HomeMy WebLinkAboutMinutes - 20060619APPROVED 8/22/2006
MINUTES
ORANGE COUNTY BOARD OF COMMISSIONERS
BUDGET WORK SESSION
June 19, 2006
7:30 p.m.
The Orange County Board of Commissioners met for a Budget Work Session on Monday,
June 19, 2006 at 7:30 p.m. at the Government Services Center in Hillsborough, N.C.
COUNTY COMMISSIONERS PRESENT: Chair Barry Jacobs and Commissioners Moses
Carey, Jr., Valerie P. Foushee, Alice M. Gordan, and Stephen H. Halkiotis
COUNTY COMMISSIONERS ABSENT:
COUNTY ATTORNEY PRESENT: Geoffrey Gledhill
COUNTY STAFF PRESENT: County Manager John M. Link, Jr., Assistant County
Managers Gwen Harvey and Rod Visser, and Clerk to the Board 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. 2006-07 Manager's Recommended Budget
Chair Jacobs said that when they get to Department on Aging, they will see if the Board
has any questions about a specific program that relates to that department so that the visitors
can go home.
a. County Departmental Budgets (by exception)
John Link said that if the Board wants to talk about a department's budget that
department head would come forward to defend their budget.
Donna Dean-Coffey explained the handouts from her. On the salmon sheet are the draft
motions far adoption of the budget.
Jahn Link thanked the department heads for keeping the operating budgets close to
what they are this current year such as duplicating, dues and subscriptions, departmental and
office supplies, utilities, and travel. In the current year these items were cut. The operating
increases are only about 5°~, excluding any requests for new positions.
GOVERNING AND MANAGEMENT
Chair Jacobs asked for information on the projected cost for taking over the animal
shelter and what it actually is.
Chair Jacobs asked about rents and insurance far senior centers and if spaces that are
rented by occasion will be handled as they are now by Purchasing and it was answered yes.
Chair Jacobs asked about the $1,000 cable franchise fees and said that he thought this
was finished. Gwen Harvey said that it has been concluded and is not needed for this year.
Chair Jacobs asked about tuition refunds and said that the County spent more than
$10,000 this year (page 3-33). He said that he had asked specifically which departments are
using the tuition refunds.
Personnel Director Tyrone Jackson said that they spent $10,813. This is on page G-7 in
the appendices. Donna Dean-Coffey said that they transferred $5,000 and there is a remaining
balance of $2,168. Tyrone Jackson said that the usage of the fund has been outstanding and
employees are taking advantage of it.
Chair Jacobs said to put the $1,000 just saved from cable franchise fees and put it in
tuition refunds.
Commissioner Halkiotis made reference to page 3-31, Construction Manager, and said
that they never did anything with either school system and he does not know why this is in
there. It should be taken out. Donna Dean-Coffey said that this was part of the capital funding
policy adopted and it was athree-year plan.
Commissioner Halkiotis said that the schools said that they were not interested in doing
this so the narrative is wrong. He is glad to see that the money is there. Donna Dean-Coffey
said that they have used it for other things.
John Link asked Purchasing and Central Services Director Pam Janes if $40,000 was
enough for this year for this and she said that it depends on the justice facilities and the animal
shelter projects and John Link suggested putting in $50,000. The Board agreed.
Chair Jacobs asked about the cost for a bond committee and Rod Visser said that it
would include monies for a facilitator, etc., which would be about $10-15,000. Commissioner
Carey suggested taking this out of the Board of County Commissioners' contingency fund.
GENERAL SERVICES
Chair Jacobs asked Tax Assessor Jahn Smith about page 14 and the increased printing
casts. He asked if the Tax Assessor's office was included in the discussion about redesigning
the printing costs as a County and John Smith said na.
Gwen Harvey said that they did not discuss routine printing projects but more special
publications.
Jahn Link said that the question is whether to include the Tax Assessor in haw to mare
efficiently pursue printing.
Chair Jacobs asked if they would eventually do this and Paul Laughton said that they are
just compiling information now and looking at economies of scale.
Chair Jacobs made reference to page 4-26 and the Efland Sewer Fund and said that
they are being asked to subsidize from the General Fund $120,000 far those that cannot afford
to hook onto the new sewer system. The Board has asked staff to came back in August to
combine work on the assessment project on the new part of the water and sewer in the
Economic Development District and for a way to rework the Efland Sewer Fund so that they are
subsidizing people that actually need subsidy.
John Link said that they need to develop new rates to produce revenue to pay off the
operating casts and then develop a method to determine who needs assistance. Maybe the
staff could have information on haw much of the $100,000 is left to transfer on August 22"d
Commissioner Halkiotis made reference to page 4-18 under Buildings and Grounds, four
bullets down, "Maintain road signs far all state-maintained roads in the County." He asked what
this meant. Rad Visser said that the County is responsible for creating and mounting signs if
state signs fall down, etc. Public Works Director Wilbert McAdoo said that the County pays for
the poles, the brackets, and the signs for all state-maintained roads in Orange County.
Commissioner Halkiotis asked about utilizing services of Orange Enterprises in grounds
keeping and Wilbert McAdoo said that they have been slow to use them in this area and they
will be bringing forth a policy this year for the grounds keeping. They have been using Orange
Enterprises for custodial services. Commissioner Halkiotis encouraged staff to use Orange
Enterprises for grounds keeping.
Chair Jacobs made reference to page 4-20 the last bullet and said that they will not have
a Central Orange Senior Center for the first six months of the 2006-2007 budget year and
Wilber McAdoo said that they were just projecting.
HUMAN SERVICES
Commissioner Carey asked about Social Services and said that the current
administration has adopted a law requiring proof of citizenship for services. Social Services
Director Nancy Colton said that they will still have the same number wanting services but the
processing will take longer.
Chair Jacobs asked if they can bill for this extra time and Nancy Colton said that the
federal government would allow for 50-50 billing. This is just one more thing that adds to a very
lengthy process.
Commissioner Gordon asked about citizenship requirements and Nancy Coston said
that they are asking far certified birth certificates and a picture I. D. The requirements will be
different for children.
HEALTH
Commissioner Gordon made reference to page 517 and why the Manager was
recommending mare than was requested in Promotion and Education. Donna Dean-Coffey said
that this might have something to do with the social security calculation and she will check it out.
Chair Jacobs asked about Cooperative Extension and pages 544-550. He asked about
staff replacement and Cooperative Extension Director Fletcher Barber said that they made an
offer to a person for the horticulture position. This was an existing position.
AGING
John Link said that the County has been providing, over the last two to three years,
$40,000 as a County contribution to the health centers' operation, and this year the department
has requested an increase in contributions because of a decrease in contributions from Carol
Woods. He asked Department on Aging Director Jerry Passmore what they were asking for
exactly.
Jerry Passmore said that in the original preparation, the non-profit was anticipating the
high casts to run this program, which requires a nurse and a CNA.
Chair Jacobs asked far clarity an the non-profit. The department head is on the board of
the non-profit. John Link said that when the County began this non-profit, the County was
involved in its creation and the idea was to have Jerry Passmore on the board with others, so it
is connected to the County.
Commissioner Halkiotis said that he and Commissioner Carey met with the non-profit
recently and Carol Woods had told them that they were not going to fund $40,000 forever to this
non-profit and they wanted more concrete future plans.
Commissioner Carey said that a program similar to the PACE program, if not the PACE
program, should be somewhere in the County's future.
Mr. Speaker said that five years from now the adult day health center will be one of the
anchors of how they care for the seniors outside of nursing homes or assisted living facilities.
Florence Soltys made reference to a study that is really critical of the country because
of the acute shortage of adult day care centers because they see adult day health as the future.
This is less costly than institutionalization and other programs. The VA has done an extensive
research project on looking at adult day health centers, and they are finding that people who go
there are getting consistent monitoring by the nurse. She is excited about the PACE program
coming into this area.
Jahn Link said that the ultimate goal is for the non-profit to become financially self-
sufficient from revenues paid by people that are able to pay (i.e., Baby Boomers). He said that
it would be good to have a projection of when private revenue would be generated.
Mr. Speaker said that they have done some projections, but they are certain that there
will always be a significant cohort of people that cannot afford to pay. He does not think that
there will ever be a time that they will not need funding from the County.
Commissioner Halkiotis reiterated that currently there are more senior citizens in Orange
County than there are school children and Jerry Passmore said that in 2020 it is estimated that
there will be 34,000 senior citizens in Orange County. Commissioner Halkiatis recommended
that the Board take this issue up at a work session in August.
John Link asked what the non-profit was asking for in this year's budget and Mr.
Speaker said that they asked far $70,000, but they can get by with $50,000. This is up from
$40,000 last year. Jerry Passmore said that they are required to have a nurse and a Certified
Nursing Assistant on site each day. They have had a contract with the School of Nursing, and
because this is so expensive, as of tomorrow they are discontinuing the contract to reduce the
costs. They are going to replace the contract with retired nurses that will be paid, but do not
need benefits. They will be jab-sharing and this will reduce their costs. They will be paid $20
an hour.
CULTURE AND RECREATION
Chair Jacobs asked about Library Services and other municipal support and Donna
Dean-Coffey said that it is just Chapel Hill.
Andrea Tullos said that it also includes Mebane. Chair Jacobs asked about
Hillsborough's contribution and Andrea Tullos said that it is not reflected because they did not
have that information at the time that they created the document. Carrboro does contribute to
the Carrboro library $4,000 plus an in-kind for the Carrboro Cybrary and this is reflected.
Chair Jacobs asked about the caretaker at Little River and if there is a solar water heater
and Recreation and Parks Director Lori Taft said that they are using the one that was already in
the building.
Chair Jacobs said that last year there was a lot of discussion about Special Olympics
and funding and he asked why they were recommending funding for this year. Lori Taft said
that Chapel Hill was able to fully fund their Special Olympics position and Carrboro and Orange
County assists with in-kind services. Their numbers are increasing.
Chair Jacobs asked why Orange County is now contributing funds in addition to services
in-kind and Lori Taft said that this is part of the fundraising effort. John Link said that there is
$5,000 in this budget this year and there was $0 last year. Lori Taft said that there was a grant
and it was to serve for additional transportation services for the athletes to travel elsewhere in
the state. They are not allowed to charge the athletes for participation.
Chair Jacobs just wants to know whether this is continuing funding. The staff will bring
this information.
Chair Jacobs asked about the Whitted Building and when the mobile units are moved off
the Orange Enterprises site, what the County is going to do with this property. Public Works
Director Wilbert McAdoo said that there is not currently a plan. They promised the Town that
they would not turn it into a parking lot. Chair Jacobs suggested turning it into a small park with
outdoor sculptures.
Commissioner Gordon asked why there would be no parking and Wilbert McAdoo said
that the Town said that it was because of neighborhood considerations.
COMMUNITY AND ENVIRONMENT
Chair Jacobs asked about funding for the strategic plan for Orange-Alamance Water
Systems for $25,000 and that this year it is not in budget. Tom Altieri did not know and
Planning Director Craig Benedict was out of town. The staff will bring back this information.
Commissioner Gordon made reference to Nan-Departmental and the Metropolitan
Planning Organization that requested $1,000 and the Manager recommended $0. Tom Altieri
said that the $1,000 was originally far the maintenance of some Trans-CAD software and they
have stopped receiving planning funds from the MPO, and it is his understanding that Durham
has agreed to pick up the maintenance of this software. This $1,000 is no longer needed.
Chair Jacobs asked about the Hillsborough Water Strategic Plan and said that it looks
like they budgeted $25,000 to accomplish the plan and spent $5,000 last year. He said that if
they committed $25,000 then they should have $20,000 left to pay in this budget year instead of
$0. Donna Dean-Coffey said that this would be a carry forward for next year.
Commissioner Gordon asked haw staff decides what to carry forward in the budget, and
Rod Visser said that they look at this in August/September. They are trying to limit doing this.
Donna Dean-Coffey said that they would also carry funds forward on the Critical Needs
Safety Net. Commissioner Gordon said that these items should be marked as carry forwards.
Discussion ensued about how to notate the items that will be carried forward. The staff
will work out a system.
Commissioner Halkiotis asked about previously unfunded agencies and Donna Dean-
Coffey said that these are listed on page 7-31. Also, on Appendix F-1 they are listed. These
are the reports that the County Commissioners requested.
Chair Jacobs made reference to page 7-31 under Lake Orange and said that
Commissioner Halkiotis has repeatedly brought up having some telemetry from Lake Orange so
that they can move into the technology age.
Commissioner Halkiotis asked what it would cost to put in telemetry at Lake Orange.
County Engineer Paul Thames said that they could not put in the exact same thing as the Town
of Hillsborough because some of the measuring devices used were built into the dam itself. His
guess is between $35,000-$40,000.
Jahn Link asked Information Technology Director Todd Jones about putting this
telemetry equipment in and he said that he would work with Paul Thames on this.
Chair Jacobs made reference to Soil and Water and said that someone asked him why
the Soil and Water Commissioners were not on the County's website and Brent Bogue said that
they are working an developing a page for Soil and Water.
PUBLIC SAFETY
John Link asked if the Sheriff was coming and Donna Dean-Coffey said that he had a
community watch meeting tonight.
Commissioner Halkiotis asked what collections the County received from the 911
surcharges that all citizens pay with their telephone bills.
Donna Dean-Coffey made reference to page 8-11 and the second part of the chart,
which lists this information. Rod Visser said that they would provide a breakdown of wired
versus wireless. The rate for wireless is 80 cents and for a landline is 50 cents.
Chair Jacobs made reference to page 8-14 and asked about the level of service for how
much time should elapse before a citizen gets emergency assistance. Emergency Management
Director Jack Ball said that the national standard is 8 minutes and Orange County's response
time is 12 minutes. They are hoping to decrease this time with additional staff.
Commissioner Halkiotis asked if it was an expected outcome that you are going to have
a large overtime budget for EMS. He made reference to page 8-14 under Budget Highlights
and the increase of projected 4 paramedic positions will result in a reduction in the amount of
overtime monies of $275,000 needed by the department. He asked if this was true of all rescue
departments and Jack Ball said yes. Public safety has a high turnover rate.
Commissioner Carey asked a clarifying question about response time and Jack Ball said
that the growth pattern is going west and north and their standard facilities are further away,
which causes a longer response time. He is in the process of looking at staging personnel in a
mare convenient location. One benefit in the community, however, is that all fire departments
are now first responders and they are strategically located within the County.
Commissioner Carey made reference to page 8-23 and the $100,000 reserved far the
Fire and Rescue Study and asked if this was in addition to positions that may come out of the
proposed study and Donna Dean-Coffey said yes.
FIRE DISTRICTS
Chair Jacobs made reference to page 8-16 and asked Chief Cates of the Hillsborough
Fire Department about occult recognition. Chief Cates said that there is a gang problem in the
area - HillsboroughlDurhamlRaleighlChapel Hill -and it is about equal to Los Angeles, so the
gangs have migrated to this area because of the location. The fire department has had two
incidences that are suspected as gang-related -damage to a fire truck and shots fired.
Chair Jacobs said that Cedar Grove's tax rating is unchanged but their growth rate is
increasing and Rod Visser said that Cedar Grove has been very fiscally conservative. Donna
Dean-Coffey said that Cedar Grove's equipment is outdated and they are starting a capital
outlay program to start replacing the equipment.
Commissioner Halkiotis asked for a ballpark figure for all fire departments to get the 800
mg Hz radios and Rod Visser said that there is a detailed list and he will bring it on June 22°d
Commissioner Halkiotis asked if Efland was going to build a new fire department and if it
is, he would like to see if there is space to add an ambulance there.
Chair Jacobs said that there was some discussion about this for Eno's new building.
Rod Visser said that he would be receiving some more information about these plans soon.
Chair Jacobs said that he has been disappointed with the Sage Group study in terms of
the timing and lack of depth.
Commissioner Gordon asked about the total amount for non-departmental and staff
responded that it was appendix F-1, which is an all-inclusive list.
Donna Dean-Coffey made reference to appendix D-10, which lists outside agencies that
assist the school systems. This was requested by the County Commissioners.
Chair Jacobs asked if the Boomerang program was included an this list -page 8-23.
Sharon Hinton said that this is a new program and next year JPCC will be funding this. This is
state pass through money.
SOLID WASTE ENTERPRISE FUND
Chair Jacobs said that he noticed in janitorial services that there is no mention of
maintaining the new solid waste operations center and Rod Visser said that he does not see this
opening before next summer.
Solid Waste Director Gayle Wilson said that the Enterprise Fund pays for its own
janitorial services.
John Link said that he had recommended an increase in the 3-R fee and it is on page
12-3.
Gayle Wilson said that the proposed increase would generate an additional $515,000,
which would reduce the overall subsidy from reserves and the landfills to $411,000.
Chair Jacobs said that the increase in the basic rate would be from $27 to $34. Gayle
Wilson explained the difference between rural and basic. The increase far rural is $13.
Commissioner Halkiotis asked whose budget has the NC 57 Solid Waste Convenience
Center and it was answered Public Works. He made reference to page 12-3, which says,
"Relocation of Highway 57 Convenience Center will have costs as yet unknown." He asked how
this impacts Solid Waste. Gayle Wilson said that they are assuming to contribute to the
relocation because the services are integrated.
Commissioner Halkiotis read something from the Solid Waste section. "Significant future
costs associated with efforts to reach waste reduction goal for the Solid Waste Management
Plan implementations are likely, and we suggest that it is prudent that some financial
recognition/acknowledgement be made by a modest advance contribution to fund balance." He
asked what this meant and Gayle Wilson said that the Enterprise Fund is likely to face some
significant expenditures in the next five to six years and they think that it is prudent to make an
adjustment to the 3-R fee to take some of the pressure off the landfill revenue and set aside
some money.
Commissioner Halkiotis made reference to the discussions about using Durham's
transfer station and said that he was caught off guard with an article in the newspaper about
this. He said that the County Commissioners need to know what the discussions are. He said
that he does not vote on a budget based on some unknown. He needs to know the future
situations that the County Commissioners should be worried about.
Jahn Link said that he gave the County Commissioners a summary of the meeting, and
the article in the newspaper was based on what the Assistant Manager in Durham said.
Rod Visser said that the implementation of the 3-R fee has brought stability to the
Enterprise Fund and if they go with the increase in the fee, then this future revenue could be
used as a full cost recovery of the recycling program.
Chair Jacobs asked if it was equitable to raise the basic fee alone and Gayle Wilson said
that some of the program expansions they are proposing have to do with the urban and rural
curbside program. It would be reasonably equitable to raise only the basic fee, but not as
equitable as raising the other two fees.
Chair Jacobs asked about multi-family and Gayle Wilson said that what could be
equitable would be to increase the fees in the urban and rural and increase the basic fee less.
Chair Jacobs pointed out that the common denominator is basic and if it were raised
only, then it would affect everyone essentially equally.
Chair Jacobs said that he failed to ask a question when the Social Services Director was
present. He asked that when she is at a meeting along with the Health Director, the IT Director,
and the Clerk that they discuss digitizing data. He knows that there are tremendous space
crunches in departments because of records. He would like to talk about this on June 22"d. He
wants to knave if they can save some space and money by making digitizing a bigger priority.
Commissioner Gordon would like to review information before the 22"d
a. Other County Budget Related Items (for example, various reserves, etc.)
Danna Dean-Coffey made reference to appendix F-1 {page 3), which talks about a
reserve of $400,000 for court operations. The reserve far fair funding is on the education page.
John Link made reference to the reserve far State action, which has been called the
safety net, and said that in addition to the appropriation of $275,000 the proposed budget has a
carryover of $225,000 not yet spent in this year for a total of $500,000.
Commissioner Carey asked about Leaf Flight on page F-1 and Sharan Hinton said that
this is an agency that provides healthy foods for nutritionally at-risk people and they are
targeting peaple who are receiving faad stamps. They have received a letter of suppart far
some in-kind services from the Secretary of Agriculture.
b. Non-Profit Agencies
Commissioner Halkiotis made reference to F-1 page 4 on Outside Agencies Nat
Recommended for Funding and the Chrysalis Foundation. He said that he received information
that the HSAC had supported the Chrysalis Foundation.
Sharon Hinton said that during the budget discussions they identified those agencies
that had some impact through mental health reform.
Commissioner Halkiotis said that they were receiving money from the state before they
were cut back and he said that it would be a shame not to fund them.
Gwen Harvey said that this foundation was a creation of OPC and is not receiving state
funding and was going to attract special funding for OPC, but when divestiture took place, it
stepped out to achieve a more independent status. Their objective was to do the things that
OPC could not do such as developing supportive housing far mentally ill. This particular request
is intended to carry forward this particular work.
John Link said that they need to consider appropriate funding through the safety net.
Commissioner Carey said that he has told the supporters of the Chrysalis Foundation
that the County Commissioners are supporting housing and development in many other
different areas. He thinks that, at some point, the Board of County Commissioners needs to
decide if they are going to bail out all organizations affected by the State's actions. He said that
they may be creating a situation where the housing organizations are competing with each other
in the arena for trying to raise money to keep them going. He thinks that the Manager's plan to
support Robert Dowling's organization and give them additional capacity as well as the new
position should be where the County Commissioners draw the line this year.
Commissioner Foushee said that she agrees generally with Commissioner Carey but the
clientele for Chrysalis is different. She said that the housing made available by the other non-
profits do not lend themselves to providing housing for the group of citizens helped by Chrysalis.
Chair Jacabs suggested having a list of all housing entities that provide services far
housing in Orange County and add the proposed rental management position for June 22nd
Commissioner Halkiotis agreed with Commissioner Foushee about providing housing for
mentally challenged and he also understands what Commissioner Carey is saying.
Chair Jacobs asked why the additianal request of $5,000 from American Red Cross was
not recommended for funding and Gwen Harvey said that it could be a historical trend that the
County has not funded them in the past. Danna Dean-Coffey said that the only money they
have given them has been for capital and not for operational.
Chair Jacobs asked about a listing of newly proposed funding for non-profits for this year
and Donna Dean-Coffey said that she would get this list.
Chair Jacobs made reference to childcare subsidies on page 13 and said that there was
a number from the DSS director that five County employees are getting subsidies. He asked for
a specific number on this. Donna Dean-Coffey said that this is an appendix H-8. The total is
$2,565 per month each.
Commissioner Gordon asked about the amount of fund balance being appropriated and
Donna Dean-Coffey said none. She asked about the fund balance level and it was answered
9.5%. The LGC recommends 8% as a minimum. John Link said that they think 8°~ is a scary
number to keep year after year. He thinks that the goal should be 10-12°~6.
Finance Director Ken Chavious said that the fund balance is more than a savings
account and it covers during the months when tax revenues are not coming in. They are more
challenged this year and he said that they are much more comfortable at 10% and even more
so at 15%. The statewide average for a government of Orange County's size is 17%.
Chair Jacobs recapped the items to be addressed on June 22"d:
Housing information, Information Technology records information, rates and fees,
presentation on plans far the Central Orange Senior Center design (possible significant increase
to include adult day health center}, and debt issuance schedule for all County Commissioners.
c. Fire Districts- discussed above
A motion was made by Commissioner Halkiotis, seconded by Commissioner Gordon to
adjourn the meeting at 10:09 p.m.
VOTE: UNANIMOUS
Barry Jacobs, Chair
Donna S. Baker
Clerk to the Board