did ask for more information
before because it was not clear which funding stream provided which positions.
Commissioner Halkiotis said that both school systems are asking for increases in
utility costs and both school systems have had efforts underway for over a year in
lowering utility costs. OCS reported $100,000+ savings last year and CHCCS also
reported savings. He asked why they were asking for an increased amount in utility
expenses if they were achieving savings. He will also be bringing this up for County
government.
Chair Jacobs also asked far information on how many SROs were in each
5Ch001.
c. Additional Staff Resources
d. Employee Pay and Benefits
John Link said that items 12-15 have to do with the proposed Caunty Pay Plan,
and he is proposing a 2.5% cost-of-living effective July 1St, and a 2.5°lo in-range increase
that would occur with the anniversary date of evaluation of each employee. At this paint,
they also anticipate a 16°rb increase in health insurance.
Item #17 is the annualized cost to address the actions by the Board for the
current year in terms of in-range increases and the health insurance.
Item #19 is the expected increase in funding far the Sportsplex.
John Link made reference to item #2d and the lavender sheet, which are
preliminary recommendations far new staff and/or changes to existing staff for FY 2006-
07.
Discussion ensued on Category 1, which includes no increase in general fund
support for 2006-07, but ongoing in future years.
Category 2 is positions that will involve additional costs.
Commissioner Halkiotis made reference to the Senior Public Health Educator
(Medical Reserve Corps) and said that this is one of the positions that were discussed
with Chatham County. He asked if someone had followed up to see if Chatham County
was interested in doing something jointly once the funding runs out. Health Director
Rosemary Summers said that she did have a discussion with someone from Chatham
County and the Medical Reserve Corps there is funded through a nonprofit agency. The
grant is ending in Chatham County the same time as this one, and the intent for
Chatham County is to fund it through AmeriCorps. They will be using AmeriCorps
volunteers on a rotating basis.
Chair Jacobs said that he heard that President Bush wants to cut out
Americorps.
Category 3 represents increases in the amount of the positions related to time.
Far example, they are recommending that Tina Moon become full time in ERCD and her
position will no longer be split between Planning and ERCD and then there would be an
additional .475 FTE in Planning.
Commissioner Gordon asked how this new position would work out. Planning
Director Craig Benedict said that the additional position would assist in land use planning
and the comprehensive plan update as well as transportation.
Category 4 is a change in positions from temporary to permanent status. This is
one of the elements of the longstanding problem with positions that have been
temporary for years. The offsetting revenues are the elimination of the temporary
funding for the positions.
Discussion ensued an offsetting revenues or cost savings.
Commissioner Carey suggested calling it current cost. Commissioner Halkiotis
said that a cost savings is when you eliminate a position. John Link said that they would
give it a better description.
Commissioner Gordon made reference to Category 1 and asked to see the
salaries. She said the same information should be given for Category 1 as is given for
the other categories.
Category 5 represents the two additional School Resource Officers at Gravelly
Hill Middle School. Commissioner Halkiotis said that this also includes vehicles,
uniforms, equipment, etc., so this is misleading because it is not just employment costs.
Category 6 reflects actual new positions that are being recommended, and John
Link listed them.
Commissioner Halkiotis verified that the Environmental Health Supervisor would
be just for food and lodging inspections. Rosemary Summers said that it is a position for
food and lodging. The supervisor would be over 4 positions and providing quality
assurance. Currently Ron Holdway is doing all of this for food and lodging and water
and sewer. She said that the State said in the program evaluation that they needed to
have a more active quality assurance program where the supervisor goes with the
inspectors on a regular basis to make sure that they are appropriately grading
establishments. The Supervisor is at the same salary grade as Tam Konsler, the
Supervisor of the Well and Wastewater.
Commissioner Halkiotis asked about the revenue received back from the State
far these inspections and Rosemary Summers said about $6,000 per year. If the County
achieves 100°~ of the compliance rate, there is a small bonus of about $3-4,000.
Commissioner Halkiotis asked about field technology that would save same time
and effort. Rosemary Summers said that the field technology is not for food and lodging,
but well and wastewater.
Commissioner Halkiotis said that the Sheriff has two and a half positions and
EMS has four positions far just keying in information because the County is
technologically behind. He wants to save some time and improve the amount of
inspections that can be done by using technology.
Rosemary Summers said that it would be at least a year for the food and lodging
because the State does not have its technology in place for this yet.
Commissioner Halkiotis asked if the County inspected nail salons and it was
answered that they do a general sanitation inspection but not of the operators.
Commissioner Halkiotis made reference to a negative news story about nail salons in
the Triangle. He asked what facilities get inspected and it was answered restaurants,
hotels, motels, swimming pools, school lunch facilities, schools, nursing homes for
sanitation, child care facilities, residential care homes, meat markets, temporary food
establishments, street fairs, and grocery store delis.
Commissioner Halkiotis asked for an organizational chart of this department.
Chair Jacobs asked for the total number of inspections and the fees. Rosemary
Summers said that the fees range from $25 to $250 and are fairly standard throughout
the State. Chair Jacobs would like to see the total revenue generated by inspections
and then what the County realizes out of this. He would like to share this with the
legislators.
John Link continued reviewing the positions.
Commissioner Halkiotis requested, for future budget preparation documents, that
the total overtime expenditures for the whole year be listed by department.
Chair Jacobs said that the County has used temporary and overtime for
Telecommunicators, but there is no offsetting revenue for these positions. EMS Director
Jack Ball said that they have a constant revolving door where they utilize overtime and
temporary workers. It takes time to bring a trainee up to speed and it may take 6-8
months before a trainee works solo. Chair Jacobs asked how many vacancies there
were for Telecommunicators and Jack Ball said that presently there are two open
positions. They want to add additional personnel to help relieve the workload. Jack Ball
gave some statistics about hours of coverage. John Link asked that Jack Ball provide
that information in writing to the County Commissioners.
Jahn Link pointed out that the County is waiting on a study on issues of fire,
rescue, and EMS.
Commissioner Halkiotis asked for a historical record of the calls and how they
are being fed out so that he can see the justification far more positions.
Chair Jacobs suggested allocating $175,000, which is what the three positions
would require, to EMS and see what the study indicates about priorities.
John Link continued the presentation on positions. This position would be in
Purchasing helping the Director with construction projects and would be an
Administrative Assistant III.
Commissioner Halkiotis said that with the Efland water/sewer line-engineering
project, the Board asked the County Manager if he and his assistant could participate in
some of the construction oversight issues, if it would reduce the cast of the project. He
thinks that in this one project, it reduced the cost of the project by $125,000. He thinks
that the County should start rethinking contractual arrangements with architects who
build into their contracts a construction oversight piece. He thinks that this would be a
cast savings.
The County Commissioners asked some clarifying questions about the
Administrative Assistant's job description.
Purchasing and Central Services Director Pam Jones does not have any
administrative support at this time. This person would do a lot of the routine things that
she now has to do. The position would also handle risk management support and
helping to write requests for proposals. Pam Jones needs administrative support.
The next position is Social Worker II for The Department of Social Services. This
would be to increase case management of the increasing caseload of the elderly who
choose to remain in their homes instead of being placed in adult care facilities. The
State will provide some offsetting revenues.
Category 7 represents additional positions for the two new senior centers. Line
22 on the yellow sheet calls for a reserve of $165,000 to address staff and operating
costs for the senior centers.
Commissioner Gordon asked the staff to estimate the non-personnel cast more
closely.
Chair Jacobs suggested that the numbers be adjusted to the opening dates of
the centers.
Commissioner Halkiotis voiced his support far these positions. He said that the
seniors have done an excellent job in finding volunteers to serve the desk. There is a
need for the support positions.
Category 8 are new positions requested for BOCC Water Resources Priority - A
Hydro-geologist, Water Quality Specialist, and Water and Air Technician. The
recommendation is that the Board set aside $75,000 in a reserve for this priority to allow
the BOCC and staff to fully explore OWASA's interest in partnering with the County in
this program.
Chair Jacobs asked that the full year cost be listed for the Hydro-geologist
because it could be misinterpreted.
Commissioner Gordon said that the question to her is where to house the
positions -Health or ERCD, because these functions were assigned to ERCD when the
department was created. She thinks that both departments can work cooperatively on
this, but it seems that the Health Department does not get into scientific enterprises but
regulatory enterprises.
Commissioner Halkiotis said that it is a good idea to set aside a reserve and he
wants to see some immediate context. He suggested that the Chair and the Manager
get up with OWASA and figure out if it is interested or not by next week. He said that he
would not support two positions. He thinks that there is sufficient room with $75,000 and
possible OWASA participation to meet the goals.
Category 9 is the Staff Attorney position. There is no funding set aside, but he
brought this back because it has been an item for discussion aver the last few years.
Commissioner Halkiotis said that he would like to see what the County is paying
for legal services right now and over the past four or five years. This includes all costs
and not just what the attorney is paid. He asked if it was more cost efficient for the
County to have its awn attorney. He does not think it would save money. Jahn Link
clarified that this would not replace the County Attorney, but would be an additional staff
attorney to assist the County Attorney.
Commissioner Halkiotis said that he would not support bath positions, but one or
the other. He wants to look at the whole legal picture.
Commissioner Carey agreed that they need to look at the whole picture. He said
that part of the expense picture that Commissioner Halkiotis did not include is the
attorney position dedicated to mental health right now. He would like to see the County
Commissioners consider broadening the focus of that position and not making a single
purpose, limited focus attorney position.
Jahn Link said that he should have something shortly because he has been
speaking with the Personnel Director about it.
Chair Jacobs made reference to the yellow sheet under "Special Studies
Requested by BOCC" and asked if they were budgeting the maximum amount
necessary. Donna Dean-Coffey said that she identified the highest number to be on the
conservative side. They will be working through these numbers for the budget.
Cammissianer Halkiotis asked staff to provide a listing of the lowest echelon paid
employees in County government. He said that he heard very clearly in the planning
group for the Southern Orange Senior Center that seniors are interested in working part-
time in the senior centers. This is an opportunity to reach out in a different way.
Chair Jacobs made reference to the meeting with child care advocates, who
pointed out that there are eight employees in County government that require child care
subsidies. He wants to knave what pay level this is.
Chair Jacobs would also like to see a history going back to when the Governor
started taking the County's money of how this year compares to recent years in terms of
proposed increases in personnel and personnel casts and head counts.
A motion was made by Cammissianer Carey, seconded by Commissioner
Halkiotis to go into closed session at 9:45 p.m.
"To discuss the County's position and to instruct the County Manager and County
Attorney on the negotiating position regarding the terms of a contract to purchase real
property, property acquisition for Buckhorn EDD/Gravelly Hill Water and Sewer project,
owned by Orange County Investors Partnership, PIN 9834-56-1587," NCGS § 143-
318.11(a) (5).
RE-CONVENE
A motion was made by Cammissianer Carey ,seconded by Cammissianer
Halkiotis to reconvene into regular session at 10:00 p.m. .
VOTE: UNANIMOUS
ADJOURNMENT
A motion was made by Cammissianer Carey, seconded by Commissioner Halkiotis
to adjourn the meeting at 10:00 p.m. .
VOTE: UNANIMOUS
Barry Jacobs, Chair
David Hunt
Deputy Clerk to the Board